Developing a business plan that helps owner for crystallizing their business idea and also to reflect the problems that the business going to experience in the future. And this is considered to be the major factor for initiating the business. In order to examine the business’s performance to the owner’s of the business a yardstick is presented by it. For the company based in the New Delhi,India which seems to extend their operations towards the London,UK market, a business plan is provided by this assignment. The business plan’s crucial analysis is presented by this report. This contains the business description and details regarding the expansion in the coming three years and also needed finance for executing business expansion.
Details about the owner:
Over the global delivery platform, the Wipro Technologies ranked as the best provider of the integrated business technology as well as process solutions. The solutions of technology driven business satisfying the client’s strategic objectives are delivered by the global services provider Wipro Technologies. Across particular requirements of the industries nearly there are 40+ centers of excellence by the Wipro. Using the amalgamation of quality frameworks, service delivery innovation and process excellence the unmatched business value is delivered to the customers by the Wipro. The first CMMi Level five certified company of software services in the world is Wipro. And it is the first outer USA for receiving the award of IEEE Software Process.
A Wipro technology is the successful provider of incorporated business, process results and technology on a platform of global delivery. It contains about 8000 professional testers’ job on a various operating systems, configuration management devices, and development frameworks. Currently seems to increase the transperancy and cooperation between the teams for solution of holistic application relevance life cycle management that can be the hub for the whole cooperation and communication among the customers and team members. Wipro Technologies realized Microsoft® Visual Studio® Team System 2008. By this the team managed well over testing, code, and correlated processes not considering the operating system or development framework. With this allows accurate and periodically communication between the team members and customers.
Through aims to improve into projects visibility, and to improve software life cycle effectiveness, Wipro Technologies Performance Engineering Lab (PEL) is continually introducing new technologies for applying in the organization. Performance Engineering Lab confirmed to Visual Studio Team System 2008 Test Edition (VSTT) evaluation, a testing tools comprehensive suite for services and Web applications, which are combined into the environment of Visual Studio.
By the PEL team the concept proof was organized in order to test the solution as it is nearer to the real scenario or not. This testing of the performance is carried out in the management system which is help desk management and was developed by the Wipro platform and is known as Wipro Unified Help Desk. Single console is utilized to manage and maintain multi-channel communication. Their calls can log by the end user to Unified Help Desk by the means of phone, URL or e-mail. Users and agents can get the status if once the call is recorded, sand this status of their calls in anticipation of closure by the means of web interface. ASP.NET is the platform in which this application is developed.
In order to implement the resistant of perception the team builds the entire test design and strategy. This summarized the performance needs, the team improved Web scripts as indicated by the workload join. These were then correlated; extraction rules and parameterized were mixed to the scripts. Later added created the Load Tests. The load test configuration and properties were adapted for the approved requirements.
Objectives of Business:
- All over the organization, the key stakeholder’s identification.
- Throughout the present state assessment, it is ensured that every main pain points as well as opportunity areas from the every stakeholder will be highlighted.
- The future state architecture is described collaboratively by guarantying that all the views of stakeholder are addressed.
- In enterprise architecture, every key stakeholders opinions embedding and recording must be ensured.
- With the roles and also responsibilities the organizational chart.
- Development working sessions for joint enterprise architecture.
- Roadmap resolution framework.
- Milestone dependency chart.
- The key initiatives showing impact over the future state architecture must be identified.
- Executive dashboard template.
- Produce outstanding income through services like SEO (Search Engine Optimization).
How the business is organized:
In the early 1980’s Wipro spread out its Information Technology sector with liberalization hitting inIndia. Wipro increased their financial position while offering the services like consumer care and SEO. In order to evaluate the potential risks and returns Wipro uses break even analysis for analyzing the business plans in the near future. For the business plans in the Wipro IT Company break even analysis is the major strength to the business project investigation. Below break-even values are occurred and Break even analysis can be treated as a decision making tool.
Financial statement are universally accepted tool to analyze business entity, if they are properly understood, it tells how well company has been doing. Financial statements consist of a balance sheet, financial income statement or profit or loss and statement of cash flow forecasts. The main aim of financial accounting statements is to provide an image of financial position and business performance. These statements give management idea about the cash movements, wealth generation and accumulated wealth of the business.
