Azim Premji, the former chairman of Wipro Limited, is one of India’s most iconic business leaders. Known for his visionary leadership, strategic foresight, and commitment to ethical business practices, Premji has transformed Wipro from a small edible oils company into a global IT giant. His entrepreneurial journey, marked by resilience, innovation, and social responsibility, has not only shaped Wipro’s growth but has also made him one of the wealthiest and most respected individuals in India and across the globe.
Early Life and Educational Background:
Azim Hashim Premji was born on July 24, 1945, in Mumbai, India, into a prominent business family. His father, Mohammed Premji, was a successful businessman who ran a thriving business in the edible oils sector. From a young age, Azim Premji was groomed to take over the family business. However, his journey took an unexpected turn when, at the age of 21, he had to step into the role of managing the company due to his father’s sudden death.
Premji’s academic background is as impressive as his business acumen. He completed his early education at St. Mary’s School, Mumbai, and later attended the Indian Institute of Technology (IIT) Bombay, where he earned a degree in Electrical Engineering. Even though he was studying engineering, Premji’s deep understanding of business strategy and management would later be nurtured by his experience rather than formal business education.
Upon his father’s untimely death in 1966, Premji, who was still studying, had to make an immediate decision to take charge of the family business. His decision to drop out of Stanford University to manage Wipro marked the beginning of his extraordinary entrepreneurial journey.
The Beginning of Wipro: Edible Oils to IT
Wipro was originally founded in 1945 by Azim Premji’s father as Western India Vegetable Products Limited, focusing on the production of edible oils. At that time, the company was a small regional player in the food industry, with its headquarters based in Maharashtra.
However, the company’s real transformation began when Azim Premji took over in 1966, just after his father’s death. Premji made the difficult decision to diversify the business, realizing that the future of the Indian economy lay not in the food industry but in emerging sectors like technology and IT.
In the 1970s, Premji recognized the potential of the burgeoning IT industry in India and set out to position Wipro as a global player in this field. He was one of the first entrepreneurs in India to understand the transformative power of computers and software, long before it became mainstream.
Challenges in the Early Years:
Premji’s transition from edible oils to IT was not an easy one. At the time, Wipro was a small company with limited resources, and the Indian technology sector was still in its infancy. The lack of infrastructure, limited internet access, and a shortage of skilled talent posed significant challenges for Wipro.
Moreover, the Indian government’s protectionist policies and restrictions on foreign investment made it difficult for technology companies to scale. Azim Premji had to overcome these structural barriers while positioning Wipro to compete with the likes of multinational giants like IBM and Tata Consultancy Services (TCS), which were already established in the IT services space.
However, Premji was not one to shy away from adversity. Under his leadership, Wipro began to develop expertise in software development and systems integration, eventually becoming one of India’s first IT companies to make a mark on the global stage.
The Turning Point: Wipro’s Shift to IT Services
A significant turning point came in the early 1980s when Wipro made its first major foray into the IT business. In 1981, Wipro signed a partnership with General Electric to provide embedded software solutions for their products. This was one of the company’s first major contracts in the IT sector, and it helped establish Wipro as a reputable player in the technology space.
During this period, Premji realized that the future of IT lay in services rather than just manufacturing. This vision led to the launch of Wipro’s IT services division in 1984. The company began focusing on providing software solutions, systems integration, and IT consulting services to clients across the globe.
Wipro’s Wipro Infotech division, which focused on IT hardware and software, became a key driver of the company’s growth in the 1980s and 1990s. Premji’s strategic pivot to IT services helped position Wipro as one of the top IT companies in India, alongside competitors like Infosys and Tata Consultancy Services (TCS).
Global Expansion and Innovation:
In the 1990s, Azim Premji’s vision began to take full shape. Under his leadership, Wipro expanded globally, entering markets like the United States, Europe, and Middle East. The company started attracting international clients, including major Fortune 500 companies. Premji’s relentless focus on quality, coupled with his early adoption of offshoring and outsourcing, gave Wipro a competitive edge in the global marketplace.
In 1999, Wipro made its first international acquisition by purchasing New York-based IT company, Wipro Technologies, which enabled the company to further scale its operations.
Wipro’s success was not just based on sheer size, but on its ability to innovate. Premji focused on creating technology-driven solutions and enterprise software products for clients in sectors like banking, insurance, healthcare, and manufacturing. The company’s emphasis on cutting-edge technology such as artificial intelligence and cloud computing helped Wipro stay ahead of its competitors.
Ethical Leadership and Corporate Social Responsibility:
Azim Premji’s leadership has always been characterized by his strong ethical values and commitment to corporate social responsibility (CSR). He believes that businesses should not only focus on profits but also on creating value for society. As one of India’s most respected philanthropists, Premji has donated billions of dollars to charitable causes, particularly in the areas of education and public health.
Premji’s charitable initiatives are primarily channeled through the Azim Premji Foundation, which aims to improve primary education in India, focusing on marginalized communities and underdeveloped regions. In 2019, Premji pledged to donate a large portion of his wealth to the foundation, solidifying his legacy as a socially responsible entrepreneur.
In recognition of his philanthropic efforts, Premji has been awarded numerous honors, including being named to Forbes’ list of the world’s most generous philanthropists and receiving India’s Padma Vibhushan (one of the country’s highest civilian awards).
Struggles and Setbacks:
Like any successful entrepreneur, Azim Premji faced his share of struggles and setbacks. One of the most significant challenges was navigating the competitive landscape of India’s IT services sector, which became more crowded with time. Despite this, Premji’s ability to maintain Wipro’s edge through innovation and strategic acquisitions allowed the company to stay ahead.
Another challenge Premji faced was the growing pressure on India’s IT outsourcing industry during the global economic downturns, particularly during the 2008 financial crisis. As companies across the world scaled back their IT budgets, Wipro had to adapt to changing customer needs by focusing on more cost-effective solutions and diversifying its offerings.
However, Azim Premji’s focus on quality, ethics, and long-term growth helped Wipro weather these storms. He made careful, calculated decisions to strengthen Wipro’s position in areas such as consulting, cloud computing, and digital transformation, ensuring the company’s survival and continued growth.
Wipro’s Success Under Premji’s Leadership:
By the time Azim Premji stepped down as Chairman of Wipro in 2019, the company had grown into a global IT powerhouse, employing over 170,000 people across 50+ countries. Under his leadership, Wipro achieved the following milestones:
- Revenue Growth: Wipro’s revenues surged from just ₹13 crore in the early 1980s to ₹61,000 crore in 2019, making it one of the largest IT companies in India.
- Global Recognition: The company consistently ranked among the top IT services firms in the world, known for its innovation, quality, and global reach.
- Industry Leadership: Wipro became a leader in sustainable business practices, technology solutions, and IT outsourcing. It was one of the first companies to embrace the cloud and AI, shaping the future of digital transformation.
- Philanthropic Leadership: Premji’s philanthropic work through the Azim Premji Foundation ensured that his legacy would not only be about business success but also about contributing to India’s educational system.
Conclusion: Azim Premji’s Legacy
Azim Premji’s entrepreneurial journey is a testament to the power of vision, resilience, and social responsibility. From transforming Wipro from a small edible oils company into one of the world’s leading IT services firms to becoming one of India’s most respected philanthropists, Premji has proven that success in business and social good are not mutually exclusive.
His leadership style, based on ethics, integrity, and a focus on sustainable growth, has made him a role model for entrepreneurs worldwide. Premji’s legacy will continue to inspire future generations of leaders, entrepreneurs, and philanthropists .
