Page 1
A STUDY ON
“TRAINING &DEVELOPMENT PRACTICES”
WITH SPECIAL REFERENCE TO
HCL
(Submitted in Partial Fulfillment of the Award of the Degree Of)
MASTER OF BUSINESS ADMINISTRATION
Submitted By
____________
M.B.A
H.T NO:
Under The Guidance Of
Mrs.
M.B.A (ASST.PROF)
DEPARTMENT OF MANAGEMENT STUDIES
______________________________
(AFFILIATED TO JNTU)
HYDERABAD
( )
Page 2
DECLARATION
I here declare that the project report entitled “TRAINING &DEVLOPMENT”
has been prepared by me in partial fulfillment of the requirements for the award
of the degree of “MASTER OF BUSINESS ADMINISTRATION” I also declare
that this project work is a result of my effort and it has not been submitted to any
other university for the award of any degree or diploma.
PLACE:
____NAME
HT NO:
2
Page 3
ACKNOWLEDGMENT
With a profound sense of thankfulness, I acknowledge my indebtedness to
my company guide Mr.GIRISH KUMAR (RELATIONSHIP MANAGER)
Faculty guide Mr.RAVISHANKAR M.B.A., for their valuable guidance, timely
suggestions and constant encouragement. Their insightful criticisms and patience
throughout the duration of this project have been instrumental in allowing this
project to be completed.
My sincere thanks are to the name of Director, Mr. RAMESH NAIDU (M.A)
(P.hd)., name of HOD NAGA PRABHAKAR (M.com, M.B.A) and all the staff
members of Department of management studies, ---------------------,For their
consistent guidance in my project work. Their continual support and careful
attention to the details involved in producing a document of this nature are very
much appreciated.
PRIYANKA
H.T NO: 112G1E0087
3
Page 4
TABLE OF CONTENTS
TOPICS PAGE NOCHAPTER –IINTRODUCTION
Introduction to Topic Need of the Study Objectives Scope of the Study Research Methodology Limitations of the study
CHAPTER-IIREVIEW OF LITERATUTURECHAPTER –IIIINDUSTRY&COMPANY PROFILECHAPTER-IV
Sence of question Tabulations Graphs Inferences
CHAPTER-VCONCLUSIONS & SUGGESIONS
Conclusions Suggestions Annexure Questionnaire Bibliography
ABSTRACT
4
Page 5
Training is the act of increasing the knowledge and skills of an Employee for doing a
particular job. In other words, training improves, Changes, moulds the employees knowledge,
skills behavior aptitude and attitude towards the requirement of the job and organization. Thus,
training bridges the difference between job requirement and employees present.
The aim of the project is to focus on the identification of the training Needs, process of
the training, techniques of the training, needs of training programs in AEGIS And to study
how it helps the people growing in the organization in order that as far as possible its future
personnel need s can be met and the goals by proper utilization of human resource and to
increase the productivity and improve the quality.
The chapter lay out of the present study presented here as under gives a clear picture about the
organization of different chapters and sub contests covered in the chapter. The first chapter
deals, with the introduction about the topic and significance, need importance, objectives,
methodology, limitations of the study, chapter lay out. The second chapter deals with the
organizational profile of HCL Cement Industries. the third chapter is the core chapter of the
study i.e. analysis and findings of the data. The fourth chapter deals with the summary part of
the study where in conclusions are derived from the study. It also tries to offer some
suggestions for improving the performance of AEGIS
5
Page 7
INTRODUCTION
Effectiveness Training is an educational process. People can learn new
information, re-learn and reinforce existing knowledge and skills, and most
importantly have time to think and consider what new options can help them
improve their effectiveness at work. Effective trainings convey relevant and useful
information that inform participants and develop skills and behaviors that can be
transferred back to the workplace.
The goal of training is to create an impact that lasts beyond the end time of the
training itself. The focus is on creat ing spec i f ic act ion s teps and
commitments that focus people’s attention on incorporating their new skills and
ideas back at work.
Training can be offered as skill development for individuals and groups. In
general, trainings involve presentation and learning of content as a means for
enhancing skill development and improving workplace behaviors.
Organizational Development is a process that “strives to build the capacity to
achieve and sustain a new desired state that benefits the organization or
community and the world around them.” (from the Organizational
Development Network website) OD work implies creating and sustaining
change.
An OD perspective examines the current environment, the present state, and helps
people on a team, in a department and as part of an institution identify
effective strategies for improving performance. In some situations, there may
not be anything “wrong” at the present time; the group or manager may simply
be seeking ways to continue to develop and enhance existing relationships and
performance. In other situations, there may be an identifiable
issue or problem that needs to be addressed; the OD process aims to find ideas
7
Page 8
Employers must have an overall safety program including relative site specific safety
information where applicable. The safety training program should cover topics such as:[1]
accident prevention and safety promotion
safety compliance
accident and emergency response
personal protective equipment
safety practices
equipment and machinery
chemical and hazardous materials safety
workplace hazards
employee involvement
Employers must document all training. Creating a training matrix will help keep track of who
has been trained, when they were trained, the training topic, and when it is time for refresher
training. Employees must also sign an official sign-in sheet provided by the employer that can
serve as proof that employees received proper training. The sign in sheet must have a broad
description of what is being covered in the training. Tests or quizzes on the presented material
can help gauge employee understanding of the material and highlight topics that need to be
reviewed.
The non-English speaking population is consistently growing in many industries and it is
important that employers provide bilingual training for those workers, as OSHA requires
that all employees be properly trained.
8
Page 9
Most employees display attitudes of disinterest and dread at the thought of attending a safety
training, which can leave the trainer feeling frustrated and unappreciated. It is the trainer's duty
to make safety training fun and educational, which will help the trainees to retain the
information, enjoy the course, and apply the learning to their work and lives.
Benefits of a training program
An effective training program can reduce the number of injuries and deaths, property damage,
legal liability, illnesses, workers' compensation claims, and missed time from work. A safety
training program can also help a trainer keep the required OSHA-mandated safety training
courses organized and up-to-date.
Safety training classes help establish a safety culture in which employees themselves help
promote proper safety procedures while on the job. It is important that new employees be
properly trained and embrace the importance of workplace safety as it is easy for seasoned
workers to negatively influence the new hires. That negative influence however, can be purged
with the establishment of new, hands-on, innovative effective safety training which will
ultimately lead to an effective safety culture. A 1998 NIOSH study concluded that the role of
training in developing and maintaining effective hazard control activities is a proven and
successful method of intervention.
OSHA's voluntary training guidelines
OSHA issued voluntary training guidelines in 1992. These guidelines serve as a model for
trainers to use in developing, organizing, evaluating, and editing their safety training programs.
It is important for trainers to tailor the OSHA guidelines to their specific work site so that the
9
Page 10
training is relevant to the specific working conditions and not just a long generalized
informational session.
Many standards promulgated by OSHA explicitly require the employer to train employees in
the safety and health aspects of their jobs. Other OSHA standards make it the employer’s
responsibility to limit certain job assignments to employees who are “certified,” “competent,”
or “qualified”—meaning that they have had special previous training, in or out of the
workplace. The term “designated” personnel means selected or assigned by the employer or the
employer’s representative as being qualified to perform specific duties. These requirements
reflect OSHA’s belief that training is an essential part of every employer’s safety and health
program for protecting workers from injuries and illnesses.
A. Determining if Training is Needed
B. Identifying Training Needs
C. Identifying Goals and Objectives
D. Developing learning activities
E. Conducting the training
F. Evaluating program effectiveness
G. Improving the program
H. Training must align with job tasks.
A. Determining if training is needed
You first have to determine if a situation can be solved using training. Training, or retraining as
the case may be, could be required by an OSHA standard. Training is an effective solution to
problems such as employee lack of understanding, unfamiliarity with equipment, incorrect
execution of a task, lack of attention, or lack of motivation. Sometimes, however, the situation
10
Page 11
cannot be mitigated through the use of training and other methods, such as the establishment of
engineering controls, may be needed to ensure worker safety.
B. Identifying training needs
A job safety analysis and/or a job hazard analysis should be conducted with every employee so
that it is understood what is needed to do the job safely and what hazards are associated with
the job. A safety trainer may observe the worker in his/her environment to adequately assess
the worker's training needs. Certain employees may need extra training due to the hazards
associated with their particular job. These employees should be trained not only on how to
perform their job safely but also on how to operate within a hazardous environment.
C. Identifying Goals and Objectives
It is important for the Trainer to identify necessary training material. It is equally important
that the trainer identify training material that is not needed to avoid unnecessary training and
frustration from their trainees.
At the beginning of every safety training session the trainer should clearly iterate the objectives
of the class. The objectives should be delivered using action oriented words like: the
employee... "will be able to demonstrate" or "will know when to"... which will help the
audience understand what he/she should know by the end of the class or what to information to
assimilate during the class. Clearly established objectives also help focus the evaluation
process on those skill sets and knowledge requirements necessary to perform the job safely.
11
Page 12
D. Developing Learning Activities
Training should be hands-on and simulate the job as closely as possible. Trainers can use
instructional aids such as charts, manuals, PowerPoint presentations, and films. Trainers can
also include role-playing, live demonstrations, and round-table group discussions to stimulate
employee participation. Games like "what's wrong with this picture" (it is usually good to use
pictures of situations found at their specific location)" or "safety jeopardy" can be useful ways
to make the training fun yet educational.
