Friday, November 30, 2012

We don’t make clones! We do?!?!

That was just a joke... But drug testing is getting big in India; serious!!!

India has made a mark in the low-end bio-equivalence testing for generic drugs. With its huge patient base, low cost advantage, completion of clinical test on time, improving infrastructure, the platform is experiencing a double-digit growth in the clinical trials market. All major pharmaceutical companies and Clinical Research Organisations (CROs) have started conducting their clinical tests in India, and with improving infrastructure, industry friendly regulations and trained workforce, the growth is only likely to increase in the near future. Statistics also show that during the last three years, the industry turnover has increased from Rs.200 million crores to Rs.1 billion. According to a 2008 McKinsey report, the industry is expected to touch the dream figure of Rs.50 billion by 2010.

But there are challenges too! To achieve its goal of becoming a global hub of clinical trials, the country will have to conquer roadblocks like unethical trials, delay in trial approval (India takes 6-8 months for forming a ‘Phase-I molecule investigational new drug’ committee.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , ,

Thursday, November 29, 2012

MALAYSIA: BANNING HINDRAF

Banning Hindraf is akin to killing human rights in Malaysia

Post ban the situation has become so grave that both Hindraf’s activists and leaders are being trailed unnecessarily. Even the Human Rights Commission in Malaysia (Suhakam) has backed out from taking an official stand.

Hindraf has over the years become popular in Malaysia and its battle cry 'Makkal Shakti', meaning 'people's power' has become a rallying call of unity for the opposition. And today it represents a call for transparent distribution of wealth and opportunity in the country. Feared by its popularity, the government is accusing the group of disturbing the delicate ethnic balance through its 'links' with Sri Lanka's LTTE organisation. Those politicians who call the behaviour of Hindarf 'disappointing' and 'unjust' must look at the grim situation that the minorities in Malaysia are facing. In a country with good economic capacities, exploiting even the minorities can itself be a reason to break the public order.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , ,

Wednesday, November 28, 2012

Dark chambers of apocalypse...

The twentieth century saw the development of some of the most gruesome war doctrines. Yet, ironically, a few even contributed to save the world... like the MAD doctrine, or Mutually Assured Destruction!

It was not until the advent of the World Wars in the 20th century that the very concept of war doctrines got prominence and constant refinement. No doubt, the invention of the gun powder itself had a lasting impact as to how a war should be fought; and cannons took it further. Yet, even during World War I, there was an undeniable dependence on the infantry, even though the modernised cannon in the form of Howitzers and machine guns were making their presence felt. Air force, rudimentary though, was bringing a new dimension to the concept of warfare.

Overwhelming the opponent lurking in the deep trenches was now not that difficult as it was in the past. And war was now not just for the sake of territorial expansion but also a weapon to fight back against colonialism and dominance. The gap between the First World War and Second was essentially the one when technology was making sure that the very paradigm of war would be changed once and for all and especially that in many cases, the realms of war would be far away from the places of action. War has never been an incident in isolation but an extension or perhaps the last resort in the furthering issues of geopolitics. All that the World Wars did was to extend it to a global affair. The Second World War, in particular, was more of a war between one doctrine versus the other than just one between the Allies and the Axis. So, while the Germans had overwhelmed the British, the French and the Russians with their ‘Blitzkrieg’ doctrine [wherein, they would attack with an overwhelming force with an admixture of infantry, artillery and air support. It starts with aerial bombing, followed by a swift invasion by the army and tanks], the Japanese had taken it one step further by their ‘Kamikaze’ [suicide missions] doctrine on the US naval base in Pearl Harbor in Hawaii, with their Yokosuka D4Y bombers.


Read more......

Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , ,

Tuesday, November 27, 2012

Back where we started?

US and North Korea need to move towards a workable solution

North Korea’s recent announcement that it has stopped disabling its nuclear facilities and is mulling over restoring the Yongbyon reactor, which is capable of making material for atomic bombs, sent alarming signals across the globe. The country accused US of failing to keep its promise of removing North Korea from the list of ‘State Sponsors of Terrorism’ and ending economic sanctions imposed by the Trading With the Enemy Act. “As the US side failed to keep its own side of the agreement, we cannot but take the following measures under the principle of action for action,” North Korea’s foreign ministry said. Currently, five countries are on that list, Cuba, Iran, North Korea, Sudan and Syria. North Korea was added to the list in 1988 on charges of selling weapons to terrorist organisations, giving asylum to Japanese Communist League-Red Army Faction members, Rangoon bombing, an attempt to assassinate the then-South Korean President, Chun Doo Hwan in 1983 and for the bombing of KAL Flight 858 in 1987 which killed 115 people. There are also other accusations like counterfeiting and producing $15 million worth of 'supernotes' every year to clandestinely procuring plutonium.

