march 21 2013 Boldness in Business

foreword

Rewarding innovation

he Ft arcelorMittal boldness in business awards, jointly sponsored by arcelorMittal and the Financial times, have over the past five years Tbecome the pre-eminent forum for recognising entrepreneurial risk taking and business innovation. the past year has witnessed a wave of re-regulation and central bank intervention in response to the global financial crisis. amid the continued fire-fighting, there have been glimmers of recovery, notably in the US. but while the symptoms of the crisis may have eased, it has not been resolved. this applies not only to the transmission of credit in the european banking system, but also to the imbalances between the debt-ridden west and those countries with surpluses in the east, led by china. this was the challenging backdrop to this year’s boldness in business awards and it has, inevitably, informed the selection of the candidates and winners. We were looking for outstanding examples of companies taking bold decisions, not just in terms of adapting their business models to increase shareholder value but also in creating profitable and socially useful enterprises. in selecting the shortlist we spread our net far and wide, from the advanced industrialised west to the fast-growing emerging markets of asia, latin america and africa. the winners were rigorously sifted and selected from an extremely strong field. i would once again like to thank the judging panel for their contributions. their accumulated expertise has again proved indispensable. i am also particularly grateful to lakshmi Mittal, chairman and chief executive of arcelorMittal and co-chairman of the judges, for his continued support of this important set of awards.

lionel barber, FT Editor photo: charlie bibby

ft.com/BoLdNeSS | 3 boldness in business contents

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18 6 introduction 26 corporate The award winners are as responsibility diverse as capitalism itself Narayana Hrudayalaya Hospitals’ innovative 8 judges financial model is helping The panel brought huge ordinary indians access experience from industry vital healthcare services and academia to bear on the selection process 32 technology 3d Systems is tapping into 10 person of the year the potential of three- ivan glasenberg combined dimensional printing to charm and a competitive change the process of streak as he masterminded manufacturing radically glencore’s audacious deal to buy Xstrata 38 emerging markets mahindra & mahindra is 14 drivers of change building a leading position mondragon’s co-operative in high-end vehicles for ediA structure has not stopped it india as it seeks to establish Tm thriving despite Spain’s a global profile economic downturn rcrOf 42 smaller company BA 18 entrepreneur goPro has caught the wave 26 masayoshi Son thinks big to the next boom in digital with his deals, as imaging with a range of SoftBank’s $20bn bid for action cameras that can be US telecoms operator taken anywhere Sprint Nextel has shown 46 shortlist 24 winners The full list of nominees What the judges said for this year’s awards PHOTOS: BlOOmBerg, AflO /

4 |ft.com/boldness Special reports editor michael Skapinker Editor Hugo greenhalgh Commissioning editor robert Orr Production editor 42 george Kyriakos Art director Sheila Jack Picture editors michael crabtree, John Wellings Sub-editors Jearelle Wolhuter, Philip Parrish Illustrator clear as mud Researcher Hesham Zakai Special projects director diana Whittington Senior project manager rebekah dent Marketing & events executive michael lundby Special projects manager Artes Haderi Head of strategic sales Patrick collins Head of project delivery, strategic sales rachel HaHarrisrris Advertising production daniel lelesarsar Technical adviser 14 Pwc

contributors JOHN AUAUTHerSTHerS is the fT’fT’s senior investment columnist JAVier BlAS is the fT’s commodities editor JAmeS crABTree is the fT’s mumbai correspondent mileS JOHNSON is the ffT’sT’s madrid correspondent AmY KAZmiN is the ffTsTs south AsAsiaia correspondent PeTer mArSH is the ffT’T’s manufacturing editor micHiYO NAKAmOTONAKAmOTO is the fT’s deputy TokyoTokyo bureau chief cHriS NUT TAll is the ffT’sT’s 38 technology correspondent

ft.com/boldness | 5 BoLDNESS IN BUSINESS INtRoDUctIoN

separately by the judges, without Learning process regard to the other categories. But the deliberations produced a range of winners that could This year’s award winners, who represent not have been more diverse even if it had been scripted. capitalism in all its diversity, have much to Unlike in previous years, teach one another, writes John Authers there are hardly any internation- ally known companies on offer. Previous winners have included here is more than markets are not yet function- the likes of Apple, Google, one way to skin a cat. ing normally. Anger about the Amazon and Twitter, and And there are many inequality generated by capital- well-established and respected ways for businesses ism has also continued to inten- international companies such Tto show boldness in sify, and was on full display in an as Marks and Spencer, Sam- difficult environments. abnormally ideological 2012 US sung and Unilever. Yet this year Last year was a kinder one for presidential election campaign. produced a more eclectic group, capitalism than 2011: markets So how can companies tackle with few household names. largely avoided fresh crises, asset these difficult circumstances and They also produced a startling prices rallied and deal-making find ways to thrive? In a variety diversity of models for helping returned. But it was still a tough of ways, it turns out. capitalism out of its current fix. 12 months. The capitalist model Judging the Boldness in Perhaps the most surpris- remains under Business awards, ing was from Spain – a country intense scrutiny. When growth now in their racked by crisis – and structured The western fifth year, has as a co-operative. Mondragon world has contin- in the world always been hard: Corporation, the Basque com- ued its weak recov- economy is so by including pany that won this year’s Drivers ery after a severe companies of any of Change award, shares none downturn during weak, you need size, in any line of of its profits with shareholders. the financial tur- to look widely business and in Instead, it ploughs them back moil. The eurozone, for inspiration any geographical into a business in which many of while avoiding area, the job its workers have a stake. the much-feared of making fair It is a collection of more existential crisis, has lapsed back comparisons is always dif- than 250 companies, employing into recession and leaders of the ficult, going on impossible. roughly 83,000 people. In 2011, emerging world are under pres- This year, the sheer diversity ¤3.97bn of the ¤5.93bn sales sure as they try to adapt their of the nominees that survived in its industry division were own models for development. the vetting process, and the outside Spain. The need for China, in particular, breadth of what they were Co-operatives and con- to modify an approach that has attempting to achieve, made that glomerates are often regarded so far focused on exports and task harder than ever. as dinosaur concepts. But in cheap labour has created worries However, the diversity of the Mondragon, the conglomerate for the rest of the world. winners demonstrates why these structure seems to have added Central banks throughout the awards serve a purpose: they security and diversification, as developed world are still using are a systematic and exhaustive intended, and the co-operative drastic monetary policy measures attempt to find role models for model has not obstructed to keep the ship afloat. Even the contemporary capitalism. This the company from behaving impeccably orthodox European year it found them in unlikely boldly. There is a lesson for Central Bank joined in last year, places, from Spain’s Basque others in this. saying it would do “whatever it region to Japan – both racked by Another surprise, and the takes” to save the euro. the long-lasting effects of first unanimous winner of a With the “risk-free” rate that a credit-fuelled binge – and, Boldness in Business award, underpins the world’s transac- twice, in India. came in the social responsibility tions held deliberately low, it The results were not by category, won by India’s Naray- is plain that capitalism and design. Each award was voted on ana Hrudayalaya Hospitals.

6 |ft.com/BoLDNESS As any follower of the and when political uncertainty tortured politics over the US is so high. Does this mean the deficit will be aware, judges somehow unwittingly world capitalism called for a retreat from capital- has few more acute ism red in tooth and claw? problems than the Not at all. Look at the person escalating costs of the year: Ivan Glasenberg. of healthcare. Glasenberg, who runs the For whatever commodities trading and min- reason, the ing powerhouse Glencore, may US in particular seem an odd fit to some. The seems incapable of secretive Switzerland-based capping the money it group was a private company spends on health- until two years ago. The dif- care, and this radi- ficult work of operating mines cally undermines in developing countries means the nation’s finances. making hard-nosed decisions, Remarkably, a with low wages sometimes paid promising model for difficult and dangerous work. to deal with the Yet the company’s 2010 initial issue is taking shape public offering created several in India. Even more notewor- instantaneous billionaires, thy, its structure is borrowed including Glasenberg. The man from a US corporate titan: himself is a tough negotiator Walmart, the retail chain. who speaks freely and would not The need for Narayana deny any of this. Hrudayalaya to adopt such a He won the award for pulling model was born out of neces- off 2012’s biggest and most sity. There are many, many poor audacious deal – the $76bn take- people in India. Offering them over of mining group Xstrata. He low-cost care is essential if did this by sticking resolutely to a hospital group is to do any his goal while showing flexibility business at all. about how to reach it. But a Walmart-like When investors balked at his focus on keeping costs terms for the initial deal, Glasen- and prices low, and berg raised the price, using its burgeoning adding a new condi- scale to push costs down tion: that he would further, appears to be work- lead the combined ing. Narayana Hrudayalaya entity. He won his now has the world’s largest prize. cardiac hospital, for example. The point The company even offers its here is that own “micro-insurance” pro- there is gramme to help customers pay. a role for Support staff allow surgeons, the kind of who can communicate with unapologetic patients via Skype, to be freed capitalism from onerous paperwork. It embodied by sounds as though there are les- Glasenberg, just as the Glasen- sons here for the US. bergs of the world can learn This is the kind of free think- from some of the lesser-known ing, looking widely for inspira- winners of this year’s awards. tion, that is needed when growth There really are many ways to in the world economy is so weak, skin a cat. n

ft.com/BoLDNESS | 7 BOLDNESS IN BUSINESS JUDGING PANEL

Lionel Barber Lakshmi Mittal Lionel Barber has been editor Lakshmi Mittal is chairman of the Financial Times since and chief executive of November 2005 ArcelorMittal, the world’s largest steelmaker Terry Smith Terry Smith is chief executive of Tullett Prebon, the inter-dealer broker, and founder of Fundsmith, the fund manager

