BUSINESS MANDATE
fountainhead of excellence
1 JULY 2021
2
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
BUSINESS MANDATE
fountainhead of excellence
3 JULY 2021
CONTENTS
Cover story
Career
Author discussion
Author discussion
Sustainability
Tribute
Gallery
EDITOR Gp Capt R Vijayakumar ﴾Retd﴿, VSM
MADRAS MANAGEMENT ASSOCIATION
READERSHIP OUTREACH
Management Center, New No.240 Pathari Road
Gp Capt Dr R Venkataraman ﴾Retd﴿
﴾Off Anna Salai﴿, Chennai 600 006
Sundar R Vakeeswari M DESIGN
D Rajaram, Tayub Refai 4
JULY 2021
Ph:044‐2829 1133 Email:mma@mmachennai.org | mandate@mmachennai.org www.facebook.com/mmachennai BUSINESS MANDATE
fountainhead of excellence
EDITORIAL
Gp Capt R Vijayakumar (Retd), VSM
Innovating to Succeed
T
he past oneandhalf years have been extremely challenging for everyone. The turn of the decade was an epic anticlimax. The promise and expectation of prosperity and growth were undone by a tiny, invisible enemy, but it also showed us the power of human solidarity where a few went above and beyond their roles for the benefit of the entire society. The pandemic has made us go through a learning curve that tested our fundamentals. Needless to say, the biggest learning has been the heightened importance of empathy and compassion towards all around us. And as we move towards a changing world order, it is important to develop a culture of building high mental resilience and being more accepting of one another in all endeavours. In this context, the MMA Award for Managerial Excellence 2021 will honour those individuals, hospitals, corporates and organizations that stood tall despite the tragedies that unravelled due to the pandemic. Click here to nominate those whom you think deserve recognition for their spectacular contribution during the pandemic.
A sense of certainty about how to handle the pandemic is perhaps one of the reasons for the stock market doing well and the inflationary trends in all products and essentials. The swift economic turnaround is also due to expansionary fiscal and monetary policies. India today stands at a crossroad as it works to spur economic growth, increase competitiveness of its industries and balance the need to increase jobs and employment. The Government and the private sector must work together to create a digitally dexterous human capital pool, which would be relevant for the new economy.
The pandemic has made us go through a learning curve that tested our fundamentals. Needless to say, the biggest learning has been the heightened importance of empathy and compassion towards all around us.
The rules of economics have changed too, from thinking that high inflation is a problem to viewing low inflation as a problem. BUSINESS MANDATE
fountainhead of excellence
5 JULY 2021
We must open our eyes and focus on how to open our schools safely. Not only that we must leverage the crisis we are facing to challenge the status‐quo and reimagine education. We need to introduce social and emotional learning components to help children deal with their challenges, including the trauma of the pandemic.
Skill Development Initiatives On the positive side, India could be one of the strongest economies emerging out of the pandemic. Our service heavy export profile will receive a boost postpandemic combined with reduced dependency on imports, given a heavier reliance on locally manufactured products. I believe India has the potential to cement itself as the services hub of the world. The other most important area is to make manufacturing appealing to the academia and students. This would need large collaborative and sustained efforts between educational institutions and the industry with a focused and measurable approach. In this context and on the occasion of “World Youth Skill Day,” MMA is organising an event with a number of skill development initiatives to be implemented at various colleges for poor students. This is part of the CSR initiative by ACSYS Investments. This initiative, I am sure, will help to improve the situation in the long run. CavinKare – MMA Chinnikrishnan Innovation Awards I am also delighted to note that we will see a wave of innovation from India across enterprises, startups, and SMBs as the playing field gets levelled, with legacy businesses reducing their technical debt to gain agility and new businesses innovating through the cloud. We are now in an era of vital businesses with the ability to hire, build, sell, deliver and collaborate virtually. These will open market opportunities for businesses to serve customers both in India and globally like never before. Not to lag behind, CavinKare—MMA Chinnikrishnan Innovation Awards is now open for national level participation 6
JULY 2021
by entrepreneurs / innovators. The entire award process is managed contactfree by adopting stateoftheart technologies. Please nominate and get recognized at the national level with cash prizes of Rs. 1 Lakh for each innovator selected for the award. Re‐opening the Schools A generation has lost 15 months (and counting) of schooling. We must understand what it means to be opening malls, shops and parks but not schools for the 250 million children in the country. I am associated with a few schools for the implementation of MMA ACSYS CSR initiative for poor school children. I now understand that the adverse effects of the pandemic on our children are invisible and insidious, more so in respect of poor children. We must open our eyes and focus on how to open our schools safely. Not only that we must leverage the crisis we are facing to challenge the statusquo and reimagine education. We need to introduce social and emotional learning components to help children deal with their challenges, including the trauma of the pandemic. It is imperative that we attract students back to school in a way that addresses their fullest needs. In this context, MMA organized online summer camps for children focused on a futuristic approach, including creativity, critical thinking, people management, emotional intelligence, robotic aeromodelling, etc. The objective is to make students skill ready and unleash the potential of every child to compete and face the future. Books are important for the mind, heart and soul. The power to be found between the pages of a book is formidable indeed. We strongly believe that “Today a reader, tomorrow a leader”. During these difficult times, writing and reading decreases our sense of isolation. In their unique ways, books encourage a thoughtful, humancentric philosophy for work and life. I have also found as is often conveyed in books that small steps well executed by purposedriven leadership can bring about momentous change. The ability to construct conscious lives and valuebased businesses/professions requires that we have both compassion and appreciation for people and the planet. In this context, MMA has instituted another interesting series ‘Read to Grow” scheduled to be held every third Friday of the month. You can hear thoughtprovoking views from an extraordinary panel discussing on a chosen theme of a bestselling author relevant to management. Please save the date to join and enrich yourself.
BUSINESS MANDATE
fountainhead of excellence
Adieu, Flying Sikh! The words of the legendary Mr Milkha Singh, “God wanted me to play a part in bringing glory to India” will always be remembered by each one of us. He managed to shape his life amid very difficult circumstances, including the partition. History will
V Narayanan ﴾Ponds﴿ Endowment Memorial Lecture Mr V Narayanan was an inspiring visionary. He built a culture of character of competence, and inspired ordinary people to do extraordinary things. MMA was indeed privileged to host the first Endowment Lecture instituted by Ponds Veterans and
remember him as one of the greatest ever performers to have ever set foot on the tracks. He will be remembered for his poignant quote, which is relevant to every management professional today, “Hard work, dedication and will power… for a person with these qualities, sky's the limit.” The fact that the legend was a stickler for discipline and fitness is a good lesson for each one of us and to aspiring athletes in India.
wellwishers of Mr Narayanan on 29th June. The inspiring First Memorial Lecture was delivered by Mr Harish Manwani, Former, COO Unilever, and Mr Sankar, Chairman, The Sanmar Group, shared his recollections of 50 year friendship with V Narayanan during the event. I am also happy to present to you in this edition an interview with Mr Balaraman. In case you missed the event, watch the video here. And read on the inspiring masterclass interview with Mr Balaraman.
An input I heard about Mr Milkha Singh from one of my senior colleagues in the Air Force I will never ever forget is, “Even though he was made to stand way behind the start line, he whizzed past the others in seconds. The sight of the great Milkha Singh running like the wind earned him the glorious title—the “Flying Sikh”—from none other than the Pakistan President General Ayyub Khan. This gesture also represents a time when both the nations could still run as one even after partition in 1947. Perhaps this is the spirit that we must now seek to inculcate in the younger generation and cross the boundaries in the way for the betterment of the ties between the two nations.
Stay safe, stay healthy. Happy reading! Let me know what you think about everything that’s happening at MMA. You may contact me at ed@mmachennai.org
BUSINESS MANDATE
fountainhead of excellence
7 JULY 2021
BUSINESS MANDATE
fountainhead of excellence
9 JULY 2021
A
couple of caveats and a
element in the universe and the most
The other challenge that we have to
disclosure at the beginning:
prevalent element on earth. Yet, we
understand is that oxygen in many cases
don't have oxygen in the form and place
is the byproduct. The bigger thing that
that we need. It is like what Coleridge
people look for is actually nitrogen.
said in a poem, "Water, water
When we produce nitrogen, oxygen gets
• I am not a doctor or a virologist or an epidemiologist. So I will not dwell into Covid and the requirement of oxygen for a Covid patient. • I have used approximation for calculations but the essence is to get the message across. • I manage Kirloskar Pneumatic Company, which is one of the largest producers of compressors that go into making oxygen. Plenty but Scarce Oxygen is the third most prevalent 10
JULY 2021
everywhere, nor any drop to drink." expelled and it is corrosive. You will see That's the story of oxygen today. 21% of our biosphere is oxygen. But we need it in the form and place by which we can consume it, particularly for medical reasons. Oxygen is used extensively
in
manufacturing—for
cutting and making steel, making non ferrous material, plastics and in textiles, brazing, welding, oxygen therapy, etc. 85% of oxygen that is produced, is used in engineering and manufacturing. Only about 10 to 15% is used for medical purposes. BUSINESS MANDATE
fountainhead of excellence
more corrosion in places near the air separation plants where oxygen is expelled. The Oxygen Tracker Now let's go to some numbers which are interesting. There is a website and tool to track the oxygen needs. (https://www.path.org/programs/ marketdynamics/covid19oxygen needstracker). It is a smart site where you can see the dynamic requirements every day. According to this, the low
and middle income countries alone
cylinder is black in colour with a white
We have always kept saying that we
require 23 million cubic meters of
cap and a regulator. But now, due to
have enough oxygen capacity. It is not
oxygen per day or 33 lakh cylinders.
shortage
the
true. India produces 7,500 tons of
That's a huge quantity. India needs
emergency, we use all colours of
cryogenic oxygen per day. This is
about half of this—15 to 20 lakh
cylinders and paint ‘O’ (oxygen) on
assuming that we stop all industrial
cylinders per day (Based on our peak
them. As per Indian standards, it is 1.5
usage that accounts for 85% usage and
requirement on 23rd May). Estimated
mtr tall. A blue colour at the top is for
divert all for medical use. It translates
cost for this is Rs 40,000 crores. Being
nitrogen and yellow for argon.
to 8.2 lakh cylinders. Again assuming
of
cylinders
and
altruistic to this scale of money is not
Each oxygen cylinder has about 7
that we have no shortage of cylinders
going to be sustainable over a period of
cubic metres (7000 litres approx) of
and that everything can be perfectly
time. We need to build a business case
oxygen at 150 bar pressure. It has
bottled without any wastage, we can
around it. The global oxygen market is
approximately 9.2 kilos of oxygen. A
produce 8.2 lakh cylinders. If we divide
about 5 billion dollars and it will be
patient normally needs 3 to 4 litres a
this by 2, we can manage around 4 lakh
galloping to 30 billion dollars in a year.
minute but most patients during Covid
beds, which is really not that much.
