레이블이 ERP Systems인 게시물을 표시합니다. 모든 게시물 표시
레이블이 ERP Systems인 게시물을 표시합니다. 모든 게시물 표시

2013년 11월 25일 월요일

About 'erp solutions india'|SMEs & ERP : 3 Cs to be answered before selecting an ERP for SME







About 'erp solutions india'|SMEs & ERP : 3 Cs to be answered before selecting an ERP for SME








Background               and               Overview:               Multinational               enterprises               have               regarded               a               country's               policy               toward               foreign               investment               as               either               hindrance/facilitator               of               higher               return               on               investment               (ROI).

Process               of               development               in               a               given               country,               meanwhile,               is               seen               as               an               important               motor               for               the               boom               or               failure               of               a               project               to               be               invested               [Robinson,               R.

D.,               1997].

Literatures               in               development               and               foreign               investment               would               support               such               claim.

As               such,               an               astute               investor               should               examine               the               policy               toward               foreign               investment               and               the               process               of               development               in               its               potential               host               country.
               Every               country               makes               an               implicit               assumption               about               the               effect               of               foreign               investment               when               it               establishes               policies               toward               would-be               investors.

It               is               a               norm               that               a               government               would               invest               on               researches               to               examine               the               impact               of               foreign               investment               on               certain               aspects               of               their               country's               development.

Researchers               range               from               information               on               the               choices               of               technology               made               by               foreign               investors,               on               the               wages               that               they               pay,               on               their               propensity               to               use               imported               inputs,               on               their               willingness               to               export               and               on               their               alliances               with               local               elites               [Beckman,               M.

&               Butler               C.,               2003].

Thus,               investors               on               the               same               way               should               conduct               thorough               study               of               their               potential               country.
               Companies               investing               in               other               countries               have               always               been               concerned               about               relations               in               the               host               countries.

For               many               years               the               potential               problem               of               expropriation               was               a               significant               concern               to               investors.

In               recent               years,               expropriation               in               the               traditional               sense               has               probably               become               less               of               a               concern.

However,               other               concerns               have               arisen               to               replace               those               of               outright               expropriation.

The               term               "creeping               expropriation"               has               sometimes               been               used               to               depict               a               process               perceived               by               the               investor               as               one               in               which               the               policies               of               the               host               country               in               effect               strangle               an               enterprise               and               accomplish               over               time,               in               a               de               facto               sense,               an               expropriation.

A               company               is               seen               to               have               reached               this               point               when               it               has               virtually               no               control               of               its               capital               resources               or               its               profitability               because               of               rules,               regulations               or               discriminatory               policies               [Robinson,               R.

D.,               1997].
               The               Companies               have               tried               and               are               trying               to               be               aware               of               the               potential               risks               they               would               face               in               a               given               host               country               environment.

They               developed               business               strategies               to               deal               with               this               potential               risks.

It               is               because               of               the               assumption               that               a               business               environment               and               the               rules               and               practices               governing               business               could               be               generally               fairly               stable,               but               with               time               they               may               change               due               to               the               interaction               of               economic,               social               and               political               forces               [Beckman,               M.

&               Butler               C.,               2003].

Thus,               a               need               for               broadened               and               meticulous               assessment               of               business               environment               factors               is               necessary.

The               events               that               occurred               in               Iran               at               the               onset               of               1979               spawned               the               culture               of               investment               in               analysis               before               venturing               into               a               project.

With               the               overthrow               of               the               Shah               in               Iran,               subsequent               negative               experiences               for               many               investing               companies,               especially               those               based               in               the               United               States               pushed               companies               to               be               more               cautious               in               investing.

Companies               are               now               hiring               "experts,"               often               people               retired               from               the               US               Foreign               Service               or               the               Central               Intelligence               Agency,               to               make               political               and               cultural               assessments               of               countries               as               a               part               of               the               strategic               planning               and               management               process.

Understanding               Asia               and               Its               markets:
               As               a               result,               few               multinationals               would               think               of               moving               towards               a               new               market               in               the               United               States               or               in               any               countries               in               Europe               where               they               can               make               the               most.

In               countries               with               open               cultures,               with               abounding               studies               on               businesses               situations,               reaching               investment               decisions               would               not               be               a               challenge.

In               Asia,               however,               more               detailed               dossiers               of               information               about               its               countries,               industries,               markets               and               consumers               is               needed               before               reaching               such               crucial               investment               decisions               [Piazza,               P.

A.,               2002].

