Infosys Role and Career Enhancement: A People Strategy or Fall from Grace?

            
 
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Case Details:

Price:

Case Code : HROB142 For delivery in electronic format: Rs. 500;
For delivery through courier (within India): Rs. 500 + Rs. 25 for Shipping & Handling Charges

Themes

Career Management / Organizational Behavior
Case Length : 22 Pages
Period : 2009-2010
Organization : Infosys Technologies Ltd.
Pub Date : 2011
Teaching Note : Not Available
Countries : India
Industry : Information Technology / Software

Abstract:

This case study describes the Infosys Role and Career Enhancement (iRace) initiative at Infosys Technologies Ltd. (Infosys). It brings out how the company went in for a major restructuring initiative and the repercussions it had on the perception among people of its being an employer of choice. The iRace initiative was meant to map positions with the skill level of an employee. However, it led to increasing amounts of employee activism, some of which was not favourable to Infosys.

Infosys had always been at the forefront of developing and implementing HR initiatives. However, iRace was different - it was conceived when there was an economic downturn and a need was felt to improve the technical competencies of the employees.

However, the employees were used to the privileges under a high growth environment and the cuts and rationalization imposed as part of the iRace initiatives proved to be too difficult for some of the employees to understand. The discontent was expressed in terms of a rising attrition rate and badmouthing the company management on social media sites and forums. Eventually, the company had to formulate and impose a social media policy that defined interaction on social media and networking sites. Infosys also had to allocate space within the company intranet for dissatisfied employees to voice their opinion. Moreover, though the company continued with iRace, it decided that all subsequent policy changes would undergo a probation period. Infosys also decided to take back some of its experienced and capable staff through the 'green channel'.

Issues:

Understand various issues and challenges related to career management.
Understand the issues surrounding organizational restructuring programs.
Bring out the importance of communication under periods of organizational change.
Appreciate the critical role played by a company's leadership in formulating and executing a strategic vision.
Understand the need to moderate content on social networking sites with adequate policies.
Understand the need to have employee participation in setting performance appraisal systems/ organizational changes.
Appreciate the role of grievance handling mechanisms in service-oriented industries.
Understand the pressure exerted by industry environment and practices in making firms confirm to conventional approach.
Understand the drawbacks in case a policy is applied with retrospective effect.
Appreciate the importance of HR as a business partner in the competitive business environment.

Contents:

  Page No.
Introduction 1
Background Note 2
What is iRace? 3
Rationale for iRace? 5
Seething Discontent? 8
Full Steam Ahead? 11
Exhibits 14

Key Words:

Career Structure, Career Management, Career Paths, Employee discontent, Employee Mapping, Employee turnover, Career streams, HR as a business partner, Employee retention, Organizational Structure, Employee competencies, Employee talent, Policy communication, Employee performance, Stereotypes, Social Media, Training, HR initiatives, Reward Systems, Career Lattice, Green Channel, Career stagnation, Infosys

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