North Korea contends that despite agreeing to become a part of the six-party talks on nuclear disarmament of the Korean peninsula, and unveiling all details of its nuclear facilities, the group has not been able to reach any result. Negotiations with US earlier this year have also broken down. As per Uncle Sam, N. Korea should have a mechanism in place to identify its nuclear dossier.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , , , ,

Sunday, November 25, 2012

When in India, do the Indians

This is the motto of tyre consumers in India as 3/4th of tyres sold in India are Indian!!!

Digest this: In this age of foreign brands and FDI, 74% of the Rs.190 billion Indian tyre industry is dominated by four big ‘homegrown’ players! ‘Homegrown’ is the word! Leading the race is MRF with a thumping market share of 22%. It is closely followed by Apollo Tyres, JK Tyres and Ceat (with a 21%, 18% and 13% market share). This is very unlike the complementary automobile industry where global names rule the roost. This however was not always the case. Till the late 1960s, players like Dunlop (UK), Firestone (USA) and Goodyear (USA) with vast R&D expertise dominated the tyre industry in India. However, protectionist policies of the government forced these MNCs to pull out, and that’s where the indigenous players struck hard. So will the international giants always remain ‘Also-rans’?

Well, at least when contrasted in the current scenario, it becomes obvious that the Indian tyre makers are not willing to loosen their grip on the roads! Even the targets & investments from the global giants appeared too conservative in a growing market as an auto analyst explains, “In their second stint, a lot of time the global tyre companies came to India with small targets and concentrated only on niche, high-end segment.”


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , , , ,

Thursday, November 22, 2012

State ‘deals’ with ‘secularism’

The nature of the beast is clearly hypocritical, given the way the State ‘deals’ with ‘secularism’

For sixty years and more, they have been treated by political parties like a monolithic vote bank.

A classic example of this mentality is the ridiculous debate going on about how Muslims will react to the civilian nuclear deal between India and the United States. Many self proclaimed saviours of Islam in India have started issuing statements that the Muslim community is against the nuclear deal because George Bush has virtually declared jehad on Islam. Try telling that to a Muslim parent worried about sending her children to the right school. The roots of the problem lie in the hypocritical manner in which political parties and the State deal with secularism.

In a deeply religious country like India, the State obviously cannot write off religion as the opium of the masses-no matter what the Marxists say. And yet, does the State have be involved in religious activities? Why should the State run religious shrines instead of them being managed by people practicing a faith? The best way for the State and for policy makers to practice secularism would be to provide opportunities to all citizens-irrespective of caste and religion. But so entrenched has been divisiveness in the Indian polity that it has become de facto State policy. When the State starts playing with religion, the only result is disaster. Look at what is happening in Pakistan.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.


Posted by at
Labels: , , , , , , , , , , , , ,

POPULATION: STABILISATION FUND

Did you say ‘fall’? India’s population grows, and JSK is the new tactic

Interestingly, JSK has already undertaken many initiatives, like the National Rural Health Mission, Janani Suraksha Yojana, GIS Maps, call centres, virtual resource centres and workshops for adolescents and youth. A new strategy called ‘Prerna’ (aimed at promoting responsible parenthood) and ‘Santushti’ (directed towards encouraging gynaecologists to perform 100 tubectomies) are at the forefront of innovative society inclusive strategies.

Will JSK succeed? Perhaps; but surely only if this programme is made free of bureaucratic & political over indulgence. Moreover, unless the involvement of various stakeholders is encouraged – quite akin to UNDP initiatives globally, that involve not only the ‘trainer’ but also the affected party itself – such programmes can only end up in a mammoth waste of time, effort and of course, money!


