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HCL Scholar Handbook

Know your organization !


Get Scholar Power !!
Become a HCL Scholar !!!
Content Version Control Information

Title : HCL Scholar

Date of Reviewed Approved


Module Version No. Prepared by
Release By By

Level 1 March’09 Version 1 Cheena Ram Kishore, Abdul Aziz


Saraswat Anshul Seyid
Sushil,
Robin Sarkar
Level 1 June’09 Version 2 Cheena Cheena Abdul Aziz
Saraswat Saraswat Seyid

Level 1 Aug’10 Version 3 Himani Garg Anshul Heena Verma


Sushil,
Anuj Kapoor
Welcome Message from The HCL Scholar
Team

HCL Scholar is a knowledge enhancement program which aims at providing a structured


and robust platform to assess HCL employees on their understanding about the
organization and its respective areas of operation.

Objective:
HCL Scholar has moved beyond its initial scope of targeting just the client facing
employees to all the employees. It focuses on empowering employees with adequate
knowledge about the organization with an objective of enhancing employee intellect
power thus bringing a paradigm shift from an assessment test to a knowledge
enhancement process.
It is a learning experience which focuses on sensitizing the employees about the various
lines of business and industry sectors of HCL thus empowering the employees to create
value for the customer.
Welcome Message from HCL Scholar Team

As you begin this learning experience, you will be embarking on a journey. It is a journey
for your own development, as well as for the development of the people you will be
working with. This learning experience will help you gain an understanding about the
organization, its core business lines, industry sectors and about HCL’s team, history and
work. This will also enable you to get acquainted with the external environment which
impacts the company and ultimately the employees.

We hope you enjoy reading this e-handbook and use what you learn to help people to be
truly magnificent & be able to create a self managed organization.

Thank you for participating.

Wishing you all the best!


The HCL Scholar Team
Acknowledgements

We are profoundly grateful to the Corporate Branding and External Communications


Team for giving us permissions to utilize published data on HCL websites. Many thanks
to Anuj Kapoor and Anshul Sushil for all their extended Support !

Many thanks to Deepak Gupta, Sonu Rana, Abhiman Tiwari, Meena Bisht, Raveesh,
Rakesh, Yogesh Batheja, Inderpreet Singh, Tirthesh and Parul from the BPR team,
without their assistance HCL Scholar would not have been a reality.

Lastly but not the least, the T2ID Creative design team- Neetesh, Amit, Manish for all
their efforts and commitment.
Non Disclosure Obligations and Disclaimer

• The data, information or material provided herein is confidential and proprietary to HCL and shall
not be disclosed, duplicated or used in whole or in part for any purpose other than as approved by
an authorized official of HCL in writing.
• The recipient agrees to maintain complete confidentiality of the information, data and shall take all
reasonable precautions/steps in maintaining confidentiality of the same, however in any event not
less than the precautions/steps taken for its own confidential material.
• Any statements in this workbook that are not historical facts may include forward looking
statements that involve risks and uncertainties; actual results may differ from the forward – looking
statements.
• You cannot use any part of this presentation for mass distribution in collaterals without the prior
approval of the HCL Scholar Team.
Contents Page

MODULE 1- Overview Of HCL

MODULE 2- Business Lines Of HCL

MODULE 3- Industry Sectors of HCL

MODULE 4- Know More About HCL

MODULE 5- HCL Investors & Partners


WISH YOU ALL THE BEST…..

HAPPY LEARNING !!!


Module 1 – Overview Of HCL
OVERVIEW - HCL Enterprise

HCL is a leading global Technology and IT Enterprise with annual revenues of US $ 5.5billion . The HCL
Enterprise comprises two companies listed in India:

• HCL Technologies ( www.hcltech.com ) and


• HCL Infosystems (www.hclinfosystems.com)

The 3 decade old enterprise, founded in 1976, is one of India's original IT garage start ups. Its range of
offerings span R&D and Technology Services, Enterprise and Applications Consulting, Remote
Infrastructure Management, BPO services, IT Hardware, Systems Integration and Distribution of
Technology and Telecom products in India.

