1. Growth acceleration workshop Subba Iyer

5. Our dialog: “ Dialogue is a stream of meaning flowing among and through us, out of which will emerge some new understanding. It’s something new, which may not have been in the starting point at all. It is something creative. And the shared meaning is the ‘glue’ or ‘cement’ that holds people and societies together.” - Dr. David Bohm

6. The only question: When you hear an idea, thought or argument in this workshop that is different from whatever you thought or believed until now, are you willing to hold it in your mind for the duration of this course, without rejecting it; to examine it, reflect on it with an open mind, seek clarification and express your own opinion about it in the class?

8. How much should you grow?

10. Accounting way to look at the business Sales Costs Operating Profit (EBIT) Depreciation / Amortization Pre-tax profit EBT Interest EBITDA Cash flow Tax Dividends Retained profit     

11. What is shareholder value? Share holder value = Corporate value - debt Corporate value = Future cash flows Discounted at the weighted average cost of capital Cash Cash WACC Revenues Cash profit Tax Fixed assets Working capital Cost of equity Cost of debt Capital structure Risk

12. Free cash flow EBITDA Working capital Fixed capital Tax Interest Dividends Share buy back New equity Free cash flow Cash flow after Changes in financing        Profit is an opinion Cash is a fact .

13. Are you just growing or are you rich? 3850 Revenue 3196 Costs 1303 Current Assets 377 Current liab 654 PBIT 236 Taxes 2028 Fixed assets 926 Working cap 418 NOPAT 2954 Ave assets 365 Cap charge 8.1% WACC 52 SVA      Sample illustration: Share holder value added calculation 

15. Now, look at your business and analyze The financials are over..let’s change the thinking hat..!!!

16. Growth success formula THOUGHT ATTENTION LEADERSHIP INTENSITY TIME, RESOURCE COMMITMENTS     Give Capability and Capacity building As much importance as Doing sales and Doing your favorite / Expert activity

17. Branches of the growth tree Type, segment Place, geography Time/occasion Value Variety Service Best practice transfer Process reengineering Smarts Organization effectiveness People capabilities Culture Customer growth Value per Cust growth Learning rate Pace of execution Contributed Value growth Productivity growth Profitable Business growth Value Creation Productivity Many aids exist to provide a path if you wish !

18. Situational leadership model Participating / Supporting Selling / Coaching Delegating / Empowering Telling / Directing Task Behaviors Low High High

21. Team readiness matrix WILLINGNESS A B I L I T Y L1- Unable & Unwilling L2- Willing but Unable L3- Able but not Willing L4- Able and Willing

22. Situational leadership R4 R3 R2 R1 Turn over responsibility for decisions and executing Find out why the reluctance. Share ideas and help in decision making Explain your decisions and provide opportunity for clarification Provide specific instructions and closely supervise performance Able and willing or confident Able but unwilling or insecure Unable but willing or confident Unable and unwilling or insecure Follower Directed Leader Directed How to do it …… Follower Readiness Leader Behavior S4 S3 S2 S1 Delegating Observing Monitoring Fulfilling Understanding Encouraging Collaborating Committing Training Explaining Clarifying Monitoring Telling Guiding Directing Establishing

25. The core belief Never underestimate the enemy. Respect him, but equally always remember, regardless of the odd, team to team, yours is better. If there is any doubt in your mind in regard to this previous sentence, you had better start training harder, or hand over your command. (source: Australian Army Leadership Manual 1994)

30. The growth trajectory Growth options Linear Gradual Incremental Rear-view Non-linear Unreasonable Breakthrough Forward view Promise of the probable Promise of the possible  

31. Think different! “ Here's to the crazy ones, the misfits, the rebels, the troublemakers, the round pegs in the square holes... the ones who see things differently -- they're not fond of rules... You can quote them, disagree with them, glorify or vilify them, but the only thing you can't do is ignore them because they change things... they push the human race forward, and while some may see them as the crazy ones, we see genius, because the ones who are crazy enough to think that they can change the world, are the ones who do.”

32. 25 words that changed a nation’s history There are risks and costs to a program of action. But they are far less than the long range risks and costs of uncomfortable inaction -- J F Kennedy

36. Strategic thinking

37. Importance of time frames History Weeks Months Years Days NOW Operational Tactical Strategic Tell me where you spend your time and I will tell you the health of your business. 

38. From mindset to strategy options Growth options Linear Gradual Incremental Rear-view Non-linear Unreasonable Breakthrough Forward view Promise of the probable Promise of the possible   Strategy of probability Strategy of possibility

41. Mini Exercise: Your exit zone

43. Deming’s contribution: Frame the problem Why? Why? Why? Why? Why? Why? Root cause Why? Why? Why? Why? Why? Why? Root cause Why? Why? Why? Why? Why? Why? Root cause Why? Why? Why? Why? Why? Why? Root cause

45. Exercise: Reverse the truth: The Truth Reverse the Truth We need more customers How can we make more money by having fewer customers? We need more staff to expand our business How can we serve more clients with having the same staff or lesser staff? We don’t have enough time to get everything done How can we do more in less time while working less? Our competitors are forcing us to lower prices How can we gain more business by raising prices? The customer is always right The customer is often wrong; how can we turn that into an opportunity?

46. We have to lower prices to get higher market share How can we use higher price position to attract better clients? Our customers want greater selection How can we profit by having a limited selection of exlcusive products? Our support costs are driving us crazy How can we turn support into a profit centre? It takes too long to build a brand How can we use our Brand -X status to build faster name recognition? ???? ???? ???? ????? ??? !!! !!!!! !!!!! !!!!! !!!! !!!!!!!!!!!!! !!!!!!!!! !!!!!!!! !!!! The Truth Reverse the Truth

47. Execution

48. Execution If companies were to become highly skilled at execution and realize the full potential of their current strategies, the increase in performance would be nearly 60% on average. … The elements of Dell business model are no secret.. So why haven’t other companies been able to copy your model? “ Because it takes more than strategy. It take years of consistent execution for a company to achieve a sustainable competitive advantage.” -- Michael Dell in HBR

50. Simple sauce to guarantee execution Accountability Set standards by personal example and peer pressure. No whining zone If you are not part of the solution, you are the problem Agreement Agreement is sacred and we shall honor it. Regular tracking In God we trust, the rest we track Reward the doers The Roman reward system

51. Effective mechanisms Do less than other people -- just once Most people do it thrice --anticipation, actuality and rumination. Sacrifice is a commitment Dump the insignificant things Manage your time Do things that will have the biggest impact relative to what you are striving for! Pain is given But, suffering is optional Seek excellence Perfection comes as a side effect