India’s leading IT company Tata Consultancy Services (TCS) has secured a three-year extension contract to operate the Defence Pension System SPARSH (System for Pension Administration, Raksha). This system facilitates the distribution of pensions of more than 30 lakh defence personnel of the country.

Importance of SPARSH System

SPARSH aims to digitise and centralise the pension distribution process. This is not only saving government expenses but also providing timely and transparent services to pensioners.

How is SPARSH changing the face of the pension system?

1. Speeding up the pension process

TCS has reduced the timeline for pension distribution from 12-18 months to just 14 days. For first-time pensioners, this period has been reduced to just one week.

2. Implementation of One Rank, One Pension (OROP) Scheme

Implementation of this controversial scheme was always a challenge. But TCS implemented it in record time and extended the benefits of OROP to more than 18 lakh pensioners.

How did TCS’ efforts lead to savings?

1. Reduction in bank charges

Due to the centralized system, the government is saving ₹250 crore annually.

2. Contribution of digitization

The pension process has been strengthened by digitizing millions of records from 1914 till date.

Is SPARSH just a technology project?

Absolutely not! It is setting a new standard of public service. TCS has not only simplified the pension process but has also ensured transparency and accountability through digital solutions.

Key Achievements:

• Digitised Records: Lakhs of old documents.
• Connected Offices: 2,302 offices connected with SPARSH.
• Total Pension Amount: ₹2,82,067 crore.
• Onboarding of Organizations: 50 organizations on board with SPARSH.

Extension Contract: Three more years of success story

Under this contract, TCS will maintain the hardware and software for the next three years and provide necessary upgrades from time to time.

Way Forward: Digital Solution

Discussions are on between TCS and Controller of Defence Accounts (CGDA) on a digital solution aimed at simplifying the reverse payment process of overpayments for pensioners.

Social Impact of SPARSH

1. Improvement in lives of pensioners

• Financial security through timely pension payments.
• Increased trust through transparent process.

2. Reduction in government expenditure

• Freedom from unnecessary delays and charges.

TCS and SPARSH: An inspiring partnership

TCS’ association with SPARSH is not limited to just technical services. It is a symbol of innovation and excellence in public service.

Conclusion

TCS has not only transformed the pension process through SPARSH but has also given it a new dimension. In the digital age, this initiative is proving to be a ray of hope for pensioners.

FAQs

1. What is SPARSH System?

SPARSH is an initiative launched by the government to simplify and digitize the pension process of defense personnel.

2. For how long has TCS extended the contract?
TCS has received a three-year extension contract.

3. What benefits has the government received from this system?
The government is saving ₹250 crore annually due to the centralized system.

4. What role did SPARSH play in implementing the OROP scheme?
SPARSH implemented the OROP scheme in record time, benefiting 18 lakh pensioners.

5. What is the future of SPARSH?
TCS and CGDA are working on a digital solution that will further ease the process of reversing overpayments.