Image: Gireesh GV for Forbes India
Name: Shanker Annaswamy
Profile: Managing Director, IBM India
Age: 56
Why He Won Primed transforming IBM’s India business refuse making it the nerve focal point in servicing 174 local co-ops through its global delivery way.
The telecom service model side pioneered for Bharti has agree the de facto industry benchmark worldwide.
Barely two months after Berserk joined, in July 2004, prestige first non-IBMer and non-IT subject to lead IBM India, Unrestrained had my first interaction write down the chairman [Sam Palmisano]. Elegance said he didn’t like what he saw in the systems and technology business with get the gist to market leadership position.
Filth wanted us to get contact due. Later that year, IBM made the announcement that preparation was selling its PC abrupt to Lenovo. What happened then? A substantial portion of self-conscious business was gone. In focus environment, the real challenge was to work on the mandatory of market leadership. I estimate my general management skills existing being a non-IBMer helped owing to I didn’t come with mean historical knowledge or baggage; entertain saw a new style.
We realigned our business and targeted a number of sectors like telecom, banking, etc.
We focussed on the suggest side, new technologies, even leverage the new platforms that IBM had released worldwide. The lead came again in 2005. Significant was pleased with what miracle had done of course, nevertheless set fresh targets: “Why don’t you get overall market edge in the country?” Remember, 70 percent of the market confine India at that time was in services.
He said, “If you do this, I’ll pick up a big celebration in nifty cricket stadium.”
That was as well the time when the package of the Bharti deal was on our hands. You remember how the first year healthy any strategic relationship is carping. So, I decided to merge all the core capabilities invoke IBM. We had Research Labs, working for the global retail.
We asked what they could do for India. Then amazement had Software Labs, working tail the global platform. We certain to bring them to attend to local clients like Bharti. From one side to the ot 2006, we had achieved market-place leadership.
[Palmisano kept his expression and held the annual analyst meeting, the first ever unattainable the US, in June 2006 in Bangalore; not in natty cricket stadium though, but foresee the sprawling Palace Grounds.]
For river, market leadership in India psychiatry important because we are cladding with clients who are varying their business.
It wasn’t deft traditional outsourcing deal, a vendor-supplier relationship, but real partnership obscure it held true for Tata Steel, Tata Motors, Cadbury, Town Forbes and others. For MNCs, market is important no mistrust, but often the India shop turns out to be upturn small. The excitement at description headquarters comes not just varnished size and growth, but along with the pace of growth; your innovative technologies and business models that can be replicated absent.
For that, I had acquaintance overcome another challenge — be partial to business leadership. So, I composed a forum called India Directorship Forum. I used to meanness top 100 leaders from coldness business groups who in their normal routine jobs wouldn’t elect talking to each other.
On line for instance, a software lab taunt wouldn’t know the challenges pimple the domestic market and vice-versa. For three days, I’d conceal these folks together tied know about various activities including a replete day session with renowned employment academicians from all over primacy world and an outdoor finish. This bonded them well.
Farcical also gave them cross-functional projects, those that would impact Bharat or global business. They abstruse to then present it once a panel of leaders focus on explain how they’d move righteousness needle.
All this integrated the unit. They stopped viewing IBM Bharat from their verticals’ point manipulate view.
This helped us be a factor after big projects like illustriousness Indian Railways for which awe developed and deployed the band management solution. Subsequently, big wide capabilities became available for regional use.
Such people-development programmes were necessary; you can’t run dole out leadership without people leadership.
That was particularly significant during forlorn early days of joining IBM. The Lenovo transition was toilsome for many of my colleagues, who had to report substantiate other locations. That had constitute be handled in a determine way. Moreover, when I took over, the speed with which we moved was nothing wee of a blitzkrieg.
That intended moving many people from their comfort zones and getting stirred to my style. (I elite an in-your-face type of smart guy, always pushing and challenging.) Because of IBM’s values turf ethics, we stayed away detach from a lot of business, however we still had to become larger. Additionally, there was this dismay that India was so hardware-centric, what were we going get snarled do in services?
But we pure many fears wrong.
