PRESENTATION

ON
INFOSYS

PRESENTED BY
SONIA ARORA
INFOSYS Pvt. Limited and N.R. Narayana Murthy

© Infosys Technologies Limited 2003

Introduction to Infosys
Infosys Technologies Ltd. was started in
1981.

Today, it is a global leader in the "next

generation" of IT and consulting.

Infosys defines, designs and delivers

technology-enabled business solutions that
help Global 2000 companies win in a Flat
World.

Infosys serves the client globally and is one

of the pioneers in strategic offshore
outsourcing of software services
© Infosys Technologies Limited 2004
 About N. R. Murthy
 Mr. N. R. Narayana Murthy is the Chairman of
the Board and Chief Mentor of Infosys
Technologies Limited.

 He founded Infosys in 1981 along with six

software professionals.

 He was also awarded Padma Bhushan .

© Infosys Technologies Limited 2004

 Milestones
In 1987 Infosys got its first foreign client.

In 1993, Infosys became a public limited company

and received ISO 9001/TickIT certification.

In 1999, Infosys crossed $100 Million and was listed

on NASDAQ.

In 2006, Infosys completed 25 years of its existence

and its revenues crossed $ 2 billion.

Today Infosys has more than 50,000 employees and

has presence in more than 20 countries across the
world. Its corporate headquarters is in Bangalore.

© Infosys Technologies Limited 2004

 Vision And Mission
 Vision “To be a globally respected
corporation that provides best-of-
breed business solutions, leveraging
technology, delivered by best-in-class
people."

 Mission “"To achieve our objectives

in an environment of fairness, honesty,
and courtesy towards our clients,
employees, vendors and society at
large."

© Infosys Technologies Limited 2004

Awards and Achievements
Infosys moved up to No. 14 on Fin Tech 100.

Infosys was awarded the National Outsourcing

Association (NOA) award for Innovative Outsourcing
Project of the Year 2007.

Infosys was honored with the Sharpening Brand and

Competitive Differentiation Marketing Excellence
Award from the Information Technology Services
Marketing Association (ITSMA)
A leader in SAP implementation services.

© Infosys Technologies Limited 2004

 Infosys - Business
Lines
Insurance ,Banking,

& capital markets

Healthcare

Communication
on Media &
Entertainment

Infosys
business lines

Retail consumer
goods and
logistics
and services
Energy utilities
Maufacturing ,
 PRODUCT OFFERINGS
Consumer Electronics, Mobile & Handheld
Segment
Business Software & Enterprise Products

Computing Peripherals & Office Automation

Networking & Communications

Product Development (Hardware &

Software)
Infosys Work Culture
Open-door culture

Hard work, lots of passion

A piece of heaven in Bangalore

 S.W.O.T. Analysis
Strengths
Cost advantage – Presence of Infosys in India is key to its
success
Breadth of service offering – end to end solutions including
high end services like IT consultancy and KPO(knowledge public
offer).
Quality and maturity of process: Infosys has quality
standards to differentiate from other competitors .
Global and 24/7 delivery capability .: Excellent internet
backbone and telecommunications facilities enabling companies
to develop 24/7 delivery capabilities from India itself .
 Weaknesses
Excessive dependence on USA for revenues –: US
Companies are Cutting down IT budget hence revenues
to be hit hard for Infosys
Excessive dependence on BFSI sector for revenues:-
Banking sector is facing a crisis globally and is going to
spend less on IT.
 Decreasing competitive advantage :Rising salary
expenses is taking away the cost advantage enjoyed by
Indian companies (including Infosys)
 Opportunities
»Greater scope for product innovation

»Increased focus on high end work like consulting and KPO

»Domestic demand for IT services is to grow at 20%

»Greater scope to service domains other than BFSI such as

Transportation, Infrastructure, etc.
 THREATS

»Global economic slowdown may continue for

several years – hence low IT spending globally

»US Govt. against outsourcing

»Increased competition from foreign firms like

Accenture ,IBM etc.

