How Fayol Can Be Read And Understood via TCS as an example.

1. Organisation Incorporating
Fayol’s Principles
(from 1990-2010)
 By:
Avni Ved #112
Deepankar Kapoor #76
Advertising, SIMC (UG)
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2. Henry Fayol
Fayol was a key figure in the turn-of-the-
century Classical School of management
theory. He saw a manager's job as:
 Planning (to foresee/anticipate and make plans)
 Organizing (to provide the Function with all is needed for its smooth running:
Supplies, Tools, Funding, Employees)
 Commanding (to lead the people employed by the organisation)
 Coordinating activities (to harmonise all actions of an Organisation
in order to facilitate its smooth running and success)
 Controlling performance (to verify if everything happens in accordance with
defined plans, orders given, and accepted principles)
Often termed as POCCC

3. Tata Consultancy Services
 Tata Consultancy Services (TCS) is a Software
services consulting company headquartered in
Mumbai, India. TCS is the largest provider of
information technology and business process
outsourcing services in Asia.
 In the early 1990s, the Indian IT outsourcing
industry grew tremendously due to the Y2K bug
and the launch of a unified European
currency, Euro.
 TCS pioneered the factory model for Y2K
conversion and developed software tools which
automated the conversion process and enabled
third-party developers and clients to make use of
it.
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4. Tata Consultancy Services
 Vision - to be one of the top 10 global companies
by the year 2010.
 Values - Leading change, Integrity, Respect for the
individual, Excellence, Learning and sharing.
 Mission – To help customers achieve their
business objectives by providing innovative, best-
in-class consulting, IT solutions & services. Make
it a joy for all stakeholders to work with us.
TCS has offices in 42 countries with more
than 142 branches across the globe.
The company is listed on the National
Stock Exchange and Bombay Stock
Exchange of India.
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5. CEO
Scalar Chain:
Chain of superiors from Top of
Management to the lowest rank.
Global Global Corp There’s a clear line of authority
Finance Affairs from top to bottom linking
managers at all levels.
Unity of Command:
Global HRD Global R & D Each employee has one and only
one boss
Special Unity of Direction:
North
Initiatives A single mind generates a single
America
CEO plan and all play their part in that
plan.
Global
EMEA Ibero
Consulting
America
CEO
Global Global
APAC
Marketing Operations
Source: www.tcs.com
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6. Authority
E-business Solutions of TCS – APAC
(The right to give orders and the power to exact obedience)
Enterprise
E-Commerce Enterprise Customer
Supply Chain Business Applications
& Internet Resource Relationship
Management Intelligence Integration
Services Planning Management
Services
Source: Think, Build & Operate – The TCS Strategy
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7. E-Commerce & Internet Services Supply Chain Management
Offers end-to-end e-commerce and TCS specializes in implementing
Internet services, including strategy,
implementation and total outsourcing.
leading SCM products i2, SAP APO,
Manugistics, Ariba & Oracle, using
Division
Include security consulting & audits, well-defined and proven methodology.
intranet & extranet applications, web
content development, web hosting,
of Work
etc.
Specializing
Business Intelligence encourages continuous
To a variety of industries, ranging improvement in skills
Enterprise Resource Planning from financial services to FMCG; and
and the development of
Integrate key business & management from large-scale enterprise-wide data
processes, providing a high-level look warehousing projects to multiple improvements in
to an organization’s business. integrated data marts. methods.
(Enterprise visioning, prototype
development, data conversion, etc.
Enterprise Application Integration
(EAI) Services
Customer Relationship Mgmt Special focus on industry leaders
CRM solutions enable companies to MQSI, Tibco, Seebeyond e-gate and
select, acquire and retain long-term Webmethods. Also assists customers
relationships with customers. These in integrating their ERP software with
span the re-engineering of customer- other applications such as CRM &
centric processes along with the SCM.
design, dvlpment, implementation and
packed solutions.
Source: www.bcs.org and www.tcs.com Copyright © Wondershare Software

8. Centralization & Esprit de corps
Consolidation
APAC of
management
functions.
Decisions are
E-Commerce & Enterprise made from
Internet Services Resource Planning the top.
Harmony and
Customer
Supply Chain cohesion
Relationship among
Management
Management
personnel.
(source of
Enterprise strength in
Business Applications the
Intelligence Integration organisation)
Services
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9. Order & Esprit de corps
 All materials and personnel have a prescribed
place, and they must remain there.
Life Sciences Energy &
BFSI
& Healthcare Utilities
Manufacturin Retail &
Others
g Distribution
Tele
Transportati
Communicati on
ons
Source: TCS SEBI Document, 2004 Copyright © Wondershare Software