Luke Johnson Anne Méaux Luke Johnson is chairman Anne Méaux is founder and of Risk Capital Partners, the chief executive of Image Sept, private equity group, and an the Paris-based public affairs FT columnist and media relations consultancy Leo Johnson Leo Johnson is a partner in the sustainability and climate change team at PwC, the professional services company

John Authers Dipak Jain John Authers is the FT’s senior Dipak Jain is the outgoing dean investment columnist, with on Insead, the business school responsibility for the Long View with campuses in France, and other columns Singapore and Abu Dhabi

8 |FT.COM/BOLDNESS

person oF THe YeAr IVAn GLAsenBerG

Scale the heights

The Glencore chief executive fought hard to pull off the deal of the year with the $76bn move for Xstrata, writes Javier Blas

hen Ivan straight for drinks at a nearby Glasen- bar where Glencore colleagues berg sat were entertaining clients. down in There was no lamenting the Septem- billions of extra dollars he had ber with been forced to put up. What- WSheikh ever the price, Glasenberg had Hamad bin Jassim bin Jabr al- agreed a $76bn deal that would Thani, Qatar’s prime minister, pave the way for the fifth-largest the Glencore chief executive’s takeover in the history of the aim was clear: seal the deal to natural resources sector. It is no buy Xstrata. exaggeration to say the Glencore- Glasenberg had claimed he Xstrata deal ranks alongside the was ready to walk away from the mega-mergers of Exxon-Mobil, transaction if HBJ – BP-Amoco and as Sheikh Hamad is Chevron-Texaco known – insisted on The deal ranks that transformed a high price for the alongside the the oil industry in London-listed the late 1990s. mining group, in 1990s mega- Even so, those which he was a mergers in the who know Glasen- leading shareholder. oil industry berg say he was But HBJ called hurt by the setback his bluff and, after – and the sharp fall tense negotiations, Glasenberg in the share price of Glencore, agreed to raise Glencore’s offer which he floated in London in significantly. At about midnight, 2010. “The man likes to win, he telephoned colleagues to and he wins,” says William inform them he was putting Macaulay, chief executive of First additional money on the table in Reserve, a private equity group a final effort to clinch the deal. that was among the first inves- For Glasenberg, one of the tors in Glencore. natural resources sector’s most The road that led to the birth consummate dealmakers, this of a company that would com- was a rare setback. But as he bine trading with the production walked out of London’s Claridge’s of commodities as diverse as hotel in the early hours there copper, oil, rapeseed and was no outward sign of concern. thermal coal began more than Instead, Glasenberg headed a decade ago. It was 2001, and

10 |FT.com/BoLDness Glasenberg, then chief executive designate of the trading house, was preparing his first big deal: the flotation of a group of coal assets in Australia owned by Glencore as a new $2bn company called Exen Resources. But the plan was derailed by the 9/11 terrorist attacks on New York and Washington, forcing Glencore to shelve the initial public offering. Instead, the company become instrumental in the creation of Xstrata after the same coal assets – which Glasenberg had initially bought – were sold to the fledg- ling Swiss mining group. Those assets would become the bedrock of Xstrata’s London float the following year, with Glencore the biggest shareholder. In the years that followed, Glasenberg on several occasions tried to put the companies back together. This included one attempt in 2007, just before the global financial crisis, which failed mainly because Mick Davis, Xstrata chief executive, said it was too difficult to value the privately owned Glencore. The governance of a merged company was also an obstacle for Davis, who insisted the board of the merged “Glenstrata” should look very much like the board of his Xstrata. Yet both these problems were diminished with Glencore’s 2011 initial public offering. Within months, Glasenberg and Davis, with high-flying banker Michael Klein acting as intermediary, were negotiat- ing the potential merger. By late 2011, with the founda- tions of a deal in place, ➤

FT.com/BoLDness | 11 Glasenberg’s charm and competitive style embody Glencore’s corporate culture

the two chiefs met He has a no- and its terms. while it saw merit in a combina- in London for a While Glencore was tion of the merger, an exchange low-key dinner nonsense style proposing paying ratio of 3.25 shares “would pro- to celebrate their with a loathing 2.8 of its shares for vide a more appropriate distribu- progress. Bankers, each of Xstrata’s, tion of benefits of the merger”. lawyers and advisers of corporate the rebels wanted When Glasenberg feigned then began working blather at least 3.15. Unde- abandoning the merger if Doha round the clock on terred, with Glasen- insisted on such a price, the what was code- berg reasoning the Qataris called his bluff; the named project “Everest”. rebels lacked the votes to block Glencore boss, perhaps for the When the deal was announced the deal, they pushed ahead. first time, realised he had no in February last year it was well At that point they were faced option but to pay up. received initially, despite an early with a much larger problem as Yet, ever the dealmaker, leak. The market rose on the news broke that Qatar Hold- Glasenberg saw this set-back as news, with both chiefs, who had ing, one of the sovereign wealth an opportunity to negotiate key sparred for a decade, promising funds of the Gulf emirate, was concessions, including the agree- to work together. It was agreed spending billions of dollars in ment that he, and not Davis, that Davis would be chief execu- the market on large tranches of would be chief executive of the tive, with Glasenberg taking a Xstrata shares to build a power- merged entity. step back to become deputy chief ful stake. By early summer, Qatar By the time the deal was executive, in charge of trading. Holding held enough approved, it was beginning to However, opposition emerged shares to block the look more like a traditional in the shape of a small but deal – as it soon did. takeover, with Glencore powerful group of Xstrata share- In June, Qatar executives lining up to take holders unhappy with the merger Holding said that the top jobs. PHOTOS: BLOOMBERG

12 |FT.com/BoLDness person oF THe YeAr IVAn GLAsenBerG

Glasenberg likes to say he Hard-hitter: vessels were loaded on time. Rich 20km speed-walking. Today, jog- came to the commodities busi- Glasenberg would later sell his interests in ging, swimming and cycling are ness by accident. As an under- was quick Marc Rich + Co to the company’s part of his routine. Colleagues graduate studying accountancy to grasp the senior traders, who renamed it say he avoids meetings straight at the University of the Wit- importance Glencore International. from the airport, preferring first watersrand, Johannesburg, in of long-term Glasenberg was quick to to spend time on the treadmill. apartheid-era South Africa, he relationships grasp what is arguably the key If Glasenberg has run Glen- took a course in commodities, in trading to a successful trading company: core like a long-distance speed- where he came across a man long-term relationships. Com- walking race, slowly building up sourcing candle wax from South bining charm with a ruthless, the business, at times in recent America and selling it to Japan. competitive style, Glasenberg years his tenure has resembled a “I thought, ‘That’s unbeliev- embodied Glencore’s corporate sprint over hurdles. In rapid able: talking on the phone in his culture, which focuses on having succession, he has welcomed office, that man made money hard-hitting traders who are outside investors to Glencore moving candle wax from one ready to go where others will not. with a convertible bond in 2009, country to another.’ It really A few years ago, when speaking floated the company in an initial interested me,” he told the maga- at the University of Southern public offering in 2011 and zine of the University of South- California, he advised students pushed for the deal for Xstrata ern California, where he went on that once they had picked their the following year. to earn an MBA. chosen field they should “dedi- Yet Glencore today is very After finishing his studies in cate to it and work the hours”. different to the company founded 1983, Glasenberg was offered Rising quickly up the ladder, only four decades ago. In the a job in the US at the then Glasenberg moved to Sydney to early years, the trading house was little-known commodity trading become a coal trader, followed by a pure middleman, focusing on company Marc Rich + Co. The stints in Hong Kong and Beijing oil and, gradually, a few metals offer collapsed following founder before, in early 1990, such as aluminium Marc Rich’s entanglement with taking over as head ‘You’ll sacrifice and copper. the law – Rich was later indicted of the coal depart- In 1987, it took its for tax evasion and became a ment at Glencore a lot of things first step to becom- fugitive in Switzerland until Bill headquarters in early in your ing a diversified Clinton, US president, pardoned Switzerland. His commodities group him in 2001. rapid progress is also career to be by buying a minor- Instead, Glasenberg joined textbook Glen- successful’ ity stake in a US Marc Rich + Co in Johannes- core, which prides aluminium smelter. burg, working in the traffic itself on grooming A year later, it took department, where trainees ran managers from within its ranks. its first majority stake, this time shipping details, making sure Glasenberg took over as chief in a zinc-lead mine in Peru. executive in 2002, replacing The combination of trading Willy Strothotte. house and commodities producer Michael Woodford “You’ll sacrifice a lot of things was not new – companies such Person of the Year winner 2012 in the early part of your career as Germany’s Metallgesellschaft to be successful,” he later told already employed the model. “Many managers seek students at his former university. But Glencore, under Strothotte to maintain the status “Many people may [also] say and then Glasenberg, perfected quo rather than move luck is important, but you create it. Indeed, there is not another your own luck by working company as diversified across the from their comfort hard to ensure you don’t miss commodity market that produces zones and challenging opportunities.” and trades at the same time. themselves. Real If Glasenberg, who still lives GLobal, ENergy, COmmodi- in Switzerland, has a personal ties and REsources: the in-house success will only come style, it is that of a no-nonsense joke about the origin of the to those who take risks entrepreneur with a loathing company’s name today neatly in support of their of corporate blather. A sports sums up the all-encompassing beliefs.” fanatic, he came close to compet- behemoth that is Glasenberg’s ing in the Olympic Games in Glencore. n

