Cognizant Company Analysis

witting Company Analysis initiation awake(predicate) is leading With 50 global deli truly centers and approximately e actu onlyyplace 64,000 associates, certified combine a unique onsite/ inshore talking to specimen inf purposed by a distinct culture of customer satisfaction. A outgrowth of the NASDAQ-100 Index and SP 500 Index, assured is a Forbes Global 2000 fraternity and a member of the great deal 1000 and is ranked among the top education applied science companies in demarcation Weeks, Hot Growth and Top 50 Performers listings. certain is the pioneer in shoreward Outsourcing. They bring their clients the economic advantages, with the industry familiarity and the local anaesthetic expertise. Today, cognisants clients ar benefiting from 4th Generation run. Operating as their engineering science partner, awake provides the expertise to all every(prenominal)placehaul Cognizants clients realize their objectives. 4th Generation Offshore Outsourcing provides se amless integration between the customer and Cognizant. Cognizant go out-of-the-way(prenominal) beyond the completed onsite/ offshore model by offering in-depth local consulting presence, onsite teams focus on the customers telephone line employments, and the perplexity depth that partners closely with aw atomic number 18(predicate) clients. The business culture is either India-centric or exclusively Cognizant in style, striking the best balance of all the offshore firms. Most of certain circumspection team has immense US or European experience, and understands apprised clients culture. In India, Cognizant is considered a local player with a very healthful reputation for excellence. Clients benefit from conscious(predicate) non-hierarchical, responsive dynamic fire to business. Cognizant has deep technology expertise across a roomy range of competencies. Technology competency and the quality of sensitive citizenry argon the highest-rated attributes in cognisant Cus tomer Satisfaction Survey. Cognizant brings a truehearted declargon oneself culture to every engagement. They did not start as a staffing federation, but instead as the increment arm of Dun Bradstreet. Their breeding heritage has given us an edge on delivering larger, complex, end-to-end honks. Their project expertise is reflected in a heavy methodology and the development and use of cognizant proprietary tools. They track the progress of projects and programs with eCockpit, the proprietary engagement management tool that is available to all of cognizant clients. ECockpit provides a graphic agency of project-related status, such(prenominal) as productivity, effort, cash flow, and defects density. It also looks at personal metrics such as targets and individual progress.Key PointsCognizants single-minded passionDedicating cognizant global reorganization, industry intelligence and systems expertise to turn overing with cognizant clients to show their businesses stronger. Cognizant is leading the market from the last few eld.89% of clients rate boilers suit cognizant Customer Experience as Much Better, Better or About the Same as Competition. Cognizants growth record in 07 to 08 was amazing. That was Employee growth was +11.4%, R notwithstandingues with +32% and the net income +23% (GAAP) systematically nurtured Growth. Cognizant is the solo major offshore company organized around verticals and horizontals rather than precisely offices and development centers. With the deep domain expertise in key verticals and large-scale horizontal solution, the highly project-oriented firm that can take complete indebtedness for large development and integration projects, and for delivering bottom line results from application management. Cognizant having a strong track record of successfully executing very large scale, complex, transformational development and integration projects offshore. These are the kinds of projects that have not been traditionally co nsidered off-shore. Cognizant has deep technology expertise across a replete(p) range of competencies. Technology competency and the quality of cognizant people are the highest-rated attributes in cognizant Customer Satisfaction Survey.Cognizant has a non-white chip client base with many industry leaders that cognizant are proud to partner with and to contribute to the growth of their businesses. The clients go to extensive lengths to serve as references and champions of cognizant growth and innovation. Their client testimonials say Cognizant people go to extraordinary lengths to solve problems, or just dish out out. Cognizant people model attracts talented, highly motivated, client- focused individuals with a can-do attitude. Cognizant never had a termination for project failure or for non-performance. This fact is reinforced by all of cognizant customers in the yearbook customer satisfaction survey conducted by a third-party. The flexibility, responsiveness, ownership and the self-confidence that they will never let you down is core to cognizant slant model. Cognizant Technology Solutions Corp. NASDAQ, a leading provider of custom computer software development, integration and management operate, employees are the most satisfied among Indian IT services companies. Cognizant has always been pull to providing the most interesting projects and the best realistic training and career development opportunities. The quality of the people that cognizant attracts, and Cognizants schoolmaster ability to develop cognizant associates will remain a strong competitive edge as the demand for IT professional worldwide continues to increase. The entropy pulse achievement allows Cognizant to better serve customers in the Benelux region by adding local client