“Employee First” Philosophy

Leading People Transformation through

our “Employee First” Philosophy

Focus in the next few minutes!

Transformation JourneyModule 1

Module 2

Module 3 BPR Tools

• Empowerment @ HCL- insiderEdge; EFC; 360 Degree

feedback; Career Power

•My Financials @ HCL

•My Day @ Work

•Project Management

•Reporting & Analytics

•HR Life Cycle

Employee First @ HCL

• Employee First Philosophy

• Our endeavor through technology

Module 4 “Employee First”- the Impact

3

What do I stand for

Employee First

Trust, Transparency and Flexibility

Value Centricity

HCL’s Employee First and ‘democratization’ of management concept could “bring about a corporate renaissance’

Teach HCL as a case study on Business Transformation

Employees are always right… public grading of managers is just one of several unconventional steps HCL has taken… to build a more democratic workplace….

-3-

2005: Beginning of our transformation journey

Three Phase Approach to HCL Transformation

2005Phase 1

FOCUS

First phase of the HCL Transformation is a 24 monthplan with 76 initiatives cutting across employees, customers, operations and new business ideas drivingbusiness growth.

Phase 2

LEAD

Second phase is a selective partnership approach to augment domain depth, capability and service innovation to enhance customer value and accelerate growth in 18 to 48 months.

Phase 3

DOMINATE

Third phase is a radical shift in business model and unique value propositions in 36 to 60 months.

2010

A Five yearThree phaseTransformational plan

Operating Excellence

Employee Experience

2006

2005

Business Differentiators

Customer Experience

HCL Transformation- Its Facets

Employee first, customer second

Result driven rather than effort driven culture

Inverted organization structure

Values of trust, transparency & empowerment

Output driven strategic relationship rather than effort driven

Total outsourcing focus (TCO)

Building trust and transparency

Drive efficiency at gross margin level

Improve the quality of SG&A spend

Build scalability

Create uncontested market spaces in services propositions (MSD and Service Innovation)

Business outcome based pricing and risk sharing

2007

Transformation JourneyModule 1

Module 2

Module 3 BPR Tools

• Empowerment @ HCL- insiderEdge; EFC; 360 Degree

feedback; Career Power

•My Financials @ HCL

•My Day @ Work

•Project Management

•Reporting & Analytics

•HR Life Cycle

Employee First @ HCL

• Employee First Philosophy

• Our endeavor through technology

Module 4 “Employee First”- the Impact

Employee First @ HCL

Individual Enlightenment

The five-fold path to individual enlightenment:Pillars for leveraging technology

Knowledge Campus extension Cultural orientation BQ: the knowledge bank Knockout: collateral & Weekly expert sessions

Empowerment Individual development Plan Coaching & Mentoring Holistic Learning Intrapreneurship

Transformation Executive development Leadership Development Multilevel Competency Framework

Behavioral Business & Process Technical

Recognition 360o feedback i4XL:democratic & rapid Online appraisal Compensation review board Fast track program

Support My page Natasha: your assistant EHS Customized e-zines Community programs

1

2

34

5

Corporate Research Foundation ranks HCL among top ICT employers in the UK. IDC ranks HCL as the #1 paymaster and #2 in Employee satisfaction among

companies with 25,000-plus employees

Engaged Employees lead to Engaged customers

At HCL, we treat people as people, not ‘human resources’. Our five fold path to enlightenment provides you with space to grow, time to think, tools to use. It gives you whatever you need to succeed – be it a virtual assistant or talent transformation sabbaticals; inner peace or fast track growth; expert guidance or democratic empowerment. The result? Over 32000 highly motivated individuals

working for 493 satisfied customers around the globe. IT works better this way.

At HCL, it is truly “Employee” First

1

Smart Service Desk iGen Directions

Trust Pay Value Portal Career Portal

360 Degree Feedback Blogs with Vineet

U&I (Direct Communication with President)

Electronic appraisal system Hewitt employee engagement survey Weekly opinion polls on key policy

decisions

Providing employees with a

unique environment

Driving an inverted organization structure

Encouraging a value driven culture

Creating transparency and accountability

2

3

4

Best managed attrition in the industry

Results!!

