My Interview with Samantha M. Novick, editor T-bird Magazine on "Entrepreneurship in India" Thunderbird School of Global Management's quartelry magazine is distributed globally to it's 35K stron alumnii network

1. india
MUMBAI
Maximum City
HYDERABAD
Hi-tech City
DELHI
CATCHES
Capital City
ITS STRIDE
New wave of entrepreneurs
drive innovation from
Hyderabad to New Delhi
Story and photos by Samantha M. Novick
CHENNAI
S
Gateway to South India
ignificant financial reforms in the 1990s set India on a
course toward a freer, more open economy ripe for en-
trepreneurship. I traveled to five cities in India to meet
Thunderbirds who had ditched the corporate world to strike
out on their own. All across the country, Thunderbirds are
leveraging their global mindset and corporate business acu-
men to take advantage of the booming environment. Here’s
how they did it, and how you can too.
BENGALURU
28 spring 2011 thunderbird magazine 29
India’s Silicon Valley

2. india catches its stride
starting their own small companies and build-
BENGALURU: ing them.”
Timing is everything He made the move back to Bengaluru to head
Syratron, his family’s company, in 2001. But
the country he arrived in was completely differ-
Andy Khandwala ’92 is so comfortable with ent from the one he had left, energized by an
international travel routes that if you give him an economy driven by a domestic entrepreneurship
airline and destination, he’ll know what coun- growth model.
tries you’ll have to visit to get there. As the owner “There is a new space evolving in India, and
of Syratron, India’s leading high-tech representa- that is the entrepreneurial space,” he says. “I’m
tion company, he works directly with businesses seeing that in the next 15 to 20 years, this space
from around the world to help them bring their is going to grow in India exponentially and will
products to the Indian market. For Khandwala, be the key driver of the Indian economy in the
establishing a strong relationship with global next generation.”
partners is crucial. And that translates into a lot Khandwala’s advice to the next generation of
of long-distance flights. entrepreneurs in India: Please come.
His first long transatlantic flight isn’t hard for “This is where the action is and where it is go-
him to remember. It was in 1990, when he came ing to be for the next 20 years,” he says. “Those
“This is to study at Thunderbird. He wasn’t the only who come and take part in this metamorphosis
young college student who left India that year. of the country will be extremely satisfied profes-
where the It was a difficult time for the country. The sionally and personally, because they are going
action is and economy was in turmoil and the government to find a unique space that doesn’t exist any-
was close to default. where else in the world.”
where it is Lack of professional
going to be opportunities encour- Menzies started a company more closely
aged many to leave. BENGALURU: aligned with her own interests: Eka, which in BENGALURU:
for the next “When I was grow-
Profiting from your passion Sanskrit means “singular” or one of a kind. Pursuit of inclusive growth
20 years.” ing up, if you were Now she spends her time traveling to source
able to find a job you inventory, attending export fairs and building
ended up doing one of Eka is an upscale home décor and art store her business, which sometimes surprises her A thin wooden bookcase sits on the first floor
three things,” Khand- that would look more at place on the ground male vendors. of the Bengaluru building where Harsha Moily
wala says. “You either floor of a SoHo skyscraper than on a hectic “If you are a woman entrepreneur in In- ’97 runs his business. The bookcase is conspicu-
went into the service sector, joined the govern- Bangalore street. The contemporary show- dia who is trying to do something different, ous in the lobby and doesn’t seem to match the
ment or started as a trainee at a large corpo- room boasts treasures from across the Indian at first people sometimes look at you a little rest of the furniture. A row of books has numbers
rate house. A lot of people from my generation subcontinent: modern handmade furniture hesitantly,” she says. “But then they admire taped to their spines so they stay in order. The
left India, pursued an overseas education, and from Nagpur, Whitewood carvings from Jaipur your guts for doing that — traveling on your titles are telling of the person who owns them:
through that process gained exposure to the out- and intricately linked bells than once hung in own and not having the hesitation to do so. “Blue Ocean Strategy,” “Leading Change,” “The
side world.” temples. It’s the type of collection assembled It can be difficult, but it becomes easier when Fortune at the Bottom of the Pyramid,” “Portfo- Above: Kimiko Thakur
In order to right the economy, the Indian gov- with such attention to detail you’d expect it to people see what you’re doing and want you to lios of the Poor,” “Quotes of Gandhi,” “How to Menzies ’94 stands Jan.
