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ABSTRACT

The readers of this document will get to know the


Strength, Weakness, Opportunity & Threats for Tata
Consultancy Services and its future action plans based on
the same

Guided By -
Dr. Srirang Jha, Associate Professor, General

SWOT MATRIX Management, Apeejay School of Management

& ACTION Prepared by:


1. Aditya Anand Jha 29/005

PLAN 2.
3.
4.
Kajal Kumari
Kiran Chaudhary
Sanyam Malhotra
29/019
29/021
29/041
SWOT MATRIX
WEAKNESSES
STRENGTHS
Legal Squabbles
Strong order book of $34.6 billion in 2022
Product segment is not relatively impressive
Ranked #1 by revenue in the UK Software and IT Services
Nimble to fight Software-as-a-Service (SaaS) startups and
Rankings and #2 for most valuable brand
unicorns
200000 women employees – 40% of total
Largely dependent on North American and European
Dominant player in Cloud-native capabilities and digital
markets
transformation
Major products absent, largely dependent on services
Extremely strong capability in ERP Consulting, Cloud
Aging senior workforce, organizational inertia – Loss in
Consulting, and Retail transformations
deals
Established strategic alliances
Didn’t cracked China market like Accenture, IBM, and
Healthy balance sheet with strong financials
Cognizant
Strong dominance in domestic market
Lagging small, medium-size deals in Banking, Telecom,
Impressive client base with several fortune 500 clients
Manufacturing, and analytics space.

THREATS
OPPORTUNITIES TCS’ attrition in IT services (LTM) was 17.4% in FY
Transformation of digital universe 2022
Pursuing inorganic growth by acquisitions in strategic areas Disruption because of Data Laws in countries and
Emerging interest in cloud computing unions
For Digital Strategy and Digital mobility services by Bovemij Visa fees and legislations to impact the operating
Partner of choice by both Microsoft and Google model
5G rollouts in 2023-2024 Brexit to impact projects in EU markets
Global biopharmaceutical giant, Takeda has selected as the SaaS model of software to eat revenue
key transformation for digital-only banks Intense competition from domestic and international
players
Penalty from lawsuits will impact TCS reputation and
financial performance
Plan of
Action
Strength
Strength for
-
Opportunity Strategy
Strong order book of $34.6 billion in
2022 Implem
Opportu
Transformation of digital universe Start using Artificial Intelligence in
their services (As per GE Matrix)

Dominant player in Cloud-native


capabilities and digital transformation
entation
nity
Partner of choice by both Microsoft
and Google
Diversify their services by using data
from the preferred partners to

Strategy introduce new product in the new


market (As per Ansoff matrix)

Ranks 2nd for the most valuable brand Pursuing inorganic growth by Leverage the sociological change of
acquisitions in strategic areas increase in women employment by
2,00,000 are women employees – 40% investing in the market (As per GE
of total Matrix – High competitive strength &
high industry attractiveness)
Strength
Strength - Threat
Threat Strategy
Dominant player in Cloud-native Intense competition from domestic Implement focus differentiation
capabilities and digital transformation Strategy
and international players strategy & integrate the vertical
channels (Forward integration)

Leverage its brand value to attract &


Impressive client base with several TCS’ attrition in IT services (LTM) was retain the employees by reducing the
fortune 500 clients 17.4% in FY 2022 bargaining power of customers (As per
Porter’s 5 forces model)

Extremely strong capability in ERP Brexit to impact projects in EU File patents for its exclusive software
Consulting, Cloud Consulting, and markets services to reduce the potential of
Retail transformations new entrants (As per Porter’s 5 forces
model)
Weakness - Opportunity Strategy
Weakness Opportunity Strategy
Ageing Senior Workforce Pursuing inorganic growth by The experience of senior workforce
acquisitions in strategic areas could be utilised at strategic level
especially during merger &
acquisitions or they can be released
with a golden handshake

Transformation to industry 5.0 is the


right time for TCS to launch their
Major products absent, largely Transformation of Digital Universe products. Ex.- Oculus Headset to be
dependent on services used in Metaverse or can co-brand
with the telecomm service providers
to launch their own routers or optical
fibre cables

Should partner with their existing


Didn’t cracked China market like Partner of Choice by both Microsoft Silicon Valley partners and try to crack
Accenture, IBM, and Cognizant and Google the China’s Market analysing strategy
used by their American Counterparts.

Weakne
ss -
Weakness Threat Strategy
Implement trenchment strategy to
turnaround the weakness into
Nimble to fight Software-as-a-Service
SaaS model of software to eat revenue strength by focusing on cost
(SaaS) start-ups and unicorns
leadership strategy & integrating the
backward integration channels to
lower the power of suppliers (As per
Porter’s 5 forces model)

Leverage its brand value to attract


Lagging small, medium-size deals in Intense competition from domestic small medium-sized industries to
Banking, Telecom, Manufacturing, and and international players capture the new market with existing
analytics space products-market development (As per
Ansoff matrix)

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