Many a times it's not market or financial viability which Trump's an organization rather something very small like tussel of board with the CEO may trump the organization & that's where the role of institution comes in play.
I would like to cite example of HUL & Nirma. During late 90's Nirma was the most formidable competitor of HUL but just after 7-8 years, Nirma was nowhere to see. Even in 2007-10, many youngsters would not even knew name of Nirma. So what has happened during all those glorious years that such a formidable competitor was grounded & today no one even know the competitor. Did HUL played dirty politics or was there structural weakness in Nirma which grounded it?
I reminded of this case in context with a news item: Patanjali CEO quit over non payment of salary. This news item has hidden meaning which points towards systemic rot with in the fast paced growing organization which for me are the omen for grounding of this formidable organization, which may not be very far.
Obsession of the founders to meddle with the executives makes the organization run out of steam very soon. It's like a Helium filled baloon which makes to the topm very quickly but could not sustain there while the organizations they are competing are like well oiled gas fired baloon which may go slowly to the sky but has got a trained driver to manoeuvre throughout the journey & make a safe landing. Who would want to get into a Helium filled ballon whose directions depend on the flow of the wind.
The statement wrt Patanjali shows how unprofessionally run our fast paced growing organizations are?
In the long run it is not the market or finance which shall steer the orga. through thick & thin, it is the management which spot & make use of opportunities, if the management is not build or make capable enough by inducting persons of high acumen, orga shall always be at the mercy of market & may perform well in the short run, shall bound to fail & pack their bags in long run.
During the fast paced growth of the organization, capacity building of the executives is ignored which in long run creates void which become difficult to fill & result in crumbling of the whole orga.
The organizations should always remember that they may do whatever suits them with the executives during their hey days but when the wheel turns, there will be no one standing by their side to steer through the storm & it is not high time which makes an organization rather it is the ebb time which decides who shall survive.
Today (18-8-17) got to know that Vishal Sikka (CEO, Infosys) has resigned & has wrote a scathing letter to the Infosys management citing undue interference by the founder Mr. N. Murthy. One more alibi to the aforementioned subject.
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