E. Conducting the Training
Trainers should provide employees with an overview of the material to be learned and relate
the training to the employees' experiences. Employers should also reinforce what the
employees have learned by summarizing the program's objectives and key points of training.
At the beginning of the training program, the trainer should show the employees why the
material is important and relevant to their jobs. Employees are more likely to pay attention and
apply what they've learned if they know the benefits of the training.[1]
F. Evaluating Program Effectiveness
Evaluation will help employers or supervisors determine the amount of learning achieved and
whether an employee’s performance has improved on the job. Among the methods of
evaluating training are:[4]
(1) Student opinion. Questionnaires or informal discussions with employees can help
employers determine the relevance and appropriateness of the training program
(2) Supervisors’ observations. Supervisors are in good positions to observe an employee’s
performance both before and after the training and note improvements or changes
12
Page 13
(3) Workplace improvements. The ultimate success of a training program may be changes
throughout the workplace that result in reduced injury or accident rates
(4) Formal assessments. Practical and written exams also assist in evaluating understanding of
training material. For example, for a lift-truck operator, a written and a practical exam would
identify areas of training that may need to be revisited. Furthermore administering a pre-test
and post-test will establish a knowledge base line or reference point to measure training
effectiveness.
G. Improving the Program
As evaluations are reviewed, it may be evident the training was not adequate and that the
employees did not reach the expected level of knowledge and skill. As the program is
evaluated, the trainer should ask:
(1) If a job analysis was conducted, was it accurate?
(2) Was any critical feature of the job overlooked?
(3) Were the important gaps in knowledge and skill included?
(4) Was material already known by the employees intentionally omitted?
(5) Were the instructional objectives presented clearly and concretely?
(6) Did the objectives state the level of acceptable performance that was expected
of employees?
(7) Did the learning activity simulate the actual job?
(8) Was the learning activity appropriate for the kinds of knowledge and skills
required on the job?
(9) When the training was presented, was the organization of the
material and its meaning made clear?
(10) Were the employees motivated to learn?
13
Page 14
(11) Were the employees allowed to participate actively in the training process?
(12) Was the employer’s evaluation of the program thorough?
Computers and videos can be a great addition to a company's safety training program. As stand
alone resources, they may not be adequate in meeting OSHA's training requirements as they
are not site specific. Computer-based training can help meet the following training challenges
Training employees in remote sites
Employees who become bored with the same safety training
Safety managers lack of time and resources to effectively train employees
Providing a means of documenting and tracking student progress
Lowering trainer fees or travel costs
A self-paced, relaxed learning environment
14
Page 15
NEED FOR THE STUDY
A program of training becomes essential for the purpose of meeting the specific
problems of a particular organization arising out of the introduction of new lines of production,
changes in design, the demand of competition and economy etc.
Therefore the following are the basic needs of Training.
To increase productivity.
To improve quality.
To help a company to fulfill its future personal needs.
To improve organizational climate.
To meet technological advance.
15
Page 16
OBJECTIVE OF THE STUDY
The aim of the project is to focus on the identification of the training Needs, process of
the training, techniques of the training, needs of training programs in HCL . And to study how
it helps the people growing in the organization in order that as far as possible its future
personnel need s can be met and the goals by proper utilization of human resource and to
increase the productivity and improve the quality.
To study and evaluate the essence of training program.
To know how often training programs are conducted & maintaining the records.
To know the training methods given for employees.
To know the performance level of employees after training.
To know the guidance given by trainers while training.
To know how training helps in understanding and carrying out Organizational policies.
SCOPE OF THE STUDY
16
Page 17
The management of man is very important and challenging job
No two persons are Similar in mental abilities, traditions sentiments and
behavior.
People are responsive they feel, think and act, therefore they cannot Be
operated like a machine or shifted and altered like a template to room
layout
They need a fact file handling by management for is makes employees
more effective and productive.
RESEARCH METHODOLOGY
17
Page 18
Research:
Research is an art of scientific investigation Research is defined as a “Scientific and
systematic search for information on a specific topic”. The purpose of search is to
discover answers to question through the application of scientific procedure.
Methodology:
The data used for analysis & interpretation is received from the responses of
employees for the questionnaire. Comparison of response is used for interpreting the
data. The project is presented by using tables, bar charts, with their interpretation. A
survey is under taken to know the facts about the training.
Questionnaire:
Questionnaire is the testing tool of this study. A questionnaire is a formalized
set of questions for collecting information. Its function is measurement the
questionnaire is administered by the means of personal interview. The questionnaire
constrained clear concept of the needed information about the training.It contains two
or five are more options for a question. I used this for the purpose of getting absolute
response from the respondent.
18
Page 19
Sampling Technique:
The technique used for selecting the sample is non probabilistic convenience
sampling. I have surveyed some of the employees based on my convenience. Each
employee has been given with one questionnaire to fill.
Sample size:
A sample of 100 respondents is selected each employee filled up the
questionnaire and helped the researcher to carry out the survey effectively.
Data Collection:
The Researcher has wide varieties of methods to consider either single or in
combination they were grouped first according to whether this use secondary or
primary sources of data.
Primary Data:
Data originally collected for an investigation are known as primary data
concluding personal interviews though questionnaire. Most of the Study for this project
is based on primary data itself.
Secondary Data:
Data, which is not originally collected rather obtain from published on
unpublished sources, it known as secondary data it can be defined as data collected by
someone else for purpose other than solving the problems. Secondary data for the
present study is retrieved from company profile and text books.
19
Page 20
LIMITATIONS OF THE STUDY
The study was conducted for a limited period of time.
The study pertains to only employee of the HCL
Limited sample, size taken for the study i.e. 100.
The result can’t the generalized to the whole universe.
There is chance of bias to present as employees may be busy with their.
20
Page 21
CHAPTER-II
REVIEW OF LITERATURE
21
Page 22
REVIEW OF LITERATURE
Training refers to the teaching/learning carried on for the primary Purpose of helping
members of all origin to acquire and apply the Knowledge, skills, abilities and attitudes needed
by that organization.
Training is the short-term process utilizing a systematic and organized procedure by which
non-managerial personnel learn technical knowledge and skills for a definite purpose. Training
enables employees to develop and rise within the Organization and increase their “Market
Value” earning capacity and job Security.
Meaning:
Training is the act of increasing the knowledge and skills of an Employee for doing a particular
job. In other words, training improves, Changes, moulds the employees knowledge, skills
behavior aptitude and attitude towards the requirement of the job and organization.
Thus, training bridges the difference between job requirement and employees present.
The increasing competition , among other things increased the significance of training.
Training matches the employee with the job from Time to time. Further, the trained employees
invite organizational change And ready to take up any type of assignment. The success of any
Organization , to greater extent depends on the amount , qualitative and Timely training
provided by an organization. Further , the importance of training can also be viewed from the
need for training and the advantages, of training .
22
Page 23
AUTHORS DEFINITIONS
Definition:
Dale S.Beach define the training as “As the Organized Procedure by which people
knowledge &/or skill for efinite purpose”.
It is a learning process that involves the acquisition of knowledge, sharpening of skills,
concepts, rules, or changing of attitudes and behaviors’ to enhance the performance of
employees. –phili Edward
Training is about knowing where you stand (no matter how good or bad the current situation
looks) at present, and where you will be after some point of time.
Training is about the acquisition of knowledge, skills, and abilities (KSA) through professional
development- Sleve Jackstone
IMPORTANCE OF TRAINING:
The importance of Human resource management to a large extent Depends on Human
Resource development. Training is the most important technique of Human Resource
development.
As stated earlier, no organization can get a candidate who exactly Matches with job
and the organizational requirements. Hence , training is Important to develop the employee
and make him/her suitable to the job.
Job and organizational requirement are not static, they are changed from time to time in
view of Technological Advancement and change in the awareness of the total quality and
productivity management (TQPM).The objective of the TQPM can be achieved only through
training. As training develops human skills and efficiency. Trained employees would be a
valuable asset to an organization. Organizational efficiency, productivity progress and
development to a greater can also be Achieved through training. Training is important as it
constitutes significant Part of management control.
23
Page 24
Training Policy:
Every company or organization should have will established training policy, such a
policy represents the top management’s commitment to the training of its employees and
compromise rules and procedure governing the standard of scope training.
A training policy is considered necessary for following reasons:
To improve suitable opportunities to the employee for his own betterment.
To discover critical areas where training is to be given on a priority basis.
To indicate a company’s intention to develop its personnel.
To provide guidance in framing and implementation of programs.
TRAINING INPUTS
SKILLS:
Training an employee for a particular skill is undertaken to enable the employees to be
more effective on the job.
Attitude:
Training programs in industry are aimed at moulding employee attitudes to achieve
support for company activities and greater loyality.
Knowledge:
Training aimed at imparting knowledge to employees in the organization provides for
understanding of all the problem of modern industry knowledge for managerial personnel may
be related to complexity of problem in organizing, placing. Directing and controlling
Training objectives:
24
Page 25
Generally Line mangers ask the personnel mangers to formulate the training policies. The
personnel managers formulates the following Training objectives in keeping with the
companies goals and objectives.
