LN Mittal - the man and the leader

Prof Sanjay Kumar, Associate Professor, PSB and former CEO of Arcelor Mittal Algeria, talks about his experience with the trail-blazer of 21st century India, Mr LN Mittal. Prof Kumar can be reached on sanjay.kumar@psbg.in

What would you say about the outstanding qualities of LN Mittal the man?

A clear vision ,a disarming smile on his face and eyes, a mind focused on the task and an inclusiveness in his activities. These are what we all experienced from him.

It is said that Mr Mittal makes it a point to meet important community leaders in places where his plants are located. What’s behind this?

He believed that a steel plant was the most important presence in the locality and as the owner of this asset he had to give due attention to the local stakeholders. The local community leaders were one of these. He also believed that his role was to turnaround an asset and make it produce to its maximum. He looked upon himself as an asset builder and not as an asset stripper. So, sharing these goals with the local community leaders led to a common shared goal and this has been one reason why IR issues have not plagued his manufacturing activities.

Does he rely heavily on Indians to form his top management team?

This was never true. He relied on merit and in the initial days, it just so happened that some of his lieutenants were Indians. But, he never turned his back on a meritorious candidate just because he was a non Indian. There were many in his team who were/are non Indians. This impression gathered weight as his locations were such that most non Indians would avoid going there ( Temirtau in Kazakhstan, Annaba in Algeria, Lazaro Cardenas in Mexico are just a few of these locations) and so he came to rely more on a handful of capable Indians to pursue his goals.

Do you think the group is highly centralized around Mr Mittal?

Yes and no. Yes in the sense that he is not only the biggest shareholder but also the Chairman and the CEO. No because there is a well structured support team of global and regional managers, as well as a clear demarcation between operating units and corporate functions. All these result in a structure that ensures that a global operation spread over 28 countries and 65 locations is streamlined in its business goals and activities.

What would you say is his managerial style?

Participative. Decisive . Openminded . Balanced between long term goals and short term objectives. Results oriented : these are some of the attributes that come to mind.