Rohit Arora

CORPORATE/Entrepreneurship

Rohit Arora introduces Transganization for Enterprises

Dec 19, 2012

By Prashant Kapadia/INS

Why do large number of SMEs  not get funding  to augment  their long-term growth? What are the biggest challenges entrepreneurs face during their growth path? Why do many innovative changes introduced by an entrepreneur fail in the long run?

These, among many other probing questions about entrepreneurship in India were answered by Rohit Arora who introduced the concept of TransGanization, a guided tour to organizational transformation in today’s business environment. “Transganization is the process of changing the organisational genetics at the time of a changing market scenario or changing a business model or during the phase shift from one state to the other,” said Arora, defining the concept.

Explaining the current business environment, Mr.Arora painted a confused business environment ruling the mood of the country. “Kharif harvest threatens to be weak due to an erratic monsoon. Trade deficit is snowballing. Currency is as likely to weaken as inflation is set to rise. Salary in hand will reduce further, as will consumption. If IPO market seems to be looking up, realty is still looking down. Jobs are being curtailed and the business mood is swinging between hope, despair and indifference.  In such a rapidly changing market scenario, how do firms – SMEs in particular – stay afloat and prosper?, he asked.

“Transganization is a process that involves changing people, processes, systems, leadership, culture and other internal aspects to sustain competitive advantage and growth. Citing a McKinsey study, Arora said, “About two-thirds of companies who enter Total Quality Management programmes fail in their attempts. Almost 70 per cent of companies that attempt re-engineering efforts also fail,” he added.

According to Rohit Arora, companies are like human beings that need to be nurtured. “Like humans, companies go through the life cycle of birth, old age, and finally death. Like humans, a company also needs to manage or lead change at crucial momentso life. Otherwise, there will be early ageing, diseases, and in many cases an early death,” said he.

The concept of Transganization helps a company identify a) What to change; b) When to change; and c) How to change. Mr.Arora also explained through many cases and illustrations how the concept of Transgazation can help several micro, small and medium scale entrepreneurs attain the peak of their growth during these turbulent business times. He also furnished a few concrete examples of when and how a firm should raise funds and how an entrepreneur needs to combine the attributes of a leader and an innovator to scale new heights for the enterprise.