Identifying provisions of entrepreneurship in the policy framework of Govt. of Rajasthan for SMEs

Dear Readers or future entrepreneurs in agri-business,

The following article is being referred & reframed for ease of crucial information in reference of Policy pacakage & Agri-Business Policies of Rajasthan 2009. It is useful for those entrepreneurs who is interested to take initiation in the field of agro-business.

The article highlights the key provisions available in the entrepreneurship promotion policy framework of Government of Rajasthan. The motivation & encouragement of entrepreneurs available with government is focused through general approach, policy package of the state for MSME, and in draft of Agro Industries Policies 2009. The state would strive to encourage handloom units function as cooperative bodies, to utilize services of agencies of national repute and experience in cluster development to develop micro, small enterprises clusters; to provide appropriate support to geographically dispersed unique and individual enterprises; to facilitate micro, small enterprises, handicrafts and handloom units achieve optimum level of operation /productivity through design and technological intervention, financial assistance, marketing support and procedural simplification so as to provide global market competence and competitiveness. Agriculture in the basic sense of produce of the field is hardly remunerative to the farmer. With over 60% population of the State depending upon it for livelihood, it is imperative that it should be made sustainable and remunerative. In other words agricultural operations must strive for value addition created through diversification of use of produce and emphasis on quality production. Bold measures now need to be taken to encourage agri business and industries based on agricultural produce so that producer gains significantly in returns. The major area of the state is characterized by arid and semi-arid climatic conditions with low, erratic and uneven distribution of rainfall. Out of a total of 21.6 mn have cropped area that with assured irrigation is just 6.4 mn hectares, implying a high dependence on the monsoon. Despite this drawback, the State is the leading producer of coarse cereals, pulses, gram, oilseeds and seed spices and also ranks first in the livestock population in the country. A huge untapped opportunity thus lies waiting for prospective investors and collaborators, in conventional and new agricultural initiatives in a host of high-value segments. There is a high degree of correlation between SGDP growth rate and developments in the agriculture sector. But for any significant increase in agricultural incomes new investment from the private / corporate sector is essential along with public investment.

Thanks & all the best.

Raghvendra & Sandeep

Global Warming – A Global Concern still an individual

Dear Readers,

Global issues are actually individual ones such as 'Global Warming'. There is a bit difference in the concept of global warming and climate change in the media. Global Warming is an overall warming of the planet, based on average temperature over the entire surface. Whereas Climate Changes are the changes in regional climate characteristics, including temperature, humidity, rainfall, wind, and severe weather events. Global warming is caused by green house gases, which trap in the sun’s infrared rays in the earth’s atmosphere, which in turn heat up the earth’s atmosphere. These green house effect warming is called as global warming. The effects of green house effect are visible more prominently in the recent years, with number of natural calamities on the rise in the whole world. Threats of global warming along with suggested individual efforts such as buying a fuel efficient car, reducing garbage, switching to a tankless water heater, carpooling, planting a tree, buying organic food, insulating water heater, change the AC filter, taking shorter showers and many more, could shape our attitude of daily living style. Global warming is predicted to lead a variety of negative effects, to reduce this we need to develop steps for the prevention such as organizing self awareness programs, planning exhibitions in different parts of the countries to create awareness on global warming. The paper also concerns India’s strategy against Global Warming. The United States wants developing countries like India and China to agree to control the emissions being produced by their rapidly galloping economies by setting specific targets. India argues that this would hurt its economic growth and wants the industrialized world to curb its pollution as well as fund new technologies in the developing world by underlining that it has one of lowest emissions per capita in the world. Even as both agree on the need for an agreement at Copenhagen, India has made it clear that it cannot accept legally binding limits on carbon emissions. Apart from the plans to slow down the global warming, adaptation schemes must move forward fast. Constructing flood defenses, banning buildings close to sea areas are some of the measures we can adapt. Global warming is a concern of each individual for which we need to become citizens of the planet rather than citizens of each nation.

