Ericsson teaches Anil Ambani and India’s nascent bankruptcy system a lesson

In recovering $80 million from tycoon Anil Ambani, the Swedish company’s lawyers played the nascent bankruptcy system expertly

Anil Ambani’s not going to jail after all, and Ericsson AB got its money. The Swedish company’s lawyers should take a bow.

While the future of the Indian tycoon’s shrinking empire remains shrouded in uncertainty, at least questions over his near-term living arrangements got answered on Monday. Ambani thanked his “respected” elder brother, Mukesh, and sister-in-law, Nita, after avoiding a three-month prison term. India’s richest man showed up just in time to help his younger sibling who has, in a little over a decade, lost 99 percent of his $31 billion net worth.

The local unit of Ericsson had accepted a Rs 5.5 billion ($80 million) settlement to keep its petition for Reliance Communications Ltd.’s $7 billion bankruptcy in abeyance. The telecom equipment vendor subsequently won a contempt-of-court order to put Chairman Anil Ambani in jail if the long-delayed payment – which he personally guaranteed – wasn’t received by Tuesday.

When a history of the early years of India’s 2016 bankruptcy code is written, Ericsson’s lawyers will deserve a glowing mention. For an unsecured creditor to walk away with a 48 percent recovery of its claim – while secured lenders wait patiently for RCom to sell its spectrum, redevelop its land assets and pay them something – shows that the Swedish firm played its cards well.

It also shows the secured creditors, led by State Bank of India, in a rather poor light. They have been deluding themselves since June 2017, when they agreed to an out-of-court restructuring, including a plan to convert part of their debt into equity at almost 25 rupees a share. Luckily that plan went nowhere. RCom shares closed on Monday at 4 rupees.

A revised restructuring later that year also saw little progress. RCom, having decided to exit its money-losing 2G and 3G mobile operations, planned to offload spectrum, fiber, and media convergence nodes to Mukesh Ambani’s hyper-aggressive 4G service. RCom and Jio officially called off the deal on Monday, just as the younger Ambani got bailed out by his brother. With RCom now seeking an in-court bankruptcy resolution, banks are back to square one.

To see just how badly they have bungled RCom, consider the stinging rebuke the lenders received from an appeals judge at India’s bankruptcy tribunal last week:

“You (State Bank of India) have failed. JLF (Joint lenders’ forum) has failed. No sale (of assets) took place. You clapped with RCom and claimed that you would recover around Rs 37,000 crore ($5.4 billion) from a sale to Jio … You failed …”

Even now, the lenders have no real plan. Jio’s entry has crashed prices of telecom services and led to shutdowns and bankruptcies, including of RCom. Mukesh Ambani may still have an appetite for assets controlled by his younger brother, but a bidding war is doubtful.

Recent comments by the founder of India’s most successful telecom company, Bharti Airtel Ltd. Chairman Sunil Mittal, should worry the banks deeply. When reporters asked Mittal on the sidelines of the Mobile World Congress in Barcelona if he’d bid for RCom’s spectrum out of bankruptcy, he questioned the very premise of airwaves being sold by tribunal-appointed resolution professionals. The spectrum was a sovereign asset belonging to the Department of Telecommunications, Mittal said, according to an Economic Times report. He asked why the DoT didn’t take the spectrum back and pool it with its own auctions.

As secured lenders cringe at that thought, Ericsson’s lawyers can bask in their success. First, they snagged a sweet deal by exploiting RCom’s initial reluctance to enter in-court bankruptcy. Then, they succeeded in getting a credible jail risk for Anil Ambani thrown into the mix to ensure the deal was honored. Finally, they got their client $80 million. Really nicely done.

Security becomes a ‘smart’ business opportunity

Innovative Ideas & Services has evolved from being the purveyor of simple video door phones to that of wearable safety devices with advanced features
Security is an important aspect, especially for children, women and senior citizens in today’s world where there seems to be a potential danger lurking at every turn.

While earlier, a security guard at the entrance of a building, office or school was considered an effective deterrent, today’s world demands much more effective and sophisticated security systems with round-the-clock monitoring and surveillance capabilities.