It is both an emerging business
times need anywhere between 7 to 10
It is not just a question of logistics.
opportunity as well as a crying social
litres a minute and in terms of cylinders,
It is impossible to achieve an ideal
need.
each patient requires one to two
scenario where there is no cylinder
cylinders a day, at peak requirement.
shortage, no wastage of oxygen, etc.
What we give a patient is certain litres of oxygen, delivered at a particular pressure, generally 0.5 bar. An oxygen
There are so many other challenges. Need vs. Capacity BUSINESS MANDATE
fountainhead of excellence
11 JULY 2021
byproduct from water, as 89% by We don't actually compress oxygen. We compress air. Oxygen has to be compressed in a very different way. It is most difficult and expensive.
weight of water is oxygen. This oxygen has to be blended with nitrogen. These are not practicable for bulk production. So I am excluding this from our discussions. Difficult to Compress
On record, India has 2.7 lakh
about 2,000 litres a day and it comes in
oxygenated beds, i.e. beds which have
a form that is most comfortable. We get
Oxygen is one of the most difficult
oxygen supply. We have approximately
oxygen and nitrogen. Oxygen burns
gases to compress. It is easier to liquefy
4,500 ICU beds. Apart from these
while nitrogen is a lazy gas. It slows us
and pump, but to compress oxygen per
official ones, we have created many
down a little bit and allows us to
se is exceptionally difficult. We don't
Covid camps and temporary Covid beds,
consume oxygen. Pure oxygen by itself
actually compress oxygen. We compress
many of which have oxygen cylinders
is harmful. So we need to get it in a mix.
air. Oxygen has to be compressed in a very different way. It is most difficult
with regulators and temporary pipeline connections. During the peak, we had
Air Separation Methods
and expensive.
thousands of such beds with oxygen
The three ways of separation are:
requirements. We really did not have
1) The cryogenic separation
light oxygen easily available from the
2) Membrane separation
electrolysis process but to collect that
oxygen for such a large requirement, in spite
of
banning
all
industrial
requirements and converting them to medical grade.
3) The Pressure Swing Adsorption (PSA) method
That is the reason why we have this
oxygen
and
compress
will
be
exceptionally expensive and difficult. That is a technical challenge that we
We had to bring in cryogenic
In India, we are very familiar with
tankers, move oxygen in these tankers
1 and 3. To give a comparison between
to different places and then fill it in
these three methods, we can take the
bottles. The bottles can be switched very
example of power generation. A
quickly. Even today, we have a shortage
cryogenic distillation plant or separation
Another myth is that we think scuba
of empty cylinders. Many Covid Care
plant is like having a large thermal
divers and mountaineers carry oxygen
Centres do not return empty cylinders
power station. A PSA is like having a
tanks. Actually, they carry air tanks that
and that's a big challenge. As a result, we
generator. Having a membrane is like
have just 21% oxygen. Pure oxygen is
do not have enough cylinders to rotate.
having a small twostroke Honda engine
very
for power supply at home. That is the
requirements such as hyperbaric oxygen
kind of scale difference we are talking of.
therapy. So when we say that somebody
In addition, oxygen is generated by
needs oxygen, it is not pure oxygen,
electrolysis of water for space travel.
which is very harmful. What they get
When we go in for electrolysis for
through a ventilator or canola is
making hydrogen, we get oxygen as a
generally between 60 and 90 percent
Atmospheric air contains three gases —78% nitrogen, 21% oxygen and 1% argon. We can separate these and get them out broadly by three processes. A normal human being breathes 12
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
don't have an efficient solution for at the moment. Decoding the Myth
rarely
used
in
medical
why we call it the Pressure Swing Adsorption (not absorption) process. Out of the 7500 tons of cryogenic plant capacity
The oxygen that goes through is
available in India, almost a significant part were forced
compressed and delivered through a
to be converted for medical oxygen production.
central pipeline system or via cylinders refilled by the plant. What are the advantages of each of
oxygen.
pumps, it is filled into bottles. This is how the whole thing works.
The Cryogenic Process Now let us come to the known ways by which we can make oxygen for our current
or
near
Concentrators ﴾PSA﴿ During our peak crisis, we saw
foreseeable
panic buying of membrane driven
requirements. We are all familiar with
oxygen concentrators. These are also a
the cylinders. These are filled from
form of PSA but these are small ones
cryogenic tanks. What do we do in a
run with very light single phase
cryogenic plant?
compressors (say 0.5 KW). These are
We compress air by using two methods—using central, centrifugal compressors for large volumes or reciprocating compressors for high intensity,
smaller
volumes.
We
compress air and suddenly expand it. During this process of compression and sudden expansion, it dramatically cools. Once it is cooled, it is separated in three stages:
for short periods of time before you get to something more serious.
b) At minus 186 degree C, Argon gets condensed into liquid and c) At minus 196 degree C, Nitrogen gets condensed into liquid. Of these three, oxygen is easier to handle like LPG. Using cryogenic
The scalable, large ones are the cryogenic plants which will take one or two years to set up. No new plant has come up in the last two months. We have been delivering compressors for almost 85% of them. We ship at the rate of 10 compressors a month. In many of these plants, the original intent is for getting nitrogen and expelling oxygen. But due to the emergency, we have switched the
Oxygen Plant ﴾PSA﴿
application by bottling oxygen and
The PSA plants are more scalable
letting go of nitrogen. Out of the 7500
and will eventually be there all over the
tons of cryogenic plant capacity
country. Here we have two PSA tanks
available in India, almost a significant
with zeolite. Filtration of air happens by
part were forced to be converted for
molecular sieves which are generally
medical oxygen production. This is filled
zeolite. The earlier versions had sodium
in large quantities in cryogenic tanks,
zeolite. Now we have lithium zeolite.
transported to various places and
a) At minus 183 degree C, oxygen first condenses into a light blue liquid
them?
bottled there. Through this switching, The PSA Plant Process
we were able to get through the crisis.
When the compressed air is sent
Cryogenic plants will be used for
through this system, nitrogen being a
large volumes and long term. But they
lazy gas, does not go through easily.
would always have huge logistics
Oxygen rushes through and nitrogen is
challenges. They can operate on a
filtered out. The process swings from
continuous basis and cannot take ups
one tank to the other so as to allow the
and downs. These are like large thermal
filtered nitrogen to be expelled. That is
plants and meet the base load
BUSINESS MANDATE
fountainhead of excellence
13 JULY 2021
14
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
BUSINESS MANDATE
fountainhead of excellence
15 JULY 2021
about 40,000 of it in a year. Today, we are probably getting that quantity in a Today oxygen is seen as a medical supply in a crisis.
month. Most of it comes from China and
We are now taking a very altruistic stand and
Europe and this will continue to come
forgetting the cost. Quite honestly, it is unsustainable.
in and it is pretty cheap. There is not much of a manufacturing base for this in India, but eventually they will make
requirement, at a low cost.
would become a mandated requirement for all hospitals, even large housing
PSA—The Need of the Hour What is being built now in large numbers are the PSA machines. Eventually my submission would be that every hospital would have and should
this in India as well. The membrane concentrators have rubber pistons and are not meant for
societies, etc. The advantages of the PSA system which we don't have in any significant numbers today in India are:
rugged, long duration application. It is for one patient, to be used for a short period of time. That's all. It has a small compressor, a small cooling system,
have a PSA machine, which will locally
a) Localized generation.
solenoid valves and zeolite membrane
produce oxygen from electricity. You
b) Needs only power supply.
sieves. The nitrogen gets expelled out
just plug in a compressor. It will take air
c) No need for transportation,
from the atmosphere, put it through two
pressurized
zeolite tanks and get you oxygen, which
cryogenic storage.
you can just pipe it and deliver it to the patients.
cylinders
and
and you get oxygen. You take it to a canola and breathe through it. A Caution
d) It is the easiest, safest and cleanest
If you are running the membrane
way to do things.
system or PSA plant in an air
We already have PSA systems in
conditioned room, you must be mindful
India but they were largely used for
of the fact that you are enriching the
producing nitrogen and which has many
room with nitrogen (which is getting
uses as an inert gas such as for
expelled from the machine). Nitrogen
blanketing fuel tanks, control panels,
being a lazy gas does not move quickly.
The big thing that has to develop
tires, gravity suits, etc. Many such
This is very harmful for the others in
and come in quickly, not only in India,
nitrogen PSAs have been converted to
that room who are not breathing
but across the world is the PSA system.
get oxygen now.
oxygen.
While cryogenic plants are suited for the long term and per unit cost is much cheaper, in a crisis, every hospital should be mandated to have a PSA system.
The pressure swing adsorption (or it could be vacuum swing adsorption) system is like having a local generator. It would be a top up power or power that comes in when the cryogenics are either not available or cannot be made available on a continuous basis. This 16
JULY 2021
smaller
In the PSA systems, the zeolite
concentrator would continue to be
sieves use lithium ions. Sodium ions are
available for people who can afford it,
not used anymore. In future, we may use
like they have an air conditioner at
activated carbon or graphene. Silica gel
home. It will give some comfort but it is
is used as a dryer to remove traces of
only a temporary solution and for a
moisture and oil in the air.
The
membrane
or
short period of time. India used to get BUSINESS MANDATE
fountainhead of excellence
On a Mission Mode
believe that the large cryogenic plants
sustainable.
For the last three to four months, we are on mission mode, being
are like the large thermal power Way Forward
stations; they would exist, have a
monitored and tracked. The government
Going forward, this is likely to be a
purpose and have the lowest cost per
has put DRDO as the nodal agency to
big thing. There is a push to get as many
unit. But it cannot meet the peaks and
push these things.
of these things working as possible. We
valleys and has huge logistic and other
don't have too many of PSA at the
challenges. So just like we have
moment but they are getting up quickly.
mandated that gensets must be kept for
It does not cost that much. To give you
commercial activity or hospitals, now
an idea, for a 60 bed hospital, delivering
hospitals must be mandated to have a
10 litres per minute of oxygen, it will not
PSA oxygen generator for them to get
cost more than 15 lakhs. This is
their license.
