Monday, June 30, 2008

A FEED BACK………!!

After reading my blogspot most of the patriotic Indians think I am an anti India. I write all the bad things about India. Some even feels it is offensive. Yes, I write from my heart and I have the guts to call ‘white is a white’ and ‘back is a black’. But all of then accept there is truth in my statement. Indians only trouble is although it is truth, it should not be made public. The image of the country will be tarnished.

I had a strong convection on this, Indians are bad in managing their human resources. As I wrote in my last article “organizational compliances……….in India”. The reason is very simple, as I said, during the evaluation process of the candidate, Indians see what the candidate weakness is. What the candidate don’t have. I can prove this with a recent live example. It is happened in one of the TVs reality show (last week of June 2008). It is recorded and shown live. It is dance competition on the stage in front of the judges. After, the dance performance of a 16 year old girl, it is time for the judges to comment on her performance. What happened, the judges humiliated the 16 year old girl, for her mistakes, in front of the audience and in the live. In the shock, the girl was paralysed and admitted to the hospital. She lost her speech too. The judges don’t have any good to tell about her performance.

If you focus on weakness of the candidate and what the candidate don’t have, it is wrong process. Its wrong mind set on the part of the people who do the evaluations. I have been in many interviews in the corporate world. This is Indian way of evaluating candidates.

Some recruiter are doing the best job they cut across every thing, including own prejudice, to get the right candidate on board. This breeds are very few or this breeds have obligations only to their profession. It is an exception. Exception is not the rule of the game.
INDIANS POSTPONE PROBLEMS.

I write things from my heart. I am not like other Indian who follow the ’sabai culture’. Write what is appropriate to write. The problem with Indian is they know there is a problem. The problem exists. They don’t straight way attack the problem and find the solutions. In India face saving of all the people involved is more important than solving the problem itself. Take the bull by horn. It is the American way. Americans manage the problems.

Indians have their own way. Indians believe, “if there is beginning there must be an end”. If the problem have the beginning, it must have the end also. The problem has its own end. The exact interpretation is “the problem ends on its own”. We need not attack the problem. We need not manage the problem. We just go along with the problems until the end. Americans manage the problems, find the fixed solution and make a full stop to the problems. Indians are all different. We live with the problem. We just post pond the problem. We allow the problem to die of it own. In India most of the problems are 100s of years old. The problem will exists in the future also.

For example, with in Hindu society, the forward cast (Brahmins) wants to dominate. I put it bluntly. Forward cast don’t want other cast people to come up and occupy high slot in the society. The other cast people want to break the forward cast domination. It creates a lot of tension, manipulations and actions in Indian society. Several posting and recruitment decision are made based on this. Several business decisions are affected based on this. Neither the forward cast nor the other cast is going to rationalize this matter and sort this out. The forward cast bias is so prevalent and worst in India that the Government Of India has to Interfere and made amendment in the constitution of India and made reservation for the other cast people, first in the Government service and recently (2008) in the higher education. Is it possible to find a permanent solutions ?.

Hindu – Muslim problems. I don’t see any solutions for this problem for 100 years in the future. South India has better religious tolerance, especially Tamil Nadu and Pondicherry. We just pray to the God and see the problem has its own end.

Indians has a unique way to post pond the problems. If any thing happens – be a big corruption in the Government, riot of all kinds, police firing and killing people, Finance company swindle millions of public money. An enquiry commission will be set up by the Government, usually headed by the retired judge. Indian Government set up hundreds of enquiry commission after Independence and none of them has met its objectives. Nome of them was found guilty. After a period of time all the enquiry commission go into sleeping. And the papers are gathering dust. The commission was dragging for years and slowly faded from the public memory. By the time one more catastrophe sweeps the public mind and one more enquiry commission. Indian public have short memory. Any body who is following the Indian society will agree with me.

Wednesday, June 25, 2008

Indian Philosophy Of Business
In USA, building an organization means, a big organization, hundreds of employees, turnover in billions. The organization has social committement. Employment and equal opportunity to all, pension, healthcare, charity and supporting social cause in USA and around the world. In USA, almost all the Fortune – 500 companies, have the charity foundations and has millions of dollars in the kitty. Ford Foundation, Rockfeller Foundation, Melinda – Gates Foundation and the list goes on….

