Where do these cows go ?

Where do these cows go ? Mohammed Sutarwala Managing Director mohammed@swansol.com Swan Planning Conference April 2011

Innovation • Based on the book • MAKING BREAKTHROUGH INNOVATION HAPPEN • PorusMunshi • Marico Innovation Foundation • Erehwon Innovation Consulting • How Eleven Indians Pulled Off the Impossible • Today we discuss 3 of these innovators

Three inspiring innovations • DainikBhaskar • Trichy Police • The Surat Transformation

DainikBhaskar • Jaipur - 172 thousand (19 Dec 1996) • Chandigarh – 69 thousand (May 2000) • Haryana – 271 thousand (June 2000) • Ahmedabad – 452 thousand (June 2003) • How did they do it ?

Newspaper Industry Dynamics • Leader and follower • Leader has achieved market share, and thus efficiencies due to large volume • Followers never catch up • The more newspapers you print the more money you spend • Advertising follows circulation

DainikBhaskar • From 1992 – 1995 was undisputed leader in Madhya Pradesh • Company had a large lead with the nearest competitor NaiDuniya which they had replaced • Hunger to expand made them focus on Jaipur

Aspirations • If your aspiration is to reach heaven • You will have to die for it. • Are you ready ?

Ambitious Goal • Go for No. 2 from Day 1 • This means you print and circulate enough copies to beat the existing No. 2 in the market • But why not No.1 • Too much of a risk • Too much cost • Target 50,000 copies from day 1 in Jaipur

The newspaper habit • It is like your morning tea or coffe • Your favourite biscuit • Staunchly loyal • Favourite sections, layout, familarity • The challenge • So how to make 50,000 people switch on Day 1

The un-coventional approach • Face-to-face meeting with 200,000 potential newspaper buying households • Not just a survey, but an experience-enhancing event • Asked questions, listened, reverted back • Did not outsource, but set up an internal task-force of 700 people

The million dollar question • If we give you what you want, will you buy our newspaper? • Are you ready to subscribe, if we promise to deliver what you want ? • And the people said ‘YES’ and subscribed • They got a special price of Rs.1.50 as against the regular subscription of Rs.2.00 with a money-back guarantee if not satisfied.

Success formula repeated • Became No. 1 from day 1 • Plan: 50,000 • Achieve: 172.000 • They introduced a Hinglish Newspaper in Chandigarh (220,000 households) • Sold 69,000 on day 1. • People preferred English paper, as the Quality was better than Hindi.

Lessons • Aim High • Do the un-conventional • Listen to your customers • Deliver what you promise

Trichy Police • A city with 1/3rd Muslim, 1/3rd Hindu, 1/3rd Christian • 1999 – season of turmoil • New Police Commissioner – Tripathy • Police barely respected, and in fear of attacks • Vajpaye and Advani’s planned visit • Situation too tense

The Miracle • Trichy population 24 Lakhs • Most developing countries would need 7000 policeman • In developed countries – 5000 • Trichy did it with just 260 havaldars • In 2 years crime rate dropped 40%.

How did he do it ? • Inside – Out • Picked 50 honest constables • Told them to stay at home • Let your presence be felt in the community • Send regular updates direct to Commissioner • It was the fastest way to gather intelligence • Visit went off smoothly

Community Policing • Extedned experiment to the whole city • Divided city into 60 localities • Handpicked 260 constables • De-briefed and humanized them • Instilled a spirit of community service • Changed them from enforcers to conservers • Became part of community

The Beat System • A set of 4 constables had round-the-clock responsibility of their locality • A tenure was fixed for 2 years. Out of 4 one was always present on the beat • Ownership was instilled and knowledge of community policing was shared • SHOs were made to go to field to meet them rather than having constables come to the station to report

Making it work • Met Resistance from SHOs • Dealt Shirking from work • Fired Corrupt officers • Gave people Direct Access to Police Commissioner • Put complaint boxes in each locality • Community work , carpentry, electrician, etc • Gradual handover to the chain of • command

Lessons • Challenge things • Trust people to deliver • Test out your idea before going full steam ahead

Suratkisuratbadaldaali • The Textile City, the Diamond City • Also the filthiest city in the country • 1994 22,000 cases of malaria • S R Rao takes over as Municipal Commissioner

And things changed within 20 months • Second cleanest city after Chandigarh • Malaria cases down from 22,000 to 497 in 3 years. • Doctor’s earnings down by 66% • Population covered by sanitation increased from 63% to 97% • Daily garbage clearning up from 40% to 98% • 92 kms of road widened, 300 km new roads

What magic wand did he wave ? • Walked around Surat • Identified the fundamental issues • Focussed on 3 areas • Administrative Capacity • Financial Capacity • Public Health Engineering • Enforced Discipline from Top, Gave Rewards from bottom

Administrative Capacity • Reorganized the departments so that each was responsible fully for its Ward. • Disbanded Functional Heads like Roads, Sewerage, Water, etc. • Delegated powers – appointed 11 Commissioners almost with the same powers as him • Daily review meetings • Fieldwork 5 hours a day (No AC in office from 7am-3pm) • SLAs were created

Moral Authority on People • Spread Hygiene Education • Imposed Fines • Illegal Construction • Enfornced Hygiene Standards • Went after Property Tax Evaders • Did not succumb to pressure. Did not take phone calls for 10 days. Went with the press everywhere

Financial Capacity • Increased octroi collection • Systematic Property Tax Assessment • Computerized Accounting • Profit centre approach • 54% increase in revenue

Public Health Engineering • Fixed the rate, rather than asking for the rate • 6 month projects duration or asked Engineers for lengthy 6 page report to explain why not

Lessons • Dirty your hands, get practical • Analyse the problem before attacking it • Stick to plan, resist pressure to appease

So where do the cows go ? • Surat had many stray cows • Each time the cows were rounded up and left at the outskirts of the city they returned back after a few days • S R Rao decided to follow the cows to see what the cows do the whole day • And he found out……

They went from one garbage dump to another

The cows never came back • Changed the garbage collection process • Now Garbage was collected from homes and directly dumped outside the city • Next he took the cows outside the city

Thanks

Where do these cows go ?