business demands new age testing. new age

164 Pages·2017·5.95 MB·English

NEW AGE
BUSINESS DEMANDS
NEW AGE TESTING.
WITH QUALITY AND SPEED
CIGNITI TECHNOLOGIES LIMITED
ANNUAL REPORT 2016-17
Contents
Corporate Overview Reports Financial Statements
The World of Cigniti 04 Management Discussion Consolidated Statement
Corporate Information 15 and Analysis 31 Independent Auditors’
Report 94
Chairman’s Communiqué 16 Notice 39
From the Desk of the CEO 18 Board’s Report 49 Balance Sheet 98
Financial Highlights 19 Corporate Governance Statement of
The Age of Customers 20 Report 76 Profit and Loss 99
New Age Testing is IP-Led 22 Cash Flow Statement 100
Business Success in Notes 102
the Digital Age 26 Standalone Statement
Diverse Customers.
Independent Auditors’
One Cigniti. 27
Report 124
Our Success Stories 28
Balance Sheet 130
Statement of
Profit and Loss 131
Cash Flow Statement 132
Notes 134
Cautionary Statement Regarding Forward-Looking Statement
Certain statements in this annual report concerning our future growth prospects are forward-looking statements, which involve a number
of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. We have tried
wherever possible to identify such statements by using words such as ‘anticipate’, ‘estimate’, ‘expect’, ‘project’, ‘intend’, ‘plan’, ‘believe’ and
other words of similar substance, in connection with any discussions regarding future performance. We cannot guarantee that these forward-
looking statements will be realized, although we believe that we have been prudent while making the assumptions. The achievement of
results is subject to risks, uncertainties and even inaccurate assumptions. Should known or unknown risks or uncertainties materialize, or
should underlying assumptions prove inaccurate, our actual results could vary materially from those anticipated, estimated, or projected.
Readers should bear this in mind. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new
information, future events, or even otherwise.
NEW AGE BUSINESS DEMANDS
NEW AGE TESTING.
WITH QUALITY AND SPEED
New age businesses are digital in their true sense. The Age of Digital has mesmerized the
CXO’s of every industry and segment today to rethink and redefine their business strategies.
Characterized by the intrinsic ability to be driven by Application Programming Interfaces
(API), digital enterprises rely on analytics & intelligence. They thrive on the power of software
to hit the market at unprecedented speeds – which also becomes a critical factor for their
success. The world continues to be driven by digital and intelligent software. In an era of
business disruptions, board room agenda envisages software quality as a strategic business
enabler, differentiator, and market accelerator. Hence, successful Global businesses and
technology company leaders are consciously and persistently making the right investments
in ensuring software quality, as it accelerates the readiness to market.
Failing to foresee software quality as a strategic enabler for the success of a business can
prove disastrous. A single software defect is enough to put at risk the market capitalization,
brand reputation, and entire business model of an enterprise.
An independent study by Tricentis indicates that software failures globally impacted 4.4
billion people and 1.1 trillion assets in 2016*. On the other hand, an MIT Sloan study confirms
that early digital adopters have achieved 9%+ revenue creation, 26% impact to profitability,
and 12% market valuation.
Cigniti’s BlueSwanTM, a next generation Proprietary Testing platform, is aligned with the needs
of the market to navigate the turbulent waves of the digital era. Offering world class testing
services to businesses across diversified verticals, BlueSwanTM fortifies our IP-led software
testing services approach with Cigniti 4.0 services and domain-centric approach.
* Refer to ‘Software Fail Report: 2016 in Review’
Cigniti Technologies Ltd.
10 COMMANDMENTS OF QUALITY
ENGINEERING.
FOR NEW AGE BUSINESSES TO ACHIEvE MARKET

LEADERSHIP
In today’s world, new age business success parameters are defined by their ability to outwit competitors,
venture into niche business segment, and acquire a loyal & sizable customer base. Internet of Things (IoT) is
rapidly taking over businesses determining how they interconnect; it is becoming essential for enterprises to
incorporate Quality Engineering. Successful quality engineering hinges to the following 10 commandments of
application characterization that can be termed successful when these are met deterministically.
