DAYANANDA SAGAR ACADEMY OF TECHNOLOGY

AND MANAGEMENT , UDAYPURA

DEPARTMENT OF MANAGEMENT STUDIES

TOPIC: -“AN ORGANIZATIONAL REPORT ON HINDUSTAN

COMOPUTERS LIMITED”

PRESENTED BY :-
MANDEEP B
1DT19MBA19
 INTRODUCTION
• HCL (Hindustan computers limited) Technologies limited is
an Indian global IT services company headquarters in Noida ,
Uttar Pradesh.
• It offers services including software consulting, enterprise
transformation, remote infrastructure management,
engineering and R&D services and business process
outsourcing (BPO).
• HCL has office in more than 44 countries to provide services
across industry vertically including aerospace & defense,
energy & utilities, independent software vendors,
manufacturing, professional services, servers & storage,
automotive, industrial manufacturing, life science and health
care etc.
 HISTORY
• In 1976, a group of six engineers, all former employees of Delhi
Cloths And General Mills, led by Shiv Nadar, started a
company that would make personal computers.
• . Initially floated as Microcomp Limited, Nadar and his team
(which also included Arjun Malhotra, Ajai Chowdhri, D.S. Puri,
Yogesh Vaidya and Subhash Arora) started selling teledigital
calculators to gather capital for their main product .
• On 12 November 1991, a company called HCL Overseas
Limited was incorporated as a provider of technology
development services. It received the certificate of
commencement of business on 10 February 1992 after which it
began its operations
HISTORY
• Two years later, in July 1994, the company name was
changed to HCL Consulting Limited and eventually to
HCL Technologies Limited in October 1999.
• The company was renamed 'HCL Technologies Limited'
for "a better reflection of its activities.“
•  Between 1991 and 1999, the company expanded its
software development capacities to US, European and
APAC markets.
HINDUSTAN COMPUTERS LIMITED
COMPANY HCL TECHNOLOGIES
Type Public
Industry IT Service, IT consulting
Founded 11 August 1976
Founder Shiv Nadar
Headquarters NOIDA, INDIA, Uttar pradesh
Area served World Wide
Key person Shiv Nadar (Chairman & cso)
Service Out sourcing
Consulting
Managed services
Number of employees 150000
Parent HCL enterprise
Website Hcltech.com
Vision, Mission of HCL
Mission Statement
We will be the employer of choice and the partner of choice by
focusing on our stated values of Employees First, Trust,
Transparency, Flexibility and Value Centricity.

Values statement
There are three core values which were crucial in getting us
where we are today Employees First. In an industry that has
long lived by the mantra that focus on the customer is the only
thing that brings results, we wish to differ in Value Centricity,
Trust, Transparency and Flexibility.
PRODUCTS AND SERVICES
 AWARDS AND RECOGNITIONS
• In 2018 HCL earned Bronze Stevie Award in the "New
Product of the Year"
• Won the Golden peacock award for ‘social leadership’.
• Winner of Six Awards in CII – 17th National Award for
Excellence in Energy Management.
• HCL Won ‘IT Outsourcing Project of the Year Award’, from
European Outsourcing Association’s
• HCL has won two Gold Awards in the ‘Brand Activation &
Promotion’ and ‘Direct Response.
• Won the Asia–Pacific Enterprise Leadership Award (APELA)
• Wins IT Europa European IT Excellence Awards
• Won the ICSI National Award for Excellence in Corporate
Governance
The McKinsey’s 7S Framework with reference to
Hindustan computers Limited
• Structure:-
HCL Technologies structure has been organized functionally in
terms of Associate, Software Engineer, Senior Software Engineer,
Team Lead, Project Manager, Senior Project Manager.

• Strategy:- 1.Core service

2. Next generation service
3.Product and platform

• System:-Daily activity performed by HCL are:-

1. Application Services 
2.Engineering and R&D Services 
3. Business Services 
• Style :-HCL follows Ideapreneurship leadership style where
Ideapreneurship puts employees at the forefront of innovation where they
innovate and collaborate with each other and with customers to seed, nurture
and harvest Ideas.

• Staff :-1.Recruits and promotes employees on sole basis of qualifications and

abilities.
2. The step followed by HCL in recruitment was:- Application, Shortlist,
Technical interview, HR interview, Offer rollout.

• Skill :-Different job required different skills. HCL TSS (HCL Training &
Staffing Services) provides training to employees to develop the required
skill for the job.

• Shared value:-employee first customer next is the shared value by putting

employees first, the company gives employees the responsibility to seek,
initiate and grow new ways to create more value for customers, businesses
and society.
 SWOT ANALYSIS
• STRENGTH:-
 Long standing relationship with customers.
Proved to be an innovator and leader in technology.
Offices in 44+ countries with 132,000+ employees.
Fast paced and flexible work culture.

