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INSPIRE TECHNOLOGIES - FAILED TO INSPIRE? A Case Study touching on organizational and HRM issues of a growing startup based in India. Pawan Alamchandani MBA – Human Resources Batch of 2010-2012 Symbiosis Institute of International Business Mobile No. - +91-9860843603 Email – [email protected] Disclaimer: The name of the organization and the case is fictitious and the sole purpose is to uncover and understand HR issues arising due to

Inspire technologies failed to inspire

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Page 1: Inspire technologies   failed to inspire

INSPIRE TECHNOLOGIES - FAILED TO INSPIRE?

A Case Study touching on organizational and HRM issues of a growing startup based in India.

Pawan AlamchandaniMBA – Human Resources

Batch of 2010-2012Symbiosis Institute of International Business

Mobile No. - +91-9860843603Email – [email protected]

Disclaimer: The name of the organization and the case is fictitious and the sole purpose is to uncover and understand HR issues arising due to failure of strategy implementation.

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Let’s Know Inspire

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Inspire Technologies

• Estd. – 1994

• Founders – Five first generation Entrepreneurs with a vision to create technological difference.

• Sector – IT Products & Services

• Revenues – USD 900 Million (March’11)

• Employee Strength – 11000

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Inspire (Org. Chart)

Managing Director

Director – Marketing & CR

GM

DGM

Sr. Manager

Manager

GM

Director – IT Solutions & Operations

GM

Director - Finance Director – HR and Administration

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Inspire Technologies – Sector-wise business contribution (March’11)

Serial No. Sector Business Contribution (%)

1. Manufacturing and Automobiles

43

2. Healthcare 27

3. BFSI 12

4. Retail 8

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Inspire – Over the Years

1994 2000 2011

Revenue (US $ Mn) 1 (Seed Capital) 100 900

Employee Strength 10 2500 11000

Year

Parameter

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Inspire Technologies – Core Beliefs

• Autonomy

• Innovation

• Collaboration

• Customer Engagement

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HR Systems & Processes

• Dedicated HRM & Administration Function put in place in 1998

• Major focus on recruitment to meet growth

• BARS used for Performance Appraisal

• Occasional Trainings (No Training & Development Center)

• Internship Program

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Reality Check – HR Practices

• Recruitment becomes the face of HR.

• No correlation between Performance and outcome.

• No focus on Training and Development

• No Succession Planning – Senior positions filled through lateral hiring

• Erroneous Compensation Designs – Internal Parity Issues

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Impact of HR Practices1. Employee Resentment

due to external hiring

for senior positions.

2. Favoritism valued over

Performance3. Strained

Mentor-Mentee

Relations

Lower CSI (Customer Satisfaction

Index)

Employee Attrition

BUSINESS IMPACT

Disengaged Employees

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Isn’t it then that HRM is an intrinsic part of Business Strategy?

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How should HR Practices in an organization MATURE?