Mumbai-based Innovative Ideals & Services (India) Ltd., a listed, small and medium enterprise (SME) on the BSE, was started 25 years ago to provide electronic security solutions. A journey that started with simple video door phones, at a time when such gadgets were a novelty, had seen the company keeping pace with the evolving technology in areas of home automation, closed-circuit televisions, intrusion alert systems and most recently, a wearable safety device with advanced features like geo-fencing, tracking, one-touch panic button and even calling facility.

“Savior is a product that we soft-launched around six months back with an aim to enhance the safety of children, women, and senior citizens,” said Maqsood Shaikh, managing director, Innovative Ideas & Services (India) Ltd., adding that it had sold about 250 units till date.

One-touch panic button
“There is a one-touch panic button and the wearable device can call on its own. We are trying to work with government authorities to enhance its reach and acceptability,” added Mr. Shaikh., an electronics and telecom engineer by qualification.

More importantly, the product also has a geo-fencing feature that sends an alert in case the person strays from the predefined route.

Currently available at ₹6,000, the firm is trying to create a business model for Savior wherein a user can pay a fixed monthly charge instead of an upfront price that, at times, could deter a potential user. Incidentally, Savior is a much refined and advanced version of a smart security device called ‘ArmHer’ that the company developed around five years for the security of women.

“It was a small panic switch and convenient to carry like a keychain. It was connected to your smartphone, which is typically the first thing to be snatched in case of an attack. The woman could just press the device and an alert was sent to predefined numbers with the date, time and location,” said Mr. Shaikh.

The device, however, did not see much success though the journey of the company continued but not without the usual set of challenges that any business faces.

The company was started in 1993-94 and made video door phones, to begin with. The first few years were replete with challenges in terms of money to scale up the production and penetrate the market.

“When we started our business, video door phones were not common. Even CCTV’s could be seen only in high-end residential projects or at jewelry stores,” said Mr. Shaikh, who earlier worked with Global Telesystems to introduce the fax machine in India in the late 1980s.

The company then decided to directly tap big builders and started installing their products in mega townships with more than 1,000 flats.

With the foundations laid, the firm moved into home automation segment wherein their systems can be installed on a wired or wireless basis and things like lights, fans, and air conditioners, among others, can be controlled remotely via remote control or a smartphone.

“Making a product is the easier part. Servicing it is the more important and difficult part. There is a vacuum in this industry in terms of after-sales services. Our maximum downtime is four hours,” said Mr. Shaikh.

Then came the high-speed fiber vertical wherein the company provides fiber cable connectivity to large residential complexes making it easier for the residents to convert their homes to so-called ‘smart homes’.

The company had worked with some marquee names in the real estate sector like Rustomjee and Godrej Properties among others.

Early last year, the company started making feature phones and LED televisions and sells its products mostly in tier II and tier III cities.

According to Mr. Shaikh, there is a good demand in the smaller towns and cities where the company manages to sell about 40,000 units per month. It had also tied-up with Leagoo, a global smartphone maker, to market its products in India through its network of 10,000 retailers.

Focus on exports
Going ahead, the company with a staff strength of almost 250 people, wants to focus on exports as well and has opened offices in Dubai, Bahrain, and Singapore.

To keep pace with the evolving technology, the company also intends to launch products with the Internet of things (IoT) concept in the coming fiscal.

The company listed on the SME platform of BSE on October 10, 2018. While the issue price was fixed at ₹40 per share, the shares are currently trading at ₹160 with the market capitalization of the SME pegged at ₹182 crore.

Scientists successfully levitate objects with light

Scientists have designed a way to levitate and propel objects using only light, by creating nanoscale patterns on the objects’ surfaces.

Though still theoretical, the work is a step toward developing a spacecraft that could reach the nearest planet outside of our solar system in 20 years, powered and accelerated only by light.


Decades ago, the development of so-called optical tweezers enabled scientists to move and manipulate tiny objects, like nanoparticles, using the radiative pressure from a sharply focused beam of laser light.

This work formed the basis for the 2018 Nobel Prize in Physics. However, optical tweezers are only able to manipulate very small objects and only at very short distances.

