Business Goals and Structure of Infosys

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Business Goals and Structure of Infosys

Infosys is a global IT services company, its bases located in Pune, India, which provides a wide range of IT related services ranging from consulting, design, development, software reengineering, maintenance, systems integration, package evaluation, and implementation to infrastructure management. Prior to Infosys, India’s IT, software industries consisted of providing end-to-end business solutions at overseas locations. Infosys found that it would be more cost efficient if it has access to local talent, for there is actually a significantly well-educated population of human resources in India. The company’s main positioning is to capitalize on the premise of globalization. In the words of Narayana Murthy, the founder of Infosys, the goal of Infosys is “sourcing capital from where it is cheapest, producing where it is most cost-effective, and selling where it is most profitable, all without being constrained by national boundaries.”

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When Infosys was first established in 1981 in India, by N.R. Narayana Murthy, and six other entrepreneurs, it began as a small-size firm, with just one employee. Infosys went public in 1993, and until then, it showed fairly modest growth. By late 1990’s however, its revenues had increased from $2 million to $121 million, and its share price skyrocketed from 95 INR to 8,100 INR per share. Currently, Infosys is one of the largest IT companies in India, with over 130,000 employees. It has offices in 33 different countries and has development centers in India, China, Australia, UK, Canada, and Japan. Since 2000, for three consecutive years, Infosys was rated best employer to work for by Hewitt Associates, and was the only Indian company to win the Global MAKE award for three consecutive years. It has also been seeing a steady increase in applicants over the years.

II. Unique organizational structure evolution of Infosys

Due to the increasing acceptance and growth of global sourcing, the business executives and IT executives of Infosys see the need for effective change management to adjust to the changes in business environment. In case of Infosys, the organizational evolution