Dr Ya-Qin Zhang, Microsoft corporate vice-president and Microsoft China R&D chairman, discusses CRDs formula for success. Zhang's solution is summed up in one simple answer: talent + innovation!

Q: What does the equation IT = IP + IQ mean?
Zhang: We can see that in the knowledge economy, the value created by one person is more likely to exceed that created by tens of thousands of people from past centuries. Therefore, for IT enterprises (especially software enterprises), intelligence is the most important, most cherished asset. Innovation and technology are the other factors that can help lead IT enterprises to success. Take software enterprises for instance; source codes, patents, know-how, process and other intellectual property rights are the keys to the survival and development of enterprises. Unlike auto manufacturing, energy, integrated circuits or retail enterprises, software enterprises do not have as many employees, fixed entities, plants, production lines or large facilities. I often joke about how in Microsoft, you can see only two brains: human brains and electronic brains.

Today, I use that equation to define our CRD talent development strategy. We are establishing a complete set of strategies to attract, foster, and protect talent by providing each of our employees with enough room to display their talent, and by using our innovative technology and products to better serve China and the world.

Q: Microsoft works hard to make the company attractive to employees. What aspects of CRD do you think are most attractive to our employees?
Zhang: To sum up CRD's attractive qualities, I think I should start with four major opportunities and environments we provide for our employees:

• An opportunity to influence the daily lives of people: Everyday, we are engaged in high-level technology research and the development of state-of-the-art products that will change the lives of billions of people around the world. Each person, who loves technology, can take pride in that work and in those responsibilities.

• An opportunity to choose from a huge variety of development paths: In CRD, we have many groups that cover all arms of R&D - basic research, technology incubation, production development as well as co-operation with Chinese partners. At the same time, Microsoft's rich product lines and breadth of products provide our employees with the chance to try variety of challenging jobs. As long as you can imagine it, it is possible!

• An environment that enables everyone to display their full potential: Here, you can learn and grow with CRD at the same time by taking advantage of Microsoft's various technical, product and training resources. Our CSP (Career Stage Profile) project designs career development profiles for each position to help each of our employees find their way to success.

• A flexible and lively working environment. Work hard, and have fun!

The establishment CRD in 2006 has determined our long-term strategic development goal. Last year, we attracted a total of more than 500 FTEs. There were over 200 experienced technical and management personnel from China and abroad, as well as more than 200 outstanding graduates from China's top universities.

Q: What efforts we are making to foster the talent you attract to CRD?
Zhang: Our strategy for fostering talent is comprehensive. For instance, the training we provide to our employees includes not only technical proficiency, product development mechanisms, technical research, product development methods, and corporate culture, but also leadership and management skills. Our strategy can be summed up in four points:

1. Training: Currently, there are more than 100 training programs in progress at CRD, covering the various fields we just mentioned. In order to make ourselves into a world-class base for technical and product R&D, we have invited Jeffrey Krebs, an experienced veteran from the headquarters of the Engineering Excellence Group, to establish an Engineering Excellence (China) Group, which will be responsible for improving the practical skills of our engineers, the efficiency of our working process, and the quality of our product R&D.

2. CSP (Career Stage Profile): We have begun designing career profiles for all of our positions. In 2006, we have generated career profiles for such positions as software development, debugging, and project management. In 2007, we will expand career profiling to all of our positions including engineering, research and management. Career profiling helps employees to better understand the expectations of each position. In addition, no matter in which position within CRD, career profiles will help our employees prepare for their future career moves.

3. "Marco Polo" Rotation Program：We implemented this program in May this year and hope to invite to CRD, experienced engineers in software development, software debugging and project management from Redmond. With terms ranging from three to six months, they are expected to rotate positions from product performance design to team construction. One of their most crucial tasks is to guide our employees and share their experience, skills, and management tips.

4. "Future Star", "EXPO", and "Mentorship": These training programs are intensive and stimulating, designed specifically for management personnel with great development potential. Through the "Mentorship" program, our experienced employees have fostered many outstanding individuals, which is vital to our future success.

5. These programs are part of the myMicrosoft talent fostering plan. In the coming year, we will conduct more exciting programs, for example, the New Employee On-Board Program, New Manager On-Board Program, and the brand new Reward & Recognition Program.

Q: There have been a number of new improvements in the offices in Beijing, Shanghai and Shenzhen. Is that part of the workplace enhancement pillar of myMicrosoft?
Zhang: You're right, however, what you have seen is only a small part of our plan. We established the Task Force Work Team consisting of CRD management including myself, members from the HR and finance departments and we are listening to the opinions of our employees. For instance, we have installed massage chairs on each floor to help people relax during breaks and prepared fresh fruit, Starbucks coffee and Xboxes for our employees.