HCL INFOSYSTEMS

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HCL Infosystems

CHAPTER 1

1.1 BACKGROUND OF THE STUDYInformation technology, and the hardware and software associated with the IT industry, are an integral part of nearly every major global industry. The information technology (IT) industry has become of the most robust industries in the world. IT, more than any other industry or economic facet, has an increased productivity, particularly in the developed world, and therefore is a key driver of global economic growth. Economies of scale and insatiable demand from both consumers and enterprises characterize this rapidly growing sector. The Information Technology Association of America (ITAA) explains 'information technology' as encompassing all possible aspects of information systems based on computers. Both software development and the hardware involved in the IT industry include everything from computer systems, to the design, implementation, study and development of IT and management systems. Owing to its easy accessibility and the wide range of IT products available, the demand for IT services has increased substantially over the years. The IT sector has emerged as a major global source of both growth and employment.

1.1.1

OBJECTIVES OF THE STUDY

The primary objective of this Internship program is to gain firsthand experience and exposure as to how the organization functions, the profile of the organization, the various departments present in the organization and also to conduct a complete organizational study in order to gain industrial exposure.

M P Birla Institute Of Management

Page 1

HCL Infosystems 1.1.2 SCOPE OF THE STUDY The scope of the study is limited to the information supplied by the department heads and the information collected from the companies formal copies. The information collected is limited to the academic knowledge during the study of the organization.

1.2 INTRODUCTION TO THE COMPANYIn 1976, Shiv Nadar, Arjun Malhotra, Subhash Arora, Badam Kishore Kumar, T.V Bharadwaj & Arun Kumar H started Microcomp Limited. The focus of the company was design and manufacturing of scientific calculators. The venture provided its founders money to start a company that focused on manufacturing computers. In the earlier HCL stands for Hindustan Computers Limited but now HCL is only one name. HCL received support from the Uttar Pradesh government to setup manufacturing in Noida. HCL is a leading Global Technology and IT Enterprise with annual revenues of over US$ 6 billion. The HCL Enterprise comprises two companies listed in India, HCL Technologies and HCL Infosystems. HCL Infosystems Ltd is one of the pioneers in the Indian IT market, with its origins in 1976. For over quarter of a century, HCL has developed and implemented solutions for multiple market segments, across a range of technologies in India. HCL has been in the forefront in introducing new technologies and solutions. The 3 decade old enterprise, founded in 1976, is one of India's original IT garage start ups. Its range of offerings span R&D and Technology Services, Enterprise and Applications Consulting, Remote Infrastructure Management, BPO services, IT Hardware, Systems Integration and Distribution of Technology and Telecom products in India. The HCL team comprises 80,000 professionals of diverse nationalities, operating across 26 countries including 500 points of presence in India. HCL has global partnerships with several leading Fortune 1000 firms, including several IT and Technology majors.M P Birla Institute Of Management Page 2

HCL Infosystems The success of HCL can be measured with its presence in number of sectors like healthcare, financial services, retail, travel, securities, media, and travel among others. HCL Infosystems is India's premier information enabling company. Leveraging its 3 decades of expertise in total technology solutions, HCL Infosystems offers value-added services in key areas such as system integration, networking consultancy and a wide range o f support services. HCL Infosystems is among the leading players in all the segments comprising the domestic IT products, solutions and related services, which include PCs, Servers, Office Automation, Networking Products, TV and FM Broadcasting solutions, communication solutions, System Integration, Digital lifestyle Solutions and Peripherals. HCL Infosystems manufacturing facilities are ISO 9001 - 2000 & ISO 14001 certified and adhere to stringent quality standards and global processes. It has been consistently rated as Top player in PC industry by IDC. The Channel Business of HCL Infosystems has an extensive network of over 3000+ resellers across 800 locations.

