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Inaugural Inaugural Inaugural Inaugural address by Chairman on 54 address by Chairman on 54 address by Chairman on 54 address by Chairman on 54
th th th th
All India All India All India All India
Sr Sr Sr Sr. .. ./ // /Divisional Managers Divisional Managers Divisional Managers Divisional Managers Conference Conference Conference Conference

Dear Colleagues,
I extend a very warm welcome to all the participants to the 54
th
All India Senior
Divisional Managers Conerence! I extend a special welcome to all participants
who are attending this Conerence or the irst time, newly posted Senior
Divisional Managers and "xecutive Directors! #ver the years, this Conerence is
loo$ed orward to, %y Central oice or the opportunities it gives to &#Ds to
communicate the priorities o their Departments and %y 'Ms and Sr! DMs, or
the opportunity to respond to the priorities expressed!
At the outset I congratulate Mum%ai D# I(, Mum%ai D# III, Mum%ai D# I and
Silchar Division who achieved their )udget on %oth counts i!e! on *PI and +#P,
Chandigarh, -udhiana, Surat, .han/avur, Ahmeda%ad, 0o1hi$ode, Chennai2I,
Madurai, .irunelveli, 3daipur, A/mer, Patna2I, )hu%aneswar, Mu1aarpur,
)hagalpur, Cuttac$, 4orhat, &owrah, Sam%alpur, )engusarai, )erhampur,
Auranga%ad, 4odhpur, 0olhapur, Shimla and Pune D#2II who achieved their
)udget in *PI, Mum%ai D# II, and .hane who achieved their )udget in +#P! I
also congratulate 5aipur, )hopal, 6walior, 4amshedpur, Patna, Dehradun,
6ora$hpur, Allaha%ad, 0anpur, )areilly, Shimla, 4odhpur, A/mer, 4aipur, 0arnal,
-udhiana, )anglore, (isha$apatnam, Mysore, Dharwad, Mangalore, 7arangal,
.irunelveli, 0o1hi$ode, Chennai, (ellore, Salem, Coim%atore, .rivandrum,
Madurai, 5a/$ot, Pune, .hane, Surat, Satara, Auranga%ad and Amravati
Divisions, who achieved their )udget on all 5 counts in P86S! A very %ig round
o applause is also due to the outstanding claims perormance o the
Corporation!

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I do not intend to review the wor$ing o individual Departments2 that will %e
done %y Managing Directors! I preer to raise a ew issues regarding our
learning rom the experience rom the previous year and my expectations or
the current year!
Since (igilance Department reports to me, I will %riely review the wor$ing o
the Department! During -!9! :;< 5egular and :=; Miscellaneous (igilance
cases were closed! C(# will review the statistical part o the Department>s
perormance! I wish to highlight the need or preventive vigilance ?through
@MA, running o D(M, pre Inspection, pre Audit, sensiti1ing sta on inancial
and administrative discipline, etc!! As, possi%ly the largest inancial institution
o the country in terms o assets and as custodian o pu%lic moneys, we have
to show very high standards o pro%ity! .his needs to %e emphasi1ed in every
meeting, conerence, wor$shop, .own &all meeting, etc!
In +ew )usiness, the last inancial year started on a negative +ote, @: o *!9!
;A:4 was not doing too well up to May ;A:B! Intervention rom Central #ice
started in 4une ;A:B, with a competition or Development #icers, that
competition gave an encouraging eed%ac$! .hough 4une ;A:B was not
positive, yet, green shoots were visi%le! 4uly ;A:B and August ;A:B were good
months, which created a %uildup or Septem%er ;A:B! As non ?compliant plans
were initially supposed to %e closed w!e!! :
st
#cto%er ;A:B, Septem%er ;A:B
was an excellent month or us! My Congrats to .eam -IC or the same!
&owever, #cto%er ;A:B was a very disappointing month2 we, too$ reuge on
the pretext o estivals, etc! I sometimes get the eeling that our
disappointment o #cto%er ;A:B ought to have %een studied careully, as it
would have given us some lessons or @4! .hough Decem%er ;A:B was an
exceptional month or us, I %elieve, we ell short o C5AA to C<AA *PI! #ur

