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[Thai Economics Library | Archives| Currency Crisis 2007| Entrepreneurs]
March 11, 2009

softwareparkineurope

Software Park Thailand's marketing partnership for European markets 

By Jon Fernquest

software park eu partnershipOne important goal of Software Park Thailand is to strengthen the marketing strategies of local software firms.

Towards this goal a partnership has been formed with the Dutch Centre for the Promotion of Imports from Developing Countries (CBI).

The partnership will run for four years from 2008 to 2012 and has been named the CBI IT Outsourcing Export Coaching Programme

CBI will help Thai software companies enter European markets and provide advice in many difficult areas:

1. Formulate strategies to be competitive
2. Marketing techniques
3. European laws
4. Marketing activities 

Software Park Thailand - a Thai government agency under the National Science and Technology Development Agency, established to stimulate the development of the Thai software industry (See website)
marketing strategies -
a strategy - a general plan of how to achieve something over a long period of time กลยุทธ แผนการ
marketing strategies - plans about how to sell your company's product แผนการตลาด
formulate strategies  - create strategies วางนโยบาบ วางแผนการดำเนินการ
a partnership - a relationship in which two or more individuals, organizations, or companies work together  ความร่วมมือกัน
formed a partnership - creating a partnership มาจับมือกันทำงาน
Dutch Centre for the Promotion of Imports from Developing Countries (CBI) - (See website and EU website)

Outsourced software development, opportunities in Europe

The value of the outsourcing market in Europe in 2007 was around 207 million, and it was expected to grow to 231.2 million in 2009.

High growth software sectors include logistics, supply chain and CRM, all areas which Thai companies have expertise in.

Thailand is ranked in the top 30 newcomers for outsourcing based on quality and government support. There are 24 CMMI-certified companies in Thailand, an increase from six last year. By the end the year, there should be around 40 companies which will make Thailand No. 2 in Southeast Asia.

There are currently around 50,000 Thai software developers but up to now software export have been limited, amounting to just 4.5 billion baht.

The present financial crisis presents an opportunity to Thai companies, since many European will be looking for ways to reduce costs.

outsourcing - have a firm and workers outside the company do work for the company (See Wikipedia on outsourcing and offshore outsourcing) การจ้างผู้เชี่ยวชาญด้านต่างๆมาทำงานให้กับหน่วยงานโดยไม่ต้องจ้างแบบประจำ
logistics - efficient organisation of the flow of goods from the factory to the marketplace, including transportation and storage (See Wikipedia) ระบบการจัดส่งสินค้า
supply chain - the steps in different firms and locations needed to produce a final good from raw materials and intermediate goods, ending with final assembly and distribution of goods in consumer stores (See Wikipedia)  โซ่อุปทาน
CRM (customer relationship management) systems - a computer system for improving a company's relations with its customers, "processes implemented by a company to handle their contact with their customers. CRM software is used to support these processes, storing information on customers and prospective customers. Information in the system can be accessed and entered by employees in different departments, such as sales, marketing, customer service, training, professional development, performance management, human resource development, and compensation. Details on any customer contacts can also be stored in the system. The rationale behind this approach is to improve services provided directly to customers and to use the information in the system for targeted marketing and sales purposes" (See Wikipedia) ระบบการบริหารและดูแลลูกค้า
expertise - special detailed knowledge of a subject  ความชำนาญเฉพาะทาง
ranked in the top 30 -  rated by experts to be among the top 30 firms in the industry ติดอันดับเป็นผู้นำ 1 ใน 30 ของสาขานั้นๆ
newcomers - new in doing this sort of activity ผู้ที่มาใหม่ สมาชิกใหม่
Capability Maturity Model Integration (CMMI), CMMI standards - a system for improving the business processes in a company (See Wikipedia
CMMI-certified - received an official certificate indicating that the organization has CMMI skills

Software companies chosen to participate 

Around 40 Thai companies were invited to join the programme and CBI has visited and run workshops with 14 firms.

