CULTURE TRANSFORMATION
Guest Interview: Ruchira Bhardwaja and
Manu Nanda on Culture of Growth Mindset
AUTHORED BY:
MILONEE PAREKH | KNOLSKAPE EDITORAL TEAM
Introduction
Fostering a culture of growth mindset within organizations is not just beneficial; it’s essential for long-term success and innovation. A growth mindset, a term popularized by psychologist Carol Dweck, refers to the belief that abilities and intelligence can be developed through dedication and hard work. This concept has transformative implications for employee engagement, organizational adaptability, and overall corporate performance.ย
Key Outcomes of a Growth Mindset Culture:
| Enhanced Innovation and Creativity
Employees in a growth mindset culture are more likely to embrace challenges, think creatively, and innovate.ย
| Effective Leadership Development
Leaders in a growth mindset organization play a crucial role in modeling learning behaviors and supporting their teams through change and development.ย
| Increased Resilience
Such a culture helps individuals and organizations bounce back more effectively from setbacks or failures.ย
| Continuous Learning
A growth mindset fosters an environment where continuous learning is valued and encouraged, leading to constant skill development.ย
| Higher Employee Engagement
When employees believe their efforts and development are valued, their engagement and commitment to the organization deepen.ย
In this engaging interview, we delve into the intricacies of developing a growth mindset culture with Ruchira Bhardwaja, Chief Human Resources Officer at Kotak Life Insurance, and Manu Nanda, a seasoned leadership expert, and the Chief Business Officer at KNOLSKAPE. We explore their insights on the pivotal role of leadership in cultivating this mindset, the challenges and opportunities it presents, and practical strategies for embedding a growth-oriented culture within an organization.ย
Panelists
With over 25 years in the industry, Ms. Ruchira Bhardwaja’s career spans a variety of sectors, demonstrating a versatile and comprehensive professional journey. She serves as the Chief Human Resources Officer at Kotak Life Insurance Company, bringing a unique blend of strategic HR expertise and cross-functional experience.ย ย
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In addition to her substantial contributions in human resources, Ruchira has been actively involved in new product development, business excellence, knowledge management, and business ethics initiatives. Her diverse skill set is further evidenced by her 14-year tenure with the Tata Group. During this period, Ruchira experienced a multifaceted career path, working with esteemed organizations ranging from the iconic Taj and Rallis to innovative ventures like Chroma. Based in Mumbai, Ruchira is passionately committed to mentoring working women professionals, dedicating her personal time to guide and support them in their career aspirations. Beyond her professional commitments, she is devoted to personal growth and skill development. Ruchira is an enthusiastic photographer and considers herself a skilled storyteller, showcasing her creative talents alongside her professional expertise.ย
Our second guest, Manu Nanda is the Senior Vice President and Chief Business Officer at KNOLSKAPE. Heโs a self-initiator and he thrives on chasing audacious business goals. His expertise lies in creating value for customers, helping the organizations with their talent transformation efforts across levels, and delivering high business results.ย
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A seasoned enterprise leader with over 25 years of diverse corporate experience across FMCG, petroleum, retail, automotive, oil and gas, and training and coaching money. Manu has held leadership roles across channel management, key accounts, franchisee operations, and consultant. Outside of work, Manu is a movie buff and avid reader and a compulsive swimmer.ย
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Below is the complete interview with Ruchira and Manu on Culture of Growth Mindset.ย ย
What does growth mean to you? And how would you describe the culture across organizations that you have been part of that has helped you take this transformation journey?
