final wipro
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Presentation on Case Study of WIPROPresentation on Case Study of WIPRO
LTD.LTD.-- THE NEW FACE OF GLOBALTHE NEW FACE OF GLOBALCOMPETITIONCOMPETITION
Presented to:
Dr. Himnashu Mohan
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COMPANY OVERVIEW
Wipro (Western India Palm Refined Oils) started in 1945 as a vegetable oil tradingcompany
In 1977 Wipro entered into the information technology sector
In 1979 Wipro began developing its own computers and in 1980 moved to softwaredevelopment
Since 1992 Wipro began to grow its roots offshore in US and by 2000 its ADRs were
listed in NYSE
Currently Wipro Ltd deals in ± information technology, consumer care, lighting,engineering & healthcare businesses
Provider of integrated business, technology and process solutions on a global delivery platform
First CMMi Level 5 certified software services company
First company outside USA to receive the IEEE Software Process Award
55+ Centers of Excellence creates customized solutions irrespective of domain involved
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PORTFOLIO OF PRODUCTS &
SERVICES
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DISTRIBUTION CHANNELS
Wipro Technologies uses two distribution modelsfor its IT based services:-
Global Delivery Model- Also known as ³followthe sun model´ as it provides delivery of servicesat a global platform
Fixed Delivery model:- Distribution of servicesfrom one fixed location to multiple customers
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DISTRIBUTION CHANNELS
Achieving Data Synchronization
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Distribution framework of WIPRO:-
Common Product Catalog :- This makes product data standardized or a creation of acommon product catalog a pre requisite for allProject Management of any distributor
R everse Logistics :- Seamless collaboration between retailers and suppliers
Centers of Excellence :- Provides winningsolutions faced by Wipro¶s clients and help them proactively respond to industry trends
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PEOPLE & PROCESSES
STRENGTHS
Human R esources :- ³Centers of Excellence´delivering unmatched business value to customersthrough a process of quality excellence, qualityframeworks and service delivery innovation
Employee Feedback and Communication:-Wipro believes in connecting and listening to people
Corporate Culture :- Innovative and thought provoking corporate culture with beyond work
Workforce diversity:- Promotes respect for entire human race
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PEOPLE & PROCESSES
STRENGTHS
Business Level Program:-
Wipro Leaders Qualities Survey:- 360 degrees survey process
Leaderships lifecycle Programs:- Training and
development programs at various stages have beendesigned by mapping the competencies to different roles
Entry Level Program (ELP)
New leaders Program(NLP)
Wipro Leaders Program(WLP)
Business Leaders Program(BLP)
Strategic Leaders Program(SLP)
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PEOPLE & PROCESSES
STRENGTHS
Evolution of Six Sigma at Wipro:- Wipro started the initiativeof Six Sigma in 2000.
Six sigma at Wipro means a measure of quality thatstrives for near perfection. It is an umbrella initiative
covering all business units and divisions so that it couldtransform itself in a world class organization by followingthe following rules:-
Have products and services meet global benchmark
Ensure robust processes within the organization
Consistently meet and exceed customer expectationsMake quality a culture within
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Journey of Wipro
In 1989 general electric entered into a joint venturewith Wipro, Wipro GE Medical system, to make & sellGE ultrasound scanners in India.
Wipro outsources work from India to GE as in Indiasoftware programmers earn an average of $10000 ayear while in US they make $ 64000 a year.
GE quickly hire Wipro software programmers to writecode for GEs ultra sound machine and its CT scanners.
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Continued
In mid 1990s, senior GE manager encourage other units tofollow the medical divisions lead & outsource informationtechnology.
Wipro was getting 50% of its revenue from general electricsat one pt. by the mid 1990s.
Wipro learnt a lesson as GE contracted out work to other ITcompanies.
Wipro moves the right path as they noted their weakness.(copied Wipro).
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Continued
Wipros customers are general electric , Hewlett-packward, home depot, Nokia, Sony,&Weyerhaeuser.
In 2003, Wipro was supporting a broad array of Weyerhaeusers information system includinglogistics, sales, human resource applications fromBangalore.
In 2002, wipro signed a deal to design & engineertape storage devices for storage technology.
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Continued..
In 2004, Wipro took over responsibility for all developmentwork on this product line from 200 employees inMinneapolis.
Wipro moving towards high value added software services,i.e. global supply chain, billing systems for largecorporations.
