A PROJECT REPORT ON MANAGEMENT INFORMATION SYSTEM IN TCS (TATA CONSULTANCY SERVICES

)

Guided by: by:

Submitted

ACKNOWLEDGEMENT

"Accomplishment of any task necessarily depends upon the willingness and enthusiastic contribution of time and energy of many people." The preparation of this project report has been highly rewarding and learning experience for me as it has broadened my outlook and given me a close and intimate view of the TCS. I take this humble opportunity to express my special thanks and portray my deep sense of gratitude to my project guide ……………………………….. whose invaluable guidance and supervision in the project infused in me great inspiration and confidence in making this project in right earnest. Her masterly guidance from time to time made the study interesting and meaningful. She was always there for my help and doing away all the difficulties and confusions that arose during the project period. She also helped me to understand what was actually required from the project and what was needed to be done. I would like to thank our respondents for their kind response and their precious time they provided me to carry with my project.

MANAGEMENT INFORMATION SYSTEM Management information system is a combination of computers and people that is used to provide information to aid in making decisions and managing a firm. they spend most of their time on computerized information handling MIS affects all areas of business – Manufacturing – Accounting & Finance – Human resources – Marketing .At last I would like to pay my word of thanks to my family members. and manipulated. INFORMATION SYSTEM Information system is concerned with processing the raw facts into information and transferring this information to the user. It is all about information. so they can do their jobs. It also takes feedback from the users so that input can be given. retrieved. all my teachers and my friends who have indebted me by supporting and encouraging me to go on with the project easily. stored. AN INFORMATION SYSTEM CAN BE MANUAL OR COMPUTER BASED. MIS professionals make sure that the right information gets to the right people at the right time. how it is collected.

Agency theory: Firm is nexus of contracts among selfinterested parties requiring supervision.– Top management AFFECT OF MANAGEMENT INFORMATION SYSTEM IN AN ORGANISATION Over the last few years. Information systems technology is a factor of production. like capital and labor. making it worthwhile for firms to transact with other firms rather than grow the number of employees. Transaction cost theory: Firms seek to economize on the cost of participating in markets (transaction costs). ECONOMIC IMPACT • • IT changes both the relative costs of capital and the costs of information. IT lowers market transaction costs for firm. Firms experience agency costs (the cost of managing and supervising). the information systems have greatly changed the ORGANISATIONAL ECONOMICS AND INCREASED THE POSSIBILITY OF ORGANIZING WORK. • • • • .

and without adding employees. Information technology encourages task force-networked organizations. and ideas .• IT can reduce agency costs. Virtual firms • Use networks to link people. assets. making it possible for firms to grow without adding to the costs of supervising. ORGANISATIONAL AND BEHAVIOR IMPACT IT FLATTENS THE ORGANISATION • • • • • Facilitates flattening of hierarchies Broadens the distribution of timely information Increases the speed of decision making Empowers lower-level employees to make decisions without supervision and increase management efficiency Management span of control (the number of employees supervised by each manager) will also grow POSTINDUSTRIAL ORGANIZATIONS • • Authority increasingly relies on knowledge and competence.

• • • UNDERSTANDING ORGANIZATIONAL RESISTANCE TO CHANGE • Information systems become bound up in organizational politics because they influence access to a key resource. Large organizations use information technology to achieve some of the agility and responsiveness of small organizations. Customization and personalization: IT makes it possible to tailor products and services to individuals. Small organizations use information systems to acquire some of the muscle and reach of larger organizations. . customers to create and distribute new products and services. • INCREASING FLEXIBILITY OF ORGANIZATIONS • Information systems give both large and small organizations additional flexibility to overcome the limitations posed by their size.• Can ally with suppliers. Not limited to traditional organizational boundaries or physical locations.

• IT infrastructure services. Few of its offerings are: • IT services. government and healthcare. and work. materials. TCS is the largest provider of information technology and business process outsourcing services in India The company is listed on the National Stock Exchange and Bombay Stock Exchange of India. engineering. India. financial services. the Tata Group. telecommunications.• • Information systems potentially change an organization’s structure. • Consulting. . TCS is a subsidiary of one of India's largest and oldest conglomerates. manufacturing. • Enterprise solutions. Most common reason for failure of large projects is due to organizational and political resistance to change. politics. TATA CONSULTANCY SERVICES Tata Consultancy Services Limited (TCS) is a software services and consulting company headquartered in Mumbai. which has interests in areas such as energy. chemicals. culture. • BPOs.

