Indian Software Companies Research Articles

Interplay of paradoxical virtual leadership and psychological contract violation – impact on organizational citizenship behavior

PurposeThe daunting task of managing knowledge workers virtually has not always yielded positive results. This empirical work discusses the impact of Virtual Leadership on Organizational Citizenship Behavior. The study investigated how Psychological Contract Violation moderates the relationship between Virtual Leadership and Organizational Citizenship Behavior.Design/methodology/approachData was collected from 392 IT engineers working in software companies in India. The cross-sectional data was analyzed using Warp-PLS software, IBM SPSS and IBM Amos.FindingsThe results support the proposition that virtual leadership is negatively associated with Organizational citizenship behavior, at sub-dimension levels except obedience. The moderating role of psychological contract violation is also established by the results.Practical implicationsVirtual leaders should demonstrate collaborative behaviors to generate organizational citizenship behavior among team members. Leaders should be imparted training to enable them to adapt themselves to virtual environment. This study highlights the paradoxical nature of virtual leadership and opens the possibilities for future research.Originality/valueThe study is one of the first to report a negative association between Virtual leadership and Organization citizenship behavior. There is uniqueness in the use of the “Contingency theory of leadership” to explain the difficulties faced while managing a virtual team.

Analysis of Key Performance Indicators to Study the Growth and Development of Selected Software Companies in India

The Indian software industry plays a significant role in developing the national economy, from an inward looking economy into a dynamic digitally empowered society. Nearly 95% of the foreign exchange inflows in the service sector are contributed by IT and Buisness Process Outsourcing (BPO) industries. Indian government policy was introduced in 1986 and modified in 1988 in relation with the world market policy, Software Technology Parks of India scheme support to attract Foreign Direct Investment. Recent advancement in the field of information and communication has significantly modified the role of IT in all organizations. Enormous growth in IT industry has changed the outsourcing strategy and buying behavior. Organizations can realize more benefits by investing more funds in IT. India is considered a pioneer in software development and a favourite destination for software and IT enabled services. IT industry has produced a revolutionary variation in the economic scenario and a huge number of personnel are working with higher productivity and association with Multi National Corporations (MNCs).

Generation Z software employees turnover intention.

This study applied the social exchange and social identity theories to investigate the association among resonant leadership, self-efficacy, organizational identification, work performance, and turnover intentions in Generation-Z (Gen-Z) software professionals. The study sampled 73 leader-subordinate dyads from 10 large-scale software companies in India through an online survey. Hierarchical linear modeling, including multilevel mediation, was conducted to test the proposed model. The results of this study revealed the cross-level effect of resonant leadership on the work-related outcomes among the Gen-Z software operators based on two psychological mediators, namely, self-efficacy and organizational identification. It suggests that resonant leadership could be the potential driver to manage the predominant psychological factors of the incoming cohort group of Gen-Z software professionals, which yield positive work outcomes. Based on the empirical evidence, the software companies can devise suitable intervention mechanisms to enhance productivity and reduce turnover intentions of the Gen-Z cohort. Thus, this study is a novel attempt to establish a comprehensive theoretical framework that provides a broad scope for future research to investigate the mechanisms which manage the expectations of Gen-Z cohorts.

Exploring the Work-Family Integration During COVID-19 and Beyond

Due to the COVID-19 pandemic, influence on business and organization practices and policies, and the number of couples joining the workforce in India has increased significantly. Due to forced work-from-home strategy and rigid work policies, couples struggle to integrate their professional and personal lives effectively. Various work and family-related topics are examined in this study to see how Indian couples manage work and family. An exploratory qualitative research article interviewed ten couples from Indian software companies. The six main themes that emerge from the stories include the impact of family on life choices, the difficulties of balancing many roles, and the need for coping methods in the workplace.

