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Strategic Management of Business Development:
Issues and Prospects

2021 April, 2011
Editor
Dr. Manish Bansal

Baba Farid College of Management and Technology (BFCMT) Muktsar Road, Bathinda-151001-Punjab
Ph. 0164-2786061/ 9501115603, 9501115607 www.bfcmt.com www.babafaridgroup.com
National Conference on
Strategic Management of Business Development: Issues and Prospects
www.excelpublish.com
National Conference on
Strategic Management of Business Development: Issues and Prospects
April 2021, 2011
Editor
Dr. Manish Bansal
Organised by
BABA FARID COLLEGE OF MANAGEMENT AND TECHNOLOGY (BFCMT)

Muktsar Road, Bathinda151001 (Punjab) Ph. 0164-2786061/ 9501115603, 9501115607
www.bfcmt.com www.babafaridgroup.com
EXCEL INDIA PUBLISHERS

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National Conference on Strategic Management of Business Development: Issues and Prospects
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Preface
Strategic management is the process of formulating, implementing, and evaluating crossfunctional decisions that will enable an organization to achieve its objectives. It focuses on the process of strategy synthesis, intent, and thinking role in strategy formulation. Strategic Management is part of Business Development. Today's managers have to deal with the entire business system for the purpose of developing a business. Earlier it was dealing with businesss different parts independently. Today it is not only to keep strategy formulation as a vital force but also to impart real energy to the strategic process. They have to practice and apply balanced results-based leadership strategies and approaches to business systems. Managers obtain different business activities, grouped in related managerial functions. These activities within functions are related to other functions too. Business activities are grouped in following managerial functions: Strategic Management, Strategic Planning, Organizing, Management of Human Resources, Operational management and Operative Control. Every business has a vision and a mission. Strategic management takes into consideration both of the organizational vision, business mission and shapes up the business strategy that can successfully fulfill the mission and vision. Strategic management helps in achieving the organizational goals in an effective and efficient manner. What matters in strategic management lies in the value of planning ahead. There's an old saying that if you fail to plan, you are planning to fail. By acting on this, strategic management actually gives the organization a direction, a sense of identity and unity towards the business goal. Strategic planning has a goal of making companys strategy happen. Strategic planning is transferring the business strategy into specific actions. Therein lays the continued importance of strategic management towards business development and its success as a result. Organizing is another business function of strategic character. Organizing is shaping the framework for the development of business processes. Human Resources management is another managerial function of strategic importance. Human resources function is shaping up the managerial framework that provides a required level of competences and motivation to employees. Following traditional Strategy Based Business Development Model has Vision, Mission, Goals, Strategies, Tactics, and Action Plans as its main steps:
Strategy Based Business Development Model
vi
Preface
But Business development in todays context is a complex task. Strategic management of business development helps in dealing with various issues and to assess the future prospects. It addresses several sorts of questions in business development. Which markets we should enter? Do we have the capabilities to enter? If not, can we develop these capabilities, and how? How do we acquire and manage the necessary knowledge? Should we exit some markets and when? To address these and many more questions the idea of this conference Strategic Management of Business Development: Issues and Prospects was conceived. This topic covers the latest trends in strategic management, including the difference between the process of making strategy and implementing a strategy during the course of business development and other interdisciplinary activities. The purpose of this conference is to bring academicians, business leaders, professionals and industrialists on a common platform to share views, expectations, and apprehensions and to analyse experiences of various strategic issues and prospects of business development. The conference has received more than one hundred papers but only selected papers are being published in the proceedings book. The issues, concepts and framework related to strategic management and business development from the various papers of this book should be helpful to anyone who deals with strategic issues and prospects. General Managers, Consultants, Investment Analysts, Managers in high technology companies, strategic planners, faculty members and students all face strategic issues of the sort and most of which have been covered in various papers in this proceedings book. I am indebted to a number of people for their help in making this conference a reality. I am greatly indebted to S. Gurmeet Singh Dhaliwal, Managing Director, Baba Farid Group of Institutions for his encouragement and support. My thanks are due to members of organizing committee Ms. Neetu Singh, Ms. Deepika Bansal, Mr. Sachin Dev and conference secretary Mr. Arashdeep Sekhon. I will be failing my duty if I dont mention here the continuous cooperation and support from faculty members of BFCMT and colleagues of BFGI. Finally I would like to convey my gratitude towards representatives of M/S Excel India Publishers who have taken extra efforts in publishing this book.
Dr. Manish Bansal

Director-Principal Baba Farid College of Management & Technology Muktsar Road, Bathinda (Punjab) Contact: 09501115600
Contents
Preface v
Finance
1. Paper on Merger & Acquisitions Rajni Sharma and Preeti Sharma 2. Financial Crisis and Its Impact on Indian Economy Sukhvinder Kaur 3. Emerging Market as Great Opportunity for Indian Banking Evaluating New Market Entry Strategies Ajay Samyal, Rohit Bansal and Amit Garg 4. Financial Crisis Causes and Impacts Amrinder Singh and Sonam Sahni 5. Corporate Governance in Indian Banking Industry Gaurav Narang, Shikha Narang and Navdeep Kaur 3 7
10 14 18
Marketing
6. The Four Ps of Strategy Creation Mukesh Bhatia 7. Strategic Plans for Creating Competitive Advantage Namita Bhandari 8. Need of E-Marketing Strategies Guljinder Kaur Randhawa 9. Go Green Green Consumer Behavior Rosha Raju 10. Strategies of 4ps in Rural Marketing Rohini C. Joshi and Sweety M. Khandelwal 11. Research Paper on Effect of Celebrity Endorsement on Mobile Buying Behaviour Sulekha Munshi and Anupama Munshi 12. Green Marketing Practices in India Dr. Jasdeep Kaur Dhami and Parveen Singh Kalsi 13. Marketing of Mutual Fund Products through Retail Banks in India: An Empirical Study of Customers' Perception B.B. Goyal and Meghna Aggarwal 14. Marketing Strategies of BollywoodA Journey from Then to Now Sabina Chadha, Sunita Gupta and Arvinder Kaur 15. Global Marketing Strategies Sachin Dev and Swaranjeet Singh Sidhu 16. A Study of Consumer Behaviour for Cosmetic Product in Ambala District Rita Goyal and Prabha Garg 17. Factors Affecting Impulse Buying Behavior in the Malls with Special Reference to Punjab Priyanka Sharma Prashar and Rahul Handa 18. E-Mail Marketing: The New Tool for Success Kanwal Gurleen and Varun Nayyar 23 26 30 34 38 41 45
48 51 55 59
63 66
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Contents
19. Measuring Service Quality: A Comparative Study of Urban and Rural Customers of a Public Bank Mohd. Adil 20. Stratergy Behind 4Ps Sonam Sahni and Amrinder Singh 21. Organized Retailing in Punjab: Challenges and Strategies Ajay Samyal, Rohit Bansal and Sukhbir Kaur
70 74
79
Human Resource
22. HR Strategic Plans for Future Challenges Sundeep Singh and Rekha Goyal 23. Teams and Groups Increasing Organizational Effectiveness Gursharan Singh and Vishal Kalia 24. Ethics in HR Kamalpreet Kaur 25. Enhancing Employee Welfare for Organizational Effectiveness Tapati Nandy and Barnishikha Das 26. Changing Trends in Human Resource Management Yashika Grover 27. The Role of CSR and Organizational Ethics Dr. Ravi Kiran and Anupam Sharma 28. A Study of HRD Climate and Their Impact on Employees Productivity Dr. Shefali Verma and Rita Goyal 29. Employee EngagementCrucial for Business Success Janki Aggarwal 30. Attrition in Hand Tool Industry of JalandharA Challenge to Human Resource Management Rajan Sharma, Arshdeep Singh, Ashima Sehgal and Rajan Sharma 31. Globalization of the Companies: How to Develop the Code of Ethics Agarwal Bhawna 32. Work-Family Conflict in Dual Earner Couples-Consequences and Suggestions Sukhpreet Kaur and Namrata Sandhu 33. Ethics in HR Khushboo Mittal Hooja 34. ErgonomicsHR Future Trend for Health Management of Employees Prachi Sharma and Kapil Kant Grover 35. An Evaluation of Human Resource Management Polices of Central Cooperative Banks in Haryana Rajiv Kumar, Ravneet Kaur and Baljeet Kaur 36. Ethics in Human Resource Management: Recruitment and Training Lakhwinderjeet Kaur, Manvir Kaur and Kulbir Singh 37. Relationship between Emotional Intelligence and Effective Leadership Skills among the Officers of Indian Defense Services Navdeep Singh 85 89 93 97 101 105
108 112
116 119 123 127 131
136 139
142
Contents
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38. A Comparative Study of Role Stress among Private and Government Sector Employees Irfana Rashid 39. Human Resource (HR) Ethics: The Backbone of Sustainable Progress of an Organization Hardeep Singh and Bikram Pal Singh 40. HR Strategic Plans-The Prominent Determinant Hardeep Singh and Bikram Pal Singh 41. Family Friendly PoliciesOrganizational Strategies for Sustainable Growth Sugandha 42. Best Human Resource Practices in India Dr. Sukhminder Kaur, Raspreet Bhanout and Bharat Bhushan Sachdeva 43. Role of Strategic Human Resource Management in Business Development (Strategic Management for Business Development-Issues and Challenges) Sunanda Sharma 44. Some Problems Concerning Development of Human Resources Balwinder Singh Brar 45. Envisioning Upon Role and Relevance of Anaging Talent as a Source of Unlocking Hidden Potential and Organization Effectiveness Vijit Chaturvedi
145
149 152 155 159
162 165
168
General Management
46. Challenges in Corporate Parenting for Conglomerate Organisations Savdeep Vasudeva, Sahul Goyal and Rajan Sharma 47. Green Business Practices: Need of Global Competitive Scenario Nidhi Prashar and Rajni Arora 48. Redefining E-Commerce in India Kirandeep Singh Phul, Bikram Pal Singh and Gurjeet Pal Singh 49. Health Care Industry Providing Low Cost Solutions Navneet Kaur Bajwa and Sonika Aggarwal 50. Emerging Trends in Qualitative Research Pinki Insan, Dr. D.P. Warne and Monika Aggrarwal 51. Strategic Planning in Libraries Kirti Singh, Taru Mittal and Shilpi Goyal 52. Fashion Retailing: A Panoptic Look Preeti Sodhi and Ramanjit Bajwa 53. Enterprise Resource Planning for Business Success Harpreet Jattana, Er. Candy Goyal, Harmeet S. Sandhu 54. Reforms in Indian Agriculture Puneet Sharma, Kulbir Singh Sandhu and Hardeep Singh 55. From Wallet to E-Wallet: Prospects of M-Commerce in India Dr. Manish Bansal, Neetu Singh and Deepika Bansal 175 178 181 184 188 191 194 198 203 206
Contents
Miscellaneous Papers
56. Mergers and Acquisitions How to Position Your Company in a Consolidating Collaboration and Conferencing Market Place Anjali Sharma and Raghu Rampal 57. Income Statement as Stakeholders Value Driver Working Capital Management-Enhancing Core Value Kuldeep Indeevar and Cijil Diclause 58. Financial Crisis and Impacts Bharati Binawra 59. Tourism: A Case Study of Mizoram (An Overview) Rohit Sharma and Karnail Singh 60. Common Strategies in Biopharmaceutical Sector Nehal Jain 61. Human Resource Management: Emerging Trends and the Impact of Globalization Alva Garg and Dr. Kranti Walia 62. Measures Taken by MNCs in Supplier Buyer Loop to Make Sustainable Supply Chain Pawandeep Singh Dhaliwal and Dr. Harpuneet Singh 63. Social Networking Sites a Prolific Platform for Brand Promotion Ashima Sehgal, Megha Munjal Sharma and Rajan Sharma 64. Pricing StrategyStrategic Plans for Creating Competitive Advantage Navdeep S. Thind and Abhay Grover 65. Marketing Strategies for Growing Business Green Marketing in India - Customer Apprehension Abhay Grover, Munish Makkar and Supreet 66. Market Penetration Strategy in Rural Area: a Case Study of Maharashtra Dr. Rajesh S. Shinde 67. Competitive Marketing Strategies in Relation to Relationship Marketing Dr. Simranjit Kaur and Falki Gupta 68. Management of Customer Loyalty: A Study of Telecommunication Industry Renu Arora 69. The Aggressive and the Powerful Fourth P (Promotion) of Bollywood Marketing Maninder Kaur, Rajbir Kaur and Jatinder Gaba 70. Green MarketingOpportunities & Challenges Deepinder Singh, Dr. Manish Bansal and Namandeep Kaur 71. Operational Planning Role in Organizations Based on Strategy (Case Study: Saipa Co.) M. Mahmoudi-Me ymand and M. Zare 72. Customer Relationship Management in Banking Services Monika Bothra, Navratan Bothra and Varun Kothari 73. Total Quality Management Jatinder Sidhu, Mehak Maheshwari, Pritpal Singh and Sardool Brar 74. Indian Economy: A Post Recession Scenerio Sardool Singh, Pritpal Singh, Mehak Maheshwari and Jatinder Sidhu 213
217 223 226 230 234
238 242 246
249 253 257 263 267 271 274 282 287 290
Contents
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75. Topic: Development of Hotel Industry in India Satveer Kaur, Arundeep Singh and Preet Kamal 76. Marketing Strategies for Small Businesses Arundeep Singh, Gurwinder Singh and Megha Shrivastava 77. Developing a Small Business Chamandeep Goyal, Pawan Kumar and Piyush Kansal 78. Human Resource Management (HRD) Meenakshi Goyal, Rashpinderdeep Kaur and Neha Goyal 79. Ethics in HRM Simerjeet Kaur, Gagandeep Kaur, Amandeep Kaur and Manpreet Singh 80. Factor Affecting Consumer Behaviour Kiran khurana, Pradeep, Ramandeep and Satvir 81. Management Arundeep Singh,Gurwinder Singh and Priyanka Singh 82. Pestle Analysis McDonalds Dhiraj Kumar and Vishek Wadwa 83. Six Sigma and its Formulation Robin Singla and Sahil Garg 84. Golden Bird-Business Strategy Gaurav Narang, Navdeep Kaur and Amit Sharma 85. Towards Brand Loyalty to E-Loyalty: A Conceptual Framework Ramjit, Junior and Vivek Sharma AUTHOR INDEX
293 297 301 305 308 310 313 317 320 324 329 337
FINANCE
Paper on Merger & Acquisitions

Rajni Sharma1 and Preeti Sharma
2
Lect. in Chitkara Lect. in CBS, Landran makers and top managers try to make the takeover more palatable. A purchase deal will also be called a merger when both CEOs agree that joining together is in the best interest of both of their companies. But when the deal is unfriendly - that is, when the target company does not want to be purchased - it is always regarded as an acquisition. Whether a purchase is considered a merger or an acquisition really depends on whether the purchase is friendly or hostile and how it is announced. In other words, the real difference lies in how the purchase is communicated to and received by the target company's board of directors, employees and shareholders. II. TYPES OF MERGERS From the perspective of business structures, there is a whole host of different mergers. Here are a few types, distinguished by the relationship between the two companies that are merging: Horizontal merger-Two companies that are in direct competition and share the same product lines and markets. Vertical merger-A customer and company or a supplier and company. Think of a cone supplier merging with an ice cream maker. Market-extension merger-Two companies that sell the same products in different markets. Product-extension merger-Two companies selling different but related products in the same market. Conglomeration-Two companies that have no common business areas. There are two types of mergers that are distinguished by how the merger is financed. Each has certain implications for the companies involved and for investors: Purchase Mergers-As the name suggests, this kind of merger occurs when one company purchases another. The purchase is made with cash or through the issue of some kind of debt instrument; the sale is taxable. Acquiring companies often prefer this type of merger because it can provide them with a tax benefit. Acquired assets can be written-up to the actual purchase price, and the difference between the book value and the purchase price of the assets can depreciate annually, reducing taxes payable by the acquiring company. We will discuss this further in part four of this tutorial.
The phrase mergers and acquisitions refers to the aspect of corporate strategy, corporate finance and management dealing with the buying, selling and combining of different companies that can aid, finance, or help a growing company in a given industry grow rapidly without having to create another business entity. One plus one makes three: this equation is the special alchemy of a merger or an acquisition. The key principle behind buying a company is to create shareholder value over and above that of the sum of the two companies. Two companies together are more valuable than two separate companies - at least, that's the reasoning behind M&A. This rationale is particularly alluring to companies when times are tough. Strong companies will act to buy other companies to create a more competitive, cost-efficient company. The companies will come together hoping to gain a greater market share or to achieve greater efficiency. Because of these potential benefits, target companies will often agree to be purchased when they know they cannot survive alone. I. DISTINCTION BETWEEN MERGERS AND ACQUISITIONS Although they are often uttered in the same breath and used as though they were synonymous, the terms merger and acquisition mean slightly different things. When one company takes over another and clearly established itself as the new owner, the purchase is called an acquisition. From a legal point of view, the target company ceases to exist, the buyer "swallows" the business and the buyer's stock continues to be traded. In the pure sense of the term, a merger happens when two firms, often of about the same size, agree to go forward as a single new company rather than remain separately owned and operated. This kind of action is more precisely referred to as a "merger of equals." Both companies' stocks are surrendered and new company stock is issued in its place. For example, both DaimlerBenz and Chrysler ceased to exist when the two firms merged, and a new company, DaimlerChrysler, was created. In practice, however, actual mergers of equals don't happen very often. Usually, one company will buy another and, as part of the deal's terms, simply allow the acquired firm to proclaim that the action is a merger of equals, even if it's technically an acquisition. Being bought out often carries negative connotations, therefore, by describing the deal as a merger, deal
Consolidation Mergers-With this merger, a brand new company is formed and both companies are bought and combined under the new entity. The tax terms are the same as those of a purchase merger. III. ACQUISITIONS
As you can see, an acquisition may be only slightly different from a merger. In fact, it may be different in name only. Like mergers, acquisitions are actions through which companies seek economies of scale, efficiencies and enhanced market visibility. Unlike all mergers, all acquisitions involve one firm purchasing another - there is no exchange of stock or consolidation as a new company. Acquisitions are often congenial, and all parties feel satisfied with the deal. Other times, acquisitions are more hostile. In an acquisition, as in some of the merger deals we discuss above, a company can buy another company with cash, stock or a combination of the two. Another possibility, which is common in smaller deals, is for one company to acquire all the assets of another company. Company X buys all of Company Y's assets for cash, which means that Company Y will have only cash (and debt, if they had debt before). Of course, Company Y becomes merely a shell and will eventually liquidate or enter another area of business. Another type of acquisition is a reverse merger, a deal that enables a private company to get publicly-listed in a relatively short time period. A reverse merger occurs when a private company that has strong prospects and is eager to raise financing buys a publicly-listed shell company, usually one with no business and limited assets. The private company reverse merges into the public company, and together they become an entirely new public corporation with tradable shares. Regardless of their category or structure, all mergers and acquisitions have one common goal: they are all meant to create synergy that makes the value of the combined companies greater than the sum of the two parts. The success of a merger or acquisition depends on whether this synergy is achieved. IV. PURPOSE OF MERGERS AND ACQUISITIONS The basic purpose of merger or business combination is to achieve faster growth of the corporate business. Faster growth may be had through product improvement and competitive position. Procurement of supplies: To safeguard the source of supplies of raw materials or intermediary product Revamping production facilities: To achieve economies of scale by amalgamating production facilities through more intensive utilization of plant and resources; Market expansion and strategy: To eliminate competition and protect existing market;
Financial strength: To improve liquidity and have direct access to cash resource; Strategic purpose: The Acquirer Company view the merger to achieve strategic objectives through alternative type of combinations which may be horizontal, vertical, product expansion, market extensional or other specified unrelated objectives depending upon the corporate strategies Desired level of integration: Mergers and acquisition are pursued to obtain the desired level of integration between the two combining business houses. Such integration could be operational or financial. V. INDIAN MERGERS AND ACQUISITIONS
Until upto a couple of years back, the news that Indian companies having acquired American-European entities was very rare. However, this scenario has taken a sudden U turn. Nowadays, news of Indian Companies acquiring foreign businesses is more common than other way round.
Acquirer Target Company Country Deal Industry targeted value ($ ml) Tata Steel Corus Group UK 12,000 Steel plc Hindalco Novelis Canada 5,982 Steel Videocon Daewoo Korea 729 Electronics Electronics Corp. Dr. Betapharm Germany 597 Pharmaceutical Reddys Labs Suzlon Hansen Belgium 565 Energy Energy Group HPCL Kenya Kenya 500 Oil and Gas Petroleum Refinery Ltd. Ranbaxy Terapia SA Romania 324 Pharmaceutical Labs Tata Steel Natsteel Singapore 293 Steel Videocon Thomson SA France 290 Electronics VSNL Teleglobe Canada 239 Telecom
Buoyant Indian Economy, extra cash with Indian corporate, Government policies and newly found dynamism in Indian businessmen have all contributed to this new acquisition trend. Indian companies are now aggressively looking at North American and European markets to spread their wings and become the global players. The Indian IT and ITES companies already have a strong presence in foreign markets, however, other sectors are also now growing rapidly. The increasing engagement of the Indian companies in the world markets, and particularly in the US, is not only an indication of the maturity reached by Indian Industry but also the extent of their participation in the overall globalization process.
Paper on Merger & Acquisitions
Here are the top 10 acquisitions made by Indian companies worldwide: If you calculate top 10 deals it account for nearly US $ 21,500 million. This is more than double the amount involved in US companies acquisition of Indian counterparts. Graphical representation of Indian outbound deals since 2000.
number of outbound cross border deals was 30 with a value of US$ 3.79 billion. The sectors attracting investments by Corporate India include metals, pharmaceuticals, industrial goods, automotive components, beverages, cosmetics and energy in manufacturing; and mobile communications, software and financial services in services, with pharmaceuticals, IT and energy being the prominent ones among these. A. Mergers and Acquisitions in India in 2007 Some of the important mergers and takeovers in India in 2007 were Mahindra and Mahindra acquired 90% stake in the German company Schoneweiss. Corus was taken over by Tata RSM Ambit based at Mumbai was acquired by PricewaterhouseCoopers. Vodafone took over Hutchison-Essar in India. VII. MERGERS AND ACQUISITIONS TEL EXCOMMUNICATION INDUSTRY
Have a look at some of the highlights of Indian Mergers and Acquisitions scenario as it stands Indian outbound deals, which were valued at US$ 0.7 billion in 2000-01, increased to US$ 4.3 billion in 2005, and further crossed US$ 15 billion-mark in 2006. In fact, 2006 will be remembered in Indias corporate history as a year when Indian companies covered a lot of new ground. They went shopping across the globe and acquired a number of strategically significant companies. This comprised 60 per cent of the total mergers and acquisitions (M&A) activity in India in 2006. And almost 99 per cent of acquisitions were made with cash payments. VI. MERGERS AND ACQUISITIONS The total M&A deals for the year during JanuaryMay 2007 have been 287 with a value of US$ 47.37 billion. Of these, the total outbound cross border deals have been 102 with a value of US$ 28.19 billion, representing 59.5 per cent of the total M&A activity in India. The total M&A deals for the period JanuaryFebruary 2007 have been 102 with a value of US$ 36.8 billion. Of these, the total outbound cross border deals have been 40 with a value of US$ 21 billion. There were 111 M&A deals with a total value of about US$ 6.12 billion in March and April 2007. Of these, the number of outbound cross border deals was 32 with a value of US$ 3.41 billion. There were 74 M&A deals with a total value of about US$ 4.37 billion in May 2007. Of these, the
Telecommunication industry has grown significantly in recent years. Deregulation, advent of new technologies and inclusion of new services boosted this growth. Mergers and acquisitions in the telecommunication industry have grown by substantial proportions in India since the mid 1990s. Economic reforms undertaken in the 1990s in India opened up the telecom sector which used to be a predominantly state controlled one. Private investment in the telecom sector in India not only facilitated the rapid expansion of telecom services in the urban, as well as rural parts of India, it also provided the opportunity for mergers and acquisitions in this sector. VIII. REASONS FOR THE GROWTH OF INDIAN TELECOMMUNICATION INDUSTRY In recent times mergers and acquisitions in the Indian telecommunication industry have been driven by a few important factors The inclusion of internet (including broadband) and cable services in the telecom sector. New technologies like wireless fixed phone services. Deregulation in the telecom sector. IX. IMPORTANT MERGERS AND ACQUISITIONS IN THE INDIAN TELECOMMUNICATION INDUSTRY The first merger and acquisition deal in the Indian telecom industry occurred in 1998 between Max Group of Delhi and Hutchison Group of Hong Kong. 41% of
stakes of Orange services in Mumbai was acquired by Hutchison from Max for 560 million US Dollars. In the years that followed several other mergers and acquisitions took place in the telecommunications sector in India. Important ones among them include Acquisition of Command Cellular Services in Kolkata by Hutchison from Usha Martin in 2000. Acquisition of 79.24% stakes of Aircel, Chennai by Sterling group from RPG group for Rs. 210 Crores in 2003. Acquisition of 48% stakes in Idea cellular by Aditya Birla group from the Tata group in 2005. Acquisition of Hutch services in India by Vodafone in 2006. X. BENEFITS OF MERGERS AND ACQUISITIONS IN THE INDIAN TELECOMMUNICATION INDUSTRY Mergers and acquisitions in the telecom sector in India provide certain benefits in terms of Infrastructure - Building infrastructure for telecommunications is not easy. Moreover it consumes much time. Mergers and acquisition provides access to infrastructure much easily. Network-Benefits of existing network are available much easily through mergers and acquisitions License-In certain region there may be restrictions on getting new license. In such a
case mergers and acquisitions provide an option to run services in that region. Customer base. Brand value. Spectrum. XI. RULES RELATED TO MERGERS AND ACQUISITIONS IN THE INDIAN TELECOMMUNICATION INDUSTRY
Certain regulatory and statutory norms pertaining to mergers and acquisitions in the Indian telecommunications sector are laid down by the Indian government and its authorized agencies. These include Mergers and acquisitions require approval from the Department Of Telecommunications (DOT) Mergers are allowed in the same service area. Mergers or acquisitions in a service area should not lead to less than 3 operators in that area. Mergers and acquisitions should not lead to monopoly. REFERENCES
[1] [2] [3] [4] http://trak.in/tags/business/2007/08/16/indian-mergersacquisitions-changing-indian-business http://ibef.org http://trak.in/tags/business/2009/05/31/corus-and-ranbaxyacquisitions-gone-wrong http://finance.mapsofworld.com/mergeracquisition/telecommunication-industry.html
Financial Crisis and Its Impact on Indian Economy

Sukhvinder Kaur
Lecturer, Chitkara University, Punjab
AbstractGlobalization has ensured that the Indian economy and financial markets cannot stay insulated from the present financial crisis in the developed economies. Indian companies which had access to cheap foreign currency funds for financing their import and export will be the worst hit. Also, foreign funds (through debt and equity) will be available at huge premium and would be limited to blue-chip companies. The crisis is not merely financial; it is a crisis of the real economy. It is not merely banking, insurance and stock markets which are in crisis. There is a crisis in the real economy in the sense that the industrial output in the advanced capitalist countries is falling. The paper will focus on what actually financial crisis is as this crisis involves the real economy as well, not just the financial sector. It is not really a general economic crisis. Secondly, it will cover about the key factors behind the current global economic crisis; thirdly, it will cover the impact of this crisis on the Indian economy. Finally, it will include the needs to be done immediately in order to minimize the negative impacts of the global crisis on the working people of India.
through a withdrawal of capital from Indias financial markets. This is shown in Indias balance of payments as a substantial decline in net capital inflows in the first half of 2008-09 to US$ 19 billion from US$ 51.4 billion in the first half of 2007-08, a 63 percent decline. II. RESEARCH METHODOLOGY AND DATA COLLECTION OBJECTIVES/SCOPE OF STUDY To study the factors behind current global crisis. To study the impact of financial crisis. To suggest measures to minimize the financial crisis. The secondary method for data collection has been used. All the data is collected from following major sources like internet, Newspaper: The Business Standard, The Economic Times and The Times of India, articles and Books & Indian Journal of Finance. III. IMPACT OF THE CRISIS ON INDIA With the increasing integration of the Indian economy and its financial markets with rest of the world, there is recognition that the country does face some downside risks from these international developments. Total net capital flows fell from US$17.3 billion in April-June 2007 to US$13.2 billion in April-June 2008. While Foreign Direct Investment (FDI) inflows have continued to exhibit accelerated growth (US$ 16.7 billion during April-August 2008 as compared with US$ 8.5 billion in the corresponding period of 2007), portfolio investments by foreign institutional investors (FIIs) witnessed a net outflow of about US$ 6.4 billion in April- September 2008 as compared with a net inflow of US$ 15.5 billion in the corresponding period last year. A. Developments in the Exchange Rate Arena The exchange rate policy in recent years has been guided by the broad principles of monitoring and management of exchange rates with flexibility, without a fixed or a preannounced target or a band, while allowing the underlying demand and supply conditions to determine the exchange rate movements of the Indian rupee over a period in an orderly manner. Subject to this predominant objective, the RBIs intervention in the foreign exchange market has been driven by the objectives of reducing excess volatility, maintaining adequate level of reserves, and developing an orderly foreign exchange market.
I. INTRODUCTION A financial crisis refers to a loss of confidence in a country's currency or other financial assets causing international investors to withdraw their funds from the country. Financial crisis is applied broadly to a variety of situations in which some financial institutions or assets suddenly lose a large part of their value. Other situations that are often called financial crises include stock market crashes and the bursting of other financial bubbles, currency crises, and sovereign defaults. The financial crisis began in July 2007. Economic growth decelerated in 2008-09 to 6.7 percent. This represented a decline of 2.1 percent from the average growth rate of 8.8 percent in the previous five years (2003-04 to 2007-08). Per capita GDP growth grew by an estimated 4.6 percent in 2008-09. Though this represents a substantial slowdown from the average growth of 7.3 percent per annum during the previous five years, it is still significantly higher than the average 3.3 percent per annum income growth during 1998-99 to 2002-03. The current account deficit during 2008-09 shot up to 2.6 percent of GDP from 1.5 percent of GDP in 2007-08. And this is the highest level of current account deficit for India since 1990-91. The capital account surplus dropped from a record high of 9.3 percent of GDP in 2007-08 to 0.9 percent of GDP. The global financial crisis began to affect India from early 2008
B. Developments in the Monetary Policy Arena The RBI responded to the emergent situation by facilitating monetary expansion through decreases in the CRR, RR and R-RR rates, and the statutory liquidity ratio (SLR). In the first quarter review of monetary policy 2009-10, the RBI maintained a GDP growth forecast of 6 percent for 2009-10. The RBI kept all policy rates (repo rate, reverse repo rate and cash reserve ratio) unchanged. The reason for a pause in monetary easing was that the central bank now considered inflation to be a cause of worry. C. Indian Stock Market An eventful week of great turbulence has begun in the global financial scenario as stock prices dipped across much of the globe on news that investment bankers, Lehman Brothers Holdings filed for bankruptcy and Merrill Lynch & Cos forced sale to Bank of America. Mostly all the industrial sectors experienced a consistent low in their stock prices. Real estate: Real estate is badly affected by the current financial downturn. The investment banks had given huge amounts of money to real estate companies for development projects. With the large investment banks going bankrupt, the projects have to be discontinued, leading to the slump in the real estate market as well. Indias Exports: The worldwide financial crisis has caused up to 70 percent fall in India's exports. Other sectors like tea and carpets were also down by 20 percent and 32 percent, respectively. Overall export growth went down to just over 10 percent from 26.9 percent. Bulk cargo shipping rates have also come down by nearly 50 percent. D. Rupee Value Rupee value against the US dollar has weakened dramatically. One reason might be the foreign fund inflow into India that was so prominent in the last couple of years, has turned negative. Part of the reason has been the crunch they have faced in home markets, and part of it has been the flight to safety of US treasury paper. E. Job Losses Temporary or Permanent Conceptually, Indias exports depend on the supply side, the demand-side and the exchange rate. 20,000 construction workers who have lost their jobs in the Gulf and job losses of 40,000 for engineering, 100,000 for gems and jewellery and 500,000 for garments. At this stage, it is still unclear as to how temporary these job losses, as opposed to more permanent. F. Social Security/Safety Nets and Migration: A key characteristic of informal sector employment is lack of protective labour legislation, including that on social security. Indeed, the only form of social security that exists so far is through the National Rural
Employment Guarantee Scheme (NREGS), as the more comprehensive social security scheme for unorganized sector workers has not yet got off the ground. Interstate migration occurs notably from Bihar, UP, West Bengal and Orissa to states such as Karnataka, Andhra Pradesh, Tamil Nadu, Maharashtra and Gujarat, and encompasses semi-skilled and unskilled labour in the export sector. Food security and the price of essentials Much has been made of the slowdown in inflation rates to almost zero, and there are those who have pointed out that this reflects the declining rate of economic growth and could even lead to a deflation that is damaging for growth. But what is often not noted is that even within this overall stagnation in prices, food prices have continued to increase. Food grain prices have gone up the most, by more than 10 percent in the year April 2008 to March 2009. G. Impact on the Indian Banking System A detailed study undertaken by the RBI in September 2007 on the impact of the subprime episode on the Indian banks had revealed that none of the Indian banks or the foreign banks, with whom the discussions had been held, had any direct exposure to the sub-prime markets in the USA or other markets. All banks were advised to report the details of their exposures to Lehman Brothers and related entities both in India and abroad. In the aftermath of the turmoil caused by bankruptcy, the Reserve Bank has announced a series of measures to facilitate orderly operation of financial markets and to ensure financial stability which predominantly includes extension of additional liquidity support to banks. H. RBI Response to the Crisis The financial crisis in advanced economies on the back of sub-prime turmoil has been accompanied by near drying up of trust amongst major financial market and sector players, in view of mounting losses and elevated uncertainty about further possible losses and erosion of capital. In response to the developments, central banks in major advanced economies have taken a number of coordinated steps to increase short-term liquidity. Central banks in some cases have substantially loosened the collateral requirements to provide the necessary short-term liquidity. IV. INDIA: TURNING CRISIS INTO OPPORTUNITY In a recent statement, India's PM Dr. Manmohan Singh said that the broad goal of India's policy is to try to ensure that any reduction in India's growth is temporary, so that the economy can return quickly to a nine per cent growth rate. In charting its course, the Government is juggling multiple considerations: the state of the domestic business cycle; ensuring financing for the balance of payments deficit; the sharp shift in the availability of global risk capital for financing Indian investment; and the slowdown in growth in the world's rich economies.
Financial Crisis and Its Impact on Indian Economy
Over the course of October, the RBI has sharply reversed course on the two key instruments at its disposal: the cash-reserve ratio (that is, reserve requirements) that banks are required to hold in their accounts with the RBI; and the overnight secured lending rate at which the RBI lends to banks. V. POSITIVE IMPACTS OF GLOBAL FINANCIAL CRISIS ON INDIAN ECONOMY A. Emergence of a New Economy This is the time of global financial crisis when world's biggest economies like US and Europe are struggling to overcome this situation and India was able to invest money for launching of chandrayaan-1. In USA huge giants of banking and finance sector like Lehman Brothers, Merill Lynch, Washington Mutual Operations etc. could not survive in this crisis and have lost their existence. In comparison to such horrible conditions India is in a better place. It is an appreciating fact that we have a number of companies still reporting successes at this time. B. Expose of Weaknesses in the Economy The major role of financial crisis is that it exposes the political, structural and financial weaknesses of an economy. It explores efficiency in the financial market, transparency and accountability of new or reformed organizations, opportunity for creating new jobs and technologies, sufficient fund for investment in R&D innovation and education. Regulators are trying to assess the situation and taking steps to insulate their economies from the shock. C. Cost stabilization in Real Estate Market Both the builders' association Confederation of Real Estate Developers Association of India (CREDAI) and National Real Estate Development Council (NREDC) have appealed the members to slash prices of their properties. Builders feel that slashing down prices will encourage buyers and restore confidence. D. Rationalization of Salary Structure in IT Industry IT sector has seen an unmatched rise in salaries and increments. But with this financial crisis this unusual hike came under control as no economy can afford 25% to 30% salary hike per industry per annum. Because of such high growth rate of salary structure, IT professionals were changing jobs frequently which impacts adversely the job culture of the industry particularly. E. Performance Appraisal is Gaining Ground Earlier as there were many job opportunities available for the people; the role of performance appraisal was less. Now as this financial crisis arises everyone is trying to save his job. Because of the
changed job environment, emerged from the global financial crisis use of Performance Appraisal is gaining its ground day by day. As a result, everyone is ready to give his 100% to his job. F. Cost Cutting-The Only Solution Cost cutting seems to be the only solution to this financial crisis. Starting from Govt. sectors to big private corporate sectors, cost cutting has spread its branches everywhere. Earlier when big multinationals were spending recklessly for promoting their business where staff luxury was of major portion, today they are taking a second thought before spending a single penny. G. Best Place for Outsourcing\ The factors which are responsible for it are firstly when it comes to salary costs India is extremely competitive, secondly Indian outsourcing firms have now matured into true global companies that can offer best services at competitive prices. India is coming under the list of top outsourcing destinations with China, Brazil, Mexico, Malaysia and Chile and India is having one of the largest producers of English-speaking graduates including management and engineering graduates. VI. CONCLUSION In coming years we might have recurrent food crisis with rising price trends that cannot be slowed down significantly. The current inflationary pressure in almost all Asian countries and especially in India are not responding to the usual remedies because a large portion are imported from abroad. The policies should act to foster growth in the short-term and lay the foundations for economic stability in the long-term. After considering so many positive points we can assure that we are quite in a safer place in comparison to many developed countries economy. To conclude lets hope for a stronger India by rectifying all its economic weaknesses after this deep global financial crisis. REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] Government of India, Ministry of Finance Economic Survey 2009-10 New Delhi. Government of India, Ministry of Finance Union Budget for 2010-11 New Delhi. Reserve Bank of India (2009) Macroeconomic and Monetary DevelopmentsFirst Quarter Review 2009-10, Mumbai, July 27, 2009. Reserve Bank of India Handbook of Monetary Statistics of India, Mumbai Reserve Bank of India (2008) Handbook of Statistics on the Indian Economy, Mumbai http://www.newstrackindia.com/newsdetails/ http://myiris.com/shares/ecoWatch/ www.business-standard.com www.cmie.com www.thehindubusinessline.com www.indianmba.com www.investopedia.org www.wikipedia.org
Emerging Market as Great Opportunity for Indian BankingEvaluating New Market Entry Strategies
Ajay Samyall, Rohit Bansal2 and Amit Garg3
1 2
Assistant Professor, Dept. of Management, MIMIT, Malout, Punjab, India Assistant Professor, Dept. of Management, MIMIT, Malout, Punjab, India 3 Assistant Professor, Dept. of Management, MIMIT, Malout, Punjab, India e-mail: 1aksamyal@yahoo.com
AbstractThe timing of market entry is a critical decision, involving the need to balance the risk of premature entry with the problems of missed opportunities as a result of late entry.The paper focuses on new market entry of banks market entry process, challenges or pitfalls in the way of new Market entry and factors to be consider for the same. This paper also analyse that how it important for this sector to survive into the stiff competitive market. As we now that time is moving fast side by side competition too. So we should keep on change according to the market trends either in terms of Market or offerings. New market entry is big step for any financial organization because it comprises many other factors which we will study in this paper. It is mandatory to evaluate the factors impact on the overall growth of the organization. It also covers the study of existing market players and their routine activities for the enhancement of the profitability as well as visibility of the organization. What kind of market entry strategies is going to be adopted earlier, presently and what should be required in domestic banking sectors. In this study we are taking emerging market as new market for financial sectors/Banks in India. Our study also cover the various factors which are not ignorable while taking this step especially by financial organizations/Banks-Market segmentation-Target market, Consumer Behavior, Product and its differentiation, Place, Price , cost of funds, promotion and technology (Rapidly Changes).
issued a policy of liberalization to license limited number of private banks, At present, Private Banks in India include leading banks like ICICI Banks, ING Vysya Bank, Jammu & Kashmir Bank, Karnataka Bank, Kotak Mahindra Bank, SBI Commercial and International Bank, etc. when policy revised in January 2001, many private banks came into the picture in urban areas [5]. Banking sector is doing very good in India but now many private banks has entered into the market and giving a heavy competition to each other , due to which some banks are not achieving even their minimum set productivity benchmark. Due the stiff competition it is very difficult to survive. Therefore it is very important to step into the outreach market in other words we can say that emerging market. So banking is moving towards emerging market as it untouched part of the mass market. II. OBJECTIVES
To Identifying potential of the particular market in India To know factors to be considering before taking Market entry decision. To create strategies for market entry. To know the significance of new market entry and its pitfall.
I. REVIEW OF LITERATURE Initially all the banks in India were private banks, which were founded in the pre-independence era to cater to the banking needs of the people. In 1921, there were only three major banks i.e. Banks of Bengal, Bank of Bombay, and Bank of Madras, merged to form Imperial Bank of India. In 1935, the Reserve Bank of India (RBI) was established and it took over the central banking responsibilities from the Imperial Bank of India. After that in 1969, Government of India issued an ordinance and nationalized the 14 largest commercial banks of India. In 1994, the Reserve Bank Of India
A. Research Methodology Research methodology deals with the method of study i.e. how the study was carried out and what were the techniques used. it is carefully investigation or enquiry in a systematic manner in a order to find out a solution to problem in research. it consist of defining a problem, formulating hypothesis or suggested solution, collecting and evaluating data, making calculation etc at last carefully testing the conclusion to determine whether they fit the formulated hypothesis or not. it includes the scope of the study, research design, collection of data, analysis of data and limitation of the study.
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III. RESEARCH DESIGN Research design is an arrangement of condition for aims to combine relevance to the research purpose with economy in procedure. The research problem in clear cut terms helps the researcher to prepare a research design. It constitutes the blueprint for the collection, measurement and analysis of data. It is a strategy for a study and the plan by which the research is to be carried out. The research carried is descriptive in nature because it describes the job satisfaction level. IV. DATA COLLECTION A. Data collection techniques We use interview data collection technique through structured questionnaire B. Data Source Both primary and secondary sources are used for collecting the data. C. Primary Data Primary data is that data which is collected for the first time. It is original in nature in the shape of raw material. D. Secondary Data Secondary data is the data which is already collected by someone. They are in the shape of finished product. The secondary data was collected from various magazines, news paper, journals and internet to gather relevant information E. Sampling Design Sampling refers to selecting some of the elements in a population by which one can draw conclusion about the entire population. F. Universe Universe is the indefinite numbers of elements that the researcher is targeting in his study. Here the universe for my study is all the employee of private sector banks throughout world. G. Population Population is finite number of elements that the researcher is going to target in a particular area. Employees of private sector banks throughout Ludhiana city is a population of my research paper. H. Sampling Unit Every single employee of a private sector banks in Ludhiana city is a sample unit for our study. I. Sampling Technique Convenience sampling.
J.
Sample Size The sample size for the study is 20 respondents V. FINDINGS AND RESULTS
As we know that there are many banks private sectors as well as public sector doing good business in the market in a huge competitive situation due to which they pulling legs of other to acquire the fresh customer or retain the customer, all the banks are very much aggressive to retain the customer by implementing the CRM (Customer relationship manager) strategies but but it is not enough to survive into the market. So banks should move towards emerging or untapped market to build new markets and revenues. It is very important to take a market entry decision while the pace of growth on bank getting down. Market entry decision is very critical for any organization because it has many pros and cons. Many question raises while taking this kind of decision like: Does it pay to be first with a product or service? Is being an innovator worth the risk? Is it better to wait and learn from the experiences of the first entrant to the market? What is the proper balance between the risks and rewards? If you are a pioneer, what can you do to prevent share erosion when a new player enters the market? If you are a late entrant, what strategies should you adopt to make your entry successful? [1] According to Micheal E Porter, we should get the knowledge about the new market before entering because A segment is unattractive it already contains numerous, strong or aggressive competitors. So banks should consider many factors external as well as internal to enter into the new market [2]. Market entry decision making process can be divided into 4 steps: Step I. Identify the Potential Market. To identify the potential market is foremost step in market entry decision making process. So bank should first have the knowledge of market to be captured. Evaluation the market on the basis of income level, population, genders, age etc. so as they can get the healthy business in routine from the population in terms of big deposits. Step II. Finding and evaluating Internal as well as external factors impacting profitability/ cost. After identifying the potential market of emerging market, we should consider some internal and external factors which can affects our revenue as well as cost.
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Internal Factors like Man force, Existing technology, present financial status etc. and external factors like competitors in new market, infrastructure, government policies etc. Bank existing man power should be well trained and in adequate in size so that we can start business efficiently in new market with lower cost, technology should be compatible to the new identified market. To establish or transit some branches to new market bank should be financially sound so that in initial period it can meet the cost during the payback period. Regarding internal external factors are also very much affects the revenue of the banks like competitors, should analyze the competitors already existing in the market in terms of market share. Infrastructure, Infrastructure should be effective to minimize the variable cost. Government policies, banks also look after the government policies regarding that market so as bank can easily run their business within the government policy. Step III. Create and implementing Market entry strategies. After studying the potential of the market as well all factors impacting business if the bank creates some strategies to make the above factors favorable. Some strategies are as below: Sub-Market segmentation and target marketing. Bank should do the market survey and implementing the sub market segmentation on the basis of demography (age, occupation, sex, family size), geography (climate, density, population), psychography (lifestyle, values, personality) and behavior (usage rate, usage status, loyalty, etc.), age-based segmentation is fast gaining importance in the marketer's tool kit [4]. So that we have the idea about the customer preferences tastes attitude towards its products. And also focused on segmented market to make product or service available according to the customer need.
Develop new channels of distribution to access new markets. Bank should not only go for market segmentation but also establish the strong and sound distribution channels to approach that market.
A. Product and price differentiation. Bank should offer product as well as services according to the market, they should adopt the product differentiation strategies or price differentiation strategies, like in rural, Bank account is open with 5000/- whereas with 10000/- in prime or urban area. Or in rural agricultural loan is in great demand rather than personal loan. B. Nature of business Bank should first launch product in which there is less risk and capture the market slowly. Like bank should not provide the unsecured loans in its initial stage as it contains higher risk of default. They should first approach customer for secured loans in its introductory stage of a bank. Step IV. Auditing and reviewing. After that bank should use method to audit or review the new project to be established in emerging market or new market like Payback period, benefit cost analysis, net present value of the bank etc. after calculating such techniques bank should take decision to invest in new market.[3] VI. CONCLUSION
As everyone knows the situation of banking in Indian prime market with is at maturity stage so they should move towards emerging market, as it is a big opportunity for banking sector to build a new market and revenue in emerging market. So if you want to be King of the Mountain in a new marketplace you have to enter first in the new market. In this paper new market entry decision making process has been briefed and what kind of strategies should adopted be adopted to make the bank success in new market place. In future this paper will help in evaluate the banks performance in benefit cost ratio techniques along with the day to day obstacles in the way of business in respect of emerging market population.
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REFERENCES
[1] Articles: Market Entry Strategies: Pioneers versus Late Arrivals, By Gurumurthy Kalyanaram and Ragu Gurumurthy, Published: July 1, 1998 / Third Quarter 1998 / Issue 12 Bresnahan, T. and P. Reiss (1991), Entry and Competition in Concentrated Markets,Journal of Political Economy, 99: 977 1009. And five competitive forces model of Micheal E Porter from Kotler Keller, marketing management, Twelfth Edition, chapter dealing with competition, Page-316.
[3]
[4]
Kannadhasan M and Nandagopal R December 2010 The IUP Journal of Financial Risk Management Article of Finance Management Rachna Gandhi November, 2010 from Marketing Mastermind Cover Story of marketing Product Code : MMCS11011
[2]
Web Pages
[5] http://finance.indiamart.com/investment_in_india/banking_in_in dia.html
Financial Crisis Causes and Impacts

Amrinder Singh1 and Sonam Sahni2
1,2
S.G.T.B. Khalsa College Anandpur Sahib e-mail: amrindersinghs@gmail.com

advanced countries emerging markets. and a sharp slowdown in
AbstractThe intensification of the global financial crisis, following the bankruptcy of Lehman Brothers in September 2008, has made the current economic and financial environment a very difficult time for the world economy, the global financial system and for central banks. The fall out of the current global financial crisis could be an epoch changing one for central banks and financial regulatory systems. It is, therefore, very important that we identify the causes of the current crisis accurately so that we can then find, first, appropriate immediate crisis resolution measures and mechanisms; second, understand the differences among countries on how they are being impacted; and, finally, think of the longer term implications for monetary policy and financial regulatory mechanism. The US financial system is in many aspects unique due to the high share of capital market intermediaries and instruments. Deposit money banks account for a relatively low share of financial system assets, the stocks of market instruments are significantly larger (including private bonds), and the ratio of claims on the private sector to deposits is much higher. Overall, these indicators reflect the much greater role played by large investment banks, institutional investors, and other financial institutions, as well the extensive use of securitization. India is at the crossroad of transforming itself into a rapidly developing emerging market economy. As India expands its role in the global economy, there is an imminent need to strengthen its financial sector further in aiding economic development and facilitate a smoother integration with the global financial markets.. We hereby declare that information provided is true & original to the best of our knowledge and it has neither been published nor considered anywhere for publication.
I. INTRODUCTION The global financial crisis of 2007 has cast its long shadow on the economic fortunes of many countries, resulting in what has often been called the Great Recession. What started as seemingly isolated turbulence in the sub-prime segment of the US housing market mutated into a full blown recession by the end of 2007. The crisis came largely as a surprise to many policymakers, multilateral agencies, academics and investors. The subprime mortgage crisis, popularly known as the mortgage mess or mortgage meltdown, came to the publics attention when a steep rise in home foreclosures in 2006 spiralled seemingly out of control in 2007, triggering a national financial crisis that went global within the year. Consumer spending is down, the housing market has plummeted, foreclosure numbers continue to rise and the stock market has been shaken. The subprime crisis and resulting foreclosure fallout has caused dissension among consumers, lenders and legislators and spawned furious debate over the causes and possible fixes of the mess. The collapse of Lehman Brothers in September 2008, sent a wave of fear around world financial markets. Banks virtually stopped lending to each other. The risk premium on interbank borrowing rose sharply to 5 per cent, whereas typically it was close to zero. Although authorities scrambled to inject liquidity into financial markets, the damage was done. The risk premium on corporate bonds shot up even more to over 6 per cent. Large CAPEX projects were shelved, the corporate sector virtually stopped borrowing, trade credit was hard to get and, with falling demand, particularly for investment goods and manufacturing durables like cars, trade volumes collapsed. Governments have responded with an easing of monetary and fiscal policy that in turn have their own effects on activity and financial and trade flows. The downturn in activity is causing unemployment to rise sharply and, with it, a political response to protect domestic industries through various combinations of domestic subsidies and border protection. There is potential for protectionism to rise further. The Indian economy looked to be relatively insulated from the global financial crisis that started in August 2007 when the sub-prime mortgage crisis first surfaced in the US. In fact the RBI was raising interest
Objective Advanced countries are today in the midst of a serious financial crisis and deep economic recession, and emerging markets are experiencing a sharp slowdown in economic growth. In this paper I will first examine the causes, effects, policies, and prospects for the financial crisis and how the financial crisis led to recession in
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rates until July 2008 with the view to cooling the growth rate and contain inflationary pressures. But as the financial meltdown, morphed in to a global economic downturn with the collapse of Lehman Brothers on 23 September 2008, the impact on the Indian economy was almost immediate. II. RESEARCH METHODOLOGY Research methodology is a way to systematically solve the research problem. The research methodology included the various methods and techniques for conducting a research. Sciences define research as the manipulation of things, concepts or symbols for the purpose of generalizing to extend, correct or verify knowledge, whether that knowledge aids in construction of theory or in practice of an art. My research project has a specified framework for collecting the data in an effective manner. Such framework is called Research Design. The research process which was followed by me consisted following steps. A. Defining the problem & Research Objectives It is said, A problem well defined is half solved. The step is to define the project under study and deciding the research objective. The definition of problem includes the study of Financial Crisis Causes and Impacts B. Developing the Research Plan The second stage of research calls for developing the efficient plan for gathering the needed information. Designing a research plan calls for decision on the data sources, research approach, research instruments, sampling plan and contacts methods. The research is descriptive in nature and is aimed at analyzing the causes and impacts of financial crisis in 2008. III. INTERNATIONAL MONETARY FUND REPORT In its semi annual Global Financial Stability Report released on April 8, 2008, the International Monetary Fund (IMF) said that falling U.S. housing prices and rising delinquencies on the residential mortgage market could lead to losses of $565 billion dollars. When combining these factors with losses from other categories of loans originated and securities issued in the United States related to commercial real estate, IMF puts potential losses at about $945 billion. This was the first time that IMF has made an official estimate of the global losses suffered by banks and other financial institutions in the U.S. credit crunch that began in 2007 amid the rising number of defaults on subprime home loans. The incredible $945 billion estimate of losses, made in March, represents approximately $142 per person worldwide and 4 percent of the $23.21-trillion
credit market. IMF noted in its report that global banks likely will carry about half of these losses. It is now clear that the current turmoil is more than simply a liquidity event, reflecting deep-seated balance sheet fragilities and weak capital bases, which mean its effects, are likely to be broader, deeper, and more protracted," the report said. IV. FINANCIAL CRISIS: CAUSES The present financial crisis started in the U.S. subprime mortgage market in 2007 and then spread to the entire financial and real sectors of the U. S. economy in 2008, and from there to the rest of the world. The initial causes of the financial crisis are clear: huge and increasing amounts of home mortgages -- often based on weak underwriting including no down payment or checking credit histories were given to individuals and families that clearly could not afford them. These mortgages were made at variable rates when rates were the lowest in 50 years. It was only to be expected that a rise in interest rates would cause many homeowners to be unable to make their mortgage payments and default. This crisis may have been avoided if housing prices had continued to rise at the unrealistic high rates of 20002005. These sub-prime home mortgages were then repackaged into mortgage-backed securities (MBS) and sold to credit market investors. Although the problem of sub-prime mortgages greatly expanded during the presidency of George W. Bush, the practice started in 1999 during the Clinton Administration when Fannie Mae and Freddie Mac were pushed to grant home mortgages to people who clearly could not afford these mortgages in order to promote the American dream of owning a home. V. ROOTS OF THE SUBPRIME CRISIS There are a number of theories as to what led to the mortgage crisis. Many experts and economists believe it came about though the combination of a number of factors in which subprime lending played a major part. VI. HOUSING BUBBLE The current mortgage meltdown actually began with the bursting of the U.S. housing bubble that began in 2001 and reached its peak in 2005. A housing bubble is an economic bubble that occurs in local or global real estate markets. It is defined by rapid increases in the valuations of real property until unsustainable levels are reached in relation to incomes and other indicators of affordability. Following the rapid increases are decreases in home prices and mortgage debt that is higher than the value of the property. Housing bubbles generally are identified after a market correction, which occurred in the United States around 2006. Former Chairman of the Federal Reserve Board, Alan Greenspan, said in 2007 that we
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had a bubble in housing, and that he really didnt get it until very late in 2005 and 2006. Freddie Mac CEO Richard Syron agreed with Greenspan that the United States had a housing bubble and concurred with Yale economist Robert Shillers 2007 warning that home prices appeared overvalued and that the necessary correction could last years with trillions of dollars of home value being lost. Greenspan also warned of large double digit declines in home values, much larger than most would expect. VII. HISTORICALLY LOW INTEREST RATES Many economists believe that the U.S. housing bubble was caused in part by historically low interest rates. In response to the crash of the dot-com bubble in 2000 and the subsequent recession that began in 2001, the Federal Reserve Board cut short-term interest rates from about 6.5 percent to 1 percent. Greenspan admitted in 2007 that the housing bubble was fundamentally engendered by the decline in real longterm interest rates. Mortgage rates typically are set in relation to 10year Treasury bond yields, which, in turn, are affected by federal funds rates. The Fed has acknowledged the connection between lower interest rates, higher home values and the increased liquidity that the higher home values bring to the overall economy. In a 2005 report by the Fed, International Finance Discussion Papers, Number 841, House Prices and Monetary Policy: A Cross-Country Study, the agency said that house prices, like other asset prices, are influenced by interest rates, and in some countries the housing market is a key channel of monetary policy transmission. VIII. THE BUBBLE BURSTS Between 2004 and 2006, the Federal Reserve Board raised interest rates 17 times, increasing them from 1 percent to 5.25 percent. The Fed stopped raising rates because of fears that an accelerating downturn in the housing market could undermine the overall economy. Some economists, like New York University economist Nouriel Roubini, feel that the Fed should have tightened up on the rates earlier than it did to avoid a festering of the housing bubble early on.
Roubini also warned that because of slumping sales and prices in August 2006, the housing sector was in free fall and would derail the rest of the economy, causing a recession in 2007. In August 2006, Barrons magazine warned that a housing crisis was approaching and noted that the median price of new homes had dropped about 3 percent since January 2006. At that time the magazine also predicted that the national median price of housing would fall about 30 percent in the next three years. IX. THE RISE OF SUBPRIME LENDING Subprime borrowing was a major factor in the increase in home ownership rates and the demand for housing during the bubble years. The U.S. ownership rate increased from 64 percent in 1994 to an all-time high peak of 69.2 percent in 2004. The demand helped fuel the rise of housing prices and consumer spending, creating an unheard of increase in home values of 124 percent between 1997 and 2006. Some homeowners took advantage of the increased property values of their home to refinance their homes with lower interest rates and take out second mortgages against the added value to use for consumer spending. In turn, U.S. household debt as a percentage of income rose to 130 percent in 2007, 30 percent higher than the average amount earlier in the decade. With the collapse of the housing bubble came high default rates on subprime, adjustable rate, Alt-A and other mortgage loans made to higher-risk borrowers with lower income or lesser credit history than prime borrowers. Alt-A is a classification of mortgages in which the risk profile falls between prime and subprime. The borrowers behind these mortgages typically will have clean credit histories, but the mortgage itself generally will have some issues that increase its risk profile. These issues include higher loan-to-value and debt-to-income ratios or inadequate documentation of the borrower's income. Subprime mortgages totaled $600 billion in 2006, accounting for approximately one-fifth of the U.S. home loan market. An estimated $1.3 trillion in subprime loans are outstanding. The number of subprime loans rose as rising real estate values led to lenders taking more risks.
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X. IMPACT OF THE CRISIS However, that is history now. The outcome of the current financial crisis is clearly evident to all. Stock markets crashed all over the world, with declines ranging from 35-40% over the past 12 to 18 months in developed countries and even more in most emerging markets. The crisis also has brought significant limitations to investment banking, as we have known it in the United States during the past decade, and a severe recession in most advanced countries and much slower growth in emerging markets. This is likely to be the worst economic recession since the 1930s. With a decline of this magnitude, it almost seems of small consolation for a manager to have posted strong relative performance or earned a spot in the top quartile among the institutional and mutual fund peer groups. However, active management skill has helped to shield some portfolios from the full force of the markets declines and this approach has the potential to continue to add value in U.S. equities. XI. RECOMMENDATIONS Important reforms are clearly needed to avoid future financial crises. Reforms need to be comprehensive but also broad and general. Comprehensive because inadequate regulations on investment banking and improper application of existing regulations contributed to the current financial crisis. Regulations, however, also need to be broad and general rather than specific and pointed because money is fungible and when a specific regulation closes one avenue of creative financial excess, soon operators find
other ways to bypass the regulation. In my opinion, regulations should also restrict or prohibit the use of exotic derivatives. These are derivatives for which the correct price is difficult or impossible to determine and which sellers cannot clearly explain and/or buyer understand how they are supposed to work. Reforms are likely to include the requirement that credit default swaps be traded on organized exchanges and issuers put up reserves to cover the risk of default. XII. CONCLUSION Economists and analysts have come to understand the causes of the subprime crisis. The resulting fallout of the mortgage crisis has been well-documented. Legislators, regulators, industry insiders and others have witnessed its devastating effect on U.S. and global economies. But the most crucial issue of the crisis still looms: what steps must be taken to fix the mess? Resolving this issue has created a firestorm of dissension and debate among state and federal legislators, federal regulators, lenders and industry insiders. REFERENCES
[1] Greenspan A 2007, The Age of Turbulence: Adventures in a New World, Allen Lane, Sydney. Acharya, V.V. and M. Richardson (2010). Causes of the financial crisis, Critical Review, Vol. 21, No. 2-3. International Monetary Fund (2008a), Global Financial Stability Report, October (2008b), World Economic Outlook, October. (2007b), India's Financial Sector Reforms: Fostering Growth While Containing Risk, Reserve Bank of India Bulletin, December.
[2]
[3]
Corporate Governance in Indian Banking Industry

