What was the mantra adopted by the HR to ensure the company strategy and people strategy are in sync to create employee value proposition?

HR planning is the mantra to achieve any objective in a given time constraint. Within a limited time frame the management of TCS designed, developed HR strategies, plans and programmes to address gaps like hiring/staffing, learning, career development and succession management and put an end to it.

The company changed its hiring strategy and started focusing on real-time talent management. Employee engagement through employee inputs were solicited via annual survey PULSE, using company’s much-touted digital portal, ULTIMatix allowing them to seek feedback from employees. Apart from this, opinion poll, open-house sessions, process improvement proposals and exit interviews were other measures taken to give full importance to employees.

TCS also introduced stress management which encouraged employees to de-stress by participating in Fun @ Work. Picnic, parties and get-together were organised to encourage employees to see the absurdity in their thought process, perception, and behaviour. This effort led to the reduction of cost associated with absenteeism, turnover, and decreased productivity.

To motivate employees, HR executives conducted appraisal twice in a year, one in the beginning for existing employees and the other at the end for employees hired specifically for various projects.

To build a quality talent pool, TCS started multiple learning and development programmes without investing much on recruitment during this phase. Some of them are:

• Academic Interface Program: To bridge the gap between campus and corporate, TCS was involved in strengthening bond with the academic community and get the best talent.

• Initial Learning Program (ILP): New engineering recruits were given a six-week ILP that focused in transforming engineers, from diverse disciplines, into software professionals which led them to the TCS way of life.

• Foreign Language Initiative (FLI): It was started keeping in mind the importance of learning new language to ensure cross-cultural sensitivity and tolerance. It enhanced TCS’ global culture.

• Ignite: This six-month learning programme was a transition for science graduates to the IT industry and the corporate world.

TCS’ investment in learning and development programmes for employees, competitive compensation, efforts to create a compelling work environment, empowering employees at all levels as a well structured reward and recognition mechanism managed to bring down its attrition rate at 11.4 per cent in 2010.

HR today has emerged as a strategic partner, an employee champion, and a change agent for modern organisations. Attracting, recruiting, retaining employees have become necessary to gain a competitive edge, improve profitability, inspire and sustain employee motivation. HR is no more considered a peripheral entity and no more has to face hard times during recession.

HR’s involvement is imperative to improve overall performance of an organisation and is considered an integral part of an organisation. Read more...

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

Removing the changeblocks together

Change in simple words is becoming different, but it is easier said than done. Often people resist change because it necessitates movement from a current comfort level to a state of uncertainty and insecurity. The reason is, transformation happens not just for a process, system or practice but it calls for a behavioural change involving values, attitude, identity and belief. However, change is a positive scenario that enables growth, adaptability and competitiveness. In fact, change in an organisation helps to bring in new perspectives. It is a process that involves unfreezing, moving, and refreezing of values, practices, and procedures within the organisation.

With the system and process that facilitate the business change it becomes imperative to handle the softer issue of the people, since change is not self-initiated. Handling resistance, perceptions of change and mobilising the change within the employees create confusion. It is the time factor that enables organisations to work through change.

To meet the challenges of change and win over time, it is vital for organisations to effectively position the change against time. Establishing and reinforcing the vision, removing barriers and tightening the sense of oneness and belongingness expedite a positive change.Read more..

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

Organisation’s Compass

Prior to joining Ricardo, Mr. Dave Shemmans was operations director and co-founder of Wavedriver Ltd., a subsidiary of PowerGen plc. Dave, a Harvard graduate, is a member of the steering group for the UK government-sponsored New Automotive Innovation Growth Team. 

Q. How can HR sync its productivity with business needs?
Dave: Ricardo is a global business that is knowledge-driven and people-led. It is essential we focus on attracting and retaining the best talent. The HR function is thus mission-critical to us in developing and retaining the talent and accumulated knowledge on which our business thrives and on which its future depends.

Q. Can HR influence overall strategy and results of a firm?
Dave: HR is central to development and implementation of the corporate strategy. This is reflected in our “Right Team and Right Culture” strategic theme. We aim to seek out the best available talent externally through our internal talent management and development programme.

Q. Has HR successfully prioritised profit and loss over technical and political correctness?
Dave: The way this is often represented is a false dichotomy. In all regions that we operate in, there are societal norms and expectations, and national employment regulations that will apply to all market players. A well-run business respects its customers for their business, its investors for their capital, and its staff for their contributions. Read more...

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

William Greenhalgh (CEO, Human Resources Professionals Association) suggests HR executives to be more assertive in having their voice heard around the table as their issues get sidetracked in the heat of the battle

Q. How can the CEO and HR find a common ground?
A. HR must be the trusted advisor to the CEO and ensure flawless HR processes. The CEO has to know that HR has the interest of the company at heart, will be honest and fearless to suggest what is best in the company’s interest.

