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Mind tree: A community of
Communities
2017
Ashwin Kumar C
1527608 - M1
1/28/2017
Leadership Case analysis
Leadership Case analysis 2
Mind tree: A community of communities Ashwin Kumar C 1527608
Introduction
About MindTree
Mindtree Limited is an Indian multinational information technology and outsourcing
company headquartered in Bangalore, India and New Jersey, USA. Founded in 1999, the
company employs approximately 16,500+ employees with annual revenue of $700+ million.[
The company deals in e-commerce, mobile applications, cloud computing, digital
transformation, data analytics, EAI and ERP, with more than 290 clients and offices in 14
countries. Its largest operations are in India and major markets are United States and Europe.
The company was formed on 18 August 1999 by ten IT professionals, who formerly worked
for Cambridge Technology Partners, Lucent Technologies, and Wipro.
About the case study:
This case study deals with the company Mind Tree Indian IT services firm known for its
knowledge management practices this case study deals with how the leaders we're trying to
convert the 278 million dollars Indian IT services firm 21 BN in revenues by 2014.
The '5*50' program - MindTree's participative culture and its integration with the company's
strategy is best highlighted by this program. This initiative called on all MindTree Minds to
offer innovative ideas for building new $50 million businesses from scratch. Knowledge
Management (KM) would help in the ideation process and would provide critical IT systems
support. The fact that MindTree entrusts its employees with resources and encourages them
to build businesses, demonstrates the importance of culture in the company's growth strategy.
Leadership Case analysis 3
Mind tree: A community of communities Ashwin Kumar C 1527608
This initiative was called as 5 * 50 as a part of a larger strategy for achieving 1billion US
dollars in revenue by the year 2014 this was a very bold and aggressive move by the then
chairman, Mr Ashok who had a very high targets set for Mind Tree as a company this
initiative called on all the employees of Mind Tree who are called as mind read minds to
offer innovative ideas for building new 50 million US Dollar businesses from scratch
Mindtree executive would then select 5 people with the best ideas and would give them the
resources to start their new proposed venture. This is a very Revolutionary initiative
undertaken by the then chairman Mr Ashok which would definitely change the fortunes of
Mind Tree and bring it to the forefront.
Industry and company background in the year 2009 the Indian IT BPO industry that is
information technology and business process outsourcing industry was estimated at 71.7
billion US dollars in revenues and it accountant for 5 point 8% or 6% of the India's GDP and
employees about 2.2 million people in India they had several services provided to their
clients and the lower end where was based services knowledge process outsourcing and body
shopping these processes where usually the companies from US and Europe outsource their
monotonous repetitive jobs to India at a very competitive price so that these companies can
concentrate on their core activities
At the higher end where the most analytical and value added services such as Consulting
research and development. It is also said in the article that the Indian IT industry first rose to
prominence in the year 1999 by fixing the millennium bug that threaten to crash the world's
computers
This helped the Indian IT industry to be noted in the world Arena and this was spurred by the
availability of a young highly educated English speaking technical work force and the
industry grow at an annual rate of 40% or more in the initial years and helped India to
become a Global Technology and Outsourcing hub
The major players in the industry were 6 players
The 6 players are as follows:
1. Tech Mahindra that is Satyam computers
Leadership Case analysis 4
Mind tree: A community of communities Ashwin Kumar C 1527608
2. Wipro
3. Infosys Technologies
4. Tata Consultancy Services the leader in the market
5. Cognizant Technologies and
6. HCL
These six companies where collectively known as switch companies each of these firms has
revenues in excess of 1 billion US dollars and they managed to scale from that level to
various other levels
For several other midsized companies it was very difficult to compete with the stop 6 players
as industry experts believe that it was too late to compete with the big leagues some other
companies try to concentrate on lower price or on niche segments.
The CEO of Mindtree tried to differentiate itself from other mid tyre companies are players
by using its culture called as soft differentiator by this the business CEO explained that Mind
Tree tries to sell the promise of building a relationship rather than just being a vendor this
means that Mind Tree wants to be more sort of a partner rather than just a vendor who
provides IT solutions and moves away.
