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Naukri going for IPO; expresses mortal fear about its keymen being poached

Naukri going for IPO; expresses mortal fear about its keymen being poached

By HRIOL News Service

NEW DELHI, JUNE 8, 2006 : WE now live in IT & IT-enabled society. Even for a small problem or even critical information all growing business entities depend on IT-riding solution providers. Given that managing HR is a big challenge in today's highly mercurial and fluid job market, one name which has made its mark among online placement entities is www.naukri.com.

This job site has mega plans to expand its business in South Asia and Middle East. So much so that its parent company – Info Edge – has already initiated the process of collecting the required money from the market by the public issue (IPO) route.

What grabs one's attention if one reads its draft red herring prospectus is that even an organisation like Naukri.com has expressed mortal fear that people working in the company may be “poached” by its competitors.

This situation of attrition within the solution provider is ironic because it promises others a sure and secure human resource supply but it is not sure about its own HR stability.

However, it is a common problem for all and has created some business opportunities for insurance companies, which are providing insurance covers. Keyman insurance has become popular to retain strategically important professionals. For instance, Naukri.com has taken a hefty insurance cover of Rs five lakh for one of its Key persons.

Naukri in its prospectus also claims that it has provided online services to as many as 20,000 Corporate Customers in the financial year 2006 itself. Further, looking at the growth of Indian economy in various sectors the company is also hopeful that the boom will result in increasing human resource requirements for corporate customers. It has, in recent times, also done an aggressive brand building by sponsoring job show programme with a TV channel. Apart from this the company intends to focus on developing multi-channel delivery models for its services, particularly through mobile telephones. In fact next time if you get a job offer on your mobile via SMS then don’t get surprised. Naukri.com has identified SMS services as a potential channel of communication.



More articles © HRindiaonline.com 2006

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