Wipro Simplify Operations, Adopt New Business Model From 2021
Employees walk in the forecourt of a Wipro building at the Wipro Ltd. campus located in the Sarjapura area of Bangalore, India. (Photographer: Vivek Prakash/Bloomberg)

Wipro Simplify Operations, Adopt New Business Model From 2021


Wipro Ltd. is bringing in a new operating model from next year under which its business will be restructured into four strategic market units and delivery model will be simplified it looks to drive growth in the non-U.S. markets.

In an email to employees, Wipro Chief Executive Officer Thierry Delaporte said the company's growth has been largely dependent on the U.S. market, and noted that it is important that the company broad base its growth.

“Effective Jan. 1, 2021, we will replace the current structure of seven Strategic Business Units, Service Lines and nine geographies with four Strategic Market Units (SMUs) and two Global Business Lines (GBLs)...Besides ensuring adequate sector and domain focus in our go-to-market and execution, the new operating model will help drive growth in non-U.S. markets,” he said.

Delaporte said the current complex delivery structure with multiple delivery units will be replaced by a simple delivery model that will yield economies of scale.

Also read: Wipro To Stay ‘Very Focused’ On Growth Despite Pricing Pressures

The four strategic markets identified are Americas 1, Americas 2, Europe and Asia Pacific Middle East Africa.

While Americas 1 and Americas 2 are organised by sectors, Europe and APMEA would be structured by countries. APMEA will include Australia and New Zealand, India, Middle East, South East Asia, Japan and Africa.

The two global business lines include iDEAS (Integrated Digital, Engineering and Application Services) and iCORE (Integrated Cloud Infrastructure (CIS), Digital Operations (DOP), Risk and Enterprise Cyber Security Services (CRS).

Delaporte, who took charge as Wipro CEO in July this year, said he has held meetings with clients, partners and employees.

"I have no doubt that an operating model marked by fewer layers, empowered P&L owners, and clearly defined ownership of performance metrics, underpinned by a simpler and more customer-focused delivery model will help us meet our desired outcomes. I expect the new structure to bring the best of Wipro closer to customers," Delaporte said.

He added that Srini Pallia will lead Americas 1, Angan Guha Americas 2, and N S Bala APMEA. The leader for Europe will be appointed in the coming weeks.

Also read: Wipro Drops Most Since April, Analysts Await Broader Recovery

Rajan Kohli will lead iDEAS and Nagendra Bandaru will head iCORE. These leaders will share their organisation structures in due course, he added.

The SMU and GBL leaders, along with Functional Heads, will report to Delaporte.

Delaporte said the company has also created the new role of Chief Growth Officer, which will be announced soon.

The Chief Growth Officer will play a key role in driving large deals and strengthening relationships with hyper-growth partners, besides overseeing marketing, advisor and analyst relationships, sales excellence and sales enablement, he said.

In a regulatory filing, Wipro said it is bringing in an operating model “marked by simplicity” to bring the company closer to its customers.

“The changes are effective from Jan. 1, 2021. We will continue with our current operating model and external reporting for the quarter ended Dec. 31, 2020,” the filing said.

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