___________

Following is an excerpt from a report in Business Standard.

“Zensar has communicated that it is keen to start construction work on its development centre soon. The Orissa Industrial Infrastructure Development Corporation (Idco) has already given its in-principle approval to allot three acres of land to the software firm in the Infocity region of the city”, a top IT official told Business Standard.

Zensar Technologies plans to invest Rs 30-40 crore on its proposed software development centre. Initially, the centre would be run by a pool of 1,500 professionals but Zensar plans to make its Bhubaneswar centre the second biggest in the country after Pune where its centre is spread over 10 acres.

… Zensar has more than 4,000 employees in India and abroad. The company is rated among the top 25 software firms of the country by National Association of Software and Services Companies (Nasscom).

Meanwhile, other major IT investors have also renewed their commitment on their proposed projects in the city.

MindTree expects to kick off construction work on its Rs 200-crore development centre in the city by June this year. … its centre which would come up over 30 acres of land.

…  MindTree would initially recruit about 1,000 software professionals and eventually ramp up its headcount to 6000. Its development centre in Bhubaneswar will focus on R&D, consultancy and software development.

ICICI Bank, which had sought an extension of two years for its Rs 600-crore eastern regional hub, has been asked by the state IT department to start construction work by April.

ICICI bank’s eastern regional hub would have a built-up area of 1.5 million sq ft and it will have a pool of 15,000 employees in the long-run. The project is to be developed in phases over a period of six to seven years. Similarly, Genpact, which had announced a Global Delivery Centre in the city, has submitted a fresh building plan to the Bhubanewar Development Authority (BDA).

Genpact’s centre in the city will have a total built-up area of 7 lakh sq ft. Initially, Genpact would hire 500 people for running its operations and eventually, the headcount will be scaled up to 3,000.

Following are excerpts from a report in Business Standard.

While MindTree expects to kick off construction work on its Rs 200-crore development centre in the city by June this year, ICICI Bank, which had sought an extension of two years for its Rs 600-crore eastern regional hub, has been asked by the state IT department to start construction work by April.

… MindTree, a global IT and R&D services company, co-headquartered in Bangalore and Somerset in New Jersey (US), had entered into an MoU with the Orissa government in March 2006 for setting up its software development centre spread over 30 acres.

…  MindTree would initially recruit about 1,000 software professionals and eventually ramp up its headcount to 6000. Its development centre in Bhubaneswar will focus on R&D, consultancy and software development.

ICICI bank’s eastern regional hub would have a built-up area of 1.5 million sq ft and it will have a pool of 15,000 employees in the long-run. The project is to be developed in phases over a period of six to seven years.

Genpact Limited, the BPO (business process outsourcing) arm of the US-based General Electric which had announced a Global Delivery Centre in the city has submitted a fresh building plan to the Bhubanewar Development Authority (BDA).

“We are pursuing Genpact’s case with the BDA to expedite the company’s project”, the official said.

Genpact’s centre in the city will have a total built-up area of 7 lakh sq ft. Initially, Genpact would hire 500 people for running its operations and eventually, the headcount will be scaled up to 3,000.

On Raheja Corporation’s IT park, he said, land has been alloted but the company is yet to take physical possession of it. Mumbai-based K Raheja Corporation proposed to set up an IT park in the city over an area of 30 acres at an investment of about Rs 250 crore. This IT park would have a total built-up area of 10 lakh sq ft and it was scheduled to be commissioned within three years. The project would generate employment for nearly 20,000 people.

K Raheja Corporation had signed a MoU (memorandum of understanding) with the Orissa government in May 2008 and the IT park was scheduled to be commissioned within three years.

Following is an excerpt from a report in Business Standard.

Genpact, the BPO arm of the US-based General Electric, had aimed to operationalize its delivery centre in the city by the fourth quarter of 2009-10. But as things stand today, the project is unlikely to take off before March 2010. …

Initially, Genpact planned to hire 500 professionals for its delivery centre in the city and later ramp up the headcount to 3,000.

Genpact had so far only put up a boundary wall for its proposed centre which would have a total built-up area of seven lakh sq ft. Another IT firm MindTree Consulting Limited which had announced a software development centre in Bhubaneswar at an investment of Rs 200 crore is non-committal on its project.

MindTree was scheduled to commence construction work for its development centre in September 2008. The software firm had sought 30 acres of land for its development centre and it had a long-term manpower requirement of 5,000 employees.

Meanwhile, the projects of other IT investors like Zensar Technologies, ICICI Group, Raheja Corporation and Apeejay Surrendra Group were now put on the back burner, given the slump in demand for IT projects, the official added.

