1|Page

PROJECT ON

SWOT ANALYSIS OF TCS

SUBMITTED TO

MALAY SIR

(STRATEGIC MANAGEMENT)

United World School of Law (UWSL),

Karnavati University

SUBMITTED BY

Name: - Abhinandan Roy

Roll No: - 2

Semester:-4

Section:-B
2|Page

ACKNOWLEDGEMENT

The texted reported in this project is the outcome of my own effort and no part of this project
assignment has been copied in any unauthorized manner and no part of it has been incorporated
without due acknowledgement.

Abhinandan Roy
3|Page

RESEARCH METHODLOGY

OBJECTIVE

Analyzing the SWOT (Strength, Weakness, opportunities, threats) performed by/

tackled by TCS (TATA consultancy services) company.

HYPOTHESIS

With the upcoming and emerging company how this company handle its issue.
How do they manages to stay in the constant platform.

RESEARCH QUESTION

 Strengths
 Weakness
 Opportunity
 threats
4|Page

INDEX

TATA Consultancy Service ………………………………………………………5

Strength analysis of TCS………………………………………………………….6

Weakness analysis of TCS…………………………………………………………7

Opportunity analysis of TCS …………………..……………………………….. .. 8

Threats analysis of TCS……………………………………………………………9

Conclusion ……………………………………………………………………….10
5|Page

TATA Consultancy Services Limited (TCS)

Is the biggest Indian multinational information technology (IT) service and consulting company,

and is headquartered in Mumbai, Maharashtra, India It is a subsidiary of Tata Group and
operates in 149 locations across 46 countries.

TCS is the largest Indian company by market capitalisation. Tata consultancy services is now

placed among the most valuable IT services brands worldwide. In 2015, TCS was ranked 64th
overall in the Forbes World's Most Innovative Companies ranking, making it both the highest-
ranked IT services company and the top Indian company. It is the world's largest IT services
provider. As of 2018, it is ranked eleventh on the Fortune India 500 list. In April 2018, TCS
became the first Indian IT company to reach $100 billion market capitalisation, and
second Indian company ever (after Reliance Industries achieved it in 2007) after its market
capitalisation stood at 6,79,332.81 crore ($102.6 billion) on the Bombay Stock Exchange.

In 2016–2017, Parent company Tata Sons owned 20% of TCS; and more than 70% of Tata Sons'
dividends were generated by TCS. In March 2018, Tata Sons decided to sell stocks of TCS worth
$1.25 billion in a bulk deal.
6|Page

Strength in the SWOT Analysis of TCS :

Clients from diversified markets: TCS has clients from diversified industries such as Banking,
financial services, retail, telecom and media and entertainment etc. Exposure to diversified
business industries dilutes business risks of overdependence on a single market or industry.

Geographic Footprint: TCS has strategically expanded to geographically diversified markets

throughout the globe which includes North America, the UK, Middle East Europe, Africa and
Asia-Pacific. Presence in geographically diversified markets reduces business risks and creates a
strong global image for TCS.

Strategically established partnership network: TCS has established the strong partnership

with global companies around the world. It has partnered with some technology giants such
as Adobe, Amazon, Bosch, Dell and HP etc. These partnerships allow TCS to deliver
technologically sustainable and innovative business as well as strategic solutions.

Strong portfolio of services offered: TCS has a strong and balanced portfolio of offered

services which includes, Business process services (BPS) application development and
maintenance, IT infrastructure, business intelligence and much more. Such a strong and diverse
portfolio attracts various business clients.

Weaknesses in the SWOT Analysis of TCS :

7|Page

Legal battles: In 2014, TCS was involved in a legal battle against Epic Systems for alleged
misuse of Epic System’s confidential information. In 2016, TCS was found guilty and was
ordered to pay damages worth $940 million. TCS has opposed the judgment and challenging it to
the higher jurisdiction. Such incidents affect the image of the company.

Declining performance by Diligent: Diligent, a subsidiary of TCS has continuously performed

below par. The company is not expected to improve on performance soon and thus affects TCS’s
bottom-line.

Opportunities in the SWOT Analysis of TCS :                      

8|Page

Digital transformational technologies: The world is going digital and hence business dynamics
are also changing to the digital economy. TCS has focused on digitally transforming itself and
provide digital solutions. TCS should look ahead to spend more on digital transformation
technologies.

Cloud-based solutions: With the advent of digital transforming technologies and fast internet
connectivity. The world is moving towards cloud based solutions and as a matter of fact, the
spending on cloud services is expected to grow at a CAGR of over 19% in the next 5 years. TCS
has a solid infrastructure to provide cloud-based solutions and hence it is well poised to be
benefitted with the demand created.

Machine-to-Machine (M2M) solutions: M2M solutions are those which allow wireless as well
as wired communications systems. There is a positive outlook for M2M solutions in the future
and is expected to generate high revenues. TCS has a comprehensive suite of M2M services
which will enable to take advantage of the demand for M2M solutions.

Enterprise Mobility market: With increasing, mobile worker population and increased usage of
sophisticated mobile devices, enterprise mobility solutions are expected to be driven by business
applications. There is a latent demand for mobility solutions which is expected to grow at a
CAGR of 24.7% till 2022. With TCS’ increasing focus on developing enterprise mobility
solutions, it is well positioned to benefit.

Threats in the SWOT Analysis of TCS :

9|Page

Immigration restrictions: With stricter immigration laws, increased H-1B visa fees and

changing political circumstances in the US, Indian IT companies are expected to suffer from it as
it will increase its costs and impact profitability and hence this is a threat to the industry.

Intense competition: The IT industry is subjected to intense competition from companies such

as Wipro, Infosys, Accenture, Capgemini and Deloitte etc. This leads to pricing wars in the
industry and limits market share

CONCLUSION
10 | P a g e

SWOT analysis of Tata Consultancy Service analyses the brand/company with

its strengths, weakness, opportunity,&treats. In TCS the strenghts and weakness
are internal factor where as opportunies and threats are the external factor. SWOT
analysis is a proven manegement frame work which enables the rand like TCS to
benchmark its business & performances as compared to the compitator and
industries. TCS is one of the brand leading in IT sector.