<img class="gwt-Image" src="/photo/49255355.cms" /> Months after the <a href="http://www.businessinsider.in/searchresult.cms?query=Capgemini+">French IT giant Capgemini </a>acquired <a href="http://www.businessinsider.in/searchresult.cms?query=iGate">iGate</a>, a New Jersey-based IT firm, <keyword id="376348" type="PERSON" weightage="20" keywordseo="Ashok-Vemuri">Ashok Vemuri</keyword>, the CEO of <keyword id="20356" type="CITY" weightage="20" keywordseo="igate">iGate</keyword> announced his exit from the organisation. 
 As per an official statement by <keyword id="10863" type="COMPANY" weightage="20" keywordseo="CapGemini">Capgemini</keyword>, Vemuri resigned from the company to pursue other interests. 
 
In April this year, Capgemini striked a $4 billion deal to acquire iGate. 
 
Requesting anonymity, official sources informed that iGate finance chief Sujit Sircar would now take the interim responsibility of the role. Sircar, however, declined to make any comment on the matter. 
 
If reports are to be believed, Vemuri is set to walk away with a handsome amount in his pockets. As per the regulatory filings, his share in iGate was worth $19 million following the Capgemini acquisition. The move must have affected his final package, but there are no details available so far. 
 
Vemuri was recently elevated to Capgemini’s group management board, the company’s highest executive decision-making body, reported The Economic Times. 
 
Vemuri’s plans of quitting were widely speculated at the time when Capgemini bought iGate that eventually resulted in a major organisational overhaul and exits of a number of executives. 
 
It has also been said that Vemuri ditched iGate's "iTops" strategy that had been crafted by his predecessor Phaneesh Murthy, the former Infosys global sales head. 
 
Prior to iGate, Vemuri spent 15 years at India's second largest software exporter Infosys where he was a board member and held a number of roles, including head of Americas and head of the banking and financial services business. 
Image: indiatimes

iGate CEO Ashok Vemuri quits

<img class="gwt-Image" src="/photo/27835438.cms" /> If you think <keyword id="10387" type="CITY" weightage="60" keywordseo="Microsoft">Microsoft</keyword>’s prolonged search for the next <keyword id="5645" type="POSITION" weightage="100" keywordseo="CEO">CEO</keyword> is getting a bit nutty, especially with a disgruntled <keyword id="62333" type="PERSON" weightage="60" keywordseo="Steve-Ballmer">Steve Ballmer</keyword> waiting on the sidelines to hand over the mantle, you are not far from the truth. But then, that is the actual state of the coveted C-Suite nowadays – volatile is the right word if you want to sum it up. There is no job security at the top and even the best performer for years can get redundant within the span of a few weeks. The issues could be many – right from <keyword id="646347" type="UNKNOWN" weightage="100" keywordseo="poor-performance">poor performance</keyword> to <keyword id="610960" type="UNKNOWN" weightage="100" keywordseo="business-restructuring">business restructuring</keyword> to alleged <keyword id="6375736" type="UNKNOWN" weightage="100" keywordseo="corruption-charges">corruption charges</keyword>. But the biggest factor is relevance, a perfect future-fit that can take companies ahead, according to <keyword id="67736" type="UNKNOWN" weightage="100" keywordseo="Industry-experts">industry experts</keyword>. In a difficult <keyword id="34412" type="ORGANIZATION" weightage="100" keywordseo="economy">economy</keyword>, companies are compelled to twist and turn to keep track of profitability and their requirements change accordingly. Hence, their leaders have to adapt, shape up or ship out, as the case might be. 
 India is no exception and business leaders across the country have been frequently ‘released’ by industry giants. Many of them leave with ‘immediate effect’ while others are on garden leave or worse still, waiting for their predecessors to turn up (just like Ballmer). Yet, most of the C-Suite executives are tight-lipped about their departures, at least here in India. We are yet to come across an announcement like the one made by <keyword id="384914" type="PERSON" weightage="60" keywordseo="Groupon">Groupon</keyword>’s founder and former CEO <keyword id="488139" type="PERSON" weightage="60" keywordseo="Andrew-Mason">Andrew Mason</keyword>. But exit happens all the same – be it discreet or blatant. Here’s a quick look at some of the top-notch C-Suite executives from India who parted ways with their respective companies in 2013, their official exit lines and what happened behind the scene.

