Case Study of Zensar Technologies,Pune (RPG Group) for Managerial economics/ MBA Part I By Renzil D’cruz About.me/renzilde Drop me message @ renzilde@gmail.com

1. Financial Study: Zensar Technologies
For Managerial Economics under Guidance of Dr. P.A.Johnson
By
Renzil D’cruz
About.me/renzilde
Drop me message @ renzilde@gmail.com

2. About Zensar Technologies
• Our Mission: Leveraging technology and processes to help customers
attain their goals.
• Our Vision :Transformation partners to global corporations.
• Zensar Technologies (Parent Company RPG Group) provides Services
such as Application Portfolio Management(PM), Enterprise Application Service,
Innovative Technology Services(IT), Business process outsourcing (BPO) and
optimisation, First Time Outsourcing
• 3,000 crore (US$567 million) company have Total associate count as of
June 30th was 7293 including 315 associates
• Dr.Ganesh Natarajan, Vice Chairman & CEO,Zensar Technologies.
• Development Centres in Pune(HQ) and Hyderabad in India and
Gdansk in Poland and customer base in 18 Countries.

3. Services By Zensar Technologies

4. Services By Zensar Technologies(Specific)

8. current ratio
0
0.5
1
1.5
2
2.5
2008 2009 2010 2011 2012
current ratios
• current ratio is also called as
working capital as well as
bankers ratio it is given as
current assets divided by
current liabilities.
• This ratio indicates two
information
Working capital position
Short term solvency position

9. current ratio
0
0.5
1
1.5
2
2.5
2008 2009 2010 2011 2012
current ratios
• This ratio shows capacity of the
company to pay its current liabilities
• The standard ratio is 2;1 which
indicates that for every 1 rupee liability
there should be 2 rupees of current
assets
• If the ratio is low it indicates
inadequate working capital and
unsatisfactory short term solvency
position .
• If the ratio is very high it indicates
inefficient utilisation of shareholders
funds

10. Net Profit Ratio
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
2008 2009 2010 2011 2012
NET PROFIT RATIO
• Net Profit Ratio : It is given
by net profit divided by
sales.
• This ratio shows
relationship between net
profit and net sales.
• This ratios shows
profitability of the business.
• A higher ratio indicates
higher profit and vice versa.

11. Earning per Share(EPS)
• Earning per Share(EPS) :
Net profit after tax-
preference dividend/no of
equity shares. This means
earning made during the
year on each equity shares
0
5
10
15
20
25
30
35
40
45
2008 2009 2010 2011 2012
EARNING PER SHARE

12. Debt Equity ratio
0
0.1
0.2
0.3
0.4
0.5
0.6
2008 2009 2010 2011 2012
debt equity ratios
• Debt Equity ratio it is given by debt
divided by equity.
• Debt =borrowed funds
• Equity=proprietors funds
• this ratios shows relationship between
own funds and borrowed funds
• a standard ratio is 2:1 which indicates
that for every one rupees of own funds
2 rupees can be borrowed
• if the ratio is very high it indicates
excessive borrowings and repayment
problems in the future
• if the ratio is very low it indicates under
utilisation of borrowings capacity

13. Debtors Turnover Ratio
0
1
2
3
4
5
6
2008 2009 2010 2011 2012
debtors turnover ratios
• Debtors Turnover Ratio:
this ratios means no of
times the debtors are
turned over. i.e goods sold
and money collected from
debtors. A higher ratio
indicates quick sales and
quick collection from the
debtors.

14. Stock for past 5 yrs ZENSAR TECHNOLOGIES LTD. 504067
Year Open High Low Close
No. of
Shares
No. of
Trades
Total Turnover
Deliverab
le
Quantity
% Deli.
Qty to
Traded
Qty
H-L
(Spread*)
C-O
(Spread*)
2008 192.00 203.70 71.00 78.35 32,07,206 50,998 43,42,47,053 19,43,515 60.60 132.70 -113.65
2009 81.00 351.00 64.65 324.10 55,35,846 83,647 1,16,74,84,788 31,09,765 56.18 286.35 243.10
2010 326.00 365.90 151.15 166.65 64,31,592 1,40,373 1,84,34,12,495 25,49,743 39.64 214.75 -159.35
2011 167.00 193.30 113.15 143.30 18,94,760 60,699 31,00,39,077 9,79,811 51.71 80.15 -23.70
2012 143.25 302.45 133.55 296.85 48,88,293 1,63,593 1,07,25,96,009 16,48,760 33.73 168.90 153.60
* Spread (All Prices in Rs. )
H-L : High-Low
C-O : Close-Open

15. Ownership Pattern

16. Price Movement

17. Index Comparison

18. Performance Chart

19. Growth Ladder

20. Sector wise Spread

21. Key Milestone

22. Partnerships and Alliances
• Zensar and SOA Software announce Global Strategic
Partnership in 2007
• IBM - Zensar has entered into a partnership with IBM
Partner World to leverage the growing E-business market
• Zensar Technologies is a Microsoft Gold Certified Partner
• Zensar is a channel and service partner of SAP
• Zensar technologies is a worldwide recognized Oracle
partner

23. Subsidiaries
• Zensar Technologies Inc.
• Zensar Technologies (Singapore) Pte Limited
• Zensar Technologies (Shanghai) Co. Limited
• Zensar Technologies (UK) Limited
• Zensar Advanced Technologies Limited
• Subsidaries of Zensar Technologies Inc. - PSI Holding
Group Inc.

