MONDAY OCTOBER 7, 2002

CANADIAN PERSPECTIVE

Paul Tsaparis, President, Hewlett-Packard (Canada) Ltd. puts the $19-billion (US) global computer mega-deal into Canadian perspective in a September 30^th interview with Gordon Pitts, The Globe And Mail. www.globeandmail.com  Print edition: Page B3

As he manages the massive integration of Hewlett-Packard and Compaq in Canada, Mr. Tsaparis argues that the merger partners took the strategic lead in an industry bound to undergo more drastic consolidation. He characterizes the merger as more aggressive than defensive, stating other players are now engaged in a game of catch-up.

The new HP range of diverse businesses include IT services, enterprise servers, a large printer business, as well as the recent full acquisition from CIBC of  Intria-HP, a four year old joint venture providing outsourcing services to large corporations. Tsaparis sees this acquisition as an important hub within the firm in selling managed outsourced services to corporate clients in Canada and wordwide. HP has targeted managed services as a key driver of HPs future growth.

OUTSOURCING ON REBOUND

Recent bad news from the electronics and information technology sector, does not mean that customers are questioning whether to outsource at all, says Frank Koelsch who heads up the Canadian consultancy of Everest Group Inc. Comments reported in the Globe and Mail September 25^th, indicate a leading consultant and CEO of the Everest Group, Peter Bendor-Samuel, thinks this is largely a sign of heightened competition within the outsourcing industry, not an indication that outsourcing as a business strategy is coming under question. He noted that outsourcing suppliers that provide administrative and human resources services are thriving, and that outsourcing has evolved into much more than providing just basic technical or manufacturing support.

These days, outsourcing means creating deeply entrenched partnerships between companies. But the popularity of outsourcing has also brought new competition into the sector. Everest Group Inc. perceives it as a buyersmarket, even though there are risks involved in trusting another company. Outsourcing is no longer the question. Its now a question of which suppliers can offer the lowest prices and promise the highest rewards. Koelsch sums up his views: There is a 40-year old IT market, the traditional market. And there is a brand new market within the last three to five years of business process outsourcing. www.everestgroup.com

Leading Canadian organizations share their experience, expertise and best practices in two major facets of outsourcing: Mailing Services and Data at the NAMMU Toronto Chapter meeting, Wednesday, October 9, Sheraton Centre (downtown), Toronto. Business cases will be presented by: The FSA Group, Canadian Tire Financial Services, Symcor, Southport Data, Candlelighters (Childhood Cancer Foundation Canada). Register toll free: 1-800-453-1308 contact: general@nammu.org

PRIVACY: ITS JUST GOOD BUSINESS

Ontario Privacy draft regulation introduced September 27^th now encompasses opt out, a significant advance for the business community and NAMMU members for whom the original unilateral express positive consentwas not a viable option. The new draft is much closer to the Federal legislation.

Some NAMMU members continue to lobby for a one year implementation period following enactment, rather than the proposed six month time frame. New draft legislation permits additional comments and potential refinements. Members are encouraged to review the draft and provide comments to the Consumer and Business Services Ministry. View legislation: www.cbs.gov.on.ca

FAX NAMMU toll free at: 1-800-453-1496 TEL: 1-800-453-1308  email President, Kathleen Rowe: executive@nammu.org

CANADA POST RATE CASE

Feedback to the NAMMU Postal Information Bulletins providing specifics on Canada Post proposed rates and service changes is still encouraged. Package mailers appear to be examining options and alternatives; overall, letter size mailers (Lettermail and Admail) are questioning the future of incentives and examining business processes and strategies.

Input deadline is October 16 . TOLL FREE FAX: 1-800-453-1496  email: executive@nammu.org

QUEBEC MEGACITIES/MERGERS ADDRESS MANAGEMENT

The long anticipated kick-off meeting to table and discuss the issues and timelines surrounding new Quebec addressing requirements is scheduled for 10:00AM, Thursday, October 10, for all NAMMU members and other interested parties, at Gaz Metropolitain in Montreal.

Members have been encouraged to invite the appropriate specialists from their organizations and several members are bringing their software development suppliers.

The national Address Management team from Canada Post will be accompanied by the local co-ordinators in Quebec to ensure comprehensive coverage and continuity in follow-through at the Chapter level. This is a joint meeting of Quebec City and Montreal chapters, co-chaired by Andree Harbour, Quebec City Chapter Director and Jean Gaumond, Montreal Chapter Director.

There is no charge for this session but you must register in advance: andree.harbour@spgdag.ca

 mobourbonnais@gazmet.com

WATTS CELEBRATES 50 GOLDEN YEARS

NAMMU offers congratulations and  best wishes to the team at Herbert A. Watts. For more on this golden Canadian success story and business icon Rip Gauthier, President and CEO : www.dmn.ca

DIRECT MAIL ACTION TECHNOLOGY TARGETS INCREASED MAIL RESPONSE

Supremex/Mail-Well Envelope is introducing an invisibleinteractive direct mail technology  that magicallyreveals  hidden messages on an envelope. Rubn Reveal messages remain hidden throughout the mailing process until the recipient causes it to appear by rubbing with a coin or fingernail. Developed to help advertisers boost mail response rates by stimulating recipients to open the envelope and read the contents, the product is targeted toward subscription offers, special discounts, coupon savings, interest rates, membership benefits.www.supremex.com