partners, industry expertise, and local language capability. The acquisition further strengthens Cognizants industry leading 4th generation offshore delivery model, which has senior executives establish close to clients in the US and Europe who are tightly integrated with a robust SEI CMMI take 5 offshore capability. Customers in banking and financial services have been among the first European companies to aim a large scale offshore dodge, and Info pulse helps Cognizant further strengthen its position in this vertical. This acquisition will help cognizant current customers because they will get large scale offshore capabilities as cognizant as industry specific IT services, which has for several years leveraged offshore development in Eastern Europe. Cognizant has a strong track record in the financial sector and also set customer focus, has very high customer satisfaction, and a culture that provides an resplendent balance between business and technology.PerspectiveA public company has two key responsibilities to its shareholders, value creation and transparency. At Cognizant, transparency is inbred to cognizant business. Especially in uncertain times, it builds trust between a company and its shareholders. And cognizant believe transparency is the best way to spy long-term investment in the company. In an uncertain economy it is even much circumstantial that cognizant provide you with key information near cognizant corporate governance policies. These policies provide a frame exit for the proper operation of cognizant company, consistent with cognizant shareholders best interests and the requirements of the law. Ensuring that Cognizants financial results fairly reflect the results of cognizant operations is of paramount importance to the company and to cognizant investors. Cognizant have made the decision to provide cognizant shareholders and investors additional information to clarify cognizant policies, processes and controls to avoid uncertainty for shareholders and investors. Cognizants management has always assumed full accountability for maintaining Compliance with cognizant naturalised financial accounting policies and for reporting cognizant results with objectivity and the highest degree of integrity. It is critical for investors and other users of the Consolidated Financial Statements to have confidence that the financial information that cognizant provide is timely, complete, relevant and accurate. Management is responsible for the fair paradeation of Cognizants Consolidated Financial Statements, prepared in accordance with generally accepted accounting principles (GAAP), and has full responsibility to their integrity and accuracy. Management, with oversight by Cognizants calling card of Directors, has established and maintains a strong ethical climate so that cognizant affairs are conducted to the highest standards of personal and corporate conduct. Management also has established an effective system of internal controls. Cognizants policies and practices reflect corporate governance initiatives that are compliant with the listing requirements NASDAQ and the corporate governance requirements of Sarbanes-Oxley. Cognizant are committed to rigorously and diligently exercising cognizant oversight responsibilities, maintaining the highest standards of integrity and principles of ethics, and stupendous the corporate governance requirements.Level 1 AnalysisCognizant (NASDAQ CTSH) is a global information technology services and consulting company with headquarters in Teaneck, New Jersey, United States and with significant operations in Chennai, India. Cognizant has been named to the 2009 hazard 100 disruptiveest-Growing Companies List for the seventh consecutive year. Cognizant has also been named to the Fortune 1000 and Forbes Global 2000 lists for 2009. It has consistently ranked among the fastest growing companies including the 2009 Business week 50 list of the top-performing U.S. companies, the Business week Hottest Tech Companies 2009, and the Forbes Fast Tech 2009 list of 25 Fastest Growing Technology Companies In America. Even though it is headquartered in New Jersey, USA, most of Cogni zants employees are based in India. It has offices in Chennai, Bangalore, Coimbatore, Hyderabad, Kolkata, Mumbai, Pune, Gurgaon, Kochi and Budapest since 2008, development centers in Shanghai, Buenos Aires and Amsterdam. Cognizant has over 64,000 employees. Cognizant Coimbatore center became the first company in the world to be certified for CMMI-Level5 per the latest model. Cognizant is among the top 10 companies receiving H-1B visas to bring inappropriate workers to the United States. The company recognizes the risk this poses to their business model. In a November 2008 randomness 10-Q filing, the company said Cognizant future success will guess on cognizant ability to attract and retain employees with technical and project management skills from developing countries, especially India. The vast majority of cognizant IT professionals in the United States and in Europe are Indian nationals. The ability of Indian nationals to work in the United States and Europe depends on their a bility and cognizant ability to obtain the necessary visas and work permits. the company has been increasing its U.S. work force. In August 2009, the company announced plans to hire 100 people in Phoenix. Cognizant has seen year-over-year revenue growth of 32% in calendar year 2008, from $2.13 billion to $2.81 billion (USD). This growth has been realized across all the industries Cognizant serves including financial services, healthcare, retail, manufacturing and logistics. After the close of trading on 16 November 2006, Cognizant moved from the mid cap SP 400 to the SP 500. Cognizant operates in the IT services, business process outsourcing and consulting domains. Its primary competitors are Accenture, IBM, Capgemini, Tata Consultancy function, Infosys and Wipro. Other competitors allow in IT services companies such as Computer Sciences Corporation, Perot Systems, Mahindra Satyam and HCL Technologies. Competitors in the Business Process Outsourcing position include Genpact and M phasiS (a division of EDS) (As of Wikipedia)Research FindingsAs a pioneer in the field of outsourcing information technology work to India, Cognizant Technology Solutions Corp. has through famouslyand so have its shareholders. A $10,000 investment made in the source in early 2001 would be worth more than $120,000 today. After soaring another 38% so far this year, though, the Teaneck, N.J.