UNIVERSITY OF MUMBAI

A PROJECT REPORT ON

LEADERSHIP OF DHIRUBHAI AMBANI

SUBMITTED BY HARPREET SINGH SAINI

M.COM (PART-2) (SEM-III) (BUISNESS MANAGEMENT) ROLL NO-44

PROJECT GUIDE PROF. MRUNMAYEE THATTE

V.P.M.s K.G. JOSHI COLLEGE OF ARTS AND N.G. BEDEKAR COLLEGE OF COMMERCE, THANE - 400601.

2013-2014

VIDYA PRASARAK MANDAL, THANE K.G. JOSHI COLLEGE OF ARTS & N.G. BEDEKAR COLLEGE OF COMMERCE

CERTIFICATE
This is to certify that Mr. / Mrs. _____________________________________ Of m.com ______has undertaken& completed the project work titled ______________________________________during the academic year _____under the guidance of Mr. /Mrs.______________________ Submitted on _________________to this college on fulfillment of the curriculum of MASTERS OF COMMERCE, UNIVERSITY OF MUMBAI. This is a bonafide project work and information presented is true and original to the best of our knowledge and belief.

SUBJECT GUIDE

EXTERNAL EXAMINER

ACKNOWLEDGEMENT
At the outset I take opportunity to articulate my gratitude and thanks to prof. MRUNMAYEE THATTE for her valuable guidance and encouragement that helped to complete my project successfully. She armed with the required knowledge for this project work and guided me all through the way to help me come with a great report regarding the study.

Last but not least I would thank my friends who supported and cooperated with me. I have received an invaluable response from them and I thank them again.

DECLARATION

I,HARPREET SINGH SAINI, studying in M.COM PART-2 SEM-III (BUSINESS MANAGEMENT) of V.P.M.s K.G. JOSHI COLLEGE OF ARTS AND N.G. BEDEKAR COLLEGE OF COMMERCE hereby declare that I have completed this project on LEADERSHIP OF DHIRUBHAI AMBANI in the academic year 2013-2014 as per the requirement of the Mumbai university as a part of M.COM PART-2 (BUSINESS MANAGEMENT) programme. The information presented through this project is true and original to the best of my knowledge.

HARPREET SINGH SAINI

SR.NO
1. 2. 3. 4. 5. 6. 7. 8. 9.

TOPIC
LEADERSHIP THE EVOLUTION OF LEADERSHIP RULES OF A SUCCESSFUL LEADER STYLES OF LEADERSHIP LEADERSHIP STYLE OF DHIRUBHAI AMBANI STRATEGY AND VISION CHALLENGES AND DIFFICULTIES CONTRIBUTIONS AWARDS AND RECOGNITIONS

LEADERSHIP
Leadership is defined as the process in which an individual influences the group of individuals to attain a common goal. The goal is attained by mutual cooperation and cohesive behaviour. A leader infuses a sense of positivity and directs others to reach the specified goal. Various theories since years have been formulated by psychologists to explain the traits of a leader. Certain traits of a good leader were listed by the researchers as: intelligence, extraversion, and adjustment, openness to experience, general selfefficacy and conscientiousness. It has been inferred that an individual possessing these traits results as a good leader. Another theory suggests that great events lead an ordinary individual to emerge as a leader. Then there is a third theory which emphasizes that leadership is a transformation or a process. Anyone can become a leader by learning the leadership skills. A leader is someone who stands not only for his cause but takes responsibility and motivates other individuals also. There is a clear difference between being a boss and a leader. A leader is a motivation for others and inspires individuals to aim high and attain that aim. However a boss only supervises over his subordinates. Power naturally comes to a leader but that power is not a tool of leader. Rather if one tries to control the circumstances with power it turns out to be authoritarian or even suppressive in its expression. Leadership is not a quality but it is an individuals behaviour. A leader showcases a positive attitude and high self esteem. He assertively works towards the goal but

never gets pushy for it. A continuous self study, training, evaluation and imbibing positive things in life develop the characteristics of a leader. Situations are never in our hands but reaction is always that we can control. A leader not only reacts positively but also helps other members of the group to see the brighter side of the picture. It has also been noticed that only those persons are considered as good leaders who have gained the trust and confidence of their subordinates. Communication plays a vital role in this regard. The other thing that people respect is knowledge. Proficiency in subject is the main driving force. The next factor is the execution of idea. A leader always executes the things effectively. He works as a team and team welfare is his primary goal. A leader is looked upon by his subordinates critically also. A man of high moral values and integrity can only become a good leader. It has always been a matter of controversy as to what makes an individual different from others. Some emphasise that is an innate quality while some advocate that it is a matter of practice only. To sum up, leadership is a quality which is if present naturally is welcome or otherwise can be developed by acquiring desired skills.

