Tata Consultancy Services (TCS) the leading IT services, consulting and business solutions firm, and Mitsubishi Corporation, an integrated global business enterprise announced a new joint venture, Nippon TCS Solution Center Limited, for the Japanese market.
Nippon TCS Solution Center will offer a full service suite of IT, BPO and Infrastructure services to Japanese corporations. TCS Japan will have 60 per cent stake with Mitsubishi Corporation having a 40 per cent stake. The new joint venture will also establish a nearshore delivery center in Japan.
The joint venture comes against the backdrop of a strong yen, the globalization of supply chains and a growing trend toward overseas mergers and acquisitions, all of which act as a catalyst for the increasing globalization of Japanese companies,. This has brought heightened interest in the role of “global IT services” to link domestic and overseas operations.
The nearshore delivery center will leverage Mitsubishi’s significant domestic market expertise as well as the global expertise of processes and best practices of the TCS Global Network Delivery Model (GNDMTM), to meet the various needs of Japanese companies through enhanced solutions and service offerings.
“The new joint venture will provide strong local market knowhow, deep domain knowledge as well as bring in global technology best practices to help Japanese corporations effectively respond to their global IT needs”, said N. Chandraseakaran, CEO and MD of Tata Consultancy Service.
N. Chandrasekaran and Hideyuki Nabeshima, Senior Executive Vice President Mitsubishi Corporation have been appointed non-executive directors of the new company in a move that will see participation by senior management from both sides.