In the end eight software firms were chosen to participate in the programme: Mfec, SSC Solution, AISoft, Teamwork,Promptnow, ThaiQuest, Suvitech and Ice Solution.

The eight chosen software firms will participating with software companies from Sri Lanka, Pakistan, Columbia, Armenia, Vietnam, the Philippines and Bangladesh.

This will give them a chance to learn about the competition in neighboring Asian countries.

Here is some background information about the chosen companies:

1. MFec

Mfec is a large company with 650 employees that specializes in information intelligence for telecom, financial and banking and provides such services as data cleansing, data consolidation, reporting and monitoring
 
The company is targeting the Germany and UK markets because: 1. both are large markets, and 2. use of the English language is prevalent there unlike most European countries.

Mfec is the only Thai company that is USFCPA (United States Foreign Corrupt Practice Act)-certified.

Thomas expected that the company would be involved in two projects by 2010.

2. Suvitech

Suvitech is a much smaller company with 100 employees.

The firm is a provider of business solutions, systems integration and consulting services in the telecom and finance sectors

Suvitech aims to have revenues around 1 million within three or four years. The company currently exports to Singapore, Taiwan and Malaysia.

The Netherlands and Germany are its two main target markets.

3. Ice Solution

Ice Solution builds systems on top of open source software and specialises in sales force automation, web application development and trade management.

The firm is targeting its trade management software at the cosmetics industry, especially in France.

The firm's software covers product structure, product category, distribution channel, distribution methods, planning as well as other details.

4. AISoft

AISoft specialises in online travel and has around 20 employees.

Noted that the company has exported products to Asia Pacific and expects to have around three projects in Europe soon, each worth around 20,000 to 30,000.

5. SSC Solutions

SSC Solutions specialises in software for water leakage management.


workshops - when a group of people meets together to discuss or get practical experience in some area การประชุมเชิงปฏิบัติการ
background information - detailed information about a company and its experience in the markets it sells in
intelligence, business intelligence
- information gathered about a business's competitors, their activities and strategies การเก็บหรือหาข้อมูลของบริษัทคู่แข่ง
telecom - telecommunications, dealing with telephones  การโทรคมนาคม หมายถึง การสื่อสารทางไกลโดยใช้โทรศัพท์ เคเบิล โทรทัศน์ วิทยุและโทรเลข
USFCPA (United States Foreign Corrupt Practice Act) - a US law known mostly for two things: 1. rules against the bribery of foreign officials, and 2. accounting transparency requirements under the Securities Exchange Act of 1934 (See Wikipedia)
certified - inspected officially and verified that the company follows the rules  ผ่านการรับรองคุณภาพ
provider of business solutions - sells business software to companies เป็นผู้ขายซอฟแวร์ที่เกี่ยวกับการจัดการบริหารหน่วยงานให้มีประสิทธิภาพ
open source software - computer programs that anybody can use and adapt for their own use, since the source code is freely available (See Wikipedia)  โปรแกรมคอมพิวเตอร์ที่เปิดให้คนทั่วไปใช้ได้โดยไม่เสียค่าบริการ
builds systems on top of open source software
- use free open source software as the foundation to build more specialized software     การสร้างโปรแกรมที่ใช้เฉพาะทาง โดยใช้โปรแกรมแบบ open source software เป็นตัวเขียนโปรแกรม
a sales force - all the people who are involved in selling a company's goods or services  บุคคลากรฝ่ายขาย
sales force automation - computer systems used to track the work and performance of a company's sales force (See Wikipedia) ระบบการจัดการและบันทึกข้อมูลด้านการขายอัตโนมัิติ
trade management software - โปรแกรมจัดการการขาย
cosmetics - things such as lipstick and mascara that women (and ladyboys) put on their face to look more beautiful เครื่องสำอางค์
distribution channel - the series of steps that a company's products are made available to customers (through wholesalers and retailers) ช่องทางการจัดจำหน่าย

(Source: Bangkok Post, database, 11/03/09, Thai software companies head for EU: Software Park's European initiative, SASIWIMON BOONRUANG, link)
 

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