Paper on Tech Mahindra

A STUDY ON STRATEGIC ANALYSIS OF TECH MAHINDRA PROJECT DONE AS PART OF THE STRATEGY FORMULATION AND slaying COURSE Submitted to Brig (Dr) Rajkumar Programme Director and senior professor SMS, JNTUK. Submitted by D. Subba Raju Roll No 11021E0118 Sl. No P stratagemiculars rapscallion No 1. round industry 3 2. troupe details 3 3. Vision 5 4. foreign mission 5 5. Objectives 5 6. Products 5 7. Competitors 6 8. Core competency 6 9. Michael porters 5 force fabric 7 10. Swot analysis 7 11. Conclusion 8 12. Bibliography 9 Table of contents About industryTheInformation technologyindustry inIndiahas gained abrand identityas aknowledge economydue to its IT and ITES welkin. The ITITES industry has two major(ip) componentsIT Services andbusiness process outsourcing(BPO). The egress in theservice sectorin India has been led by the ITITES sector, contributing substantially to increase inGDP, employment, and exports. The sector has increased its contribution to Indias GDP from 1. 2 % in FY1998 to 7. 5% in FY2012. According toNASSCOM, the ITBPO sector in India aggregated revenues ofUS$100 billion in FY2012, where export and domestic revenue stood atUS$69. billion andUS$31. 7 billion respectively, growing by over 9%. The major cities that account for close to nearly 90% of this sectors exports beBangalore,Chennai,Delhi,Mumbai,Hyderabad,Pune,KolkataandCoimbatore. Export dominate the ITITES industry, and constitute about 77% of the total industry revenue. Though the ITITES sector is export driven, the domestic market is also significant with a robust revenue growth. 1The industrys care of total Indian exports (merchandise plus work) increased from slight than 4% in FY1998 to about 25% in FY2012.According toGartner, the Top Five Indian IT Services Providers areTata Consultancy Services,Infosys,Cognizant,WiproandHCL Company details technical school Mahindra Limited (BSE532755, NSETECHM) is an Indian provider of interneting technology solutions and business p rocess outsourcing (BPO) services to the global telecommunications industry. Headquartered at Pune, India. It is a joint venture between the Mahindra Group and BT Group plc, UK with MM (Mahindra and Mahindra) holding 44% and BT holding 39% of the equity.On 23 May 2012, tech Mahindra reported a 3% increase in its revenue for the year ended March 31, to $1. 15 Billion . Its activities spread across a broad spectrum, including Business Support Systems (BSS), Operations Support Systems (OSS), earnings soma Engineering, Next coevals Networks, Mobility Solutions, Security consulting and examen. The solutions portfolio includes Consulting, employment using wariness, Network Services, Solution Integration, Product Engineering, Infrastructure Managed Services, Remote Infrastructure Management and BSG (comprises BPO, Services and Consulting).Tech Mahindra is ranked 6 in Indias software system services firms behind Tata Consultancy Services, Wipro, Infosys, HCL Technologies and Sat yam Computer Services and boilersuit 161 in Fortune India 500 list for 2011. Tech Mahindra has implemented much than 15 Greenfield Operations globally and has over 128 active customer engagements mostly in the telecom sector. The company has been involved in about 8 transformation programs of incumbent telecom operators. With an array of service offerings for TSPs, TEMs and ISVs, Tech Mahindra serves Key Executives S. No cry Designation 1 Anand G Mahindra Chairman 2 CP Gurnani Managing Director 3 Anil Khatri Company secretarial assistant 4 Bharat N Doshi Non Executive Director 5 Ulhas N Yargop Non Executive Director Milestones * 1986 Incorporation in India * 1987 Commencement of Business * 1993 Incorporation of MBT International Inc. , the first overseas subsidiary * 1994 Awarded the ISO 9009 certification by BVQI * 1995 realised the UK branch office 2001 Incorporat ed MBT GmbH, Germany incorporated. Re-certified to ISO 90011994 by BVQI * 2002 Assessed at Level 2 of SEI CMM by KPMG. Incorporated MBT software Technologies Pte. Limited, Singapore * 2005 Merged MBT with Axes Technologies (India) buck private Limited, including its US and Singapore subsidiaries. Assessed at Level 3 of SEI CMMI by KPMG * 2006 hear changed to Tech Mahindra Limited. Assessed at Level 4 of SEI People-CMM (P-CMM) by QAI India. Raised Rs46. 