Investment of Rs 18,700 to creating a company that now generates revenues worth Rs 24,000 cr.........................
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From an initial investment of Rs 18,700 to creating a company that now generates revenues worth Rs 24,000 cr, here's how HCL took over IBM when Shiv Nadar sensed a boom in the IT sector much before anyone else.
Born without a silver spoon in 1945, in a village in Tamil Nadu, Shiv did electronics engineering from Coimbatore.
•Early job days
After graduation, he began his #career at the Walchand group in Pune in 1967 and moved onto work at Cooper Engineering Company before getting another job at Delhi Cloth Mills.
He used to work for 10-12 hours a day which made him realise that this was not what he was meant to do.
Following his heart, he along with a few of his colleagues at Delhi Cloth Mills quit to start their own company called 'MicroComp Ltd' in 1975. They focused on selling teledigital calculators in the Indian market.
• Turning point
When IBM was exiting #India in 1976 due to political reasons 1976, Shiv realised that India did not have many computer players back then.
He quickly grabbed the opportunity, and created HCL with an initial investment of Rs 18,700.
Impressed by Shiv’s vision, the Uttar Pradesh government had given him Rs 20 lakh as #grant in exchange of 26% in the company.
That's how HCL became one of the first Public-Private Partnership. However, the Gov had suggested changing the name to Uttar Pradesh Computers Limited (UPCL). But Shiv chose to keep the name, "Hindustan Computers Limited" (HCL) as it had a nationwide resonance.
When IBM returned to the Indian markets, it was charging Rs 500,000 per year just to lease this #computer. HCL destroyed their competition by introducing a computer that one could buy, not lease for just Rs 300,000! A smart move indeed.
Their first international headquarter was in Singapore in the name of 'Far East Computers', when HCL was worth Rs 3 cr & was already making Rs 10 lakh a year in sales.
• His giveback in #education:
Shiv saw that India lacked young trained employees ready to take up jobs in the IT sector. He started an educational institution, and from there on many followed.
For this, he was called a “Magus” (wizard) by his friends, since he focused on developing the educational system of India through the Shiv Nadar Foundation.
In 2008, he was honoured with Padma Bhushan. Recently, in July 2020, Shiv stepped down as the Chairman of HCL & continues as the MD. His daughter, Roshni Nadar Malhotra took over the position of Chairperson, becoming the first woman to lead a listed IT company in India.
HCL recently unveiled their new logo identity as seen below.
Shiv's story is an indication that your background doesn't determine your success, but your ability to spot #opportunities & work on it does. Agree?
Born without a silver spoon in 1945, in a village in Tamil Nadu, Shiv did electronics engineering from Coimbatore.
•Early job days
After graduation, he began his #career at the Walchand group in Pune in 1967 and moved onto work at Cooper Engineering Company before getting another job at Delhi Cloth Mills.
He used to work for 10-12 hours a day which made him realise that this was not what he was meant to do.
Following his heart, he along with a few of his colleagues at Delhi Cloth Mills quit to start their own company called 'MicroComp Ltd' in 1975. They focused on selling teledigital calculators in the Indian market.
• Turning point
When IBM was exiting #India in 1976 due to political reasons 1976, Shiv realised that India did not have many computer players back then.
He quickly grabbed the opportunity, and created HCL with an initial investment of Rs 18,700.
Impressed by Shiv’s vision, the Uttar Pradesh government had given him Rs 20 lakh as #grant in exchange of 26% in the company.
That's how HCL became one of the first Public-Private Partnership. However, the Gov had suggested changing the name to Uttar Pradesh Computers Limited (UPCL). But Shiv chose to keep the name, "Hindustan Computers Limited" (HCL) as it had a nationwide resonance.
When IBM returned to the Indian markets, it was charging Rs 500,000 per year just to lease this #computer. HCL destroyed their competition by introducing a computer that one could buy, not lease for just Rs 300,000! A smart move indeed.
Their first international headquarter was in Singapore in the name of 'Far East Computers', when HCL was worth Rs 3 cr & was already making Rs 10 lakh a year in sales.
• His giveback in #education:
Shiv saw that India lacked young trained employees ready to take up jobs in the IT sector. He started an educational institution, and from there on many followed.
For this, he was called a “Magus” (wizard) by his friends, since he focused on developing the educational system of India through the Shiv Nadar Foundation.
In 2008, he was honoured with Padma Bhushan. Recently, in July 2020, Shiv stepped down as the Chairman of HCL & continues as the MD. His daughter, Roshni Nadar Malhotra took over the position of Chairperson, becoming the first woman to lead a listed IT company in India.
HCL recently unveiled their new logo identity as seen below.
Shiv's story is an indication that your background doesn't determine your success, but your ability to spot #opportunities & work on it does. Agree?
- Get link
- X
- Other Apps
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