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    Tech Mahindra at work on larger bench of executives for key roles

    Synopsis

    Firm is creating a larger bench of 200 executives as part of its succession planning to ensure there is no disruption for clients

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    CP GURNANI CEO, Tech Mahindra
    BENGALURU: Tech Mahindra is creating a larger bench of executives as part of its succession planning that includes leaders in key countries where it has significant business to ensure that there is little business disruption for the clients. The expanded bench would cover around 200 executives instead of the 25-30 leaders it identifies at a corporate level, Tech Mahindra CEO CP Gurnani told ET in an interview.

    “We look at top 10 positions and then at the next 30 positions but we are forgetting in certain areas we may not be doing that great a job,” said Gurnani.

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    “For example, my country manager in New Zealand, because it is such a small territory, it doesn’t come in that (planning). I have running operations and customers in New Zealand and I need to look at the ‘what if scenarios’ there and (that) probably means instead of doing it for 25 people, I need to look at 200 people but I will have to create executive bench.”

    Indian IT services firms are investing in building a larger bench as they look at retaining senior talent as also expanding their scope to own profit and loss units, a key need to handle corporate roles. TCS has restructured its industrial solution units to give 200 executives control of business units and free senior management to pursue long-term goals.

    In December, Tech Mahindra did a rejig of its leadership team by elevating Jagdish Mitra as head of growth and chief strategy officer to pursue digital opportunities. The other senior leaders in Gurnani’s team include Manoj Bhat, chief financial officer, L Ravichandran, chief operating officer, Harshvendra Soin, chief people officer, and Vivek Agarwal, global head for enterprise vertical solutions and portfolio companies with Sujit Bakshi, India business lead.

    Tech Mahindra’s board spends significant amount of time in succession planning, which includes looking at management recommendations for key positions. It would also discuss this in its next board meeting.

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    “We have a co-pilot in certain cases and there are more than one copilot in many areas,” Gurnani said.

    Analysts believe succession planning could be smooth since the company has steadily become a “formidable force” and “morphed dramatically under CP’s guidance”.

    “Everybody was worried about (Tata Group chairman) N Chandra(sekaran) moving on from TCS, but the company is doing fine,” said Sanchit Vir Gogia, chief executive, Greyhound Research.

    “TechM’s growth has been aspirational even though there have been hits and misses. At some time, the $5 billion revenue was aspirational, but the firm is getting closer,” said Gogia.

    The $4.9 billion technology services company has seen a clear shift from cost arbitrage to value-based solutions. Tech Mahindra said it is betting big on the seven Makers Labs across different offices to cocreate solutions in emerging technology areas with clients.

    Gurnani said even if the company, like its peers, saw rationalisation in growth due to digital transformation, the pie of opportunity has only increased. He said more clients have startedtalking about value addition in business than the technology used to do it.
    The Economic Times

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