“One can levitate a ping pong ball using a steady stream of air from a hairdryer. But it wouldn’t work if the ping pong ball were too big, or if it were too far away from the hair dryer, and so on,” said Ognjen Ilic, a postdoctoral scholar at California Institute of Technology (Caltech) in the US.

With the new research, published in the journal Nature Photonics, objects of many different shapes and sizes — from micrometers to meters — could be manipulated with a light beam. The key is to create specific nanoscale patterns on an object’s surface.

This patterning interacts with light in such a way that the object can right itself when perturbed, creating a restoring torque to keep it in the light beam.

Thus, rather than requiring highly focused laser beams, the objects’ patterning is designed to “encode” their own stability. The light source can also be millions of miles away.

“We have come up with a method that could levitate macroscopic objects,” said Harry Atwater, from Caltech.

“There is an audaciously interesting application to use this technique as a means for propulsion of a new generation of spacecraft. We’re a long way from actually doing that, but we are in the process of testing out the principles,” he said.

In theory, this spacecraft could be patterned with nanoscale structures and accelerated by Earth-based laser light. Without needing to carry fuel, the spacecraft could reach very high, even relativistic speeds and possibly travel to other stars.

Atwater also envisions that the technology could be used here on Earth to enable rapid manufacturing of ever-smaller objects, like circuit boards.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

SREI Group signs term sheet to acquire AMC business of Essel Group

“A term sheet has been signed between both the parties so far which is a part of due diligence process,” a source told Moneycontrol.

Kolkata-based SREI Group is said to have initiated the process to acquire the asset management business of Essel Group — Essel Asset Management, sources told Moneycontrol.

“A term sheet has been signed between both the parties so far which is a part of due diligence process,” the source said.

A term sheet is a bulleted list, prepared by any of the proposing parties, enumerating some of the features as well as the terms and conditions of a contemplated business agreement.

However, the signing of a term sheet is not a definitive agreement and does not mean that the acquisition is final.

The terms and conditions contained in the term sheet are not binding to any of the parties, as they are subject to modification through further negotiations before the final agreement is actually prepared and signed.

The assets under management of Essel Mutual Fund currently stands at Rs 1,428 crore. If the market grapevine is to be believed the deal is likely to be done close to Rs 93 crore.

In 2016, Essel Finance Wealth Zone Private Ltd (EFWZ), a wholly-owned subsidiary of Essel Finance Management LLP, had acquired the entire shareholding of Essel Finance AMC, formerly Peerless Funds Management Company, and Essel MF Trustee Limited formerly Peerless Trust Management Company.

In a response to Moneycontrol’s query, a spokesperson for Srei Mutual Fund Asset Management Private Limited, said: “We do not comment on market speculations.”

DOES SREI HAVE DEEP POCKETS?

SREI Group offers a myriad of services in the infrastructure and capital markets space. Project finance, advisory and equipment finance are its key service offerings within the infrastructure domain.

Besides managing alternative investment funds (AIFs), the conglomerate is also into investment banking (for capital markets) and insurance broking (for corporates and individuals). The proposed acquisition of Essel Mutual Fund would complement Srei’s segments under financial services.

Srei Infrastructure Finance, the listed flagship entity of the SREI Group, had a net debt (total borrowings minus cash and bank balance) of Rs 28,105.19 crore as on 30th September 2018.

Considering this humongous debt pile up, it remains to be seen if SREI will leverage its balance sheet further, notwithstanding the miniscule transaction size (Rs 93 crore).

WHY ESSEL MF IS UP FOR SALE?

According to media reports, Essel Group, led by Subhash Chandra, is planning to monetize its non-media businesses amid concerns over debt repayment to its lenders.

In the next six months, the company plans to monetize about Rs 20,000 crore by selling its infrastructure assets.

Currently, at the group level, Essel has a total debt of Rs 17,174 crore. Of which, Rs 11,466 crore is the infra-related debt. This infra-related debt covers three major verticals — power transmission, solar and roads (toll and annuity).

The promoters had pledged their 59 percent stake in Zee Entertainment to raise money that served as equity funding in their infrastructure-related businesses.

Rs 2,000 cr of unclaimed dividends lying with investor protection authority

Senior government officials say there are at least 2.5 million investors who have not claimed their dividends

Unclaimed dividend payments worth Rs 2,000 crore are lying with the Investor Education and Protection Fund Authority (PFA).

