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The Art of Building a 2,400-Person Organisation In 21 Months Ft. Aditya Khera, BMW TechWorks India — Transcript

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  1. 0:09So very often the trick, you know, if
  2. 0:11you are sort of managing a team,
  3. 0:12managing a function, managing an
  4. 0:14organization,
  5. 0:15uh the trick is never to have all the
  6. 0:19right answers.
  7. 0:20The trick is
  8. 0:22do you ask the right questions to really
  9. 0:24understand
  10. 0:26and break that complexity of a problem
  11. 0:30into strategic chunks, into business
  12. 0:33levers. When you have product ownership,
  13. 0:35you're not waiting for instructions.
  14. 0:38You're not waiting for requirements.
  15. 0:40You define the requirements, so you have
  16. 0:42shifted left, you are upstream now.
  17. 0:43Because you own the product, you define
  18. 0:46the requirements, and then you build it,
  19. 0:47release it. You know, for decades we
  20. 0:49have loved our car.
  21. 0:51It's time for cars to love you back,
  22. 0:54right? So, which can only happen with
  23. 0:56intelligence and and software. And I
  24. 0:58think one of the biggest promises why
  25. 1:00software is such a game-changer is that
  26. 1:02it keeps your car current, right? It
  27. 1:04doesn't hook you to model year.
  28. 1:16>> Most GCC leaders inherit an
  29. 1:18organization.
  30. 1:20Aditya Khera
  31. 1:21inherited an idea. In 2024, BMW Group
  32. 1:25and Tata Technologies came together to
  33. 1:27create BMW Tech Works India, a new
  34. 1:31technology organization that would work
  35. 1:33across automotive, software, IT, and
  36. 1:37engineering. It started with about 100
  37. 1:40odd people, and within months, it it
  38. 1:42crossed 1,000.
  39. 1:45But the more interesting story isn't how
  40. 1:48quickly it hired.
  41. 1:49It It's what it was being built to do.
  42. 1:53Today, I have the person building that
  43. 1:55capability in India, and the person who
  44. 1:58has had an unusual journey himself
  45. 2:00across functions, businesses, and
  46. 2:03geographies. Aditya, welcome to GCC
  47. 2:05Unplugged.
  48. 2:06>> Thank you, Sourav.
  49. 2:07>> So, as I said that you had a very
  50. 2:09unusual journey, Aditya. You know, you
  51. 2:11moved across functions, businesses, and
  52. 2:14geographies rather than
  53. 2:15you know, building your career around
  54. 2:17one specialization. So,
  55. 2:20was that deliberate or you know, did
  56. 2:22your career only start making sense
  57. 2:25you know, when you look at it you know,
  58. 2:27from
  59. 2:29look at it backwards?
  60. 2:31>> I think it's a bit of both.
  61. 2:33So,
  62. 2:34when I took those choices, they were
  63. 2:36deliberate, but I didn't know how the
  64. 2:39dots would connect. So, it looks uh
  65. 2:44it looks like it sort of fell in place
  66. 2:46so far, but I I didn't think I had a
  67. 2:48grand plan. So, my motto was very clear.
  68. 2:52Uh when the learning curve was flat and
  69. 2:54I thought I'd given it all to the
  70. 2:55organization, I wasn't adding you know,
  71. 2:58more value than I could possibly and
  72. 3:01so, you know, there was a time when you
  73. 3:03know, you could take a plunge into
  74. 3:04another opportunity and since
  75. 3:07I
  76. 3:07I was fortunate to be part of Tata
  77. 3:09Administrative Services
  78. 3:11where there is actually the system
  79. 3:15nudges you to experiment in the first
  80. 3:17few years
  81. 3:19and then you anchor down.
  82. 3:20So, it was a bit of both.
  83. 3:22>> Okay. All right. So, since you've
  84. 3:24mentioned Tata Administrative Services,
  85. 3:26what did the
  86. 3:27what did the experience really
  87. 3:30teach you about leadership that you
  88. 3:33know, you would not have learned by
  89. 3:34probably becoming a
  90. 3:36specialist maybe?
  91. 3:38>> I think you know, when we were
  92. 3:40in TAS, at least for me, one of the
  93. 3:43bigger fears was
  94. 3:46that you
  95. 3:47enter into a company
  96. 3:50at somewhat inflated grade
  97. 3:53and you have no depth
  98. 3:56and you're supposed to lead a team which
  99. 3:59has been in the industry for you know, a
  100. 4:02decade or two.
  101. 4:03And it was very intimidating.
  102. 4:06So, I think there are few things that I
  103. 4:07learned.
  104. 4:08One is
  105. 4:10respecting people who have domain
  106. 4:13knowledge, right? Because you can never
  107. 4:15catch up to that, right? So, you have to
  108. 4:18defer to them on certain decisions,
  109. 4:21certain issues. Uh
  110. 4:24equally, uh
  111. 4:25when you tend to move in the early
  112. 4:27stages,
  113. 4:30you quickly get into this knack of
  114. 4:33really
  115. 4:34distilling the core of the issue you're
  116. 4:36dealing with. You
  117. 4:38learn to ask the right questions.
