Tech Mahindra and the acquisition of Satyam Computers: 10 years, 10 learnings

“The merger that looks like a ‘best healthy’ came with its proportion of demanding situations. It gave us an attitude toward our method of destiny. It is a dwelling testimony of how the reason and medical possession, with each person’s aid, helped us effectively turn around an antagonistic situation.”

April thirteen, 2019, marks the tenth anniversary of certainly one of the most important events in the corporate records of India – the purchase of Satyam utilizing Tech Mahindra. Before the acquisition, Tech Mahindra became a spot participant that derived a hundred% of its sales from the telecom vertical. On the other hand, Satyam has become the fourth biggest Indian IT services corporation in revenue, indexed in each Indian and US stock exchange. It had over 50,000 employees in 66 international locations and counted 185 Fortune 500 organizations as customers.

Tech Mahindra and its parent corporation – the Mahindra Group, saw the purchase of Satyam as a strategic opportunity to transport to the subsequent level of increase. The acquisition could permit the Group to diversify across verticals, customers, and geographies, marketplace a huge range of offerings to Satyam’s robust purchaser base. Termed as a sincerely bold attempt – not simply inside the scale and length, but also in managing the expectancies – of the buyers, customers, and employees.

The daunting task changed made possible with Tech Mahindra’s decisive management. The merger puts forth some terrific lessons that maximum new-age companies can imbibe to show around any adversarial state of affairs and make the maximum of the sort of conditions: Risk-Taking Capabilities:- “If you dare nothing, you benefit not anything,” every enterprise ambitions for constant income and margins. Still, one wishes to look beyond natural increase possibilities for long-term profitability, i.E. Acquiring/investing in new business opportunities. This will assist in staying relevant in this for all time evolving marketplace.

Humane approach:- Mergers and Acquisitions (M&As) are a disturbing/trying affair for now, not just for the management but the personnel and other stakeholders. Motivating employees to a not-unusual cause is one of the key priority areas. Building acceptance as true with- Collective selection making through constructing agree with among numerous inner stakeholders is important to fulfillment at some point of any M&A eventualities. Therefore, it’s miles recommended to maintain them all up to date about your actions.

Retaining & nurturing Talent:- Your personnel is your biggest asset. Invest in their schooling and talent-constructing so that they churn out satisfactory-in-magnificence answers for your client’s issues. Implement worker connects programs to cope with all their grievances and applaud their difficult work. Client communique and figuring out possibilities that help you build scale:- Connect with the prevailing customers and offer them the warranty they need – how you may retain to serve all your customers better.

Use your information and abilities to win their treasured vote of belief and loyalty. In a few cases, it can even get you greater leads. Preserving shareholder price:- The goal of any hit control is to boom income, earnings, and free cash waft, which similarly interprets into increased dividends and capital profits for its fairness proprietors. Never lose sight of the identical.

Transparency:- Keeping the communication clear and crisp enables it to curb rumors and dispels doubts associated with any precise corporate pass using the management. Embracing the trade:- Change is the simplest regular, whether or not it’s far about adopting new technology, new production strategies, or incorporating new regulations, be prepared to stand the trade and adapt with the converting instances.

Corporate Governance & corrective actions:- Identify and evaluate key techniques to discern the regions that want instantaneous control attention. Address the same by incorporating important tests and balances like new guidelines and tips. This may also assist in building a framework for future work court cases. Last, however, make efforts to talk about your endeavors in handling the merger with external stakeholders – the authorities, industry, and media. Your high-quality practices ought to make up for an interesting case. Look at and gain knowledge of points for others they could emulate while the state of affairs arises.


I’m a technophile who loves everything about technology. I enjoy learning new things about new gadgets and technologies. I started Droidific because I wanted to share what I was learning with other people who love gadgets, new technology, and all the different ways they can be useful.