Murthy Bids Adieu to Infosys, Once Again

Bangalore:

For the second time in three years, Infosys executive chairman N R Narayana Murthy will on Saturday bid adieu to the iconic company he co-founded with four other techies in 1981.

On Saturday, he will step down from the top executive post a year after he returned to revive its sagging fortunes.

(See: Vishal Sikka new Infy CEO: who said what)

Though Mr Murthy retired from the $8.3-billion IT bellwether in August 2011 on turning 65 in compliance with the policy he laid down for co-founders at executive posts, the company's board prevailed upon him to return on June 1, 2013 for five years.

(Read: Why 12 High-Ranking Executives Quit Infosys)

"I decided to exit a year after my return to ensure a smooth transition of responsibilities to the new management and give a free hand to Sikka for steering Infosys into future as a marquee Indian brand in the technology space," Mr Murthy told IANS ahead of the company's 33rd annual general meeting (AGM) on Saturday.

(Read: New CEO Sikka to revive Infy with tech boardroom savvy)

After the handover, the reins of his grown-up "middle child" to Mr Sikka, Mr Murthy will become chairman emeritus again from October 11, relinquishing even as non-executive chairman, an interim post during the transition period.

"Very few people get an opportunity to add value to a great company a second time, that too after retirement," Mr Murthy said in his farewell note to employees, clients, investors and other stakeholders.

If Mr Murthy's return helped the beleaguered company double revenue growth to 11.5 per cent in dollar terms last fiscal year (2013-14) and improve operating margin to 25.5 per cent in the fourth quarter (January-March) from 23.5 per cent in first quarter (January-March), its human capital took a beating with the exit of a dozen senior executives, including a couple of board directors and over 36,000 lateral and junior techies during the fiscal under review.

(See: Who is hiring top executives of Infosys?)

"While the results of what we have set out to do are still far from being realised, this journey has been very exciting and invigorating for me, as I got to know many extraordinary employees in sales, software delivery and business enabler functions," Mr Murthy said.

(Read: Under Sikka, Infy 'uniquely positioned' for growth: Barclays)

Having accomplished the task of finding an eminent successor to retiring chief executive and another co-founder S D Shibulal, and putting the company back on the growth path, Mr Murthy said getting Mr Sikka on the board was a culmination of efforts he had put in over the last 12 months, though the task of rebuilding the bellwether would take 36 months to yield results in terms of sales, delivery and cost-effectiveness.

"I will share my views and vision for the company's growth ahead with employees and shareholders at the AGM later in the day. The task ahead is, as stated earlier, to increase the company's competitiveness in the global market to achieve the industry-leading growth and margins," Mr Murthy said.

Asserting that he brought the company to a shape from where Mr Sikka would be able to carry on, Mr Murthy said he had the satisfaction of doing the job to the best of his ability and fulfill the mandate the board gave year ago.