the.world.is.flat-第98章
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called for HP to implement and manage a core banking system across 750 Bank of India
branches。 〃This is the first time we at HP are looking at the outsourcing of the core
banking function in the Asia…Pacific region；〃 said Sundaram。 Several multinational
companies competed for the contract； including IBM。 Under the contract； HP would take
charge of data warehousing and document…imaging technology； telebanking； Internet
banking； and automated teller machines for the whole bank chain。
Other stories explained that the Bank of India had been facing increasing competition
from both public… and private…sector banks and multinational corporations。 It
realized that it needed to adopt Web…based banking； standardize and upgrade its
computer systems； lower its transaction costs； and generally become more
customer…friendly。 So it did what any other multinational would do…it gave itself
a chest X…ray and decided to outsource all the funtions it did not believe were part
of its core competency or that it simply did not have the internal skills to do at
the highest level。
Still； when the Bank of India decides to outsource its back room to an American…owned
computer company； well； that just seemed too weird for words。 〃Run that by me again；〃
I said； rubbing my eyes。 〃HP； the folks I call when my printer breaks； won the
outsourcing contract for managing the back room of India's 750…branch state…owned
bank？ What in the world does Hewlett…Packard know about running the backroom systems
of an Indian bank？〃
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Out of curiosity； I decided to visit the HP headquarters in Palo Alto to find out。
There； I met Maureen Conway； HP's vice president for emerging market solutions； and
put the above question directly to her。
〃How did we think we could take our internal capabilities and make them good for other
people？〃 she answered rhetorically。 In brief； she explained； HP is constantly hosting
customer visits； where its corporate clients come to its headquarters and see the
innovations that HP has brought to managing its own information systems。 Many of those
customers go away intrigued at how this big company has adapted itself to the flat
world。 How；they ask；did HP； which once had eighty…seven different supply chains…each
managed vertically and independently； with its own hierarchy of managers and
back…office support…compress them into just five supply chains that manage 50
billion in business； and in which functions like accounting； billing； and human
resources are handled through a companywide system？ What computers and business
processes did HP install to consolidate all this efficiently？ HP； which does business
in 178 countries； used to handle all its accounts payable and receivable for each
individual country in that country。 It was totally chopped up。 Just in the last couple
of years； HP created three transaction…processing hubs…in Bangalore； Barcelona； and
Guadalajara…with uniform standards and special work flow software that allowed HP
offices in all 178 countries to process all billing functions through these three
hubs。
Seeing the reaction of its customers to its own internal operations； HP said one day；
〃Hey； why don't we commercialize this？〃 Said Conway； 〃That became the nucleus of our
business process outsourcing service 。 。 。 We were doing our own chest X…rays and
discovered we had assets that other people cared about； and that is a business。〃
In other words； the flattening of the world was both the disease and the cure for
the Bank of India。 It clearly could not keep up with its competitors in the flattening
banking environment of India； and； at the same time； it was able to get a chest X…ray
and then outsource to HP all those things that it no longer made sense to do itself。
And HP； having done its own chest X…ray； discovered that it was carrying a whole new
consulting business inside its breast。 Sure； most of the work for the Bank of India
will
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be done by HP employees in India or Bank of India employees who will actually join
HP。 But some of the profits will find their way back to the mother ship in Palo Alto；
which will be supporting the whole operation through its global knowledge supply
chain。
Most of HP's revenues today come from outside the United States。 But the core HP
knowledge and infrastructure teams who can put together the processes that win those
contracts…like running the back room of the Bank of India…are still in the United
States。
〃The ability to dream is here； more than in other parts of the world；〃 said Conway。
〃The nucleus of creativity is here； not because people are smarter…it is the
environment； the freedom of thought。 The dream machine is still here。〃
Rule #6： The best companies outsource to win； not to shrink。 They outsource to innovate
faster and more cheaply in order to grow larger； gain market share； and hire more
and different specialists…not to save money by firing more people。
Dov Seidman runs LRN； a business that provides online legal； compliance； and ethics
education to employees of global companies and helps executives and board members
manage corporate governance responsibilities。 We were having lunch in the fall of
2004 when Seidman casually mentioned that he had recently signed an outsourcing
contract with the Indian consulting firm MindTree。
〃Why are you cutting costs？〃 I asked him。
〃I am outsourcing to win； not to save money；〃 Seidman answered。 〃Go to our Web site。
I currently have over thirty job openings； and these are knowledge jobs。 We're
expanding。 We're hiring。 I am adding people and creating new processes。〃
Seidman's experience is what most outsourcing is actually about…companies
outsourcing to acquire knowledge talent to grow their business faster； not simply
to cut costs and cut back。 Seidman's company is a leader in one of those completely
new industries that just appeared in the flat world…helping multinationals foster
an ethical corporate culture around an employee base spread all over the world。
Although LRN
is a BE company…founded ten years before Enron exploded…demand for its services surged
in the PE era…post…Enron。 In the wake of the collapse of Enron and other corporate
governance scandals； a lot more companies became interested in what LRN was
offering…online programs for companies to forge common expectations and
understandings of their legal and ethical responsibilities； from the boardroom to
the factory floor。 When companies sign up with LRN； their employees are given anonline
education； including tests that cover everything from your company's code of conduct
to when you are allowed to accept a gift to what you need to think about before hitting
Send on an e…mail to what constitutes a bribe of a foreign official。
As the whole issue of corporate governance began to mushroom in the early 2000s；
Seidman realized that his customers； much like E*Trade； would need a more integrated
platform。 While it was great that he was educating their employees with one online
curriculum and advising boards on ethics issues with another； he knew that company
executives would want a one…stop Web…based interface where they could get a handle
on all the governance and ethics issues facing their organizations… whether it was
employee education； the reporting of any anomalous behavior； stewardship of a
hard…earned corporate reputation； or government compliance…and where they could get
immediate visibility into where their company stood。
So Seidman faced a double challenge。 He needed to do two things at once： keep growing
his market share in the online compliance education industry； and design a whole new
integrated platform for the companies he was already working with； one that would
require a real technological leap。 It was when faced with this challenge that he
decided to enlist MindTree； the Indian consulting firm； in an outsourced relationship
that offered him about five well…qualified software engineers for the price of one
in America。
〃Look；〃 said Seidman； 〃when things are on sale； you tend to buy more。 MindTree offered
a sale not on last season's closeout； but on top…no