Our Endeavour through TechnologyOur Endeavour through Technology

“Employee First”

Trust

Empowerment

Tra

nsp

are

ncy

360 o Feedback

Op

inio

n P

olls

U & I

Blogs with Vineet

Trust Pay

My day @ work

ES

S

EFC

WoW, practices & Values

Systems & processes

Employee First Philosophy

MyHCL.in

Employee First: Technology 2 people

Transformation JourneyModule 1

Module 2

Module 3 BPR Tools

• Empowerment @ HCL- InsiderEdge; EFC; 360 Degree

feedback; Career Power

•My Financials @ HCL

•My Day @ Work

•Project Management

•Reporting & Analytics

•HR Life Cycle

Employee First @ HCL

• Employee First Philosophy

• Our endeavor through technology

Module 4 “Employee First”- the Impact

PULSE - Employee Satisfaction Survey

74 % Participation

Internal Job

Postings

Counselors

JD Bank

Individual devp Plan

Continuous and periodic sharing of

strategies, blueprint, ideas, initiatives,

achievements, news, results, milestones.

Empowerment @ HCL

InsiderEdge- The power to manage career

• A tangible example of “Employee First” philosophy.

• Employees benefit from the opportunities in HCL.

• InsiderEDGE allows one to make the skill-set multi-faceted, allows one to monotony, and is in sync with the aspirations to fast track career growth.

Click here to access

https://wf12.myhcl.in/ijp/homepage.aspx

Employee First Council- Our way to empower!

‘…a diverse group of people

working together in

democratic ways towards a

common goal for which they

have a strong in built passion”

•A unique platform for employees of employees, for employees, and by employees.

•Based on the WYGIWYG philosophy-What you give is what you get.

•Ignite change, Inspire change and create transformation

•An employee can nominate yourself for a council, elect their representative and participate in organization's decisions that impact himself & participate in the transformation journey.

Click here to access

https://wf5.myhcl.in/empfirstcouncil/frontend/index.aspx

HCL Career Power

‘Career Development in HCL is a people process by which the organization facilitates its employees’ to plan and realize their personal and professional vision of growth and development’.

Key Objectives 1. Focus on professional learning and growth2. Higher career satisfaction and engagement3. Talent Management and succession planning

Key aspects1. ‘Career’ refers to a journey through life. 2. Career is a web, not a ladder. It involves flexible plans and a strong

development focus3. Career Planning encompasses both short term & long-term aspects and

reflective exercises to ascertain the current profile through career anchors.

4. Career Management is a partnership between the employee, the manager and HCL

HCL’s Career Growth Model HCL’s Career Growth Model

Technical & Technical & Functional Functional

CompetenciesCompetencies

Consistent Consistent

PerformancePerformance

Business Business

CompetenciesCompetencies

Managerial/ Managerial/

Leadership Leadership CompetenciesCompetencies

Critical Critical ExperiencesExperiences

OpportunitOpportunitiesies

Long Long termterm

Career Career

GrowthGrowth

Career Power- A Win-Win for all

Takes responsibility for

career planning

process

Initiates career

discussions with

counselor and

manager

Co-develops actions

and executes plans

Regularly seeks

feedback

Commits to learning

and development

Employee

Assesses employee’s

strengths, opportunities,

goals and aspirations

Helps the employee plan

and focus on career goals

Discusses potential future

roles, opportunities and fit

Provides guidance, timely

feedback and

developmental support

Acts as a coach and

mentor

Career Counselor

Puts in place a robust

career framework

Provides a well-defined

structure to career

development process

Provides openness and

transparency w.r.t.

career planning

Commits to career

growth for employees

HCL

Partnership between the employee, career coach (manager/HR) and HCL

Sample Career Landscape

Click here to access

https://wf12.myhcl.in/ijp/homepage.aspx

360 Degree Feedback

360 Degree Feedback-07 participation

No. of employees who could givecould give feedback= 35942

No. of employees who gavegave feedback= 11945 (or 33.23%)

No. of managers who could receivewho could receive feedback= 3655

No. of managers who received received feedback= 3071 (or 84.02%)

A Feedback mechanism where results are published on the Company Intranet including that of the President.