| Ruchira
Growth, to me, has always been about three key aspects since my early working days. Firstly, the opportunity to undertake challenging assignments is my primary growth parameter. Whether it’s assignments, work, or initiatives, they need to be challenging. Secondly, it’s about continuous improvement and learning. Challenging assignments naturally provide opportunities to learn and improve existing practices, moving beyond the status quo. Thirdly, it’s about striving to elevate the depth of the work that my teams are doing. That itself signifies growth to me.ย ย
Throughout my professional journey, I’ve been fortunate to be part of organizations that foster a culture of growth, including Taj, Chroma, and now Kotak. It’s been an amazing journey. The people I’ve worked with have embodied a growth mindset. These organizations also value innovation. Take the Kotak group, for instance, it’s built on entrepreneurship and has grown ethically, encouraging personal development and supporting experimentation. They’ve also embraced learning from failures. A memorable example from early in my career involves setting up and digitizing a knowledge management framework, at a time when digitization wasn’t as prevalent as it is now. This opportunity, 15-16 years ago, was significant. It’s a philosophy I’ve carried throughout my career and emphasized to my team: growth is about challenging the status quo and striving for excellence.ย
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Regarding the Tata companies and the larger Tata group, there are definitely unique microcultures within each organization. You’ll find pockets across the organization with breakthrough ideas, often revealed through interactions and travel. For example, someone might suggest an innovative idea that hadn’t been considered before. In contrast, some areas prefer traditional methods, adhering to the adage, “If it’s not broken, don’t fix it.” These micro-niches within the organization are vital. In KNOLSKAPE too, you’ll find similar dynamics across the organization.ย
| Manu
My insights align closely with Ruchira’s experiences, particularly in the context of growth. For me, growth is fundamentally about thriving in challenging situations. This concept is closely tied to the growth mindset, which involves learning from failures. Whether in personal or professional life, facing failure is inevitable. The critical factor is whether one chooses to dwell on failure or learns and moves forward from it.ย
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Another key aspect of growth is the ability to step out of one’s comfort zone. This step is essential for progress, as staying cocooned in familiar territory often hinders growth. These three aspects โ embracing challenges, learning from failures, and moving beyond comfort zones โ are pivotal to my understanding of growth.ย
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Reflecting on my career journey, starting from the mid-90s, the work culture has undergone a significant transformation. Initially, the hierarchical, top-down approach was prevalent, offering limited opportunities for open communication, risk-taking, and creativity. The support of a good mentor or a superior boss was crucial in the early stages of my career, where the primary focus was on following directions without much room for initiative.ย
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However, the last decade has witnessed a remarkable transition, partly influenced by the emergence of major technology companies like Apple and Google. These organizations have driven a shift towards more employee-friendly environments. My experience with ExxonMobil, especially during the major industrial merger between Exxon and Mobil around 2005-2006, was a turning point. This merger, combining two of the largest Fortune 500 oil companies, provided me with profound insights into innovation, the blending of different cultures, and the nuances of change management. It was a period of significant learning, helping me understand the importance of embracing change, learning from failures, stepping out of my comfort zone, and thinking expansively.ย
Things have moved and progressed a lot in the last two or three decades. As you mentioned, we still see a lot of potential biases and barriers in organizations that can probably hinder the growth mindset or the development of such mindset in organizations. So how can organizations actually work on that?
| Manu
Yes, there has been considerable progress in recent decades, potential biases and barriers in organizations can still hinder the development of a growth mindset. Addressing these issues is essential for fostering a culture that supports growth and innovation.ย
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The narrative around creating a culture of growth mindset is becoming increasingly prominent, especially among senior leaders, CHROs, and HR heads. The emphasis is on establishing a culture that nurtures a growth mindset, innovation, and a customer-centric approach. However, challenges remain. A prevalent issue in many organizations is the persistent notion of measuring success comparatively, where performance relative to others is a key metric. This approach can create biases and barriers, impacting the growth opportunities for employees and the organization as a whole.ย
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To overcome these challenges, leadership plays a crucial role. Leaders can drive change by creating a sense of security and a culture that encourages risk-taking and learning from failures. It’s about communicating to employees that they are supported and that their efforts are valued, even if they don’t always lead to success. This environment should promote the idea that failure is a part of the learning process, provided it doesnโt become a habitual response.ย
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There are two primary ways to address these barriers. Firstly, it involves changing the narrative within the organization to provide a sense of security to employees. This change can empower teams to communicate openly, discuss ideas without fear, and understand that failure doesn’t define them. Secondly, establishing a ‘fail fast’ culture is crucial, where employees are encouraged to take risks with the assurance that the organization has their back. This approach, however, should be balanced with the understanding that while failure is part of the learning process, it should not become a recurring pattern. Creating such a culture can significantly shift the way growth and development are viewed within an organization, leading to more innovation and a stronger, more resilient workforce.ย