  118. 4:42So, very often the trick, you know, if
  119. 4:43you are sort of managing a team,
  120. 4:45managing a function, managing an
  121. 4:46organization,
  122. 4:48uh the trick is never to have all the
  123. 4:51right answers.
  124. 4:53The trick is
  125. 4:55do you ask the right questions to really
  126. 4:57understand
  127. 4:59and break that complexity of a problem
  128. 5:03into strategic chunks, into business
  129. 5:05levers
  130. 5:06that you then monitor
  131. 5:08by depending on the same specialist, by
  132. 5:10hiring, you know, team members who can
  133. 5:12commit to the cause.
  134. 5:14So, if I were to distill back,
  135. 5:17I think this
  136. 5:19movement from
  137. 5:20function to another function, region,
  138. 5:24industry, I think it gives you a lot of
  139. 5:26perspective and it it gives you a range
  140. 5:30and you can start connecting the dots
  141. 5:33that maybe somebody deep into a field
  142. 5:36may fail to connect. Yeah, so that gives
  143. 5:39you a vantage point, so it's an
  144. 5:41advantage.
  145. 5:43Uh
  146. 5:45I never consider it a disadvantage
  147. 5:47because I don't think I can ever catch
  148. 5:49up to a specialist. So, my
  149. 5:52style is to ask the right questions,
  150. 5:54understand, help them understand where
  151. 5:57strategically the bottlenecks are and
  152. 5:58help them solve it. And I think that's
  153. 6:01how you develop mutual sort of trust and
  154. 6:03respect. So,
  155. 6:04never doubting your domain specialist,
  156. 6:06always respecting them.
  157. 6:08Uh getting a perspective because you
  158. 6:09have
  159. 6:10seen several situations in several
  160. 6:11industries, so you can connect the dot
  161. 6:13connect the dots and sort of arrive at a
  162. 6:14pattern that somebody deep in a tunnel
  163. 6:16may not be able to uh and then just ask
  164. 6:19the right questions, distill complexity
  165. 6:21of a problem into chunks and business
  166. 6:23levers that you monitor uh and let the
  167. 6:26team of expert specialist do their job,
  168. 6:29give them the autonomy and the respect
  169. 6:31they they deserve.
  170. 6:32>> So, talking about specialist uh
  171. 6:34Aditya and you know, today technology
  172. 6:36increasingly rewards uh
  173. 6:39you know, deep specialist, be it AI
  174. 6:41engineers, cybersecurity experts,
  175. 6:44uh software architects, and all.
  176. 6:47Yet, you know, your career is almost an
  177. 6:50you know, sort of an uh
  178. 6:52argument for a generalist. So, do you
  179. 6:54think in you know, this age and time,
  180. 6:57we've started uh undervaluing a person
  181. 7:01who used to be called a general manager?
  182. 7:04>> So, one of my ex bosses used to say
  183. 7:08um
  184. 7:10that eventually you need to be a
  185. 7:11T-shaped professional.
  186. 7:12>> Yeah.
  187. 7:13>> Right?
  188. 7:14So, the horizontal part of the T comes
  189. 7:16with lateral movement that happened for
  190. 7:18me.
  191. 7:19But at some point of time, you need to
  192. 7:20anchor down in an industry
  193. 7:22and have some roots. Now,
  194. 7:25if I talk about myself,
  195. 7:27um I went from
  196. 7:29a refrigeration company to a chemicals
  197. 7:32commodity company to Bombay House.
  198. 7:35Uh
  199. 7:35and then
  200. 7:37I decided to anchor down in digital and
  201. 7:39engineering services. So, that's been my
  202. 7:41anchor from 2016 onwards, right?
  203. 7:44Now,
  204. 7:45the point I'm trying to make is that
  205. 7:49there is there is
  206. 7:51little merit if in being only a
  207. 7:54generalist.
  208. 7:55You need to have some anchor point.
  209. 7:57Right? So, some of my peers who moved
  210. 7:59companies,
  211. 8:00they
  212. 8:02created a specialization in a function.
  213. 8:04So, they may have started with marketing
  214. 8:06for a salt, then they moved to tea to a
  215. 8:09commodity but they maintained a core.
  216. 8:12Uh for me the core was strategy sales
  217. 8:15and business development. So I
  218. 8:16maintained my core while I shifted
  219. 8:17industries.
  220. 8:19And then from an industry perspective
  221. 8:20itself I anchored down.
  222. 8:22So
  223. 8:24if you have an anchor point
  224. 8:27to me generalist can actually create a
  225. 8:31lot of impact. Going back to the first
  226. 8:34response I made that you know you just
  227. 8:35need to understand the business.
  228. 8:37Uh if you have a core and you have seen
  229. 8:39the world you can connect the dots
  230. 8:41faster and you can sort of make things
  231. 8:42move.
  232. 8:44Uh
  233. 8:45I I know where you're getting from
  234. 8:47because uh
  235. 8:48the industry in general is you know
  236. 8:50maybe getting more nerdy and geeky. Uh
  237. 8:53but I think at the end of the day
  238. 8:56if you're running a big function or a
  239. 8:57company you need an orchestrator.
