TCS ( TCS) is an International multinational information technology (IT) service, consulting and business solutions company headquartered in Mumbai, Maharashtra.  It is a subsidiary of the  Tata Group and operates in 46 countries. TCS is one of the largest Indian companies by  market capitalization ($80 billion).  TCS is now placed among the ‘Big 4’ most valuable IT services brands worldwide.  TCS alone generates 70% revenues of its parent company,  Tata Sons.  In 2015, TCS is ranked 64th overall in the  World's Most Innovative Companies ranking, making it both the highest-ranked IT services company and the first Indian company. Forbes It is the world's 10th largest IT services provider, measured by the revenues.  As of December 2015, it is ranked 10th on the  Fortune India 500 list. On 12 January 2017,  N.Chandrashekaran was elevated as the chairman for Tata Sons .   Rajesh Gopinathan was appointed as the new MD and CEO for TCS. 
History [ edit ] 1968 to 2000 [ edit ]
Tata Consultancy Service Limited was founded in 1968 by a division of
Tata Sons Limited. Its early contracts included  punched card services to sister company TISCO (now Tata Steel), working on an Inter-Branch Reconciliation System for the Central Bank of India, and providing bureau services to  Unit Trust of India.
In 1975, TCS delivered an electronic depository and trading system called SECOM for the
Swiss company SIS SegaInterSettle ( deutsch); it also developed System X for the Canadian Depository System and automated the Johannesburg Stock Exchange. It associated with a Swiss partner, TKS Teknosoft, which it later acquired.  
In 1980, TCS established India's first dedicated software research and development centre, the Tata Research Development and Design Centre (TRDDC) in Pune.
In 1981, it established India's first client-dedicated offshore development centre, set up for clients  Tandem. TCS later (1993) partnered with Canada-based software factory Integrity Software Corp, which TCS later acquired.
In anticipation of the
Y2K bug and the launch of a unified European currency (Euro), Tata Consultancy Services created the factory model for Y2K conversion and developed software tools which automated the conversion process and enabled third-party developer and client implementation.  2000 to present [ edit ]
On 25 August 2004, TCS became a
publicly listed company. 
In 2005, TCS became the first India-based IT services company to enter the
bioinformatics market. In 2006, it designed an  ERP system for the Indian Railway Catering and Tourism Corporation. By 2008, its e-business activities were generating over US$500 million in annual revenues.   
TCS entered the
small and medium enterprises market for the first time in 2011, with cloud-based offerings. On the last trading day of 2011, it overtook RIL to achieve the highest market capitalisation of any India-based company.  In the 2011/12 fiscal year, TCS achieved annual revenues of over US$10 billion for the first time.  
In May 2013, TCS was awarded a six-year contract worth over
₹ 1100 crores to provide services to the Indian Department of Posts. In 2013, the firm moved from the 13th position to 10th position in the  League of top 10 global IT services companies and in July 2014, it became the first Indian company with over Rs 5 lakh crore market capitalization.   
In Jan 2015, TCS ends RIL's 23-year run as most profitable firm
In Jan 2017, the company announced a partnership with Aurus, Inc., a global leader in innovative payments technology, to deliver payment solutions for retailers using TCS OmniStore, a first of its kind unified store commerce platform.
