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By:

Rahul Kulkarni

30 March 2025 at 3:32:54 pm

Psychological Safety, The Prerequisite for Modernisation

If people can’t tell you the truth, your dashboards will lie for them. So now you finally have what most leaders think they need: a system. And yet… the system still doesn’t show the truth. Numbers look “clean”. Reports look “reasonable”. Problems show up late. Bad news arrives only when it becomes a fire. This is where many leaders get fooled. They look at the dashboard and think, “Great, we’re improving.” And then reality punches them. A shipment fails. A customer escalates. A vendor...

Psychological Safety, The Prerequisite for Modernisation

If people can’t tell you the truth, your dashboards will lie for them. So now you finally have what most leaders think they need: a system. And yet… the system still doesn’t show the truth. Numbers look “clean”. Reports look “reasonable”. Problems show up late. Bad news arrives only when it becomes a fire. This is where many leaders get fooled. They look at the dashboard and think, “Great, we’re improving.” And then reality punches them. A shipment fails. A customer escalates. A vendor refuses. Cash gets stuck. Quality blows up. The issue is not your tool. The issue is fear. Which Seat? Inherited seat: people fear disappointing you, so they hide issues until they’re unavoidable. Hired seat: people fear you’ll judge them, so they show you what looks good. Promoted seat: people fear the relationship has changed, so they become careful and political. Different seats. Same outcome: silence. Doctor-Patient Problem Think about a doctor. The doctor can be brilliant. The hospital can be world-class. The tests can be advanced. But if the patient hides symptoms, the diagnosis will be wrong. Not because the doctor is bad. Because the input is false. That’s what modernisation looks like without psychological safety. You can buy software. You can design processes. You can set up dashboards. But if people can’t tell you the truth, your “data” will become polite fiction. And you’ll make confident decisions on top of fiction. What Is Safety? People hear “psychological safety” and imagine a soft HR concept. It’s not soft. It’s operational. Amy Edmondson, who researched this deeply, describes it simply: a climate where people feel safe to speak up, admit mistakes, ask questions, and raise bad news without being punished or humiliated. In MSME language, it means: “If I report a problem, I won’t be insulted.” “If I admit a mistake, I won’t be made a permanent example.” “If I raise a risk early, I won’t be told I’m negative.” “If I tell the truth, I won’t lose my standing.” If those beliefs don’t exist, people will still “cooperate” but it will be theatre. Hidden Blocker Low-data firms don’t naturally produce truth. They produce stories. Why? Because stories protect people. A late dispatch becomes: “customer changed plan”A defect becomes: “labour issue”A missed purchase becomes: “vendor problem”A cash delay becomes: “accounts is slow” Each story may contain some truth. But the function of the story is usually protection. So when you introduce digitisation, something changes: Now the story has to match a number. And if the number can expose someone, the system will do the only thing it knows: It will manage the number. That’s how dashboards become lies. Not because people are dishonest by nature.Because honesty has become unsafe. The Signs Bad news comes late, always. Meetings are full of explanations, not facts. “No issues” is the most common update. Problems are discovered by customers, not internally. People speak more in corridors than in review meetings. Everyone looks busy, but nothing is owned. If you see these signs, your modernisation effort is at risk. Because the system will look healthy until it breaks. Most leaders don’t wake up and say, “Let me create fear.” They kill safety through small habits: Sarcasm in meetings Public scolding Reacting emotionally to bad news Asking “who did this?” before asking “why did this happen?” Using pilot data for appraisal Praising only “good numbers” and punishing messy truths One harsh moment teaches the room a long lesson. After that, people stop volunteering reality. They start managing perception. Field Test Pick one recent failure. Not the biggest scandal. A real, medium-sized problem. Gather the involved people for 30–45 minutes. Then follow three rules: Start with the line: “This is not a blame meeting. This is a learning meeting.” And mean it. Ask only these questions: What happened, in sequence? Where did the handoff break? What made the wrong action feel reasonable at the time? What one change reduces the chance of repeat? No names, no insults, no ‘how can you’ If someone makes it personal, you bring it back to the process and the moment. Now the most important part: Track whether people volunteer issues unprompted in the next two weeks. That is the real signal. If people start bringing small problems early, safety is rising. If they stay silent and “all good”, your system is still running on fear. (The writer is a Chartered Accountant based in Thane. Views personal.)

Indian Shipbuilding A Must Win Marathon

Shipbuilding

With a coastline of 7500 KM, it is hard to imagine, that for the first 20 years (1947-1967) India had no ‘shipping ministry’. In 1967 a Shipping ministry “coupled” with ROAD transport was established. Since then, this ministry has been on a name changing ride, not once, not twice but six times. In 2009 the “ROAD Transport and Highways” was de-coupled and ‘Shipping’ ministry was formed. Turning point came in 2015 with a clear maritime vision for 2030 and 2047. Ministry was re-christened, aptly to Ministry of “Ports, Shipping and Waterways” in 2020.


