Program & Batch:

Term:
Course Name:
Name of the faculty:
Topic/ Title :
Original
or Revised Write-up:
Group Number:
Contact No. and email of Group
Coordinator:
Group Members:

PGDM 2014-2016
3
Human Resource Management
Uday Bhaskar
IBM India-Hiring
Original

Sl
.
1
2
3
4
5
6
7

6
8130205428
ft14sakshigupta@imt.ac.in
Roll No.
Name
140101140
140102072
140101023
140101137
140103167
140103162
140103065

Sakshi Gupta
Manish Rathore
Ankit Kaushik
Sabyasachi Rana
Sumeet Singh
Sonal Chotrani
Gaurav Prakash

Note:
1. The document should reach via e mail - assignments@imt.ac.in before the
deadline time.
2. Max file size should not exceed 5 MB.
3. File Name: Course Code_Sec_Group No_Program_Batch (For e.g.
IGD_A_5_PGDM_2014-16)

IBM India

IBM India Private Limited is the Indian backup of IBM. IBM India has set
up their office in Delhi, Mumbai, Kolkata, Chennai, Chandigarh, Indore,
Pune, Bangalore, Visakhapatnam, Gurgaon, Bhubaneshwar, Noida,
Coimbatore, and Hyderabad. It has established in 1992, (re-section, after
a passageway in the 1970s). IBM India has its headquarters at Bangalore.
Mr. Vanitha Narayanan is present MD of India operations. IBM posted a
revenue of $99.7 billion with a net pay of $16.4 billion in the year of 2013.
IBM has absolute resource of $ 126 billion in 2013. The aggregate no of
representatives of IBM is 431,212 with more than 150,000 utilized in India.
Somewhere around 2003 and 2007, IBM's head tally in India has become
by just about 800%, from 9,000 in 2003 to almost 74,000 in 2007. Since
2006, IBM has been the multinational organization with worldwide
operations and has one of the biggest numbers of workers in India in IT
industry.
IBM -Background
Today's networked economy has created a global business landscape and
a mandate for change in business for IBM. The Internet has helped in
communication and collaboration across the world. In that landscape,
companies can distribute their work anywhere in the world. IBM is
leveraging the integrated global economies that have opened markets of
new options of doing business and new of skills.IBM is working with its
clients to develop new business designs and technology. The business is
also moving toward emerging countries in the world, tapping their high
growth. IBM is providing the technology infrastructure that the client
companies need and taking advantage of the talent pools of the emerging
countries to provide to better service to the companys clients.
IBMers value
Values as IBMers shape everything we do, every choice that IBMers make
on behalf of this company. Having a shared values helps IBM people take
decisions and in the process, makes the company IBM great in world. But
the influence occurs when IBMers apply these values to our personal work
and their interactions with one another in the wider world. IBMers
determined that their actions will be driven by these three values:
Dedication towards the success of every client
Innovation having meaning for IBM as well as globally
Inculcating the value of trusting and taking personal responsibility in all
relationships
IBM's re-organization
In 2005, Ginni Rometty at the Enterprise Business Services unit of IBM
overall and proclaimed changes that would have long running
ramifications and would prompt the touchy development of IBM in India. In
a financial specialist meet in 2006, she recognized five ranges that would

change IBM and bring 'beneficial development'. In place of criticalness,

they are in Application Management Services, Business Solutions. IBM is
also in Business Transformation Outsourcing, along with ventures such as
Small & Medium Business & Innovation. In each these areas, IBM India
figures unmistakably and worker numbers have developed multi-overlay
in the most recent two years.
IBM India's local incomes developed at 60% in 2005-06 making it one of
the most astounding development ranges in the whole IBM arrangement
of topographies & organizations. IBM India is additionally the greatest
residential IT player in the nation, supplanting HCL Technologies. It's
advantageous to say that Airtel, India's biggest private telecom
organization picked IBM as its key accomplice for outsourcing its whole
system & IT spine an arrangement worth about $750 million at first, and
as of now worth over $2 billion.
History
Pre-liberalization Story
In rolling out the improvement to its new mode of operation, many
recreating and rebuilding steps were taken: - All introduced (gear in India
was all rented by the month a GOI necessity) was "sold" to the current
clients for an ostensible measure of short of what $10 - The (beneficial)
Service Bureaus were given to the representatives who were utilized in it
at that time. An administration structure was created, based upon a few of
the most senior Indian chiefs, who later converted into the a major share
shareholder in the new organization, which was named as IDM
(International Data Management) - The supplies administration business
was exchanged as a solitary aggregate substance to the GOI, on the
comprehension that they would keep on offering upkeep administration to
all current clients. IBM attempted to give extra parts to introduced
supplies for at any rate a further 5 years - Employees who were working in
different nations around then were offered positions in those nations, if
the migration laws allowed. Most agreed and a number went ahead to
accomplish advancements to senior positions in those nations and as far
and wide as possible - The livelihood of all different workers was ended,
with what were by and large thought to be liberal excess term
Post-liberalization story
Indian policies were changed in 1991, unwinding FDI standards. IBM reentered the Indian shores in 1992 with a Tata joint-venture, coined as Tata
Information Systems Ltd. The organisations business with India was still
centered on item deals.

