New CEO wants TCS to become ‘bigger and better’https://indianexpress.com/article/news-archive/web/new-ceo-wants-tcs-to-become-bigger-and-better/

New CEO wants TCS to become ‘bigger and better’

Tata Consultancy Services (TCS),India’s largest IT services and outsourcing company,saw a change of guard at the top with...

Tata Consultancy Services (TCS),India’s largest IT services and outsourcing company,saw a change of guard at the top with Natarajan Chandrasekharan,46,taking over as its CEO and MD,from S Ramadorai,who becomes the company’s non-executive vice chairman. The youngest CEO since the company’s inception,Chandrasekharan said the company will leverage its full service offerings to become “bigger and better” in the days to come.

Although the new CEO wasn’t keen to share his vision for the largest IT services and business process outsourcing (BPO) company in India,he did describe the expected ‘vision statement’ to be ‘audacious’.

The firm would now leverage the existing core strategy to bag large deals. “We would be focusing on leveraging full service offerings with a combination of IT,infrastructure and BPO and scouting for large deals,” Chandrasekharan said.

The firm would continue with five core strategies of the company which are already in place. These are,the organizational re-structuring that the firm undergo last year,focusing on emerging markets,quality of experience to clients and focus on non-linear growth model solutions in financial services,BPO platforms and small and medium business solutions.

TCS,that has largely witnessed growth on the back of its organic approach,is expected to follow the tradition. However,Chandrasekharan did not rule out the possibility of a strategic acquisition. “We will not look at acquisition just for the sake of inorganic growth. We are looking at different capabilities like platforms in geographies like Europe and Japan,” he said. He added that the firm will invest in tools,process,R&D and products,and have also set up a component framework factory where it is developing applications for each and every vertical.

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According to Chandrasekharan,the firm will start witnessing the outcome of the investments in the focus areas like SMBs in the next 12-18 months. The firm currently has four platforms and wants to prove the solutions first and then decide on going ahead with the investment plans. The firm will also continue to focus on margins and this will be extremely important. “We have even now walked out from large deals that were poor on margins. So,margin focus is going to remain increasingly important for us,” he said.