Low Employee Attrition Rate at hexaware:ET
2 views
Skip to first unread message
vaibhav shekhar
Nov 1, 2012, 6:09:11 PM11/1/12
to sm_se...@googlegroups.com, SMA_Sem4, sm_profvai...@googlegroups.com, retail-manageme...@googlegroups.com
1 NOV, 2012, 04.28PM IST, RANJIT SHINDE,ET BUREAU
Three factors that helped Hexaware report an all-time low employee attrition rate
- Story
- Comments (2)(2)
Read more on »Wipro|TCS|IT exporter|IT Companies|Infosys|Hexaware Technologies Ltd.|Hexaware Technologies|Hexaware|HCL Technologies|employee attrition rate|Atul Nishar
Since the last three quarters, Hexaware Technologies has been clocking relatively lower employee attrition compared with its mid-sized peers.
EDITORS PICK
BSE
361.40
10.60 (3.02%)
Vol:669634 shares traded
NSE
361.25
10.60 (3.02%)
Vol:6803137 shares traded
MUMBAI: Since the last three quarters, mid-tier IT exporter Hexaware TechnologiesBSE -0.67 % has been clocking relatively lower employee attrition compared with its mid-sized peers.
Its attrition in the September 2012 quarter was 8.4%, even below 11-15% reported by the top-rung players including TCSBSE -0.02 %, Infosys, and HCL TechnologiesBSE 0.16 %. It was also the lowest ever for the Mumbai headquartered IT services player.
So, what makes HexawareBSE -0.67 % beat its peers when it comes to retaining employees?
Keep them engaged...
Over the last six quarters, Hexaware has been able to bag some of the large deals in a competitive environment across verticals including capital markets and finance, travel, and healthcare.
It added 36 clients in the nine months ended September 2012 across geographies including the US, Asia-Pacific, and the troubled European region. It reported four clients in $10-20 million revenue segment at the end of the quarter compared to just one a year ago.
The influx of larger orders means employees find a reason to stick around longer and gain experience on big projects. "Employees are excited about the kind of projects we are handling," said chairman Atul Nishar in a recent interaction with ET.
...and manage salary expectations
Hexaware was among the few IT companies to increase salaries of offshore employees by 13% on average in the current year. Pay hikes remained at below 10% at most players.
Better growth prospects
While some of the bigger players such as InfosysBSE -0.03 % and WiproBSE 3.02 % are finding it difficult to grow business despite their large size and higher market penetration, Hexaware has continued to grow business in double digits on a year-on-year basis.
Nishar expects to beat the average industry forecast of 11-14% revenue growth for the fiscal. It has also been growing at a faster rate at a time when some of the other mid-sized IT companies are reporting stagnation. This is a crucial factor for employees looking for a steady growth path.
Its attrition in the September 2012 quarter was 8.4%, even below 11-15% reported by the top-rung players including TCSBSE -0.02 %, Infosys, and HCL TechnologiesBSE 0.16 %. It was also the lowest ever for the Mumbai headquartered IT services player.
So, what makes HexawareBSE -0.67 % beat its peers when it comes to retaining employees?
Keep them engaged...
Over the last six quarters, Hexaware has been able to bag some of the large deals in a competitive environment across verticals including capital markets and finance, travel, and healthcare.
It added 36 clients in the nine months ended September 2012 across geographies including the US, Asia-Pacific, and the troubled European region. It reported four clients in $10-20 million revenue segment at the end of the quarter compared to just one a year ago.
The influx of larger orders means employees find a reason to stick around longer and gain experience on big projects. "Employees are excited about the kind of projects we are handling," said chairman Atul Nishar in a recent interaction with ET.
...and manage salary expectations
Hexaware was among the few IT companies to increase salaries of offshore employees by 13% on average in the current year. Pay hikes remained at below 10% at most players.
Better growth prospects
While some of the bigger players such as InfosysBSE -0.03 % and WiproBSE 3.02 % are finding it difficult to grow business despite their large size and higher market penetration, Hexaware has continued to grow business in double digits on a year-on-year basis.
Nishar expects to beat the average industry forecast of 11-14% revenue growth for the fiscal. It has also been growing at a faster rate at a time when some of the other mid-sized IT companies are reporting stagnation. This is a crucial factor for employees looking for a steady growth path.
Thanks and Regards,
Vaibhav Shekhar
Faculty (Marketing & Strategy Department)
Vaibhav Shekhar
Faculty (Marketing & Strategy Department)
C-205, Academic Block
IBS - Hyderabad
Contact: +91-9010288241
Reply all
Reply to author
Forward
0 new messages