  240. 9:00And by definition if you're
  241. 9:01orchestrating you're juggling too many
  242. 9:02balls you can't be expected to be
  243. 9:04specialized in all of them.
  244. 9:06>> Yeah. Yeah.
  245. 9:07Absolutely true. Yeah.
  246. 9:09So you know Aditya so when you
  247. 9:12took over the current role it also meant
  248. 9:15that you have to you know shift bases
  249. 9:18and you know
  250. 9:20bring your family back to India from
  251. 9:23being in the US.
  252. 9:25While we tend to talk about career moves
  253. 9:27as if you know they happen in
  254. 9:29some sort of a
  255. 9:31vacuum.
  256. 9:32Uh how difficult was that decision for
  257. 9:36you personally?
  258. 9:37>> Very difficult. Uh
  259. 9:40So I think you know we have moved quite
  260. 9:42a bit. I was actually
  261. 9:45calculating the other day with my wife.
  262. 9:47Uh we've been married 18 years.
  263. 9:49And we have moved 11 houses.
  264. 9:51>> 11 houses.
  265. 9:52>> So we haven't The average is not even 2
  266. 9:54years. So we haven't stayed in the place
  267. 9:55for more than 2 years right? Uh of
  268. 9:58course all credit to her sort of for
  269. 10:00keeping up with this and sort of helping
  270. 10:02me navigate
  271. 10:04uh my career.
  272. 10:05Uh
  273. 10:07I would say initial few stints when we
  274. 10:10were hopping countries and continents,
  275. 10:12were quite enjoyable.
  276. 10:14Uh
  277. 10:15but
  278. 10:16this specific move from US to India was
  279. 10:20painful to begin with. I had a lot of
  280. 10:22guilt, and I think every working
  281. 10:24professional would have some guilt
  282. 10:25because while from a career point of
  283. 10:27view
  284. 10:28uh it
  285. 10:30it was really looking like a great move.
  286. 10:33Uh personally, it was more painful
  287. 10:35because kids were of a certain age where
  288. 10:37they had stayed
  289. 10:39maximum in the US for their lifetime of
  290. 10:42all the countries.
  291. 10:44Uh and I was worried about their
  292. 10:46education, how fast would they settle
  293. 10:48down in India, uh what are their chances
  294. 10:50of going back and study, and you know,
  295. 10:52some of these thoughts you still wrestle
  296. 10:54with. Uh but that's that's really uh
  297. 10:57part of the journey. Uh but I can only
  298. 10:59be grateful to my family uh because, you
  299. 11:02know, even the
  300. 11:03the teenager son kind of, you know, gave
  301. 11:06in, and I think that's what he is happy
  302. 11:08now. Uh but it it comes, and I think it
  303. 11:10increasingly gets difficult. Uh and
  304. 11:12every such move then you have to
  305. 11:15watch out for the trade-off between
  306. 11:16what's great professionally, but am I
  307. 11:18causing a lot of anguish?
  308. 11:21Uh and uh is it really good move, you
  309. 11:24know, for kids specifically?
  310. 11:26>> Yeah.
  311. 11:27It's not you alone. It's like the entire
  312. 11:30the entire family and everyone. Yeah, I
  313. 11:32can understand. So, you know,
  314. 11:34uh the most GCC leaders, you know, as I
  315. 11:36was
  316. 11:37saying, inherit an organization, you
  317. 11:40know, and what you essentially inherited
  318. 11:42was sort of a
  319. 11:44a blank sheet of paper.
  320. 11:46And when you arrived, and there were
  321. 11:48roughly 100 people at that point in
  322. 11:50time, as I mentioned. So, what was the
  323. 11:52first thing
  324. 11:55you knew that you have to absolutely get
  325. 11:58right from the very beginning?
  326. 12:01>> So, there were a couple of things.
  327. 12:02Actually, I just wanted to uh
  328. 12:04extend your introduction. So, we grew
  329. 12:07from 100 people to now 2,400 people in
  330. 12:10less than 21 months. Uh and according to
  331. 12:13me, uh the secret sauce was actually I
  332. 12:17would put two elements to it.
  333. 12:19One was right from the beginning when we
  334. 12:21were brainstorming with alongside BMW
  335. 12:24and Tata Technologies.
  336. 12:26We placed a great deal of emphasis on
  337. 12:29culture.
  338. 12:30Right?
  339. 12:31And initially when we we were
  340. 12:33recruiting, the bar was really high
  341. 12:35because we wanted the absolute best.
  342. 12:39The bar is still high, but of course now
  343. 12:40we have a playbook so the process
  344. 12:42doesn't look as intense. We haven't
  345. 12:44diluted the process, but we have many
  346. 12:46people supporting it now. It looked much
  347. 12:48more intense. So we would have four,
  348. 12:50five rounds of interviews.
  349. 12:52So it would be a technical interview, it
  350. 12:53could be a
  351. 12:55coding test, coding assignment.
  352. 12:58Now imagine that somebody has aced all
  353. 13:01of them.
  354. 13:02But the final round was cultural
  355. 13:04interview,
  356. 13:05right? And we were looking for certain
  357. 13:07values, you know, is he a team player or
  358. 13:10is he a solo player?
