workforce diversity in india at ibm

7/28/2019 Workforce Diversity in india at IBM

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CHAPTER - 1

Meaning & Concept of Workforce Diversity

(Figure No. 1.01) Diverse Workforce Source : Ref No. [3]

1.1.1 The Meaning of Diversity

Not all methods work for all people. In particular, we want to employ methods that

successfully introduce (or re-introduce) people to their bodies, minds, souls & spirits, in such

a way that they will start to make the habits of balance & synergy permanent in their lives.

Diversity: Diversity means different people deserve different approaches & methods.

Consider that human beings experience their world simultaneously on all human levels

physically, emotionally, intellectually & spiritually. Moreover, two people may experience

the same event in profoundly different ways. Part of that experience is given by conditioning


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(their past & likely future), in other words the way they have learned to process information.

But another part of that experience is given by the senses & temperaments they were born

with -- the way they are genetically predisposed to process information.

(Figure No. 1.02) Organisational Focus on Diversity & Inclusion Source : Ref No. [8]

1.1.2 Workforce Diversity : Changing the Way You Do Business

As we enter the 21 st century, workforce diversity has become an essential business concern. In

the so-called information age, the greatest assets of most companies are now on two feet (or a

set of wheels). Undeniably, there is a talent war raging. No company can afford to

unnecessarily restrict its ability to attract & retain the very best employees available.

Generally speaking, the term Workforce Diversity refers to policies & practices that seek to

include people within a workforce who are considered to be, in some way, different from those

in the prevailing constituency. In this context, here is a quick overview of seven predominant

factors that motivate companies, large & small, to diversify their workforces.
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1.2.1 Psychological Concepts of Diversity Initiatives:

(Figure No. 10.3) Concept of diversity Source : Ref No. [8]

Psychological concepts behind diversity initiatives revolve around two main principles. The

first centers on recognizing, understanding, & overcoming ingroup-outgroup dynamics, while

the second aims to improve attribution & the resulting attitudinal-behavioural linkages of the

majority group. According to the authors, workplace related ingroup-outgroup dynamics occur

whenever the cohesion of an existing group is challenged by the arrival of some type of

foreign, outside influence. For example, due to culturally-oriented physical, cognitive-

emotional, or behavioural traits, an Asian manager joining a predominantly Caucasian

workgroup may be perceived as different or non-equivalent by members of the majority group.

With possibly only limited exposure to diverse employees & their individual idiosyncrasies,

majority group members may trust in, & provide more attention to their in-kind colleagues,

which thus forms the in-group. Such dynamics carry the high potential for discrimination &

suboptimal utilizatio n of group members diverse knowledge, skills, & abilities. Especially

when joining previously established groups, out-group members may never have a fair chance

to demonstrate how significantly they could contribute, thus cannot establish sufficient mutual


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trust necessary for productive cooperation. This lack of trust may lead to either underutilization

or micromanagement of the out-group members, or a substantial overutilization of in-group

members, which may cause feelings of increased burn-out. As a result, productivity &

performance may actually suffer in both in- & outgroups. Attribution & resulting attitudinal-

behavioural linkages reflect the second psychological concept grounding diversity initiatives.

According to Kassin, Fein, & Marcus, attribution describes the process of how individuals

perceive their environment. While in the first step of personal attribution perceptions of others

originate from the premise that individuals are completely responsible & in control of an

action, the second step of situational attribution moderates such perception by taking into

account environmental factors leading or contributing to a behaviour. For example, the Asian

manager might display self-effacing behaviours when dealing with the group leader, as is

dictated by his or her cultural heritage. However, Western cultural, & more individualistically-

oriented group members may perceive this as a sign of inferiority, & lack of critical thinking

skills (i.e. personal attribution), instead of connecting such behaviour with its cultural

implications (i.e. situational attribution). Accepting diversity in the workplace thus relies on the

cognitive effort of the majority group to perform both attribution steps in order to avoid

stereotyping or even overt or aversive discrimination.

Workforce diversity is a complex phenomenon to manage in an organization. The management

of workforce diversity as a tool to increase organizational effectiveness cannot be underscored,especially with current changes sweeping across the globe. It is argued that organizations that

value diversity will definitely cultivate success & have a future in this dynamic global labor

market. Workforce diversity management has become an important issue for both governments

& private organizations. Its importance has mainly been brought about by the free movement of

labor due to globalization & the fight for human rights by certain minority groups who feel

excluded from the employment sector.


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The workforce diversity emerged mainly to further the availability equal opportunities in the

workplace. This equal opportunity philosophy is aimed at ensuring that organizations make the

most out of the difference from a diverse workforce rather than losing talent which might assist

the organization to be more efficient & effective. The increased mobility & interaction of

people from diverse backgrounds as a result of improved economic & political systems & the

recognition of human rights by all nations has put most organizations under pressure to

embrace diversity at the work place. Diversity brings with it the heterogeneity that needs to be

nurtured, cultivated& appreciated as means of increasing.


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1.3.1 How to manage a diverse workforce in organization

(Figure No. 1.04) How to manage a diverse workforce Source : Ref No. [7]

Companies can succeed at diversity if the initiative to create, manage & value the diverse

workforce has the full support of the top management.

The following are the conditions which would make workforce diversity a success in any

organisation:

1) The organization should assign this work to a senior manager. The organization should link

concerns for diversity to human resource management decisions around recruitment, selection,

placement, succession planning, performance management, & rewards.