The               fact               that               multinationals               were               stepping               onto               a               notoriously               uneven               playing               field               where               the               local               teams               have               a               well-earned               reputation               for               being               sharp               operators,               where               the               culture               was               totally               different               from               any               they               had               known,               where               they               could               not               communicate               with               local               workers,               managers               and               owners               and               where               operating               practices               were               either               vague               or               in               secrecy,               strategies               are               really               important.
               Marketing               in               Asia               has               generally               been               a               weakness               among               multinationals.

A               survey               by               managing               consultants               McKinsey               &               Co.

conducted               in               ten               Asian               countries               in               2000               showed               that               while               75%               of               consumers               in               the               United               States               are               willing               to               pay               for               financial               advices,               less               than               a               quarter               would               in               Asia               [Bartels,               F.

L.

Freeman,               N.

J.,               2004].

As               such,               researches               assumed               that               management               consulting,               information               technology,               employee               training,               marketing,               public               relations,               legal               advice               and               research               and               development               would               not               reach               its               peak               in               most               Asian               countries.

The               low               appreciation               for               services               is               apparent               among               Asian               consumers               too.

Thus,               it               is               apparent               that               investor               should               identify               the               need               of               in               a               country               and               capitalize               on               that               need.
               However,               with               the               advent               of               globalization,               the               need               of               multinational               firms               to               set               up               excellent               information               systems               to               keep               an               eye               on               the               local               competitors               also               increases.

L'Oreal,               the               shampoo,               conditioners               and               hair               coloring               products               of               French               group,               for               example,               employs               a               tiring               strategy.

To               maintain               the               company's               pre-eminent               place               in               the               market,               each               day               hundreds               of               packages               arrive               at               the               hair               care               division's               headquarters               which               are               located               in               Paris               and               so               far               proved               to               be               very               beneficial               for               all               who               wanted               to               avail               this               service.

According               to               them,               they               have               every               new               product               or               item               available               on               the               shelves               for               customers               and               each               of               which               is               regularly               analyzed               and               tested               to               add               to               the               information               store               about               the               content,               the               innovation               and               the               packaging               among               others               [Beckman,               M.

&               Butler               C.

2003].

With               an               excellent               information               system,               costs               of               transport               would               be               lessened.

Traditionally,               western               firms               have               left               the               marketing               side               to               their               local               partners               but               the               need               to               build               up               their               own               databases               on               consumer               tastes               and               buying               habits,               for               example               the               bestselling               international               and               local               products,               how               prices               vary               and               how               likely               are               price               wars,               were               seen               as               an               economical               input.
               The               recent               Asian               dot-com               boom               has               also               opened               investment               opportunities               in               the               continent.

Huge               numbers               of               locally               owned               service               sector               firms               spring               up.

Usually               they               were               owned               and               run               by               young               Asian               entrepreneurs               trained               in               the               United               States               and               other               Western               countries.

Educated               about               the               value               of               services,               they               took               the               philosophy               back               home,               set               up               their               new               businesses               and               hoped               for               the               best.

They               targeted               selling               services               to               the               local               offices               of               Western               firms               or               Western               firms               in               the               West               [Bartels,               F.

L.

Freeman,               N.

J.,               2004].

With               the               low-cost               and               high-grade               skills               of               these               small               firms               together               with               the               speed               of               communications               afforded               by               the               Internet               mean,               application               systems               could               be               a               boom.

The               author               would               weave               a               study               that               would               either               support               or               thwart               this               claim.

Introduction:               "An               application               service               provider               (ASP)               is               a               business               or               services               which               provides               computer-based               services               to               customers               over               a               network               for               availing               customer               response               regarding               the               queries.

Software               offered               using               an               ASP               model               is               also               sometimes               called               On-demand               software.

The               most               limited               sense               of               this               business               is               that               of               providing               access               to               a               particular               application               program               (such               as               medical               billing)               using               the               most               advanced               standard               protocol               which               inludes               HTTP               or               Online               outsourcing               ,               the               Wireless               Networking               Services               and               Mobile               Networks               of               all               types               ,               the               Braodband               saga               and               the               amzing               services               which               ahs               really               mad               e               the               whole               world               a               global               village               and               sea               of               the               knowledege               called               the               Internet               Services               Services               ".
               "               Ther               Application               Service               Provider               (ASP)               applications               are               said               to               be               the               database               &               gateway               services               twhich               inclusde               8XX,               411,               E911,               CNAM,               LNP,               and               SS7               for               their               operations               .

