<img class="gwt-Image" src="/photo/56948261.cms" /> Amid the rising concerns over <a href="http://www.businessinsider.in/searchresult.cms?query=US+President+Donald+Trump&amp;sortorder=effectivedate">US President Donald Trump</a> administration's proposals to restrict inflow of foreign workers, <a href="http://www.businessinsider.in/searchresult.cms?query=Infosys&amp;sortorder=effectivedate">Infosys</a> co-founder N R <keyword id="6355623" type="PERSON" weightage="100" keywordseo="Narayana-Murthy">Narayana Murthy</keyword> said that Indian software companies need to stop sending people on H1-B visas and focus on local hiring in the US. 
 
While stating that the large Indian mindset is always to take the "soft option", Murthy said that becoming multi-cultural is not easy and is a "very, very hard option". 
 
"They (Indian software companies) must recruit American residents in the <a href="http://www.businessinsider.in/searchresult.cms?query=US&amp;sortorder=effectivedate">US</a>, Canadians in <a href="http://www.businessinsider.in/searchresult.cms?query=Canada&amp;sortorder=effectivedate">Canada</a>, British people in <keyword id="11101" type="COUNTRY" weightage="20" keywordseo="Britain">Britain</keyword> etc. That's the only way, we can become a true multi-national company and in order to do that, we should stop using <a href="http://www.businessinsider.in/searchresult.cms?query=H1-B+visas&amp;sortorder=effectivedate">H1-B visas</a> and sending a large number of Indians to those countries to deliver services," Murthy told NDTV. 
 
He also said that recruitment from colleges should be done and local people be trained to add value to Indian companies. 
 The proposed overhaul of popular <keyword id="6358066" type="UNKNOWN" weightage="20" keywordseo="H-1B-visa">H-1B visa</keyword> regime by US President <keyword id="6354484" type="PERSON" weightage="20" keywordseo="Donald-Trump">Donald Trump</keyword> has raised concerns among the Indian IT firms.

Narayana Murthy says Indian tech firms need to stop using H1-B visas

<img class="gwt-Image" src="/photo/57131290.cms" /><a href="http://www.businessinsider.in/searchresult.cms?query=infosys&amp;sortorder=effectivedate">Infosys</a>, for the first time since its existence of 33 years, saw negative growth in hiring this fiscal. 
 
A senior official of the Telangana Government, Jayesh Ranjan, quoted IT giant's co-founder <a href="http://www.businessinsider.in/searchresult.cms?query=narayana+murthy&amp;sortorder=effectivedate">N R Narayana Murthy</a>, saying <keyword id="6354512" type="CITY" weightage="20" keywordseo="Infosys">Infosys</keyword> hired nearly 6,000 people so far in the current fiscal as against 20,000 to 25,000 every year. 
 "Mr <keyword id="6355623" type="PERSON" weightage="20" keywordseo="Narayana-Murthy">Narayana Murthy</keyword> told me (recently) that in the 33 years history of Infosys, it is for the first time that they have got a negative growth of employment. Typically, they recruit about 20,000 to 25,000 people every year. This year for the first time they have recruited just 6,000 people. So recruitment of software engineers and software professionals at Infosys has dropped by 75 per cent. And 7,000 people quit the company for various reasons during the year. So they are minus by 1,000," said Ranjan. 
 
<a href="http://www.businessinsider.in/searchresult.cms?query=vishal+sikka&amp;sortorder=effectivedate">Infosys CEO Vishal Sikka</a>, during the announcement of third quarter results, said the company had added 5,700 people during the first nine months of FY17 as against 17,000 during the same period last year. 
 
According to a company statement released at the time of Q3 results, Infosys had employee strength of 1,99,763 as on December 31 as against 1,99,829 as on September 30 and 1,97,050 as on June 30 of the current fiscal.

