The Book Journey to Corporate India by D.C.Gami

About the Book:

Over the past forty years, India has seen dramatic and exciting change both in its social structures and its economic life. Indian corporations no longer follow the global pack; they are now more often the ones being followed. Doing business in India is not only attractive to many globally minded companies—it is essential. But, how do you “do business” in India? How does a corporation adapt and adjust to this challenging marketplace to maximum benefit? How do you leverage forty years of hard won success in India’s corporate evolution to succeed where so many others fail? These and other mission-critical questions are answered by Dhirajlal Gami in his new, groundbreaking book Journey to Corporate India: Doing Business in India successfully utilizing Innovative Strategies and Best Practices. Primarily relying on a model of a newly incorporated company, Gujarat State Fertilizers & Chemicals, Ltd. (GSFC), the author builds a systematic and irrefutable case study of how Innovative Management techniques contributed to the creation and profitability of this venerable, and still vital, Indian corporation. This story of an Indian corporation that achieved so much, under the most difficult of circumstances during the early stage of India’s industrialization, should inspire today’s young managers and entrepreneurs to do even better when faced with the formidable managerial challenges posed by a 21^st century global economy. Learning the lessons presented in this book of GSFC’s success over four decades of innovation and performance improvement will be a valuable guide and reference for making investment and managerial decisions for any company planning to do business in India. Told from an insider’s perspective as CEO of GSFC and written in simple, understandable prose, Journey to Corporate India: Doing Business in India successfully utilizing Innovative Strategies and Best Practices provides an indispensable resource for corporate managers, executives, and international business consultants. In this age of Globalization 2.0, smart companies who learn the lessons presented here will find themselves leading, not following, the pack.

1.Are You in charge of project implementation? Read the following chapters of the

book mentioned below:

Chapter 2: Innovations in Management Practices; Project Management and Procurement and Construction, Project financial Management, and Chapter 4: Fertilizer projects; How GSFC accomplished fastest completion of its fertilizer complex. 

2. Are you managing a Corporation?

A. Experiencing shortage of experienced man power?

Chapter 2: Motivating people : Human resource Management (Policy) The company commissioned and operated the first complex with 10 % experienced persons and balance 90% fresh high school and college graduates and diploma holders after training them in training center with special technique and tools. It completed other 9 petrochemicals and fertilizer projects in a period of 15 years without recruiting experienced persons and with fresh high school and college graduates and diploma holders after imparting training as in the first project.

B. Are you interested in rapid growth of the market of your products?

Chapter 2:

Marketing Innovations; Customer is the king for fertilizer marketing and Application Development center for Industrial Products Marketing. Market for fertilizers grew 13 times in a period of first 25 years of production. See also Chapter 7: Diversification and growth; Marketing of Industrial Products: Market of main five products grew from 6 times to 60 times in a period of first 25 years of production.

C. Are you interested in rapid growth of your corporation?

Chapter 2: Strategy for Growth

Also see Chapter 7: Diversification and growth. The strategy as outlined in chapter 2 was employed to select new products to be manufactured. Five new products were selected. These were. 1. Caprolactam, 2. Nylon chips, 3. Melamine, 4. Liquid Argon and 5. MEK Oxime. All these products are profitable from the inception and grew very fast in 25 years as indicated in “B” above. Details of implementation of first three projects are also given in chapter 7.

3. Are you interested in development of technology for fabrication of sophisticated spares and also equipment for petrochemical and fertilizer plants?

Chapter 8a Engineering Research: Indigenous Development, and fabrication of spares and equipment. In the manner described in the chapter not only technologies for fabrication of sophisticated spares and equipment with zirconium, inconnel, aluminum alloy, HK40, etc material and working at high pressure and high temperature were developed as per various International Standards and large number of spares and some equipment were fabricated for two projects.

