After its consolidation in terms of infrastructure cost and people cost, fraud-hit Satyam Computers finally goes for a name change. Unveiling its new brand identity, ?Mahindra Satyam?, the new makeover is aimed to pave way for emergence of a better brand image, which draws from the core values of the Mahindra group and the inherent strength of the Satyam brand. The logo will be adopted from the Mahindra Group.
In the month of January, FE had reported and cautioned about the need for a brand makeover as the tainted name ?Satyam Computers? cannot go overseas to offer its services due to bad brand problem. The name is associated with the Rs 7,800-crore financial scam done by its founder chairman B Ramalinga Raju, his brother Rama Raju and former CFO Vadlamani Srinivas which made people call Satyam as ?Asatyam?.
Analysts point out that corporate brand reputation is considered as an intangible asset. A survey by World Economic Forum states corporate brand reputation outranks financial performance which is an important measure of success. It is also reliably learnt that international clients have advised the Mahindra group to go in for an immediate brand name changeover after the cost cutting exercise called the virtual pool programme.
Speaking on the rebranding initiative, Anand Mahindra, vice chairman & managing director, Mahindra Group, said, ?Customer centricity, high standards of corporate governance, unimpeachable ethics form the cornerstones of the Mahindra Group. This rebranding exercise symbolises an amalgamation of the Mahindra Group?s values with Satyam?s fabled expertise, even as it retains that part of Satyam?s identity which signifies commitment, purpose and proficiency of the organisation and its people.?
?This is a significant milestone towards the recovery of the company. We are optimistic that this new brand will re-energise the organisation and will be well received by all our stakeholders. With this initiative, we will witness steps by the management to adopt and inculcate the values of ?performance and customer first?, ?good corporate governance and citizenship?, which are drawn from the Mahindra Group,? said Vineet Nayyar, executive vice chairman, Satyam Board,
?Mahindra Satyam? would focus on certain core values such as good corporate citizenship, professionalism, customer first, quality focus, dignity of the individual. Through its actions, the brand aims to nurture fairness, trust and transparency?. Mahindra group has decided to work out on strategies for realignment of teams in both the companies and would be going together for new market initiatives, sources said. However, decisions towards this are expected to be taken in a week’s time.