FT.com/BoLDness | 13 drivers OF CHANGe MONdrAGON

Workers united

The Basque co-operative’s success against a troubled economic backdrop points to a new model for success, says Miles Johnson

or the curious execu- who has studied Mondragon, tries, and some come here tives and academics says he was struck when he first with a magical idea who make pilgrimages travelled to the town by the of what Mondragon is,” he to Mondragón, a small seriousness and international says, speaking from a FBasque town with focus of the company. modestly decorated office a population of about 20,000, “As Mondragon was a com- with a view of the mountain there are few immediate signs of pany owned by its employees, valleys surrounding the town. one of Europe’s largest industrial salary levels were never very “This is not magic. We are conglomerates. important, as the management in this market, competing in There, nestled between interpreted their jobs as a service the capitalist world, and the green mountain valleys, is the to their community,” he says. “At only difference is how we do headquarters of Spain’s seventh- the same time it is highly innova- things and why we do things. largest company by sales. It owns tive. Mondragon began working We have to be competitive, a range of businesses in areas as in China in the 1980s, a decade we have to be efficient, we diverse as banking, consumer before others started to think have to have quality in our electrical goods, supermarkets about its potential.” products and give satisfac- and bicycle and car parts manu- In a world where financial cri- tion to our clients, and we facturing, with factories from sis and recession have hardened have to be profitable. In that Latin America to China. public attitudes to high executive sense we are no different The worker-owned Mon- pay, Txema Gisasola, Mondragon from anyone else.” dragon Corporation has long president, earns no more than The company, whose been a curiosity for outsiders. eight times as much as the col- brands include the Eroski Observers are struck by its lective’s lowest-paid member. supermarket chain and the ability to remain profitable while “People with very high levels high-end bicycle maker paying more than 90 per cent of of responsibility earn a fraction Orbea, argues that by being its collective workers more than of what they would in a listed owned by its workers, rather their peers at rival company,” Nueno than being open to outside companies. ‘This is not says. “They are investors, its management is Founded in 1956 not motivated by able to resist stock market- out of a technical magic. We are salary, but to make driven short-termism. college established in this market, the company grow This means consultation by a young Catholic and become more and communication with priest, José María competing in relevant.” its worker-owners are key. Arizmendiarrieta, the capitalist Mondragon Before important strategic the co-operative has – which employs decisions are taken, Mon- quietly continued world’ about 83,000 peo- dragon convenes a general to expand beyond ple, of whom half assembly with elected its roots in Spain’s are collective mem- delegates representing the industrialised Basque region to bers – is not based on anything various regions where the new markets, with more than revolutionary, but is grounded in company operates. half its sales now outside Spain. efficiency and prudent manage- Stable job creation, Gisa- Pedro Nueno, professor of ment, Gisasola says. sola says, has always been at entrepreneurship at Iese busi- “We receive visitors from the heart of the company’s ness school at Navarra university, many companies and many coun- strategy, with its manage- ➤

14 |Ft.COM/BOldNess drivers OF CHANGe MONdrAGON

ment often setting specific goals abroad, with international sales a crisis and when there is not,” for the number of new positions rising from ¤4.1bn to ¤4.5bn. Gisasola says. it aims to create at the centre At its 2011 year-end, the When revenues fell by more of its annual strategy reviews. company had 94 overseas plants, than 10 per cent between 2008 The aim at more conventionally including 13 in China. and 2009 as the outlook for the structured companies is often to “The difference is how we global economy worsened, it reduce their headcount to boost organise ourselves,” says Gis- adopted a strategy of transferring profitability. asola. “Some will ask if [the some workers to different parts Like other companies, co-operative structure] is a dis- of the collective, and for others to however, Mondragon suffered advantage, but it is the complete begin working flexible hours. during the down- opposite. The company’s workers Later, when a Europe-wide turn. Revenues rose ‘Our model are the owners of the project, so policy to stimulate new car sales modestly by 0.5 per who is better than them to fight was set in motion – through, for cent year on year to allows us to be for its interests? They come to example, scrappage schemes – ¤14.83bn for 2011, more agile than work because it is their project.” Mondragon’s car-parts business its most recent pub- One of the main advantages of received a flood of orders that lished annual results, others in the its structure has been the ability needed to be fulfilled rapidly. with consolidated face of different to redeploy workers from parts While rivals that had cut profits falling from of the collective’s businesses staff were unprepared, Mon- ¤178m to ¤125m challenges’ that have suffered during the dragon was in a better position as the recession in economic crisis to others that are and could give its workers the Europe weighed on experiencing growth. opportunity to work overtime to the company. “Our model allows us to be complete orders. During this period it still more agile than others in taking It is in this sense that Gisasola managed to keep its headcount measures in the face of different sees no contradiction between steady and increase its presence challenges, both when there is the profitability of Mondragon

Reach the top: high-end bicycle manufacturer Orbea is owned by Mondragon and its commitment to employee Showing the ownership and sustainable job way: an Eroski Critics round on capitalism creation. It is only by adopting grocery store Value of putting shareholders first being questioned such a structure, he argues, that in Madrid, the collective has been able to also part of expand steadily and internation- Mondragon’s alise, rather than taking back- co-operative ward steps during the downturn. “It is a contribution to society to generate employment, but that employment needs to be sustainable, and for it to be sustainable, the company needs to make a profit,” he says. “Our commitment is not to capital but to the sustainable creation of jobs.” Mondragon was founded in specific circumstances, but many ask whether the Basque work- ers’ collective model could be ondragon’s co-operative While there has been no rush replicated elsewhere. model has attracted among large multinationals to “Of course,” says Gisasola, “but Mincreasing attention follow the Mondragon example, to do so you need to be willing to amid the financial crisis, as criti- several leading executives have share the results of the company cisms of shareholder capitalism questioned the wisdom of a with the workers. have become more pronounced. focus solely on shareholders. “It’s not a perfect system – it Architects of contemporary Jack Welch, former head of has flaws like every model – but free-market ideology such General Electric and the man we think it’s better than the as Alan Greenspan, former regarded as the father of “share- capitalist model. Some people chairman of the US Federal holder value”, surprised many in have said to us, ‘This could be Reserve, have said 2009 by calling the the third way,’ but we do not have they may have mis- focus on short-term aspirations to be the third way calculated the ability Several have goals “the dumbest of anything. The only thing we of markets to serve questioned idea in the world”. promise is that whatever wider society, while widsom of a Welch said: “Your happens, we are all owners of other corporate main constituencies our own destiny.” n leaders have ques- focus only on are your employees, tioned the wisdom shareholders your customers of putting private and your products,” Ingvar Kamprad shareholders first. arguing that his ideas Founder, Ikea In the UK, the John Lewis about shareholder value had Partnership, an employee-con- been misinterpreted. “You will find your best trolled department store chain, Paul Polman, chief execu- ideas among employees has been held up as example by tive of Unilever, has similarly on the floor – pick your leading politicians such as Nick attacked short-termism, arguing: Clegg, deputy prime minister, “I don’t think our fiduciary duty ideas from those closest who has floated the idea of is to put shareholders first.” to reality. This way you allowing all employees to buy More recently, the new chief also learn the important shares in their companies by law. executive of Barclays, Antony Clegg denied he was attempt- Jenkins, was dubbed “Saint distinction between real ing to create a form of cuddly Antony” in parts of the media and imagined needs, capitalism, arguing there was when he sought to repair the between productive and evidence that higher levels of battered bank’s image in part destructive costs.” employee ownership raised by stressing the need to play a productivity. greater role in society. MJ PHOTOS: BLOOMBERG

Ft.COM/BOldNess | 17 entrepreneurSHIp Softbank

Bright thinking

Masayoshi Son has embarked on his biggest challenge yet after setting his sights on the lucrative US market, says Michiyo Nakamoto

f there is a trait that Sprint has 16 per cent of the US Son’s big thinking extends to encapsulates the corporate market, against AT&T’s 30 per the debts he takes on when he culture of SoftBank and cent and Verizon’s 32 per cent buys a business, says Idei. the mindset of its founder, It would be a bigger risk, the Unlike most executives, who IMasayoshi Son, it is a pen­ SoftBank chief reasoned, “not to talk proudly about the size of chant for transformative deals. take up the challenge”. their company’s revenues, Son Son, SoftBank’s irrepressible The comments are typical of likes to boast about his credit chief executive, demonstrated the diminutive Son, a Japanese rating, says the former Sony chief. his appetite for just such a citizen of Korean descent, who “When I introduced him daring move in 2012 when he has built his business empire to the Keidanren [Japanese announced the Japanese tele­ against many odds. The key to business federation], he talked coms group would spend $20bn his success has been a “venture about how his credit rating was to acquire 70 per cent of Sprint spirit”, says Nobuyuki Idei, for­ high enough for him to take on Nextel, the third­largest mobile mer chief executive of Sony who large debts,” Idei recalls. It is as phone operator in the US. now runs Quantum Leaps, a if by taking on large amounts of SoftBank’s bid for Sprint will provider to start­ups of consult­ debt, he pushes himself to work create a cross­border mobile ing services and investment. harder, Idei says. phone group with a subscriber Unlike many in the west, Ever since Son stood on a fruit base of 96m and revenues of who harbour a desire to retire box more than 30 years ago and $81bn, making it the third­ young and become philanthro­ declared to his two employees largest mobile operator in the pists, Son “keeps on that the company world in revenue terms. dreaming”, says Idei, he had started in a The deal, which will more who has known the It is as if by run­down office with than double the company’s cur­ SoftBank chief for taking on large no business plan rent 40.5m subscribers, is not many years. amounts of would make Y50bn only audacious because of its What is more, ($536m) in 10 years, size. Japan’s biggest cross­border according to Idei, debt, Son Son has thrived by merger to date will also bring Son has an ability to pushes taking big bets. SoftBank into direct competition think big – a trait In the early days with the two industry heavy­ that is hard to find himself to of the company that weights, AT&T and Verizon, and in Japan, he says. work harder would later become catapult the Japanese group to For example, before SoftBank, Son centre stage in the lucrative US the Sprint acquisi­ invested Y8m of his mobile market. tion, Son worked on a large­ Y10m in capital to lavishly kit out But Son, who has never been scale project with China Mobile a booth at a consumer electronics one to shy away from a difficult and Vodafone to promote the fair in an effort to raise the profile task, appears to relish what development of new telecom of the start­up distributor of could be a bruising fight against technologies, applications computer software. The strategy stronger rivals. “The fact that and services. worked and the company grew to two wealthy operators dominate After the meltdown at the take a stranglehold on computer the market means there is an Fukushima nuclear power plant software distribution in Japan in unprecedented opportunity for a in 2011, he put forward plans to the 1980s. challenger,” Son said in October set up a company to build mega­ But the ever­restless Son as he unveiled the Sprint deal. solar power plants. was not content with being a ➤