 Acquisitions [ edit ]
Name Acquisition date Activities Country of HQ Price Employees (at acquisition) Notes Reference CMC Limited 2001 October IT Services IND $33.9 m 3,100 Gets Embedded Expertise & good Domestic customer reach. CMC Amalgamated with TCS on April 28, 2015.     Airline Financial Support Services India (AFSI) 2004 January BPO IND $5.1 m 400 BPO expertise in Airline and Hospitality sector   Aviation Software Development Consultancy India (ASDC) 2004 March IT Services IND $3.1 m 180 Phoenix Global Solutions 2004 May Business Process Outsourcing IND $130 m 400 Acquire expertise in insurance-domain consulting   Swedish Indian IT Resources AB (SITAR) 2005 May IT Services SWE $4.8 m n/a Acquire blue-chip European customers like Ericsson, IKEA, Vattenfall and Hutchison; SITAR was TCS’ exclusive partner in Sweden and a non-exclusive partner in Norway.   Pearl Group 2005 October Insurance UK $94.7 m 950 Acquired life and pension outsourcing business from Pearl Group; Domain knowledge of life and pension underwriting business.   Financial Network Services (FNS) 2005 October Core Banking Product AU $26 m 190 TCS acquired core banking solution product (BANCS) and access to 116 customers in 35 countries; FNS was an existing partner for TCS.   Comicrom 2005 November Banking BPO CHL $23 m 1,257 Entry into Latin America; Access to payment processing platform.   Tata Infotech 2006 February IT Services IND $259.2 m 3,600 The merger of Tata Infotech added 15 new Fortune 500 clients and enhanced TCS’ systems integration and infrastructure service capabilities.    TCS Management 2006 November IT Services AU $13 m 35 Access to Australian clients   TKS-Teknosoft 2006 November Banking Product CH $80.4 m 115 Expand product portfolio by acquiring rights to Quartz and ownership of Alpha and e-portfolio, enhanced presence in Switzerland and France  Citigroup Global Services Limited 2008 December Captive BPO of Citigroup Inc. IND $512 m 12,472 TCS acquired key Banking and Financial Services (BFS) domain knowledge.   Supervalu Services India 2010 September Captive IT/BPO unit of Supervalu Inc. in India IND $100 m 600 TCS had a deal with Supervalu to have their Software Outsourcing to TCS and acquired Supervalu India.  Computational Research Laboratories 2012 August High Performance Computing IND $34 m 80 Acquire expertise in High Performance Computing (HPC) applications and Cloud services   Alti SA 2013 April IT Services FRA $97.5 Mn 1200 Access to blue-chip French and European clients in banking, luxury, manufacturing and utilities sectors  Products and services [ edit ]
TCS and its 67 subsidiaries
provide a wide range of information technology-related products and services including application development, business process outsourcing, capacity planning, consulting, enterprise software, hardware sizing, payment processing, software management and technology education services.  Rgwfirm's established software products are  TCS BaNCS and TCS MasterCraft.  Service lines [ edit ]
TCS' services are currently organised into the following service lines (percentage of total TCS revenues in the 2012-13 fiscal year generated by each respective service line is shown in parentheses):
Application development and maintenance (43.80%) value; Asset leverage solutions (2.70%); Assurance services (7.70%); Business process outsourcing (12.50%); Consulting (2.00%); Engineering and Industrial services (4.60%); Enterprise solutions (15.20%); and IT infrastructure services (11.50%).  Operations [ edit ]
TCS has 289 offices across 46 countries and 147 delivery centers in 21 countries.
At the same date TCS had a total of 58 subsidiary companies.  
The Tata Consultancy Services campus in Lucknow
TCS BPS [ edit ]
TCS BPS (Business Process Services) is the third-largest India-based IT
outsourcing company (after capgemini). The BPS division had revenues of US$1.44 billion in the FY 2012-13 which was 12.5% of the total revenue of TCS.  TCS BPS has more than 45,000 employees which serve over 225 million customers across 11 countries.  The rate of attrition in BPS division during the financial year 2012-13 was 19.5%.  
In 2006, TCS won a $35 million contract from
Eli Lilly and Company for providing data management, biostatistics and medical writing services.  In 2007, it won a major multi-year deal from Swiss  pharmaceutical major Hoffmann-La Roche to provide data management, biostatistics, clinical programming and drug safety support to Hoffmann-La Roche's global pharmaceutical development efforts.   
The firm has also opened a business process outsourcing facility in the Philippines.
