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SUMMER TRAINING / INTERNSHIP PROJECT REPORT

ON
A STUDY OF CORPORATE STRATEGY WITH REFERENCE TO
HCL

SUBMITTED BY
RIDDHIMA BHAGAT
Enrollment no. 1051921708

STUDENT OF

LINGAYA’S LALITA DEVI INSTITUTE OF MANAGEMENT &


SCIENCES
MANDI ROAD, NEW DELHI-110047

FOR THE PARTIAL FULFILLMENT


OF
BACHELOR IN BUSINESS MANAGEMENT

UNDER THE SUPERVISION


OF
Mr. …………………….
(Reporting Officer in the training company)

SUBMITTED TO

GURU GOBIND SINGH INDRAPASTHA UNIVERSITY


DELHI, INDIA
CERTIFICATE

Certified that this project report “A STUDY OF CORPORATE

STRATEGY WITH REFERENCE TO HCL” is the bonafide work of

“Riddhima Bhagat” who carried out the project work under the supervision

of <Name of faculty>.

<<Signature of the Head of the Department>> <<Signature of the Class Incharge>>


SIGNATURE SIGNATURE

<<Name>> <<Name>>
HEAD OF THE DEPARTMENT Project Incharge

<<Department>> <<Department>>

<<Full address of the Dept & College >> <<Full address of the Dept & College >>
DECLARATION

DECLARATION

I hereby declare that the project work entitled “A STUDY OF


CORPORATE STRATEGY WITH REFERENCE TO HCL” submitted to
the Guru Gobind Singh Indrapastha University, is a record of an original
work done by me under the guidance of Mr. Deepak Lalchandani, Faculty
Member, Lingaya’s Lalita Devi Institute Of Management & Sciences, and
this project work has not performed the basis for the award of any Degree to
the best of my knowledge.

Name: Riddhima Bhagat

Enrolment No.: 1051921708

[SIGNATURE OF STUDENT]
ACKNOWLEDGEMENT

ACKNOWLEDGEMENT

I owe a great many thanks to a great many people who helped and supported
me during the writing of this report. My deepest thanks to Lecturer,
[LECTURER NAME] (the Guide of the project for guiding) for correcting
various documents of mine with attention and care. He has taken pain to go
through the project and make necessary correction as and when needed. I
express my thanks to the HOD of, [department], for extending his support.
My deep sense of gratitude to [RESPECTIVE NAME] (DESIGNATION),
[COMPANY NAME WHERE THE PROJECT WAS UNDERTAKEN]
support and guidance. Thanks and appreciation to the helpful people at
[COMPANY NAME WHERE THE PROJECT WAS UNDERTAKEN], for
their support. I would also like to thank my Institute and my faculty
members without whom this project would have been a distant reality.
TABLE
OF
CONTENTS

CHAPTER NO. TITLE PAGE NO.


EXECUTIVE

SUMMARY
INTRODUCTION
HCL is a leading global Technology and IT Enterprise firm in the world. Its range of
offerings span R&D and Technology Services, Enterprise and Applications Consulting,
Remote Infrastructure Management, BPO services, IT Hardware, Systems Integration and
Distribution of Technology and Telecom products in India. Corporate strategy

Firms must learn to compete differently if they are to achieve strategic competitiveness in
the 21st-century competitive landscape. In simpler terms, Corporate Strategy refers to
those strategies which are concerned with the broad and long-term questions of what
businesses the organization is in and what it wants to do with those businesses.

HCL has a multi divisional set up in terms of products and services it offers and so it
become imperative to understand as to how such a huge firm handles so many varied
operations with such ease. It is all laid out in its corporate strategy.
HCL

MANAGEMENT

TEAM

AJAI CHOWDHRY
Chairman & CEO

An engineer by training, Ajai Chowdhry is one of the six founder members of HCL and
took over the reins of HCL Infosystems, the flagship company of the group, as President
and CEO in 1994. He was appointed the Chairman of HCL Infosystems in November
1999. In recognition of his contribution in championing the cause of the domestic Indian
IT industry, Ajai has been conferred the DATAQUEST ‘IT Man of the Year 2007’
Award amongst other awards.
J V RAMAMURTHY
President and Chief Operating Officer

J V Ramamurthy is President and Chief Operating Officer, HCL Infosystems Ltd. He


brings 3 decades of diverse Industry experience and leadership to the company. A
technocrat and a man of broad vision, he has spearheaded company’s entry into number
of new verticals and partnerships.

SANDEEP KANWAR
CFO & EVP

Sandeep Kanwar joined HCL in 1988 and in a span of eight years progressed to the
position of Chief Financial Officer at the young age of 35. He is well respected amongst
colleagues & customers for his financial acumen and management skills.

HARI BASKARAN
EVP

Hari, a BE graduate and alumni of IIM - Bangalore, has been instrumental in building up
the largest retail network for digital life style products in the country. He heads the
Distribution and Marketing Services and Retail business division for HCL.
GEORGE PAUL
EVP

George Paul, a graduate in Electronics & Telecommunications joined HCL in 1983.


He heads the Marketing Function along with HCL R&D.

RAJEEV ASIJA
EVP

Rajeev, an engineering graduate, joined HCL in 1983,. With two decades of industry
experience, he heads the Enterprise Solutions & services of HCL.

RAJENDER KUMAR
EVP

Rajender Kumar joined in 1976. With over three decades of industry experience in
procurement, manufacturing & channel development, he heads the Corporate Initiatives
including Quest for Excellence Program.
M CHANDRASEKARAN
Sr. VP

M Chandrasekaran joined HCL in 1984. With over two decades of industry experience in
sales, support and marketing, he heads the office automation products business for HCL.

VIVEK PUNEKAR
VP HR

Vivek joined HCL in 1986. An engineer by profession with over two decades of industry
experience in various functions, he heads the HR function for the company. Credited with
innovative HR initiatives that has made HCL among the best companies to work for.
HCL

Hindustan Computers Limited (HCL) was founded in 1976. HCL is a leading global
Technology and IT Enterprise with annual revenues of US$ 5 billion. The HCL
Enterprise comprises two companies listed in India, HCL Technologies and HCL
Infosystems. The three decade old enterprise, founded in 1976, is one of India's original
IT garage start ups. Its range of offerings span R&D and Technology Services, Enterprise
and Applications Consulting, Remote Infrastructure Management, BPO services, IT
Hardware, Systems Integration, and Distribution of Technology and Telecom products in
India. The HCL team comprises of 64,000 professionals of diverse nationalities,
operating across 26 countries including 500 points of presence in India. HCL has global
partnerships with several leading Fortune 1000 firms, including several IT and
Technology majors.
HISTORY

HCL developed the first indigenous micro-computer at the same time as Apple and 3
years before IBM's PC, in 1978. This micro-computer virtually gave birth to the Indian
computer industry. HCL's in-depth knowledge of Unix led to the development of a fine
grained multi-processor Unix in 1988, three years ahead of Sun and HP. It became the
largest IT company in India in 1986. Along with the swiftly growing software technology
industry, HCL, which was hitherto known as the pioneer in modern computing made the
advent into software development. HCL Technologies was launched as a separate entity
in 1997 to mark the firm’s advent into the software services arena. It crossed 100,000
desktops mark in the Indian markets in 2003. Today, HCL sells more PCs in India than
any other brand, runs Northern Ireland's largest BPO operation, and manages the network
for Asia's largest stock exchange network apart from designing zero visibility landing
systems to land the world's most popular airplane. And this it does across 23 countries
and across 360 service locations in India.

