With Parekh at the Wheel, Will Infosys Log On to Better Strategies? | CORPORATE ETHOS

With Parekh at the Wheel, Will Infosys Log On to Better Strategies?

By: | January 2, 2018

After Infosys Technologies announced the appointment of Salil Parekh as the technology major’s new Managing Director and CEO in December, all discussions in the technology world had centred around how the new man at the helm would bring about a big change at the Infy boardroom strategies. And now January 2 has arrived, and this is the day that Parekh takes over the reins.

After having seen as many as four management changes in the past four year period, Infosys insiders may not be spending much time discussing the new appointment. However, for Salil Parekh, this stint is, for sure, going to be huge – in terms of responsibilities and keeping hopes aloft.

Taking over from interim CEO U B Pravin Rao, Salil Parekh would be looking towards, among other things, pushing forward former CEO Vishal Sikka’s automation strategy, adding muscle to the company’s outsourcing business, and also device strategies that would help retain talent in the company.

As we all know, Vishal Sikka was a keen believer in developing automation strategies so that Infosys would continue its reign at the top. Parekh will, most probably, be thinking on those lines as he also understands that the move towards better automation and tapping arenas like cloud, big data and analytics would only prove good for the technology player.

However, the former CapGemini executive is an outsider and would need time to go through the Infy intricacies before putting beliefs into practice. The technology company, in fact, may not mind a delay, but would look up to Parekh to step up the accelerator in these high margin areas.


The company’s long standing traditional outsourcing business may be seen as having hit a trough with revenues declining of late. Even though newer arenas in the outsourcing terrain had been ushered in, it looks like they might take a while before making big money. Adding to the trouble, the likely changes that could happen in the United States HIB visa norms, the Indian tech company could need a more effective strategy to tide over such hassles. The new man at the helm, going by an FE analysis of the appointment, could be working on better strategies on that front too.

When Vishal Sikka left the company in August last year, the company had suffered a jolt in terms of attrition. The company had faced a challenge in retaining talent at the senior level following the event. The Infosys leaders would, for sure, look towards Salil Parekh on that front too, and he would be expected to roll out better strategies to check attrition.

For Infosys, Salil Parekh’s appointment comes with expectations galore. The new CEO has quite a few tasks in hand. Apart from the large number of Infy professionals working in various locations, Chief Mentor N R Narayana Murthy would also be looking to see the new man in the CEO’s seat perform.