Professional Documents
Culture Documents
Group 2
Amol Deherkar 040/46
Ankit Sukhija 052/46
Madhan Darwin 168/46
Overview of IT Services Industry
Early 1990s: BPO Work in India; largely conducted by
captive units of American Companies (GE etc.)
Late 1990s: Expansion of Indian IT companies like
Infosys by adding service lines. Leverage the benefits of
offshoring
2000s: Growth of Indian IT Services cos. And expansion
of global firms in India
Predominant model: Global Delivery; demand for end-to-
end services (business consulting, app. Development etc.)
Two different approaches: onshore US firms leveraging
offshore centers; offshore firms offering consulting
ICI Consulting Model
Mission and Objective:
Help clients become more competitive
Delivering high-quality business consulting and
disciplined technology implementation at extremely
competitive price
Help develop their employees into great leaders
Partners committed to “changing the rules of the
game within the consulting industry”
Creating a different model
The 1-1-3 Global Delivery Model
- 1 ICI onsite resource, 1 Infosys Tech onsite + 3
Infosys Tech offsite resources
- Integration of business consulting and technology
implementation lifecycle
- Training and knowledge of global delivery of
Infosys Technology’s onsite resource, a key
differentiating factor from competitors’ approaches
Different Model
Shortening the lifecycle of Solution Design to Implementation:
- Different approach to implementing technology for operational
improvements
- Looked at process requirements rather than functional
- Better identification of inefficiencies
- Real-time development by synergizing onsite and offshore
teams for design and s/w configuration
Cost Reduction:
- Blended rate of $100 per hour Vs. $175-225 for IBM etc
- Strong competitive barrier: structural challenges in replication
Different Model
Delivering Measurable Benefits:
- CMM Level 5 rating; exceeded highest quality level
by a factor of 20
- Focus on achieving measurable improvements in
business process metrics of the client
- Structured ‘value-based’ deals with clients: fees
owed to the company contingent on project outcomes
- Internal metrics to track the quality of work
performed by using elaborate client feedback
mechanism
Different Model
Building a unique culture
- Tradeoff between the ‘confident, assertive business
advice consultant’ and the Infosys value system of
delivering with a sense of humility
Creating a differentiated approach
- Focus on transparency and meritocracy
- Staffing model: responsibility with individuals;
reverse auctioning model
- Staff nominations for promotion
- Bonus structure based on overall client value created
Interpretive Scheme
Shades of both (especially HRM systems), but overall
structure more towards MPB type
External ownership (subsidiary of a corporate entity)
Consulting approach: services related to a particular
product (Business/IT consulting, and Not Mgmt
consulting)
Org Structure: High Leverage ratio (about 19)
Decision-making: more directive than consensual
Administrative tasks: No hint of partners sharing;
possibility of dedicated staff
Relationship with Infosys Tech.
Wholly owned US subsidiary
Autonomy to create its own culture, recruitment strategy,
organizational structure and compensation packages
Metrics established to measure the interface
Leveraged parent company to get client engagements
ICI included in service offerings of Infosys Tech.
“One Infy” program to enhance cultural integration
mechanisms like forums for employees to meet/learn
Improving internal collaborative mechanisms so that
clients see Infosys as one company
Relationship with Infosys Tech.
Initial tensions in the company on who would lead the
client relationship – resolved by “The Fork in the
Road” methodology
Allocation to the area that best served the client’s
situation
ICI also brought in new clients for Infosys Tech.
Active intervention by the senior management of
Infosys to review subsidiary’s performance
Relationship with ICI seen by Infosys as an opportunity
to transform culture and build a global brand over time
HRM Systems
Shades of both P2 & MPB Arch types
P2 Features
Focus on broad level of generic Skills
Selection based on Personal interactions similar to P2
firms
“One Infy” similar to “One Firm Concept”
Project Staffing : On demand by Employees
MPB Features
Outcome based performance Matrix
Some standardization of Processes offerings
Major ownership not with employees
Contd …
HRM Systems
Combined Features
Training Method: Emphasis
Interpersonal,Analytical,Managerial and Technical skills
Cross training
Firm Size :Smaller ICI Group(Elitism) with a Larger
Infosys Technologies backing
Responsibility of Hiring and Recruitment mid way
between P2 & MPB
Local Hiring
HRM Policies : Culture
Key Features
Alignment with Infosys Culture of
High quality
Measurement of every aspect of Performance
Maintaining a sense of Humility
Outcome
Alignment of goals with Infosys Technologies
Support for 1-1-3 delivery model
Avoiding Project Leadership Conflicts with the
technlogy organization (Fork in the Road)
HRM Policies : Recruitment
Key Features
Top 10% Talent in lateral hiring
Recruiting from Infosys technologies
Diversity & Local Presence
Outcomes
Shortened Lifecycle of Solutions design to
Implementation
Onsite Support
Cost Reduction
Supports the Global Delivery Model
HRM Policies : Performance Review
Key features
Individuals bid for projects and set the goals
Measurement of attainment of the targets and Client
Satisfaction
Peer Review
Managing Work life balance
Outcomes
Improvement in Quality of Output
Value delivered to the shareholders of the Client
HRM Policies : Compensation
Key Features
Employed paid at higher end of Market rates
Bonus Structure linked to delivery of Client Values
Infosys Sales teams incentivized on ICI Business
Outcomes
Attracting top talent
Customer focused Evaluations
Enables getting repeat business from existing clients of
Infosys technologies
Recommendations
Aggressive Hiring :
The ratio of 200/50000 employees of ICI/ITL is still
pretty low
Huge potential with large base of loyal ITL Clients