  359. 13:12Will he be
  360. 13:15collaborative? Will he be Will he or she
  361. 13:17be toxic? So we looked for certain red
  362. 13:21flags because we really wanted the team
  363. 13:22to flourish and not individuals you know
  364. 13:25taking glory.
  365. 13:27And you wouldn't believe Sourav we were
  366. 13:29sometimes looking for real specialists,
  367. 13:31you know, infotainment security
  368. 13:33specialists and sometimes
  369. 13:35despite the funnel not being as strong
  370. 13:38we would reject candidates because
  371. 13:40culturally we thought they wouldn't fit
  372. 13:42in. Right? And and that really helped us
  373. 13:45because
  374. 13:47we believe that you know as a company we
  375. 13:50have attracted certain kind of
  376. 13:51individuals and selected them and that's
  377. 13:54helping us maintain that culture. It's
  378. 13:56It's It's not even a soft aspect for me
  379. 13:57because you can feel culture day in and
  380. 13:59day out.
  381. 14:00Another related part was we gave people
  382. 14:03a lot of autonomy.
  383. 14:05So you can imagine if you're adding 100,
  384. 14:06110 people every month starting from 100
  385. 14:10or you know, zero to begin with because
  386. 14:12we had to recruit those 100 as well, the
  387. 14:14first 100.
  388. 14:15Uh
  389. 14:16we ensure that we get the right leaders.
  390. 14:19Uh they get the right team members and
  391. 14:20then, you know, like I said, get the
  392. 14:22right team and let them do their job,
  393. 14:24right? And that's how we scale so fast.
  394. 14:27And scaling was one part. You also have
  395. 14:29to deliver excellence uh to BMW, who is
  396. 14:32our customer and the most important
  397. 14:34stakeholder for us.
  398. 14:35Uh doing all of this was maddening. It
  399. 14:37was very intense. Um as I said, we have
  400. 14:40a playbook now. Uh but getting the right
  401. 14:43people through the cultural lens and
  402. 14:45then give those people high-caliber,
  403. 14:48high highly collaborative people enough
  404. 14:51autonomy to then
  405. 14:53uh
  406. 14:54sort of follow through on a strategic
  407. 14:55actions and hiring was one of them. And
  408. 14:57that's how we sort of scale.
  409. 14:59>> Mhm. Okay. Okay.
  410. 15:01So, talking about culture at the at the
  411. 15:03year, so BMW
  412. 15:06uh Tech Works has two different sort of,
  413. 15:09you know, very parents you know.
  414. 15:13You know, BMW brings German automotive
  415. 15:15engineering, premium global brand and,
  416. 15:18you know, and Tata Technologies brings
  417. 15:20Indian
  418. 15:21engineering depth, execution at scale,
  419. 15:24those sort of capabilities. How do you
  420. 15:25build you know, you just told about
  421. 15:27playbook culture. So, how did how do you
  422. 15:29build that one culture when you know,
  423. 15:32you essentially have two sort of DNAs
  424. 15:34versus
  425. 15:35>> So, the
  426. 15:37objective was to have our own DNA.
  427. 15:40Okay?
  428. 15:41Now, uh and all credit to our uh board
  429. 15:44members. Uh
  430. 15:47BMW is very clear.
  431. 15:49They don't want a replica of BMW.
  432. 15:51>> Okay.
  433. 15:52>> Right? And it was very deliberate.
  434. 15:55See, any organization as big as BMW have
  435. 15:57their own departments, processes um that
  436. 16:00serves them well because they are so
  437. 16:02huge. Um and so, they need a certain
  438. 16:05layers of processes. They need a certain
  439. 16:08level of hierarchy.
  440. 16:10Um
  441. 16:11and that's that's how a truly big
  442. 16:14organization would function. They were
  443. 16:16very clear that the architecture that
  444. 16:18they would expect from us is more
  445. 16:20flexible. So, for instance, if we are
  446. 16:22running an AIML initiative, it can run
  447. 16:24across departments, right? Which are
  448. 16:27which are
  449. 16:28discrete departments in BMW, but they
  450. 16:30would expect that team to work for all
  451. 16:32possible departments in Munich. So,
  452. 16:34mirroring them was not a great idea. We
  453. 16:36wanted to create an entity that is
  454. 16:39flexible, that is collaborative, and
  455. 16:41that serves BMW's own interest, right?
  456. 16:43So, the idea was always to have our own
  457. 16:44DNA. We had two great benchmarks in our
  458. 16:47parents, right? But every policy
  459. 16:51uh role definition
  460. 16:53organization structure layers
  461. 16:57uh
  462. 16:59the way we sort of define
  463. 17:01responsibilities, right? Everything was
  464. 17:03something that we did on our own. Uh you
  465. 17:06know, one thing that we constantly
  466. 17:08repeat, and that is something that our
  467. 17:09chairman also says, is copy with pride.
