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Tata Consultancy Services Limited (TCS) is an Indian provider of information technology (IT) services, business solutions and outsourcing services headquartered in Mumbai, Maharashtra, India. It is a subsidiary of Tata Group conglomerate. TCS is one of the largest publicly traded company in India by market capitalization.[2] It is also the largest IT services company in India by revenue and profit.[3]
TCS, a Tata group company (74% shareholding) is the largest software services exporter from India. It is a global technology services company that provides end-to-end business solutions to its clients. TCS offers a consulting-led, integrated portfolio of IT and IT-enabled services delivered through a Global Network Delivery Model, recognized as the benchmark of excellence in software development. Along with its subsidiaries, TCS operates in 55 countries with over 1,60,000 employees

TCS is Indias largest IT company and one of the strongest brands. In the recent past it has outperformed its peers in terms of registering great financial performance. Its ability to generate repeat business from its strong client base and strategic acquisitions have been its major growth driver till today & with our ever-increasing dependence on technology solutions, a company like TCS is poised for good growth in the future

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Timeline

Early 1970sTata Consultancy Services started exporting its services. 1974The company pioneered the global delivery model for IT services with its first offshore client. TCS's first international order came

from Burroughs Corporation, one of the first business computer manufacturers. TCS was assigned to write code for the Burroughs machines for several THEM-based clients. This experience also helped TCS bag its first onsite projectthe Institutional Group & Information Company (IGIC), a data center for ten banks, which catered to two million customers in the THEM, assigned TCS the task of maintaining and upgrading its computer systems.

1975TCS conducted its first-ever campus interview which was at IISc,Bangalore. The recruits comprising 12 IITians and 3 IISc

graduates theyre the first to get formal training at the company.

1979TCS delivered an electronic depository and trading system called SECOM for SIS SegaInterSettle, Switzerland. It was by far the

most complex project undertaken by an Indian IT company. TCS follotheyd this up with System X for the Canadian Depository System and also automated the Johannesburg Stock Exchange (JSE). TCS associated with a Swiss partner, TKS Teknosoft, which it later acquired.

1981TCS set up India's first software research and development center, the Tata Research Development and Design Center (TRDDC)

in Pune.

1985The first client-dedicated offshore development center was set up for Compaq(then Tandem).

Early 1990sThe Indian IT outsourcing industry grew tremendously due to the Y2K bug and the launch of a unified European currency,

Euro. TCS pioneered the factory model for Y2K conversion and developed software tools which automated the conversion process and enabled third-party developers and clients to make theme of it.

1999TCS saw outsourcing opportunity in E-Commerce and related solutions and set up its E-Business division with ten people. By

2004, E-Business was contributing half a billion dollars (THEM) to TCS.

August 9, 2004TCS became a publicly listed company, much later than its rivals, Infosys, Wipro and Mahindra Satyam.

2005TCS ventured into a new area for an Indian IT services companyBioinformatics.

2008TCS went through an internal restructuring exercise that executives claim would bring about agility to the organization.

2011TCS entered the Small and medium enterprises (SME) market with cloud-based offerings.

2012-TCS became the first Indian IT company to cross the 10 billion dollar revenue milestone.

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Experience results.
Proven dependability Being reliably on time and on budget has always been a hallmark of their engagements. For them, budget numbers and timelines arent moving targets; they are a rock-solid foundation for business planning and decision making. They help you set the right goals from the outset and then pre-plan, ramp up and adapt as necessary to meet your time-to-market deadlines and budgetary requirements. Maximizing your investment You need to make the most of your IT and business investments. Their uncompromising devotion to rigorous, world-class processes and standards ensures that the solutions they develop minimize the time to value for your investment. They introduce predictability, standardization and governance into your processes, giving you the confidence to not just run your business, but to transform it. Cthemtomized solutions that deliver By complementing their comprehensive service offerings with expert consultation, they optimize your systems and enable your organization to respond more quickly to market changes. Their customized solutions provide better visibility and control across all areas of your business so you can operate more efficiently, improve profit margins, reduce risk and achieve longterm successno matter what the market has in store.

Experience partnership.
Collaboration that works They believe that the best solutions come from collaborative relationships with their clients. As your global consultant, they will work closely with you to understand your unique business transformation goals, design best-in-class solutions and devise the most efficient plan for implementing your strategy across the organization. And because they work in an open and transparent way, you are always in control of your business, timelines and costs. A dedicated approach Your needs are their priority and, whatever your concerns, you can be certain they will be addressed. They work with you through the entire engagement life cycle, from negotiation to customized solution design to delivery, maintaining open lines of communications at all times. And not only do they make their top people available, they leverage their close partnerships with industrial, academic and technology leaders around the world to bring you industry-leading solutions.