For the purpose of the business plan the financial statements estimated profit and loss and estimated balance sheets and cash flow statements are given below.
Wipro Consumer care Limited Estimated Balance sheet:
Wipro Consumer care Limited Estimated Profit and Loss Account:
Costs to produce the product or service:
SEO services are offered through Wipro Consumer Care Limited of employees and computers. The main costs are involved in providing SEO services of employees and computers. InIndia, Wipro offers the average salary for the employees who are working in the SEO industry are around £250. In order to increase the consumer care services in theLondonmarket Wipro hires 10 employees at theUKbranch. In theLondonoffice the employee’s salary is around £1000 and also Wipro management is increased the employees strength for increasing the consumer services in the market. In the Indian office, Wipro Consumer Care Limited trains the SEO employees which is an added advantage to the employees. This strategy will enable them to focus on increasing the consumer care services in London and outsource work to India.
Wipro Consumer Care Limited Cash flow statement:
Sources of finance, how the finance will be raised, cost of finance
In the down turn of global economy during the year 2001 as well as 2002, several companies like Wipro, IBM, etc have decraesed their budgets in IT. Even though in this complex environment of economy, the company wipro continued to analyze the technology as significant source of competitive benefit as well as the long-term development projections for the services of Wipro technologies stays positive constantly.
Across the world, the financial markets are becoming difficult and integrated because of advancements of technology of several erstwhile closed economies. The market professionals are warranted by this process in order to be equipped with several processes of market knowledge, as well as the perceptive of wider role of different market segments. The financial market over the past few years has observed significant change in movements that are performed in it. In order to raise the capital/finance, Wipro is one of the companies which have tapped the offshore markets.
Financial Ratio Analysis: different ratios of finance such as liquidity ratios, det-equity ratios, etc can be examined over a specific time period.
Budgetary Analysis: the data warehousing made possible the analysis of budget versus real expenditure for several cost heads such as ware house lease costs, fuel costs, labor costs, etc. The OLAP tools can be utilized in order to assign budgets for approaching financial periods.
Fixed Asset Return Analysis: this analysis is employed in order to analyze the fixed asset’s financial vailbility that are leased or owned by the company.
Budget and Cash flow forecast:
Large organizations such as Wipro can be supported by Microsoft financing in order to formulate most of its budgets. The customers with the help of Microsoft financing can select structure of payment that functions with their annual, quarterly, or monthly budget as well as maintains credit and cash lines for other priorities.
The profitability of Wipro company can be affected negatively on budget and on time due to its failure to complete ficed-time frame contracts, fixed-price which could minimize the shareholder’s investment value. Clients of Wipro are targeted likely in order to increase or maintain their IT outsourcing budgets.
Several IT services such as Wipro, receive large quantity of free cash flow as well as predictable recurring revenue from maintenance stream or long-term contracts with the exemption of consulting, software companies as well as intergartion business of systems resulting in stronger capability in order to resist downturn in economy. The spread payments offer larger flexibility in controlling expenditures of technology with choice of creating annual payments, in spite of up-front payment. In advance, up to three years, this advantage can support in reducing requirements of forecast annual software budget as well as initial costs. Several methods are found in order to improve this forecast every day.
Financial projections and Plans for expansion
The projections of tax planning management strategies as well as future taxable income depending on the historical taxable income supposes that the company Wipro is more likely be capable of understanding the advantage on the losses of carry-forward business appearing out of its foreign as well as Indian operations, not including the subsidiary particular foreign operations for which the allowance of a valuation had been initiated.
At present, the facilities of software development are present around the world in six countries. Large amount of facilities of software development are situated inIndia. In order to introduce any latest facilities, no substantial commitments of contract were prepared and it cannot be made sure that the suggested expansion plans will not be reduced or changed significantly.
Due to constrained experience with outside facilities of India, other risks were subjected in relation to the expansion of international strategy, comprising of risks associated to complying through a huge variety of local as well as national laws, limits on export and import of definite technologies as well as multiple and probably tax structures that are overlapping.
Beside to this competition in the other countries need to face, these companies are those which have good experience with their successful operations internationally. Some of the difficulties are also need to face that are amalgamating new facilities in various countries into present operations or functions and also integrating the employees that are going to hire in the other countries with the present existing culture that is followed in the corporate.