印孚瑟斯Infosys Ltd. (INFY) 2008年年度報告「NYSE」.pdf

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1、Infosys Annual Report 2007-08|1“Our core corporate assets walk out every evening.It is our duty to make sure that these assets return the next morning,mentally and physically enthusiastic and energetic.”N.R.Narayana Murthy,Chairman and Chief MentorPower of talentThis Annual Report is printed on 100%

2、recycled paper as certified by the UK-based National Association of Paper Merchants(NAPM).The paper complies with strict quality and environmental requirements and is awarded the following international eco-labels:the Nordic Swan from the Nordic Council of Ministers;the Blue Angel,the first worldwid

3、e environmental label awarded by the Jury Umweltzeichen;and the European Union Flower.Black Red CharcoalGray WarmGray2|Power of talentIn 2007,an impressive 66%of 350 colleges surveyed opined that our Campus Connect program has helped make their students more employable.Mardava RajugopalCatch Them Yo

4、ung participant in 2007Eugenie Rosenthal InStep intern in 2007Deepak GopinathCatch Them Young participant in 2007ConnectInfosys Annual Report 2007-08|3 By 2010,the Indian IT industry will need 2.3 million software engineers,says a NASSCOM study.The estimated shortfall is 22%.This shortfall is one of

5、 the key reasons we think it is imperative to connect the academic world with the industry.To build a quality talent pool in line with our sustainability practices,we have to start where it all begins:schools and colleges.Campus ConnectStarted in May 2004,Campus Connect is an industry-academia partn

6、ership program,designed to enhance the quality of education in the Information Technology space.Today,more than 490 engineering colleges,primarily from India and select overseas universities in Malaysia and China,are part of the program.Campus Connect has been extremely successful in keeping college

7、 faculty and students abreast with the latest trends and best practices in the IT industry.To date,1,891 faculty members and more than 26,000 students have benefited from the program.InStepInStep,our global internship program,provides a platform for students from top academic institutions across the

8、 world to work on live technical and business projects ranging from application development to business consulting at our offices worldwide.The program has significantly contributed to our cultural and intellectual diversity.In the last nine years,we have had over 600 interns from 85 premier univers

9、ities such as Harvard,Stanford,MIT and Oxford.InStep has become a sought-after program globally,with over 4,000 applications received for 126 positions in fiscal 2008.Catch Them Young(CTY)CTY is a two-week program that gives school students across India a head start in understanding Information Tech

10、nology.Top performers in the program get an opportunity to work with our experienced professionals on exciting projects.Since its inception in 1997,CTY has introduced more than 1,000 school students to various facets of IT.Project GenesisProject Genesis is aimed at addressing the talent requirements

11、 of the business process outsourcing industry,by making youth from Tier 2 and Tier 3 towns employable in the IT-enabled Services(ITeS)industry.Genesis includes programs like Train the Trainer and Principals Conclave to align curriculum and teaching methodologies at colleges with industry requirement

12、s.Started in 2005,Project Genesis has now spread to 407 colleges across five states in India.“CTY was an enriching experience.The courses were conducted in an encouraging,open atmosphere which helped us think out of the box and make a lot of new friends too.”Mardava Rajugopal Catch Them Young partic

13、ipant in 2007“Through my internship at Infosys,I have come to understand and appreciate first-hand the power of a company to change the world to transform the ambitions of a nation and to reconfigure the worlds understanding of business in a global economy.”Eugenie RosenthalInStep intern in 2007“The

14、 whole Infosys experience was refreshing.CTY enhanced my ability to observe things from a different perspective.It gave me a short but memorable opportunity to be an Infoscion and share the pride of being associated with this esteemed organization.”Deepak Gopinath Catch Them Young participant in 200

15、7Development Center,Bangalore,India4|Power of talentOn an average,we receive close to 1 million job applications in a year.Just 2.3%of the applicants get selected.On July 9,2007,we welcomed 1,198 trainees at our Global Education Center,Mysore,India.To date,this has been the largest trainee batch on

16、a single day at Infosys.AttractInfosys Annual Report 2007-08|5 Consider this.More than 91,187 people from 70 nationalities across 26 countries bring their varied and unique perspectives and skills to the world of Infosys.What makes us a global talent magnet?Impressive brand recall,pioneering efforts

17、 in the IT industry,exemplary people practices,a well-defined value system,leadership,or meritocracy?Perhaps,it is a combination of all.Global talentWe focus on attracting the best and the brightest from across the world,and currently have offices in 63 cities worldwide.Our Global Talent Program(GTP

18、)is a successful initiative to assimilate talent from diverse geographies like the United States,the United Kingdom,China,Australia,Mexico,Mauritius,and Japan.We recruit talent from premier universities in these countries to work on projects.These employees are trained at the Infosys Global Educatio

19、n Center in Mysore,India.People practicesOur employee value proposition is to provide a Learning,Emotional and Financial value-add to every Infoscion.We have always striven to provide the best for our employees,be it world-class campuses or an engaging work culture.Our robust people practices have c

20、ontinued to win national and international accolades.Campus hiringWe have one of the largest campus hiring programs in India.In fiscal 2008 alone,we recruited students from 1,079 engineering colleges.Around 1,17,303 candidates appeared for a test across campuses,26,235 were interviewed and 18,146 we

21、re given job offers.Brand with a conscienceWe were one of seven global companies recognized as a Brand with a Conscience by the Medinge Group of Sweden,an international think tank of brand experts,in 2004.The list was based on principles of ethics and humanity rather than just financial strength.Com

22、panies were rated on the evidence of ethical programs,human implications of the brand,and the ability of the brand to take risks in line with its beliefs.“There is tremendous competition for talent in India.We need to continuously demonstrate that Infosys is the place to be,to make a career and deve

23、lop ones capabilities.”T.V.Mohandas PaiDirector and Head Administration,Education&Research,Finacle,Human Resources Development,and Infosys Leadership Institute“In todays competitive talent market,HR has to take the lead in differentiating the Infosys employee value proposition.We have always been a

24、great employer.We must become the best employer in every jurisdiction that we operate in.Unless we have the confidence that we can attract and retain the best,we will not be able to delight our customer.”Nandita GurjarGroup Head Human Resources DevelopmentDevelopment Center,Mysore,India6|Power of ta

25、lentFor the second consecutive year in 2007,we won the BEST award from the American Society for Training and Development(ASTD).The award recognizes an organizations efforts to Build talent,Enterprise-wide,Supported by the organizations leaders while fostering a Thorough learning culture(BEST).Enable

26、Swarna SankaranProject Manager,New Market ServicesSunil Jose Gregory Project Manager,Communications Media and EntertainmentInfosys Annual Report 2007-08|7 At Infosys,you are never too experienced to stop learning.From a rigorous 14-week foundation program for new recruits to round-the-year technical

27、 and managerial training across roles,there is something for everyone.We encourage the free flow of creative ideas,regardless of hierarchy.We were ranked 32nd in the world and 10th in Asia-Pacific in innovation in a 2006 BusinessWeek-BCG survey,an indication of how intrinsic innovation is to our cul

28、ture.Continuous learningWhile academic records and test scores do matter,people are hired not just for their degrees,but for their potential and ability to constantly learn and adapt to change.Our Education and Research function offers 178 courses round-the-year,of which 91 are instructor-led and 87

29、 are e-learning programs.The Infosys Leadership Institute offers 16 instructor-led training programs and 59 e-learning programs.In fiscal 2008,Infoscions spent 6,51,448 training person-days in learning new ideas and concepts.An important learning incentive at Infosys is a unique certification progra

30、m that prepares employees to undertake greater responsibilities.In fiscal 2008,we conducted over 1,28,000 certification exams in various technology and business domains as well as in process and project management.More than 27,000 employees were awarded technical certifications this fiscal year.Know

31、ledge managementOur Knowledge Management program has provided employees with a powerful interactive knowledge database that enables them to create and share knowledge assets,participate in discussion forums,and network through blogs and wikis.We have a repository of over 30,000 knowledge components,

32、of which 5,600 are downloaded,on an average,every workday.We have won four Global Most Admired Knowledge Enterprise(MAKE)awards,the most recent one in 2007.We are the first Indian company to be inducted into the Global MAKE Hall of Fame.Innovation and researchSoftware Engineering and Technology Labs

33、(SETLabs),our research arm,is at the forefront of research in software architecture,design and performance modeling.As an innovation driver at Infosys,SETLabs focuses on three key aspects:targeted research to address customers business problems,Centers of Excellence to extend technology competence i

34、n specific areas,and a co-creation process through which it partners with customers in anticipating,creating and leveraging exciting new technologies.SETLabs also encourages global interns to work on live technical and business projects.An Intellectual Property(IP)Cell was formed in 2004 to guide ou

35、r employees to leverage the power of IP for our growth.In fiscal 2008 alone,we generated over 102 invention disclosures and filed an aggregate of 10 patents in India and the US.To date,we have filed an aggregate of 119 patent applications(pending)in both countries,and have been granted two patents b

36、y the United States Patent and Trademark Office(USPTO).“Every employee in Infosys is enabled to succeed by hard and soft levers the hard levers being various ILI and E&R courses,and the soft lever being the experiential learning environment.These allow me to thrive and explore opportunities that I c

37、ould only dream about.”Sunil Jose GregoryProject Manager,Communications Media and Entertainment“I take pride in enabling my team to view every challenge as an opportunity to learn and work together,and achieve greater heights of customer delight.”Swarna SankaranProject Manager,New Market ServicesInf

38、osys Leadership Institute and Global Education Center,Mysore,India8|Power of talentFortune magazine listed us among the Top 10 Companies for Leaders in 2007 for developing leaders in a global economy.EmpowerPeter NorlanderAssociate Manager,Human Resources DevelopmentHan Zhang InStep intern in 2007In

39、fosys Annual Report 2007-08|9 Development Center,Pune,IndiaDriven by a diverse,global workforce,the need for effective talent deployment and engagement is vital to us.We have empowered our employees by creating a gender-sensitive,equal-opportunity,performance-driven workplace.In fact,we are the firs

40、t Indian IT company to set up a Diversity Office for promoting diversity and inclusivity.LeadershipThe Infosys Leadership Institute ensures that talent is optimally harnessed to stay ahead of the innovation curve.Its dedicated campus in Mysore,India,offers courses on leadership and management.We gro

41、om high potential candidates under a three-tier mentoring process.Tier 1 includes business leaders and leaders of business enabler functions,Tier 2 has people who can take on Tier 1 responsibility in three to five years,and Tier 3 consists of Infoscions expected to reach Tier 1 category in six to te

42、n years.Every selectee in the leadership program has a mentor.A Tier 1 leader is mentored by a member of the Board of Directors,and Tier 2 and Tier 3 leaders are mentored by Tier 1 and Tier 2 leaders respectively.At present,we have 51 leaders in Tier 1,184 in Tier 2,and 427 in Tier 3.Other ILI initi

43、atives are Pravesh,a program for first-time project managers,and the Global Business Finishing School.Diversity and inclusivityAs a global corporation operating in multiple geographies,we are committed to creating a workplace in which every employee has the opportunity to participate,contribute and

44、develop.The approach to womens advancement and gender diversity is proactive.Our gender inclusivity model is an individually-tailored combination of support systems,company practices,and management policies under the umbrella of IWIN Infosys Womens Inclusivity Network.IWIN is devoted to creating a g

45、ender-sensitive work environment and making us the Employer of Choice for women.The initiative has received wide acclaim and won us the first-ever NASSCOM-India Today Woman Corporate Award for Excellence in Gender Inclusivity at the NASSCOM-IT Women Leadership Summit 2007.Infosys BPO is one of the l

