US-China Trade War Influencing Wipro Business, Says CEO - TNBCLive

Rising tensions from the US-China trade war strike business deals of India-based software giant Wipro, claims its Chief Executive Abidali Neemuchwala on Tuesday. 

CEO Neemuchwala told sources that “some of our customers and their supply chains are impacted in certain sectors by the overhang of macro-uncertainty arising out of the trade war between the US and China.”

However, the environmental demand remained unchanged for IT spends, said the CEO that Wipro’s business in the American market has grown 9.4 percent year-on-year but on the European market it was weak. 

Mr. Neemuchwala continued, “We see a robust pipeline and the momentum of the order book in the second quarter was better than in the first quarter.”

From the viewpoint over the next two quarters, the Chief Executive of Wipro has said in the financial service, banking service, and insurance (BFSI) vertical, Wipro had a set of offerings and a strong-hold on digital deals.

Mr. Neemuchwala further said that “the growth in the BFSI segment, however, decelerated due to softness in the spending by the banking and capital market clients in some pockets.”

The remodeling of the software giants business operations in India and the Gulf Kingdom was on track, as proof from some of the deals it secured, like ICICI Bank. 

“We see early signs of recovery in manufacturing and health verticals. We also see an uptick in demand in health outside of HPS (Health Plan Services),” he said.

On hiring, Chief Human Resource Officer Saurabh Govil has said that the vendor as a company has offered a “just in time” hiring strategy.

Mr. Neemuchwala also said that “instead, we have been building a cadre, with a strong bench strength over the last eight quarters.”

However, in the first two quarters of 2019-20, the company has hired 9000 techies.

Mr. Govil has stated that “our focus is to hire people from campuses and train a new cadre. It is not about just in time hiring.”

Chief Operating Officer Bhanu Murthy has said that the main focus was on hiring more locals to build the cadre across its delivery, and development centers.

Mr. Murthy said, “we are investing in our delivery centres in the US, Britain, and places where we operate.”

Chief Executive Abidali Neemuchwala has said that Wipro has already achieved 68 percent employee localization in the United States, which has generated around 60 of its business. 

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