The Globally Integrated Advantech Enterprise

Jan. 16, 2008
Remember the old commercial? "Gee, no, GTE?" If you're younger than I am, you probably don't but that's what popped into my head when I got this press release from Meg Chen at Advantech. Gee... no, GIE.
Remember the old commercial? "Gee, no, GTE?" If you're younger than I am, you probably don't but that's what popped into my head when I got this press release from Meg Chen at Advantech. Gee... no, GIE.As I reported last year from the Advantech World Partner Conference in Shanghai, Advantech leadership has decided to emulate what IBM and a few other very large companies are trying to do-- become a Globally Integrated Enterprise. This, I think, is far easier to say than to do...I think IBM has found that out as well. But Advantech appears to be willing to put their money on this bet in a significant way, as you will see in the following release: Advantech, the leading international IPC and Industrial Automation service provider, after its corporate declaration at year end 2007 to restructure into a Globally Integrated Enterprise (GIE), is now poised to progressively reorganize its business structure in light of the fresh challenges presented by globalization. A brand-new corporate framework has just been established centering on the re-appropriation of former product and business departments into Embedded ePlatform Group, eServices & Applied Computing Group, and Industrial Automation Group, serving as a solid foundation on which the company will build a Globally Integrated Enterprise. This marks a new departure from the previous Multi-national Corporation (MNC) structure with boundaries between product divisions and sales regions.
  Additionally, to more effectively command the new business opportunities spurred on by Web 2.0, a new generation of web-based communities, Advantech introduced Direct Marketing Force (DMF). The DMF business model can be divided into two subcategories: Direct Sales and Order Fulfillment via Channels. These allow customers to place an order directly with Advantech's online store or call center; or proceed to product support through channel partners. These two disparate DMF business paradigms provide direct communication opportunities with customers for optimal service and support to clientele of all sizes.
  Design-To-Order-Services, on the other hand, is a business model for extending vertical market reach, along with the strengthening of Design-and-Manufacturing Services. These endeavors are defined by customer demand and accentuated by high levels of research to furnish Advantech clinets with comprehensive customization services, ranging from product development, design, manufacturing, and value-added services, in order to launch pioneering, innovative products and expand the company's influence in the global market.
  Furthermore, Advantech is moving to consolidate its business image as a service-oriented company by the establishment of Advantech Intelligent Services under the eServices & Applied Computing Group, which inaugurates eHome, Self-service and Retail Intelligence, and Digital Signage platforms and products. Also, an Innovative Intelligence Lab has been set up in Beijing devoted to innovative applications and development programs for future technologies that will be launched in the Greater China market to meet domestic demands, serving as a springboard to the international market.  
Advantech's follow-up plans, after the appropriate re-assignment of corporate resources needed to retain a competitive edge, include an all-out business expansion campaign. For the future, Advantech aims to fortify its partnerships with corporate allies, integrate new resources, exchange professional know-how from partners to amalgamate them with Advantech's capacities, and step-up the level of product and technology development collaboration with system integration customers to build a more all-around solution. This solid business community formed by Advantech, partners and customers will be the one of the primary motivators for expanding the Company's future corporate leverage.  
As far as the rest of you are concerned, whether you work for an end-user company or a vendor, remember the Marquis of Montrose during the English Civil War. The 17th Century Marquis of Montrose gave a famous toast in which he told the truth about risk and reward: "He either fears his fate too much, Or his desserts are small, Who dares not put it to the touch, To win or lose it all."

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