Being part of a business family inspires more commitment - Anupinder Kaur - May 2006

If you must play, decide on three things at the start: the rules of the game, the stakes and the quitting time. But if you are the scion of one of the most prestigious and well-known families, then you just have to use the silver spoon in your mouth to scoop out success. However, the afternoon knows what the morning never suspected and things do not happen as expected.

Born into one of the top business houses of India, he took the option of proving his merit rather than banking only on what he inherited. Here’s presenting a meeting with Mr Madhur Bajaj, Vice Chairman and Director, Bajaj Auto Ltd. - a leader in the motorised 2 and 3 wheeler sector.

In a distinguished career spanning more than two decades, Mr Bajaj has shouldered numerous responsibilities. He joined Bajaj Auto as DGM in March 1983, took over as General Manager, Aurangabad Division in June 1986 and as Chief Executive in October 1988. In September 1994, he became the President of Bajaj Auto and thereafter its Executive Director in May 2000 and is now its Vice Chairman. Today, Mr. Bajaj is also Director of Bajaj Auto Limited, Bajaj Electricals Limited and Maharashtra Scooters Limited, amongst others. He is also the former Chairman of the Confederation of Indian Industry (Western Region) and is a National Council Member of CII. He is also the Chairman of CII’s National Committee on Latin America as well as its Primary Education Committee; President of SIAM (Society of Indian Automobile Manufacturers) - an apex association of Indian automobile manufacturers, New Delhi. He is also the Vice President of Mahratta Chamber of Commerce, Industries and Agriculture (MCCIA), the apex Industries Association of Pune; a member of the ‘Advisory Council’ of the Department of Management Studies in the University of Pune.

These outstanding achievements did not come about by chance but through sheer integrity, dedication, resourcefulness and determination to succeed. In conversation with Anupinder Kaur, Mr. Madhur Bajaj reminisces on his journey to accomplishment.

It is commonly assumed that if one is born in a business family one inherits not only the business but also the success. Yet, you chose to pursue an MBA. Why?
An MBA is just a starting point; thereafter, one has to put in a lot of time, effort and innovation to succeed. But having said that, the degree is definitely very advantageous. I decided to go for an MBA in order to hone the skills required to be an effective businessman, to be more competent and to complement my core skills. An MBA definitely helps you understand business, the running of an organisation and enhances your decision-making skills. It groomed me for my corporate responsibilities.

The debate between meriting or inheriting, according to me, is hypothetical.  If you are in a position because of your capability then success comes sooner, you rise up the corporate ladder much faster. But if you are an incompetent person then you are going to be viewed with jaundiced eyes. Merely inheriting a business is not enough. An inept person lacking necessary skills can destroy all the inherited wealth.

It is true that there were many advantages of being born into a business family – a quality education being one of them. I did my schooling at Doon School, Dehra Dun, in 1969 and my B.Com Degree at Sydenham College, Bombay, in 1973, and my MBA at the International Institute of Management Development (IMD), Lausanne, Switzerland, in 1979.

The other advantage I had was the business culture ingrained in my psyche even before I thought of doing an MBA. Business is not a typical 9 to 5 job and there is no cut-off point at the end of the day.  Being part of a business family inspires more commitment in you.  You have a clearer idea of what it takes to succeed at business. The entire rigmarole of building up a business and making it succeed becomes a matter of passion; you automatically give it your best.

Why did you choose IMD to do an MBA?
I applied to different colleges in the UK and the US. I was on the look-out for a programme where the primary medium was English. Dr. Jagdish Parikh (Chairman of A.L. Movers Pvt. Ltd., who has an MBA from Harvard and a PhD in Management) was teaching at one of the institutes, recommended IMD. I chose IMD primarily because it had a one-year programme and also because it would offer a chance of meeting people from all over the world. It had an international environment where we learnt how to interact with people from different cultures. We also learnt how to manage people of different nationalities and inclinations.

Pedagogically, IMD followed the case-study method for training, where any particular case would be given to us. We were given banking problems, cash-flow problems. We were to act as Managing Directors of the company: taking charge of the problems, solving them, getting different options, selecting the right option and getting opinions of senior people.

The IMD MBA programme is very hectic, as it is a one-year programme. Recruiters come to campus to recruit the best talent through very difficult interviews. However, I did not go for any of the interviews as I had my priorities very clear. I knew I would be coming back to the Bajaj business house. It would create a wrong impression in the minds of recruiters once they realised that I had no inclination of joining them and was just wasting their time.

What difference do you see between MBA programmes then and now?
There is a lot of difference, indeed, in the syllabus as well as the method of teaching. Today, schools strike a balance between theory and case studies. There are so many cross border mergers and acquisitions taking place today – consequently, you have more multicultural scenarios. The emphasis is on cultural sensitisation; you are taught how to gel people of different cultures into a team, how to get chalk and ice together. So, business education today is dovetailed to the changing environments of the present age. Thus, people management has become very important.

What according to you are the most important ingredients of success?
I believe that three things are of utmost importance if you want to be successful.

First, nothing happens by itself. You have to make it happen. Work hard and match your aspirations and ambition with sweat.

Secondly, your values are of core importance. Stay on the path of integrity and honesty. For example, I believe we should not be party to any kind of bribing to get things done. If you are clear about the equation, your clear stand will nullify the demand of bribe.

Finally, I would say learn to think beyond your business and personal goals. Do something for the community. Inculcate the spirit and culture of hard work. Think of society and try to give back what you have derived from it in some form.

Life in the corporate world can be very demanding. How does one create a balance between work and life?
Have a hobby, some kind of an outlet. I personally find a lot of peace and solace in music. I used to play the sitar and even gave a stage performance at the age of seven. But, now, I do not play it anymore, though I listen to music a lot.

In fact, I would like to make a musical film someday. I know of many successful business people who excel in different fields outside business. Neeraj Bajaj, for example, is a table-tennis champion. I also make it a point to read a lot. I read newspapers in the morning and magazines at night before retiring for the day.

Instead of saying ‘I’ want to be number one, it should be ‘we’. Serve in such a way that it becomes a means to a bigger end. Let the organisation come first, then the individual. I subserve myself to the objective of bigger bodies. Success is never elusive then. Keep learning and working till you can. Never hang up your boots. I want to die with my boots on.