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The key to success lies in organizational-diversification
By Rajagopalan
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Saturday, 20 December 2008, 01:05 IST |
1 Comments
Bangalore: Diversification is critical to the success of an organization. This was the unanimous verdict delivered at a panel discussion titled 'From Adversity to Advantage: Opportunities for Growth and Investment', at The Indus Entrepreneurs (TiE) summit. However, a quick reservation was registered when a member of the audience, a distinguished professor in economics, stated that the same need not hold true for smaller and start-up organizations. The composition of the panel seemed to underline the fact that development will always be a resultant of the synergy between the different pillars of the economy.
In what was billed as a congregation of Multinational managerial heads, the panel consisted of business heads from diverse backgrounds including Atul Punj, Chairman, Punj Lloyd, Hari S Bhartia, Co-Chairman and MD, Jubilant Organosys and Mihir Doshi, CEO, Credit Suisse, and the discussion chair, Sonjoy Chatterjee, Executive Director, ICICI Bank.
Chatterjee set the tone for the discussion by elaborating on the challenges India will need to face in the wake of the global recession and on spending ample time on strategizing and gearing up."Liquidity is always a key requirement to the sustenance of the economy", Chatterjee said. He foresees a transition of businesses from a high-cost input and increased demand model to a low-cost input and assessment based demand model.
According to Punj, an adverse banking situation doesn't exist in India owing to the remedial policies by the Government. "Much of the 'gloom' is emanating from New York and London, which shouldn't be a cause for worry", he said, adding, "Power and infrastructure projects hold the key to the nation's progress and due importance needs to be given to these sectors". The incomplete utilization of monetary allocations from successive economic budgets under different regimes hinders the growth of the nation.
However, according to Doshi, the nuclear industry is facing "a yawning gap between talent and supply." Stating that a decrease in the inflation rate is always welcome, he said that cement and steel industries ought to expand to meet the demands of the ever-growing infrastructure sector.
"Companies can try to cut costs by collaboration", said Doshi while citing the recent Jet Airways-Kingfisher partnership and the acquisition of Ambuja Cements by ACC as case studies.