Beginning Anew, the Naandi Way

It's often mistaken for the mighty bull, the famed vehicle of Hindu God Shiva. But, Naandi, which is "new beginning" for Sanskrit, is actually living upto its name.

A brainchild of Andhra Pradesh Chief Minister N Chandrababu Naidu, and formed by four major icons of the New and Old Economy in the state, is witnessing a rebirth of sorts. The unique corporate, non-profit, autonomous, development funding charitable trust set up for development of AP on the state's formation day anniversary in November 1998, is being revived after a 2-year slumber.

It's getting a major face lift: Glossy new corporate look, professional management team, a shrewd and market-savvy CEO who talks about creating big brand equity, et al.

The foundation was set up by Dr K Anji Reddy, chairman of Dr Reddy's Labs, Ramesh Gelli, chairman of Global Trust Bank, K S Raju, chairman of Nagarjuna Group of Industries, and B Ramalinga Raju, chairman of Satyam Computer Services, with an initial investment of half a crore rupees each.The concept was to set up a fund-raising agency (as against an implementing agency) for investing in NGOs in AP. The four corporate gurus wanted "a marriage of the passion of social sector and professionalism of the corporate sector" like CEO Manoj Kumar describes it.

Something that's perfectly in tune with what NRIs were looking for to donate to the state.With an active cooperation of Naidu's office, it even received FCRA registration, that too permanent, after being granted exemption from 3 year period of observation by the Home Ministry. After a year, to broad-base the foundation, eminent personalities from the academia, judiciary, arts and social work were roped in too.

Dr Akkineni Nageswara Rao, Dada Saheb Phalke award recipient, Begum Bilkees Latif, prominent social worker, Prof RVR Chandrasekhar Rao, ex vice chancellor of BR Ambedkar Open University, Justice A Raghuveer, former chief justice Assam High Court, and M Rajendra Prasad, chairman of Soma Enterprise were inducted.

It took up four projects intially. The first was to offer support to NGO Prerna to revitalise and manage six lift irrigation schemes on River Krishna in Maktal, Mahabubnagar. The project with investment of Rs 31 lakhs over 3 years hopes to bring 8,900 acres under irrigation, benfitting 2,500 families in 14 habitations.

The second project was offering support to farmers' management of a similar project to be implemented by IRDAS at Gurrambodu in Nalgonda district. The project support of Rs 22 lakhs over 2 years is aimed at organising 650 farmers, mostly Lambada tribe displaced under the Nagarjuna Sagar dam, in 7 habitations, to manage 2,700 acres land and Rs 3.5 crore lift irrigation project on Vemuleru Vagu.The third program was to promote self-reliance in a tribal areas called Paderu, Visakhapatnam.

To be implemented by NGO called CCN, the project aimed at offering support of Rs 40 lakhs over 6 years to place and offer fellowship to three country coordination teams led by young professionals from reputed institutes to cater to needs of 9,000 families in about 100 habitations.The fourth is to support promotion of science and environment education in rural schools and communities in Hathnura, Medak.

The project implemented by Sadhna aims at providing support of Rs 10 lakh over 3 years to develop appropriate and holistic methodology of teaching and learning science. The project is expected to benefit 2,000 children in 10 schools, 30 teachers and members, 100 youth and communities in 33 habitations. Naandi was trying to create something similar to development venture capital, where NGOs were the "inexperienced startups."

All was fine until the association with the Telugu Association of North America (TANA) and the state government on a pilot project happened. Naandi got involved as an implementing agency in the project to make Andhra an "open defacation free state."

Naandi would make a matching contribution to that of TANA for construction of toilets in some villages. The state government would put in double of what TANA and Naandi collectively put in. In Phase I, TANA put in Rs 20 lakhs, the government contributed Rs 40 lakhs, for constructing 2000 toilets in 22 villages in 7 districts. Naandi would contribute Rs 20 lakhs for construction of septic toilets in other districts of AP.

But, the project got into trouble with Naandi deferring its role from that of a funding agency to an implementing agency. "I wouldn't have launched it. It was an error. It was not a good experience and we landed in a mess. So smarting under the hiccups, Naandi decided to put a hold," says Kumar, who was then brought in to strengthen Naandi by inducting a full-time CEO.

A post graduate in Economics from Kerala University, Kumar says his job like "turning around a sick unit." This was a challenge the former Plan International programme officer at Hyderabad took up with enthusiasm.

Kumar, with earlier stints in SIDBI and BASIX, an NGO and NBFC, soon introduced reforms within the foundation. Thrusted upon with a "Chief Dreamer's Role," he has designed new fund raising schemes and talks about creating brand equity through best practices.

The 10-member team has been restructured, with clear-cut functions for each of them. Kumar says the emphasis of Naandi is now on resource raising. He is also creating what he calls a "Department of Quality."

The foundation is also working towards getting an ISO 9002 certification. As a first step towards coming out of the slowdown, Naandi, under Kumar's leadership has decided to end the challenge of what he calls the "TANA shit debacle" in 3 months.

By speeding up the process, the foundation aims at finishing phase I of the project ie 2000 toilets by March end. The results are already there. "In 2 years, 636 toilets were built, In just the last 2 months, the figure is 1,203. Before June, the entire money will be utilised and the job finished," he adds. Kumar has also simultaneously streamlined the process of deciding on new projects.

There will be no waiting for proposals by NGOs. The foundation is conducting research into possible good projects and convincing them to partner Naandi in the same.

"Since we need to build our brand equity, we'll choose first 10 projects very selectively," says Kumar. The foundation's program advisory committee that took a decision on which projects to fund, has also been broad-based. Instead of a permanent three-member committee, there is a floating advisory committee. Naandi has also taken up some new projects for fund raising.

One of them is the concept of "retail philanthrophy." The foundation would be approaching corporates and seek Rs 10 from each employee every month. If they agree, that much amount would be deducted from the salary and credited to Naandi directly. "We are tapping retail numbers. The employees won't feel the pinch with the amount we are seeking," he says. It is also targeting the NRIs, but the figure this time would be 10 units of the currency of the nation they are in.

The foundation has tied up with ABN AMRO for this scheme. Anybody anywhere can donate in the world and debit 10 units of the local currency and credit to ABN AMRO account of Naandi in Hyderabad. There is also a three-year fellowship program for which Naandi is trying to rope in ICICI Ltd. Ten fellows from diverse educational backgrounds would be placed in NGOs for 3 years with a 4-month training.

The HR programme is aimed at professionalising the development sector. The ICICI has apparently evinced keen interest and asked Naandi for basket of proposals that it could fund.There is also a funding programme for farmers near Nellore. With the help of an NGO and Gayatri Sugar Co, farmers are being groomed on sugarcane cultivation, irrigation and marketing their produce.

Recently, Naandi has also entered into a tie-up with the MV Foundation, which is working with child education causes. "When we worked out the costs, we found that for giving a child a quality education, it takes Rs 10 a month. We would be integrating this idea with the retail philanthropy concept," Kumar says.

Next week, Naandi is launching a fellowship in collaboration with Action Aid India. Twenty Fellows over 2 years will be groomed for 3 years to start NGOs.There are two major upcoming projects on maternal care and tribal development that would create a major brand name for Naandi, Kumar adds.