Infosys Ltd is planning to set up a separate company focused on IT products, platforms and intellectual property-driven solutions. Infosys has so far built its global reputation on providing IT services to international firms. The move to establish this new company represents a focused shift to a higher value business.
The products and platforms effort is part of the ‘Infosys 3.0‘ strategy under which it intends to transform from a technology solutions company to a business solutions firm. It recently structured the company under three service lines.
The first is transformation , which includes ‘Change-the-business‘ initiatives like package implementation and consulting. The second is business operations, which includes ‘run-the-business ‘ initiatives like application development & maintenance, testing and BPO. And the third is innovation, including products and platforms.[source]
Subhash Dhar, the head of business innovation at Infosys said:
[advt]”We are discussing several options to set up this new company to house innovations . One of these is to make an acquisition of an existing company that is involved in areas where Infosys is looking to innovate. These areas include fast growing practices such as cloud computing, mobility and sustainability. The other option is to create a new company. Employees at Infosys who are already involved on the innovation side, which includes products and platforms, would move to this new firm.
The new company would provide a start-up kind of environment. Product-driven companies require a culture and DNA that nurtures out-of-the-box thinking, the way start-ups do. This culture is very different from what prevails in large firms, which tend to get tied down by processes and bureaucratic procedures, and in IT servicefocused firms, which does not involve much risk-taking”.