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2) The organization should create such a working environment as will increase the motivation,

satisfaction, & commitment of diverse people.

3) Performance standards must be clearly & objectively established, effectively communicated,

& used on objective criteria without any bias. Identify desirable & undesirable behaviors that

must be based upon performance feedback discussions involving a diverse workforce.

4) The strategy (diversity or otherwise) must be based on the will of the human resources,

strength, & culture of the organization. Managers must understand their firms culture first &

then implement diversity strategies according to that culture.

5) Training & development programs will improve the skills in dealing with the day to day

diversity dilemmas. This will help managers to be aware on how power relations impact on

stereotypes of groups & on perceptions of individuals & the expectations.

6) Communi cating intercultural it will aid in managing a diverse workforce. An individual will

be able to understand how cultural & ethnic differences shape the conflict process & coming up

with conflict resolution strategies. There will be able to negotiate outcomes with cultural

differences in mind.

7) Mentoring programs, involvement of experienced advisors & helps others for a period of

years. This mentor should be able to advise employees on the whole concept of workforce

diversity & the reasons why diversity should be managed in the workplace.

8) Assessment of ones beliefs about work values, being able to identify work values of others

from different cultural backgrounds & examination of the leadership assumptions from a

multicultural perspective.

9) Creation of the support system, to reduce isolation & discrimination. This can be done

through the encouragement of a formal system & informal networks.

10) Language competence, lack of language skills in multicultural environments is a significant

barrier to building a multicultural organization.


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11) The rationale for diversity training programs is often misunderstood at all levels. So it is

important to first communicate what diversity is & what the organization hopes to achieve by

managing it more effectively.

12) Present a clear business case for diversity initiatives & link with changing demographics &

social changes. This gives diversity a context that enhances understanding.

13) Capitalize on the existing diversity within your organization by ensuring that you include

both senior & line managers on your diversity training courses as well as employees from

different functions & departments.

14) Ask participants for examples from their own experience where they have not been treated

fairly or with mutual respect. This helps to personalize the program so people see that diversity

is a concept with something in it for them.

15) And finally the diversity training, this would create the awareness of what the concept of

workforce diversity is & the provision of certain information needed to create behavior changes

that are required to effectively manage & work within a diverse workforce.

1.3.2 Disadvantages of workforce diversity in the Workplace

Diversity of the workforce in organizations has its benefits but is below few disadvantages of

workforce diversity. Many people feel threatened by working with people of a different age,

sex, or culture.

First, there is an increase in the cost of training. This increase comes from costs associated with

seminars, programs & lectures given to promote diversity in the corporation. These types of

training are given to all levels of staff within the organization. They teach employees how to

accept the personalities & ideas or thoughts of others. These programs also teach one how to

deal with conflicts & prejudice in a professional & civil manner.


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A disadvantage of diversity in the workplace is an increase in conflicts. Conflicts arise when

two or more individuals or groups do not see eye to eye on a particular situation. In regard to

diversity, conflicts arise largely due to ignorance. Prejudice feelings or derogatory comments

cause a lack of acceptance. This can produce negative dynamics such as ethnocentrism,

stereotyping & culture clashes. The mo st common conflict comes from one feeling superior. If

management ignores such conflicts, the company's performance may suffer. If conflicts can be

managed & controlled, creativity & performance can be increased.

Employers will work harder to gain acceptance by creating a solution or invention first. This

can be the case when managers reconcile competing goals, promote in a representative manner,

stand behind the minority group member, & act when resources are plentiful & cultural

differences are low or well understood. Conflicts always arise wherever they are human beings

but they should be managed properly for the benefit of the organization.

Increases in labor turnover & absenteeism are another disadvantage in having a diverse

workplace. Research has shown that the turnover rate for African Americans in the US

workforce is 40 percent greater than whites.

Another study by Corning Glass stated that between the years 1980 - 1987, the turnover rate for

women in a professional job was two times higher than males. Women also have a 58 percent

higher absentee rate than men. Yet, another study shows that a person, who is not a member of

the inner group, will be one of the first to leave a company. Some research contradicts the

idea that flextime reduces these rates; however absenteeism & turnover can cost a company up

to & Over $3 million annually. Workforce diversity increases labor turnover & absenteeism in

organizations.


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Mismanaged diversity can have long-reaching effects on employee satisfaction & productivity.

Employees who perceive themselves as valued members of their organization are harder

working, involved, & innovative.

Unfortunately, minority-group members often feel less valued than do majority-group members

due to Stereotyping, ethnocentrism & prejudice. Mismanagement of diversity in the form of

denied access or unfavorable treatment can have negative consequences, such as inhibiting

workers' abilities & motivation. This leads to lower job performance. Therefore, when an

organization ignores the existence & importance of workforce diversity, conflict can emerge &

neither the corporation nor its employees will realize their potential.


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CHAPTER 2

Significance Of Workforce Diversity

2.1.1 Benefits of managing workforce diversity

(Figure No. 2.01) Benefits of a diverse workforce Source : Ref No. [7]

Managing diversity can create a competitive advantage. Potential benefits of this diversity

include better decision making, higher creativity & innovation, greater success in marketing to

foreign & domestic ethnic minority communities, & a better distribution of economic

opportunity. According to one study, culturally diverse groups relative to homogeneous groups

are more effective both in the interaction process & job performance.


