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HCL Tecnologies Ltd
Public
Traded as
IndustryIT services, IT consulting
Founded11 August 1976; 42 years ago (1976-08-11)[1]
FounderShiv Nadar, Arjun Malhotra
Headquarters,
India
Area served
Worldwide
Key people
ServicesIT, business consulting and outsourcing services[2]
RevenueIncrease US$9 billion (2018)[4][5]
Increase US$1.55 billion (2017)[6]
Increase US$1.26 billion (2017)[6]
Number of employees
117,781 (June 2017)[2]
ParentHCL Enterprise
Websitewww.hcltech.com

HCL Technologies Limited (Hindustan Computers Limited) is an Indian multinational technology company, headquartered in Noida, Uttar Pradesh, India. It is a subsidiary of HCL Enterprise. Originally a research and development division of HCL, it emerged as an independent company in 1991 when HCL ventured into the software services business.[7]

The company has offices in 39 countries including the United States, France and Germany, and the United Kingdom with a worldwide network of R&D, "innovation labs" and "delivery centers", and 120,000+ employees and its customers include 250 of the Fortune 500 and 650 of the Global 2000 companies. It operates across sectors including aerospace and defense, automotive, banking, capital markets, chemical and process industries, consumer goods, energy and utilities, healthcare, hi-tech, industrial manufacturing, insurance, life sciences, manufacturing, media and entertainment, mining and natural resources, oil and gas, retail, telecom, and travel, transportation, logistics & hospitality.[8][9]

HCL Technologies is on the Forbes Global 2000 list.[10] It is among the top 20 largest publicly traded companies in India with a market capitalisation of $18.7 billion as of May 2017.[11][12] As of May 2018, the company, along with its subsidiaries, had a consolidated revenue of $7.8 billion.[4][5]

History[edit]

HCL Enterprise[edit]

HCL Enterprise was founded in 1976.[13][14]

The first three subsidiaries of parent HCL Enterprise were:

  • HCL Technologies - originally HCL's R&D division, it emerged as a subsidiary in 1991[15]
  • HCL Infosystems and
  • HCL Healthcare

The company tried to stay focused on hardware,[16] but, via HCL Technologies, software and services is a main focus.[17]

Revenues for 2007 were US$4.9 billion.[18] Revenues for 2017 were US$6.5 billion, and HCL employed over 105,000 professionals in 31 countries.[14]

A unit named HCL Enterprise Solutions (India) Limited was formed in July 2001. [19]

Formation and early years[edit]

In 1976, a group of six engineers, all former employees of Delhi Cloth & General Mills, led by Shiv Nadar, started a company that would make personal computers. Initially floated as Microcomp Limited, Nadar and his team (which also included Arjun Malhotra, Ajai Chowdhry, D.S. Puri, Yogesh Vaidya and Subhash Arora) started selling teledigital calculators to gather capital for their main product. On 11 August 1976, the company was renamed Hindustan Computers Limited (HCL).[20]

On 12 November 1991, a company called HCL Overseas Limited was incorporated as a provider of technology development services. It received the certificate of commencement of business on 10 February 1992 after which it began its operations. Two years later, in July 1994, the company name was changed to HCL Consulting Limited and eventually to HCL Technologies Limited in October 1999.

HCL Technologies is one of the four companies under HCL Corporation, the second company being HCL Infosystems. In February 2014 HCL launched HCL Healthcare.[21] HCL TalentCare is the fourth and latest venture of HCL Corporation.[22]

HCL Technologies began as the R&D Division of HCL Enterprise,[23] a company which was a contributor to the development and growth of the IT and computer industry in India. HCL Enterprise developed an indigenous microcomputer in 1978,[24] and a networking OS and client-server architecture in 1983.[25] On 12 November 1991, HCL Technologies was spun off as a separate unit to provide software services.

HCL Technologies was originally incorporated as HCL Overseas Limited.[26] The name was changed to HCL Consulting Limited on 14 July 1994.[27] On 6 October 1999, the company was renamed 'HCL Technologies Limited' for "a better reflection of its activities."[26] Between 1991 and 1999, the company expanded its software development capacities to the US, European and APAC markets.[26]

IPO and subsequent expansion[edit]

The company went public on 10 November 1999, with an issue of 14.2 million shares, valued at ₹4 each.[28] During 2000, the company set up an offshore development centre in Chennai, India, for KLA-Tencor Corporation.[28]

In 2002, it acquired Gulf Computers Inc.[28]

Acquisitions[edit]

Number Acquisition date Company Business Country References
1 20 February 2008 Capital Stream Inc. Business process automation United States [29]
2 16 July 2008 Liberata Financial Service Business process outsourcing United Kingdom [30]
3 25 August 2008 Control Point Solutions, Inc. Telecommunications service United States [31]
4 15 December 2008 Axon Group Plc. SAP Consulting United Kingdom [32]
5 16 July 2009 UCS Group's Enterprise Solutions SAP Practice SAP SA [33]
6 1 April 2016 Part of Volvo IT Information technology Sweden [34]
7 19 October 2015 Concept to Silicon Systems (C2SiS) Semi-Conductors India [35]
8 29 October 2015 PowerObjects CRM Consulting United States [36]
9 2016 Geometric Ltd PLM & Engineering Services India [37][38]
10 17 January 2017 Butler America Aerospace Engineering & Design United States [39]
11 25 April 2017 Urban Fulfillment Services, LLC Business Process Outsourcing United States [40]
12 5 September 2017 ETL Factory Limited (Datawave) Automation United Kingdom [41][42]
13 27 June 2018 H&D International Group IT and engineering services provider Germany [43][44]

Pending[edit]