As               telephony               services               become               integrated               into               computer               and               Internet               applications,               access               to               these               services               become               increasingly               important,               especially               if               you               plan               to               interact               with               the               public               telephony               network               or               offer               telephone               service               
               It               had               to               happen.With               the               advent               of               the               application               service               provider               (ASP),               the               cycle               of               computing               trends               has               come               full               circle.The               introduction               of               outsourced               Web-based               shared               resource               business               applications               has               returned               us               to               the               bygone               days               of               service               bureaus               and               time-sharing.The               computer               applications               have               hanged               from               payroll               to               enterprise               resource               planning               (ERP),               and               the               communications               have               changed               from               private-line               SNA               or               TTY               dial-in               to               IP-based               Internet,               intranet               and               extranet               access               -               a               new               age               but               the               same               old               idea               "
               The               need               of               ASPs               was               greatly               felt               due               to               the               increasing               costs               of               specialized               software               which               weere               very               costly               and               exceeded               the               price               range               of               small               to               medium               sized               businesses               and               they               strated               facing               problems               in               order               afford               such               costly               softwares               as               the               growing               complexities               of               software               have               led               to               huge               costs               in               distributing               the               software               to               end-users               and               thus               the               end               users               wrere               lways               at               the               stake               to               suffer               such               huge               loss               .with               the               help               of               ASPs,               the               complexities,               problems               and               the               hassle               free               costs               of               such               software               can               be               lowered               besides               improvement               of               services               and               remain               in               close               contact               with               customers               all               times               .

In               addition               to               this               ,               the               problems               of               upgrading               have               also               been               finished               from               the               end-firm               by               placing               the               responsibility               on               the               ASP               to               maintain               up-to-date               services               as               well               as               remain               in               close               contact               with               the               customers               in               order               to               solve               their               queries               on               urgent               basis               .

The               online               24               x               7               technical               support,               physical               and               electronic               security               and               in-built               support               for               business               continuity               and               flexible               working               ha               s               really               helped               the               Companies               grow               at               massive               rate               besides               improving               there               services               in               delivery               to               the               customers               at               masive               scale               .The               Market               is               the               main               souirce               of               income               and               economic               Development               of               any               company               ,               the               more               is               the               demand               the               more               profit               will               pour               on               to               the               company               and               soon               the               compnay               becomes               a               billion               dollar               company               which               reflects               that               the               products               and               services               offered               remotley               by               any               company               are               needed               in               the               market               .Similarly               the               importance               of               this               marketplace               can               be               reflected               and               assessed               with               its               size               the               more               bigger               is               the               market               the               more               service               providers               will               be               there               to               serve               besides               copeting               with               the               co               service               providers               ie               the               compnaies               which               are               providing               the               services               simmilar               to               the               other               companies               .

This               also               benefits               to               the               buyers               because               the               copmanies               will               concerntarte               on               the               demand               and               to               achieve               this               goal               they               will               cut               down               their               costs               and               will               make               them               cheaper               in               order               to               attract               more               customers               or               buyers               of               services               offered               by               certain               companies               besides               improving               the               quality               of               services               offered               by               varuious               Application               service               providers               ,               internet               Service               provivedrs               and               Wirless               Communication               service               providers               .

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In               early               2003,               the               estimates               of               the               United               States               market               were               ranging               from               1.5               to               4               billion               dollars.

Clients               for               ASP               services               included               the               businesses,               the               government               organizations,               non-profits,               and               membership               organizations               at               a               lrage               Scale               .

The               Application               service               providers               in               USA               have               on               the               move               and               that's               why               all               Aviation               ,               billinh               and               banking               ,               and               administrative               plus               the               security               services               are               automated               and               the               Apllication               services               providers               are               making               the               most               in               this               digital               world               which               has               really               become               so               closer               that               it               has               been               called               as               Global               village               and               the               product               of               one               country               is               avialable               to               all               the               world               due               to               this               interenet               and               Media               .

History:
               In               Common               goal               of               enabling               customers               to               outsource               specific               computer               applications               so               they               can               focus               on               their               core               competencies,               Application               Service               Providers               may               be               regarded               as               the               indirect               descendants               of               the               computer               bureaus               dating               from               the               1960s               and               1970s.

in               other               words               ,               those               Computer               Bureaus               were               trying               to               fulfill               the               vision               of               computing               as               a               utility               or               source               ,               which               was               first               proposed               by               John               McCarthy               in               a               speech               at               MIT               in               1961.
               tions.Provider               types:
               There               are               several               forms               of               ASP               business.

They               Include               :
               ·               A               specialist               or               functional               Application               Service               Provider               which               delivers               a               single               application,               such               as               credit               card               payment               processing               or               timesheet               services;
               ·               A               vertical               market               ASP               delivers               a               solution               package               for               a               specific               customer               type,               such               as               a               dental               practice;
               ·               An               enterprise               ASP               delivers               broad               spectrum               solutions;
               ·               A               local               ASP               delivers               small               business               services               within               a               limited               area.
               There               are               Some               analysts               identify               a               volume               ASP               as               a               fifth               type               because               ,               basically               a               specialist               ASP               that               offers               a               low               cost               packaged               solution               via               their               own               Web               site.

