Sage CRM Chinese Summit Gordon Mc Guirk Senior

Sage CRM | Chinese Summit Gordon Mc. Guirk Senior QA Manager

About me!! • Senior QA Manager in Sage Technologies, leading the Localisation Centre’s QA Department, and is responsible for delivering quality localised versions of Sage’s CRM portfolio including ACT!, Saleslogixs and Sage. CRM in multiple markets worldwide. • Have over 16 years of experience in the Software Localisation industry having worked in Microsoft prior to my current role in Sage. During these years I have been involved in many Outsourcing projects and managing these Virtual teams to ensure all processes and procedures are followed to deliver high quality products to the customer. • Over the years I have been working with Outsourcing Companies based in Europe and Asia and have been outsourcing solely to China for nearly 10 years now.

Sage CRM and our Formula for Success • • • End-to-end business management for a front- to back-office view of the business Recognised by over 12, 000 customers as easy to use Direct presence in over 70 countries worldwide Leading provider of CRM for small to medium-sized businesses 30 years business software experience Sage Group Plc Award-winning CRM • Quick to deploy with on-premise, hosted and Cloud-deployment options Global Partner Base • • • Over 1, 000 partners globally Easy to customise to meet your business needs Experts in rapid deployment

Localisation and Outsourcing to China – some tips for success & pitfalls to avoid Agenda: • • • Reasons for Outsourcing Vendor Selection Process & Legal Contracts Why China? China’s Twelfth Five-Year Guideline, 2011– 2015 Business Culture in China Strategy for Building Relationships Successful Roadmap in China Growing Wealthy Middle Class in China Practical tips for visiting China – visa application, cities, dining and technology cities and sites

Outsourcing - Definitions “Outsourcing is the process of contracting an existing business process which an organisation previously performed internally to an independent organisation, where the process is purchased as a service. ” “Offshoring, which is described as “a company taking a function out of their business and relocating it to another country, ” whether the external country is physically offshore or not. " 5

Outsourcing - Reasons

Vendor Selection Process Detail Proposal Documents Evaluation Matrix Trials Probation Period Site Visit Contracts & Agreements Evaluation & Feedback

Why China? Other 50% 45% 30% 35% 10% 25% India 40% China 10% 15% 35% 65% 2008 2012 2015 2018 “China will take dominant leadership of the outsourcing market by 2015” (Gartner) Abundant Talent • 6. 3 M college graduates in 2010 • English starts in 3 rd grade • 20 M new English speakers annually Geographic Advantage • Preferred alternative to India • Geographic and cultural proximity to Japan, Korea, Asia • Huge, fast growing domestic IT and general business market Government Support • $580 B government investment in infrastructure in 2009 • € 7. 4 B Investment in Europe in 2011 • € 1. 6 T investment globally by 2020 • 20 cities strategically invest in the IT Outsourcing industry • 12 th 5 Year Guideline (2011 -2015)

China Designated 20 cities as Technology Centres Da. Qing Ha`ebing Tianjin BEIJING Dalian Xi`an Ji`nan Wuhan Nanjing Chengdu Suzhou Chong. Qing Shanghai Wuxi Han. Zhou Chang. Sha He. Fei Nan. Chang Guangzhou Shenzhen Hong Kong

Business Culture in China Making Conversation Meetings Entertainment & Gifts Presentations Making Deals Negotiations Corporate Social Responsibility Role of State

Strategy in Building Relationships Company executives take the lead in the relationship Invite the government leaders or relative administrators to visit your company Regular communication with government about company achievements and progress A relationship with the China government is essential to do business with most enterprises Keep on top of the 5 -year plan and macro-control plan towards economic development Align with industry players and get 3 rd party validation to validate the company’s position Pay attention to the political movements Make full use of diplomatic relations between 2 countries Become “China Client” not “Client China” Engage in corporate social responsibility through community activities to keep the name out

Successful Roadmap in China Define Your Strategy • Think globally, act locally • China strategy (Product, Talent, Partner, Milestones, Investments) • Joint Venture Grow Your Industry Government Relationship • Develop and focus on your industry for at least 3 -10 years • Be mindful of China’s 12 th 5 -year plan • Establish good communication and PR with the government

Middle Class Consumption Expensive Electronics Composition Middle class is composed of party and government officials, enterprise managers, private entrepreneurs, professional and senior level clerical workers Travel Growth The Chinese middle class is expected to expand by 600 million by 2020 Designer Brands Population There are between 100 million and 150 million people in the middle class in China Cars Definition A household earning over $10 k/year, a level regarded as high enough to buy a car or think about purchasing an apartment in China Dining Out Jumpstart The Chinese middle class has grown at a phenomenal rate since the end of the Mao era Health Clubs, Recreation Disposable Income Disposable income and consumption rates are expected to increase by 18% a year compared to 2% in US

Visiting China • • • Letter of Invitation & Visa Cities to visit Hospitality & Dining

Letter of Invitation & Visa Application

Chinese Cities Dalian: “The Pearl of Chengdu: “Paradise on Earth” the North” Beijing: The Capital with Cultural Heritage Shanghai: The Largest Economic and Financial Centre Nanjing: Cultural Center of the East Shenzhen: The First Economic Development Zone

Hospitality & Dining

Thank You!

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