IT INDUSTRY IN SERVICE SECTOR MANAGEMENT

NAMES SHUBHANGI ADENAKAR ASHA AHUJA ROLL NO. 01 02

SHEEMAN AHMED
PAVAN CHAUDHARI DEEP KADU DINESH NEBHANI TYBMS (2009-10)

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INTRODUCTION TO IT INDUSTRY
The information technology (IT) industry has become
of the most robust industries in the world.

IT, more than any other industry or economic facet,

has an increased productivity, particularly in the developed world, and therefore is a key driver of global economic growth.

Economies of scale and insatiable demand from both

consumers and enterprises characterize this rapidly growing sector.

FEATURES OF THE IT INDUSTRY AT A GLANCE

Economies of scale for the information technology industry are high. The marginal cost of each unit of additional software or hardware is insignificant compared to the value addition that results from it. Unlike other common industries, the IT industry is knowledgebased. Efficient utilization of skilled labor forces in the IT sector can help an economy achieve a rapid pace of economic growth. The IT industry helps many other sectors in the growth process of the economy including the services and manufacturing sectors.

DOMAIN OF THE IT INDUSTRY

Systems architecture Networking Application development Testing Documentation Maintenance and hosting Database design and development Operational support Security services

SUCCESSFUL INDIAN IT COMPANIES

Infosys Technologies Limited Wipro Technologies

Tata Consultancy Services (TCS)

Satyam Computer Services Limited

HCL Technologies Limited

CHARACTERISTICS OF IT INDUSTRY
Intangibility Perishability Inseparability Heterogeneity Ownership Simultaneity Quality Measurement Nature of Demand

ROLE OF IT IN SERVICES
Call Centers/Customer Interaction Services:
These services rely heavily on state- of thecommunications and information technologies. The centre is used for a number of functions like marketing, selling, information dispensing, advice, technical support and e-commerce.

Business Process Outsourcing (BPO)/Back Office Operations:

Banks and airlines require large-scale data processing for their management and decision-making. Such organizations, send raw data over high speed communication links to remote locations for data entry, processing and necessary reconciliation etc.,

ROLE OF IT IN SERVICES
Insurance Claims Processing:

cont..

Large insurance companies can get the claims of their clients processed anywhere. The guidelines to the process are well established and hence can be easily performed at remote locations.

Medical Transcription:
Doctors simply record their findings on a Dictaphones. The recordings are then sent through datacom lines to overseas companies, which transcribe these recordings into reports and send them back electronically.

Legal Databases:
Lawyers can then simply use their computers to draw up a history of similar cases and draw a clear plan of action.

ROLE OF IT IN SERVICES
Online Education:

cont..

The online education market is booming the world over. Many Universities offer some classes online primarily through the Web, via videoconferencing, CD-ROMs and other technologies.

Data Digitisation/GIS:
Digitisation is a labour-intensive process by which physical or manual records such as text, images, video and audio are converted into digital forms.

Payroll / HR Services:
HR service components include recruitment screening, administration and relocation services, payroll processing, compensation administration, benefit planning, and administration.

ROLE OF IT IN SERVICES
Web Services:

cont..

Some of the Web services include e-mail management, Internet security, web page designing and updating, managing of Internet commerce, exchange of data, payment and clearance, electronic data interchange, supply chain management and Internet data centres etc.

MARKETING MIX OF IT SERVICES

PRODUCT

PHYSICAL EVIDENCE

PRICE

MARKETING MIX OF IT SERVICES

PROCESS

PROMO TION

PEOPLE

PLACE

Product
There are various product and services which is offered by the IT companies. Some of are mentioned below: Computers and software like Java, C++, Oracle, ERP models, SAP etc Mobile services. Electronics equipments and appliances. Network system Operating systems

Product
1.CORE IDEA 2.BASIC PRODUCT

5 4 3 2 1

3.EXPECTED PRODUCT
4.AUGMENTNED PRODUCT 5.POTENTAIL PRODUCT

Products Offered By INFOSYS

1) INDUSTRIES Defence, automotive, Banking & capital market, communication, Consumer Packaged Goods, Discrete Manufacturing, Education, Energy, Healthcare, High Technology, Hospitality and Leisure, Insurance, Life Sciences, Media and Entertainment, Resources, Retail, Transportation Services. 2) IT SERVICES Application Services, Architecture Services. Information Management Services, Infrastructure Services, Packaged Application, Services, Systems Integration Services 3) ENGINEERING SERVICES Product Engineering, Process Engineering and Plant Operations, Lifecycle Management 4) BPO SERVICES

Price
The softwares are costly and not affordable by the Indian customer. Price varies according to the brand name, Corporate Image, also at the after sale service provided by IT Companies.

Price offered by INFOSYS

Price of the softwares or the services that INFOSYS offers varies from customer to customer. It depends upon the nature of project, man hours required, complexities involved in project.

Promotion
A lot of money is spent on the promotional activities. Many advertisement are appear I newspaper, magazine, Internet, radio and television. The IT companies also sponsored a T.V. shows, Sports, events etc.

Promotion By INFOSYS
INFOSYS has become brand name over the years. It doesnt employ any promotion strategies for its brand building, since it provides software solutions to businesses & not to independent customer. INFY, stresses on maintaining & developing customer relationship. It has separate IBU named IMS (Infrastructure Management & Services

Promotion By Wipro
Trade Promotions Management
Wipro has formed a center of excellence (CoE) on Trade Promotions Management [TPM] to deepen our domain expertise and offer value added solution to consumer goods customers. Researches and studies on TPM have estimated the trade promotion spending by consumer goods companies to be anywhere between 15 to 25% of their gross revenues.

