Press release from GlobeNewswire (a Nasdaq OMX company)
You Don't Have to be XL to Excel(TM)
Monday, April 08, 2013
You Don't Have to be XL to Excel(TM)05:30 EDT Monday, April 08, 2013
TROY, Mich., April 8, 2013 (GLOBE NEWSWIRE) -- Clients look at capabilities as a deciding factor for choosing vendors and partners in the highly competitive Information Technology and Knowledge Process industry. Syntel (Nasdaq:SYNT), a leading global provider of integrated information technology and Knowledge Process Outsourcing (KPO) services, believes this fact of life and business is here to stay.
According to Syntel CEO and President Prashant Ranade, "IT clients have a sophisticated and nuanced view of the value that their partners can bring to the table, which extends well beyond the size of their revenue or number of employees. A partner's capabilities are not determined by the size of the partner."
He also pointed out that the $2 Trillion global IT industry is fragmented, with no single player holding even a double-digit market share.
Ranade indicates that Syntel's strategy to address this market opportunity is to "focus on selected industries and service lines, invest heavily in IP and industry solutions, and ensure that clients receive the best service possible. At each client organization, our goal is to be known as the best partner, not just the biggest."
This view is endorsed by analysts and industry experts.
In a Wells Fargo Securities research report on the IT industry dated February 25, 2013, Analyst Edward Caso wrote, "We see a re-definition of Tier I and Tier II. The old definition was based on size. We now believe clients' increased sophistication and desire for more from their providers has led to a new division in the minds of buyers."
Caso goes on to write that, "Tier I will be the provider of 'solutions' bringing business consulting, analytics and intellectual property (IP), along with the traditional process excellence."
In an article entitled "Three Rules for Making a Company Truly Great" published in Harvard Business Review's April 2013 issue, authors Michael E. Raynor and Mumtaz Ahmed identified 344 exceptional companies based on consistent Return on Asset performance from 25,000 firms listed in the U.S. from 1966 to 2010.
According to the authors, these exceptional companies "compete mainly by offering superior nonprice benefits." The article notes that "exceptional companies, it turns out, come in all shapes and sizes. IBM qualified, and so did Syntel, even though at the time it was only 0.5% of Big Blue's size."
The success of Syntel's emphasis on capabilities has been reflected in the Company's financial performance, which has consistently outpaced the industry by delivering a CAGR of 17% for revenue and 24% for earnings over the past five years.
To drive greater awareness of this trend towards valuing capabilities over size, Syntel has recently launched a new campaign entitled "You don't have to be XL to Excel™."
Preview Syntel's new campaign at: http://www.globenewswire.com/newsroom/prs/?pkgid=17978
Syntel (Nasdaq:SYNT) is a leading global provider of integrated information technology and Knowledge Process Outsourcing (KPO) solutions spanning the entire lifecycle of business and information systems and processes. The Company is driven by its mission to create new opportunities for clients by harnessing the passion, talent and innovation of Syntel employees worldwide. Syntel leverages dedicated Centers of Excellence, a flexible Global Delivery Model, and a strong track record of building collaborative client partnerships to create sustainable business advantage for Global 2000 organizations. Syntel is assessed at SEI CMMi Level 5, and is ISO 27001 and ISO 9001:2008 certified. As of December 31, 2012, Syntel employed more than 21,000 people worldwide. To learn more, visit us at: www.syntelinc.com.
Safe Harbor Provision
This news release includes forward-looking statements, including those with respect to the future level of business for Syntel, Inc. These statements are necessarily subject to risk and uncertainty. Actual results could differ materially from those projected in these forward-looking statements as a result of certain risk factors set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2012 or from other factors not currently anticipated.
CONTACT: North America/Europe: Jon Luebke, Syntel 248/619-3503 email@example.com Asia/Pacific: Sikta Samantaray Syntel Inc. (+91) 9619038730 firstname.lastname@example.org