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Business Today, New Delhi. Vol.4, No 10.

--
October 22 - November 6, 1995.

CASE STUDY

Choosing AConsultant
IN THE SPACE OF A SINGLE DAY, MOHAN terns to be created. So, felt Ramesh, it was time
Ramesh, the CEO of Phoenix Advertising, to launch a series of human resource and organ-
collapsed from contentment into chaos. On the isation building initiatives at Phoenix. Choosing
fifth anniversary of the successful advertising to hire an HRD consultant than a full-time man-
agency that he had started for the Orion Group, ager, Ramesh short-listed three: Delta Con-
Ramesh found himself accepting the resigna- sulting, Magellan Management Consultants,
tion of his best account director, Jayanti and Dinesh Datta. Each then adopted a different
Natarajan. Obviously, the pace of growth that approach to Phoenix' problems, and Ramesh
Ramesh had set for the small start-up had left found himself having to choose between them.
no time for organisational structures or sys- At the moment of decision, what would you do?

OHAN RAMESH WOKE UP FEELING small set-up in Delhi. Later, as more and more

M elated. Today, August 30, was the


fifth anniversary of Phoenix Adver-
tising (Phoenix), the small agency that he .
accounts started coming in, three branches
had been set up in Bombay, Calcutta, and
Bangalore. Ramesh's main aim had been to
had started as a subsidiary of the Delhi-based keep the organisation lean and efficient.
Orion Group, which was controlled and Today, the Delhi office had 28 employees,
managed by the Gupta family. In these five Bombay had 25 employees, Calcutta had 19
years, Phoenix had grown far beyond his people, and Bangalore 14. Each of the bran-
expectations. As he did his exercises on the ches was headed by an account director.
lawn of his posh south Delhi house, Ramesh The agency's list of clients was impres-
felt a great deal of fulfilment at the progress sive, boasting of some big names in both the
Phoenix had made. Coincidentally, he was fast-moving consumer goods segment as well
.'.' due to deliver a guest lecture on Building An as the consumer durables business. Business
. .
Advertising Agency to a group of students of was booming, turnover was high, bottom-
marketing management at the Faculty of lines were healthy, and Phoenix was well on
Management Studies (FMS)at Delhi University its way to becoming one of the major players
later in the day, and started reflecting on the in the advertising industry.
contents of his presentation.
THE SIGNAlS
THE BACKDROP Ramesh reached the FMSearly, looking for-
In 1984, Ramesh had started his career as a ward to interacting with the students. At the
marketing trainee with the family-managed, podium, he traced the history of Phoenix,
publicly-owned Orion Group. The conglo- briefed the students about the rosy future of
merate, with a turnover of Rs425 crore, had a the advertising business, and gave them a run-
strong presence in the textiles business, with down on what it took to be an advertising pro-
Although business fessional. During the interactive session at the
a secondary business focus on the home
was booming appliances sector and the light engineering end of the talk, there were the usual questions
and bottomlines industry. In 1990, Arun Gupta, the youngest about careers in the advertising world, and
were healthy, scion of the Gupta family, had initiated the the unusually high levels of mobility of the
Phoenix Advertising creation of Phoenix Advertising, and had people in this profession.
identified Ramesh as its firstCEO. Ramesh admitted that Phoenix, like any
was being hit
In the first two years, business for Orion other agency, had also witnessed high
. hard by had come solely from the group's compa- turnover rates, and that this was a problem
employee turnover nies, and the agency had been housed in a the whole industry was plagued by. People