46、argest employers of disabled individuals,239 at present,in the Indian corporate sector.In 2007,Infosys BPO was recognized by the Indian Ministry of Social Justice and Empowerment as the best employer of disabled individuals.Special Training ProgramStarted in 2007,the Special Training Program(STP)ena

47、bles engineering graduates from a disadvantaged socio-economic background,to compete on an equal footing in the job market.STP has been a great success in Andhra Pradesh,Karnataka and Orissa,and will soon be rolled out to two more states in India.The high impact of STP can be measured by the fact th

48、at the first program,conducted at IIIT-Bangalore with a trainee batch of 89,had close to 100%placements this year.At present,more than 450 graduates are undergoing the six-month training program.“Infosys provided me with an opportunity to think beyond my day-to-day job,and put forward business ideas

49、 that are debated and decided on their merit.”Peter NorlanderAssociate Manager,Human Resources Development“Infosys liberated my potential to empower others as a summer intern.Its diverse and inclusive work culture has opened up the gate to success for every employee.”Han Zhang InStep intern in 20071

50、0|Power of talentWe won the 2007 Optimas Award,given by Workforce Management,in the Global Outlook category.The award acknowledges our focus on talent and our ability to attract,engage,and retain the best people in the face of ever-increasing competition.RetainRitesh Mohan IdnaniVice President and H

51、ead Worldwide Sales and Marketing,Infosys BPOSurekha PamdamaneniSoftware Engineer,Banking and Capital Markets Infosys Annual Report 2007-08|11“I have had the privilege of being one of the very few individuals,not just at Infosys but also globally,with a direct and intimate understanding of all facet

52、s of the outsourcing business.I firmly believe that this all-round exposure has enabled me to draw on specific experiences and relate them to individuals across the organization,allowing them to achieve their full potential.”Ritesh Mohan Idnani Vice President and Head WorldwideSales and Marketing,In

53、fosys BPO“Mentoring has played a key role in my professional growth.I believe a perfect mentor is someone who has attained a position in which you can envision yourself,and guides you in that direction.The credit for my success is not mine alone.It should also go to my mentors from whom I have recei

54、ved a lot of support.”Surekha Pamdamaneni Software Engineer,Banking and Capital MarketsAt Infosys,values make for more than just a powerful tagline.We have been a proven role model for creating wealth ethically and legally.The principles of integrity,meritocracy,transparency,fairness,leadership by e

55、xample,and commitment to excellence form a strong foundation for our future.Values that bindOur strong value system fosters trust and confidence among all our stakeholders.It also unites the organization and strikes an emotional chord with Infoscions across roles and geographies.Probably,this quote

56、from Chairman and Chief Mentor N.R.Narayana Murthy sums it up best:“Corporations must integrate their value systems into their recruitment programs.They must mandate compliance with the value system as a key requirement from each potential employee.They must ensure that every employee owns responsib

57、ility for accountability and ethics in every transaction.Corporations must publicly recognize internal role models for ethical behavior.”High performance work ethicWe have a comprehensive performance management culture which fosters employee development.An essential component of this philosophy is a

58、n integrated performance system.The role-based organizational structure is the foundation for this performance system while feedback,evaluation,training,and rewards play a key role.The variable pay scheme(incentive scheme)enables goal-sharing and profit-sharing with Infoscions,and has strong linkage

59、s to the performance of the company,the business unit and the individual.Rewards and recognitionThe performance-based work culture and emphasis on meritocracy ensure that talented employees get ample opportunities to grow.Every win,big or small,is always recognized and celebrated through Spot Awards

60、 at the project level,Rewards and Recognition Programs at the business unit level,and Awards for Excellence at the organization level.The annual,much-anticipated Awards for Excellence recognize and reward those who epitomize one of Infosys core values the consistent pursuit of excellence.Employee en

61、gagementWe engage employees through a fair and rewarding work environment.We believe that a working environment which helps our employees to work,relax and also have fun,contributes to the quality of their work,enriching them intellectually,physically and emotionally.Our state-of the-art campuses ha

62、ve health clubs,sports facilities and well-stocked libraries,to name a few.Infoscions regularly organize cultural and sports events to which families are often invited.These events provide a break from routine and foster a sense of belonging.Mentoring and succession planningWe recognize the power of

63、 formal mentoring as a process to build leadership,give people the right opportunity at the right time,and groom the next generation of leaders.We believe that our values will remain the same even while our leadership changes.Development Center,Chennai,India12|Power of talentContents13 The year at a

64、 glance14 Letter to the shareholder17 Awards for Excellence 2007-0821 CEO and CFO certification22 Directors report45 Managements discussion and analysis64 Auditors report66 Balance sheet67 Profit and loss account68 Cash flow statement69 Schedules86 Balance sheet abstract and the companys general bus

65、iness profile87 Consolidated financial statements105 Risk management report107 Corporate governance report122 Shareholder information126 Share price chart127 Additional information128 Select historical data130 Revenue segmentation131 Statutory obligations132 Human resources valuation132 Value-added

66、statement133 Brand valuation134 Economic Value-Added(EVA)statement134 Balance sheet including intangible assets135 Intangible assets score sheet137 Value Reporting138 Management structure139 Infosys Foundation140 Report on environment,health and safety141 Financial statements(unaudited)presented in

67、substantial compliance with GAAP requirements of various countries and International Financial Reporting Standards and reports of substantial compliance with the respective corporate governance standards150 Extract of audited US GAAP financial statements151 Global presence Annual General Meeting(AGM

68、)NoticeInfosys Annual Report 2007-08|13 The year at a glancein Rs.crore,except per share data20082007Growth(%)Indian GAAP Stand-aloneFinancial performanceIncome15,64813,14919.0Gross profit6,7725,87115.3Operating profit(PBIDTA)4,9634,22517.5Profit after tax*:Before exceptional items4,4703,77718.3Afte

69、r exceptional items4,4703,78318.2EPS(par value of Rs.5/-each)before exceptional item*:Basic78.2467.8215.4Diluted77.9866.3317.6DividendPer share13.2511.5015.2Special dividend20.00Financial positionCapital expenditure1,3701,443(5.1)Fixed assets3,9313,10726.5Cash and cash equivalents7,6895,61037.1Net c

70、urrent assets8,4967,13719.0Total assets13,49011,16220.9DebtNet worth13,49011,16220.9Cash and cash equivalents/total assets(%)57.050.3Market capitalization 82,3621,15,307(28.6)Indian GAAP ConsolidatedIncome16,69213,89320.1Gross profit7,4856,43516.3Operating profit(PBIDTA)5,2384,39119.3Profit after ta

71、x*:Before exceptional items4,6593,86120.7After exceptional items4,6593,86720.5EPS(par value of Rs.5/-each)before exceptional item*:Basic81.5369.1118.0Diluted81.2667.5920.2in US$million,except per share dataUS GAAPRevenues4,1763,09035.1Gross profit1,7231,31331.2Operating income1,15185235.1Net income*

72、1,15585035.9Earnings per equity share:Basic2.031.5332.7Diluted2.021.5034.7Note:1 crore equals 10 million*Net profit for 2008 and 2007 includes a reversal of tax provision of Rs.121 crore($29 million)and Rs.125 crore($30 million),respectively14|Power of talentDear Shareholder,We had a successful fisc

73、al 2008 and reported over US$1 billion in annual net profits.In Indian GAAP terms,revenues for fiscal 2008 stood at Rs.16,692 crore,a year-on-year growth of 20%.In US GAAP terms,revenues for fiscal 2008 stood at$4.18 billion and year-on-year growth was 35%.Acknowledging our US$1 billion mark in net

74、profits,the Board of Directors has recommended a special dividend of Rs.20 per share(400%on par value of Rs.5/-per share).The Board has also recommended a final dividend of Rs.7.25 per share(145%on par value of Rs.5/-per share).Along with the interim dividend of Rs.6/-per share(120%on par value of R

75、s.5/-per share)amounting to Rs.343 crore,the total dividend recommended for the year is Rs.33.25 per share(665%on par value of Rs.5/-per share)amounting to Rs.1,902 crore.This is the largest dividend payout in corporate history in India.We have also decided to increase the dividend payout ratio up t

76、o 30%of net profits,effective fiscal 2009.Our current financial policy is to pay dividend up to 20%of net profits.The Indian Rupee appreciated by 11%during the year and impacted our revenues and net profits by approximately Rs.2,000 crore and Rs.1,000 crore respectively.We maintained margins despite

77、 the challenging currency environment.This is testimony to the durability of our business model and our disciplined execution.Although the impact of global economic uncertainties may constrain growth in the short term,we see significant growth opportunities in the medium and long term.Anticipating c

78、hanges in global market demands,we reorganized our business units in November 2007.With this restructuring,we have broadened our customer base and strengthened our current portfolio through scale benefits.We are also investing in solutions and services that will enable us to move up the value chain

79、and improve revenue productivity on a sustainable basis.We added 170 clients during the year,taking the total number of active clients to 538.Revenue growth during the year was 35%in US Dollar terms.Our top 10 clients grew by 38.8%while non-top 10 clients grew by 33.6%,demonstrating balanced growth

80、across our client portfolio.Most of our existing clients reaffirmed their confidence in our services,with repeat business accounting for 97%of the revenues.During the year,we entered into a multi-year global BPO contract with Royal Philips Electronics of the Netherlands,which expanded our global pre

81、sence and added 1,400 people to our employee base.We signed a multi-year“Modular Global Sourcing”agreement for IT services and support with Canadian Pacific.United Utilities engaged us to modernize their legacy system using Service Oriented Architecture.We entered into a global relationship with Pro

82、venir,Inc.,under which we have agreed to deliver professional services to Provenir and jointly offer information technology services and solutions to the financial services industry.To improve proximity to our North American clients,we opened our first Latin American subsidiary,Infosys Technologies

83、S.de R.L.de C.V.,in Monterrey,Mexico.We also expanded our presence in Europe by enhancing the capacity of our nearshore facility in Brno,Letter to the shareholderS.GopalakrishnanChief Executive Officer and Managing DirectorS.D.ShibulalChief Operating Officer and DirectorInfosys Annual Report 2007-08

84、|15 Czech Republic.To further our commitment to creating jobs in India and drawing from the local talent pool,we set up a new campus in Thiruvananthapuram.Clients and industry influencers have commended the success of our business model and recognized our delivery capabilities.The Boeing Company awa

85、rded us their inaugural Boeing Performance Excellence Award(BPEA).SAP awarded us the SAP ACE 2007(Award for Customer Excellence).Cummins Inc.selected us as a Global Preferred Vendor for Information Technology while we received the Supplier Excellence Award from Eastman Chemical for the second consec

86、utive year.Together with our client British Telecom,we were awarded the National Outsourcing Association award for Innovative Outsourcing Project of the Year 2007.Our reputation as a service provider to the financial services industry was strengthened by two media accolades.We moved up to No.14 on F

87、inTech 100,an international annual listing of the top 100 global application and service providers to the financial services industry.Readers of Waters,a leading financial technology publication,identified us as the Best Outsourcing Provider for 2007.This year,we unveiled version 10 of the Finacle U

88、niversal Banking Solution,incorporating new offerings such as Islamic banking,wealth management and mobile banking solutions.It has been built with an investment of more than$60 million over the last three years.Today,we address an enormous market that offers us the opportunity to extend our success

89、 to new geographies and industry verticals.We have introduced new offerings such as Learning Services,which focus on organizational learning needs.We are also creating offerings that will be made available to companies via the Enterprise Software as a Service(SaaS)model,where we will create and own