Any payment that investors have not claimed has to be transferred to this authority. The investor then has to claim it from the authority. Senior government officials said there were at least 2.5 million such investors.


Most of the cases relate to those who have shares in paper form and not dematerialized ones. A government official told Business Standard, “There are claims up to lakhs of rupees. 99 percent of such shares are in physical form.” The official said in many cases shares had not been transferred from the name of the deceased to the legal heir.

The Securities and Exchange Board of India (SEBI) has mandated all physical shares should be dematerialized by March 31 this year.

Ankit Aggarwal, managing director of Alankit, a firm that helps investors claim dividend payments stuck with the PFA, said many people were not able to claim dividend payments from companies because the share transfer had not happened after the demise of the original shareholder. There are instances of signature mismatch in such transfers, he said. He stated there were many who had lost their share certificates.

Experts said there was hardly any awareness among investors about claiming their dividend payments.

Investors not claiming their dividend run into thousands even in some of the Sensex companies. For instance, 3,329 investors have not claimed their payments totaling more than Rs 11 lakh from Bharti Airtel for 2016-17.

For instance, in the case of Hero Motocorp, more than Rs 8 crore was not claimed for 2016-17.

In the case of ITC, payments of more than Rs 32 crore have not been claimed for that year.

For ONGC, 2,054 investors have not claimed their dividend payments for 2016-17. In the case of Bajaj Auto, it is 1,517 investors and the dividend payments total Rs 4 crore.

The Ministry of Corporate Affairs set up the IEPFA in September 2016 for administering investor education and protection funds under Section 125 of the Companies Act, 2013. Besides this, the Authority is entrusted with refunding shares, unclaimed dividends, matured deposits, debentures, etc. to investors and to promote awareness among them.

Procedure to claim dividend from IEPFA

1. An investor has to fill a form available on the IEPFA website

2. Indemnity bond and other documents for proof need to be submitted the authority

3. Claim forms will be verified by the company. Based on company’s report, IEPF will release the payment electronically.

Build tech business of your own: Mindtree promoters reject L&T takeover bid

Mindtree promoters have staunchly opposed L&T’s bid to acquire the company, describing it a grave threat and value destructive to shareholders,

Mindtree employees will quit if engineering giant L&T’s hostile takeover bid hurts their “sense of mission”, said the IT company’s promoters on Tuesday.

“You are a company with turnover of Rs 120,000 crore, you are 18 times the size of Mindtree.

Why can’t you build a great technology business with your resources and capability without disseminating another organization?” Mindtree co-founder Krishnakumar Natarajan asked.

Mindtree promoters have staunchly opposed L&T’s bid to acquire the company, describing it a grave threat and value destructive to shareholders.
“This is a people business.

‘Mindtree Minds’ have signed up for a mission not just a salary.per cent take their mission away and they will go…what will you be left with,” Natarajan said.

In the country’s first hostile takeover bid in the IT sector, infrastructure giant Larsen & Toubro Monday made an offer to buy upercent stake in Mindtree for around Rs 10,800 crore.

L&T has entered into a deal to buy Cafe Coffee Day owner V G Siddhartha’s 20.32 percent percent percent stake in Mindtree and has also placed an order with brokers to pick up another 15 of the company shares from the open market.

Subsequent to these deals, L&T would make an open offer to buy additional 31 percent stake through an open offer, it said in a late evening statement.

All three acquisitions are being done at Rs 980 per share, a premium percent over Monday’s closing price of Mindtree on the BSE.

Mindtree closed on the BSE at Rs 962.50a piece.

L&T would pay Siddhartha Rs 3,269 crore and Rs 5,030 crore for the open offer, as per filings made by L&T and Mindtree.

The company would shell out around Rs 2,500 crore for acquiring the additional 15 percent stake. Together, the outgo would be around Rs 10,800 crore, according to a rough calculation.

As far as buyback is concerned, the company board would deliberate on it tomorrow within the framework of the existing laws, Company CEO RostowRavanan said.
“As far as buyback is concerned, the board will deliberate on the buyback or the open offer tomorrow within the framework of the laws.

