SHIVAJIRAO S. JONDHALE COLLEGE OF MANAGEMENT

SCIENCE AND RESEARCH

ASANGAON

2012-2013

Project on

INDIAN ENTREPREUR

AZIM PREMJI(WIPRO)

FY MMS

By

MAHESH KHEBADE

ROLL NO.126

Under the guidance of

MR. BHOJRAJ SHEWALE

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ACKNOWLEDGEMENT

Apart from our efforts, the success of this project depends largely on the

encouragement and guidelines provided to us by our M anagement process skill

lecturer from time to time. I take this opportunity to express my gratitude to the

person who has been instrumental in the successful completion of this project. I

would like to shower our greatest appreciation to Mr. Bhojraj Shewale under the

guidance of whom, I felt motivated and encouraged to undertake this project.

Without his encouragement and guidance this project would not have

materialized. I can’t say thank you enough for his tremendous support and help. I

are also grateful for every small effort he has put in to see to it that my project is a

grand success.

I would also like to thank

all those people who have directly or indirectly contributed to the successful

completion of this project.

Thanking you all, for your kind anticipation in our project.

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INDEX

PARTICULARS PAGE NO.

INTRODUCTION

CAREER

PERSONAL LIFE

PHILANTHROPY

ABOUT WIPRO

WIPRO BUSINESS UNITS

REFERENCES

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AZIM PREMJI AN INDIAN ENTREPRENEUR

INTRODUCTION

Azim Hashim Premji (Urdu: پریمجی born) عظیم 24 July 1945) is an Indian business tycoon and philanthropist who is the chairman of Wipro Limited, guiding the company through four decades of diversification and growth to emerge as one of the Indian leaders in the software industry. According to Forbes, he is currently the third wealthiest Indian, and the 41st richest in the world, with a personal wealth of $12.2 billion in 2012. In 2000, he was voted among the 20 most powerful men in the world by Asiaweek. He has twice been listed among the 100 most influential people by TIME Magazine, once in 2004 and more recently in 2011. Premji owns 79 percent of Wipro and also owns a private equity fund, Premji Invest, which manages his $1 billion personal portfolio.

CAREER

When Azim Premji took over as its chairman, Wipro dealt in hydrogenated cooking fats and later diversified to bakery fats, ethnic ingredient based toiletries, hair care soaps, baby toiletries, lighting products, and hydraulic cylinders. Thereafter Premji made a focused shift from soaps to software. In the 80s Wipro diversified into IT.

PERSONAL LIFE

Azim Premji was born into a Gujarati Khoja Nizari Ismaili Shia Muslim family and has a BSEE degree (eq. to BE degree in Electrical Eng) from Stanford University, USA. He is married to Yasmeen. The couple have two children, Rishad and Tariq. Rishad is currently the Chief Strategy Officer of IT Business, Wipro.

Premji has been recognised by Business Week as one of the Greatest Entrepreneurs for being responsible for Wipro emerging as one of the world’s fastest growing companies.

In 2000, he was conferred an honorary doctorate by the Manipal Academy of Higher Education.

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In 2005 the government of India honoured him with the title of Padma Bhushan for his outstanding work in trade and commerce.

In 2006, Azim Premji was awarded Lakshya Business Visionary by National Institute of Industrial Engineering, Mumbai.

He was awarded Hon. (D.Litt.), an honorary degree, from the Aligarh Muslim University on 18 June 2008 on the occasion of 58th Convocation Ceremony of the University.

In 2009, he was awarded an honorary doctorate from Wesleyan University in Middletown, Connecticut for his outstanding philanthropic work.

In 2011, he has been awarded Padma Vibhushan, the second highest civilian award by the Government of India.