HCL Technologies
HCL Technologies is a leading global IT services company, working with clients in the
areas that impact and redefine the core of their businesses. Since its inception into the
global landscape after its IPO in 1999, HCL focuses on 'transformational outsourcing,'
underlined by innovation and value creation, and offers integrated portfolio of services
including software-led IT solutions, remote infrastructure management, engineering and
R&D services and BPO. HCL leverages its extensive global offshore infrastructure and
network of offices in 26 countries to provide holistic, multi-service delivery in key
industry verticals including Financial Services, Manufacturing, Consumer Services,
Public Services and Healthcare. HCL takes pride in its philosophy of 'Employee First'
which empowers its 58,129 transformers to create a real value for the customers. HCL
Technologies, along with its subsidiaries, had consolidated revenues of US$ 2.6 billion
(Rs. 12,048 crores), as on March 31, 2010.

HCL Infosystems
HCL Infosystems Ltd is one of the pioneers in the Indian IT market, with its origins in
1976. For over quarter of a century, it has developed and implemented solutions for
multiple market segments, across a range of technologies in India. It has been in the
forefront in introducing new technologies and solutions. The highlights of the HCL saga
are summarized below:

1976
 Foundation of the Company laid.
 Introduces microcomputer – based programmable calculators with wide
acceptance in the scientific/education community.

1977
 Launch of the first microcomputer – based commercial computer with a ROM.
 Based Basic interpreter.
 Unavailability of programming skills with customers results in HCL developing
bespoke applications for their customers.

1978
 Initiation of application development in diverse segments such as textiles, sugar,
paper, cement, transport.

1980
 Formation of Far East Computers Ltd., a pioneer in the Singapore IT market, for
SI (System Integration) solutions.

1981
 Software Export Division formed at Chennai to support the bespoke application
development needs of Singapore.

1983
 HCL lanches an aggressive advertisement campaign with the theme ‘even a typist
can operate’ to make the usage of computers popular in the SME (Small &
Medium Enterprises) segment. This proposition involved menu – based
applications for the first time, to increase ease of operations. The response to the
advertisement was phenomenal.
 HCL develops special program generators to speed up the development of
application.

1985
 Bank trade unions allow computerization in banks. However, a computer can only
run one application such as Savings Bank, Current Account, Loans etc.
 HCL sets up core team to develop the required software – ALPM (Advanced
Ledger Posting Machines). The team uses reusable code to reduce development
efforts & produce more reliable code. ALPM becomes the largest selling software
product in Indian banks.
 HCL designs & launches Unix – based computers & IBM PC dones.
 HCL promotes third party PC applications nationally.

1986
 Zonal offices of banks & general insurance companies adopt computerization.
 Purchase specifications demand the availability of RDBMS products on the
supplied solution (Unify, Oracle). HCL arranges for such products to be ported to
its platform.
 HCL assists customers to migrate from flat – file based systems of RDBMS.

1991
 HCL enters into a joint venture with Hewlett Packard.
 HP assists HCL to introduce new services: Systems Integration, IT consulting,
and packaged support services (basicline, teamline).
 HCL establishes a Response Centre for HP products, which is connected to the
HP Response Centre in Singapore.
 There is a vertical segment focus on Telecom, Mnufacturing & Financial
Services.

1994
 HCL acquires & executes the first offshore project from IBM Thailand.
 HCL sets up core group to define software development methodologies.

1995
 Starts execution of Information System Planning projects.
 Execution projects for Germany & Austraia.
 Begins Help desk services.

1996
 Sets up the STP (Software Technology Park) at Chennai to execute software
projects for international customers.
 Becomes national integration partner for SAP.

1997
 Chennai & Coimbatore development facilities get ISO 9001 certification.

1998
 Kolkata & Noida STPs set up.
 HCL buys back HP stake in HCL hewlett Packard.

1999
 Acquires & sets up fully owned subsidiaries in USA & UK.
 Sets up fully owned subsidiary in Australia.
 HCL ties up with Broadvision as an integration partner.
2000
 Sets up fully owned subsidiary in Australia.
 Chennai & Coimbatore development facilities get SEI Level 4 certification.
 Bags Award for Top PC Vendor In India.
 Becomes the 1st IT Company to be recommended for latest version of ISO 9001 :
2000.
 Bags MAIT’s Award for Business Excellence.
 Rated as No. 1 IT Group in India.

2001
 Launched Pentium IV PCs at below Rs. 40,000.
 IDC rated HCL Infosystems as No. 1 Desktop PC Company of 2001.

2002
 Declared as Top PC Vendor by Dataquest.
 HCL Infosystems & Sun Microsystems enters into a Enterprise Distribution
Agreement.
 Realigns businesses, increasing focus on domestic IT, Communications &
Imaging products, solutions & related services.

2003
 Became the first vendor to registre sales of 50,000 PCs in a quarter.
 First Indian company to be numero uno in the commercial PC market.
 Enters into partnership with AMD.
 Launched Home PC for Rs. 19,999.
 HCL Infosystems’ Info Structure Services Division received ISO 9001 : 2000
certification.
 Launches Infiniti Mobile Desktops on Intel Platform.
 Launched Infiniti PCs, Workstations & Servers on AMD platform.
2004
 1st to announce PC price cut in India, post duty reduction, offers Ezeebee at Rs.
17990.
 IDC India – DQ Customer Satisfaction Audit rates HCL as #1 Brand in Desktop
PCs.
 Maintains #1 position in the Desktop PC segment for year 2003.
 Enters into partnership with Post Wise to support & distribute security & VPN
solutions in India.
 Partners with Microsoft & Intel to launch Beanstalk Neo PC.
 Becomes the 1st company to cross 1 lac unit milestone in the Indian Desktop PC
market.
 Partners with Union Bank to make PCs more affordable, introduces lowest ever
EMI for PC in India.
 Launched RP2 systems to overcome power problem for PC users.
 Register a market share of 13.7% to become #1 Desktop PC company for year
2004.
 Crosses the landmark of $1 billion in revenue in just 9 months.

