© Infosys Technologies Limited Akshaya Bhargava Reinventing Customer Processes

Analyst Meet 2003© Infosys Technologies Limited Slide 2 BPO - An overview »The first wave Medical transcription, content, graphics, data entry etc., »The second wave Call centers, contact centers, collections, telemarketing etc., »The third wave Transaction processing, end-to-end services, analytical processes etc., Business Process Outsourcing (BPO) – an overused term Players »Captives »Tier 1 companies with strong financials »Tier 2 VC funded companies »Tier 3 companies

Analyst Meet 2003© Infosys Technologies Limited Slide 3 Progeon – A Profile »Incorporated in April 2002 »Ownership - 80% subsidiary of Infosys Technologies Limited »Financials - revenues of $2.76mn, net profit of $0.16mn for quarter ending June 30, 2003 »Employee Strength people as on June 30, 2003 »Clients - 8 clients, majority of whom belong to the financial services sector »Geographical Presence – main operations in Bangalore. Pune coming up as a second center in India and exploring the option for establishing a delivery location in Eastern Europe

Analyst Meet 2003© Infosys Technologies Limited Slide 4 Progeon - Geographic footprint Europe:London USA:Dallas Fremont New Jersey India:Bangalore Pune Indian Locations »1000 seat facility in Bangalore »500-seat facility in Pune operational by September 2003 »600 seat facility at second Infosys location at Bangalore »Further expansion within Infosys footprint Offshore Locations »Exploring the option for establishing a delivery location in Eastern Europe »Access to Infosys facility in Mauritius for disaster recovery

Analyst Meet 2003© Infosys Technologies Limited Slide 5 Progeon- Sample Clients First client relationship established within first month of operation We execute client’s Sales Order Processing (a total of 6 processes ranging from order booking to order prioritization and online support) The current team strength is 230. All target dates for the live processes have been met on time or before time Leading Telecom and Networking Equipment Manufacturer The client had never outsourced before but Progeon and Infosys used their expertise to reengineer the processes where required and then managed the program for transitioning the effort to India The activities carried out for the mortgage processing service include: Loan Origination Loan Application Processing Funding Closing Secondary Marketing US based Mortgage Bank Progeon is providing services in the areas of Defined Contribution, Defined Benefit and Health & Welfare. We are currently initiating the transition for identified processes. This engagement would build up to 250 agents over the next 6 months. Leading US Based Employer Services Company Currently under transition We will be providing Inbound Voice services for this client This engagement would build up to 700 agents over the next 6-8 months Leading Telecom Service Provider, UK Recently signed a Master Services Agreement We will be providing a range of transaction services for the different unit of the bank Leading Transaction Services Bank in USA Currently under transition for the initial set of processes This would also involve developing a combined marketing plan to leverage benefits of outsourcing to provide for topline growth Leading Insurance Company in US/Canada Account management and maintenance processes to be transitioned This will start with a pilot of 250 FTes and will ramp up to 1000 FTEs Leading Retail and Transaction Bank in UK

Analyst Meet 2003© Infosys Technologies Limited Slide 6 Financial Projections $mn

Analyst Meet 2003© Infosys Technologies Limited Slide 7 Progeon-Key Challenges »Maintaining operational excellence »Demonstrating transaction processing expertise »Facilitating change in client organizations »Seasoned professional managers. »Strong internal processes »Product management group staffed by industry professionals »Robust and proven methodology to execute process transition

Analyst Meet 2003© Infosys Technologies Limited Slide 8 Strategic focus »Strategic segments : »Banking – Corporate/Investment, Retail, Credit Cards, Consumer Finance »Securities and Brokerage – Asset Mgmt, Brokerage, Custody, Info & Research »Insurance – Life, Pensions, General, Auto »Finance & Accounting – Accounts Payable, Receivables, GL, USA GAAP etc. »Telecom – Revenue assurance, Service provisioning, Billing, Customer Service Strategic Segment s Progeon Sweet Spot Strategic Customers

Analyst Meet 2003© Infosys Technologies Limited Slide 9 Value Proposition – Continuous Improvement Phase 1 Cost Arbitrage  Provide Labor and Skill Arbitrage opportunities Phase 2 Process and Technology led Optimization  Ensure continuous process improvement and innovation  Evaluate and implement automation opportunities Phase 3 Business Transformation  Provide transaction based pricing – cost scales with business  Develop a partnership approach to provide a unique value proposition to the end customer Phases of Progeon’s value creation for clients

Analyst Meet 2003© Infosys Technologies Limited Slide 10 In Conclusion… »Process Maturity »strong domain expertise »highly structured approach »Product Management focus »Sustainability »Financial stability - own profitability and parent support »Flexibility »Scalability of resources »Risk Mitigation »Change Management »Commercial Structures »Accountability »sharing of risk and reward

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