VIRTUAL IS REAL Sify Technologies Limited INTEGRATED REPORT 2020-21 Contents
CHAPTER 1 Reporting Framework 2
CHAPTER 2 Statement from the Chairman 6 Statement from the CEO 10 Statement from the CFO 14
CHAPTER 3 About Sify 20 Stakeholder Engagement 22 Stakeholder Testimonials 26
CHAPTER 4 The business verticals 30 Network Centric Services 31 Data Center Centric IT Services 36
CHAPTER 5 The Operating Environment 48 The Quarterly Performance 50 Key Performance Indicators 54
CHAPTER 6 The Business Model 58 Financial Capital 60 Manufactured Capital 62 Intellectual Capital 64 Human Capital 68 Social & Relationship Capital 74 Natural Capital 76
CHAPTER 7 Mega Trends 80 The Blueprint 84 Risk Management 86
CHAPTER 8 Governance & Reporting 96 Board of Directors 98 The Management Team 102
CHAPTER 9 Our ESG Profile 106 CHAPTER 1 Welcoming our stakeholders to the 2020-21 Integrated Report Introducing the capital our mission to pursue sustained value creation as a Inputs that deliver value responsible organization, we are proud to present our IN fifth Integrated Report. This Report aims to provide detailed insights into our financial and non-financial performance encompassing our strategy, leadership and culture and to showcase
our value creation process to our stakeholders. Manu- Social & Financial factured Intellectual Human Natural Relationship capital capital capital capital capital capital Reporting framework continuing view to the of its strategy and the What is it Resource, Tangible in- Intangible, People, Natural Collaborating The report follows stakeholders. organizational ability to generated frastructure knowledge- their skills, resources and the International Our core elements to create long-term value. or procured deployed based assets their passion consumed communicating
6 Integrated Report capitals
Financial Manufacturing Intellectual Human Social & Natural Capital Capital Capital Capital Relationship Capital Capital
Sify Technologies Limited 002 INTEGRATED REPORT 2020-21 003 Sify’s Management Team believes that with digital transformation emerging as the new business mandate, Sify is in a vantage position to catalyze this transformation.
Sify Technologies Limited 004 INTEGRATED REPORT 2020-21 005 CHAPTER 2 STATEMENT FROM THE CHAIRMAN Dear friends, Data is the new Oil Indeed. Data in the 21st century is what oil used to be in the 18th century: An immensely untapped valuable asset. As we move deeper into this age of digital economy, data gets It’s raining Internet around more valuable than the world ever. In fact, data Affordability and accessibility have made has become the key internet a productive to the functioning tool for a major chunk of of almost everything the global populace. It is believed that over 2.5 – from governments quintillion bytes of the data to small roadside is created every day around stores. Without data, the world, and this number progress halts. is increasing by the day with the ever-increasing digital expected to reach 25 GB footprint. (gigabytes) by 20252. This is being driven by affordable In India, data generation is data connectivity services on a frenetic spurt and the increase in rich In the last five years, India’s media consumptions. With efforts to be a fully digital the government insisting economy have resulted in that all data generated in better internet connectivity India be stored locally, Data and infrastructure. Many Centers will be the next big robust developments business opportunity. With the government laying more such as the exponential emphasis on self-reliance and data growth of data, big data Securing the treasure gets Analytics, e-commerce, more critical than ever protection through localization, the digital wallets, artificial As we entered 2021, we demand for data center outsourcing intelligence and the came to know of a massive market in India is expected to average upcoming shift to 5G heist and the media reports technology have been that security researchers 25% annual growth by 2023-24 to touch catalyzed by this digital have found that in a breach US$ 5 billion. drive. The average Indian of servers of a reputed would use about 12 GB payment gateway, sensitive data every month in 2019 data of over 100 million – the highest consumption credit and debit cards users globally – and this is have been leaked on the
Sify Technologies Limited 006 INTEGRATED REPORT 2020-21 007 CHAPTER 2
STATEMENT FROM THE CHAIRMAN [Continued] A DAY IN DATA It is estimated that an investment THE EXPONENTIAL GROWTH OF DATA IS UNDISPUTED, BUT THE NUMBERS BEHIND THIS EXPLOSION of around $10 billion is expected - FUELLED BY INTERNET-OF-THINGS AND THE USE OF CONNECTED DEVICES - ARE HARD TO to happen in the data center COMPREHEND, PARTICULARLY WHEN LOOKED AT IN THE CONTEXT OF ONE DAY space in the near future 463EB of data will be created everyday by 2025 - IDC dark web. This, if used authorities imposed made US$5 billion. DEMYSTIFIYING DATA UNITS maliciously, could lead to the business of Data Centers Sify: The custodian of the a colossal loss for India in even more critical as lives 500m 4PB From the more ‘bit’ or ‘megabyte’, larger precious resource Tweets are sent of data created by units of measurement are more frequently terms of trust and respect turned more and more Facebook, including At Sify, we are ready for every day - being used to explain the masses of data as well as for Indians in dependent on the internet. TWITTER 350m photos, this exponential growth. 100m hours of video UNIT VALUE SIZE terms of financial frauds. Accordingly, the sector was Continuous investment in watch time - b bit 0 or 1 1/8 of byte This highlights clearly the granted the essential status FACEBOOK RESEARCH B byte 8 bits 1 byte cutting-edge technology KB kilobyte 1,000 bytes 1,000 bytes growing need for data for continuity of mission enables us to align with the MB megabyte 1,0002 bytes 1,000,000 bytes security in an increasingly critical services under global security standards GB gigabyte 1,0003 bytes 1,000,000,000 bytes digital India. the IT/ITeS/Data Center TB terabyte 1,0004 bytes 1,000,000,000,000 bytes and remain relevant to our PB petabyte 1,0005 bytes 1,000,000,000,000,000 bytes Data Centers turn the Industry framework advised customers in an exceedingly EB exabyte 1,0006 bytes 1,000,000,000,000,000,000 bytes 320bn 7 by the government, which in emails to be sent ZB zettabyte 1,000 bytes 1,000,000,000,000,000,000,000 bytes essential backbone dynamic sectoral ecosystem YB yottabyte 1,0008 bytes 1,000,000,000,000,000,000,000, each day by 2021 000 bytes Data Centers have turned turn has also notched up the where we operate. I would into one of the most significance of the industry, like to draw your attention 294bn emails are sent - making a louder blip on the 306bn essential components of to a realization about the RADICAL GROUP emails to be sent the digital economy for global investment radar. power of data. It is data each day by 2020 their specialty in managing Moreover, with the that kept life moving when and preserving data in the government laying more the onslaught of a virus safest way. To adapt to an emphasis on self-reliance brought most parts of the 65bn 95m photos and exploding digital ecosystem, and data protection through world to a halt. This gives messages sent over WhatsApp and two videos are shared the demand for Data localization, the demand us the realization about the 3.9bn 4TB billion minutes of on Instagram - people of data produced Centers is also spiraling for data center outsourcing potential the business of voice and video calls INSTAGRAM use emails by a connected BUSINESS across the country. The market in India is expected data holds and the prospect car - INTEL made - FACEBOOK Covid-19 pandemic and the to average 25% annual it has in store for the days containment measures the growth by 2023-24 to touch to come.
Raju Vegesna ACCUMULATED DIGITAL UNIVERSE OF DATA Chairman & Managing Director 4.4ZB 44ZB 28PB to be generated Searches from wearable made a day 5bn 2013 2020 devices by 2020 - PWC Searches made a 3.5bn STATISTA day from Google SMART INSIGHTS
Sify Technologies Limited 008 INTEGRATED REPORT 2020-21 009 CHAPTER 2
STATEMENT FROM THE CEO
It is estimated that an investment of around US$ 10 billion is expected to happen in the data center space in the near future.
One year and several momentum on patches iterations later, business and updates went into has not only picked up, overdrive to protect public but the scope and contours (read home internet have completely changed. access) points. The scope Perhaps what has not of intranet as we knew, was changed is the expectation expanded to accommodate from Technology to be a an explosive growth in WFH In December 2019, productivity enabler during scenarios. Training and testing times. inductions went online. when the world Early in March 2020 amidst The biggest beneficiary first woke up to the the lockdown, realising that was the Cloud. Up from debilitating effects of a complete breakdown of just being a parking lot communications would be of transactional data, it the coronavirus, the imminent if infrastructure moved to being the most question uppermost was not kept up and experimental platform for on everybody’s running, the government all services, accommodating announced that Network a wide range of custom- mind was how could and Data Center services built, outcome-driven business survive in were being accorded solutions. This led to an a world devoid of ‘Essential Services’ status. exponential rise in the need physical interface. This spurred a flurry for data center farms to of innovation around a accommodate the demand resource-agnostic Network from the cloud. Along the architecture to overcome way, Cloud also established Change is the only the curtailment of physical itself as the most fertile to movement. So, bandwidth test a range of resource- constant in a digital became elastic, multi-paths agnostic solutions spread world were a given, redundancy across Networks, Data became standard and Center, Security services, Dashboards became de- Big Data and Analytics etc. rigour. Today, no RFP is complete Software applications were without a scope for Cloud not too far behind. The implementation.
Sify Technologies Limited 010 INTEGRATED REPORT 2020-21 011 CHAPTER 2
STATEMENT FROM THE CEO [Continued]
We are adding Data Center capacities including hyperscale, in organizations are beginning and transitioning skills and key locations over the to give more importance capabilities address client next 3-5 years to other factors such as aspirations, making them better control over usage digitally ready for any of IT resources, business environment. continuity process, To strengthen our increased speed to meet the quality of network dig deep into its portfolio The Covid pandemic has capability to cater to this interconnections in these and build a solution that business needs and better cloud tsunami, we have brought the untapped support for customers. regions as well. is completely outcome- potential of hybrid cloud undertaken a few important based, transformational and Sify, a change catalyst steps 3) Along with existing solutions into the spotlight. So, how is Sify addressing AWS, AZURE and OCI, we malleable enough to cater 1) We are adding Data It is finally being recognised this change. added GCP to ensure now to an uncertain future. A by Indian companies as they Center capacities including cursory glance at the recent Since inception, Sify has customers can leverage SIFY move away from legacy IT hyperscale, in key locations as Single Vendor to define solutions will reveal a systems and adopt cloud not only aligned with over the next 3-5 years. curious pattern; of no single change but also been the and execute their Public solutions. More and more 2) AMS-IX, the world leading Cloud strategy. pattern. Every solution organizations in India are catalyst of it. Our Cloud@ being distinct from the Internet Exchange, and Sify Our value proposition adopting the hybrid cloud Core strategy through previous and the next and announced the expansion of The continuing Covid era model to adjust to the which all our solutions importantly, outcome based their footprint of internet has been a litmus test. Not fast-evolving business needs and services will operate and not template dictated. exchanges in India. We are just for Sify, but perhaps triggered by the corona off a cloud iteration, committed to enhancing the entire IT world. Most virus pandemic. positions us perfectly to the quality of the Internet well-entrenched IT majors So much so that 63% capitalize on the promising in India by increasing were found out of favour, enterprises in India said opportunities to make a connectivity through public burdened by the legacy of they have increased their significant contribution peering. We are expanding process, perhaps apt in a That is the investment in hybrid to the new-generation our partnership (which physically enabled world but cloud, as compared to 46% Digital India. Our multi- world that Sify started with the launch of irrelevant for a world that globally, while 97% consider cloud-flavored models, our a neutral and independent was second guessing every it the most suitable hyperscale network services is relevant in. Internet Exchange in upcoming IT variant. This architecture compared to Sify has been featured Mumbai) by expanding uncertainty, while taxing for A world where 87% globally, shows a report in Gartner’s Market to the digital hotspots of others, is a boon for Sify. Guide on Public Cloud by Nutanix, a US-based change is the Kolkata, Noida, Hyderabad Having the entire gamut Managed and Professional cloud software and hyper- and Chennai, with the of ICT services helps Sify only constant. Services (MSPs) converged infrastructure objective of enhancing Providers in Asia/Pacific region. The detailed (HCI) solutions provider. study acknowledges Though cost saving remains Kamal Nath the Company for its a key driver when it Chief Executive Officer competency, background comes to making decisions and business focus in regarding the modernisation offering Public cloud services besides its broad of the IT infrastructure, spectrum of ICT services in the Asia Pacific region.
Sify Technologies Limited 012 INTEGRATED REPORT 2020-21 013 CHAPTER 2 STATEMENT FROM THE CFO “Dear shareholders”, As I pen this ‘Digitalization’ statement, India is became a must-have fighting the second mandate from the earlier wave of the COVID ‘good-to-have’ solution. pandemic. My heart goes out to the brave healthcare professionals, frontline warriors and courageous fellow Indians who are working tirelessly to deal with the Business activities have calamity. not been impacted as much as personal losses. This is because businesses were more prepared for a possible disruption – owing to their investments ‘New’ from the New Normal in digitization in and faded as entrepreneurs experience of FY21. And this accepted the reality that period, interestingly, was the pandemic is here to an inflection point in our stay. business. This mindset transition The New Normal became has a manifold impact on the Normal our prospects. Work from Just when we thought we anywhere, movement to had a breather, the second the hybrid cloud platform, wave of the pandemic strengthening of disaster hit the country hard, recovery plans to enable extending the premise of business continuity, remote working, distributed application modernization We continued to show steady growth security, open source – all these market trends through 2020-21 despite the challenges engagements etc. It further found a natural solution in deepened the inevitability Sify’s “Cloud@core” model that the pandemic posed. We expect of the digital era and and offerings. contracts to take slightly longer to broadened the horizon for As remote working and the virtual sphere. This time security began to occupy conclude as clients take time to regain around mid-sized businesses larger management time, momentum. Our focus is on insulating adopted automation ESG began to occupy a the organization as we carefully aggressively. ‘Digitalization’ large of share of voice in became a must-have conversations. manage our costs mandate from the earlier This year, we took concrete ‘good-to-have’ solution. steps to formalise our
Sify Technologies Limited 014 INTEGRATED REPORT 2020-21 015 CHAPTER 2
STATEMENT FROM THE CFO [Continued]
services within the ambit through 2020-21 despite Going forward discipline. Our Data Center of ESG and are happy to the challenges posed by Large business houses are and Network expansion present our first findings. the pandemic; our EBITDA discovering the disruptive plans remain on track. We In the years to come, we increased from INR 40,766 nature of AI, Distance expect contracts to take will be presenting ESG as lakh in 2019-20 to INR learning, Telemedicine, slightly longer to conclude an important tenet of our 50,854 lakh in 2020-21. Robotic Process Automation as clients take time to services. The Net Profit stood at – long-term trends that regain momentum. The other trend that panned INR 15,317 lakh in 2020- are increasingly becoming Our focus is on insulating out in 2020-21 was the 21 against INR 7,054 lakh accepted as a mainstream the organization as we growth of Hyperscale CSPs in 2019-20. This growth technology. These trends carefully manage our costs, and OTT players in India vindicated that we are on continue to stimulate while ensuring that there is which accelerated our Data the right side of the trend demand for networks and no lag in services delivery Center colocation business curve. data center capacity, a and customer experience. and strengthened our hybrid It increased our confidence business segment that Sify With India having firmly cloud offerings. to ramp up people and is firmly committed to. set its foot on the digital That said, we We endorsed several tools to increase our digital We are excited by these journey, Sify will catalyse wish for the contracts with private transformation capabilities. trends as our products, this transformation with its companies operating in We commissioned new Data services, and business customer-relevant services scourge of the diverse sectors, financial Center capacity at Rabale models are in complete and solutions. pandemic to institutions and government and Noida in 2020-21 and alignment with the agencies for our cloud continued to extend our customer’s priorities. be eradicated and managed services, Network infrastructure We will stay focused on This year, we took among others. As a result, through our Metro Project. ensuring liquidity and fiscal so that people concrete steps to we continued to witness and livelihoods formalise our services steady growth in revenue within the ambit of ESG can return to and are happy to present our first findings. In the normal. years to come, we will be presenting ESG as an important tenet of our M P Vijay Kumar services Chief Financial Officer
Sify Technologies Limited 016 INTEGRATED REPORT 2020-21 017 A Fortune India 500 company, Sify Technologies is India’s most comprehensive ICT service & solution provider. With Cloud at the core of our solutions portfolio, Sify is focussed on the changing ICT requirements of the emerging Digital economy and the resultant demands from large, mid and small-sized businesses.
