Professor Ferrary will present the results of a comparative study between Silicon Valley and Sophia Antipolis (France). He and co-authors Michel Bernasconi (Ceram) and Ludovic DiBiaggio (Ceram) examine to what extent the endogenous growth of a high-tech cluster depends on two factors:

1. The complete set of communities of practices (Wenger, 1998) providing the complementary competences needed to create and develop start-ups (e.g. scientific researchers, managers, engineers, VC, lawyers, consultants, etc.)
2. The quality of interactions between these communities of practices, defined as a group of people linked by strong ties (Granovetter, 1973) to produce expertises through frequent interactions. The coordination and circulation of information depend on the quality of weak ties between these communities.

Is a high-tech cluster handicapped if a community of practices is missing? And/or if the quality of inter-communities interactions is poor? Professor Ferrary will share the results of testing these hypotheses in Silicon Valley and Sophia Antipolis.

About the Speaker

Michel Ferrary is Professor of Management at Ceram Graduate School of Business in Sophia-Antipolis (French Riviera). Previously, he was a visiting scholar for two years at Stanford's Department of Sociology, where he analyzed social networks in Silicon Valley and the new practices of corporate venturing used by large high-tech companies. Professor Ferrary has published journal articles on a wide array of topics, including labor markets, competencies management, banking strategy, the use of social networks in banking activities, corporate venturing, and social networks in Silicon Valley. He received his PhD in business administration from HEC Business School (France).

This is a presentation of joint work with Dr. Rafiq Dossani, Shorenstein APARC. About the Talk: IT (Information Technology) outsourcing has become a standard approach for many Fortune 3000 and smaller companies to achieve cost-effectiveness. However, while outsourcing at the low end of the value chain has gained acceptance, many issues remain unresolved at the high end of the IT value chain. We develop a characterization of outsourcing firms, suppliers, and tasks that is useful in providing guidelines on when to outsource, and whom to outsource to. These guidelines for IT outsourcing strategies are based on a study of US customers, and Indian IT suppliers, involving questionnaires and interviews. To our knowledge, this is first study that has captured the supplier characteristics in the level of detail, which will be discussed by Dr. Akella in his talk. Professor Ram Akella is currently professor of IE and Management, and was the founding director, SUNY Center for Excellence in Global Enterprise Management. At Stanford, the University of California, Berkeley, and Carnegie Mellon University, as a faculty member and director, Professor Akella has led major multi-million dollar interdisciplinary team efforts in high tech and semiconductors. His current research interests include in process learning, quality, fab economic models, cost of ownership and financial justification for IT Management and equipment, production planning and control, and bio-informatics. His other interests are enterprise systems, IT and software, financial engineering, high tech and e-business, and range from cell and factory level design and control to enterprise-wide coordination and logistics, including supply chain management and contracts, financial engineering and investment, demand management, e-commerce and e-business exchanges, and product and process portfolios for risk management and design capacity management.

In Japan, fiscal decentralization has recently received public attention as a solution for the problematic intergovernmental fiscal relationship between its central and local governments, and as a potential solution for some of the country's most serious problems such as the large size of total government expenditures, its continuously inactive economy, and its huge public debt. This fiscal decentralization policy is actively being discussed within the Koizumi cabinet especially between Mr. Shiokawa and Mr. Katayama. Mr. Akaiwa will discuss following issues based on his interdisciplinary research:

1. What are the problems in the current intergovernmental fiscal relationship in Japan?
   
2. How has the fiscal decentralization policy been argued among bureaucrats and politicians for several decades?
   
3. What are the expected effects of the fiscal decentralization policy in both economic and political contexts?
   
4. How should the Japanese government implement fiscal decentralization policy?