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TCS - Software Testing 2014

Vendor Analysis

by Dominique Raviart

published on Sep 19, 2014

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Report Overview:

Tata Consultancy Services (TCS) is the largest of all India-centric IT services vendor. The company was the first to reach $10bn in revenues. It is also one of the two-fastest growing firms in spite of its large revenue size and headcount.

Who is this Report for:

NelsonHall's Software Testing Vendor Assessment for TCS is a comprehensive assessment of TCS' software testing offerings and capabilities, designed for:

  • Sourcing managers monitoring the capabilities of existing suppliers of IT services and identifying vendor suitability for software testing services
  • Vendor marketing, sales and business managers looking to benchmark themselves against their peers
  • Financial analysts and investors specializing in the software testing sector.

Scope of this Report:

The report provides a comprehensive and objective analysis of TCS' software testing offerings, capabilities, and market and financial strength, including:

  • Analysis of the company's offerings and key service components
  • Revenue estimates
  • Identification of the company's strategy, emphasis and new developments
  • Analysis of the profile of the company's customer base including the company's targeting strategy and examples of current contracts
  • Analysis of the company's strengths, weaknesses and outlook.




Key Findings & Highlights:

TCS launched its testing services arm, Assurance Services Unit (ASU) in 1998. The name of the unit reflected TCS' intention of expanding its software testing service towards software quality, end-product certification and quality assurance. TCS Assurance Services Unit is the main unit in TCS which provides testing services; it had a headcount of 24k at the end of FY 2014. In addition, through other units, TCS has a total headcount of 28k testing FTEs, including career testers and non-career testers. It serves ~450 clients, and has 50 IPs.

ASU is aligned by vertical, in an organizational structure that combines technology capabilities with client domain knowledge. Key verticals mirror the vertical structure of TCS, and therefore include BFSI, telecom, retail and consumer products, manufacturing, high-tech, life science and healthcare, travel, transport and hospitality, energy, resources and utilities, media and entertainment, and others.

ASU is also broken down by geography: main zones are North America, Europe (including U.K.), ANZ, and in emerging markets Latin America, Asia Pacific (excluding ANZ), Middle East, Africa, and India.

ASU's head reports directly to the CEO of TCS. This direct line reporting is meant to provide independence from other service lines including ADM. ASU has P&L responsibility on testing projects, which is shared across country lines and other horizontal lines.

The largest testing clients of TCS include Target in the U.S., M&S, BAe and Talk Talk in the U.K.

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