Nandy joined the Centre for the Study of Developing Societies (CSDS), Delhi, as a young faculty member. While working there, he developed his own methodology by integrating clinical psychology and sociology. Meanwhile, he was invited by a number of universities and research institutions abroad to carry out research and to give them lectures. He served as the Director of CSDS between 1992 and 1997. He also serves on the Editorial Collective of Public Culture, a reviewed journal published by Duke University Press.