Q. How should HR manage the change programme during crisis?
A. CEOs want HR with a toolbox of change management practices, a consulting mindset, and a strong understanding of how compensation and performance management can be used to support change. The HR also needs to be a translator and interpreter of the CEO’s communications.

Q. How can they jointly create a healthy corporate culture?
A. Success or failure in any company depends on the quality, commitment and drive of its employees. Most CEOs understand that but often neglect it. It is important that they schedule regular reviews of the people performance, succession planning, and the future talent management plans based on the direction of the company. The company will also reflect the values of the CEO so it is important that he or she behaves in a way consistent with the culture. Click here to read full interview...

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

KUNWER SACHDEV, CEO AND MD, SU-KAM POWER SYSTEMS LTD. The Gift Of Life

Passion is… involvement and focus.
Processes and systems are important since… they are the only long-term solution.
I am most influenced by… Ratan Tata.
People are my most important asset because… they make or break the organisation.
My idea of a reward for a job well-done is… a pat on the back; appreciation in public.
Employee attrition can be handled by…involving and engaging employees.
The secret for a business’s quantum leap is… continuous evolution and learning.
Leadership is… being the role model.
My most cherished possession is… my company’s R&D.
On your bookshelf, you’ll find… The Drama of The Gifted Child; The Forty Rules of Love; and, Gifted Grownups.
My greatest extravagance in life is… the life I am living.
My dreams for tomorrow are… to try and do things today.
The most valuable lesson I have learnt is… look at things from others’ perspective.
The most important quality that youngsters must imbibe is… stability, be it in relationships or at work. Click here to read more...

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

Executive Focus

Q. What is the business agenda for the coming year?
A. Our vision is to continue to build a strong and profitable network of exchanges; to expand and provide liquidity and risk management solutions to the developing and emerging economies of our region; and, to identify national and regional markets for our products. Our domain expertise will enable us to introduce trading in new asset classes on our tech-centric exchange platforms in different regions. We will vigorously pursue our mission of increasing access to markets.

Q. What is the next project you wish to undertake?
A. While my role encompasses technology and operations, my role as the Director of HR is surely the most challenging. Our HR vision is to make our company the most preferred employer, which I am sure we will soon achieve.

Q. What HR initiatives are being taken up for this?
A. Some of our HR initiatives include:

1. DOST (Dedicated to On-Boarding Support and Training): Assigned to every new joinee for three months.
2. AIMS (Acquire, Improvise and Maximise - Skills): In-house learning and development initiative to regularly conduct functional, technical, and development programmes.
3. Group HR Zone: Online HR interface for members to avail various HR resources such as policies, procedures, articles, etc. It also provides information on training and development and performance management activities
4. Listening Post: Dedicated to employee grievances and concerns. A senior HR professional conducts a one-to-one discussion with the employee to understand the concerns. These are taken as action points for improvement. We also have an anti–harassment cell.
5. Employee HRIS: Automated self-service modules such as Leave Management, Payroll Processing, etc.
6. Group interaction events: Such as the recently concluded JOSH 2011, our Annual Sportz Meet.
Our people practices have won us many awards and accolades, such as: award for Innovation in Retention Strategy in the Employer Branding Awards 2009-2010; Global HR Excellence Award 2009-2010 for the most innovative HR practices; and, Excellence in HR through Technology and Innovation in Recruitment strategy at Employer Branding Awards 2011. Our top three goals in becoming the most preferred employer are: a powerful and highly-valued employer brand; high levels of employee engagement; an environment which can engender an unparalleled and global learning experience. click here to read more....

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

Moulding Young Minds for a Better Tomorrow

Updating curricula to match the ever-changing industry demands is key to preparing students for future, shares Mr. Ashok Mittal,Chancellor Lovely Professional University, in his over 600-acre sprawling campus. “We are the people producing products for India Inc. We need to change the curricula and make it fit its requirements. So, a university should go to industries, get their requirement and then change the curricula accordingly.” At LPU, he says, the syllabi is updated every six month. The board reviews it on the basis of feedback from students and faculty members. The queries basically revolve around the syllabi and how effective it is. “To top it all, we send our curricula to the industry for feedback. This is why I say industry interface is very important in getting the curricula designed,” says Mr. Mittal. One needs to understand that students have friends studying in various institutions and they have this tendency of comparing the best and the worst things. So, LPU ensures high quality educational system. As majority of the LPU processes are online, identifying students’ needs is no problem, he points out.

LPU recommends and has an instruction plan which ensures that same curriculum, schedules and evaluation processes are being followed in all sections and classes. It has a class strength of 60 and every student has a user name and password. Click here to continue reading....

Read More IIPM Related Articles
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

She Writes Story Contest winner: Belinder Dhanoa

Belinder Dhanoa is one of twelve winners of the MSN-Random House She Writes a Story Contest', as chosen by our judges. Her story 'A Boston Brahmin' features in the 'She Writes: A collection of Short Stories' published by Random House India and available at all leading bookstores.

