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STAY HUNGRY STAY

FOOLISH
AT YOUR SERVICE
CHENDER BALJEE-THE MAN BEHID ROYAL ORCHID
HOTELS

Presented To
Presented By
Mr.Pankaj Sharma
Ashish Bansal

Ankush Gupta

Karishma Anand

Sakshar Jain
The Objective
 Hear about big company , their
humble beginning.
 When you hear how humbly they
started, it gives you encouragement
in your own humble state and think,
“why not?”
CHENDER BALJEE
 THE MAN BEHIND ROYAL ORCHID
HOTELS
EDUCATION AND FAMILY

 B.Com. From Delhi


 MBA Indian Institute of Management,
Ahmedabad
 Wife Name - Sunita
 Children - Two Sons
 Arjun
 Keshav
Taking A Steady And Humble
Growth Route
 From Shimla to Bangalore, Chander
K Baljee, the Chairman and
Managing Director of Royal Orchid
Hotels, has steered his company to
success with equal measure of
patience and intellect.
THE BACKGROUND
 Having grown up in a family of
hoteliers in Shimla, Baljee always had
an inclination towards the hospitality
industry. Quite naturally, he got down
to family business after he completed
his studies.
 Mr. Baljee started his own restaurant
‘Fascination’ in Shimla.
CONTINUED---

 Post completion of MBA, and a small stint


in family business, To appease his yearning
to accomplish greater heights and
achievements in the industry, Mr. Baljee
started sourcing opportunities.
 When he got to know about two Mysore
hotels up for lease, he came down all way
from Shimla to the heart of South India.
CONTINUED----

 Baljee’s journey started in Bangalore


in 1973, when he took over Hotel
Stay Long and launched it as Hotel
Harsha.
 Bangalore was home to several
public sector units like HMT, BHEL,
BMEL etc and was popularly known
as a public sector town.
Continued---
 The promised pot of gold came with
its share of patience and struggle, but
Mr. Baljee succeeded in establishing
his very first hotel by leasing the
erstwhile ‘The Stay Longer Hotel’ in
Bangalore and renamed it Harsha
(now operating under the ‘Ramada’
brand).
Continued---
 In the year 1985, when Harsha started to
bring in decent business, he had an urge to
venture in something bigger .
 Soon he found the golden opportunity of
leasing land on a prime location near the
old Bangalore airport.
 Though he had planned to build it as a 3
star hotel, Hotel Royal Orchid went on to
become his first 5-star, flagship hotel.
 The hotel was launched in the year 2001.
PROBLEMS IN HIS ODYSSEY

 LITIGATION
 STRIKES
 DEBT
 9/11
 SARS –
 all these and more, affected the growth
and expansion plans of Baljee's company.
 Motto during this – “This too shall pass.”
THE GOLDEN PERIOD
 In 2003, the hotel industry witnessed a
tremendous boom and for Royal Orchid
Hotels, there was no looking back.
 By the year 2004 Mr. Baljee succeeded
adding four hotels including Royal Orchid
Central, and Hotel Metropole under his
company’s wing and constantly
contemplated making the company’s
presence felt nationally.
CONTINUED----

 Soon he embarked on new projects


in Hyderabad, Jaipur and Pune.
 In order to raise funds for his
ambitious endeavours, Royal Orchid
Hotels went public in the year 2006
and raised Rs 130 crore in the IPO.
THE ACHIEVEMENTS
 The Royal Orchid Hotel group soon achieved
remarkable position and now operates 12
hotels across Bangalore, Mysore, Pune, Jaipur,
Goa and Hyderabad.
 One of the fastest growing hospitality chains in
India, the Royal Orchid Hotels brand always
intends to provide high quality accommodation
at an affordable price in contrast to his
competitors namely The Taj and Windsor
Manor.
 They have their own niche of customers.
The Motivating Force

 “We had a good life - cars, house,


everything you needed was there,”
says Baljee.”
 But the business could be made bigger
and better so I decided to go for an IPO.
 There Was The Urge To Do Something
More
The Strength

 When things are tight you monitor every


expense . Only when business is doing well
inefficiencies creep in.
 “One thing I have always believed is that
whatever you do, you do in a very honest
manner... I never ever defaulted on any
financial institution payment or salaries to
employees.”
 It was this impeccable track record which
allowed Baljee to raise so much funding at
relatively low rates of interest.
Sons
 Both the Baljee sons have also joined the company.
 27 year old Arjun is a hotel management graduate from Cornell .
 24 year old Keshav is a graduate of Wharton and ISB.
 Arjun is handling an independent project - setting up a
 budget hotel chain called ‘Peppermint’.
 Keshav (who worked with Lehman Bros in New York before
returning to India) looks after new projects and sources deals.
Future Hopes
 The company is looking at a total
investment of Rs 250 crore
approximately for the expansion, out
of which about Rs 100-150 crore
would be through equity and the rest
through debt.
 Royal Orchid posted a net profit of Rs
130 million in the last fiscal year to
March 2009.
Chander Baljee is all set to take
Royal Orchid hotels to the
pinnacle in the Indian hospitality
panorama.
 Currently we want to build a strong base
in the country by establishing the brand in
every potential market and segment of
hospitality.
 Once we have consolidated, we would
look at acquiring a master franchise of an
international hospitality brand for India,”
confirms Baljee
 The group is now determined to strengthen its national
presence by establishing properties in upcoming
markets across India like Mumbai, Ahmedabad and
Hyderabad among others.
 The inspiring history of the group reinforces that a
vision leads to attainment.
 With the continual perseverance of the able visionary
and his dedicated workforce, Royal Orchid can only
anticipate realizing bigger ventures in the future.
CONCLUSION
THE BELIEVERS
 People who knew entrepreneurship was the
Chosen Path.
 They took the plunge straight after their MBA or
after working barely a couple of years.
 And they persevered until they made it big!
 They believed in the power of their dreams.
CONTINUED----

 Emphasis on the passion for the


chosen field and view of monetary
gains as a valuable by-product.
 Failure and some times a near death
situation on one or more occasions. 
 Staying power to see through
difficult times
The Logic
 The entrepreneur took a leap of faith. Then
struggled and strived for years.
 Before finally achieving a size and scale which made
the effort what we call a 'success'.
 For every such story there are several who are still
out there, struggling, striving.
 And for those who look at themselves in the mirror
each morning, before they head out to sell those
soaps, I hope you catch in it a glimpse.
 A glimpse of your hungry and foolish true self.
THANK YOU