14, 2011, in front of Eka,
ernment instituted a number of breakthrough be done by an artist. succeed.” Change the World.”
the upscale home décor
reforms in the early 1990s. These included low- Yet before Kimiko Thakur Menzies ’94 Menzies says India’s retail sector has been When Moily graduated from Thunderbird, he and art store she operates
ering trade tariffs, privatizing state- launched Eka in 2000, she was more familiar greatly influenced by the rise of online and went straight into venture capital positions in in Bengaluru.
run entities and instituting de- with heavy machinery and mining than em- mobile shopping, and many opportunities New York and London. From his vantage point
regulation and inflation controls. broidered textiles and high-value antiques. await retailers who can make it in e-commerce. abroad, he could see how a vibrant economy in
Like China had done 10 years ear- “I was following the trajectory of the Indian “India has seen a huge transition, primarily urban India was starting to shape progress in his
lier, these liberalizing measures re- student who wants to get an MBA from the because we have opened our eyes to so much native country. While this economic outlook
moved many obstacles that made United States and get a good position at a For- of what the rest of the world is doing,” she says. was promising, Moily believed it didn’t tell the
it difficult to do business, and with tune 500 company with a great package,” says “It’s not just your little market anymore. Now whole picture.
it set the stage for an economic Menzies, who was hired after graduation by you can go online and see what the rest of the “There was a lot of talk of India growing im-
comeback. Caterpillar, the world’s leading manufacturer world is offering, and that has forced business- mensely,” he said. “But the way I saw it, you still
“A very interesting thing hap- of construction and mining equipment. es to speed up — in terms of product, quality had more than 75 percent of India left out of
pened,” Khandwala says. “Over “But you work in that long enough, and you and prices — the overall value proposition.” India’s growth story. The last thing I wanted to
time, the environment in India was sometimes realize that it just isn’t the type of Menzies has big plans for the company in do was just be a spectator to what is happening
changed and it began to make a lot life that you want,” she says. “I had a need to 2011, including the possibility of opening with that segment.”
of sense to move back home. The do something different, and to do something more stores across the country, building a So Moily left his position in London in 2005,
opportunities were tremendous. my own.” stronger online shopping platform and focus- took the skills he’d learned working in venture
Andy Khandwala ’92 People were going back to India, So after five years in the corporate world, ing more on exporting internationally. capital and founded Moksha-Yug Access, or MYA,
30 spring 2011 thunderbird magazine 31

3. india catches its stride india catches its stride
an enterprise that builds an efficient per cow. He supplements it by building the milk to $5 million to U.S. $10 million to $20 million. website developers and designers
rural supply chain in India. procurement infrastructure at villages through “We had a balance of payments crisis in 1991 at competitive prices. When the
“Rural producers in India today milk collection centers and cold storage facili- where we had to quickly make some policy de- business became profitable, he left
are trapped in a vicious cycle of low ties to ensure traceability of the milk produced, cisions, but that threw the doors open to foreign Capgemini.
