business communication

An Indian Company’s Global Reach: Communication and “Cultural Integration” at HCL

ANITA PANDEY

RAJEEV RASTOGI

Interview Conducted by Anita Pandey on Nov. 18 & 23, 2010

“Indians are generally stereotyped to be very docile, easy to get along with, waiting to take orders. Our mannerisms, and the way we talk differ. Then the nodding of the head! And you don’t know what it means. You have to teach U.S. employees how to interact with their Indian counterparts, and this has to happen with the Indian employees, as well”

(Shami Khorana, President, HCL America)

“Our target is to ultimately create one team that can achieve shared objective in the world of collaboration and innovation.

Communication is taken very seriously at HCL.”

(Rajeev Rastogi, Director, HR,

Employee Transitions Subdivision, HCL America)

“Human capital has virtually endless potential to increase in quality and service, and the only way to increase this human capital is to put employees first. It is the key to continuing corporate growth.”

V. Nayar, CEO, HCL Technologies (cf. Nayar 2010).

Overview by Rajeev Rastogi

HCL Technologies is a leading global IT services company, working with clients in the areas that impact and redefine the core of their businesses. Since its inception into the global landscape after its IPO in 1999, HCL has focused on “transformational outsourcing,” underlined by innovation and value creation, and offers an integrated portfolio of services, including software-led IT solutions, remote infrastructure management, engineering and R&D services and business process outsourcing. HCL leverages its extensive global offshore infrastructure and network of offices in 26 countries to provide holistic, multi-service delivery in key industry verticals including Financial Services, Manufacturing, Consumer Services, Public Services and Healthcare. HCL takes pride in its philosophy of “Employees First” which empowers our 70,218 transformers to create a real value for the customers. HCL Technologies, along with its subsidiaries, had consolidated revenues of US$ 2.9 billion, as on 30th September 2010 on LTM basis (i.e., last 12 months).

HCL is a $5.5 billion leading global technology and IT enterprise comprising two companies listed in India – HCL Technologies and HCL Infosystems. Founded in 1976, HCL is one of India’s original IT garage start-ups. A pioneer of modern computing, HCL is a global transformational enterprise today. Its range of offerings includes product engineering, custom & package applications, BPO, IT infrastructure services, IT hardware, systems integration, and distribution of information and communications technology (ICT) products across a wide range of focused industry verticals. The HCL team consists of over 77,000 professionals of diverse nationalities, who operate from 29 countries including over 500 points of presence in India. HCL employees come from over 30 nationalities. HCL has partnerships with several leading Global 1000 firms, including leading IT and technology firms. For more information, please visit <www.hcl.com>.

Anita: Thank you for that informative overview.

Rajeev: Actually, IT outsourcing, our global service, is offered through HCL Technologies. HCL Infosystems Ltd is India’s premier hardware, services and ICT systems integration company offering a wide spectrum of ICT products that includes Computing, Storage, Networking, Security, Telecom, Imaging and Retail. HCL has India's largest distribution and retail network, taking to market a range of Digital Lifestyle products in partnership with leading global ICT brands, including Apple, Cisco, Ericsson, Kingston, Kodak, Konica Minolta, Microsoft, Nokia, Toshiba, and many more. In 2009, we were the leading player in the sales of HCL laptops and desktops in India.

Anita: So you’re like the HP of India.

Rajeev: You could say that.

Anita: What has been the secret to your global presence and globalization?

Rajeev: As you know, we have a diverse workforce and, through that only, a global presence. I would have to say that it was our new CEO, Vineet Nayar who started us on a transformation journey.

Anita: What kind of transformation did this visionary initiate?

Rajeev: First, he realized that thousands of employees were scattered in hundreds of locations. We needed something so that employees didn’t feel isolated and were always linked to the company’s philosophy and values. When people do not see each other, you might feel disconnected, and our CEO wants our employees to feel connected and engaged at all times. We therefore built scores of intranet based applications available to all employees and accessible from anywhere in the world.

Anita: What did it do?