The Japanese culture have the strong bond between the organization and the society. It is almost inseparable. There It comes the permanent employment, job security, promotions based on seniority. The money from Japan corporate tax is enough to run the country.

In India , the philosophy of doing business is ‘building personal wealth’ or ‘personal fortune’. This Cultural difference is very important to understand the way Indian companies are functioning and working. In the 70’s and 80’s Indians prefer to work in the Government sector, The reason is very clear, job security, monthly salary, need not fold your hands and answer to any body. Even now, Indian Government servants are different. They are not accountable, they are not answerable. They take care their purpose is served. Productivity, efficiency, innovation. Don’t mind. Modern corporate mantra “break all the rules”. It is an alien and untouchable. You will be thrown out from the Government services. Focus on result. No, procedure is more important.

In Indian private sector, procedure is there. It should be strictly followed. Break the rules. Not possible. Break at you own risk. If the Boss break the rules it is revolutions and innovations. If the subordinates break the rules, it is indiscipline and insubordination. Indians don’t tolerate subordinates active brain. It is top – down organization.

If you don’t get a Government job, next thing, Indians prefer self-employment. Start your own business. The reason is “need not fold you hand and answer to others”. It is in Indian Culture. What a deadly combination in the Indian philosophy of doing business – Building personal fortune and need not answer to others.

Now, in this competitive world, if you think you need not answer to others, you will not be in any business. Every body is answerable to their own customers. Indians are learning their way. But a long way to go. Americans and Japanese believes spending on customer is an investment and in India it is expenditure. Since Indian think, it is an expenditure, Indian companies spend less money on market research. Indian spending on employee training and development is less because it is expenditure.

This is the reason why Indian companies are so bad in customer service. In the Fortune-500 list very few Indian companies, but good number of rich Indians.

My advice to foreign companies.
Foreign companies coming to India think, They don’t know Indian consumers and Indian market. So they wish to take an Indian partner with the impression, Indians understand the Indian market. On the negotiation table the Indian companies put forth the strong arguments, They are Indian companies, Indians are different, They know about Indian consumers and Indian market. But the hard truth is, Indian companies are as bad as foreign companies in understanding Indian consumers and Indian market.
You take any product category in India. Only when the foreign companies entered Indian, Indian market was expanded laterally and vertically. In most of the cases foreign brands are the market leader.
Foreign companies don’t know Indian consumers, but Indian consumers know well about Foreign brands and companies. Indian consumer perceive global brands are better than Indian brands. Indian consumers vote for the best.

Sunday, June 22, 2008

ORGANIZATIONAL COMPLIANCE…….In India !!
India is a country of a specific paradox. India is rich in human resources. Indians are among the best educated, hard and smart working people. Indian brains are one of the best in the world. It is true. For so many years in the past, present and I promise may be in the future, year after year, thousands of our best brains will go out and work for the foreigners, foreign companies and foreign countries. India is the best brain hunting ground for the Americans and the Europeans. This is one side of the story.
On the other hand, Indians and the Indian companies, stand on the roof and shout “lack of trained human resources is the biggest problem in India”. The shortage of ‘trained’ man power is hurting the company growth. Take any sector in India, human resource shortage is there. All the HR managers in the Indian companies are claiming, they tried hard to attract the best human resource talent, they are doing their best to retain the best people, they are managing their show to the best with the available people. Are they right ?.
Earlier, only the people from IITs, IIMs, and top institute had the opportunity to go abroad and settle their. They usually don’t return back to India. Now the situation is worse, people from second grade cities, towns and even from villages, the brains are moving out of this country. Even if they are not moving out, they make it a point, they will work for the foreign MNCs. They take pride in that. The most worst situation is, even the menial labour force, they will clean the toilet, but they will clean the toilet in Singapore and Dubai and they don’t want to clean the toilet in Indian.