THE EVOLUTION OF LEADERSHIP

Leadership styles have evolved over time, with a prominent shift from the autocratic and directive leadership of the twentieth century to a more participative and democratic style of the new generation. In a global study involving 389 leaders from 28 countries, The Centre for Creative Leadership (CCL) found that 83% of the leaders surveyed believe that the definition of effective leadership has changed in the past five years. These changes to leadership styles can be attributed to a combination of issues including a shift in peoples attitudes as well as advances in technology. There is an imperative for leaders of organisations, including HR Managers, to plan ahead and adapt to the movement of these evolving trends to ensure the best outcomes for their organisations.The move has shifted from Authoritarian leaders who believed in top-down management, strict rules and exact orders, to a progression into white collar careers with more individualisedthinking and individual ownership over tasks. It was here that participative leadership styles settled in, and this style is now one of the most common leadership styles in contemporary society.Changes in leadership styles can be seen across Asia-Pacific too as a Harvard Business School Professor explains that, As Asian companies seek access to world capital markets, they will move toward professional managers who will employ leadership styles more akin to those now used in the United States.The participative style of leadership management is where the group is central to the decision making process, and not the leader alone. The work environment is more flexible and managers feel at ease in regards to drawing on the knowledge of experienced followers. Todays leaders speak in terms of open dialogue and collaboration, and indeed if you ask the great leaders of today they will invariably point to their close collaborators and mentors as being part of the leadership.

TRAITS OF SUCCESSFUL LEADERS OF TODAY

The shift from authoritative to participative styles. An appointment to a management role does not automatically equip an individual with successful leadership skills. In many situations people follow management because they have to, however the ideal scenario would be where people follow leaders because they want to. Ergo, an obvious trend has arisen whereby managers are seeking to develop leadership skills. This, combined with the acceptance of the participative leadership style is also resultingin workgroups developing into teams with an emphasis being placed on team leadership as being the top of the evolutionary cycle. Within teams, it is important to ensure that there is a genuine desire for each team members input into the outcome; the caveat is that the leader must believe that the group members have definite value to add. This does not mean that every idea from every individual should be implemented, but paying lip service will not be an adequate response for the contemporary employee who can usually tell if there is a genuine desire to achieve buy-in.In general, people do not like to have ideas or solutions imposed on them but if they have been part of designing the end game, they are more likely to have buy-in and an inclination to support and take action on decisions made by the leader. In a study conducted by CCL-Asia, among the variety of events mentioned by respondents, the role of bosses and superiors was the most significant in making a lasting impact on their development. This was the most widely cited event, with 53% of all respondents citing a boss or superior as a source of learning about leadership.

THE ABILITY TO MANAGE EXPECTATIONS & PRIORITIES

One of the more contemporary and desirable traits of effective leaders is their ability to manage expectations. That includes managing the expectations of investors, shareholders, employees, suppliers, the community and other stakeholders; trying to deliver too much too soon often results in nothing being delivered particularly well. In his book, From Good to Great, Jim Collins, a highly regarded author on leadership writes, We've all been told that leaders makethings happenand that's true: But it is also true that good-to-great leaders distinguish themselves by their unyielding discipline to stop doing anything and everything that doesn't fit tightly within their one big initiative.Effective leaders, of the past and present, carefully articulate what the end goal is and have a robust plan to get them there. Leaders understand that they are working with scarce resources people and capital. Their imperative is to prioritise initiatives based on the impact and the ease of implementation and then allocate their resources appropriately. Under promise and over-deliver, is an oft-quoted mantra. It may seem exceedingly obvious but it is infrequently put into practice. Some leaders want to appear as able to do everything, but sometimes strategy is choosing what not to do.

THE FUTURE OF LEADERSHIP

CCL has found that the number one ranked skill in terms of importance for employees is leading people. 73% of respondents stated that leading people is important for success now, but an even greater percentage of 89% stated that it will be the most important factor for success in the future.Due to vast technological advancements, an increasing trend in leadership styles called Self-Leadership is now being seen moreand more often. The pioneers of this leadership style mainly connect over the Internet, rather than through face-to-face interactions, and fully exploit technology to forge an innovative and creative path. They have the drive to disperse physically and geographically as they do not need to be managed and only ask for help when absolutely necessary. Statistics revealed by The Herman Group predict an increase by 40% of home-based work by the year 2020.Using primarily networking and negotiation skills, these types of leaders focus on the bigger picture and coordinate directions taken by independent workers. In this new leadership setting, the lesstechnologically able leaders may feel challenged. Learning and development resources remain indispensable to draw in different styles of leadership and outline various approaches to the new trend. Resources covering leadership topics include Online Learning Portals with live-scenario based training films on a broad spectrum of business challenges.

RULES OF A SUCCESSFUL LEADER

Whether a leader is operating in the West or in India, these are someof the thumb rules when it comes to successful leadership: The six most important words: "I admit I made a mistake." The five most important words: "You did a good job." The four most important words: "What is your opinion." The three most important words: "If you please." The two most important words: "Thank you," The one most important word: "We" The least most important word: "I"

STYLES OF LEADERSHIP
Three different styles of leadership were identified by Kurt Lewin, renowned social scientist, in 1939: authoritarian, democratic, and laissez-faire. His results indicated that the democratic style is superior to the other two styles. Attributes of each style are out-lined below

The authoritarian makes all decisions, independent of member's input. The authority figure dictates direction, leaving members in the dark about future plans. The authority figure selects which members will work collaboratively and determines solely the work tasks for the teams. This leader type is very personal in his praise and criticisms of each member, but does not actively participate with the group, unless demonstrating to the group. The authority figure is friendly and/or impersonal, but not openly hostile.