To prepare the employee both new and old to meet the present as well as the changing
requirements of the job and the organization.
To prevent obsolescence
To impart the new entrants the basic knowledge and skill they need for an intelligent
performance of definite job.
To prepare employees for higher level tasks.
To build up a second line of competent officers and prepare them to occupy more
responsible positions.
To develop the potentialities of people for the next level job.
To ensure smooth and efficient working of a department.
To ensure economical output of required quality.
To promote, individual and collective morale, a sense of responsibility, cooperative
attitudes and good relationships.
To broaden the minds of senior mangers by providing them which opportunities for an
interchange of experiences with in and outside with a view correcting the narrowness of
outlook that may arise from over specialization.
To assist employees to function more effectively in their present positions by exposing
them to the latest concepts, information and techniques.
TRAINING METHODS:
The training Programs are classified into two types are
1. On the job methods.
2. Off the job methods.
25
Page 26
1) ON THE JOB METHODS:
This type of training also known as job instruction training. Is the most commonly used
method under this method, the individual is placed on a regular job and taught the skills
necessary to perform that job. The trainee learns under the supervision and guidance of a
qualified worker or instructor. On the job training methods include job rotation, coaching, job
instruction and committee assignment.
a. Job rotation: the type of training involves the movement of trainee from on job to
another. The trainee receives job knowledge and gains experience from his supervisor
or trainer in each of the different hob assignments.
b. Coaching: the trainee is placed under a particular supervisor functions as a coach in
training the individual. The supervisor provides feedback to the trainee on his
performance and offers him some suggestions for improvement.
c. Job instruction : This method is also known as training through step by step. Under
this method, trainer explains the trainee the way of doing the job, job knowledge and
skills and allows him to do the job.
d. Committee Assignments : Under this method, group of trainees are given and asked to
solve an actual original problem. The trainees solve the problem jointly, it develops
team work.
26
Page 27
2 ) Off the job methods : -
Under this method of training, trainee is separated from the job situation and his
attention is focused upon learning the material related to his future job performance since the
trainee is not distracted by the job requirements. He can place his entire concentration on
learning the job rather than spending his time in performing it.
Vestibule Training : - In the method, actual work conditions are simulated in a class room.
Materials files and equipment those are used in actual job performance are also used in
training.
Role Playing : - It is defined in imaginary situations. This that involves realistic behavior in
imaginary situations. This method of training involves action, doing and practice, the
participations play the role of certain characters such as the production manager, mechanical
engineer, maintenance engineers, quality control inspectors, foreman, workers and the like.
Lecture Method : - The lecture is a traditional organizer the material and instruction. The
instructor organizes the material and gives it to a group of trainees in the form of a talk. An
advantage of lecture method is that it is direct and can be used for a large group of trainees.
Conference of Discussion : - It is a method in training the clerical, professional and
supervisory personnel. This method involves a group of people who pose ideas, examine and
share facts, ideas and data, test assumptions and draw conclusions, all of which contribute to
the improvement of job performance.
Programmed Instruction :- In recent years this methods has become popular. The subject
matter to be learned is presented in a series of carefully planned sequential units. These units
are arranged from simple to more complex levels of instruction. The trainee goes through
these units by answering questions or filling the blanks.
27
Page 28
AREAS OF TRAINING AT HCL
A) Induction Training:
It is process of training the new employees about the organization personnel policies and
procedures and its core values, indicating to them the standards of performance expected in
such as quality and customer service and spelling out requirement for flexibility.
b) Training in Skills:
In HCL training in skills is undertaken to enable the employee about the changed
techniques and improvements effected the old methods, keeping in view training is given to.
i) Un skilled Workers:
Un skilled workers in the company are given training in improved methods of
handling machines and materials to reduce the cost of production and wastage and
to do the job in the most economical way.
ii) Semiskilled Workers:
Training to semiskilled workers is given to copeup with the system of the industry
arising out of the adoption of latest machineries and technical. Process.
c) Supervisory Training:
The training programmes for supervisor in HCL is under taken to enable the
supervisors to cope up with increasing demands of the company in what they are
employed and to ensure their technical competence with increasing demands of the
28
Page 29
company in what they are employed and to ensure their technical competence with
a view to understand all about operations in which their workers participate.
d) Managerial Training:
training is given to all managerial to given them a wide in plant experience like holding
of staff meetings. Visits to other industrial units. Participation in work with other departments.
And they are generally given training in leadership qualities, appraisal of employees and their
rating and the maintenance of personal records.
E) Apprentice Training:
Apprentice training is provided and some technical training to the workers in order that
the employement opportunity enhanced.And the Duration of apprenticeship training is one year
and the fields offered are electricians, welders, machinists etc.
F) Sales Department:
Training is given to all the employees of sales department to know the nature and
quality of product and also in handling the customers.
G) Administrators Department:
In HCL Employees like typist clerks, accountants EDP persons. Stenographers are
given training in their respective fields either in house or out door
29
Page 30
Training Process in heritage
Assessment of Training needs
Calendar
Plan the training programme
Techniques-Location-Trainers
Feedback
Training Record
Training Effectiveness form
The process of training the employees in HCL involves six steps and it maintains the records
regularly to continue the process these records are maintained by the HRD & IR officer.
30
Page 31
The steps are as follows:-
1. Assessment of Training needs:-
The process first begins with assessing the employees in order to find out where they
are lacking in perfection. This process is carried out by sending ATN forms to all the
departments which is filled by the HRD &IR manager (personal department) evaluates
the filled forms and identifies the need for training of the employee in their respective
field.
2. Calendar:
As soon as the training need is identified or discovered in a particular department, the
number of workers belonging to different departments are divided into different batches
according to their respective fields and entered into the monthly calendar which consist
of:
Sl No. Date, time ,Venue, Duration, Topic, Entry level.
3. Plan the training programs:-
This is developed to meet the needs and objectives by using the right combination of
training techniques, location and the trainers.
4. Feed Back:
Once the training programme is conducted feedback form are sent to the department
head in order to make the forms to be filled by the workers who availed training in their
respective fields in order to know what has learnt and also learners are able to do after
the training programme.
5. Training Record:
This record is maintained in order to know the actual number of training
programmes conducted and the number of training programmes attended by the
employees either on functional or development and duration of the programmes, faculty
and also consists of profile of the employee.
6. Effectiveness Form:
The effectiveness of training is monitored by the feedback form and training
record and subsequently the impact of the training is assessed to determine the extent
31
Page 32
CHAPTER-III
INDUSTRY PROFILE
COMPANY PROFILE
32
Page 33
INDUSTRY PROFILE IT INDUSTRY IN INDIA
The Indian information technology sector has been instrumental in driving the nation's
economy onto the rapid growth curve. According to the Nasscom-Deloitte study, the IT/ITES
industry's contribution to the country's GDP has increased to a share of 5.2 per cent in 2007, as
against 1.2 per cent in 1998. Further, the IT and BPO industries are poised to clock revenues
worth US$ 64 billion by the end of fiscal year 2008, registering a growth of 33 per cent with
exports expected to cross US$ 40 billion and the domestic market estimated to clock over US$
23 billion, according to a study. Simultaneously, the Indian IT services market is estimated to
remain the fastest growing in the Asia Pacific region with a CAGR of 18.6 per cent, as per a
study by Springboard Research. India's IT growth in the world is primarily dominated by IT
software and services such as Custom Application Development and Maintenance (CADM),
System Integration, IT Consulting, Application Management, Infrastructure Management
Services, Software testing, Service-oriented architecture and Web services. A report by the
Electronics and Software Export Promotion Council (ESC) estimates software exports to
register a 33 per cent growth in the current financial year with export figures during FY 2008
expected to reach US$ 45 billion. The country's IT exports have, in fact, come quite far,
starting from a few million dollars in the early 1990s. The Government expects the exports
turnover to touch US$ 80 billion by 2011, growing at an annual rate of 30 per cent per annum.
POLITICAL FACTORS:-
This is a political factor, which affects a business, which can be government rules and
regulation toward that particular business environment. For IT industry the Indian political
structure is stable, but there are fears of hung parliament due to a lack of clear majority in
parliament creating fear of wrong investing in the minds of investor thereby reducing capital.
U.S government has declared that U.S firm that outsource IT works outside the U.S will not get
tax benefits, this has caused reduction in U.S BPO contract from the U.S in the last fiscal year
thereby reducing revenue from the U.S. Indian government has decided to contract IT job to
Indian IT companies creating more opportunities for the company and the industry at large. In
software development different countries are configuration rules and regulations are considered
33
Page 34
since client demand differs because of different system requirement. NASSCOM and
DELIOTTE study (impacting economy and society 2007/2008), states that Indian government
has strengthened the IT act, 2000 to provide a sound legal environment for companies to
operate related to security of data in transmission and storage etc this has served as a positive
factor. Infosys has to put Indian relationship with different countries of business into
consideration before investing. Other factors to be considered are customer protection law,
competitive regulations, and terrorist attacks.
POLITICAL STABILITY: _
India suffered political instability for a few years due to the failure of any party to win an
absolute majority in Parliament. However, political stability has returned since the previous
general elections in 1999. However, political instability did not change India's economic course
though it delayed certain decisions relating to the economy.
