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INSIGHTThe Journal of the American Chamber of Commerce in Shanghai - Insight October 2016 Education www.amcham-shanghai.org nation We cover China’s booming education industry, including: · Why joint ventures are increasing · Opportunities for foreign investors · The role of vocational education FEATURES P.18 POLICY P.23 MEMBER NEWS P.26 Q&A with an Recap of AmCham Shanghai’s Q&A with Pierre Cohade, education consultancy DC Doorknock former CEO of Triangle Tyre MOVERS AND SHAKERSCAREER INSIGHTThe Journal of the American Chamber of Commerce in Shanghai - October 2016 AMCHAM SHANGHAI FEATURES President KENNETH JARRETT 07 Joint-Venture Universities in China VP of Programs & Services Why joint ventures between Chinese and American universities are increasing SCOTT WILLIAMS 10 Opportunities in the Chinese Education Market VP of Administration & Finance HELEN REN Experts from Deloitte delve into opportunities for foreign investors Directors 14 Evolving Educational Pathways Business Development, How the increased globalization of education is reshaping the industry Marketing & Events PATSY LI 16 Vocational Education: Answer to Talent Shortage? Vocational education in China and its importance to the economy Committees JESSICA WU 18 Journey to the West Communications & Publications Q&A with Dan Chen, co-founder of the education advisory firm Aegis Advisors IAN DRISCOLL Government Relations & CSR VEOMAYOURY "TITI" BACCAM Membership & CVP LINDA X. WANG POLICY PERSPECTIVES 20 Short Term, Long Term INSIGHT Opportunities and threats facing multinational manufacturing companies in China Senior Associate Editor 23 AmCham Shanghai Goes to Washington RUOPING CHEN Recap of AmCham Shanghai’s four-day DC Doorknock Associate Editor DOUG STRUB Content Manager DEBORAH TANG MEMBER NEWS Design GABRIELE CORDIOLI 25 President’s Note Printing On AmCham Shanghai’s recent visit to Washington SNAP PRINTING, INC. 26 Member Focus With Pierre Cohade, former CEO of Chinese company Triangle Tyre INSIGHT 30 Month in Pictures SPONSORSHIP Selected photos from last month’s AmCham events (86-21) 6279-7119 Story ideas, questions or 32 Event Report comments on Insight: Please contact Recap of selected events from last month Ruoping Chen (86-21) 6279-7119 ext. 4583 [email protected] 33 Committee Chair’s Corner With Robert Abbanat, chair of the Education & Training Committee Insight is a free monthly publication for the members of The American Chamber of Commerce in Shanghai. Editorial content and 34 Esoterica sponsors' announcements are independent Book review - China’s Economy and do not necessarily reflect the views of the governors, officers, members or staff of the Chamber. No part of this publication may be reproduced without written consent of the copyright holder. Special thanks to the 2015-2016 AmCham Shanghai President’s Circle Sponsors Shanghai Centre, Suite 568 2016 1376 Nanjing West Road Shanghai, 200040 China tel: (86-21) 6279-7119 fax: (86-21) 6279-7643 www.amcham-shanghai.org October 3 We recently returned from our annual ments for voting should be non-controver- Chairman’s Washington Doorknock, where we wit- sial. We propose that international affiliated nessed the messy process of governing members – both corporate and individual LETTER in our nation’s capitol. Democracy truly is – be given voting rights. the worst form of government, as Winston A more sensitive decision concerns Churchill famously said, except for all the how we select our chair, currently elected others. Elsewhere in Insight, our president by direct vote of the members. The board Ken Jarrett has written about our meet- recommends that we move to a process by ings with the Obama administration and which Chamber members elect the board, on Capitol Hill. I encourage you to read his which in turn selects the chair. Besides be- column. ing a more conventional approach used by Here at AmCham we have our own im- corporate boards and most other cham- perfect form of democracy. Soon we will bers, this has several advantages. elect new governors to our board. Thank- First, this change will strengthen the fully, we don’t have trade agreements working relationship between the chair or investment treaties to ratify, but the and the board. A chair elected by the board Chamber still faces challenges. Like all of will have explicit support for an agenda as our businesses, AmCham must adjust to a opposed to the general support of mem- new more competitive environment. In re- bers at large. Moreover, the requirements sponse, the board has already made diffi- for chair differ somewhat from the board cult decisions regarding expenditures and role. Board governors are best positioned how we organize ourselves, which is its to evaluate the suitability of candidates main function. whereas the distinction between board The board has also improved its internal and chair may be less clear to others. governance. Two-year terms promote con- Second, the election for the chair has tinuity and deepen the commitment that