Cyient Ltd

Cyient Limited

COMPANY OVERVIEW
 Cyient Limited which formerly known as Infotech Enterprises Limited was founded in the year 1991 by Mr. B.
V. R. Mohan Reddy. It is conducting its business operations across the globe. The company is basically engaged
in different business line (Annual Report of Cyient Limited, 2019) such as engineering, manufacturing related
services, data analytics processes, networks & operations etc.
 The main focus of this company is on engineering work, manufacturing processes, data analytics as well as
networks and other related business operations.
 The headquarter of Cyient Limited is situated in Hyderabad City of Telangana, India.

BUSINESS OPERATIONS
This company is performing its business operations in the following sectors:
 Aerospace & Defence
 Consumer goods
 CYIENT DLM
 Energy Transportation
 Communications
 Medical field
 Navigation related services
 Mining
 Oil and Gas
 Off - Highway related projects
 Semi – conductors business line

COMPANY OVERVIEW
The group companies of Cyient Limited includes following:
 Cyient, Inc
 Cyient Europe Ltd
 Cyient GmbH
 Cyient Ltd (Japan)
 Cyient Insights
 Cyient Singapore Pte Ltd
 Cyient Design Led Manufacturing
 Certon
 Blom Aerofilms

HISTORY OF CYIENT LIMITED
 The Cyient Limited was incorporated as Infotech Enterprises Limited in the year 1991 in
Hyderabad city, India by its founder named as Mr. B. V. R. Mohan Reddy.
 The company has received its first ISO 9002 certification from the BVQi London for all the
conversion services as well as activities undertaken by it (Annual Report of Cyient Limited, 2019).
 Infotech Enterprises has started its business operations as a one of the private limited company with
the aim of providing engineering service to the global markets for fulfilling its customers demand.
 Also, Infotech Enterprises Limited has been rebranded with its new name i.e. Cyient Limited in the year 2014.

MISSION AND VISION STATEMENT
 Mission Statement -
The mission of the Cyient Limited is to provide the best technological services as well as solutions to all
the Industrial clients across the globe. It mission statement also defines about delivering of bets quality technology
services to the government worldwide.
 Vision Statement -
The vision of Cyient Limited states – “Designing tomorrow together”. The Vision statement of company
has become basis of creating brand promise (Annual Report of Cyient Limited, 2019). It describes unique approach
and style of working so as to improve business operations as well as lives of customers worldwide.

VALUES OF CYIENT LIMITED
Core business values which has been followed by the Cyient Limited includes the following aspects
which helps it in gaining competitive edge:
 Fairness
 Integrity
 Sincerity
 Respect
 Transparency

PRODUCTS & SERVICES
 Products -
Cyient Limited is conducting its business operations across the world, with its products related to:
Software - enabled engineering
Geographic information system (GIS) services
 Services -
The company has been engaged in delivering services including engineering, geo - spatial, design - led
manufacturing. Also, it has been operating in business line of network and operational support services for satisfying
the needs of its global industry leaders covering fortune 500 clients across the globe. Cyient Limited has been
featured as one of the top 30 outsourcing companies in the world as per the data of 2018.

FACILITIES & EMPLOYEES
 Facilities -
In the January 2017, Cyient Limited has opened facilities at one of the Incubation Centre of the
Telangana State Industrial Infrastructure Corporation situated in Warangal (Annual Report of Cyient Limited, 2019).
It has begun the project of building a 70000 square feet Technology Development Centre at one of the special
economic zone of Warangal named as Madikonda.
 Employees -
Cyient Limited has approximately 15000 + as its number of employees as per the year 2018. working
with across different parts of the 21 global locations including Asia, Europe as well as North America.

ORGANIZATION STRUCTURE
 Cyient Limited formerly known as Infotech enterprise Ltd and also engaged in providing global technology
services and solution that specialize in geospatial, engineer design, IT solution and data analytics.
 This firm is also engaged in areas of total electronics manufacturing solutions in the field of medical,
automotive, telecommunication, aero-scope application and also inclusive of manufacturing and matching of
components for aerospace and defence industries.
 However, this organization follows vertical structure and form geography based structure. It enhanced
ownership and growth momentum post this alignment.
 Hence, this enterprise mainly focus over industry focused organization structure that provides significant
operational benefits such as an increased momentum and also helps in strategy execution and new acquisition to
strengthen its Aerospace & Defence and Geospatial capabilities.

