The greatest joy of an entrepreneur is I guess seeing the first rupee for his/her venture come in. Surely it is for me.

It gives me immense joy to see the first rupee come in as revenue for our venture. Enterpreneurs live in a dream world where they toy with that idea which they think is unique, will grow, gain recognition and bring money. Some start building on the idea, travel a distance and then realise it has not just worked and resign. A few others, struggle even further, not giving up. Many see them as crazy, impractical and failed to doom. Nevertheless they go on with hope and determination. Then somewhere down the line there is that glimmer of hope. Hope of a new horizon. Hope of crossing that crucial inflection point. This point in an enterpreneur’s journey is the point when he or she sees that first rupee as revenue.

There can be no greater joy for an entrepreneur.

This point is significant in one very important way. At least that is the way I see it. This point is significant because it is a recognition that the world sees value in the idea that the entrepreneur came up with and built on – and thus they are willing to pay for it. Every entrepreneur believes that his or her idea is great. But he or she can be “successful” only if there is an alignment between “that” within the entrepreneur and “that” perceived by the world or the end users. Most often such alignment would take lot of time – lot of time for the entrepreneur to understand the behaviour of the world, their perceptions to his or her idea, making changes in the execution without losing sight of the vision, - lot of trials and tribulations. An entrepreneur needs to let go of some, ready to subject to scrutiny ones assumptions, ready to keep moving. The world - the customers are right. The entrepreneur is also right. But it takes time for the “rightnesses” to match. And then when the “rightnesses” match there can be that nuclear fusion or a take off. This is “that” crucial point in an entrepreneur’s journey.

Today is that great point in this enterpreneur’s journey as we see the first rupee come in. A long journey of two and half years it has been. Glad that we have reached that point where our internal effort is aligned to the external needs of the world.

What would happen after this point? I do not know as I have not experienced it yet. Hopefully something good. But it can’t be better than this moment.

With my gratitude to all those who have stood and stand by me.

With love to my dear Thalaivar to whom I dedicate this joyous moment.

We go to a doctor when we are unwell. What does the doctor do? First, the doctor asks us several questions on the state of our health, how we are feeling, etc. If required the doctor then asks to get some tests done such as X Ray or blood diagnostics and so on.

The same is true for a financial counsellor. When one goes to a financial counsellor to take investment advice, the counsellor first analyses the “as is” position – current earnings and current savings and then analyses our temperament – our risk appetite, our lifestyle etc. He then uses his knowledge of the various financial instruments, their behaviour, pluses and minuses and makes us recommendations.

In short any consultant or a counsellor does two things – one diagnosis and then prescribe solutions.

The same should be or is true for HR specialist. We are expected to diagnose and prescribe solutions to individuals and organisations. When an individual approaches a HR specialist for advice on career development, the HR specialist should be diagnosing the “as is” state of the individual’s career and its related aspects. These would include the kind of progress the individual has made so far, the capabilities one has built, the aspirations of the individual and so on. Then the HR specialist is expected to prescribe solutions for the individual. The prescription comes from the HR specialist’s knowledge of the talent market, the pros and cons of various options, industry analysis and so on. The prescription has to be tailor made to the individual’s psyche or personality and specific to the individual. What works for one will not work for another. For instance, one who is looking for security and stability and is risk averse maybe advised to look for options within one’s industry or even company.

1. Good analysis of the individual’s as is state – hard (for example achievements, experiences) and soft (temperament, aspirations)
2. Good understanding of trends and behaviour related to the market dynamics and
3. Tailor making prescriptions for the individual or organisations

HR personnel need to be real custodians of latest trends and market behaviour. In my view there is little conscious investment by HR folks in this area because of which they are not able to assert themselves in the same manner that medical professionals are able to do in the field of medicine and financial counsellors do in the field of finance. Talent should be nurtured as the core domain of HR folks and if they need to establish themselves as such then their richness, comprehensiveness and awareness of latest trends should be as it is for specialists in other fields.

Development is an improvement in our capabilities relative to our current capabilities. It is not relative to the capabilities of others. Thus our objective has to be to better ourselves.

In today’s era of talent I find it important for people to gain mastery not just in one skill but in more than one, at least in two. Well, this may even be a necessity.

During the course of creating our website/portal ready I was looking for people who could create our website. Our technology partner are adept at creating the applications but creation of the front end / UI / design is not there forte. I went about looking for people who could create the UI or do the designing for us. I faced many challenges in the process. There were people who were adept at the tools and technology – html, photoshop, coreldraw, CSS and so on. But the problem with almost all these people were that their aesthetic senses were very poor. The designs they created were very poor in quality, they were not appealing, the human element in the designs were missing. So here was a set of people who were technically good but poor in creativity. Then I found the other set of people who could do the creative part very well. They were able to absorb the concept create visuals, the colours, contrasts and layouts were very appealing but they would not know how to turn them into web pages.

