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Field trip to Vestas's IT organization in Manila.

We are four students: Jesper Larsen and Tue Lassen (Bachelors in political science) & Claus Laustsen and Rasmus Knap (Bachelors in IT) from Aalborg university, who are currently studying IT management as our Master.

As a part of our 9th semester we are writing two scientific papers in collaboration with Vestas. Furthermore an aspect of our 9th semester has been concerning sourcing strategies and project management. Therefore it is relevant for us to visit Vestas's IT organization in Manila. Besides Vestas we are going to visit two other offshored IT-organizations, NNIT and Excitor.

The papers are as mentioned being composed in cooperation with Vestas which offshored a part of their IT organization to Manila back in 2008. The papers concern the following:

1. How has Vestas IT-organization developed their IT-capabilities and structure over time in the efforts to become a strategic (trusted) partner to the business.

2. To describe and define the IT middle managers role in the IT organization.

The purpose of our trip is to collect data for the two papers and in general learn about and experience the practical aspects of offshoring. We are thereby gaining practical knowledge regarding the challenges IT organizations face when they offshore parts of the IT function, that we can compare to the theoretical literature we have been presented to in class.

We consider this a unique chance to explore the different processes in an offshore organization and learn how leadership and management can be performed.

The purpose of this blog is to summarize and reflect upon the experiences gained from visiting three offshored IT organizations.

Ready to go to Manila? Not quite - the economical aspect

As a student everybody knows that one is on a tight budget and consequently we needed resources to cover parts of our expenses. We therefore have petitioned different funds which have responded positively. The realization of the trip became imminent once the petitions were accept, which was a great relief for all of us.

The blog will be updated regularly and pictures will be shared as well.

Friday, November 18, 2011

They took urgency out of Mañana :)

Today we visited Carsten from Excitor who Finn connected us to yesterday. Carsten is the CTO and general manager of the captive outsourced department in Manila. The department is not as big as the other companies we have visited here in Manila. It was exiting to hear what challenges a smaller firm was facing compared to a larger firm. Corruption and acquiring the needed competences was some of the issues mentioned. We also discussed the difference about work attitudes. We learned that the Filipinos are more focused on the individual task and that Danes are more focused on the context of the task. This results in some misunderstandings and not fully completed tasks. We also learned that newly graduated Filipinos from the university lack competences. We were told that they are immature and need more training compared to Danish graduates. But they are also younger when they graduate, around 20 years old is typical. Carsten also mentioned that he faced a lot of corruption although the resources needed to cope with it were affordable. The issue for a smaller company regarding corruption is the time perspective. It is a protracted process to get new initiatives approved when dealing with/paying seven different “subcontractors”. Fiscal corruption is only a big issue for larger manufacturing companies.
(Small talk)
We were amused by an interesting thought, that there might be a cultural difference based on the climate. There is a saying that the Filipinos took the urgency out of Mañana.
J The discussion is related to issues regarding whether mentality in different work cultures are affected by the climate. In the north we have a historical awareness that winter is coming and therefore we plan long termed in contrary to cultures in tropical climates.
After visiting Exitor we paid the Manila hub a final visit. We wanted to give some presents as a token for our gratitude and to say goodbye to everyone. Here ends the educational part of our trip to the Philippines.
Goodbye and thanks for reading