90、business applications,which may be hosted out of our premises or the clients premises.Over the years,we have strengthened our focus on innovation.We have filed a total of 119 patent applications(pending)in the US and India.The United States Patent and Trademark Office(USPTO)has granted us two patent

91、s.Across the world and particularly in India,the Information Technology and Information Technology Enabled Services (IT&ITeS)industry has emerged as one of the largest employers,creating thousands of well-paying jobs and nurturing a new breed of determined entrepreneurs.The phenomenal growth and suc

92、cess of this sector have been catalyzed by a strong industry-government partnership.The continuity of this partnership is vital to secure the future of the economy and to aid the growth of allied industries.Concerted efforts over the last few years have boosted the availability of talent in the mark

93、et.During the last fiscal year,Campus Connect,our industry-academia initiative,was extended to 120 colleges with the participation from 14,446 students.We have also trained 871 faculty members in various engineering and other colleges.As part of our Global Talent Program,the first batch of graduates

94、 from UK and the third batch of graduates from US universities were trained at our Global Education Center in Mysore.InStep,our global internship program,introduced students from top universities to the Infosys experience.Project Genesis,an initiative of Infosys BPO,is equipping graduate students in

95、 smaller towns and cities to be employable in the ITeS industry.Together,these efforts have expanded the available talent pool and we are already seeing a qualitative change among our new employees.Today,our employee strength stands at over 91,000 a figure that is set to grow in the coming year.Our

96、competitive edge as a company draws upon the skills and confidence of these bright people.To that effect,we have invested in a strong training engine to keep our employees abreast of the latest advances in technology and business.During the year,both fresh engineers and laterals logged over 6,51,448

97、 person-days of training and more than 27,000 employees were awarded various technical certifications.We are confident that our wealth of talented people will enable us to compete better and deliver the best to our customers,despite challenging times.Fostering depth of leadership remains a top prior

98、ity in a dynamic market.Currently,over 600 Infoscions are undergoing training in leadership development and we are confident that these efforts will engender a new generation of leaders who will steer the Company into the future.Powered by the talent of our people and vesting reaffirmed faith in the

99、 resilience of our business model,we look forward to overcoming any challenges that may lie ahead of us.We thank our investors,employees and all our stakeholders as we enter a new phase of our journey with determination and optimism.S.Gopalakrishnan S.D.ShibulalChief Executive Officer and Chief Oper

100、ating Officer and Managing Director DirectorBangalore April 15,200816|Power of talentInfosys Technologies LimitedN.R.Narayana MurthyChairman and Chief MentorNandan M.NilekaniCo-ChairmanS.Gopalakrishnan Chief Executive Officer and Managing DirectorS.D.ShibulalChief Operating Officer and Director Deep

101、ak M.SatwalekarLead Independent DirectorProf.Marti G.SubrahmanyamIndependent DirectorDr.Omkar GoswamiIndependent DirectorRama BijapurkarIndependent DirectorClaude SmadjaIndependent DirectorSridar A.IyengarIndependent DirectorDavid L.BoylesIndependent DirectorProf.Jeffrey S.LehmanIndependent Director

102、K.DineshDirector and Head Communication Design Group,Information Systems,and Quality&Productivity T.V.Mohandas Pai Director and Head Administration,Education&Research,Finacle,Human Resources Development,and Infosys Leadership InstituteSrinath BatniDirector and Head Delivery ExcellenceInfosys BPO Lim

103、itedT.V.Mohandas Pai ChairpersonAmitabh ChaudhryChief Executive Officer and Managing Director Jayanth R.VarmaIndependent DirectorSridar A.IyengarIndependent DirectorEric S.PaternosterDirectorS.D.ShibulalDirectorB.G.SrinivasDirectorInfosys Technologies(China)Co.Ltd.S.D.ShibulalChairpersonJames LinChi

104、ef Executive Officer and Managing DirectorV.G.DheeshjithDirectorT.V.Mohandas PaiDirectorN.R.Narayana MurthyDirectorT.P.PrasadDirectorSrinath BatniDirectorInfosys Technologies(Australia)Pty.Ltd.K.DineshChairpersonGary EbeyanChief Executive Officer and Managing DirectorV.G.DheeshjithDirectorU.B.Pravin

105、 RaoDirectorSrinath BatniDirectorSubhash B.DharDirectorInfosys Consulting,Inc.S.D.ShibulalChairpersonStephen PrattChief Executive Officer and Managing DirectorAshok VemuriDirectorChandra Shekar KakalDirectorNandan M.NilekaniDirectorN.R.Narayana MurthyDirectorRaj JoshiDirectorInfosys Technologies S.d

106、e R.L.de C.V.Ashok VemuriSole ManagerBoard CommitteesAudit committeeDeepak M.Satwalekar ChairpersonDavid L.BoylesProf.Marti G.SubrahmanyamDr.Omkar GoswamiRama BijapurkarSridar A.IyengarCompensation committeeProf.Marti G.Subrahmanyam ChairpersonDeepak M.SatwalekarProf.Jeffrey S.LehmanSridar A.Iyengar

107、Nominations committeeClaude SmadjaChairpersonDavid L.BoylesDeepak M.SatwalekarProf.Jeffrey S.LehmanDr.Omkar GoswamiInvestor grievance committeeRama BijapurkarChairpersonClaude SmadjaProf.Jeffrey S.LehmanDr.Omkar GoswamiRisk management committeeDavid L.BoylesChairpersonClaude SmadjaProf.Marti G.Subra

108、hmanyamSridar A.IyengarExecutive CouncilS.GopalakrishnanChief Executive Officer and Managing Director Head Executive CouncilAshok VemuriSenior Vice President Banking and Capital MarketsV.BalakrishnanChief Financial OfficerChandra Shekar KakalSenior Vice President Enterprise SolutionsK.DineshDirector

109、 and Head Communication Design Group,Information Systems,and Quality&ProductivityT.V.Mohandas PaiDirector and Head Administration,Education&Research,Finacle,Human Resources Development,and Infosys Leadership InstituteNandan M.NilekaniCo-ChairmanS.D.ShibulalChief Operating Officer and DirectorSrinath

110、 BatniDirector and Head Delivery ExcellenceB.G.SrinivasSenior Vice President ManufacturingSubhash B.DharSenior Vice President Communications Media and EntertainmentThe Board of DirectorsInfosys Annual Report 2007-08|17 Awards for Excellence 2007-08“Hitch your wagon to a star.”Ralph Waldo EmersonAt I

111、nfosys,excellence is not a matter of chance.Excellence means knowing no fear.It is the belief that talent,determination and hard work are the only worthy companions on the road to success.It signifies expanding boundaries,defying limitations and redefining conventions,time after time.The Infosys Awa

112、rds for Excellence salute the power,grit and spirit of those who have made excellence a way of life.First PrizeAccount Management LargeAccount Team for a Leading Consumer Packaged Goods CompanyAnindya TrivediDebashis MajumdarDeepak GuptaDevarajan S.Hari Natarajan Harish Srinivas Gudi Ramesh Seshan S

113、ridevi ChattaAccount Management SmallSpirit AeroSystems AccountPavan GuptaRaghavendra K.A.Sastry V.V.S.R.S.Satya N.IyengarSenthil Kumar P.B.Sudip Singh Sundaresan Poovalingam Sundaresh ShankaranBrand ManagementInfosys FlatWorld Campaign TeamAnkush PatelBalaji SampathBalaji YellavalliGopal Devanahall

114、iKannan AmareshManjunatha Gurulingaiah KukkuruRicha GovilSanjay Eknath NayakSanjay SahaySatish Bhat Stephen Bruce Lane Tri Minh Huynh Vinay Viswanath PeshwaBusiness SolutionsMaster Data Management Solution Team for a Leading Grocery RetailerAlexandru Marius FarcasiuDana Tourelle JefferiesLakshmi Rav

115、inuthalaLivia Valencia DavisMichael Anthony RiceOmer FarooquePrasad KodibagkarRamachandran Mahesh IyerSandeep B.Vasanth RaoSreekrishna SubramanianCode ChampionFei WangPrunthaban KanthakumarSumit GargCustomer DelightEngagement Team for a Top US-based Financial Services OrganizationAnurag SadhuArindam

116、 SarkerBinay AgarwalHiresh GuptaInder Deep SinghParimal TiwariPraveen Kumar SinghSivakumar S.Department ManagementQuality DepartmentDevelopment Center Management LargeBangalore Development CenterDevelopment Center Management SmallMangalore Development CenterDiversity and InclusivityInfosys BPO Equal

117、 Opportunities TeamKalyan ChakravarthyLokanandan R.Poornima PrasadSomi P.GopalanVijay KrishnamaniInfosys Customer Satisfaction Survey 2007Banking and Capital MarketsRetail,Consumer Product Goods and LogisticsInfosys Internal Partnership Survey 2007Infosys Leadership InstituteInfy Champion DomainMitu

118、l Devendra ShahInfy Champion TechnologySajeesh P.J.Innovation for InitiativesInfosys mConnect TeamAnurag SharmaDilip Diascore KolandairajKarthik G.V.Pragya GuptaPuneet GuptaVenkat Kumar SivaramamurthyInnovation for IP CreationReal Time Inventory ManagementGirish A.R.Shashi Shekhar VempatiVibin Balak

119、rishnanInternal Customer DelightGlobal Immigration TeamArun Silvester A.Pallavi Konchadi Sridhara BhatEshan JoshiKiran S.N.Mithun HandeShilpa Milind AphaleOne Infy Excellence Account TeamAccount Team for a Leading US-based Airlines EngagementAdithya K.S.Anthony Robert MorrisBadri Narayanan M.R.Jagad

120、ish Babu VishwanathamJohn Premkumar R.Manish VermaNageswar CherukupalliNeeraj MahajanRajnish SharmaSubrat Kumar PatiOne Infy Excellence Internal Cross Functional TeamProduct Quality Metrics(PQM)TeamAmit ChaturvediDheeraj DhawanDheeraj Gupta18|Power of talentSecond PrizeAccount Management LargeAccoun

121、t Team for a Leading Aircraft ManufacturerBhaskar KakuturuDarshan AppayannaJayanth M.S.Naresh AgarwalRamakrishna B.Ramanath Kopparam SuryaprakashVenkata Seshu GulibhiAccount Management SmallAccount Team for a Large Apparel RetailerAnand Jayaraman IyerAtul Chandra PandeyDeepak Kamath B.Dinesh BajajMa

122、nisha Sanjay SabooNadish DuttSharad SinghToby JoseBrand ManagementInStep TeamBela GuptaBhavna MehraBrianna Yvonne DieterNidhi Ann AlexanderPreeti PinchaSanjay PurohitBusiness SolutionsInfosys RFID and Pervasive Solution TeamBiju SankaranBikartana PanigrahyDevon Charles FerreiraIan BarkinMayank Shrid

123、harMichael David AllenRajesh P.SankaralingamSameer Shrikant MeharunkarSusan C.ThomasCode ChampionRanjit Kumar RavindranathanVenkata Narasimha Raju KakarlapudiCustomer DelightCactus Program TeamAnuj JainBadarinath Sathyanarayan CheguBasaveshwara MahadevaiahKiriti ChakravortyRatna Madhav Burugadda Kan

124、dalieSatheesh Anapuzha KaimalSatish VenkatramanShailesh Kumar M.GajeraDiversity and InclusivityStrategic Global SourcingHumberto V.B.AndradeShruti Rohan DesaiSrimathi ShivashankarInfy Champion DomainPreeti ChandrashekharStore Budgeting and Forecasting Tool Team for a Pharmaceutical RetailerBalakrish

