WITH Singapore aiming to turn itself into a major global information technology (IT) hub, a top IT industry leader feels that the Republic should look for strategic partners at all levels of the value chain.

Tan Tong Hai, president and CEO of Singapore Computer Systems (SCS), told BizIT that by partnering world-class players with best-in-class processes and methodologies, Singapore can continually improve its service offerings while learning from those who have 'been there, done that' in other parts of the world.

Mr Tan feels a global IT hub is a place where knowledge workers from any country can conduct business and interact virtually through multiple technology channels (voice, video and data), leveraging global standards and international policies. 'Singapore is in a prime position to be a global IT hub, given the availability of multicultural talent, political stability, government support, strong legal framework, state-of-the-art infrastructure and the adoption of world-class standards,' he notes.

Agreeing with Mr Tan, Stephen Yeo, EDS VP for strategic initiatives, says that to become a global IT hub, Singapore needs to become a repository of best practices, tools, processes, expertise and solutions which can be leveraged and customised to meet the needs of a particular market or region.

Understanding of market needs

These are not just technical in nature but also incorporates commercial practices and understanding of the needs of a market, Mr Yeo points out.

'In the context of EDS, an IT hub is part of a larger framework of global IT hubs around the world, which share experiences and provide a continuum of services to global clients across geographies and time zones,' says Mr Yeo. The EDS official adds that given the small and finite market in Singapore, the kind of partners Singapore should be looking for are global companies who can give Singapore access to global clients and markets. 'A company such as EDS can give the Singapore IT hub access to its global clients.'

Elaborating on Singapore's advantages as a hub, SCS' Mr Tan says it's easy to do business in Singapore as the infrastructure and processes are in place. 'Singapore is also free from natural disasters; it's in an ideal position to be a business continuity hub for the region, as well as the trusted IT hub for the outsourcing and management of global IT applications and infrastructure,' he notes.

EDS' Mr Yeo points out that his company plans to set up an IT hub in Singapore which is focused on providing services and solutions to the Asia-Pacific market. 'Hub leaders from established centres will be brought in to jump-start and set up the environment, working hand-in-glove with local staff and partners,' reveals Mr Yeo.

According to the EDS official, investments are needed to set up infrastructure and training of staff. 'EDS is proposing to showcase key clients in this hub and their innovative use of IT to enable business, whether it be in the public or commercial arena.'

Mr Yeo stresses that Singapore should not go into direct competition with other hubs in areas where it has no advantage, for example, cost. 'Along the supply chain of activities, the Singapore IT hub should be looking for niches to complement other global hubs.' Mr Yeo adds: 'Singapore should leverage on its intimate knowledge of the diverse Asia-Pacific region, its multicultural and language sensitivities, and business acumen.'

The EDS official feels that some areas that the Singapore hub can focus on are IT architectural and systems design skills, large-scale project management, and the ability to muster and orchestrate resources from across the region to perform various tasks.

SCS' Mr Tan observes that Singapore is a showcase for e-government solutions, and continues to lead in this area.

E-govt consultancy services

'Singapore is now in a good position to provide e-government consultancy services to developing nations, and this is a key differentiator for Singapore. Singapore should continue to invest in developing its resources with both domain as well as IT knowledge. IT will be used both as an enabler and as a competitive advantage,' he says.

Apart from this, according to Mr Tan, Singapore should also continue to invest in infrastructure to become a single global wireless hotspot with an interconnected information super-highway through its Next Generation National Broadband Network.

'With the talents and skills of the professionals in Singapore, coupled with the world-class processes, global policies and technology tools that we use, Singapore can stay ahead of the game,' he comments.

EDS' Mr Yeo says that he sees Singapore as uniquely positioned for the delivery of higher-value (and knowledge-based) services due to its unique infrastructure and location.

'Firms in Singapore are able to add value to their products and services, thereby boosting their own competitive position while advancing Singapore as an international business centre.'

According to him, the ability to harness human resources and capabilities across different geographies through an advanced IT infrastructure in order to innovate new products and services will be a key differentiating feature for Singapore, especially when compared with India and China.

'In addition, EDS has employed a 'Best Shore' strategy that looks at various locations as a source of cost-efficient labour, in order to generate cost savings for our clients. Today, this strategy has morphed into a more blended approach due to the increased pace of globalisation.

'As EDS continues to expand its 'Best Shore' locations, it is expanding and reinforcing its unique blend of on-shore, near-shore and off-shore service delivery. These capabilities remain essential to keeping our clients competitive and strongly positioned for growth. Singapore, as an EDS IT hub, plays an important role in this strategy, and we will base our higher-value knowledge-based work from this location,' Mr Yeo adds.