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Else benefits occur after a diverse group has been together for a period of time. In addition, a

number of large companies in Canada such as Petro Canada, Warner Lambert, Bank of

Montreal & the Movement des Caisses Desjardins, according to a study by the Conference

Board of Canada, have recognized the competitive advantage in diversity. Research indicates

that greater diversity can create higher levels of dissatisfaction & turnover. Maintaining

diversity in originations may be important, however, for creativity, & for improving

representation & access to power in view of the demographic changes in the workforce

& equal opportunity, employment equity/affirmative action, & human rights legislation.

Organizations with a diverse workforce can provide superior services because they can better

understand customers needs. Hiring women, minorities, disabled, etc. will help organizations

to tap these niche markets & diversified market segments. As all the segments of society have

a stake in the development & prosperity of society as a whole, creating & managing a diverse

workforce should be seen as a social & moral imperative. As the economies are shifting from

manufacturing to service economies, diversity issues will gain importance because in a service

economy effective interactions & communications between people are essential to business

success.

As globalization is increasing, diversity will help organizations to enter the international arena.

Diversity enhances creativity & innovation & produces competitive advantages. Diverse teams

make it possible to enhance flexibility & rapid response & adaptation to change. Address legal

concerns; generally legislation is to promote gender equality therefore managing a diverse

workforce helps in addressing concerns against discrimination illegal in the working situation

so as to improve human rights. For example women rights in the area of pregnancy &

maternity. And this in turn helps to promote fair opportunities in the field of employment &


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vocational training. Enrich an organizational human capital; managing a diverse workforce

entails a minimization of cloning that is preventing the production of an exact copy in selection

& promotion. This leads to a wider range of ideas & abilities, offering greater scope for

innovation & competitive performance in the future therefore enriching an organizations

human capital.

2.2.1 Following are some of the dimensions which helps us in understanding diversity more

easily :

(Figure No. 2.02) Dimensions of diversity Source : Ref No. [9]


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1) As a Social Responsibility

Because many of the beneficiaries of good diversity practices are from groups of people that

are disadvantaged in our communities, there is certainly good reason to consider workforce

diversity as an exercise in good corporate responsibility. By diversifying our workforces, we

can give individuals the break they need to earn a living & achieve their dreams.

2) As an Economic Payback

Many groups of people who have been excluded from workplaces are consequently reliant on

tax-supported social service programs. Diversifying the workforce, particularly through

initiatives like welfare-to-work, can effectively turn tax users into tax payers.

3) As a Resource Imperative

The changing demographics in the workforce, that were heralded a decade ago, are now upon

us. Todays labo ur pool is dramatically different than in the past. No longer dominated by a

homogenous group of white males, available talent is now overwhelmingly represented by

people from a vast array of backgrounds & life experiences. Competitive companies cannot

allow discriminatory preferences & practices to impede them from attracting the best available

talent within that pool.

4) As a Legal Requirement

Many companies are under legislative mandates to be non-discriminatory in their employment

practices. Non-compliance with Equal Employment Opportunity or Affirmative Action

legislation can result in fines and/or loss of contracts with government agencies. In the context

of such legislation, it makes good business sense to utilize a diverse workforce.


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5) As a Marketing Strategy

Buying power, particularly in todays global economy, is represented by people from all walks

of life (ethnicities, races, ages, abilities, genders, sexual orientations, etc.) To ensure that their

products & services are designed to appeal to this diverse customer base, smart companies,

are hiring people, from those walks of life - for their specialized insights & knowledge.

Similarly, companies who interact directly with the public are finding increasingly important to

have the makeup of their workforces reflect the makeup of their customer base.

6) As a Business Communications Strategy

All companies are seeing a growing diversity in the workforces around them - their vendors,

partners & customers. Companies that choose to retain homogenous workforces will likely find

themselves increasingly ineffective in their external interactions & communications.

7) As a Capacity-building Strategy

Tumultuous change is the norm in the business climate of the 21 st century. Companies that

prosper have the capacity to effectively solve problems, rapidly adapt to new situations, readily

identify new opportunities & quickly capitalize on them. This capacity can be measured by the

range of talent, experience, knowledge, insight, & imagination available in their workforces. In

recruiting employees, successful companies recognize conformity to the status quo as a distinct

disadvantage. In addition to their job-specific abilities, employees are increasingly valued for

the unique qualities & perspectives that they can also bring to the table. According to Dr.

Santiago Rodriguez, Director of Diversity for Microsoft, true diversity is exemplified by

companies that hire people who are different knowing & valuing that they will change the

way you do business.


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For whichever of these reasons that motivates them, it is clear that companies that diversify

their workforces will have a distinct competitive advantage over those that dont. Further, it is

clear that the greatest benefits of workforce diversity will be experienced, not by the companies

that that have learned to employ people in spite of their differences, but by the companies that

have learned to employ people because of them.

8) Mutual Respect

Workplace diversity fosters mutual respect among employees. Whether employees work in

groups or teams comprised of co-workers with varied work styles, or colleagues who represent

different cultures or generations, a synergistic work environment become the norm. Although

an idyllic atmosphere may be difficult to achieve, employees nevertheless recognize the many

strengths & talents that diversity brings to the workplace & they gain respect for their

colleagues performance.

9) Conflict Resolution

Conflict inevitably occurs in the work environment. However, employees who acknowledge

others differences often also find similarities, particularly when there are common goals --

production & quality. Respect for co-workers either reduces the likelihood of conflict or

facilitates an easier road to conflict resolution. The ability to resolve workplace conflict

minimizes potential liability for employee complaints that would otherwise escalate to formal

matters, such as litigation. Workplace diversity preserves the quali ty of employees

relationships with their co-workers & their supervisors.

