08/31/2026
The CEO of HCLTech on Pivoting for the AI Era
by C. Vijayakumar
From the Magazine (September–October 2026)
Mackenzie Stroh
Summary. When gen AI emerged, HCLTech recognized that it would fundamentally alter the economics of IT services, breaking the traditional link between revenue growth and workforce expansion. CEO C. Vijayakumar responded by driving an enterprisewide transformation centered on mindset change, aggressive investment in AI platforms and training, and transparent communication about the future of work. The company is now equipping employees to become AI builders and superusers while helping clients accelerate adoption through scalable, industry-specific solutions.
When generative AI became widely available, in late 2022, we at HCLTech quickly recognized that it would have enormous implications for our organization and our industry. For decades IT services have operated via linear models, with staffing and revenue growing in tandem. Every major technology wave, from the internet to digitalization to the cloud, created demand for more engineers, more consultants, and larger teams. Advances in AI have changed that equation: Vast amounts of knowledge work can now be completed dramatically faster with much less human effort. The technology is not just improving productivity around the edges; it’s altering the economics of our business.
We have opted to embrace AI wholeheartedly, and it has already changed how we operate internally, create value for clients, and measure success. Our AI strategy rests on several important objectives: proactively transforming our services; building differentiated intellectual property (IP) to accelerate AI adoption in enterprises; creating new AI-led services like Physical AI and AI Factory, new AI ecosystem partnerships, and new tools spanning the entire tech stack; and most important, turning our people into AI builders, AI superusers, and human-in-the-loop decision-makers.
A History of Reinvention
In recent years we have been working with some of the world’s top enterprises to deliver advanced engineering and R&D services, which in many respects paved the way for the AI systems reinventing industries today. About a decade ago our big bet was to expand more meaningfully into enterprise software and platforms that helped clients innovate and grow. That work spanned the technologies, platforms, and research initiatives that underpin the next generation of AI solutions. While the pace of progress has been extraordinary, we are still in the early stages of an AI-led transformation that will require navigating new technological, operational, and societal challenges with the same discipline and ingenuity that brought us to where we are now. We believe this is an inflection point and a once-in-a-lifetime opportunity to use technology to amplify both human potential and enterprise value.
Shifting the Mindset
Executing such a large transformation starts with facilitating a mindset shift. Nearly everyone in our business came of age in a world where larger teams meant greater impact and higher revenues. But now teams should adopt AI to increase their output and do more with fewer people.
Speed is also of paramount importance. No one should hesitate because of a desire to preserve the old ways or protect the current cash flow. We need to be comfortable transforming and even cannibalizing parts of our existing business, confident that we are putting ourselves in a stronger position for the future.
As I’ve shared publicly, over the next few years we are targeting a fundamentally different operating model, one in which growth is no longer tied to an increase in head count but is instead driven by enabling our team members to become AI builders and AI superusers, amplifying their potential through AI-augmented, platform-led delivery.
How did we bring everyone into this new way of thinking? With conviction and communication.
When I realized the power of AI, I chose not to beat around the bush with our teams. That’s why I publicly announced an audacious goal: to double our revenue with half the number of people. The bigger strategic message was that we all needed to prepare for a world in which some current roles would no longer exist, emphasizing the urgency of upskilling. Translating that goal into baby steps, our near-term ambition is to deliver at least 5% revenue growth without having to add more people by enhancing our existing workforce with AI. Of course, incremental revenue growth after that 5% will likely require additional talent. But the message is clear: “We are no longer dealing with business as usual. AI changes everything. And your company is encouraging you to stay ahead of the curve.” https://buff.ly/qDoVNjB
When gen AI emerged, HCLTech recognized that it would fundamentally alter the economics of IT services, breaking the traditional link between revenue growth and workforce expansion. CEO C. Vijayakumar responded by driving an enterprisewide transformation centered on mindset change, aggressive invest...