Q&A : CHARLES JOHNSON

‘We don’t see tech spending necessarily going down’


Posted: Monday, Dec 01, 2008 at 0139 hrs IST
Updated: Monday, Dec 01, 2008 at 0139 hrs IST


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: lot of our efforts being centered around enabling a better customer experience with sales force automation. So how do you make sure the right customer order is fulfilled at the right time. You see the concept of order fulfillment on websites—many customers consider buying online.

Is your focus on Indian manufacturing firms sharpening because the economy is slowing down in many parts of the world?

To be frank with you, we don’t see tech spending necessarily going down. I would say growth is accelerating at a greater rate in India than other countries. Even US and European companies see great opportunities to accelerate growth in the Indian market. Some of our projects are actually for European or US based customers that we execute in India. The other aspect is in the automation of business processes, where manufacturers are moving from low cost manufacturing to actual original design manufacturing and generic product manufacturing.

Therefore, customers are actually designing the products themselves and manufacturing them. So we see a strong innovations base in manufacturers across every vertical, here in India. And we are excited about that.

In that case, technology needs of Indian manufacturing companies must be different from others?

Oh yes. Basically, they don’t have a legacy system here. So they want the latest technologies and real time visibility. They also have intense amount of pressure to support because in many cases, they are the supply chain, or they need to extend their information to rest of the chain. They are expanding to other countries too. So their needs are even greater, in some cases than the US.

Hence we take them as someone who has a greater need and greater appetite for innovation. India is in a unique position as the regional equipment manufacturer.

China would continue to be the top priority…..

The difference is that Indian customers generally respect IP. In China, many of Microsoft’s customers respect it, but a lot of the other customers don’t. They are all thinking about world class operations. They all care about meeting the needs of consumers. I think Indian customers are more aggressive; they want to grow in other parts of the world too.

In China, the manufacturing efficiencies are driven primarily by scale—that’s single denominator that they will apply before opening any company. In terms of cost per unit, China has already got a head-start advantage. They would have already capitalised and amortised their assets...

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