 Tata Research Development and Design Centre [ edit ]
TCS established the first software research center in India, the Tata Research Development and Design Centre, in
Pune, India in 1981. TRDDC undertakes research in Software engineering, Process engineering and systems research. Researchers at TRDDC also developed MasterCraft (now a suite of digitization and optimization tools) a  Model Driven Development software that can automatically create code based on a model of a software, and rewrite the code based on the user's needs. Research at TRDDC has also resulted in the development of Sujal, a low-cost water purifier that can be manufactured using locally available resources. TCS deployed thousands of these filters in the  Indian Ocean Tsunami disaster of 2004 as part of its relief activities. This product has been marketed in India as  Tata swach, a low cost water purifier.  Innovation Labs [ edit ]
In 2007, TCS launched its co-innovation network, a network of innovation labs, start up alliances, university research departments, and venture capitalists.
 In addition, TCS has 19 innovation labs based in three countries.  TCS' partners include  Collabnet, Cassatt, academic institutions such as IITs, Stanford, MIT, Carnegie Mellon and venture capitalists like Sequoia and Kleiner Perkins.  Employees [ edit ]
TCS is one of the largest
private sector employers in India, and the fourth-largest employer among listed Indian companies (after Indian Railways, Indian Army and India Post).  TCS had a total of 3,78,497 employees as of December 2016, of which 31% were women.     The number of non-Indian nationals was 21,282 as at March 31, 2013 (7.7%).   The employee costs for the FY 2012-13 were US$4.38 billion, which was approx. 38% of the total revenue of the company for that period.  In the fiscal year 2012-13, TCS recruited a total of 69,728 new staff, of whom 59,276 were based in India and 10,452 were based in the rest of the world.  In the same period, the rate of attrition was 10.6%.  The average age of a TCS employee is 28 years.  The employee utilisation rate, excluding trainees, for the FY 2012-13 was 82%.  TCS was the fifth-largest United States visa recipient in 2008 (after  Infosys, CTS, Wipro and Mahindra Satyam).  In 2012, the Tata group companies, including TCS, were the second largest recipient of H-1B visas.   As of June 2014, TCS has over 300,000 employees. It is world's third largest IT employer behind IBM and HP. 
Subramaniam Ramadorai, former CEO of TCS, has written an autobiographical book about his experiences in the company called The TCS Story...and Beyond. 
TCS is the title sponsor for
Amsterdam Marathon and New York City Marathon and one of the sponsors of  Berlin Marathon, Chicago Marathon, Boston Marathon, Mumbai Marathon. In India, it is the title sponsor of  World 10K held in Bangalore every year. TCS is a sponsor of  Indian Premier League team Rajasthan Royals since 2009. In addition, TCS provides Rajasthan Royals with technology to help in analysis of player performance, simulation and use of  RFID tags for tracking the players’ fitness levels and for security purposes in the stadiums.  TCS sponsors an annual IT quiz for high school students called  . TCS IT Wiz The TCS IT Wiz is the lagest quiz in India,attracting students who are studying between class 8 and class 12.This quiz is hosted by Mr.  Giri Balasubramanium. Controversies [ edit ] Class action lawsuit [ edit ]
On 14 February 2006, U.S. law firm
Lieff Cabraser Heimann & Bernstein, LLP filed a nationwide class action lawsuit against Tata. In July 2013, judge  Claudia Wilken of the U.S. District Court, Northern District of California in Oakland, California, granted final approval to the settlement of the lawsuit on behalf of all non-U.S. citizens employed by TCS within the state of California from 14 February 2002 to 30 June 2005. The workers claimed that they were forced to sign over their federal and state tax refunds to their employer, as well as stating their Indian salaries were wrongfully deducted from their U.S. pay. On February 22, 2013, the Company entered into an agreement to settle for a sum of INR 16,163 lakhs ($29.75 million), this class action suit filed in a United States Court relating to payment to employees on deputation.  
