New Steps of Chinas Software Industry

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New Steps ofChinas Software Industry
Director of China Software Industry
Association VP of China System Software Process
Improvement Association Member of Shanghai
Informatization Expert Committee October 28,
2008 at IPA Forum, Tokyo
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Outline

• Booming Software/IT Industry
• New Targets
• New Outsourcing Fever
• Software Benchmarking In China
• Talents Engineering From Process Maturity To
  People Maturity
• Constructing IT Talents Public Information
  Platform Modern Knowledge Services
• Towards Innovation-Oriented Country

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Booming Software/IT Industry

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Software Industry As A Pillar Industry

• The software industry has been targeted by
  Chinese government as a new strategic pillar
  industry with preferential development
• A series of policies for supporting and propping
  up have been appeared in China, such as
• Some Policy to Encourage the Development of
  Software and IC industry -- No.18 Document,
  issued by the State Council in 2000
• "Action Plan for Invigorating Software Industry
  Development,2002-2005 No.47 Document, issued
  by the State Council in 2002

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No. 18 Document (SC18)

• The most important central government policy for
  the software industry
• The document policies for software companies
  include
• Value-added Tax (VAT) refund for RD and expanded
  production
• Tax preferences for newly established companies
• Fast-track approval for software companies
  seeking to raise capital on overseas stock
  markets
• Exemption from tariffs and VAT for software
  companies imports of technology and equipment
• Direct export rights for all software firms with
  over USD 1 million in revenues
• Right to set salary levels and to grant bonuses
  to investors
• The Chinese government has also actively
  encouraged partnerships and joint ventures with
  foreign companies to assist in the development of
  Chinese software services firms

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Tax Policy In No.18 Document

• The new tax policy for SW enterprises Before
  2010, tax administration authority will collect
  tax of 17, but it will pay back to the companies
  if the tax rate is higher than 3
• The new software companies can enjoy the free
  income tax for the first two years and half
  income tax in next three years since its
  profiting year. The subsidy can be used for RD
  investment and further production
• So the real income tax for software firms falls
  to 3 from previous 17. It is a real big
  favor

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Some Regulations In No.47 Document

• The document explicitly specified that when
  government needs to purchase software, it should
  buy the domestic product first in the same
  condition
• It also suggests government office to use
  licensed and autonomous developed software
• It also requests that in governments information
  engineering project, the minimum cost for
  software is no lower than 30 of total investment
• It explicitly requests that during the tenth
  five-years plan government should spend more than
  4 billions for RD in software industry
• It clearly puts training and education of
  software talents in governments agenda

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Software Industry Bases Parks Constructed
Regional SW Cluster

• A number of software industry bases and parks
  have been constructed in China as a main measure
  in developing local software industry
• 11 State Software Industry Bases were established
  under the support of Ministry of Information
  Industry and the State Development and Reform
  Committee, they are Beijing, Shanghai,
  Guangzhou, Nanjing, Hangzhou, Xian, Chengdu,
  Dalian, Jinan, Changsha, and Zhuhai
• 2004 announced 6 State Software Export Bases
  Shanghai, Dalian, Shenzhen, Tianjin, Xian, and
  Beijing
• 22 State Software Parks were opened under the
  Torch Plan, Ministry of Science Technology
  (MOST). These parks accounted over 80 of
  China's total software sales from the 7128
  companies

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National Key Projects

• 1995, the MOST launched the National Torch
  Program, which is to establish software parks and
  software production bases
• Golden Projects Series
• City Funded Information Port or Digital City
  Projects
• November 2003, China Offshore Software
  Engineering Project (COSEP) launched by Torch
  High Technology Industry Development Center,
  Ministry of Science Technology
• Fund For Electronics Information Industry,
  Ministry of Information Industry
• 863 High-Tech Program, MOST
• The National Basic Research Program (973 Program)
  
• National ST Breaking-Through Program
• Fund For ST Based SME Innovation, MOST

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Torch Programme

• The Torch Programme is a guidance programme for
  developing new/high tech industries in China
• It was approved by the State Council and is
  implemented by the MOST
• The purposes of the programme are to implement
  the strategy "Promote the development of the
  country with science and education", carry out
  the general policy of reform and opening to the
  outside world, bring into full play the
  advantages and potential of China's scientific
  and technological forces, take market for
  orientation, promote the commercialization of
  new/high tech achievements, industrialization of
  new/high tech good and internationalization of
  new/high tech industries

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The Main Contents of Torch Program

• Create a Proper Environment for the Development
  of New/high tech Industries
• Establish New/high tech Industrial
• Development Zones and Pioneering Service Centres
• Projects -- an important component of the
  programme
• Internationalization of New/high tech Industries
• Training

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The COSEP Project

• In November of 2003, The Torch Center, a high
  tech development program started by the MOST,
  launched the China Offshore Software Engineering
  Project (COSEP)
• Working in conjunction with US based
  ExperExchange, and using ExperExchange's Offshore
  Software Engineering Model (OSEM), COSEP is to
  provide outsourcing services from China to
  overseas corporate customers
• The COSEP program will select a number of Chinese
  software companies from regional software parks. 
  These companies will go through a training
  program based on the OSEM process supervised by
  ExperExchange
• Upon successful completion of the OSEM training
  program, a Chinese software company is then
  certified to take on offshore software
  engineering projects
• This training program is an official seal of
  approval from the Chinese government to foreign
  companies that the companies that have gone
  through this training program have the processes
  and procedures in place to handle complex
  software outsource projects

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Progress In Homemade Software

• COSIX Operating System
• Nuwa Project (Embedded OS)
• COSA System Software Platform
• Redflag Linux
• KingBase Database
• Electronic Typesetting System
• Financial Packages
• Virus Killing Packages
• Language Translation Software
• Search Engines

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Multiple Funding Channels

• The development of software enterprises is often
  eager for investment
• Besides financial input from government, multiple
  funding channels have also been created in China,
  including venture capitals, private investment,
  venture fund, Overseas Return (HaiGui) Venture
  Fund etc.
• So far dozens of Chinese software companies have
  went IPO on the domestic stock market, Hong Kong
  and Nasdaq
• Some of the best performing IPOs of 2004 came
  from VC-backed Chinese companies. American
  depositary shares of Shanda Interactive
  Entertainment, a Shanghai-based online game
  company, have risen 238 since the company went
  public on the Nasdaq last May. ADSs of 51job, a
  Shanghai-based online job-listing service, are up
  222 since its Nasdaq debut in September
• VCs and investment bankers have been flocking to
  China to get in on the action, and that kind of
  excitement should put an extra clench in any
  investor's stomach. There's genuine
  opportunity here, but pay attention to the risks

