The Study On Strategic Transformation Of I Company

As cloud services, mobile device, social networking and IT system platform based on large data appear, the industrial model of outsourcing IT services has been reversed. Meanwhile, traditional IT services outsourcing industrial model, which reduces the cost by enlarging scale, is facing eliminate and replaced by a new services outsourcing industrial model based on intelligence and online.IT services outsourcing companies need to innovate model and make strategic transformation.After fourteen-year development, i company has more than 20,000 employees and has entered the first group among IT services outsourcing companies. The paper analyses its business and find that its profitability declines while its staff increase,also discusses its problems: the cost increases rapidly; productivity efficiency decreases; service value is low and alternative; competition is fierce; bargaining power is weak; solutions become homogeneity; negotiation ability declines. i company needs transformation. The strategic reconstructing is imperative. The paper uses SWOT analysis. The strength of i company is abundant experience, culture of innovation, ability to bring in resources for industrial upgrading, a clear city strategy, a mature platform among cities, and the potential to lead urban industrial innovation. The weaknesses are unimproved business model, high pressure of cash flow and lack of talents. I company could take advantage of emerging technology change, new urbanization, industrial upgrading and local manufacturer to avoid increasing cost of talents, lack of outstanding people and the threat from cross-industry companies. I company should seize the chance of government support for industry upgrade and focus on local market. I company also should promote industrial cross-border integration, and adjust marketing strategy, business model and managerial hierarchy. Also it should optimize the ITO business, carry out city platform strategy, and explore strategic transformation of industrial internet and smart city. Finally, the paper studies the measures that i company takes in strategic transformation including rebuilding brand, designing a managerial structure for smart business, strengthening corporation culture and cadre management, forming sharing services based on platform strategy, and making a combination of government, enterprises and research institutes. The paper further discusses about the new model IT outsourcing companies adopts in smart city and industrial Internet.As industry leader, i company has a large scale and sufficient research data. The paper makes comprehensive analysis and gives out suggestions based on the facts, which allows the outsourcing companies to draw some useful lessons for strategic transformation.