Business Standard: Cognizant’s Group Chief Executive for Technology and Operations Attributes the Company’s Raised Guidance to Healthy Demand Environment

“A healthy demand environment for our services gives us the confidence to raise guidance for the full year. The improved demand comes from a combination of macro trends and our own competitive positioning. We have seen a strong pick-up in discretionary spending, in line with what we see in a normal budget-and-spend cycle,” says R. Chandrasekaran. “We continue to focus on our investment across three growth horizons in response to a fundamental long-term shift in our clients’ business imperatives,” he says.

“They are increasingly looking to run better by driving greater performance efficiencies, and run differently by driving innovation and transformation for future success,” Chandrasekaran adds. “As SMAC (social, mobile, analytics, and cloud) technologies represent the next secular shift in computing, we continue to build out our SMAC capabilities and have had some great client wins, thanks to our early lead and thought leadership in this area. The healthy growth in our Horizon 1 and 2 services is further validation of our balanced approach to growing and integrating our core services with our emerging services and new service offerings.”

He says, “With modest improvements in consumer and business confidence in North America, our clients are beginning to make investments in software and services, often funded from driving efficiencies in other parts of the business. In Europe, clients are looking to move more work to a global delivery model. A structural shift from discretionary projects to larger annuity-based outsourcing deals across Europe is being catalyzed by the economic climate. Our continued investments in Europe, local leadership and broad range of capabilities make us optimistic in our long-term growth prospects across Europe. Our growth in the Rest of the World, continued to remain strong, as our investments in key markets, such as Singapore, India, and the Middle East are continuing to drive accelerated growth.”

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