wtc manesar at nilf day 3
TRANSCRIPT
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N E W S L E T T E RDay-3
Presents
FEbRuaRy 13-15, GRaNd HyaTT, MuMbai
The Business of Infotech
in assocton wth
ImagIneerIng the future
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view point
NaSSCOM@nsscom
Le s strggle, ts never gong to
e es; t the cceptnce o ths
ct wll mke le lttle eser-@
SrBchchn #NaSSCOM_iLF
Vlton s n mportnt rver, t t not
the onl rver.-Rmn Ro #NaSSCOM_
iLF @Rmn_Ro
Prmod Bhsin egns the innovton
Pnel - Mrket Leers ont o
erent thngs, the o thngs
erentl! #NaSSCOM_iLF
in orer to e sccessl leer o hve
to e pssonte n crele-
Jime Vlls #NaSSCOM_iLF
St tht hs helpe s n the pst m not
lws help s n the tre.-
T K Kurien #NaSSCOM_iLF
The est kn o nvestor s the one who
knows wht he oesnt know. -Deep
Klr #NaSSCOM_iLF @eepklr
To hve ntellectl honest, o nee
to hve concts.-Dhirj C Rjrm
#NaSSCOM_iLF
People oten mke the mstke o wnnng
smll ttles rther thn the wr.-Trvis
Brdberr #NaSSCOM_iLF
Ntons re now ecomng ver orer
conscos-RGoplkrishnn
#NaSSCOM_iLF
in hs hghl sklll workorce n t s
mportnt or the uS to ensre the sme or
ts workorce. -@GovernorMrkell
of the
DayTweets
D
ataquest caught up with Harish Mehta,
Chairman, Onward Technologies and
one o the ounders o Nasscom. Harish-
bhai, as he is popularly known withinthe industry, has been Nasscom chairman in the past
and he has led numerous initiatives to advance the in-
terests o Indias sotware industry. Harishbhai is also
the classic rst-generation global Indian technology
entrepreneur.
We asked him what his outlook was on Indias
sotware industry o 2013. He said that he was con-
cerned about the hurdles to entrepreneurship, espe-
cially at a time when the time was ripe or entrepre-
neurship to fourish. The most vexing issue is the
slew o taxes that the government wants to extract in
advance. He says, These taxes are enough to nip the
entrepreneurial spirit in the bud.
Nasscom recognizes the problem or the issue buta workable solution is yet to be arrived at. Harishbhai
asserts that this would require a special consideration
or an out-o-the-box solution similar to what N.VIttal
came up with when he set up the STP scheme with 64
kbps link to promote sotware exports.
The Vexing Tax Issue
A simplication o the tax structure is imperative
to promote entrepreneurship. Harishbhai also invites
suggestions rom sotware companies, consultants,
media, and all walks to resolve this issue. Write in to
[email protected] with this headline in subject.
Hrish MehtChrmn, Onwr Technologes
Business guru Ram Charans keynote on
Leading in Uncertain Times was as much
steeped in practical ideas as with wonderul
insights rom his writings and consulting
work with world-leading companies. Rams domi-
nant thrust was on catalysts- the individual agents
that trigger changes in markets and entire industries
and on senior executives having an outside-in view
o things. Steve Jobs was the catalyst in changing the
music industry and the computing industry. Another
example is Amazons Je Bezos.
The process o dealing with uncertainties starts
with the mindset that sets the eye rmly on the prize
and the mind that should be directed at olding the
uture back. Organizations can seed this mindset bysimple procedures like 10-min meetings and quarterly
round-ups where one single individual will report on
one uncertainty and identiy the catalyst behind that.
In the next meeting, another person does this, then a
Managing the future in uncertain timesthird, and so on. The process will lit the altitude o
thinking, said Ram.
Segregating the known unknowns and devising
ways to deal with them is the easy part. The dicult
one is to discern the unknown unknowns. Perceptual
thinking is the only way to make this happen. Gather-
ing unltered ground-level intelligence, choosing the
right goals, measuring the upside and the downside,
providing a war-chest, and keeping an eye-out or
body blows are sound ways to deal with uncertain-
ties in the short to medium term. Management jargon
might call this as risk management, but Rams prac-
tical examples go a long way in demystiying it.
