Technology Adoption:Transforming the Indian Real Estate and Construction Sector

© 2013 Frost & Sullivan2

In4Velocity

Table of Contents

1. Table of Contents ............................................................................................................................2

2. Indian Real Estate and Construction Sector: Transforming the Business Environment .........3

3. IT Adoption: Enabling Enterprises Achieve Business Excellence ...............................................4

4. The Way Forward.............................................................................................................................5

5. Frost & Sullivan ICT Awards: 2013 ................................................................................................6

Award Selection Process ............................................................................................................7

Award Selection Criteria............................................................................................................7

6. About In4Velocity ............................................................................................................................8

7. About Frost & Sullivan ....................................................................................................................8

© 2013 Frost & Sullivan3

In4Velocity

The Indian Real Estate and Construction Sector: Transforming the Business Environment

Real estate and construction has always played a very critical role in the Indian economy, especially giventhe large employment base. The industry is considered one of the leading sectors in terms of the influenceit has on all other sectors of the economy. Subtle changes in construction expenditure lead to a multipliereffect across industry segments. The market is witnessing steady growth and is expected to touch $180billion by 2020, resulting in real estate and construction being recognized as a growth engine for India’seconomy. (Source thehindubusinessline.co.in)

With the demand-supply gap narrowing and rising affordability levels with greater availability of financingoptions driving growth in residential construction, commercial real estate coupled with retail andhospitality are also experiencing significant growth.

This highly-fragmented and largely-unorganized sector has been experiencing significant businesstransformation over the last decade, as shown in Exhibit 1.

Exhibit 1: Business Transformation in the Indian Real Estate and Construction Sector inlast 10 years

Source: Frost & Sullivan

© 2013 Frost & Sullivan4

In4Velocity

IT Adoption: Enabling Enterprises to Achieve Business Excellence

There are several factors unique to the Indian real estate and construction industry that govern the natureof applications adopted, as well as expectations from solutions or service providers. The last decade hasseen multiple technology vendors and system integrators appreciate these factors and develop solutionsthat are best fit to enable enterprises to achieve business excellence and competitiveness.

Exhibit 2: Business Challenges faced by the Indian Real Estate and Construction Sector

Given the ability of IT solutions vendors to partner with real estate and construction enterprises and addressbusiness concerns, coupled with increasing IT awareness, the last decade has witnessed a significant shift inthe outlook toward IT adoption and spending patterns by the real estate and construction sector.Investments have been steadily increasing in end-to-end solutions enabling centralized process management,project management, integrated and transparent accounting management, legal material planning andmanagement, and other vertical-specific needs. Such adoption of end-to-end solutions translates to apromising future for the ERP market in the sector.

Exhibit 3: Revenue Forecast of ERP Market in Indian Real Estate and Construction Sector,FY 2008-2014

Source: Frost & Sullivan

© 2013 Frost & Sullivan5

In4Velocity

The Way Forward

IT investments are expected to continue to increase by large as well as emerging enterprises. However,enterprises may vary significantly in the maturity of landscape depending on scale of operations. The extentof investments and need for integrated business management software may vary, based on:

l Number of projects managedl Disparateness in types of projects l Expansion plans l Stakeholder transparency needs

With increasing FDI, market consolidation and professionalism in business outlook, Indian real estate andconstruction sector will witness significant transformation in the next decade. Technology adoption willbe at the epicenter of enabling this transformation. A number of business and operational needs willtranslate to IT adoption and a robust technology landscape.

Exhibit 4: Adoption Drivers of IT Applications in Indian Real Estate and Construction Sector

Source: Frost & Sullivan

© 2013 Frost & Sullivan6

In4Velocity

Exhibit 5: Technology Roadmap for IT Applications in Indian Real Estate and ConstructionSector

IT vendors will increasingly play the role of strategic partners rather than technology vendors. Long termrelationships with vendors exhibiting strong domain knowledge, implementation capabilities, and successfulchange management programs through training and technology hand-holding will emerge as market leaders.

Frost & Sullivan ICT Awards: 2013

Source: Frost & Sullivan

© 2013 Frost & Sullivan7

In4Velocity

The Frost & Sullivan ICT Awards 2013 were held on May 16, 2013, to acknowledge exemplary companiesand individuals that have pushed the boundaries of excellence, risen above the competition, anddemonstrated outstanding performance in the Information and Communications Technology (ICT) sectorin India.

Award Selection Process

The following selection process is employed in benchmarking nominees/contenders and determining theAward recipients:

• Frost & Sullivan analysts shortlist/nominate major contenders in each Award category• Analyst teams conduct detailed research and assessment on market performance of companies

and table the findings, along with recommendations and justifications• An independent panel of judges deliberates the findings of the analyst team and decides on the

deserving Award recipients

Award Selection Criteria

Frost & Sullivan follows a rigorous measurement-based methodology to select the recipients in eachcategory.Measurement parameters are used to conduct a detailed study of each nominated company on the basisof actual market performance indicators as given below:

• Revenue growth • Demonstrated leadership in new product introduction and innovation • Breadth of products and solutions • Business/market strategy

The base year for the benchmarking study is calendar year 2012.

In4Velocity was recognized as the 2013 Frost & Sullivan IT Application Vendor of the Year for Emerging ITApplication of the Year in the Indian Real Estate and Construction Sector category, for having shown highstrategic focus on the industry segment, consistent efforts to ensure high customer satisfaction, andenhanced product features in line with changing business dynamics. In4Velocity has achieved steady growthand shown exemplary performance in 2012.

“In4Velocity has demonstrated remarkable performance in the Indian market through its focusedapproach and domain-expertise-driven value proposition to the real estate and construction vertical.High level of customer centricity has resulted in remarkable growth and market penetration.”

- Frost & Sullivan

© 2013 Frost & Sullivan8

In4Velocity

About In4Velocity

In4velocity Systems is India's leading real estate and construction management software company, withover 250+ customers across India and the Middle East. In4Suite®, In4velocity’s leading product platform,is a web-based ERP that is leveraged by over 20,000+ users on a daily basis to manage their day-to-dayactivities. The product platform integrates all key business processes for a real estate company, across allits departments, providing a process based approach to construction and marketing. Management teamsacross departments are provided with a 360o real-time dashboard view of their information, as well asalerts via SMS and e-mails are triggered to ensure projects are kept on schedule and within budget.

In4velocity Systems is the only software company to get “CREDAI’s seal of approval” and be selected asa CREDAI PREFERRED PARTNER for three years in a row. In a short span of time, it has earned severalindustry accolades for its innovate software platform including “Best Product Startup”, by Silicon India,2009, “Red Herring Top 100 Winner”, 2011, Asia & “NASSCOM Top 50 Emerging Companies”, 2011,amongst others.

About Frost & Sullivan

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