For the PSA plant, the compressor and all the moving parts are built by us. The zeolite tanks and the other parts are being made locally by several people. You just have to plugandplay. You connect them up and then you can get oxygen which you can feed to various
something which is very affordable. Large steel plants and process
patients through the manifold. The other worrying aspect is that in large makeshift Covid care centres, the oxygen supplied through cylinders is not continuously monitored or regulated. The cylinders are also not returned promptly. Of course, they have managed
plants
use
huge
centrifugal
compressors. They use liquefied gas for the process. During the crisis, they were also pressed into use for generating oxygen but only a small part of the gas here is converted to oxygen. Today oxygen is seen as a medical
the crisis somehow. If you look backwards, the oxygen for these centres would have been separated from air in a cryogenic plant situated in Jharkhand. Then they would have moved in cryogenic tankers by either train or road, brought into
supply in a crisis. We are now taking a very altruistic stand and forgetting the cost. Quite honestly, it is unsustainable. It is costing billions of dollars and if you run it for long enough, it will be impossible.
We
will
have
the
smaller,
membrane concentrators at homes. That is what the future is likely to be in oxygen. I don't think we will go back to living only out of the large cryogenic plants. We would have to get to a mixture of all the three and we have to do it all pretty quickly, to take on the future waves that we may face. We have seen that most of the food that we consume goes through some level of processing. Most of the water we consume goes through some level of treatment. Eventually, we will come to a stage where most of the air that we
Madhya Pradesh for bottling and sent
This has to move into a more
out to patients. The logistics are a
ethical, professional business activity.
requirements, would have a level of
nightmare and unsustainable.
The consumer must get oxygen in the
processing.
As compared to this, the PSA system can be just connected wherever you have power. You can regulate the oxygen content and the oxygen air mixture. You can feed it in each location.
This
would
be
more
right place, at the right time and at the right price. That is the reason it must be talked about in a business school, because everything is a supply and demand issue.
consume,
at
least
for
critical
So the way ahead will definitely be through a molecular sieve based Pressure Swing Adsorption system, at least to start with. That will also get improved over a period of time.
What is the future likely to be? I BUSINESS MANDATE
fountainhead of excellence
17 JULY 2021
18
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
I
was born in Digboi, the oil town
September 9, 1984. A day that still
fairly senior in the refinery and so, it was
of Assam in Northeast India.
comes with pain as I remember how I
a big case in those days.
Digboi is a very small township
lost my father. He went to work as
From there, somehow we moved
but claims its place in the world map
usual, and never came home again.
on. My mother got a compensatory job
because it has one of the world's oldest
When a person is missing, you wonder
which was nowhere close to what my
oil refineries.
what happened. Did we hurt him in
father’s — both in designation and
some way? Did something untoward
earnings. We moved homes to Gauhati.
and unimaginable happen at work? Was
It is a sprawling city now (renamed
it an accident? Something else?
Guwahati). We had to make new friends
My father worked in the oil company, making us one of the oil families of Digboi. Some of my happiest memories are the growing up years, with
stories
of
Ramayan
and
Mahabharat from my grandmother, and Enid Blytons, picnics, classical dancing, tennis and swimming. We looked forward
to
the
visits
to
our
grandparents’ house where we had a lot of local food and love. When I was just 12, life threw an
Holding the Fort Twelve is hardly an age to come to terms with such a calamity. I grew up overnight, because my sister is three years younger than me and I had to hold the fort though I didn’t know how to. The next few months saw various authorities, detectives and media personnel pouring in. My father was
unexpected curveball at us. It was BUSINESS MANDATE
fountainhead of excellence
and introduce ourselves to new neighbours. It was a completely different life to what we were used to in that gated community in the oil town. We were out there in the open — three women: my mother who was just 35, me at 12 and my sister just 9. Every day, our hopes would rise when the bell rang or the gate opened, thinking father had come back to us. 19 JULY 2021
I continued my studies and did fairly well in grade 10. A lot of the credit goes to my tiger mother. There was no excuse for not doing well. I loved my mother even more after this tragedy happened. Life was a big struggle. We lived on scarce resources. There was
University. MBA was not my choice at
ten years after that 1984 incident of my
all and that is where a pivot of the
father being reported missing, news
journey happened. I wanted to be two
came that my father's remains were
things — a teacher and a dancer. I had
found in a giant kerosene tank in the
learnt classical dancing — Odissi and
refinery. We had by then managed to
Sattriya, and I was determined to be
settle down and overcome some of the
either a teacher or dancer.
grief. It was once again back to dark
never enough for us to go by the whole
I would wear my mother's sarees,
days with the same people, same media
month but my mother never lost the
my grandmother's spectacles and deface
coming back and asking the same
smile on her face. She would always tell
the walls of our house with colour chalk
questions. We kept asking, “Why did
us, “No matter what's there on the table,
and teach and nurture imaginary
this happen to us?”
no matter what fear we may have at
students. That was my dream, but my
Different people react differently to
night, there is always a sun that comes
mother wanted me to be economically
situations. My sister could not come to
out in the morning.” I have grown up
independent and she thought a
terms with the news as she loved my
with that philosophy. I may fall under
corporate job would give me security. It
father so much. She now needed love
pressure but I'll rise up again.
was based on what she saw at that point
and protection from us. I became
of time.
hardened, as I had to keep the
The Pivot of My Journey Fast forward to my MBA in Gauhati 20
JULY 2021
I had graduated in economics and,
household going. I could not see my
just before my MBA decision and exactly
mother without her smile. I knew that if
BUSINESS MANDATE
fountainhead of excellence
When faced with huge challenges, I was not afraid of shedding tears. A lot of When it comes to profession or business or if there are
women feel that they should not cry.
changes in our lives and critical decisions have to be
They forget that it is just an expression
made, you can see that more than one person owns
and it is okay.
our journey.
On one such business related incident, my tears were not of fright but they were of rage, frustration and
she wanted me to do an MBA, I would
Different categories of jobs and brands
emotion. I knew if I talked to Mythili, I
do MBA. So that journey where I wanted
in advertising have fallen into my lap
would come up with a solution. It is
to be an academician or a classical
and there is hardly any category left.
important to have partners whom you
dancer just remained my passion.
I had to overcome many demons
I did my MBA and walked into the
—some my own—that I was a small
corridors of J. Walter Thompson in
town girl. People then were not so well
December 1996. I have been in the same
connected. They had a fixed notion of
company since then. The company's
Assam—of seeing Assam tableaux with
name has changed many times from J
dancers in Republic Day parade and
Walter Thompson to Hindustan
Assam being one of the seven sister
Thompson Associates (HTA), JWT,
states of northeastern India.
Wunderman Thompson. I now lead
can trust with every single problem. You may have different roles, in different departments and different businesses with varying levels of seniority. But finally, we are all people and we connect together. Who Owns Our Journey? When it comes to profession or
Therefore, I would be hesitant to
business or if there are changes in our
speak up in meetings or share a point of
lives and critical decisions have to be
When I got my job after my MBA,
view. But I was very lucky to have a lot
made, you can see that more than one
I called my mother from Calcutta
of mentors—Mythili Chandrasekar
person owns our journey. We are also
(renamed Kolkata now) and told her
being one of them. Not just women but
comfortable with that as women,
that I had got a job in advertising. She
men too have always encouraged me
because the enemy behind not owning
wondered if I wanted to be a model, as
and said, “Go for it. Because if you don't
our own journey is not a vicious enemy.
in her world, advertising was only
go for it, you'll never get an answer.
That enemy is actually love and concern,
modelling. I convinced her that I would
Don't be afraid of a ‘No.’ ”
and it includes parents, siblings, friends
GTB India from the same WPP group.
be behind the scenes. Conquering My Demon I worked in three cities—all out of my own choice—Calcutta first, then 10 years in Bombay and now 10 years in Gurgaon. All the three cities have had a profound impact on my journey.
That is what prompted me to take
and mentors, who care for us.
on some of the most challenging
Sometimes we tend to lose sight of
businesses and roles. Mythili and I have
our North star as we get overwhelmed
worked together on many businesses.
and influenced and because of who we
Though her role was strategic planning;
are as women; we embrace inputs and
to me, she was always a partner. I could
feedback and we are very affiliate and
feel the power of two women, when
inclusive.
there is understanding and partnership.
conditioned to accept and embrace
BUSINESS MANDATE
fountainhead of excellence
Women
have
been
21 JULY 2021
22
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
things around us.
They are an amalgamation or an
degree of competence is very important
outcome of all the influences, good
today and I realised it, because the
So What Happens If We Don't Own
intent and feedback from around us. But
advertising world that I joined is very
Our Journey?
finally they are our own journey.
different from what it is now.
I have seen that every time we give in to something that is not part of our plan or desire, it ends up curbing our energy and passion and in turn our achievements. There are five points that I want to
Today, after a lot of introspection, I
Today, it is a world of data,
have managed to arrive at my own north
analytics and behavior science, all linked
star. It does not have to be only about
to
work. It could be as simple as what you
measurable. At times, there is a risk of
want out of life. Being in advertising, we
turning into a dinosaur. I have trained
performance.
Everything
is
use tag lines. I have tried to articulate
myself to be a student again and again.
talk about from my own journey.
my north star in a tagline and it is,
I lead a unit today whose main function
• Have a clear vision of our north star
keeping in tune with the hashtag trend
is data analytics. I never thought I would
—hashtag
do that. As I am highly creative in mind,
• Have a high degree of competence • Find our voice • Face our vulnerabilities • Celebrate our milestones Vision of North Star The North Star in the far horizon was the only guide for travellers and
'make
it
matter.' (#makeitmatter) Every morning when I wake up, the mantra that I tell myself is that if I can
nothing but our vision of our own future.
were outside my repertoire and comfort.
make even one life or even one thing
So never compromise on your
matter to one life. I think I have done
competency. If we are competent, it is
something in the day—be it in my
very easy for us to get a step closer to the
profession, as a mother, friend or
life that we want to live, the job that we
colleague.
want to do or the business that we want
mariners in yesteryears when there was no GPS. North Star in our context is
I pushed myself to dive into areas that
to run. There is no shortcut to Enhancing Competence Clarissa Estes has written a book called, "Women who run with the
competencies. I am reminded of one of my students, Charanya Kannan, who is
If we have to shut our eyes for a
wolves." It's one of my favourites. She
couple of seconds and imagine we are
says, "Art is not meant to be created in
on a dark night road where the sky is lit
stolen moments."
up with stars and there is a North Star, what would we see? If there are words
True. We are so busy “cleaning” invited me to Harvard Business School whenever we get a break from work at for a session. Charanya has been an
that we have to write about the North
home, especially with work from home,
amazing student who has shown me that
Star, about where we want to be three
that before you realise it, the day is over.
if you have a clear definition of where
years from now, five years from now, 10
We contend with our own passion and
you want to go, you can achieve it.
years from now, what would those
interests only with some “stolen time”.
words be? Those words need to be our words.
from Chennai. I met her during a guest lecture I had given in her college. She was part of the student community that
If I remember correctly, when she
We must have a job list where our
got her first job, she was the only or one
own name too finds a place in it. A high
of the few women there. From there, she
BUSINESS MANDATE
fountainhead of excellence
23 JULY 2021
moved to the United States with her
when I wake up, I ask myself, "Which
come up with a solution. Whenever
family. She was outstanding in her
demon am I going to kill today?"
there is a tough business problem, the
Harvard stint. She has a top job in a
In my organisation, we started off
first thing that we fear is, "Oh my God!
leading company. She is a prolific
something called the "SheHour." It is
What if I fail to come up with a solution?
speaker. A wonderful mother. Awarded
for one hour duration where women
What if this or that happened?” The
at various forums. When I look at her, I
drop their designations and inhibitions
'what if' is there in everybody. We have
really think that if you have competency,
and network and talk about issues,
to just face it.
skill and ability to learn more all the
challenges and opportunities. We do it
It is okay to be nervous. We must
time, then the world is an open place for
regularly every month. Great bonding
take a deep breath and say, "Okay. Now
you.
happens out of these sessions.
let me face it and get over it." You will
Find Our Voice
I have gone through a separation
Earlier women authors could not
and I am fully aware of the legal
even write their own names on their
challenges in the process. I do some
books and they had to use aliases. We
kind of mentorship for those who
ourselves have a lot of demons in us.
struggle with the legal battle and offer
The world has changed but those
them guidance based on my experience.
demons haven't yet changed. Even now,
I believe in happy families. But if there
I hesitate to make certain points in a
are any women who undergo challenges
public forum. It is very important to find
—not in the decision part but in the legal
our voice.
battle—I offer help free of cost.