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , ,

Tuesday, November 20, 2012

AGRICULTURE: LOAN WAIVER AND POLICY

Loan waiver clubbed with fertiliser subsidy proves the point

India badly needs a transparent and a corruption-free implementation of these schemes, especially in the rural areas. Moreover, here the need of the hour is that some of our foreign-educated Ministers need to pick up a lesson from the books of the European system where the credit mechanism works directly between the government & farmers and there is no menace of the middlemen.

The efficiency level is high, and the money is directly and immediately reimbursed once the credit is taken by the farmer. However, appropriate care has to be taken in this regard too as even protectionism has its perils...

In the end, though India is striving to incorporate such strategies and policy mechanisms (the last budget stands proof), powerful defaulters can send the wrong message, which can lead to anarchy and chaos amongst the vulnerable farmers. Frustratingly, Indian politicians need to show more ‘logical’ care than just distribute humanitarian alms. 


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , , ,

Monday, November 19, 2012

Bruce Willis, damn!

The lack of a central anti-terror agency is hitting some countries too hard

Alright, beat this question! What’s common between Italy & Germany? Of course, they have some of the world’s most fanatical extremist outfits – Germany has the Baader-Meinhof gang, while Italy has the infamous Red Brigade – but more importantly & unbelievably so, these two nations [like many other developed nations] have not had even one terrorist attack in the past many years! And even the ones that have happened, have been one-off, unlike countries like India, where terrorist acts are almost monthly, if not weekly, in strife-torn areas.

How have these countries achieved this? By using a straightforward strategy – make sure that a central intelligence mechanism of the nation state is able to neutralise the elements even before their terror plans get executed. While everyone acknowledges the need for a central anti-terror agency, it has been witnessed that some countries, like USA [where FBI, CIA, NSA, DEA all operate on different intelligence platforms – one reason why, experts say, 9/11 happened] and India [with CBI, EOW, CID etc...] were quite unwilling to accept such a proposition. While in the US, the different agencies yielded too much individual power, the case in India has been quite promiscuous – for example, if, say, police intelligence comes under Central control, state ministers would worry that they themselves would come under scrutiny!

But things have been changing. In USA, post 9/11, the Department of Homeland Security was formed to integrate all the activities of internal security; further, the effort was termed a “national strategy” rather than “federal” to ensure individual states do not feel their agencies are being taken over by Central rule. Russia today consists of 21 republics, 46 federal provinces [oblasts] and nine territories [krias]. One would be surprised to know that each of the 21 republics under the Russian federation even have their own Constitution. Yet, when it comes to terrorism, Russia has often been harsher than even the US.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.


Posted by at
Labels: , , , , , , , , , , , , , , , , , ,

Sunday, November 18, 2012

Never say die.................till you’re dead!

The biggest five loss making companies of India

Tell us! What’s the connection between ‘Love’, ‘Loss’ and ‘Alprax’? This one’s easy. It’s damn easy to get rogered in the former two, and you better have the latter close at hand to avoid a nervous breakdown. There; that was easy, wasn’t it! Accept it; finally, all it takes is that one call, one sms, one email from the woman you loved all this while – or from the portfolio manager you hated all this while – to inform you that all your investment has gone down the drain! India as a country is in the middle of a growth flood. It’s hard to imagine then that a company can end up getting losses in an economy where the corporate sector’s profits have actually grown by a smashing 25% in FY08 (see our last story).

It’s not just getting a loss in one quarter, but getting it again and again quarter after quarter, year after year, and so on, that gives the creepiest nightmares to the shareholders that have invested in these handful of companies of India Inc. And the wonder of it is, that it’s not just loss making Indian companies that have destroyed shareholder value, but even hugely profitable ones (see our third story). If India’s sneezing, surely America must have been knocked out cold! And truly, American companies, with their sub–prime blunders, seem thoroughly smashed up (see our fourth story).

But closer home, it’s an issue that seems quite worrisome. Think about it. While companies like Wire and Wireless and Moser Baer India have raked up losses close to Rs.80 crores, well known companies like Tata Teleservices (Maharashtra) Ltd. and Strides Arcolab have added to the glory by going beyond the Rs.100 crore loss figure. But the king of bad times clearly seems to be Deccan Aviation, with a mind numbing loss figure of Rs.834 crores, the largest loss by any listed company in India!

