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INTERVIEW OF AN ENTREPRENEUR
Submitted to: Dr. Arya Kumar
Roll No : 10
...................................................... 11 ................................................................................................................................................................... 5 Analysis of the Entrepreneur .................................................................................... 4 Interview with The Entrepreneur .....................................................................................TABLE OF CONTENTS Brief Profile of the Entrepreneur ................................................................................................................................................................................... 3 Profile of Entrepreneurial Venture ...
with the name Avartan Technologies Private Limited . Santosh Rane. It was this zeal. He eventually went on to become a Mechanical Engineer from the prestigious Walchand College of Engineering. This enterprising nature of doing odd jobs or businesses saw him and his family sail through the tough days of their lives. .E (Mechanical) from Walchand College of Engineering 1991 Diploma in Management Studies from Mumbai University 1999 Work Experience: Herdillia Chemicals 1991 to 1995 NOCIL 1995 to 2002 Larsen & Toubro Infotech 2002 to 2005 Hexaware Technologies 2005 to 2008 Avartan Technologies Pvt. his father had to take up low paying job that barely met their family s needs. along with his ex-colleague from Hexaware Technologies Ltd.BRIEF PROFILE OF THE ENTREPRENEUR Name: Mr. started this formal entrepreneurial venture in the year December 2008. enterprising nature and the belief that Nothing can be worse than what I have been through has eventually turned him into an entrepreneur.. Mr. comes from a very humble family consisting of his parents and two younger sisters. During his school days. Santosh Jayawant Rane Age: 40 years Education: B. Santosh s father lost his job as the company shut down its operations when he had just completed his 10th standard. Ltd. It was the job that he got after his engineering that changed the condition of his family for good. Santosh Rane. Santosh had a knack of doing business by selling ballpen refills and earn his pocket money. Entrepreneurial Venture 2008 till date Mr. To support the family of 5. born and brought up in a distant suburb of Mumbai.
This partnership firm was transformed into a Private Limited enterprise in February 2010. He added that formation of a Private Limited enterprise costs about Rs 40. .while setting up a partnership firm requires only notary costs.avartantech. though their main focus still remains Oracle ERP.000/. 1 crore for the financial year 2010-11. Santosh Rane.PROFILE OF ENTREPRENEURIAL VENTURE Avartan Technologies Private Limited (Avartan Technologies) (http://www. When quizzed about the reasoning for starting the entrepreneurial venture initially as a partnership firm. Avartan Technologies initially catered to the requirements of Oracle e-Business Suite (Oracle ERP) and gradually extended their service offerings to other technologies as well. Avartan Technologies Vision and Mission statements are as follows: Vision Our vision is to be the IT leader in providing the highest quality software solutions and services to the all Industry verticals. Santosh Rane answered that this was done to save the capital costs. The company initially started with 2 employees (i. Mission Our mission is to bring significant cost reduction of IT expenditure of our Customers through executional excellence at the same time maintaining World Class quality services.co. Avartan Technologies is currently in the initial phase of growth with revenues expected to touch Rs.e.in) was initially started as a partnership firm in the year December 2008 by Mr. founders) and its headcount has now reached to 10 employees in a span of less than 2 years. Mr. along with his ex-colleague from his ex-company Hexaware Technologies. They now serve 5 customers concurrently.
