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Rai Bahadur : Father of the Indian Industry By Prakash K. Chathoth, Ph.D. and Kaye K.S. Chon, Ph.D.

ntroduction (“The is an Indian civilian decoration in ) for higher education, I A good majority of the hotel established on January 2, 1954 by the President of In- which he later abandoned to pursue graduates from institutions in hos- dia. It stands third in the hierarchy of civilian awards, a career. As a student in Rawal- pitality education in would after the Bharat Ratna and the Padma Vibhushan, but pindi, Mohan Singh was mesmerized rate as their comes before the Padma Sri. It is awarded to recognize by the beauty of the best hotel in most preferred hotel company for distinguished service of a high order to the nation, in town in the early twentieth century launching their career. Such is the any field.” This definition is extracted from http:// - Hotel Flashmans- that he later regard aspiring hotel professionals en.wikipedia.org/wiki/Padma_Bhushan, verbatim.) acquired. have for this firm that it has re- M. S. Oberoi’s contribution as an hotelier is not His quest to start earning drove mained one of the most preferred only at the national level in India, but also extends to him to (now in Pakistan), hotel companies in India over the international level, especially within Asia. He has where he joined his uncle’s shoe several decades. It takes leader- contributed to the growth of the hospitality and tour- business. Although he was success- ship and vision on the part of the ism industry in various lands, encompassing countries ful in establishing himself in his firm’s management to achieve this such as , , , and uncle’s business, the factory closed status, and without doubt, the Australia. Oberoi was an entrepreneur and a visionary, down due to the Indian indepen- Oberoi professional would pay trib- whose philosophy towards life is reflected in the fol- dence movement in the late 1910s. ute to its founder, the late Padma lowing quote: Mohan Singh returned to Bhaun Bhushan Rai Bahadur Mohan Singh “When he was honoured with the Newsweek where he married Ishran Devi and Oberoi for setting the foundation Award in 1978 for making significant contributions had his first child during this time. on which India’s premier hotel to the world of business, the editor asked what mo- However, in 1922, as fate would firm has surged to its heights. In tivated him to become one of the biggest hoteliers have it, Mohan Singh, with not fact, the Indian hotel industry has in the world, Oberoi replied - The idea was never much money in his pocket, had to recognized M. S. Oberoi as one of merely to make money. The compulsion was to think flee Bhaun for the sake of his child its founding fathers, often refer- big, always to offer the best and let it happen. Name, as plague broke in the township. ring to him as the Conrad Hilton fame and profits would automatically come in.” (the- The pursuit of a (ehotelier.com). India’s south-asian.com) (This quote was extracted from www. job in the Public Works Depart- great industrialist, the late Padma the-south-asian.com. See references for details.) ment drove Mohan Singh to Simla, Bhushan J. R. D. “Jamsetji” Tata, Every success tale has twists, and M. S. Oberoi’s India but he failed to qualify for under whose auspices the Taj Group is no different. His story is inspiring to every profes- the job. However, the visit to Simla of blossomed, himself called sional, irrespective of his/her domain of expertise. introduced him to the Cecil Hotel, M. S. Oberoi “the country’s only His life story, his traits as an entrepreneur, a leader, where he landed his first hotel job as exclusive hotelier” (ehotelier.com). a visionary and his legacy are detailed in the sections a clerk, a hotel he would later call that follow. his own. Despite being overqualified for the job, he carried out his job Prakash K. Chathoth, Ph.D. is an assistant professor in the School M. S. Oberoi: Life Story task with ardor of looking after the of Hotel and Tourism Management Rai Bahadur Mohan Singh Oberoi was born in Chak- hotel’s coal supply and to ensure at the Hong Kong Polytechnic wal, (now in the Punjab province of Pakistan) that each guest had sufficient hot University in Hung Hom, Kowloon, Hong Kong; Kaye K.S. Chon, on August 15, 1898. He was barely six months old when water. His work ethics and dedication Ph.D. is a chair professor and his father passed away. He grew up under the auspices were traits that saw him grow on the head of the School of Hotel and of his grandfather, in Bhaun (now in Pakistan) who job, influencing Ernest Clarke, the Tourism Management at Hong Kong made sure that he received the best education and Manager, to promote him to guest Polytechnic University in Hung Hom, Kowloon, Hong Kong. upbringing. At age 15, he moved to Rawalpindi (now services clerk.

