Tata Consultancy Services (TCS) CEO and MD K Krithivasan received an annual compensation of Rs 25.36 crore in the financial year 2023-24, the lowest among large IT companies.
Krithivasan's compensation, detailed in TCS's annual report, encompasses basic salary, benefits, perquisites, allowances, and commission. However, his compensation does not include the employee stock purchase scheme (ESPS), reported Money Control.Â
Krithivasan holds approximately 11,232 stocks in the company. He earned a commission of Rs 21 crore in FY24.
In FY22-23, Infosys CEO Salil Parekh earned Rs 56 crore annually, the highest among IT company CEOs. Wipro's newly appointed CEO Srinivas Pallia followed with around Rs 50 crore. HCLTech's C Vijayakumar earned Rs 28.4 crore, while Tech Mahindra's Mohit Joshi received Rs 6.5 crore fixed compensation plus an equal amount in variable pay.
Krithivasan succeeded Rajesh Gopinathan as TCS CEO on June 1, 2023.
Gopinathan earned Rs 1.1 crore during his two-month tenure. In FY23, Gopinathan's remuneration rose to Rs 29.16 crore.
Krithivasan, in his shareholder letter, highlighted TCS's focus on innovative uses of Generative Artificial Intelligence (Gen AI).
He outlined three ways TCS assists customers with AI- enhancing work effectiveness by combining tacit and contextual knowledge, boosting performance through collaborative intelligence between humans and machines, and transitioning to a knowledge-driven structure for quick, consistent, and high-quality decision-making.
He emphasised TCS's advantage in AI and machine learning expertise, Gen AI, and partnerships, positioning the company as a valuable partner in customers' technology adoption journey.
"Many of our clients who are early adopters have begun experimentation and exploration on various use cases of GenAI, with our help," he said.
"Although still in the early stages of adoption, the use of GenAI is expected to transform every industry."
"Hence, the key engagement themes we saw during the year were around cost optimisation and cloud transformation," Krithivasan added in the letter. Â
He noted that in FY24, customers focused on prioritising projects deemed business-critical for quicker returns. Key drivers of demand included vendor consolidation, cloud migration, transformation, and initiatives to enhance customer and employee experiences.
On the business environment, Krithivasan highlighted that in FY24 customers continued reprioritisation of projects in favour of those that are considered business-critical and where return realisation is likely faster.
TCS Infopark, Kochi. Image Source: By Binobose - Own work
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