The Boston Group, a global provider of IT and e-learning solutions, offers a full suite of E-learning solutions, ranging from custom content development and off-the-shelf course ware to software platforms for learning and skills management. The company's E-learning solutions are now used by more than 700 organizations, including leading universities in the US, and over two million people in 40 countries worldwide. The Boston Group has offices and clients in India, Singapore, Malaysia, Indonesia, Philippines, China and Dubai. At the core of their E-leaning solution is the patented Learning Management System “Intralearn”. Recently they bagged an $11 million contract from Bank Mandiri in Indonesia to provide an E-learning solution for 17,000 bank employees.

Chairman Subu Kota talked to Lokvani about the E-learning business. The Boston Group has taken technology developed in the US to provide solutions to institutions around the world. Kota gave some insights on how businesses can succeed in a global economy.

Lokvani: Could you tell us about the new contract with the Bank Mandiri ?

Subu Kota: Bank Mandiri is one of the largest banks of Indonesia. After the collapse of Indonesia’s banking system, Bank Mandiri was cobbled together from the wreckage of four state-owned banks. It has made tremendous progress to improve the way it is doing business. The change has led the Wall Street journal to label it as a “symbol of progress in Indonesia's banking system”. As part of the change, they have put several processes in place to ensure transparency and better business practices. We are proud to be part of this change. They wanted to train their employees to conform to the new standards. We have been asked to provide E-learning solutions for 17,000 employees spread across 700 branches. The training system we develop will have the Intralearn Learning management system at its core.

Lokvani: Despite several proposals from other leading companies, why do you think Bank Mandiri awarded the contact to you?

Subu Kota: The Intralearn system played a big role in winning the contract. Intralearn is being used successfully by different business sectors. It is also being used by leading Universities in the Boston area including the University of Massachusetts. It serves as their distance education platform. It is a flexible system that is very easy to use. The flexible nature of Intralearn enables customized solutions. Indonesia is spread over 700 islands and connectivity is not all at the same level. Our solution will have to address different levels of connectivity. The language used in Indonesia is “Bhasha”. Our solution will have to accommodate that.

Bank Mandiri was pleased to note that we have been doing business all over the world and not just in the US. We have contracts from China, Malaysia, Singapore and India to provide E-Learning solutions.

Lokvani: Do you see a role for E-Learning in higher education? Will it replace Universities?

Subu Kota: We see tremendous potential for E-Learning. It will never replace Universities but rather makes those Universities accessible to a large section of the population. Instead of the typical four-year degree, it’s now a 40-year degree, where more and more students take advantage of technology to learn throughout their lives, whether they’re full time or part-time students or already employed. Charles West, the former President of MIT said that the most significant accomplishment during his tenure was putting all the course content at MIT online and making it freely accessible. This helped bring MIT to a larger section of the society.

The E-learning business is all about partnerships where the technology enablers work with content providers – be that faculty or content providers like McGraw-Hill to provide the most effective learning experience for the student.

Today, many colleges and universities are offering classes online and rolling out new continuing education programs in an effort to reach a broader audience and attract new students. Our learning management solution offers a complete, end-to-end integrated online learning system. Our solution is e-commerce enabled with remote registration, content delivery, learner profiles, multimedia, exams and assessments. Our content development solution offers several resources to make creating courses and courseware a smooth and effective process. This helps us work with organizations and educators in a highly collaborative process to create online courses.

Lokvani: What does the future of E-Learning look like?

Subu Kota: I think the future is very exciting. The world is transforming itself into a knowledge based society. Learning is certainly the key to success. There is a great need for “Knowledge-on-Demand” where one may not read an entire book on a subject but rather use a PDA to get trained on special aspects of a topic. There is a lot of opportunity for technology and content development in this area.

Lokvani: Outsourcing is a very important aspect of the way the Boston Group does business. Is this essential for succeeding in a global economy?

Subu Kota: We do outsource some development. But I must remind you that the core technology was developed in the US. In this global economy, the US has become the exporter of new technology and innovation. The US educational system allows students to think out of the box and hence it will continue to be center for innovation for the foreseeable future.

Our business is global in nature. To succeed we have to partner with local companies. Often the customization requires knowledge of local languages. It makes business and technical sense to outsource this effort to open ourselves up to global markets. But this kind of outsourcing is very good for US companies since it is enabling us to access markets that we could not otherwise reach.

Lokvani: What advice do you have for businesses trying to reach global markets?

Subu Kota: I would advice them to find a local partner. Each country is very different. Language is often a barrier. The customs are often unique. It is also essential that we do not prejudice our minds about people just because of their color, race, religion or food habits. Understand that underneath the outer skin people are the same. Also remember that partnerships are not just one way. You will learn a lot from your partners. We must respect everyone. One of the most learning moments of my life was in Indonesia when after winning the contract, the employees of our local partners who were Muslims, held a prayer meeting. At the prayer meeting they made a promise that they will work hard to provide the best service to their client. I always remember that moment.

I think we live in exciting times where we can tap into global markets and if US businesses use the right approach they can benefit from the opportunity.

Lokvani: Thank you for your time.

Subu Kota: Thank you.

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