Falcon's Invoice Discounting: Your Path to Prosperity
Infosys- leveraging the global delivery model
1. INFOSYS – Leveraging the Global Delivery Model
The key to the success of Infosys has been its ability to leverage an innovative business model:
"The Global Delivery Model" in order to help its clients economize on costs linked to
information technology and software development.
1. Identify Key Business Drivers for Off Shoring.
The key business drivers for off shoring would be:
• Higher quality of work and better service standards available elsewhere than host country
• Reducing Costs – which would include reducing operating costs, reduce capital
investment
• Sharpening Focus – focus on core business only, create and provide additional/backup
skills, outsource non-core activities
• Increase Revenue – increase flexibility, gain access to newer markets
• Making use of the “working around the clock” due to different time zones
2. What is different about these drivers as compared to those a decade ago?
• The GDM is easily imitable. No longer just Infosys’ forte
• India is no more the only destination for off shore works. Several Asian and African
countries are catching up soon
• Thus now, these very drivers bring in with themselves higher service or quality levels
3. What is the unique Value Proposition of Infosys?
• GDM to carry out compliance engagements
• Having the right people for right job
• End to end security solution
• Values. The core values held by the founder promoters
• The value it bestows on human talent resources
2. • Professional pool of consultants
• Included new services like package implementation BPM, testing, consulting and
business integration in the GDM
4. How do you position Infosys against other global players like the Accenture and the
EDS?
• Strict adherence to values
• Fast Growing in terms of Locations, Revenue, YOY growth, Human resources, etc
• Strong intra-organizational mentoring in leadership
• Cost-effective and reliable service provider with good brand equity
• A big player in the high-growth Indian IT market
• Brought the advantages of outsourcing into the arena of business consulting
5. Is the Success of Infosys sustainable?
The sustainability of Infosys’ Global Delivery Model will rely on three major factors:
• the willingness of the host country to allow offshoring by a foreign entity: This has come
under scrutiny in light of recent economic downturns of the developed nations.
• the financial risks of an offshore business model: Any global business model is strewn
with the inherent upheavals of the forex market. In light of an improving Indian
economy, and consequently appreciating rupee, Infosys might struggle to sustain the
financial sanctity of its projects.
• the ability to groom foreign talent: Infosys has proved particularly successful in turning
around this issue and can be expected to maintain similar consistency going forward.
Submitted by:
Pritha Gupta F09102