125、nan C.SubramanianDeepa Shenoy H.Harpreet KaureMerwin Linus PintoNithya G.Kumar Ramya B.NayakRanajit BhattacharjeeRoopalatha ShenoyShivaprakash RaoVidyasagar ShenoiSales ManagementProject Beam Pursuit TeamAbraham MathewsAmit SharmaAndrew WillertonAnshul MohanDeepak Natraj RamamurthiGautam RohidekarGa

126、utam ThakkarHari S.BhardwajMarinko VukovojacRajiv RaghunandanSaumya HebbarSrikanth M.Ramesh IyengarSrikanth V.J.TanikellaVasudeva Maipady KrishnaVijai Kumar BalachandraVolker GauSocial ConsciousnessSpecial Training Program TeamGurunath Bhaskarrao KalamadiNagendra R.PrasadRamesh Babu S.Ravindra Muthy

127、a Pranesha RaoSystems and Processes Organization LevelIntegrated Project Management(IPM+)TeamAnoop KumarGanapathi Raman BalasubramanianGeetha DasManas JindalRamakrishnan M.Sivashankar J.Sravan KumarSystems and Processes Unit LevelCertifications on Demand(COD)TeamHeena Deepak MehtaNeelesh Nandkumar W

128、adkePallavi Rahul TongaonkarRenuka M.K.Vadivelu S.Yogesh Kumar BhattUnit ManagementEnterprise SolutionsIndependent Validation SolutionsValue ChampionsNitha Geeth JosoniHareshkumar Mahadevrao AmreNabarun RoyPriti BudhiaPriti Jay RaoRaj SeetharamanShubha Venkatesha MurthyVageesh Gururaj Patwardhan Peo

129、ple DevelopmentCommunication Service Providers Talent Management Team,PunePrashant Kumar SinhaRavi AgarwalSumit SharmaVinod Gheesalal SonigaraProgram ManagementLimited Brands Merchandize Planning&Allocation ProgramAgilandeswari JanakanElamurugan V.S.Mohammed Rafee TarafdarMohan VenkatathathamNarayan

130、an R.Sivakumar H.Sudhir Subramanya HollaSundar Raman K.Thothathri VisvanathanVishwanath J.Project Execution ExcellenceData Center Migration Project Team for a Leading Financial Services ProviderAkash Kumar SinghalKarthik SubramaniamKasturi P.ChattopadhyayMukesh LukheyPartha Sarathi MukherjeePremraj

131、BadiRamanathan SwaminathanRavindra AnegundiRitwik ChatterjeeRoshan B.ShettyNew Business Process Excellence Solution Implementation Team for a US-based Insurance CompanyAbdul KalamAravind ParameswaranKartik MurthyNishore C.L.Padmanabhan A.Sandeep Kumar LathiShalini A.NairSourabh ChatterjeeSudheeshcha

132、ndran NarayananSwati BiswalPlatform Maintenance Team for a US-based Telecom Service ProviderAnuradha BalasubramaniamBalaji SankarakrishnanBibin BharathHariharan Easwaran TrichurNoormina AbuthahirRam Kumar P.Sankaragomathi SivaramakrishnanSubha S.Suganya RanganathanVisvanathan Lakshmi NarayanInfosys

133、Annual Report 2007-08|19 Remote Procedural Call and Money Movement Team for a Leading Financial Services CompanyAbhijit BanerjeeBhagavath Venkata KodigepalliJarin James KattampallyJithesh RamdasLokesh ChawlaMadhu Gopala Krishna BangaloreMohan RamakrishnaRekha K.P.Shilpa Madhukar AcharyaYu XiaoSingle

134、 Order Processing Platform Team for a US-based Telecommunications Services ProviderAshok Kumar NatarajanChithradevy MunisamyManjula RamalingamMohammed Sadaf ChoudhryRamanujam Sethuraman AchanRamya GanesanRobert WilliamsSundaresan RamasubramanianVidhya SubburajYoganand ThulasiramanSales ManagementAPL

135、 Application Management Services Pursuit TeamKrishnaswamy S.Maneesh Vinod BakhleMona MadanPandiya Kumar RajamonySrinivas VallabhajosyulaSriram NatarajanSuchit MohantyUmashankar MalapakaSocial ConsciousnessInfrastructure Development Initiative TeamAruna Chittaranjan NewtonRama N.S.Mamata Welfare Soci

136、ety Rambabu Sampangi KaipaRohit MunjalSatya Murthy DharmavarapuSystems and Processes Organization LevelCorporate Audits and Assessments (C-CAT)TeamAman Jit KrishanJayanta Kumar KarMilind Shivajirao PednekarSridhara N.R.Sudhindra K.S.Venkatesh K.Infosys Scaling Outstanding Performance(iSOP)Team Anshu

137、man TiwariRaj Kumar BansalRavishankar GanesanSatyendra KumarSiva Kumar Srinivasa Venkata NandiwadaSrikantan MoorthySubramanyam VenkataramanSyed Farrukh JalalVenkatesh ChanemouganandaProgram ManagementTeam ArrowAbhishek GoyalAshish SrivastavaBasavraj LoniChinmay JainDeepak MandotHemal Kanak ShahRajes

138、h Kumar DubeyRamakrishnan KrishnamurthiSantosh Subramanian IyerSaurabh AgrawalProject Execution ExcellenceCRM Global Support Team for a Leading Multinational Chemical Company Ashok Kamath MoodbidriBabu ShanmugamDhaval Rameshchandra MandaliaGary DePaul Merlonghi Gnana Sri Harika SiramdasuMukund Vasan

139、t PrayagkarMunmun BasuRupal Ravindra GandhreSamik GhatakSriram Komandoor ElayavilliDevelopment Team for Sales Cycle Management Tool for a Leading Telecommunications Services Provider Anand Madhava MenonBhaskara Krishna HegdeKrishna Kishore SurisettiKunal AkhauryPranab ChakrabortyRajesh SridharanSant

140、osh Kumar RaoSunil Kumar OjhaSuresh M.Vedachalam MahadevanProduct Implementation Program Team for a Leading North America Insurance ProviderAjit Shantharam PaiAmit MantriArun Kumar R.Krishnakumar Kizhakke VariumPrabudoss D.Prashant Shivkumar BhidePrashantgouda F.BeeravalliSangameshwar PujariSeetha L

141、akshmy N.IyerSohan RamachandranRegulatory Register System Development Team for a Leading Automobile CompanyDhruba BagchiManikandan Menon ParakkatNivedeeta Vijay DeshmukhSanjay SharmaShashank Ajit RangoleVaibhav SaharanInfy Champion TechnologyArnab NandiInnovation for InitiativesInfosys Radien TeamAn

142、il Kumar GargChetan Jagatkishore KothariPawan ChhabraSandeep M.K.Shyam Kumar DoddavulaVenkanna Babu PayasamInnovation for IP CreationDomain Specific Abstract CoreGuruprasad R.A.Ranju Philip A.Shashi C.B.Internal Customer DelightPRIMA TeamAkhila Ramachandran JhaJyothi PrasadLakshmi S.KumarMosesraj R.

143、Shoba JagannathanSupratim MandalOne Infy Excellence Account TeamAccount Team for a Leading European Telecommunications and Networking CompanyAbhay Harigobind Das ChauhanAbhijit Nripendranath BanerjeeAmit SharmaAnkur BhanAnurag JohriArvind BalakrishnanDamandeep Singh SoniDevinder Singh ChahalParthasa

144、rathy GopalakrishnanPhilips T.VarghesePrashant Deshkar V.Ravi Kumar Desigan SeshadhriSanjeev KumarSushil AgarwalVinay Ramesh VasudevaOne Infy Excellence Internal Cross Functional TeamEnterprise Program ManagementSolution TeamAmit Gopal Lal AgarwalAnshuman AgrawalAshish Radharaman MishraGanesh BhatJo

145、ydeep DasKaushik NagLarry PowersSimon MooreViswanath SridharanVivek Kumar ChadhaPeople DevelopmentKnowledge Management Team for a Global Consumer Packaged Goods ManufacturerArindam MaitraKrishna K.V.Sanjeev Saxena20|Power of talentParthasarathy M.A.Siddharth SawhneyVijetha B.ShenoyProgram Management

146、Finacle Program(Release 10)TeamMohan Kumar K.L.Naresh Kumar K.Rajeswari RathnamRanganath KalyanasundaramSai Kumar JayantySreenivasa Rao MakkenaUsha Prabhakara ShastryVivek Anand JeyarajSales ManagementThe Home Depot Sales TeamBaljeet Singh ChhazalDean E.WhitesideDouglas W.AddisonPrashant Ratnakar Bh

147、atSandeep Deepak DadlaniSharad ElhenceSocial ConsciousnessPratibha PoshakAbhisek HalderAditya Haresh ParekhAparna DominiBuddannagari Ravi KiranMitesh Indravadan BhattMustafa Mohammadi RangwalaSachin Mukund KavthekarTeam Akanksha Kuheli BhattacharyaLipi DasPrasannanjaneyulu NarnePritam MahapatraRohan

148、 RoySakshi SharmaSudha Sagar RatnalaVenkata Sai Sriram VepuriVivekanand G.ShenoyZahid Choudhury HossainSystems and Processes Organization LevelBusiness Transformation Group,Infosys BPOBinay Kumar BeheraMuralidharan AnantharamanPeloshia M.P.Ramamohan KadayintiRamesh MuppavarapuUday Gangadhar Gujarath

149、iSystems and Processes Unit LevelFinacle Change Management Program(FCMP)TeamGodavarma C.K.Gopal T.N.Prasad Subramanian C.S.Ramamurthy P.Customer DelightMarketing and Business Intelligence Solution Team for a Leading Global Financial Services OrganizationAchut PerumbalaAmit SrivastavaAnand HariharanA

150、njani Kumar SrivastavaBal Mukund ShuklaDheeraj SadhKumar RupeshVijayalaya Chola KosalaramanInfy Champion DomainMandeep Singh KwatraInfy Champion TechnologyAbhay Nath SinghKrishna Kumar ShanmughomPavan Kumar KurapatiSubin KesavanYogesh Kumar SachwaniInnovation for InitiativesInfosys Markets in Financ

151、ial Instruments Directive Solutions TeamIra GuptaJagannath Kishanrao KulkarniOm Prakash KesariSatish SwaminathanShubhashis SenguptaSreedhar V.S.MaddipatiInnovation for IP CreationDistributed XML JoinMohit ChawlaSrinivas PadmanabhuniInternal Customer DelightGlobal Business Finishing School TeamAshok

152、KackerNayana ChekkaSmitha Murthy G.Srinath AlapakamSujatha Muthanna NuchimanyandaSushanth Michael TharappanHigh Risk Project Monitoring Group Amruta Kumar MohantySrividhya Velarcaud SrinivasanOne Infy Excellence Account TeamAccount Team for a Premier Global Financial Services FirmAniruddha MajumderA

153、nupama Pramod RathiKapil JainMinal JoshiMritunjay Kumar SinghPankaj KulkarniRajneesh MalviyaRama Murthy PrabhalaSandip GangulySudarshan MandayamPeople DevelopmentESTimation EnterprisE Model(ESTEEM)Certification TeamAman Kumar SinghalAmit Arun JavadekarDinesh GanesanSystems and Processes Unit LevelFu