18 |ft.com/boLDneSS

entrepreneurSHIp Softbank

SoftBank’s early holding in Yahoo established Son’s reputation as a savvy investor

software distributor. He also selling down the stake four years Tony Fernandes spent the company’s funds on later, and although the exact Chief executive, AirAsia a curious collection of acquisi­ amount it made from the trans­ tions and investments. In an actions is difficult to quantify, “A fine line separates 18­month period from late 1994, the sale of a 4 per cent tranche boldness and folly. SoftBank acquired Ziff Davis, in 2011 brought an extraordinary then the leading US publisher of profit of Y76bn. Paradoxically, boldness computer magazines, for $2.1bn; By the mid­1990s, although he can also mean taking Kingston Technology, a maker of was still expanding in publishing RCROFT MEDIA

a step back and engaging semiconductors, for $1.5bn; and and exhibitions, Son found new BA in deep reflection, Comdex, the exhibitions group, interests. In 1996, with Rupert for $800m. Murdoch’s News Corporation, ignoring the clamour SoftBank also, in 1996, SoftBank set up a 50:50 joint to ‘do something became the largest shareholder venture in satellite broadcasting now’ that is often the in Yahoo, the web search engine, called JSkyB. But what really refrain in a commercial with a 37 per cent stake – a move shocked Japan’s business com­ that established Son’s reputation munity was another Murdoch enterprise.” as a savvy investor in internet tie­up: the like­minded entrepre­ start­ups. The company began neurs also quietly acquired a 21 PHOTOS: BLOOMBERg, AFLO /

20 |ft.com/boLDneSS per cent stake in TV Asahi, one of Think outside company took on to fund it have worried out loud to his boss, the Japan’s main broadcasters. the box: the only recently been paid off. solution, as Son put it, is to The stake was quickly sold irrepressible Mobile telecoms now “pedal harder”. back to the Asahi newspaper Masayoshi comprises the bulk of SoftBank’s That appears to be what after the entire Asahi media Son (left) revenues and profits, well out­ SoftBank is doing with the group rallied around the ‘keeps on pacing fixed­line sales. move for Sprint, which, fol­ panicked broadcaster to fend dreaming’ of SoftBank said it had always lowing its success as the first off the duo. SoftBank also new ventures “engaged in the information tel­ provider of Apple’s iPhone attracted controversy with its ecommunications business” and in Japan, now faces compe­ investment in Aozora Bank, cre­ hoped to “continue to be a leader tition from KDDI, Japan’s ated from the once­nationalised in the industry”. number­two telecoms group. Nippon Credit Bank. The 2003 But the company’s ability to This year, Son said the still­ sale of the stake to Cerberus, the move out of businesses swiftly booming iPhone business would US private equity firm, made the when they lose momentum can enable SoftBank to post strong company a Y50bn profit. also be seen as the key to its profits in 2013, but looking It is no wonder that even success in navigating a rapidly ahead he emphasised the role as SoftBank raised its profile, changing business environment. Sprint would play in helping the many found it difficult to While the strategy might company achieve record profits. understand what the company seem precarious, “like a bicycle “The more we get to know really did or the nature of Son’s that will fall over if you stop Sprint, the happier I am and the ultimate goal. Appearing on pedalling”, as the company’s more confident I am about this television in 2000, Son was told chief financial officer once deal,” Son said. n by a well­known newscaster that he was gaining a reputation as a “fortune hunter”. The comment reflected the A passion for all things Japanese view of some in the business SoftBank chief rose from humble roots in his adopted homeland world that Son used SoftBank to bet on companies, rather than asayoshi that was later sold to developing businesses them­ Son’s rise to Sharp, the Japanese selves. For many years, Softbank, Mprominence is electronics company. with its constantly changing testament to the Although his Korean model, appeared to be a com­ business acumen and heritage was a factor pany in search of a business to steely determination of in sending him to the call its own. a man who came from US, Son has remained Although Yahoo Japan, a joint humble origins. deeply attached to venture SoftBank set up with the Born into a poor Japan, returning there search engine group, has been Korean family in after he left the US. hugely successful, it has always Kyushu in western In a reflection of been treated as an investment Japan, Son grew up his love for all things and has never been the core of with the Japanese Japanese, he had a the company’s operations. name Masayoshi traditional Japanese When, in 2004, it acquired Yasumoto – a protec- garden built outside Japan Telecom, a fixed­line tive measure common his office in SoftBank’s phone company, it looked like among Korean immi- high-rise Tokyo head- SoftBank might have found grants, who suffered quarters, complete its calling. But the company’s discrimination in their with arched bridge, a adventure in fixed­line telephony adopted homeland. river and even crickets. was followed in 2006 by a move Moving to the US to “Son-san told me into mobile via the acquisition pursue his education, he built it with his own of Vodafone’s mobile business while still a student money, not the com- in Japan. That deal, which cost at the University of pany’s,” says Nobuyuki SoftBank $15bn, was Japan’s California, Berkeley, he Idei, a friend and largest leveraged buyout at the developed a prototype former chief executive time and the debts that the translating machine of Sony. MN

BOLDNESS IN BUSINESS WINNERS What the judges said

Drivers of change Mondragon

Mondragon Corporation show- cases an approach that rewrites parts of the business rule book. Guided by democratic princi- ples, the chief executive earns no more than eight times the lowest- paid workers at the co-operative. Workers receive formal training and lifelong education, and mem- bers participate in key decisions, from what to produce to how to spend the profits. Mondragon’s collection of businesses operating in finance, retail and manufacturing is now one of Spain’s 10 larg- est companies. Its impressive record also quietly refutes the conventional wisdom that to be co-operative is to be uncompetitive. Leo Johnson

entrepreneurship

person of the year softBank ivan glasenberg For the past two decades, Japan has been a difficult place for entrepreneurs – a place where Ivan Glasenberg pulled off the Glasenberg’s key strengths great ideas have gone to die. deal of the year in 2012. After are his attention to detail, a This makes the achievements months of fraught negotiations, meritocratic approach and a of SoftBank, and its founder the Glencore chief executive buccaneering spirit. Masayoshi Son, all the more secured shareholder approval for While he arguably overpaid remarkable. The audacity of a $76bn tie-up with Xstrata. to clinch Xstrata, this megadeal its move to take a 70 per cent The merger is the fifth largest will not be Glasenberg’s last. His stake in Sprint Nextel, one ever in the natural resources next test will be working with of the biggest US telephone sector, creating a vertically inte- a new top-class chairman, who carriers, was the culmination of grated behemoth that dominates could serve as a countervailing, decades of successful and bold sourcing, production, marketing as well as complementary, force. entrepreneurship. and trading. Lionel Barber John authers

24 |ft.cOm/BOLDNESS technoLogy eMergingMarkets 3D systems Mahindra &

3D Systems is helping to Mahindra transform product design and manufacturing for a range of The judges are impressed by industries, from aerospace to businesses in emerging markets education, architecture that are bold enough to move and medical devices. into the developed world. The broad reach of its Mahindra did this by winning product line is matched a large share of the US tractor by an ability to create market and the purchase of high-impact results Ssangyong, the Korean carmaker. that drive innovation. Mahindra now claims to be the It is also focused world’s largest tractor manufac- on the needs of the turer. The judges also looked user rather than itself for solid operating and finan- – the producer – pro- cial performance and Mahin- viding tools that increase dra satisfied this with efficiency and effectiveness. a return on equity This increases its engagement of 20 per cent. with customers, enabling people terry smith to work smarter and with better results. 3D Systems is helping sMaLLer coMpany people turn their ideas into action and their dreams into gopro reality. Dipak Jain GoPro survived at least one dizzying fall in 2012: daredevil corporate responsiBiLity/ Felix Baumgartner had five of its environMent cameras strapped to him when he skydived from the edge of space. narayana Seeing off various competitors, GoPro is approaching an initial hrudayalaya public offering after building up a network of vendors in 50 coun- Narayana Hrudayalaya is revolutionising tries, and selling more than 3m healthcare in India by successfully combining cameras over the past three years. low costs with high quality and highly Its technology continues to specialised medical treatments. It had to find new uses – GoPro cameras completely rethink internal processes to treat have been attached to surfboards large numbers of patients, offering access to and surgeons’ heads – and it surgery and cardiac treatments that would has been done by a Silicon otherwise be unaffordable to most Indians. Valley company that has The company has also brought affordable remained small, in an healthcare to 4m farmers thanks to an innovative industry dominated by micro-insurance programme, a socially well-established forces. responsible investment. anne Méaux John authers From the heart

