Dhirubhai Ambani

Es*xecutive Summary*: Dhirubhai Ambani – Founder of Reliance Industries Ltd. Dhirubhai was born in a Chorwad village, Gujarat, India in 1932 to a middle- class family. His father was a school teacher. However, he failed to pass his school exams in the first attempt. He earned his first money as child selling snacks to pilgrims over weekends. At the age of 17, he left his hometown for Aden (now Yemen) to work with A. Beese & Co. He worked for Shell, as petrol pump attendant (“Dhirubhai”, 2008). After nine years he back to India in 1957 with a dreams to start his own business. He setup a small trading venture named Reliance Commercial Corporation. At first he started trading spices and then yarn, polyester and petrochemicals. Later, he ventured into oil and gas refining and oil exploration, building a multibillion dollar corporation. He started a trading house with just $ 350 (15,000 Indian Rupees) and within a short period, he was the largest polyester trader in the country. The company went public in 1977. He convinced the middle class community to invest in the company and rewarded them, too. Within a span of 25 year, he put the company in the Fortune 500 list. The Reliance group’s track record of continuous growth is unparalleled in the Indian industry. Today, the company’s turnover represents nearly three per cent of the Indian GDP (Krishnamurthy, 2007). He followed the simple philosophy: “Think big, Think fast and think ahead; Ideas are no one’s monopoly” (Krishnamurthy, 2007, p.37). He remained the same in all 69 years of life reflecting a continuous remarkable leadership style. Leadership styles and its impacts: Dhirubhai, without any management or technical degree, had shown his own leadership style through traditional but very efficient way. I like this leader because of his unusual theory of doing business which made him so successful. His visionary style to anticipate future was rarely seen. His leadership style and its impact played a very important role in shaping the textile industry and also in various business sectors in India. Some of his leadership qualities or styles are as follows: Enlist others: (Krishnamurthy, 2007). He always introduced the investors as the Reliance Family. Encourage efforts: Supply creates demand: Change your orbit, constantly: Major Issues Faced It is known that Dhirubhai was from an ordinary middle class family middle class family, a son of a school teacher. He had worked as a petrol pump attendant and other smaller level job before entering in the business network. It had not remained easy for him to get such success without hard work obstacles. When he started the trading business, there was a ‘license raj’ means to do the business one has to take license from the government. And it was in hand of some powerful politicians. Dhirubhai had struggled for the permit and achieved. He was a courageous man and ready to fight against any obstacles. He started Reliance at a time when most companies in India were owned by the government, and private companies were given step-motherly treatment by the government. In, 1977, he was in need of money to expand his textile mill at Ahmadabad, but he was refused by bank loan. He did not lose the courage. He decided to go public and opened his company to millions of middle class investors. He received enough fund from the investors and later he rewarded them, too (Krishnamurthy, 2007). “Ambani never followed the textbook style of the management. Instead, he evolved a unique style, which combined the American style of entrepreneurship, with the Japanese focus on the latest technology” (Evancarmichael, 2008). Conclusion In June 1998, the Wharton School of University of Pennsylvania awarded him with “Dean” medal for setting outstanding example of leadership. He was the first Indian and 24th person in the world to receive this honor from The Wharton School (Wharton School of University of Pennsylvania, 1999). In year 2000, 1998 and 1996 he recognized among “Power 50 – the most powerful people in Asia” by Asia week magazine (Reliance Industries Ltd., n.d). He was named the “Man of 20th Century” by the Federation of Indian Chambers of Commerce and Industry (FICCI) (Reliance Industries Ltd., n.d). References Dhirubhai Ambani rags-to-riches business tycoon (2008). Message posted to http://rajesshcherian.wordpress.com/2008/11/15/dhirubhai-ambani-rags-to-riches- business-tycoon/ Krishnamurthy, A. G. (2007). Dhirubhaism. New Delhi: Tata McGraw-Hill Publishing Company Ltd. Reliance Industries Ltd. (n. d.). Awards and Speeches. Retrieved on January 27, 2009 from http://ril.com/html/aboutus/awards_speeches.html

References: Dhirubhai Ambani rags-to-riches business tycoon (2008). Message posted to http://rajesshcherian.wordpress.com/2008/11/15/dhirubhai-ambani-rags-to-riches- business-tycoon/ Krishnamurthy, A. G. (2007). Dhirubhaism. New Delhi: Tata McGraw-Hill Publishing Company Ltd. Reliance Industries Ltd. (n. d.). Awards and Speeches. Retrieved on January 27, 2009 from http://ril.com/html/aboutus/awards_speeches.html