The IT industry is always in flux, and to stay ahead, it needs to adapt faster than its competitors. Wipro, one of India’s leading tech giants, is once again restructuring its global business space to enhance efficiency and client focus. This massive renovation, which will begin on April 1, marks the first big shift under CEO Srini Pallia. This realignment is expected to enable the company to better align with client’s changing needs, as it follows a similar restructuring carried out two years ago under former CEO Thierry Delaporte. Since AI and cloud services have become the winning formula for digital transformation, Wipro’s restructuring could change how it is viewed in the global IT landscape.
Modifications in Wipro’s Business Lines
The new restructuring demands AI-based transformational solutions; Wipro has implemented the formation of a single Tech Services business line covering cloud, data, analytics, AI, and other associated operations. As the company head of cloud stepped down on Friday, the consulting business line will now be led by Amit Kumar, recruited very recently from Accenture Consulting. The consulting division will be focused entirely on strategic advisory services to clients, leveraging Wipro’s expertise in consulting-led engagements. Wipro’s CEO, Srini Pallia, said,
“This evolution of our business lines will enable us to further sharpen our focus towards client needs with consulting-led and AI-powered solutions”.
Updating Capco & Designit with the Launch of a New Business Line
Capco, relocated into the consulting business line of the company, which is Wipro’s largest acquisition to date, is now in the position of an independent entity with its head reporting directly to Pallia. In earlier times, Capco was part of the broader consulting division of Wipro. Designit, also bought by Wipro, will switch to the Tech Services business line as Wipro changed its approach to integrating design-led innovation with technology services.
Besides Wipro’s existing Engineering business line, an announcement has been made to set up a division for Business Process Services (BPS), which will be led by Jasjit Singh Kang. This division aims to boost operational efficiencies and create end-to-end business process solutions for clients across industries.
Strategic Implications
Wipro was established in 1945 as a vegetable oil manufacturer before developing into a global IT giant. It was known originally as Western India Vegetable Products Limited. In the 1980s, it started diversifying into IT services under Azim Premji’s keen eye. This change represented an organizational strategy adaptation by Wipro in its latest transformation.
This restructuring indicates the value Wipro attaches to upgrading its services and solidifying its competitive edge in the IT sector. It reorganizes operations focusing on streamlining service delivery, better consulting capability, and using the demand for solutions rich in AI and cloud. Time will tell much about the effectiveness of this change as the company continues to iron out all the wrinkles along with market pressures and dynamics.