Today technology allows us and has
Facing Vulnerabilities
get that strength of a warrior that is there in all of us. Celebrate our Milestones We don't celebrate enough. Our lives are worth a celebration. One of my colleagues on LinkedIn shared with us some interesting data. LinkedIn has a tool where you can write about your areas of expertise. Women apparently fill this up with restraint because they feel that if they write more, people will
given us so many platforms to explore
We have worked on a brand which
and express ourselves which we didn't
has this famous tagline in Hindi: Dar Ke
If we feel we have done something
have when we grew up. Anybody can
Aage Jeet Hai! It means, 'Beyond fear
right, we must celebrate. A celebration
now blog and write an opinion, have a
lives victory.' I really believe in it. If you
can be as simple as a treat that we give
profile, create something and put it out
face your fears, there is victory ahead.
ourselves, from something small with
there. You just need to find the right
Sometimes we are very scared of our
our family or writing and talking about
space and know what you want to stand
own fears.
it in a way that is a learning for others.
for and have a point of view.
think they are showing off.
When I was waiting in those
Celebration gives us positive energy. It
It is easy to have a stereotype or a
teenage years for our father to come
reinforces the fact that we can travel our
label attached to your actions as very
back, it was the worst fear that I could
own journey and we can do it with
aggressive, very unwomanly, etc. But I
have had. Any other fear pales when I
confidence.
feel the world is developing and we
think about it. The day never seemed to
should not let these things be deterrents
end and the nights seemed so long.
to your progress. The strongest demon is really within ourselves. Every day, 24
JULY 2021
When we face our fears, we always BUSINESS MANDATE
fountainhead of excellence
I end by saying that if we don't own our journey, we will not own our lives the way we want to.
BUSINESS MANDATE
fountainhead of excellence
25 JULY 2021
succeed at all or they don't succeed to
mobile phone. So in an organisation or
meet the end objectives. They start off
even Digital India, we have a
Dr Ganesh Natarajan
with a lot of expectations which are not
combination of many digital immigrants
Chairman 5F World I Honeywell
delivered. As a team, we worked on it
and a few digital natives. How do we get
Automation India Lighthouse
and, last March when Covid hit and
these people to work together?
Communities
many of us had to do work from home,
I
we collaborated virtually to put together
The Digital Storm
was the CEO of Zensar
a model of digital success which can flip
The confusing part is also the
Technologies for almost 15 years
the percentage from 20% success and
exponential technologies available
and we were one of the early
80% failure to 80% success and 20%
today, like:
pioneers in digital, handling leading
failure. Fortunately, we have had the
global hitech companies, retailers and
opportunity to experiment with some
insurance companies. Lavanya worked
companies and what we discuss here is
with us handling Marketing Strategy.
a model that is working already.
• Cloud computing • Internet of Things • Mobile Technology • Business intelligence /Artificial
After I left Zensar, during 201617, we
Many of us are digital immigrants.
started doing some research and came
We were not born with digital. I bought
across some interesting points.
my first mobile phone in 1995, the big
• Augmented / Virtual reality
digital
Siemens phone. The new generation are
• Quantum / 5G
transformation efforts either do not
digital natives; they are born with the
Almost
26
JULY 2021
80%
of
BUSINESS MANDATE
fountainhead of excellence
intelligence / Machine learning
When we talk of these, the boardroom people get switched off and reach out to people who manage technology. We should understand why we do anything that we do. The prime focus must be to enhance productivity, wherein we want all our resources to perform better.
bank.
period alone. Most of ecommerce is
The third interesting aspect of
being enabled by bots or social networks
digital is it enables people to find new
and cognitive shoppers. A day will come
business models. All these happen
when robots will come and deliver what
through a combination of digital and
we ordered at our homes or cars. ABB
physical experiences, robotics, robotic
has a factory outside Beijing where
process automation, IOT, sensors across
robots manufacture robots. So we can
the shop floor and cities. They connect
imagine the future that we are moving
the knowledge work. Manufacturing is
towards.
The second thing in this digital
being automated with tools like big data
journey is that we want to improve
analytics. A time will come when we will
distributed ledgers will change the
experience. I manage digital as
no longer pay for capital assets as the
world. In Healthcare, we make sure that
Chairman of Strategic Committee for
Capex is moving towards Opex.
telemedicine works for us and consult
State Bank of India. We launched YONO online service. Now it is growing at a rate that even we cannot comprehend. It is because it really improves the customer experience of dealing with the
In
Finance,
blockchain
and
We have to look at the benefits in
doctors online. 3D printing is gathering
the bottom layer. For instance, 15% of
pace. Thus we feel the impact of digital
global insurance is now available with
everywhere.
usagebased insurance. When people
Earlier, companies' performance
travel, they take travel insurance for that
would be assessed by Return on Capital
BUSINESS MANDATE
fountainhead of excellence
27 JULY 2021
Employed (ROCE). Now people look
• Platform Model
The most exciting is the platform
down upon you if you employ capital.
The cost model is going away as
model. It is about building ecosystems,
Uber for instance is the world's largest
nobody wants to pay for anything. (Eg:
crowdsourcing, communities, digital
taxi company that owns no vehicles.
Everything is free on LinkedIn.) At some
marketplace and data orchestration. We
Facebook owns no content. Airbnb does
stage, when we move from a free model,
may adopt an experience or a platform
not own any rooms.
we pay slightly more, which is called the
model but we are moving away from the
Freemium model. It is ultra low cost
cost model. The companies which move
aggregating of buyers, giving us price
away from cost models are the ones
transparency.
which tend to succeed more.
Their core competence is not asset ownership
but
data
aggregation,
knowing the customer and making sure that customer's demand and supply capability
are
instantaneously
Gradually, we are shifting to the
Covid – Pull and Push
experience model. People are moving
The biggest pull of Covid has been
away from theatres to Netflix or Amazon
social distancing and the push has been
which tracks our preference, reminds us
towards digital. We have been a social
about a movie that we left watching half
community but now we are all used to
way and suggests preferred movies.
social distancing. There has been an
Everything is orchestrated for us. We get
• Cost Model
explosion of new technologies. We don't
instant gratification. There is no
need to master them but we need to
• Experience Model, and
ticketing and we face very low friction.
understand them enough to be able to
matched. Three Digital Models Three types of digital models are emerging:
28
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
deploy them effectively. Data and analytics is like a living
Experience (UIUX). The blockchain
do. Social listening is understanding what
enables multiclient transactions.
people are talking about on the internet
organism. There are other aspects like
• In the Third wave, we started seeing
customer journeys, new careers, skills
computer vision and what Satya
and new leadership, innovation and
Nadella calls mixed reality — which
BPR (Business Process Reengineering).
is augmented reality and virtual
There are so many pieces to the jigsaw
reality.
puzzle and we need to put them together.
and
collaborating in an augmented fashion. All these must happen under the big umbrella of cybersecurity. Industry 4.0 and New Frontiers
We do a lot of work in the social sector
and taking necessary actions by
have
Lighthouse
Thanks to connectivity, data and new technologies, new business models of
communities. When people from slums
automation
wander into our Lighthouse and feel
manufacturing. GE has a factory in Pune
that they want to work, say in a hospital,
which is completely automated and is a
but they are scared, we give them a virtual
role model. When we think that India's
reality headset. Before they know it, they
problem is unemployment, we wonder
are transported to the operating theatre of
• In 2016, we started understanding
how this can be a role model. That is the
a hospital and they see a person like them
Big Data, Analytics, business
paradox. These are issues that we need to
and are able to feel their pulse. They
intelligence and using dashboards.
address.
become confident of doing that job. Virtual
The Digital Journey of Businesses • In 2014, we all started experiencing cloud computing and using our mobile phones for more than just making phone calls.
• In 2018, we started using the data
reality is worth a thousand pictures because
are
emerging
in
AI, MI and Analytics
to map new customers and
it gives the ultimate sense of immersion.
Data analytics is converting data to
improve employee engagement.
Then, we also had in the third wave
information to knowledge to wisdom.
Robotics and robotic process automation
When we started representing data in the
and 3D printing.
dashboard and graphs, we felt better.
• In 2020, we are mastering digital collaboration. Everybody has to get here to be successful in business. Waves of Technologies When we look deeply at the evolution of digital, we observe that:
The future waves will be about
People used computer analytics to say what
Quantum computing, 5G, Cognitive
went wrong in the past and wanted it to
Automation, Social Listening, Augmented
suggest what we should be doing in future.
Collaboration and Cyber Security. Reliance
Amazon and Uber use these predictive
Jio is very aggressive about 5G. We want
models. That is the exploratory side.
• The First wave was about The SMAC
to keep China out of 5G because we want
Today's data management has moved
stack — Social media, Mobility,
to make sure that the crown jewels of
towards predictive modelling, which
Analytics and Cloud computing.
information are protected from third
predicts the behavior and prescribes,
party providers. Quantum Computing can
enabled by large volumes of data coming
completely change the way we envisage
into computers. They use machine
the speed of computers. Cognitive
learning and artificial intelligence to make
automation is about doing things very
those predictions happen. The computer
intelligently like the human brain would
can differentiate a harsh tone from a
• The Second wave started when sensors and Bitcoin started coming in, enabling the Internet of Things or IOT. People started getting very fussy about User Interface and User
BUSINESS MANDATE
fountainhead of excellence
29 JULY 2021
30
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
BUSINESS MANDATE
fountainhead of excellence
31 JULY 2021
meaningful
conversation
through
Venture Philanthropy Network
cognitive intelligence. To put it in simple words, it started with what happened and transitioned to understanding why it happened and what could happen and what should happen. This framework of analytics has become a way of life.
