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Leadership lesson from
Indian leaders drive there organization
to high performance
Interview with VINEET NAYAR, CEO, HCL
• When he was asked by an interviewer, what he
wished his greatest legacy to be in 5 years?? He
replied, “ That I have destroyed the office of the CEO”
• WHAT HE MEAN BY SAYING THIS?
He was saying that in this 5 year of tenure he have
changed things drastically and he led to a charge that
give rise to the company’s bracing motto, “
EMPLOYEE FIRST,COMPANY SECOND”
• He said that he sought enough transparency and
empowerment in the company “that decisions
would be made at the point where the decisions
should be made”. That is by employee, where the
company meet the clients.
• He said “ the organization would be inverted,
where the top is accountable to the bottom and
therefore the CEO’s office will become
Research on Indian leaders drive there
organization to high performance
• The research team interviewed senior executives
at 98 of the largest India- based companies. The
survey included companies like Infosys, Tata,
Reliance, M&M and among others but none of
the organization suggested that there company
had succeeded because of the efforts of a top
What is the diff. between Indian Leaders
and Western leaders?
1. They invest in people.
2. Corruption and Malfeasance
can be found in Indian
3. Leaders of the Indian Firm
do engage with their country,
culture, and employee in the
characteristic way , and this
is the important factor in
1. They work to create a sense
of social mission that is
served when the business
2. They make aggressive
investment in employee
development, despite tight
labor market and widespread
job hopping. And they strive
for a high level of employee
engagement and openness.
Some more differences….
Indian leaders to priories their key
responsibilities. This is how they
ranked their priorities.
1. Chief Input for business
2. Keeper of organizational
3. Guide, teacher, or role model
4. Representative of owner
and investor interest.
1. Representative of owner
and investor interest
2. The western leaders leave the
strategy making job to profit-
• The higher priorities of Indian firm is to define
the culture and guiding & teaching employee
underscore their focus on human capital development.
• Indian leaders see there role in strategy development.
Whereas the Western Leaders often leave it to profit-
center heads, Indian leader are likely to own the strategy
function, setting the agenda and taking a visible role in
shaping the strategies their managers bring to them.
They tend to focus less on western- style planning and
analysis and more on creating the incentives,
organizational structure and culture that will enable an
improvisational approach to startegy.
• Assessed by the Multifactor Leadership
Questionnaire (MLQ), the Most widely applied
such tool in the United States.
• The Bosses of surveyed Indian companies have
scored high on “transformational” or
charismatic leadership designed to encourage
employee to take care about the goals of the
leaders and the organization.
• When these data’s where compared with that of
U.S CEO’s then they found that they were more
likely to use “transformational” styles-
motivating employee to act in the interest of the
business by striking deals with them (IF YOU
WANT A PROMOTION MEET THESE SALES
Inspiration from the employer to employee
• The leader surveyed attributed the success of their
companies to Employee’s positive
attitute, persistence, And sense of reciprocity, which
the executives inspire in four specific ways.
1. Creating a sense of mission
2. Engaging through transparency and accountability
3. Empowering through communication
4. Investing in training
Creating a sense of mission:-
• Sense of mission is the means whereby enhanced
human performance and quality of life is
achieved. Not goal setting, rather a place of
whole hearted commitment aligned with highest
Engaging through transparency and
• Indian leaders also build employee commitment by encouraging
openness and reciprocity.
• They look after the interests of employees and their families, and
implicitly ask employees to look after the company’s interest in
• interests in return.
• HCL’s “Employee first, customer second” policy, supported by
initiatives designed to make employees feel more personally
responsible for the company’s offerings and give them a voice with
upper management, does exactly this
• Vineet nayar’s public 360 degree review for managers is another
Empowering through communication:-
• So that engagement will translate into action, Indian
leaders go to considerable lengths to empower
employees, although this challenges the traditional.
• At HCL, for example an online system allows employee
to create quality-control “tickets” much like those on an
assembly line. These can flag product quality problems
or even personal issues related to management, such as
“I have a problem with my bonus” or “My boss sucks.”
Employees can also post comments and questions on the
company’s “U” and “I” website.
Investing in training:-
• Finally, both our qualitative and our quantitative data show that
Indian companies invest heavily in employee development—often
more so than Western companies. This is partly to ensure that
employees have the tools to do their best work, but it’s also designed
to strengthen their commitment to the company.
• When we asked Indian leaders an open-ended question about their
human resources development, their responses consistently touched
on four themes:
Managing and developing talent,
Shaping employee attitudes,
Managing organizational culture, and
• The most commonly used term in this context
was “employee retention”, followed by
“Recruiting”. These executives by and large, see
no trade-off between recruiting and
development and they expect their firms to pay
attention to both.