Mumbai, June 7: Tata Consultancy Services (TCS) is awaiting an opportune moment for making an initial public offering (IPO), company CEO S Ramadorai said in Mumbai on Wednesday. "However, finding the right value of TCS' shares would be important to pursue our growth strategy through acquisitions, to supplement organic growth, and to raise funds for the purpose. But we don't find the need in both the contexts now", Ramadorai told reporters here on Wednesday.The Rs 2100-crore software and services company expects about 25 per cent of its revenues in 2001 to accrue from its key business driver for growth - its e-business services. The segment currently accounts for about 10 per cent of the company's turnover. Speaking at a press conference, Ramadorai also said that the projected revenues for 2001 stand at about Rs 3,000 crore. He also said that the company was looking at "acquisition-based growth both domestic and overseas". He was, however, unwilling to disclose details.
Ramadorai also said that about 30 per cent of TCS' revenues are expected from the company's products business (as opposed to the current 5 per cent) in the next 4-5 years. The company has filed for about 18 process patents so far, he adds. Leveraging its expertise, insights and experience in the e-biz market over the last three years, TCS had identified delivering the widest range of offerings, establishing specialised pactices such as ERP and CRM, and entering into strategic partnerships with e-biz product companies as its focus areas for enhancing end-to-end business solutions, he said. Already, TCS has solutions in "think, build and operate services" covering E-strategy to implementation and maintenance with tools for e-biz audit and strategy, architecture, various implementation services and outsourcing services for call/web centres and back office operations, he added.
Explaining TCS' unique strengths in the market, Ramadorai said "the combined knowledge of business domains and technology puts us in a unique position of delivering end to end business solutions." He added that much of the company's business will continue to come from overseas. The domestic market accounts for just about 10 per cent of the company's revenues according to Ramadorai. "We have aligned our offerings in three key areas- think, build and operate" says N Chandrasekaran, e-business practice head, TCS. Under these heads, the company offers services ranging from e-business audit and strategy to solution implementation and maintenance. Under the "think" services, the company undertakes e-business audits and strategy consultancy.
Under "build", it offers e-business solution implementation services which can be integrated with legacy and backend systems and the "operate" services include oustourcing of services for call / web centres, back office operations, help desk and ASP services which is a focus area for the company according to Ramadorai.
TCS has a series of partnerships for both consulting as well as systems integration. Some of these are with Oracle, Sun Microsystems, Broadvision and Siebel.
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