The Founder & Chief Architect Of Infosys:

N. R. Narayana Murthy
Infosys Technologies
Ltd. is one of the
largest Information
Technology companies
in India. It has
International presence,
having 63 offices and
development centres
around the World
employing more than
122,000 persons.
 HISTORY

&

SPECTACULAR GROWTH

OF

INFOSYS
 Major milestones in their 30-year-old journey

 1981

• Infosys is established by N. R. Narayana Murthy and six

engineers in Pune, India, with an initial capital of US$ 250

• Signs up its first client, Data Basics Corporation, in New York

 1983

• Relocates corporate headquarters to Bangalore

 1987

• Opens first international office in Boston, US

 1993

• Infosys got listed on BSE on June 14, 1993

 1999

• Infosys was listed on NASDAQ

 2000

• Opened offices in France and Hong Kong, a global development center in

Canada and UK and three development centers in the US

 2001

• Offices opened in UAE and Argentina and a development centre in

Japan

 2002

• Nandan M. Nilekani took over as CEO

 2003

• Subsidiaries established in China and Australia.

 2004

• Infosys Technologies became the first Indian listed software company

to have a net profit of Rs 1,000 crores or more.

 2005

• Won the Global Most Admired Knowledge Enterprises (MAKE) award.

 2006

• N. R. Narayana Murthy retired from the services of the company on

turning 60.
 2007

• Reported Q2 revenue of over USD 1 billion. Annual revenues crossed

USD 3 billion.

 2008

• Revenues crossed USD 4.18 billion

 2009

• Employee strength grew to over 1,00,000

 2010

• Infosys voted as the Best Managed Company in India by Finance Asia.

The Headquarters of Infosys
located in Bengaluru

Glass building
in
Pune campus
 A building in
Thrivandrum campus

Main block in
Chennai campus
The Development Center in
Mysore campus
 “To be a globally respected
corporation that provides best of-
breed business solutions, leveraging
technology, delivered by best- in-
class people”
• “To achieve our objectives in an environment
of fairness, honesty and courtesy towards our
clients, employee’s vendors and society at large”.

• Its business activities are anchored in three pillars

of corporate behavior, Viz., Business Ethics,
Corporate Governance and Corporate
Social Responsibility.
 MESSAGE

o “Powered by Intellect”

o “Driven by values”

o “Combination of world class quality and

talent, guided by ethical values.”
 Infosys standards
 Best campus

 Best working environment

 Best employer

 Most transparent dealings

 Highest quality standards

 Powered by Intellect

• Leveraging GDM (Global Delivery Model)

• Help clients derive maximum strategic

advantage.

• Customer-centricity

• Meeting shareholder expectations

• Building a multicultural workforce

 GDM
• In GDM, large scale software development projects are divided
into diff categories

• The tasks that were needed to be carried out at the location of

the client

• The tasks that were needed to be carried out closer to the

client

• The tasks that could be done in remote locations where process

driven technology center with highly skilled manpower were
easily available.
 OBJECTIVES OF GDM

• To ensure the distribution of application and

business process lifecycle activities and
resources, while ensuring their integration.
 Driven by Values
• Customer delight

• Leadership by example (set stds)

• Integrity and transparency (ethical,sincere

and open)

• Fairness (objective and transaction oriented)

• Pursuit of excellence
 What makes Infosys special?
• Highest performance standard

• Long term shareholder value

• Functioning rooted in strong ethical values

• The 3 pillars - Corporate Social Responsibility,

Corporate Governance and Business Ethics
 Corporate Governance

A system of corporate governance is a system of

checks and balances between the board,
management and investors to produce an efficiently
functioning corporation, ideally geared to produce
long-term value.
The philosophy of corporate governance of Infosys is based on the
following principles:
1.To satisfy the spirit of the law.
2. To have transparent and high degree of disclosure levels.
3. To have distinction between personal conveniences and corporate
resources.
4. To have truthful external communication.
5. To comply with laws of all countries in which the company operates.
6. It have simple and transparent corporate structure driven solely by
business needs.
7. In Infosys management is considered as the trustee of the
shareholder’s capital and not the owner.
• Infosys has an active, well-informed and independent board,
which is necessary to ensure high standards of corporate
governance in any organization.

• Infosys Technologies believe that the Board of Directors is at

the core of corporate governance practice and oversees how
management serves and protects the long term interest of all
stakeholders.

• In Infosys the majority of the, 8 out of 15 are independent

directors.

• Infosys is committed to long-term shareholder value.

• Infosys has audit, compensation, investor grievances,
nominations, and risk management committees which comprises
only independent directors.

• Infosys furnishes in the annual reports about its compliance

with the corporate governance guidelines of six countries
in their national languages.

• The company comply with Euro shareholders corporate

governance guidelines, 2000.

• The recommendations of The Conference Board Commission on

public trust and private enterprises in the US.

• The company also adheres to the UN global compact programme.

