CHANDRIKA PASRICHA'S FLEXING IT: FLEXIBLE WORKING = MAXIMUM JOB SATISFACTION, OPTIMUM VALUE!

Chandrika Pasricha,Founder & CEO, Flexing It Services Private Ltd.

Flexing It has been founded by Chandrika Pasricha, a management

consultant with over 15 years of industry experience. Chandrika has

worked with McKinsey & Co, Inc., both in India and in the United States,

and has more recently been working as an independent consultant in

the areas of healthcare and development.ET CASES

October 2014

InterviewedbyDr. Nagendra V. Chowdary

InterviewwithChandrika Pasricha

Ref. HRM-1-0003B

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CHANDRIKA PASRICHA'S FLEXING IT:FLEXIBLE WORKING = MAXIMUM JOB SATISFACTION, OPTIMUM VALUE!

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Interview with Chandrika Pasricha Chandrika Pasricha’s Flexing It: Flexible Working=Maximum Job Satisfaction,...

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I. Entrepreneurial Triggers

1. Can you describe the 15 years of your illustrious career in terms of:

• Highs and lows

• Any life-changing or highly influencing experiences

• Reflections on classroom to boardroom

My career of 17 years has primarily been in Management Consulting. An extremely excitingand challenging journey, it has also been a stable one. I worked with McKinsey & Co. Inc.,for over a decade both in India and the US, and later as an external consultant with theirHealthcare and Development. Around two and a half years ago, I made my entrepreneurialdebut when I started working on the prep work for Flexing It which launched in beta towardsthe end of 2012.

My extended stint in consulting – across geographies, industries, clients and issues – hasabetted me in multiple ways in my entrepreneurial venture, I will highlight a few! Firstly,my work experience with McKinsey & Co. Inc., has provided the ability to take a holisticand broad view of issues given the exposure to how leaders and CEOs think. Secondly, theshort cycles for solving problems in consulting have helped me to quickly think throughissues in a structured manner! Thirdly, the ability to lead and achieve with small but highenergy teams, which are common to both consulting and startups. And finally, the need tobe organized! My first project manager taught me the value of high quality to-do listswhich I follow to this day.

The decision to start my own venture was driven by two sets of factors that culminated atthe same time. The first set of factors was, my own experience of being an independentconsultant made me realize that there was absolute white space with regards to a structureto connect the demand and supply of short-term, flexible skills in India. I felt that this wasa huge opportunity and a market segment that would grow only if both – professionals andcompanies start to look at work differently, as delivery rather than a series of activities.The second set of factors was my own readiness to apply my consultinglearning/experiences to my own ideas and create a lasting organization. Of course, we

“My extended stint in consulting – acrossgeographies, industries, clients and issues –has abetted me in multiple ways in myentrepreneurial venture.”

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Chandrika Pasricha’s Flexing It: Flexible Working=Maximum Job Satisfaction,... Interview with Chandrika Pasricha

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are still at a nascent stage in our journey and each day is a reminder that my prior experiencehas been invaluable... and that there are many, many things that I need to learn still!

2. What have been your experiences in the need for either flexi-working or flexibleworking during the 15 years of your illustrious consulting career?

Having worked with multiple clients across a wide spectrum of industries across geographiesduring my consulting career, I realized that while specific sectors and individual companiesmay vary in terms of their business and resource requirement, certain core principles remaincommon. For instance:

• The need to offer flexibility as a core strategy to retain high-performing talent.This flexibility could vary in terms of capacity, roles, options to work remotely, etc.This is a key expectation today amongst most senior professionals as well as themillennials i.e., the ability to craft a meaningful portfolio of work while havingcontrol over their schedules, working style and balancing personal life along withthe professional commitments.

• The need to maintain flexibility in terms of costs as a business priority, given aconstantly changing environment. This leads to more creative thinking on howwork can be delivered, what capacity is needed for base load delivery versusadditional resources that can be brought on board as needed.

• Greater focus on deliverables and skills which leads to change in how the HRteams and professionals think about learning and skill development.