investment, low yield, and low- quality assurance, certification and verification, investment,” he says. “Now, it’s much better doing “Today, young people do not shy
income model of dairy and agri- then supplies the milk to downstream markets. business in India. It’s much easier, freer. Except for away from leaving a corporate job
farming,” he said. “Intermediaries In the next few months, MYA seeks to serve a few sectors, enterprise can be successful.” at a multinational corporation and
and supply chain inefficiencies more than 20,000 dairy farmers in southern In- In 2003 Jangiti launched his own venture, As- starting something they believe
take away anything from 30 to 70 dia, to increase their productivity and connect terisk Confidantes, which focuses on mergers and in,” Sangal said. “Just a few years
percent of the market value of their them to global market, then capitalize on the acquisitions, strategic advice, joint ventures and ago, it was difficult for someone
produce. Getting the poor out of cost arbitrage. raising private capital, with a focus on midsize who was settled in a corporate job
this vicious cycle needs a paradigm “The opportunity that I see in rural India is in markets. to do so because of socioeconomic
shift in the way we address the terms of making transformational increases to The window of opportunity came when his em- factors — but not anymore. Society
problems of rural India.” the income levels of rural Indians,” Moily said. ployer, ING, decided to acquire a local bank and respects your decision and encour-
Harsha Moily ’97 Moily focuses his efforts on the “I’m not looking at rural India as a consumer make it the company’s main platform in India. He ages you to go on your own.” Samarth Sangal ’08
dairy industry, which is plagued by poor infra- base, I’m looking at rural India more as a produc- had an attractive severance and a chance to pursue Realizing another need existed in India’s
structure and low productivity. Milk yield per tion base; What can we buy from them? That’s his own interests — both work and personal — so booming textile industry, he founded www.tex-
cow in India is about one-10th of that achieved the only way we can increase the quality of life.” he jumped at the opportunity. tilestock.in, an online platform for buying and
in the U.S. and about “India is a country that continues to grow, and selling textile surplus goods. Its model was in-
one-fifth of the yield over time it will definitely be crossing the growth spired by Global Sources, the business-to-busi-
of a New Zealand MUMBAI: rates of China,” Jangiti says. “The market is here.” ness trading company founded by Thunderbird “Today,
cow. Additionally,
only 70,000 tons of
Taking advantage of opportunity alumnus Merle Hin-
richs ’65.
young
people do
cold storage capacity
NEW DELHI: So far, the site has
exists for 90 million
tons of milk produced
As a senior investment banker who has worked
for more than 20 years in India, Vijay Anand Jan- Riding technology wave
been successful in In-
dia, and within five
not shy
in India. giti ’88 has had a unique perspective on the effect years Sangal wants to away from
Today, MYA addresses these issues for more
than 3,800 dairy farmers by increasing their
of his country’s economic reforms. He handles
private equity, mergers and acquisitions and strat- Samarth Sangal ’08 had a coveted position
make the brand rec-
ognized as the online
leaving a
herd size and the quality and quantity of yield egy, so he knows firsthand how easy or difficult it as a senior management consultant at Cap- trading platform for corporate
has been for businesses to get their start in India.
Jangiti is based in Mumbai, sometimes called
gemini Consulting, one of the world’s largest
consulting, outsourcing and professional ser- surplus goods from India.
buyers and sellers of
job and
India’s New York. The second-largest city in the vices companies. His work spanned the globe, He also has several new business ideas in the starting
world, Mumbai is the country’s commercial, en-
tertainment and financial capital. It’s home to
with projects throughout Europe, India and the
Middle East.
works to capitalize on India’s rapid Internet
growth.
something
two premier stock exchanges, the Reserve Bank of It was also challenging: He was in charge of “Online business is still catching up in India, they believe
India and the headquarters of several important
financial institutions and corporations – both
finding solutions for telecommunications com-
panies trying to deal with the recession, update
but the younger generation is adapting to the
online business model very rapidly,” he says.
in.”
Indian and foreign-owned. The combination of their technology and remain competitive. “With meteoric growth in the Indian telecom
these has sent the average rent for office space in While Sangal enjoyed his position at Cap- sector, Internet access is no longer a luxury but
the city’s Nariman Point district to levels on par gemini, he longed for the freedom of starting his a necessity, with almost all industries making an
with Paris, Tokyo and London. own company — something he had aspired to effort to interact with their customers online.”
“Capital is a commodity that is scarce every- do since childhood.
where,” Jangiti says. “There are going to be av- “My father started his own business after
enues where capital is provided to enterprises so
they can grow and build, and in India the hopes
working in a bank for more than 20 years,” he
says. “It’s in my blood. I was on the lookout for
HYDERABAD:
are very high.” an idea or a gap to fill.” Bursting with optimism
Private equity in India is a relatively new mar- India’s rapidly growing demand for online
ket compared with the West, but Jangiti estimates businesses gave Sangal his start. After realizing a
that over the past 20 years, more than 300 private gap existed between supply and demand for eco- Narasimha Reddy ’11 could have gone on a
equity firms have set up in India and the average nomical Web design and development for small Winterim this year in a number of exotic loca-
ticket sizes have moved up from U.S. $3 million and midsized businesses, he founded Maverick tions in Africa, South America or Europe. In-
Web Solutions, an online services and consult- stead he chose a course in India that went right
Vijay Anand Jangiti ’88 visits the ing firm. through his hometown of Hyderabad, one of
Oberoi Hotel, Nariman Point Mumbai, Maverick allows small businesses anywhere in the country’s major technology hubs.