122 BUSINESS TODAY. OCTOBER 22-NOVEMBER 6, 1995


Business Today, New Delhi. Vo1.4, N 0.10.
October 22 - N ovember 6, 1995

left when they were offered a higher salary, don't have any career prospects here," :,:': '. '. '.
and since poaching was common, there was Ramesh replied. "You know you are one of
. ,
not much that he could do about it. Except to the brightest people we have. We've plans for
live with the issue and work his way around you. Phoenix is prospering, the world of adv-
it. Later, as Ramesh made his way to the ertising is expanding as never before. Stick
office, he was in a reflective mood. around, and you'll grow with the business."
True, he said to himself, there was a trend "I wish I could say yes to that," Natarajan
of high employee turnover, but, of late, it had said regretfully. "But it's just that I don't feel I
hit Phoenix pretty hard. Just the previous belong here any more. For one, I feel that
month, there had been three account man- there is no cooperation between the account
agers who had quit its head office and, in the directors of the different branches. Take the
recent past, several others had walked out at case when I had some client problems that
the other branches as well. It was getting needed to be urgently sorted out in Bombay, The gravity of the
increasingly difficult to find good people to and how Rahul Puri, the account director problem struck
join Phoenix. But Ramesh merely shrugged there, sat on the issue. It seemed like a delib- CEO Mohan Ramesh
his shoulders and walked into his busy office erate attempt to sabotage the account. On yet
when his most
where Jayanti Natarajan, his brightest and, at another occasion, when Reena, one of my
32, most promising account director, sat account managers, left, it was attributed promising account
waiting for him. solely to a personality conflict with one of our director, Jayanti
Natarajan had joined Phoenix as an new recruits."
Natarajan, put in
account manager from one of the leading ad "Do you remember the time I had hired
her papers
agencies in the capital. A year ago, she had some management trainees? They just lan-
been promoted as account director, with guished for three months waiting for their
three other account managers reporting to appointment letters, and finally, most of them
her. She followed him into his room, looking left within six months of their joining. There
serious. As they sat down, she said: "Mohan, was even th€ case of Neera Mehta, whom we
I have some bad news for you. You know the hired for client servicing from another
new campaign for Orion Suitings that I was agency. She was offered a salary that was at
worl~ing on? Well, I am not going to be least 50 per cent higher than her peers' pay-
around to see it off the ground. I have been packets. These are all symptoms of something
approached by United Ads, and I have going wrong with the way people are man-
accepted their offer. Here is my resignation aged here. And I'm not hanging around wait-
letter. May I request you to relieve me by the ing to find out what happens next. I've made
end of the month?" up my mind. Here are my papers, Mohan.
Ramesh was stunned. The Orion Suitings Please waive the notice period."
campaign was an extremely important one.
Natarajan was the best person he had, and he THE CRISIS
had allotted the account to her so that the
client got the best possible servicing. "Why
on earth are you leaving? Are you crazy? You
R AMESH SLUMPED IN HIS CHAIR, HIS
fists clenched hard, deep in thought.
Something was terribly wrong. There had
can't go. Why don't you stay? I'll take care of been a few occasions in the past when he had
the money and give you that house loan you got disturbing hints of things going sour
wanted. In any case, Jayanti, you know that I between the account directors in the different
can't relieve you for the next three months as branches. Take the case of Puri, who had, in
peryour contract. At least stick around till the the recent past, taken two major promotion
new line is launched, then you can go-if decisions without referring them to the head
you still want to." office. Or the time he had recruited three
"Don't misunderstand me, Mohan," she additional account executives-and not
said in a low voice. "I'm not leaving only for even bothered to report the fact to Ramesh.
the money. It's true that United Ads has Itwas well-known that there were no pay-
offered me an attractive package, but I'm scales in Phoenix and that wide disparities in
leaving for other reasons." human resource practices existed between
"What are they? Don't tell me that you the different branches. Recruitments were

BUSINESS TODAY. OCTOBER 22-NOVEMBER 6. 1995 123

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Business Today, New Delhi. Vo1.4, N 0.10.
October 22 . November 6, 1995

CASE STUDY

handled independently by the account direc- total quality and business process reengineer-
tors, salaries were arbitrarily fixed, there were ing-in interventions and collaborations,
no records of manpower information, and ad DINESH DATIA: Independent consultant. With
hoc decision-making was the order of the day. a doctorate in organisational behaviour from
This was compounded by the fact that there IlM-Aand 20 years' experience in industry,
was no stated policy in the first place, and Datta had started his consulting career three
there was no person who could take charge of years ago, and had undertaken behavioural
these responsibilities, workshops for a few clients, He also offered
What was needed, it appeared to psychological counselling services.
Ramesh, was a human resources develop- Then, these three firms handed in their
ment (HRD)manager to streamline the opera- proposals for human resource interventions
tions of the company, and create a culture in the organisation building process at
that was strong and vibrant to improve the Phoenix. Each of them adopted a different
people's sense of belonging, Phoenix should approach:
become an organisation where people felt
empowered to take the responsibility for DELTACONSULTING
themselves and their work, and feel proud of Objectives:
being part of the organisation, felt Ramesh, . To generate reliable and objective data
instead of the low morale that was staring on culture-specific organisational issues.
him in the face. . Based on this, to create an action plan to
One major consideration in the whole identify and resolve problem areas.
issue was that Phoenix was, basically, a small. To create internal change agents to sus-
organisation, with a strength of only 86 emp- tain the organisation development process.
loyees spread over four locations, In larger Proposed Activities:
organisations, these issues of organisation . A perception study, which would throw
building were typically managed by HRD up data to help diagnose some of the prob-
departments staffed by qualified profession- lem areas of the organisation,
als. However, for an organisation the size of . Acting on the diagnosis, an action plan
Phoenix, a full-time HRDmanager was not would be formulated for organisational
really warranted. Instead, Ramesh thought, development. The action plan would focus
perhaps it would be more suitable to bring in on HRD activities like the creation of a
a consultant, who would work closely with newsletter and other fora for communica-
the agency until it got back on the rails, tion, holding of open-house sessions, train-
ing in basic managerial skills, team develop-
THE CONSULTANTS ment, identification of other needs, pep talks
,"'. "
O VERTHE NEXTTWO WEEKS,RAMESH by the CEOas well as other interventions that
contacted three HRDconsultans, and would depend on the outcome of the study.
briefed them about, and the issues and . The consultantswould identifyone or

