Keshub Mahindra, the senior-most Wharton alumnus in India, is chairman emeritus of India’s Mahindra Group, a $20.7 billion conglomerate. His father and uncle founded the company in the mid-1940s. Mahindra joined the business soon after its inception, took over as chairman in 1963, and retired in 2012 after leading the group for five decades.
For Mahindra, who is widely respected for his philanthropy, values such as being honest, compassionate, respecting everyone, and giving back to society are very important. In a conversation with Knowledge@Wharton, Mahindra, 95, discusses what life has taught him and lessons he would like to share with younger generations.
This conversation is part of an ongoing series of interviews that Knowledge@Wharton is producing in collaboration with Wharton Magazine.
Excerpts from an edited transcript of the conversation appear below.
On Mentors
I have had mentors all my life. I describe mentors as those whose qualities I admire. These are people whom I respect and would like to learn from, but I wouldn’t like to ape them. I am what I am.
If I had to name a couple of my mentors, from the business world I would pick J.R.D Tata, [the industrialist], and from the social and political world, Nanaji Deshmukh [social activist Chandikadas Amritrao Deshmukh]. One common thread among those I admire is their passion and dedication to providing support to unfortunate people, who have not had opportunities to do something in their lives. Nanaji Deshmukh, for instance, was a stalwart of the Bharatiya Janata Party [now the ruling party in India]. At a point in time when he could have had any position within the party, he gave up politics and set up a charitable organization to create a model for development.
“I am a great believer in people.”
On Meaningful Books
I am very fond of reading. I read three or four books at a time. If I had to choose books that have influenced me the most, it would depend on the environment in which I read the book. My mood would influence my judgment. Old classics continue to impress me. Among new generation writers, Yuval Noah Harari — author of Homo Sapiens — is profound in the breadth of his coverage.
The subject of human growth has always intrigued me. For instance, why is it that after nearly 70 years, we have not been able to economically develop our country as we ought to have? Why is there still poverty? Why do so many people lack housing and water? This is not acceptable. Much to my surprise, no business school seems concerned over such issues.
I like to read about history and culture. In the 15th and 16th centuries, India was the world’s largest trading nation, accounting for some 28% of global trade. And look at us today. One has to wonder why — it is fascinating to speculate.
My love for learning led to my association with the Ahmedabad Institute of Management where the government appointed me chairman of the Board of Governors, in which capacity I served for nearly 10 years. This gave me an opportunity to interact with the faculty, the students and the public at large over many years of learning — a life different from my corporate one.
On Aspirations and Regrets
When we were in our teens, around 15 years or 16 years old, my father asked all the children in the family, particularly the boys, to write down what we wanted to become. Many years later, he gave us a copy of that letter. My first choice was to become a farmer. Why? I don’t know. My second choice was to become a soldier. I did not think about business at all.
Fate intervened to make it possible for me to spend my teenage years being educated at one of the world’s finest universities. My years at Penn shaped many intrinsic values of my life. The American Constitution calls for the protection of the fundamental rights of its citizens, a life of freedom and liberty. Equal laws for all. These are admirable qualities for any nation to pursue. My years at Penn were wonderful years. We do not have the time to talk about my American years, but they were happy years for me.
At my age you don’t have aspirations any more. You may have regrets – and they are not necessarily of your own making. Regrets about why have we not moved forward. My deepest regret is that we still see poverty on our streets.
When I graduated from Penn, my family had just started this company. My father was working in Washington but was planning to return to India soon, and they were thinking about what to do. I had an offer of a job in Brazil and so I told my father that I would be going to Brazil. My father was a very kind, wise man. He looked at me and he said, “Fine,” and he added: “You’ve not been home for six years; why don’t you come back for some time and then go to Brazil.”
Foolishly, it didn’t strike me what it would mean to go back to India. So I agreed, very happily. I came back to India and of course that was the end of my plans for Brazil.
At one stage I had some feelers from the government — to inquire if I would consider joining them. I may have got a Cabinet post, but I declined. I felt that government positions were temporary; what would I do if the government suddenly decided to fire me? I couldn’t have gone back to business. Transition from public to civil life is not easy in our society. To some extent, I regret that decision because my personal interests lay in upholding the dignity of individuals and supporting their growth.
