iGATE Patni is a provider of
Information TechnologyInformation technology is the acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications...
services and business solutions. The company employs over 15,000 people, and has 23 international offices across the Americas, Europe, and the Asia-Pacific region, as well as offshore development centres in eight cities in India. Patni's clients include more than 400
Fortune 1000Fortune 1000 is a reference to a list maintained by the American business magazine Fortune. The list is of the 1000 largest American companies, ranked on revenues alone...
companies.
History
Narendra K. Patni first came to the US in 1964 on an MIT fellowship and in the early 1970s, he was appointed the president of Forrester Consulting Group, which advised companies and government agencies on technology issues.
While there, he became aware of the benefits of outsourcing during a project involving advance level typesetting. “The best way to do it is where the labor is cheaper”, he said and so was born the first outsourcing companies in India.
Beginning
The name of the company was initially Data Conversion Inc in 1972.
Narendra PatniNarendra Patni was the founder, chairman, and chief executive officer of Patni Computer Systems. He was born to a Marwari jain family....
and his wife Poonam started this experiment in their house, naming one room as the ‘US’ and the other as ‘India’. In one room, they wrote instructions to convert data from paper documents to computers. In another room, a group of MIT students typed out the data into a Flexowriter machine that produced paper tape, which was then a very labor intensive data conversion process. A ground rule was that there would be no conversation only written notes, because at that time phone connections between US and India were still unreliable.
The husband and wife duo who commenced operations from their apartment in the US, began with 20 people in back office operations in Pune, Now there are over 14,000 employees worldwide. In the Pune office, employees typed out court documents for LexisNexis, movie summaries for the American Film Institute and catalogs for the American Mathematical Society. Each week boxes of paper tape were flown to the US for processing through readers and conversion into magnetic tapes that were fed into computers. This experiment has mushroomed into a business empire and a global phenomenon that is fuelling productivity.
This was Patni's first step into the provision of software services. By late 1970s the company had acquired enough foreign exchange to take the next step forward. Patni decided to import multi-user server systems and sell computer time. An agreement with US based computer manufacturer Data General to supply computer systems through satellite links helped create Patni Computer Systems in 1978. The company was incorporated in India on 10 February 1978 under the Indian Companies Act, 1956.
Around the same time Naren Patni was considering software development opportunities with Data General to be delivered from India. Mr. Patni’s dream of using India as a high quality and low cost delivery base became a reality, when in 1986 India’s first ODC (Offshore Delivery Centre) for Data General was set up. This was the start: Patni successfully initiated and developed the outsourcing business model, which flourished into one of the largest industries worldwide, connecting the world in ways that were unimaginable some time ago.
During the early 1990s the company was focused on its hardware market and did not take advantage of the growth of software opportunities. It was then that Naren Patni hired consulting group McKinsey to recommend how to scale up their business. The firm recommended massive restructuring of the organization into strategic business units, based on market segments and technological expertise supported by horizontal groups. From an 80-crore company in 1996, the company’s revenues grew to $US656 million by 2009.
Global expansion
The company’s global expansion began when they set up an office in London UK in 1993. It was followed by a surge of expansion in different parts of United States as well as in various European and Asian countries including Japan. Along with offices throughout India, now Patni has 28 offices worldwide.
This expansion was not just geographical. Over the years, Patni has offered various new services, as well as practices like engineering services, enterprise application solutions, e-business
solutionIn chemistry, a solution is a homogeneous mixture composed of only one phase. In such a mixture, a solute is dissolved in another substance, known as a solvent. The solvent does the dissolving.- Types of solutions :...
s, BPO services and so on. They have acquired companies like The Reference Inc, Cymbal Corporation, ZAiQ Technologies, Taratec, Logan Orviss and very recently CHCS.
Patni collected various accreditations like ISO 9001:2000, CMM Level 5 and P-CMM Level 3 certifications and integrated Six Sigma techniques.
Initial Public Offering
Soon after implementing McKinsey’s restructuring, a model that would be adopted later by most competitors, Naren Patni took a very important decision. He decided to invite Merrill Lynch to act as advisor for their initial public offering (IPO). According to their analysis, Patni had all the qualities to attract private investments – critical mass, proven track record and stable customer base. By a combination of coincidences, General Atlantic, a global leader in private equity investment, was looking for a suitable Indian software player to invest in and invested $US100 million in September 2002. Patni launched an IPO in February 2004, which was oversubscribed 22 times. They are currently listed on the Bombay Stock Exchange (BSE), the National Stock Exchange (NSE), India and the New York Stock Exchange, US.