It began as the "Tata Computer Centre". It later bagged the country's first software project. and outsourcing bring you a level of certainty that no other competitor can match. it means achieving real business results that allow you to transform. greater efficiency and responsiveness to your business. and with high quality. F C Kohli was the first general manager. and the ability to shift investment to strategic initiatives rather than tactical functions”.• Engineering and industrial services. and not just maintain. one of the first business computer manufacturers. business solutions. JRD Tata was the first chairman. your operations. • Soft wares like TCS BANCS. Despite unfavorable government regulations like the License Raj the company succeeded in establishing the Indian IT Industry. Our IT services. within budget. the Inter-Branch Reconciliation System (IBRS) for the Central Bank of India It also provided bureau services to Unit Trust of India. thus becoming one of the first companies to offer BPO services. Tata Consultancy Services started exporting its services. Tata Steel (then TISCO). One of TCS' first assignments was to provide punch card services to a sister concern. History Tata Consultancy Services was established in the year 1968 and is a pioneer in the industry. You'll experience requirements that are met on-time. a division of the Tata Group whose main business was to provide computer services to other group companies. In the early 1970s. TCS was assigned to . followed by Nani Palkhivala. TCS's first international order came from Burroughs. It has been truly said that “At TCS.

the Tata Research Development and Design Center (TRDDC). TCS delivered an electronic depository and trading system called SECOM for SIS Sega Inter Settle. E-Business was contributing half a billion dollars (US) to TCS. In 1999. By 2004. Switzerland. which catered to two million customers in the US. Infosys.Bioinformatics . This experience also helped TCS bag its first onsite project . TKS Teknosoft. Wipro and Mahindra Satyam. During 2004. a data centre for ten banks. assigned TCS the task of maintaining and upgrading its computer systems In 1981. TCS saw outsourcing opportunity in E-Commerce and related solutions and set up its E-Business division with ten people. TCS ventured into a new area for an Indian IT services company . It was by far the most complex project undertaken by an Indian IT company. In the early 1990s. In 1989.the Institutional Group & Information Company (IGIC). TCS associated with a Swiss partner. much later than its rivals. Euro. The first client-dedicated offshore development center was set up for Compaq (then Tandem) in 1985. TCS became a publicly listed company. TCS pioneered the factory model for Y2K conversion and developed software tools which automated the conversion process and enabled third-party developers and clients to make use of it. TCS followed this up with System X for the Canadian Depository System and also automated the Johannesburg Stock Exchange (JSE). TCS set up India's first software research and development center. which it later acquired. the Indian IT outsourcing industry grew tremendously due to the Y2K bug and the launch of a unified European currency.write code for the Burroughs machines for several US-based clients. On 9 August 2004.

Jamshedpur. Sweden. Singapore. Israel. Kolkata. Switzerland. India Indian branches TCS has development centres and/or regional offices in the following Indian cities: Ahmedabad. Gurgaon. Malaysia. Guwahati. Germany. Bangalore. Hungary. South Korea. Gandhinagar. Italy. Japan. kochi. Taiwan. Finland. Norway. China. Bhubaneswar. Thailand. Delhi. the company went through an internal restructuring exercise that executives claim would bring about agility to the organization. Asia (outside India): Bahrain. France. Goa. Hong Kong. Hyderabad. Iceland.Morocco. Thiruvananthapuram. United Kingdom North America: Canada. Ireland. Saudi Arabia. UAE Australia: Australia Europe: Belgium. Chennai. Coimbatore. USA . Portugal. Denmark. Pune. Mumbai. Noida. Spain. Indonesia. Global units Africa: South Africa. Mexico. Offices and Development centres Tata Consultancy Services campus at Lucknow.Jaipur. Lucknow. Netherlands. Luxembourg.In 2008.

FNS 2005 IT Services India Core Banking Product - 190 Australia US$ 26 mn .List of acquisitions The table below gives some details of TCS' key acquisitions Numb Acquisiti Company Business Country er on Date Citi Global Services Limited Business Process India Outsourcin g Value Headcou nt Remarks TCS acquired key BFS domain knowledge. Expand product portfolio by acquiring rights to Quartz and ownership of Alpha and eportfolio. 2005 Banking BPO Chile US$ 23. enhanced presence in Switzerland and France Entry into Latin America. 2008 US$ 505 12472 mn 2 Novembe TKSr.7 1257 mn 4 5 February. 2006 Teknosoft Banking Product Switzerla US$ 80. Access to payment processing platform Acquired core banking solution product and access to 116 customers in 35 countries. 1 October 8.4 115 nd mn 3 Novembe Comicrom r. Tata 2006 Infotech October.