Why is Shipbuilding important for a country?

a. A Shipyard becomes an opportunity hub and like a queen bee requires the support of an industrial colony to manufacture machinery and equipment.

b. National Shipyards support fleet renewal needs of the Navy.

c. Contributes to national GDP, increases inflow of FOREX.


Korea shipbuilding is 8% of GDP. Japan’s automobile industry is 2.9% of GDP. India’s shipbuilding a meagre 0.000578% of GDP. In context, India’s pharmaceutical industry, ranked third largest in the world is 1.72% of India’s GDP.


International Shipbuilding Market

The market is estimated to reach around USD 200 billion by 2029, growing at a CAGR of 4.84%. While India is at bottom with 0.07% of world share, behind Philippines 1.5% and Vietnam 1%, however on the positive side, India has done well in taking care of its defence needs, with 37 of 39 Naval ships being built in India yards. Rear Admiral S Shrikhande researching on maritime as a Fellow at Wollongong University, Australia, says “Shipbuilding in India needs both, serious incentivisation and dogged determination and not harping on being a big ship breaking country. That Garden Reach shipyard has a $54 million order for merchant ships from a German owner, is a good sign.”


Were Shipyards of 20th century in Flight mode?

Prominent shipyards in India were built in the colonial period. Mazagon Dock 1774, Garden reach 1884, Hindustan shipyard 1941 to cater to British navy and merchant fleet needs. Cochin shipyard 1972, Adani Katupalli 2013, Reliance Naval and Engineering, Rajula Gujarat 1997 and others have limited capacity, hence a lot more work to do. Capt. Subhangshu Dutt (Singapore) a mariner and now a shipowner, says “GOI should hold hands in any collaboration till the marriage with the foreign entity is reasonably stable. He also suggests that “new shipbuilding sites should be given to existing successful shipyards since they have decades of experience and talent. Consortium of 3 or more parties may also be good idea”.


Shipbuilding GOLD

As per SPLASH report the demand for LCO2 carriers could reach 2,500 ships by 2050. As per other estimates, 40% of global fleet of ships could have wind propulsion by 2050. A surge in such vessels is due to an unparallel waves of decarbonization in the shipping industry. Demand for ships with ‘carbon neutral’ badges, such as Dual fuel, Wind assisted, Nuclear fuel ships, Hydrogen powered ships, Liquified CO2 (LCO2) carrier, is outstripping supply. A must in the ‘bucket list’ of every Shipyard. Pinning down a standard ROI in shipbuilding is not easy, but experts suggest it could range from 4% to 15% for the high demand ‘carbon neutral’ ships. While an LNG new build vessel could cost US$ 250 million upwards.


International collaboration

On China’s shipbuilding success story, Manoj Pandalanghat (Singapore) a mariner and ship owner believes that “China has around 50 active Shipyards. Each have a few large dry docks. In each dock two or more large vessels are built simultaneously. Thus, a single yard is able to roll out 2/3 vessels/month, 36 vessels/year and 50 shipyards roll out 1800 vessels/year”.


China could be a jaldi-5, but India needs a sturdy Mount Fiji. Besides technology, Japanese bring the most important hand baggage of soft-skills and culture, essential for success from keel laying to delivery. Maruti’s is a standing example.


Food for thought for New Delhi

a. Expertise: Hire Naval Architects and shipbuilding experts with current international experience.

b. Government assistance: Land, Financial support, subsidies and timebound clearances.

c. Monitoring: PMO should monitor the first 5 to 10 years till Shipbuilding takes-off on this long-haul flight to destination 2047.


India’s Shipbuilding is expected to grow to $237 billion by year 2047. On a back of the envelope calculations this works out to about 4% of India’s 2047 projected GDP of $ 5 trillion. While cars are driven on roads, however the Ministry of roads and transport has little to do with “Automobile manufacturing”. On a similar note, ‘Shipbuilding’ as an industry has little to do with Ports, Shipping and Waterways, thus it may be worthwhile to consider a separate ‘Ship-building’ wing in the Ministry of Ports, Shipping and Waterways headed by a dynamic cabinet rank minister. Since 2047 targets are stiff and an uphill task, so in all probabilities, the officials in Ministry of Ports, Shipping and Waterways are likely to push beneath the carpet, delays and failures of Shipbuilding with sweet success stories of “Ports, Shipping and Waterways” and if this does happen then India will not only miss the Shipbuilding bus of 21st century but a lot more from a national security and strategic perspective.


(The author is a Shipping and Marine consultant. Member Singapore Shipping Association and empaneled with IMO as a specialist consultant. Views personal.)

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