The big TCS rejig: Surprise leadership change as Gopinathan resigns

A joint press conference of outgoing TCS CEO Rajesh Gopinathan and CEO Designate K. Krithivasan was held early Friday morning. This, post the surprise announcement of a leadership change at TCS.

"I have been harbouring a few ideas on what I want to do in the next phase of my life. After deep reflection and in discussion with the Chairman and the Board, we decided that the end of this fiscal year is a good time for me to step aside and pursue those interests," Gopinathan said at the press conference, adding that it was important to do this before the beginning of the next financial year.

Meanwhile, incoming CEO K Krithivasan said that there will not be any change in strategy or the organisational structure. “We will continue to focus on core principles and fine-tune it as we go along.”
On Thursday night, Rajesh Gopinathan announced his resgination four years before his term ended. As per a filing with the exchanges, Gopinathan was stepping down to 'pursue other interests'.

K Krithivasan, President and global head of BFSI (Banking, financial services & insurance), was named CEO-designate and will take over the role in September.

"Krithivasan has been part of the global technology sector for over 34 years, having joined Tata Consultancy Services in 1989. During his long tenure at TCS, he has held various leadership roles in delivery, customer relationship management, large program management and sales," a media release from TCS said.

The changes comes at a time when the Indian IT sector is dealing with a difficult macroeconomic environment in its key markets of Europe and the United States and is also receiving renewed attention as a result of its significant exposure to the U.S. banking sector, which is presently going through a financial crisis.

Gopinathan joined TCS in 2001 and has served in a variety of executive roles, including that of chief finance officer. His resignation comes just one year into his second tenure as MD & CEO.