Current activities

IBM India has now developed to a degree where it represents a hardened

test to homegrown software organizations of India in IT worldwide
conveyance and labor fascination/maintenance. IBM now executes the
added business lines from India which helps overall IBM in a worldwide
conveyance structure: Global Technology Services some time ago known
as ITD-GD (Information Technology Delivery - Global Delivery), India
Software Labs (ISL), Linux Technology Center, Global Business Services,
Integrated Technology Services (ITS), Global Business Solutions Center
(GBSC), India Research Lab (IRL), Sales & Distribution (S&d).
On March 2, 2012 it was accounted for that IBM India needs to open deals
office in around 40 Tier-I and Tier-II urban communities of India in year
2012-2013.
Business lines.
Global Business Services
This division, alongside Global Technology Services (which was as one
called IBM Global Services prior) has the biggest worker head-include and
works a worldwide conveyance structure. Despite the fact that its difficult
to evaluate the worth commitment from this unit, since IBM GBS India
works in the expense recovery mode, it is considered to contribute much
more than $1 billion every annum.
IBM India's bundle usage & support hone with its SAP, Peoplesoft,
oracle, Siebel, JD Edwards & Clarify professionals is the greatest among all
Indian IT organizations.
This substance is composed as a counseling organization, with divisions
reflecting the utilitarian ability inside, case in point Finance Management
Solutions (FMS), Customer Relationship Management (CRM), Supply Chain
Management (SCM), Energy & Utilities et cetera.
Application experts from the youngster SAP practice of IBM India are a
standout amongst the most portable of its workforce much of the time
globe-jogging to other IBM Geographies and profiting from the almost 3
decade old IBM & SAP unLinux Technology Center.
Business transformation outsourcing
With the procurement of Daksh in 2004, IBM now boasts of an impressive
business procedure outsourcing (BPO) administration portfolio. Partners
and examiners work out of the Bangalore office in out-sourced business
methods of IBM customers. The organization has conveyed more than 800
recently enlisted representatives in 2008 and the methodology is as of
now going on. As per the stacks, IBM Daksh is on the top position in the
BPO business in India.
Presently Concentrix advances obtained IBM Daksh.

Business Analytics Center of Competency

In a move to concentrate on developing business examination commercial
center, IBM on November 9, 2009, has advertised the making of another
Business Analytics Center of Competency in Bangalore, India. IBM's new
business investigation focus is to offer worldwide help and is required to
be staffed by in excess of 200 specialists with cutting edge examination
abilities

The manager of the employee plays the role of the HR as well. The first
point of contact for resolution of an HR issue is the manager and then
second is manager's manager. If it still doesn't get resolved then the HR
department comes into the picture.
Recruitment, Employment and Selection at IBM
What is recruitment?
It is defined as a process carried out by the organization with objective of
attracting potential employees.
There are 3 aspects of recruiting:
Personnel Policies
Recruiter traits and behavior
Recruitment resources
Factors affecting recruitment
IBM India it caters to 3 industries computer hardware, consulting and IT
services. Its current headcount stands at 4.3 lakhs (2013) and one third of
this population is in IBM India. Hiring at IBM is done from following
channels:
External Hiring
Internal Hiring
Why IBM is the quetion that the company addresses in the following way.
It gives 4 reasons why one should choose IBM as the employer:
1. Be an innovator: IBM is world's largest IT and consulting firm. Whether
one is an experienced person or a fresher they give huge opportunities to

evolve from energy production to climate change , traffic congestion ,

health care and a lot more.
2. Work with the best and the brightest minds: The employee will get to
work with the best minds and its in their culture to embrace individual
differences. One can develope connections around the world.
3. Build the career one wants to: On an average every IBM employee
spends atleast more than 60 hours in a year on training. They have
performance based bonuses so its a competitive benefit.
4. Work for a company you can be proud of: Its the values and the culture
that IBM embraces it has defined itself with. Not only they leading in
developing technology but also promote corporate social responsibility.

External Hiring:
When the vacancy is filled by getting a person from outside the
organization. Following comes under external hiring:
Campus Recruitment (Less than 25%)
For fresh talent it visits campuses across India. They hire at both
undergraduate and graduate level to develop future leaders. Majors
considered by them are BE, B.Tech , ME, M.Tech, MBA MS and MCA.
Following steps are observed while selecting prospective employees:
They conduct an aptitude test
Written Communication test
GD
Personal Interview
They prefer candidates with strong analytical skills, ability to learn
quick, leadership qualities, relevant internship. Travel is involved so
willingness to work client site. They have a portal on which if the
company is not coming to the campus the candidate can still go and
apply. They go to campuses as well as conduct walk in interviews
communication information through social media (Facebook)
(Screenshot attached below)