on Jan. 8, 2011. the world the ability to contract highly skilled Reddy had strong motivation for being Thun-
32 spring 2011 thunderbird magazine 33

4. india catches its stride india catches its stride
neurs, but by those closer to home such as Ratan his corporate background: Catapult Tech Inc. in
Tata, chairman of Tata Group, India’s largest pri- Chennai, which outsources 3-D CAD modeling.
vate conglomerate, and Azim Premji, the leader “Those of us who have worked abroad bring
of Wipro Technologies. knowledge back to India that gives us an edge
“One needs to really understand all of the and helps us to stand out,” he says. “Going to
dynamics of India to be successful,” Reddy says. Thunderbird gives us that exposure and con-
“You need to really cater to most segments to fidence to talk to global customers. We feel we
be a truly profitable company in India, whether have the skills and the knowledge to contribute
your customer is a person riding a bike or some- to the economy, and it’s almost a responsibility
one driving an Audi. Having an Indian mindset that we have to shoulder.”
really kicks in.” Right now, Chilukuri is taking advantage of In-
As president of the Thunderbird Entrepre- dia’s highly skilled technical workforce to build
neurship Network, Reddy looks forward to re- his business. He’s also coming out with his first
turning to India and starting his own business in book, “India’s Place in the World,” essentially an
the service sector. International Political Economy primer specific
“There is huge interest from every sector, and to India inspired by Thunderbird Professor Roy
it isn’t just about the bottom of the pyramid,” he Nelson, Ph.D.
says. “There’s a huge luxury market here as well.” Roanakh is on hold for the moment, but Chu-
lukuri is optimistic.
“Today in every sec-
CHENNAI: tor there is space for
all kinds of private
Recovering from setback ventures,” he says. “To
me, I think that is the
monumental shift
Krishna Chilukuri ’10 was in Lagos, Nige- that gives entrepre-
ria, with a problem. As the founder of Roanakh, neurs the confidence
an energy company that built and sold custom to do things.”
solar panels, he came to Africa to capitalize on
growing interest in the renewable energy sector.
He had completed a few projects and had several
promising leads with the Nigerian government
when the recession hit. Oil prices dropped, and
then all bets were off.
So Chilukuri, who worked internationally for
16 years in software sales and development with
Dassault Systemes before starting Roanakh, hit
the books. He enrolled at the Indian School of
Business in Hyderabad and then Thunderbird to
complete a certificate in advanced studies. Once
on campus, he began to see the far-reaching
entrepreneurial opportunity his home country
offered for someone with his background and
skills to bounce back.
“Ten to 15 years ago, there were a lot of bar-
Narasimha Reddy ’11 derbird Professor Kishore Dash’s assistant on the “There is no question about it, there is a great riers to doing business because the government
sits on the patio Jan. 12,
2011, at Testa Rossa
Winterim. The assignment placed him in a great future for new businesses in India,” he says. “I controlled so many aspects of the economy,”
café in Jubilee Hills, position to network with key Indian business know this seems a little far-fetched, but I think in Chilukuri says. “But we’ve opened up. Now is
Hyderabad. leaders — people he might need to reach out to the next 10 to 15 years, India will be a developed the time. Today the whole country is growing so
when he graduates later this year. country and calling the shots.” fast that I feel if you aren’t dynamic, you could
“Relationships matter more in India than any- Reddy oozes the cool, optimistic and inter- be left behind.”
place else in the world,” Reddy says. national vibe of the new generation of Indian When he finished at Thunderbird, he went
Indian students might have been more opti- entrepreneur — those with the business acumen home and started a new venture that built on
mistic in the past about pursuing job opportuni- to handle any multinational corporation chal-
ties overseas, but Reddy says he and others are lenge, yet with the cultural awareness to navigate Krishna Chilukuri ’10 at the
now opting to take advantage of India’s rapid the nuances of their home country. Taj Connemara in Triplicane, Chennai,
growth. They’re inspired not just by Western entrepre- Jan. 18, 2011.
34 spring 2011 thunderbird magazine 35