Company Profile

54

Introduction
HCL Info systems Ltd are one of the pioneers in the Indian IT market, with its origins in 1976. For over quarter of a century, we have developed and implemented solutions for multiple market segments, across a range of technologies in India. We have been in the forefront in introducing new technologies and solutions. The highlights of the HCL saga are summarized below:
Foundation of the company was laid in the year 1976 microcomputer-based programmable Launch of the first microcomputer-based commercial computer with a ROM -based Basic HCL launches an aggressive advertisement campaign with the theme ' even a typist can operate' calculators with wide acceptance in the scientific / education community in the same year. interpreter in 1977 to make the usage of computers popular in the SME (Small & Medium Enterprises) segment. This proposition involved menu-based applications for the first time, to increase ease of operations. The response to the advertisement was phenomenal in 1983. Bank trade unions allow computerization in banks. However, a computer can only run one In the same yearALPM (Advanced Ledger Posting Machines). The team uses reusable code to application such as Savings Bank, Current account, and Loans etcin 1985. reduce development efforts and produce more reliable code. ALPM becomes the largest selling software product in Indian banks. Purchase specifications demand the availability of RDBMS products on the supplied solution HCL enters into a joint venture with Hewlett Packard in 1986 (Unify, Oracle). HCL arranges for such products to be ported to its platform.

In 1991, HCL establishes a Response Center for HP products, which is connected to the HP Response Center in Singapore. Sets up the STP (Software Technology Park) at Chennai to execute software projects for international customers in 1996.
In 1997 Kolkata and Noida STPs were set up

HCL acquires and sets up fully owned subsidiaries in USA and UK in 1999. Sets up fully owned subsidiary in Australia in the year 2000. HCL ties up with Broad vision as an integration partner in 2000. Bags Award for Top PC Vendor in India.

54

 Becomes the 1st IT Company to be recommended for latest version of ISO 9001: 2000. Bags MAIT's Award for Business Excellence. Rated as No. 1 IT Group in India. HCL Info systems & Sun Microsystems enter into a Enterprise Distribution Agreement. Realigns businesses, increasing focus on domestic IT, Communications & Imaging products, solutions & related services. First Indian company to be numerous undo in the commercial PC market. Enters into partnership with AMD in 2003. Launches Infiniti Mobile Desktops on Intel Platform. Launched Infiniti PCs, Workstations & Servers on AMD platform. HCL Info systems' Info Structure Services Division received ISO 9001:2000 certification. Ist announces PC price cut in India, post duty reduction, offers Ezeebee at Rs. 17990. IDC India-DQ Customer Satisfaction Audit rates HCL as No. 1 Brand in Desktop PCs. Maintains No. 1 position in the Desktop PC segment for year 2003. Becomes the 1st company to cross 1 lac unit milestone in the Indian Desktop PC market Partners with Union Bank to make PCs more affordable, introduces lowest ever EMI for PC in India. In 2004 HCL registers a market share of 13.7% to become No. 1 Desktop PC company for year 2004. In the same year HCL crossed the landmark of $ 1 billion in revenue in just nine months.

54

About the products

I.

Business PCs

The marketplace is constantly changing in terms of consumers, competition and strategies to garner market share. Almost all aspects of your business are ever evolving. The only change over the past few years is that the pace of change has accelerated! In fact, it is increasing even as you read this.Information Technology (IT) changes accordingly, perhaps even faster. What is vital is that the decisions you make today need to have the capacity to address situations for at least the next three years and the changes that are commercial desktop segment in India, ahead of competition The all-new Beanstalk Series, where performance is rivaled only with elegance of design. You get superior technology and great value for money, all fused into one. It comes with the superspeed Intel processor, plus SD RAM and Ultra ATA Hard Disk that gives it incredible speed. The new Toshiba Protg A100 that lets you enhance your mobile lifestyle with its attractive Pearl White Design and Intel Centurion mobile technology. Check it out! The new range of HCL Home PCs with futuristic technology, amazing performance at unbelievably attractive prices.

54

54

The HCL Beanstalk comes equipped with the lightening fast Intel Pentium 4 processor which means you can now get mind blowing multimedia performance from your computer. With its high performance processor, it brings you the internet like no other computer can. So get ready to experience 3D graphics, virtual reality and realistic audio-video, like never before. The HCL Beanstalk with Intel Pentium 4 processor. the center of your digital world is designed to meet not just your today's computing requirements, but also the needs of your future. So bring home the HCL Beanstalk today and stay ahead of the rest of the world HCL launches the New Beanstalk Media Center PCs. Digital Home Entertainment now at the touch of a button with a full feature remote. Check it out! HCL offers Toshibas complete range of Mobile Computing Solutions, the ultimate in style and performance. The HCL Busy bee range of PCs offers performance, with maximum returns for your Business. Home | Legal Notice | Contact.

54

The most affordable quality PC

Finally a quality, branded PC that was affordable. The launch of HCL ezeebee, revolutionized the Indian PC market. HCL with its service location all across the state and country offers customers the comfort of trouble free operation of its system, where ever they may be. All the component used in HCL ezeebee are selected from the best manufactures in the world and are tasted tomake sure they work in tropical climates.

HCL Busybee Indias largest installed business PCs

A computer system designed and configured to meet the required business computing needs. Everything with a value-loaded package that can only be made by HCL.HCL Busybee is manufactured in HCLs state-of-art ISO 9001 certified plant. NO wonder, HCL busybee has emerged as Indias largest installed business PCs.

54

Digital music player

Neopod is a digital music player that offers a whole new dimension of usefulness in the category of personal entertainment device. This sleek, compact device, not only stores thousands of titles and plays great music;but can also be used as a pocket hard drive for PC file backup, as a digital photo storage for digital camera, as a voice recorder and as a digital FM radio.

