JUGAAD = an Indian slang word pronounced as
"joo-gaard"
Jugaad is a term applied to a creative or innovative idea
providing a quick, alternative way of solving or fixing a problem. Jugaad
literally means an improvised arrangement or work-around, which has to be used
because of lack of resources - Wikipedia
The usage of this term is sourced from India where farmers
were building makeshift trucks powered by agricultural water-pump engines.
These small contraptions came to be known as jugaad. Then there was the
television antenna created out of metal clothes hangers, the electric iron that
flipped over to become a stove, the bucket with tiny holes that when hung up
high, turned into a shower. So, jugaad,
when considered as a verb instead of a
noun means to be innovative despite scarcity or to be resourceful even when
the odds are against you.
This term recently entered the lexicon of consultants, along
with six sigma, total quality, lean, kaizen, etc. A key difference - Lean is
supply-side focused; whereas Jugaad is primarily demand-side focused. A
‘jugaad’ mindset strives to create products and services that score high on
three attributes: affordability, quality, and sustainability.
In a business context, jugaad is a frugal, flexible, and
inclusive approach to problem solving and innovation. It can be considered as
an approach to develop products that cost a fraction but offer enough value to
attract demand.
Jugaad can also be used in day to day management. We may
sometimes be tightly bound by our stringent processes & rigid structures
and get constrained by rules. In this context, jugaad could be a sort of
out-of-the-box and network-style thinking that could serve us well in times of
change, crisis and in extreme circumstances. It implies using strong
collaborative skills, an open mindset, and boundless flexibility. Thus, jugaad
works as a ‘soft competitive edge’ in business.
Caveat: Jugaad may not be applicable for solving
systemic issues which need root-cause analysis. It might be ineffective for
changing deep-seated beliefs. Jugaad is not a transformative approach. Instead,
it could be considered as an improvisational or makeshift style of innovation
due to scarce resources.
Principles of jugaad:
1. Frugal. Do more with less and it doesn’t have to cost a
lot
2. Agility. Instead of over-engineering, prioritize what is
most critical and aim for the low-hanging fruit
3. Simplicity. Less is more, and sometimes the best ideas
are the simplest
4. Thinking laterally. Don’t get constrained by the odds
against you, and explore alternatives