The ideal person would have been those who had the aesthetic or creative abilities with the technical skills.  This is what I call by being skilled in multiple faculties. Is it about yin and yang in skills? Is it about the well developed right and left brain? Maybe.

We can find parallels of this case of combination of creative plus technical talent for web in other areas too. A functional specialist in a software industry has to be able to appreciate the software engineering to contribute to creation of appropriate solutions. A civil architect like our web creatives, need a combination of capabilities in civil engineering plus the aesthetics involved in architecture. A surgeon needs to be adept at the surgical practices and also the technicalities of the medical equipments. A combination of functional expertise and business skills in required for successfully running an enterprise or business unit. A good music composer also is one who is adept at sound technology.

Such combinations are rare to find. I realised this in my search for web creative person. I also believe that the same situation prevails in organisations where such combinations are required. There is a premium one would place for such multiple skills. HR, managers and leaders in companies could look for people within the organisation who have the aptitude for such dual specialisation and nurture them. But such spotting of talent would require out of the box thinking, a classical performance appraisal system may not be able to bring out such talent. Lets say we want to nurture the creative talent in engineers and that we would like to sport such talent. Maybe the organisation could organise a competition which involves modeling, drawing, sketching, painting, etc. for engineers. On the part of the individuals when they believe that their field may require dual talent, maybe such talent can be nurture if the basics (aptitude and inclination) are there in the individual.

Realising the importance and the value of the duality of skills is the first step.

Let us look at some of the possible options before the management or leadership of the SMEs to mitigate the challenges in talent development of their human resource.

Mapping the available capabilities in the organization to the Business Plan by taking stock of them will enable SME’s to arrive at the required capabilities. This inventory assessment exercise need not be a time consuming one. Keep it simple and short will enhance effectiveness. The managers themselves could conduct such an exercise or else use the services of external consultants or tools like the one in training orbit. Similarly, identifying the required capabilities as per the vision and the business plan will help in identifying gaps in the capabilities inventory.

The inevitable priority of the day- to- day operations may take precedence over the long- term goals, leadership is as much interested in building a strong managerial workforce with adequate capabilities, which would take the organisation to the next stage. A particular SME, diversifying into news products, services or market segments will require expertise in business development. A SME, moving into a phase of consolidation and organisation building would be interested in putting operation processes and systems in place. This would mean that identifying the personnel from within the organisation, who can be trained and then training them on these responsibilities. Thus, narrowing what is required for the future and picking up the right people for training, in these areas will help the SMEs. At the same time, it may be prudent not to attempt “the” right person for training in these capabilities but choosing a “set” of most probable personnel who could be trained in these areas. The risk of focusing on just one person can be detrimental. The person may leave or may not prove to be the best or ideal fit for the responsibilities.

Sponsorships to outside programmes may be better option for SMEs rather than opting for house programmes, where a certain critical size of participants is required. However, in such cases input on the upcoming relevant programmes become critical. The challenge is finding the sources, which inform about upcoming training events. Portals such as the Training Orbit feed this challenge, as they give a calendar of the programmes, coming up in the different areas and the different locations.

The constraints of time- do not have enough people to spare a sizeable number for an external programme and space - do not have training room to accommodate 20 odd people at one time. They can be overcome by doing simple things, such as breaking the programmes into smaller modules, of one to two hours and conducted within the work area, or shop floor. Using experienced and qualified resources from within the organisation, to take such courses is a good option. If it has to be an external faculty then it is preferable to have someone from the same city or town so that the faculty can come, a number of times for short durations.

SMEs need not to fret over the difficulties in developing their resource, because of the size. There are mature options if there is a will to help in executing the development plans.

Unlike the large firms SMEs face a big challenge in training their staff. However, a good planning will help meet this challenge successfully.

SMEs employ over 80% of the workforce across geographies. At the same time they face enormous business challenges including their difficulty in scaling up, investing in innovation and research and maintaining growth. One of the reasons for these, is the lack of development of the human resources. Finding and hiring talent for SMEs itself is a big challenge. However, developing them to deliver the long term vision of the leadership is an even bigger one.

SMEs, given their size and other business challenges face many issues related to human resource development. The problems come from number of factors including the size of the workforce, the (lack of) maturity of the HR function and (limitations in) execution of development plans.

The size of the organisation poses very simple operational issues. Large companies can afford to release their staff for training programmes given the support mechanism available (absence of an employee can be covered up by the others in the department), the less dependency on individuals (given the strength of the processes) and predictable and planned business operations. SMEs do not have these advantages. Given the small number of staff, releasing even one person for a training programme can hamper the day to day operations. Similarly given the small size organising and conducting an in-house training programme would be difficult, where typically around 20 participants would be ideal.