Gaurav Narang1, Shikha Narang2 and Navdeep Kaur3
1
Lecturer, Baba Farid College of Management and Technology 2 Faculty, Redcliff School Bathinda 3 Lecturer, Baba Farid College of Management and Technology e-mail: gaurav-112@yahoo.com
AbstractCorporate governance (CG) is one of the most talked about topics in business, indeed in society, today. A Google search revealed 513 news citations during a single week in June 2006. Most academics, business professionals, and lay observers would agree that CG is defined as the general set of customs, regulations, habits, and laws that determine to what end a firm should be run. The role of Corporate Governance (CG) has become an essential part of the corporate disclosure practice of any successful organization. The most accepted corporate mantra today is that the better the CG practice of an organization the better the shareholder and stakeholder value creation. The same is also applicable to the emerging financial sector of the country, particularly the banking industry. The entry of new private and foreign bankers has made the industry more competitive; at the same time, the role of CG has become more important from the point of view of protection of the stakeholder interest Keywords: Corporate governance, banking, globalization.
of players to serve a reduced number of bankable clients have all added to the worries of the banks. The customer has finally come to hold the center stage and all banking products are tailor-made to suit his tastes and preferences. This sudden change in the banking environment has bereaved the banks of all their comforts and many of them are finding it extremely difficult to cope with the change. II. OBJECTIVES OF THE STUDY To generate an overview about corporate governance means. To generate the need to spread the corporate governance in banking Industry. To know the level of awareness of corporate governance in Indian banking industry. III. NEED OF THE STUDY A corporation is a congregation of various stakeholders, namely, customers, employees, investors, vendor partners, government and society. A corporation should be fair and transparent to its stakeholders in all its transactions. This has become imperative in todays globalized 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. Since banks are important players in the Indian financial system, special focus on the Corporate Governance in the banking sector becomes critical. The Reserve Bank of India, as a regulator, has the responsibility on the nature of Corporate Governance in the banking sector. To the extent that banks have systemic implications, Corporate Governance in the banks is of critical importance. Given the dominance of public ownership in the banking system in India, corporate practices in the banking sector would also set the standards for Corporate Governance in the private sector.
I. INTRODUCTION The concept of corporate governance, which emerged as a response to corporate failures and widespread dissatisfaction with the way many corporate function, has become one of the wide and deep discussions across the globe recently. It primarily hinges on complete transparency, integrity and accountability of the management. There is also an increasingly greater focus on investor protection and public interest. Corporate governance is concerned with the values, vision and visibility. It is about the value orientation of the organisation, ethical norms for its performance, the direction of development and social accomplishment of the organisation and the visibility of its performance and practices. Indian banking has around 200 years of history and has undergone many transformations since independence. But, Liberalisation, Privatisation and Globalisation and Information Technology are currently changing the Indian banking radically. Earlier, banking was virtually a monopoly of the public sector banks with full protection from the State. But the process of reforms in the Indian banking system has thrown them out to more liberal and free market forces. Now the banks, more particularly the public sector ones, feel the real heat of the competition. The interest rate cuts, dwindling margins and more number
Corporate Governance in Indian Banking Industry
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With a view to reducing the possible fiscal burden of recapitalising the PSBs, attention towards Corporate Governance in the banking sector assumes added importance. IV. CHALLENGES
There will always be a problem in the sense that we will never get a perfect solution to governance in the sense that there will be no defects. The optimal governance system will be one that just balances the benefits of reducing malfeasance with the added costs of more stringent governance. So there will still be two types of costs being incurred: costs due to malfeasance and costs created by the governance and control systems themselves. Good corporate governance requires appropriate and effective legal, regulatory and institutional foundations. A variety of factors, including the system of business laws and accounting standards, can affect market integrity and overall economic performance. Such factors, however, are often outside the scope of banking supervision.9 Supervisors are nevertheless encouraged to be aware of legal and institutional impediments to sound corporate governance, and to take steps to foster effective foundations for corporate governance where it is within their legal authority to do so. V. ROLE OF BANKS N GOOD CORPORATE GOVERNANCE Effective corporate governance practices are essential to achieving and maintaining public trust and confidence in the banking system, which are critical to the proper functioning of the banking sector and economy as a whole. Poor corporate governance may contribute to bank failures, which can pose significant public costs and consequences due to their potential impact on any applicable deposit insurance systems and the possibility of broader macroeconomic implications, such as contagion risk and impact on payment systems.
In addition, poor corporate governance can lead markets to lose confidence in the ability of a bank to properly manage its assets and liabilities, including deposits, which could in turn trigger a bank run or liquidity crisis. Indeed, in addition to their responsibilities to shareholders, banks also have a responsibility to their depositors VI. CONCLUSION The Reserve Bank is continuously striving to ensure compliance with international standards and best practices of corporate governance in banks as relevant to India. RBI is also interacting closely with the Government and the SEBI in this regard. Increasing regulatory comfort in regard to standards of governance in banks gives greater confidence to shift from external regulation to internal systems of controls and riskmanagement. Each of the directors of the banks has a role in continually enhancing the standards of governance in banks through a combination of appropriate knowledge and values. REFERENCES Journal
[1] [2] Proquest (Online Subscription) Science Direct (Online Subscription)
Websites/Links
http://www.rbi.org.in/scripts/aboutusdisplay.aspx?pg=depts.htm http://www.emeraldinsight.com/Insight/viewContentItem.do?co ntentType=Article&contentId=1463838. [4] http://ezinearticles.com/?Corporate-Governance-In-IndianBanks&id=1092620 [5] http://www.beyondgreypinstripes.org/pdf/CGReport.pdf [6] http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1158354 [7] http://www.bis.org/review/r051222a.pdf [8] http://www.bis.org/publ/bcbs122.pdf [9] http://www.nyks.org/nyksvig.pdf [10] http://ideas.repec.org/p/wpa/wuwpio/0411004.html [11] http://rbidocs.rbi.org.in/rdocs/Bulletin/DOCs/68234.doc [3]
MARKETING
The Four Ps of Strategy Creation

Mukesh Bhatia
F-159, First Floor, Flat No. 3A, Rajouri Garden, New Delhi110027 e-mail: mukeshb1976@yahoo.co.in
AbstractsMarketing strategy is vital for any business without one, your efforts to attract customers are likely to be haphazard and inefficient. The focus of your strategy should be to make sure that your products and services meet your customers needs and that you develop long-term and profitable relationship with those customers. To stay competitive, youll need to keep up with the current trends in your market, any new technologies and changes or improvements to your existing products. The purpose of marketing strategy should be to identify and then communicate the benefits of what your business offers to your target market / audience. In order to remain relevant and effective, businesses need some way to monitor both the execution of their strategic plan and the changing environment in which they do business. With these management tools providing input in real time, organizations can quickly adjust course as circumstances present new opportunities or threats. A simple model made up of Four Ps can help companies create this advantage. These Ps are Perceptions, Performance, Purpose and Process. Perceptions There are six stake holders groups you should be interacting with periodically i.e. Customers, Employees, Vendors, Regulators, Owners or Stakeholders and Community. Performance is the outcome of four points. One: how you are implementing and executing the marketing strategy. Two: Current economic conditions. Three: Actual operational results matching with the anticipated ones. Forth: The Results, greater or lesser than expected. Purpose: To look for new opportunities or to identify what threats may be emerging due to change in enviorment. Process: Services of tasks combined to achieve a particular goal. Finally, you should be asking how you can create the sense of urgency and the accountability to ensure superior execution of your plan. You may have a great plan, but if you dont have the right sense of urgency or the right level of accountability in the execution of it, a great plan poorly executed still produces poor results. Once you have created and implemented your strategy, you should monitor its effectiveness and make any adjustments required to maintain its success. Keywords: Stakeholders, profitable, relationship, emerging technologies, management tools, accountability, effectiveness.
scenario is to have three to five alternatives that are all so good that you experience a great deal of angst over which one to choose. This process provides several benefits; among them are better critical thinking, increased creativity and a number of alternatives to choose from as the future unfolds. Unfortunately, many organizations dont value this approach and they quickly move strategic discussions toward consensus. As a result, these organizations often end up caught by the marketplace when circumstances change. While their strategy may have been great at the time they created it, factors outside of their control can change the dynamics of their business and, without alternatives that were developed in their strategic planning process, they cannot respond quickly enough to leverage an opportunity or avoid a significant threat. In order to remain relevant and effective, businesses need some way to monitor both the execution of their strategic plan and the changing environment in which they do business. With these management tools providing input in real time, organizations can quickly adjust course as circumstances present new opportunities or threats. A simple model made up of Four Ps can help companies create this advantage. These Ps are Perceptions, Performance, Purpose and Process. A. Perceptions There are six different stakeholder groups you should be listening to periodically to determine whether youre moving in the right direction. These six groups are: I. CUSTOMERS How your customers see you is critical to any organization. Since not all feedback systems work equally to uncover customer perceptions, you should use a variety of feedback systems. Some examples are suggestion cards, phone calls, e-mails, interviews, focus groups and so on. II. EMPLOYEES You should track your employees level of engagement and satisfaction. Again, you should use a variety of feedback systems to gauge their perceptions. Your employees have a big impact on your long-term performance, especially when youre trying to execute changes in strategy.
When it comes to creating a strategy for your business, it is rarely wise to move forward with just one carefully thought-out course of action. Instead, it is wiser to encourage vigorous debate and develop several alternatives as part of the strategic discussion. The best
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III. VENDORS In the old world, companies didnt care what their vendors thought of them. But in the new world, everyone is connected and part of a greater whole. In developing flexibility with your strategy, all of your relationships are potential assets that you can draw upon to execute or change your strategy when its necessary. So understanding how your vendors perceive you is important. Do they view you as one of their prime customers, or as one of the troublesome ones? IV. REGULATORS Depending on your industry, you have different guidelines to follow. Sometimes those guidelines play a significant role in strategy. Therefore, know how your industrys regulators view you. V. OWNERS OR SHAREHOLDERS Whether your company has one or several major investors, you need to fully understand how each perceives the organization. Since the people or person who hold(s) the purse strings play a major role in the company, they have dynamic relevance in terms of strategy. VI. COMMUNITY This could include the chambers of commerce, the media, the other significant businesses in the area or even the government. How these outside groups view your company can significantly impact your strategy. A. Performance Performance relates to the following four questions: 1. How are we doing implementing and executing on our strategy, including the goals and the timelines? Are we ahead? Are we behind? Are we performing according to plan or are we in some way out of sync with the plan? 2. What are the current economics of our business? Has anything changed from what we assumed when we created our strategic plan? 3. What are the operational results that were producing? If you break these down to business units or individual strategies or functions, figure out the actual operational results youre getting. You may be doing a great job executing on your strategy, but it may not be producing the results you anticipated. 4. How are we performing relative to the performance agreements that we established in the organization? The performance agreements are the specifics of the operational plan that were created in the strategy. How are you
lining up with the milestones for specific initiatives? Or, whats happening with the consequences? Are you getting greater or lesser results than expected? B. Purpose When you review your purpose as an organization, you need to ask the question, What has changed? or What is or will be changing in the environment? Your answer should impact the way you look at your vision or your long-term goals for the organization. The goal is to look for new opportunities or to identify what threats may be emerging because of changes in the environment. Continually ask, What has changed internally since we met last? Do we have some new strength that we didnt have before? Did we obtain some new equipment, technology or intellectual property? Did we get some great talent that we didnt have before that should be impacting our strategy? Has there been a new limitation thats emerged since we last looked at this scorecard? Based on your answers, you should review whether you still have the right strategy, goals or timelines. You also have to determine what you can redefine and adjust in your plan to improve in any of the areas youve analyzed. Finally, you need to ask yourself, Where should we focus our improvement efforts to create new value in the future? C. Process All work is a process. Its a series of tasks combined to achieve a particular goal. Such is the case with strategy, as well. There are steps you go through, there are people involved, and there are processes you have to look at to determine where you can improve your implementation and in what order of priority. Are you creating waste? Is there rework? Are there inefficiencies in your various processes? Are the processes really creating the results youre looking for? How are you doing tactically? How are you improving your processes? How should you adjust your resources? Finally, you should be asking how you can create the sense of urgency and the accountability to ensure superior execution of your plan. You may have a great plan, but if you dont have the right sense of urgency or the right level of accountability in the execution of it, a great plan poorly executed still produces poor results. VII. KEEP SCORE FOR BETTER RESULTS Good strategic thinking and monitoring takes the four Ps into consideration. Its about constantly looking at your environment and adjusting your plan as necessary. Developing this kind of monitoring system,
The Four Ps of Strategy Creation
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along with a more robust development of alternatives in strategy, moves you away from rigid organizational charts and toward more team-based environments. As a result, youre better able to adapt your strategy to the environment while its changing. When you implement the four Ps into your organization, you keep your strategy fresh and dont become stagnant or obsolete in
the implementation marketplace.
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REFERENCES
[1] [2] [3] Ron Price, Finding Hidden Treasures Hodder & Stoughton, Strategic Marketing Excellence John Macdonald & Bob Norton, Marketing Strategy
Strategic Plans for Creating Competitive Advantage

Namita Bhandari
Assistant Professor Chitkara School of Management Studies, Chitkara University, Punjab Campus, ChandigarhPatiala National Highway, Distt. Patiala, Pin140401 e-mail: namita.bhandari@chitkara.edu.in
AbstractIn todays hypercompetitive market scenario, it is very critical that a business should have a strategy to offer a product or service in a way that will outsell competition. Global scenario is filled with so many different companies that a business needs something that will put it in front of other companies; it should have a unique value to offer to its customer that competition does not have. This unique value is called competitive advantage. This paper aims to explain that what is competitive advantage, how it can become a sustainable profit generator, how strategic planning which gives direction and scope of an organisation over the long-term: which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfill stakeholder expectations can help in establishing the competitive advantage for a business. In this study the concepts addressed include 'generic' strategies like cost, quality and focus and other strategies for pricing, distribution, promotion, advertising and market segmentation which help a business in building its unique value over others. A firm possesses a sustainable competitive advantage when it has value-creating processes and positions that cannot be duplicated or imitated by other firms and so what are the various sources to achieve this whether it is cost, service, quality, brand or innovation. Any business with a competitive advantage is able to attract more customers than its competitors by having some special factor that no one else possesses. The key to capturing competitive advantage is to know what your customers want and finding a way to give it to them. Very few sources of competitive advantage last very long however, so businesses are engaged in a never ending search to find new angles to beat their competitors. Its all about finding some way of differentiating products and services from other offerings. The whole purpose of business strategy is to find new sources of competitive advantage. In this paper such strategies of creating differentiation are studied. Also in todays dynamic environment innovation is the key to achieve competitive advantage and a string of innovations is not only better but the only way to gain sustainable competitive advantage. Keywords: Strategy, Competitive Advantage, Generic Strategies, Innovation
permeates the entire enterprise and focuses it on the marketplace and the customer. This quote from Sam Walton (founder of Wal-Mart) succinctly states the thought- There is only one boss-the customer-and he or she can fire everybody in the company by spending his or her money somewhere else. The Marketing Concept, cornerstone of business for half a decade, is the philosophy that espouses- a business should be focused on satisfying the customers needs and wants better than their competitors by providing superior value. This is done by having a competitive strategy. Competitive Strategy consists of move of companies in order to attract customers. Withstand competitive pressures and strengthen an organization's market position. The main objective of Competitive Strategy is to generate a competitive advantage, increase the loyalty of customers and to beat competitors II. OBJECTIVE 1. The purpose of this paper is to evaluate which strategic resources or industry structural conditions help firms build up a competitive advantage and sustain it over time. To examine the kind of competitive strategies adopted by various Indian firms. III. RESEARCH METHODOLOGY An Empirical Investigation method has been used to find the various Indian firms choice of competitive strategy across various industries. A. Sampling Technique Convenience sampling B. Data Secondary data has been used. We conduct our analyses using publicly available data from the sample firms about their competitive advantage. The strategic management literature describes a firms business model as reflecting how that firm chooses to compete in the marketplace.
2.
I. INTRODUCTION The competition for the consumers pocketbook is intensifying, and the consumer is becoming more discriminating in his/her purchasing activity. As such there is need of a dynamic business philosophy-one that
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C. What Is Strategy? Strategy is the direction and scope of an organisation over the long-term: which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfill stakeholder expectations. In other words, strategy is about:
Where is the business trying to get to in the long-term (direction) Which markets should a business compete in and what kind of activities is involved in such markets? (markets; scope) How can the business perform better than the competition in those markets? (advantage)? What resources (skills, assets, finance, relationships, technical competence, and facilities) are required in order to be able to compete? (resources)? What external, environmental factors affect the businesses' ability to compete? (environment)? What are the values and expectations of those who have power in and around the business? (stakeholders)
The differentiation and cost leadership strategies seek competitive advantage in a broad range of market or industry segments. By contrast, the differentiation focus and cost focus strategies are adopted in a narrow market or industry. A. Strategy - Differentiation This strategy involves selecting one or more criteria used by buyers in a market - and then positioning the business uniquely to meet those criteria. This strategy is usually associated with charging a premium price for the product - often to reflect the higher production costs and extra value-added features provided for the consumer. Examples of Differentiation Strategy: Mercedes cars; Bang & Olufsen B. Strategy-Cost Leadership With this strategy, the objective is to become the lowest-cost producer in the industry. This strategy is usually associated with large-scale businesses offering "standard" products with relatively little differentiation that are perfectly acceptable to the majority of customers. Occasionally, a low-cost leader will also discount its product to maximise sales, particularly if it has a significant cost advantage over the competition and, in doing so, it can further increase its market share. Examples of Cost Leadership: Nissan; Tesco; Dell Computers C. Strategy-Differentiation Focus In the differentiation focus strategy, a business aims to differentiate within just one or a small number of target market segments. The special customer needs of the segment mean that there are opportunities to provide products that are clearly different from competitors who may be targeting a broader group of customers. The important issue for any business adopting this strategy is to ensure that customers really do have different needs and wants - in other words that there is a valid basis for differentiation - and that existing competitor products are not meeting those needs and wants. Examples of Differentiation Focus: any successful niche retailers; (e.g. The Perfume Shop); or specialist holiday operator (e.g. Carrier) D. Strategy-Cost Focus Here a business seeks a lower-cost advantage in just on or a small number of market segments. The product will be basic - perhaps a similar product to the higher-priced and featured market leader, but acceptable to sufficient consumers. Such products are often called "me-too's". Examples of Cost Focus: Many smaller retailers featuring own-label or discounted label products.
Having selected the direction most beneficial for the overall interests of the enterprise, the next step is to choose a strategy for the offering that will be most effective in the market. It also means deciding about the competitive advantage. D. What Is Competitive Advantage? Definition: Condition which enables a company to operate in a more efficient or otherwise higher-quality manner than the companies it competes with, and which results in benefits accruing to that company. A competitive advantage is an advantage over competitors gained by offering consumers greater value, either by means of lower prices or by providing greater benefits and service that justifies higher prices. IV. COMPETITIVE STRATEGIES Following on from his work analyzing the competitive forces in an industry, Michael Porter suggested four "generic" business strategies that could be adopted in order to gain competitive advantage. The four strategies relate to the extent to which the scope of businesses' activities are narrow versus broad and the extent to which a business seeks to differentiate its products. The four strategies are summarized in the figure below:
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Competitive advantages are a very important

factor in todays economy. Global market is so filled with so many different companies that you need something that will put you in front of other companies. We have to make sure we have something to offer to our customers that our competition does not. There are many sorts of competitive advantages. 1) Popular sources of competitive advantage CostThis is a major source of competitive advantage. Despite our nationalistic desire to buy products made in our own country, most consumers vote with their wallets. Cost advantage is the reason why Wal-Mart is so successful and why so much is made in China where costs are much lower than in high wage countries. Naturally, there is a downward limit on this form of competitive advantage. For example, Japanese cars were once mainly popular because they were cheaper than North American cars. Now Korean cars are cheaper. Perhaps we will soon be buying cars made in China or India. But even their cost advantage will soon disappear as the playing field for wages levels out globally. Competitors can only reduce costs so far before becoming unprofitable. The experience curve states that the cost of making any product declines with experience at a predictable rate. This means that, other things being equal, competitors will continually reduce prices over time as they find cheaper, more efficient ways of making their product. The implication for managers is that the longer they hope to offer a particular product the more they need to find cheaper ways of producing it. QualityEveryone wants a product that works and lasts a reasonable length of time. Any company with a better quality product that is not too much more expensive than its rivals will win out. We might be willing to pay a bit more for a Toyota than some other cars even if they are a little more expensive because of Toyotas reputation for quality. ServiceCustomer service is a popular form of competitive advantage in markets where all the players offer similar services or products and they cannot be differentiated in any other way. Car rental companies for example, all charge a similar amount and offer a similar product. There is little they can do to differentiate themselves other than by offering outstanding customer service. The same is true of many retailers. Other than Southwest Airlines that has other sources of competitive advantage, there is not much to differentiate the major airlines other than perceived service levels. BrandMany people are willing to pay a little extra for a name brand, especially in the fashion industry, but it applies to cars, soft drinks and many other products. Building a brand is expensive and time consuming but often the only way some businesses can differentiate themselves. But brands are not invincible. They have
not saved General Motors from their competitors or IBM, which recently got out of the PC business despite having a highly recognized brand. InnovationThe most current example of a company that uses innovation as a means of differentiation is Apple Computer with its iPod and iPhone products. As with all forms of differentiation, innovation needs to be ongoing for any one company to keep beating its competitors over several years, but it can yield great dividends for any business that is good at it. ConvenienceMany consumers are willing to pay a little extra for convenience. This can mean having a good location, as in the case of retail outlets in a mall, or shopping via the internet. The latter is obviously easy to copy but a great location for a retail outlet is not so easy to replicate. Convenience also includes one-stopshopping and products that are simply easier to use than other offerings. There are other forms of competitive advantage. This list covers the most popular forms but is not exhaustive. Attractive packaging can also be a factor in some industries, for example. Speed can also be a source of competitive advantage. Opportunists who are quicker than others to spot a new market and enter it fast gain a momentary advantage. 2) Innovation - the best form of competitive advantage Some people downplay innovation, arguing that it is not sustainable so why bother. This is nave because it fails to face the reality that no advantage lasts very long anyway. Apples recent succession of innovations iTunes, iPod, iPhone and now iPads proves that innovation can pay great dividends and that a string of innovations is not only better but the only way to gain sustainable competitive advantage. So Competitive Advantage answers the following questions: What are your strengths? What are you best at relative to your competitors? What are my companys competitive advantages? Are these competitive advantages necessary to be successful in your industry? If you dont have competitive advantages relevant to your marketplace, what can you do to develop these? And Having a Sustainable Competitive Advantage Means: How difficult will it be for competitors to match, offset, or leapfrog the expected advantages? Is it difficult to imitate? How quickly does this resource depreciate? Do or will my customers see a consistent, superior difference between my product/service and those of my competitors?
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Does it build a company reputation and recognizable industry position? Can a unique resource be trumped by a different resource? Can the activities involved in creating the competitive advantage be constantly improved? Competitive Advantages of Various Indian Companies
Industry 1. FMCG Co. Name HUL ITC TCS Infosys Airtel Tata Tele Cipla Ranbaxy Tata Motors Maruti Competitive Advantage Product Originality Value Creation For Customer Innovation Price Competitiveness Customer Service & High Product Quality Price Competitiveness Quality Affordable Generic Medicines Affordability & Durability Strong Vendor & Distribution Network
V. CONCLUSION The companies selected above for studying competitive advantages are leaders in their respective field although they had adopted different competitive strategies and hence it shows that to gain customers no one strategy is the best , but it is about being best in whatever core competency a company develops, whether it is price competitiveness or quality focus or being innovative. Hence it is all about focusing on your business strengths and positioning your product accordingly. REFERENCES
[1] Michael.E.Porter, (2003) Competitive Advantage: Creating And Sustaining Superior Performance, Free Press, 125153; 245315 Philip Kotler, (2001), Kotler On Marketing: How To Create, Win And Dominate Markets, Free Press U.K. 132153; 213267; 456489 Geraldine.A.Larkine, (2002), 12 Simple Steps to A Winning Marketing Plan, Probus Publishing Philip Kotler, (2007) Marketing Management, Eleventh Edition, Prentice HallIndia, 6798; 187198; 384412 http://www.ceostrategist.com/resources-store.html http://sourcing.indiamart.com/article/pharmaceutical_machinery /competitiveadvantage.html http://tutor2u.net/business/strategy/competitive_advantage.html http://wikipedia.org/wiki/Competitive_advantage
2. IT 3. TELECOM
[2]
4. PHARMA
[3] [4] [5] [6] [7] [8]
5. AUTOMOBILE
Need of E-Marketing Strategies

Guljinder Kaur Randhawa
Lecturer, Chitkara University Rajpura I. MEANING OF E-MARKETING E-marketing is still quite a controversial subject to talk about, since no one succeeded to unify the various theories around it; however there is one thing upon which there is no doubt - that e-Marketing first appeared under the form of various techniques deployed by pioneer companies selling their products via the internet in the early 90's. The frenzy around these new marketing techniques created by e-tailers and supported by the internet rapidly gave birth to a new dimension of what we knew as Marketing: the e-Marketing. A. Definition of e Marketing Achieving marketing objectives through applying digital technologies. II. TYPES OF DIGITAL MEDIA COMMUNICATION CHANNELS Basically we there are six type of media communications channels which include 1) Search Marketing 2) Online Portal representation. 3) Online partnership 4) Interactive jobs 5) Opt in emails 6) Viral marketing 1) Segmentation/Targeting strategy-A companys online customers have different demographic characteristics, needs and behaviours to its offline customers. It follows that different approaches to segmentation may be required and specific segments may need to be selectively targeted. 2) Positioning/ Differentiation strategyCompetitors' online product and service offerings will often differ in the online environment. Developing an appropriate online value proposition as described below is an important aspect of this strategy. The main thrust of e-marketing strategy is taking decisions on the selective targeting of customer groups and different forms of value delivery for online channels. A. E-marketing Strategy Defines how we Should 1. 2. 3. 4. Communicate the benefits of using e-channels Prioritise audiences or partners targeted for e-channel adoption Prioritise products sold or purchased through e-channel Achieve our e-channel targets through tactics for online customer acquisition, conversion (engagement) and retention. IV. STRATEGIES OF E-MARKETING There are seven function of e marketing stay at the base of any e marketing strategy and they have a moderating character which is based on the formula of 2P + 2C + 3S which represents: A. Personalization The fundamental concept of personalization as a part of the e-Marketing mix lies in the need of recognizing, identifying a certain customer in order to establish relations (establishing relations is a fundamental objective of Marketing). It is crucial to be able to identify our customers on individual level and gather all possible information about them, with the purpose of knowing our market and be able to develop customized, personalized products and services. B. Privacy Privacy is an element of the mix very much connected to the previous one - personalization. When we gather and store information about our customers and potential customers (therefore, when we perform
III. KEY INTERNET MARKETING STRATEGY DECISIONS The key strategic decisions for e-marketing are in common with strategic decisions for traditional marketing. They involve selecting target customer groups and specifying how to deliver value to these groups. Segmentation, Targeting, Differentiation and Positioning are all key to effective digital marketing which represents
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the personalization part of the e-Marketing mix) a crucial issue arises: that of the way this information will be used, and by whom. A major task to do when implementing an e-Marketing strategy is that of creating and developing a policy upon access procedures to the collected information. C. Customer Service Customer service is one of the necessary and required activities among the support functions needed in transactional situations. We will connect the apparition of the customer service processes to the inclusion of the "time" parameter in transactions. When switching from a situational perspective to a relational one, and e-Marketing is mostly based on a relational perspective, the marketer saw himself somehow forced into considering support and assistance on a nontemporal level, permanently, over time. D. Community The merely existence of such a network implies that individuals as well as groups will eventually interact. A group of entities that interact for a common purpose is what we call a "community" and we will soon see why it is of absolute importance to participate, to be part of a community. The customers / clients of a business can be seen as part of a community where they interact (either independent or influenced by the marketer) - therefore developing a community is a task to be performed by any business, even though it is not always seen as essential. E. Site E-Marketing interactions take place on a digital media - the internet. But such interactions and relations also need a proper location, to be available at any moment and from any place - a digital location for digital interactions. F. Security The "security" function emerged as an essential function of e-Marketing once transactions began to be performed through internet channels. What we need to keep in mind as marketers are the following two issues on security: a. Security during transactions performed on our website, where we have to take all possible precautions that third parties will not be able to access any part of a developing transaction; b. Security of data collected and stored, about our customers and visitors. G. Sales Promotion Sales promotions are widely used in traditional marketing as well, we all know this, and it is an excellent efficient strategy to achieve immediate sales
goals in terms of volume. This function counts on the marketer's ability to think creatively: a lot of work and inspiration is required in order to find new possibilities and new approaches for developing an efficient promotion plan. V. OTHER ISSUES WITH E MARKETING STRATEGIES 1) E-marketing strategy is a channel strategy 2) Specific E-marketing objectives need to be set to benchmark adoption of e-channels compared to other channels (for different audiences). 3) E-channel strategies thrives on creating differential value for all parties to a transaction 4) BUT e-channels do not exist in isolation, so we still need to manage channel integration and acknowledge that the adoption of e-channels will not be appropriate for all products or services or generate sufficient value for all partners. VI. COMPONENTS OF A GOOD E MARKETING STRATEGY A. Search Engine Optimization A study conducted shows that around 90% of Americans use the Internet daily, with over 2/3rd of purchases being researched on the Internet. Search Engine Optimization (SEO) is a procedure that relates to attracting Internet traffic to your website as much as possible. SEO is crucial for online marketing success of your business. It includes optimizing your website in such a way that your site would be ranked on the initial pages of the search, so that the web users can visit your website for the contents they are in search of. This is done using keyword phrases that the users generally put in the Internet search engines for searching a particular product or service. B. Email Marketing Strategy Another important component of an effective emarketing strategy is email marketing which is all about sending information of the product and services to the potential customers using email. This is a proven effective method of using online marketing as an efficient tool for business generation. It is also a very good business marketing technique for building good business relations with potential customers, as well as prospective clients. C. Online Advertising Online advertising is a marketing method, that has a very substantial Return On Investment (ROI) value. It consists of placing advertisements of products and services on the company website, sites which are ranking on the first pages of the search engine, and sites
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which are getting a considerable amount of traffic from Internet users. Internet affiliate marketing is a very good example of online advertising, which relates to paying your company's product advertiser as per the sales generation. D. Online Newsletters You can even think of online newsletters as a decent way to pass on product information for promoting your product and services. Businesses generally issue online newsletters to regular customers for letting them know what new introductory offers are available and which new products are likely to be launched. Unlike email marketing, these online newsletters are issued at regular time intervals. E. Media News Rooms A media news room is a facility on the web that includes most of the company blogs and information which can be accessed by social media. If the company information reaches the social media, it takes no time for the information and news to be transferred to the general public. The information in media news rooms is usually available to journalists and bloggers, who are visitors searching for specific news and facts of the products and not just general information. This is also one of the most effective Internet marketing strategies. VII. EFFECTIVE INTERNET MARKETING STRATEGIES The processes and means developed by marketers to achieve greater business and attain customer return are referred to as marketing strategies. The implementation of a marketing strategy is preceded by thorough market research and analysis of customer base. During the first phase of online marketing, business companies research the market to identify their target customers and develop an e marketing plan. The marketing plan consists of an overview of the company goals and potential business opportunities. It also includes a statistical data about users, competitors and market trends. The development of an e marketing plan is followed by its effective implementation. The choice of marketing strategies depends on the size of business and the types of customer base. Most importantly, it depends on the kind of business product or service to be marketed on the web. Take a look at some of the effective Internet marketing strategies. A. Build a Suitable Domain Name The domain name of your website plays a major role in web marketing. In case your website deals with the most-visited tourist destinations, then it is advisable to give it a name like touristspots.com. Website names should be relevant to the subject your website deals with.
B. Use Keywords Now that you have a website of your own, you need to make sure it is visited by a large number of users. In order to increase the number of users visiting your website and also to get it bookmarked as a favourite, you need to host content that is most relevant to your business. For a website to receive higher search engine ranking, it is important to use the most searched words and phrases in your web content. Keyword research and SEO strategies help a website in ranking higher than its competitors. C. Implement Search Engine Optimization Techniques Search engine optimization aims at improving the quantity and quality of traffic to a website. Editing of web content and HTML coding with intent of increasing website traffic constitutes search engine optimization. Besides using key phrases, including links to related web documents helps in increasing the popularity of your website. Obtaining links from popular websites is also a part of search engine optimization. D. Internet Advertising Displaying banner advertisements on your website is sure to help you market your business product effectively. You might like to opt for the pay-per-click advertising model, wherein advertisers pay if a user clicks on an Internet advertisement. Advertisers bid on keywords that are most likely to be searched by a large number of users. When content with the bidden keyword is displayed, the advertisements related to it are also displayed. E. Connect to the Masses For any of your marketing strategies to work, it is very important for you to reach out to your customers over the web. The Internet offers you an excellent communication platform. Email marketing is one of the most effective Internet marketing strategies, whereby companies send emails to their customers with intent to enhance customer relationship and keep the customers informed about the companys products and services. It is good to build a responsive opt-in email list. Viral marketing is another effective web marketing technique that uses existing social networks to achieve business promotion. Blogging and participating in online forums can help you communicate with a wide customer base. Article marketing, wherein articles on frequently searched topics are published on websites, serves as an effective Internet marketing tool. Strategic Internet marketing is the key to success. It gives the businesses an effective way of targeting their customers, improving their sales and achieving an overall business growth.
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VIII. TYPES OF E MARKETING STRATEGIES THAT WORK 1) 2) 3) 4) 5) Banner advertising. E Mail marketing. Viral and Affiliate marketing. Online press releases. News group and mail list postings. IX. E MARKETING TIPS AND TRACKS 1) 2) 3) 4) 5) 6) 7) 8) 9) Catchy subjects for email marketing Include current dates Write good headlines Be efficient with your words Make it short and interesting Appeal to the reader Include quality content Use images Provision of clear cut instructions X. ADVANTAGE OF E MARKETING A. Time Hours Store is open, 24 hrs a day, 7 days a week and your customers are worldwide in reach, and can shop anytime that they want to B. Cheaper The cost of spreading your message is next to nothing. Emailing your subscription base is more cheaper than sending a letter through the mail. C. Accessibility Updating your subscribers can be done almost instantly through email. Visitors to your website can get up to the minute information on each visit. If you are having a sale, your customers can start shopping at the discounted prices literally as soon as they open their e-mail D. Contact with Customer If you have an information sensitive business, such as a law firm, newspaper or online magazine, you can deliver your products directly to your customers without having to use a courier.
XI. DISADVANTAGES OF E-MARKETING A. Expensive Online marketing is not free. The cost of software, hardware, wed site design, maintenance of your site, online distribution costs and of course, time, all must be factored into the cost of providing your service or product. B. Less Interactive Many people prefer the live interaction when they buy. If you have a small business with one location, this may deter customers from buying. C. Updations to be done on Time easier to have outdated information on your site, thus timing of updates is critical D. Security There are many incorrect stereotypes about the security of the internet out there. As a result, many of your visitors will not want to use their credit card to make a purchase. The fear of having their credit card info stolen is a clear and present danger in the minds of your visitors XII. COMPETITION There is a lot of competition for your product already out there. By the time your visitor finds you, they have already been clicking many links. Unless they can find what they are looking for quickly, they are gone. REFERENCES
[1] [2] Article Source: http://EzineArticles.com/65052 http://www.buzzle.com/articles/effectiveinternet-marketing strategies.html [3] http://www.email-marketing-reports.com/intro.htm [4] http://www.email-marketing-reports.com/intro.htm [5] http://www.davechaffey.com/InternetMarketing/ C4Strategy/Online-marketing-strategy-options [6] http://ezinearticles.com/?e-Marketing-Strategy:7Dimensions toConsider(theeMarketingMix)&id=21976 [7] http://www.quirk.biz/resources/88/0/What-is-eMarketing-andhowisitbetterthantraditionalmarketing [8] http://www.buzzle.com/articles/e-marketing-strategy.html [9] http://www.buzzle.com/articles/effective-internetmarketingstrategies.html [10] http://www.emarketing-strategies.com/emarketing strategies.html
Go Green Green Consumer Behavior

Rosha Raju
MBA (Marketing), M.Sc (Math), Doraha Institute of Management and Technology, Doraha
AbstractGreen marketing subsumes greening products as well as greening firms. In addition to manipulating the 4Ps (product, price, place and promotion) of the traditional marketing mix, it requires careful understanding of public policy processes. This paper is essentially exploratory in nature and has two objectives. The first objective is to compare gender with attitudes towards the environment and green products. The second objective is to investigate the relationship between attitude towards the environment and green products. Result from the independent sample t-test shows that there were no significant differences between gender in their environmental attitudes and attitudes on green products. The rotated factor matrix validated the underlying dimensions of environmental attitudes into three major dimensions (environmental protection, governments role, and personal norm). Results from the multiple linear regression analysis revealed that consumer attitudes on the governments role and their personal norm towards the environment contributed significantly to their attitude on green product. Further investigation revealed that personal norm was the most important contributor to the attitude towards green product. However, environmental protection did not contribute significantly to consumers attitudes on green product.
environmental issues, and how they behave, especially in their attitudes towards green products or environmental friendly products. II. REVIEW OF LITERATURE
TABLE 1: STUDIES ON GREEN CONSUMERS
S.No. 1 2 3 4 5
Author Starch (2005) Curlo (1999) Phillips ( 1997) Suchard ( 1994) Prothero (1990)
Percentage of Green Consumer There were estimated 15 % green consumers worldwide In UK, 10 % were hardcore green consumers In America, 50% ready to switch brands based on environment friendliness In Australia, 61.5 % ready to pay more for green products In Britain, 25 % ready to pay more for green products
Source: Mostafa, M.M. (2007). Gender Differences in Egyptian Consumers Green Purchase Behavior:
A. Green Marketing Green marketing is considered one of the major trends in modern business (Kassaye, 2001; McDaniel and Rylander, 1993; Pujari and Wright, 1996). Soonthonsmai (2007) defined green marketing as the activities taken by firms that are concern about the environment or green problems by delivering the environmentally sound goods or services to create consumers and societys satisfaction. B. Green Consumers and Green Products In general, green product is known as an ecological product or environmental friendly product. Shamdasami et al., (1993) defined green product as the product that will not pollute the earth or deplore natural resources, and can be recycled or conserved. In other words, green product refers to product that incorporates the strategies in recycling or with recycled content, reduced packaging or using less toxic materials to reduce the impact on the natural environment. C. Environmental Attitudes According to Schultz and Zelezny (2000), attitudes of environmental concern are rooted in a persons concept of self and the degree to which an individual perceives him or herself to be an integral part of the natural environment. In conclusion, attitude represents what consumers like and dislike (Blackwell et al., 2006) and consumers product purchasing decisions are often based on their environmental attitudes (Irland, 1993; Schwepker and Cornwell, 1991).
I. INTRODUCTION As the environment continues to worsen, it has become a persistent public concern in developed countries. Furthermore it has also awakens developing countries to the green movement for preservation of the environment. Creating customer satisfaction and building long-term profitable customer relationship are some of the primary objectives firms try to achieve to sustain their businesses in the competitive business world. With an increased in the social and political pressures, many firms embraced green marketing strategies and exploited these environmental issues as a source of competitive advantage. Profit driven firms are usually motivated to adopt the concept of green marketing in their businesses provided that consumers demonstrate a high degree of environmental attitude and hence translate this into environmental friendly purchasing commitment. Hence many companies started to be more socially responsive in addressing pollution and waste disposal by developing environmentally friendly packaging and putting in numerous efforts to keep in-step with the environmental movement. However, some of the greatest challenges faced by these firms are changes in consumer preferences, suspicion of green advertising claim, unfavorable consumer perception of green products and the high cost invested in developing green products. As a result, it is vital to explore how consumers view the
Go Green Green Consumer Behavior
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D. Demographic Characteristics Straughan and Roberts (1999) segmented college students based upon ecologically conscious consumer behavior and stated that the younger individuals were likely to be more sensitive to environmental issues. The results of their study indicated that the demographic variables such as age and sex were significantly correlated with ecologically conscious consumer behavior when considered individually; and that income lacks significance. Green purchase intention correlates positively with every age and income except for education (Soonthonsmai, 2001). Women were more likely to buy green product because they believe the product was better for the environment (Mainieri et al., 1997). III. RESEARCH METHODOLOGY A. Research Objectives This research paper is essentially exploratory in nature and has two objectives. To compare the demographic of gender with attitudes towards the environment and green products. To investigate the relationship between attitude towards the environment and green products. B. Hypotheses Based on the previously cited theoretical and empirical literatures, the following hypotheses referring to the attitudes towards the environment and green products were proposed. Hypothesis 1: There is a significant difference between male and female in their environmental attitudes. Hypothesis 2: There is a significant difference between male and female in their attitude on green products. Hypothesis 3: There is a significant relationship between consumers attitude on the environmental protection and their attitude on green products. Hypothesis 4: There is a significant relationship between consumers attitude towards governments role and their attitude on green products. C. Research Instruments In order to obtain reliable information from the respondents, established and validated scales were selected for data collection. In this study, the survey instrument of attitudes toward the environment as the independent variable was adopted from the scales developed by Tantawi et al. (2007). Only twenty items were used out of the original 38 items. Some items were dropped, as it was not suitable in the Indian context.
The dependent construct, attitude towards green product was derived from Mostafa (2006) and consists of two items. The respondents were asked to rate each item on a 5-point Likert scale from 1 = strongly disagree to 5 = strongly agree. Table 2 indicated the reliability levels obtained in this study for attitudes toward the environment and on the green products. Schuessler (1971) stated that a scale is considered reliable if it has an alpha value greater than 0.60. Hair et al. (1998) added that reliability estimates between 0.60 and 0.70 represent the lower limit of acceptability in quantitative research studies. Due to the exploratory nature of this research, alpha value greater than 0.60 for reliability estimates is considered adequate. D. Data Collection and Characteristics of Respondents The questionnaires for this study were administered to 200 undergraduate and post graduate students from a Punjab Technical University Punjab. Students are representing the new generation of consumers and have been a growing population of consumers in Punjab. The students completed the survey during class time and were assured anonymity. Participation was voluntary and no remuneration was offered. The respondents were undergraduate business students and consisted of both sexes and of different races. A total of 184 completed the questionnaires (yielding a response rate of 92%) were obtained and deemed sufficiently complete to be useable. The majority of the respondents were female (67.4%). IV. DATA ANALYSIS AND INTERPRETATION A. Hypothesis 1 and 2: Independent Sample t-test The first part of the analysis used the independent sample t-test for measurement of differences in consumers attitude on environment and green products between genders.
TABLE 2: RELIABILITY OF INDEPENDENT AND DEPENDENT VARIABLES Construct Environment attitudes Attitude towards green products No. of Items 20 2 Cronbach 0.801 0.782
TABLE 3: T-TEST RESULTS OF ATTITUDE ON ENVIRONMENT AND GREEN PRODUCTS BY GENDER Variables Attitude on environment Attitude on green products Male * 3.88 3.56 Female * 3.92 3.61 * = mean Significance 0.465 0.547 & N = 184 Finding Not Significant Not Significant
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National Conference on Strategic Management of Business Development: Issues and Prospects TABLE 4: FACTOR ANALYSIS AND SCALE RELIABILITY
Independent variables Factor 1: Environment protection.
Factor 2:
Governments role.
Items Every one is responsible for protecting the environment in their everyday life The increase in deterioration of the environment is a serious problem Preserving and protecting the environment should be one of our priorities. The government should subsidize research on technology for recycling waste products. Government should enforce environment rules and regulations It makes me angry that the government does not do more to control pollution of the environment.
Factor loading 0.689 0.622 0.607 0.711 0.621 0.532
No. of Items 5 5 5 3 3 3
Reliability Cronbach = 0.845 Cronbach = 0.845 Cronbach = 0.845 Cronbach = 0.727 Cronbach = 0.727 Cronbach = 0.727
Table 3 provides the results of the t-test for gender (male/female) and their attitudes on the environment and green products. Based on the SPSS results, H1 and H2 were not supported (p >0.05). The results show that there were no significant differences between male and female students in their environmental attitudes and their attitudes on green products. B. Hypothesis 3 and 4: Factor Analysis and Multiple Linear Regressions At the initial stage, factor analysis was conducted to identify factors that statistically explain the variation and co-variation among measures. Factor analysis can be viewed as data-reduction technique since it reduces a large number of overlapping measured variables to a much smaller set of factors (Green and Salkind, 2008). In interpreting the factor, only loading of 0.5 or greater on the factor was considered (Igbaria et al., 1995). Results from the factor analysis indicated that three significant factors with eigenvalues greater than 1 contributed 36.104% from the total of 20 components of the independent\ variables. The rotated factor matrix validated the underlying dimensions of environmental attitudes (independent variables) into three major dimensions (Table 4). The three significant factors were named environmental protection (5 items), governments role (3 items) and personal norm (2 items). The KMO measure of sampling adequacy for the items was 0.869 (that is, > 0.7), indicating sufficient inter-correlations of the Bartletts Test of Sphericity, which was found to be significant (Chi-square = 1263.085, p < 0.005). Thus, the sample size of 189 was adequate and satisfactory in this study. The cronbach alpha for each factor was shown in Table 4. Cronbach alpha for all the three factors were greater than 0.6 which means that the scale scores for each of the dimensions were reasonably reliable (Hair et al., 1998). As highlighted in Table 5, the overall result for the regression model was significant (Significance = 0.000). It indicated that all the factors (environmental protection, governments role and personal norm) were simultaneously significant to the dependent variable; proven that the consumers attitudes on the environment contributed significantly to the attitude on green
products. From the adjusted R square value (Adjusted R2 = 0.196), the three factors contributed 19.6% to the dimension of attitude towards green product.
TABLE 5: RESULT OF REGRESSION ANALYSIS Dependent Variable: Attitude on Green Product t-value Significance Constant 3.726 0.000 Factor 1: - 0.71 - 0.28 0.409 Factor 2: 0.171 2.163 0.32 R Square = 0.209, Adjusted R Square = 0.196 F value = 15.834, Significance = 0.000, = Standardized Coefficient
V. DISCUSSIONS AND CONCLUSION A. In Regards to Hypothesis 3 The result indicated no significant relationship between consumers attitude on the environmental protection and their attitude on green products. This means that consumers attitudes on the green products are not facilitated by the positive attitudes of consumers towards environmental protection. It contrasted from the study by Tanner and Kast (2003) where the green food purchases were strongly facilitated by positive attitudes of consumer towards environmental protection. B. As for Hypothesis 4 The result shows that there is a significant relationship between consumers attitude on governments role and their attitude on green products. Chyong et al., (2006) reported that many people have high ecological concern but have a feeling that the preservation of the environment is the prime responsibility of the government. From the result of hypothesis 4, it indicated the importance of governments role in preserving the environment. This in turn will influence consumers attitude on the governments role in environmental issues and their attitudes to the green products. Consumers who supported the increase in governmental spending for environmental causes were willing to sacrifice economic growth for environmental protection, and considered themselves as environmentalists (Gallup and Newport, 1990).
Go Green Green Consumer Behavior [2]
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VI. LIMITATIONS In this study, there are some limitations. The results of this research must be used with caution as the sample of the exploratory study is basically undergraduate and postgraduate students. Subsequent study should include a cross section of the Punjab population. REFERENCES
[1] Kothari, C.R., Research Methodology, Jaipur, Vikas Publishing House Pvt. Ltd, 1990 [3] [4] [5]
Bansal, P., & Howard, E. B., Business and the natural environment. Oxford, Butterworth-Heinemann, New Delhi, September, 1997, p.124. Gill Swarn, Green products cosmetics and toiletries: The marketing strategy of Thai herbal products, ICFJMR, New Delhi, 2009, p.12. Roul, C., Bitter to better harvest: Post-green revolution: agricultural and marketing strategy for India, New Delhi, Jan 2010, p.31 Khawchaimaha, S., Green products cosmetics and toiletries: The marketing strategy of Thai herbal products Punjab, Punjab Today, 2010, p.65
Strategies of 4ps in Rural Marketing