HCL Ezeebee
II. Notebook computer Experience mobility. Experience flexibility. Experience performance. With HCL Ezeebee notebooks. Backed by the reliable HCL technology, these notebooks are designed to impress. Sharp resolution for high quality images, integrated speakers and superior graphics make HCL ezeebee notebook the perfect choice to meet all your business and communication needs. sleek, smart and lightweight. Thats HCL ezeebee notebook for you.

54

HCL Beepos

Expanding business opportunities

HCL Beepos is a readily installed user-friendly application to provide the end user the power of POS.This product is designed for ruggedness, security and reliability. Beepos supports wide range of peripherals CCD Barcode scanner, Laser Barcode scanner, customer pole display, thermal printer, programmable keyboard, etc.Beepos supports programmable keyboard which can be customized as per user requirement.

54

Guiding principles
Vision & mission

VISION STATEMENT
"Together we create the enterprises of tomorrow".

MISSION STATEMENT
"To provide world-class information technology solutions and services to enable HCLs customers to serve their customers better".

QUALITY POLICY
"We deliver defect-free products, services and solutions to meet the requirements of HCLs external and internal customers, the first time, every time".

54

India, a Global HCL Super Power

The Indian computer hardware industry has growing at a rate of over 30 per cent annually for the past few years As the first table above shows, domestic manufacture has been increasing, but so also have imports. The locally manufactured computers cater to low-end applications while the imported computers continue to facilitate CAD, CAM, CASE, multi-media, and other high-end applications. Indian computer hardware and peripherals industry segments are dominated by U.S. joint ventures and suppliers. HCL in collaboration with Tatas, Hewlett Packard in association with HCL Limited, Digital Equipment Corporation with Hinditron Group, Silicon Graphics with Tatas, (just to mention fHCLs major joint ventures) manufacture computer hardware for the domestic and export markets. Compaq, Silicon Graphics, and Dell have opened offices to sell their computers in India. Sun Microsystems and Apple distribute their products through Wipro Information Technology Limited. Most business firms in India have not computerized. Many of those who have still use outdated products such as dot-matrix printers instead of laser and ink-jet printers. As more and more international companies set up office in India, the demand for hardware will increase. The growing awareness of the case to shed fat in the public sector will call for more automated operations; this too will generate demand for computers. The prospects for both exports to, and investment in, this sector are excellent.The debate has raged on long enough and no consensus seems to be emerging. Rather, things took a turn for the worse with recent years witnessing a perceptible decline in manufacturing activity. Therefore, when a recent MAIT study, conducted jointly with Big Five firm Ernst & Young, concluded that the Indian hardware industry had the potential to reach a size of $62 billion by 2012, it not only raised many an eyebrow, but derisive laughter from skeptics.

54

Sample some salient conclusions of the study which paint a rosy future for India Hardware Inc: Indian hardware industry has the potential to grow to twelve times its existing market size, with the domestic market accounting for $37 billion and exports accounting for another $37 billion. The study has identified major export opportunities in the areas of innovative new devices, contract manufacturing and design services. The study says that component exports offers an opportunity worth $5 billion, while that of design and related services in embedded systems and wireless telecommunication services can bring in another $7 billion by 2012. Further, ambitious projections have been made in the area of contract manufacturing, which represents a $11 billion opportunity if India succeeds in capturing a share of only 2.2 percent of the global pie by 2012. MAIT officials are however quite upbeat. Says Vinay Deshpande, president of MAIT, There are fHCLs key steps which we need to take to make India a manufacturing-friendly country. Firstly, market India as a hardware destination and build a brand akin to software. Making India manufacturing-friendly through improvements in infrastructure and logistics should follow this.

54

RESEARCH OBJECTIVE
The purpose of research is to discover answers to question through the application of scientific procedure. The main aim of research is to find out the truth which is hidden and which has not been discovered as yet. Though each research study has its own specific purpose, we may think of research objectives as falling into a number of following broad groupings: To know the marketing strategies adopted by HCL ltd To see what policies HCL has adopted to capture the market and to keep its employees happy To gain familiarity with a phenomenon or to achieve new insight into studies with this object in view which are termed as exploratory or formulative research studies To portray accurately the characteristics of a particular individual, situation or a group (studies with this object in view are known as descriptive research studies) To determine the frequency with which something occurs or with which it is associated with something else(studies with this object in view are known as diagnostic research studies)

54

REVIEW OF LITERATURE

54

Marketing strategy
Marketing Strategy is nothing but a combination of decision bearing on a various aspect of marketing mix element. There are Product, Price, Place, Promotion, Process, Packaging and Personal. HCL concentrate on all aspects, thats why HCL has very good hold on Indian market. It understands the mindset of Indian customer very well because of it is a India based company. Strategy only then success when it made to according to customer need and preference. So an overview of marketing strategies, which HCL uses to continue its way behind success, is discussed here. 1. For product planning:

HCL take decision their existing product along with future products. This is the continuous process, which is done by top management of HCL. Then they research the product by research department. Research & Development Department. New product launching and product renovations is an activity which takes place continuously here. 2. Management Information System

In this step they collect the details about competitors product. They saw the pricing, features, quality, Advertisement, Packaging, and Promotion of those particular products. It is necessary to have a good Information system to understand the consumer mind batter.

54

Market Segmentation
We know that market segmentation means dividing market into distinct group of buyers with deferent needs characteristic is or behavior. Who might require separate product or marketing mixes? It refers to large heterogeneous market in to with smaller homogeneous parts in order to select any one out than in which the company thinks it can satisfy customer more effectively different product for different segmentation. There are different classes people are living HCL, like.... Lower middle class Middle class family Upper middle class family Higher class family For larger the target is fulfill by the help of advertisement and Promotional Events. Now HCL is targeting to those customers who use to see dream about it by launching its new Computer at just Rs. 9999.