Consultants and Job Portals

For specific job profiles they reach out to consultants and also has tie
up with Infoedge, naukri.com. Similarly for the profile if the candidate
selected was sourced from naukri.com or consultant then a certain
percentage is paid as the fee above the fixed amount for the CVs they
share.
Internal hiring

Internal recruitment is when an employer assess his or her current staff

to analyse if they can perform a task of a vacancy and assign that
person that role under internal tranfer or promotion (only if the
employee is eligible for it)
Advantages of internal hiring are:
1. Boosts workplace morale: It creates a level of excitement for the
employees. By first opening position for employees they feel rewarded
for their work and feel that they are trusted by the organization. It
builds their morale and respect for the upper management of the
company.
2. Lower cost and greater effciency: It saves both time and money.
Training new hires on the company policies and processes, hiring
expenditure for example attending job fairs or working with
consultancies paying them such a high amount all that is saved by the
company. The employee already from the organization into a new role
takes less time to adjust than a completely new hire.
3. Easier Assessment: One of the major advantages of hiring from
within is that the employee is aware of the company culture and
already in sink with it. It is a lot easier to assess the job fit.
They do have a IJP (Internal Job Posting) policy wherein the vacancies
are uploaded on the portal ad the employees interested can apply
against it. Considering their eligibility to be in a particular role for 18
Months and their skill sets if they are suited then are moved in that
role.

Hiring of top level management

The top level management goes through an extensive leadership
management program which is common amongst all the top
organisations in the world. It consists of a mix of psychometric tests,
the job fit and skill fit tests along with the ability of the candidate to
add value to the organization and his/her ability to manage change.

Corporate Talent Network

With the growth of LinkedIn, Twitter, Facebook , Glassdoor, indeed and
an assortment of different devices accessible to advance the work
brand, organizations have now developed from a model of "competitor

relationship administration" to a model of building an "ability system"

from which to enroll. The "talent system" is not simply a spot to post
employments, its a spot to pull in individuals and it incorporates fans,
applicants, representatives, graduated class, and even clients.

These "ability systems" (At&t, Microsoft, IBM and numerous

organizations now have them) are viral item and administration groups
and they make attractive fascination among future workers, clients,
and accomplices.
Tools and tests used for the process
IBM India offers 25000 roles (approximately) each year. Therefore there
is not a standard test that they follow. Tests are as per the role like
psychometric test, DISC and Caliper profile etc.
Attrition
According to survey conducted by Business Today in 2013 IBM India
was ranked at 5 positions among the top 5-employer category. To
manage a lakh plus employees is challenging as stated by a company
person and they do it in 4 ways:
1.Engagement
2.Development
3.Health
4.Well Being
In one of the articles Mr. Srinivasan Govindaraj, Business Analytics
Growth Initiatives Advanced Analytics SME, India Software Labs, IBM
India "There are such a large number of reasons why representatives
leave work. The basic rumors that I have come across being circulated
in different organizations are that of high performing representatives
leaving the employment because of insufficient recognition or
payment, workers being in the same part for a long term leaving the
occupation because of absence of development opportunities, workers
not having the capacity to work with their first line reporting leaving
the place of employment, representatives not able to oversee work-life
parity stopping their work to focus on life, and so on. While the
above is a little rundown, each HR office would have several such
theories. Which among the above rundown are right? Majorly they
appear coherent; then does it prove its genuiness? The most ideal

approach to particular out truth and observation is to gather

information and factually demonstrate or invalidate them. With the
coming of Big Data Analytics gathering differing information from
inside and outside the organization and touching base at compelling
experiences has turned into a ton simpler. Huge Data Analytics can let
us know which a few top reasons help the most and which theory that
we had is really off base. This will help HR administrators center their
vitality on high-yielding activities.
When had a conversation with a company member they stated that at
IBM the attrition rate is not very high because they have policies that
would lead to growth and development of the employee with the
organization. If employee is stuck to a particular role then there are
chances that he or she may leave and this is challenging because
relocation or changing roles is not very easy there are lots of factors,
which are to be considered. They have their own extensive training
program and leadership programs. They emphasize over their demand
of hiring people managers.
IT industry has high attrition rate but IBM India stands low in that list.
There is also circulation of manpower as its almost the same workforce
moving in and out of the competitor firms.
Contract Labor
IBM India has 15 to 20% of contract Labor
One of the challenge IBM faces here is that its difficult to assign people
to the job they would fit into in very less time. As projects come and
have a timeline for completion the CV screening and allocation to
respective employees becomes challenging. At the same time getting
right kind of employees in times of need is also difficult.
Training at IBM India
In 2002 IBM was ranked 4 by the Training Magazine on its top 100 list.
The magazine ranked organizations on the basis of their dedication
towards employee developement and training even in times of
uncertainity. IBM has always focused towards human resource
development and in mid 1990 it spent about $1 bn towards training of
its employees. However later it started looking for other ways to train
in order to save on cost. Then it designed E- Learning to train
employees and initially this was used to trained new managers.
Gradually it was spread across and IBM saved millions of dollars and it
also created a better learning enviornment than the traditional
methods.