  468. 17:11So, if there's something great,
  469. 17:13we will copy, you know, whether it's
  470. 17:14from Tata Technologies, Tata Group, uh
  471. 17:17BMW, but it has to be contextual to us,
  472. 17:20right? Because we want to be nimble,
  473. 17:21collaborative, and serve our
  474. 17:22stakeholders best. And it copying their
  475. 17:26structure, policies, uh everybody agreed
  476. 17:28was a bad idea. So, we wanted to have
  477. 17:30our own DNA, and to to their credit um
  478. 17:35BMW gave us a lot of freedom.
  479. 17:37So, we are not at all a mirror image of
  480. 17:39how they're structured in in uh in
  481. 17:41Munich, quite the opposite, right? And
  482. 17:44uh we
  483. 17:46you know, for instance, there are GCCs
  484. 17:48where there's a lot of parental
  485. 17:51uh overhang.
  486. 17:52Uh we don't have that. We have been
  487. 17:54given complete autonomy to run. Uh of
  488. 17:56course, we align on the basic
  489. 17:58principles, deliverables, what needs to
  490. 18:00be done, but beyond that, we are free to
  491. 18:01run the way we want, so long as the job
  492. 18:04is getting done in the way it it has to
  493. 18:05be.
  494. 18:06>> I think you've already spoken publicly,
  495. 18:08uh you know, about
  496. 18:10work originating in India, and
  497. 18:13your team's contributing to, you know,
  498. 18:15BMW's global agenda. So, at what point
  499. 18:19does, you know,
  500. 18:20uh
  501. 18:21an India center, you know, being
  502. 18:24somewhere, you know, his work is
  503. 18:26allocated uh and become somewhat
  504. 18:28intellectually,
  505. 18:30you know, from there it becomes a place
  506. 18:32where
  507. 18:33uh intellectual, you know, ideas are
  508. 18:35originating. Is that change happened
  509. 18:38already? Where are you on the in the
  510. 18:39journey?
  511. 18:40>> Yeah, so I think it's a journey.
  512. 18:42Uh I think the pinnacle for us, the
  513. 18:44North Star is product ownership. Right?
  514. 18:47Now,
  515. 18:49it's a journey because sometimes we are
  516. 18:51transitioning in new topics.
  517. 18:54And when you're taking a new topics, of
  518. 18:55course, you need some hand-holding.
  519. 18:57Right?
  520. 18:58Then you reach a stage where you have
  521. 19:00autonomy on your deliverables, even if
  522. 19:02it's, you know, a piece of software.
  523. 19:04Then you may have autonomy on group of
  524. 19:06features that you want to enhance.
  525. 19:08And then you have the product ownership.
  526. 19:10Now, product ownership could be uh a
  527. 19:12certain product of an infotainment
  528. 19:14system, right? When you have product
  529. 19:16ownership,
  530. 19:17you're not waiting for instructions.
  531. 19:20You're not waiting for requirements.
  532. 19:22You define the requirements, so you have
  533. 19:23shifted left, you're upstream now.
  534. 19:25Because you own the product, you define
  535. 19:27the requirements, and then you build it,
  536. 19:29release it, right? So, that's the
  537. 19:31pinnacle. And since we are new, we do
  538. 19:33have product ownership uh in in few
  539. 19:35instances, but that's a journey we
  540. 19:37track. And that is what makes at least
  541. 19:40us unique that there's a defined vision
  542. 19:42for us to reach product ownership,
  543. 19:44right?
  544. 19:45And once you own the product, you
  545. 19:47automatically have skin in the game to
  546. 19:49be more innovative, to do things
  547. 19:51differently, uh to create lighthouse
  548. 19:53projects. But that's not the only path,
  549. 19:55because, you know, we do have, you know,
  550. 19:58few patents filed uh in the company
  551. 20:00already. Uh I think um the sense of, um
  552. 20:04you know, being enterprise uh is is
  553. 20:06already there, because it's also related
  554. 20:08to the culture and the lens that we use
  555. 20:09to hire people. Uh so, we do have the
  556. 20:12autonomy to create lighthouse projects,
  557. 20:14um you know, and
  558. 20:17and create something that nobody nobody
  559. 20:20saw coming, you know, whether it's in a
  560. 20:21product or in a feature and then that
  561. 20:24becomes a source for global adoption.
  562. 20:26So, I I can't claim that we have already
  563. 20:29created lighthouse projects, but that's
  564. 20:30the endeavor. From a product ownership
  565. 20:32perspective, we have few instances where
  566. 20:34we have ownership, but it's a journey.
  567. 20:36So, I think once you're aiming for
  568. 20:38ownership,
  569. 20:39everything around innovation gets baked
  570. 20:41into it itself.
  571. 20:43>> Okay. So, talking about, you know,
  572. 20:45patents that
  573. 20:47you just talked about, I don't know if
  574. 20:49this figure is correct, but already five
  575. 20:52patents in last 20 months or so, I
  576. 20:54believe. So, you know, that's a very
  577. 20:56different kind of a
  578. 20:58proposition
  579. 21:00from simply delivering projects for a
  580. 21:04you know, for just a engineering center
  581. 21:06maybe which
  582. 21:08you would the way we usually talk about
  583. 21:10it. So, how do you create an environment
  584. 21:13really for the engineers in India to
  585. 21:16actually think about, you know, IPs and
  586. 21:19inventions rather than just, you know,
  587. 21:21doing the mundane daily work or or
  588. 21:24delivering what have been asked for?