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assessment was that we should deinitely cross <AD A;) in *PI, which we ell
short o! &owever, it is my great privilege to Congratulate .eam -IC or our
outstanding MD5. perormance! .his was phenomenal and let us create
history again in the current year!
7hen I analyse our perormance o @4 o *!9! ;A:4, I note the ollowingE2
aF As a .eam, we were una%le to read the situation! 0nowing that new
products were %eing launched, we should have had a corporate strategy
or launch o new products!
%F As a .eam, we did not create strategy to meet the new circumstances! In
hindsight, I %elieve that too long extension or +) completion in 4anuary
;A:4 deprived us o our need to gra% the momentum!
cF As a .eam, we tried doing the same things, even in vastly dierent
circumstances! Philip 0otler is undou%tedly, one o the gurus o
mar$eting o this era! A ew years ago, he visited India! In an interview to
a newspaper in Mum%ai, he Guoted an interesting incident! At one o his
lectures in Mum%ai, a participant approached him with a copy o a %oo$
on Mar$eting written %y 0otler in :H=I, to autograph it! 0otler said that
he told the participant that what wor$ed in :H=I, would not wor$ in the
;:
st
century! Cynics may say that he wanted to peddle his new %oo$s ?
%ut, we $now, his statement is patently true!
I %elieve, to succeed in the current situation o new product guidelines, we
need to do things dierently and also do dierent things! .hat has to %e the
core strategy arising out o this Conerence, or the year!
As Chairman, I have to come orward to ta$e the responsi%ility or our ailures
to achieve our *PI )udget and or +egative (ariation in +#P! I am certain that I

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will hold my head high during the current year and say that we achieved our
)udget in *P, *9P and +#P! I hope some o you may %e wondering, what is the
*9P )udget or *9 ;A:5J 7e have not done that, %ut will do so soon!
Coming to the current year, our negative variation in +) continues! At the
outset, I do not %elieve that the product %as$et is responsi%le or this! Products
which sold most are already availa%le in their reincarnated avatar! In any case,
as a mar$eting organi1ation, we have to sell what products we have! .he /o% o
mar$eting is to create need, sales ulills it! I %elieve, rom Central #ice,
through 'onal #ice and in Division upto Mar$eting Manager, the ocus has to
%e on creating need in the external mar$et and in the internal .eam!
In the next ew wee$s, we will have to ta$e up mar$eting activities in right
earnest! Specially, we have to
Identiy vacant mar$ets
Create awareness and need
Create distri%ution .eams to meet the need!
As I mentioned a little earlier, old practices may not succeed in new situations!
7e are meeting two days ater the declaration o results o "lection ;A:4 or
the :=
th
-o$ Sa%ha! .his is the largest exercise o its $ind in the world! -et us
congratulate the mem%ers o .eam -IC who were on election duty, this time in
very large num%er! #ur team mem%ers along with other polling oicials ensure
that the largest democratic exercise o the world is executed smoothly! My
compliments to each one o them!
I reer to "lection ;A:4 or another relevant reason! 7ithout going into the
politics o the election, let us examine and learn rom the process o the
election!

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My assessment o the process o election ;A:4, relevant to us, involve the
ollowing
*irst step ta$en up was )rand )uilding
.hen .eam )uilding ? who will do what
.hen2 mass contact program
Door to door visits
Cluster meetings
5oad shows
Media engagement!
Success was achieved %y targeted action2 o%/ectives were set and
activities aligned!
I %elieve, to succeed in the current year, we will have to do these, and may %e
many others!
)rand )uilding is not the sole responsi%ility o CC Department! "very%ody will
play a designated role in )rand )uilding2 every employee, Agent, other
mem%ers o Distri%ution .eam! *or .eam )uilding, we will have to engage with
Development #icers and other .eam -eaders, assigning them speciic role
related tas$s! 7e must involve Development #icers, so that their strategy is
in line with )ranch targets! In mass contact, I propose we ollow a structured
strategy o prospecting through electoral rolls! +early <A crore insura%le
Indians expect lie insurance protection rom us! 7e have a target o insuring
less than 4 crore lives during the current year! *or this uninsured mass, every
product is a good product!
.o achieve this, we will re2esta%lish the old PP) ormats, identiying
vacantKscant poc$ets at village K.alu$a level! I oten hear people say )ac$ to