Charleston County in South Carolina sued Tata Consultancy Services for delivering botched software. TCS won the contract to create an online tax system (digiTax) for a $1.2 million. The system was supposed to go live in July 2004 but was plagued by several delays. Tata developed the software at its offshore development center in Chennai, India. The software was rejected by Charleston County during user acceptance testing where it failed to meet even the basic requirements. County sued Tata and it agreed to pay back $1 million in out of court settlement. Charleston County finally bought an off the shelf solution. 
A US grand jury has slapped two companies of India's Tata group - Tata Consultancy Services and Tata America International Corp - with a USD 940 million fine in a trade secret lawsuit filed against them. Epic Systems had accused TCS and Tata America International Corp, in a lawsuit filed in October, 2014 in US District Court in Madison which was amended in January and December 2015, of "brazenly stealing the trade secrets, confidential information, documents and data" belonging to Epic.
 Accusations of discrimination [ edit ]
In May 2013, the
Canadian Broadcasting Corporation, in its extensive coverage of the hiring of temporary foreign workers in Canada and the unemployment issues faced by Canadians, reported that TCS rarely hires skilled experienced Canadians at the Toronto offices while advertising open positions in Canada. TCS responded that the company hired more than 125 Canadian workers in 2013 who make less than 1.2% of the 10,452 workers the company has outside of India.  
In April 2015, a
class-action lawsuit against TCS was filed in a San Francisco federal court by a U.S. information technology worker and ex-employee, who accused the company of discriminating against American workers by favoring South Asians in hiring and promotion. The lawsuit claimed that South Asians comprise 95% of the company's 14,000-person U.S. workforce, and that TCS engaged in discriminatory practices by sourcing most of its workforce through the H-1B visa programme, by focusing its U.S.-based hiring disproportionately on South Asians and by favoring South Asian employees in its human resources practices. In response, TCS refuted the plaintiff's claims, assuring that it is an equal opportunity employer and bases its employment practices on non-discriminatory reasons. A spokesperson said that in 2014 alone the company had recruited over 2,600 U.S. hires.  See also [ edit ] References [ edit ] ^ http://www.tcs.com/investors/corp_governance/Pages/Ishaat_Hussain.aspx ^ a b c d e f "Annual Report 2015-16 US GAAP/IFRS". TCS. 17 April 2016 . Retrieved . 3 September 2013 ^ "TCS Q3 FY 2016-2017 Report" (PDF). TCS. ^ "Tata Consultancy Services". Forbes. 29 August 2013 . Retrieved . 3 September 2013 ^ "Tata Consultancy Services Ltd (TCS.NS)". Reuters . Retrieved . 3 September 2013 ^ a b "TCS Investor FAQs". TCS. June 2014 . Retrieved September 2014. ^ "TCS market value crosses Rs 4 lakh crore — stock at all-time high". Times of India. 2 September 2013. ^ "TCS market cap crosses Rs. 4 lakh crore". NDTV. 2 September 2013 . Retrieved . 3 September 2013 ^ "TCS brandvalue exceeds 5 billion". ^ "TCS has also accounted for at least 70% of Tata Sons dividends in the past three years, which would have worked in Chandrasekaran's favour". ^ http://www.news18.com/news/business/ishaat-hussain-appointed-chairman-of-tata-consultancy-services-1310369.html ^ "Tata Consultancy Services on the Forbes Asia's Fab 50 Companies List". Forbes. ^ "TCS joins top 10 global IT services companies club". Times of India. 22 Apr 2014 . Retrieved . 8 Jun 2015 ^ [profit.ndtv.com/news/corporates/article-indian-oil-tops-fortune-500-list-for-sixth-straight-year-1258697] ^ "Tata Sons chairman N Chandrasekaran may follow leadership style of JRD Tata". ^ "Boardroom drama at the Tatas". NewsBytes. ^ http://www.newindianexpress.com/business/2017/jan/12/tcs-names-rajesh-gopinathan-as-md-and-ceo-1558970.html ^ "Corporate Facts". TCS . Retrieved . 