In the same year, Patni acquired
Fremont, CaliforniaFremont is a city in Alameda County, California. It was incorporated on January 23, 1956, from the merger of five smaller communities: Centerville, Niles, Irvington, Mission San Jose, and Warm Springs...
-based
Cymbal CorporationCymbal Corporation was a California–based IT services company that was acquired by Patni Computer Systems in 2004. The company was headquartered in Fremont, California, with delivery centers in North America, the UK and India. Patni acquired Cymbal for $68 million.-History:Cymbal was co-founded by...
for a sum of US$78 million. Cymbal's acquisition allowed Patni to enter $60 billion IT services market in the
telecomTelecom refers to:* An abbreviation of telecommunication.* Short for telecommunications company, in general.* A short name for any telecommunications company with "Telecom" specifically in the name, where context allows media or people to commonly exclude the rest of its name without confusion,...
vertical which was previously not available to Patni.
This acquisition also allowed Patni to spread its non-GE business, and to add a development center in Hyderabad, India.
In December 2005, Patni listed its ADRs on the
New York Stock ExchangeThe New York Stock Exchange is a stock exchange located at 11 Wall Street in Lower Manhattan, New York City, USA. It is by far the world's largest stock exchange by market capitalization of its listed companies at 13.39 trillion as of Dec 2010...
(NYSE) under the ticker PTI. The board of directors includes chairman
Narendra PatniNarendra Patni was the founder, chairman, and chief executive officer of Patni Computer Systems. He was born to a Marwari jain family....
Patni Knowledge Park
Patni’s first foray into a ‘knowledge park’ was when Patni Knowledge Park opened in September 2006 in
AiroliAiroli is the fifth most developed residential suburb of Navi Mumbai. It is connected to Navi Mumbai's most developed neighborhoods, Vashi and Nerul with city bus and local train services...
near
MumbaiMumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
, India.
In 2008, Patni launched its first Green IT-BPO knowledge centre in
NoidaNoida , short for the New Okhla Industrial Development Area, is an area in India under the management of the New Okhla Industrial Development Authority . Noida came into administrative existence on 17 April 1976 and celebrates 17 April as "Noida Day". It was set up as part of an urbanization...
, India. The state-of-the-art environment-friendly facility complements the organisation's green initiatives around efficient utilization and conservation of energy, water and natural resources. The centre is spread over 5 acres (20,234.3 m²) and has a seating capacity of over 3500. Later the same year, it was awarded the LEED Platinum (Leadership in Energy and Environmental Design) rating for its Green IT-BPO Centre inaugurated earlier this year in Noida. This makes the Patni Knowledge Centre the second largest Platinum rated building in the world, and the largest Platinum-rated building outside the United States.
Jeya Kumar as CEO
On 18 December 2008, the company announced the appointment of Jeya Kumar as Chief Executive Officer. Jeya Kumar, who joined Patni in Feb 2009, was hired by Naren Patni after two years of global search to find the ‘right man’ for the job.
In the last year, Patni has taken various steps to move up the
value chainThe value chain, is a concept from business management that was first described and popularized by Michael Porter in his 1985 best-seller, Competitive Advantage: Creating and Sustaining Superior Performance.-Firm Level:...
and develop the onsite-offshore Global Delivery Model to a three-tier model. At the very outset, the new CEO brought in his A-team of senior and experienced professionals, infusing a new way of thinking into the company. Jeya has since moved to IPsoft as CEO of Asia Pacific.
Since then Patni has been in the news for their focus on micro-verticals, diversifying into emerging geographies and new client wins. Some of the large ones being opening of near-shore centers in Mexico and Texas, along with the acquisition of CHCS Services, Inc., creating a new hub for Patni in Pensacola, Florida, winning the largest deal in the company’s history with UAM, a JV in Japan with JR Kyushu amongst others. Patni recently won the largest deal in the company’s history - a multi-million dollar, five-year agreement for providing end-to-end policy administration services for Universal American. The deal, according to media reports, was touted at $200 million.
Acquisition By iGATE Corporation
iGATEiGATE Patni is an information technology firm headquartered in Fremont, California, USA. The company was founded by Bala and Ashok Trivedi. iGate Patni specializes in business data processing and uses a structure known as iTOPS to meet customer demands...