Belinder Dhanoa is a writer and an artist, with a Masters in Fine Arts in Art Criticism from the Faculty of Fine Arts, MSU, Baroda, and another MFA in Visual and Cultural Studies from the University of Rochester, New York. She is the author of Waiting for Winter and her second novel Echoes in the Well is due to release soon. She has also written several books for children and researched and documented Contemporary Art of Baroda, which was published as a book by the same title. She is currently involved in developing and teaching post-graduate courses in creative writing at the New School for Culture and Creative Expression at Ambedkar University Delhi.

read an extract from belinder dhanoa's story 'a boston brahmin'
If her fate had decreed that she be a world leader or a teacher, or even an official in the tax department, Rina believes, then she could have ended up as the Prime Minister or the Principal of a school, or even an official in the tax department. But she is the stay-at-home wife of a junior Vice-President of an investment bank who sometimes wishes that she had more control over the circumstances of her life. This is just her fate. Or so she thinks.

Rina shrugs off her dissatisfaction. Her surroundings are really so beautiful after all, that it is difficult to remain discontent. Sailboats on the river, puffy white clouds floating with carefree abandon across the blue sky, and all those wonderfully healthy-looking people-walking, running, even sunning themselves so purposefully. She watches the scene with gratification and does not notice the grime etched into the wooden bench on which she sits or the plastic bag with leftover lunch thrown under it. She does see the dazzling ripples of the water, and she does feel the cool breeze. She sees the fresh green of new leaves pushing against the blossoms to make their presence known. And she feels all the satisfaction of knowing that she is where she wants to be. Rina is in Boston. Or technically, as she might put it, in Cambridge, sitting alone by the Charles River, and enjoying a glorious mid-spring day all by herself.

'I will manage to spend the days by myself here with ease,' she thinks. 'It's so gorgeous; I could sit here all day, or at least half the day. Time will just fly. And then there's the shopping I have to do for dinner, and the cooking. I could maybe do without a maid and clean the house every other day by myself. That should keep me occupied. Then I could read a little, and watch a little TV. Who knows, I may even make a few friends and we could meet over tea or go out for a movie.' A chilly southern breeze bursts her little bubble of thoughts, making her pull her cardigan tightly across her chest. She stands up and slings her handbag on her shoulder, looks quickly around to make sure she hasn't dropped anything, and then waits for the lights to change so that she can cross Memorial Drive. It is a short walk to their apartment, a modern two bedroom, two bathroom set in a large complex close to the MIT.

in her own words: belinder dhanoa Have you always been a writer? What made you start writing? Yes, I have always been a writer, but it took me a long time to call myself one. I believed, you see, that only those with the talents and abilities of a Marquez or a Faulkner had the right to call themselves writers. Today I don't feel the necessity to define or restrict myself within any categories, but I do believe that if you write every day and it is your primary focus, then you are a writer - a good writer or a bad one is another matter.

What inspired you to enter She Writes?
I can't for the life of me remember how or when I entered the She Writes competition. I do know that I saw the call for stories a few days before I was to leave for a vacation, and I assume I must have written up and sent the story in before leaving. I am a little disturbed to find that I remember so little of how I entered the competition.

Why did you choose the category you did?
I did not think of a particular category when I wrote my story, and if the phrase 'frankly my dear, I don't give a damn' had not fitted into my story seamlessly, I would not have used it, and not sent the story in. The phrase, however, allowed for so much scope in its use, and also for so much irony that it was easily worked into my story.

Do you have a writing routine - e.g. do you have favourite places to write/favourite times of day/do you write longhand or on a computer? I write on my computer - though did not start as a writer on a computer. My first manuscripts were handwritten and then typed. My novel Waiting for Winter was typed, (on a precious Olivetti 'laptop' equivalent) and submitted, rather rashly, without a copy in my possession. Fortunately there were no problems.

I do not have a writing routine, but do write at my desk at home. You won't see me working on my laptop in cafes or other public places.

Who is your favourite author?
I have several favourite authors - among them William Faulkner, Doris Lessing, Saul Bellow, Milan Kundera - my current favourite Murakami. At different times the works of different authors have have enriched my life. While reading Dostoevsky as a young adult I never believed I would be as moved by any other writing - but I have been.

Which book has inspired you the most?
If I were forced to pick out one book that has inspired me, it would be Thomas Wolfe's 'Look Homeward Angel'. That definitely stands out among the many 'books I wish I had written.' Another is 'The Grass is Singing' by Doris Lessing. I do not enjoy the process of listing - and especially not of books and authors I love and respect - and everytime I write one name, another one jumps into my head. 

Which key piece of advice would you give to any other budding writer?

I would tell young writers - write every day.

Beyond Boundaries

Many people think that the role of HR is limited to the Human Resources Manager and the team in that office. In my opinion, nothing is further from the truth. The engagement of associates is the top priority of all leaders in a hotel. This philosophy has inspired a strategy that has been a turning point in the engagement of the team at the Courtyard by Marriott Gurgaon.

