Details of Conservation of Energy, Technology Absorption, Foreign Exchange Earnings and Outflow
[Clause (m) of sub-section (3) of Section 134 of the Companies Act, 2013 read with Rule 8 of the Companies (Accounts) Rules, 2014]
(A) Conservation of Energy: Workplace forms a key pillar in implementation of best practices in Ecological sustainability. Your Company prioritizes adoption of sustainable programs to continuously optimize costs and reduce carbon emissions. Your Company during the FY 2017-2018, used over 2.51 million units of Solar Power at Mindtree Whitefield Campus, which constitutes over 69 % of the total power demand of that campus, resulting in the reduction of cost by ₹ 5.26 million and 2,181 tons of carbon emissions for FY 2017-2018. With an aim towards power conservation in operation and maintenance of the facilities, best practices were implemented through which your Company was able to save over 18.13 lakhs units per annum with a net cost savings of over ₹ 14.51 million. Your Company has contributed in a reduction of 1,605 tons of carbon emission towards the power saving of 18.13 lakhs unit. Solar water heating system were implemented which helped in avoiding the usage of electricity by 3.10 lakhs units, reduction of cost by ₹ 2.19 million and reducing the carbon emission of 284 Tons for the FY 2017-2018. To maintain ecological balance and to ensure the adherence of your company’s EHS policy, many initiative towards water conservation, such as rain water harvesting, rain water earth charging, usage of aerator, methodology to control required flow of water, usage of sub-soil water are initiated which helped in reducing the water consumption by 6,694 KL (from April 2017 to March 2018).
(B) Technology Absorption: Your Company has more than 17 years of proven track record of its commitment and investments into technology and innovation as a key differentiator. In this Financial Year, your Company has further sharpened its focus on Strategic & Emerging technologies and innovation, leading to differentiated business engagement with its customers.
I Emerging Technologies
Your Company has consistently invested in technology and innovation to prepare for the future. In this Financial Year, this has been further strengthened by our investments in Centers of Excellence (CoE) under Chief Technology Officer (CTO) organization, tasked with all round concerted thrust on emerging technologies and to understand their role in the context of business of customers. In these CoEs, the following emerging technologies were explored in depth and several reusable assets were built to enable delivery.
Internet of Things
Your Company recognizes that Internet of Things (IoT) will be an area of focus for many of its customers. Your Company has therefore invested in building capabilities in device engineering, IoT specific protocols and application development. Your Company has created horizontal solutions for ‘Remote Monitoring of Assets’, and ‘Employee location sensing’. These solutions are targeted at factories and premises. Your Company has also invested in building hardware solutions to integrate with multiple wired and wireless systems, to sense location indoors and outdoors, and to enable long-range communication. Your Company already has established credentials in the space of Short Range Wireless Communication, and In-vehicle systems. These investments will enable your Company to build and position IoT solutions for its customers and prospects in all its verticals in the areas of Smart Factories, Smart Premises, Connected Travelers, and Connected Vehicles.
Your Company is involved in crucial solution integration and value added reselling partnerships with industry leading IoT PaaS platforms such as ThingWorx™, Microsoft Azure™, IBM Watson IoT, and AWS IoT.
Cognitive Computing and Deep Learning
Under the CTO organization, your Company is working on Deep Learning and Cognitive computing to extract information from unstructured text and address vision tasks. In a world growing increasingly mobile and visual, your Company is working on “Visual Search” and on enabling discovery of items in images. Your Company is working on technologies that would help unlock the value of images by making items within an image as “clickable merchandise”. Your Company is focusing on Deep Learning and related technologies to better understand content, infer context and develop solutions that provide more relevant personalized experiences. These would be used as building blocks for next-generation retail and digital solutions. Your Company is working on using Deep Learning and Cognitive Computing in various domains such as Travel, Retail, and Education, to predict behavior of consumers, and to personalize solutions. To enable faster machine learning, the CTO organization is making investments in state-of-the-art GPU based systems.
Conversational Applications The way users interact with systems is evolving, and now, interaction through conversation or chat, is becoming increasingly adopted. This way of interacting, called Conversational Applications, is an area that is expected to become more established, with companies such as Facebook, Google, and Microsoft providing platforms on which to build such applications. Your Company is investing in building frameworks and capability on conversational applications, using platforms such as Microsoft Bot Framework, Microsoft LUIS, Facebook Messenger, and Google’s API.ai. Your Company is also investing in integrating these conversational capabilities with its other capabilities on Automation to be able to build automation solutions that use conversation as a way to interact with systems such as ticketing software.