Intention to expand its business Wipro was hiring local
national to increase its sales.
Now, Wipro has its direct sales presence in 35 countriesmostly which are staffed by local nationals.
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Continued..
By 2005, the company expected 3 quarters of theemployees that customer see will be local nationals.
Wipro was also buying local companies to give itinstant industry presence as in Nov 2002 Wipro paid$26 million for American management system.
Since 2000 Wipro moved some product development
work out of India to developed nations.( 9development centers in Europe & U.S). They focusedon product work where more communication betweenWipro engineers &client is required than outsourcing.
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Brand Evolution
Mid-1970s
Late 90s: ³ Applying
Thought´
2005-06 onwards:
³Spirit of
Wipro´
6 Wipro Beliefs
1. Respect the individual
2. Be a business leader
3. Accomplish all tasks in a
Superior manner
4. Maintain the highest ethicalstandards
5. Serve customers well
6. Measure performance based
on long term profitability
4 Wipro Values
1. Human Values:
2. Integrity:
3. InnovativeSolutions
4. Value for
money
Spirit of Wipro
1. Intensity to win
2. Act with
Sensitivity3. Unyielding
Integrity
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STRATEGIC ALLIANCES
Five-year engagement with British Petroleum
Multi-year deal with a leading infrastructural company
Wipro acquires NOKIA's mobile TV software Unit
Wipro acquires mpower and NewLogic
GE to integrate healthcare unit with Wipro
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SBU
MARKET
SHARE
COMPETIT
OR
C MARKET
SHARE
RELATIVE
MS
REVENUE
GROWTH
REVENUE(i
n billionRs.)
WIPRO
TECHNOLOGIE
S1.2
IBM Global
services14 0.085 1 4.41
WIPRO
INFOTECH8.
IBM Global
services10.8 0.805 18 34.56
WIPRO
LIGHTING8.1 PHILIPS 35 0.231 10 5.20 5
WIPRO INFRA
ENGG.0
Larson and
Tubro15 4.6 4 .145
WIPRO
CONSUMERCARE
8. 4 HUL 50.34 0.1 36 11 15.6225
WIPRO BPO 21.9 GENPACT 36.25 0.60413 11.90 1 .25
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BCG MATRIX
TECHNOLOGIES
INFOTECH
BPO
CONSUMER CARELIGHTING
INFRASTRUCTURE
5
1
15
2
25
-5-3-1135¡
BCG MATRIX-WIPRO LTD.
.
85
.8
5
.6
4
.1¡ 36
.231 4.6¡
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PERCEPTUAL MAPPINGFIR M Innovative
nessCustomer
satisfacti
on
Integrity
Effectiveness
Timelines
Pricing
Customer
suppor
t
Employee
Satisfact
ion
Wipro
Technolog
ies
7.2 69 7.4 6.9 6.9 7.9 7.2 8
Infosys 7.6 73 7.1 7.6 7.4 7.4 7.7 6.8
TCS 6.4 77 9 8.3 8 8.8 8.3 8
CTS 6 72 7.2 7 6.8 8.1 8.8 6.8
IBM 7.8 84 7.8 9 7.4 7.1 7.1 5
Accenture 5.5 66 5.5 6.5 5.9 4.6 5.7 5.7
Capgemini 5 63 5.8 6.9 6.4 5.5 6.8 7
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Apart from Acquisitions
Effective riskEffective risk
managementmanagement
ExtensiveExtensiveDistributionDistribution
NetworkNetwork
Service LineService Line
ExpansionExpansion
QualityQuality
LeadershipLeadership
Investing inInvesting in
Human ResourceHuman Resource
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Suggestions
Product Line
Expansion
Product
DiversificationBranding
Strategic Alliance
with RetailCompanies
Investing in R&D
Services
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Words of Wisdom
We are selectively looking at acquisitions...it
will be a string of smaller ones," WiproChairman Azim Premji told reporters on
the sidelines of a conference here. Premji
said Wipro is focusing on the domestic
sector
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Words of Wisdom
Ayan Mukerji, Head of Europe Operations, Wipro
Technologies said, Today, Wipro has grown to
become a leading IT Services company in the UK.Both the centers at Reading and London will be a
key hub for recruiting, training of local staff and
also gives an opportunity to offer an onsitedevelopment center premises to more
customers.