FINANCIAL PERFORMANCE OF SELECT SOFTWARE COMPANY IN INDIA –AN ANALYTICAL STUDY

Information Technology in India is an industry consisting of two major components: IT services and business process outsourcing (BPO).[1] The sector has increased its contribution to India's GDP from 1.2% in 1998 to 7.7% in 2017. India's IT Services industry was born in Mumbai in 1967 with the creation of Tata Consultancy Services[7] who in 1977 partnered with Burroughs which began India's export of IT services. Objectives of the study, 1. To analyze the financial performance of selected software companies in terms of liquidity and solvency, positions and to assess the working capital position of selected software companies in India. Methodology of the study, Secondary data is used for the study which is obtained from concerned companies‟ website, NSE website and also from other relevant sites. Ten companies were selected as sample size, on the basis of convenient sampling technique. To analyze the performance of the selected companies, various techniques have been applied, like ratio analysis, mean, standard deviation, coefficient of variation and CAGR Suggestions of the study, The burden of interest has produced a deteriorating effect and reduced the percentage of net profit. It is suggested that a study of productivity and financial efficiency of the software industry of Indian companies. The few companies, which did not follow a definite policy of financing fixed assets, should follow such policy.

Rethinking the trajectory of economic development: a study of firm entry mode under reverse directionality

PurposeMost of the research studies on entry mode have been done through the lens of manufacturing firms from mature economic countries entering the Global South countries, and most of the related frameworks and theories have been developed to explain this perspective. This paper presents an understanding of entry mode strategies of services firms from the Global South countries entering into countries with mature economies by considering six software services firms in India entering the US market. The study develops a framework that incorporates multiple theories – both from an emerging economy perspective as well as a services perspective.Design/methodology/approachThis study is exploratory in nature and focuses on the how and why aspects of strategic decisions. Qualitative research has traditionally been chosen when the main research objective is to improve understanding of a phenomenon. A multiple case study approach was used in this research. One of the key aspects of this study is the impact of different theories (institutional, network and other theories) on enterprises of different sizes. Therefore six cases – two each on small, medium and large enterprises – were selected.FindingsResults identify addressable market size, cultural aspects, firm size, resource and service characteristics as dominating factors that influenced choice of entry modes. From a theoretical perspective, the author finds that theories such as transaction cost theory, eclectic paradigm and other popular theories associated with entry mode do not successfully explain the entry mode strategies for firms from the Global South. Strategic theory, such as resource-based view, motivation of a firm, have some application but do not explain, in isolation, all aspects of the entry mode choices.Research limitations/implicationsThe study is an exploratory study and needs more data to validate the themes expressed in its conclusions. The study also focused on one industry and one country. Different industries within the same country may have different characteristics and may not follow the observations found in this study. Similarly, firms from other countries with similar economic characteristics may exhibit very different behavior. As a result, the themes that were expressed for software companies in India may not be generalizable across other industries and countries.Originality/valueThis study is significant for both academics and managers. For academics, the study addresses a significant gap in the literature. For managers, this study provides a framework for managers to evaluate and select the entry mode strategy that would be most effective in a successful expansion into foreign countries.

Does board structure impact a firm's financial performance? Evidence from the Indian software sector

PurposeThe purpose of this study is to examine the impact of board structure on financial performance of Indian software companies. It is an empirical study carried out on 92 software companies from 2011 to 2018.Design/methodology/approachThe board size, board independence, board meetings, CEO duality, audit, remuneration and nomination committee are used as board structure variables. Two accounting-based measures, return on assets (ROA), return on equity and one market-based measure Tobin's Q are used as a representative of financial performance of software companies. Panel regression is used to test the hypothesis.FindingsResults demonstrates that board size, board meetings, remuneration and nomination committee have positive impact on more than one performance measures, while audit committee do not have any relation with any of the performance measures. It is also found that CEO duality has negative but significant relation with firm's performance and board independence has negative influence on ROA.Practical implicationsThe findings of the study attract the attention of company's policymakers, shareholders to know the importance of board structure in increasing the firm's performance. The outcome of the study has relevance in other developing economies also. The results of the study can be utilised by policymakers and regulatory bodies in the formulation of good corporate government (CG) practices for the enhancement of profitability and market value of companies.Originality/valueThe findings suggest that special attention should be given to quality of CG, specifically board structure while measuring corporate financial performance.

