Monday, December 1, 2014

MANAGEMENT/ LEADERSHIP SPECIAL ..INTERVIEW WITH BHUTANI

INTERVIEW WITH BHUTANI

MUKESH BUTANI has over 30 years of experience in advising Fortune 500 multinationals and Indian business houses on a wide range of issues from corporate tax to FDI and a regulatory policies. In an interview with HT, he talks about various aspect of leadership including in the professional services industry. Edited excerpts:

How do you define leadership?
Leadership is all about effectiveness in different situations. Leadership in a crisis situation is very different than leadership in a normal situation. Leadership in a situation of a booming economy is very different from a situation when the economy is in a slowdown. A leader needs to walk the talk. Every credible organisation has a vision and mission statement. The question that every person who is in a leadership position in these organisation has to constantly ask themselves is: dod I live those values? It is also important for leaders to seek honest feedback.
How different is leadership in the area of professional services?
Leadership in the context of politics or even as the CEO of a large company would be very different from the leadership in professional services, the sphere to which I belong. Emphasis on core values will differ from organisation to organisation. The qualities of a political leader may be measured in terms of effectiveness of his policies for the common man. That’s not how I get measured. For me, the measurement criteria of leadership are at three levels: of how my partners, employees other than partners and, clients and stakeholders measure me.
Besides all these aspects, we also have a very important responsibility: training and grooming of leaders. This is an important attribute of our leadership. We are also judged by what role we play in training and development of professionals outside the organisation. You will see many professional leaders who take time away from their work to teach in colleges, to give lectures in universities. Regrettably, in the last two decades, this has gone down.

What role does communication play in effective leadership?
Communication is one of the most important attributes of leadership. There is a line of communication from the superior to the sub-ordinate. There is also an environment that one creates for the subordinates to communicate with the superiors.
This is a tricky one. The new generation wants what is called “facilitative communication”, where new ideas can be communicated from the subordinates to the superiors. Fostering a culture of trust and faith is critical for this.

Can leadership be learnt?
Leaders can be shaped. Good leaders imbibe good qualities because he or she is pushed into an environment from where he or she picks up good qualities. The opposite of that is also true. No one is a born a leader. People are born with good qualities. These qualities get imparted from parents, in school, and the people we interact with during our professional career.

What is the role of a professional leader in a family-run company?
It is tricky. To a larger extent, the effectiveness of a professional CEO in a family-run organisation is contingent upon how much freedom the family has given to the professional CEO.
There are two kinds of family-run organisations that we see in India. One that believes the professional CEO will come and add incremental value and the other that believes that it will be nice to have a professional CEO. The latter is not going to be effective.

As a leader how do you deal with decisions that go wrong?
A good leader is someone who does things knowing very well that some of the decisions that he has taken may prove to be wrong. He has to have the courage and conviction to stand up before his people and say I was wrong in taking the decision.

Retrenching and issuing pink slips to employees. How difficult is it?
Culturally, we are a very emotional people. So, a pink slip is still considered to be a stigma. I have handled situations where I have had to ask senior-most people to leave. It is difficult.

Who are the leaders that have inspired you?
My first boss Ashok Wadhwa from whom I learnt a lot of things. My first client, Ramesh Vangal, who was the CEO of PepsiCo in India and Anuroop (Tony) Singh, who is the vice-chairman of Max India Ltd. These three people in varying points of time have inspired me.

What is the best decision that you have taken as a leader?
Being an entrepreneur. It has given me a lot of satisfaction.
And the worst?
I have taken bad decisions. I try to build too much of consensus, which sometimes leads to delayed decisions.

  • Gaurav Choudhury anslate






    HT141120

No comments: