The Thyrocare, the worlds largest Thyroid testing laboratory was founded in the year 1996 by Dr A Velumani, an ex Scientist from BARC. Schooled at a small village, Appanaickenpatti (coimbatore, TN) as a methematics student, his pathology laboratory has been registering an Year over Year growth of 100% for more than 10 years. Says Dr A Velumani (knowns as AVM by his staff and franchisees), " There are two options for every one, from birth to death. One is what is easy to do and the other is what is right to do. Continuing a government job, after having two children at an age of 37 was the easiest thing to do"
Thyrocare which was started in a 150 sq feet garage, with an investment of Rs.1,00,000 (his provident fund) today stands at a 50,000 sq feet office in Navimumbai and does daily more than 50,000 investigations. This nationwide networked, bar-coded and bi directionally interfaced diagnostic laboratory, accredited by CAP and NABL, is valued by the investors for around Rs. 800 crore. Here are a few questions we posed to him and his answers to them are:
Did your family accept your decision of leaving a secured government job and doing business?
If you discuss with any one, (especially your wife) you can never take any decision in business. Not only wife, every one who loves you because it is not easy to do business. There is nothing like a good decision or bad decision at the time of taking it. Any decision can be made good if one can have patience and perserverance.
Do you think that you have started your business late?
Had I started earlier, i would have failed. Age and experience makes you to think people, process and problems differently. According to me, a first generation entrepreneur should not start a business before 30 years. The chances are too high for his failure. It is alright, if you gamble with your fathers money.
Did competition intimidate you and how did you handle it?
Competition does intimidate in thought and action both. But I did not worry about what they are doing. i knew what I was doing and i knew that I have to improve it or innovate it daily and I exactly did it. When I started I had 3000 competitors in the country. It just took 10 years to see the number 2 just half of the size of Thyrocare. All this 10 years, I did not handle competition but they were busy in handling me.
What made your brand big and your volumes grow?
Quality, cost and speed. Marketing gets you business but Quality retains them with you. Business needs bring clients to you but the cost keeps the loyalty with you. Deliver earlier than any one else can, you will be the most sought after brand. Never do business in any way that you have to say sorry to a client. No client will like to hear a second "sorry" from the same supplier
Did you have any alternate plan, to take your family ahead if you business failed?
If you take a strand of hair and tie it to a mountain and try to pull it, if it doesn’t come, one hasn’t have to get disheartened by the efforts put in. What one will lose is just one strand of hair . aaya tho pahad, Gaya tho Baal
Did you need money to manage your business and did you look for more funds?
I have never borrowed in my life even when I was starving. This business did not require money at all. It gave more money and did not demand any huge investments. It was humble beginning. To save money for business, I slept in that garage for the first one year of business.
What is unique about you or your business or your laboratory?
About me:
* I cannot do the same thing next day in the same way.
* I think "what you study is not as important as how you study it"
* I also think that "what you do is not as important as how you do it"
* I do not take an experienced man as my employee (because every employer demanded experience from me when i was looking for my first job)
* I am blunt, plain and clear.
* I have worked in this last 12 years what one can work in 120 years ( made also that much money)
About our laboratory:
* it does not get a single patient directly walk in (works on franchisee concept)
* Does not do what small laboratories can do
* Works only in night (only laboratory that does not work in day time)
* Focussed in analyser based tests
* IT enabled and controlled business
* One laboratory, One brand, One CEO, One quality - for the entire nation
About business:
* Cheapest on this earth but still it is highly profitable business ( i paid 10 crore tax in year March - 2008 )
* Best brand in healthcare industry
* Supported by more than 1 lakh medical doctors
* has potentials to grow - minimum 40% (YOY) for next 10 years
* Possibility of becoming a "single laboratory" for the entire globe.
Any advise to youngsters:
* Do not do business before 30, every rupee in that is your own.
* make some one rich before you plan to become rich
* manage prople well because they only can manage problems well
* Make a crore using a man but take only half crore out of him .
* Learn to focus on right task and remain focussed.
* VC or PE or Banks - do not give money if you ask. If you refuse, they would not allow you to sleep.
* Aim to create wealth and not to make money.
* Do not waste time if you love your parents or children
* Do not ask big salary if you can learn a lot from a job.
* "Insecurity" is a problem for either for an employee or an employer. If you can create it for an employer, you are secured.
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