| Ruchira
Overcoming biases and barriers to a growth mindset indeed starts with awareness. Recognizing a behavior as biased is the first step to changing it and fostering inclusivity. Manu highlighted an important point: if people are constantly competing against each other in a ranked system, it perpetuates growth barriers in their mindsets.ย
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At Kotak Life, we’ve initiated programs to address this. A couple of years ago, we began with the leaders, engaging in discovery discussions with the executive council to identify potential biases within the organization. By acknowledging these biases, we prioritized areas for the leadership team to work on to mitigate them. This effort extended to our next level of leaders, using coaching to help them recognize mindset barriers and explore alternative solutions.ย
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We’ve also focused on breaking these barriers more effectively than before. An exclusive program for women across the company targets mindset issues and self-limiting beliefs, common among women. Additionally, we’re educating managers to support and encourage women in exploring their potential, ensuring that the entire organization is prepared to embrace these changes.ย
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Our approach involves recrafting processes and encouraging people, especially first-time managers, to expand their mindsets and consider alternative ways of working. We prompt them to ask “why not” instead of sticking to conventional methods.ย
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I’m particularly proud of our work with young leaders: the future of the organization. We’ve launched a program like “40 under 40”, and one of the initial steps was a human intervention lab. This lab is designed to help these young leaders understand that mindset barriers are often the most significant obstacles they face. It encourages them to think bigger, differently, and more expansively.ย
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Additionally, we actively promote diversity and inclusion, recognizing that different perspectives spark unique journeys. It’s crucial for us to have a diverse group of people, free from self-limiting beliefs. This diversity in thought and experience is central to our approach, ensuring a more dynamic, inclusive, and growth-oriented organizational culture.ย
Considering the insight from the Startup Genome Project which states that startups pivoting once or twice in their early stages are 2.5 times more likely to succeed. Pivoting, as we understand, is a form of controlled experimentation. Even though Kotak Life Insurance isnโt a startup per se, the current dynamic business environment often requires established organizations to adopt a startup-like mentality. In this context, how do you manage and promote risk-taking, pivoting, or experimentation within Kotak Life, especially in relation to fostering a growth mindset?
| Ruchira
At Kotak Life, we’ve cultivated an entrepreneurial mindset. We’re in the BFSI sector, yet we always strive to do something more, something different. To give you an insight into our approach to risk-taking and experimentation, I’ll focus on what happens within our HR team, which reflects the broader culture at Kotak.ย
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At any given time, around 10 to 15 members of my team are exploring new methods and innovations. This includes implementing AI for hiring, AI and ML for employee engagement, identifying early warning signals, developing internal coaches, and promoting mental health initiatives. We don’t just pay lip service to these ideas; there’s substantial experimental work behind each.ย
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Our approach involves creating an environment that encourages team members to pursue areas they find exciting and offer learning opportunities. We allocate time and resources to these experimental projects, ensuring they’re meaningful and have the potential for real impact. For example, we recognized that life insurance isn’t typically a sought-after career choice for young people. To change this perception, we initiated a campaign where team members visited colleges and even remote areas in India to educate people about life insurance and career opportunities in the industry. This structured approach is somewhat unique in the corporate world.ย
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For each experiment, we set clear objectives and success metrics. We’re committed to not only trying new things but also to achieving tangible results. We celebrate innovative thinking and small wins, fostering a culture of continuous improvement and experimentation. Our team members are encouraged to take initiative, and we support them in these endeavors. This culture of experimentation and risk-taking is integral to fostering a growth mindset within Kotak Life, making us more dynamic and adaptable in a fast-evolving business landscape.ย
| Manu
Emphasizing the importance of creating the right environment for employees, the first step towards encouraging risk-taking involves helping them step out of their comfort zones. This means establishing a narrative where failure isn’t seen as the end of the world. It’s not just about measuring success, but also about recognizing and praising employees for their work ethics, values, and the effort they bring to the table.ย
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An interesting example comes from a high school in Chicago. When students don’t perform well, their report cards don’t label it as a failure but instead use the term “not yet.” This implies that there’s still room for improvement and encourages students to keep trying. Applying this concept to the corporate world, it’s about encouraging employees to take risks and reassuring them that not succeeding immediately doesn’t equate to failure. Ruchira’s examples from Kotak Life illustrate how creating the right narrative can inspire employees to take risks and foster a growth mindset. The โnot yetโ approach is inspirational, suggesting that thereโs always room for improvement and further attempts.ย
