- Published: November 14, 2021
- Updated: November 14, 2021
- University / College: University of Iowa
- Language: English
- Downloads: 36
In my opinion, Silvio performance has both positive and negative concerns. There are several reasons why I think so.
From a positive stand point, he made deliberate choices in selecting his team and looked for very important characteristic to compatible with his organization. As Silvio is generalist, the selection of experienced manager with a background in India was extremely needed. First of all, he chose Mehar Karan Singh as a role of Managing Director who has firsthand experience in building an organization from scratch. This is good opportunity for Schindler to set up in India. Secondly, Silvio chose Matthew who had worked for nine years at Otis India. So it can complement his business plan. Next, Silvio hired Ronnie who had 24 years of engineering experience at Otis. Then Silvio selected Pankaj as front line HR manager to develop a first class organization. Last but not least, Silvio recruited Jujudan as his Chief Financial Officer. Armed with this team, Silvio would know more in depth in India market situation and how to contact with India business organization to implement business plan. Moreover, he made staff meeting with all members to develop trust among others. This allows the different management styles and personal characteristics of team members became clear and could be an effective team.
On a negative point of view, he should not have relocated to India with his wife and two young children. The better option should be he should call his family when he established his company well in India. So that he can reduce spending time for arranging relocation and can give more time on his job. There was so much time losing because of his family accident: his daughter forehead wound, his wife infectious food poisoning, his son fell in hotel room. This time could be dedicated to working at the company. Timing is very important in start-up business.
He should propose a revised plan and make self reflection because his business plan did not succeed. His plan was to make a core standardized product with no allowance for customization. This plan was based on their previous expansion plan and learning of Swat project. This is historically different from Indian counterparts. According to exhibit 6, Indian people focus on price or service not on safety and technology.
Sot that my suggestion is to reevaluate Schindler India business plan. They should make flexibility business plan. For instance, they should meet the need of the domestic market as best as possible while Silvio model was ensuring business through low cost. Moreover, India and European part should be more cooperated each other because there is delay in Engineering support from Schindler European plant. Last but not least he should realize the power and role of interpersonal relationship difference between India and Switzerland. His culture is characteristic of Swiss business orientation can be seen through his decision. This is quite different from India culture as Indian mangers who want to develop interpersonal relationship. The warrior management style that Silvio was familiar was not compatible with Indian business environment.