(www.igate.com) announced on 10th January 2011, that it had reached a definitive agreement to buy shares of the major shareholders of Patni Computer Systems Limited. These shares comprise 63% of Patni’s total outstanding shares. This will create an enterprise with close to $1b in revenues, 25,000 in headcount.
The proposed acquisition of the shares is subject to regulatory requirements and iGate is required to make an ‘Open Offer’ to acquire additional 20% of Patni’s shares from the open market. Changes in the shareholding shall take place upon fulfillment of all the obligations under the Open Offer process.
Integration process completion
iGATE Patni (www.igatepatni.com) has been integrated and announced its first day on 12 May 2011 with new policies and views.
Key industry verticals
- Financial Services
Financial services refer to services provided by the finance industry. The finance industry encompasses a broad range of organizations that deal with the management of money. Among these organizations are credit unions, banks, credit card companies, insurance companies, consumer finance companies,...
- Manufacturing
Manufacturing is the use of machines, tools and labor to produce goods for use or sale. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale...
- Telecom
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...
- Product Engineering
- Life Sciences
The life sciences comprise the fields of science that involve the scientific study of living organisms, like plants, animals, and human beings. While biology remains the centerpiece of the life sciences, technological advances in molecular biology and biotechnology have led to a burgeoning of...
- Independent Software Vendors(ISV)
- Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...
- Media & Entertainment
- Energy & Utilities
- Logistics & Transportation
Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and...
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Key services
In addition to these, Patni serves its customers through following Horizontal Business Units across various industries:
- Application Development
- Application Management
- IT Consulting
- Business Consulting
- Embedded Software
Embedded software is computer software that plays an integral role in the electronics it is supplied with.Embedded software's principal role is not Information technology , but rather the interaction with the physical world. It's written for machines that are not, first and foremost, computers...
- Infrastructure Management
- Enterprise Application Services
- Customer Intelligence Services & Business Process Outsourcing
Business process outsourcing is a subset of outsourcing that involves the contracting of the operations and responsibilities of specific business functions to a third-party service provider. Originally, this was associated with manufacturing firms, such as Coca Cola that outsourced large segments...
(CIS & BPO)
- BI
Bi or bi may refer to:*Bi , a type of jade disc produced in ancient China*"Bi" , a 1993 song by Living Colour*Bi , a 2008 album by Astyplaz*Bi-, a number prefix denoting two*Billon , an alloy of less than 50% silver...
& DWDW may refer to:* DW Stadium, formerly known as the JJB Stadium and where Wigan Athletic play football* Deadweight tonnage, a ship measurement for capacity, tonnage* Deutsche Welle, a German international broadcasting organization...
- Enterprise integration
Enterprise integration is a technical field of Enterprise Architecture, which focused on the study of topics such as system interconnection, electronic data interchange, product data exchange and distributed computing environments....
- Verification & Validation
- Process Consulting
- Customer Interaction Services & Business Process Outsourcing
Business process outsourcing is a subset of outsourcing that involves the contracting of the operations and responsibilities of specific business functions to a third-party service provider. Originally, this was associated with manufacturing firms, such as Coca Cola that outsourced large segments...
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Engineering Services
IT Governance
Business Process ManagementBusiness process management is a holistic management approach focused on aligning all aspects of an organization with the wants and needs of clients. It promotes business effectiveness and efficiency while striving for innovation, flexibility, and integration with technology. BPM attempts to...
Customized Learning Solutions
User Experience Management
Knowledge Management
Cloud Computing
- Cloud Acceleration Program
- Cloud Based Outsourcing
- Cloud Infrastructure Services
- Cloud Testing Services
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Global Locations
Asia Pacific (APAC)
- India: Mumbai
Mumbai , formerly known as Bombay in English, is the capital of the Indian state of Maharashtra. It is the most populous city in India, and the fourth most populous city in the world, with a total metropolitan area population of approximately 20.5 million...
, Navi MumbaiNavi Mumbai is a Planned Satellite City on the west coast of the Indian state of Maharashtra. It was developed in 1972 as a twin city of Mumbai, and is the largest planned city on the planet, with under the jurisdiction of the Navi Mumbai Municipal Corporation and a total area of . Navi Mumbai...