PHILANTHROPY

Azim Premji Foundation and University

In 2001, he founded Azim Premji Foundation, a non-profit organisation, with a vision to significantly contribute to achieving quality universal education that facilitates a just, equitable, humane and sustainable society. The Foundation works in the area of elementary education to pilot and develop 'proofs of concept' that have a potential for systemic change in India's 1.3 million government-run schools. A specific focus is on working in rural areas where the majority of these schools exist. This choice to work with elementary education (Class I to VIII) in rural government-run is a response to evidence of educational attainment in India.

In December 2010, he pledged to donate $2 billion for improving school education in India. This has been done by transferring 213 million equity shares of Wipro Ltd, held by a few entities controlled by him, to the Azim Premji Trust. This donation is the largest of its kind in India.

The Azim Premji University was established under an act of the Karnataka Legislative Assembly to run programmes to develop education and development professionals, offer alternative models for educational change and also invest in educational research to continuously stretch the boundaries of educational thinking.

The Giving Pledge

Azim Premji has become the first Indian to sign up for the Giving Pledge, a campaign led by Warren Buffett and Bill Gates, to encourage the wealthiest people to make a commitment to give most of their wealth to philanthropic causes. He is

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the third non-American after Richard Branson and David Sainsbury to join this philanthropy club.

"I strongly believe that those of us, who are privileged to have wealth, should contribute significantly to try and create a better world for the millions who are far less privileged"--- Azim Premji

Azim Premji Donates $2.3 Billion After Signing Giving Pledge (FORBES)

Days after tech tycoon Azim Premji officially announced he’d signed the Giving Pledge, the Indian billionaire made his biggest philanthropic donation ever: Premji, ranked as India’s third richest person with a fortune of over $13 billion, announced Friday that he is donating $2.2 billion, or a 12% stake, in his IT outsourcer Wipro, to a trust to fund his education-focused Azim Premji Foundation.The donation of 295.5 million shares brings down Premji’s stake in Wipro from 70% to 58% and increases the charitable trust’s holding in the company to close to 20%. The billionaire’s latest act of charity comes on top of an initial $125 million worth of shares in Wipro that he had earmarked to start the Foundation in 2001, followed by his gifting shares worth $2 billion to the trust three years ago which had made him Asia’s most generous philanthropist.With this new endowment, Premji, often referred to as India’s Bill Gates earlier for his tech wealth and now for his charity, joins the ranks of the world’s top five givers. Having donated $4.4 billion thus far, he’s given away more than Carlos Slim Helu, the world’s richest person, who’s gifted $4 billion to his foundation. “ This is a magnanimous, magnificent gesture. But I’m not surprised because Azim is a philanthropist at heart, “ said biotech pioneer Kiran Mazumdar-Shaw, Premji’s close friend.Lately, Premji has emerged as one of the most outspoken and active among India’s wealthy on the issue of giving back. Last year in June, he co-hosted a philanthropy meet with Bill Gates in Bangalore which was attended by several of the country’s richest businesspeople. Recently, Premji caused a stir when he said that he supported a government proposal to tax the super-rich. In comparison to some of his fellow billionaires in India who splash out on palace-like homes and expensive toys, Premji’s lifestyle is modest; last year it is believed he traded his modest Toyota car for a Mercedes Benz but a second-hand one.

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Premji’s hometown of Bangalore, known as India’s tech capital, can now be regarded as the country’s philanthropy capital as well. Other large-hearted residents of this city who have earned billion dollar fortunes such as the founders of Infosys N.R. Narayana Murthy, Nandan Nilekani and S.Goplakrishnan, are all notable givers. Premji’s friend Mazumdar-Shaw who donates half the dividends she gets annually from her firm Biocon has disclosed to Forbes that she’s pledged to give away 75% of her wealth: “Azim has set a trend for others to emulate.”

