Women and Entrepreneurship

Shri Mahila Griha Udyog Lijjat Papad (SMGULP) Contd...

Any member-sister could become a managing committee member through a selection process. The members of each branch could elect a branch committee, consisting of eleven sisters. The managing committee could unilaterally terminate or appoint any member in the branch committee. Its decisions could even supersede those of the branch committee. The various branches situated all over the country were managed in a decentralized manner. The Sanchalikas or directors of the branches were selected by the members of the concerned branch every three years. They were responsible for managing the day-today-activities of a particular branch or division. They could be transferred to other branches also.

Meetings were also held at regular intervals on a branch, area and countrywide basis. Open meetings were also held at the head office regularly, to encourage participation by all members. As all the members were equal owners and shared profits equally at the end of the year, they were directly responsible for the profitable functioning of the branch they worked in. Mismanagement or loss due to negligence would lead to the dismissal of the concerned Sanchalika or other member-sisters from SMGULP. In one particular case where losses were reported due to a fall in quality standards, the member-sisters lowered their daily wages by Re. 1 per kilogram of papads, to compensate for the loss. When a particular branch performed well financially, the member-sisters increased their wages and also gave themselves additional incentives.

Irene Almeida, spokesperson of SMGULP, said "The system is self sustaining. Each member works to improve efficiency and reduce wastage. They know that profits and losses have to be borne by them."²⁵ SMGULP took part in several trade fairs and exhibitions held in various parts of India. This not only increased its sales but also made the brand name Lijjat famous. In addition, participation in such activities encouraged the numerous member-sisters to become active agents in the functioning of their institution, thus indirectly increasing their self-confidence. Many organizations in India took a leaf out of SMGULP's book tried to emulate its model of working. It seemed to be a good option for rural or semi-skilled women, who were not qualified for other types of jobs, as it provided them with a livelihood without demanding high skills and instilled in them a sense of self-worth and self-reliance.

Entrepreneurial Style

The entrepreneurial style of all these entrepreneurs was different. Ekta Kapoor was a complete hands-on manager. She exercised control over all aspects of the functioning of BTL and had the final word on everything. Her style of working was criticized by many, but there were others who feel that it was the main reason for her success. Ekta Kapoor was very young when she made her foray into television software.

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25] Business Today, January 19, 2003.

Case Details

Case Code : LDEN013
Themes: Corporate Social Responsibility, Woman Entrepreneurs
Case Length : 13 Pages
Period : -
Organization : Mahila Griha Udyog, Balaji Telefilms Limited, Biocon
Pub Date : 2003
Teaching Note : Available
Countries : India
Industry : Varied

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