CEO makes use of a very colourful analogy to make the same. “Tadpoles in different Ponds
all look alike just like that technical people in our industry so the challenge for companies is
how do you make your tadpoles glow in the dark” So it answers questions to the client
whether the people can work in the organisation will my people be comfortable working with
them and will there be any cultural differences for cultural clashes between the two forms
Leadership Case analysis 5
Mind tree: A community of communities Ashwin Kumar C 1527608
that is a client firm and the software vendor that is Mind Tree in this case
Mind Tree trying to combine both set of skills that is the try to create a company in that was
Consulting let in the IT services business and intellectual property let in the RND services
business Mind Tree Mind Tree actually experience the very rapidly growth and it was the
first Indian IT firm to reach revenues of about hundred million within just 6 years of its
founding. However there revenue growth gradually slowed down in the next few years which
was demonstrated and are given in the exhibit 1. The economic crisis which led to A
reduction in spending in high end technology and Technology added to their worries
In 2010 Mind Tree had 7 different businesses the 7 different businesses are as follows IT
services knowledge services are ND services testing infrastructure management and technical
support software product engineering and wireless products the company had a matrix
structure and their employees where located in to industry verticals of Technology
horizontals industry verticals where like BFSI insurance automation automobile etc the
technology verticals where Java J2EE dot net among other languages.
CLASS Values
Caring,
Learning,
Achieving,
Sharing, and
Social interaction
MindTree has always believed that its values are one of its core competencies and a key
factor which differentiates it from its competitors. At MindTree, its values define its culture
and are a cornerstone of decisions concerning future strategy.
Leadership Case analysis 6
Mind tree: A community of communities Ashwin Kumar C 1527608
People-Centric:
In an industry where all firms are assumed to possess homogenous skills, MindTree knew
that, in order to succeed, it had to differentiate itself from its competitors. The company
realized that culture and values were key elements that could be used as "Soft
Differentiators." Also, being a multicultural company, MindTree realized that it could not
possibly manage all the different cultures efficiently. Instead, it decided to develop a common
set of values which could be shared by people from across different cultures. The company
has always strived to become an 'emotionally bonded organization.' In this regard, the culture
of MindTree can be characterized as a people-centric culture.
Value-Driven:
According to the MindTree senior management, "Every MindTree mind is driven by CLASS
- Caring, Learning, Achieving, Sharing, and Social Responsibility." From this, it is evident
that MindTree wanted to create a culture rich in innovation and creativity. MindTree's
emphasis on aspects such as High achievement orientation and high caring further shows that
MindTree aimed to promote a culture of high performance, stakeholder responsibility,
cooperation and corporate citizenship.
Transparent and Participative:
Transparency and rich, frequent communication were cornerstones of the culture. Mindtree
incorporated participative decision-making by promoting openness across organizational
Leadership Case analysis 7
Mind tree: A community of communities Ashwin Kumar C 1527608
levels. This resulted in the company's 95-95-95 principle, which stated that 95% of the people
should have 95% of the information 95% of the time.
How has this culture been created and institutionalized?
At MindTree, the management's belief that 'values drive behaviour and behaviour drives
results' was at the heart of all decision-making processes.
Internalizing CLASS Values:
Mindtree sought to internalize the CLASS values by integrating them into its recruitment,
recognition, and reward systems. The process started right from hiring of a new employee,
whereby the candidates were assessed on whether they would be a good fit in the
organization's culture. New employees then participated in extensive sessions with the senior
management, which emphasized the importance of these values in the company's culture. The
process continued with performance appraisals, where each value had a clear metric and 40%
weight was assigned to performance against these values. The success of MindTree's
endeavours to internalize the CLASS values can be seen from the fact that 90% of the senior
leaders voluntarily asked for 360o feedback on how well they were complying with the
company values.
Other initiatives like rechristening the HR dept. as the 'people function' and giving stock
options to its employees, have also helped MindTree in building and promoting its culture
among its employees.
Socialization Tactics:
MindTree has also employed the use of several socialization tactics to foster and
institutionalize its culture among its employees. When a new employee joins MindTree, she
is given explicit information about the sequence in which she will perform new activities or
occupy new roles (Sequential Role Orientation). As employees gain experience, they are
allowed to pursue their interests by joining or initiating a community (Random Role
Orientation).
Leadership Case analysis 8
Mind tree: A community of communities Ashwin Kumar C 1527608
Senior employees at MindTree actively engage with new hires and act as role models (Serial
Tactics). This not only helps MindTree imbibe its core values in the new employees, but also
promotes the participative culture within the organization.