For the first time in history, hiring drops in Infosys

Co-founders of Indian IT giant <keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword> are looking forward to selling out their entire 12.75% stake in the company worth about Rs 28,000 crore. The decision might have been triggered by the unhappiness they have expressed over the manner in which the company has been run ever since they took an exit three years ago. Instead of choosing to lack horns with the company's board and management, the promoters seem to have decided to take a complete break from the company that was founded in 1981 and went public in 1993. The co-founder group, led by <a href="http://www.businessinsider.in/small-business/people/possible-to-protect-job-losses-says-narayana-murthy/articleshow/58946429.cms">N R Narayana Murthy</a> and <keyword id="44604" type="PERSON" weightage="100" keywordseo="Nandan-Nilekani">Nandan Nilekani</keyword>, are seen as torch bearers for the Indian middle class that chose to earn a degree and then become an entrepreneur instead of going for salaried jobs. It was because of their efforts that the story of Indian software was spread around the world. The sale of their stakes would most probably take place through stock market block deals and would be done in parts, and a single, block deal would most likely not happen. "Large private equity or sovereign wealth funds (SWFs) won't be enthused to write $4-5 billion cheques to be minority investors without any rights," said a top banker who spoke on condition of anonymity. However, <a href="http://www.businessinsider.in/small-business/people/narayana-murthy-is-sad-over-recent-layoffs-in-the-it-industry/articleshow/58858342.cms">Narayana Murthy</a> has denied that the promoters are about to sell their holding in the company. "It is not true at all," he told <a href="http://economictimes.indiatimes.com/tech/ites/infosys-founders-looking-to-sell-their-stake-in-company/articleshow/59062408.cms">ET</a>. Murthy and his family hold the largest promoter stake of 3.44%. When contacted for a statement, <a href="http://www.businessinsider.in/small-business/companies/nilekani-joins-hands-with-helions-sanjeev-aggarwal-to-fund-mid-stage-startups/articleshow/57808952.cms">Nandan Nilekani</a> said, "I do not comment on Infosys." Even though these co-founders, including Murthy, Nilekani, <keyword id="6530028" type="PERSON" weightage="100" keywordseo="Kris-Gopalakrishnan">Kris Gopalakrishnan</keyword>, <keyword id="385878" type="ORGANIZATION" weightage="100" keywordseo="SD-Shibulal">SD Shibulal</keyword> and <keyword id="395842" type="UNKNOWN" weightage="100" keywordseo="K-Dinesh">K Dinesh</keyword> are no longer associated with the company as either executives or non-executives, their exit could stir the stock prices, something for which the company might not be ready for amidst the <a href="http://www.businessinsider.in/Only-400-people-asked-to-leave-will-hire-20000-this-year-Infosys/articleshow/58964230.cms">rising pressure</a> that the <a href="http://www.businessinsider.in/careers/b-tech-degrees-wont-suffice-in-future-in-it-sector-says-this-it-veteran/articleshow/59038028.cms">Indian IT industry</a> is facing.

Infosys founders might sell their entire stake in company

<img class="gwt-Image" src="/photo/50334209.cms" /> 
The Indian <a href="http://www.businessinsider.in/searchresult.cms?query=startup+ecosystem">startup ecosystem</a> is all set to boom in the new year as well. After all, Indian startups have attracted the maximum investments from both domestic and foreign <keyword id="6359051" type="COMPANY" weightage="60" keywordseo="investors">investors</keyword> in 2015. 
 
According to the information compiled by startup blog Trak.in, investments worth $8.4 billion were made in new ventures, which include e-commerce platforms in 2015. Over 930 deals have been inked this year as compared to 304 deals worth USD 5 billion that took place in 2014. 
 
Corporate tycoons such as Ratan Tata and N R Narayana Murthy as also marquee global investors like Alibaba and Softbank have been key investors in the startups. 
 
With huge investments made in the new ventures and high valuations, experts and <a href="http://www.businessinsider.in/searchresult.cms?query=investors">investors</a> expect a correction on the valuation side. The sectors that will see action include financial technology, healthcare and <a href="http://www.businessinsider.in/searchresult.cms?query=enterprise+technology">enterprise technology</a> among others. Agriculture is also expected to attract funding. 
 
Image credit: Indiatimes

Startups bloom in 2015, attract highest
investments!

<img class="gwt-Image" src="/photo/57078299.cms" />Amid the rift between the founders and board of <a href="http://www.businessinsider.in/searchresult.cms?query=infosys&amp;sortorder=effectivedate">Infosys</a>, former <keyword id="6354512" type="CITY" weightage="20" keywordseo="Infosys">Infosys</keyword> <a href="http://www.businessinsider.in/searchresult.cms?query=mohandas+pai&amp;sortorder=effectivedate">CFO T V Mohandas Pai</a> said fault lies in N R <keyword id="6355623" type="PERSON" weightage="100" keywordseo="Narayana-Murthy">Narayana Murthy</keyword>. 
Pai, who backed Infosys CEO <a href="http://www.businessinsider.in/searchresult.cms?query=vishal+sikka&amp;sortorder=effectivedate">Vishal Sikka</a>, said the leadership is not focussed on creating shareholder value. 
 
"I am very saddened. All of us spent a major part of our lives building up this great company, and I am very saddened by what has happened," Pai, who is not a founder but spent 17 years with the company before quitting in 2011, told PTI. 
 There are reports of trouble in Infosys with Murthy, <keyword id="6530028" type="PERSON" weightage="20" keywordseo="Kris-Gopalakrishnan">Kris Gopalakrishnan</keyword> and <keyword id="44604" type="PERSON" weightage="20" keywordseo="Nandan-Nilekani">Nandan Nilekani</keyword> having issues with pay hike to Sikka, and the severance package offered to the two senior executives. 
 
Infosys, however, in its statement, defended the pay hike to Sikka and the severance package for two former senior executives, saying all decisions were made "in the overall interest of the company". 
 
Pai, who served as CFO from 1994 to 2006, said: "The concern is that in the last five years, the focus (of Infosys leadership) has not been there, the leadership that we built up has left for various reasons, new leadership has come in and they are still not focusing on creating shareholder value. 
 
"There is automation coming, which they are trying to face, they have got a good CEO (in Sikka), growth rates have come down, there is uncertainty, shareholders who have put trust in the company have not seen increase in the value in the last five years," Pai added. 
 
