Processing .....please wait.. 
The article has been forwarded.... 
TCS and Infy step efforts to manage talent crunch
By siliconindia
|
Tuesday, 06 November 2007, 20:30 IST
Mumbai: Top software services firms of India, Tata Consultancy Services (TCS) and Infosys Technologies are keen on acquisitions to boost their manpower, but are cautious of very large targets.
TCS was keen on acquiring new potentials, "We have to acquire capabilities we don't have, that's our strategy," says S. Padmanabhan, Head of Global Human Resources, TCS.
TCS, which has more than 100,000 employees, is planning to hire about 35,000 people in the fiscal year to March. "We don't find any joy in acquiring a 40,000 or 50,000 people company. We are growing organically and adding those many people ourselves," says Padmanabhan
Indian software services firms including Infosys, Wipro Technologies and Satyam Computer Services are looking at foreign firms to enter into new markets and skills. However they are also cautious of taking on too much risk
"Seventy percent of acquisitions fail to deliver value, so you have to be absolutely sure of what you are doing," says Infosys CEO Kris Gopalakrishnan. "With a bigger company, you are taking on issues and challenges you don't deal with otherwise," he added.
There has been speculation recently linking Infosys to French computer consultancy Capgemini.Gopalakrishnan declined to comment on specific companies, but said Infy would prefer deals up to $500 million.
Foreign companies like IBM and Accenture are also expanding in India, taking advantage of its large talent pool of low-cost, English-speaking workers and fast-growing economy.