India’s fourth largest software services firm HCL Technologies Ltd is eyeing ‘innovation through digitalisation’ in the Indian market as part of its strategy to expedite move towards driving technology enabled services.
From Industry perspective, the Noida-headquartered company said banking and financial services are beginning to come out of some challenges they had and the company’s investment more in terms of ‘systems of innovations’ as opposed to ‘systems of records’ where they had spent money in terms of security and compliance are impending out of the services.
“However there is a trend of more ‘insourcing’ in the financial service industry to the extent that they are setting up capitals in many cities in India particularly in Pune, Hyderabad, Chennai and Bengaluru”, said Ajit Kumar, President Applications and SI Services Delivery.
Interacting with UNI over plans in Indian market, Mr Kumar said, “We are going to be selective about what deals we go after. One of the parameters is likely the profitability of these deals. Risks and rewards are not commensurate. Rewards by executing the project do not reflect the amount of risks and these are factored into overall guidance in India’s growth”.
The company also feels that at one hand when there is an increase trends towards driving more innovation through digitalisation but on the other there is a headwind towards insourcing and captives of which many of these- the banks and financial institutions are embarking on is partly driven by regulatory consideration they had outsourced way too much of their activities to the extent that regulators felt they have lost control over business.