54

Pricing policies
Price refers to the value of product attributes. Expressed in monetary terms with a customer plays or is accepted or affords utility. Value is referring to the quantitative aspect product relative to other product. In HCL, pricing policies of work like as under Management Information System First MIS show the price of competitors. Parallel pricing policy Bundle, marketing Profit margin

They give to Channel Partner/demo center 6-8%, And company gets X% profit. HCLs main objective is service rather then profit. No doubt there is profit but pricing policy just to meet minimum margin for getting competitive advantage against assemblers market. Company wants to maximize its profit than unit establishes higher policy its organization wants to cover the large part of the market than obligation may establish negligible profit policy. HCL believes in wealth maximization rather than profit maximization.

54

Sales Promotion
We know those sales promotion short-term incentives to encHCLsage purchase or sales of product and services. Sales promotion includes Consumer Promotion Trade Promotion Sales Force Promotion Sales promotion refers to all efforts made by the firm to promote the sales of products. In HCL for sales promotion gave special offer To end-users To institution To corporate houses

Total expenses HCL use to spend on promotional activities is just 3% of the sale. Among all tools of promotion advertisement is given prime importance by HCL. That can be seen from the above chart that more stress put on the Television Press and Outdoor media of advertisement.

54

Made-in-India strategy works for HCL

Even as everyone was all set to bury Indian PC brands, HCL Insys came out with a stellar performance last year that proved that Indian brands still had the ability to win on home turf. Theres a lot that other Indian players could learn from HCL Insys strategy in PCs and other segments. Gaurav Patra explains what this IT major got right, and analyses future prospects in the light of shifting trends in the business Just when the whole PC industry was in the throes of a recession and analysts were screaming negative growth rates, HCL Infosystems surprised quite a few when it registered a 27 percent growth rate over the last year. The company gained the No 1 PC desktop vendor ranking for the year 2001, with a market share of 8.6 percent. In fact, today it is one of the few Indian brands that continue to hold their own against the MNC brigadeZeniths the only other name that comes to mind. From a company that used to sell boxes, HCL Insys has now emerged as a leading systems integrator, selling solutions, while also offering IT services and consulting services. The HP-Compaq merger could turn out to be an advantage for HCL because one-plus-one never equals two in this business It is interesting to trace the transformation of a company that was earlier identified by the hardware tag to an end-to-end solutions provider, with interests across domains such as software, networking and consulting. A look at the strategy followed by HCL Insys throws interesting pointers for the rest of the industry. The number one tag on the PC front (with the HPCompaq deal, HCL goes back to No 2 now) has come as a result of clever marketing strategies, and aggressive expansions. HCL has always been very strong on the government front. But when things started going bad on other frontsfor instance, when the metros were showing stagnation rates, HCL Insys went ahead and expanded aggressively in B&C class cities to boost volumes. In addition, the company initiated schemes like consumer finance to lure the reluctant PC buyer.

54

Different segments

strategies

for

different

But the strategy to gain market share in difficult times and reap benefits when the industry recovers has come at a cost. For instance, industry analysts say that HCL has given massive discounts in the products business to gain market share. In addition to the PC segment, the company also took several innovative initiatives in other sectors to boost revenues. Take for instance the strategy of the company in the notebooks segment. The move to enter newer segments like education and consulting in the notebooks business has yielded great results. Proof of success lies in the fact that HCL Insys has already bagged big orders from the Indian School of Business and PricewaterhouseCoopers. The second part of the notebooks strategy has been to aggressively woo the SME segment with newer, costeffective models. The telecom business has also recorded impressive growth. For instance, the company bagged telecom equipment orders from IIT Kanpur for 5,000 lines of MD Ericsson EPBAX and 500 lines of an ADSL solution. Looking at the robust growth from this segment, the company has set up the India remote support centre for providing support services to all HCL Infosystems customers. And while there have been doubts on the long term viability of the retail ISP business, HCL Infinet, the fully-owned subsidiary of HCL Infosystems, is betting big on its technical expertise to boost revenues. Positive indications can be seen in the fact that the subsidiary has acquired 30 new corporate clients for VPN implementation. These new clients come from different verticals such as manufacturing, finance and the FMCG industry. Company officials are also betting on the VoIP segment, which has recently been opened up to ISPs for Net telephony, but there is still doubt on whether this sector will generate enough volumes for any ISP, leave alone HCL Infinet.

54

To take advantage of the boom in the call centre business, the company has also started a unit that it terms as call centre consulting. Under this initiative, the company will help prospective clients wanting to enter the call centre business with its knowledge base of hardware and systems integration, and experience in call centre operations itself.

Software services
Though the majority of HCL Insys revenues continue to come from hardware sales and related services, the relatively small software services portion could be a surprise packet for the future. The company has a good de-risking model through this segment, and has spread its business over different geographies. Going forward, the company expects 40 percent of revenues coming from the domestic and export services, about 30 percent from products and system integration and about 30 percent from software exports.

Other strategies
In line with offering competitive pricing keeping in mind the price-sensitive nature of the Indian market, HCL Insys has made significant investments in the Professional Services Organisation (PSO), the Support Services Organisation (SSO) and in its manufacturing plants at Noida and Pondicherry. The build-up of the services business (both PSO and SSO) enables HCL Insys to offer complete solutions as well as raise manufacturing volumes in line with international standards. The increasing focus on integrated enterprise solutions has also strengthened HCL Infosystems SSOs capabilities in supporting installation types ranging from single to large, multi-location orders. The SSO, which comprises of a direct support force of over 800 members, is operational at 150 locations across the country and is the largest such force in the IT business. One more important arm in HCL Insys strategy has been the Frontline division that markets national and international brands of computer systems (including Toshiba notebooks) and peripherals within the country. With its extensive network of 800 resellers across 300 cities, the division actively promotes the penetration of PCs in the home and the small office/home office (SOHO) segments.

