Tata Consultancy Services has announced a strategic partnership with Rajarambapu Sahakari Bank (RSB) to integrate TCS BaNCS for Treasury, marking the next phase of digital transformation for the urban co-operative bank. The announcement, made on January 21, 2026, represents an expansion of the existing technology partnership between the two organizations.

Partnership Expansion and Technology Integration

The collaboration builds on TCS's existing five-year partnership with RSB, during which the bank has successfully implemented the TCS BaNCS Global Banking Platform across its operations. The new treasury solution will provide RSB with a single, consolidated platform featuring advanced risk analytics and real-time position keeping capabilities.

Treasury Operations Enhancement

The TCS BaNCS for Treasury platform will enable RSB to automate its treasury operations and manage various financial instruments more efficiently. The integrated solution is designed to streamline investments, money markets, repo, and reverse repo transactions while reducing manual intervention and increasing straight-through processing capabilities.

The treasury transformation will allow the bank to:

• Add new asset classes including corporate bonds and debentures
• Reduce manual intervention in treasury processes
• Increase STP (Straight-Through Processing) capabilities
• Offer new financial products to customers
• Align with regulatory compliance requirements

Leadership Perspectives

Pradip Nivrutti Babar, Managing Director of Rajarambapu Sahakari Bank, emphasized the strategic importance of the treasury solution integration. He noted that the selection represents a logical progression in modernizing the bank's technology infrastructure, complementing existing front-end digital services offered to customers.

Venkateshwaran Srinivasan, Global Head of Financial Solutions at TCS, highlighted the comprehensive nature of the treasury platform. He described the solution as modern and highly adaptable, designed to enhance agility, increase automation, manage risk effectively, and optimize overall treasury operations.

Bank Profile and Market Position

Rajarambapu Sahakari Bank serves as a preferred banking partner for semi-urban and rural communities, providing accessible credit, agricultural financing, and comprehensive banking services. The bank focuses on fostering local entrepreneurship at the grassroots level and maintains a strong digital footprint across mobile banking and payment services.

TCS BaNCS Platform Overview

The TCS BaNCS universal financial solution is deployed at more than 450 installations worldwide, representing one of the largest collections of components and enterprise applications for the financial industry. The platform is designed to help financial services institutions enhance customer experience while embracing open and innovative technologies for digital customer engagement.

TCS has maintained a significant presence in India's banking sector for nearly six decades, supporting the country's technological transformation. The company works with banking and financial institutions across India and globally, delivering solutions that serve millions of users while supporting underserved and rural communities through various government programs aimed at strengthening financial inclusion.

Tata Consultancy Services is recalibrating its growth strategy as it deepens its focus on artificial intelligence, prioritizing capability building over immediate revenue gains. Speaking at the World Economic Forum 2026 in Davos, Managing Director and CEO K Krithivasan outlined the company's ambitious vision to become the world's largest AI-led services company.

Strategic Vision and Five Pillars

Tata Consultancy Services has defined its AI transformation strategy around five key pillars, as explained by Krithivasan. The company aims to transform itself internally, revolutionize its services, enhance customer offerings, and broaden its scope within the AI ecosystem. This comprehensive approach includes building capabilities through mergers and acquisitions while expanding into AI data centers to provide end-to-end solutions.

The CEO emphasized that recent acquisitions, including a $700.00 million deal and a partnership with TPG, are not intended to immediately boost revenue but to build new capabilities and create long-term value through synergies across the TCS ecosystem.

Acquisition Strategy and Future Plans

Krithivasan confirmed that TCS is "more acquisitive than before" but clarified that inorganic growth is not being pursued as a revenue driver. Instead, the focus remains on building capabilities at speed and scale. The company is evaluating multiple opportunities, though the CEO indicated these would not be announced in rapid succession.

The strategic approach centers on providing comprehensive AI solutions to customers across all layers, from infrastructure and hardware design to model-as-a-service and agentic AI capabilities. This "infrastructure to intelligence" philosophy positions TCS to serve customers across the entire AI spectrum.

Workforce Strategy and AI Integration

Addressing concerns about AI's impact on employment, Krithivasan reiterated that AI transformation is not about job reduction but creating a future-ready workforce. The company continues active hiring from colleges and the market while providing extensive support for associate reskilling and learning new technologies.

While acknowledging that some roles may evolve and selective workforce adjustments have occurred, the overall strategy emphasizes enhancement of productivity and delivery capabilities rather than workforce reduction.

AI Revenue Reporting and Market Position

TCS has established specific guardrails for reporting AI revenue, maintaining discipline in classification despite AI becoming embedded across all services. The company reported AI revenue for the first time last quarter and plans to continue this practice with clear definitions of what constitutes AI-driven business.

Krithivasan acknowledged that while AI elements exist in traditional services like application development and business process outsourcing, TCS focuses on projects that cannot be completed without AI, such as mainframe-to-modern technology migrations and AI-reimagined business processes.

Growth Outlook and Market Confidence

Despite near-term growth challenges and headcount adjustments, TCS leadership expressed confidence in the company's market position, order pipeline, and competitive standing. The CEO emphasized that the company is not losing market share and continues winning deals in the marketplace.

While declining to provide specific outcome targets, Krithivasan indicated that significant progress toward becoming the world's largest AI-led services company would be visible within a year. The success will be measured through a composite metric including workforce capabilities, revenue growth, strategic partnerships, and analyst positioning.

Source: https://www.cnbctv18.com/business/companies/davos-2026-capability-first-revenue-later-k-krithivasan-on-tcs-ai-strategy-19824663.htm