HCL regularize multinational services such as IBM, HCL

HCLTechnologies is a multinational IT services company in India. Shiv Nadar andhis fellow engineers found HCL Technologies in 1976. Despite receivinggovernment approval, HCL Technologies soon faced key external conditions thataffected the company historically. As the Indian government began to regularizemultinational services such as IBM, HCL Technologies began facing challenges asit increased competition in the technology industry. Customers were alsodemanding integrated IT services and off-shoring application development workin India to take advantage of lower costs. As one employee in HCL Technologiesmentioned, “Our bet was selling more and more computers, but other IT companieswere moving into services.

That was the new game, and we entered late.”             Vineet Nayer, an engineer whograduated from one of India’s leading business schools was appointed as a newleader for HCL Technologies in 2005. Nayer realized in order to differentiateHCL Technologies from other IT companies in India, he had to take a differentapproach. First, he initiated a “Mirror, Mirror” system where Nayer held a”metaphorical mirror” and asked the company where they stand and how they haveto transform.

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One unconventional strategy Nayer came up with was the “EmployeeFirst, Customer Second” (EFCS) strategy that “provided a unique employeeenvironment, to drive an inverted organizational structure, to createtransparency and accountability in the organization, and to encourage avalue-driven culture” as stated in the HCL Technologies article. Nayer’s ideabehind the EFCS strategy was to enhance the values of his employees by creatingan environment where employees are empowered and developed allowing employeesthe opportunity to produce bottom-line results to their full potentials.


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