INTRODUCTION
The Tata group’s core purpose is to improve the quality of
life of the communities it serves globally, through long-term stakeholder value
creation.
Founded by Jamsetji Tata in 1868, the Tata
group is a global enterprise headquartered in India, and comprises over 100
operating companies in seven business sectors: communications and information
technology, engineering, materials, services, energy, consumer products and
chemicals. Tata companies have operations in more than 100 countries across six
continents, and export products and services to over 150 countries. The revenue
of Tata companies, taken together, was $96.79 billion (around Rs527,047 crore)
in 2012-13, with 62.7 percent of this coming from businesses outside India.
Tata companies employ over 540,000 people worldwide.
Good corporate citizenship is part of the
Tata group’s
DNA. Sixty-six percent of the equity of
Tata Sons, the promoter holding company, is
held by philanthropic trusts, thereby returning wealth to society. As a result
of this unique ownership structure and ethos of serving the community, the Tata
name has been respected for more than 140 years and is trusted for its
adherence to strong values and business ethics.
Each Tata company or enterprise operates
independently and has its own board of directors and shareholders, to whom it
is answerable. There are 32 publicly-listed Tata enterprises and they have a
combined market capitalisation of about $126.62 billion (as on June 19, 2014),
and a shareholder base of 3.9 million. Tata companies with significant scale
include Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power,
Tata Chemicals, Tata Global Beverages, Tata Teleservices, Titan, Tata
Communications and Indian Hotels.
Many Tata companies have achieved global
leadership in their businesses. For instance, Tata Communications is the world’s
largest wholesale voice carrier and Tata Motors is among the top five
commercial vehicle manufacturers in the world. Tata Steel is among the top 10
best steelmakers and TCS is amongst the top 10 global IT services companies.
Tata Global Beverages is the second-largest player in tea in the world and Tata
Chemicals is the world’s
second-largest manufacturer of soda ash. Employing a diverse workforce in their
operations, Tata companies have made significant local investments in different
geographies.
QUESTION 1 : Analyze the knowledge
management efforts at Tata Consulting Services (TCS) using the knowledge
management value chain model. Which tools or activities were used for managing
tacit knowledge and which ones are used for explicit knowledge?
Using
the value chain model, the knowledge management efforts at TCS can be divided
into the following activities:
Knowledge
Acquisition: Over the years, TCS had acquired a vast body
of knowledge and experience in several fields through on-shore and off-shore
projects for its clients across the globe including GE Insurance, GE Health,
Hewlett Packard, Prudential, Standard Chartered Bank etc. In addition, TCS
regularly rotated people across various functions and within other Tata Group
companies to gain cross-industry experience. Employees were also encouraged to
be part of outside bodies like the IEEE, and go in for certifications.
Knowledge Storage:
TCS had developed various repositories and databases for knowledge storage such
as KBases, Process Asset Libraries, KnowMax, and Ultimatix.
Knowledge
Dissemination: Knowledge was disseminated using a variety
of techniques such as Ultimatix – a web based electronic knowledge management
portal; propel sessions that brought together employees with similar interests;
Live Meeting and Knowledge Transition sessions at the project level; and “Tip of the Day” email comprising technical, conceptual or
human skills tips were shared within the organization daily.
Knowledge
Application: Students should visit the TCS website to
explore the new capabilities developed by TCS and how it relates to the
knowledge they have accumulated over the years about the customers, markets,
systems development, and technologies.
To manage explicit knowledge, TCS had used
KBases, Process Asset Libraries, KnowMax, and Ultimatix.
Tacit knowledge was managed through redesign
of development centers, Propel sessions, Knowledge Transition Sessions, and
communities of practice.
QUESTION 2: Describe the growth of
knowledge management systems at TCS? How have these systems helped TCS in its
business?
