Art of Building a Startup S.Janakiraman, President & CEO February 2008

MindTree At A Glance ‘ 07 External Revenue Guidance : $178M 5,500+ MindTree Minds Spread Across The World In 18 locations Hybrid Delivery Model OneShore™ P-CMM Level 5 (2003) & CMMi Level 5 (2004) Certifications Founded in 1999 Top 30 Outsourcers: Fortune Magazine Safe Harbor Certain statements in this release concerning our future growth prospects are forward-looking statements, which involve a number of risks, and uncertainties that could cause our actual results to differ materially from those in such forward-looking statements. We do not undertake to update any forward-looking statement that may be made from time to time by us or on our behalf.

What We Do R & D Services Delivering end-to-end product realization services IT Services Providing end-to-end information technology services

A Billion Dollar Business The odds are that: 1 in 50 ideas becomes a business 1 in 20 that a funded business sees IPO 1 in 20 a public company achieves a USD 1 Billion in turnover The odds are that 1 in 20,000 that an idea becomes a USD 1 Billion Dollar Business - David Thomson in his book – “A Blueprint to a Billion”

The odds are that:

1 in 50 ideas becomes a business

1 in 20 that a funded business sees IPO

1 in 20 a public company achieves a USD 1 Billion in turnover

Concept is more important than the product Team is more important than the Individuals Ideas are easy – At the end it’s all in execution In Execution: How is equally important as What Our Experience in Growing MindTree It is all due to Passion – Prudence - Persistence

Concept is more important than the product

Team is more important than the Individuals

Ideas are easy – At the end it’s all in execution

In Execution: How is equally important as What

Concept is more important than the Product What is our Concept: What is our Business Selling a Technology/ Product/ Company or Building a profitable Organization What is the market, Who are the competition and How will we differentiate Are we here for a Marathon or a Sprint Does the business have head room to grow and are we scalable in that Will we pass the First Test Where is our seed team Who will be our first customer Why should we get funded Concept has more life than the Product

What is our Concept:

What is our Business

Selling a Technology/ Product/ Company or Building a profitable Organization

What is the market, Who are the competition and How will we differentiate

Are we here for a Marathon or a Sprint

Does the business have head room to grow and are we scalable in that

Will we pass the First Test

Where is our seed team

Who will be our first customer

Why should we get funded

Team is more important than the Individuals Power of 10 Choose the first 10 employees with care; They will in turn choose the 100 and these in turn the 1000 Compatibility is important, but complementary skills and diversity is even more important to make a wholesome team Attributes of a start up team Ability to bring in business Ability to produce & deliver Ability to read numbers Ability to negotiate changes Personal integrity & mutual trust Sense of humor Freedom to Disagree is some times more important than ability to Agree

Power of 10

Choose the first 10 employees with care; They will in turn choose the 100 and these in turn the 1000

Compatibility is important, but complementary skills and diversity is even more important to make a wholesome team

Attributes of a start up team

Ability to bring in business

Ability to produce & deliver

Ability to read numbers

Ability to negotiate changes

Personal integrity & mutual trust

Sense of humor

Ideas are easy – At the end it’s all in execution Love money Investor money is your money – Apply prudence on day 1 Concept of generating wealth should excite you Overestimate your costs & underestimate your revenues Whatever you can hire; do not buy Process – Not an afterthought If you cant bend at 5, you will not at 50: Put in process ahead of time People, Quality, MIS, Reviews Know what must be measured in your business and keep refining the same Be paranoid and keep something for providence: Future may not be same as present – Both good time and bad time can change Continue to track risks and be proactive in taking actions Business, Customers, People, money and markets Execution is as strategic as Initiation

Love money

Investor money is your money – Apply prudence on day 1

Concept of generating wealth should excite you

Overestimate your costs & underestimate your revenues

Whatever you can hire; do not buy

Process – Not an afterthought

If you cant bend at 5, you will not at 50: Put in process ahead of time

People, Quality, MIS, Reviews

Know what must be measured in your business and keep refining the same

Be paranoid and keep something for providence:

Future may not be same as present – Both good time and bad time can change

Continue to track risks and be proactive in taking actions

Business, Customers, People, money and markets

In Execution: How is equally important as What Define, refine and invest in ‘Vision and Values’: They are like North Star – Will show our direction when it is dark Communicate and ensure buy in – They are not to be a well kept secret Revisit once in five years and refine if needed – build them bottom up Set directions, but allow porous boundaries Communicate, Communicate, Communicate Rule of 95:95:95 Set up multiple channels Set directions & allow porous boundaries Listen to the people, customers and investors Induct new leaders and fresh thoughts Make prospects to talk Learn from rejections Budget for lot of Pruning Softer values are like the Net below: We will realize their value when we Fall

Define, refine and invest in ‘Vision and Values’:

They are like North Star – Will show our direction when it is dark

Communicate and ensure buy in – They are not to be a well kept secret

Revisit once in five years and refine if needed – build them bottom up

Set directions, but allow porous boundaries

Communicate, Communicate, Communicate

Rule of 95:95:95

Set up multiple channels

Set directions & allow porous boundaries

Listen to the people, customers and investors

Induct new leaders and fresh thoughts

Make prospects to talk

Learn from rejections

Budget for lot of Pruning

S.Janakiraman [email_address] +91-80-26264000 © 2008 MindTree Consulting Imagination Action Joy www.mindtree.com