Tech Mahindra

The computer software industry comes under Technology group. It’s a Non-commodity type industry.

Industry Strengths

Ability to adapt to latest technology available in the market and acquire different skill sets required for execution of orders of international customers.
Availability of IT education
Availability of comprehensive solutions to customers due to increasing skills and strategic relationships.
Emergence of local demand for software products in sectors like medical, law and all types of commercial establishments.

Industry Weakness

High staff cost and attrition due to increased competition amongst software companies
Negatively impacted due to strengthening of Indian Rupee
Business gets impacted due to weak developed nations economic growth

Growth Drivers

Global economic growth which has surged demand for computers as well as computer applications
Growth in the number of young IT professionals in the country
Growth in industries such as banking, financial services, telecom and manufacturing which has increased demand for software application.
Increasingly used in new areas such as mobile, retail, media, healthcare and transportation

Tech Mahindra Limited is engaged in the business of computer programming, consultancy and related services. TECHM has been one of the leaders in providing end to end solution to the IT needs of the telecom vertical and its merger with Mahindra Satyam (MSAT) makes it the fifth largest Indian IT player. It derives ~47% of its revenue from the telecom vertical.

Segments and Products

The Company's segments include

1.telecom business and
2.enterprise solutions business.

The telecom business provides consulting-led integrated portfolio services to customers, which are telecom equipment manufacturers, telecom service providers and IT infrastructure services, and BPO, as well as enterprise services (banking, financial services and insurance (BFSI), retail and logistics, and manufacturing, among others) of IT and IT-enabled services delivered through a network of various locations around the world.

The enterprise solutions business provides IT services, including IT enabled services, application development and maintenance, consulting and enterprise business solutions, extended engineering solutions and infrastructure management services.