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Market Driven

• The state policy Industrialization Driven By
  Informatization creates a huge inner need and
  market for IT systems from 20 million Chinese
  enterprises
• Financial package, office software, ERM, CRM,
  SCM, enterprise applications, e-business, system
  integration have became the hot spots pursued by
  Chinese software companies and give them much
  vitality
• Many successful software companies often have a
  dedicated vertical domain with special advantage
  in either technology or business strategy

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Enterprise IT Applications Market
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National 863 Projects On SE Technologies --
Examples

• Software Process Technology and Quality Assurance
  Platform
• UDCORE(User-driven Domain-specific
  COmponent-based Requirements Elicitation method
• Management of Software Testing Process and
  Quality Assessment
• Data Mining and Knowledge Management Technologies
  For Software Enterprises
• Research On New Generation ERP System
• Large Scale GIS
• Quality Assurance Platform and Application
  Oriented To Software Enterprises
• CMM-Based Software Quality Assurance Platform and
  Applications
• Testing Technology For Embedded Application
  Software
• Project Information Portal PIP

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Driven By Government Procurement

• Nationwide e-Government Project stimulates a huge
  new wave in software market
• The enactment of Chinas new Government
  Procurement Law (GPL) has specifically addressed
  the procurement of software the overall efforts
  of the Chinese government to protect and promote
  an indigenous software industry
• In 2004 Chinese provincial governments purchased
  office software 410K sets in total, among them
  more than 280K sets are homemade (68.4). The
  cost for domestic SW packages is only 61.2
  millions, just occupying 24 of 250 millions
  total SW cost. Homemade OS purchased are 45K
  sets (39.2), breaking through past all of the
  same Microsoft products. Homemade Virus
  Killing Packages exceed 97

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e-Government Projects In China
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Progress In Electronic/IT Industry

• 2004 RMB 2650 billion
• 2005 RMB 3340 billion
• 2006 RMB 4750 billion (625 B)
• -- Largest Industry In China, 2nd in the
  World
• By 2006 830 Million Phone Subscribers
• (461 Million Mobile Phone)
• Internet Users 137 Millions (World Second)
• Broadband Users 77 Millions
• Online PCs 54.5 Million Units
• 4 Industrial Bases Built Pearl River Delta,
  Yangtse Delta, Bohai Gulf and Middle Western Area
• By 2010 Revenue 10 Trillion
• 1 Billion Phone Subscribers 200M Internet
  Users

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High Growth Software Industry
2010 Target Revenue 1300 Billion, Software
Export USD 12.5 Billion Software Employees 2500
Thousand From current 1500 Thousand
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CMMI Appraisal ResultsCMU/SEI Process Maturity
Profile March 2008
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What Is Our Next Breakthrough Point

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New Targets
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China Development Objectivesof 11th Five-Years
Plan

• Target IT Industry Strong Country
• Keeps 17.6 Average Growth Rate
• By 2010, 10 trillion and 10 GDP contribution
• 1B Phone Subscribers 600M Mobile Phones
• 200M Internet Users
• 7 Measures, 12 Big Projects, 8 Key Tasks, and
• 5 Objectives
• Software Industry 30 High Growth Rate
• By 2010, 1.3 trillion revenue and USD 12.5B SW
  Export, 2.5M SW Professionals, Some Backbone SW
  Enterprises with 5B revenue

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Nationwide Software Take-Off

• Beijing Aiming at Software Capital(????). By
  2010, 200B revenue, 1B SW Export and 400K SW
  Professionals.
• Software Industry turns to be a pillar
  industry in Beijings economic development
• Xian Constructing Chinas Outsourcing
  Capital(????????). By 2010, 200K SW
  Professionals 45B revenue. A base with
  direct connections to American, European
  Japanese outsourcing markets
• Shenyang Targeting at A Animation Cartoon
  City(????). By 2010, 50B revenue and 1B SW
  Export, within Top 5 SW cities. Annual
  production volume of AC industry is more than
  30000 minutes with direct income of 6B and driven
  industries of 60B

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Nationwide Software Take-Off

• Nanjing Aiming at Famous Software City(????).
  By 2010, SW revenue reaches 60-80B, quadrupled
  within five years and 15 GDP contribution.
  Keeping a leading position in Chinas cities
• Chengdu Striving for Global Famous Software
  City(??????). By 2010, 60-80B revenue, 200K SW
  professionals, 300-500M SW Export, with 45
  annual growth rate. 20 enterprises with 1B
  revenue/year and 3-5 with 10K developers, 10
  CMM/CMMI Level 5 and 60 over Level 3

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Nationwide Software Take-Off

• Wuhan To be Software Capital In Central China
  (??????) within 10 years. By 2015, the total
  revenue of Wuhan Guanggu Software Park will be
  50B, with three leading application domains
  Space, Information Security Advanced
  Manufacturing
• Dalian An International Software Model
  City(?????????????). By 2010, 40B revenue,
  1.5B SW Export and 120-140K SW Professionals
• Guangzhou Keep 35 growth rate in next five
  years. By 2010, 100B SW revenue and 1.3B SW
  Export. Within 5-10 years, making software
  industry to be the pillar one of Guangzhou

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Nationwide Software Take-Off

• Hangzhou Aiming at Software Heaven(????)/Heav
  en Silicon Valley(????) and International
  Software City(?????)
• Hefei Towards Anhui Silicon Valley(????).
  By 2010, 10B revenue, fostering 3 SW enterprise
  with annual revenue of 100M
• Xiamen To be One of The Largest Domestic SW
  Industry Bases(????????????). 3.3B investment
  to 2nd phase construction of Xiamen Software Park
  and focus on the Animation Cartoon industry
• Shenzhen Keep in the Lead of Chinas SW
  Industry (??????). 2006 2.9B SW Export lists the
  first position in China. The revenue of
  embedded development occupied 70 of whole
  country market
• Suzhou Constructing National Software
• Park(??????)