54

HCL drives 'PC IN EVERY HOME' dream with EzeeBee Pride

For those who have been putting off their decision to buy a computer for affordability reasons, here's some great news. Keeping its commitment to truly bring IT to the masses, HCL Infosystems, India's premier information enabling and integration company, has broken the price barrier yet again, making branded PCs more affordable than ever before. Positioned as 'value for money' range, EzeeBee is the result of the company's intense efforts, led by the vision of Chairman & CEO Ajai Chowdhry, to make PC an affordable entity for the masses. With a distribution focus on smaller towns as well as the Home and SOHO users, this path breaking PC will be sold in all the HCL outlets across the country. To ensure that high quality is maintained even at a low cost, the EzeeBee Pride PC is designed for high performance. Built to boost productivity and improve response time EzeeBee Pride PC is powered by the 1Ghz processor. The multimedia and Internet capable PC comes with the standard one-year warranty has a 30GB hard-disk, 128 MB RAM, 15" color monitor, CD ROM Drive and is backed by the countrywide support network. The PC will be ideal for home users and SOHO segments, offering all the functionalities sought by this segment. It is my ultimate dream to see a computer in every Indian home. With EzeeBee, we hope to empower more and more individuals with the power of computing. We believe that the true potential of IT can be achieved only through mass IT penetration. In a country like HCLss, price is a huge deciding factor and one of the major barriers to achieving it." said The EzeeBee range has been designed and configured for use by value conscience first time users who want to enhance their IT skills. It can be used by students for educational purposes, by the entire family from learning to digital entertainment to work at home. It can even be utilized for increasing efficiency in a small to medium business. Flaunting the trademark good looks of the range, the PCs also come with optional bundles like the inkjet printer, UPS, speakers and web cams at an additional cost.The range is manufactured and tested under ISO 9001 and ISO14001 certified

54

processes. In January'04, HCL Infosystems had launched Ezeebee at sub 15k price point HCL Infosystems is country's numero uno PC maker and seller.

HCL partners with Microsoft & Intel to revolutionize India

Imagine the ultimate device that caters to all your entertainment needs. Visualize a TV, DVD, MP3 player, radio, gaming tool, web browser, video recorder all rolled into one. Envisage having the world of home entertainment at your fingertips. Fantasy.The Beanstalk Neo, launched today by HCL Infosystems, India's premier information enabling and integration company, promises to change the world of home entertainment for the Indian user. The Beanstalk Neo has been specially developed by HCL Infosystems, utilizing the latest Microsoft Windows XP Media Center Operating System and Intel's Hyper Threading technology. This latest product from the HCL stable is available across the country through the company's channel network. The Beanstalk Neo is a true convergence product with an unbeatable blend of futuristic style and pioneering technology. The first thing that sets it apart are the stunning good looks, enhanced by a sleek finish and a 17 inch flat LCD display system for that superb cinematic experience. An integrated digital entertainment system which includes a LCD TV, DVD player, MP3 / CD player with a surround sound system, live radio and television, wireless and broadband ready, the Neo comes with the convenience of remote control so that you are not required to learn any controls or interfaces. The HCL Beanstalk Neo is available at Rs 99,990/-, and comes with a one-year comprehensive on-site warranty. Announcing the launch of the Beanstalk Neo, Mr Ajai Chowdhry, Chairman & CEO, HCL Infosystems Ltd., said, "The Beanstalk Neo, without any exaggeration, will completely transform digital entertainment for the Indian user. The Beanstalk range, ever since its advent in 1995, has always brought the best of breed technology to the Indian consumer and kept him in-step with the latest innovations worldwide. We see a trend today where the user wants a multi-functional product combined with ease of use. Commenting on the announcement, Mr Rajiv Kaul, Managing Director, Microsoft Corporation Pvt. Ltd, said, "The proliferation of various technology products and services, has complicated

digital

entertainment

in

54

the life of the consumer - and they are demanding simplicity, ease of use and holistic offerings that just work. The Windows XP Media Center Edition 2004 is a great example of integrating software, hardware and services to create simple and compelling entertainment experiences that enhance the lives of HCLs users, everyday built from the ground up to deliver the picture and sound quality you expect from a digital entertainment center, the Beanstalk Neo lets you use one unified interface Pause and rewind live TV and radio so you never miss a moment Record an entire TV series or genre and watch shows at your convenience Experience your digital photos, videos, and DVDs with friends and family Put your world of music at your fingertips with an amazing jukebox Get connected to a world of digital movies, music, and more - at your convenience The HCL Beanstalk Media Center PC comes with a 17 inch integrated high-resolution, anti-glare flat LCD monitor, with 1280 x 768 support - 16:9 aspect ratio. Among the features that make it the ideal, easy to use entertainment powerhouse are a wireless keyboard and mouse, built-in TV tuner, DVD and CD player/recorder, MP3 capability, an FM radio, gaming tools, a photo editor and a web browser. The Beanstalk Neo can also create, edit, store and screen digital home movies and photos. The Beanstalk Neois equipped with an Intel Pentium IV 2.8 GHz with Hyper-Threading technology, 800 MHz FSB and Windows XP Media Center Edition 2004 operating software, the most advanced OS for PCs in the Home segment. In addition to its multi-media features, this innovative Beanstalk PC offers the 'dream pack' with 5 Microsoft games; Microsoft works 7, as well as 100 songs, 5 movies and 10 karaoke.

54

A strategic alliance with bull to launch a new range of enterprise servers on open agriculture
HCL, India's premier information enabling company, today announced a strategic alliance with Bull, a leading Europe based company, to launch HCL scalable Enterprise Class Servers on Open Architecture. The new HCL servers will provide customers the proven capability and mainframe-class reliability of the traditional proprietary RISC platforms on Open Architecture at a much lower total cost of ownership. "The biggest challenge at the core of the enterprise has always been to gain the performance, headroom and reliability of high-end 64-bit computing, without the high cost and complexity of proprietary RISC architecture." said George Paul, Executive Vice President - Marketing at HCL "This partnership will allow us to offer HCLs customer a complete range of solutions for the Core of the Enterprise on Open Architecture and help them move beyond proprietary RISC platforms." The partnership will enable HCL to address high-end requirements of its customers for the core of the enterprise, in areas such as large-scale databases, ERP applications, Data centres, High Performance Computing requirements of Scientific and Research Segment etc. It will enable Bull to expand the geographical market reach of its technologies, establishing its presence through HCL's extensive network of over 170 offices and 300 service centres spread across the country. The new range is based on Bull's NovaScale servers, powered by Intel Itanium 2 processors and Bull's FAME (Flexible Architecture for Multiple Environments) technology. Using marketstandard building blocks, the FAME architecture represents a technological breakthrough for high-end, mission-critical servers, delivering significant improvements in price/performance. This launch further strengthens HCL's Infiniti Global Line Servers, which has fast emerged as a preferred brand amongst a cross-section of markets in India including Manufacturing, Telecom, Finance and Banking, the Government, Defence Forces and Internet Service Providers.