Obviously first ever there are laws – what the board can do and cannot do under the circumstances,” he said.

Asked to comment on L&T Group Executive Chairman A M Naik that some Mindtree promoters want to exit, Ravanan said, “It is completely false.

All the management team supporting the company.” Natarajan said L&T has decided first-ever hostile in the 50-year-old unblemished Indian IT industry.

“If you persist in whatever you are doing, you will be forever be remembered for this. Is this how you want to set an example?” he asked.

He said Mindtree customers have selected it for its unique culture and warned that clients will “stall all future business and even take their business elsewhere”.

“In the process percent, you would have demolished shareholders value for both the companies. Is this the right thing to do?” Natarajan said.
Asked about the options for the company to fend off L&T takeover, Natarajan said there are various options and the company remains percent committed to its long-term vision of building an independent company.

Replying to a query, he said the independent directors will set up a committee and evaluate the open offer made by L&T.
“Nevertheless, what I would like to state is our 52 week high was Rs 1,183 and the deal was done at Rs 980. That only reflects the value of the transaction,” he said.

L&T, earlier in the day, had said in a statement that it would make an open offer to buy percent additipercent 31 stakes through an open offer.

Replying to a query, Natarajan said Mindtrees’ stand is the same as it was there for years earlier.

Asked if Siddharth’s disclosure on pledging his shares in 2018 complied with SEBI rules, Ravanan said there were some irregularities in Siddharth’s disclosure at that point of time which the company’s board and audit committee dealt with as per the rules prevailing then.

“If additional information becomes available to the company whether any of the disclosures were incorrect or anything needs to be done, the company would decide accordingly,” he added.

Mindtree promoters question L&T

Why can’t you build a great technology business with your resources and capability without disseminating another organization?” says Mindtree co-founder Krishnakumar Natarajan
‘Mindtree Minds’ have signed up for a mission not just a salary. Take their mission away and they will go…what will you be left with,”
“If you persist in whatever you are doing, you will be forever be remembered for this. Is this how you want to set an example?”
“In the pro, cess you would have demolished shareholders value for both the companies. Is this the right thing to do?”

From thought to persuade: the way to harness storytelling for business achievement

Mondays are excellent days for reflecting on the excellent memories of the beyond the week, and not simply the thrilling facts. Storytelling, listening and triggering are a core competency for a commercial enterprise, as this book explains.


Listening to stories and telling them comes obviously to humans, and deserves a systematic system in nowadays’s corporations as nicely. Putting Stories to Work: Mastering Business Storytelling via Shawn Callahan is a practical manual primarily based on two decades of labor in storytelling in agencies throughout dozens of nations.

The eleven chapters are unfolding throughout 270 pages and make for an informative read. There is also a 5-page story index which correctly illustrates the principles of tale tagging and taxonomy.

Shawn Callahan is a storytelling writer, teacher, and teach. Based in Melbourne, he has labored with organizations ranging from Danone and Allianz to SAP and Tesco. He is the founding father of Anecdote, whose consulting programmes are brought in 8 languages. Shawn holds a bachelor’s diploma in geography and archaeology from the Australian National University.

“Smart organizations are making an investment in supporting their humans to systematically and purposefully discover and percentage powerful memories,” Shawn begins. In the worlds of film govt Peter Guber: “Storytelling isn’t always shown enterprise. It’s the right business.”

I even have summarised my key takeaways in the three sections beneath, in addition to in Tables 1 and a pair of. See additionally my critiques of the related books Unleash the Power of Storytelling, Let the Story Do the Work, The Storyteller’s Secret, Whoever Tells the Best Story Wins, Stories for Work, and Stories at Work. Entrepreneurs have to take a look at out YourStory’s Changemaker Story Canvas, an unfastened visualization device for startups and innovators.

I. Foundations

Storytelling through miming and drawing predates the spoken phrase. “Writing now dominates corporate existence. Yet, at our core, our innate conversation skills are miming and oral storytelling,” Shawn explains.

He cites the definition of ‘story’ by using Richard Maxwell and Bob Dickman: “Stories are data, wrapped in context, and brought with meaning.” Shawn adds: “Stories are a user guide for lifestyles.”

