KPIT offers share-based benefits to attract retain talent

Pune-based KPIT, a software solutions provider for the auto sector, has in order to attract and retain critical talent amidst the ongoing attrition churns, introduced share-based employee benefit plans. The coverage of this scheme, the company noted will be based on roles and not grades, covering managers and above roles, from technical and top project managers­, executive board and remaining upto 600 including new hires, acquisitions within and outside India and near shore delivery centre across geographies. 

Equity-based compensation is considered to be an integral part of employee compensation across sectors. It enables alignment of personal goals of the employees with organisational objectives by participating in the ownership of the company through share- based compensation scheme/plan.

Equity markets have seen a volatile period arising from the Ukraine- Russia war, commodity price rise and inflationary pressures. "The discussion of stagflation and recession fears has taken over the narrative of growth momentum making a comeback," the company said in its latest annual report.

KPIT leadership said that attrition levels, particularly in the critical segments, have been mitigated to an extent that is likely to straighten down further in the next couple of quarters. "Our top talent attrition level across the grade has gone down to as much as 15-16 percent that allows us the stability for growth," said Kishor Patil, co-founder, CEO and MD, KPIT during an interaction with Autocar Professional. The company added close to 900 people during the previous quarter, it added. 

KPIT, which works in segments such as advanced driver assistance systems (ADAS), autonomous and semi-autonomous driving, EV powertrains, battery management systems derives a significant part of its revenue from the automotive industry. About 77 percent of its revenues during FY21 came from passenger cars. Commercial vehicles and new mobility contributed 22 percent and 1 percent respectively. In terms of geography, the company's revenues comes almost equally from Europe and the US, while the rest of the world chips in with close to 17 percent. 

The Pune-based company is also working on multiple middleware programmes with leading OEMs to build the vehicle operating systems by providing a combination of middleware development and integration services, architecture consulting services, software accelerators. KPIT is implementing a cloud-based Virtual Validation Platform with integrated CI/CT that enables faster-integrated testing, improved time to market, efficiency, and software quality while focusing on standards-based end-to-end processes.

The company obtained orders worth $155 million in Q1FY23, a significant part of which came from architecture and middleware domain parts, electric powertrains, vehicle engineering and design work.

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KPIT bags $ 155 million worth of orders in Q1FY23