4. Are you Management Student Studying for MBA?

The book, described below, provides actual case studies for several innovative management practices successfully followed by a manufacturing company over a period of 20 years. These include (1) Project management, (2) Motivating people, (3) Marketing innovations, (4) Strategy for Growth, (5) Operational management with lean and flexible organization, (6) Plant operation with only five percent experienced persons and balance 90% fresh high school and college graduates and diplomas holders after imparting appropriate training.

To know more about this book Visit: http://sites.google.com/site/journeytocorporateindia

Impact on World's Economy

Following recent news is likely to affect, economics, employment and living standards of a number of persons in countries like U.S.A., China, India and other countries

1. GM, the largest automobile manufacturer in the world is seeking technical know-how from the smallest automobile manufacturer ”Reva”? of India. GM wants know how for electric motor from “Reva”. GM wants to change “Spark” car produced by Chevrolet to be changed with electric engine using Riva’s technology. GM will produce car in India and market in India as well as export to other countries including USA. GM will pay royalty to Reva Electric Car Company for every Spark sold by it.

2. In an article titled ”how GE is disrupting itself” and published in the Harvard Business News (22^nd Sept 2009), Chief Executive of G.E. Jeff Immelt wrote “ GE plans to test a new management model in India that the largest US conglomerate believes will help it flourish through a long period of sluggish post recession growth in developed market.---- GE needs to focus on designing lower cost technologies that will appeal to customers in emerging markets. -- Doing so might mean breaking away from the management approach the world’s largest maker of jet engines and electricity producing turbines has relied upon for years. The shakeup is intoned to boost GE’s chance of success in emerging markers. Success in developing counters is prerequisite for continued vitality in developed ones. If GE does not come up with innovations in poor countries and take them global, new competitors from the developing world – like Mindray, Suzlon, Goldwind and Heler – will. GE has R&D centre in India with 5000 employees, mostly with PhDs. They employ 11000 people in India in their manufacturing.

3. In sophisticated technology and equipment India’s cost is much lower, for example cost of Chandrayan 1- sent for moon mission- was $ 75 million( cost of pay load $ 30 million. Cost of pay load for missions like Japan’s SELENE was $ 480 million, China’s Changli $ 187 million and NASA’s LRO was $ 491 million.

4. Finding a business model competitors can't copy
Creating a unique business model can make it difficult for competitors to keep up, writes Kaihan Krippendorff. Krippendorff cites QuEST Global, an Indian engineering firm that divided its engineering and customer service operations between India and the U.S., implementing a "global-local model" that's not only highly innovative, but difficult to copy piecemeal. FastCompany.com/FC Expert Blogs (9/18)

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5. GE chairman has come to India, in an interview to economics times he said. We need to be looking to design and engineer products in India that meet the need of Indian market and then look for opportunity to sell these products in other markers. A couple of good example- a $ 1000 hand held electrocardiogram device developed in India and a PC based ultra sound machine developed in China that sells for as little as $15,000 are revolutionary just because of their small size and low price. They are also extra ordinary because they were originally developed for rural markets of emerging economics. But they are now sold in USA where they are pioneering new uses for such machines.. If GE’s businesses are to survive and prosper in the next decade, they must become as adept at reverse innovations as they are at Globalization. Success in developing countries is prerequisite for continued vitality in developed ones.

6. There are 200 large R&D Centers being operated by MNCs to develop technologies, take patents and use these to produce products, may be in US or in their own countries or in India. This is not clearly known.

7. Yesterday World Bank President Robert Zoelick said in Washington the USA should not take dollars status as the world’s key reserve currency for granted because other options are emerging.

8. There are some recent estimates that it will take 6-7 years for U.S. employment to become normal.

All above raises the question as to what is the motive of American Companies. Is it to increase profit in India and China and send profit to US to reduce current account deficit. Or is it to reduce manufacturing in US, which will affect manufacturing employment?

What effect it will have on economy of China and India. Would it bring living standards of poor masses or would it make rich richer.

Would this have implication on other economics?

Please give your views.