W
1. Empathise 2. Define
hen we talk of digital, there is an immense amount of exploration
and a lot of jargon that is thrown around. But the real transformation for
3. Ideate 4. Prototype 5. Test 6. Repeat
When you think of digital, don't just
the industry through Digital, is that it
think of improving your core operations.
actually took the conversation away
Think of how you can completely
from all these myriad technologies and
Design Thinking runs on the
automate, informate and build new
rather refocused on the business itself
premise of having empathy for the user,
business streams.
and more importantly, to the customers.
as the first step. When Airbnb was
That leads us to Design Thinking!
launched, they incurred losses to the
Often, it is misunderstood that design thinking is for designers and user experience. But design thinking can be applied to anything in life —
Empathy
tune of 200$ a week. The founders, having been so excited with the transformational idea, wondered why it was not making money for them.
technology, business or computer
One of the founders started using the
Lavanya Jayaram
interfacing. The steps involved in
app himself and realised that the quality
Executive Director - South Asia, Asian
Design Thinking are:
of the pictures showing the facilities that
32
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
were part of the Airbnb network were
for digitalisation differently. They could
the same time, it should not be too wide
terrible. He immediately rented a camera,
have said that they wanted to create an
that it is not manageable.
visited all the facilities that were on their
app for coffee ordering. But they defined
network, took pictures himself and
it as increasing customer convenience and
uploaded them. Within a week, he saw a
loyalty, and believed that customer
The next phase is ideation. Ideation
complete shift in the business and
convenience would help them in shoring
is to bring in as many diverse ideas as
revenues started soaring. It had nothing
up the revenues.
possible. Uber Eats have adopted design
to do with technology or deep analysis but
So the app was developed drawing on
just putting himself in the shoes of the
the experience of what that customer
user of the app. We know the success of
would feel while ordering. They
Airbnb since then.
introduced a voice enabled feature, so
Define The next step is converging on a definition of what the problem at hand is. If design thinking is used for a solution, we start with the user to identify what the problem could be. But in defining it correctly, half the battle is won. Starbucks wanted to do something in the digital arena. Many people were launching apps but Starbucks were probably the first to define the problem in terms of the need
Ideation
thinking. In the ideation stage, they ensure that there is an interdisciplinary meet frequently, to ensure that there is a huge diversity.
people can order on the go while they are
Their design team visits restaurants
driving or while they are at work. By the
on a quarterly basis to be aware of what
time they reach Starbucks shop to have
the customer experience is. They ensure
their coffee, it would be ready for them,
quick iterations and innovate constantly.
where there would be a person at the counter offering their coffee with their name on it. So that definition of the problem of improving the convenience was really a shifter. As someone famously said, the definition should not be too narrow that it does not allow creative freedom and at
BUSINESS MANDATE
fountainhead of excellence
Prototyping & Testing An interesting example here is the launch of Braun electric toothbrushes. The founders talked about using IOT, having music streamed when people are brushing their teeth and so on. But the designers who were brought in, took user
33 JULY 2021
feedback and arrived at the suggestion
and integrated them. Some others like
either
that the founders were looking at the
Accenture have homegrown their
transformation process without being
wrong set of features for customer
design thinking teams and have made
prepared. They have an organisation
delight — they brushed aside these
it part of their project delivery. Some
structure,
features and instead incorporated
examples of agile transformation
performance management systems that
solutions to real customer problems and
during Covid: Unilever rose to the
were designed for a predigital era. When
came out with a prototype with a USB
occasion with the global demand for
they carry them into the post digital
charger and a facility to order the head
sanitisers hitting the roof. They
phase for the digital transformation
of the toothbrush while brushing. It
converted their deodorant line to
journey, there is a huge disconnect.
was a big success and they adopted it.
manufacture sanitisers and their
The next step is to test the prototype
output went from 700K to 100 million
with users. You test. You repeat. You
per month. National lockdown was
People today — whether they are
take the feedback back into design.
announced in the third week of March
digital immigrants or natives — have
And while we have been discussing
2020, and Swiggy launched Swiggy
experienced dealing with organisations
each step of the design thinking
Genie, in the second week of April
like Flipkart, Amazon and others in their
process, the cycle is really nonlinear
2020 – in the middle of the lockdown
daytoday life and to an extent, they are
and you can keep going back and forth
to deliver groceries which were in high
being mollycoddled by the pleasant
on various stages. And it is a
demand. These are instances where
experience with them as customers.
continuous process.
agile thinking helped the businesses
Employees
and customers.
expectations from their organisations.
The customer journey involves the
pulled
into
learning
the
digital
process
and
Seeking Enjoyable Experience
also
have
similar
As people are so critical for the success of
following steps:
the company's journey, we need to
1. Visualization of every touchpoint
address some of the core dimensions of
with the brand
how people are brought into the
2. Setting targeted outcomes
organisation, how we deal with them
3. Detailed buyer personas –
while they are in the organisation and
understanding their motivations and pain points
Dr Uma Ganesh Co-Founder & Chairperson,
4. Full journey mapping and brand
Global Talent Track
interaction planning
6. Revise – Evolve – Adapt Many companies have seen the
companies to rethink how they connect with customers.
The same concept is very much relevant
Companies like Wipro, Cognizant and
in the context of employees too. In
Infosys have all acquired design houses
reality, most organisations have been
34
design
D
igital formation is forcing
thinking.
JULY 2021
of
looking for an enjoyable experience where the digital tools and digital environment need to be in place. People no longer work in silos, so the culture
5. Acknowledging Moments of Truth
importance
how they learn. Employees are really
BUSINESS MANDATE
fountainhead of excellence
cannot be driven by a topdown approach. Employees & Their Aspirations They want to learn on social networks. They like to connect with
coaches and experts available within or outside the organisation and work collaboratively with various teams. The learning contents must be made available, personalised and customised and curated for specific needs, at specific times, for specific individuals based on
• The AttractEnableRetain continuum has to be digitised. • The needs and style of millennials and Gen Zs must be understood. • Content is no longer the king; it must have Learner Centricity.
the styles that they are comfortable with.
• Learning must be augmented with AI.
This is where AI and BoTs come in.
• There is a strong case for creative,
An enjoyable work experience in
inquisitive and profound leadership.
cludes four dimensions: • An
organisation
Quantum Computing & 5G will make anything possible Digital Five There will be Business Process Reengineering across various sectors. The Digital Five for Digital Reengineering are: • Mapping Journeys of customers, employees and partners • Edge Technologies like AR/VR, IOT,
must
5G, Quantum, etc.
enable
employees to achieve their aspirations by helping them to identify their aspirations and the skill gaps to achieve them. • Creating the skills ecosystem. • Providing coaching and mentoring support. • Recognizing that there is a lot of learning that is going to happen through peers; and facilitating all these four elements.
Dr Ganesh Natarajan Organisations innovate in three ways:
How Can We Enhance Skill & Culture? • Employee journey has to be
• Processes –Robotics and Robotic Process Automation • Data and Analytics
• Through ambidextrous innovation,
• Culture
which is a combination of incremental and disruptive innovation • Through employee innovation networks, and • Through open innovation To sum up, opportunities in the next normal can be given with the acronym — DARQ world:
reimagined.
Reality will be Mixed – Virtual, Augmented
Maturity Model The Six Steps that are needed in a Maturity Model for accelerating digital success are: 1. Understand stakeholder journey 2. Choose / adopt suitable Technology 3. Carry out Business Process Reengineering
Distributed Ledgers and Block Chains everywhere
4. Innovate
AI will completely reimagine the future of work
6. Use Data and Analytics
BUSINESS MANDATE
fountainhead of excellence
5. Enhance Culture and Competencies
35 JULY 2021
36
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
W
orld Environment Day has been celebrated since 1974. Yet, not enough has
been done to substantially reduce global warming,” pointed out Mr Peter Rimmele, Resident Representative to India of KAS. He strongly advocated that governments, intergovernmental organizations, NGOs, businesses and members of civil society must act now towards a more sustainable world for
liberties of the basic law. The court also held that the legislature must enact stricter regulations to achieve climate neutrality as early as next year instead of pushing it to a distant future. He was emphatic that sustainability is the only way forward. “Companies all over the world will have to transform their operations towards this goal,” he said and suggested threepoints on how they can achieve this: •
Businesses must adopt a time
the benefit of future generations.
bound plan to become carbon
He highlighted how, in a landmark decision two months ago, Germany’s highest court of jurisdiction — The Federal Constitutional Court — found that the provisions in the 2019 Federal Climate Act to reduce greenhouse gas emissions by at least 55% by 2030 were inadequate and violated the civil
neutral by adopting circular models
in
design
and
manufacturing. •
Applying the same standards to both suppliers and trading partners.
•
To be credible, the processes BUSINESS MANDATE
fountainhead of excellence
and commitments must be fully transparent, evaluated by third parties and based on science. He cautioned that the global environmental crisis will not wait for humanity to return to a ‘new normal,’ that sustainability is not optional anymore and that the clock is ticking! Dr Sugato Dutt strongly advocated that since we are in the midst of a pandemic and the decline of oil economy, importance must be given to green economy and usage of biobased products and biofuels. He spoke in particular about the scenario in Tamil Nadu state, which he said, is blessed with a variety of natural assets. He pointed out that though Tamil Nadu has a per capita GDP of 3900$, which is the second highest among major states, and has a 60% urbanised 37 JULY 2021
society, there are major challenges such as low per capita land, water availability, decline in manufacturing and commercial exploitation of natural resources. He stated that Tamil Nadu has a goal of 33% forest cover; and at the current recorded level of forests at 23%, there is a gap of 10%. This, he said, translates to a requirement of planting 32 crore seedlings in the next ten years and requested all stakeholders including NGOs and private enterprises to work jointly to realise this ambitious goal.
generation were all hit in the pandemic, the farm sector has been resilient in India, he said and attributed one of the reasons to the robust farm to home supply chain, especially in the state of Tamil Nadu. He also stated that management authorities have a key role to play by promoting investments in biobased economy, agroforestry models, coastal development, R&D in biopharm, biofuel and other biomassbased industry, transportation and warehousing infrastructure.
He recalled that in the Nagoya biodiversity convention held in Japan, it was identified that the need for food, fibre and fuel will threaten biodiversity. He therefore focussed on the need to comply with Aichi biodiversity targets.