Journal of Hospitality &Tourism Education  Driven by his ambition to own India, in 1944, which included the Cecil Hotel in Simla in India at the time (the-south- a hotel, Ernest Clarke bought the that had once introduced him to the world of hotels. asian.com). He was known for Carlton Hotel in Simla, which he He then acquired the Flashmans Hotel, the first hotel refurbishing undervalued properties renamed the Clarke Hotel, while he had laid his eyes on as a young lad growing up in and converting them into hotels offering Mohan Singh the job of Rawalpindi. (e-hotelier.com), which he used as manager. Mohan Singh’s success as Oberoi realized the importance of managing the a vehicle to grow overseas. This the Manager led him to become the travel business and to integrate backward in the value is evidenced in the acquisition of working partner, and later, the owner chain. India received its independence from the British properties in Katmandu , of the hotel. Ernest Clarke went in 1947 and soon after, M. S. Oberoi set up his own travel Mena House in Egypt, and the Wind- back to England due to his wife’s ill- agency firm – the Mercury Travels – in 1948. It is one of sor in Melbourne, Australia. ness while selling the hotel to Mohan India’s leading travel agencies today (ASIA Travel Tips. M. S. Oberoi’s entrepreneur- Singh (the-south-asian.com). com) with over 300 employees in 15 offices in India and 2 ship skills are reflected in his marketing office in New York and Frankfurt (Mercury-in- strategy to diversify into the up- An Entrepreneur who dia.com). He founded the East India Hotels (EIH) in 1949 scale/mid-market segment in the “Dared to Dream” as the flagship company of the Oberoi Group to diversify late 1980s, at a time when the de- (“Dared to Dream” is reflected his business (India Infoline.com). In 1959, the company mand for first-class hotels in India in the title of the book by Karkaria, started flight catering operations, the first Indian compa- was on the verge of increasing. The B.J., 1992, “Dare to Dream: A ny to do so. The flight services facilities, located in , Oberoi Group was one among the Life of Rai Bahadur Mohan Singh and Chennai, provide in-flight meals to airlines of first hotel chains in India to diver- Oberoi,” Viking.) repute (ASIA Travel Tips.com). sify into this segment. He launched “You think of money and you The multinational corporation was a new con- the Trident Hotels in 1988 by open- cannot do the right thing, but cept to Indian business in the sixties, which Oberoi ing the first hotel in Chennai, India. money will always come once you was able to establish when he bought the group’s first Since then, the group has grown do the right thing, so the effort international hotel in Nepal, the Soaltee Oberoi (the- into a chain of nine hotels including should be to do the right thing.” south-asian.com). In 1965, Oberoi opened India’s first two in the Middle-East. Further, the (ehotelier.com) (This quote was modern five star hotel, the Oberoi Intercontinental, Group has allied with Hilton Inter- extracted from www.ehotelier.com. Delhi. This was a unique venture, in that it was the national to co-brand the product See references for details.) first Indian hotel to ally with an international chain while combining the marketing ex- The opportunity to own the (The Hindu Business Line, Internet Edition, 2002). pertise of Hilton International with Clarke Hotel was not easy to pass This was followed by the Oberoi Sheraton in Mumbai the management expertise of the for M. S. Oberoi even though he in 1973, this time allying with another chain of inter- EIH (Trident Hotels.com). did not have the resources to own national repute, the Sheraton. While he succeeded to The philosophy of the firm to it. With his wife’s support (she grow his business into a chain of hotels, there were achieve excellence has been the mortgaged her jewelry) and money setbacks he suffered in his ventures. Due to the parti- cornerstone of its growth and de- borrowed from his uncle, M. S. tion of Punjab and the creation of Pakistan, he had to velopment instilled by its founder. Oberoi founded the Oberoi Group in forego four hotels that he had acquired in the Punjab This is reflected in the fact that 1934 by buying the Clarke Hotel for province before India’s independence. nine of its hotels are listed as a 20,000 Rupees (equivalent to USD His entrepreneurial spirit has seen the hotel com- member of the Leading Hotels of 500 in today’s conversion rate). pany grow to a level where it today manages over the World while seven other hotels In 1937, he acquired the Grand thirty hotels and five luxury cruises across six countries are members of the Small Luxury Hotel in , India which had (oberoihotels.com). Such is the management expertise Hotels of the World (Oberoi News shut down due to the outbreak of of the firm today that it includes hospitality operations Archives, 2002). Table 1 details Cholera. He took calculated risks pertaining to hotels, airline catering, management Oberoi Group’s ‘Mission and Vision while investing in this hotel, and of restaurants and airport bars, travel and tour ser- Statement.’ its success and his service to the vices, car rental, project management and corporate Crown led the British Government A Leader and a Visionary air charters. His approach to converting old historical to bestow the title of “Rai Baha- M. S. Oberoi’s pursuit of excel- monuments - especially old palaces and monuments of dur,” in 1943 (ehotelier.com). He lence is engrained in the Oberoi repute - into hotels was unique to hotel development acquired the Associated Hotels of School of Hotel Management that