United US$ 94.FNS was an existing partner for TCS Acquired life and pension outsourcing business from Pearl Group. Acquired 6 October. Vattenfall and Hutchison. ASDC was a Singapore Airlines-TCS JV.0 Managemen IT Services Australia 35 r 2006 mn t Phoenix May 2004 Global Solutions US$ 13 mn 8 BPO India 350 9 Swedish Indian IT May 2005 Resources AB (SITAR) IT Services Sweden US$ 4. Domain knowledge of life and pension underwriting business Access to Australian clients Acquire expertise in insurance Acquire bluechip European customers like Ericsson. IKEA.7 Pearl Group Insurance 950 2005 Kingdom mn 7 TCS Novembe US$ 13.8 mn 10 May 2004 Aviation IT Services India Software Developmen t - 180 . SITAR was TCS’ exclusive partner in Sweden and a non-exclusive partner in Norway.

in Pune.Consultancy India (ASDC) Airline Financial Support Services India (AFS) Singapore Airlines as a major client BPO expertise in Airline and Hospitality sector Access to domestic capability. continues to be a separately run compa 11 January 2004 BPO India US$ 5.8 3100 m (51%) Innovation and R&D Tata Research Development and Design Center TCS established the first software research center in India.1 316 mn 12 October 2001 CMC Limited IT Services India US$33. the Tata Research Development and Design Center. India in .

Hyderabad: Computational methods in life sciences. natural language processing. wireless systems and wireless applications. TCS Innovation Lab. Process Engineering and Systems Research.1981. and venture capitalists. convergence engines. Embedded Systems: Medical electronics. IP Testing for Quality of Service. startup alliances. Research at TRDDC has also resulted in the development of Sujal. Delhi: Software Architectures. and rewrite the code based on the user's needs. TCS launched its Co-Innovation Network. meta-genomics. OSS/BSS systems. IMS. Software as a Service. and WLAN technologies. a network of TCS Innovation Labs. a low-cost water purifier that can be manufactured using locally available resources. and others. Mumbai: Speech and natural language processing. smart card-based applications. multimedia applications and graphics. In addition to TRDDC. • TCS Innovation Lab. TCS Innovation Lab.TRDDC undertakes research in Software Engineering. WiMax. University Research Departments. Researchers at TRDDC also developed MasterCraft (now called TCS Code Generator Framework)artificial intelligence software that can automatically create code from a simple computer language. TCS has 19 Innovation Labs based in three countries. e-security. TCS Innovation Lab. digital media protection. nanobiotechnology. data and process analytics. • • • • . WiMAX. WiMesh. networks such as 3G. quantitative finance. Innovation In 2007. systems biology. TCS deployed thousands of these filters in the Indian Ocean Tsunami disaster of 2004 as part of its relief activities. text. TCS Innovation Lab. Convergence: Content management and delivery.

United States: Engineering and Manufacturing IT solutions. . green computing.000 individuals. mKrishi.0 and next-generation user interfaces. Innovation in Product Development and Management (PLM) in Insurance.[. Scrutinet. TCS Innovation Lab: Performance Engineering.Chennai: IT Optimization. TCS Innovation Lab. and others. mKrishi is a service that would enable India's farmers to receive useful data on an inexpensive mobile device. Employees TCS is considered one of the largest private sector employers in India with a core strength in excess of 160. • • • • Some of the assets created by TCS Innovation Labs are DBProdem. Insurance . TCS' Co-Innovation Network partners include Collabnet. TCS has one of the lowest attrition rates in the Indian IT industry. In 2008. Mumbai: Performance management. academic institutions such as Stanford. Peterborough. Business Process Optimization. and venture capitalists like Sequoia and Kleiner Perkins. TCS Innovation Lab. utility computing and RFID (chips. Jensor. various IITs. high performance technology components. Cincinnati. MetricStream. Enterprise Mobility. Telematics. labels. .• TCS Innovation Lab. won the Wall Street Journal Technology Innovation Award in the Wireless category. England: New-wave communications for the enterprises. Cassatt. Chennai: Infrastructure innovation. the TCS Innovation Lab-developed product.Wanem. tags. MIT. readers and middleware). TCS Innovation Lab. Customer Centricity Enablers. Web 2.