New Age Business Demands New Age Testing
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Corporate Overview Management Reports Financial Statement
10 COMMANDMENTS OF QUALITY ENGINEERING
SPEED QUALITY
• Delivering Applications with • Cornerstone of Application
Lightning Speed Endurance
• Cutting down the deliverable • Enablers of Business
Time to Da ys and Hours against Transformati on: Satisfy & Exceed
Months and Weeks the Customers Need
• Staying Agile
RELIABLE ROBUST
• 100% Reliable Applications • Defect Free Applications
• Highly Entrusted among Users • Deployable across Industry &
• Usable across Multiple Platforms: V erticles
Desktop, Web, Mobile, and Cloud • Manifold Impact to Enterprise by
Promoting Artificial Intelligence
and Machine Learning
SECURE SCALABLE
• New Age Business needs • Applications must meet the
Trustworthy Applications Exponential Growth in User
• 100% Safe Applications Traffic
• IoT Enable d Multiple • Offer C loud Computing with
Connectivity: Enterprise, Dynamic Workload in Real-Time
Gadgets, Devices, and Sensors Possibility
• Facilitate Performance
Engineering
ORCHESTRATED COMPATIBLE
• Automated Orchestration • Aptly Address the Complex
Capabilities is the Future Heterogeneity of Application
• API that Exhibits Seamless Landscape
Exchange of Information • Give Satisfactory Performance
• Software Validation that Ensures in a Single-Click while Accessing
Smooth Orchestration of Challenges across Diverse
Information Environments & Platforms
• Web services Testing Minimizes • Offer Automated Software
the Risk of a broken API Testing Capability
RELEvANT USABLE
• Roadmap to Business Success: • Customer Centricity Attracts
Relevant Application Satisfying Manifold Adoption
Business Needs and Offering • Social Sentiment Analysis
Increased Conversations, Usage, Captures Key User Experience
and High Productivity Indices Essential for Fruitful
• High Framework & Reliance of Business Outcomes
Quality Engineering • User Centric Quality Engineering
Approach Emerging as the One
Single Differentiator
To have all the above 10 commandments succeed, building human capital that specializes in enabling digital
transformation through quality engineering is a must.
Over the years, our New Age Software Testing Specialists have developed capabilities and competencies to
cater to the New Age Business demands. We have quality software geeks who are specialists by skill, explorers
in every sense, utopians by mindset, solvers by DNA, makers by training, and perceivers by nature. Our highly
committed team puts customer experience at the center ensuring the applications are reliable, robust, secure,
and usable.
Annual Report 2016-17
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Cigniti Technologies Ltd.
THE WORLD OF CIGNITI
Cigniti Technologies Ltd., headquartered at Hyderabad, India is the second largest independent software
testing pure-play Company by headcount - as per NelsonHall NEAT chart for Software Testing, 2016. Our team
of 2200+ professionals is spread across US, UK, India, Australia, Canada, and South Africa. We are the world’s
first Independent Software Testing Services Company to be appraised at CMMI-SVC v1.3, Maturity Level 5, and
we also are ISO 9001:2008 & ISO 27001:2013 certified.
Cigniti in Numbers
13
5
Countries -
Continents Global Presence
200+
Active Customers
42
2,200+
of Fortune 500
Human Capital
Diversified Clientele
Worldwide
Served
71
50

of Global 2000
of Fortune 1000
Served
Served
Our Edge
Cigniti’s key strengths lie in its 2,200+ professionals, IP-led innovation, and experience in working across
industries. We are betting high on our next generation proprietary testing platform called BlueSwanTM. It
consists of five elements: Verita, Velocita, Cesta, Praxia, and Prudentia that help Align, Assure, and Accelerate
the Digital Transformation journey of enterprises.
We also have a strategic partnership with leading tool vendors that helps us offer various solutions to our clients.