3. What motivated you to leave a cushiony/high-paying job? Did your personalexperiences influence you to take the entrepreneurial plunge?

I had been in Management Consulting for over 15 years and was ready for a new challengewhen I decided to turn entrepreneur. However, the primary reason was the need I noticedin the market for a platform like Flexing It. While we had multiple solutions to help peoplefind regular jobs, both online job sites and offline search firms, there was absolutely nosolution catering to connecting the demand and supply of short-term project-based andflexible skills.

There are two core beliefs underlying the premise of Flexing It: one, there is a large andgrowing number of professionals who want to adopt a more creative route to craftingtheir careers and portfolio of work; and two, that organizations are realising that a formalemployment contract does not guarantee commitment and delivery. This realization, coupledwith the fact that there are no platforms in India that currently help meet this importantand growing need for professionals and companies, prompted us to take the plunge.

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Flexing It caters to people with experience, who care deeply about their professional lifeand being valued fairly, but want to be creative in achieving these goals. We provide themthe ability to craft a great portfolio of work at the pace they want, and reduce the risk ofworking independently by providing access to a large number of quality assignments thatwe source and bring to the platform.

For organizations, Flexing It is a great way to obtain skilled resources for the duration andintensity they need. Our platform provides access to a large pool of qualified professionalswith depth in their functions and industries of focus. You can structure assignments andbring on skills at a pace your organization needs, while still retaining a flexible cost structure.

Our vision at Flexing It is to create a transparent, efficient and effective way for the demandand supply of short-term, flexible professional skills to connect. We want to nurture andsupport a new model of employment, one that is better suited to the flexibility that manyprofessionals and organizations will require in the coming years and decades.

4. What were the specific influencers, motivators for you to have chosen this line ofbusiness?

Our blog: http://www.flexingit.com/blog/the-seed-2/, will help to throw some light on theanswer to the question.

II. Flexing It

5. What is the difference between flexi-working and flexible working? What implicationsdo you think they have for India Inc.’s HR?

• Flexi working usually refers to either part-time or work-from-home arrangements thatcompanies offer their employees in order to retain talent.

• Flexible working is a much broader concept that looks at ways in which work andimpact of that work can be delivered in newer, productive ways. Flexible workingencompasses project-based work, consulting assignments, advisory roles, part-timefunctional leadership roles (part-time CFOs, HR Heads), as well as part-time and workfrom home arrangements.

• There are several implications – firstly, flexible working allows companies to managemanpower requirements for base load and peak load separately, by allowing themto hire professionals for short term when certain requirements peak. Secondly,flexible working allows them to access high quality talent and expertise for a shortburst and a specific purpose, at a fraction of the cost of having to hire them

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full-time. Thirdly, this requires HR to start thinking about how they can engage adispersed workforce that is brought on board in multiple different ways, not all ofwhom may work from the office!

6. What were the initial thoughts that have gone into Flexing It’s business dashboard?

Some of the underlying characteristics that make our business model unique are:

Firstly, our focus is on creating a curated platform – each profile is required to fill out adetailed skill architecture, in addition to submitting their resume, after which vetting ofevery profile vis-à-vis publicly available information is done and only then approved.

“I took multiple approaches to get inputs onand to validate the idea.”

Secondly, we have a focused, instead of broad-based, outreach for each role to ensurecompanies get relevant applications.

Thirdly, we have recently launched our own proprietary matching algorithm, FlexScore™that identifies the degree of ‘match’ for an assignment based on parameters such assub-skills specified, similar positions held, experience, industry and location. This intelligentheuristic helps organizations view the most relevant profiles (or projects in the case ofprofessional users) first, making short listing and connecting much more efficient.

You can read our blog cited here to get more details on the algorithm: http://www.flexingit.com/blog/introducing-flexscoretm-get-that-perfect-fit-for-any-role-or-skillset-45/

7. Did you toss up your initial business model with the relevant stakeholders (potentialemployers/companies/clients and potential employees/clients)? If yes, what has beenthe initial response? If no, do you think it would have been appropriate to do so?