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Shanghai Development Objectivesof 11th
Five-Years Plan

• IT industry keeps 17 Average Growth Rate
• By 2010, total revenue will breakthrough 1
  trillion and make 15 GDP contribution
• Focus on three core sections Software Industry,
  Integrated Circuits, New Electronic Devices
• By 2010, Software Industry 120B revenue, USD 2
  billion SW Export and 200K SW Professionals

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Strategy Adjustment

• From Industrialization Driven By
  Informatization To The Fusion of The
  Informatization and Industrialization
• A New Way of Industrialization the Innovation on
  China's Development Path in the Information Age,
  Specially Stressing on Applications of IT
  characterized by the information industry-led
  industrialization
• Simultaneous Development of Five
  -izationindustrialization, informatization,
  urbanization, marketization, and
  internationalization
• A New Ministry has been Established Ministry of
  Industry and Information Technology (MIIT) from
  original Ministry of Information Industry (MII)
• This new state policy will bring about new
  opportunities for development Chinas Software
  Industry

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Adjustment of Industry StructureDevelopment of
Modern Service Industry

• Opinions of the State Council concerning
  Accelerating the Development of the Service
  Sector SC 2007 No.7
• During the 11th Five Years Plan, the industry
  restructuring will focus on the transformation
  from industrial economy into service economy
• Developing Modern Service Industry has become a
  strategic, macro and policy issue
• High attention is paid to the development of
  Knowledge Intensive Business Services (KIBS) and
  Information Technology enabled Services (ITeS)

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New Promoting Policies Released

• The New No.18 Document is a wide hearsay and
  under deliberation for a long time
• The software industry is expecting its quick
  release which will promote a new leap in China
• In this year the Ministry of Finance and Ministry
  of Commerce have released the FT 2008 No.32
  Opinions on Finance-Taxation Policy of Supporting
  Contract for Global Outsourcing Services

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New Outsourcing Fever
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The 1000-100-10 Project More Ambitious Targets

• Within 3-5 years
• Fostering 1000 More CMMI Level 3 Enterprises (300
  CMMI Level 5)
• Attracting 100 MN companies to migrate their
  outsourcing business to China
• Building up 10 National Training Bases for
  Outsourcing Professionals
• Sponsored By Ministry of Commerce

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The Base City of Service Outsourcing

• China is planning to build 10 Base Cities of
  Service Outsourcing within 3-5 years
• So far the Ministry of Commerce, Ministry of
  Information Industry and Ministry of Science
  Technology have announced 16 Base Cities of
  Service Outsourcing
• They are Dalian, Shanghai, Xian, Shenzhen,
  Beijing, Chengdu, Tianjin, Guangzhou, Nanjing,
  Hangzhou, Wuhan, Jinan, Suzhou, Changsha, Hefei,
  Chongqing
• More cities like joining in, such as Wuxi,
  Xiamen, Shenyang, Zhengzhou,
• The China Development Bank will provide 5 billion
  loan support to base cities

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2010 Target of Base Cities
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Wuxis 123 Project

• By the end of 2010, 100 international service
  outsourcing and software export enterprises will
  cluster in Wuxi, each of which has over 2,000
  employees and an annual export volume of over US
  30 million
• Supporting Policies
• Rent Reduction and Exemption the software export
  enterprise will be offered a leasehold office,
  the area of which can be figured as 10 m2 per
  employee. The corresponding rent will be
  exempted for the first year and half for the
  second and third years
• Financial Subsidy the software export enterprise
  will be granted a lump-sum subsidy of RMB 5-10
  million yuan for the introduction and training of
  talents if it has over 500 employees and an
  annual export volume of more than US 3 million
• Export Reward the software export enterprise
  will be rewarded RMB 10,000 yuan for every
  increase of US 50,000 in export over the
  previous year
• Reward for Talents will get a 30 rebate of
  their individual income tax for five consecutive
  years

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Continuous Support For International
Certifications

• Chinese government has promised its continuous
  financial support for software enterprises to get
  international certifications in service
  outsourcing
• Including
• CMMI/CMM
• PCMM
• ISO27001/BS7799
• ISO20000
• SAS70

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Software BenchmarkingIn China
- Towards Quantitative Management - Speak With
Data
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CSSPI or China SPIN (CSPIN)

• To further promote SPI in China, in February of
  2007 the China System Software Process
  Improvement Association (CSSPI) and the China
  SPIN (CSPIN) are established at Beijing
• A chapter of the China Software Industry
  Association (CSIA) which has currently more 50
  enterprises members and 70,000 plus individual
  professional members in China
• Their mission is to promote process and
  productivity improvement in software, hardware
  and modern services industries, creating values
  and influencing communities with a culture of
  open, learning, innovation
• and pleasure

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Main Activities CSSPI Focuses On

• Software Benchmarking as an infrastructure of
  software industry
• Salon/Forum Groups development Building
  Learning Organizations Sharing Best Practices
• Hosting National Conferences (CSSPI Annual
  Conference since 2002, International Forum in
  Software Measurement)
• Research on Industrial Statistics
• Supervising and Urging Autonomy in Industries for
  Process Improvement
• Industrial Action Planning for Process
  Improvement
• Introducing and Spreading out New Methods,
  Technologies, Tools and Services
• Edit and Publish Monthly Journal System
  Software Process Improvement
• Manage and Maintain A Group of Websites
  (CSPIN?CSBSG?CSSPI?PKSPIN?and Portal for
  China-Japan-Korea SW Measurement Alliance)
• Exploratory Studies in Benchmarking and
  Engineering in Modern Services etc.