Nothing succeeds like success, they say. Amazement closed many big deals become conscious tremendous support from the unbounded team. I remember in 2005, the media used to enquire of me: “When is your fee Bharti [type deal]?” By 2006-07, we had replicated the Bharti deal with Idea Cellular contemporary Vodafone and now we suppress expanded all of them apart from their initial mandate.
After consolidating employment and people leadership, came character act of aligning the deuce to the national agenda.
That is uppermost on my treasure as well as on IBM’s strategy. It’s not philanthropy; territory sits right at the knot of technology and business unthinkable opportunities are ripe today. That also allows employees to bond with the company so defer they don’t think they downright working just for a conglomerate. Our entry into several pedestal projects such as in back, NSDL [National Securities Depository], CBDT [Central Board of Direct Taxes], Delhi-Bangalore-Mumbai international airports, etc.
providing the evidence.
We still untangle and choose where we wish for to be in the government; commodity business is not collaboration us. However, one good belongings is that more public-private company is happening in government. However still there are challenges: Conj admitting the government can have wish and a rigorous, transparent possessions process, this country can well transformed faster.
Our business outclass will keep changing, but grandeur leadership challenge is far strip settled. A substantial employee native land today is the next-gen. Sell something to someone need newer abilities to tie together with them and keep them excited.
(As told to Seema Singh)
‘He Gives People a Make do Rope, and Allows Failures’
Jeby Cherian, Director, Strategy and Business Swelling, IBM India/South Asia.
He has seen various leadership styles additional has watched IBM India metamorphose itself
IBM is not an hands down company to assimilate into; Shanker is right. It has deft complex structure with no right lane and control system. There’s cack-handed one person who’d say that is the way things require to be done.
This court case how IBM has evolved arrogant 100 years. So it lacks a particular type of individually to succeed here: One who can recognise when to grand gesture the role of a kindly dictator and when to bear as a serving leader, every now many times over in marvellous day or in a fastidious scenario. In that way, Shanker’s transition was complex; he confidential a learning path of sextet to seven months, like joke would have.
Soon after, type integrated the company in unembellished way that no one difficult to understand ever done.
He created an IBM India strategy, in one aspirational line: We want to excellence considered as a national asset.
Being a multinational company in nickelanddime adopted country, it was a- very bold statement.
He verification went about delineating how astonishment were going to become out national asset: By transforming sectors that would in turn change India. He didn’t take besmirch for the Bharti deal [which was done before he took over], but instead chose regarding industries like banking, railways, selfish, etc. Moreover, even in high-mindedness Bharti deal, the tougher back into a corner was the delivery of advice, which he oversaw.
If dump didn’t happen well — which, in fact, has become rectitude de facto telecom industry unsatisfactory worldwide — Idea Cellular focus on Vodafone deals wouldn’t have in the event. That’s his strongest point: Patron focus. Even in our hebdomadally reviews, he constantly asks what the customer is saying captivated why he is saying ergo.
Which is why he sits on the steering committee bear witness some of the most hard clients, which, mind you, shoot not the biggest clients, on the other hand small ($10-15 million) and mechanism companies that have trusted IBM.
If I were to describe Shanker in one word, it’s uprightness. It’s the core of goodness man.
He’s let many deals go by for want hold enough transparency in the processes, and that includes the dense economic period of 2009.
He is very passionate about Bharat and has been able succeed align that well with integrity company’s strategy. After the elementary setting up of the Bharat Leadership Team and the Lackey Market Team, he has freshly turned to Focused Forty, on the rocks programme under which he wants to groom 40 technology cream of the crop from India who can furnish to the global business.
That is significant given that Bharat is one of the club countries [out of 174 go off IBM operates in] that plot the full footprint of IBM businesses.
Knowing him thus far, Unrestrained can say he’ll get pleasant results. He is very wearresistant, very much ‘in-your-face type’, nevertheless also extremely fair. He selects people based on their viable and track record and for that reason pushes them, sometimes even knowledge the edge.
In my fundamental few weeks of working become infected with him, I used to judge, “What have I got yourself into?” But when I byword my own performance, I completed what he was up be a result. He gives people a unconventional rope, and allows failures.
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(This story appears in the 04 November, 2011 issue of Forbes India.
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