Mr Anand Mahindra

When we Indians hit our pillows at night, our dreams about India’s future are not just colorful but steroidal. All of us are finally beginning to believe that the sandcastles we build in our minds are not going to be simply washed away by the morning tide. –Anand Mahindra

PERSONAL PROFILE• Family Background

Born into a well known Punjabi business family Not strictly a business background; father was a congressman and

wanted to be a Diplomat

• Education Studied filmmaking in graduation MBA from Harvard in 1981

• Career Path In 1989 he was appointed the President and Deputy MD of

Mahindra Ugine Steel Company Ltd. (MUSCO) In 1991, he was appointed Deputy Managing Director of Mahindra

& Mahindra Ltd. In 1997, he was appointed Managing Director of Mahindra &

Mahindra Ltd. Vice Chairman and MD of Mahindra & Mahindra Ltd. since 2001

Positions of ResponsibilityChairman of National Safety CouncilCo-founder of the Harvard Business School

Association of IndiaCo-chairman of the International Council of

the Asia Society, New YorkCo-chair at the World Economic Forum at

Davos.Director of The National Stock Exchange of

India Limited appointed under the “Public Representatives” category

SOCIAL AND MEDIA PRESENCE

Founder chairman of the Mumbai festivalMost active CEO on TwitterRecent news articles

Apr, 2009 – “Controlling Stake in Satyam”Business Week- “Rebuilding standing and trust

in the market.”

June, 2008 – CNN- Diversification plans into steel production, technology, real estate development

MAHINDRA & MAHINDRAThe Mahindra group, a $6.3 Billion empire, is

among the top 10 industrial houses in India. J.C. and K.C Mahindra founded the company

Mahindra and Mahindra in 1949.Started as a tractor and Jeep companyCurrently into the following sectors:

Automotive IndustryInformation TechnologyFinancial ServicesInfrastructure Development Hospitality

MAJOR DECISIONSAt Mahindra Ugine Steel Company (MUSCO) -

diversifications to real estate & hospitality.As Deputy MD of M&M, restructure into 6 SBUs -

1994AutomotiveFarm equipmentTrade and financial services sectorInfrastructure Development Sector Information Technology and TelecomAutomotive components sector

MAJOR DECISIONS (contd.)Strategic partnership with British Telecom for

Tech MahindraIn 2002, launched SUV, The ScorpioCo-Promoter of Kotak Mahindra Finance Ltd.,

was converted into Kotak Mahindra Bank. Take over the Satyam Computer Services

currently known as Mahindra Satyam.

SOCIAL ACTIVITIESContributing share of profits (1%) to CSR activities. ESOPs - Employee Social Options - Involving

employees in social activities.Planning to set up two Mahindra Pride SchoolsMahindra All India Talent Scholarship for the

economically disadvantagedNanhi Kali project for the girl child.Trustee of the K.C. Mahindra educational trustAnnounced to provide free cochlear implants to

hearing-impaired, under-privileged children

M&M: INTRA-FIRM COMPARISON

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

0

2000

4000

6000

8000

10000

12000

14000

16000

Standalone

SalesAvg Capital employedNetworth

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

-5

0

5

10

15

20

25

30

Standalone

PAT Ratio

LEADER PROFILING“In Mahindra & Mahindra,

we have never believed that our business is to make cars. Rather, our business is to

give shape to dreams and to create legend”

LEADERSHIP QUALITIESCourage to Take up Challenges

Real Estate, Banking, Hospitality, SUVs, Water TransportAcquisition of Satyam

Foresight1991 decision to diversify – ability to deal with slowdownMahindra Satyam – Recession, Low Acquisition Cost,

Understand Intrinsic ValueCreativity and Innovation

Innovation – Annual event at M&MChange in demographic profile of workers Reboot, Reinvent, Reignite

LEADERSHIP QUALITIES (contd.)Concern for People

Virtual Pool Program – Manage Surplus Workforceo Non billable staff get 40% salaries, 6 months

Chairman of the National Safety Council – 2008o Health Safety and environment

Concern for EnvironmentMahindra Hariyali 2007- Plant a million treesHybrid Vehicles – Scorpio and 3 wheelers

LEADERSHIP QUALITIES (contd.)Self Belief

“I could have done well at anything I tried my hand at.” Experimental, Risk-taking

Family ValuesA filmmaker? A businessman?Took in the odds which led him into different ventures

Nurturing TalentHands-on approach helped him create talent pool

Independent, Proactive“I would strike out my own path.”

TenacityThe Satyam takeover

BUSINESS PHILOSOPHYNo Group wide mission statement.Individual SBUs have mission statementsCore Values

Good Corporate Citizenship Professionalism Customer First Quality FocusDignity of the individual

ANAND MAHINDRA AND M&M TRANSFORMATIONVisionary

Admired for Technology, Quality, Innovation across segments

Strategic ThinkerDiversification, Acquisitions – JLR(Value),

SatyamChange Agent

BPR - IDAM, Tractor to SUVTeam Builder

Satyam Employee retention, Focus on Talent Pool Culture Builder

Meritocracy, Productivity, Innovation

CRITICAL ANGLEFear of failure

Indecisive, defensive, let opportunities go away?

Abuse of power?Irrational use at any point of time?

Need to be likedDoes he go easy on people?

Fear of responseHas he avoided conflicts?

04/07/2023 18

Area of Freedom for subordinatesUse of authority by manager

Boss-Centred Subordinate-CentredLeadership Leadership

Mgr makes decand announces

Mgr presents ideasand invites questions

Mgr presents prbgets suggestionsand makes decisions

Mgr permits sub-ordinates to fn within limits defined

Mgr sells decisions Mgr presents tentativedecision subject tochange

Mgr defines limitsasks group to makedecisions

LEADERSHIP CONTINUUM

Effective Leader

Competent Manager

Contributing Team Member

Highly capable individual

Level 5 Hierarchy by Jim Collins in his book ‘Good to Great’

Level 5 Executive

FUTURE PLANSInvest Rs 100 crore in the IT sector in PunjabFocus on the agri business in Punjab under

the Mahindra Shubh Labh projectOn the way to finalizing a joint venture with

Renault.Bidding for Human Resource Management

for RailwaysEntering the motorcycle segmentGoing to start a car services business

TAKEAWAYSRecognize opportunities in the face of odds

and identify the true potentialRealizes that society is a stakeholder-

Organization’s growth can’t be detached from social development

Inculcating Leadership – Empowerment and Succession Planning

A leader sees light when others complain of darkness.

Referenceshttp://www.moneycontrol.com/news/special-videos/

anand-mahindra-the-auto-maker-who-dreamsmaking-films_407231.html

http://www.business-standard.com/india/news/anand-mahindra-wins-e/385949/

http://twitter.com/anandmahindraSix personality traits of a leader, Ram CharanFace to face- Defeating its own Hiranyakashyaps- An

article of Indian IT, Anand MahindraBusiness Leadership- Indian Context, BalasubramanianThe Leadership Challenge, Kouzes and PosnerGood to Great, Jim Collins

Thank You!