New Age Business Demands New Age Testing
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Corporate Overview Management Reports Financial Statement
Being Relevant in the Age of Continuous Testing and Digital
The new age business is often termed as the ‘Age of the Customer’. An age, where customers want applications
delivered right the first time. The age of customer also means that applications can either make or break with
the slightest window of opportunity that knocks the door. Hence, the age of customer calls for continuous
testing. A Forrester study confirms that unprecedented speed of software delivery has made quality and
speed a strategic pursuit for enterprises. Integration with Dev and Ops brings immediately visible acceleration,
while quality engineering along with continuous testing ensures market leadership. Leading global analysts
and researchers envisage DevTestOps as a phenomenon that will propel businesses whose customers are
scouting for first-time ready software.
Where speed and quality are not the usual..
FORRESTER RESEARCH APPLICATION DEVELOPMENT & DELIVERY PROFESSIONALS
AD&D Leaders Face Unprecedented Demand For Speed And Quality
Five Must-Do’s For Testing Quality At Speed
1960s Mainframe The demand for
speed and quality
1980s Client/server are
e
m unprecedented.
e ti 1990s The Web
cl
y
c
y
r
e 2010 The age of the customer
v
eli
D
Time Continuous
Specialized Automation Core Testing
1 ˇˇ SCelocuudrity 2 ˇˇ RPeergfroersmsiaonnce 3 ˇˇ FEunndc-ttioo-nEnald A Ccocmepptaatinbceility
ˇ Globalization ˇ Whitebox ˇ System Integration Usability
ˇ Mobile ˇ Web Services/API/SDK
Based on a study conducted on Testing must be continuous and
integrated with development and
149 IT professional from organizations:
operations
Automation
Dev Testing Ops
Agile testing forces
1) Waterfall Dev Testing
new testing practices,
Dev(Test)Ops
and clients Dev Ops Ops
don’t do well Testing
2) Agile 3) Continuous Delivery
Source: 2015Forrester SurveyReport
Annual Report 2016-17
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Cigniti Technologies Ltd.
Business Highlights
Operational Highlights
Leadership Announcement
• Mr. Srikanth Chakkilam, Executive Director, has taken over as CEO of Cigniti Technologies.
• IT Industry Leader, Mr. Phaneesh Murthy joined Cigniti Technologies as a Non-Executive Director.
New Client Wins in FY17
153 14 11
New Clients Global 2000 Fortune 500
Companies Companies
Launch of BlueSwanTM
Salient features
• Next generation proprietary testing platform
• Aligns to cater to the growing digital needs of enterprises
• Key enabler towards being the leader in independent software testing service
• Fortifies our IP-led software testing services approach along with the Cigniti 4.0 services and Domain
centric approach for offering world class testing services to business across the different verticals
• Accelerates Quality Engineering for the digital enterprises
Analyst Mentions for BlueSwanTM
• Forrester
BlueSwanTM is a key ingredient of Cigniti’s Continuous Testing Services
• Everest Group
Cigniti’s BlueSwanTM solutions is a key platform enabling Quality Engineering and
DevOps
• Gartner
BlueSwanTM is a key strength differentiator in Cigniti’s Application Testing Services
New Age Business Demands New Age Testing
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Corporate Overview Management Reports Financial Statement
Analyst Mentions
Cigniti continued its spree of Analysts recognition for the Financial Year 2016-17. It has reinforced our ability to
provide World-class testing and Quality Engineering services to clients across the globe helping them succeed
in their Digital, Agile, and DevOps transformation initiatives.
Cigniti is proud to be positioned in the Gartner’s Magic Quadrant for Application Testing Services, Worldwide
for 2 years in a row.
Positioned as a ‘NICHE PLAYER’ in 2016 Magic Quadrant#
CHALLENGERS LEADERS
Wipro
Cognizant
Infosys
Tata Consultancy Services
Capgemini
Accenture
Tech Mahindra IBM
Hewlett Packard Enterprise SQS
CGI
Deloitte
Cigniti Technologies
Atos QualiTest Group
NTT Data CSC
Applause
E
T
U
C
E
X
E
O
T
Y
T
LI
BI NICHE PLAYERS VISIONARIES
A
COMPLETENESS OF VISION As of November 2016
#Gartner Positions Cigniti Technologies as a ‘Niche Player’ in 2016 Magic Quadrant for Application Testing
Services, Worldwide.