54

Notably, HCL has shown phenomenal growth in server segment by registering a market share of 19.6% for calendar year. This launch is yet another demonstration of the company's strong focus on the Server Business and its commitment towards the Indian Customers by providing the right technology, at the right time, and at the right price point. While in Delhi and commenting on the announcement, Michel Lepert, Executive Vice President and General Manager of the Products and Systems Division at Bull, said: "India is a high-growth market with a strong interest in new technologies such as the ones built into HCLs NovaScale servers. We are totally committed to supporting HCL, and given the work that we have already done together to move the partnership forward we are confident that HCL customers will immediately benefit from very competitive high-end solutions". Mr Surendra Arora, Director - Customer Solutions Group, South Asia, Intel said - 'Intel has worked with the industry over the last six years to develop a rich eco-system of highly scalable and open standard solutions. We have a large number of OEM's, operating systems and 5000 applications running Intel Itanium processor family-based platforms. We are now very pleased to collaborate with HCL Infosystems and Bull, a member of the Itanium(r) Solutions Alliance, to enable the Indian IT customers with mission critical computing needs to benefit from the outstanding performance, reliability, scalability and availability delivered by Itanium(r)based systems.' To share the benefits enterprises can derive from this union, HCL, Intel & Bull, have jointly organised exclusive seminars in Delhi, Bangalore & Mumbai for CIOs this week. Bull NovaScale servers have gained IT market recognition and won large customers, both enduser IT organizations and OEMs. They are used notably as data base servers and application servers as well as in HPC (High Performance Computing) applications. A prime example: NovaScale servers are the foundation of the largest scientific computer ever delivered in Europe

54

Customer gains
Why would a company opt for RIM, rather than total IMS or even just manage its infrastructure in-house? The most obvious reason is the cost advantage, of cHCLsse. Industry estimates place the benefits due to cost arbitrage at between 30 and 50 per cent. Nasscom's Mehta draws a comparison: "For EDS and global giants, it used to be more a game of credit rating arbitrage. Since EDS had high penetration into many of its customers, it was profitable for it to take over the IT assets of clients. Now, with RIM players in this space, the credit rating of traditional outsourcesrs has completely deteriorated. They are no longer competitive in this space." Integrated monitoring and management tools and advanced correlation tools RIM offer can help anticipate a problem before the user brings it up, and resolve the problems in a faster, structured manner, reducing business losses due to IT downtime. Unlike in in-house management where employees work only on single shift, RIM vendors monitor infrastructure performance 24x7x365. This helps do away with the costs a delay inevitably brings, since the vendors work across different time zones and can fix problems before the next working day begins. It also offer customers multiple avenues to reduce costs through headcount reduction by elimination of under-utilised resourcess, leveraging operations improvements from working with multiple customers and cross-pollination of best practices. Often processes are not well defined when operations are managed in-house. By outsHCLscing infrastructure management, clients can make sure that the vendor complies with the standard processes followed by the industry. For instance, ITIL (IT Infrastructure Library) and IS07799 for security. Says Nayyar, "the whole approach towards savings is quite interactive. In the software industry, the arbitrage cost-savings doesn't impact the rest of the industry, Here, it affects everything the network bandwidth, the data centre costs, all costs."

54

Competitors
HP is a company unlike any other. We serve everyone from consumers to small and mid-sized businesses to enterprises to public sector customers with an extensive portfolio of market-leading solutions specifically designed to meet the needs of each customer segment. HCLs annual R&D investment of $3.5 billion (USD) fuels the invention of products, solutions and new technologies. We produce an average of 11 patents a day worldwide. HP Labs provides a central research function for the company which is focused on inventing new technologies to improve HCLs customers' lives, change markets and create business opportunities. Millions of people around the world use HP technology every day. HP is:

the largest consumer IT company the world's largest SMB IT company a leading enterprise IT company

HP has a significant presence in all market we serve Consumer leadership in handhelds, notebooks, printers and digital cameras for rewarding experiences

Small and medium business market-leading products, solutions and services for simplified ownership Enterprise a full portfolio of leading products and services for building an Adaptive Enterprise Public sector, health & education experience and alliances for lower costs and increased efficiencies.

Doing well by doing good HP is proud of HCLs people, HCLs standards and values, and HCLs deep commitment to global citizenship. Since HCLs first year in business in 1939, HP has given back to communities through philanthropic donations of money, equipment and time.

54

Today, we employ new models of engagement and new business and technology solutions to help more people around the globe to participate in the world economy via information technology

Advertising then & now

Pioneering and Passionate: HCLs Tradition of Reaching Everyone in the Marketplace HCL's new accessibility ad campaign focuses on what people can do, not what they cant. In one ad, a Deaf man hears the demands of his employees. In another, a blind woman sees changes in the marketplace. These ads continue HCLs legacy of award-winning advertising, which represents everyone in the marketplace whether Curtis Mayfield, a stroke victim using voice-recognition technology (1997); Joyce Massingill, a Black aerospace engineer (1969); or Carl Berman and Mitch Goldstone, a gay couple who own a photo shop (1998).

