Coforge adopts Cognizant, Infosys model with on-site consulting push
NOIDA, INDIA — Coforge is mirroring the strategies of IT giants Cognizant and Infosys by embedding business consultants at client sites to drive revenue growth. The move comes as global tech spending tightens, forcing firms to proactively shape deals, according to a Mint report.
Coforge’s proactive approach bypasses traditional RFPs
By adopting this approach, analysts note that Coforge avoids the competitive request for proposals (RFPs) and secures larger, longer-term contracts.
The plan resembles that of Cognizant and Infosys, which established consulting divisions years ago to move beyond offering conventional IT. Indeed, a good example is Cognizant, which employed more than 500 MBA graduates in 2014, putting them into client-facing positions where they can be used to generate revenues.
With consultants located in North America and Europe, the Consulting and Solutioning division of Coforge targets niche markets, such as specialty insurance and capital markets, which it established eight years ago.
Challenges in scaling consulting operations
While the consulting push promises higher-value deals, it comes with significant costs and profitability pressures. Hiring MBA graduates and domain experts demands hefty salaries, which have contributed to Coforge’s declining operating margins, down to 13% in fiscal year 2025 from previous years.
Wipro will have to work hard to absorb these expenses on its path towards its ambitious $2 bn revenue goal for fiscal year 2027, undercutting deep-rooted rivals including Tata Consultancy Services (TCS) and Infosys.
Additionally, consultants must deliver a measurable return on investment (ROI) to justify their premium costs. Unlike Cognizant, which secured $500 million deals through similar strategies, Coforge lacks the same scale.
Analysts warn that without consistent high-margin deals, the consulting model could further strain the company’s finances. However, if executed well, it could elevate Coforge from a vendor to a strategic partner, unlocking major engagements.
Industry-wide trend toward consulting-led growth
The consulting-driven approach reflects a broader industry shift as IT firms seek to differentiate themselves in a market that is sluggish. Cognizant and Infosys pioneered this model, utilizing consultants to secure social, mobile, analytics, consulting, and Internet of Things (IoT) contracts in the 2010s.
Even smaller companies today, such as Zensar Technologies, are recording stronger deal pipelines relative to consultant-guided deals compared to client-driven RFPs.
Consultants suggest that consulting is crucial in situations involving rapid technological advancements, geopolitical shifts, and evolving regulations. Coforge’s recent acquisition of Cigniti contributed to a 31.2% increase in revenue in fiscal year 2025; however, organic growth is contingent upon the success of its consulting services.
As Ramkumar Ramamoorthy, partner at Catalincs, notes, “What we are witnessing today is a perfect time to double down on investments in consulting to address challenges arising from rapid technology change, geo-political instability, enhanced tariffs and regulations, and changing customer behaviour,” emphasizing that this will make Coforge’s bet a high-stakes necessity.