Sify Technologies Limited 018 INTEGRATED REPORT 2020-21 019 CHAPTER 3 Sify’s journey: 25 years of transformation
1995-1999 2000-2005 2006-2012 2013-2017 2018-2020 2021...
CONSUMER FACING ISP SHIFT TO AN ENTERPRISE FULL-FLEDGED CONVERGED ICT cloud@core digital@core First private ISP in India SERVICES COMPANY TRANSFORMATION INTO AN SERVICES PROVIDER ENTERPRISE SERVICES COMPANY Launch of complete Launch of Digital Launch of MPLS & Data Launch of private and end-to-end digital ICT transformation services Center services in India Launch of Cloud services hybrid cloud services services
Sify’s infrastructure comprising state-of-the-art DCs, the largest MPLS network, partnership with global technology majors, vast expertise in business transformation solutions modelled on the cloud, make it the first choice of startups, incoming Enterprises and even SME or large local Enterprises on the verge of a revamp. More than 10,000 businesses across multiple verticals have taken advantage of its unassailable trinity of Data Centers, Networks and Security services and conduct their business seamlessly from more than 1600 cities in India. Internationally, Sify has Mission presence across North America, the United Kingdom and Singapore l Seed entrepreneurial abilities within Currently, the management has segregated its business operations into two verticals for the organization l Build convergence focused attention and superior service delivery. technologies l Deliver cost-effective solutions
Network Centric services Data Center centric IT services
+ Vision 1,600 10 “We are building a world in which our Towns and cities Concurrently Maintainable Data converged ICT ecosystem and our bring-it-on Centers in Chennai, Mumbai, Delhi, attitude will be the competitive advantage 49 Kolkata, Hyderabad and Bengaluru to our customers.” Data Centers Connected over a common data network infrastructure
Sify has partnered with some of the leading global service providers namely AWS, Values Microsoft, Oracle and SAP to firm up relations with its clients who desire to transcend At Sify, our values, which we call the Sify Way, drive our organizational behavior. the IT landscape in their country of origin. Sify Way: Put Be Treat Be Have the Always Protect customers’ accountable others with action courage remember Sify’s needs first dignity oriented to that you interest confront are part always + issues of the Sify 10,000 2,838 team Customers Team size Listed of Featured in this Equity shares coveted list
Sify Technologies Limited 020 INTEGRATED REPORT 2020-21 021 CHAPTER 3 Stakeholder engagement At Sify, we believe that success of our business depends on strong relationships. This belief fosters an inclusive approach towards all stakeholders and is aimed at understanding the needs, interests and expectations of each one of them, enabling us to create better value for them as well as for the business. Shareholders & Community Investors
Key stake holders
Government & Regulators Customers
Employees Vendors / Partners
Sify Technologies Limited 022 INTEGRATED REPORT 2020-21 023 CHAPTER 3
Stakeholder group Why are they important Material matters Engagement forums How we create value
Shareholders & As providers of financial y Good corporate governance Investor calls, analyst meets and y Maintaining sound and transparent corporate Investors capital, they are the key y Sustainability of the business general meetings governance practices stakeholders in our growth y Strategy implementation y Engaging with shareholders on the broader and expansion plans mandate y Inclusivity and transformation y Monitoring the implementation of the strategic plan y Delivering year-on-year growth for enhancing shareholder wealth
Employees People are at the center y Skill development Multiple Employee engagement y Understanding employee needs and creating a conductive work environment of all our operations. Their y Well-being initiatives, appraisals, grievance collective experience, skill redressal mechanism y Managing talent effectively and creating a y and knowledge are essential Employee retention leadership pipeline for our growth y Employee satisfaction y Nurturing an L&D strategy and operational y Performance management framework y Encouraging diversity and inclusivity at the workplace y Focusing on health and safety management
Vendors / Partners Business operations are closely y Product awareness Periodic interaction with key suppliers by y Strategic brand and product awareness linked with the timely availability y Visibility and relationship the project and procurement team and approach of quality hardware and their management the senior management. Maintaining y Strategic stakeholder management with an periodic maintenance. Access to a connect with Global IT majors for y inclusive approach contemporary software solutions Service satisfaction knowledge of new developments from Global IT majors is essential y Timely payments for being relevant to customers
Customers Customer feedback is key to y Product satisfaction and Regular interaction with customers y Delivering on commitments made to the improvements - performance, awareness through digital and in-person meetings customer quality and cost optimization. y Brand awareness by team leads, business heads and the y Widening the services basket aligned with It provides rich insight into senior management y consumer needs future trends Sustainability and viability of the organization y Institutionalising a culture of performance y Information sharing excellence y Market dynamics y Maintaining an effective complaint management system y Consumer complaints and grievances y Entrench a culture of fair treatment
Community A harmonious relation with y Investment in CSR programs Need-based assessment surveys, y Creating employment and self-employment communities where we are y Focus on sustainability community visits by company opportunities located is key to our social management y Uplifting underprivileged sections of the license to operate. They are society partners in our progress and y are crucial to our operations Reducing the environment impact of our operations
Sify Technologies Limited 024 INTEGRATED REPORT 2020-21 025 CHAPTER 3 STAKEHOLDER TESTIMONIALS The last few weeks have What stakeholders think about us been quite challenging for all of us, managing different My compliments to you and your responsibilities, increased team for going out of your way load, pressure and seeing and delivering this link to us at things change around us at an such a critical stage. unprecedented pace. Abhijit Chakravarty Amidst all of this we had our Vice President - Head, IT challenge of getting Virtual Infrastructure Services Desktops setup for employees, Axis Bank where we couldn’t manage a laptop. It was great to observe that our key strategic partner stepped up to this challenge Dear Sify Team and helped us accomplish Thanks for the proactive an end to end set up of AWS monitoring and actions Virtual Desktops in just about a for cloud infrastructure. week’s time. Krishnan Kumar Mayank Bhargava Max Life Insurance CIO Pramercia Life Insurance
I have been continuously watching your prompt and regular physical visits to NISCAIR Data Center in this hour of gross pandemic scenario. I, on behalf of NISCAIR, appreciate your commitment to the upkeep and Thanks to you and your team running of our Data Center Services for the better support in this as well as M/s Sify Technologies scenario. We appreciate you and professional approach towards their your team for this effort, as of clients. My best wishes and advise now link is stable and working on adopting safe measures against fine. You may close this call. Covid-19 pandemic. Saurav Suman C. B. Singh Senior Engineer Head, Information Technology Division & Walmart India Infrastructure Division DC Administrator-NISCAIR Data Center
Sify Technologies Limited 026 INTEGRATED REPORT 2020-21 027 In keeping with the diverse and dynamic needs of the Enterprise community, Sify has bucketed its services into four segments. This demarcation has provided a clear and comprehensive understanding of Sify’s services to its customers. For Sify, it has helped in sharper focus on each segment with an objective to make each vertical a profit center for the organization.
Sify Technologies Limited 028 INTEGRATED REPORT 2020-21 029 CHAPTER 4 The business verticals Network Centric Services (Multiprotocol Label Switching) MPLS- From pioneering internet services for enabled network in India which is able to the common masses in India, Sify has seamlessly carry huge data traffic. Sify also come a long way in its network centric offers one of the world’s most extensive services. Over the years, the Company interconnect networks to connect users has graduated its network to provide a and customer locations across the globe. host of services namely Domestic Data, Sify’s robust, resilient and expansive Pioneers in Data Center & Industry leader in International Data, Wholesale voice etc. network coverage and capabilities, has Cloud Management Securing Enterprise IT This has positioned Sify as one of the most strengthened its position in the Data Cen- CLOUD & Data Center MANAGED SECURITY versatile interconnectivity partners. ter business and now in the contemporary centric IT services SERVICES Currently, Sify owns the largest Cloud and Managed Services segment. • Cloud assessment & • Implement consistent migration set of controls to • Cloud assessment & prevent security migration threats • DC (Colocation / • Continuously monitor White Labelling) to detect security • cloudinfinitTM multi breaches cloud CMP • Tactical threat • cloudinfinitTM containment and enterprise cloud automated response • Hosted Azure Stack/ Oracle Exadata/SAP • Cloud as a service • Application migration: on-premises to cloud • Multi cloud managed services
Experience in running Enterprise ICT Pioneer - India’s largest Apps and SaaS MPLS network 101,730 99,784 115,887 126,781 117,602 10,303 8,121 11,214 25,365 9,597 DIGITAL SERVICES NETWORK CENTRIC • Supply chain SERVICES management services
• Cloud connect services FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY21 FY21 • (ForumNXTTM • SD-WAN SFFNxt) • EdgeConnect service • eLearning services for IT + OT + People • Livewire LMS • Network transforma- • Online examination tion services Revenue from Network Investment in Network services (iTest) • Cloud enabled unified Centric services Centric services • Digital trust services communication (INR Lakh) (INR Lakh) (safescrypt) services
Sify Technologies Limited 030 INTEGRATED REPORT 2020-21 031 CHAPTER 4 Our edge 01 Domestic network l Largest IP Multiprotocol Label Switching (MPLS)- enabled networks Enterprises in India may l Network is built either have Sify commission to support the a standalone network for move to fully their businesses and link digital business, them to an on-premise or with bandwidth This multi-mesh network co-located Data Center; services available enables better scalability or have leased bandwidth to enterprises, thereby nearly eliminating from Sify for their business content providers, any downtime in operations. connectivity. over-the-top (OTT) The network is also IPv6- Our services providers and ready, with a state-of-the- Sify’s key revenue other network art backbone on fiber and earners in this space operators with multiple high-capacity are MPLS services and speeds up to 100 circuits. Internet connectivity Gbps throughout Sify continues to expand the services. The Company India. capabilities of its network also provides network to handle spiraling data managed services volumes. Its 100G Metro (including third party access ring network with networks) to ensure multi-service access nodes network uptime as per (MSANs) across major Metros agreed SLAs. Our India footprint ensures high-quality traffic delivery-even at all times. Our project Sify blankets Sify offers both global and Sify embarked on its domestic data connects. Its ambitious ‘Metro Project’ 1600+ India with one which an objective of 100G CITIES Open Cable Landing Station CAPABLE COVERAGE of the largest accommodates multiple strengthening its network in ACCESS key Indian high-data traffic RINGS IN 7 IP Multiprotocol international submarine METRO CITIES cables that transport data cities like Mumbai, Kolkata, Label Switching Bangaluru, Chennai, Delhi- 3000 between continents. Its NETWORK (MPLS) enabled international PoPs are NCR and Hyderabad. This NODES project also strengthens ACROSS networks. Its strategically positioned to INDIA reap the benefits of the its prospects in the Data 1,15,000 Enterprise dense data traffic routes Center and Cloud services end-points spread through global financial segments. During the year, the across more than hubs. When this data 100,000+ 3 lands on Sify’s shores, it Company completed the TIER ENTERPRISE HIERARCHICAL 1,600 cities today is transported through coverage of key cities. This CUSTOMER CIRCUITS TOPOLOGY its network to partner project will continue in the FOR BETTER connects 49 Data SCALABILITY network routes or carried current year too covering Centers across by Sify’s own network to its other select Metro and Tier India. destination. II cities.
Sify Technologies Limited 032 INTEGRATED REPORT 2020-21 033 CHAPTER 4
CASE STUDY - 1 Connecting! 02 International network
ne of India’s large BFSI player with a Odispersed presence in India required a large network with maximum uptime. Since no single restricted to traditional service provider could telecom players with their cater to the complete cable landing stations. requirement, the BFSI In addition to meeting these Unlike other dedicated The carrier-agnostic player engaged with requirements, Sify brought landing stations, Sify’s open network has multiple levels multiple service providers on the table some important landing station is agnostic of redundancy, including namely Airtel, Tata value adds namely: Configures the network for to mobility and network oceanic and cable ― and Communications and Sify. conditions unique to their players, making it the a robust backbone of Despite this, the internal branches, e.g. height of secondary carrier for most interconnecting hub team of the customer had pole < 6 mt., fiber to last telcos. locations. to manage WAN links and mile etc. Sify’s cable landing station It has peering points feasibility issues. Also, Extended connectivity in Mumbai provides access used to build redundant reporting from various to the last mile through to multiple submarine international network Service providers was 2 different Service communications cable connections to the United different, hence difficult Providers for redundancy systems. It has helped lower States, Europe, the Middle to collate and manage at customer’s DC, DR & the entry barrier by helping East, Africa, Latin America effectively. Corporate Offices with connect Telcos, Enterprises and the Asia-Pacific region. 99.9% uptime and OTT players with their To mitigate these POPs are located in New Deployed P2P links as 2 global counterparts. At a challenges, this organization Sify, through its York, London, Marseilles, different links for utilization macro level, this initiative selected Sify as their single Los Angeles, Dubai, in active-active mode and global network has helped expand the partner for their network Singapore and Hong Kong comprising diverse available bandwidth management with three Provided Hybrid Managed over redundant cable capacity within the country. KRAs NOC support with necessary cable assets and systems on transatlantic and l Network Cost Optimization presence of resources at multiple POPs transpacific paths. Sify’s undersea cable l Secure and Robust India Bulls Head Office. This enables Sify to provide network has been designed connectivity for the On-boarding Sify as their over different end-to-end connectivity to assure the maximum branches during uncertain network partner made geographies with to global corporations level of continuity and a world of difference to performance by providing times and be cloud ready. direct connectivity and to provide remote l Organize their Network the marquee BFSI brand. management services for diverse cable options for under a single trusted It provided a single pane to a range of multiple locations in India redundancy over some of provider to ensure complete visibility for their digital major IP network and across the globe. the following multi-cable agility to scale up and down initiatives; the superior systems like Europe India Open Cable Landing Station branches network performance operators, offers Gateway, Middle East North enhanced employee a plethora of Sify pioneered the concept Africa (MENA) and Gulf productivity. More of an open cable landing Bridge International (GBI). importantly, it provided a interconnect station, at a time when As an accessibility provider, simplified and predictable options to its global Indian Enterprises had Sify enables connectivity pricing construct with the limited access to global on both Pacific and Atlantic required SLAs across all customers to access data interconnectivity - sides through multiple level the locations. India geography. access to interconnects was partnerships.
Sify Technologies Limited 034 INTEGRATED REPORT 2020-21 035 CHAPTER 4 Data Center centric IT in Data Centers – in key Investments in Sify’s services commercial cities that cloud infrastructure Sify biggest advantage has churned data by the second helped provide faster 01 Data center services been its keen understanding – namely Mumbai, Chennai, performance storage and of current trends and Bengaluru and Noida. data computation. Sify’s software procurement and evolving business spaces As India took giant strides experience and expertise before its time. From earned it considerable network configuration. along the digital path in the Data Centers which are providing internet service last decade, enterprises, global respect and designed to act as reliable, Competitive advantage to the Indian masses to and small and large reputation. Perhaps India’s only providing path breaking companies showed their Sify today is a trusted Sify is among the secure and scalable global interconnectivity urgency towards digital partner for leading largest in the Indian facilities to host mission- homegrown ICT player and to data management transformation. In keeping corporates and institutions critical applications. Its with rich experience services, Sify has been at with this fast-evolving across India with business Data Center space. services can be grouped that provides a clear the forefront of creating transformation Sify widened relations extending several under two heads namely understanding of the Data new business spaces. It offers the widest array its service basket to include years. Center space, the evolving of services and solutions co-location services and Even when the working co-location, migration and regulatory framework, In Retrospect: 2019-20 to large and growing managed hosting services Indians were hesitant transformation services Sify continued to add technology advancement to graduate to the through a managed multi- enterprises which, over the Co-location services: It customers to its large and and business landscape digital bandwagon, Sify cloud environment. years, has strengthened its offers co-location services enviable client base through evolution in India. realized that this digital It also leveraged its network the year. As such, revenue position in this space as the which allow customers to transformation would services to firm up its from this business vertical preferred data management bring in their own rack- An entrenched network require astute data clients’ cloud and digital grew 22% over the previous partner. mountable servers and player which provides management. an important edge platforms through network year. Its contribution to the Over the last two decades, house them in shared racks As such, Sify emerged as a security and transformation total revenue pie stood at – a comprehensive Sify has evolved from or hire complete racks, and very early starter in offering services, including its cloud 55% in FY21. even ‘secure cages’ at the understanding of clients’ smart data management connect services. being a data storage player hosting facility as per their need from a Data Center of solutions by investing to emerging as a digital and Network perspective. transformation specialist for application requirements. enterprises in India – from Managed hosting services: Listing on NASDAQ attaches l44% - Data Center Services drawing the blueprint to It also offers a wide an edge to the Sify brand. turnkey management of IT variety of managed hosting Concurrently Maintainable l16% - Cloud & Managed Services architecture. services, such as storage, Data Centers with a POD- l11% - Application Integration Services The Company owns 10 back-up and restoration, based architecture assures l29% - Technology Integration Services Concurrently Maintainable performance monitoring and high-quality service at an reporting, hardware and optimized cost.