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China Software Benchmarking Standard Group
(CSBSG)

• In benchmarking area, we have cooperated with the
  International Software Benchmarking Standard
  Group (ISBSG) and established the China Software
  Benchmarking Standard Group (CSBSG) as its member
  to increase the profile and utilization of
  software measurement, project estimation,
  benchmarking and functional size measurement in
  Greater China, as a core competency area within
  the China Software Process Improvement Network
  (CSPIN)
• The mission of CSBSG is to promote more Chinese
  software enterprises joining the SPI projects and
  knowing how to apply process-based benchmarking
  for their quality improvement

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Organizational Structure of CSBSG
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CSBSG Functions

• So far CSBSG has developed 356 users with quite
  different application domains and established
  cooperations with such international
  organizations, like ISBSG, IFPUG, SPR, Total
  Metrics, JFPUG and KOSMA etc.
• We have developed a Common Benchmark Platform,
  standards, and the Benchmarking Database of
  Software Productivity which collected domestic
  benchmark data from
• 538 projects with different area and
  application distribution as in figures below
• In 2007 we released first time the report on
  Country Software Productivity Index

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CSBSG Benchmarking Platform and Data Repository

• The CSBSG benchmarking platform and data
  repository can provide following services to its
  users
• Query single Project Delivery Rate, including
  productivity, quality, duration, efforts, project
  size and team size
• Benchmarking your rate against similar industry
  projects
• Comprehensive statistical analysis
• Estimation
• http//www.csbsg.org/

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CSBSG Benchmarking Platform
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Geographical Distribution of CSBSG Data
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Domain Distribution of CSBSG Data
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CSBSG Data Collections

• Project Size
• Development Effort
• Project Duration
• Productivity Analysis
• Defect Density
• Capability in Project Estimation

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Productivity In Different Regions
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Defect Density With Languages
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Proper Value of Productivity
Statistical Table of Domestic Productivity
Loc/MM
?????????
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Productivity Analysis Results

• 1011 projects in total
• Log (Effort) 0.576 0.714 Log (Size)
• By Type
• New Development
• Log (Effort) - 1.001 0.839 Log (Size)
• Secondary Development
• Log (Effort) 0534 0755 Log (Size)
• By Programming Language
• C Log (Effort) 0.155 0.79 Log (Size)
• C Log (Effort) 1.398 0.644 Log
  (Size)
• Java Log (Effort) -0.324 0.806 Log
  (Size)

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CSBSG Main Objectives Milestones
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ESE Forum In CSSPI 2008

• A Joint Event in CSSPI 2008 at NanJing, China,
  Co-Sponsored by Japanese and Chinese SE Experts
• The Guest Experts From Japan Are
• Prof. Katsuro Inoue, Osaka University
• Prof. Kenichi Matsumoto, NAIST
• Takahashi, SEC, Japan
• They introduced the EASE project, STAGE project
  and Software Tags in Future Offshore Development
• Potential Cooperation between two countries was
  discussed

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Software Tag Model
Purchase order
Development data record
Delivery
Software developer
Software purchaser
Data collection
Feedback
Software Products
Attach
Empirical data
Extract Tag
Software Tag
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CSSPI 2008 In China

• 7th China System and Software Process Improvement
  Annual Meeting
• DateSeptember 22th-24th, 2008
• LocationNanjing
• Branch Meeting Location Shanghai, Guangzhou,
  Wuxi
• Steering Organizations Ministry of Information
  Industry, Ministry of Science and Technology,
  Peoples Government of Jiangsu Province

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Talents Engineering-- From Process MaturityTo
People Maturity

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Talents - The No. 1 Strategic Selection

• Based on such essential cognition of that future
  economic competition is, in the end, the
  competence race of human resource, especially in
  the software professionals
• High qualified human resource development has
  been listed as a national strategic task and an
  important measure for that
• The CPC Political Bureau has put forward the
  state strategy Strengthen The Country By
  Talents in 2003. It calls for to better
  train and utilize talented professionals, and to
  foster a batch of high rank experts who are
  competent to the needs of socialist modernization
  and reformation and opening policy
• Now there are common consensus in the whole
  country ST Is The First Productive
  Force and Talents Are The First Resource
• In the State Next (11th) 5 years plan
  (2006-2010), a key issue has been listed is how
  to Construct the IT Talents Highland

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Towards SE/IT Professionalism-- A New Target

• To solve the HRD problem from the root, Shanghai
  has put forwarded a clear new target Marching
  towards SE/IT Professionalism
• Although Chinas IT/SW industry is still in their
  infancy age, it is demanded to be mature more
  quickly
• IT/SE professionalism has became a global trend
• Its Better For Us To Go This Direction More
  Consciously Right Now Than an Enforced Adoption
  In The Future
• Earlier awareness for that is favorable for us to
  implement a jump development and aim at a high
  standard at HRD

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A Current Urgency Fostering Middle-Level
Senior Professionals

• An Objective of State Strategy Strengthen The
  Country By Talents and A Must For implementing
  the Prospering Country By Science Technology
  and Education strategy
• Decision of the Central Committee of the
  Communist Party of China and the State Council on
  further strengthening the talent work Stressed on
  Putting education and training of quality
  talents at a prominent strategic position while
  striving to build an innovative country with rich
  human resources
• It Counts For Our Core Competence. They will be
  the Backbone of IT Talents, Directly Reflecting
  The Gold Content in the Knowledge Capital
• There is a Serious Gap in Current Chinas IT
  Talents from both Quantity and Quality. Lack
  of Middle-Level Senior Professionals Causes a
  Bottleneck Restricting Our Development
• Successful Informatization Requires Leaderships
  and Strong Technical Support. This is also a
  Basis for Innovation and Tracking Technology
  Development
• This is also Essential For Developing A Sound
  Talents Structure
• For Shanghai, There is No Alternative But To
  Develop High-End Talents

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Framework For A Mature Professional
65
Elements Of A Mature Profession

• Initial professional education SE Schools
• Accreditation CCSE -gt SE2004
• Skills Professional Development
• Continuous Education System
• Related BOKs SWEBOK, PMBOK,
• Certification Licensing CSDP, PMP,
• Professional societies IEEE-CS,ACM,SSIA
• Code of Ethics SEEPP
• Towards Professionalism, Also A Chance For
  Borrowing and Introducing Western Advanced
  Talents Training Models

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Talents Training Plan ForImplementing
1000-100-10 Project

• Ministry of Commerce Notice On Implementing the
  1000-100-10 Project 2006 No.556
• Arrange Special Funding For Public Training of
  Service Outsourcing
• Establish 10-15 training bases in the Base Cities
  of Service Outsourcing
• Support For University Students to increase their
  knowledge and skills for service outsourcing,
  training 300-400K outsourcing professionals
  within 5 years and recruiting 200-300K
  undergraduates into outsourcing business
• 15 of training fee for outsourcing can return
  from government funding
• Build outsourcing information public service
  platforms

