'TCS' best years ahead; outgoing CEO Rajesh Gopinathan writes to employees

Rajesh Gopinathan, the outgoing CEO and CEO of Tata Consultancy Services (TCS), thanked the employees and welcomed K Krithivasan, who runs India's largest IT services company, which aims to earn $50 billion in revenue by 2030.

"This week marks the culmination of my two-decade-long journey with TCS. I will step down from my role as CEO & MD on May 31 2023. It has been an absolute privilege to lead our company in the last six years, which have been a period of tremendous growth and transformation for all of us," Gopinathan wrote in an email to TCS employees.

"I wish Krithi the very best as he takes over the TCS baton and charts the way forward to our $50 billion aspiration. I am confident that TCS' best years are ahead," he said.

After stepping down as CEO, Gopinathan will continue with the company until September 16, 2023, for the transition. According to sources, he and Krithivasan have met with all significant TCS clients in all geographies.

With Gopinathan as CEO, TCS grew from a company with revenues of $17.5 billion in March 2017 to $27.9 billion in March 2023. In addition, the company's market capitalization grew from $74 billion to $143 billion in that period.

Gopinathan wrote about the structural changes and branding exercises the company had undertaken. "Most importantly, we went through a process of self-discovery and greater awareness of the wealth of contextual knowledge we possess and the value of work we do for our customers. Awareness, articulation and amplification of the value we deliver is going to be critical for our success in the years ahead."

On the restructuring of the Tata Group company, which many believe may have been a contentious point, he wrote: "We expanded the leadership pool by introducing a three-tiered business unit structure across P&L ownership, new market expansion and new business development. This expanded the pool of named business unit owners from 25 to 150 and enabled the incubation of young leadership talent across the company."

Gopinathan's resignation in March stunned the market, marking the first time that a chief executive of one of India's leading IT services companies resigned. It was the first in the history of TCS, with just four chief executives since its inception in 1968. Gopinathan has not spoken about his plans, but media reports have said he could take a consulting role within the Tata group.