How Big is Infosys? Infosys Business Empire
This time we will start our journey by visiting a library. In this fascinating world of knowledge & stories, let us read a book, a love story ( stick to the end – Don’t judge early ). But unlike the overly dramatic stories like Romeo & Juliet or Heer-Ranjha, this one is just a simple love story. A long time ago in the vibrant city of Pune, a young man met a beautiful girl. He soon fell in love with her. He wanted to propose to her but was not sure what to say. One day he blurted out, “I am 5 ft 4inch, I come from a lower-middle-class family and I can never become rich. But still, will you marry me?” The girl liked his honesty and after a while, she said yes. That young girl was the writer & philanthropist Sudha Murthy & that young man who thought, he will never become rich, was Narayan Murthy. Infosys, the company which he co-founded has now grown into a worldwide conglomerate, operating in over 45 countries & has more employees than Facebook, American Express, Coca-cola & Nike combined. The journey of Infosys started far away from India. It started with a backpack in France. In 1973, the 27-year-old Narayan Murthy resigned from his job in Paris and over the next 11 months, hitchhiked his way across 25 countries.
The mammoth journey opened his eyes to different people & cultures. During this journey, he, a son of a high school teacher, saw a dream. A dream of becoming an entrepreneur. A dream of creating jobs. When he returned to India, he started a small consulting company called Softronics. But after one and half years of hard work, that venture failed. His dream of becoming an entrepreneur was now shattered. He later got married and got a job in Patni Computers. Everything was going well, but he was not satisfied. He still wanted to become an entrepreneur. So in 1981, he borrowed Rs.10,000 from his wife and along with six of his juniors, started a new company called, Infosys. The front room of Narayan Murthy‘s home became their first office. They could not even afford to buy a computer. They were difficulties, still, all of them kept on trying. Eight years later, their joint venture with a US partner collapsed. One of the co-founders left the company. And Infosys came on the verge of, being shut down. But Narayan Murthy didn’t want to give up this time & so the rest stayed in the company. After that lowest point things started improving, Infosys started getting newer contracts. In the early 1990s, along with Infosys, India was also changing rapidly. But at that time, the Indian stock market was stuck with its biggest securities scam. That was the time when Infosys took a major risk and listed its shares in the Indian stock market. But not many people were willing to purchase Infosys shares, their IPO went undersubscribed. Now 27 years later, Infosys stock has grown so enormously. That suppose in 1993, instead of purchasing the popular Maruti 800, someone would have purchased Infosys shares. That Rs. 1 Lakh rupee investment would have grown to over 30 crores, that too when we only consider the bonus shares. Now, the market cap of Infosys is more than auto majors like Ford, Volvo & even banking majors like Barclays, RBS & even State Bank of India. To understand the fascinating business empire of Infosys,
let’s first answer a basic but important question.
Q: What work do these IT services & outsourcing companies like Infosys actually do? and How Big is Infosys?
A: Let’s give a short example. Suppose we own a coffee shop. We will call it BBC Inspire Cafe. Initially, we just have 1 store and it’s easy to manage. But soon the business starts growing from 1 to 40 to 400 stores. We should be happy right? now we are big. But how we can manage such a big enterprise? So many stores, employees, inventory. That’s where IT services companies like Infosys come in, they create and customize IT applications helpful in managing our business, and also provide maintenance & IT support. On the other hand, the outsourcing companies can operate a call center for us or can manually enter our customer feedback into a database. Now as we have increased our knowledge.
Let’s travel across the world and witness the remarkable business empire of Infosys. We will start in North America and reach picturesque Canada. Here Infosys operates 3 delivery centers. While their public services company has developed IT applications for Canada Post, the Ministry of Transportation in Ontario & is currently working on modernizing Canada’s procurement system. Moving to the US, we will reach New York City. While visiting the bustling Times Square, we will find the world’s second-largest stock market, Nasdaq. In 1999, Infosys became the first Indian company to be listed on Nasdaq. Here in America, Infosys has over 10,000 employees, operates in over 15 locations, is constructing a 70 acre Education Center in Indianapolis, and has also worked on modernizing social & healthcare systems in the District of Columbia & Child welfare systems in Texas. Furthermore in the US, Infosys owns an IT services management company, an oil & gas industry consulting company, a San Francisco-based e-commerce solutions company, and an advertising & marketing company. Moreover, Infosys also holds investments in multiple startups that include an automated data discovery company; a Software-Defined Server company; a data solutions provider; an air quality monitoring startup; a wearable tech startup, and also a California-based AI-focused venture capital fund. Moreover, the group’s foundation has aided free computer science training of over 13,000 teachers from all across the US. Furthermore, Infosys has two delivery centers in Mexico & another one in San Jose, Costa Rica. While, their popular banking solution, Finacle, is also used by banks in Mexico & Jamaica. Overall Infosys Finacle is used in over 90 countries and caters to 16.5% of the world’s adult banked population. Moving to South America, we will find Infosys delivery centers in Chile, Peru, and Brazil. While the largest commercial bank in Colombia also uses Finacle.
Now let’s travel to lively Africa. Here Infosys has operations in South Africa & Mauritius. Moreover in Africa, Finacle is used by banks in Nigeria, Kenya, Uganda, and also Mauritius. Their mobile banking solution was also recently adopted by Africa’s biggest lender bank.
Now let’s move to Europe and reach enchanting Spain, here at the much-debated COP25, Infosys was awarded the UN Global Climate Action Award, the first Indian company to receive this award. Moving to the UK, we will reach London and watch an ATP Tour tennis match. Infosys is the global technology partner of ATP and has developed tennis stats & scores platforms and even mobile apps. Moreover in Europe, Infosys operates in over 15 countries and owns a design company in London, a majority stake in the largest mortgage service provider in Netherland, a 1,400-employee contact center in Ireland, and also owns a leading Salesforce consulting company in Finland. Furthermore, Infosys is also working on modernizing IT applications of the Finnish postal service, Posti. While Finacle is used by banks in Belgium & Croatia. From windy Croatia, we will quickly move to Australia. Here Infosys owns an outsourcing subsidiary, Infosys Portland, and is also currently involved in Digitising welfare payments systems for Service Australia. From Australia.
let’s move to Asia. Here Infosys owns an automation software company in Israel; has IT delivery centers in over eight countries, including Japan & multiple delivery centers in China. Moreover, Finacle is used by banks in the Philippines, Singapore, and all across the Middle East. After our world tour, finally, it’s time to reach, India. We will land in the city of Mysore. Here Infosys operates a 337 acres training center, the world’s largest corporate university. This campus has over 200 classrooms, sports facilities, a swimming pool, a gym, and a private multiplex. Moreover, Infosys operates massive centers located in over 25 locations across India and also receives over 2 million job applications every year, which is almost greater than the entire population of Bahrain and Maldives combined. Their Finacle solutions are used by many top Indian banks including ICICI. Furthermore in India, Infosys has worked on projects for India’s Postal Service, GST network & also holds investments in, a technology venture capital company and a drone startup. Not only that, Infosys foundation has been involved in aiding the construction of over 2,500 houses in flood-affected areas, over 15,000 toilets, over 60,000 libraries, has funded hospitals, and aided mid-day meals for over 1.4 million school children. The foundation also awards an annual $100,000 science & research prize, the highest monetary award for research in India. Now, Infosys is India’s 2nd biggest IT company, earning around one billion dollars in revenue every month. But, it took them a long 23 Years, to reach their first billion-dollar in revenue. This journey of Infosys shows us that, no great success is ever achieved without struggles & challenges. To succeed one must work hard & most importantly survive the difficult times. So in the end Share this post with your friends.