IT Companies Business Model & Interview Preparation
Infosys, TCS, Accenture — a proud and vast empire of companies, standing tall since 1981, has been providing, not only just India but billions of international users with various IT services in every possible field of application. With service and product-based IT giants leading the world right now, this sector has reached to be India’s highest revenue-generating market to have ever existed and Infosys reaches the second-highest rank in terms of revenue lagging behind TCS at number one position.
IT consultant’s business model host services in the US, Middle East countries, Asia, Europe and many more with the help of over 243,954 employees worldwide IT company’s business model stood strong to encounter any challenge presented.
IT Consultants Working Model Services:
Consultancy services provided by Infosys, TCS and the other IT giants are based heavily on the amount of experience they have by being on the market and having sustained themselves for so long. Their business model includes consulting for digital branding, working models, advertising and other sectors that one needs to run an IT company. But consultancy isn’t the only service they provide.
Infosys, Accenture, Cognizant, TCS offers experience, insight to the technical world, innovation, acceleration towards technological advancement and cybersecurity as services to all clients.
With the advent of digitization, most companies have resorted to form their working model on virtual platforms with the aid of IT companies, much like Infosys or TCS. To be able to smoothly function as a company and keep their customer base happy, these companies need to keep every facility close-knit and interlinked. This leads to user data being more prone to cyber-attacks and leaks.
IT companies business model integrates security at every level or stage of the working model of the company. They work on the principle of “maximum visibility of the threats and minimized risks”.
This is one of the IT consultants’ leading security services. They work towards a goal of a minimum number of product defects and maximum efficiency. Engineering — led QA and business assurance driven QA offers to manage efficient products by continuous testing. Infosys & Accenture Enterprise Data Testing Workbench and DevOps Framework are some testing tools that are put to customized use.
With a history of service providing, IT companies bring to the table experience. They work for all domains possible, such as business management, innovative solutions in marketing and technology, analytical operations, etc. Their experience shines brightest in the following three categories :
Social media marketing is possibly the most important aspect of any business. Online presence management and analysis of the market is done by AI-driven intelligence to understand the customer base which helps make educated decisions about market strategies which might lead to maximum customer satisfaction. Ad optimization, reviewing and reporting are also important aspects of marketing.
Digital commerce is the building of an open-source platform that allows the clients to have smooth transactions, be it B2B or B2C. Most commerce sites handle merchant transactions or online shopping. Infosys, Wipro, and others take care of this by integrating AI-driven intelligence to provide customer satisfaction.
The core property of business handling is seamless communication with your client. To manage that, IT consultants bring to its clients “UI workbench” that creates hyper customized UIs which help navigate the client into the digitized world with ease.
Offering insight as a service can translate into the business by positive working changes in different aspects of the business or technical models. IT companies working model serves clients with AI and data analytics services for transformation in the business.
Enabling clients to re-think their processes, cocreate or revise solutions, designing architectures or analyzing data to create better market strategies — all these are data analysis and AI driven processes that Infosys, TCS and other helps inculcate into the clients’ business model.
As the entire world is moving to digitization, so is money. Blockchain allows information in light to be shared but not altered. This proves to be perfect to be used in digital currency Bitcoin, Litcoin, etc.
Industrial IoT and customer IOT are both aspects of IoT that Infosys, TCS and other IT companies deal with. Customer IOT mostly includes newer methods of marketing which include advertising beyond mobiles to refrigerator screens or cars, etc. Since the essence of IoT is the transfer of data with no need for human interaction at all, it is mostly integrated into the supply chain.
Moving data from physical or locally available servers to cloud is the biggest part of digitization. Secure and globally accessible data for companies helps them achieve expansion far and wide. IT consultant’s working model provide cloud services that also host other services such as IoT, big data and blockchain to achieve increased gains in business.
SAP and Infosys in a partnership are an end to all your transformation problems. They provide clients with digital solutions for scaling S/A HANA and SaaS adoption.
Specializing in customer relationship management, salesforce Infosys serves to provide customized customer experiences using deep automation and experienced insight via co-working. This solves clients’ interaction problems with their user base.
D. Workplace transformation
IT companies business model aims to create evergreen IT models as workspaces which lead to increased productivity, encouragement to cocreate and innovate to enhance the experience. Hence, it brings to workplaces:
- Consultancy services
- Collaborative services
- Modern workspace
IT Consultants Revenue model
The revenue of business consultancy companies alone crosses 11.3 billion USD as of 2019. TATA sitting at the leading position of the IT companies in revenue with 64672.93 crore INR, comes in close Infosys with 44341 crores (source). They are followed by other known brands like Wipro, HCL, Mahindra, etc. Since they all function as the same model for IT consultancy and product services, their revenue models are mostly similar. Let see how IT companies make money:
Subscription model charges
Pay as you use. The subscription model enables you to use their services in customized form and pay accordingly. This is the major source of income for IT companies
The client can use any product based service post-installation charges. It can be in the software’s form that the company installs for all its working PCs or the platform they use.
Any additional help required can be seen as a temporary help hire from the clients’ side. IT company dedicate their resources for instant support and earn money through the same.
Testers hired to check the working of clients’ designs gain revenue as every company requires testers to test the product before deployment to decrease the chances of glitches.
They charge cloud services for even if the subscription bounds to only storage by the servicing company.
IT Companies Business Model:
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Why is the IT Industry flourishing?
- Since every working company is moving to digitization, IT companies working operations are the most in-demand with the kind of services they offer. They not only help move the client to digitization but also enhance the digital aspect of its working which contributes to IT company’s revenue model.
- Since services and products can be acquired from any source, clients can hire multiple companies at once for several projects and that provides a co-working space that helps innovation and bring forth the best possible service available.
- The subscription model of these services and products is the biggest aspect of the revenue generated by the IT companies. This business model helps clients understand requirements and tailor services to their needs, which gives rise to competition in the market.
- Since they work for the globalizing digital environments, the user base is possible all over the world without the requirement of travel or office set-ups.
- Easy setting up of the services is a bonus to companies that need faster services. This helps in easier client hiring as well because the most tedious part of the servicing is working on it rather than the deployment of the final model. Hence, moving on is easier.
- This industry has seen years of innovation already since the advent of digitization, but it isn’t anywhere close to end as the possibilities of finding new methods for efficient working are endless.
Possible challenges for IT Companies
Competition is evident when we look at the IT industry. Every IT giant has similar, if not the same, services that they offer. The products differ as per the clients and that produces a never-ending competition in the market.
Since the companies handle personal data every day, this leads to a threat of security which needs to be tended to all the time. With digitization comes the threat, and that is a well-known fact.
Interview Preparation for IT companies (Infosys, TCS, Accenture):
I am not going to provide any guru-mantra to clear the interview round for Infosys, TCS, Accenture, Wipro or any other IT consultancy company.
The idea behind this article is to make you understood what are the various verticals around which IT companies work.
Pick the category where you think you can leverage your best potential, apply for the interview and showcase the interviewer your knowledge about the company and tell them why you are the best fit for this role.
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