The Business Bytes
Mumbai, November 26, 2024 (TBB Bureau): Tata Consultancy Services (TCS), a global leader in IT services and business solutions, has signed a three-year extension of its partnership for the SPARSH (System for Pension Administration – Raksha) programme. This landmark initiative by the Government of India aims to streamline pension distribution for over 30 lakh defence pensioners. Under the renewed agreement, TCS will maintain SPARSH’s hardware and software, implement critical system updates, and explore new solutions for the programme’s further enhancement.
Launched in October 2020, SPARSH represents a pioneering digital transformation of India’s defence pension system. By creating an integrated, secure, and efficient pension disbursement framework, TCS has drastically reduced pension processing times from 12–18 months to just 14 days. First-time pension payments now take only five to seven days. A major milestone was the implementation of the One Rank One Pension (OROP) scheme, benefiting 1.8 million pensioners. TCS enabled OROP disbursement in just 15 days, a process that previously took six to eight months.
The Controller General of Defence Accounts (CGDA) recently honoured TCS with a certificate of appreciation for its outstanding contributions to SPARSH.
Commenting on the extension, Girish Ramachandran, President–Growth Markets and Public Services at TCS, said, “The SPARSH project exemplifies TCS’ commitment to leveraging technology for social good. By reducing processing times and implementing efficient digital solutions, we are ensuring timely, transparent pension disbursement while setting new benchmarks in public service delivery.”
The SPARSH initiative has been monumental in scale, involving the digitization of records dating back to 1914 and the onboarding of over 30 lakh pensioners from the Army, Navy, and Air Force. Over 50 organizations and 2,302 offices have been integrated into the system, which has disbursed pensions amounting to over ₹2,82,067 crore to date. The centralized approach has also resulted in annual savings of ₹250 crore by eliminating bank service charges.
Tej Paul Bhatla, Senior Vice President and Business Head, Public Services–India, TCS, said, “The extension of our partnership highlights TCS’ expertise in large-scale digital transformation. We are proud to continue our role in nation-building, ensuring efficiency and transparency for those who have served our country.”
TCS is also in discussions to develop a digital solution enabling pensioners to make reverse payments in case of overpayments, further enhancing SPARSH’s functionality.
TCS brings vast experience in pension management, having transformed pension systems in the UK and Ireland. In India, TCS has spearheaded mission-mode programmes, digitizing stock exchanges, modernizing payment systems, and revolutionizing passport issuance. Today, TCS services touch the lives of 7 out of 10 Indians, underscoring its role in redefining the nation’s digital landscape.