• At Infosys, the distribution of wealth is considered as important as
its legal and ethical creation. A strong sense of social responsibility
is therefore an integral part of its value system.

• Infosys Foundation established in 1996, supports programs and

organizations devoted to the cause of the destitute, the rural poor,
the mentally challenged, and the economically disadvantaged sections
of the society.

• Community service through its Computers@Classrooms initiative

launched in January1999.

• Infosys donated 2,567 computers to various institutions

across India.
• Infosys is engaging with global thought leaders and decision-
makers in debate and actionable programs to identify and drive
the implementation of sustainable ways to manage the
consumption of energy and resources. The efforts begin right
at home, through project Ozone.

• Social commitment in education: Infosys' Education & Research

group has the pride of anchoring the Infosys Extension Program
(IEP), which consists of the Infosys Fellowship Program, Rural
Reach program, Catch Them Young and Train the Trainer.
• Sustainability Report : Infosys has published its
first Sustainability Report, 2007-2008. In
accordance with the Global Reporting Initiative (GRI)
framework, the report encapsulates the company's-

• economic performance,

• innovation in offerings,

• people engagement, and corporate social

responsibility initiatives,

• The report has been awarded an A+ rating by the

GRI.
• In 2000, the company was conferred the National Award for
Excellence in Corporate Governance by the Government of India.

• The Business World — IMRB Survey ranked Infosys number one

among the most respected companies in India, in 2001.

• It was voted as India’s best managed company for 6 years in a

row, between 1996 and 2001 by the Asia Money Poll.

• In the year 2000, in the survey of Far Eastern Economic Review,

• Infosys was selected as one of Asia’s leading corporations and

was ranked first as “ The Company that Others Try to Emulate”

• The company was voted “India’s Most Admired Company”

in Economic Times in 2000.
• In 2003, Infosys Technologies co-founder and chairman,
Mr. N. R. Narayana Murthy, won the Ernst & Young World
Entrepreneur of the Year award for his company’s “outstanding
financial performance and global impact in a dynamic and volatile
industry”.

• Infosys Technologies has won the prestigious “Global Most-

Admired Knowledge Enterprises (MAKE)” Award, for 2004.

• Infosys Technologies made a winning sweep in the Business

World “Most Respected Companies’ Award” 2004.
• The latest Business Today—AT Kearney study conducted in
March 2005placed

• Infosys Technologies as “India’s Best Managed Company”.

• CRISIL assigned the company the “CRISIL GVC Level 1” rating,

indicates the capability to create wealth for all stakeholders
while adopting sound corporate governance practices.

• ICRA assigned “CGR 1” rating to the company for their

corporate governance practices.
 CHALLENGES
• Huge decline in IT industry - Global economic slowdown

• US Govt. against Outsourcing

• Shrinking margins due to rising wage inflation - offshoring

• Foreign Exchange fluctuations

• Competition from giants -Accenture, IBM…

Strategies Used by Infosys…

• Diversify the revenue

• Employee oriented

• Using Modern technology

• Cost reduction
• The Phaneesh Murthy Case In Dec. 2001,
former Infosys employee Reka Maximovitch, a
Bulgarian American national filed a complaint against
Mr. Phaneesh Murthy (head of U.S. Operations and
member of BOD) alleging verbal sexual harassment,
unwanted sexual advancements and unlawful
termination of employment.
• Infosys started an internal settlement and after

initial reluctance Phaneesh submitted himself for all

the conditions that company had set.

• Infosys announced amicable dispute settlement on

11th May 2003 and Reka was paid $3 million as

compensation.
• The company had paid $570,000 to Phaneesh Murthy as part
of the final settlement of his dues when he resigned in July
2003 as head of Infosys' worldwide sales and marketing and
from the company's board of directors.

• After this episode, Infosys put in place principles of work ethic

sand a whistle blower policy.

• Infosys also started sexual harassment cell “call ASHI” (Anti

Sexual Harassment Initiative), to provide an environment free
of harassment

• After this case there has been no allegations of any kind on the
company.
All about sacked iGate CEO Murthy
May 22, 2013: The twice-born, middle-class Brahmin boy
from Malleswaram, Bangalore has now twice fallen for the
same vice: sexual misconduct with women at the workplace.
By his sheer star-wattage and brilliance, he managed to
resurrect his career after he was fired by Infosys in 2002.
However, after the current sex scandal, it's hard to see a
second comeback for Phaneesh Murthy.
• Sound corporate structure and policy does not
guarantee avoidance of scandals like Phaneesh
Murthy’s case.

• It’s the managers ethical standards which decide the

level of integrity and value system within an
organization.
• Mr. Narayana Murthy : “For me corporate
governance is a mindset, a question of value systems.
It is a way of saying that I put public good ahead
of private good; of not using the corporation's
resources for personal benefit. As a society becomes
more and more evolved, what appears in the realm of
ethics automatically enters the realm of the legal

framework.”