Once again, spotting catalysts through perceptual
thinking, imagining the convergence o trends, iden-
tiying the shits o prot pools, detecting cross-indus-
try eects, anticipating regulatory impacts, and man-
aging geo-political, geo-economic, and geo-nancial
risks, are ways to identiy uture trends.
The imperatives or leaders, as prescribed by Ram,
deals with developing the external ocus, managing
the short-term with the long term, building new capa-
bilities, and having a razor-sharp ocus on execution.
Leaders should also develop the capacity to create
fexibility in conguring resources and become adapt-
able to shits in portolio.
Regarding India, Ram is bullish. He exhorted
Nasscom attendees to gure out the uture instead o
bemoaning uncertainties and diculties in planning
or the uture. The central tenet is that we have the
opportunity to create the uture. He thundered-We
can determine our destiny. He urged business leaders
in India to make talent more employable, to promote
FDI and value-added exports, and to balance our pri-orities and opportunities with China. No soothsayer
that he is, Rams ending notes were encouraging. True
to his Indian identity and lineage, he enjoined Let
us join hands to go orward.
Rm Chrnbsness avsor & athor
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trends
Rise in digital adoption by consumers in go-
ing to inevitably lead to the convergence o
new age technologies-indicates the KPMG
report launched at the NASSCOM India
Leadership Forum 2013, yesterday.
Digital WaveA rapid increase in digital consumerism will be seen
in the coming decade and we are already witnessing
micro-segmentation o customers and product &
services being tailored at individual level. IT vendors
need to work closely with their customers and come
up with platorms that can take advantage o the con-
vergence o the technologies, said Pradeep Udhas,
Head IT/ITes, KPMG in India.
He urther added, IT vendors really need to
listen to the end customers while innovating or
developing solutions and products. The emphasis
needs to be on tapping inputs rom various channels,
mediums and devices and using these as critical inputs
or new solutions and incremental innovations. Indus-
try bodies can also play a vital role in this, and increase
Digital Consumerism,a game changer for IndiaThe next wave of growth will emerge from convergence of disruptive technologies
awareness about convergence o technological trends.
Digitally active consumers have embraced the
internet, telecom, media, and social space; changing
the way they communicate, transact and make pur-
chase decisions, thus leading to the birth o an era
o digital consumerism, the report states. Rise in the
number consumers who shop online, seek recommen-
dations and interact with brands presents a tremendous
opportunity or companies.
Disruptive TechnologyWhile technologies such as big data and cloud have been
dominating the imagination o enterprises or the pastcouple o years, new disruptive trends like augmented
reality and social media have only now started having
a tangible presence. The maturity curve o these tech-
nologies is estimated to increase at a rapid pace over the
next decade, with big data and cloud estimated to reach
a market potential o tens o billions o dollars.
KPMG in India estimates that the uture o IT-
ITeS players in India and globally is dependent on
how ast they adapt to the changes in customer de-
mand. There needs to be a strategic shit in solution
oerings and supportive ecosystem going orward
wherein vendors provide not just the standard core
industry platorms, but also think ahead o the curve
Krishnakumar Natarajan, Vice Chairman, NASS-
COM, opined, I the rst 20 years the eorts were
to make towards driving eciency, now consumeri-
sation o enterprises is happening. The line between
ocial and personal work is blurring. Convergence
o some o the segments is dependent on how we can
leverage on IT. How we will capture the new markets
will make a huge dierence.
On a fnal noteThe sheer size o the government sector can drive the
growth o emerging technologies and since the gov-
ernment interacts with almost all the stakeholders in
an economy all the disruptive technologies nd utility
in one way or the other.
S
peaking about how innovations helped
them make the dening change, some o
the winners o the NASSCOM Social Inno-
vation Honors spoke o their experiences.
Anand Bajaj, Group Executive Vice President andChie Innovation Ofcer, Yes BankWe listened to the
weak signals and connected the dots. A couple o
interviews later we concluded that it was the hard-
earned money that people were sending back home.
And at the end o the day, it is also important to ol-
low your gut eeling, and we were lucky to have the
support o our management.