The               PayPal               was               an               instance               of               this               type,               and               their               volume               was               one               way               to               lower               the               unit               cost               of               each               transaction.The               Other               Solution               Providers               can               be               Westren               Union               Money               transfer               ,               Credit               Card               Processors               ,               1-link               etc.
               Beisdes               this,               some               large               multi-line               companies               (such               as               IBM),               use               ASP               concepts               as               a               particular               business               model               that               supports               some               specific               customers.

The               ASP               model:
               The               application               software               sets               on               the               vendor's               system               and               can               be               accessed               by               users               through               a               web               browser               using               HTML               or               by               special               purpose               client               software               provided               by               the               vendor.

The               Custom               client               software               can               also               be               interface               to               these               systems               through               XML               APIs.

These               APIs               can               also               be               used               where               integration               with               in-house               systems               is               required.
               Common               features               associated               with               ASPs               include:
               ·               ASP               fully               owns               and               operates               the               software               application(s)
               ·               ASP               owns,               operates               and               maintains               the               servers               that               support               the               software
               ·               ASP               makes               information               available               to               customers               via               the               Internet               or               a               "thin               client"
               ·               ASP               bills               on               a               "per-use"               basis               or               on               a               monthly/annual               fee
               The               advantages               to               this               approach               include:
               ·               Software               integration               issues               are               eliminated               from               the               client               site
               ·               Software               costs               for               the               application               are               spread               over               a               number               of               clients
               ·               Vendors               can               build               more               application               experience               than               the               in-house               staff
               ·               Key               software               systems               are               kept               up               to               date,               available,               and               managed               for               performance               by               experts
               ·               Improve               the               reliability,               availability,               scalability               and               security               of               internal               IT               systems
               ·               A               provider's               service               level               agreement               guarantees               a               certain               level               of               service
               ·               Access               product               and               technology               experts               dedicated               to               available               products
               ·               Reduce               internal               IT               costs               to               a               predictable               monthly               fee.
               ·               Redeploy               IT               staff               and               tools               to               focus               on               strategic               technology               projects               that               impact               the               enterprise's               bottom               line
               Some               inherent               disadvantages               include:
               ·               The               client               must               generally               accept               the               application               as               provided               since               ASPs               can               only               afford               a               customized               solution               for               the               largest               clients
               ·               The               client               may               rely               on               the               provider               to               provide               a               critical               business               function,               thus               limiting               their               control               of               that               function               and               instead               relying               on               the               provider
               ·               Changes               in               the               ASP               market               may               result               in               changes               in               the               type               or               level               of               service               available               to               clients
               ·               Integration               with               the               client's               non-ASP               systems               may               be               problematic
               If               the               Evaluating               an               Application               Service               Provider               security               when               moving               to               an               ASP               infrastructure               can               come               at               a               high               cost,               as               such               a               firm               must               assess               the               level               of               risk               associated               with               the               ASP               itself.

Failure               to               properly               account               for               such               risk               can               lead               to:
               ·               Loss               of               control               of               corporate               data
               ·               Loss               of               control               of               corporate               image
               ·               Insufficient               ASP               security               to               counter               risks
               ·               Exposure               of               corporate               data               to               other               ASP               customers
               ·               Compromise               of               corporate               data
               There               are               also               some               other               risks               include               failure               to               account               for               the               financial               future               of               the               ASP               in               general,               i.e.

how               stable               a               company               are               they               and               do               they               have               the               the               available               resources               to               continue               business               into               the               projected               Future               .

due               this               Purpose               ,               Cisco               Systems               has               developed               a               comprehensive               evaluation               guideline.

This               guideline               includes               evaluating               the               scope               of               the               ASPs               service,               the               security               of               the               program               and               the               ASP's               maturity               with               regard               to               security               awareness.

At               last               the               guidelines               indicate               the               importance               of               performing               audits               on               the               ASP               with               respect               to:
               ·               Port/Network               service
               ·               Application               vulnerability
               ·               ASP               Personnel
               Physical               visits               to               the               ASP               to               assess               the               formality               of               the               organization               will               provide               invaluable               insight               into               the               awareness               of               the               firm.Where               as               the               ASPs               may               not               have               Intel               and               Microsoft               cowering               in               terror,               they               do               represent               a               significant               concern               for               the               Wintel               consortium.The               main               beneficiary               of               ASPs               is               the               midtier               market.

