We take immense pleasure in unveiling the inaugural issue of our newsletter, “Ab Initio”. The literal translation of this Latin term is “from the beginning”, rendering it an apt name for our newsletter, which is aimed at putting forth a fundamental perspective on topical management-related issues.

1. an initiative Vol-1 / Issue-1 / Jan-2012
Strategy Execution Challenges WARNING
Uneasy lies the head that wears the crown. Internal challenges, as is the wont of ‘analysis paralysis’. Events that have
endemic issues, are more intricately unfurled over the last few years have led
In the midst of these turbulent times, few woven within the organization’s eco- to a public and regulatory outcry in
CEOs would beg to differ from this age old system. Aligning strategy to individual favour of robust corporate governance CEO
adage. Faced with the onerous task of performance remains the Achilles’ heel for and risk management models. CHALLENGES
marshalling resources to deliver value, the most organizations. Most CEOs would Institutionalizing consistent and compliant AHEAD
role of the CEO is assuming increasingly readily concede a handicap when it processes across the organization occupies
challenging proportions. With traditional comes to simplifying and communicating top billing on the CEOs’ to- do list.
notions of leadership being shunned strategy to those who are not
with alarming regularity, it is a clarion privy to boardroom conversations. CEOs are characterized by the tough
call to recast the CEO’s role. decisions they have to take. For instance,
should one choose competency over
At every crossroad of their journey to loyalty of key employees? The jury is
scale new heights, CEOs have to confront a still out on that. Similarly, overcoming
myriad of external as well as internal the resistance to change is a personal
In
challenges. The former typically revolve as well as organizational mindset that Change
around commercializing the concept and CEOs must strive to conquer.
delivering sustainable customer value
proportions - the cornerstones of Contagious leadership is the need of the
strategizing. It is an uphill task for any In the same vein, measurement of the hour yet it remains elusive in most
CEO to transform and nurture a strategy continues to pose a conundrum organizations. The time is ripe for CEOs to
seemingly brilliant idea into a viable for organizations. It is imperative to rise to these challenges and move boldly
business opportunity, more so in the identify and choose the right metrics towards the next frontier of growth.
case of start-ups. without falling prey to the oft-cited Human Capital
- Eklavya Malhotra

2. Can the CEO function be outsourced?
This approach is extremely relevant for proprietor/owner driven organizations. CEO is responsible for defining the vision of the organization. This requires an innate
Entrepreneur owners find it very difficult to attract the right talent for the top assessment of company's performance and market trends. An in-house person
job with the desired level of passion and ownership at an affordable cost for the would have a better grip on the company's state of affairs than a time bound
organization. appointed consultant. The CEO is expected to deliver unswerving
financial performance in line with the market. While a consultant
This is where an outsourced CEO can play a pivotal role. The model that is evolving might be able to set targets, an in-house CEO can ensure that
is that of collective responsibility through an active management/executive targets are realistic, given the better understanding of
committee comprising senior management team members and managed organizational capabilities. The CEO has to develop a strong pool
by an external advisor/consultant playing the role of a proxy CEO. The of successors which cannot be done by a consultant who has
advisor is vested with clearly laid down authorities and reports to a more limited awareness of intrinsic skills that employees carry.
hands-on owner. An external advisor or team of consultants can definitely
provide the same depth of knowledge and experience while having a The CEO is expected to adapt his/her leadership style to fit human
greater level of objectivity and accountability to drive the CEO function. The diversity that exists in organizations. Consultants, being detached
outsourced team in such a model would not only be able to manage the taskmasters, are often unyielding in their expectations and approach.
primary mandate of strategy execution and provide input for the long term This might be detrimental for the organization. The CEO has to strike balance in managing
strategic direction, but also enable the organization to hedge itself against the internal and external stakeholders while a consultant might adopt an asymmetrical
whims and fancies of an autonomous CEO governing organizational destiny. approach. Sense of belongingness of an internal person will help overcome such predicament.
- Sugandha Taneja - Apoorv Bhatt
Ocean's Eleven is a heist movie where the protagonist Danny Ocean and his 10 - member team plan to rob the three
biggest casinos in Las Vegas simultaneously. Th e central character has a mission (to get back his ex-wife and seek
revenge from the casino owner); he formulates a strategy, procures funds, hires right talent and executes the strategy
Business of
impeccably which results into desired returns on investment. The central characters display exceptional leadership and
people management skills; this coupled with the team's ability to perform under pressure and their outstanding
coordination led the plan to be successful.
The movie also portrays the human side of the characters and repercussions of being emotional. Despite his rational
thinking and practical efforts, the lead character gets emotional and puts the plan in jeopardy. Similarly, in business
environment, the human side of people plays a major role in the success or failure of any strategy implementation.
Even the best of strategies may fail when emotions come into picture. Ocean's Eleven indeed is a classic depiction of a
well planned strategy put into action effectively.
- Saurabh Wagh

3. iddi s
1 ft. long bill
amounting to
` 1.67 lakhs was
Deepak Sood, MD and CEO of Future Generali India Life Insurance Co. Ltd., speaks about the challenges faced by the insurance industry and the
road ahead. Future Generali is a joint venture between India-based Future Group and the Italy-based Generali Group.
4 paid in CASH
by a farmer in
Sangli
What are the current challenges faced by CEOs in your industry?
Regulatory changes and an increasingly uncertain macro-economic environment have contributed to the slowdown witnessed in the life insurance industry.
While the industry is struggling to come to terms with the rapidly changing regulatory landscape, the overall economy has also felt repercussions of the
European debt crisis. With rising inflation rates shrinking the disposable incomes and low investor confidence in ULIPs, insurers’ woes are not likely to
39 %
of Apple’s
ebb anytime soon. RBI’s constant increase of interest rates has made fixed deposits an attractive avenue for investors. The insurance industry is
challenged by a depleted supply of good quality talent at the front- line sales level. Ensuring a steady and competent work force remains on top of
our to-do list. Additionally, life insurers in India have still not perfected the agency model in spite of heavy investments.
revenues now
As a CEO, what has fueled your impressive performance over the years?
come from At Future Generali, we have continued investing in our distribution channels and expanded our geographic base to
iPhone, which diversify the risk. While we have strengthened our agency model, the performance of alternate channel and
was launched only mallassurance is highly encouraging. Our cost and manpower optimization efforts have paid off well and ensured that we
4 years ago remain a lean organization. We have stuck to our cogent strategy of maintaining a balanced product portfolio in terms of
traditional and ULIP plans.
pizzas What is your roadmap for Future Generali?
are sold
222 every
minute
We need to stabilize the current distribution structure and eventually move to a variable cost model. We are actively engaged in
recruiting advisors and inculcating sales discipline across the workforce. The team is in the process of deploying cutting-
“One thing I would have liked to
by Dominos edge technology initiatives that shall enhance transparency for our distributors and customers alike. My focus remains change is the pace at which IRDA
in India on building a customer-centric organization delivering high quality service consistently. is making regulatory changes;
could have been better paced out ”
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