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‘One Infy’ drive: Mr Kris Gopalakrishnan, CEO and Managing Director

Our Bureau

Bangalore Oct. 26 Infosys Technologies has reorganised its business units to anticipate changes in the global IT industry and differentiate vis-À-vis its competitors.

Recognising the potential in the domestic IT market, the company has formed a separate business unit to tap the Indian market – India Business Unit (IND). Further, it has set up the New Growth Engines (NGE) unit to expand business in Australia, China, Japan, West Asia, Canada, South America and Latin America.

The reorganisation, effective November 2007, will help Infosys enhance the “One Infy” experience and will in turn deepen its transformational capabilities, the company said in a statement. The new opportunities will leverage the strengths of the next generation of leaders at Infosys, it said.

The company has consolidated its consulting skills and its sales and marketing functions. To synergise its focus on sales and marketing, Infosys will consolidate the sales effectiveness, marketing, alliances and strategic global sourcing functions under corporate sales and marketing, the release said.

Mr Kris Gopalakrishnan, CEO and Managing Director, Infosys, told Business Line that “the restructuring was to consolidate several business units, refocus to suit the changing market conditions and to re-energise the company. It is a well thought out exercise and the company had been working at it for sometime now”.

Roles for the reorganised entities are yet to be announced .

The previous re-organisation at Infosys took place in November 2003.

“Today, we are at the cusp of becoming a $4-billion organisation. There is a need to realign to create a structure that can meet the new challenges of our strategic direction, increased customer expectations and higher levels of competition,” Mr Gopalakrishnan said.

Further, the company has broadened its senior management team by constituting an Executive Council (EC), to be chaired by the CEO. Apart from CEO, the EC consists of COO, CFO, executive board members and select unit heads.

As part of its strategy to involve young leaders in formulating the company’s strategy, Infosys has decided to include budding leaders below 30 years in the management council of the business units.

Infosys has stepped up its focus on delivery excellence, R&D and commercialisation of IP. The delivery team would be headed by Mr Srinath Batni, member of board.

The company has formed six vertical industry business units (IBUs) and five horizontal business units (HBUs) that cut across all the vertical units. The IBUs are Banking and Capital Markets (BCM), Communication, Media and Entertainment (CME), Energy, Utilities and Services (EUS), Insurance, Healthcare and Life Sciences (IHL), Manufacturing (MFG), Retail, Consumer Product Goods and Logistics (RETL), NGE and the IND.

The HBUs are Consulting Solutions (CS), Enterprise Solutions (ES), Infrastructure Management Services (IMS), Product Engineering and Testing Services (PETS) and Systems Integration. The European business has been divided into industry verticals, which will be integrated within the proposed IBUs.

More Stories on : Software | Restructuring | Infosys Technologies Ltd

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