Strengthening Relations. Ensuring Stability. Ltd Zensar Technologies Annual Report 2019-20 Robust. Relevant. Responsive.
Robust. Relevant. Responsive. About RPG Group Established in 1979, the RPG Group is a diversified conglomerate with interests in the areas of infrastructure, tyres, information technology, pharmaceuticals, energy and plantations. Founded by Dr. R P Goenka, the group’s lineage dates back to the early 19th century. Today, the group has several companies in diverse sectors and the most prominent among them being Zensar Technologies, CEAT, KEC International, and RPG Life Sciences. Built on a solid foundation of trust and tradition, the RPG name is synonymous with steady growth and high standards of transparency, ethics and governance.
hello happiness
Happiness is intrinsic to life at RPG. Be it in our product innovations, business challenges, people policies or in our community outreach programmes. Our Vision tenets clearly outline the path we collectively traverse – to be an organisation where dreams are not constrained by fences, and each one of us is encouraged to reach for happiness that is within our grasp. “hello happiness”, is a bold statement that helps us open our doors to a world of opportunities and possibilities; a statement that signifies our intent to touch and enrich the lives of others, and work collectively towards a common goal that makes each of us rise beyond our limitations. To remain relevant and responsive, we are resolutely focused on unveiling opportunities amidst challenges. Underpinned with myriad opportunities for growth and development, challenges are inherent to success. As we tide Index through unprecedented events, adapting and adjusting to changing norms, we continue to unearth Corporate Overview solutions that ensure stability and strengthen relations. Zensar at a Glance ------2 Key Financial Metrics ------4 Strategic Highlights ------5 Zensar’s robust attitude and relentless pursuit of delivering Chairman’s Message ------6 groundbreaking digital transformations have helped reinvent CEO’s Message ------8 strategies that foster intelligent solutions. With an overwhelming Board of Directors ------10 need to continuously embrace dynamic yet sustainable Leadership Team ------11 solutions, we are establishing unique capabilities to address Robust ------12 challenges and ensure long-term transformations. Relevant ------13 Resting on innovative and sustainable solutions we endeavour to Responsive ------14 ensure relevance, creating a favourable eco-system for new-age Testament to Our Commitment 16 processes like AI to thrive and succeed. While remaining relevant An Empowered Workforce ------18 is the need of the hour, building responsive solutions hold the Creating Value Beyond key to success in an agile and unpredictable environment. As we Business ------20 acknowledge novel challenges and derive exceptional solutions to Innovate & Thrive in stay in touch with our partners, we are enthused to elucidate answers Enterprise 4.0 ------22 that are Robust, Relevant and Responsive.
Notice and Statutory Reports
Notice ------25 Board’s Report & Annexures ------33
Financial Statements
Standalone Financial Statements ------119 Scan this code with a QR reader app Consolidated Financial on your smartphones or tablets and Statements ------know more about us. 190 2 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Zensar at a Glance
We are a ‘Living’ digital and technology company, offering reliable and measurable digital solutions that help transform the digital environment of enterprises. We are a part of 3 USD billion RPG Enterprises Group and the 40 USD billion APAX Portfolio Company. Zensar Technologies is one of the very few technology companies globally, to be publicly listed on stock exchange(s) for over 56 years.
Who we are Operating statistics
Zensar Technologies, a leading digital In our endeavour to drive digital solutions and technology services transformation on a large scale with company, continues to deliver minimum human intervention, we 9524 excellence and superior customer embarked on the ‘Living AI’ journey Employees across all offices as on satisfaction through its diverse service to help our clients outperform and be March 31, 2020 offerings. At a time when organisations future-ready. In the last few years, a are looking for elevated experiences plethora of emerging technologies in a digital landscape, our expertise, like Artificial Intelligence (AI) have strong innovation capabilities and gained significant prominence with + credible investment in building digital multiple opportunities to deliver value 25 solutions have helped us emerge as a to the end-user. Zensar, has pivoted Offices across the globe trusted partner for our customers. its next-level growth on the ‘Living AI’ philosophy to provide best-in-class Building on the foundation of digital solutions to our customers, enabling solutions and technologies, we them to transform multiple business 10+ have today excelled in delivering functions. convenience and efficiency to offer Countries of presence measurable business outcomes. Our approach to Return on Digital ® With New and Exponential Technologies (RoD NeXT), along with the continuous 280+ advancement of newer digital offerings Read more about our Active customers that are in sync with our proprietary ‘Living AI’ philosophy solutions, have empowered customers on page (13) Digital revenues form across the globe. 52.4% of the total revenue for FY20
15.2% 74.7% UK and Europe USA
Where we operate Headquartered in Pune (India), Zensar serves leading multinationals 10.1% and global companies with offices in South Africa India, UK, Europe, South Africa and the US. ZENSAR AT A GLANCE CORPORATE OVERVIEW 3
What we do Services
At Zensar, we strive to create a digital eco-system that delivers excellence with digital tools embedded in Digital Digital Digital Digital Digital platforms and processes, and Infrastructure Experience Workplace Operations Enterprise adopted by our people. In our Management Services Security mission to transform customer experiences across industries, domains and technologies, we continue to first implement tools within our eco-system and then take them to our AI & DevOps and Modernisation Cloud Enterprise customers. In the process, Analytics Agile Applications Applications we learn, adapt and ensure that we deliver a complete suite of end-to-end solutions, integrated to accelerate the Solutions digital transformation journey of our clients.