  589. 21:25>> Right.
  590. 21:26>> So, yes, we applied for five patents and
  591. 21:29specifically in digital car. So, and in
  592. 21:32the space of AI, ML, and automated
  593. 21:35driving. As much as I would want to, I
  594. 21:37can't take credit for that because
  595. 21:40because I think it's really, like you
  596. 21:42said, getting the right people,
  597. 21:44creating that environment, and these
  598. 21:47were a group of six, seven
  599. 21:50bright young engineers who thought of
  600. 21:53the gap, of the white space, of the
  601. 21:55novelty.
  602. 21:56Of course, we have a very
  603. 21:59defined process in the BMW Group
  604. 22:01on how you go about
  605. 22:03applying for patents. Of course, we had
  606. 22:05made them familiar, but I think it was
  607. 22:07really they being really proactive. So,
  608. 22:10I mean, if I were to take credit as a as
  609. 22:12a company, we would just credit it on,
  610. 22:14you know, giving engineers the free
  611. 22:16space
  612. 22:17and
  613. 22:18the
  614. 22:20autonomy to choose what they want to do
  615. 22:22and sort of apply for patents.
  616. 22:25Of course, uh in parallel, we are also
  617. 22:28uh creating innovation framework,
  618. 22:30innovation policies, uh incentives uh so
  619. 22:33that more people get inspired by this
  620. 22:36group. Uh we are also giving them a
  621. 22:38place of prominence, so they will be
  622. 22:39speaking to all employees uh and, you
  623. 22:42know, share their experience of how did
  624. 22:43they hit an idea, how did they uh go
  625. 22:46about applying for a patent, what's the
  626. 22:48process. Uh so, we'll of course uh keep
  627. 22:50leveraging this, uh but I think the
  628. 22:53short answer to this would be really
  629. 22:55giving them the freedom and autonomy um
  630. 22:57and uh
  631. 22:58when we hire, we do look for these
  632. 23:00sparks, uh and I think hopefully that
  633. 23:02work, but I can't claim credit of
  634. 23:04creating a very fantastic ecosystem and
  635. 23:06structure that led to this. It was
  636. 23:08credit credit to the team. I think all
  637. 23:09we could do was give them an
  638. 23:10environment.
  639. 23:11>> Well, that's very important because that
  640. 23:13gives them
  641. 23:14the freedom to experiment and, you know,
  642. 23:17if you leave a smart person to
  643. 23:19experiment, I'm sure he's going to do
  644. 23:21something uh good with the time that
  645. 23:23he's using for that experiment, I'm
  646. 23:26sure. So, you know, for
  647. 23:29for more than, you know, centuries,
  648. 23:31you know,
  649. 23:32you know, differentiation in automobiles
  650. 23:34usually was, you know, all about
  651. 23:36mechanical engineering, how fast it
  652. 23:38goes, what, you know, you know, sturdy
  653. 23:41it is and all those things, you know.
  654. 23:44But if if software increasingly
  655. 23:47kind of determines what the customer
  656. 23:50experience would be, then does that
  657. 23:52fundamentally uh
  658. 23:55change the, you know, automotive uh
  659. 23:57industry altogether or a company for for
  660. 24:00that matter?
  661. 24:01>> Yes, as I as I keep saying, so
  662. 24:04mechanical engineering really is the
  663. 24:05foundation. Right?
  664. 24:07Um many of the brands are built on
  665. 24:10promise of mechanical engineering,
  666. 24:11right? Whether it's your speed, you
  667. 24:14know,
  668. 24:14>> Safety.
  669. 24:15>> safety um
  670. 24:17joy of driving. So, BMW is joy of
  671. 24:19driving. So, these are promises made,
  672. 24:21you know, on the on the mechanical side
  673. 24:23of it.
  674. 24:24So, mechanical foundation is absolutely
  675. 24:25necessary, but no more sufficient,
  676. 24:28right? Because
  677. 24:29they say, for instance, that, you know,
  678. 24:31the styling, the design, the raw power,
  679. 24:34safety can get a passenger in when they
  680. 24:37want to buy,
  681. 24:38but it won't really hold them anymore.
  682. 24:40You know, you need
  683. 24:41>> Retention will be
  684. 24:42>> Retention will be difficult. So, I think
  685. 24:43it's really the software layer that
  686. 24:46differentiates
  687. 24:47uh
  688. 24:48one
  689. 24:49from the other.
  690. 24:51Uh and, you know, software is becoming
  691. 24:53so critical that, you know, people want
  692. 24:56the car to be an extension of
  693. 24:57themselves, right?
  694. 24:59Uh customization, personalization, uh
  695. 25:02uh safety, automated driving, people
  696. 25:04want every feature possible. Uh one of
  697. 25:07the industry leaders, I can't remember
  698. 25:09who, but he said that, you know, for
  699. 25:10decades we have loved our car.