10) Business Reputation

Diversity in the workplace is important for employees because it manifests itself in building a

great reputation for the company, leading to increased profitability & opportunities for workers.

Workplace diversity is important within the organization as well as outside. Business


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reputations flourish when companies demonstrate their commitment to diversity through

aggressive outreach & recruiting efforts. An organization known for its ethics, fair employment

practices & appreciation for diverse talent is better able to attract a wider pool of qualified

applicants. Other advantages include loyalty from customers who choose to do business only

with companies whose business practices are socially responsible.

11) Job Promotion

The importance of workplace diversity c annot be overstated when it comes to an organizations

ability to reach markets in foreign countries. The appeal of global markets creates two kinds of

opportunities for employees: opportunities for promotion & employee development. A global

marketplace opens doors for employees with diverse language skills & multicultural

understanding to build global profit centres. Employees interested in learning multinational

business strategy & who are available for possible expatriate assignments may also find new &

challenging career opportunities.

12) Increased Exposure

A diverse workplace offers more than exposure to employees from different cultures &

backgrounds. Employees learn from co-workers whose work styles vary & whose attitudes

about work vary from their own. This is particularly true for employees within

multigenerational work environments. Traditional-generation workers learn new technology &

processes from workers who belong to the tech-savvy millennial generation. Likewise,

Generation X employees learn from exposure to the assertive, go-getter work ethic typical of

many Baby Boomers.


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CHAPTER - 3

Organizational Overview of IBM

(Figure No. 3.01) IBM-India Source : Ref No. [6]

IBM is a global technology and innovation company that stands for progress. With operations

in over 170 countries, IBMers around the world invent and integrate hardware, software and

services to help forward-thinking enterprises, institutions and people everywhere succeed in

building a smarter planet.

IBM has been present in India since 1992. The diversity and breadth of the entire IBM portfolio

of research, consulting, solutions, services, systems and software, uniquely distinguishes IBM

India from other companies in the industry.IBM India's solutions and services span all major

industries including financial services, healthcare, government, automotive,

telecommunications and education, among others. As a trusted partner with wide-ranging

service capabilities, IBM helps clients transform and succeed in challenging circumstances.


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IBM has been expanding its footprint in India - and has a presence in over 200 cities and towns

across the country - either directly or through its strong business partner network. IBM India

has clearly established itself as one of the leaders in the Indian Information Technology (IT)

Industry - and continues to transform itself to align with global markets and geographies to

grow this leadership position. Widely recognised as an employer of choice, IBM holds

numerous awards for its industry-leading employment practices and policies.

IBM Lab overview

(Figure No. 3.02) IBM Lab overview Source : Ref No. [7]

Since its inception in April 1998, the IBM Research India has been driven by one mission: to

advance the state-of-the-art in information technology through research in software and

services and to provide leadership by delivering innovations to IBMs clients globally.

Collocated in New Delhi and Bangalore, the lab is focused on a wide array of research areas,

blending pure and applied research.

IBM Research India is unique in its clear focus, unmatched talent pool and innovation culture

that thrives on worldwide collaborations. As a result, IBM Research India has emerged as a

premier research lab in the region with an impressive list of achievements. These include

innovations dealing with unique challenges in emerging markets such as Spoken Web,

cleansing of noisy data and scalable analytics platforms for the telecom industry. Some of our

innovations for service delivery that have had a significant impact on IBMs services business

include Voice of Customer Analytics for contact centers, Manage and Prospect technologies for


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workforce management, Application Assembly Optimization for streamlining global delivery,

and Defect Prevention.

The technical areas being pursued in the India lab include information management, software

technologies, IT infrastructure management, high performance computing, mobile-enabled

emerging technologies, analytics and human language technologies. Researchers at the lab

regularly publish papers in top conferences and journals and had over 100 publications in

premier international conferences in 2011 alone. IBM Research India has won 12 best paper

awards since 2009, including five awards in 2011.

IBM has been recognized with the 2009 National Award for Empowering Persons with

Disability, given by the President of India for the Spoken Web technology, developed at the

India lab. The award recognizes the enormous potential of Spoken Web for improving the lives

of persons with disabilities. IBM Research India is the first IBM lab outside of US lab to have

led an IBM Research Big Bet, namely the Mobile Web big bet. Big Bets are IBM Researchs

long term, high investment exploratory projects.

One of the handful of business houses to continue with long term investments in R&D, IBM

has been awarded the highest number of US patents for 19 years in a row with 6180 U.S.

patents issued in 2011. IBM Research is home to five Nobel Prize winners. Turing Award

winners, including Frances Allen, the first woman recipient; 14 U.S. National Medals of

Technology, five National Medals of Science and 19 memberships in the National Academy of

Sciences and 11 inductees into the National Inventors Hall of Fame.


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3.1.1 Growth & future initiatives

IBM, in an analyst meeting held at Bangalore on June 6, 2006 stated that IBM's India plans are

for the long term & committed to invest $6 billion in the next three years in India, triple the

amount invested in the three years preceding the meeting.

IBM worldwide expects its revenues to be around $120 billion by 2010, of which nearly $86

billion (68%) would come from IBM Global Services alone, with an estimate of about 200,000

employees. IBM India would account for 90,000 of these. Roughly translated, IBM's Indian

employees would generate $35 billion of IBM's revenues in 2010.