The democratic leader welcomes team input and facilitates group discussion and decision making. This leader type shares plans with the group and offers multiple options for group consideration. Encourages members to work freely with each other and leaves division of tasks to the group. This leader is objective in praise and criticism, and joins group activities without overparticipating.

The laissez-faire leader allows the group complete freedom for decisionmaking, without participating himself. This leader type provides materials and offers to assist only by request. The laissez-faire leader does not participate in work discussions or group tasks. This leader does not offer commentary on members' performance unless asked directly, and does not participate or intervene in activities.

Since 1939, Lewin's research has been the basis for many further research studies and articles on organizational behavioral in theory and in action. Each leadership style can be appropriate depending on the environment within which it is implemented, the members of the group (employees), and the goals or tasks that are being undertaken by the group. Leaders may adjust their style of leadership to fit certain tasks, groups, or settings. An authoritarian leadership style can be effective when a situation calls for expedited action or decision-making. Group members who are not self-motivated, who prefer structure, and appreciate significant direction and monitoring may thrive under this style. A democratic leadership style allows for multiple viewpoints, inputs, and participation, while still maintaining control and the leadership role. A quality democratic leader recognizes each member's strengths and effectively elicits the best performance from each member, all the while guiding and leading effectively. A challenge for the democratic leader is to recognize that not all tasks need to be handled by the group; that the leader should appropriately address some issues alone. A laissez-faire leadership style works best when group members are highly skilled and motivated, with a proven track record of excellence. This hands-off approach can allow these capable members to be productive and effective. The laissez-faire style is interpreted by the members as a sign of confidence and trust in their abilities and further empowers them to be successful and motivated.

LEADERSHIP STYLE OF DHIRUBHAI AMBANI

When we talk about Indian leaders one name, which we cannot miss out, is DhirubhaiAmbani. He has voyaged through a journey of rags to riches. He was born on 28th December 1932 to a local schoolteacher in a village called Chorwad, in Junagadh district, Gujarat.

Dhirubhai has been an opportunist right from his childhood. All he needed was the whiff of a business opportunity and he was off to tap it. During the Mahashivratri fair, he would sell ganthia a gujaratrisavoury to earn money. Due to shortage of money, he left education after matriculation and went to Aden to earn money.

He worked for almost eight years in a petrol station where he learned about oil business until a day came when he was bitten by the entrepreneurial bug. He came back to Bombay to start his own business. He took a loan with which he started Reliance Commercial Corporation, which has been a stepping-stone to one of Indias largest Corporation. They were involved in general merchandising.

Dhirubhai has always shown all the critical leadership qualities. He would always grab an opportunity and strike on it. He then started his yarn business in the 60s and then he build his own spinning mill in 1966 known as Reliance Textile industries.

He believed that if a person wants to succeed in something then he should have complete access to information on that topic. Whenever he wanted to approach the government to get licenses, information about the competitors, market size etc. he

would collect all these information, no matter at what cost it came. He also believes in destiny and gives all the credit to his luck. This shows how down to earth he is. Even today he has a simple ritual of Puja when a new machine is installed. He isnt proud of what he is and he still believes in Simple thinking, Modern thinking.

He always followed the rule to be the pioneer/first to do anything. He would just grab an opportunity that would come up because of some government policy changes and would implement it successfully. He believed not in meeting demand but in creating demand. He always produced in large quantities. He was of the opinion that customer should be provided with best quality goods at the lowest price. Moreover Dhirubhai as opposed to most other leaders wasnt expert in only one field. He was a manufacturing as well a marketing whiz. He knew how to offer the right product mix, identify markets and establish viable distribution structure, which holds true for one of his famous brand Vimal. He is also referred to as Manchester of India. He didnt mind copying someone elses idea, which he could implement better than his competitors. As in the case of copying the concept of selling through showrooms for his brand Vimal to counter the resistance from the traditional markets which he copied from Bombay Dyeing. He always had the dynamism and confidence in future and was always ready to go against all odds. He always believed in himself.

He has always believed that his first responsibility is towards his companys shareholders and he was also concerned in protecting their interests. He is also known as the stock market messiah. This is because when some Marwari clan were trying to bring down the price of his shares by short selling, he counter attacked them and in turn earned a hefty sum from them.

He has always had a wide investor base and most of his subscriptions were over subscribed. He has always been an innovator in the financial market. He innovated and reintroduced successfully concepts like partial convertible bonds, fully convertible bonds etc.