The Indian ContextIndia, after sixty years as a Republic, continues to demonstrate the strength of its political institutions. Economic growth has brought significant improvements in material conditions and opportunities in most parts of the country. Yet, it is still home to too large a number of citizens who are unable to live lives of dignity, free from the fear of poverty, preventable disease or social and political oppression and violence. In spite of constitutional directives the possibility of basic liberties and a more equitable society does not seem any closer for many.Rapid economic growth has also led to increasing disparities and often diminished quality of life in urban and rural areas. This is potentially a source of future conflicts and a matter of concern in the face of rapid environmental degradation that affects all but especially threatens the poor.Education and institutions of learning are crucial both to creation of individual capabilities and also strong social responses that might help us meet these challenges. Education and learning contribute not just to livelihood and marketable skill but also nurture the sensibilities needed for human well-being and flourishing. Equally importantly, education helps build the capabilities that promote just and equitable social and political arrangements.Principles

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The vision of the Azim Premji Foundation is deeply rooted in the Indian Constitution which establishes the idea of the Indian republic. As the Preamble to the Constitution states, all Indians are constitutionally guaranteed the following rights:

JUSTICE, social, economic and political. LIBERTY of thought, expression, belief, faith and worship. EQUALITY of status and of opportunity. FRATERNITY assuring the dignity of the individual and the unity and integrity of

the Nation.Our vision of education has been drawn from the National Policy of Education which flows from the values articulated in the Constitution. The aims of education stated in National Policy of Education have been the cornerstone of our approach to education reforms and are worth examining here:

Aims of Education (National Policy of Education)o To further the goals enshrined in the Constitution of India.o To recognize that education is for all. It is fundamental to our complete

development – material and spiritual.o To refine sensitivities and perceptions that contribute to national cohesion.o To develop scientific temper and independence of mind.o To develop manpower for different purposes of economy.

The Landscape of Education in IndiaWhile the policies and philosophy of the Indian education system have been deeply informed by Constitutional values, and are laudable in all respects, the results on the ground have been mixed. This is not entirely surprising given the vast, complex and diverse canvas covered by the Indian education system. A few facts may serve to illustrate this point:

Scale: 1.3 million schools and 205 million children; 8.1 million children out of school. 7 million education functionaries, including about 5.5 million teachers. Government schools account for over 90% of primary rural schools and the

government and its partners run the largest mid day meal scheme in the world.

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Diversity and Complexity: 28 states, 626 districts and 6500 blocks. Average of 2000 schools per district where

each district is dramatically different from the other – ecologically, culturally and socio-economically.

438 living languages; 22 official languages and 29 languages with more than 1 million speakers.

Scattered tribal populations, habitations in remote areas, girl children, religious and linguistic minorities and the physically challenged present in large numbers and they often have special needs.Despite the complexity of providing quality education in this environment there has been significant improvement in areas such as infrastructure, access and enrolment. Some key elements include:

Education as a Fundamental Right: Children are legally entitled to free and compulsory elementary education under The Right to Education Act, 2009 (RTE)

Access: 99% of the rural population now has a primary school within 1 km Enrollment: Enrollment has increased by 18 percent points since 2001. Net

Enrollment Ratio today is about 99% Infrastructure: Sharp improvement in school facilities and number of schools

since 2001 No of Teachers: The pupil teacher ratio has been improving quickly and is soon

expected to reach 30:1 under the RTE.However the goals of universalization of education, quality of learning and equitable opportunities for all have remained elusive.

Universal Education: Literacy is only 65% (Male –76%, Female - 54%). Retention: Only 39% children reach 10th grade; of these only 40% pass out. Quality: There many dimensions of quality which includes the holistic

development of a child’s physical mental and emotional faculties. Even if we exclude these “higher” levels of aspiration and examine the basics of development of basic skills the situation is alarming. For example:

35% of children in grade 1 cannot recognize numbers 1 – 9. Almost 50% children in grade 5 cannot read a grade 2 level text . A central issue is that no real learning happens – classes are “rote driven” with

undue focus on memorization rather than conceptual understanding and application.

Equity: Girls and socially disadvantaged backgrounds are 20% lower in literacy – and similarly disadvantaged on all parameters

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State-run education systems which represent the lion’s share of educational activity in India in both school and higher education are in need of urgent reform and revitalization. The Foundation partners with various state governments in its goal to facilitate deep, at-scale and institutionalized impact in these areas.