He cited three top reasons for "the slide". One is "lack of adequate leadership as many people left because of Murthy's focus on only founders becoming leaders and that was a mistake". Second, "not changing the business model to face automation and change in the marketplace and (the change was) slow because of the leadership flux". Third, he said, was capital allocation and lack of capital efficiency, which are hurting the company. 
 
Further, Pai said he had confidence in CEO Sikka's leadership, but "you need a strong chairman".

Mohandas Pai sides with Vishal Sikka, says Narayana Murthy made a mistake and focused on founders becoming leaders

<img class="gwt-Image" src="/photo/52289509.cms" /> 
 
As opposed to founder <a href="http://www.businessinsider.in/Infosys-founder-Narayana-Murthys-beautiful-letter-to-his-daughter-will-warm-your-heart/articleshow/52017019.cms" target="_BLANK￿￿￿￿">N R Narayana </a><a href="http://www.businessinsider.in/Infosys-founder-Narayana-Murthys-beautiful-letter-to-his-daughter-will-warm-your-heart/articleshow/52017019.cms" target="_BLANK￿￿￿￿">Murthy</a>'s philosophy of compassionate capitalism to preserve the spirit of social equity, <keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword> Ltd is now entering a phase where remuneration for senior leadership would go to new levels. 
 
<a href="http://www.businessinsider.in/Here-is-how-Vishal-Sikka-has-become-the-man-Infosys-always-wanted/articleshow/51454896.cms" target="_BLANK￿￿￿￿">Vishal Sikka</a>, the first non-founder CEO of Infosys, who was brought in to put the IT giant back on track, has been <a href="http://www.businessinsider.in/Infosys-might-soon-replace-Cognizant-to-become-the-industry-leader/articleshow/52205202.cms" target="_BLANK￿￿￿￿">doing well for the company</a> ever since then. The fortunes of the $9.5 billion company have now been lifted, despite the fact that it was struggling to grow till two years back. In FY16, Infosys revenue rose 9.1% to $9.5 billion, however, it grew 13.3% in constant currency when currency fluctuations are considered. 
 
For these <a href="http://www.businessinsider.in/Infosys-Q4-preview-Despite-seasonal-weakness-Y-o-Y-revenue-growth-and-rise-in-net-profit/articleshow/51827282.cms" target="_BLANK￿￿￿￿">efforts and results</a>, Sikka will take home a new <a href="http://www.businessinsider.in/Infosys-CEO-Vishal-Sikkas-fat-pay-package-to-get-fatter/articleshow/51133586.cms" target="_BLANK￿￿￿￿">overall compensation</a> of $11 million from the current fiscal, including a base salary of $1 million, $3 million in variable pay, $2 million in restricted stock units (RSUs) and another $5 million in stock options based on the company’s performance. This compensation revision has coincided with his tenure being extended by another two years up to 2021. 
 
However, this extension was not agreed upon by some of the promoters, who withdrew from voting on this resolution, while also arguing that his new remuneration was way against the company's long held beliefs. 
 
Sikka has also changed the company's senior leadership compensation, elevating three executive vice presidents (EVPs), Sandeep Dadlani, head of Americas, Ravi Kumar, chief delivery officer and Mohit Joshi, head of financial services, as presidents. As per ET sources, the salaries of these new presidents would touch a new high of nearly $2 million including stocks and long-term incentives. 
 
Also read: <a href="http://www.businessinsider.in/Infosys-salary-hikes/articleshow/51842725.cms" target="_BLANK￿￿￿￿">Infosys employees will get an average salary hike of 6 to 12% this year</a> 
 
Infosys, however, declined from sharing any details of executives' compensation. 
 
<a href="http://media.newindianexpress.com/NarayanaMurthySikka_PTI.jpg/2014/06/14/article2280315.ece/binary/original/NarayanaMurthySikka_PTI.jpg">Image source</a>

With Vishal Sikka’ $11 million remuneration, Narayana Murthy's long held beliefs of compassionate capitalism have gone for a toss