Rohini C. Joshi1 and Sweety M. Khandelwal2
Asst. Prof. at Radhai Mahavidyalaya, Aurangabad (M.S.) e-mail: 1rohinic.joshi1961@gmail.com, 2sweety.mk04@gmail.com
AbstractVillages are the heart of India approximately 75% of Indias population lives in village. In rural part we usually face low literacy rate, resistance to change, seasonal demand, lack of infrastructure facilities and proper warehousing, threat of spurious products communication problem related to distribution and channel management. As a strategy we have to adopt innovative marketing mix namely the 4 Ps Product ( Design and Packaging), Price, Place and promotion in such a way that it has to catch up the veins in rural markets. FMCG have come up with creams and soups to develop a product to suit the rural scenario companies come up with special rural scenario companies come up with special rural products brought positive results for them. Strategies to the rural marketing mix refers the set of actions tacties, tools of variables that a company uses to promote and sell its brand or product in rural markets. Examples of successful installation of rural marketing mix by ICICI customized their rural ATMs; Nokia develops affordable mobile phones for rural markets. Philips Vandan T.V. and Free Power Radio again ITC E-Choupal is very innovative. Company should adopt strategies that will attract rural markets because rural markets are becoming increasingly attractive rural population is getting urbanized, employment opportunities should be developed as rural markets are delicately powerful. The rural markets are vast yet to be explored and exploited and has a great potential form improvement of infrastructure and have a great scope of complete exploration. Strategy should be adopted in such a way that lowers the cost and increase the benefit of a task it is important to strike a balance between 4 Ps by introducing short term and long term strategies of each more profitable marketing mix. Keywords: Trategies, Rural Markets, 4Ps, 4As.
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years. Rural demand for industrial and urban related product is also growing related to this special Marketing Strategy namely Rural Marketing has emerged but often rural marketing is confused with agricultural marketing but it is not like that. The following points make rural markets attractive and significant, Population742 million. Estimates annual size of rural market. FMCG 65,000 corers. Durables5000 corers Agricultural-inputs 45,000 corers 2/4 wheelers Rs. 8000 corers. Rural markets have large population, higher purchasing power, market growth and important point is it is insulated from the global economic slow down. Strategies should be adopted in such a way that new methods involving significant change in product design or packaging product, placement, product promotion and pricing. FMCG have come up with creams and soups at Rs.5, hair oil and shampoo sachets at Rs. 1 and small Coke Rs. 5 to develop a product to suit the rural scenario. Parle-g tikki packs for Rs. 2, Customized TVs by LG and Philips, Shanti Amala oil by Marico all these brought a positive result for them. Challenges of rural markets. Low literacy rate. Resistance to change. Seasonal Demand. Lack of infrastructure facilities and proper warehousing facilities. Threat of spurious products. Communication problem. Problem related to distribution and channel management. Ironically though purchasing power in rural India is growing but related infrastructure like water and electricity has not kept pace with that. Buying behavior of rural consumer is depend on various factors and is different from urban consumers. Firstly, majority of rural consumers stay in joint family and most of the purchase decision are taken by the elders. Secondly, lack of knowledge of product, usage by semiliterate population hinders market penetration. Thirdly, the biggest challenge in rural markets other than resources and economic conditions is the traditional mind set to buy things which are according to their cultural set up.
I. INTRODUCTION Villages are heart of India. These markets are large and scattered, major income is from agriculture. Low standard of living, traditional outlook, less infrastructural facilities are the main features. The future has with those companies who see rural population as their customer. India is a country of diverse cultures, languages and rituals. In these circumstances it has become a challenge for Manufacturer to differentiate their products according to the Indian market. About 70% of Indian population residing in rural areas. The need of the hour for the Marketers is penetrating this market. Driven by a green revolution rural populations purchasing power has grown tremendously over the
Strategies of 4ps in Rural Marketing
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Fourthly, being closely knit community opinion leadership plays a very important role in purchase decision in rural areas. Considering the environment in which Indian rural markets operate and other related problems the need of the hour is to evolve more effective strategies for rural markets in India. II. PRODUCT STRATEGIES New product design in small packs and sachets etc. Sturdiness of a product is an important factor for rural consumer. The product meant for rural areas should be sturdy enough to stand rough hand handling and storage. Nokia 1100 has positioned itself in the similar manner. Brand nameThe rural consumers being value for money. Customers are more concern with utility of the product being mostly semi-literate, brand name/logo which can be easily remember is very essential for rural consumers. III. PRICING STRATEGIES Low cost cheap product but not compromising with utility and sturdiness. Avoid sophisticated packing adopting cheaper yet durable and aesthetic packaging can bring down the cost as it is presently being done in Biscuits. Innovation in packaging technology is very much necessary for rural markets. Refill packs/ reusable packs- such measures have a significant impact on rural market as it help in reducing price. An ideal example is packing of fertilizers. Now companies have started packaging fertilizers in LDPE or HDPE sacks which are not only temper proof but also reusable for lots of domestic cores. Application of value engineering - This is a technique which can be tried to evolve cheaper products by substituting the costly raw materials with the cheaper one without sacrificing the quality or functional efficiency of the product for e.g. in food industry Soya proteins instead of milk proteins, plastic bins, crates, containers instead of steel. This techniques yields itself for application in many engineering or product designed areas so that the price can be kept at an affordable level. IV. DISTRIBUTION STRATEGIES Most manufacturers and marketing companies have distribution arrangements for village with at least 2000 people while with it is essential to formulate specific strategies for distribution in rural areas. The characteristic of the product, its shelf life have to be kept in mind proper segmentation should be done. Distribution strategy that are specifically designed for rural areas should be through co-operative societies, public distribution system, multi purpose distribution centers, distribution up to feeder markets/mandies/ haats/ jatras/melas agricultural input dealers etc.
V. PROMOTION STRATEGIES Mass media is a powerful medium of communication it could be television, cinema, print media and radio. Other means of mass media available are hoardings/wall paintings, non-price competitions, special campaign etc. beside this other mass media like hand bills and booklets, posters, stickers, banners, of schemes etc. distribution up to flea markets/ melas/ mandies direct contact with retailers is also effective. The GO RURAL mantra is the need of the hour for most of the companies to survive for longer times in the competitive markets scenario. With going rural purchasing power and the three times larger population than urban companies will have to develop appropriate product for the market. The globalization or minor modifications will not work as rural consumers are very different. Rural market is an evolving concept and as a part of any economy has huge tap able potential. Marketers have long realized this opportunity. Improvement in infrastructure and reach promises a brighter future for those who intending to go rural. With income levels rising, rural consumers are keen on branded goods now a days. So the market size for such products and services seems to have change scenario. The rural population has shown a trend of wanting to move into a state on gradual urbanization in terms of exposure habits, life styles and lastly consumption patterns of goods and services. By 2012 it is expected that every village will be connected by an all weather roads, will have an internet connectivity and almost every home will have electricity and posses a mobile phone. This significant improvement in rural infrastructure coupled with agricultural reforms are already under way. We can expect rural markets to rich highest point. This will lead to end explosion in demand the way it happened in the urban markets in mid 90s as a result of easy consumer finance a boom in IT sector and steep increase in corporate salary. Companies are not anticipating booms and many will be taken by surprise when it happens. Some successful launches in rural areas are as follows. ICICI customized their rural ATMs which are battery operator so that power failure is not a issue. Philips devote a TV VARDAN for rural markets which work on the voltage 90 to 270 volts. Also FREE POWER RADIO which do not require power and battery also just winding and rewinding. Asian paints promoted its UTSAV brand of paint by painting the village Sarpanch house a few months trial to the launch to demonstrate that the paint does not peel off and is an ideal replacement of Chuna.
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Nokia develop affordable mobile phones for rural markets with unique features such as local language capabilities, present time/call limits. The health development assistant of HUL regularly meet school teachers to promote Lifebuoy soap in villages. Very successful strategy is adopted by ITCs E-CHAUPAL. The companies E-Chaupal initiative is a novel idea which by passes the brokers between the company and the farmers. It is helping Indian agriculture to enhance its competitiveness by empowering Indian formers through the power of internet it has become a subject matter of case study at Harvard School. AMUL is the sterling example of right mix of rural marketing for rural development COCA COLA is providing low cost ice boxes because of the lack of electricity and refrigerator in rural areas. It concentrates its entire advertising towards the rural customers. VI. CONCLUSION Companies are finding rural markets increasingly attractive. Rural population is gradually getting urbanized and has a great potential and improvising purchasing power. The 4 As Acceptability, Affordability, Availability, Awareness has to be effectively adopted in order to capture the untapped potential of the rural consumers. Various rural development program should initiated to upsurge the employment opportunities for the rural poor. Rural markets are delicately powerful. Certain adaption are required to cater the rural masses. Continuous customization is sure shot approach to provide the both short and long term returns in the rural
markets. The rural markets are vast and scattered offers lots of opportunities in comparison to the urban sector. Improvement of infrastructure and reach promises a bright future. Rural markets are not exploited completely and yet to be explored. As can be seen strategies about 4 Ps what ultimately determine how much profit of business is making so perfect marketing mix i.e. for 4 Ps of marketing should be absolutely thorough with its market research. Creating an successful marketing mix that will increase results often takes experimenting and market research. There are many methods that can be used both in person and the use of impersonal presentation. The key is not to always depend upon one Mix. The combining and co-ordination of these elements will be more effective then depending on one. Specially for promotional aspects rural consumer environment must be understood before the creation of an ad. Rural mind set accept the brand easily which are close to their culture. This point must be reflected in ad for rural markets. Sponsorship to the melas and haats must be considered in significant manner selection of brand ambassadors lyrics must not be ignored. They have special likings for folk culture so this can be taken in an effective utilization of brand promotion. If all these strategies are tried within no time you can conquer the rural markets. REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] Rural Marketing by C.S.G. Krishnama Charayulu, Lalitha Ramkrushnahn. Rural Marketing Text and cases by U.C. Mathur. Article by Navya Choudhari NIFT, Delhi on rural retailing. Article by Laura Lake www.articlebase.com www.business-standard.com www.ruralrelation.com India Business Directory
Research Paper on Effect of Celebrity Endorsement on Mobile Buying Behaviour

Sulekha Munshi1 and Anupama Munshi2
1
Asst. Prof. Marketing BCIPS, Dwarka, New Delhi 2 Asstt. Prof. Mgt. JIMS, New Delhi brands endorsed by her/him. The results suggest that consumer differentially rank both celebrities and brands. Specifically, Amitabh Bachchan ranks high on five personality attributes, and brands such as Pepsi and Coke rank high on four personality attributes. Goldsmith al.(2002): They assessed the impact of endorser corporate credibility on attitude toward-the-ad, toward the-brand and purchase intention. 152 adults consumers were surveyed who viewed a fictitious advertisement for Mobil Oil company. They rated the credibility of the ads endorser, the credibility of company and attitude towards the-ad, attitude towards brand and purchase intention. It was observed that endorser credibility had its strongest impact on advertisement while corporate credibility has its strongest impact on brand.....King (1991) argues that a good strategy to build strong brand equity is to create anoriginal metaphor for the brands personalityThey about the factors involved in building a brand such as: Presence, Relevance, Differentiate, Credibility, and Imagery. The credibility factor especially has been looked at by several researchers in celebrity endorsement The same has presence and also to some extent imagery and differentiate. Relevance in this context can be looked at as a result of success in the other areas, as it concerns being perceived as relevant for the consumer. .. Hovland et al. (1953): In encoding the message in the context of celebrity endorsement, perhaps the most important decision to be made, besides choosing whether or not to use celebrity endorsers at all, is the choice of celebrity. Much research has been made in this area and several models have been made to explain and assist in the celebrity endorsement selection process. individuals to represent their products, causes, or organizations; and ultimately the advertisers must assess the effectiveness of such a message. II. RESEARCH METHODOLOGY A. Research Design The research design used in this research paper is exploratory research design And the Data Sources be primary data collected through structured questionnaire .Population of the study Is th Youth (Male) of Jalandhar will be included in population.and the Sampling Size Is of 100 persons from the Jalandhar city.Random sampling technique is used in this research paper
AbstractIndia is a country where people love to live in dreams. They worship celebrities. Celebrities may be Cricket stars like Sachin Tendulkar, Mahinder Singh Dhoni or Stars like Salman Khan, John Ebrahim. They treat them as God. Marketers use this very preposition so as to influence their target customers may be existing or potential ones. For this they rope in these celebrities and give them whopping amount of money. They believe that by doing this they can associate their products with their target customers.This is called celebrity endorsement But do this celebrity endorsement acts as a source of brandbuilding and have impact over the purchasing behavior of customers in case of automobiles? For this I decided to conduct this vary research and objectives of my research are: To identify the influence of celebrity endorsement on consumer buying behavior. To study celebrity endorsement as a source of brandbuilding To find which type of celebrity persona is more effective. This research is limited to Jalandhar City only due to various constraints like time available, scarcity of resources etc. From this we can make an attempt to generalize the result to the whole universe. After conducting research it was found that brand name and celebrity endorser are the two key factors that play an important role in affecting purchase intention.
I. LITERATURE REVIEW A. Philip A. Stroke (2009) The use of celebrity endorsement as a part of marketing communication strategy has been gaining popularity over the past years. Monies paid out b firms on endorsement contracts are estimated to be 10% to 25% of total advertising expenditures. However, empirical evidences on the effect of endorsement announcements on the stock prices performance of frims has been mixed at best. We analyze the share market perception of celebrity endorsement using a unique sample of 102 announcements. Stock returns and trading volumes depends upon the level of press attention. Endorsements that in a major newspaper show higher average return and larger trading volume changes at announcement date than those announced on the corporate website only.. Subhadip Roy (2007): This study raises three questions and attempts to provide tentative explanations for them. The first two questions relate to locating, in the consumer's perceptual space, the relative position of Indian celebrities and brands on a set of personality attributes. The third question relates to determining the fit between the celebrity and the
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National Conference on Strategic Management of Business Development: Issues and Prospects TABLE 4: CHI-SQUARE Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree Male 4.38 3.27 0.09 1.28 0.37 Female 5.35 4 0.11 1.56 0.45
B. Analytical Tools After collection of data another work necessary for any data collector is to correctly analysis that data. So statistical tolls helps us to correctly analysis the data .As I will using here the software named SPSS for analysis of the data XLSTAT. I will use following statistical tools: C. Hypotheis Testing Chi Square test will be used when the set of observed frequencies obtained after the experimentation have to be supported by hypothesis or theory. The test is known as X2-test of goodness f fit and is used to test if the deviation between observation(experiment) and theory may be attributed to chance (fluctuations of sampling).2 also enables us to explain whether or not two attributes are associated or related to each other. D. To Test the Goodness of Fit It helps to test goodness of fit by using null and alternate hypothesis. III. STATISTICAL TOOLS TO BE USED A. Chi Square Test 1) Procedure 1) Set up the null hypothesis that there is no significant difference between the observed and expected value. 2) We compute the value of CHI- square by using the formula CHI-square = 2= ((Oi- Ei) 2/Ei) O-Observed value
TABLE 1: FREQUENCY OBSERVED Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree Column Total Male 25 05 10 5 10 55 Female 5 15 10 10 5 45 Row Total 30 20 20 15 15 100
IV. INTERPRETATION As the Chi-square test statistics 20.85 exceeds the critical value of 9.49 hence null hypothesis is rejected and hence we reached at the result that our alternative hypothesis is accepted. It is confirmed after the analysis that male celebrity endorser are more effective than that of female celebrity.
TABLE 5: CELEBRITY ENDORSER AS AN EFFECTIVE METHOD OF PERSUASION Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree = 20.85 %age 45 15 10 20 10
Fig. 3
V. INTERPRETATION This chart depicts that mostly people agree that Celebrity endorsement is an effective tool of persuasion. 45% of people strongly agree that celebrity endorsement is an effective tool of persuasion and 20% of people disagree that it is one of the tool. VI. HYPOTHESIS TESTING Step1: State Hypothesis: Ho: Celebrity endorsement is not an effective tool of persuasion to facilitate customer to go for purchase. Ha: Celebrity endorsement is an effective tool of persuasion to facilitate customer to go for purchase. Set the Rejection criteria: DF = 5-1 = 4 At alpha .05 and 4 degrees of freedom, the critical value from the chi square distribution table is 9.49
TABLE 2: FREQUENCY EXPECTED Preference Male Female Row Total Strongly Agree 55*30/100=16.5 45*30/100=13.5 30 Agree 55*20/100=11 45*20/100= 20 Indifferent 55*20/100=11 45*20/100= 20 Disagree 55*15/100= 45*15/100=6.75 15 Strongly Disagree 55*15/100= 45*15/100=6.75 15 Column Total 55 45 100 TABLE 3: -CALCULATION Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree Male (25-16.5)2/16.5 (5-11)2/11 (10-11)2/11 (5-8.25)2/8.25 (10-8.25)2/8.25 Female (5-13.5)2/13.5 (15-9)2/9 (10-9)2/9 (10-6.75)2/6.75 (5-6.75)2/6.75
Step 2:
Research Paper on Effect of Celebrity Endorsement on Mobile Buying Behaviour
43
Step 3:
Compute the Test Statistics: = (O-E)2/E TABLE 6

Observed 45 15 10 20 10 Expected 20 20 20 20 20 O-E (O-E) 25 -5 -10 0 -10 625 25 100 0 100 (O-E)/E 31.25 0.25 5 0 5 = 41.5
Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree
VII. INTERPRETATION As the Chi-square test statistics 41.5 exceeds the critical value of 9.49 hence null hypothesis is rejected and hence we reached at the result that our alternative hypothesis is accepted. Hence it can be concluded that celebrity endorsement is and effective tool of persuasion to facilitate customer to go for purchase. VIII. FINDINGS After completing survey I found that: Brand name and celebrity endorser are two factors that people consider before making a purchase intention of mobilephone. Maximum number of people wants to see celebrity endorsing their mobile phone that means they have high involvement with the celebrities. One of the abstract finding of the survey was regarding peoples orientation towards gender biasness. This finding clearly indicated that people like to see male celebrities endorsing mobile phone than that of female celebrities. Most no. of people believe that celebrity endorsement is an effective mean of persuasion i.e. it convey the message clearly to the target audience regarding product offerings and persuade them to go for the purchase. It was found that celebrity endorsement have an impact over the purchase of automobile products. As large no. of people surveyed confirmed this fact. In country like India were Cricket is a religion and cricketers are worshiped as God. One of the finding revealed that people admire sports player as better celebrity persona than that of bollywood actor/actress. The results of brand recall were astonishing most no. of people were able to recognize the celebrities endorsing the given advertisement. So it showed tha celebrity endorsement is a source of celebrity endorsement. IX. CONCLUSION Despite the obvious economic advantage of using relatively known personalities as endorsers in advertising campaigns, the choice of celebrities to fulfill that role has become common practice for brands competing in today's cluttered media environment.
There are several reasons for such extensive use of celebrities. Because of their high profile, celebrities may help advertisements stand out from the surrounding clutter, thus improving their communicative ability. A brief assessment of the current market situation indicates that celebrity endorsement advertising strategies can, under the right circumstances, indeed justify the high costs associated with this form of advertising. But it would be presumptuous to consider celebrity endorsement as a panacea for all barricades. Celebrity endorsement if used effectively, makes the brand stand out, galvanizes brand recall and facilitates instant awareness. To achieve this, the marketer needs to be really disciplined in choice of a celebrity. Hence the right use of celebrity can escalate the Unique Selling Proposition i.e. it can act as a source of brand-building of a brand to new heights; but a cursory orientation of a celebrity with a brand may prove to be claustrophobic for the brand. It was found that people love to see celebrities endorsing their brands so the involvement of common man is pretty high with these celebrities. So marketers should use the right celebrity matching with the product. During survey it was found that male celebrities are considered to be better celebrity endorser than that of their female counterparts. REFERENCES
[1] [2] [3] [4] [5] [6] Philip A. Stroke(2009), "impact of celebrity endorsement on stock prices", Journal of Consumer Research, Vol. 14 No.March, pp.47182. Roy, Shubhadip (2007), "Consumers perceptual space and Indian celebrities in relation to brand attributes", Journal of Business Research, Vol. 37 No.1, pp.7184. Shimp (2007), "Celebrities as spokesperson", Journal of Retailing, Vol. 76 No.2, pp.17591. Goldsmith et al.(2002): Celebrity endorser vis--vis corporate credibility, Media Tech Foundation, Flemington, NJ Solomon et al. (2002) "Celebrity endorsement in risk regime", Communication Research, Vol. 30 No.5, pp.483503. Kambitsis et al., (2002) The National Bullying Survey 2002: The Results, availableat:www.bullying.co.uk/nationalsurvey/thenationalbully ingsurvey_results .pdf (accessed 28 february 2009), Pettit (2000), Building Strong Brands, Free Press, Boston, MA., McGuire et al.(1999), "Expertise and trustworthiness in relation to credulity-Celebrity endorsement", Quarterly Journal of Austrian Economics, Vol. 3 No.1, pp.6378 Henry(1999) "Role of PSAs in USAs Radio market", European Journal of Marketing, Vol. 34 No.1/2, pp.15675. Dwane Hal Dean (1999)Managing Brand Equity: Capitalizing on the Value of a Brand Name for manufacturer prospective, The Free Press, New York, NY, Sheth et al. (1999)"Celebrity endorsement in relation to perception and stages of consumer adoption for celebrity endorsement ", Advances in Consumer Research, Vol. 20 No.1, pp.4638 Till and Shimp(1998) Celebrity endorsement-a different prospective, The Journal of Consumer Affairs, Vol. 27 (1), pp. 5565. Tellis (1998) "Celebrity endorsement in highly involved regime", Journal of the Academy of Marketing Science, Vol. 16 No.4, pp.7494..
[7] [8] [9] [10] [11]
[12] [13]
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[14] Freiden(1994), "Celebrity endorser as credible spokesperson", Journal of Marketing Research,, Vol. 11 No. May, pp.15663 [15] King (1991), "Determinants of strong brand equity: a behavioral analysis", The Journal of Product and Brand Management, Vol. 6 No.5, pp.31524. [16] Obanian(1990): "The role of emotions in marketing", Journal of the Academy of Marketing Science, Vol. 27 No.2, pp.184206. [17] Friedmen et al.(1976), The power of brand, Journal of Business, Vol. 23 pp.7180. [18] Triandis (1971),"Relationship between attractiveness, similarity, familiarity and likeability", Advances in Consumer Research, Vol. 18 No.1, pp.44552 [19] Hovland et al. (1953), Whom to chose as celebrity?, New York, NY, pp.535.
Websites
[20] www.marketingmania.in/india.htm [21] http://en.wiki.wikipedia.com/indian_industry [22] www.managementparadise.com/consumerbehaviour_celebrity endorsement_automobiles.htm [23] http://www.hindustantimes.com/StoryPage/StoryPage.aspx?sect ionName=&id=acf176cd6f5342b6-a47b 72e34341cfe1&&Headline [24] http://www.businessweek.com/innovate/content/feb2008/id2008 0227_377233_pa ge_2.htm [25] http://www.telegraphindia.com/1081007/jsp/opinion/story_9933 949.jsp
Green Marketing Practices in India

Dr. Jasdeep Kaur Dhami1and Parveen Singh Kalsi2
1 2
A.P., Department of Management Ovely Professional University, Phagwara, Punjab A.P., Department of Management Lovely Professional University, Phagwara, Punjab II. OBJECTIVE The objective of this paper is to explain the need and importance of green marketing and also to elucidate certain initiatives taken by the Indian companies for green marketing practices. III. RESEARCH METHODOLOGY Our research is exploratory in nature and this paper is based on the substantiation collected from the previous studies and facts collected from various secondary sources such as websites, articles published in different journals. The steps towards this framework will be: the Meaning of Green Marketing, the previous studies, Why the firms adopting green marketing practices, evidences of concept of Green followed by Indian firms and conclusion on the basis of these evidences. IV. REVIEW OF LITERATURE Targeting consumers who are willing to pay more for environmentally friendly products(June 2001) - The major contributions of this study were the investigation of the profile of consumers willing to pay more for environmentally friendly products and the subsequent discussion of the implications for marketers. A study conducted on Promoting Sustainable Consumption: Determinants of Green Purchases by Swiss Consumers (October 2003). The conclusions of this study are that per-capita consumption in industrial countries is a main cause of environmental degradation, the need for sustainable development will require alternative consumption patterns. Because of the complexity of the factors involved, it is clear that no simple remedies will suffice to accomplish the longterm goals. Rather, multifaceted effort will have to be carried out by a broad coalition of interrelated actors. Alterations in peoples attitudes, beliefs, and behaviors may stimulate changes in the political and economic systems, which in turn might encourage lifestyle changes. On the other hand, product manufacturers can affect the market and consumers by encouraging new developments. It seems that there is considerable potential for green consumerism to develop, but that its growth is inhibited by various barriers. Price Premiums for Eco-friendly Commodities: Are Green Markets the Best Way to Protect Endangered Ecosystems? (2005)The paper explains ecosystem conservation objectives in low-income nations, international organizations and domestic governments
AbstractGreen marketing refers to the process of selling products and/or services based on their environmental benefits. Such a product or service may be environmentally friendly in itself or produced and/or packaged in an environmentally friendly way. The obvious assumption of green marketing is that potential consumers will view a product or service's "greenness" as a benefit and base their buying decision accordingly. The not-soobvious assumption of green marketing is that consumers will be willing to pay more for green products than they would for a less-green comparable alternative product - an assumption that, in my opinion, has not been proven conclusively. Although no consumer product has a zero impact on the environment, in business, the terms green product and environmental product are used commonly to describe those that strive to protect or enhance the natural environment by conserving energy and/or resources and reducing or eliminating use of toxic agents, pollution, and waste. The objective of this paper is to explain the need and importance of green marketing and also to elucidate certain initiatives taken by the Indian companies for green marketing practices.
I. INTRODUCTION Given the shifts in customer buying criteria toward environmental responsibility, corporate focus on this segment may provide a source of distinctive competitive advantage in the future. It is conceivable that at some time in the future, the idea of environmental justice may be accorded a status as high as that wielded by the concept of civil rights in contemporary USA (Noah, 1994). Green marketing refers to the process of selling products and/or services based on their environmental benefits. Such a product or service may be environmentally friendly in it or produced and/or packaged in an environmentally friendly way. Although the concept of marketing is more extroverted, this paper employs the term green marketing to refer to the some examples of firms in India and their strategies to promote products by employing environmental claims either about their attributes or about the systems, policies and processes of the firms that manufacture or sell them. Clearly, green marketing is part and parcel of the overall corporate strategy (Menon and Menon, 1997).Although no consumer product has a zero impact on the environment, in business, the terms green product and environmental product are used commonly to describe those that strive to protect or enhance the natural environment by conserving energy and/or resources and reducing or eliminating use of toxic agents, pollution, and waste.
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have invested heavily in promoting eco-friendly commercial enterprises that indirectly generate local incentives for conservation. Identifying the green consumer: A segmentation study (2009)-The results of this study show that consumers who buy green products do so for specific reasons, and that certain environmental and demographic variables are significant for differentiating between the greener segment and the other segments. It is therefore to be concluded that those firms that do not respond to the green challenge with products that are safer for the environment will risk losing some credibility in the eyes of those consumers who are more concerned with environmental issues. Marketing Ethical Implication & Social Responsibility (2010) -The world is going to suffer from environmental issues, if we continue to ignore them. Customers should support green movements. The academic world ought to concentrate more on what determines the most effective green advertisings. Why firms are adopting Green Marketing: Social responsibility: Organizations believe that to keep the environment clean is there moral as well as social responsibility. Organizations also accept this that they have a moral obligation to be more socially responsible. Laws: Governmental bodies imposed various laws, so that firms should become more responsible e.g. the Kyoto Protocol for carbon trading omissions. Competition: Competitors environmental activities pressure firms to go for green marketing. Cost Reduction: Reduction in cost due to recycling and material usage forces firms to look for green marketing. Sustainable marketing in developing or emerging economies can follow several approaches. In one approach, firms can identify and seize immediate market opportunities in emerging markets by adopting innovative packaging and distribution which makes their products affordable without altering the fundamental value that the brand provides. In other cases, firms can take a long-term view of the market opportunities by creating secure livelihoods through capacity building of its potential customers. This will ensure development of more robust, enduring and reliable markets. Consumer electronics firms Videocon and Panasonic-The co-sponsors of the bollywood extravaganza IIFA awards (2009) for the first time were used the platform to promote their eco-friendly products. Both Videocon and Panasonic used, the theme for that years IIFA award was-- 'Go Green' -- which provides them a perfect platform to endorse eco-
friendly products. They have been working on bringing out products, which are energy conserving and environment friendly. New Surf Exel (Do Bucket Paani Ab Rozana Hai Bachana) that produces lesser froth but is as effective as before, thus reducing water consumption. Similarly, Lifeboy (a brand of soap from Unilever in India) had advertising campaign encuraging children to keep their streets clean and not worry about germs as Lifeboy protects them. McDonalds changed its plastic packaging with waxed paper owing to increasing consumers concern about plastics and their ill effects. Tata Steel, HLL, Jindal Vijaynagar Steel, Essar Power and Gujarat Flurochemicals Ltd. etc have got clearance from the CDM (clean development mechanism) body to undertake specifically designed projects in order to gain benefits from carbon trading (Kyoto Protocol). Coca-Cola, Tata group, Colgate Palmolive etc. have invested large sums of money in various recycling activities, as well as having modified their packaging to minimize its environmental impact. Introduction of CNG in Delhi New Delhi, capital of India, was being polluted at a very fast pace until Supreme Court of India forced a change to alternative fuels. ITC's Green Leaf Threshing plant in Chirala is the first in India and among the first 10 units in the world to bag the Social Accountability (SA 8000) certification. The Company also received the Ryutaro Hashimoto Incentive Prize 2007 for Environment & Development from the Asia Pacific Forum. This Award aims at promoting information dissemination of good practices towards sustainable development in the Asia-Pacific region Maruthi: Greening of Supply Chain-The Company has remained ahead of regulatory requirements in pursuit of environment protection and energy conservation at its manufacturing facilities, and in development of products that use fewer natural resources and are environment friendly. The company has been facilitating implementation of Environment Management System (EMS) at its suppliers' end. Wipro Technologies-Wipro expands its green IT initiatives through its participation in "The Green Grid". IDEA Cellular-One of the best Indian companies, IDEA, paints India green with its national Use Mobile, Save Paper campaign. The company had organized Green Pledge campaigns at Indian cities where thousands came forward and pledged to save paper and trees. IDEA has also set up bus shelters with potted plants and tendril climbers to convey the green message. HCL ecosafe-The key objective under HCL eco Safe is targeted at integrating environmental management procedures into its business processes
Green Marketing Practices in India
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thereby protecting the environment, health, and safety of all its stakeholders. HCL commits to manufacture products that are environment friendly in all respects and are free from hazardous chemicals. V. CONCLUSION The present study has a potential source of information for managers, because they can be used as a self-diagnostic tool to determine if a firms attitude to the environment is reactive or proactive. They can think on the issues related to environment. This is an important contribution because little of the marketing literature tests (or even suggests) ways in which strategies can be used to address customers interests. However, Kline (2008) believes that those who were involved in the green marketing in the 1990s have missed some basic facts namely that communication alone is not enough and may even be dubious, since the most beautiful green messages come out of the dirtiest industries. Kline (2008) refers to this as the green misleading. If the product remains unchanged, if there are no changes in the production from the aspect of the environmental policy of the company, and if the company acquires only a new outfit, the consumers quickly discover this and a decrease in corporate reputation may even result. Thus, it is important to examine consumer attitudes toward environmentally responsible behaviors. As we all know that in era of globalization, industrialization development is increased. This can be the cause of more pollution,
carbon emission etc. Sustainable business: winds of change beginning to blow is a Financial Times special report exploring the steps being taken by businesses to reduce their impact on global warming. The report describes how political, business and public opinion has shifted, resulting in increased efforts to adopt green policies. Current responses to climate change from the food, chemical and transport industries are required to be addressed, and Indias attitude to environmental issues is also be mandatory to confer special attention. The present study can be used by academicians and practitioners for studying consumer responses to green marketing. REFERENCES
[1] Alternate Power: A Change Is in the Wind, Business Week, 2005-07-04, 3637. [2] Laroche, Bergeron (2001) ,Journal Of Consumer Marketing, VOL. 18 NO. 6 2001, pp. 503-520, [3] Tanner, Wolfing (2003), Psychology & Marketing, Vol. 20(10): 883902 [4] Ferraro, Uchida (2005), Environmental & Resource Economics, 32: 419438 [5] Raposo, Filho (2009), Journal of Targeting, Measurement and Analysis for Marketing , Vol. 17, 1, 1725 [6] Chitakornkijsil Pranee (2010),International Journal of Organizational Innovation (Online), Vol. 2, Iss. 3; p. 6 [7] http://www.dnaindia.com/entertainment/report_videoconpanasonic-to-promote-green-products-at-iifa-2010_1261245 [8] http://www.ecolve.com/forum/viewtopic.php?f=10&t=45 [9] http://www.itcportal.com/about-itc/global-honours.aspx [10] http://sbinfocanada.about.com/od/marketing/g/ greenmarketing.htm
Marketing of Mutual Fund Products through Retail Banks in India: An Empirical Study of Customers' Perception
B.B. Goyal1 and Meghna Aggarwal2
2
Associate Professor, University Business School, Panjab University, Chandigarh Assistant Professor, ASSM College (A constituent college of GNDU, ASR), Mukandpur considered. However, the returns are often lower in these funds when compared to growth funds. 3. Investment in money market funds can be beneficial when the objective is to preserve the principal investment amount. These are highly stable funds and do not fluctuate according to the stock market. But these mutual funds generate very little income when compared to bond or growth funds. Growth of Mutual Funds has been gradual and it took really long years to evolve the modern day mutual funds. Mutual Funds emerged for the first time in Netherlands in the 18th century. Then it got introduced to Switzerland, then Scotland and then to United States in the 19th century. A mutual fund can be described as professionally managed form of collective investments that pools money from many investors and invests it into stocks, bonds and other securities. The formation of Unit Trust of India marked the evolution of the Indian mutual fund industry in the year 1963. The primary objective at that time was to attract the small investors and it was made possible through the collective efforts of the Government of India and the Reserve Bank of India. The mutual funds industry is now regulated under the SEBI (Mutual Funds) Regulations, 1996 and amendments thereto. With the issuance of SEBI guidelines, the industry had a framework for the establishment of many more players, both Indian and foreign players. I. REVIEW OF LITERATURE Guerley and Shaw (1955) view the role of financial institutions as one which helps in realizing the opportunities for savings and real investment in an economy. A certain level of financial development also paves the way for the mobilization of funds which is a clear shift from self-financing to direct financing, and then to indirect financing. indirect financing includes financial intermediaries like banks, insurance and other financial companies which act as a link between money savers and borrowers of funds. Financial intermediaries also play a very important role in eliminating market imperfections which arise out of non-dissemination of information about borrowers.
Financial Market Growth deals with the evolution of the financial market over the passage of time and how it has grown as one of the key markets of any country in the world. The financial market performance is often considered as a barometer for the economy and with the current globalization and integration in the world financial markets, the effect from one part of the world gets rapidly translated into stock market changes in other parts of the globe. Based on this feature, financial market growth can also predict the future of financial market performance worldwide. Mutual funds are dynamic financial institutions (FIs) which play a crucial role in an economy by mobilising savings and investing them in the stockmarket, thus establishing a direct link between savings and the capital market. Therefore, the activities of mutual funds have both short-and long-term impact on the savings pattern, growth of capital markets and the economy. Mutual funds, thus, assist the process of financial deepening and inter-mediation. They mobilise funds from thesavings market to deploy the same in the Capital Market. Mutual funds act as complementary to banking and at the same time they also compete with banks and other financial institutions. Mutual funds are a great way for investors with limited resources to participate in the financial market. There are various types of mutual funds including openended funds, close-ended funds, equity funds, exchange-traded funds and gold-trading funds. It is important to know about the way these funds operate and the criteria required for choosing the right type of fund so as to become a successful investor. The foremost factor that needs to be determined while choosing a mutual fund is to know about the financial goals. Depending on this, one can have a fair idea about the type of fund one can invest. Each type of fund has its own share of risks and disadvantages. 1. When the objective is capital growth, funds that invest primarily in stocks are a good option. These are high-risk funds and the prospect of getting high returns is good with these types of funds. However, growth of stocks depends entirely on the stock market trading. 2. When the objective is to have a steady growth involving less risk, funds investing in bonds should be
Marketing of Mutual Fund Products through Retail Banks in India: An Empirical Study of Customers' Perception
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According to Kaizuka (1987) distortions in the market can be eliminated or mitigated by several institutional devices and it is in this respect that financial arrangements such as an issuing market for securities and financial intermediaries play their roles. According to Szego, G. (1993) financial institutions are expected to embody the essence of integrity and their entrepreneurial drive is well balanced by a strong sense of fiduciary responsibility and that is why financial regulations have always been a part of economic development. The literature on Mutual Funds indicates the success story of this new channel in most of the European Countries. This is the favorable legal system in these western countries, well supported by the availability of strong banking infrastructure. The concept of all financial services under one roof and relationship banking have contributed a lot in building up of Mutual Funds business. Above all, the reputations of the banks were also stated to have played a key role in popularizing the concept of providing all financial services under one roof in the developed countries. There are several studies that have related cross-selling opportunities to the development of common
Demographic Measures Age Categories 25-34 years 35-44 years 44-54 years 55 and above Total Male Female Total New Delhi Gurgoan Noida Total Upto Secondary level University degree Masters degree Others. Specify Total Rs 10,000 to 20,000 Rs 20,000 to 30,000 Rs 30,000 to 40,000 40,0000 and above Total Married Single Total SBI 23 21 16 22 82 54 41 95 44 32 21 97 12 22 37 15 86 34 12 15 26 87 54 22 76 ICICI Bank 27 16 15 15 73 44 36 80 19 42 21 82 34 24 16 24 98 23 34 12 32 101 76 39 115
acquisition patterns of financial products and/or to the identification of specific customer segments as best prospects for successful cross-selling. II. RESEARCH METHODOLOGY The scope of this study is confined to Gurgaon, Noida and NewDelhi. The study is based on primarily based the primary data. The data was collected from both male and female customers who are holding saving bank account with retail banks in private, foreign and public sector banks in India. Convenient sampling was used for the survey. For obtaining the responses, a fivepoint Likert scale questionnaire has used. Moreover, indepth interviews were conducted in order to elicit suggestions from them. The questionnaire was administered to 200 customers. The survey was done in the month of Jan-February 2011.SPSS 10 version has been used to analyze the obtained data. Factor analysis, mean and standard deviation has been applied and inferences have been drawn based on the results so obtained. III. PROFILE OF THE RESPONDENTS
TABLE 1 Barclays Bank 13 15 14 3 45 13 12 25 16 3 2 21 8 1 3 4 16 4 3 4 1 12 5 4 9 Total 63 52 45 40 200 111 89 200 79 77 44 200 54 47 56 43 200 61 49 31 59 200 135 65 200
TABLE 2: CUSTOMERS ATTITUDE TOWARDS MUTUAL FUNDS Customers attitude towards Mutual Funds Do you think that your Agent is expert in Mutual Funds? Do you think that your Agent can advise you on Mutual Funds Products? Do you think that your Agent gives you all the information needed? Would you trust Agent over Bank Employees? Do you think that Bank offers competitive Products? Do you trust your Agent? Do you trust the Bank Employees? Do you think that Bank Employees can advise on Mutual Funds Products? Mean Value 4.1948 4.8815 4.2960 4.1185 4.9829 4.4556 4.6074 4.1370 Standard Deviation 1.0473 1.0470 1.1291 1.2377 1.0247 1.0436 1.1049 1.1759
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National Conference on Strategic Management of Business Development: Issues and Prospects TABLE 3: BENEFITS OF BANCASSURANCE
Benefits of bancassurance By selling the mutual funds product by own channel, increases the income of the bankers. Face-to-face contact with their customers Extensive experience in marketing Banks are using different value added services.
Mean Value 3.6074 3.1370 3.0852 3.0185
Standard Deviation 1.1049 1.1759 1.3511 1.2715
TABLE 4: PROBLEMS FOR SELLING MUTUAL FUNDS THROUGH BANKS Problems for selling mutual funds through banks Top professionals will have to be hired. In order to understand the nature of Indians regarding mutual funds detail study of is required. There is need of favorable & easy mutual funds for the people. High capital investment in infrastructure development particularly in Information Technology & Telecommunication is required. Creation of research & development cell Mean Value 3.3259 3.2741 3.2111 2.6185 2.5123 Standard Deviation 1.0378 1.1004 1.1932 1.2159 1.09878
The above table showed that customer thinks that bank offers competitive mutual funds products is having the maximum mean value (4.9829). It means that banks are providing the variety of competitive mutual funds products to the customers. Customers have the positive attitude towards mutual funds . Customers also trust more on the bank employees rather than the gents. Table 3 showed the benefits of selling mutual funds through banks were analysed with the help of mean value and standard deviation The above table showed that maximum benefit of selling mutual funds through banks is selling , the banker can increase their income (3.6074) followed by banks have face-to-face contact with their customers (3.1370),the bankers have extensive experience in marketing(3.0852), banks are using different value added services like e-banking tele- banking, direct mail. The study also aimed to find out the problems for selling mutual funds through banks. Various factors were analysed for their importance. The mean value and standard deviation are given in table 4 below. The above table showed that one of important problem of selling mutual funds through banks is need of top professionals (3.3259) followed by need of detail study in order to understand the nature of Indians regarding mutual funds (3.2741), need of favorable & easy mutual funds for the people(3.2111),high capital investment in infrastructure development particularly in Information Technology & Telecommunication is required (2.6185),creation of research & development cell (2.5123). IV. CONCLUSION AND SUGGESTIONS It is concluded that banks are providing the variety of competitive mutual funds products to the customers. Customers have the positive attitude towards banks. Customers also trust more on the bank employees rather than the agents. It is also concluded that that maximum benefit of using bancassurance is maximum benefit of selling mutual funds through banks is selling , the banker can increase their income (3.6074) followed by banks have face-to-face contact with their customers (3.1370),the bankers have extensive experience in marketing
(3.0852), banks are using different value added services like e-banking tele- banking, direct mail. It is further concluded that one of important problem of selling mutual funds through banks is need of top professionals (3.3259) followed by need of detail study in order to understand the nature of Indians regarding mutual funds (3.2741), need of favorable & easy mutual funds for the people (3.2111), high capital investment in infrastructure development particularly in Information Technology & Telecommunication is required(2.6185),creation of research & development cell (2.5123). Banks are no doubt optimistic about the channel but it does come with a few limitations. While sale of mutual funds comes at a lower cost through this channel in comparison to the agency route. Also it is yet to be seen how far buying shelf space in a bank helps push sale of mutual funds. Besides the target audience is limited to those individuals who visit the bank during the working hours. And with technology changing at a rapid pace ATMs and internet banking have been reducing the individuals visits to the bank which could perhaps be a dampener for mutual funds. REFERENCES
[1] [2] Gurley, J., and E. Shaw (1955), Financial Aspects of Economic Development, American Economic Review, Vol. 45, 515537. Kaizuka (1987), 'A comparative study on Financial Development' , Development in Japanese economics, Academic Press, Tokyo. Szego, G. (1993). Introduction on banks and capital markets in former planned countries. Their role in establishing a market economy. Journal of Banking and Finance, 17 (5), 773783. Meswani, Pooja, (2008), NewsBulletins/CNBC-TV18, 2008-0111, 19:10:06. Roberts, T. B. 1982. Comment on Mathess article. Journal of Humanistic Psychology 22 (4): 978. Abbasi, S., and K. Hollman (2000), Turnover: The real bottomline, PublicPersonnel Management 29 (3): 33342. Abdul Rahman, S. M., M. Raza Naqvi, and M. Ismail Ramay(2008),. Measuring turnover intention: A study of it professionals in Pakistan, International Review of Business Research Papers 4 (3): 4555. Beach, R., D. Brereton, and D. Cliff( 2003), Workforce turnover in mining operations in Australia: An exploratory study, Brisbane: Brisbane Centre for Social Responsibility in Mining.
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[4] [5] [6] [7]
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Marketing Strategies of BollywoodA Journey from Then to Now

Sabina Chadha*1, Sunita Gupta#2 and Arvinder Kaur*3
Lecturer in Commerce Dev Samaj College for Women, Sec-45, Chd Lecturer in Commerce Dev Samaj College for Women, Sec-45, Chd 3 Lecturer in Fine Arts Dev Samaj College for Women, Sec-45, Chd e-mail: *sabinachadha77@yahoo.com, #sunita399@yahoo.com, *arvinder.kaur18@yahoo.com
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AbstractOne of the largest money churner in India, Bollywood: the business of making movies,for which once marketing meant putting up Eastman color posters across the streets of Mumbai has evolved dramatically.Bollywood producers and film makers have realized that their movies are products that need to be branded,positioned and targeted at the right audience. Marketing has always been there in Bollywood. It has been the life line of the industry. Now there is a different approach. It has indeed become more aggressive! As per PROMO2007 Industry Trends Report Our annual survey reveals a blurring of advertising and promotions budget. In fact 2/3rd of all firms now plan promotion as part of their overall marketing strategy. Thats up from last year. Last years marketing budgets were pretty evenly split among consumer, promotion, general advertising and trade. Filmmaker Mahesh Bhatt believes that for a longer shelf place in todays times, marketing is very essential. There are other reasons too that define this change of approach, the big money involved, target groups, multiplex bloom. Superstar Amitabh Bachchan has written in his blog Good marketing has produced good result at the box office. That old belief that the merit of the film shall eventually emerge victorious has long since been over ridden. By the time you wait for the merit to show its face, five other films have shown their merits. Todays buzz line is Neglect marketing and a good film may lose out. And there can be nothing more galling for a film maker who lost out having to watch a sleazy film getting that lift (pun intended) due to smart marketing. So our paper will showcase the changes in marketing strategies of bollywood over a period of time.
I. INTRODUCTION The big money being floated by corporate houses in Bollywood has given great impetus to movie marketing, giving it a more professional and authentic look. Every business tries to stay upfront with their customers.The free market scenario has brought a situation that is characterized by cut throat competition. We live in a world that is ruled by survival of the fittest policy.The race to be ahead has resulted in companies coming up with new and innovative marketing strategies to gain a competitive edge over their competitors. The Indian media and entertainment (M&E) industry is one of the fastest growing service industries in the country. It is currently estimated at 22,200 crores and is expected to grow at 18% p.a. to reach Rs 58,800 crores by 2010 as per the report titled
Indian entertainment industry - Focus 2010: Dreams to Reality. Bollywood, one of our largest money churners in India from the entertainment industry has evolved tremendously. It is expected to grow significantly crossing Rs 14000 crores by 2010, powered by increasing discipline and rising efficiency levels & penetration into unchartered overseas markets. To bring Bollywood industry to this new high, marketing strategies have been playing a very dominant role. After spending millions of dollars on making a movie, the studio spends millions more on letting the audiences know about it. Marketing a big product like a movie can be a very expensive business especially when that product has a limited shelf life. Tarun Tripathi, Yash Raj Films senior marketing executive believes that any product be it films, play or TV. showrequires good marketing if its commercial expectations are to be met. The challenge is to survive the mad race for eyeballs. In the older days, the public had only a few alternatives for entertainment and film producers could get away without spending much on marketing. But now the new generations needs and interests should be treated carefully. While Bollywood scripts have far from evolved, with the same stale movies being churned out day in and out, the way Bollywood is marketing its movies, would make Kotler proud! Here is our take on 4 Ps of Bollywood marketing with examples of many movies released in the recent past. II. THE 4PS OF BOLLYWOOD MARKETING
TABLE Product A film needs to be clearly identifiable in its marketing genre, stars, story, special effects, style all need to be presented to the audience so they select the film on the basis of content A film has to have right release date Christmas for a Christmas movie etc. its release date will also depend on what else is being released at the same time films have to fight it out for cinema screens. It would be pointless releasing any big action adventure movie the same weekend as another one simply because cinema goers would choose between it and the competition, thus having the box office takings.
Placing
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National Conference on Strategic Management of Business Development: Issues and Prospects Promotion for films takes many forms: Print advertising( posters + ads in newspaper & magazines) Trailers( Screened at cinema + on TV / Radio) Internet sites ( including face book) SNS sites Viral videos Merchandising- books, T-shirts, food, CDs, computers games, toys, cars, mobile phones, anything that can be associated with the brand of the movie. The publicity department of a studio can use the talent (actors, directors, screenwriter ) attached to a movie and will try to gains maximum benefit from the following. Star interviewin print, online and broadcast media (making of) documentaries, set reports etc. Gala premierswhos wearing what? Reviews and profits New storieswho did what on set and what records has this movie broken?
Promotion
especially the twitter and facebook are gaining importance now. It helps in promoting a movie through word of mouth. D. Viral Videos Promoters can release behind the- scenes clips, bloopers and other viral videos on videos sharing sites like You Tube. Major Channels of marketing (TV, radio)- The mainstream advertising for movies, targeted at the end users is done via TV trailers, songs, star appearances on TV show, interviews, making of reviews and movie news, all forms a part of the promotion strategies adopted by filmmakers. Choreographer turned director REMO made a special appearance in his show DID, which had shot him to fame, to promote his upcoming movie Faltoo along with his actors. Tie ups with radio channels for marketing films are becoming increasingly common.Common promotional activities include on- air contests, interviews with film stars and music composers, etc. Taking the case of tie up between big 92.7 FM with YASHRAJ films as its exclusive on air partner for the film Jhoom Baraabar Jhoom. E. Teasers A teasers is all about illusion and aura. It is about creating that glimpse of mystery about the film just before its theatrical release that will eventually attract more audiences to the theater with a motive to demystify the perception created. Thus by using effective teasers, producers seek to drive in maximum viewers for the film during the 1st week and generate maximum revenue. F. Merchandising It involves the T-shirts, Mugs and other paraphernalia. From the caps and toys promoted from the film Maine Pyar Kiya to super hero Krrish, they can be spotted on T-shirts, on kids toys, or in form of youngsters accessories. Om Shanti Om had through their clothes line of 80s had banked upon this particular strategy. G. Music India being a land of great musical heritage, thus almost all our means of entertainment are inspired by music. There are a lot of movies which have been box office successes despite a bad story line, music being their saviour. Most of Imran Hashmi movies have banked upon their good music for the success of their films like gangster etc. H. Creating a Controversy It is always one of strategy adopted by film producers to create a buzz about the movie.
Publicity
To have a thorough understanding of the strategies, next we have the detailed list of innovative marketing strategies being used by bollywood III. INNOVATIVE MARKETING STRATEGIES A. Press Junket As the release date of the film draws closer, movie marketers try to get early favorite press coverage in newspapers, magazines and on entertainment TV shows. The main movie publicity tactic is something called press junket. At a press junket, journalists, entertainment reporters and movie critics are flown out to its special location for a day or weekend of interviews with the stars and creators of the film. Press junket are highly controlled environment where interviews are often attended by a publicist, who makes sure interviews never veer from positive topics B. Publicity Blitz Weeks before the movie opens nationwide, the promotions departments starts an all out publicity blitz. The idea is to bombard the public with so many images and promos for the movie that it becomes a cant miss event. Movie marketers plaster the sides of buses with huge ads, place billboards all around the city, run tons of teaser trailers on TV, place full page ads in a major newspapers and magazines and the movie stars will show up on all of the major talk show. C. Internet A recent survey conducted by the internet and mobile association of India ( IAMAI) says that close to 90% internet users surf the net for movie related information and 42% of the surfers use the net for this purpose more than once a week. Among the first studios to have started off promoting films on the net was Yashraj Films. Their Mujhse Dosti Karoge went on to win prestigious ABBY Gold award for its Internet marketing initiative in 2004. Social networking sites
Marketing Strategies of BollywoodA Journey from Then to Now
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I.
Publicity Stunt
An orchestrated media event where someone does something incredibly silly, dangerous or spectacular to draw further attention to the opening of the movie. IV. A JOURNEY FROM THEN TO NOW PAST (1975) Indias first 70 mm film, Sholay (flames) is now firmly lodged in the pantheon of Indian cinema history as one of the biggest production that scaled new heights in the technology of cinematic splendor. Posters or hoardings were the main marketing technique in that time. In fact the first pre release hoarding had Amjad khan prominently displayed even though he was virtually unknown as an actor at that time. The publicist C. MOHAN created several designs for Sholays publicity. The orange colour of the flames ran across all the posters as did the title fonts and style which evoked the 70 mm cinema scope experience. The marketing strategy for Sholay was unique because the village where most of the film is located hardly makes an appearance in any of the posters. The publicity of the film was conceptualized to highlight the modernity and the singularity of the film. Not a single poster of Sholay looked like a traditional dacoit (bandit) film. The greatest star cast ever assembledthe greatest story ever told were the taglines of the movie to incite the people regarding it being different. The posters would occasionally draw on extracinematic information about the private lives of the actors. The posters of Amitabh and Jaya Bhaduri were woven into the publicity mechanism of Sholay and were reproduced here as the enigmatic couple enveloped by orange flames. And yet in the film, Bachchan dies before any union with Jaya is possible. A. Change
Ghajini hair cut was provided for the usherers of this movie. Rajneeti saw 34 crore opening on the very first day. Their technique was in tandem with the taste of the film. They had been hosting debates on the topic of Aaj ki Rajneeti. For the promotion of Delhi -6 Abhishek Bachchan got nominated for the Guinness book of world record for travelling to five different cities in a short span of 24 hours. In a 1stof sorts in film marketing strategy, DAR Motion pictures bring the Dabbawala Association to promote their mega venture. For the south movie Endhiran (Robot) the promotion of the film reached a new crescendo when its music release function was held in Malaysia and it was telecast in Sun TV with 5050 duration of program and ads twice. It was first time that trailer was released at a grand function and broadcast on TV. V. CASE STUDY OF 3 IDIOTS A. Catch-meif-you-Can-An Game of Aamir Khan Alternative Reality
Aamir Khan launched a novel two week nationwide catch-me if you-can promotion for 3 idiots before it released. It was Hide and Seek game with the audience, where he went to undisclosed locations anywhere in the country. The audience had to trace him down within 2 weeks. B. Aamir khan Dares Modi, Enters Gujarat for Promotion of 3 Idiots Aamir Khan entered the territory of the very man, Gujarat chief minister Narendera Modi whom he had strongly criticized for failing to control the 2006 violence in Vadodara, inviting a ban on his movies Taare Zameen Par and fanaa. He paid a surprise visit for the promotion of the movie to Lok Niketan, a small school run on Gandhian principles at Palanpur village. C. Autorickshaw Branding Stickers showing the auto rickshaw capacity: 3 idiots were pasted on the back of 10,000 auto rickshaw that moved in cities such as Mumbai, Hyderabad, Jaipur, Kanpur etc. D. Web Promotion: Pucca Idiot Facebook Profile On Facebook, a profile called Pucca Idiot had been created, and it has more than one lakh fans. The profile has videos and pictures of Khans journey. E. Web Promotion:Youtube.com The makers of 3 idiots partnered with youtube to bring in its online campaigns. This website contains videos and images of the movie in order to enhance the enthusiasm of surfers interested in the movie and downloading its contents.
Gone are those days when plastering a few posters on the walls and hand painted billboard signs were the only means available for film publicity. Actors barely promoted their films, filmmakers never ventured in front of the camera and our main stream media couldnt care less. Today Bollywood presents a very different scenario with over 1000 films releasing in a given year, all of them fighting for a common goal i.e the box office success, the multiplex domination it has became a necessity for those involved to do whatever it takes to enforce that must watch feeling among the masses in order to win this very competitive rat race. B. Present Aamir khans Ghajini was the major blockbuster hit of 2009 Aamir khan had devised very innovative marketing strategy for the promotion of his film which drew packed audiences from the 1st day of its release. A
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F. 3 Idiots Partners with Zapak.com for Digital Marketing 3 idiots has tied up Zapak.com. Zapak has developed the films official website. The online destination for the movie is www.idiotsacademy.com which offers content in line with the theme of the movie targeting the youth. G. T.V. Promotion Apart from promoting the movie through teasers and trailers and playing the super hit songs like All Izz Well of the movie on various TV channels, the makers also aired short videos of Aamir Khan ARG where hed be going to undisclosed locations anywhere in the country. H. Promotion Through Multiplexes The team of 3 idiots along with Aamir Khan went to the extent of putting up posters on the walls of washroom, saying you are the fourth idiot in many multiplexes like Cinemax, BigCinema across the country. They also placed special bum shaped stools in the lounge area of multiplexes, which caught many eyeballs. I. Co-Promotion with Reliance Life Insurance
L. Buzz Marketing To get free publicity, many producers take the help of Buzz Marketing. Positive as well as negative talk (controversy) can attract the attention of people. 3 Idiots used the controversy with Chetan Bhagats novel Five Point Someone to its maximum advantage. VI. CONCLUSION AND SUGGESTION Movie marketing has indeed transformed the genre of film making from an art to a business form. With recent success stories at the box office proving that promoting ones film is as important as the film itself, producers are now spending more on marketing than ever before. Strategies are getting as experimental and innovative as the film subjects it self. In our paper we have tried to rope in as many marketing strategies as were possible and also tried to bring out case study to illustrate our point even more effectively. Regarding the suggestions we can say that as advertising has taken to segmentation, film marketing; especially bollywood has so far missed out on it. Given our varied culture nuances and linguistic and colour preferences, segmentation is both relevant and the way forward. It will emerge as a growing trend in India in near future. So the importance of marketing mantra in bollywood cannot be ruled out in the present scenario where marketing can turn the tide for an average movie and thus emerge DABANGG! REFERENCES
www.mediaknowall.com/gsce/Blockbuster/Movie Marketing.html [2] www.movieindustrymarketing.com [3] www.imdb.com [4] http://tasveerghar.net/cmsdesk/essay/106/index-2.html. [5] Kotler, Kellar, Koshy and Jha Marketing Management, Pearson Education [6] http://www.india study channel.com/project/4700Indian moviemarketing.aspx [7] http://www.scribd.com/doc/22495361/strategies for bollywood. [8] www.moneymint.in/business/marketing [9] Upadhyay, Nidhi, 3 Idiots: Exploring Innovative Marketing, Indian Journal of marketing,2010 [10] http://www.indiantelevision.com/mam/specialreport [11] http://www.icmrindia.org/case studies/catalogue/marketing/MKTG213.ktm [12] http://amitblogs.com/2011/01/13/the 5ps-ofbollywood marketing/ [1]
Reliance life insurance entered into a tie-up with the movie 3 idiots, and used the thought All is well, which is one of the mainstay themes in the communication of the film. J. Collaboration with Pantaloons
Futures Groups Pantaloon India has collaborated with Vinod Chopra Films to launch the 3 Idiots apparel and accessories collection. Starting at Rs.399, the Tshirts are available in 45 Pantaloons stores across the country. K. Critical Ratings A positive critics opinion builds a good image among viewers, especially for Early and Late Majority types of consumers, who generally watch a movie after intense recommendations/references/deliberation and after wide acceptance of the film.
Global Marketing Strategies