2005
 Luanch of HCL PC in India, a fully functional PC at Rs.9,990.
 Rated as the #1 Desktop PC company by IDC India – Dataquest.
 ‘Best Employer 2005’ with 5 star ratings by IDC India – Dataquest.
 ‘The Most Customer Responsive Company 2005’.
 IT Hardware Category by The Economic Times – Avaya Global Connect.
 Top 50 fastest growing Technology Companies in India’ & ‘Top 500 fastest
Growing Technology Companies in Asia Pacific’ by ‘Deloitte & Touche’.
 ‘7th IETE – Corporate Award 2005’ for performance excellence in the field of
Computers & Telecommunication Systems by IETE.
 ‘Best Bhoomi Brand 2005’ by 360 magazine:
o In the PC category.
o In the LCD Monitor category.
 India’s ‘#1 vendor’ for sales of A3 size Toshiba Multi Functional Devices for the
year ’04 – ’05 by IDC.
 Toshiba’Super Award 2005 towards business excellence in distribution of
Toshiba Multifunctional products.
 Strategic Partners in Excellence’ Award by Infocus Corporation for projectors.
 ‘Most valued Business Partner’ Award for projectors by Infocus Corporation in
2005.

2006
 75000+ machines produced in a single month.
 HCL Infosystems in partnership with Toshiba expands its retail presence in India
by unveiling ‘shop Toshiba’.
 HCL Infosystems & Nokia announce a long term distribution strategy.
 HCL the leader in Desktops PCs unveils India’s 1st segment specific range of
notebooks brand – ‘HCL Leaptops’.
 IDBI selects HCL as SI partner for 100 branches ICT infrastructure rollout.
 HCL Infosystems showcases Computer Solutions for the Rural Markets in India.
 HCL Support wins the DQ Channels – 2006 GOLD Award for Best After Sales
Service on a nationwide customer satisfaction survey conducted by IDC.
 HCL Infosystems 1st in India to Launch the New Generation of High
Performance Server Platforms Powered by Intel Dual – Core Xeon 5000
Processor.
 HCL Forms a Strategic Partnership with APPLE to provide Sales & Service
Support for iPods in India.
 HCL Infosystems rated as number one Desktop PC Company by IDC, 6th year
successively.
 HCL Infosystems sustains its commercial Desktop PC leadership for the 5th
consecutive year.
 HCL launches ‘trusted ICT infrastructure platforms’ for the BPO – IteS segment.
 HCL launches India’s 1st High Performance Enterprise Server Platforms powered
by dual core Intel itanium processors.
 HCL creates Dual Core Xeon Server at a price point of Rs. 43900.
 HCL completes 30 years in India.
 HCL in association with The Music Academy, Madras brings ‘HCL Concert
Series’ to Chennai City.
 Enters into partnership with Casio.
 HCL establishes its manufacturing facility at Uttaranchal.
 HCL launches Beanstalk 2007 collection. A range of 4 new HCL Beanstalk
Digilife – enablers, Beanstalk Nano, Beanstalk Lifestyle & Beanstalk Dominator.

2007
 HCL introduces eco – efficient Notebook PCs complyimg with RoHS
directive.
 HCL unveils initiative to create industry ready ICT professionals –
launches HCL career development center’.
 HCL launches ‘datacenter in a box’ – a simplifier IT infrastructure
solution in a ‘box’ targeted at small & medium enterprises.
 HCL breaks the one terabyte storage barrier in computers – launches
India’s 1st ‘one terabyte’ personal computer.
 Kodak & HCL ink agreement to distribute digital cam,eras in India.
 HCL launches India’s 1st multilingual POS printer HCL star – TSP 700,
designed exclusively for the needs of rural retailers.
 HCL unveils enterprise class 16 core server – India’s 1st server with 16
computing cores in a 7 – inch (4u) form factor.
 Launches a new range of eco – efficient desktop PCs, complying with
RoHS directive.
 HCL launches NETMAX; suite of networking products & solutions
expands its portfolio for emerging enterprises.
 HCL announces ‘360 – degrees technology refresh program ‘ – new
initiative aimed at capturing latest trends in technology & delivering them to
Indian enterprises.
 HCL announces launch of its workstation 2008 series for MCAD & DCC
professionals.

2008
 HCL Infosystems announces a pioneering initiative in the Indian ICT sector to
further strengthen its customer care services.
 HCL Introduces Safe State the launch of a 100% subsidiary to provide system
Integration solutions for security & surveillance.
 HCL introduces ‘Leaptops Series 39’ with excellent thermals, Energy Star 4.0
compliance & imprint designs customized for Indian consumers.
 HCL Equips Delhi Police with Technology to Fight Crime.
 HCL launches the 1st ever Desktop Powered by AMD’s Triple Core Processor in
the Indian market.
 HCL launches MiLep MH 04.
 HCL Infosystems & Echelon Partner to Bring Smart Metering to Indian –
Improving Electricity Supply & Reducing Energy Theft are Key Goals.
 HCL Infosystems to connect India – Africa – To Implement IT Infrastructure for
Prestigious Pan – African e – Network Project for Tele – education & Tele –
medicine.
 HCL strengthens its BFSI System Integration Portfolio – Acquires a niche
Banking Software Product Company.
 HCL unveils the future of personal computing unveils next generation, ultra
portable, sub Rs. 14000 laptops for the 1st time in India.
 HCL launches Next Gen ‘Datacenter in a Box’, 10.5 Inches: 48 Processing Cores:
2 TB Integrated SAN: Simplified Operations – Simplified IT Infrastructure with
Power – packed Blade Servers in one system that Integrates storage, computing &
networking.
2009
 HCL Infosystems Kick Start Green Bag Campaign to Facilitate eWaste collection.
 HCL Infosystems Bags Large BSNL IOT Deal – A System Integration Project
worth Rs. 240 Crs for Implementation & Support.
 HCL Infosystems announces a tie – up with Korean major Nautilus Hyosung, to
provide complete ATM solutions for Indian banks across the country.
 Nokia Corporation announces to set up a joint venture with HCL Infosystems to
sell mobile value added services directly to consumers in India.

2010
 HCL Infosystems launches 1st ‘Made in India’ PVC free notebook.

VISION AND
MISSION

“A global corporation enriching lives and enabling business transformation for our
customers, with leadership in chosen technologies and markets. Be the first choice for
employees and partners, with commitment to sustainability. We enable business
transformation and enrichment of lives by delivering sustainable world class technology
Products, Solutions & Services in our chosen markets thereby creating superior
shareholder value.”

The TIME magazine has referred to HCL as an "intellectual clean room where its
employees could imagine endless possibilities". The fact is, over the last thirty years that
HCL has been operational, the company has stood by its values and core philosophy.