Thanks for a nice reading.
Raghvendra & Sandeep
(do visit http://www.thirdeye-raghvendra.blogspot.com/)

Quality in Management Education

Dear Readers,

          Service Operations and Service Delivery are two major components of a management education system. Appropriate & Timely Services, of all approval, monitoring and regulatory bodies like AICTE (Board of Studies & Inspection Team), Universities (RU, RTU, JNVU, MDSU & its execution policies) and affiliated Private Institutions (entrepreneurial value system and control & autonomy), constitute an operational environment in which inputs are processed and the elements of service product, i.e, management education, is created. Credible Services of the academicians & administrative staff constitute the most crucial element of service delivery (i.e, how the service product is delivered), in building quality perception & responsiveness of the customers / management students.

In the context of Management Studies Service System, MBA program or diploma or degree is the key Product, Semester or Annual Fee Structure is the Price charged by the customers i.e, Students, Use of Approvals, Grade, Rankings, and Accreditation of the institutions in printing material, publicity & advertisement are the Promotional aspects of any institution providing management education, Directors, HOD, Academicians, Administrative Staff, IT officials, Security are the People who provide services to the students, Infrastructural facilities or aesthetics, Branding of the Institute, Mark sheet & Degree documents for Physical Evidence, and ultimately the whole schedule of lecture deliveries, course coverage and all activities for cognitive development of the students/customers involves the whole Process of service delivery. Delivery of Management Education is categorized as highly intangible and mental stimulus service process directed at consumer’s mind i.e, students mind. Management Education is more concerned about Value-based quality imparted to future managers, so as to ensure minimum level of competency. Management Education is about shaping up the student to develop competency and capability either as an Intrapreneur or Entrepreneur or General Managers or Global Managers for the corporate world. The program is just a gateway pass to the corporate world where managers are evaluated on ‘result based performance’.

The paper emphasize the role of elements of service operations as well as service delivery system. The inclination of AICTE is always on the fulfilling the needs of students and maintaining formal relationship with the service providers but not on the academicians to secure their dignity, career & security, especially in private owned institutions. Institutions should take admission only after evaluating the determination power & career aspirations of the candidate, his social standing and well guided career counseling. Each Youngman is a diamond of the nation and to polish accurately is the job of education sector. Role of knowledge facilitator’s i.e, the noble profession of academicians plays a major and foremost role in delivering actual quality standards of management education. Apparently, satisfied individuals always underperform despite of high caliber and capacity; the same is true about majority of University professors in India. The remuneration received by University academicians is actually public money and now it is high time to justify their portion of intake through improving the quality of education they imbibe in studetns. And the academicians in private institutes could not perform up to the standard, and even if they, the percentage is very low. This interdependency of all components of the system has to be strengthened through unified commitment. There are many more factors highlighted in the paper which states that every drop, if accumulated, could make a big ocean – an ocean of young talents in business world. Being part of the observational research process, the paper presented is through central routing of the brain as per the ELM model, having a major impact on the left part of the brain as well.

Thank you for sparing your precious time in reading. Your comments are valuable for me.

Raghvendra / s/o Sandeep Singh

Jodhpur

3 Idiots - film review

Hi friends,

                 3 Idiots - only film to cross $200 mn in just two weeks from its date of release, directed by one of the intelligent psychologist director of Bollywood - Shri Rajkumar Hirani. With due presence of intelligent actor - Aamir Khan. All the film makers must learn that irrespective of subject, research based films are always successful, as in the case of Aamir Khan films. One of the artistic feature of Rajkumar Hirani directed films, is that he is smart at combination of human appeals - humour & emotion with a sudden twist. The film is youth oriented, imparting them the lesson of 'listening to the heart' and no one else and the success will be following you, instead you follow the success. The film direction, acting, positioning of songs in the film and script is very strong to hold enough the audience in the theatre.
All in all a film which will fetch you 250% satisfaction, irrespective of the money you spent in any class. A film worth watching at least twice.

Thank you
keep in touch
Raghvendra, Jodhpur

Does Valentines' Day fit in Indian Culture?