The 360 Degree Feedback is a feedback mechanism for all managers. The 360 Degree feedback report is based on the HCL 360 Degree Feedback Competency System. 22 of Gartner’s 25 IS competencies have been mapped to 8 identified parameters.

The 360 Degree Feedback report gives a summary of rating of self vs all observers, overview of strengths and developmental areas in competencies of managers.

8 parameters8 parameters identified and each mapped to 22 of Gartner’s 25 IS Competencies

360 Degree Feedback

Identified Parameter Gartner Competency

Development of Others 1. Empowerment (H5)

  2. Performance Management (H5)

  3. Mentoring (H5)

Leadership 1. Impact and Influence (H7)

  2. Innovation (H2)

  3. Thinking Strategically (H4)

Personal Development 1. Personal Integrity values (H1)

Relationship 1. Customer/Client orientation (B9)

  2. Team Work/Team Leadership (H6)

  3. Relationship Building (H6)

Communication 1. Communication (B8)

360 Degree feedback: People Orientation

Task Orientation

Identified Parameter Gartner Competency

Business Enhancement 1. Set Directions (B1& B6)

  2. Proactivity (H10)

  3. Quality Orientation (T1 &T3)

Results 1. Result Orientation (H3)

  2. Decision Making (H1)

Task Management 1. Goal Orientation (H3)

  2. Planning and Organizing (B7)

  3. Resource Management (B5&B7)

  4. Result Orientation (H3)

  5. Analytical Thinking/Technical Orientation (H4)

HCL 360° Feedback Competency System

The Blake & Mouton Model

Click here to access

https://wf5.myhcl.in/Reports360Degree2007/FrontEnd/Instructions.aspx

Control My Financials!!

• My Personal Page

• A standardized system for online creation, approval & disbursement of cash vouchers

• Employee can raise and track the status of their claims

• Manage your flexi-basket!!

• Flexi System facilitates employees to define the amount to be claimed as reimbursement/ monthly salary for various components under the flexi basket.

• View your leave status.• View your monthly pay slips anytime online!!

• Automated workflow for medical claims.• Raise• Track status• Check Claim History

FLEXI SYSTEMClick here to access

https://www.myhcl.in/bpr/frontend/mypage.aspx

Administer my day @ Work

•My Inbox•My Time Sheet•My Travel •Leave management System•Swipe Card based ALARMS•My Smart Service Desk•Geo Arrival System•I-Fly•Free your mind@ 999•Find@ HCL

Time Management System- TSMS

•Enables Manager to track time invested in various activities and increase efficiency.•Enables employees in time planning.•To enter the time spent in various activities`• Provides data for measuring various metrics like billable hours required for customer billing•Employee can select activities from a master list & plan and update the time spent on these activities.

Purpose of TSMS

Click here to accesshttps://wf4.myhcl.in/TSMS/attendence.aspx

I- Fly

Complete tour of facilities and guide to overseas culture and

lifestyle of countries in which we are operating.

A special induction is also arranged to sensitize employee to the

place of work assignment.

Objective

1. To make one comfortable in the new environment

2. To help one understand the culture, communication and lifestyle of

the countries where they are going.

Click here to accesshttps://www.myhcl.in/home/destination.asp

SSD- Resolving Employee Queries

•Query resolution mechanism for employees.•Resolves employee concerns in just three clicks. Open SSD, raise a ticket & submit.•An employee opens a ticket which makes its journey on its own, to the related support executive to the manager if required...and comes back to you with the answer/solution.

SSD

Click here to access

https://wf5.myhcl.in/ssdnew/userinterface/demo22.asp

Knowledge @ HCL

The powerhouse of knowledge

An in-house Learning & Development team that offers a rich suite of learning events to build technical, business and behavioral competencies

A forum to recognize our sales force on overachievement of targets

Sales Champions

Talent transformation

An online tool for an employee to track learning for himself or for his team. Information management system to manage learning for all employees and provide learning opportunities for all.

Click here to access

https://wf7.myhcl.in/t2idportal/index.html

Transparency @ HCL

Transparency @ HCL

Dialogue with the CEO to share the concerns and ideas to make the environment and experience better & effective.

