THE BEST IN FRANCE Venture - PowerPoint PPT Presentation

the best in france project l.
Skip this Video
Loading SlideShow in 5 Seconds..
THE BEST IN FRANCE Venture PowerPoint Presentation
THE BEST IN FRANCE Venture

play fullscreen
1 / 23
Download
Download Presentation

THE BEST IN FRANCE Venture

Presentation Transcript

  1. The Best In France research project is conducted under the supervision of:Prof. Michael SEGALLA HEC—Paris M. Jack ANDERSON Ernst & Young MICROSOFT IN FRANCE THE BEST IN FRANCE PROJECT Laurent BRIGHEL Julien COSSE Bruno DUBREUIL François-René GROSSET Damien HOULLE www.bestinfrance.org

  2. MICROSOFT FRANCE EUROPE ME AND AFRICA ASIA South AMERICA South PACIFIC North and Central AMERICA MICROSOFT IN FRANCE • About MS • Corp. Organization • MS France organization • Financial Statement • History of MS • Activities Microsoft in France France benefits & constraints Synthesis

  3. CEO MICROSOFT IN FRANCE Customer Satisfaction and Services Public Administration • About MS • Corp. Organization • MS France organization • Financial Statement • History of MS • Activities Marketing & Communication Human Resources Developer and Platform Evangelism Enterprise & Partners PME/PMI Services Home & Entertainment MSN Legal and Corporate Affairs Finance Microsoft in France France benefits & constraints Synthesis

  4. MICROSOFT IN FRANCE MICROSOFT CORP. (’04 figures) World turnover 36,8 B$ France estimated turnover about 1,5B€ • About MS • Corp. Organization • MS France organization • Financial Statement • History of MS • Activities Net Income 8,2B$ Assets 92,4B$ Microsoft in France France benefits & constraints Synthesis

  5. 1975 1983 1989 2005 HISTORY OF MICROSOFT IN FRANCE 1975 : Creation of Microsoft in the USA 3 Key-dates : 1983 : Creation of Microsoft France in Les Ulis (Courtaboeuf) 1989 : Creation of Microsoft EMEA in La Défense 2005 : INRIA Partnership (will be developed later) MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities Microsoft in France France benefits & constraints Synthesis

  6. CREATION OF MICROSOFT FRANCE One date : january ‘83 : MS France was created by Bernard VERGNES One goal : to sell MS products on the French market, by managing marketing, sales, and distribution One idea : A local CEO for the local market (B. VERGNES in France) with free hands MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities ABOUT MICROSOFT FRANCE 4 months to create the structure (SARL) 100 % owned by MS USA 5 employees at the beginning Microsoft in France France benefits & constraints Synthesis

  7. ABOUT THE LOCATION IN FRANCE : Courtaboeuf • Dynamism : Apple, HP, Micral, …, are already there • Proximity of « brains » : universities, research centers, … • Proximity of commodities : Rungis, Orly Airport MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities Microsoft in France France benefits & constraints Synthesis

  8. CREATION OF MICROSOFT EMEA In 1987, several national offices are opened by the 3 pioneers Lack of structure between US HQ and 10 European HQs Political background : construction of Europe, fall of Berlin Wall MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities ABOUT MICROSOFT EMEA May 1989 : Bill GATES gave B. VERGNES the responsibility of creating and managing the European HQ A turnover of 200 M$ To begin, 3 people in the HQ : B.VERGNES, an assistant and an American executive director Microsoft in France France benefits & constraints Synthesis

  9. ABOUT THE LOCATION : FRANCE 5 potential locations : London, Brussels, Paris, Geneva, Frankfort By elimination, 2 finalists : London and Paris Paris won for cultural reasons MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities • ABOUT THE LOCATION : LA DEFENSE • La Defense was chosen because : • Its dynamism (buildings, CNIT, Grande Arche…) • Proximity to Charles de Gaulle Airport • Proximity to Paris. Microsoft in France France benefits & constraints Synthesis

  10. 3 TYPES OF CUSTOMERS MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities • Customers • Products COMPANIES PEOPLE EDUCATION SALES SYSTEM Computers builders Software Houses Professional retailers Retailers Microsoft in France France benefits & constraints Synthesis

  11. COMMUNICATE LEARN HOME & ENTERTAINMENT WEB APPLICATION SERVERS DECISIONS TOOLS SOFTWARE DEV DEAL WITH DATA COMPANIES CRM / ERP SOFTWARE DEV MICROSOFT IN FRANCE • About MS • History of MS • Chronology • France • EMEA • Activities • Customers • Products Microsoft in France France benefits & constraints Synthesis

