Wednesday, November 1, 2017

4 facets of lobbying in India

Being in the industry for over a decade doesn’t give one the status of a veteran. However for an industry, which is on the verge of coming out of shadows 10 years gives a panoramic view of its landscape. The filed of Corporate Affairs or Government Relations or Public Relations has been a part of the Indian economics ever since the days of the British Raj. For over two centuries, the Parsi community brokered business deals between the vernacular local population and the British. Post independence, it was the Marwari vyaparis who thronged the power corridors of a socialist economy, cajoling babus and nudging files. But an open and dynamic economy in the past two decade has cleared the opaque shadows on this business practice, forcing the men in black coats and briefcases to come out and speak their business.

Until 5 years ago, I would have 2 apprentices work with me every year. At times even this help was hard to get. Today, I have 2-3 calls every month from students eager to Horne their skills in the profession, asking for opportunity to work. Growing number of youth are interested in the field of Corporate Affairs and Government Relations. Is it the growing awareness around the industry? Could it be media exposure through popular culture like – House of Cards or Scandal? Or is it, evolving polity through new laws such as the Companies Act 2013 or the act, which would bring lobbying as a legitimate expense for corporations in India? Either way this industry, which was in its maturity in India, will witness a phoenix like rebirth through disruptive innovation.

Those of you who are waiting to jump on to the bandwagon, here is a teaser to the various facets of the industry.

Department Consultants:
Time and tested business model in the unstructured world of lobbying in India; Consultants pop-up by the dozen and usually survive the tides of time. Almost all have micro-expertise (termed as “specialist”) in a certain department or job. Most are retired officials from that department or have some strong connect working with the department; hence they are well versed with the ethos & pathos of the department. Their established network of bureaucracy and knowledge of time lines helps them in tipping the right corners and achieve objectives.

Policy Interpretation
With the change in government and direction of governance comes a plethora of policy changes. Witnessed in 1991, 1996 and now since 2014 new laws related to taxation, administration, regulation etc. will affect different industries in directly and indirectly. The task of policy interpretation is largely taken up by the legal eagles or specialized branches of the “Big 4”. However a small number of boutique consultancies, polito-legal consultants have done commendable work and found their niche.

Policy Formulation
The role of corporate affairs in policy formulation is largely limited to consensus building. This is often undertaken in coordination or under the blanket of industry associations like FICCI or CII. Typically, in this mandate a professional would be required to introduce, propagate and win endorsement of one or more fundamentals of the polity.

R&D

The backbone of every effective corporate affairs practice is a robust R&D. Corporate Affairs requires constant up gradation of skill sets and knowledge. With changing policies, people at various posts, directional changes in governance as well as industry/corporate objectives; it becomes pertinent for the corporate affairs to be up to speed with the latest around everything. As the structured corporate affairs grows out of its infancy, this function of the practice will grow ever more important growing into an industry of its own.

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