The Hindu Business Line : <I>Lalu's miracle </I>

The Railway Minister, and a cult figure in politics, Mr Lalu Prasad, has been making waves as management's new icon. Specialists in the field have adjudged the record of achievements by the Indian Railways (IR) under his stewardship as truly impressive. The Indian Institute of Management Ahmedabad, invited him to talk to its faculty and students, and the Lal Bahadur Shastri National Academy of Administration, the Harvard University, HEC Management School, France, and many other institutions in India and abroad are lining up to get to know first-hand from him the saga of the turnaround of that incredibly huge behemoth among world organisations.

Just look at the bare facts: Until Mr Lalu Prasad took over, the IR had been down in the dumps, defaulting on payment of dividends to the Government, heading, as per the alarming prediction of the Rakesh Mohan Committee, for bankruptcy, with a financial black-hole of Rs 61,000 crore. It is now a cash cow, sitting over an unbelievable surplus of Rs 110,000 crore, making the Government richer by its five-figure dividends.

Mr Lalu Prasad's overall strategy of improving mobility and productivity of wagons, running of higher-axle-load trains, improvement in asset-liability and infrastructure development for reducing transit times is what has brought about the turnaround without raising fares or freight. All observers are agreed that Mr Lalu Prasad led from the front, with a vision that derived from his robust and rustic common-sense. Saying that cows became sick if they were not milked regularly and properly, he insisted on "milking" the wagons and assets to the maximum extent.

Mr Lalu Prasad's greatest contribution has perhaps been his ability to enthuse Railway professionals to make new tracks, such as operating a freight corridor linking major ports with important cities and setting up farmers' kiosks at 7,500 stations on the public-private partnership mode. He has also vowed to go all out to make the Indian Railways world-class.

Bravo, Mr Lalu!

B. S. RAGHAVAN

More Stories on : Railways | Insight | Offhand

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
The NELP gusher

If you are pretending that you know pretexting...

Manufacturing needs a policy crank-up

EU plans tax law changes to hone competitive edge

Has life turned bitter for Kerala's spice farmers?

Lalu's miracle

Indian Export Scene — The challenge of exporting

Medical tourism and its side-effects

Lalu's strategy

Sugar production