Wired Wired Intelligent User First ZenCare Autonomous Experience SOC Modern Cloud Workplace
Connected Digital Smart Blockchain ZenTrust Intelligence Assurance ADM
Customers across sectors
Hi-Tech & Consumer Banking, Financial Manufacturing Services Services and Insurance
What drives us
Our Our Our Vision Mission Values Leaders in business We will be the best in delivering Customer Centricity transformation innovative, industry-focused Commitment to People and the solutions with measurable business Community outcomes Continuous Innovation and Excellence 4 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Key Financial Metrics
Revenue (INR Million) 2017-18 31,077.4 Quick facts on 2018-19 39,663.3 stakeholder engagement 2019-20 41,816.8 Area of focus and Impact in FY20 action points
CAGR Integrated digital % % Customers 80.3 16.0 transformation services that Repeat business from consistently ensure quality existing clients EBITDA (INR Million) Government Provide regular 2017-18 3,649.3 and Regulatory and transparent 3327 2018-19 4,794.4 authorities information Job creation Gross Headcount added 2019-20 5,070.6 Fair and sustainable in FY20 business practices % CAGR 17.9 Communities Support key community development INR 53 Million programmes Contribution to community Make responsive (INR Million) development initiatives PAT contribution to community interests 2017-18 2,464.8 and needs 2018-19 3,186.5
2019-20 2,716.1 Suppliers and Long-term partners relationships with 4717* efficient payment Active vendors on-board 5.0% CAGR cycle *as on March 31, 2020
Digital Revenue as % (in %) of total revenue Revenue by Sector Emerging Hi-Tech & 3.3 53.6 Manufacturing
Banking, Financial 52.4 Consumer Services and 15.4 Services 27.7 Insurance
Revenue per Gross cash Book value employee (INR Million) per share 38.1 (INR Million) (INR) 4.4 7,839 93.77 3.4 4,497 74.80
2017-18 2019-20 2017-18 2019-20 2017-18 2019-20 2017-18 2019-20 KEY FINANCIAL METRICS | STRATEGIC HIGHLIGHTS CORPORATE OVERVIEW 5
Strategic Highlights
Quarter FY20
Apr 1 Sponsored the 2019 edition of the Started operations in Mexico City, Mexico, Participated in Nutanix’s annual .'NEXT prestigious International Women’s to grow and sustain market presence in Americas' conference to showcase the Hackathon, organised by HackerEarth (the North America benefits of Zensar's multi-cloud solutions world’s largest developer communities) Keystone Logic, a Zensar Company, Sponsored the ISG Digital Business Hosted first, among many, Conclave sponsored the Manhattan Associates Summit in London to showcase Zensar's May Annual Analyst and Advisor Meet in Momentum 2019 Conference as a Gold human-led experience solutions Boston, USA. Eminent analysts and Partner Entered into a global partnership advisors were invited for one-on-one Participated in the Adobe Summit EMEA with NetApp and Cisco to accelerate interactions with the leadership team who 2019, London, to showcase Zensar's application delivery and transition to hybrid shared highlights of Zensar's digital journey Jun human-centric approach to Digital cloud with Zensar’s Managed Private and customer success stories Transformation Cloud Services
Jul 2 Quarter FY20 Recognised in Gartner Magic Quadrant for Partnered with Aptos, a recognised market Participated at Oracle OpenWorld Managed Mobility Services, Global, 2019 leader in retail technology solutions to 2019 to present Experience Enterprise deliver next-gen retail innovation Intelligence platform Sponsored the ISG Automation Summit Aug 2019, New York as a Gold Partner to Expanded operations in South Africa Recognised as an Innovator in showcase Zensar's focused approach with a bigger team and new office Avasant’s Applied Intelligence towards Connected Intelligence and Advanced Analytics Services Recognised in Gartner 2019 Magic Framework RadarView™ Report Quadrant for Data Center Outsourcing Sep and Hybrid Infrastructure Managed Services, North America Oct 3 Quarter FY20 Awarded for ‘Excellence in Leveraging Featured in Working Mother & Avtar the Year' Award at the 4th Edition L&D HR Technology’ category and Runners- Best Companies for Women in India and Summit and Awards 2019, India
Nov up in the ‘Excellence in HR Analytics’ awarded ‘Exemplar of Inclusion’ in the Cynosure, a Zensar Company, category at the SHRM HR Excellence Working Mother & Avtar Most Inclusive sponsored the Guidewire Connections Awards 2019, New Delhi, India Companies in India (MICI) 2019 event as a Gold Partner Featured in the ‘100 Best Company’ for Winner of the Future of Learning &
Dec Women in 2019 Development 'Best Learning Strategy of
Quarter FY20 Jan 4 Recognised as a Disruptor on Enterprise Report for its capability Managed the second best in the private sector Intelligent Automation journey in Services – Workplace Support category at the Best Innovative Practices Avasant’s Intelligent Automation Services Awards at United Nations Global Featured as a Leader in the ISG RadarViewTM FY20 Report Compact (UNGC), New York
Feb Provider Lens™ Digital Business Launched the Digital Foundation Services Solutions and Service Partners U.S. Featured as a Leader in the ISG Provider (DFS) to help enterprises navigate 2019-20 as a Rising Star USA for Digital Lens™ Digital Business Solutions and challenges of the Enterprise 4.0 era Product Services Lifecycle Services and Service Partners U.K 2019-20 as a Rising Blockchain Services Star UK for Customer Journey Service Featured as a Leader in the ISG Provider Mar Providers Lens™ ‘Digital Workplace of the Future’ Zensar's ‘Women in Workplace’, case study has been recognised as 6 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Chairman’s Message
Dear Shareholders, In a complex and challenging environment, Zensar’s performance was encouraging thanks to our diversified and resilient business model. We remain passionate about adding value through our customer-centric digital transformation model, strengthened by AI, data analytics and advanced cloud solutions.
H. V. Goenka Chairman CHAIRMAN’S MESSAGE CORPORATE OVERVIEW 7
More than 100 patents filed in
Our ‘Living AI’ framework sails on the last 3 years, successive waves of innovation and is helping enterprises stay stand testimony ahead of the curve with disruptive customer experience, enabling higher to the talent of our productivity, hyper-personalisation, associates, driven safety and security.
