Why no IIM, IIT graduates at Zerodha? Not just salary, says Nithin Kamath

economictimes.indiatimes.com:

Zerodha co-founder, Nithin Kamath, recently shed light on the absence of IIT and IIM alumni among the stockbroker's employees. Speaking with Shekhar Tomar, Assistant Professor of Economics and Public Policy at the Indian School of Business (ISB), Kamath clarified that it's not a policy decision to exclude individuals from these prestigious institutions, but rather a result of historical financial constraints and cultural issues
Kamath emphasized that Zerodha did not have the financial capacity to hire IIT and IIM graduates in its early years due to budget limitations. He clarified that the absence of alumni from these institutions in the company is not a deliberate policy but a reflection of the financial realities during the initial phases. According to Kamath, the company couldn't afford the price tag associated with hiring individuals from these elite institutions.

He went on to explain the misalignment of priorities between Zerodha and business school students. Kamath highlighted the typical career objectives set by MBA graduates, emphasizing that these individuals often have clear goals and expectations about their career progression. Zerodha's business culture, established in its formative years, did not align with the structured career goals of business school graduates.

Culture at Zerodha

Kamath discussed the challenges of working with MBA graduates who have predetermined career trajectories. Business school students are often wired to plan their career paths meticulously, setting specific goals for various timeframes after completing their degrees, he said. Zerodha, however, operates with a different cultural ethos, emphasizing continuous improvement and adaptability. «The culture has been every day we get