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Role of BOK
Self Assessment
Body of Knowledge
Roles Career Development
Curriculum
Certification
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Building A Solid Foundation

• To build a complete framework for
  professionalism, we insist on our efforts
  starting from basic research on related bodies of
  knowledge (BOKs)
• In recent three years, we have systematically
  collected, compiled and developed 127 BOKs within
  three domains
• Software Engineering
• Information Technology
• New Product Development Innovation

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A Comprehensive Survey

• To response the state talents promotion projects
  and the new challenges in HRD, Shanghai has done
  a comprehensive survey on outsourcing training in
  the world to seek for best solutions of
  developing high-quality outsourcing professional
  urgently needed

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Outsourcing Training In The World
71
BPO Certifications
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Why Develop Our Own OPBOK

• After doing a comprehensive survey on training
  models for outsourcing professionals, we found
  quite scattered solutions. Even each one has
  its merits and specific views, lack of unified
  framework is obvious problem
• Many of them declared to be suitable for both
  clients and providers side, however, actually
  more clients-oriented after a careful examination
• In view of these problem, we tried to integrate
  these existing models for assimilating the
  best of them
• Now we have compiled a draft of OPBOK, which is
  provider-oriented and can be used in training of
  domestic outsourcing professionals
• The design guideline behind the OPBOK is as
  follows

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Insights Behind OPBOK

• Outsourcing Is Technology/Knowledge Intensive Job
• Outsourcing Is Service
• Outsourcing Is Business
• Outsourcing Is Management Practice
• Outsourcing Focuses on People Factor
• Outsourcing Is a global activity with new
  challenges
• Based on these recognition, we follow the
  framework of CMUs eSCM model to re-organize the
  OPBOK into five management, which avoid overlaps
  appeared in many existing models
• The new OPBOK integrates all merits of existing
  models and provides a good basis to match with
  them

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OPBOK Five Management

• Business Management
• People Management
• Technology/Knowledge Management
• Global Project Management
• Service/Operation Management

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A New Starting Point

• Even it is still a draft to be further refined,
  we can consider it as a starting point towards a
  perfect OP training schema
• We are determined to make a real contribution to
  training business of outsourcing professionals
• After seeking comments and finalizing the
  manuscript, we will develop related training
  materials ASAP based on our OPBOK

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A Proposal For Developing SPIBOK

• To improve the SPI awareness and foster much more
  high maturity SPI professionals urgently needed
  by implementing 1000-100-10 project, a proposal
  for developing the Body of Knowledge for Process
  Engineers has been put forward in the CSSPI/CSPIN
  and a task force has been formulated then
• The SPI BOK will be built as a basis for
  developing future SPI training and talent
  qualification program
• To meet this new challenge, international
  collaborations are highly expected

77
IISPs SPIBOK

• Core Knowledge Areas (CKAs)
• Defining and Documenting Software Processes
• Measuring Software Processes
• Evaluating Software Process Capability and
  Effectiveness
• Planning and Managing an SPI Program and
  SPI Projects
• Implementing Software Process Change
• Survey of Software Engineering Topics
• Survey of Quality Assurance and Testing
  Topics
• Application Knowledge Areas (AKAs)
• Requirement Engineering and Management
• Software Development, Integration, Release,
  and Support
• Configuration Management
• Project Management and Planning
• Risk Management
• Verification and Validation Methods
• Agile Software Development Methods
• Software Quality Assurance
• Balanced Scorecard
• Software Measurement Analysis

78
Introducing IEEE CSDP Program

• As a key step toward this direction, the SSIA has
  cooperated with IEEE Computer Society to jointly
  introduce the CSDP program into China
• IEEE-CS CSDP is a high-standard international
  training/certificate program for SE professionals
  (Qualified SW Engineers), which is based on
  SWEBOK PMBOK and neutral to any specific company

79
Qualified Training Center By IEEE

• CSDP/SWEBOK-Based SE training materials,
  developed by the ASTI Shanghai, have been passed
  the review by the IEEE International Training
  Committee for Review and thus, ASTI Shanghai has
  been recognized as a qualified training center
  (1st in China and 4th in the world)
• It will remarkably reduce the local training cost
  for nationwide spreading out
• See http//www.computer.org/certification/CEP
  roviders.htm http//www.computer.org/certificatio
  n/CEProviders.htmASTI

80
UMTP International UML Modeling Skill
Certification
81
Main Members of UMTP Japan

• NRI
• NTT Data
• NTT Comware,
• ITEC
• Technologic Arts
• CATS
• Toyo Tecnica
• Suntory
• Sunmore Tech
• CBOP

• OGIS-RI
• IBM Japan
• Rational Software
• Japan
• Hitachi
• Fujitsu
• NEC
• Toshiba
• Unisys Japan
• ORACL Japan

82
UML As Key Option In Future Offshore
Development For Japan

• UMTP Japan has released the UML Application
  Guideline for Offshore Development Version 1.0 in
  May of 2007

??????? ??UML?? ?????? Ver1.0
83
ISTQB/ISEB Certificate For International
Test Professionals
CSTQB Established at Shanghai in Feb of 2007
84
ISO/IEC 15504 Certified Assessor

85
Constructing IT Talents Public Information
Platform- Modern Knowledge Services
86
Constructing Outsourcing Public Service Platforms

• In September of 2007, the Project of the National
  SW IT Outsourcing Public Supporting Platform
  was initialed officially
• The whole system consists of two levels the
  State and Local level
• The State platform is sponsored by the MII
  Software and Integrated Circuit Promotion Center
• http//www.china-sourcing.org.cn
• The Local platforms are being constructed
  respectively by 10 State Outsourcing Base Cites,
  including Shanghai, Xian, Dalian, Shenzhen,
  Tianjin, Chengdu, Beijing, Nanjing, Hangzhou and
  Wuhan
• All platforms were scheduled to be released by
  the end of 2008

