Infosys, established in 1981 by former Patni Computer Systems employees, aims to help clients meet IT and business goals. The return of Narayana Murthy was prompted by Infosys's declining leadership position, low investor confidence, and staff morale issues, along with his demands for greater authority and structural shifts in leadership. Under Murthy, the company focused on revenue growth, market share, innovation through automation, and significant leadership changes, resulting in increased attrition and a shift in strategic priorities.

3. Infosys – An Indian Dream
 Established in 1981.
 Founded by former employees of Patni Computer Systems –
N. R. Narayana Murthy, Nandan Nilekani, N. S. Raghavan, S. Gopalakrishnan, S.
D. Shibulal, K. Dinesh, Venugopal and Ashok Arora.
 Vision - To help our clients meet their goals through our people,
services and solutions.
 Mission - dedicated to providing the people, services and
solutions our clients need to meet their information technology
challenges and business goals.

4. Infosys until Murthy left

5. Return of Narayana Murthy
5 reasons why Infy needed the charisma of Murthy
• Infosys is no longer the leader.
• Infosys struggling to grow.
• Investors have lost confidence.
• Employee morale down.
• Conservative management.
0 5000 10000 15000
TCS
INFOSYS
COGNIZANT
2013/14
2012/13
2011/12
2010/11
2009/10

6. Demands of Murthy
 Full supreme decision making authority.
 Private Jet for company purposes.
 Entry of Rohan Murthy.

7. Consequences of Murthy’s
demands
 Principle of “ Founder-CEO succession plan”
o CEO’s should retire at the age of 60.
o No family members of the founders should work at Infosys.
 Faced tough criticism.
o Disrupted the succession plan led by him and the co-founders
o It would go against the Infy values.

8. Power Centre
The dream team : Core executive committee
 Rohan - delivery effectiveness and productiveness
 Raghunath - chief risk officer (expenses and cost cutting).
 Deepak P. - sales effectiveness.
 H.R Binod - Talent supply chain.
22.00%
23.00%
24.00%
25.00%
26.00%
2013 2014
Operating Margins

9. Role of Rohan Murthy
 Executive assistant to Senior Murthy.
 “Extra constitutional authority”.
 Cutting back on workforce.
 Time tracking software.
 Strategies put forward by Rohan:
 Measuring individual productivity of engineers.
 Automation in software development.
 Reinforce and foster technical competence.
 Mentoring of junior employees.
 Online education to retrain people.
 Inculcate “culture of innovation”.

10. Side Effects of Murthy’s reign
 Seniors and experienced hires.
 200 people from B-Schools.
 But without perks.
 Hikes and salaries.
 Targets set by demanding Murthy.
 Attrition rate increased.
 Long term vs Short team allocation of budget.
5.00%
10.00%
15.00%
20.00%
2009/10
2010/11
2011/12
2012/13
2013/14

11. Leadership in Infy
 Shibulal- the 4th CEO of Infy ,decided an early retirement.
 12 high profile executives left Infy after NRN’s return.
 Top three internal CEO candidates quit.
 Departure of B.G Srinivas :significant moment in the
history of Infy’s leadership.

12. Reasons given by a few
• Ashok Vemuri :
• responsible for company’s poor performance
• Was not happy with Murthy’s centralized style of planning
• V.Balakrishnan ( director & head of BPO-Finacle)
• Wanted to start up a private equity space : Exfinity Fund
• To work with young entrprenuers in the business
• B.G .Srinivas :
• Was dissatisfied when employees reporting him were
evaluated as contenders for CEO post.

13. Reasons by Industry Insiders
• Clear vision : revive Infy back to No.1 IT firm
• Participate in onshoring & non linear businesses
• Shift in priorities
• Exes unwillinging to be more agile & flexible to change
• Could not cope up with pressure
• Put on “performance improvement plan”

14. Reinventing Infy
 Focus on revenue growth.
 Focus on market share ahead of margins.
 Embrace automation –for innovation.
 Invest in People.
 Focus on the customer.
 Rebuild the sales engine.
 Strengthen platforms.