The political divide in India is not one of policy, but essentially of personalities. Economic
liberalization (which is what foreign investors are interested in) has been accepted as a
necessity by all parties including the Communist Party of India (Marxist).
Thus, political instability in India, in practical terms, posed no risk to foreign direct investors
because any successive government has reversed no policy framed by a past government so far.
You can find a comparison in Italy, which has had some 45 governments in 50 years yet,
overall economic policy remains unchanged. Even if political instability is to return in the
future, chances of a reversal in economic policy are next to nil.
As for terrorism, no terrorist outfit is strong enough to disturb the state. Except for Kashmir in
the north and parts of the northeast, terrorist activity is either non- existent or too weak to be of
any significance. It would take an extreme stretching of the imagination to visualize a
Bangladesh-type state-disrupting revolution in India or a Kuwait-type annexation of India by a
foreign power.
Hence, political risk in India is practically non-existent.
Likewise the IT sector does not have any influence of political stability on industry. And
if the govt. changes there is little effect on the industry of that political step.
34
Page 35
ECONOMICAL FACTORS
These include factors affecting IT industry ranging from rising working pay, global recession,
competition, contract availability and fee. Domestic IT spending grew by 20% and reached $20
billion in 2009. Currency fluctuations caused by the devaluation of the dollar has affected the
industry during the last global recession. Real estate prices decline resulted in rental
expenditure forcing customer to leave luxuries goods such as electronic and computers that
need software to work. Recession cause low attribute rate due to job layouts and job cuts. India
economic attraction has helped in convincing investors due to low cost advantage. With India’s
global IT spending yet to decline due to entry of new IS companies and the cause of the
recession. With clients industry faced with reduction of work force due to job layoffs and
unsuitable balance sheet most companies have decided not to make much expenditure in
purchase, but make optimum use of existing facilities to make
profits. Most debtors with financial crisis have been granted more time to pay up causing large
debt deficit. With the decline of banking and financial sectors, the revenue from there is
expected to decline, hurting the bottom line of IT majors
DOMESTIC IT SPENDING:-
India's domestic IT market will grow around 14% this year, showing a minor decline as
compared to last year's growth of 16-18%. Hence, it is expected that the country will see a
minor decline in IT budget coming from its domestic market. "Compared to other countries,
India is in a better position. Its domestic market is expected to grow around 14% this year. We
also expect that IT spend in India will see a minor decline as compared to last year. There
could be some 2-3% decline as compared to last year's budget," commented Arup Roy, senior
research analyst at Gartner.
GLOBAL IT SPENDING:-
Indian enterprises spending on information communications and technology (ICT) in 2005 are
expected to grow at more than twice the rate in the Asia Pacific region. Enterprise spending in
the Asia Pacific (APAC) on hardware next year will rise 6.3 per cent to $36.9bn, with software
increasing 12.4 per cent to $5.6bn while telecom will grow 7.5 per cent to $132.5bn and IT
services will gain 8.4 per cent to $33.6bn. In India, of the $22.88bn spend in 2005 on enterprise
ICT, $3.34bn is the projected spend on hardware, an increase of 21.1 per cent over 2004;
35
Page 36
$0.52bn (16.4 per cent increase) on software; $16.7bn (15.5 per cent increase) on telecom and
$2.32bn (18.3 per cent increase) on IT services. India will remain the highest growth market
for telecommunications with around 35 million new subscribers in 2005, an 18 per cent
increase from 2004, with the growth occurring in selected technologies mainly mobile. This
accounts for almost one fourth of the new subscribers forecasted in Asia Pacific. Consumer
segment is rapidly gaining importance, driven by adoption of mobile services. This is reflected
in their increased contribution towards spending for telecommunication services, from 35 per
cent in 2002 to 43 per cent in 2005. By 2008 the consumer segment will account for more than
half of telecommunications spending, the report said. Gartner also said that open source and
offshore IT services will continue to grow, while it warned global IT vendors to take emerging
competition from China seriously with at least three Chinese IT companies becoming
significant global competitors by 2010. The growth in offshore BPO services outpaces the
growth in global sourcing of IT services. Offshore component of global BPO services spend is
expected to grow from $3 billion (2.4 per cent of total markets spend of $124 billion in 2004)
to $24 billion (15 per cent of the total markets spend of $161 billion in 2007).
REAL STATES PRICES: -
Decline in real estate prices has resulted reducing the rental expenditure thus the
industry will grow if the real estate price goes down.
ATTRITION:-\
Almost every sector in India is facing high rates of attrition these days. A recent
study revealed that employees leave either because of compensation reasons or due to better
growth opportunities. According to NASSCOM, Indian IT-ITES industry recorded US$ 39.6
billion in revenues in 2006-07. The revenue of US$ 49-50 billion has been projected in 2007-
08 at a growth rate of 24-27 per cent. The IT industry's contribution to GDP was 4.8 per cent in
2005-06
Though the IT/ITES sector is booming, it is constantly facing high attrition rates of 25% -
30%. Even the big brands are also facing the same problem. Below are the details of attrition
rates of various players
in IT sector. According to the survey conducted by BES and Data Quest, Sierra Atlantic
recorded highest attrition rate (29%) followed by Kanbay with 25% and Accel Frontline with
20 per cent.
36
Page 37
ECONOMIC ATTRACTION:-
There is a lot of economic attraction towards IT sector due to low cost advantage and
other factors. India, with its low cost advantage and emergence of several private players,
represents the fastest growing market. Further the geographical location of India serves it the
advantage of being exactly halfway round the world from the US west coast, which is another
reason why India is preferred destination of many big brands. India’s development and
contribution in world’s information technology sector is of highest reputation. Cities like
Bangalore have become the favorite(most preferred) destinations of all the big banners like
HSBC, Dell, Microsoft, GE, Hewlett Packard, and several Indian multi national firms like
Infosys Technologies, Wipro, and Micro land who have set up their offices in the city. It is
because the city offers good infrastructure, with large floor space and great telecom facilities.
This can be judged on the basis of the high growth statistics of India and the changing outlook
of the companies towards India.
It is because of this growth many popular brands that have not yet build up there rigid offices
in the country are making it fast to have a destination in India too. For example, Sun
Microsystems, a global IT major, announced in Bangalore to double the present workforce of
the company's Sun India Engineering Center (IEC) from the present 1000 to 2000 in the next
two years time. IEC, which is the largest R&D center for Sun outside the US, would also focus
on developing products in India to suit the needs of the Indian market, which would be
benchmarked globally.
Also, the presence of a large number of Indians, especially engineers, in the US gave India an
easy entry into the US software market.
SOCIAL FACTORS
These are social factors affecting IT industry, which ranges from employee right, language
barriers, race nationality of company or other issues. English language being widely spoken in
India has help in fostering the industry’s relationship and interaction in India and on the global
stage. India is one of the few countries to have an increasing share of working population;
since there is great availability of both skilled and unskilled labor force. Great number of
37
Page 38
institute and universities offer IT
Course creating room for availability of IT professional at lower cost since there is job
competition. India has to produces great numbers of IT professional each year to meet its
demand. India continue to produce IT professionals each year, this has help industry for IT
professionals inwards. Industries have to consider the type of services the software is meant
for, age difference of users, life style of the different countries of supply. It should be noted
that there will always be difference in client behaviours which is supported by the fact that
different customers have different taste.
SOCIAL ISSUES;-
Should Industry be concern with the issue of global warming? Yes it is affected by many
government laws regarding it like in china, where company with great amount of carbon
emission are charge great amount of tax. Likewise being a major player in the global IT market
Infosys has introduces measure to help in the reduction of carbon emission by trying to reduce
its water consumption, electricity utilization, carbon emission and partnering with other
companies in troubleshooting this global dilemma
EDUCATION:-
There are large number of universities and institutes in India offering IT education. And there
are large numbers of students which ever year passed these courses and join the IT industry.
The Indian labor is not only cheap but is technically skilled too to the world-class level. It is
due to the Indian Education System that includes in its course curriculum the practical
knowledge of the latest technology that is developed in world along with the fluency in English
Language that imparts compatibility in an Indian technician to communicate and work
throughout the world.
CAREER PROSPECTS
In the year 2006-07, the industry hired approximately 3, 80,000 people. Out of these, the ITeS
sector hired 2, 00,000 people and the rest were taken by IT sector. The recruitment trends of
some IT giants are given below: TCS- 35,000 Infosys- 30,000 Wipro-28,000 Satyam-20,000
Some of the areas of specialization in the IT Industry are-
38
Page 39
Designing Research and Development in Peripheral Integration Product Quality Control and
Reliability Testing Computer Manufacturing Maintenance Service System Developing
/Programming /Software Engineering Networking Application Programming EDP/ E-
Commerce Enterprise Resource Planning (ERP) Database Warehousing and Management
Operating jobs, Computer operators, Data Entry WORKING AGE POPULATION:-
Working age population also affects the industry a lot because every person has different value,
lifestyle, attitude, and also the satisfaction level.
TECHNOLOGICAL FACTORS;-
TELEPHONY
Cellular mobile telephony tariffs in India are the lowest in the world. A comparison of
Indian cellular tariffs vis-à-vis the tariffs prevailing in comparative emerging economies in
South America & Asia-Pacific region, clearly brings out the affordability of Indian cellular
mobile telephone services.