10. Personnel Tenure
 Limited turnover of personnel. Lifetime
employment for good workers.
Source: www.citehr.com Copyright © Wondershare Software

11. Personnel Tenure & Remuneration
TCS keeps industry's best employee retention rate
Mumbai, Oct 16 ‘06(PTI)
The country's largest software exporter Tata
Consultancy Services (TCS) today said it has
maintained its position as the "employer of choice"
with the best retention rate in the industry.
The company, while announcing its second quarter
results today, said that as many as 8,919 employees
joined it in June-September period, taking its total
headcount to 78,028 employees.
The company's global human resources head S
Padmanabhan said, "We continue to be the employer
of choice in the industry with the best retention rate
and this is helping us execute on the ground globally."
SOURCE: http://www.highbeam.com/doc/1G1-152897541.html
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12. Subordination of the individual &
Equity
 TCS’ revenue growth was propelled by the Internet
revolution.
 Management Consultancy Division
 Human Resource Development (HRD),
 Management Information Systems (MIS) and
 Materials Management, offered strategic and operational solutions,
working in close collaboration with software consultants.
 TCS is rated since 2001 in many surveys as the “Best
Company to work for”
 Most of the freshers’ first preference includes TCS They
offer the best salaries at par with global standards.
 Employees consider it as their safest job ever. (survey:
business standard, 2006)
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13. Equity
 Over time, TCS pioneered several best practices in
the Indian IT industry. The company followed a
unique factory approach in managing its functions
including product development, creating new
infrastructure and human resource management.
 In 1998, TCS generated revenues of Rs.10.83
bn, representing 11.1% revenue share of the
Indian IT industry. Between 1994 and 2000, TCS’
revenues grew a significant 42% per annum.
 The success of TCS’ policies could be reflected
from the fact that its annual employee attrition
rate was 7.5% in 2000, a low rate, particularly in
the Indian context. Business Today, India’s
leading business publication, ranked TCS 10th in its
list of 25 best employers in the country.
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14. Initiatives
 The company viewed its employees as assets, which had
to be efficiently utilized.
 TCS senior management constantly kept track of the
vast intellectual assets, their skill sets, the status of
projects on which they are working and the number of
people available for being placed in other projects.
 TCS determined its manpower requirements based on
inputs from senior consultants, who provided
information changes in technology and the potential
demand for new IT skills in the immediate future.
 This enabled the HR dept. to plan and schedule
recruitment & training programmes. TCS took care of
every aspect of personnel management, from recruiting
to training programmes.
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15. Discipline (No slacking, bending of rules.)
 TCS Earned appreciation from its clients as well as
alliance partners.
- One such famous partner, Microsoft’s CEO, Bill Gates said, “In
TCS, we have an important global systems integrator partner
that can be trusted to deliver. They combine deep domain and
technical knowledge with a global delivery model that brings
tremendous value to our customers.”
 “A combination of vision, reach and a cross section of
deliverables to a range of industries, is the edge TCS has over
others” – Scott Stallard, Senior VP and GM of Enterprise
Storage and Servers at HP, complementing TCS on its
achievements (2003).
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16. Initiatives & Discipline
 The company was recognised for its ability to
attract and retain work force, providing good
opportunities for learning and development, and
for offering its employees challenging
assignments, including the opportunity to work for
Fortune 500 companies.
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17. Bibliography
1. “The Kohli Touch,” www.india-today.com, April 16-30, 2000.
2. The ICFAI Center for Management Research, c.2003, The ICFAI
University Press.
3. Anupama Katakam, “Software Successes,” www.frontlineonnet.com ,
August 31-September,2002
4. Shivananad Kanavi, “Megasoft,” Business India, June 07, 2004
5. “Assembly line software,” www.blonnet.com, July 19, 2000
6. Tata Consultancy Services recognised by HP for Excellence in
Partnering; TCS Continues its tradition of Industry Recognition.
Business Wire, April 20, 2004.
7. “Flexibility in the delivery model is critical,” Financial Express, January
2, 2004
8. TCS Red Herring Prospectus, July 2005
Thank you !
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