IBM Global Services (now split to Business Services & Technical Services) was called the

"jewel in the IBM crown" by the Aberdeen group in 2003. For worldwide IBM, this is the

group that contributes to more than half its global revenues ($54 billion in 2005) presently &

growing at a healthy rate (8% in 2005). With half of global service employees to be located in

India, IBM India's importance for the global corporation can be easily fathomed.

3.1.2 IBM's re-organization

In 2005, Ginni Rometty at the Enterprise Business Services unit of IBM worldwide & heralded

changes that would have long running implications & would lead to the explosive growth of

IBM in India.

In an investor meet in 2006, she identified five areas that would transform IBM & bring

'profitable growth'. In order of importance, they are Business Transformation Outsourcing,

Application Management Services, Business Solutions, Small and Medium Business &

Innovation. In each one of these areas, IBM India figures prominently & employee numbers

have grown multi-fold in the last two years.

IBM in India is not just a global delivery organization intending to tap into the vastly skilled &

low cost manpower availability; it is also a big player in the domestic IT market. IBM India's
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domestic revenues grew at 60% in 2005-06 making it one of the highest growth areas in the

entire IBM portfolio of geographies & businesses. IBM India is also the biggest domestic IT

player in the country, replacing HCL Technologies. It's worthwhile to mention that Airtel,

India's largest private telecom company chose IBM as its strategic partner for outsourcing its

entire network & IT backbone a deal worth about $750 million initially, & currently worth

over $2 billion.

YEAER 2002 2003 2004 2005 2006 2007 2008 2009 2010

Employees 5,000 9,000 23,010 38,500 53,000 74,000 94,000 112,900 131,001

(Table No. 3.01) Workforce growth at IBM Source : Ref No. [6]

3.2 History:

3.2.1 Pre-liberalization Story

In making the change to its new mode of operation, a number of restructuring steps were taken:

- All installed equipment (equipment in India was all leased by the month a GOI requirement)

was 'sold' to the existing users for a nominal amount of less than $10 - The (profitable) Service

Bureaus were given to the employees who were employed in them at that time. A management

structure was established, based upon several of the most senior Indian managers, who

collectively became the majority shareholders in the new company, which they named IDM

(International Data Management) - The equipment service business was transferred as a single

total entity to the GOI, on the understanding that they would continue to offer maintenance

service to all existing users. IBM undertook to provide spare parts for installed equipment for at

least a further 5 years - Employees who were working in other countries at that time were
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offered positions in those countries, if the immigration laws allowed. Most accepted & a

number went on to achieve promotions to senior positions in those countries & around the

world - The employment of all other employees was terminated, with what were generally

considered to be generous redundancy terms.

3.2.2 Post-liberalization story

India was liberalized in 1991, relaxing FDI norms. IBM re-entered the Indian shores in 1992

with a Tata joint-venture, named Tata Information Systems Ltd. Its business interest in India

was still focused on product sales.

In 1997, IBM Global Services was set up. India Research Lab was set up in the IIT

Delhi campus in 1998. In 1999, IBM bought out Tata's stake in the company & IBM India

became a fully owned subsidiary of IBM Corporation.

3.3 Current activities

IBM India has now grown to an extent where it poses a stiff challenge to home-grown Software

companies of India in IT global delivery & manpower attraction/retention. It now operates the

following business lines from India which contributes to worldwide IBM in a global delivery

framework: India Software Labs (ISL), India Research Lab (IRL), Linux Technology Centre,

Global Business Services(GBS), Global Technology Services (GTS) formerly known as ITD-

GD (Information Technology Delivery - Global Delivery), Global Business Solutions Center

(GBSC), Sales & Distribution (S&D), Integrated Technology Services (ITS).

On March 2, 2012 it was reported that IBM India wants to open sales office in around 40 Tier-I

& Tier-II cities of India in year 2012-2013.
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3.4 Business lines:

3.4.1 Global Business Services

This division, along with Global Technology Services (which was together called IBM Global

Services earlier) has the largest employee head-count & operates in a global delivery

framework. Although it's impossible to quantify the value-contribution from this unit, since

IBM GBS India operates in the cost recovery mode, it is considered to contribute well in excess

of $1 billion per annum.

IBM India's package implementation & maintenance practice with

its SAP, Oracle, Siebel, Peoplesoft, JD Edwards & Clarify practitioners is the biggest amongst

all Indian IT companies.

This entity is organized as a consulting company, with divisions mirroring the functional

expertise within, for instance Finance Management Solutions (FMS), Customer Relationship

Management (CRM), Supply Chain Management (SCM), Energy & Utilities & so forth.

Application consultants from the fledgling SAP practice of IBM India are one of the most

mobile of its workforce frequently globe-trotting to other IBM Geographies & benefitting

from the nearly 3 decade old IBM & SAP alliance.

3.4.2 Linux Technology Centre

IBM invests a billion dollars each year in its Linux efforts worldwide. This center in India

contributes in R&D of Linux related IBM products.

3.4.3 Business transformation outsourcing

With the acquisition of Daksh in 2004, IBM now also has a formidable business process

outsourcing (BPO) service portfolio. Associates & analysts work out of the Embassy Golf

Links, Bangalore office in out-sourced business processes of IBM clients. The company has
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sent out more than 800 newly recruited employees in 2008 & the process is still going on.

According to the stacks, IBM Daksh is on the top position in the BPO industry in India.