  700. 25:13It's time for cars to love you back,
  701. 25:16right? So, which can only happen with
  702. 25:18intelligence and and software. And I
  703. 25:20think one of the biggest promises why
  704. 25:22software is such a game changer is that
  705. 25:24it keeps your car current, right? It
  706. 25:26doesn't hook you to model year. So, if I
  707. 25:28buy a car in 2026
  708. 25:31and in 2030, I don't want to look like,
  709. 25:34you know, I'm already driving an
  710. 25:35outdated model, which was the case in
  711. 25:37the mechanical era, right? I mean, I
  712. 25:39think software makes it possible for you
  713. 25:41to for to be forward and backward
  714. 25:42compatible
  715. 25:44through features, OTA updation, etc.,
  716. 25:46right? So, software increasingly is the
  717. 25:48layer where a lot of focus is natural
  718. 25:51because that's where the point of
  719. 25:52distinction is.
  720. 25:54It's mechanical will remain the
  721. 25:56foundation, you know, but you just have
  722. 25:57to build on top of it.
  723. 25:59>> So, you know, talking about this,
  724. 26:01and I know that there are a lot of
  725. 26:02people who love to have so many features
  726. 26:05and being very comfortable while driving
  727. 26:07etc. So, while developing these
  728. 26:10features, you So, taking that cue and
  729. 26:12you've talked about
  730. 26:15that the AI opportunity in engineering
  731. 26:18goes well beyond, you know, just
  732. 26:20writing, you know,
  733. 26:22codes faster. So, where do you see the
  734. 26:24much bigger productivity,
  735. 26:27you know, breakthrough across the entire
  736. 26:30engineering
  737. 26:32life cycle if I may put it that way.
  738. 26:34>> Yeah, I think uh my comment was really
  739. 26:36when we look at AI productivity
  740. 26:39the natural focus and disproportionate
  741. 26:41focus is on software development and
  742. 26:43coders, right? But writing
  743. 26:47millions of lines of code extra is only
  744. 26:49going to create bottleneck down the line
  745. 26:51and we don't even have capacity being
  746. 26:53the sense the industry may not even have
  747. 26:54capacity to sort of validate those
  748. 26:56codes, right? So, the the promise of AI
  749. 27:00can be leveraged when we look at it from
  750. 27:03end to end. So, across the software
  751. 27:06development uh life cycle, yeah.
  752. 27:08And I think everybody is sort of trying
  753. 27:10to feel their way.
  754. 27:12Uh so, right from defining the intent
  755. 27:15and the requirement architecting it
  756. 27:18coding it, building it, testing it,
  757. 27:21releasing it, right? Now
  758. 27:25the
  759. 27:27challenging bit
  760. 27:28is
  761. 27:30in industries like automotive
  762. 27:32is that we deal with a lot of safety
  763. 27:33critical applications. Right?
  764. 27:36So, no matter how much you rely on AI
  765. 27:39uh you will have to do physical testing.
  766. 27:42Right? Because uh if you
  767. 27:44uh
  768. 27:45develop a certain code it has a bug in a
  769. 27:47certain application on your phone it's
  770. 27:49abstract, right? But uh in automotive
  771. 27:52world it could be fatal, right?
  772. 27:53Depending on the application. So, it
  773. 27:55comes with a lot of testing whether it
  774. 27:57is hill testing, whether it is on fleet
  775. 28:00testing, uh you know, uh
  776. 28:02so it's it's really something that you
  777. 28:04can't avoid in automotive. So,
  778. 28:07I'm not giving you a straight answer
  779. 28:08because it's still work in progress
  780. 28:10according to me.
  781. 28:11>> Let's put it this way, which part of
  782. 28:13engineering
  783. 28:14auto engineering, automotive engineering
  784. 28:16do you think that AI will change things
  785. 28:19dramatically which we are not expecting?
  786. 28:21Probably some of those are
  787. 28:23which it will not as you said, but there
  788. 28:25are some things which can't change. Do
  789. 28:26you think
  790. 28:27>> think yeah, see for instance if I look
  791. 28:29at software development life cycle in
  792. 28:31general, you know, the way we want to
  793. 28:33measure it is, you know, from
  794. 28:35requirement to resolution.
  795. 28:38You know, this whole cycle time will get
  796. 28:39crunched.
  797. 28:41The only point I'm trying to make is it
  798. 28:42could be contextual. So, for instance,
  799. 28:44if you're releasing features in
  800. 28:45infotainment, it may be much faster
  801. 28:46because you can live with bugs if they
  802. 28:49pass into the production system. Whereas
  803. 28:51for something like A dash, you wouldn't
  804. 28:53take that risk, right? So, it's
  805. 28:54contextual to the field and domain
  806. 28:55you're talking about.
  807. 28:57>> Yeah. No, so I I can understand that
  808. 28:59because
  809. 29:00you raised concern about AI agents
  810. 29:03kind of, you know, acting in ways their
  811. 29:05creators didn't explicitly
  812. 29:08ask them to to. So, in a car where
  813. 29:10software decision can, you know, have
  814. 29:12physical consequences, do you think
  815. 29:14there is a point beyond which you would
  816. 29:17not like AI
  817. 29:19to have autonomy?
