Jobs, Benefits, Business Model, Founding Story

MphasiS’s mission is to leverage its global talent and innovative blends of services and technology to deliver customer delight.

MphasiS is an information technology services provider, with a focus on applications, business process outsourcing (BPO), and infrastructure services. The company operates five reportable business segments based on industry of focus: Banking and Capital Market, Insurance, Information Technology, Communication and Entertainment, and Emerging Industries.

IT services firm BFL Software Limited was founded in India in 1992. IT consulting firm MphasiS Corporation was founded in the U.S. in 1998. In 2000, the two companies merged to form MphasiS, combining their offerings. In 2006, Electronic Data Systems (EDS) bought a controlling stake (42%) in the new entity for $80 million, and began operating it as an independent unit.

In 2008, change occurred again as Hewlett-Packard completed a deal with EDS to acquire MphasiS for $13.9 billion. MphasiS then began operating as an independent subsidiary of HP with its own board, and continued to be listed on Indian markets. HP owned a 62% share of the firm and MphasiS obtained 50% of its revenues from its parent.

In 2010, MphasiS celebrated $1 billion in revenues, becoming the sixth Indian IT firm to do so. Five years later, it revealed that it was transferring a large part of its domestic business to Hinduja Global Solutions (HGS), a business process managment company. In 2016, HP decided to sell its controlling stakes in MphasiS. Private equity firm Blackstone Group acquired an 84% share after a bidding war.

Business model of MphasiS

Customer Segments

MphasiS has a niche market business model, with a specialized customer segment. The company targets its offerings at firms in the financial services, technology, telecommunications, and logistics industries.

Value Proposition

MphasiS offers three primary value propositions: performance, risk reduction, and brand/status.

The company has demonstrated strong performance. It has completed over 300 digital projects impacting over a billion users. It has also achieved tangible results in care transformation, reducing cost of care by 65% and increasing time-to-market by 75%.

The company reduces risk by maintaining high standards. It has received ISO 9001:2008 and ISO/IEC 27001:2005 certifications, and is a CMMI v 1.3 Level 5 assessed firm. It also provides ISO, SEI CMMI, and Six Sigma-related services support.

The company has established a strong brand as a result of its success. It is ranked as one of the top IT companies in India. It is also listed in the Fortune India 500 and describes itself as a “Digital Partner of Choice“ for four Fortune 500 firms. Lastly, it has won many honors, including a #2 ranking in the “Top 30 Fastest Growing Tech Companies“ list by Silicon Valley (2016), a #29 ranking in the “100 Largest Financial Technology Vendors“ list by American Banker (2015), and the “Most Distinguished Digital Company of the Year“ award by The Economic Times‘ Best Tech Brands Awards (2015).


MphasiS’s main channel is its direct sales team, which has offices around the world. The company promotes its offering through its website, social media pages, webinars, summits, exhibitions, expos, and conferences.

Customer Relationships

MphasiS’s customer relationship is primarily of a self-service nature. Customers utilize its services while having limited interaction with employees. That said, there is a personal assistance component in the form of phone and e-mail support.

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Key Activities

MphasiS’s business model entails designing and developing IT services for its customers.

Key Partners

MphasiS maintains NEXTlabs with the aim of being the ”Preferred Innovation Partner“ for its clients. The program works on developing joint innovative solutions, with an interdisciplinary staff that includes digital strategists, product specialists, developers, graphic designers, user experience designers, data scientists, and business analysts. This team collaborates with customers, startups, representatives from academia, and other technology firms.

Beyond the program, MphasiS has formed strategic business alliances with the following firms:

·         Actian

·         Akamai

·         Altitude

·         Amazon

·         Appian

·         Appcelerator

·         Attivio

·         Avaya

·         CA Technologies

·         Crossing-Tech

·         Drishti

·         Eurobase

·         ExpeData

·         Experitest

·         Fenergo

·         Gramener

·         Hitachi Data systems

·         HP

·         IBM Worklight

·         Intalio

·         Ixsight

·         Kony

·         Lavastorm

·         Lucierna

·         Microstrategy

·         Neotys

·         Nice Actimize

·         Oracle

·         Pegasystems

·         Promisec

·         Revelytix

·         RupeePower

·         Salesforce

·         SAP

·         Scivantage

·         TIBCO

·         Talend

·         Vmware

·         Voltage

·         Yarcdata

·         Yellowfin

Key Resources

MphasiS’s main resources are its human resources, including its engineering employees who design and develop its software services, its sales staff who promotes its offerings, and its customer service staff who provide support.

Cost Structure

MphasiS has a cost-driven structure, aiming to minimize expenses through significant automation and low-price value propositions. Its biggest cost driver is likely cost of revenues, a variable expense that includes travel, facility, network, and technology costs. Other major drivers are in the areas of sales/marketing and administration, both fixed costs.

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Revenue Streams

MphasiS has the following revenue streams:

Software Services & Projects – Revenues generated from time/material and fixed-price contracts

Call Center/Business/Knowledge Process Outsourcing Operations/Infrastructure Outsourcing Services – Revenue generated from unit-priced and time-based client contracts

Licensing Arrangements – Revenue generated from fees for software licenses


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