Rack space - Half rack and Fireproof vaulting and off-site full rack tape movement services Caged enclosures with access Managed services control system Managed shared firewall Dedicated CCTV cameras services 82,589 1,07,055 99,593 1,02,733 125,594 Cross-connect services Our Tape backup services Rack cabling - Power and value-added Remote hands support network FortKnox™ services - Security Dedicated seating space services basket services suite FY17 FY18 FY19 FY20 FY21 Static transfer switch Private connectivity to national Revenue from Data Internet connectivity at the and international internet Center centric IT data center - Fixed bandwidth exchanges and multiple Public services (INR Lakh) or data transfer model Cloud environments (Specific Asset migration to Data Centers) Revenue by vertical - FY21
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CASE STUDY - 2 Data center transformation 02 Cloud & Managed services
was possible because the performance vis-a-vis a large number of clients that include respected team had the knowledge existing IT setup. Moreover, Cloud and Managed Services corporates, Government and experience with large/ the Company gained refers to outsourcing daily institutions and financial complex migrations for significant cost saving IT management for cloud- agencies. This is owing to similar IT setups. Also, Sify’s due to capex vs. opex based services and technical its wide array of services unique cloud adjacent Data pricing model and efficient support to automate positioning it as a go-to- Centers with deterministic management with simplified and enhance business partner in this space. connectivity to Hyperscalers cabling. More importantly, operations. It creates the was aligned to Sun Pharma’s the customer’s cloud-ready prudent balance between Sify’s service basket future plan for hybrid cloud. IT Infrastructure ensures the scalability and facilities Sify educates and handholds The pharma company resiliency and security for that a public cloud can its customers to graduate contracted Sify for a future business endeavors. provide and the promise of to the cloud platform as complete IT refresh. better reliability that on- the foundation for their Sify completed UAT and premise solutions can offer. digital business models. This Production Setup migration Today’s managed cloud involves explaining to the with minimum disruption services represent a client the vulnerability of within 20 days only - one collaborative effort their data and the need to ne of India’s of the fastest complex between service provider safeguard their capital. pharma major’s IT workload migrations. It also and customer. The service Sify’s Data Center Services infrastructure was O provided for a “Parallel provider contributes to (DCS) offer industry- lacking scalability, agility Setup” before migration to the expertise, technology, specific solutions keeping and availability. Its existing ensure near-zero downtime. and experience for the application and technology Data Center at Gurugram Moving to Sify improved customers’ inputs on their landscape as the center was not financially viable availability, security and specific business objectives. point and builds models to run from on-premise. overall reliability of the Cloud computing is Generally, providers of focused on the business The Company’s applications IT landscape. The new cloud and managed service outcome, helping customers demanded high performance a must for business infrastructure provided solutions manage cloud align their IT infrastructure storage whereas their IT growth. better application security, computing, and solutions with their infra was about to reach storage, network business objectives. end of support cycle. Most The simple reason operations, application Sify’s ties with global of the IT budget was being being that they help stacks, vendors and a lot giants like SAP, Oracle and used to keep the existing businesses reap the more. Depending on the Microsoft Azure allow Sify infrastructure running; little client’s IT needs, they also to offer their entire suite of was available for upgrading maximum benefits manage monitoring and on-demand cloud services, the same. In addition, of cloud adoption reporting, performance which also provide its the Company faced cable testing, backup and customers with the option congestions challenges with by means of cost- recovery. to ‘rent’ software licenses regard to cooling efficiency effective and well- on a monthly ‘pay as you and traceability. As the Cloud and Managed managed computing Services space gained go’ basis – as opposed Sify adopted a consultative Making the acceptance, Sify entered to purchasing software - approach to build the resources, IT this space early and in minimizes expenses. This right business case for right choice efficiency, and a very short time the helps Indian enterprises, the customer to address provides lasting Company has on-boarded large and small, to safely their pain points and for flexibility. cost optimization. This returns
Sify Technologies Limited 038 INTEGRATED REPORT 2020-21 039 CHAPTER 4 utilise globally prevalent IT vices. This allows the client leveraging the capabilities Our services solutions which enhances to stay at the cutting edge of Google Cloud Platform Workload Migration Service Cloud Assessment Service Multi-Cloud Managed Service their service quality to their of technology evolution. (GCP). customers. Sify’s on-demand storage Sify’s solutions powered l Move from on-premise to l Recommend the to be l Multi-cloud infrastructure and Sify also provides service reduces the com- by GCP’s modern public and/or private Cloud architecture and approach for applications l a least disruptive and reliable Infrastructure Managed plexities of deploying and application management On–premise DCs to Sify’s world-class Data Centers migration Services. As the name managing multiple storage platform, Anthos, and suggests, this includes tiers and lowers opera- cloud interconnect Investments in Cloud Sify’s Cloud Expertise Managed Security Services Infrastructure Help Customers proactive management and tional costs by automating can help enterprises Extends Over support of the customer’s management with flexible unlock the power of Embrace Multi-Cloud Platform operating systems, need-based pricing. serverless computing, l Implement consistent set of l All aspects of building Cloud l cloudinfinitTM enterprise applications and database Going forward, the Managed containerization, and controls to prevent security infrastructure l Cloud and Public Cloud layers. For this, the Cloud Services is expected microservices. threats l Managing Public and Hybrid l Disaster recovery on Cloud Company uses specialized to increase owing to the Sify will offer its Google l Continuously monitor to Cloud services model monitoring tools and Company’s Cloud@Core Cloud Interconnect detect security breaches l cloudinfinitTM CMP to provide l Workload specific Cloud l infrastructure experts to strategy through which all which extends client’s Tactical threat containment multi-cloud operational best (HANA grid etc ) and automated response practices ensure optimal performance its solutions and services on-premise network to l Hosted Azurestack l AWS/Azure/Oracle/Google of the customers’ l Exadata as a service will move to the cloud. Google’s network through l Cloud implementation infrastructure. As an important step a highly available, low l Experience in delivering Sify As a dependable partner, in strengthening this latency connection. proprietary applications like Sify’s Center of Innovation vertical, Sify entered into Sify’s certified GCP ForumNXTTM, iTest, Safescrypt advises clients on their a partnership with Google Professional Cloud and, eLearning from cloud in a SaaS model. future technology roadmap Cloud Platform. With this Architects will guide that will align with their partnership, Sify will be businesses in effectively current IT infrastructure, able to help enterprises managing their cloud optimise future investments effectively modernize their services portfolio. Our engagement model and will deliver better ser- existing infrastructure by Client engagement Systems are owned cloud@core is based on defined by the client and Aligned to our customers cloud transformation pursuit business outcome annuity based pay- generated by out for services Cloud Enabling Cloud Inspired Cloud Pure Cloud Enhanced IT solutions and l Cloud DC l Oracle Exadata-As l AWS Cloud services l Digital SCM services l Hyper reach/Hyper Service l Azure Cloud services (ForumNXTTM, scale transport l SifycloudinfinitTM l Oracle Cloud services SFFNxt) Oracle FastConnect l l Public/Private l Multi-Cloud Digital Learning | ExpressRoute | l Workload specific Management (Livewire LMS) DirectConnect | cloud (e.g. S4 platform l Digital Assessment Partner Interconnect HANA grid) l (iTest) l Software Defined Multi-Cloud Managed l l Digital trust Network services EdgeConnect services (Safescrypt) Reduced upfront l Cloud build Private l Collaboration l | Hyperconverged | services on Cloud Digital Innovation investment as Enterprise (App modernization, client subscribes to l Security services for Analytics, AI/ ML, No upfront infrastructure by Sify cloud DevOps) investment by client as a part of their l Migration and l Enterprise Mobility and pay-out is based overall infrastructure Implementation l Industry solution-as- on consumption requirement service a-service Hardware People
LESS Licenses
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CASE STUDY - 3 Globally present. Digitally connected 03 Applications Integration Services
global investor who has on premise DC & DR was region. This would involve To cater to this growing Beacon. These applications raised US$ 15 billion also difficult for in-house building a fresh DR @100% traction for cloud services, are also witnessing renewed Asince inception and team which needed Capacity (from DC setup) on Sify incubated a business interest fueled largely by employs over 200 people, physical access for their AWS at Singapore Region AZ around Enterprise the country’s automation including a team of 120 operations e.g. hardware for 41 Instances. Application and Platform aspiration. investment professionals, replacement. Also, their A tunnel would be created Services with industry The world of e-learning working across 16 offices onsite teams had limited between VMC London standard products like is progressing rapidly for globally had issues with his capability which further and AWS Singapore for Microsoft, SAP and Oracle. multiple reasons. To cater current infrastructure. impeded performance of seamless connectivity. The Today, Sify offers a to this large and rapidly What existed... the infrastructure. customer’s DC & DR on VMC complete bouquet of growing opportunity, Sify The current infrastructure Sify onboarded... Why? & AWS respectively will be services around products, is building on its Virtual of the customer was Sify was selected as the monitored and managed by including Cloud Infra Reality and Augmented crippling their true single partner to help Sify. Services like Microsoft Reality strengths. potential. Their Data Center the Company address the The Network and Security Azure and Azure Stack, With multiple IPs pending (DC) and Disaster Recovery challenges. It was selected would be configured as Oracle Exadata as a Service for homegrown solutions, (DR) were on-premise at for the following reasons per customers’ compliance and SAP Private Cloud, applications based on these London and Singapore It has the in house requirements. Sify also As the need the Implementation and will see a growing demand respectively. These were competency of building & provided its own Backup Migration Services around in the coming years. managed by an in-house IT managing complex Hybrid solution (Commvault). for digital these applications and The big demand driver team based in India. They Multi cloud solutions. transformation platforms and Infrastructure will be human resource were using VMWare vSphere It delivers complete solution gained momentum, and Applications Managed management as the HR aims 6.0 for virtualization with with Network for Cloud, Services. to fill the skill gap in the over 75 VMs at DC and 40 Hybrid Multi Cloud Security cloud moved to the Prior to its partnership with incoming workforce and VMs at DR. Platform on and managing regulatory core of IT strategy industry giants, Sify had provide education to bridge Microsoft with MS SQL DB compliances. built a credible suite of the divide between the and their hardware was due It has the required Cloud for all business home-grown applications theoretical and hands-on for refresh. migration experience with enterprises. like iTest, ForumNXTTM and industry exposure. Its challenges and more strong presence in financial (with Covid-19) services segment. Sify’s Proposed Solution With the current setup, Sify proposed setting up a Oracle Amazon web services customer was facing DC environment on VMC at Oracle Public Cloud, Oracle AWS Platform, AWS Digital frequent hardware failures Exadta, Oracle Migration services, AWS Platform London Region. This would and capacity expansion services Security services, AWS involve migration of 75 This solution issues. Their DR was not at Migration & Management Instances from on premise services optimal capacity and their has delivered DC (London) to VMC on AWS on-premise DR was not at London Region. Microsoft AZURE & 0365 SAP services tested with drills. more than The DR environment would Azure Platform, Azure SAP Private Cloud, SAP Digital services, Azure Public Cloud (AWS- be setup at AWS Singapore the promised The pandemic surfaced Security services, Migration Azure), SAP 5/4 Hana certain hitherto unknown commitment. & Management services, 0365 Migration services, SAP challenges. In these trying Sify has created Migration & Rollout services, LSP managed services times, DC & DR accessibility became a challenge due an enduring to lockdown. Managing relation.
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04 Technology Integration Services Unlocking scale for the businesses
Early in 2021, Sify decided Sify Technologies will Cloud, Managed Digital to give shape to an idea continue as the parent and services and Applications that was festering for reside all business related Integration will reside under some time from a business to Network connectivity this subsidiary. The Company leverages access, virtualization, data and stakeholder value under it. Each of these subsidiaries its homegrown expertise center build, campus/ perspective. Both data Sify Infinit Spaces is the have a management team in design, implementation local area network (LAN)/ Center and the IT services name and ambition covering who will take care of and maintenance to deliver data center networking, offered off them, were all of the company’s Data operational and strategic end-to-end managed IT wide area network attaining critical traction Center pursuits, related decisions. services across Data Center, (WAN) architectures, and and recall among the to real estate acquiring, Network, Collaboration and enterprise and end-point various constituents of the the project builds and Security. security. Enterprise market. It was colocation for clients. time to give them their These are challenging Sify Digital Services is space to grow. projects that are where all the value adding, Sify offers turnkey implemented at multiple At the start of the year, differentiating IT services the Company carved out 2 solutions to clients locations pan India will be offered off. Hence, simultaneously. Its focus on business into subsidiaries; the new age services like who are new to service desks and command Sify Infinit Spaces Limited both technology centers, voice and video and Sify Digital Spaces conferencing, hosted Limited. and technology contact centers, unified refreshes. communication and unified Three-fold intent
1.Promoting Growth 2.Focus 3.Leveraging or unlocking of Individual Business a. The competition the value Segments and customers, vendor a. It helps in leveraging a. Each businesses have ecosystem of these or unlocking value of each different attributes, businesses are diverse. stream of business. drivers and has reached a b. Each business segments b. This structure also scale where they require has promising growth enables exploring independent strategy outlook and hence the partnerships and tieups while still retaining the segregation of business with strategic players overall ICT leadership and units would bring deeper for operational strength, positioning. focus and would allow each business growth and value business segment to scale it creation. up individually
Sify Technologies Limited 044 INTEGRATED REPORT 2020-21 045 THE OPERATING ENVIRONMENT The pandemic put our business space in the spotlight. FY21 was the most challenging period in living history. We stepped into the unknown. Until the end of FY20, normal life as we knew it seemed to be proceeding along relatively predictable paths, but the global pandemic changed life to anything but predictable.
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relied on a strong network. Because a strong network facilitated access to data pool, connectivity with people and the window to the larger world. Networks necessarily needed to be strong to allow for the sudden spike in bandwidth consumption. In these challenging circumstances, the data management and networking spaces emerged as critical for survival. Data Centers & Cloud working full throttle, to flexibility becoming more Data Centers enabled In India, the demand for the extent of data center critical for businesses, digital commerce, banking hyperscale Data Centers services being classified especially in the aftermath and online meetings – in shot up in the last two as one of the essential of the pandemic, there is In the span of weeks, our a nutshell they played a years as more businesses services. also an increasing adoption way of life has changed crucial role in keeping are moving their IT Interestingly, the Data of infrastructure-as-a- dramatically, with millions companies functional - infrastructure to the center business today is not service. of people and businesses making digital infrastructure cloud, especially driven a standalone business. The According to data accrued around the world adjusting more important than ever by increasing demand for interconnection between by IT asset management to social distancing before. That has given the app-based services and data center and the Cloud firm, Snow Software, which requirements. A massive data center world a sense OTT platforms, and the world has become very polled 250 IT leaders from portion of our global of achievement, and kept intensifying conversation important. With more around the world about how workforce is now working digital businesses operating around locally storing data people working from home, the onset of the pandemic from home. and growing despite the of Indian users. the need to store data had affected their cloud The pandemic and the in the cloud increased adoption plans. Out of those ‘Work from Home’ which as lockdowns instituted across resultant lockdowns have exponentially. surveyed, 82% said they a concept was largely alien India. only catalysed the demand While Covid has acted had ramped up their use of to the Indian work culture, The emergence of new for Data Centers. Data as a catalyst in Cloud cloud in direct response to and was looked down upon, business environment in center providers in the adoption with organizations the pandemic and the shift became the norm. the wake of Covid-19 is expected to boost cloud country witnessed a spike betting big on their digital to remote working patterns Every establishment was in demand in the ongoing transformation strategies, this had ushered in. forced to adopt this the services and digitization as lockdown as more and more factors such as ballooning In a nutshell, the New Normal. It had to companies overhaul their digital infrastructure to deal people worked from home. data consumption led by emergence and be done immediately as Data Centers were put video and social media the challenge to life and with new ways of working. acceptance of the new A recent report by Crisil, to the test as a large platforms, rise of OTT normal – adoption of livelihood from the invisible workforce suddenly moved platforms and e-commerce, enemy was colossal. similarly, had pointed cloud and acceleration EXPERTS ESTIMATE THAT to remote working during have accelerated the trend. But for business activity to out that India’s data of digitisation – have now US$ 7.1 BILLION (INR consumption has seen a the global crisis. Companies Government initiatives 50,000 CRORE) WOULD BE happen, data was essential, become the pillars of sharp 38% rise year-on-year were able to access, and data localisation laws SPENT IN INDIA ON CLOUD connectivity became the business continuity for FY21 on account of manage and process their are also playing a part in INFRASTRUCTURE OVER critical. The success of strategies for the post- THE NEXT TWO YEARS. Covid-19. data from a remote location accelerated Cloud adoption. remote working squarely due to data center networks Also, with operational Covid-19 world.