3.4.4 Business Analytics Center of Competency

In a move to focus on growing business analytics marketplace, IBM on November 9, 2009, has

announced the creation of a new Business Analytics Centre of Competency in Bangalore, India.

IBM's new business analytics centre is to offer global support & is expected to be staffed by

over 200 consultants with advanced analytics skills.

3.5 Country Managers:

The head of IBM India is called a country manager. These people have headed IBM India

during its history in the country.

1966 1976 Alec Taylor

1976 1978 T Brian Finn

1992 1994 Michael Klein

1994 1996 John R. Whiting

1996 1998 Ravi Marwaha

1998 2000 Ranjit Limaye

2001 2004 Abraham Thomas, currently in IBM Singapore

2004 2010 ' Shanker Annaswamy

(Table No. 3.02) Country Managers Source : Ref No. [6]


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CHAPTER - 4

HR Stsategies & Practices At Ibm To Manage Workforce Diversity

(Figure No. 4.01) IBM Source : Ref No. [8]

4.1.1 IBM believes in making a difference

As a diverse company with strong values, at IBM they believe diversity & inclusiveness are

two sides of the same coin. Diversity bridges the workplace & the marketplace - enabling

employees, clients & partners globally to come together to build a smarter planet - & live on it

too.


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4.2 Diversity facts:

1. IBM was one of the first companies in history to embrace the hiring of qualified personnel

regardless of the race, colour, gender or creed - IBM's diversity policy was written in 1954 (at

the very start of the Civil Rights movement).

2. IBM proactively engages employees & fosters inclusion & diversity in all activities within the

company.

3. IBMers all over the world spend over 1million hours each year in community service &

volunteer work, personally helping the world work better. Work that makes a difference.

4.3 IBM India diversity focus areas span:

1. Advancement of Women

2. Integrating the Workplace & Marketplace

3. Integrating People with Disability

4. Workforce Flexibility & Balance

5. Cultural Awareness & Acceptance


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Diversity

(Figure No. 4.02) Diversity at IBM Source : Ref No. [6]

IBM has been acknowledged as a world leader in its commitment to women. As the number of

women entering the workforce has increased continually & dramatically over the past two decades,

so has IBM's commitment to understanding their needs & providing services that make it possible

for them to be productive while fulfilling family & personal obligations. The Advancement o

Women is one of six global diversity imperatives at IBM.

IBM's philosophy on women derives from the corporate philosophy on workforce diversity.

Diversity at IBM is defined to be all-inclusive, encompassing not just race, gender & physical

abilities, but differences in culture, lifestyle, age, religion, economic status, sexual orientation &

marital status. IBM views workforce diversity as founded on three pillars: equal opportunity,

affirmative action, & work/life balancing programs. Equal opportunity is defined as non-

discrimination & non-harassment, while affirmative action is intended not to provide an advantage,

but to eliminate disadvantage & provide all groups a level playing field on which to compete.


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Following are the HR Strategies & Practices at IBM to Manage Workforce Diversity:

4.3.1 Advancement of Women

(Figure No. 4.03) Advancement of Women Source : Ref No. [6]

One of the key diversity focus areas for IBM in India is the Advancement of Women. IBM is committed

to recruit, retain & promote the best female staff available & to ensure women remain key to IBM's

business success. We focus heavily on mentoring & coaching for women, attend internal & externalconferences & symposia, participate in steering committees, emphasize on executive & technical

resources programs, regularly carry out work/personal life employee surveys & develop diversity-

specific hiring programs.


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4.3.2 Integrating the Workplace & Marketplace

(Figure No. 4.04) Integrating the Workplace & Marketplace Source : Ref No. [6]

Diversity in IBM means welcoming all people to the workplace regardless of factors unrelated to job

performance. IBM's definition of diversity includes all human characteristics that make us unique as

individuals. It includes everyone & excludes no one. Race, gender, geographic origin, culture, lifestyle,

age, disability, sexual orientation, economic status, marital status, & religion are just some of the

characteristics that define us as people. Our needs are also characteristics that define us as people, for

example, the need to take care of our children or aging parents.

Diversity is the bridge between the workplace & the marketplace. Integrating these two is one of our

key diversity imperatives .


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4.3.3 Integrating People with Disability

(Figure No. 4.05) Integrating People with Disability Source : Ref No. [6]

People with Disabilities (PwDs)

More than one billion people across the globe have a disability & as the world's population ages, this

number is expected to grow significantly. IBM hired its first person with disability in 1914. With almost

a 100 year heritage of commitment, IBM's Policy for People with Disabilities (PwDs) has since revolved

around 3.

Accommodation - Facilities that IBM provides to enable employees to work more independently &

productively. Examples include physical improvements such as ramps, Braille signage in elevators,

lowered water fountains & wide doors. In India, all our new locations are equipped with the standard

requirements for people with disabilities & we are upgrading our older facilities to conform to the same

standards.

Accessibility - IBM provides individual people with disabilities the technology tools in the workplace &

in the marketplace, such as voice recognition software & Homepage reader. Currently there are 9

Accessibility centres in IBM worldwide, each focusing on designing & deploying products appropriate

for people with disabilities.


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Attitude - Changing the values & beliefs that some people have regarding people with disabilities. IBM

actively recruits, hires & promotes people with disabilities. IBM helps promote an Attitude of Non

Discrimination & offers opportunities to deserving individuals. In India, in addition to e-learning

resources that focus specifically on building commitment to people with disability, we have a face to

face Diversity & Inclusive Leadership training program that is aimed to promote an inclusive workplace.

