Way to go, Wipro!
It’s not quite there yet, but the goal is certainly within reach. One of India’s largest IT solutions providers, Wipro Technologies, is taking on the likes of IBM and Accenture in its effort to be included among the largest and most successful technology services companies in the world. Restructuring Wipro was considered the most important step in becoming a global giant, driven by the goal towards improved customer orientation. During the past few months, Wipro separated itself into several subsidiaries by product line: telecommunications, engineering, financial services, etc. Each subsidiary brings in about $300 million in annual earnings and is self-sufficient with their own accounting books, personnel and administrative functions. Wipro shifted from a centralised to decentralised management system. All responsibilities for growth lay with the management of each entity. “We tried to de-layer the organisation and empower our business leaders with a much higher degree of growth responsibility,” said Premji. “We removed an entire layer [of executives]”.
The major objective of restructuring Wipro was:
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Improving customer orientation
Option (1) Inhibit initiative among subordinates — Incorrect. Decentralisation encourages initiative. The aim of the change was to empower the business leaders, not to hold them back.
Option (2) Hold department accountable for their results — Incorrect. Each unit did become responsible for its own growth, but that was a result of the change. The passage names a different goal.
Option (3) Better allocation of funds — Incorrect. The passage does not mention funds.
Option (4) Improving customer orientation — Correct. The passage says the restructuring was driven by the goal of improved customer orientation. Customer orientation means organising the business around the needs of its customers. A separate unit for telecommunications, engineering or financial services can concentrate on the customers of that one line.
Note: The passage is the NCERT case study ‘Way To Go, Wipro!’, which has been reproduced by NTA in the exam. NCERT (2026-27 Edition): “…One of India’s largest IT solutions providers, Wipro Technologies, is taking on the likes of IBM and Accenture in its effort to be included among the largest and most successful technology services companies in the world. Restructuring Wipro was considered the most important step in becoming a global giant, driven by the goal towards improved customer-orientation.” |