As               the               small               businesses,               outsourcing               business               application               software               and               computing               services               to               an               ASP               is               cost-prohibitive               so               the               business               applications               in               this               tier               of               the               market               are               few               and               simple               one               for               caarrying               out               the               functions               .Such               small               business               can               make               do               with               a               small               LAN               and               a               PC-based               desktop               and               server               environment,               using               the               Web               for               WAN               communication               and               perhaps               outsourcing               home               page               and               e-mail               operations               to               an               ISP               As               the               majority               of               large               enterprises               and               Companies               already               have               outsourced               or               are               contemplating               outsourcing               internal               IT               operations               to               a               third               party               and               their               Web               applications               to               a               content-host-based               ISP               Economics               drives               this               market,               but               application               control,               security               and               legacy               data               force               the               high-end               tier               to               adopt               a               dedicated               operations               in               terms               of               environment               rather               than               a               shared               multicompany               environment.
               This               leaves               the               midtier               market.

Most               enterprises               in               this               market               cannot               afford               to               outsource               IT               operations.

In               addition,               this               tier               needs               applications               that               exist               in               the               large               enterprise,               such               as               ERP               and               customer               relationship               management.These               factors               make               midtier               companies               the               natural               market               for               the               ASP               In               addition,               the               midtier               market               is               the               home               territory               of               the               IBM               AS/400               and               S/390,               as               well               as               Sun,               HewlettPackard               and               Compaq/               DEC               machines.These               will               be               the               computing               platforms               of               the               ASP,               not               Wintel,               and               the               LAN-based               servers               will               be               downgraded               to               office               application               devices.Access               to               the               ASP               will               be               via               the               Web               for               extranet               applications               and               a               virtual               private               network               (VPN)               for               Intranet               applications.

Definitely               ,The               Business               Of               ASP               is               real               and               Factual               as               the               most               industry               watchers               see               ASPs               becoming               a               big               business               ibn               future               as               the               people               want               flexibility               and               quick               resposne               to               queries               .

The               International               Data               Corporation               has               predicted               that               the               compound               annual               growth               rate               of               ASPs               will               be               91%,               going               from               zero               in               1998               to               $2               billion               by               2003.

keeping               in               view               the               above               estimate               seems               low               if               comaperd               with               the               predictions               of               some               investment               banking               firms.
               My               firm's               the               renowned               research               organization               indicates               that               ASP               market               estimates               on               a               worldwide               basis               are               accurate               in               the               short               term               but               inaccurate               for               the               long               term               as               the               analysis               .The               midtier               market               -               the               target               market               for               ASPs               -               is               much               larger               overseas               than               in               the               U.S.As               with               all               Web-based               technological               evolutions,               the               ASP               business               was               started               in               the               U.S               at               a               large               scale               ,               but               it               became               a               booming               business               in               Europe               by               2001               and               in               Asia               by               2003.

Corporate               conservatism               will               dictate               the               rate               of               adoption               throughout               the               world,               but               due               to               prevalent               economic               conditions               and               competitive               market               pressure               are               likely               to               accelerate               adoption.The               worse               the               economic               conditions               or               the               greater               the               competitive               environment,               the               greater               the               adoption               rate.
               Securing               Security               and               Qualifying               Quality               :               
               If               the               Security               quality               and               the               Challenges               are               assessed               ,               the               two               biggest               challenges               to               the               success               of               the               ASP               model               are               Internet               quality               of               service               (QoS)               and               security.

Technology               vendors               and               infrastructure               providers               are               the               ones               in               the               best               position               to               resolve               these               issues.

The               environmental               and               Country               Policies               also               play               a               vital               role               in               this               regard.


               ASPs               in               Recent               years:
               Currently,               in               recent               months               the               voice               and               data               consolidation               market               has               been               at               the               center               of               a               whirlwind               of               activity,               yet               this               breathtaking               pace               of               progress               has               confused               prospective               customers               and               created               unrealistic               expectations               about               the               time               frame               for               transitioning               to               packet               zed               networks.

At               this               time,               the               information               industry               needs               a               rational,               objective,               and               qualitative               assessment               of               the               viability               of               this               market,               for               both               the               present               and               the               future.

Such               an               assessment               is               particularly               critical               because               the               progress               of               voice               data               consolidation               will               infact               revolutionize               the               communications               industry               over               the               next               10               years               and               will               bring               excellent               innovations               In               such               effort               an               effort               to               help               the               industry               gain               this               understanding,               the               International               Engineering               Consortium,               in               partnership               with               Communications               Industry               Researchers,               Inc.,               is               pleased               to               present               The               Future               of               Voice/Data               Consolidation:               Markets,               Technologies,               and               Strategies.