We are taking this journey forward, by our continuous with the help of ZenAIR Labs - a investments dedicated research outfit involved in building AI-led solutions. We to train and continue to gain considerable share of our existing clients with front-line equip them with service offerings while adding new clients to our portfolio. We now have ever-evolving 10 clients with revenue size of $10+ Million, as compared to 4 clients three technology. years ago. Our revenues from digital business now comprise 52.4% of the FY20 revenue, up from 38.1% of FY18. More than 100 patents filed in the last 3 years, stand testimony to the talent of our associates, driven by our continuous investments to train seamlessly adapted to the work- and equip them with ever-evolving from-home model, as the world faced technology. We have performed at uncertainties and vulnerabilities due par with the industry in the US and to this pandemic. Our AI, ML and UK region and remained buoyant cloud infrastructure have become in the South African market. Most of more relevant, enabling companies to our platforms, solutions and services interact with their customers in real- were featured in leading advisory time with minimal physical presence. and analyst reports including ISG, With distinguished capabilities and Avasant, Gartner, Everest and offerings across multiple sectors Forrester in 2019-20. and geographies, Zensar is well poised to convert the challenges Today we stand witness to an into opportunities that arise as the unprecedented human, social world adapts to a new normal where and economic crisis caused by technology will be more critical than the COVID-19 pandemic. While ever before. we have acted with urgency, we are preparing for the future with agility and have responded to customers’ requirements with zeal, enthusiasm and priority. I am proud H. V. Goenka of our 9500+ Zensarians, who have Chairman 8 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
CEO’s Message
Dear Shareholders, Zensar delivered yet another year of positive value creation in FY20, built on the foundation of our strengthened technological know-how, talented associates and a robust balance sheet. Our experience and expertise of operating in diverse geographies, building capabilities and delivering performances have helped us emerge stronger amidst a difficult operating environment.
As the world was crippled with the coronavirus (COVID-19) pandemic, at Zensar, we proactively took steps to ensure continuity in all perspectives.
Sandeep Kishore Managing Director and Chief Executive Officer CEO’S MESSAGE CORPORATE OVERVIEW 9
In a dynamic yet challenging business resulted in 24 5M+ per annum clients coronavirus (COVID-19) pandemic, at environment, it has become more and 10 10M+ per annum clients. Zensar we proactively took steps to critical to remain relevant to customers ensure continuity in all perspectives. than it was ever before. As we continue As we continue to pursue our digital ZenTrust and ZenCare played a to harness emerging technologies, we journey, we are enthused to empower crucial role in supporting customers continue to strengthen our ability to our associates, build capabilities, who were economically impacted, deliver enriching experiences for our bestow them with decision-making helping them revive and reset their customers. Our success of Return on authority, and eventually play a crucial business continuity plans. At Zensar, Digital Transformation® With New and role in balancing our stakeholder 9,500+ Zensarians, across 10+ Exponential Technologies (RoD NeXT) interests. An inclusive, supportive countries, were safely equipped with has delivered significant tangible and and knowledge based environment, the required infrastructure to work visible results for our customers. The endowed with digital tools is a key from home, ensuring zero disruption digital business now forms more than differentiator for Zensar’s workforce. of work, while always prioritising their 52.4% of our total revenue in the last We are committed to attracting, health and well-being. We extended fiscal year, proving our ability to seize developing, training and retaining our community services to those that opportunities and meet the changing a diverse and inclusive workforce, were severely impacted with hunger needs of our customers across sectors providing equal opportunities for all. I and job-loss, providing them with while remaining agile and innovative. am proud of our HR team, for policies sustainable means to survive during and practices that earned prestigious the lockdown period. ‘Living AI’ is a testimony to our awards from global institutions in FY20. commitment to evolve and adapt. It These recognitions are testimony to The economic outlook is expected also lies at the core of our strategic our inclusive and engaging working to remain subdued in the coming goals, to identify and capitalise on culture, inculcated across our offices in fiscal, with the COVID-19 flare-up growing opportunities. AI, as we know, different geographies. and broader geo-political issues continues to reduce human efforts with anticipated to transcend into weaker accuracy and efficiency. At Zensar, The strategies formulated to shape economic sentiments. However, the our ‘Living AI’ philosophy rightly the future of Zensar is validated by post-COVID era would be completely leverages the RoD NeXT platform, our healthy performance. Our recent different, initiating the need for enabling unmatched experiences acquisitions have now formed an new thinking and new methods of every step of the way. Built on the integral part of the organisation articulation. Therefore, a digitally three pivots of Decision AI, Experience to draw vertical and horizontal connected world empowered with AI and Research AI, ‘Living AI’ is our synergies across geographies, driving emerging technologies would be promise to build intelligent operations more value for our customers. The the new normal. Customers across for our customers, driving automation acquisition of Cynosure, Foolproof, diverse sectors would look forward and enhanced productivity. Keystone Logic and Indigo Slate, have to immersive and experience-led given us the leverage to penetrate products to drive business growth. We ensure effective usage of AI for deeper into downstream sectors, while We, at Zensar, stand at a threshold our customers, incorporating it into also adding to our digital capabilities to leverage our capabilities in the a broader spectrum of strategies to and enabling a wider market presence digital eco-system, driven by an able rightly fuse it with people, processes with bigger deals. management team and our passionate and existing technologies. We associates to create value for our Our working capital remains robust, continue to focus on growth areas by customers in the long-term. investing in technologies like AI and where we have reduced our DSO to cloud infrastructure to create platforms 87 days as compared to 102 days in that provide us with actionable 2019. The digital business continues outcomes and better results for our to be a powerful growth-driver, Sandeep Kishore customers. This has transpired in improving efficiency and control of our Managing Director and the addition of new clients to our business model. The improved cash Chief Executive Officer portfolio, taking our active clients to flow will further help us to invest in 283 in FY20. Our existing customers future opportunities, keeping us a step continue to trust us with our digital and ahead of the curve. innovative capabilities, as we continue We recognise our role as a responsive to strengthen our wallet share with entity, creating value for stakeholders them through new offerings that add in accordance with changing times. value to their operations, consistently. As the world was crippled with the Our account mining led focus has 10 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Board of Directors
H. V. Goenka Sandeep Kishore A.T. Vaswani Arvind Agrawal Chairman, Non-Executive, Managing Director and Non-Executive, Non-Executive, Non-Independent Director Chief Executive Officer Independent Director Independent Director
Venkatesh Shashank Singh Ketan Dalal Ben Druskin Kasturirangan Non-Executive, Non-Executive, Non-Executive, Non-Executive, Non-Independent Director Independent Director Independent Director Independent Director
Harsh Mariwala Anant Goenka Radha Rajappa Non-Executive, Non-Executive, Additional, Non-Executive, Independent Director Non-Independent Director Independent Director
*as on March 31, 2020. BOARD OF DIRECTORS | LEADERSHIP TEAM CORPORATE OVERVIEW 11
Leadership Team
Sandeep Kishore Prameela Kalive Navneet Khandelwal Vivek Ranjan CEO & MD, and Chief Operating Officer Senior Vice President and Senior Vice President and Management Board Chief Financial Officer Chief Human Resources Member, RPG Enterprises Officer
Harjott Atrii Malay Verma Chaitanya Rajebahadur Venky Ramanan Executive Vice President Executive Vice President Executive Vice President Executive Vice President and Head, Cloud and and Global Head, and Head, Europe and Head, Hi-Tech & Infrastructure Services Financial Services Manufacturing
Harish Lala Senior Vice President and Head, Africa 12 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Robust Committed to winning at scale
We realise the need to continuously innovate to understand changing customer expectations across diverse businesses and geographies. At Zensar, we continue to create solutions around emerging technologies for our clients while sustaining our growth momentum.
