Eco Ppt

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description

Infosys

Transcript of Eco Ppt

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HighlightsHighlights

• Background

• Next generation business Model

• Market opportunities

• Comparison study of Infosys

• Financials

• Challenges

• Recommendations & conclusion

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They changed the way the world looks at India.They changed the way the world looks at India.

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BackgroundBackground

• NASDAQ listed global consulting and

IT services company

• Established in 1981

• Grown from a capital of US$ 250 to

become US$ 4 billion company

• Infosys pioneered the Global

Delivery Model (GDM)

• Industry-wide preferred employer

• Has won the BEST award from the

American Society for Training and

Development (ASTD)

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Next generation business Model of InfosysNext generation business Model of Infosys

Expand addressable markets

Build relationships and trust

Develop competencies and capabilities

GeographicalFootprint

VerticalFootprint

ServicesFootprint

ClientRelationships

TrustedBrand

OperationalExcellence

Expanding The Global Delivery Model

Best-in-classPeople

World-classInfrastructure

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Five subsidiaries:

1. Infosys BPO Limited,

2. Infosys Technologies (Australia) Pty. Limited,

3. Infosys Technologies (China) Company

4. Limited, Infosys Consulting, Inc.

5. Infosys Technologies S. deR. L. de C. V. (FY08)

Five step-down subsidiaries: (FY08)

• Infosys BPO S.R.O.,

• Pan Financial Shared Services India Private Limited,

• P-Financial Services Holdings B. V.,

• Infosys BPO (Poland) Sp. Z.o.o, and Infosys

• BPO (Thailand) Limited.

Geographical footprintGeographical footprint

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Geographical footprintGeographical footprint

Finacle® 10, the universal banking solution, further expanded its global footprint

Revenue by Geography

North AmericaEuropeIndiaRest of the World

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• Reorganized the business units,

• Differentiate vis-à-vis our competitors

• Enhance “One-Infy” experience and broaden customer base

• Strengthen our current portfolio through scale benefits

• 6 vertical Industry Business Units (IBUs) :Manufacturing, Banking, Financial Services & Insurance, Telecom, Retail, Energy & Utilities, Transportation & Logistics

Revenue by Industry Vertical

Insurance, Banking & Financial ServicesManufacturingTelecomRetailOthers

Vertical footprintVertical footprint

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Service footprintService footprint

Enhance the portfolio of solutions new service offerings have been added, such as • Consulting, • Business process management, • Systems integration• Infrastructure management• Product engineering services

Increased contribution from new services (% to total revenue)

0

10

20

30

40

50

60

2004 2005 2006 2007 2008

Other Services

Product Engineering Services

Business ProcessManagement

Infrastructure Management

Testing Services

Consulting Services andPackage Implementation

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Client relationships

Large, Growing Client Relationships Increasing Share of WalletRevenue Contribution by Years of Relationship

Execution excellence resulted in high share of repeat business(97% in FY 08)

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Operational excellenceOperational excellence

Utilization rate based on standard hours, calculated by dividing direct labor hours for the period by total standard hours for the period.

• Enhanced focus on tools and reuse to improve productivity

• 2 patents issued, 199 patent applications pending with USPTO

• In February 2007, Infosys BPO was certified for eSCM level 4.0

• In August 2007, Infosys China was appraised at Level 5 of the latest CMMI model, v1.2. It is the first company in China to hold this certification.

69.5%70.9%

77.6% 77.3%

2007 2008

Including Trainees

Excluding Trainees

Utilisation Rate *

30.1 29.8

69.9 70.2

2007 2008

Onsite (%)

Offshore (%)

Onsite Mix *

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Brand valueBrand value

• Diamond Award for the best global brand campaign in the category of Sharpening Brand and Competitive Differentiation from the IT Services Marketing Association (ITSMA)

