MGMT 568 (Comparative Management) – LEADERSHIPTarget Country - India

Presented To: Allan Cahoon, Gloria Miller & MGM CommunityPresented By: Chandandeep Singh

DefinitionLeadership is an executed vision aimed to influence people by inspiring them with continuous innovation, compassion, character, sacrifice, integrity and decision making. Leadership is all about transforming the present to future by showing direction.

Leadership V/S Management

Misconception about LeadershipLeadership is frequently mistaken with Management. Management and leadership are two different skills, entities having different domains

Top 10 Differences Between Managers and Leaders - YouTube

Current Leadership Issues in India

Political Issues• India at present is ruled by a pre-

independence leaders that are striving only for power

• At political level also, India’s growth is endangered by leadership deficit

• Political involvement at commercial levels discourage authentic leadership

Gender Discrimination• Discriminating women over men for

leadership positions is frequent as female gender is seen as an emotional and weaker gender

• Sexual harassment of women at workplace is very common in most of the companies

Current Leadership Issues in India (Contd.)

No Clear Vision• The current political leadership of India is

visionless• Many of the existing leaders are

demonstrating no or least vision as they are trying to repeat the "China Model" of economic development, but with a deviation

Leadership Development Issues• “40% of top 100 corporates in India have

CEOs drawn from promoting families”• Absence of internal grooming or advance

succession planningCorruption• Public sector leadership is utterly rotten

with corruption, referencing and favoritism due to political influence

Background of the development of the Issue

Poverty & Obsolete Education System• Public sector education is incompetent and lacks overall

infrastructure with no significant interest from government• Approximately 94% students drop out of school before

completion of 12th grade due to inability to pay tuition• Rest 6% mostly graduate with regular college degree which is

mainly irrelevant in today’s context and mostly becomes a barrier in employment-generation

• Non-existence of government funding for private schooling

Corrupt Visionless Government• Every government ruling the nation had demonstrated the

same characteristics of corruption, unjustifiable influence of power, hunger for power and no vision for the development of country

Leadership in Business- A Chat with Sadhguru and K. V. Kamath at Forbes India Awards - YouTube

Background of the development of the Issue

Lack of Able Leaders• Lack of leadership from the municipal level

offices to the highest offices of Indian government and political parties

• Non participation of highly educated Indian youth in the politics

No Leadership Development/Grooming• Leadership development, placement &

succession planning has not been extensively demonstrated by corporations operating in India and other developing nations

• HR and talent development systems are not competent enough or have the vacuum to groom ambitious and aspiring employees for the leadership roles

Leadership Lessons from India - Top 98 Corporations

• Internally focused, long-term view• Giving priority to motivating and

developing employees than that of short-term shareholder interests

• Creating a sense of social mission that is central to company culture

• Encouraging openness • Developing and forming systems that

provide transparency and empower employees by enabling communication

• Pushing decision making down through the ranks, and invest heavily in training

Few Insights about Indian Transformational Leaders/CEO’S

Vineet Nayar : Company HCL: Motto -Employee First Customer second: Leading 55,000 employees & 24 Billion Organization: Growing Faster than Indian Economy Rattan Tata: Company Tata Group: 1991 Visioned Global Growth: Led 96 Companies: Acquired Tetley Group, Ritz Carlton Hotel, Daewood: Developed the Tata Group on global level: ½ of Tata’s revenue comes from global operations. Nano – Interview. Pricing and development : $2000 Guessed and Projected as Goal: Engineered on cutting costs by repurposing scooter parts. Eliminating power windows

Verghese Kurien: CompanyAmul: People call him Steve Jobs of India: Known as father of white revolution 1950’s Amul Story. Made India the largest milk producer in the world. Contributes 17% to the world supply. 30 Different companies

Sunil Mittal : Company Airtel:16 Billion Company : From a crankshaft manufacturing shed to India’s biggest telecom giant. Retail (introduced Wal-mart). When faced with a choice between perfection and speed, choose speed; perfection will follow. Sunil Bharti Mittal on Entrepreneurship - YouTube

Comparative Analysis between Top US and Indian CEO’S: Prioritizing Key Responsibilities

Indian US

Main focus on business strategy – Last Shareholder Main focus on shareholder interests

Indian executives spent more time on setting strategy but gave additional attention to external demands like regulatory concerns, the board, and shareholders

U.S. executives became increasingly attentiveto external demands—regulatory concerns,the board, and shareholders

Indian leaders are likely toown the strategy function

Western leaders often leave it toprofit-center heads

Transformational Transactional

Implications for ManagersIndian Managers

• NO Vision No Direction: Vision and Direction are leadership skills and without the presence of able leaders in the company it becomes hard for managers to recognize the goals of a company and they lose focus.

• Lack of Capitol: Foreign and domestic investors invest in the dreams of leaders executed by managers in the leadership of competent CEO’s. However, managers and companies fall short of raising the capital in form of equity or FDI due to the roofing of incompetent leadership.

• Failure in Corporate Restructuring: It is impossible for managers to manage innovation, employee engagement, talent, performance, competition and growth without the direction of a leader.

• Loss of Potential Leaders: Corporations and managers are losing deserving leaders who can fill in the CEO roles due to gender discrimination, poverty and improper or no succession planning.

IBM THINK | Chanda Kochhar of ICICI Bank Discusses Women In Leadership With Errol Morris - YouTube

Implications for Managers

Foreign ManagersAccountability towards Investment: Lack of Leadership has diverted Indian Corporations from developing domestic manufacturing infrastructure. Foreign managers, Investors and CEO’S are not convinced the way India is transforming into a Service Sector Nation and due to that they are diverting the attention and FDI towards countries like China.

INDIA