While               the               merits               of               a               consolidated               network               for               all               its               segments               are               ASP               s               in               Asian               Countries               :               In               Asia               ,               the               Application               Service               Providers               have               developed               significantly               over               the               Years               .

They               have               really               changed               the               Scenario               of               the               emerging               economies               of               the               Asian               Countries               Specially               ,               India               ,               Malaysia               ,               and               china               .

Among               these               china               and               Malaysia               has               been               ahead               in               Application               Service               Providers               Race               .

While               The               India               is               working               hard               to               get               in               touch               with               the               IT               revolution               as               compared               tops               other               Countries               such               as               Sri               Lanka               ,               Pakistan               ,               Bangladesh               or               Singapore               .

The               India               has               been               considered               the               Largest               It               market               as               it               is               the               Worlds               Biggest               Democracy               .
               The               IT               professionals               of               China               are               recognized               worldwide               .

On               the               Other               hand               China               has               been               the               Asian               Tiger               in               the               Last               10               years               and               it               is               Electronic               and               Telecom               Products               has               completely               brought               revolution               in               the               Asian               market.

Besides               it               Automobile               Industry               which               is               yet               an               other               achievement               of               China.

Chinese               businesses               often               become               eclectic               and               unwieldy.

Consider               a               typical               Chinese               shop               in               any               Chinatown.

It               might               be               filled               with               a               bizarre               array               of               items               -               packets               of               seeds               along               with               pairs               of               rubber               gloves,               children's               toys               and               woks.

Decisions               on               stock               purchasing               are               driven               not               so               much               by               customers'               needs               but               with               which               suppliers               the               owner               has               personal               connections.

Thus,               the               range               of               stock               is               driven               by               supply               rather               than               demand.

A               need               to               upscale               such               system               opens               opportunities               for               ASPs.
               If               we               take               the               example               of               the               Malaysia               ,it               is               also               a               economic               giant               and               made               a               great               Progress               in               the               IT               Sector               or               Application               Service               Providing               .

Unlike               China               ,               most               of               the               Industry               from               Tourism               to               aviation               and               from               telecom               to               Government               Functioning               has               been               automated               and               IT               is               really               booming               Industry               in               Malaysia               .

In               Malaysia,               multinational               corporations               make               higher               rates               of               profit               from               their               operations               than               from               their               world               or               home               operations.

A               study               by               W.

B.

Redaway               on               United               Kingdom               investments               abroad               shows               that               Malaysia               produces               one               of               the               highest               rates               of               profitability               in               the               world;               28.7%               pre-tax               profitability               and               18.8%               post-tax               profitability.

He               reports               that               the               average               profitability               of               new               investments               during               the               first               five               years               is               minus               0.1%               in               rich               countries               as               compared               to               7%               in               poor               countries.

In               other               words               the               average               new               venture               in               a               poor               country               is               already               realizing               profits               when               it               is               still               sustaining               losses               in               a               rich               country.

As               such,               western               companies               are               in               influx               today               in               Malaysia.

Those               western               firms               bankable               are               targets               for               ASPs.
               The               Singapore               is               yet               an               other               Country               which               really               made               the               mark               in               the               Asian               Markets               due               to               unlatching               Services               of               IT               and               out               sourcing               .

The               Call               centre               Business               and               Outsourcing               has               been               appreciated               worldwide               and               The               IT               service               Providers               of               Singapore               are               regarded               the               Best               ASPs               in               Asian               Market.

They               Have               also               got               excellent               Telecom               Service               Providers               ,               Broad               Band               ,               Satellite               Services               and               So               which               are               the               really               demand               of               Asian               Market               .

As               the               more               the               demand,               the               more               will               be               Production               and               Supply.

Cross-border               joint               ventures               between               are               common               among               Indians.

Singapore's               Jhunjhnuwala               family               owns               Singapore's               Hind               Development               Group.

The               company               had               its               start               in               1997               when               it               acquired               the               Oberlin               Imperial               Hotel               in               Singapore               from               India's               Oberoi               family.

Today,               the               Jhunjhnuwala               family               is               involved               in               property               development               in               Singapore,               Hong               Kong               and               Australia               and               running               northern               Indian               food               restaurants               in               Singapore.

The               family               has               around               50               members               today               in               Singapore.

Originally               from               India,               they               were               based               in               Burma               until               the               1960s               exodus               when               the               Burmese               government               nationalized               industry.

Such               glimpse               of               conducting               businesses               in               India               could               open               rooms               for               ASPs.