• WEAKNESS:-
More competitors
Less promotional campaigns.
Poor customer relationship.
Low total asset turnover.
 SWOT ANALYSIS
• OPPORTUNITIES:-
Increasing consumer awareness about IT and its use.
New outsourcing deals.
Tie up with various MNC`s.
Increased adoption of cloud computing services.

• THREATS/CHALLENGES:-
Entering of new competitors.
Threats in ban of outsourcing due to the new regulation from US
Small manufacturers are trying to produce cheaper product then
HCL
 RATIOS
• Current Ratio:-
Current ratio is a liquidity ratio that measures a company’s ability
to pay short-term and long-term obligations. To gauge this ability,
the current ratio considers the current total assets of a company
relative to that company’s current total liabilities.

Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

Current Ratio (X) 3.91 3.06 3.29 2.93 1.69

Interpretation:-Current ratio of 2:1 is considered as ideal for

most of the companies.
From the above ratio it is clear that HCL technologies is gradually
decreasing from past five years. From 2016 to 2019 current ratio
was satisfactory
• Quick Ratio This is an indicator of company’s short-term
liquidity. The quick ratio measures a company’s ability to meet
its short-term obligations with its most liquid assets. For this
reason, the ratio excludes inventories from current assets.

Year MAR—16 Mar-17 Mar-18 Mar-19 Mar-20

Quick Ratio (X) 3.88 3.05 3.28 2.93 1.69

• Interpretation:-Generally quick ratio of 1:1 is considered as ideal

for most of the companies. Quick ratio 1:1 or higher means that
the company has a strong liquidity position. Even though quick
ratio was decreasing from 3.88 (2016) to 1.69 (2020) it is more
than 1:1. So the company can meet ideal standard and ability to
meet its short-term obligations with its available liquid assets.
• INVENTORY TURNOVER RATIO:- Inventory turnover is a
ratio showing how many times a company has sold and replaced
inventory during a given period. A company can then divide the
days in the period by the inventory turnover formula to calculate
the days it takes to sell the inventory on hand. Calculating
inventory turnover can help businesses make better decisions on
pricing, manufacturing, marketing and purchasing new
inventory.
 Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

inventory Turnover Ratio (X) 104.5 214.64 551.83 1,445.11 2,329.00

• Interpretation:-Higher inventory turnover ratios are considered

a positive indicator of effective inventory management.
Inventory ratio of HCL Technologies was increasing from last
five years it was 104.5 in 2016 and increased to 2329 in year
2020 . so we can say that HCL Technologies was having
effective inventory management.
• EARNING PER SHARE RATIO:- Earnings per share (EPS)
is calculated as a company's profit divided by the outstanding
shares of its common stock. The resulting number serves as an
indicator of a company's profitability. The higher a company's
EPS, the more profitable it is considered.

Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

EPS 33.43 48.13 52.5 59.66 33.05

• Interpretation:-  Earnings per share or EPS is an important

financial measure, which indicates the profitability of a
company. The higher the earnings per share  of a company, the
better is its profitability. The EPS of HCL Technologies has
increased from 33.43 to 59.66 that is from 2016 to 2019 by 2020
it was decreased to 33.05.
• RETURN ON ASSETS RATIO:- Return on assets (ROA) is an
indicator of how profitable a company is relative to its total
assets. ROA gives a manager, investor, or analyst an idea as to
how efficient a company's management is at using its assets to
generate earnings. Return on assets is displayed as a percentage.

Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

Return on Assets (%) 17.74 21.23 22.43 21.85 16.75

• Interpretation:- A high return on assets means than the

business was able to utilize its resources well in generating
income .So HCL Technologies was having more ROA in the
year 2018 that is 22.43 when compare to other years.
• RETURN ON CAPITAL EMPLOYED:- Return on capital
employed (ROCE) is a financial ratio that can be used in
assessing a company's profitability and capital efficiency. In
other words, the ratio can help to understand how well a
company is generating profits from its capital.

Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

Return on Capital Employed (%) 21.37 31.49 32.52 32 28.84

• Interpretation:- Return on capital employed is a great ratio to

find out whether a company is truly profitable or not. When
compare to other year in chart 2018 was having better ROCE
that is 32.52.
• NET PROFIT RATIO:- The net profit percentage is the ratio
of after-tax profits to net sales. It reveals the remaining profit
after all costs of production, administration, and financing have
been deducted from sales, and income taxes recognized. As
such, it is one of the best measures of the overall results of a
firm, especially when combined with an evaluation of how well
it is using its working capital.

Year MAR--16 Mar-17 Mar-18 Mar-19 Mar-20

Net Profit/Share (Rs.) 33.46 48.23 52.96 60.41 33.03

• Interpretation:-Net profit ratio indicates the effective

performance of company. In the above chart Net profit ratio of
HCL Technologies was more in the year 2019 that is 60.41%. so
we can say that in the year 2019 HCL was performing well
when compare to other four years.
THANK YOU