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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
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Schwing Stetter is a leader in the
manufacture of ready-mix concrete
equipments. Schwing Stetter is
always with the new projects and
expansion plans. Very recently in
December 2008, you had launched
new concrete pump with greater
operational efficiency and reliability.
This was done keeping in view the
economic downturn and having a
very optimistic mindset. You are also
lined up with some more expansion
plans for the near future. What is
your say in the present pessimistic
scenario of conducting business?
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We are an extremely focused
company, manufacturing and
supplying equipment related to the
concrete industry. Going by
international standards, India still
has a long way to go,where per capita
cement consumption, per capita
concrete consumption or even the
quantity of cement that goes through
to RMC is concerned. But we are
more than convinced that this
slowdown is only temporary and
will not continue for long. Close on the heels of economic
downturn and financial irregularities
that surfaced in the recent past which
weakened the morale of various
stakeholders and customers, what
would be your message as the MD of
a global company to the stakeholders
and customers? How can the
confidence and trust be regained and
reassured?
This sudden meltdown has really
taught us a few important lessons. I
would say that this has served to
make not only the employer a lot
more prudent and wise, but also
made people from all walks of life –
employees, customers, shopkeepers,
parents, students, investors, entrepreneurs, bankers – tighten their
belts and act more cautiously. When
the going was good, everyone was on
a splurging spree and many actions
were unrealistic and impulsive, at a
pace that was not natural. This was
seen in various cases, be it in
individual investments, corporate
expansion plans, stock prices,
recruitments, salaries or even real
estate prices, amongst others. After
this meltdown, many companies are
struggling to keep up their
commitments and have adopted the
policy of simply axing jobs without
any sentiments attached. The current
downturn is a good lesson for all of
us to be more careful and to evaluate
our actions and decisions carefully,
be in terms of business or personal
life. What is your opinion on the role
of the Government in bailing out the
Indian Economy in this troubled
times?
As Dr. Montek Singh Ahluwalia said,
there is no point in crying over spilt
milk. At this time, the government
should come forward and
concentrate on implementing
infrastructure projects and award
fresh contracts and projects, which
will make India bounce back faster. Please enumerate some specific
and critical challenges a person like
you face at this moment in your
professional endeavour? How do you
plan tomanage it?What do you think
are the success mantras to be kept in
mind by the top management of the
competing companies at this
juncture?
The biggest challenges today are:
l To keep the employee morale high.
Every employee is aware of the
drastic reduction in production and
revenues of their respective
companies. Rumors of layoffs and
salary cuts in their neighborhood
companies are adding to their anxiety.
To keep the employee motivation
under such conditions is a big
challenge.
l To improve liquidity is the next
challenge. All previously earned
funds have been re-ploughed into the
business because of the greed to grow.
The finance managers have to work
overtime with banks to make both
ends meet. l To have a tight control on
inventory, cost control and cost
reduction.
We are working on all these areas for
improvement.
1.
Troubled Times Case Study
2. ICMR
Case Collection
3.
Case Study Volumes
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