It occurred to me that the middle management and supervisors, while being consulted, were in fact not critically involved in the decision-making process. However, these same people were charged with the execution of strategies, whether they believed in them or not. I could not think that if you had no ownership in a programme, you were in a position to sell that to the team at the coalface. I sensed there was disconnect in associate engagement on this Supervisory level. I felt I was missing the part of the team who were accountable for everything but responsible for nothing.

I decided to roll out a programme wherein every Supervisor in the hotel meets with me in a committee environment three times a week for 30 minutes.

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face

Wealth Creation or Crony Capitalism?

from nano to sezs; from aviation to telecom, india inc. is a tale of state patronage

Some time during 1998, the media went into a tizzy. For the unthinkable had happened. First, the Delhi Police raided the office and residence of the Group President of Reliance Industries Ltd. V. Balasubramaniam. There were allegations that Balasubramaniam (or Baalu as the legendary lobbyist of the late Dhirubhai Ambani was famously known) had ‘violated’ the Official Secrets Act. Then again, officials of CBI raided the office of Reliance at Nariman Point in Bombay and even the fabled residence of the Ambanis called Sea Wind. All sorts of rumours flew thick and fast at that time. There were dark whispers that Baalu was in trouble because someone finally had the guts to nail him for getting access to the Union Budget even before it was presented to the Parliament. Most business journalists presumed that to be true; even though the allegations have never been proven. More than the raids, it was the political context of the time that had raised eyebrows across all and sundry. A government led by the BJP with Atal Bihari Vajpayee as Prime Minister was ruling India. Hacks, lobbyists and pundits were writing and talking extensively about how the rise and rise of the BJP and the decline and fall of the Congress had dealt a crippling blow to the ‘connections’ that Dhirubhai Ambani could boast of in New Delhi. Many had thought that the salad days of Reliance Industries, when it comes to getting ‘favourable’ back door benefits from the government at the centre were over.

They were conclusively proven wrong. It was under a BJP-led government in 2001 when Reliance made a classic back door entry into the mobile telephony sector of India – without a valid license! Mobile phone service providers like Bharti cried foul and loudly complained against this unfair treatment and asked for a level playing field. The matter went to the Supreme Court and Reliance was effectively given a back dated license after it agreed to pay a license fee. Then again in 2008, rivals cried foul when Reliance Communications, now led by Anil Ambani, was given licenses for launching GSM services across India. This time under the UPA government, but as we said, that debate is no longer relevant.

For some things never do change in India and for India Inc.!

When it comes to covering India Inc., the media has clear perceptions about entrepreneurs and business houses. It is taken for granted that the Ambanis are unmatched when it comes to ‘managing’ the environment in North and South Block. Of course, the Ambanis are also admired for the ‘wealth creating’ skills; but there is always that touch of cynicism when one mentions their name in the list of India’s top business houses. But no such sniggers are heard when it comes to discussing ‘clean companies’ like Infosys and business houses like the Tatas.

Unfortunately, like most perceptions, these pre-conceived notions are merely manufactured myths. The reality is: everybody takes advantage of ‘State’ patronage to create an aura of entrepreneurship and innovation. Take India’s most respected business house Tata. When Ratan Tata unveiled the dream car Nano in January, 2008 in New Delhi, the media went simply hysterical. Even the foreign media, which is usually condescending towards most things Indian, lauded the Nano as a modern day marvel. So hyped was the coverage that you would think Ratan Tata might get the Nobel Prize for leading a team of innovators that could make a car for less than Rs.1 lakh.

Amidst all this, someone like Mamta Banerjee was branded a spoilsport as she was protesting the acquisition of land in Singur in West Bengal for the Nano factory. Bristling when some media outlets gathered the guts to say that the manner in which Tata Motors was acquiring land would sully the good name of Tatas, Ratan Tata made a melodramatic statement to a TV channel: “ If I believe that we were doing something wrong, then I will be the first one to pull out… You put a gun on my head and pull the trigger or take the gun away, I won’t move my head.” Move he did. Both his head and Tata Motors’ factory moved lock stock and barrel from West Bengal to Gujarat. But even as it was shifting base, Tata Motors approached the Calcutta High Court requesting an order to stop the Right to Information Commission from revealing details about the tacit agreement it signed with the West Bengal government.

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
 

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

IIPM : The B-School with a Human Face

Can Ratan Tata Salvage his Nano Dream?

