Creating an Open Innovation Infrastructure
Background
TCS helps clients to transform business goals into results.
Tata Consultancy Services (TCS) aims to expand its global footprint by developing comprehensive business consulting services.
TCS’s distributed knowledge across the organization could be transformed into a unified knowledge broker model for its client base.
Client's Team
TCS, a leading IT services, consulting, and business solutions company, has partnered with many of the world’s largest businesses for over 50 years. With over 606,000 employees across five continents, it is part of the TATA Group, a global conglomerate with a 154-year legacy of industry leadership and philanthropy.
Our Team
As part of the Organizational Models of Innovation team at the Institute of Design, we collaborated with TCS to tackle a design challenge focused on strategically developing new infrastructure capabilities to enhance and expand innovation across their ecosystem.
TCS' Internal Innovation team drives the innovation process within the organization to help their global clients solve complex business needs.
TCS was experimenting with various processes to identify the most effective methods for enhancing their competitive edge.
The project sought to reimagine and scale TCS' current 'figure 8' innovation model for broader company-wide integration, thereby extending innovation reach and improving overall efficiency.
The model has two main areas of focus: Foresight-Enabled Innovation and Agile Execution. While going through the process, the teams engage with various stakeholders and subject matter experts.
TCS needed a system to efficiently leverage its expertise across industries, sectors, and domains, converting its knowledge into valuable services for clients.
TCS serves over 1000 clients across 14 industries and 11 domains. It required a robust mechanism to leverage its global actors, partners and teams effectively.
For TCS' Organization Models of Open Innovation project, the team was tasked with strategically designing a new infrastructure capability to leverage and scale innovation across the organization.
To stay ahead and keep up with future trends, TCS wanted to improve its innovation skills, make operations more efficient, and set up a new innovation unit to scale innovation across the company.
Latent expertise, siloed knowledge, and fragmented inter-departmental workflows limited the organization's ability to reach its maximum potential.
The organizational knowledge base was inaccessible and hindered seamless collaboration between departments, leading to delays in productivity and outcomes.
TCS struggled to foster innovation due to the complexity of its interconnected workflows and a globally distributed remote workforce, creating ambiguity in influence and direction. Existing processes, isolated functions, and fragmented networks further limited collaboration and integration.
Key barriers, including underutilized capabilities, concerns over confidentiality, and inconsistent use of generative AI tools all hindered progress. These limitations compromised service quality at a time when swift, AI-driven solutions are increasingly becoming essential.
TCS aims to be a global leader in solving complex problems for their clients by scaling innovation and benefitting from a robust innovation ecosystem.
TCS would benefit from ecosystem strategies and agile execution to solve complex client challenges by leveraging internal innovation.
Our project centered on building a robust innovation portfolio by combining ecosystem-level strategies from innovation consulting with rapid, scalable prototypes using Agile Execution.
TCS aims to address global business client challenges with locally relevant solutions by leveraging its internal innovation engine, positioning itself as both a knowledge broker and an integrator.
Solution
Unveiling Nexus: A transformative model to integrate, amplify, and strategize innovation across TCS, bridging knowledge to deliver strategic impact for TCS’ clients.
To create relevant impact, Nexus will serve as a knowledge creation engine to generate client-specific strategies.
The proposed organizational model for innovation utilizes people, processes, and tools by distributing innovation, applying Generative AI to strengthen internal processes, and to construct relevant team structures with internal and external expertise. This approach fosters cross-team collaboration, optimizes internal intellectual assets, and addresses challenges like isolated functions and underutilized capabilities.
The open-innovation infrastructure would receive inputs from internal and external sources. Functionally, it would also incorporate live market awareness, speak to rigorous governance and ethical oversight, leverage the participation of the organization's large and diverse employee base, and better serve TCS’ wide array of clients in need of scaling their own innovation ecosystems.
We proposed new core and auxiliary capabilities that meet TCS' business needs and generate focused outcomes for their global client base.
TCS can combine these capabilities to deliver precise solutions and strategic insights for global clients at every stage of innovation.
By strategically deploying the most suitable core and auxiliary capabilities, TCS can deliver targeted solutions and strategic recommendations.
TCS can leverage expertise from its global ecosystem, and position itself as an agile knowledge broker and integrator.
Distributed Innovation Planning
A shift from centralized innovation planning, to a distributed network of design practitioners closely working with other teams to generate innovative processes.
New Generative tools to accelerate iterative processes
Using generative AI to create prototypes and communicate ecosystem strategies more rapidly, with greater variation.
New capabilities for growth and optimization are required for Nexus to function.
To achieve the most impactful outcomes, growth and optimization capabilities must be embedded within the organizational ecosystem, designed to be flexible and easily combined or adapted.