5 million ($1 million) from a hugely successful IPO to build a new facility in Pune, to house about 9,000 staff.Formed a JV with Motorola Inc. under the name CanvasM. * 2007 Acquired iPolicy Networks Private Limited. Launched the Tech M Foundation to address the inescapably of the underprivileged in our society. * 2009 Tech M wins bid for fraud-hit Satyam Computer Services at Rs 58. 90 per share outdoing Larsen & Toubro, the other player in the fray, which bid at Rs 45. 90. Rebrands the company to Mahindra Satyam. * 2010 Tech Mahindra expands footprint in Latin the States Awards * It wasAsias Best Performing Companies 2008 at Business Week award. Tech Mahindra received maturation Excellence Award 2008 by Frost & Sullivan. * It was acknowledged as 6th largest Software Services Company inIndiaby NASSCOM in 2008. * The company is recognized as winner of the 2011 Microsoft Communications Sector furnish of the Year Award. * The company is declared as winner of 2010 and 2011 AT&T Supplier Award for big(p) performance & service to AT&T and its affiliates Tech Mahindra Offices Tech Mahindra has offices in more than 30 countries. India Kolkata, Pune, Noida, Chennai, Bangalore, Mumbai, Gurgaon, Chandigarh, Hyderabad.Tech Mahindra has its BPO figurehead in Kolkata, Chennai, Chandigarh, Pune, and Noida. It also has overseas office locations in Belfast and Newcastle. Tech Mahindra has operations in more than 30 countries with 17 sales offices and 13 delivery centers. Assessed at SEI CMMi Level 5, Tech Mahindra e mploys over 42,000 workers. learning of Satyam Computer Services Ltd. After the Satyam scandal of 2008-09, Tech Mahindra bid for Satyam Computer Services, and emerged as a make bidder with an offer of Rs 59 a share for a 31 per cent put on the line in the company, whipping a strong rival Larsen & Toubro.After evaluating the bids, the government-appointed board of Satyam Computer announced on 13 April 2009 its Board of Directors has selected Venturbay Consultants Private Limited, a subsidiary controlled by Tech Mahindra Limited as the highest bidder to acquire a controlling stake in the Company, subject to the approval of the Honble Company Law Board. Through a subsidiary, it has emerged victorious in Satyam sell-off, a company probably two times its size in number of people. Merger with Mahindra Satyam Tech Mahindra go forth be merged with Mahindra Satyam in next half of 2012 to build a 2. -billion $ IT Company in India. Tech Mahindra announced its merger with Mahindra Satyam on March 21,2012,after the board of two companies gave the approval. The two firms have received the enterprisingness for merger from the Bombay Stock Exchange and the National Stock Exchange. Vision To be the leading global software solutions provider to the telecom industry. Mission To be the global leader in outsourcing services to the telecom industry, create on our technologies, competencies and customer interests, and creating value for our shareholders and customers. Objectives Business Continuity and Disaster Recovery * Business century discernment services * Business Continuity Assessment Services * Business Continuity Lifecycle Consulting and Implementation * Business environment Analysis * Business Recovery Strategy Design and Plan Development * IT Disaster Recovery Training, Failover Testing and Exercising * Business Continuity Plan Training, Testing and Exercising * IT Disaster Recovery Strategy Design and Plan Development * IT Environment Analysis * IT Disaster Rec overy Strategy Design and Plan Development Products * Telecom Equipment Manufacturers, Independent Software Vendors, * Communications Service Providers Competitors TCS, Infosys,Wipro,HCL Tech, Mahindra Satyam, etc. , Core competency * Managed Services * Application Management Services. * Infrastructure Management Services * Revenue Management Services * Mobile Virtual Network Enabler Services Shift from high to lowMedium Very luxuriously impoverished Threats of substitutes Other offshore locations such(prenominal) as eastern Europe, the Philippines and china, are emerging and are posin g threat to Infosys because of their cost-advantage. * Price quoted for projects is a major differentiator, the fictional character