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THE QUARTERLY PERFORMANCE Inching forward - Step by step Q1 Q2 (April - June 2020) (July - September 2020) INR5259Mn INR1,153Mn INR172Mn INR5899Mn INR1,189Mn INR257Mn Revenue EBITDA Profit after tax Revenue EBITDA Profit after tax (5)% 32% (20)% 2% 12% 35% growth growth growth growth growth growth Data Center centric IT services Data Center centric IT services 5% 12% Growth in revenue over corresponding quarter of the previous year Growth in revenue over corresponding quarter of the previous year Application Integration & Technology Application Integration Data Center Services Cloud & Managed Service Data Center Integration Services Cloud & Managed Service Services Technology Services • Multiple customers • One of India’s leading • New customers signed up for multiple Integration Services migrated from their fashion brands and a services like AWS CDN, DRaaS, PaaS 6 major customers One of India’s oldest software majors, a leading 10 new customers from on-premise Data central government body and IaaS from verticals such as migrated from their fashion brand, and one of the most established diverse verticals signed Center to Sify DC. were among the customers Education, Insurance, Non-banking on-premise Data banks in India contracted Sify to have their up for multiple services • 6 new customers who contracted to migrate Finance and Private Equity. Center to Sify DC. workload migrated from their on-premise DC to like CDN, DRaaS, PaaS, signed up for their workload from their • Customers signed up for supply chain multi-cloud. and IaaS modernization of on-premise DC to multi- integration on the Cloud. A leading automotive financial company, the their DC. cloud mining subsidiary of one of India’s oldest MNCs • Received contracts from 2 contracted for greenfield Cloud implementation • An insurance major Three customers contracted Sify for Cloud signed up for their customers for greenfield Cloud implementation managed services from IT and Business DC infra refresh Processing verticals. • Customers contracted Sify Two customers signed up for multi-year for Cloud managed services complete Digital Transformation services to from verticals such as build and deploy new age Hybrid IT services, DC Power, IT and Government. colocation services, Cloud services, Managed • Major customers signed Network and Security services. multi-year contracts for managed security services. Network-centric Services Network-centric Services (8)% % Growth in revenue over corresponding quarter of the previous year (12) Domestic network International network Growth in revenue over corresponding quarter of the previous year • Major retail chain signed up for Energy management • Added an interconnect path to the Domestic network International network across their business, an important win for the IoT cloud with the commissioning of • One of India’s largest private home-financing Entered into a partnership with Google services. Oracle Fast Connect. players signed up for the complete outsourcing and Cloud Platform to further expand its • Contracted to build the on-premise and pan India • A US MNC contracted Sify to build a transformation of their Network. Cloud and Managed services portfolio. SDWAN for the Central government’s payment gateway. contact center service to enhance its • A major niche chemical manufacturing player and a Sify will be able to help enterprises • A public sector non-life Insurance company, an IT major, Enterprise service experience. pharma major contracted with Sify for managed and modernize their existing infrastructure and a logistics player contracted with Sify for managed • Banks and private NBFCs contracted secure SD-WAN services. by leveraging the capabilities of Google and secure SD-WAN services. with Sify to expand their existing Cloud Platform (GCP). • Public and private BFSI players, higher learning institutions, and manufacturing majors signed up for engagement for Information Security remote collaboration services. services.
Sify Technologies Limited 050 INTEGRATED REPORT 2020-21 051 CHAPTER 5 THE QUARTERLY PERFORMANCE Q3 Q4 (October - December 2020) (January - March 2021) INR6,301Mn INR1,291Mn INR252Mn INR6,860Mn INR1,453Mn INR904Mn Revenue EBITDA Profit after tax Revenue EBITDA Profit after tax 7% 17% 54% 20% 40% 575% growth growth growth growth growth growth Data Center centric IT services Data Center centric IT services 21% 22% Growth in revenue over corresponding quarter of the previous year Growth in revenue over corresponding quarter of the previous year Application Integration & Application Integration & Technology Data Center Services Cloud & Managed Service Data Center Services Cloud & Managed Service Technology Integration Services Integration Services • One of India’s premier An MNC electronics retailer entering • An industrial product • Customers, from • Customers signed up to migrate The online test platform saw more than automotive finance India contracted for a greenfield subsidiary of one of India’s diverse verticals their workload from their 300,000 tests being conducted for clients companies and an Cloud implementation for their new oldest business conglomerates moved from in-house on-premise DC to multiple from Education, Heavy Engineering, Indian multinational applications on AWS. signed up for migration to / competitor DC to Cloud platforms, including State government, and the Health sector. pharmaceutical 5 customers signed up for SAP Cloud AWS, while one of India’s Sify DC. Cloudinfinit and AWS. company, migrated fastest growing FMCG and Managed Services, across multiple • A major Public Sector • Clients signed up for greenfield from their on-premise companies signed up for AWS verticals. Insurance client Cloud implementation Data Center to Sify services. A scheduled commercial bank signed a contracted for a DC, while a major • Multiple clients contracted for multi-year contract to commission their • A major construction complete refresh and Indian fintech player Managed Services Private Cloud and host their Core banking subsidiary of one of India’s augmentation of their migrated their captive infrastructure. This contract includes IT, oldest business houses signed DC and DR. DR to Sify DC. Network, security, and management of up to fully integrate their • 3 customers their DC IT services. backend supply chain on the Network-centric Services contracted with Sify One of the largest gas-powered power Cloud. to modernize and plant operators in the North East • 5 clients signed up for SAP % expand their Disaster Basis support, which includes (7) contracted with Sify to build a new DC Growth in revenue over corresponding quarter of the previous year Recovery within Sify’s for their non-IT infra and migrate their one of India’s largest B2B Data Center; among IT services. e-commerce platforms. Domestic network International network them is a subsidiary A major Public Sector lender signed • A major International Fintech of the Central Bank, • The country’s largest bank signed a multi-year contract With Cloud interconnects gaining a multi-year contract to renew their and Payment services player a global content for setting up next-generation NOC and management of momentum, significant contracts were security and managed services, as well as contracted with Sify for delivery network, network across 4 Data Centers in India, 24,000 branches in concluded with a global content delivery to refresh their IT Services, Technology, Kubernetes /Docker as a and a cybersecurity India, and 120 branches outside India. network, private and public sector and Security. Service and the complete and cloud service suite of Digital Transformation • Significant investment and expansion of the next banks, automobile manufacturers, a company. services. generation fiber access networks across 6 key markets retail chain, and a couple of insurance covering Data Centers, SEZs, and Commercial Business players. Network-centric Services Districts. % • Customers from several verticals including IT, Retail, (5) Banking, and Digital Wallets signed up for MPLS Network Growth in revenue over corresponding quarter of the previous year builds while a retail major signed up for pan-India SD-WAN Domestic network service. • Received a contract for building a Multi-Terabit DCI network for a Hyperscale cloud provider in Mumbai. • A major fashion brand contracted with Sify for pan-India implementation of IoT services. • A pharmaceutical major contracted with Sify for managed and secure SD-WAN services. • Signed up multiple clients across multiple verticals for interconnection to the Cloud • Multiple clients from diverse verticals contracted Sify for pan India MPLS network services • Multiple clients including a premier Indian stock exchange contracted Sify for WAN commissioning on a pan-India basis. THE GOVERNMENT OF INDIA SIGNED UP FOR • A multinational investment bank and a leading Indian two-wheeler manufacturer signed up for collaboration services at their premises. A MULTI-YEAR, MULTI-SERVICES GREENFIELD DEPLOYMENT OF DISASTER RECOVERY.
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KEY PERFORMANCE INDICATORS Gaining momentum Sify uses financial Key Performance Indicators (KPIs) to measure performance and health of its business. KPIs reflect how the Company operates and are fundamental to how the Company track progress towards achieving its strategic objectives.
Revenue from Operations EBITDA Earnings per share Shareholders Fund (INR Lakh) (INR Lakh) (INR) (INR Lakh) 184,320 206,856 215,469 229,521 243,195 25,704 28,558 31,221 40,766 50,854 4.45 6.11 6.86 3.94 8.53 82,626 90,030 107,772 113,495 131,636 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY21 FY21 FY21 FY21
y-o-y growth (%): 6 y-o-y growth (%): 25 y-o-y growth (%): 117 y-o-y growth (%): 16
Profit before Tax Profit after Tax Term Debt Cash balance at the (INR Lakh) (INR Lakh) (INR Lakh) year-end (INR Lakh) 18,840 22,881 22,480 26,510 55,020 6,431 9,233 10,714 10,198 16,001 6,424 9,233 10,687 7,054 15,317 22,844 31,956 55,112 58,439 60,733 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY21 FY21 FY21 FY21 y-o-y growth (%): 57 y-o-y growth (%): 117 y-o-y growth (%): (4) y-o-y growth (%): 108
Sify Technologies Limited 054 INTEGRATED REPORT 2020-21 055 How do we create value? We strive to allocate our capital and resources in the best possible way to create sustained value for all our stakeholders. Given the constrained and interconnected nature of the capitals we rely upon, we must make smart choices about where to allocate our resources to generate sustained value.
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BUSINESS MODEL Inputs Financial Capital y Shareholder’s fund: INR 113,495 Lakh y Gross Debt: INR 9,443 million y Capital Employed (April 01, 2020): INR 11,349 Million
MANUFACTURED CAPITAL y DC capacity: 71.14 MW y Network length: 83,492 Kms. of Dark Fibre y Enterprise end-points. 115,000 Outcome FINANCIAL CAPITAL INTELLECTUAL CAPITAL y Revenue: INR 243,195 Lakh y Proprietary Products: 2 y EBITDA: INR 50,854 Lakh y Product development expenditure: INR 172 Lakh y EBITDA margin: 21% y Product development team: 156 members y Net Profit: INR 15,317 Lakh y Capital Employed (March 31, 2021): INR 13,164 million HUMAN CAPITAL y Employees on roll: 2838 associates MANUFACTURED CAPITAL y L&D number of courses : 3470 y Proportion of multi-year contracts for Data Center centric IT y Number of associates who underwent courses : 2477 services: 80% y Proportion of multi-year contracts for Network Centric Services: 50% SOCIAL & RELATIONSHIP CAPITAL y No. of Shareholders: 9,340 INTELLECTUAL CAPITAL y No. of Customers: 10,000+ y Revenue from proprietary product: INR 9x amount invested in y CSR spend: INR 204 Lakh product development
NATURAL CAPITAL HUMAN CAPITAL y Diesel consumption: 592 KL (FY20-21) y Revenue per employee: INR 85.69 Lakh y Energy consumption: 34 MW (FY20-21) y EBITDA per employee: INR 17.92 Lakh y Number of engaged learning hours: 66105
Value creation approach SOCIAL & RELATIONSHIP CAPITAL y CSR beneficiaries: VIRRD Trust: INR 190 Lakh Mission Values y VHS Trust: INR 14 Lakh • Seed entrepreneurial abilities within the At Sify, our values which we call the Sify Way, organization drive our organizational behavior. • Build convergence technologies • Deliver cost-effective solutions NATURAL CAPITAL y Reduction in energy consumption in NOC/Offices/Guest House: 4.27% Strategic objectives y E-waste recycling: 7.8 tonnes 1) Objective 2) Objective 3) Objective Value-Driven growth Cementing customer connect Sustainable Business segments and product basket Data Center centric IT services Network Centric Services y Data Center Services Network Services. y Cloud & Managed Services y Applications Integration Services y Technology integration Services
Sify Technologies Limited 058 INTEGRATED REPORT 2020-21 059 CHAPTER 6 Financial Capital t Sify, efficient capital utilization has always been in the spotlight. FY2020-21: In retrospect AWe have always identified and implemented ways, to enhance profitability and build financial reserves for sustainable operations.
Sify follows a robust system Given the Company’s Also, the Company has on capital allocation among capacity creation strategy, consistently maintained a 2,43,195 50,854 15,317 various competing capital sizeable business surplus competitive borrowing rate Revenue (INR Lakh) EBITDA (INR Lakh) Net Profit (INR Lakh) expenditure projects and was deployed in capacity by adopting an appropriate 6% growth over 25% growth over 117% growth over the need to deleverage the creation. Hence, the impact balance between fixed and FY20 FY20 FY20 organization. Accordingly, of capital projects was floating interest rate. utilization of funds between marginal on the Company’s A strict adherence to its investment (in capacity and debt portfolio. financial management capability) and redemption Sify remains alert and agile systems and risk control 69,666 8.53 (of debt) is calibrated to in capitalizing opportunities measures has helped the Net cash from Operations (INR Lakh) Basic Earnings ensure that the leverage with an objective of Company achieve a superior 37% growth over FY20 per share (INR) ratios are within acceptable reducing its interest cost. Return on Capital Employed levels without compromising (RoCE) and stronger cash on business growth. flows.
Borrowing summary (INR Lakh) Key Performance Indicators FY17 FY18 FY19 FY20 FY21 EBITDA margin Net margin ROCE Long-term debt/Equity (%) (%) (%) (x) Long-term loans
From banks 9,211 15,450 29,731 37,268 38,784
From others 8,441 14,646 24,412 21,171 21,949 0.28 0.35 0.51 0.51 0.46 Financial obligation 5,192 1,860 969 14,701* 17,726 14 14 15 18 21 4 5 5 3 6 13 16 17 18 19
Short-term facilities 26,371 25,978 27,971 34,945 34,195 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY17 FY18 FY19 FY20 FY21 FY21 FY21 FY21 Cash Balance 18,840 22,881 22,480 26,510 55,020 Long-term debt/EBITDA *Due to adoption of Ind AS 116 / IFRS 16 LEASES (x)
OUR ROAD MAP TO IMPROVE BUSINESS PROFITABILITY y Increase the revenue mix in favor of high-margin solutions 0.89 1.12 1.77 1.46 1.19 y Continue to optimize costs for improved business profitability y Capitalize on business widening initiatives FY17 FY18 FY19 FY20 FY21 undertaken in FY21 y Box item ends
Sify Technologies Limited 060 INTEGRATED REPORT 2020-21 061 CHAPTER 6 Manufactured Capital t Sify, capacity building is always a strategic call to make the Abusiness more adaptive and resilient, thereby enabling it to be relevant to the most demanding customers. In doing so, it aims to remain steadfast on its commitments to create value. FY2020-21 in retrospect The team completed business by supporting Strengthened our Data the networking of three multi-DC and hybrid Center infrastructure important cities namely cloud deployments for its Sify’s tangible assets as an important player in that meet the highest z We deployed a 6.5 MW Kolkata, Pune and customers. comprise its storage the Data Center space in standards of the industry. data center capacity in Hyderabad under the Metro The integrated solutions infrastructure across its India. Intelligent capacity creation NOIDA Project. focused around low latency multi-locational operating The Company has 10 has facilitated in balanced The metro networks are and direct cloud connects sites together with its Concurrently Maintainable infrastructure across regions z We deployed a 2 MW built focused around couple with the Sify Data network assets that connect Data Centers located in - these assets enable the data center capacity in Data Centers in each of Centers provide a strong more than 1,600 cities in different seismic zones, Company to deliver its Hyderabad the cities. This network value proposition to India. Consistent investment with highly redundant diverse service offering to Strengthened our Network supports high capacity DCI customers in their digital in capacities over the last power and cooling systems more than 1,000 business infrastructure and help Sify’s data center journey. decade has positioned Sify enterprises in India and across the world.