, PunePune , is the eighth largest metropolis in India, the second largest in the state of Maharashtra after Mumbai, and the largest city in the Western Ghats. Once the centre of power of the Maratha Empire, it is situated 560 metres above sea level on the Deccan plateau at the confluence of the Mula ...
, BangaloreBengaluru , formerly called Bengaluru is the capital of the Indian state of Karnataka. Bangalore is nicknamed the Garden City and was once called a pensioner's paradise. Located on the Deccan Plateau in the south-eastern part of Karnataka, Bangalore is India's third most populous city and...
, ChennaiChennai , formerly known as Madras or Madarasapatinam , is the capital city of the Indian state of Tamil Nadu, located on the Coromandel Coast off the Bay of Bengal. Chennai is the fourth most populous metropolitan area and the sixth most populous city in India...
, NoidaNoida , short for the New Okhla Industrial Development Area, is an area in India under the management of the New Okhla Industrial Development Authority . Noida came into administrative existence on 17 April 1976 and celebrates 17 April as "Noida Day". It was set up as part of an urbanization...
, Hyderabad, Gandhinagar
- Australia: Melbourne
Melbourne is the capital and most populous city in the state of Victoria, and the second most populous city in Australia. The Melbourne City Centre is the hub of the greater metropolitan area and the Census statistical division—of which "Melbourne" is the common name. As of June 2009, the greater...
, North SydneyNorth Sydney is a suburb and commercial district on the Lower North Shore of Sydney, in the state of New South Wales, Australia. North Sydney is located 3 kilometres north of the Sydney central business district and is the administrative centre for the local government area of North Sydney...
- Japan: Tokyo
North America
- Canada:Toronto
Toronto is the provincial capital of Ontario and the largest city in Canada. It is located in Southern Ontario on the northwestern shore of Lake Ontario. A relatively modern city, Toronto's history dates back to the late-18th century, when its land was first purchased by the British monarchy from...
- U.S.A: Cambridge, Massachusetts
Cambridge is a city in Middlesex County, Massachusetts, United States, in the Greater Boston area. It was named in honor of the University of Cambridge in England, an important center of the Puritan theology embraced by the town's founders. Cambridge is home to two of the world's most prominent...
, Cincinnati, Jersey City, Atlanta, Costa Mesa, Southfield, Bellevue, WashingtonBellevue is a city in the Eastside region of King County, Washington, United States, across Lake Washington from Seattle. Long known as a suburb or satellite city of Seattle, it is now categorized as an edge city or a boomburb. The population was 122,363 at the 2010 census.Downtown Bellevue is...
, Milpitas, Bloomington, IllinoisBloomington is a city in McLean County, Illinois, United States and the county seat. It is adjacent to Normal, Illinois, and is the more populous of the two principal municipalities of the Bloomington-Normal metropolitan area...
, Irving, TexasIrving is a city located in the U.S. state of Texas within Dallas County. According to the 2010 U.S. Census, the city population was 216,290. Irving is within the Dallas–Plano–Irving metropolitan division of the Dallas–Fort Worth–Arlington metropolitan area, designated...
, Bridgewater, New Jersey, Downers Grove, IllinoisDowners Grove is a village in Downers Grove and Lisle Townships, DuPage County, Illinois, United States. The population was 48,724 at the 2000 census, with an official estimated population of 49,250 in 2008.-History:...
- Mexico:Querétaro
Querétaro officially Estado Libre y Soberano de Querétaro de Arteaga is one of the 31 states which, with the Federal District, comprise the 32 Federal Entities of Mexico. It is divided into 18 municipalities and its capital city is Santiago de Querétaro....
South America
- Brazil:São Paulo
São Paulo is the largest city in Brazil, the largest city in the southern hemisphere and South America, and the world's seventh largest city by population. The metropolis is anchor to the São Paulo metropolitan area, ranked as the second-most populous metropolitan area in the Americas and among...
Europe, Middle East & Africa (EMEA)
- Germany: Frankfurt
Frankfurt am Main , commonly known simply as Frankfurt, is the largest city in the German state of Hesse and the fifth-largest city in Germany, with a 2010 population of 688,249. The urban area had an estimated population of 2,300,000 in 2010...
- Sweden: Kista
Kista is a district of Stockholm Municipality in Sweden. Located northwest of central Stockholm, Kista is divided by the Stockholm Metro blue line into a western part which is primarily a working class and middle class residential area, and an eastern part occupied by commercial ventures, mostly...
