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Columns - Swati CA


Bhai ladai can put the business in hot kadahi

Story so far: While investigating the reason for the unusual flux in the production department, I realise that the culprit was the negative vibe caused by some of the senior employees there. They seemed to harbour malice towards the company and were losing no time in brainwashing new recruits.

Episode 99

It was a few weeks ago that I had raised the question that haunts many a promising organisation: Why do some senior employees become so negative towards the organisation, and indulge in brainwashing new recruits?

"Hi Swati," writes Mamata Hardikar. "Time is ripe for the organisation to look within and take a fresh look at its policies. Also check why and when these people turned so negative towards the organisation. What is HR doing about counselling them? For, this may not be their only outlet! Is the organisation sending the right signals to all its employees about all its policies? Are individual values being allowed to overtake organisational values?

I believe that employees are inherently good and do not want to knowingly hurt the organisation's interest. The organisation needs to address and nurture their needs, make them wanted so that they `belong'. Some incorrigible types, such as the ones mentioned in the story, need to be dealt with separately and such examples cannot be generalised." Let me alert my sleepy HR immediately!

"Dear Swati, you know what used to happen in the past? The majority of employees, once they settle down in a job, will continue till retirement," writes M. Radhakrishnan. "Therefore, commitment towards the company was high and they used to feel proud of working for the organisation. They always spread good words about the company. However, the present trend is entirely different, with detrimental policies on retrenchment and hire-and-fire.

"The management no longer awards employees for their seniority or continuity. Everything is purely performance-based. In this changing phase, people who are affected are the ones in the age group above 45. Their job is always under threat from junior ranks. In the name of cost cutting, the management baulks from paying high for a senior person when it is possible to get the same job from a junior person with a lower pay. Further, after forty-five their chances for change of job are reduced, unless they are professionals.

"Therefore, with this kind of pressure, senior employees, by keeping turnover high at the junior levels, feel secure about their jobs. Another reason could be that senior employees feel that the juniors are more knowledgeable and capable; and that could undermine the importance of the seniors. These factors force senior employees to spread bad rumours about the company, which will make the junior employees flee." Quite a detailed analysis, that is.

"Hi Swati, seniors indulging in brainwashing new recruits is quite common," writes S. Sajith Kumar of Federal Bank. "I was an engineer in a leading architect's firm. There, I found so many seniors doing the same to me. Now, in the banking sector, the situation is not too different. I think one should learn to ignore the comments and advice from these so-called well-wishers." Practical advice.

It is heartening that there is a mail from Fiona Cleary, London. She is a researcher for BBC Television Current Affairs, and writes: "I was reading online the article `Manufacturing spurious drugs is equivalent to mass murder' dated September 8, 2003, and found it very interesting. I am currently researching a documentary on the global problem of counterfeit pharmaceuticals." Well, Fiona's work assumes importance in the wake of the possible default in introducing a product patent regime by January 1, 2005.

As news reports indicate, there are over 4,500 applications currently posted by various pharmaceutical companies in the `mail box' facility. If you didn't know, such applications are for product patents of drugs, agro-chemicals and food products discovered during 1995-2004; and any patent granted will be effective for 20 years from the date of application. Now, it is feared that beneficiaries of Mail Box patent filings may not have the right to prosecute retrospectively for patent infringement.

Another mail from M. Radhakrishnan is about escape of confidential information from companies. "You may be shocked to know that the success of a major conglomerate which has grown by leaps and bounds in the last two decades is because it gets the weekly production report of its competitor before it gets their own production report. Therefore, the main focus for companies these days is to protect confidential information.

"In a professional company, such as an MNC, protection of information is difficult, but not so in family-run organisations where trusted people who are loyal to the management are appointed for important posts. In my previous organisation there was a separate person (few knew) who tapped and recorded the phone calls received by the company to check passing of information about the company. To restrict unauthorised entry, this organisation has upgraded to fingerprint recognition. For companies that get business through tenders, safeguarding the details assumes more importance.

"Information leak happens through secretaries, drivers, administration personnel and so on. Therefore, the top management should be capable of handling small issues themselves when dealing with important decisions. Correspondence for confidential information should be handled personally. Tickets can be booked through a different agency. Better not converse important matters on mobile during travel. I would prefer to be aggressive in getting the information from my competitor rather defending myself from rivals."

Wonder what info you have about me!

Family problem

One day, pushed by traffic, I was managing to move at creeping speed at the edge of the road, when there was this parked car blocking the way. I noticed a mechanic working underneath and yelled at him, "You could rather lie in the middle of the road!" A smiling face emerged from below the chassis to ask, "Memsahib, how are you!" Oh, it was Vicky, the taxi-driver who had helped me years back during one of the troubled phases. "Hey, you!" I exclaimed, and pulled over for a chat.

"I'm no longer driving taxis for a living," he said. "Started this travels business, you see," he pointed to the name board. "That's good, Vicky," I said. But he seemed cheerless. "You know, I was happier earlier." I asked, "You're an entrepreneur. Your own boss!" He nodded tentatively and said, "Memsahib, business is good. Clients are happy. Yet my sleep has gone." I suspected if it was some love problem that was haunting his mind, but my guess was wrong. "My brother Balbir who joined me as partner is insisting on splitting the shop. He is so much in a hurry, but I want to grow the business first. As a result, bhai ladai is putting our travel business in a hot kadahi," fretted Vicky, gesticulating a fry pan.

Why do good businesses flounder on the egos of siblings, I wondered? Send in your thoughts by Friday.

Swati_CA@hotmail.com

For archived episodes of this column click on: htpp://www.thehindubusinessline.com/nic/swati/index.htm

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