Blueprint for tomorrow Data Centers, each with other Metro and Tier 2 cities Going forward, Sify plans a capacity in excess of 50 under its ambitious Metro on adding capacities in MW, large floor height, on- Project. It plans to invest in Mumbai, Delhi, Chennai, premise substation and very high-capacity wireless and Bangalore and Hyderabad high power density per rack. IoT focused network – being over the next 3-5 years. In the networking ready for the fast evolving 1 These new Data Centers are infrastructure, Sify will business space. next generation, campus focus on deploy including
Key Performance Indicators
2 Data Center capacity Capex Fixed Asset Return on Assets (MW) (INR Lakh) (INR Lakh) (%)
6 3 1 New Delhi [Noida] 2 Kolkata 47 47 50 55 70 71,727 77,874 92,043 1,24,727 1,31,829 5 3 Hyderabad 4 Chennai 24,347 29,509 55,682 30,239 20,076 9 12 13 7 12 4 5 Begaluru FY17 FY18 FY19 FY20
Mumbai [Rabale, FY17 FY18 FY19 FY20 6 FY21 FY21 March 31, 2017 March 31, 2018 March 31, 2019 March 31, 2020 March 31, 2017 March 31, 2018 March 31, 2019 March 31, 2020
Airoli, Vashi] March 31, 2021 March 31, 2021
Sify Technologies Limited 062 INTEGRATED REPORT 2020-21 063 CHAPTER 6 Intellectual Capital ify’s intellectual capital is its slew of contemporary products Sand platforms created by its team leveraging the knowledge and Product / Platform Details of the product Edge of this product over others in the space expertise resident within the organization. These products enable its customers access to a host of products and ITSM Tool for Internal y Extended & Customized implementation for services and enable them to be part of the digital transformation ServiceNow and Customer Telecom Service Provider Environment. wave that is sweeping through the nation. Process. y Customized Automation for Traditional Network, Nextgen SDWAN, IVR Systems, This includes Field Management System. Configuration y Customization in Service Relationship for Management, Service Service Modelling. Product / Platform Details of the product Edge of this product over others in the space Assurance (Customer & Network Incidents), y Complete Automation of Service Assurance SMAC wireless radio Sify owns the IP for HW design of SMAC 3 Service Delivery, (Auto Ticketing, Auto Correlation, IVR SMAC 3.0 is a product wireless radio-Hardware. Change Management, (Inbound &Outbound) Process, Auto Healing/ Resolution etc). to meet Sify’s y Rigid Hardware Design for extreme weather Preventive various needs to conditions – Built-in RF & ETH surge Maintenance. y eBonding for Partners and Enterprise cater to enterprise protection, IP 67 enclosure, 100% integrated Customers. connectivity and antenna high-end applications y SMAC3 comes with Latest technology like NMS tools for Shared y Complete Inhouse Development & Support. Dying Gasp, GPS. Temperature sensor, Dual Sify and Dedicated y Reduced Device Certification Cycle(Two Radio and MiMo BeaconTM Managed Service weeks). y Extension for IoT platform Platform. y Agility in new Feature Development/ Provides Fault Enhancements & Support. Sify owns the IP for customized wireless Management, firmware for SMAC 3 -Software Configuration y Single Software for all type of deployment Management & models like Backhaul, PTP, PTMP Performance y Latest software features like DDRS, DCS, Management. ATPC and Spectrum Scan to mitigate interference. VuNet AI Ops Platform for y Provides Frameworks for Predictive y Security – AES 256, MAC ACL, Radius and FW Managed Service Analytics, Supervised and Unsupervised filtering features Platform. Learning. y Jumbo frame size support- 9000 bytes, Built- Provides Fault y Increased Operation Efficiency for Capacity in traffic generator Management, planning, Outlier Detection etc. Configuration NMS Management & ZTP, High scalability, Auto discovery, Bulk Performance operations, Asset management, Topology, API Management. Integration with auto ticketing, SMS and SMTP GW support, Threshold based alerts.
Sify owns the IP for the customized mobile App Upcoming Products The mobile app can be used for alignment, y VuNet – For Extensive AI Operations configuration, survey scan, performance test y IoT Automation – For Predictive Preventive Maintenance & Better Operation Efficiency and debugs the links. y Service Provisioning Automation – Traditional Networks and Next Gen Networks (SDWAN) y SMAC 3 –GPS sync, TACACS, NMS integration with auto ticketing, Hot standby 1+1, channel bonding, extension for IoT
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Product / Platform Details of the product Edge of this product over others in the space
Sify’s DCA 5.0 In-house developed Higher flexibility Data Center Provides for increased customization even as it Architecture optimizes the cost of design and construction. SDA 5.0 builds upon Better yields the POD-based Its enhanced customization options. allows SDA 4.0 design for customization to higher resilience and architecture and is a densification options to 2x which helps in cost-optimized design maximising KW yield suited for the Indian ecosystem Lower capital cost The inside-out design philosophy, increased standardized features and components, in-house engineering and delivery team and just-in-time, modular construction reduces the capital cost for setting up the Data Center. cloudinfinitTM Offers on-demand Wide array of service infrastructure on a Include a wide range of choices across the multi-tenant, robust portfolio of Compute, Storage, Network, and fully scalable Security, Analytics and Protection services to platform. provide end-to-end IT infrastructure on pay- Utilised to host the per-use basis most demanding IT Safety and service assurance applications of client. IT applications of client are located in enterprise-grade, secure, highly available and self-service environment backed with stringent service-level guarantees. ForumNXTTM An India-centric Integration of multiple services inventory This Cloud-based solution is integrated with management solution Sify cloudinfinitTM and Amazon’s Web Services to handle local supply (AWS) platform, - it can easily scale to meet chain management the needs of large international businesses. challenges for global companies entering Visibility India. Gives brands visibility on their products, distribution, challenges, markets and demand.
Global Cloud Connect Sify’s Global Cloud Connect provides connectivity to leading cloud providers such as AWS, Azure, GCP and other services to connect with their offices, Data Centers and workloads in other public clouds, leveraging Sify’s countrywide IP VPN (MPLS) network. Google Cloud customers can also utilize Sify’s Data Center Interconnect services, which provide cutting-edge performance for mission-critical and latency/high-availability sensitive applications. This service is offered from 49 Data Centers in the country, including 10 of Sify’s own carrier neutral co-location facilities.
Sify Technologies Limited 066 INTEGRATED REPORT 2020-21 067 CHAPTER 6 our employees and their Philosophy On-boarding fresh talent Human Capital families. To be an Employer-of- provides the much-needed energy to service growing usiness is run by people. Especially in a business where impeccable Reimbursed the Covid Choice by creating a business needs; lateral service sustains relations and wins clients. This holds true for Sify for it vaccination cost for all our high-performance work B hiring focuses on specialized is in a service-led business, catering to a few thousand clients across the employees, their spouse, culture through effective and niche skills where years Indian landmass. As such, its team is primarily responsible for growing the children and parents. people practices that of experience and expertise business and establishing its repute as a dependable partner. Reimbursed the Covid makes Sify’s associates Lab test charges (RTPCR feel empowered and are required for formulating develop a feeling of business strategies aligned Sify’s people passion and every team member to seek Tied up with super- or Antigen) for associates, ownership and pride. with the evolving business perseverance was aptly updates on their health speciality hospitals to their spouse, children and parents. Human Capital Summary space and disciplined showcased in a challenging and well-being, build their provide hospital services business management for EAP PROGRAM Sify’s passion and FY21. morale, and motivate for the employees and their meeting budgeted goals. them to enhance their family members. Maintained a daily connect perseverance to widen its FY21 was an out-of-the Campus Connect: As productivity and remain with associates for getting services to align with the normal period owing Enhanced the coverage the name suggests, this committed to customer updates on their health and dynamic business ecosystem to the unprecedented for its Group Mediclaim program is designed to service. well-being. we operate in and to health emergency that (Hospitalization) Policy recruit freshers into the enveloped the world. COVID COVER for Employee and Parental Sent Covid Kits to associates meet customer aspiration has created interesting organization. It mandated sweeping The entire workforce Policy. who are tested positive. The employment opportunities. Basis the Annual Business changes in everything except for 24x7 critical Doubled the sum insured kit comprises of Oximeter, During the year under Plan, Sify identifies people did – personally and services works from home. for the Group Term Life Thermometer, N95 Mask, 3 review, the Company added the need for additional professionally. ‘Work from Insurance and Group ply Masks and Sanitizer. Signed up with a reputed 540 people to manage the role-specific talent that Home’ emerged as the Maintained connect with Tele – medicine consultation Personal Accident Policy. would need to be put accepted working culture. few partners for vaccination rapidly expanding business – services for our employees Taken a separate policy on board. Students from Data Centers transformed drive at the Company recruitments were primarily and their family members. called CORONA KAVACH for reputed engineering and into an Essential Service. premises which would be done virtually. As such Introduced the Covid Home the associates and their management institutes are Connectivity became implemented subject to the Sify team comprised Care Program for employees immediate families in shortlisted for aptitude and the life blood for every government approval. of 2,838 associates as on and their families affected case of hospitalization or technical capabilities and activity. People of all ages, March 31, 2021. by Covid. Fully sponsored quarantine. shortlisted. cultures and walks of life Talent Acquisition by Sify, this was a one- Signed up with professionals wanted one thing – fail-safe Sify’s hiring strategy is Selected students are month program covering to provide professional connectivity and access to pivoted on two words inducted into the system vital aspects during Covid counselling and mental data. – Energy & Experience. through a robust onboarding treatment. wellbeing services for and orientation program This was quite challenging which includes classroom for the team. Because and on-the-job training on even as it endeavored to business, products, delivery meet these demanding process, and key behavioral requirements, they needed and teambuilding skills. to brave the pandemic itself. The comprehensive training program is concluded on the Sify’s team rose upto the Graduation Day where the challenge. Their Bring it students who successfully on Attitude enabled them complete the training are to brave the odds while conferred with certificates delivering on its service and assigned different commitment to customers. teams. Their efforts were Sify has created a dedicated supplemented by the HR team to manage the Campus team who connected with
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Program for promoting improvement of the EHS the campus corporate management system. relationship. This includes Sexual harassment policy: active participation in Sify has zero tolerance for campus held seminars, sexual harassment and the workshops and extending Company has implemented internships to students from the provisions of the Sexual various streams. Harassment of Women at Onboarding & Feedback: Workplace (Prevention, The onboarding process Prohibition and Redressal) ensures smooth induction Act, 2013 and the rules of the associate into the made thereunder. During system by catering to his/ the financial year 2020-21, her work needs – both the Company received no prior and post joining – and complaints on account of thereby provides a pleasant Talent showcase: Cultural In FY21, the physical the senior leadership team the Chairman, CEO, CFO, sexual harassment. and memorable experience programs and competitions engagement calendar address the entire Sify internal communications Policies and updates: at work. are organized on a quarterly remained relatively muted on business performance, team, marketing team As an organization, In keeping with its penchant basis to enable employees owing to the Covid-19 sectoral opportunities and and the HR team with its it is important for all for improvement, Sify showcase their talent and pandemic. This was suitably challenges and business team members on various associates to understand has created an associate skills in various fine arts and replaced with virtual strategies. In this open subjects that are relevant policies revolving around feedback which is recorded creative arts. engagement forums across forum, associates are to the organization and the code of conduct, through an online survey. It Sports: Tournaments such teams. encouraged to express their the employee at frequent sexual harassment and provides regular feedback as cricket, football and Communication views and seek clarification intervals. whistleblower. These from the associate which badminton are organized Organizational on key aspects of business. Employee-related policies policies have been is shared with concerned at periodic intervals to communication is a core eZine: Sify’s quarterly Environment, Health & developed as learning stakeholders to facilitate promote team bonding component of any business newsletter serves as Safety: The policy ensures courses and hosted in Sify’s timely interventions at the workplace. This and without it, the tasks an effective medium responsible and ethical LMS portal. and ensure associate also helps encourage the and procedures that need to of communication with business conduct focusing Employee involvement team members undertake employees as it features satisfaction. be carried out in order for on occupational health In its effort to building extracurricular activities various business initiates Employee Engagement the business to run would and safety of associates, the strategic skills of its and build their physical and people achievements In a people-driven business, not occur. property and environment, middle management team, fitness. – it includes industry people bonding, and At Sify, the team members in conformance with Sify encourages its middle interactions, seminars and camaraderie is critical Health camps: Health are encouraged to statutory and government management team to conferences in which Sify to build a cohesive camps are conducted at interact with colleagues regulations. The Company attend and participated has actively participated, force. Interestingly, this periodic intervals in the and seniors. This open further endeavors to in scheduled business people matters, client happens in an ‘out-of- office premises, with the door communication implement proactive EHS review meetings; they are appreciations for services, work’ environment rather objective of promoting platform provides clarity practices across all daily encouraged to showcase and employee engagement than while at work. With the general health and on job responsibility and operations undertaken new ideas and projects events. The team recently this realisation, Sify has wellbeing of employees. expectations and allows by the associates. The in these forums. Some introduced a section titled created multiple employee The health camps covered associates to upgrade their policy ensures that executives are nominated to ‘People Matters’ with an engagement forums which the aspects of general skills and imbibe efficiency non-compliance of the spearhead certain strategic intent to publish content have helped in building a health, eye, dental and traits. Company’s EHS policy will business projects – it allows relevant to the associates strong people force. Some cardio checkups among Town Halls: Town Hall be met with zero tolerance them to collaborate with for the quarter. of the key initiatives are various other health meetings are organised at by the management. The key stakeholders and form listed below: screenings. regular intervals where Other Forums: The Company policy seeks to promote a platform for undertaking shares statements from and pursue continuous
Sify Technologies Limited 070 INTEGRATED REPORT 2020-21 071 CHAPTER 6 HUMAN CAPITAL Standardized KRAs, the work effectively. Based backed by a benchmarking 66K hours of learning called CHIP (Campus Hire designed in line with the on this, skill development in assessment to validate the through virtual classroom, Induction Program). This larger organizational SMART formula, across all the areas of technology and associates understanding of eLearning, OEM portals focuses on generic technical responsibility over the roles have been integrated behavioural / soft skills is the respective technology/ and professional workshops training and stream training coming years. into the QPR (Quarterly mapped in the LMS module product/service. modes. The learning along with behavioural Leadership pipeline Performance Review). (Learning Management Learning Operations: The absorption is validated / soft skills modules. In Sify has consciously The QPR ensures timely System). The associate team facilitates learning by quizzes, labs practice, the FY21, L&D team picked its high-performing feedback to the associate undergoes the courses and requirements seamlessly assessments and in-house has inducted nearly 181 associates with the right basis and provides an its related assessments to to ensure learning metrics certifications. engineering graduates and attitude to be groomed opportunity for course ensure role readiness. are met aligned to Campus Hire Induction 31 management graduates as future leaders of the correction actions through For Business Unit specific organizational strategy. Program (CHIP) into the respective organization. a well-structured PIP requirements, an in-depth In the FY21 L&D function L&D plans and delivers streams. (Performance Improvement These associates are Learning Needs Assessment covered close to 2,814 foundation program for Plan). fast-tracked within the (LNA) is carried out with associates and accomplished Engineering Graduates organization. As such, the Performance clear objectives and Management System has benefits articulated for the They are nominated for resulted in promoting a learning intervention. The specific learning and performance-driven culture. LNA is then signed off by certification programs to the business to move ahead enhance their skill sets and Learning & Development on the design, delivery and Learning Hours Y-o-Y Growth introduce them to emerging Sify continues to invest in evaluation. This is done for 66,105 MODE OF TRAINING global trends. its people – building their all the customised learning They were covered under capability, sharpening their expertise and nurturing the solutions for business units. a structured retention 41,695 IN HOURS Three teams have been program which provides spirit of leadership – which created within the L&D them with significant positions it as a learning 25,035 vertical to cater to the FY19 FY20 FY21 benefits. and knowledge building institution. needs of the business – it Intructor Led 13,593 22,675 23,159 They are enrolled into emphasises the importance FY19 FY20 FY21 eLearning 11,443 19,020 42,945 succession planning The Learning and Development (L&D) of L&D to the sustainable programs which grooms growth of the organization. them to leadership roles in function of Sify caters to Learning Business Partner: the organization. all formats of learning (Technical, Behavioural The team focuses on Internal Assessments FY-21 Their efforts and and Functional) across understanding the business achievements are levels and geographies. The to play a consultative role recognised and rewarded role of L&D is to create a in providing impactful at Annual Business Summits culture of learning within learning solutions aligned to motivating them to strive the organization and keep business goals harder. 3,330 6,660 1,599 138 the workforce ready for the Learning Solutions: A team No. of Hours No. of instances No. of Associates No. of Titles Performance management future. of content developers and Sify’s appraisal process in L&D delivers competency instructional designers with Sify comprises of quarterly based behavioural / soft support from SMEs involved review of every associate skills training programs in creating the solutions Key Indicators FY19 FY20 FY21 against a set of articulated in the form of monthly contextualized to Sify. KRA’s – most of which are calendar for different levels Multiple learning stacks are Learning Hours 25,035 41,695 66,105 quantifiable metrices and across the organization. being created on technical goals. Every associate is mapped / products / services across No. of Participants 2,030 2,714 2,814 to their respective roles and different lines of business. the skills required to deliver The core enablement is Avg. Learning Hours/Person 12.33 15.36 23.49
Sify Technologies Limited 072 INTEGRATED REPORT 2020-21 073 CHAPTER 6 Social & Relationship Capital ify fosters an inclusive business environment by stressing on Scollaborative efforts involving its stakeholders so that it can create value for itself as well as for every individual associated with it.