The Small Wonder has been Struggling to Match The Demands of its Target Group after The Settlement of the Initial Hype. The Storm is over. B&E gives a Detailed Analysis of The Past Issues and The Future that Lies Ahead for The Nano

Though the small nano uses less gasoline than many larger cars, the enormous potential numbers could mean an equally enormous environmental impact, an exponential rise in carbon emissions as well as other kinds of pollutants. The United Nations’ top climate scientist, Indian economist Rajendra Pachauri has said he is already “having nightmares” about precisely this scenario

”This was a prominent blogger writing soon after the launch of the Nano in January 2008

And of course, there was the brouhaha over the traffic jams, the pressure on Indian roads and what not. I remember my Editor-in-Chief Arindam being slightly baffled by the extraordinary hype generated in Indian as well as global media in January 2008 when a proud and beaming Ratan Tata wowed everyone by saying “A Promise is a Promise” while unveiling the Nano at the Auto Fair. The promise he was referring to was the one to keep the price of Nano at Rs.1 Lakh(0.1 million). Arindam was baffled because he was perhaps the only person who had written a stinging article in 2007 lambasting Tata and West Bengal Chief Minister Buddhadev Bhattacharya for the ugly mess at Singur, the original site chosen for the Nano factory. He had also logically argued how and why a Rs.1 Lakh(0.1 million) car was actually a chimera. Of course, not many alleged pundits of corporate India paid much attention back then. I remember journalists – who otherwise display better sense on some rare occasions – forecasting that Indians will buy more than 1 million Nanos a year very soon.

Sooner or later, reality has a nasty habit of catching up with hype. In early October this year, I sent a fairly long SMS to the Editor-in-Chief basically saying that it is perhaps time for a big story on the Nano since there were persistent and unflattering reports about the actual volume of sales of the Nano. In my SMS, I pointed out that July 2010 was the best month ever for the Nano with sales of 9,000 units. And sales started heading south after that – even though the Indian auto industry was in the midst of an unprecedented boom. We both agreed that it was time for an analytical story on the seemingly inexplicable inability of Tata Motors to increase volume sales of the Nano despite the hype around the brand.

Read more......

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
 

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

IIPM : The B-School with a Human Face

Indian B-Schools might fall short

Indian B-Schools are Facing an Acute Crisis of a Faculty Crunch and if Steps On War Footing are not Undertaken, Indian B-Schools might fall short of their Own Quality Benchmarks Themselves

When I teach “reverse innovation’, that is the idea I created. Therefore, I am going to teach it at a level of depth, which may not be possible for someone who reads my article and teaches from it” says Govindarajan. When Honourable Union Minister for HRD, Kapil Sibal, wrote the cover story in our sister publication The Sunday Indian this year, the dearth of faculty and the lack of focus on research were two of the key critical structural issues he brought out. And the issue is recognised not just at the high forums. When B&E stretched across India, educationists far and wide realised the issue. From professors like Deepa Shimpy (Professor at Symbiosis Centre for Distant Learning, Pune) to faculties like Prof. Krishnaswamy, Dean of Social Science for Higher Studies, Christ College, Bengaluru, the issue that top academicians shared with us was similar – the quantity and quality of faculty has gone down phenomenally since the coming up of many management institutions in India.

As per National Knowledge Commission, “The number of researchers in India was 112 per million inhabitants compared to 633 in China and 4,374 in the USA in 2002. The growth in the number of doctorates has only been a modest 20% in India during 1991-2001 compared to 85% in China during the same period.” And since it is mandatory in almost all top institutions in every field in India to hire only PhDs for the position of permanent faculty, the faculty crunch becomes inevitable. Secondly, the single biggest factor that B-schools in India do not have the requisite number of quality faculty is because of the fact that the investment in R&D in Indian institutes of higher learning is abysmally low and is thus, a deterrent to students going for PhDs and also for PhDs entering the teaching profession. In fact, as per a statistic, not even 1% of the MBAs go on to be doctorates in India. A May 2008 Assocham survey of 258 faculty members of B-schools revealed that 89% of the respondents were unable to state the country’s GDP growth rate in 2006-07, and less than 10% were aware of the subprime crisis in USA.

However, with the Foreign Universities Bill to be tabled in the parliament soon, the faculty crunch problem could be tackled with an iron hand as the setting up of foreign university campuses in India will bring many more NRI and PIO professors from B-schools in the West to India. But it’s high time that B-schools realise that however strong one’s course contents might be, until and unless the deliverer (nee, the Professor) is competent, the message simply doesn’t get across. Institutions and most importantly the government has to tackle this issue right here, right now.

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
 

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

IIPM : The B-School with a Human Face

Missing the Multiplier

Independent India has seen the MSME sector grow by leaps and bounds and is proving to be the most promising and reliable sector for job creation and poverty alleviation in India. Despite an elaborate and dynamic policy framework, the road to the next level for MSMEs continues to be hindered largely due to the lack of adequate and timely credit.

The Micro, Small and Medium Enterprises (MSME) sector is widely considered to be the engine of the Indian economy. Constituting over 80% of the total number of industrial enterprises, it serves as the backbone of the nation’s industrial development. However, since independence, it has been suffering from some fundamental problems (poor credit availability, low level of technology, less skilled manpower, low production capacity and others), which have been the major roadblocks in its endeavour to scale up.

