Tally, as an organisation, has gone through a roller coaster ride- right from being a start-up to a market leader, to seeing a meltdown in product pricing. It has several future goals and the main one is to become a 5,000 crore company in the near future. Bharat Goenka, the founder of Tally Solutions – India’s largest company in the accounting software domain has great ambitions. The company intends to surpass $2 billion in revenues by the completion of FY 16-17 at a growth rate that might make other start-ups to think.
Growing twenty times in few years’ time might come across as an unreasonable dream; however, the ambition to do so is perhaps more of a product of Tally’s unrealised ambitions than a statement of overconfidence. After a long road dented with struggle, success and then some huge mistakes, Tally seems to have discovered itself and sees no reason why it shouldn’t take the open road ahead in an alarming speed. The company’s founder seems to be clear on his priorities for the company this time around. According to him it’s quite easy to make money but not that simple to create an impact and if the company succeeds in doing so, it’s natural that the money will flow in.
Tally’s flagship software, ERP 9, is widely considered the best accounting package available to businesses today. Its ease of use and capability to impart real time information access, thus allowing up-to-date cash flow analysis and offering capability to better understand the numbers behind a business on an ongoing basis are what make Tally unique in India. Today, its product has an 80% market share and as per Mr Goenka, manual book keeping is the only competition. Though financial accounting is a global product, it’s extremely unique for every market.
According to experts, the accounting standard and rules in India are quite different and they change very fast as well. One of the biggest benefits Tally possesses is the understanding of the regulatory environment in the country and the fact that they update their products with great frequency. The other big benefit for Tally ERP is its strong network of partners, who actually go and sell their products in the market. Expert opine that for any global company to succeed in India, wherein lot of small businesses require to have individuals coming and selling and getting their products installed, this is a tough act to follow.
Tally primarily sells its products under two brands; Tally and Shoper. The company has introduced its latest version Tally ERP 9 that has been extremely successful. Going forward, it has also identified an area of opportunity, majorly ‘supply chain visibility’; looking to harness its wide reach to offer the last mile connectivity to small and mid-sized organisations.
For Tally to go past the growing completion and hit the aimed $2 billion mark, it needs to get back to the things that made it successful in the first place, which is innovation and unmatched work ethics.