Rajeev: First, it increased collaboration and dialog internally. Our CEO and top management started devoting 10-15 hours. p/ week to answering employee Qs through our U-and-I chat. Employees can/could also now interact with upper management. Also in the last five years, our CEO has employed a variety of strategies to reach out to employees by our annual program known as Directions. In the first year, for example, he visited all our global Centers and presented our organizational culture, mission, vision, philosophy, and strategies, so that all the employees were on the same page. In the second year, he visited those Centers with the largest nos. of employees. In 2009, representatives from multiple centers from all over the world were recruited to attend a live session in India on issues of importance to employees. All the worldwide employees attended a live two to three hour video conference through our portal. This year he is visiting all the major centers. This year, our CEO already visited NJ and all major centers in India and physically engaged in energizing employee. Touching the employee has been his primary objective. The road show continues. It’s on to San. Francisco, then London.

Anita: What is HCL’s preferred language of communication?

Rajeev: We use English.

Anita: Even though you have employees of so many nationalities? Why English?

Rajeev: It is spoken by everyone and since we started in India, and we use English for official purposes, it was the natural choice.

Anita: Do your employees use Indian languages?

Rajeev:: That will be the natural tendency. Though we encourage employees to communicate in English at work.

Anita: You made reference to your company’s organizational culture, mission, vision, philosophy, and strategies. Could you please define them for our readers?

Rajeev: Our CEO’s and HCL’s motto is “Employees first, customers second.” We see our employees as our most valuable asset. Our philosophy is recognized by thought leaders, including Nayar. We have found that this form of thinking has increased our growth exponentially and reduced accretion. I will send you a book that our CEO wrote and a booklet, so that you can read more about this.

Anita: Yes, please do.

Rajeev:: Let me explain our values in more detail. First is Employee first. The second is value-centricity. We believe that our biggest job is to provide value to the client.

Anita: How do you assess this?

Rajeev: Through customer satisfaction feedback, repeat business and other such ways. In fact we have a value portal in the Intranet I mentioned where our employees enter suggestions and these are presented to clients and some become projects. We believe maximum value is provided by those working directly on the projects with our clients, so we do everything to empower them.

Anita: That’s great that you look to your employees to constantly fine-tune your services. So your employee first philosophy is more like When your employee is first, your customer comes first, as the employee continues to ensure that your customer’s needs come first.

Rajeev: Exactly! That’s why we do employee rebadging, which I will talk about soon.

Anita: So what incentives are in place for your employees to provide value?

Rajeev: Actually, during our annual performance review, we are all accountable for innovation. Even my boss will ask me what 2-3 innovative ideas did I add to the company. Our bonuses are based on the value we add, measured by client satisfaction, so our employees are always trying to differentiate themselves. They know that for career growth, innovation and value added are most important--key performance parameters. In the value portal, they enter suggestions. These suggestions are reviewed by the committee comprising of HCL Engagement management and client.

Anita: Excellent!

R: The third value is trust, transparency and flexibility. We have very mature 360 degree feedback process where more than 70% of the employees participate and any employee can give the feedback and can also read the feedback received by top management including the CEO. We trust our employees and we offer trust bonus to our employees.

We also encourage employee self-service. We teach them how to do what we were doing for them. We don’t hide what we do. We understand that we are not perfect and we understand our weakness and work with the employees to constantly improve and innovate. We involve employees, and that’s how we grow and succeed.

Anita: Our readers would be most interested in your communication trainings.

Rajeev: I can also organize a demo to give you more insights on cultural training, I-Fly and other employee communication programs.

Anita: Perfect. Let’s do that at the follow-up session, after I’ve have a chance to look through the additional resources you’ll be sending. What are some communication channels you use to track or monitor progress or adherence to your company’s core values?

Rajeev: First, of course, there is a daily news feed, “HCL Today” that our corporate communication group sends to our e-mail accounts and this newsletter gives us an overview of how we are doing and what’s happening in the world. Then there is information about internal job openings and trainings, as well as other relevant news items. Couple of other Employee Communication programs:

· Opinion Poll – Before taking any major decision impacting employees, we do take opinion poll from the employees

· HCL Scholar – This is another program to integrate all HCLites globally. This is a certification program on HCL which we recommend for all business line employees.

· Smart Service Desk – We have created an Online help desk where employees can raise any HR issue.

Anita: Great! So tell us more about what you do.

Rajeev: When there is an acquisition or we takeover the outsourcing business of our clients, I take care of transitioning their employees to HCL or as we say, rebadging them. We ensure that the transition to HCL is smooth and assimilate them in HCL. We take them on a journey to HCL.

Anita: Transitioning their employees?

Rajeev: Yes, this is what separates us from most companies. We do rebadge a lot of client employees as a part of arrangement with the client when we do outsourcing with the client. The idea is to do give comfort to the client. Think about it. If users know Paul for many years and you trust his work, will you feel assured if he comes in as HCL employee?

