A Case Study on Infosys Technologies Ltd,

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#  “Source: www.infosys.com”

A Case Study on Infosys Technologies Ltd,

“On Its Business Strategy-IT Alignment” 

1.0        Abstract

This paper discusses about the company, Infosys and its Business-IT Alignment.

I further explored how important it is for the organization before reviewing details of the company’s business objectives, goals, vision and business strategy. The company’s IT structure and what  its capabilities are and whether it is aligned with its business strategy was a paramount goal of this study.

The data collected from primary and secondary sources was analyzed by using the strategic alignment framework proposed by Luftman and Brier. Results from my analysis indicated that the IT alignment at Infosys is at an optimum level.

Among the main reasons for this achievement is the personal involvement of its founder and Chairman,    Mr. Narayana Murthy, in its IT-Business alignment efforts. Arising from the positive effort by senior management, the main key enablers for this company are their efficient management skills and constant development of information systems within the company to complement its strategies to be a market leader.

In concluding this study, I agree with Luftman’s and Brier’s findings that IT strategies are just as important as business strategies and it should be aligned for any company to succeed in a competitive environment.

Table of Contents

Table of Contents

List of Figures

  1. Strategic Alignment as a Process                                                                 8
  2. Luftman’s Theory on Top-10 Concerns of Organizations                                                9
  3. Luftman & Hunter ( July 2005 ) Theory on IT-Portfolio Assessment                                        9
  4. Luftman, Hunter ( July 2005 ), On Value Management                                                        10
  5. Infosys Revenue Growth from “1999 to 2007”                                                        15
  6. Core Business Objectives                                                                        17
  7. Infosys Business Process                                                                        18
  8. General Diagrammatical GDM Approach                                                                19
  9. Streategic Alignement Model                                                                        20
  10. Process Structure                                                                                21
  11. Organization Structure of Infosys                                                                26
  12. Scalable layered IT architecture promoted by the Infosys IS department                                         27
  13. The relationship among different IT architectural aspects of Infosys                                        28
  14. A Sample of Infosys’s IT components across the Enterprise IT Architecture stack                                 29
  15. The legacy and present enterprise data architecture at Infosys                                                30
  16. BI environment high-level architecture                                                                31

Table of Contents

  1. Governance compliance checks in Infosys                                                        33
  2. IT Effectiveness Framework in Infosys                                                                34

List of Appendix

  1. Key Security Categories                                                                        39
  2. Interview With Infosys Employee                                                                40
  3. SAN Architecture in Infosys                                                                        42

List of Tables

  1. Most Common Outsourcing Models Used By Companies Worldwide                                        13

List of Abbreviations

IT        -         Information Technology

TCO         -         Total Cost of Ownership

ODC         -         Offshore Development Center

GDM         -         Global Delivery Model

COTS         -        Commercial off-the-shelf

HR        -         human Resources

OLTP        -        Online transaction processing

SAN         -         storage area network

BI         -         business intelligence

ICRA         -         Internet Content Rating Association

CGR         -          Certified Graduate Remodeler

CRISIL         -         Credit Rating and Information Services of India Ltd

SEI         -          

CMM         -         

ISO         -         International Standards Organization

2.0        Introduction

The paper discusses on organizations Business Strategy, IT Alignment and its Governance mechanism and how is it supporting to its requirements.

I have chosen Infosys Technologies LTD, Bangalore, INDIA, Which is a Technology Consulting and Services company for the above purpose. Reasons for choosing this company are its robust structure and its urge to become the top global company in the world.

The company’s progress in the past years shows the companies effectiveness in terms of growth through Organic and In-Organic methods to meet its goals.

3.0        Literature Review

According to Jerry Luftman and Tom Brier (1999), in the recent decades, billions of dollars have been invested in IT and a key concern of business executives is alignment that is applying IT in an appropriate and timely way and in harmony with business strategies, goals and needs.

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The authors state that the importance of alignment has been well known and documented since the late 1970’s and the importance of alignment grows as companies strive to link businesses and technology in light of dynamic business strategies and continuously evolving technologies.

While alignment is discussed extensively from a theoretical point of view the author says that there is no empirical evidence regarding the appropriate route for aligning business and IT strategies. As alignment of an IT strategy with their business is the fundamental principle that has been advocated form time to time.(Refer # Figure - 2)

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