The lack of HR function is another contributing factor to the efforts in training employees in SMEs. HR function when available in SMEs are mostly operational in nature which takes care of the basics such as payroll, statutory compliances, benefits administration and others. They may lack either the bandwidth or the capability to take care of the higher order activities of human resourceurces development such as as capabilities assessment, identification of gaps in capabilities of the workforce vis a vis that required as per the business plan and planning for the fulfillment of the gaps.

The leadership often understands the need for the human resources development and would like to focus on it. However, they are constrained in executing their development intentions. This could be due to factors such as lack of dedicated personnel for human resource development, as we saw earlier, priority of the immediate business goals taking over the priorities of the long term, inability to adequately invest in the development effort or being able to inculcate the spirit of human resource development in the second line. Thus the intention of the leadership remains unfulfilled to the detriment of the organisation.

In the next posting we will examine some ideas by which SMEs could manage these challenges.

We have today incorporated a new feature in Training Orbit. Users can now indicate their proficiency levels against their skills when constructing their tDNA. We have kept the proficiency levels to three levels (Level 1, Level 2 and Level 3). We have defined the levels such that the user can relate to the same irrespective of which skill they choose. This is significant simplicity.

While researching how levels of capabilities are being notified, I found that there is too much of text which are given as indicators for different levels of proficiency. One tends to get lost in the process of reading the text and relating to the actual real life scenario. We have instead tried to define the levels in a manner where any user can relate to them with no difficulty and is practical. This is the way I believe it should be - simple and real. Let us take a real life scenario. Lets take the case of language proficiency. We can create a ten point scale for the proficiency with various kinds of indicators at each level or create a simple level which is practical. When asked whether we know a language. These are the normal responses - "I know little bit", "I can speak with difficulty", "I can speak very well", "I am fluent", "I am an expert", "I write very well".

We have created the three levels from these kind of real life responses to skills -

Level 1 - indicates beginning stage, learning phase, not so fluent, error prone etc.

Level 2 - indicates fluency, flawlessness, something which has become natural to oneself

Level 3 - indicates mastery, expert level, higher levels of depth etc.

We have also consciously stayed away from branding the proficiency level like beginner, expert, master, and so on. In my experience such branding diverts the attention of the user to analysing and judging whether the words are correct. Further, such branding also has an element of value judgment attached to the words which makes an individual uncomfortable. We have thus refrained from using words which individuals can associate their skills in the most simple yet appropriate manner.

This is a very important article re-emphaising a significant trend which we have been noticing for years now and are seeing accelerate even further. The analysis is primarily from the prevailing scenario in the US. However, I feel there are points which have implications or are indicators of things happening and to come world over.

Some of the key points made in this artilce include:

- recession has accelerated the process of finding alternates to permanent jobs including automation, temping, outsourcing and so on

- "diminishing job security is also widening the gap between the highest- and lowest-paid workers

- "....26% of the US workforce had jobs that were in one way or another "nonstandard". That includes independent contractors, temps, part-times, and freelancers."

Read:

The Disposable Worker - from the Business Week

My comments:

The fact that we are in turbulent times when change is accelerating the changes in the engagement model between the employer and the employee. This phenomenon of temping is not new. It has always been there. Labour was hired during the harvest season (seasonal workers). I worked in a PSU and notice that 30% of the labour was on contract (this was twenty years back). However, what may be new is that the so called temping and alternate models of engagement are happening at skilled and managerial levels too. Well, maybe we thought these levels were permanent. It is not. Alternate modes of engagement will increase for many reasons. Only one of them is the recession or the consciousness to reduce costs of labour. The other reason is also the changing attitude of the individuals to the engagement patterns of the yester-years. Many are opting voluntarily and consciously out of the corporate permanent regimen which would then force the corporates to find alternate engagement models if they desire to engage this pool of talent.

Whichever way it may be - whether the alternate engagement models are a consequence of changing behaviour of human beings or is driven by the organisations due to economic necessities, one thing is clear - the individual will have to take responsibility for one's career. And this includes career from a holistic perspective i.e. what is expected from work, how one wants to manage ones life for now and the future and so on. The era of individualisation demands maturing of individuals to take responsibility for their selves.

The year is ending a lot better than what many of us had prepared for. We were expecting worse. Isn’t it? Thank you God!!