t problems confronting Phoenix. A short more persons in Phoenix who would be


background on each of these consultants
read like this:
DELTACONSULTING: A firm of consultants
established in 1982by two HRDprofessionals,
trained as internal change agents. And they
would work closely with this personon organ-
isation development activities as well as the
development of the support systems needed
Amit Shah and Gaurav Deshpande, with sev- to sustain them. Eventually, Delta Consulting
eral years of working experience in the cor- would ease itself out of the day-to-day man-
porate sector. They were known for their agement of these activities.
hands-on approach to organisation develop- Timeframe:
ment issues, and had gained credibility in . Three months for the diagnostic/percep-
As the agencywas industry circles. In the past, their work had tion study.
small, Ramesh been practical, realistic, and result-driven. . One year thereafter for the implementa-
thought it was more MAGELLAN MANAGEMENT CONSULTANTS:A tion of the action plan and the final handing
feasible to bring in a transnational firm of consultants that had over to Phoenix.
management recently set up shop, headed by five high-pro-
file consultants from the New York office, two MAGELLANCONSULTANTS
consultant rather
of whom were of Indian origin. Its core stren- Objectives:
than hire a full-time . To develop an integrated system with a
gths were systems, structure, and strategy-
HRD person with a focus on the latest methodologies like view to managing the structures and pro-

124 BUSINESS TODAY. OCTOBER 22-NOVEMBER 6,1995


--
Business Today, New Delhi. Vo1.4, No.tO.
October 22 . November 6, 1995

cesses of Phoenix. ings about each of the proposals that he


Proposed Activities: would place before Guptathe next day.
. Astructured business process reengineer- For a start, the Delta Consulting approach
ing programme that would begin with an seemed to generate high credibility, being
objective look at all managerial jobs through
a factor-based job-evaluation system. Once
this "''IS done, systems and procedures
rooted in the reality of the perceptions of the
employees about the Phoenix way of work-
ing. Such an intervention would not rock the
v..: ~. ?....

