THE ELEPHANT

CATCHERS

BY SUBROTO BAGCHI
Presented By:
Vandita Purohit
Charu Priya Palni
Rimleena Boro
Mukesh Bhavsar

CONTENTS

About The Author

Introduction
Part I : Idea of Scale
Part II : Scaling your Business
Part III : Scaling Your Intellect
Part IV : Scaling Your Reputation
Part V : Scaling Your People
Part VI : Scaling Against Adversity
Conclusion

ABOUT THE
AUTHOR

Subroto BagchiisanIndian entrepreneur &business leader.

Hewasbornon31May1957inPatnagarh,Odisha.

HestudiedPoliticalScienceattheUtkalUniversity.

HestartedhisworklifeasaclerkintheIndustriesDepartmentoftheGovernmentof
Odishain1976.

From1981,heenteredthecomputerindustryandworkedforanumberofcomputer
companiesbetween1981and1999.Hislongest stint was at Wipro.

In 1999 he co-found Mindtree alongwith9otherco-founders.

Mindtreeisa$500million,GlobalITservicescompanywithapproximately14500
people.ItislistedattheNationalStockExchangeandtheBombayStockExchangein
India.

Presently,heistheChairman of the Mindtree Board of Directors.

In 2006, his first book The High Performance Entrepreneur-Goldenrulesforsuccess

intodaysworldwaspublished.

OtherbooksauthoredbyhimareGo Kiss the World: Life Lessons For The Young

Professional(2008),The Professional(2009),MBA at 16(2012),Trouble in
Gangtok(2012),The Captainship: First-gen Entrepreneurs(2013), The Professional
Companion(2013),[On Leadership and Innovation(2014)

INTRODUCTION

Thebookisbuildaroundthecoreideaof
scalinganorganisationanditspeople.
ThebookisdividedintoVIpartsthat
dealwithdifferentstagesofscaling.
Thecoreideaofscaleanditsassociated
attributesareapplicabletoany
institution.
Thebookwillenablethereadertogetan
insightintohisorganisationandhimself.
Thebookiswrittenfromapractitioners
pointofviewandallexperienceswritten
abouthavebeenlivedbytheauthor.
Theideaofhebookistotellthereader
howtoscaleifyouwantto,needto,and
ifyoumust.

PART I
THE IDEA OF SCALE

Tobecomfortablewiththeideaofscale
ToStrategise
Tobuildtherightinfrastructurewithasystemicview
Tohiretherightpeopletomanagethescaleandalso
re-engineerexistingworkforce

LESSONS FROM A SWAMI

Those who do not embrace the notion of size and cannot enjoy magnitude will
always have problems with it.

SwamiJisformulatobalancegrowth and scale wasbasedonthefollowingideas:

1.

Tobeat peace and comfortwithscale.Theideaofscaleshouldnotdaunt

you.

2.

Tohaveasenseofpurpose, alargergoalatwhichyouareaiming(forSwami
Jiitwassenseofservingsurroundingcommittee)

3.

Tohaveasenseofself-regulation.Nosupervisionisrequired.Aself-regulating
systemminimizestheneedforbureaucracy

4.

Toadoptsimplicity .Simplicityisapowerfultoolinanyhumaneffort.Asimple
communicationismorepowerfulthanacomplexone.

5.

Tobeaccessible.Accessibilityplaysanimportantpartinmaintainingthe
balanceandsecuritythatisessentialinkeepinganyplacetogether.

6.

Toseegrowth as an ally,awelcomewaytoexpandcapacityand,fromhere
on,tomakeadifference.

MURDER IN NEW YORK

If you are not ambitious enough to scale, and scale big, you will not need to
engage with the term strategy

Whilestrategisingtoscale,rememberthefollowing:
1.

Strategiselikeyouarere-starting. Strategizingatthisjunctureisasimportantas
atthetimeofsettingupyourbusiness.

2.

Aimforexponential not incremental growth. Aimingatincrementalgrowthis

lookingatalowriskapproachthatwillleadsmallupsides.

3.

Greatstrategymusthave an emotional appeal. Withoutemotionstrategywillnot

bememorable,andpeopledonotfollowwhattheycannotremember.Strategy is
not the child of reason, it is an act of emotion.

4.

Trytoseethebigger pictureandtheinterconnected natureofthings.A

conventional problem may not always have a conventional solution.

5.

People at all level must be encouraged to think strategically.Companiesdo

notscalethemselves,itisthepeoplewhotakeittothenextstep.

6.

Simple is smart.Astrategyisonlyeffectivewhenpeopleexecutingitunderstand
itandconnecttoit.