“My aspiration has been to help those who need help. I am not being saintly. I genuinely feel for people.”
It is important to provide opportunities for people to grow. Of course, we do this through our various foundations and charities. We focus very heavily on educating girls; we are helping educate more than 250,000 girls a year. In addition, we set up vocational schools and provide scholarships.
Dealing with People
It is important to connect with what is going on around you. I am a great believer in people. I tell my friends in academia that you teach wonderful technology to people, but one element you don’t concentrate on is how to deal with people. After all, what are you doing all this for? You are doing it for people.
Many years ago, the government asked me to help set up what became the first housing finance scheme for the poor. I set it up and ran it for six or seven years. During this time, I visited some of the most deplorable slums in India. I would come home and wonder how people could live like this. That had a huge influence on my life.
My interest in housing continued. I was vice-chairman of HDFC, a leading company in housing finance for 25 years. That gave me tremendous insight and information. Our own charitable organization also focuses on housing. But, compared to the need that exists, what we do is minimal.
Another thing that is very important in life is to respect people. No matter who they are, what they do — we should respect them. I also believe — and this is reflected in the way we conduct our business — that a man’s ability is limitless. You need to encourage him. You need to give him freedom to think and act. I like to think that we do this in our own organization. When my father and uncle set up this company, they issued an ad in the paper as to why they were setting up this company. They did this on the day the company was established. It was like a mission statement. It was unheard of in those days. That, of course, influenced all that we have done.
One incident which affected me deeply was the Union Carbide tragedy. The issue is pending hearing in Court and is a matter of subjudice. It was regretful, remorseful and painful.
Life’s Mission and Purpose
My goal has been to help those who need help. I am not being charitable. I genuinely feel for people. But I am also in a dilemma about what one can do, because there is a limit even to charity. So, one despairs. These are the areas one regrets. Could I have done something different? Perhaps I could have spent more time in public affairs? But that would have meant involvement on the political side, which I wasn’t keen on.
“Happiness is an attitude of the mind.”
I don’t know what my ideals were when I was younger. I didn’t think much about these things. When you are in your 20s, you don’t sit down and say, “This is what I want to do.” You take life as it comes. I think your choices begin at about age 30. By then it is too late to change. Only the brave have the courage to transform their lives.
Life Lessons
I tell my children and young people two things. One, dream about achieving the impossible — because impossible things do happen. Two, be compassionate. Think about others. Money is not everything.
My children and grandchildren are all involved in different careers but are all deeply motivated to affect social change whether it’s towards education, health or the environment. Recently, my eldest daughter set up an NGO that also provides free housing to cancer patients who are undergoing treatment in Bombay. [My children] are fortunate, and I would like them to continue working and spending their time in these meaningful ways.
I believe happiness is an attitude of the mind. I tell my children, be happy in whatever you are doing, but I also tell them, be tolerant, be open, be honest, and transparent. That is how you should be. Take joy in the happiness of others.
Join The Discussion
2 Comments So Far
Anumakonda Jagadeesh
Excellent.
Keshub Mahindra is a businessman par excellence and a great philanthropist.
Keshub Mahindra (9 October 1923) is an Indian businessman, and the chairman emeritus of the Mahindra Group. He retired as chairman in August 2012 after heading the Group for nearly five decades, handing over the position to his nephew, Anand Mahindra. Mahindra is known for his philanthropy. He is a graduate from Wharton, University of Pennsylvania, US. He joined Mahindra & Mahindra in 1947, and in 1963 took over as chairman.
Mahindra has been appointed by the Government of India to serve on various committees, including the Sachar Commission on Company Law & MRTP, Central Advisory Council of Industries. In 1987, he was awarded the Chevalier de l’Ordre National de la Légion d’honneur by the French Government. From 2004 to 2010, he was a Member of the Prime Minister’s Council on Trade & Industry, New Delhi.
Mahindra is a member of the Apex Advisory Council of ASSOCHAM and is the President Emeritus of the Employers’ Federation of India. He is an Honorary Fellow of the All India Management Association, New Delhi and a member of the Council of the United World Colleges (International) in the United Kingdom.
