Transcript TATA 2005 - HEC Paris

Best in France
January 2005
ES1- I
Olivier Guillaume
Leslie Pierce
Ravi Prakash
Ai Sato
Contents
TATA Consultancy Service (TCS)’S Corporate overview
Worldwide presence
 IP & SP concept at TCS
 Clients in Europe
 TCS in France
 HR and Strategy
 Talent management & Employee development
 Opportunities in France
 Constraints of doing business in France
 Message to the companies entering in France
 Message to the French government


TCS Corporate Overview
Tata Consultancy Services Limited (TCS) is the world-leading information technology
consulting, services, and business process outsourcing organization that pioneered
and envisioned the adoption of the flexible global business practices with its offshore
delivery business model for IT services, enabling its clients to operate more efficiently
and produce more value.






Headquarter in Mumbai, India.
Operation since 1968 and currently in 32 countries across 5 continents.
30000 employees worldwide
800 customers all over the world.
Total sales turnover close to $1.5 billion.
Listed in Bombay Stock Exchange and National Stock Exchange (Mumbai, India)
Since its foundation, TCS is the largest data-processing firm of India and the largest
private supplier of data processing departments and software of the Asian continent.
TCS is a part of one of Asia's largest conglomerates - the TATA Group – whose business
spread in Energy, Telecommunications, Financial Services, Chemicals, Engineering &
Materials .
Worldwide Presence
Europe, Middle East, Africa
Belgium
Italy
Spain
UAE
Finland
Denmark
Switzerland
South Africa
Germany
France
Sweden
Saudi Arabia
The Netherlands
Hungary
United Kingdom
India
China
Taiwan
Japan
South Korea
Hong Kong
Thailand
New Zealand
Asia Pacific
Australia
Singapore
Malaysia
Latin America
Argentine
Mexico
Brazil
Uruguay
Chile
IP & SP concept at TCS
TCS is organized around a multi-sector, multi-disciplinary matrix to bring a wide
range of technological capabilities best suited for a variety of industries.
TCS delivers real expertise in both breadth and depth.The IP-SP model brings about
‘cross-pollination’ of ideas and experience, leading to benefits in many – often
unanticipated – areas
Industrial Practice
Banking
Financial service
Insuarance
Telecom
Manufacturing
Retail
Transportation
Healthcare
Utility
Government
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
Service Practice
E Business
Application development & maintenance
Architecture and technology consulting
Engineering service
Infrastructure & development and management
E-security
Business process outsourcing
Clients in Europe
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
BNP Paribas
Societe Generale
Oberthur Card Systems
Airbus Industrie
Siemens Transportation Systems
UGS
BMW
GE Worldwide
Deutsche Bank
TUI
Dumrath & Faasnacht
ADAC
Commerz Bank
ECCO Sko
Post Denmark
Danfoss
MAN B&W
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
KLM Royal Dutch Airlines
Ericsson
Scandia
EDS PLM Solutions
Volvo Car
Saab Automobile
Nokia
Telenor
SIS SegaInterSettle AG
Swisscom
Credit Suisse First Boston
Credit Suisse Private Banking
Payserv
UBS
Royal Bank of Greece
ING Group
ABN Amro
Belgacom
TCS in France
 TCS entered in French market in 1992 in alliance with TKS Technosoft France SAS,
which has brought to TCS market knowledge and close connections in the local economy
in France through their 20 year partner relationship.
 Its turnover today is approximately EUR 20 million and with 15 large French
companies as its customers, such as Societe Generale, BNP Paribas.
 TCS has a Global Development Center in Budapest, Hungary to develop software for
European clients .TCS provides a cost effective optimisation global solution delivery model
clients. Especially Rumanians are considered important pool of support stuff with
their ability in French language.
 Currently half of employees are from India and the other half from France and others.
HR & Strategy
 Core Value & HR adaptation
Company
believes in providing highest customer satisfaction.
No failures or legal entangle with any French firm so far.
HR resources mobilised to cater to the clients in best possible manner.

Human resource personnel trained locally and globally
Training on key practices are imparted locally and when needed HR
personnel/employees are sent to India.
TCS follows all the HR rules dictated by French constitution.Practices “law
of the land” without any interpretations/deviations.
Talent management & Employee Development

Based on project requirement local employees are recruited in Europe
or associates are called from India.
 Employees are given project specific training locally or in India.Local
sales/marketing team sent to India to interact with the project teams.
 Other local employees are trained in France or sent to India.TCS is
involved in the execution of projects while TKS France takes care of
field marketing jobs.
Opportunities in France

TCS sees four major oppurtunities in the French market




Industry base
Infrastructure
Research and development capabilities
Connectivity to the customer

Anywhere in the world the above four factors make the industry work.

France therefore has all the basic pre-requisites for its industry to grow and
compete with the best in the world.
TCS views France as one of the key geographies of growth along with
US,UK,Germany and Japan.

Constraints of doing business in France





Work permit restrictions
Slow ‘decision cycles’ in public and private sector.It takes double or
even more time to take decisions in France compared to US.
Heavy social security and tax burden.
Heterogenety of EU community. The business rules are not coherent
because of divergent views within EU.
Overall the ‘Closed door’ policy of France is the major constraint to
business.
Message to Companies entering in France



Patience………….
Its difficult to reap profits from year 1 here.It takes time and investment before
things improve.
Its important to invest in learning language and culture.
Message to the French government





Leave the ‘ Follower’ mentality.
 Leverage the best solutions available worldwide
 Say yes to ‘outsourcing ’to attain competitive advantage
Get rid of socialist,conservative approach.
Look at outsourcing destinations such as India as ‘Value added’ service
provider» rather than just ‘cost benifit centre’.
Make the best of its very strong infrastructure.
‘Open doors’ to outside world and become competitive.
We thank
 Yogesh Anand, Resident Manager
TATA Consultancy Services
c/o TKS-TEKNOSOFT France SAS
1, Place de la Coupole
F-92084 Paris La Defence Cedex
Tel: +33 (0)1 53 20 12 12
http://www.tcs.com
http://www.tksgroup.com
Bibliography
References:


TCS Website
http://www.tcs.com/
TCS Quarterly Result announcement FY 2004-2005
Quarter 2

http://www.tcs.com/investors/pdf/PresentationMediaBriefing-Q2-2004-05.pdf
Our Team




Ravi PRAKASH, [email protected]
Olivier GUILLAUME, [email protected]
Leslie PIERCE, [email protected]
Ai SATO, [email protected]
HEC School of Management
1, rue de la Libération
78351 – Jouy en Josas Cédex
Tel: +33 (0)1 39 67 70 00
http://www.mba.hec.fr
http://www.hec.fr
Questions