Infosys- leveraging the global delivery model

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Infosys- leveraging the global delivery model

  1. 1. INFOSYS – Leveraging the Global Delivery ModelThe key to the success of Infosys has been its ability to leverage an innovative business model:"The Global Delivery Model" in order to help its clients economize on costs linked toinformation technology and software development.1. Identify Key Business Drivers for Off Shoring.The key business drivers for off shoring would be: • Higher quality of work and better service standards available elsewhere than host country • Reducing Costs – which would include reducing operating costs, reduce capital investment • Sharpening Focus – focus on core business only, create and provide additional/backup skills, outsource non-core activities • Increase Revenue – increase flexibility, gain access to newer markets • Making use of the “working around the clock” due to different time zones2. What is different about these drivers as compared to those a decade ago? • The GDM is easily imitable. No longer just Infosys’ forte • India is no more the only destination for off shore works. Several Asian and African countries are catching up soon • Thus now, these very drivers bring in with themselves higher service or quality levels3. What is the unique Value Proposition of Infosys? • GDM to carry out compliance engagements • Having the right people for right job • End to end security solution • Values. The core values held by the founder promoters • The value it bestows on human talent resources
  2. 2. • Professional pool of consultants • Included new services like package implementation BPM, testing, consulting and business integration in the GDM4. How do you position Infosys against other global players like the Accenture and theEDS? • Strict adherence to values • Fast Growing in terms of Locations, Revenue, YOY growth, Human resources, etc • Strong intra-organizational mentoring in leadership • Cost-effective and reliable service provider with good brand equity • A big player in the high-growth Indian IT market • Brought the advantages of outsourcing into the arena of business consulting5. Is the Success of Infosys sustainable?The sustainability of Infosys’ Global Delivery Model will rely on three major factors: • the willingness of the host country to allow offshoring by a foreign entity: This has come under scrutiny in light of recent economic downturns of the developed nations. • the financial risks of an offshore business model: Any global business model is strewn with the inherent upheavals of the forex market. In light of an improving Indian economy, and consequently appreciating rupee, Infosys might struggle to sustain the financial sanctity of its projects. • the ability to groom foreign talent: Infosys has proved particularly successful in turning around this issue and can be expected to maintain similar consistency going forward. Submitted by: Pritha Gupta F09102

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