Presentation By :

Sheryl Susan John: 94

Soumya Malkani: 99
Ujjwal Deep Rai : 110
Vikas Chugh : 114
Vishal Godawat : 116
HISTORY

●
HCL is a $5 billion leading global Technology and IT
Enterprise
●
Founded in 1976- Shiv Nadar as microcomp.
●
1978-developed the first indigenous micro-computer

1980-introduced bit sliced, 16-bit processor based

HCL
●

micro-computer.
●
1986, HCL became the largest IT company in India

●
1988-introduced fine grained multi-processor
Unix.
●
1991-HCL-Hewlett Packard Ltd. was formed
 1997-HCL Infosystems was formed. In
●

H the same year HCL ventured into

software services

C 1999-HCL Technologies Ltd issued an

●

IPO and became a public listed company.

2001-HCL BPO was incorporated and

●

L HCL Infosystems became the largest

hardware company.
HCL TECHNOLOGIES
 Founded in 1999
 Vineet Nayar - CEO
 HCL Technologies, along with its subsidiaries, had
consolidated revenues of US$ 2.3 billion (Rs.
11,270 crores), as of 30 Sept. 2009 and employed
54,443 workers
 Focuses on 'transformational outsourcing',
underlined by innovation and value creation, and
offers integrated portfolio of services
VINEET HCL NAYAR
 VINEET NAYAR
CEO, HCL Technologies
 Instituted several radical programs
 "Employee First"
 “Blue Ocean”
 “Direction”
 Fortune Magazine has articulated his leadership
style as "The World’s Most Modern Management"
BRIEF INTRODUCTION

 Change is the only constant

 Incidents lead to change and vice versa
 Motto of change management
“Not every change is an improvement, but every
improvement is a change
DEFINATION OF CHANGE
 Implies making an essential difference often amounting to
loss of original identity or substitution of one thing with
the other

LAWS OF CHANGE
 Achieving change of any significance, within an
organization is inversely proportional to the success that it
has had upto the time management feels a change is
needed.
HOW DO WE KNOW WHEN THINGS HAVE CHANGED

 All changes require energy – energy exchanged at

interface (boundary between regions of different
properties)
 Time has to pass
 In order to see change, need to know what is was
like before – it is changing RELATIVE TO
THE FRAME OF REFERENCE
RESTRUCTURING HCL

HCL Technologies’ Blue

Print
NAYAR’S BLUE PRINT STRATEGY

Get its house in order

Strategic partnerships

Business model to sustain exponential growth

MISSION STATEMENT

Mission ●
To provide world-class information
technology solution and services to enable

statement
our customers to serve their customers better

Quality ●
Deliver defect-free products, services and
solutions to meet the requirements of our external

Policy
and internal customers,the first time, every time
APPLYING THE 7 ESSENTIALS

Essential #2 Exploit a High-Growth Market Segment

●

●
Redefining the Value Proposition—On
Essential # 1
the Lookout for a Breakthrough

Marquee Customers Shape HCL’s

●
Essential #3
Revenue Powerhouse
Essential #4
Leverage Big Brother Alliances in
●

Order to Break into New Markets

Essential # 5
●
Become the Masters
of Exponential Returns
 ●
The Management Team: Inside-
Essential #6 Outside
●
Leadership

Essential # 7
●
The Board: Comprised
of Essentials Experts
BLUE OCEAN STRATEGY
 written by W. Chan Kim and Renée
Mauborgne(2005)
 A “red ocean” refers to a saturated market with
fierce competition
 a “blue ocean” is new markets untouched by
competition.
 The aim of this strategy is to create a new market
space, making the competition irrelevant.
HCL AND BLUE OCEAN STRATEGY
 The four pronged approach
Service innovation,
Pricing innovation,
Creation of new markets and
Technology Innovation

 Dominate in uncontested market spaces & differentiate in crowded ones

Geography:
Differentiate: USA, UK
Dominate : Continental Europe, Asia Pacific, Australia,Japan,
Newzealand
Size:
Differentiate: Global 500
Dominate: Companies with revenues between $1 billion and $10 billion
BLUE OCEAN IN ACTION

 Acquisition of UK-based SAP consulting  company,

AXON Group plc
 Partnership with Celestica Inc.
 Deals like Autodesk and EXA
 Infrastructure management services (IMS)
 Identify micro verticals within verticals
Boeing’s ‘Dreamliner’ project
Alenia Aeronautica
EMPLOYEE FIRST CUSTOMER SECOND
EMPLOYEE FIRST, CUSTOMER SECOND
 One man’s initiative turned around an
entire organization
 Transformed the organization from
autocratic to employee centric
 Laid main focus on creation of more
engaged employees
STEPPING STONES

 Smart Service Desk

 360 Degree Feedback
 Opinion Polls
 Directions
 U & I initiative
 CEO’s blog
 Natasha
 iGen
 Innovation @ HCL
 Rewards and Recognitions
 O2
RECESSION AND HCL
Even in the face of adversity, did not lose
sight of their main mission – employee
first(No HCLite to be left behind)
No layoffs for business reasons

Various cost cutting measures adopted

 Travel costs cut down
 Paper cups replaced

 Work Timings adhered to more strictly

 Wise usage of electricity

 A/C cabs provided only during summers

 Salary increments only for “Outstanding” and

“Exceeds most expectations” ratings
Expenses on beautification cut down

Stopped giving Snacks coupon

Stopped serving the bottles of water

THE LONG VIEW: GROWING THROUGH A RECESSION

 Write their contracts with flexible provisions

 Nayar believes the way out of the recession is in
aggressively increasing investment, opening new
offices, and offering new services
 Stepping on the acceleration
 Focus on long term by expanding its
infrastructure and expanding its talent base
 HCL was presented the prestigious 'Readers
Award‘
 ranked 3rd amongst the 100 best global IT
service provider companies 
 It is the "Employee First Customers Second"
philosophy, which placed HCL on top this year
right from the fifth position last year.
 Under his leadership, HCL Technologies has made
it to the fastest growing "Business Week Top 100
Tech companies" (2007).
 Vineet is being recognise as "the most cohesive
and articulate vision" in the IT services sector.
 Vineet has held leadership positions in sales and
strategic marketing, and was the CEO of the
infrastructure business before he took on his
present role.