Dr Nitya Nanda stated that India’s environmental and social performance measures are not encouraging and this has been due to a variety of factors like geography, population and poverty.
Though employment, transportation, productivity, income
He highlighted the fact that India is among the most climate vulnerable
38
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
countries of the world. Social inequality has increased in the last couple of decades and predominantly in the last one year, he said. While acknowledging that Niti Aayog has come out with a good report on India’s status with respect to Sustainable Development Goals, he was critical of some of its findings. He pointed out that while they have addressed social inequality, they have left out economic inequality. He also disputed the report’s claim that India’s water and electricity situation is good. He lamented that India is lagging behind many countries in education and health sector and remarked that the pandemic has seriously exposed the fault lines in our health sector. “India has 5 hospital beds for 10,000 persons and we are behind countries like Pakistan, Bangladesh and Vietnam. Out
of the 5 beds in India, 3 are in the private sector and 2 in the public sector. Vietnam, which has managed Covid19 very well, has almost all the hospital beds in the public sector. This explains the need for more hospital capacities in the public sector,” he noted. The other key takeaways from his talk are: • Neglect of health care over the years has cost our economy dearly during the pandemic. • In the education sector too, only private institutions perform well but they are expensive and the economically weaker people cannot afford such education. • Looking at the history of nations, no country has been able to attain a middle income status without substantial investments in the health and education sector. • Despite a shrinkage of the economy, the formal sector and stock markets have performed well. Many companies have booked profits. • The informal sector, small and medium enterprises have suffered during the pandemic. • The increase in intensity and frequency of cyclones affecting India has doubled in the last couple of decades. • Our perception has been that Arabian Sea is relatively peaceful and the Bay of Bengal is problematic. But interestingly, this has become a myth and we have now seen many cyclones in the Arabian Sea. • Cyclones cause heavy damage to crops, environment and human
In the Social Progress index among South Asian countries, India ranks 117 among 163 countries. Maldives, Bhutan, Sri Lanka and Nepal are ahead of India.
settlements and in turn, to the economy. • The increase in temperature level of the sea water is a possible reason for the increase in the number of cyclones. • In the Social Progress index among South Asian countries, India ranks 117 among 163 countries. Maldives, Bhutan, Sri Lanka and Nepal are ahead of India. • India ranks 168 out of 180 countries in the environmental performance index and 129 out of 158 countries in commitment to reduce inequality rank. India’s economic growth has been relatively high. • India must focus on gainful agriculture, climate adaptability, efficient water management, sustainable energy, health and education, especially accessible education for all and better healthcare in the public sector. • India must show commitment towards attaining social progress by reducing economic and social inequalities. Dr T D Babu spoke on the theme of “Habitat Management: Assessment and Course Correction in the Way BUSINESS MANDATE
fountainhead of excellence
Forward to 2030.” Quoting a couplet from the Tamil poetry work ‘Thirukurral,’ he said that even two thousand years ago, our ancestors had spoken on the need for biodiversity. Habitat does not mean only macro objects, but it includes even ultrasmall bacteria, he explained. He regretted that we think of ecosystems only during disasters. He talked about the initiatives taken in Chennai on habitat management and listed out several flaws in their design and execution. The key takeaways from his speech: • Serious compromises are made in the aquatic ecosystem. In Pallavaram, a large fresh water is being closed and in Kodungaiyur area, a large lake is landfilled. As a result of these actions, when it rains, manmade disasters happen. • In the coastal areas in the ECR stretch, sand dunes have been deliberately flattened and the area converted to a habitat. Sand dunes are the first line of defence against sea water incursions. In 2004, when the Tsunami struck, wherever sand dunes were there, they saved people. • Storm water drains are built near the 39 JULY 2021
management. There have been positive initiatives too like the restoration of mangrove in the Adyar estuary.
beaches harming the fragile ecosystem of the beaches. Olive Ridley turtles nestle along these stretches. Many beach stretches are being used as dump yards. • There are serious flaws in land use patterns in ecologically sensitive areas coming under the category of CRZA1 (Coastal Regulation Zone A1) and they must be revisited. These must be demarcated, labelled clearly and the restrictions displayed to the public. Beach users must be made aware of the dos and don’ts in such sensitive habitats. • Rocky mountains are natural resources and they act as catchment areas and help agriculture. But they are exploited for quarrying granite slabs, thus endangering the habitat and the ecosystem and depriving the people of their livelihood. • On the one hand, mountains are cut for granite, and in another area of the city, good quality granite slabs removed by Chennai Corporation from a pavement are indiscriminately dumped as waste, without even thinking of reusing them. • For constructing the Shenoy Nagar metro station, 300 trees were cut. To make up for this, they have planted 4800 trees but the surface area of coverage is just a fraction of what it was before. This is due to lack of 40
JULY 2021
knowledge and awareness about the relationship between surface area and green cover. • Many trees are planted in the city but at the wrong places and using wrong strategies. Thus many trees do not come up. • Natural ponds cannot be replaced by concrete ponds. • The sewage treatment capacity in Chennai is at present inadequate and being augmented. Instead of building large capacity sewage treatment plants (STPs) and destroying the ecosystem, they must be decentralised by constructing smaller STPs in many places. • There have been positive initiatives too like the restoration of mangrove in the Adyar estuary. • The CRA (Chennai River Association) Trust is doing a commendable job in restoring rivers which are vital links for mankind to survive and thrive. • Dumping of waste along rivers must stop. The good news is that waste management work is being taken up seriously and it is getting political patronage. • There has to be periodic habitat audits. • It is not just an engineer’s work. A crossfunctional team must be involved in the planning and execution to ensure habitat BUSINESS MANDATE
fountainhead of excellence
• The management of habitats must be done at micro level with the involvement of all, but importantly, local stakeholders. • There has to be transformation from ecoevents to ecolifestyle. • Dr N Krishnakumar, while summing up the discussions, shared his perspective of the way forward. He suggested that there has to be a balancing of ecology and economy and said that this can happen only through proper planning and integration of ideas. He emphasised the need to focus on the restoration of the ecosystem in the next 10 years, as it is important for the goods and services, agriculture, employment opportunities, water and air purification and many other spheres and that all of us must come together on a transdisciplinary approach to achieve this objective. He reminded that India is committed to restoring many of the degraded ecosystems and proposed that we should look at the sustainable landscape approach where all of us have to be in partnership. He also opined that the restoration works done over the last 40 years were very patchy. “Today, we are looking at it from the angle of climate change, goods and services, the life system and biodiversity,” he said and added that funds are available for ecorestoration and what is needed is a mindset change. Mr Dipankar Ghose of PRAKRUTHI gave the concluding remarks.
BUSINESS MANDATE
fountainhead of excellence
41 JULY 2021
Excerpts from the discussion: Asha: Is the first job a very important one—a sort of make or break in a career?
Shiv: The first job is an important one but I wouldn't say it is a make or break. You can do a lot more beyond the first job. I have seen that 50% of MBAs from a batch tend to change their job in the first year. I have asked myself as to why this happens, having been on the board of IIM Ahmedabad, IIM Udaipur and XLRI. One of the reasons is that campus placement turns out to be a lottery. In placement, you're allowed two options. It is like a T20 match where you have to 42
JULY 2021
take two wickets or give away just two
Balaraman J: During your college days
runs in the last over. But it does not
in IIM-C, you were the institute
happen. That is why, many MBAs tend
secretary and played for IIM in cricket,
to switch jobs in the first 12 months
football, hockey and tennis. How
after picking something. It is not that
difficult is it to pursue this interest once
they are job hoppers.
you join a job? What should be the
You have to ensure that there is a
balance?
learning opportunity and the culture of
When you are in college, you have a
the company is good. The multiplier
very clear routine. You go to class and
effect of that, years later, is humongous.
come back at 4:30 pm. Then you go to
Many think that they should join a
the basketball court or football ground.
company that gives the highest salary.
When you start work, there is no such
When is the first job important? I have seen a direct correlation between the cynics in the organisation and their first boss. When they had a bad first
routine. If you are a junior or middle manager, you are asked to do many things and you may end up with many hours of work.
boss or joined a bad first company, they
So while in a job, it is very difficult
tend to become very cynical. It takes a
to find time for sports activities. Many
lot of effort to change their mindset.
young managers put on 20 to 30% extra
BUSINESS MANDATE
fountainhead of excellence
weight in their first two years of service
following practice and discipline; the
had an absolute crisis with BL5C
as they work extra time and do not
rest of us need discipline and practice.
(battery) recall. We put out 12 things to
exercise. The rhythm that they had in college completely goes off. You must take very good care of your health. If you are not physically fit,
Balaraman J: When you were in Nokia, you were one of the prime sponsors of the KKR team owned by Sharukh Khan. Tell us about your experience.
you won't be mentally alert in a meeting.
Shiv: In 2015, Pepsico terminated
If you don't go to the workplace with a
the contract with IPL as the title
spring in your step and hope in your
sponsor. From 2008 to 2015, for 8
heart, you are not going to make it in
years, I was one of the very few people
your workplace.
involved with IPL. IPL is a fantastic
address the crisis. Point 12 was that if all else failed, we would get a celebrity to endorse the brand. Internationally, Nokia had never used a celebrity. We resolved the crisis and roped in Shahrukh as our brand ambassador. I had worked with him in Hindustan Lever. When I approached him, he said, “I use a Nokia phone, so I will be happy to do that.” We did a great ad with him,
You have only 24 hours a day, so
concept. But for IPL, Indian cricket will
you must make sacrifices. Now I don't
not be where it is now. It has brought
play any sports. I run on the treadmill.
more women to watch cricket and it has
I don't watch movies. In my spare time,
made Indian cricket players fearless.
Then Shahrukh won the bid for
I read books or reply to emails. There is
IPL has transformed the mindset of
KKR and suggested Nokia to be the
no alternative. As English Captain
players.
sponsor for KKR. We agreed. The first
Nasser Hussain said, only a genius like
In Nokia, on August 14, 2007, we
with the theme of Shahrukh and his 10 years with his Nokia phone.
two years of KKR in the IPL was a disaster. In the first year, they finished
Brian Lara can score 400 without BUSINESS MANDATE
fountainhead of excellence
43 JULY 2021
written by one MBA for other MBAs.’ The last thing is: Do not benchmark your performance
That was at least humorous but
with your colleagues. Try to be the best version of
another episode was even worse. I have
yourself. Gary Kirsten became India’s Cricket Coach in
a habit of summarising books that I read
2011. He realised Indian players are stars by themselves
and post them on my LinkedIn page. I
and they don't need coaching. So he said, “Practice is
read Rajat Gupta’s book, ‘Mind without
optional, but if you want to practise, tell us what you
Fear’ and summarised it for which I got
want to practise, we will prepare you for that.”
so many hate mails. I was trolled and bashed. That did not stop me from summarising the next set of books.
at 5th or 6th place and in the second
the camera, if there is a battery of
Gaining trust in social media is very
year in South Africa, they finished last.
photographers in front of you, how you
difficult, for which you have to be
Shahrukh called us and offered to give
go from left to right and this ensures
authentic.
us two days of his time, free of his cost,
that you are not caught in the wrong
Asha: What about friendship as you
for any ad campaign, recognising the
angle. Only a master can teach that.
progressed in your career? How can you
poor performance of KKR and the hit
Asha: In the age of social media, how do
stay as friends without success getting
that Nokia had taken as a result of that.
you ensure that you don't let your
in the way?
