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Infosys - Digital Testing

Vendor Analysis

by Dominique Raviart

published on Aug 25, 2017

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Report Overview:

This NelsonHall vendor assessment analyzes Infosys' offerings and capabilities in Digital Testing.  

Who is this Report for:

NelsonHall’s Software Testing Vendor Assessment for Infosys is a comprehensive assessment of Infosys’ digital testing offerings and capabilities designed for: 

  • Sourcing managers monitoring the capabilities of existing suppliers of IT services and identifying vendor suitability for software testing services 
  • Vendor marketing, sales and business managers looking to benchmark themselves against their peers 
  • Financial analysts and investors specializing in the software testing sector. 

Scope of this Report:

The report provides a comprehensive and objective analysis of Infosys’ digital testing offerings, capabilities, and market and financial strength, including: 

  • Analysis of the company’s offerings and key service components 
  • Revenue estimates 
  • Identification of the company’s strategy, emphasis and new developments 
  • Analysis of the profile of the company’s customer base including the company’s targeting strategy and examples of current contracts 
  • Analysis of the company’s strengths, weaknesses and outlook.

Key Findings & Highlights:

Infosys is the third-largest of the Indian-centric IT services and BPS vendors, and the eleventh largest globally by revenues. In FY17 (the period ending March 31, 2017), it had revenues of $10.2bn, and in calendar year (CY) 2016 it had revenues of $10.1bn. Its headcount at the end of Q4 FY17 was 200k.  

The company primarily provides software testing services through its Infosys Validation Solutions (IVS) unit, which was founded in 2001. It initially serviced websites and e-commerce applications as an independent service (from ADM activities), focusing on TCoEs. IVS is a horizontal service line with ownership on P&L and delivery, as well as on pre-sales, centers of expertise, and portfolio management.  IVS is a large practice within Infosys and has 22.5k career testers (at the end of FY17). This headcount does not include an additional 2k career testers working in other Infosys units. IVS therefore represents ~11% of Infosys' total headcount.  

Major IVS clients include tier one organizations: Kraft Heinz, Honda, Prime Therapeutics, And Arizona Public Service. IVS has a track record in gaining very large standalone testing contracts, with TCVs of ~$100m anda regular flow of contracts in the $10m-$50m range.  

In the past five years, IVS has expanded its focus on independent services and TCoEs towards bundling testing services with ADM as part of agile engagements, and driving coordination and collaboration across ADM and testing teams. Meanwhile, it continues to sell independent and TCoEs services for its clients using waterfall.  Looking forward, IVS is focusing on IoT, AI/ML, DevOps, big data, and device testing. It is shifting its approach to helping clients move from a

TCoE model to a more decentralized delivery structure, more aligned with development teams. IVS is also helping clients to fine-tune their agile organization structure and maintain their cost centricity, while increasing go-to-market.  

Another key priority for IVS is to help organizations industrialize their delivery; it continues to create testing services offerings that are backed up by an accelerator or a platform, relying on testing software standardization and self-service.  

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