We also have plans to design some education around people with disabilities & are scouting for local

service providers who can fulfil this need.

IBM is an equal opportunity employer & has recruited people with disabilities in key roles across the

organisation. In India, IBM has undertaken several initiatives to increase visibility & access of PwDs at

the workplace. In addition to providing accessibility products for PwDs, we have initiated Roundtable

meetings with PwD employees to understand & address their unique concerns. We have established a

voluntary PwD Network - EnABLErs at IBM- which is a great forum in which PwD joinees can

participate, especially when they are new to IBM. We have also empanelled NGOs who are working to

supply us with qualified PwD candidates & assist us on our ongoing journey. In 2006, we have

conducted IT Camps for children with disability to expose students to the exciting world of information

technology, & to provide a scholarship fund for PwD candidates in an educational institute of repute.

PwDs are employed in a variety of roles at IBM, India, including Project Management, Programming,

Consulting, Operations Quality Assurance, Human Resources, & more. There is a conscious attempt not

to classify certain jobs as fit for people with disabilities - on the contrary, PwDs can contribute in a range

of 'mainstream' roles


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4.3.4 Workforce Flexibility & Balance

(Figure No. 4.06) Workforce Flexibility & Balance Source : Ref No. [6]

IBM is committed to creating a workplace culture & environment where employees can balance their

responsibilities to work, family, education & other personal needs.

We have a long standing commitment to creating a flexible work environment that gives employees

more flexibility & control over where, when & how work is done in order to achieve business

objectives & meet personal needs. Flexibility here is designed to be a competitive business tool

enabling us to attract & retain critical talent & increase effectiveness, focus & productivity. Therefore,

the business implications of a flexible work environment must always be considered; & employee

initiative, self management, teamwork & accountability are critical success factors.

A leader in diversity, IBM is committed to an inclusive work environment where ideas & contributions

are welcome, regardless of gender, disability, ethnicity, or sexual orientation. Our organization's

commitment to people with disabilities is an important part of a well developed global diversity

strategy.


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4.3.5 Cultural Awareness & Acceptance

(Figure No. 4.07) Cultural Awareness & Acceptance Source : Ref No. [6]

We are committed to providing a workplace where employees feel welcome & valued for who they

are: this is achieved through embracing cultural differences. IBM recognises cultural difference on the

basis of ethnic background & sexual preference. We offer a variety of education in the field o

Diversity including Diversity & Inclusive Leadership, Culture & Business, Culture & Globalization,

Culture Shock: Working Internationally, Going Global, Networking, People with Disabilities, Remote

& Mobile Management, Sexual Harassment & Valuing Diversity. Methods of study range from e-

learning (on-line self education) to learning labs (face to face classes).


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CHAPTER - 5

Major Achievements Of IBM On Account Of Workforce Diversity

5.1.1 Diversity Awards

IBM has received innumerable awards for workforce diversity. In Dec 2009, IBM India

received two prestigious awards:

1) National Award by the Ministry of Social Justice & Empowerment, Government of India,

for IBM's technology innovation, Spoken Web, recognizing its immense potential for

improving the life of people with disability. Three IBM employees were also recognized in

individual categories of the National Award.

2) Shell-NCPEDP Helen Keller award 2009 for demonstrating policies & practices that

promote equal employment opportunity for people with disabilities


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5.2 'Inclusivity' is a way of life at IBM India

(Figure No. 5.01) IBM India, NASSCOM Corporate Award for Excellence in Gender Inclusivity in 2008

Source : Ref No. [6]

IBM India, winners of the NASSCOM Corporate Award for Excellence in

Gender Inclusivity in 2008.India is a hot destination for skilled labour; yet, amid the

burgeoning workforce there remains ample opportunity to build pipelines of talent & leadership

among women & people with disabilities (PwD). In such an environment, IBM India has been

making its mark as an employer of choice for these diverse groups. In fact, IBM India won the

NASSCOM (National Association of Software & Services Companies) Corporate Award for

Excellence in Gender Inclusivity in 2008.

At IBM, inclusivity is a long- term commitment that began in 1935 with the companys equal pay policy for men & women. Following the global heritage of many firsts in diversity, IBM

India has developed many initiatives that drive inclusivity in the workplace, & also lay a strong

foundation for career success for women & people with disabilities.


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(Figure No. 5.02) Hari Raghavan(Solutions Specialist, IBM India), receiving the Shell HelenKeller Award 2008


Hari Raghavan (Solutions Specialist, IBM India), receiving the Shell Helen Keller Award

2008.For example, IBMer Suparna Bhattacharya was the first person in India to become a

Senior Technical Staff Member, a huge achievement for any technologist at IBM. Suparna, the

first woman executive in India, hails from the IBM India Software Labs. Hari Raghavan,

Solution Manager, Banking, visually challenged, won the Helen Keller award in 2008, for

being, a disabled person who has been an active ambassador for the cause of employment for

disabled people, & is a positive role model for others." He also says that at IBM, demonstrating

diversity is a company value, & not simply a charitable act or event.

5.3 Empowering women at IBM

Consider Kalpana Margabandhu, IBM Director for WebSphere Development. With over 25

years of industry experience, Kalpana leads the WebSphere mission in IBM India's Software

Lab. She also leads Adapters, WPG (WebSphere Partner Gateway), WDI (WebSphere Data

Interchange) & AIM (Application Integration Management) development in India. She was

chairperson of the IBM Indian Womens Leadership Council (IWLC) from its inception until


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2009, driving various initiatives to enhance the technical, professional & personal development

of women employees at IBM India.