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)asics! #ur %asic strategy was to plant Agents in vacant poc$ets! .hrough these
agents we reach untapped mar$ets! 7e cannot aord to not do this now! #ur
Agency recruitment strategy will have to continue this, and this would %e
augmented %y 5CA, 3CA, CCA Schemes! 7ith our Development #icers and
Agents, we will have to conduct door2to2door surveys! 7e will have to arrange
cluster meetings, in malls, actories, oice complexes, wee$ly mar$ets, grain,
ruit mandis, etc! 7e will have to do 5oad shows with pu%licity vans! 7e will
also need to engage in media management! *riends, I reiterate, circumstances
have radically changed! 7e cannot persist with traditional activities o, e!g!,
competitions or %usiness development! 7e have to create the mar$et2the
mar$eting part o our /o% and, the sales team has to execute the sales strategy!
I am sure that our deli%erations over B days will throw up excellent ideas and
strategies!
.he theme o the Conerence is Passion or Customer and @uality! Customer
service is not the wor$ o C5M Department alone! Customer service is -IC>s
core unction, selling insurance and servicing the insured! I again compliment
.eam -IC or *!9!:4 Claims perormance! During the current year, we shall ta$e
up a ew activities in earnest2
"ngaging with the customer2 email id and Mo%ile num%er to %e
incorporated in policy master!
5eview o premium due list2 Persistency
5e2structuring Claims module2 with ocus on reinvestment, strategy
%eing led %y Mar$eting Department!
MAS& restructuring ? migrating to %ac$ oice concept
Mini #ice KSatellite #ice as customer engagement points!

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*!9! :5 will also %e the year o I. interventions! I have mentioned a%out the
restructuring o the Agents Module and Claims Modules! .his year, we shall
operationali1e I. security through %iometric login! A large data %ase and huge
num%er o transactions reGuire a %etter I. security system and %iometric login
will %e one o the interventions! A system will %e developed %y which we will
%e a%le to analyse employee productivity through %ac$end review! .his is in
ideation stage and should %e in place %y @B! I loo$ orward to your ideas and
the Idea )ox to suggest what other I. interventions can happen!
During the CMC o March ;A:4, I had set out :; Anchors or *!9!;A:5! .hey are
as ollowsE2
:! Achieving +) )udget2 i!e! *P, +#P
;! Aligning our systems with regulatory reGuirements, i!e! %ring into ocus
*9P
B! @uarterly .erm )udget and 5eview
4! Proita%ility Analysis o '#KD#K)#
5! PP) will %e institutionali1ed at '#KD#
=! Adhar %ased selling will %e part o Action Plan
I! (oters list %ased selling will %e part o Action Plan
<! Improving productivity o all intermediaries2 reengineering o Agent
Module
H! Connecting with existing customers2 email id , Mo%ile num%er
:A! Productivity o sta will %e reviewed through %ac$ end!
::! Claims module reengineering2 5einvestment!
:;! Mini #ices as centers o growth!
Many o these Anchors I have reerred to in the address! #n some o the
Anchors, wor$ has started, on others, we shall start soon! I am sure together

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we will ma$e things happen, and not wait or outcomes! 7e are mar$et
ma$ers! 7e create, we ma$e things happen! 7e are players, not spectators!
.his room is illed with very privileged people! +ot merely %ecause we are
here, %ut %ecause we are all endowed with leadership positions! I want to
draw the attention o the participants and through you o the entire .eam -IC
on the $ey issue o leadership and ethics! -eadership is not a position which
comes as a ait accompli or the .eam, leadership is a position which depends
upon the %ulwar$ o acceptance %y the .eam! Acceptance %y the .eam would
depend on a host o actors! I raise a ew o themE2
As a leader , do we inspire conidence in the .eam
Does my .eam see me as dependa%le
Do I lead %y example
Do I have 1ero tolerance to ethical am%ivalence
Is .eam wanting to %e with me, or wants to leave
*riends, let us ta$e advantage o our privilege o %eing in leadership positions!
.his is a privilege which multitude aspire or, %ut, only a ew succeed in getting!
I am sure we will all reassess our role as leaders, and, convey the same down
the line!
I hope some o you are ond o oot%all, and ollow the game played in "ngland
and "urope! +one the less, I am sure, every%ody in the Conerence, would
have heard o Manchester 3nited, pro%a%ly the %est %rand name in the world,
in any sport! .ill May ;A:B, the Clu% had as its Manager, Sir Alex *erguson! &e
managed the clu% or ;= seasons, won the "nglish Premier -eague :B times
and won ;5 other domestic and international trophies! &e is considered to %e
the greatest oot%all manager in the current era! &arvard )usiness 5eview

