TCS Vs INFOSYS

Past, Current, Future Plans

ARSHPREET KAUR
SHAU CHAUHAN
SIDDHARTH MALHOTRA
MBA 4 (2013-2015)
UNIVERSITY SCHOOL OF BUSINESS
CHANDIGARH UNIVERSITY

INTRODUCTION AND
PAST PLANS

Entry in market by TCS

Its early contracts included providing punched card services to sister
company TISCO (now Tata Steel), fortune ranking 1 working on an InterBranch Reconciliation System for the Central Bank of India, and providing
bureau services to Unit Trust of India.
In 1979, TCS delivered an electronic depository and trading system called
SECOM for the Swiss company.
In 2004, TCS came up with TCS Global service delivery framework
In 2005, TCS became the first India-based IT services company to enter
the bioinformatics market.
In 2006, TCS designed an ERP system for the Indian Railway Catering and
Tourism Corporation.
In 2008 ,Recession came which effected the business ,as TCS was having a
model in which they were collecting contracts ,which were formed and
delivered but due to recession contract offer got stopped .

Entry in market by INFOSYS

In 1981,The company is engaged in software development in the form of
services, turnkey projects and products for the domestic and export market.
The software development is targeted towards the distribution, banking,
telecommunication and manufacturing sectors worldwide.
Finnacle is a core banking software package developed by Indian
technology corporation Infosys
In 1985-1990, the time difference, Infosys realized it had to have a value
proposition that could excite customers, and hit upon a 24-hour workday.
In the time customers in the US went home from work and returned the
next morning, a solution would be waiting them. The Global Delivery Model
(GDM) was born.
Infosys market capitalization has grown from Rs. 192 crore* in fiscal 94, to
Rs. 82,154 crore* in fiscal 06.
In 2008, when recession came infosys wasnt effected much due to their
policy of having contracts on lease which were long duration .

CSR policies adopted by TCS

Developing innovative solutions to address large-scale societal problems by
utilizing our IT core competence.
Volunteering for projects that address the felt need of communities in which
TCS operates, while aligning with the core themes of TCS CSR.
Participating in community development program championed by our
clients.
Partnering with select non-government and civil society organizations and
other government bodies.
Supporting large-scale causes such as disaster relief or any other cause as
determined by the Corporate CSR Council.

CSR policies adopted by INFOSYS

Sustainability agenda focuses on three themes social contract, resource
intensity and green innovation.
SOCIAL CONTRACT:
Launched First Take, a communication campaign to sustain direct connect with
employees.
Covered 372 colleges under Campus Connect, our industry-academia
partnership program.
Citizen of Earth (iCOE) is the Infosys program to build responsible citizenship
among Infoscions around the world.
RESOURCE INTENSITY:
43.6 percent reduction in electricity intensity against the baseline set in fiscal
year 2008
34.5 percent reduction in water intensity against the baseline set in fiscal year
2008

 Green innovation:
95 percent improvement in enterprise storage performance from Dynamic
Storage Tier technology deployment
Partnered with COMMIT to develop wearable computing technology
25 percent improvement in agent productivity for a telecom client that
deployed Assist Edge
Reduction in carbon footprint by optimizing the customer asset
management process
Developed a platform for a major US electrical utilities company to enable
consumers to switch to renewable energy
75.6 million units of electricity from renewable sources in fiscal year 2014
10.1 MW of connected load reduction through HVAC retrofits since fiscal
year 2011
3.4 million sq.ft. of highest rated green buildings
2.0 MW of onsite solar power plants

CURRENT SCENARIO

Current plans of TCS

ADAPTING TO CHANGE
Every vertical has been asked to identify senior staff who have
not been very productive, say sources
Those under the scanner are above the rank of consultant senior consultant, principal consultant, vice-presidents
The firm is also pulling back staff from onsite locations,
especially those whose roles are not being considered critical

Current HR scenario of TCS

Manpower planning
TCS has standard practices and processes for resource mobilisation.
Manpower Allocation Task Committee (MATC) is a corporate function
with branch and geography level representation. Its main responsibility is
allocating people in various projects. The TCS intranet systems maintain
up-to-date resumes and skill sets of all associates.

Learning and development

TCS invests about 4 per cent of its annual revenues in Learning and
Development, to build competency capital within the company in cutting
edge technologies, domain and functional areas. Special emphasis is placed
on providing necessary learning interventions to associates with potential
of being leaders in the company.

Current HR scenario of TCS

Continuous Learning Program (CLP)
Continuous Learning Program (CLP) is a manifestation of the company's commitment to
the continuous growth of associates, in line with the core value of Learning & Sharing.
Leadership Development Program (LDP)
Associates are carefully assessed for leadership potential and then put through rigorous
branded programs. TCS also encourages associates to attend various programs at premier
B-schools across the globe.
Foreign Language Initiative (FLI)
Foreign Language Initiative is to help the associates to communicate effectively with the
customers. Under this initiative, associates are encouraged to learn one or more foreign
languages. This initiative also helps associates to use English effectively for business
communication. This is highly beneficial in a company with a diverse workforce.