I told Sharukh, “That's very
guard down? How much has visibility
You should never see your peers as
generous of you but our deal is with the
changed you as a person? What does
competition.
KKR team and not with you. The team
this have to do with repetition and
management, people see their peers as
has failed and that is the risk Nokia has
authenticity?
competition because that is when the
Beyond
middle
taken. So, let’s stay friends.” We
Social media is both a boon and a
pyramid becomes steeper. Sometimes
continued and KKR won the title in
curse. Boon because you can network
the company or bosses place people
2012 and 2014.
with anyone across the world. If you
against each other and it is a bad
One of the things I like about
don't know how to use it, then it's a
company to work for. We had this
Shahrukh is that he gives the sponsors
problem. Young people and some
problem in Hindustan Lever with a boss,
his full value and goes the extra mile. He
middle
managers
pitching four of us—colleagues—against
is a very bright, smart, razor sharp and
unfortunately don't recognise that. It
each other. We four joined together to
very humorous person. I am absolutely
does not have an erasable hard disc. So
work for the common goal of the
certain and I have said this many times
think many times before you write
company and foiled the designs of this
that if Shahrukh had not been a film
something on social media.
boss.
star, he would have been a CEO
to
senior
In 2013, I wrote an article in The
The mistake we make with friends
Hindu Businessline on the Bharti
is that we tend to reach out when we
Shahrukh taught me many things.
Walmart split. I argued it was bad.
need help. That is not networking but a
We did 50 odd media conferences
There were many positive comments.
deal. You have to build your network
together. He taught me how to look at
But one comment said, ‘This is an article
systematically. I have built a network
somewhere.
44
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
can learn the most from such bosses and develop critical thinking. If your boss is Insecure and incompetent bosses are the worst to work for. With a bad boss, you have to work hard so he doesn't find fault with you. Today young people do not like tough bosses but you can learn the most from such bosses and develop critical thinking. If your boss is
tough but fair, work for him. Balaraman, J: How do you deal with incompetent subordinates?
A bad subordinate is one who places him above his team. Then there are
tough but fair, work for him.
those who cannot give credit to people and have poor value systems. The third type of people discourage their team even
with
my
competitors.
share of bad bosses. Draw a 2 by 2
Relationships should not be based on
matrix. On the one side of this matrix,
quid pro quo.
place your strength and weakness and
The last thing is: Do not benchmark your performance with your colleagues.
on the other side, the boss’s strength and weakness.
Try to be the best version of yourself.
The box where your strength is also
Gary Kirsten became India’s Cricket
your boss’s strength, it is a ‘Lose’ box,
Coach in 2011. He realised Indian
because your boss will always say that
players are stars by themselves and they
he is better than you. The box where you
don't need coaching. So he said,
have strength and boss has weakness,
“Practice is optional, but if you want to
you have to be very careful in coaching
practise, tell us what you want to
him without meaning to coach him.
practise, we will prepare you for that.”
The next box is where you have a
members from sending any information up to their superiors. If you come across them, engage with them and clarify your expectations. If they perform well, you can tolerate them. If not, you have to give up on them. There are also people who have good
value
systems
but
their
performance may be poor. You can coach them. One trait I always look for is, "Is this person a company person —which means that he/she places the company's interests above anything else?” If so, back him.
It turned out that the player who
weakness and your boss has a strength.
asked for maximum practice was Sachin
This is a fantastic box. You can learn
Tendulkar. He was the best batsman in
from your boss and tell him that that he
the team, having played for 23 years at
is damn good at it. The last box is where
All of us make wrong choices. If you
the highest level and he still wanted to
you and your boss both have
recognise it is a wrong choice and come
do very well, benching himself against
weaknesses. In this case, it spells trouble
out of it, you can cut your losses. Getting
an absolute best. That is the mindset
for the company.
into large debts is a bad choice. It
needed. If you are the best, the only thing that can stop you is bad luck.
Insecure and incompetent bosses are the worst to work for. With a bad
Balaraman, J: How should one handle a
boss, you have to work hard so he
bad boss?
doesn't find fault with you. Today young
It's a huge dilemma. I've had my
people do not like tough bosses but you BUSINESS MANDATE
fountainhead of excellence
Asha: What about people who have made wrong choices?
happens because of hurried aspirations. Setting artificial and unrealistic targets like becoming a company's CEO or VP by the age of 40 is a wrong choice. Asha: Can you talk about your mentor? 45 JULY 2021
I am not a good entrepreneur. I am good at working for someone. You must recognise that.
Definitely not straight out of your college. Gain some experience. I am not a good entrepreneur. I am good at working for someone. You must
If you become a mentor, coach and
changing to skill as opposed to a degree.
educator, we are sure that many young
You cannot choose your mentor.
Insights from the Q&A session with the audience:
The mentor has to choose you. He picks you when you show commitment to the
How can you choose your department
company and show a degree of
or division?
excellence in whatever you try to do. The reason is that the mentor does not want his choice to go wrong.
Make use of your strengths. If the strength lies in sales and relationships with people, you can make use of this in
I met Ram Charan in 1996 when he
any company. So, choose a department
came to teach us in the Unilever’s
where you can showcase your strengths,
Management Training Centre in Four
learn and grow.
Acres, UK. He has been my mentor ever since. The mentor tells you the toughest
up with your friends for a venture, there has to be clear agreements. Friendship
managers will get the benefit of your experience.
recognise that. Even if you are teaming
How long should one stay in a job?
is different and business is different. If my boss moves to another place and he calls me, is it advisable to quit my job and go with him?
It is not a good choice. It means you don’t believe in yourself but in your boss. You need to build your own brand. The boss also sends a signal that he does not trust the people in his new company. I have never taken people from my previous company. This system of taking people from the previous company may
things in your interest. In December
At least for 3 to 5 years in a
work well in the US where the boss is
2012, I bumped into Ram Charan in the
company. Then only you can learn the
given the freedom to bring his own
Dubai airport lounge. We had dinner.
job and about the company.
people. If the boss does not perform, his
He told me, “Shiv. I think you have to
Which will you choose—a good
whole team will get fired. The US system
leave Nokia. It has no future. You have
company with a bad boss or a bad
understands this concept well but not in
a career ahead of you. So please move
company with a good boss?
India.
on.” I was stunned. Only a mentor who has your best interests will tell you that.
A good company with a bad boss. Since fundamentally the company is
If you are in a good job, should you respond to a headhunter?
K.Mahalingam (MMA): How important
good, there are good chances that they
and relevant is MBA today?
will remove the bad boss.
headhunter. You need not quit your job
When should one become an
but it keeps you in play. Don’t be
entrepreneur?
arrogant when you do well.
The MBA degree needs to reinvent itself. I am sure the system will change. Thanks to Edtech, the emphasis is now 46
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
Always return a phone call of a
BUSINESS MANDATE
fountainhead of excellence
47 JULY 2021
Mr. V.Balaraman, former Managing Director, POND'S India Ltd., had the good fortune of working under the indomitable Mr.V.Narayanan. People remember Mr.Narayanan as a wise, goodnatured gentleman of the old school in a tough corporate world. Here, Mr.V.Balaraman reminiscences on his working with Mr.V.Narayanan during an interview with Ms. Anu Oza, HR Director, IMG Talent Management, Ford Motor Pvt Ltd. Not to lose out on this opportunity, Business Mandate too chipped in with a few questions to Mr.Balaraman.
Mr Narayanan held positions of strong authority. But
to make them feel confident that because he has
authority and leadership are different. Can you tell
chosen them they are indeed the right people for the
us how he exercised leadership?
job; and because he trusted them, they could never
From your question I infer that by authority you mean
fail him, never fail his confidence; and he showed
formal authority. Anyone who has to depend on such
perceptible expectations that they will indeed
formal authority alone to accomplish something
succeed.
useful, it seems to me is not a leader. He is what his
Have you not heard of the Pygmalion Effect? In
designation describes him to be—A CEO or, an MD
other words, “the theory of expectancy”—the very act
of whatever. What is a Managing Director managing
of expecting something, contributing to make it
or directing if he is not “leading”? Who or what is a
happen? He not only chose you, trusted you, expected
Chief Executive Officer “executing”? Stupid
you to win—he did not tell you how to do it; nor did
designations!!!
he set a budget or time frame or team size or team
Mr Narayanan was a natural leader; he had the
constitution . You had the total real freedom to choose
“inherent” authority of such a leader in whatever he
all that. And not just that—the FREEDOM TO FAIL.
attempted to do; he did not need formal authority
It was your choice. You can say, “Sorry,
though he had it in some situations. Being a natural
Mr.Narayanan. I made a mistake; I lost a few lakhs.”
leader he had clarity of purpose and vision [which is
He would say, “How else would you like to try?” No
a larger, longer term purpose—both organisational
recrimination about your mistakes or loss of
and societal].
opportunity, time or money. His view was that if you
He had clarity on why such a larger purpose is most important to achieve; he had the ability/skill to choose a person or a team to work for this purpose; and to explain to them, inspire them, to trust them; 48
JULY 2021
made a mistake—so can I, so can any of the others I could have chosen. That, to my mind, is true empowerment; genuine, authentic—and trust at its very best. So, Mr Narayanan's trust became a great
BUSINESS MANDATE
fountainhead of excellence
honour. To be trusted by him was a huge reward in
job was important—but so were people (as long as
itself. And one would work very, very hard to deserve
they are ethical!). Mr Narayanan had impressive
that trust. Never fail; never lose it.
sharpness and clarity even as he aged; he always put
Mr Narayanan understood that if you trust people
your needs first—always included you in the solution.
and genuinely back them, then nothing is impossible.
He also used to discuss with me time and again, the very fundamental importance of authentic, shared high value systems. We understood that the top rankers we hired from the IIMs would join us, be inspired and work for us ONLY if our value systems are something they can respect, be inspired by, shared and be proud of. So, our motto, which he coined, was “character, culture and competence.”
What was his commitment to coaching and grooming the leaders of tomorrow? How did he do it ?