<keyword id="6354512" type="CITY" weightage="20" keywordseo="Infosys">Infosys</keyword> co-Chairman <keyword id="50299" type="PERSON" weightage="20" keywordseo="Ravi-Venkatesan">Ravi Venkatesan</keyword> today said his priority is to get <keyword id="47995" type="COMPANY" weightage="20" keywordseo="promoters">promoters</keyword> and management working together as "one Infosys" and not operating in different pockets. The comments assumed significance in the wake of a recent public spat between some promoters and the top management of India's second largest IT firm with a turnover of over USD 10 billion. Venkatesan said that bringing promoters and management together is "doable" and he spends four to five days in a week on this despite being only a non-executive co-chairman. "I agree, there is a lot of work to do... I tell people, I am a non-executive co-chairman, but when I think about this task of getting everybody working as one... I spend four to five days in a week," he said. Venkatesan was replying to a query that there must be a lot of work left for him to achieve the goal of "one Infosys". "If you ask about my priority, I would say it is getting people working together -promoters and management as one, not (as) different pockets, but working together, under one roof as 'one Infosys'," he said. If the company can create this spirit and feeling of oneness, everything will fall in place, Venkatesan said. Asked how big is the task to bring the board and the founders together, Venkatesan said, "I don't know how to measure oneness, but a lot of it is still left ... Yes, but it is doable." Asked if his quest to meet the goal of "one Infosys" will get hampered and cause alarm to CEO <keyword id="6369763" type="PERSON" weightage="20" keywordseo="Vishal-Sikka">Vishal Sikka</keyword> by founder N R Narayana Murthy's comment on regretting quitting the company in 2014, Venkatesan said it won't lead to fresh set of challenges, for he is still incredibly passionate about Infosys and the company takes his positive suggestions on board. "Just because you have differences of views on compensation and other sundry issues, that doesn't change the fundamentals. So, when a man like that speaks, we obviously pay a lot of attention to it and try and see what is the merit in the idea and embrace it. So, I would not put too much stock on these comments, but the question should be better addressed to him directly," he said. Murthy, in an interview to a news channel had regretted having quit the company in 2014, without paying heed to his co-founders who insisted him to stay. Murthy has been vocal by raising the issue of corporate governance, questioning the severenace package given to <keyword id="347003" type="PERSON" weightage="20" keywordseo="Rajiv-Bansal">Rajiv Bansal</keyword> and the pay hike of top executive personnel including Sikka. Venkatesan said Sikka was Murthy's pick and he drove a lot of positive changes in the first two years of his stint by talking about various new things but stressing mainly on employees' innovative skills. "Sikka has completed three years, but for the first couple of years I think things were quite good. After all, Vishal was hired by Murthyji. He was his pick. Vishal drove a lot of positive changes. He said we must show - even Indians can innovate and every employee has to innovate. So, these ideas were appreciated by employees, clients, and also by Murthy, I believe," he said. (Image courtesy: Mint)

Bringing board and founders under one roof 'doable', says Infosys' Ravi Venkatesan

<img class="gwt-Image" src="/photo/57109314.cms" /> <keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword>' former CFO, T V <keyword id="6491998" type="PERSON" weightage="100" keywordseo="Mohandas-Pai">Mohandas Pai</keyword> today exhorted institutional investors to raise questions about the huge cash pile on the company's books and governance issues, as investors have an obligation to protect their investment. 
 "Capital allocation is very important. Institutional investors should raise those questions. They have a duty...institutional investors should raise questions on governance because it concerns the company's reputation," <keyword id="249145" type="PERSON" weightage="20" keywordseo="Pai">Pai</keyword> told <keyword id="6367495" type="COMPANY" weightage="20" keywordseo="PTI">PTI</keyword> in an interview. <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">ALSO READ: ​ Infosys employees in stress: Promotions and Increments may take a hit</a> 
 
Infosys had liquid assets, including cash and cash equivalents and investments worth Rs 35,697 crore (about $5.25 billion) on its books at the end of <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">December 2016</a>. 
 
He asserted that founders, who hold 13% stake in the Bengaluru-based company, had raised these questions like any other investor would. 
 "The founders are investors like anybody else. They hold 13 per cent stake. They have every right to question the <keyword id="6364382" type="ORGANIZATION" weightage="20" keywordseo="Board">Board</keyword>... Since the largest shareholder has sought clarification, they must also seek detailed clarification," he said. 
 
Pai, along with former colleague <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">V Balakrishnan</a>, had sought a USD 1.8 billion buyback in 2014 just as CEO <keyword id="6369763" type="PERSON" weightage="20" keywordseo="Vishal-Sikka">Vishal Sikka</keyword> was taking over. 
 
"We had raised the issue. We hope that other institutional investors will also raise their voice because the institutional investors have an obligation to protect their investment," he said. 
 
Pai explained that shareholders all over the world ask questions about capital allocation when growth slows down for listed companies, that have too much cash on books. 
 
"All over the world, for listed companies when growth slows down and there is too much cash, shareholders will ask what are they doing with the cash...about capital allocations. Most Boards around the world will respond with a buyback to show confidence in the company and stabilise the stock price," he said. 
 
Pai expressed hope that institutional investors who have a "fiduciary responsibility" to their unit holders, will also ask the same questions, as has been in the case of <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">Cognizant</a>. 
 Last week, <keyword id="28721" type="CITY" weightage="20" keywordseo="Cognizant">Cognizant</keyword>'s Board approved a plan to return USD 3.4 billion to shareholders over the next two years through share buybacks and dividend, following investor activism. 
 
"Why can't Infosys do something like Cognizant has done. That is very important for shareholders. I hope they ask him that at a time when growth is slowing down," he said. 
 