Sachin Dev1 and Swaranjeet Singh Sidhu2
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Lecturer in Management, Baba Farid College of Engineering & Technology, Deon, Bathinda Head PRO Department, Baba Farid College of Engineering & Technology, Deon, Bathinda international marketers must carefully evaluate all market segments in which they expect to compete. Whether to compete globally is a strategic decision (strategic intent) that will fundamentally affect the firm, including its operations and its management. For many companies, the decision to globalize remains an important and difficult one (global strategy and action). Typically, there are many issues behind a company`s decision to begin to compete in foreign markets. For some firms, going abroad is the result of a deliberate policy decision (exploiting market potential and growth); for others, it is a reaction to a specific business opportunity (global financial turmoil, etc.) or a competitive challenge (pressuring competitors). But, a decision of this magnitude is always a strategic proactive decision rather than simply a reaction (learning how to business abroad). Reasons for global expansion are mentioned below: a. Opportunistic global market development (diversifying markets) b. Following customers abroad (customer satisfaction) c. Pursuing geographic diversification (climate, topography, space, etc.) d. Exploiting different economic growth rates (gaining scale and scope) e. Exploiting product life cycle differences (technology) f. Pursuing potential abroad g. Globalizing for defensive reasons h. Pursuing a global logic or imperative (new markets and profits) Moreover, there can be several reasons to be mentioned including comparative advantage, economic trends, demographic conditions, competition at home, the stage in the product life cycle, tax structures and peace. To succeed in global marketing companies need to look carefully at their geographic expansion. To some extent, a firm makes a conscious decision about its extent of globalization by choosing a posture that may range from entirely domestic without any international involvement (domestic focus) to a global reach where the company devotes its entire marketing strategy to global competition. In the development of an international marketing strategy, the firm may decide to be domestic-only, home-country, host-country or regional/global-oriented. For example, when a firm which competes in the pharmaceutical industry which is heavily globalized, it has to set its own strategies to deal with global competitors.
AbstractUsually, selling focuses on the needs of the seller, marketing on the needs of the buyer (customer). The purpose of business is to get and keep a customer. Or, to use Peter Drucker`s more refined construction to create and keep a customer. (through product differentiation and price competition) International marketing involves the marketing of goods and services outside the organization`s home country. Multinational marketing is a complex form of international marketing that engages an organization in marketing operations in many countries. Global marketing refers to marketing activities coordinated and integrated across multiple markets. Technology and globalization shape the world. The first helps determine human preferences; the second, economic realities. Standardized consumer products, low price and technology are key points for successful globalization. The globalization of markets is at hand. With that, the multinational commercial world nears its end, and so does the multinational corporation. The world`s needs and desires have been irrevocably homogenized (market needs). This makes the multinational corporation obsolete and the global corporation absolute. Nobody is safe from global reach and the irresistible economies of scale (reduction of costs and prices) and scope. The multinational and global corporation are not the same thing. The multinational corporation operates in a number of countries and adjusts its products and practices in each at high relative costs. The global corporation operates with resolute constancy at low relative cost (price) as if the entire world (or major regions of it) were a single entity; it sells markets the same high-quality things similarly everywhere. But, many global firms produce the same products the same way for a global market but tailor their selling approaches to local variations in the global market. (Standardization vs Localization) The modern global corporation contrasts powerfully with the aging multinational corporation. Instead of adapting to superficial and even entrenched differences within and between nations, it will seek sensibly to force suitably (more or less) standardized products and practices on the entire globe. (think globally, act locally)
I. INTRODUCTION Although some would stem the foreign invasion through protective legislation, protectionism in the long run only raises living costs and protects inefficient domestic firms (national controls). The right answer is that companies must learn how to enter foreign markets and increase their global competitiveness. Firms that do venture abroad find the international marketplace far different from the domestic one. Market sizes, buyer behavior and marketing practices all vary, meaning that
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Tracking the development of the large global corporations today reveals a recurring, sequential pattern of expansion. The first step is to understand the international marketing environment, particularly the international trade system. Second, the company must consider what proportion of foreign to total sales to seek, whether to do business in a few or many countries and what types of countries to enter. The third step is to decide on which particular markets to enter and this calls for evaluating the probable rate of return on investment against the level of risk (market differences). Then, the company has to decide how to enter each attractive market. Many companies start as indirect or direct export exporters and then move to licensing, joint-ventures and finally direct investment; this company evolution has been called the internationalization process. Companies must next decide on the extent to which their products, promotion, price and distribution should be adapted to individual foreign markets. Finally, the company must develop an effective organization for pursuing international marketing. Most firms start with an export department and graduate to an international division. A few become global companies which means that top management plans and organizes on a global basis (organization history). II. GLOBAL MARKETING STRATEGIES A global marketing strategy that totally globalizes all marketing activities is not always achievable or desirable (differentiated globalization). In the early phases of development, global marketing strategies were assumed to be of one type only, offering the same marketing strategy across the globe. As marketers gained more experience, many other types of global marketing strategies became apparent. Some of those were much less complicated and exposed a smaller aspect of a marketing strategy to globalization. A more common approach is for a company to globalize its product strategy (product lines, product designs and brand names) and localize distribution and marketing communication. A. Integrated Global Marketing Strategy When a company pursues an integrated global marketing strategy, most elements of the marketing strategy have been globalized. Globalization includes not only the product but also the communications strategy, pricing and distribution as well as such strategic elements as segmentation and positioning. Such a strategy may be advisable for companies that face completely globalized customers along the lines. It also assumes that the way a given industry works is highly similar everywhere, thus allowing a company to unfold its strategy along similar paths in country by country. One company that fits the description of an integrated global marketing strategy to a large degree is
Coca Cola. That company has achieved a coherent, consistent and integrated global marketing strategy that covers almost all elements of its marketing program from segmentation to positioning, branding, distribution, bottling, advertising and more. Reality tells us that completely integrated global marketing strategies will continue to be the exception. However, there are many other types of partially globalized marketing strategies; each may be tailored to specific industry and competitive circumstances. B. Global Product Category Strategy Possibly the least integrated type of global marketing strategy is the global product category strategy. Leverage is gained from competing in the same category country after country and may come in the form of product technology or development costs. Selecting the form of global product category implies that the company while staying within that category will consider targeting different segments in each category or varying the product, advertising and branding according to local market requirements. Companies competing in the multi-domestic mode are frequently applying the global category strategy and leveraging knowledge across markets without pursuing standardization. That strategy works best if there are significant differences across markets and when few segments are present in market after market. Several traditional multinational players who had for decades pursued a multi-domestic marketing approach-tailoring marketing strategies to local market conditions and assigning management to local management teamshave been moving toward the global category strategy. Among them are Nestle, Unilever and Procter & Gamble, three large international consumer goods companies doing business in food and household goods. C. Global Segment Strategy A company that decides to target the same segment in many countries is following a global segment strategy. The company may develop an understanding of its customer base and leverage that experience around the world. In both consumer and industrial industries significant knowledge is accumulated when a company gains in-depth understanding of a niche or segment. A pure global segment strategy will even allow for different products, brands or advertising although some standardization is expected. The choices may consist of competing always in the upper or middle segment of a given consumer market or for a particular technical application in an industrial segment. Segment strategies are relatively new to global marketing. D. Global Marketing Mix Element Strategies These strategies pursue globalization along individual marketing mix elements such as pricing,
Global Marketing Strategies
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distribution, place, promotion, communications or product. They are partially globalized strategies that allow a company that customize other aspects of its marketing strategy. Although various types of strategies may apply, the most important ones are global product strategies, global advertising strategies and global branding strategies. Typically companies globalize those marketing mix elements that are subject to particularly strong global logic forces. A company facing strong global purchasing logic may globalize its account management practices or its pricing strategy. Another firm facing strong global information logic will find it important to globalize its communications strategy. E. Global Product Strategy Pursuing a global product strategy implies that a company has largely globalized its product offering. Although the product may not need to be completely standardized worldwide, key aspects or modules may in fact be globalized. Global product strategies require that product use conditions, expected features and required product functions be largely identical so that few variations or changes are needed. Companies pursuing a global product strategy are interested in leveraging the fact that all investments for producing and developing a given product have already been made. Global strategies will yield more volume, which will make the original investment easier to justify. F. Global Branding Strategies Global branding strategies consist of using the same brand name or logo worldwide. Companies want to leverage the creation of such brand names across many markets, because the launching of new brands requires a considerable marketing investment. Global branding strategies tend to be advisable if the target customers travel across country borders and will be exposed to products elsewhere. Global branding strategies also become important if target customers are exposed to advertising worldwide. This is often the case for industrial marketing customers who may read industry and trade journals from other countries. Increasingly, global branding has become important also for consumer products where cross-border advertising through international TV channels has become common. Even in some markets such as Eastern Europe, many consumers had become aware of brands offered in Western Europe before the liberalization of the economies in the early 1990s. Global branding allows a company to take advantage of such existing goodwill. Companies pursuing global branding strategies may include luxury product marketers who typically face a large fixed investment for the worldwide promotion of a product.
G. Global Advertising Strategy Globalized advertising is generally associated with the use of the same brand name across the world. However, a company may want to use different brand names partly for historic purposes. Many global firms have made acquisitions in other countries resulting in a number of local brands. These local brands have their own distinctive market and a company may find it counterproductive to change those names. Instead, the company may want to leverage a certain theme or advertising approach that may have been developed as a result of some global customer research. Global advertising themes are most advisable when a firm may market to customers seeking similar benefits across the world. Once the purchasing reason has been determined as similar, a common theme may be created to address it. H. Composite Global Marketing Strategy The above descriptions of the various global marketing models give the distinct impression that companies might be using one or the other generic strategy exclusively. Reality shows, however, that few companies consistently adhere to only one single strategy. More often companies adopt several generic global strategies and run them in parallel. A company might for one part of its business follow a global brand strategy while at the same time running local brands in other parts. Many firms are a mixture of different approaches, thus the term composite. I. Competitive Global Marketing Strategies
Two types of approaches emerge as of particular interest to us. First, there are a number of heated global marketing duels in which two firms compete with each other across the entire global chessboard. The second, game pits a global company versus a local company- a situation frequently faced in many markets. One of the longest running battles in global competition is the fight for market dominance between Coca Cola and PepsiCo, the world`s largest soft drink companies. Global firms are able to leverage their experience and market position in one market for the benefit of another. Consequently, the global firm is often a more potent competitor for a local company. Although global firms have superior resources, they often become inflexible after several successful market entries and tend to stay with standard approaches when flexibility is called for. In general, the global firms` strongest local competitors are those who watch global firms carefully and learn from their moves in other countries. With some global firms requiring several years before a product is introduced in all markets, local competitors in some markets can take advantage of such advance notice by building defenses or launching a preemptive attack on the same segment.
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III. CONCLUSION Global marketing is the process of focusing an organization`s resources on the selection and exploitation of global market opportunities consistent with and supportive of its short and long-term strategic objectives and goals. In this paper, I tried to analyze the ways a company competes in global environment by using different tactics. Those tactics differ in a way a companys capabilities and willingness permit. A company must be careful in using those tactics before globalizing its operations. Because sometimes those tactics may fail and result in loss of profit or even closure of the company.
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Collis, Montgomery, Corporate Strategy, A Resource-Based Approach1998. [2] David Jobber, Principles and Practice of Marketing. [3] David J. Reibstein, Marketing, Concepts, Strategies and Decisions. [4] Jeannet, JeanPierre, Global Marketing Strategies-5th edition, 2001. [5] Joel R. Evans, Barry Berman, Marketing. [6] Philip Kotler, Kevin Keller, Abraham Koshy and Mithileshwar Jha Ronald E. Turner, Marketing Management13th edition, 2009. [7] Subhash C. Jain, International Marketing Management5th edition, 1996. [8] Theodore Levitt, Harvard Business Review, The Globalization of MarketsMayJune 1983. [9] Theodore Levitt, Harvard Business Review, Marketing Myopia September-October 1975. [10] Thomas C. Kinnear, Kenneth L. Bernhardt, Principles of Marketing.
A Study of Consumer Behaviour for Cosmetic Product in Ambala District

Rita Goyal1 and Prabha Garg2
1 2
Assistant Professor Deptt. of Humanities, M.M. University, Mullana, Ambala Assistant Professor Deptt. of Humanities, M.M. University, Mullana, Ambala e-mail: gargprabha36@gmail.com, parthpallavi@yahoo.co.in self confidence but also is a form to express social politeness. II. INDIA AND COSMETICS The Indian cosmetic Industry has witnessed rapid growth over the last couple of decades. In that time the range of cosmetic and beauty products in India has widened tremendously. Beauty products manufacturers in India mostly cater to the great demand for cosmetics and toiletries that fall into the low or medium-price categories as the greatest demand in India has always been for these economically priced products. However, in recent years in the cosmetics market India competitors have begun to manufacture products to cater to an International need. For instance, herbal cosmetics from India have a great demand in the overseas market and many cosmetic products that are manufactured in India today are supplied to international suppliers of branded cosmetics products like The Body Shop for example. New facts that have been unveiled by a series of cosmetics business market analysis India reveal that many International companies are now outsourcing cosmetics to India and that the industry of cosmetic products India is growing at an average rate of almost twenty percent annually. This increase is attributed to two main factors. The first being the increase for the demand in Indian costeffective products and the second being the increased purchasing power of the average Indian.There are also many reasons for the increased demand for cosmetic products in particular. With the introduction of satellite television and a wide array of television channels as well as the Internet, the average Indian consumer is constantly bombarded with advertisements and information on new cosmetic products which often translates into the desire to purchase them. A boom in the Indian fashion industry has also been linked to the increased awareness of Indian people about their appearances and consequently contributed to an increase in the demand for cosmetic products. However, even with the massive surge in the popularity of cosmetic products, statistics have shown that the average Indian consumer spends much less on cosmetic products than consumers from every other part of the world. This means that the Indian cosmetic industry has
AbstractThe purpose of the research is to examine in some depth the phenomena of consumer behavior in buying cosmetic products in Ambala district. In order to cope with the research purpose, a theoretical framework is modified by adding the self-image construct. The research question is to what extent do beliefs in product attributes, self-image, normative influences, and attitudes toward applying cosmetic products, affect women consumers purchase intention and purchase behaviour in buying it. The female consumers in Ambala district are taken as research targets for this study to conduct. A questionnaire was developed and distributed. 250 completed questionnaires were returned and then were analysed by using factor analysis, correlation, regression analysis, and path methods as factor analysis and ANOVA are applied for examining various study hypotheses. Therefore, the modified theory of reasoned action is appropriate to explain the consumer behaviour in the purchase of specific cosmetic product.
I. INTRODUCTION The Indian cosmetics and personal care industry has been growing at a rate of 15-20 percent. But still the market penetration of cosmetics and toiletries products in India is meager. The cosmetic companies are now eyeing the small cities as it is an untapped market and present vast opportunities. The present study attempts to study the buying pattern of consumers and the impact of demographic variables thereon. Results indicate that the prime reason for using cosmetics was to look appealing followed by to be with current trends. Quality and Price were found to be the most important criterion for buying cosmetics. Cosmetic products are important consumer products with an essential role in everyone's life: apart from "traditional" cosmetic products, such as make-up and perfumes, it also includes products for personal hygiene, for example tooth-care products, shampoos and soaps. Today's cosmetic market is driven by innovation including new colour pallets, treatments targeted to specific skin types and unique formulas concentrating on different needs. The rapidly changing social situation in the latter part of the 20th century, such as revolutionary movement for womens equal rights, significantly affects the women consumer behaviors as well as improves their social status. The female consumers hold a different view about applying cosmetics ever since, in other words, they consider wearing cosmetics not only for enhancing
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an even greater potential for growth than it is presently experiencing. In the entire range of products that fall within the territory of the Indian cosmetic and toiletries market, the most popular items are color cosmetics, of which nail varnish, lipsticks and lip glosses account for the most sales. In this area, popular local brand names include Lakme and Revlon. Skin-care cosmetics have experienced a slower growth and products such as antiwrinkle creams, cleansers and toners, for instance are not as popular as facial creams, moisturizers and fairness creams in this genre. Companies like Ponds and Fair and Lovely rule the roost in this segment. Unilever and Procter & Gamble are major players in the Indian cosmetic sector of shampoos and hair products. However, the Indian hair-care cosmetic sector now has a few foreign brands to compete with these giants as well. Finally, one of the most popular cosmetic produced in India are herbal cosmetics which have gained popularity internationally in recent years. III. REVIEW OF LITERATURE A study by Voss and Parasuraman (2003) suggests that the purchase preference is primarily determined by price than quality during pre-purchase evaluation. Given explicit quality information, price had no effect on pre-purchase or post-consumption quality perceptions. Instead, post consumption quality evaluations had a favorable impact on price evaluations. Another study by Chernev (1997) analyzed the effect of common features on brand choice and the moderating role of attribute importance. It is argued that when brand attributes differ in importance, with the best value on the most important attribute, thus further polarizing brands choice shares. In contrast, when attributes are similar in their importance, common features are likely to have an opposite effect, equalizing brands share. Russo and France (1994), studied the nature of the choice process for commonly purchased nondurables by tracking eye fixations in a laboratory simulation of supermarket shelves. The findings are fully compatible with the general view that the choice process is constructed to adapt to theimmediate purchase environment. While describing about shopping orientation, Sinha (2003) reports that Indian Shoppers seek emotional value more than the functional value of shopping. Their orientation is based more on the entertainment value than on the functional value. The orientation is found to be affected primarily by the type of store, the frequency of buying and to some extent by the socio-economic classification. The retailers need to experiment with a format that attracts both types of shoppers. Research suggests that beauty consciousness
among people in general is changing. Vigneron and Johnson (1999) reported that people's needs for appearances and materialism were increasing. That is human beings wanted to satisfy the need to look and feel good. This created a boom in the cosmetic and toiletries sector across the world. Chambers Encyclopedia defines cosmetics as (a) articles intended to be rubbed, poured, sprinkled or sprayed on, introduced into or otherwise applied to the human body or any part thereof for cleaning, beautifying, promoting attractiveness or altering the appearance and (b) articles intended for use as a component of such articles. Now a variety of cosmetic and toiletries ranging from natural to sophisticated items are available in the market. The pattern and preference of use of these items vary according to different segments of gender, age and socio-economic class. When we review the literature on the cosmetic and toiletry industry, not many studies are available especially about Indian scenario. IV. OBJECTIVE OF THE STUDY
The main objective of the study is to analyze the purchase pattern of cosmetic consumers in Ambala. To describe the demographic profile of cosmetic consumers. To study the the cosmetic brand preferred by most women. To assess how brand influences the purchasing pattern. To analyze the different factors involved in purchase decision of cosmetics. To study the spending pattern of cosmetic consumers and its influence on society. To study the consumer perception towards cosmetic product. V. HYPOTHESIS H4.1: There is significant difference between women of different age. H4.2: There is significant difference between women of different marital status. H4.3: There is significant difference between women with different education degree. H4.4: There is significant difference between women with different occupation. H4.5: There is significant difference between women with different monthly income. H4.6: There is significant difference between women different in age started to use skin care product. H4.7: There is significant difference between women with different shopping information sources.
A Study of Consumer Behaviour for Cosmetic Product in Ambala District
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VI. SCOPE OF THE STUDY The study analyses the purchase patterns and spending styles of people belonging to different segments of Cosmetic consumers in Ambala. A. Demographic Profile of Consumers Area- Wise (Urban & Sub Urban), Gender Wise (Male & Female), Age Wise, Monthly Income, Education, Qualification and Occupational status. B. Major Factors Identified for Detailed Study Includes Purchase Style, Brand Selection, Point of Purchase, Location Preference, Brand Loyalty, Brand Awareness, Factors in Purchase Decision, and Spending Pattern. VII. RELEVANCE OF THE STUDY The state of Ambala is known for its consumerism. The present study will be helpful in Understanding the customer attitude of the different strata of people in the Ambala society. The classification of the different strata of the people are area wise, gender wise, occupational, income wise etc. The study will also be helpful in analyzing the customer attitude towards the different factors identified after the focus group discussions. It will also help in studying the effect of cosmetic purchase on the society specifically among the segments under consideration. VIII. RESEARCH METHODOLOGY This study was carried out in two stages. Stage 1: This stage of the research was exploratory in nature. This was done in two phases. The initial phase was to undertake detailed secondary search about cosmetic industry in India, its characteristics, major players in the market, market segmentation and purchase patterns. It was followed by a set of focus group discussions among cosmetic costumers to assess the consumer preferences, perceptions, cosmetic use and purchase patterns. The from this exploratory search was the basis for preparing the interview schedule for the next stage. Stage 2: A descriptive research was carried out at the second stage by applying a survey method. Data for the study were collected from cosmetic shops belonging to the Ambala District. The tool used for data collection is an interview schedule, which covered the demographic profile of consumers, details about purchase patterns, and various factors considered for buying
cosmetics. The consumers were interviewed at the leading cosmetic shops and convenient sampling was applied to select samples. The sample size for the study is 300. The ANOVA test of between consumers of different lifestyle in the value provided by product, including self-respect, self-satisfaction, excitement, sense of accomplishment, fun and enjoyment, warm relations with others, sense of belonging, security, and reverence, as shown in Table shows most significant value is less than 0.005, signifying consumers of various lifestyle are different in purchasing cosmetic owing to different value of product; while significant value is 0.160 for active consumers towards security value, showing there is no significant difference between active consumers in if the product provides security value. As a whole, this study accepts the hypothesis 3, there is significant difference between consumers of different lifestyle in each value. The ANOVA is made on demographic statistics to product attributes, product result, and product value. As indicated in Table the product attributes, product result, and product value will not be varied due to the difference in age, marital status, education degree, occupation, monthly income, monthly spending on nonnecessities, monthly budget for cosmetics, age started to use skin care products, age started to apply color cosmetics, and shopping information. This study rejects therefore the hypothesis 4, as there is no significant difference in product attributes - value - result valued by consumers of different demographic statistics variables.
TABLE: ANALYSIS OF DEMOGRAPHIC VARIANCE. Demographic Variance Age Marital status Education Monthly income Occupation Attributes 2.397 0.050 0.691 0.490 0.112 0.953 2.430 0.035 1.223 0.289 Consequences 0.786 0.535 -0.116 0.908 0.775 0.508 0.320 0.901 0.469 0.857 Value 1.582 0.178 0.293 0.770 0.497 0.684 0.577 0.718 1.290 0.254
IX. CONCLUSION All above discussion indicates to huge potential cosmetic markets in India. India is a very price sensitive market and the cosmetics and personal care product companies, especially the new entrants have had to work out new innovative strategies to suit Indian preferences and budgets to establish a hold on the market and establish a niche market for them. Given the price-sensitivity of the Indian consumer who do not normally prefer to fork out a large sum at one time, many cosmetic and toiletries companies launched their products in smaller pack sizes to make them more affordable.
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REFERENCES
[1] [2] [3] [4] Consumer Behaviour & Marketing Action, Thomson India Edition, 6th Edition, 2006. Consumer Behaviour & Marketing Research, Suja R Nair, Himalay Publishing House, 1st. Edition, 2004. Consumer Behaviour & Marketing Strategy, J Paul Peter, Jerry C Olson, 2nd. Edition, IRWIN, 1990. Consumer Behaviour : Basic Findings and Management Implications, G Zaltman and M Wallendorf, John Wiley & Sons, 1983. Consumer Behaviour in Marketing Strategy, John A Howard, Prentice Hall, 1989. Consumer Behaviour, David L Loudon & Albert J Della Bitta, TMGH, 4th. Edition, 2006. Consumer Behaviour, ICFAI University, May2005.
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Consumer Behaviour, James F Engel, Roger D Blackwell, Paul W Miniard, 8th. Edition, The Dryden Press, 1995. Consumer Behaviour, Leon G. Schiffman & Leslie Lazar Kanuk, PHIEEE, 9th. Edition, 2006. Consumer Behaviour, Roger D Blackwell, Paul W Miniard, & James F Engel, Thomson India Edition, 10th Edition, 2007. Marketing ManagementPlanning, Implementation & Control, Global Perspective, Indian Context, V S Ramaswamy & S Namakumari, MacMillan India Ltd., 3rd. Edition, 2003. Marketing Management, 12th. Edition, by Philip Kotler & Kevin Lane Keller. Marketing Management, Philip Kotler, PHIEEE, 11th. Edition, 2003. Marketing Research, G C Beri, TMGH, 3rd. Edition, 2000. K. S. Zhao and X. M. Zhang, Cosmetics Chemistry,Wunan Publisher, Taipei, 2006.
Factors Affecting Impulse Buying Behavior in the Malls with Special Reference to Punjab
Priyanka Sharma Prashar1 and Rahul Handa2
1 2
Assistant Professor, D.A.V. Institute of Engg. & Tech., Jalandhar Assistant Professor, Apeejay Institute of Management, Jalandhar malls coming up in metros among which Mumbai, Banglore, Delhi, and Pune rank among the top cities in country for retail growth. In case of Mumbai, malls comprise of 90% of total retail development in the pipeline. The success of mall in tier I cities is definitely influencing tier II cities and smaller towns to replicate the mall model. Thus the next logical step for a retailer is to tap this huge latent demand in tier II cities and establish a strong presence in such cities. And this can be seen in case of a second tier cities of Punjab like Amritsar, Jalandhar , Ludhiana etc. where recent market research shows that Punjab is likely to grow at a phenomenal rate in the coming 2-3 years as the retails revolution rocks India. With a projected growth rate, of around 25% in the retail sector and the tourism industry riding on the high wave, the state has become the perfect ground for investment prospects. As Punjab have such huge investment opportunities and is looking forward to retail revolution many players are trying to cash upon it. They are understanding the need of the present age and the demand of the growing tourists; comprehending the changing lifestyle and the increasing affluence of the society; realizing the potential of Punjab and the need of planned retailing, and hence they are bringing a new era that reflects itself with upcoming projects. The present study focuses on the viability of the Malls coming up in Punjab and the consumer behavior with regard to the same. II. OBJECTIVES OF THE STUDY The study focuses on following Objectives: 1. To identify the factors affecting the Impulse Buying Behavior. 2. Effects of Sales person, Display/ Images, Discount and Schemes, family & Psychology of Customer on purchase decisions. III. REVIEW OF LITERATURE Impulse buying has been considered a pervasive and distinctive phenomenon in the American lifestyle and has been receiving increasing attention from consumer researchers and theorists (Youn & Faber, 2000, p.179). Despite the negative aspects of the impulse buying behavior from past research, defining impulsive behavior as an irrational behavior (Ainslie, 1975; Levy, 1976; Rook & Fisher, 1995; Solnick, Kannenberg, Eckerman, & Waller, 1980), resulting
AbstractRetailing is the Last step in the distribution of merchandise- the last link in the supply chain connecting the bulk producers of commodities to the final consumers. One undergoing this process is referred to as Retailer. Retailing includes diverse products such as apparel, footwear, consumer durables, financial services and leisure. However in India retail trade remains in the backward state but at the same time is poised to expect a rapid growth in tandem with the economic growth. Indias $350-400 bn retail market -$7.5 bn organized retail is growing about 25-30% annually against economic growth of around 8% a year. With this onset many players are entering the market with various products and strategies to cash upon this development in retail sector, thereby increasing competition. Similarly there are various retail formats coming up to grab the opportunity in the retail sector. One of the most prominent retail formats coming up is Shopping Malls which can be defined an arrangement of retail stores and providing the right mix of shopping, food courts and entertainment and parking facilities.
I. INTRODUCTION An impulse purchase or impulse buy is an unplanned or otherwise spontaneous purchase. One who tends to make such purchases is referred to as an impulse purchaser or impulse buyer Impulse buying can also extend to so-called "big ticket" items such as automobiles and home appliances. Automobiles in particular are as much an emotional purchase as a rational one. This in turn leads auto dealers all over the world to market their products in a rapid-fire, almost carnival-like manner designed to appeal to emotion over reason. Impulse buying disrupts the normal decision making models in consumers' brains. The logical sequence of the consumers' actions is replaced with an irrational moment of self gratification. Impulse items appeal to the emotional side of consumers. Some items bought on impulse are not considered functional or necessary in the consumers' lives. Preventing impulse buying involves techniques such as setting budgets before shopping and taking time out before the purchase is made. The retail sector has been grown drastically over the years and there are a large number of Shopping Malls and various other retail formats coming up in Metros, Tier I and II cities giving tight competition to the existing ones. And because of this, the retailers are the main focus today and they are totally engrossed in knowing their customer and consumer. Against this backdrop, present study is based. There are several
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from a lack of behavioral control (Levy, 1976; Solnick et al., 1980), impulse purchases account for substantial sales across a broad range of product categories (Bellenger at al, 1978; Cobb & Hoyer, 1986; Han, Morgan, Kotsiopulos, & Kang-Park,1991; Kollat & Willet, 1967; Rook & Fisher, 1995; Weinberg & Gottwald, 1982). A study found that impulse purchases represented between 27% and 62% of all department store purchases (Bellenger et al., 1978). Rook and Hoch (1985) assert that most people have experienced an impulse purchase. Other research findings support this assertion revealing almost 90% of respondents have made grocery purchases on impulse occasionally (Welles, 1986), and between 30% and 50% of all purchases can be classified by the buyers themselves as impulse purchases (Bellenger et al., 1978; Cobb & Hoyer, 1986; Han et al., 1991; Kollat & Willett, 1967). Early studies on impulse buying were more concerned with the definitional issues distinguishing impulse buying from non-impulse buying and attempted to classify the types of impulse buying into one of several sub-categories (Bellenger et al., 1978; Kollat & Willet, 1967; Stern, 1962), rather than to understand impulse buying as a trait of consumer buying behavior. Therefore, this approach generated a theory that ignores the behavioral motivations of impulse buying for a large variety of products and,instead, focuses on a small number of relatively inexpensive products. However, this type of approach did not provide sufficient explanations as to why so many consumers appear to act on their buying impulse so frequently. Therefore, researchers began to re-focus attention on impulse buying behavior and to investigate the behavioral motivations of impulse buying (Cobb & Hoyer, 1986; Hausman, 2000; Piron, 1991; Rook, 1987; Rook & Gardner, 1993; Rook & Fisher, 1995; Weun, Jones, & Betty, 1998). The pervasiveness of impulse buying, even for relatively expensive products, led researchers to look at impulse buying as an inherent individual trait, rather than a response to inexpensive product offerings (Cobb & Hoyer, 1986; Rook, 1987). Recently, researchers appear to agree that impulse buying involves a hedonic or affective component (Piron, 1991; Puri, 1996; Rook & Fisher, 1995; Wenn et al, 1998). Todays research suggests that impulse buying behavior is much more complex than previously conceptualized; that this behavior stems from the desire to satisfy multiple needs that underlie many types of buying behavior (Hausman, 2000). IV. RESEARCH METHODOLOGY A. Type of Research Descriptive research
B. Population of the Study The population of the study comprised of residents of Punjab. C. Sample Size Sample consisted of 200 respondents of age group (18-35). D. Sampling and Research Tool Used Convenient sampling method was adopted to fill the questionnaire by personal interaction to the customers visiting to retail stores in malls. E. Data Analysis and Interpretation Personal meetings collected data with the respondents. And data was analyzed using the excel sheet, calculating out the various percentages. V. FINDING AND CONCLUSION Punjab, although being equipped with tier 2 cities where the behavior of people shows that they are ready to visit the mall. It shows the dearth of the malls, which are a good destination place for the Punjab residents. 10 out of 60 people (17%) befuddled the departmental and hypermarket formats with the mall. It explains the fact that malls, as a concept is still not very clear in the minds of the customers. If seen overall majority of people of Punjab mainly go for enjoying i.e., watching movies clubbed with eating out and other entertainment activities and rarely for shopping. Which shows that, drawing the crowd is however not same as drawing profits. When a mall opens, most of the visitors are window shoppers. Getting people once is easy but getting them to return and spend money depends on a mall promoters ability to produce a good mix of shoppertainment. 42% of respondents feels that Information System and the trail room in a mall are the features that help a customer while shopping, showing the importance of a well-managed store for a customer. The trial rooms as one of the important features shows that apparel stores are a major destination for a customer while deciding to shop in a mall. The average expenditure shows that the respondents love to spend more on watch; a highly stylish and expensive one but purchases it once in 3-4 years. It suggests a good market for watchmakers like Titan, Omega etc. The respondents going for the food court and multiplex in the mall generally spend around Rs. 300-500.
Factors Affecting Impulse Buying Behavior in the Malls with Special Reference to Punjab
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72% respondents feel the availability of the brands, 68% feel the books and music stores, 66% Feel food court and 58% feel that multiplex are the features in the malls that make them a priority against the other retail formats like supermarkets, hypermarkets, specialty stores, departmental stores etc. Most of the other formats store only one or two brands along with their private label brands. They even do not house so many product categories and not much into the entertainment zone. The 68% respondents feel that there is a severe need for a good shop catering to various types of books and music CDs, for all type of people according to the age, according to the occupation, etc. 66% of respondents felt that the quality offered by a particular brand, 43% felt the variety offered by the brand (which is not the case with most of the unbranded products) as the reason to patronize particular brand. Price being of least importance when it comes to the quality and variety offered. 34% of respondents feel that they can travel a distance of 0-6 km to visit a mall, 28% believe that they can travel 0-9 km and 20% can travel above 9 km and the rest can travel only 0-3 km. the reasons being the rise in fuel price and the time constraint. 52 % respondents go to the malls for the food chains, 50% go for enjoying the multiplex, to watch the movies in a comfortable environment, good ambience not provided by the single screen theaters 22 % respondents go to the malls for purchasing footwear and 20% for purchasing apparels generally spending around Rs. 1500 for purchasing one item in each category. VI. CONTRIBUTION OF THE STUDY
When consumers are exposed to these visual stimuli, they more likely make purchase decisions on impulse. This suggests that these visual merchandising practices, serving as stimuli that provoke a desire that ultimately motivates a consumer to make an unplanned purchase decision upon entering the store, significantly influence consumers impulse buying behaviors. Instore browsing appears to be positively affected by consumers impulse buying tendency, and in turn, has a positive impact on consumers positive feelings and impulse buying urges (Beatty & Ferrell, 1998). Despite the importance of this relationship, visual merchandising, which was relevant of browsing, has received minimal attention from researchers. This study showed usefulness of visual merchandising in understanding impulse buying. REFERENCES
[1] Blee, K. M., & Tickamyer, A. R. (1995). Racial differences in mens attitudes about womens gender roles. Journal of Marriage and the Family. 5(2), 7078. Chaulk, B., Johnson, P. J., & Bulcroft, R. (2003). Effects of marriage and children on financial risk tolerance: A synthesis of family development and prospect theory. dAstous, A., & Tremblay, S. (1989). The compulsive side of normal consumers: An empirical study in marketing thought and practice in the 1990s. Athens: The Athens School of Economics and Business, 1, 657669. Desarbo, W. S., & Edwards, E. (1996). Typologies of consumer buying: A constrained clusterwise regression approach. Journal of Consumer Psychology, 5(3), 231262. Eastman, J. K., Fredenburger, B., Campbell, D., & Calvert, S. (1997). The relationship between status consumption and materialism: A cross-cultural comparison of Chinese, Mexican and American students. Journal of Marketing Theory and Practice. Winter, 5266. Edwards, E. A. (1993). Development of a new scale for measuring compulsive buying behavior. Financial Counseling and Planning, 4, 6784. Fan, J. X., & AbdelGhany, M. (2004). Patterns of spending behavior and the relative position in the income distribution: Some empirical evidence. Journal of Family and Economic Issues, 25(2), 163177. Feinberg, R. A. (1986). Credit cards as spending facilitating stimuli: A conditioning interpretation. Journal of Consumer Research, 13, 348356. Finke, M. F., & Huston, S. J. (2003). The brighter side of financial risk: Financial risk tolerance and wealth. Journal of Family and Economic Issues, 24 (3), 233259. Meeks, C. B. (1998). Factors influencing adolescents' income and expenditures. Journal of Family and Economic Issues, 19, 131150. Miller, J., & Yung, S. (1990). The role of allowances in adolescent socialization. Youth & Society, 22, 137159. Yamauchi, K. & Templar, D. (1982). The development of a money attitudes scale. Journal of Personality Assessment, 46, 522528. Zanna, M. P., & Fazio, R. H. (1982). The attitude-behavior relation: Moving toward a third generation of research. Consistency in social behavior: The Ontario symposium (Vol. 2, pp. 283302). Hillsdale, NJ: Erlbaum.
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A significant contribution of the present study is its elucidation of the relationship between impulse buying and visual merchandising, which has been neglected in academic research (Buttle, 1988). Despite the utilization of visual merchandising to improve desirability of products and to encourage consumers buying behavior, a dearth of research exists that investigates its influence on consumer buying behavior. The result of the present study proves that there is a pivotal relationship between college students impulse buying behaviors and two types of visual merchandising practices: in-store form/mannequin display and promotional signage.
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E-Mail Marketing: The New Tool for Success

Kanwal Gurleen1 and Varun Nayyar2
1 2
Assistant Professor, Apeejay Institute of Management, Jalandhar Assistant Professor, Apeejay Institute of Management, Jalandhar With the reception of email by various consumers does not mean the product is surely going to get sold in the market as getting the email to the consumer is only half of the battle that is finished. The information that is to be send has to grab their attention and allure them to take the link to companys website and make a purchase. The email should be a teaser so that it must make the consumer curious enough to go directly to companys website at that very moment. There is a lot of competition out there and businesses are having to come up with wittier and smarter email marketing campaigns to keep their consumers interested. E-mail marketing is a form of direct marketing which uses electronic mail as a means of communicating commercial or fundraising messages to an audience. In its broadest sense, every e-mail sent to a potential or current customer could be considered email marketing as it covers sending promotional emails to customers in order to acquire new customers or to persuade existing customers so that they can take postpurchase decision to buy the same product in a frequent session. These emails are designed to encourage customer to be loyal and enhance the customer relationship. Email is a simple, fast, cost-effective and powerful way to communicate with customers and prospects. Email marketing is a very cost-effective method for a business to market its products or services to a broad audience. If you can plan an effective email campaign with a quality business email list then you can get great results from it. An important advantage of business email marketing is that it allows you to reach a large audience with minimal effort. It is relatively cheap to launch a business to business email marketing campaign when compared to other marketing methods. With the growing popularity of the Internet more and more people are communicating via email. This fast and efficient method of communication is perhaps the preferred method of online. As a Customer Relationship Management (CRM) and lead generation tool, email marketing is unparalleled in terms of flexibility. You can use email to deliver e-newsletters, promote special offers and discounts, distribute online catalogs, send new product announcements or invitations, and even support an existing advertising or direct mail campaign. For example, you might send a coupon in the mail and send an email a week later to remind people to use the coupon on your site or bring it to your store. communication at the present with thousands upon
AbstractNumerous businesses are spinning to email marketing campaigns because they have lower costs and better response rates when compared to other direct marketing methods. Email marketing is, as the name suggests, the use of email in marketing communications. It will remains popular marketing choice due to the fact that it is relatively simple to adopt, and have the scope to reach a large audience resulting an accurate measure. This tool of marketing is beneficial in various ways like Increasing sales, Generate repeat business, Increase average order value, Increasing offline sales, Up-sell and Cross-sell Products and Services, Gain honest valuable feedback etc Just like a garden only bears fruit if managed properly, so it is with email marketing if done by following the basic guidelines then only fruitful results can be achieved otherwise by Targeting wrong person, Sending wrong males, Sending of worms and viruses by hackers can bring up wrong image in the mind of the consumer for the organisation.
I. INTRODUCTION TO E-MAIL MARKETING Every single indivual jump on his work and personal computers numerous times each day to check our email. Its outcome is accepted as a regular method of communication for work, personal relationships, and marketing. Everytime we open our mail account we receive more emails encouraging to purchase items this is because email marketing has come one of the most popular methods of reaching consumers who make purchases online. Email come into existence in the 1990s as the internet was starting to become more popular. Businesses quickly figured out this was a great way to reach customers. It was also less expensive than mailing out advertisements to homes. By the year 1995 the number of email advertisements sent out that year was more than the number sent out by regular mail. Use of internet was earlier limited for research, entertainment and work related functions. Then the idea of shopping online became very convenient in our daily routine. After all, it allows every single buyer to compare prices in a spark. Sometimes it becomes tough to run from store to store so email marketing helps to manage our time very conviently.It has played a great role for those who are living in remote locations as there chance to get all the gadgets become desireable. It is only logical that consumers are paying more attention to email marketing since this is the method they are using to do a large portion of their shopping. Email marketing has become mainstream. Almost every website allows the consumer an opportunity to give their email address and approval to being solicited with email advertising.
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thousands of emails being sent each day. The many uses of email are what make it so appealing and so versatile.
most effective tool for generating conversions, just behind SEO. IV. SURVEYS RESULTS BY MARKETER.COM
II. SURVEYS BY VARIOUS ASSOCIATIONS

A. Surveys Results of Direct Marketing Association(DMA) Direct Marketing Association economic-impact study claiming e-mails return on investment far outshines the ROI of other marketing channels, but is slowly slipping. B. Employment Commercial e-mail currently employs 110,000 people and is projected to employ 112,700 in 2010, according to the DMA. C. Return on Investment Return on direct mail is near to $15.22 for every dollar spent in 2009 while catalogs returned $17.32, according to the studying in 2010. D. Sales Increment E-mail marketing drove $26 billion in sales in 2009 down from $26.4 billion in 2008 and is projected to drive $27.9 billion in 2010, according to the DMA. E. Decrement in Cost Structure Moreover, marketers spent $44.4 billion on direct mail in 2009 down from $52.6 billion in 2008 and are projected to spend $45.5 billion on the channel in 2010, according to the DMA. In Datran Media's 2010 Annual Marketing & Media Survey, 39.4% of industry executives said the advertising channel that performed strongest for them was email. The top result is shown below III. SURVEYS RESULTS BY FORBES What advertising channels performed the strongest for your company in 2009?
A summer 2009 survey of Irish marketers found 79% rating email marketing as important or very important to their marketing strategy V. MERITS OF EMAIL MARKETING Email marketing is an extremely cost-effective way to communicate with prospects and existing customers. Similar to direct mail, email is a faster, cheaper and easier way to communicate with your prospects and customers. It doesn't matter what type of business or industry you're in, email marketing can have a positive impact on your sales. Here are the top 5 benefits of email marketing, in no particular order: A. Increases Sales Did you know the average person has to see or hear about your product 7 times before they will buy from you? Using email marketing you can send a series of messages to your email subscribers, educating them about your products and services. An educated prospect trusts you, and when you have a customers trust selling becomes a painless, more natural process - increasing your sales as a result. Even if they aren't in the market for your product or service now, you'll be first on their mind when they do need what you offer. Finally, email is a great way to send promotional messsages. If prospects want to know when you release new stock or when your next sale is, email can put your message in front of them in minutes... for just a few cents per subscriber.
The Ad Effectiveness Survey commissioned by Forbes Media in Feb/March 2009 revealed that email and e-newsletter marketing are considered the second-
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B. Generate Repeat Business What's better than someone buying from you once? How about the same person buying from you over and over again, referring friends and family members in the process? As you may already know, it costs a lot more to acquire a new customer then it does to keep an existing one, and email marketing is your secret weapon when it comes to customer retention. Keeping in touch with customers regularly after they buy is a great way to generate repeat sales. For example, you can offer them special deals on items that compliment what they've already bought from you. Let's say you sell electronic equipment and John (a fictional customer) has already purchased a TV from you. Why not send him a follow up email 2 weeks later advertising a special promotion on surround sound setups? The possibility for repeat sales is only limited by your imagination. C. Increase Average Order Value For most industries email provides a great way to up-sell customers and can easily add up to 30% to your average order value when done correctly. For example, if you sell a service like dry cleaning, you can email your customers about other services you provide, such as ironing business shirts and home delivery services. You save time for them and generate more sales for youself in the process, so it's a win-win situation for everyone. D. Increase Offline Sales Have you ever used the Internet to research a product and then gone into a shop to buy it? According to a recent survey by Marketing Sherpa that's what 59% of Internet users do on a regular basis. If you run an offline business and don't have a web site, email marketing is a great way to drive foot traffic through your door - just include your address so potential customers can find you! E. Gain Honest & Valuable Feedback It's easy to get honest feedback about your products and services by simply asking and because email is a form of faceless communication, your subscribers will be more honest with you. For example, if you send an email asking what they think of your customer service or how you could improve your products you'll be surprised at the invaluable, honest feedback you'll receive. VI. GLOBAL REACH Another advantage of email marketing over advertising with mass media is that it is not limited to any specific region: you can reach anyone in the world who has internet access in just a few minutes.
A. Immediate Effect After an email is opened, it doesn't take long for your audience to take immediate action. It takes your customers only a few clicks to complete a purchase, while other media require people to send a letter, make a phone call or go to a shop. This is why conversion rates are better with email marketing. B. Supports Segmentation Costumer list segmentation allows sending very focused email campaigns. The results of the emailing campaigns depend on how relevant the campaign is to the recipients. C. Affordable When doing email marketing not much money has to be spent. All that is needed is a computer, internet, and time to write an email. Email marketing in general is free although you will have to pay for other things in order to do so. VII. DEMERITS OF EMAIL MARKETING A. Deliverability It conveys that there is difficulty faced in getting of messages delivered through different internet service providers (ISPs), corporate firewalls and webmail systems. B. Renderability As we all know its very difficult while displaying the creativity as intended within the in-box of different email reading systems. C. Email Response Decay Email recipients are most responsive when they first subscribe to an email. It is difficult to keep them engaged. D. Communications Preferences Recipients will have different preferences for email offers, content and frequency which affect engagement and response. These have to be managed through communications preferences. E. Resource Intensive Although email offers great opportunities for targeting, personalisation and more frequent communications, additional people and technology resources are required to deliver these. F. Undelivered Email It may be difficult to get email through a spam filter as many companies use e-mail marketing to communicate with existing customers, but many other companies send unsolicited bulk e-mail.
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G. Email Overload Even when an email gets through to the consumer, there is so much email that needs to be looked at sometimes it is difficult for the individual to distinguish between solicited and unsolicited email, as well as have time to read through the email. VIII. RESOURCES Additional people and technology resources are required to deliver a sophisticated email newsletter that engages the consumer. In conclusion, while email advertising may have few disadvantages, the good out weigh those. By allowing you to write personalized, effective opt-in email messages, and distributing to targeted prospects, result in a higher profits from your targeted web site. Email marketing gives your business a real edge in todays highly competitive marketplace. As more and more consumers use email as a primary medium for communication, it will become a critical component of your marketing efforts. Taking the time to reach the right customers, provide the best information, inspire a response, and track your success can make email one of the most cost-effective tools in your marketing arsenal While highly personable email advertising enables you to personalize and greet every person you target. This helps in creating a special bond with the prospects and
allows you to build customer and reseller loyalty and acquire new customers. The interactive ness of email advertising allows you to initiate campaigns using whatever sales pitch you like, that will be of interest to your prospect and grab their attention and interest immediately. It is extremely beneficial that most internet marketing companies offer prepackaged and custom-built lists to suit your campaign. REFERENCES
[1] Venkat Ram Raj,T, Azeem, M.A (December, 2008) Email Marketing a Buisness Imperative. Indian Journal of Marketing, 38(12): 1521 [2] Saeed, M., Vinayek, R. & Kumar, N. (September, 2008) Email Marekting an Emerging Brand Marketing Strategy. Indian journal of Marketing, 38(9): 311 [3] http://www.icmrindia.org/casestudies/catalogue/Marketing/MK TG184.htm [4] http://ezinearticles.com/?BenefitsofEmail Marketing&id=3834102 [5] http://www.branica.com/forums/affiliaterevenue/676email marketing-benefits.html [6] http://www.advertisersjournal.com/theadvantagesofemail marketingfor-businesses [7] Dasari, S. A (December, 2009) Qualitative study on Branding of Steel Products In India. Indian Journal of Marketing, 39 (12): 915 [8] http://directmag.com/magilla/1020emailroistillslipping/ [9] http://freearticles.com/article/AdvantagesAndDisadvantages OfEmailMarketing/1181 [10] http://smallbusiness.yahoo.com/rarticlea6669m6sc39 email_marketing_overview-i
Measuring Service Quality: A Comparative Study of Urban and Rural Customers of a Public Bank
Mohd. Adil
Research Scholar, UGC-JRF, Department of Business Administration, Aligarh Muslim University, Aligarh e-mail: adilcms07@gmail.com
AbstractIn India, the service sector has assumed greater economic importance over the past decade and enjoys the largest share in GDP. Being an important part of this sector, banking and financial services are facing the most important challenges i.e. shift in the demographic profile of Indian consumers in terms of income level and cultural trends, both in cities as well as in rural hinterland. Delivering quality service to customers thereby, fulfilling their life style aspirations is a must for success. Hence, it needs to be continuously evaluated. Surprisingly, comparative studies focussing on service quality at public bank both in rural as well as urban area are few and far between. As such, this research strives to compare customers perceptions of service quality of urban and rural branches of SBI in Aligarh, a B class city of Uttar Pradesh. An English version as well as a Hindi version of SERVPERF scale was administered on 234 odd respondents to measure the service quality. This scale was further used to determine different dimensions of service quality. SPSS 17.0 was used in carrying out several statistical analyses like reliability test of the scale, psychometric properties and t-test to understand the impact of SERVPERF dimensions (tangibility, reliability, responsiveness, assurance and empathy) on customer satisfaction. It was found that customers of urban bank branch of SBI are more satisfied with the service quality, than those of rural branches. Keywords: Service Quality, SERVPERF, Customer Satisfaction, Public Bank, India
both urban and rural consumers alike. This is all the more required in case of emerging economy like India which has been witnessing a sustained growth in income. As such, this research strives to identify and prioritise dimensions of service quality which will ensure maximum customer satisfaction. For this purpose, the study uses the service performance (SERVPERF) scale which was developed by Cronin and Taylor (1992). To our knowledge, this study is unique as it attempts to rectify this situation by providing an insight into service quality perceptions of SBI bank patrons residing in rural areas as well as in urban areas of Aligarh. II. LITERATURE REVIEW Banking being a high involvement industry, delivering quality services and products to the customer is essential for success and survival in todays global and highly competitive banking environment (Wang et al., 2003). It is Service quality that allows the company to differentiate itself from its competitors (Arasli et al. 2005). Customers tend to measure a banks service quality in terms of the personal support they receive, rather than the technical support. Furthermore, researchers suggest that as service quality improves, the probability of customer satisfaction increases. Increased customer satisfaction leads to behavioural outcomes such as commitment, intent to stay (customer retention), creation of a mutually rewarding relationship (bond) between the service provider and the user, increased customer tolerance for service failures and positive word-ofmouth advertising about the organization (Thuy and Hau, 2010).
TABLE 1: CUSTOMER PERCEPTIONS OF QUALITY AND CUSTOMER SATISFACTION
I. INTRODUCTION The Indian banking sector today has the same sense of excitement and opportunity that is evident in the Indian economy. Demographic shifts in terms of income levels and cultural shifts in term of life-style aspirations are changing the profile of Indian consumer not only in cities but also in rural hinterland and are expected to be the key drivers of economic growth. The Indian consumer irrespective of urban-rural divide now seeks to fulfill his life styles aspirations at a younger age. This is leading to a growing demand for competitive, sophisticated retail banking services. Comparative studies between perception of urban and rural consumers focussing on public banks service quality are few and far between. The extant literature primarily delves into service quality attributes important for urban consumers only. Thus there is a pressing need to bridge this gap by carrying out studies encompassing
Source: Zeithaml et al. (2008, p.109)
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Service quality is at the root of customer satisfaction and is linked to such behavioural outcomes as word of mouth, complaint, recommending, and switching (Yavas et al. 2004). There has been much interest in the relationship between service quality and outcomes such as retention, loyalty, and profitability. In order to examine these relationships, researchers first ought to measure service quality. A. Service Performance Measures As the services possess the element of intangibility it is very difficult to have a standardized and scientific tool for measurement (Parasuraman et al., 1991). However, Parasuraman et al. (1985, 1988) developed SERVQUAL, a 22-item scale (Parasuraman et al., 1988) to measure service quality along five dimensions: reliability, responsiveness, assurance, empathy, and tangibles. The instrument has been revised and extensively used in India in a variety of service settings such as banking, retail stores, telecommunications companies, hospitals and fast food restaurants. Cronin and Taylor (1992, 1994) argue that simply measuring performance provides a better measure of service quality and found that the use of performance only does perform better than the difference score suggested by Parasuraman et al. (1988) and hence proposed a performance-based scale SERVPERF, a 22items scale to measure service quality. However author feels that SERVPERF outperformed SERVQUAL scale because the SERVPERF scale represents marked improvement over the SERVQUAL scale (Adil and Khan, 2011). III. RESEARCH METHODOLOGY A. Objectives
C. The Sampling Plan Convenient sampling technique was followed in the study and respondents were asked to respond to the statements in the SERVPERF scale. The questionnaire was personally administered on roughly 300 respondents having their bank accounts in S.B.I. located both in urban and rural areas of Aligarh city. In all, 270 completed questionnaires were returned; of these 234 responses were found suitable for further analysis giving a satisfactory response rate of 78 per cent. The rationale behind selecting State Bank of India as a part of the study was its extensive reach in the rural and semi-rural areas of the country and touching lives of millions of its customers. It is the most popular bank of the country with more than five thousand branches in rural areas. D. The Research Instrument The SERVPERF measuring instrument developed by Cronin and Taylor (1994) was adapted and used for the present study. The research instrument consisted of structured questionnaire and the respondents were required to indicate their level of involvement with the help of a seven-point rating scale where 1= Strongly Disagree and 7= Strongly Agree. The research instrument consisted of two categories of questions. The first set of questions was related to demographics while the second set dealt with various items of standard SERVPERF scale used also by previous researchers (Gao et al., 2006; Vanniarajan et al., 2008) for measuring bank service quality. Initially, the research instrument was developed in English and given independently to three subject experts from the subject area to obtain feedback regarding the content, layout, wording and ease of understanding the measurement items. The English version of the research instrument was later translated into Hindi which is commonly spoken in villages of Western Uttar Pradesh (where Aligarh district is situated). As an additional precaution, the Hindi version was first pre-tested on a representative sample of 10 customers of rural banks; and further tested for originality by back-translation method. IV. FINDINGS AND DISCUSSION Out of the total sample size of 234 participants, 125 (53.4%) respondents had their bank account in urban area while 109 (46.6%) had in rural branch of S.B.I. The demographic profile of the respondent is presented in Table-1 which shows that more than half of the respondents were male; 136 (58.1%). A total of 73 (31.2%) were between the ages of 20-25. Respondents were mostly single (66.2%). Close to one-third (32.5%) of the respondents were students.
To explore the dimensions of SERVPERF that ensures maximum satisfaction for customers in urban and rural areas. To prioritize relevant service quality dimensions from the point of view of customers of urban and rural retail bank.
B. Hypothesis H1. Significant differences do not exist between the customers of SBI both in urban and rural branches on the service quality dimension- tangibility, reliability, assurance, responsiveness and empathy. H2. Significant differences do not exist in the importance of various service quality dimensionstangibility, reliability, assurance, responsiveness and empathy for customer of both urban and rural branches of SBI.
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National Conference on Strategic Management of Business Development: Issues and Prospects TABLE 1: RESPONDENTS PROFILE
Variable SBI Location Urban area Rural area Total Gender Male Female Total Age 14-19 20-25 26-30 31-40 41-60 Total Marital Status Single Married Total Occupation Students Business Farming Professionals Service Total
Frequency 125 109 234 136 98 234 33 73 58 43 27 234 155 79 234 76 51 41 36 30 234
% 53.4 46.6 100 58.1 41.9 100 14.1 31.2 24.8 18.4 11.5 100 66.2 33.8 100 32.5 21.8 17.5 15.4 12.8 100
The highly rated items in urban bank sample compared to rural bank sample wereEmployees are neat and clean (4.72), up-to-date equipment (5.09), visual service material (5.05), employees are knowledgeable (5.09), feel safe in transaction (5.16), the bank gives personal assistance to customers (Mean = 4.32), has convenient operating hours (Mean = 4.74), and the employee knows what customers needs are (Mean = 4.75). In particular, there was an interesting contrast between samples on assurance and empathy dimensions. For the three statements measuring assurance dimension, urban bank customers evaluated banks services more favourable than the rural bank samples. Similarly, in the empathy dimension of service quality, the urban bank again was more favourable than the rural bank sample. Among the five statements, two statements measuring the empathy dimension (t-value: 7.165 and 4.654) evaluated the SERVPERF of urban SBI branches more favourably than the rural branches. Correspondingly, there was a noticeable difference in the rating of the statements employees are welldressed and neat and bank uses up-to-date equipments of tangibles (t-value: 0.370 and 0.337) and the statements employees make me feel safe
TABLE 3: SERVPERF MEASURES Mean S.D. Mean S.D. TANGIBILITY Equipment Neat Employees Physical Facilities Visual Material RELIABILITY Services at promised time Services as promised Error free records Service right at the first time Solving customers problem ASSURANCE Trustworthy Safe in Transaction Courteous Knowledgeable RESPONSIVENESS Prompt service Customer request Tells in advance Willing to help EMPATHY Individual attention Specific needs Personal assistance Operating hours Best interest 5.09 4.72 4.49 5.05 4.88 4.54 4.50 5.43 4.60 5.02 5.16 4.56 5.09 4.50 5.03 4.35 4.89 4.56 4.75 4.32 4.74 4.82 1.54 1.54 1.51 1.64 1.67 1.74 1.64 1.46 1.80 1.50 1.52 1.54 1.57 1.77 1.27 1.85 1.64 1.80 1.66 1.65 1.60 1.69 4.88 4.64 4.57 4.94 4.95 4.73 4.54 4.84 4.64 4.72 4.81 4.73 4.89 4.68 4.62 4.62 4.62 4.29 4.63 4.00 4.61 4.83 1.70 1.79 1.61 1.67 1.47 1.62 1.51 1.38 1.86 1.55 1.71 1.47 1.56 1.72 1.76 1.52 1.63 1.61 1.68 1.71 1.49 1.78 T 0.337 0.370 -2.498 -4.220 -0.439 2.083 -2.808 -4.230 -2.971 -0838 0.336 -3.230 0.380 -1.177 -1.822 -3.280 -4.303 -4.654 -1.156 -7.165 -2.414 -2.765
A. Measure Validation The next step of analysis dealt with how well the reliability of SERVPERF scale exhibited when used in assessing service quality of SBI in urban as well as rural areas of Aligarh city. Using coefficient alpha (Cronbach, 1951), all the dimensions reflected acceptable reliability; the alpha values of all the measures were greater than 0.7 (Table 2). The customer of urban and rural SBI bank were asked to evaluate the quality of services provided by the respective banks in which they held accounts utilizing the overall measures and various SERVPERF scale items. The results are summarized in
TABLE 2: RELIABILITY ANALYSIS S.Q. Dimensions Tangibles Reliability Assurance Responsiveness Empathy Overall Urban Rural Cronbachs Alpha No. of Items Cronbachs Alpha 0.776 4 0.838 0.718 5 0.764 0.892 4 0.741 0.723 4 0.877 0.815 5 0.730 0.854 22 0.851
Table 3. The individuals of urban sample are highly satisfied with the bank service in comparison to the individuals of rural sector. The highly rated variables in rural bank sample compared to urban bank sample werePhysical facilities of the bank is appealing (Mean = 4.57), promises are kept (Mean = 4.73), services at promised time (Mean = 4.95) and error free records (Mean =4.54), service right at the first time (4.84), solving customers problems (4.64), tells what they do (4.62).
in transaction and employees of my bank are knowledgeable measuring assurance (t-value: 0.336 and 0.380) of rural and urban SBI branches services. Urban branch customers rated the respective statements of the two dimensions higher than the rural branch customers. However, surprisingly rural branch
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customers gave their thumb up to the statement bank provides services as promised measuring reliability dimension of the SERVPERF (t-value: 2.083). V. CONCLUSION In a highly techno and competitive era, with little or no distinction in the product offerings, it is the quality of service that sets one bank apart from another. The results of the study indicate that tangibility and reliability provides maximum satisfaction to customers of rural as well as urban sector banks. The SBI need to focus on other dimensions of SERVPERF such as responsiveness, assurance and empathy which play an important role in service quality of rural bank branches. Superior SERVPERF performance will ensure maximum customer satisfaction and also help in attaining customers loyalty. Improved customer satisfaction through SERVPERF would result in a positive word-of-mouth and consequently better customer acquisition and retention. VI. LIMITATIONS AND FUTURE RESEARCH The limitation associated with this study is that the sample is taken only from one bank, i.e. State Bank of India. This is done in consideration of the limited number of rural banks available in Aligarh city. The sample size is 234, which also in some way a small number in contrast to the actual number of customers attached with SBI. Future research needs to examine a wider sample extending to maximum number of public and rural sector banks. Second, this study considered the influence of two factors (tangibles and intangibles) on customer satisfaction in banks. There might be other situational factors like advertising, price, re-purchase intention and word-of-mouth recommendation. Subsequent empirical research should look at the impact of these factors on customer expectations (Yavas et al., 1997). Fourth, the results obtained through the study relate to only those respondents chosen through convenience sampling, hence this study should be seen as giving a direction for future research and generalization from this study to a wider population of retail banking industry should be done with some caution.
REFERENCES
[1] Adil, Mohd. and Khan, M. Naved (2011), Perception of service quality at rural branches of Indian retail banks: An empirical study, National Conference on Rural Retail Marketing, IIMT Aligarh. Arasli, H., Katircioglu, S.T., Smadi, S.M., (2005). A comparison of service quality in the banking industry. International Journal of Bank Marketing, 23 (7), pp.508526. Cronbach, L. J. (1951), Coefficient Alpha and the internal structure of tests, Psychometrica, 16, 297334. Cronin, J. and Taylor, S.A. (1992), Measuring Service Quality: A Re-examination and Extension, Journal of Marketing, 56, pp.5567. Cronin Jr., J.J., Taylor, S.A., 1994. SERVPERF versus SERVQUAL: Reconciling performance-based and perceptionsminus-expectations measurement of service quality. Journal of Marketing, 58, pp. 125131. Gao, C., Jia, J., Zhao, P., (2006). Service Quality and AttributeBased Performance of Chinese Retail Banks. IEEE. Parasuraman, A., Zeithaml, V. A., and Berry, L.L. (1985) "A Conceptual Model of Service Quality and Its Implications for Future Research," Journal of Marketing, pp. 4150 Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1988), SERVQUAL: A Multiple-Item Scale For Measuring Consumer Perceptions Of Service Quality, Journal Of Retailing, 64 (1), pp. 1240 Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1991), Refinement And Reassessment Of The SERVQUAL Scale, Journal of Retailing, 67 (4), pp. 420450. Thuy, P.N. & Hau, L.N., (2010). Service personal values and customer loyalty: A study of banking services in a transitional economy. International Journal of Bank Marketing, 28 (6), pp. 465478 Vanniarajan, T.; Nainamohamed, K., (2008), "Mapping Service Quality in the Indian Banking Industry", Journal of Marketing & communication, 4 (1), pp. 72536. Wang, Y., Lo, H. and Hui, Y.V. (2003), The antecedents of service quality and product quality and their influences on bank reputation: evidence from banking industry in China, Managing Service Quality, 13 (1), pp. 7283. Yavas, U., Bilgin, Z. and Shemwell, D.J. (1997), Service quality in the banking sector in an emerging economy: a consumer survey, International Journal of Bank Marketing, 15 (6), pp. 21723. Yavas, U., Benkenstein, M. and Studhldreier, U. (2004), Relationships between service quality and behavioral outcomes: a study of private bank customers in Germany, International Journal of Bank Marketing, 22 (2), pp. 14757. Zeithaml V A, Bitner Mary Jo and Gremler Dwayne (2008), Services Marketing, The Tata McGrawHill Companies, New Delhi, 4th Edition.
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Stratergy Behind 4Ps