Pakistan               is               yet               in               Other               Country               which               has               really               emerging               as               IT               Partner               in               line               with               other               Asian               It               Service               Providers               .

The               IT               Sector               in               Pakistan               has               really               improved               .

Now               the               Country               has               the               automated               every               Consumer               Billing               ,               ID               Cards               ,               VISA               and               Passports               and               changed               all               the               manual               Services               into               Computerized               and               automated               .

The               data               can               be               accessed               any               where               in               the               World               regarding               the               Visa               and               Identity.

Secondly               the               Telecom               Services               have               also               changed               top               a               large               Scale               .
               Furthermore,               China,               India               and               Malaysia               are               three               of               the               emerging               formidable               economies               in               Asia.

Based               on               ASEAN               Finance               and               Macroeconomic               Surveillance               Unit               (FMSU)               Database               (2003),               China               accounts               for               3.4%               of               world               GNP               having               $780               per               capita               income;               Malaysia               has               its               share               of               $4,198               per               capita               income               while               India's               per               capita               income               is               at               $450.

India               is               not               a               major               player               in               the               global               trading               system               because               its               share               of               total               global               trade               is               less               than               1               per               cent.

Nonetheless,               India's               population               base               of               over               1.07               billion               and               an               expanding               middle               class               of               around               300               million               to               340               million               ensures               that               it               receives               attention               from               its               major               trading               partners               in               Europe               and               North               America               particularly               United               States               and               Canada               [Yahya,               F.,               2005].

Challenges               to               Applications               Service               Providers               :
               The               Application               Service               Providers               in               Asia               has               been               doing               a               lot               in               the               Field               but               they               have               been               facing               many               problems               regarding               the               available               skilled               Work               force               and               Their               Proper               Planning               the               Detailed               analysis               of               their               problems               can               be               assessed               in               following               terms:
               Work               Force               :               The               Human               Resource               is               the               key               to               grow               at               massive               role               in               any               environment               of               the               Asian               countries               where               the               technical               Human               resource               is               scarce               especially               in               India               and               China.

The               Applications               service               Providers               faces               several               difficulties               in               searching               the               Proper               Human               Resource               for               their               Company               in               order               to               be               able               to               attract               more               Customers               for               their               Services               .

The               Service               Providers               has               to               concentrate               on               the               Training               of               the               hired               Staff               and               a               sufficient               amount               is               to               invested               in               the               shaping               of               the               Fresh               appointments               .As               the               times               goes               by               the               need               of               the               proper               need               of               human               resources               is               increasing               days               by               day               .

Now               a               days               the               agencies               are               selling               their               human               resources               to               the               companies               in               need               of               the               human               resources               .

They               test               and               train               the               human               resources               according               their               categories               and               make               available               at               the               disposal               of               the               companies               who               are               strongly               need               the               workers               to               carry               out               their               business               at               fast               track               as               well               as               keep               discovering               new               locations               and               expanding               their               operations.

The               companies               who               mainly               need               the               workforce               are               mostly               Banks               .

Oil               companies               ,               IT               companies               ,Chemical               company's               textile               and               garments               companies               .

They               recruit               the               staff               on               yearly               and               half-yearly               basis               in               order               to               expand               their               operations               and               branches               in               the               various               cities               countries               and               provinces               .

They               need               proper               and               experienced               staff               to               carry               out               their               business               at               fast               track               as               well               as               be               well               versed               in               IT               sector               and               customer               services               .

The               recent               addition               of               human               resource               Hunters               is               the               Call               Centre               Business               which               is               really               booming               industry               and               needs               skilled               and               trained               Call               centre               Agents               to               sell               their               products               worldwide               .

Which               has               really               opened               doors               to               the               people               of               Asia               to               avail               this               new               opportunity               of               getting               their               workforce               involved               in               this               business               .

Though               this               service               is               limited               to               the               Urban               Cities               only               yet               it               ahs               started               expanding               to               small               town               as               the               time               goes               by               and               It               services               are               expanding               to               smaller               towns               .

               Language               Problems               :               It               is               irony               to               state               that               in               Asian               Countries               multi               Languages               are               spoken               which               are               very               difficult               to               understand               for               the               Western               application               Service               Providers               such               as               Microsoft               and               Google               etc               who               use               the               local               Human               resource               for               interaction               with               the               clients               in               the               Asia               in               order               to               market               their               Products.

As               the               English               is               mostly               limited               to               the               Urban               areas               of               the               Asian               countries               such               as               India               ,               Pakistan               and               Bangladesh               but               the               ASPs               face               huge               difficulty               in               Communication               with               the               Local               Customers               in               China               and               Malaysia               where               more               90%               speak               their               native               languages               .