Yes, I took multiple approaches to get inputs on and to validate the idea:

First, I discussed the idea with friends, family and colleagues when the plan was still at aconceptual stage to get critical feedback and questions on the core concept. I then wrotethe concept underlying Flexing It and the first version of the ‘business plan’.

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Second, once I had the basic plan penned down I had discussions with select mentors andadvisors to get their suggestions and thoughts on the need as well as what it would take todeliver well.

Third, we spoke to potential users, both companies and professionals to understand theirneeds, what they would like to see on such a platform, etc. We also conducted a formalsurvey to get additional inputs so that we could further validate.

Overall the discussions validated that there was an immense need for a platform thatprovides an organized way for the demand and supply of short-term, flexible skills to connecttransparently and easily – this was a white space in India then. Hence, I had enoughconfidence that there was sufficient demand for what we were going to offer and ourcurrent success has reinforced that belief.

8. What were the initial challenges (people, processes/operations, funding, revenues,etc.) that you faced in making Flexing It take-off? How have these challenges beenfared over the last 2 years?

When I started out, it was all about getting the foundations in place – I was doing everythingmyself ranging from – figuring out how to register a company, to developing the businessmodel, to reaching out to companies and testing the idea. Many challenges are involved instarting a company – how to create a team that believes in the idea and can commit to

building a company, how to manage operations when you don’t have the traditionalinfrastructure of a big organization, etc. I largely adopted a structured approach to dealwith the challenges and also realized that it is important to stay persistent, committed andpatient if you are building something for the long term.

As time progressed, I built a team around me to help manage day-to-day operations andmarketing and I am gradually shifting my focus towards more strategic issues. One of thepractices we follow to work effectively as a team is to have a dashboard of metrics that wetrack and use to define priorities for each team member. We also do regular team discussions– on operational as well as more strategic issues – so that we are aligned on criticalpriorities in the short and more medium term.

“One of the practices we follow to workeffectively as a team is to have a dashboard ofmetrics that we track and use to definepriorities for each team member.”

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With regards to funding, Flexing It has been self-funded from the beginning and continuesto stay that way. I take on limited consulting assignments and use those earnings to fundthe core operations of the venture. While there has been some early interest from potentialinvestors, we are keen to reach to a certain scale and be extremely sure of what theexternal funds will support us in, before we trudge on this path.

Over the past year, the platform has been free to access for our users to test the quality ofthe bench, and for us to use their feedback to strengthen the matching process. We havenow started monetizing and charging companies and revenues have started coming in.

9. What is Flexing It’s business/operating/revenue model? Was it tweaked in the last 2years or did it stay the same way as envisaged? If tweaked, what were the compellingfactors?

For the first year, the platform was free to access for our users to test the quality of thebench, and for us to use their feedback to strengthen the matching process. Based on theexperience and understanding gained, we are initiating two packages for organizationsposting assignments with us: MyFlex and SuperFlex. MyFlex is the basic model, where thecompanies post the assignment and screen profiles free of charge, and pay only whilecontacting any candidate. Organizations that opt for SuperFlex get active support from anAccount Manager to create/post assignments, screen profiles, custom search, help sourceexpertise on urgent basis and also maintain confidentiality if needed.

10. Can you share with us (with approximate figures) the business growth of Flexing Itover the last 2 years?

We have grown to 5,400+ professionals registered, 600 organizations registered and morethan 600 assignments posted in last 2 years. We have seen a 200%+ growth in users on ayear-on-year basis.

11. After running Flexing It for two successful yet challenging years, what do you thinkwould be the critical success factors for it to gain the desired traction?

Critical success factors for us are:

• Building greater awareness regarding our platform and brand and scaling up ourmarketing efforts

• Continue to refine our product features and offerings, for both the professionals andorganizations that use our platform

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III. Responses

12. What kind of companies/industries have been opting/showing inclinations for havinga flexible workforce?

The interest in and usage of our platform is across types of companies and also industries.Over half of the organizations registered with us are Startups and SMEs, followed byMNCs/large companies, professional services firms and PE/VCs/investors.