would be designed for the creation of policy boat too much or ruffle too many feathers,
manuals, job profiles, person specifications,
organisational structures, objective and tar-
and, at the same time, could get the agency
back on track in a short time. The agency .~~ ~~..
get-setting systems, and the evaluation of would also have the advantage of being in a
performance against the achievement of position to retain the essence of the small
these objectives. organisation while working in a more sys- The future of
. Creation of support systems that would tematic and organised manner without Phoenix depended
sustain rational policies for Phoenix. This becoming too structure-driven. on Ramesh's choice.
would involve the recruitment of one or two The job evaluation proppsal by Magellan
people with the requisite organisation devel- Management Consultants might create too Which management
opment skills for the management of the much of a structure for a small organisation consultant was
structural changes that would emerge. like Phoenix. Freezing systems and policies best-suited to solve
. Creation of a monitoring cell at the head might make the organisation too bureau- his company's
office with a planning and marketing focus. cratic, and it could lose its flexibility. This
Timeframe: might even stifle creativity, something that an
problems?
. Nine months from the date of the com- ad agency could ill-afford. On the other
missioning of the assignment. hand, the formalisation of the agency's sys-
tems and procedures was what was lacking.
DINESHDATTA The laying down of policies and procedures
Objectives: would certainly get over some of the prob-
. To create a credo for Phoenix that would lems he was facing, felt Ramesh,because of
be shared by everybody, with a view to the ad hoc style of functioning.
enhanCing the quality of the work-life of the The third and last proposal by Datta
individual as well as the organisation. evoked a mixed response in him. On the one
. To enable and empower individual mem- hand, workingat the individualsinthe organ-
bers to create situational contexts for the real- isationwould certainlylaythe foundation of
isation of this vision and, thereby, renew and a strongorganisationalculture that the entire
revitalise the organisation culture. agency would share. It was a meaningful
Proposed Activities: exercise, which would ultimatelyallow the
. Undertaking a visioning exercise, where a humanisation of the workplace that would
shared mission and vision statement would be anchored in the long term, rather than a
be created with the participation of the entire quick-fix approach.
population of the organisation. This was a growth-driven approach
. Communication of this vision and values rather than a simple coping response. How-
statement, and lab-based behavioural inter- ever, Ramesh had some doubts that the emo-
ventions for creating a forum for sharing tional churning might lead to a loss of the
personal experiences and growing together. business focus that had made Phoenix suc-
Timeframe: cessful so far. It might also be time-consum-
. Ongoing.A close associationwith ing, and not result-driven. As Ramesh mulled
Phoenix for a period of two years. overthe pros and cons ofeach ofthese three
proposals, he wondered which one of them
THE PROBLEM he should recommend the next day. On that
A LONE IN HIS OFFICE,RAMESHWENT rested the future of Phoenix.
over the proposalsone lasttime.Hehad
scheduled a meeting with his boss, Arun . Case Study by ANEETA MADHOK,
Gupta, the following day to discuss these Professor of HRD& Organisational
issues in detail, and to arrive at a decision as Behaviour, Narsee Monjee Institute of
to which of these intervention methodolo- Management Studies, Bombay.
gies he would choose. Taking a hard look at Refereed By the BUSINESS TODAY Panel
the documents, he tried to crystallise his feel- Of Referees

BUSINESS TODAY. OCTOBER 22-NOVEMBER 6,1995 125


Business Today, New Delhi. Vo1.4, N 0.10.
October 22 . November 6, 1995

cesses of Phoenix. ings about each of the proposals that he


Proposed Activities: would place before Gupta the next day.
. Astructured business process reengineer- For a start, the Delta Consulting approach
ing programme that "Y°uld begin with an seemed to generate high credibility, being
objective look at all managerial jobs through
a factor-based job-evaluation system. Once
this "''1S done, systems and procedures
rooted in the reality of the perceptions of the
employees about the Phoenix way of work-
ing. Such an intervention would not rock the
i~...?
boat too much or ruffle too many feathers,
would be designed for the creation of policy
manuals, job profiles, person specifications,
organisational structures, objective and tar-
get-setting systems, and the evaluation of
and, at the same time, could get the agency
back on track in a short t"ime.The agency
would also have the advantage of being in a
w~~~
performance against the achievement of position to retain the essence of the small
these objectives. organisation while working in a more sys- The future of
. Creation of support systems that would tematic and organised manner without Phoenix depended
sustain rational policies for Phoenix. This becoming too structure-driven. on Ramesh's choice.
would involve the recruitment of one or two The job evaluation proposal by Magellan
people with the requisite organisation devel- Management Consultants might create too Which management
opment skills for the management of the much of a structure for a small organisation consultant was
structural changes that would emerge. like Phoenix. Freezing systems and policies best-suited to solve
. Creation of a monitoring cell at the head might make the organisation too bureau- his company's
office with a planning and marketing focus. cratic, and it could lose its flexibility. This
Timeframe: problems?
. Nine months from the date of the com-
missioning of the assignment.
might even stifle creativity, something that an
ad agency could ill-afford. On the other
hand, the formalisation of the agency's sys-
tems and procedures was what was lacking.
DINFSHDATTA The laying down of policies and procedures
Objectives: would certainly get over some of the prob-
. To create a credo for Phoenix that would lems he was facing, felt Ramesh, because of
be shared by everybody, with a view to the ad hoc style of functioning.
enhanCing the quality of the work-life of the The third and last proposal by Datta
individual as well as the organisation. evoked a mixed response in him. On the one
. To enable and empower individual mem- hand, working at the individuals in the organ-
bers to create situational contexts for the real- isation would certainly lay the foundation of
isation of this vision and, thereby, renew and a strong organisational culture that the entire
revitalise the organisation culture. agency would share. It was a meaningful
Proposed Activities: exercise, which would ultimately allow the
. Undertaking a visioning exercise, where a humanisation of the workplace that would
shared mission and vision statement would be anchored in the long term, rather than a
be created with the participation of the entire quick-fix approach.
population of the organisation. This was a growth-driven approach
. Communication of this vision and values rather than a simple coping response. How-
statement, and lab-based behavioural inter- ever, Ramesh had some doubts that the emo-
ventions for creating a forum for sharing tional churning might lead to a loss of the
personal experiences and growing together. business focus that had made Phoenix suc-
Timeframe: cessful so far. It might also be time-consum-
. Ongoing.A close associationwith ing, and not result-driven. As Ramesh mulled
Phoenix for a period of two years. over the pros and cons of each of these three
proposals, he wondered which one of them
THE PROBLEM he should recommend the next day. On that
LONE IN HIS OFFICE, RAMESHWENT rested the future of Phoenix.
A over the proposals one last time. He had
scheduled a meeting with his boss, Arun . Case Study by ANEETA MADHOK,
Gupta, the following day to discuss these Professor of HRD& Organisational
issues in detail, and to arrive at a decision as Behaviour, Narsee Monjee Institute of
to which of these intervention methodolo- Managemen~ Studies, Bombay.
gies he would choose. Taking a hard look at Refereed By the BUSINESS TODAY Panel
the documents, he tried to crystallisehis feel- Of Referees