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Addressing the challenge of overcoming fixed mindsets, especially when people are comfortable and resistant to change, requires a strategic approach. Carol Dweck’s concept of a growth mindset, as detailed in her book “Mindset: The New Psychology of Success,” provides valuable insights. It emphasizes the significance of the words and communication styles used in team meetings and one-on-ones. Praise should focus on the effort, beliefs, and incremental improvements employees make, rather than just the end results.ย
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Building this narrative within an organization and integrating it into the culture is crucial. Acknowledging even small progress or efforts towards change can significantly contribute to developing a growth mindset. This approach can lead to a transformative journey for the entire organization, fostering a culture where growth, innovation, and adaptability are valued and nurtured.ย
| Ruchira
Also, every organization will have some section of people who would resist such things. Understanding the ‘what’s in it for me’ aspect is crucial in winning over those hesitant about change. Clearly articulating and grasping the fundamental purpose behind change initiatives can greatly sway their reception.ย
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Using peer pressure constructively can serve as a potent catalyst for change. Witnessing peers being lauded for their achievements and willingness to embrace new challenges can galvanize others to expand their own limits. Such recognition not only deepens engagement but also widens viewpoints.ย
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Yet, mere recognition and rewards don’t suffice. It’s equally pivotal to celebrate the insights gained from failures. When the workforce observes that risk-taking and occasional failure are recognized and valued, it nurtures a culture ripe for experimentation and continuous learning.ย
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In this dynamic, leaders hold a key position. They must personify the behaviors they desire in their teams. Exhibiting a readiness to learn, adapt, and integrate fresh insights into decision-making sets a compelling precedent. Leaders must demonstrate that they too are journeying through this evolving landscape of change and learning, thereby illuminating the proverbial ‘light at the end of the tunnel.’ย
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Manu’s commentary on the necessity for leaders to be primed for change underscores this necessity. Leaders must be willing to not only undergo change themselves but also cultivate an environment of learning within their organization. They need to embody the change, guiding their teams in adapting and growing. If leaders falter in the face of change, it could stall the whole transformation effort, risking potential stagnation or even regression.ย
Regarding the coaching culture you've mentioned several times, I'd like to direct this question to you Ruchira, focusing on the specific role that coaching plays in fostering continuous learning and a growth mindset. How does mentorship and coaching contribute to enhancing performance, particularly in the context of motivating individuals to step out of their comfort zone when they observe their colleagues excelling?
| Ruchira
I firmly believe that finding a good coach, mentor, or sponsor is one of the best gifts one can give to oneself. The insights a good coach can provide, helping one navigate through internal mindset barriers, break the shackles of the past, and realize one’s immense potential, are indeed priceless. I’ve experienced this myself and have been an advocate for it within my team, emphasizing the importance of finding coaches for people.ย
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However, I also believe in the importance of structure, ensuring that these efforts don’t just remain as intentions but are translated into concrete actions. At Kotak Life, we have implemented several programs to illustrate this. One such program is Transcendence, a women-mentoring-women program, now in its third year. It operates on a simple yet powerful promise: We all need someone who inspires us to do better than we know how. Today, I’m proud to say that we have over a hundred women being mentored by women leaders at Kotak Life. Interestingly, some of the women who were mentees have now become mentors themselves.ย
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Another initiative we have is where successful leaders, trained by some of the best coaches in the world, adopt coaches who are struggling or not performing well at their level. This approach is somewhat unconventional, as we often see coaching being provided to those who are already successful. But we wanted to turn this upside down and utilize the expertise within the organization to help those who might need it the most.ย
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I believe it’s essential to provide tools and training to both mentors and mentees, as mentoring is a two-way process. We conduct workshops for all our frontline sales leaders, training them continuously to develop coaching skills. This is part of our effort to instill a coaching mentality at all levels of leadership and management within Kotak Life. These examples show how we’ve embedded these programs within our organizational structure at Kotak Life. It’s been a beautiful journey, and I’m grateful to Manu for recommending me for this show to share these insights and methods.ย
| Manu
Absolutely, having a coach or mentor is crucial for maximizing potential, as Ruchira rightly pointed out. This relationship provides constant, unbiased feedback, which is a key component of fostering a growth mindset. Moving from a fixed mindset to a growth mindset involves becoming more creative, learning from failures, innovating, and adopting a long-term view rather than just focusing on short-term gains.ย
