China R&D Operations Driving CDC Software's Development To Higher Levels of Innovation, Product Launches and Cost Efficiencies
August 04 2008 - 8:04AM
Business Wire
CDC Software, a wholly-owned subsidiary of CDC Corporation and a
provider of industry-specific enterprise software and services,
today announced it is seeing significant cost savings and improved
efficiencies in its R&D operations as a result of moving its
product development operations to a hybrid offshore/onshore model
that leverages emerging markets like China and India, as well as
through the adoption of an Agile development process. CDC
Software�s offshore development centers in Nanjing and Shanghai,
China and Bangalore, India now represent more than 70 percent of
the company�s research and development resources, with future plans
to increase that to 76 percent. The Bangalore facility primarily
focuses on R&D for the company�s CRM solutions while Nanjing
and Shanghai are primarily responsible for Process Manufacturing
and HRM solutions. These centers have been instrumental in the
company�s effort to deliver superior technological solutions, while
bringing products quicker to market in a cost effective manner. As
proof of that, CDC Software recently announced several new
enterprise software products, with several more product releases
planned for the remainder of the year. Recently, CDC Software
announced Pivotal 6.0, a newly designed CRM platform based on
Microsoft.NET technology, major enhancements to CDC Respond, CDC
Supply Chain, Platinum HRM and upcoming major releases of CDC
Factory and Ross Enterprise. �In 2004, we had nominal product
engineering resources in India and China, and now we have more than
70 percent of our product development team located in these
emerging markets,� said Alan MacLamroc, senior vice president and
chief product and technology officer, CDC Software. �By leveraging
the cost differences from moving to this model, we have been able
to bring to bear more resources, and realize more productivity and
efficiency, while making the same relative level of product
investment.� According to Gartner Group report, Analysis of China
as an Offshore Services Location, November 2007, �China is emerging
as the sourcing destination of greatest interest after India. The
key elements driving interest include China�s large resource pool,
relative cost structure, solid infrastructure and, of late,
increased central government support for the nascent outsourcing
industry.� The report also included one of these recommendations:
�China is a market worth investing in for the longer term, because
it is the only other country that can match (or even exceed) India
in terms of the number of graduates produced.� �Our China R&D
operations represent the fastest growing operational area of the
company,� said Sean Yu, vice president, CDC Software and chairman
of CDC Software (China). �All of our Process Manufacturing,
Business Intelligence and HRM solutions, which comprise virtually
our entire enterprise product line, except for CRM, are now
developed at our China facilities. We plan to grow further at our
R&D centers here, as well as continue our university programs
at four of the leading universities across China to recruit the top
talent in this country.� Part of the accelerated product releases
at CDC Software is also attributed to the company�s global adoption
of Agile Software Development, a framework for development that
promotes iterations, open collaboration, and adaptability
throughout the lifecycle of the project. CDC Software�s Agile
Software Development process has already helped us in the following
areas: increasing customer satisfaction through rapid and
continuous delivery of valued-added solutions; allowing us to give
continuous attention to technical excellence and innovative design;
delivering major software releases frequently (i.e: three times per
year versus annually) but in a manner where it will not disrupt
customers� businesses; and permitting us to have daily and close
collaboration with CDC Software�s business professionals and
developers located around the world. �Our long-term commitment is
to develop innovative and vertical-specific solutions that we feel
differentiate us in the marketplace by allowing us to specifically
address our customer�s distinct industry requirements,� MacLamroc
notes. �With our new Agile Software Development framework and
heavily automated processes, we already have seen faster
time-to-market for our products. Our highly efficient model has
allowed us to continue our emphasis on maintaining the highest
quality, while rigorously managing costs. At the center of these
accomplishments are our China and India development centers which
we expect to represent an even greater percentage of our offshore
development strategy in the future.� About CDC Software CDC
Software, The Customer-Driven Company�, is a provider of enterprise
software applications designed to help organizations deliver a
superior customer experience while increasing efficiencies and
profitability. CDC Software's product suite includes: CDC Factory
(manufacturing operations management), Ross ERP (enterprise
resource planning) and SCM (supply chain management), e-M-POWER
(discrete manufacturing), CDC Supply Chain (supply chain
management, warehouse management and order management), Pivotal CRM
and Saratoga CRM (customer relationship management), Respond
(customer complaint and feedback management), c360 CRM add-on
products, industry solutions and development tools for the
Microsoft Dynamics CRM platform, Platinum HRM (human resources) and
business analytics solutions. These industry-specific solutions are
used by more than 6,000 customers worldwide within the
manufacturing, financial services, health care, home building, real
estate, wholesale and retail distribution industries. The company
completes its offerings with a full continuum of services that span
the life cycle of technology and software applications, including
implementation, project consulting, outsourced business services,
application management and offshore development. CDC Software is
the enterprise software unit of CDC Corporation (NASDAQ: CHINA) and
is ranked number 12 on the MBT 2007 Global 100 List of Enterprise
and Supply Chain Management Application vendors. For more
information, please visit www.cdcsoftware.com. About CDC
Corporation The CDC family of companies includes CDC Software
focused on enterprise software applications and services, CDC Games
focused on online games, and China.com focused on portals for the
greater China markets. For more information about CDC Corporation
(NASDAQ: CHINA), please visit www.cdccorporation.net. Cautionary
Note Regarding Forward-Looking Statements This press release
includes "forward-looking statements" within the meaning of the
United States Private Securities Litigation Reform Act of 1995.
These forward looking statements include statements regarding our
operating facilities in Asia including our ability to continue to
realize significant cost savings and improved efficiencies by
increasing product development operations in Asia, our intentions
to increase headcount and the expansion of development operations
in Asia, and the development of CDC Software products from its
Asian development centers, our ability to develop innovative new
products and provide major enhancements to CDC Software products
and to implement such enhancements in a manner that will not
disrupt customer�s businesses in the future, our beliefs regarding
the benefits of the Agile Software Development process and other
statements that are not historical fact, the achievement of which
involve risks, uncertainties and assumptions. If any such risks or
uncertainties materialize or if any of the assumptions proves
incorrect, our results could differ materially from those described
in the forward-looking statements. These statements are based on
management's current expectations and are subject to risks, and
uncertainties and changes in circumstances. Factors that could
cause actual results to differ materially from those anticipated in
the forward looking statements include, quarterly fluctuation of
software product license revenue, weakening of customer demand for
enterprise systems, maintenance of a minimal backlog, and
uncertainty of demand for new product offerings. Further
information on risks or other factors that could cause results to
differ are detailed in filings or submissions with the United
States Securities and Exchange Commission made by our parent, CDC
Corporation, including its Annual Report for the year ended
December 31, 2007 on Form 20-F filed on June 30, 2008. All
forward-looking statements included in this press release are based
upon information available to management as of the date of the
press release, and you are cautioned not to place undue reliance on
any forward looking statements which speak only as of the date of
this press release. The company assumes no obligation to update or
alter the forward looking statements whether as a result of new
information, future events or otherwise.
Cdc Corp. (MM) (NASDAQ:CHINA)
Historical Stock Chart
From Jun 2024 to Jul 2024
Cdc Corp. (MM) (NASDAQ:CHINA)
Historical Stock Chart
From Jul 2023 to Jul 2024