24. Awards
• Zensar Technologies felicitated with Emerging Business Applications Award for 2009 at the Oracle UK Partner
Awards in London.
• Third consecutive CNBC award for Outstanding exporter of the year 2009 in IT, ITES & Electronics.[3][4][5]
• Oracle UK Partner Award
• Zensar felicitated by Special Jury Commendation Award by the then President of India, Dr. A.P.J. Kalam for
outstanding commitment and contribution to Nation Building through CSR efforts.
• Zensar named as the Trailblazer of the Year 2006 by the NHRD for Best HR Practices.
• Zensar awarded the ‘Corporate Governance Business for Social Responsibility Award’ for 2006.
• Acquisitions and Joint Ventures
• Acquired ThoughDigital for US $ 24.9 million in 2007.
• Joint venture with a Tokyo Based EZA to form Zensar Advanced Technologies.
• Acquired Hyderabad based OBT global in 2005.
• Acquired Akibia Inc. worth $100 Million.

25. Competitors
Name Last Price Market Cap. Sales Net Profit Total Assets
(Rs. cr.) Turnover
TCS 1,307.35 255877.29 38,858.54 10,975.98 24,952.86
Infosys 2,377.60 136529.51 31,254.00 8,470.00 29,757.00
Wipro 346.1 85,224.95 32,053.60 4,685.10 29,595.70
HCL Tech 601 41,711.26 8,907.22 1,950.42 7,305.45
Oracle Financ 2,952.35 24,801.66 2,605.85 1,089.23 6,247.04
Mahindra Satyam 108.9 12,816.23 5,964.21 1,202.80 4,567.90
Tech Mahindra 938.55 11,982.03 5,243.02 460.55 4,569.80
MphasiS 396.75 8,337.25 3,404.13 782.01 3,651.60
Patni Computer 515.8 7,657.37 2,202.43 499.78 3,382.03
Financial Tech 1,017.10 4,686.65 425.55 478.03 3,017.56
Hexaware Tech 112.05 3,320.49 678.58 231.98 858.55
MindTree 659.95 2,713.30 1,915.20 218.7 1,002.00
Infotech Enter 195.85 2,183.03 863.8 158.6 1,034.94
Persistent 428.2 1,712.80 810.36 137.39 838.39
NIIT Tech 280.2 1,683.56 827.46 113.12 641.85
Polaris Tech 125 1,493.41 1,749.91 183.41 917.11
Zensar Tech 253.55 1,102.92 712.75 94.55 3768.16
Rolta 67.15 1,083.32 1,468.07 327.34 3,686.97
Hinduja Venture 486.4 999.82 90.09 65.03 674.68
Tata Elxsi 232.3 723.34 514.85 33.95 223.23

27. Target for growth
• New Markets for 2012 onwards: CHina, India, Middle East, SAARC countries
Market Dynamics
• Large and young populations and vast resource bases
• Transitional societies making drastic economic and political reforms
• Among the world’s fastest growing economies
• Transition from dependency to global interdependency with two way trade and capital flows
Steps to Grow
• New and growing domestic markets
• New sources of talent
• High IT Adoption and investment in Infrastructure
• Strong Govt promotion and support

28. Steps towards transformation
• Inaugurated ninth Global Delivery Centre in Bangalore in June 2012
• New strategies to develop, grow and retain talent : I Zen, Zen Points, Excellence Initiatives
• on-line sales-force support and Improve Processes
• on-line customer support and e-procurement
• Reduce Cost of services in BPO sector
• Redefine Processes and vendor-managed inventory
• strategic sourcing initiatives and sell product through e-channels
• Redefine Business Models
• outsource production
• leverage intangible assets
• intranet application for employee self-service
• Work from Home initiative launched

29. Steps towards transformation(Domain Specific)

30. Strategies for CHIAMPS

31. Zensar at a glance
• Ranked amongst India’s top 20 software companies by
NASSCOM
• Ranked among top 12 in the latest ‘Global Outsourcing 100’
by International Association of Outsourcing Professionals
(IAOP)
• Two exclusive Harvard Case Studies on Zensar Technologies
-Zensar: The Future of Vision Communities and Ganesh
Natarajan : Leading Innovation and Organizational Change
at Zensar

32. Achievement Highlights
• Zensar profit net up by 35 % at Rs 20.22 cr
• Leading software solution company and BPO services
provider
• It posted a net profit of Rs 20.22 crore as against Rs 15.02
crore posted during the same period of the previous year
reflecting a growth of 34.6 per cent.

33. Consolidated results for the quarter ended June 30, 2012
1. Revenues grew to Rs 544.29 Crore for the quarter ended
June 30, 2012; with a YoY growth of 36.5%
2. Net profit after tax was Rs 54.56 Crore for the quarter
ended June 30, 2012 with a YoY growth of 101.5%
3. Earnings per share (EPS) was Rs 12.57 for the quarter
ended June 30, 2012; with a YoY growth of 101.4%

34. Conclusion
• Zensar is a rapidly growing, mid-sized Indian IT services
company with a collaborative management philosophy and
innovative HR policies. One of its practices, Vision
Communities, is an inclusive forum for innovation and
strategy formulation.
• Investing and engage In Zensar Technologies by Finance as
well as Career point of view is beneficial for long term plans
for an individuals.

35. Thank You.
• Questions ???
• Comments #@$%
• Concerns !!!