So how did they end up in losses? It’s interesting to note that almost all the above mentioned companies had their spokespersons travelling when we contacted them for the reasons. Air Deccan to B&E: “Captain Gopinath isn’t in town...”; Tata Teleservices (Mah): “As the spokesperson is travelling, TTML would not be able to participate”; Strides Arcolab: “Your questions are too general; the concerned spokesperson is not available, we cannot participate”; Moser Baer: “We have been very busy for the last few days; you can take comments from our press releases...” and so on so forth.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , ,

Wednesday, November 14, 2012

210? Better to jump ship!

Proposed amendment to Indian law is not sensible

Rarely would we have imagined, even a decade ago, that an amendment to Indian M&A law would have such far reaching implications across the globe. But with so much dependence on the Indian economy now, this comes as no surprise today.

The Indian government has come under the scanner for introducing merger control amendments to its competition act of 2002. As per the provisions, any company which does business in India will have to seek permission from the government in an event of it being involved in M&A activity, even when it does not involve Indian operations at all! It is believed that the government has brought these changes to safeguard interests of domestic companies. The us and several other bar associations have voiced severe concerns. The matter has even reached the us Congress in order to pressure India. According to Rajesh Menon, Senior Director, CII, “This would lead to the possibility of some deals not fructifying and eventually slowing down the process of economic growth in India.”


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , , , ,

Friday, November 9, 2012

SUDAN & CHAD: PEACE TREATY

Indeed all privately doubt that any of this is for real

This – “sustainable stability” in the words of the French Ministry -- was impossible in the absence of “normalisation of relations between Khartoum and Ndjamena.” Both country’s capitals are in a capital mess. The Chadian National Alliance, part of a rebel coalition that attacked Ndjamena last month, laying siege to Déby’s presidential palace for two whole days, said: “This (the deal) doesn’t concern us.”

Janjawid militias, for their part, heap all the blame on Khartoum, which it accuses of violently crushing “this most just local rebellion”. In an interview to a London TV one of its leading commanders, Mohammed Hamdan, sourced the militia’s weapons and orders to the Sudanese government. Indeed how very fragile and improbable this so-called “peace pact” became clear that same day.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
Posted by at
Labels: , , , , , , , , , , ,

Thursday, November 8, 2012

INDIAN BUDGET: WHY THE NEED FOR SECRECY?

The IIPM Think Tank proposes that the Indian budget should not only be a societal budget, but also be a platform wherein the contribution of aam admi should be allowed

Even total Union Government spending has significantly decreased (as a proportion of country’s GDP) in 2007-08 compared to 2006-07. There should have been an increase in the Plan expenditure component in order to endow India with ample resource support for critical development to sectors like agriculture, employment, health and various other social sectors.

What can be more manipulative; allocation for social sector was a mere Rs.50,000 crores, compared with total subsidies granted to the ‘rich beggars’ and corporate lobbyists, which stand at Rs.500,750 million, Rs.537,680 million, Rs.22.3 billion on various subsidies, export promotion schemes and customs and excise exemptions, respectively.

To reduce indebtedness of farmers, FM had put up a provision of increasing bank loans to Rs.22.5 billion and also to cover an additional 50 lakhs peasants. But then, why – even after such a huge farm credit in the agriculture sector – there is no stopping the farmers’ suicides? The budget did have a provision for a five year tax holiday for multi-star hotels in Delhi & NCR keeping in mind the approaching 2010 Commonwealth Games (the progress for which is again not up to expectations). Moreover, the budget did offer Rs.5 billion plus various tax exemptions to the corporate houses, but didn’t find it important to spare sufficient resources for social sectors. Isn’t it a gargantuan waste of taxpayers’ money? According to the Education For All (EFA) Global Monitoring Report 2008, India is one of the 25 countries that are far from achieving the goals of the EFA. Studies show that condition of malnutrition and sanitation in India is worse than in some Sub-Saharan African countries.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
 
IIPM : The B-School with a Human Face
Posted by at
Labels: , , , , , , , , , , , , ,

Retail revolution

After losing out market share to competitors, India’s PSU bank is slowly becoming a one-stop financial shop. By asif ahmed

One down, six more to go! That’s what O.P. Bhatt, the Chairman of State Bank of India, must have thought as he prepared himself for Herculean task in front of him. On that particular day, he was supposed to interact with the boards of SBI’s six associate banks to consider the biggest merger in the history of Indian banking industry. Of the bank’s seven associates, the merger of the State bank of Saurashtra with the parent bank had already been approved; the remaining would happen soon, thought Bhatt.

