The document summarizes Tata Consultancy Services' (TCS) changing managerial structure. In 2008, TCS restructured its organization into five new groups: Industry Solutions, Major Markets, New Growth Markets, Strategic Initiatives, and Organizational Infrastructure. This was done to address changes in the external environment like increased competition, boost revenue growth, and improve customer expectations. The restructuring provided opportunities for middle-level employees and helped TCS become the largest Asian IT company serving top global clients.

1. PRESENTATION ON
CHANGING MANAGERIAL
STRUCTURE OF
TCS

2. 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.

3. 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 country's first
software project, the Inter-Branch Reconciliation System (IBRS) for
the Central Bank of India.
1.In 1999, TCS saw outsourcing opportunity in E-Commerce
2.On 9 August 2004, TCS became a
publicy listed company, much later than its
rivals, Infosys, Wipro and Mahindra Satyam.
3.In 2011, the company entered the
Small and medium enterprises (SME).

4. SWOT ANALYSIS

5. REALIGNMENT IN THE
ORGANISATION STRUCTURE
In 2008, the company went through an internal restructuring
exercise that executives claim would bring about agility to the
organization.
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 to
the COO

6. The Five ISU's explained:
 INDUSTRY SOLUTION GROUP:
The isu’s had multiple units dedicated to all the verticals that
the company has presence in. All the existing clients will come
under this group.
 MARKET SOLUTION GROUP:
IT focus on geographies of the US, UK and Europe. The unit
will be responsible for getting prospective and new client wins.
 NEW GROWTH MARKET GROUP:
IT have three different units focusing on- India, APAC
and emerging markets. These three units will own end-
to-end responsibility from client wins to maintaining
long-term relations.

7. STRATEGIC INITIATIVE GROUP:
It have three important units. First, is the TCS financial
solutions unit, which was announced in the first quarter of
this financial year. Second, small and medium enterprises
business solutions and finally, a new unit for platform BPO
solutions.
ORGANISATION INFRASTUCTURE GROUPS:
IT have four units, which will look into issue like process
excellence, technology excellence, shared services group
and resource management group. Each of these will again
have individuals of proven capabilities and expertise.

8. Causes for change in
organisational structure
TCS launched a matrix organisation structure in 2007 but had to
change it due to changes on the external front.
The Indian IT outsourcing industry has been going through tough
times.
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 a
realigned structure.
To increase the transparency between the customers and the
company.
 To boost its revenue growth.
TCS has been criticised by its employees in Public forums on its
Appraisal and Promotion policies

9. 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.

10. DIFFERENCE BETWEEN
TCS&INFOSYS

11. DIFFERENCE BETWEEN
TCS&INFOSYS

12. Share Price Movement after
restructuring
Latest Gain/Los % Gain/
Period Price
Price s (Rs.) Loss
3-Days 962.60 994.60 32.00 3.32
5-Days 918.05 994.60 76.55 8.34
7-Days 928.95 994.60 65.65 7.07
15-Days 978.35 994.60 16.25 1.66
1-Month 1144.65 994.60 150.05 13.11
3-Month 1135.75 994.60 141.15 12.43
6-Month 1175.25 994.60 115.65 10.42
9-Month 1280.25 994.60 52.65 5.03
1-Year 1376.50 994.60 118.10 13.47