»Increased competition from low- wage countries

like China
Porter’s Five Forces Model
PORTERS
FIVE FORCES
MODEL

RIVALRY
AMONG
FIRMS

BARGAINING THREAT OF
POWER OF SUBSTITUT
SUPPLIERS E

BARGAINING
BARRIERS
POWER OF
TO ENTRY CUSTOMERS
Threat of Substitutes:
 Other offshore locations – Low Cost Locations like Eastern Europe,
Philippines and China.
 Price quoted is the biggest Differentiator.

Bargaining Power of Customers:

 Large Number of IT Companies vying for projects –
 Huge Decline in IT Expenditure

Barriers to Entry:
 Low Capital Requirements
 Large value chain for small enterprises
 MNCs are ramping up capacity and employee strength
Bargaining Power of Supplier:
 Slow Down, Job Cuts, layoff & bleak IT outlook
 Demand & Supply is not favorable to employees
diversity
Availability of vast pool of talent.

Rivalry among Firms:

 Low Cost
 Commoditized offering
 High Industry growth
 Infosys – Grand Strategies

Current Market New Market

Market Development
Strategy
Current Product Market Penetration
Strategy

New Product Product Development Diversification

Strategy Strategy
 Market Penetration
Strategy
»Current Markets: USA and Europe
»Current Products: BPO, KPO,
consultancy services (in BFSI,
manufacturing and retail) and software
products (financial products).
»Recommendation: As most large clients
in US and Europe are cutting costs, Infosys
needs to be more aggressive on cost and
quality front.
»Result of strategy: Unlikely to yield good
results
 Market Development Strategy

»New Market: India, Middle-east and Australia

» Current Product: BPO, KPO, consultancy
services (in BFSI, manufacturing and retail) and
software products (financial products).
»Recommendation: Since these are fast
developing IT market, Infosys needs a paradigm
shift in focus from US and EU markets to new
markets.
»Result of strategy: Likely to yield good result
Product Development Strategy
»Current Market: USA and Europe
»New Product: Consultancy and package
implementation services in relatively growing
sectors esp. healthcare, life sciences and
aviation sector, and KPO services.
»Recommendation: Concentrate on building
expertise in these
domains by strategic acquisitions.
»Result of Strategy: Likely to have good
result. (better the company acquired, the better
the result)
 Diversification Strategy
»New Market: India, Middle-east and Australia
»New product: Consultancy and package
implementation services
in relatively growing sectors esp. healthcare, life
sciences and aviation sector, and KPO services.
»Recommendation: Changing Brand image
from low value service provider to high value
service provider.
»Result of Strategy: Difficult to achieve
overnight.
Future Strategies

»Global sourcing strategy is aligned

with business strategy
»Enhancing operational efficiency and
delivering value added services.
»Aggressive focus on ERP solutions
like Oracle and SAP.
CURRENT HAPPENINGS IN INFOSYS

 Infosys Acquires Expert Info Services

(Australia)

Infosys IT SEZ In Thiruvananthapuram To

Open Shortly

Infosys- Microsoft Enters Into An

Outsourcing Contract Worth $100 Million

Infosys wins award for the 'Best investor

relations by an APAC company in the US
market'
Infosys Acquires Expert Info Services
(Australia)
In its first major acquisition, Infosys Technologies, has bought a 100%
stake in Australia-based Expert Information Services Pvt.Ltd. for
approximately US$22.9 million.

The Australian company will be renamed Infosys Technologies

( Australia)Pvt Ltd. Founded in 1994.

Expert is one of Australia's leading IT service providers specializing in the

design, building and integration of business solutions.

The merger with Infosys is a perfect fit with Expert's business strategy.

The new entity will allow us to continue delivering high-quality, new

customers with an extraordinary value proposition based on the global
delivery model of Infosys.
 Conclusion
Narayan Murthy is a visionary who applied his
leadership skills to build one of the biggest IT
companies in India.

Innovation is the only means to sustain customer

loyalty in a flattening world.

Acceleration of innovation is an imperative that

organisation should address through well defined
framework
THANK YOU