Cover
Cover | 12 Months Ended |
Dec. 31, 2023 | |
Cover [Abstract] | |
Document Type | PRE 14A |
Entity Registrant Name | Cognizant Technology Solutions Corporation |
Entity Central Index Key | 0001058290 |
Amendment Flag | false |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pay vs Performance Disclosure [Table] | ||||
Pay vs Performance [Table Text Block] | The following table provides certain summary information concerning the relationship between executive “compensation actually paid” to our principal executive officer (“PEO”) and other NEOs and certain financial performance of the company. The “compensation actually paid” does not necessarily reflect the value received or realized by our NEOs or how the compensation committee evaluates compensation decisions in light of company performance. pages 55 64 page 45. Revenue (GAAP) Year Summary Compensation Table Total for PEO Compensation Actually Paid to PEO Average Summary Compensation Table Total for Non-PEO NEOs Average Compensation Actually Paid to Non-PEO NEOs Value of Initial Fixed $100 Investment Based On: Net Income (GAAP) ($M) Revenue (GAAP) ($M) Mr. Kumar Mr. Humphries Mr. Kumar Mr. Humphries Total Share- holder Return Peer Group Total Share- holder Return 2023 $22,563,405 $4,216,416 $23,063,570 ($11,121,997) $4,217,441 $3,122,360 $129.19 $219.37 $2,126 $19,353 2022 — $17,943,894 — ($949,565) $4,263,584 $808,056 $96.15 $138.98 $2,290 $19,428 2021 — $19,687,285 — $22,375,791 $5,654,584 $6,736,685 $146.87 $193.55 $2,137 $18,507 2020 — $13,807,940 — $21,897,726 $7,511,754 $8,998,439 $133.96 $143.88 $1,392 $16,652 Summary Compensation Table Total for PEO. During 2023, Mr. Kumar and Mr. Humphries each served for a period of time as our CEO and Mr. Humphries was our CEO for 2020, 2021 and 2022. Compensation Actually Paid to PEO. Mr. Kumar Mr. Humphries shown below. page 50 page 54 Compensation actually paid to PEO in 2023 Mr. Kumar Mr. Humphries Summary Compensation Table Total $22,563,405 $4,216,416 Less, value of Stock Awards reported in Summary Compensation Table ($20,252,245) — Plus, year-end fair value of outstanding and unvested equity awards granted in the year $15,841,805 — Plus, fair value as of vesting date of equity awards granted and vested in the year $4,910,605 — Plus (less), year over year change in fair value of outstanding and unvested equity awards granted in prior years — — Plus (less), year over year change in fair value of equity awards granted in prior years that vested in the year — $133,932 Less, prior year-end fair value for any equity awards forfeited in the year — ($15,472,345) Compensation actually paid to PEO $23,063,570 ($11,121,997) Average Summary Compensation Table Total for Non-PEO NEOs. For 2023, our non-PEO NEOs are Mr. Dalal, Mr. Siegmund, Mr. Gummadi, Mr. Kim, Mr. Ayyar and Ms. Schmitt. For 2022, our non-PEO NEOs were Mr. Siegmund, Mr. Gummadi, Mr. Ayyar, Mr. Kim, Greg Hyttenrauch and Ursula Morgenstern. For 2021, our non-PEO NEOs were Mr. Siegmund, Mr. Hyttenrauch, Mr. Kim and Rajesh Nambiar. For 2020, our non-PEO NEOs were Mr. Siegmund, Karen McLoughlin, Ms. Schmitt, Malcolm Frank and Matthew Friedrich. Average Compensation Actually Paid to Non-PEO NEOs. shown below Average compensation actually paid to Non-PEO NEOs 2023 Average Summary Compensation Table Total $4,217,441 Less, average value of Stock Awards reported in Summary Compensation Table ($3,359,713) Plus, average year-end fair value of outstanding and unvested equity awards granted in the year $2,335,383 Plus, average fair value as of vesting date of equity awards granted and vested in the year $322,448 Plus (less), average year over year change in fair value of outstanding and unvested equity awards granted in prior years ($121,768) Plus (less), average year over year change in fair value of equity awards granted in prior years that vested in the year $121,144 Less, average prior year-end fair value for any equity awards forfeited in the year ($392,575) Average compensation actually paid to non-PEO NEOs $3,122,360 Total Shareholder Return. Peer Group Total Shareholder Return. The peer group used for this column is the S&P 500 Information Technology Sector Index (S51NFT). Cognizant Reported Revenue per US GAAP. | |||
Company Selected Measure Name | Revenue (GAAP) | |||
Named Executive Officers, Footnote [Text Block] | During 2023, Mr. Kumar and Mr. Humphries each served for a period of time as our CEO and Mr. Humphries was our CEO for 2020, 2021 and 2022. For 2023, our non-PEO NEOs are Mr. Dalal, Mr. Siegmund, Mr. Gummadi, Mr. Kim, Mr. Ayyar and Ms. Schmitt. For 2022, our non-PEO NEOs were Mr. Siegmund, Mr. Gummadi, Mr. Ayyar, Mr. Kim, Greg Hyttenrauch and Ursula Morgenstern. For 2021, our non-PEO NEOs were Mr. Siegmund, Mr. Hyttenrauch, Mr. Kim and Rajesh Nambiar. For 2020, our non-PEO NEOs were Mr. Siegmund, Karen McLoughlin, Ms. Schmitt, Malcolm Frank and Matthew Friedrich. | |||
Peer Group Issuers, Footnote [Text Block] | The peer group used for this column is the S&P 500 Information Technology Sector Index (S51NFT). | |||
