Role Model
No shortcuts to success
 Vipul Datta, CEO, FutureSoft Solutions, elaborates on the key aspects and milestones that have contributed to the success of the company
CRN Network
Getting Vipul Datta, CEO, FutureSoft Solutions, drawn into a discussion on the future of IT industry is a rewarding experience. It’s nearly impossible to dismiss his drive and passion for IT as anything but his heartfelt dedication towards betterment of the industry. “We are in it, to win it,” says the entrepreneur who also doubles up as the Vice President, Infotech Software Dealers Association (ISODA).
He plans to place FutureSoft among the top three infrastructure optimization solutions company in India by the end of 2014.
The beginning
After his Bachelors in commerce from Delhi University in 1992, Datta, like any other fresh graduate, jumped on to the first job he came across—a rather non-glamorous role of a data entry operator. But that began his tryst with computers. Soon he enrolled for a diploma course in computing. After nine months, Datta realized that he loved discussing business planning. With that clarity, he took on a new job role that of a marketing executive.
In 1994, he switched to his present organization and headed the product sales division. “Microsoft was expanding in India and that opened up a lot of possibilities for us,” he reminisces.
The big opportunity came a year later. The company bagged quite a few clients for its Microsoft business including JK group, IBM, SRF, Bennett Coleman, and American Express. The cumulative business that it offered was about $4,00,000 year on year. He approached the stake owners, who invested in the software arm—subsequently christened FutureSoft Solutions—and handed over the reins to him in August 1996. Heading the company’s board of directors, Datta’s first task was to spruce up strategies. “We had to re-think our business strategy, as we realized the importance of having a strong go-to-market plan to help us create a brand recall.”
Following the dotcom boom in 1997, the newly-established company struck gold. “With BPOs and KPOs fuelling the economy, the concept of infrastructure and remote management was gaining prominence and FutureSoft Solutions found its niche as a software solutions provider focusing largely on infrastructure software.
By 2007, the company grew to a 60-people strong organization. It began offering business solutions including managed services, enterprise security, enterprise storage and infrastructure optimization. After realizing the potential of IT as a business enabler, Datta decided to actively engage in pre-sales.
That year FutureSoft was recognized as the Best partner in North by Websense and Premier Partner for the year by CA. It was also the best Adobe authorized reseller for North India for the year.
Currently, FutureSoft Solutions offers infrastructure optimization solutions for servers and storage, server side computing solutions, SSL VPN solutions, messaging and unified communication, information security, enterprise resource management systems for IT automation, business availability solutions for BCP and DR, and business applications like ERP, CRM and BI.
Its list of leading partners include Microsoft, CA, IBM, EMC, Trend Micro, McAfee, Checkpoint, Symantec, Adobe, HP, Hitachi, Tandberg, Red Hat and WatchGuard.
The present
In FY2009-10, FutureSoft clocked in Rs 22.1 crore growing marginally compared to the previous fiscal’s turnover of Rs 21.7 crore. Of this, a majority 90 percent of the revenues came from corporate reselling, 7 percent from services and remaining 3 percent from solutions and systems building.
The company saw IT -ITES contribute 42 percent to the total turnover. Telecom sector contributed 20 percent, entertainment 15 percent, auto manufacturing and ancillary 10 percent, while the rest came from pharma, manufacturing, FMCG, retail, government, PSUs and real estate.
“Recession gave us an opportunity to revisit our business agenda and strategies. By late 2008, we took a decision to break away from customers and vendors that did not offer us double digit margins. Though that meant dip in the revenues and profits, it ensured that we have our eye on the bigger pie. Deep-selling into existing accounts became a priority for us,” offers Datta.
“We also chose to reduce our pure product business because of number of challenges such as delayed payment, heavy taxation liability and low margins,” he adds.
Expanding its focus on the services business, FutureSoft undertook a project as an IT consultant for a leading financial services group spread across India. “The purpose of the infrastructure audit was to provide insight into the clients IT infrastructure, highlight the gaps and finally implement the best practices in order to align IT with business. We looked into business risks and productivity holes, and recommended actions to fix these issues,” he says.
Among the big projects executed last fiscal was setting up of a domestic call center based on open source technology, and successful migration of one of the leading publication house from its existing Quark-based production environment to Adobe In design-based integrated production environment.
According to Datta, the strategy to put multiple checks in place and keep a track of customer satisfaction has aided its bottom line. “We have invested in a solutions factory (Tech Lab) in which our tech consultants and domain experts simulate customer business pain areas and create solutions for the same. Our initiative Sparsh provides continual improvement of our engagement and execution processes, and enables us to achieve more out of our efforts. We also ensure that we are not compromising on vendor interests.”
The future
Over the next four years, FutureSoft plans to grow its topline by 250 percent and its services business by a whopping 600 percent. The company expects to close the current fiscal at Rs 50 crore, clocking in a growth of 127 percent over Rs 22 crore posted in FY2009-10.
The company is looking at geographical expansion within the country. According to Datta, the company is also developing vertical-specific solutions and planning to target BFSI and government sector next. “Our corporate and sales operations are in North India currently, but we also have a well-established post-sales footprint in Mumbai, Chennai, Chandigarh, Hyderabad, Jaipur, Pune, Calcutta, and Bengaluru. We plan to increase our sales footprint beyond North India in the near future.”
Early this year, the ISO 9001:2008-certified company made an investment in a 4,000 sq ft network operations center (NOC).
It plans to start its automated managed services within six months and manage about 1,50,000 nodes and 7,000 servers by end of this fiscal.
Cloud computing and SaaS is another area that FutureSoft is considering investing in for the future. “Businesses are increasingly getting inquisitive about the cloud, especially with big players like Microsoft coming into the field.
We have received several BPOS inquiries in the recent past.”
People management
FutureSoft has divided its business into seven core operational divisions: reselling, logistics, finance, HR, pre and post sales, consulting, and strategic growth. The company has created a strong 10-member core team to ensure business continuity and succession. “These executives or business owners as we call them will ensure long-term success,” says Datta.
In addition to maintaining good employer-employee relations, Datta also believes in investing in customer-company relations. From time to time, FutureSoft organizes cricket matches between its employees and customers.
As the VP, ISODA, Datta actively focuses on educating partners on technology and best business practices, resolving disputes among members and creating awareness among public about usage of original software. Under the banner of ISODA, Datta has urged several MPs to raise questions during the parliamentary hour and bring about further clarity on the present tax related confusion.
The family man
As a son of an army officer and a school teacher, Datta has had a very grounded upbringing. He believes in striking the right balance between work and home. “I don’t work beyond office hours and don’t recommend any one else to.”
In his free time, the family man likes to take his daughters, aged 10 years and 6 years, on an outdoor adventure and tries to answer their endless questions. He completely agrees to the age old saying that behind every successful man there is a woman. “My wife Archana, a freelance voiceover and theatre artist, is a pillar of strength.” Keeping the romance alive, Datta whisks her off at least thrice a week for dinner or long drive.
Signing off, Datta reiterates his two-point agenda: focus on success and always face the bull by its horn. And that’s his advice to all the budding entrepreneurs. |