A commercial enterprise story has a time and location marker, a sequence of connected events, speakers, and a business point. An excellent story conveys description, visualization, and empathy. It must have an element of surprise, and intensity in its characters.

Stories in commercial enterprise contexts are unfortunately disregarded through many leaders due to the fact stories are perceived as a waste of time, now not enterprise-like, something which handiest youngsters or entertainers do, a manner of manipulation, or are made up. Instead, Shawn requires leaders to take the proper mindset and moves toward effective storytelling.

“Sharing real-lifestyles oral testimonies bestows on a leader the superpowers of memorability, meaningfulness, and emotionality, all of which are essential in a business global where relationships, consider, and the potential to adapt have grown to be important talents,’ Shawn emphasizes.

The book focuses extensively on oral storytelling and opens the door to extra studies on written tales and digital media. Storytelling in the business context is like “company anthropology,” and making it a regular effective dependancy requires motivation, competencies, and a varied repertoire of long-lasting memories.

Deliberate exercise, conscious improvement, and a focus on human detail are key for storytelling. Having a “story friend” or relied on an internal circle allows taking a look at testimonies in this regard. Stories may be categorized into 3 types on the intimacy spectrum: the front porch memories (for every person), kitchen testimonies (for the inner circle), and bedroom stories (the most intimate ones). Practice helps determine how plenty of oneself the tale must monitor.

Powerpoint displays and CEO roadshows aren’t as effective for speaking commercial enterprise strategy as a memorable tale with an overarching narrative. By answering the Why question, such tales assist the method to be remembered by way of employees and retold to others (regardless of their own additions woven in).

Engaged employees will cross above and beyond their call of duty; it allows if leaders proportion memories about the organization’s motive, development, and organizational belief. It is critical for leaders to also trigger and hear memories from their employees – this allows understand perceptions and dedication.

“Stories of tremendous efforts are exquisite gasoline for inspiration,” Shawn explains. For instance, based on customer feedback, Apple asks personnel to percentage testimonies about how they successfully served customers each day. “To inspire at work, leaders have to percentage stories of occasions big and small,” he advises.

Experiences framed by using a chain of stories enhance better decision-making practices. Relevant classes learned can be shared through stories and pressure behavior exchange. Truly attractive memories now not most effective draw listeners in, however boom empathy or even result in the prediction of what takes place next.

Story listening enables unearth half of-truths, incorrect information and lies (‘anti-tales’) inside the corporate grapevine and want to be countered no longer just with information but better opportunity memories or replacement tales.

II. Story Mastery

To be a successful storyteller requires separating stories from non-memories (opinions, statistics, timelines), having stories in your “mental back-pocket,” narrating anecdotes and broader patterns in the employer, and having a various range of clean stories.
“Spotting testimonies is the fundamental narrative intelligence you want to become a commercial enterprise storyteller,” Shawn emphasizes. This involves drawing connections between lived revel in and enterprise thoughts and includes figuring out “difficult diamonds” that may be polished to grow to be true testimonies.

In the entertainment enterprise, tales of energy, demise, youngsters’ safety, and sex make for “sticky memories” that ring a bell with our reptilian brains. Movie scenes and commercials provide appropriate story factors.

In the business world, testimonies can be spotted wherein periodic conferences are taking area, for the duration of crises, when humans are under pressure, or wherein new matters are happening. They may even be spotted anyplace the “quirky, eccentric mavericks dangle out.”

Story-eliciting questions are useful in this regard. Artworks, images, and photographs, mainly of human beings in movement, may be evocative gear as properly; so are artifacts such as sketches, maps, and other physical gadgets. However, testimonies want no longer be over-dramatized or made into performances; the best communicators are conversational, Shawn explains.

Stories can help leaders show that they care, have individual and reason, and have learned training from their enjoy. For such stories to be memorable, they ought to be visual, emotional and interesting, Shawn advises.

Stories may be remembered through powerful tags, with many examples illustrated inside the ebook: CEO rejects bribe, The lawyer with integrity, Shifting the factory, The Xerox repairman tale, Refugees annoying a library card, The Zen master and the professor, and The Apollo 13 scene.