Abhinav Sinha, co-ounder and COO, Eko India
Financial Services Pvt LtdThrough our low cost -
nancial services we managed to create a banking
network or the lesser literate people. On one side,
we partnered with banks like Yes Bank and on the
other side, we tied up with retail outlets. To ensure
the success o this network, you have to build a lot
o trust and or that a lot o awareness needs to be
created.
Shyam Bihari Singh, Deputy Director General and
State Inormatics Centre, NIC, UPI was handed over
the project in 2007. A challenge in itsel as the edu-
cation sector was marred by maa, bogus schools.
Gaining true inormation with the help o NGOs
and the media helped us to prepare a transparent
system.
Sudhanshu Tripathi, Finance Controller, Mid-Day
Meal Authority, UPWe send in IVR calls to which
the number o students ed or that day needs to be
ed rom the other end. The data is then ed into the
server and now we are fooded with data.
The Social Innovators
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MASTERING THE 3 LEVERS OF EFFECTIVE SOURCING LEADERSHIP
MARCH 14GRAND HYATT
NEW YORK CITY
Vishal AhluwaliaExecutive Director - Operations Head Outsourcing & Offshoring, UBS
Precy B. GoldsteinDirector - Corporate Development Organization, UBS
Atul VashisthaFounder & Chairman, Neo Group
Alan HansonSenior Vice President, Neo Group
Hemant PuthliPartner, Neo Group
Pankaj SharmaPartner, Neo Group
Donald MonesIT Vendor Management & Sourcing, MetLife
Dave ColesanteSenior Vice President of Product Development & CTO,Alert Logic
SPEAKERS
HIGHLIGHTSFull day with over 12 key sessions
25+ Speakers from leading global enterprises
Keynotes, Plenary sessions
SESSIONS ON: Managing Disruptive Forces
SESSIONS ON: Managing Relationship Portfolios
Networking opportunities with industry peers
For more information or to register, visit www.globalservicesconference.com
For Sponsorship Opportunities Contact: Gurdeep Bindra at [email protected]
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techtrack
In line with the trend, speakers at NILF 13
banked heavily on key trends like Big Data and
Analytics. In the session titled Transactional
to transormational: Co-relating business to
hidden intelligence, Manoj Singh, Chie Operating
Ocer, Deloitte Touche Tohmatsu pondered on the
multi-old ramications o the Big Data phenomenon.
Singh spoke about how Big Data is encompassing the
whole gamut- starting rom enterprise to consumer
and in the bargain having its impact on every level-
marketing, social media, government, individual and
whole lot o others. Gaining insight rom this seem-
ingly spread across area is the most important to any
organization.
Singh refected on some Big Data success stories,
including his own organization and how it has lever-
aged on Big Data. At Deloitte, we have understood
the employee aspirations well and are able to put a
cap on attrition by putting in place a Big Data strat-
egy that has made it manage attrition more eectively.
We captured and analyzed traditional and non-tradi-
tional variables. We actored in aspects like attrition
rates and the cost o hiring replacements and looked
at greater employee satisaction and better manage-ment o HR challenges.
Outside o his organization, Singh talked about
how leading Airlines are leveraging Big Data in under-
standing the consumer behavior patterns as well as or
Big Data-Big Impact
Some o the statistics on hot technologies the
Analyst rms come out were indeed mind
boggling and sometimes one does wonder
whether all those prediction comes true and
is it really in sync with the customers. This was the
undercurrent o discussion on a very interesting panel
discussion on the theme: Are technology predictions
redundant? Do we really know where we are headed?
The panel consisted o Christoph Baeck, CIO Asia,
Hilti, Gerald Hoehne, CIO, SMA Solar Technology
AG, and Manu Parpia, MD & CEO, Geometric. The
panel was moderated by Chaitanya Kalbag, Editor,
Business Today.
Manu Parpia, while echoing that absolute predic-tions are not possible at the same time said that some
amount o trend gazing is required or understanding
the market progression.
Meanwhile Gerald Hoehne also agrees to the
same thought. He said, I we look back at all the
prediction in the last many years and look at how
much o it has actually happened in the scale as
predicted, would throw up some insights. But some
degree o uture gazing is certainly required or
strategy.