Tools and Technologies:
- MindFlow: A Mindtree’s Conversational Platform, that can Integrate, Orchestrate and Automate with different NLP/ NLU engines, ability to integrate deep learning and machine learning algorithms for business users to create specific domain conversational apps for B2E, B2C and B2B bots. The vision of this platform is to ensure;
- a. Faster go to market;
b. Easy maintainable;
c. Reduce dependency on Developers;
d. Enhance customer experience.
- MACI: Chat bot on peoplehub for Mindtree Minds, has 7000+ users, 40234 queries answered & 32% workload reduced.
- Voice Bots: Seamless integration with Alexa, Google Home, Cortana and Cloud IVR Application
- Microsoft Technologies, C#, Html5, AngularJS
- MongoDB, MS-SQL
- NLP/NLU: RASA, LUIS, DialogFlow, Wit.ai, LEX, QnAMaker
- Redis cache
- Azure hosting
AI, Machine Learning & Deep Learning
- POCs/Pilots: We have worked on 36 POCs/Pilots in areas of decision augmentation, virtual agents, process optimization (non RPA), product intelligence and smart bots.
- Advanced Learning Engine : An accelerator to do ML modeling, testing and deployment to any platform. Pre-trained models that can bootstrap implementations in several areas like sentiment analysis, entity extraction, service ticket classification, intent classification.
- Process Optimization: Extend the RPA system to include intelligent automation using ML via., Artificial Neural Net Framework. Built a ML Dispatcher which learn to triage service tickets and route to the appropriate RPA bot or support engineer. It has helped 4 FTEs to focus on higher value tickets and saved $112,000 per year.
- Structuring of Unstructured Data: Helped client to classify the documents and extract entities from the documents even if the placement is different across documents. Deep Neural Network model has increased document classification accuracy and helped in extraction of text from scanned documents.
- Loyalty rewards with receipts: Helped in receipt validation and product mapping to help client in providing loyalty based discounts to the customers. It involves structuring unstructured receipt data to identify product and variance from retailer and product mapping using a robust MDM
- Image based product search: Provides a completely new, visual way to search for items in a catalogue. Provides contextual search and similar experience of assistance from a knowledgeable store associate
Tools & Technology
• Emphasis on open source tools & platforms
• Platforms: TensorFlow, Keras, Pytorch, Caffe and others as applicable
• Technology: Deep Neural Networks
• Language: Python
Your Company recognizes that Automation is a business imperative as it is becoming ever so critical to achieve enhanced efficiency, improved productivity and higher quality while realizing significant cost savings and automation will be a big disruptor in the IT industry. Your Company is therefore working on building solutions for automating various aspects of IT such as build and deployments, cloud management, infrastructure monitoring and management, support and defect triage, problem resolution and robotic process Automation. Your Company is investing on building a strategic platform, CAPE (Composable Automated Platform for Enterprises) to rapidly bring together multiple automations at various stages of Enterprise IT lifecycle and integrate them. Your Company is also investing on integrating its work on autonomous computing and cognitive technologies such as Machine Learning and Deep Learning, to be able to achieve intelligent automation systems with capabilities like self-healing and inherently becomes adaptive.
Blockchain is a new technology that can change how multi-party transactions happen in Banking, Finance, Logistics, and Energy. Blockchain can significantly change how business partners interact with each other, and can create new business models around disintermediated transactions. Your Company is investing in Blockchain technologies such as Ethereum and Eris, and in building solutions utilizing these technologies in the areas of smart contracts. Your Company will therefore be well positioned to embrace this technology as it becomes mainstream.
Augmented Reality and Virtual Reality
In the world where physical and virtual entities are integrated, Mixed Reality, Augmented Reality and Virtual Reality will become the next way of interacting with our surroundings and information systems. Augmented Reality provides a way to superimpose information on things as we look at them, and Virtual Reality is a way to interact with systems in 3D. Your Company is considering that this is the next wave of user interaction, and is therefore investing in building capability in these areas. Your Company is investing in building skills in technologies such as Google VR, and Microsoft Hololens. Technology contributions include the following:
As software systems become increasingly complex, and as more and more mission critical tasks require such software systems, it is essential to build systems that are resilient to failure. Your Company recognizes that this requires both engineering discipline and framework for building systems that are fault tolerant, and self-healing. Your Company is investing in building frameworks for Autonomic Computing, which will enable your Company to build robust, mission critical solutions for its customers.