The HCL team comprises 77,000 professionals of diverse nationalities, operating across 29 countries
including 500 points of presence in India. HCL has global partnerships with several leading Fortune 1000
firms, including several IT and Technology majors.
HCL - Snapshot

HCL Technologies Financials HCL Infosystems

Product Engineering & R&D, Enterprise & Total Revenues - $ 5.5 Bn


Hardware, System Integration,
Custom Applications, Enterprise
EBITDA - $ 630 Mn Networking Solutions, Managed ISP
Transformation Services Infrastructure
Services, Homeland Security & ICT
Management, & BPO Services
Distribution

Global Market Focus Indian Market Focus

Employees
77,000

Global Presence Delivery Facilities India Presence Distribution Network


Operations spanning 29 USA, UK, Finland, Poland, Offices in 170 cities,
93,000 outlets in over
countries Puerto Rico, Brazil, China, 500 points of presence reaching
11,000 towns
Malaysia, Singapore, Australia, 4,000 towns
Czech and India
About HCL Technologies

While HCL Enterprise has a 30-year history, HCL Technologies is a relatively young
company formed, 12 years ago, in 1998. During this period, HCL has built unique strengths
in IT applications (custom applications for industry solutions and package implementation),
IT infrastructure management and business process outsourcing, while maintaining and
extending its leadership in product engineering. HCL has also built domain depth through a
micro-verticalization strategy in industries such as Financial Services, Hi-tech and
Manufacturing, Retail, Media and Entertainment, Life Sciences,

And Telecom.

HCL has created the ability to distribute value across the customer's IT landscape through
its well-distributed services portfolio, significant domain strengths, and locally relevant
geographic distribution. HCL has the widest service portfolio among Indian IT service
providers, with each of its services having attained critical mass.
About HCL Technologies

Today HCL’s new way of doing business is being recognized by Harvard, IDC, Fortune, Forbes,
Economist, Business Week and the likes HCL Technologies is a leading global IT services company,
working with clients in the areas that impact and redefine the core of their businesses.

Since its inception into the global landscape after its IPO in 1999, HCL focuses on 'transformational
outsourcing', underlined by innovation and value creation, and offers integrated portfolio of services
including software-led IT solutions, remote infrastructure management, engineering and R&D services
and BPO.

HCL leverages its extensive global offshore infrastructure and network of offices in 29 countries to
provide holistic, multi-service delivery in key industry verticals including Financial Services,
Manufacturing, Consumer Services, Public Services and Health care.

HCL takes pride in its philosophy of ‘Employee First’ which empowers our transformers to create a
real value for the customers.
History of HCL

The initial years 01


• Developed the first indigenous micro-computer at the same time as Apple and 3 years before
IBM's PC – in 1978. This micro-computer virtually gave birth to the Indian computer industry.

• HCL's in-depth knowledge of Unix led to the development of a fine grained multi-processor Unix in
1988, three years ahead of Sun and HP.

The Growth Phase 02


• Along with the swiftly growing software technology industry, HCL, which was hitherto known as
the pioneer in modern computing made the advent into software development.

• HCL's R&D was spun off as HCL Technologies in 1997 to mark their advent into the software
services arena.

The World Phase 03


• Today, HCL sells more PCs in India than any other brand, runs Northern Ireland's largest BPO
operation, and manages the network for Asia's largest stock exchange network apart from
designing zero visibility landing systems to land the world's most popular airplane. And this it does
across 26 countries and across 360 service locations in India.
• Please visit http://www.hcl.com/history-milestones.asp# for further details on History of HCL.
Key Milestones

1976
1991
- Hindustan Computers Limited (HCL) is born
- HCL-HP JV develops multi-processor Unix for HP and heralds
HCL’s entry into contract R&D
1977
-Distribution alliance with Toshiba for copiers and
1994
notebooks
-Distribution alliances with Ericsson Switches and Nokia Cellphones
- First 4-bit microprocessor based “Scientific Computer”
introduced
1995
- HCL launches India’s first home computer - “The Beanstalk”
1978
- HCL successfully ships in-house designed
1997
Micro-computer at the same time as Apple. The Indian
- HCL Infosystems formed
Computer Industry is born
- HCL’s R&D spun-off as HCL Technologies - marks advent into
software services
1980
- HCL introduces a bit sliced, 16-bit processor based
2001
micro-computer
- HCL Technolgies JV with Deutsche Bank
- HCL Technologies acquires British Telecom’s Apollo Contact
1983
Centre in Belfast, Northern Ireland
- Indigenously develops an RDBMS, a Networking OS
and a Client Server architecture, at the same time as
2003
global IT peers
- HCL Infosystems becomes first company to cross 100,000 unit
milestone in the Indian Desktop PC market
1986
- HCL becomes the largest IT company in India
2004
- HCL Infosystems continues to be largest manufacturer of PC’s in
1989
India
- Introduces fine-grained multi-processor Unix – 3 years
ahead of “Sun” and “HP”