87
Supporting Environment ForOutsourcing Talent
Engineering

• Based on core SE BOKs collected and developed,
  the Public Service Platform proposed can provide
  the following valuable knowledge service
  functions
• A SE/IT Technology Transfer Center for promotion
  and dissemination of advanced technologies
• A Learning Paradise for IT Talents on The
  Cyberspace, Providing One-Stop service for
  learning materials
• An e-Learning Center with lower cost and
  time/space constraints
• A New Generation On-The-Job Learning Platform,
  help building collaborative Communities of
  Practice (COPs)
• It would be a comprehensive platform for
  knowledge services, a major step towards
  developing the Modern Knowledge Service Industry

88
Technology Transfer Center

• In 2002, we have developed a technology resource
  website IT Source as an IT technology transfer
  center in China. Due to its rich contents with
  25000 URLs, it has became one of the most
  attractive IT websites in China with hit rate of
  more than 8 million and 40K standing members, and
  also naturally to be a famous brand for our
  future business
• In view of its value, the website has got
  financial support from Shanghai Economic
  Commission and Shanghai Informatization
  Commission
• A Golden Award Winner of Excellent Projects at
  13th National Spark Cup Innovation Competition
• To keep a wide scope of clients, we will
  continuously remain and expand our original
  services of the public good to attract more
  eyeballs

89
A New Contents Expansion Planof Our IT Source
Website

• Recently we have finished a content expansion
  plan of our IT Source website to attract more
  Eyeballs
• The new design idea of the website has been
  elevated from original Technology Transfer
  Center to the Learning Paradise of IT Talents
• 11 special columns have been developed for key
  professional jobs that urgently needed
• All of them are based on related BOKs and
  International Certifications to ensure contents
  integrity and high standard
• Total resource volume expanded exceeds 33000
  URLs, 132 of original
• We will publish the underline BOKs to help
  learners reducing the learn curve further and
  attract more eyeballs

90
Eleven Professional Columns-- A Learning
Paradise For IT Talents

• SE Domain
• Software Architecture CMU/SEI, iSQI
• Requirements Engineering iSQI
• Project Management Agile/Global PM PMI
• Software Testing ISTQB,
  QAI, IIST
• GSE/GSD IAOP
• CSDP, SWEBOK IEEE-CS, ACM
• IT Domain
• ITSM/ITIL
  ISEB, EXIN
• Information Security CISSP, GIAC
• Innovation Domain
• New Product Development PDMA
• Innovation Methods Altshuller
  Institute
• Knowledge Management KMPro, KMI, GKEC
  

91
The e-Learning Center

• A low cost and easily accessible learning
  environment
• 5A Services -- Anytime, Anyplace, Any Topic,
  Anyway, Any Pace
• From one-way traditional training industry to
  two-way learning industry
• Based on the 665MB and 31700 .ppt pages of
  training materials developed by us in recent
  years An Existing Valuable Knowledge Asset

92
Training Materials Developed

• CSDP/SWEBOK Based SE Training Materials
  
• 60 hours, 18MB, 1751 .ppt
  Pages
• SE Emerging Technologies/Directions
• 160 hours, 92.5MB, 4062
  .ppt Pages
• SE Practices
• 525 hours, 232MB, 13508
  .ppt pages
• Advanced Courses In IT
• 152 hours,302MB,9170 .ppt
  pages
• IT Tutorials 60 hours, 68MB, 1857 .ppt
  pages
• Innovation Series 178 hours, 84MB 4924 .ppt
  pages
• New Product Development (Published)
• CTO Training (Published partially)
• 29.735MB 1982 .ppt
  Pages
• In Total 855 MB 40224 .ppt pages
•  

93
A Work Support Platform For Talents

• Provide On-The-Job Learning/Job Embedded
  Learning/ Contextual Learning, a more
  interesting and valuable learning platform a
  new direction of next-generation learning
  environment
• Learn while working/learn by doing, learn for
  better job Provide Performance Support
• Learning for Use, Use after Learning. For
  veterans, review what has been learned and learn
  something new. For new comers, a new model for
  internship. A high-motivation learning helps
  much deeper grasp
• It seems that a teacher, expert, master or
  knowledge base always accompanying you, providing
  online and real-time assistance
• A new best selling point for our business

94
LP Development Process
Resources Library
Cyberspace
Learning Platform
Learner
LP Generator
KM Directory Editing
Experts
BOK Compilation
95
A Workbench With 3 Links To CoP

• Domain BOK Development A Link To Leading
  Experts In CoP
• Knowledge Resource Collection A Link To
  Worldwide Experienced CoP Members
• The Learners Forum With Idea and Experience
  Exchange A Physical Link To Active CoP Members

96
Outcomes Shared Learnings that Change Practice

• What I gained most was the chance to
  collaborate. It was a dream come true for me.

97
What We are Doing Now At Shanghai

• The Shanghai Software Industry Association (SSIA)
  has performed a systematic study and survey with
  SW enterprises to identify the key professional
  jobs/occupations urgently needed in current
  software industry
• It specified the role and responsibilities of
  each specific job as well as its associated Body
  of Knowledge (BOKs) which as a basis and criteria
  for high quality professional training and
  education
• About 21 main jobs/Occupations are identified so
  far

98
Key Jobs Identified SE CoPs

• Project Manager
• Software Architect
• Requirements Engineers/System Analyst
• Software Designer
• Software Engineer/CSDP
• Programmer
• Software Test Professional
• Software QA Professional
• SPI Professional
• Software Integration Engineer
• SCM Professional
• System Maintenance Engineer
• Software Asset Management
• Outsourcing Service Manager
• Software Modeling Professional
• Digital Media Developer
• Software Measurement Specialist
• Embedded Development
• CTO For Software

99
15 Key Jobs Identified For IT Professionals

• CIO
• Business Analyst
• E-Business
• Data/Information Management
• Information Architect
• Application Integration
• Business Process Monitoring
• Information Services Support
• Information Security
• IT Project Manager
• IT Engineer
• Application Developer
• System Network Administration
• Digital Media Design
• E-Government
• 15 BOKs 1029 Pages 9.1 M
  Bytes

100
Main Features of Our Platform Design- What Make
Us Different

• An Unique Talent Engineering Framework aiming at
  Professionalism and Internationalism
• A Totally Knowledge Service Platform
• OPBOK-Based Training Base for Outsourcing
  Professionals
• An Outsourcing Information Resources Platform
• A Supporting Environment for Software Innovation
• An Open Source Software Resource Platform
• (gt 6,200 URLs, 6.7 MB)