A hospital group’s innovative financial model is helping ordinary Indians access vital medical services, says Amy Kazmin

26 |ft.com/BoLDNeSS corporate reSpoNSIBILItY NaraYaNa HrUDaYaLaYa

usum Sharma, the six-year-old daughter of a blacksmith in remote northeast KIndia, was diagnosed with heart trouble when she was just six months old, after fre- quent chest infections and alarm- ing episodes of turning blue. A local doctor said she needed surgery, but wrongly advised her parents to wait a few years. When Kusum – too weak to even walk – was four, her par- ents borrowed Rs30,000 ($555) to travel to New Delhi’s All India Institute of Medical Sciences, India’s premier public hospital. Doctors confirmed she had a congenital heart defect and needed urgent surgery – but said she would have to wait a year for an operation. Her dejected family returned home, where relatives began prophesying Kusum’s imminent death. Then, last autumn, Kusum’s parents took their daughter to a public heart screening in the northeast state of Assam, offered by Narayana Hrudaya- laya Hospitals, a group of private hospitals based in the south Indian city of Bangalore. The little girl was chosen to travel almost 3,000km to Bangalore for surgery, with the costs shared by the Assam gov- ernment and the hospital. She arrived at Narayana Hrudaya- laya in September, too fragile for surgery. By late January, after several months of intensive care, she finally underwent the opera- tion, and is now recovering. Narayana Hrudayalaya is shouldering expenses of nearly Rs400,000 for her prolonged and compli- cated care. “She will lead a normal life,” says Vijaya Kumar, one of her doctors. ➤

ft.com/BoLDNeSS | 27 corporate reSpoNSIBILItY NaraYaNa HrUDaYaLaYa

Making heart surgery and free you will run out of money. other high-tech healthcare You have to look at building accessible to all who require business models that are it, regardless of their capacity sustainable.” to pay, is the raison d’être of That is what the Narayana Narayana Hrudayalaya, which Hrudayalaya team has sought was founded a decade ago by Dr to do. The group, whose name Devi Shetty, a heart surgeon. translates loosely from the local In a country where most language of Karnataka province private hospitals cater to affluent as “God’s temple of the heart”, patients – and public hospitals has about 6,000 beds in 20 are so starved of funds they can- facilities across India, including not attract doctors – Narayana its flagship 1,000-bed cardiac Hrudayalaya has a clear focus on hospital in Bangalore. The main patients on the lower rungs of Bangalore campus also has a the economic ladder. The group cancer centre, an eye hospital also has an unstated rule that no and an orthopaedics centre. needy patient should be turned The group, which is 75 per away for lack of money. cent owned by Shetty’s family “When a corporate hospital and counts JPMorgan, the bank, is developed, they tell the and PineBridge Investments, employees, ‘This is the hospital a US asset manager, among for the rich, but we take care of its shareholders, had revenues the poor also’,” Shetty explains. of $132m in the most recent “But this is a hospital for the financial year. It expects to end poor, and we also take care of the the current financial year with rich. That is why we exist.” revenues of $169m. Yet Narayana Hrudayalaya “We believe in making profits, is not run as a charity: the but not super profits – enough company has a sharp focus on money to pay good salaries to remaining profitable, which its employees, to maintain our founder sees as crucial for the infrastructure and remain group to expand and fulfil its attractive to investors,” says goal of reaching more patients. Shetty, who still devotes much of “I believe charity is not his day-to-day time to treating scalable, irrespective of how patients. “We definitely want to wealthy you are,” says Shetty. “If keep our noses above water. If you constantly do something for you don’t make a profit, no bank➤

Sir Stuart Rose Chairman designate, Ocado

“The downturn masked huge shifts in the way business, government and society access resources, customers, markets and capital. The winners will be those that have their fingers on every trend, demographic and technology, understanding those that matter and those that don’t.”

28 |ft.com/BoLDNeSS Cared for: ‘Charity is six-year- old Kusum not scalable, Sharma, irrespective of pictured with her mother, how wealthy was treated you are’ at Narayana Hrudayalaya’s Bangalore heart hospital

Good care comes at a cost Focus on private healthcare creates debt and despair

or most of India’s 1.2bn highest out-of-pocket healthcare people, their quality of spending rates in the world. Fhealthcare depends Meanwhile, the government heavily on their ability to pay. spends about 1 per cent of gross Large Indian business groups domestic product on health, one and foreign hospital chains have of the lowest rates in Asia. been building ultra-modern According to medical journal private hospitals that earn The Lancet, 39m Indians a year handsome profits by catering to are pushed into poverty as a India’s wealthy and the aspiring result of paying for healthcare middle classes. emergencies. In rural areas Meanwhile, India’s govern- and urban slums, the sick often ment-funded public hospitals, resort to unqualified, informal which are supposed to provide healers, or simply give up hope. free treatment, are in disarray, Not surprisingly, basic health with a shortage of doctors, lack indicators such as maternal and of basic supplies, childhood mortal- overcrowding, and Public hospitals ity are higher in crumbling, dirty are in disarray, India than other facilities. Patients, countries at a com- even those with with patients parable economic life-threatening ill- made to wait level. India also has nesses, can be made some of the world’s to wait for weeks or long periods highest rates of longer for treat- for treatment infectious disease ment. This forces because treatment many families to go is so erratic. deep into debt, often borrowing Private hospitals are theoreti- from informal moneylenders cally required to take some poor

H RANKA at high rates, to obtain private patients and treat them for free

US medical care. or at deep discounts. But health AY About 80 per cent of India’s advocates say only a tiny healthcare spending is borne number of patients can be by private citizens, one of the served in this way. AK PHoToS:

ft.com/BoLDNeSS | 29 corporate reSpoNSIBILItY NaraYaNa HrUDaYaLaYa

Inspiration: will lend to you and no donor Devi Shetty will give you money.” (pictured) set over the next seven years, up his Narayana Hrudayalaya aims to hospital group add 30,000 beds across India, after working mainly by building hospitals in for Britain’s smaller cities and towns with state-run populations of between 500,000 National and 1m, or in bigger cities where Health state governments are offering Service free or low-cost land. The twin – and seemingly incompatible – aims of caring for all who need it while still making money are met by an aggressive focus on cost control, paired with innovative funding models to help generate revenues to pay for the treatment of poor patients who cannot pay themselves. on the cost side, Shetty has ‘A symbol of true socialism’ sought to create a type of effi- ciency more typically associated The UK model of healthcare has been an inspiration with factory assembly lines than high-tech healthcare. s a young heart surgeon, and spent most of the 1990s He uses his hospitals’ econo- Devi Shetty, founder of setting up two private cardiac mies of scale to secure the lowest ANarayana Hrudayalaya hospitals for large local indus- prices for heart valves and other Hospitals, spent six years in the trial groups. He also served as a medical supplies. In inter- UK, including four at Guy’s hos- heart doctor to Mother Teresa, views he has even likened this pital in London. Today, he recalls the founder of the Missionaries approach to that of Walmart, the Guy’s and the National Health of Charity organisation who US retail chain. Service as a medical “utopia”. suffered cardiac problems in He recently met government “A billionaire and later life. officials to argue for Narayana a chauffeur could be Shetty has But after watching Hrudayalaya to pay a lower admitted to hospi- too many parents electricity tariff in the state’s tal together and lie sought to lose hope for their tiered pricing system. side-by-side,” he says. recreate the children after hearing The Narayana Hrudayalaya “That was a symbol of how much heart surgeons – who receive fixed true socialism. It had NHS ethos of surgery would cost, monthly salaries, rather than a tremendous impact care for all Shetty decided being paid by procedure like on me.” It is this who need it to set up his own doctors at most Indian private ethos – of providing hospital. He was hospitals – are also worked hard, high-quality care for supported by his being expected to perform at all who need it – that Shetty has father-in-law, who owned a least two heart operations sought to recreate back in his large construction company. (which might take up to five home country of India. “When I started talking about hours each) a day. The son of a small-business affordable healthcare, I didn’t “We believe healthcare is owner from the southern port find many takersong [am ] busi- extremely sensitive to numbers – town of Mangalore, Shetty had ness groups,” he says. “That’s as we do more operations we get aspired to be a heart surgeon why I wanted to build my own better at it, and our costs keep since primary school. hospital where I could operate going down,” Shetty says. After studying medicine in on whomever I wanted, with Narayana Hrudayalaya India and training in the UK, the concept of trying to make a can break even if it recovers Shetty returned to India in 1989 difference.” AK Rs80,000-Rs 90,000 for basic

