Infosys® Technologies Ltd.
Infosys® Technologies Ltd.: Growing Share of a Customer’s Business
James A. Narus
D.V.R. Seshadri*
March 2004
*
James A. Narus is Professor of Business Marketing, Babcock Graduate School of Management, Wake Forest University in the U.S.A. D.V.R. Seshadri is Visiting Professor at Indian Institute of Management Bangalore, India. We gratefully acknowledge the significant contributions of Infosys executives and managers in providing case information.
CASE QUESTIONS TO ADDRESS 1. Looking beyond the immediate Ariba e-Procurement System project, what challenging issues related to global marketing does this case pose for Infosys? 2. What quantifiable cost savings not specified in project contracts has Infosys delivered to PFS during the past five years? 3. What “knowledge transfer time” cost savings can PFS expect from sole sourcing the Ariba e-Procurement System project? 4. How can Infosys’ PFS Account Team persuasively sell the firm’s ability to deliver a superior end-to-end solution for the Ariba e-Procurement System project?
2
Infosys® Technologies Ltd.: Growing Share of a Customer’s Business
“In summary, we encourage Infosys to compete for the customization, installation, and maintenance of a JAVA-based Ariba® e-Procurement system here at Prairie Four Square (PFS) Insurance,” stated PFS Chief Information Officer (CIO) Robert Peters. “As part of this project, you would work not only with our information technology (IT) group on internal system tasks but also with our purchasing department to select and certify vendors, standardize all product codes and order processing procedures, and integrate certified vendors‟ billing processes with our accounts payable systems. Be aware that you will be competing head-to-head with two leading IT consulting firms; so, you will have to demonstrate that you can handle all aspects of the project in a superior manner. Furthermore, given our CEO‟s drive to cut costs significantly, I urge you to „sharpen your
James A. Narus
D.V.R. Seshadri*
March 2004
*
James A. Narus is Professor of Business Marketing, Babcock Graduate School of Management, Wake Forest University in the U.S.A. D.V.R. Seshadri is Visiting Professor at Indian Institute of Management Bangalore, India. We gratefully acknowledge the significant contributions of Infosys executives and managers in providing case information.
CASE QUESTIONS TO ADDRESS 1. Looking beyond the immediate Ariba e-Procurement System project, what challenging issues related to global marketing does this case pose for Infosys? 2. What quantifiable cost savings not specified in project contracts has Infosys delivered to PFS during the past five years? 3. What “knowledge transfer time” cost savings can PFS expect from sole sourcing the Ariba e-Procurement System project? 4. How can Infosys’ PFS Account Team persuasively sell the firm’s ability to deliver a superior end-to-end solution for the Ariba e-Procurement System project?
2
Infosys® Technologies Ltd.: Growing Share of a Customer’s Business
“In summary, we encourage Infosys to compete for the customization, installation, and maintenance of a JAVA-based Ariba® e-Procurement system here at Prairie Four Square (PFS) Insurance,” stated PFS Chief Information Officer (CIO) Robert Peters. “As part of this project, you would work not only with our information technology (IT) group on internal system tasks but also with our purchasing department to select and certify vendors, standardize all product codes and order processing procedures, and integrate certified vendors‟ billing processes with our accounts payable systems. Be aware that you will be competing head-to-head with two leading IT consulting firms; so, you will have to demonstrate that you can handle all aspects of the project in a superior manner. Furthermore, given our CEO‟s drive to cut costs significantly, I urge you to „sharpen your