154、ture Proof IT Infrastructure TeamJalith Lal K.V.Jitendra Sangharajka D.Murali M.G.Rajkumar S.Ravi Shankar RajanVishwas BhatThird PrizeAccount Management LargeEngagement Team for a Leading European Financial Services CompanyAnand Jeevaraj R.Gautam SamantaPraveen KumarRaman Veezhinathan C.V.Satish Gra

155、mpurohitNaveen Prasad H.N.Vaibhav PandhariShrirang Raddi A.Sitangshu SupakarAccount Management SmallAccount Team for a Large Food Services Marketer and Distributor in North AmericaAruni AcharyaBalakrishnan Mayilarangam SundararajanGeorge JacobGurpreet Singh KalraKrishna Chaitanya PamartyMadhu Sudhan

156、 R.Prasanna Srinivasan R.Shveta AroraBusiness SolutionsInfosys ACCORD Solution TeamBharat Srinivasa RaoDebaprasad ChatterjeeGanesh MoorthyKrishnendu KuntiLakshmanan RamanathanMithun DasRashmi VishwakarmaSuneetha ChittamuriVishwanath Shenoy M.Infosys Procure-to-Pay Solution Team Avinash Ramachandra A

157、iraniBalakrishna Rao A.Jatin H.DesaiManguluri GirishNarayanan SankaranarayananPurshotam K.PunwaniRaghupathi PaiVenkatesh B.KamathCode ChampionMirshad MaharoofNimesh MadhavanSharath A.G.Infosys Annual Report 2007-08|21 CEO and CFO CertificationWe,S.Gopalakrishnan,Chief Executive Officer and Managing

158、Director,and V.Balakrishnan,Chief Financial Officer of Infosys Technologies Limited,to the best of our knowledge and belief,certify that:1.We have reviewed the balance sheet and profit and loss account(consolidated and stand-alone),and all the schedules and notes on accounts,as well as the cash flow

159、 statements,and the directors report;2.Based on our knowledge and information,these statements do not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made,in light of the circumstances under which such statements were made,not mislead

160、ing with respect to the statements made;3.Based on our knowledge and information,the financial statements,and other financial information included in this report,present in all material respects,a true and fair view of the Companys affairs,the financial condition,results of operations and cash flows

161、 of the Company as of,and for,the periods presented in this report,and are in compliance with the existing accounting standards and/or applicable laws and regulations;4.To the best of our knowledge and belief,no transactions entered into by the Company during the year are fraudulent,illegal or viola

162、tive of the Companys code of conduct;5.We are responsible for establishing and maintaining disclosure controls and procedures and internal controls over financial reporting for the Company,and we have:a)designed such disclosure controls and procedures to ensure that material information relating to

163、the Company,including its consolidated subsidiaries,is made known to us by others within those entities,particularly during the period in which this report is being prepared;b)designed such internal control over financial reporting,or caused such internal control over financial reporting to be desig

164、ned under our supervision,to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;c)evaluated the effectiveness of the Companys disclosure,controls a

165、nd procedures;andd)disclosed in this report any change in the Companys internal control over financial reporting that occurred during the Companys most recent fiscal year that has materially affected,or is reasonably likely to materially affect,the Companys internal control over financial reporting.

166、6.We have disclosed based on our most recent evaluation,wherever applicable,to the Companys auditors and the audit committee of the Companys Board of Directors(and persons performing the equivalent functions):a)all deficiencies in the design or operation of internal controls,which could adversely af

167、fect the Companys ability to record,process,summarize and report financial data,and have identified for the Companys auditors,any material weaknesses in internal controls over financial reporting including any corrective actions with regard to deficiencies;b)significant changes in internal controls

168、during the year covered by this report;c)all significant changes in accounting policies during the year,if any,and that the same have been disclosed in the notes to the financial statements;andd)instances of significant fraud of which we are aware,that involve the Management or other employees who h

169、ave a significant role in the Companys internal controls system.7.In the event of any materially significant misstatements or omissions,we will return to the Company that part of any bonus or incentive or equity-based compensation,which was inflated on account of such errors,as decided by the audit

170、committee;8.We affirm that we have not denied any personnel,access to the audit committee of the Company(in respect of matters involving alleged misconduct)and we have provided protection to whistleblowers from unfair termination and other unfair or prejudicial employment practices;and9.We further d

171、eclare that all Board members and senior managerial personnel have affirmed compliance with the code of conduct for the current year.S.Gopalakrishnan V.Balakrishnan Chief Executive Officer Chief Financial Officer and Managing DirectorBangaloreApril 15,200822|Power of talentDirectors reportTo the mem

172、bers,We are delighted to present the report on our business and operations for the year ended March 31,2008.1.Results of operations in Rs.crore,except per share data20082007Income from software services and products15,64813,149Software development expenses8,8767,278Gross profit6,7725,871Selling and

173、marketing expenses730719General and administration expenses1,079927Operating profit before interest and depreciation4,9634,225InterestDepreciation546469Operating profit before tax and exceptional items4,4173,756Other income,net683375Provision for investments2Net profit before tax and exceptional ite

174、ms5,1004,129Provision for taxation(1)630352Net profit after tax and before exceptional items4,4703,777Income on sale of investments,net of taxes6Net profit after tax and exceptional items4,4703,783Profit&loss account balance brought forward4,8442,195Less:Residual dividend paid4Dividend tax on the ab

175、ove1Amount available for appropriation9,3145,973DividendInterim343278Final415371Special dividend1,144Total dividend1,902649Dividend tax323102Amount transferred to general reserve447378Balance in profit and loss account6,6424,844EPS(2)before exceptional itemsBasic78.2467.82Diluted77.9866.33EPS(2)afte

176、r exceptional itemsBasic78.2467.93Diluted77.9866.44Note:1 crore equals 10 million(1)Includes tax reversal of Rs.121 crore and Rs.125 crore for fiscal 2008 and 2007 respectively(2)Equity shares are of par value of Rs.5/-each2.BusinessTotal income increased to Rs.15,648 crore from Rs.13,149 crore in t

177、he previous year,at a growth rate of 19%.Our software export revenues aggregated Rs.15,429 crore,up by 19%from Rs.12,935 crore in the previous year.Of these,63.1%of the revenues came from North America,26.9%from Europe,and 8.6%from the rest of the world.The revenue from Europe increased from Rs.3,39

178、3 crore to Rs.4,207 crore,with a growth rate of 24%which is higher than the other regions.The share of fixed-price component of the business was 33%,compared to 28%during the previous year.Blended revenue productivity,in dollar terms,increased by 5.3%during the year.The gross profit amounted to Rs.6

179、,772 crore(43.3%of revenue)as against Rs.5,871 crore(44.6%of revenue)in the previous year.The onsite revenues decreased from 51.7%in the previous year to 50.9%.The onsite person-months comprised 29.8%of the total billed efforts,compared to 30.1%during the previous year.The operating profit amounted

180、to Rs.4,963 crore(31.7%of revenue)as against Rs.4,225 crore(32.1%of revenue)in the previous year.Sales and marketing costs were 4.7%and 5.5%of our revenue during the year ended March 31,2008 and 2007.General and administration expenses decreased from 7%in the previous year to 6.9%.We continue to rea

181、p the benefits of economies of scale.The net profit after tax and exceptional item was Rs.4,470 crore(28.6%of revenue)as against Rs.3,783 crore(28.8%of revenue)in the previous year.The net profit for the year included a tax reversal of Rs.121 crore(previous year Rs.125 crore).The tax provisions were

182、 reversed as it was no longer required in various overseas jurisdictions.We seek long-term partnerships with clients while addressing their various IT requirements.Our customer-centric approach has resulted in high levels of client satisfaction.We derived 97%of our revenues from repeat business(i.e.

183、a client who also contributed to revenues during the previous fiscal year).We added 170 new clients,with a substantial number of large global corporations.The total client base at the end of the year stood at 538.Further,we have 310 million-dollar clients(275 in the previous year),141 five-million-d

184、ollar clients(107),89 ten-million-dollar clients(71),18 fifty-million-dollar clients(12),and 6 hundred-million-dollar clients(3).During the year,one of our clients contributed more than$300 million of revenues.We added 45.12 lakh sq.ft.of physical infrastructure space.The total available space now s

185、tands at 164.77 lakh sq.ft.The number of marketing offices as of March 31,2008 was 47.3.SubsidiariesWe have five subsidiaries:Infosys BPO Limited,Infosys Technologies(Australia)Pty.Limited,Infosys Technologies(China)Company Limited,Infosys Consulting,Inc.and Infosys Technologies S.de R.L.de C.V.and

186、five step-down subsidiaries:Infosys BPO S.R.O.,Pan Financial Shared Services India Private Limited,P-Financial Services Holdings B.V.,Infosys BPO(Poland)Sp.Z.o.o,and Infosys BPO(Thailand)Limited.Infosys BPO Limited(IBPO)Infosys BPO Limited(formerly Progeon Limited)was incorporated in April 2002,in I

187、ndia,to address opportunities in business process management.As of March 31,2008,we hold 99.98%of the equity share capital and voting power of Infosys BPO.During the year,Infosys BPO serviced 72 clients,added 5 clients,and generated Rs.937 crore in consolidated revenue,with a net profit of Rs.153 cr

188、ore.The employee strength as on March 31,2008 was 16,295.Our total investment in Infosys BPO as of March 31,2008 was Rs.659 crore.During the year,IBPO concluded a sale and purchase agreement with Koninklijke Philips Electronics N.V.(Philips)by means of which it made a 100%investment in the share cap

189、ital amounting Rs.107 crore in P-Financial Services Holding B.V.,the Netherlands entity(Holding Company).This acquisition will help IBPO in acquiring domain skill sets in the finance and administration space,as well as enhance its global presence with centers in Thailand and Poland.Infosys Technolog

190、ies(Australia)Pty.LimitedIn January 2004,we acquired,for cash,100%of the equity in Expert Information Services Pty.Limited,Australia,for US$24.3 million(Rs.66 crore).The acquired company was renamed Infosys Technologies(Australia)Pty.Limited.During the year,Infosys Technologies(Australia)Pty.Limited

191、 serviced 49 clients and generated Rs.556 crore in revenue,with a net profit of Rs.101 crore.The employee strength as on March 31,2008 was 363.Infosys Annual Report 2007-08|23 Some of the key process improvement initiatives are:IPM+,an integrated project management suite,to improve project and progr

192、am managementEnhanced focus on tools and reuse to improve productivityBrITe(Business results impact Infosys Technologies),an innovative methodology that uniquely blends IT-specific Six Sigma approach with statistical predictive modeling and Lean principles to address diverse business critical parame

193、ters.We have a trademark for this improvement methodology.The iSOP(Infosys Scaling Outstanding Performance)program to evaluate and identify improvements in units using the Baldrige modelMetrics-based models to evaluate quality of object-oriented designPRIMA awards,a quarterly recognition program for

194、 execution excellence.The PRIMA framework has helped to manage and improve excellence.6.Software Engineering and Technology LabsThe Software Engineering and Technology Labs(SETLabs)at Infosys is the center for applied technology research in software engineering and enterprise technology.SETLabs leve

195、rages emerging technologies for improving engineering effectiveness and developing client-focused business solutions.During the year,SETLabs built several solutions,frameworks,tools and methodologies in the areas of software engineering,high performance and grid computing,convergence technologies,in

196、formation management,Web 2.0 and knowledge engineering.During the year,more than 100 articles were published by SETLabs researchers in leading journals,magazines and conference proceedings.SETLabs Briefings published three industry-specific issues related to insurance,banking and capital markets,and

197、 energy verticals,in addition to its regular issues.A special issue on testing was also published.SETLabs conducted 24 Innovation Workshops with customers from the US and Australia,to identify research collaboration possibilities.SETLabs collaborated with leading national and international universit

