Tata Consultancy Services (TCS) said on Friday that the company expects to add 15,000-18,000 people to its headcount over the next 12 months, compared with nearly 8,700 in the three months to December. TCS currently has about 144,500 staff.
However, CEO S Ramadorai said in an interview that the company expects to slow its rate of hiring new staff this year, as a broad economic downturn affects its global clientele.
Ramadorai said some contracts and projects were being delayed or cancelled, but the company expected to achieve some earnings growth in 2009 despite the worsening global economic outlook.
"We are confident of some growth, but what that amount is difficult to say," he said. "Yes, we are winning some contracts, but then there are delays in the decision making on a number of contracts," he said, adding there were hold-ups in implementing deals that had already been signed as well as several project cancellations.
"The slowdown is very obvious and very visible, and we think it will continue for the foreseeable future."
TCS, part of India's Tata Group, posted a lower-than-expected 1.6 per cent rise in October-December net profit on January 15.
Agencies
Showing posts with label Tata Consultancy Services. Show all posts
Showing posts with label Tata Consultancy Services. Show all posts
Monday, January 26, 2009
Wednesday, January 21, 2009
TCS may go slow on lateral hiring
The country's largest software company, Tata Consultancy Services (TCS), plans to go slow on lateral hiring. According to a report in a leading business daily, faced with the current tough business environment, TCS will be focusing more on trainees.
The company, however, is not planning any freeze on salary hike, though it said that the next year's salary hike would be in single digit per cent range.
TCS has been very controlled about the numbers that we take from here. The focus is on trainees as from cost management perspective this will balance out, said, Ajoy Mukherjee, VP and head, global HR, TCS, in the report.
TCS which reported net additions of 8,692 employees in third quarter, the highest in any of the last five quarters, however, assured that it will honour its commitment on hiring 24,800 people during financial year 2009-10.
Mukherjee added that while I am not saying that we will not hire experienced people, but it will be based more on domain expertise and business need. Besides, for off-campus recruitment, which we did in the fourth quarter to fill on gaps due to attrition, is also clearly ruled out this year. The other focus area also is shift from onsite to offshore.
Further, despite troubles in the US economy, TCS reported a robust 32 percent Y-o-Y growth in business in the region with 320 bps improvement in operating margin at 33.4 per cent in the just ended third quarter. Growth in the European market was lower at 23.4 per cent and came on 180 bps lower margin of 29.2 per cent.
TCS, however, reported lower utilisation rate including trainees during the OND quarter. The company's utilisation rate fell from 74.7 percent in the last quarter to 71. per cent.
Agencies
The company, however, is not planning any freeze on salary hike, though it said that the next year's salary hike would be in single digit per cent range.
TCS has been very controlled about the numbers that we take from here. The focus is on trainees as from cost management perspective this will balance out, said, Ajoy Mukherjee, VP and head, global HR, TCS, in the report.
TCS which reported net additions of 8,692 employees in third quarter, the highest in any of the last five quarters, however, assured that it will honour its commitment on hiring 24,800 people during financial year 2009-10.
Mukherjee added that while I am not saying that we will not hire experienced people, but it will be based more on domain expertise and business need. Besides, for off-campus recruitment, which we did in the fourth quarter to fill on gaps due to attrition, is also clearly ruled out this year. The other focus area also is shift from onsite to offshore.
Further, despite troubles in the US economy, TCS reported a robust 32 percent Y-o-Y growth in business in the region with 320 bps improvement in operating margin at 33.4 per cent in the just ended third quarter. Growth in the European market was lower at 23.4 per cent and came on 180 bps lower margin of 29.2 per cent.
TCS, however, reported lower utilisation rate including trainees during the OND quarter. The company's utilisation rate fell from 74.7 percent in the last quarter to 71. per cent.
Agencies
Thursday, December 18, 2008
TCS to tie up with Ferrari for Formula One
Tata Consultancy Services announced on Thursday that it has entered into a partnership with Ferrari F1 car for the 2009 Formula One season.
The clarification from TCS came following reports that Tata branding would appear for the first time on the scarlet Ferraris of Felippe Massa and Kimi Raikkonen fighting for world championship honours in 2009.
"Building on our existing long-term relationship of over 3 years, Tata Consultancy Services has entered into a historic agreement with Ferrari for an enhanced technology and marketing partnership. As part of the deal, the Tata logo will be displayed on Ferrari FI car for the 2009 Formula One season," a TCS spokesperson said in a statement.
Tata Consultancy Services was the first Indian company to enter the Formula One arena in 2005 when it became the technology partner of Ferrari, the spokesperson added.
Ferrari head honcho Luca di Montezemolo, who had declared brand the Tata will appear on the Ferrari for the first time, had not mentioned which of the Tata brand would appear - the Tata group, or the Tata Motors.
It is in the backdrop this report that TCS has made the official announcement regarding its Formula One Tie up. TCS has supplied many major programmes and solution in the design, manufacture and operation of many sports cars including F1.
The clarification from TCS came following reports that Tata branding would appear for the first time on the scarlet Ferraris of Felippe Massa and Kimi Raikkonen fighting for world championship honours in 2009.
"Building on our existing long-term relationship of over 3 years, Tata Consultancy Services has entered into a historic agreement with Ferrari for an enhanced technology and marketing partnership. As part of the deal, the Tata logo will be displayed on Ferrari FI car for the 2009 Formula One season," a TCS spokesperson said in a statement.
Tata Consultancy Services was the first Indian company to enter the Formula One arena in 2005 when it became the technology partner of Ferrari, the spokesperson added.
Ferrari head honcho Luca di Montezemolo, who had declared brand the Tata will appear on the Ferrari for the first time, had not mentioned which of the Tata brand would appear - the Tata group, or the Tata Motors.
It is in the backdrop this report that TCS has made the official announcement regarding its Formula One Tie up. TCS has supplied many major programmes and solution in the design, manufacture and operation of many sports cars including F1.
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