ABOUT WIPRO

Wipro Limited (formerly Western India Products Limited) (NYSE: WIT, BSE: 507685) is an information technology (IT) consulting and outsourcing service company located in Bangalore, Karnataka, India. As of 2012, the company had 140,000 employees in 54 countries. Wipro is the second largest IT services company in India. Its subsidiary, Wipro Enterprises Ltd., offers consumer care, lighting, healthcare, and infrastructure engineering

Early formative years

The company was incorporated on 29 December 1945 in Mumbai by Mohamed Hasham Premji as Western India Products Limited, later abbreviated to Wipro. It was initially set up as a manufacturer of vegetable ghee, vanaspati and refined oils in Amalner, Dist:Jalgaon, Maharashtra under the trade names of Kisan, Sunflower and Camel. The company logo still contains a sunflower to reflect products of the original business.

In 1966, after Mohamed Premji’s death, his son Azim Premji returned home from Stanford University and took over Wipro as its chairman at the age of 21. Wipro became a more profitable, diversified corporation with new products such as the Wipro Super Genius personal computers (PCs). In 1999, the product was the one Indian PC range to obtain US-based National Software Testing Laboratory (NSTL) certification for the Year 2000 (Y2K) compliance in hardware for all models. Azim Premji is a major shareholder in Wipro. During the 1970s and 1980s, the company shifted its focus to new business opportunities in the IT and computing industry, which was at a nascent stage in India at the time. In June 7, 1977, the name of the Company was changed from Western India Vegetable Products Limited., to Wipro Products Limited.

The year 1980 marked the arrival of Wipro in the IT domain. In 1982, the name was changed from Wipro Products Limited to Wipro Limited Meanwhile Wipro

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continued to expand in the consumer products domain with the launch of ‘Ralak’ a tulsi based family soap and `Wipro Jasmine', a toilet soap.

1988-1992

In 1988, Wipro diversified its product line into heavy duty industrial cylinders and mobile hydraulic cylinders. A joint venture company with General Electric of U.S.A., in the name of Wipro GE Medical Systems Pvt. Ltd. was set up in 1989 for the manufacture, sales and service of diagnostic and imaging products. Later, in 1991, tipping systems and Eaton hydraulic products were launched. The Wipro Fluid Power division, in 1992, developed expertise to offer standard hydraulic cylinders for construction equipment and truck tipping systems. The market saw the launch of the "Santoor" talcum powder and "Wipro Baby Soft" range of baby toiletries in 1990.

1994-2000

In 1994, Wipro set up an overseas design center, Odyssey 21, for undertaking projects and product developments in advanced technologies for overseas clients. Wipro InfoTech and Wipro Systems were amalgamated with Wipro in April that year. Five of Wipro's manufacturing and development facilities secured the ISO 9001 certification during 1994-95. In 1999, Wipro acquired Wipro Acer. Wipro Super Genius personal computers (PCs) became the only Indian PC range to obtain the US-based National Software Testing Laboratory's (NSTL) Certification for Year 2000 (Y2K) compliance. Wipro Limited joined hands with a global telecom major KPN (Royal Dutch telecom) to form a joint venture company “Wipro Net Limited” to provide internet services in India. The year 2000 was the year Wipro launched solutions for convergent networks targeted at Internet and telecom solution providers in the names of Wipro OSS Smart and Wipro WAP Smart.