Our Return on Digital® (RoD) NeXT platform and solutions have been Numbers that matter an integral part of our sustained business growth in the recent past. Our continuous efforts, with an effective mining strategy, enabled us to add high- growth, top-tier clients with multiple service deals across our diverse sectoral offerings. With 52.4% of our revenues being derived from digital services in + FY 20, we are focused to sustain this growth by winning new deals with our 560 TCV Deal (USD in Million) differentiated proposition in digital, AI, human experience and secure cloud and infrastructure services. 283 A global Active clients in FY20 enterprise 24 5+ Million revenue generating accounts in FY20 (up from 19 accounts in FY19) The US market continues to be one the top 10 Forbes global organisations of the largest contributors to our headquartered there. We shall revenue, as the largest contributor continue to be relentless in our pursuit to our revenues, with an increasing to win large deals and expand our demand for disruptive and innovative presence in the European region. Revenue from top 20 customers technologies across insurance, retail, hi-tech and manufacturing We remain a trusted and leading IT and financial services sector. Going services partner in South Africa, the 55.8% % ahead, post COVID-19, we see a second largest economy in the African 61.3 FY17 FY20 stable demand-side environment continent. Delivering a y-o-y growth from a strategic point of view, and we of 20.8% in total revenues in FY20, shall continue to invest in business to Zensar has proven its excellence ensure sustained growth across digital disruptive technologies Number of unique patents filed with challenging engagements for Our revenues from the European multiple clients in the region. With a market has doubled in the last three strong pipeline of orders from leading 6 years. Zensar remains one of the companies, we expect to sustain 23 fastest growing Indian companies in market leadership backed by our FY17 FY20 the UK, currently partnering with 5 of strong knowledge capabilities that drive localisation efforts. Number of strategic relationships (alliances)
5 Continuous YoY Growth 17 FY17 FY20
41 Global headcount Whitepapers published in last one year (April 1, 2019 8,524 9,524 Europe South Africa USA to March 31, 2020) FY17 FY20 ROBUST | RELEVANT CORPORATE OVERVIEW 13
Relevant From Living Digital to ‘Living AI’
At Zensar, we believe it is impossible to drive digital transformation in an environment that is fragmented, replete with disparate solutions, and heavy on human intervention. As a result, we envisioned a workplace where the digital eco-system creates superior value, resulting in a work environment that is at par with personal, living spaces.
As we focus on building an agile Today, we are and relevant enterprise, designed to living in a perfectly digitally transform operations for our conducive era for Hyper - Personalised experiences clients, we continue to spearhead our AI development. digital transformation journey - taking Both customers Experience AI Virtual the next step forward. and employees Augmented Agent Reality Cognative are open to Recognition The technology landscape continues sharing valuable to mature and evolve. As a result, information that can Natural Image Natural Language Processing the application of AI technology in help AI engines Interfaces Processing enterprises is increasing rapidly. Our learn and apply Facial Recognition Research AI adoption of ‘Living AI’ philosophy insights in real-time. Zensar AIR Labs comes at a time, when there is a need To align ourselves to bridge the gap between possibilities with the Living AI Deep Dev & Test Machine Learning and realities that AI can create for philosophy, we Learning Automation Adaptive Data enterprises. A wide spectrum of multi- have classified Application Science faceted opportunities that AI presents AI use cases into offer a whole new range of possibilities three modes: Decision AI Intelligent to connect with consumers, boost Enterprise RPA Bots employee productivity and unlock new Autonomics & Orchestration business areas. Experience AI The starting line introducing AI for point efficiency Research AI Decision AI Sustained investments in AI R&D, an 758 Back-end integrations to improve core essential part of digital transformation Bots Launched processes (e.g. AIOps)
Zensar AIRLABS Zensar AIR Labs eco-system and offerings
Artificial Intelligence Research (AIR) Labs is our innovation powerhouse and the heart of our ‘Living AI’ philosophy with an accelerator enabled AI Multi Agent Computer Natural platform. It offers AI-centric advisory System Vision Language and consulting services to offer Processing 20+ customers favourable value additions Patents filed for AI Solutions to businesses. At Zensar AIR Labs, we conceptualise and build AI solutions tailored to our client’s needs using our Semantic Deep Machine proprietary platform, accelerators and Web Learning Learning 20+ alliances. Our team of experts consisting AI/ML practitioners of Ph.D. scholars and practicing industry experts in AI, work with clients in different co-innovation engagement Predictive and Audio and models like bespoke development, CoE Recommendation Speech 30+ establishment and professional services. Systems Processing Use cases developed 14 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Responsive Delivering rapid responses during critical times
The unprecedented and phenomenal spread of novel COVID-19 disrupted lives, livelihoods and communities worldwide. As a global company with operations, teams and customers present across the world, we worked together to help our stakeholders, prepare and respond to the pandemic. RESPONSIVE CORPORATE OVERVIEW 15
At Zensar, we took directives based technologies helped the enterprises on our five decades of expertise adapt to remote working models that to reduce the potential impact of demanded the IT systems to be more COVID-19 on several industries, robust, versatile, secure, user-friendly At Zensar we have always prided thereby helping businesses and scalable. ourselves on being a 'people first' and their people sustain. The company. Our Talent at Zensar introduction of Zensar Enterprise Visible impacts for enterprises application is a unique mobile platform Resiliency Framework (ZERF) adapting to ZenTrust created with indigenous AI that enables helped enterprises mitigate the the HR leadership to seamlessly deliver impact of this exceptional calamity transformational value to the employees. with cost-saving solutions. Under % The tool ensures smooth data recording ZERF, we introduced ZenTrust and 20-35 Immediate cost reductions and helps to effortlessly track an ZenCare, two rapid responsive associate’s entry, exit, leaves and other services designed to help activities. Conversational AI platform has businesses maintain business also enabled new associates to connect continuity and protect productivity at 15-20% with others and get more institutional zero consulting fees. Optimisation of in-flight and information. Associates are also advised planned project cost by AI engines to check the internal job market place and aid them to carve their 35 own career paths. Whitepapers and blogs introduced on Amidst the COVID-19 pandemic, the multiple challenges during COVID-19 application was updated on