On April 12, 2018 USA-based Actian announced that it will be acquired by HCL Technologies for $330 million.[45]

On December 6, 2018 HCL announced it will acquire select IBM software products for $1.8 billion. The software includes AppScan, BigFix, Unica (on premises) marketing software, Commerce, Portal (on premises), Notes & Domino, and Connections.[46]

Joint venture[edit]

On 23 July 2015, CSC (NYSE: CSC) and HCL Technologies (BSE: HCLTECH) announced a joint venture agreement to form a banking software and services company, Celeriti FinTech.[47][48]

In October 2017, IBM struck a "strategic partnership" with HCL Technologies that had the latter firm take over development of the IBM Lotus Software's Notes, Domino, Sametime and Verse collaboration tools.[49]

In May 2018, HCL Technologies announced that it has joined hands with Transportation Alliance (BITA), known for incorporating blockchain in the transportation industry, to implement blockchain.[50]

Partnership[edit]

On 16 June 2015 PC maker DELL announced a strategic distribution partnership with HCL Infosystems[51]

Operations[edit]

A world-map showing the countries where HCL Technologies has operations.

HCL Technologies operate in 34 countries,[52] including its headquarters in Noida, India. It has establishments in Australia, China, Hong Kong, India, Indonesia, Israel, Japan, Malaysia, New Zealand, Saudi Arabia, Singapore, South Africa, the United Arab Emirates and Qatar. In Europe it covers Belgium, Czech Republic, Denmark, Estonia,[53] Finland, France, Germany, Italy, Netherlands, Norway, Poland, Sweden, Switzerland and the United Kingdom. In the Americas, the company has offices in Brazil, Canada, Mexico, Puerto Rico, and the United States.

Business lines[edit]

  1. Applications Services[54]
  2. BPO/Business Services: This division has "delivery centers" in India, the Philippines, Latin America, USA, HCL BPO Northern Ireland, and Europe.[55][56][57][58]
  3. Engineering and R&D Services (ERS)[59][60]
  4. Infrastructure Management Services (IMS)
  5. IoT WoRKS [61][62]
  6. DRYiCE[63][64]
  7. Digital & Analytics[65]
  8. Cybersecurity[66]

Infrastructure Services Division[edit]

A subsidiary of HCL Technologies, HCL Infrastructure Services Division (ISD) is an IT services company. Headquartered in Delhi, NCR, India, HCL ISD was instituted in 1993 with the objective to address the demand for cost-effective management of technology infrastructure across geographically dispersed locations. HCL ISD, also known as HCL Comnet Systems and Services Ltd. in India, diversified its portfolio to provide end-to-end enterprise IT infrastructure solutions globally in 1993 winning the first order to establish India's first floorless stock exchange in order to achieve superior infrastructure performance and significantly reduced costs[67][68][69]

Key services[edit]

  • End user computing including application management services, managed print services, and managed desktop services
  • Datacenter transformation services such as datacenter consolidation, hosting, and virtualization
  • Network services including network consulting, virtualization, and management
  • Information security services such as security consulting and identity and access management
  • Integrated operation management/ IOMS
  • Cross functional services such as service automation, BCP/DR consulting, and cloud computing services
  • Managed mainframe and AS/400 services
  • System integration services

HCL ISD's services span across stages of IT infrastructure lifecycle, including data center design, migration & rollout planning, process design, service delivery structure design, implementation & rollouts, and day-to-day operations across infrastructure elements such as servers, storage, mainframes, databases, end user devices, network devices, security devices, web services, applications, mainframes, infrastructure applications & process and tools.[citation needed]

The company's vertical reach spans across industries including automotive, energy (oil & gas) and utilities, financial services, high-tech, insurance, manufacturing, retail, travel, tourism and logistics, banking, life science, health care and pharmaceuticals, telecom and media, publishing and entertainment.[citation needed]

United Kingdom and Ireland[edit]

On 7 September 2005, HCL Technologies expanded its operations base in County Armagh and Belfast in Northern Ireland. At the 2006 UK Trade and Investment India Business Awards in New Delhi, the then UK Prime Minister Tony Blair announced the expansion, which was aimed at creating more IT and BPO jobs in the area. HCL acquired the Armagh-based Answer all Direct earlier in 2005.[70] HCL BPO services in Ireland are carried out through its main delivery centres in Armagh and Belfast.[71] In November 2011, after HCL revealed an expansion plan in County Kilkenny in the Irish Republic, its Business Process Outsourcing (BPO) division in Northern Ireland won a contract for back-office services from the Department of Health. It was aimed at increasing the number of jobs and other employment opportunities in the region.[72]

HCL Infosystems[edit]

HCL Enterprise's Infosystems subsidiary,[73] as of 2015, was still active.[51]

This part of HCL was formed in 1976 to produce calculators.[74]

Corporate social responsibility[edit]

Community initiatives[edit]

  • Project Samuday, which involves adopting 100 villages and driving transformation in five areas — agriculture, education, health, livelihood, wash, solar, community engagement &pri[75]
  • Association with Udayan Ghar[76] and over 55 other NGOs, to promote all-round community development and growth.[77]

Additionally, since 2006, the company conducts monthly and biennial concerts to provide a platform for upcoming young Indian classical artists to showcase their talent.[78]

Environment initiatives[edit]

HCL runs a multi-layered program Go Green as a part of its continued sustainability initiatives.[79]

In addition, it is also:

Criticism[edit]

HCL has been involved in criticism and litigation involving the H-1B visa program to replace U.S. Workers with cheaper foreign labor, including the Disney collusion lawsuit, and the heavily reported case of replacing University of California's San Francisco Medical Center IT workers.[87][88]

See also[edit]

References[edit]

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