2001 onwards

In February 2002, Wipro became the first software technology and Services Company in India to be certified for ISO 14001 certification. Wipro also achieved ISO 9000 certification to become the first software company to get SEI CMM Level 5 in 2002. Wipro Consumer Care and Lighting Group entered the market of Compact Fluorescent Lamps, with the launch of a range of CFL, under the brand name of Wipro Smartlite.  As the company grew, a study revealed that Wipro was

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the fastest wealth creator for 5 years (1997–2002). The same year witnessed the launch of Wipro’s own laptops with Intel's Centrino mobile processor. Wipro also entered into an exclusive agreement with the owners of Chandrika for marketing of their soap in select states in India. It set up a wholly owned subsidiary company viz. Wipro Consumer Care Limited to manufacture consumer care and lighting products. In 2004, Wipro joined the billion dollar club. It also partnered with Intel for i-shiksha. The year 2006 saw Wipro acquire cMango Inc., a US based Technology Infrastructure Consulting firm Enabler, and a Europe based retail solutions provider. In 2007, Wipro inked a large deal with Lockheed Martin. It also entered into a definitive agreement to acquire Oki Techno Centre Singapore Pte Ltd (OTCS) and signed an R&D partnership contract with Nokia Siemens Networks in Germany. The year 2008 saw Wipro’s foray into the clean energy business with Wipro Eco Energy. In April 2011, Wipro signed an agreement with Science Applications International Corporation (SAIC) for the acquisition of their global oil and gas information technology practice of the commercial business services business unit. The year 2012 saw Wipro make its 17th acquisition in IT business when it acquired Australian analytics product firm Promax Applications Group (PAG) for $35 million.

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WIPRO BUSINESS UNITS

Wipro IT

Wipro Technologies, the global IT business of Wipro Limited is a leading Information Technology, consulting and outsourcing company with a comprehensive portfolio of services and an organization wide commitment to sustainability and innovation. The IT Products segment sells a range of Wipro personal desktop computers, Wipro servers and Wipro notebooks. It is also a value added reseller of desktops, servers, notebooks, storage products, networking solutions and packaged software for international brands.

Wipro entered into the technology business in 1981 and has over 130,000 employees and clients across 54 countries today. IT revenues stood at $ 5.9 billion for the year ended March 31, 2012 with a repeat business ratio of over 95%.

The business model at Wipro Technologies Ltd is an industry aligned customer facing model which gives greater understanding of customers’ businesses to build industry specific solutions.

Wipro Consumer Care & Lighting

Wipro Consumer Care and Lighting (WCCLG), a business unit of Wipro Limited operates in the FMCG segment offering a wide range of consumable commodities. Established in 1945, the first product to be introduced by WCCLG was vegetable oil, later popularized under the brand name 'Sunflower Vanaspati'. It offers personal care products, such as Wipro Baby Soft and Wipro Safewash, toilet soaps like Santoor and Chandrika and international brands like Yardley. Its portfolio of lighting solutions includes products like Smartlite CFL, LED, emergency lights and more.

Through its customer-centric products and acquisitions, Wipro Consumer Care and Lighting has become a fast growing company in the FMCG segment.

Wipro Infrastructure Engineering

Wipro Infrastructure Engineering is the hydraulics business division of Wipro Limited and has been in the business of manufacturing hydraulic cylinders, truck cylinders, and their components and solutions since 1976. This division delivers hydraulic cylinders to international OEMs and represents the Kawasaki, Sun Hydraulics and Teijin Seiki range of hydraulic products in India. It has entered into partnerships with companies like Kawasaki and aerospace giant EADS. The commitment to quality has made Wipro Infrastructure Engineering the second largest independent manufacturer of cylinders in the world. The company has

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recently ventured into water treatment systems and solutions to cater to the needs of various industries.

Wipro GE Medical Systems Limited

Wipro GE Medical Systems Limited is Wipro’s joint venture with GE Healthcare South Asia. It is engaged in the research and development of advanced solutions to cater to patient and customer needs in healthcare. This partnership, which began in 1990, today includes offerings like gadgets and equipment for diagnostics, healthcare IT solutions and services to help healthcare professionals combat cancer, heart disease and other ailments. There is complete adherence to Six Sigma quality standards in all products.

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References:

1) www.wikipedia.org/

2) www.azimpremjifoundation.org

3) www.azimpremjiuniversity.edu.in/

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