Growing the sector with speeds up to 100 transformation to digital Voluntary Health Services member is encouraged to following: Sify has to its credit the Gbps throughout India. ecosystem. Trust: INR 14 Lakh interact with colleagues All investors are kept respect of growing the Today, this customer A helping hand To date, Sify has and her/his seniors for abreast of all information market size as opposed to agnostic network – India’s Serving the society is innate contributed a total of INR seeking clarity on work- without any bias. the natural endeavour of largest IP Multiprotocol in the genes of Sify. Over 204 Lakh towards its CSR related issues and on ways Periodic 1x1 meetings with growing market share. Label Switching (MPLS)- the years, the Company program. to imbibe efficiency traits investors have helped keep *Its first data center, two enabled network -- is has created a systematic Beyond the mandate into their day to-day work. the personal touch while decades ago, laid the ready to facilitate India’s approach to improve Sify listing on the Nasdaq eZine, Sify’s in-house catering to a larger business foundation stone in India for transformation to a digital the conditions of the mandates it to follow the quarterly newsletter serves demand. Data Centers being looked ecosystem. underserved strata of the stringent global governance as an effective medium No announcement, that upon as profitable business * It’s open cable landing society. - combining an allegiance of communication with is perceived as having space. Today, the Data system, the first in India Sify aims for maximum to the SOX Act and its own employees and features material benefit, is Center sector has attracted by a non-mobility player, impacts in its CSR initiatives high standards of ethical various sections covering permitted during blackout significant investments from democratized connectivity with a major focus on performance. Moreover, the company and business- period. large domestic companies across the globe (on both healthcare, education, with the Company catering based events. Also, the No selective engagement is and leading global Pacific and Atlantic sides sanitation and general to large and globally Company’s people-related done with any investor. conglomerates. through multiple level wellbeing. The Company’s respected clients makes initiatives during the No material is selectively * It built India’s first partnerships) for other CSR 2020-21 report it necessary to following pandemic has created a shared with any investor. strong bond between the network to support the Telcos, Enterprises and OTT demonstrates how it has international standards for All material information move to fully digital players. been contributing to the business ethics. team and the corporate. is first uploaded on business, with bandwidth These pioneering initiatives business community and the In-touch with associates Upfront with investors the corporate website services available to have positioned Company society at large through its At Sify, an open policy The Company maintains an before any third-party enterprises, content as one of the most sought- CSR programs. forms the bedrock of impartial relationship with dissemination. providers, over-the-top after brands for every VIRRD Trust: INR 190 Lakh communication within the shareholders. (OTT) providers and enterprise, small and patient amenities. organization. Every team This comprises of the other network operators large, which decides to undertake the imperative
Sify is one of the first in the business space with global certifications such as ISO 27001, Information Security Management, ISO 9001, Quality Processes, ISO 20000, ITIL based Service Delivery and PCI DSS.
Sify Technologies Limited 074 INTEGRATED REPORT 2020-21 075 CHAPTER 6 Natural Capital ata Centers are energy guzzlers. This is reflected in an interesting Dreality. Data Center capacity is measured in Mega Watt, which is a unit to measure energy.
The power consumption Sify has adopted the enable scaling of the Data is high, primarily due to Environment Impact Center and Power load.. the data management Assessment (EIA) guidelines Power infrastructure, the server prescribed by the Ministry loads, the cooling systems of Environment and In its effort to minimise and other utilities. While Forests (MoEF). During the its operating burden on Data Centers have become a construction and operations the planet, Sify adopted renewable power for must-have for every nation phase of its Data Centers, operating some of its that aspires to transition to it conducts regular audits – infrastructure. While some the digital platform, energy every six months – and the of its towers leverage consumption has emerged findings are submitted to renewable power such as a key concern area. the MoEF. as solar power and wind Policy Data Center construction energy. The Company As an environment- The Data Center uses expects to increase its respecting organization, Sify several green features consumption and reliance has adopted the Green Data such as site ecology, on sustainable energy Center Policy in its effort water conservation, sources for its upcoming to create an eco-friendly smart energy meters and assets – thereby reducing environment. A green Data equipment, reduction its carbon footprint. Center includes deploying of CO2 emissions, high Other energy optimization advanced technologies and recycle content, effective measures include, using formulating and executing waste management and motion-sensor lighting, energy efficient strategies. eco-friendly interiors. Sify recycling water for non- Sify has adopted this uses a POD for its Data drinking purposes, energy- approach in its recently Centers that allows for efficient star rated DG sets commissioned Data Centers. floors and power load to etc. be templatized and hence
Recycling Sify has a 100% buy back of all its infrastructure with its vendors including the laptops used by its associates. Carbon components like batteries in UPS and other electrical items are disposed off only through authorized green-recycle marts and vendors.
Sify Technologies Limited 076 INTEGRATED REPORT 2020-21 077 EMERGING TRENDS Data management will be crucial Data is the new oil and is critical to India’s digital aspirations. Faster speeds to enable greater data consumption will be critical to laying the foundations of a digitally empowered society in the country.
Sify Technologies Limited 078 INTEGRATED REPORT 2020-21 079 CHAPTER 7 THE ICT SECTOR for real estate developers Several global colocation toward the Indian data ICT spending is projected to grow by over 10% and investors to fuel the and data center service center market, which is future development of the providers have shown a likely to contribute to the to reach US$ 91 billion in 2021 sector. tremendous inclination market growth. Enterprises’ focus during demand has fuelled this modernization to remove the current pandemic to growth. The accelerated bottlenecks in the supply CLOUD AND MANAGED SERVICES A recent NASSCOM study ensure future growth, push towards the digital chain, Atmanirbhar Bharat, indicates that while over innovation and resilience platform is owing to Make in India and others. To Moving to the Cloud 60% of the SMB survey’s are helping to revive ICT a change in focus of derive benefit from these The COVID pandemic has 89 per cent of Indian respondents have adopted spend in India with a strong enterprises, be it their policies, technology-led driven up cloud adoption as businesses agree that cloud, nearly 50% are still positive outlook in 2021. business model or to create investment towards digital working from home became the pandemic has forced at a nascent stage and only According to a report digital products and services transformation is inevitable. a norm. In 2021, experts their business to rely on about 15% are advanced released by the and deliver digital-first The banking and telecom anticipate an increase in technology more than ever users. Given the pandemic, International Data experience. industry is expected to Enterprise spend in cloud before. The report, which SMBs will also fast-track Corporation (IDC), India’s Moreover, to make contribute the most to technology to ensure conducted research with cloud adoption, with many ICT spending is forecast to enterprises more India’s ICT spending in 2021, the smooth and efficient 950 decision-makers in skipping the proof-of- grow by over 10% to reach competitive the government accounting for around 14% running of businesses. This 13 Asia Pacific countries, concept stage. US$ 91 billion in 2021 and has taken various steps of the overall spending. continued demand for cloud including India, says hybrid According to NASSCOM, increase further to reach such as the recent The telecom industry is services will also accelerate cloud is now seen as critical cloud spending in India US$ 111 billion by 2024. production-led incentives expected to increase its ICT data center construction to data-driven processes is estimated to grow at a Economic revival together (PLI), infrastructure spends by 9% in 2021. projects; a fair share of and real-time decisions, CAGR of 30% to reach US$ with growing consumer which would be hyper-scale both now and in the future. 7.1 billion in 2022. projects. India’s small & medium THE DATA CENTER SPACE An NTT report on cloud businesses (SMBs) present a India’s Data Center market provides an technology says about huge untapped opportunity. opportunity of US$ 4.9 billion investment by the year 2025 CLOUD BECOMES ESSENTIAL According to a report by Other factors that are likely uninterrupted services and JLL titled (re)Imagine Data to contribute to the growth scalability, will, further, 96.2% 90% 60.3% Centers: Running India’s of the India data center influence investors to re- Respondents agree the Say technology is their Of organizations are digital economy, India’s market include: imagine the potential of cloud is critical to meeting lifeblood and Covid-19 has already using or are in data center capacity is y Impact of the COVID-19 India’s data center space. their immediate business caused them to focus on it the process of piloting expected to grow from Pandemic The India market will even more! a hybrid cloud solution 375 MW (megawatt) in H1 y Increased Investments on witness significant THE COMPLEXITY OF SECURITY 2020 to 1,078 MW by 2025, Edge Data Centers investment from colocation presenting a US$ 4.9 billion service providers due to y Procurement of % % % investment opportunity. Renewable Energy in Data high demand from BFSI, 95.7 51.2 67.2 The impact of data logistics, transportation, Centers Struggle to keep up Say managing data security Say security and protection laws, increased y Adoption of e-commerce, and with compliance is the number one barrier to compliance are critical shift from captive to co- Hyperconverged & government agencies, obligations adopting cloud location Data Centers and Converged Infrastructure fuelled by the outbreak of implementation of new Platforms the COVID-19 pandemic. SOURCE: NTT 2021 HYBRID CLOUD REPORT COMPILED BY: SAMREEN AHMED technologies like 5G, edge Growth in the sector will The 703 MW expected computing and the internet be further powered by capacity additions of things (IoT) will drive co-location sites which, translates to 9.3 million sq. According to Gartner, worldwide public cloud services sustained investor demand ft of space, which will open spending is estimated to grow at 18% annually to over US$ 360 through lower upfront costs, billion by 2022, from about US$ 258 billion in 2020. for this asset class over the heightened data security, up greenfield investments next five years.
Sify Technologies Limited 080 INTEGRATED REPORT 2020-21 081 CHAPTER 7 5G - the Game Changer Software-as-a-service
The next-generation devices, big data and cloud It provides an alternative pipeline of companies well- 5G is poised of wireless technology computing, 5G will truly be SaaS refers to standard software placed to follow over the to change the brings along a slew of a game-changer. to a cloud installation in the business next 12 to 18 months. benefits, including a A 5G future will help close environment, where users The COVID-19 pandemic world and greater transmission speed, the digital divide and computing can build the server, has significantly expedited increased website traffic, promote digital inclusion install the application, and enterprise cloud adoption revolutionize and faster download speeds. for more people throughout offering and configure it. as companies seek to keep the digital But, these are only the tip the world, with its speed, a way of With India’s emerging going their business. An of the iceberg. There’s one low latency, and the ability startup landscape and IDC survey published last experiences particular aspect of the to connect huge numbers of delivering its rapid strides in digital November revealed that 5G network that’s going shared locations adoption, the demand for over 60 percent of the for all of us. to bring about a world To catalyse this interesting applications SaaS products is seeing an organizations in India plan of difference - super-low opportunity, US-based Cisco upward graph. According to leverage cloud platforms latency (latency refers Systems, Inc., which has set over the to data from NASSCOM, as for digital innovation as to a measure of delay - it aside US$ 5 billion to fund Internet. of FY2020, the country’s they re-strategise their IT calculates the total time projects for 5G services SaaS revenue has reached spending plans as a result of taken by the data to reach globally, will invest part of US$ 3.5 billion, with 75% the pandemic. The survey its destination and back it in India to help telecom sales coming from global further divulged that the across the network) operators build crucial markets. Another report crisis enabled them to If India is to keep pace components of wireless from Bain & Co. noted spend more on public cloud and compete with leading networks comprising core, that SaaS firms including IaaS, PaaS solutions and developed economies of the transport, mobility, and Zoho, Freshworks, Druva, SaaS. world, quick adoption of 5G security solutions. and Icertis have already will have a key role to play. garnered a US$ 100 million *SOURCE: ANALYTICS INSIGHT, FEBRUARY From smart cities, industrial annual recurring revenue 2021 automation, connected mark, with a healthy
Sify Technologies Limited 082 INTEGRATED REPORT 2020-21 083 CHAPTER 7 STRATEGY STRATEGY 1 STRATEGY 2 STRATEGY 3 The blueprint
Sify has evolved its services player offering hybrid IT and each year with the aim of lineage in anticipation of a Data Center with integrated strengthening its position meteoric rise in the demand security services to meet in its business space as for digital services. It the needs of businesses a preferred brand for builds and host applications across verticals. customers who want for its customer along Sify has drawn a strategic managed services (on-site with the IT and network blueprint which promises or remote), addressing all infrastructure they need. to sustain profitable growth the required models with The Company not only while strengthening the a hosted Data Center plus provides data services to its organizational edifice; Cloud. clients, but also transforms the Company continues their network landscape to work on this blueprint by adoption of cloud. In doing so, Sify strengthened Strategic focus Financial focus Customer initiatives its market promise of a Value-driven growth Balance sheet Deeper customer connect converged ICT ecosystem strengthening z Focus on niche Cloud z Strengthening connect Solutions z Enhance free cash flow with existing customers z Increase the number of generation z Tap newer customers in long-term contracts for z Reduce Debt existing sectors and enter Data Management z Increase capacity newer verticals with z Enhance the quality of utilization customised services internet in India
Value-driven growth Initiatives in 2020-21 Initiatives in 2020-21 Initiatives in 2020-21 Added 15+ customers in the Cash flow from business Intensified Intensified Cloud MS and Standalone MS operations increased by 37% customer connect through Entered into long-term over the previous year multiple forums contracts with a number Repaid long term debt Added customers across of new customers across cumulating INR 23,050 Lakh diverse business sectors sectors in the Data Center centric Augmented the Data Center IT services and Network capacity by 15 MW in Centric Services multiple locations Entered into a partnership with Google Cloud to Deeper Balance sheet Expand the Cloud and customer strengthening Managed Services Portfolio connect Entered into an alliance with AMS-IX, the world leading Internet Exchange for improving internet quality
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RISK MANAGEMENT Being prepared for business volatility
Flexibility and customization is key Currency fluctuations could adversely isk management at Sify is an integral part of the business 2 impact financial performance. model, focusing on making the business model emerge stronger and ensuring that profitable business growth becomes Relevance: Sify has account of settlement of foreign exchange forward R receivables and payables in these balances. and option contracts, to sustainable. The risk management framework encompasses foreign currency. Significant hedge the risk of changes strategies and operations and seeks to proactively identify, Mitigation: Sify uses exchange rate fluctuation derivative financial in foreign exchange rates address and mitigate existing and emerging risks. In the current between the Indian rupee instruments, such as on net receivables and environment, flexibility to fit the altered operating scenario and and the US dollar over the payables. customizing services for the customer become de facto way near term could adversely affect cash flows arising on forward.
