TCS

Smart Book on Service Analysis By Sushant Dilip Salvi Class: MMS-1 Div: A Roll No: 43 Company:

Service:

Information Technology & Enterprise Solutions

7 Ps Of Services: Product Enterprise Solutions: It is defined by TCS as any business tool that reliably reli ably empowers you to access, share and apply resources with any of your peers and customers, anywhere, at any time. Because a solution, by any definition, is a response to a problem, we insist that it be simple to implement, flexible to deploy and easy to use. Enterprise problems that call for enterprise solutions: y

Legacy

systems are resistant to interoperability i nteroperability

y

Data and content fail to integrate as they converge from different partners, locations and storage systems

y

Persistentyet inexplicableobstacles to accessing data

y

Business has spread beyond what your IT can supportas you engage new geographies, cultures, user bases and bandwidth limits

y

Staggering transaction loads and rising demands for throughput and data storage

What TCS Provides: TCS Enterprise Solutions improve operational efficiency and help you transform your business, empowering you to take advantage of emerging opportunities and market changes more quickly. Fr om IT strategy and transformation to enterprise-wide software applications, we optimize technology and business processes. TCS expertise and success is bolstered by l ong-term strategic alliances with the worlds most advanced business software companies, helping us deliver better, faster, and more cost-effective solutions. y

y

y y

y

Oracle:

We are one of ten global Diamond Partners, with specializations in 20+ Oracle applications, including Siebel, PeopleSoft, Hyperion and JD Edwards suites. SAP: Is one of TCS earliest strategic partners. Our advisory services are focused on SAP preimplementation THINK systems, such as Business Process Harmonization, Landscape Planning and Solution Strategy & Roadmap. Microsoft: Dynamics, SharePoint and Azure Customer Relationship Management: Oracle Siebel, SAP, Microsoft, Salesforce.com and Rig ht Now Enterprise Content Management: EMC, OpenText and Autonomy-Interwoven

7 Ps of TCS Price: Prices for Enterprise Solution are very flexible as per the client requirements. In dept analysis is required to find out the exact solution for business. And after such analysis the TCS charges after calculating the required Human Resources. Promotion: TCS being the IT Company has its own developed website: http://www.tcs.com Also TCS sponsors Events such as Mumbai Marathon and endorses Indian Premier League Rajasthan Royal Team. TCS has makes more promotional efforts on Global Platform to attract Foreign Clients like GE, ABN Ambro Bank etc. But lately due to recession of US and now followed by Europe crisis TCS is taking good effort to promote itself in India and acquire local clients like ICICI bank, SBI Bank, Mumbai Municipal Corporation etc. Place: TCS has its main office located in Mumbai Nariman Point. It has its offshore development centers for foreign clients in cities such as Mumbai, Chennai, Bangalore, Delhi, Pune etc. People: TCS calls its employees as Associates. A ssociates. These associates strive to understand the client requirements and work on providing enterprise solutions. It is most important for the people working in TCS to understand the client business model as good or some times more than what clients understand about its own business. Physical evidence: As TCS is engaged in Business to Business services, it doesnt have too much of physical evidence displayed as other services but following logo if TCS is displayed during IP L on Rajasthan Royal team uniform and events conducted during IP L. Process: In TCS processes from acquiring a client, providing business solution and support services are wel l defined. TCS encourages its associates to get 6 Sigma Certification and adhere to 6 sigma methodologies while providing solution to its clients.

7S Model:

y

Strategy: To maintain competitive edge over other players in Enterprise solution provider TCS has developed Strategic Business Units based on the clients. Each TCS Strategic Business Unit is responsible for the revenue generation.

y

Structure: TCS consists of 5 Units ISUs  industry solutions group (ISG), major markets group (MMG), new growth market group (NMG), strategic initiative group (SIG) and organization infrastructure group (OIG) - would be headed by a director, reporting directly to the C OO.

y

Systems: TCS uses its Corporate Web Portal known as Ultimatix for managi ng its entire organization. It has web based interface to Oracle ERP which takes care of Finance, HR, Projec t Management tasks

y

Shared Values: TCS Shared Value is stated as: Leading

y

change, Integrity, Respect for the individual, Excellence, Learning and sharing.

Style (Leadership) : Infosys believes that leadership is one of the most essential ingredients of  organizational success. TCS has effective grievance resolution system integrated i n their System.

y

Staff: TCS has over 1,00,000 people across multiple geographies with different skill as per required for domain

y

Skills: TCS encourages learning and its mandatory to have domain level certifications. TCS provides special training in 6 Sigma and looks into it that each employee is 6 sigma certifi

Porters 5 Forces Model:

1. Threat of substitutes Other

offshore locations such as Eastern Europe, the Philippines and China, are emerging and are posing

threat to Indian IT industry because of their cost-advantage. However, this should have an impact only in the medium to long term. Price quoted for projects is a major differentiator, the quality of products being same. 2. Bargaining power of Customers Large

number of IT companies vying for IT projects  resulting in high competition for projects.

Huge decline in IT expenditure: Indian IT sector is dependent on USA and BFSI in particular for majority of its revenues, and with the recent financial crisis, the new spending from these has reduced tremendously. 3. However, for the existing products and services, the clients continue the old companies. 3. Bargaining power of suppliers For TCS there are few important suppliers, because TCS inputs are standard commodities and there is little opportunity for differentiation on the input side. 4. Barriers to Entry Its quite difficult for a new competitor to enter and operate at the level of TCS g lobally. But for local clients this threat prevails to some extent. 5. Rivalry among the existing players Commoditized offerings results in 'low-cost, little-differentiation' little-differentiation' positioning. There are strong competitors and few numbers of large companies.

SWOT Analysis:

Strengths

y y y y y y y

Good working Environment Cost advantage Effective communication Market share leadership Strong brand equity Pricing Reputation management

Weakness

y y

Opportunities

y y

y y

Growth in worldwide IT services Focus on high end business and IT consulting Expanding operations in countries like China

Doesn't innovate Significant exposure to financial services market

Threats

y

y

y y y

y y

Intense competition from foreign firms like Accenture, IBM etc. Increased competition from low-wage countries like China, Indonesia etc. Increasing employee costs Converging IT salaries, US and India Global economic dislocations in client markets (Europe but also US) hit I ndia (and China) disproportionately Rupee appreciation Attrition and Employee loyalty

BCG Matrix for TCS

   H    G    I    H

Consulting BPO Infrastructure Services    e    t    a    R     h    t    w    o    r    G    s    s    e    n    i    s    u    B    w    o    L

Packaged Implementation Implementation KPO Engineering & Industrial Services

None

Application Development & Maintenance Software products

HIGH

Relative Position (Market Share)

LOW