Tcs Swot Analysis

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TCS Strength Weakness Opportunities (SWOT) Analysis TCS Strength

TCS is the industry leader in India and amongst the Top 10 IT services companies in the world in terms of revenues, profits, market capitalisation and number of employees. TCS has been building a full set of SAP life cycle services, from consulting to implementation, managed services, BPO and hosting, while deepening its technical and functional capability Increasing focus on domain-led solutions has led to investments in process maps, data models and solutions for numerous industries, including manufacturing, retail and CPG, life sciences, banking and insurance, travel and transportation, telecom, media and entertainment, and energy and utilities, as well as solutions in areas that are not currently addressed by SAP, such as dealer management and legal management solutions. Clients cite TCS's commitment to delivery excellence, flexibility to changing requirements, great teamwork and technical expertise as key strengths. TCS has large client base (936 clients) and balanced geographical revenue base with the lowest reliance on North America among top tier IT companies

TCS Weakness

Fueling the rapid growth has resulted in TCS relying more on junior, albeit well-trained, resources, which has given rise to clients' perception of inconsistent quality of consultants, skills mismatch and resource ramp-up delays. Although making strides, TCS still needs to improve its consulting capabilities and process depth to be truly a business and not solely a technology partner. Clients indicate that TCS could improve on its project management, communication and user change management skills areas that TCS is actively working on to improve.

Man power strength is more than 10,000 employees and thus, it is challenging to get personalized career development.

TCS Opportunities

Continuing investments in technology by its clientele, a growing preference for global sourcing and the emergence of newer technologies and business models offer many opportunities for TCS. Its integrated full services capability, global delivery footprint and scale have expanded its addressable market, strengthened its reputation and ensured its inclusion in the top tier list of vendors invited for the largest and most complex bids. These offer a sizable growth opportunity for TCS. Evolution of non-linear delivery models which could positively impact margins, superior platform offerings (Diligenta, Citigroup Global Services) nearing maturity which could expand the scope for cross-selling TCS Threats

Industry wide supply side pressures leading to attrition, wage inflation and eroding margins Innovative products/services of competitors New competitors entering the market

Economic slow-down in the key markets and potential anti-offshoring legislation

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