Software & Service Outsourcing in Software & Service Outsourcing in GuangdongGuangdong

广东软件与服务外包产业广东软件与服务外包产业

Dec. 2010Dec. 2010

广东软件出口委员会　理事长 孟 霖广东软件出口委员会　理事长 孟 霖Mr. Simon Meng, Director-GeneralMr. Simon Meng, Director-General

Guangdong Software Outsourcing CouncilGuangdong Software Outsourcing Council

　　

Outline 大　纲

1. Overview of Guangdong and Guangzhou

2. Software industry in China and Guangdong

3. Software outsourcing in Guangdong

4. Software outsourcing strategies5. 2008 年末，广东常住总人口为 9544 万人，比上年增

加 95 万人，增长 1% ， 2009 年广东年末常住人口9638 万人，较 08 年增加 94 万人，增速放缓。

Overview of Guangdong Overview of Guangdong provinceprovince Gateway to Asia Pacific:

Boarders Hong Kong and Macau Access to In-land China

Area: 179,800 km2

Population: 96.38 million Location: South China Major Cities:

Guangzhou, Shenzhen, Zhuhai, Foshan

About Guangdong ProvinceAbout Guangdong Province

(2009 Data) Amount Growth Rate

GDP ￥ 3908.159 billion RMB

9.5%

GDP per capita ￥ 40,748 RMB（ $6000USD）

8.4%

Disposable personal income

￥ 16,206.05 RMB 9.1%

Surging and biggest economy in ChinaSurging and biggest economy in China Accounted for 11.65% of China’s GDP

1/3 of total commodity exports of China1/3 of total commodity exports of China Largest manufacturing base of the worldLargest manufacturing base of the world

2009 Guangdong Software Industry2009 Guangdong Software Industry

No. of Software Enterprises 2872

Software GDP (RMB Billion) 1730.22

Software Product System Integration Services Embedded Software IC Design Outsourcing&Exports

542.12

428.8

268

482.96

8.33

46.78

Profits (RMB Billion) 332.2

Taxes (RMB Billion) 139.4

2008-2009 Guangdong Software Industry 2008-2009 Guangdong Software Industry comparisoncomparison

Category/Year

2008(RMB Billion)

2009(RMB Billion)

Growth rate

Total 1414.87 1730.22 22.3%

Products 1012.64 542.12 -46.5%

System Integration

123.76 428.8 246.5%

Services 176.64 268 51.7%

Export 28.25 46.78 65.6%

2009 Guangdong Software Industry Overview Total industry revenue biggest in ChinaTotal industry revenue biggest in China

197.84 billion RMB, Growth rate 31.1 ％ Strong growth in Pearl River Delta region(10 cities)Strong growth in Pearl River Delta region(10 cities)

Accounted for 99.8% of Guangdong’s total amount Growth rate 31.3 ％

Software export No.1 in ChinaSoftware export No.1 in China Total 10.5 billion USD ， increase 15.5 ％

Number of registered software product 1Number of registered software product 1stst in China in China Embedded software sector No.1 in ChinaEmbedded software sector No.1 in China

55.6 billion RMB55.6 billion RMB Accounted for 35% of China’s total amountAccounted for 35% of China’s total amount

Major Software Companies Major Software Companies 15 Nation’s Top 10015 Nation’s Top 100 33 Key National Software Companies33 Key National Software Companies 34 listed software companies34 listed software companies

2007年 7 月 3日

Guangdong Software Outsourcing Council (GDSOC)Guangdong Software Outsourcing Council (GDSOC)

GDSOC was initiated by: Department of Science and Technology of Guangdong

Province Department of Information Industry of Guangdong

Province Department of Foreign Trade and Economic

Cooperation of Guangdong Province

The secretarial office is based on Guangdong Software Association. (from 2007, Guangzhou Software Development Council)

Guangdong Software Outsourcing Council Guangdong Software Outsourcing Council (GDSOC)(GDSOC)

Founded on May 18, 2006 Chairman:

Dr. Choi, Koon Shum from Hong Kong Chairman of Sun Wah Hi-Tech Group

Director-General Mr. Simon Meng (former vice president of Lenovo Group)

2007年 7 月 3日

Core Function Goal ： Promote Guangdong/Guangzhou software

& service outsourcing industry Direction： GDSOC operation is based on

Government Steering, Enterprises Leading, Community Participating, and Market operation

Strategy ： Open the International market, and bring in international standard software outsourcing projects to China.

2007年 7 月 3日

Guangdong Software Outsourcing Guangdong Software Outsourcing Council (GDSOC) Council (GDSOC)

2007年 7 月 3日

Guangdong Software Outsourcing Guangdong Software Outsourcing Council (GDSOC)Council (GDSOC)

Interfacing:Interfacing: To promote “Outsourcing in Guangzhou” brandingTo promote “Outsourcing in Guangzhou” branding Organize conferences and trade showsOrganize conferences and trade shows

AdaptingAdapting To assist local software and service companies to attend overseas To assist local software and service companies to attend overseas

conferences and trade shows.conferences and trade shows. Encourage Foreign companies to enter GuangdongEncourage Foreign companies to enter Guangdong

EnablingEnabling To enable local Software Industry open to overseas investment.To enable local Software Industry open to overseas investment. Promoting CMMI, ISO certificationPromoting CMMI, ISO certification

LiftingLifting To lift service outsourcing to be the driving force of service To lift service outsourcing to be the driving force of service

industry in Guangdong.industry in Guangdong. TrainingTraining

To tap service outsourcing workforce training.To tap service outsourcing workforce training.

2007年 7 月 3日

Guangdong Service Outsourcing Companies ODC:

HSBC Global Technology, AIA, Bank of America, AXA, Accenture, Sierra Atlantic, Cathy Pacific

East Asia Electronic Data Processing Customer Care, Call Center:

HSBC, China EliteInfo, ChannelBeyond, DYXnet Telecommunication embedded software and System

Integration Huawei, ZTE

IT Solutions, Infrastructure Sunwah, Bamboo, Achievo, Visionsky, GZIDC

Software Exports ZWCAD, TechCAD

R&D: Microsoft, IBM, Intel, Ericson, China Mobile, China

Telecom Japan Market

Transcosmos

Summary: Why Guangdong?Summary: Why Guangdong? Stable Business Environment and Strong EconomyStable Business Environment and Strong Economy

Gateway to Asia Pacific and in-land ChinaGateway to Asia Pacific and in-land China Surging economy and strong government support Surging economy and strong government support Stable, well-off society and moderate Stable, well-off society and moderate costcost Strong Investment in outsourcingStrong Investment in outsourcing

Mature InfrastructureMature Infrastructure Up to date Communicational networks, Wireless CoverageUp to date Communicational networks, Wireless Coverage World class Air, sea and road transport networksWorld class Air, sea and road transport networks Mature, and well developed Industrial ParksMature, and well developed Industrial Parks

Abundant WorkforceAbundant Workforce Hundreds Universities and CollegesHundreds Universities and Colleges Huge supply of engineers and college graduatesHuge supply of engineers and college graduates

Fast growing ITO, BPO sectorFast growing ITO, BPO sector CMMI certified companies and risingCMMI certified companies and rising Competitive price compares to IndiaCompetitive price compares to India Multinationals subsidiaries, ODCsMultinationals subsidiaries, ODCs

P&G, Amway, IBM, Accenture, Intel, Microsoft, HSBC, AIA, AXAP&G, Amway, IBM, Accenture, Intel, Microsoft, HSBC, AIA, AXA

Dec. 2010

Thank You!