II. Emerging Architecture Patterns and Technologies Your Company has been building capabilities and reference implementations using Microservices architecture using actor based reactive programming model. Your Company also invested in building new-age web applications using MEAN architecture. Your Company also invested in building capabilities & solutions using Client-side technologies like Angular, Polymer, ReactJS, Ionic and Cordova. Your Company also recognizes Big Data as being critical to new, data intensive applications, and recognizes that it is essential to architect systems that are able to deal with data at scale. Your Company invested in building capability in architecture patterns that deal with both big data in batch, and in real-time. Your Company has also invested in serverless-architecture. Future Microsoft Technologies Your Company also invested in building capabilities and solutions using emerging Microsoft technologies like ASP.Net Core, QSharp, SQL Server 2017, Microsoft Teams, Azure ML, Azure Functions and Containers and working towards architectures like Mesh App which follows API First design.
Solutions for Verticals and Service Lines: Banking and Financial Services Under the BFS practice and packages organization, your Company is working on using innovative technologies to solve challenges in niche areas in the banking and capital markets value chain. In this Financial Year, your Company has focused on the developing solutions in disruptive technologies aimed at helping banks and financial institutions address regulatory obligations and other path breaking solutions in the banking, securities and payment industry. These investments are starting to yield results and we are seeing traction with our clientele and analyst interactions.
- Decision Moments-AML: Mindtree’s Decision Moments is a data analytics platform to apply continuous learning algorithms to large data pools. We have used this innovative sense-and-respond system to help companies to uncover compelling insights that improve over time and create more value from their digital transformation. The ‘AML’ app in Decision Moments helps Banks in analyzing the customer transactions & identify suspicious transactions (which could be related to Money Laundering) using Exploratory & Predictive Analysis techniques.
- Corporate Action AI: Mindtree’s BFS practice, in collaboration with CTO team, has created a AI solution which automates the process of scrubbing corporate action notification to generate a golden copy. It uses Deep Neural Net model for identifying and classification based on unstructured document content. It identifies key fields related to corporate action like dates and entitlements by using custom deep learning model trained to recognize entities.
- Chatbot: Mindtree’s BFS practice, in collaboration with the Digital team, has created a chatbot solution that helps banks, credit card providers and credit rating agencies to service customers in a digital just-in-time interaction mode. This solution is built using Microsoft Luis framework technology and hosted on the Azure platform. This can be integrated with Facebook and Skype Bot framework. The chatbot POC showcases general FAQ answering capability as well as the authentication feature for answering customer confidential information.
- Client Onboarding-RPA:The current process of on-boarding customers in the Financial Services industry are disjointed and resource intensive. BFS CoE has created a RPA powered client onboarding solution that automates the onboarding process. Incomplete mandatory fields are scanned through OCR and inserted in the relevant fields and automated confirmation or incomplete alert notifications are sent to customers and relevant service representatives.
- Corporate Action-RPA:The automation of corporate actions processing is a textbook example of the overlap between external standardization, process harmonization and technology innovation that is necessary for operations professionals to achieve real progress. The solution aims at automation of the corporate action lifecycle. The various tasks involved in the lifecycle scrubbing of CA Announcements, Notifications generation, Calculation of eligibility and entitlements, sending instructions and generate accounting entries. The solution is implemented using Automation Anywhere.
- Securities Lending RPA: The solution aims at automation of the securities lending process. The solution uses Automation Anywhere to automate and minimize human intervention in the various tasks involved in the lifecycle including initiation, risk management, short sale negotiation, settlement, collateral substitution and addition, recall and guarantee. The solution will bring in cost savings by improving efficiency in the securities lending process.
- Portfolio Management Solution: The Portfolio Management Application is a web-based portal and application for Asset Managers to manage their assets and portfolio, perform functions to do their day-to-day activities smoothly and to enable the sales and marketing team to provide services to their clients. The solution aims at identifying user personas to this application, map user journeys, develop focus groups and heat maps for information distribution. The solution aims at visualizing the ideas and thought process behind the next generation Portfolio Management application.
Solutions for Verticals and Service Lines: Infrastructure and Managed Services
The Infrastructure solutions for customers include:
Your Company has invested in MWatch, an integrated IT infrastructure management and service delivery platform that gives a consolidated end-to-end view of the customer’s IT landscape for both infrastructure and applications running either in an hosted/on premise datacenter or public (Azure, AWS)/private cloud. Your Company continues to enhance MWatch to add capabilities like application monitoring, monitoring on Cloud, etc. It is also a very powerful enabler of Automation of a variety of tasks to enhance engineer productivity. With its capability to optimize IT performance, it helps customers to not only reduce the operational cost but also reduce the downtimes. Its integration bridge capability allows Mindtree to protect and leverage customer’s existing tools and consolidate and store different IT datasets into a single IT Ops data repository.