NEW IT TECHNOLOGY:-
With the evolution of SOA and semantic web services, enterprise solution heeds to the
limitations of conventional enterprise systems by providing data convergence and concept
reutilization with intelligence. Web2.O represents the next transition in the evolution of web
applications; they promise to restore the richness, interactivity and usability lacking in many
web applications.
CAD:-
Computer-aided design (CAD) is the use of a wide range of computer-based tools that assist
engineers, architects and other design professionals in their design activities. It is the main
geometry authoring tool within the Product Lifecycle Management process and involves both
software and sometimes special-purpose hardware. Current packages range from 2D vector
based drafting systems to 3D solid and surface modellers.
LEGAL ASPECTS AND POLICIES
This speedy growth of IT Sector is undoubtedly due to the efforts of Indian government and
the other developments that took in the other parts of the globe.
IT Act 2000:
India became the 12th nation in the world to adopt a cyber law during 2000.
• From the perspective of e-commerce in India, the IT Act 2000 and its provisions Contain
39
Page 40
many positive aspects. Firstly, the implications of these provisions for the e- businesses would
be that email would now be a valid and legal form of communication in our country that can be
duly produced and approved in a court of law.
• Companies shall now be able to carry out electronic commerce using the legal infrastructure
provided by the Act.
• Digital signatures have been given legal validity and sanction in the Act.
• The Act throws open the doors for the entry of corporate companies in the business of being
Certifying Authorities for issuing Digital Signatures Certificates.
• The Act now allows Government to issue notification on the web thus heralding e-
governance.
• The Act enables the companies to file any form, application or any other document with any
office, authority, body or agency owned or controlled by the appropriate Government in
electronic form by means of such electronic form as may be prescribed by the appropriate
Government.
• The IT Act also addresses the important issues of security, which are so critical to the success
of electronic transactions. The Act has given a legal definition to the concept of secure digital
signatures that would be required to have been passed through a system of a security
procedure, as stipulated by the Government at a later date.
• Under the IT Act, 2000, it shall now be possible for corporate to have a statutory remedy in
case if anyone breaks into their computer systems or network and causes damages or copies
data. The remedy provided by the Act is in the form of monetary damages, not exceeding Rs. 1
crore.
Indian Copyright Act:
The copyright of computer software is protected under the provisions of Indian Copyright Act
1957. Major changes to Indian Copyright Law were introduced in 1994 and came into effect
from 10 May 1995. Copyright Act clearly explained:
• The rights of a copyright holder
• Position on rentals of software
• The rights of the user to make backup copies
• Most importantly the amendments imposed heavy punishment and fines for infringement of
copyright of software.
40
Page 41
Income Tax
Deduction under sections 10A/ 10B of Income tax Act, 1961 (“IT Act”) in respect of profits
derived from export of computer software. Following undertakings are eligible to claim
deduction in respect of profits derived from export of computer software under the provisions
of sections 10A/ 10B of the IT Act:
• Existing units which commenced operations prior to April 1, 2000 and claimed deduction
under the provisions of erstwhile sections 10A/ 10B, can continue to claim such deduction
under the provisions of newly substituted sections 10A/ 10B for the unexpired period of ten
consecutive assessment years. Deduction would continue to be available in case of corporate
re-organizations by way of amalgamation or demerger.
Depreciation on computers and computer software at 60 percent As per the provisions of the IT
Act, annual depreciation on computers and computer software can be claimed at the rate of 60
percent of written down value at the beginning of the relevant financial year for income tax
purposes. Therefore, under the written down value method, 84 percent of cost of computers
and software can be depreciated in first 2 years.
THE GROWTH STORY
India is a preferred destination for companies looking to offshore there IT and back-office
functions. It also retains its low-cost advantage and is a financially attractive location when
viewed in combination with the business environment it offers and the availability of skilled
people.
India's top technology firms like TCS, Infosys, Wipro and HCL are readying plans to gain a
bigger share of their largest market, US, by aggressively chasing contracts being served by
multinational rivals. Analysts expect the top IT firms to grow between 23-27 per cent in the
FY2012 on the back of more number of discretionary projects, improved pricing, and robust
business volumes.
INVESTMENTS
Between April 2000 and February 2011, the computer software and hardware sector received
cumulative foreign direct investment (FDI) of US$ 10,705 million, according to the
Department of Industrial Policy and Promotion. The total investments of EMC Corporation, a
41
Page 42
leading global player of information infrastructure solutions in India, will touch US$ 2 billion
(over US$ 2.01 billion) by 2014.
Russian IT security software provider, Kaspersky Lab, will be investing US$ 2 million in its
India operations at Hyderabad during2011.
On the back of 40 per cent revenue growth, Cognizant will invest more than US$ 500 million
till 2014 to expand its campuses to add over 8 million square feet to house over 55,000
employees.
Chennai-based Polaris Software Lab has announced that it is buying an 85 per cent stake in
San Francisco-based digital identity authentication services provider Iden-Trust for US$ 20
million. The acquisition will mark Polaris' entry into the cloud computing space for financial
technology solutions, the company said in a filing to the Bombay Stock Exchange.
MARKET TRENDS:
The Information Technology (IT) sector in India is amongst the fastest growing in the country
and the world. It is expected that by the year 2008, IT software and services industry will
account for 7 per cent of India’s GDP and 35 per cent of total exports.
The Indian domestic IT market grew by 29% in the financial year 2007-08 to report revenues
of Rs 288, 810 crore.
The revenue of the information technology sector has grown from 1.2 per cent of the gross
domestic product (GDP) in FY 1998 to an estimated 5.5 per cent in FY 2008. The net value
added by this sector, to the economy, is estimated to be 3.3 to 3.9 per cent for FY 2008.
42
Page 43
FOREIGN DIRECT INVESTMENT (FDI) POLICY:
100% FDI is permitted in the Electronic hardware sector and the Software development sector
under the automatic approval route.
Industrial Licensing has been virtually abolished in the Electronics and Information
Technology sector except for manufacturing electronic aerospace and defense equipment.
IT / ITES EXPORT TRENDS:
The Software exports are projected to grow by $9 billion to $50 billion in fiscal 2008-09 from
$41 billion in fiscal 2007-08 and $32 billion in fiscal 2006-07.
Exports contribute nearly 65% of the Indian IT sector revenue.
The United States and Britain are the biggest markets for India's booming software exports,
accounting for about 80 percent of the country's $12-billion- exports per year.
Key Players:
The following are India’s Tier 1 companies in the IT sector:
•Tata Consultancy Services Ltd.
•Wipro Technologies Ltd.
•Infosys Technologies Ltd.
The other key players include the following:
• IBM
• HCL
• Patni
• Polaris
• Cisco
•KPIT Cummins
• Kanbay
•i-Flex Solutio
43
Page 44
HCL Technologies Limited is a global IT services company, headquartered in Noida, Uttar
Pradesh, India. Originally the research division of HCL Limited, it emerged as an independent
company in 1991 when HCL Limited ventured into the software services business. HCL
Technologies (often called Hindustan Computers Limited) offers services including IT
consulting, enterprise transformation, remote infrastructure
management, engineering and R&D, and business process outsourcing (BPO).
The company has offices in 31 countries, and operates across a number of industry verticals
including aerospace and defense, automotive, consumer electronics, energy and utilities,
financial services, government, independent software vendors, industrial manufacturing, life
sciences and healthcare, media and entertainment, mining and natural resources, oil and gas,
public services, retail and consumer, semiconductor, server and storage, telecom, and travel,
transportation, logistics and hospitality.
HCL Technologies is on the Forbes Global 2000 list and is one of Asia’s Fab 50 Companies. It
is among the top 20 largest publically traded companies in India and had a market
capitalization of $22.1 billion as of May, 2015. HCL Technologies, along with its subsidiaries,
had consolidated revenues of $6.0 billion as of August 2015.
BOARD OF DIRECTORSShiv Nadar: Founder HCL TechnologiesShiv NadarFounder, HCL Chairman, HCL Technologies and Shiv Nadar FoundationRobin Abrams: DirectorAmal Ganguli: DirectorDirectorR. Srinivasan: DirectorDirectorSosale Shankara Sastry: DirectorKeki Mistry: DirectorDirectorSubramanin Madhavan: DirectorDirectorSudhindar Krishan Khanna: DirectorDirectorRoshni Nadar MalhotraHistoryFormation and early years.
44
Page 45
HCL Technologies is one of the four companies under HCL Corporation, the second company
being HCL Info systems. In February, 2014 HCL forayed into healthcare with the launch of a
new venture, HCL Healthcare. HCL Talent Care is the fourth and newest venture of HCL
Corporation.
HCL Technologies began as the R&D Division of HCL Enterprise, a company which was a
major contributor in the development and growth of the IT and computer industry in India.
HCL Enterprise delivered several firsts – an indigenous microcomputer in 1978, a Relational
Database Management System (RDBMS), a networking OS and a client-server architecture in
1983,and a fine-grained multiprocessor UNIX installation in 1989. On 12 November 1991,
HCL Technologies was spun off as a separate unit to mark the company’s arrival in the
software services arena.