Globally considered as the driver of all economies (developed & developing) and a medium for promoting equitable development, SMEs in India contribute significantly to the manufacturing output, employment and exports of the country. According to the 4th All India Census by GoI, Ministry of MSME, it is estimated that in terms of value, the sector contributes 45% to manufacturing output and 40% to total exports. The sector is an umbrella for around 30 million units (both registered and unregistered in both manufacturing and service enterprises) and is the biggest employment provider after agriculture; providing employment to 59 million people (2006-07), which is supposed to grow to around 70 million by 2010. Producing more than 8000 products for national and international markets, SMEs’ contribution to India’s GDP has risen three-folds from 6.04% in 2000-2001 to 17% in 2009-10, and is expected to reach 22% by 2012.

Of all the problems faced by MSMEs, non-availability of timely and adequate credit at reasonable interest rates is the most significant. Despite its commendable contribution to the nation’s economy, SMEs do not get the required support from the concerned government departments, banks, financial institutions and corporates, which hampers its competitiveness in the national and international markets. One of the major causes for low availability of bank finance is the high risk perception of the banks in lending to SMEs and consequent insistence on collaterals (despite strict RBI guidelines not to insist upon collateral against a loan), which are not easily available with these enterprises. Manas Kumar Nag, CGM-SME, SBI, adds another perspective to the problem, “Generally, SMEs coming for loans are not aware of their financial position, which leads to lack of transparency and hesitation from our side.” The problem is most acute for micro enterprises and first generation entrepreneurs requiring small loans. Let us look at the options that are available to them.

In the year 2000, the Credit Guarantee Fund Scheme for Micro and Small Enterprises (CGMSE) was launched by the Government of India to provide collateral-free credit and strengthen the funding system to facilitate smooth flow of credit to the SME sector. To operationalise the scheme, GoI and Small Industries Development Bank of India (SIDBI) jointly set up the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE). Both the existing and the new enterprises were eligible to be covered under the scheme. Under this scheme, the lender should give importance to project viability and the borrower should avail the credit facility purely on the primary security of the assets financed. The Credit Guarantee Scheme (CGS) reassures the lender that, in case of any default by the unit that availed collateral free credit facilities, the Guarantee Trust would reimburse the loss incurred by the lender up to 80 to 85% of the credit facility.

Read more.......

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
 

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

IIPM : The B-School with a Human Face

G’FIVE INTERNATIONAL LTD.: STRATEGIES ADOPTED AND THE FUTURE

It took time to come to India. But now that it’s here, the firm is giving nightmares to leading brands in the Indian handset market. What has made G’Five click? Critically, will it become the #2 soon? 

Clearly, G’Five is not an underdog anymore. It is not just another name in the crowd, despite the fact that there are 35 manufacturing vendors in the market today (a rise in count of 600% since January 2008). G’Five has very scientifically chosen the right target segments and product models to maximise its sales in India. In recent quarters, there has been a phenomenal rise in the sales of dual and triple-SIM cards slot phones. During Q2, 2010 alone, this category accounted for 38.5% of the total Indian mobile handset shipments – a phenomenal rise from under 1% in the same quarter a year ago (as per IDC; Nokia opposes this finding). To tap this opportunity, all the handset models that G’Five has launched in India over the last three quarters – T560, U800, F2, G9000i, et al – have all been a multi-SIM cards slot phones. The company claims that it has over 300 models in the Indian marketplace, and that it comes out with two new handsets every week.

G’Five also offers prices at points which are precisely as per the doctor’s prescription. Targeting consumers in the lower-middle segment and the bottom of the pyramid, G’Five has built a portfolio of products, which aim to provide a plethora of features, with acceptable quality and at very affordable prices (between Rs.1,300 to Rs.5,000) – an admixture that attracts both the neurologically complex urban dwellers and the simple rural populace. “The demand is so high in this sensitive segment that there is still a lot of untapped potential that G’Five can bet its future on,” explains Pankaj Karna, MD, Maple Advisors. Even IDC feels that G’Five’s dual strategy of tapping both the rural and urban markets with such offerings is what’s working the numbers. Adds Anirban Banerjee, Associate Vice-President – Research, IDC India, to B&E, “Based on our interactions with market participants, the large metros have already achieved a high mobile tele-density. Upcountry and rural markets continue to show a healthy appetite for mobile handsets. This trend should continue over the next 2-3 years...”

