IIPM Editorial

Tuesday, November 20, 2012

RURAL INDIA: ELECTRIFICATION

Electricity is still a hope..

The Government had earlier pressed the CPSUs into service to assist State electricity boards in the work of rural electrification and distribution reforms. The scheme is being implemented by the state-owned Rural Electrification Corporation, which is providing 90 per cent of the capital cost of the programme on behalf of the Centre as grant for creating rural electricity distribution backbone.

Under the proposed rural electrification plan, States should have mapped and detailed the electrification delivery mechanisms (grid or standalone) on an urgent basic. For the purpose of rural electrification, a village would mean a census village.

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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.

2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
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

Monday, November 19, 2012

US: PROSECUTION

It’s amazing how US continues to execute ‘criminals’, blind to the fact that many convictions could be wrong

It further reveals that African-American defendants receive the death penalty at thrice the rate of white defendants (especially in cases where the victims are white). Moreover, killers of whites are treated more strictly than killers of the non-whites. In a survey of 1,788 male inmates by Human Rights Watch, about 21% claimed they had been forced into sexual activity and raped during confinement.

Clearly, Illinois’ Governor George Ryan’s statement in January 2000 was less hyperbole and more of pertinent argument, when he said, “I cannot support a system which, in its administration, has proven so fraught with error and has come so close to the ultimate nightmare – the state’s taking of innocent life... Until I can be sure everyone sentenced to death in Illinois is truly guilty, ...no one will meet that fate.”

Even now the Nebraska top Court’s ruling uses an electric chair that violates the state Constitution’s ban on cruel and inhumane punishment. Strangely, the US Supreme Court has repeatedly declared lethal injection to be ‘uncruel’ and humane, in spite of documented evidence that the cocktail of drugs used to execute criminals could cause severe anguish. Well, what more can you expect of a nation, whose people argue more about Paris Hilton’s dressing sense, and debate more about Britney Spears’ marital problems, than of severe human indiscretions.

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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.

Thursday, November 15, 2012

Onboard spicejet

Why is aggression in fleet size increase and pan-India penetration ‘illogical’ for SpiceJet and other LCCs in the current times? B&E’s steven philip warner presents an insight...

“What the hell is going on? It’s a bloody godforsaken route… How can we fly with just five passengers?” shouted a SpiceJet official as we were waiting in the lobby of the carrier’s office in Gurgaon; words that gave us more than just an idea of the ‘discomfort’ prevailing in the LCC camps in the domestic aviation sector. Ten minutes later, we found ourselves seated in a ‘simple’ cabin which belonged to Siddhanta Sharma, Executive Chairman, SpiceJet Limited. There was just one photograph on the wall, that of Mother Teresa, perhaps a sign of what was missing in the hearts of many at SpiceJet and other LCCs – peace! Four cigarette buds snubbed on the ashtray revealed that the man on the desk (we were still waiting for him) had been extremely busy of late. And finally, the cup of black coffee on his table, silent & still… getting colder by the minute, perhaps symbolizing the half-hearted smiles flashed by LCCs who once dreamt of making it big; the only ‘big’ things they got were ‘big’ aircrafts & ‘bigger’ elusive dreams!

Domestic aviation is clearly at a crossroads. While on one hand, players are losing out on precious funds, on the other, rising fares are ensuring a fall in demand by the day for LCCs. Full Service Carriers (FSCs) on the contrary, are gaining lost ground; sad news for the middle-class Indians, is how we put it. Siddhanta justifies the thinning situation as, “As far as the fares are concerned, low cost does not mean that your fares remain low and constant. Also, one reason why market share has gone in favour of some fsc carriers is because they have been adding capacity as well.” If that’s so, why isn’t SpiceJet adopting an aggressive strategy to increase fleet size from the current 17? Explains a logical Siddhanta: “Today is the question of survival! You can’t be aggressive just for the heck of it! We just can’t go on adding capacity illogically. Given our philosophy of maintaining the same aircraft types, there are not many destinations you can go to where you can fill 189 seats every time.”

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.

Saturday, November 10, 2012

Time to take on the Dragon

US model of capitalism will take many countries like India nearer to China’s level of prosperity

Though there has been no formal cold war between two emerging Asian giants China and India, their growing economic and military presence raises many global concerns about geo-political stability which has become one of the most imperative agendas on the global stage especially for geopolitical interests of superpowers. In such circumstances, Bush’s growing interest towards Indo-US alliance seems to a very prodigious strategy in long term which also impliedly indicates India’s edge over the Chinese Dragon. Though, in many socio-economic indicators, including GDP growth, literacy, poverty eradication and China’s impressive performance in attracting FDIs, have taken China well ahead of India. India has been able to attract just half amount of FDIs, compared to China, and is far behind when it comes to really establishing world-class manufacturing facilities. But a deeper look assures that India has greater competitive edge over the Dragon in long run. It has succeeded to achieve almost equal economic growth rate as that of China, with less than half the amount of China’s FDI. It exhibits India’s greater efficiency in effective utilisation of limited funds. And those big manufacturing facilities that are engineering China to global economic power status, is mostly caused by massive foreign investments. So, wide range of products might be made in China, but not necessarily made by China, whereas in the case of India, made in India is more often synonymous to made by India.