Christoph Baeck eels that prediction assumers
important when we put the IT department in per-
Tech Predictions-Myth or Reality
Putting aBig Data plan
For enterprse strg-
glng to fn w
ot o the t mze
n wntng to crete
bg dt pln n
strteg, Mnoj Sngh
hs the ollowng -
vce whch he clle
Optons or acton
action 1: Strt wth hghl specfc
qestons ot the sness prolems
o re trng to solve
action 2: artstr comes rom fne
tnng scplne wth the nee or glt-
mke sre the technolog choces o
mke cn spport sch exlt.
action 3: Focs on Force-orgnztonl
slos to nerstn or strtegc gols.action : bl or ench wth let-
rne t scentsts n rght rne
vrtlzton tems.
spective. He eels that the CIOs job becomes lot more
easier i they are able to understand the p[progression
o IT and how it will impact them per se. That kind o
prediction CIOs need to bank on.
The key takeaway at the end o the session was that
prediction need to be tailor made to the organization
needs and it need to be in sync with the customer as-
pirations.
organizational eciencies. Yet another interesting ex-
ample Singh shared relates to Netfix and how it orced
another company called Blockbuster out o business.
While Blockbuster adopted a model that was once good
but once Netfix mapped the customer expectations
more in sync with their expectations, it was able to o-
er more innovative pricing and service models.
Given the large scale impact o Big Data, what does
the uture hold? Singh shared the overall outlook on
the Big Data progression and the signicant trends he
shared are: By 2020, close to 40 billion new connected
devices will be connected in the Internet. By 2015, BigData will create 4.4 million IT jobs globally. Mean-
while Big Data market in early 2012 is estimated to
be $ 5 billion and is expected to reach$ 23.8 billion by
2016, growing at a CAGR o 31.6%.
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Driving operational efciencies
drvng opertonl efcen-
ces n next generton
contct centers. To
wth the evolton o SiP s
complete soltons or the con-
tct center most orgnztons
look or rvng efcences :
nFlttenng, Consoltng nExtenng the technolog nr-
strctre ths provng:
- Geogrphcl bCP & dR c-
plt.
-Optmm tlzton o
gents n exle cll / t
rotng cpltes.
-Optmm tlzton o resorces n terms o
technolog.
- best SLa n herence cpltes.
navnce role se tools or sstem mnstr-
ton n mltple component mnstrtonnTools to nerstn cll ows, whch re efcent n
whch cn e mprove, ths mprovng efcenc rther
Rjeev MittlMngng drector
in & SaaRC
av
viewpoint
The Glol Servces Conerence 2013 s schele to e
hel 03/14 t New york Ct. The workng weste or the
event s: www.glolservcesconerence.com
The provsonl theme sttement o the conerence s Mster-
ng The Three Levers o Eectve Sorcng Leershp
The conerence wll scss three ke res:
n
Mngng Technolog dsrptors: Clo, bg dt/anltcs,Mole, Socl Me
n Mngng Portolos: Emergng Trens n Governnce, Rsk
n Venor mngement ofces
n Mngng Servce delver Moels: Onshore, Nershore, O-
shore n Shre servces
The Glol Servces Conerence 2013 wll elve eep nto
these reltes. it wll rng together es, thoghts, opnons
n experences n come p wth rel ws o overcomng
chllenges n entng the est opportntes mst these
srptve chnges.
Global Services Announces
GSC 2013
Ed NirThe thor s Etor o dtqest & Glol Servces
What happened yesterdayEditor's Note
Attending conerences like Nasscom ILF is
always a challenge in terms o managing
time. However well you plan the day, de-
ciding between sessions to attend, people
to network with, and interviews/ meetings to go or,
you always emerge with a dierent outcome. Some
sessions are titled very provocatively, while others are
understated. When your expectations are thrashed,
you look or the next best available opportunity.
Thats when you realize a missed opportunity. And,
perhaps a missed appointment. Only the rst session
and the last (usually the cocktails and dinner) go as
planned. Thank everyone or that!
Business guru Ram Charan opened the day to an
earul o good advice. He outlined ways in which lead-
ers can manage uncertainties. His key point was thatwe need to employ perceptual thinking to discern u-
ture patterns; we need to identiy catalysts or change
agents, and employ an anchor to bring the uture or-
ward to us.
Roger L. Martin, Dean, Rotman School o Busi-
ness outlined a good 5-point ramework or ormulat-
ing strategy. The key message was that strategy is all
about making the right choices. Even simpler, it is all
about making ve choices.