(Figure No. 5.03) IBM India, getting National Award for BEST EMPLOYER OF PEOPLEWITH DISABILITIES in 2008


IBM India won the National Award in the category of BEST EMPLOYER OF

PEOPLE WITH DISABILITIES in 2008.Hard work, focus on excellence & a positive attitude

are Kalpana's motto for success. Kalpana identifies being accepted as the single largest

challenge to leadership in a predominantly male work environment. "Though it may take some

time, if a woman has the required competence, & the will to stand up for it, she will be

accepted as the leader," she adds.

When asked for her advice to other women employees, Kalpana states, IBM provides

employees with an excellent support system & invests strongly in individual career

development. It is in our interest to use it to help ourselves grow. The best advice I have is you

can do it. The confidence my managers & extended teams had in me has helped me grow.

Mangala Gowri, IBM Research staff member from India Research Laboratory says, IBM is

one of the few organizations that has a technical ladder. I really enjoy research & developing

innovative tools & solutions to real problems. Challenging the notion of the "glass ceiling
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(link resides outside of ibm.com)", Mangala adds, Competence is the most important factor in

breaking the glass ceiling, & getting ahead, especially for women. Anyone who is good at

his/her job is unstoppable.

5.4 Enabling IBMers with disabilities

Murali C. Sharma is a young, high achieving IT professional who is also an enthusiastic

volunteer with On Dem& Community, IBMs worldwide volunteer program. He works with

visually challenged people, & is also a NCPEDP (National Centre for Promotion of

Employment for Disabled People) Helen Keller Award winner. Murali is also part of the IBM

Corporate Service Corp (US) team, engaged in socio-economic projects in Vietnam.

(Figure No. 5.04) Dr. Daniel Dias, receiving National Award for Accessibility Innovation fromthe President of India

Source : ibmindia.com

Dr. Daniel Dias, receiving National Award for Accessibility Innovation from the President of

India. Visually challenged himself, Murali has not only overcome his physical challenge to

make his mark in life, but is a source of encouragement & support for those around him who

are challenged. Summing up his career at IBM, Murali says, I never felt that I am a disabled

employee. In fact at IBM, none of my colleagues or managers has ever made me feel different.
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When they dont see any weakness in me, there is no question of sympathy. They always see

abilities in me, as I do see positives in whoever I meet.

(Figure No. 5.05) A networking group of PwDs at IBM India Source : Ref No. [6]

"EnABLErs" (a networking group of PwDs at IBM India) Murali is happy to see more PwDs

(People with disabilities) being accommodated across IBM India. He worked on the RESO

(Real Estate Site Operations) accessibility study with a team of "EnABLErs" (a networking

group of PwDs at IBM India) & proposed several ideas for making all IBM buildings

completely accessible. Murali adds: It gives me immense pleasure to know that I am a

valuable employee.

Moving ahead, IBM India will continue to provide employees with a level playing field so that

excellence & achievement are the only criteria for success.


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CHAPTER - 6

Conclusion

(Figure No. 6.01) Conclusion

The extent to which managers recognize diversity & its potential advantages & disadvantages

defines an organizations approach to managing the diversity. No organisation in this world of

globalisation would survive without workforce diversity. It is the duty of the management to

critically evaluate the benefits of workforce diversity in their organisation. On the other hand

the management should put in place conditions which would enhance the workforce diversity in

their organizations, more especially in their strategies formulation on the diversity of the

workforce. Hence, with the diversity of the workforce, the organisation would be internally &

externally competitive. Although, the process of diversification of organizations has six stages:

denial; recognition; acceptance; appreciation; valuing; & utilization. It is believed that


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organizations should put in place strategies to enhance workforce diversity. In terms of

organizational learning, organizations are still stuck on the problem of getting people to value

diversity & have not yet determined ways to utilize & exploit it. It is the approach to diversity,

not the diversity itself which determines the actual positive & negative outcomes.

Managing diversity in organizations is absolutely dependent upon the acceptance of some

primary objectives to which employees are willing to commit, such as the survival of the firm

Gentile. In today's fast-paced work environment a successful organization is one where

diversity is the norm & not the exception.


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References

1. Gupta C.B (2010), HRM- Publisher (Sultan Chand & Sons) , Changing Nature of work, pg no. 38.3

2. Gupta C.B (2010), HRM- Publisher (Sultan Chand & Sons) , Workforce Diversity , pg no.38.4

3. http://www.ibm.com/ibm/in/en/ on Jun 29 , 2012 at 04.38 p.m.

4. http://www-07.ibm.com/in/research/ , 2012 at 09.37 p.m.

5. http://www-07.ibm.com/in/research/laboverview.html on July 22, 2012 at 06. 20 p.m.

6. http://www-07.ibm.com/in/careers/diversity.html on August 10, 2012 at 08. 34 p.m.

7. http://www.diversityworld.com/Diversity/workforce_diversity.htm on august 11 , 2012 at 05 :20 pm

8. http://www.google.co.in/search?q=workforce+diversity For images used , on august 11 at 05:25 pm

9. http://en.wikipedia.org/wiki/Diversity_(business) on august 11 at 05:45 pm

10. http://en.wikipedia.org/wiki/IBM_India on august 12 at 6:00 pm

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