Strife At The Top: These
11 C-Suite Execs From India
Were ‘Let Go’ In 2013

<img class="gwt-Image" src="/photo/47067432.cms" />In what will be a big deal for the global IT sector, Capgemini on Monday announced that it will acquire <keyword id="20356" type="CITY" weightage="80" keywordseo="igate">IGate</keyword> in a transaction that will amount to $4.04 billion. 
 
Capgemini and IGate entered into a definitive merger agreement under which it will acquire IGate. IGate is a US-listed technology and services company headquartered in New Jersey (US), with revenues over $1.2 billion, double-digit growth, 19% operating margin in 2014 and a global employee talent capital of 33,000. 
 
The transaction is expected to be immediately accretive to Capgemini's operating margin and Earnings Per Share. 
 
"The combined group strengthens Capgemini's position as a leading company in IT services, outsourcing and consulting, with an estimated combined revenue of $ 12.5 billion, combined operating margin above 10% and around 190,000 people serving clients worldwide," the company said in its press release. 
 Capgemini <keyword id="17958" type="POSITION" weightage="80" keywordseo="Chairman-and-CEO">Chairman and CEO</keyword>, <keyword id="270078" type="PERSON" weightage="80" keywordseo="Paul-Hermelin">Paul Hermelin</keyword> said, "I am very pleased to announce a very important transaction in Capgemini's history. IGate is a leading company that perfectly fits our strategic ambition. It will give us a new status on the American market, and take further our industrialization journey to offer ever more competitive services to our clients. This will also give to the Group's Indian operations a new scale, allowing us to compete on par with the best US-based and Indian-based companies." 
 "This important move is fully in line with the <keyword id="522928" type="ORGANIZATION" weightage="80" keywordseo="Capgemini-Group">Capgemini Group</keyword>'s strategy. With IGate, Capgemini would quicken its pace to respond to key, fast growing and innovative markets," Capegemini said. 
 
The new company also stands to offer more platform-based and intellectual property-based solutions to help clients respond to and stay at the forefront of their market.

It's official: Capgemini will acquire IGate for $4.04bn

<img class="gwt-Image" src="/photo/48238076.cms" /> 
<a href="http://www.businessinsider.in/searchresult.cms?query=iGate">iGate</a> CEO <keyword id="376348" type="PERSON" weightage="60" keywordseo="Ashok-Vemuri">Ashok Vemuri</keyword> has been elevated to <keyword id="10863" type="COMPANY" weightage="80" keywordseo="CapGemini">Capgemini</keyword>'s highest executive decision making body. He is now part of the company’s group management board. 
 
The decision to promote Vemuri comes months after the Paris-based <a href="http://www.businessinsider.in/searchresult.cms?query=IT+services">IT services</a> giant bought the Fremont, <a href="http://www.businessinsider.in/searchresult.cms?query=California">California</a>-based outsourcing firm for $4 billion, reported the Economic Times. 
 According to two people familiar with the move, Vemuri is part of the board along with other top executives such as chairman and chief executive Paul Hermelin; deputy CEO Salil Parekh; consulting and BPO head Olivier Sevillia; infrastructure services business Patrick Nicolet; group CFO <keyword id="1484699" type="PERSON" weightage="60" keywordseo="Aiman-Ezzat">Aiman Ezzat</keyword> and people management and transformation head <keyword id="1433443" type="PERSON" weightage="100" keywordseo="Hubert-Giraud">Hubert Giraud</keyword>. 
 
A <a href="http://www.businessinsider.in/searchresult.cms?query=Capgemini+">Capgemini</a> spokeswoman confirmed the development in an email to the financial daily: "We can confirm that Ashok Vemuri has joined Capgemini’s GMB (Group Management Board)." 
 Other top <keyword id="20356" type="CITY" weightage="100" keywordseo="igate">iGate</keyword> executives have also been given new roles such as HR head <keyword id="1828560" type="PERSON" weightage="80" keywordseo="Srinivas-Kandula">Srinivas Kandula</keyword> is now leading the integration with Capgemini from iGate's side, the people mentioned above said. 
 