  818. 29:21>> Absolutely. I mean, at this stage I
  819. 29:23can't imagine why would I trust AI
  820. 29:27without, as I said, doing the physical
  821. 29:28test. In fact, it's not just you know,
  822. 29:31it's not just whether OEM wants to do it
  823. 29:33or not, it's also regulation, right? So,
  824. 29:35the standards that are defined,
  825. 29:38sometimes you want to trace it back
  826. 29:40to the logs and, you know, find out
  827. 29:42where the bug was.
  828. 29:44You know, some of the hill machines are
  829. 29:46actually preserved for a number of years
  830. 29:48because in case of an accident, you want
  831. 29:49to trace back to the
  832. 29:50exact test case, right? So, if the
  833. 29:52stakes are so high,
  834. 29:54I don't think AI
  835. 29:57in the foreseeable future will actually
  836. 29:59replace the validation standards that
  837. 30:02auto OEMs have.
  838. 30:03So, we'll have to take it with a pinch
  839. 30:05of salt, the whole promise around AI.
  840. 30:07That's That's my personal belief that
  841. 30:09it's it's too critical
  842. 30:11and I don't think we have reached that
  843. 30:13level of accuracy, confidence level for
  844. 30:16us to dial down
  845. 30:18the physical testing, especially in
  846. 30:20safety-critical application.
  847. 30:22>> No, true. I mean,
  848. 30:23here a human life is at stake and,
  849. 30:26you know, the other sector where I see
  850. 30:28AI being, while of being very of use,
  851. 30:31but still people are cautious is
  852. 30:33banking, where only money, human money
  853. 30:35is it's not the life after all, but then
  854. 30:38here we are talking about life, so yeah,
  855. 30:40of course. I think the final question,
  856. 30:42you know, you
  857. 30:44you know, when you're building something
  858. 30:46this quickly as you said in
  859. 30:482400 in 21 months, so my numbers were a
  860. 30:51little outdated, so everybody comes to
  861. 30:54the CEO for, you know,
  862. 30:56certainty, stability. So, but there must
  863. 30:59be moments when you don't know the
  864. 31:00answer either. And you said that your
  865. 31:03job is to ask good questions, people
  866. 31:04other could be, you know, as good as you
  867. 31:06to ask good questions.
  868. 31:10Who does the CEO go to
  869. 31:13when, you know, when when he's he's
  870. 31:15unsure?
  871. 31:16>> Yeah, I think as they say, it's kind of
  872. 31:17lonely at the top. But honestly
  873. 31:21I didn't feel that alone because and
  874. 31:25it's counterintuitive, but some of
  875. 31:29all of my board members are great
  876. 31:31mentors.
  877. 31:32Right, so
  878. 31:34and they have different specializations,
  879. 31:35right? So, if it's a topic related to
  880. 31:40if it's a
  881. 31:41topic related to people for instance, I
  882. 31:42know who to go to. If it's
  883. 31:45topic related to product strategy, you
  884. 31:46know, I can bounce off ideas, so you
  885. 31:48know, their job is to challenge me. But
  886. 31:51I'm I'm lucky to have them also as
  887. 31:52mentors because I can also discuss
  888. 31:54problems with them. So, I think
  889. 31:57the board is extremely supportive, very
  890. 31:59ambitious,
  891. 32:00aggressive, but very understanding in
  892. 32:03terms of discussing constraint and sort
  893. 32:06of, you know, basically
  894. 32:08nudging me the right way.
  895. 32:10Beyond that of course uh
  896. 32:12you know, my family.
  897. 32:14So, my wife,
  898. 32:16of course I can't discuss everything
  899. 32:17confidential, but she knows when, you
  900. 32:21know, a cloud is sort of hanging over
  901. 32:23and sort of, you know, she tries to
  902. 32:24troubleshoot with me. And she of course
  903. 32:28the best thing is she is not colored or
  904. 32:30biased because she's not in the midst of
  905. 32:34it, so she can give a very neutral
  906. 32:35feedback.
  907. 32:36She can be an outsider's view.
  908. 32:38Outsider's
  909. 32:40very dispassionate right?
  910. 32:43Brutal and I'm like
  911. 32:45for instance I'm playing see this is the
  912. 32:47situation I'm dealing with and I can't
  913. 32:49understand why
  914. 32:51the other person wouldn't get my point
  915. 32:54of view and she's like of course because
  916. 32:56you're wrong in this situation your
  917. 32:58point of view if had I been there this
  918. 33:01is how I would have thought so why don't
  919. 33:03you change your
  920. 33:04posture essentially. So of course she
  921. 33:08helps I'm very close to my sister my mom
  922. 33:11so you know bouncing off ideas of course
  923. 33:13you have to be very careful because you
  924. 33:14just give them a hypothetical situation
  925. 33:16to react to because you don't want to
  926. 33:19burden them with details and it's not
  927. 33:21even proper.
  928. 33:23But yeah and I think I find a lot of
  929. 33:25inspiration in books in in in
  930. 33:28documentaries in sports so
  931. 33:33>> All right Aditya thank you so much for
  932. 33:35speaking to us and I'm so glad that
  933. 33:37stars have you know aligned for you
  934. 33:40yeah we could finally catch up thank you
  935. 33:41so much for for doing this thank you.

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