Thursday, August 3, 2000
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The rewiring of Bharti Enterprises 

 
Certainly, he is showing vision. Deftly untangling the fibre-optic skeins of a Rs 770-crore New Economy enterprise, and dexterously weaving them into a tightly-knit corporate fabric, Sunil Bharti Mittal is finally bringing clarity and cohesion to his ``Himalaya to Indian Ocean'' e-mpire. It's giga-good news for Bharti Enterprises' customers, business partners, top management, employees, and shareholders-both existing and to-be-born. For driving the restructuring is an avowed passion to drill down lines of ``operational freedom'' and throw up beams of ``linear vision''. Each business head or functional head can now cleave right through the chain of command and effect interventions that make sense-without hurting cross-divisional sensibilities. Despite the diaspora of diversifications, Mittal is also finally clustering the cores of competence.

Quite clearly, the restructuring is designed to ensure that identical businesses are run along similar lines and that Mittal's functional satraps are on standby to serve the best interests of the entire group. Watch how the organisation tree gets pruned and primed for growth. The group is hiving off its telecom services (Bharti Telecom) and manufacturing (Bharti Teletech) operations into separate companies. Overseas ventures and software development business are being delinked. Bharti Telecom's investments in manufacturing operations stand transferred to Bharti Teletech. Bharti Telecom, Bharti Teletech, and Bharti BT Internet will list on bourses-first national, then global. And through it all, Sunil Bharti Mittal will preside as Chairman and Group Managing Director of Bharti Enterprises and all group companies. The secret mantra of change management is to leave the basics unchanged.

Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.

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