Transcript NTT Europe - HEC Paris

Best in France
NTT Europe Paris Branch
Group ES2.b
Georgios Filiopoulos
Gianni Huaman
Mikito Kuroki
Sameer Narula
December 2003
Agenda
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NTT Group & NTT Communications
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NTT Paris Branch
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Why NTT came to France?
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Company’s Clients
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Customer’s Needs
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Company’s Values
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Company’s Products
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Constraints in France
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Organizational Structure
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Adaptation to France
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Essential Advice
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We thank
NTT Group
NTT Communications
Address : 1-1-6 Uchisaiwaicho Chiyoda-ku, Tokyo,
Japan 100-8019
Capital : 211,650 million yen (as of March 31, 2003)
Employees : About 7,450 (as of March 31, 2003)
Business : Domestic and international telecommunications
services
URL : http://www.ntt.com/index-e.html
Overseas Sales offices
Paris Branch
Date de création : mai 1991 sous le nom de NTT France.
Directeur général : Yôsuke SEKI
Siège social : NTT Europe
DEVON HOUSE, 58-60 ST. KATHARINE'S WAY
LONDON E1 LB, U.K
What's its business
• To sell international data services for corporate customers
• International data networks in France : FR, ATM, IP/MPLS, ILL
• To support Japanese Companies in France (IT, Network engineering )
What are its key figures
Sales 4,224,306 Euros (2002)
Why NTT came to France?
Company approach to international growth
• Target : to become a ‘Global IP services Company’.
• In Europe : to be the ‘Asian carrier of choice’ for European
multinational companies
• To be the preferred carrier of Asian companies for their European
network
Where else did it consider
• Leader in Asian market, rapid growth in the Americas & Europe
• Presence in the UK, France & Germany due to existing customers
Why was France a key target location
• France is one of the leading countries in Europe, its economy one of the
largest (among the top six in the world)
• Global customers are here (eg. Toyota)
Company's clients
Who are the company's clients?
• Japanese multinational companies in France
• The number of business customer : 190 companies
• Toyota Manufacturing France
• Other American, Asian, European multinational companies
• French multinational companies (Arcstar)
How will a French presence help or hurt the
company's ability to satisfy client demands?
• Close support and direct contact for offices/HQs in France will help
the company satisfy client demand
Customer Needs
• Control of IT of overseas subsidiary from headquarter
in Japan
• VNP
• IT Security
• Multi language support (English / French / Japanese)
• Application development such as Groupware
• Save cost of IT
Company’s Values
What are the core values of the company that may or
may not fit with perceived French values?
Fits well : attention to service and long-term relationships with the
customers
(as opposed to Anglo-Saxon ‘short-termism’ and ‘hard sell’ approach)
How did company manage to instill its values in the
French unit?
• Multinational & multicultural team (50:50 French : Japanese)
• The culture is a unique amalgamation of French and Japanese
• All Japanese employees speak French and many French speak Japanese
• French employees with job experience in Japan and/or Japanese spouses
Company’s Values (continuation)
Dedication to service and global end-to-end support
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Trilingual Help desk : language(English, Japanese, French)
One stop solution from cabling to application development
Multi system vendor
Japanese high level of IT technology is very useful for French
companies
Very high level commitment to customer service (unique experience
for companies in France)
Company’s Products
What products are produced in France?
• They do not sell products but services : International data services
designed by Tokyo, locally delivered services for SI (consulting,…)
Arcstar : NTT Communication network brand
SI 2002 prospective- Received Order Base
PBX
4.7%
M aintenance
18.2%
T raning
0.05%
Cabling
6.1%
Consulting
10.1%
LAN
60.8%
From “Overview of Paris
Branch”
Constraints in France
What are the principal constraints that the
company foresaw before coming to France?
• In terms of HR, the strong existence of French unions represents a
factor to take into account
• Because of French Unions, NTT France seems as a big decision
having more than 50 employees in France (highest limit of
employees before having a Union in a French company)
How do these constraints differ with their other locations?
• In the European region NTT has developed different business
practices and rapport with its customers
• NTT does not realize whether the differences between its
European subsidiaries are cultural or not
Organizational structure
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The number of employees : 30
2 of them are expatriates. Others are French
Many French workers have working experience in
Japan
(Example)
Iléana WALBAUM, Responsable Administrative worked for
French embassy in Tokyo.
Hervé LEREAU, marketing director, he worked in France telecom
Japanese branch
Organization
* Sales Support
* Project Management
* Engineering
* Technical Sales Support * Technical Team
Adaptation to France
Conditions of work follow French law - Convention
collective –
• Two types of employees
• Cadre & non-cadre
• Ranks A, B, C, D are non-cadre
• Ranks E, F, G, H are cadre
• 70% of salespeople are non-cadre
• Follow a special formulae which ends up making work hours paid
at 37 hours a week
• 12 days a year off
• Training in UK and France
• Initially had a Japanese bonus system, now French (13 month
system)
• Perks include restaurant tickets, carte orange etc.
Adaptation to France (continuation)
Communications policy in office
• Generally, French and Japanese are common languages
• The aim of this communication policy is to avoid
misunderstanding by using English, which foreign for both
Japanese & French workers
• English is used only in simple e-mail correspondence
Adaptation to France (continuation)
Recruiting
• Head hunting
• Personal contact
• Use recruiting company
Desirable talents
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Language skills (French / Japanese /English)
Working experience in Japanese corporations
Engineering skills
Management skills
Adaptation to France (continuation)
Training Program
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Technical training is held by outside expertise
Accounting training (French accounting)
Specialized Accounting software usage taught in the UK
Japanese Language lessons (for free, every week)
Compensation menu
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Basically, compensation menu is based on French law (13
Salaries, 25 Calendar days for vacations, 35 working hours a
week, and so on).
Food tickets (every day 7 euro support)
Transportation reimbursement (percentage of Carte Orange)
No extra bonus for Overtime (Japanese workers of NTT France
are more flexible to work overtime  cultural issue)
Essential Advice
Advice to other companies in this sector
concerning use of France as a location
From Hervé LEREAU, sales director
Compared to corporations in other countries, French
corporations want to have long-term relationship with
its business partner.
BUILDING TRUST is quite important in France.
We Thank
Yosuke SEKI
General Manager
90, Avenue des Champs – Elysees 75008 Paris
[email protected] 01 4076 0660
Hervé LEREAU
Sales Director
90, Avenue des Champs – Elysees 75008 Paris
[email protected] 01 4076 0660
Iléana WALBAUM
Responsable Administrative
90, Avenue des Champs – Elysees 75008 Paris
[email protected] 01 4561 5508
Our Team
Mikito Kuroki
[email protected]
Sameer Narula
[email protected]
Georgios Filiopoulos
[email protected]
Gianni Huaman
[email protected]