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Coaching and mentoring should indeed be integral parts of an organization’s processes. As Ruchira’s examples highlighted, the future of learning, especially in the context of evolving workplace dynamics like hybrid work, demands this approach. Fortunately, organizations are now recognizing the value of coaching beyond just senior leaders or CXOs. The expansion of coaching to mid-level development is a significant shift, supporting growth mindset transformation across all levels.ย
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In my experience at KNOLSKAPE, where thinking growth is a core value, we’ve seen firsthand how adopting a growth mindset can lead to innovation. Since 2020, during the global health crisis, our senior teams prioritized helping people, both in terms of mental and physical health. We focused on being innovative and involving everyone in the organization’s growth story. KNOLSKAPE, like many consulting organizations, is relatively small, with around 150 to 160 employees, where everyone knows each other. The challenge was to bring everyone together on a common platform to foster innovation.ย
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Our approach to innovation involved forecasting needs for the next few years and staying ahead of trends in the HR and L&D industry. We’ve successfully integrated technology into our solutions, incorporating elements of artificial intelligence to create a pipeline of products that resonate with the needs of senior HR and L&D professionals. These initiatives are examples of how we’ve applied a growth mindset at KNOLSKAPE to envision and implement transformational talent initiatives, aligning with the future vision of various organizations. This approach has been fundamental in our journey towards innovation and organizational growth.ย
Given our discussion about the existence of microcultures within organizations, especially in large conglomerates comprising various companies with potentially different cultures, how do you effectively align these diverse microcultures with the overarching goals of the larger organization? Additionally, how do you strike a balance between individual growth goals and the overall objectives of the company?
| Ruchira
In our approach at Kotak Life, we strike a balance by aligning individual goals with team goals and the overall objectives of the organization. It’s a straightforward concept โ individual growth contributes to team success, which in turn drives the company forward. We employ both a top-down and bottom-up approach in setting our agenda and translating strategy into actionable monthly targets and goals for everyone.ย
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Another key aspect of our strategy is our regular feedback system. We have a performance evaluation process that we conduct every quarter to ensure alignment and continuity in our objectives. This process isn’t just periodic; it’s an ongoing effort to maintain and reinforce alignment across the board.ย
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Additionally, we place a high emphasis on knowledge sharing and cross-functional collaboration. This is especially evident in our product launches, where various aspects like pricing, design, and distribution are handled collaboratively by different teams, ensuring a cohesive approach to reaching the end consumer.ย
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Lastly, our rewards and recognition platforms play a crucial role in motivating both individual excellence and team success. At Kotak Life, we have numerous platforms for recognizing both, fostering a culture where individual achievements are celebrated and aligned with the organization’s overall goals.ย
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These strategies are vital not just for pursuing individual growth, which is a natural aspiration for most, but also for ensuring that these personal growth trajectories are in sync with what the organization aims to achieve. The projects we undertake provide ample opportunities for our employees to explore and experiment, reinforcing the growth mindset we’ve been discussing throughout our organization.ย
| Manu
In my interactions with a variety of organizations and senior leaders across sectors โ banking, FMCG, telecom, and others โ one narrative stands out clearly: growth is the oxygen for any organization. This concept of growth encompasses everything from the individual’s desire for personal advancement to the team’s ambition, and ultimately, the organization’s objective to expand and succeed.ย
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No organization ever sets a goal to reduce its revenue by 25% compared to the previous year. It’s unheard of. Growth stems from a well-crafted narrative where each element is interconnected. It’s about creating a framework where fostering a growth mindset is an integral part of, if not the main, strategy. While organizations have broader strategies that include visions of revenue and market positioning, a fundamental question remains: are the people ready to embark on this journey?ย
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Ruchira mentioned several initiatives at Kotak Life that facilitate this readiness. But it’s not just about one organization; it’s a universal need. Ensuring that employees have opportunities for growth, the appetite for risk-taking, and are equipped for the journey is vital. Everything, in the end, needs to be perfectly aligned for the organization to move forward synchronously, fostering innovation and creativity.ย
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This alignment is increasingly crucial given the changing external world. There’s a lot of uncertainty, and leaders face immense pressure, whether it’s from the board, competitive markets, or the global economic climate. How organizations manage this change, navigate these complexities, and align every part of their ‘engine’ to complement each other, is the real challenge. In my view, understanding and navigating this complexity is key to any organization’s success in fostering a growth mindset and achieving its objectives.ย
Do you have any recommendations in terms of the kind of programs that talent leaders can use to cultivate a culture of growth or growth mindset in this rapidly evolving ecosystem?
