Case Study

Right from its humble beginning in 1975, Microsoft had been an innovator in computer software and related services. Its product portfolio included the Windows series of operating system software for clients and servers, the office productivity suite - MS Office, business applications software, games, and software for mobile phones and handheld devices.

Managing human resources in the IT sector has been a challenge for most companies that have set up operations in India. These companies aimed to take advantage of the relatively low cost of technically competent labor in India as compared to the US and developed countries in Europe. There was a huge demand for skilled personnel in this sector, but companies confronted by a lack of sufficient numbers of skilled personnel to meet the demand.

Human Resource Management Practices

Recruitment and Selection

Microsoft India recruited both fresh graduates from academic campuses and experienced professionals in the IT industry. For campus recruitments, the selection process included written tests and several rounds of personal interviews.

Training and Development For trainees, Microsoft India conducted a training program named Leap Engineer Acceleration Program (LEAP) which imparted technical and personal skills required to carry out the job.

Career Management Microsoft India provided both vertical and lateral growth prospects for its employees in all the six business units present in India.

Flexible Work Timings Microsoft India followed a flexible work timings policy for its employees. A flexi-time policy enabled the employees to work according to their convenience liberating them from rigid work timings.

Employee Retention at Microsoft Global Technical Support Center (MSGTSC)
For employee retention, Microsoft India initiated various programs particularly in MSGSTC, Bangalore, where work was carried out around the clock (24 X 7) in order to provide technical support services to its customers in different nations and time zones.

Compensation and Benefits Microsoft India provided offered compensation packages on par or higher than the industry standards based on the technical skills and experience of the candidates. Employee benefits were standardized across employees.

Performance Management Microsoft India followed a candid process while evaluating the performance of employees and regarding their compensation packages. The process was transparent so as to enable employees to identify their performance levels and have a clear idea of what was required in terms of performance in order to reach to the next level.

Women's Empowerment Microsoft India conducted special recruitment drives exclusively for women in line with the overall IT industry's aim of raising the female-male ratio in the workforce.

Work-Life Balance In 2007, Microsoft India launched a program called 'Bring Your Child to Work' in a move to improve work-life balance among its employees.

Questions:

1. The practices are managing knowledge workers and their work-life balance. Comment
2. Why is it necessary to align the HR practices to the corporate mission and global/local business environment?