INTERVIEW WITH THE ENTREPRENEUR Amit Dharamsi (AD): Would you tell me about yourself before you started your first venture? Santosh Rane (SR): I am Mechanical Engineer. I also used to sell fire-crackers during Diwali for my . relatives. Of course Technology and Finance are the key for any business. I then moved to IT in year 2002 and it has been 8 years now. It was about selling ballpen refills and refilling them. AD: What was your education/military experience? In hindsight. and how did they influence you? Anyone later. My wife has supported me all through my venture. In my view one should receptive to acquire knowledge in different areas. who is hardly educated. manufacturers and vendors and interaction with them made me believe that I also can start of my own. AD: Did you have role models? SR: Narayan Murthy and my maternal Uncle. So I told my parents only after a year about my venture. though I may not be using all the knowledge that I have learnt from my engineering days. after you were 21 years old? SR: Starting of my own was always on my mind since childhood. AD: Were your parents. AD: Whom else did you know while you were growing up who had started or owned a business. In my family. Education helps you to build confidence to learn new things. a person giving up a lucrative job is considered to be insane. I have spent my initial years in Chemical Industry responsible for construction Projects in chemical plants. A commerce graduate usually shies away from technical content and while engineers also do same way for accounts. was it helpful? In what specific ways? SR: Being an engineer always helps me to do analysis in scientific way. AD: Did you have a business or self-employment during your youth? SR: I started my first Business when I was in 7th Standard. That continued for two years. had started small business years ago and is doing good with sheer hard work and commitment. or close friends entrepreneurial? How so? SR: No one except my maternal uncle. I came to know many service contractors. But while working in the Chemical Industry.
AD: In particular. The only difference is. being from lower middleclass family. under what circumstances. did you have any sales or marketing experience? How important was it. in business you need to have a scientific approach.pocket money. as every person does marketing every moment of his life. I undertook many such part-time businesses during my college days as well. this is not challenge for me. then you align yourself to that. AD: Describe how you decided to create a job by starting your venture instead of taking a job with someone else. I was moving up the ladder fast and was worried about becoming redundant soon. to starting your company? SR: I don t have any experience. But we never felt need of it. I was in IT industry and in Indian IT industry senior managers spend most of their time in administrative and mundane work and this leads to redundancy. After two years of my job. and from whom did you become interested in entrepreneurship and learn some of the critical lessons? SR: It always in my mind. or a lack of it. SR: I was working for 16 years for somebody and although I was satisfied with my growth. AD: What were your goals? What were your lifestyle needs or other personal requirements? How did you fit these together? SR: My lifestyle needs are no different than a common man s goals and I was blessed to have achieved those lifestyle needs by then. I thought this could be right time to add value to self and create value for the people. They are creating some space of your own and create jobs for others. We had to sell off our assets since it was difficult for me to buy out his share. Although that opportunity only lasted for two months. AD: How did you spot the opportunity? How did it surface? SR: My ex-boss got one contract in big business house in Pune and he asked me to join. . AD: When. If your income is low. my friend and I bought plastic injection moulding machine and used to do job work. I jumped at the opportunity. This continued well for two years and then suddenly my friend has a major family problem and needed his investment back. I thought growth would halt after 4 to 5 years and instead of being the liability to industry I thought of adding value to self and others. You continuously have to sell yourself. be it in his job or business. we did manage to get work in those two months from my previous employer. We used to work in shifts so we used to look after shop during off hours. So. But my personal goals are not directly related to wealth.
this helped to build up cash flow initially. We were fortunate enough not to face pressures of any kind. But. only a few see it while others see it only when somebody makes use of it. Let me explain there are available seats for IIM every year but the opportunity exists only for those who are ready. AD: How did any outside advisors make a difference in your company? SR: Outside advisors can give a different view point to founders directions. So anything and everything that comes your way can be opportunity. what were some ways in which you bootstrapped the venture (bartering. I did have personal reserves for about 18 months period and that sailed me through at the personal front. We are looking for advisors for our various initiatives . SR: We have not yet borrowed any capital. We just jumped at the opportunity. borrowing. The point is whether you are ready to take that. Now India is passing through a phase which every country does only once in its lifetime and I am happy to be there at this point of time. and we didn t take any remuneration for 6 months.AD: How did you evaluate the opportunity in terms of the critical elements for success? The competition? The market? Did you have specific criteria you wanted to meet? SR: I strongly believe that there are opportunities around you all the time. Since this was an IT services industry and we had to work at client site. This would also help to build network and brand in Industry. we are in the process of building one. Currently. Networking is very important and I think the first customer that you get is usually through networking. AD: How much capital did it take? How long did it take to reach a positive cash flow and break-even sales volume? If you did not have enough money at the time. We started with zero capital. AD: Did you find or have partners? What kind of planning did you do? What kind of financing did you have? SR: This was easy for me. Yes. we started with zero capital. and the like)? Tell me about the pressures and crises during that early survival period. AD: Did you have a startup business plan of any kind? Please tell me about it. SR: We did not have any business plan. This would not only help in our current business line but also in other diversifications that we plan to build in years to come. my ex-boss of the company I last worked asked offered me to join.