A relationship that scales

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Their global footprint allows them to work as an extension to your business, providing the scale and flexibility you need to adapt in a changing environment. With over 200,000 associates from over 90 nationalities, operating in more than 40 countries, they can ramp up or ramp down resources quickly to meet your needs.

Experience leadership.
The know-how you need They have the processes and expertise to solve your businesss most complex problems, help you reduce risk and gain competitive advantage. They consistently leverage their Innovation Labs, Centers of Excellence and collaborative teams of expertsincluding researchers, engineers, consultants and business partnersto create innovative solutions that give your business an edge. Global expertise, applied locally Their methodologies have been proven across markets around the globe. No matter where your business takes you, their consultants have firsthand experience and a keen understanding of your industrys local and international dynamics, so they can help you think ahead and gain competitive advantage as you expand your business around the world. Solutions for the long-term They take a long-term view and ensure that any solution they put in place today will efficiently meet your needs while providing the extensibility to carry your business into the future. They draw from their years of experience developing business and IT strategies and solutions to help you implement the agile, integrated systems and processes that will help your business run leaner and smarter as it continues to grow.

Corporate Facts

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Who They Are: Tata Consultancy Services is an IT services, business solutions and outsourcing organization that delivers real results to global businesses, ensuring a level of certainty that no other firm can match. What They Offer: TCS offers a consulting-led integrated portfolio of IT and IT-enabled services delivered through its unique Global Network Delivery Model (GNDM), recognized as the benchmark of excellence in software development. Lineage: TCS is part of the Tata group, one of Indias largest industrial conglomerates and most respected brands. Workforce: TCS has over 238,583 of the worlds best-trained IT consultants in 42 countries. Financial Information: Revenue of $10.17 billion (fiscal year ending March 31, 2012 Quality Framework: They are the worlds first organization to achieve an enterprise-wide Maturity Level 5 on CMMI and P-CMM based on SCAMPI, the most rigorous assessment methodology. TCS Integrated Quality Management System (iQMS) integrates processes, people and technology maturity through various established frameworks and practices, including IEEE, ISO 9001: 2000, CMMi, SW-CMM, P-CMM and Six-Sigma. Board of Directors: TCS has 12 non-executive and two executive board members. Leadership Team:

N Chandrasekaran, Chief Executive Officer and Managing Director S Mahalingam, Chief Financial Officer and Executive Director Alliances: TCS has a strong network of strategic and solution partners with a joint objective of helping its customers become high-performance businesses by maximizing the value of their technology investments. Subsidiaries: TCS has 58 subsidiaries.

The TCS Advantage

True certainty of success comes from working with a partner you trust to provide the insight, support and expertise that will propel your business forward. Experience the TCS advantage.

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Customer-Centric Engagement Model

Their deep-set commitment to their customers defines how they do business, and their years of experience working across industries underpin the vast array of services they offer. They build their teams around your domain and technology requirements, offering specialized services and solutions that meet the distinct needs of your business.

Global Network Delivery Model (GNDM)

Their unique global engagement model allows you to choose the sourcing strategy best suited to your business needs. They take a follow-the-sun approach, meaning that no matter where your business is located, they help you keep it running 24/7, while providing a seamless experience across all operations.

Full Services Portfolio

Their full services portfolio combines traditional IT and Remote Infrastructure services with knowledgebased services such as Consulting and Business Process Outsourcing. This enables them to provide integrated solutions that help you recognize value quickly by reducing costs and improving business agility.

Innovation Labs And Co-Innovation Network (COIN)

They help you achieve and maintain a competitive advantage through their TCS Innovation Labs and Coinnovation Network. They offer research-based solutions in advanced technologies that help support your business objectives.

Corporate Governance
At the heart of corporate sustainability is sound Corporate Governance. An enlightened governance body that oversees the companys business strategies and ensures fiscal accountability, ethical corporate behavior and fairness to all stakeholders, creates all the conditions necessary to foster

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sustainability. This is best exemplified by the longevity of the Tata group, which has been around for over 150 years. Being part of such a group, TCS has inherited a strong legacy of fair, transparent and ethical governance, as embodied in the Tata Code of Conduct (TCoC). This is aligned with the ten principles articulated in the UN Global Compact to which TCS is a signatory. At the top of the governance structure is the Board of Directors representing the shareholders, and various Committees on the Board, overseeing the Executive Management. TCS has a unitary board structure consisting of 12 members of whom 9 are Non-Executive Directors (including the Chairman and Vice-Chairman) and 6 are Independent Directors .

