The impact of COVID‐19 on the technology sector: The case of TATA Consultancy Services

Abstract

Two of the most unpredictable uncertainty indices could explain the business and stock price performance of TATA Consultancy Services (TCS) before and after the COVID‐19 pandemic. This pandemic affects business performance and predictability from uncertainty indices. With the second spread of the pandemic, IT industries have been prepared for the high networking bandwidth. Moreover, the bivariate VAR(1)‐GARCH(1,1) model is weaker during the COVID‐19 period. IT outsourcing after the worldwide outbreak of the disease is one of the most thriving enterprises globally. The coronavirus crisis is expected to have an impact on the IT outsourcing industry. Most of the uncertainty indices of these days are built up from news outlets explored in the case study of TCS. Quantitative examination strategies have been utilized to explore the impact of doubt indices in TCS and the residuals if the organization's emergency persists.

Sustaining Trade during COVID-19 Pandemic: Establishing a Conceptual Model Including COVID-19 Impact

“…Organizations that were narrowly focused on their core activity, neglecting technological evolution and disregarding the necessity for innovation will, due to the coronavirus, benefit from overlooked opportunities for growth and changes that would otherwise be lost. To cope with the economic shock, enterprises have introduced a digitally supported remote working policy, which became the mandatory solution to conducting usual business activities as well as the commonly accepted alternative source of leisure [80,81]. Agostion, Amaboldi, and Lema empirical study revealed that digital technologies are a potent tool for public service delivery when experiencing difficulty with on-site operation [82].…”

Significance of Strategic Outsourcing in IT Project Management

“…Which in turn "has severely affected the world's manufacturing industry, particularly in terms of the continued increase in logistics costs that has led to an increase in business operating costs." [19]. "The outsourcing of IT is considered one of the most prospering businesses internationally.…”

“…"The outsourcing of IT is considered one of the most prospering businesses internationally. Nonetheless, with the COVID-19 crisis, a combined effect is anticipated in the field of IT outsourcing" [19]. The pandemic had a major effect on IT outsourcing as several companies have decided to employ host country candidates only.…”

“…This means that countries that rely heavily on outsourcing as a means of business/income will take a major hit. An example of this occurred between two influential organizations of Australia, Telstra and Optus, and UK's Virgin Media, which had partnered for process outsourcing with India and the Philippines " [19]. The two companies "reported preferring employing candidates in host country only."…”

“…The two companies "reported preferring employing candidates in host country only." [19], and "According to the United Nations report, India is considered among the 15 most impacted economies due to the coronavirus crisis" [12]. Additionally, with several individuals transitioning to remote work, this caused an increase in bandwidth use which in turn arose the issue of internet availability in these countries.…”