Towards creativity in Indian software companies: development of an instrument to select and evaluate creative practices

Creativity research has a long history in determining the use of potential capabilities of employees by way of developing intellectual capabilities, providing positive organisational environment, involving them in challenging tasks and diversity in work culture and human resource within the companies. This paper discusses the role of employee creativity in Indian software companies. It identifies the determinants which are necessary to enhance the creative practices at individual and organisational level. Although, the previous studies have identified the need of innovation in products and processes to cater the need of global competition in information communication technologically (ICT) oriented companies. This paper addresses the deficit of study in the field of human resource management (HRM) and creativity and widens the scope of creativity in software companies by determining the factors which enhance employee's creativity through creative climate and creative behaviour. The results also show that there exist several factors which influence creativity at individual and organisational level. This research contributes to existing study and further develops an instrument based on employee creative behaviour and organisation creative climate. This instrument (survey tool) is accurate, reliable and valid mechanism to measure creativity in ICT companies.

Towards creativity in Indian software companies: development of an instrument to select and evaluate creative practices

Creativity research has a long history in determining the use of potential capabilities of employees by way of developing intellectual capabilities, providing positive organisational environment, involving them in challenging tasks and diversity in work culture and human resource within the companies. This paper discusses the role of employee creativity in Indian software companies. It identifies the determinants which are necessary to enhance the creative practices at individual and organisational level. Although, the previous studies have identified the need of innovation in products and processes to cater the need of global competition in information communication technologically (ICT) oriented companies. This paper addresses the deficit of study in the field of human resource management (HRM) and creativity and widens the scope of creativity in software companies by determining the factors which enhance employee's creativity through creative climate and creative behaviour. The results also show that there exist several factors which influence creativity at individual and organisational level. This research contributes to existing study and further develops an instrument based on employee creative behaviour and organisation creative climate. This instrument (survey tool) is accurate, reliable and valid mechanism to measure creativity in ICT companies.

Challenges and Barriers in Convergence of IND_AS with IFRS: A Perspective Investigation on Indian Professionals and Officials

Purpose: The paper examines the perception of officials and professionals in implementing IFRS at pre-initial stage. India accepted to implement the IFRS from 1st April 2016 despite reluctance from practitioners. Paper explores the responses towards challenges in implementation of IFRS rather than its effects after implementation. Design / Methodology / Approach: Quantitative research is used with use of structured questionnaire. The survey provided 192 responses from across India.Findings: Study questioned the readiness in adoption of IFRS and handling the challenges. Both officials and professionals have similar concern in implementing IFRS. Both groups agreed on the importance and usefulness of globally harmonizing AS but do not find it easy to adapt IND-AS to IFRS and have many concerns over it. Moreover, IASB is not properly emphasising in smoothening the process of implementation other than just organizing training sessions. Young and skilled professionals appreciated more of IFRS implementation than elderly and less skilled. Female participants are more receptive than men. Indian software companies were already using US GAAP norms for more than a century.Implications / Contributions: Analysis suggested IASB to focus on implementing issues and must work in coordination with national boards of every country to address those issues locally.Suggestions: Involvement of corporate houses, local authorities, boards, national agencies, professionals and officials are required for success of IFRS adoption. The Author is preparing to submit a report to IASB to facilitate them in bringing effectiveness for the same purpose. Originality of Study / Importance: The study focuses on issues specifically raised by officials and professionals of India. No study conducted with this perspective especially on India.Scope of Study: Based on the literature review, corporate governance is identified as an important area as the scope of this study in order to bring the effectiveness of implementation phase of IFRS within Indian companies, and to identify different factors that increases risk of failure. Further, it is important to study the role of monitoring institutions, regulators, and government in encouraging professionals and officials to smoothen the implementation phase in India. Nevertheless, effects after implementation need to be studied further.

Artificial Intelligence interchange human intervention in the recruitment process in Indian Software Industry

The paper discussed on artificial intelligence (AI) inference in human resource management, especially in the recruitment process. The study aim is to know artificial intelligence swapping human involvement in the recruitment process in selected software companies in India. To get valid data, the study designed structure questionnaire for different designations of 138 HR professionals and also used convenience sampling, coefficients beta (β), cronbach's alpha, t test and descriptive statistics test were used. The study found that artificial intelligence has a positive on human replacement in the recruitment process. Meanwhile, the study is expected to help studied organizations to formulate recruitment strategies and policy interferences to align to develop its effective recruitment process to recruit qualified talent into team to encounter competitive business and to develop sustainable environment.