He has been successful in manufacturing world-class products. He always believed in Think big, think fast and think ahead. He has never had an ego problem and he knew how to get his work done from people. He was never ashamed to salaam anyone. Another incident that shows his vision as a leader is that when Reliances Patalganga Complex was damaged due to floods. Technical experts from Du Pont estimated hundred days to make the complex operational but Reliance had the complete complex operational in twenty-one days. This was possible because of Dhirubhais vision, his confidence, his dedication proper logistical planning and making available all resources.

Dhirubhai has always believed in picking up the best talent. They have a motivated workforce. He only believes in providing leadership, vision and strategy. He thinks that he doesnt run his business but his business leaders do it.

Dhirubhai is criticized for manipulating the government for his benefits. Apart from that he has paid zero tax on corporate earnings for several years due to the loopholes in the system. He was also involved in manipulating the L&T board to gain control. Apart from that he was heavily criticized along with Pranab Mukherjee for buying shares under dummy companies which never existed.

But be it whatever Dhirubhai is one of the greatest leaders of India who has the zeal to achieve something big rather than just earning money and the obsession to build. He wants to work till his death. As a true leader Dhirubhai had once said that, People think I have finally arrived but I think I have just begun. What do you call a man who hates to lose? A winner ? That is too easy, too glib, and buries the story. All Dhirajlal Hirachand Ambani ever wanted to be is the biggest there ever is, the best there ever was. He wanted a piece of the action preferably all of it. If others wouldnt let him in, he would create his own turf and own it all. Ambani is actually a businessman, but his career is so extraordinary that he is more than just a businessman, more than even an industrialist.He is a folk hero to millions of Indians, even those who are not businessmen, or do not aspire to a business career.And that is why DhirubhaiAmbani is so special, just as Mahatma Gandhi was something more than a politician and Indira Gandhi was more than a prime minister. These people are not born every day. I rank Dhirubhai along with the Gandhis, because all of them moved the entire country in a certain direction. Without the

Mahatma, we would still be under the British. Without Indira, the country would have been torn apart into quasi independent fiefdoms, the kind we had before the Britishers arrived here. And without Dhirubhai, we would not have learnt how to think big, not in terms of a small factory here and there, but in terms of giant plants, as big as anywhere in the world and as modern as they come. Dhirubhai taught India to think big, because, as he used to say, ours is a big country and if we do not think big, we shall never be able to attain our potential. It is not easy to think big in India. We are so worried about the next meal that there is no time for anything else. For the last thousand years we have not thought big at all, though the Marathas under Shivaji did try. We can think only of the next meal, the next pay cheque, the next job, the next election. We can never think of the day after tomorrow, let alone the year after tomorrow, or the generation after the next. We are so poor that everything tends to be short-term, small and trifling, and almost always temporary and short-lived. As a yarn merchant, he used to go from one dealer to another and also to purchase agents of the big textile companies in Mumbai, most of whom have now shut up shop or gone bankrupt. Ambani still remembers them and calls them his sheths. But how is it that Dhirubhai went on to chemicals from textiles, and from there to petrochemicals and then to oil exploration? Ambani rarely talked about money, though that was supposed to be his forte. He was known in the market as a financial wizard. He raised Rs.7,500crore in all for his business, huge amount even for a man like Ambani. Tatas took nearly a hundred years to achieve what they did. Dhirubhai, twice as big, took just about 40 years to do what he has done. The Ambanis are now nearly

twice as big as Tatas and growing also at twice their rate. Where did Dhirubhai learn to think big? He did not learn anything from his business contemporaries because there was nothing to learn. I think he was born thinking big. It was second nature to him, otherwise how could a man in a 10 ft by 10 ft office hawking yarn end up as the owner of a huge petrochemical plant and an equally huge oil refinery? He was a restless soul who simply had to do what he did, because that was his compulsion. Everything else came afterwards, as it does when you know what you are going to do, though not how you are going to do it.If the first half of the 20th century belonged to Tatas, the second half belonged to DhirubhaiAmbani and if he lives long enough, the first half of the 21st century will also belong to him. DhirubhaiAmbani is indeed a man of two centuries! If you take a piece of ordinary glass, hold it over some shredded paper and let sunlight shine through, all you will have is a bright pile of paper. But if you take a magnifying glass and focus the same sunlight on the paper, you can start a fire. Winners focus, mastering the ability to accomplish. And ShriDhirubhai was the master of masts. This is the first lesson we learn from him: be focussed on whatever you plan to do till you achieve it. He had the same missionary zeal, the same focus in him, right from Reliances first public issue till the time he built the mammoth Jamnagar refinery. He was always open-minded. He was hungry for new ideas and never discounted any idea or person. Even years before his death he looked for new ideas for marketing in this new information age.This was the second lesson we learn from him: always be open-minded, because when you have an open mind you assimilate more, become solution-oriented and make more progress in life.