Non-Executive Board Members Ratan N Tata-Chairman S Ramadorai - Vice Chairman Ishaat Hussain

Independent Board Members Laura Cha Prof. Clayton M Christensen Aman Mehta Dr. Ron Sommer Venkatraman Thyagarajan Dr. Vijay Kelkar

Executive Board Members N Chandrasekaran - CEO and MD S Mahalingam - CFO and Executive Director Phiroz A Vandrevala - Executive Director and Head, Global Corporate Affairs

Different aspects of TCS Corporate Governance are addressed below:

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Avoidance of Conflict of Interest

TCS has a Code of Conduct for Non-Executive Directors, requiring them to always act in the interest of the company and ensure that any other business or personal association, which they may have, does not involve any conflict of interest with the operations of the company and their role therein. Similarly, all employees including the Managing Director and Executive Directors are prohibited from freelancing or accepting any position of responsibility with or without remuneration with any other company without TCS written approval. For Executive Directors and the Managing Director, such approval must be obtained from the Board.Conflict of interest between the Boards executive function and the supervisory function is minimized by making the Chairmanship of the Board a non-executive role, and keeping it separate from that of the Chief Executive Officer and Managing Director.

Board Oversight of the Sustainability Agenda

To ensure that Business Sustainability gets adequate governance focus, TCS' Board of Directors meets 7 to 8 times a year. While four of these meetings are for review and approval of financial results, the remainder is for more detailed oversight of business, strategy and sustainability matters. Meeting more than the statutory number of times ensures that the Board's focus goes beyond financial performance alone and covers various operational and strategic issues including sustainability aspects, budgets, industry performance, peer review and competition analysis, overall risk assessment, performance of subsidiaries, opportunities for organic and inorganic growth etc. The CEO and Managing Director personally oversees the Company's sustainability strategy and reports on the initiatives and progress at the Board meetings. He is supported by dedicated teams for Corporate Social Responsibility and Environment, each headed by highly-qualified specialists in their respective domains. Their goals are determined by Senior Management in line with the Company's overall sustainability objectives, and performance on these two specific aspects of our sustainability agenda is reviewed by the Board on an annual basis .

Fiscal Oversight
An Audit Committee, consisting of independent, non-executive Directors, provides oversight of TCS disclosure process to ensure that that sufficient and credible information is disclosed, and that the published financial statements reflect a true and fair position of the companys finances. Four meetings are held during the year for approval of quarterly accounts and another three to four meetings for in depth consideration of internal audit reports. The Audit Committee also actively ensures that the internal audit processes provide adequate support in improving the Companys business processes, i.e., making the Company more efficient and cost-effective. As an additional governance control on access to the Companys cash, TCS has a Bank Account Committee of Directors which approves the opening and

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closing of bank accounts of the Company and to authorize persons to operate the bank accounts of the Company.

Disclosure and Transparency

Benchmarked against global peers, TCS discloses significantly more operational and financial metrics on a quarterly basis. The quarterly, halfyearly and annual results are published in leading Indian newspapers, emailed out to analysts and investors who subscribe to that service and posted on our website www.tcs.com. Half-yearly results are sent to shareholders along with a message from the Managing Director on the Companys performance. The Earnings Release every quarter is accompanied by a press-conference which is video webcast live through our website. There is also a conference call where Management briefs investors and analysts on the quarter gone by, and takes questions. In addition, there is a robust investor outreach program as part of which the TCS Management meets investors at our premises or at investor conferences and addresses their queries and concerns.

Sustainability and risk management

TCS has an Enterprise-wide Risk Management (ERM) process administered by a Risk Office that continually identifies and the various risks threatening the Companys continued sustainability, as grouped under: (1) Strategic risks (2) Operational (3) Financial and (4) Compliance related

The Risk Office maintains a Risk Register and draws up suitable risk mitigation plans for each of the risks identified therein. These risks are reviewed by the Board periodically.

Succession planning
Business sustainability requires consistency in management vision and minimization of impact when there is a leadership change. Therefore, succession planning is an important element in ensuring smooth transitions. At TCS, succession planning occurs at every level at the corporate level, at the business unit level, at the account level and even at the project level.At the highest level, succession planning of senior management is directly reviewed by the Executive Committee of the Board. Business/Unit Heads are invited to Board Meetings from time to time to give presentations to the Board to update them. This provides an opportunity for the Board to interact with Senior Executives periodically and assess values, competencies and capabilities to help them identify suitable internal successors and provide feedback. In these last four decades, TCS has gone through two CEO-level transitions, the last one in October 2009. The seamless manner in which that transition took place is evidence that the Companys succession planning is working well.