Cigniti is mentioned as a Sampled Cigni is men oned as a Sampled Mentioned and sampled in the "Market
Vendor in the New Hype Cycle for Vendor in the New Hype Cycle for Full Trends: Application Testing Services Must
DevOps that Gartner has released CycleA pplica on Services-Hype Cycle Address the Shift to Digital Business
(Hype Cycle for DevOps, 2016 for Applica on Services, 2016 Requirements”- Published:
Published: 26 July 2016 Analyst(s): Published: 12 July 2016 Analyst(s): 4 May 2016 Analyst(s): Susanne Matson.
David Paul Williams, Nathan Wilson). Frances Karamouzis.
Hype Cycle for DevOps Hype Cycle for Applica on Services Market Trends: Applica on Tes ng
Hype Cycle report recog nizes our DevOps story, Ge ng featured in this report strengthens and ServicesMust Address the Shi to Digital
the proprie tary De vOps dashb oar d IP we built. shows our posi oning as a vendor who has been Business Requirements
consistently counted to be along with the Tier 1 Cigni Technologies has been posi oned as a
full cycle providers like CTS, Accenture, Pure-play tes ng provider with strong revenue
CapGemini, Infosys, TCS. growth over recent years; heavily leveraging
India-based delivery.
Mentions (Hype Cycle for DevOps, Application Services + Market Trends: Digital) 2016
Annual Report 2016-17
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Cigniti Technologies Ltd.
Cigniti has been positioned as a ‘Star Performer’ and ‘Major Contender’ in the Everest Group PEAK Matrix™ for
Independent Testing Report, 2016. The Everest Group has once again conferred Cigniti with the ‘Best in Class’
rating for ‘Buyer Satisfaction’ in the Service Provider Assessment.
Everest Group Performance | Experience | Ability | Knowledge (PEAK) Matrix for independent testing services
75thpercentile
High
Leaders
Cognizant Leaders
,h Major Contenders
tw Accenture Wipro Aspirants
org ,eu Major Contenders IBM InfCosaypsgeminiTCS centile Star Performers
sseccus tekraMnever secivres gnits)noitpoda esirpretne centile SEyPnAteMl DeMll SinedrtvrCeicSeeCs AtosLV&iTrtT uInesfcaHohPCt eoMLcla ahTrhiesincdhrnaologies thper75
et tn dna per Aspirants Cigniti
ed th5 Hexaware QualiTest
n 2
e
p
ed Luxoft Softtek
n
I(
Low
Low 25thpercentile High
Independent testing services delivery capability
(Scale, scope, domain expertise & innovation, delivery footprint, and buyer satisfaction)
Source: Everest Group Independent Testing Services - PEAK Matrix™ Assessment, July 2016
Cigniti Technologies is recognized as a Leader by NelsonHall, in the Pure-Play market segment in the NEAT
report for Software Testing, 2016. Cigniti has also been identified as a Leader in the Overall, Digital, and
Consulting market segments.
Software Testing Software Testing
Digital Focus Consulting Focus
High Achievers Leaders High Achievers Leaders
Capgemini Capgemini
Tech Mahindra
Accenture SQS Mindtree Infosys TCS IBMAccentureSQS
TCS
Atos
Atos
IBM
Cognizant
mmediate benefit Dell Services NIIT THecehxawVairretusaQCouCgaAilngim iTnczeidastscniottcs mmediate benefit QuDalei lTle SMsetirnvdicterese CignitiOlenickCibeCrSCInfoNsTyTs ADmatdaocs Tech Mahindra
Ability to deliver i CSS Corp NTT DataCiber LQ&OAT lIIennnffooicttekecchh Ability to deliver i CSS CorpL&T InfotHNeceIIhxTa Twecahre QA InfotechVirtusa
internal use only internal use only
Major Players Innovators Major Players Innovators
Ability to meet future client requirements Ability to meet future client requirements
Source: NelsonHall 2016 Source: NelsonHall 2016
Source: NelsonHall Software Testing NEAT Charts, July 2016
New Age Business Demands New Age Testing
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