Abstract

This case study describes the Infosys Role and Career Enhancement (iRace) initiative at Infosys Technologies Ltd. (Infosys). It brings out how the company went in for a major restructuring initiative and the repercussions it had on the perception among people of its being an employer of choice. The iRace initiative was meant to map positions with the skill level of an employee. However, it led to increasing amounts of employee activism, some of which was not favourable to Infosys. Infosys had always been at the forefront of developing and implementing HR initiatives. However, iRace was different – it was conceived when there was an economic downturn and a need was felt to improve the technical competencies of the emp-loyees. However, the employees were used to the privileges under a high growth environment and the cuts and rationalization imposed as part of the iRace initiatives proved to be too difficult for some of the employees to understand. The discontent was expressed in terms of a rising attrition rate and badmouthing the company manage-ment on social media sites and forums. Eventually, the company had to formulate and impose a social media policy that defined interaction on social media and networking sites. Infosys also had to allocate space within the company intranet for dissatisfied employees to voice their opinion. Moreover, though the company continued with iRace, it decided that all subsequent policy changes would undergo a probation period. Infosys also decided to take back some of its experienced and capable staff through the ‘green channel’.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand various issues and challenges related to career management
• Understand the issues surrounding organizational re-structuring programs
• Bring out the importance of communication under periods of organizational change
• Appreciate the critical role played by a company’s leader-ship in formulating and executing a strategic vision
• Understand the need to moderate content on social networking sites with adequate policies

Keywords

Career Structure, Career Management, Career Paths, Employee discontent, Employee Mapping, Employee turnover, Career streams, HR as a business partner, Employee retention, Organizational Structure, Employee competencies, Employee talent, Policy communication, Employee performance, Stereotypes, Social Media, Training, HR initiatives, Reward Systems, Career Lattice, Green Channel, Career stagnation, Infosys