Why wipro cutting client base to concentrate on profitable deals?
Wipro is cutting its client base to concentrate on profitable deals for a few reasons.
To improve profitability. Wipro has been struggling to improve its profitability in recent years. By cutting its client base, the company can focus on its most profitable customers and those that are most likely to generate revenue. This is a strategic decision that is designed to improve the company’s bottom line.
To improve efficiency. By focusing on its most profitable clients, Wipro can also improve its efficiency. The company will be able to allocate its resources more effectively and focus on areas where it can generate the most value. This will help the company to reduce costs and improve its margins.
To improve customer satisfaction. By focusing on its most profitable clients, Wipro can also improve customer satisfaction. The company will be able to provide its customers with a more personalized and focused service. This will help the company to retain its customers and generate repeat business.
Wipro is not the only IT company that is cutting its client base. Other companies, such as Infosys and TCS, are also taking similar steps. This is a trend that is likely to continue in the coming years as IT companies look for ways to improve their profitability and efficiency.
Here are some of the specific benefits that Wipro expects to achieve by cutting its client base:
Increased operating margins. Wipro’s operating margins have been declining in recent years. By cutting its client base, the company expects to improve its operating margins by focusing on its most profitable customers.
Reduced costs. Wipro expects to reduce its costs by focusing on its most profitable clients. This is because the company will be able to allocate its resources more effectively and avoid spending money on clients that are not profitable.
