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Bottomline
should be top priority: Murthy
Our eFE Bureau
New Delhi, Dec 3: “Profitability, as the number one
priority, is back in fashion. Since stock markets no longer
applaud top line growth, the bottom line for most companies
is well, the bottom line. It is extremely important to grow
the bottom line first. That is our priority. Then follows
revenue growth and market share,” according to Infosys Technologies
chairman and chief executive officer NR Narayana Murthy.
| Infosys to pick
$100m from stock option scheme |
| Even at the current depressed market
prices, Infosys Technologies can boast of Rs 1,500 million
and, at least, equivalent $100 million from its stock
options scheme, Mr Murthy said. The Infosys share closed
at Rs 3,896 on Friday on the Bombay Stock Exchange against
its 52-week high of Rs 7,680. u |
He also had no problems with the quarter-on-quarter
performance pressure that listed companies have to bear. “Quarter-on-quarter
reporting is pretty good. It keeps us on our toes,” he said
at a session on ‘Restructuring Indian Industries’ at the Indian
Economic Summit 2001.
Mr Murthy also said focus on core competence would be one
of the key factors in managing growth in the globalised era.
“Stick to core competence, not diversification,” he said,
adding that a good derisking model also had to be in place.
“The efficacy of Infosys is in the predictability of systems.
We were the first to talk about a 30 per cent growth trend
in 01-02. Now, the industry is veering around to our view,”
he said.
Some of his other mantras for the Nasdaq-listed Infosys success:
Benchmark on global scale in every dimension of activity -
technology, human resources, board constitution and even accounting
practices; have the humility and open mindedness to accept
ideas from others; attract, train and retain the best talent;
measure performance and reward it; and have a long term orientation.
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