QUALITY POLICY
“We shall deliver defect free products, services and solutions to meet the requirements of
our external and internal customers the first time, every time.

Alliance & Partnership

To provide world-class solutions and services to all the customers, HCL has formed
Alliances and Partnerships with leading IT companies worldwide.

HCL Infosystems has alliances with global technology leaders like Intel, AMD,
Microsoft, IBM, Bull, Toshiba, Nokia, Sun Microsystems, Ericsson, NVIDIA, SAP,
Scansoft, SCO, EMC, Veritas, Citrix, CISCO, Oracle, Computer Associates, RedHat,
Infocus, Duplo, Samsung, and Novell.
These alliances on one hand give the firm the access to best technology & products as
well enhancing its understanding of the latest in technology. On the other hand they
enhance the firm’s product portfolio, and enable it to be one stop shop for the customers.

HCL Advantage

HCL Infosystems draws its strength from 30 years of experience in handling the ever
changing IT scenario, strong customer relationships, ability to provide the cutting edge
technology at best-value-for-money and on top of it, an excellent service & support
infrastructure. Today, HCL is country's premier information enabling company. It offers
one-stop-shop convenience to its diverse customers having an equally diverse set of
requirements.
Be it a large multi-location enterprise, or a small/medium enterprise, or a small office or a
home, HCLI has a product range, sales & support capability to service the needs of the
customer.

Last 30 years apart from knowledge & experience have also given HCL the continuity in
relationship with the customers, thereby increasing the customer confidence. Its strengths
can be summarized as:

• Ability to understand customer's business and offer right technology.


• Long standing relationship with customers.
• Pan India support & service infrastructure.
• Best-value-for-money offerings.

Technology Leadership

HCL Infosystems is known to be the harbinger of technology in the country. Right from
its inception it has attempted to pioneer the technology introductions in the country either
through R&D or through partnerships with the world technology leaders.
Using its own R&D it has:

• Created its own UNIX & RDBMS capability (in 80s).


• developed firewalls for enterprise & personal system security.
• launched its own range of enterprise storage products.
• launched its own range of networking products.

HCL strives to understand the technology from the view of supporting it post installation
as well. This is one of the key ingredients that go into its strategic advantage.

HCL Infosystems has to its claim several technology pioneering initiatives. Some of them
are:

• Country's first DeskTop PC - BusyBee in 1985.


• Country's first branded home PC - Beanstalk in 1995.
• Country's first Pentium 4 based PC at sub 40k price point.
• Country's first Media Center PC.

Philosophy of Quality

"We shall deliver defect-free products, services and solutions to meet the requirements of
our external and internal customers, the first time, every time."
To exist as a market leader in a globally competitive marketplace, organizations need to
adopt and implement a continuous improvement-based quality policy.One of the key
elements to HCL's success is its never-ending pursuit of superior quality in all its
endeavors. HCL Infosystems believes in the Total Quality Management philosophy as a
means for continuous improvement, total employee participation in quality improvement
and customer satisfaction. Its concept of quality addresses people, processes and
products.
Over the last 32 years, it has adapted to newer and better quality standards that helped it
effectively tie quality with business goals, leading to customer and employee satisfaction.

QUALITY

The history of structured quality implementation in HCL Infosystems began in the late
1980s with the focus on improving quality of its products by using basis QC tools and
Failure Reporting and Corrective Active Systems (FRACAS). It also employed
concurrent engineering practices including design reviews, and rigorous reliability tests
to uncover latent design defects.

In the early 90s, the focus was not merely on the quality of products but also the process
quality systems. Its manufacturing unit at NOIDA was certified initially to ISO
9002:1994 by Bureau Veritas Certification in 1994 and later on to ISO 9001:1994 in
1997. As of now, all its manufacturing units are certified by Bureau Veritas Certification
as per ISO 9001:2000 and ISO 14001: 2004

In early 1995, a major quality initiative was launched across the company based on Philip
B. Crosby's methodology of QIPM (Quality Improvement Process Management). This
model was selected because it considered the need and commitment by an organization to
improve but more importantly, the individual's need towards better quality in his personal
life.

Under the Quality Education System program, HCL trains its employees on the basic
concepts and tools of quality. A number of improvement projects have been undertaken
by the employees, whereby process deficiencies and bottlenecks are identified, and
Corrective Action Projects (CAPs) are undertaken. This reduces defect rates and
improves cycle times in various processes, including personal quality.
It has received MAIT's 'Level II recognition for Business Excellence' for its initiatives in
the Information Technology Industry, adding another commendation to its fold. MAIT's
Level II recognition is based on the 'European Foundation for Quality Management'
(EFQM), for gaining quality leadership and business competitiveness.

HCL’s certifications and awards in 2003 include ISO 9001-2000 by Bureau Veritas
Certification for its InfoStructure Services and award of First Prize by ELCINA
(Electronic Component Industries Association) for Quality, 2002-03. The ELCINA
award criteria considers two aspects. (1) Enablers (Leadership & Management
commitment, Resource Management, Product Realisation, Measurement Analysis &
Improvement) and (2) Results (Product Quality, Customer / Stake holder satisfaction ,
Business results).

The tryst for continuous quality improvement is never-ending in HCL Infosystems. It


always strives to maintain high quality standards, which help to fulfill its mission to
provide world-class information technology solutions and services, to enable it to serve
the customers better.

Awards & Accolades

HCL Infosystems has been acknowledged and rewarded for its support, innovative
products and solutions, and dedication countless times. Listed below is an up to date list
of rewards and recognitions that HCL Infosystems has won till date.

2005
• HCL among the Top 3 IT companies for the last 3 years, DQ & IDC, Best
Employer Survey, ‘Best employer 2005’ with Five Star Ratings.
• ‘The Most Responsive Company 2005’ – IT Hardware Category by The
Economic Times – Avaya GlobalConnect.
• Strategic Partners in Excellence Award by InFocus Corporation for projectors.
• ‘Most Valued Business Partner’ Award for Projectors in 2005.
• ‘Toshiba ‘Super Award 2005’ & ‘Platinum’ Award 2004 towards business
excellence in distribution of Toshiba Multifunctional products consecutively for 3
years in a row.
• India’s ‘No. 1 vendor’ for sales of A3 size Toshiba Multi Functional Devices for
the year 2004-2005 by IDC Dataquest.
• ‘7th IETE – Corporate Award 2005’ for performance excellence in the field of
Computer & Telecommunications Systems.
• ‘No. 1 Vendor’ of Infocus MM Projectors by Pacific Media Associates Survey
2005.
• ‘Best Bhoomi Brand 2005’ by 360 magazine in the PC Category & in the LCD
Monitor Category.

