Employee FirstCustomer Second“World’s most modern management idea” Fortune Magazine

Quick Facts

Quick FactsHCL Technologies is a leading global IT services company with over $2 billion revenues.

Quick FactsHCL Technologies is a leading global IT services company with over $2 billion revenues.

In February 2005, Vineet Nayar, CEO, HCL Technologies announced a radical new philosophy, “Employee First, Customer Second” (EFCS).

HCL Technologies is a leading global IT services company with over $2 billion revenues.

In February 2005, Vineet Nayar, CEO, HCL Technologies announced a radical new philosophy, “Employee First, Customer Second” (EFCS).

Through this philosophy the aim was to create a unique employee organization, drive an inverted organizational structure, create transparency and accountability within the organization, and encourage a value driven culture.

Quick Facts

HCL realized that in service industry the value gets created not in the back office but in face to face interaction between the customer and employees.

Hence it is important to empower employees so that they deliver more value to the customers. When an employee is delighted, he will delight the customer.

This gave birth to a path breaking philosophy called : 'Employee First, Customer Second‘, termed by Fortune as "The most modern management idea".

Why it began?

Five pillars of Employee First philosophy

Employee First Initiatives

Employee First Initiatives

Smart Service DeskAn automated query resolution mechanism for employees. SSD enables employees raise their concerns for adequate redressal in just three clicks. On an average 31,000 tickets are raised every month.

i4excelEmployee performance portal which handles end to end appraisal process of all employees. 24,000 appraisals are completed in 30 days in 2007 vs 9,200 in 45 days. i4excel transparently shares ratings and views of manager’s manager (reviewer) with the employee.

Directions“Directions” is an annual company-wide event that takes strategic discussions out of closed-door meetings to all employees. The CEO and the leadership team present at these meetings share the vision and strategy of the company as well as respond to questions in interactive sessions.

Directions allows everyone in HCL to speak the same language and understand how their individual contributions fit in a larger organizational framework.

Vineet, CEO HCL Technologies takes two weeks each year to prepare for the event and spends another two weeks attending Directions events across the world.

U&IA two way dialogue mechanism between CEO and the employees. Nearly 90% questions have been answered by Vineet himself.

He spends 7 hrs. in a week replying to the queries raised. U&I started a reverse blogging, where in CEO posts questions to the employees.

EFCEmployee First councils work on goals that are of common interest to all employees and also help maintain a balance between work and life. The councils allow employees to unleash their creative talent. Last year over 1,500 events were conducted by EFC councils.

Women First CouncilThe purpose of this council is to focus on women development and to create an inclusive, supporting and caring environment. A women exclusive website was launched which has information of all women related policies, safety and security measures, work-life balance techniques.

Career PowerA comprehensive career planning and development program, which provides a framework where each employee is empowered to plan desired career path.

O2 league of ExtraordinaryO2 is a system created in HCL to recognize high performers. The league constituted those employees who have been outstanding performers since last 2 years.

XtramilesHCL’s created a unique reward and recognition portal where all employees can see extraordinary efforts & performances and appreciate them at a click of a button. The purpose of Xtramiles is to ensure timely and public instantaneous recognition of employees who have displayed exemplary performance.

MITRMITR lends helping hands to all HCLites and their family members by providing them expert counseling 24X7 on any issue concerning them.

GenieThe personal assistant, the all purpose coordinator, the private shopper, the entertainment guide, the travel planer, located within the office premises & programmed to take any request. Genie can manage all trivial and not so trivial chores.

F.U.N.D.O.O. F.R.I.D.A.YIs synonymous with fun @ work at HCL Technologies.

Weekly PollsPolls are conducted on weekly basis to gather employee feedback on various issues. The results are shared on the intranet and guide decision making.

CatalystA employee driven team building program, catalyst enables much of the desired work-life balance for his/her team by rolling out various activities in a year.

TrainingHCL has adopted a number of innovative methods of training and developing talent within the organization. The extensive program includes:

Five methodsComputer Based Training, Instructor Led Training, Web Based Training, On the Job Training and Blended Learning.

Four tracks in Campus, Fresher, On-going, Re-skill.

Three streams Technical Training, Domain Training, and Behavioral Training.

Two channelsLeaders Teach (an internal training program), Talent Transformation and Intrapreneurship Development Team.

Open 360 degree feedback‣ HCL’s annual survey of 20,000 people across the company rates 1,500

managers on 20 aspects of their performance.

‣ There is nothing unusual in running such a process. But what is unusual is that the results of the survey are aggregated and published online for every employee to look at

‣ This is a simple change in practice, but one with profound consequences. For the manager, there is nowhere to hide if he or she gets negative feedback. Most managers take the feedback very seriously and make changes; a few choose to move on

‣ 360-degree feedback is not linked to the annual appraisal or to the compensation package. It is open for everyone to see, and that is enough to encourage changes in behavior.

Results‣ HCL’s attrition rate has dropped significantly for nine

consecutive quarters.

‣ Employee utilization rate and revenue/employee has seen an increase .

‣ Through Employee First initiative, HCL strives to provide excellent human resources leadership and expertise to the organization, and also attract and retain a workforce that is diverse, inclusive and committed to creating quality customer service.

Results‣ ‘Employee First’ is featured as the ‘World’s Most

Modern Management Idea’ by Fortune Magazine and termed as ‘Disruptive Force’ by a leading analyst group.

Key Learnings‣ Make yourself the example

Vineet Nayar’s idea of making 360 degree feedback public online was designed to hold managers accountable. The first year Nayar posted his own review before asking his team to follow.

‣ Put your time on lineVineet spends about seven hours in each week to answer questions asked by employees.

‣ Technology Leverage technology to make life simple. Automate process and empower employees to raise there voice.

‣ ChangesPut in place a series of small changes that will potentially have a dramatic effect on how people work.

HCL Employee First initiative reveals how innovation can apply to organization

systems as well.

For more information visit

www.employeefirst.in