This report aims to deliver all the questions about how TCS can be globalized and few
suggestions involved in achieving the same. The initial part of the report discusses
strengths and competitive advantages of TCS. Along with strengths, few other challenges
including alignment and outsourcing issues that TCS faces, are identified. This report ends
with providing recommendations that would transform the existing position of TCS in the
global market.
Strengths
Tata Consultancy Services Limited (TCS) is a leading and India’s largest provider of IT
Services, Business Solutions and Outsourcing. The core competency of Tata Consultancy
Services (TCS) is the ability to provide low cost consultancies with high quality as per the
ever evolving market trends. (Prahalad,1990).
The immense talent, dedication and professionalism of several intelligent minds from
India’s Institute of Technology and various other engineering colleges across different
parts of India, continues to be the company’s greatest asset. All the TCS-ers are known for
their quick learning and fast adaptation skills. The company is in collaboration with the
local institutes, sending these mighty intelligent minds overseas to train them with the
latest technology available. This supported the company to develop low cost solutions and
products to fulfill customer demands. Another reason for TCS to satisfy its clients with
high quality solutions but with low cost is the low labor cost in India as compared to other
nations.
The reason for TATA to gain success is that their unconventional IT Technologies and the
great minds that work behind it. With the help of advanced technologies, TATA is able to
fore-think a problem in advance and prepare a contingency plan accordingly. For example,
in the Year 2000 problem, TATA and some other Indian IT firms were already organized
having the right tools and resources which were implemented to solve the issue. This gave
TCS a unique opportunity to gain the position ahead from its competitors in the IT Market.
Weakness and Challenges
Along with opportunities, the fast developing world brings TCS with challenges. The
challenges TCS face hinder them from further development. This can be divided into three
aspects: market, human resource and alignment.
TCS used to domain market to a monopoly degree especially in domestic area, which
made it a steady foundation. However, both blooming economy in India and global
competitors make continuous growth with a high margin not an easy job.
Economic reforms domestically and economic-stimulated laws lowered the price for it
infrastructure thus lowered threshold for it service/consulting industry. Many opportunities