Internal capabilities (Core) would serve as the innovation catalysts within the organization, while auxiliary capabilities would act as drivers within its ecosystem, supporting innovation with the organization’s external partners.
These improvements include utilizing generative AI on latent data to improve offerings, employing blockchain cryptography for enhanced security, and providing consolidated communication channels for organizational efficiency.
IP Protection Through Blockchain Affordances
Creating an open knowledge transfer system between teams while maintaining strict confidentiality by leveraging blockchain-enabled cryptography to ensure security.
Consolidated Communication Channels
Create a condensed and curated channel for organizational communication protocols to improve knowledge sharing efficiency.
Integrate Underutilized Generative Data to Refine Offerings
Use data bases of existing ideas from hackathons and innovistas to train generative tools that help realize offerings.
Generative Modeling
Use predictive & prescriptive analytics to interpret market conditions, business requirements, risk assessments as well as provide product and ecosystem recommendations.
External Design Thinking Organizations / Experts
Integrate specialized design consultancies into COIN and network experts to bring divergent insights into the ecosystem.
Aptitude Assessments & Design Training For New Hires
Use aptitude tests and training modules while onboarding new talent to create and internal database of employees capabilities to form project-based teams.
To improve TCS' outreach, we recommended implementing the following additional capabilities within the organizational ecosystem.
By leveraging both internal and external knowledge assets within the organizational innovation ecosystem, TCS can maximize its impact.
In addition to TCS' internal capabilities, they have access to subject matter experts, distributed knowledge across the organization, external partners, and thought leadership spread globally.
To fully leverage these expert partners and valuable insights, we needed to strengthen TCS' external networks and enable quick, relevant, and localized collaboration worldwide.
AI-based Outreach (Internal/External)
Use existing formal network databases to reach out to employees or external experts whenever needed in projects.
Case Specific Localized Stakeholder Collaboration
Form networks of local stakeholders in specific international projects to gain cultural insights and knowledge.
Leveraging rapid experimentation to test innovative business solutions.
The 5x5x5 experiment will enable TCS to rapidly test innovative business solutions for high impact with limited budgets.
The 5x5x5 experiment is a rapid innovation methodology that enables businesses to revisit and rethink core fundamentals efficiently. It involves a diverse team of 5 people, given 5 days to develop a portfolio of 5 business experiments, each costing no more than $5,000 and taking no longer than 5 weeks to run.
This approach fosters a culture of experimentation by encouraging simplicity, ingenuity, and fast, low-cost testing of business fundamentals. The methodology is valuable for driving impactful innovation beyond budget constraints and can transform how organizations balance innovation risk and reward.
Blu Safe Insurance
San Francisco, California
Blue Safe Insurance is a SF-based insurance company needing to innovate its digital records department to go from localized to global access for all its customers. They come to TCS asking how it hsould update its data infrastructure and how it might be able to implement such a strategy.
Client Brief
Many organizations are transitioning from fragmented data repositories to universally accessible system in order to make service, business and technical infrastructure improvements.
Blu Safe wants to remain competitive by innovating their current data infrastructure into a more robust and future proof model, that can handle new challenges and scale quickly.
Hypothesis
By using AI-based outreach TCS can expedite the Team building and expert selection selection process. Additionally, AI generative tools can speed up the collection, dissemination, and selection of secondary research, while also utilizing integrated data from past projects to improve strategic recommendations.
Team Roles
AI Recommendations Manager
Trains the data models which TCS uses to understand how to make better predictive suggestions.
Talent Specialist
Evaluates the recommendations from the outreach algorithms, and optimizes the recommendations when needed.
Future of Business Expert
Weighs the considerations of the generative models for faciltating Blu Safe’s digital transformation, providing a solution curated to Blu Safe’s specific needs.
Innovation Consultant
Builds strategies from the generative data gathered into a more packaged offering, with the help of experts.
Experiment
Use Generative tools trained on past TCS projects and
resources to generate recommendations, methods, and
pathways for current and future projects.
This approach would be particularly beneficial for the Future of Business, Innovation Consulting, and Agile Execution
teams.
By leveraging Generative training and integrated past project data, TCS can enhance its operations and recommendations for various departments.
Metrics
Success will be measured by the efficacy of implementing recommendations generated by new tools. HR will review allocation suggestions for personnel, resources, and data. Project leads will determine efficiencies of new technologies in facilitating strategies and prototypes.
Government of Ukraine
Kyiv, Ukraine
Ukraine's government comes to TCS to ask for help with the post-war rebuild - integrating technology for a nationwide educational outreach program that can help align the people with the new national economic goals. They are requesting TCS to come up with ways of utilizing local and distributed knowledge to build a better educational system.
Client Brief
Rebuilding an educational infrastructure to support 21st century standards, especially in a rebuilding nation, requires identifying new opportunities, activating pools of resources and building a deeper understanding of local cultures.