Your Company recognizes that for managing IT operations, managers look at a multitude of data sources like, ticketing tools, text data, and log data across multiple products. To make available meaningful & actionable information in a timely manner, your Company has built imPulse (infrastructure management Pulse), for IT managers. This allows for traversing from a macro view of operations to drill down to the last element of delivery. imPulse runs in key projects, collects inputs from various ticketing tools such as ServiceNow, SalesForce, MWatch, ITRP, SDE, etc., and provides timely, insightful operational metrics. imPulse has been made available to customers as well.
D-Engine is a stack orchestration and maintenance tool, which automates CI/CD for applications with the underlying infrastructure provisioned through ‘Infrastructure as Code’. DevOps driven automation projects are normally complex and require multiple teams to handle operations, driving up costs. D-Engine steps ahead of these issues using a ‘No Ops’ approach, with complete automation handling of project operations. D-Engine also provides centralized control to manage all the resources, independent of on-cloud (AWS, Azure and GCP) or on-premises (AzureStack, OpenStack and VMware).
Practices and Service Now Accelerators
Solution Accelerators – Readily Available
Solution Accelerations – Future Roadmap
Solutions for Verticals and Service Lines:Digital Your Company is continuing to invest in building Digital solutions across industries and business functions. Some of these solutions are listed here:
Solution Accelerators in Digital Marketing Decision Moments for Marketers Mindtree and Adobe have embarked on a joint initiative for marketers to deliver personalized experiences across touchpoints to gain customer knowledge, improve serviceability and drive loyalty. Adobe Experience Cloud will be powered by Mindtree’s data science platform, Decision Moments to influence and engage customers at multiple micro-moments across channels in their purchase journey. Marketers can effectively measure the value delivered from their investments and track the effectiveness of their campaigns with a test and learn approach. Decision Moments will be the customer data hub of Adobe Experience Cloud to integrate, consolidate and manage online, offline and third-party data to provide a single view of the customer for identifying and targeting high value – high fidelity customers.
Production accelerators for Sitecore
A rich set of components and site templates built on Sitecore 9 & Azure to help our customers reduce cost and time-to-market. A joint go-to-market strategy with Sitecore, supported by Microsoft, makes it a win-win model.
Drupal - DevOps & deployment kit
A developer starter kit for Drupal 9 that includes best practices, reference implementations & DevOps aimed at improved productivity at consistent quality
Headless Commerce (B2C)
- We have used AEM as the store front for handling all order capturing ecommerce flow for Hybris 6.2.
- The functionality include catalog upload/real time price call / inventory call, Order placement, Catalog browsing
- We have implemented same with WCS 8 also
- Bringing the end to end ecommerce flow to chat bot using conversations
- Support – Product browsing , real time price, User authentication, Check out and After sales
- Support in FB and Skype also
- Seamless customer order flow from DTC platform
- Integrated order management system
- Scalable to support multiple types of orders, quantities, and configurations
- Pick and Pack Fulfillment
- Reverse logistics and return processing
- Inventory Management and Low Stock Alerts
- Dedicated Customer Service representatives
- Warehouse and storage options available
Solutions for Verticals and Service Lines: Integrated Services
On June 21, 2017, Your Company formally introduced Integrated services through a well-rounded campaign with a global press release, a series of social media posts on LinkedIn, Twitter & Facebook and with widespread internal communication. The Launch aimed to spread awareness amongst Mindtree’s customers and social media followers about how in an era, where Digital is dramatically speeding up the pace of doing business, Integrated Services helps IT leaders to run core operations more nimbly while reducing cost and investing more in “grow the business” projects. As a part of the Integrated Services launch campaign, Integrated Services E-books and Blogs were shared over Email with potential clients.
Mindtree’s Integrated Services
Your Company’s solution facilitates Continuous Integration, Continuous Automation and Continuous Delivery, across the full IT stack including – Development, Application Management, Infrastructure, Testing and Packages, thereby creating tighter alignment to the business to deliver the results of faster time to market, better quality releases and reduced TCO.
Your Company’s Integrated Services approach uses the following key solution themes:
- Integrate the IT lifecycle phases through Mindtree’s unique Integrated Service Delivery framework
- Adopt an enterprise-wide unified DevOps approach (Agile and DevOps across the IT lifecycle)
- Drive LEAN and automation across and within the lifecycle phases of Build, Test, Maintain and Run
- Enable a culture of integrated feature teams and move towards full stack (cross skilled) engineers
- Provide real-time visibility of change and run pipeline through your Company’s in-house developed meta-platform CAPE.