Sonam Sahni and Amrinder Singh
S.G.T.B. Khalsa College Anandpur Sahib
AbstractThe term marketing mix was coined in 1953 by Neil Borden in his American Marketing Association which described the role of marketing manager as a mixer of ingredients. A prominent marketer E. Jerone McCarthy proposed a four P classification in 1960 which has been wide used. When developing a marketing strategy one of the most important things to take into consideration is the marketing mix viz. PRODUCT, PRICE, PLACE and PROMOTION. Each P has to be thoroughly analyzed keeping in mind the internal & external factors affecting the development of the organization in order to generate the desired results. Product development, Expanding or reducing the existent product line, Quality, degree of Innovation and Product differentiation is the commonly used strategy to be ahead in the competition. Pricing the product is a complex process. The company will decide on the strategies like Penetration pricing, competition pricing, psychological pricing, premium pricing & so forth. The placement strategy refers to the Distribution channels that can provide best level of efficiency. The promotion strategy goes hand in hand with all Advertising aspects. It is aimed at creating a positive image for every product for a certain company. Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat.
II. OBJECTIVES The objective of the paper is to analyze the importance of each P in the marketing mix in order to successfully achieve the marketing objectives of the company. The study of various strategies to be followed by the companies to have an appropriate mix of each element in order to satisfy the needs of the targeted customers. Examples from the industry to support the facts stated in the research. Understanding the importance of integrating the different strategies of marketing mix to generate revenues for the organization. III.PRODUCT MIX STRATEGY Product Mix Strategy is about determining features of your product or service. Product mix strategy deals with: The product life cycle Brand name Packaging Design Quality Safety After sales service IV. MARKETING MIX PRICING The price of a product can be fixed in many ways. Marketing mix pricing is a tool that helps in settling on a pricing strategy, considering the followings: Retail price Wholesale price Special offers Penetration pricing Price skimming Optional product pricing Geographical pricing V. PLACE (DISTRIBUTION) MARKETING MIX Place marketing mix is nothing but distributing product to the customer. Few instances for this: Warehousing Distribution centers Reverse Logistics Transportation Inventory Management
I. INTRODUCTION In the era of Globalization when the world is going flat, the markets are expanding & crossing the national boundaries; here the company needs to analyze the marketing mix strategies to be ahead of the rest in the competition. Marketers have four tools to be used to develop an offering in order to meet the needs of their targeted audiences. These tools collectively are called Marketing Mix & the variables are 4 Ps of marketing namely PRODUCT, PRICE, PLACE and PROMOTION. A successful marketing mix depends on the right combination of these marketing elements. For example, if the pricing of a product or service is higher, instead of changing the price, you can add new features to the product or change the service. You can also make the product or service available more conveniently to the customers. Each elements of marketing mix strategy affects the other and the proper combination of these four elements is the key to the success of any marketing process.
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VI. PROMOTION MIX STRATEGY Promotion mix strategy deals with the available tools for marketing communications. This element helps in deciding on the location, where the customers will get the product or service. Promotion mix strategy also deals with: Sales promotion Distribution channels Advertising Sponsorship Trade Fairs and Events Logistics Storage When an organization introduces a product into a market the marketer needs to address to certain questions: Who is the product aimed at? What benefit will they expect? How do they plan to position the product within the market? What differential advantage will the product offer over their competitors? Marketing is not about providing products or services it is essentially about providing changing benefits to the changing needs and demands of the customer
in the product family, and entire product portfolio and on the marketplace Product quality There are three views for describing the overall quality of a product. Firstly, the view of the manufacturer primarily concerned with the design, engineering, and manufacturing processes involved in fabricating the product. Secondly, the view of the consumer or user. For consumers, a high-quality product is one that well satisfies their preferences and expectations. A third view relating to quality is to consider the product itself as a system and to incorporate those characteristics that pertain directly to the operation and functionality of the product
VII. DECISIONS RELATED TO PRODUCT Product design Investment in design is the best investment a company can make to increase its profitability and achieve above industry results. Designs should be focused on consumer and targetgroup preferences, technical and functional issues related to user friendliness, ease of use and usability, ergonomics. Designers do also consider your brand image, and how design can communicate and deliver a coherent image and communicate a products value and status
Branding One of the most important decisions a marketing manager can make is about branding. The value of brands in todays environment is phenomenal. Brands have the power of instant sales; they convey a message of confidence, quality and reliability to their target market. A brand is a tool which is used by an organization to differentiate itself from competitors. Internet branding is now becoming an essential part of the branding strategy game. Generic names like Bank.com and Business.com have been sold for ms. Pricing is one of the most important elements of the marketing mix, as it is the only mix, which generates a turnover for the organization. Pricing is difficult and must reflect supply and demand relationship. Pricing a product too high or too low could mean a loss of sales for the organization. Pricing should take into account the following factors: Fixed and variable costs Competition Company objectives
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Proposed positioning strategies Target group and willingness to pay.
your product by the use of an intermediary for example a manufacturer selling to a wholesaler and then on to the retailer. Direct distribution involves distributing direct from a manufacturer to the consumer For example Dell Computers providing directly to its target customers. The advantage of direct distribution is that it gives a manufacturer complete control over their product
Penetration pricing: Where the organization sets a low price to increase sales and market share. Skimming pricing: The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market. The objective is to skim profits of the market layer by layer. Competition pricing: Setting a price in comparison with competitors. Product Line Pricing: Pricing different products within the same product range at different price points. An example would be a video manufacturer offering different video recorders with different features at different prices. The greater the features and the benefit obtained the greater the consumer will pay. This form of price discrimination assists the company in maximizing turnover and profits. Bundle Pricing: The organization bundles a group of products at a reduced price. Psychological pricing: The seller here will consider the psychology of price and the positioning of price within the market place. The seller will therefore charge 99p instead 1 or $199 instead of $200 Premium pricing: The price set is high to reflect the exclusiveness of the product. An example of products using this strategy would be Harrods, first class airline services, Porsche etc. Optional pricing: The organization sells optional extras along with the product to maximize its turnover. This strategy is used commonly within the car industry A. Placement Strategies This refers to how an organization will distribute the product or services they are offering to the end user. The organization must distribute the product to the user at the right place at the right time. Efficient and effective distribution is important if the organization is to meet its overall marketing objectives. B. What channel of distribution will they use? Two types of channel of distribution methods are available. Indirect distribution involves distributing
VIII. DISTRIBUTION STRATEGIES Intensive distribution: used commonly to distribute lo priced or impulse purchase products. For instance, Chocolates, soft drinks. Exclusive distribution: involves limiting distribution to a single outlet. The product is usually highly priced, and requires the intermediary to place much detail in its sell. For instance, sale of vehicles through exclusive dealers. Selective distribution: a small number of retail outlets are chosen to distribute the product. It is common with products such as computers, television, household appliances, where consumers are willing to shop around & where manufacturers want a large geographical spread. IX. RESEARCH METHODOLOGY Research methodology is a way to systematically solve the research problem. My research project has a specified framework for collecting the data in an effective manner. Such framework is called Research Design. The research process which was followed by me consisted following steps.
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A. Defining the Problem & Research Objectives It is said, A problem well defined is half solved. The step is to define the project under study and deciding the research objective. The definition of problem includes the study of Strategies behind 4 Ps B. Developing the Research Plan The second stage of research calls for developing the efficient plan for gathering the needed information. Designing a research plan calls for decision on the data sources, research approach, research instruments, sampling plan and contacts methods. The research is descriptive in nature and is aimed at analyzing the role of each element of marketing mix in order to achieve the marketing objectives. C. Data Sources Secondary Data: Indirect collection of data from sources containing past or recent information like Annual Publications, Books, Newspaper and Magazines etc
XI. PHYSICAL EVIDENCE The physical evidence factor of all the McDonalds centers are the signboards, golden arches, buildings, interiors, colors combination of yellow and red, clean facilities, Visible food preparation section etc XII. PRICING A very popular punch line of McDonalds-Aap ke zamane mein, baap ke zamane ka daam. The main reason of this price strategy was too attract the middle class & the lower class of people in India. After this not only the upper class prefers going there but all class of people go there. XIII. VALUE PRICING Happy meal small burger ,fries ,coke & toy Medium Meal Combo- burger ,fries,coke-veg Rs:75 ,Maharaja Mac Meal Rs: 95 Family Dines under Rs: 300 Prices lower than Pak, Sri Lanka, 50% lower than U.S. XIV. MEDIA MAGIC McDonalds uses various Medias like television, hoardings and bus shelters. They are almost out of print ads. McDonalds also sponsor many Television Programmes like Kaun Banega Crorepati, Children shows etc. Even the paper Mats on the trays at the McDonalds are designed as per the ongoing Marketing Strategy of McDonalds. For e.g.: during the French fries issues, all their paper mats had description of the burgers, how the vegetarian products are made etc, to regain the confidence of the customers Reconnecting with customers through contemporary global marketing direction Im loving it. I am loving it refers an attitude we want your employees to embrace & reflect in their services. Their other lucky Promotion strategies were like: Collaboration with coke, Mtv Hungama .com, Sony Music, etc. Scratch cards on large jumbo meals. Prices- caps, T-shirt, internet card, CDs, free tickets to Lucky Alis contest. Purchase of 2nd meal in a month qualified for Opel Corsa/ NZ trip. Mc Donalds mein hai kuch baat, a place for entire family to enjoy. Mc Donalds positioned for youth families.
McDonalds Marketing Mix
X. PRODUCT DECISON It includes: Branding, Quality & Features. McDonalds concentrated on studying the Indian culture, its value-systems and its influence in food consumption decision making. McDonalds developed a menu especially for Indian with vegetarian selection to suite Indian taste. It introduced products like McTikki Aloo for the Punjabi taste buds. McDonalds has also re-engineered its operation to address the special requirements of a Vegetarian menu. The cheese and cold sauces used in India is 100 % vegetarian. McDonalds are committed for giving customers wholesome, healthy, and delicious food. They ensure that the cooking area as well as cooking equipment for vegetarian products is visibly segregated from the non Vegetarian sections. Whats more- their crew members? Cooking vegetarian food items are identifiable by their green aprons.
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XV. RECOMMENDATIONS Communication regarding the strategies to the employees of the organization so that there can be Brain storming for finally implementing a strategy to achieve the marketing objectives. Integration of the strategies behind various elements of marketing mix is of utmost importance for a marketer before implementing the ultimate marketing strategy. Learning from the failures of the strategies of various competitors so that the mistakes are not repeated. XVI. CONCLUSION The marketing mix section of a business marketing plan concentrates on the tactics used to achieve the marketing & business plan. Those tactics can be categorized as the four Ps of marketing: PRODUCT, PRICE, PLACE and PROMOTION A common analogy used in describing marketing mix is relating the mix as being the ingredients in a recipe: you need to get the quantities of each element right or the result will not be what you need or expect. If your marketing mix doesn't meet their needs they will not be satisfiedand if they aren't satisfied you are unlikely to meet your objectives. The marketing mix
should be viewed as an integrated and coordinated package of benefits that reflect the characteristics of customers and various targeted publics and satisfy their needs, wants, and expectations. Note that the elements of the marketing mix should be integrated because each element of the mix usually has some impact, direct or indirect, on the other three. For example, if you improve the product or service you probably have to change the price because it costs more to produce. Although you may not have to change where the product is delivered to the customer, you will almost certainly have to change the promotion or communication with the customer because you need to tell the customer about the changes you have made in the product and how the changes will make it more desirable and satisfying. REFERENCES
[1] [2] [3] [4] [5] [6] Kotler, P & Armstrong, G (2004), 'Principles of Marketing', Tenth Edition, New Jersey: Pearson Education Inc Lauterborn, R (1990), 'New Marketing Litany: 4P's Passe; CWords Take Over', Advertising Age, Oct 1, 1990:26 Lazer, W (1971), 'Marketing Management: A Systems Perspective' New York: John Wiley & Sons McCarthy, E J (1960), 'Basic Marketing - A Managerial Approach', Illinois: Irwin Proctor, T (2000), 'Strategic Marketing: An Introduction', London: Routledgen www.learnmarketing.net
Organized Retailing in Punjab: Challenges and Strategies

Ajay Samyal1, Rohit Bansal2 and Sukhbir Kaur3
1 2
Assistant Professor, Department of Management Studies, Malout Ins. of Mgmt. & Info. Tech, Malout Assistant Professor, Department of Management Studies, Malout Ins. of Mgmt. & Info. Tech, Malout 3 Assistant Professor, Department of Management Studies, Malout Ins. of Mgmt. & Info. Tech, Malout
AbstractRetailing is the set of activities that markets product or services to consumers for their personal or household use. It is done by organizing their availability on a relatively large scale and supplying them to customers on a relatively small scale. Organized retail in India is spreading at very fast pace and is gradually making a mark on all sections of the society. Retail is Indias largest industry, accounting for over 10 per cent of the countrys GDP and around eight per cent of the employment. Large retail players are moving beyond the metro cities for higher profits and Punjab is their favorite destination. As the growth of consumption in Punjab gets equal support from the urban as well as rural consumers, Punjab is representing a grand opportunity to all the retailers at large to exploit its huge consumption potential. This paper focus on the status of organized retail in Punjab, retail formats growth drivers, challenges and strategies for the retailers to gain a competitive advantage.
II. GROWTH OF ORGANIZED RETAILING IN PUNJAB With the growing middle class and increasing purchasing power, the retail sector is booming in metros while picking up momentum in smaller cities and towns too. Organized retailers are moving towards tier II cities for cost reduction. Punjab is at focus for major retail players. Leading Corporate Houses like Piramals , Tatas , Rahejas , ITC , Godrej , RPG Enterprises , and The Future Group with their mega retail chains Crosswords , Shopper's Stop , Pantaloon , Piramyd etc have already announced major plans to liven up the retail sector in Punjab. Bharti WalMart has already opened best price modern wholesale stores in Punjab. Metro cash and carry has planned to open its first wholesale store in the state in the second half of 2011. Investment climate of a state depends upon regulatory framework, resources required, physical & social infrastructure and in Punjab the investment climate is quite encouraging. Punjab is known as the Granary of India as it has been contributing 40-50% of rice and 60-70% of wheat to central pool for last two decades. It provides vast range of opportunities to food retailers. They can maintain direct farm-linkages, bring diversity and allow around the year availability which can benefit both the consumers and the farmers. Fastfood retailer McDonald's, for instance, has invested over US$ 175 million in building its back end logistics which has helped everyone in the chain to grow and set benchmarks in farming, processing, distribution and retail. III. STATUS OF ORGANIZED RETAILING IN PUNJAB With just two operational malls in Punjab in 2005, encompassing a total of 2,70,000 sq. ft. area of gross leasable area, the state is now on the threshold of a major retail boom as the number of retail players is becoming extensive day by day. As the growth of consumption in Punjab gets equal support from the urban as well as rural consumers, Punjab is representing a grand opportunity to all the retailers at large to exploit its huge consumption potential. Retailing in Punjab: 2010 and Beyond report shows how the socioeconomic health of state, especially the pattern of
I. INTRODUCTION Retailing includes the activities involved in selling commodities directly to final consumers. The retail industry is divided into organized and unorganized sectors. Organized retailing includes the corporatebacked by hypermarkets, retail chains and also the privately owned large retail businesses. It includes the trading activities undertaken by licensed retailers, that is, those who are registered for sales tax, income tax etc. Unorganized retailing refers to the traditional formats of low-cost retailing, for example, the corner stores, owner manned general stores, cigarette stalls, convenience stores etc. Retailing in India had been dominated by unorganized sector for long time. But in recent years, it has witnessed a substantial change. Organized retailing in India has a huge scope because of the vast market and the growing consciousness of the consumer about product quality and services. Large players like Reliance, Tata, Piramals, RPG Group and some foreign companies are venturing into retailing. According to Ernst and Young, growing consumption based culture, increasing incomes, growing young population are few key drivers for the growth of organized retailing in India.
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private consumption expenditure, and also the pattern along which urbanization takes shape in the particular region are the basic determinants of retail potential that the region promises. I. GROWTH IN NUMBER OF MALLS IN PUNJAB
35 30 25 20 15 10 5 0 1 1 5 2 4 7 11 3 4 15 18 24 6 Increase Base 9
IV. FORMATS OF ORGANIZED RETAILERS PRESENT IN PUNJAB

Format Shopping Malls Departmen tal Stores Hypermart /Supermar kets Discount stores Specialty Stores Wholesale Stores Description Largest form of organized retailing which contain retail units, with interconnecting walkways. Carries several product lines, and each line is operated as a separate department. Very large self-service outlets, carrying an enormous range of products under one roof Standard merchandise sold at lower prices with lower margins and higher volumes. Relatively small stores which are specialised in a specific range of merchandise and related items. Selling goods in bulk quantity only Company Ansal Plaza, WestEnd Mall, Alphaone Mall, Central Mall Shoppers Stop, Westside, Lifestyle Reliance Retail, BigBazaar, Spencers Hypermarket. Subhiksha Titan,Bata,McDo nalds, Crossword, Music World, Wal-Mart,Metro Cash&Carry
V. FACTORS FAVORABLE FOR GROWTH OF ORGANIZED RETAIL

Source: www.franchiseindia.com
II. REVIEW OF LITERATURE Harpreet and Narinder (2008), in their study found that there is a transformation in the face of retailing in India with the emergence of organized retail formats and changes in consumers behavior in terms of convenience, choice preference and value of money. It concluded that rising income levels, global exposure, changing shopping patterns is favorable for success. Kokatnur (2009) in a study has found that product, promotion and services are main strategies adopted by organized retailers to attract and satisfy their customers. Unorganized retailers are losing their market share with the advent of new organized retail formats and in order to survive they need to redesign their business models. Kar and Sahoo (2009) in a study have observed that booming Indian economy, growth of consuming class, changes in consumer behavior, increase in use of credit and debit cards are the key drivers for growth of organized retailing in India. However, high rentals paid by modern convenience stores, lack of efficient supply chain, human resources pose a difficulty in way of their success. III. OBJECTIVES OF THE STUDY Following are the objectives of the study: To bring out different retail formats available in Punjab. To identify the factors favorable for organized retailing in Punjab. To identify the barriers to organized retailing. To formulate the strategies for organized retailing in Punjab.
Today, retail sector in India is worth $410 billion and accounts for about 10% of Indias GDP and 8% of its employment. Following are some factors favoring the growth of organized retail: Rising income of the People which in turn enhances the purchasing power. Consumer preference for shopping in new, convenient environments. Availability of quality and low cost retail space especially in tier II and III cities. Growing young population with willingness to spend now vs. save earlier. Internet revolution is making domestic and foreign retail chains more accessible to the Indian consumers. Shift in consumer demand to foreign brands like Sony, McDonalds, etc. Liberalization of the Indian economy. Huge potential for retail in rural areas. VI. FACTORS THAT HINDERS THE GROWTH OF ORGANIZED RETAIL IN PUNJAB Competition from unorganized retail sectorThe unorganized retail sector has dominance over organized sector because it is a low cost structure, mostly owner-operated, has negligible real estate and labor costs and limited taxes to pay. Also credit facilities provided by unorganized sector attract the customers at large. In contrast, players in the organized sector have big expenses to meet. High costs for the organized sector arises from higher labor costs, social security to employees, high quality real estate, much bigger premises, comfort facilities such as airconditioning, back-up power supply, taxes etc.
Organized Retailing in Punjab: Challenges and Strategies
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Shortage of trained retail personneShortage of talented and experienced workf l orce with skill-sets like customer orientation, selling skills, communication skills etc. is a big concern for the retailers. This shortage is set to intensify, given the rapid growth forecasted for the industry. Highly educated class does not consider retailing a profession of choice. Attrition levels are also increasing day by day. There is lack of proper education and training programs to impart retailing skills. Lack of Adequate InfrastructurePoor infrastructure restricts retail growth; create supply chain bottlenecks and increases wastages of farm produce. In Punjab, there is extensive wastage in food products because of improper manual handling, poor packaging and lack of temperature controlled carriers. A framework to develop support infrastructure like processing and warehousing facilities should be laid up. Inefficient Supply Chain: Organized retail in India is facing the challenge of poor supply chain and logistics management. The importance can be understood by the fact that the logistics management cost component in India is as high as 7% -10% against the global average of 4% - 5% of the total retail price. Therefore, the margins in the retail sector can be improved by 3% - 5% by just improving the supply chain and logistics management. Low retail management skillsRetail management involves determining the layout of merchandise; monitoring the stock levels; placing orders; managing supply chains and keeping and analyzing records of sales and financial transactions. In Punjab, the skills required to plan and coordinate the operations of retail outlets are low. Retail professionals are not available who can understand and interact with the customers. Restriction on FDI-At present, India does not allow FDI in multi-brand retail. FDI up to 51 per cent is permitted in single brand retail while FDI of up to 100 per cent is allowed in wholesale cash-and-carry trade. Barriers to FDI limit the entry of global players and limits exposure to best international practices. Limited Consumer Insights: There is limited knowledge about consumer behavior as very little marketing research has been done in Punjab.
VII. STRATEGIES FOR ORGANIZED RETAILERS Choosing the right format: The major issue for the organized retailers is to find a suitable business model and retail format to cater the needs of the people. There are number format options like shopping malls, department stores, supermarkets, hypermarkets, specialty and wholesale stores that a retailer can choose to enter the market. It is very important to understand how to operate a business model that fits with the local tastes and preferences. Retail sector in India is witnessing rejuvenation as the large players are trying new and modern formats of retailing. Efficient supply chain management: Retailer has to develop innovative solutions like performance management; demand, production planning; and lean system for managing supply chain problems to get advantage over competitors. For this, a firm must understand the nature of product demand, inventory costs, and supply chain capabilities. The efficiency and effectiveness of supply chain management can also be understood by the fact that modern retail stores maintain lower inventories than traditional retail. In India, generally in the traditional kirana stores, three weeks inventories are kept; while in a modern retail store like Hypercity, it is nine days and it is under two weeks for Food Bazaar. Invest on Human Resources: Retailers need to formulate good quality and certified people management programs. Such programs are likely to enable employees to upgrade their basic skills in retail operations. Retailers need to develop a combination of good HR practices to enhance competency and retention while simultaneously develop systems to ensure that high people turnover does not disrupt operations. Customers perception of the brand depends highly on individual interaction with the staff, so there is need to ensure consistency in the behavior and actions of employees. Pricing Strategy: To survive in the highly competitive retail world of shrinking margins and rising costs, retailers must become more attentive and careful with their pricing as the financial success of retail companies depends on their price strategy. A formal pricing strategy is a long-term commitment to a set of over-arching business goals and includes a long-term approach that creates a perception of value in the customers minds. Marketing Strategies: Firms need to formulate excellent marketing strategies to position their services in the mind of consumer. The effectiveness of a retailers communication is determined by how well the offering is positioned in the mind of the customer. Effective promotional strategies to attract the new customers and retain the old ones should be developed.
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It can be done with the help of following promotional strategies: In store promotions : Point of purchase promotions like posters, danglers, dummy, calendars, banners, sign boards always effect the consumer buying decision. Out store promotions: It is always good to tap the untapped market through extensive advertisement in outreach areas. Some of the main important tools are bill boards, hoardings etc. Managing Customer Mix: Retail firms need to formulate the strategies to manage the customer mix. Every customer is unique and has different taste, needs and preferences. Retailers should identify strategies for managing customer expectations in order to achieve customer satisfaction. They must try to anticipate the needs and problems of individual customers and to set realistic expectations through customer education and communication strategies. Visual Communication: Retailer has to give more emphasis on display visual merchandising, lighting, signage and specialized props. The visual communication strategy should be planned and also be brand positioned. Theme or lifestyle displays, based on a season or event, should be used to promote collections. The merchandise presentation needs to be very creative which could add some value to offerings of company. Innovative Customer Relation Management (CRM) Model: Retailers should formulate strategies to connect with and retain old customers. An effective CRM
program must be employed and innovativeness in loyalty programs by associating them with offering should be devised to keep up with times. Regular loyalty programs like discounts and special previews customized to suit shoppers needs should be formulated. Categorization of customers: It is always advisable that every business must categorize all their customers like platinum, gold, silver and bronze customers so that a business can spend on their customers accordingly; this spending includes special schemes, special discounts, membership cards, invitation cards and greetings on special occasions. This practice surely adds to customer satisfaction and customer delight. REFERENCES
[1] [2] [3] Retailing in Punjab: 2010 and beyond, Retrieved from http://www.imagesretail.com/panjab.htm PunjabOpportunities in Agribusiness, Retrieved from http://www.indiainbusiness.nic.in Singh Harpreet and Kaur Narinder (2008), Retailing in India: Recent Trends and Challenges, Indian Journal of Marketing, Vol. XXXVIII, No. 4, pp 4953 Kokatnur Shilpa S (2009), Impact of Supermarkets on Marketing Strategies of Small Stores, The Icfaian Journal of Management Research, Vol.VIII, No.8, pp 7790. Kar Sudhanshu Sekhar and Sahoo Sarat Kumar (2009), Organized Retailing in India: Issues and Challenges, Indian Journal of Marketing, Vol. XXXIX, No. 11, pp 1014. Bajaj Chetan, Tuli Rajnish and Shrivastava, Nidhi V.(2005). Retail Management. India: Oxford University Press.
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HUMAN RESOURCE
HR Strategic Plans for Future Challenges

Sundeep Singh1# and Rekha Goyal2*
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Lecturer in Management Studies, Chitkara University, Chandigarh-Patiala, Punjab Lecturer in Computers Application, Chitkara University, Chandigarh-Patiala, Punjab e-mail: #sundeep.singh@chitkara.edu.in, *rekha.goyal@chitkara.edu.in To develop the employees capabilities and capacities for performing the present job and handle the future roles effectively. To generate human resource information system for the purpose of manpower planning, placement, and for perpetual succession planning, etc.
AbstractOver the recent years, significant changes have taken place in the social, economic, technological and political environment of Indian businesses. The governments policy for economic liberalization and stimulating globalization of businesses has brought many opportunities and threats for the modern organization. The HR professionals cannot ignore such changes, rather they have to develop, design and execute competencies of HR to prepare them for: Changing internal environment Changing needs and expectations of customers Changing profile of workforce Advancement of technology Revolution in IT sector Economic and individual policy changes The above trends will have a tremendous impact on the tasks of HR managers who will have to act as change agents or change facilitators.
B. Research Methodology Emerging Issues and Challenges: II. GLOBALIZATION National policies are being influenced significantly by extra national forces on a variety of economic, social and labour matters. Problems and decisions in one part of the world affect prospects in other parts of the world and shape the events elsewhere. The impact of globalization can be observed from the following trends: Integration of economies Globalization has resulted in opening up of vast markets which can be tapped by big industries, which is possible only when there are harmonious relations between labour and management. Global benchmarking Globalization has resulted in striving for highest quality of products and processes so that they are competitive in the world markets. Change in the management Styles (participative management styles) Future of public enterprises Public enterprises will have to increase their efficiency so that they can be competitive. III. TECHNOLOGICAL ADVANCEMENTS With the changes coming in the wake of advance technology, new jobs are created and many old ones become redundant. In this competitive world, today a company cannot hope to survive for long with the old technology. The problem of unemployment resulting from modernization will be solved by assessing manpower needs and training of redundant employees in attaining newer skills. IV. IT REVOLUTION IT revolution is about real-time access and sharing of digital information consisting of visual images, sound & virtual world, made possible by core
I. INTRODUCTION HR strategies deal with good many aspects of HR functions covering employee recruitment, selection, training, placement, induction, retention, motivation, job designing/redesigning, quality of working life, workers participation in management, job security, compensation, welfare and industrial relations etc. Hr strategies are to flow from short term goals of the organisation as well as the long term business strategies. The economic and other aspects of the environment play a significant role in strategy formulation and goal setting. Hence, all companies are required to be sensitive to these changes and challenges. A. Objectives In HR strategies some of the objectives are given below: To create the environment for the overall development of the personnel in the organisation. To maintain and develop a high level of motivation among the personnel in the enterprise. To increase the capabilities of an organisation to recruit, retain and motivate talented employees of the firm. To develop a sense of team spirit, teamwork and industrial relations. To develop the overall personality of every employee of the organisation.
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information technology like digital networks, information databanks & computer graphics. The IT revolution is transforming our living & work conditions beyond imagination. To meet the challenges of information age the organization are redefining their missions, objectives, strategies, critical success factors & restructuring traditional pyramid type organizational structures to the new organizational structures. V. CHANGES IN POLITICAL-LEGAL ENVIRONMENT There might be greater government intervention in the near future to safeguard the interest of workers, consumers and the public at large. Government participation in trade, commerce and industry will also pose many challenges before management of private sector firms. Many changes are taking place in the legal framework within which the industrial relations system in the country is now functioning. It is the duty of hr & ir executives to fully examine the implication of the changes & bring about necessary changes. VI. ROLE OF GOVERNMENT The role of government in management of human resources is assuming even greater importance in the port liberalized era. Government has to play a dynamic & facilitative role in regulating the relationship between two parties. VII. CHANGES IN WORKFORCE Increase in education levels Change in skill levels Wisdom workers Age group & aspiration of workers
Providing healthy relationship between different work groups so that work is effectively performed. Improving the employees working skill and capacity. Correcting the errors of wrong postings and proper reallocation work. It can help the organisation in accomplishing its goals by :Creating right attitude among the employees through effective motivation Utilizing effectively the available human resources Securing willing cooperation of the employees for achieving goals of the enterprise and fulfilling their own social and other psychological needs of recognition, love, affection, belongingness, esteem and selfactualization. VIII. LIMITATIONS
A. Scope Maintaining a balance between jobs available and the jobseekers, according to the qualifications and needs. Making maximum utilization of the resources in an effective manner and paying the employee reasonable compensation in proportion to the contribution made by him. Eliminating waste or improper use of human resource, through conservation of their normal energy and health. By helping people make their own decisions that are in their interests. By providing healthy working environment it promotes team work in the employees. Maintaining the dignity of the employee as a Human Being. Providing maximum opportunities for personal development.
Countries in the world are shifting in policy from controlled and regulated economy to liberalized and deregulated economy. Indian organisations adopted innovative changes in their HRM practices. Current research shows that HRM practices are important for enhanced corporate performance but little has been reported on the effect of HRM practices and corporate performance in the context of economic liberalization of India. Following limitations in human resource policies and practices are notable: Companies are showing increasing willingness to retain talent and redeploys manpower when necessary but when the companies giving training and development the major talented employees are searching for the better job. But inflation resists the companies for the providing better remuneration to their employees. Employee compensation is being linked and programmes are becoming more focused, responsive and are also constantly reviewed against the external environment which is uncontrollable for us. Contemporary practices, policies and programmes are becoming more focused, responsive and are also constantly reviewed against the external environment which is uncontrollable for us. Companies have started paying attention to career growth and career planning for employees but within the limits because company has to finished his purchase order, participation in research and development, formulating marketing policies, arranging sources of funds and uses of funds in the day to day activities.
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IX. RESULTS A. Meeting Challenges: Tasks of HR Managers The HR Manager will have to face many challenges. Rapidly changing technology and tremendous pace of development in the economy would demand significant and substantial contribution from the personnel mangers. These managers will have to play a vital role by preparing human resources for such changes in the organizations goals. 1) Managing workforce diversity An important challenge that HR mangers will face involves workforce diversity and the increasing heterogeneity of organizations with the inclusion of workers from different groups, such as women, physically disabled persons, retired defence personnel, backward classes, etc. Thus workforce diversity has significant implications for management. The mangers will be required to shift their approach from treating each group of workers alike to recognizing the difference among them and following such policies so as to encourage creativity, improving production, etc. 2) Meeting aspirations of the employees Todays workers are more career oriented and are clear about the lifestyle they want to lead. The mangers would be required to evolve appropriate techniques to satisfy higher level needs of workers. 3) Empowerment of employees Empowerment involves efforts to take full advantage of organizations HR by giving everyone more information and control over how they perform their jobs. Various techniques of empowerment range from participation in decision making to the use of self managed teams. 4) Management of HR relations This would be a complicated task than it is today. Since workforce in future will comprise of better educated and self conscious workers, they will ask for higher degree of participation. X. CONCLUSION A. Dynamic personnel policies and programmes HR manager of tomorrow will not only look after personnel functions but will also be involved in HR policies and programmes for the entire organization. Thus management of HR will receive greater attention of all managers from top to bottom. Every HRM programme will have to be properly planned and directed by HR manager in consultation with other managers.
B. Building responsive Organization HR managers will have to contribute tremendously to the building up of responsive organization. The new environment has thrown many challenges and opportunities. These challenges include: To be quality oriented To be customer oriented To be pro active To be cost effective To be service centered To be adaptive strategies. To be technology adoptive All these challenges require the Organization to perform the following functions: Continuous education of the employees about the changes and challenges facing the organisation. To assess and keep assessing the core competencies required at different levels. Strategies for developing these competencies to be evolved such as quality orientation, cost consciousness and teamwork attitudes for all employees. Plan and implement strategy to develop new competencies at all levels, group work, appraisal system, feedback, etc. XI. SUGGESTIONS All over the world organizations are diseases by a number of concerns such as rising costs, cut throat competition, corruption, job insecurity and employees dissatisfaction due to various reasons. A combination of the above mentioned factors can establish a link between ones work and the organizational goals, so we have to take necessary action for these types of malpractices. The increased practice of hiring employees on short contracts is proving harmful not only to the organisations but also for the emotional well being of people and society at large. It is managements responsibility to make the employees feel that they are wanted by the organisation and create a work atmosphere in which emotional ownership can flourish, it said emphasizing on the need to change mindsets of both leader and employees. In every industrial unit employing 500 or more workers, the employer will constitute a shop council for each department or shop. To increase the association of employers and employees thereby promoting cordial relations between them. To educate the workers so that they are well equipped to participate in management. Proper job analysis, job description, job specification and job evaluation have been done. To satisfy the employees psychological needs.
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REFERENCES
[1] [2] [3] [4] [5] [6] Human Resource Management-By Dr. Shagun Ahuja. VK Global Publications Pvt. Ltd. Emotional Bond- By PTI, published in The Tribune, Jobs and Career, Dated: 2nd March 2011 Human Resource Management and Development by Shashi K. Gupta and Rosy Joshi, Kalyani Publishers, Ludhiana Strategic Management-C.N. Sontakki, Kalyani Publishers, Ludhiana Business Environment- by Sangam Kapoor and Rosy Joshi, Kalyani Publishers, Ludhiana Principles and Practice of Management-by Parampal Singh, Ramneek Kaur and Harpreet Singh, Kalyani Publishers, Ludhiana
Study Material on Industrial Sociology, by Vernon Oliver, published by Indian Institute of Modern Management (IIMM), Pune. [8] Study Material on Labour Welfare and Social Security, by Vernon Oliver, published by Indian Institute of Modern Management (IIMM), Pune. [9] Study Material on Industrial Relations, by Prof. (Col.) A Balasubramanian, published by Indian Institute of Modern Management (IIMM), Pune. [10] Study Material on Security Management, by Colonel (Dr.) R.P. Sharma, published by Indian Institute of Modern Management (IIMM), Pune.
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Teams and Groups Increasing Organizational Effectiveness

Gursharan Singh# and Vishal kalia
Prof. Rayat Bahra Institute of Management, Hoshiarpur146001 e-mail: #gursharansingh84@gmail.com
AbstractEffective leadership is all about providing clear vision for its employees and associated guidelines in which employees are expected to operate. Key to improved performance is empowerment of team members along with clear communication channels to provide directives clearly and cogently. Teaming is a natural and vital part of human social and work life (Linda, 2005). Team building is a structured process using which discrete units can be empowered and best practices used elsewhere utilized for building groups into functional teams which will provide the required output in timely and precise manner. Employees have to be charged with passion, an excitement, contagious enthusiasm and ownership about their work to produce results that are truly remarkable and unmatchable. An effective team has diversity which helps in tapping the individual prowess and utilizing it synergistically to produce an output more than sum of its constituent parts. Appropriate training and support from senior management can help build a supportive structure under which teams can nurture. Keywords: Team Building, Empowerment, Organizational effectiveness.
II. STELLAR PERFORMANCE Enhanced performance and effective leadership has been the cornerstone of best practices in management. According to Linda (2005), high growth is characteristic of strong leadership skills with clear vision for the team and with direction emulating the type of behavior one wishes to see and by making clear guidelines on what behavior is expected of employees. This is especially important for industries in which knowledge workers lead effective and quick change mechanisms. She says the managers should go out to hire the best talent available and establish clarity and direction of what goals the team is expected to accomplish. There should be effective communication channels so that information is passed readilystrategic direction is clearly communicated and the team is continuously aware of its directives. Appropriate training and resources availability help the team in utilizing their skills and abilities to fullest advantage. Empower your team members and repose trust in them to deliver. By becoming aware of the group dynamics helps in production of potentate highly functional teams along with concomitant performance results. III. ENABLING TEAM BUILDING Effective team building requires commitment from organization and its managers. Managers need to be aware of their crucial role that they, as managers need to provide, together with a framework in which tem members can focus and direct their energies for fruition of their tasks. Laird and Ramon (2005) have structured the team building into a seven step process that can guide and streamline the team building exercise. The process is built on the premise that characteristics that form common ground amongst efficacious teams can be utilized by aspiring team members for similar success in newer ventures. Worldwide expansion into global marketplace has removed boundaries of towns and countriesit is now common and very easy to market ones products to international arena, so strategies and management have to be cognizant of best practices worldwide to enable success. Team structuring is hence an important part of this transformation and teams may include cross functional elements from various discrete aspects of organizational structure - basically a team
I. INTRODUCTION Strategic management is a field that deals with the major intended and emergent initiatives taken by general managers on behalf of owners, involving utilization of resources, to enhance the performance of rms in their external environments. It entails specifying the organization's mission, vision and objectives, developing policies and plans, often in terms of projects and programs, which are designed to achieve these objectives, and then allocating resources to implement the policies and plans, projects and programs. A balanced scorecard is often used to evaluate the overall performance of the business and its progress towards objectives. Recent studies and leading management theorists have advocated that strategy needs to start with stakeholders expectations and use a modified balanced scorecard which includes all stakeholders. Team effectiveness refers to the system of getting people in a company or institution to work together effectively. The idea behind team effectiveness is that a group of people working together can achieve much more than if the individuals of the team were working on their own.
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may be incorporated to handle a discrete unit of work, work which can be managed individually and which provides autonomy to its team members for effective deliverance. Laird and Ramon cite that 82% of companies with more than 100 employees work in group based work to align their work alongside organizational goals and missions. Effective team building has to be led by its manager, and it is an on going activity rather than a one time affair, and team building should be a priori managers responsibilities. The framework within which manager is building his team should be action oriented and aligned with key concepts from the management principles that form the hallmark of team building. IV. THE SEVEN STEP PROCESS A. Identifying Team Characteristics that are Desirable Balancing attributes to effectuate team synergies, so that the team characteristics produce the optimum output. Profile existing team characteristics: Using surveys, questionnaires, interviews and direct observation of existing team members can be used to check and validate the team characteristics that are effective predictors of teams success. The aim is to produce as accurate profile as possible of existent situation. B. Identify Deficiencies The next step is identification of which areas need focus and improvement. The identified areas are those which create bottleneck and unless these areas are redressed by management intervention, the group members potential will remain unutilized. C. Use Pre-established Criteria to Identify and Apply Proper Intervention Awareness of the existing environment will help in building a profile of staffs existing strengths, weaknesses and that of the organizations culture, traditions and availability of resources. Armed thus proper intervention strategies can be placed to guide best results. D. Identify Team Building Overcome Deficiencies Strategies to Help
E. Implement and Assess The key step is implementation with a feedback loop. The manager should clearly communicate expectation to its team members and ways in which assessment would be done. Team management theories espouse reduction in hierarchical layers thus dissolving boundaries and creating a more cohesive workforce. Organization can be made more friendly and workplace made more conducive to work if cooperation is made part of the organizational policies to encourage lines of communication and empowerment of individuals to work synergistically towards common organizational goals. (Evelyn, 1996). Richard Chang (2001) proposes that for bringing out the best from employees, team members must be passionate about their work. According to him passion is a resource that can be leveraged by all organizations and it is not limited to choice few. Passion according to Chang is one of the distinguishing traits of successful organizations where team members are working concertedly towards organizational effectiveness this is where true synergy takes place and employees exude enthusiasm and excitement about their work. This is what forms one of the most significant of competitive advantages an organization can boast of! Team members need to be convinced and working in unity to enable passion to shine through and make organization work from individual members to one cohesive unit Becoming passion driven. A very good example of employees working as a single team driven towards a common goal can be found in Southwest airlines. Their business success has baffled management gurus and traditional business sense. Founders of Southwest airlines were sure that commuters were being charged heavily for air travel so they built their airline on the premise of ultra low fares with friendly and efficient services. Employees of Southwest airlines are empowered to take on the spot decisions that would help the customers and benefit the company, thus bringing on profits despite the industry plunging into huge losses It takes a unity of effort, be it common goal, passion, of unrivalled customer services or innovation technologically or in product by being charged with common passion employees perform at improved levels outputting effort beyond the ordinary. These employees exude confidence and energy that is infectious and quite simply these employees enjoy themselves at work Customers are similarly affected by the emotions that like invisible magnets attract themselves to the services and products being sold, as people dont just buy products they buy emotions and feelings and customers often make their judgments and purchasing decisions based on emotional responses to products and services, (Richard, 2001)
These strategies can be implemented once weaknesses have been identified and prioritized. Use pre-established decision processes for appropriate intervention: This will depend on the variables of situation at hand and management thinking. However the base requirement is intimate working knowledge of the situation.
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F. How can One Enable and Nurture Passion Driven Employees Make passion the cornerstone and focal point of all activities vision, mission, policies all should reflect it. The organization should unearth and acknowledge core areas, ideas and vision that drive and guide and inspire its performance. Leaders and managers should have clear vision of where the core passions will lead what is the sense of purpose. There should be a clear action plan on how to nurture and grow passion. Passion is as good as its action so employees should be aligned around goals, passion and excited enough so that organizational passion becomes their passion and the employees enthusiasm and excitement is visible and infectiously taints anyone and everyone within its swathe, so the charge like a self sustaining reaction works without need for external stimulus. However passion driven organizations need to keep on the track by keeping in sight values, passions that made them the organizations that they have become. The leaders and managers should emulate and show to their workers what they believe in; they must live and be the passion expected from the team members. Without clear communication, team members cannot be held accountable for core passions that arent aware of. Organizations must allow employees to completely understand, become aware of and live organizations core passions, by having internal training programs and specific courses that charge the employees with passion. With training employees can tap into their potential and emotional reservoir to perform at their best and be happy about what they are doing. Southwest airlines has established training university where employees can be indoctrinated in leadership, customer services, team performance and self development. (Richard, 2001). The corresponding benefits of being passionate about work brings on emotional investment to the organization providing self satisfaction and commitment on a level far more profound than traditional work relationship. V. ART OF TEAM BUILDING Company profitability and motivation often go hand in hand, and team building helps in allowing employees to combine and produce motivated efforts thus sending positive vibes throughout the organization. This requires commitment from the senior management and provides empowerment down the hierarchy which amongst other benefits by its very nature this helps in improving individual and company wide work performance. A successful team has effective communication methodology, and builds on strengths and provides experiential learning of the whole group. In addition senior management buy in is necessary to enable
individual teams to coordinate their efforts towards common goal of company betterment. (Keith, 1993). If done and managed properly team building can help employees to make long lasting changes, that would help combine the multi dimensional team members expertise and skills into natural and efficacious teams that can produce changes they were expected to. Team members individual strengths can help management become effective, as group members and leaders together can make the difference teams were originally set out to do. Teams effectiveness is not only in leadership it is in performance of the unit as a cohesive whole to sustain and achieve its set targets. (Olusegun, 1998). It is known today that group working is not only the group leaders domain it is dependent on the personality traits of the groups individuals, hence leadership paradigm is more of the concept of sharing between incumbent leader and group members. The basic tenet is working together, cooperatively for a common goal. All is not smooth sailing, as synergy in group only occurs if group is functioning well. Some conflict is healthy as it offers alternative viewpoints, however procedural conflicts can lead to distress, hence clear communication and guidelines are essential for success. Another problem to avoid is clash because of personality clashes, inappropriate task distribution and power struggles. One resolution method decentralizing power, giving equal status to team members, rationalizing team members inputs, removing competitive atmosphere (internal competition) and introducing a supportive environment. (Evelyn, 1996) VI. CONCLUSION Effective teams can be built through structured intervention, however it is crucial that management is committed to providing resources and support for effective team building initially and later on so that team members are suitably empowered for decision making. Effective team members have different skill sets that should be blended in by effective leadership so that desired productivity results with increased customer satisfaction, more margins and increased productivity together with empowered and passionate employees who are enthusiastic and committed to positive results. This is the cornerstone hallmark of success in companies like Toyota, Nissan, Harley Davidson, British Airways and small time operators like Southwest Airlines. Olusegun (1998) rightly concludes that group processes become more effective when leader and team members are considered as interdependent to function effectively, and for high degree of efficacy group members traits need to be mined and group members managed to produce cooperative results as an integral team.
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REFERENCES
[1] Evelyn Jaffe Schreiber (1996) Muddles and Huddles: Facilitating a Multicultural Workforce through Team Management Theory: The Journal of Business Communication. Volume: 33. Issue: 4. Page Number: 459+. Laird Mealiea, Ramon Baltazar (2005) A Strategic Guide for Building Effective Teams. Public Personnel Management. Volume: 34. Issue: 2. Page Number: 141.
[3] [4]
[5]
[2]
Richard Chang (May 2001) Turning into Organizational Performance. Magazine Title: T&D. Volume: 55. Issue: 5. Keith T. Hughes (November 1993) A Manager's Guide to the Art of Team Building. Security Management. Volume: 37. Issue: 11. Page Number: 20+. Linda S Wing (2005) Leadership in high-performance teams: a model for superior team performance. Team Performance Management; 11, 1/2; ABI/INFORM Global.Page. 4.
Ethics in HR
Kamalpreet Kaur
Sikkim Manipal University, MBA (Pursuing) e-mail: dreams195@live.com
AbstractEthics commonly refers to the rules or principles that define right and wrong conduct. Many people believe that we are currently suffering from an ethics crisis. Behaviors that were once thought unacceptable -- lying, cheating, misrepresenting, and covering up mistakes have become in many people's eyes acceptable or necessary practices. Managers profit from illegal use of insider stock information and even college students seem to have become caught up in the wave where studies show significant increases in cheating on tests. Concern over this perceived decline in ethical standards is being addressed by organizations, and companies are relying on Human Resource (HR) to build an ethical culture. Human Resource departments are creating codes of ethics, introducing ethics training programs and hiring ethics officers. The question arises why ethics is important to Human Resources? The answer is very simple & comprehensive that when employees in organizations make decisions to act unethically, they affect not only the company itself, but also its shareholders, employees and customers. Employees make a myriad of choices every day in businesses -- if unethical, they can damage a company's productivity, profits and reputation.
I. INTRODUCTION Human resources can be a nebulous term and, according to the Free Management Library, can include duties as diverse as deciding hiring practices, making payments and benefits decisions, dealing with performance issues, resolving personal conflicts among emloyees and navigating legal regulations. The human resources manager acts as a liaison between managers and employees and also inevitably encounters conflict along the way. Resolving conflicts will require sound understanding of and application of ethical principles. II. OVERVIEW Ethics commonly refers to the rules or principles that define right and wrong conduct. Many people believe that we are currently suffering from an ethics crisis. Behaviors that were once thought unacceptable lying, cheating, misrepresenting, and covering up mistakes have become in many people's eyes acceptable or necessary practices. Two of the earliest and most important ethical philosophers were Aristotle and Plato, and understanding the important differences between the two is important to any human resources manager, according to human resources site Work Info. III. DIFFERENT OPINIONS ABOUT HR ETHICS Plato believed that all humans had the ability to understand, objectively, right and wrong. The wisest
men, whom he called "philosopher-kings," were the best at recognizing and applying right and wrong and, therefore, had power and autonomy in decision-making. Aristotle, on the other hand, concluded that, there were no real "philosopher-kings" and that all men were, essentially, fallible. Therefore, the best system of governance was one based on staid, tested rules of ethics. That makes for a more stable and fair society. In modern times, it appears that Aristotle's ethics have won, as they have been the basis for every constitutional democracy as well as for ethical practices in successful business. By using Aristotelian ethics as a starting point, you can understand the proper role of leadership. Leaders, according to Aristotle, should strive to maximize the potential of individuals. Because you are managing humans, and not programmed robots, the successful human resources manager will help each individual access her unique knowledge and set of skills which, in turn, will maximize that person's value to the company. As the ideal ethics are rule-based and not emotionbased, it's important that the human resources manager resolve conflicts using an established set of ethical standards, preferably to be published in a handbook available to employees. This will avoid situations in which the human resources manager, in actuality or in appearance, lets personal feelings influence a decision. IV. EFFECTIVE FUNCTIONAL AREAS OF HR The most important job of an ethical human resources director is to ask tough questions, according to James O'Toole, a business ethics expert. O'Toole says that in each situation the human resources manager must decide not only if the decision positively affects profits, but if it is ethical to involve all players. What is important to discuss today is how research informs us about the pivotal role human resource professionals can and should play in ethics management. Research suggests that successful ethics management depends less on formal ethics programs and more on employees' fairness perceptions, ethical leadership at all levels, and the alignment of multiple formal and informal cultural systems to support ethical conduct. To the extent that HR systems invoke fairness evaluations, HR managers design leadership training, and HR systems help to create and maintain organizational culture, HR professionals must play a key role in ethics management. It s up to HR to make sure employees fully understand the repercussions of ethical misconduct and
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that such behavior will not be tolerated. Ethics guidelines must be easy to use and even inviting to employees. A good ethics program provides both verbal and written reinforcements and offers a variety of packages for employees to learn about or discuss ethics. Although a usable ethics code and an accessible ethics officer will help get the message out, a successful effort requires active communication, education and training a key role of the HR department. More and more HR departments are setting up hot lines, seminars, workshops and similar ethics training programs to try to increase ethical behavior. Recent estimates indicate 33 of companies provide some ethics training. The primary debate is whether or not you can actually teach ethics. Critics stress that the effort is pointless since people establish their individual value system when they are very young. However, supporters note that several studies have found that values can be learned even after early childhood. Evidence shows that teaching ethical problem solving can make an actual difference in ethical behaviors that training has increased individuals level of moral development and if it does nothing else, ethics training increases awareness of ethical issues in business. How can HR teach ethics Human Resource departments across the U.S. and recently across the world not in such extent as in the U.S. are coming up with innovative ways to teach ethics to employees. Texas Instruments gives their employees a quick test. This test teaches employees steps to determine if a decision is ethical. They believe the test allows employees to see a decision more objectively and ethically. Texas Instruments has worked hard to create an environment in which the ethics office and HR personnel work closely with one another to resolve problems. If a question arises about sexual harassment or discrimination, its up to HR to resolve itand the ethics office will pass along any phone call or inquiry that pertains to those issues. On the other hand, if an employee asks a HR manager whether a gift from a client is appropriate, the manager will refer the matter over to the ethics department. It is also important for HR managers to work with the ethics/compliance office to follow up on employees' ethics concerns because a large percentage of reported concerns are fairness and therefore HR system-related. Most employees equate ethics and fairness; for them, there is no bright line between the ethics and HR offices. Ethical leadership is vital to creating an ethical workforce. It is a myth that employees are fully formed moral agents who can 'lead themselves' when it comes to ethics. Research indicates that most employees look outside themselves to significant others for guidance in ethical dilemma situations. If this leadership and guidance is not provided by the leader of the organization, employees will seek it elsewhere, most likely from their peers.
It is important for HR managers to design performance management, career development, training systems and Code of Ethics. A. Code of Ethics It is a statement of the ethical principles, values and behaviors expected from the employees and Administration. The HR fosters the values of openness, honesty, tolerance, fairness and responsibility in social and moral, as well as organizational matters. The Code of Ethics is intended to assist employees and administration to identify and resolve ethical issues that might arise during their employment or in the course of their administrational responsibilities. It is designed to guide them in their dealings with colleagues, clients, the organization, and local, national and international communities. The Code of Ethics puts forward a set of general principles rather than detailed prescriptions. It stands beside, but does not exclude or replace, the rights and obligations of any under common law or legislation. The Code of Conduct then provides more specific information about the companys policies, rules and expectations based on these principles. The Human Resource Department is a complex organization comprising diverse groups that have different relationships to one another. These may be relations of power and/or status. It is essential in such a community that all members recognize and respect not only their own rights and responsibilities, but also the rights and responsibilities of other members of the community and those of the organization itself. The HR Department recognizes that many of its staff members are also bound by codes of conduct or ethics defined by learned or professional societies or groups. Staff may have multiple allegiances: to their disciplines or profession at national and international levels, to the community at large and to the organisation. It is recognized that these allegiances are not always in harmony. It is an obligation of employees and administration to weigh the importance of these allegiances in each particular set of circumstances. The Code of Ethics is based on three universal ethical principles. These are: 1) Equity and justice People are to be treated fairly not discriminated against, abused or exploited. Justice is concerned with power sharing and preventing the abuse of power. In a just community all members can access opportunities that allow for their full participation in that community. 2) Respect for people People should be treated as individuals with rights to be honored and defended. Respect for the rights of other people is the basis on which individuals become members of a community and accept their social responsibilities to behave with integrity.
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Membership of a community means that individuals not only have rights but also duties and responsibilities to others to act openly and honestly. 3) Personal and professional responsibility The principle of taking personal and professional responsibility requires not only that people avoid doing harm to others but that they exhibit courteous behavior upholding the standards expected of all members of the community as part of achieving a common good. In so doing they are expected to protect the rights of others and respect the diversity of cultures and peoples. Those well-positioned to assert their rights have a reciprocal duty to exercise care towards those who depend on them for their well-being. This principle involves stewardship of assets, resources and the environment. When a conflict arises among an employee, client or administrations self-interest and duty to the organization, the issue should be disclosed to an appropriate official of HR department. Wherever feasible the employee or administration should not play a role in decision-making that might be associated with that issue. The Code of Ethics underpins a Code of Conduct that outlines the actions or procedures applicable to employees and administration authorities for a range of specific ethical issues. V. CODE OF CONDUCT The Code of Conduct is based on principles, values and behaviors outlined in the Code of Ethics. This Code applies to all members of any organization. The Code of Conduct underlines: The rights of employees to be treated fairly and equitably in the workplace; Avenues for resolving complaints or breaches of policies and Codes; and VI. OBJECTIVES OF HR DEPTT To Provide direction to staff members around expected conduct in the favor of the organization; To Assist staff in dealing with ethical issues in ways that reflect the organizations values and standards; To Promote professionalism and excellence; To Express shared assumptions and organizational values; To provide staff with direction in ethically ambiguous situations; To Detail the organizations social responsibilities; and To provide a statement on public accountability & corporate governance. The Code of Conduct does not and cannot cover every possible situation. You can, however, test
yourself on whether your behavior is ethical by asking yourself about the way you have treated others. The organization must be committed to provide an environment of equal opportunity, free from discrimination, for existing and prospective staff and students in the pursuit of their academic and professional goals and the realization of their potential to contribute to the achievement of the organizational mission. This objective is supported by an employment philosophy of providing job security through ongoing employment. As discussed above, Along with the rights, HR department must check those practices which may demoralize, defame and put its reputation at the stake and even the growth of group members. The factors are as follows: Bullying Discrimination Racial Harassment Sexual Harassment The parameters on which the ethics of HR department can be evaluated are : A. Confidentiality HR officials or other working group who have access to official documentation and information must take care to maintain the integrity, confidentiality and privacy of such information to protect any individual concerned. Employees must take care to respect the confidentiality and privacy of provided information when authorized by the Office or for legitimate purposes. B. Complaints HR department & employees of the company are entitled to fair and equitable complaint procedures. HR deptt has a number of avenues for assistance with complaints and disputes, depending on their nature. These include the Equity and Diversity Adviser Scheme, Employee Relations and Management Services, Equity and Diversity, and Complaints Resolution. C. Fraud and Corruption Employees at all levels within the organization have a duty to report any act or situation that may be suspected as fraudulent or corrupt as soon as they are aware of these circumstances Fraudulent and corrupt conduct generally involves behavior that is deliberately dishonest or deceitful and involves the abuse of trust which leads to a person gaining a benefit from these types of actions D. Use of Organizations Facilities and Equipment Members of the Company are expected to use all Organizational facilities and equipment efficiently,
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carefully and honestly. Resources should be used economically, secured against theft or misuse and waste avoided. These resources should not be used for personal purposes unless express permission has been granted in accordance with University policy. E. Conflicts of Interest Staff members should take suitable measures to avoid, or appropriately deal with, any situation or relationship in which they may have, or be seen to have, a conflict of interest that could, directly or indirectly, compromise the performance of their duties. Failure to do so and continuation of such a conflict of interest will lead to disciplinary action. All Business Units should ensure that employees and their agents are aware of the requirements to not disclose confidential information and to properly manage the information they receive as part of the procurement process. VII. CONCLUSION Ethics is a full-time responsibility. As an HR professional, you must invest time to learn more about the principles of ethics. The SHRM Code of Ethics is a good place to start. Try typing Human Resources and Ethics into your browser or favorite on-line bookstore. You will find a wealth of information, resources, and ideas to strengthen your knowledge in this important HR skill. HR systems are key to the development and maintenance of ethical culture. One of the steps HR managers can take is to focus on how ethics and values fit into the design of key systems such as performance management and reward systems. HR managers can integrate accountability for ethics and values into
performance management systems so that implementing ethical values is weighted substantially in promotion and compensation decisions (at least as much as bottom line results). Additionally, HR managers can focus on reward systems by rewarding 'exemplary' ethical behavior. To focus on discipline, unethical conduct must be disciplined consistently and at high levels, to send a powerful signal that management means what it says about ethics. Finally, effective ethics management requires regular assessment of the ethical culture. Overall, HR and ethics managers must focus on how cultural systems fit together or align in support of ethical conduct, a common goal. Research suggests that the ethics of taking personal and professional responsibility requires not only that people to avoid harming others but that they exhibit courteous behavior upholding the standards expected of all members of the community as a part of achieving a common good. In doing so, they are expected to protect the rights of others and respect the diversity of cultures and peoples. Those well-positioned to assert their rights have a reciprocal duty to exercise care towards those who depend on them for their well-being. The HR ethics also involves stewardship of assets, resources and the environment. REFERENCES
[1] [2] [3] [4] [5] [6] http://www.ehow.com/about_6062322_human-resources_amp_-ethics.html http://www.megaessays.com/viewpaper/57000.html http://www.hr.uwa.edu.au/publications/code_of_ethics http://www.hr.uwa.edu.au/publications/code_of_ethics http://pihrablog.wordpress.com/2010/02/27/ethics-an-hr-roleand-responsibility/ http://www.nickroy.com/hrblog/2008/09/11/ethics-and-hr/
Enhancing Employee Welfare for Organizational Effectiveness

