India's largest software services exporter Tata Consultancy Services on Friday said it will expand its strategic business alliance with US-based Dow Chemicals that will create new jobs in Midland-Michigan.

"Dow Chemical and TCS plan to form an innovative business alliance that will provide critical business services to Dow, its subsidiaries and joint ventures," TCS said in a filing to the Bombay Stock Exchange.

As part of the alliance, Dow and TCS are planning to build a new service centre at a site near Dow's global headquarters in Midland Michigan, the US. This would result in creation of new jobs.

The companies are planning to build a new facility, which will be a strategic service centre, next year that will accommodate 1,250 employees.

TCS would provide strategic services, which would include invoicing and data management to the US firm.

The said alliance is an expansion of the already existing business partnership between Dow and TCS. IT combines Dow's chemical industry knowledge with the service delivery expertise of TCS.

Earlier in 2006, TCS entered into a partnership with Dow and set up the Mumbai Services Center to support the latter's growth strategy and to provide transactional and operational services to its clients.

"This strategic partnership will make our already lean and efficient corporate centre even more so, by supporting a business services model that delivers world-class capabilities at an estimated 30 per cent savings," Executive Vice-President of Business Services Dave Kepler said.
The service alliance would use a variable staffing model, centralise activities and maximise efficiencies to meet evolving business needs.

"The relationship with Dow is extremely strategic for TCS," TCS CEO and MD N Chandrasekaran said, adding TCS would provide business process services with a single quality standard worldwide to the US-based chemical firm.

The alliance is expected to support a global network of service centres, including strategic centres in Midland and Mumbai; in addition to satellite centres located in Brazil, China and Netherlands among others, the company said.