101
Conclusion

• From Process Maturity To People Maturity We are
  seeking for new breakthrough in outsourcing
  business
• A major objective is to improve our capability in
  global development and delivery
• We need to make unremitting efforts during
  scaling the top peak

102
Towards Innovation-Oriented Country
103
A New Strategic Objective

• In January of 2006, Chinese President Jintao Hu
  outlined major strategic tasks for building an
  innovation-oriented country by 2020 at a national
  conference on science and technology
• China will embark on a new path of innovation
  with Chinese characteristics
• The core of which is to adhere to innovation,
  seek leapfrog development in key areas, make
  breakthroughs in key technologies and common
  technologies to meet urgent requirements in
  realizing sustained and coordinated economic and
  social development

104
Reasons behind adoption of the innovation
strategy

• Need to create an innovation-oriented country
• Need to maintain long-term and rapid economic
  growth
• Need to realize sustainable development
• Need to upgrade industrial structure and
  transform the mode of growth, from resource and
  labor-driven to innovation-driven economy
• Improvement of competitiveness

105
Indigenous Innovation New National Strategy I.

• The Outline of National Medium- and Long-term
  Science and Technology Development Plan
  (2006-2020)
• Promulgated in January 2006 in China
• Initiated in July 2003
• Its formulation work was headed by Premier Wen
  Jiabao
• Over 20 ministries and departments and more than
  2000 experts involved in formulation of the
  Outline
• Focus on the fields of equipment manufacturing
  and information industry, the agricultural
  science, the energy exploration and saving, the
  recycling economy and environment and etc.

106
Main Goals

• By 2020, China will be one of the
  innovation-oriented countries
• RD investment is 2.5 of GDP
• Contribution rate of science technology
  progress to economic growth will exceed 60 (900
  billion RMB)
• Dependency ratio for foreign technologies will
  decrease to below 30
• Annual number of granted domestic invention
  patents and SCI papers will rank among world top
  5
• A quite concrete plan, identifying 11 key
  domains, 68 precedence topics, 27 leading-edge
  techniques, 18 basin science issues and 4 major
  scientific research projects for development

107
National Strategies and Policies for Innovation

• Building indigenous innovative capacity
  includes three aspects
• Capacity to make original innovation in the
  domain of basic research such as scientific
  discovery, and technological inventions
• Capacity to integrate existing technology,
  emerging technology and inventions in order to
  create new products or business lines with market
  competitiveness
• Capacity to absorb, digest and improve imported
  technologies, and to re-create IPR based on these
  technologies

108
.
National Strategies and Policies for Innovation

• Indigenous innovation is
• By no means designed to close the door but rather
  to expand greater and deeper level of exchange
  and cooperation in the
• field of science and technology with other
  countries
• Chinas innovation strategy is global-innovation
  or learning innovation

109
The 11th Five Year Plan for Constructing State
Basic Capability in Independent Innovation

• The construction objectives in this plan include
• 12 major projects for ST Infrastructure
• About 30 State Scientific Centers/Laboratories
• About 300 National Key Labs
• 100 National Engineering Labs
• About 100 State Engineering Centers and 300
  Technology Centers
• Develop the Public Platform for knowledge
  Innovation Engineering and ST Infrastructure

110
State Program On Graduate Study Abroad by Public
Expense For Developing World Class Universities

• The key issue in constructing world class
  universities is how to develop high quality
  teachers and innovative talents
• A main measure in fostering top-notch innovative
  talents is proposed in China is to select
  first-class students, send them to overseas
  first-class majors and universities, and accept
  the guidance from first-class scholarship
• In 2007 total 3,952 students was selected and
  sent to abroad and more 5,000 are planned in 2008
• The majors cover all key domains concerned
  currently
• As the plan is supported by public finance, it
  can be executed as planned. The only issue is
  how ensure the quality in selection (Candidate,
  Major, University and Scholarship)

111
The State Projects on Innovation Pilot Zone For
Talents Education Model

• This is a state-level program initialed by the
  Ministry of Education and Ministry of Finance
• Its purpose is to encourage and support
  comprehensive reform in talents education models,
  explore innovative teaching ideas and
  administrative models for creating new education
  system of innovative talents
• It is planned to develop 500 pilot zones in the
  period from 2007 to 2010
• In 2007 there are 300 pilot zones from 200
  universities get approved. Each pilot project
  can get RMB 500K financial subsidy
• This program is expected to drive many new ideas
  and proposals on improved education models 

112
Cheung Kong Scholars Programme

• The Cheung Kong Scholars Programme was jointly
  established by China's Ministry of Education and
  Mr. Li Ka-shing
• Its main objective is to further improve China's
  standard of education and intellectual
  competitiveness through the training of the
  country's best and brightest young minds
• The application and selection process takes place
  twice a year, and the professors receive a
  special stipend of RMB 100,000 in addition to the
  regular remuneration package offered by the
  university
• Professors who achieve outstanding academic
  distinction or make a commendable contribution
  have a chance to win the annual Cheung Kong
  Achievement Award, whose highest prize is RMB 1
  million
• Since the programme's inception in August 1998,
  over 700 professors and over 200 lecturers have
  been appointed and three distinguished professors
  have won the Cheung Kong Achievement Award

113
State 653 ProjectOn Knowledge Renewal
Engineering
For 6 Years In 5 Domains 3 Million Trainees
114
Knowledge Innovation Program (KIP) in Chinese
Academy of Sciences (CAS)

• CAS acts as a central role in Chinas scientific
  research and innovation
• The KIP program initialed since 1998 with a quite
  long history and has demonstrated a significant
  progress
• While China is entering its new stage of
  constructing Innovation-Oriented Country. The
  KIP will have its new meaning and roles
• The key challenge is how to develop the
  capability of independent innovation demanded by
  the States MLP As a response, the KIP has
  established a 110 strategy, in which
  activities of its research institutes will be
  linked to 10 mission objectives and a commitment
  to interdisciplinary basic research in frontier
  areas