Impact of Acquisitions on Financial Performance of Selected Softwarecompanies in India

The objective of the study is to examine the impact of Acquisitions on financial status of selected software companies in India. This study is based on Infosys, Panaya, CMC and TCS companies. It also estimates the pre and post-acquisition financial p

Do HRD practices affect perceived market performance through operational performance? Evidence from software industry

PurposeThe purpose of this paper is to examine the effect of human resource development (HRD) practices on perceived operational and market performances in the software companies in India, and also the mediating effect of operational performance in the relationship between HRD practices and market performance.Design/methodology/approachData were collected from 516 professionals working in 37 software companies in India. Partial least square (PLS) was used to test the proposed structural equation model.FindingsThe findings reveal that the HRD practices significantly affect market performance. However, operational performance, as a mediator, was found to have a crucial role in transferring the effects of HRD practices to market performance.Research limitations/implicationsThe findings of this study are in line with the theory of HRD which suggests a positive relationship between HRD and organizational performance.Practical implicationsThe results suggest that to enhance the market performance, organizations need to enhance operational performance by meticulously designing and implementing the series of HRD practices.Originality/valueThis study is one of its kind to overcome the limitations of earlier studies to examine the effect of comprehensive dimensions of HRD on operational and market performance.

Effective Recruitment and Selection System for the IT Software Industry in India

The Information Technology (IT) Software Industry in India has attracted worldwide attention recording phenomenal rates of growth, achieving the status of an economy driver for a country, emerging as a superpower of the Twenty First Century. It is equally vital that this trend continues in the midst of global challenges and competition. While the system in vogue has been meeting the current challenges, little research has been done to determine the effectiveness of recruitment and selection system for the IT Software Industry in India. The purpose of this research was to determine an effective recruitment and selection system and assist the IT Software Industry in India in meeting the challenges of the future. The data was collected from the IT Software Companies in India, with a structured questionnaire, using online survey. Of the approximately 105 IT Software Companies that were addressed in the final questionnaire, 78 responded and only 50 of these responses were found to be complete.

Artificial Intelligence Interchange Human Intervention in the Recruitment Process in Indian Software Industry

The paper discussed on artificial intelligence (AI) inference in human resource management, especially in the recruitment process. The study aim is to know artificial intelligence swapping human involvement in the recruitment process in selected software companies in India. To get valid data, the study designed structure questionnaire for different designations of 138 HR professionals and also used convenience sampling, coefficients beta (β), cronbach's alpha, t test and descriptive statistics test were used. The study found that artificial intelligence has a positive on human replacement in the recruitment process. Meanwhile, the study is expected to help studied organizations to formulate recruitment strategies and policy interferences to align to develop its effective recruitment process to recruit qualified talent into team to encounter competitive business and to develop sustainable environment.

A Study on Liquidity and Profitability in Selected Indian Software Companies

A Study on Liquidity and Profitability in Selected Indian Software Companies

Examining the Impact of HRD Practices on Organizational Commitment and Intention to Stay Within Selected Software Companies in India

The Problem Software companies are knowledge-based organizations, they invest considerably on human resource development (HRD) practices to overcome the shortage of competent workforce, to stay competitive in the dynamic and competitive business environment of today. Furthermore, software companies are continuously involved in HRD interventions for the development of employees; problems such as low levels of employee commitment, employee engagement, and employee intention to stay are the biggest challenges. The Solution This study examined the impact of comprehensive HRD practices on organizational commitment (affective, continuance, and normative commitment), and employee intention to stay. In addition, it examined the impacts of organizational commitment on employee intention to stay. Survey responses were collected from 516 employees working in different software companies in India. Data were analyzed using partial least squares (PLS) method. Results showed that HRD practices have positive impacts on employee intention to stay as well as on the three components of organizational commitment. Furthermore, only affective and normative commitments were found to positively affect employees’ intention to stay, whereas relationship between continuance commitment and intention to stay was found to be negative and not significant. The Stakeholders Implications for software companies, HRD professionals, and scholars: First, software companies may like to formulate their strategies keeping organizational commitment and employee intention to stay in focus. Second, human resource (HR) managers are encouraged to develop a metric to assess the value added by each HRD practice in managing attrition. This study contributes to the existing concepts on links between HRD practices and attitudinal variables by suggesting a theoretical framework. Finally, it provides empirical evidence that HRD practices in software companies must be sound to enhance employee intention to stay and organizational commitment in India.

