Indian companies are excelling in organizational agility, restructuring plans, and AI adoption compared to their global counterparts, as per a report by Mercer. The report highlights that 54% of Indian C-suite leaders foresee AI playing a crucial role in business transformation and innovation in the next two years, surpassing the global average of 42%. Additionally, 66% of HR leaders in India are strategizing work redesign to optimize human-machine collaboration.
The study, encompassing nearly 12,000 respondents worldwide, with 650 from India, indicates that 80% of Indian C-suite executives are planning to streamline reporting structures, a significant lead over the global average of 59%. Moreover, 76% aim to flatten hierarchies, in contrast to 44% globally. Notably, 64% of Indian respondents anticipate establishing self-organizing teams, exceeding the global figure of 49%.
In terms of agility, Indian organizations stand out with 48% rating their agility as high, compared to the global average of 29%. Particularly, business agility is at 52% and product agility at 42% in India. The workforce composition in India shows that Gen Z constitutes 43%, higher than the global average of 33%.
Employee retention poses a challenge as 54% of employees in India consider pay as the primary reason for contemplating leaving their current jobs, despite placing a high value on organizational purpose. A significant 74% of respondents in India believe that working for a purpose-driven organization enhances their well-being, in contrast to 42% globally.
Furthermore, 44% of Indian employees perceive their pay as unfair, with 37% desiring assurance of equal pay for similar roles compared to their peers. To tackle this issue, HR leaders in India are notably more inclined than their global counterparts to address pay equity gaps between new and long-serving employees by 2026, as per the report.
