Infosys

Infosys was ranked number 3 on 2019 Forbes. Infosys started in the year 1981 in Pune. N. R. Narayana Murthy, Nandan Nilekani, S. Gopalkrishna, S. D. Shibulal, K. Dinesh, N. S. Raghavan, Ashok Arora started this company. All of them were ex-employers of Patani Computers Systems that is PCS. All the co-founders of Infosys knew coding and all had enough work experience in IT companies. In 1975, the demand for customized software began to increase, and seeing these as a big opportunity they thought of establishing Infosys. Infosys started with Rs.10,000/- which Narayan Murthy borrowed from his wife Sudha Murthy. Sudha Murthy had saved that money from her salary. Mr. Murthy’s house became the first office for Infosys. Till 1983 Infosys didn’t have any computer, in 1983 first computer of Infosys arrived. Before the liberalization of 1991, business in India was a very difficult task, business had a very unfriendly environment in India. For registration of the company, importing technological materials or machinery from different countries, used to be a very long procedure. To import a computer, it used to take a minimum of 2-3 years, by comparing it with today’s business world to the past, we could easily make out how difficult it was to grow a business before. Even after facing such difficult situations, they never gave up. In 1983, Infosys shifted from Pune to Bangalore. At that time Infosys was new as an IT company and they weren’t that well known in the US market and therefore, they joined franchisers with Kurt Salmon Associates. After going well for some years in 1989 this joined franchiser broke. Due to this collapse, Infosys again came back to the same state from where they began. At such time Infosys’s co-founder Ashoka Arora left the company. At that time, Mr. Murthy made clear to everyone that if anyone wants to leave the company, they can leave now but, “I’m going to stay at Infosys and make this business grow”. At that time, they had a very little amount of money and even the revenue that they use to receive was very low. So, Mr. Murthy and other co-founders of Infosys started to control their expenses and tried to keep it at the minimum, they use to halt in those hotels where charges are less, sometimes they use to travel by bus or sometimes by walking. The friends of their age had owned houses, cars and were well-settled and yet the co-founders of Infosys were still at the start. Slowly but gradually the business of Infosys started to grow. After the liberalization of 1992, the company started to grow rapidly. In 1993 Infosys had registered for IPO (Initial Public Offering), Infosys’s IPO was undersubscribed. Morgan Stanley purchased 13% of the company's stakes and belled out the company. On listing day Infosys stock was opened at a 60% premium. In 1993, when Infosys was listed in stock exchange list that time its revenue was 5 million dollars, in 1999 the revenue of Infosys went above 100 million dollars, in 2004 its revenue was above 1 billion dollars and in 2017 it was above 10 billion dollars, at this time around it had 200 employees. Nasdaq is an American stock exchange; Infosys was the first Indian IT company to get listed on Nasdaq. In India, Infosys was the first to introduce ESOP (Employee Stock Ownership Plan), due to ESOP employees are able to purchase shares of the company due to this, later, more than 18,000 employees of Infosys became millionaires. Today more than 2,00,000 employees work in Infosys. The company which started with Rs.10,000/- now has a market capitalization of 3,00,000 Crore. In the financial year, 2018 Infosys’s profit was about 16,000 Crore. Infosys is now one of the best companies in India. In today’s date, Infosys has more than 50 offices and development centers all over the world. Infosys’s Indian headquarters is in Bangalore and U.S headquarters is in Fermont, California. After TCS, Infosys is the largest IT company in India. The money, Rs.10,000/- invested in 1993 is worth 2.5 Crore in 2018. To improve the education system of India Infosys established the world’s biggest corporate university ‘The Infosys Global Education Centre’ in Mysore. In 1996, Infosys started the ‘Infosys foundation’ through which they helped in rural development, provided healthcare and education for the unprivileged. Mr. Narayan Murthy is been awarded the Padma Shree award in the year 2000 and in 2008, the Padma Vibhushan award. Also, before starting Infosys Mr.Murthy started a company named Softronics but that failed. Even after facing so many hurdles Mr.Murthy and other founding members never gave up and at last, they achieved the peak.