HCL technologies, one of the emerging IT solution organization, has its business in 31 countries. HCL went through a high employee turnover and down in business than competitors. To overcome this situation, HCL came with
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HCL technologies, one of the emerging IT solution organization, has its business in 31 countries. HCL went through a high employee turnover and down in business than competitors. To overcome this situation, HCL came with strategic choice for concentrating more on specialized services and improved customer service. A new policy named ‘Employee First, Customer Second’ was introduced in intended to engage employee more efficiently. It was felt that engaged employee would enhance customer service. Employees were offered chance to participate in opinion polls. An online non-censored portal for having reviews from employees and 360-degree feedback including rating, was on company’s intranet. The aim for these portals were to challenge the management for being more responsive to employee needs. Arguably, this strategy was reflecting strong values and an underlying purpose beyond making money. In 2009 HCL was awarded the Financial Times Arcelor-Mittal Boldness in Business Awards and the Hewitt Best Employers in Asia Award. By 2012, the profit of company was still below than competitors but the revenue was climbing up.
BACKGROUND INFORMATION
HCL Technologies, an organization solving complex IT and engineering problems under one roof, has revenue of $4.3 billion with over 80,000 employees in 31 countries. HCL was founded in 1976 in India and a different unit named HCL America was established in 1989 for US market. The company lost its competitive advantage during period of 2000-2005 and employee turnover was also high in this period. HCL was looking for change to develop new strategy, business model, and a strong internal culture.
A new strategy named ‘Employee First, Customer Second’ has been introduced to make
company more transparent and accountable, and to engage employees more efficiently. The idea
behind this was, engaged employees would enhance customer service and customer relations. In this policy, an online portal named ‘U and I’ was available to submit tickets on what need to be changed. Employees were expected to be honest with reviews and they are censored free from organization. Employees were also offered to participate in weekly online opinion poll.
A 360 degree evaluation from employees has been conducted and results were being posted on company’s intranet. The aim was to challenge manager for being more responsive to employee needs. Employee were moved away from bonuses and being paid their full salary.
Extensive investments in employee training and development have been made to support the policy.
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