ICICI bank, which had announced to set up its eastern regional hub in the city in May 2007, is understood to have submitted a fresh building plan to the Bhubaneswar Development Authority (BDA) after the notification of the revised building norms by the authority. With a built-up area of 1.5 million sq ft, the eastern regional hub of ICICI bank will have a pool of 15,000 employees in the long-run. The project is to be developed in phases over a period of six to seven years at an estimated investment of Rs 600 crore. Similarly, Zensar Technologies was allotted three acres of land in the Infocity area of the city by the Orissa Industrial Infrastructure Development Corporation (Idco).

Following is an excerpt from a report in Economic Times.

IT consulting firm MindTree Consulting Ltd would the start construction of its proposed development centre here from April, official sources said.

MindTree Consulting is one of the four major firms which had proposed investment in Orissa’s IT sector, the others being Genpact Limited, ICICI Eastern Regional Hub and Wipro Limited.

According to Orissa’s Information Technology Minister S N Patro, MindTree Consulting Limited had proposed to invest nearly Rs 200 crore in its project here.

"While Wipro will invest Rs 100 crore in its project, ICICI Eastern Regional Hub proposes to spend Rs 500 crore here," the Minister said, adding that Genpact had proposed to invest Rs 200 crore.

Following is an excerpt from a report in the Business Standard.

ICICI Group’s eastern regional hub for back office operations, coming up at Chandaka industrial estate in Bhubaneswar, will be commissioned in 2009. This is one of the four regional hubs planned by the group.

“We expect the first phase to be commissioned in the next 18 to 24 months,  and, hopefully, the hub will be commissioned by the summer of  2009,” K V Kamath, managing director and chief executive officer, ICICI Bank, said.

Talking to newsmen after the bhoomi pooja (ground breaking ceremony) for the proposed hub, Kamath said the second phase is scheduled to be commissioned a year later if every thing goes right.

He said the hub will have a built-up area of 1.25-1.5 million square feet in the first phase, and will accommodate about 15,000 people.

The group had earlier signed an MoU with Utkal University and KITT for offering skill-enabling and vocational courses in the domain of banking, finance and insurance.

Kamath said about 10,000-12,500 people will be employed in the Bhubaneswar hub in phases.

Slowly more news about this is coming out. [Financial Express, Kalinga Times, Tathya.in 1,2,3 ]. Following are some salient points culled from various news articles. (More will be added as more news report come in.)

• Financial Express: The hub, which will come up on a built-up area of 1.5 million sqft n the Chandaka Industrial Estate of the city, will act as a centre or convergence of the bank’s activities, like call centre, ack-office operations for banking & insurance as well as sales and administration.
• Financial Express: The proposed hub would accommodate approximately 10,000 people in a phased manner and have the capacity to scale up the operations in future to a potential of 15,000 manpower.
• Fiancial Express: “ICICI Bank selected Bhubaneswar for its eastern regioanal hub after choosing Hyderabad and Ahmedabad for the southern and western hubs, respectively, because of the initiative taken by the Orissa government,” said Kamath. He said the first phase of the hub would be fully operational in two years and the second phase will be completed in the next three years.
• Kalinga Times: In order to ensure availability of skilled local manpower, the bank has already started working in a partnership model with two universities in Orissa. In this regard, a separate MoU was signed between the bank and Utkal niversity on the occasion for offering various skill enabling and vocational courses in the domains of banking, finance and insurance. … Later in the day, the bank signed another MoU with KIIT University for running of an e-Learning Centre like the one to be run by Utkal University.
• Tathya.in: Naveen also asked Kamath to facilitate the Institute of Entrepreneurship Development (IED) into a national level Centre of Excellence.ICICI has played a crucial role in developing EDI at Ahemadabad to a national level institute.Kamath promised to look into the matter, said sources.

Tathya reports that ICICI Bank will sign an MOU with Orissa government to set up a call center and back office operation for banking and insurance. This center to be located in Infocity will eventually hire 15,000 graduates from normal colleges. In terms of the number of people they will hire, this is a big deal; much bigger than the overhyped POSCO or Mittal deals. ICICI Bank will not use our mines; will not pollute our atmosphere; will not displace people; and will only need 12 acres and yet will hire 15,000 people. Orissa should be going after more such companies and less of the metal and mining kind.

Notes:

• Earlier in April this year ICICI Bank made a similar announcement with respect to Hyderabad.
• In 2005 ICICI Bank had planned for the eastern hub to be in Kolkata.
• ICICI Bank is different from the BPO company ICICI Onsesource which is now renamed as First Source.
• ICICI bank recently launched the ICICI Knowledge Park in Hyderabad.