time for Immediate associate support. Some of the updates included: With ZenCare, we enabled customers 11 to ramp up their remote workforce Ensuring safety of associates while Webinars conducted instantly and securely, anywhere sustaining continuity of work and against all odds. This delivered Setting up of central and regional the ultimate freedom of choice for rapid response teams businesses to efficiently harness Scan the QR the power of any combination of Sorting of travel and visa code to know public cloud or edge data centers Revision of all policies in light of more about ZERF to align it with the ‘Distributed Cloud’ COVID-19, customised for each strategy across the digital eco- geography system. Through ZenCare solutions, we have helped organisations retain 24/7 monitoring by Zensar ZenTrust operational efficiency and regain Emergency Response Team (ERT) workforce productivity, while delivering 'Single click' access to COVID-19 ZenTrust was put together, based exceptional business experience. on years of experience, to support Awareness, Precautions, our customers through a pandemic, Symptoms, Myths, etc. which required significant intervention Our achievements Contact territory specific Zensar ERTs in terms of cost reduction. It was a consulting led approach that Regulatory messages, WHO potentially addressed the entire links, all COVID-19 Zensar applications project portfolio for 1000 VDIs announcements enterprises, and provided immediate Set up within 72 hours (for critical avenues for cost optimisation. The solutions) initiative helped to optimise in-flight and planned project costs, ensure business continuity, secure business applications, and digitally enable stakeholders. Our expertise in 24x7 digital transformation and emerging 365 days service desk support available 16 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Testament to Our Commitment
“The team is doing a great job in spite of being remote” Solution Architect, Multinational Independent Investment Bank and Financial Services Company.
“I wanted to take a moment and thank you for all of your hard work and dedication through these interesting times. It would be easy for any of us to take our foot off the gas and feel sorry for ourselves but the opposite of that is true – I have seen each and every one of you step up, be more connected than ever and accomplish our tasks while taking on more responsibility. More importantly, you have kept a positive attitude and have truly shown our company spirit” Director Infrastructure Engineering, US based International Airline.
“You have been awesome over the past few weeks, and continue to be so – thank you!”
Managing Director IT (CIO), Multilateral Developmental Investment Bank.
“Well done team, amazing results in this current situation!” “I just wanted to take a moment and thank you all Enterprise Support Manager, UK’s for the dedication and exceptional effort you have Independent Provider of Private displayed the past few weeks. We all have been Healthcare. hurt by the Virus, we are lucky to be able to work and help the people we have come to know and respect. I want to point out exceptional efforts.” “I appreciate Zensar's efforts to keep our projects going. It is good to know we can rely Senior Leader IT Operations, A Global on you during this time” Private Independent Investment Management Firm. Dawie Adlem, Head - Business Change, Sanlam. “In spite of many obstacles, you did it! We’ve successfully deployed all our offshore resources “In 32 years of IT industry experience and remotely. Thank you for challenging yourselves working in some of the most diverse and in an extraordinary way and for the extra hours stressful organisations; I have had my views and effort you have put into this project during an changed of Managed Service, Shared Service, unprecedented time. We are truly appreciative of Outsourced and Managed Service Partners; your commitment and dedication to the success Simply by working with you..” of this project. We couldn’t do it without you! On behalf of the project leads, thank you!” Avnish Kana, Head of IT Operations, Essar Oil UK Ltd. CSPO, US Based Leading Insurance Giant. TESTAMENT TO OUR COMMITMENT CORPORATE OVERVIEW 17
"To our Zensar team (not sure why I'm “I want to thank you for your efforts and calling a Zensar team as we now see our great attitude demonstrated during the last selves as A team), thank you for your months…Together, we have faced several continuous hard work that you put in and challenges that could seem to be unnoticed, your actual commitment." but these are noticed, and we are all grateful for all your efforts. Challenges like the Tax Product Owner , South Africa COVID-19, which forced many of us to work based Financial Services Giant. from home, but I know that sometimes home “In the last few years, Aptos has doubled has not all the best conditions to work, some the number of customers we serve. There places have more noise than other places is tremendous demand for our world-class, and make more difficult to focus, etc. Yet, you end-to-end retail software and services have delivered, like if you were in the office… as retailers transform their businesses I want to thank you, thank your leadership, for omnichannel. To meet this demand, and ask you to keep the same attitude to face and to accelerate innovation, we selected the upcoming challenges and efforts for the Zensar as a strategic business partner. In remaining work…” Zensar, we see a strong fit in their retail Sr. Project Manager, Technology domain expertise, and their capability in co- Project Management Office. Customer: developing digital-first solutions.” Office, US based Insurance Giant. Sam Addeo,Chief Development Officer, Aptos. “We are fortunate to have a trusted and dynamic partner in Zensar. Our teams have “We see technology playing a key role in collaborated within the shortest possible how our customers interact with us and time to reengineer our business model to make decisions in future. Our company- support our customer’s immediate need for wide digitisation has accelerated due to essential commodities.” Zensar’s proven expertise in automation Ryan Bacher, Managing Director, and digital implementation. We are Netflorist. driven by the need to create compelling experiences for our customers in their interactions with us.” “Zensar has partnered with Woolworths Hennie De Villiers, Deputy CEO, Online over the last couple of years and is Sanlam. playing an important role during the Covid 19 lockdown period. As many organisations have experienced, the need to change ways “Broking is fundamental to us here at JLL of working and deliver innovative solutions and to be successful, we need to deliver during this time was an expressed focus exemplary internal tools that serve our point. Zensar supported Woolworths very people and their objectives. Foolproof well during this period and specifically understand this and the value in developing partnered the IT team on delivering a click digital products that support the ambition of and collect solution within 8 days. The teams our people." were committed to the business outcomes and fully understood the importance of Li Mae Ong, Executive Director, meeting our customers at their point of need Technology Data and Information during this very challenging time that is Management, JLL. being felt globally.
