Five Leadership Lessons From Anand Mahindra: Nurturing Talent, Crafting a Legacy, and More

In 1945, brothers Jagdish Chandra Mahindra and Kailash Chandra Mahindra, along with Malik Ghulam Muhammad, started a steel trading company that would eventually grow into what is today a global-scale conglomerate, the Mahindra Group. In addition to its huge automotive business, which encompasses everything from farm equipment to electric SUVs and motorsport, the company has interests in IT, logistics, aerospace, real estate, education, financial services, entertainment, defence, energy, retail, and more. Today, Anand Mahindra, who formally joined in 1981, is Chairman of Mahindra Group, and has led it to becoming one of India’s most important companies.

In a recent interview for McKinsey & Company’s Leading Asia series, Mahindra spoke about his journey so far, his philosophy regarding corporate leadership, his experiences with business transformation, and the group’s approach to hiring and retaining talent. Here are five quotes that contain invaluable lessons for anyone hoping to climb the corporate ladder in India.

1. “Purpose is not a marketing device; it’s a lens for decision-making. The moment it becomes performative, people see through it.”

Mahindra frequently interacts with fans online to stay in touch with what they want. In this interview, he speaks about the importance of knowing what your company’s mission is, because that’s what motivates employees most. It isn’t enough to just come up with a philosophical vision statement and apply it to whatever they are doing; it has to be an articulation of the culture of the organisation. It also can’t be a top-down instruction; every employee and stakeholder needs to believe in it.

Carrying forward the intentions of the group’s original founders, Mahindra says his purpose is still to contribute to India’s economic development, and to prove that India can compete on the global stage when it comes to the quality of its products and services.

2. “When I graduated summa cum laude from film school, I felt a sense of release: I had succeeded at something where my father couldn't help me.”

Some people might be interested to know that Anand Mahindra studied filmmaking and architecture at Harvard University, before getting his MBA degree from Harvard Business School. He says he chose this path deliberately, to avoid accusations that he had succeeded only because of his family legacy — the Mahindra name could not give him any advantages in terms of creative work. Furthermore, that formal training helped him balance art with business, crafting inspirational narratives and identifying patterns.

3. “People stay when they grow. It’s not about perks or pay; it’s about whether they feel they’re becoming better versions of themselves here.”

As a pillar of the Mahindra Group’s corporate culture, Anand Mahindra talks about how he selected unconventional candidates for some roles, allowing their skills and talents to guide their rise among the ranks rather than status and designation. This way, he says, people understand that they have been recognised, which promotes a healthy and loyal relationship. He also stresses that it’s important to spot potential for growth in employees and make sure their experience is well-rounded, not just focused on work. Mahindra also makes a point to recognise major achievements by Indians in various fields such as sport, as well as those who show ingenuity or resilience in noteworthy ways, often rewarding them with a free car. 

4. “When someone’s eyes lit up while talking about what they had learned, I knew they belonged here.”

Just like retention, hiring and promotion are not solely about a person’s qualifications on paper. Mahindra says he frequently has informal conversations with employees who are being considered for senior roles, to gauge their eagerness to learn and what is really important to them. He also checks how people respond when faced with unexpected situations, and how they approach the prospect of dealing with uncertainty.

5. “Once you give autonomy, you're also giving room for creativity.”

A person in charge of a massive, diversified conglomerate cannot possibly do everything themself. Delegation is a responsibility, and Mahindra takes that seriously when he says those who report to him must have the freedom to do things their own way. A manager cannot expect those below him to only fulfil his wishes; they have to have the freedom to be creative and apply their own vision. This also enourages disruptive ideas that could help the whole business scale up. Each Mahindra employee needs to be able to reach the peak of their own potential.