CC331 - Global Business Environment

(Compulsory Paper)

Course Objective:
The primary objective of this course is to acquaint the students to
emerging global trends in the business environment.

Module I
Introduction to International Business: Globalisation of the world economy
– world trade and foreign investment trends – technological changes –
Types of international business – economic, political and legal systems –
The cultural dimensions of international business.

Module II
The global trade and investment environment – government influence –
trading practices – independence – interdependence and dependence –
World financial environment – cross-national cooperation and agreements
– Tariff and non-tariff barriers – WTO, regional blocks – production and
operations management in international trade.

Module III
Global financial environment – Foreign exchange market mechanism –
determinants of exchange rates – nature of international capital market –
the Euro currency market – Off shore financial centers – International
banks – Non-banking financial institutions.

Module IV
Global competitiveness: export management procedures – export and
import financing – export assistance – Licensing and joint ventures –
Globalisation of human resource development – Research and
development in Global market.

Module V
Globalisation with social responsibility – world economic growth and
environment – country evaluation and selection – International business
diplomacy – Negotiation in international business issues in asset
protection – Multilateral settlements.

Reference:
1. Bhalla V K and Shivaramu S, International Business Environment &
Business, Anmol, New Delhi.
2. Bhalla V K, International Economy, Anmol, New Delhi.
Elective:
Finance
Security Analysis and Portfolio Management
Course Objective:
To give the students a general idea about different investment avenues
available and to equip the students with analytical tools and methods necessary
for efficient portfolio management.

Module I
Investment environment – savings and financial flows, financial
intermediation, money markets, capital markets, primary and secondary
markets for securities – government and corporate securities – stock
exchanges – trading of securities regulation of financial markets.

Module II
Theoretical framework for investment decisions – Security returns – yield
curve for different securities – sources of investment risk – systematic and
unsystematic risk – Asset pricing models.

Module III
Analysis of alternate investments – bond analysis – bonds returns and
prices – risk factors in fixed income investing – bond rating process –
bond management: strategies – derivative instruments – technical
structure and valuation.

Module IV
Fundamental analysis – valuation approaches – economy, industry and
company analysis – Technical Analysis – charts – patterns and indications
to timing – forecasting method – Random Walk Hypothesis – efficient
market hypothesis.

Module V
Portfolio Management – graphical and mathematical tools of portfolio
creation – portfolio theory – capital market theory – utility analysis –
portfolio revision – performance analysis of managed portfolios.

Reference:
1. Fischer Donald E and Jordan Ronald J., Security Analysis and
portfolio management, Prentice Hall of India.
2. Francis Jark Clark, Investment Analysis and management, McGraw
Hill (5 th Edidion)
3. Machiraju M.R., The working of Stock Exchange of India.
Elective:
Finance
Working Capital Management
Course Objective:
This course poses the students to the techniques and tools to determine
the optimum working capital requirement of a firm and also to the techniques that
are specific to the management of the different components of working capital.

Module I
Concept and meaning of working capital – liquidity v/s profitability –
identification of factors affecting working capital requirements – theories of
working capital – approaches to estimation of working capital – operating
cycle approach.

Module II
Management of inventories – determination of optimum inventory – lead
time – safety stock – EOQ approach.

Module III
Management of receivables – credit and collection policy – credit
standards – credit terms – credit analysis – management of payables –
maturity matching.

Module IV
Management of cash – accelerating cash inflows – managing collections –
concentration banking – lock box system – control of disbursements –
models for determining optimum level of cash – inventory model,
stochastic model cash budgeting – investment of surplus cash.

Module V
Source of working capital finance – approaches to optimum mix of funds –
trade credit, accrual accounts – money market instruments, Commercial
Paper, certificate of Deposits – Bill Discounting and Factoring – Inter
corporate loans – short term bank loans.

Reference:
1. Chandra Prasanna, Financial Management, Tata McGraw Hill (3rd
Edition)
2. Joshi P.N., Cash management: Perspectives, Principles and
Practices, New Age International.
3. Srinivasan S., Cash and Working Capital Management, Vikas
Publishing House.
Elective:
Finance
Tax Management
Course Objective:
This course gives a general idea on the taxation of income in India and
develop the participants insights on avenues of tax planning at the corporate
level.