He always taught us that nothing is impossible in this world. Once you conceive an idea and back it up with strong belief, you can definitely succeed. Unrealistic goals was a term missing from his dictionary. Right from textiles to refinery to drilling for oil, he found nothing impossible. "I am deaf to the word "no" In the seventies, his textile unit got recognition as one of the worlds most modern textile mills, matching or even surpassing developed nations stringent standards. When the textile industry was passing through adverse times, he developed yarnprocessing and went on to become a giant in the global synthetic textiles industry. He repeated the performance in petrochemicals, too. We learn yet another lesson from him:always look for ways to convert a crisis into an opportunity and think ahead of time.He was enthusiastic, bubbling with excitement, eager for something new to do. He exuded optimism and was a source of positive energy. He believed enthusiasm is the fuel of life, it helps you to get where youre going. That was the fourth lesson we learn from him. He was a big dreamer. He always believed that he was worthy of his dream. He said you will become the person you believe yourself to be. He ceaselessly inspired us to think big and make our dream the purpose of life. When you are propped up by strong self-belief and single-minded determination to chase and achieve your dream, you become absolutely unstoppable, was his mantra. This was the best lesson we learn from him.

STRATEGY AND VISION

DhirubhaiAmbani was no ordinary leader. He was a man who gave management a whole new ism.There is a new ism that Ive been meaning to add to the vast world of words for quite a while now. Because, without exaggeration, its a word for which no synonym can do full justice: Dhirubhaism.

Dhirubhaism No 1: The silent benefactor. This was another of his remarkable

traits. When he helped someone, he never ever breathed a word about it to anyone else. There have been none among us who havent known his kindness, yet he never went around broadcasting it. He never used charity as a platform to gain publicity. Sometimes, he would even go to the extent of not letting the recipient know who the donor was. Such was the extent of his generosity. Expect the unexpected just might have been coined for him.

Dhirubhaism No 2:Dream big but dream with your eyes open. His
phenomenal achievement showed India that limitations were only in the mind. And that nothing was truly unattainable for those who dreamed big. Whenever I tried to point out to him that a task seemed too big to be accomplished, he would reply: No is no answer! Not only did he dream big, he taught all of us to do so too. Dhirubhai was indeed a man of many parts, as is evident. I am sure there are many people who display some of the traits mentioned above, in their working styles as well, but Dhirubhai was one of those rare people who demonstrated all of them, all the time. And thats what made him such a

phenomenal team builder and achiever. Yes, we all need Dhirubhaisms in our lives to remind us that if it was possible for one person to be all this and more, we too can. And like him, go on to achieve the impossible too.

Dhirubhaism No 3: Change your orbit, constantly!

To understand this statement, let me explain Dhirubhais orbit theory. He would often explain that we are all born into an orbit. It is up to us to progress to the next. We could choose to live and die in the orbit that we are born in. But that would be a criminal waste of potential. When we push ourselves into the next orbit, we benefit not only ourselves but everyone connected with us. However, when you change orbits, you will create friction. The good news is that your enemies from your previous orbit will never be able to reach you in your new one. By the time resentment builds up in your new orbit, you should move to the next level. And so on. Changing orbits is the key to our progress as a nation.

Dhirubhaism No 4:Ideas are no ones monopoly--ShriDhirubhaiAmbani was

not just firmly rooted in traditional Indian values, but was also the quintessentially modern man, the man of the new millennium. This was clearly reflected in his passion for mega-sized projects, the most advanced technology and the highest level of productivity. The corporate philosophy he followed was short, simple and succinct - "Think big. Think differently. Think fast. Think ahead. Aim for the best".He inspired the Reliance team to do better than the best - not only in India but in the world.

Dhirubhaism 5:For him, his people were his most important asset. He
scouted around for the best and most talented professionals, nurtured them and continuously propelled them to aim for still higher goals. These highly motivated people comprise the core of what he named: "The Reliance Family". ShriDhirubhaiAmbanivisualised the growth of Reliance as an integral part of his grand vision for India. He was convinced that India could become an economic superpower within a short period of time and wanted Reliance to play an important role in realising this goal. The Bhagavad Gita states, "The actions of a great man are an inspiration for others. Whatever he does, becomes a standard for others to follow." This certainly applies to ShriDhirubhaiAmbani.

CHALLENGES AND DIFFICULTIES

A diamond is merely a lump of coal that did well under extreme pressure. So imagine how brilliant a human being can be by sustainin pressures of life. Lifes challenges are not supposed to paralyze you, theyre supposed to unleash your inner strength & help you discover who you are. In 1982, Reliance Industries came up against a rights issue regarding partly convertible debentures. It was rumored that company was making all efforts to ensure that their stock prices did not slide an inch. Sensing an opportunity, a bear cartel which was a group of stock brokers from Calcutta started to short sell the shares of Reliance. To counter this, a group of stock brokers till recently referred to as "Friends of Reliance" started to buy the short sold shares of Reliance Industries on the Bombay Stock Exchange. The Bear Cartel was acting on the belief that the Bulls would be short of cash to complete the transactions and would be ready for settlement under the "Badla" trading system prevalent in Bombay Stock Exchange during those days. The bulls kept on buying and a price of Rs. 152 per share was maintained till the day of settlement. On the day of settlement, the Bear Cartel was taken aback when the Bulls demanded a physical delivery of shares. To complete the transaction, the much needed cash was provided to the stock brokers who had bought shares of Reliance, by none other than DhirubhaiAmbani. In the case of non-settlement, the Bulls demanded an "Unbadla" (a penalty sum) of Rs. 35 per share. With this, the demand increased and the shares of Reliance shot above 180 rupees in minutes. The settlement caused an enormous uproar in the market and

