Magazine article Workforce Management

India's Tata Joins the Fray

Magazine article Workforce Management

India's Tata Joins the Fray

Article excerpt

ESTABLISHED VENDORS for large-market HRO soon might have to make room for a new player with a considerable pricing advantage: Tata Consultancy Services.

With its huge global footprint and 99,246 India-based employeesthe largest IT workforce in that country-Mumbai-based Tata is now going head-to-head with the largest HRO suppliers with a new model that is already scoring wins against the big players.

Tata has five end-to-end HRO deals with major global companies in process. In October, it landed a $1.2 billion, 10-year IT and HRO contract with Nielsen, the global information and media company.

The initial offering is for global workforce administration for Nielsen's 40,000 employees, plus payroll administration in the U.S. and Australia.

"We fully expect to expand this contract to cover all global end-toend HR administrative work," says Caroline Brown, head of Tata's global HRO practice, based in London.

The company's deals are coming in under the radar.

"We decided from the outset that we will be successful hi HRO by taking on some big deals and proving to the market that we can be successful, instead of setting off fireworks before then," Brown says. "Without really taking our HRO offering to the market in a big way, we have already been placed on the lists for RFPs for most of the major potential HRO deals, along with IBM, Accenture and other major vendors, and have been selected over them in several global transformational HRO deals."

Tata is entering the HRO market with substantial advantages. The company is prepared to offer HRO services to more clients without a proportionate increase in its headcount. …

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