Yourstory heard the story straight from Mr.Reddys' lips and the Young Entrepreneur has this to say.
“Husys is the first and only fully integrated proprietary HR Function Outsourcing (HRFO) who builds HR Department and manages it as part of the Business Process. In our journey we have setup and managed 100+ Organizations HR Departments with 40000 hours of HR Expertise built in 16 Industries. We have incubated 3 MNC’s from US, Canada and UK in India proving that we focus on Business Results beyond HR.”
“We initially started with Build Operate and Transfer (BOT) model and moved to Build, Operate & Manage (BOM) for long-term sustenance of HR Systems and revenue model for Husys. As of today there are no organized effort by the HR entrepreneurs to build an Onsite organization like Husys with multiple clients and locations. The amazing part of the concept of HR Function Management or HR Function Outsourcing (HRFO) is that it understood by the Business Owners with more ease than HR professionals so far.
As a model till today what the books & the world talks about HR Outsourcing is all HR Functions minus the Strategic HR, which has to be with the organization. Husys took a different route and build the road that nobody has taken.”
Those who are thinking that their services are beyond what they can afford will be pleasantly surprised. Mr. Reddy illuminates us on this matter saying “We are looking at the 1000+ Billion contribution of business by SME’s in India and our target would the one of the biggest in the domestic HR Function Services Segment (new segment). We have identified this niche to build our model. This concept would benefit millions of SME’s in India who may be scared of having a costly team of HR (Perceived as only Big or MNCs can afford HR Department).”
“Husys works on a model where the Strategic Contribution and the Work Outflow is very high unlike in other services. In simple terms our business model is to provide an affordable and high value per rupee spent for building and managing the HR Department.”
“Since this model works with a scale to tap the potential that we see as of today our least conservative approach is about 1 billion revenue untapped which can grow to a multi billion model in India itself in the coming few years. From a traditional HR support approach to a Strategic personal support with Technology driven Day-to-Day model will help to tap the potential. We are investing in building an Integrated Multi-Functional Technical HR platform (ApHusys) to tap the huge potential.”
The entrepreneurial seed had been planted in him when most others are thinking of 9 to 5 careers. He says “Idea of being on my own was there the day I passed out of college. I set a timing to be an entrepreneur in 10years and I was constantly dreaming and was gaining exposure to build a new and niche model where one can be pioneer.”
Their approach to tackle their own talent issues have been of the kind that makes any HR veteran proud “Human Resources have been the biggest challenge so far and in coming years. The reason being we expect the Fresh Graduate/PG-HR to have the maturity to understand the HR Gamut and help a CEO in running the show. The natural expectation of money as top priority, it’s always an issue of showcasing the opportunity with Husys. We conceived and designed a backward integration model with a practical HR program we call it as “MissionHR” a trademarked brand and the process copyrighted since 2002. This program has given us the key resources & best brains with us today… We continue to focus on this Mission HR for our future support using Technology in future.”
Mr. Reddy recalled his first life lessons in entrepreneurship which have paid unexpected dividends and says “As an amateur entrepreneur I invested the money generated initially in building a campus (own office – we have 8000 sq.ft of two floor independent building at Begumpet - heart of Hyderabad) than building a technology platform in the initial stages… Of course, the same mistake is helping me to generate more funds through Banks with the property values touching the roof.”
Mr. Reddy was expecting to start his venture with just the P.F. money he had but found an “Angel Investor” in a friend who believed in him. “As soon as I quit my job I was expecting money from my PF account of Rs.75000/- for initial startup but I started with Rs.30000/- of hand loan from an angel friend next door (Unfortunate, he is no more to see us growing). By the end of the month my first customer paid Rs.15000/- to kick start the momentum.” says our entrepreneur
Their pioneering efforts meant that they had to perfect their methods with no prior references. M. Reddy says “As always being the first with the concept it took time to prove the concept. Today my first customer would have added 20% of Customers overall. It’s been extremely word of mouth publicity due to the nature of such close and internal functions of HR. We have grown at the average rate of 76% year on year from day one of our operation. For the current Year in this time of recession we have planned for the same turnover without growth, but by now we have achieved 40% of turnover and expect to continue the growth as we did in past with our new Technology Platform & Online Training & HR Tools Ready.”
The current employee strength at Husys is around 1800. They have 18 Core HR employees who manage 15 organizations in 8 different Industries (A combined total employee strength of 6000+ Spread over in various branches of their clients in India) based in 4 locations – Hyderabad, Bangalore, Ahmedabad & Nagpur.
Their logic behind HR as an outsourced function has proved to be sound not just on paper but in the market. They are proud to have been “Building Internal Leaders who are partners today”.
From being featured by the Economic Times under the Emerging India title to a series of newspaper articles on HR, their identity is slowly emerging.
Mr. Reddy states his various reasons for his sustained interest in Entrepreneurship saying
“My Team – Every one of us at Husys understands the future that we are creating. My Family – Who encourage me to see an even bigger picture than what I see at any point of time. My Well-Wishers: Whom I worked with in various organizations who want to see Husys growing.”
Husys is on a mission to build their Online HRIS for support and also an Online Mission HR Program for people pipeline. Both of these expected to be launched before Dec 2009.
Mr. Reddy advises those seeking to find the same originality and success in their ideas saying “Build Clarity on your Ideas – Don’t re-invent a wheel if it’s done by others already. Gain from their experiences. Build a circle of Mentors who can encourage for your courage and can also negate your thoughts. Make your first few working employees/professionals partners in the success of your organization. Do not hesitate to part with the share for their contribution. It always multiplies as you give.”
Yourstory agrees with Mr. Reddy’s advice that it is indeed "better to give than to receive” and wishes him growth and prosperity to last a lifetime.