Jugaad Innovation - Jugaad King

To compete with the dawning age of Scarcity corporate leaders will have to make some necessary changes in the way they think, the way their management thinks and the way their systems work. Some of the necessary steps that the leaders can take could be as mentioned. Tie Senior Management’s Compensation to Frugal Performance The senior management’s compensation should be linked to how frugal they can think. Florida Ice & Farm Co., a large food and beverage producer and distributor in Costa Rica developed and set the Balanced Scorecard to track how the company was reducing its consumption of natural resources. R&D Should be Challenged to Do More with Less To keep the huge R&D funding in control and to make sure that the engineers are not over doing it, it is best to budget the R&D and asking it do more with less. After visiting Russia, French carmaker Renault’s CEO Louis Schweitzer challenged his R&D team to make a car which costs less than Euro 6000 as that was...

O.P. Bhatt State Bank of India (SBI) is India’s largest and oldest bank with 2 Lakhs employees and 20,000 branches across India. Appointed in 2006, O.P. Bhatt former chairman of the bank was aware of the immense creative potential of SBI’s large employee base and was eager to find ways to unleash it. Dr. Prasad Kaipa The problem faced by him was, since SBI is partially owned by the Government of India, which in turn is run by risk-averse bureaucrats who vet every hiring and firing decisions. As Dr. Prasad Kaipa, a CEO coach who has advised Bhatt, points out “it was clear to Bhatt from the start that he could neither ‘get the right people on the bus not get the wrong people off the bus”. Rather than feeling that his glass was half empty, he decided to do the most with what he has. He used his superior communication skill to develop an internal communication targeted towards staff. He wanted his employees to feel proud of SBI’s distinguished 200 year old history. It was done...