Compensation Plan of TCS

Global HR of TCS, said India's largest IT exporter, which employees
around 3 lakh people, is looking at increasing salaries of those joining
fresh out of campus.
Currently, entry-level salaries in TCS and other IT exporters are in the
range of 3.2-3.5 lakh annually.
While compensation is important, their medical policies are the
best in the industry and they have offered hikes of 10 per cent in the
last financial year,
Mukherjee said that attrition cools down in the second half of the
financial year. Attrition in TCS is amongst the lowest in the top IT
companies, with the company reporting 12.8 per cent attrition in the
second quarter of this financial year, lesser than Infosys and Wipro.

Current IT Scenario of TCS

After the recent rally in its stock price, Tata Consultancy Services (TCS) is now the
worlds second-most-valuable ITservices company ahead of Accenture and HewlettPackard but behind IBM.
There are three key determinants of growth: First is the strength of the sales process. TCS has a pretty aggressive sales team with the
CEO himself leading the charge.
Then there is the ability to execute projects and manage margins. This is what lastly,
the continuity of the top management.
lastly, the continuity of the top management.
TCS, which accounted for nearly 47 per cent of the IT industrys combined market cap
and nearly four-fifths of the total net profit of listed IT companies on the BSE-500
index last financial year.

TCS launches five point plan for

effective e-Governance in India
E-Governance: is the application of information and
communication technology (ICT) for delivering government
services, exchange of information communication transactions,
between government-to-customer (G2C), government-to-business
(G2B), government-to-government (G2G) as well as back
office processes and interactions within the entire government
framework.
The three main target groups that can be distinguished in governance
concepts are government, citizens and businesses/interest group.

1. A nationwide mandate to allocate a fixed percentage (3%) of

the annual budget for e-Governance projects.
2. The need to adopt an integrated and holistic approach focused
on services.
3. National level oversight of any e-Governance programme
and thereby move from individualized e-Governance to
institutionalized e-Governance.
4. A Fixed Tenure concept where key government executives
are appointed for the entire term of any e-Governance
initiative.
5. A government standing committee to oversee national eGovernance programs.

FUTURE PLANS

FUTURE PLANS TCS (IT)

Target Sectors:
Apart from financial services (where Infosys has a major hold)
definitely retail, manufacturing, telecom, which we are already in,
there it sees 4% - 5% range of utility and pharmacy again in the 45% range. TCS would like to definitely push it to double digit sector
double-digit that is 12-15% and retail has the potential to go to 1520% from the current 12% level.
Pharma sector and healthcare will be somewhere in the 10-15%
range while manufacturing and hi-tech together can grow to 20%
plus.

FUTURE PLANS TCS (IT)

Verticals
TCS Bancs (Industry Leader)
Digital Vertical (Virtualization, Automation and Digital Marketing)
Core Strategies to adopt
There are two aspects that are going to play. One is the speed with
which we can acquire clients and the second one is the speed with
which we can build solutions.
Geographies to Target
South Africa
Middle East

FUTURE PLANS TCS (HR)

To cater to the plans for next 4 years, TCS hired a workforce of
45,000 in the 2015. TCS became the first organization to have a
million women employees. Also there has been an increase in the
lateral hiring.
To retain its employees after the buzz, TCS announced a one time
bonus for its existing employees, but also did decrease the annual
appraisal compensation to 8% for a C band employee.

FUTURE PLANS INFOSYS (IT)

Exploring to acquire companies in newer technologies like artificial
intelligence, collaboration, automation, Internet of Things
Engaging with start-ups to complement capabilities and invest in
them where required
Acquiring 'innovative? companies for geographic penetration
Improving sales engine by retraining and launching automation
platforms like marketplace
Expanding headcount in newer technologies like big data &
analytics, cloud and digital

FUTURE PLANS INFOSYS (IT)

Infosys is modelling its research and development arm, Infosys
Labs, on the lines of the legendary labs such as those of Xerox PARC
and Bell Labs.
Also working on including the possibility of creating next gen tech
services to cater to areas such as 3D printing, home and office
automation.
Infosys has even architected the company's second major
acquisition this year after Panaya, spending $120 million to buy USbased mobile commerce company Skava.

FUTURE PLANS INFOSYS (HR)

To Cater to the future plans, Infosys will recruit up to 300
management and technology graduates from leading US universities.
They will work across multiple technology domains including digital,
big data, analytics and cloud. Up to 180 graduates will be recruited
into the Infosys consulting practice in the US. They will join existing
teams advising clients on business and technology transformation
strategies. Infosys will also continue its global recruitment program
of hiring MBA graduates from leading business schools, and will
recruit 100 Masters graduates for its sales teams under this initiative
To stabilize the attrition which was 21% , Infosys did gave I phones to
Managers handling core positions.
It Kept the appraisal compensation similar as during previous years.

THANK YOU