Interview : IT pro turned Entrepreneur

I'll be carrying out features and interviews on startups, who have been there, done that and are gearing up for the next big challenge - scaling up.

Meet Mahendra, Founder and CTO of Shikshaplanet, a full service, full spectrum IT recuitment and outsourcing firm, which employs nearly 150 people across 6 locations in India. He has also launched "Mohanchoti" a third generation recruitment portal, recently.

Me: To start with, tell me something about your background.
Mahendra: Well, I completed my Engineering from IIT Kanpur in 1996. Subsequent to that, I worked in the software field for almost 7 long years in companies like Aditi technologies, Ramco Systems and Talisma before taking a plunge in Entrepreneurship.

Me: When did this 'Entrepreneural bug' really bit you?
Mahendra:(Laughing) Well, I guess this was always in my mind since IIT days. In fact, just after graduation I took a loan to start a manufacturing facility for PVC pipes. But, Alas as soon as my parents got to know about it, the traditional middle class ethos of a secure job nipped my plans in the bud. Later on, when I encouraged my wife to get into recruitment thing. In fact, it took off really well. Then I thought, why not jump into it full time.

Me: Tell me more about the Launch of Shikshaplanet
Mahendra: I resigned from my job after 2 months of starting Shikshaplanet : But this time without telling my parents :-)[with mischievious smile on his face].
That's when we started to scale up. We got the first major contract for a training assignment, and then the IITK network and brand helped to gain other major contracts soon.

Me: There are so many recruitment firms around. What is your USP?
Mahendra: Most important aspect of Shikshaplanet is the Technology background of our people. We understand technology, so you would get right profiles for your needs.
Moreover, we have done very well to capitalize on contract sourcing model which is catching up pretty fast in India. We are outsourcing to tier-3 cities which have huge cost benefits. We're going to be ISO certified pretty soon.

Me: Did you ever feel let down, and at that time what helped?
Mahendra: Well one day in Jan, 2004, when I was taking stock of the situation, I had Rs. 50 in my pocket and had 50000 rupees as liabilities in bills, salaries. I almost thought of quitting at that point in time. But, on that particular day I received 3 Lac Rs. from my PF account. I thought this is a signal from God that I should continue.

Me: So, here we are from Rs. 50 and a team of 10 people to around 150 now. Now, what are your plans of growing your market share?
Mahendra: Well, we are aggresively looking at contract outsourcing model. Moreover, we are betting big on RPO - Recruitment process Outsoourcing where HR functin of recuitment is outsourced to us.
And I'm looking at scaling up 'MohanChoti' - Third Generation Recruitment Portal. It provides access to information of candidates and instant validation through references. It is an online system which values time and reference. Candidates are rewarded monetarily by a unique point system based on the number of genuine people referred.



Me: What were the major difficulties you faced?
Mahendra: Major challenge initially was how to cover the running cost. You have to dig deep into your pocket intially. Then, there is always the problem of getting right people and how to keep them excited about the job. And then we faced some problem while scaling up from 40 to 120 people. The people grow but the revenue does not grow in the same proportion. There was one time when I had to study management books for one week without going to office, just to know the dynamics of team management esp. when it grows big.


Me: Any interesting experiences you would like to share.
Mahendra: The biggest satisfaction I gain is when I see that I have helped to create jobs for so many people - esp. in very small cities where the jobs are scarce - you very well know about that personally.

Me: Advice to future Entrepreneurs
Mahendra: If you are really passionate about something - do it, don't think about what will happen. And be prepared to do anything for it. Since it may happen that you have the run the show on a tight budget, so you may be required to do even menial things like repairing EPABX system at 12.00 in night because you have to carry on with your work.

Me: It has been a pleasure talking to you Mahendra and gain insights on the challenges. All the Best!!!
Mahendra Thank you.