First tell us accept the fact. Indians are bad in managing their Human Resources. It is hard to accept this fact. But this is the truth. Second, India is not a society of merit. While selecting people “right people for the right place” it is not happening in India. We have several filters to get ride of candidates. The filters are so many and irrational. If you are not with particular religion, rejected. Not with particular cast, breed and state – rejected. If you are not in the age group, you will be rejected. If you are physically too tin or too fat – rejected. If you are highly qualified and experienced, you will be rejected. The interviewer does not like the candidate, reject him. The Head of Sales finds a candidate extremely good, the HR people will reject. It is all happen during the selection process. During the interview in India, usually the candidate is grilled for his/ her weakness, what he/she is lacking, what he/she don’t have. The recruiter does not evaluate the candidate’s strength, unique talent and what they can do best. It is not a process of selection in India. It is the process of rejection.
What most of them is looking for is, weather we are comfortable in working with the candidate and weather the candidate will fit in to the team. The candidates, qualification, experience, love the job and competence comes second. No professionals and competent candidate can accept this as a criteria to work in an organization. The family controlled companies will recruit candidates loyal to them. A lousy CEO will build a lousy team. Brahmins will support and recruit Brahmins. Keraltes will support and recruit keraltes, Hindi speaking boss will prefer Hindi guys. Average performing organization will prefer average performing candidates. They don’t recruit super performance guys and destabilize the harmony of the work culture. The super performance guys will not survive in the organization. Some boss want to hear only “yes”. This ‘yes’ boss will have team only with candidates who can say “yes”. If you use your brain and think of you own, you have no place in the organization. In India, some company will clearly tell, “Even if you don’t perform we will keep you, but if you don’t fit into the organization. You are out”. In India, faithful to the boss is more important than faithful to the customer and the company. If you want to survive in an Indian organization ‘be faithful to your boss’.
This is Indian recruitment style. Indians have strong focus on “organizational compliance”. Those who failed to fit into the team, out of job. We find in India, so many highly qualified people are not employed. Below qualified and average people are on roll. This is pathetic.

Tuesday, June 17, 2008

Indians are sick of money
Money. The one agenda in Indian life that can’t be questioned. Indian thirst for money is endless. We want to make money and more money. Even a 1000 pages book will not enough to write about it. But in this small article, I am going to tell the Indian attitude “lending money to an Indian and paying back. This write up is more relevant when the foreigner is dealing with an Indian and Indian is dealing with unfamiliar country men.
In India, never lend money to others. If you want to lend money, give small amount that you don’t mind and in case you don’t mind writing off. Lending money is very easy. Collecting the same money is very difficult. You need a ‘very special talent’ to collect the money back. Actually, don’t blame the Indians for this. It is something already written in the Indian’s brain or you have to check with Indian’s DNA.
On the day India got freedom from British rule on 15th Aug. 1947. Indians were very happy. There was celebration through out the country. Even the ordinary people entered the star luxury hotels once exclusively reserved for the British people. They ate, drink and enjoyed well. When the bearer asked for the money. The Indians replied,”Why you are asking for money, we got freedom. Freedom means it is all free. We need not pay”. The Indians got into the public transport bus and trams. The conductor asked to buy the ticket. The Indians replied,”Why you are asking for money, we got freedom. Freedom means it all free. We need not pay”. It happened.
If any Indian’s or Indian firm asked you to pay the advance or the part payment. Never make it. Pay the money if the job or deal is fully done. For example, you are visiting India, you want to make reservation at the hotel or resorts. You are booking through Internet. The hotel/resort will ask you to make part payment for the confirmation. You also made the payment. Later on you cancel the booking for some reason. If you think you get your money back, sorry, you will not get the refund.
In India, you want to take a telephone connection either from Department of Telecommunications (DOT) or from private cellular operator. You have to pay deposit. You used the service. You paid all the bills. After some time you terminate the connection. If you think, you will get your deposit back. You are wrong. You will not get you deposit back. If you personnely approached them to get back your deposit. Both the Government DOT and private companies will give some reason not to pay, or even they invent a reason “why they don’t pay”.
You approached an Indian company to do business. Simply you want to take a franchisee. First look into the Terms and Conditions. Invariable, the T & C is in all favour of Indian company and put the franchisee at mercy. Still you are optimistic and believe you can turn around the table, paid the deposit and taken the franchisee. You believe Indian business man has integrity and ethics. You tried all management techniques, but still the partnership relationship does not work. You want to end it. You have to get back your deposit, commission dues ( if any), performance Bonus ( if any). You will not get it. I give it writing.


