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Executive Interviews: Interview with Jittu Singh on Global Economy and Global Managers
October 2008
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By Dr. Nagendra V Chowdary
Dr.Jittu Singh Tata Steel Chair Professor of Organizational Development, XLRI. 
The current business lexicon
consists of competitive advantage/
edge, strategic positioning, core
competencies, value chain, value nets, value creation and value
migration, shareholder activism,
corporate governance, corporate
social responsibility, blue ocean
strategy, etc. What do you think
would be, rather should be, the new
business lexicon?
The purpose of all communication
should be to express not impress.
Unfortunately, however, we seem to
be more interested in impressing.
Therefore, we end up inventing fancy
terms to disguise simple ideas. The
sample terms you mentioned are of
that genre. If ideas are expressed in simpler
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terms, they will be understood more readily and perhaps be acted upon. Corporate R&D labs used to be the
key for companies to create
competitive advantage. But in the
21st century, innovation is moving
out of the lab and across the globe.
Research indicates that a real source
of competitive advantage is skill in
managing innovation partnerships.
For instance, Boeing's unique assets
and skills are increasingly tied to the
way the firm orchestrates manages,
and coordinates its network of
hundreds of global partners.
Innovation is increasingly driven
through collaborative teams due to
product complexity, availability of
low cost but highly skilled labor
pool and advances in development
tools. At a macro level, what's
driving this trend? Is this going to be
a competitive necessity or a
competitive choice? What are the
advantages to companies that do it
well?
R&D has become an extremely
expensive activity. To make things
worse, the lab to market lead time
also seems to have increased. As a
result, companies are finding it very
risky to undertake 'big bang' research
on their own. I foresee more attempts to form
consortia of like-minded companies
who together will undertake research
of mutual benefit. This will spread
the cost, and risks, of R&D among
them thereby lowering the burden
on each of them. Another option that companies may
prefer is partial funding of research at
premier academic or research
institutions. This way, they will not
have to invest in the manpower and
hardware necessary for research. What do you think are the
critical principles that the companies
should follow to form and manage
successful collaboration programs?
Are there any best practices from
any company?
I tend to agree with critics who
maintain that business schools have
not evolved to meet the needs of our
times. They seem to cling to an
outdated syllabus, teach esoteric
models that have little semblance to
market realities, overemphasize
analysis at the cost of initiative and
leadership skills, glamorize shortterm
financial results ignoring larger
societal and ethical issues. The first and foremost purpose of a
business school, as of any
educational institution, should be to
develop a good, all rounded human
being capable of acting as a model
citizen either in civil society or in
the corporate world. It must also
impart to them the knowledge and
skills necessary to build and lead
organizations that enrich all of
society not just a small group of
individuals. Their students should
come out with the versatility and
leadership skills to build the
enduring and great organizations of
the future.
1.
Videocon: Going Global Case Study
2. ICMR
Case Collection
3.
Case Study Volumes
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The Interview was conducted by Dr. Nagendra V Chowdary, Consulting Editor, Effective
Executive and Dean, IBSCDC, Hyderabad. This Interview was originally published in Effective Executive, IUP, October 2008. Copyright © October 2008, IBSCDC
No part of this publication may be copied, reproduced or distributed, stored in a retrieval
system, used in a spreadsheet, or transmitted in any form or medium electronic,
mechanical, photocopying, recording, or otherwise without the permission of IBSCDC. |