BUSINESS TODAY. OCTOBER 22-NOVEMBER 6, ]995 125


Business Today, New Delhi. Vol.4, No. 10.
-- - October
... - ;;;=22;;; iiiir-- November
- --- 6, 1995.
CASE STUDY

Solution-A
HENEVER BUSINESSIS

W
people and thus the ownership of the HRD
good, organisations run processes. This requires his top management
the risk of becoming team to take time off and collectively exam-
complacent. This complacency ine and strengthen their commitment to the
tends to seep into every nook and internal organisation processes.
comer, culminating in a dangerous Here, Dinesh Datta could playa signifi-
stress within the organisation. cant role. He should be enrolled to play the
Fortunately, CEO Ramesh has role of a facilitator, a sounding board for
picked up the early warning signals ideas, for adding perspective and, generally,
of the symptoms. playing the devil's advocate. Ramesh should,
At the outset, Ramesh needs to however, ensure that he leads the process
get the basics right. He needs to get himself-and does not abdicate it to Datta.
SUNIL DURANI policies in place, some basic An additional outcome of such an exer-
. manuals written, and some basic cise would be to generate some broad strate-
Vice-President (HRD), personnel 'administration systems gies for action by the different account direc-
Procter &Gamble India tors. These could involve a combination of
in place. His fears that such struc-
tures will bureaucratise the organi- different approaches for organisation devel-
sation are unfounded. On the contrary, the opment. A consultant like Datta should
setting of some boundaries will take care of continue to be associated in the whole
his people's needs for coherent processes process of revitalisingthe organisation. He
and avoid ad hocism. could be of immense value in enhancing the
He will need someone to take charge of sensitivity of the account directors and
this role, work closely with the organisation, institutionalising healthy inter-personal
and put the systems, policies and so on in processes in the agency. He could aTso
place. Magellan Management Consultants enable others to overcome the internal
are too big for this kind of work. And there is blocks they may be facing in this regard.
no need for a diagnostic exercise as sug- All in all,' Phoenix stands an excellent
gested by Delta Consulting since enough chance of recovering from the mess it is in.
data on the state of the organisation is The only chance that is required is for the top
already available. All Ramesh needs to do is team to discoverthat they are indeed a part of
to build sensitivity in the top management, the problem as well as the solution. Once this
and energise them to take ownership of their fact hits home, the solutions will be easy.
T

i
Solution-B
I T HERE ARE PERHAPS VERY FEW
industries which are as people-
driven as advertising and yet, unfor-
to be one of lack of systems, structures, and
policies. However, the genesis of the prob-
lem perhaps lies in the complete lack of com-
.
I tunately, HRDpractices in advertis-
ing are extremely inadequate. It is
munication and cohesion at the senior level.
This has opened up the possibilities for unsc-
evident in the Phoenix case that rupulous or ambitious people to exploit the
r Ramesh has been held accountable lack of networking to take unilateral deci-
only for a customer wow-and not sions that prioritise personal goals and objec-
an employee wow. Even at this tives over organisational ones.
stage, Ramesh views the HRDoptions The Delta solution treats the symptoms I
as a crutch to talk to the owners, and rather than the disease. Itoffers a highly struc-
not as a positive tool with which to tured approach that addresses the rank-and-
ISHAN RAINA develop a culture. His first reaction, file in the organisation. In doing so, it misses
... ................. therefore, is not to look into the a fundamental point: the problem is at the
Executive Vice-President, mirror, but to identify consultants. top, where such solutions would be grossly
Contract Advertising Prima facie, the problem seems inadequate, if not entirely ineffective. Worse,