| Manu
Reflecting on the digital blur framework, which emphasizes leaders being future-ready, we see a shift from traditional leadership capabilities to those needed for future challenges. While traditional skills like leadership styles, critical thinking, and team management remain important, emerging competencies are becoming increasingly vital in the context of a growth mindset.ย
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One key area is network leadership. In today’s interconnected world, leaders must be adept at building and maintaining robust networks. This skill is crucial for gathering diverse insights, fostering collaborations, and staying ahead in a rapidly changing environment.ย
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Design thinking is another competency that stands out. Leaders who adopt this approach are better equipped to innovate, solve complex problems creatively, and focus on human-centered solutions. This capability aligns closely with the growth mindset, as it involves being open to new ideas, iterative learning, and embracing failure as part of the innovation process.ย
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Agile leadership is also critical. Agile methodologies emphasize adaptability, responsiveness, and a fail-fast culture. Leaders must be able to quickly learn from failures, regroup, and move forward efficiently. This approach is integral to maintaining a growth mindset, as it focuses on continuous improvement and flexibility in the face of change.ย
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Sensemaking is another essential skill, particularly in our data-driven world. Leaders need to be adept at interpreting complex information to make informed decisions. This ability is increasingly important in navigating the complexities of today’s business landscape.ย
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Lastly, having a digital mindset is no longer optional. Leaders must understand and leverage digital technologies to drive innovation and efficiency within their teams and organizations.ย
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These three competencies โ agile leadership, design thinking, and digital acumen โ are crucial for leaders to foster and maintain a growth mindset. They are vital in guiding teams and organizations through the rapid changes and uncertainties of the modern business environment.ย
Great recommendations there, Manu. And coming to you, Ruchira, you've already shared a plethora of examples and case studies with us. But if you could sum up this topical discussion with some recommendations from you for the leaders who are looking at building a growth-oriented culture within their organizations.
| Ruchira
Diverging slightly from the excellent points Manu highlighted, which I fully endorse, I’d like to propose a distinct approach. It’s crucial for us to develop a comprehensive blueprint for people and talent leaders to reevaluate their approach to development.ย
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Firstly, the traditional nine-box matrix, while effective for guiding certain individuals on specific paths, could benefit from a broader perspective. We need to focus on discovering the hidden ideas and talents that exist within our organization. This process involves looking beyond the conventional methods and tapping into the potential of all our employees.ย
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Secondly, exposure to world-class thinking is paramount. One way to achieve this is by inviting external leaders to interact with our talent pool. However, this can also be facilitated internally. For instance, our ‘meet five, greet five’ program encourages leaders within our organization to connect with and learn from existing talent. This initiative is crucial for fostering a vibrant, learning-focused environment.ย
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Another essential aspect is distinguishing between a growth mindset and a performance mindset. While a performance mindset is goal-oriented, a growth mindset focuses on acquiring knowledge and enhancing competency. It’s about immersing oneself deeply in learning. We need to guide our employees to shift from merely achieving goals to continuously expanding their knowledge and skills.ย
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We also need to address the shift from an entitled mindset to an earning mindset, especially among younger employees who are often perceived as entitled. This shift is about fostering a culture where accomplishments and advancements are earned through effort and contribution, not expected as a given.ย
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Finally, we must acknowledge how data and AI are transforming the landscape of possibilities. It’s time to chart a new path, embracing a culture of curiosity and constant improvement. Encouraging our employees to engage meaningfully with data and digital tools is crucial. The forthcoming era will be dominated by digital savvy and data-driven decision-making. Fostering a digital mindset across the organization will be key to thriving in this new era.ย
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