2006
• HCL Infosystems was presented with the ‘Top Organization - 2006’ award by
Institute of Marketing Management (IMM) in recognition of its innovation in
marketing management.
• HCL Infosystems Ranked Top 3 Best Employer by IDC - Dataquest 2006.
• HCL Infosystems has been voted as the ‘No. 1 PC Vendor’ consecutively for last
six years by IDC – Dataquest.
• HCL bagged the Dun & Bradstreet Awards 2006 for ‘Top Performance In The
Computer Hardware & Peripherals Sector’.
• HCL won the ‘Amity Corporate Excellence Awards 2006’ in the Computer
hardware category.
• ‘Top 3 IT Hardware Companies’ ranked in India’s 100 Most Valuable Brands by
Planman Consulting & ICMR Research.
• HCL was ranked among the Top Fast 500 Asia Pacific 2006 program by Deloitte
Technology, Media & Telecommunications.
• Business Standard ranked HCL at No. 21 in BS 1000 ranking in 2006.
• ET ranked HCL amongst, ‘Top 50 in ET Top 500 Companies’ Listings for 2006.
• HCL has been ranked amongst the ‘Top 5 Groups’ in the DQ Top 20 & ‘Top 3
Most Preferred Brands’ in CNBC Awaaz Survey, 2006.
• HCL ranked amongst the Top Three Major Players on VPN Service Provider by
Avaya GlobalConnect.
• India’s ‘No. 1 Vendor’ for sales of A3 size Toshiba Multi Functional Devices for
the year 2005-06 by IDC Dataquest.

2007
• Mr. Ajai Chowdhary, Chairman & CEO of HCL Infosystems Limited, was
declared ‘IT Person of the Year 2007’ by Dataquest.
• HCL won The Best Retailer Award in Consumer Durables category by Asia
Retail Congress in December 07.
• HCL was awarded the best iPod distribution partner for Apple for the second year
in succession in 2007.
• HCL has received the Excellence Award, as the Winner of ‘Nokia Formula for
Success’ contest in November 2007.
• HCL won the global award in ‘Innovation Excellence on Intel Architecture’ from
Intel Corporate in 2007.
• HCL received the Images Retail Forum 2007 – Most Admired Retailer awards in
2007.
• HCL was offered the Var India 2007 – No. 1 Retail Company award in 2007.
• HCL received the Franchise India 2007 – Best in Specialty Retailing award in
2007.
• HCL won ‘Toshiba Color Champion Award 2007’ for improving overall
customer approach & better technical capability.
• HCL also won ‘No. 1 award in Sales & Marketing’ from Toshiba Corporation for
seventh consecutive year in a row in 2007.
• HCL has been awarded Ericsson’s Premium Partner status for its enterprise
products in 2007.
• HCL has been awarded the Platinum Partner Certification for Video Conferencing
Products from Tandberg in 2007.
• HCL won ‘Best Emerging Channel’ award for Audio System Integration from
Polycom in 2007.
• HCL won awards in ‘Environment Management’ & ‘Quality’ categories at the
Elcina – Dun & Bradstreet Awards for Excellence in Electronics, 2006-07.
• HCL Infosystems Ranks No. 1 in the Employee Satisfaction in DQ – IDC Best
Employer Survey 2007.
• HCL Infosystems Ranked Top 15 Best Companies to Work for in India by TNS,
Mercer & Business Today 2007.
• India’s Most Preferred Personal Computer Brand by CNBC AWAAZ Consumer
Award 2007.
• HCL received three Channels Choice 2007 awards for Relationship Management,
After Sales Support & Commercial Terms from DQ Channels, based on an IDC
channel satisfaction survey.
• HCL Infosystems won Brand – of – Excellence Award at VARIndia Forum 2007.
• HCL bagged IMM ‘Top Organization Award 2007’ for Excellence at 34th World
Marketing Congress.
• HCL was awarded ‘Amity Corporate Excellence Award 2007’ for its distinct
vision, innovation, competitiveness & sustenance.
• HCL won ‘Toshiba Colour Copier Champion Award 2007’ for improving overall
customer approach & better technical capability.
• HCL won the ‘Best Indian Branded PC’ & ‘Best IT Retail Company’ award at the
6th VARIndia Star Nite Awards 2007.
• HCL has been recognized by Nokia, consecutively for last 2 years with the ‘Nokia
Excellence Award’ for Sales & Distribution, Asia Pacific 2007.
• HCL Digilife retail chain won the ‘Most Admired Retailer of the Year’ award in
Consumer Durables & Electronics category at the 2007 IMAGES Retail Awards.
• HCL received ‘Best In Category Award’ for HCL Digilife Stores & Special
Award for ‘Innovation & Technology’ for its’ ePOS division at the Franchise &
Star Retailer Awards 2007.

2008
• HCL was honoured with the Gold Certificate Merit Award for India
Manufacturing Excellence 2008 from Frost & Sullivan.
• Mr. Ajai Chowdhary, Chairman & CEO of HCL Infosystems Limited, ranked
third in the Power List 75 Most Powerful Brand Builders of India.
• HCL Infosystems Ranked Top 3 for the Fourth Consecutive Year in the Best
Employer Study by IDC – DQ 2008.
• Times Ascent Asia Pacific HR Congress felicitated Mr. Ajai Chowdhary,
Chairman & CEO, HCL Infosystems Limited with the ‘CEO WITH HR
ORIENTATION’ award during the Global HR Excellence Awards 2008-09.
• HCL received The Platinum Certificate of Excellence Award in August 2008
from HDFC Standard Life Insurance Co Ltd. in appreciation of its contribution &
efforts towards continued success of HDFC SLI.
• HCL received the Asia Retail Congress – 2008 Retail of the Year.
• HCL won Top Market Share Award for highest market share amongst all
countries.
• HCL won Gold Partner Award for achieving a sizable business revenue
INFOCUS has recognized HCL as its Strategic Partner.
• HCL won Emerald Award for Best All round Performance Over The Years.
• HCL received the Supportive Franchisor and FAI & Franchisee Plus 2008 –
Franchisee Innovativeness in 2008.
• HCL won The Most Innovative Franchisee Award by Franchise Plus in Feb. 08.
• HCL won The Most Supportive Franchisor Award by Franchise Plus in Feb. 08.
• Mr. Ajai Chowdhary, Chairman & CEO of HCL Infosystems Limited, honoured
with ‘CEO of the year 2008’ award by IT People Awards for excellence in IT.
2009
• HCL awarded Electronics Company of the Year 2009.
• HCL Infosystems rated No. 1 Employer by DQ – IDC 2009.
• HCL is awarded with Gold Star rating for ‘Customer Satisfaction Excellence’ in
the Cisco PAL Survey – Customer Satisfaction Survey.
• HCL recognised as Server Leader Account by Intel Corporation.
• HCL wins Best Desktop PC Category award by Computer Active.
• HCL Ranks Third Amongst the Best Companies to Work For by Business Today
Issue – Jan 25, 2009.
• HCL ranks No. 1 company in IT services, No. 3 in Desktop & No.4 in servers as
per DQ CSA 2009.
• HCL wins the prestigious Dun & Bradstreet Rolta Corporate Award 2008 for
being the leader in Computer Hardware & Peripheral category.