A BAMBOO BRIDGE TO CROSS THE

OCEAN
Successful organizations invariably mimic living beings in designing their
infrastructure. The more they incorporate a systemic view, the more evolved
and truly scalable they will be.

Organisationsthinkofinfrastructure at 3 distinct but interconnected levels:

1.

The Physical Infrastructure (bottom) offices,factories,warehouses,retail

outlets.

2.

The Intellectual Infrastructure (middle) systems,processes,methodologies.

3.

The Emotional Infrastructure (top)accessibilityofanorganisationsleaders,

abilitytorespondtocrisis,propagationofitscorevisionandvalues.

Animportantelementofinfrastructuredesignapplicabletoalllevelsisdigital strategy
ofanorganisation.Itisbasicallytheinformation system(mimicsthenervoussystemof
abeing)thatanorganisationuses.

TheIntellectualandEmotionalinfrastructureinvolvesnotjustemployeesand
managementbutalsoconnects customers witheverypartoftheorganisation.Andthis
understandingofcustomershelpsittodevelopitsphysicalinfrastructureinaccordance.

Eachoftheseinfrastructurelayers must be creative, robust and built ahead of its

time.

THE ELEPHANT CATCHERS

Unlike an operation to catch rabbits, trapping an elephant calls for expertise
over enthusiasm. Those who hunt rabbits are rarely able to rope in elephants.

Initialcustomer/clientrelationshipsarebasedontrustandacertainpersonalconnect
butasyougrowtheydemandprocess maturity and vertical expertise.

Catchinganelephantisnotjustaboutlargedeals.Itisaboutallthosethingsthat
requiretheability to handle volume with complexity.Youneedtherightpeopleto
managethecachedelephant.

TheElephant Catchers come at a huge price,someofthemwouldbe:

1. Theydemandfancymoneyandexpensiveseverancebenefits.
2. Theycomewiththeirownteams,sobeforetheyaddtothebusiness,theyaddto
thecost.
3. Thereispressureofadjustingreportinglines.
4. Theydonotcomewithaguarantee

Oldemployeesneedtobefriend The Elephant Catchersandalsolearn some new

skills themselves.

Formostemployeesitwilla unique and rewarding experience in personal reengineering,aswellasagreatopportunitytorenewtheirsocialcontractwiththe

enterpriseasitbeginsonitsnextlongmarch.

PART II
SCALING YOUR
BUSINESS

Showyourpotentialcustomersthatyouarehungry,
willing,genuineandtrustworthy
Identifythehuntersandfarmersfromthegrizzliesand
theskunks
Knowwhentosayno
Yououghttohavetherightreasonsformergersand
accusations
Becautiousofshortcutsandtreatyourequitywith
respect

THE CAT AND THE DOG

DIFFERENTIAL
The key to winning a customers business is to be able to connect and to
come across as hungry, willing, genuine, trustworthy and, above all,
interesting

Life will always put you in unexpected positions. You may toil very hard to
achieve a certain goal and just when you feel you are about to touch it, feel it,
therearechancesthatatthatverymoment,thegoalhasshiftedfarther

Nothing to lose-Ithelpsmindtoseepossibilitieswhenyouarestaringatwhat
maylooklikeafull-stop.

It is the dog that fetched the newspaper for you all these years, but when
its the time to feed milk, you are instead choosing he cat

The3As-Attention, Agility and Access

Thinkdifferent,thinkinventive

Logicalreasoningisveryimportantbutdonotunderscorethepowerofemotion

Getoveramentalblock.Keeptryingtoventureintonewdomains.

Look for what is common with the customer beyond your expected capabilities
anduseittocreatetheconnect

OF HUNTERS, FARMERS, GRIZZLIES AND SKUNKS

Sales is not witchcraft. It is a science as much as it is an art, and must be
managed with the same discipline as product development, manufacturing
and servicing

Salesforcecanbebroadlydividedinto4categories:

a)Grizzlies:salespeoplewhoonlycatchsalmonstheeasyway
b)Skunks:badclientdealsjustforthesakeofacquisition
c)Hunters:goodatopeningdoorsbutnotatbuildingarelationship
d) Farmers: not good at opening new accounts but effortlessly create long term
relationships

Anorganizationneedshuntersandfarmers

World has moved on from Philip Kotlers 4Ps (Product, Price, Place and
Promotion).The different verticals, their sub-verticals have brought transformation in
traditionalideasofcustomersegmentation.

Inthebeginningselllikehell,butbuildingonandsustainingtheinitialsalesthrust,with
gettingnewcustomers,requireexperts.

