Spearheading the Incredible Manappuram Odyssey: V.P. Nandakumar
Many centuries ago, a savant and philosopher named Laozi on the other side of the Great Wall of China quipped, “A journey of a thousand miles begins with a single step.” True, a seemingly insignificant act can have a butterfly effect over the years. The peerless saga of an entrepreneurial colossus on this side of the Great Wall best illustrates this wise saying of Laozi mentioned in his monumental work ‘Dao De Jing’. When V.P. Nandakumar took over the reins of the single-branch money-lending business of his late father in 1986, not many would have thought that it would be the beginning of a journey of stellar, unprecedented success. Today, his Manappuram Finance Ltd is one of India’s leading NBFCs with 5,200 branches spanning 28 states and Union Territories with Assets Under Management (AUM) to the tune of Rs 42,069 crore and a workforce of more than 50,000.
Unique Times chronicles the fascinating success saga of V.P. Nandakumar, the Managing Director and CEO of Manappuram Finance Ltd, who used his astute leadership skills, razor-sharp acumen and vision to steer his enterprise all through its high-octane journey to becoming a financial powerhouse in the country. The journey that began in modest settings in Valapad, a quaint village in Kerala’s Thrissur, has acquired a pan-India dimension today, which is nothing but extraordinary. V.P. Nandakumar has added more feathers to his cap by unlocking the portals of diversification through microfinance, home loans, vehicle finance and SME and personal loans thereby broadening the spectrum of his company.
Wearing Many Hats With Elan
Born in 1954, V.P. Nandakumar holds a post-graduate degree in science, along with additional qualifications in Banking and Foreign Trade, which have equipped him with a robust foundation for his career in finance. His expertise has been recognised in various trade and industry associations, including FICCI, ASSOCHAM, and FIDC, where he has actively contributed to shaping policies and promoting best practices within the sector. His commitment to education and professional development is evident in his appointment to the Board of Governors of the Indian Institute of Management, Kozhikode, in January 2019, a role that speaks a lot about his influence in the realm of management education.
V.P. Nandakumar is a Distinguished Invitee to the All-India Management Association’s Council of Management, where he lends his insights to advancing management practices across the country. Serving as Co-Chair of the State Council of FICCI Kerala, he is proving his prowess in fostering collaboration among industry leaders and enhancing the business landscape in the region. Through these engagements Nandakumar continues to impact the educational and industrial sectors positively, guiding future generations of leaders in the financial services industry.
How It All Began
Manappuram Finance Ltd traces its roots back to 1949 when it was founded by V.P. Nandakumar’s father, the late V.C. Padmanabhan, in Valapad. The initial operations focused on money lending. It was a modest beginning that laid the foundation for what would become a financial behemoth. Following the untimely demise of his father in 1986, V.P. Nandakumar took over the reins of the family business and there has been no looking back ever since.
Diversification and Growth
One of V.P. Nandakumar’s most significant contributions has been his proactive approach to diversification. Recognising the evolving needs of customers, he has steered the company into new territories. Today, a remarkable 49% of Manappuram’s total business originates from non-gold segments, a clear reflection of his strategic foresight.
V.P. Nandakumar’s efforts have not gone unnoticed. His exemplary leadership and remarkable achievements have fetched him recognition on coveted national platforms. In May 2018, ‘Business World’ magazine listed him among India’s 40 most valuable CEOs. The ‘Economic Times’ acknowledged Manappuram as the ‘chart-topper’ in their ET500 list of Top Wealth Creators of 2019. Furthermore, he received the Hurun Industry Achievement Award in February 2023, a testament to his enduring impact in the business world.
Commitment to Community Development
Beyond his business acumen, V.P. Nandakumar’s commitment to social responsibility is a cornerstone of his vision. In 2009, he established the Manappuram Foundation aimed at uplifting the community through various initiatives. The foundation’s reach extends to managing two schools, coaching centres for diverse skills, yoga centres, and wellness facilities. Notably, it also operates a sports complex with badminton and basketball courts, along with an aquatic complex featuring a state-of-the-art swimming pool.
His dedication to community welfare is evident in the foundation’s services, which are provided to people falling under the Below Poverty Line (BPL) category at subsidized rates. Additionally, the foundation has a fleet of ambulances equipped with advanced medical support systems, further solidifying its role as a pillar of support for the local population. He staunchly believes that these efforts to uplift the community will have a butterfly effect over the years as his empire grows.
Leadership Beyond Borders
In addition to his responsibilities at Manappuram Finance, V.P. Nandakumar has done yeoman service to international organizations. His journey with Lions Clubs International began in 1981, and over the years, he has held various leadership positions, including multiple district council chairperson and member of the LCIF Corporate, Foundation & Government Gifts Committee. His dedication and service culminated in his election as an international director during the 102nd International Convention in Milan, Italy, in July 2019, marking a significant milestone in his commitment to community service.
Currently, he is serving as the Chair of LCCIA and Chairperson of the ISAME Area Leadership. Through these roles, he continues to foster collaboration among Lions Clubs worldwide, advocating service projects that address pressing social issues. His leadership not only strengthens the organisation but also reinforces his commitment to making a positive impact beyond national borders, embodying the spirit of global citizenship and community empowerment.
Promoting Financial Inclusivity
V.P. Nandakumar’s influence reaches far beyond the confines of Manappuram Finance. He has been a driving force in promoting financial inclusivity through his involvement in several key ventures. Notably, he played a pivotal role in establishing Equitas Small Finance Bank Ltd., India’s first small finance bank that provides affordable financial solutions to the underserved. His efforts also contributed to the formation of Aptus Value Housing Finance India Ltd., both of which were successfully listed on the stock exchange, marking significant milestones in the Indian financial landscape.
Additionally, V.P. Nandakumar’s promotion of Five Star Business Finance Ltd., an NBFC specialising in MSME finance, further emphasises his commitment to enhancing access to financial services for marginalised sectors. By focusing on micro, small, and medium enterprises, he has championed initiatives that empower entrepreneurs and drive economic growth. Through these endeavours, Nandakumar continues to champion financial inclusivity, ensuring that diverse segments of society have the opportunity to participate in the economic mainstream.
A Legacy of Leadership and Vision for the Future
As V.P. Nandakumar continues to lead Manappuram Finance Ltd., his vision remains rooted in innovation, community service, and financial inclusivity. With plans for further expansion and diversification, he is poised to navigate the evolving financial landscape while maintaining a strong commitment to the values that have guided him since the inception of the company.
In a world where financial services are increasingly important, Nandakumar’s journey exemplifies the power of leadership, resilience, and a genuine commitment to making a difference. As he looks to the future, there is no doubt that his impact will continue to shape the landscape of financial services in India and beyond