HCL Technologies was originally incorporated as HCL Overseas Limited. The name was
changed to HCL Consulting Limited on 14 July 1994. On 6 October 1999, the company was
renamed as ‘HCL Technologies Limited’ for a better reflection of its activities.
The period between 1991 and 1999 saw the company expand its software development
capacities, building one of the largest set-ups in India. It was also around this time that the
company spread its operations to the US, European and APAC markets.
IPO and subsequent expansionFollowing the rebranding as ‘HCL Technologies Limited’, the company went public on 10
November 1999, with an issue of 14.2 million shares, valued 4 each.During 2000, the
company set up a dedicated offshore development center in Chennai, India, for KLA-Tencor
Corporation.In 2002, it acquired Gulf Computers Inc., USA, as a part of its expansion drive.
OperationsA world-map showing the countries where HCL Technologies has operations.The company operates in 31 countries across the globe, including its headquarters in Noida,
Uttar Pradesh, India. In the APAC and EMEA, it has establishments in Australia, China, Hong
Kong, India, Indonesia, Israel, Japan, Malaysia, New Zealand, Saudi Arabia, Singapore, South
Africa, UAE and Qatar. In Europe, it covers Belgium, Czech Republic, Denmark, Finland,
France, Germany, Italy, Netherlands, Norway, Poland, Sweden, Switzerland and the UK. In the
Americas, the company has offices in Brazil, Mexico, Puerto Rico and the USA.
Business lines
45
Page 46
Applications Services: This division delivers integrated transformation services for the
applications portfolio of companies. Its technical expertise is organized around 12 horizontal
capabilities and draws upon domain expertise in consumer, manufacturing, life sciences,
healthcare, public, and financial services domains.The division has strategic alliances with
leading technology solution providers, and undertakes continuous R&D efforts to unlock
newer innovations.
Business Services: The division provides Next-Gen BPO services across industries. It consists
of a team of 14,000 professionals, operating out of state-of-the-art delivery centers spread
across India, USA, Europe, Ireland, UK, Latin America and the Philippines.The company uses
its integrated global delivery model to ensure seamless operations across geographies.[30] It
has also launched EFaaS (Enterprise Functions as a Service), aimed at transforming enterprise
functions while driving significant savings on the total cost of operations.
Engineering and R&D Services (ERS): This division is focused on providing comprehensive
engineering and R&D services and solutions in hardware and software product engineering
across industry verticals.ERS is the largest engineering services provider in India and is
responsible for driving Thought Leadership initiatives, and targets areas like Internet of Things
(IoT), Big Data Analytics, Social Media, Digitalization and Product Intelligence.
Infrastructure Management Services (IMS): This division manages mission-critical IT
environments and addresses the IT infrastructure requirements of an enterprise. It implements
the Enterprise of the Future (EOF) framework to enable companies’ transition from legacy
technologies and operating models to digital-ready, agile enterprise technology infrastructure.
This reduces Total Cost of Ownership (TCO) across seven strategic axes of transformation.
Other key offerings by the group include: Next Gen Workplace Services, Next Gen Network
Services, Information Security and GRC Services, Enterprise Platform Services, Business
Service Management, Service Integration Management, Integrated Operations Services across
Enterprise and Digital, and Technology Transformation Services.
Partnerships and alliances
Manchester United and HCL Technologies announcing their partnership at Old Trafford
stadium
46
Page 47
HCL's ecosystem consists of close to 100 companies in various technology areas with which
they have formed go-to-market alliances, specialist partnerships for niche technologies, and
teaming partnerships for specific customers.
HCL's Top Global Strategic Alliances: Microsoft, Cisco, EMC, SAP
Other Strategic Alliances: Oracle, IBM, VMware, TIBCO, HP, ServiceNow, CA Technologies,
Amazon Web Services, CSC
Specialist Partnerships: Salesforce, Informatica, SAS, Splunk, BMC Software, Net App,
VMware, Pega, MicroStrategy, Teradata, Avataq, Misys, eBaoTech, JDA, Guidewire, Hybris,
Appian
Corporate social responsibility
Community initiatives
Power of One
Power of One is an employee-driven, management supported initiative that focuses on
transforming social projects and activities. An extension of the RB philosophy, the initiative
has garnered active contribution from the employees for efforts that materially affect the
society around them.As a part of this initiative, the company has undertaken:
Project Samudhay, which involves adopting 100 villages and driving transformation in five
areas — water, women's welfare, education, health and malnutrition, and sanitation.
Association with Udayan Ghar and over 55 other NGOs, to promote all-round community
development and growth.
Additionally, since 2006, the company has been conducting a series of monthly and biennial
concerts to provide a platform for upcoming young Indian classical artists to showcase their
talent.
Environment initiative
Go Green
HCL runs a multi-layered program Go Green, as a part of its continued sustainability
initiatives. This covers green processes across facilities, and in the areas of travel, IT and
events. The company has designed and developed a comprehensive GreenEdge sustainability
framework to address challenges specific to the needs of manufacturing industries.[40] The
company conducts regular campaigns to inculcate understanding and sensitivity towards
47
Page 48
environmental issues, with a focus on promoting and initiating individual corrective actions. In
addition, it is also:
the first Indian ICT manufacturer to launch RoHS compliant laptops.
the first to launch a PVC & BFR free laptop in India.
the first Indian company to offer Antimony and Beryllium free laptop.
the first Indian ICT company to initiate a green bag Campaign and voluntarily recycle the
accumulated e-waste in an environmentally friendly manner.
reporting greenhouse gas emissions and reducing it on a year-on-year basis.
an active member of India Council for Sustainable Development (ICSD).
one of the strategic partners of the World Economic Forum (WEF), contributing to WEF's
Strategy and Government Affairs meetings on the contribution of the Information and
communications industry to managing climate change
Awards and recognition
Awards
2015: HCL Technologies won the Aecus Innovation Award for implementing an operational
control center for Unilever.
2015: The company won the prestigious Globetrotters Award at the Exhange4media - Pitch
Top 50 Brands.
2014: The company was recognized as the Best governed company by the Asian Centre for
Corporate Governance & Sustainability
2014: HCL Technologies was named as the Outstanding Company of the Year at CNBC-
TV18’s India Business Leader Award.
2014: The company won The HR Excellence Award for Most innovative deployment of HR
technology.
Recognition
Recognized among The World's Most Influential Companies by Bloomberg Businessweek.
Considered disruptive by International Data Corporation.
Featured in the top 10 outsourcers with the highest accountability, transparency and trust by
The Wall Street Journal.
Ranked world's #1 infrastructure outsourcing vendor by Brown-Wilson Group for the Black
Book of Outsourcing.
48
Page 49
Listed as the Most Democratic Workplace in the world by World Blu for the fourth time in a
row.
Featured in case studies published by Harvard University, Harvard Business Review,London
Business School,and University of Virginia Darden School of Business.
Recognized as one of the Top 10 Indian Brands basis the Brand Finance 2015 report.
History
Formation and early year
HCL Technologies is one of the four companies under HCL Corporation, the second company
being HCL Infosystems. In February, 2014 HCL forayed into healthcare with the launch of a
new venture, HCL Healthcare.[14] HCL TalentCare is the fourth and newest venture of HCL
Corporation.
HCL Technologies began as the R&D Division of HCL Enterprise, a company which was a
major contributor in the development and growth of the IT and computer industry in India.
HCL Enterprise delivered several firsts – an indigenous microcomputer in 1978, a Relational
Database Management System (RDBMS), a networking OS and a client-server architecture in
1983, and a fine-grained multiprocessor UNIX installation in 1989. On 12 November 1991,
HCL Technologies was spun off as a separate unit to mark the company’s arrival in the
software services arena.
HCL Technologies was originally incorporated as HCL Overseas Limited The name was
changed to HCL Consulting Limited on 14 July 1994. On 6 October 1999, the company was
renamed as ‘HCL Technologies Limited’ for a better reflection of its activities.
The period between 1991 and 1999 saw the company expand its software development
capacities, building one of the largest set-ups in India. It was also around this time that the
company spread its operations to the US, European and APAC markets.
IPO and subsequent expansion
Following the rebranding as ‘HCL Technologies Limited’, the company went public on 10
November 1999, with an issue of 14.2 million shares, valued at 4 each. During 2000, the₹
company set up a dedicated offshore development center in Chennai, India, for KLA-Tencor
Corporation.In 2002, it acquired Gulf Computers Inc., USA, as a part of its expansion drive.
Operations
A world-map showing the countries where HCL Technologies has operations.
49
Page 50
The company operates in 31 countries across the globe, including its headquarters in Noida,
Uttar Pradesh, India. In the APAC and EMEA, it has establishments in Australia, China, Hong
Kong, India, Indonesia, Israel, Japan, Malaysia, New Zealand, Saudi Arabia, Singapore, South
Africa, UAE and Qatar. In Europe, it covers Belgium, Czech Republic, Denmark, Finland,
France, Germany, Italy, Netherlands, Norway, Poland, Sweden, Switzerland and the UK. In the
Americas, the company has offices in Brazil, Mexico, Puerto Rico and the USA.
