Business
TCS: Innovation in IT
Tata Consultancy Services Limited (TCS), India’s largest software company, was placed 64th in a list of 100 most innovative companies in the world released by Forbes, the bi-weekly American magazine, according to a report in The Economic Times (ET) dated August 20, 2015. Two other Indian companies featured in the list: Hindustan Unilever Limited at the 41st spot and Sun Pharmaceutical Industries Limited at rank 71. The report states that TCS appears on the list for the eighth time.
Listing the 100 companies, forbes.com states that TCS "took a major step towards bolstering its digital services when last month it announced a training program in digital technologies for a third of its work force.” The website notes that one-third of its 3,00,000 employees are women.
The global list is headed by California based Tesla Motors, manufacturers of premium electric vehicles. Some other companies on the list are Amazon (8), Hermes International (22), MasterCard (36), Starbucks (45) Coca-cola (81) and Cognizant (96).
Explaining how the rankings are given, forbes.com states that their method relies on investors’ ability to identify firms they expect to be innovative currently and in the future. It further clarifies that companies are ranked by their innovation premium, "which is the difference between their market capitalization and the net present value of their cash flows.” Seven years of publicly available data is analyzed. To be included in the study, the market capitalization of the firm has to be at least one billion USD (Rs 6,500 crores), and must be known to invest in innovation.
Listing the 100 companies, forbes.com states that TCS "took a major step towards bolstering its digital services when last month it announced a training program in digital technologies for a third of its work force.” The website notes that one-third of its 3,00,000 employees are women.
The global list is headed by California based Tesla Motors, manufacturers of premium electric vehicles. Some other companies on the list are Amazon (8), Hermes International (22), MasterCard (36), Starbucks (45) Coca-cola (81) and Cognizant (96).
Explaining how the rankings are given, forbes.com states that their method relies on investors’ ability to identify firms they expect to be innovative currently and in the future. It further clarifies that companies are ranked by their innovation premium, "which is the difference between their market capitalization and the net present value of their cash flows.” Seven years of publicly available data is analyzed. To be included in the study, the market capitalization of the firm has to be at least one billion USD (Rs 6,500 crores), and must be known to invest in innovation.
◆ ◆ ◆
From the archive