Tata Consultancy Services: Managing Liquidity Risk

Code :FCF0028

Year :
2018-19

Industry : Technology & Communications

Region : India

Teaching Note:Available

Structured Assignment :Not Available

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Abstract: The risk management committee at of India-based multinational information technology service and consulting company, Tata Consultancy Services – TCS Limited (TCS) – is responsible for framing the financial risk management policy of the company. Liquidity risk management forms a part of the overall financial risk management.
In managing liquidity, the risk management committee, in addition to focusing on managing various current assets and current liabilities, also takes into consideration the cash flows generated from operations.
The case study provides the scope to analyze the composition of current assets and current liabilities of TCS for the financial years 2018-19 and 2017-18. It also helps in understanding the liquidity risk management at TCS using liquidity ratios.


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Pedagogical Objectives:

  • The process of analyzing and interpreting the liquidity position of a company.
  • The difference between various liquidity ratios.
  • The liquidity position of TCS Limited.


    Keywords :Liquidity of TCS; Current Ratio; Quick Ratio; Cash Ratio; Overall Liquidity; Current Assets; Current Liabilities; Quick Assets

    Contents :
    » INTRODUCTION
    » TABLES


    Case Introduction >>


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