I regularly receive the annual reports of some of the public listed companies, but I never bothered to go through any of them till date as i get bored after skimming through the first few pages.
Today i found the annual report of Infosys (2010 – 2011) in my home and decided to read through as it looked very colorful with lot of photos. I realized after going through few pages that is indeed special as Infosys completed thirty years of its journey as a company.
There is a wonderful “Goodbye” note by Narayana Murthy who stepped off from the post of Chairman very recently. Though i am sure it would be available in net and i can cut and copy here some of the beautiful quotes, i decided to type it myself in this blog on the hope that i would remember at least few of the great quotes from NRN.
Though i am not sure to what extent the views of the leader has percolated at all levels in Infosys, I still recommend all of you to go through the below quotes by NRN on various aspects like leadership, strategy, employees, Customers, differentiation etc
“Innovation is the best instrument for creating Sustained differentiation. It is very important for a leader to focus on innovation, particularly when the times are good”
“Strategy is about ensuring sustained differentiation in a changing environment for better net income margins. The best measure of differentiation is per-capita free cash flow generated”
“…thanks to our PSPD mode of our operation. PSPD stands for Predictability of revenues, Sustainability of Predictable revenues, Profitability of realized revenues and De-risking. “
“The factors that differentiate a corporation from its competitors are an enduring value system, a pluralistic and meritocratic approach and practicing speed, imagination and excellence in execution. Leaders have to focus on creating such environment”
“Leadership is about taking bold and firm decisions with incomplete information in an environment of uncertainty. Use as much as data and modeling as possible to eliminate clearly bad decisions”
“Generosity is an essential part of leader. It is the foundation on which team work is built. The ability to share limelight with one’s colleague, the ability to step aside and give opportunity to younger people when they want fame, power and glory and the ability to provide a safety net of advice for them is an important aspect of strengthening the future of an Organization”
“Scalability is the true test of the endurance of an Organization. The ability to grow successfully without losing quality, productivity, employee, investor and customer satisfaction and the spirit of the small company is what makes Infosys a great company”
“The differentiation comes from ideas and ideas come from bright minds. Therefore good people are primary assets of a great organization”
“Many intelligent people possess a high ego and low patience to deal with people less capable than themselves. Leaders have to manage these anomalies very carefully, counsel the errant people from time to time and allow them to operate as long as they don’t become dysfunctional and start harming the organization. If they do cross the threshold, it takes courage to inform the individuals that their time in the organization is over and that they have to leave”
“Leadership by example is what creates trust in people to follow a leader. As long as a leader is able to show his or her sacrifice and commitment to a cause, others will follow him or her”
“A sense of ownership among employees is extremely important to build a long term future for a corporation. Such ownership comes from fair, merit based and generous sharing of wealth and perquisites among each member of the company. I do not know any Indian Company that has given away as much as Rs 50,000 Crore of stock options to employees”
“Every leader must have a mental model of his or her business with at best five of seven parameters that determine the sensitivity to revenue and net income. It is important to update the mode suitably when the landscape changes. Any leader who cannot quickly do such sensitivity calculation would not be able to take quick and bold decisions”
‘Customers put food on our table. Therefore we have to be laser focus on exceeding their expectations, being open and honest with them and ensuring they look good in front of their customers”
“Leaders have to create an environment of openness, meritocracy, fairness, transparency, honesty and accountability amongst the employees”
“Our failures are because of lack of commitment to our cause, our inability to accept meritocracy and our indifference to honesty and want of a good work ethic amongst our leaders”
‘The crucial things we have to do in future are : recognize our weakness, be open minded about learning from people better than us; learn from our mistakes and not repeat them, be humble honest and courteous, benchmark with every dimension; use innovation to perform at global levels; and create an worthwhile vision and improve every day.”