Integrated Services powered by CAPE
Mindtree CAPE, is a customizable plug-and-play platform built by your company to integrate the enterprise technology landscape and accelerate the automation journey. In order to enhance the enterprise capabilities several new tools have been integrated with CAPE. Few of the tools and capabilities integrated are listed below:
- New Added capability to automate Mobile Application deployments
- Enhanced Dev-Ops capabilities by integrating new marquee enterprise grade COTS products with CAPE
- Auto-Scaling and Auto healing capabilities, making the platform micro services ready
Your Company also demonstrated integrated services delivery & CAPE enabled automation to one of the leading American consumer goods company recently. This was achieved by harmonizing the existing end-to-end toolchain in the IT lifecycle, for business critical Digital Marketing portfolio of applications with key drivers to increase productivity and ability to deliver faster.
Value & Benefits
- Visualization of the end-to-end value stream at one place, with unified dashboard for meaningful Insights and actions
- Increase in story points delivered per sprint (observations needed for a few more releases, before finalizing inferences)
- Faster feedback loop, lowering waiting time between teams.
- Self-service deployments, more autonomous scrum team using workbench automation enabled by CAPE
- Cross-skilling, better utilization of resources – enablement towards full stack engineers
Your Company also launched Integrated Services for Duck Creek – an insurance industry product and Digital marketing solutions which offers a differentiated way of managing end-to-end IT services and aims to provide a superior digital experience supported across devices. The solutions helps to get a unified view across the IT lifecycle through a platform led approach using CAPE accelerator with pre-built Integrations between Duck Creek/ Digital marketing components and other tools in the CI/CD toolchain to deliver the results of faster time-to-market, better quality releases and reduced Total Cost of Ownership (TCO).
III. Platform Solutions
Your Company’s Platforms & Solutions Group (PSG) provides SaaS and mobile enabled intelligent platforms to help clients provide better experience to their customers and employees, and improve the operational efficiency. The current portfolio has mix of industry focused and cross industry platforms:
- IoT platforms suite: Your Company has adopted a multi-dimensional approach to IoT that involves monitoring and analytics across sensors and cameras. We have augmented your Company’s Gladius Video Management Platform to reposition it as an IoT Platform that forms the foundation for 3 state of the art systems:
- Gladius Digital Surveillance: Your Company’s Gladius Video Management & Analytics Platform is transforming security, safety and surveillance space with advanced analytics, and on-cloud storage and analytics. Its value proposition of creating a central intelligence backbone over existing cameras and other security infrastructure is resonating well in almost all industry segments. Its advanced analytics is also helping critical infrastructures provide enhanced safety of employees and visitors.
- Gladius IoT: The Smart Facilities platform adopts the open and intelligent approach to optimize facility management costs in distributed commercial buildings with disparate legacy infrastructure. It connects with sensors and systems like building management, water management etc. to improve energy efficiency, reduce maintenance costs and provide enhanced safety and security.
- Flooresense In-store Analytics: A store associate platform that increases in-store conversions, builds customer loyalty and helps in better shopper engagement. It does all these by leveraging the existing video cameras and IoT sensors at stores to provide real time recommendations about shoppers’ needing assistance at the shop floor without identifying them. Flooresense also provides analytical insights on shopper’s journey such as heat maps, dwell time reports and conversion ratios using the same infrastructure.
- InspectMind is mobile-first SaaS platform to automate asset/facility inspection processes across industries. It serves use cases like - environmental inspections, project audits, pre-underwriting and claims inspections, equipment maintenance inspections, quality checks etc. It provides facility to configure intelligent data capture forms, enables on the go data capture using mobile devices and distribution of inspection information. It also provides intelligent analytics on the survey data out of the box. InspectMind is ideal for entities which deal with frequent and/or variety of inspections.
- ShotClasses is a mobile based micro-learning platform that enables workforce and partners to stay up-to-date for enhanced productivity, efficiency and better business outcomes. It delivers bite-sized content relevant to the learner’s focus area, such as:
- Disseminating product knowledge to sales and customer service teams
- Onboarding new joiners on standard operating procedures and internal processes - Periodic internal communications
Your Company has spent ` 396 million on research and development during the year 2017-18.
(C) Foreign exchange earnings and Outgo –
Foreign exchange earnings
For and on behalf of the Board of Directors
Date: April 18, 2018