He is a proponent of good governance and ethics and has stated his views in several publications and forums, including in an interview for the Creating Emerging Markets project at the Harvard Business School, during which he talks about the Group’s evolution into a global business group and his determination never to compromise on high ethical values.
Memberships
1. Apex Advisory Council – ASSOCHAM
2. Founder Member, Indo-Hellenic Friendship League
3. Founder Member, Governing Council, Integrated Research & Action for Development (IRADe) New Delhi
4. President, Centre for Research in Rural & Industrial Development Society, Chandigarh
5. President Emeritus, Employers’ Federation of India
6. Deputy Chairman & Trustee, Employers’ Federation of India, Social & Labor Research (SOLAR) Foundation.
7. Hon. Fellow, All India Management Association, New Delhi.
8. Member of the Council, The United World Colleges (International) U.K.
9. Member, Sachar Commission on Company Law & MRTP
10. Member, Central Advisory Council of Industries
Philanthropy
Chairman, Mahindra Foundation
1. Chairman, Board of Trustees – Population First
2. Chairman, Bombay First, Health & Environment Committee
3. Chairman & Trustee, K.C. Mahindra Education Trust
4. Member, Governing Board – United Way of Mumbai
5. Member of the International Advisory Board, University of Pennsylvania, Center for the Advanced Study of India, Philadelphia
6. Founding/Life Member of University of Pennsylvania, Centre for the Advanced Study of India, New Delhi
7. Member, Governing Board – Bombay First
Awards
1. Businessman of the year, India (1989) by Business India.
2. Rotary award for Vocational Excellence (1992).
3. Lifetime Achievement Award (2007) by Ernst & Young.
4. 2009 ACMA Lifetime Achievement Award
5. 2009 Economic Times Lifetime Achievement Award
6. 2012 Federation of Automobile Dealers Associations – Lifetime Contribution Award
7. 2012 Lifetime Achievement Award by the Employers’ Federation of India (EFI) (2012)Lifetime Contribution Award, Federation of Automobile Dealers Association (FADA)
8. 2013 NDTV Business Leadership Awards 2012 – Lifetime Achievement Award.
9. 2013 AIMA Managing India Award 2013 – Lifetime Achievement Contribution.
10. 2013 Wharton Alumni Award for Distinguished Service, Philadelphia.
11. 2013 Bombay Management Association (BMA) – Lifetime Achievement Award 2012-2013.
12. 2014 Lifetime Achievement Award from ASSOCHAM (The Associated Chambers of Commerce and Industry of India)
13. Honored by SIAM/ACMA for his valuable contribution to the Indian Automotive Industry (2013)
14. Frost and Sullivan Award for Leadership, Innovation and Growth (2015)
Wikipedia
In an Interview to Joel Kurtzman is editor-in-chief of Strategy+Business,on his Company’s specific Indian characteristics Kesub Mahindra narrated:
“Let me put it like this. If you study the Indian social culture, you would find that it is very much a patriarchal system. Now, I think that you cannot get too far away from it, even in our company. I think that sometimes these workers of ours, they look to a father figure. And, you know, I must tell you of an experience that I had that absolutely shook me.
Last year, we completed 50 years of our existence. The workers at our plants said to me, “Please come out on the day of the 50th year.” So my wife and I went to the plant. And do you know what? Ten thousand workers, standing around, put my wife and me in a Jeep and they took us for a ride around the grounds. And as they did, they were cheering and throwing rose petals on us. It was an unbelievable kind of affection that they showed. It was true affection.
So if there is a characteristic of an Indian company, I would say it is rather like a large village, or family even. And you know, we try to give our workers the feeling of family. We take a lot of trouble looking after them and we care for them. I mean we fight with them on wage agreements and so on, but we care.
I think that’s the nature of an Indian company.”
Dr.A.Jagadeesh Nellore(AP),India
Jim Bozin
Great interview. A life well lived.
I always said that was my problem, I was dreaming of millionaire in the coming age of billionaires. So Think Bigger than your current view dreams suggest. Money isn’t everything, but it is the gauge.
So you’ll have to by-pass trillionaire and go to quadrillion at least…
I just hope they make it but likely to be scorned as foolish dreamers along the way.