You take any body – a middleman or a broker or a small firm- for doing a simple job for you. You paid the money, the job is not done. You not happy with the service. If you think, they will repay the money. No. For Indian Business means making money, not building an organization. There is proverb in India, Even the dead body will open its mouth, if it smells the money.
All of then will tell you that they will repay you, But when they will pay you. That is the question to be answered. When time comes to pay back, Indian’s hands will shrink.
If you don’t pay money things will not move in India. Make sure pay it to the right person or right service provider. It is better cultivate a trust relationship and then start business transaction or take a well know reference- existing reference – and start business transaction.
Indians knows very well, in India, if they violet the rules, foreigners left with very few options. Police and Judiciary will get justice only years after. The time, energy and the money you spent to get justice in India, is not economically worth.
Like Americans, if you straight away start the business and involve the money. You will loose a lot of money and betrayed and disappointed.
The CEO of Domanio, the French MNC , comment on their Brittiania Joint venture with Indian company owned by Mr.Nusil Wadia is a perfect word. Britania joint venture is a day light robbery of Wadias on Domanio in all this years. None of the Joint venture is India has seen the years long day light.

Sunday, June 15, 2008

True Hospitality in India.

True hospitality in India.

Hospitality has a special place in Indian culture. Indians mostly keep business transaction at the office. They invite only the near and dear, the close circle, to their house. If they invite you, it should be accepted and respected. You are one among the priviliged. If they allow you to skead th their spouse and children. Believe me, you win the day.

If any foreign people, come to India for a business trip, expect true hospitality in India. If your business partner in India knows you are comming, Indians dont disappoint you. You will be picked up from the Airport. The best possible hotel room will be ready for you. Your confort will be taken care of. Indians will also say, "Take rest, I will see you on break fast or dinner".
If you are guest and if you are taking dinner with your Indian partner, Indians will pay the bills. Accept it.

This does not mean, the Indian business partner is expecting the favour from you. No, you dont have any obligation. You can do business talk as usual. Hospitality is in Indian Culture. If Indians dont treat you this way. It is clear, you are not welcomed, you dont win the day, you may not succed in the business transaction.
In contrast, in USA, The Americans are not at all confortable with all this things. They value Independence. They landed at the airport, take taxi on the their own, checked in to the hotels and lock the door. They appear for meeting on the day and exact hour.

Americans may think, Indians are wasting their time, Indians are poking their nose on Americans freedom. Americans !! if you come to India, dont go against this hospitality rules.



Wednesday, June 11, 2008

"Sabbai" Culture in India

Indians have many cultural attributes, which the foreigners dont understand. One thing this is least understood is "Sabbai Culture". It is the protocol of the "content of the speech" in a meeting. We can also call it as meeting spech or stage speech. This is applicable to all time and in all the places. It will be a small meeting or a large meeting. It may be a family fumction or the political gathering. Indians always have a set of guidlines , what should be delivered during the meeting. The way they speak - always a noble person, always fight for the protection of human rights, fight for the women enpowerment and children welfare, fight for justice. The speakers are here save the whole country. Some even save the whole universe. They are the projection of god. They are man of integrity, dignity and destination. That is is impression they will creat. Please remenber it is only a meeting talk. It is not reality. Dont carried by the speach.
Remamber, India is a "High Contex" society.
Personally he /she no way related to the attributes of his/her speech. He / she is not accountable for this because that speech is approatated for the meeting so he spoke. Don’t carried way by the commitement and promises given by the Indians during gatherings and public meetings. Reminding the promise later is insulting to the Indians !.

My simple and sound advice to foreign business people is, dont take Indians words as it is. Take the context into account. On which context the word was give. The promise give on the public meeting and the promise given over the brandy is the same write it off. Even in the professional business meetings and negotations people tend to over commite themselves. Be careful. Check the position and authority of the person, who is commiting. Take commitement from the right person ( owner, CEO or MD). Even by any chance, if thery are not able to fulfill the commitement. Dont mention it latter !!.

