© infosys technologies limited 2004-2005 infosys consulting stephen pratt ceo & managing...
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© Infosys Technologies Limited 2004-2005
Infosys ConsultingInfosys ConsultingStephen Pratt
CEO & Managing DirectorStephen Pratt
CEO & Managing DirectorPaul Cole
Managing DirectorPaul Cole
Managing Director
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
Safe harborSafe harbor
Certain statements made in this Analyst Meet concerning our future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding fluctuations in earnings, our ability to manage growth, intense competition in IT services including those factors which may affect our cost advantage, wage increases in India, our ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, fixed-time frame contracts, client concentration, restrictions on immigration, industry segment concentration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks or system failures, our ability to successfully complete and integrate potential acquisitions, liability for damages on our service contracts, the success of the companies in which Infosys has made strategic investments, withdrawal of governmental fiscal incentives, political instability and regional conflicts, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property and general economic conditions affecting our industry. Additional risks that could affect our future operating results are more fully described in our United States Securities and Exchange Commission filings including our Annual Report on Form 20-F for the fiscal year ended March 31, 2004 and quarterly report on Form 6-K for the quarter ended June 30, 2004. These filings are available at www.sec.gov. Infosys may, from time to time, make additional written and oral forward-looking statements, including statements contained in the company's filings with the Securities and Exchange Commission and our reports to shareholders. The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company.
Slide 2
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
We see a new game with new rules in the Business Consulting industryWe see a new game with new rules in the Business Consulting industry
Management Consulting Firms» Advisors» Business Experts» On-site» High Cost» High Quality Ideas
Management Consulting Firms» Advisors» Business Experts» On-site» High Cost» High Quality Ideas
Systems Integrators » Do-ers» IT Experts» On-site» High Cost» High Quality Project Management
Systems Integrators » Do-ers» IT Experts» On-site» High Cost» High Quality Project Management
Off-Shore Software Engineers» Do-ers» IT Experts» Off-site» Low Cost» High Quality Technology
Off-Shore Software Engineers» Do-ers» IT Experts» Off-site» Low Cost» High Quality Technology
New Model Business Consulting Firm » Advisors + Do-ers» Business + IT experts» On-site + Off-site» High Quality Business Results» Lower Cost
New Model Business Consulting Firm » Advisors + Do-ers» Business + IT experts» On-site + Off-site» High Quality Business Results» Lower Cost
20th Century
21st Century
Slide 3
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
We see a new game with new rules in the Business Consulting industryWe see a new game with new rules in the Business Consulting industry
- Cultural rejection of Do-ers and Technology Outcome: Focus on corporate strategy
x
- Financial restructuring barriers- Limited management consulting talent- Re-training barriers Outcome: Lose talent & bundle services
x
- Must scale business consulting talent quickly- Must have tight integration of Business + IT- Must re-position brand effectively Outcome: Assert Category Leadership
Slide 4
Management Consulting Firms» Advisors» Business Experts» On-site» High Cost» High Quality Ideas
Management Consulting Firms» Advisors» Business Experts» On-site» High Cost» High Quality Ideas
Systems Integrators » Do-ers» IT Experts» On-site» High Cost» High Quality Project Management
Systems Integrators » Do-ers» IT Experts» On-site» High Cost» High Quality Project Management
Off-Shore Software Engineers» Do-ers» IT Experts» Off-site» Low Cost» High Quality Technology
Off-Shore Software Engineers» Do-ers» IT Experts» Off-site» Low Cost» High Quality Technology
New Model Business Consulting Firm » Advisors + Do-ers» Business + IT experts» On-site + Off-site» High Quality Business Results» Lower Cost
New Model Business Consulting Firm » Advisors + Do-ers» Business + IT experts» On-site + Off-site» High Quality Business Results» Lower Cost
20th Century
21st Century
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
Our model gives us a competitive advantage over traditional firmsOur model gives us a competitive advantage over traditional firmsFees to Client for Complex Operational Change
» On-site resources – $6X/hr (same rate for Infosys and Systems Integrators)
» Off-shore resources – $X/hr (same rate for Infosys and Systems Integrators)
» Traditional Systems Integrator model – 80% on-site, 20% off-shore (cost factor = 5)
» Infosys consulting model – 40% on-site, 60% off-shore (cost factor = 3)
» Cost to client is 40% less using Infosys.
(We recommend the client re-invest part of this difference to improve business process design and organizational preparation.)
Slide 5
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
Executing on the planExecuting on the plan
» Winning the war for top talent
» Effective internal integration
» Delivering higher ROI to clients
Slide 6
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
The global war for talent is key to winning the new gameThe global war for talent is key to winning the new game
Sample of Recent Hires
Operations
Focus
Industry
FocusPrevious
EmployersEducation
John KalilProduct
OperationsRetail
The Gap &
AccentureStanford MBA
Sharad ElhenceProduct
OperationsHigh Tech
i2 &
McKinsey & Co.Wharton MBA
Mark HolmstromCustomer
OperationsHigh Tech Deloitte Kellogg MBA
Kevin CorrCustomer
OperationsMedia &
Entertain.Cap
GeminiMichigan
MBA/MSE
Tony GerthCorporate Ops. -
Enterprise Systems
Cross IndustryDeloitte &
EDSIndiana MBA
Jim ShandCorporate Ops. -
IT StrategyCross Industry AT Kearney MIT Sloane MBA
Representative Profiles
Slide 7
We are hiring the top 10% from Industry & ConsultingWe are hiring the top 10% from Industry & Consulting
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
We use five levers to integrate consulting and global deliveryWe use five levers to integrate consulting and global delivery
The five levers of integration
» Shared financial goals
» Personal accountability (metrics and compensation to reward integration)
» Project roles clarity and interdependence
» Joint focus on expanding services footprint
» Attitude & Culture
Slide 8
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
We believe our model delivers higher ROI to clientsWe believe our model delivers higher ROI to clients
Return Investment
Better insights from top 10% consultants
Lower overall cost of project
Focus on delivering competitive advantage
Doing it right the first time
Strict linkage to shareholder value
Slide 9
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
Early signs are encouraging; Our model is working well in the marketEarly signs are encouraging; Our model is working well in the market
» We have a healthy pipeline of opportunities
» Multiple client projects underway
» Our integrated field model is working well
Slide 10
© Infosys Technologies Limited 2004-2005 Analyst Meet 2004 | New Game. New Rules.
In summaryIn summary
» We are pleased with progress to date and soon will have completed the foundation of a superbly competitive consulting practice
Slide 11
© Infosys Technologies Limited 2004-2005
Thank youThank you