The year began inauspiciously with the mother of all corporate scams. We – shareholders, employees, believers in our great Indian corporate leadership - received a letter which shocked us all. The letter from Mr Raju left us all aghast. Riding the tiger and not knowing when to get off by Mr Raju damaged the lives of many and created a distrust of the corporate leadership. Fortunately, we saw one of the swiftest actions from our government in true PPP - private public participation mode.  The company was salvaged in time. Many predicted that there were similar skeletons in many a corporate cupboard and it was only a matter of time before they would come out. Thank God there were no more (a)satyams during the year as some were expecting.

In the last few months of the last year it was a few and then the numbers kept increasing. That is the lay offs in some form or the other.  Companies were laying off people left, right centre, across companies and within companies at junior levels, middle and senior levels (for once there was no discrimination). Bad news kept pouring. Bosses were sending off employees during the day and were in turn being sent off at the end of the day. The last quarter started getting better. We were back to newspapers enjoying the daily dose of “so-and-so will be hiring 150 in the next six months”  kind of news. Thank God hiring is back.

Around the middle of the year the nation sat glued watching all those TV channel beaming scores and latest tallies from across the country and experts and some overnight experts of all kinds.  The mornings started with the latest score as the headlines. Swine flu did what political leaders have forgotten to do – unite the nation. We all watched the latest score the victims of the flu and went into panic mode if a colleague sneezed. (He was lucky, he was sent off from office, granted paid time off). The Swine flu lost interest or energy somewhere in between and let us get back to watching political discussions from the medical ones – the former is what we are best at, next only to cricket of course. Everything else is an unwelcome distraction. Thank God swine flu flew away without much damage done.

Thank God we have a government. Yes, we have one. We were all prepared for many months of no government. We were prepared for a divided mandate. We were prepared to see flip flops in the sides our leaders would take. We were prepared to watch the trading of a different kind happening. Strange are the ways of God. None of this happened. We had a government within a few days of the elections. We were denied of the tragic comedy. We all felt so relieved that this happened. Thanks God the formation of government went off smoothly.

Thank God it was not one more year when we got numerous calls during the day from the banks pestering us take loans, credit cards, insurance and what not.  Good that the banks had run out of money or were not willing to part it. There was so much peace. (At times I did felt bad that I did not getting those calls. Lesser calls made me wonder at times if my value has come down. Self pride was hurt.) In general lesser of those calls was a relief.

Honestly it has been a lot more peaceful year than what it augured to be in the beginning. Thank God!!!

We do so many tasks during the day. In our job we are assigned projects that need to be carried out. We set out to plan for these projects and assignments. We prepare assuming things will happen they we plan. But more often things do not happen the way one plans. Good operations personnel understand this and have ways to overcome such unpredictable situations and deviation from the expected.

There was this colleague of mine who I worked with. He was a phenomenal guy in terms of making things happen. He had many behavioural traits which were his strength but then there is something I learnt and have tried to build in my own ways of working. It has helped. It could help others too.

The practice is of having backup or even better, backups.

We are talking of situations where we are doing the planning and not about those that we cannot or do not. Those situations are different from the ones we are considering. For example, one day we start to our office and take the route which we normal take to commute to the office but unusually we find that the traffic has got choked because of some accident. This situation is different. Take the case of something different. I am planning to go for an important customer presentation. I have worked for days and think I have made a world class presentation. I am really charged up to make the presentation to the customers. The morning started off well with nice cool breeze blowing. I walk into the room set my laptop. Suddenly the file would not open. Something has happened. I am fighting hard. The clock is ticking and my heart is beating fast and I am sweating badly. What was supposed to be an exciting day has turned out to be a nightmare.

What could have been done? I believe that I should have taken some kind of backup to carry my presentation. I could have carried the presentation in a pen drive or could have sent it the day before to a colleague to carry it with him or cut into a CD. Maybe it would have eased the whole thing.

 There are many instances in different areas such things do happen. Order from one customer is delayed. Approval which was expected to come has not. Material which should have arrived has not. Sample test which was expected to come has not come. Budget approval has not come for 100% of what was expected; only 90% of what was expected has been approved.

This happens often, sometimes on small and sometimes on large scale, sometimes at minor level and sometimes as highly significant level. Planning is not just about expecting things to happen the way we expect or want it to but to plan for contingency. What if? Let’s prepare ourselves thinking not just “Yes, it will happen” but also “What if it does not happen the way it should”. In one sense, i.e. psychologically this acts as a shock absorber in case we hit a road bump. Since we have factored the “what if”, we are not caught unawares when something untoward happened. Thus it helps us face the situation better. In another sense, i.e. practically this ensures that things move on. We after all have a backup to take care of the situation. Of course how many backups can we have? No hard and fast rule. But I would give a thumb rule of three. Think of two alternatives to “what if”.

Adapting to something unforeseen is being smart. Planning with assumptions that something will not happen the way it should is being smarter.

Lets get smarter. Lets have backup.