May 2008/ 011

Editorial
We are rather fortunate to have Mr Siddharth Bagri
as our Director... and more so as he has a nurturing
style of dealing with situations. This is one reason
why BIFM is galloping along the profit graph.
Let me quote from a book that I have recently been
reading 'The Economic Naturalist. Why economics
explains almost everything' by Robert H Frank which
has an interesting section on the economics of praise
An interview with Mr within an organization. Praising nurturing managers
Siddharth Bagri who are quick to praise and slow to criticize, the
writer gives the following explanation: "The
Director explanation involves a statistical phenomenon --
regression to the mean. Employees do not perform
BIFM to the same standard all the time. some weeks they
perform above their average, other weeks below.
Irrespective of the managerial feedback she receives,
an employee who performs below her standard in
one week is likely to improve -- have a more nearly

“ ...everyone from BIFM

must contribute articles,
thoughts, and concepts
normal performance -- the next. Conversely, an
employee who performs above her standard one
week is likely to fall back a bit the next, whether her
manager praises her or not.
The upshot is that managers who are highly critical
that will help us all get of employees following a sub-par performance may
better… and closer! misattribute the improved subsequent
performance (which would have occurred anyway)
Remember, teamwork and to their tough feedback. Conversely, managers who
progress go hand-in-hand.
”
praise their employees following superior
performances may misinterpret the subsequent
declines (which also would have occurred anyway)
to their lenient management style.
Turn to Page 2 for the full text of the interview. Experiments suggest that a nurturing managerial
style is more likely to elicit a good performance
from employees than a highly critical style.”
Wishing you all a happy reading.

“Never believe what the lines of your hand predict about your future because people who do not
have hands also have a future... believe in yourself!” (Contributed by Kanika Relhan)

The Learner A small newsletter that reads big!

 An interview with Mr
Siddharth Bagri
Director
BIFM
Q. BIFM is the leader in financial education today.
BIFM defines organizational success. What do
we, as individuals, learn from this?
Siddharth Bagri: Tenzin Gyatso, the 14th Dalai Lama
has said: "Dangerous consequences will follow when
politicians and rulers forget moral principles. Whether
we believe in God or karma, ethics is the foundation of
every religion." For BIFM as an organization, students'
success is similar to religion. From delivery
mechanism of content to involved placements,
our evolution has been because of ethics and
principles.
This is what we as individuals must try to understand
and follow. Simple.
Q. Does this also point to an able handling of
situations?
SB: That's true. Organizations grow as they realize
their potential and focus on it. The same is true for
individuals. My mantra is 'Unfold your potential'.
Q. Unfolding potential may be easy for you. We
want you to share this secret with all of us.
SB: Actualizing potential needs you to engage yourself
in challenging activities. Let me explain this with an
example. If you wish to develop your biceps you need
to lift increasingly heavier weights to make your hidden
muscle potential express itself. But if you say: 'How can
I lift weights unless I have strength in my muscle?'… you
are denying this opportunity to have an enviable body.
What is implied is that you must invite challenges to
develop your potential. More is better! No risk
means no hope for growth. So you simply have to
think new all the time, accept new challenges, and be
on your way to a powerful growth graph.
Q. What should be the philosophy of the new-age
work culture?
SB: We must all be highly inspired towards the goals of
The key to successful leadership today is influence, not authority. (Kenneth Blanchard)
Inventories can be managed, but people must be led. (H. Ross Perot)
The Learner A small newsletter that reads big!
the organization. This can only happen if we are clear
about what the goals are. Clear goals are vital for a
healthy work culture. Goal clarity makes the
organization smart. It becomes an intelligent
organization. Obviously, everyone is contributing
to its success. There is a well-defined objective, and
there is a healthy flow of communication from the top
to the bottom and from the bottom to the top.
Questions, queries, and doubts are shared and the best
solutions sought together. This is what makes an
organization intelligent. The opposite of this will simply
be too manipulative and inappreciable.
Q. So synergy is what teamwork is all about?
SB: Yes. Synergy… and we must also understand what
negergy is. Synergy can be created only by a group of
truly self-organised individuals each of whom can
contribute uniquely to the whole enterprise. Not
feeling a part of the team creates negergy! Remember
what Michael Jordan said: 'Talent wins games, but
teamwork and intelligence wins championships.'
Success is always a coordinated effort of various
talents, people, disciplines, and thought processes. We
must make efforts to promote harmony around us…
this is one element that creates the right platform for
profitable progression. And anyway, teamwork is no
accident. It is the by-product of good leadership.
This is why BIFM is the acknowledged leader in
financial education today.
Q. We have discussed the merits of team-work as
well as the vital role of individuals in making an
organization intelligent. Our readers will surely
appreciate a 'work-mantra' from you.
SB: Succes Mantra is to perform with a vision that the
company has and work hard with honesty and
sincerity.
Q. What do you have to say about 'The Learner'?
SB: Hmmm… everyone from BIFM must contribute
articles, thoughts, and concepts that will help us all get
better… and closer! Remember, teamwork and
progress go hand-in-hand.
(Interviewed by Arvind Passey)
 WE-ness is Social Leadership
The first responsibility of a leader is to define reality. The reality of the social conditions that exist. As John
Kenneth Galbraith remarked: “All of the great leaders have had one characteristic in common: it was the
willingness to confront unequivocally the major anxiety of their people in their time. This, and not much
else, is the essence of leadership.” A good leader can be a catalyst for motivation in the short term, but the
best leaders create conditions for society to motivate itself.

Leaders inspire communities to accomplish tasks that assist a positive evolution. Charismatic leaders, who
can be effective in the short term, must necessarily sustain this intrinsic motivation indefinitely.

What makes us do what we do?

Why did you help that old man cross the road the other day?
Why did you volunteer for the blood donation camp?
Many such questions arise in our minds. Each day brings with it an endless list of decisions to be made.
Decisions are driven, in large part, by the hope of a benefit or fear of a consequence.

Every decision we make is filtered through this process. Our needs for sustenance, security, belonging,
recognition, and a sense of growth and achievement becomes a strong driver or a motivator of behavior.

Social leadership is about making qualitative changes at the level of behavior leading to a synergistic
relationship between individuals and the society. In organizations, real power and energy is generated
through such relationships. The patterns of relationships and the capacities to form them are more
important than tasks, functions, roles, and positions.

Social groups, whose members are aligned with its purpose, feel a challenge in their task, have a strong
sense of solidarity, feel a responsibility towards the outcome, and experience growth as a group. In their
personal lives too, members sustain these ...an article on touching
challenges byhuman concern!
trying to achieve their self-esteem and social
responsibility with earnest commitment. Social leadership is all about promoting ‘we-ness’.

In conclusion, social leadership is about caring for people and the social structure.

What you always do before you make a decision

is consult. The best public policy is made when
you are listening to people who are going to be
impacted. Then, once policy is determined, you
call on them to help you sell it.
(Elizabeth Dole)

Arvind Passey
Corporate Communications
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[ Truth needs words just as much as it needs silence ]
[ Communication is the death of distance! ]