Another session drove home the point o cus-
tomer satisaction and perhaps customer delight as
the key dierentiator in the business. Walmart CIO,
Karenann Terrell, provided the dimension o build-
ing trust with customers. Big Data is one o the dis-
ruptive technologies that presents huge opportunity
in services. The Deloitte session conveyed the perva-
sive impact o Big Data. Some o the CIO speakers
had an honest submission to make: the confuenceo disruptive technologies makes them both excited
and sleepless.
There has been lot o uture-gazing about technol-
ogy and its impact on the services industry. The ques-
tion is do predictions matter? In a session, the im-
port was that technology roadmap and predictions go
hand in hand, but the numbers most oten dont really
help. For one, either the prediction or the timerame
or both are ambiguous. Analysts seem like a necessary
evil, the panel seemed to conclude.
Be in touch with me at [email protected] .
Enjoy the last day at Nasscom ILF 2013! Sae travels.
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DIY- Designing Strategy in 5 Steps
R
oger L. Martin, Dean, Rotman School o
Business, has co-authored a book, Playing
to Win- How Strategy Really Works, with
A.G. Lafey, the legendary CEO o P&G. Roger de-mystied the holy grail o strategy down to making
the right choices. He said, Strategy is essentially
about a making a nite number o choices. To win,
a company must choose to do some things and not
do the others. Choosing to do everything is to spread
your resources thin and diuse management ocus
which is a sure-shot recipe or disaster.
Roger crunched down the choices concept
to ve simple questions that become the guiding
ramework to ormulating strategy. The ve ques-
tions to be answered in a non-linear and iterative
process are:
n What is our winning aspiration? Note the em-
phasis on winning. The process has to start with thedesire to win or someone else with the desire to win
will overtake you.
n Where will we play? This is a dicult choice
because you have to employ all senses and read all
signals to decide on a specic space.
n How will we win? This helps come out with a
unique plan to execute.n What capabilities must we have?
n What management systems are required?
Roger thrashed the traditional process o strategy
making that starts with a SWOT analysis and then
goes on ormulating the vision statement, then the
measures, and such. He said that the process sim-
ply does not provide the scope or making choices or
looking at multiple possibilities. Far less, it does not
include winning as the agenda.
Lastly, on choice, Roger said that when things are
going great, when the industry you are in has natural
momentum, you have it easy in not having to choose
a playing feld. Roger warned that this is early warning
signal o impending trouble when you start meetingthe frst headwinds. By then, you will be led so ar out
into the sea, that you will be orced to make a deliber-
ate choice.
WEARE
INCISIVE
ACTIONABLE
ENTERTAININGWHAT ELSE WOULD YOU EXPECT FROM AN INDUSTRY
LEADER?
S i n c e 1 9 8 2
For WaysTo Engage Contact Arvind Razdan @ +91 997 178 2277 or [email protected]
PRINT | ONLINE | EVENTS | DIGITAL | CUSTOM | RESEARCH | WEBINAR
Roger L. Mrtinden, Rotmn School o bsness
strategy
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Outsourcing China:
What's the realityMalaysia Readyto Play Its NicheOutsourcingStrengths
In terms o absolute dollar amount, India is ex-
panding the lead over China on oshore rev-
enue. People in the industry agree that China
is not going to pass India on oshore business
anytime soon.
China is optimizing its industry structure, which
expects to promote the annual growth o service
sectors by at least 1 percent, that is, Chinese local
market will be denitely the blue ocean or Chinese
service providers.
The two countries possess language advantag-
es as avorable oshore outsourcing destinations.
India enjoys seamless integration with technology
development in the U.S. and long history o col-
laborating with the American companies, while
Philippe ocuses on BPO, especially call center
services. They both have their own specialty and
advantages.
Although we believe China will be among thenext top markets in the world, it takes much time
or the request to mature. Additionally, the Chinese
buyers lack management capability, which will also
restrain the development.
Chinese service providers strive or the busi-
ness transormation, and they dont own the
industrial consulting competency, which make
them all behind American and Indian compa-
nies. Thats why they target to improve the ca-
pability in o-shore market, and take the oppor-
tunity to accumulate the experience in serving
local market.