Dear Indian Lovers,

It is just for your kind information about Valentine's Day - Saint Valentine's Day or commonly known as Valentine's Day is an annual holiday held on Feb.14 celebrating love and affection between intimate companions. The holiday is named after one or more early Christian Martyrs (a martyr is somebody who suffers persecution - a systematic mistreatment of an individual or group by another group - and death for refusing to renounce belief, usually religious) named Valentine and was established by Pope Gelasius-I in AD 496. It is traditionally a day on which lovers express their love for each other by presenting flowers, offering confectionary, and sending greeting cards. The holiday first became associated with romantic love in the circle of Geoffrey Chaucer in the high middle ages, when the tradition of courtly love flourished. Modern Valentine's Day symbols include the heart-shaped ouline, doves, and the figure of the winged Cupid. Since the 19th century, handwritten valentines have largely given way to mass-produced greeting cards. [Numerous early Christian martyrs were named Valentine. The Valentines honored on Feb.14 are Valentine of Rome and Valentine of Terni. Valentine of Rome was a priest of Rome who was martyred about AD 269 and was buried on the Via Flaminia. his relics are at the Church of Saint Praxed in Rome, and Whitefriar Street Carmelite Church in Dublin, Ireland. Valentine of Terni became bishop of Interamna (modern Terni) about AD 197 and is said to have been martyred during the persecution under Emperor Aurelian. He is also buried on the Via Flaminia, but in a different location than Valentine of Rome. His relics are at the Basilica of Saint Valentine in Terni.] 

If we believe on above information downloaded from wikipedia, Valentine Day is actually a Death anniversary; like 30th January in India - which is celebrated with great happiness, joy and expenditure. Accepting other country's culture has become the culture of India.

Apparently, India is a nation of many castes, social classes, and subclasses. Each social class has it own character, nature, history, intensity and culture. One thing is common in all social classes, i.e, to protect the virginity of female and 'purushatva' of male. Since, globalization has brought a cultural war alongwith acting as a tool of economic strength. A war to disturb Indian Culture through Youth. There is no concept of 'boy friend or a girl friend' in India, historically. Valentines Day promotes this relationship because on this day a boy or a girl proposes the opposite sex to become 'Love Partner but not Life Partner'. It is being observed that every year the Valentine of the boy or girl is different. It is not only unfortunate but dangerous for longer existence of cultural values. A boy or a girl gets addicted with physical or emotional relationship before an appropriate time and is entrapped with 'sensational adaptation'. This devalues the importance of personal intimacy and loyalty with the actual life partner. When a boy proposes a girl, or vice versa both of them attempts to impress each other with all of their positive capabilities and gestures, but as soon as anyone of them happens to encounter negative traits, whole patience get shattered. It is continously observed that majority of love marriages ends in divorces.

An individual has to assume responsibility towards the society to payback, by remaining in the social boundaries & norms and protect its own culture.

Month of 'Baisakhi' is not that much marketed as 'Valentines Day' and thats why Indian youth is ignorant of the fact that 'Baisakhi' is one day of proposals among boy and girls that too infront of whole society. It is absolutely on the discretion of the girl or boy to accept or reject the proposal. Do you have those guts to propose a girl or a boy infront of all members of the society and give commitment for whole life? This is something related to giving value to 'internal beauty' - a beauty for commitment and sacrifice for each other.

Ponder, Ponder, and Ponder again & again before using Valentines Day - an excuse for building relationships only out of physical attraction, majority.

Thank you
Raghvendra s/o Sandeep Singh
Jodhpur

Consumerism and Corporate Marketing Practices

Dear Readers,
This conceptual research paper is an attempt of knowledge sharing.

Consumerism and Corporate Marketing Practices:

