PRESENTATION ONCHANGING MANAGERIAL STRUCTURE OF TCS
INTRODUCTION• Tata Consultancy Services Limited (TCS) is an Indian IT services, business solutions and outsourcing company headquartered in mumbai,India. TCS is one of the largest private sector employers in India with a core strength 202,039 individuals. TCS has turned into the second-largest employer. It is the largest provider of information technology in Asia and second largest provider of business process outsourcing services in India. As a brand, TCS is the 76th Most Trusted Brand according to The Brand Trust Report, 2011.• TCS has offices in over 47 countries with more than 142 branches across the globe and is a subsidiary of textiles and manufacturing.
HISTORY TCS began as the "Tata Computer Centre", for the company Tata Group whose main business was to provide computer services to other group companies. F C Kohli was the first general manager. One of TCS first assignments was to provide punched card services to a sister concern, Tata Steel (then TISCO). It later bagged the countrys first software project, the Inter-Branch Reconciliation System (IBRS) for the Central Bank of India.1.In 1999, TCS saw outsourcing opportunity in E-Commerce2.On 9 August 2004, TCS became apublicy listed company, much later than itsrivals, Infosys, Wipro and Mahindra Satyam.3.In 2011, the company entered theSmall and medium enterprises (SME).
REALIGNMENT IN THE ORGANISATION STRUCTUREIn 2008, the company went through an internal restructuringexercise that executives claim would bring about agility to theorganization.The new structure, defines the organization into five ISUs :-1.industry solutions group (ISG)2. major markets group (MMG)3.new growth market group (NMG)4.strategic initiative group (SIG)5. organization infrastructure group (OIG)These groups would be headed by a director, reporting directly tothe COO
The Five ISUs explained: INDUSTRY SOLUTION GROUP:The isu’s had multiple units dedicated to all the verticals thatthe company has presence in. All the existing clients will comeunder this group. MARKET SOLUTION GROUP:IT focus on geographies of the US, UK and Europe. The unitwill be responsible for getting prospective and new client wins. NEW GROWTH MARKET GROUP: IT have three different units focusing on- India, APACand emerging markets. These three units will own end-to-end responsibility from client wins to maintaininglong-term relations.
STRATEGIC INITIATIVE GROUP:It have three important units. First, is the TCS financialsolutions unit, which was announced in the first quarter ofthis financial year. Second, small and medium enterprisesbusiness solutions and finally, a new unit for platform BPOsolutions.ORGANISATION INFRASTUCTURE GROUPS: IT have four units, which will look into issue like processexcellence, technology excellence, shared services groupand resource management group. Each of these will againhave individuals of proven capabilities and expertise.
Causes for change in organisational structureTCS launched a matrix organisation structure in 2007 but had tochange it due to changes on the external front.The Indian IT outsourcing industry has been going through toughtimes.To increase customer expectations. To compete with increasing competitors.To capture new growth opportunities.As the scale of employees increased over 1 lakh , TCS needed arealigned structure.To increase the transparency between the customers and thecompany. To boost its revenue growth.TCS has been criticised by its employees in Public forums on itsAppraisal and Promotion policies
EFFECTS OF RESTRUCTURING: Earlier, middle-level employees in TCS did not have the bandwidth to be a part of the leadership team. With this new structure there’s an opportunity not to be lost in this huge company. Today With almost 100,000 employees in 47 countries, TCS is the biggest Asian software and IT services company and a leader in off shoring. It is breaking all sorts of revenue records for Indian companies. It serves seven of the Fortune 500 top-ten companies.