HCL

Technologies
Group 3
Jaya Dixit (PGPBL0238)
Sumit Raj (PGPBL0256)
 • Vineet's first major step was to centralise the organisation
What were structure, as he discovered that while the staff were highly
talented, they lacked cohesiveness.
Vineet's key • Vineet's next action was to divide the company into five lines
moves? Can the of business in order to handle the problem of establishing a
uniform method and system for increasing worldwide
moves be linked operational efficiency.
• HCL was also prepared for larger transactions by introducing
to the key automated processes, a distinct financial organisation, and a
multi-service delivery system, something it had failed to
challenges facing achieve in recent years.
• He began a "Mirror Mirror" campaign in which he connected
HCL? How with employees and demonstrated how equitably the firm
has performed for the previous 25 years as well as the last
exactly? five years.
• He put his 30-person marketing staff on his floor, visited
with them on a regular basis, and devised a “Employee first,
Customer second” strategy.
• Developed a strategy - the firm should progress up the value
chain and pursue larger, more difficult engagements.
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 • HCL was behind Indian and multinational competitor during 1980
and 1990 when software and services became trend
• MNCs like IBM returned to India as a result of deregulations
• Attrition rate was nearly 30% which was higher than the industry
standard
What were the • Employees also had the mentality that "it's okay to lose," which
caused HCL to lose larger engagements.
challenges facing
• Offshoring, recoding, and application development work to India
HCL Technologies was becoming more common. Because HCL did not want to
when Vineet took compete on pricing, it did not take advantage of this chance to
establish strategic connections with senior leaders of global
over? organisations.
• Brand Name was getting destroyed
• Customers were increasingly demanding integrated IT services to
give them competitive advantage
• As the hardware became commoditize, software and services
became the trend of source of revenue.
• When Vineet came over, there was a lack of operational efficiency,
which was a big issue for HCL. HCL lacked a coordinated structure
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and procedure for conducting worldwide operations.

How effective has Vineet
been in leading HCL from the
front in identifying and
implementing the key moves?
• Vineet was successful in identifying and implementing the key moves
• Vineet closely interacted with employees from different regions and
understood what problems they are facing. He realized that employees have
good skills but lack team work and coordination as they worked in silios.
• Vineet focused on centralizing the business. He took employees in
confidence. He initiated bottom up approach. He also created the open door
policy where each employee feels free to talk to him and share their concerns.
• He set up a strategy plan in three phases, 1 st phase on was to get the house in
order by centralizing the company in 2 years. 2 nd phase focused on building
strategic partnerships to offer different value proposition to customers. 3 rd
phase is to bring about radical shift in the business model of the organization
• He brought in the best of the resources available from the previous
assignment at HCL. These people were the part of his successful strategy stint
at Comnet. He built strategic teams and likewise brought cohesiveness within
the team so as to implement strategy effectively.
• He automated the process and structures across different departments
which heled employees to work and deliver value effectively.
• Eventually the transformation process became more consultative and less
dictatorial because employees were energized and motivated with Vineet's
strategy.
• In EFCS Strategy, Vineet he built attractive PayScale for employees. Due to
the culture which focused on employees and getting the best out of them, the
attrition rate fell from 30% to 19.5% within the span of 8 months.
• He aimed at making the company value centric and not effort centric
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 • Vineet should announce the strategy of employee first customer second
approach at the global customer meet.
• Vineet understood that to be the top service company it is very important
to invest in employees to ensure efficient customer services
• Parallelly, Vineet should also explain the advantages of this strategy to
Why "Employee First the customers i.e advantages of working with value centric company.
Working with highly motivated and energized employees would give the
Customer Second'? Is best value to customers
this a good idea? • EFCS also aimed at automation of key processes and structures within the
organization and introduced automated process for information sharing
Should Vineet across different areas like sales, delivery and HR
announce this strategy • EFCS approach did bring about transparency and accountability in the
organization as the employee pay was based on Outcome rather than
at the February 2006 effort. HCL introduced ‘Trust pay’ where it payed full fixed salary to its
global customer meet? employees rather than paying variable. Full salary implied that employees
will give their best and not think of how much they will earn if the work
is done.
• EFCS approach helped in reducing resolution time and increased
transparency in problem solving process for employees.
• Vineet should also talk about how EFCS approach helped him in gaining
the confidence of the customers thereby helping HCL to close big deals
like DSG International
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