Business linesApplications Services: This division delivers integrated transformation services for the
applications portfolio of companies. Its technical expertise is organized around 12 horizontal
capabilities and draws upon domain expertise in consumer, manufacturing, life sciences,
healthcare, public, and financial services domains. The division has strategic alliances with
leading technology solution providers, and undertakes continuous R&D efforts to unlock
newer innovations.
Business Services: The division provides Next-Gen BPO services across industries. It consists
of a team of 14,000 professionals, operating out of state-of-the-art delivery centers spread
across India, USA, Europe, Ireland, UK, Latin America and the Philippines. The company uses
its integrated global delivery model to ensure seamless operations across geographies.[30] It
has also launched EFaaS (Enterprise Functions as a Service), aimed at transforming enterprise
functions while driving significant savings on the total cost of operations.
Engineering and R&D Services (ERS): This division is focused on providing comprehensive
engineering and R&D services and solutions in hardware and software product engineering
across industry verticals. ERS is the largest engineering services provider in India and is
responsible for driving Thought Leadership initiatives, and targets areas like Internet of Things
(IoT),Big Data Analytics, Social Media, Digitalization and Product Intelligence.
Infrastructure Management Services (IMS): This division manages mission-critical IT
environments and addresses the IT infrastructure requirements of an enterprise. It implements
the Enterprise of the Future (EOF) framework to enable companies’ transition from legacy
technologies and operating models to digital-ready, agile enterprise technology infrastructure.
This reduces Total Cost of Ownership (TCO) across seven strategic axes of transformation.
Other key offerings by the group include: Next Gen Workplace Services, Next Gen Network
Services, Information Security and GRC Services, Enterprise Platform Services, Business
50
Page 51
Service Management, Service Integration Management, Integrated Operations Services across
Enterprise and Digital, and Technology Transformation Services.
Partnerships and alliances
Manchester United and HCL Technologies announcing their partnership at Old Trafford
stadium
HCL's ecosystem consists of close to 100 companies in various technology areas with which
they have formed go-to-market alliances, specialist partnerships for niche technologies, and
teaming partnerships for specific customers.
HCL's Top Global Strategic Alliances: Microsoft, Cisco, EMC, SAP
Other Strategic Alliances: Oracle, IBM, VMware, TIBCO, HP, Service Now, CA
Technologies, Amazon Web Services, CSC
Specialist Partnerships: Salesforce, Informatica, SAS, Splunk, BMC Software, Net App,
VMware, Pega,MicroStrategy, Teradata, Avataq, Misys, eBaoTech, JDA, Guidewire, Hybris,
Appian
Corporate social responsibility
Community initiativesPower of OnePower of One is an employee-driven, management supported initiative that focuses on
transforming social projects and activities. An extension of the RBtC™ philosophy, the
initiative has garnered active contribution from the employees for efforts that materially affect
the society around them. As a part of this initiative, the company has undertaken:
Project Samudhay, which involves adopting 100 villages and driving transformation in five
areas — water, women's welfare, education, health and malnutrition, and sanitation.[36]
Association with Udayan Ghar and over 55 other NGOs, to promote all-round community
development and growth.
Environment initiatives
Go Green HCL runs a multi-layered program Go Green, as a part of its continued sustainability
initiatives. This covers green processes across facilities, and in the areas of travel, IT and
events. The company has designed and developed a comprehensive GreenEdge sustainability
framework to address challenges specific to the needs of manufacturing industries.The
company conducts regular campaigns to inculcate understanding and sensitivity towards
51
Page 52
environmental issues, with a focus on promoting and initiating individual corrective actions. In
addition, it is also:
the first Indian ICT manufacturer to launch Ro HS compliant laptops.
the first to launch a PVC & BFR free laptop in India.
the first Indian company to offer Antimony and Beryllium free laptop.
the first Indian ICT company to initiate a green bag Campaign and voluntarily recycle the
accumulated e-waste in an environmentally friendly manner.
reporting greenhouse gas emissions and reducing it on a year-on-year basis.
an active member of India Council for Sustainable Development (ICSD).
one of the strategic partners of the World Economic Forum (WEF), contributing to WEF's
Strategy and Government Affairs meetings on the contribution of the Information and
communications industry to managing climate change.
Awards and recognition
Awards
2015: HCL Technologies won the Aecus Innovation Award for implementing an operational
control center for Unilever.
2015: The company won the prestigious Globetrotters Award at the Exhange4media - Pitch
Top 50 Brands.2014: The company was recognized as the Best governed company by the
Asian Centre for Corporate Governance & Sustainability.
2014: HCL Technologies was named as the Outstanding Company of the Year at CNBC-
TV18’s India Business Leader Award.
2014: The Company won The HR Excellence Award for Most innovative deployment of HR
technology.
RecognitionRecognized among The World's Most Influential Companies by Bloomberg Businessweek.
Considered disruptive by International Data Corporation.
Featured in the top 10 outsourcers with the highest accountability, transparency and trust by
The Wall Street Journal.
Ranked world's #1 infrastructure outsourcing vendor by Brown-Wilson Group for the Black
Book of Outsourcing.
52
Page 53
Listed as the Most Democratic Workplace in the world by World Blu for the fourth time in a
row
Featured in case studies published by Harvard University,Harvard Business Review,[London
Business School, and University of Virginia Darden School of Business.
Recognized as one of the Top 10 Indian Brands basis the Brand Finance 2015 report.
Vision
A global corporation enriching lives and enabling business transformation for our customers,
with leadership in chosen technologies and markets. Be the first choice for employees and
partners, with commitment to sustainability.
Mission
We enable business transformation and enrichment of lives by delivering sustainable world
class technology products, solutions and services in our chosen markets thereby creating
superior shareholder value.
Core Values
We shall uphold the dignity of every individual
We shall honour all commitments
We shall be responsible corporate citizens
We shall be committed to Quality, Innovation and Growth in every Endeavour
53
Page 54
CHAPTER-5
DATA ANALYSIS
54
Page 55
DATA ANALYSIS &INTERPRETATION
For the analysis of the data. Three point scale method has been used.
By using 100 questionnaires the needed data has been collected from the employees of the
organization. For each question in the questionnaire there are three responses. The percentage
of the various responses in calculated for each question. Form these percentages the
conclusions & suggestions are prepared.
1) Is your training requirement identified and defined.
Table: 1\
Sno Opinion No of
Respondents
% of Respondents
1 Yes 90 90%
2 No 10 10%
3 Don’t Know - -
Total 100 100%
Graph No:1
Interpretation:
From the above table we can see that
55
Page 56
90% of the respondents said that their training requirement is identified and defined.10% said
that it is not identified.From the above data it is clear that 90% of the respondents are
expressed that the training requirement is identified and defined.
2) WHAT METHOD YOU SUGGEST WILL BE BETTER FOR TRAINING.
Table no: 2
S. no Opinion No of
Respondents
% of Respondents
1 On the job 20 20 %
2 Off the job 20 20 %
3 Both 60 60 %
Total 100 100 %
Graph No:2
Interpretation: -
From the above table we can see that. 60 % said that training must include both the methods.
20 % suggested on the job method.20 % suggested off the job method.
56
Page 57
Form the above data it is evident that the 60 % of the respondents are in favor of both the
method
57
Page 58
3 ) How often the training programs are being arranged
Table No:3
Sno Opinion No of
Respondents
% of Respondents
1 Regularly 60 60 %
2 Very often 24 24 %
3 Only after induction 16 16 %
Total 100 100 %
Graph No:4
Interpretation:
From the above table we can see that.60 % of the respondents said that training program is
being arranged regular24 % of the respondents said that training programs are arranged very
often. 16 % said that training programs are conducted only after induction.
From the above data its clear that 60 % of the respondents said that training program are being
arranged regularly.
58
Page 59
4) By what methods, you have been given training.
Table no:4
Sno Opinion No of
Respondents
% of Respondents
1 On the job 8 8 %
2 Off the job 12 12 %
3 Both 80 80 %
Total 100 100 %
Graph No:4
Interpretation: From the above table we can see that. 80 % of employees said they are given
training in both the methods.12 % of employees said they are given training by off the job
method. 8 % of the respondents are expressed that the training is given by the method of on
the job method. From the above data it is clear that, 80% of respondents are said that the
training is given by both the methods.
59
Page 60
Table 2: Which department are you working?
Working sector No. of respondent Percentage
Sales 32 32%
Finance 16 16%
Marketing 6 6%
IT 15 15%
Other 31 31%
This graph shows that only 32% of people are aware of the aware of training
and development program and 31% of people have some knowledge about it.
But 15% of people are not aware of the training and development option
60
Page 61
6 ) How do you find your performance, after training
Table No:6
Sno Opinion No of
Respondents
% of Respondents
1 Improved 84 84 %
2 Not much improved 16 16 %
3 Stable - -
Total 100 100 %
Graph No:6
Interpretation: - From the above table we can see that84 % of the respondents are saying that
their performance is improved after the training. 16 % of the respondents are saying that their
performance is not much improved .From the above data we observthat 84 % of the
respondents are saying that their performance is improved after that training.
61
Page 62
7 ) Does training improve the job knowledge and skills at all levels of the organization.