To facilitate this, TCS needs to assist Ukraine in ideating, identifying and suggesting actionable pathways to help the government streamline its resources to educate the public more effectively.
Hypothesis
By streamlining and diversifying the process through which TCS recruits team members and gathers human resources, it can build more relevant and diverse teams faster and more effectively.
Team Roles
AI Technologist
Creates training data and helps TCS to leverage its existing data towards AI generative tools.
AI Hiring Specialist
Utilizes AI tools, models, and systems within TCS to improve hiring processes and facilitate expansion. They are responsible for identifying relevant personnel, and resources, and evaluating internal and external talent for TCS.
IC/Future of Business Representative
Evaluates team structures to ensure they are optimized for the success of the project and aligned with TCS's vision for the future of business.
Experiment
TCS can use AI based outreach to build teams and identify local stakeholders to consult when building a strategy to activate Ukraine’s educational transformation.
AI tools can also locate cultural organizations and design thinking expert networks to integrate new knowledge. Adaptive aptitude tests and learning modules can be introduced to identify, recruit, and train talent within Ukraine.
Comparative tools can be used to identify internal and external skills sets within TCS to deploy in the Ukraine project. This 5-day iterative experiment will continuously mine talent and experts for the project’s success.
Metrics
Success will be measured by reduction of hiring timelines and overhead costs through AI-based recruitment tools. Benchmark baselines can be established by comparing logged time from previous projects relative to those with AI-based tools.
Next Wave
Singapore
NextWave is a mid-range consumer goods company that specializes in smart home appliances, headquartered in Singapore. They want to expand their presence in Asia within the next 7 years and need to know what strategic recommendations should employ to remain competitive.
Client Brief
As part of its growth strategy, NextWave intends to launch a new range of products in Asia by 2030. To ensure long-term competitiveness, the company seeks to evaluate the viability of its expansion plans.
To achieve this, NextWave has engaged the services of TCS to assess the potential risks, benefits, and financial feasibility of the plan, including a detailed analysis of the target market, competitive landscape, regulatory requirements, and cultural considerations.
Hypothesis
With the optimized process flow, TCS will be able to streamline the process of forecasting, research, resources allocation and sprint planning by employing AI-based outreach, smart forecasting and generative tools to help allocate resources and manage workflow.
This optimized process flow will allow TCS to deliver a set of opportunity areas that NextWave needs to consider for their logistics and manufacturing workflows, to build a resilient supply chain.
Team Roles
AI Hiring Specialist
Uses TCS AI tools and systems to improve hiring processes, evaluate talent, and facilitate expansion.
AI Project Manager
Uses AI-assisted tools to optimize project flows, requirements, and setup for TCS departments.
Experiment
The experiment starts with strategic idea development for NextWave’s product line, supply chain, distribution, and logistics.
TCS will use an AI platform to consolidate needs, optimize teams and workflows, and leverage past TCS projects and AI trend studies for smart forecasting.
The experiment will identify potential opportunity areas for NextWave’s logistics and manufacturing, accelerating their product line expansion with relevant resources.
Metrics
The metrics will compare current project resources with the effectiveness of AI recommendations and team designations. As AI improves, less human input is needed, reducing personnel. An Ideas Bank trained on TCS project data and external information will improve project direction and reduce redundancy in research, ideation, and implementation.
SwiftFleet
Santiago, Chile
SwiftFleet, a Detroit-based electric vehicle company, is looking to expand its operations by manufacturing autonomous tractors in Latin America in the next two years, starting with Chile.
Client Brief
The company’s expansion plan aims to achieve market leadership in autonomous vehicles and increase profitability. Chile’s strategic location, infrastructure, and skilled workforce make it an ideal choice.
The company has partnered with TCS to develop new ideas and an actionable plan for an autonomous tractor fleet, catering to LATAM market needs. Underutilized hackathon data will be structured into a database, and selected ideas will be converted to NFTs for protection.
Hypothesis
For SwiftFleet, TCS will leverage Integrative Generative Data from hackathons and open innovation hubs into the development process. This data will be used to create NFTs that facilitate collaboration and ensure transparency.
TCS will also use generative tools for prototyping to optimize the development process and help SwiftFleet achieve market leadership in autonomous fleet technology.
Team Roles
COIN Talent Specialist
Monitors institutions, competitors and influencers by staying up-to-date on industry developments and providing insights and recommendations.
TCS's Interdisciplinary Teams
Encourages innovation through Hackathons to harness internal capabilities by providing employees with dedicated time and resources to work on creative projects.
Data Broker Expert
Oversees the creation, distribution, and management of NFTs (non-fungible tokens), as well as brokers information and ensures data security.
Experiment
The experiment will begin once the project has an Innovation Portfolio in place, moving into research phase that will leverage the TCS AutoScape system to simulate the constraints of the problem.
