  

TODAY AND
TOMORROW
Founded 1968
Type Public
Headquarters TCS House,
Raveline Street Fort,
Mumbai,India
Key people Ratan Tata, Chairman
S.Ramadorai, CEO & MD,
Industry Information Technology
Slogan Experience Certainity
Website http://www.tcs.com/
 History

• TCS was established in 1968.

• It started off as a division of the Tata
Group
• Main business was to provide computer
services to other group of companies.
• TCS first software export project was
undertaken in 1974.
• Thus the Indian Software Export Industry
was born.
 History (Contd)

• In 1980, TCS and a sister Tata firm

accounted for 63 % of the Indian software
industry exports.
• The early 1990s saw a boom in TCS's
business, which also resulted in a massive
recruitment drive by the company.
• In 2004, TCS became a public listed
company.
 TCS Overview
• TCS is one of the world’s largest providers
of IT, consulting, services and BPO
• Asia’s largest IT services firm (2007)
•The Leading Indian IT Services Company
– Largest software exporter from India for last 30
years.
– $4.3 billion Revenue in FY2007
– Largest number of employees (92,000)
among all Indian IT companies
 TCS Overview (contd)

•Comprehensive Presence Across:

– 39 Countries in 6 Continents
– 6 Major Service Lines
•Clients include 7 of the top 10 corporations in Fortune 500 list
•Listed in National Stock Exchange and Bombay Stock
Exchange in India
 TCS Revenue Growth

TCS is the Leading Indian IT Services Company

4.5

3.5

3
USD Billion

2.5

2 5.2%
=3
GR
1.5

1 CA
0.5

FY 01 FY 02 FY 03 FY 04 FY 05 FY 06 FY 07
TCS Employment growth
 Investment Highlights:
Robust IT Services Market

60

50 %
24
GR
40
CA
30
USD Billion

20

10
R3 1%
0
CAG
FY01 FY02 FY03 FY04 FY05 FY06 FY07E FY08 FY09 FY10

Source: NASSCOM

Indian IT-BPO Exports: Growth Rates and Projections

 Major Acquisitions

Tata Infotech
Exegenix (Canada)
Vertex (UK)
Comicrom (Chile)
FNS (Australia)
Bank of China
Internet global solutions
Phoenix global solutions
CMC India
 Current Competitors

Accenture
IBM
Wipro
Siemens IT Solutions and Services
Infosys
 Investment Highlights

Uniquely Positioned for Long-Term Growth

• Innovation: Essential Catalyst of Growth

• End-to-End Services Offering

• Global Network Delivery Model™

 Innovation at TCS

Business Model Services Delivery

Innovation Innovation Innovation
• Collaborating with • Coming together of • Global Network
startups SaaS and BPO Delivery Model™
• Innovative • Solutions leveraging • On demand service
commercial Intellectual delivery
models Property

Investment in new areas and work for hire models will enable greater effectiveness
 End-to-End Services

Asset Based
Global Solutions
Consulting
IT Solutions & Services

Engineering
Enterprise Technology &
Solutions Solutions Industrial
Services

Business Assurance
Business Services
Process Intelligence
Outsourcing IT Infrastructure
Services
 End-to-End Services
Expansion of new services is addressing current market needs and driving growth

Business Mix Change

10.2%
17.5%
Emerging Services
6.6% EIS
2.7% 5.8%
2.8%
22.3%
21.7%
Enterprise
Solutions + BI Asset Leveraged
Solutions
58.2%
52.2%

ADM
FY06 FY07

($2.9 B) ($4.3 B)

Emerging services (BPO, Infrastructure, Assurance and Consulting)

grew 141% in FY07
Global Network Delivery Model™

Global Sales Office

Global Delivery Centers
*
200
0

UK
UK && Ireland
Ireland
Since
Since 1977
1977

8 1
N.
N. America
America
Since
Since 1976
1976
Europe
Europe India
India
51 10 Since
Since 1985
1985 Since
Since 1968
1968
18 1 60 14
ME
ME &
& Africa
Africa APAC
APAC
IberoAmerica
IberoAmerica Since
Since 1981
1981 Since
Since 1992
1992
Since
Since 2002
2002
4 - 13 3
7 2

● 160 Sales Offices ● 33 Delivery Centers ● 39 Countries

 Indian Branches
TCS has branches in the following Indian cities
Mumbai Nagpur
Chennai Jamshedpur
Kolkata Gandhinagar
Delhi Coimbatore
Hyderabad Kochi
Bangalore Gurgaon
Thiruvananthapuram Noida
Lucknow Bhubaneswar
Ahmedabad Nabadwip
Pune
 TCS
TCS PUNE
HYDRABAD
 Global units
It has offices in about 39 countries
Argentina Uruguay
USA Netherlands
Mexico Portugal
UK Spain
Brazil Singapore
Canada Australia
Chile Luxembourg
China Copenhagen
Japan Norway
Hungary France
Germany South Africa
UAE
 Challenges Ahead

•TCS rapid growth in the past, was

partly due to the depreciating Indian
currency as compared to the US
dollar. Analysts expressed doubts
whether this momentum could be
maintained in the future.
 Challenges Ahead (contd)

• Only Tier 1 Indian company that is not

listed in US
• TCS margins are a bit smaller
compared to its huge revenues
• Business process outsourcing (BPO)
backlash in the US
• Slow in decision making
 Future

• Software is a field of uncertainity

• Depends on the policies taken by the client
countries
• Also on the emerging technologies
 Future (contd)

• TCS is conservative, especially in disclosing

its future plans to the media and general
public. TCS was described by media as
'India's best kept secret’.
 Future (contd)

• Policies of TCS are aimed mainly at

long term growth. So much of the
fluctuations in software industry will not
largely affect TCS growth.
• If the CAGR continues at the current
rate (35.2 %) TCS can expect a very
bright future.