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S!Asia, in its #cto%er ;A:B issue, did a case studyK interview with him! Pro
Anita "l%erse o &arvard )usiness School, who wrote the case study, identiies
eight anchors o the management style o Sir Alex, which she %elieves
contri%uted to his success! .hey are
:!F Start with the oundation
The job of a Manager, like that of a teacher, is to inspire people to be
better. Give them better technical skills, make them winners, make them
better people, and they can go anywhere in life.

;!F Dare to re%uild your .eam
believe that the cycle of a s!ccessf!l team lasts may be fo!r years,
and then some change is needed. "o we tried to vis!ali#e the team three
or fo!r years ahead and make decisions accordingly.

B!F Set &igh Standards ?and &old "veryone to them!
had to lift player$s e%pectations. They sho!ld never give in
4!F +ever, ever cede control!
f the coach has no control, he will not last. &o! have to achieve a
position of comprehensive control.

5!F Match the message to the Moment
's a manager, yo! play different roles at different times. "ome times
yo! have to be doctor, or a teacher, or a father.

=!F Prepare to win
(eing positive and advent!ro!s and taking risks) that was o!r style. *e
were there to win the game.

I!F 5ely on the Power o #%servation
don$t think many people !nderstand the val!e of observing. come to
see observation as a critical part of my Management skills. The ability to
see things is key)or, more specifically, the ability to see things yo! don$t
e%pect to see.


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<!F +ever stop Adapting
Most people with my kind of track record don$t look to change. (!t
always felt co!ld not afford not to change. *e had to be s!ccessf!l)
there was no other option for me +and wo!ld e%plore any means of
improving.

.he learnings rom the case2study o Sir Alex *erguson are many, and relevant
to our context! I %elieve, all o us will try to im%i%e these learnings and adopt
them in our lie!
3ndou%tedly, *ield Marshall Mane$shaw is one o the most illustrious sons o
India! &e was %orn on B
rd
April, :H:4! .his year is the %irth centenary o this
great soldier! #n ::
th
+ovem%er :HH<, at the age o <4, *ield Marshall
Mane$shaw addressed #icers at the Deense Services College, 7ellington on
-eadership and Discipline! I share with you, the our attri%utes o leadership
that the *ield Marshall identiiedE2
:!F Proessional $nowledge and proessional competence
;!F A%ility to ta$e decisions and accepting responsi%ility or that decision!
B!F &onesty, airness and /ustice!
4!F Moral and physical courage!
Proessional $nowledge and competence are Gualities that can %e acGuired, we
undergo training programes, attend meetings and conerences, interact with
sta$e holders, etc! All these give scope to improve our proessional $nowledge
and competence! Any person in leadership position is reGuired to ma$e
decisions! &ow we do this, relects not only on our proessional $nowledge and
competence, %ut, also, on our managerial style! More air, transparent and
o%/ective decision ma$ing process, will lead to greater acceptance o decisions!
.his leads us to honesty, airness and /ustice! Most oten we are dealing with

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people2 /ust li$e we expect honesty, airness and /ustice rom people, people
expect the same rom us! Moral and physical courage are attri%utes that
ena%le us to weather any storm, and overcome any o%stacles!
My expectations rom this .eam is that we shall %e outstanding leaders and
create other outstanding leaders in our .eam! .his is the most enduring path
to success!
I am certain that our deli%erations or the next three days especially, and our
continued interactions in uture, will lead this mighty organi1ation to greater
heights!
.han$ you


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