In today's globalised world, hiring talent from different countries has become increasingly common for tech companies seeking to build diverse and skilled teams. One country that stands out as a top destination for tech talent is India. According to a report by NASSCOM,
India’s Tech industry employee base stood at over 5 Mn in 2022, making it one of the biggest tech talent hubs globally.
India has an annual supply of 2.14 Mn STEM graduates, ranking it 2nd globally only next to China.
India continues to be the 3rd largest tech startup ecosystem globally (after the US and China). As of 2022, India is home to over 25,000 active tech startups, with over 1300 being added in CY2022.
Several multinational tech companies have established their presence in India, recognizing the talent potential the country offers. The total number of GCCs in FY2023 was over 1580 with an installed GCC talent of over 1.66 Mn.
11% of the global Web3 talent is in India, making India the 3rd biggest talent pool in this area.
Major Benefits of Hiring Talent in India
Abundant Talent Pool: India boasts a massive talent pool, with millions of highly skilled professionals in the technology sector. This vast availability of talent provides US companies with a wide range of options to choose from.
Cost Efficiency: Hiring talent in India often proves to be cost-effective for US-based companies. The salary expectations of Indian tech professionals are typically lower than their counterparts in the United States, allowing for significant cost savings without compromising on quality.
24/7 operations and faster time-to-market: With a remote engineering team spread across different time zones, you can achieve round-the-clock operations. This enables faster development cycles, as work can progress even when some team members are offline. It also allows for quicker response times to customer needs, resulting in faster time-to-market for your products or services.
In this blog, we will explore how to hire the right engineering talent in India by providing you with a comprehensive checklist to ensure successful recruitment.
Steps to Hiring the Right Tech Talent in India
Research the job market
The first step toward hiring an effective candidate is to research well about the India job market. Decide:
Which engineering job-roles to hire?
When to start recruiting?
What salaries to offer?
For instance, when seeking to hire entry-level positions, you may opt to recruit between March and May, which typically coincide with the final months of a college semester before students graduate. On the other hand, experienced professionals are generally available year-round, as they tend to explore job opportunities every 2 to 3 years, often after completing their appraisal cycle.
Additionally, you can utilize salary data reports that provide valuable insights into the payment expectations of professionals, helping you understand the remuneration they may request prior to accepting an offer. Wisemonk offers a complimentary personalized salary benchmarking report for any job role, enabling you to access this information. A reference template is provided below.
Choosing the Right Hiring Channels
In India, there are several channels that are commonly used for hiring employees. Here are some of the best channels for hiring:
The below table summarizes the Hiring Cost vs the Probability of Closure for the above channels.
Recruitment Agencies: Recruitment agencies are an ideal option for US-based companies seeking to hire remote talent in India, especially when they lack a dedicated HR team. These agencies effectively fulfill the talent requirements, albeit at a relatively higher cost. However, their commission-based approach, charging a percentage of the employee's annual CTC, justifies the expenses due to the higher probability of successful placements.
Employee Referrals: Employee referrals are invaluable for hiring tech talent. Encourage your existing employees to refer qualified candidates from their networks.
Campus Hiring: Consider campus hiring when you are ready to expand your team after hiring leadership and managers. This approach offers a high likelihood of successful closures, allowing you to secure talented individuals at an early stage and mold them according to your company's culture, fostering their growth into future leaders.
Social Media: Harness the power of social media as a valuable channel for hiring. Engage in cold outreach on platforms like LinkedIn and Twitter, as it can significantly expand your network, allow you to connect with potential candidates, showcase your startup's work, and establish meaningful relationships within the tech community.
Facilitating the Hiring Process
Evaluating Indian tech talent effectively is key to identifying the right candidates who can drive growth and innovation for the company. This needs to be ensured through assessing technical competencies of the candidate as well as evaluating their cultural fit in the company.
While the recruitment process in India is typically straightforward and sequential, it can become a challenging endeavour due to the high volume of applicants for each job role. Moreover, reports suggest that over 10% of the candidates lie on their resume.
As part of employee background screening in India, companies should consider the following checks at different steps of the interview process:
Conducting Interviews to Assess Technical Competencies & Cultural Fit:
When hiring entry and mid-level software engineers, you should apply a mix of the following strategies to access the technical competencies of the candidate:
Technical interviews
Coding assessments
Review past projects and contributions
Technical Skill Tests
Pair Programming Sessions
Hackathons or Coding Challenges
Problem-solving abilities
Hands-on experience
Technical References
It is important to note that a good, senior candidate might not agree for upfront assessments rounds such as Hackathons, Coding challenges - it helps to invite candidates for assessments only after 1-2 in-person discussions with a company representative. A typical interview process in such cases would be:
Introductory Call (10 to 15 mins): A 2-way conversation for both parties to understand each other. This gives the employer an opportunity to sell the vision of the company and inspire the candidate.
Case study: Case studies offer a holistic evaluation of a senior candidate's technical expertise, and provide valuable insights to determine whether a candidate possesses the requisite skills and qualities to succeed in a senior tech role.
Multiple interview rounds: Multiple interviews are conducted with various stakeholders. Discussions revolve around the candidate’s experience, test of managerial skills, as well as explaining the case study solved earlier.
In the end, a reference check is done for the shortlisted candidate and an offer is rolled out.
When evaluating cultural fit and soft skills for Indian talent, consider the following:
Assess candidates' English language proficiency as it is found to vary a lot across Indian candidates; the talent may not be able to articulate their thoughts clearly, yet could be good at their job. Look for candidates who can effectively communicate with team members and stakeholders, both verbally and in written form.
Look for evidence of successful teamwork in their past roles, such as collaborative projects, shared responsibilities, and effective communication across diverse teams.
Remote work requires individuals to be adaptable and flexible. Assess candidates' willingness to learn, adapt to new technologies and work methods, and handle changing priorities. However, it is important to note that Indian engineers usually work between 11 am to midnight (IST).
Considering the diverse backgrounds and cultures represented in remote teams, it is crucial to evaluate candidates for their cultural sensitivity and awareness. Moreover, employers should demonstrate sensitivity towards the cultural practices of their remote employees. For instance, in India, various festivals like Diwali and Durga Puja are celebrated throughout the year, varying by region. It is expected that employees will be granted time off during these periods to observe these important cultural occasions.
Conclusion
In conclusion, hiring the "right" engineering talent in India requires a comprehensive approach that takes into account various factors. By understanding the local talent landscape, leveraging recruitment channels effectively, and implementing a robust selection process, US-based organizations can increase their chances of finding the right engineering talent. Additionally, promoting diversity and inclusion, nurturing talent through mentorship programs, and continuously adapting to the evolving needs of the industry will contribute to long-term success in hiring and retaining top-notch engineering professionals in India. Ultimately, by following this comprehensive checklist, companies can build a strong engineering team that drives innovation, growth, and success in the dynamic Indian business landscape.
About Wisemonk
At Wisemonk, we help global companies build strong engineering teams in India by streamlining their remote hiring processes. We understand the complexities of managing talent operations in India, ranging from employee sourcing, background verification, onboarding, managing contracts, compliant payroll management and many more. As a young company, we are built on the individual experience of working with multiple Sequoia and YC-backed startups like Mesh.ai, Shipsy.io and many others.
In case you have any queries regarding building your remote team in India, we would be delighted to assist you and provide answers.
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