Data generated from hackathons will be structured, and categorized into the relevant work streams.
There will be consolidated communication channels through AI based chatbots for scheduling and workforce management during the sprint planning stage.
Metrics
Success will be measured upon how hackathon data is integrated across others projects, and how contributed data weighs into current projects through the use of NFT tracking and cross-integration of data being shared between projects. Another metric will be monitored timesaving, as time normally allocated to scheduling between departments will be reduced due to AI assistive scheduling management.
NovoGenix Pharma
Billings, Montana
Novogenix, a pharmaceutical company, hires TCS to redesign its drug education program across multiple US locations. TCS works on-site to develop the optimal service design.
Client Brief
Novogenix, a pharmaceutical company, requires a revamp of its drug education program’s experiential educational service at various locations across the US.
To achieve this, they have engaged TCS to develop a multi-localized Ed-tech platform with specialized knowledge about pharmaceutical products, genetic mutation, and their impact on individual and societal interaction.
Hypothesis
TCS will employ a new rapid prototyping technique based on generative modeling and risk reduction for Novogenix. The approach will allow digital prototyping of ideas before conducting physical or further testing.
By testing ideas in a digital environment, the most promising ones will be selected and integrated with PESTEL/TPESTRY factors of different locations. This will enable the creation of customized platforms for specific regions or locations.
Team Roles
Data Modeller
Necessary to train the data models by which TCS uses to understand how to make better predictive suggestions.
Innovation Consultant
A representative from the IC team packages generative data, delivering final recommendations to experts. Data assists, not replaces TCS personnel.
F
A reviewer evaluates marketable solutions against the project’s original intent, ensuring the alignment of project intent and impact for successful strategic gains.
Experiment
Developing generative MVP tools for modeling will create various solutions for scenarios involving pharmaceutical product education and its impact on individuals.
Additionally, the linear tech tool will screen out solutions that align with local/regional PESTEL/TPESTRY factors, ensuring that the resulting solutions are both desirable and feasible at the local level.
These solutions will be simulated and adjusted to adapt to the market landscape, ultimately resulting in the best ed-tech platform.
Metrics
Success is measured by effective digital prototyping and streamlined recommendations that reduce dead-ends and improve prototype quality. Model selection saves time and lowers risk, increasing the chance of marketable solutions. Generative scaling algorithms model macro market conditions, creating durable products, services, and solutions.
Impact
Our recommendations enabled the strategic positioning of a new innovation unit within TCS, guided a significant pivot in their sales strategy, and led to the removal of extraneous partnerships.
We helped TCS visualize their ecosystem, streamline processes, and refine their strategies for impactful organizational transformation.
The project's ecosystem mapping has significantly impacted the innovation unit by streamlining internal processes and enhancing stakeholder communication. This clarity enabled a strategic overhaul of how the innovation unit markets its offerings internally and led to a more focused approach with external partners.
The strategic reevaluation and actions taken as a result have streamlined TCS' ecosystem, making it more agile and effective in pursuing its strategic objectives, and demonstrating the critical role of design in driving impactful organizational change.
"The great value was the mapping of our ecosystem. We took the visualization of our environment to better position our new department inside the greater TCS. We were better able to identify and communicate to relevant inside stakeholders. It also helped us pivot drastically in some of the ways we sell our offerings and removed partnerships that seemed superfluous."
—Ron Martin
Innovation, Technology & Business Design Internal Innovation Team
Tata Consultancy Services
Process
To develop a grasp of the complexities of the TCS sphere of innovation required a nuanced understanding of the key factors, departments and players within.
Interviewed multiple TCS stakeholders to develop a foundational knowledge of the issues and opportunities.
First, the team was tasked with scoping, planning, and modeling an open-innovation ecosystem platform to serve as a sensing mechanism for facilitating cross-organizational group thinking, managing discovery documentation, and prioritizing latent value opportunities.
The team conducted over ten interviews over six weeks to gather information, understand workflows, relationships, and partnerships within and outside the organization.
The team assessed the information and modeled the complexities into simple diagrams for effective week-by-week interviews. The diagrams and assets created helped the teams align on their understanding and provided TCS with a deeper perspective on their expanded reach for streamlining knowledge flows.
Secondly, the team was asked to validate and iterate on the platform model by proposing use cases that clearly demonstrate the value of scaling innovation for TCS and its clients.
Innovation Model Breakdown
The following is a visual breakdown of TCS' current innovation model and our proposed enhancements.
Team member Meghna Prakash created before-and-after videos showcasing TCS's current innovation model and our recommended enhancements.
These videos serve to further clarify TCS's model mapping and our recommendations to enhance its operational success.
These demonstrate the innovation engine's components, isolating and explaining their functions.