- The Netherlands: Schiphol-Rijk
Schiphol-Rijk is an industrial estate in the Dutch province of North Holland. It is a part of Amsterdam Schiphol Airport and lies in the municipality of Haarlemmermeer...
- UK: London
- UAE: Dubai
Dubai is a city and emirate in the United Arab Emirates . The emirate is located south of the Persian Gulf on the Arabian Peninsula and has the largest population with the second-largest land territory by area of all the emirates, after Abu Dhabi...
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Patni Knowledge Park, Airoli, Mumbai
Situated on 50 acres (202,343 m²) of land in the Navi Mumbai area, this campus will include facilities for software development, training, customer care, employee recreation, among others. The Patni Knowledge Park can accommodate 17,000 workers.
Green IT-BPO centre in NSEZ, Noida
The state-of-the-art environment-friendly facility, set up with an investment of Rs. 175 crores, complements the organization's green initiatives around efficient utilization and conservation of energy, water and natural resources. Developed on Green Architecture, the centre is spread over 5 acres (20,234.3 m²) and has a seating capacity of over 3500.
Christened, Patni Knowledge Centre, this facility is designed and constructed as per the guidelines of LEED (Leadership in Energy and Environmental Design) India Green Building Rating System for New Construction. |
File:Patni US.JPG|Patni US,
File:Patni Chennai.jpg|Patni Chennai,
File:Patni UK.jpg|Patni UK,
File:Noida Courtyard 1 Night View.jpg|Patni Noida Courtyard,
File:Patni Knowledge Park, Airoli 02 - cropped.jpg|Patni Knowledge Park
Acquisitions
- April 2003: Acquired "The Reference Inc.", a company incorporated in Massachusetts
The Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...
, USA for a consideration of about US$ 7.5 million, through its wholly owned US subsidiary, Patni Computer Systems Inc. The Reference Inc. has provided Patni with specialised skills and domain expertise in the financial services industry segment.
- November 2004: Acquired "Cymbal Corporation" for a sum of million. Cymbal's acquisition allowed Patni to enter the IT services market in the telecom vertical, gaining expertise and operations in the provision of services to clients in the telecommunications industry.
- June 2006: Acquired "ZAiQ Technologies", a design and verification company, in Woburn, Massachusetts
Woburn is a city in Middlesex County, Massachusetts, USA. The population was 38,120 at the 2010 census. Woburn is located north of Boston, Massachusetts, and just south of the intersection of I-93 and I-95.- History :...
Through the transaction, Patni obtained ZAiQ's Application-specific integrated circuitAn application-specific integrated circuit is an integrated circuit customized for a particular use, rather than intended for general-purpose use. For example, a chip designed solely to run a cell phone is an ASIC...
(ASIC) design capabilities and Intellectual PropertyIntellectual property is a term referring to a number of distinct types of creations of the mind for which a set of exclusive rights are recognized—and the corresponding fields of law...
(IP), as well as expertise in Field-programmable gate arrayA field-programmable gate array is an integrated circuit designed to be configured by the customer or designer after manufacturing—hence "field-programmable"...
(FPGA) and System-on-a-chipA system on a chip or system on chip is an integrated circuit that integrates all components of a computer or other electronic system into a single chip. It may contain digital, analog, mixed-signal, and often radio-frequency functions—all on a single chip substrate...
(SoC) technologies.
- July 2007 : Acquired Europe-based "Logan-Orviss International (LOI)", a leading independent specialist telecommunications consulting services company. The consideration includes an upfront cash payment on completion of the transaction as well as performance-linked incentive payments on achieving financial targets over a three year period. LOI ended a profitable year with revenues of Euro 11.8 Million in 2006.
- July 2007 :Acquired N.J.-based "Taratec Development Corp." through Patni Computer Systems Inc. a wholly owned subsidiary of the Company, for an aggregate price of $27.2 million in cash including contingent consideration. With more than $20m in annual revenue, Taratec is a leading consulting company in the life sciences industry providing integrated business, information technology, and regulatory compliance products and services.
Awards and recognition
- Listed as a ‘IAOP 2008 Global Outsourcing 100 Company’.
- Ranked among Top 15 ‘Insurance Industry Vendors offering Comprehensive End-to-end BPO Services’.
External links