How India Inc can leverage technology to curb insidious graft
Tata Consultancy Services (TCS), India's leading IT services firm, under the scanner. But this episode is not surprising. India's private sector is not immune to rent-seeking, which permeates everything from marketing to procurement.
TCS uncovered the jobs scandal after a whistle-blower alerted the firm that some officials were favouring certain staffing companies while hiring contract employees. To be fair, the hiring constitutes 3% of jobs at the firm, and TCS swiftly banned six employees and six business associates for violating ethical conduct. But memories are short-lived, talent shortages are endemic in India.
Other companies will employ these employees and the agencies at the heart of the allegation in different avatars. We see it happen all the time. India's public sector has a long history of corruption.
It can, therefore, be argued that most Indians are somewhat accustomed to corruption, conflict of interest and graft. Most would see it as the only way to get things done. What troubles TCS may hardly bother others.
So, scores of executives with the power to hand contracts do so for private gains, without fear, mimicking state behaviour. Marketing departments are notorious when it comes to awarding contracts, even within established organisations where there is a rule book and whistle-blower policy. Procurement departments are only several shades worse.
Even when the leadership works hard to keep the company clean, it only takes an errant line manager to skew the process. It's easy enough. They begin by misleading competing firms on the brief, feeding them insufficient information on the criteria, introducing difficulties in a pilot project at the last minute, or leading them on and eventually squeezing them so
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