Management of
Human Assets at
Infosys
Infosys
Infosys is one of India’s leading information technology (IT) services
companies. It uses an extensive non-U.S. based (“offshore”)
infrastructure to provide managed software solutions to clients
worldwide.
Founded in 1981.
Corporate headquarters : Bangalore, India.
US headquarters : Fremont, CA .
Sales offices located in the U.S., Canada, the U.K., Belgium, Sweden,
Germany, Australia, Japan and India.
In 1999 Infosys was the first India-registered company listed on
NASDAQ
In 2000 Infosys was voted India’s most admired company in The
Economic Times.
over 58,000 employees worldwide.
Products
Infosys services include:
software development,
maintenance and re-engineering services,
e-commerce and internet consulting,
Dedicated Offshore Software Development Centres.
What do you think of the way human assets
are valued at Infosys?
TRAINING AND DEVELOPMENT
The education and research center
Classrooms, labs, individual faculty rooms
and library
Related courses
Fresh training
Scheduled courses
Various assessing mechanisms
MANAGERIAL EXPERTISE
First time manager program
The manager of managers program
Infosys leadership program
COMPENSATION
A greater total compensation
One of the first Indian companies to offer
stock option plans to their employees
Other benefits such as pension, medical
and leave
What are the problems?
What about the students who didn’t done well
academically? They are likely to be rejected at the
first step. What about students majoring in other
subjects?
Rejected candidates may reapply after 9 months. Is
it a little bit too long? And what if they are rejected
again?
Although the compensation in Infosys is good in
India. It is not necessarily enticing, globally speaking.
The fresh technology entrants receive 14.5 weeks of
training. So they have to be off work for more than 3
months.
How the Infosys can do better?
To absorb more fresh-outs, considering
not their academic performance
To condense the time of recruitment and
training
To give more benefits to keep the people
Will the company be successful in
attracting a similar profile of employees
(talented and commited) overseas ?
Infosys really tries to attract a similar
profile of employees overseas
Why?
Methods to succeed
- recruitment
- training
- compensation
However, culture doesn’t enable to find the
exact same profiles
Culture might be a limit:
- language barrier
- differences about objectives and about ideas of
work
- about the devotion
- Low brand equity
- Emotional buy-in
Culture might be an asset
In India In USA and Canada
abilities are more generalists possess specialize abilities
stronger in technical skills interpersonal skills and
communication abilities
- with the both skills might be very advantageous
- confrontation of culture gives incontestably
creativity and favours innovations.
Conclusion :
Infosys tries to find and maintain foreign employees
who have the same profile than people hire in India.
However, their culture differs.
Differences should enrich the firm so Infosys.
All the more so Infosys could be met, in the future,
with difficulties and risks.
How might the company culture/philosophy
be a hindrance/facilitator for overseas
operations?
FACILITATORS
Infosys’ management style, which is rare among
Indian business leaders, is based on western
management
Company’s strengths are youth, speed, and
imagination, and constant innovation in all
business areas
Emphasis on transparency and communication
Emphasis on getting the employees’ emotional
buy-in into the company
Very rapid career development progress
HINDRANCES
Overseas maintains the same
compensation strategy as in India
Infosys is not industry leader in pay
• The employment relationship in Indian
business is different to compared to the
Western context
INFOSYS
today
Revenue by geographical segment
LTM* LTM
Jun 30, 2006 Jun 30, 2000
% %
North America 64,8 78,0
Europe 25,1 14,8
India 1,5 1,4
Rest of the world 8,6 5,8
Total 100,0 100,0
*LTM – Last Twelve Months
North America – U.S., Canada and
Mexico.
Europe – continental Europe (both
the East and West), Ireland and the
U.K.
Rest of the world – all other
places, except those mentioned
above and India.
Human resources practices have
been successfully assessed at
LEVEL 5 of the People Capability
Maturity Model (PCMM).
TheWorld’s most innovative
companies (2006, April 24) :
INFOSYS – 32 place.
Lev & Schwartz model
(to compute the value of HUMAN RESOURCES)
2006 2000
Employees Value of Employees Value of
(No.) human (No.) human
resources resources
Software 49,495 43,336 4,292 1,965
delivery
Support 3,220 3,301 1,097 0,272
TOTAL 52,715 46,637 5,389 2,237