Table No:7
Sno Opinion No of
Respondents
% of Respondents
1 Yes 76 76 %
2 No - -
3 Don’t know 24 24 %
Total 100 100 %
Graph No:7
Interpretation: - 76 % of total respondents are saying that training improves the job
knowledge and skills.24 % of respondents said that they don’t know.From the above data we
can say that 76 % of the respondents havfe expressed that the training improves the job
knowledge and skills.
62
Page 63
8) After the training, how will be the behavior other employees towards each other?
Table No:8
Sno Opinion No of
Respondents
% of Respondents
1 Excellent 50 50 %
2 Good 34 34 %
3 Satisfactory 16 16 %
Total 100 100 %
Graph No:8
Interpretation: From the above table we can see that 50 % of respondents said that after
training behavior of employees towards each other excellent. 34 % of respondents said that the
relations are satisfactory.16 % respondents said that the relations are satisfactory. Half of the
employees are i. e. 50 % are expressed that the relations are excellent.
63
Page 64
9) How is the guidance from your trainers while training?
Table No: 9
Sno Opinion No of
Respondents
% of Respondents
1 Excellent 56 56 %
2 Good 40 40 %
3 Satisfactory 4 4 %
Total 100 100 %
Graph No:9
Interpretation: From the above it is evident that 56 % of respondents said that the guidance is
excellent. 40 % of respondents said that the trainer’s guidance is good.4 % of respondents
expressed that the trainers guidance is satisfactory. From the above data it is evident that 56 %
of employees are expressed that the trainers are excellent.
10) Training helps to analyze the problems and to solve them.
64
Page 65
Table No:10
Sno Opinion No of
Respondents
% of Respondents
1 Yes 70 70
2 No - -
3 Don’t know 30 30 %
Total 100 100 %
Graph No: 10
Interpretation: - From the above table we can see that. 70 % of total respondents are saying
that training helps to analyze problems and to take appropriate actions.30 % of respondents
said that they don’t know.70 % of total respondents are saying that training helps to analyze
problems and to take appropriate action.
65
Page 66
11) Does training improve the relationship between Boss and Subordinate?
Table No:11
Sno Opinion No of
Respondents
% of Respondents
1 Yes 68 68 %
2 No 08 08%
3 Don’t know 24 24 %
Total 100 100
Graph No:11
Interpretation:From the above tables it is clear that.68% of respondents said that training
imporves the realationship between Boss and Sub-ordinat 24% of respondents said that they
don’t know 8% of respondents said that training does not improves the relationship.68% of
respondents said that training improves the relationship between Boss Sub-ordinate.
66
Page 67
12) How is the procedure which is being used for getting feedback after training?
a) Excellent b) Good c) Satisfactory
Table no 12
Effectiveness of procedure adopted after training
Sno Opinion No of
Respondents
% of Respondents
e Excellent 76 76 %
2 Good 20 20%
3 Don’t know 4 4%
Total 100 100 %
Inter pretation:
From the above clear that.
76% of total respondents said the feedback is excellent in the organization.
20% of the respondents said that the feedback is good.
4% of the respondents are satisfied with the feedback.
From the above data it is observed that 76% of the respondents expressed that the feed
back is excellent.
67
Page 68
13) Does the training helps employees adjust to change.
a) Yes b) No c) Don’t know
Table no .13
Training and its impact on change management.
Sno Opinion No of
Respondents
% of Respondents
1 Yes 45 45%
2 No 35 35%
3 Don’t know 24 24%
Total 100 100 %
Interpretation:
From the above table it is inferred that.
45% of respondents said that training helps them to adjust to change .
25% of the respondents said NO 20% of respondents said that they don’t know .
It is concluded that.
45% respondents said that training helps then to adjust changes.
14) does training helps a person to handle stress, tension and conflict.
68
Page 69
a) Yes b) No c) don’t know
Table no.14
Training and its assistance in handling stress, tension and conflict.
Sno Opinion No of
Respondents
% of Respondents
1 Yes 52 52%
2 No 08 08%
3 Don’t know 40 40%
Total 100 100 %
Interpretation:
From the above table it is clear that.
52% of respondents said that training helps a person to handle stress.
40% of respondents said No.
8% of the employees are expressed that No.
The above data mentions that 52% of the employees said that training helps a person to
handle stress.
69
Page 70
15) Does training helps in understanding and carrying out organizational policies
a) Yes b) No c) don’t know
Table no.15
Training and its support in understanding and carrying out its Organizational policies.
Sno Opinion No of
Respondents
% of Respondents
1 Yes 75 75%
2 No - -
3 Don’t know 25 25%
Total 100 100 %
Interpretation:
From the above table it is evident that.
75% of total respondents said that training helps in understanding the orginal policies.
25% said that they don’t know.
The above data is clear about that 75% of total respondents said that training helps in
understanding the original policies.
70
Page 71
16) Are you satisfied with the training programs, which you have gone through?
a) Very much satisfied b) Satisfied c) Not much
Table no 16.
Based of the Satisfaction of trainees about the training programe.
Sno Opinion No of
Respondents
% of Respondents
1 Very much satisfied 34 34 %
2 Satisfied 46 46%
3 Not much 20 20%
Total 100 100 %
Interpretation:
From the above table it is clear that.
46% of the respondents are satisfied.
34% of the employees are very much satisfied.
20% of the respondents said that the satifaction with the training is not much.
The above data is evident about the 46% of the respondents are satisfied.
71
Page 72
CHAPTER -VI
FINDINGS, CONCLUSIONS
& SUGGESTIONS
72
Page 73
FINDINGS
1. The training programs are arranged regularly in the organization.
2. In the organization both on the job and off the job are followed.
3. In the organization training requirement is identified and defined.
4. Employee performance after training is improved.
5. The guidance from trainers while training is excellent.
6. The feedback after training is excellent.
7. Most of the respondent expressed that training improves the job knowledge and skills.
8. The employees feel that training improves the relationship between Boss and
Subordinate.
9. The employees feel that training helps to understand the original policies.
10. Majority of employees feels that training makes the organization a better place to work.
73
Page 74
SUGGESTIONS
1. It is better if the management take’s actions for the improvement of the behavior of the
employees towards each other the training.
2. It is better if the management conducts the training programs regularly.
3. It is suggestive that training may helps the employees in order to overcome stress.
4. It might be better if the organization find’s the reason behind it and take actions to
improve the satisfaction of employees regarding the training.
5. Training in a specific method is not sufficient in fulfilling the required training needs in
the organization.
74
Page 75
CONCLUSION
Thus this system of strategic training need identification plans to identify the needs which
would help the individual to actually apply it at his workplace. By involving the HOD at the
beginning, ensures that the training program conducted would be of relevance to the
department and will help them in achieving their objectives.
This top down approach not only will allow the HOD s to identify the needs but also the
individual at different grades to identify his own needs. The main focus of this programme
would be to identify the training needs depending on the concern areas of the department
arising out of the objective/ goals for the year.
To support the system this new evaluation mechanism focuses on the result based evaluation
form. This form tries capturing the data relevant to the work place.
75
Page 76
AEGIS OF TRANING NEEDS
1. Name: Design E.No
Dept: Selection: Grade:
2. LAST QUALIFICATION
Examination/Degree/Diploma Year of passing %of Marks
3. PAST EXPERIENCE
Sl No: Name of Organization Position from to Duration
4. TRAINING ATTENDED
SLNo Program year Duration in house External/Location
Dept: (signature)
HOD Trg.
76
Page 77
QUESTIONNAIRE
1) Is your training requirement identified and defined?
a) Yes b) No c) don’t know
2) Method you what for training? suggest will be better
a) On the job b) off the job c)Both
3) How often the training programs are being arranged?
a) Regularly b) Very often c) OAI
4) By what methods, you have been given training?
a) On the job b) off the job c) both
5) How often you are maintaining the records of which you are learning?
a) Regularly b) very often c) Not maintaining
6) How do you find your performance, after training?
a) Improved b) Not much c) Stable
7) Does training improve the job knowledge and skills at all level of the organization?
a) Yes b) No c) don’t know
8) After the training, how will be the behavior of other employees towards each other?
a) Excellent b) good c)Satisfactory
9) How is the guidance from your trainers while training?
a) Excellent b) good c) Satisfactory
77
Page 78
10) Training helps to analyze the problems and to solve them?
a) Yes b) No c) don’t know
11) Does training improves the relationship between Boss and Sub-ordinate.
a) Yes b) No c) Don’t know
12) How is the procedure, which is being used for getting feedback after training?
a) Excellent b) good c) satisfactory
13) Does the training helps employees adjust to change?
a) Yes b) No c) don’t know
14) Does training helps a person to handle stress, tension and conflict?
a) Yes b) No c) don’t know
15) Does training helps in understanding and carrying out organizational polices?
a) Yes b) No c) don’t know
16) Are you satisfied with the training programs, which you have gone through?
a) Very much satisfied b) satisfied c) not much
78
Page 79
BIBLOGRAPHY
1. Personal Management C.B MAMORIA
S.V. GANKAR
2. Personal Practice of
Management L.M. PRASAD
3. Personal and Human
Resource Management P.SUBBA RAO
WEBSITESWEBSITES
www.wikepedia.comwww.wikepedia.com
WWW.motivation.co.inWWW.motivation.co.in
http://www.hclinfosystems.in/about-us/vision-mission
79