Tapati Nandy1# and Barnishikha Das2*
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Faculty, Institute of Business & Computer Studies, SOA University, Bhubaneswar Founder & Chief Learning OfficerVeloxian Learning and Consultancy, Bhubaneswar e-mail: #tapati.nandy@gmail.com, *barnishikha@veloxian.com stressors and health outcomes and their impact on productivity. The research reported here begins to address this by presenting the results of a large-scale study with a focus on the factors associated with productivity. II. OBJECTIVE The objective of this paper is to Highlight that the strong links between wellbeing and bottom-line performance factors which is good for the organization as well as the employee. Justify that organizations will get real business benefits by the strategic and systematic implementation of policies and practices that support and develop employee well-being in the workplace. Examine the issues, and indicate a progressive way ahead for employers and HR practitioners in improving employee welfare III. RESEARCH DESIGN & METHODS This is a conceptual paper based on ASSET. The ASSET model was analyzed comprising four main questionnaires. The Perceptions of the Job questionnaire has 37 items, scored from 1 (strongly disagree) to 6 (strongly agree), relating to eight sources of stress: work relationships, work-life balance, control, job security, overload, pay and benefits, resources and communication, and job overall. The Attitudes toward the Organization questionnaire has nine items, arranged over two subscalesPerceived Commitment from your organization and Commitment to your Organization. These items were dealt with in depth. IV. DISCUSSION A. Well-being and Motivation Psychologists know a great deal about the factors that influence motivation and well-being in the workplace and there is a substantial amount of supporting research. The factors that influence wellbeing and motivation can be grouped into one of two broad categories Person factors and Situation factors. The coherent model that combined the influences of
AbstractThe idea of being concerned with the wellbeing and health of the staff, as a business or organizational performance issue, still seems to be a curious notion to many. This is most likely to be true for businesses with Boards that believe that anything that is outside a narrow definition of shareholder value or Return on Investment (ROI) should not be their concern. This article argues that staff well-being should be considered as an essential determinant and metric of organizational and business effectiveness. The healthy, happy, productive worker is a well established new notion. In our experience the assumption among business managers is often that we can attend to staff happiness and wellbeing, as a "touchy feely" HR issue, or we can drive high performance and productivity, but it is not usually possible to reconcile these twin aims. In fact, this distinction between issues that relate to high performing workforces versus issues concerned with improving the well-being of workforces is purely academic - in the worst sense of the word! It does not reflect the realities of organizational life. Absenteeism, for instance, provides a good example of a problem that transcends this artificial distinction and relates to both productivity and well-being. Progressive employers are beginning to recognize the important issues involved here. The strong links between well-being and bottom-line performance factors such as absenteeism and productivity mean that supporting employee well-being is good for the organization as well as the employee. The objective of this paper is to examine the issues, and signposts a progressive way ahead for employers and HR practitioners. Overall, this paper states that organizations will get real business benefits from an initial audit, followed by the strategic and systematic implementation of policies and practices that support and develop employee well-being in the workplace. Keywords: employee welfare, employee satisfaction, organizational culture, work environment, employee relations, organizational effectiveness.
I. INTRODUCTION The healthy, happy, productive worker is a well established new notion. However, in our work helping organizations improve staff well-being we keep being asked for its business case. There is clear recognition of and evidence for the existence of a relationship between workplace stressors and mental and physical health outcomes. Although this strong body of work helps with our understanding, there are further management issues that have been less well addressed. In particular, there is little research that examines the effects of
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person and situation factors in a convincing way proposes that both internal psychological factors, as well as external situational factors, have a role in controlling behavior. B. Stress and Well-being The most significant dangers to psychological wellbeing in the workplace are generally categorized under the heading of work-related stressors which lead to the experience of stress and may significantly damage well-being. Individuals cognitive appraisals moderate the stressorstrain relationship. Only if an individual interprets it to be threatening or harmful will it cause them strain or stress. The notion of appraisal or perception, as a stressorstrain mediator suggests that the individual appraises the stressor (primary appraisal) and appraises their own ability to cope with it (secondary appraisal). Only when both appraisals are negative, when the stressor is perceived to be harmful and the individual feels that they do not have the resources to cope with it, will they suffer stress. C. Well-being and Performance/ Productivity Work on customer satisfaction and employee satisfaction also provides impressive evidence of the business benefits of building employee well-being. If employees are satisfied with their job, work environment, and working relationships etc. then this will be reflected in satisfied customers, via good customer service/service quality. Studies have linked employee attitudes to customer satisfaction; employee working environment and employee satisfaction to customer satisfaction; and employee self-efficacy and job satisfaction to perceived customer service quality. The prevalence of stress has also been found to be negatively correlated with customer satisfaction. One such measurement tool is ASSET (Cartwright and Cooper, 2002), a validated and reliable organizational stress screening survey designed to be used as part of a broader audit approach. The first stage of the ASSET audit approach is for the organization to plan and promote the audit internally, so that employees are aware that it is taking place, the importance of the process and the potential benefits for them of taking part. Secondly, the survey itself must be conducted either online or in paper and pencil format to collect the relevant data. Stress hotspots (i.e. organizational subgroups where stress levels are particularly high) can then be identified and further investigative work with staff from these groups carried out. The findings from the audit with recommended interventions would then be fed back to key stakeholders within the organization and ultimately the recommendations would be formulated into a detailed action plan to take forward. To further illustrate the approach, the ASSET model will be used:
The Asset Model
The design of ASSET has been influenced by existing and established models of stress. However, it recognizes that factors such as overall job satisfaction (measured by aspects of the job) and organizational commitment, usually conceptualized as being the outcome of stress, may also be sources of stress in themselves. For some occupational groups, high levels of commitment and job satisfaction may moderate the effects of stress. ASSET is divided into four sections as below:
Work Aspects of the 1) Perceptions of relationships job your job Work/life balance Overload Job security Control Resources and communication Pay and benefits Aspects of the job Perceived 2) Attitudes commitment towards your of organization organization to employee Perceived commitment of employee to organization Physical 3) Employee health health Psychological wellbeing Biographical 4) Pplementary
1) Perceptions of the job This section of the questionnaire measures a range of possible sources of workplace stress and job pressure which includes questions relating to home and social life-related pressures. It comprises of 37 items loading on to eight subscales, which collectively assess the eight sources of pressure identified by the ASSET model.
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Work relationships Most jobs demand a great deal of contact with other people at work. Poor or unsupportive relationships with colleagues and/or superiors, isolation (a perceived lack of adequate relationships) and unfair treatment can all be potential sources of stress. Work/life balance The demands of work have the potential to spill over and interfere with individuals personal and home lives. Assets work life balance subscale measures the extent to which difficulty maintaining a satisfactory balance between work responsibilities and personal/home life is a source of stress. Overload Unmanageable workloads and time pressures can be a source of stress. It has been found that overload can produce symptoms of psychological stress. Job security Whilst significantly fewer employees now expect a job for life, the fear of job loss or obsolescence still remains a major potential source of stress. Indeed, job insecurity has been identified as one of the most salient sources of stress for employees today. Control The experience of stress is strongly linked to perceptions of control. Lack of influence in the way in which work is organized and performed can be a potential source of stress. Resources and communication To perform their job effectively, individuals need to feel they have the appropriate training, equipment and resources. They also need to feel that they are adequately informed and that they are valued. Pay and benefits The financial rewards that work brings are obviously important in that they determine the type of lifestyle that an individual can lead. In addition, they often influence an individuals feelings of self worth and perception of their value to the organization. Aspects of the job This ASSET subscale measures the potential sources of stress that relate to the fundamental nature of the job itself. Factors such as physical working conditions, type of tasks and the amount of satisfaction derived from the job itself are all included.
2) Attitudes towards the organization This second is concerned with the measurement of organizational commitment and is divided into two scales: commitment of the organization to the employee and commitment of the employee to the organization. This section reflects the non-economic reciprocal obligations that exist between employer and employee Commitment of the organization to the employee Employees expect to be trusted and respected and want to feel that it is worth going the extra mile for their organization. Commitment of the employee to organization Employers expect their employees to do their job as best they can and expect them to be loyal and dedicated to the organization. 3) Employee health This third section assesses respondents state of health. It consists of seventeen items arranged on two subscales: physical health and psychological wellbeing. According to the ASSET model and the large body of research on which it is based, poor employee health can be indicative of excessive workplace pressure and experienced stress. Physical health All items on this subscale relate to physical symptoms of stress. The role of this subscale is to give an insight into physical health, not an in-depth clinical diagnosis. Psychological well-being The items listed on this subscale are symptoms of stress-induced psychological ill health. 4) Supplementary This part assesses the circumstances of individual employee and what other factors specific to an individual and his personal perceptions contribute to his wellbeing and, it may not necessarily be common to everyone. So the content is a mix of open ended questions. Biographical All the items in this subscale relate to the individuals background surroundings- demographics etc. V. FINDINGS The results show a number of interesting relationships. First, the strongest predictor of productivity was psychological well-being. This is in keeping with research on burnout and expands on that
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work by extending the measurement of psychological well-being (stress outcome) to a broader conceptualization. A second influential factor in productivity was commitment from the organization to the employee. A number of studies have demonstrated a commitmentproductivity relationship, but these have tended to focus on employee commitment. The third interesting aspect of these results is how few stressors directly predicted productivity VI. CONCLUSION & SUGGESTIONS
and develop employee well-being in the workplace. Such policies are not a perk for employees. The strong links between well-being and bottom-line performance factors such as absenteeism and productivity mean that supporting employee welfare is good for the organization as well as the employee. REFERENCES
[1] Bernhardt, J. M. M., Donthu, N. and Kennett, P. A. (2000), A longitudinal analysis of satisfaction and profitability, Journal of Business Research, Vol. 47(2), pp. 16171. Cropanzano, R and Wright, T. A. (1999), A five-year study of change in the relationship between well-being and job performance, Consulting Psychology Journal: Practice and Research, Vol. 51(4), pp. 25265. Donald, I., Taylor, P., Johnson, S., Cooper, C., Cartwright, S. and Robertson, S. (2005), Work environments, stress and productivity: An examination using ASSET, International Journal of Stress Management, Vol. 12(4). Efraty, D. and Sirgy, M. J. (1990), The effects of quality of working life (QWL) on employee behavioral responses, Social Indicators Research, Vol. 22(1), pp. 3147. Hurst, N., Young, S., Donald, I., Gibson, H. and Muyselaar, A. (1996), Measures of safety management performance and attitudes to safety at major hazard sites, Journal of Loss: Prevention in the: Process Industries, Vol. 9, pp. 16172. Kessler, R., Bauber, C., Birnbaum, H. G., Frank, R. G., Greenberg, P. E., Rose, R. M., Simon, G. E. and Wang, P. (1999), Depression in the workplace: Effects on short-term disability, Health Affair, Vol. 18, pp. 16371. Meerding, W. J., Jzelenberg, W., Koopmanschap, M. A., Severns, J. L. and Burdorf, A. (2005), Health problems lead to considerable productivity loss at work among workers with high physical load jobs, Journal of Clinical Epidemiology, Vol. 58, pp. 51723. Wright, T. A. and Cropanzano, R. (2004), Psychological wellbeing and job satisfaction as predictors of job performance, Journal of Occupational Health Psychology, Vol. 5(1), pp. 8494.
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In summary, this article has provided further support for the relationship between well-being and productivity and has enabled further insight into the relationship between commitment and productivity. Additionally, although individual work stressors were included in the design, we found no direct relationship between stressors and productivity, with the exception of resources. As discussed above, we propose that resources have a direct impact on productivity as a result of the inability to perform effectively without the tools of the job rather than through a stressorstress pathway. Furthermore, in contrast to previous studies in the area, the large sample size and mix of occupations included in the research means the results can be viewed as generalizable to other employee groups. The research reported here provides a foundation for the examination of more complex interactions and relationships involved in the stresswell-beingproductivity process. Overall, this article has argued that organizations will get real business benefits from an initial audit, followed by the strategic and systematic implementation of policies and practices that support
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Changing Trends in Human Resource Management

Yashika Grover
Assistant Professor, Dept. of Humanities & Management, NIT Jalandhar e-mail: yashika_g2005@yahoo.com
AbstractHR should not be defined by what it does but by what it delivers- results that enrich the organisations value to customers, investors, and employees. David Ulrich. The new trends in HR mark significant challenges to domestic and global organizations with respect to all major activities of HR. In the new HR, professionals has to evolve to become strategic partners and are expected to know the business well enough to align human capital with business needs, either developing the needed talent or going outside the organization to get it. HR has to be proactive to cope with the heightened expectations. Management is integrating HRM into an overall business strategy geared toward regaining, or maintaining, a competitive edge. Some of the future challenges include outsourcing, workforce diversity, globalisation, technological changes and new techniques of recruitment, training & retention, compensation management, performance management. Globalization of markets, changing customer demands and increasing productmarket competition, people and the way they are managed acquire greater importance in the 21st century. HR professionals will be coaches, counsellors, mentors, and succession planners to help motivate organizations members and their loyalty. The aim of this article is to address these HRM issues at the workplace and the emerging role of HR manager through a variety of available literature and different views of authors.
shows that HR is the only leading function which can play the most strategic role. Studies show that with competition getting intense, HR is a primary driving force behind organizational change and technical innovation. Following are some recent changes/trends in the field of Human Resource Management: II. MOONLIGHTING Also referred to as double jobbing and dual or multiple jobholding. It is a situation when employee takes up another part time job or business with that of original job. He has all sorts of reasons to do that. Firstly, employees may do so as a result of dissatisfaction from present wage & salary structure. They feel that employer enjoys the increased profit and that they are being exploited by the employer. Consequently they agitate for hike in wages or take up another part-time job or business simultaneously with that of the original job. Secondly, some do it as the beginning of a career-change move, gaining experience in a new career field before making the full switch. Others work multiple jobs to simply meet living expenses. Still others do it (usually on a temporary basis) to earn extra money. Finally, others do it because they simply enjoy the second job. Moonlighting by employees affects almost all the functions of HRM. Its effects would be mostly negative & it poses challenges to the HR manager. Presently very limited number of employees does moonlighting, but the number of employees will go on increasing due to change in employee values & expectations. Basic moonlighting policies generally contain the statements addressing: Interference with the primary job Conflicts of interest (not to work for competitors) Approval of employer before going for any additional employment III. POACHING/RAIDING It is the practice of enticing employees to work for another organisation or enticing members of one union to join another union.Buying talent (rather than developing it) is the latest mantra being followed by the organisations today. Poaching means employing a competent and experienced person already working with another reputed company in the same or different
I. HR PARADIGM Earlier businesses had limited HRM involvement but today it is totally a different story, it has changed the way we work. Last few years has seen the great debate raging over the critical role which HR is going to play in the days to come. Business environment has become less predictable and the competitive value of the firm is decided by its unique and skilled workforce. This paper aims at knowing the new paradigms in the field of HRM which will help managers and researchers to be proactive and to conduct further studies on these areas. The analysed trends are at an initial stage in India but multinational companies are already implementing most of them. Literature has been explored in depth to gather the information to know the future of HRM and to explore the emerging role of HR professionals. A survey by the Society for HRM found that a dismal 34% of executives felt that HR was viewed as strategic business partner. However a careful examination of current trends which drive business decision making
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industry; the organisation might be a competitor in the industry. A company can attract talent from another firm by offering attractive pay packages and other terms and conditions, better than the current employer of the candidate. But it is seen as an unethical practice and not openly talked about. Indian software and the retail sector are the sectors facing the most severe brunt of poaching today. It weakens the competitive strength of the firm. IV. OUTSOURCING OF HR FUNCTIONS A company may draw required personnel or required function from outsourcing firms. The outsourcing firms help the organisation by the initial screening of the candidates according to the needs of the organisation and creating a suitable pool of talent for the final selection by the organisation. Outsourcing firms develop their human resource pool by employing people for them and make available personnel to various companies as per their needs. In turn, the outsourcing firms or the intermediaries charge the organisations for their services. Companies go for outsourcing of their HR services to get the benefits of cost reduction and access to best technologies. This way they can focus on strategic concerns related to HR. V. THE NEW "TALENT" CHALLENGE The phrases "War for Talent" and "Talent Management" have become buzz phrases. Heres the new one: "Talent Economists." To become "talent economists," HR leaders must become keenly aware of the supply of talent (who's laying off now and soon) and the demand for talent (who is hiring/when). Then, they must assess their own talent supply/demand meets the 4-P's test. Do we have the right person for the position in the right phase of the company for the right price? If not, do we have the courage to make changes to take advantage of the great supply that's in our marketplace now? The answers will be given by talent management. Talent Management is the process of managing the supply and demand of talent to achieve optimal business performance in alignment with organisational goals. It is also known as HCM (Human Capital Management), HRMS (HR Management Systems). It is usually a set of processes and does not always rely on a computer system, as do HRIS and HRMS. Talent management is a process that emerged in the 1990s and continues to be adopted, as more companies come to realize that their employees talents and skills drive their business success. These companies develop processes & plans of training, recruitment & compensation to track and manage their employee talent. Currently, according to a research only 5 percent of organizations have a clear talent management strategy and operational programs in place today and many companies have just started the concept.
Lots of companies have succession plans but very few have done the career planning and skills gap analysis needed to acquire the best talent. Succession planning and leadership development are the two main tasks of Talent Management. VI. EMPLOYEE EMPOWERMENT Empowerment refers to enlargement of an employees job responsibility by giving him the authority of decision making about his own job without approval of his immediate supervisor. It is the degree of responsibility and authority given to an employee. By empowerment, the employees are supported and encouraged to utilize their skills, abilities and creativity by accepting accountability for their work. It occurs when employees are adequately trained, provided with all the relevant information and the best possible tools, fully involved in key decisions, and are fairly rewarded. It includes supervisors and employees working together to establish clear goals and expectations within agreedupon boundaries. Employee empowerment can begin with training and converting a whole company to an empowerment model. To make it work successfully, the management team must be truly committed to allow employees to make decisions. They may wish to define the scope of decisions made. Building decision-making teams is often one of the models used in employee empowerment, as it allows managers and workers to contribute ideas toward directing the company. VII. SIX SIGMA Six Sigma is a methodology that focuses on understanding and meeting customers' needs by using a variety of tools, especially statistical analyses, to drive performance metrics. Although its roots are in manufacturing, there's no reason that Six Sigma can't be adopted for service environment. Six Sigma can be used to tackle a variety of strategic human resources projects, such as: Lowering turnover Reducing injuries at work Improving recruiting time-to-fill Six Sigma methodologies include a project plan known as DMAIC that is used to improve business processes within human resources. DMAIC is an acronym that describes the basic steps you take: Define -- Identify the problem Measure -- Establish metrics to quantify Analyze -- Figure out what the metrics tell you Improve -- Craft a solution based on your analysis Control -- Find a way to sustain improvements Six Sigma process is broader than total quality management (TQM) programmes. TQM focuses on detecting and correcting defects, while six sigma recreates the processes to ensure defects never arise right
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from the beginning. From organisations' point of view it provides maximum value in the form of increased profits and from customer's point of view it provides maximum value in terms of high quality products and services at competitive costs. General Electric, WIPRO & Motorola are the implementing Six Sigma strategy. More than 75% of the fortune 500 companies have deployed Six Sigma in one form or another. VIII. GOLDEN BOOT COMPENSATION Golden boot compensation is an inducement, using maximum incentives and financial benefits, for an older worker to take "voluntary" early retirement. It is a lucrative package used to encourage an aging worker to voluntarily resign. The package may include cash and stock options, as well as equity in the company. Golden boots are most common when a company wishes to hire younger workers that may have skills that the older worker does not possess. It would cost the company money to retrain the older worker, and he/she may not learn the new skill as well. On the other hand, age discrimination laws may prevent the company from firing the older worker. IX. GOLDEN HANDSHAKE A stipulation in an employment agreement which states that the employer will provide a significant severance package if the employee loses their job. A golden handshake is usually provided to top executives for loss of employment through layoffs, firing or even retirement. Payment can be made several ways, such as cash, or stock options. Some contracts, along with compensation, include non-competition clauses that state that once employment is terminated the employee is not allowed to open a competing business for a specified period of time. X. GOLDEN PARACHUTE Lucrative benefits given to top executives in the event that a company is taken over by another firm, resulting in the loss of their job. Benefits include items such as stock options, bonuses, severance pay, etc. A golden parachute can be used as a measure to discourage an unwanted takeover attempt. Samsung Electronics India Pvt. Ltd offers a golden parachute as a part of their retention strategy. XI. DIFFERENCE BETWEEN A GOLDEN HANDSHAKE AND A GOLDEN PARACHUTE A golden parachute is an agreement between a company and an employee that guarantees the employee certain benefits, like monetary compensation or stock options, if employment is terminated. A golden parachute agreement customarily is used as a lure to retain the upper executives of a company. Golden parachute agreements concern investors because
company executives are highly compensated already and the agreements do not stipulate that golden parachute compensation be granted based on the successful performance of the executive. A golden handshake is similar to a golden parachute in that it offers a severance package to an executive when he or she becomes unemployed from a company. While both terms describe severance packages given to executives upon termination of duties, a golden handshake goes further to include the severance packages granted executives upon retirement, too. XII. SILVER PARACHUTE Like golden parachutes--which are received by the top executives in the corporation--silver parachutes include severance pay, stock options and bonuses but are offered to a larger number of employees. XIII. NEW ROLES OF THE HR PROFESSIONALS Managing and attracting the human resource in todays challenging time is very difficult task where globalisation, technological advancements and organisational developments are taking place every time. The role of HR manager has changed a lot. Its just like dancing differently on changing tunes of life. These trends are creating new realities and opportunities for the HR Professionals. HR is to be perceived as an enabler of business strategies. It is logical that with the emergence of a virtual workforce, there is also a need for other auxiliary services such as the HR. It needs to do lot more than just being good at HR to manage virtual workforce. They need to broaden their skill-sets. It is imperative then that an HR Practitioner starts looking beyond her/his facebook, twitter, or linked social engagements and start immersing, assimilating in the world of virtual management. The changed role includes collaborating in resolving of strategic problems, partnering with community groups and business organizations, encouraging real employee involvement, keeping up-todate on technological advances in HR applications, creating the "learning" organization, etc. Management should integrate HRM into an overall business strategy geared toward regaining or maintaining, a competitive edge. In other words, HRM decisions and practices are expected to create value and not merely reduce costs. REFERENCES
[1] [2] [3] [4] http://www.hrworld.com/features/talent-management-faq112007/, accessed on March 22, 2011. http://www.taleo.com/researcharticle/what-talent-management, accessed on March 23, 2011. http://www.chrmglobal.com/Replies/1467/1/Six-Sigma-Human-Resources.html, accessed on March 22, 2011. http://www.isixsigma.com/index.php?option=com_k2&view=ite m&id=755:applying-systems-thinking-to-the-practice-of-sixsigma&Itemid=200, accessed on March 22, 2011.
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The Role of CSR and Organizational Ethics

Dr. Ravi Kiran1 and Anupam Sharma2
1 2
Professor, School of Mgmt. & Social Sciences, Thapar University, Patiala, India Research Scholar, School of Mgmt. & Social Sciences, Thapar University, Patiala e-mail: 1kiranravee@gmail.com, 2anupam8611@gmail.com People tend to have a negative perception towards business organization because the motive of business is only profit earning but now this perception is changing. One likely cause for the negative image associated with big business is the repeated occurrence of certain high profile events and scandals viz Enron, , Union Carbide and Satyam (Ruggie 2003; OHiggins 2005; Handy 2003).The role among corporate stakeholders to work collectively is exerting pressure on corporations to change. Stakeholders wonder whether the CSR is really altruistic or just another marketing ploy to increase profits, albeit indirectly (Arendt and Brettel, 2010). Shareholders and investors themselves, though socially responsible are exerting pressure on corporations to behave responsibly. In short, business in general has come under increasing pressure from its stakeholders to act responsibly and to engage effectively with stakeholders via various practices. Stakeholder theory by Freeman (1984) suggests that a justifiable managerial activity is investing time and other resources in addressing stakeholders interests. Corporate social responsibility plays very important role in improving companys local and global image. If a company take care about: corporate governance and ethics, health and safety, labour rights, industrial relation practices, and community involvement, development and investment, anti-bribery and anti-corruption measures, transparency and customer satisfaction measures. Finally this will all help the company in enjoying benefits like good corporate social image, enhanced reputation, better stakeholder relations and less legal interventions. The objectives of this study are: To assess the organizations perceptions regarding the importance of ethics and social responsibility, and Benefits that corporate organizations gain by implementing social responsibility practices. So the present composition is an attempt to find out the perceptions of organizations or entrepreneurs regarding the importance of ethics in business and introduction of CSR as a business responsibility rather than philanthropy. This will ultimately led to benefit the companies because as they work for social development of society, developed society will led to use more of their companys products. II. LITERATURE REVIEW According to McWilliams et al., (2006) there is no consensus on a definition for CSR, but despite that
AbstractOrganizations must first perceive ethics and corporate social responsibility to be important before their behaviors are likely to become more ethical and reflect greater social responsibility. Corporate Social Responsibility (CSR) must be referred as a Business Responsibility and organization's impact upon environmental, social and economic issues. The present work is an attempt to capture the use of corporate social responsibility to promote socially responsible image of the organization from the societys prospective. The objectives of this study are (1) To assess the organizations perceptions regarding the importance of ethics and social responsibility, and (2) benefits that corporate organizations gain by implementing social responsibility practices. Corporate reputation, Governance and Ethics are the current issues associated with organizations CSR practices. The present study, therefore, is an attempt to explore the perceptions of organizations or entrepreneurs regarding the importance of ethics in business and introduction of CSR as a business responsibility rather than philanthropy.
I. INTRODUCTION CSR stands for corporate social responsibility which is a broad term that covers concepts used by companies or organizations to maintain their socially good or responsible image in relationships with customers, shareholders and stakeholders. Corporate Social Responsibility (CSR) is a powerful way of making sustainable and competitive profit and achieving lasting value for the shareholder as well as for stakeholders. CSR and the reporting thereof is a win-win opportunity, not just for companies and for financial investors but for society also. In todays changing competitive global world, companies thinking more towards their social responsibility programs as well as sustainable and comparatively less worried about maximizing their profits, sustainability and social development being seen itself as an achievement by the todays companies. Factors enhancing the need for CSR identified by Boston College (2005) are: Globalization and the associated growth in competition Increased size and influence of companies Retrenchment/repositioning of government and its roles War for talent; companies competing for expertise Growth of global civil society activism Increased importance of intangible assets.
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diverse interpretations, practice and regulatory mechanisms have emerged. CSR is now a well-known expression for what, in the past, has been a collection of different and yet related terms: corporate philanthropy, corporate citizenship, business ethics, stake holding, community involvement, corporate responsibility, socially responsible investment, sustainability, triplebottom line, corporate accountability and corporate social performance. CSR goes beyond the occasional community service action, as it is a corporate philosophy that drives strategic decision-making, partner selection, hiring practices and, ultimately, brand development (South China Morning Post, 2002). The social responsibility of business encompasses the economic, legal, ethical, and discretionary expectations that society has of organizations at a given point in time (Carroll, 1979). Traditional theories advocate maximization of shareholder value. Friedman (1970) advocated that the only one responsibility of business towards society is the maximization of profits to the shareholder within the legal framework and ethical custom of the country. Modern theorists advocate value maximization as (Jensen, 2002) highlights that certain social activities may contribute to the long-term shareholder value of the corporation. Windsor (2006) identifies ethical responsibility, economic responsibility and corporate citizenship. Garriga and Mele (2004) identify four groups of CSR approaches: instrumental, political, integrative and ethical. CSR is a powerful way of making sustainable competitive profits and achieving lasting value for the shareholders as well as for stakeholders. Thus, organizations must build on their corporate values to create an organizational culture that is receptive to change and can sustain a corporate social responsibility strategy over the long run. Business and ethics can be located within society. (Maon et al., 2009; Johnson & Smith, 1999). Corporate philanthropy provides a mechanism whereby businesses and organizations can contribute to and help the communities which have made them successful, and can also provide a powerful mechanism for fostering social change (Kurtzman, 2004). The CSR concept has been around since the early 1970s, yet it only entered mainstream business about a decade ago (Deri, 2010). Strategically CSR can become a source of tremendous social progress, as the business applies its considerable resources, expertise and insight to the activities that benefit society (Porter and Kramer, 2006). The need to incorporate CSR right in to strategy of firms was intensely felt. Boundaries of strategic CSR and its benefitiality for business and society were traced (Lantos Geoffrey, 2001). It became another focus of CSR studies as to find out which the geographical limitations, and how it changes concomitantly with changing territorial boundaries (Maignan et al. 2002).
A. The Organizations Perceptions Regarding the Importance of Ethics and Social Responsibility It is very difficult to do a one-on-one comparison between ethical standards of organization and social responsibility programs followed by the organization. In the era of globalization its very important to change the organizations philanthropic approach of social responsibility in to corporate social responsibility approach. As individuals joined hands to form organizations, the same concept became embedded in the organizations. Today the Corporate social responsibility goes far beyond the old philanthropy of the past donating money to good cause at the end of the financial year and is instead an all year round responsibility that companies accept for the environment around them, for the best working practices, for the engagement of local communities. Now companies are more focusing upon their social responsibility practices.
Fig. 1: Association between Business, Ethics & Social Responsibility
Its very much clear from the figure1 that business ethics and social responsibility are no longer different. These three terms are now more interdependent rather than independent terms. The growth or strategy of one depends upon the movement of another. For example new business policy will be dependent upon companies ethical rule book. Social responsibility expenditure will be dependent upon the companys profits. B. Benefits that Corporate Organizations gain by Implementing social Responsibility Practices are Improved Reputation: Organizations or companies that perform well with respect to CSR are able to build their good reputation, while those that do not go for CSR can damage brand image and company value when exposed to the society. Brand reputation, or brand equity, are developed on the values such as trust, credibility, reliability, quality and consistency. Even the companies that do not have direct retail stores for exposure of their brands, their reputation for addressing CSR issues also matters a lot, as a supply chain partner both good and badcan be crucial important.
The Role of CSR and Organizational Ethics
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Enhanced Ability to Recruit, and Retain Staff: If a company is implementing CSR practices this will directly led to the pride in the companys brand image enhanced reputation of products and practices, or of introducing improved human resources practices. This can result in to the development of programs and activities that improve employee morale, loyalty and satisfaction also. Improved Innovation, Competitiveness and Market Positioning: CSR is all about seeking opportunities for avoiding risk. Drawing feedback from shareholders and stakeholders about the companies CSR practices. Generating new ideas for product improvement, processes innovation. This will also help in distinguishing your company from competitors. And finally help the company to position their product in the customers mind. Improved Relations with Regulators: In many countries, government uses (or are considering using) CSR indicators to know about the companies social image in the market. Government or other regulatory bodies pass the bills of the companies or approve their projects easily if a company is going for social and environmental activities beyond those required by regulations. Improved ability to Build Effective and Efficient Supply chain Relationships: A firm is continuously going for or working upon social responsibility practices will definitely enjoy the good supply chain relationships. III. CONCLUSION The present research has been undertaken with the broad objective to study the organizations perception regarding the importance of social responsibility and ethics in the business. So far very little is known about the social responsibility and business involvement with this. But now companies consider social responsibility practices as the part of their work. Major change is coming in the change in the perception of business regarding CSR activities as philanthropy to social responsibility practices. The present research helps in understanding the different aims of the organizations regarding the implementation of social responsibility practices. And highlights the various benefits enjoyed by the corporate organizations by implementing social responsibility practices. a In the end it can be summarized that in the past times main motive of the
business was to earn profits only but as time changes motive of business is also changing. Now its not only profit earning. Companies socially responsible image helps the organizations in building good brand reputation, and brand image also helps in motivating employees, in making better market position, and also helps in minimizing future risks. REFERENCES
[1] Boston College Centre for Corporate Community Relations (2000), Making the Business Case: Determining the Value of Corporate Community Involvement. Carroll, A. (1991). The pyramid of corporate social responsibility: toward the moral management of organizational stakeholders. Business Horizons, Jul Aug, 42. Carroll, A.B. (1993). Business and Society: Ethics and Stakeholder Management. Edition South Western Publishing U.S.A., Cincinnati. Carroll, A.B. (1998). The four faces of Corporate Citizenship. Business and Society Review,100-101, 1-7. Carroll, A. B. (1999). Corporate social responsibility evolution of a definitional construct Business and Social Review,Vol. 38, No.3, pp.268295. Hanke, T. and Stark, W. (2009) Strategy Development: Conceptual Framework on Corporate Social Responsibility. Journal of Business Ethics, vol: 85, pp: 507516. McWilliams, A. and D. Siegel. (2001), Corporate Social Responsibility: A Theory of the Firm Perspective, Academy of Management Review, vol. 26(1), pp. 117127. McWilliams, A., D. Siegel and P. Wright. (2006), Corporate Social Responsibility: Strategic Implications, Journal of Management Studies, vol. 43, pp. 118. Garriga, E. M. and D. Mele. (2004), Corporate Social Responsibility Theories: Mapping the Territory, Journal of Business Ethics, vol. 53, pp. 5171. Maon, F., Lindgreen, A. and Swaen, V. (2009), Designing and implementing Corporate Social Responsibility: An integrative framework grounded in theory and practice, Journal of Business Ethics, pp 7189. Johnson, P. and Smith, K. (1999), Contextualizing Business Ethics: Anomie and Social life, Human Relations, Vol.52, No.11. Kurtzman, C. (2004). Remarks by Cliff Kurtzman, Executive Director, My City Rocks Corporation, Giving Back and the Value of Strategic Corporate Philanthropy. Available from http://www.lsigroup.org/socialresp.php Deri, C. (2010). A remark by Chris Deri, Executive vice president for Edelmans CSR/sustainability, global practice leader and corporate and public affairs, the changing face of CSR, Available from http://www.thejakartapost.com/news/2010/01/13/the-changingface-csr.html. Porter, M.E. and Kramer, M.R. (2006), Strategy and society: The link between competitive advantage and Corporate Social Responsibility, Harvard Business Review, pp.7892.
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A Study of HRD Climate and Their Impact on Employees Productivity

1
Dr. Shefali Verma1 and Rita Goyal2 Associate Prof. MMIM, Maharishi Markendeshwar University, Mullana (Ambala) 2 Research Scholar & Assistant Professor Dept. of Humanities and Social Sciences Maharishi Markendeshwar University, Mullana (Ambala) e-mail: rgparthpallavi@gmail.com, shefu_pawan@yahoo.co.in pride and camaraderie are the primary factors considered in 'Great Places to Work' by Indian employees. Most of the organizations rated as a great place to work recognize the aspirations of the employees and focus on their growth and development. This indicates that most of these organizations have got a reasonably good HRD climate. II. REVIEW OF LITERATURE Creation of a supportive environment is an effective alternative suggested by Dayal (1993) to foster the growth of individuals in organizations. Some of the factors identified by him in this regard include personal desire among individuals to grow, opportunities for interaction, assimilation of experience and capability to assess one's potentialities. Peter M. Senge (1990) also explained the influence of structure on the behaviour of people. According to him, people, however different, will produce similar results when placed in the same system. He perceived structure as a key factor that influences behavior. While describing the HRD in Indian organizations, Gupta (2004) concluded that the focus of HRD in Indian organizations is on the development of the competencies of people. It also emphasiss the development of an organizational climate that would facilitate and sustain the process of employee development and commitment. Salokhe (2002) has conducted a study of the HRD climate in selected banks in the Kolhapur district of Maharastra. It revealed the existence of a remarkably good HRD climate in the scheduled, co-operative and public sector banks there. There was no substantial variation in the perception of HRD climates across the different cadres of employees. Another study by Mishra and Bhardwaj (2002) reported that the managers in a private organization perceived the HRD climate as favorable. The top management's commitment to HRD, integrated HRD system, well defined personal policies and culture of openness are listed to be the strengths of HRD in that organization. Alphonse (2001) analyzed the HRD climate in a hospital by assessing the top management's belief in HRD, superior- subordinate relationship, personnel policies, team-spirit, employee development, training,
AbstractHuman resource Development (HRD) is the development of people at work. HRD examines what can or should be done to make working people more productive and satisfied. Its goal is to help develop more effective managers and staff specialists who work directly with the human resources of organizations. The effective performance of this human resource depends on the type of HRD climate that prevails in the organization, if it is good than the employees performance will be high but if it is average or poor then the performance will be low. This paper aims to study the extent of HRD climate in the LIC, and explores the proposed link between the human resource development climate and employees productivity.. The study makes use of statistical techniques such as mean, standard deviation, Z test. Correlation analysis and regression analysis to process and analysis the data collected for this study. The result shown that the HRD climate in Life Insurance Corporation is average. The paper ends by offering useful suggestions to the management involved in the operations of the corporations. Keywords: HRD climate, LIC, Performance, Employees Productivity A study with special reference to Life Insurance Corporation in Northern India
I. INTRODUCTION Organizational climate is a set of characteristics of an organization which are referred in the descriptions employees make of the policies, practices and conditions which exist in the working environment.(Abraham) The term climate is used to designate the quality of the internal environment which conditions in turn the quality of cooperation, the development of the individual, the extent of members dedication or commitment to organizational purpose, and the efficiency with which that purpose becomes translated into results. Climate is the atmosphere in which individuals help, judge, reward, constrain, and find out about each other. It influences morale and the attitudes of the individual toward his work and his environment. A productive and supportive environment is essential for effective learning and development in organisations. This environment requires a culture of collaboration and team spirit, top management's commitment towards HRD initiatives and the effective implementation of various HRD subsystems. A recent study by Sachdev et.al (2007) concluded that trust,
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employee initiatives and management encouragement. It reported the existence of a reasonably good climate with an average score of 3.46 in the HRD climate assessment scale. This study used the HRD Climate Scale developed by T.V. Rao. A study done by Rao in 1999 (Rao et al. 2001) regarding the HRD climate in 41 organisations revealed that the general climate in the organisations is average. A general indifference on the part of the employees towards their own development was found to be the reason for this. The lack of support to the employees post training is a major hurdle in applying what they had learnt. This in turn affects the career development of the employees. It was noted that the top management in most of the organisations is doing routine things. The other impediments of HRD highlighted in the study are the lack of opportunities for transfer of training skills and career development. III. OBJECTIVES OF THE STUDY To study the type of HRD climate prevailing in some selected Branches of LIC. To study the differences in the perception of employees on the basis of gender. To study the differences in the perception of employees on the basis of designation. To study the differences in the perception of employees on the basis of Qualification. To establish the impact of the HRD practices to the employees productivity of the corporations applying them. IV. RESEARCH DESIGN A. Sampling For the purpose of the study, the researcher selected the 4 branches of LIC on the basis of judgmental sampling and respondents on the basis of non probability random sampling. V. SAMPLE DESIGN A. Data Collection and Period of Study The researcher personally contacted 150 employees in four selected branches of LIC in Northern India. They were appraised about the purpose of the study and request was made to them to fill up the questionnaire with correct and unbiased information. B. Questionnaire The questions were designed to facilitate the respondents to identify major strengths and weakness of the Corporations and provide insights. The endeavors were to identify the key human resource climate issues, on which employees perception can be obtained. The respondents were requested specifically to ignore their
personal prejudices and use their best judgment on a 5 point Likert scale. The purpose of this exercise was to make the response a true reflection of organization reality rather than an individual opinion. The 5 point of the scale indicated in the questionnaire are- 1. Strongly disagree, 2 disagree, 3-Undecided, 4-Agree and 5Strongly Agree. Reliability (Cronbachs coefficient alpha) of the questionnaire has found to be 0.78.HRD climate where most employees have positive attitudes to the HRD policies and practices on that dimension and thereby to the organization itself. VI. HYPOTHESIS A. Hypothesis 1 H0: There is no significant difference between the perception of male and female employees. Ha: The difference is significant between the perception of male and female employees. B. Hypothesis 2 H0: The difference is not significant between the perceptions of employees at different level. Ha: The difference is significant between the perception of employees at different level.. C. Hypothesis 3 H0: The difference is not significant between the perception of graduate and post graduate employees. Ha: The difference is significant between the perception of graduate and post graduate employees. D. Hypothesis-4 H0: There is no relation between the HRD climate to the employees productivity. Ha: The difference is significant between the HRD climate to the employees Productivity. VII. DATA ANALYSIS AND DISCUSSION A. Descriptive Statistical Analysis Table 1 provides an idea about the HRD Climate prevailing in the selected branches of LIC. The mean and % score indicate that the HRD Climate in selected branches of LIC is average and there is a tremendous scope of improvement in the HRD climate. Our next objective was to compare the perception of HR practices first between male and female respondents. A Z-test was conducted for this purpose. Results are tabulated in table respectively. The above statistics in Table-1describes that there is no significant difference between the perception of male and female employees in terms of observance of
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HRD climate. Male and female employees have a slight difference in perception that HR climate. The calculated Z value (- 0.43) falls under the acceptance region (-1.96 to +1.96) at 0.05 significance level, therefore we accept the null hypothesis that the difference is not significant between the perception of Male and Female employees regarding the HRD Climate in selected branches of LIC. .Our next objective was to compare the perception of HR climate between the classes I, class II, and class III employees. A Z-test was conducted for this purpose. Results are tabulated in table respectively. When compared between managers at different level the calculated Z value (- 0.65) falls under the acceptance region (-1.96 to +1.96) at 0.05 significance level,therefore we accept the null hypothesis that the difference is not significant between the perception of employees regarding the HRD Climate in selected branches of LIC. Our next objective was to compare the perception of HRD climate between graduate and post graduate employees. A Z-test was conducted for this purpose. Results are tabulated in table respectively. The calculated Z value (- 0.55) falls under the acceptance region (-1.96 to +1.96) at 0.05 significance level,therefore we accept the null hypothesis that the difference is not significant between the perception of Graduates and Post Graduates employees regarding the HRD Climate in selected branches of LIC. There is positive relation between the HRD climates to the employees productivity. VIII. WHAT CONTRIBUTES TO HRD CLIMATE? The following factors may be considered as contributing to HRD climate: Top Management Style and Philosophy: A developmental style a belief in the capability of people participative approach openness and receptivity to suggestions from the subordinates are some of the dimensions that contribute to the creation of a positive HRD climate. Personnel Policies: Personnel policies that show high concern for employees, that emphasis equity and objectivity in appraisals policies that emphasis sufficient resource allocation for welfare and developmental activities, policies that emphasis a collaborative attitude and trust among the people go a long way in creating the HRD climate. HRD Instruments and Systems: A number of HRD instruments have been found to generate a good HRD climate. Particularly open systems of appraisal with emphasis of counseling, career development systems,
informal training mechanisms, potential development systems etc. contribute to HRD climate. Self-renewal Mechanisms: Organizations that have built in self-renewal mechanisms are likely to generate a positive HRD climate. Attitudes of Personnel and URD Staff: A helpful and supportive attitude on the part of HRD and personnel people plays a very critical role in generating the HRD climate. If the personal behaviour of any of these agents is not supportive, the HRD climate is likely to be vitiated. Commitment or Line Managers: The commitment of line managers to the development of their subordinates is a very important determiner of HRD climate. If line managers are willing to spend a part of their time for their subordinates, it is likely to have a positive impact. IX. LIMITATIONS OF THE STUDY
The study was conducted in selected branches of LIC in Northern India which may not give the exact picture of the situation. The sample size was very small. X. RECOMMENDATIONS
Corporation should train their employees in new technologies so as to compete with the new generation. The corporation has to lay emphasis on designing key performance areas which can increase role clarity and enhance their performance. The managers of the companies should be helped to develop people oriented perspective and accountability for better management and utilization of human resources. The top management must instill team spirit and collaborative working in their organizations. Standardized promotion and career advancement methods should be adopted by Life Insurance Corporation in order to motivate employees to grow in their career which would instill more commitment and progress in their productivity. Insurance companies should adopt proactive measures to change by providing a continuous environment of openness and exploration into new markets rather than adopting a problem solving approach XI. CONCLUSION HRD climate plays a very important role in the success of any organization because directly or indirectly it affects the performance of the employees. If the HRD climate is good than the employees will contribute their maximum for the achievement of the
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organizational objectives. The result of the present study shown that the HRD climate in the selected branches of LIC is average and there is lot of scope for improvement in the HRD climate. A. The Result also Shown in Figures
TABLE 1.1 GENDER WISE DISTRIBUTION OF EMPLOYEES
TAB.2.3: PERCEPTUAL DIFFERENCES BETWEEN EMPLOYEES WITH GRADUATE AND POSTGRADUATE QUALIFICATION
Particulars Sample Mea Varia SD SE Z LS size n nce value Graduate 110 125.1 111.19 10.5 2.4 -0.55 0.05 Employees. 6 4 9 Postgraduate 40 126.3 159.90 12.6 Employees 4
TABLE 3: HRD PRACTICES AFFECTING EMPLOYEES PRODUCTIVITY (N=150)
Male Female Total
N 105 45 150
Employees Percent 70 30 100
TABLE 1.2: DESIGNATION WISE DISTRIBUTION OF EMPLOYEES
Class-1 Class-11 Class-111 Total
N 70 39 41 150
Employees Percent 46.6 26 27.4 100
F1 HRD climate
Dependent Variable= Employees Productivity Beta(^) Simple r t- value .295** 5.54** 3.353
Significant at 0.01 level REFERENCES

[1] Alphonsa V.K. (2000), "HRD Climate in a Private Hospital in Hyderabad: An Empirical Study", Indian Journal of Training and Development, 30(4): 5067. [2] Barney J.B. (1995), "Looking Inside for Competitive Advantage", Academy of Management Review, 9: 4961. [3] Barney J.B. and Wright P.M. (1998), "On Becoming a Strategic Partner: The Role of HR in Gaining Competitive Advantage", Human Resource Management, 37: 3146. [4] Eisenberger, Fasolo and Davis-LaMastro (1990), "Perceived Organizational Support and Employee Diligence, Commitment and Innovation", Journal of Applied Psychology, 75: 5159. [5] Hogue E. and Ali H. (1998), "Achievement Motivation and Performance of Public Sector Commercial Bank Employees in Bangladesh", Indian Journal of Industrial Relations, 33(4): 497503. [6] Jain V.K., Singhal K.C. and Singh V.C. (1997), "HRD Climate in Indian Industry", Productivity, 37(4): 628639. [7] Kumar S. and Patnaik S.P. (2002), "Human Resource Development Climate and Attributes of Teachers in JNVs", Indian Journal of Training and Development, 32(2): 3137. [8] Mishra P. and Bhardwaj G. (2002), "Human Resource Development Climate: An Empirical Study among Private sector Managers", Indian Journal of Industrial Relations, 38(1): 6677. [9] Mabey, C. (2008). Management development and firm performance in Germany, Norway, Spain and the UK, Journal of International Business Studies, Vol. 39: 13271342. [10] Morley, M. Heraty, N. Michailova, S. (2009). Managing Human Resources in Central and Eastern Europe.London: Routledge. [11] Rao T.V. and Abraham E. (1986), "Human Resource Development Climate in Indian Organizations", in T.V. Rao and D.F. Pereira (Eds), Recent Experiences in Human Resource Development, New Delhi: Oxford and IBH, pp. 7098. [12] Takeuchi, R., Chen, G. and Lepak, D. (2009). Through the looking glass of a social system: cross-level effects of highperformance work systems on employees attitudes, Personnel Psychology, Vol. 62: 12.
TABLE 1.3 QUALIFICATION WISE DISTRIBUTION OF EMPLOYEES
Graduate Post Graduate Total
N 110 40 150
Employees Percent 73 27 100
MEAN AND % SCORES OF ALL THE FOUR BRANCHES OF LIC
Branches All the four branch
Mean Scores Percentage Scores 3.42 60.29 %
TABLE 2.1: PERCEPTUAL DIFFERENCES BETWEEN MALE AND FEMALE EMPLOYEES
Particulars Sample Mea Varia SD SE Z- LS Size n nce Value Male 105 3.89 76.08 11.0 2.5 -0.43 0.0 Employee 7 7 5 Female 45 3.95 84.09 9.32 Employees
TABLE 2.2: PERCEPTUAL DIFFERENCES BETWEEN EMPLOYEES AT DIFFERENT LEVEL
Particulars Sample Mea Varian SD SE Z LS size n ce value