In April, CapGemini said it would buy iGate, which has most of its operations and employees in India, for $4 billion in cash to create an entity with a combined revenue of about $14 billion to gain access to the world's largest technology market, North America, and some of iGate's customers like <a href="http://www.businessinsider.in/searchresult.cms?query=General+Electric+">General Electric</a> and <keyword id="141194" type="CITY" weightage="80" keywordseo="Royal-Bank-of-Canada">Royal Bank of Canada</keyword>. 
 
(Image: Indiatimes)

iGate CEO Ashok Vemuri now in Capgemini’s management board

<img class="gwt-Image" src="/photo/47028344.cms" /> The fastest way to expand the existing business is by acquiring another company. And it appears that Europe's biggest IT services company <keyword id="10863" type="COMPANY" weightage="20" keywordseo="CapGemini">Capgemini</keyword> is likely to acquire NASDAQ-listed <keyword id="20356" type="CITY" weightage="20" keywordseo="igate">Igate</keyword>, which was founded by <keyword id="1042242" type="PERSON" weightage="20" keywordseo="Sunil-Wadhwani">Sunil Wadhwani</keyword> and <keyword id="1042241" type="UNKNOWN" weightage="20" keywordseo="Ashok-Trivedi">Ashok Trivedi</keyword>. This was revealed by multiple sources in a Times of India (TOI) report. 
 
According to the news daily, if the deal gets striked, it will be one of the biggest M&amp;As in the IT services arena. 
 
The TOI futher reported that in 2014, Igate had $1.27 billion as revenue. And now, its market capitalization stands at $3.6 billion. 
 The speculation about Igate being sold started soon after <keyword id="34499" type="POSITION" weightage="20" keywordseo="private-equity">private equity</keyword> giant Apax Partners, which financed much of Igate's $1.2-billion acquisition of <keyword id="46963" type="COMPANY" weightage="20" keywordseo="Patni-computer">Patni Computer</keyword> in 2011, converted its debt into equity four months ago to become Igate's largest shareholder in the company. 
 
Currently, Apax owns 29% stake in Igate, while Igate founders together hold 25% of the shares. According to the TOI report, Capgemini is looking at acquiring the 54% stake held by the promoters and Apax initially. However, it may later take Igate private by buying out the shares of other shareholders, sources told TOI. 
 Capgemini told TOI, "We do not comment on market rumours or speculation." Igate had not responded to queries at the time of going to print. There had been talk of French IT company <keyword id="327292" type="COMPANY" weightage="20" keywordseo="Atos">Atos</keyword> and <keyword id="6380915" type="COMPANY" weightage="20" keywordseo="BPO">BPO</keyword> <keyword id="6556311" type="POSITION" weightage="20" keywordseo="Major">major</keyword> <keyword id="25698" type="CITY" weightage="20" keywordseo="Genpact">Genpact</keyword> looking at acquiring Igate, but Capgemini is said to have nearly sealed the deal. 
 Peter Bendor Samuel, CEO of <keyword id="107837" type="CITY" weightage="20" keywordseo="Everest-Group">Everest Group</keyword>, said Igate would make an excellent acquisition for Capgemini. "Th<keyword id="267073" type="ORGANIZATION" weightage="20" keywordseo="EY">ey</keyword> are the right size to absorb, not too small so it does not move the dial, but not so big that they will struggle. Igate will be accretive to margins. Capgemini has a large net operating loss in the US from their failed acquisition of EY's consulting practice, and the large <keyword id="1472170" type="UNKNOWN" weightage="20" keywordseo="iGate-US">Igate US</keyword> presence will allow them to use it," he said. 
(Image:

Capgemini eyeing Igate?

<img class="gwt-Image" src="/photo/46987947.cms" /> 
At a time when it’s raining acquisitions everywhere, a company names Apax Partners is planning to exit an acquisition. According to an Economic Times report, Apax Partners, which had financed IGate's $1.2-billion (Rs 7,482 crore at current exchange rate) takeover of Patni, is planning to exit the acquisition, which is on the top lists of acquisition targets in the IT industry. 
 