we also are looking forward to expanding into diverse fields. Recycling seems to present an amazing opportunity. . AD: What were the most difficult gaps to fill and problems to solve as you began to grow rapidly? SR: We are moving in an orbit which we are comfortable at. SR: I would like to take a break for 15 days for family and would like to dedicate about 20 days ni a year for social work. AD: Are there any attributes among partners and advisors that you would definitely try to avoid? SR: Suspicious partners.AD: What did you perceive to be the strengths and Weaknesses of your venture? SR: Dedicated team of founders who want to work together to make a company which is built on values is our strength. But. IT is our strength. advisors. We want to move from this orbit to next where we would require more resources and may face challenges. or managers. AD: When you looked for key people as partners. AD: Have things become more predictable Or less? SR: Yeah we can predict for horizon of a year. were there any personal attributes or attitudes you were particularly seeking because you knew they would fit with you and were important to success? How did you find them? SR: Honesty. commitment and endurance would be the only attribute I would look for. how many days a year would you want to work? Please explain. rest I would want to work. The insecurity is primarily due to the 10 employees that are working with us and we don t want to risk their careers and personal lives because of the faith that they have put in us. Lack of Values. AD: In terms of the future. do you plan to harvest? To maintain? To expand? SR: We want to harvest our current line of business. We are looking for finances in the market and should be able to manage something soon. The weakness that I think we are facing right now is the lack of ability to take bold decisions due to financial insecurity. AD: In your ideal world. Rest fall in place automatically.
AD: Describe a time you ran out of cash. Though I would not like to work. I never want to retire. and what you did about it. I want to dedicate my last years of life for betterment of society and social work. AD: Can you describe a venture that did not work out for you and how this prepared you for your next venture? SR: Me and my friend started plastic injection moulding machine job work. we had to close down as my friend faced a major personal crisis. They do give a sense of achievement and inspiration to do more in life. What lessons were learned? SR: Fortunately we have not come across this situation so far. AD: What do you learn from both success and failure? SR: Learning is always from failures as one usually tends to take success for granted. So failure always makes you learn. what pressures this created for you. my goals always change once I achieved one. the business. the thing that enabled you to make it? SR: My attitude and self-belief. I . But like I said earlier. So my next venture was in services with minimal or almost nil investment. This helped me understand that manufacturing is more labor and capital intensive and I would not venture into it. So yes. AD: If you had it to do over again. your family. AD: Have your goals changed? Have you met them? SR: I believe in short term goals.AD: Do you plan ever to retire? Would you explain? SR: Well. I would always like to jump in well and learn swimming rather than thinking whether to jump and finally do all planning and not jump at all or probably find out it s too late to swim. would you do it again. in the same way? SR: Yes. Yeah sometimes it takes more time to achieve a goal but I do achieve them as I have to move on. AD: What do you consider your most valuable asset. Sometimes you may get success and next time doing same way you may not and you fail. as we were also working. Till 50 years of age I would work more for me and after 50 I would change the ratio. Maybe we are playing it too safe. We were doing well in our part time venture.
