TCS named best IT services performer

NEW YORK/NEW DELHI: Tata Consultancy Services (TCS) has topped the list of best performing IT services companies announced by Global Services magazine.

TCS also featured in two other categories — Infrastructure Service Provider and Human Capital Development.

The best performing infrastructure service provider title went to HCL Technologies. Genpact won the best performing BPO provider while WNS Global Services topped the list of best performing FAO providers.

The best performing Human Resources Outsourcing company went to EDS. Sitel has been titled the best performing contact center.

The winner of the Leader, South of the Border title was Mexico-headquartered Softtek.

Russian services company, EPAM Systems, won the Leader of the Emerging European Markets title. Chinese offshore IT-services company, Neusoft won the title in the Emerging Asian Markets section.

The magazine has identified the 100 best IT and BPO service providers from 17 countries in its fourth annual survey to be made public next month.

The list includes 43 U.S.A. and 29 India-headquartered companies. The editors of Global Services along with analysts from premier services globalization advisory firm, neoIT, identified service providers from 17 countries.

The year 2007 reported a total of 436 M&A deals in the services industry. Nearly one-third of the respondents said they merged with or acquired one or more providers. Of these, 11 per cent confirmed acquisition of a consulting firm.

As the global services industry matures and consolidates, the M&As of 2007 are just a sign of many more to come in the future, the survey adds.

The survey says that 47 per cent of the respondents saw the sliding dollar and the strengthening currencies of some key outsourcing destinations (India, the Philippines and Canada) as the most critical business concern.

Many service providers are compromising on their margins and putting a hold on hiring plans. The survey adds that going forward outsourcers could expect price increases and currency risk sharing defined in the contracts.

India emerged as the hub for global delivery with 57 per cent of the employees engaged in delivery centers located in the country, followed by 18 per cent in the U.S.A.