The financial daily reports that Capgemini, Atos and Genpact are trying to acquire a part of IGate’s Patni Computer that Apax Partners have put on sale. 
 
In November, Apax Partners, which owns about 30% of the company, converted its debt in the company into equity and then filed with the US Securities and Exchange Commission to have the option to sell its entire stake. 
 
 
The report further explains why three IT players (mentioned in the report above) are interesting in iGate. "IGate is the Goldilocks of the IT industry. They are not too big, not too small. They are just the right size and scale. And they'd be a good fit for Capgemini, Atos or even Genpact," said Peter Bendor-Samuel, CEO of IT advisory firm Everest. 
 
Of all three, Capegemini is expected to be a likely buyer of the US-headquartered company feels analysts. London-based UBS analyst Michael Briest mentioned in a note that Capgemini would receive additional tax benefits from the deal, as it is carrying a large deferred tax asset in the US.

Guess who’s racing to claim their stakes in IGate?

<img class="gwt-Image" src="/photo/47079842.cms" /><keyword id="10863" type="COMPANY" weightage="80" keywordseo="CapGemini">Capgemini</keyword> announced yesterday that it would acquire <keyword id="20356" type="CITY" weightage="80" keywordseo="igate">IGate</keyword> for a whopping $4.04bn. A lot of you must have been wondering, where and to whom does all this money go to? In fact, some of you must have also wondered how one arrives at this mind boggling amount! Well, the company’s valuation based on its market capex aside, we at Business Insider have put together a list of names who will benefit the most from this deal. 
 
We have created a list of 9 people, entities, who will pocket several millions just by way of shareholding, which will give you a fair idea into how ne arrives at the $4 bn deal figure. 
 
<keyword id="218609" type="COMPANY" weightage="80" keywordseo="Apax-Partners">Apax Partners</keyword>, PE Firm, and largest stakeholder: $1.1 bn from 2,33,84,095 shares 
 
<keyword id="1042242" type="PERSON" weightage="80" keywordseo="Sunil-Wadhwani">Sunil Wadhwani</keyword>, Founder: $504.2mn from 1,05,06,075 shares 
 
<keyword id="1042241" type="UNKNOWN" weightage="80" keywordseo="Ashok-Trivedi">Ashok Trivedi</keyword>, Founder: $497.2mn from 1,03,59,175 shares 
 
<keyword id="376348" type="PERSON" weightage="60" keywordseo="Ashok-Vemuri">Ashok Vemuri</keyword>, CEO: $19.7mn from 4,00,000 shares 
 
Derek Kemp, EVP, Global Head Strategic Deals Team: $7.2mn from 1,50,000 shares 
 
Sanjay Tugnait, Head Americas: $7.2mn from 1,50,000 shares 
 
Sujit Sircar, CFO: $6.9 mn from 1,45,142 shares 
 
Srinivas Kandula, Global Head, HR: $6.9mn from 1,44,573 shares 
 
Satish Joshi, EVP and CTO: $6mn from 1,26,660 shares 
 
The IGate journey IGate was founded by Sunil Wadhwani and Ashok Trivedi in 1996. It went public on NASDAQ the very same year. Post a stellar few years of growth, IGate made a bid for its first major acquisition, acquiring majority stake in <keyword id="46908" type="COMPANY" weightage="80" keywordseo="patni-computers">Patni Computers</keyword> in 2011, delisting the firm a year later. Wadhwani and Trivedi roped in Apax Partners to complete the Patni acquisition, making the private equity firm a key stakeholder in the merged entity with 28.9% stake valued today at close to $1.5 bn. 
 
Given the strong growth momentum, it didn’t take long before IGate breached the $1bn revenue mark in 2012, soon after the Patni acquisition. Around May 2013, the company was riddled by an internal controversy that blew out of proportions and seriously threatened its reputation as a ‘well-governed’ company in the market. It was then that Phaneesh Murthy, its former CEO was fired over failure to disclose his personal relationship with a subordinate in the company. 
 
