Cognizant has witnessed a slew of modifications by way of its technique, spearheaded by Brian Humphries who took cost as CEO on 1 April, 2019. Mr. Humphries talks concerning the firm’s technique and hiring plans. Edited excerpts:
2019 was a combined bag for Cognizant with a whole lot of modifications by way of technique. How do you see 2020 shaping up?
[The year] 2019 was the yr of change for Cognizant, with a brand new CEO coming in. The brand new CEO who had inherited the corporate which could have been little distracted in the previous few years. So, it was an vital yr of study and I attempted to rally the organisation collectively behind the promise of returning to development, a promise of as soon as once more being a bellwether within the IT companies business.
Via a change workplace, we’ve assessed the place we stood at numerous ranges by way of our tradition, our supply organisation, industrial groups and many others. We now have our so-called fit-for-growth technique with the intention to scale Cognizant from $17 billion to $30 billion within the coming years. For 3 quarters in a row, we beat Wall Road’s expectations. [The] different excellent news is that there’s a rising degree of worker confidence, as evidenced by the very fact in This fall, voluntary attrition was at its lowest degree in two years. I’m very optimistic that every one the exhausting work from final yr will serve us properly in 2020.
What has been your main technique shift?
We now have refined our earlier technique, which permits us to reveal ourselves to sooner development classes. Classes embrace worldwide markets. By worldwide markets I imply all the pieces aside from North America. At present, they characterize simply 24% of our enterprise and we’ve an enormous alternative on condition that we’re below penetrated in these international locations.
The second a part of the technique is specializing in digital, through which we’ve chosen 4 key battle grounds — knowledge and analytics, cloud, digital engineering and Web of Issues (IoT). This enterprise, for us at the moment, is already a number of billions in measurement and bigger in operations already. It continues to develop in double digits. We’re additionally leveraging our sturdy stability sheet to strengthen our strategic execution.
As an example, within the final month, we’ve acquired two gross sales power platinum companions with a view to facilitating the execution of our deliberate technique.
Do you suppose the double digit income development fee is a factor of the previous?
I hope not. We now have a giant ambition to return Cognizant to being nice once more. I feel the momentum has been constructing. And there’s a feeling inside Cognizant, it’s coming again and we’re on the best way as soon as once more right here to beat and scare the competitors. All this begins with client-centricity.
That has been one of many many issues I’ve been preaching and practising ever since I joined Cognizant. As a brand new CEO, you wish to set values and behaviours. Considered one of issues I wished to re-integrate on the government degree is consumer centricity. It’s going all all over the world, seeing purchasers day by day, each week and ensuring we speak about new face of Cognizant and its new and refined technique. We’re planning to reinvest about $300 million again into income development. One of many nice issues about our business is it’s big and market is about $1.three trillion, rising at about 5%. So, it’s a big development market. And, there are pockets like digital the place the expansion is above 10%, which retains us going.
Your lay-off announcement final yr had created a whole lot of panic. What shall be your hiring technique?
There haven’t been [any] mass lay-offs they usually had been simply rumours. We’re planning to extend our headcount in India. We’re including 23,000 freshers this yr beginning June, when in comparison with the 17,000 we added final yr. So, you might be seeing our dedication to India on an the continued foundation.
Every so often, you must reshape your pyramid since you grew to become little bit heavy within the center or the highest. We’ll all the time do this. I don’t get up and take into consideration headcount discount, I get up to consider development. At present we’re right here to guarantee that our staff are working for a successful firm and drive increased development fee. Given our give attention to digital enterprise, we’ve gone on report to say we’d like 25000 expert folks to satisfy the expansion we anticipate within the enterprise. Me and our Indian Head Ramkumar Ramamoorthy have spent a substantial amount of time working with Universities in India on the required ability units. The 25000 requirement could be met by mixture of freshers hiring and coaching them, reskilling of present staff and in addition by laterals.