AD: As you look back. attitudes. and know-how you needed to get your company started and grown to where it is today? What will be needed for the next five years? To what extent can any of these be learned? SR: Attitude and only attitude. There is nothing called risk. yes the satisfaction of doing something on your own is my biggest reward so far. You and only you would be responsible for your successes or failures. What have you experienced? How would you say it compares with other "hot seat" jobs. For next five years we want to inject funds for growth in operations. When you work for others. it s always relative to a person. You may reach goal late than others but you will reach there for sure. But. AD: What advice would you give an aspiring entrepreneur? Could you suggest the three most important lessons you have learned? How can I learn them while minimizing the tuition? SR: I don t think I am ready enough to advise someone. Once you are in it. . if you have right attitude you will cross all the obstacles. Patient s health risk is Doctors opportunity is another way of looking at it. But only one thing I can say "Once started don t give up". what do you believe are the most critical concepts. I am contended on that front.believe it s better to do imperfect things that doing nothing perfectly. skills. be receptive to new concept and ideas on your way to reach goal. It s too early to reap in any monetary rewards. acquire skills. Relying on somebody else may result in despair. and trade-offs? SR: I could do the things the way I wanted to do. as he/she would not be ready to accept failures. they control you and so it s tough. or a partner in a large law or accounting firm? SR: I don t agree. such as the head of a big company. AD: Some people say there is a lot of stress being an entrepreneur. risks. AD: Who should try to be an entrepreneur? And who should not? SR: Person who believes in himself/herself should only go for it. one can decide where to stop when being an entrepreneur. we have just started it yet. AD: What things do you find personally rewarding and satisfying as an entrepreneur? What have been the rewards. you would find the best way to survive and thrive.
ANALYSIS OF THE ENTREPRENEUR Based on my discussions and interaction with Mr. These can be suitably demonstrated by the following events in the life of Mr. his wife has been very supportive of his venture Education y y Santosh Rane is an engineer by his educational qualifications He has also done Diploma in Management Studies to gain exposure to management principles. which has been his domain for last 8 years. Santosh Rane. firecrackers in his school days for his pocket money and thereby reducing his dependence on his parents for money His habit of doing small jobs helped him fund his education when his family was going through tough times His sense of being stuck in the organization with doing only administrative and mundane tasks as part of his work life Jumping at the first opportunity of being an entrepreneur when his ex-boss asked to join him His first venture is in IT. background. This has provided him a good background to understand the nuances of running a business Personal Values y Personal values are quite important to Santosh. Entrepreneurial Feelings: The need for independence and acquiring sense of achievement were the prime factors for Santosh Rane for his entrepreneurial feelings. . Santosh Rane: y y y y y Doing small businesses like selling ballpen refills. His risk taking attitude also supplemented the feelings. This shows his calculated risk taking capabilities Entrepreneurial Background and Characteristics: Family Environment y y y Santosh Rane is first born His parents were supportive when he started doing small businesses in school and college days Though his family currently discourages entrepreneurship. He is now exploring opportunities in recycling waste. I have analyzed his personality traits. motivation factors behind his entrepreneurial skills.
He took a risk to get into IT industry to gain a jump in his salary. he was again stuck up with managerial tasks which were managerial in nature. As the years progressed. and frustration motivated him to launch his own venture. Motivation/Support Systems Motivations: y y y y Sense of Independence Money Need for achievement Drive and Zeal to do something that he loved Role Models: y y Narayan Murthy His maternal uncle who had started a small workshop Support Systems y y y y His wife His uncle His ex-employers Avartan Technologies Clients . This lack of challenge. This was a very high responsibility job. Work History y His initial formative years of his career were spent in Chemical Industry where he was responsible for construction of projects within the company. commitment and endurance are the values that Santosh Rane looks for in partners His sense of commitment towards his employees who have placed their trust in him can be seen by his hesitation to take up riskier ventures. boredom. Santosh realized that after a certain point growth stagnated in the Chemical industry and even the remuneration was not attractive in the core industry. As he climbed the growth the ladder.y y Personal values such as integrity.