198、ies such as the Indian Institute of Information Technology,Hyderabad,Purdue University,University of Southern California,and Queensland University of Technology.Researchers from BT Group PLC and SETLabs will also collaborate on research and innovation.A Memorandum of Understanding(MoU)has been signe

199、d to this effect.We currently have two issued patents granted by the US Patent and Trademark Office.An aggregate of 119 patent applications are pending in the US Patent and Trademark Office and Indian Patent Office.7.ReorganizationDuring the year,we reorganized our business units in anticipation of

200、changes in the global IT industry and to differentiate vis-vis our competitors.The reorganization,effective November 2007,will help us to enhance the“One Infy”experience and will,in turn,deepen our transformational capabilities.The restructuring will also help us to broaden our customer base and str

201、engthen our current portfolio through scale benefits.The new opportunities will leverage the strengths of our next-generation of leaders.HighlightsSix vertical Industry Business Units(IBUs)and five Horizontal Business Units(HBUs)that cut across all verticalsThe European business divided into industr

202、y verticals,and integrated within the IBUsThe New Growth Engines(NGE)unit formed to expand business in Australia,China,Japan,Middle East,Canada,South America and Latin AmericaIndia Business Unit formed to focus on India and tap the growing domestic marketInfosys Technologies(China)Company LimitedInf

203、osys Technologies(China)Company Limited(Infosys China)is a wholly-owned subsidiary and was formed to expand our business operations in China.We have invested US$10 million(Rs.46 crore)of capital in Infosys China and advanced a loan of US$8 million (Rs.32 crore)as of March 31,2008.During the year,Inf

204、osys China serviced 59 clients,and generated a revenue of Rs.77 crore,with a net loss of Rs.7 crore.The employee strength as on March 31,2008 was 699.Infosys Consulting,Inc.In April 2004,we established Infosys Consulting,Inc.,a wholly-owned subsidiary,in Texas,U.S.,to add high-end consulting capabil

205、ities to our Global Delivery Model.The Board had approved an investment of up to US$75 million in the share capital of Infosys Consulting,Inc.We have invested US$40 million(Rs.171 crore)as of March 31,2008.During the year,Infosys Consulting serviced 90 clients,and generated a revenue of Rs.246 crore

206、,with a net loss of Rs.51 crore.The employee strength as on March 31,2008 was 265.Infosys Technologies S.de R.L.de C.V.During the year,we established our first Latin American subsidiary,and opened a development center and office for the region in Monterrey,Mexico.The subsidiary,Infosys Technologies

207、S.de R.L.de C.V.,provides our complete range of business consulting and information technology services for clients in all industries including banking,financial services,retail,consumer packaged goods,resource,energy and utilities.The center provides key offerings in business process outsourcing,in

208、frastructure management and packaged solutions implementation.The Board has approved an investment of up to Mexican Pesos 59.9 million.During the year,Infosys Mexico serviced six clients,and generated a revenue of Rs.3 crore,with a net loss of Rs.7 crore.The employee strength as on March 31,2008 was

209、 75.Our investment in the subsidiary as of March 31,2008 was Rs.22 crore.4.FinacleFinacle,our universal banking solution,helps banks win in the flat world by enabling them to shift their strategic and operational priorities.It maximizes their opportunities for growth while minimizing the risks that

210、come with large-scale business transformation.This modular solution addresses the core banking,treasury,wealth management,consumer and corporate e-banking,mobile banking and web-based cash management requirements of universal,retail and corporate banks worldwide.We recently released Finacle version

211、10,which brings a whole new set of offerings including Islamic banking,wealth management and enhanced mobile banking solutions.Finacle currently powers 109 banks across 60 countries,helping them serve over 20,000 branches,160 million customers,230 million accounts,and 1,50,000 concurrent users,suppo

212、rting over 69 million peak banking transactions per day spread across multiple installations.Independent reports by renowned research firms have positioned Finacle among the leaders in the global evaluation of retail core banking solution vendors.Finacle has also emerged as one of the most scalable

213、core banking solutions in the world by achieving an unparalleled performance benchmark of 104 million effective transactions per hour(29,010 ETPS).5.QualityWe continue to invest and reap benefits through quality initiatives.In August 2007,Infosys China was appraised at Level 5 of the latest CMMI mod

214、el,v1.2.It is the first company in China to hold this certification.Apart from continued focus and surveillance audits in ISO certifications such as ISO 9001-TickIT,ISO 27000,AS 9100,etc.,our quality department manages key process improvement initiatives.Our quality initiatives are aligned to busine

215、ss goals of units through the balanced scorecard approach.24|Power of talent9.AwardsThese are some of the awards that we received during the financial year 2007-08:Award for best investor relations by an APAC company in the US market at IR Magazine US Awards 2008ICAI judged the Infosys Annual Report

216、 2007 as the best in the Information Technology,Communication and Entertainment Enterprises categoryThe International Association of Outsourcing Professionals(IAOP)named Infosys in its 2008 Global Outsourcing 100Best Investor Relations Website and Company with Best Corporate Governance Practices in

217、Investor Relations(IR)Global Rankings 2008 in APAC categoriesVoted the New Age Employer of Choice in 2007 in a poll conducted by CNBC-TV18,CNBC Awaaz and MWe moved up to No.14 on FinTech 100,an international annual listing of the top 100 global application and service providers to the financial serv

218、ices industryNamed Best Outsourcing Partner in Waters Readers SurveyNamed a leader in Global IT Infrastructure OutsourcingNASSCOM-India Today Woman Corporate Award for excellence in gender inclusivityGlobal MAKE award for the fourth yearFortunes Top 10 Companies for LeadersBloom Group named I as a p

219、rospect-friendly websiteThe Reputation Institute named Infosys,a globally respected companyDun&Bradstreets Top Indian IT Companies 2007LACP Silver Award for Infosys Annual Report2007 Optimas Award in the Global Outlook categoryOur customers and market influencers also commended our service excellenc

220、e and delivery efficiency during the year:The 2007 Boeing Performance Excellence Award(BPEA)from The Boeing Company for a 12-month gold-level performanceNamed Royal Bank of Scotland Groups 2007 Best Technology SupplierTwo Partner in Progress awards from Sears Holdings CorporationDaimlerChryslers IPS

221、 Supplier of the Year 2006Named Sainsburys 2006 IT Supplier of the Year10.Development centersDuring the year,we incurred capital expenditure aggregating Rs.1,181 crore on physical infrastructure,(Rs.1,194 crore during the previous year),and another Rs.189 crore on technological infrastructure,(Rs.24

222、9 crore in the previous year).In all,Rs.1,370 crore has been invested,as against(Rs.1,443 crore in the previous year).As of March 31,2008,in India,we had 164.77 lakh sq.ft.of space with 77,754 seats,and an additional 83.63 lakh sq.ft.under construction that would provide 26,881 seats.11.LiquidityWe

223、continue to be debt-free,and maintain sufficient cash to meet our strategic objectives.Liquidity in the balance sheet needs to balance between earning adequate returns and the need to cover financial and business risks.Liquidity also enables us to make a rapid shift in direction,should the market so

224、 demand.During fiscal 2008,internal cash flows have more than adequately covered working capital requirements,capital expenditure,investment in subsidiaries and dividend payments,leaving a surplus of Rs.2,079 crore.As on March 31,2008,we had liquid assets of Rs.7,689 crore as against Increased focus

225、 on delivery excellenceConsolidated consulting skillsConsolidated sales and marketing functionsExecutive CouncilAs part of the re-organization,an Executive Council(EC),chaired by the CEO,consisting of the COO,CFO,executive board members and select unit heads,was constituted,to leverage the strengths

226、 of our next generation of leaders.The responsibilities of the EC members include participation in the formulation of business strategy with the Board,framing policy for strategy deployment,ensuring management and operational supervision,and enabling risk mitigation strategies.8.BrandingDuring the y

227、ear,we received the Diamond Award for the best global brand campaign in the category of Sharpening Brand and Competitive Differentiation from the IT Services Marketing Association(ITSMA).We got extensive coverage in leading global print,electronic and digital media.Time magazine commented on our pro

228、fessionalism with the headline“Meritocracy is the model.”Newsweek referred to us as a“Titan of globalization.”BusinessWeek,The Independent,The Guardian,Financial Times,BBC World,CNBC and CNN covered Infosys during the year.We were also featured on leading online business and technology destinations

229、like , and .CNBC promoted the Infosys brand on its channels across the US,Europe and Asia as a sponsor of the“Whos in charge?”debate and as the host of the 2020:Future By Design breakfast at Davos.Our employees continued to demonstrate thought leadership and domain expertise with papers in leading i

230、ndustry publications like Bank Accounting&Finance(“The Subprime Mortgage Market:Current State and the Road Ahead”),Wall Street&Technology(“Corporate Actions Outsourcing Utilizing a SaaS Model”)and Manufacturing Business Technology(“Win in the flat world:Apply Lean principles across the IT organizati

231、on”).We were recognized as a leader by leading analyst firms for many of our offerings.A leading analyst firm ranked us as a leader in global IT infrastructure outsourcing,SAP implementation providers and Oracle implementation providers.We also figured as a leader for North America and Europe Offsho

232、re Application Services.Infosys BPO was ranked amongst the top six comprehensive FAO service providers by a leading analyst firm.We were the key sponsor of many flagship events including Sapphire and Oracle Open World.Our executives were invited speakers at leading C-level conclaves like India Econo

233、mic Summit,Fortune CEO Summit and World Economic Forum.We have leveraged Web 2.0 technologies for effective online branding.Our blogs ran on ,our videos run on YouTube and the investor section of our website was voted as the winner in the Best Investor Relations Website and Best Corporate Governance

234、 categories in Asia Pacific and Africa by MZ Consult NY LLC,in the 2008 investor relations global rankings.We also launched our own intranet-based TV channel,Infy TV,for internal communication and branding.Infosys Foundation is sponsoring the ACM(Association for Computing Machinery)Award through an

235、endowment.The ACM-Infosys Foundation Award in the Computing Sciences recognizes personal contributions by young scientists and system developers to a contemporary innovation that,through its depth,fundamental impact and broad implications,exemplifies the greatest achievements in the discipline.The a

236、ward carries a cash prize of US$1,50,000.We also instituted a Rs.1 million Infosys Mathematics Award jointly with the National Institute of Advanced Studies in order to encourage research in mathematics and sciences.Infosys Annual Report 2007-08|25 We used to report the“Current cost adjusted financi

237、al statements”as an additional information to the shareholder,using the methodology prescribed by the Guidance Note on Accounting for Changing Prices issued by the Institute of Chartered Accountants of India which is similar to IAS 29 issued by the International Accounting Standards Committee(IAS).R

238、ecently,the International Practices Task Force(IPTF)appointed by the AICPAs Center for Audit Quality had identified certain hyper-inflationary economies for which this standard is applicable.IPTFs criteria for identifying hyper-inflationary economies is similar to that of IAS 29,Financial Reporting

239、in Hyper-inflationary Economies.Since,this standard is applicable only to identified hyper-inflationery economies,we do not consider it relevant to continue publishing this report and the same has been discontinued starting this fiscal year.During the year,NASDAQ modified its rules relating to dispa

240、tch of annual reports to ADR holders.Under the amended rules,a company can host the annual report on its website,in lieu of physical distribution.We have decided to adopt this rule and accordingly have made the annual report and the filing with the US Securities and Exchange Commission(SEC)in Form 2