3 September 2013 ^ "Tata Consultancy Services Limited: The Pioneer in the Indian IT Industry". Case Study. ICMR. 1 January 1990 . Retrieved . 8 September 2013 ^ "Indian software keeps Swiss securities safe". Swissinfo.com. 14 January 2002. ^ "TCS acquires TKS Teknosoft". The Financial Express. 11 January 2006. ^ Kanavi, Shivanand (7–20 June 2004). "Megasoft". Business India: 46–54. ^ "IT Man of the Year: Standing Tall". Cover Story. Dataquest India. 22 December 2004. ^ "Star Performer Goes Public". Editorial. Chennai, India: The Hindu. 14 June 2004. ^ "TCS launches the country's first bioinformatics product". The Indian Express. 8 February 2004. ^ "ICT helps IRCTC book 3.5 lakh e-Tickets in a day". E-GovOnline.net. 11 July 2011. ^ Kanavi, Shivanand (7–20 June 2004). "Megasoft". Business India: 52. ^ "Eye on future, TCS in revamp mode". Hindustan Times. 12 February 2008. ^ "TCS targets SME market with cloud computing". Computer Weekly. 15 February 2011. fdaf ^ "TCS overtakes RIL as country's most valued firm – PTI". Moneycontrol.com. 30 Dec 2011 . Retrieved . 3 September 2013 ^ "TCS beats $10-bn revenue mark in FY12". Business Standard. 24 Apr 2012 . Retrieved . 3 September 2013 ^ TCS News & Events: Press Release : Department of Posts Awards Core System Integrator project to TCS. Tcs.com. Retrieved on 2013-12-06. ^ "TCS joins top 10 global IT services companies club". The Times of India . Retrieved . 2 July 2015 ^ "TCS first Indian company to top Rs 5 lakh crore market cap". Times Of India. 24 July 2014. ^ "TCS Crosses Rs.5 Lk Cr Market Cap". Bloomberg TV India. 24 July 2014. ^ "TCS ends RIL's 23-year run as most profitable firm. Recent Scams in TCS:Mumbai, April 16, 2016: Tata Consultancy Services (TCS), (BSE: 532540, NSE: TCS) a leading global IT services, consulting and business solutions organisation, today announced that it had received a jury verdict in a recently completed jury trial in a lawsuit filed by Epic Systems in the court of Western District Madison, Wisconsin. It is expected that the trial judgment will be entered in the case in the next six to eight weeks, following which the parties can file an appeal within 30 days after the judgment is filed. While TCS respects the legal process, the jury's verdict on liability and damages was unexpected as the Company believes they are unsupported by the evidence presented during the trial. The Company did not misuse or derive any benefit from downloaded documents from Epic System's user-web portal. TCS plans to defend its position vigorously in appeals to higher courts. TCS appreciates the trial judge's announcement from the bench that he is almost certain he will reduce the damages award. TCS did not misuse or benefit from any of the said information for development of its own hospital management system "Med Mantra' which was implemented for a large hospital chain in India in 2009.". Times Of. 20 January 2014. ^ indiainfoline.com. 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Retrieved . 2 July 2015 ^ "TCS faces class action lawsuit in US". MSN News. 4 April 2012 . Retrieved . 20 February 2013 ^ http://nl.newsbank.com/nl-search/we/Archives?p_action=doc&p_docid=11F320ACB663DBD0&p_docnum=1. ^ http://economictimes.indiatimes.com/tech/ites/us-jury-slaps-940-million-fine-on-tcs-tata-america-international-corp-in-trade-secret-case/articleshow/51853894.cms ^ "Canadian on EI shut out amid foreign worker influx — British Columbia — CBC News". Cbc.ca. 2013-05-20 . Retrieved . 2013-06-10 ^ Thibodeau, Patrick (16 April 2015). "IT worker's lawsuit accuses Tata of discrimination". ComputerWorld . Retrieved . 16 April 2015
 External links [ edit ]
^ parasuram  "TCS to implement unified global process blueprint for ASML "], Bizofit, India, 24 November 2016.