TCS introduces organisational rejig under new CEO K Krithivasan

In an organisational rejig, TCS on Saturday announced that it will now have business groups based on industry sectors and geographies under the new chief executive and managing director K Krithivasan.

It also elevated Harrick Vin as the new chief technology officer and Abhinav Kumar as the interim head for marketing.

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Under former chief executive and managing director Rajesh Gopinathan, the company in April 2022 adopted a new structure where its clients were organised depending on their respective revenue size. As per some media reports, this structure had led to some unease within the company especially in the higher echelons.

In a memo sent to colleagues reviewed by PTI, Krithivasan - who took over from Gopinathan as the head of the largest tech exporter on June 1 - said meetings with staffers and clients over the past two months led to the changes.

"…we believe, TCS can deliver the best value to the customers by synergising its domain and contextual knowledge across units. In this context, we have announced the new operating structure, which regroups our existing ISUs (industrial solutions unit) along industry segments into key business groups. The above changes will help in deepening customer centricity, which is pivotal to our growth,” a TCS spokesperson said.

This is the fourth reorganisation in the company in the last few years. Gopinathan had effected two such moves, while his predecessor N Chandrasekaran had also introduced one during his stint.

Interestingly, there are new services practices created by Krithivasan which are devoted to the enterprise cognitive business operations and artificial intelligence cloud which is prompted by the change in the business environment.

Officials said under every business group - which is arrived at either on the basis of industry or geography- there will be a division of clients as per their respective revenue sizes under the new structure, which means a part of the earlier structure has been retained.

As per the media reports which had come in the wake of Gopinathan's surprising resignation in March this year, there was a feeling of senior executives not taking ownership of clients as there was an inherent risk of an account going out of their hands once the company grows in size.

As the head of the banking, financial services and insurance segment, which contributes around 40 per cent of revenues, Krithivasan had himself kept the unit out of the earlier structure, as per the reports. On his elevation to the CEO's role, he had made it clear that there will not be any major organisational changes.

Kumar and Vin will take over their new roles from August 1, a company statement said.

An alumnus of IIT-Bombay, Vin has been with TCS for 18 years and takes over as CTO following the retirement of incumbent K Ananth Kumar, while Kumar, who heads marketing, replaces Rajashree R.