Invest in good information system that scientifically analyses sales data and formal
salestrainingsothatatnopointdothemanagementandpersonnellosesightofthe
centralsalesdivision

MARRIAGES OF CONVENIENCE
As in all walks of life, in business too, relationship choices have
consequences. If you seek a marriage of convenience, do so with your eyes
open and always be aware that it just might become an unholy alliance

It is important to build sales capability and acquire new customers. Never be

overly dependent on single customer but a few strategic relationships work like
boosterrocket

Sub-optimalrelationshipsarenotgoodeither.Dangersofprolongingrelationships
with small customers- project size is inversely proportional to work satisfaction.
Determinethemutual fit candidates.

Inchoosingrelationships,ifthepromiseofthefuturecomeswithapricetag,look
atthecostofownershipinitsentiretyandnotsacrificefutureforthesakeofthe
present.

Jointventuresarenotalwaysthebestsettingsespeciallyformid-sizeplayers

Ifyouseekamarriageofconvenience,alwaysbeawarethatitjustmightbecome
an unholy alliance. In that case clean divorce is better than an unhappy and
messymarriage

THE M & A MYTHS

When managers propose mergers and acquisitions, the important thing is to
ensure that they are doing it for the right reasons, and not because they have
run out of ideas on how to grow their business organically or are fatigued and
now see a merger or an acquisition as an easy way out

According to the author, the sad part about M&A is that key people get large
payoutsthatveryoftenmakethemlazyandtheylosecommitmenttoworklike
theydidbefore

Foundersneverstaytocreatenewsynergiesandprocessofintegration

If the founders of an acquired unit hit a glass ceiling and could not grow their
companybeyondtheircurrentsituation,itishighlyunlikelytheywoulddobetterin
achangedscenario

Small and cheap acquisitions lack critical mass because of which the acquiring
companyloosesinterestinthem

Managingkey employee expectations

FinanceandHRplayamajorrolehere.Manyatimecrossculturalforcescomes
toplay

VALUE, VALUATIONS & THE ROLL UP

KIDS
If anyone tries to show you a path to double or treble your companys
valuation overnight, dont get taken in. Life is about constant growth, but any
unnatural growth is inherently destructive.

Treatyourequitywithrespect

Frittering it away to seek cheaper office space or to buy advertising in a

newspaper,isanunwisethingtodoandaterriblewaytodobusiness

Sustainable valuation of an enterprise involves quality of the management

team, customer base, predictability of the revenue system and corporate
governance.

Do not fall into the magic web woven by the Roll up guys. Generally the first
round of funding by a venture capital firm reflects the initial valuation of the
company.Theothercombinationofrealfactorsthatcontrolthevaluationsare
differentiated business idea, having paying customers and retaining them,
garnering process maturity, creating a product roadmap, good governance and
overallreputation

A firm going public must ensure that they are able to manage investor
expectations and have enormous obligations with regards to regulatory
compliance.

PART III
SCALING YOUR
INTELLECT

Chooseyourboardmemberswisely

Identifytheprosandconsbeforeengagingwitha
consultingfirm

THE WISE MEN AROUND THE TABLE

A board member is not supposed to be a yes-man, a business development
manager or, worse still a fixer. When chosen well and respected , a board is
the conscience keeper and the voice of reason and caution, for leaders willing
to listen

Theindependentdirectorsonboardshouldbechosenfortheirmanagerialquality,
personalleadershipqualities,integrity,abilitytoaskcriticalquestions,diversityand
willingness to devote time needed o make key contributions to the functioning of
theorganization

Aboard'sjobisalsoselecttheCEO,guideandassistwiththedevelopmentoflong
term strategy ofthecompany, review financial results and protecttheinterests of
smallstakeholdersintheorganization.Butsometimesdomainexpertiseisneeded
tomakedecisions.

The board represents wisdom, management team brings in the intellect and
capacitytoexecute

The board is the guardian angel that balances the three legged stool of investor,
customerandemployeeexpectations

Theboard'sacumenensureswhethertheorganizationappearsasaquintessential
glidingswanratherthanadogfuriouslypaddlingawayitswayacrosswater.

WHEN THE SHEPHERD NEEDS HELP

When good consultants and good companies team up, unusual new value
gets created. But remember, you will invariably get all you need from the
consultant in the first six months of engagement. After that, whatever they
may be, they are simply repeating themselves

Identifyareaswhereyoulackcapabilityinternallyandlookforrequiredcapabilitiestobe
broughtinfromoutsidetobringinbestpracticesofleadingplayersintheindustry.