Anita: Yes. .

Rajeev: Yes, Paul is known employee from the client, so Paul moves to HCL

Anita: What do you do for your employees?

Rajeev: We provide all our employees with cultural sensitivity training, to make sure communication is positive and to achieve efficiencies working across global cultures. Understanding the two cultures involved is critical.

Anita: What does this consist of and how long is it?

Rajeev: It consists of topics like communication in low context vs. high context cultures, difference in approach to situation/power/problems, conflict negotiation styles, effective communication methods, and Indian English vs. American English.bLt’s a two-hour capsule, face-to-face or Web cast and is region-specific. In addition, for our Indian employees who work with U.S. clients, we do extensive accent neutralization training in India. This training can vary from few hours for IT set up to 3 to 5 days for BPO employees.

Anita: What mechanisms do you have in place to assess communication enhancement in the different geographic settings in which HCL operates (e.g., India, the US, and Brazil)?

Rajeev: We have training evaluations or feedback and attendee self-assessments where they rate their skills before and after the training.

Anita: What if that (self-assessment) is incorrect?

Rajeev: Well, we’ve got to trust our employees. As long as they feel that the trainings are useful, and the clients are satisfied, we are happy. Managers can usually figure out when someone is having a communication problem. Also, the client is likely to contact them in such a situation.

Anita: That’s great--managers as coaches!

Rajeev: We try to break the barriers by communicating very well in a language understood by the client and in a way that is understood by everyone involved.

Anita: How often are communication problems reported by the client?

Rajeev: Rarely. When there are communication problems, they are usually at the beginning of the engagement period, as is to be expected. Most of our contracts are 5 to 7 or 10-year deals, so any such problems usually subside/quickly resolve themselves. It is a matter of both the parties to understand the communication methods and styles of each other. Sometimes we find that our employees initially feel hurt when U.S. clients write to them in what they perceive as curt or rude way but what Americans would describe as “short and sweet.” It takes time but they start becoming comfortable with the client’s style. Soon they learn to make their messages short and crisp, just the way Americans like them.

Anita: Who decides who needs to be trained?

Rajeev: All the employees who join HCL get some basic training in all the locations. Other training is on an as-needed basis, based on the feedback from the Managers and clients. That is, if the client asks, then we provide it. It consists of technical training like Advanced JAVA, training in project management and behavioral (soft skills/verbal/cultural) components. We find that communication style can be very different across cultures.

Anita: Yes, sometimes I find that some Indians don’t acknowledge each other.

Rajeev: That might be because there’s no space, so people might try to hide, or men may wish to be polite to women by looking away. So while many Americans love to ask you how you are, they usually do not want too much information in response. In fact, they are very low in sharing emotions or feelings, which many Indians cannot understand. Because we like to share our feelings.

Anita: So does that mean that someone like me, a trained linguist could secure a consulting position at HCL?

Rajeev: [pause: 3 secs.] Well, I’m not sure about that in US. I know that we do have linguists on our rolls (i.e. contract) in India.

Anita: Okay, so all such positions are taken then?

Rajeev: [laughs]

Anita: How about e-mail and other written communication? Does your training focus on these?

Rajeev: Yes, we cover differences in assumptions, and culture, and how American English is different. For example, Americans are more direct. We [Indians] are more indirect and might seem subservient in our communication style.

Anita: What kinds of communication problems have been reported or have you been aware of as far as writing is concerned?

Rajeev: If they mark a copy to their manager, then we might come to know [emphasis added] Generally, we start seeing a positive change in their writing – and even in their speech – within couple of months. They learn to adjust slowly slowly as they gain exposure to the client’s style and get accustomed to it.

A follow-up Virtual meeting was conducted using Microsoft Meeting Planner. This session began with an overview of HCL’s Intranet, and communication and cultural integration resources employed at HCL –see Figures 1 and 2 for examples]

