TATA CONSULTANCY SERVICES

SUBMITTED BY:SUMIT KUMAR ROLL# 11151 | SEC-1

Vision Statement :
TCS will be recognized and respected as professional, innovative, profitable information, and knowledge based logistics/services enterprise. TCS embeds internet based technologies into its internal operating structures and as business solutions for customers; with customer, employee and shareholder interests at the core of its operations; demonstrating a clear concern for ethical conduct and good corporate citizenship; with the objective of growing into a regional and global player, with emphasis on the Middle East, Europe and North America"

Vision :
Achieved To be Global Top 10 by 2010 People: Be a great place to work where people are inspired to be the best they can be.

Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs.
Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value.

Vision Contd. :
Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities.

Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities.
Productivity: Be a highly effective, lean and fast-moving organization.

Mission Statement :
"To direct all our organizational efforts at building upon
the existing organizational strengths and brand recognition to achieve enhanced levels of profitable growth in the core business, and diversify into new areas that compliment and supplement the core business, with the diversification aimed at achieving excellence and industry leader status in the new areas. The TCS People will however be encouraged to be open to unconventional ideas and services and recognize new trends at very early stages"

Mission :
TCS mission reflects the Tata Group's longstanding commitment to providing excellence: To help customers achieve their business objectives by providing innovative, best-in-class consulting, IT solutions and services. To make it a joy for all stakeholders to work with us.

Values & Objectives

Values: Leading change, Integrity, Respect for individual,
Excellence, Learning and sharing.

Objectives:
Increase profitability and efficiency by doing more with less Rapidly and effectively respond to the changing market demands, thereby improving organizational agility Leverage IT as a strategic driver for competitive advantage, not just as a business utility

Analysis of entry of IT company in Current Scenario

Visa Rules & Regulations , Salary , Capital Investment, Corporate Governance Standards , Local competition
Access to high quality IT professionals, physical infrastructure

Country selection and entry decisions for business depends upon Porter-Diamond Framework
Context for firm strategy & rivalry

Factor conditions

Demand conditions

Availability of good universities and supporting industries

Sophistication of local customers and their needs

Related & Supporting Industries

SWOT ANALYSIS OF TCS

STRENGTHS High command on domestic market and extensive global reach Strong brand backing(TATA) Strong Ethics & large workforce Breadth of service offering OPPORTUNITIES Focus on small & medium business Growth in worldwide IT services WEAKNESS Lack of scale in consulting operations Significant exposure to financial services High attrition rate THREATS Increasing employee costs Intense competition Rupee Appreciation & global economic slowdown Consolidation in end markets

PESTL Analysis of Indian IT Industry

Political
Political stability (+) Terrorist attack or war(-) More Govt. Projects (+)

Social
Working Age Population (+) Education (+) English Language (+) Technological Telephony (+) Internet Backbone (+) New IT Technologies (+)

Environmental
Global IT spending (+) Domestic IT spending (+) Legal IT SEZ Requirement (+) IT Act & STP (+)

Porters Five Forces Model

Threat Of Substitutes (Medium) Large offshore locations Lower price quoted for projects Bargaining Power Of Suppliers (Low) Slow-down, job-cuts & layoffs Availability of vast talent pool Rivalry among firms(High) High industry growth Low-cost, little differentiation Bargaining Power Of customers (Very high) Large number of IT companies Increasing IT expenditure Barriers to Entry(Low) Low capital requirement Large Value chain

Key Differentiators of TCS

Leadership in IT Outsourcing Pioneer in the industry & Brand Integrated full services player Global Network Delivery Model High Quality and Maximum security Innovation Network Technology Partnerships and Relationships (IBM, Oracle, Siebel, Microsoft, SAP)

BCG Matrix for TCS

Stars BPO & Infrastructure Services Question Mark Consulting Packaged Implementation KPO Cash Cows Application Development & Maintenance of software products Dogs None

Generic Business Strategy

Low cost Global delivery 24X7 Focus on customer relationship management, customer retention Timely delivery with the help of proven delivery & quality framework Differentiation in low end services in terms of cost, resources Differentiation in high end services such as consulting in term of niche offering expertise Protection from currency fluctuations with the help of currency hedging

Generic Business Strategy contd.

Due to its strong knowledge management system and resource strength, TCS has been successful in getting the cost leadership in the industry
More focused strategy where they are going as per local needs of customer and their nature of business.

Focus on the Centres of Excellence (CoE) to strengthen capability so as to build state-of-the-art solutions in specific technologies such as service-oriented architecture,

Corporate Strategy
TCS is a firm believer in organic growth & acquire only those companies which are inline with TCS strategic long term goals

Recommendations
Do not put all eggs in one basket .TCS must provide diverse
services to refrain from being over-dependent and increasing exposure to the vulnerabilities of few sectors (BFSI)/geographies (USA). Provide more high-end services in value chain Shift focus from Low cost advantage to high quality services commanding a premium being the pioneer in the industry Quickly adapt and gain customer confidence in high growth markets Focus more on increasing their Intellectual property assets Focus more on consulting and small & medium business Consolidation and strategic acquisitions are essential for future growth of revenues

Experience Certainty !!!