These organizations are from different industries – 17% are Consulting firms, 15% aredevelopment/not for profit, 15% from IT and Telecom, 13% from Education, 8% fromHealthcare, 7% Retail, 6% FMCG, 6% Banking Services & Financial Institutions. Other sectorsinclude – Advertising and Media, E-Commerce, Energy Companies.

Some example roles on our platform:

• A leading FMCG player needs consultants to support new product launch andchannel assessment

• A global management consulting firm looking for senior consultants to grow a newfranchise

• Remote Part-time CFO for a Consulting firm

• A leading investor looking for support to research and define the strategy formicro-finance investments in India

• A new Agri-services startup needs a senior Marketing Consultant

The below given blogs have examples of how startups are leveraging us as well:

• http://www.flexingit.com/blog/from-the-mouths-of-startups-making-freelancing-work-40/

• http://www.flexingit.com/blog/startup-start-out-how-startups-can-benefit-from-freelancing-36/

13. How have been the responses of employees and employers to the concept of flexibleworking? How have they taken to it?

We think that the perception of flexible working is truly changing. Startups are a veryimportant user base for us and it has been a useful resource for them to hire expertise ona need basis. The huge growth in startups and new entrepreneurial ventures is leading toa segment of companies that are looking for qualified professionals while also managingwithin constrained resources. The current economic climate of slowing growth and

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uncertainty is increasing the openness to non-traditional models of employment. Anothertrend we see from the companies’ viewpoint is the growing realization that skills andmind-set matter more than contractual arrangements whereas on the professionals’ part,we see a rise in the number of people choosing to work flexibly while building a portfolioof careers.

You may also refer to our blog cited here:

• http://www.flexingit.com/blog/the-rise-and-rise-of-independent-workers-in-india-33/

“The biggest challenge has been gettingemployers to think about work differently i.e.,as deliverables vs activities, which is criticalin a flexible working model.”

14. What according to you have been the three major challenges in convincingemployees/employers on the need for opting for a flexible working format?

I think the biggest challenge has been getting employers to think about work differentlyi.e., as deliverables vs activities, which is critical in a flexible working model. Anotherchallenge is how do you ensure appropriate compensation for senior professionals forshort-term assignments – unlike in the developed world, the concept of hourly billing ratesor paying for expertise is relatively new in India, and publicly available data on expectedcompensation is limited. A third challenge is for individuals to take charge of crafting theirown portfolio of work, and letting go of dependence on the employer, to do their careerplanning for them.

You may also refer to our blog cited here:

• http://www.flexingit.com/blog/not-everyone-will-go-the-yahoo-and-hp-way-25/

15. Have you noticed any priorities or apprehensions for flexible working based on thefollowing:

a. Gender b. Geography c. Pedigree

d. Age e. Income Level

Contrary to popular belief, flexible working is almost equally sought after by both men andwomen – almost 60% of our registered user base is men. Geographically, professionals inmetros are typically more open to flexible working given better availability of options in

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terms of opportunities though we have started to see an increase in professionals fromtier 2/3 towns as well. Flexible working is more preferred by senior professionals as comparedto entry level employees – senior professionals (>10 years’ experience) make up morethan 50% of our professional base.

We have done some research on the various segments of freelancers in India, the findingsare captured in the following:

• http://www.flexingit.com/blog/decoding-indias-freelancers-growth-optimism-but-the-need-for-much-greater-organisation-17/

• http://www.flexingit.com/blog/new-segments-of-freelancers-emerging-20/

• http://www.flexingit.com/blog/qualified-experienced-keenyet-underutilized-getting-moms-back-into-the-workplace-39/

IV. The Future of Work

16. What would be the impact of flexible working on HR mandate? Would there be anylegal disadvantage for flexible workforce and thus licensing the companies to abetany wrongdoing?

The implications are:

• The need for HR to be more deliverables oriented when they think about work andassignments

• Need for HR to clearly define the benefits due to a contractor or consultant orpart-time resource vs a regular employee so that there is no confusion.