of products universe same. Bargaining power of supplier * Due to slowdown, the job-cuts, the layoffs and bleak IT outlook. * Availability of vast talent crime syndicate fresher and experienced. Bargaining power of customers * Large number of IT companies vying for IT projects. * Huge decline in IT expenditure. Barriers to entry * Low capital requirements. * Large value chain * MNCs are ramping up capacity and employee strength.Rivalry among Firms * Commoditized offerings * Low-cost, little differentiation positioning. * High industry growth Michael porters 5 force model Swot analysis Strengths Tech Mahindra, while not the first name in the TVS arena, claims an impressive roster of telecom operator customers and Tech Mahindras consolidation with sister company, Mahindra Satyam, matches Tech Mahindras telecom industry expertness with Satyams establi shed enterprise IT expertise serving vertical industries in BSS and BPO Tech Mahindra boasts a full range of telecom network optimization service It has been assessed and awarded a CMMI Level 5 (v1. ) and System Security processes SSECMM Level 3 rating. Tech Mahindra is a large, global operation and the ? fth largest software exporter in India. Weaknesses Despite Tech Mahindras ability to serve customers from an art to part perspective Whereas rival IT giants, such as IBM, HP, etc. , often partner alongside network equipment providers in services engagements, Tech Mahindra is less of a partner with equipment vendors and more of a direct competitor and threat in areas such as network optimizations, and increasingly software design and integrations. While the lines of disputation between Tech Mahindra and traditional telecom network vendors are still relatively distinct, this line result continue to blur over time as concepts such as OSS/BSS integrations, network optimization s, and BPOs within vertical markets take on an increasing importance Despite Tech Mahindras overt pore on the telecom industry, it is not the only market that the company deals with. Going forward, as it is integrated with Mahindra Satyam, the telecom focus runs the risk of being obscured within a larger set of businesses. While Tech Mahindras revenue stream seems well balanced based upon the geographic distribution of 50% Europe, 30% North America and 20% ROW, its revenue based upon clients tells a different story Opportunities Tech Mahindra needs to consider being more vocal about its success with telecom operator engagements. Further on the traction display front, Tech Mahindra should detail any and all success that it is having with telecom network optimization projects particularly on an endto-end basis. Tech Mahindra should take care to highlight instances where it cooperates with traditional network infrastructure players in outsourced R&D for example As soon as possi ble, Tech Mahindra should publicize instances of how its integration with Mahindra Satyam has resulted in a broadening of telecom-focused engagements in vertical markets. Tech Mahindra should make it a strategic imperative to broaden the aboriginal customer base to reduce the revenue reliance on these key customers. Threats IBM should play up its lax partnership with Asia/Info to send the message that while it has broad and deep Smaller, yet still important, complete(a) plays like WiPro need to respond to Mahindras integration of its telecom and enterprise practice so as to let the market know where they stand with respect to Mahindras new value proposition. Network integrators such as Alcatel-Lucent, Ericsson and NSN need to provide as much evidence as possible that will ground their strengths in areas such as OSS integration and business transformation services. Network equipment vendors such as Alcatel-Lucent, Ericsson, NSN, etc. need to also play up the value that develop ing telecom products brings to the professional services arena. Telecom network vendors need to be careful when tackling vertical market network opportunities. Share Value of Tech Mahindra at NSE Conclusion Through the analysis, Tech Mahindra is a global leading company in IT sector. It has been maintaining authoritative strategies to be leader in the IT industry. Its revenue in 2011 is at INR 1,261. 5 crore Bibliography Techmahindra. com