MADU RATNAYAKE
VIRTUSA CORP
EMPLOYEES: 18,500
FOUNDING: 1996
REVENUE: $860 MILLION
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MAKE INNOVATION EVERYBODY’S BUSINESS
The cost arbitrage wave is waning as most global companies begin basing IT-related spending decisions on value, says Madu Ratnayake, Chief Information Officer and Head of Business Process Excellence at Virtusa Corp, a $860 million revenue IT services company.
“Cost matters, but it’s no longer the deciding factor. Our ability to understand clients and their markets than they themselves do by analyzing the data is what makes us successful,” he says.
The NASDAQ-listed company is successful due to its ability to deliver this value to clients at scale.
There are three types of innovative companies, he says.FIrst, those where innovati on is accidental and reactive. The second is companies led by a charismatic, inspiring genius. The third type of innovative company is where a thousand geniuses work as a team. In Virtusa’s case, it’s 18,500 geniuses. “This is the kind of company we want to be,” he says.
To build this eco-system, Virtusa puts systems in place for systematic ideating, where everybody gets involved in trying to solve a problem. A team writing code for a specific client with specific needs is often assisted by members of other teams working on codes for other clients dispersed around the world. The company has 50 offices in the US (where it’s headquartered), Europe and Asia. There’s transparency about what everyone does, and cracking a good code is celebrated by everyone.
“This collaborative, collective effort around solving client problems makes geniuses out of ordinary people,” Ratnayake says. IT investments need to translate into real business value and help companies create competitive advantages, which is something Virtusa tries to achieve. The company’s biggest clients include some of the largest global banks, insurance and healthcare companies operating in complex, heavily regulated markets in Europe and the US, which require IT solutions that will reduce costs and deliver value. Its platforms are designed to incorporate future changes, eliminating heavy overhaul costs.
Virtusa competes with other global software services firms like Cognizant Technology Solutions, HCL Technologies, Infosys, iGATE Corporation, Tata Consultancy Services, Tech Mahindra, Wipro Limited, Accenture, Cap Gemini, Computer Sciences Corporation, Deloitte Consulting and IBM Global Services Consulting.