analyze. hundreds of companies sell some form of HRIS and every HRIS has different capabilities. and data information needs of the Human Resources. retrieve. manipulate. and accounting functions within a business. and safety guidelines. The HRIS system is usually a part of the organization's larger management information system (MIS) which would include accounting. data tracking. manipulate. It is the system used to acquire. Human resource and line managers require good human resource information to facilitate decisionmaking. • Reporting and analysis of employee information. analyze. status changes. payroll. A human resource information system (HRIS) is a system used to acquire. Human resource Information system helps HR managers perform HR functions in a more effective and systematic way using technology. Pick your HRIS carefully based on the capabilities you need in your company. production. and distribute pertinent information regarding an organization's human resources. retrieve. • Benefits administration including enrollment. Normally packaged as a data base. and distribute pertinent information about an organization's human resources. and . emergency evacuation procedures.IMPLEMENTATION OF MIS IN TCS HRIS at TCS HRIS.THEORETICAL DIMENSIONS HUMAN RESOURCE INFORMATION SYSTEM The Human Resource Information System (HRIS) is a software or online solution for the data entry. store. • Company-related documents such as employee handbooks. and marketing functions. Typically. to name just a few. store. HRIS provides overall: • Management of all employee information. management.

the company was not a public limited company and hence could not have a stock option plan. There were several people who played an important role in the success of the organization. disciplinary. . EVA measured operating and financial performance of the organization and the compensation of all employees was linked to it.. TCS went in for the EVA as during that time. TCS aimed at creating economic value by concentrating on long term continuous improvement. The EVA Model TCS adopted EVA in 1999. The HRIS that most effectively serves companies tracks: • • • • • • attendance. performance development plans. Through the EVA model. pay grades and positions held. S Mahalingam (Mahalingam). EVA was adopted to focus on continuous improvement rather than short term goals and also to motivate employees. As there was no wealth sharing mechanism in place. when the company had a staff of around 15000. • Complete integration with payroll and other company financial software and accounting systems. Commenting on this. working at several locations across the world. pay raises and history. "We wanted to construct a defined incentive system. who needed to be recognized.personal information updating. which would reward on the basis of profitability.. CFO and Head Global Finance for TCS said... • Applicant and resume management. training received.

and an individual could contribute in any or all of these areas at all the three levels. The bonus banks also helped in sustaining performance from the individuals. transportation and telecom. TCS was organized into a three dimensional model with the first dimension comprising of industry practices.EVA-Linked Compensation System In 1996. Employees became aware of their responsibilities and their share in increasing the EVA of the unit and organization. The Benefits The benefits of EVA were realized across all levels in the organization. All the units could determine how they had fared against the targets. Through EVA-linked compensation. employees could claim stakes at three EVA levels . which included engineering.. The individual was informed how he or she could contribute to the EVA enhancement at all three levels. The units that did not fall under the purview of any of these were corporate offices and research & development. a geographical unit or a combination of all the three. . a practice. at the business unit and the individual level. with close relationship between pay and performance. EVA was controlled by revenues. technology consulting. while global and regional operating areas formed the third dimension A business unit could be a part of a service. Every unit was considered to be a revenue center and had its own EVA target. outsourcing. the second dimension comprising of service practices like e-business.at the organization level. There was an increased sense of belonging among the employees and the employees were motivated to increase their contribution as they were also equally benefited by the increase in EVA. the costs of which were divided among all the units. capital and costs..

TCS caused an uproar in the IT industry when it reduced the variable salaries of employees by 10%. This was the initial impact of EVA which was implemented in the company from April 01.. Industry analysts commented that EVA concentrated mainly on return on investments. .. .EVA was not just a performance metric but an integrated management process aimed at achieving long term goals. In 2003. One of the major benefits of implementing EVA in TCS was increased transparency in the organization. The decision making process became more decentralized. The internal communication within a unit had increased considerably.. The reduction in the variable salary resulted in an overall reduction of monthly take-home salary for most of its employees. The Drawbacks The EVA-based compensation system received severe criticism during the initial years of its implementation. due to which the growth of TCS could be restricted.. 2003.

In order to serve the clients in a more effective TCS has divided its client base into different ISUs (industry service units) for example TCS ISU ISU ISU ISU Telecom ISU Hi- Life science and Banking and finance Tech Government Healthcare Apple IRCTC RBS CITI group SBI Vodafone Pfizer Johnson & Johnson British telecom . From time to time these information systems have created a competitive edge over its competitors.BUSINESS MODEL: The different information system used by TCS to serve its clients in a more customized manner is what makes it distinguished from other it companies.