China has been able to attract massive FDIs because of its faster economic liberalisation and introduction of privatisation in its agricultural industry. India has been slow and late in that respect. But what really is driving India and will take it ahead of China, is its strong and booming corporate sector backed by country’s rule of law and strong financial system. Democratic quasi-capitalism model and drive towards the US model of capitalism is actually helping India create more entrepreneurs and increasing competitive environment. Emergence of world-class Indian MNCs like Infosys, Wipro, TCS in software industry, Ranbaxy, Cipla in pharmaceutical industry, Mahindra in auto sector, and conglomerates like Tatas, Birlas and Reliance and there are many lined up to soar; is a sign of it. But business environment in China isn’t same. Businesses are frightened because of quasi-feudalistic rule of laws.

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.

Friday, November 9, 2012

BUDGET: INCREMENTAL BUDGETING

The budgeting process is planned as per changes forecast last year

The achievement of the economy will fall short of credibility if we do not address the endemic hunger, lack of education and low standard of public healthcare. Our per capita spending on education is $26 (annually), as against $8,900 in the US! Our health expenditure (per capita) is $24, while the US spends $6,096 per person per year! The rural housing programmes have not been successful either. The insurance cover is far lower than that in the West.

Despite its limitations, most rich nations follow Incremental Budgeting, whereas developing countries follow Repetitive Budgeting. India, with one-sixth of the world’s population, needs to urgently and massively increase its allocation in the social sector in order to rid itself of poverty, disease and illiteracy. Should not then this system of budgeting be taken into account?

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.

2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
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

Thursday, November 8, 2012

what he has done in real estate?

Not many have achieved this globally. But he wants to do in hotel industry what he has done in real estate. By siddhartha nahata

The spokesperson of ITC Welcome Group Hotel explains, “Both of them are totally different businesses. The common factor might be the layout of the property, but after that in the hotel business you enter into services, which is different from real estate. You need to have specialisation in logistics, manpower, and maintaining standards.” This is amplified by Nisheeth Srivastva, Director, Federation of Hotel & Restaurant Associations of India (FHRAI), who claims, “There are many differences between the hotel and real estate industry. The dynamics of the hotel industry are way too different, but at the same time a real estate player also has an advantage of having his own experience of property layout.”

Well, Singh has decided to walk on this untreaded path. The plans are gigantic and they can make DLF the number one hotelier in the country, ahead of Indian Hotel Company (IHC). IHC has a room inventory of 9,000 rooms and plans to double it in the next two years. But DLF has chalked out a mega plan of 25,000 rooms spread across different segments (luxury, business, leisure & recreational). Actually, DLF has made headway in implementing the plan. The construction of 6,000 rooms is under process across major cities and tourist destinations.

Singh’s confidence can be measured by the fact that he plans to list the hotel division (along with the separate listings of other divisions). DLF’s company spokesperson says that “work towards the listing of the hotel division is on track and has made significant advancements.” The plan looks perfect. To make his journey an easier one, Singh has struck deals with the world renowned hotel majors like Four Seasons and Hilton. The sharp-minded Singh was quick enough to gauge the importance of inorganic growth to make it big in the hotels business. Recently, DLF acquired the global leading luxury hospitality chain Aman Resorts for $400 million giving it a presence in the international hospitality realm. Such deals will help DLF to master its skills in crucial areas such as manpower, logistics, and supply chain.

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

Wednesday, November 7, 2012

POVERTY: DONATIONS

Peace, pride and prosperity can’t be imposed, bought or sold

Economic boom of Botswana and shrinking future of Zimbabwean economy proves how quality of governance makes vast difference in last few decades. The history is not different in most African countries. Moreover, illiterate local tribal leaders, corrupt politicians, officials, local police, mafias have left nothing good in their countries.