“Flexible working is more preferred by seniorprofessionals as compared to entry levelemployees.”

17. Would flexible work format not endanger the employee loyalty and employeeengagement?

Employee engagement is increasingly being seen as more to do with the attitude ofcompanies and professionals, vs whether one is full- or part-time, a regular employee or aconsultant.

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18. Quite a few people point out that flexible working might foster unethical practicesamongst employees opting for flexible work format. Do you agree? If yes, whatprecautions should be taken? If no, what can be the relevant counter arguments?

No, not at all. In fact, we believe flexible working helps professionals to have a work-lifebalance and acknowledge ethical behavior. In fact, a survey conducted by Deloitte & Touchésays that – “A good work-life balance and high levels of job satisfaction promote ethicalbehavior among employees.”1

Also, we typically advise companies to sign a formal contract with the individuals they arehiring for any flexible working projects, so that all norms and confidentiality requirementscan be adhered to.

We also see that in a country like India, a lot of professionals are equally concerned aboutgetting paid, so concerns about professionalism are not one-sided but certainly not thenorm, from what we can see.

19. What do you think are the encouraging trends and disturbing trends for flexibleworking format in India?

Our view is that we are in the midst of a major change in how work will be delivered in thefuture. In India, while we can argue that the pace of change remains to be seen, the trendis definitive and we are likely to see several new ideas and models emerge to cater to thisneed.

First, while freelancers in the past were usually temporary, contingent staff managed bystaffing firms, we are now seeing the emergence of truly independent consultants andprofessionals building their own brand and work portfolio. Second, we are seeing theemergence of the mainstream freelancer, i.e., the independent Strategy Consultant,Outsourced Marketing Lead, part-time Finance and HR Head, looking to build a high qualityportfolio of work based on his/her expertise.

In fact, in a survey Flexing It undertook to understand India’s freelancers, we found thatalmost 70% were drawn from core management functions vs technical and creative fieldswhich have traditionally been a sweet-spot for freelancers.

Third, a core driver to opt for freelancers in the past was to offshore work to skilledprofessionals but with a primary emphasis on cost. While cost of course will always be

1 Ellen Wulfhorst, “Work-life Balance Boosts Workplace Ethics: Survey”, http://www.reuters.com/article/2007/04/16/us-work-idUSN1631548120070416, April 16th 2007, (accessed date: October 19th 2014)

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important, we are now seeing demand emerge for a lot more local skills on an on-demandbasis with a greater focus on quality.

The below cited two blogs have relevant information on trends we see globally and inIndia:

• http://www.flexingit.com/blog/the-big-four-trends-that-are-transforming-the-freelance-world-44/

• http://www.flexingit.com/blog/the-evolving-workplace-trends-that-will-solidify-in-2014-29/

20. With practices such as flexible working gaining importance, we are witnessing theprevalence of virtual offices and distributed offices. According to you, what is thefuture of workspace?

As flexible working picks up pace, the workspace will also evolve in parallel though itremains to be seen how quickly the changes will happen. We can see the future workspacehaving many more people working remotely/from home, as well as many more co-workingspaces with shared infrastructure. If yesterday’s workplaces were primarily built aroundthe ideas of efficient space planning, practicality and longevity, and in some cases, also toreflect the company’s culture, tomorrow’s will be planned for and around people. Businessesare realizing the powerful role that thoughtful design can play in enhancing employeeperformance. Design specialists now take into account everything from temperature, indoorair quality, access to nature and daylight, color of office furniture and crowding in order tocreate contemporary offices. Furthermore, workplaces will increasingly be built to supportinteraction, collaborative working, creativity, innovation, flexibility and mentorship, becausethat is the new way organizations are operating. Sophisticated branches such as ‘Humanfactors’, an area of workplace psychology that focuses on ergonomics, safety, productdesign, human capability, reduction of human error and human-computer interaction, aregradually gaining relevance in the newly being built workplaces.

CHANDRIKA PASRICHA'S FLEXING IT: FLEXIBLE WORKING = MAXIMUM JOB SATISFACTION, OPTIMUM VALUE!

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