Employee Benefits In Tcs 4s6p67

A COMPREHENSIVE STUDY OF EMPLOYEE BENEFIT MEASURES IN TCS Group :- P135 Pratik Mohapatra Ayan Chakraborty Sarbajit Bhattacharjee Jyoti Dheer Rohit Goyal Kunal Bhatt

Flow of presentation •Synopsis – Profile & SWOT. •HR Policies •Restructuring & OD Interventions. •Post Organizational Change scenario.

Synopsis • Tata Consultancy Services Limited (TCS) is an Indian IT services, business solutions and outsourcing company headquartered in Mumbai, India. TCS is one of the largest private sector employers in India with a core strength 226,000 individuals. TCS has turned into the second-largest employer. It is the largest provider of information technology in Asia and second largest provider of business process outsourcing services in India. As a brand, TCS is the 76th Most Trusted Brand according to The Brand Trust Report, 2011. • TCS has offices in over 100 countries with more than 150 branches across the globe and is a subsidiary of textiles and manufacturing.

SWOT ANALYSIS

•226,000+ working professionals •12.8% attrition rate(industry best) compared to nearest competitor Infosys which has

15.4%

•70% of investment is for human capital •How does it keep pleasing employees year after year?

REALIGNMENT IN THE ORGANISATION STRUCTURE In 2008, the company went through an internal restructuring exercise that executives claim would bring about agility to the organization. The new structure, defines the organization into five ISUs :1.industry solutions group (ISG) 2. major markets group (MMG) 3.new growth market group (NMG) 4.strategic initiative group (SIG) 5. organization infrastructure group (OIG) These groups would be headed by a director, reporting directly to the COO

The Five ISU's explained:  INDUSTRY SOLUTION GROUP: The isu’s had multiple units dedicated to all the verticals that the company has presence in. All the existing clients will come under this group.  MARKET SOLUTION GROUP: IT focus on geographies of the US, UK and Europe. The unit will be responsible for getting prospective and new client wins.  NEW GROWTH MARKET GROUP: IT have three different units focusing on- India, APAC and emerging markets. These three units will own endto-end responsibility from client wins to maintaining long-term relations.

STRATEGIC INITIATIVE GROUP: It have three important units. First, is the TCS financial solutions unit, which was announced in the first quarter of this financial year. Second, small and medium enterprises business solutions and finally, a new unit for platform BPO solutions. ORGANISATION INFRASTUCTURE GROUPS: IT have four units, which will look into issue like process excellence, technology excellence, shared services group and resource management group. Each of these will again have individuals of proven capabilities and expertise.

EFFECTS OF RESTRUCTURING Earlier, middle-level employees in TCS did not have the bandwidth to be a part of the leadership team. With this new structure there’s an opportunity not to be lost in this huge company.  Today With almost 262,752 employees in 103 countries, TCS is the biggest Asian software and IT services company and a leader in off shoring. It is breaking all sorts of revenue records for Indian companies. It serves seven of the Fortune 500 top-ten companies.

STRENGTHS •

• • • • • • •

In the years 1998-99, TCS had grown into the largest Indian software company. Racing towards achieving its vision of being global top ten. On time delivery, Premier position in the industry in of revenues, Focus on training programs, Quality initiatives, Use of good technical tools and procedures and Encouragement of individual excellence in performance.

Diagnosed Problems • • • • • •

Mounting revenue pressures. Selectivity in projects. Focus on specialization. Efforts on Experimentation & Innovation. Rewards and Recognitions. Inter group co-ordination & knowledge sharing. • Branding and PR.

