NARAYANA MURTHY AND INFOSYS

Case Study.
PRESENTATION PLAN

Objective of the Case.

Introduction to Mr. Narayana Murthy and INFOSYS.
Key Qualities of INFOSYS.
Human Resource Practices at INFOSYS.
Conclusion.
Bibliography.
OBJECTIVES OF THE CASE

To analyse the strategies implemented by Narayana Murthy which made Infosys

one of the biggest IT companies in India.

Brief Discussion Of HR Policies At Infosys.

 NARAYAN MURTHY AND INFOSYS

Educational Milestone of Murthy

B. E. (Electrical) from the University of Mysore (1967)
M. Tech. (Electrical) from the IIT, Kanpur (1969).
Career.
Started his career as head of computer system at IIM,Ahmedabad.
Life at Paris.
Headed Patni computer systems Pvt.Ltd., Mumbai.

He believed that the only way to pull India out of Poverty is was to create more jobs.

Infosys.
Started in the year 1981 by seven professional entrepreneurs

Infosys was the first company to,

Push for offshore software development against Body shopping.
To follow the US GAAP disclosure norms before going to NASDAQ listing in 1999.
THE ROAD TO SUCCESS
In the early 1980s, Narayan Murthy
focused on the worlds most
challenging market- the US.
1987-Kurt Salmon Associates and
Infosys.
1988-89- Reebok and Digital
Equipment.
Early 1990s-.Competition with
Indian as well as overseas companies
1994- Joint venture with KSA
dissolved.
1995- Yantra Corp. Satyam
Computers and DCM.
1998- Listing of shares on NASDAQ
This was the globalization of the
Indian software industry.
NARAYANA MURTHYS GLOBAL STRATEGY

GDM Global Delivery Model

Moving up the Value Chain

PSPD
Predictability of revenues
Sustainability of the predictions
Profitability of revenues
De-risking
PEOPLE MANAGEMENT

All about Managing People i.e. H.R of company.

Low employee turn over at Infosys.

Rigorous selection process and Proactive HRD practice.

INFOSYSS HRM STRATEGY

Get the big picture
Develop a Mission Statement or Statement of Intent
Conduct a SWOT analysis of the organization
Conduct a detailed human resources analysis
Determine critical people issues
Develop consequences and solutions
Implementation and evaluation of the action plans
Recruitment Training

HR Policy

Reward and Recognition Performance Management

IMPORTANCE OF COMMUNICATION

Media
Electronic Bulletin Boards
Chairmans list
FACILITIES FOR EMPLOYEES

Employee training
Recreation facilities.
Events.
Insurance and security facilities.
Withinsy
Transport facilities.
Maternal leaves.
Creche facilities.
ESOP.
Reward system.
 Strategic Reward Systems

Skill-based pay

Training Culture

Overtime pay
rules in
contract Merit pay reinforces
performance culture
Rewards
Labor
Relations
Performance
Management

Employment
Sign-on Bonus
Merit Pay

MBAO 6030 Human Resource Management

 TYPES OF BENEFITS
MONETARY NON MONETARY
Increments Promotions

Compensation Housing Facilities

Overtime Conveyance Facilities

Performance - pay Fringe Benefits

EMPLOYEE STOCK OPTION PLAN (ESOP)

Highly profitable reward system.

Method of generating wealth.

Offers emotional and financial ownership to the employees.

Performance management tool for attracting and retaining talent.

Win loyalty, accountability of employees as their own interest is vested

into it.
CORPORATE GOVERNANCE

What is corporate governance?

includes relationships among the

stakeholders and the goals for which the
corporation is governed

working ethically

finding a balance between economic and

social goals
 CORPORATE GOVERNANCE RATINGS

Allocation of power among Board of

Directors, management and
shareholders.

CRISIL GVC Level 1 & ICRAs CGR

1 rating

Transparent shareholding patterns,

sound Board practices, interactive
decision-making powers, high level of
transparency and disclosures.

Director Addressing Share Holders.

 GAAP
Combination/set of authoritative standards

Commonly accepted ways of recording

Reporting accounting information

Imposed on companies to report their financial data via financial statements

Investors can analyze with minimum consistency

 LEADERSHIP TRAINING

Institute setup in 2001

Head of the institute- Girish
Vaidya
Objective- to create world class
leaders at the forefront of the
business
Leaders split into 3 tiers
Each tier mentored by a tier of
senior colleagues
Focuses strongly on quality
processes and methodologies and
enhancing managerial capabilities.
Sessions with senior leaders.
REASONS BEHIND THE SUCCESS OF INFOSYS

Employee care
Decision making
Efficiency and effectiveness
Commitment to values and ethics
Innovative ideas
Leadership
BIBLIOGRAPHY

Essentials of Management- Koontz

www.infy.com
www.indiainfoline.com
Presented By:- Group 1 MBA(HR) 1st year