2010
• DQ – IDC ranks HCL Infosystems #2 Domestic ICT Company Rated among Top
10 ICT Companies in India.
• HCL Infosystems wins Dun & Bradstreet Rolta Awards 2009.
• DQ – IDC rates HCL Infosystems as #1 in IT Services 2010.

Concept of Corporate Strategy

Strategy is a very broad term which commonly describes any thinking that looks at the
bigger picture. Successful companies are those that focus their efforts strategically. To
meet and exceed customer satisfaction, the business team needs to follow an overall
organizational strategy. A successful strategy adds value for the targeted customers over
the long run by consistently meeting their needs better than the competition does.
Strategy is a set of decisions and actions aimed at gaining a sustainable competitive
advantage.

Strategy is the way in which a company orients itself towards the market in which it
operates and towards the other companies in the marketplace against which it competes.
It is a plan an organization formulates to gain a sustainable competitive advantage.

Strategy is the direction and scope of an organization over the long-term which achieves
advantage for the organization through its configuration of resources within a challenging
environment, to meet the needs of markets and to fulfill stakeholder expectations.

Corporate strategy seeks to develop synergies by sharing and coordinating staff and other
resources across business units, investing financial resources across business units, and
using business units to complement other corporate business activities.

Strategy answers the following questions:

Q. What are the sources of the company's sustainable competitive advantage?

Q. How a company will position itself against competition in the market over the long
run to secure a sustainable competitive advantage?

Q. What are the key strategic priorities?

Q. Why is a company in business?

Q. Why is a company in that particular business?

In other words, strategy is about:


* Where is the business trying to get to in the long-term? (direction)
* Which markets should a business compete in and what kind of activities are involved in
such markets? (markets and scope)
* How can the business perform better than the competition in those markets?
(advantage)
* What resources (skills, assets, finance, relationships, technical competence, and
facilities) are required in order to be able to compete? (resources)
* What external and environmental factors affect the businesses' ability to compete?
(environment)
* What are the values and expectations of those who have power in and around the
business? (stakeholders)

Corporate strategy is an agreed-on guide to action that should lead business to success in
the marketplace by satisfying customer needs better than the competition does. Strategy
formulation is the major task for the company Entrepreneur and CEO, but it is the task of
middle managers and project managers to carry this strategy out and turn it into results.
Sustainable growth strategy requires balancing short-term results against long-term
capabilities and growth opportunities.

Strategy is an approach to future that involves:

(1) Examination of the current and anticipated factors associated with customers and
competitors (external environment) and the firm itself (internal environment).

(2) Envisioning a new or effective role for the firm in a creative manner.

(3) Aligning policies, practices, and resources to realize that vision.

Strategy at Different Levels of a Business


Strategies exist at several levels in any organization - ranging from the overall business
(or group of businesses) through to individuals working in it.

Corporate Strategy - is concerned with the overall purpose and scope of the business to
meet stakeholder expectations. This is a crucial level since it is heavily influenced by
investors in the business and acts to guide strategic decision-making throughout the
business. Corporate strategy is often stated explicitly in a "mission statement".

Business Unit Strategy - is concerned more with how a business competes successfully
in a particular market. It concerns strategic decisions about choice of products, meeting
needs of customers, gaining advantage over competitors, exploiting or creating new
opportunities etc.

Operational Strategy - is concerned with how each part of the business is organized to
deliver the corporate and business-unit level strategic direction. Operational strategy
therefore focuses on issues of resources, processes, people etc.

Strategy should by dynamic and changed constantly in order to contend with external
turbulences. Experimenting with new strategies is important. Constant testing, adaptation,
and building on what is found to be successful with customers is the way ahead,
especially when an entity is trying to re-invent the value provided, or the way it is
produced and delivered.

Most attempts at strategic planning fail because the strategic planning models used have
been developed by academics and are based on what other businesses have done in the
past. The strategies adopted by a manufacturing company twenty years previously are of
marginal use to a service provider operating in an era of improved technology and
communications.

Unfortunately most corporate executives look on corporate strategy as just another task
that must be repeated periodically. The result is either an unprofessional strategy or a
strategy that is bound to fail because it does not take account of reality. In the end a lot of
strategic planning fails because of incompetence or indifference on the part of those
responsible for the strategic plan.

Contents of Corporate Strategy

A good corporate strategy is made up of various factors including:

 Corporate Culture
 Strategic Planning
 Strategic Intent
 Future Thinking
 Analysis
 Evaluation
 Types of Strategy

1. Corporate Culture

It comprises of:
 Beliefs/Ideals
 Mission Statements
 Vision
 Leadership
 Teamwork
 Logos
 Image
 Flexibility/Adaptability
 Change Management

The beliefs and values shared by people who work in an organization:


– How people behave with each other.
– How people behave with customers/clients.
– How people view their relationship with stakeholders.
– People’s responses to energy use, community involvement, absence, work
ethic, etc.
– How the organization behaves with its employees – training, professional
development, etc.

It could be driven by:


• Vision – where the organization wants to go in the future
• Mission Statement – summary of the beliefs of the organization and where it is
now.

All this is reflected in:


• Attitude and behaviour of the leadership.
• Attitude to the role of individuals in the workplace – open plan offices,
team based working, etc.
• Logo of the organization.
• The image it presents to the outside world
• Its attitude to change

2. Strategic Planning

It consists of:
 Vision
 Goals
 Aim/Objectives
 Analysis
 Development
 Evaluation

• The Vision:
– Communicating to all staff where the organization is going and where it
intends to be in the future.
– Allows the firm to set goals.

• Aims and Objectives:


– Aims: long term target for the firm.
– Objectives: the way in which it is going to achieve the aim.

• Once the direction is identified:


- Analyse position.
- Develop and introduce strategy.
- Evaluate.
– Evaluation is constant and the results of the evaluation feed back into the
vision.

3. Strategic Intents

Thinking about key strategic themes that will inform decision making.

4. Futures Thinking
Thinking about what the business might need to do 10–20 years ahead.

5. Analysis

It refers to thinking about the factors affecting the business. It comprises of:

Core Competencies
Core Business
Required Inputs
SWOT
PEST
Five Forces

• Core Competencies and Core Business


- A firm should be very clear about its core competencies and its core
business.
- Ancillary units can be there but the firm should first excel in its core area.