DhirubhaiAmbaniwas the unquestioned king of the stock markets. He proved to his detractors just how dangerous it was to play with Reliance. The situation was getting completely out of control. To find a solution to this situation, the Bombay Stock Exchange was closed for three business days. Authorities from the Bombay Stock Exchange intervened in the matter and brought down the "Unbadla" rate to Rs. 2 with a stipulation that the Bear Cartel had to deliver the shares within the next few days. The Bear Cartel bought shares of Reliance from the market at higher price levels and it was also learnt that DhirubhaiAmbani himself supplied those shares to the Bear Cartel and earned a healthy profit out of The Bear Cartel's adventure. After this incident, many questions were raised by his detractors and the press. Not many people were able to understand as to how a yarn trader till a few years ago was able to get in such a huge amount of cash flow during a crisis period. The answer to this was provided by the then finance minister, Pranab Mukherjee in the parliament. He informed the house that a Non-Resident Indian had invested up to Rs. 220 Million in Reliance during 1982-83. These investments were routed through many companies like Crocodile, Lota and Fiasco. These companies were primarily registered in Isle of Man. The interesting factor was that all the promoters or owners of these companies had a common surname Shah. An investigation by the Reserve Bank of India in the incident did not find any unethical or illegal acts or transactions committed by Reliance or its promoters. Despite his almost Midas Touch, Ambani has been known to have flexible values and an unethical streak running through him. His biographer himself has cited some instances of his unethical behavior when he was just an ordinary employee at a petrol pump in Dubai. He has been accused of having manipulated government

policies to suit his own needs, and has been known to be a king-maker in government elections . Although most media sources tend to speak out about business-politics nexus, the Ambani house has always enjoyed more protection and shelter from the media storms that sweep across the country. TUSSLE WITH NUSLI WADIA NusliWadia of Bombay Dyeing was, at one point in time, the biggest competitor ofDhirubhai and Reliance Industries. Both NusliWadia and Dhirubhai were known for their influence in the political circles and their ability to get the most difficult licenses approved during the times of pre-liberalized economy. During the Janata Party rule between 1977 - 1979,NusliWadia obtained the permission to build a 60,000 tonnes per annum Di-methyl terephthalate (DMT) plant. Before the letter of intent was converted into a licence, many hurdles came in the way. Finally, in 1981, NusliWadia was granted the license for the plant. This incident acted as a catalyst between the two parties and the competition took an ugly turn. THE INDIAN EXPRESS ARTICLES At one point in time, RamnathGoenka was a friend of DhirubhaiAmbani. RamnathGoenka was also considered to be close to NusliWadia. On many occasions, RamnathGoenka tried to intervene between the two warring factions and bring an end to the enmity. Goenka and Ambani became rivals mainly because Ambani's corrupt business practices and his illegal actions that lead to Goenka not getting a fair share in the company. Later on, RamnathGoenka chose to support NusliWadia. At one point of time, RamnathGoenka is believed to have said "Nusli

is an Englishman. He cannot handle Ambani. I am a bania. I know how to finish him".... RamnathGoenka, the patriarch of The Indian Express Group. This file photograph of Mr. Goenka was taken in his penthouse at the Express Towers, Nariman Point, Bombay. As days passed by, The Indian Express, a broadsheet daily published by him, carried a series of articles against Reliance Industries and Dhirubhai in which they claimed that Dhirubhai was using unfair trade practices to maximise the profits. RamnathGoenka did not use his staff at the Indian Express to investigate the case but assigned his close confidante, advisor and chartered accountant S. Gurumurthy for this task. Apart from S. Gurumurthy, another journalist ManeckDavar who was not on the rolls of Indian Express started contributing stories. JamnadasMoorjani, a businessman opposed to the Ambanis was also a part of this campaign.BothAmbani and Goenka were equally criticized and admired by sections of the society. People criticized Goenka that he was using a national newspaper for the cause of a personal enmity. Critics believed that there were many other businessman in the country who were using more unfair and unethical practices but Goenka chose to target only Ambani and not the others. Critics also admired Goenka for his ability to run these articles without any help from his regular staff. DhirubhaiAmbani was also getting more recognition and admiration, in the meantime. A section of the public started to appreciate Dhirubhai's business sense and his ability to tame the system according to his wishes. The end to this tussle came only after DhirubhaiAmbani suffered a stroke. While DhirubhaiAmbani was recovering in San Diego, his sons MukeshAmbani and Anil Ambani managed the affairs. The Indian Express had turned the guns against