U & I conversations serve as a blog that serves as a platform for Vineet to pose questions and opportunity to benefit from collective wisdom.

The unique automated appraisal system is more “employee centric” and focused on employee development and assists in timely compliance and completion of the process. I4xl transparently shares ratings and views of manager's manager (Reviewer) with the employee Weekly polls are conducted to gather

employee feedback on several organizational topics like policy decisions, feedback on enabling functions, etc. The results are shared on the intranet and guide decision making.

A Team building catalyst program runs organization wide. This is completely employee driven and initiated with much fervor.

Click here to accesshttps://wf5.myhcl.in/uiblog/FrontEnd/BlogHome.aspx

Natasha : Virtual Assistant and Guide to HR policy portal

Management Dashboard

Reward and Recognition @ HCL

Decision Making Support @ HCL

•My Human Capital enables reporting metrics for employees, thereby supporting decision making.

•It gives the top analysis and employee wise view to identify the focus area.

•My Operational Information (Projects) is designed to be a 'Managers Desktop' where data pertaining to the managers is made available in a preprocessed form that enables him to use it for decision support/operational analysis. 

PM Smart is a web based application which provides a collaborative platform to manage Projects effectively and efficiently.

Click here to accesshttps://www.myhcl.in/MyHumanCapital/GEO/rptHomePage.aspx

My Human Capital: Integrated Systems Support

SAPI4excel

Net Console Joining

Exit Management SystemCompensation Console

PM Smart

PM Smart is a web based application which provides a collaborative platform to manage Projects effectively and efficiently

It is a centralized database for all Project related information and supports project throughout its Lifecycle

It caters to the needs of different Project types like Development, Maintenance, Enhancement etc.

•It enables a Cross-functional team at LOB level to manage

Help DeskInfrastructure supportProblem reporting and resolution with the help of PM Smart team

PM Smart

PM Smart Functionality Overview

Planning (PIR, PMP)

Change Management

Reporting & Dashboard

Collaboration (MOM and Action

Items)

User Services(Preference, Notification &

View customization)

Reviews

Risk Management

Issue & Defect Tracking

Scheduling/ Task Management

Document Management

Click here to accesshttp://pmsmart/pmsmart

Technology through Employee Life Cycle

TECHNOLOGY IN THE EMPLOYEE LIFE CYCLE

Smart RecruitJoining Console

Employee CommunicationEmployee Engagement

R & RKnowledge Management

Projects ManagementReporting & Analytics

Exit Management System

TENURE

Smart recruit Joining Console 360 Degree/ i4excel

My Projects portal/ Business Information

My Human Capital/

Employee First Councils

Opinion Polls/ i-gen

Natasha/ SSD/ My Human Capital

Exit management System

Win-Win for employee and HCL

Transformation JourneyModule 1

Module 2

Module 3 BPR Tools

• Empowerment @ HCL- InsiderEdge; EFC; 360 Degree feedback;

Career Power

•My Financials @ HCL

•My Day @ Work

•Project Management

•Reporting & Analytics

•HR Life Cycle

Employee First @ HCL

• Employee First Philosophy

• Our endeavor through technology

Module 4 “Employee First”- the Impact

Vision 2010:50% of our revenues will come from ‘new business areas’ – as we continue to focus on service innovation

2007:76% of our revenues today come from businesses that did not exist earlier

Revenue Breakup by Service Areas (LTM Total Revenue: $ 1.8 Billion)

11.3

24.8

36.3

15

12.5

Enterprise ApplicationServices

Engineering and R&DServices

Customer Application(Industry Solutions)

Infrastructure Services

BPO Services

Employee First has catalyzed achieving both business & people metrics

“Employee First”: The momentum continues….

HCL won the largest & second largest full service IT outsourcing deal by any Indian IT service provider

• LTM Total Revenue at US $1.8 billion;

• Revenues up 36.0% YoY

• Net Income at US$85.4Mn; up 12.0% YoY.

• Interim Dividend Payout of 100%, the 21st consecutive quarterly dividend

• EBIT at US$67.9mn; up 27.4% YoY

Latest Financial Results….

Delighted Employees….

Delighted Customers..

And hence today HCL is on a fast track growth….