China Outsourcing Solutions

Developing and maintaining an effective pricing strategy is a great undertaking and requires expert knowledge of competitive pricing practices and internal margin constraints in order to optimize profits. As the competition of mobile phone market is quite fierce, being informed of dealers’ and retailers’ prices as well as competitor’s products can help the enterprise to gain competitive advantages. But the question is : how to effectively get the pricing information, especially getting prices worldwide?

We may be the most entitled to answer this question as we are currently helping a globally famous mobile phone manufacturer to gather prices worldwide from a number of mobile phone brands. From our practice, global B2C/B2B websites are most effective sources for gathering abundant prices, and manual gathering is the most practical way in comparing with automatically. We not only gather price and models information, but also specifications like memory, display size, color, pixel, resolution and other functions.

We are now able to gather the above the information from over 700 E-commerce websites over 30 countries. In addition, we also able to provide price intelligence services for other kinds products like laptop. You can get more info from http://www.co-soft.net/BPO_Service/Price-Intelligence-Solution.asp 

If you are interested or have any question in this field, please feel free to leave a comment here or contact me directly via cosoft.bpo@gmail.com.

Posted in data collection

We define 2006 as the “first year for China Service Outsourcing”, in which year the "Thousand, Hundred and Ten Project" was released and symbolized that the service outsourcing industry sets root, spreads and develops in China. After 3 years of rapid development, with hardness and roughness, in 2009, China outsourcing industry embraces another milestone.
As a professional advisory institution on outsourcing industry, at the beginning of 2010, Devott took stock of all the hot events on China’s outsourcing industry in 2009 from nation to region，from industry to enterprise and from organization to person, we finally summarized the following ten events hotlist.

[Ten Events Hotlist]
1. General Office of the State Council released “Response to Issues on Promoting the Development of Service Outsourcing Industry”.
2. Ministry of Finance and other Eight Ministries and Commissions jointly issued the “Guidance on Encouraging Government and Enterprise Outsourcing to Promote the Development of China\'s Service Outsourcing Industry”.
3. The Merger of Neusoft and DHC ended in failure.
4. Wuxi established the first professional Venture Capital Funds for Investment on Service Outsourcing Industry -- China Investment Fund on Software Service.
5. Liu Jiren, CEO of Neusoft, was listed in the IAOP Outsourcing Hall of Fame.
6. Hangzhou released the first Special Provisions on the Protection of Service Outsourcing Intellectual Property in China.
7. Eight Top Chinese outsourcing companies composed the Global Service Alliance in Silicon Valley.
8. Li Si-chen was the first service outsourcing company to be listed on the GEM.
9. Ningbo introduced the first domestic government contracting management system.
10. The MSN“Copy-gate”event of Microsoft.

The ten listed events represent the trends and characteristics of China\'s service outsourcing industry of 2009 from different levels. In the report, Devott deeply analyzed and discussed the ten events regarding its industrial background and impact. For more information, please visit here http://www.devott.com/en/10/ or send e-mail to evelyn.wang@devott.com.

Posted in Outsourcing

On Dec. 2, 2009, “Forecasts and Suggestions on China’s Service Outsourcing Industry—2010”was officially published by Devott Service Outsourcing Research Center, a reputable consulting and research institution in China. In this report, Devott does in-depth researches and analysis on China’s service outsourcing industry and gives ten main forecasts on the development of China’s service outsourcing industry from different aspects like industry, market, policy and so on.  In addition, combining with the unique position and development track of China’s service outsourcing industry, Devott also gives professional suggestions on the development of outsourcing industry, enterprises and parks, which makes it to be an important reference and source of first-hand information and researches.

As the core research results of Devott on China’s outsourcing industry, Devott publishes the Forecasts and Suggestions on China’s Service Outsourcing Industry on December 2 every year since 2008. The Report gives forecasts and suggestions on China’s outsourcing industry development for the next year on the basis of in-depth analysis on the development trend of the global outsourcing industry as well as the practice and status quo of China outsourcing industry.

In Dec. 2, 2008, Devott released "Forecasts and Suggestions on China’s Service Outsourcing industry—2009" and gave forecasts on China’s service outsourcing industrial system and enterprise development patterns during the economic downturn. At the end of 2009, we are very glad to see that all of Devott’s have been verified in different degrees, such as offshore service providers would return to the local market, government would issue more active and preferable policy, the rising trend of RMB exchange rate would change, outsourcing companies would move to the high end of value chain and so on. While at the same time, Devott’s suggestions to China’s outsourcing enterprises and parks on how to survive and develop in the complex environment have also been widely adopted, such as hugging for survival (Enterprise Alliance), investing in the construction of core capability, paying more attention to policies and the domestic opportunities it brings (from government outsourcing), seizing the wave of mergers and acquisitions (Neusoft, iSoftStone and other enterprises). All these facts have fully approved the authority and reliability of the Report and attracted more governments, parks and enterprises to set focus on the report, and looking forward to the “Forecasts and Suggestions on China’s Service Outsourcing Industry—2010”.

Comparing with the Report of 2009, the 2010 Report is more specific, detailed and targeted, composed of 58 pages and over 20,000 words(twice higher than last year’s report). Besides, the 2010 Report gives forecasts from many angles and levels, such as the pyramid forecasts of enterprise-park-city-industry. In addition, Devott gives 26 practical suggestions focusing on the industry policy, parks and enterprises. The Report has been taken as an important guidance for the development of China’s service outsourcing industry.