Abstract: The paper attempts to give insight about the concept of ‘consumerism’ and its changing dimensions with a blend on ethical values practiced by the corporate sector of Indian economy. Need of social stratification and emulation for the consumption of branded products & services among consumers has become the strength of today’s corporate world. Corporate Marketing practices in the current scenario of consumer market is targeting the ‘ego satisfaction need’ of an individual by positioning its product or service as the near most and loveable object in the life of the consumer. The paper highlights the impact & benefits of liberalization on both the consumer culture and the corporate affairs. Consumer is the biggest beneficiary of liberalization — he gets the best deal in terms of choice, quality, price and value for money. Rising disposable incomes, greater product awareness, affordable pricing, and easy financing schemes made purchasing possible. An explosion in product range, a multitude of brands, Indian and foreign, several finance options, large one-stop shops, colorful stores and shopping a picnic, not to mention a rise in status — the consumer is having a blast. Consumer's lifestyle has taken a turn. There have been many international trade agreements of India with the rest of the world since adoption of the liberalization policy, resulting in high inflow of finance from the multinational companies through collaborations & joint ventures, giving high rally to the stock exchanges. Recent development in bilateral relations with South Korea is exemplified. The gigantic growth rate figure in the sector of Retail, FMCG, Automotive, Consumer Electronics, and Telecom is evident for increasing consumerism and claim the success of liberalization policy adapted in Indian economy, to cadre the increasing needs of the increasing population at a very right time. Corporate Social Responsibility is an increasingly important criterion in judging the corporate affairs and choice of products or services by the consumer. One of the ways to attract companies towards CSR work is to develop a system of CSR credits, similar to the system of carbon credits which are given to companies for green initiatives. CSR should involve the right combination of enhancing long-term shareholder value and protecting the interests of various other stakeholders (including the society in general). Notable efforts have come from the Tata Group, SAIL, IOC, BPCL, BHEL, Orchid Chemicals & Pharma, Infosys, IBM, Bharti Enterprises, Glaxo Smith Kline Pharma, Larsen & Toubro, Maruti Suzuki, HUL, Coca Cola India, and Pepsi Co., among others. Ironical as it may sound, the most profitable companies are the ones that are the least profit-minded. The consumer movement is a unique form of social action. It requires people who are genuinely concerned with issues such as exploitation of shortages by business groups, faulty public distribution system, adulteration of food, manufacture of spurious drugs, misleading advertisements, health services, growing environmental pollution and the more. To tackle these issues, consumers require information and consumer organizations require leaders with a deep knowledge of consumer market.

Thanking you for an opportunity to express.
Yours Raghvendra & Sandeep

CORPORATE ETHICS & GOVERNANCE

Dear Readers,
Its about Management Perspective,

Ethics, also known as moral philosophy, is a branch of philosophy which seeks to address questions about morality; that is, about concepts such as good and bad, right and wrong, justice, and virtue.


Business ethics, also known as corporate ethics, is a form of applied ethics that examines ethical principles and moral or ethical problems that arise in a business environment. It applies to all aspects of business conduct and is relevant to the conduct of individuals and business organizations as a whole.

Corporate Governance is about governing, directing, administering, and controlling the activities of company management board in business affairs, for the explicit purpose of safeguarding the confidence & interest of its stakeholders (i.e, shareholders, investors, creditors, government, employees, suppliers, customers and the society as whole) through commitment of values in making distinction between personal and corporate funds. It ensures sufficient accountability and transparency of company management strategic decisions, honestly verified and legally monitored. Company’s CG can influence its share price as well as the cost of raising capital. It actually strengthens the confidence of its investors about exercising their rights of corporate ownership and increasing value of their shares and therefore, wealth.

Relating Ethics and Governance: Key elements of good CG principles include honesty, trust and integrity, openness, performance orientation, responsibility and accountability, mutual respect, and commitment to the organization. A corporation should be fair and transparent to its stakeholders in all its transactions. This has become imperative in today’s globalize business world where corporations need to access global pools of capital, need to attract and retain the best human capital from various parts of the world, need to partner with vendors on mega collaborations and need to live in harmony with the community. Unless a corporation embraces and demonstrates ethical conduct, it will not be able to succeed. Corporate Governance is the system by which companies are directed and managed. It influences how the objectives of the company are set and achieved, how risk is monitored and assessed and how performance is optimized. Sound Corporate Governance is therefore critical to enhance and retain investors’ trust. Corporate governance is about ethical conduct in business. Ethics is concerned with the code of values and principles that enables a person to choose between right and wrong, and therefore, select from alternative courses of action.

Why Corporate Governance?
a) The liberalization and de-regulation world over gave greater freedom in management. This would imply greater responsibilities.
b) The players in the field are many. Competition brings in its wake weakness in standards of reporting and
accountability.
c) Market conditions are increasingly becoming complex in the light of global developments like WTO, removal of barriers/reduction in duties.
d) The failure of corporate due to lack of transparency and disclosures and instances of falsification of accounts / embezzlement and the effect of such undesirable practices in other companies.