Indians are argumantative in Nature

Indians are arguemantative in nature

If there is any issue, Indians solve it by arguing it out. One set of ideas are right and other set of ideas are wrong. One has to win and other has to lose. First Indians will fight it out. It is in the Indian traditions. The concept of sharing of information is not there. The discussions based on sharing of knowledge, at he the end of the discussion, every body has more knowledge than at the beginning of the discussion. The problems with the arguments is, at the end of the discussion, all the people stick to their guns, no more knowledge is added and the rivelevery continues.
In India, if you want somebody to listen to you, or somebody wants to take your ideas, then you have to beat them on their own game. First disarm then. Better is to demolish them. Now impose your ideas or will. They will take it. Then only they treat you as a leader and commander.
I will give a list examples, whenever there is protest in India, a democratic rights, what the state governments will do ?. First shoot the people on chest and head. The same state government will the compensation to the victim families, then set up a enquiery commission and then the negotiation. Always the result is in favour of the strongest one. In 2007, west Bengal, farm land were taken by the state government and give it to Tata Small car project “nano”. There was an agitation. The police opened fire killing several people. Compensation was paid and then to talk. In Rajesthan. May 2008, Gujjar were on foot to classify them as Scheduled Cast. The police opened fire, killing several people. Compensations were paid and then to the discussion table. Even in June 2008, in Karnataka, what the farmers are on road demanding more seeds and fertilizers, police first open and kill somebody and pay compensation.
What the hell this means to Indians attitude ?. who is right ?. who has more power?. Cant we Indians keep our heads cool and pool the best brains and ideas to solve the issue smoothly. Simply it is not in our blood.
In the business implications, If any foreigners wants to do business in India, It is better come alone as 100 % subsidary. All the 100% foreign owned companies are well, then the companies with their Indian partners. If you want an Indian partner, first disarm him, better be a silent business partner.
The Japanese way of business will not work in Indian. Building relationship for building the business is the Japanese way. Building business on relationship is the Indian way. Japanese trust on words and face. Indians don’t trust on words, especially on money matters. On trust don’t give money to any Indians. One must have some special skills to collect it back. It is better every thing should be taken it writing. Americans should be happy to get the things to be written on papper.
Remember, India is a “High context” society. Even the written things has to be interpreted the way it has to be. You need a special skill in interpretation and arguments in India. Enforcing a written agreement is also a difficult in India. Indian judiciary is very slow. To get justices the process is difficult. The time you spent on getting justice, you can do hundred better things. Indian Judiciary clearly say, “Thousand criminals can escape, but one innocent will not be punished”.

Now it time for arguments and interpretations, I think, the Indian judiciary is in favour of criminals……………any other arguments….

Tuesday, June 10, 2008

sales people are deserved !!!

During my management , i have reed a lot of management books. It is all written by American authors. Peter F. drucker says" getting things done by people is management", 'optimum utilisation of human resources is management", "Selling superfluous is marketing". First time I have entered the India corporate world in sales . I was shocked. Sales people are the revenue earner for the company. Sales people life starts with numbers and end with numbers. It is simple.

Most of the times you find, the office guy and admin guy who sitting inside the A/C office is more confortable than the foot soldiers or the so called revenue earners of the company. Most of the time the admin people are shows they are more powerful. On small issues, they hold the applications, reject the applications. The process is more important. In sales job insecurity is high. Making cold calls you have toughtest time in your life. Sales people has to go to field - dust, hot sun, rain, traffice jam, facing customers............... Indian companies are also equally bad in treating the sales people.

Now , no good guy is taking up sales job. The job image itself has gone. Now a days i have seen people are sitinng inside the office and sales....funny people.......tele sales.

Sales is noble job. they are the revenue earner for the company. They are ambassador of the company. They carry the brand image of the company. They are the bridge between the comapny and the customer. The customer does not know the company, see and know only the sales people. Most of the sales are done, only because of the sales guys.

Will the Indian companies understands this........and put the sales on top gear...........if you dont have strong bridge to connect the customer, you will not cross the river.

Sunday, June 8, 2008

Management With Difference !

I am a management graduate. I am proud of that. I know the fundamentals of business. I have reed how people will think and work individually and in group. The dynamics inside the group and between the group. I was in the Indian corporate for 13 years. I know the integrity and business ethics of Indian Companies. That is good amount of time to learn about companies and work dynamics.
I have read a lot of management books. It is only a guidlines in the Indian corporate management practice. I have seen how vast the difference is. Indians are managing the companies "The Indian Way". I wonder why nobody has come forward to write and specify the difference in Indian management principles and practices. That is why I named this articles " management with difference". We have learned about Management by Objectives, an American comcept. This is "Management with Difference" an realy Indian concept.

First comes the concept of "Business" itself. In India, why people start a business and fundamental idea behind starting a business. Money, money and making money is first and foremost idea among the Indian business to start a business. In India business means creation of personel wealth, individual wealth and promotors wealth. More money, quick money. Is it good, a business without a set good principles and without a vision ? can contribute to the society.
But in western countries, business means creation of countries wealth. This difference has the impact on the management principles and practices. let discuss this................