Sandeep Barasia's strength might well be his capacity for objectivity in a field where zeal, purpose, and hustling are high-resonance tenets.
That quality is ingrained in the "professional" hat he dons at Delhivery, giving him the ability to act quickly when making judgments as the logistics firm races toward its upcoming major milestones in the wake of its recent IPO.
Sandeep, aLondon Business School management graduate, worked as a consultant for Bain & Co. for almost 15 years until joining Delhivery in 2015. Since its founding in 2011, the business has developed to provide a variety of logistical
services at more than 18,000 places throughout India. Before going public in May, it received $1.4 billion in capital from renowned investors including SoftBank, Tiger Global, Nexus Venture Partners, and Times Internet.
The logistics firm recently started a same-day delivery service in 15 cities, mostly to serve online-first, or direct-to-consumer, brands, as it continues to seek new markets and opportunities. Additionally, Delhivery is accumulating a war chest for purchases.
Sandeep is Delhivery's MD and CBO, giving him a first-hand view of this rapid and ongoing expansion. He claims that the company's founders, particularly CEO Sahil Barua, have allowed him to express himself while still working with him to operate the company.
Sandeep breaks down the principles of creating a successful startup while talking from the Delhivery headquarters in Gurugram. He draws on his experience as a "professional manager" who works with the founders as well as from the company's playbook. Here is what he says:
Have The Right Aim In Mind
You must have strong enthusiasm for and obsession with the issue you're attempting to address. That is very significant. There is a distinction between creating a company with valuation as the end goal and creating a company because you
think to address a problem. because you want to construct something out of a passion and an idea.
Going Public Is Not Everything
The IPO isonly a capital market occasion. In this nation, there are major businesses that are still privately held. IPOs can occur or not, but this should not deter people from starting their firms. A company's goal may not necessarily include
becoming public. It serves as a means of generating funds, drawing attention from the public, serving as a form of payment for purchases, and rewarding personnel.
What Is The Alpha?
How do we set ourselves apart from others? How do we produce alpha? It comes down to who is shouting the loudest if all you're doing is creating another cookie-cutter offering. Customers might be highly erratic. You won't get there, then, unless you have something that can be defended.
Your point of uniqueness could be in the product, the quality of your customer service, or how you engage with them. Maybe not always the cost. Instead of solely relying on a price strategy, growth must be based on a dependable product.
Good Planning For Slumps Is Important
People don't prepare for slumps. Simply said, it makes no sense to decrease costs just because the economy is weak. Why didn't you disclose such expenses earlier? What brought them there? Why did the expenses continue to be incurred? Because if you do that, everyone will suffer. Why did you hire an additional 200 people if you are terminating 200 people when you're in a downturn?
Aim For Sustainable Growth
The growth that isn't profitable won't be able to last. Growing at all costs is not possible. Additionally, there must be a sizable market opportunity for high growth to occur. If the market is worth $1 billion and your company is only worth $500 million, how are you going to expand? To stand up, you need enough headroom. That's crucial for rapid growth.
Get A Professional Onboard
It's never too early to hire a professional, in my opinion. Getting an expert does not imply that the founder leaves the company at an early stage. The business's founders must hire an expert because they believe they can work well with them to develop the company.