Alignment and Attunement Integrating and balancing out the four voices:

Voice of Shareholders Voice of Employee Voice of Customer Voice of Technology

VOS HORIZONTAL ALIGNMENT: The Process of Creating Values 2

1

VOT

2 3 1

3

4

1

3

3 2

2

VOC 1

VOE

VERTCAL ATTUNEMENT : The Process of Creating Energy

1. Solid PROs Invest & Encourage EDUCATE

Star Employees : Convert to Power Change Agents

Invest to classify

EDUCATE

Welcome Attrition

PERFORMANCE

Different strokes for different folks A T T Mitigate : R Retention / I Recruitment T Policies I O N

1. Can be Changed

Change 2. Can’t be changed CHANGE

POTENTIAL

Welcome Attrition

The Harvard Model of HRM followed by TCS

Training and Development • The primary motive of this consulting firm is to make its employees knowledgeable about the on going practices in their respective domains. • It has in place a well-planned induction programme for new recruits, which includes two months of intensive training at its dedicated training facility. • The company is also providing employees with Just -in-time training, which is more reactive in nature and caters to the skills related to platform, technology, application domain, etc. specific to a project. • It reinforces the concepts learnt during education/induction training through on-the-job experience.

Compensation Management System • TCS is reputed to be a world class employer which always cares for its employees and maintains sound yet flexible HR policies. • Its pay packages are designed in a way to accommodate for both the basic and incentive components. • The package is determined on the basis of the level (recruited for) and the amount of experience an employee has. • It is based on the EVA model i.e. Economic Value Added Model.

Performance Appraisal • The major objectives of performance appraisal at TCS are: • Identifying employees for salary increases, promotion, transfer and lay off or termination of services. • Determining training needs for further improvement in performance. • Motivating employees by indicating their performance levels. • It happens on • Quarterly Basis: Before confirmation by Speed 3 online tool • Half. yearly Basis : After confirmation by Speed 4 online tool

Employee Benefits • Flexible Working Hours

• It has an Adoption Leave Policy benefits which is extended to male associates also • This means that associates of both genders are eligible to three months paid leave after they adopt a child • TCS also has other add-ons such as sabbaticals, ing spouse overseas, part-time or work from home facility, holiday homes across the country and welfare trust facilitation for higher education • Also, as employees of the Tata group, associates get discounts on products and services of other Tata Group companies

HUMAN PROCESS INTERVENTIONS

Scenario Building Workshops Internal organization workshop was conducted with top management for scenario building. Focused at a larger level, on the “The TCS that can be”. Aim: To challenge the conventional ways of thinking and to give shape to the key drivers of change . Realistic listening and dialoguing. Dissemination and communication of the scenarios with teams. To develop a new language for the organization, consistent with the envisaged future scenario.

Contd…. Participants: Representatives of senior management. Theme of Scenarios: The nature of the struggle the organization would go through and etched out realistic possibilities based on present factors. Factors: Wealth creation Enhanced productivity factors Feeling of being valued Resource allocation and team-work hip criteria and norms of the group Learning opportunities for individuals and teams

Professional Excellence: How do I become a role model and a friend. Role Enhancement : How do I take up new responsibilities and set new directions. Owing TCS Culture: How do I influence culture.

Personal Growth : How do I walk the journey of self discovery and growth. Employee Involvement : How do I enable continuous improvement. Learning : How do I enable Team learning.

PROPEL – the case of a large relationship at tcs Team alignment initiative. Aim: To set up a dialogue among associates to reflect , build and channel potent restlessness into a convergent blueprint of responsiveness by redefining desirable role behaviours.

TECHNO STRUCTURAL INTERVENTIONS

Value Cards at the Large Relationship Devised after the analysis of tensions existing in the four dimensions as represented by Voice of Customer, Shareholders, Employee and Technology. Used to analyze the problems faced by employees, to arrive at workable solutions to the identified problems, within designated timeframes. Helped to effectively capture and track this through the following steps: 1. The situation summary was charted out. 2.Improvement goals, action plans and owners of each plan were identified. 3.Success measures were identified against the dimensions of Valuing, Strategizing, Improving, for each actionable, along with timeframe for closure.

4.Impact was analyzed in of short term and long-term actions.

Improvements through Measurements/ Initiatives: Excellence at the large relationship (AEP) The excellence program ( AEP ) at the large relationship was modelled on the lines of the Malcolm Baldridge National Quality Award/ Tata Business Excellence Model.