He said that while reports of the rift would not impact the company's performance but there is "some reputational damage because of this" and pointed out that the board "has to remedy this situation". 
 Over the last few days, Infosys has come under fire from founders like N R <keyword id="6355623" type="PERSON" weightage="20" keywordseo="Narayana-Murthy">Narayana Murthy</keyword> who have publicly raised concerns on alleged corporate governance lapses at <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">Infosys.</a> 
 
Infosys, however, has denied the allegations and said that its board is fully aligned with the strategic <a href="http://www.businessinsider.in/infosys-employees-in-stresspromotions-and-increments-may-take-a-hit/articleshow/57095393.cms">direction of Sikka </a>and is very "appreciative of the initiatives taken by him in pursuance of this transformation".

Infosys should clarify capital allocation policy: Mohandas Pai tells investors

These 119 Indian billionaires are worth over $300 billion right now, according to Forbes

<img class="gwt-Image" src="/photo/47781994.cms" /> To encourage research work at Bengaluru-based <keyword id="75850" type="ORGANIZATION" weightage="80" keywordseo="Indian-Institute-of-Science">Indian Institute of Science</keyword> (IISc), <keyword id="6354512" type="CITY" weightage="80" keywordseo="Infosys">Infosys</keyword> co-founder Senapathy Gopalakrishnan, popularly known as <keyword id="6530028" type="PERSON" weightage="80" keywordseo="Kris-Gopalakrishnan">Kris Gopalakrishnan</keyword> and his wife Sudha have set up three <keyword id="608640" type="ORGANIZATION" weightage="80" keywordseo="Research-Chairs">research chairs</keyword> in the country’s top institution, according to an ET report. Gopalakrishnan, 60, hopes the chairs can bring distinguished researchers in the areas of computational neuroscience, <keyword id="294572" type="TECHNOLOGY" weightage="60" keywordseo="machine-learning">machine learning</keyword>, data <keyword id="41551" type="ENTERTAINMENT" weightage="80" keywordseo="science">science</keyword> and neuromorphic engineering to the IISc to enable collaborative research. The first of the three chairs — K Vaidyanathan Distinguished Chair named after Sudha's father — was launched on Monday. Each chair will be set up with a corpus of Rs 10 crore funded by <keyword id="2038697" type="UNKNOWN" weightage="80" keywordseo="Pratiksha-Trust">Pratiksha Trust</keyword>. It is a charitable organization Kris founded with his wife. 

	Moreover, the Pratiksha Trust has also helped to set up three similar chairs at the Indian Institute of Technology-Madras, where Kris studied. 
 

	"I hope the launching of these distinguished chair positions will help push the frontiers in these areas. It would be excellent if the collaborations lead to highly creative, new computing architectures and algorithms inspired by the functioning of the brain. These three chairs along with three more at IIT Madras will create critical mass in the area of neuromorphic computing and machine learning in India," Kris told the financial daily.
 

	The K Vaidyanathan Chair at the IISc will be occupied by Shihab Shamma, a professor at the Institute of Systems Research of the University of Maryland. 
 

	"I am sure these distinguished chair positions will add a new dimension to research collaboration in key strategic areas between IISc researchers and star contributors in these areas anywhere in the world," IISc Director Anurag Kumar told ET. 
 At <keyword id="54070" type="ORGANIZATION" weightage="80" keywordseo="IIT-Madras">IIT-Madras</keyword>, two of the three chairs — Prof Mahabala Chair and N R Narayana Murthy Chair — on computational brain research have also been launched. 

	Both chairs are occupied by US-based scientists of Indian origin. In early 2014, the Infosys cofounder announced a Rs 225-crore grant over a period of 10 years to develop a Centre for Brain Research (CBR) at the IISc. 
 

	This philanthropic act is widely-considered one of the biggest contributions to pure science in the country, and one of the single largest donations by an individual to the IISc. 

	 
	(Image: Reuters)

Infosys co-founder Kris Gopalakrishnan grants Rs 30 crore to boost research at IISc

<img class="gwt-Image" src="/photo/46596445.cms" /> After the multi-million dollar coal allocation scam, often referred as‘<keyword id="981763" type="UNKNOWN" weightage="20" keywordseo="Coalgate">Coalgate</keyword>’ by the media, <keyword id="6354512" type="CITY" weightage="20" keywordseo="Infosys">Infosys</keyword> founder N R <keyword id="6355623" type="PERSON" weightage="20" keywordseo="Narayana-Murthy">Narayana Murthy</keyword> has requested the BJP government to draft a mechanism under which honest politicians, bureaucrats and businessmen can do their work without fear. On Monday, Murthy told TOI that “All three have to be protected and in particular bureaucrats because they have to take decisions every day and if we create a fear psychosis there is no way our <keyword id="34412" type="ORGANIZATION" weightage="20" keywordseo="economy">economy</keyword> can progress." 

	He further stated, "It is very important that this government, which has done a lot of good things, takes this up on an urgent basis."
 Recently, a special court had summoned former prime minister <keyword id="6359397" type="PERSON" weightage="20" keywordseo="Manmohan-Singh">Manmohan Singh</keyword> along with renowned industrialist <keyword id="6354955" type="PERSON" weightage="20" keywordseo="Kumar-mangalam-birla">Kumar Mangalam Birla</keyword>, ex-coal secretary P C Parakh along with three others as accused in a case pertaining to allocation of Talabira-II coal block in Odisha in 2005 and asked them to appear before it on April 8, reported PTI. This summon has also shaken <keyword id="46431" type="CITY" weightage="20" keywordseo="India-Inc">India Inc</keyword> at a time when the central government is trying its best to revive sentiment and boost the economic growth, the Economic Times report stated. 