After several months of scouting, Wadhwani and Trivedi zeroed-in on Ashok Vemuri to takeover as IGate’s new CEO, in September 2013. Vemuri, then Infosys' board member who was also head of Americas besides chief of the manufacturing and engineering vertical, as president and chief executive officer, was known to harbour aspirations of taking over Infosys as its CEO. Once offered, Vemuri didn’t think twice before making the move. 
 
In fact, when Vemuri had quit Infosys, he was already one of the top contenders to become the firm’s first CEO, who wasn’t a co-founding member. Within the IT circuit it is said that Vemuri had had enough with the wait and watch game and decided to take on IGate’s offer almost as soon as it was made to him. 
 
In 2013, IGate also reached the $ 2bn market capex mark and completely reorganised the company in 2014 into vertical-based business units.

9 people who pocketed millions all because of the
Capgemini-IGate deal. Here’s how much each of them made

Krishnan <keyword id="6356252" type="PERSON" weightage="20" keywordseo="Ganesh">Ganesh</keyword>, has played a lot of roles in his life; from an engineer, to an entrepreneur, to now a venture builder, and his life has been nothing short of an trial. While his shoes have been too big to fill and as they keep changing, he is currently pioneering a unique model with Growth Story in India, which is probably only made popular by Rocket Internet in the country. GrowthStory is the venture-builder platform that Ganesh and his wife, Meena set up in 2011 which has promoted some of India's most disruptive start-ups including Portea Medical, Big Basket, Fresh Menu, Home Lane, AcadGild, HouseJoy, Social Frontier and many more. 

 

 

 

 

 

 

 

 

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This model is unique due to the fact that while Ganesh and Meena come up with entrepreneurial ideas, they hire executives to pull it off. It is not primarily "investment" only, but where GrowthStory is the "promoter," but where the Partners are often the originators of the idea, work to get a founding team in place, drive fund raising early in the game, work closely with founders to scale the venture, guide strategic direction et al. This ‘express’ entrepreneurship that the power couple pull through is extraordinary and the back- story to it is a roller coaster that, you can’t forget. Early life and career Ganesh’s father died in an accident when he was just nine years old and as the eldest of three siblings, he felt the need to set an example. His mother was a hard-working government servant and bought them up to the best of her capabilities.

 

 

 

 

 

 

 

 

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So Krishnan, became a mechanical engineer passed out from Delhi College of Engineering, and even got a post graduate degree from IIM before realizing that he didn’t want to be an engineer or just an MBA graduate. Ganesh credits his entrepreneurial trials to <keyword id="44903" type="PERSON" weightage="20" keywordseo="Shiv-Nadar">Shiv Nadar</keyword>, under whose guidance he experienced different business function, “I worked for five years in various functions and also as executive assistant to Shiv Nadar. My first venture started in 1990, a company called IT&amp;T where me and my friends pooled in money to get it started,” he told Business Insider. He ran the company till 1998 and remained the largest shareholder and director of the company till 2003 when it was sold to iGate. He went back to the corporate life but after two-years stint went back to entrepreneurship with his second business venture called CustomerAsset with Meena and another partner. It was later acquired by ICICI Bank in 2002 and Ganesh made $ 20 million for his stake in the company.

 

 

 

 

 

 

 

 

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In 2003 he stumbled upon an innovative new company called Marketics which was started by IIT and IIM graduates. Ganesh was approached for investment, mentoring and guidance. This company was also sold off to WNS, for $65 million where only half a million dollars were invested in this business without venture capital funding. Then Ganesh again started his own business with TutorVista in 2006 which was bought out completely by Pearson for Rs. 1000 crore. His multiple hits have led him to be where he is, but that isn’t without the missus by his side. When the the last acquisition happened, Ganesh and Meena decided to take the hard road and continue their entrepreneurship journey albeit this time, differently. "Only 5 per cent of start ups succeed and Ninety-five per cent end up failing. I see still young entrepreneurs after starting a company against all the odds. I'm addicted to fueling that until I can," says Krishnan when asked about why his family still makes risky businesses instead of just ‘settling down’. 