30 |ft.com/BoLDNeSS cardiac operations, such as ses patients’ capacity to pay and closing a hole in the heart or uses donations to cover the a simple coronary bypass, and remaining expenses. associated post-operative care. Malti Devi, a 25-year-old But even these prices are far farmer’s wife from the impov- beyond the means of many Indi- erished Jharkhand state, was ans. So Narayana Hrudayalaya waiting anxiously for her five- uses a complex mix of cross-sub- year-old daughter, Ashikar Rani, sidies, micro-insurance schemes to wake up after a complex and and charitable funds to generate long-awaited heart operation. sufficient revenues to ensure the The mother had known for group covers its costs and turns years that her daughter needed a profit each year. heart surgery but could not find About 40 per cent of Naray- any hospital willing to treat ana Hrudayalaya’s patients pay her. Finally, she was referred to what Shetty calls the “rack rate” Narayana Hrudayalaya. of about Rs150,000 for a basic The cost of her daughter’s heart operation, including post- care at Narayana Hrudayalaya is operative care in a general ward estimated at Rs250,000. of that, – a level comparable with other the family is paying Rs70,000, private hospitals. Patients pay comprising Rs20,000 from their even more for amenities such as own resources and Rs50,000 private rooms. borrowed from a Revenues gener- The group women’s savings ated by these more looks for group. The Naray- affluent patients ana Hrudayalaya help to cover the efficiencies charitable wing will costs of the other more typical cover the rest. “I am patients, who pay praying to God for less than the rack of factory my daughter,” rate. of those, about assembly lines Devi says. 40 per cent have Charitable some government donations account health insurance that reimburses for approximately 5 per cent hospitals about Rs75,000 for a of Narayana Hrudayalaya’s heart operation. revenues. But as the group Shetty himself helped the expands, Ashutosh Raghuvan- Karnataka state government shi, managing director, admits it establish a farmers’ insurance will need to be more aggressive scheme that now covers 4m about fundraising if it is to meet individuals who each pay Rs10 its aim of providing treatment a month. The state also has for all who need it. another health insurance scheme “We have no mechanism or for the poor. Many other private department that is looking at hospitals refuse such patients gathering funds,” he says. “But because they are put off by the there are a lot of individuals and low reimbursement levels, but organisations that want to give Narayana Hrudayalaya takes money… but they also want to be them in large numbers. sure their funds are being used Meanwhile, poor patients for what it is supposed to be.

H RANKA with no health insurance “With the credibility we have US are charged based on an assess- established over the years, we AY ment of what they can pay. need a formal effort to collect The Narayana Hrudayalaya’s funds, so we are now going down charitable wing carefully analy- that path.”

PHoToS: n

ft.com/BoLDNeSS | 31 Game changer

The 3D printer group is leading a drive that could radically alter the process of manufacturing, writes Peter Marsh

32 |ft.com/BoLDNESS be Reichental lifts of a London hotel, Reichental his arm to show off is keen to draw out the con- the elbow patches nections between ordinary that adorn each items and the production Aside of his jacket. systems in which his company Rather than coming from a is among the global leaders. catalogue of standard products, In 3D printing, also called the patches have been cus- additive manufacturing, tomised to show a distinctive complex shapes are built up in marking. layers from their constituent Even though plastic elbow particles of plastics or metal, patches might not appear the allowing for the creation of parts most obvious thing to enthuse and products on a “one-off” about, Reichental basis much more seems excited by the cheaply than significance of the ‘3D printing traditional pro- ones he is wearing. dismantles duction methods. “The concept [of barriers The 56-year-old customised accesso- Reichental has ries for clothing] is all between become an evan- about differentiation,” design and gelist for a set of he says. “I’ve been ideas that some talking to fashion manufacture’ believe could alter designers and they the industrial think this technology world profoundly could be very important for in the coming decades. what they’re doing.” Taking delight in demonstrat- 3D Systems – the ing how his machines work, the US-based business of former aircraft technician’s love which Reichental is of showmanship suggests that in chief executive – is one another life he could have been of the world’s biggest a circus ringmaster playing to suppliers of 3D printing the crowd. equipment, an emerging The thick guttural accent of area of manufacturing that his native Israel also gives his has grabbed considerable words special force. “3D printing attention in the past few dismantles the barriers between years. Sipping tea in the bar those who design and those who➤

ft.com/BoLDNESS | 33 tEchNoLogy 3D SyStEmS

manufacture,” he says. “It will consumers in their homes. 3D make possible a new interface Systems last year launched a between artistic endeavour basic $1,300 Cubify printer and industry and enable the aimed at domestic users. entrepreneur working in a Behind all forms of 3D garage to have a similar level printing is a set of fairly simple of production resources as a principles. Depictions of what multinational.” is to be made are first devised, He likes to draw extravagant either through a design process parallels between what he feels or through scanning a real-life 3D printing will bring and other object with imaging equipment. manifestations of “disruptive” Then the image – in the form of technologies. “When Henry Ford computer code – is transferred to invented the mass-produced car, the production machine, which the world initially lacked the range from sophisticated hard- infrastructure to make use of it ware akin to modern computer- in the shape of highways. In a controlled machine tools to the similar way, we’ve had a system kind of inexpensive printer that of manufacturing for a long time Reichental thinks could eventu- but only a few have been able ally become as familiar as the to use it to create good-quality personal computer. products. Now, 3D printing Through a number of com- is helping to democratise peting processes, including production and awaken the fusing metal or plastic paper creative potential of a wider with a laser beam or solidify- range of people.” ing liquid polymer, the required The elbow patches Reichental item can then be fabricated. is so proud of have been made Compared with conventional on his company’s 3D printers, production processes, making as have a large number of other 3D products requires no items he is keen to discuss. expensive tooling and can be These include anything from accomplished by a direct aerospace parts and hearing aids transfer of digital data to a to home lighting systems and production machine. children’s toys. Leading manufacturers such And it is not only big corpora- as the US’s General Electric, the tions and small enterprises Swiss-based ABB and Fiat of that could benefit, but also Italy are also using the technol-

Vince Cable UK business secretary

“Taking bold and calculated risks is what being in business is all about. That is why it is great to see so many entrepreneurs in the UK starting and growing their own business. There are now a record number of more than 4.8m small and medium-sized enterprises in the UK.”

34 |ft.com/BoLDNESS New hope: ogy to make prototype parts and otherwise be hard to accom- 3D printers products for testing, while at the plish,” he says. are creating same time trying out the pro- For example, Walt Disney prosthetic cesses for full-scale production. World, the entertainment resort, limbs and At the other extreme are has tried out a 3D printing implants for small businesses using 3D service that places the faces use inside the printing to make specialised of young visitors to its Florida human body objects. Italy-based Adler Ortho theme park on life-like represen- is using 3D printing to turn out tations of Disney characters such customised implants for parts of as Cinderella or Snow White. the body, such as hip joints that This not only provides a person- are engineered to fit a specific alised souvenir to replace the person, while Canada’s Hot Pop traditional photograph but also Factory uses the technology to provides subliminal advertising make a range of customised for the company’s brand. jewellery. 3D Systems has However, the ‘Companies also joined forces excitement about with the Smithso- 3D printing has to can monetise nian Institution be put into con- a brand in a in Washington, text. Printer sales which runs a series in 2012 – includ- way that would of museums and ing those by 3D otherwise be research centres, to Systems and rivals make 3D depic- such as the com- hard to achieve’ tions of any of the pany formed from large number of the merger of the items in its col- US’s Stratasys and Israel’s Objet, lection available to the public, EOS of Germany and MakerBot, from parts of the space shuttle to another US company – came to biological specimens. about $1bn, roughly 1 per cent “It’s a way of using the power of the equivalent revenues of the of digital capture to replicate global machine-tool industry. what unusual objects look like Reichental, however, is keen and make them more widely to point to what he sees as new available,” says Reichental. forms of service-based business After settling in the US activity that could be triggered following a spell repairing by 3D printing and that could helicopters for the Israeli make the technology more armed forces, Reichental spent valuable. “Any company that 22 years with Sealed Air, a owns intellectual properly in the US-based packaging business form of a recognisable brand that, while operating in an can use this technology to unglamorous industry, has a monetise the value reputation for innovation. But of the brand in a it was after joining 3D Systems way that would as the chief executive in 2003, 17 years after the company was founded in California, that Reichental started to become better recognised. One of his first jobs was to move the company to South Carolina to give it a fresh start. Since then he has presided over an upsurge in sales and a ➤

ft.com/BoLDNESS | 35 tEchNoLogy 3D SyStEmS

3D printing explained 3D Systems makes a range of printers that use the three main The second process is the liquid-based method, where a processes behind 3D printing technology. The first (shown laser solidifies selectively parts of a liquid polymer using a here) is the powder-based method. It starts with a powder curing technique. The third process is extrusion, where a (which could be plastic, metal or even wood shavings) and plastic-type material is used to build up complex shapes uses a precision laser to fuse this into specific shapes.