We are thankful for the team’s effort and their “It has been a true partnership. This is not ongoing commitment to the Woolworths just a supplier and customer engagement, we business.” have stuck by each other through both the tough times and the good times, and I think Christopher Brikkels, Head of that has added the most significant value.” IT: Marketing, WFS and Online, Woolworths Information Technology CIO, Car Rental Major in South Africa. Services. 18 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
An Empowered Workforce Creating sustainable value
In an ever-changing industry that demands people with high competence and skills, we make sure to attract and retain the right people to continue delivering on our strategy. At Zensar, our workforce forms an integral part of our values, contributing positively to business sustainability and future growth.
During the year, we took rapid strides towards our business strategy of ‘Living AI’, Awards tapping unmatched possibilities today to create a reality for tomorrow. Underlying the philosophy of digital transformation, we strive to create a workplace that embeds iInspire award for Best Practices artificial intelligence in our people, processes and platforms. ‘Living AI’ is Zensar’s in Gender Diversity in 2019 proprietary strategy that brings together an eco-system where AI is the driving force, bridging disparate solutions and integrating it with human touchpoints. Featured in the 100 Best At Zensar, we worked towards imbibing digital and AI capabilities in the daily lives of employees. Fusing AI into an integrated digital eco-system would not only create Company for Women in a positive impact on the associates, but introduces accountability, transparency, 2019 ‘Working Mother & Avtar’ future-readiness and a future-ready HR framework. Best Companies for Women in India and ‘Exemplar of Inclusion’ in the Working Mother & Avtar Most Inclusive Diversity and Companies in India (MICI) Inclusion
We are proud of our inclusive and Zensar Woman Leader awarded diverse culture, one of our core values ‘Tech Beacon’ in being commitment to people and WEQUITY Awards Impact of Digital HR community. Diversity at Zensar means embracing associates of different gender, age, nationality, backgrounds, Participated in McKinsey’s % % experiences and physical ability, Women in Workplace study in 2019 ~88 100 supporting them to work together by Reduced time for AI driven creating a culture of inclusivity. This query resolution processes includes ensuring equal opportunity to all employees and across all our processes. This includes hiring, promoting and mentoring women in leadership, % % embracing people with special abilities ~70 ~60 and from the LGBTQ+ community. Reduction Employee in document queries resolved management cost within 6 hours Agile Learning
% employees67 upskilled 22% Increase in productivity 43% Zensar’s ‘Women in Workplace’ Career aspirations aligned case study wins at the UN Global Compact’s 3rd Best Innovative 100K Practices Awards Queries resolved
41% Scan this QR code for more details Increase in HR Feedback score on our prestigious UN Global Compact’s Award AN EMPOWERED WORKFORCE CORPORATE OVERVIEW 19
Nurturing Continuous Smart People Leadership Learning Analytics
Zensarian 5.0 is our leadership At Zensar, we are committed to Zensar, with its analytics-led AI framework that articulates the leadership creating an environment with optimum propositions, has been able to competencies and behaviours required learning to ensure quality output. For consolidate and analyse people’s to lead in a dynamic operating space. this, we have focused on multiple statements on Zensar platforms. Our extensive leadership development learning programmes anchored around Employees can now experience all programmes focus on building right technical training and certificate types of work activities on the platform, and meaningful abilities within our courses. This has led to a significant on a day-to-day basis, to take data- associates. We have also tied-up with number of employees getting access driven and talent-related decisions leading B-schools across the globe with to higher quality and personalised instantly. This has empowered the e-learning modules for best-in-class learning, specifically catered to their overall strategic workforce planning learning applications, systems and needs and abilities. module and has significantly virtual learning resources. increased employee engagement.
Training snapshot Awards Zensarian 5.0 Annual SHRM HR Excellence 138500+ Awards 2019, New Delhi, India. Taking Courses Winner in the ‘Excellence Charge in Leveraging HR Technology’ category Customer Zensar + External200 certifications completed Focus First Runners-up in the by our associates on Percipio learning platform from SkillSoft ‘Excellence in HR Driving Empathy & Analytics’ category Growth Inspiration
Meaning and + Purpose 30,000 Scan this QR code to Courses on multiple topics read more about HR accessed by more than 90% Excellence Award of employees on our upgraded version of ZenLearn platform Awards Introducing Humané * All numbers till March 31, 2020 ‘Best Learning Strategy for 2019’ Award at the Future of L&D Awards 2019 Awards HUMANé is an enterprise-grade solution to help HR organisations ‘Best Leadership Skillsoft Innovation Award at impact employee happiness by Development Program’ 2019 Annual India conference in augmenting their current systems Award at the L&D World Summit 2019 and processes with a native digital ‘Creating Impact - in IT platform. It enriches employee Skills’ experience across touch points to create higher levels of engagement, ‘Best OD Intervention’ greater retention of critical talent, Award at the L&D World Summit 2019 Award in ‘Excellence in and increase productivity. Driven Technical Learning & by AI enabled decision making, Development’ from SIDBI & experience KPIs and analytics, ‘Best in Leadership ASM Group for best practices in HUMANé serves as a one-stop solution to meet an extensive array Award at driving various technical learning Transformation’ of enterprise HR needs. PeopleMatter L&D Awards 2019 initiatives 20 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Creating Value Beyond Business
We are actively pursuing opportunities to contribute to communities and societies where we operate through multiple engagements. For us, social responsibility means creating a long-term and meaningful impact on the lives of people with our actions.