SBI etc. This in return helps the client in quick redressal of their queries and the company in maintaining sustainable customer relations. Phase 1 – development of software as per client requirement. Now with thehelp of this technology the bills of the different clients are updated automatically as per their vouchers and it is now a matter of only few hours to extract the updated bills. This has led to division of labour and specialization. Phase 3 – change as per requirement. Like for example the accounts officer who used to take at least three days to sort out and prepare the updated bills of different clients. Each ISU is headed by a separate chairman and different accounts (clients) are headed by group leader. . Though the business has been distributed into different segments yet it can be viewed and accessed as a single entity. Phase 2 – maintenance of software.Each ISU is divided into different accounts (clients) like for banking and finance ISU examples are Royal Bank of Scotland. CITI group. The whole procedure of developing information system is divided into phases. But at the same time they are interconnected through different information systems. Each and every employee can access data of every ISU as and when required to solve the query of the client. They have also implemented the concept of SIX SIGMA in their billing process which used to be done manually. The segregation of the clients in different ISU as per their sectors contributes to the maximum operational efficiency and quick retrieval of all the requirements of a project of that particular client.

• E.Mart. • Mind max. It includes • Time sheet entry. SYSTEM ENGINEER) “Dividing the whole business into different ISUs and their further division into accounts has led to easy and quick assessing of any information of that client which helps to deliver the satisfactory services to the client” AMARDEEP JAIN (ACCOUNTS OFFICER) “The use of six sigma technology in the billing system has led to efficient billing with almost no errors and it takes only few hours to extract the bills hence saving time of at least two days which is devoted some other useful work and helps in cost cutting. The system is known as ULTIMETICS. INTERVIEWS OF EMPLOYEES AJAY BANSAL (ASST. . All the information and the matter regarding this research have been provided by the employees who are currently working in the organization.In respect of employee management and knowledge enhancement the company has one of the best IT systems installed which helps to increase the employees’ productivity and efficiency. They made us aware about the different ISU (Industry Service Unit) and the other information system operating in the organization. • Shop portals. • No max site • Idea max. Following is what they said.

. It also contains IDEA MAX which encourages the employees to put in their innovative ideas and designs which are periodically analyzed by the management and if found viable is further recommended to R&D section. EXPECTED CONCLUSION: The manner in which TCS has implemented the MIS system has not only helped it to become largest IT firm in India but has also helped it achieve major position in global market.RAVI BHUSHAN BANSAL (HR EXECUTIVE) “Use of the HRIS has helped to maintain the database of the employees and their complete profile which helps to extract information as to which employee could fit in different jobs requirements”. MANISH SHARMA (GROUP LEADER) “The use of ULTIMETICS tool has helped the organization maintain regular time sheet entry. VINAY VERMA (SYSTEM ANALYST) “The benefits of EVA were realized across all levels in the organization. There was an increased sense of belonging among the employees and the employees were motivated to increase their contribution as they were also equally benefited by the increase in EVA. It has signed a deal with the country’s Ministry of External Affairs for the Passport Seva Project (PSP). Employees became aware of their responsibilities and their share in increasing the EVA of the unit and organization. It contains sites as NO MAX which gives the employees access to different online books and journal which are very much needed in updating their knowledge. TCS has been able to grab many IT projects latest has been INDIA PASSPORT DIGITISATION PROJECT.

The Tata group said the country-wide roll-out of the project will take place within six years and the government will open 77 passport filing centres across the country in a phased manner. it said. the ministry expects that the process of issuing a new passport will be completed in three working days while passports issued under the Tatkal scheme will be dispatched on the same day. The IT services and outsourcing firm also said that PSP would digitise the entire passport services lifestyle and allow online filing of applications.PSP is the largest mission-critical e-governance project in India valued at more than Rs1. . After implementation of the project. subject to address and police verification of applicants. According to the IT Company. will be scanned and submitted at passport facilitation centres. Applicants also have the option of filling the intelligent character recognition (ICR)-enabled form which. 000 crore (about US$204 million). along with all relevant documents. it will manage the project end-to-end which will be implemented within a buy-own-operate-transfer or BOOT framework with pilot projects operation within 19 months.

Sign up to vote on this title
UsefulNot useful