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Case Studies
Chakrabarti, A.B., Bhole, RS., Joga, VS.,
Mattupalli, S. (2022). Tata Consultancy
Service: Expansion in Arizona,
Case Centre.
Tata Consultancy Services (TCS) is a leading Indian multinational IT services and consulting firm. TCS was historically
dependent on North America for its revenues. The company faced stiff competition from other IT companies from
India, Ireland, and other parts of the world. It was able to compete based on its low billing rates, which depended on
low-cost operations. Hence, they kept their workforce mostly Indian and stationed in India as well. However, a certain
minimum number of employees had to be positioned at client locations like the US. It was in the US that the company
was facing a severe backlash from politicians and policy makers to hire locally. As a result, the company declared to
go on a hiring spree for its operations in Phoenix, Arizona. They also declared investments in STEM related education in
the area to develop a pipeline of talent locally. However, this necessitates changes in the organizational architecture
of the company and a relook at the overall strategy of the firm.
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