All CSR activities at the Company are undertaken through RPG Foundation, Community development: which is committed to fulfil CSR activities across all RPG group companies. Zensar’s associates At Zensar, we continue to be a involved in necessary information and actively participate as volunteers and company that inspires society and data collection during the COVID-19 contribute towards all CSR driven the communities we operate in. We pandemic, working closely with initiatives and programmes. are facilitating engagement between government officials to restrict the individuals and communities, spread of the virus. providing them with necessary support to create a sustainable society. Economic empowerment: The Read more about our vision, programme aimed to empower mission values on social responsibility by scanning Netranjali: The initiative this underprivileged people with regular the QR here: year witnessed an expansion of food supply. During the fiscal, interventions aimed at providing free a total of 195 households have eye check-ups, while also educating received ration cards, benefitting 975 the beneficiaries about preventive care individuals with regular food supply. related to eye disorders. We singularly The initiative particularly helped 60,860 focused on reaching out to bus individuals with free ration from the People impacted through our drivers across Pune, Hyderabad and government of India, for three months initiatives in FY20 Bengaluru. Around 50,510 bus drivers post COVID-19. (municipal transport/private) were checked across the three cities under In response to COVID – 19 pandemic Netranjali, with beneficiaries receiving our team undertook a food distribution 11% relevant treatment and spectacles. programme in partnership with Zensarians volunteered across all 'Wagholi Gram Panchayat', Police activities Swayam: The initiative that began with officials and Pune Municipal a target to empower women from the Corporation distributed 1,14,400 local communities to train and learn meals across areas in Wagholi and Engagement areas ‘two-wheeler’ driving was extended Pune city. It catered to daily wage this year to ‘four wheelers’ as well. earners who were most affected During the fiscal, around 239 women during the lockdown. were trained across Pune, Hyderabad and Bengaluru, under both initiatives of Swayam. Out of these 239 women, Community Education 81 were placed. development Sanjeevni: An initiative to train local women in bed-side nursing and healthcare witnessed 416 women across Pune, Hyderabad and Bengaluru being trained, with 260 of them employed in leading hospitals. Employability Digital In addition, 18 women were selected Enhancement Literacy as ‘Asha workers’, [An accredited social health activist (ASHA) instituted by government of India’s Ministry of Health and Family Welfare (MoHFW) as a part of the National Rural Health Mission (NRHM)] as primary healthcare workers in rural areas. Environmental These women were also actively Sustenance CREATING VALUE BEYOND BUSINESS CORPORATE OVERVIEW 21
Education
Our drive to ensure socio-economic Hyderabad. We also conducted sustainability, by supporting children more than 168 ‘Saathi sessions’ within our area of operations, through – a weekly initiative to train quality educational programmes. government teachers (coaching session) across Hyderabad and We continued to drive IT Education Bengaluru with plans to add Pune and Udaan English Proficiency in the coming year. across thirteen government schools in Pune and two schools in Hyderabad.
‘Pehlay Akshar’ teachers training programme benefitted about 125 4,990 teachers across Bengaluru and Students reached out in FY20
Livelihood and skill Digital Environmental development programme literacy sustenance
Vocational Skilling & Digital Skilling: We launched a Since 2012, we have committed Entrepreneurship programme: The digital skilling programme, where we to leave a positive environmental programme focused on imparting plan to train candidates to strengthen impact with the maintenance of the 2 knowledge across educational their digital skills across marketing, acre Biodiversity Park, developed in programmes like financial accounting web development, hardware partnership with the Pune Municipal and skill development programme networking and data analytics in Pune, Corporation. During the year, more like air conditioner and mobile Hyderabad and Bengaluru. than 5 Biodiversity and Sustainability repairing, electrical repairing among sessions were conducted to create others. During the year, 32 people in Digital literacy centres: We remain a focused outreach for the park. Pune and 25 people in Hyderabad resolute in our efforts to make at least A total of about 2287 floral and 79 successfully started their businesses one person from every household faunal species were recorded in the through the entrepreneurship digitally empowered. During the year, park and 2461.5 kg compost was programme. Further, 192 individuals we trained 1050 people and enabled generated within the park. This year were trained in vocational skill them to be digitally literate across we also launched a green skilling development programmes, with 85 Hyderabad and Bengaluru. programme, wherein we trained 30 of them being offered employment candidates, especially women, on opportunities. becoming urban gardeners who could earn a livelihood through The Employability Skills gardening. Development programme: Under this programme around 2,431 students from Tier-3 and Tier-4 engineering colleges received free training on employability, for more than 238 technical, digital + and business communication skills. 300 These trainings were conducted by Daily visitors at the Zensar corporate trainers, as per industry Udaan Biodiversity Park standards. After completion of the training, around 76.4% of students were offered jobs. 2460+ kg ~76% Of compost generated and Students were offered jobs reused at the park in FY20 22 ZENSAR TECHNOLOGIES LTD ANNUAL REPORT 2019-20
Innovate & Thrive in Enterprise 4.0 Zensar Digital Foundation Services: Reference architecture for digital business success
The world is witnessing a massive shift due to convergence of physical, digital and biological systems. This presents a business disruption as well as a business opportunity, which we at Zensar are geared to address
Digital connectivity enabled by advanced and innovative technologies is likely to fundamentally change society. The Enterprise 4.0 model is designed to deliver unmatched human experience and to remain relevant in different cycles of change. Successful enterprises in Enterprise 4.0 will have to understand the disruptions of both demand and supply sides. They will have to continuously innovate to understand the shifting customer expectations – they will also have to be experience-centric, collaborative and AI driven. To be successful in enterprise 4.0, businesses will have to deal with four new realities of disruption – differentiate on experience, develop data enhanced & digitally connected products, adopt digital operating models, and adhere to new digital regulations.