Passionate about diversity

Today, representing the diversity of the marketplace is a strategic mission. "We're passionate and almost maniacal in this regard," says Lisa Baird, vice president, Worldwide Integrated Marketing Communications. To increase its business, HCL is focusing on newer segments, such as medium businesses and constituency groups. How do you get the attention of constituency groups? You start by representing them in your advertising. HCL also sponsors key community events, such as La Familia Technology Week during Hispanic Heritage Month, Black Family Technology Awareness Week during African American History Month, and advertising in Gay, Lesbian, Bisexual and Transgender (GLBT) jHCLsnals during Gay Pride Month. "Advertising drives people to learn more," Lisa says. "For us, that means creating interest in HCLs solutions, products and leadership message.

Recognising subtle differences

54

When it comes to marketing to constituency-owned businesses such as women, Asian, Black, Hispanic and Native American businesses, HCL applies the same go-to-market strategies as it does for any business reaching out through business partners, employing a 1-800 number Within a specific constituency market, HCL first identifies which businesses make the most sense to connect with. Then, the HCL determines the most efficient way to reach each of them whether through individualized marketing or a creative combination of HCL's go-to-market strategies. HCL business partners then help in generating demand and selling HCL solutions to businesses. For example, Esources Systems and Integration, Inc., an HCL-authorized business partner based in Huntersville, North Carolina, sells HCL solutions which contain HCL software and hardware products. This business partner provides technology solutions for government agencies and commercial customers to solve business problems. HCL also enters the business community through professional associations and organizations. Such groups generate interest in HCL and may even help HCL identify new business partners. By sponsoring and participating with them, HCL is able to communicate its message of value to the member businesses. "We're saying, in effect, to HCLs constituency customers, 'We know you're out there and we want to work with you to make your businesses more profitable and productive,'" says Rai Cockfield, vice president, Market Development. His group is responsible for marketing to businesses owned by women, Asians, Blacks, Hispanics and Native Americans. While focusing on small- and medium-sized businesses, marketing to constituencies is all about building relationships. By working with business partners and owners, HCL demonstrates it speaks a community's language and recognizes its culture. HCL then closes the equation by helping businesses understand how they can reach their potential. Finding out each segment's needs requires a willingness to break with old assumptions and "go places where you don't usually go." While acknowledging that everyone in a segment is not the same, it's necessary to recognize "subtle differences" that exist between constituencies such as one being more "relationship-oriented" or "techno-savvy." While first focused on special needs, the Centers boldly decided to "open the aperture," Jani says, to bring information technology to the masses, especially individuals with temporary

54

disabilities, the aging community, as well as people with traditional forms of disability, such as hearing, vision, cognitive, mobility, and speech.

The Centers now target businesses and government agencies with this broader, more inclusive definition of accessibility. Developing technologies accessible by everyone whether disabled or temporarily abled solves many accessibility issues across the board. For example, researchers realized that the general public always enjoys inventions designed for people with disabilities such as close-captioned TV, sidewalk curb cuts and wide doorways. Another target is the aging global population. In the United State alone, the fastest growing segment of HCLs society is people over 85. Furthermore, throughout HCLs life span, each one of us will experience some form of disability...whether it's working with dyslexia during early educational years or facing cognitive impairment as we grow older. Thanks to federal legislation, HCL is well-positioned: Producers of information technology who make products accessible will be favored for bids with the government a longtime HCL customer over those who do not. Even if a competitor offers a lower bid, the government must contract the producer of accessible products. "This significant marketing strategy is central to HCL's leadership in the marketplace, explains Jani. "Brand HCL is in the game and with the power of HCL Research, we're in a leadership position." HCL is sharing its vision of an accessible future through a robust public relations strategy, ads and events which have already touched 31 million people. A multimedia experience depicting this future was launched at California University at Northridge (CSUN) last year and so wellreceived that the Governor's Office asked that it be featured at a post-Oscar event.

54

Corporate security mission strategy

Security is a hot topic. It grabs the headlines. Lots of market research has been done and there are many views of the information security market, yet by any measure the market is poised for substantial growth. The information security opportunity is projected by IDC to grow from $4.5b in 1996 to $13.5b in 2000, with a 31% CAGR. Security is the enabler to e-business. HCL, along with its business partners has security solutions to help companies conduct business securely. HCL is serious about security and has a strategy to create a mindshare that HCL means I/T security. HCL has decades of experience designing and implementing security systems around the world. HCLs customers want their business systems to be secure. They want products and services based on open standards. They want an effective security management system and they want access to experienced professionals for advice and assistance in implementing security products and services. Currently, no company can claim the depth and breadth of security offerings that HCL can, making security one of the biggest differentiators for the HCL brand. Many of these focus areas, because they are "for the greater good" of HCL and not justifiable from within one division's budget alone, suffered significant budget cuts in 1997-1998. This adversely impacted HCLs ability to capture mind and market share as competitors have strengthened their positions by filling out their own security value nets through partnerships, mergers and acquisitions. The SecureWay brand pulls the many aspects of security within the HCL company together. Current work underway to define security suites will further enable us to compete in this space.