	Murthy, who is also shocked with the latest development, told TOI, "I have known Mr Kumar Mangalam Birla for a long time. He is a good man. He is a decent man. He is very much a progressive modern business leader of this country. It is very important that as we move forward, we ensure that people like him, and there are many others among bureaucrats, among politicians and amongst business people, that we do not get their names maligned unless they are guilty.”
 

	And for this, "a mechanism that enhances transparency of such interactions is very important,” he added.
 

	Praising the initiative that the government took for the auction of coal blocks and telecom spectrum, Murthy stressed upon the need to provide transparency, clarity and speed in every decision for allocation of all public resources.

	(Image:

Narayana Murthy wants the government to protect honest bureaucrats and politicians. Know why!

<img class="gwt-Image" src="/photo/31832297.cms" />BANGALORE: This is perhaps a first for any major company in India. A former CEO and a former CFO of <keyword id="6354512" type="CITY" weightage="80" keywordseo="Infosys">Infosys</keyword> will contest the coming general elections — <keyword id="44604" type="PERSON" weightage="40" keywordseo="Nandan-Nilekani">Nandan Nilekani</keyword> for <keyword id="1575" type="ORGANIZATION" weightage="40" keywordseo="Congress">Congress</keyword> from South Bangalore, and V Balakrishnan for <keyword id="6354944" type="ORGANIZATION" weightage="40" keywordseo="Aam-Aadmi-Party">Aam Aadmi Party</keyword> (AAP) from Central Bangalore. 
 Coincidence? Not entirely, said <keyword id="1040732" type="UNKNOWN" weightage="40" keywordseo="Priya-Chetty-Rajagopal">Priya Chetty-Rajagopal</keyword>, executive director in RGF Executive Search. “The Infosys story is about possibilities, about dreams, conviction, integrity, and the success that knowledge can bring. Both (Nandan and Bala) come from that golden time when anything was possible, and perhaps there is a connection in what both plan to do,” she said. 
 Management consultant <keyword id="175362" type="PERSON" weightage="40" keywordseo="Harish-Bijoor">Harish Bijoor</keyword> believes that Infosys is an eco-system of excellence. Rajagopal pointed out that Infosys has had a particularly strong reputation of leaders w<keyword id="6354185" type="ENTERTAINMENT" weightage="40" keywordseo="IT">it</keyword>h a public or philanthropic <keyword id="819560" type="PERSON" weightage="40" keywordseo="bent">bent</keyword>, be it <keyword id="170488" type="POSITION" weightage="40" keywordseo="co-founder">co-founder</keyword> N R Narayana Murthy or Nilekani (he played a key role in BATF — <keyword id="772065" type="ORGANIZATION" weightage="40" keywordseo="Bangalore-Agenda-Task-Force">Bangalore Agenda Task Force</keyword> in the early 2000s), or TV Mohandas Pai (former CFO and HR head who has been very active in public spaces). 
 
“It’s a part of their ethic, it seems. They have high believability, authenticity, and realize if they are true to themselves, people will listen, and they can grow collectively,” she said. 
 The industry is delighted at the turn of events. “It’s good to see high-profile corporate leaders opting for political careers,” said <keyword id="6413985" type="PERSON" weightage="40" keywordseo="Kiran-Mazumdar-Shaw">Kiran Mazumdar-Shaw</keyword>, CMD of Biocon. Som Mittal, former president of IT industry body <keyword id="6372077" type="CITY" weightage="40" keywordseo="Nasscom">Nasscom</keyword>, said the country needs a new breed of people, including technocrats, in government and opposition.

Why Two Ex-Infosys Bosses Took The Poll Plunge

<img class="gwt-Image" src="/photo/47772954.cms" /> We are in the midst of tremendous changes in the IT industry as new technologies and new ideas are disrupting traditional business models, <keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword>' non-executive chairman <keyword id="2912855" type="PERSON" weightage="100" keywordseo="R-Seshasayee">R. Seshasayee</keyword> said on Monday. 
 "Chief Executive, <keyword id="6369763" type="PERSON" weightage="100" keywordseo="Vishal-Sikka">Vishal Sikka</keyword> and his management team have articulated a clear strategy to exploit these emerging opportunities," he told investors at the company's 34th annual general meeting. Seshasayee, 67, who took over the top post on June 5 from K.V. Kamath, has been an independent director of the global software major since January 2011 and its audit committee chairman. 

	"The board fully supports the strategic direction taken by the new management and we are confident of desired outcomes in the coming years," Seshasayee said in his first address to about 1,000 investors at a college auditorium in the city. 
	 
	 

	Acknowledging the efforts of the 1.76-lakh employees in shaping and growing the $8.7-billion company, the chairman said their dedication, hard work and sense of values had differentiated the company from others. 
	 