RECOGNITION
 Cyient Limited has been recognised as Supplier of the Year from The Boeing Company in the year 2010, 2013
and in 2014 as well.
 ASME Leadership Award has been received by Mr. B. V. R. Mohan Reddy in the year 2011.
 The company has been awarded with the Indo – American Excellence Award for the best category of Indian
company performing in the field of Technology and Communications Sector in 2012.
 Cyient Limited has been recognised among top 30 companies engaged in the business of outsourcing in the
world in the year 2014.

FINANCIAL PERFORMANCE
 Overall financial performance of Cyient Limited can be concluded that company is having good and sound
financial position. Its profitability level in the past two year has improved with the help of better plans and
strategies formulated in line with business aims and objectives
Ratios 2019 2018
Profitability Analysis
Gross profit ratio = (Gross
Profit/Revenue from Operations)
x 100
13.04% 13.30%
Return on Assets (ROA) = Net
income/ Total assets 12.27% 11.74%
Return on Equity = Net
income/ Shareholders equity 18.61% 17.19%

CONTINUED
 Revenue of Cyient Limited as per the Financial year 2018 was US$590 million i.e. 4,069.4 Crore in terms of₹
Indian rupees.
 The profitability position of the company in the past two year depicts that the gross profit ratio of the company
has decreased from 13.30% to 13.04%. There has been decline in the level of its gross margin of 0.26% from the
year 2018 to the year 2019 which is not a good aspects as the company is operating at the global level (Annual
Report of Cyient Limited, 2019).
 For gaining competitive advantages in the market place, it is required to perform its business operations by
formulating sound business strategies and plans.
 In case of Return on Assets, the company ratio are 11.74% in the year 2018 and 12.27% in the year 2019 which
defines that Cyient Limited has making use of available business assets in much effective as well as efficient
manner for making profit out of it.
 On the other hand in case of Return on Equity, the company has shown improvements in its financial
performance level. The ratio in the year 2018 was 17.19% and in the year 2019 it was 18.61% which
depicts that company is earning profit and is making distribution of such revenue amount among its
shareholders which is directly adding to the creation of shareholders wealth.

CORPORATE SOCIAL RESPONSIBILITY
 The company has taken various initiatives to set up the corporate social responsibility policy that shall indicate
about the activities that undertaken by the enterprise as specified by the law (Social Responsibility, 2019).
 This entity has recommended the expenditure to incurred on the activities that has specified and monitors the
corporate social responsibility policy from time to time.
 It is the policy that encompasses the philosophy of company for delineating its responsibility as corporate
citizen and lays down the guidelines and mechanism for undertaking socially useful programmes for the welfare
and sustainable development to the community at the large level and this is titled as Cyient CSR policy.

CORPORATE SOCIAL RESPONSIBILITY VISION &
MISSION
 Corporate social responsibility vision-
To provide quality education to underprivileged children.
To take effective participation in innovation business aligned projects.
 Corporate social responsibility mission-
To accomplish long term, holistic development towards the community to create and support education, sanitation
and digital literacy.

CORPORATE GOVERNANCE OF CYIENT
 It aids to ensure about the timely discolorous and shares accurate information in relation to financial and
performance of company. Thus, firm believes that an active, well-informed and independent board is crucial to
ensure about the highest standards of corporate governance.
 This is the firm that has uploaded the true sprit of corporate governance and also execute the best governance
practices.

REFERENCES
Books and Journals
Epstein, M. J., Buhovac, A. R. and Yuthas, K., 2015. Managing social, environmental and financial performance
simultaneously. Long range planning. 48(1). pp.35-45.
Flammer, C., 2015. Does corporate social responsibility lead to superior financial performance? A regression
discontinuity approach. Management Science. 61(11). pp.2549-2568.
Qiu, Y., Shaukat, A. and Tharyan, R., 2016. Environmental and social disclosures: Link with corporate financial
performance. The British Accounting Review. 48(1). pp.102-116.
Revelli, C. and Viviani, J. L., 2015. Financial performance of socially responsible investing (SRI): what have we
learned? A meta‐analysis. Business Ethics: A European Review. 24(2) pp.158-185.
Online
Annual Report of Cyient Limited. 2019. [Online] Available through: <
https://www.cyient.com/annual-reports/annual-report-2018-19/176/#zoom=z>.
Social Responsibility. 2019. [Online] Available through: <
https://www.cyient.com/about-us/corporate-social-responsibility/>.