In the coming year of 2010, can China’s service outsourcing industry get out of the crisis and then how to develop? How could China’s service outsourcing industry find its own unique development track? How could the Chinese "Bangalore" succeed in the fierce competition? … …

You could find the answers in“Forecasts and Suggestions on China’s Service Outsourcing Industry—2010”.

Ten Main Forecasts on China’s Service Outsourcing Industry—2010

Forecast One: Outsourcing industry has passed the most difficult period and begin to recover and grow.

Forecast Two: The domestic market continues expanding, and the government outsourcing would become a brand new light spot of 2010.

Forecast Three: Offshore outsourcing market differentiation appears, and the “first tier” of Chinese outsourcing companies is going to change its structure.

Forecast Four: Supporting policy for service outsourcing industry would further deepen and the relative industrial environment would get further improved.

Forecast Five: To maintain the position of “outsourcing demonstration city”, the 20 cities would launch a new round of "preferential policies” competition and investment boom

Forecast Six: The development of service outsourcing parks presents "Matthew Effect", Yangtze River Delta is expected to become the core of China service outsourcing industry.

Forecast Seven: The M & A integration trend would accelerate, company listing would be put on the agenda again.

Forecast Eight: The number of Chinese outsourcing companies would exceed 10,000 and there would appear new enterprises with revenue over 100 million (U.S.) and staff over 10,000.

Forecast Nine: Under the pressure of reducing cost, the general price of outsourcing service would continue declining and the service providers would be committed to making new plans to cut cost and improve efficiency.

Forecast Ten: The mix trend of ITO and BPO would enhance and the importance of vertical industries would be further promoted.

To learn more about the report or download the brief edition, please visit http://www.chnsourcing.com/report/forecast/2010/

Posted in Outsourcing

Entering China’s market has been a hot topic over the past decades. Outsourcing companies are also looking for opportunities in China due to its huge market, low cost and geographical advantages, such as proximity to Korean and Japan markets. During the operation, the multinational companies found out the local service providers have advantages in shortening localization period and lower risks by a package offer of infrastructure, HR and operation services. This is also the logic behind the BOT model.

Build-Operate-Transfer (BOT) means that the client owns the facility, while the third-party vendor builds the facility, hires the employees and gets the operation running for a certain period of time and then hand over the operations to the client. Comparing with other outsourcing models like Build-it-Yourself (BIY) and Joint Venture (JV), BOT has obvious advantages in lower investment, less risks and higher feasibility.  

With rich experience in China outsourcing field, our company, Devott, provides outsourcing companies with the BOT model to maximize control of budget and retains the culture of the parent organization. We operate the BOT model in the following three phrases.

1.    Build. Devott builds an offshore marketing and delivery center using the synergies of its existing offshore infrastructure. Devott will take care of the location assessment, administrative and legal issues, real estate, utilities, and permits, even computers, communications, and office supplies.

2.    Operate. Devott operates it for a pre-set time period building up the necessary people, channels, processes, and infrastructure to support the client's long term needs. Devott provides the complete management from recruiting, payroll, accounting, training, marketing and security to operate the center.

3.    Transfer. Devott transfers the legal entity at the end of an agreed upon time frame for an agreed upon cost. Devott also provide other option like JV to partner with clients for expanding its markets and operations.

At Devott, we have highly experienced management team with capabilities in offshore development and delivery. We will do the above within a completely transparent model and hand you over the successful organization.

What’s your opinion on this topic? Please share with us or contact me directly via wade.fan@devott.com or devottbd@gmail.com  

Posted in Outsourcing

Data collection is collecting useful intelligence for making decisions such as product price determination. Nowadays, available on websites, directories, B2B/B2C platforms, e-books, e-newspaper, yellow page, official data, accessible databases, vast and updated information online encourages more people to collect data from the Internet. Before data mining, you still need to be well prepared, as the ancient Chinese saying “Preparedness ensures success, unpreparedness spells failure.”

#1. Why do you want to collect intelligence or what's your objective? What will you do with this intelligence after collection? Making a description of your project can help the data mining team have a better understanding of your aim. Taking an example, an objective can be I want to collect enough intelligence to determine a competitive price for my product.

#2. What type of information you need to collect to support your final analysis / decision? Such as, if you want to collect the prices of similar product, product specification are necessary to collect for comparison of the same one. The external factors like coupon, gifts or tax also need to be considered for accuracy.

#3. Where? General searching using keywords or gathering data from specific resources or database depends on project nature. The information from e-commerce websites would be a great avenue for price gathering and product specification.

#4. Who? Will you collect the data by using the resources of your own or outside resources? Outsourcing of online research work to lower wages countries with the accessibility of internet capabilities and vast English educated personnel like China would be an option for cutting cost. The people who are going to do the work need training and necessary resources on that.

#5. How? Always remember your purpose of collecting data to improve the collection process. The methodology and process need to be defined to ensure accurate and reliable data. Decisions making on wrong data would result in serious problems.

I've summarized 5 tips from myself and my clients' experiences, hopefully to provide some insights for you. If you have any opinion or experience in online data gathering or outsourcing, please share with us or contact me via lori@co-soft.net or visit http://www.co-soft.net/BPO_Service/Online_Data_Research_&_Data_Mining/Web_Research_Internet_Research_Service_in_China.asp for more info.

Posted in Outsourcing