54

HCL offers the industry's most extensive and comprehensive portfolio of security products, solutions and services under the umbrella of the SecureWay brand. The offerings come from all the divisions within HCL. The SecureWay brand is currently the security rallying point for goto-market execution with work underway to redefine the brand and create a series of security suites. End to end security covers access from the end users desktop to backend systems. To get there you often go through other networks, the Internet, servers etc. A security breakage can occur at any point. Security is only as strong as your weakest link, that is why we believe it is important to address all aspects of computer security and why HCL is well positioned to be a leader in this area. Because security is so comprehensive and customers are not security experts we must offer solutions that are understandable, usable and useful .. or they won't use them. Customers expect HCL to provide leadership technologies to help make them leaders in their field. Security drives significant revenue and profit for HCL throughout the strategic horizon. Revenue is generated through uniquely identifiable security offerings (direct) and through products whose sale is contingent on other HCL security offerings (indirect). Strategy provides for this by grouping the offerings by I/T Security Consulting/Services, Technologies and Products and Solutions. Consulting and Services : Worldwide I/T security consulting practice helps customers determine exactly what their security risks are...and then designs a security program to cover them using proven methodology that incorporates both business and technology requirements. HCL Security Services has the experience and expertise that can dramatically reduce risk and exposure in today's interconnected world. There was a recent announcement in March that provides a series of security services under e-business. Technologies: Technology is key to making e-business real. Many new technologies have been invented to secure e-business and make it safe. Research labs develop technology that has been awarded the most U.S. patents of any company for five years running with a worldwide portfolio of more than 30,000 patents, 100 of those are in security. Products: Award winning research is only part of the puzzle, however. It is equally important to turn the best of this technology into products and solutions to help customers compete more effectively in a fast-changing world. HCL has set the pace in this regard, offering the broadest range of security solutions available from any vendor in the industry with continuous focus on

54

simplifying these solutions for customers use. Unlike many other systems where security is an "add on", security is integrated into the heart of HCL's hardware and software products. Software features specialized capabilities designed right into operating systems, and network and database management programs. Other tools include: Global Sign On, LDAP Directory, SmartCards, Firewall, Virtual Private Network Solutions: Security strategy is built on a strong foundation. It begins with security imbedded into operating systems, hardware, software servers, middleware and clients, so system security can't be circumvented. It continues to the next layer of network security addressing administration, delivery and access of information across networked environments. And thirdly strategy encompasses commerce applications or transactions involving secure credit card transactions, integrating with "middleware" applications and third party software. All three of these layers need to deal with the issues of authentication, data integrity, access control and non-repudiation offering customer secure solutions. The list is long and impressive. When coupled with HCL I/T security consulting and the range of services provided as part of SecureWay brand offerings, these tools provide the foundation for securing customers information systems and networks. Enabling I/T security requires adherence to international standards - - standards reached not just through government imposition, but through global agreement. HCL fully supports the delivery of open standards. We all want to operate in a world in which everybody's software runs on everybody's hardware over everybody's network. HCLs strategy addresses working with governments around the world to support an unrestricted marketplace for security and encryption products that integrate globally. We provide security technology and contribute intellectual expertise to many standards groups such as Open Group, W3C, ISO and many other national and regional standards bodies around the world. HCLs strategy is to lead in driving secure Internet-based computing by adopting, developing and promoting standards such as a PKIX reference implementation of the Internet Engineering Task Force (IETF) Public-Key Infrastructure (PKIX) which will promote a standard way to secure any and all applications with digital certificates. We lead the creation of the Key Recovery Alliance whose goal is to expedite the use of strong encryption. And have contributed to many standards such as SET, IPSEC, Open Card, and Gold Standard to mention a few. To manage the corporate security within HCL, a security management system has been put in place. It is a two-pronged approach that combines the customer-driven insights of top division

54

level managers who view security as an important differentiator which will drive more revenue and profit for their offerings with the cross-HCL focus of senior corporate level managers who plan HCL's future. On one side is the Security Management Team (SMT) acts as an Investment Review Board for security, made up of the top executives from HCLs platform, software and services divisions. This group meets quarterly to steer HCLs tactical and strategic security investments as a corporation in order to focus HCLs investments and optimize the security portfolio. On the other side is the CEC level Security Council which meets 3-5 weeks after the SMT meets to review its' recommendations and provide high level guidance. In 1998-1999, the SMT's charter is to maximize the HCL value proposition as it relates to security in order to capture HCLs rightful share of the multi-billion dollar opportunity identified for security (approaching $13.5B by the year 2000), and to ensure that security remains a key differentiator for e-business. The SMT has committed to a contract with the HCL corporation that in return for investment dollars, specific quantifiable results will be realized. It will drive HCL's strategic interests irrespective of local measurement issues, ensure coherent investments across HCL, and promote HCL-wide interests in partnerships, standards, and policy.

54

54

SYNOPSI S STUDY OF

RESEARCH METHODOLOGY
The main objective of this project is to study the existing system of Consumer behavior and sale promotion in HCL of its concepts and implementation, and in the process to consider any possible changes or improvements in the system.

54

The objective is also to find out the reactions of both the assessors and assesses of Consumer behavior and sale promotion as to their satisfaction or otherwise of the existing system and their reaction to any changes in their performance appraisal system, especially about the latest method i.e. 3600 Appraisal method. Moreover, instead of yearly appraisal they would like their Appraisal to be done more frequently as to twice in a year. The research involved data collection techniques: Primary Research Secondary Research PRIMARY RESEARCH: Primary data is the data which is collected for the first time. It is collected from the sources of origin. For primary data collection questionnaire was framed considering certain factors like manpower planning, recruitment sources, selection methods etc. the objectives of the study was also kept in mind. A copy of the questionnaire is also attached in the Annexure. Questionnaire method is being followed and was preferred over interview method because: It is more economical This method can cover wider areas This method is original and therefore very reliable. Respondents feel more comfortable while answering the questions asked.

SECONDARY RESEARCH:
The secondary data are those high are already in existence and which have been collected, for some other purpose than the answering of the questions in hand. The secondary data collection involved desk study, which was carried out to obtain background information about the sample

54

companies. The main research of information were company reports, pamphlets, and magazine and personnel department.

Research Design
A research design is these arrangements of condition s for collection and analysis of data in manner that aims to combined relevance to the research to the research purpose with economy in procedure. As such the design includes an outline of what researcher will do from writing the hypothesis and its operational implication to the final analysis of data. More explicitly, the design decisions happen to be in respect of: What is the study about? Why is the study being made? Where will the study be carried out? What type of data is required data be found? Where can the required data are found? What periods of time will the study includes? What will be the sample design? What techniques of data collection will be used? How will the data be analyzed? In what style will the report be prepared?