1 The shape of the desired part is 2 3D printer software is then used to 3 The ‘sliced’ file is sent modeled digitally using a digitally divide the model into a to the 3D printer computer-aided design program series of very thin layers or ‘slices’

How a typical 3D printer works 4 Laser The levelling roller spreads a layer of granulated material on to the build chamber Levelling roller Scanning 5 5 mirror Following the digital sliced file as a template, a laser applies heat to solidify the granules and render the slice as 4 9 a physical object Object being rendered 6 8 The build chamber’s moveable support drops the 7 depth of one slice NEWSPAPER FT 7 The granule supply chamber’s support raises the depth of one slice and the roller lays down a 6 new layer of granules 8 The laser renders the next slice. Unfused granules act as a support for the object Granule supply chamber 9 Moveable Build chamber The process is repeated support Moveable support until the entire object is built up slice by slice FT Graphic: Ian Bott A VERSION OF THIS GRAPHIC APPEARED EARLIER IN THE

36 |ft.com/BoLDNESS Growing body of evidence 3D printing is revolutionising many types of surgery

hen it comes to larly fragile bone structure where people’s bodies, the smallest imprecision in fitting Wevery one is different. could cause joints to fail. As a result, it is no surprise that 3D Systems has indicated replacing or adding to body its interest in this part of the parts is one of the fastest- additive manufacturing industry developing sectors of the 3D through its acquisition last printing industry. year of Bespoke Innovations, In the hearing aid industry, another US company that spe- companies such as Phonak of cialises in making customised Switzerland or the US’s Starkey prosthetic devices. routinely use 3D printing to It is also working with customise the com- ConforMIS, a US ponents of their company that uses products that fit A 3D image of a computer model- into people’s ears. patient’s knee ling to build a 3D By ensuring the image of a patient’s items slide pre- is built and then knee from medi- cisely into the a new joint cal scans and then ear space, the constructed to constructs a new manufacturers joint to order. can minimise order Mcor Tech- any air gaps and nologies is an Irish improve how their company that has rapid rise in the New York-listed Buyer: chief products perform. pioneered an area by creating 3D company’s market capitalisation. executive Abe Similar thinking applies to printing machines that, rather Revenues last year were $353m. Reichental the orthopaedic devices used than using plastic or metal to Reichental – perhaps partly has grown as replacements for joints such build up shapes, employ due to his theatrical manner 3D Systems as knees and hips. Engineers sheets of paper as the printing and habit of saying what he in part by at some of the big orthopaedic medium. One big market for thinks – is not without his critics snapping up implant manufacturers, the technology is in creating in the industry. They point to a number of including Stryker and Zimmer cheap, quick-to-make models of the company’s helter-skelter run companies of the US, are using 3D printing body parts, such as skull or jaw of acquisitions and the strategy to make customised devices components, that can be used in of setting up multiple “service that will fit individuals’ bodies as hospitals as guides during com- bureaux” around the world to closely as possible. plex surgical reconstructions. provide 3D contracting, which Adler Ortho is a small Italian Still more radical ideas are sometimes compete with the business that specialises in being pursued by Organovo, a company’s own customers. making joint implants using 3D US business that has devised Reichental has a ready answer printing. The implants are 3D printers for making one-off for his detractors. “We continue specifically suited to copies of human tissue, built to assemble the tools and capa- people where the up from cell structures based bilities that our customers need design of their on biological material that is to succeed, while removing fric- new joint has “grown” in a laboratory.The tion and complexity... and deliver to be exactly technology of making such attractive growth and earnings.” tailored to tissue structures is still in its Whatever happens to 3D their bodies infancy, but it could eventually printing in the next decade, – for instance, be used extensively in a wide Reichental is likely to be a part because they range of medical research fields of the story. n have a particu- and in surgery. PM

ft.com/BoLDNESS | 37 emerging markets mahindra &mahindra

Into the fast lane

The Indian vehicle manufacturer is on the lookout for higher-end marques as it seeks to establish a global profile, says James Crabtree

ahindra & deal, according to those familiar least – something that can take a Mahindra is best with the company’s thinking. lifetime, and we are in a hurry – known in India The moves – in particular the is brands.” for its affordable examination of Aston Martin – Such talk would have seemed Msports utility did, however, underline its fanciful when Mahindra became vehicles and reliable tractors, growing ambitions. Like Tata, deputy managing director at his both markets where the Mumbai- Mahindra seems set on shedding family’s company in 1991. He based conglomerate is easily the its reputation as a producer of took over a business that was country’s leading player. inexpensive Indian goods as it performing poorly, wracked with But outside India the seeks to turn itself into a union disagreements, and argu- company is gaining a more higher-end, global business. ably unfit to withstand the burst adventurous reputation – for The company’s leadership has of international competition that eye-catching attempts to buy said little about its would follow the foreign luxury car companies. series of abortive The attempt decision by India’s At the end of last year foreign forays, but government to open Mahindra entered the bidding Anand Mahindra, to buy Aston up its economy to to buy a stake in Aston Martin, its Harvard- Martin has foreign investment the British sports carmaker educated chairman, that same year. famous for its association with at least provides a underlined Like many Indian the fictional spy James Bond hint of his strategy its growing conglomerates, but whose Kuwaiti owners were when he describes Mahindra has long seeking new investment. why he sees ambitions been a sprawling Also in 2012, the company branding as crucial concern; its current looked to acquire the remnants to the company’s future. business lines cover everything of defunct Swedish automotive “What do you need now to from information technology out- brand Saab, which had filed for grow globally? A good base in sourcing and defence manufac- bankruptcy in 2011. your domestic market, like the turing to timeshare holidays. But And a few years earlier, Japanese and Koreans, and the heart of the company remains Mahindra was in the running to thank you very much – we have its automotive and tractor divi- buy Jaguar Land Rover, the then- that here,” he tells me, sitting in sions, a heritage that stretches ailing British luxury carmaker, his company’s recently renovated back to the moment brothers which was ultimately bought for headquarters, near the Taj hotel KC and JC Mahindra diversified $2.3bn by India’s Tata group. in the heart of old Mumbai. their young steel company in the True, none of the deals came “But we need brands, because aftermath of the second world off: on each occasion Mahindra the one thing you cannot build, war by winning a contract to balked at the cost or terms of the if you want to grow globally at manufacture off-road vehicles. ➤ emerging markets mahindra &mahindra

Back in the early 1990s, was going to cost us $120m. We Just two years after los- Mahindra says he was advised by had never invested that kind of ing out in the race for Jaguar a leading (but unnamed) manage- money before.” Land Rover, it spent $466m on ment consultancy to junk the The results stretched the Ssangyong Motor Company, an group’s vehicle business – advice company technically too, but underperforming South Korean he rejected, instead beginning the the Scorpio remains one of SUV maker whose higher-end process of turning the company’s Mahindra’s highest-profile and brand Mahindra hoped would automobile division around. most profitable vehicles, with help it expand into more One product more than any sales of more than 50,000 last lucrative Asian markets. At the other confirmed the success of year, including exports to Africa same time, the company opened this strategy: the and Asia. The Scorpio and its a large manufacturing facility, Scorpio, an inex- ‘If we want successors cemented Mahindra close to the western Indian pensive sports as the dominant player in automotive hub of Pune, at a utility vehicle to grow we India’s fast-growing SUV cost of about $650m. The Pune aimed at India’s need the market, a position it retains, factory produces the Ssangyong emerging middle with roughly half of the Rexton, a collaboration between class. Launched brands to market by sales. the two companies. in 2002, it was straddle new Part of this is luck: Mahindra’s eye for foreign strikingly inex- India’s car market acquisitions has attracted pensive to buy, segments’ has grown rapidly considerable attention, in par- selling for as little in recent years, ticular because it shows the com- as Rs500,000 ($9,300). But but the SUV seg- pany is eyeing a further leap into for a company that had never ment has done the highest levels of the global designed or built a new car of particularly well, automobile industry. this type on its own, it was a growing 59 per The idea is not entirely risky and costly venture. cent in the past implausible, as Tata’s example “It was cheaper than any year alone. But shows. Turning Jaguar Land other western company would Mahindra also Rover around put considerable have made it for, but it was the took other risky strain on Tata’s finances (and biggest amount we had ever decisions that could have sunk Mahindra had it spent,” Mahindra recalls. “It positioned it well won the bid), but the rejuvenated for growth. marques are now a huge success.

Finishing touches: the production line at Mahindra’s SUV factory in Maharashtra state equally, it would not be the Vision: Anand first time a company with a Mahindra Tractor arm targets deals heritage manufacturing tractors (left) rejected Division seeks new markets and global presence moved into upmarket carmaking, advice to and eventually luxury SUVs – ditch the given that one-time agricultural vehicle vehicle maker Porsche followed business, exactly this path. instead Nonetheless, the move for successfully Aston Martin puzzled many exploiting analysts, who saw little strategic a growing sense in the tie-up but plenty of market expensive research and develop- ment investment if it went ahead. “Mahindra is in a great place and is likely to continue its growth,” says Deepesh Rathore, managing director of IHS Automotive, a consultancy. “But right now it does not have the products to go inter- ost Indians recognise now has about 40 per cent of the national, so maybe it needs to the name Mahindra Indian tractor market. spend more time learning what M& Mahindra for the The overtaking of John Deere international customers require, sleek SUVs that race through also followed a period of interna- rather than jumping in with a the bumpy streets of Mumbai tional expansion, during which half-baked offering.” or New Delhi. But the company it signed two joint ventures in Despite this, Mahindra insists also holds a dominant position China and increased exports to his company’s future lies in new in a second, more rugged other developing nations. upscale brands for consumers market: tractors. Yet Mahindra admits it has outside India. “When people get Like its automobile division, some way to go before it can more affluent and the luxury the tractor arm has compete in the top market grows they move to attracted interna- Mahindra has echelons of the premium brands, which are the tional attention, in overtaken global market, a european and US brands,” he particular at the start further difference says. “So if we want to grow we of 2012, when it over- John Deere from its SUV division. need to have the brands to took John Deere, as the world’s “When you go straddle these new segments.” n the Illinois-based from one SUV to manufacturer, to top producer the next higher-end become the world’s by volume model, it isn’t really Maria das Graças largest producer by a different game. Silva Foster volume. But in tractors you Chief executive, Petrobras The surge is based partly move into an almost different “Business achievement on success in its home market, industry in the way you design where the company began and sell them,” says Pawan depends on courage, making agricultural vehicles in Goenka, president of Mahindra’s persistence and the 1962, becoming a leading player automotive and farm equipment relentless pursuit of during India’s “licence Raj” divisions and a close lieutenant period, prior to the opening up of of Anand Mahindra, the knowledge. Add the country’s economy in 2001. company’s chairman. courage and the will to The ensuing liberalisation Goenka admits the tractor make bold decisions, prompted a boom in the rural arm is in the market for potential and give the best in economy, which in turn boosted acquisitions. “In the tractor sales. The group’s purchase of business we need an interna- everything you do.” rival Punjab Tractors in 2007 tional organic play to truly make cemented its lead – Mahindra our mark,” he says. JC PHOTOS: BLOOMBeRg, AFP/geTTy

