Salil Parekh: Infosys new CEO Salil Parekh will unveil road map in April
BENGALURU: When Nandan Nilekani rejoined Infosys in August, as chairman, he said he wanted to make Infosys boring (read: Keep it out of constant media scrutiny and controversies). He seems to be succeeding.
On Friday, the results announced for the third quarter was largely along the expected modest lines. And even though it was new CEO Salil Parekh‘s first media engagement, there appeared to be very little to excite most people. Nilekani and Parekh stuck to stock answers, and revealed little about how the company hopes to regain the ground it is losing to the likes of Accenture and Cognizant.
This is partly understandable, considering Parekh joined less than two weeks ago. Parekh said he would build on the strategy refresh initiated by Nilekani in the four dimensions of market opportunity, client relationships, employees, and service portfolio rejuvenation. He said he would interact with clients, employees and partners over the next two or three months and then start to build strategic priorities and the road map. “The answers will emerge from those interactions. It is not a preconceived view of what is appropriate,” he said. This exercise will conclude in April.
Parekh comes from a strong consulting background in Capgemini, and in response to questions about Infosys’ consulting capabilities, he said the “more we have a strong consulting business, the more we can connect with business buyers,” instead of only CIOs (chief information officers, who are responsible for the IT systems of enterprises). Accenture’s strong performance in recent times is seen to be the result of its robust consulting capabilities, something seen to be critical in today’s times when a whole new set of digital technologies have emerged.
Infosys’ revenue in Q3 was $2.8 billion, up 5.8% in constant currency compared to the corresponding quarter in FY17. That was lower than TCS‘ 6.2%.
The company’s net profit soared 45% to $796 million, helped by tax benefits from the firm’s deal with the US’IRS.