COLLECTION OF DATA
It dealing with any real life problem it is often found that data at hand are inadequate and hence, it becomes necessary to collect data that are appropriate. There are several ways of collecting the

54

appropriate data which differ considerably in context of money costs, time and other resources at the disposal of the researcher. Primary data:Primary data can be collected either through experiment or through survey. If the researcher conducts an experiment, he observes some quantitative measurements, or the data, with the help of which he examines the truth contained in his hypothesis, But in the case of survey, data can be collected by any one or more of following ways. By observation: Through personal interview: Through telephone interview. By questionnaires Through schedules warranty card mechanical devices Projective techniques Depth interview. Secondary data:Secondary data means data that are already available i.e., they refer to the data which have already been collected and analyzed by someone else. when the researcher utilizes secondary data, then he has to look into various sources from where he can obtain them. Secondary data may either be published data or unpublished data. Usually published data are available in (a) various publication of central, state are local governments, (b) Reports and publications of various associations connected with business and industry, bank stock exchange (c) Public record, and statistics, historical documents, and other sources of published information like website of industry or company.

Problems & limitations

In my project work, I found certain problem;

54

 High costs of computers. Lots of customers are using assembled computers. It is very difficult for customers to choose a good brand because lots of branded computers like Compaq; IBM, Wipro, Samsung, and HP etc. are there. People of the government employees not showing the proper interest. Time constraints was major problem with employees to participate in the demonstration At some places electricity problem was also there so that proper demonstration was absent. Attractive package was not there. School College were closed. Some time, I faced the location problem. Customer doesnt want to say address.

54

DATA ANALYSIS & INTERPRETATION

Data Analysis
There are many situations in every day life where the researcher is interested in presenting certain characteristics of data without using complex mathematical calculations. This type of presentation can be done by means of graphs and diagrams. A common man generally dislikes numerical statements and have preferences and love for beautiful pictures.

54

Under my Graphical presentation I have written finding in every question. So finding is not given in other places. I have made a questionnaire having 19 question and I have include various kinds of people under my research. Some of the people refuse to tick on the income group. So I was suffering from some problem. At last I have given some space to know HCLs respondent suggestion or comment of HCL but some of the respondent refused to write any thing.

54

FINDING

Q1.

Do you have computer ?

Yes 46 23%

No 154 77%

54

Conclusion :
I found that, there was a loge potential customer they want to purchase computer systems. There was some serious customer. Also they want to purchase computer recently.

54

Q2.

If yes than state the brand.

HP & Compaq 8 17.4% IBM 3 6.5% Assemble 12 26% Others 14 30.4%

HCL 9 19.6%

Conclusion :
This shows that, there is most of customer go for assemble computer due to cheap. Compaq and hp is the strong competitor also.

54

Q3.

If no, then state the brand willing to

purchase
HCL 86 56% HP & Compaq 68 44%

Conclusion

: There is strong potential customer.

Marcel movement towards HCL. More people want to purchase HCL PCS.

54

Q4. Are you computer literate?

YES 182 91% NO 18 9%

54

Conclusion :
I got there is most of people are computer literate and they need computer.

RECOMMENDATION & SUGGESTION

54

SUGGESTIONS
HCL is not giving advertisement of its product frequently in magazines news paper and Television channels etc. advertising should be frequently to get remembered the name of HCL by customer. Relationship between the customer and company is the base of growth. Company should maintain better relationship with its big customer as institutions, corporate, schools, colleges and end uses also because good relationship is always helpful in growth of sales. Company should send cards and invitation to the customer time to time or on certain occasion. Most of people know that HCL only deals in desktop PCs and servers whereas only few knows that HCL also provides software development, networking, internet services, facility management and High End solution. So work can be done on it.

54

CONCLUSION

54

Conclusions
HCL is a marketing leader in the field of home PCs. It is number one company from last two year and it hope it will continue in future but to sustain this leader ship company have to improve its advertising policies. HCL can get much more market share in home PCs by increasing expenditure on advertising. Most of the people officials associate HCL with hardware products and vary few know that HCL also provide IT solutions and software services too. They believe that HCL is typically a hardware firm. Undoubtedly HCL is leader in after sales services .As well as HCL is a leader in hardware products but to sustain its leadership and cope up with the intensify competition it has to improve in other field too. Quality and technology are naming few. Corporate image is good of HCL as compare to Compaq and HCL.

54

ANNEXURE

54

Bibliography

www.google.com www.msnsearch.com www.yahoosearch.com Research methodology- C.R Kothary Pitch (A marketing & media magazine) www.hclinfosystems.com www.hclstore.com www.hcl.in

54

Questionnaire

HCL INFOSYSTEMS
NAME ..AGE . DESIGNATION .. LOCATION . ADDRESS MOBILE NO . Annual income: (a) <100000 (b)< 200000 (c) < 300000 (d) >300000 1. Do you have a computer? (a)Yes (b) No

2. If yes, then state the brand ..

54

3. If no, then state the brand willing to purchase . 4. Are you computer literate? (a) Yes (b) No

5. Have you done any computer course ? (a) Yes ( b)No

6. While purchasing computer, which factor will you consider? (a) price (d) Technology (b) Quality (c) Brand name (e) After sale /service

7. How will you prefer to purchase? (a) Cash (b) Through financial scheme.

8. Which one is more users friendly? (a) Computer system (b) Leaptop

9. Do you have any further plan to purchase leaptop in near future? (a) Yes (b) No

10. What is the purpose of purchasing leaptop? (a) Personal use (c) Study (b) Office use (d) Entertainment.

11. Do you know that HCL have I pods digital cameras and digital Media player? (a) Yes (b) No

12. What do you suggest to increase market share of HCL product. (a) Advertisement ( b) Attractive package

54

(c) sales promotion

(d)Finance

13. Do you know about HCL financial scheme? (a) Yes (b) No

14. Do you think, leaptop is more costly? (a) Yes (b)No

15. Do you think, leaptop is very useful device? (a)Yes (b)No

54