126 BUSINESS TODAY. OCTOBER 22-NOVEMBER 6,1995


Business Today, New Delhi. Vo1.4, N 0.10.
October 22 . November 6, 1995

CASE STUDY

options like the pep talk could irritate senior commitment at the top, leading to prioritisa-
managers like Natarajan since the real issue is tion of what is personally expedient at any
not just lower motivation levels. Finally, con- given point over what is organisationally
'ducting a perceptual study across levels in right. Moreover, it allows for freedom, main-
the company could make the entire process taining the entrepreneurial, quick decision-
into a grievance-settling, point-scoring game, making environment that seems to have
leaving the issues on the backburner and worked well for Phoenix.
causing even more chaos and mistrust. That Ramesh needs to focus on the above
The Magellan solution is inapt in that it approach is clear. However, whether he
completely ignores Phoenix' organisational needs an outside consultant to do it for him is
strengths. After 'all, it is a successful agency. questionable. Ifthe crux of the problem islack
Also, the superstructure of organisational of networking, teamwork, and mutuality of
charts, policy-manuals, job-profiles, target- goals, then the solution needs to come from
setting mechanisms and performance- within rather than from an outsider. In fact,
appraisal systems, with the attendant sup- Ramesh's biggest problem, personally, has
port-systems and a central monitoring cell, been the gap between him and his team. To
seems to be asolution in search of a problem. get an outsider could mean distancing himself
The Dinesh Datta solution, in contrast, is even more. There is,sometimes, no substitute
commendable because it focuses on the key for getting into the thick of things and taking
problem: the lack of a shared mission and charge. This seems to be one of those times.

'"
Solution-C
HOENIX ADVERTISING MADE RAPID
P progressin the initialyears, both due to
,
. Phoenix has no systems and pro-
cedures, and Magellan seems qual-
the dynamism of Ramesh, the CEO,and the ified to provide this. They plan to
family business of Orion, which provided the recruit one or two people with the
base. But in line with the trend in the adver- requisite organisation develop-
tising industry, employee turnover at Phoe- ment skills, which is a right step.
nix has been rather high. In addition, there . An ad agency must have central-
are several problems at Phoenix caused by ised control, and cannot let the
its growth and the absence of any structure, branch offices function with such
remuneration policy, procedure for hiring independence that it leads to anar-
employees, and so on. The situation is quite chy. For example, one cannot have
chaotic as branches outside Delhi seem to be different pay-scales for the same job
doing just what they want, and without any in two different locations. This is an J.e. CHOPRA
.. .......
regard for uniform practices. important lacuna which has been
Senior Vice-President,
All of this is the fault of the CEO,who has seen by Magellan, and they should
Tata Consultancy Services
not laid down any rules or ensured any com- be in a position to address this.
pliance. Ideally, Phoenix should appoint an . Both Delta Consultingand
HRDmanager who should take charge of the Dinesh Datta seem to be conceptual and
whole area of recruitment, remuneration, vague in their approach. Further, they have
structures, job descriptions, and the like. no clear focus as to what is required, and
However, as there is a total lack of talent their intervention will lead to further chaos.
within the agency, the decision to hire a con- In order to ensure proper value from the
sultant is justified. In my view, they should consultancy assignment, Ramesh must set
take Magellan Management Consultants for the terms of reference with Magellan, settle a
the following reasons: fee, and negotiate a timeframe for the deliv-
. The agency requires an organisation struc- ery of the report as well as its implementation.
ture, an evaluation of all managerial jobs, Ramesh should be constantly involved with
creation of proper grades, and so on. This is a their work so that the recommendations do
basic discipline which every organisation not come as a surprise to him, are practical
needs. lt is a myth to think that this stifles and sensible from his point of view, and can
creativity in a company. be implemented without any problems. .

128 BUSINESS TODAY. OCTOBER 22-NOVEMBER 6,1995