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Wee Beng Geok & Ivy Buche

Tata Consultancy Services Ltd (TCS), India’s largest IT services provider, reached a major milestone
when manpower strength crossed the 100,000-employee mark in October 2007. Based on a business
model heavily reliant on low-wage software engineering talent, TCS tapped with great success, India’s
large pool of engineering graduates, mainly from top universities, for its human capital needs. These
software project consultants formed the backbone of the company’s service delivery system and the
lynchpin of TCS’ growth as a global IT company.

TCS used a systems approach to design a training and development framework that had enabled the
firm to scale up the human capital requirements to meet rapid business growth. By the end of March
2008, TCS’ global employee strength was more than 111,000. Ninety percent of its IT consultants were
Indian nationals, as were majority of the TCS consultants in the USA.

However, as TCS followed its multinational clients and set up operations in China, the Chinese
government expected TCS to tap on local engineering talent as much as possible. The challenge for
TCS was whether the training framework it had used to build its India-based human resource pool
would also be effective in the Chinese context where TCS hoped to grow its second global delivery
hub after India.

Topics for discussion include: human resource development as competitive advantage; the use of
systems thinking in the design of training and development framework; strategic human resource
management and cross-cultural issues.

Associate Professor Wee Beng Geok and Ivy Buche prepared this case based on public sources. As the case is not intended
to illustrate either effective or ineffective practices or policies, the information presented reflects the authors’ interpretation
of events and serves merely to provide opportunities for classroom discussions.

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Figure 3 Developing IT Consultants for TCS China

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the Asian Business Case Centre
AsiaCase.com

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the Asian Business Case Centre ABCC-2008/12-004

EXHIBIT 2A

OVERVIEW OF TCS’ FINANCIAL PERFORMANCE

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Presentation.

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TCS’ SERVICES MIX FY2007-08

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EXHIBIT 3

TCS’ HUMAN RESOURCE POOL

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EXHIBIT 4

TCS’ COMPETENCY DEVELOPMENT MODEL

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EXHIBIT 5A

TCS’ CYBERNETICS OF TRAINING

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EXHIBIT 5B

TCS’ CAUSAL LOOP DIAGRAM FOR TRAINING

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EXHIBIT 5C

TCS’ TRAINING MODEL

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