Tata Consultancy Services’ (TCS’) outgoing CEO Rajesh Gopinathan wrote an emotional note to employees as he prepares to step down on May 31, after six years at the helm of the company. Gopinathan in a note recounted the high points during his tenure, stating that TCS, India’s largest IT company, grew revenues by $10.4 billion and returned $27.3 billion to shareholders through dividends and share buybacks.
Rajesh Gopinathan resigned in March after serving 22 years with the company in different roles. He reflected on his journey in TCS in an email to employees, stating that the company's best days are ahead, a day before he steps down as the CEO and hands over the baton to K Krithivasan on June 1.
Gopinathan wrote, "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, and I look forward to cheering all of you and your continued success from outside.”
He looked back on his time at the company, saying that this week marks the culmination of his two-decade-long journey with TCS. “I will step down from my role as CEO and MD on 31 May, 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 said that they have set the gold standard in the industry for financial performance, and that it was TCS’ focus on “operational rigor, strategic transformation, innovation, and profitable growth has helped TCS grow revenues from $17.5 billion in March 2017 to $27.9 billion in March 2023." TCS' market capitalisation has gone from $74 billion to $143 billion during this time, he added.
During his tenure, Gopinathan said the company undertook redefinition of the service portfolio and market positioning to integrate its offerings, developed newer capabilities and services, and increased engagement with clients. "We also undertook an ambitious redefinition of TCS' service portfolio and market positioning by introducing the Business 4.0 and Growth & Transformation frameworks to integrate our technology services offerings with greater focus on business value delivered," he said.
Gopinathan's exit took all stakeholders by surprise, considering the IT major has had just four CEOs in its 55-year history — FC Kohli, S Ramadorai, N Chandrasekharan, and then Gopinathan. It also comes at a particularly fraught time for the IT industry at large, which is facing a slowdown amid increasing headwinds.