The armed forces are a talent pool for Corporate India
- Prof. Jiban K. Mukhopadhyay | Dec 09 , 2006

Personally speaking, I had developed a very respectful ‘romance’ with the armed forces since my college days. When I was in my intermediate level at the University of Calcutta during 1959-61, I took an elective course on Military Studies. A number of defence personnel from various ranks took our classes, both theoretical and practical. During an NCC camp I was lucky to be chosen as aide–de–camp to the camp commander. I closely observed the commander’s skill, prompt decision-making ability and no-nonsense style of functioning. He became my role model.

The armed forces have a well-structured organisational frame. The flow of command from top to bottom is absolutely decisive and action-oriented, driven by loyalty and accountability. They are highly disciplined and patriotic and are honourably received by civilians. A person going through this process becomes very seasoned to play many roles in life.

There are 39 ordnance factories and eight defence public sector undertakings under the department of defence, under the Ordnance Factory Board, manufacturing the latest equipment and weapons system contributing to the defence system. Anyone who runs these companies has a sense of the nuances of corporate management.

India’s defence budget, both non-plan/revenue and capital expenditure combined, is as high as Rs 890 billion for 2006–07, almost 2.5 times up from the level in 1997–98. Managing such huge expenditure requires financial acumen.

Based on the recommendation of the Kargil Review Committee, the National Security System in the country has undergone a comprehensive review for the first time in the history of independent India. The review was carried out by a group of ministers. Recommended measures regarding reforms in defence management have been implemented since 2001. The reforms and restructuring have brought about significant improvements in the systems, organisations, structures and processes for the integration of civil and military components.

Senior officers of the armed forces have to undertake a large number of structured and well-defined activities, both during peace and war. Not only do they have to be involved with inter-service and intra-service integration activities, but also be responsible for the supervision of integrated defence staff, organisations and coordination of annual and long-term plans. In addition, they implement annual budgets, analyse national capabilities, formulate policies and conceptualise programmes. Officers also work on military education, national security threat analysis, coordination and synergising intelligence activities. All this helps build managerial capacity.

There are numerous training institutions in the Indian defence system like the Army War College, College of Defence Management, Defence Service Staff College, National Defence Academy, Indian Military Academy and Officers Training Academy (OTA). The OTA itself runs 24 specific training institutes.

A large number of our defence personnel, both senior and junior, undergo various training courses organised by these institutions, during different phases of their career. Such trained human resources will add value to Indian corporates. This may happen not just with senior defence personnel taking up positions as independent directors, but also in regular executive functions.

Typically, training programmes help in developing administrative and managerial skills, high competency in handling technical jobs, quick decision-making ability, foresight and vision. Recently, while teaching a course for independent directors studies for senior officers of the armed forces, organised jointly by SP Jain Institute of Management and Research and Bombay Chartered Accountants’ Society, Mumbai, I was convinced that these highly trained individuals could easily be deployed in corporates with great effectiveness.

With a short and focussed orientation programme they can be deployed at various layers of the corporate organisation like general administration, human resources, managing logistics as well as a number of other technical positions depending on the concerned officers’ training and background.

In the rush for global success, Indian corporates realise that supra-managerial resources may become critical as the stakes mount. It’s here that the huge reservoir of experienced defence officers can be leveraged to create a managerial corps that can offer a unique body of real-world experience adapted to contemporary business needs and the credo of globalisation. Like technology, Indian defence can become a crucible for managers adept at both strategic thinking and cutting-edge action.

Mukhopadhyay is professor at SPJIMR, Mumbai
Dec 09 , 2006