Infosys Technologies expects high-end services like transformation, consulting and package implementation to contribute one-third to its total revenues in another 2-3 years. The share of these services in Infosys’ portfolio is almost 26% now with package implementation leading at 22% and consulting services at 4%.
?There was 6.4% growth quarter-on-quarter in consulting and package implementation together and their share in the total revenue is 25.9%. Our long term view is that these high-end services should contribute 33% to the total business. The mix of these services could change marginally and may be realigned,? said Kakal, senior vice president, global head, enterprise solutions, Infosys.
The information technology major has about 30 transformation programme running as of now where it is working with the clients on a multi-year and multi-country basis.
Besides these, the high-end services include support, operations, maintenance, intellectual property, products and system integration along with large turn key project management.
Analytics and cloud-based implementation are such services and the driver in such services is not verticals but the low cost offshore model. Also, there are not dramatic changes in the industry verticals that drive growth. In case of high-end services, the model which is followed is that 30% work is done onsite and 70% is offshore,? explained Alok Shende, principal analyst and founder director Ascentius Consulting.
Moreover, the company aims to achieve this by making the business non linear which means that growth will not be based on headcount addition.
“As it is, the business is non linear with around 15% of the headcount delivering this 26%. This will be significant as the projects are becoming smaller and shorter,? Kakal added.