-16-
Key Milestones

2005
• - HCL Technologies signs Software Development Agreement with Boeing for the 787 Dreamliner program
• - HCL Technologies enters JV with NEC, Japan
• - HCL Technologies sets up first Power PC architecture design centre outside of IBM
- HCL Infosystems launches sub Rs.10,000 PC
- HCL integrates all group employees under @hcl.in domain

2006
• - HCL Infosystems ties up with Apple for iPod distribution
• - HCL Technologies signs largest ever software services deal with DSG

2007
- HCL Technologies announces opening of its second European outsourcing facility in Krakow, Poland
- HCL Infosystems commences production in ISO 14001 and ISO 9001:2000 certified second manufacturing facility in Rudrapur, Uttaranchal
• - HCL Infosystems wins CNBC Awaaz consumer award for personal computers
• - HCL BPO is world’s first BPO to get PCMM certified
- HCL Technologies launches first Technology Hub in NOIDA

2008
• - HCL as an Enterprise touches the $5 billion watermark
• - HCL Infosystems introduces Safe State offering System Integration solutions for security & surveillance
• - HCL Technologies’ “Employee First” policy becomes case study at Harvard
• - HCL acquires Axon Group plc, leading UK-based SAP consulting firm - largest acquisition by an Indian IT company

2009
- HCL Technolgies wins FT Arcelor Mittal Boldness in Business Award
- HCL Technologies awarded ‘Golden Peacock Eco-Innovation Award’ for its Green Datacenter Service
- HCL AXON awarded 2009 SAP® Pinnacle Award
- HCL Technologies Named a Leader Among North American SOA Systems Integrators by Forrester Research
HCL DNA

The TIME magazine has referred to HCL as an "intellectual clean room “ where its employees could
imagine endless possibilities. The fact is, over the last thirty years that HCL has been operational, the
company has stood by its values and core philosophy.

Fueled by the entrepreneurial zeal of its founders, HCL developed the first indigenous micro-computer
in 1978, at the same time as Apple. Since then, HCL has had a 3 decade rich history of inventions and
innovations.

Intrapreneur is the term that best describes the HCL employees. Ever since HCL entered into an

alliance in 1970s, partnerships and HCL have been inseparable. Bonds have been forged with

partners to co - create value. Strong inorganic growth is a testimony to the spirit of partnerships.

This entrepreneurial and win-win relationship driven culture continues to guide HCL in all its

endeavors.
The Leadership Team

Shiv Nadar
Founder – HCL, and Chairman & Chief Strategy Officer- HCL Technologies

At a time when India had a total of 250 computers, Shiv Nadar led a young team which passionately
believed in and bet on the growth of the IT industry. That vision in 1976, born out of a Delhi "barsaati"
(akin to a garage start up), has resulted 3 decades later in creating a $ 5 billion global Enterprise.

From designing India's first PC at the same time as global IT peers in 1978; to working on the Boeing
Dream liner's Flight Management Systems today, HCL has stayed a true Pioneer of Modern
Computing. HCL now employs over 60,000 professionals, with a global presence in 29 countries and a
pan India presence across 500 locations.

HCL's business spans IT Hardware manufacturing & distribution, System Integration, Technology &
Software Services, Business Process Outsourcing, and Infrastructure Management.
The Leadership Team

Acknowledged as a visionary by the IT industry and his peers, Shiv Nadar has often made daring

forays based on his conviction of the future. At a time when hardware was the name of the game,

Nadar foresaw the huge potential in the area of IT education & learning from which NIIT was born.

Albeit a more recent entrant in the software services space, since its listing in 2000, HCL is already

among top Indian IT software majors and a force to reckon with for global technology giants.

