This case study in winner of 2009 Aditya Birla Case Study Competition, London Business School, UK. The case study is used by many business schools across the globe.
eInfochips is an IP driven Product Development Services Company, based at Ahmedabad and engaged in global IT business activities. The company provides ASIC design and verification services, embedded systems solutions and IP cores. In year 1994, Pratul Shroff founded the company with one design engineer in his residential premises. Pratul Shroff, worked for Intel as a designer & as co-founder in Daisy Systems for 9 years. The company received financial support of $ 400,000 from Gujarat Venture Capital Finance. It grew into 300 plus employees in India & strong global team of 730 professionals with approximately annual revenue of $6.4 million by end of its first decade.
The management vision is to make Einfochips, innovative technology company that transforms society by creating leaders and generating stakeholder value. Einfochips attains its vision by differentiating product, delivery & service to the clients.
The company’s division includes chip design unit, which has expertise ranged from specification to silicon, encompassing ASIC/SOC design and verification, physical layout and implementation, firmware development, DSP hardware and algorithms and board design. The electronic product engineering unit provides complete prototype electronic product.
One area where eInfochips has differentiated their product is the verification space. As the complexity of chips increases, so does the challenge of verification, which can easily consume 50% of the total design cycle time. The company provides training to its employees in high-level verification languages such as Specman and Vera. eInfochips is a third-party network member and is one of only two TI Certified Software Integrators. The other differentiation is in delivery of the product, by using ‘Unique Amplified Offshoring’ delivery model, which increases the effectiveness of services, that offers combinational advantage of both offshore, on-site modes.
eInfochips has two design centers in India & three sales offices in the U.S. where company maintains 30 to 40 engineers in U.S., who serve as the link between the customer and the design team. EInfochips considers these “product champions” essential to its business, as these engineers bridge the myriad gaps – communication, cultural, temporal and geographic – between the U.S.-based customer and the India-based design team. Major differentiation is in service to the clients & the ability to address the entire spectrum of solutions. To ensure & meet ever-changing demands of technology industry, eInfochips provides special kind of technical & management training known as ‘Chipmates’ and compulsory year long ‘Life Skills’ training on teamwork, time management, communication, dealing with cultural gaps and attitude.
The case study focuses on innovation brought by eInfochips in offshore business by differentiating product, delivery and service to the clients. The case study is finalist in 2009 Aditya Birla Case Study Initiative, London Business School and full case is available with ecch.
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Keywords: IT service, Differentiation, Product, Design
JEL Classification: L86,O3,O33