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 Home > V & D 100 > 6. Wipro Ltd
  V & D 100
6. Wipro Ltd
Wipro the single window-shop, made Rs 1,044.61 crore in the financial year 2000-01.
Sunday, July 15, 2001

Factsheet

CEO: Azim Premji
Year of Start-up: 1981
Area of Operation: Systems integration, communication software, Internet, and projects
Address: Doddakannelli, Sarjapur Road, 
Bangalore-560 001
Tel: 080-8440011
Fax: 080-8440212
Web site: www.wipro.com   

SWOT

STRENGTH
  • One-stop solution shop for hardware, software, and services with the capability to address the convergence technologies area.

WEAKNESS

  • Big organization

OPPORTUNITY

  • Global opportunity

THREAT

  • Shy of creating wealth for employees

Through its two arms—Wipro Infotech and Wipro Technologies—Wipro Ltd has been consolidating its communications-oriented business. During FY2000-01, its business in communications grew to Rs 1,044.61 crore from a base of Rs 586.13 crore in 1999-00. Though the cash cow for its business has been Wipro Technologies with the communication-oriented revenue of Rs 725.29 crore, Wipro Infotech was no less a performer. With annual revenue of Rs 282.77 crore in enterprise networking solutions and services, this group has been the largest network integration player in the country. A status which it has been enjoying since the last five years, come what may—new technology and solutions or increased number of players.

The success for Wipro comes on account of it being at the core of "network platform centric" development and its positioning as a single-window shop for various solutions. And its ability to transform and realign its businesses to suit the market of technologies. For instance, Wipro Infotech, over the last four to five months, has repositioned itself as a services solutions provider for the Asia-Pacific region and accordingly realigned its business to address five lines of business—software development and services in Asia-Pacific, the products business, the solutions business, the value-added and networking communications business, and the services offering consisting of Facilities Management (FM), NI and Integrated Communication (IC), enterprise management services, call centers, and availability service practices. Further, the erstwhile WiproNet’s business, which did revenue of Rs 36.55 crore, got integrated with Wiprotech. This strategy has seen that the business from FM was around Rs 25 crore, the NI&CI was Rs 50 crore, the availability services over Rs 100 crore, and the value-added services over Rs 36.55 crore.

Undoubtedly, Wipro Infotech is the king of projects. It has done over 200 projects. A look at its revenue sharing says that it is strong in manufacturing, banking and finance, telecom & ISP, the IT sector, and in government too. The contribution to its total revenue pie from these horizontals has been 12, 29, 20, 27, and 10 percent, respectively. The success for Wipro comes as it makes its move from the software as well as the hardware side. And the restructuring it has effected definitely has one advantage: besides the toplines, the bottomlines would go up, too. Wipro Technologies, tapping the overseas potential, through its technology solutions, accounted for 50 percent of the total revenues of Rs 1,769 crore. The three practices under R&D services, the telecom and internetworking, embedded systems and Internet access, and telecom and Internet service providers practices, fetched it revenue of Rs 530.70 crore, Rs 159.21 crore, and Rs 35.38 crore. And this line of business holds a bright future.

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