  12. France benefits & constraints Passion for customers, for our partners, and for technology • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image Openness and respectfulness Integrity and honesty Taking on big challenges and seeing them through Accountability to customers, shareholders, partners, and employees for commitments, results, and quality Constructive self-criticism, self-improvement, and personal excellence Microsoft in France France benefits & constraints Synthesis

  13. France benefits & constraints A “Why?” Culture Where are the winners? Strong Individualism • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image Not Risk Takers Too much criticism but no action Low Adaptation to other cultures Creativity Strategy Very good productivity Strong knowledge Very good understanding of other cultures Strong capacity to conceptualize complexity Microsoft in France France benefits & constraints Synthesis

  14. Create a good Environment for employees France benefits & constraints Hierarchy with low number of levels Daily used French and English • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image Open Spaces Are French Employees disturbed by this kind of Working Environment? OR Chapitre 1 Chapitre 2 Chapitre 3

  15. Quantitative Individual Collective Qualitative • People oriented working environment France benefits & constraints • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image • High potentials Microsoft spotting system • Hiring system criteria : • Strong experiences in high tech companies • Fluent in English • Strong experiences in US companies • “PLUG AND PLAY” Microsoft in France France benefits & constraints Synthesis

  16. French Market characteristics Fast Market growth High number of « early adopters » Long period before Market growth • The French Market • Investments in new technologies are twice less than in other European countries • IT is not seen as a tool enhancing performance of the company • A lot of new companies are created each year • Not a saturated Market with a high potential growth France benefits & constraints • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image • Microsoft strategy • Microsoft does not look to increase its market share • It helps to make the market bigger by : • Offering consulting solutions to French IT companies • Communication strategy on new technologies Microsoft in France France benefits & constraints Synthesis

  17. France constraints • The “good enough” spirit • High resistance to changes • Customer’s complaints are higher in France France benefits & constraints • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image • Microsoft solutions • Marketing effort is bigger in France Microsoft in France France benefits & constraints Synthesis

  18. Competitive trade-off between employees tax system and France cost of living (except high wages) France benefits & constraints Pro • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image • High tax Burden • High labor cost • Low value-added activities centralization in Ireland (accounting, expenses) • Financial arrangements with MS Ireland Cons The Microsoft Solution Microsoft in France France benefits & constraints Synthesis

  19. France benefits & constraints Sales commission is given to MS France • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image MS Ireland collects turnover MS France distributes products Microsoft in France France benefits & constraints Synthesis

  20. BIG IT Companies • Partnership in Research and Development • Ensure Security through automaic Updates • Ensure products Quality E.G.: Dassault System • Partnerships • E.G.: ENST incubator MS wants to help young start ups • INRIA: Improve R&D in France • These investments are going to increase in France and In Europe • Small IT Companies • Helped on Marketing and Investments • MS offers Chief Product Officer consulting -> CAP program • Products referenced on Microsoft Catalogue -> EMPOWER Program Offers products at low prices during 2 years • Improve Security • Newsletters • Conferences • Automatic updates • Warnings to users through “sms”, “e-mails” MS wants to improve the image of their products • French Employment • 1 job created at MS France -> 8 jobs created • Retraining in IT through Certified program -> Make disappear the lack of employees in the IT industry • Programs created • Certification to MS Products • Products at low prices There is a need to adapt to every single actor of the French IT Market Microsoft suffers from a bad image in France France benefits & constraints Customers Decision makers IT • France Values • Culture of Microsoft company vs. France • Solutions • French Market • French Market • Constraints • Finance • Image NO Investments NO Jobs created Products Quality Better services Prices too high Products quality • Microsoft finds out solutions to improve its image in France Customers Decision makers IT Improve quality, communication and services Microsoft in France France benefits & constraints Synthesis

  21. SYNTHESIS Microsoft’s Expectations Strategic Threats Competitive advantages Language Skills + + Conservative Market “Brains” in management Productivity Labor Flexibility Market’s High potential Growth High Labor Cost - - Microsoft’s Satisfaction + + Lifestyle cost Demanding Customers High Tax Burden Lifestyle quality Cultural Values “Brains” in technology Critical handicaps Added Benefits - - Microsoft in France France benefits & constraints Synthesis

  22. We Thank Microsoft in France France benefits & constraints Synthesis

  23. François-René Grosset fr.grosset@gmail.com Our team Julien Cossé julien.cosse@gmail.com Bruno Dubreuil dubreuil_bruno@yahoo.fr Damien Houlle damienhoulle@gmail.com Laurent Brighel Laurent.brighel@gmail.com Microsoft in France France benefits & constraints Synthesis