By inspiration and by example. It was important to everyone that he valued you, respected you; and you knew that he will see everything, know everything, and that one cannot “play act.” He would see anything nongenuine instantly; you would go down in his esteem—nothing could be worse. I think it came from
There was clarity that competence without
his days as a sales manager.
character and culture was something we looked down upon. All these were natural to Mr Narayanan and his team; something we believed in, lived, and valued above everything else.
You know that you can do anything that is lawful,
Was his role all consuming?
All inspiring—all motivating would be the correct description. Good leaders only lead—they do not “direct.” So, it is all delegated. The teams did it. The leader of course is there—in every one's mind; though
moral and human to get to the company's goal. You just need to use your judgement and that of your team’s. You never let the team down or the company by your strong personal choices and preferences.
not physically; he is in your purpose in your value systems, and in your thoughts. You know that you can do anything that is lawful, moral and human to get to the company's goal. You just need to use your judgement and that of your team’s. You never let the team down or the company
Can you explain the deep felt loyalty by people at all levels towards him ?
by your strong personal choices and preferences.
Everybody is just reciprocating his constant deep loyalty to their own personal cause. He was the
What do you think were his three strongest traits ?
genuine article. He believed in the human being, and
Clarity, consistency, and humanitarian values. Pond's
it was based on a deep understanding. He knew, for
chose a human orientation. To be task oriented, the BUSINESS MANDATE
fountainhead of excellence
49 JULY 2021
instance, that as a CEO he owed it to everyone
India and Lipton India and Tea Estates of India Ltd.
associated with the company to take care of their
Different product groups of Unilever were handled
interests. Often we used to keep evaluating if we are
by different companies. Pond's products were what
taking care of shareholders, employees, vendors,
Unilever termed "personal products,” and Hindustan
consumers, society, government, and other partners.
Lever too had a big division catering to personal
We made it a formal process as well. He was the
products.
darling of all our public shareholders. Pond's kept
Fundamental questions of which company
issuing bonus shares in his days of leadership—as our
should handle all of Unilever's personal products
share value kept increasing; many shareholders used
would arise; further, remuneration packages,
to keep telling us how they built a house or got a
designations, organisation structure all would need
daughter married based on the appreciation of their
harmonisation at some stage. Pond's could no longer
investment in Pond's shares.
continue to be an independent company it was in making its own choices and decisions. The autonomy it enjoyed in strategy, brands, marketing, selling, distribution, manufacturing, sourcing all would
Smoking his favourite Bensen & Hedges helped him concentrate. He did this on the news of Chesebrough Pond's Inc. merging with Unilever. He became clear on the positives and negatives of the issue; he knew that there were definite advantages in the situation...
vanish overnight. Mr Narayanan's response would tell us all something about the person he is; we discussed the news and its different implications amongst ourselves for a few days. He then took off to the hills; Kodai hills were his favorite as also Ooty [he did his school ing at Lovedale]. He liked to be alone; walk miles around the lake and come back to the room, and then start writing—first all the questions, then his thoughts, then his answers. This process would take like a week to 10 days, by which time usually he would
Can you tell us a bit about Mr Narayanan's handling
be clear—what the questions are, what the answers
of the news of worldwide merger of Chesebrough
are, and what his position is. Mr Narayanan always
Pond's Inc. with Unilever? And later of the idea of
sought clarity in any situation; he liked to work on it
Pond's India merging with Hindustan Lever?
himself. There are times, instead of going to the hills,
In the year 1987, it was of course totally unexpected
he would take a long distance train, to say New Delhi
that Chesebrough Pond's Inc.—the parent company
from Chennai. Over the two nights and a day in his
of Pond's India Ltd would merge totally with
air conditioned compartment he would follow the
Unilever. But it happened! It was a shock!! For, unlike
same process of deep, reflective thinking, and coming
Chesebrough Pond's Inc., Unilever had existing
up with answers and solutions.
Indian operations with Hindustan lever, Brooke Bond 50
JULY 2021
BUSINESS MANDATE
Smoking his favourite Bensen & Hedges helped
fountainhead of excellence
him concentrate. He did this on the news of Chesebrough Pond's Inc. merging with Unilever. He became clear on the positives and negatives of the issue; he knew that there were definite advantages in the situation to the company's products,
Mr Narayanan converted some serious challenges
employees, distributors, and partners of higher scale.
in to opportunities for everyone. To comply with
Thereafter, he was detached—and supported the
government policy, he persuaded [with great skill
process of harmonisation of pay structures, product
and persistence ] Chesebrough Pond's Inc., to reduce
lines etc.
their shareholding in Pond's India Ltd., to 40 percent
On the actual question of merging the operations
from 100 percent...
of Pond's India Ltd., with Hindustan Lever Ltd., he took a clear and unchanging stance that he would not do it himself and that this decision should be taken by his successor, namely, me. He would not give me an idea of what was in his mind or what would be his advice to me.
employment. Because of the high growth, the company's
He said that it should depend upon the future
underlying share value kept on increasing—and the
interests of Pond's India, that he cannot make a
market price of its shares grew to high levels. It
decision on it, and that it is best done by his successor
became necessary to keep the market price of the
who would have a clearer view of what the future held
share affordable for the small shareholders in the
for the company.
market. The company under Mr Narayanan's chairmanship kept splitting its shares through issue of bonus shares. Over a decade, this hugely increased
Can you explain how Pond's spread so much
the value of the original small quantity of shares in
prosperity to so many ?
which small shareholders invested at the time the
Mr Narayanan converted some serious challenges in
company took on Indian capital. It made
to opportunities for everyone. To comply with
Mr Narayanan very popular with the company's
government policy, he persuaded [with great skill and
Indian shareholders too.
persistence] Chesebrough Pond's Inc., to reduce their shareholding in Pond's India Ltd., to 40 percent from 100 percent; but made them work to get us export
Great companies think differently. How did Pond’s
orders for high premium European prestige brands
—under Mr Narayanan’s leadership—implement a
in the Russian market, thus gaining additional sales
different operating logic to meet the needs of people
and profits for the Indian company, higher dividends
and society?
for the parent, and forex earnings and tax revenue for
Narayanan's logic was thus: a society of high ethics
the Indian government, adding to Indian
attracts similar people. This increases selfrespect
BUSINESS MANDATE
fountainhead of excellence
51 JULY 2021
and pride, and builds brand value for the group and
Pond's was a company driven by values. How did Mr
company. Being humane builds better relationships,
Narayanan create a value-driven company in India,
and trust creates the obligation to “live the trust” and
where corruption, nepotism and profite-ering were
not let down those who trust. The Pygmalion effect
a way of life?
also kicks in:
There are many companies in India driven by values.
• A society of high ethics attracts people who like to
Pond's was one of them. Of course, occasionally the company had to take penal action on errant individual
belong there. • Being highly ethical increases one's selfrespect
employees to ensure adherence to its value systems.
and make them proud of belonging to that community; increases the brand value of the com
Managers often say that leaders don't walk the talk
pany/community.
when it comes to values. How did leaders under Mr
• Being humane—makes people comfortable; relate better, builds bonding.
Narayanan avoid this trap?
Mr Narayanan led by example. There was a highly
• Trust—creates an obligation to "live the trust"; not
visible event: a very high value shipment for exports was stopped at customs quoting a minor irrelevant
to let down the trusting. • When one perceives that they are being highly valued and knows that "expectations of performance" are high, then one will work hard to live up to those expectations [this operates with those who opt to speak as a Pond's veteran].
problem in labeling. There was subtle pressure for irregular gratification. If the shipment was returned to the factory, there would be a huge loss to the company. The Management under Mr Narayanan stood their ground on principle. Finally, the shipment was cleared for export accepting the company's stance. Leaders who stand for ethics will be tested by followers quite often. So, how a leader responds under such pressure will decide the sustainability of the values preached. Active and sustained practice of preached values by leaders is what sustains these
Mr Narayanan led by example. There was a highly
values in the organization.
visible event: a very high value shipment for exports was stopped at customs quoting a minor irrelevant problem in labeling... The Management under Mr Narayanan stood their ground on principle.
What can today's corporate leaders and entrepreneurs learn from Mr Narayanan's leadership? What are the real leadership lessons of Mr Narayanan that are relevant today?
To trust people; to believe in the motivational power of a near impossible challenge, given all freedoms— including the freedom to fail (in the knowledge that 52
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
if the employee makes a mistake, so can the boss!);
way to ensure that most employees were provided
the magical power of expectation backed by open
housing loans at very low rates of interest; the huge
confidence and trust, often called the Pygmalion
profits that the company continued to make over the
effect; and, the underappreciated value of ethics and
years with expanding sales, both in the domestic and
value systems.
export markets, were shared as remuneration to employees
I believe Mr Narayanan was a strong believer in faceto-face meetings. How did this help him as a leader?
and
dividends/bonus
shares
to
shareholders for which he is fondly remembered. Yes, he ensured that the company prospered and shared that prosperity with every one as is legally possible.
I have not asked him this question; nor has he ever
He faced large and varying challenges—starting with
explained it to me. But Mr Narayanan strongly
an high excise tax on cosmetics at 120 percent, to the
believed in whatever he did. He also believed in the
parent company being forced to dilute stake, to export
power of persuasion; he was a marketer and a
obligations being forced on the company, and to
salesperson at heart. I guess facetoface meetings
Unilever buying Chesebrough Ponds out in the USA.
helped him understand a person very well so that he can then reach a shared understanding of the action to be taken. Mr Narayanan believed in getting things done by trusting people, doing good to them; in other words, task orientation through human orientation.
He managed by being flexible, adapting, and changing but always focusing on growth, shared prosperity, ethical management being human ever and ensuring that he did best for his motherland. He was a deeply principled man, and was also a canny negotiator. He was thoughtful and reserved,
Do you have any final remarks?
yet deeply engaged and caring. He spread prosperity,
Mr Narayanan by any count is a remarkable
yet lived simply while enjoying the occasional
individual. One who had a natural charisma—he was
indulgence. He was quick and decisive yet
far more popular amongst his employees than most
embracingly inclusive. He was able to withstand
professional Chairmen and MDs one comes across.
business ups and downs with an unforgettable
Normally a reserved individual, but when he is with
fortitude, grace and clarity. He gave so much of
another person, he warms up and engages with warm
himself to what he did that he is already deeply
genuine care, dignity and respect regardless of social
missed.
levels. He is generous to a fault—he went out of the
Leaders who stand for ethics will be tested by followers quite often. So, how a leader responds under such pressure will decide the sustainability of the values preached. BUSINESS MANDATE
fountainhead of excellence
53 JULY 2021
54
JULY 2021
BUSINESS MANDATE
fountainhead of excellence
