Tuesday, December 2, 2008
IT companies plan to cut energy to save costs!
“Horse imitates his trainer.” My father says “It’s never too early to start saving.” I think everyone knows this, yes everyone. One might have picked up these proverbs in some book. Even your parents might have told you this. Therefore, the bottom line is, everyone knows these proverbs. These proverbs apply to every one; I mean every ‘individual’. However, Infosys and TCS have proven exceptions. Neither have they imitated their superiors nor have they planned for recession when they had ample time.
Well, are you still baffled what I am saying? Let me make my point clear. Infosys is now going for cost cutting of $10 per person, while TCS has yet to reveal cost-cutting plans. Both the firms think that this is high time to optimise its resources utilisation. They are going for energy saving, extended working hours, optimising on travelling and communication costs and freeze hiring process!
They are looking for every possible area to cut costs and try to improve their annual balance sheets. TCS and Infosys have one of the best management teams, which can easily handle such crisis. Let me put it in my way, “They are competent enough to avoid such crisis, or are they?” Yes, are they competent enough? Infosys and TCS have best of Engineers, MBA’s in their management team. Does everyone of those “gold medalist” need prior experience to avoid/handle such crisis? Oh, I forgot, they are already experienced, because every one these days need ‘experienced’ employees. Knock knock! Wake up! YOUR TEAM HAS FAILED TO SUCCESSFULLY HANDLE THE SITUATION.
According to me, these so-called “gold medalist” should have foreseen the situation. They should have made some reservations for recession period. They should have used their resources optimally even in non-recession period. They were having their laugh when IT was booming. Now, they are putting their heads down and looking for areas for cost cutting. I am too rude on these people. They might know what I have written, but it seems that they still are not performing at their highest potential.
Infosys has failed to learn from the simplicity of Mr Murthy. Someone has truly said, “Any moron can make acquisition in good times, but one who does acquisition in bad times is real winner.”