How a test drive turned into an insatiable hunger for covering countless miles for G’Five, is a question that would squeeze out boredom out of even the most lackadaisical of all strategists. And what makes this book an interesting read is the chapter that explains how G’Five understood the meaning of controlling costs, right from day #1. There are stark differences in quality – of both hardware and software – between G’Five’s handsets and that of the Nokias and the Samsungs. They show. There is also a difference in the manner in which G’Five makes profits. This too is not hidden to the naked eye. The company earns 99% of its revenues from exports out of China, and as such has not set up company-owned branches in any of the foreign markets where it sells, whether it be South-East Asia, the Middle-East, Africa or even South America. Its only manufacturing plant is in Shenzhen, and its lone operation centre is in Hong Kong. In short, the company gives its products to the distributors. This strategy helps to keep a check on operational and fixed costs, thereby allowing the company to enjoy high margins despite keeping the prices of its products at low levels.

A couple of decades back, a claim by any economist that China would overtake Japan as the 2nd-largest economy, would have earned him nothing but humiliating jeers. But China did prove its mettle. Today, you would not dare bet on a roulette on G’Five’s future success probability – at least, we wouldn’t!

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
 

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

IIPM : The B-School with a Human Face

Much ado about the ‘General’ @ Motors!

An IPO in the pipeline means that the US government could be well on its way to make a swift exit from running GM. This portends positive tidings for GM, which is recovering on the numbers. But a far more daunting challenge is looming up on the horizon. By Pawan Chabra

As General Motors (GM) filed for the Chapter 11 reorganisation process in the Manhattan New York federal bankruptcy court on the June 1st, 2009, the world saw another giant on its knees (literally!) after the collapse of Lehman Brothers in September 2008.

The ‘GM way’ was way off mark, and it has taken its own toll in no time for the Detroit giant; with the Japanese onslaught led by Toyota making matters worse. In fact, the demand fall experienced by the company was the worst in its history since World War 2. However, understanding the importance of the automobile industry and GM in particular for American pride, America Inc. and American jobs, the Barack Obama Administration decided not to take the Lehman Brothers way and instead keep GM alive by picking up a 60% stake in return for a significant additional oxygen infusion of about $30 billion. As the American president said on the GM restructuring initiative last year, “Our goal is to get GM back on its feet, take a hands-off approach, and get out quickly.”

The upcoming IPO of the company is a right step in the same direction – getting out. Government intervention surely saved America’s largest automaker and more importantly, millions of jobs associated with it. Undoubtedly, GM has made a speedy recovery going against what was expected by many industry experts at the outset. For the uninitiated, the company filed a profit of $2.2 billion in the first half of 2010 rather than guzzling it at a rate of $1 billion a month, the way it had been doing in the pre-bankruptcy period. As the US Treasury is reportedly looking at shedding close to 20% of its stake in the company, the fact of the matter is – while it will give investors a chance to complain by choice (unlike the earlier case where the US government used the taxpayer’s money to fund GM’s bankruptcy), the Government will continue to hold a substantial share in the company for the short-run, at least. But market watchers are of a view that government will like to move out as soon as possible.

Meanwhile, the strategy to make the China operations as a launching pad for India and other emerging markets has done wonders in no time. Apart from the fact that GM China emerged as the biggest foreign car manufacturer in the country last year, the only 12-year-old subsidiary of the company is very close to overtaking US in sales volumes. For the record, GM sold 1.83 million vehicles in China in 2009 with a whopping rise of more than 67% over 2008, while it sold 2.07 million vehicles in 2009 in US. No wonder, it has chosen Shanghai as the headquarters of its international operations.

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

 

Drunk pilots should be jailed!

It’s unbelievable that DGCA still does not cancel the flying license of a pilot flying drunk; the IIPM Think Tank does a critical analysis of the lopsided DGCA regulations

Last month, the DGCA announced that a pilot who gets caught drunk twice ‘might be’ sent for ‘rehabilitation’; and if caught thrice, the same ‘might’ lead to their job termination. Within two days of the announcement, DGCA upped the punishment post haste and announced that a pilot caught drunk once will have his or her license suspended for three months. A second time would lead to permanent suspension.

While the DGCA is self-applauding itself on its apparently stringent resolve to reduce drunk flying, one is flabbergasted at how lenient such a resolve is in reality, given the fact that pilots are responsible for the lives of more than a hundred passengers per flight. The DGCA should learn a lesson or two from the Delhi Traffic Police, which now has a zero-tolerance policy for drunk driving, where any driver caught driving drunk even once will have his/her license cancelled immediately (1378 licenses were cancelled by the Delhi Police in the last eleven months under this clause). Clearly, the DGCA feels that it’s all right to allow drunk pilots to keep flying.

Further, till now, the DGCA has been checking pilots through breath analysers before the flight starts, without keeping a check on whether the pilot drinks during the flight. Pilots know and realise this easiest method of avoiding getting caught. One is told that the DGCA, after so many decades of existence, has started advising such checks post the flight too.

We say that the DGCA diktat should have focussed on cancelling the licence of the pilot and jailing him. The Motor Vehicles Act already has this stringent provision of jailing for drunk drivers, with the term ranging from three months (for first time offenders) to six months (for repeat offenders). It’s unbelievably strange that the DGCA doesn’t believe in that.

