7
April 2003
Raju/SriRam,
2003/04
TARGETS
We
discussed this last week, when I stressed the need for each consultant to do a
“Net collection” of at least 12 times his/her salary.
One
suggestion was that we should modify our incentive scheme & make it some
kind of a “GROUP INCENTIVE” based on entire company’s “Net Collection”
performance rather than, on an individual’s net collection.
I am
willing to take a look at any such scheme & await your proposal.
In
the meantime enclosed find
- Annex: A
- Annex: B (Same as A-except
graphically)
These
figures have been given by Asutosh.
You
will observe that figs. Given are for “Net Billing”
&
not for “Net Collection”
I am
sure Asutosh can also give you figs for Net Collection for last 5 years.
However
& feel the trend of Net Billing ratio, that we see, manpower cost will not
change substantially.
Also
if you feel that the figures are not exactly “Comparable” (apple-for-apple)
then please get correct figures from Asutosh & re-plot. Also plot 2003/04.
But one thing is clear.
We
have to reverse the trend, starting 2003/04.
Please
see, me as soon as you are ready.
STATEMENT
SHOWING SALARIES/NET BILLING
PARTICULAR
|
1998-1999
|
1999-2000
|
2000-2001
|
2001-2002
|
2002-2003
|
2493254
|
2543577
|
3891164
|
3891164
|
4635451
|
|
SALRIES
|
693254
|
743577
|
2091164
|
2080415
|
2835451
|
1593254
|
1643577
|
2991164
|
2980415
|
3735451
|
|
INCENTIVES
|
0
|
18938
|
11859
|
16778
|
38568
|
TOTAL (A)
|
693254
|
762515
|
2103023
|
2097193
|
2874019
|
NET BILLING (B)
|
9812550
|
8264179
|
13694256
|
11798497
|
14502858
|
3.93
|
3.24
|
3.52
|
3.03
|
3.12
|
|
(B)/(A)
|
14.15
|
10.84
|
6.51
|
5.63
|
5.05
|
6.16
|
5.03
|
4.58
|
3.96
|
3.09
|
Annex:
B/A = 5
3/5 =
A
60
Lacs
