Salil Parekh, CEO, Infosys, concurred that while there is a possibility of client cutting down spends, there are newer areas of growth such as cloud, automation and vendor consolidation that will drive growth.
Newer growth areas such as cloud, automation and workplace transformation will be key drivers of growth for Infosys at the back of coronavirus pandemic, said Nandan Nilekani, chairman, Infosys.
Speaking at the 39th annual general meeting virtually, Nilekani, said, “The COVID-19 pandemic is extraordinary and unprecedented. It has impacted the world and every country, business and individual.”
“These are not easy times for any of us, and our clients are dealing with several challenges as well,” he added.
For instance retailers that are in the non-grocery, apparel, lifestyle and fashion sections have been impacted along with travel and hospitality sectors.
In addition bankers are now facing deferred loan payments and insurance sector is compelled to charge lower premiums in some categories.
For manufacturers, there are challenges related to both demand and broken supply chains. Media and entertainment has also been impacted due to reduced outdoor activities and shrinking ad spend.
COVID-19 has also delayed 5G projects and adoption is likely to slow down as well, as corporate begin to reconsider their capital allocation.
At this time, Nilekani said that, technology is essential.
“We have already pivoted our resources to the new needs of our clients and strengthened our expertise in cloud, workplace transformation and smart automation to be able to help them accelerate and scale their digital endeavors,” he said.
Salil Parekh, CEO, Infosys, said that while there is a possibility of client cutting down spends, there are newer areas of growth such as cloud, automation and vendor consolidation that will drive growth.
Parekh explained that clients now want the digital transformation projects to be implemented in a short period of time. “So clients now want the 24 months digital transformation to be implemented in two months,” Parekh said.
In addition as customers look to save cost, the company has seen increased use case for automation.
“We are seeing that clients are looking consolidation,” he said and added that it will help the company.More localisation across geographies is in the picture at the back of changing immigration regulations, Parekh added. The company has more than 10,000 American workers in the US. Earlier, the company said that it would recruit 4,000 locals in Australia.