"I think we are not vocationally consultants but hope to be trustworthy counsellors."
Mario Gil, Director of INDOLINK
Mario Gil is Founder and Director of INDOLINK. Mario arrived in India in 1997 to lead the first international set up of the Spanish automotive manufacturer, RINDER. He was only 28 years old and spent the next 7 years living and working in India. In 2004, after succeeding in the set up of Rinder, he started his new project of assisting other foreign companies to set up in India and created INDOLINK. We have interviewed him to learn about his experience.
How did you decide to start INDOLINK?
Between 1997 and 2004 I worked as expatriate Director for RINDER, a Spanish automotive lights manufacturer, setting up their plant in India. This subsidiary was very successful, not only in terms of profits and return on investment, but in various other aspects which had a highly positive effect in the parent company's performance. I could see that India offered a huge potential for many other Spanish companies, which could derive similar benefits from setting up their business in India.
At the same time, establishing RINDER India was not easy at all. In the process, we had to overcome many obstacles and faced some really difficult times. I learnt a lot from that experience and thought that this was a valuable asset I could offer to other companies willing to establish operations in India.
On top of that, I could see that Spanish companies were already struggling with the growing competition from Low Cost Countries and many were at a grave risk of going bankrupt if they didn't drastically improve, which is extremely tough in a mature or declining market. I believed India offered them a low cost manufacturing base where they could improve their cost structure, while developing a decisive competitive edge in other areas.
Which have been the major problems faced so far?
The worst problem has been the limited number of companies, our potential clients, ready to invest in setting up their business in India. It is a pity that so many opportunities, knowledge and experience have not been exploited to their potential.
I think an important cause for this reluctance to invest abroad is that most companies (top managers/BoD/shareholders) have a distorted perception of risk. They are highly aware of the risks involved in a foreign venture, but are rather oblivious to the risks inherent in not taking action, which time has proved to be, for many of them, much higher (as our current national unemployment figures attest).
Which have been the most challenging projects?
Personally, I would not talk about a type of project, but a particular one, which was setting up the manufacturing plant of Bellota India. It was a very interesting and challenging project in terms of size and scope. We looked after almost all tasks related to their establishment and took a high responsibility and commitment from the very beginning.
BELLOTA team was composed of excellent professionals and really nice people. We could build a good rapport and close relationship with them, which was decisive in the final success. It was tough at times, but a very enriching experience overall.
What are the challenges that you have faced working with foreign companies?
I think the most prevalent obstacle to work with other people, either from our or other culture, lies in our local vision. We all tend to look at a very tiny part of reality and forget the "System" is much bigger than what we can directly observe. This makes us think in terms of a conflicting us-them, which leads to win-lose approaches which are, eventually, lose-lose interactions. In the long term, considering the whole scenario, there are no win-lose dealings, all are either win-win or lose-lose. Every time we pursue a win-lose strategy we end up all losing. It is a shame!
The most positive effect from such interactions is that, after we work for long enough with other people, cultures, we start realizing that we are all part of a single System, and eventually that "us-them" gradually converges into a "we, all together" progressively bigger.
How has INDOLINK evolved into what it is now?
We have all matured during this time, both managers and staff. We have achieved a good understanding among us and developed a great respect for each other.
In terms of activities, we are increasingly focused in trying to make things which are meaningful. We would still like to build a bigger and more profitable company but, above that, we want to grow as human beings and contribute more to building a better world.
Which is in your opinion the most valuable asset of the company?
I think there is one visible, that is our experience and market reputation from several truly successful projects, and another, more valuable, which is our level of awareness, as individuals and as a learning organization, which I hope will continue to grow exponentially.
Which are your expectations of growth of Indian economy?
India is a gigantic country with around 1,2 billion people, with similar strenghts and weaknesses to other human beings from more developed countries, increasingly conscious of their potential and more and more willing to make it reality. This translates in a market of enormous potential where almost everything is yet to be done. The amount of business opportunities which will gradually arise in the coming future is colossal.
What is your assessment of these 10 years of existence?
To be honest, it's quite different from what I expected. We haven't had as many clients as I thought. This has resulted in a company size and financial returns much smaller than my projections. I feel sad about this, not so much for the lost business for INDOLINK, but mainly for the opportunities which are going wasted for so many Spanish companies, and for the great wealth which could have been created for all, if we had been more effective conveying such opportunities.
At the same time, we have helped several companies, large and small, to improve their competitiveness by assisting them to successfully establish their business in India. I think that has saved quite a few jobs in Spain while creating some in India, and had a positive influence on a number of clients and suppliers, and their people.
I think we have also had a non small contribution in raising general awareness on the opportunities available in India and the main obstacles to reach them, which I hope has benefited many companies in Spain and India.
How do you see INDOLINK in the next ten years?
I think anything is possible, it depends on us. It is not me, but all together that we can build an excellent company and make a difference, if we really wish.
Personally, I would like INDOLINK to be a much bigger organization, with an outstanding know-how and management experience, which continuously adds a high value to its clients and is populated by good professionals committed to help others achieve their potential, in a sustainable process of on-going improvement.
How is INDOLINK different from other consulting firms?
I think our key advantage, as well as weakness, lies in a keen awareness on the difference between "wants" and "needs" and our relentless commitment to provide clients with what they need, not withstanding what they initially want and ask for.
I think we are not vocationally consultants but hope to be trustworthy counsellors.
Are you working on new projects for the future?
Yes, 10 years ago I believed that the biggest problem Spanish SME companies were facing related to their limited size and competitiveness, and that the best way to improve on them went through expanding in growing foreign markets. Thus, I started INDOLINK to contribute in that process, making India closer and more accessible for them.
During these years we could help several companies to grow and improve on their competitiveness. However, through this experience, I've come to believe that the core problem is deeper and revolves around the traditional management culture and strategic approach. If we really want to improve and provide a decent job to those 6 million unemployed people we currently have in Spain, we must tackle this issue on priority.
For the last 20 years I've been using at work a management philosophy called Theory of Constraints (TOC), which was developed by an Israeli physicist, Dr. Goldratt. This is a type of systemic approach, with various very effective management applications, which is being used nowadays by many companies worldwide.
However, in spite of its growing popularity and the outstanding results it offers, TOC is generally unknown in Spain and, with my new project, I intend to promote its use among our companies.
With that aim, I have recently created a web page, www.tocway.es, from where I offer services related to training and implementation of various TOC tools and applications. I currently focus on using them to help companies better manage their production, projects and distribution.
TOC concepts can be also applied to deal with personal issues and my lifelong project aims at building on Dr. Goldratt's legacy, continuing his research on how to think clearly to live a meaningful life, and help others to do so as well.