homebusiness Newscompanies NewsWEF 2024: How the new Tech Mahindra CEO is ‘reshaping an already good company’
WEF 2024: How the new Tech Mahindra CEO is ‘reshaping an already good company’
Speaking to CNBC-TV18’s Shereen Bhan from the sidelines of the Davos World Economic Forum (WEF) 2024, Mohit Joshi, Tech Mahindra's new CEO and Managing Director said the company is in the midst of making multiple changes, and that there is a plan for growth, margins, and the organisation.
Mohit Joshi has taken over as the Chief Executive Officer and MD of Tech Mahindra at a time when much is changing in the information technology (IT) services industry. This means that his task is twofold: bring the company up to the levels of its peers when it comes to growth rates and margins, and adopt to the ongoing changes in the industry.
Speaking to CNBC-TV18’s Shereen Bhan from the sidelines of the Davos World Economic Forum (WEF) 2024, Joshi said the company is in the midst of making multiple changes to achieve both goals.
“We have made a plan for growth, margin, and the organisation,” said Joshi, who leads the 150,000-strong IT services firm, one of India’s biggest.
The executive listed multiple things that will help the needle on margins, where Tech Mahindra lags peers. “We have multiple levels there, and those have to do with the shape of the pyramid.”
“We have a wonderful partnership with SAP and Oracle, and a huge amount of work that we do with AWS and Microsoft and Google, these are higher margin businesses; how do we grow those?”
He added that the company will also focus on design businesses such as Pininfarina, and drive productivity across fixed priced engagements to drive margins further.
“The quality of our clients is really great. We have industry-leading share in telecom and manufacturing and have a large financial services business,” he said. “We are reshaping an already good company.”
When asked how long shareholders need to be patient for him to take the company to new heights -- Tech Mahindra shares have risen 86% over the past five years, lower than the IT index’s 146% -- Singh said he would ask them to exercise a bit more patience.
“One of my favourite quotes is 'we must always be long-term greedy'."
(Edited by : Shweta Mungre)
First Published: Jan 16, 2024 5:02 PM IST
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