Building Knowledge Communities:
Knowledge management was another activity that supported and contributed to MindTree's
culture and values. MindTree adopted a holistic, encompassing approach to KM, as it
believed that KM could play an integral role in helping people perform their jobs better and
develop themselves, which again reflected on its goal to be a High Achievement oriented and
High Caring organization.
To implement KM a work, MindTree encouraged its employees to self-organize and
collaborate through communities of practice. MindTree also took a number of steps to build a
supportive environment for cultivating KM. The development and contribution of the KM
function has been discussed in detail later in this article.
GARDENING
Organization found difficult to empathize with people
Hierarchy
Nurture the top 100 people in mind tree
One to one discussion – personal professional
Emotionally-bonded
Listening-sense making-Action Response
GARDENING PROCESS
Gardener Identification administers the session1 Session2 Session3 session4 on leaders 5
questions
Sense making Review and Sense making Code of Leader expand Who am I and action
questioning by based on action engagement responses response leaders response
IMPLICATIONS OF GARDENING PROCESS
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Mind tree: A community of communities Ashwin Kumar C 1527608
Leadership, self-awareness and capacity expansion Making people aware of their mission,
visions and values To unlock their hidden potential- sense making(SESSION 2) created an
atmosphere of openness and raised communication Succession planning Improves ability to
make choices and face consequences Less power to listen between employee.
The community Maturity Model
Knowledge is considered as a strategic resource in the current economic age. Strategies,
practices and tools for enhancing Knowledge Management (KM) became one important issue
for organizations. Despite the demonstrated role of communities in sharing, capturing and
creating knowledge, the literature is still missing instruments for assessing their maturity.
Even if several knowledge-oriented maturity models are provided at the enterprise level, few
are focusing on communities as a mechanism for organizations to manage knowledge. This
paper proposes a new Community Maturity Model (CoMM) that was developed through a
Design Science perspective to assess members’ participation and collaboration and the KM
capacity of a community; and to identify its needs, to ensure its development and
sustainability according to its mission, degree of formalization, developmental stages, means,
etc.
This CoMM is intended to be sufficiently generic to be applied to any type of communities
and useable by practitioners for conducting self-assessments. KM experts were involved in
all stages of the maturity model’s development in order to maximize the resulting model’s
Leadership Case analysis 10
Mind tree: A community of communities Ashwin Kumar C 1527608
relevance and practical applicability. The model was piloted and subsequently applied within
a Chief Knowledge Officers (CKO) professional association, as a community, to assess
especially knowledge sharing among its members. The present work tries to respond to the
research question on how to determine community evaluation basing on a KM perspective.
Conslucion:
Knowledge management prevents staff from constantly reinventing the wheel, provides a
baseline for progress measurement, reduces the burden on expert attrition, makes visual
thinking tangible, and manages effectively large volumes of information to help employees
serve their clients better and faster.
Being a fundamental business enabler, knowledge management will help organisations:
Protect their intellectual capital
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Mind tree: A community of communities Ashwin Kumar C 1527608
Focus on their most important assets: their human capital
Re-orient their culture by opting for an optimal knowledge sharing strategy
Link people to people by setting up collaborative methods bee on flower
Knowledge management opens the doors to a new era of collaboration and sharing
Nowadays, with corporate mergers, employee turnover and global expansion, people
must work differently: they need to collaborate with peers that are overseas, exchange
ideas, keep current on global matters and have quick answers to their questions.
The power of Social Media plays an important role in knowledge management as it
enables employees to collaborate, connect and rapidly access to experts and
information.
Social networks also allow people to collaborate, to be human and to express
themselves in the electronic environment. They have a solid foundation of trust and
popularity among employees and they are part of the knowledge sharing culture.
Increasing company benefits with an effective knowledge management strategy
Knowledge management helps solve most of the common business problems and
helps companies increase their benefits by:
Improving business decisions thanks to facilitated access to expertise and to leading
practices
Increasing efficiency, productivity and work smarter by reducing cases of
“reinventing the wheel”
Improving innovation through wider and borderless collaboration
Reducing loss of know-how by capturing explicit and tacit knowledge
Speeding productivity with on-board trainings and timely access to knowledge
Increasing client satisfaction by delivering value insights
Enhancing quality and ability to collaborate by standardising ways of working and
enabling discussions with leading experts