That Infosys should emerge as the best employer in the software industry is
no surprise. As far as its human resources environment is concerned, reality
pretty much matches up to the hype, more so to the extent that the company now
has a larger number of hygienics than motivators. Motivators become hygienics
when employees begin to take certain facilities for granted. And the fact that
Infosys performs well on hygienics like work climate, training and interpersonal
relationships is an indication of strength.
However, there are causes for concern, the most important of which is the
fact that Infosys’ employees today have just one motivator–compensation and HR
services (which includes perks etc) and they rate the company’s performance as
“below average” on this. Infosys salaries are not high. To make up for
this, the company has traditionally given large salary hikes. But hikes have
been severely affected the current downturn and this is reflecting in the
company’s TRI*M grid. A tight job market for the moment ensures that attrition
levels will remain low, but this is an area that the company will need to look
into in a few months.
|Compensation and||Work Climate/||Compensation|
|HR Services||Organizational Culture||Â Â Â Â|
|Â||Training and Development||ESOPs|
|Â||Interpersonal Relationships||Overseas opportunities|
A couple of surprises here: Infosys’ employees are not very excited by
overseas opportunities though a substantial part of the company’s business has
come from on-site projects. Also, though employees are very happy with the
company’s image, the management seems not to be leveraging this factor enough.
Interestingly, Infosys’ employees rate the technology they work on as
“average” and are not in the least motivated by it.
But the really big surprise–Infosys’ employees say facilities offered by
the company (ranging from things like IT infrastructure and project execution
procedures to campus and recreational facilities etc) are average, while
employees of far more spartan offices expressed greater satisfaction on this
count! There can be only two explanations for this–either it’s a case of the
more you have, the more you want; or crucial things like high-speed Net access
are of far greater importance to employees than gyms and golf!
2. IBM Global Services: Trim Score 97
Motivators generally reflect two things–what employees have and are overtly
happy about, and what they don’t have but would dearly like. IBM performs well
in two of its three motivators–facilities/support/tools/resources and
interpersonal relationships. But what IBM employees would also like is greater
clarity on and simplified policies and procedures. They complain of long and
cumbersome rules that affect both efficiency and motivation.
|Policies and||Training and||Compensation
|Â Procedures||Development||HR services|
|Â||ESOPs Interpersonal Relationships||Â|
Also, there are some interesting and unexpected results here: IBM employees
think the company’s image in India is far below average. But that does not
deter them from staying on in the company because what they are really looking
at is IBM’s image worldwide. IBM was exceptional in two other respects–employees
rated salaries as “below average” but said this did not affect
motivation levels significantly. It was also the only company rated far above
“average” in its employee stock options plan. But an area of concern
is that on the whole, employees rate the company only “average” on job
content and career development opportunities.
2. Tata Infotech: Trim Score 97
It is the only company where employees consider long-term overseas
opportunities a “hygiene factor”. What’s more, they rate the company’s
performance on this as above average. In fact, employees rate Tata Infotech’s
performance on almost all motivators as “average”. But the reason it
is up there at number two is that it rated very highly by employees on all
hygiene factors–performance management systems, job content and career
development and policies and procedures. Good performance on hygienics is a
healthy sign. However, signs of trouble show up in some important respects.
Across all the Top 20 companies, employees have rated work culture in their
companies as above average or “far above average”. Tata Infotech is
among the few companies where employees are not happy on this count. As also on
two crucial issues–technology they work on and the training they receive.
|are working on||System||Â|
|Long Term Overseas||Communication|
|Work Climate/||Policies and Procedures||Â|
2. ZENSAR: Trim Score 97
Now this was a surprise. Ranked 18th by revenue among software companies last
year, Zensar Technologies is Pune-based and no one has ever thought of it in
relation to HR practices. And yet, here it is, tied for second place with IBM
and Tata Infotech. Some of this has to do with location–a company of its size
(over 1,100 software professionals) in a non-metro like Pune has a lot of brand
value among employees. Also, much like Tata Infotech, while Zensar is rated
average on its motivators, it ranks high because of a fairly large number of
hygiene factors on which it performs well. For instance, employees take
technology as a given and are extremely happy on that count. They also rate the
company’s training initiatives as “above average”. Compensation is,
of course, rated “average”, but Zensar is one of the few companies
today that revises salaries twice a year. The norm these days is annual
appraisals and Zensar scores a lot on this count. Its performance management
system has actually emerged as an attribute that the company can save on.
However, the company’s trouble-spot at the moment is policies and
procedures, which is a significant motivator but is rated “average by
employees”. Other areas of concern are communications and facilities.
|Procedures||are working on||Â Â|
|Â Â||Training and||Facilities|
5. WIPRO: Trim Score 95
It is interesting how in some important respects, employees at Wipro come
across as an antithesis to those at Infosys. The only motivator among Wipro
employees is the technology they get to work on and the company is rated
"far above average" on this. Compensation emerged as a hygiene factor
and though it was rated "average", it had no effect on employee
Many elements of employee satisfaction emerged as hygiene factors at Wipro–facilities,
job content and career development and work climate (rated "average"
or "below average") and organization culture–which was rated
"far above average". Though it emerged as a saver, employees were also
extremely happy with training and development programs in the company.
Interesting thing–nothing at Wipro was rated "far below average".
But the area of concern is "average" or "below performance"
ratings on a long list of issues–communications, overseas opportunities,
performance management sytems and ESOPs. And finally, while employees don’t
say the company’s image is important to them (rated "above
average"), its actual affect on employee motivation is extremely high. As
such, this is an area the company should be paying attention to in the near
future. Also, staffers indicated that the company should be paying more
attention to communications within the company.
|are working on|
|Work Climate and|
|Training and Development|