Tuesday, May 28, 2013

Managing the Plan vs.Planning to Manage

India is a tough market. And nothing ( yes , not even China ) prepares one for this market.
The normal process is that you plan , do ,check and take action . There are surprises and some degree of adaptation to the plan once begun. So there is some structure .

Here , we plan , and have a plan b and c in mind , then act and keep on improvising all along , a sort of continuous PDCA at every sub-node. The complex unexpected makes it so.

This has an impact on the skills requirement , the organization structures , the leadership style, the delegation of activities.

Companies force-fitting global or even 'emerging market' strategies /tactics/structures will still have successes but not sustained. And will see 3/4 year cycles plaguing them.

Those embracing ambivalence see sustained success.

And maybe that's the reason that wisdom works...

Tuesday, July 7, 2009

Upending the Mass vs Class debate

India is one of those markets where you have to gain size and volume in order to profitably cater to the high-priced/premium segment. Sounds a bit odd.
Not really. Unless , of course you are part of a business which is allowed to make losses/not make money for its owners.
Take an example of premium cars in India. Or telecom. Or whatever.
In order to sell , say, 2000 premium cars , there is a need to provide service and sales support across smaller towns such as Coimbatore , Nagpur , Kochi et al. The market for the cars is spread across a large number of these geographies and the brand needs to build necessary competitive advantage by having the network. The investments that are required are so high that the need for greater volumes to make it work starts impinging. The move to the 'popular' segment starts in order to build volumes to get contribution and recover fixed costs.
Similar with telecom , you need the VAS to build profitability but need network to deliver it which in turns needs 'basic voice' volumes to sustain costs.
The story repeats in category after category. Whichever end you start from , the end is still the same -paradigm shift.