 Volume 18, Number 1 aged school in the World (Oberoi Table 1 News Archives, 2002). His vision of embracing the young aspiring The Oberoi Group’s Mission and Vision statement was extracted on-line from graduate, irrespective of his/her http://www.oberoihotels.com/corporate/corporate_mission.asp area of educational qualification, and training them to become op- The Oberoi Group’s Mission and Vision Statement erating managers, is a standard that few other firms internationally MISSION have been able to parallel. This is • Our Guests We are committed to meeting and exceeding the expectations of our guests reflected in the Group’s ‘Corporate through our unremitting dedication to every aspect of service. Training and Development Vision,’ which states, “we see an organisa- • Our People We are committed to the growth, development and welfare of our people upon tion where people are nurtured whom we rely to make this happen. through continuous learning and skill improvement, and are re- • Our Distinctiveness spected, heard and encouraged to Together, we shall continue the Oberoi tradition of pioneering in the hospitality industry, striving for unsurpassed excellence in high-potential locations all the way do their best.” (Oberoihotels.com) from the Middle East to Asia-Pacific. (The International Hotel and Res- taurant Association was previously • Our Shareholders As a result, we will create extraordinary value for our stakeholders. known as the International Hotel Association (IHA). VISION While Oberoi was a pioneer in • We see an organization which aims at leadership in the hospitality industry by laying the standards for training ho- understanding its guests,and designing and delivering products and services which tel managers in India, he was also a enable it to exceed their expectations. We will always demonstrate care for our true leader in managing the work- customers through anticipation of their needs, attention to detail,distinctive excellence, warmth and concern. force. He was the first to employ • We see a lean, responsive organization where decision making is encouraged at women in the Indian hospitality each level and which accepts change. It is committed and responsive to its guests industry and set the standards of and other stakeholders. employment in the industry (Oberoi • We see a multi-skilled workforce, which consists of team players who have pride of ownership, translating organizational vision into reality. News Archives, 2002; ehotelier. • We see an organization where people are nurtured through permanent learning com). His leadership traits include and skill improvement, and are respected, heard and encouraged to do their best. empathy and humility, qualities Oberoi is recognized as best practice for training and developing its people. • We see a more multinational workforce which has been exposed to different that were engrained in him from his cultures, problems and situations and can use its experiences to enrich the local childhood days. This is reflected in employees whether in India or overseas. the following quote: • We see the world dotted with hotels of The Oberoi Group, in strategic commercial and locations. “I have been able to accept • We see user-friendly technology enhancing value for our customers and helping our the challenge and make good personnel by making information more accessible. — there is comfort in knowing that • We see an organization which is conscious of its role in the community, supporting social needs and ensuring employment from within the local community. whatever little I have achieved, • We see an organization which is committed to the environment, using natural has also helped to raise the pres- products and recycling items, thus ensuring proper use of diminishing natural tige of my country” (e-hotelier. resources. com) (This quote was extracted from www.ehotelier.com. See ref- erences for details.) came into being in 1966. It was recently renamed as the Oberoi Center for Learning and Development. His contribution to hospitality education is witnessed in the quality of educa- Oberoi expected his employees tion provided by the School, which is considered to be one of Asia’s premier hotel education to achieve perfection in their day- centers that graduates approximately 100 students every year (ehotelier.com). In fact, it is to-day work with an eye for detail. the only International Hotel and Restaurant Association (IHRA) recognized, privately man- He led by example, and there is