Touches upon 7 key categories Strategic Planning Customer & Market Focus

Leadership

AEP

Process Management & Business Results

Measurement

HR Focus

Analysis & Business Model

HUMAN RESOURCE MANAGEMENT INTERVENTIONS

Goal Alignment & Balanced Scorecard A Teach-Train-Transfer workshop on Goal alignment was conducted, with help from expert OD consultants:  To build the context.  To think through goal setting at TCS with a systems perspective to goal alignment. To explore means of institutionalizing goal-oriented performance management within the organization.

Balanced Scorecard The Balanced Scorecard approach was proposed, introducing corporate goals, which touched upon the following:  Voice of the Shareholder - Financial Goals e.g. Wealth creation Vector of Technology – Technology Goals e.g. Quality, Cost, Delivery dimensions Voice of the Customer – Customer/ Market Goals e.g. Customer Satisfaction Voice of the Employee – Learning & Development e.g. Employee Satisfaction

Balanced Scorecard... Lead to the formulation of career paths in TCS global services, consulting and products, ed by HR processes, tools and staff. This structure was designed to enable a fair degree of flexibility in rotating at appropriate levels, provides avenues for individual growth. Besides, there was an exercise to bring out new role definitions in Human Resources (HR), focusing on alignment, energizing and task facilitation through HR. Business leaders dialogued to evolve the mission and expectations and further, to design enablers for continuous change, team work, and individual growth.

Darpan - Reflect and Improve Darpan – Associate Satisfaction Survey for large relationship. The Questionnaire to capture associate across 5 categories: Career & Job, Communication, Culture & Pride, Leadership, Supervisor.

Analysis was done for the overall relationship, as well as individual Business Units within the relationship. Results shared with the entire team and actionable evolved through a series of camps and confluences.

Outcomes From Darpan : The Cultural Perspective ASI increase in Darpan 06 & corresponding increase in CSI. 91 % of the team felt proud of being part of the relationship. 90% of the team felt that they can see the big picture - how their contributions add value to customer. 90% of the team felt that their supervisors are approachable & enable them to do their job better.

OTHER OD INTERVENTIONS

Initiatives Deployed

Nakshaktra Award

In Touch

Toast Master Club/Lets Talk

Summary Reward and Recognition initiative within the relationship.  Awarded to encourage star performers for each month within each Business Unit of the relationship. The unique feature of this initiative is that even team can nominate their peers.

An interaction / mentorship initiative with the lead of the relationship.  Any employee can walk in to meet the lead and discuss out any problems/ suggestions for improvement in the relationship.

To enhance personality/communication ability of associates in the relationship . To help them gain confidence through sessions by certified facilitators.

Initiatives Deployed

Summary

Fun@ Relationship level

 Initiated to bring in a spirit of team. To act as a stress buster. There are champions within each unit who drive these fun activities in the relationship.

Open House/ Town halls

The objective was to encourage strategic communication, To discuss the larger vision and achievements at relationship level with all employees across the Business Units. Serves as a platform for recognizing good performers and celebrating milestone achievements.

Walk the talk

A senior associate within the relationship takes any new ee to the relationship, on a tour of the facility. The aim of this initiative is to make the new entrant feel valued. This is followed by a simple quiz to check the effectiveness of this initiative.

Post Org. Change from a culture perspective Enhanced value to the customer & employee at Tata Consultancy Services. PROPEL - encouraged sharing of ownership and empowerment to change, as also the sharing of best practices across the organization. Enhanced individual performance, and lead to empowered project teams. Issue based mentoring was facilitated, with camps and confluences as enabling frameworks. Through Scenario building, a collective transformation of dreams and concerns into response capabilities was envisaged. Continuous scanning of environment for opportunities and threats was proactively looked at. Goal alignment through cascading of Balanced Score Card concept could be achieved organization wide. The focus shifted to adding knowledge through delighting every customer.