Examining the Use of Systemic Approach for Adoption of Systems Thinking in Organizations

The need for systems thinking (ST) in organizations is being increasingly felt, and sustained effort towards nurturing ST in organizations is still rare. Some companies that tried it earlier were not so successful. One of the reasons for this problem is that the implementation is done more with a reductionist mindset rather than a systemic mindset. It is no doubt challenging for managers so accustomed to reductionist thinking to cultivate the habits of systems thinking. This paper examines the use of a systemic approach for the successful adoption of systems thinking in organizations. The systemic approach needs a good system model for the systematic guidance of the implementation. The systemic model used in this study is a spirit, mind, and body model (SMB)—a holistic model taken from the spiritual lore which emphasizes the need for the alignment of spirit, mind, and body in order to achieve human excellence. We extended this model for use in an organizational context, and defined the systems of the spirit, systems of the mind, and systems of the body for an organization. Systems of the spirit are related to the leadership system, systems of the mind to the learning and change management systems, and systems of the body to the supporting systems such as tools and technology. We used such a model earlier to explain the suboptimal results in the implementation of capability maturity models (CMM) in software companies in India. In this paper, we used this model to explain the rather unsatisfactory results in the implementation of ST in companies like Ford and the satisfactory results in the implementation of “work out” at GE. “Work out” is a five-step process in which ST is a prominent step. We argued whether “work out” can be a good warm-up step that can prepare the organization for successful ST implementation. The study shows that the SMB framework is helpful in conducting an intelligent discourse about the implementation of ST-like initiatives in companies and has excellent potential for use as a guide for ST implementation in organizations.

Analysis of a Theoretical KMS Model Implementation in the Indian IT Sector Using PLS-SEM

The software industry being highly resource-oriented tries to ensure that knowledge residing in the minds of the employees is effectively utilised for leveraging core business competencies. Therefore, providing effective knowledge management systems (KMSs) to utilise this knowledge for optimising business processes has become crucial for enterprises to stay competitive. This paper attempts to assess the effectiveness of KMS implementations from a knowledge workers’ perspective via six dimensions of the Jennex and Olfman (J&O) KMS success model. Quantitative data was collected through a web-based survey questionnaire from knowledge workers in 25 Indian software companies. Statistical analysis of the study’s model was conducted using SmartPLS® (version 2.0.M3) software for assessment of both measurement and structural models. The empirical analysis of the model’s hypotheses indicated that a knowledge worker’s intent to use a KMS is significantly dependent on Service and Knowledge/Information Quality dimensions of J&O KMS success model. This paper implies that the J&O KMS success model seems to have adequate predictive power for most implied variables with the exception of System Quality. The J&O KMS success model from a practical point of view offers a means for organisations to evaluate and predict the effectiveness of KMS implementations. The results produced in this study may allow KM practitioners to know more about the levers that help to improve their KMS and thus suitably prioritise their investment plans accordingly.

Guiding metaphors for knowledge-intensive firms

Purpose The purpose of this paper is to conceptualize and empirically test the impact of strategic human resource management (HRM) practices on learning outcomes and also to examine whether this relationship is contingent on knowledge strategy in a sample of knowledge-intensive firms like software companies in India. Design/methodology/approach Data were collected through a questionnaire, and the software companies were chosen based on the listing in the NASSCOM annual report. A total of 32 companies participated in this research study, and the survey was conducted in two phases. Findings The universalistic approach revealed that organizational learning outcomes can be enhanced by focusing on specific individual HRM practices. Also, the fit between HRM practices and knowledge strategy revealed that the interaction effect between individual and knowledge strategy have had an increased impact on the learning outcomes. Practical implications HRM practices can be aligned to the targeted knowledge strategy of the organization and maximize specific organizational learning outcome to achieve sustained competitive advantage. Knowledge-intensive firms can measure their knowledge strategy and gauge whether it is complemented with HRM practices for better tangible and intangible outcomes. Originality/value The proposed model can benefit the firms to analyse the extent of contribution of HRM practices towards the organizational learning process. It also helps to understand how an organization can be productive by focusing on specific learning outcomes and establishing a tighter link between the select individual HRM practices and the defined knowledge strategy.