To empower enterprises to deal with their IT realities and to fulfil their digital DFS solutions business aspirations, we at Zensar have come up with Digital Foundation Services driving growth (DFS). DFS is the reference architecture for business to successfully meet their aspirations for enterprise 4.0. DFS architecture is built on five foundational Wired Experience capabilities to help our customers be successful, by empowering and enabling Wired Autonomous Cloud their business to run digitally and deliver unique customer experiences. These pillars consist of digital experience management, digital workplace services, User First Modern Workplace digital infrastructure, digital operations and digital skills. With a diverse range of Wired Ubiquitous Security advanced services across various technology areas, DFS is already enabling enterprises to be future-ready and gaining a sustainable competitive advantage. DFS compliments The five pillars of Zensar’s DFS Virtual NOC 1000+ Solution Accelerators Strong Public Cloud Partnerships Digital Experience Digital Experience Lab 01 Management 04 Operations BEAM Managing and monitoring unique Roll out new digital infrastructure on the customer experience foundation of existing digital platforms Analyst Recognitions Zensar recognised as an Innovator in Avasant’ s Hybrid Enterprise Cloud Digital Workplace Digital Enterprise Services RadarView™ 2019-20 02 Services 05 Security Zensar recognised as a Leader Building a futuristic workplace that Providing a comprehensive digital in ISG Provider Lens™ in Digital manages employee experience and cyber security portfolio for next Workplace of the Future Quadrant generation security management Report for Managed Services – Workplace Support 2019-20, North Digital America 03 Infrastructure Zensar recognised as a Niche Player in Gartner Magic Quadrant Initiating an invisible infrastructure for Data Center Outsourcing and with secure Cloud services Hybrid Infrastructure Managed Services 2019, North America Zensar recognised as a Niche Player in Gartner Magic Quadrant for Managed Workplace Services 2020, North America Zensar recognised as a Niche Player in Gartner Magic Quadrant for Managed Mobility Services 2019, Global INNOVATE & THRIVE IN ENTERPRISE 4.0 CORPORATE OVERVIEW 23
At Zensar, we continue to drive partnerships and collaborations to importunately stay relevant in a disruptive digital eco-system. Our partnership with leading software and technology providers empower us to remain relevant for our customers with leading technologies and platforms built through innovation.
Our partnerships are an extension of our portfolio Closer to our customers offerings and enable our clients to realise true business value with increased productivity, higher efficiencies We set up a dedicated ‘Customer Advisory Board and cost benefits. Zensar is aligned to the futuristic (CAB)’ to seek customer feedback and advice while initiatives of our partners who are leaders in innovative aligning expectations, outcomes and investments technologies. with our customers. Zensar organised the inaugural Customer Advisory Board (CAB) meeting in San Operating across a spectrum of digital eco-system, Diego in February 2020, where our leadership team we co-innovate with our partners across a range of interacted with senior level executives representing services, creating platforms that steer our customers our customers, enabling exchange of values and towards business transformation. Our synchronisation ideas for a better tomorrow. with our partners enables us to deliver the latest digital innovations that meet the present and future business needs of our clients.
Our alliances
To know more about our partners and leaders in innovative technologies, please scan the QR code from your smartphone
Recognised by industry Recognised by the industry analysts leaders
Disruptive innovation continues to be key business We, at Zensar, were extremely humbled and proud differentiator, as customer-adaptive methodologies to host the team of ISG Inc. (a global technology gain prominence in a competitive technology research and advisory firm) at Zenlabs campus in landscape. Our platforms and innovations drive Pune. As leading sponsors of ‘ISG Digital Innovation business transformations for our customers, bringing Tour 2019’, we were among the few enterprises accessible digital technologies within reach and selected by ISG, enabling us to showcase our driving business growth. Our holistic capabilities have capabilities in digital space, advanced analytics, AI been acclaimed and recognised by industry leading and Integrated Command Centre for digital operations. global analysts and advisors. Disclaimer Certain statements in this Annual Report concerning our future prospects may be forward-looking statements which involve a number of underlying identified / non identified risks and uncertainties that could cause actual results to differ materially. This Report and other statements – written and oral – that we periodically make contain forward-looking statements that set out anticipated results based on the management’s plans and assumptions. However the same are subject to risks and uncertainties, including but not limited to, our ability to manage growth; fluctuations in earnings /exchange rates; intense competition in IT services including factors affecting cost advantage; wage increases; ability to attract and retain highly skilled professionals; time and cost overruns on fixed price, fixed-time frame or other contracts; client concentration; restrictions on immigration; our ability to manage international operations; reduced demand for technology in our service offerings; disruptions in telecommunication networks; our ability to successfully complete and integrate acquisitions; liability for damages on our service contracts; withdrawal of governmental fiscal incentives; economic downturn in India, and/or around the world, political instability, legal restrictions on raising capital or acquiring companies; and unauthorised use of intellectual property and general economic conditions affecting the industry.
In addition to the foregoing, global pandemic like COVID-19 may pose an unforeseen, unprecedented, unascertainable and constantly evolving risk(s), inter-alia, to us, our customers, delivery models, vendors, partners, employees, general global operations and may also impact the success of companies in which we have made strategic investments, demand for Company’s offerings and the onshore-offshore-nearshore delivery model.
The results of these assumptions made relying on available internal and external information are the basis for determining the carrying values of certain assets and liabilities. Since the factors underlying these assumptions are subject to change over time, the estimates on which they are based, are also subject to change accordingly. These forward-looking statements represent only the Company’s current intentions, beliefs or expectations, and any forward- looking statement speaks only as of the date on which it was made. The Company assumes no obligation to revise or update any forward-looking statements, whether as a result of new information, future events, or otherwise. Zensar Technologies Limited Zensar Knowledge Park, Kharadi, Plot # 4, MIDC, Off Nagar Road, Pune 411014, India Tel: +91-(20)6607 4000, 27004000 Fax: +91(20)66074433, www.zensar.com
A Company