241、0-F available on our website .However,a physical copy will be made available to shareholders on request.Consequent to this,we are not circulating the Form 20-F filing with SEC to our shareholders in India,but the same would be made available to shareholders on request.However,the extract of the audi

242、ted balance sheet and income statement as per US GAAP is provided in the Annual Report.The International Financial Reporting Standards(IFRS)are gaining the attention of companies,regulators and investing communities across the globe.Many countries have adopted IFRS and some of them,including India,a

243、re in the process of adopting the same.Recently,SEC permitted Foreign Private Issuers to file financial statements in accordance with IFRS without any reconciliation with US GAAP.SEC is in the process of announcing a framework and rules for adoption of IFRS by domestic companies in the US.Currently,

244、we report our financials under both Indian and US GAAP.We also report in substantial compliance with the GAAP of six countries namely Australia,Japan,UK,France,Germany and Canada.We have evaluated the requirements of IFRS and believe that we are fully prepared to adopt IFRS.However,we will await the

245、 issuance of final framework and rules for adoption of IFRS by domestic companies by SEC before we adopt the same.In the interim,we have provided the balance sheet and income statement in substantial compliance with IFRS in the Annual Report.17.Particulars under Section 212 of the Companies ActAs pe

246、r Section 212 of the Companies Act,1956,we are required to attach the directors report,balance sheet,and profit and loss account of our subsidiaries.We had applied to the Government of India for an exemption from such an attachment as we present the audited consolidated financial statements in the A

247、nnual Report.We believe that the consolidated accounts present a full and fair picture of the state of affairs and the financial condition,and are accepted globally.The Government of India has granted us exemption from complying with Section 212.Accordingly,the Annual Report does not contain the fin

248、ancial statements of these subsidiaries.We will make available the audited annual accounts and related information of subsidiaries,where applicable,upon request by any of our investors.These documents will also be available for inspection during business hours at our registered office in Bangalore,I

249、ndia.18.Particulars of employeesAs required under the provisions of Section 217(2A)of the Companies Act,1956,read with the Companies(Particulars of Employees)Rules,1975,as amended,the names and other particulars of employees are set out in the annexure to this report.The Department of Company Rs.5,6

250、10 crore at the previous year-end.These funds have been invested in deposits with banks and highly-rated financial institutions.12.Increase in share capitalDuring the year,we issued 7,85,896 shares on the exercise of stock options under the 1998 and 1999 employee stock option plans.Due to this,the o

251、utstanding issued,subscribed and paid-up equity share capital increased from 57,12,09,862 shares to 57,19,95,758 shares as of March 31,2008.13.AppropriationsDividendIn October 2007,we paid an interim dividend of Rs.6/-per share(120%on par value of Rs.5/-).We recommend a final dividend of Rs.7.25 per

252、 share(145%on par value of Rs.5/-per share)and a special dividend of Rs.20/-per share(400%on par value of Rs.5/-each).We recommended the special dividend on crossing a significant milestone of reaching US$1 billion in net profits.The total dividend amount is Rs.1,902 crore,as against Rs.649 crore fo

253、r the previous year.Dividend(including dividend tax)as a percentage of profit after tax is 49.8%(19.8%excluding the special dividend)as compared to 19.9%in the previous year.The register of members and share transfer books will remain closed from May 31,2008 to June 14,2008,both days inclusive.Our A

254、nnual General Meeting has been scheduled for June 14,2008.Transfer to reservesWe propose to transfer Rs.447 crore to the general reserve.An amount of Rs.6,642 crore is proposed to be retained in the profit and loss account.14.Dividend policyOur current financial policy is to pay dividends up to 20%o

255、f net profits.The Board reviewed the policy,and considering the need to balance the cash required in the business with that of enhancing returns to shareholders,decided to increase the dividend payout ratio up to 30%of net profits effective fiscal 2009.15.Corporate governanceWe continue to be a pion

256、eer in benchmarking our corporate governance policies with the best in the world.Our efforts are widely recognized by investors in India and abroad.We have undergone the corporate governance audit by ICRA and CRISIL.ICRA has rated our corporate governance practices at CGR 1.CRISIL has assigned CRISI

257、L GVC Level 1 rating to us.We have complied with the recommendations of the Narayana Murthy Committee on Corporate Governance constituted by the Securities and Exchange Board of India(SEBI).For fiscal year 2008,the compliance report is provided in the Corporate governance report section of this Annu

258、al Report.The auditors certificate on compliance with the mandatory recommendations of the committee is annexed to this report.We have documented our internal policies on corporate governance.In line with the committees recommendations,the Managements discussion and analysis of the financial positio

259、n of the Company is provided in this Annual Report and is incorporated here by reference.We continue our practice of providing a report on our compliance with the corporate governance requirements of six countries,in their national languages,for the benefit of our shareholders in those countries.Dur

260、ing the year,we continued to fully comply with the US Sarbanes-Oxley Act of 2002.Several aspects of the Act such as the Disclosure Committee Requirements,Whistleblower Policy,and Code of Conduct for Senior Officers and Executives have already been instituted.16.Additional information to shareholders

261、We continue to provide additional information in the form of intangible assets score sheet,human resources accounting and value-added statement.26|Power of talentAffairs has amended the Companies(Particulars of Employees)Rules,1975 to the effect that particulars of employees of companies engaged in

262、the information technology sector posted and working outside India,not being directors or their relatives,drawing more than Rs.24 lakh per financial year or Rs.2 lakh per month,as the case may be,need not be included in the statement.Accordingly,the statement included in this report does not contain

263、 the particulars of employees who are posted and working outside India.19.DirectorsAs per Article 122 of the Articles of Association,Claude Smadja,Sridar A.Iyengar,Nandan M.Nilekani,K.Dinesh and Srinath Batni retire by rotation in the forthcoming Annual General Meeting.All of them,being eligible,off

264、er themselves for re-appointment.20.Responsibility statement of the BoardThe directors responsibility statement,setting out the compliance with the accounting and financial reporting requirements specified under Section 217(2AA)of the Companies Act,1956,in respect of the financial statements,is anne

265、xed to this report.21.AuditorsThe auditors,M/s.BSR&Co.Chartered Accountants,retire at the ensuing Annual General Meeting and have confirmed their eligibility and willingness to accept office,if re-appointed.22.Fixed depositsWe have not accepted any fixed deposits and,as such,no amount of principal o

266、r interest was outstanding as of the balance sheet date.23.Conservation of energy,research and development,technology absorption,foreign exchange earnings and outgoThe particulars as prescribed under Sub-section(1)(e)of Section 217 of the Companies Act,1956,read with the Companies(Disclosure of part

267、iculars in the report of the Board of Directors)Rules,1988,are set out in the annexure to this report.24.Human resource managementEmployees are vital to the Company.We have created a favorable work environment that encourages innovation and meritocracy.We have also set up a scalable recruitment and

268、human resources management process,which enables us to attract and retain high caliber employees.We added 13,659(net)and 22,671(gross)employees,taking the total strength to 73,490(net)up from 59,831 at the end of the previous year.Our attrition rate stands at 13.4%compared to 13.7%for the previous y

269、ear.Attrition,excluding involuntary separations,stood at 12.1%compared to 12.2%in the previous year.Over the last year,8,85,035 people applied to us for employment and we continue to remain an employer of choice in our industry.25.Sustainability initiativesSustainability to us means measuring succes

270、s by how much wealth we create responsibly for our customers,employees,the society in which we operate and all our other stakeholders.This commitment is embedded in the setting up of a Sustainability Executive Council to promote our efforts and help the business units view operations in that context

271、.We believe in creating sustainable frameworks with academia,NGOs,non-profit organizations,and civil and trade bodies to reach out to communities as well as help create policies with the government.Enabling work environmentA good workplace,as we define it,balances our commitment to the health and sa

272、fety of employees while reducing the environmental impact.Our commitment to Health,Safety and Environment(HSE)is deployed through Project Ozone,a comprehensive HSE management system initiated in 2003.Our goals in the medium term include reducing the consumption of water,power and paper by 25%and car

273、bon emissions by 10%.We plan to become carbon neutral in the next two years by managing and reducing carbon emissions,reducing carbon intensity by purchasing green energy,and creating carbon sinks.Our Health Assessment and Lifestyle Enrichment(HALE)initiative,focuses on enhancing the emotional value

274、-add of our employees,by optimizing their health,quality of life and work environment.We have created world-class gymnasiums,swimming pools,aerobics centers,tennis courts,etc.This year,HALE conducted 52 events related to health and wellness in which 13,200 employees participated.All employees are co

275、vered by health insurance,while contractual employees benefit from subsidized annual medical check-ups.Enabling employeesDiversity and inclusion:As a global organization,diversity enables us to build confidence and trust in the minds of customers and employees.Our employees belong to 70 nationalitie

276、s.We have recruited 239 disabled employees.To attract the most competitive talent,we offer an inclusive work environment.Our principle is to de-emphasize the differences and celebrate commonality.We have set up a Diversity Office guided by a Diversity Council comprising members from across the Infos

277、ys Group.We have created support systems and programs for employees,especially working mothers,the disabled and employees of different nationalities.We have also introduced diversity dashboards,an inclusivity index and a 360 degree feedback mechanism for managers to ensure that all employees are awa

278、re of their accountability to diversity and inclusion.Employee education:We are committed to equipping employees with skills that will help their career and personal growth.Our Education and Research(E&R)department offers technical and project management training to employees.Through the foundation

279、program,all entry-level employees are trained at the Global Education Center in Mysore.It amounted to 6,13,738 training person days.On the role-based training front,employees opted for both classroom as well as e-learning courses on technical and project management skills,leading to 37,710 training

280、person days.About 27,604 employees completed their technical competency certification program this year.We piloted the internship program for India-based,final-year Computer Science students this year.So far,243 interns from 33 premier colleges have joined the program.During the year,E&R won the AST

281、D(American Society for Training and Development)BEST award.Infosys Leadership Institute(ILI):ILI caters to employees needs in the areas of behavioral and leadership skills and supports personal development through systematic processes.ILIs efforts resulted in 1,80,019 training person-days this year.