	 

	Noting that 2014-15 was a landmark year for the outsourcing firm during which three of the seven co-founders bid farewell and Sikka became the first non-founder executive, he said their vision, selfless efforts and fundamental values to build an institution had become the country's pride. 
 

	"The board of this company was chaired by two iconic leaders - co-founder N.R. Narayana Murthy and Kamath, who had set very high benchmarks in corporate governance and shareholder value creation," he .. 

	Kamath stepped down from the top post following his nomination as president of the $50-billion BRICS' development bank at Shanghai, 
 

	"Kamath has been a great source of guidance to all of on the board, bringing clarity of purpose and speed in execution, which helped in steering the troubled company through a time of change," Seshesayee noted. 
 Besides, Murthy, who was chairman, vice-chairman <keyword id="2913155" type="UNKNOWN" weightage="40" keywordseo="S-Gopalakrishnan">S.Gopalakrishnan</keyword> and chief executive S.D. Shibulal were the three co-founders who relinquished their executive posts in October and July last fiscal. The other four are <keyword id="44604" type="PERSON" weightage="60" keywordseo="Nandan-Nilekani">Nandan Nilekani</keyword>, N.S. Raghavan, K. Dinesh and <keyword id="336044" type="PERSON" weightage="40" keywordseo="Ashok-Arora">Ashok Arora</keyword>. 

	Though Raghavan retired in 2000 as joint managing director, and Arora, who was on the board till 1989, left for the US later, four co-founders steered the company from a $100 million to $8.7-billion IT behemoth as successive chief executives, with Shibulal being the last. 
 Nilekani, who was chief executive from 2002-07, quit the company as co-chairman in 2009 on becoming chairman of the <keyword id="86474" type="ORGANIZATION" weightage="40" keywordseo="Unique-Identification-Authority-of-India">Unique Identification Authority of India</keyword> ( UIDAI), which issues Aadhaar card to citizens. 

	Dinesh retired in 2011 as the company's head of quality, information systems and the communication design group. 

	 
	 
	(image credits: infosys)

2014-15 landmark year for Infosys: R. Seshasayee

<img class="gwt-Image" src="/photo/57406222.cms" /> A considerably higher percentage of <keyword id="6362513" type="ORGANIZATION" weightage="100" keywordseo="Startups">startups</keyword> are flush with funds today compared to a decade earlier. As a consequence, in the last few years, the market prices for certain type of talent has shot up, mainly fuelled by the whirlwind of VC money made available. 
 
<img class="gwt-Image" src="/photo/57406233.cms" /> 
 
(Image Source: Dilbert.com) 
 
The machinations of startup finances require them to pay over the odds for top talent. While they are high pressure jobs that require cross-functional skill sets, not unlike other industries, they are also high-risk, as the environment is relatively new, unexplored and extremely competitive. 
 
Undeniably, salaries contribute massively to the burn-rate of startups, especially at unicorns. Often, wages were the single biggest expense items at a startup. At one point it appeared as though the unicorns were trying to outspend each other in enticing the best talent from top B-schools and the valley, but more as an ostentatious show of strength rather than out of requirement or necessity. It reminds you of those pubs that have a scoreboard announcing which table spent the most on alcohol. Needless to say, there has been plenty of debate on when the bubble would burst. 
 
The problem with too much money and overpaying key personnel is that you start operating in a separate market altogether. 
 
That means expensive hires could turn out to be expensive mistakes too, when exorbitant severance packages are factored in. Also, there aren’t many corporates willing to pay unicorn-level startup wages, even for above-average talent which results in them getting locked-in at the startup. 
 
All of this (combined with other macro factors) hastened the fund crunch, leading to lay-offs and a <a href="http://economictimes.indiatimes.com/small-biz/startups/funding-freeze-puts-startup-hiring-in-cold-storage-up-to-50-drop-in-recruitment/articleshow/57240893.cms">50% drop in recruitment</a> in the last 18 months. 
 
Using <keyword id="1454728" type="UNKNOWN" weightage="100" keywordseo="high-wages">High Wages</keyword> as a Strategy 
Ashish Sinha, in his <a href="https://www.nextbigwhat.com/indian-startups-foreign-competition-297/">critical post</a> against protectionism mentions how “excessive funding” shaped the thinking of a “startup founder’s <keyword id="6357342" type="PERSON" weightage="100" keywordseo="Hiring">hiring</keyword> mantra”, which was to give 
 
…so much salary to employees that the salary becomes an exit-barrier. 
 
He goes onto mention that, several startups “had to shut shop because they couldn’t afford to bring in great talent, thanks to the talent-hoarding war by the likes of Flipkart and Ola.” 
 
It can be supposed that, 
 
Such practices created an environment where it appeared as if there existed two markets, one for unicorns and another for the rest. 
 
<img class="gwt-Image" src="/photo/57406428.cms" /> 
 
(<a href="http://www.tnhh.net/assets/posts-images/throw_money_at_it.jpg">Image Source</a>) 
 
In a way, when growth is the focus and the pace set is extremely ambitious and aggressive, there are few options left other than ‘throwing money at the problem’. So, the <a href="http://www.livemint.com/Companies/55bKNDKYIn4YFlBVuuxitL/Startups-pay-top-dollar-for-Silicon-Valley-talent.html">best talent was lured in at a considerable premium</a> which further skews the wage index heavily. 
 