Growing competition could impede business The circumstances brought on by the pandemic may push customers to 3 profitability. 1 press the pause button on their IT spends. This could negatively impact the Company’s revenues and operating results. Relevance: A significant comprehensive solutions to The Company’s open number of players have its customers. The Company architecture and vendor Relevance: IT budgets are Mitigation: In the wake environment to specialists. entered India’s ICT service has nurtured long standing agnostic policy make closely dovetailed to the of the present pandemic, From the Company’s view business space. The large business relations with its it a preferred partner economic performance Indian enterprises have point, Sify has adopted OTT and Cloud players, customers by delivering for corporates and and business progress of realized that moving to the measures to ensure especially those with deep quality services on a timely partners alike. Further, customers. Factors such Cloud environment is not that it offers services at pockets could adopt a basis. The focus of the the Company’s ability to as the pace of economic just a need for today but competitive prices to its price war strategy to wean sales pitch is to ensure populate its service basket recovery, management of the only way forward for customers. For this, regular customers away. that the contracts are with customer relevant large government deficits, business continuity over the budgets are prepared and Mitigation: Over the broad-based and hence solutions ensures that Sify currency fluctuations, coming years. Moreover, are compared with actual years, Sify has built a multi-year allowing for remains relevant to its sovereign ratings of this transition will only performance to ensure that comprehensive business a deeper fostering of customers. Recently, the government bonds, which reduce IT spends for an the difference continues portfolio that straddles the relationships. The company has innovated remain challenging in many organization by eliminating to reduce. In addition, the three critical spaces namely management continuously on outcome-based pricing countries and may continue or reducing the people Company has implemented Network Centric Services, monitors its cost structure bringing a direct correlation to be so in the near future, dependency in the system. numerous measures to Data Center centric IT with budgets to ensure that to the outcome for the or any slowdown in global Most enterprises have been optimize its operational services and Cloud and it maintains competitive client. This has helped the IT spending may adversely toying with not wanting costs. The management Applications Management prices for its products and clients see value and pay for affect Sify’s revenue growth to take on the burden remains focused on ensuring which enable it to provide services. the same and not on a time due to the markets in which of an unpredictable IT fiscal discipline in the spend and materials management its clients operate. environment and hence the on any new infrastructure. scale idea of offshoring their IT
Sify Technologies Limited 086 INTEGRATED REPORT 2020-21 087 CHAPTER 7 RISK MANAGEMENT [Continued] The COVID-19 impact
High cost of power could put the Company’s 4 Data Center operations at a disadvantage.
Relevance: The single they would have a pricing and 2) it has adopted largest operating cost in advantage over Sify. the Green Data Center Data Centers is power. Sify’s Mitigation: Sify understands Policy which promises to Data Centers are located that power is the critical maximize energy efficiency, in proximity to or on the billing factor in Data thereby reducing power periphery of major urban Centers. It also realizes consumption. centers. If competitors that the power cost will As power stability grows are able to locate and continue to rise. To de-risk outside of the traditional operate their Data Centers itself, the Company has financial and business hubs, in remote locations adopted two initiatives: 1) we would also explore cost- successfully (which give it is adopting measures to efficient locations for our them the advantage of increase its dependence on facilities. reasonably priced land renewable power source parcels and low-cost power) The Covid-19 We have incorporated of lockdowns in India Covid-19 commentary and the geographies in pandemic is below, which gives an which our customers and having an impact overview of the related suppliers operate, levels of Inability to meet with the SLAs could on our entire risk uncertainties and potential employee absence, virus 5 impact revenue and lead to client attrition. impacts on the Company. recurrence, insolvency landscape and will These are to be considered rates, unemployment levels, Relevance: Since IT has Mitigation: Sify has worked pandemic. During the continue to impact along-with the other nature and extent of any principal risk factors. government interventions, become the core to most on automating every aspect nationwide lockdown, the our operating business operations, IT of its service delivery to Company did not experience COVID-19 PANDEMIC severity of economic effects companies, including Sify, its customers, making its a single serious network ecosystem for some The global Covid-19 and the subsequent speed need to commit to a very operation largely geography breakdown or service time, the extent pandemic has had a an and nature of the recovery. high service level to its agnostic and field force disruption. impact on our associates, The Covid-19 pandemic customers in the contracts. independent. The success of which depends operations, suppliers, has resulted in adverse If these service levels are of its sustained efforts, over on various factors customers, governments impacts on sales activity missed, the client could the last 3 years, towards and the general public. It and demand, which may be activate the force majeure this goal was experienced which are beyond has resulted in a series of partially offset by increased clause to the detriment of during the lockdown the control of the measures implemented by use of connectivity, data Sify. consequent to the global Company. governments around the center and cloud usage world aimed at mitigating by existing customers. the further spread of the There is a potential that virus. The extent of the supply chain issues and/or impact on the Company prolonged associate absence is dependent on a variety may inhibit our ability of factors including, but to deliver products and not limited to, the length services to customers, with
Sify Technologies Limited 088 INTEGRATED REPORT 2020-21 089 CHAPTER 7
RISK MANAGEMENT [Continued] an associated impact on our assessments for each of our vaccine hesitancy, trepid Supply chain customer experience. customer-facing business production and distribution Due to the uncertainty units, considering potential and the associated costs, Our supply chain which has the Covid-19 pandemic. our customer experience, of the duration and strategic, operational, the growing number of a combination of global While we take all efforts result in higher costs and economic impact of the regulatory and associate inoculated public is proof partners and domestic to minimize the risks, any cause potential damage to Covid-19 pandemic, we related impacts. that we might be on partners in India, could adverse impact on our our brand. are continually evaluating The availability of track to return. What is be adversely affected by supply chain could impact variety of scenarios with vaccines for the general however, guaranteed is that the financial impacts population has brought Enterprises having braved across the Group, as well some semblance of the pandemic with a switch IT projects as assessing the liquidity confidence that normal to automation are going to mitigation options that life might slowly return. invest further, deeply and could be used if required. While these counter continuously to mitigate any Our IT projects with pandemic, the resources impact of Covid-19) and We are also carrying out risk other natural factors like like- scenarios in the future. reference to improving could become scarcely could negatively impact customer experiences, available for these customer experience, automate processes, transformational projects operational efficiency and simplify products play (e.g., shortage due to thereby ability to make Governmental risk a critical role in our availability, remote working future investments. transformation journey. and also other important The Covid-19 pandemic resilience, support for staff would likely have created With the Covid-19 developments due to the presented challenges and customers. Any failure governmental pressure on related to our infrastructure to manage these challenges the Company. Customer projects
Industry regulations Covid-19 related challenges customer businesses, may impact our future revenue, like associate absenteeism, also impact our ability profitability and cash Our associates are focused inflexible approach to capabilities of our supply chain disruption, to deliver all aspects of generation adversely. on maintaining critical regulation during the associates and could impact on supplier and the projects. This may services and meeting Covid-19 pandemic could result in significant non- customers’ needs. An stretch the delivery compliance. Associate engagement
Cyber security Due to cost optimization our businesses and liquidity further adversely affect and austerity measures in the future, we may fail our ability to develop our The sustained absence capability making use of enhancements, we may not that may be required to be to retain employees and business. of key staff due to the proactive threat-hunting be able to keep pace with taken by us if the Covid-19 attract suitable talents to Covid-19 pandemic could and investing more in the evolving threat and pandemic adversely affects the company. This could adversely affect our ability automatic detection and protect our assets and our to defend against cyber- prevention systems. If we customers’ assets. attacks. We continue to are unable to successfully develop our cyber defense implement these
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RISK MANAGEMENT [Continued] Committed cash outflow
Few of our business have the adverse impact of This could adversely fixed costs like office Covid-19, we might have to impact profitability and space, associate costs and continue to make payments liquidity of the Company. there are semi-variable towards these expenses, A deterioration in liquidity costs like networking irrespective of the amount might have an adverse costs, maintenance costs, we would be able to effect of Board’s assessment power and fuel costs. With receive from the customers. of going concern.
Expansion and replacement capex
Covid-19 pandemic could raise additional funds for sustain current businesses. adversely impact customer expansion of business and This could affect our ability demands and also the replacement of existing to grow and make profits. liquidity and/or ability to capital expenditure to
Compliance costs
Due to stricter regulations regulations for associates, profitability which might not on account of Covid-19, our partners, customers and be correspondingly reflected cost of compliance of safety vendors could increase. in the product pricing. This would impact the
Internal controls
Covid-19 pandemic has had were required to be made may not help us prevent significant impact in the to combat the situation or detect misstatements. way our business processes causes, our internal controls This could result in financial are being carried out. Due over financial reporting misstatement, financial to the demanding times could have been exposed loss or key decision being and the changes that to inherent risks which taken based on incorrect information.
Privacy and data protection
Due to Covid-19 pandemic, working from home and correspondence. This could an increased number of our using a mix of public present additional data associates are currently and private networks for security and privacy related risks.
Sify Technologies Limited 092 INTEGRATED REPORT 2020-21 093 At Sify, we believe in transparent and ethical business practices. Sustained efforts of the leadership team, our valuable employees and other stakeholders have helped us win accolades in the spheres of Sustainability, Corporate Social Responsibility and People Practices. These recognitions encourage us to step up our efforts in our journey to become a global sustainability champion.
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Governance & Reporting
The Governance system we firmly believe that it is The Governance framework Corporate governance framework We are committed to necessary to have a zero Transparency and openness Transparency and openness benchmark with the best non-compliance status at form the bedrock of standards of corporate all times for sustainable corporate governance at governance. It is our firm business operations. Sify. It has established faith that good corporate With this object, we have a corporate governance governance practices are put in place a structured structure that works powerful enablers to build mechanism and a towards achieving trust and confidence and to comprehensive compliance sustainable growth in the Board of Directors attract and retain financial management system for medium and long term. Balanced Board of Executive and Non-Executive, Independent and human capital. ensuring full compliance of Directors with diverse range of expertise and experience Regulatory Changes and various statutes, rules and Provides strategic direction and evaluates overall performance Compliance regulations applicable to In our increasingly dynamic and impacting the Company. and highly regulated business ecosystem (which included global and Indian complexities), Board Committees Audit | Nomination and compensation | Corporate Social Responsibility
Management reporting Executive committee Operation functions below the Executive Committee
Key corporate functions
Finance Risk Legal Technology & Technical Support
Stakeholder grievance mechanism Sify is committed to promoting responsible behaviour and value for social and environmental Sales & Business Business Process Human Resource Product & Content well-being. It has a policy on business conduct that is applicable to all its employees and value chain partners. It has a structured stakeholder grievance redressal mechanism through which stakeholders & Customer Care Development freely share their concerns and grievances with the company.
Sify Technologies Limited 096 INTEGRATED REPORT 2020-21 097 CHAPTER 8 BOARD OF DIRECTORS Ananda Raju Vegesna “Our driving force” Executive Director Mr. Vegesna dons many hats. In addition to performing as the Executive Director since June 2007, Mr Vegesna The Company’s Board of Directors consists of respected thought leaders who create also steers Infinity Satcom Universal Private Limited as trust by example. They instill hope and confidence about the future and make its Managing Director. To add to this, he is a director employees feel enthusiastic and proud of being part of the journey. The Board’s primary on board Village Inns Limited, Raju Vegesna Infotech responsibility is to draw the Company’s vision and draw the strategic path which & Industries Limited, Raju Vegesna Developers Private translate the Company’s vision into reality. In 2020-21, the Board of Directors held 4 Limited and Ramanand Core Investment Company Private meetings. Limited.
Raju Vegesna Chairman & Managing Director Bala Saraswathi Vegesna Having acquired majority stake in Sify in 2005, he took Director over the reins as its Chairman and Managing Director. Having served as the Finance Controller of Server Works Prior coming onboard, Mr. Vegesna has had an illustrious Corporation Mrs Vegesna is now the director of the Raju career as a technocrat with significant success in the Vegesna Foundation. She leads the foundation in its start-up domain. multiple welfare activities, both in India and in the US. Having founded Server Engines he spearheaded it to a Mrs Vegesna is also a nominee of Infinity Capital Ventures leadership position in network and storage convergence LP (Infinity), USA, on the board. products. When it was acquired by Emulex in 2010, he donned the role of the chief strategist, evangelizing the adoption of Emulex products to key customers and partners. He founded Server Works Corporation in 1994 which emerged as a world leader in computer chipsets. At the Padma Shri Dr. TH Chowdary start of his illustrious career, Mr Vegesna co-founded and Director served Ross Technology Inc as its Chief Architect, piloting The fountainhead of the Center for Telecommunication the creation of the HyperSparc processor, a CPU used Management and Studies in Secunderabad, joined the Sify by Sun Microsystems to create its first multiprocessor Board of Directors as an advisor and a mentor for new- computer servers. age industries. The veteran public servant was conferred An electronics engineering graduate from the reputed the Padma Shri, the fourth highest civilian award, from Bangalore University, Mr. Vegesna, completed his Masters the Government of India. He served as the chairman in computer engineering from Wayne State University. of Bharatiya Vidya Bhavan (Indian Institute of Culture), Mr Vegesna holds several patents on microprocessors and Hyderabad, from 1989 to 1993. He set up and managed multiprocessor technologies. eight public schools in Andhra Pradesh and Karnataka. Deeply hidden inside the serial technology entrepreneur Dr. Chowdary was a member of the governing body of the resides a softer humane side that works on uplifting University College of Engineering, Osmania University, mankind. The Raju Vegesna Foundation finances various and also of the governing board of the American Studies programmes on the availability of clean water and Research Center (ASRC), Hyderabad. education for people in need. Dr. Chowdary is a senior member of the IEEE, New York, a fellow of the Institution of Engineers in India, a distinguished fellow of the Institute of Electronics & Telecom Engineers in India and a past president of IETE in India. The active philanthropist and community leader chairs Pragna Bharati, an association of national intellectuals that publishes articles on different topics in Telugu newspapers.
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BOARD OF DIRECTORS [Continued]
CB Mouli An active backer of NGOs, Mr. Seth chairs the Nasscom Director Foundation, which drives CSR initiatives across the IT The taxation and corporate law expert chairs the audit industry. His focus has been in working with NGOs that committee for Sify, in addition to serving as a director. support the disadvantaged sections. He has served on the Mr Mouli is a member of the Institute of Chartered board of governors for IIM Lucknow and IIIT Delhi and also Accountants of India. He holds bachelors in law and is a been an advisory board member of TERI and a governing partner at CB Mouli & Associates, a chartered accountancy member of the TERI University board. firm, and a director on the board of Ammana Bio Pharma Limited and Ammana Equity Fund Private Limited.
CES Azariah Director Mr. Azariah rose through the ranks of India’s oldest banking institution, State Bank of India, before retiring as Chief General Manager. He then took charge as the chief executive of the Fixed Income, Money Markets & Derivatives Association of India (FIMMDA). He was member of a high-power committee on corporate bonds and securitization, led by Mr. RH Patil. Mr. Azariah set up the Corporate Bond Trade Reporting Platform and drafted FIMMDA’s Code of Conduct which has since been mandatorily used by all market participants.
Arun Seth Director The IIT-IIM graduate is recognised as one of the earliest Indian telecom leaders. Mr. Seth was the founding managing director of British Telecom in India in 1995, helping it acquire a 45% stake in Airtel and seeing through its transformation first to Mahindra BT and eventually to Tech Mahindra. He relinquished office as a non-executive chairman in 2012 after an illustrious 17-year stint on its board. Mr. Seth has been a founding charter member of TiE Delhi and Indian Angel Network and advises/mentors a number of technology startups in India and the US.
An active evangelist of the software product ecosystem, he co-chairs the Nasscom Product Conclave and the Nasscom Product Council. He served in the executive council of the Indian IT lobby for over 10 years while working in British Telecom and Alcatel.
