Performance of energy component in top-tier IT software service companies: a geological and multi-component perspective

The information technology (IT) firm is structured internally into different components like financial, manufacturing, energy, retail, communication, healthcare, etc., to supply customised services to customers. The present study investigates the effectiveness of the energy component over other components in top-tier 5 IT software service companies during 2014-2019. It measures the performance of each company and its components using multi-component data envelopment analysis with shared and undesirable resources across three geographical regions. The findings show that the energy component performs low in North America and Europe regions, and above average in rest of the world region. Its efficiency has decreased by 1%-5% across three regions. Infosys outperforms in the energy component whereas performances of TCS, Wipro, Accenture and Cognizant decreases during 2014-2019. Moreover, the companies performed efficiently in other components whereas require improvements in the energy component. The findings have implications to identify inefficient components and providing guidance to formulate strategies to reduce inefficiencies from operations.