Lesson#1:Beforeapproachingandsigningonaconsultant,speaktotheirotherclients

Lesson#2:Beclearonyourandtheirexpectations

Lesson#3:Settlethefeesandtermsofpaymentaheadofengagingthem.

Lesson#4:Whenyouengagewithaconsultant,youarenotobligedtogoalongwith
themoneverythingtheyrecommend

Lesson#5:Setdowncleartermsonendingtheassociation

Lesson#6:Periodicallyassessthevalueofconsultantsbroughtin

Lesson#7:Goforin-houseknowledgetransfersessions

Lesson#8:Donotbuildunrealisticexpectationsaroundconsultingengagements
withoutfirstdemonstratingpersonalwillingnesstochange

Lesson#9:respectisonething,aweisanother

PART IV
SCALING YOUR
REPUTATION

Creating an image that truly represents ones

values

BUILDING A BRAND

Image of vision,
mission and objectives
Varies from brand to
brand
Different from
advertising
Takes you from where
you are to where you
want to go

MEDIA & COMMUNICATION

X factor during launch
Constant heating of
events
Leaders constantly
promoting theme of
brand
Unbiased opinions on
current events
Not leaving any
comment or silence for
misinterpretation

CORPORATE SOCIAL
RESPONSIBILITY
Imbibed in the work
culture
Should be in sync with
current activities of
organization
Profitability should
not over ride the
bigger benefits of
society

PART V
SCALING YOUR PEOPLE

HIRING AND FIRING

When in doubt, dont hire.
When the situation demands, dont tremble to
fire.
Not solely responsibility of HR.
Interviews, reference checks, motive of candidate.
Worker looks familiar but not be same for
employee.
Fired employee may have delivered, file lawsuit,
greet organization coldly.
Fire with good reason and with good faith.

BUOYANCY
A happy organization
reality or myth.
People leave their
bosses not the
organization.
Leaders should
emerge when
employees need and
not perpetually.
Team involvement and
performance reviews.

FASHION DESIGNER NUN

What got you here
today wont take you
where you want to go
tomorrow.
Out of the box
thinking.
Agile Methodology
(parallel action)
Technology trauma an
urban legend.

SQUARE PEGS AND ROUND HOLES

Specialization and
generalization.
Rotation by location and
role.
Understanding
competencies ( Ninja,
Coach, Thought leader
and Rainmaker)
Building leaders

GARDENING TOOLS
Every employee has to be treated like a flower in
a garden.
Employee has to be fully nurtured and he when
he leaves he has to be well developed.
Goals of organization and employee have to be in
sync.
Leaders are born through the process and may
leave the organization.
Those who were not aware may be better at
handling responsibilities.

WHEN BRAHMA FAILS

Perpetual succession
of business entity.
Pioneer cannot exist
forever.
Delegation of
authority to
specialized personnel.
No matter how hard it
is, there has to be
succession of
authority.

PART VI
SCALING AGAINST ADVERSITY

Planning for the tough times that a business or a

company might have to face

RITES OF PASSAGE
When Extraordinary events overtake us. It is time to do the
ordinary things extraordinarily well

Noteverythingworksoutthewaywewant

Painisinevitablebutsufferingisoptional

9/11eventsandhowMindtreesurvivedthephase

Duringcrisiscommunicatedevenmorewithleadershipteams,
investorsandsuppliers

Sharedvision,commonvaluesandmutualtrust

Doingthethingsunderyourcontrolwithmoreeffortsthanyouve
everputin

BOLTS FROM THE BLUE

Just hang in there! Survival is important even before you think
of growing!

NotesFarmerandvegetableseller

Understandingfundamentalsofecosystemchange(thenew
normal),frugalmanagement,traininginleantimes,survival
mindset

Whateverarethecircumstances,organizationalleadercannot
getoverwhelmed

Mustpreservefaithinordertobuildanorganizationthatwill
outlivethem

OOPS..!

Author speaks of Philip Kotler's 4Ps (Product, Price,

Place and Promotion). 4 controllable variables the
company puts together to satisfy a target market
But 4Ps was a term coined by E. Jerome McCarthy in
1960
Some of the business models touched upon in the book
could have been explained more comprehensively.

CONCLUSION

Invite the author

Elephant-catcher mindset (scale, complexity, process and risk)
Scaling business, intellect, reputation, people
Applicable to any organization, whether it is a business or a notfor-profit and even your own self (Me inc.)
A must read book for want to be Entrepreneur or a person who
has started a small firm
Develop a deep comprehension of C.K. Prahalad's concept of
next practices