The World Bank urges developed nations to aid poor countries. They are doing so. External annual aids to Africa are going to touch $25 billion by 2010. Aid is really not helping them. Peace in Sierra Leone, Liberia, Angola, Ethiopia and Eritrea is in progress and even Congo is now better than what it was a year ago, as they all strived for it. Aids have put these countries on crutches. Over-dependence on aids has discouraged entrepreneurial spirits, proactive participation on revenue generation and fuelled bribery, corruption et al. The World Bank has to keep in mind that pride and prosperity can neither be imposed nor be bought or sold. Those who have fought and strived for development, have achieved it. But will the World Bank heed to this?

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Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

Tuesday, November 6, 2012

Voices from within & outside

Capt. G. R. Gopinath

While on one hand, Modi did much for the urban population in Gujarat, on the other, he also made efforts and opened up various facilities for the rural masses. Moreover, he did everything fast and therefore the result was there before everyone to see within a short interval of time.

Founder, Deccan Aviation

Sushma Swaraj

Citizens are realizing what they are lacking in today’s time. At the grassroots, people are much more informed. So development is becoming a very important factor not just in deciding who wins but also who does not win. Also, Congress could not come up with an issue. And that led to their defeat. BJP MP, Rajya Sabha

Abhishek Manu Singhvi

Quick fix generalisation can be dangerous. The general rebuke of development is also too amorphous, to become the sole determinant of victory or loss. Does this mean that the BJP didn’t develop when it lost the union election in 2004 or for that matter Maharashtra assembly or the Haryana assembly and so on?

Congress Spokesperson & MP, Lok Sabha

Rajiv Pratap Rudy

If you look at the UPA government, PM Manmohan Singh is undoubtedly treated as a honest man but the perception of him giving a strong political leadership is completely absent which does not advantage the political party he represents.

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

Monday, November 5, 2012

Tau Tau in Haryana!

Devi Lal’s political capital is depleting

Devi Lal, ‘Tau’ to the world of politics in Haryana & Deputy Prime Minister for two short terms, is one of the founders of the state, in the mid 1960s and is seen as the natural inheritor to the Chottu Ram legacy, the legendary Jat leader of pre-1947 Punjab. He became Chief Minister, riding the anti-Emergency wave in 1977 and since then, dominated the state like a colossus. A member of Congress till 1971, he became a bitter anti-Congress leader for the rest of his political life. He won simultaneous elections from two constituencies in the anti-Congress wave of 1989, from Rohtak in Haryana and Sikar in Rajasthan. Son and former Haryana Chief Minister, Omprakash Chauthala told B&E: “My father gave the respect that farmers needed. He practically built Haryana and laid down the foundation of a strong agricultural society. That is why he is worshipped here.” Chauthala, aware that the Assembly elections are still far away, is looking for a national role for himself, in any United Front Government that may come to power in next general elections. His sons, Ajay & Abhay, too are waiting in the wings. While Ajay is a MP, Abhay is content with state politics.

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

Friday, November 2, 2012

THE WORLD NEEDS DUBAI!

B&E UNDERTAKES A FINANCIAL PRIMER ANALYSIS ON THE ECONOMIES THAT HAVE A HIGHER PROBABILITY OF COLLAPSING THAN DUBAI... AND SOME MORE!

Dubai sent shockwaves across the world when the news broke out that Dubai World, Dubai’s chief investment vehicle, wanted to defer its repayments on all or part of its $59 billion in debt. Dubai World alone is responsible for almost 75 percent of the entire debt of Dubai, which stands at $80 billion. Although post 25/11, when the news broke out for the first time, the ruler of Dubai did release an official statement comforting global investors (specifically on December 1, 2009 – the global financial markets stabilized a bit after that statement), but the world is still keenly looking forward to December 14, 2009, as that is the day when bonds worth $3.5 billion for Nakheel – the real estate arm under Dubai World and the company behind the prestigious palm shaped manmade islands – become due. A great deal of Dubai’s future and global investors’ fate would be determined on how the company deals with the bonds issue!

In fact, for getting the right perspective of what is happening to Dubai, one has to peep into Dubai’s recent history. Today’s crisis is not a result of any overnight occurrence, but has been something that has been brewing over the years. And the answer lies in the growth model which Dubai appropriated for itself almost a decade and a half back. The manner in which this particular emirate grew in the last one and a half decades, dwarfing all conventional growth models, is no secret! Long back, the rulers of Dubai – the Makhtoum family – realized that with depleting oil reserves, they had to find out an alternate development model which was different from the traditional petro-dollars model adopted by most economies in the Gulf region. So, for the past one-and-a-half decades, the focus was mainly towards transforming Dubai into a real estate heaven, and a financial and trading hub of the entire Gulf region. Initially, Dubai faced a lot of criticism with respect to its growth model (as it embraced Westernization) from the other nations in the Middle East region, including the other emirates of UAE; but gradually with time, it became the darling of investors.

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