• Required Inputs
- Changing strategy will impact on the resources needed to carry
out the strategy.
Specifically the impact on:
- Land: opportunities for acquiring land for development – green belt,
brownfield sites, planning regulations, etc.
- Labour: ease of obtaining the skilled and unskilled labour required
- Capital: the type of capital and the cost of the capital needed to fulfil the
strategy
• SWOT
- Strengths: identifying existing organizational strengths.
- Weaknesses: identifying existing organizational weaknesses.
- Opportunities: what market opportunities might there be
for the organization to exploit?
- Threats: where might the threats to the future success come from?

• PEST
- Political: local, national, and international political developments.
How will they affect the organization and in what manner?
- Economic: what are the main economic issues – both nationally
and internationally – that might affect the organization?
- Social: what are the developing social trends that may impact on
how the organization operates and what will they mean for future
planning?
- Technological: changing technology can impact on competitive
advantage very quickly.

• Five-Forces
Porter’s Diamond Model developed by Michael Porter talks about the forces that shape
and influence the industry or market the organization operates in.
- Strength of Barriers to Entry: how easy is it for new rivals to
enter the industry?
- Extent of rivalry between firms: how competitive is the existing
market?
- Supplier power: the greater the power, the less control the
organization has on the supply of its inputs.
- Buyer power: how much power do customers in the industry
have?
- Threat from substitutes: what alternative products and services
are there and what is the extent of the threat they pose?

6. Evaluation

Data from sales, profit, etc. used to evaluate the progress and success of the strategy and
to inform of changes to the strategy in the light of that data.
It includes evaluation of:

 Share Price
 Sales
 Profits
 Productivity
 Volumes
 Earnings
 Benchmarking
 Environmental/Social Audits
 ROCE

7. Types of Strategies

 Competitive Advantage
 Cost Advantage
 Market Dominance
 New Product Development
 Contraction/Expansion
 Price Leadership
 Global
 Reengineering
 Downsizing
 Delayering
 Restructuring

• Competitive Advantage – something which gives the organization some


advantage over its rivals.
• Cost Advantage – A strategy to seek out and secure a cost advantage
of some kind like lower average costs, lower labour costs, etc.
• Market Dominance - Achieved through:
– Internal growth
– Acquisitions – mergers and takeovers
• New Product Development – To keep ahead of rivals and set the pace.
• Contraction/Expansion – Focus on what you are good at (core competencies) or
seek to expand into a range of markets.
• Price Leadership – Through dominating the industry where others follow your
price lead.
• Global – Seeking to expand global operations.
• Reengineering – Thinking outside the box and looking at new ways of doing
things to leverage the organization’s performance.
• Downsizing – Selling off unwanted parts of the business, similar
to contraction.
• Delayering – Flattening the management structure, removing bureaucracy, and
speed up decision making.
• Restructuring – Complete re-think of the way the business is organized.

Strategic Management
In its broadest sense, strategic management is about taking "strategic decisions" -
decisions that answer the questions above.

In practice, a thorough strategic management process has three main components, shown
in the figure below:

Strategic Analysis

This is all about the analyzing the strength of businesses' position and understanding the
important external factors that may influence that position. The process of Strategic
Analysis can be assisted by a number of tools, including:

PEST Analysis - a technique for understanding the "environment" in which a business


operates
Scenario Planning - a technique that builds various plausible views of possible futures
for a business
Five Forces Analysis - a technique for identifying the forces which affect the level of
competition in an industry
Market Segmentation - a technique which seeks to identify similarities and differences
between groups of customers or users
Directional Policy Matrix - a technique which summarizes the competitive strength of a
business’ operations in specific markets
Competitor Analysis - a wide range of techniques and analysis that seeks to summarize
a businesses' overall competitive position
Critical Success Factor Analysis - a technique to identify those areas in which a
business must outperform the competition in order to succeed
SWOT Analysis - a useful summary technique for summarizing the key issues arising
from an assessment of a businesses "internal" position and "external" environmental
influences.

Strategic Choice
This process involves understanding the nature of stakeholder expectations (the "ground
rules"), identifying strategic options, and then evaluating and selecting strategic options.

Strategy Implementation

This is often considered to be the hardest part. When a strategy has been analyzed and
selected, the task is then to translate it into organizational action.

OBJECTIVE

OF

STUDY
Primary Objective – To study the corporate strategy of HCL Infosystems.

Secondary Objective – To study the organizational structure of HCL Infosystems.


RESEARCH

METHODOLOGY
Type of research - Secondary research and sources were considered while making the
report.
Sources - Information available through websites and journals was taken for the
formulation of the report.

Type of design – The report is exploratory in nature as it does not use any primary data
source for the analysis.

Methodology - SWOT Analysis for HCL Infosystems has been used in order to achieve
the objectives of the study.

PRESENTATION AND
ANALYSIS

From a company that used to sell boxes, HCL has now emerged as a leading systems
integrator, selling solutions, while also offering IT services and consulting services.

It is interesting to trace the transformation of a company that was earlier identified by the
‘hardware’ tag to an ‘end-to-end solutions provider,’ with interests across domains such
as software, networking, and consulting. A look at the strategy followed by HCL throws
interesting pointers for the rest of the industry. The number one tag on the PC front has
come as a result of clever marketing strategies, and aggressive expansions. HCL has
always been very strong on the government front. But when things started going bad on
other fronts—for instance, when the metros were showing stagnation rates, HCL went
ahead and expanded aggressively in B&C class cities to boost volumes. In addition, the
company initiated schemes like consumer finance to lure the reluctant PC buyer.

Different strategies for different segments


But the strategy to gain market share in difficult times and reap benefits when the
industry recovers has come at a cost. For instance, industry analysts say that HCL has
given massive discounts in the products business to gain market share. In addition to the
PC segment, the company also took several innovative initiatives in other sectors to boost
revenues. Take for instance the strategy of the company in the notebooks segment. The
move to enter newer segments like education and consulting in the notebooks business
has yielded great results. Proof of success lies in the fact that HCL has already bagged
big orders from the Indian School of Business and PricewaterhouseCoopers. The second
part of the notebooks strategy has been to aggressively woo the SME segment with
newer, cost-effective models.

The telecom business has also recorded impressive growth. For instance, the company
bagged telecom equipment orders from IIT Kanpur for 5,000 lines of MD Ericsson
EPBAX and 500 lines of an ADSL solution. Looking at the robust growth from this
segment, the company has set up the India remote support centre for providing support
services to all HCL Infosystems’ customers.