Class-1 Class-11 Class-111 70 39 41 118.86 77.08 123.31 205.26 127.41 8.78 2.60 14.33 9.67 -0.65 0.05
Employee EngagementCrucial for Business Success

Janki Aggarwal
Lecturer in Commerce, B.A.M. Khalsa College, Garhshankar, Dist. Hoshiarpur
AbstractHaving the right employees with the right set of skills is a critical success factor in any business today. Most organizations have realized that in times like today providing higher remuneration and excellent amenities is not sufficient to retain the employee, who is the most valuable resource of an organization. Employees who are engaged to the organization are not just planning to stick to their organization, they are not just happy or proud to be associated with the organization, but they are in fact enthused and geared to use their skills and talent to make a difference and help achieve the employers pursuit for sustainable business success.
I. INTRODUCTION Engagement is the extent to which people value, enjoy and believe in what they do. There is significant difference between engagement, commitment and satisfaction. Satisfaction is how much people like it to be here, commitment is how much people want to improve business results and engagement is how much people want and actually do improve business results. Employee engagement is all about motivating the employees to give their best to the organization. Thus Employee Engagement is a barometer that determines the association of a person with the organization. HR practitioners believe that the engagement challenge has a lot to do with how employee feels about work experience and how he or she is treated in the organization. There will always be people who never give their best efforts no matter how hard HR and line managers try to engage them. Elements of Employee Engagement Engagement comprises of three important elements. They are individual values, focused work and inter-personal support. Doing meaningful work Employees feel engaged when they are doing meaningful work at the organization and experience empowerment. Meaningful work is defined as the work that makes a difference or an impact to the organization. Focused work Apart from contribution, employees need clear direction and feedback from the top management on their performance to keep them in track and be accountable for their performance and efficient work environment. Having positive work relationships Employees feel more engaged when there is interpersonal harmony among the employees. Employees
value positive working relationships and are excited about the thought of working with these kinds of colleagues. Categories of Employee Engagement According to the Gallup the Consulting organization there are different types of people:Engaged-Engaged employees are builders. They want to know the desired expectations for their role so they can meet and exceed them. They are naturally curious about their company and their place in it. They want to use their talents and strengths at work every day. Not Engaged-Not-engaged employees tend to concentrate on tasks rather the goals and outcomes they are expected to accomplish. They want to be told what to do just so they can do it and say they have finished. Actively Disengaged-The actively disengaged employees are the cave dwellers. They are not just unhappy at work; they are busy acting out their unhappiness. They sow seeds of negativity at every opportunity. Every day, actively disengaged workers undermine what their engaged coworkers accomplish. A. Employee Engagement: Need of the Day The performance of an organization has a strong correlation with employee engagement. More enhanced the engagement levels of employees better the organizations performance in terms of revenues, profits, productivity, retention and customer satisfaction. Secondly an engaged employees word often creates a positive image of the organization, thus attracting quality talent to the organization. Sushil Baveja, group HR head, DCM Shriram Consolidated Ltd believes that the factors impacting employee engagement can be bifurcated in two typesprofessional and personal. He elaborates, There can be many professional factors but some of the key ones include role and responsibility development opportunities and growth, reward and recognition, work environment and value system of the organization. On the personal front, some of the key ones include care and concern, relationships and respect and dignity. A survey was conducted (Hewitt study) to find out which companies have really changed the emotional and intellectual energy of their managerial employees. It rates Infosys Technologies as the Best Employer of India. Infosys was first in a survey of hundred and twenty five companies. They communicate and share information with employees on a regular basis, stand in
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the lunch queue with everyone else, play an active role in all employee events, take inputs from employees while taking decisions, have an open-door policy and build a personal rapport with employees. There is no hierarchy and everyone is treated and behaves like equals. Thus employee engagement is crucial to any organization that seeks to retain valued employees. The Watson Wyatt consulting companies have proved that there is an intrinsic link between employee engagement, customer loyalty, and profitability. As organizations globalize, there is a greater need to connect and engage with employees to provide them with an organization identity. With that in mind, here are nine management tips for creating and sustaining employee engagement: Let go of any negative opinions you may have about your employees. Approach each of them as a source of unique knowledge. Make sure your employees have everything they need to do their jobs. Ask each of your staff member, "Do you have everything you need to be as competent as you can be?" Clearly communicate what's expected of employees, what the company values and vision are, and how the company defines success. Get to know your employees, especially their goals, their stressors, what excites them and how they each define success. Make sure they're trained--and retrained--in problem solving and conflict resolution skills. Constantly ask how you're doing in your employees' eyes. It is challenging for an employee to give the person who evaluates them an honest response. To develop this skill and model it for your employees, begin dialogs with employees using such conversation starters as, "It's one of my goals to constantly improve myself as a manager. What could I be doing to make your job easier?" Pay attention to company stories and rituals. Are people laughing at each other or with each other? Do they repeat stories of success or moments of shame? Reward and recognize employees in ways that are meaningful to them. Remember to celebrate both accomplishments and efforts to give employees working on long-term goals a boost. Be consistent for the long haul. If you start an engagement initiative and then drop it, your efforts will backfire, creating employee estrangement. Ultimately, you must keep in mind that employees are a company's greatest assets. Some people are
naturally wired to give their all and do their best no matter where they work. But the majority of people require the guidance of skilled managers who welcome their ideas, ask for feedback and generate enthusiasm in order to have a sense of purpose and energy about what they do. 1) Factors leading to employee engagement Studies have shown that there are some critical factors which lead to Employee Engagement. Some of them identified are 2) Career development- opportunities for personal development Organizations with high levels of engagement provide employees with opportunities to develop their abilities, learn new skills, acquire new knowledge and realize their potential. When companies plan for the career paths of their employees and invest in them in this way their people invest in them. 3) Career development effective management of talent Career development influences engagement for employees and retaining the most talented employees and providing opportunities for personal development. Leadership- Clarity of Company Values Employees need to feel that the core values for which their companies stand are unambiguous and clear. Leadership Respectful Treatment of Employees Successful organizations show respect for each employees qualities and contribution regardless of their job level. 4) Leadership companys standards of ethical behaviour A companys ethical standards also lead to engagement of an individual Empowerment Employees want to be involved in decisions that affect their work. The leaders of high engagement work places create a trustful and challenging environment, in which employees are encouraged to input and innovate to move the organization forward. Image How much employees are prepared to endorse the products and services which their company provides its customers depends largely on their perceptions of the quality of those goods and services. Other factors 5) Equal opportunities and fair treatment The employee engagement levels would be high if their bosses (superiors) provide equal opportunities for growth and advancement to all the employees.
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Performance appraisal Fair evaluation of an employees performance is an important criterion for determining the level of employee engagement. Pay and Benefits The company should have a proper pay system so that the employees are motivated to work in the organization. Health and Safety Research indicates that the engagement levels are low if the employee does not feel secure while working. Therefore every organization should adopt appropriate methods for the safety of their employees. Job Satisfaction Only a satisfied employee can become an engaged employee. Therefore it is very essential for an organization to see to it that the job given to the employee matches his career goals which will make him enjoy his work. Communication The company should follow the open door policy. If the employee is given a say in the decision making and has the right to be heard by his boss than the engagement levels are likely to be high. Family Friendliness A persons family life influences his work life. When an employee realizes that the organization is considering his familys benefits also, he will have an emotional attachment with the organization which leads to engagement. II. MEASURING EMPLOYEE ENGAGEMENT Companies have recognized the importance of measuring employee engagement, identifying the factors which drive it, and aligning their HR policies accordingly. In many organizations, employee satisfaction survey is the most popular method for measuring how happy the employees are. In the first stage, the employee engagement is measured under five areas of focus at the individual levels and in the second stage, the overall engagement levels of employees are linked to the financial performance of the organization. Stage I The first step in measuring employee engagement is to gather crucial information on issues that have a bearing on the engagement in the organization. The next step involves setting objectives that helps to address the business challenge as regards employee engagement. The importance of factors that influence employee engagement varies from business to business and there are many others factors that might apply to a particular business. The key factors that attribute to engagement in a particular business need to be identified and questionnaire should be prepared for the same.
The employee survey is a diagnostic tool of choice in the battle for the hearts of employees. Studies of Gallup, Mercer, Hewitt and Watson Wyatt (consulting companies) asked workers number of questions relating to their job satisfaction. Gallup being one of the oldest consulting organization {in conducting engagement survey} creates a feedback system for employers that would identify and measure elements of worker engagement. After hundreds of focus group and thousands of interviews with employees in a variety of industries, Gallup came up with Q. 12, a twelvequestions survey that identifies strong feelings of employee engagement. They have identified 12 questions that most effectively measure the links (the Gallup Q12). Do you know what is expected of you at work? Do you have the materials and equipment you need to do your work right? At work, do you have the opportunity to do what you do best every day? In the last seven days, have you received recognition or praise for doing good work? Does your supervisor, or someone at work, seems to care about you as a person? Is there someone at work who encourages your development? At work, do your opinions seem to count? Does the mission/purpose of your company make you feel your job is important? Are your associates (fellow employees) committed to doing quality work? Do you have a best friend at work? In the last six months, has someone at work talked to you about your progress? In the last year, have you had opportunities at work to learn and grow? Stage II In this stage the overall organizational engagement levels are linked to the financial performance of the organization. Without a link to the business performance or other critical performance indicators, measures of engagement have little or no value. Stage III: Taking Action Once the employee engagement levels are measured, it is essential to be communicated to the employees. The first step in taking action is to listen to the employees. The information that the employees provide will provide a direction for the organization. Then the data on the individual engagement levels and overall engagement levels along with business performance is analyzed and a definite action plan has to be put in place.
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The employee engagement levels are to be continuously measured, analyzed, acted upon and refined.
A. Worker Disengagement Major Problem: HR Survey Lack of employee engagement is a major problem in many organizations, according to a national survey of human resources (HR) professionals. (The Edmonton Journal) The poll of HR executives, conducted by Edmonton-based Psychometrics Canada, found that 69 percent of the 368 individuals surveyed believe the level of worker engagement is problematic. Those working in government (80.3 percent) and business (74.4 percent) sectors are more likely to identify engagement as a problem than the people in education (64.2 percent) and not-for-profit (54.2 percent) organizations. The vast majority of survey respondents (84 percent) indicate that senior leaders and managers are primarily responsible for employee engagement. Fair or not, it appears it is not up to employees to engage themselves, but up to organizations to engage employees. Survey respondents indicate that the most common results of disengagement are dysfunctional work relationship (29 percent); lower productivity (25 percent); and an unwillingness to go beyond the job description. (17 percent) III. CONCLUSION Employee Engagement is the buzz word for employee communication. It is a positive attitude held
by the employees towards the organization and its values. It is rapidly gaining popularity, use and importance in the workplace and impacts organizations in many ways. Jack Welch, former Chairman and CEO of General Electric once said, The best companies now know without a doubt, where productivity-real and limitless productivity-comes from. It comes from challenged, empowered, exited, and rewarded teams of people. It comes from engaging every single mind in the organization, making everyone part of the action, and allowing everyone to have a voice, i.e. a role in the success of the enterprise. Doing so raises productivity not incrementally, but by multiples. In any organization, the talented employee is both the biggest asset and liability and so it becomes paramount to measure how well the human capital is adding value. REFERENCES
[1] Bhatia, S.K (2006), HRM-A Competitive Advantage, Deep and Deep Publications, New Delhi: 45-60 [2] Bhatia, S.K. (2007), Strategic Human Resource Management, Deep and Deep Publications, New Delhi: 172-177 [3] Robinson, D., Perryman, S., and Hayday, S (2004), The Drivers of Employee Engagement, Report 408, Institute for Employment Studies. [4] Weihrich, H., Cannice, M.V., and Koontz, H (2010) [5] Management-A Global and Entrepreneurial Perspective, Tata McGraw Hill Education Private Limited, New Delhi: 128 [6] http://www.gagenmacdonald.com [7] http://www.infy.com [8] http://www.citeman.com [9] http://www.montrealgazette.com [10] http://www.entrepreneur.com [11] www.siescoms.edu
Attrition in Hand Tool Industry of Jalandhar A Challenge to Human Resource Management

Rajan Sharma#1, Arshdeep Singh2, Ashima Sehgal3 and Rajan Sharma*4
2
Assistant Professor in Business Management, DAVIET, Jalandhar Assistant Professor in Department of Business Management, BFCMT, Bathinda 3 Assistant Professor in Business Management, APJSVIM, Jalandhar 4 Lecturer in Business Management, DAVIET, Jalandhar e-mail: #rajanm28@gmail.com, *rajanm28@gmail.com To make suggestions to the hand tool industry owners regarding coping up with the problem of attrition. III. RESEARCH METHODOLOGY Sample Size: The sample size is of 20 respondents who are the owners of different hand tool industrial units. Sampling Techniques: Technique of judgmental sampling has been used. Universe: The universe of this study is Jalandhar city. Target Population: The target population varied from 18 to 65 years of age. Research Design: Exploratory research design has been used in this study. Information Acquiring Tecqniques: Information has been collected using both primary and secondary sources of information. Data Recording: The collected data has been stored in Microsoft word for convenience in analyzing it. Data Analysis And Interpretation: The recorded data has been analyzed and interpreted for fulfilling the objectives of our study. IV. SALIENT FEATURES OF HAND TOOL INDUSTRY OF PUNJAB The hand tool industry of Punjab employs nearly 60,000 people and consists of about 350 units, a majority of them SMEs. Punjab is one of the leading states of India for the export of hand tool. Punjab hand tool industry accounts for 70-80 per cent of the total hand tool exports from India. The major export markets for hand tools are the US and the European Union, which account for 50 per cent of total exports from Punjab. Exporters from Punjab supply hand tools to major retail chains like Wal-Mart, B & Q and Home Depot. The slowdown in foreign markets due to recession has also adversely affected Punjabs hand tool industry.
AbstractAttrition represents unpredictable and uncontrollable reduction in workforce due to resignations, sickness, retirement or death. Similarly attrition rate is the rate of shrinkage in size or number of the workforce. It would have been an ideal condition for any industry if its employees adore their jobs, get good salary, work hard and never leave the industry. But in reality this does not happen. Sometimes despite best of efforts industries keep on facing the problem of high attrition rate. It in turn casts a negative impact on the performance of the industry. Keeping in view the importance of this topic a specific study needs to be done on various issues related to the problem of attrition. This study is an attempt to look into the problem of attrition in hand tool industry of Jalandhar. Keywords: Attrition, human resource management, resignation, workforce
I. INTRODUCTION The term attrition stands for normal and uncontrollable reduction of a work force because of retirement, death, sickness, turn over and relocation. It is one method of reducing the size of a work force without management taking any overt actions. Attrition has a major drawback that it leads to uncontrollable reduction of workforce; it in turns may lead to low performance, low productivity and low income for the company. The problem of attrition is faced by the entire industry world over. In case of India also high attrition rates pose a great challenge to different industries viz BPO, information technology, hand tools industries etc. our focus of study is going to be the problem of attrition in hand tool industry of Punjab. Most of the hand tool manufacturers of Punjab are located in Jalandhar and Ludhiana. Major proportion of the hand tool industry of Punjab is of Small and Medium Enterprises. The proposed study acquires much significance because already under the impact of recession the hand tool industry of Punjab is also going down. The agony of the industry multiplies with high rate of labour turnover. II. OBJECTIVES OF THE STUDY To look into salient features of hand tool industry of Punjab. To find out the cost of attrition in hand tool industry.
Attrition in Hand Tool Industry of JalandharA Challenge to Human Resource Management
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At present the hand too exporters are facing the problem of significant decline in exports as the industry is facing tough times in the absence of buyers. Such is the effect of recession on hand tool exports that it is expected that exports of hand tools from India may witness negative growth of 16.18 per cent this fiscal year. Punjabs hand tools industry grew 15 per cent in the last fiscal, after a decline in 2007-08 and 2006-07. In 2008-09, exports were worth Rs 894.81 crore. The effort of the government is towards technology upgradation of hand tool SSI clusters at Jalandhar (Punjab) and Nagaur (Rajasthan) by adopting energy efficient, clean technology and other measures. The government of India is also trying to strengthen institutional structure & build capacity at Jalandhar and Nagaur hand tool industry centres. In order to achieve economies of scale the government of India is strengthening the policy framework for promoting replication of energy efficient technologies. In order to enhance export share of SSI units in the world market the emphasis is towards developing an international marketing strategy an support measures for export promotion. V. COST OF ATTRITION
Attrition involves a number of costs like recruitment costs, training costs of new employees, low productivity costs, new hiring costs, low sales cost etc. Recruitment Costs: Costs of advertisement, agency costs, employee referral costs etc. Training Costs: Induction program costs, orientation material costs and cost of person who conducts orientation. Low Productivity Costs: As new employee is learning new job, company policies, etc., they are not fully productive. New Hiring Costs: Cost of bringing new person aboard, time taken in understanding the job of the employee who left and other perks given. Low Sales Cost: Experience and the contacts that were lost, time for which the position was vacant and other such things which result in either loss of customers or lower sales. VI. FINDINGS OF THE STUDY The hand tool industry is facing the problem of high level of attrition these days. Many factors are contributing to this phenomenon viz global recession, low level of wages and salaries, long
working hours, unfavorable working conditions etc. It is not that difficult to find persons willing to work but indeed it is quite difficult to find out the professional workers who can work well in hand tool industry. Hand tool industry is also suffering from the problem of low production as well as low productivity. Hand tools are those types of non-powered tools which are designed for use by experts as well as in projects like home repairs, general maintenance, woodworking, building, mechanics and gardening. The hand tool industry is facing new challenges related to worldwide business globalization, the invention, use of electronic business and high level of attrition. Every single manufacturer, irrespective of its size and importance in the market, is watching the movements in its business environment, in order to adjust activities accordingly. Hand tool industry of Punjab has proved to be a labor intensive industry providing employment to hundreds of persons. The manufacturers of hand tools produce a comprehensive range of hand tools, right from carpentry and plumbing tools to striking and cutting tools. Apart from being a labor intensive industry, this industry is also an energy intensive one. Adding positively to the income of a country, hand tools industry has contributed to economy in terms of development and technology upgradation. From the study it has been found that still hand tool industry in Punjab is a growing one with a lot of potential for growth. Human resource management is one of the most critical areas in the hand tool industry. Problem of poaching has been becoming one of the reasons for attrition in hand tool industry. Hand tool companies keep on poaching best talent available in the market that leads to the problem of attrition. In some of the cases the excessive work force becomes the reason for higher costs to the company. It leads these companies to reduce the number of work force thus giving birth to attrition. Attrition causes huge loss to the company, not only in terms of manpower but also in monetary terms. VII. SUGGESTIONS
For small, medium scale hand tool entrepreneurs in the developing areas, credit should be made available to them at lower rates of interest.
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Steps should be taken to built up a Hand Tool Industrial Estate, exclusively for the hand tools units. Labor laws dealing with hand tools should be made more investor friendly, especially for small entrepreneurs. As human resource management is one of the most critical areas in the hand tool industry so necessary steps should be taken by the entrepreneurs so as to manage human resources properly. There is the need to hire right kind of people; give more to the employees not only in terms of salaries and perks but also in terms of experience. For good performing employees, the company needs to have a good career growth plan. Working conditions at the work place should be improved so as to retain employees with the organization. The employees should be given good salaries and perks in order to make them feel contended with the salary structure. The management of hand tool industry should be done in organized way so as to make this sector more and more professional in approach. VIII. LIMITATIONS OF THE STUDY
a matter of time when the hand tool industry will again recover from recession. As Sharad Aggarwal, Engineering Export Promotion Council convener, hand tools panel has once said to Business Standard that Exporters managed to get new orders but the quantum of order was not at par with what we got two years back, as buyers were still hesitant to place new orders. But at the same time the buyers showed interest. If these queries are converted into orders, the export of hand tools will definitely bounce back in the next fiscal year. REFERENCES
[1] [2] "Job Openings and Labor Turnover Survey". Bureau of Labor Statistics. 2008. Costello, D. (2006, December). Leveraging the Employee Life Cycle. CRM Magazine, 10(12), 48-48. Retrieved February 23, 2009, from Academic Search Premier database. Dijkstra, Eelco (December 2008). "What Drives Logistics Professionals?". Employee Pride Goes Wide. (2005, February 2). Graphic Arts Monthly, Retrieved February 23, 2009, from Academic Search Premier database. Hackman, J. Richard; Greg R. Oldham (August 1976). "Motivation through the design of work: test of a theory". Organizational Behavior and Human Performance 16 (2): 250279. http://www.employee-retention-guide.com http://data.bls.gov/PDQ/servlet/SurveyOutputServlet?data_tool= latest_numbers&series_id=JTS00000000TSR. http://europhia.com/docs/europhia-research-what-driveslogistics-professionals.pdf. 2009 http://retention.naukrihub.com/attrition-rates-in-differentsectors.html http://sloanreview.mit.edu/themagazine/articles/1991/spring/3232/breaking-the-cycle-offailure-in-services/. http://www.business-standard.com/india/news/high-attritionhaunts-manufacturing-too/314688/ http://www.business-standard.com/india/news/punjab-handtool-makers-expect-higher-exports/15/46/388724/ http://www.domainb.com/management/hrd/20070615_attrition.htm http://www.mimegasite.com/mimegasite/articles/attrition.jsp http://www3.interscience.wiley.com/journal/119295540/abstract . Retrieved 2009-01-21. Personnel Psychology 46 (2): 259293. doi:10.1111/j.17446570.1993.tb00874.x (inactive 2009-01-21). Ruby, Allen M. (January 2002). "Internal Teacher Turnover in Urban Middle School Reform". Journal of Education for Students Placed at Risk 7 (4): 379406. doi:10.1207/S15327671ESPR0704_2. Schlesinger, Leonard A.; James L. Heskett (1991-04-15). "Breaking the Cycle of Failure in Services". MIT Sloan Management Review 33 (3): 1728. Skabelund, J. (2008, May). I just work here. American Fitness, 26(3), 42-42. Retrieved February 23, 2009, from Academic Search Premier database. Testa, B. (2008, September 22). Early Engagement, Long Relationship?. Workforce Management, 87(15), 27-31. Retrieved February 23, 2009, from Academic Search Premier database. Tett, Robert P; John P. Meyer (1993). "Job Satisfaction, Organizational Commitment, Turnover Intention, and Turnover: Path Analyses Based on Meta-Analytic Findings".
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[5]
[6] [7] [8] [9] [10]
The study is not free from systematic bias. The reason for this is that all the individuals initially included in the sample did not respond to the questionnaires. Indeterminacy principle also provides a drawback while conducting the survey. The reason for this is that some individuals act differently when kept under observation that is they do not divulge the actual data. Natural bias of respondents in the reporting of data is another limitation of the study. Time constraint is also one of the major limitations that arise during the survey. IX. CONCLUSION
[11] [12] [13] [14] [15] [16] [17]
Attrition has emerged to be a serious issue especially in hand tool industry at Jalandhar. The major drawback to reduction by attrition is that reductions are often unpredictable and can leave gaps in an organization. The industry must understand that people are the most important assets so every possible effort should be made to check the ever increasing rates of attrition. On the one hand there is the need to formulate strategies for checking attrition in hand tool sector on the other hand the organization should try to predict attrition early in the recruitment process to curtail loss of time, cost and effort. Once the industry is able to cope up with the problem of attrition then it will only be
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Globalization of the Companies: How to Develop the Code of Ethics

Agarwal Bhawna
Assistant Professor (QT & OR), IILM Institute for Higher Education
AbstractIn recent years, business ethics has become a focus of managements attention of the corporate world. This is because of the public pressure and change of the strategy of the companies to respond to this pressure. Therefore, companies are forced to deal with ethical questions by giving same importance as they give to their wellknown business strategic questions. In the era of economic and entrepreneurial globalization, companies do not act nationally but they act internationally. Thus, an adjustment of the corporate ethics to an international framework is necessary but there are no compulsory laws or norms or rules at the global level because of an asymmetric development of the political and economical processes of globalization. The companies are unable to align their behavior to a global valid framework of norms and laws. Therefore, there is a problem for the companies to determine and decide which rules, norms and values to be followed i.e. should the companies act in accordance with the norms of the origin country or with the norms of the host country? In this paper, the author suggests how to develop and justify the norms for the globalization of the companies. The author discusses about the globalization and the ethical norms to be followed, hypernorms, corporate codes of ethics, what are the challenges for a global corporate code of ethics, how to develop hypernorms for a code of ethics, eleven indicators for a hypernorm etc. Keywords: Globalization, business ethics, corporate code of ethics, hypernorms.
This paper goal is to suggest the norms for a corporate code of ethics. The author tries to solve the questions like: Should these norms take the challenges of entrepreneurial globalization into account? Should they be applicable at the global level for companies? Do such norms really exist? To answer the above mentioned questions, the author suggests the theory of hypernorms. To find such hypernorms for business, it is necessary to develop a global code of ethics for companies. Based upon the theory of hypernorms by Thomas Donaldson and Thomas Dunfee (1999) this paper is a trial to present a process for developing such norms. In the following step the process is used to point out hypernorms. In a further step this paper shows a code of ethics consisting of the norms which are derived from the process. II. LITERATURE REVIEW Chan et al. (2007) suggest that fairness is one of the basic aspects of business exchange. Ethics are principles used to establish fairness. Their study look at background and origins for different American and Chinese ethical beliefs. They explain that it is important for U.S. and Chinese firms to understand each others cultural perspectives, especially as the Chinese market opens up. Donaldson and Dunfee (1999) argued that the book Ties that bind is a helpful elaboration of Donaldson and Dunfee's Integrative Social Contracts Approach, particularly with regard to their specification of hypernorms. Hsieh (2009) defended the view that managers are permitted and at times, required, to utilize corporate resources to alleviate human misery even if this is at the expense of shareholder interests. In his article, he summarized Dunfees defense of this view, raise some questions about his account and propose ways in which to answer these questions. Kaptein and Schwartz (2008) explained that business codes are a widely used management instrument. Research into the effectiveness of business codes has, however, produced conflicting results. In their paper, they proposed an integrated research model and suggested directions for future research. Schwartz (2001) was conducted a study in order to examine the relationship between corporate codes of ethics and behaviour. Fifty-seven interviews of
I. INTRODUCTION Ethics in business has become one of the main focuses of corporate managements attention. This is because of two reasons: one is public pressure and other is change of the strategy of the companies to respond to this pressure. Both were activated by a public notice like corruption or a violation of working or environmental standards. In these situations, companies are bound to give same importance in dealing with ethical questions just like they do with their business strategic questions. In the era of globalization, companies do not act nationally but internationally. Thus, an adjustment of the corporate ethics to an international framework is necessary. The globalization of companies is a challenge for corporate ethics. There are no compulsory laws at the global level because of an asymmetric development of the political and economical processes of globalization. The companies cannot align their behavior to a global valid framework of norms and laws because there are no compulsory rules on global level to which a company could fulfill.
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employees, managers, and ethics officers were conducted at four large Canadian companies Weaver (2001) suggested that even if there were widespread cross-cultural agreement on the normative issues of business ethics, corporate ethics management initiatives (e.g., codes of conduct, ethics telephone lines, ethics offices) which are appropriate in one cultural setting still could fail to mesh with the management practices and cultural characteristics of a different setting. III. GLOBALIZATION AND ETHICAL NORMS A. Possible Strategies In the process of entrepreneurial globalization, a company has to make a decision to which ethical norms it would comply. For determining ethical norms in an international or intercultural context three possible strategies can be distinguished as ethnocentrism, relativism and universalism. In an ethnocentric view the ethical norms and values of ones own culture or society are superior to those of another culture or society. The consequence for a company is that it had to follow the ethical norms of its country of origin. This can cause problems in the host country because the employees of the host country are in conflict with their local ethical norms. The theory of relativism states that there is no preference for different systems of ethical norms. Two contradictory norms are on the same level and neither of them can be judged as ethically right or wrong. Because there are no criteria for judging a norm, a company has to follow the norms which are valid in the country the company. If local and home country norms conflict, the company should follow the local norms. For a company this can cause problems because of different expectations of the global stakeholders. In the theory of universalism a system of ethical norms for all humans exists, independent from cultural or religious traditions. Respectively, universalistic norms are autonomous from time and space. The validity is not limited by national or cultural borders. B. Hypernorms The term hypernorm was coined by Donaldson and Dunfee (1994 and 1996). A hypernorm can be defined as a fundamental moral rule for all humans. Hypernorms are reflected in the religious, philosophical and cultural beliefs (Donaldson and Dunfee 1994). Hypernorms play an important role in the Integrated Social Contracts Theory (ISCT). The concept of hypernorms limits relativism. At the same time, hypernorms are not exclusive because they take into account that there can be a difference in the cultural specification. Not every ethical norm can be traced back to a hypernorm and not all existing differences in the
system of ethical norms are caused by a different cultural, religious or philosophical imprint (Dunfee 2006). Therefore, hypernorms are a concept between the conflict of relativism and universalism. Hypernorms have been distuinghed into three categories: procedural, structural and substantive hypernorms. Procedural hypernorms are defined as conditions essential to support consent in microsocial contracts (Donaldson and Dunfee 1999: 53). Second, structural hypernorms are necessary for political and social organization. They are principles that establish essential background institutions in society. The final category is substantive hypernorms. This substantive hypernorms are fundamental concepts of the right and the good. The substantive hypernorms are those hypernorms that apply to economic activity. Every time when the term hypernorm is used it refers to the definition of substantive hypernorms by Donaldson and Dunfee. IV. CORPORATE CODES OF ETHICS A. Definition Codes are the most popular measure to institutionalize ethical principles in business. A code is a catalog of norms, which are binding standards for human behavior. There are different names for codes of ethics in practice, such as corporate guidelines, business principles or codes of conduct. In this article the term code of ethics is used to summarize all its variable denotations. The content of a code of ethics are the written business principles, ethical norms and values and rules of conduct of a company. It describes the responsibility for the internal and external stakeholders. This content provides information about which behavior is thought of as ethically right or wrong in a company. B. The Impact of Codes A code of ethics is addressed to different stakeholders. It regulates the relationship of a company to its employees, customers or suppliers. Other aspects such as environmental protection can be part of a corporate code of ethics as well. A code of ethics is a part of the corporate culture, which also can be a source of information for new employees and help them to integrate into this corporate culture. A company can specify its moral responsibility and define the range of the responsibility the company wants to take with a code of ethics. In a global context, a code of ethics can help to complete the imperfect framework of regulations. In this context a company can strengthen its credibility and legitimize its activities and generate trust from its stakeholders.
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C. Challenges for a Global Corporate Code of Ethics A corporate code of ethics is a part of the corporate culture. If a company wants to act internationally or globally with settlements in foreign countries, a companys own corporate culture will come into contact with the culture of the host country. The challenge at the global level for a code is the possible conflict between the codified norms and the ethical norms of the host country in which the code is transferred (Weaver 2001). D. Eleven Indicators for a Hypernorm Suggested by Donaldson and Dunfee (1999) Widespread consensus that the principle is universal. Component of well-known global industry standards. Supported by prominent nongovernmental organizations such as the International Labour Organization or Transparency International. Supported by regional government organizations such as the European Community, The OECD, or the Organization of American States. Consistently referred to as a global ethical standard by international media. Known to be consistent with precepts of major religions. Supported by global business organizations such as the International Chamber of Commerce or the Caux Round Table. Known to be consistent with precepts of major philosophies. Generally supported by a relevant international community of professionals, e.g., accountants or environmental engineers. Known to be consistent with findings concerning universal human values. Supported by the laws of many different countries.
A company must not discriminate against its employees on the basis of race, color, gender or religious denomination.
B. Responsibility for Customers and Suppliers A company must provide its customers the quality and service it has promised to provide. A company must provide all relevant information to its customers for the correct use of its products. A company must commit itself not to conduct fraud or deception regarding the characteristics of its products. A company must pay its suppliers according to the terms of price and date agreed.
C. Responsibility for Environment and Society A company has to commit itself to use as few natural resources as possible for its production. It has to recycle as many resources as possible. A company has to review its business strategic decisions regarding possible environmental risks of its production process, products or services. A company has to review its business strategic decisions regarding its effects on the society where the company operates, e.g. plant closure. A company has to make contributions to the public budget by paying taxes in the country it operates. V. CONCLUSION Hypernorms can be a basis for internationally active companies in developing their own code of ethics. They provide a common basis for the discussion in designing a code of ethics in an internationally active company. Such a code could be the first step for a company to indicate its corporate social responsibility. Companies need to incorporate culturally specific ethical norms in every country because of the ethical norms that may exist beyond the hypernorms. In situations where an action is thought to be right in one country and wrong in another, hypernorms are not in use. They are just adaptive for cultural conflicts. The goal of this research was to develop and to justify hypernorms. The author concludes that it is possible to develop hypernorms with the aforementioned process. This research should encourage future research in the area of norms for international or globally active companies. REFERENCES
[1] Beauchamp, Tom L. and Bowie Norman E. (2001), Ethical theory and Business, 6th. Ed., Prentice Hall, Upper Saddle River, N.J.
The norms described the responsibilities for the stakeholders of a company. In the first step the norms are separated in the following areas: A. Responsibility for the Employees A company must not put physical or psychological pressure on its employees. A company has to provide conditions of work, which are not a danger for the health and security of its employees. A company has to provide a remuneration, which makes it possible for its employees and their families to cover their basic need of food, clothing, accommodation and health care.
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National Conference on Strategic Management of Business Development: Issues and Prospects Boatright, John R. (2007), Ethics and the Conduct of Business, 5th Ed., Prentice Hall, Upper Saddle River, N.J. Chan, Peng S., Pollard, Dennis and Chuo, Shirley (2007), Corporate Ethics: China vs. USA, International Business & Economics Research Journal, (6), 18. Donaldson, Thomas and Dunfee, Thomas W. (1994), Toward a Unified Conception of Business Ethics: Integrative Social Contracts Theory, Academy of Management Review, Vol. 19, 252284. Donaldson, Thomas and Dunfee, Thomas W. (1995), Integrative Social Contracts Theory, Economics and Philosophy, Vol.11, 85111. Donaldson, Thomas and Dunfee, Thomas W. (1999), Ties That Bind: A Social Contracts Approach to Business Ethics, Harvard Business School Press, Boston. [7] Hartman, L.P., Shaw, B. and Stevenson, R. (2003), Exploring the Ethics and Economics of Global Labor Standards: A Challenge to Integrated Social Contract Theory, Business Ethics Quarterly, Vol.13, 193220. [8] Hsieh,Nien-he. (2009), Corporate Social Responsibility and the Priority of Shareholders, Journal of Business Ethics, (88), 553560. [9] Kaptein, Muel and Schwartz, Mark S. (2008), The Effectiveness of Business Codes: A Critical Examination of Existing Studies and the Development of an Integrated Research Model, Journal of Business Ethics, (77), 111127. [10] Schwartz, Mark S. (2001), The Nature of the Relationship between Corporate Codes of Ethics and Behavior, Journal of Business Ethics, (32), 247262. [11] Weaver, Gary R. (2001), Ethics Programs in Global Businesses: Cultures Role in Managing Ethics, Journal of Business Ethics, (30), 315.
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Work-Family Conflict in Dual Earner CouplesConsequences and Suggestions

Sukhpreet Kaur1 and Namrata Sandhu2
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Management Trainer at Global Overseas, Jalandhar Ph. D. Student at GNDU, Amritsar and formerly an Assistant Professor with LPU, Phagwara Since both the partners in dual earner families, work outside as well as inside the house, the consequences of work and family experiences of an individual are influenced not only by his/her job and home variables but also by those of his/her partner (Fitzpatrick, 1988). Further, because of their dual responsibilities, the chances of work-family conflict significantly increase in dual earner couples. This inter role conflict wherein, the role pressures from work and family domain are mutually incompatible (Greenhaus and Beautell, 1985) occurs when the work domain interferes with the family domain and/or vice versa. For example: trying to finish incomplete office work at home during family time. Also, work-family conflict has a bi directional relationship. That is why an individual will experience overall work-family conflict when the effects of wok to family (W-F) and family to work (F-W) conflict are combined (Greenhaus and Beutell, 1985; Gutek et al. 1991). The intricate and bi directional relationship between work and family domains frequently results in negative spillovers that impact not only job performance, but also the health of partners (Frone et al. 1997). II. OBJECTIVE OF THE STUDY Past research has indicated that investigating the dynamics associated with work-family conflict at a couple level is integral to improving our understanding of the overall work-family interface (Gahan and Abeysekera, 2006). Thus, given the findings of previous research, the increasing participation of women in the work force and the consequent increase in dual earner households and lack of research in this area in India provide the necessary impetus for the current study which attempts to examine the consequences of workfamily conflict among dual earner couples in the state of Punjab in India and its implications for policy makers, employees and couples themselves. III. RESEARCH METHODOLOGY A. Questionnaire Development After reviewing the related literature a questionnaire consisting of an inventory of 15 statements which examined the impact of work-family conflict on the dual earners couples was prepared. The responses to these statements were anchored on a 5
Abstract Objective- The current study attempts to examine the consequences of work-family conflict in dual earner couples and discuss its implications for policy makers, employers and couples themselves. Setting- The state of Punjab in India. Design A survey using a well structured pretested questionnaire administered over a three month period from October to December 2010. Subjects- 100 dual earner couples who agreed to complete the written questionnaire (husband and wife filled a separate questionnaire each). In order to ensure the rationality of responses, couples where both the spouses had at least completed graduation were approached. At the end of the survey however, only 177 usable questionnaires were obtained. Data Analysis Technique- The data reduction technique of factor analysis was used to assess the responses of the respondents. The extraction method used was Principal Component Analysis, which was followed by Varimax with Kaiser Normalization. Findings- Analysis revealed that work-family conflict has a significant and negative impact on family relationships, performance on the job and health of the individual. Recommendations- Suggestions focus on finding remedial measures to overcome the mismatch between real time problems faced by dual earner couples and the regulatory framework designed to address their problems. Also, since majority of dual earner couples are employed in the private sector, it is suggested that the legislative measures already instituted in the government sector in this area, should be extended to the private sector also. Lastly, employers and dual earner couple should also take initiatives to alleviate the impact of spill over effects of work-family on work and family domains.
I. INTRODUCTION AND LITERATURE REVIEW Work and family are the two central and significant domains in the lives of most individuals. Earlier, they were considered separate and gender specific domains (Kanter, 1977), on account of which, it was easier to follow family and work life. But, with the entry of women into the workforce, the domains of work and home today seem to overlap. Contemporary society constitutes of a large number of dual earner families,1 as a result of which, the pressure to create a balance between work and family roles has become an important issue for both males and females (Shimada et al., 2010).
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point Likert scale with 1 indicating a strong disagreement and 5 indicating a strong agreement with the statement. The questionnaire also contained questions on the profile of the respondents. The questionnaire was pretested for validity and clarity on respondents conveniently selected from the relevant population. B. Data Collection For the purpose of data collection, 100 dual earner couples from the state of Punjab, India who agreed to complete the written questionnaire (husband and wife filled a separate questionnaire each) were approached during the months of October to December, 2010. In order to ensure the rationality of responses, couples where both the spouses had at least completed graduation were approached. At the end of the survey however, only 177 usable questionnaires were obtained. C. Data Analysis Technique The data reduction technique of factor analysis was used to assess the responses of the respondents. The extraction method used was Principal Component Analysis, which was followed by Varimax with Kaiser Normalization (Malhotra, 2007). D. Profile of Respondents Table 1 shows the profile of respondents. The various variables used were gender, number of dependents, family type and age. Out of 177 respondents, 51.97 percent were male and 48.02 percent were female. The percentage of respondents having nil dependents was 4.51. 15.25, 63.84, 6.77 and 9.60 percent of the respondents had 1, 2, 3 and more than 3 dependents respectively. Further, 27.11 percent of respondents were from a joint family and 72.88 percent were from a nuclear family. Lastly, the percentage of respondents, both male and female in the 20-35 years age group was 36.72 and the percentage of respondents in the age groups of 35-50 years and 50-60 years was 58.75 and 4.51 percent respectively.
TABLE 1: PROFILE OF THE RESPONDENTS Variable Gender Number of dependents Categories of variable Male Female Nil 1 2 3 More than 3 Joint Nuclear 20 35 years 35 50 years 50 60 years Frequency 92 85 8 27 113 12 17 48 129 65 104 8 Percentage 51.97 48.02 4.51 15.25 63.84 6.77 9.60 27.11 72.88 36.72 58.75 4.51
IV. DATA ANALYSIS AND FINDINGS

TABLE 2: IMPACT OF WORK-FAMILY CONFLICT: FACTOR ANALYSIS Factor Eigen Scale Items Number and Value Item Item Name Loading Name of Number Factor Factor I 2.129 S15 I am unable to spend .838 Family time with my family relationships due to work commitments. S13 Negative work issues .804 keep me in a bad mood at home. S1 My family life suffers .662 due to my work commitments S4 Less time for social .623 obligations strains my marital relations. S8 I am unable to fulfill .569 responsibilities of parenthood due to work commitments. S11 My dual earner status .567 leads to competition with my spouse, hence straining my marital life. Factor II 1.585 S9 I am unable to work on .815 Job growth opportunities at performance job due to family commitments (e.g. relocate for promotion). S14 Negative family issues .779 spoil my mood, hence concentration at work. S12 I cannot take calculated .706 risks at the career front because of family members dependent upon me (and my spouse) financially. S10 Marital discord upsets .620 my focus on work issues. S3 Sometimes my job .595 suffers due to family commitments (time constraints). Factor III 1.148 S6 My health needs get .747 Health of the neglected due to work individual commitments. S5 Often times I have to .703 work when my heath is not up to the mark S7 I often feel stressed and .631 fatigued due to work pressures. S2 I get anxious and .547 depressed when workhome commitments compete for my time.
Family type Age
After application of factor analysis, the solution which emerged is shown in table 2. As can be seen from the table a three factor solution emerged (only those factors which had an Eigen value of greater than 1 were retained) which had a total variance of 58.99 percent.
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The Kaiser-Meyer-Oklin measure of sampling adequacy was .852. These constructs establish the reliability of the model (Malhotra, 2007). A. Factor 1: Family Relationships Family relations has emerged as the most important factor of the analysis. Close family ties are important for the psychological well being of individuals. They need to be nurtured and worked upon, which requires time and effort. Where both partners are working, there is no ready help available to tend to the needs of family (Roehling and Moen, 2003).Couples themselves are unable to devote sufficient time to family needs and social obligations which at times leads to marital discord. At the same time stress at work makes the family life suffer due to the crossover effect. Respondents also feel that negative experience at workplace travels home and adversely affects family life. Further, the dual earner status also leads to competition between the spouses in terms of income, status, image in the society etc.; once again straining marital relations. B. Factor 2: Job Performance Job performance has emerged as the second factor from the analysis. The first and the most important variable loaded on this factor indicates that growth opportunities though available cannot be exploited by the respondents due to family commitments. Getting bogged down by family commitments causes their work to suffer. Marital disharmony and other negative family experiences have a negative spillover effect on the job. Also, the burden of family commitments sometimes holds them back from taking big leaps on the career front. Therefore, it can be said that work suffers when it competes with home responsibilities. C. Factor 3: Health of the Individual Several research studies indicate that in dual earner couples, the work family conflict leads to increased level of depression, marital tension and poor health (Frone, 1996; Fox and Dwyer 1999). Respondents also reveal the same experiences. Psychological stress and physical fatigue are the two major consequences of dual earner couples according to our respondents. They feel health needs take a back seat in the face of work commitments. V. CONCLUSION To conclude we can say that the analysis revealed that work-family conflict has a significant and negative impact on family relationships, performance on the job and health of the individual.
VI. RECOMMENDATIONS Work-family conflict is a bi directional conflict. Work issues impact family and vice versa. So efforts to combat the negative effects on both the domains should be an endeavor of both the couples and employers. Spouses should be more vocal about their priorities and limitations with each other and also other family members. Sharing of duties and responsibilities (with each other and with the other family members) at home can significantly lessen this conflict. Reliable domestic help and maintaining a network of support system outside home (friends, colleagues, relatives, day care centers etc.) can also prove beneficial. Employers should provide for flexi working hours and part time options to their employees. Work from home facility should also be available especially for couples with small children or sick parents who need care. Lastly, the government has taken many initiatives in this direction, but there seems to be a mismatch between real time problems faced and the regulatory policies. These policies are heavily women centric because of the underlying the assumption that family responsibility is the prime domain of women. For example: the government decisions of child care leave (2 years) in the sixth pay commission to mothers, leave to mothers for rearing children less than 18 years of age which can be availed anytime during the entire service period etc. These provisions should be made available to the father also, since he is equally responsible for rearing his children in the formative years, especially if the mother is a career oriented lady with similar work commitments and competition. Moreover, significant amount of working people are employed in the private sector where these government policies are not made mandatory. It is suggested that the regulatory authorities and policy makers should make the institution of these policies mandatory in the private sector too. VII. LIMITATIONS OF THE STUDY The impact of the demographic variables on the consequences of work family conflict was not studied. Notes Dual earner couples are families where both partners work for pay and have interrelated work and family roles (Westman and Etzion 1995). REFERENCES
[1] Fitzpatrick, A. (1988). Between Husbands and Wives: Communication in Marriage. Sage, Newbury Park: California, 1315. Fox, M. L. and Dwyer, D.J. (1999). An investigation of the effects of time and involvement in the relationship between stressors and work-family conflict. Journal of Occupational Health Psychology, 4, 164174.
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National Conference on Strategic Management of Business Development: Issues and Prospects Frone M.R., Russell, M. and Barnes, G.M. (1996). Work family conflict, gender and health related outcomes: a study of employed parents in two communities. Journal of Occupational Health Psychology, 1, 5769. Frone, M.R., Russell, M. and Cooper, M. L. (1997). Relation of work-family conflict to health outcome: a four year longitudinal study of employed parents. Journal of Occupational and Organizational Psychology, 70, 325335. Gahan, P. and Abeysekera, L. (2006). How do couples experience work-family conflict? The effect of role salience. Retrieved from www.buseco.monash.edu.au/mgt/research/acrew/worklife/gahan .pdf on 23.01.2011. Gutek, B. A., Searle, S. and Klepa, L. (1991). Rational versus gender role explanations for work-family conflict. Journal of Applied Psychology, 76, 560568. Greenhaus, J. and Beautell, N. (1985). Sources of conflict between work and family roles. Academy of Management Review, 10 (1), 7688. [9] Kanter R.M. (1977). Work and family in the United States: A Critical Review and Agenda for Research and Policy. New York. Russells Sage Foundation, 4749. Malhotra, Naresh (2007). Factor Analysis. In: Fundamentals of Marketing Research (Sage Publications), 586-607. Roehling, V. and Moen, Phyllis (2003). Dual earner couples. Retrieved from http://wfnetwork.bc.edu/encyclopedia_entry.php?...area=avdemi cs-98k on 23.01.2011. Shimada, Kyoko, Shimazu, Akihoto, Bakker, Arnold B., Demerouti, Evangelia and Kawakami, Norito (2010). Workfamily spillover among Japanese dual-earner couples: A Large community-based study. Journal of Occupational Health, 52, 335343. Westman, M. and Etzion, D. (1995). Crossover of stress, strain and resources from one spouse to another. Journal of Organisational Behaviour, 16 (2), 169181.
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Ethics in HR
Khushboo Mittal Hooja
Lecturer, Chitkara University, Punjab
AbstractThe ethics of human resource management (HRM) covers those ethical issues arising around the employer-employee relationship, such as the rights and duties owed between employer and employee. HR systems are key to the development and maintenance of ethical culture. One of the steps HR managers can take is to focus on how ethics and values fit into the design of key systems such as performance management and reward systems. HR managers can integrate accountability for ethics and values into performance management systems so that implementing ethical values is weighted substantially in promotion and compensation decisions (at least as much as bottom line results). Additionally, HR managers can focus on reward systems by rewarding 'exemplary' ethical behavior. To focus on discipline, unethical conduct must be disciplined consistently and at high levels, to send a powerful signal that management means what it says about ethics. Finally, effective ethics management requires regular assessment of the ethical culture. It has been shown that just as consumers perception of the ethics of a company can affect sales, so the views of its investors will affect its share price. Similarly, it has been suggested that poor standards of conduct emanating from the top management affect employee motivation and commitment to organizational goals. The paper will highlight the following issues in Ethics for Human Resource Personnel: Discrimination issues include discrimination on the bases of age (ageism), gender, race, religion, disabilities, weight and attractiveness, sexual harassment. Issues surrounding the representation of employees and the democratization of the workplace: union busting, strike breaking. Issues affecting the privacy of the employee: workplace surveillance, drug testing. See also: privacy. Issues affecting the privacy of the employer: whistle-blowing. Issues relating to the fairness of the employment contract and the balance of power between employer and employee: slavery, indentured servitude, employment law. Occupational safety and health. The following unethical practices of HRM itself have also been highlighted: Off-shoring and exploiting cheap labour markets; Using child labour; Reneging on company pension agreements; Longer working hours; Increasing work stress; The use of disputed and dubious practices in hiring and firing personnel. Overall, the paper focuses on the process of HR and ethics managers focus on how cultural systems fit together or align in support of ethical conduct, a common goal.
I. INTRODUCTION The academic debate on business ethics mainly concentrates on the social and ecological responsibility of companies within the society. Ethics are regarded as crucial in the external self-presentation and public perception of (economic) organizations. The model of enlightened self interest of business claims that only those companies can be economically successful which manage to convince their stakeholders of their moral integrity. According to the model, the implementation of ethical standards lies in the self-interest of companies. As some authors state in recent publications, ethics also become more and more an internal concern of organizations. Whereas formerly the interests of employees were ignored or only regarded as one of several stakeholders interests, the ethical management of employees (Winstanley and Woodall 2000a: 5) itself gains in significance. Johns states that the time for ethical leadership has come. Especially human resource management (HRM) plays a decisive role in introducing and implementing ethics. The essay outlines some aspects of ethics in HRM. It sketches ethical concerns that emerged in recent HRM debates, and reflects the viewpoint that ethics should be a pivotal issue for HR specialists. A number of ethical frameworks and their application in HRM policies and practices are reviewed. Here, the focus is mainly on barriers and obstacles to introducing ethical standards in HRM activities. Finally, some first steps to putting ethics into HRM practice are outlined. HR systems are key to the development and maintenance of ethical culture. One of the steps HR managers can take is to focus on how ethics and values fit into the design of key systems such as performance management and reward systems. HR managers can integrate accountability for ethics and values into performance management systems so that implementing ethical values is weighted substantially in promotion and compensation decisions (at least as much as bottom line results). Additionally, HR managers can focus on reward systems by rewarding 'exemplary' ethical behavior. To focus on discipline, unethical conduct must be disciplined consistently and at high levels, to send a powerful signal that management means what it says about ethics. Finally, effective ethics management requires regular assessment of the ethical culture.
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It has been shown that just as consumers perception of the ethics of a company can affect sales, so the views of its investors will affect its share price. Similarly, it has been suggested that poor standards of conduct emanating from the top management affect employee motivation and commitment to organizational goals. II. ETHICAL CONCERNS IN HRM The ethics of human resource management (HRM) covers those ethical issues arising around the employeremployee relationship, such as the rights and duties owed between employer and employee. The following unethical practices of HRM itself have come to limelight: Discrimination issues include discrimination on the bases of age (ageism), gender, race, religion, disabilities, weight and attractiveness, sexual harassment Issues surrounding the representation of employees and the democratization of the workplace: union busting, strike breaking Issues affecting the privacy of the employee: workplace surveillance, drug testing. Issues affecting the privacy of the employer: whistle-blowing Issues relating to the fairness of the employment contract and the balance of power between employer and employee: slavery, indentured servitude, employment law Occupational safety and health Off-shoring and exploiting cheap labour markets Using child labour Reneging on company pension agreements Longer working hours Increasing work stress The use of disputed and dubious practices in hiring and firing personnel. The different types of discrimination followed by HR professionals are as follows: 1. Individual discrimination: Discrimination maybe by a person to another. It also includes discrimination by an institution. It means discrimination by a person to another person or class of persons. 2. Institutional discrimination: It means unequal treatment by an organization to an individual or group. 3. Racial discrimination: Unequal treatment on the basis of race. 4. Job discrimination: Unequal treatment to employees at place of work. It could be age, sex, religion, and any other factors.
Gender discrimination: It means unequal treatment on the basis of gender, it includes sexual harassment. 6. Religious discrimination: Treating employees differently on basis of religious faith. 7. Age discrimination: Specifying specific age group for a particular kind of job, includes discrimination to award pension and terminal benefits on the basis of age. 8. Minority discrimination: Where a person belonging to minority is not treated equally as compared to majority. 9. Disability discrimination: Discriminating against those suffering from physical or mental impairment within the limit prescribed by law. Eg: Loss of one eye, polio, deafness, etc. 10. Unfair Job Practices: Prohibition to oppose unlawful action or discrimination, reporting complaints aginst illegal discrimination, etc. 11. Out of turn promotion: Placing a person at higher position without any reason and ignoring others. 12. Unfair Allocation of work: No equitable distribution of work. 13. Unfair working hours: Different working hours for similar salary, working for more than normal 8 hours. 14. Unfair transfers: Sending someone to remote locations without any reason 15. Nepotism: It involves giving undue importance to employees related to higher authorities Although ethical problems arise almost continually in human resource management in academic debates around HRM ethical issues have been of marginal significance for long and gained increasing interest in publications only a short time ago. The attention paid to moral dimensions of HRM was triggered by some objectionable changes in organizations management of people, as several recent developments in HRM policies and practices had raised a number of serious ethical questions. Ethically doubtful HRM practices develop, for example, in the field of insecurity and risk, as employers tend to shift economic risks onto the shoulders of their employees. The boom of performance-related pay systems and flexible employment contracts are indicators of these newly established forms of shifting risk. The surveillance and controlof employees is another ethically sensitive area in recent HRM. By evaluating, grading, and classifying individuals management seeks for transparent employees in order to select those offering not only outstanding professional abilities and knowledge but also displaying desired behaviour, attitudes, motivation and interests. Therefore, modern HRM puts a lot of effort in techniques of evading the autonomy and privacy of employees (e.g. psychometric tests and performance
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control systems) or even enforcing attitudes and values through change programmes. But thats not what this article is about. Rather, it speaks to the ethical dilemmas that HRD professionals confront because of the many hats they are asked to wear. Among the many professional hats they have acquired over the years is a degree in divinity that included several courses in ethics. Why all this interest? The cynic, of course, could argue, with some validity, that the interest in ethics stems from a lack of ethical behavior in the field. When ethical behavior prevails, then there is no interest in or need for an emphasis on ethics, codes of ethics, and ethical guidelines. Such an emphasis usually emerges when a group finds that commonly accepted and expected behaviors are being violated. Thus, sexual harassment and diversity training have emerged during times when litigation has made it unwise for companies to ignore the rapidly increasing number of such situations, which make them vulnerable to lawsuits. Yet if people had behaved ethically all along, it would have been clear, without any litigation, that sexual harassment and discrimination are unacceptable. One could also argue that the growing number of reminders about ethical behavior in the profession is a proactive response to a vision that HRD professionals have for a field that is free of unethical behavior. It is an argument that ethics is not simply a matter of economics, avoiding lawsuits, or improving the bottom line. Rather, it is an acknowledgment that ethical behavior, in and of itself, is desirable. Of course, the difficulty that is always encountered when discussing ethics is how ethical behavior should be defined. The Golden Rule, mentioned in most religious writings, says something to the effect that we should do unto others as we would have them do unto us. This is, however, an ethnocentric perspective. I have suggested that the Golden Rule and similar injunctions might better read, Do unto others as they would have you do unto them. The potential ethnocentricity of ethics is one of the motives for developing codes of ethics or ethical guidelines that are supported by a professional group that, supposedly, represents a broad base of values and can therefore move beyond ethnocentrism. The difficulty, however, as highlighted by DeVogel, Sullivan, McLean, and Rothwell (1995), is that OD professionals, at least, are either unaware of such statements or, even if they are aware of them, do not use them when facing situations that require decision making that has ethical implications. So what is to be done? One of the first steps is awareness. Because of the mere fact of the many HRD publications currently dealing with the issue, professionals must at least realize that ethics is seen to be important in their field. Of course, there is no way to ensure that they read these publications or put what they say into practice. Discussion of topics related to ethics
at local, regional, national, and international conferences is also helpful, though only a small percentage of practitioners attend such conferences. But more can be done. Still more is needed. Perhaps those of us who write articles and report on our research in journals, such as HRDQ, need to be aware of the ethical implications of our research and writing, and make explicit not only how our research affects practice but also how it can be implemented in such a way as to encourage ethical behavior in the field. Those who review articles for inclusion in refereed journals or for referred conferences need to use ethics as one of the criteria for acceptance. Many research questions need to be addressed. Why do practitioners not pay more attention to the work on ethics done by our professional organizations? What are the important areas of decision making that are ethically difficult for HRD practitioners? How do the codes or guidelines that have been developed by professional organizations apply across cultural groups? Are there differences in how academics, practitioners, consultants, and students view ethical behavior? Which factors encourage unethical behavior in the field? I hope that the recent spate of publications on ethics in the field is just the beginning. I hope that we will see an increasing number of articles on ethics in this journal, in other journals, and in the books used in the field. But even more important, I hope that we will see increasingly ethical behavior among HRD professionals. There is growing concern about the deterioration of ethical and moral Values in all segments of society, increasing violence and corruption, growing parochialism and fundamentalism, cynical disregard for the rule of law, etc. Faith in democracy and our political leadership is eroding at an alarming rate. India has been rated as one of the most corrupt countries in the world. In spite of open evidence of this malaise, neither the leadership nor the education-training system has done anything tangible for curing the disease, which is ruining our culture. Role of Education is man making and character building. But our Education system gives very little attention to this vital aspect. The main emphasis in training programmes is in imparting knowledge and skills and in manipulation of the mind for cultivating artificial attitudes and behaviour, rather than on purification of the mind. Thus Competence is given importance, totally neglecting Character, which is equally, if not more, important. Unfortunately, a large section of the powerful Media, which has tremendous influence in moulding attitudes and behaviour, are dishing out mindless violence and crime, vulgar and sensuous scenes - all in the name of entertainment which are perverting values. REFERENCES
[1] Academy of Human Resource Development. (1999). Standards on ethics and integrity. Baton Rouge.
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National Conference on Strategic Management of Business Development: Issues and Prospects Aragon, S. R., & Hatcher, T. (Eds.). (2001). Ethics and integrity in HRD: Case studies in research and practice. Advances in Developing Human Resources. Ethics in OD. W. J. Rothwell, R. Sullivan, & G. N. McLean (Eds.). Practicing organization development: A guide for consultants San Diego. McLean, G. N. (2001). Ethical dilemmas in conducting international research. Human Resource Development International. [6] [7] [8] [9] Swanson, R. A. (1995). Human resource development: Performance is the key. Human Resource Development Quarterly. Advances in Developing Human Resources (Aragon and Hatcher, 2001). Taxmanns Politics, Ethics and Social Responsibility of Business (Sanjeev saxena, Punam Pandey).
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[3] [4] [5]
ErgonomicsHR Future Trend for Health Management of Employees