282、Project Management Center of Excellence(PMCoE):PMCoE focuses on enhancing the project management competencies of our employees through multiple interventions.To date,PMCoE has trained over 2,800 managers in professional project management framework.We have over 1,800 managers/senior managers certifi

283、ed as Project Management Professionals from PMI,USA.PMCoE will help the business through continuous improvements on consultancy capability,mentoring structures,training modules and best practices.ES Academy:The Academy trained 1,400 MBA graduates(functional consultants)in domain,technology,project m

284、anagement and quality processes,and leadership.During the year,4,000 software engineers were trained in domain and business processes.It also provides technical and domain certifications that are benchmarked with world-class academic certifications.Since 2005,the Academy has Infosys Annual Report 20

285、07-08|27 Campus Connect,our high impact and largest academic initiative,was started in 2004.It focuses on preparing industry-ready IT professionals by aligning skills of engineering students with industry needs.There are 490 colleges currently partnering with us and together we have enabled 25,521 s

286、tudents(with 15,000 in the pipeline)during the year.Project Genesis is aimed at aligning the teaching methodology and course-curriculum at graduate schools to the BPO industrys needs,especially in smaller towns,to improve the students employability.About 798 teachers and 22,619 students from 389 col

287、leges were benefitted this year.The number of students who benefited from this program increased by almost 200%.InStep,our global internship program,attracts students from the best academic institutions around the world to work on live and organizationally relevant projects.The 80+colleges include S

288、tanford,Oxford,Cornell,Purdue,Harvard and others from Spain,Italy,Denmark,Norway,Chile,Colombia and Israel.We receive,on an average,12,000 applications and select 100+students every year.Infosys Fellowship Program,instituted at 12 premier academic institutions in India,supports research leading to a

289、 Ph.DThrough Industry Academia Partnership(IAP),Infosys BPO works on aligning course curriculum with industry requirements.As part of the program,we provide summer internships for final-year students and offer employment based on performance.Since its inception in 2007,IAP has covered 17 colleges,en

290、abling 714 students.A knowledge center in Rajasthan is currently being set up.Academic Entente(AcE)is a strategic initiative in which our employees collaborate with faculty from leading universities like Harvard,Stanford and Tuck School of Business,to publish case studies on innovation and consultin

291、g.Our employees participate in industry-academia conferences and guest lectures at prestigious forums,such as the Balanced Scorecard Hall of Fame.Student groups and faculty members also visit our campuses.Every year,we train students from countries at the nascent stage of developing knowledge worker

292、s such as Thailand,Panama,China,Malaysia and Mauritius.While the travel costs are borne by the respective governments,we fund their training and accommodation.We have trained 560 students since 2005.In Australia,we promote tertiary education by providing student scholarships.Inclusive growth We have

293、 recruited 239 disabled people for our Infosys BPO operations,making us the biggest employer of the disabled in the Indian IT industry.Through the disability initiative,we help the selected employees gain relevant competencies for the ITeS industry and enable our managers to create an inclusive work

294、 environment.Our goal is to increase the number of disabled employees to at least 2%of our workforce in ITeS.Infosys Womens Inclusivity Network(IWIN),our gender inclusive program,was initiated in 2003.IWIN works with bodies like NASSCOM to create frameworks and research on gender inclusion.Women emp

295、loyees constitute 31%of our workforce today.This year,to mark International Womens Day,we launched SPARK,a unique two-day event for women students in their fourth-sixth semester from engineering colleges across India.The event witnessed the participation of 420 colleges.Special Training Program(STP)

296、,aims at enabling students from rural areas to join the IT/ITeS industry,and has so far benefitted 479 students.certified 16,000 employees.It continues to collaborate with external educational units like Oracle University and Seibel University,in order to leverage their knowledge-base for our functi

297、onal and technical consultants.Besides the internal education programs,we fund higher education programs for employees who wish to pursue degrees such as MBA,MCA,MS,CFA,etc.Since 2005,we have sponsored the education of about 280 employees.Knowledge Management(KM):The KM initiative was formally launc

298、hed at Infosys China during the year.We maintain our successful run with new methodologies for knowledge sharing and adoption.Knowledge blogs and customized wiki solutions are rolled out to employee communities to help them foster collaborative networks for speedier and smart project execution.Our c

299、entral knowledge repository saw significant growth in volumes and quality this year with more than 30,000 knowledge assets,complemented by half as many documents distilled from projects and process-mandated artifacts.In addition,other KM systems host around 90,000 knowledge interactions and are arch

300、ived.Empowering societySince inception in 1981,we have created multiple frameworks for corporate governance,education,infrastructure and inclusive growth.We believe that corporations must reach out to the society and help by improving the quality of education and healthcare through various community

301、 development programs.Our Corporate Social Responsibility(CSR)activities are carried out at four different levels:Global initiatives to develop human capital by creating sustainable frameworks with educational institutes for training students and faculty The Infosys Foundation has a dedicated team t

302、o reach out to the underprivileged and enrich their livesAt the Board level,members lead by example by participating in the advisory councils of NGOs and civil bodies,and donating their time,money and effort to various causes At the employee level,location-wise CSR teams address local requirements O

303、ur five key CSR themes are education,healthcare,art and culture,rural upliftment and inclusive growth.We identify partners and beneficiaries based on their goals,credibility,performance and alignment to our vision and values.The initiatives in education,inclusive growth and pro bono engagements are

304、detailed here,while initiatives on healthcare,art and culture,and rural upliftment are detailed in our report on Infosys Foundation.Education Primary level initiativesWe are a key sponsor of the Akshaya Patra foundation which provides unlimited free meals for economically-disadvantaged school studen

305、ts.We assist 80,000 children across India through this meal scheme.We have set up more than 15,000 libraries and are also actively involved in constructing classrooms,renovating old school buildings,donating school equipment,conducting career counseling and providing scholarships to students Seconda

306、ry level initiativesCatch Them Young(CTY),our initiative to motivate school students to dream big and aim high,has benefitted around 6,390 students since 2005ComputersClassrooms initiative donated 1,803 computers to schools and NGOs to promote computer awareness Tertiary level initiatives:We have co

307、llaborated with 1,309 colleges in India and abroad,and trained 4,200 teachers and 87,424 students since 2005.28|Power of talent20082007No.of optionsWeighted average exercise priceNo.of optionsWeighted average exercise price1998 PlanOutstanding at the beginning of the year20,84,12490045,46,480908Forf

308、eited(53,212)2,050(1,71,143)1,845Exercised(5,00,465)775(22,91,213)860Outstanding at the end of the year15,30,44781320,84,124900Vested at the end of the year15,30,44781320,84,1249001999 PlanOutstanding at the beginning of the year18,97,8401,1211,91,79,074575Granted6,38,7612,121Forfeited(1,17,716)1,16

309、7(1,11,306)552Exercised(2,85,431)634(1,78,08,689)572Outstanding at the end of the year14,94,6931,16318,97,8401,121Vested at the end of the year10,89,04159312,59,079613In addition,60%of our development centers in India are located in Tier 2 and 3 cities.This infrastructure policy has created employme

310、nt for 30,632 employees and the planned expansion will facilitate an additional 21,000 employees in these locations.It has further facilitated business/employment for the local community.We continue to take up pro bono engagements with both Indian and global bodies.We are partnering with Expand,a no

311、n-profit international development organization,to develop an information and communication technology(ICT)-enabled application that would minimize inventory requirements,reduce waste,and allow retailers and farmers to be better integrated.26.Employee Stock Option Plan(ESOP)We had introduced various

312、 stock option plans for our employees.The details of options granted under the 1998 Stock Option Plan(the 1998 Plan)and the 1999 Stock Option Plan(the 1999 Plan)are given in the table.1998 Plan1999 PlanTotal grants authorized by the plan(No.)1,17,60,000 ADS5,28,00,000 sharesPricing formula on date o

313、f grantNot less than 90%of fair market valueFair market valueVariation in termsNANARatio of ADS to equity shares1 ADS=1 equity shareNAOptions granted during the year(No.)Weighted average price per option granted(Rs.)NANAOptions vested as of March 31,2008(No.)15,30,44710,89,041Options exercised durin

314、g the year(No.)5,00,4652,85,431Money raised on exercise of options(Rs.crore)4018Options forfeited and lapsed during the year(No.)53,2121,17,716Total number of options in force at the end of the year(No.)15,30,44714,94,693Grant to senior managementEmployees receiving 5%+of the total number of options

315、 granted during the yearEmployees granted options equal to or exceeding 1%of the issued capitalDiluted EPS on issue of shares on exercise calculated in accordance with AS 20Rs.77.98Rs.77.98Infosys Young Indians(INFYi),the first corporate chapter of Confederation of Indian Industry(CII),aims to provi

316、de a platform for social entrepreneurs by undertaking activities in economy,education,environment,healthcare and youth affairs.Currently,more than 50 young Infoscions are working on a set of social entrepreneurship ideas.We constantly monitor the progress of initiatives.On the education front,we con

317、duct periodic reviews with academia partners.The success is measured by the annual increase in the number of students and teachers who volunteer to get trained.For example,the Special Training program conducted at IIIT-B for socially and economically underprivileged,resulted in close to 100%placemen

318、ts this year.Further details on our sustainability initiatives will be available in the sustainability report to be published on our website in the near future.The Securities and Exchange Board of India(SEBI)has issued the(Employee Stock Option Scheme and Employee Stock Purchase Scheme)Guidelines,19

319、99.This is effective for all stock option schemes established after June 19,1999.In accordance with these guidelines,the excess of the market price of the underlying equity shares as of the date of the grant over the exercise price of the option,including up-front payments,if any,is to be recognized

320、 and amortized on a straight line basis over the vesting period.Our 1994 option plan came to an end in fiscal 2000.We have the 1998 stock option plan and 1999 stock option plan,where the options are issued to the employees at an exercise price not less than the fair market value.If the compensation

321、cost on account of stock options granted after June 30,2003(as required by the amendment effective June 30,2003)under 1998 and 1999 plans was computed using the fair value method,our compensation cost would have been higher by Rs.13 crore and Rs.1 crore and our profit would hence be less by Rs.13 cr

322、ore and Rs.1 crore for fiscal 2008 and 2007 respectively.The impact on EPS for fiscal 2008 and 2007 would be Rs.0.23 and Rs.0.02 respectively.During fiscal 2008 and 2007,stock options under the 1998 Plan have not been granted,hence the weighted average fair values of grant during these years are nil

323、.During fiscal 2008,stock options under the 1999 Plan have not been granted and hence the weighted average fair values of grant during fiscal 2008 is nil.During fiscal 2007,we granted 6,38,761 options under the 1999 Plan with a weighted average fair value of Rs.582 per option.Infosys Annual Report 2

324、007-08|29 Intellectual Property(IP)created has led to enhanced quality,productivity and customer satisfaction.R&D initiative at institutes of national importanceThe Maintenance Center of Excellence of SETLabs collaborated with the Indian Statistical Institute to work out alternate pricing models.An

325、application for a patent has been filed based on this work.We are also working with the Indian Institute of Information Technology,Hyderabad on unstructured data analytics,inference and diagnostics,and development of next-generation business intelligence tools.We collaborated with the Indian School

326、of Business,Hyderabad on managing and driving innovation in services organizations.This project led to a better understanding of areas where we can operationalize innovation in our customer engagements.The e-commerce research group is working with the Indian Institute of Science,Bangalore on the app

327、lication of game theory and mechanism design to web service composition and procurement.A novel method of combinatorial auction has been designed taking care of service level agreements and quality of service.Specific areas for R&DThe Maintenance Center of Excellence of SETLabs has transformed the m

328、aintenance engineering life cycle into a platform-based,knowledge-centric,collaborative process that significantly differentiates our maintenance offering.The competitive advantage of our Mantra platform was reflected when it helped us win large deals.Two patents applications have been filed around

329、the Mantra platform.The High Performance and Grid Computing research group has developed two platforms called Gradient and GridScape.Our Gradient platform virtualizes distributed and heterogeneous data sources enabling real-time data integration.This is possible by leveraging existing enterprise inf

330、rastructure without any data replication or data movement.Our GridScape platform embodies the vision of a next-generation data center based on a batch workflow distributed over a heterogeneous resource environment.A single dashboard will be available for job management,scheduling,and resource monito

331、ring.The Convergence Lab in SETLabs has developed an entire suite of solutions around the mConnect platform.The team has developed a mobile banking product,a mobile local search solution,and a mobile ticketing and billing solution.Efforts are on to develop a mobile commerce ecosystem consisting of t

332、elecom operators,handset vendors,banks,media companies and local content providers.Besides this,the team is working on wireless networking,sensor networks,and network and device convergence.The Web 2.0 research team has built a framework called Web 2.0 Metrices that benchmarks global Web 2.0 initiat

333、ives.This has helped customers develop a roadmap for Web 2.0 initiatives in their organizations.Based on their work,the team has presented papers,conducted tutorials and organized workshops in multiple prestigious conferences.The team also conducted several workshops for customers.The Information Management group of SETLabs strengthened its HIMI(Holistic Information Management Infrastructure)platf