Module I
Basis of charge – income – person –previous year and assessment year –
residence – scope of total income – tax-free incomes – special provisions
in free trade zones and EOUs.

Module II
Taxation Heads of income – income from salary – income from house
property – business or profession.

Module III
Capital gains and income from other sources – Aggregation of income –
set off and carry forward – total income deductions on computation.

Module IV
Assessment of companies – Tax Planning in Financial Management and
for specific Management Decisions – Accounting Method and Accounting
Year – Business Expenditure – Depreciation Executive Rewards – Capital
Gains – Carry Forward Losses and Depreciation.

Module V
Residential Status – Form of Organization – Expansion and Closure of
Business – Incentives – Preliminary Agreements – Closely – Held
companies – inter-corporate Transactions – Wealth Tax on Companies.

Reference:
1. Singhania Vinod K., Direct Taxes Law & Practice, Taxman
2. Singhania Vinod K., Direct Tax Planning & Management, Taxman
3. Prasad Bhagavathi, Income Tax & Accounts
Elective:
Organisational Behaviour and Human Resource Development
Management Training and Development
Module I
Training: concepts, definitions and components; Course need assessment
Importance of assessing training needs

Module II
Course planning and preparation; Importance of course planning
Training objectives; Types of training; important considerations while
formulating training objectives

Module III
Course content; types of course content; elements of course content;
Importance
Qualities of course content; course design; elements importance

Module IV
Teaching aids for training; types of training methodology; classification of
training methods; importance of training methods criteria for selecting
methods

Module V
Conducting a training course; training communication; training evaluation;
Training and development in India; Monitoring and evaluation

Reference:
1. Beunet, Roger ed., Improving training Effectiveness, Aldershot,
Gower, 1988.
2. Buckley R & Caple, Jim., The theory & practice of Training London,
Kogan & Page, 1995
3. Lynton R Pareek, U., Training for Development, 2nd ed., New Delhi,
Vistaar, 1990
4. Pepper, Allan d, Managing the Training and Development Function
Aldershot, Gower, 1984
5. Rae, I, How to Measure Training Effectiveness, Aldershot, Gower,
1986
6. Reid, M.A., etc. Training Interventions: Managing Employee
Development. 3 rd ed., London, IPM 1992.
7. Senge P, The Fifth Discipline: The art and Practice of the Learning
Organization, London, Century, 1992.
Elective:
Organisational Behaviour and Human Resource Development
Compensation Management
Course Objective:
This course is designed to promote understanding of issues related to the
compensation or rewarding human resources in the corporate sector, public
services and other forms of organizations and to impart skills in designing
analyzing and restructuring reward management systems, policies and
strategies.

Module I
Compensation – Concept and Context
Role of Compensation and Rewards in Organization
Economic and Behavioural Issues in Compensation
Framework of Compensation Policy
Labour Market Characteristics and Pay Relatives

Module II
Constitutional and Legal framework for wage fixation
Constitutional Framework and Judicial Norms for Wage Determination
International Convention and Regulations
Legalistic Framework for Wage Determination
Social Security Legislation

Module III
Compensation Structure and Differentials
Pay Packet Composition
Institutional Mechanism for Wage Determination
Job Evaluation and Internal Equity
External Equity and Pay Surveys

Module IV
Reward System Incentives and Pay Structuring
Design of Performance linked reward system
Incentives for Blue and White Collors
Bonus, Profit Sharing and Stock Options
Allowances and Benefits
Downsizing and Voluntary Retirement Scheme
Pay Restructuring in Mergers, Acquisitions and Alliances

Module V
Emerging Issues and Trends
Compensation for Executives and Knowledge Workers
Tax Planning
Pay Structure in Public Sector
 Comparative International Compensation
Overview of Future Trends in Compensation Management.

Reference:
1. Armstron, Michel and Murlis, Reward Management: A Handbook of
Salary Administration, London, Kegan Paul, 1988.
2. Bergess, Lenard R, Wage and Salary Administration, London,
Charles E-Merrill, 1984.
3. Capeman, George, Employees Share Ownership, New York,
Kogan page, 1991.
4. Hart, Robert A., Economics of Non-Wage Labour Costs London,
George Allen and Unwin, 1984.
5. Anderson Richard I., Compensation Management: Rewarding
Performance 6 th ed. Englewood Cliffs, Prentice Hall Inc., 1994.
6. Micton, Rock, Handbook of Wage and Salary Administration 1984.
Elective:
Organisational Behaviour and Human Resource Development
Managing Interpersonal and Group Processes
Course Objective:
The purpose of this course is to advance understanding regarding
interpersonal and Group processes to examine and develop process facilitation
skills.