So               the               ASPs               invest               a               lot               of               amount               on               hiring               Local               staff               and               integrating               local               Languages               Software               in               their               Services               so               as               to               be               able               tackle               with               the               problem               of               Language.

Google               ,               Msn,               Yahoo               and               AOL               has               already               done               a               lot               in               this               regard               where               as               HSBC               bank               ,               standard               Chartered               Bank               and               Citi               bank               have               also               appointed               the               Local               staff               for               their               products               marketing               .

The               Language               has               also               helped               in               the               booming               industry               of               Call               centre               because               they               required               native               accent               or               neutral               accent               English               fluent               speakers               to               do               business               deal               with               the               Customers               worldwide               and               sell               their               produces               online               which               is               said               to               be               Tele-sales               .The               English               has               emerged               the               only               medium               of               communication               between               the               world               wide               countries               to               carry               out               business               and               other               contracts               .

The               importance               of               English               cannot               be               ruled               out               due               to               its               ever-increasing               need               and               requirements               if               any               company               goes               global.

               Advertising               and               Marketing:               The               advertisement               is               the               key               feature               to               market               the               Products               of               Service               Provider.

But               if               the               advertisement               is               in               Foreign               Language               then               it               will               be               available               to               the               People               who               are               at               home               at               the               language               but               if               the               same               advertisement               is               in               Local               Language,               it               will               find               great               response               from               the               Public               for               the               Company               Profile               and               Services               specially               IT               company.

Thus               the               Advertisement               in               Local               Languages               will               help               a               lot               as               compared               to               in               international               Language               such               as               English               .

The               advertisement               is               also               said               to               be               the               tool               with               which               the               companies               grows               .

The               more               advertisement               any               company               does               for               its               products               the               more               customers               are               attracted               towards               its               products               and               services               .

In               recent               years               the               advertisement               has               been               the               only               source               to               market               your               products               worldwide               thorough               Internet               marketing,               media               print               and               electronic               as               they               have               developed               at               the               massive               scale               .

The               electronic               media               has               also               developed               with               the               improvement               of               wireless               networks               and               main               source               of               information               regarding               the               product               updates               ,               new               products               and               new               services               offered               by               the               various               companies               worldwide               .

The               advertisement               and               marketing               are               the               really               source               of               maximizing               the               sales               of               the               company               and               making               it               popular               worldwide               due               to               advertising               its               innovative               products               in               the               market.

The               markets               are               available               for               the               companies               who               are               marketed               well               by               the               advertisers.

The               more               marketed               the               more               sales               will               be               for               the               companies               .

               Environment               and               Policies:               The               Certain               countries               of               Asia               have               certain               Policies               for               Investment               specially               the               foreign               investments               .

The               India               has               been               Hub               of               Business               in               terms               foreign               Investments               and               The               Second               Largest               market               in               Software               after               its               Film               Industry               .

The               It               sector               Policies               are               congenial               for               the               foreign               ASPs               but               they               purchase               Licensees               form               the               Companies               and               Rely               on               their               Local               talent               which               has               really               boosted               their               IT               Sector               .

Similarly               in               China               the               IT               sector               has               to               be               established               in               proper               manner               as               their               is               huge               market               of               electronics               and               auto               Industry               which               is               the               Countries               most               authentic               Industry               for               Economic               development               .

Bu               they               are               running               towards               the               IT               revolution               Application               Services               which               will               be               beneficial               for               both               ASPs               and               the               Companies               in               Search               of               ASPS               for               automating               their               Business               and               Outsourcing               .

The               Malaysia               has               been               also               the               hub               of               electronics               and               Tourism.

Its               tourism               and               electronics               industry               are               the               Country'               main               economy               supporters.

The               environment               and               the               policies               of               the               government               are               so               important               before               initiating               its               operation               by               any               Service               provider               company               .

The               environment               is               assessed               on               the               basis               of               origin               ,               Language               ,               needs               and               requirements               and               moreover               the               integrated               terms               and               society               .

The               product               markets               are               also               analyzed               by               the               know               how               of               the               products               and               requirements               mean               the               demand               .

If               the               demand               is               high               the               company               will               survive               and               if               the               demand               is               low               then               the               company               will               have               to               strive               hard               for               its               survival               .in               this               condition               the               company               will               gravely               need               the               introductory               campaign               through               advertisement               and               marketing./               similarly               the               government               policies               and               laws               are               also               applicable               for               the               smooth               operations               of               any               company               in               Asian               markets               .

If               any               company               violates               the               laws               and               policies               may               find               difficulties               in               future               .






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