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

MINING ITS WAY AHEAD

Despite a fall in profits in the last fiscal, nmdc is still among the top 20 profit makers in the country. But will the honeymoon continue for the mining giant? Deepak Ranjan Patra finds out...

It operates in the remotest of the areas in the country, surrounded and obstructed by Naxals and struggling with problems that the big bosses of corporate India can hardly imagine. But still, it gives its competitors a run for their money. Backed by such undying zeal, NMDC is one of the best mining companies in the country and it ranks 18 in the B&E Power 100 list, despite having a year that can be called disastrous for the company.

On the face of it, the results announced by NMDC for the last financial year may seem deceptive for many as profits for the particular fiscal year stood at `34.47 billion, down by over 21% from `43.72 reported in the previous year. But then, the fall in profits resulted more due to external disturbances that caused operational roadblocks for NMDC. As Kumar Raghavan, Executive Director (L & CC), NMDC, says, “In the beginning of the financial year (May, 2009), the Essar pipeline was blasted by the Maoists at several places, placing NMDC under great strain on evacuation of iron ore.” The kind of pressure that was created by the event could be understood from the very fact that the particular pipeline was one of the evacuation means for nearly one-third iron ore for the company’s largest projects at Bailadila, Chhatisgarh. Though the company tried its best to run the show smoothly, the event resulted in a drop of around 12% in the company’s iron ore sales to 25 million tonnes from 28.52 million tonnes in the previous fiscal.

However, the management of NMDC showed extreme character to brush aside the external hurdles during the year resulting in one of the best quarterly results in the company’s history during this period of the current fiscal. NMDC’s Q1 profit increased by a mind-boggling 94% to `15.04 billion from `7.74 billion in the year-ago period. Sighting significant rise in domestic sales as the key reason, Rana Som, CMD, NMDC said, “Improved physical performance coupled with higher prices, transparent pricing systems and improvement in evacuation resulted in the company posting a high net profit in the first quarter.”

Another reason for its success in the recent years has been NMDC’s tremendous ability to operate at the lower end of the cost curve. As explained by Paresh Jain, Analyst, Angel Securities, “At $7.2 per tonne, NMDC’s operating cost is one of the lowest in the global iron ore industry. The major reason for such low costs is the proximity of the company’s mines to ports and railways.” Moreover, to strengthen the advantage further, NMDC is now planning to build a 10 million tonne slurry pipeline from its Bacheli project to the Vizag port, which, as expected by Paresh, would help the mining company maintain its margins.

Read more.....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links

 

TO EARN PROFITS, ATTRACT INVESTORS!

Global Investment Guru Jim Rogers, who Co-Founded the Quantum Fund along with George Soros (The Fund Returned 4,200% in ten years, as compared to the S&P 500’s 47% in the same duration), believes that commodities are a strong investment avenue for indian firms, and that the govt. should cooperate to make india inc. more profitable

When the economy gets better after the ongoing recovery mode, commodities will go up. And even if it doesn’t get better, commodities will remain the hot favourite, as governments would press to print more currency and whenever the government has done that in the past, real asset prices tend to go up, be it rice, wheat or natural gas. In the present situation, a credible investment and productive capacity for 25 or 30 years in the commodity field will be excellent whether the economies get better or they don’t. Most of the commodities tend to be fruitful but for the near future that is 2 to 3 years, agriculture will be a golden call.

With the recent mergers and acquisitions (M&As) activity heating up the Indian market, like any other economy, Indians are shelling-out a little extra for the target company. But these M&As are of no sense as they normally destroy value. Forget about making-profits with these deals. If an Indian company can, it should rather invest in the stock market over M&As as there is a lot of liquidity in the Indian market and a huge potential in stocks. So stocks are the right way to go if you want to make profits.

Talking about the comparison between India and China, when returns are considered, the Chinese market will outperform India in the short-term, but with India allowing foreigners to invest in the Indian market, India will be a much better market in comparison to China in the long-term. But considering the manner in which the government behaves and acts on important economic and corporate decisions at present, I am not really sure that the government in India actually means good. But if it does, India is really the place of more interest. Hence, for the time being, China is the preferred destination and Chinese companies would be my desired targets.

Talking about profit-making in the farm & agricultural sector in India, at present, a lot has to change. There has to be definite reforms in different sectors in India to unlock their potential specifically in agriculture, where India can be a leader in the global economy, as India has the soil, weather & location. Unfortunately, the government is ruining agriculture with all kinds of restrictions and despite thousands of Indian farmers committing suicide every year, the government is allowing the restrictions to develop. A farmer in India cannot have more than 5 hectares of land and these Indian farmers can never compete with their counterparts sitting in Australia and America. A farmer in India has the potential to own 10,000 hectares. The Indian government should open up the agricultural sector, so that it becomes much more competitive.

Read more....

Source : IIPM Editorial, 2012.

An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri's Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM's Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links