Adjustment To PEO Compensation, Footnote [Text Block] | Compensation actually paid to PEO in 2023 Mr. Kumar Mr. Humphries Summary Compensation Table Total $22,563,405 $4,216,416 Less, value of Stock Awards reported in Summary Compensation Table ($20,252,245) — Plus, year-end fair value of outstanding and unvested equity awards granted in the year $15,841,805 — Plus, fair value as of vesting date of equity awards granted and vested in the year $4,910,605 — Plus (less), year over year change in fair value of outstanding and unvested equity awards granted in prior years — — Plus (less), year over year change in fair value of equity awards granted in prior years that vested in the year — $133,932 Less, prior year-end fair value for any equity awards forfeited in the year — ($15,472,345) Compensation actually paid to PEO $23,063,570 ($11,121,997) | |||
Non-PEO NEO Average Total Compensation Amount | $ 4,217,441 | $ 4,263,584 | $ 5,654,584 | $ 7,511,754 |
Non-PEO NEO Average Compensation Actually Paid Amount | $ 3,122,360 | 808,056 | 6,736,685 | 8,998,439 |
Adjustment to Non-PEO NEO Compensation Footnote [Text Block] | Average compensation actually paid to Non-PEO NEOs 2023 Average Summary Compensation Table Total $4,217,441 Less, average value of Stock Awards reported in Summary Compensation Table ($3,359,713) Plus, average year-end fair value of outstanding and unvested equity awards granted in the year $2,335,383 Plus, average fair value as of vesting date of equity awards granted and vested in the year $322,448 Plus (less), average year over year change in fair value of outstanding and unvested equity awards granted in prior years ($121,768) Plus (less), average year over year change in fair value of equity awards granted in prior years that vested in the year $121,144 Less, average prior year-end fair value for any equity awards forfeited in the year ($392,575) Average compensation actually paid to non-PEO NEOs $3,122,360 | |||
Compensation Actually Paid vs. Total Shareholder Return [Text Block] | The table below reflects the relationship between the PEO and the average Other NEO compensation actually paid and the performance measures shown in the Pay versus performance table annually from 2020 to 2023. For each column below, the amount shown represents the percentage increase or percentage decrease in such item annually from 2020 to 2023; amounts for the relevant years used in such calculations are shown in the Pay versus performance table on page 83 Period Compensation Actually Paid to Mr. Kumar Compensation Actually Paid to Mr. Humphries Average Compensation Actually Paid to Other NEOs Company TSR Peer Group TSR Net Income Revenue 2022 to 2023 — (1,071.3%) 286.4% 34.4% 57.8% (7.2%) (0.4%) 2021 to 2022 — (104.2%) (88.0%) (34.5%) (28.2%) 7.2% 5.0% 2020 to 2021 — 2.2% (25.1%) 9.6% 34.5% 53.5% 11.1% The change in Compensation Actually Paid from 2021 to 2022 (a reduction of 104.2% for Mr. Humphries and an average reduction of 88.0% for the other NEOs) is largely due to the impact of the significant reduction in the company’s stock price from $88.72 as of December 31, 2021 to $57.19 as of December 31, 2022 on the value of each NEO’s unvested equity awards. This reduction is reflected in the negative 34.5% company TSR over such period. In contrast, from December 31, 2022 to December 31, 2023, the company’s stock price increased from $57.19 to $75.53, as reflected in the company TSR of 34.4%. However, during such period the company’s revenue and net income suffered from macroeconomic challenges, resulting in relatively low ACI payouts. This reduced payout was offset by increases in the value of each NEO’s equity holdings, resulting in an average 286.4% increase in compensation actually paid to the non-PEO NEOs. In addition, the 1,071.3% decrease in Mr. Humphries’ compensation actually paid from 2022 to 2023 includes the impact of the forfeiture of approximately $15.5 million of equity grants in connection with the termination of his employment. As described in more detail in the section “Compensation – Compensation discussion and analysis,” the company’s executive compensation program reflects a variable pay-for-performance philosophy. While the company utilizes several performance measures to align executive compensation with company performance, all of those company measures are not presented in the Pay versus performance table. Moreover, the company generally seeks to incentivize long-term performance, and therefore does not specifically align the company’s performance measures with compensation that is actually paid (as computed in accordance with SEC rules) for a particular year. In accordance with SEC rules, the company is providing the foregoing descriptions of the relationships between information presented in the Pay versus performance table. | |||
