The It Industry In India: Abhay Jayant Section L

THE IT INDUSTRY IN INDIA

Abhay Jayant Section L

TOPICS FOR DISCUSSION qWHAT DO IT COMPANIES DO? qTOP IT PLAYERS IN INDIA qPOSITIVES OF THE IT INDUSTRY qFUTURE SCOPE OF THE IT INDUSTRY

WHAT DO IT COMPANIES DO?

•HARDWARE AND SOFTWARE •APPLICATION üOUTSOURCING üBPO üKPO

Contd….. •OUTSOURCING: Outsourcing is subcontracting a process, such as product design or manufacturing to a third-party company. The decision to outsource is often made in the interest of lowering cost or making better use of time and energy costs, redirecting or conserving energy directed at the competencies of a particular business, or to make more efficient use of land, labor, capital, (information) technology and resources •BPO: is a form of outsourcing that involves the contracting of the operations and responsibilities of a specific business functions (or processes) to a third-party service provider. Originally, this was associated with manufacturing firms.BPO is typically categorized into back office outsourcing - which includes internal business functions such as human resources or finance and accounting, and front office outsourcing which includes customer-related services such as contact center services. BPO that is contracted outside a company's country is called offshore outsourcing. BPO that is contracted to a company's

Contd….. •KPO: is a form of outsourcing, in which knowledge-related and information-related work is carried out by workers in a different company or by a subsidiary of the same organization, which may be in the same country or in an offshore location to save cost. Unlike the outsourcing of manufacturing, this typically involves high-value work carried out by highly skilled staff. KPO firms, in addition to providing expertise in the processes themselves, often make many low level business decisions—typically those that are easily undone if they conflict with higher-level business plans

TOP IT PLAYERS IN INDIA

qTCS qWIPRO qINFOSYS qSATYAM

TCS,WIPRO •TCS: Financial Information Processing, Customer Care: Multi channel inbound and outbound contact centers and Technology Services •WIPRO: Research and Development Services: - Provide solutions in wireless, switching, data and optical networking products Provide software design and development services in embedded systems, computing platforms and internet access networks Enterprise Solutions: - Package implementation, Enterprise application integration, e-procurement solutions, business intelligence. Technology Infrastructure Services: - Consulting, design, implementation and maintenance services in areas of Customer Relationship Management, Billing, Service provisioning, web

INFOSYS •Consulting, Enterprise Architecture, Enterprise Security, Business Intelligence, Process Re-engineering, Packaged application services (evaluation, implementation, maintenance), custom application development and maintenance, EAI, Independent validation, Infrastructure design and management, PLM, Embedded systems, Product R&D services (ideation, design, development & sustenance). •BPO at Infosys BPO (an Infosys subsidiary ) : Functional and vertical BPO solutions for industry verticals across Banking & capital markets, Hi-tech and discrete manufacturing, insurance, healthcare and life sciences, communication service providers, media and entertainment, transportation and logistics, resources, energies and utilities etc. Functional solutions include Finance & Accounting, Sourcing & Procurement, Quote to Cash, Hire to Retire, Knowledge services (Credit Analysis, Equity Analysis, Economics Research, Industry & Company Analysis, Financial

SATYAM •Industry: Automotive, banking and financial services, energy and utility, government, healthcare, life insurance and pharmacy, infrastructure, insurance, manufacturing, media and entertainment, real estate and construction, education, training and assessment, ISVs and software product companies, diversified outsourced services, retail, semiconductor, telecom, and travel and transportation. •Technology – IT consulting, software design and development; software maintenance; packaged services implementation; and engineering services design. Solutions - Consulting and enterprise solutions; engineering solutions, enterprise applications and business intelligence solutions, embedded

POSITIVES OF THE IT INDUSTRY

•The Indian animation industry is rapidly growing as a major outsourcing hub with a growth rate of 30 per cent. •The Indian KPO sector is estimated to become a US$ 10 billion industry by 2012, from the current size of US$ 4 billion. •India is fast becoming a hot destination for outsourced e-publishing work. As per a Confederation of Indian Industry (CII) report, the industry is growing at an annual rate of 35 per cent and India's outsourcing opportunities in the value-added and core services will help make the publishing BPO industry worth US$ 1.46 billion by 2010.

Contd….. •According to NASSCOM software and services exports (including exports of IT services, BPO, engineering services and R&D and software products) reached US$ 47 billion in FY 2008-09, contributing nearly 78 per cent to the total software and services revenue of US$ 59.6 billion. •Domestic: According to NASSCOM, domestic IT market (including hardware) reached US$ 24.3 billion in FY 2008-09 as against US$ 23.1 billion in FY 2007-08, a growth of 5.3 per cent.

FUTURE SCOPE OF THE IT INDUSTRY •According to a new report, the share of Indian BPO vendors will be 10 per cent of the total global market by 2010 from the current 5 per cent. Moreover, the domestic market is developing, providing a huge opportunity to the BPO sector. Infosys Technologies sees over US$1 billion worth of outsourcing contracts coming from the Indian market over next few years, as the country’s government and stateowned organizations seek to become more efficient by outsourcing their IT needs. •WHERE DO WE LAG BEHIND OTHER IT GIANTS IN THE WORLD? §Hardware front

A few questions to be asked •Why cant we have companies like Microsoft, IBM,AT&T,CISCO etc in India? •Having the vast talent that we have, why have we not been among the top tech countries in the world? •Is brain drain affecting us? •Is there a dearth of visionaries in India? •Why couldn’t any one think of what Bill Gates set out to do? •If these questions be answered will things be different?

THANK YOU