The NIIT Story

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Case Details:

Case Code : BSTR033
Case Length : 11 Pages
Period : 1989 - 2002
Organization : NIIT
Pub Date : 2002
Teaching Note : Available
Countries : India
Industry : ITES

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Spreading IT Education - The NIIT Way

NIIT not only pioneered the concept of IT education and training in India, it also revolutionized IT education by taking it to small towns. It was the first organization to market the concept of teaching computers for students in the age group of 18-21 and then moving on to specialized application-oriented courses for professionals.

According to analysts, NIIT's thrust on R&D in education and its customized courses were the major factors that helped it establish a stronghold in the Indian IT education market. Initially, NIIT had to tackle two issues - gaining credibility (market acceptance) and creating a market for its products. It had to change the mindset of the people that careers in computers were only for engineering students, which made brand-building a tough exercise for NIIT. It had to establish NIIT not only as a brand but also as a career option for students. NIIT initially targeted undergraduates other than students of engineering and medicine and focused its attention in creating awareness about computers as a career option. The strategy was to project a career in computers on par with professions like law, medicine and engineering...

Battling The Slowdown

For improving revenues from its software business, NIIT decided to increase its focus on legacy software services, including upgrading old computer systems to new technologies. A decision was taken to increase the focus on the retail finance business by providing solutions in customer relationship management.

NIIT planned to concentrate on exploiting the opportunities in web enablement of sales force operations, claims management and enterprise application integration in the insurance sector. To reach out to more customers, NIIT opened 87 centers, franchises as well as company-owned during July-September 2001. The new centers were opened in Port Blair, Digboi and several small towns. In addition, the company opened 38 international centers. After this, the company introduced courses for new technologies. NIIT introduced the iGNIIT course with a web-centric syllabus. For this course, the company partnered with the International Finance Corporation (IFC) and Citibank, to provide seven-year study loans to students - around Rs 4 billion was provided for disbursing loans to students...


Exhibit I: Awards and Recognition
Exhibit II: NIIT's Global Presence*
Exhibit III: Software Services Offered By NIIT
Exhibit IV: NIIT - The New Organizational Structure
Exhibit V: Working of the New Organizational Structure


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