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Fujitsu strategy may rewrite evolutional theory of global IT services market

Peter Clarke | April 13, 2009
Fujitsus thinking is based on the theory that each global geographic IT market will not evolve to the same point, let alone at the same pace.

Empowered regions, but they must collaborate

Fujitsu President Nozoes think globally, act locally strategy builds a more formal global business around empowered regions. However, the regions will be expected to collaborate with other Fujitsu businesses to help build market share. This will be tough, since Fujitsu faces some well-established competitors in each of its markets.

Richard Christous job, as the head of the Global Business Group, is to build a unified but flexible structure outside Japan. The model will not be centralised. Eight regional entities have been set up around the globe, each with its own CEO. They will be fully operational by 1 October 2009.

The centre will provide operational integration and knowledge sharing, directing only those things that can be managed centrally. The regions will be substantially empowered, according to Oliver, but they will not be entirely independent of one another. They will be expected to collaborate. Regions will be able to call in another region to build market share where additional capacity or capability is required. This mechanism will be used, for example, to help the new Continental Europe entity reach critical mass in services. So the UK services business could help build the services business in Spain, France or Germany, where the local acquisitions will become part of Fujtisu Continental Europe.

Dr Peter Clarke is Principal Analyst with Ovum. He specialises in the IT services market at city and local government level, focusing on green IT, mobile, road tolling, congestion charging and motorway lorry tolling globally.

 

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