-based companys shares are due for a leveling off. Investors would be wise to pass them by. At a termination price of $69.25, the stock is trading at 51 times its per-share gain over the last 12 months. That amounts to a huge premium over India-based outsourcing companies Wipro, which trades at a multiple of 37 times earnings, and Infosys Technologies, which trades at 42 times earnings. In Historically, Cognizant has earned its fat premium because of its first-rate management and its distinct model. Unlike IT outsourcing firms that are based in India, Cognizant has several thousand staff member s here who work directly with U.S. clients in their offices. Those on-site staffers are backed up by an army of 23,000 employees in India who develop software for clients including major banks, health care companies, manufacturers and retailers. But Cognizants on-shore/off-shore ecological niche is under threat as more multinational consulting firms follow the companys lead. In March, IBM announced it would open a new software development. (Tom Fredrickson, New York Business, 2006)Level 2 AnalysisThe Companys principal services include technology strategy consulting complex systems development enterprise software package implementation and guardianship data warehousing and business intelligence application testing application maintenance infrastructure management, and vertically-oriented business process outsourcing (V-BPO).The Company operates in focused business particles Financial Services, Healthcare, Manufacturing/Retail/Logistics and Other, which includes communications, m edia and information services and high technology. In September 2009, the Company announced the acquisition of substantially all of the assets of black pepper cognizant advisors the IT consulting services division of Pepper cognizant consulting.Financial Services During the year ended December 31, 2008, the Companys Financial Services business segment represented approximately 45.6% of its total revenues. This business segment provides services to its customers operational in the industries, such as capital markets, banking and insurance. Cognizant focuses on the needfully of dealers, asset management firms, depositories, clearing organizations and exchanges. The Company focuses on retail and commercial message banks, and diversified financial enterprises. Cognizant assists these clients in such areas as consumer lending, card game and payments, wholesale banking, risk management, investment management, corporate services and retail banking. It assists with the call for of prop erty and casualty insurers, life insurers, reinsurance firms and insurance brokers. The Company focuses on such areas as business acquisition, policy administration, claims processing, management reporting, regulatory compliance and reinsurance.In 2008, its other business segment represented approximately 14.2% of its total revenues. The Companys communications industry practice serves communications service providers, equipment marketers and software vendors. Some of its solutions include supply chain management solutions, from pre-press to material procurement, circulation, logistics and vendor management business solutions covering advertising management, online media and e-business workflow automation covering the product development process for broadcasters spot ad buying systems covering agency of record, traffic management, post-buy analysis and financial management digital asset management (DAM) and digital rights management (DRM), and operational systems, including ad sal es, studio management, outsourcing billing and payments, along with means management and delivery. Its high technology segment is an independent software vendor (ISVs) and online service provider. (According to NASDAC)ConclusionCognizant develops every application, cognizant embrace every challenge, investment in every new resource, recommendation cognizant take form is dedicated to a goal Making their customers businesses stronger by empowering them to be more responsive to their customers and to the competitive environment. Cognizant achieve this by focusing on the intersection of their clients emerging needs and the acceleration of business and technological change. Cognizant commitment to innovation keeps them focused on the future and being install at every level to service change.Cognizant Technology solutions present financial growth is strong. If we observe their annual report we will denudation that they operate a profitable business. 50% per share have prominent up f or earnings and revenues, where we can find a major growth.Referenceshttp//www.cognizant.com/hypertext markup language/home.asphttp//www.cognizant.com/html/content/aboutus/Cognizant_Q2_2009_Corporate_Fact_Sheet.pdfhttp//www.accessmylibrary.com/coms2/summary_0286-17675300_ITMhttp//www.reuters.com/finance/stocks/companyProfile?symbol=CTSH.O.