Professional Documents
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Compassion-Contribution-Communication in Crisis
Compassion-Contribution-Communication in Crisis
Unlike the dates of personal life especially my marriage anniversary, wife’s birthday, and
son’s birthday, I seldom remember the dates and days in my professional career. The only
date that never fades away from my memory line is May 5th, 2017. I remember the date, as it
happened yesterday, on May 4th, 2017 as SVP -Supply chain I traveled down to Ranchi from
Gurgaon along with the Executive director of FCI and our company Group CFO to celebrate
Being sandwiched in the middle seat of Air India flight with Our Group CFO and ED FCI on
both sides. Like a film reel, the last 90 day activities started playing in my thoughts, it was
nothing less than a horror movie with all shades. Intermittently, I was listening to the praise
of a senior official of FCI about our performance in Jharkhand and his acumen of selecting us
as a befitting private partner for the Jharkhand project, it sounds like music to my ears. But,
the observation of our Group CFO about the recovery of 200 crore dues from FCI and review
on cash conversion cycle after the event grounded me before the flight got landed.
The event was the celebration and motivating awards to hard-working employees on the eve
of completion of the record of 1 lakh Mt paddy procurement within 90 days by 300 member
team, opening 200 centers in Naxal infested areas of Jharkhand. This assignment was very
prestigious not only to our company, to the Government of India, and the Government of
Jharkhand. It was unheard previously in Jharkhand about such thing that the private
price which is 40 to 50 percent higher than local traders pay to farmers and effecting
People in the company call me SAMURAI (incidentally my nickname in my school days) for
the company. This too involves multi stakeholders’ farmers, rice millers, state government
machinery, and the Food Corporation of India. Though the process looks very simple on
paper. Purchase paddy from poor farmers at government support price and get procured
paddy milled at rice mills and supply milled rice to Food corporation depots for Government
and involvement of 72 rice millers with sub-contract agreement for rice milling and dealing
with age-old process and people of Food corruption of India (FCI). Though our SOP’s are
very apt for seamless operations, local leaders, Naxalites, and NGOs make it very difficult
The event was a grand success and FCI want to replicate the same project with us in other
downtrodden states where FCI infrastructure was the concern and Food Secretary of
Jharkhand want our company to handle state procurement also in the next year (election year)
and effect payments to farmers in 48 hours. State in charge FCI Jharkhand assured
streamlining the approval process and clearing pending dues of 200 crores of the company in
one month.
On request, our Group CFO canceled his return flight to Delhi and stayed back that night for
dinner and the next day meeting with FCI local officials on seamless payment clearance. As
our meeting convened at 3 PM, FCI state in charge called for divisional managers
meeting at 10 am on that day for the status report. One of the depot managers who were
from the tribal region of Jharkhand had an altercation with the district manager and
consumed rat poison and committed suicide and died on the spot. A suicide note was
found mentioning work pressure from seniors for procurement work and
documentation.
Mob, NGO’s and leaders thrashed all the FCI officials and ransacked the office premises. The
public has taken a rally in Ranchi city with the dead body and demanded a CBI inquiry. One
of the newspapers published ‘heavy pressure on FCI employees to benefit Private party
involved in procurement’. One more newspaper published ‘Pilot project of FCI Privatisation
taken the life of tribal’. Suspension of all FCI officials of Ranchi office and closing FCI
depots for 7 days.CBI inquiry was the last nail in the coffin.
Collateral damage was huge to the company. 15 crore worth of rice struck in transit with rice
millers and 200 crores payment struck with FCI. 300 employees on roles in Jharkhand for fag
end operations of paddy season. With the advent of CBI in Scene, every government
machinery state, as well as central, started distancing themselves from our company.
In the first step, we cleared all farmer payments and salaries of 300 employees (recruited
Recognize and accept the crisis. Don’t Panic. 2. Get a crisis team in place with relevant skill
Determine what gaps in info and understanding you have and put a process in place to get
info. Separate facts from opinion. 5. Remind yourself of core values and core strengths which
you will NOT compromise 6. Identify your vulnerabilities. Response to the crisis as a threat,
AND explore if there are opportunities. Do not compromise business continuity, but keep an
Communication frequently 8. Take action and ensure flawless implementation. Know what
you will NOT cut or sacrifice. 9. Study lessons learned and redesign your processes. Fix the
problems, not the people. 10. Prepare BEFORE there is a crisis. Do regular simulations and
scenario planning