 

 

 

 

 

 

 

 

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The Perfect Pairing When it comes to Meena and Krishnan Ganesh, their complementary skill sets have given fuel to the train that is Growth Story. Professionally, Meena is more lauded as the CEO of <keyword id="6398216" type="COMPANY" weightage="20" keywordseo="Tesco">Tesco</keyword>,No.2 at <keyword id="10387" type="CITY" weightage="20" keywordseo="Microsoft">Microsoft</keyword> and now CEO at Portea, but Ganesh is the visonary that knows they can achieve so much together. As co-founders and life partners, they know that team work is the key to making a venture start and keep it running.

Exclusive: K. Ganesh Made BigBasket and Portea Medical Blockbusters in India, and This is his Unique Life-story

<div class="image-container float_right" style="width:400px"><div class="image"><img src="http://static5.businessinsider.com/image/51503aadeab8eae60a000014-402-302/india-tech.jpeg?maxX=400" border="0" alt="india tech" width="400" /></div>Vivek Prakash/Reuters</div>BANGALORE/MUMBAI, March 25 (<keyword id="76338" type="CITY" weightage="60" keywordseo="Reuters">Reuters</keyword>) - <keyword id="3658" type="COUNTRY" weightage="60" keywordseo="India">India</keyword>'s IT outsourcers are promoting "mini CEOs" capable of running businesses on their own, while trimming down on the hordes of entry-level computer coders they normally hire as they try to squeeze more profits out of their staff.
The shift by Infosys Ltd and others is symptomatic of a maturing industry that wants more revenue from its own intellectual property instead of providing only labour-intensive, lower-margin <keyword id="6363148" type="TECHNOLOGY" weightage="60" keywordseo="information-Technology">information technology</keyword> and back-office services.
For young graduates who see the $108 billion IT industry as a sure pathway to modern India's growing middle class, the transformation is unsettling.
Dozens of industry aspirants who were recruited on campus by No. 4 player HCL Technologies recently protested outside its offices in several cities. They were offered jobs in 2011 before graduating last year but have not yet been given joining dates - or paychecks.
"Dear H.R. You were also a fresher... once," read a sign carried by two protesters in a photo in The Hindu newspaper.
HCL's December quarter profits and revenues rose while staff numbers shrank - a rare trick in an industry that has long aspired to break the linear relationship between headcount and revenue growth.
Just 20 percent of the 5,000-6,000 campus recruits offered HCL jobs in 2011 have been taken on board since graduation last summer, and HCL said it made no offers in 2012 to students who would graduate in June 2013.
Slower growth, fewer people leaving, greater demand by customers for experienced staff, and increased productivity through automation and software have put pressure on all recruits, according to HCL, which said it expects to accelerate bringing entry-level staff on board from August.
"It's not that the demand doesn't exist. It exists for different skills," said Ajay Davessar, HCL's head of external communications.
"Typical roles which a student thinks, 'I'll just go there and start coding, and have a good life,' are being tested to reality... Any applicant, be it fresher or senior, will have to have flexibility in applying the skills elsewhere."
FEWER 'CODING COOLIES'
<keyword id="6358815" type="COMPANY" weightage="60" keywordseo="tech">Tech</keyword> Mahindra Ltd, the No.5 player, is naming 100 of what it calls mini-CEOs who will be given broad latitude to run their parts of the business.
"We're moving towards a situation like the developed economies, where we're asking the people to be more deep," said Sujitha Karnad, who heads human resources at Tech Mahindra.
"We want more solution architects to be here. We don't want the coding coolies anymore, that's clear," Karnad said, employing a term commonly used in India in association with menial labourers.
While plenty of Indian back office work such as technical support, processing insurance claims or staffing call centres will remain labour-intensive, software services firms are looking to move up the value chain, which means relying less on the time and toil of staff.
Growth in revenue per employee across the industry could expand to 5 percent a year in the next two years from about 3 percent over the past five, said Forrester Research principal analyst Frederic Giron. The growth rate is likely to accelerate from around 2015 as intellectual property-based work accounts for a growing share of the total, he said.