And while there have been doubts on the long term viability of the retail ISP business,
HCL Infinet, the fully-owned subsidiary of HCL Infosystems, is betting big on its
technical expertise to boost revenues. Positive indications can be seen in the fact that the
subsidiary has acquired 30 new corporate clients for VPN implementation. These new
clients come from different verticals such as manufacturing, finance, and the FMCG
industry. Company officials are also betting on the VoIP segment, which has recently
been opened up to ISPs for Net telephony, but there is still doubt on whether this sector
will generate enough volumes for any ISP, leave alone HCL Infinet.

To take advantage of the boom in the call centre business, the company has also started a
unit that it terms as ‘call centre consulting’. Under this initiative, the company will help
prospective clients wanting to enter the call centre business with its knowledge base of
hardware and systems integration, and experience in call centre operations itself.
Software services

Though the majority of HCL’s revenues continue to come from hardware sales and
related services, the relatively small software services portion could be a surprise packet
for the future. The company has a good de-risking model through this segment, and has
spread its business over different geographies. Going forward, the company expects 40
percent of revenues coming from the domestic and export services, about 30 percent from
products and system integration and about 30 percent from software exports.

Other strategies

In line with offering competitive pricing keeping in mind the price-sensitive nature of the
Indian market, HCL has made significant investments in the Professional Services
Organization (PSO), the Support Services Organization (SSO) and in its manufacturing
plants at Noida and Pondicherry. The build-up of the services business (both PSO and
SSO) enables HCL to offer complete solutions as well as raise manufacturing volumes in
line with international standards. The increasing focus on integrated enterprise solutions
has also strengthened HCL’s SSO’s capabilities in supporting installation types ranging
from single to large, multi-location orders. The SSO, which comprises of a direct support
force of over 800 members, is operational at 150 locations across the country and is the
largest such force in the IT business.

One more important arm in HCL‘s strategy has been the Frontline division that markets
national and international brands of computer systems (including Toshiba notebooks) and
peripherals within the country. With its extensive network of 800 resellers across 300
cities, the division actively promotes the penetration of PCs in the home and the small
office/home office (SOHO) segments.

The competition
The fact that the company has not only withstood the MNC attack but has actually
managed to upstage them speaks volumes about the effectiveness of the company’s
strategies-and this, all the more when you see the performance of other Indian brands
slipping away. A three-pronged approach has helped the company to keep the MNC
attack at bay. For instance, for the home segment, the company has tried to woo the
consumer with multimedia-rich PCs. For the commercial segment, there is the Infinity
range packed with features that any office would require.

The third part of the strategy is to totally focus on Intel servers. HCL works very closely
with Intel in this area, and was the first to offer an Itanium-based server in India. Intel’s
game plan is to dominate the lucrative high-end 64-bit space where the enterprise money
lies, and HCL has cleverly ensured that it will get a piece of this action too.

Impact of the HP-Compaq merger

The HP-Compaq merger is one of the greatest factors of concern for the company—for
that matter, for every hardware vendor. This is because of the change in market dynamics
thanks to this merger, which is expected to help HP-Compaq become the next hardware
powerhouse. But HCL thinks this development also has some positive aspects for them.

However, as many analysts have pointed out, the other positive aspect of the merger is
that the new entity has the Compaq brand of PCs and HP printers under one umbrella.
However, HCL terms it more as a ‘logistical advantage’. It says that the firm is confident
on this front because of HCL’s established presence in the market with countrywide
outlets and so many products to serve the Indian market, which no other player has.

Customer’s the king


In a market like India, where customer relationship management is still emerging as a
niche segment, HCL has set examples for others. The company today boasts of being able
to retain more than 60 percent of its customers.
To achieve this figure, the company adopted a three-tier approach. The most important
strategy as far as customer satisfaction is concerned, is the technology strategy. Over the
years, HCL has ensured that it came out with latest technologies for Indian customers.
Thanks to this philosophy, HCL simultaneously releases technology in India as and when
it is released overseas.

Another strategy that the company uses is ensuring it reaches the customer where he is.
Today, HCL has built a 900-strong partner reseller infrastructure, apart from its 150 retail
outlets. These are the two channels used to reach the customer. Using this structure, the
company has direct sales and the commercial space strategy in place.

The third part of the strategy is the services strategy. Over the years, the company has put
in place a support infrastructure that spreads out across 150 support locations in the
country with principal support engineers stationed at these locations. Services support is
also extended through partners. The company has also set up a number of call centres for
the services business. In almost every state in India, HCL has call centres, and in some of
the larger states, there are multiple call centres.

And towards becoming a dominant player in providing global IT services HCL has plans
to further consolidate its hardware and services businesses. It has set up overseas
subsidiaries in the US, the UK, Singapore, Malaysia, and Australia.

SWOT Analysis of HCL Infosystems

Strengths
• India's largest Hardware, System Integration, Networking Solutions &
Distribution Company.
• Three decades of expertise in technology solutions.
• Partners with leading global players to provide the best of solutions to end users.
• The largest manufacturer of PCs and Laptops in India.
• Largest direct sales, digital lifestyle product distribution and retail network.
• Extensive service network that reach out to 4,000 towns.
• It has got global reach by being present in 26 countries.
• Strong focus on employees and high employee satisfaction.

Weaknesses

• Too much hierarchy is present in the organization.


• Unwillingness to enter ancillary industries.

Oppourtunities

• Lots of untapped markets available globally.


• More R&D can be done to develop innovative products like ipad, iphone etc.
• Reach across India can be extended by entering small towns and cities due to the
stagnation of metros.

Threats

• Immense competition from domestic and global firms.


• Attrition rate can go higher if employees are unsatisfied.
LIMITATIONS

1. The report only consists of secondary data and no primary data has been collected
for analysis.
2. The sources for the collection of information could be incorrect.
3. Due to cost constraints more indepth research could not be done.
4. Human error could be involved while drawing conclusions.
5. Due to time constraint the report could not be made more exhaustive.
6. The report has been made using limited information.
CONCLUSION
AND
RECOMMENDATIONS

HCL Infosystems Ltd is one of the pioneers in the Indian IT market, with its origins in
1976. For over quarter of a century, it has developed and implemented solutions for
multiple market segments, across a range of technologies in India. It has been in the
forefront in introducing new technologies and solutions. All this has largely been possible
due to its corporate strategy and its high focus on sticking to its vision and mission. By
using innovative strategies, entering new business areas to de-risk the box business, and
spreading its tentacles as far as possible in this vast country, HCL has ensured that it will
remain a potent force even in the future. Hence, HCL would continue to be the market
leader if it continues to focus on the correct strategy.

Recommendations
o It can utilize untapped global markets and can have the first mover’s advantage in
these markets.
o It can increase its reach across India by going into small towns and cities.

BIBLIOGRAPHY
1. http://tutor2u.net/business/strategy/what_is_strategy.htm

2. www.hcl.in

3. www.hclinfosystem.in

4. www.google.co.in

5.

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