M P Birla Institute Of Management

Page 3

HCL Infosystems

1.3 INDUSTRY PROFILE

IT INDUSTRY, INFORMATION TECHNOLOGY INDUSTRY Information technology, and the hardware and software associated with the IT industry, are an integral part of nearly every major global industry. The information technology (IT) industry has become of the most robust industries in the world. IT, more than any other industry or economic facet, has an increased productivity, particularly in the developed world, and therefore is a key driver of global economic growth. Economies of scale and insatiable demand from both consumers and enterprises characterize this rapidly growing sector. The Information Technology Association of America (ITAA) explains information technology' as encompassing all possible aspects of information systems based on computers. Both software development and the hardware involved in the IT industry include everything from computer systems, to the design, implementation, study and development of IT and management systems. Owing to its easy accessibility and the wide range of IT products available, the demand for IT services has increased substantially over the years. The IT sector has emerged as a major global source of both growth and employment. Information Technology (IT) Information Technology Industry in India is one of the fastest growing industries. Indian IT industry has built up valuable brand equity for itself in the global markets. IT industry in India comprises of software industry and information technology enabled services (ITES), which also includes business process outsourcing (BPO) industry. The origin of IT industry in India can be traced to 1974, when the mainframe manufacturer, Burroughs, asked its India sales agent, Tata Consultancy Services (TCS), to export programmers for installing system software for a U.S client. The IT industry originated under unfavorable conditions. Local markets were absent and governmentM P Birla Institute Of Management Page 4

HCL Infosystems policy toward private enterprise was hostile. The industry was begun by Bombay-based conglomerates which entered the business by supplying programmers to global IT firms located overseas. During that time Indian economy was state-controlled and the state remained hostile to the software industry through the 1970s. Import tariffs were high (135% on hardware and 100% on software) and software was not considered an "industry", so that exporters were ineligible for bank finance. Government policy towards IT sector changed when Rajiv Gandhi became Prime Minister in 1984. His New Computer Policy (NCP-1984) consisted of a package of reduced import tariffs on hardware and software (reduced to 60%), recognition of software exports as a "delicensed industry", i.e., henceforth eligible for bank finance and freed from license-permit raj, permission for foreign firms to set up wholly-owned, export-dedicated units and a project to set up a chain of software parks that would offer infrastructure at below-market costs. These policies laid the foundation for the development of a world-class IT industry in India. The Indian Information Technology industry accounts for a 5.19% of the country's GDP and export earnings as of 2009, while providing employment to a significant number of its tertiary sector workforce. More than 2.5 million people are employed in the sector either directly or indirectly, making it one of the biggest job creators in India and a mainstay of the national economy. In 2010-11, annual revenues from IT-BPO sector is estimated to have grown over US$76 billion compared to China with $35.76 billion and Philippines with $8.85 billion. India's outsourcing industry is expected to increase to US$225 billion by 2020. The most prominent IT hub is Bangalore. The other emerging destinations are Chennai, Hyderabad Coimbatore, Kolkata, Kochi, Pune, Mumbai, Ahmadabad, and NCR. Technically proficient immigrants from India sought jobs in the western world from the 1950s onwards as India's education system produced more engineers than its industry could absorb. India's growing stature in the Information Age enabled it to form close ties with both the United States of America and the European Union. However, the recent global financial crisis has deeply impacted the Indian IT companies as well as global companies. As a result hiring has dropped sharply and employees are looking at different sectors like the financial service, telecommunications,M P Birla Institute Of Management Page 5

HCL Infosystems and manufacturing industries, which have been growing phenomenally over the last few years. India's IT Services industry was born in Mumbai in 1967 with the establishment of Tata Group in partnership with Burroughs. The first software export zone SEEPZ was set up here way back in 1973, the old avatar of the modern day IT Park. More than 80 percent of the country's software exports happened out of SEEPZ, Mumbai in 80s. Each year India produces roughly 500,000 engineers in the country, out of them only 25% to 30% possessed both technical competency and English language skills, although 12% of India's population can speak in English India developed a number of o

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