Reliance and was directly blaming the government for not doing enough to penalize Reliance Industries. The battle between Wadia - Goenka and the Ambanis took a new direction and became a national crisis. Gurumurthy and another journalist, Mulgaokar consorted with President GianiZail Singh and ghost-wrote a hostile letter to the Prime Minister on his behalf. The Indian Express published a draft of the Presidents letter as a scoop, not realizing that Zail Singh had made changes to the letter before sending it to Rajiv Gandhi. Ambani had won the battle at this point. Now, while the tussle was directly between the Prime Minister Rajiv Gandhi and RamnathGoenka, Ambani made a quiet exit. The government then raided the Express guest house in Delhis Sunder Nagar and found the original draft with corrections in Mulgaokars handwriting. By 1988-89, Rajivs government retaliated with a series of prosecutions against the Indian Express. Even then, Goenka retained his iconic stature because, to many people, he seemed to be replaying his heroic defiance during the Emergency regime. DHIRUBHAI AND V.P.SINGH It was widely known that Dhirubhai didn't enjoy a cordial relation with VishwanathPratap Singh, who succeeded Rajiv Gandhi as the Prime Minister of India. In May 1985, he suddenly removed the import of Purified Terephthalic Acid from the Open General License category. As a raw material this was very important to manufacture polyester filament yarn. This made it very difficult for Reliance to carry on operations. Reliance was able to secure, from various financial institutions, letters of credit that would allow it to import almost one full years requirement of PTA on the eve of the issuance of the government notification, changing the category under which PTA could be imported. In 1990, the government-owned financial institutions like the Life Insurance Corporation of India and the General Insurance Corporation stonewalled attempts by the Reliance

group to acquire managerial control over Larsen & Toubro. Sensing defeat, the Ambanis resigned from the board of the company. Dhirubhai, who had become L&T's chairman in April 1989, had to quit his post to make way for D. N. Ghosh, former chairman of the State Bank of India.

CONTRIBUTIONS
He is a true philanthropist, not a preacher or a reformer. His corporate philosophy and brand of management were initially ridiculed by his competitors. Dhirubhai saw beyond the banks and financial institutions to the real source of funds the retail investor. Thus, his corporate objectives were simple: better company results and benefits for his shareholders. Dhirubhai Ambani is credited with shaping India's equity culture, attracting millions of retail investors in a market till then dominated by financial institutions. Dhirubhai revolutionised capital markets. From nothing, he generated billions of rupees in wealth for those who put their trust in his companies. His efforts helped create an 'equity cult' in the Indian capital market. With innovative instruments like the convertible debenture, Reliance quickly became a favorite of the stock market in the 1980s.

In 1992, Reliance became the first Indian company to raise money in global markets, its high credit-taking in international markets limited only by India's sovereign rating. Reliance also became the first Indian company to feature in Forbes 500 list.

Dhirubhai Ambani was named the Indian Entrepreneur of the 20th Century by the Federation of Indian Chambers of Commerce and Industry (FICCI). A poll conducted by The Times of India in 2000 voted him "greatest creator of wealth in the century".

COMMUNITY DEVELOPMENT
Reliance runs its own schools at its manufacturing sites, which provide high quality education to the children of employees, and also to the children living in nearby areas. These schools are all equipped with modern amenities like wellstocked libraries, computers, laboratories, sports facilities and playgrounds. Transportation facility is provided to all students, thus enabling those living in nearby villages to attend school every day. Some of the important initiatives launched by Reliance include: Reliance, in association with the Municipal Corporation of Greater Mumbai, launched the Secondary Schools Computerisation Project to facilitate computer education for 51 municipal secondary schools of Mumbai. The project covers about 68,000 students studying from fifth to tenth standard. Computer laboratories are being created in each of these schools. Each computer lab will have 15 multimedia computers connected on a network. The lab will also be equipped with a printer, scanner, software applications and educational multimedia content for various syllabus subjects, including Maths and Science. The project aims to benefit not only the students, but also the teachers and their schools. While the students will gain the skills needed to be productive and successful citizens in the new knowledge era, the teachers will benefit by learning new skills that will further their professional development. The schools will benefit by acquiring the resource, skills and self-sufficiency to carry this project forward on their own. Jamnagar town faces acute drinking water shortages. In order to mitigate the problems of people, Reliance supplies drinking water from its state-of-the-art

seawater desalination plant during summer periods of shortages. Drinking water was supplied for the third successive year in the summer of 2002. Dwarka, a religious destination near Jamnagar, has been a centre of attraction not only for pilgrims of the country but also for archaeologists, historians and tourists from all over the world. Reliance took up much-needed renovation and overall development work in Dwarka by joining hands with various organisations/ offices of the Government of Gujarat. The DAF has recently established a sanatorium at Chorwad, Gujarat, for the use of patients needing change of climate and recuperation. Reliance also carried out community services work in villages adjoining its Jamnagar and Hazira complexes, to improve the quality of life of the people. Some of the activities at Jamnagar included supply of fodder; organisation of blood donation camps, regular health check-up camps and mobile dispensary services; reconstruction of temples and assistance to several voluntary organisations to carry out cultural and social festivals / functions, etc. The community services carried out at Hazira included donations to the Surat Municipal Corporation and District Collectorate for e-governance programmes, awards to motivate meritorious students, donations of computers and library books to various schools, donations of tricycles to handicapped students, organisation of inter-village / inter-school sports and cultural competitions, mobile health van services, organisation of health camps and initiatives to provide self-employment opportunities for women. DAF and Sampradaan - the Indian Centre for Philanthropy, organised the second national conference of Charitable Foundations in India. The objective was to