But paying extremely high salaries comes with its cons besides increasing cash-burn. A recent Bloomberg report mentions how some Google self-driving car experts were <a href="https://www.bloomberg.com/news/articles/2017-02-13/one-reason-staffers-quit-google-s-car-project-the-company-paid-them-so-much">overpaid so much that they quit</a>. Back here, there’s been a spate of exits at the highest levels at <a href="http://www.livemint.com/Companies/LgBrTHVqAM6MBeCAhdDIVJ/Flipkarts-new-CEO-has-his-work-cut-out-in-the-wake-of-topl.html">various</a> <a href="http://economictimes.indiatimes.com/news/company/corporate-trends/top-executives-from-flipkart-snapdeal-ola-and-paytm-quit-companies-to-start-own-ventures/articleshow/51901907.cms">unicorns</a>. While the reasons vary, they have been largely attributed to lack of innovation and work culture in the latter case. 
 
When M&amp;As become the primary strategy for top talent acquisition-When unicorns can’t get the talent they desire, they ‘acqui-hire’ 
Usually an effective strategy to on board entrepreneurial talent who have a high risk appetite, it turns out to be quite expensive too (especially if the buy-out is an all-cash deal). Many a time, post acquisition, the founders lose motivation and may not align completely with the acquirer’s vision. Sometimes, it could turn out to be bad cultural fit for both organisations. 
 
An interesting case was when Flipkart <a href="http://www.livemint.com/Companies/DbMTb2tDKuZoTfEa203XBL/Flipkart-acquires-UPIbased-payments-startup-PhonePe.html">hired back their ex-employees</a> by acquiring the startup they had just founded for a rumoured $20 million. The acquisition was done so quickly, that the founders were yet to launch their product after having quit. It does make one wonder why they weren’t given the freedom to develop that product while they were still employed. 
 
But the playing field is more level now than ever before 
The sheer quantum of dollars flowing in and number of deals happening has resulted in the Indian startup system becoming a more level playing field in reality. 
 
Everyone has reasonable spending power and there is only so much top talent the unicorns can hire. 
 
And the absolute elite talent from the valley, could not be lured in to make that extra difference. That meant, other funded startups could attract local talent, albeit above market prices. 
 
Issues due to wage disparity 
Another problem is that while the top management is paid top dollar, it does not filter down the pyramid at the entry-level or mid-level roles. It is becoming increasingly common for employees to have that <a href="http://www.huffingtonpost.in/2016/08/22/justifying-recent-layoffs-flipkarts-sachin-bansal-claims-he-wa/">odd spat with the management</a> and sometimes even <a href="http://www.thehindu.com/business/Industry/sacked-tinyowl-employees-confine-founder-for-48-hours/article7850903.ece">openly revolt against the founders</a>. But, that is expected when there’s uncertainty over future funding and/or revenue sources. 
 
The recent <a href="https://m.yourstory.com/2017/02/the-infosys-severance-drama/">Infosys episode</a> on high severance packages is a clear example of the old guard trying to uphold core values and maintain transparency as the current management team has adopted a growth-at-all-costs approach which has upset the founders who built their success on frugality and efficiency. 
 
N R Narayana Murthy felt his “compassionate capitalism” philosophy was under threat, which recommends that the ratio between highest compensation in the firm and the median salary should ideally between 50% to 60%. The salary hikes and severance packages, NRN claimed, affected employee morale and increased dissatisfaction. 
 
Regulate Wages? 
Does bringing in regulations on salaries make sense? I don’t think so. We operate in a free market and market dynamics should always dictate wages. That is key for a performance based economy to flourish. 
 
However, to create companies that last at least a couple of decades, firms could insert clauses in the company’s charter that impose reasonable restrictions on salaries. 
 
So what then is the solution? 
Focusing on the fundamentals of building a company and never losing sight of it as the firm grows, is key. That means, getting the work culture right, building lean teams, reducing redundancy and increasing efficiency are critical for success. 
 
But more importantly, it always starts with <a href="https://www.linkedin.com/pulse/8-steps-hiring-right-your-startup-praveen-rajaretnam">choosing the right candidates</a>. 
 
Share your thoughts with me on <a href="https://twitter.com/prajaret">Twitter</a>. 
 
Read: <a href="https://www.linkedin.com/pulse/8-steps-hiring-right-your-startup-praveen-rajaretnam">8 Steps to Hiring Right at Startups</a> 
 
(Main Image: Thinkstock)

You Searched For "N R Narayana Murthy" and got 14 results

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Narayana Murthy wants the government to protect honest bureaucrats and politicians. Know why!

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Why Two Ex-Infosys Bosses Took The Poll Plunge

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2014-15 landmark year for Infosys: R. Seshasayee

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Here’s how the startup hiring scene has changed in the unicorn era

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