The Dow Chemical Company (Dow) and Tata Consultancy Services (TCS), on November 12, 2009 announced plans to form an innovative business alliance that will provide critical business services to Dow, its subsidiaries and joint ventures.

The alliance is an expansion of an existing relationship between Dow and TCS, combining Dow’s leading chemical industry knowledge and operational discipline with the service delivery expertise of TCS.

"This strategic partnership will make our already lean and efficient corporate center even more so, by supporting a business services model that delivers world-class capabilities at an estimated 30 percent savings," said Dave Kepler, Dow executive vice president of Business Services. "This innovative approach uses a variable staffing model, centralizes activities and maximizes efficiencies to meet evolving business needs."

As part of this alliance and global network, Dow and TCS also are announcing plans to build a new strategic services center near the site of Dow’s global headquarters in Midland, Michigan, subject to the approval of state and local incentives. Plans are underway to begin construction on a new facility in the next year, with the first phase of the build-out designed to accommodate 1,250 employees. This effort will support the local economy through the creation of new jobs. In addition, TCS plans to expand its service offerings beyond Dow in the future, creating a service valley in central Michigan.

The alliance will provide operational capabilities that are essential to all businesses – including a wide ranging set of capabilities from supply chain scheduling and planning, invoicing and data management, to accounts receivable and payables – offering improved flexibility and efficiencies plus around-the-clock, around-the-globe service. The alliance is expected ultimately to support a global network of service centers, including strategic centers in Midland and Mumbai, India; plus satellite centers in Shanghai, China; Terneuzen, The Netherlands and Sao Paulo, Brazil; and other sites as needed, leveraging the TCS network of locations, including 142 offices in 42 countries.