               It is the increasing role of foreign institutional investors in emerging economies that has made the concept of corporate governance a relevant issue today. In fact, the expression was hardly in the public domain. In the increasingly close interaction of the economies of different countries lies the process of globalization. This involves the rapid migration of four elements across national borders. These are (i) Physical capital in terms of plant and machinery; (ii) Financial capital; (iii) Technology; and (iv) Labor.
             The increasing concern of the foreign investors is that the enterprise in which they invest should not only be effectively managed but should also observe the principles of corporate governance. In other words, the enterprises will not do anything illegal or unethical. This need for re-assurance is felt by the FIIs due to the fact that there have been cases of dramatic collapse of enterprises which were apparently doing well but which were not observing the principles of corporate governance.

              The Kumar Mangalam Committee made mandatory and non-mandatory recommendations. Based on the recommendations of this Committee, a new clause 49 was incorporated in the Stock Exchange Listing Agreements (“Listing Agreements”). The important aspects, in brief, are:
(i) Board of Directors are accountable to shareholders.
(ii) Board controls are laid down code of conduct and accountable to shareholders for creating, protecting and enhancing wealth and resources of the Company reporting promptly in transparent manner while not involving in day to day management.
(iii) Classification of non-executive directors into those who are independent and those who are not.
(iv) Independent directors not to have material or pecuniary relations with the Company/subsidiaries and if had, to disclose in Annual Report.
(v) Laying emphasis on calibre of non-executive directors especially independent directors.
(vi) Sufficient compensation package to attract talented non-executive directors.
(vii) Optimum combination of not less than 50% of non-executive directors and of which companies with non-executive Chairman to have at least one third of independent directors and under executive Chairman at least one half of independent directors.
(viii) Nominee directors to be treated on par with any other director,
(ix) Qualified independent Audit committee to be setup with minimum of three all being non-executive directors with one having financial and accounting knowledge.
(x) Corporate governance report to be part of Annual Report and disclosure on directors’ remuneration etc., to be included.

Naresh Chandra Committee recommendations relate to the Auditor-Company relationship and the role of Auditors. Report of the SEBI Committee on Corporate Governance recommended that the mandatory recommendations on matters of disclosure of contingent liabilities, CEO/CFO Certification, definition of Independent Director, independence of Audit Committee and independent director exemptions in the report of the Naresh Chandra Committee, relating to corporate governance, be implemented by SEBI.

Narayana Murthy Committee recommendations include role of Audit Committee, Related party transactions, Risk management, compensation to Non- Executive Directors, Whistle Blower Policy, Affairs of Subsidiary Companies, Analyst Reports and other non-mandatory recommendations.

10 Essential Governance Principles:
o Lay solid foundations for management and oversight - Recognize and publish the respective roles and
responsibilities of board and management.
o Structure the board to add value - Have a board of an effective composition, size and commitment to adequately discharge its responsibilities and duties.
o Promote ethical and responsible decision-making - Actively promote ethical and responsible decision-making.
o Safeguard integrity in financial reporting - Have a structure to independently verify and safeguard the integrity of the company’s financial reporting.
o Make timely and balanced disclosure - Promote timely and balanced disclosure of all material matters concerning the company.
o Respect the rights of shareholders - Respect the rights of shareholders and facilitate the effective exercise of those rights.
o Recognize and manage risk - Establish a sound system of risk oversight and management and internal control.
o Encourage enhanced performance - Fairly review and actively encourage enhanced board and management effectiveness.
o Remunerate fairly and responsibly - Ensure that the level and composition of remuneration is sufficient and reasonable and that its relationship to corporate and individual performance is defined.
o Recognize the legitimate interests of stakeholders - Recognize legal and other obligations to all legitimate stakeholders.
o Corporate Governance Rating be made mandatory for listed companies.

Ethics in managing an organization are vital for long term survival. It is defined as disciplined dealing with what is good and what is bad and what are moral duties and obligations. As far as business ethics are concerned, a minimum code of ethics has to be practiced in competition, public relations and social responsibilities. Corporate Governance encourages ethical standards and sound business practices.

Thanx for knowledge enhancement.
Raghvendra s/o Sandeep Singh
Jodhpur, Rajasthan