been uncontested in the last several elec- Governors make to the Chamber. We also tions. There is a simple explanation for this. KER GIBBS expanded our pool of qualified candidates The role would be impossible to perform Chair of the Board of Governors by dropping the requirement for the chair without support from within the board. to be an American citizen. Lastly, the board Therefore, any sensible candidate gauges is now more balanced with respect to gen- enthusiasm among the current board gov- der, which better reflects the demograph- ernors before deciding to run. This process ics of our membership. naturally results in a single candidate. We should continue this work with more Third, the change would simplify the changes that will improve governance and election process. We currently vote sepa- strengthen the Chamber. Some are minor rately for board seats and chair. What if a procedural adjustments. Others involve the candidate wins the chair but not the board Chamber’s constitution, which requires the seat? If a governor in the second of a two- general membership’s approval. year term runs for chair, must we use one of On procedure, we will improve transpar- our six votes to elect him/her? We should ency by identifying which members enjoy adopt an election system that precludes voting rights. Large companies often have these scenarios. many Chamber members but are limited to We recommend these changes and three voters so they don’t skew our elec- hope you support them. Your decision tion results. The confusion about who has about candidates for the board is equally voting rights has led to inefficient cam- important. As members, our duty is to paigning and numerous invalid ballots. This study the ballot and scrutinize each per- year, candidates will know who is entitled son’s qualifications. Do they have experi- to vote. ence managing budgets and solving gov- Other anomalies exist around our voting ernance issues? Board governors – any rights, which are still largely associated with one of whom could subsequently become U.S. citizenship. When asked in 2014 if non- chair – interact with government and will -U.S. citizens should be allowed to serve as be asked about a wide range of issues. chair, an overwhelming 84 percent agreed Can the person you choose represent your that senior executives of U.S.-based compa- views? Elect who you believe are the most nies should be able to serve as chair regard- qualified people to represent AmCham and 2016 less of their citizenship. Therefore, further promote the interests of American busi- changes to relax American citizen require- ness in China. I October 5 Movers and Shakers highlights major personnel changes within the Chinese government at various levels and senior management-level movements within multinational companies in China PRivate SectoR GOVERNMENT SAlesFORCE American customer EY relationship Ying Yong was Harsha Basnayake management (CRM) appointed vice mayor of was named Asia-Pacific company Salesforce Shanghai. He has served leader of transaction announced the as the city’s deputy advisory services for appointment of Mark party secretary since EY. In his new role, Innes as its general manager for Asia July 2014. He is also the Basnayake will lead a Pacific. first vice president of the team of more than 2,000 professionals across In this role, Innes will be responsible China Executive Leadership Academy the Asia-Pacific region in providing services for the growth of the company within the Pudong. Prior to that, Ying served as the focused on buy-side and sell-side deals, Asia Pacific region, assisting customers president and secretary of the party strategy and operations, turnaround and from a diverse range of industries and committee of Shanghai Higher People's Court restructuring. backgrounds with their business between January 2008 and April 2013. From Basnayake has been with EY for almost 30 transformations through the use of 2013 to 2014, he was head of the Shanghai years. He joined the organization in Colombo, Salesforce’s various CRM platforms. municipal government’s organization Sri Lanka as a trainee in 1987. He moved to Innes has over 30 years of experience department. Before that, he was president and Singapore in 1997 and progressed to lead the working in various industries including secretary of the party committee of Zhejiang country’s Transaction Advisory Service (TAS) global finance and telecommunications. Province Higher People's Court. practice. Since 2009, Basnayake has served He joined Salesforce in 2012 and was the as ASEAN regional TAS leader, driving its senior vice president of enterprise ICBC (Industrial and transformation into a 600-strong team by business in Australia and New Zealand Commercial Bank of building out its deal origination, execution, until 2014 when the division was China) promoted vice strategy and operations capabilities. Prior to expanded to the entire APAC region. president Gu Shu to this, he established the Valuation and president.
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