It is not about how you sell; its’ about what clients want to buy. The IT services industry loves creating different market segments (consulting, technology services, BPO, engineering services) because the approach is easy to manage. Real business transformation, however, requires combining all these services. True differentiation in today’s market is not about which company has more people or more delivery centers but which one can communicate its entire set of capabilities in an easy-to-understand and simple-to-consume way.
This is the OneOffice™ for service providers (See Exhibit 1), and it will be crucial to solving complex business problems enterprises face.
Starting April 2023, Wipro will deliver capabilities to clients through four global business lines organized around cloud, enterprise technology and business transformation, engineering, and consulting. The new model reflects the company’s continued pivot toward strategic bets and its focus on leveraging the power of One Wipro to deliver on clients’ entire spectrum of business and technology transformation goals.
Wipro’s stated objective for making these changes is to deepen alignment with clients’ evolving business needs and capitalize on emerging opportunities in high-growth market segments. The reorganization could set the company apart as OneWipro.
Source: HFS Research, 2023
The starting point for building the OneOffice is internal reorganization, which Wipro has accomplished. It also requires internal transformation, especially around performance management. Every service provider incentivizes its leaders to score the goal (drive revenues by closing a deal) but not to pass the ball (collaborate with colleagues to create integrated solutions). Who will take credit for what when a new opportunity requires multiple business lines to collaborate? How do you get a workforce of 200,000-plus employees to work together? And how do you create integrated solutions while keeping industry-specificity and context in mind?
The OneOffice also requires a fundamentally different go-to-market. Most service providers sell what (their capabilities) but not the why (the underlying business problem). They need to flip this approach and describe IT services in a fundamentally different way.
We commend Wipro for starting the journey to the OneOffice with this new reorganization, but we hope it does not stop its internal transformation with just a game of musical chairs!
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