Tabular List [Table Text Block] | As required, we disclose below the most important measures used by the company to link compensation actually paid to our NEOs for 2023 to company performance. For further information regarding these performance metrics and their function in our executive compensation program, please see “Compensation -- Compensation discussion and analysis”. These measures are unranked. • Revenue Revenue adjusted for Currency Fluctuations and Acquisitions pages 49 53 • Adjusted Operating Margin pages 49 52 • Adjusted Diluted Earnings per Share pages 50 52 53 • Relative Total Shareholder Return pages 50, 51 53 | |||
Total Shareholder Return Amount | $ 129.19 | 96.15 | 146.87 | 133.96 |
Peer Group Total Shareholder Return Amount | 219.37 | 138.98 | 193.55 | 143.88 |
Net Income (Loss) Attributable to Parent | $ 2,126,000,000 | $ 2,290,000,000 | $ 2,137,000,000 | $ 1,392,000,000 |
Company Selected Measure Amount | 19,353,000,000 | 19,428,000,000 | 18,507,000,000 | 16,652,000,000 |
Measure [Axis]: 1 | ||||
Pay vs Performance Disclosure [Table] | ||||
Measure Name | Revenue | |||
Measure [Axis]: 2 | ||||
Pay vs Performance Disclosure [Table] | ||||
Measure Name | Adjusted Operating Margin | |||
Measure [Axis]: 3 | ||||
Pay vs Performance Disclosure [Table] | ||||
Measure Name | Adjusted Diluted Earnings per Share | |||
Measure [Axis]: 4 | ||||
Pay vs Performance Disclosure [Table] | ||||
Measure Name | Relative Total Shareholder Return | |||
Non-PEO NEO [Member] | Less, average value of Stock Awards reported in Summary Compensation Table | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | $ (3,359,713) | |||
Non-PEO NEO [Member] | Plus, average year-end fair value of outstanding and unvested equity awards granted in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 2,335,383 | |||
Non-PEO NEO [Member] | Plus, average fair value as of vesting date of equity awards granted and vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 322,448 | |||
Non-PEO NEO [Member] | Plus (less), average year over year change in fair value of outstanding and unvested equity awards granted in prior years | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | (121,768) | |||
Non-PEO NEO [Member] | Plus (less), average year over year change in fair value of equity awards granted in prior years that vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 121,144 | |||
Non-PEO NEO [Member] | Less, average prior year-end fair value for any equity awards forfeited in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | (392,575) | |||
Ravi Kumar | ||||
Pay vs Performance Disclosure [Table] | ||||
PEO Total Compensation Amount | 22,563,405 | |||
PEO Actually Paid Compensation Amount | $ 23,063,570 | |||
PEO Name | Mr. Kumar | |||
Ravi Kumar | PEO [Member] | Less, value of Stock Awards reported in Summary Compensation Table | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | $ (20,252,245) | |||
Ravi Kumar | PEO [Member] | Plus, year-end fair value of outstanding and unvested equity awards granted in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 15,841,805 | |||
Ravi Kumar | PEO [Member] | Plus, fair value as of vesting date of equity awards granted and vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 4,910,605 | |||
Ravi Kumar | PEO [Member] | Plus (less), year over year change in fair value of outstanding and unvested equity awards granted in prior years | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Ravi Kumar | PEO [Member] | Plus (less), year over year change in fair value of equity awards granted in prior years that vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Ravi Kumar | PEO [Member] | Less, prior year-end fair value for any equity awards forfeited in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Brian Humphries | ||||
Pay vs Performance Disclosure [Table] | ||||
PEO Total Compensation Amount | 4,216,416 | $ 17,943,894 | $ 19,687,285 | $ 13,807,940 |
PEO Actually Paid Compensation Amount | $ (11,121,997) | $ (949,565) | $ 22,375,791 | $ 21,897,726 |
PEO Name | Mr. Humphries | Mr. Humphries | Mr. Humphries | Mr. Humphries |
Brian Humphries | PEO [Member] | Less, value of Stock Awards reported in Summary Compensation Table | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Brian Humphries | PEO [Member] | Plus, year-end fair value of outstanding and unvested equity awards granted in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Brian Humphries | PEO [Member] | Plus, fair value as of vesting date of equity awards granted and vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Brian Humphries | PEO [Member] | Plus (less), year over year change in fair value of outstanding and unvested equity awards granted in prior years | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | ||||
Brian Humphries | PEO [Member] | Plus (less), year over year change in fair value of equity awards granted in prior years that vested in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | 133,932 | |||
Brian Humphries | PEO [Member] | Less, prior year-end fair value for any equity awards forfeited in the year | ||||
Pay vs Performance Disclosure [Table] | ||||
Adjustment to Compensation Amount | $ (15,472,345) |