Lalu turns down IIM offer for rail advisory board

Railway Minister Lalu Prasad today reportedly declined an offer from a group of academics for setting up an advisory board for the railways.

The academics,.led by IIM-Ahmedabad Prof G Raghuram, had suggested that such a board should comprise experts from the IITs, IIMs and other institutions who would interact regularly to improve the railways' functioning.

According to reports, Prasad also declined another suggestion from the delegates that he take the title of "CEO" of the railways, following its spectacular performance during his two years as railway minister.

Despite the suggestion for improving the railways' performance, the IIM Ahmedabad professor is convinced that railway minister Lalu Prasad's style of functioning has indeed been a factor in the railways' turnaround. Prof Raghuram and his team are also conducting a three-month study on the railways in an effort to document the turnaround saga.

Speaking to Business Standard, Prof Raghuram said Lalu Prasad has created a corporate culture in the ministry and also provided the railway officials with the necessary political support to push through crucial decisions.

"The only question that now needs to be asked is whether this corporate culture can be maintained once there is a change in the political leadership of the ministry."

According to Prof Raghuram, the railway minister has been able to speed up the decision-making procedure in the railways.

"Earlier, it was difficult to implement big projects because the various departments that had divergent views would not arrive at a consensus. But now there is pressure from the top to arrive at a solution," said Prof Raghuram on the sidelines of the general managers' meeting of the railways chaired by the railway minister.

Earlier in the day, Lalu Prasad urged the general managers present to increase internal generation to Rs 20,000 crore this fiscal. He also set an operating ratio target of 77 from the present figure of 83.