Sify Technologies Limited 100 INTEGRATED REPORT 2020-21 101 CHAPTER 8
THE MANAGEMENT TEAM Our driving force
Raju Vegesna M P Vijay Kumar Chairman & Managing Director Chief Financial Officer The serial tech entrepreneur, who flaunts a series of The audacity of an auditor, the number crunching finesse successful start-up stories cradled by him, has brought of an accountant, and the deft decision-making abilities to Sify his unmatched efficacy, fine sense of purpose and of an ace administrator – that’s the unique blend Sify deep insight into the Indian market. It’s his unwavering treasures in its financial leader. Listed among the top passion and dedicated efforts that has been instrumental 100 CFOs in the country, he is associated with various in reorienting Sify towards a nascent enterprise market boards and committees on financial accounting. The in India that drives excellence even in technology. His eight books he has authored have been in continuous passion to experiment with his ideas was blended in reprint since first published and serve as the guiding tool a unique chemistry with his tremendous foresight and for aspiring financial professionals. His contribution to alacrity. The success of Sify stands testimony to his vision. financial accounting has fetched him several national His investment in both capital and intellect has kept Sify and international awards, among them, The 100 most on the course to rule the ICT market in India. Influential CFOs in India by CIMA, the Roll of Honour of the Top 100 CFOs in India and recently, the National Award for contribution to the Financial Accounting by David Nishball Capital Foundation Society. He is an active member of CII- Chief Strategy Officer Accounting Standards Board, National CFO Forum. He is His grey matter is seasoned in mapping the blueprint also Member of IIA, USA, was previously the Governor and for success. His excellence came to the fore in many was Vice President on the Board of Governors, Chennai success stories of building and managing enterprise Chapter of IIA. telecom operations in the Asia-Pacific region. He has led the enterprise segment for several global operators, CR Rao joint venture companies and emerging market operators Chief Operating Officer and set their businesses in a higher orbit. Sify banks on He has a fine sense of business, a deep understanding of his three decades of experience in leading the telecom legal affairs, and is adept at managing the business with industry to make its dream to rule the ICT space come his impeccable planning and operations management true. skill. Sify trusts his three decades of experience in spearheading large projects to fruition on time and capital explicitly. Kamal Nath Chief Executive Officer If disruption is the buzzword in the IT sector, then the disruptor is this BIT Sindri graduate. It is this man’s disruptive thinking that had set Sify on track for an aggressive adoption of Cloud as a delivery and enablement platform. His in-depth knowledge of systems integration, IT infrastructure management, technology integration and strategic outsourcing services gave Sify a new direction at every crossroad.
Sify Technologies Limited 102 INTEGRATED REPORT 2020-21 103 Environment, Social and Governance ESG World is an online platform that allows Sify to communicate its ESG initiatives to all its stakeholders. Through ESG World, stakeholders can easily track Sify’s ESG initiatives and receive updates on a real-time basis without waiting for the company’s annual report or other static annual disclosures. Furthermore, the ESG Profile is mapped with major global standards for sustainability reporting such as GRI, SASB, UN SDG and UNGC.
Sify Technologies Limited 104 INTEGRATED REPORT 2020-21 105 CHAPTER 9 An ESG Profile is freely accessible to the Company’s shareholders, potential investors, research analysts, rating agencies and lending banks. By consolidating all of Sify’s ESG initiatives onto one platform, the profile enables each stakeholder to efficiently assess the Company’s commitment to ESG best practices. An ESG Profile will also allow customers to complete their ESG due diligence on Sify as part of their selection process. It further ensures that ESG initiatives are not missed out in disclosures and are easily accessible by AI search tools increasingly used by investors and rating agencies.” The factors governing ESG and the alignment of Sify’s ESG initiatives depicted as under. 2 Enviromental Subfactors (46)
1 ESG profile: Building blocks Business Material Usage Air Pollution Water Waste Strategy Energy Preservation Management Company Overview l Quick assessment of company’s ESG Product Efficiency commitment Development l Focus on most topical ESG issues Strategy Resource GHG Water Waste Environment Efficiency Emissions Preservation Management Environment Social Governance Resilience y Detailed review of ESG strategy in place y Amount of y Amount y Water y Amount 46 Subfactors 59 Subfactors 48 16 Subfactors factors material usage of GHG savings of waste Subfactors y Public sources of Financing y Material usage emissions initiatives generated information only y Environmental history y GHG y Amount of y Waste y Multiple sources of covenanted y Material usage emission water usage generation information in one place financing initiatives history y Water usage history y GHG history y Waste Metric: 20 Metric: 17 Metric: 11 y Environmental y Protecting capital natural reduction y Waste reduction Non-Metric:26 Non-Metric: Non-Metric: budgeting resources and target water safe initiatives 42 37 y Environmental biodiversity Air Pollution discharge y Reusing Memberships Assurances Certificates Partnerships y External validation of tax credits Process Control y Amount waste company’s ESG initiatives y Amount of Product Optimization of water y Recycling y Adopted methodology: GRI, air pollution Development y Energy pollution waste SDG, TCFD y Maximizing efficiency y Air pollution Plastic Usage y Waste to y External recognition of ESG product life initiatives reduction y Amount energy success - Certificates initiatives y Product free y Energy savings of plastic y Eliminating y Enhancing knowledge from harmful y Energy y Air pollution pollution landfill of ESG processes - substances efficiency history y Reduction in waste Memberships y Recycling old history plastic use y Actively working with other products y Transition to organizations - Partnerships renewable energy ESG Videos Profile y Real time reaction to y Clean and News Sources material ESG related events technology y ESG related company press initiatives releases y Green building design y Other circular economy initiatives
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3 Social subfactors (59) 4 Governance Subfactors (48)
Overview Diversity and Equality Workforce responsibility Governance Board of Directors Regulatory & Risk External Factors y Social strategy in place y Diversity and inclusion y Labour management Framework Management Controls y Communication of disclosure initiatives Shareholders y y labour policy Board gender split Fair wage, benefits and Framework Board of Directors Regulations Resilience Factors contracts y Supplier responsibility y Senior management y Corporate y CEO / Chairperson y Regulatory y Crisis related initiatives gender split y Compulsory employer governance separation breaches and contingency plans y Customer responsibility y Workforce gender split pensions policies y Disclosure of board penalties y Resilience related initiatives y Voluntary employer pensions y Pay performance gap y Governance age ranges y Regulatory targets and goals y Product safety and management y Fair working hours oversight y Board skill map recommendations set quality metrics y Gender pay y Fair working and living framework matrix actioned y Managing move y Incident management differentials addressed conditions y Allocation of y Board non executives to a low carbon reporting y Employee wellbeing programs duties and Risk Control economy y Policy breach action y Employee engagement y Board independence y Fraud risk control responsibilities y Data privacy, taken initiatives y Entrenched board policies y Corporate cyber security and y Workforce training culture members y Anti-corruption systems protection y Participation in conferences y Founders represented policy management y COVID-19 on board y y Broader education initiatives y Behavior and Anti-corruption responses business ethics y Audit committee training Community contribution composition y Related party Other External y Community support initiatives Shareholders y Remuneration transactions Factors y Youth unemployment y Voting results committee y Anti-competitive y Penalty disclosures initiatives transparency composition practices controls y Environmental, y Local employment and y Failure to secure y Sustainability y Whistle blower social or ethical sourcing voting approval committee schemes litigation claims y Community investment policy y Shareholder y Other board positions y New partner due y Non-compliant y Wider stakeholder initiatives rights and staff actions y Financial expertise on diligence y Total donations made relations policy audit committee y Acquisition ESG y Tax transparency y Shareholder disclosures Operating Ratios Health and Safety Safe workplace y Disclosure of board due diligence right to vote on y Staff turnover rate y Health and safety y Collective bargaining allowed and subcommittee y y Material compensation Political y Percentage of board oversight y Anti-harassment workplace attendance contributions controversies y Soliciting contractors y Independent health y Anti-discrimination workplace identified shareholder ESG y Percentage of part time and safety verification y Supporting protected classes Executive y Auditor fee feedback Management workers y Emergency procedure y Effective grievance disclosure y Executive shareholder y Percentage differently guidelines mechanisms abled y Respecting employee ownership y Number of trained staff rights y Material executive y Lost time incidents y Modern slavery supply share trading y Health and safety chain disclosures y Executive pay incidents y Preventing child labour disclosures y Preventing forced and y Executive pay bonded labour performance y Freedom of association alignment policies allowed
Sify Technologies Limited 108 INTEGRATED REPORT 2020-21 109 CHAPTER 9
5 Resilience (16) 6 UN SDG Mapping (1-9)
Climate Financing Health and Suppliers Workforce SDG 3: Good Health and SDG 6: Clean Water and SDG 8: Decent Work Wellbeing Sanitation and Economic Growth Safety Technology Responsibility y Health and safety y Water consumption y Environment strategy Policies, Risk y ISO 45001 - health and safety y Amount of water pollution in place Control y Contractors health and y Amount of water usage y Environmental capital y Crisis related y COVID-19: y COVID-19: y COVID-19: y COVID-19: safety y Waste water safe budgeting contingency Providing Implementing Monitoring Communication y Assessment scheme discharge y Environmental plans financial or health and supplier non- of crisis actions y Emergency procedure y Water savings initiatives covenanted financing y Climate other support safety plans compliance y COVID-19: guidelines y Water usage history y Environmental tax impact y COVID-19: y COVID-19: y COVID-19: Responsible y Health and safety metrics y Alliance for Water credits assessment Requesting Community Adapting to labour y Health and safety oversight Stewardship (AWS) y Facilitating other sustainability financing y Climate financial or contributions technology practices y Health and safety policies y Deep-water group solutions scenario other support y COVID-19: needs y COVID-19: Fair y Implementing health & y Sustainable dairying: development Consistency workforce or safety plans water accord y Community investment policy y Managing with ESG pay reductions y Tenant wellness initiatives y Innovative waste water y Community support policies y COVID-19: implementing technologies move to a initiatives low carbon y Data privacy, health and y Rainwater harvesting y Compulsory employer economy cybersecurity y Safety plans y Water efficient irrigation pensions y and systems y Employee engagement Resilience y Fair wage, benefits and protection initiatives SDG 7: Affordable and related contracts targets and y Employee well-being Clean Energy y Energy consumption y Fair working and living goals set programs y conditions y Health and safety board Energy star y Fair working hours oversight y Green-E energy y Labour management y Health and safety initiatives y ISO 50001 - energy initiatives y Independent health and management y Leadership in energy and y Local employment and safety verification sourcing y Environmental design SDG 4: Quality Education (LEED) y Lost time incidents y Workforce training y Energy efficiency history y Percentage differently abled y Anti-corruption training y Energy efficiency y y BACS education and skills initiatives Percentage of contractors y Broader education initiatives y Energy savings y Percentage of part time y Number of trained staff y Transition to renewable energy workers y Participation in conferences y Staff turnover rates y Waste to energy y Total donations made SDG 5: Gender Equality y On-site renewable energy y Gender pay, diversity and and philanthropy inclusions report y Voluntary employer y Board gender split pensions y Gender pay differentials y Wider stakeholder addressed initiatives y Pay performance gap y Youth unemployment management initiatives y Senior management gender SDG 9: Industry split y Green building design y Workforce gender split
Sify Technologies Limited 110 INTEGRATED REPORT 2020-21 111 CHAPTER 9
7 UN SDG Mapping (10-16) 8 GRI Mapping (303-419)
GRI 303: Water and GRI 307: Environmental GRI 405: Diversity and SDG 10: Reduced SDG 12: Responsible SDG 14: Life Below Water Effluence Compliance Equal Opportunity y Amount of plastic pollution Inequality Consumption and y Amount of water y Environment strategy in y Gender pay, diversity and y Reduction in plastic use y Colmar Brunton branding Production pollution place inclusions report y UK plastics pact y Courtauld 2025 y Amount of GHG emissions y Amount of water usage y Environmental covenanted y Corporate culture y World ocean council y Social value quality mark y Amount of material usage y Waste water safe financing management y SDG 15: Life on Land y UK roundtable for Amount of waste discharge y Environmental, social or y Board gender split Protecting natural resources and sustainable soya generated y Water savings initiatives ethical litigation claims y Gender pay differentials y Clean technology biodiversity y Water usage history y Anti discrimination y Penalty disclosures addressed workplace initiatives SDG 16: Peace y Pay performance gap y Eliminating landfill waste GRI 304: Biodiversity GRI 308: Supplier y Anti harassment y Companywide profit sharing management y Material usage history Protecting natural resources Environmental Assessment workplace y Company website y Percentage differently y Material usage initiatives and biodiversity y Collective bargaining governance links y New partner due diligence abled y Maximizing product life y Allocation of duties and GRI 305: Emissions y Supplier responsibility y Senior management allowed y Other circular economy responsibilities y Carbon disclosure / GHG initiatives gender split y Diversity and inclusion initiatives y Anti-competitive practices report y Workforce gender split y Freedom of association y Product free from harmful GRI 401: Employment controls y Air pollution history GRI 406: Non-discrimination allowed substances y Compulsory employer y Anti-corruption policy y Air pollution reduction Supporting protected classes y Modern slavery supply y Recycling old products pensions y Anti-corruption training initiatives chain disclosures y Recycling waste y Fair wage, benefits and GRI 407: Freedom of y Audit committee y Amount of air pollution y Pay performance gap y Reusing waste contracts Association and Collective composition y Amount of GHG y Sustainability retail y Voluntary employer pensions management y Behaviour and business emissions Bargaining products y Preventing child labour ethics y GHG emission history GRI 402: Labour and y Collective bargaining y Waste generation history y Preventing forced and y Board independence y GHG reduction target allowed y Waste reduction initiatives Management Relations bonded labour y Board skill map matrix y y Freedom of association y Indoor air quality upgraded Communication of labour y Respecting employee y CEO / chairperson GRI 306: Effluents and allowed y Physical climate risk policy rights separation Waste GRI 409: Forced or analysis y Labour management y Supporting protected y Corporate culture y Amount of plastic Compulsory Labour y Product and fee initiatives classes management pollution Preventing forced and bonded transparency y Percentage of contractors y Corporate governance y Amount of waste labour SDG 11: Sustainable y Product safety and quality y Percentage of part time Cities and Communities policies generated GRI 410: Security Practices metrics y Amount of water workers y Paper usage y Financial expertise on audit y Broader education pollution y Waste recycling SDG 13: Climate Action committee GRI 403: Occupational Health initiatives y Eliminating landfill y Waste volumes y Carbon disclosure / GHG y Founders represented on and Safety y Workforce training waste y Communication of labour report board y Health and safety oversight GRI 411: Rights of y Air pollution history y Fraud risk control policies y Other circular economy policy y Emergency procedure Indigenous Peoples y Air pollution reduction y Governance oversight initiatives y Customer responsibility guidelines Supporting protected classes y Recycling old products initiatives initiatives framework y Health and safety initiatives y Recycling waste y Incident management y Amount of air pollution y Regulatory y Incident management GRI 412: Human Rights y Reduction in plastic use reporting y Amount of GHG emissions recommendations actioned reporting Assessment y Reusing waste y Policy breach action taken y GHG emission history y Related party transactions y Independent health and y Anti-harassment workplace y Waste generation y Social strategy in place y GHG reduction target y Remuneration committee safety verification y Effective grievance history y Supplier responsibility y Climate bonds initiative composition y Lost time incidents mechanisms y Climate leaders coalition y Shareholder right to vote on y Waste reduction y initiatives GRI 404: Training and Fair working and living signatory compensation initiatives conditions Education y GHG report y Shareholder rights and y Waste to energy y Fair working hours y Anti-corruption training y Indoor air quality upgraded relations policy y Waste water safe y Modern slavery supply y Broader education initiatives y Physical climate risk y Tax transparency disclosures discharge chain disclosures y Number of trained staff analysis y Voting results transparency y Respecting employee y Participation in conferences y Whistle blower schemes rights y Workforce training y Website - Governance y Staff turnover rates
Sify Technologies Limited 112 INTEGRATED REPORT 2020-21 113 CHAPTER 9
8 GRI Mapping (303-419) [CONTINUED]
GRI 413: Local GRI 416: Customer Health GRI 419: Socioeconomic Communities and Safety Compliance y Community investment y Amount of material usage y Environmental, social or policy y Material usage history ethical litigation claims y Community support y Material usage initiatives y Penalty disclosures initiatives y Product free from harmful y Social strategy in place y Diversity and inclusion substances y Employee engagement GRI 417: Marketing and initiatives Labelling y Total donations made and y Customer responsibility philanthropy initiatives y Wider stakeholder y Product safety and quality initiatives metrics y Youth unemployment initiatives GRI 418: Customer Privacy GRI 414: Supplier Social Customer responsibility Assessment initiatives Policy breach action taken GRI 415: Public Policy Political contributions
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Sify Technologies Limited 114 INTEGRATED REPORT 2020-21 115 Sify Technologies Limited
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