The concept of knowledge management (KM) was
introduced in TCS in 1995 and a dedicated KM team called “Corporate
Groupware”
was formed in 1998. This group launched the KM-pilot in mid-1999. At that time,
KM in TCS covered nearly every function, from quality assurance to HR
management. The employees could access the knowledge repository that resided on
the corporate and branch servers through the intranet, with a browser front-end
or a Notes client. The knowledge repository, also called KBases, contained a
wide range of information about processes, line of business, line of
technology, and projects.
The next step was to create Process Asset
Libraries (PALs) which contained information related to technology, processes,
case studies for project leaders which were made available to all development
centers through the intranet. The same thing was done through the web-based
electronic knowledge management portal called Ultimatix, of which PAL was the
precursor. The PAL library and KBases, which were hosted on the intranet, were
merged with Ultimatix, which had sub-portals for quality management system,
software productivity improvement, training materials, and tools information.
In 2007, TCS developed Knowmax, a knowledge management system, using Microsoft
sharepoint portal server that gave TCS consultants access to nearly 40 years of
experience and best practices arranged by type of engagement, the technology in
use, and customer requirements. It supported more than 60 knowledge assets and
was accessible via Ultimatix to all TCS associates. Any associate could
contribute to the K-Bank and Knowledge officers were made responsible for
maintaining the quality of content.
QUESTION 3 : Describe the
collaboration tools used at TCS? What benefits did TCS reap from these tools?
TCS used a variety of collaboration tools –
Infinity that includes instant messaging, IP telephony, and video conferencing;
blogs and wikis; IdeaStorm, TIP, and Mysite.
As a result of adopting Infinity,
collaboration of overseas and local
offices improved as instant messaging (IM) got rid of cultural and
pronunciation differences that could occur on the phone. Furthermore, corporate
communications was able to run a 24-hour internal news broadcast to all TCS
offices in the world. In addition, travel and telecommunications costs were
reduced by 40 percent and 6 percent respectively.
The other tools improved collaboration,
communication, and knowledge sharing among the employees.
QUESTION 4 : How did Web 2.0 tools
help TCS manage knowledge and collaboration among its employees?
Blogs, wikis, and other tools were used to
boost communication and productivity among the employees. Wikis were used for collaborating on
materials related to project, supporting brainstorming sessions, and developing
presentations. Employees used blogs as a means to gather inputs on problems
that they faced on a project. JustAsk System allowed employees to pose a
question and in turn get answers from other colleagues, sometimes leading to a
detailed discussion. If someone often answered questions on a particular
domain, the relevant specialist group invited that person into the domain group
and thus gave the visibility to talent within the company. The IdeaStorm, used
by the management, helped in generation of ideas on topics posted by the
corporate team. TIP was used as a portal for product innovation and new ideas.
It helped the management to garner ideas related to product/service innovation
and helped in solving problems. TCS also used social networking like MySite to
help employees communicate better with each other.
QUESTION 5 : How do you think KM
tools have changed some key operational processes at TCS, such as bidding for
new projects, project development and implementation, customer service, and so
on?
TCS aims to move up the value chain and to
continue to bid for higher-level projects, beyond those of maintenance and
development. By accumulating knowledge,
it has built capabilities to understand how to service clients through
consulting and in other strategic areas. So KM has enabled TCS to continue to
move higher-up and to bid for more strategic projects. KM repositories that capture best practices
in the projects it has undertaken make the company more efficient in servicing
clients. This means it can execute better.
Thus, systems development and implementation activities are more likely
to be done by TCS in a manner that is timely, effective, and cost
efficient. The same for customer service
–
by knowing customer requirements and also taking ideas from other industries
that are stored in the KM databases, the company can provide new and innovative
solutions to resolve customer queries.
Overall, KM tools have become a key strategic resource at the company and all hires are required to learn them as a part of their orientation. These tools are also the first go-to before starting any project or approaching a client. Knowledge in these databases allows TCS consultants to quickly gather intelligence about the client or similar projects and thus align themselves better with what the client might want. This has led to a higher success rate in bidding and in project execution.