Shiv Nadar firmly believes that, "If you want to empower people, give them the tools. There's enough

entrepreneurship in this country to take care of the rest." He is quick to grasp new opportunities, select

a team to transform his ideas into reality and delegate the project to competent professionals.
The Leadership Team

In January 2005 Shiv Nadar received the CNBC Business Excellence award from the Prime Minister
of India. In February 2005 he was listed by "India Today" in the Power List of India's leaders from all
walks of life, for building a global IT Enterprise from scratch in 3 decades, creating valuable JVs with
marquee partners such as Deutsche Bank, and creating jobs in Belfast when India was being criticized
for just the opposite.

More recently, Shiv Nadar received the Ernst & Young Entrepreneur of the Year Award 2007 in the
'Services' category for being "a doyen of the Indian IT industry and perhaps its chief architect".

The University of Madras awarded him an Honorary Doctorate Degree in Science in November 2007,
for his contribution to not just the IT industry in India, but also for his "transformation of technological
culture globally".
The Leadership Team

Shiv Nadar has been conferred the Padma Bhushan Award - the third highest civilian honor
conferred by the President of India - in January 2008, in recognition of not just his contribution to trade
& industry in India but also his deep commitment to public good. In February 2009, Forbes Magazine
featured him in its list of 48 Heroes of Philanthropy in the Asia Pacific region.

He founded the not-for-profit SSN College of Engineering in Chennai, which is today among the top
ten private engineering colleges in India. Shiv Nadar is also building "Vidya Gyan" public schools in
Uttar Pradesh that will provide free, world class education to rural children from economically
disadvantaged backgrounds. His belief is that quality education to a select few will take the positive
impact of education to where it can truly uplift & transform lives and help narrow the socio-economic
divide. He is an active member of the Executive Board of the Indian School of Business (ISB),
Hyderabad. Concerned with the public health issues in India, Shiv Nadar is involved with the Public
Health Foundation of India (PHFI) - working to establish standards in public health education and to
create a network of innovative world class India-relevant institutes of public health. He also supports
initiatives for the girl child and the empowerment of women.
The Leadership Team

Vineet Nayar CEO – HCL Technologies

Vineet Nayar is the CEO of the $5.3 billion HCL Technologies Ltd, leading a team of 71,000
professionals in 29 countries to drive growth in IT Services industry.
He also serves on the board of the company as a whole time Director. Vineet has instituted several
radical programs that began a quiet transformation across the organization.

His mantra of "Employee First" and a strong belief in value-based leadership has been recognized
globally. Fortune Magazine has articulated his leadership style as "The World’s Most Modern
Management" and the London Business School calls him "the Leader of organizational
Innovation".

The Harvard Business School (HBS) has written a case study on the Transformation at HCL, based
on his innovative and radical leadership. The case study is being taught in the Strategy and
Leadership classes at HBS.
The Leadership Team

With his strong strategic vision and truly global outlook, Vineet has charted a defining growth path for
HCL Technologies, and in a short time span, catapulted the organization to being the fastest growing
companies in the Indian IT landscape.

Under his leadership, HCL Technologies has made it to the fastest growing "Business Week Top 100
Tech companies" (2007). IDC recognizes Vineet as having "the most cohesive and articulate vision" in
the IT services sector).

Starting his career with HCL as a senior management trainee in 1985, Vineet has held leadership
positions in sales and strategic marketing, and was the CEO of the infrastructure business before he
took on his present role. An engineer, Vineet also holds a masters’ degree in Business Administration.
HCL Brand Story: Evolution of the Brand

The HCL Global branding initiatives was conceptualized in Jan 05 with an objective to unify the
global enterprise and connect with all stakeholders. Done in three phases, the brand communication
took a single thread (that of HCL being in the leading edge of technology), while expressed it in
different ways.

PHASE 1: PHASE 2: Talking PHASE 3: Touch


FEARless Numbers Technology
Campaign- April Campaign-January Campaign-April
2005 2006 2007

FEARless CAMPAIGN:

The 'Fearless' was a print-led TV campaign, which brought out the core HCL values of Guts,
Courage and Passion. The campaign also spoke about the size and width of the enterprise,
while introducing the HCL Heritage and stature.
HCL Brand Story: Evolution of the Brand

TALKING NUMBERS CAMPAIGN:


0 and 1, the binary digits were taken as HCL's brand ambassadors. The story they weave around the
different areas of expertise that HCL has is the crux of the campaign. The campaign, initiated in Jan
05 went on till March 06 and explained the multifaceted technology width of HCL. The campaign
helped in sustaining and continuing the brand stature of the company.