Module I
Intra Personal process – understanding human behaviour learning,
perception, stress and coping

Module II
Inter personal process – Helping processes, communication and
feedback, interpersonal styles.

Module III
Group and inter group processes – group formation and group processes,
organizational communication, team development and team functioning,
conflict, collaboration and competition

Module IV
Organisational processes – organizational process and overview of major
concepts and emerging trends, power, politics and authority, integration
and control, organizational climate, organizational effectiveness.

Reference:
1. Transational Analysis, T.A.Harris, I am OK you are OK.
2. Hersey, Paul and Ken Blanchard (1983), Management of
organizational Behaviour, New Delhi, Prentice Hall of India.
3. Likert, Rensis (1967), The Human organization New York, McGraw
– Hill book Company.
4. J.W.Slocum, Organisational Climate (1974) Academy of
Management.
5. W.S.Paine, Job Stress and Bumont, Theory and Interventions
(1982).
 CC431 – Strategic Management
(Compulsory Paper)

Course Objective:
This course integrates the various disciplines of the management
education curriculum and prepares the participants to face the everyday
challenges of business management in a wholistic way.

Module I
Firm and environment
Environmental analysis – macro, micro and relevant environment –
models for environmental analysis – SWOT analysis, BCG Matrix, GE’s
Stoplight Matrix.

Module II
Strategy and resources:
Strategy, Tactics – strategic planning, review of concepts of vision,
mission, goal, objective, policy procedure, standard operating plans, rules
etc.
Pyramid of business policies – master strategies and program strategies,
strategic management process, feedback and review.

Module III
Types of strategies:
Growth strategies, dependency – reduction strategies, horizontal and
vertical integrations – backward integration, forward integration – generic
strategies – turnaround strategies – entrepreneurial turnaround strategies,
efficiency turnaround strategies.
Generation of Strategic alternatives – Brain storming, consultancy, Delphi
Technique, strategic gap analysis, strategic information systems.

Module IV
Organisational level strategies
Capacity expansion, mergers, joint ventures, acquisitions, takeovers,
consortia, networking, franchising, licensing, sub contracting ,
diversification, concentric diversification – conglomerate expansion.

Module V
Strategy implementation – evaluation and control

Reference:
1. Jauch Lawrance R. and Glueck William F., Business Policy and
Strategic Management, McGraw Hill co. (5 th Edition)
2. Johnson Gerry and Scholes Kevan, Exploring Corporate Strategy,
Prentice Hall of India(4 th Edition)
3. Pearce II John A Robinson Jr. Richard B., Strategic Management.
Elective: Finance
International Finance
Course Objective:
The economic barriers erected around sovereign nations are crumpling
and national economies are becoming increasingly inter-dependant. In this
fragile international economic-ecology one has to think globally and act locally
and hence this course.

Module I
Significance of Foreign Exchange Rate Introduction: growing importance
of international finance – introduction to foreign exchange markets –
exchange rate determinants – supply and demand factors of currency –
exchange rate theories.

Module II
International Financial System
Exchange rate systems in the World – role of IMF and World Bank –
Impact of regional economic integrations – Global integration of economic
systems and exchange rate – issue relating to Developing Countries –
Capital account convertibility.

Module III
International Financial markets
Major international financial markets – Euro Banking and Euro currency
market – American and Japanese capital markets – term structure in
international capital markets.

Module IV
International Financing
Modes of international equity financing – Depository receipts – Issue
mechanisms – international credit instruments – Eurobonds and Notes –
International credit syndication mechanism – recent developments in the
Euro Market – Risk factors of international financing.

Module V
International Investing
International Investing, Capital budgeting for internatio nal investments –
foreign direct investments – problems in valuation of cash flows – cash
management from international business – International portfolio investing
– opportunities and challenges.