network charitable foundations for professional exchange of views, experiences and to explore ways for collaboration. The conference on the theme "Promoting Good Governance: Internal and External" was well-attended by about 35 NGOs from all over India. A platform to display the art and craft produced by underprivileged children from Aseema (an NGO devoted to their welfare) was provided along with the annual Harmony Exhibition organised by the textile division of Reliance Industries Limited.

HEALTHCARE INITIATIVES
Sir HurkisondasNurrotumdas Hospital and Research Centre (HNH&RC), Mumbai The DAF has joined the management of Sir HurkisondasNurottumdas Hospital and Research Centre (HNH&RC) and Sir HurkisondasNurottumdas Medical Research Society (HNMRS), based in Mumbai. HNH&RC is one of the oldest hospitals in the city, having been established in 1925. HNMRS is a 28-year-old institution involved in clinical research. Over the next few years, DAF plans to make substantial contributions for converting this hospital into a patient-focused and not-for-profit, world class, stateof-the-art centre of excellence in the field of healthcare. This institution will serve as a knowledge domain for healthcare activities and become a hub for a wider healthcare network. It is also proposed to make this a centre of excellence for clinical research and medical education. HNH&RC currently offers tertiary level healthcare facilities including superspecialties like cardiology, cardio-thoracic surgery, neurology and neuro-surgery, oncology, urology, nephrology and gastroenterology. It has on board 200

consultants across various specialisations. The total staff strength is about 1,000, including paramedical and other support staff. HNH&RC also provides free and subsidised outpatient and inpatient treatment for the poor. HNH&RC is recognised for its post-graduate program, leading to post-graduate diplomas in various specialties awarded by the College of Physicians & Surgeons, Mumbai and the National Board of Examinations, New Delhi. HNH&RC is also recognised by Mumbai University for its M.Sc. and Ph.D. in biochemistry, applied biology, and microbiology. The hospital also runs a nursing school. Since its inception, HNMRS has completed 100 clinical / scientific research projects, including many multi-disciplinary ones. Over 150 research papers have also been presented at various national and international conferences based on its research projects. These research projects are selected carefully with an aim to undertake community-based studies that are relevant to society. DhirubhaiAmbani Hospital, Lodhivali, District Raigad This 82-bed state-of-the-art hospital caters to an industrial and rural population in the Raigad district of Maharashtra. It provides for free outpatient and subsidised inpatient treatment for the needy and poor patients as well as for senior citizens. It also provides free treatment to trauma victims of highway accidents. The hospital, the only such comprehensive health care institution in the region, has been in existence for about four years and has proved its worth by saving numerous lives of victims of vehicular and industrial accidents.

EDUCATIONAL INITIATIVES
Dhirubhai Ambani Institute of Information and Communication Technology (DAIICT) The Dhirubhai Ambani Foundation (DAF) has established the Dhirubhai Ambani Institute of Information and Communication Technology (DA-IICT) at Gandhinagar in the western Indian state of Gujarat. The institute was flagged off in August 2001, when 246 students were admitted through an all-India entrance exam for a four-year undergraduate programme in Information and Communication Technology. Postgraduate programmes were added from academic year 2002-03 onwards. In the coming years, the institute will also offer a wide range of training and research programmes and continuing education programmes for working executives as well as practicing professionals. A number of new facilities have been created including additional floors for teaching, research laboratories, lecture theatres, a sports complex, a cultural centre and food courts. Hostel accommodation for students is being created on the campus. The Resource Centre (Library) is also under construction. Truly, men like Shri Dhirubhai Ambani are rare. They come gifted with the power and the vision to change the destiny of nations, to alter the course of corporate history. They are the empire builders, the stuff that legends are made of. The legend called Shri Dhirubhai Ambani will never die. His spirit will live on forever.

AWARDS AND RECOGNITIONS

November 2000 Conferred 'Man of the Century' award by Chemtech Foundation and Chemical Engineering World in recognition of his outstanding contribution to the growth and development of the chemical industry in India 2000, 1998 and 1996 Featured among 'Power 50 - the most powerful people in Asia by Asiaweek magazine.

June 1998 - Dean's Medal by The Wharton School, University of Pennsylvania, for setting an outstanding example of leadership. DhirubhaiAmbani has the rare distinction of being the first Indian to get Wharton School Dean's Medal [18] August 2001 The Economic Times Award for Corporate Excellence for Lifetime Achievement

DhirubhaiAmbani was named the Man of 20th Century by the Federation of Indian Chambers of Commerce and Industry (FICCI).

A poll conducted by The Times of India in 2000 voted Him "Greatest Creator of Wealth In The Centuries". He is the true son of India'