1. Kaleidoscope What Americans Believe and Love: individuality, competition, honesty and directness, rationality vs. emotion. 2. Typical Behavioural American Characteristics a. They don’t make you feel like a foreigner (Though you feel!!!) b. They dress casually and nobody bothers which dress you wear, etc. This may however (sic) from situation to situation. c. They have a lot of patience. Especially when standing in queues or while driving. Nobody will try to jump before you in queue. d. They gesture a lot and shoot some funny (at least so it seems initially) phrases at you. But soon you’ll get used to it. e. They need a lot of feedback while talking. You have to acknowledge/nod continuously. Otherwise they feel you are not interested in listening or are confused. f. If they happen to come in your way or you happen to come in their way, you will promptly hear an “Excuse me” or “Excuse us.” 3. Professional Do’s and Don’ts If you do give a gift, it should not appear to be a bribe. 4. Space and Time Once you are past college, you very rarely simply show up at someone’s place. People have to invite each other over – especially if a meal is involved. 5. Workplace Culture and Customs a. Before you start your first day, get a hang of how the work environment is at the client place. b. There is a lot of individualistic approach. Every person’s input is given a lot of importance.  6. Channels of Command Often key people like secretaries or human resources directors, or even the person you have to go to when you need supplies, can hold real power in a company. 7. Corporate Social Life: grooming: hair care: shaving; informal and formal dress codes a. Many Americans find body odor extremely offensive. Ensure that you are always wearing a deodorant. Nearly $2 billion in deodorant is sold every year. b. Hair should be cut or styled frequently and kept clean. Washing everyday is advisable. Americans consider people with visible dandruff flakes on their hair or clothing to be social misfits. Dandruff shampoos are available.  Beards should be trimmed regularly. c. Americans brush their teeth twice a day, once in the morning, once at night. Many Americans also use dental floss, a special string that removes food particles from between the teeth. 8. Communication Offer a firm handshake 9. Restaurant Tipping If you receive poor or rude service, by all means leave a smaller tip or no tip at all. 10. Courtesy a. Introduce people to each other. b. If you are with a group of mainly English-speaking people and the conversation is going on in English, it is not polite to speak in your own or another foreign language for more than a few sentences. 11. Accepting Compliments If someone pays you a compliment, accept it graciously.  It is sincere.

Fig. 1. Sample Info. on American Culture on

I-Fly and Other HCL Training Resources

1. Indian culture is very old and rich.

2. Indians are very family-centered and hospitable.

3. Indians prefer to do business with people they know. Trust factor is very important.

4. Namaste (visual provided) is appreciated.

5. Men do not touch women.

6. If someone does not have a professional title, use the honorific title “Sir” or “Madam.”

7. Eye contact is very important.

8. Most Indians love movies. Bollywood movies, mostly Hindi language movies, are very popular and known almost everywhere.

9. Indians are punctual and they expect foreigners to arrive close to the appointed time.

Fig. 2. Sample Content on Indian Culture on I-Fly

Anita: Thanks for sharing your training resources with us. It’s so interesting to see how one culture is perceived by another.

Rajeev: Yes.

Anita: So I-Fly is not in audio form.

R: No audio now, but it’s a great idea. I will suggest it.

Anita: So (in Fig. 1), most of the information is presented in the form of observations and only some of it is presented as advice. Why is that?

Rajeev: Yes, that’s because Indians can make it out – the statements also contain advice.

Anita: What is one to make of “Though you feel!!!” in (2a)?

Rajeev: [laughs] Oh. That just means that you generally feel that you are not a part of the culture.

Anita: I see. In what respects?

Rajeev: For example, you cannot ask certain questions – they would be considered too personal – and they may not show what may be viewed as genuine interest in you, so you feel isolated.

Anita: Many are not elaborated upon. For example, (3) and (5a). How is one to know what to do?

Rajeev: Of course there is always room for improvement on our content We have a group who review the content periodically. Regarding the point on Gifts, I would say the value of the gift is an indicator. Typically follow IRS standards.

Anita: But that’s not stated here.

Rajeev: That’s the job of the communication trainer. Of course, most will understand or they would ask questions.

Anita: What does “They . . . shoot some funny . . . phrases at you” mean (i.e., 2d)?

Rajeev: That’s just talking about how Americans like to joke, and we are not used to that in business settings Making jokes in formal conversation is unusual.

Anita: So floss is like a magical string (7c, Fig. 1)!

Rajeev: [Laughs]

Anita: Where’s the information on the jeeb cholné wala or the famous Indian tongue-scrapper (in Fig. 2)? And how about (7b, Fig. 1). Isn’t it a bit of a stretch? It might also suggest that long hair should be cut.