TOUCH TECHNOLOGY CAMPAIGN:


The brief was simple - show the reach and importance of our technology in everyday life. The hard
part was making it brief, 60 seconds to be precise. Then, suddenly, a light bulb sparked to life.

The idea was to see the world from the eyes of a common man, someone who isn’t completely aware
of our presence. But as the film unfolds, he finds out that we are almost everywhere, and that many of
the things that he took for granted are in fact powered by our technology. In order to initiate this
process and give the brand a face, a protagonist was introduced - the HCL employee. And thus the ad
becomes a chance encounter of two people from different ends of the same spectrum. It’s the story of
- The Hitchhiker. And the campaign became the "Technology that touches lives."
Corporate Governance at HCL

HCL Technologies continues to focus on good Corporate Governance, in line with local
and global standards. Its primary objective is to create and adhere to a corporate culture
of conscience and consciousness, integrity, transparency and accountability for efficient
and ethical conduct of business for meeting its obligations towards shareholders and
other stakeholders.

The HCL Corporate governance practices have matured over the 32 years of the
Enterprise; and are in compliance with the requirement of the revised guidelines on
corporate governance stipulated in Clause 49 of the Listing Agreement with the Stock
Exchanges.

Corporate Governance is an integral part of the philosophy of HCL Technologies in its


pursuit of excellence, growth and value creation. In addition to complying with the
statutory requirements, effective governance systems and practices towards improving
transparency, disclosures, internal controls and promotion of ethics at work place have
been institutionalized. HCL Technologies recognizes that good governance is a
continuing exercise and reiterates its commitment to pursue highest standards of
Corporate Governance in the overall interest of all its stakeholders
HCL Technologies Corporate Governance- A
Snapshot
Certified by Big-4 Global Auditing Firm Corporate Governance Structure
Financials - US GAAP 6 of the 8 directors are independent non-executive directors

Financials - Indian GAAP The Board has four committees viz.


•Audit Committee,
•Compensation Committee,
•Shareholders' Committee and
•Employees Stock Options Allotment Committee
Corporate Governance under Clause 49 of Listing All members of Audit Committee are Independent Directors.
Agreement with Indian Stock Exchanges. Corporate
Governance Report includes the following sections:
•Board Committees
•Board Composition
•Board Functioning and Procedures
•Management Review & Responsibility
•Shareholders Information
•Certifications
Internal Audit Function is independent and reports to Audit
Committee.
External Audit is done by Big-4 Global Auditing firm
In spite of being an Indian listed Company, voluntary Audit
under US GAAP for better understanding of financials by
global stakeholders
HCL ANTHEM

The HCL Anthem is a song that portrays the journey of HCL across the 30 years. The

song talks about the challenges of the early days, the joys of success and the youthful

vigour to handle the future. A very powerful, catchy tune has been created (by Daniel

George, who is a young and upcoming music director and has done the background

score for movies like Parineeta, Saher and HazaaronKhwaishein Aisi). The Anthem

endeavors to bring alive the youthfulness and spirit of adventure of HCL.


HCL CAREER DEVELOPMENT CENTERS

After creating a new wave with computing in India - at a time when there were only about 250

computers in the country as a whole, HCL ventured into creating Career development centers – the

first of its kind in India. The objective was to have a constant pool of qualified professionals for the

industry.

Today , the career development centers span India - wide with over 12000 students. The focus has

been on industry-experience and focus on 'real world' practical training. The faculty is drawn from HCL

and the industry . The areas of focus include both hardware and software - starting from basics in

hardware and networking to server related and security.


EFCS- What we stand for

31
HCL’s Cycle of Transformation

6 Engaged Employee First


Great place employees
to work
1

5
Satisfied
customers
New
Initiatives

4
Competitive
Operating Share Gain
Efficiencies
3
A Unique Approach to Management –
Employees First, Customers Second

Customer
 Maximum value is created at the Employee-
Customer Interface. This is called the Value Zone
Maximizing the wow in the value zone The Value Zone

 The aim of Employees First is to achieve a “wow”


at this interface by inverting the management
Reverse pyramid and increasing accountability to the
Employee
Accountability value zone

Enabling Function
 The Employee becomes the owner of the change
Management
and in turn strives to deliver the best to his/ her
customer

33
The 4 tenets of Employees First
Few Employees First Initiatives @HCL
THANK YOU

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