In the middle of the largest management transition it has ever seen, the country?s second largest information technology (IT) services and software exporter Infosys Technologies is consolidating both its industry verticals as well as its horizontal offerings.
From the six industry vertical groups that it earlier had, Infosys has now reclassified the verticals it services into four groups by including telecom in the energy utilities category.
According to the new categorisation, retail, CPG, logistics ,lifesciences and energy utilities plus telecom will constitute one group while manufacturing would remain a separate vertical while BFSI, and public services would be two different categories.
?We have already announced this consolidation in the US and we expect to make all the vertical groups more efficient and substantial inside the organisation,? said Chandra Shekar Kakal, senior vice-president and global head, enterprise solutions, Infosys Technologies.
On the horizontal services front, Infosys has consolidated all its service offerings into three major heads ? transformation, operations and platforms with each of them targetted to contribute one third each to the IT major?s revenues going ahead. At present, transformation contributes 20% to the total revenues with business platforms and products’ share at 12% and the rest comes from operations and maintenance.
Transformation will include consulting, systems integration and package implementation and operations would take in maintenance, testing and infrastructure management. The products and platform services would comprise innovation and IP products. ?We are taking the revenue from each of these services to one third each and we have already done this internally. All the service offerings are currently being looked at by different units and we will consolidate them. This strategy is being followed up with structural changes also. This is so because we want to move more in depth in the transformational business by focus on consulting,? Kakal added. Incidentally, the platforms business will now be headed by Subhash Dhar who used to head the firm’s telecom vertical and now would also look at incubating a mobility services division for Infosys.
Dhar Replaced
Infosys has replaced its telecom business unit head Subhash Dhar, as part of its restructuring under verticals such as BFSI, manufacturing, energy-technology-utility services, retail-logistics-life sciences and public services and healthcare. Telecom has been put under energy and utilities, to be headed by Prasad Thrikutam, senior vice-president at the company. FE was the first to report this on Wednesday.