Place
The distribution of IT services is according to the demand for the product in different areas. Many companies are now franchise and authorize to the local dealers and distributors.

Place of INFOSYS
Infosys is a consulting and IT services company with a global services footprint, Infosys has 48 sales offices around the world of which 4 are in India and 44 are outside India. The picture shows the countries in which infosys has its presence.

People
People include the employee and Customers and other customers.

EMPLOYEES:
In IT Industry the employees are highly educated & trained. Training & Development programs to develop the skills of employees like communication, personality, etc. e.g.:- Bachelor of Engineering Computer Science Graduates are working as faculty, programmer, system or data administrators.

High Contact Personnel: Customer service, executive staff. Low Contact Personnel: Software Engineers. No Contact Personnel: Owners of the company, softwares creators & cleaning staff.

People
CUTOMERS:
Customers are productive resources: Feedback - Online feedback & complaints, Toll free numbers, Various outlets.

INFOSYS
32.4% of Infosys employees are women Acquired global talent from over 70 nationalities 9,64,205 person days of technical training for entry level employees

Process
The service process refers to how a service is provided or delivered to a customer. Delivery system is a creative process. Designing a service process involves issues such as location facility, design & layout for effective design & layout for effective customer & work flow, procedure & job definitions for service providers, extent of customer involvement, measures to ensure service quality, equipment selection & adequate service capacity. There is no specific proper delivery system for delivering the service. In IT industry, the process varies according to the nature of services provided to the customer. E.G.:- In case of internet service there are different systems like Wireless Modem & Data Cable.

Physical Evidence
Physical Facilities: Essential Evidence- Building, Parking Space, Furniture, Interiors. Peripheral Evidence- Employees certificates. Physical Environment: Superior Decoration. Social Setting: Employee uniform, ID cards, appearance.

Physical Evidence Of INFOSYS

Infosys has got a very huge and state-of-art buildings spread across lush greenland. Its Mysore campus, which is a training centre for fresh recruits, is awesome. Almost all the Infosys campuses are well-equipped with latest gym machinery, swimming pool, table tennis table, etc. which acts as a stress buster for its employees. All this, along with well-maintained gardens around, make Infosys a very pleasant place to work in. People take pride in explaining their work culture to others when it comes to Infosys.

Physical Evidence Of INFOSYS

CHALLENGES IN IT INDUSTRY
INFRASTRUCTURE AND SERVICES
Cost of access devices Installation cost Provision in large parts unviable Recognition of non-branded PCs Use of regional languages Integration of Services Availability of Bandwith Procedural delay Availability of Data Circuits

ELECTRONICS GOVERNANCE EDUCATION

SERVICE FAILURE AND RECOVERY

SERVICE FAILURE: In Software: Some times, there are bugs in softwares due to which the softwares cannot function properly. Sometimes software companies fail to provide services as per the customer needs.

In electronics: Many times electronics fail to perform its functions. e.g. Failure of television sets
In mobile services: The network service providers fail to provide their proper network services. The Customer services are slow or unable to provide as per the need of customer.

SERVICE FAILURE AND RECOVERY

In Softwares Where a failure occurs a customer complaint are recorded through online or Toll free numbers then company checks or verify the license or guarantee period of the software. After that complaint is registered the company checks the problems occurs in the softwares and reply accordingly. Then the complaint is taken into action accordingly. The company tries to satisfy the expectation of consumer who have complaint.

CUSTOMER EXPECTATIONS
Expectations are formed from a variety of influencing factors, including past experience, current needs, feedback from friends, colleagues and relatives, customers previous experience of a company and that of his competitors. The meaning of expectations, is different in the service context, and the consumer behavior context. In consumer behaviour, expectations are predictions made by a consumer about what is likely to happen during transaction. In services marketing expectations are viewed as desires public \ wants. that what one feels that service provider should offer.

CUSTOMER PERCEPTIONS
Perceptions are always considered related expectations. Service encounter The customer gets a clear impression of the service, during his service encounter. i.e., when the customer interact with the service and starts using the service. Each service encounter represents both an opportunity to enhance the customer satisfaction in dealing with the company and a threat to service delivery 1. Remote encounters 2. Phone encounters 3. Face-to-face encounters

RECENT TRENDS IN IT
Introduction of digital telephone exchange. Common business documents are being replaced by paperless Electronic data Interchange. Conventional data entry giving a way to scanners digitized Image processors. Hardware prices are declining and micros are becoming as powerful as minis resulting in an increases of mini/micro users, compare to mainframe.

RECENT TRENDS IN IT
Although artificial intelligence is being experimented with, knowledge bases expert systems are slowly being made available. Decision support system is gaining importance Increased capability of computer systems and the growth on use of internet. The need for data communication and networking is increasing. Even heterogeneous computers are getting linked. Greater acceptance of the use of IT.

ESSENCE AND FUTURE OF INFORMATION TECHNOLOGY

Fourth factor of production

Generate foreign exchange earnings

In USA, Internet Economy accounts for US $270 billion as against energy $223 billion.

Creating high quality employment.

A major part of the IT industry is in the private sector and it accounts for 76% of its total production in electronic hardware. This is likely to reach to about 86 per cent by the end of 2002. The government has appointed a special task force on Information Technology and Software Development in 1998.

CONCLUSION
All other forms of industry are mainly dependent on this industry. Pervaded a wide range of industries Quick speed of work. A major market for the Indian software and services industry.

IT in recession.