Presentation on the enterprise product startups from india

2. Who We Spoke to?
Top IT decision-makers at
well-known companies
• Adhunik Group
• Apeejay Surrendra
• Bangalore International Airport
• Essar Group
• BPCL
• LG India
• Mahindra & Mahindra
• Reliance Life Insurance
• Texmaco
• Welspun Group
Start-up companies at
various stages of evolution
• Barksteel Systems
• Covacsis Technologies
• Logistimo
• MobileOne India
• Moxtra
• Rezopia
• RsalesArm
• Seclore
• Unmetric
• WittyParrot
We have interacted with 300+ product companies last year in the
enterprise solution eco-system
EXAMPLES

3. What kinds of start-ups are we are seeing…
3%
15%
82%
App Development & Deployment
Infrastructure solutions
Application Solutions
Source : Helion analysis

4. ..and are at an early stage of evolution in the
enterprise start-up ecosystem
9%
6%
49%
27%
9%
More than 6 years
4 to 6 years
2 to 4 years
1 to 2 years
Less than 1 Year
Age of Company
6.0%
15.2%
21.2%
27.3%
30.3%
More than 100 people
51 to 100 people
26 to 50 people
10 to 25 people
Less than 10 people
Employees
As per Helion data, ~85% companies are in the seed to early stage

5. Enterprise IT buyer perspective…
1. Few enterprise functions are currently world class in
terms of technology adoption
2. Customer facing functions and IT are likely to derive
the maximum benefit from new solutions
3. Mobility and related activities top the enterprise
agenda
4. Reliability and support are the key concerns in
purchasing solutions from early stage businesses
5. Most IT leaders are willing to evaluate solutions from
young businesses, but hesitant to buy

6. How IT Savvy are Business Units?
3.8%
4.7%
7.4%
9.1%
9.3%
9.4%
10.2%
11.5%
16.0%
16.4%
Other departments
Admin & Facilities management
Supply Chain
HR & People management
Marketing & Business Development
Sales
Finance
Planning
Service Delivery
Manufacturing
Note : Represents % of respondents who thought functions were world class

7. Which Departments Need Innovative Solutions?
63.2%
65.3%
72.0%
72.1%
73.6%
78.0%
78.8%
80.7%
81.6%
81.8%
89.7%
Manufacturing
Other departments
Admin & Facilities management
Planning
Finance
Sales
HR & People management
Marketing & Business Development
Service Delivery
Supply Chain
Information Technology (IT)
Note : Represents sum of most likely and somewhat likely responses

8. What Tech Trends are ITDMs watching?
53.0%
56.1%
57.0%
60.2%
69.8%
72.9%
73.2%
75.6%
77.5%
79.3%
80.9%
86.4%
Use of personal clouds by employees
Enterprise services delivered from public clouds
Social Technologies for the enterprise
Hybrid cloud solutions
Private cloud solutions
Enterprise Collaboration solutions
BYOD
Business Analytics & Big Data solutions
Enterprise Mobile Apps
Enterprise Security solutions
Virtualization technologies
Mobility & Mobile Solutions
Note : Represents sum of most likely and somewhat likely responses

9. How do ITDMs Select Solutions?
41.4%
51.1%
55.1%
55.6%
56.7%
58.4%
63.3%
64.4%
65.6%
74.4%
76.7%
77.8%
Customer references
Capital cost of solution
Compatibility with existing infrastructure
Support for latest technology trends
Compliance with standards
Lifetime cost of solution (TCO)
Upgradability & Scalability
Operational cost of solution
Technical specifications
Quality, reliability & performance
Vendor support
Features and functionality
Note : Represents most important reasons only

10. Will ITDMs Give a Start-up a Chance?
13.6%
26.1%
60.7%
63.6%
65.2%
Invest in a full implementation of the solution
Invest in limited implementation of the solution
Conduct an evaluation or review
Implement a POC or trial implementation
See a demo
Note : Represents very likely responses only

11. CEOs creating enterprise solutions say….
1. There are elements of „India advantage‟ in the cost of
development, implementation and support
2. North America is frequently the primary target market
3. Customer-facing functions have the biggest need, and
see their solutions adding most value there
4. Sales and product management are the most critical
areas for success
5. Access to “right people” and low risk appetite among
enterprises are big hurdles

12. The India Advantage for Enterprise Solutions
12.2%
30.3%
45.5%
51.5%
54.5%
60.6%
60.6%
63.6%
63.6%
63.7%
72.8%
72.8%
78.8%
84.9%
Ease of funding in India
Infrastructure support in India
Size of market in India
Similarity with other global markets
Types of problems in India
Previous relationships with prospective buyers
Complexity of problems in India
Cost of inside sales
Ease of pilot testing
Scale or size of problems in India
Availability of technical skills in India
Cost of solution implementation
Cost of solution development
Cost & ease of providing support
Note : Represents high and medium advantages

13. Target Markets for Enterprise Solution Start-Ups
9.10%
9.10%
12.10%
12.10%
18.20%
21.20%
24.20%
39.40%
60.60%
72.70%
SAARC
Africa
South America
Australia
Middle-East
West Europe
APAC
Global
India
North America

14. Which Business Units Will Benefit from the
Enterprise Solutions?
12.10%
12.10%
18.20%
24.20%
24.20%
33.30%
33.30%
45.40%
45.50%
51.50%
66.70%
Other
Manufacturing
Administration & Facilities Management
Finance & Accounting
Corporate Planning
Supply Chain (procurement, distribution)
HR & People management
Service Delivery
IT
Sales
Marketing & Business Development
Note : Represents high benefit departments only

15. The Most Important Skills for a Start-Up
2.6
2.7
2.9
3.3
4.2
5.2
Customer service
Delivery & Implementation
Engineering management
Marketing
Product management
Selling abilities
On a scale of 1 to 6, where 6 = Highest

16. Hurdles in Selling to an Enterprise?
3.00%
6.10%
9.10%
15.20%
24.20%
30.30%
30.30%
33.30%
45.50%
51.50%
54.50%
69.70%
Identifying prospective customer organizations
Regulatory issues
Commercial terms or licensing models
Limitations of existing corporate infrastructure
Existing corporate policies
Cost/difficulty of conducting POC/trial implementations
Getting an opportunity to demonstrate the solution
Lack of track record or customer references
User mindsets or existing work processes
Low risk-taking nature of CIOs
Reaching the right people within an organization
Decision-making hierarchy in organizations
Note : Represents high priority issues only

17. Questions for discussion…
1. Is there any „India advantage‟ in creating product companies from
India? If so, where does it lie and how strong is it? Does it make any
specific classes of companies more attractive?
2. Most companies end up targeting the US. Should start-ups focus on
the western markets right from the get go? Can one build a scalable
software company focused on India or emerging markets?
3. What needs to change in the investor approach to enterprise product
companies?
4. World class enterprise products (competitive with the best globally)
coming out of India are still in low supply. Do you agree? Why? What
can be done to change this?
5. Is feet on the street dead? What are the sales models working now?
6. Where should the core of the company be in case US is the primary
market – should the founder(s) move to the US? Are there any other
functions that need to reside in the US?