Top posts in the government of India are ex-cadre posts; that is, anyone who fulfils basic criteria can be appointed for the posts. There are two kinds of basic criteria: experience in bureaucracy, and domain expertise. Unfortunately in India, domain expertise is not stressed. Domain expertise has been replaced over time by popularity and network of the person applying for the post.
Inviting leaders from private sector to lead PSUs
The present dispensation is, however, approaching appointments differently. Merit and domain expertise are being given preference over networks in government. One of the first acts of new policymakers after coming to power was to set new criteria for appointment of chiefs of PSU banks. For the first time, private bankers were invited to apply for these posts. The logic behind this is that a PSU bank employee is handicapped by his/her experience to perceive problems and strategies from the same angle that PSUs have traditionally been perceiving. Appointing such a person as leader of the bank does not enthuse the organisation with new energy; nor does it enhance creativity. Private bankers are equally specialised in banking, and have much better perspective, having competed in open markets with other bankers. This is merit.
Another act of the policymakers in recent days was to question the very business model of Air India. Its a huge organisation, remarked one policymaker, without any vision for the future. Public or private, the motive of every business is to make profits. If an organisation does not profess this motive, it loses any motive to outperform competitors and provide quality service to customers. Hence, PSU or private, an airline cannot afford to run like a charitable institution. The MD of Air India is an officer of Indian Administrative Service (IAS). Although supermen, officers running local administration cannot run business. None of the MDs of other airlines - Indigo, Go air, Spice Jet, or Air Asia - has a background in local administration. They are people with enviable track record in leading huge corporations and administering Multinationals. Anyone can see through the illogic of appointing a bureaucrat to the post.
Another case of selecting merit over networking or jugaad is that of appointment of Sri KV Chowdhury as Central Vigilance Commissioner. This is a man with impeccable record and a fantastic career. However when his name was being considered for the post of CVC, others trying to get to the post tried vilifying him by making few advocates to run a smear campaign on social media. The smear campaign failed because the statements made were not only factually wrong but also contradictory. KV Chowdhury was appointed as CVC on merits. My friend P. Satya Prasanth has beautifully summed the appointment as under:
"Shri. K. V. Chowdary, a 1978 batch IRS officer, is appointed by the Government of India as the next Chief Vigilance Commissioner (CVC). He is the former Chairman, Central Board of Direct Taxes (CBDT) and currently Advisor to the Special Investigation Team (SIT) investigating the foreign bank account (black money) cases. He is an excellent choice as a CVC. I worked under him as Deputy Director (Investigation) when he was Member (Investigation) and later Chairman of CBDT. He is extremely honest, works for atleast 15 hours a day, his energy at this age rivals that of a young civil servant, he has a very strong personality, he doesn't bow to undue pressures, very intelligent and fully committed to any job he does.
I am happy that for the first time merit was chosen over precedence, hegemony, unionism, arrogance, inefficiency and mediocrity in appointment of a CVC. This will augur well for the country... Everybody who knows or worked with Shri. Chowdary will vouch for his integrity. He is a man of unimpeachable integrity... I am fully confident that one will see a CVC that can be compared to the Election Commission under Shri. T. N. Seshan. One can also expect a lot of systemic changes in the working of CVC from now on. We can also expect that the pending files for action will start moving in CVC. A 4-year tenure as CVC to Shri. K.V.Chowdary will work wonders for the country. Hearty congratulations to my former superboss. Best of luck in your new assignment and god speed sir. The country has lot of hopes from you."
Fairness and neutrality
Another fresh act of our policymakers has been its brutal resistance to any kind of pressure or enticements. Almost all ministries have now developed built-in systems to detect lobbyists and avoid them. Many individuals working in "corporate strategy" and "corporate communication" divisions of various corporates have a job profile of leaking and collecting privileged policy decisions. Recently the authorities clamped down on such acts of 'corporate espionage'. Some very influential corporate groups were involved.
It is not that the policymakers do not favour corporates. Business is important and critical to economic development, and every possible step is being taken to create a conducive environment for business. However, that does not mean that any businessman can expect preferential treatment: the policy is of strict neutrality. Take, for example, the severe penalties on Adani Gas and on certain auto companies by CCI in July 2014 and October 2014 respectively.
3 comments:
Crisp and well directed.. Good job Smarak!
Wah.......
Nicely written. But Smarak sir, dubbing IAS officers as "officers running local administration" is going a bit too far. IAS officers do a lot more things than running local administration. And even as some of them do, local administration is not a child's play. It can sometimes be more challenging than running Air India. Ask any officer who is slogging it out in the field ... with limited resources and tonnes of responsibilities on his head.
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