Reference:
1. Levi Maurice D., International Finance, McGraw Hill (3 rd Edition)
2. Apte P.G., International Financial Management, Tata McGraw Hill
3. Pilbeam Kieth, International Finance, McMillan Press (2 nd Edition)
Elective:
Finance
Financial Derivatives and Risk Management
Course Objective:
This course is aimed to provide a deeper understanding to the students
the potential impact of financial contract on the risk of a business and the ways of
managing business risks using financial derivatives with emphasis on their use,
rather than on their markets.

Module I
Source and types of business risk – implications of business risk – risk
perceptions of individuals and institutions – generic alternatives for
managing financial risk – diversification – reinsurance – contingent
contracts.

Module II
Risk management using deri vatives – forwards and futures – futures
Prices for commodities – hedging with futures – Stock Index Futures,
Interest Rate Futures – Currency futures – Designing Futures Contracts.

Module III
Swaps – Options – basic properties of options – Binomial Option Pricing –
Black-scholes option pricing – Using the Black-scholes Option Pricing
Formula.

Module IV
Interest Rate Options – Trading Strategies Using Options – Hedging
Positions in Options – Synthetic Options and Portfolio Insurance.
Corporate Exposure Management – Structured debt and Risk
Management.

Module V
Accounting and Administration of derivatives – derivatives in the Indian
market – Trading infrastructure – issues in regulation of derivatives
activity.

Reference:
1. Elton Edwin J. and Gruber Marti n J., Modern Portfolio Theory and
Investment Analysis.
2. Jorion Philippe &Sarkis J., Financial Risk Manangement.
3. Russell Fuller J., Modern Investments and Security Analysis,
McGraw Hill.
Elective:
Organisational Behaviour and Human Resource Development
Organizational Change and Intervention Strategy
Course Objective:
The purpose of this paper is to prepare students as organizational change
facilitates using the knowledge and techniques of behavioural science.

Module I
Roles in organizational change culture and change managing resistance
to change effective implementation of change

Module II
Diagnosis – Organisational diagnosis issues and concept – an over view,
Diagnostic methodology – salient features, Diagnostic methods –
Qualitatives and Quantitiatives.

Module III
Intervention – in organizational change – evaluation of organizational
change programmes.

Module IV
Models of organisational change, some models of organizational change,
why changes may fail – two cases examples, OD, in an NGO,
organizational changes and process consultation, work redesign model.

Module V
Consulting – approaches and skills, manager as agent of change, internal
change agent, external change agent styles.

Reference:
1. Pareek Udai, Chattopadhyaya, Somnath, Managing Organisational
change, oxford and IBH 1988.
2. Alternative designs of human organization by Nitish D. New Delhi
1984 (SAGE).
3. Rossi P.H., and S.R. Wright, evaluation Research and assessment
of theory practical and theory.
4. Roy D., Behavioural interventions and organizational Behaviourals,
Dissertation, Gujarat University, 1991.
5. Van De Ven Andress H and L. Ferry, Measuring and assessing
organization, New York, John Wiley, 1980.
Elective:
Organisational Behaviour and Human Resource Development
Human Resources Planning and Development System
Course Objective:
The purpose of this course is to facilitate an understanding of the
concepts, methods and strategy’s for HRD

Module I
Human Resource Development strategies design and experiences HRD:
an overview of HRD: strategy’s HRD: experiences

Module II
HRD and the supervisor, line mangers and HRD, task analysis,
motivational aspects of HRD, developmental supervision counseling and
monitoring.

Module III
Comparative HRD experiences, HRD: and overview in government in
public system, HRD for health for family welfare, HRD in other sectors
(Defense, police, voluntary organizations and panchayati Raj institutions)
HRD in service industry comparative HRD, international experiences.

Module IV
Main issues in HRD, HRD culture and climate, HRD for workers, HRD/OD
approach to IR.

Module V
Organising for HRD, emerging trends and perspectives.

Reference:
1. Rao T.V. and Abraham, HRD practices in Indian Organisation..
2. Mamkoottam K. 1982, Trade Unions of myth and Reality, Oxford
University for Bombay.
3. J.P. Singh, “Choosing Human Resource Development
Interventions”. Vikalpa 14(1), 1989, opp. 3-5-41.
4. Malathi Bolar, Human Resource Development of Rural
Development, Indian Journal of training and Development Jan,
March 1985.
5. D.M.Silvera, Human resource Development: the Indian Experience,
New Delhi 1988, News India.