This blog is a teaser of my final project for Strategy development. Over the past decade Teamlease has experienced phenomenal growth and is the largest staffing solutions company in India right now. I have been following the growth of this company very closely since it started around the same time I moved to Bangalore and I worked with them for 6 months as a part of my undergrad internship here as well.
Between 2003 and 2007, Teamlease hired somebody every 12 minutes, weekends and nights included. During this period it had growth in blistering pace (In the below diagram you can see that Teamlease sales grew 250 folds in just 7 years) and by 2009 it become the largest company in the temping (temporary employment) space in India with 18 branches and more than 74000 temporary employees.
But this growth was halted in 2009 when the global equity market crashed and recession hit major world markets. Teamlease suffered a major blow as the open jobs dramatically fell and clients became extremely selective about candidates. The founders of the company were very prompt and realized the need to diversify its revenue streams immediately. Teamlease identified two revenue opportunities:
The first revenue opportunity was to build on existing client relationships but to add a new line of business. Because of their prior work experience Teamlease had a deep understanding of Indian Labor market and they started cashing on this by building a consulting unit that quickly gained momentum and was front runner in building portfolio for their clients.
The second revenue opportunity was to from prospective candidates and government. Teamlease knew that skills were required in various jobs and they believed that this knowledge could be used in 2 ways. Firstly, they were part of various client/government initiated job/career fairs and this gave them competency to match jobs and people on a very large scale. The second way was to change the mindset of aspiring candidates and get them pay for assessment. One of the founding members told that the enabled prospective candidates to think about careers rather than job. Teamlease developed various assessment tools and this new division was named Employability.
Teamlease was very successful in developing strategic options for themselves during tough times and now (in 2014) they have diverse business interests and are the market leaders in not only temping but also permanent staffing.