Mr. Qu Lingnin,Chrmn, bejng assocton o
Sorcng Servce
It has been another year o good growth or Malaysia,
even as the international economic climate has been un-
certain. Strong domestic demand, government investment,
greater diversifcation and regional resilience have all
played their part.
An intensive Economic Transormation Programme
spearheaded by the government aims to improve Malaysias
human capital, develop a high-tech economy and incentiv-
ise advanced manuacturing.Source:Oxford Business Group
The Asia Pacic countries have domi-
nated the outsourcing scene or a while.
Especially in a scenario where the Eu-
ropean market is still reeling under the
economic crisis and the US looks stagnant, the at-
tractiveness o the APAC region is surely going to
stay or become better.
Malaysia is one o the APAC countries that
cant be ignored when we talk about promising
locations. Surging domestic demand and greater
government ocus is expected to unold new op-
portunities or outsourcing and shared services.
Nearly 200 multinational companies have set up
their shared services centers in Malaysia.
Although, the traditional avorites, India, Chi-
na and Philippines are still pretty ahead in the low
cost race, the services industry in Malaysia is ex-
pected to oer some surprises in terms o its niche
service capabilities in areas like knowledge process
outsourcing, nance and accounting and HRO.
The Oxord Business Group has stated in its
Malaysia 2012 report that outsourcing is being seen
as a growth industry in Malaysia under the gov-
ernments Economic Transormation Programme
(ETP). The countrys Perormance Managementand Delivery Unit stated that the revenue or out-
sourcing rms in 2011 was around US $273M in
2011, up 139 percent rom the initial ETP target.
Japan Business Tower @WTC Manesar
Japan is ast emerging as one o Indias major trad-
ing partners as economic ties between the two
countries continues to improve. On the econom-
ic ront, under the India-Japan Strategic and Global
Partnership, the two sides have launched a Special
Economic Partnership Initiative, which has several
high-visibility fagship projects such as:
nWestern Corridor o the Dedicated Freight Corri-
dor to be partially unded by Japanese sot ODA loan,
n Delhi-Mumbai Industrial Corridor (DMIC),
whose project development will be partially unded
by Japan. The DMIC, projected to attract about $92
billion in oreign investment, will be built around the
DFC. A consortium o Japanese private sector com-
panies is collaborating with the DMIC Development
Corporation as well as the governments o the con-
cerned states, in developing eco-riendly townships in
the DMIC zone using Japans best practices.
There has also been a change in how the manage-
ments o Japanese companies perceive Indian rms as
they shit their ocus rom developed markets. They
see diversication o country exposure and having al-
ternative manuacturing bases as key to lowering risk.
Also, while Japanese businesses continue to generate
cash, there are minimal investment acquisition op-
portunities on the home ront. With the cost o capitalabysmally low (as little as 0.1%), it has become more
viable or Japanese investors to buy assets in India.
Some acts on the India Japan economic relations:
n A Comprehensive Economic Partnership Agree-
ment was signed by between Indian & Japanese gov-
ernments covering more than 90% o the trade.
n Delhi-Mumbai Industrial Corridor is a mega
inra-structure project o USD 100 billion with the
nancial & technical aids rom Japan, covering an
overall length o 1483 KMs between the political
capital and the business capital o India, i.e. Delhi
and Mumbai.
n About hal a dozen Japanese companies are
building smart cities in India.
n India Japan trade leapt by 30% between Aug
2011 and March 2012. Currently, the bilateral trade
stands at US$ 10,363.72 million rom in US$ 4,193.41
million 1996-97
A case in point is the Japan Business Tower at
WTC Manesar, a proactive initiative to serve Japanese
companies operating in India. As a dedicated space,
the tower will serve the Japanese Business Commu-
nity looking orward to establish their operations
here. The tower will have a much desired compatible
business eco-system required by the Japanese organi-
zations or their smooth operations. To ensure best
quality services, a dedicated Japanese Inormation
desk will be a key highlight o the centre which will act
as a single point o contact or various vital services
such as Relocation, Realty, Cross Cultural Trainingand Cultural Immersion or the Japanese community
in India. The desk will also have a separate section or
Translation Services rom various languages to Japa-
nese and vice-versa.
asia-japan
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