But that fateful day never came. Intense opposition from the Left parties that supported the UPA Government at the Centre, and bank trade unions forced Bhatt to never attend the crucial meeting. In fact, the meeting wasn’t held at all, and the proposed merger was indefinitely postponed. However, this is one credit that Bhatt would like more than anything else. This is despite the fact that the SBI chairman has changed the way India’s largest bank interacts with its customers.

How the times have changed for SBI in the past few years. As competition intensified, SBI was hit by falling market share, had to raise funds for expansion, and look for new avenues for growth. For instance, in 2004, the State Bank Group (SBG) accounted for 27.8% of the total banking assets, which fell to 23.3% in 2007. In terms of deposits, while SBG controlled 27.6% of deposits in 2004, the figure shrunk to 23.5% in 2007. But still, Bhatt is thinking in terms of a banking mega merger.

The reason: Bhatt knows that size matters. If SBI can become a banking and financial powerhouse, it will be in a better position to combat private and foreign players. It’s only when it becomes bigger and better will SBI be able to arrest its falling market shares in various categories. Apart from the proposed merger, Bhatt has sought organic growth for SBI in India, and other neighbouring countries. The strategy was unlike that of his predecessor, A.K. Purwar, who believed in acquisitions-related growth.
 

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
Posted by at
Labels: , , , , , , , , , , ,

Wednesday, November 7, 2012

The divides...

When will we bridge them?

Francis Bacon said, “Things alter for worse spontaneously, if they be not altered for better.” India is a country where Atomic Age and near Stone Age co-exist in combination. However, India’s tangible developments are mostly in big cities. Since two-third of our population resides in villages, the development of countryside is linchpin to stall lop sided growth and urban-rural divide. The Left Front, by flexing its muscle on ruling UPA Government, has enhanced fund allocation for rural sector considerably.

The funds for Rural Development Programmes has been enhanced to Rs.77,474 crores in the 10th Plan as against Rs.42,874 crores in the Ninth Plan. Budgetary outlay has also increased from Rs.31,444 crores in 2006-07 to Rs.36,560 crores in 2007-08. Further, there are various development plans under Bharat Nirman, which includes rural housing, rural roads and rural drinking water. India is one of the most corrupt nations in the world, which puts a question mark over the proper implementation and appropriation of funds. Investment must also be made in social sector, which will not only bolster our democracy but will also create purchasing power among masses.


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
Posted by at
Labels: , , , , , , , , , , ,

Tuesday, November 6, 2012

The head of state for the third consecutive term

DHRUTIKAM MOHANTY feels that Orissa’s CM Naveen Patnaik can become the head of state for the third consecutive term

As a CM, Patnaik has taken many steps in areas such as economy, administration and social welfare. Specifically, during his tenures, the ever-decreasing financial condition of the state has improved. According to sources, in the year 1999- 2000, the state had to depend on overdrafts on 362 out of 365 days to manage the regular financial affairs. But today, the overdrafts have stopped. In 2001-02, the revenue deficit was over Rs 28,000 crore and the fiscal deficit was Rs.11,405 crore. They were down to Rs.11,190 crore and Rs.5,606 crore, respectively, in 2005-06.

But the CM he has not ignored his responsibility for social development and upliftment of the rural poor. Under his chief ministership, Orissa has launched many welfare schemes like Gopabandhu Gramin Yojana, a Rs.600 crore scheme for infrastructure development. It envisages the development of basic infrastructure such as electricity, roads and water in the rural interiors of 11 districts.

For the development of backward Kalahandi-Bolangir-Koraput districts, Patnaik has introduced a state-sponsored scheme known as Biju KBK Yojana in 2007. Under the Madhubabu Pension Yojana, the state has decided to provide pension to an additional three lakh people from January 2008.

In the beginning, Patnaik’s friends believed that ‘Pappu’, as they fondly call him, was too suave for the crass nature of Indian politics. His rivals held an identical view. They felt that he would soon return to his original vocation, literature and culture. But Patnaik has surprised, even shocked, them. Now, he is heading towards a third term as Orissa’s CM.
 

Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.
 
IIPM : The B-School with a Human Face
Posted by at
Labels: , , , , , , , , , , , ,
Subscribe to: Comments (Atom)