ft.com/BoLdness | 41

SMALLER COMPANY GOPRO

Riding the wave

A desire to record surfing feats has propelled a California camera company to worldwide acclaim in only a decade, writes Chris Nuttall

hen Nick the dotcom crash, Woodman Woodman spent five months travelling in worked out a Indonesia and Australia. It was way 10 years here that he came up with an Wago to capture idea for a better way of secur- his surfing highlights with a ing the types of disposable still waterproof camera strapped to cameras that surfers used to his wrist, he unwittingly caught capture their best moments a wave to the next boom in as well as shots of themselves digital imaging. as they rode the waves. His company, Woodman Back then, only professional Labs, has created the action-cam surfers could benefit from such category almost single-handedly, shots – taken by photographers with its GoPro video camera in the water with them. Wood- becoming synonymous with man’s dream was for himself and wide-angle footage of daring his fellow surfers to be able to exploits taken from a first-per- “go pro” and record their “hero” son point of view. moments in the waves. Whether it is surfing inside “We soon realised that, with the barrel of a wave, skiing a market opportunity so big and down sheer slopes or skydiving nobody else paying attention from the edge of space, GoPro to it, we had the chance to do cameras have been used to something much bigger than record the drama as if through surfing and allow people to cap- the eyes of those experiencing ture and share their passionate it – while also having the ability experiences, which before GoPro to swivel on special mounts and were just shark tales,” he says. film the person’s own reaction to “I thought I was never going the thrill. to have as good an idea as this GoPro’s success can be again, it was a once-in-a-lifetime measured by the number of opportunity, and so we should go competitors crowding the after it with everything we’ve got.” category, notably Contour, iON, His girlfriend and fellow Drift and Looxcie, with Sony surfer Jill, who later became his also launching a rival action wife, gave him a fundraising idea camera last year. for turning the prototype wrist The idea that has taken strap he had made into a Woodman, 37, from back- business. A jewellery designer, packing surfer dude to potential she picked up a bead-and-shell billionaire was born out of a trek belt in Bali that she thought around the beaches of southeast could be improved upon and Asia in 2002. sold back home. After his first start-up, Woodman ordered 600 to be a web marketing company made in Indonesia and sent back called funBug, fell victim to to the US, where the two of them➤

ft.COM/bOLdNESS | 43 Action man: Nick Woodman, company founder, captured on a GoPro camera

Key to the success of GoPro HD was that it offered something not possible on a camera phone

travelled the west coast in an old Along with a tight group Flextronics, the contract manu- Volkswagen camper van selling of eight – family, fellow facturer. “Because he’s a user the belts at street markets and surfers or friends from the he understands [the camera] other events at big mark-ups. University of California, viscerally and is totally intent on The money they made, along San Diego – Woodman every detail. As a consequence, with a loan from Woodman’s says they worked seven he pushes the envelope for what parents, was enough to start days a week doing the the product can be.” Woodman Labs and GoPro. work of 50 people to That stretched to Woodman The first Hero product get the company and its literally test-driving the product: appeared in 2005: a 35mm products off the ground. he tried various mounts for a camera that came with a roll “Nick is a magnifi- Lotus sports car and spent hours of film and a wrist strap whose cent product guy,” says testing them on a racetrack. design and feel Woodman had Michael Marks, a GoPro In 2008, Woodman Labs worked on intensively, even board member and came up with a basic digital sleeping with it. former chief executive of video camera that was the first Hero to feature the now-familiar 170-degree wide-angle lens. Sales really began to take off Biz Stone with the release of the HD Hero Co-founder, Twitter two years later, the first to offer 1080 pixel full high-definition “To succeed spectacularly, you must be willing pictures. to fail spectacularly: failure has taught me far Aided by viral videos of its more than success. Perseverance, timing and users’ adventures on video- years of effort will eventually create the sharing service YouTube, as well as a strong marketing campaign, appearance of overnight success.” the GoPro HD has since then dominated camera sales in surf, PHOTOS: REUTERS

44 |ft.COM/bOLdNESS SMALLER COMPANY GOPRO

ski and bike shops. According authentic person who everyone stake that valued it at to NPD, the research group, it wants to be in the room with.” $2.25bn. Foxconn is has a 96 per cent share of those Woodman has also developed developing its display markets, while also breaking a close working relationship with technology skills and is through on to the shelves of Terry Gou, founder and chief expected to contribute to leading retailers. executive of Foxconn, the world’s future products. “As the business started to largest contract manufacturer, With Sony having failed grow, we were doubling down whose clients include Apple and to dent GoPro’s market on our bets in terms of mar- Microsoft. share thus far, the company keting spend to make GoPro When the two met last year, is confident it can continue to a globally recognised brand,” Gou was immediately impressed grow. “Nick’s been very good at Woodman says, citing television with Woodman’s personality building the brand – it’s tough commercials and early sponsor- and entrepreneurial skills. The to knock a brand leader off the ship of the Yamaha Supercross GoPro chief later flew to Taiwan, top,” Marks says. motorcycle racing team. where the pair enjoyed playing “We have created a new The GoPro HD arrived just golf together. category and we’ve got as the appeal of the simple and Less than a week later, Fox- fantastic new products much-copied Flip video cameras conn wanted to invest $200m in coming for the next few was waning, as more people the company for an 8.8 per cent years now.” n used their smartphones to shoot video. Key to the success of the GoPro HD was that it offered The latest model, something that was not possible Caught on film the tiny Hero3, weighs just on a simple camera phone. Extraordinary events drive GoPro publicity 2.6 ounces and is almost More than 3m GoPro cam- a third smaller but with eras have been sold over the past double the image-process- three years. Action cameras have ing power of its predeces- accounted for about $500m in sor. It can shoot in slow sales in the US alone in 2012. motion and ultra-high Woodman Labs has also definition – four times the moved from its base at Half resolution of full HD. Moon Bay, a popular surfers’ “We go all out for haunt close to San Francisco, to maximum impact, putting a new headquarters in Silicon on a big show, whether it’s Valley. Its workforce of 375 is the product’s features or expected to grow to more than the marketing,” says Nick 600 this year. Woodman, chief executive Much of GoPro’s success can and founder. “We are the be attributed to the drive of its first image-capture com- leader. Meeting Woodman for pany that has built a media the first time – at a party staged rom the edge of trapped underground company around itself, in an amusement park with the space to the bottom in 2010. shot exclusively on its own band The Glitch Mob playing in Fof the earth, GoPro Such spectacular foot- technology in order to the background – Nick preferred cameras have captured age represents publicity promote its products.” to give me a bear hug rather than unique moments. that money cannot buy. Yet While extreme sports the more traditional handshake. When Felix Baum- the quality of the camera have been the focus up to He then proceeded to be the life gartner, the Austrian makes such video possible. now, Woodman sees future and soul of the party, dancing on skydiver, made his world George Lucas, director of growth in the cameras stage, rallying the troops with record jump from the the Star Wars movies, fixed being modified for more a speech and leading rousing stratosphere last year, he them to fighter planes to general use by consumers. chants supporting the company. had five GoPro cameras record footage for his film In one example, he shot “He’s a rock star, he hugs strapped to his body. A Red Tails, while tyremaker the birth of his own son everybody,” says board member GoPro was also fixed to Pirelli used them to create with a GoPro strapped Marks. “He’s one of those bigger- the capsule that rescued the “GoPro look” for its most to his head – a highly than-life characters – a warm, a group of Chilean miners recent advertisement. personal souvenir. CN

ft.COM/bOLdNESS | 45 CATEGORIES SHORTLIST

The nominations

Drivers of change sMaller coMpany axel springer, a airBnB, a US online German media group holiday room rental service continental atoM factory, a US resources, a US artist-management company energy company gopro, a US camera MonDragon corporation, company a Spanish co-operative reDBus, an Indian sany heavyinDustry, a travel company Chinese machinery group skyonic, a US carbon-capture square, a US mobile technology company payments company uDacity, a UK tata group, an education company Indian conglomerate eMergingMarkets technology Btgpactual, a Brazilian Bio-on, an Italian investment bank biotechnology company cnooc, a Chinese genus, a UK animal energy company genetics company flipkart, an Indian online paga, a Nigerian retailer mobile payments company MahinDra &MahinDra, an raspBerrypi founDation, Indian vehicle manufacturer a UK computer company MicroMax, an Indian mobile spacex, a US space handset manufacturer transport company sBerBank, a Russian bank 3D systeMs, a US three- dimensional printing group entrepreneurship aereo, a US technology company corporate everythingeverywhere, a responsiBility/ UK telecommunications group environMent kickstarter, a US aBDul latif JaMeel group, crowdfunding company a Saudi Arabian auto, finance kroll BonD ratings, a US and media company financial services coMMunity cooker company founDation, a Kenyan softBank, recycling initiative a Japanese narayana hruDayalaya telecoms group hospitals, an Indian Zipcar, a US car- hospital company sharing service patagonia, a US outdoor sportswear company tesla Motors, a US electric carmaker the coca-cola coMpany, a US beverage group

46 |fT.COm/BOLDNESS