Rather than depending handiest on massive memories, it facilitates to tell lots of small but vivid, relatable and emotional tales. At the identical time, telling tales all of the time without a commercial enterprise factor dangers making the narrator sound like a “gasbag,” Shawn cautions.

Stories assist thoughts spread like a deadly disease (Malcolm Gladwell) or even a forest fireplace (Duncan Watts). Founder stories are in particular powerful in reinforcing the organization’s origin, early struggles, hard choices, middle values, and adjustments in direction. For example, whilst Steve Jobs lower back to Apple, he trimmed down the point of interest to the simplest four merchandise in a 2X2 matrix (Consumer and Pro; Desktop and Laptop).

“A price isn’t a fee until it fees your cash,” Shawn explains; values testimonies have to illustrate the tradeoffs made for the duration of decisions, and make values like honesty and integrity come actually.

Vision testimonies should construct on favored futures, and feature terms like What if. Connection testimonies set up rapport thru the human element, particularly while addressing new audiences; they construct on turning points in non-public activities or paintings occurrences.

Clarity testimonies toughen logical reasoning thru narrative systems like <In the past> <Then something happened> <So now> <In the future>. It recognizes beyond problems and the complexities of alternate and then describes preferred states and steps.

Imagery and factors of assessment are important in clarity testimonies. Involving a team in growing readability stories allows making them all connected to it (the ‘IKEA effect’ of loving something you create).

An approach tale must not come across as too easy or slick (a ‘Pollyanna tale’ in which everything is good). It ought to acknowledge earlier anti-stories, and the leaders’ behaviors must be aligned with the tale.

Influence tales can use the ‘tale before argument’ precept to assist triumph over confirmation bias in listeners; they should no longer sense reviews are being pushed at them. The shape ought to be <Acknowledge the anti-story> <Share the new example or story> <Make the case> <Reiterate the point>.

In different words, the affected sample has a negative tale followed by using a tremendous story, which collectively provides the answer. They have an impact on tale ought to be true, relatable, credible, simple and proven.

“Anti-stories mirror the true concerns of personnel and that they have to be addressed. Consequently, it’s essential that leaders recognize the anti-memories of their employer. They want to be related to their personnel, have their ears to the floor,” Shawn emphasizes.

Case studies may be livened up with human elements inclusive of emotions and names of people involved (even if the names used are not the actual names). Analogy memories bring in symbols from different fields (eg. Ryan Lochte beating Michael Phelps by way of inventing a new form of dolphin kick), or from parables (eg. Bringing Zen tales into the Western tradition).

Presentations may be simplified by structuring them into three sections: What, So what, Now what. Sales pitches can draw on the readability story pattern, and even encompass failure testimonies and classes found out; clients should also be invited to share their own testimonies.

III. Stories in action

The ebook is packed with a number of private and commercial enterprise memories, drawn from Shawn’s tremendous enjoy. Narrative intelligence in an enterprise changes the tradition for the better.

For example, the Victoria Department of Education has month-to-month teleconferences wherein teachers percentage testimonies of innovative practices, and talk how to mirror and scale them. Ritz-Carlton asks employees to submit ‘Wow’ testimonies of great customer support every two weeks, and the HR branch selects one for sharing throughout the motel chain.

Wynn Resorts has hooked up a tale programme that runs every day. In groups of 6-12, employees are requested every day to share tales of something special that happened with visitors. This makes successful employees experience like heroes and spurs them to be exemplary and broaden their own testimonies as properly.

Home equipment corporation PIRCH has advanced a manifesto of 23 aphorisms inclusive of Honour your guarantees, Be actual, Slow down, and even You have a tremendous bottle of wine, drink it. Its showroom is like an enjoyment park for adults, where they could “nude up” and walk underneath a 15-meter row of showerheads to decide which one to choose.

New personnel is uncovered to suitable purchaser practices and storytelling in corporations along with Nordstrom, Tesla, Tiffany, and Lululemon. They then form a circle to percentage testimonies approximately the business enterprise’s aphorisms based totally on a group of artifacts. Informal sharing of stories additionally happens round seaside bonfires, where founder tales and neighborhood chief stories are narrated. Exemplary place of business memories are shared each week on the intranet and are called Manifesto Moments Online.