Value Chain Analysis Case Study

Infosys: Moving up the Value Chain

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Abstract:
In April 2004, India-based Infosys Technologies Limited became the first listed IT (information technology) company to record annual revenues of $1 billion. Since its inception in 1981, the company has constantly moved up the value chain - from custom software development to standardised products, to business process outsourcing and IT and business consulting. However, major rival Indian companies such as TCS, Wipro, Satyam etc., are also following similar business models and moving into IT and business consulting. Competition was also intensifying from global majors such as IBM (International Business Machines Corporation), EDS (Electronic Data Systems Corporation), Accenture, HP (Hewlett- Packard), etc.

Pedagogical Objectives:

• To discuss the evolution of Infosys over the years and its future plans
• To discuss the changes in Infosys' organisation setup aimed at meeting business and client needs
• To discuss the pros and cons of the global delivery model, and if any changes needed to be made, considering that the model can be replicated
• To discuss Infosys' main focus on banking products and if they need to expand their product portfolio
• To discuss the company's foray into business process outsourcing when it had already established itself as a dominant player in high end services
• To discuss the opportunities and risks that Infosys would face in the IT and business consulting services
• To discuss the company's acquisition strategy in Australia and China

Keywords : Infosys; Global delivery model; IT information technology) consulting services; Vision, Mission & Goals Case Study; NR Narayana Murthy; Nandan Nilekani; Moving up the value chain; Infosys enhanced service delivery model