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Operations and acquisitions

Indian branches
TCS had development centers and/or regional offices in the following Indian cities: Ahmedabad, Baroda, Bangalore, Bhubaneswar,Chennai, Coimbatore, Delhi, Goa, Gurgaon, Guw ahati, Hyderabad, Kochi, Kolkata, Lucknow, Mumbai, Noida, Nagpur, Pune,Trivandrum, Jamshedpur, .

Global units
Africa: South Africa, Morocco Asia (outside India): Bahrain, Beijing, Hong Kong, Hangzhou, Shanghai, Indonesia, Israel, Japan, Malaysia, Philippines, Saudi Arabia, Singapore, South Korea, Taiwan, Thailand, UAE (Dubai) Australia: Australia Europe: Belgium, Denmark, Finland, France, Germany, Hungary, Iceland, Ireland, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, United Kingdom North America: Canada, Mexico, USA South America: Argentina, Brazil, Chile, Colombia, Ecuador, Chile, Uruguay, Peru

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What is TCSs Long Term Outlook ?

TCS has a great past and with its last few quarters performance, it has proved that it has the ability to be a winner, even in tough times. Now, what factors will help TCS be on a high-growth trajectory in the long-term, too? 1) Products & Software services with High Switching Costs : TCS has products & services with high switching costs i.e. clients find it difficult to shift to another partner . TCS generates most of its revenues from repeat business from existing clientele; i.e. more than 95%. This is a proof of its excellent quality of service delivery. A strong focus on a customer centric approach has helped the company migrate its existing clients into higher revenue brands and also increase the number of key customers. A high repeat clientele business also ensures lesser effort/expenditure spent for acquiring new clients This advantage has helped the company increase business from existing & new clients; ensuring consistently growing sales. 2) Clients increasing dependence on IT: While moving up the growth path, every client depends more and more on technology for every task. Once a client selects TCS as its partner, for each and every upgrade/new system on technology the client prefers to go back to TCS. Also, once TCS understands a clients way of working, business model & processes, the client is comfortable with TCS as a partner, making it even more difficult to switch from. 3) Strategic acquisitions have led to strong(profit and sales accretive) subsidiaries: TCS has made many strategic acquisitions in the past few years, which have led to strong subsidiaries and helped it strengthen its leadership position in terms of its industry and service lines. For eg: TCS e-serve ltd. an acquisition of Citigroups BPO registered a good growth of 19% in the last year. CMC- TCS is expected to gain the most from CMC.; an expert in infrastructure management services, a fast-growing-high-revenue service. The other advantage that CMC brings is strong domestic presence and a sizeable government clientele. TCS may be well-placed to tap this segment as various government utilities are now increasing their IT spends. Where, in FY09 out of 56 subsidiaries, 21 were loss-making, TCS has brought this figure down to 13 in the current year. Hence, these subsidiaries are expected to strengthen the companys position in the long-term 4) Re-structuring for Growth: TCS has divided its operations into verticals, each headed by a leader(director) with a certain goal. Each of these directors reports to the CEO of TCS. This way of working is well-aligned for future growth as it brings efficiency and allows each leader to move towards a certain goal and hence, collectively achieve a larger output. 5) Strong focus on non-linear growth & revenues from new services: TCS is planning to focus on nonlinear revenue growth i.e. growth based on Intellectual Properties solutions and reusable components; where work is not effort-based/where growth is not linearly dependant on head count. These will result in better margins and reduce pressure from salary hikes in the medium term.

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Also, in order to provide clients with integrated services, since the last few years, TCS has started with many new service lines like BPO, Infrastructure, Assurance & Asset Leveraged solutions etc. As of FY10, these services contributed 25% to TCS revenues. TCS expects demand for these services to lead growth in future. 6) Efficient Global Network Delivery Model: TCS Global Network Delivery Model is the engine that has assisted in providing great service to its clients. It has enabled them to achieve client satisfaction ratings of 89% for meeting quality expectations and an average budget variation on projects of just 3% both figures far better than industry norms. This helps it maintain customer satisfaction, at the same time increase its geographical reach. TCS sees consumers in new emerging markets like Latin America, China as new engines of growth and demand; it is expected that this model will help it reach out to these markets 7) Concerns: Geography wise, its revenues are highly dependent on clients located in the U.S. and Europe, an economic slowdown in these countries/industries may affect its business Currency fluctuations may bring down profitability Intense competition by global firms such as Accenture Limited, Capgemimi, Hewlett-Packard Company, & Indian firms IBM, Infosys, and Wipro etc; may put pressure on demand for its services. As Indias largest and most-experienced services firm, TCS is well-positioned to benefit from the growing demand for offshore IT services. Hence, we can expect the long-term future of TCS to be Green (Very Good)

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