Indian Multinational Company: Infosys the Third Largest Indian Multi National Company

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Introduction Infosys is the third largest Indian Multi National Company that provides Information Technology, Business Consulting, Software engineering and Outsourcing services. Infosys was founded in 1981 by Seven Software engineers with a capital of Rs.10000, turned to be the most reputed company with 160405 employees, earning billions of income, assets and equity in the three decades of glory. Though the success continues, Infosys suffers the lack of Employee Retention and so the high employee turnover ever of 18.7%. Infosys is undoubtedly one of the most respected IT companies in India has been showing remarkable results on revenue and income every year. No Indian IT company has a better “Job security” proven than Infosys. Struggling to retain top “Senior Leaders” and talent at “Mid and junior levels” Senior executive leaders, who held the rank of AVP or higher left the firm in high number (At least 50.) (International Business Times, 2014) With 1823 people left the firm in the October-December quarter, and the same trend lead to the attrition rate of 18% - the highest for the company. (NDTV, 2014) Infosys focus to hire from campus – Does it really work? Infosys announced to hire 22000 college graduates through campus hiring in the current fiscal year and the rate of fresher hiring is higher than the last year. The repeated mistake that Infosys follows is to hire students more in number every year in order to balance the attrition. As a student, with no matter of compensation and benefits, it is a great opportunity to start the career with a big brand like Infosys. Student becomes completely equipped with knowledge, which flows from the “class room trainings” to the “practical desk level job”, he/she starts comparing the r... ... middle of paper ... ...iverse competencies, and experience a rapid sense of progress. During the process of Intrinsic rewarding, employee will yield workable solutions, which often serves as a significant turning point in the organization’s culture. (Kenneth Thomas, 2009) Gain Sharing It is a formula based group incentive plan in which employees share in an organizations’ financial gain from its improved performance. Gain sharing leads a percentage of employees to motivate the commitment and also it helps to develop the respect and accountability towards the firm. During 2011, Infosys celebrated 30 years of success and reaped huge profits; each employee was rewarded with 5 company shares and additional shares with accordance to the years worked with Infosys. And there was a remarkable fall of attrition from 17% to 14.7%, which proves the logic to the firm. (James Gibson et al., 2011)

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