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Words of Wisdom
We will continue to invest in building and designing new low-cost
products for the Indian market. Going forward, we will launch
new price points to reach out to the large masses in smaller towns and villages that were not getting
adequate health facilities so far, said Wipro chairman Azim
Premji.
Healthcare is somewhat recession-proof when compared to other verticals, and Wipro already had assets needed to establish a
bigger healthcare practice,-Rajiv shah who heads healthcare
unit
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Words of Wisdom
Thats something our clients really like, the
in-between solution, Suraj Prakash, vice
president of Wipros Atlanta Development
Center told GlobalAtlanta. The vision is to
set up a Bangalore in Atlanta, said Joydip
Mukherji, Wipros head of operations in
Atlanta.
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WIPRO IN NEWS
Wipro buys some Yardley
businesses for $45.5
million
Y ardley Y ardley isis aa very very strongstrong brand brand
and and will will helphelp completecomplete our our
portfolio portfolio of of products, products, said said
VineetAgrawal VineetAgrawal, , president, president,WiproWipro Consumer Consumer CareCare and and
LightingLighting
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Q uestions
1. How did outsourcing work to Wiproimprove General Electrics ability to compete
in the global economy? Does such outsourcing
harm or benefit the American Economy?Answer-
Help them to know the Indian Market.
Marketing the product. Given them a profitable business in
comparison to others.
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Q uestion2: Did General Electric help to
create Wipro? How?
Answer:
Yes,
By improving their operating efficiency as theytaught Wipro a hard lesson and after that
Wipro followed the steps of General Electric
which worked as credit of their success.
That leads WIPRO in becoming the brand in
the following ways:
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Wipro pursue quality with a missionary zeal and have put robust
processes to ensure that it delivers quality with six sigma
consistency .
Salient features of Quality Program at Wipro:-
Most mature six sigma program in the industry with a rate of
91% of their project completed in schedule
Worlds first company to be awarded PCMM Level 5 and CMMI
Level 5
Defect prevention
Cycle time reduction due to lower rework rate
Cost of failure avoidance and high project visibility
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Helped them in making the marketing
stratigies.As Wipro focuses largely on ³pull´ marketing initiatives, targeting prospective clientswhile they are searching for relevant IT information.
Mostly this mean web based marketing with four key components:-
S arc gir ti
T ug t
l ad rs ic t tl adi g IT
rtals a ddir ct ri s
W b s i arsa d v ts
W bsit c t t
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Planning to aggressively develop the R&Dservices by focussing on high growth markets
Dedicated sales team for Europe and Asia Focused on New Client Acquisition in Europe
& Asia
Wipros own website is the fulcrum of the
entire lead-generation program
Consciously focused on increasing the revenuecontribution from higher-end service lines
Special offers and more than 400 case studiesto get visitors to demonstrate and registertheir special interests
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Comprehensive Web monitoring
Wipro uses permission marketing to strengthenrelationships and move prospects along the salescycle
telesales, direct mail, and industry-basednewsletters
Marketing team relies on the prospect databaseto create carefully targeted lists based onincoming traffic, client profiles, and ongoing webactivity
The database is so effective that Wipro no longerbuys lists of any kind to support its marketingefforts.
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Q ues 3. If Indias Information technology companies continue to
prosper, over time what do you think will happen to the income
differential between software programmers in the united states
& India? What are the implications for the American economy?Answer:
The income of the Indian software
programmers will gradually increase because
they will have more job opportunities. where
as us programmers goes income goes down
because of competition with Indian
programmers.
Q 4 Si 2000 Wi h d b d t bli hi l
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Q ues 4. Since 2000, Wipro has moved abroad, establishing sales
offices in 35 nations & design centers in nine. Why is Wipro
doing this? What would happen to the company if it did not
follow this strategy?
Answer
It will increase the market share which finally
increase the revenue.
Reduces the transportation & logistics cost.
Increase the competitiveness of the company.
Global operations.
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Q ues 5. What does the rise of Wipro teach you about the nature
of the global economy in the first decade of the 21 st century?
Answer:
Expand, contract, merge based on world wide competitiveadvantage.
Obtain high and increased return on invested capital.
Manufacturing in those countries where it finds the greatestcomparative advantage.
Innovation as a key business driver
Inorganic growth strategy for getting deeper domain expertise ,adding new service lines and fuelling rapid growth
Quality management system for high quality standards Low cost service by efficiently managing the resources
Excellent corporate work culture by designing various programs for building strong corporate environment