Journal of Hospitality &Tourism Education  a story that goes to support this. the PHDCCI Millennium award in 2000. His unparalleled References While working for the Cecil Hotel achievements in the Indian Hospitality Industry led the ASIA Travel Tips.com (2002). Father in Simla in 1925, the late Barrister President of India in 2001 to confer upon him the Padma of Indian Hoteliering Rai Bahadur M.S. Oberoi, Passes Away. Retrieved Motilal Nehru, the father of India’s Bhushan (Oberoi Hotels Archive, 2002), the highest na- from the Web, August 17, 2005. first Prime Minister, the late Pundit tional award for excellence in service. As noted earlier, http://www.asiatraveltips.com/ , who was staying prior to India’s independence, M. S. Oberoi was bestowed travelnews2002/13May2002Oberoi. at the hotel that night, approached the title of “Rai Bahadur” by the British Government for shtml Mohan Singh at the front desk and his service to the Crown. During the latter half of his life, e-hotelier Newsletter (2002). M. S. Oberoi, A Pioneer in Luxury Hotels, asked if he could find somebody to Oberoi served Indian politics and the society by being a Dies at 103, May 6. Retrieved from type hundred pages of a manuscript member of the Parliament. He was elected to the upper the Web, August 16, 2005. http:// by 5 a.m. the next morning. Mohan house, the “” of the Indian Parliament in www.ehotelier.com Singh, who had learned typing and 1962 and 1972, and to the lower house, the “Lok Sabha,” Indiainfoline.com (2005). Annual Report Analysis - East India Hotels (EIH) Ltd.: stenography, volunteered and had in 1968. (Awarded by the PHD Chamber of Commerce Growing Strategically. Retrieved from the manuscript ready by 4.45 a.m. (PHDCCI) in India. A description of the award is available the Web, August 16, 2005. http:// the next morning. What amazed at http://www.phdccimail.com/awards) www.indiainfoline.com/sect/eihl.pdf the Barrister was that Mohan Singh Karkaria, B.J. (1992). Dare to Dream: did not make a single typing error His Legacy a Life of Rai Bahadur Mohan Singh (the-south-asian.com). Such was his “My life has been achievement-oriented. I started Oberoi, Viking. Mercury-india.com (2005). About Mer- level of perfection, dedication and off as a coal clerk at the Cecil Hotel in Simla. But I cury. Retrieved from the Web, August always had dreams and I worked my way at fulfilling sincerity to his work. 16, 2005. http://www.mercury-india. those dreams.” (the-south-asian.com) (This quote was Oberoi’s service was not lim- com/aboutus.htm extracted from www.the-south-asian.com. See refer- ited to the stakeholders of his firm, Oberoihotels.com (2005). Corporate ences for details.) Information – Profile. Retrieved from rather it extended to the national the Web, August 16, 2005. http:// While his shoes are difficult to fill with his pass- level, evident from the fact that “he www.oberoihotels.com/corporate/ was among the first to recognize the ing away on May 6, 2002, he has left behind a legacy oberoi_corpinfo.asp potential of the tourism industry, its that underscores entrepreneurship and leadership, Oberoihotels.com (2005). A Career with the Oberoi Group. Retrieved from the ability to contribute to India’s eco- especially in the service business. His son, P. R. S. Web, August 16, 2005. http://www. Oberoi is currently the Chairman of the Board of EIH nomic growth and generate direct oberoihotels.com/careers/html/ and indirect employment” (Oberoi and has helped keep his father’s vision and values of build_career/career_main.htm Hotels Archives, 2002). The standards entrepreneurship flying high with the success of the Oberoi News Archives (2005). The of excellence set by the firm are Oberoi Group. This is evident from the fact that one Oberoi Rajvilas ranked 3rd best hotel of its hotels, the Oberoi Rajvilas, , India was in the world The Oberoi Amarvilas benchmarked by not only Indian firms ranked 22nd. Retrieved from the but also international firms. ranked the third best hotel in the world by the Travel Web, August 17, 2005. http://www. and Leisure Magazine in 2005, behind only to the Four oberoihotels.com Awards and Honors Seasons Resort, Bali and Singita Private Game Reserve, Oberoi News Archives (2002). Father of M. S. Oberoi was the recipient South Africa (Oberoi News Archives, 2005). In addi- Indian Hoteliering Rai Bahadur M. S. Oberoi, Passes Away, May 2, 2002. of many prestigious national and tion, the Oberoi Amarvilas, , India was ranked 8th Retrieved from the Web, August 16, international awards such as the best in Asia in 2005, while being ranked the 22nd best 2005. http://www.oberoihotels.com admission to the Hall of Fame by the in the World by the Travel and Leisure Magazine. In the-south-asian.com (2000). Rai Bahadur American Society of Travel Agents fact, the Oberoi Group boasts of having 12 of its hotels M. S. Oberoi: A Century of Hospitality, (ASTA); Man of The World by the In- listed in the “300 best Hotels of the World” list by the September 2000. Retrieved from the Web, August 16, 2005. http://www. ternational Hotel Association (IHA); Harpers and Queen magazine (ASIA Travel Tips.com). the-south-asian.com/ Order of The Republic - First Class While he “Dared to Dream” (Karkaria, 1992) as a young Trident Hotels.com (2005). Corporate conferred by the President of Egypt; lad growing up in Punjab hoping to be a businessman Information. Retrieved from the Web, Honorary Doctorate of Business someday, with the continued success of the Oberoi August 20, 2005. http://www.trident- hilton.com/home/corporate_info.asp Administration by the International Group, it can be said that the late Rai Bahadur Mohan The Hindu Business Line, Internet Edi- Management Centre, Buckingham, Singh Oberoi, has indeed fulfilled his dreams. tion (2002). M.S. Oberoi Dies at 103, UK; named by Newsweek as one May 4, 2003. Retrieved from the Web, of the “Elite Winners of 1978” and August 16, 2005. http://www.thehin- dubusinessline.com

10 Volume 18, Number 1