115
The 863 Program

• The National High-tech RD Program (863 Program)
  was initiated by 4 Chinese Scientists and
  personally approved by the late Chinese leader
  Mr. DENG Xiaoping in 1986
• The Program covers 20 subject topics selected
  from eight priority areas Biotechnology,
  Information, Automation, Energy, Advanced
  Materials, Marine, Space and Laser
• The program has boosted Chinas overall high-tech
  development, RD capacity, socio-economic
  development, and national security

116
The 973 Program

• The National Basic Research Program (also called
  973 Program) is China's on-going national
  keystone basic research program, which was
  approved by the Chinese government in June 1997
  and is organized and implemented by the Ministry
  of Science and Technology
• The Program has gathered together strong
  expertise to launch innovation studies of major
  scientific issues relating to sustainable
  development such as agriculture, energy,
  information, resources and environment,
  population and health and materials in line with
  the national goals and tasks for the economic,
  social and ST development by 2010-2050

117
Examples of 973 IT Projects

• New generation compound semiconductor electronic
  device and circuit
• Research on Theory and Methodology of Agent-based
  Middleware on Internet Platform
• Fundamental Theory, Algorithms of Virtual Reality
  and Its Implementation
• Theory and Method for Real-time Intelligent
  Control and Optimization of Complex Production
  Manufacturing Process
• Research on Future Internet Architecture
• Fundamental Theory, Model and Method on Semantic
  Grid
• Mathematics Mechanization and Its Applications in
  Information Technology
• Digital Contents Understanding

118
The 11th Five Year Plan and 2020 MLP for ST
Development of Information Industry

• This plan focuses on independent innovation and
  development of core competence, aiming at
  creating an innovation system with following
  features
• Centered on Enterprises
• Guided by Market
• Taking Applications as Mainline
• Integrated with government, industry,
  universities, research institutes and capital
• The final achievements will be
• Mastering a set of key techniques and owning a
  set of core patents and standards
• The plan identified 15 key technological domains
  and 13 major projects for development
• Eight key measures have been proposed to
  guarantee the achievement of this goal

119
How Implement Software Innovation From MOST

• Transform current development line mainly based
  on imitation, tracking and application products
  into new strategy aiming at Leading-edge
  breakthrough, Market-driven and Organizational
  innovation
• The Innovation of Software Technologies will be
  strengthened by five ways
• Enhancing the strategic study on software
  innovation and industrial development, drawing up
  the technological roadmap of software industry
  for upgrading
• Guided by market resources and oriented to key
  industrial applications
• Put heavy research investment on leading-edge
  technologies and development of basic software
• Promote management innovation, improve and
  perfect the development environment of software
  technology and industrialization
• Actively promote talents strategy and strengthen
  construction of innovative software professionals

120
Huawei -- A Sample Model of Chinese Innovative
Enterprise

• Huawei is a symbol of The Waked Chinese
  Sleeping Lion which heads for its success
  totally through its independent innovation
• When it established in 1988 only with RMB 20K
  registered capital, however, now it has became an
  industrial giant in hi-tech domain with 40,000
  employees and revenue of USD 16.0 billion
  (2007), among which 72 came form overseas market
• Huawei insists on higher RD investment for long
  years (10 of total sale incomes) and has 19,000
  technicians being involved in various RD
  activities working in 12 research institutes all
  over the world
• By the end of 2007, Huawei has joined in 83
  international standard organizations
• The total patent applications has exceeded 26,880
  (4,256 authorized patents)
• The PCT International Patent applications has
  reached 1365 by 2007 and listed as fourth
  position in the world, merely behind Panasonic,
  Philips and Siemens

121
Guidance and Goals of IP Business in Beijing
During 11th Five Year Plan

• Goals By 2010
• IP fuses into Capitals economic development and
  gives full play in increasing citys competence
• Relying on core IP zones, improve capability in
  IP creation and transformation
• Build effective IP protection mechanism
• Establish complete IP management and Intermediary
  Service system
• Fostering and introducing a set of IP
• Professionals

122
Guidance and Goals of IP Business in Beijing
During 11th Five Year Plan

• Quantitative Targets
• By 2010, Patent applications 1800 per million
  people (among which 1200 patents for invention)
• Authorized patents 800 per million (among which
  500 patents for invention)
• Total registered trademark 150,000, Well-known
  trademark 50, Famous trademark 500
• 100 senior IP professionals proficient in IP laws
  and regulations and familiar with international
  rules, 1000 high quality IP administrative
  professionals, and 10,000 professionals for
  various IP services
• Fostering 300 demonstrative enterprises for
  patent implementation
• Fostering with priority 20-30 enterprises with
  own IP rights

123
Development Planning of Z-Park

• This is a typical development plan of hi-tech
  industrial park In China
• Zhongguancun, a famous Chinas Silicon valley,
  has composed a very successful story with its
  right market positioning, effective resource and
  opportunities utilization, and innovative
  development strategy
• While marching a new stage, the Z-Park will
  continuously extend its success in developing
  hi-tech industry. The Z-Park now stands on a
  new jumping off point

124
Development Planning of Z-Park During the 11th
Five Year Plan

• The Z-Park has put forward a Four-In-One
  strategy and goals for further development.
  They are
• To be a main body for promoting technological
  progress and independent innovation
• To be a strong engine for adjustment of regional
  industrial structure and transformation of
  forestry economic growth pattern
• To be a service platform to help hi-tech
  enterprises participating in global competition
• To be a front position to occupy the commanding
  elevation of world high-tech industries

125
Development Planning of Z-Park During the 11th
Five Year Plan

• To do that, a 245 Implementation project has
  been proposed
• 2 Construct and perfect two systems, i.e.
  Technical Innovation System and Enterprising
  Service System
• 4 Push and deepen four systematic innovations
  i.e. Investment and Financing System, Credit
  System, IP Creating, Using and Protecting System,
  Talent Training, Attracting and Using System
• 5 Focus and support five batches i.e. a batch
  of important industrial development, a batch of
  core technical breakthroughs, a batch of
  important innovation project settlements, a batch
  of famous corporation establishments, and a
  batch of industrial base constructions

126
Choosing Leading People By DomainThrough Public
Appraisals

• To promote development of senior professionals
  and outstanding domain leaders, many Chinese
  cities/provinces have carried out the program of