Rajeev: Well, not really. The goal is to look and smell clean. Some people may not appreciate this. For example, every time I return to India, my barber will ask “Who screwed up your hair?” Even my parents ask me “Why is your hair so short?” Because here they cut the sides and buzz it off, and generally the cuts and styles are very different. They don’t do that in India. Over there, less hair is odd. Hair is generally longer and only police or Army people have short hair. Maybe you have observed that in Hindi movies, most of the heroes have long hair.

Anita: I hadn’t thought about that, but you’re right! Are you sure (9) is not a typo?

Rajeev: [Laughs]

Anita: Who determines the content of your culture/communication training? What are their qualifications?

Rajeev: Our communication team in India. The key qualification is practical knowledge and familiarity with both the cultures; these people must have lived in both places. For example, before I joined HCL, I worked with American companies in U.S. for 12 years, and I was born and raised in India, so I can speak confidently about both the cultures.

Anita: What about their degree training? Do they have to have a degree in linguistics, communication, or some such – or is hands-on experience the most important criterion?

Rajeev: Most important skill is real-life cultural experience. We have some people in India with such degrees also.

Anita: What percentage of your training focuses on language(s)? This includes dialect differences or the way in which English and languages in other regions in which you operate, for instance, are used?

Rajeev: A good portion. Take our Indian style of communication, for example. It is very formal when compared to the U.S., both in speech and writing. We have taken this over from legacy of the British. For example, in our Indian English, we use terms like “petrol pump” for “gas station,” “elevator” for “lift,” “queue” for “line,” “check” for “bill” – “bill” for us is the dollar note; and we talk in “lakhs” and “crores” (of rupees), while they use “millions” and “billions” to refer to lots of money. There are, of course, pronunciation differences, as well, as in “schedule” and “route.”

Anita: How about e-mail and other written communication? Does your training focus on these areas?

Rajeev: Yes, like I told you earlier, since we follow typically the British style, we get quite a few challenges from the U.S. clients since they write differently. Our communication is longish; we believe in going round and round. It is to build overall harmony vs. typical Americans’ [writing] which is short and direct. Of course, people change with time. It doesn’t happen overnight.

Anita: All employees have to undergo communication training at your company?

Rajeev: Yes. Unless they are coming from industry – senior people with 5years or more experience are preferred and we assume that they already have this knowledge, unless it comes out as a need through performance discussion or feedback. People who have joined fresh from the campus, it’s a must for them. We give them a two-day class that provides thorough information. In the IT environment, American people are used to dealing with Indians. We have been there for long time. It’s hard to imagine such an environment without Indians.

Anita: In your eight years at HCL, what kinds of communication barriers have you experienced and what lessons have you learned regarding communication in a borderless world? What, for instance, are the key aspects of seamless communication in your experience – both in speech and in writing?

Rajeev: Frankly, as part of our communication integration, we believe in extra communication. For example, we try to collaborate during the common time, which is usually between 8a.m. to 11a.m. EST. After every meeting, we try to make sure all the minutes are captured and put on our internal portal, so that we can verify: “This is what I have understood. Is this correct?” We have various tools to ensure seamless and continuous communication. Chatting tool is one. All our employees in India have a VOIP, so there is no cost for them to call us. There is no boundation to them. I can catch them on chat and VOIP anytime.

Anita: What (comm.) recommendations would you offer to other organizations seeking to be truly global – like HCL?

Rajeev: Couple of things. One must be sensitive to the cultures. Each has their own style of communication. For example, some parts of Europe are very slow, particularly in July and August, when it is vacation time. Some Americans might get frustrated by this. Those are very cultural things that we should respect. If there is empathy between employees in different parts of the world, people get along. We tell our people in India also “Do break ice.” Talk to them [i.e., Americans]. Talk it out so that you are two people integrated. We tell our American employees also to talk to Indians – about cricket, movies, and festivals coming up. Our target is to ultimately create one team that can achieve shared objective in the world of collaboration and innovation. All in all, communication is taken very seriously at HCL, and we have created tools to capture this. You can see here we even have a section for “Frequent Bloggers,” so we are constantly opening up more channels of communication.

Anita: Bohot bohot dhanyevaad! Thank you so much for your time and insights.

Rajeev: You’re most welcome. Best of luck with your article!

Reference

Nayar, V. 2010. Employees First, Customers Second. Boston: Harvard Business Press.

Anita Pandey

Morgan State University,

Baltimore, MD, USA.

E-mail: <[email protected]>

&

Rajeev Rastogi

Director, HR, Employee Transitions Subdivision,

HCL America.

E-mail: <[email protected]>