1. Sudeep K Krishnan, IIM Ahmedabad
EMERGING OPPORTUNITIES AND DIVERSIFICATION DILEMMA IN INFORMATION TECHNOLOGY (IT) BUSINESS: CASE BASED ANALYSIS
Sudeep K Krishnan, IIM Ahmedabad

2. Agenda Introduction Objectives of the study Research Methodology
Aufait – case study
Early days
Growth and restructuring
Diversification dilemma
Identified opportunities
Results and discussions
Implications

3. Introduction
Understand international business activities of firms into Information Technology (IT) services from emerging economies
Identify factors that drive a firm’s strategy which has international clients and strong competition in the IT business sector
Identify factors that determine success and growth of firms
Current views – Industry based view (Porter, 1980), Resource based view (Barney, 1991)
Analyze risks, business opportunity exploration and sustainable growth based on an in-depth case study

4. Objectives of the study
In-depth analysis of Aufait Pvt Limited, Kozhikode – IT company based out of Tier III city
Research Questions
Was the restructuring of Aufait’s business and focus on newer areas like Business Process Management (BPM) and Business Intelligence (BI) intelligent diversification decision and will that develop a sustainable future for Aufait?
What can be the strategy to promote the new business activities?
Should operations be carried out from a city like Kozhikode itself to achieve the projected growth rate?
Research Methodology

5. Case analysis About Aufait – Beginning Initial Business Focus Clients
Airline Solutions
Geographic Information Systems (GIS)
Portal development and maintenance
Clients
Growth and Re-structuring
Emerging areas
Promoting new business areas
Operating Locations

6. Case analysis
SWOT ANALYSIS

7. Emerging areas Innovations from the service provider end
Business Process Management
supporting business process using methods, techniques and software to design, enact, control and analyse operational process involving humans, organizations, applications, documents and other sources of information
Partners with providers like Intalio
Business Intelligence
skills, processes, technologies, applications and practices used to support decision making
reporting, online analytical processing, analytics, data mining, business performance management, benchmarking, text mining, and predictive analytics
Partnering with Oracle

8. Emerging areas
McFarlans grid (Cash et al, 1988)

9. Organizational chart

10. City of operation Tier III cities Tier I cities
Human Resource Issues
Cost effectiveness
Accessibility to middle east
Tier I cities
Immense competition
Accessibility to new clients and partners
Infrastructure cost and operating problems
Multiple cities of operation and maintaining cost benefits

11. Implications
Implications for budding entrepreneurs and newly formed organizations – problems studied common to similar organizations.
Results replicable
Emerging economies and intense competition
Factors that drive performance
Developing strategy for business growth and sustainable plans
Portfolio of offerings
City of operation
Promoting business offering
Limitation
Analysis based on a single case study