Tata Consultancy Services (TCS) is considering to divide its operational structure into four groups: acquisition, relationship incubation, enterprise growth, and business transformation, from the existing three, confirmed Rajesh Gopinathan, MD & CEO, in an exclusive interview with Network18.
"It is a logical evolution of where we are. Typically, we have been organised around three dimensions - geography, services and verticals. Now, we are trying to introduce a fourth dimension to our organisation," the TCS MD & CEO told CNBC-TV18.
"How do we achieve this kind of a change? What does it take to get us there? We need these engines of growth - cost and optimization and growth and transformation," Gopinathan said about the transformation taking place in TCS.
Growth and transformation projects undertaken by its customers would be the key for the IT behemoth to achieve the $50 billion revenue target that they have set, says the TCS MD & CEO.
Saying that earlier organisational structure was around geography, verticals and services, Rajesh Gopinathan asserted the company needed to have the right structure to participate in growth opportunities.
Explaining further on the new structural growth that the company was attempting, he added, "It will be a more balanced portfolio when we achieve the $50 billion revenue target."
"When we achieve $50 billion, TCS will be a lot more balanced on the business and technology front, around growth and transformation vs cost and optimization," Rajesh Gopinathan said.
Gopinathan claimed the focus of TCS had always been on growing customer franchises and that the new structure would help in the logical progression of a customer's journey.
Also Read: TCS starts taking small virtual steps towards metaverse
On the target to achieve this kind of change, he said, they are introducing this new growth engine as they aim to realise the logical progression of the company's relationship with its customers.
When asked about the aim of the restructural plan, Rajesh Gopinathan explained, "Again with our focus on the customer. The nature of customer relationships is very different if different scenarios are taken into consideration. More importantly, when we look at a customer's lifetime relationship with us, there is a journey that the customer goes through. Initial projects have to be developed in time to develop trust and relationships."
"The comfort results in a greater expanded relationship. Then the customer looks for the strategic value that they look for in us. This new dimension we are introducing will realise this logical progression of relationship with our customers. We want to see that the customer's journey with us should be as seamless and possible," he added.
Also Read: TCS to introduce new operating structure for four business groups: Report
TCS currently has operations in industry verticals like retail and consumer packaged goods, banking and financial services, and communication, among others.
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