• Extensive coverage in global tier 1 media• Newsweek referred to us as a “Titan of globalization” • Time magazine commented on our professionalism with the headline “Meritocracy is

the model” • BusinessWeek, The Independent, The Guardian, Financial Times, BBC World, CNBC

and CNN covered Infosys during the year• Featured on leading online business and technology destinations like www.cio.com,

www.businessweek.com and www.forbes.com• Best Investor Relations Website and Company with Best Corporate Governance Practices

in Investor Relations (IR) Global Rankings 2008 in APAC categories• The Reputation Institute named Infosys, a globally respected company• Moved up to No 14 on Fintech 100, an international listing of the top 100 global application

and service providers• Named Best Outsourcing Partner in Waters Readers’ Survey• Fortune’s Top 10 Companies for Leaders• Among several client awards, together with our client BT, awarded the National

Outsourcing Association award for Innovative Outsourcing Project for 2007

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Global Delivery Model - ExpansionGlobal Delivery Model - Expansion

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Human resource managementHuman resource management

» Industry wide preferred employer

» Global hiring

» Tapping non-traditional labor pool− Employing non-engineers for infrastructure

management, testing and BPO

− Proactive assistance provided to India’s

educational system to produce engineers with high quality software skills

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Human resource managementHuman resource management

9.711.2

13.7 13.4

2005 2006 2007 2008

Att rition (%)

77.6% 77.3%

69.5%70.9%

2007 2008

Including Trainees

Excluding Trainees

Utilization rate

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Human resource managementHuman resource management

Employee value and retention

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Corporate Social ResponsibilityCorporate Social Responsibility

Empowering society:

Creating sustainable frameworks with educational institutes

Dedicated team to reach out the underprivileged

Board level members contribute in the advisory council of NGOs and civil bodies

Employee level, location wise CSR teams address local requirements

5 key CSR themes

• Education

• Healthcare

• Art & culture

• Rural up-liftment

• Inclusive growth

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Market opportunitiesMarket opportunities

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Market opportunitiesMarket opportunities

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Comparative study - InfosysComparative study - Infosys

Revenue by geography

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Comparative study - InfosysComparative study - Infosys

Client industry / vertical domain

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Comparative Study – InfosysComparative Study – Infosys

Type of contract comparison

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Financial analysisFinancial analysis

Ratio analysis

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Financial analysisFinancial analysis

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Financial analysisFinancial analysis

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Financial analysisFinancial analysis

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Financial analysisFinancial analysis

Economic Value-Added (EVA®)

Economic value-added measures the profitability of a company after taking into account the cost of capital.

2007: Rs.2122 crore

2008: Rs.2286 crore

Increased by 7.8% as compared to last year

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Financial AnalysisFinancial Analysis

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Financial analysisFinancial analysis

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Financial analysisFinancial analysis

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Short-term and long-term challengesShort-term and long-term challenges

Short-term

• Uncertain economic environment

Long-term

• Resource availability

• Ability to expand addressable market

• Wage inflation

• Stronger rupee

• Increase in tax rate

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Recommendations and conclusionsRecommendations and conclusions

Recommendations

• Reduce its attrition rates and retain their best employees.

• Adopt the policy of performance benchmarking

• Infosys should increase its onshore business.

Conclusions

• Highly liquid

• High quality receivables Superior Return on Invested Capital and Capital Employed than benchmarks

• Zero debt

• Dividends upto 30% of annual post-tax profits

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Presented by:

Roll no. Name

8175 Zeenal Jhobalia (Shah)

8017 Ashish Vasandani

8019 Asutosh Mehta

8020 Avinash Gore

Presented by:

Roll no. Name

8175 Zeenal Jhobalia (Shah)

8017 Ashish Vasandani

8019 Asutosh Mehta

8020 Avinash Gore

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– N. R. Narayana Murthy, Chairman and Chief Mentor

“Our core corporate assets walk out every evening. It is

our duty to make sure that these assets return the

next morning, mentally and physically enthusiastic

and energetic.”

“Our core corporate assets walk out every evening. It is

our duty to make sure that these assets return the

next morning, mentally and physically enthusiastic

and energetic.”

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www.infosys.comThank YouThank You