India's IT services industry grew in large part because of the availability of cheap skilled labour, an advantage that is eroding as wages and other costs in India rise.
In years past, it was cost-effective for IT companies to hire new graduates by the thousands and keep a portion on the "bench" awaiting deployment on a client project.
But budget-constrained clients now demand shorter lead times. IT vendors that might have hired people six months in advance of an expected contract are now working with a one- or two-month window, said Surabhi Mathur Gandhi, senior vice president at TeamLease, a staffing consultancy.
Traditionally, about 30 percent of Indian IT services industry staff are on the bench at any given time, often in training, as they await deployment to client work.
In the December quarter, about 70 percent of Infosys staff and less than 65 percent at No. 3 provider Wipro were deployed on billable projects. At Tata Consultancy Services , the largest Indian IT services company, the figure was 72 percent, within what Ajoyendra Mukherjee, its human resources head, calls the comfort range of 70 to 74 percent utilisation.
"I think we can push it up to 75, 76," he said.
Another IT services company, iGate Corp, envisions a future where just 10 percent of staff sit on the bench, said Srinivas Kandula, its human resources head, who predicts that the size of its bench will shrink by 2 or 3 percentage points a year over the next five years.
BACK-UP PLAN
Shorter benches mean a smaller share of hiring is direct from campuses, as seasoned professionals moving from a competitor would be less willing to wait to be deployed and firms are reluctant to pay them to do so.
Companies are also binding hires, especially experienced ones, with three-month notice periods and no-buy-out clauses, compared with one-month notice periods previously.
Among top-tier companies that are most actively trying to push non-linear growth where revenues are not constrained by the size of the work force, about 70 percent of employees are experienced staff, up from 60 percent in 2008, said Rajiv Srinivas, an associate director at Tech Mahindra, who expects that to rise to about 90 percent in the next two or three years.
At Infosys, while the net quarterly addition of employees fell from 4,906 people in the March quarter last year to 977 in the December quarter (excluding an acquisition), lateral recruitment held steady at an average of about 4,300 staff per quarter through December, meaning the percentage of campus hires was much lower.
"Earlier, the focus was more on career ... You get into a job, you start learning, and slowly acquire knowledge over a period of time," said Sunil Gupta, who joined Infosys as vice president of quality about six months ago from the Indian unit of CGI Group's Logica Plc.
"Today the value of a professional is judged by how quickly you're learning, how quickly you're adapting yourself and changing along with the environment," he said.
For young Indians who saw IT as a ticket into the middle class, the change means that career path is becoming less clear. Those who do break in and build valuable skills will remain in demand, but the days of young IT staffers brandishing five or more competing offers are over.
Yet that hasn't necessarily translated into slower wage growth. Mercer LLC expects industry salaries to grow 12 percent this year, the same as in 2012. As India's economy diversifies, graduates have more attractive career options, including at multinationals with a growing India presence, such as Google Inc , which means IT vendors must fight to stay attractive.
"We see IT companies as a back-up," said S. S. Jayaram, a final-year engineering student in Bangalore who says he chose a job in India with Mu Sigma Inc, a fast-growing U.S.-based data analytics company, over offers from IBM and TCS. (Editing by Emily Kaiser)
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You Searched For "iGate CEO" and got 9 results

iGate CEO Ashok Vemuri quits

BI India Bureau

Strife At The Top: These 11 C-Suite Execs From India Were ‘Let Go’ In 2013

Sanghamitra Mandal

It's official: Capgemini will acquire IGate for $4.04bn

BI India Bureau

iGate CEO Ashok Vemuri now in Capgemini’s management board

BI India Bureau

Capgemini eyeing Igate?

BI India Bureau

Guess who’s racing to claim their stakes in IGate?

BI India Bureau

9 people who pocketed millions all because of the Capgemini-IGate deal. Here’s how much each of them made

Debdatta Das

Exclusive: K. Ganesh Made BigBasket and Portea Medical Blockbusters in India, and This is his Unique Life-story

Tanya Dubey

The $109 Billion Indian IT Industry Is Going Through A Massive Shift

Reuters