Innovation is the key to be successful in this highly competitive offshore market. Innovation not only in the product/service offerings to the client, but in each function (i.e. HR, Finance, corporate communications, marketing..) of the IT firms.  I would like to share a couple of them.

Rehiring: New Hiring strategy 

IT firms in India have started rehiring employees. Almost all IT firms are geared to hire their ex-employees. The pre-dominant reasons are companies can save on cost of hiring and there is a talent crunch at the experienced level hires (read as Middle-level hires).  

IT firms have adopted an unconventional approach to rehire ex-employees. One good example for this unconventional approach is launching alumni portals.  

The productivity of an individual employee depends on experience and skill-sets and an important point that everyone agrees is the ability to adjust to the culture of an organization.Lot of individuals have the right experience and skill-sets but may not be able to adjust to the culture of an organization, they struggle a lot to skim through the new organization that they have joined.  

According to The Gallup organization, the actual cost of hiring depends on settling time and learning time. This cost works around 150% of the annual cost to company (CTC). While rehiring, you can bring the cost down to about 70%. 

Satyam recently launched an alumni portal ReMember, as part of its rehiring effort. The alumni portal has about 7,800 registered members, where they can update their resume and send it to the recruitment team. As a result of its rehiring efforts, about 30 employees return to the company every quarter, they also bring new employees through referral system. 

Rehiring is not poaching 

In rehiring the employees, who make the first contact with the ex-employer and express their interest to join. So,It is not poaching.  Rehiring also adds up an additional responsibility to the firm to position the returning employee’s such a way that the existing employees don’t feel threatened and this rehiring effort not lead to any side effect like rise in attrition.  

In-house networking sites: New organizational culture building tool

IT firms are geared up to create their own social networking website, which enable their employees spread across various locations to interact with each other. 

Global Logic has an internal social networking site titled “Glue”. Similar internal social networking platforms were launched by IT firms like IBM, Google, TCS and Wipro.  

Industry experts feel that these sites help new employees to assimilate into company’s work culture at a faster pace and builds positive workplace relationships. These sites become a common platform, where employees exchange ideas, information, and common interests. It also helps in building a strong organizational culture. 

These sites also enables employees, whenever they go to overseas facility of the firm, they are familiar with their colleagues there. 

Through these internal sites, employees are able to chat, blog, share pictures, reviews and create their own communities. This creates a sense of belongingness that makes employees to stay for longer durations and bring good returns to the firm.  

Hope to see a lot more like this.

IT firms are well linked to the Indian and US economies, any change in economic conditions has an impact on the firms in this industry. It is the innovative approach across the firm going to determine an all time success. ¼/p>