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Executive Interviews: Interview with Anand Sundaresan on Managing Troubled Times
March 2009
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By Dr. Nagendra V Chowdary
In the present scenario, how
difficult has it become for
manufacturing industry to raise
working capital finance? In view of
the all round reduction in demands
which directly affect a company’s
cash flow, how do you think
companies can keep their financial
commitments?
It is indeed a significant challenge for
the industry to raise working capital.
The fact is that banks and NBFCs are
not refusing to finance companies
with good track records. However,
they are not open to financing the end
customers, which severely affects the
cash flow, especially in the
construction equipment industry.
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Over 70% of the equipment is
financed by either banks or NBFCs
and in the present situation, these
institutions have started adopting a
lot more caution in choosing their
clients. It is also understood that
NBFCs themselves have severe cash
crunch. Under such circumstances it
is better to have lesser sale than
having more debtors and creditors.
This has to be balanced very carefully. You are the recipient of an award
for your outstanding contribution to
the manufacturing industry. Do you
think now is the right time for the
youth to take up any entrepreneurial
venture on their own? Do you think
any kind of entrepreneurial
orientation will help youth to
channelize them in the right
direction?
I received the Rashtria Ekta award for
the outstanding contribution to the
construction industry. Personally, I
would suggest that one should not
initiate a new venture at least for the
next two years, unless he has
significant financial backing and
sustaining power. Having said that,
there is no right time or wrong time to
start a new venture. If the choice of
product, approach and attitude is
right, anybody can be successful at
any time. One should not blindly
follow any other person’s success or
successful product. Instead, it is
better to create a niche for oneself
rather than jumping on the
bandwagon of successful industries
or products, especially where there
are many players. You know there are large numbers
of students passing out from various
business schools every year aspiring
for a bright future ahead. Suggest
some strategies which management
students can adopt to benefit from or
position themselves in the global
market.
I have observed that many
management students, especially in
India, are more keen on getting into
highly-paid jobs once they complete
their studies. In fact, the emphasis
that is laid on this often by the
management schools and media is
such that it becomes all-important to
get a highly-paid job rather than
pursuing a career of their choice.
There are many examples of
individuals giving up their highly
paid jobs, or being unsuccessful, due
to lack of job satisfaction. The
management graduates should spend
a lot more time in deciding what they
want to achieve in their life and take
up a job of their liking and interest,
irrespective of the remuneration.
Once they gain experience in their
chosen field for at least 4-5 years, they
can then work towards their own
goals.Money is a key factor, but career
and job satisfaction should come first.
1.
Troubled Times Case Study
2. ICMR
Case Collection
3.
Case Study Volumes
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The interview was conducted by Dr. Latha Ramachandran, Professor,
The IBS Mumbai. This interview was originally published in Effective Executive, IUP, March 2009. Copyright © March 2009, IBSCDC
No part of this publication may be copied, reproduced or distributed, stored in a
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