Prachi Sharma1 and Kapil Kant Grover2
2
Lecturer, GNAIMT Phagwara H.O.D, Management Department, Aryabhatta Group of Institutes, Barnala e-mail: prachisharma_262@yahoo.com to optimize human well-being and overall system performance. According to the International Ergonomics Association: Physical ergonomics: is concerned with human anatomical, and some of the anthropometric, physiological and bio mechanical characteristics as they relate to physical activity. Cognitive ergonomics: is concerned with mental processes, such as perception, memory, reasoning, and motor response, as they affect interactions among humans and other elements of a system. (Relevant topics include mental workload, decision-making, skilled performance, human-computer interaction, human reliability, work stress and training as these may relate to human-system and Human-Computer Interaction design.) Organizational ergonomics: is concerned with the optimization of socio technical systems, including their organizational structures, policies, and processes.(Relevant topics include communication, crew resource management, work design, design of working times, teamwork, participatory design, community ergonomics, cooperative work, new work programs, virtual organizations, telework, and quality management. III. SCOPE AND OBJECTIVE OF AN ERGONOMIC PROGRAM To resolve work hazards before occupational injuries and illnesses through an analysis of: Employees workstation Tools and equipment Parts and materials Work environment Work methods To adapt job and work environment to match the capabilities and limitations of the employees. Management Leadership / Employee Participation Workplace Analysis Accident and Record Analysis Hazard Prevention and Control Medical Management
AbstractWith the advent of new technology, and innovative technology the concept of doing a work has been altered.Human resource management has transformed its facet of performance from just being the administrative tools to attain the image of Strategic importance. Job designing considered as an important task of HR managers has vital role in the retrieval of productivity of the organizations. The intensity of work in organization depends upon the health and stability of the employee. These days strategic human resource management has emancipated employees by having access to a number of tools, accessories, equipments, appliances, and machines. Work is no longer a strenuous task combining sweat and exhaustion. The presence of more sophisticated and innovative tools have decreased the scope of exhaustive and strenuous work. The concept of health management of employees in relevance to the new trends in HRM has got recognition with new techniques of work reengineering for effective productivity with health sufferings as well as stressed lie. Ergonomics give many benefits to the manufacturing industries. Effective application of ergonomics in work system design can achieve a balance between worker characteristics and task demands. This can enhance the worker productivity, provides worker safety, physical and mental well-being as well as job satisfaction and enrichment.
I. OBJECTIVES OF THE STUDY To analyze health related risks in employees working in the present organizations. To analyze role of ergonomic practices in the manufacturing industries. Analyze the importance of ergonomics in health management of employees. To consider the scope of ergonomic studies for competent human resource management. II. INTRODUCTION Ergonomics program is a systematic process for anticipating, identifying, designing, developing, analyzing and controlling ergonomics risk factors to ensure the health and safety of the workers. The International Ergonomics Association defines ergonomics as follows: Ergonomics (or human factors) is the scientific discipline concerned with the understanding of interactions among humans and other elements of a system, and the profession that applies theory, principles, data and methods to design in order
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A. Background of the Study Ergonomics deals with the application of information about human behaviour, capabilities and limitations to the design of systems, machines, tools, tasks or jobs and environments for productive, safe and effective human use (Chapanis, 1985). The goal of ergonomics is to ensure a good fit between the workers and their job, thereby maximizing worker comfort, safety and health, productivity and efficiency. Derived from the Greek words ergon, which means work and nomos, which means laws, ergonomics literally means the laws of the work (Sluchak, 1992). The term initially introduced into the literature by the Polish natural scientist Jastrzebowski in 1857 (Bridger, 2003). Later, the term ergonomics was independently reinvented and formally established by Murrell in 1949 (Edholm,1974). Many research studies showed positive effects of applying ergonomics principles in workplaces, occupational health and safety, machine design, job design, environment and facilities design (Das & Sengupta, 1996; Das and Shikdar, 1999, Grandjean, 1982; Konz, 1983; Sanders and McCormick; 1992; Shikdar and Das, 1995). Studies in ergonomics have also produced data and guidelines for industrial applications, the features of ergonomics designs of machines, workstations, and facilities are well-known (Grandjean, 1982; Konz, 1990; Sanders and McCormick, 1992). B. Health Management Health care is the prevention, treatment, and management of illness and the preservation of mental and physical well being through the services offered by the medical, nursing, and allied health professions. Health management is the practice of maintaining the effective health of the employees/patients working in the organizations. Health management leads to effective increment of productivity of workforce working in the organization. Ergonomics act as the tool for maintaining and transforming the health of the employees by providing effective reengineering and redesigning programs. C. Ergonomics as Tool for Health Management in Organizations Ergonomics is the science of fitting the job to the worker. When there is a mismatch between the physical requirements of the job and the physical capacity of the worker, work-related musculoskeletal disorders (MSDs), Cumulative Trauma Disorders (CTD) can result. Ergonomics is the practice of designing equipment and work tasks to conform to the capability of the worker, it provides a means for adjusting the work environment and work practices to prevent injuries before they occur.
D. Role of hr in health management: Employees Wellness and Holistic Approach Key concerns areas for hr department for effective health management Treat ergonomic efforts as furthering the company's strategic goals: expect full cooperation of the total workforce in working together toward realizing ergonomic improvements assign lead roles to designated persons who are known to "make things happen" give ergonomic efforts priority with other cost reduction, productivity, and quality assurance activities have the support of the local union or other worker representatives allow full discussion of the policy and the plans for implementation set concrete goals that address specific operations and give priority to the jobs posing the greatest risk. E. Effective Utilization of Companys Resources Towards Train the workforce to be more aware of ergonomic risk factors for MSDs. Provide detailed instruction to those expected to assume lead roles or serve on special groups to handle various tasks. Bring in outside experts for consultations about start-up activities and difficult issues at least until inhouse expertise can be developed. Implement ergonomic improvements as may be indicated. Provide release time or other compensatory arrangements during the workday for employees expected to handle assigned tasks dealing with ergonomic concerns.
F. Focus Areas for hr Manager Management Leadership/Employee Participation: It demonstrate a commitment to reduce or eliminate employees handling hazards through establishing a written program that addresses issues, such as: Continued prevention. training of employees in injury
Methods of transfer and lifting to be used by all staff. Compliance with transfer and lift procedures. Procedures for reporting early signs and symptoms of back pain and other musculoskeletal injuries. Employee Participation should include: Complaint/suggestion program which includes employee reports of unsafe working conditions. Prompt reporting of signs and symptoms as well as injuries.
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Workplace Analysis to identify existing and potential workplace hazards and find ways to correct these hazards. Assessment of work tasks involves an examination of duration, frequency, and magnitude of exposure to ergonomic stressors such as force, repetition, awkward postures, vibration and contact stress to determine if employees are at risk of pain or injury. Observation, workplace walkthroughs, talking with employees and periodic screening surveys are used to help identify hazards such as stressful tasks. Accident and Record Analysis: Records of injuries and illnesses should be analyzed to identify patterns of injury that occur over time, enabling the hazards to be addressed and prevented. This includes reviewing OSHA 300 logs, OSHA 301 forms and Workers' Compensation reports. Hazard Prevention and Control including implementing administrative and engineering controls. Administrative controls: Provide for adequate staffing, assessment of employees needs, and restricted admittance policies. Engineering controls: Help to isolate or remove the hazards from the workplace, for example providing proper selection, training, and use of assist devices or equipment. Medical Management: A medical management program, supervised by a person trained in the prevention of musculoskeletal disorders, should be in place to manage the care of those injured. The program should: Accurate injury and illness recording. Early identification and treatment of injured employees. "Light duty" or "no lifting" work restrictions during recovery periods. Systematic monitoring of injured employees to identify when they are ready to return to regular duty.
An overview of the potential risks, causes, and symptoms of back injury and other injuries. Be able to identify existing ergonomic stressors and methods of control, such as the use of engineering, administrative, and work practice controls particularly safe resident handling techniques. Recognizing the signs and symptoms of MSDs and the procedures for reporting potential problems. Encouragement of staff physical fitness. IV. INTERPRETATIONS AND FINDINGS: There is still low acceptance and limited application of ergonomics in the manufacturing industries. The main concern of work system design is usually in the improvement of machines and tools alone. Inadequate or no consideration is given to the work system as a whole. Therefore, poorly designed work systems are common place in manufacturing industries (Das, 1987, Konz, 1983). The neglect of ergonomics principles brings inefficiency and discomfort to the workers along with causing physical and emotional stress, low productivity and poor quality of work. Cumulative trauma disorder (CTD) occurrences peaked in number in 1994 and although decreasing in 1995, still accounted for 62% of all illness cases reported. A CTD Management Evaluation Tool was developed to assist Occupational Safety and Health Compliance Officers (CSHOs) in program evaluation and documentation of the occupational health management component and the need for an ergonomics program. Occupational and environmental health nurses may use the tool not only to reduce and prevent CTD occurrences, but also as a benchmark for program evaluation. OSHA's OSH Act of 1970 strives to "assure safe and healthful working conditions for working men and women..." and mandates that "each employer shall furnish to each of his/ her employers employment and a place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to his/ her employees." OSHA recommends that employers identify and address ergonomic stressors in their facility's safety and health plan. General safety and health plan information can be found in theAdministration Module - Safety and Health Program.
Training: A training program, designed and implemented by qualified persons, should be in place to provide continual education and training about ergonomic hazards and controls to managers, supervisors and all healthcare providers, including "new employee" orientation. Training should be updated and presented to employees as changes occur at the workplace, and be at a level of understanding appropriate for those individuals being trained, and should also include: The opportunity to ask questions of the trainer.
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Proper management of human resources is critical in providing a high quality of health care. A refocus on human resources management in health care and more research are needed to develop new policies. Ergonomics programs should not be regarded as separate from those intended to address other workplace hazards. Aspects of hazard identification, case documentation, assessment of control options, and health care management techniques that are used to address ergonomic problems use the same approaches directed toward other workplace risks of injury or disease. Although many of the technical approaches described in this course are specific to ergonomic risk factors and MSDs, the core principles are the same as efforts to control other workplace hazards.
A. Recommendations Proper training programs should be organized to enlighten employees about ergonomic practices and its benefits. The employers must make emphasis on imparting the concept of ergonomics to the workers. It should be a continuous process rather than an event. Health and safety of the workers can be enhanced by training and empowering the employees for their involvement and effective engagement. Use of Ergonomic cushions and aided machineries should be intermingled with the tools and technical procedures of the organization. Employees must be educated and made aware of the ergonomic concept, stress and strain related provisions. A helpdesk should be established in the organization to have a record of problems and cases leading to health related concerns of employees as well as continuous kaizens should be made for regular improvements of work designing.
none of the machine is 100% efficient, and always have a depreciation time leading to energy losses and productivity lessening. The present era of industrialization has led to lives of employees full of stress. The workload has transformed several human resources the victims of musco-skeletal disease and stress related hazards. Most of the health challenges revolves around ill stature and working conditions which calls for a new role of human resource management department to emphasize upon tools and techniques to relieve employees from the hazardous diseases. The amalgamation o ideals of ergonomic practices has been a strategic tool for HRD of employees providing them QWL, efficient working conditions, less stressful surroundings and uman friendly appliances and procedures, thereby enhancing effective build of morale, team-spirit, healthy workforce and motivation for enhancement, providing rejuvenating workforce. Proper management of human resources is critical in providing a high quality of health care. A refocus on human resources management in health care and more research are needed to develop new policies. Effective human resources management strategies are greatly needed to achieve better outcomes from and access to health care around the world. REFERENCES
Bridger, R.S. 2003. Introduction to Ergonomics. Edition. London: Taylor and Francis. [2] Chapanis, A. 1985. Some Reflections on Progress. Proceedings of the Human Factors 29Annual Meeting. Santa Monica. USA. 1-8. Cronbach, L.J. (1990). Essentials of Psychological Testing. 2nd Edition. New York: Harper and Row. [3] Dahalan J., Shamsdin Z.R., Osman N.H., Abd. Ghafar S., Arimuthu A., Daud, R., Shaharudin R., Matsuno Y., & Hisanagi N., Musculoskeletal Disorders Among Visual Display Terminal Users in Malaysia, (National Institute of Occupational Safety and Health, Malaysia, 2003). London: Taylor and Francis. [4] Elmy Marina (2005) An Investigation Of Musculoskeletal Disorders Amongst Malaysian Visual Display Terminals Workers By Utilizing Quality Function Deployment Method. Tesis Disertasi. USM. Nov 2005. [5] Kogi, K., and T. Kawakami. 1997. Current ResearchErgonomics. Environmental Management and Health. 8(5): 88190. [6] Kong-King S. & Chin-Chiuan L., Effects of Screen Type, Ambient Illumination and Colour Combination on VDT Visual Performance and Subjective Preference. Int. J. of Ind. Ergonomics, 26 (2000) 527536. [7] Munck-Ulfslt, U., A. Falck, A. Forsberg, C. Dahlin, and A. Eriksson. 2003. Corporate Ergonomics Programme at Volvo Car Corporation. Applied Ergonomics. 34(1): 1722. [8] Niggebrugge, D., and D. Schelle. 1999. Common Sense at GTI. In: B. Wikstrm, G. Hgg. Corporate Initiatives in Ergonomics, Arbete and Hlsa, Stockholm: NIWL. 10:100103. [9] Putz-Anderson V., Bernard B., Burt S., Cole L., Fairfield Estill C., Grant K., Gjessing C., Jenkins L., Hurrell J., Nelson N. & Tanakan S., Musculoskeletal Disorders and Workplace. [10] Manufacturing Industries. [CD ROM] Proceedings in International Conference On Technology Management (ICTM 2006). [1]
B. Limitations of the Study The research is based on secondary sources,i.e, the data has been collected by studying the journals and research papers. It is a descriptive study and not confined to a particular industry or organization. V. CONCLUSION Energy is neither created nor destroyed, it is only transformed from one form to another, this very concept of energy conservation relies on the fact that
ErgonomicsHR Future Trend for Health Management of Employees [11] Sluchak, T.J. 1992. Ergonomics: Origins, Focus and Implementation Considerations. AAOHN Journal. 40(3): 10511. [12] Smyth, J. 2003. Corporate Ergonomics Programme at BCM Airdrie. Applied Ergonomics. 34(1): 3943.
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[13] Yeow, P.H.P. and R.N. Sen. 2002. The Promoters of Ergonomics In Industrially Developing Countries (IDCs) Their Work and Challenges. Proceedings of 3rd CybErg 2002: The third international Cyberspace Conference on Ergonomics. In Thatcher, A., J. Fisher and K. Miller. [14] The International Ergonomics Association Press, University of the Witwatersrand.
An Evaluation of Human Resource Management Polices of Central Cooperative Banks in Haryana

Rajiv Kumar#1, Ravneet Kaur*2 and Baljeet Kaur**3
Department of Commerce, Punjabi University, Patiala Junior Research Fellow, Department of Commerce, Punjabi University, Patiala 3 Student, Govt. College, Panchkula # e-mail: rajivnada@gmail.com, *ravneetbinner@yahoo.co.in, **gillbaljeet99@gmail.com
2 1
AbstractThe most important assets for an organization are its employees. Efficient utilization of resources in terms of money, material and machinery depends upon the efficiency of human resources operating and handling the resources. Human resource is considered to be a most significant and active factor of production and to be centre of the development process. Human resource plays a vital role in the growth of an organization. Thats why it becomes important for an organization to handle and manage its human resources very carefully. A good personnel policy motivates the employees to work hard and produce more and at the same time helps the management to utilize the human resources to the optimum level to achieve the organizational objectives. In this paper an attempt has been made to study the human resource management policies of the Central Cooperative banks in the state of Haryana.
I. INTRODUCTION Human Resource Management (HRM) is a function which has been gaining attention in the organization these days. The most important assets for an organization are its employees. Efficient utilization of resources in terms of money, material and machinery depends upon the efficiency of human resources operating and handling the resources. Human resource is considered to be a most significant and active factor of production and to be centre of the development process. Human resource management is the area which develops potential of the employees and gets more out of the employees. The human resource is the most important input in any organization for achieving its goals. So, human resource plays a vital role in the growth of an organization. Thats why it becomes important for an organization to handle and manage its human resources very carefully. A good personnel policy motivates the employees to work hard and produce more and at the same time helps the management to utilize the human resources to the optimum level to achieve the organizational objectives. Cooperative Banking in India is an important sector of the economy. Cooperative banks are the pivotal institutions in agriculture and rural credit .The emerging Cooperative banking scenario represents the
competition among Cooperative banks and Financial Institutions, technology upgradation, better customer facilities etc. leads to need of professionalism in Cooperative banks. So, it becomes important for the Cooperative banks to raise the sense professionalism among its employees to compete with other Financial Institutions. Thus, human resource management becomes the most versatile area for the Cooperative banking institutions. Though Cooperative banking is gaining popularity but there is absence of proper human resource management system in Cooperative banks. The present policy of Indian Cooperative is government oriented. The staff is not given much responsibility and there is lack of accountability among employees in Cooperative banks. Cooperative Banking Institutions have hardly stressed the need of exact number of staff, their caliber and qualification to manage the Cooperative Institutions effectively and economically. II. OBJECTIVES OF THE STUDY The followings are the objectives of the study 1. To study the profile of the Central Cooperative banks in Haryana. 2. To Study the Human Resource Management Policies of the Central Cooperative banks in Haryana. 3. To conclude on the basis of study. III. RESEARCH METHODOLOGY In this paper an attempt has been made to study the human resource management policies of the Central cooperative banks in Haryana. The study is based on secondary data which is collected in form of policies of the banks. The data was collected from the Common cadre rules of the bank and Haryana state cooperative act. The study covers the 19 Central cooperative banks in the state of Haryana which were situated at the district head quarter in every District. IV. CENTRAL CO-OPERATIVE BANKS IN HARYANA In Haryana, Central Co-operative Banks, act as an intermediary Institutions for short term and medium term co-operative structure. These CCBs are working as
An Evaluation of Human Resource Management Polices of Central Cooperative Banks in Haryana
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a link between Primary Agriculture Co-operative Societies in Haryana and Haryana State Co-operative Apex Bank (HARCO BANK).These banks are mostly situated at the District head quarters and at subdivisional towns in the state. CCBs provide the sufficient funds to PACSs to cater the need of the rural area and it also exercise control over the operations of the PACS through appointing secretaries in the PACS who are of common cadre of Central Co-operative Banks. At present there are 19 Central Co-operative Banks with its 336 branches in the State. The Central Co-operative Banks in Haryana are as under: Ambala Central Cooperative Bank Bhiwani Central Cooperative Bank Faridabad Central Cooperative Bank Fatehabad Central Cooperative Bank Gurgaon Central Cooperative Bank Hisar Central Cooperative Bank Jhajjar Central Cooperative Bank Jind Central Cooperative Bank Karnal Central Cooperative Bank Kaithal Central Cooperative Bank Kurukeshetra Central Cooperative Bank Mahendergarh Central Cooperative Bank Panipat Central Cooperative Bank Panchkula Central Cooperative Bank Rewari Central Cooperative Bank Rohtak Central Cooperative Bank Sirsa Central Cooperative Bank Sonepat Central Cooperative Bank Yamunagar Central Cooperative Bank V. RECRUITMENT POLICY OF CENTRAL COOPERATIVE BANKS IN HARYANA As per the recruitment policy of CCBs, the authority to make appointments to various posts in each category shall vest in the Board, which may delegate all or some of its powers to the administrative committee/Manager. First of all the Board of Directors shall determine the Staff strength and determine the surplus pool and shortage of employee under the different category, then determined the number of vacancies under the different categories of posts and send it to the subject to the approval of Registrar Cooperative Societies (RCS). After the approval of RCS the process of appointment starts. The appointment in Central Co-operative Banks in done in following manners: Appointments by Direct Recruitment Appointments by Promotion. VI. APPOINTMENT BY DIRECT RECRUITMENT After the approval of RCS, all the direct appointments shall be made after prior advertisement in
at least one leading daily newspaper in Hindi and English and after obtaining the names of the candidates from Employment Exchange mentioning qualifications, grade of pay and other particulars of posts. Reservation for reserve category i.e. scheduled castes/tribes, backward castes and ex-serviceman etc. shall be provided in the direct recruitment as per Govt. instruction applicable to Haryana Government employees issued from time to time. Appointment by direct recruitment to the various posts under different category shall be made in the following ratio:
Category Percentag for Direct Recruitment Senior Accountant 25% Junior Accountant 25% Clerks 70% Source: The Haryana State Central Co-operative Banks Staff Service (Common Cadre) Rules 1975.
VII. PROMOTION POLICY OF CENTRAL CO-OPERATIVE BANKS IN HARYANA Under the promotion policy of Central Cooperative Banks, The appointments to posts under a category shall be made from eligible employees working in lower category. The appointing authority shall be guided by the service record, qualification both academic and professional and length of service of the employees in that category for promotion. The competent authority may relax qualifications for promotion to higher category in deserving cases with the permission of the Registrar Cooperative Societies Haryana. The Inter-seseniority shall be determined according to age; older being senior and if in the case of such employees the date of birth of any two or more employees is same, and then decision by the appointing authority shall be final. In all the promotion cases, reservation for the members of scheduled caste/Tribes and Backward classes shall be made as prescribed by the State Government from time to time. A. Fixation of Seniority in Case of Promotion In promotional cases, the seniority for the employees who are already in regular service of the Bank on the date on which these rules come into force shall be determined according to the date of joining in the category of post. In case, two or more employees join on the same date, their seniority shall be determined as follows: If the appointment is made under the direct recruitment, then seniority shall be determined according to the merit list as provided by the appointing authority. If the date of joining of two or more employees in the category of service through direct recruitment or promotion is the same, the later shall be senior to the former.
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If two or more employees are promoted in the same category/cadre on the same date, the seniority shall remain the same order in the lower category. VIII. APPOINTMENT BY PROMOTION
XI. TRANSFER POLICY OF THE CENTRAL COOPERATIVE BANKS The manager of the bank shall be competent to transfer any person of the service with jurisdiction of the Bank. All the employees shall be liable to transfer from one office to another. On such transfer, the employees shall be entitled to Traveling Allowance for himself and his family and luggage/freight and labor charges under T.A. rules but no T.A. shall be paid for joining service at the place of posting for new direct appointments. Notwithstanding anything contained in these rules an apprentice secretary will not be transferred and shall require to serve the society for which he has been recruited until becomes eligible to be absorbed as a regular secretary. XII. CONCLUSION The paper revealed that Central Cooperative banks in Haryana are playing important role in the rural economy of Haryana. The human resource management aspects were still missing in the Central Cooperative banks in the state of Haryana. There is no separate human resource management department in CCBs in Haryana. The work of manpower planning is done by the Registrar Cooperative Societies(RCS). The Human resource policies were mentioned in the Common cadre of CCBs which was same for all the CCBs in the state. Recruitment is done by the method of direct recruitment and through promotion, Promotion policy of the CCBs is seniority based promotion policy, training is given to the employees of the banks as per the requirement of the banks. An annual confidential report (ACR) is used as techniques for performance appraisal. Any employees can be transfer to any of the branch of the bank within the districts as per the requirement of the CCBs. REFERENCES
[1] [2] [3] [4] [5] [6] Memoria,C.B., Personnel Management, Himalaya Publishing House, Bombay, 1980. Pattnayak, Biswajeet Human Resource Management Prentice Hall of India, Pvt. Ltd., New Delhi, 2004. Rathanam, B.Venkat Personnel Management Policies and Practices Anmol Publication, Pvt. Ltd., New Delhi, 2006. Sharma, A.M., Personnel Management and Human Resource Management Himalaya Publishing House, New Delhi, 1996. Sharma,M.K., Personnel Administration Anmol Publication, Pvt. Ltd. New Delhi, 2006. Sivaprakasam, P., An Appraisal of Personnel Management Policies and Practices in Central Cooperative Banks in Tamil Nadu. Indian Cooperative Review, July1993, Vol XXXI pp 119, Srinivas, M., Organization and Management of Cooperative Banks, Printwell Publisher, Jaipur, 1990. The Haryana State Central Co-operative Banks Staff Service (Common Cadre) Rules 1975.
The appointment to various posts under different categories shall be in the following ratios:
Category Senior Accountant Junior Accountant Clerks Percentage for Promotion 75% 75% 30%( 25% from the Secretaries and 5% from Daftries/ Peons) Source: The Haryana State Central Co-operative Banks Staff Service (Common Cadre) Rules 1975.
A seniority list of such peons will be prepared who passed Matriculation Examination and have 3 years experience for promotion to clerks against 5% quota. IX. TRAINING POLICY OF CENTRAL COOPERATIVE BANKS Any member of the staff may be required to undergo general or special training or refresher course of training in any Institution as may be prescribed by the Registrar or by the Manager of the Bank. An Employee deputed for training to any of the Cooperative Institution, shall executed a bond /agreement undertaking to serve the Bank at least for a period of 3 years from the successful completion of training, failing which he shall be liable to pay expenses of training incurred by the Institution on his /her training. Any employee who fails to complete the training successfully or pass the examination prescribed, shall do the training again or take the examination as per rules of Training Institution at his own expenses. X. PERFORMANCE APPRAISAL POLICY OF CENTRAL COOPERATIVE BANKS Under the performance appraisal policy of the bank, an annual character rolls and confidential reports shall be recorded in the proforma a prescribed by the manager. This record will be confidential and shall remain in the custody of the manager. All reports shall be written and deposited with the manager within 3 months of the close of the Co-operative Year. In case the adverse remarks are recorded in respect of any employee, these shall be communicated to concerned employee within a period of 6 months following the Co-operative year to which the report relates. An appeal against adverse remarks shall be made within 30 days from the receipt of such communication. The Appeal shall be considered by the appointing authority for decision whose decision shall be final and binding.
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Ethics in Human Resource Management: Recruitment and Training

Lakhwinderjeet Kaur1*, Manvir Kaur2** and Kulbir Singh3***
Junior Research Fellow, Department of Commerce, Punjabi University, Patiala 2 Research Scholar, Department of Commerce, Punjabi University, Patiala 3 Assistant Professor (ADHOC) Sri Guru Teg Bahadur Khalsa College, Uni. of Delhi e-mail: *amol.sidhu@yahoo.co.in, **manvir13sep@gmail.com, ***dalkulbir@gmail.com
AbstractManaging human resource is the primary and most important task of the management. Today in the modern world, each and every large public and private sector enterprise in India are using the tools and techniques of human resource management to make capable their employees for the achievement of organizational objectives. This workforce has more sophisticated technology for the use and enjoys better standard of living than the earlier ones. Organization that is able to acquire, develop, stimulate and keep outstanding worker will be both effective and efficient. The present paper deals with the ethics within the recruitment and training of employees. In the process of recruitment and training every organisation keeps in mind all the ethics related with the organisation and job.
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on ethics in often comes down to a list of values that should be reflected in the daily practice. Human Resource Management (HRM) is a business function and it is mainly concerned with managing relations between different groups of people in their capacity as employees, employers and managers. Inevitably, this process may raise questions about what the respective responsibilities and rights of each group are in this relationship, and for what constitutes fair treatment. These are the questions which are ethical in nature. A. Objectives of the Paper 1. To study the ethics of Human Resource Management with respect to training, recruitment and promotion of employees; To conclude on the basis of the paper and to provide suggestions thereof.
I. INTRODUCTION Development of an organization depends upon the efficiency and performance of the employees. Time had passed when human resource was only treated as a tool of production in the organization, but now, it is considered as an important part of the organization, because the success of the organization depends on its human resource. It is the key ingredients to the efficiency and effectiveness of the organization. So, managing human resource is the primary and most important task of the management. Today in the modern world, each and every large public and private sector enterprise in India are using the tools and techniques of human resource management to make capable their employees for the achievement of organizational objectives. Present day workforce is better educated, it possesses greater skills. This workforce has more sophisticated technology for the use and enjoys better standard of living than the earlier ones. Organization that is able to acquire, develop, stimulate and keep outstanding worker will be both effective and efficient. The present paper deals with the ethics within the recruitment and training of employees. Which are the most important activities of the organisation and through which the efficiency and effectiveness of the organisation can be increased in a better way? In the process of recruitment and training every organisation keeps in mind all the ethics related with the organisation and job. Ethics refers to the moral standards and comprise principles and standards of right conduct. A discussion 2.
B. Research Methodology The present paper is based on the ethics in Human Resource Management. An attempt has been made to study the ethics in Human Resource Management in relation to recruitment, training and promotion of the employees. The paper is theoretical in nature. For the purpose of the study, some literature relating to ethics in HRM has been studied. Various research papers, newspaper articles, books, journals and websites have been consulted. II. ETHICS AND HUMAN RESOURCE MANAGEMENT Building employees trust in the management is more important function than ever before. There may be many reasons for this: The tight labour market Continuous pressures resulting from continual downsizing Increasing stress due to fast-paced change Global competition Information technology Increasing customer expectations Human resource management must be prepared to "educate" employees about organizational values by starting with the assumption that the employee enters the workplace with little exposure or understanding of
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an ethical and moral value system as it applies to business relationships. Employers must be prepared to "educate" employees as to why such values are necessary for an organization to survive and what are the individual rewards of following ethical standards which promote the public good. For management to create a trust relationship with its employees, a cornerstone is the adoption of ethical standards. III. UNETHICAL PRACTICES IN HUMAN RESOURCE MANAGEMENT The unethical practice of HRM itself has also hit public attention: Off-shoring and exploiting cheap labour markets; Using child labour; Reneging on company pension agreements; Longer working hours; Increasing work stress; The use of disputed and dubious practices in hiring and firing of personnel. It has been shown that just as consumers perception of the ethics of a company can affect sales, so the views of its investors will affect its share price. Similarly, it has been suggested that poor standards of conduct emanating from the top management affect employee motivation and commitment to organisational goals. IV. ROLE OF ETHICS IN HUMAN RESOURCE MANAGEMENT In recruitment and selection: ensure that all assessment measures are fair and just. In reward management: ensure fairness in allocation of pay and benefits. In promotion and development: ensure equal opportunities and equal access. Ensure a safe working environment in both for all employees. Ensure that procedures are not unduly stressful, and that the needs of employees worklife balance are not compromised. When redundancies occur, to be fair and just in handling job losses. Ethics and their place in training However, these values should not just remain words in paper, they have to be communicated and inculcated. This is where the training of the civil servants comes in. Ethics is pretty big in business these days. If you haven't noticed then you can't be much of a consumer. Consumerism, ethics, ecology and business are hitting off one another like molecules in a particle accelerator. There are two main strands to business ethics: one is around sound and honest corporate governance and fiscal probity, while the other is
concerned with matters environmental. The former has been a hot topic for many years. There's no doubt where the loyalty of some of training's user-martinets lie: wholly and solely with the employer. They are the ones who will argue that training and development should be focused solely on meeting business needs. it may well diminish employee loyalty and commitment. Staff will not necessarily see the corporate training and learning and development path as one that will give them the fulfilment they want from work. Younger professional staff especially tends to expect their personal development needs to be at least partly met by whatever learning and development path they follow at work. So the ethical training and learning and development manager should bear that in mind when devising learning, training and mentoring programmes. Finally, back to CSR V. STAFF RECRUITMENT ETHICS The selection of the staff is an important part of building an ethical administration, which should be reflected in the principles for recruitment. The principles for recruitment are often connected to the educational background of the applicant. Recruiting quality staff members is a pivotal challenge, because staff both supports management and helps ensure a company can be competitive. A quality staff is, therefore, essential to success in business. Since the strength of a staff is built on individuals, who must be committed to their work and their team, recruitment is required to bring in the most suitable individuals. Consequently, ethics play a key role in guaranteeing the right people get the job, thus management must work to improve and maintain ethics, especially for their recruitment staff. Recruiting staff is rather challenging and ethical considerations can help improve the recruitment process. When management trains recruiters to seek out talent while taking into account ethical considerations, recruiters will behave more ethically. Accordingly, offering support and minimizing the opportunities for conflicts of interests created in the recruitment process are also important aspects. Moreover, management must ensure their recruiters are ethical professional who can and will represent the best interests of their company. VI. ETHICS AND GOOD RECRUITING It is far too easy to get caught up in our own perspectives, careers, and day-to-day activities that we don't see alternatives to the problems we face. Instead, we continue to follow traditional approaches, even when they are obviously inadequate. Almost everyone involved with talent acquisition is squirming under pressure from hiring managers to find more qualified
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candidates. Recruiters are quick to grasp at any solution that offers hope of giving them access to better people. Hence, the rapid rise of niche job boards, referral and networking tools, and greatly renewed interest in Internet searching and in "poaching" candidates. At the same time, recruiters face pressure to source in ways that may be legal but not exactly ethical. Discussions about ethics on ERE and on various blogs over the past year have not been encouraging. A. Ethics in Promotion of the Employees Ethics in human resource management also includes ethics in promotion of the employees. A good manager should never be partial and work on ethical basis for every employee; he should never favour any employee. He should prepare ACR for employees on the basis of their performance not on their favouritism. B. Conclusion and Suggestions In the long run, it is not important whether you "win" the candidate, but whether you have done so with integrity and fairness. Assuming you practice ethical recruiting, how can your organization meet its needs for talent? Conventional thinking about careers and a lack of imagination on the part of HR and recruiters is probably contributing to the perception that there is a growing lack of skilled talent available in the workforce. There are many alternatives to unethical
recruiting and to filling talent shortages. The paper suggests that the selection committee should be very fair and non partial. They should follow ethics while recruiting the employees and there should be no political interference. Every employee should be given equal opportunity for growth for training so that they can develop their skills for career development. Promotion policies should be fair and just and should follow organization cadre appropriately. REFERENCES Books
[1] [2] Mabey, Christopher strategic human resources, efficient offset printers, New Delhi, 1998 pp-129 Ethics and Human Resource Rose, Amanda (2007), Management downloaded from http://highered.mcgrawhill.com/sites/dl/free/0077111028/536508/EHR_C02.pdf Ethics and HRM: A Greenwood, R Michelle (2002), Review and Conceptual Analysis journal of business ethics 36: 261278 downloaded from http://www.springerlink.com/content/lc7p1c0nj0hqucym/fulltext .pdf
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[4] [5] [6] [7] http://www.coess.org/documents/code_of_conduct.pdf http://EzineArticles.com/ http://www.personneltoday.com/articles/2007/07/17/41455/ethic s-and-their-place-in-training.html http://www.helium.com/items/1741321-recruitment-managingrecruiters-management-ethics-ethics-in-recruitment.
Relationship between Emotional Intelligence and Effective Leadership Skills among the Officers of Indian Defense Services
Navdeep Singh
Student, MBA1st Year, Thapar University, Patiala e-mail: singh_navi19@yahoo.co.in
AbstractEmotional intelligence has become increasingly popular as a measure for identifying potentially effective leaders, and as a tool for developing effective leadership skills. Despite this popularity, however, there is little empirical research that substantiates the efficacy of emotional intelligence in these areas. The aim of the present project was to explore the relationship between emotional intelligence and effective leadership. Effective leaders were identified as those who displayed a transformational rather than transactional leadership style as measured by the multifactor leadership questionnaire. Emotional intelligence correlated with several components of transformational leadership suggesting that it may be an important component of effective leadership. In particular emotional intelligence may account for how effective leaders monitor and respond to subordinates and make them feel at work. Keywords: Emotional intelligence, Transformational leadership, Transactional leadership.
II. TERMS USED A. Emotional Intelligence It is described as a set of abilities that refer in part to how effectively one deals with emotions both within oneself and others. The Ability Model claims that Emotional Intelligence includes four types of abilities: Perceiving emotions the ability to detect and decipher emotions in faces, pictures, voices, and cultural artifactsincluding the ability to identify one's own emotions. Perceiving emotions represents a basic aspect of emotional intelligence, as it makes all other processing of emotional information possible. Using emotions the ability to harness emotions to facilitate various cognitive activities, such as thinking and problem solving. The emotionally intelligent person can capitalize fully upon his or her changing moods in order to best fit the task at hand. Understanding emotions the ability to comprehend emotion language and to appreciate complicated relationships among emotions. For example, understanding emotions encompasses the ability to be sensitive to slight variations between emotions, and the ability to recognize and describe how emotions evolve over time. Managing emotionsthe ability to regulate emotions in both ourselves and in others. Therefore, the emotionally intelligent person can harness emotions, even negative ones, and manage them to achieve intended goals. B. Leadership It is the ability to successfully integrate and maximize available resources within internal and external environment for the attainment of organizational or societal goals.
I. INTRODUCTION Many organizations today need to change rapidly to maintain their competitive edge. Rapid change requires that an organization has employees and leaders, who are adaptive, work effectively, constantly improve systems and processes, are customer focused, and who share the need to make a profit. During the last decade interpersonal skills have become more integral to effective leadership. Where leaders were once seen to control, plan and inspect the overall running of an organization, in todays more service-oriented industries, leadership roles are also to motivate and inspire others, to foster positive attitudes at work, and to create a sense of contribution and importance with and among employees. These contemporary leadership requirements have placed new demands on leadership training programs to develop these skills in evolving leaders and on organizations involved in leadership selection to identify them in potential candidates. As a result, research has been exploring the underlying attributes and behaviors of leaders who successfully perform these contemporary leadership roles in order to identify leadership selection and training criteria for the recruitment and development of effective leaders.
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1) Transformational leadership It is defined as a leadership approach that causes change in individuals and social systems. In its ideal form, it creates valuable and positive change in the followers with the end goal of developing followers into leaders. Enacted in its authentic form, transformational leadership enhances the motivation, morale and performance of his followers through a variety of mechanisms. These include connecting the follower's sense of identity and self to the mission and the collective identity of the organization; being a role model for followers that inspires them; challenging followers to take greater ownership for their work, and understanding the strengths and weaknesses of followers, so the leader can align followers with tasks that optimize their performance. 2) Transactional leadership A transactional leadership focuses more on a series of "transactions". These leaders are interested in looking out for oneself, having exchange benefits with their subordinates and clarify a sense of duty with rewards and punishments to reach goals. Transactional leaders believe that people are motivated by reward or punishment. These leaders give clear instructions to followers about what their expectations are and when those expectations are fulfilled there are rewards in store for them and failure is severely punished. The Transactional leader often uses Management by Exception working on the principle that if something is operating to defined performance then it does not need attention. III. OBJECTIVE OF THE STUDY To relate the importance of Emotional Intelligence with Leadership effectiveness. To determine how the officers of Indian Defense Services lead the men in their respective regiments by Emotional Intelligence. To justify that leading and managing by Emotional Intelligence enhances morale and performance of an employee. IV. RESEARCH METHODOLOGY Research Type: pure research Methodology: Primary as well as secondary dataquestionnaire based (quantitative) Sample Size: 50 sample target: Indian Defense Services officers Sampling Techniques: Technique of judgmental sampling has been used. Data Recording: The collected data has been stored in Microsoft word for convenience in analyzing it.
V. FINDINGS AND RESULT OF THE STUDY From analysis of questionnaire given to different respondents, we present the following findings worth mentioning. 90% of the respondents believe that Emotional Intelligence is an effective tool for developing leadership skills. 84% of the respondents believe that Emotional Intelligence accounts for how effective leaders monitor and respond to subordinates and make them feel at work. 90% of the respondents believe that Transformational leaders are rated higher in Emotional Intelligence than Transactional leaders. 62% of the respondents believe that sensing when subordinate needs a more or less challenging task depend on the ability to monitor emotions. 88% of the respondents believe that leading and managing by Emotional Intelligence enhances morale and performance of an employee. 86% of the respondents believe that Emotional Intelligence is as critical as I.Q. to an individual effectiveness. 74% of the respondents believe that Emotionally Intelligent leader is always good at reading other people. Effective leadership skills have been described to depend, in part, on the understanding of emotions and the abilities associated with Emotional Intelligence. VI. HYPOTHESIS H0: There is no relationship between Emotional Intelligence and Effective Leadership i.e. number of respondents who are in favor of the statement are equal to the number of respondents who are against the statement. Ha: There is a relationship between Emotional Intelligence and Effective Leadership. Using Chi-square test
Concept Observed Expected Expected Observed- (Oi agreement Frequency Probability Frequency Expected Ei) 2 (Ei) (Oi-Ei) /Ei (Oi) Agree 41 0.5 25 16 10.24 Disagree 09 0.5 25 -16 10.24 50 1.0 50 2 =20.48
Degree of freedom (d.f.) =K-1 = 2-1 = 1 Now Chi-square value at degree of freedom,1 and 5% level of significance is , 2critical = 3.841. Since, 2calculated > 2critical null hypothesis (HO) is rejected. Therefore, we can say that there is a relationship between Emotional Intelligence and effective leadership skills.
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VII. LIMITATIONS OF THE STUDY Time constraint and small sample size are the two major limitations in this study. The research is conducted only among the Indian Defense Services Officers. It does not take into account the opinion of personnel from other fields. The extent to which Emotional Intelligence actually accounts for effective leadership is currently unknown. VIII. SUGGESTIONS In order to be an effective leader, one must go for Transformational rather than Transactional Leadership style. One must have the ability to monitor emotions both within oneself and others in order to be a reliable leader. In order to get better results and to lead in an effective manner, one must understand the overall personality of the persons one is leading and as per their respective personality one should motivate them to perform. The knowledge gained from the research may increase the understanding of effective leadership and help produce powerful tools for the selection, and training and development of leaders, potentially enhancing organizational climates and performance. Self-Awareness is a key to leadership development and is a skill to handling stress. The
more accurately we can identify and monitor our emotional upsets, the faster we can recover. IX. CONCLUSION As compared to earlier days when leaders job was just to control, plan and inspect the overall running of the organization, in todays more service-oriented organizations, leadership roles are also to foster positive attitudes at work, and to create a sense of contribution and importance within and among employees. So, in order to accomplish their job in best possible way, leaders need to be emotionally enough intelligent. REFERENCES
[1] Palmer, Benjamin, Melissa Walls, Zena Burgess, and Con Stough. Emotional Intelligence and Effective Leadership. Leadership & Organization Development Journal. 2001. Vol. 22, 5-10. MCB University Press. Carmineleo.com. 3 Jan. 2011 <http://www.carmineleo.com/pdf/EI%20and%20Effective%20L eadership.pdf>. Sivanathan, Niroshaan, G. Cynthia Fekken. Emotional intelligence, moral reasoning and transformational leadership. Leadership & Organisation Development Journal. 2002. Vol. 23, 198-204. MCB University Press. Emeraldinsight.com. 4 Jan. 2011 <http://www.emeraldinsight.com/search.htm?st1=emotional+int elligence+and+effective+leadership&ct=al>. Leadership Skills & Emotional Intelligence. 2003. Center for Creative Leadership. 31 Dec. 2010 <http://www.ccl.org/leadership/pdf/assessments/skills_intelligen ce.pdf>. Transformational Leadership. Wikipedia, The Free Encyclopedia. 31 Dec. 2011. <http://en.wikipedia.org/wiki/Transformational_leadership>. Emotional Intelligence. Wikipedia, The Free Encyclopedia. 31 Dec. 2011. <http://en.wikipedia.org/wiki/Emotional_intelligence>.
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A Comparative Study of Role Stress among Private and Government Sector Employees
Irfana Rashid*
Research Scholar, UGC-JRF Awardee, Department of Business Administration Aligarh Muslim University, Aligarh, U.P, India e-mail: irfanababa@rediffmail.com, babairfana@gmail.com
AbstractStress in the 21st millennium is neither something new, nor anything unknown. Stress has been experienced since time immemorial, but its toll is higher than ever before. When we analyze visits to doctors, 75-90 percent are for stress related problems (Pareek, 1999). Claims for stress are twice as high as those paid for nonstress physical injury at a work place. Stress is produced by several happenings in life. In general, every transition or change produces Stress.The term stress has been used variously to refer to (a) Stimulus-External force acting on the organism, (b) Response-Changes in physiological functions, (c) Interaction- Between an external force and the resistance opposed to it. (d) More comprehensive combinations of all these (Selye, 1979). People experience stress when they find that demands placed on them exceed the internal resources they have to meet these demands. Stress originates in three important sectors of lifeOrganisational & job sector; the social sector, and intrapsychic sector. Researchers have substantiated that job and organisational sector in persons life is a potent source of stress. The focus of the present study is to understand the nature and quantum of role stress among two occupational groups -Private sector and Government sector. Ten role stressors proposed by Pareek serves as a framework for the present study. To measure stress among these two occupational groups, Organisational Role Stress (ORS) scale developed by Pareek (1983) was administered. In all 333 respondents from adjoining areas of Aligarh district of UP, were covered in this study. Results were analyzed using measures of central tendency; mean and standard deviation. Findings of the study revealed that Private sector is the most stressed group, followed by the government sector. The study also reported some common stressors, yet there are differences in the nature of stress in each occupational group. Several measures have been proposed to deal with the ongoing stress of the employees, in line with the findings of the study. Keywords: Stress, Role stress, Stressor, ORS.
I. INTRODUCTION Stress is produced by several happenings in life. In general, every transition or change produces stress. The term stress has been used variously to refer to (a) Stimulus-External force acting on the organism, (b) Response-Changes in physiological functions, (c) Interaction- Between an external force and the resistance opposed to it. And (d) More comprehensive
combinations of all these (Selye, 1979). There is a considerable debate among stress researchers about how to adequately define stress. Researchers explained the notion of stress from various perspectives ranging from stimulus-oriented to specific and non-specific responses to interaction and the combination of all the three. Pestonjee (1992) has identified 3 important sectors of life in which stress originates. (i) Organisational & Job sector (ii) Social sector and (iii) Intrapsychic sector. The focus of the present study is to understand stress in organisational/ job sector of life. Organisational/ Job stress has been defined in terms of a misfit between persons skills & abilities and the demands of his/her job. The concept of Organisational/job stress falls under the umbrella of a more broader concept i;e Role Stress. Therefore, it becomes imperative to understand the concept of Organisational role, in order to understand the concept of stress in Organisational & job sector of life. According to Pareek (1993), Role denotes the set of functions one performs in response to the expectations of the significant others, and ones own expectations from that position or office. The organisation and individual come together through role. Pareek (1980) pioneered work on role by identifying as many as 10 different types of organisational role stresses. Briefly, these are: Inter Role Distance (IRD): Conflict between organisational and non-organisational roles. Role Stagnation (RS): Feeling of being stuck in the same role. Role Expectation Conflict (REC): Conflicting demands made on the role by role senders. Role Erosion (RE): Feeling of Responsibility without power. Role Overload (RO): A feeling that too much is expected from the role than what the occupant can cope with. Role Isolation (RI): Lack of linkages of ones role with other roles in the organisation. Personal Inadequacy (PI): Lack of knowledge, skills or adequate preparation to be effective in a particular job. Self- Role Distance (SRD): Conflicts of ones values and self-concepts with the requirements of the organisational role.
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Role Ambiguity (RA): Lack of clarity about expectations of others from the role, or lack of feedback on how performance is regarded by others. Resource Inadequacy (RIn): Non-availability of resources needed for effective role performance. II. LITERATURE REVIEW All over the World there is a growing interest in the subject of organisational role stress. A number of studies have been conducted that investigated the problem of role stress in various occupational groups. Martin et al, 2005 have conducted several studies on type of Locus of control and its impact on such job aspects as stress, satisfaction and organizational commitment. Larrabee et al., (2003) supporting Jasmine (1987) compared the level of job related stress among public and private sector blue-collar employees. The sample for the study consisted of 120 workers from public sector and 120 workers from the private sector organizations. The findings of the study revealed that public sector employees experience more job related stress than the private sector employees of higher educational institutions. A study was conducted by Sultana (1995) to investigate the level of organizational role stress among male and female teachers of professional and non-professional courses. A sample of 50 from each was used for the study. The findings of the study indicated that significant differences were observed between professional male and female teachers. Pattanayak and Mishra (1997) conducted a study to explore the prevalence and determinants of organisational climate, job stress and job strain among the employees of banks and insurance sector. The findings of the study revealed that younger employees scored higher on all the job strain dimensions. A comparative study between various occupational groups by Rees, D.W. was conducted in (1995). In this study levels of work-related stress were examined in 1,176 employees from the major occupational groups (administrative and clerical staff, ancillary personnel, professions allied to medicine, doctors and word and community based nurses) were compared and the results were used as a basis for suggesting opportunities for management to initiate a range of stress management interventions. This study reported that doctors were particularly an interesting group. They had lower sources of pressure scores than anticipated, which may be explained by having little gap between their expectations of how their work will be and actually is. Pestonjee (1999) conducted a study on role stress and job satisfaction amongst doctors. The study explored the relationship between these two variables. The results of the study revealed that job satisfaction variables correlated negatively with all the dimensions of role stress.
III. METHODOLOGY The aim of the present study is to understand the phenomenon of stress among two occupational groups. Viz; Government and Private sector. A. Objectives and Hypothesis: Specifically the study aims at: Investigating the difference in the nature and quantum of organisational role stress among two occupational groups, namely: private sector and government sector. In line with the objectives, the following null hypotheses have been formulated. Ho1: There is no difference in the nature and quantum of organizational role stress amongst two occupational groups. 1) Sample The study covers 333 respondents from two occupational groups viz; Private (205), and Government sector (128). Respondents have been selected on the basis of purposive judgmental sample from adjoining areas of Aligarh district of UP. The number of respondents, mean and range of age and length of services in each sector is presented in Table-1.
TABLE 1: MEAN AS PER AGE AND JOB TENURE OF TWO SECTORS Sectors Sample size (n) Mean Age Range Min. Max. Job Tenure Mean Range Min. Max.
Private Govern ment
205 128
36.65 20 42.47 20
57 58
13.08 17.82
01 02
35 40
B. Tool Used Organizational Role stress (ORS) developed by Pareek (1983) was used to measure respondents role stress in an organization. This scale measures respondents quantum of stress in terms of total ORS score. It also measures intensity of ten role stressors contributing to total ORS score. C. Statistical Analysis This study used mean and standard deviation (SD) to analyse pattern of stress in these two occupational groups. Each occupational group was analysed in terms of ten role stressors also. D. Limitation of the Study Cooperation of respondents was a serious problem. Respondents were doubtful about the utility of the study. Many respondents felt that such studies hardly result in betterment of their lot in India. They were also doubtful, whether their senior officers would go through their responses.
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IV. RESULTS AND DISCUSSIONS Analysis of data revealed that there exists a difference in the level of stress among private sector and Govt. sector employees. The level of stress in Private sector is comparatively high.(Table-2). The higher level of stress in the private sector is understandable. Private sector is witnessing a period of swift changes in the wake of trends towards liberalization and globalization. Thus, pressure to perform has increased manifold. Stressors that have contributed to relatively high stress in private sector are IRD, RS, and RE (7.67, 7.29 and 7.68 respectively).Respondents in the govt. sector had maximum scores on Role Erosion.
TABLE 2: ORS SCORES AMONG TWO OCCUPATIONAL GROUPS
Private sector emerged as most stressed group. It had a mean Organizational Role Stress value of 64.59 with S.D. 31.15 (Table-3). Three stressors emerged prominently in this occupational group namely Role Erosion (7.68), Inter Role Distance (7.67) and Role Stagnation (7.29). High S.D values indicated that some of these respondents were experiencing rather higher level of stress. B. Government Sector In this study government sector emerged as the second most stressed group with a Mean ORS value of 63.01. The S.D for this group was also high (35.4) indicating a wide variation in the level of stress amongst respondents. As pointed out earlier in Table-3, 18% of the respondents were found experiencing either medium high or very high stress in government sector. The reality of stress in the Government sector is presented in Table-4.
TABLE 4: SUMMARY RESULTS FOR GOVERNMENT SECTOR
Stressors
IRD RS REC RE RO RI PI SRD RA RIn ORS
Govt. Sector N=128 Mean S. D 7.66 4.73 6.30 4.92 5.10 4.13 8.65 4.77 5.09 5.02 7.08 4.69 5.00 4.74 6.11 4.84 4.36 4.48 7.60 5.16 63.01 35.44
Pvt. Sector N=205 Mean S.D 7.67 4.81 7.29 4.53 5.57 4.03 7.68 3.81 5.80 4.64 6.62 3.60 6.71 4.14 6.14 3.90 4.38 4.29 6.70 4.33 64.59 31.15
S. No Stressors 1 2 3 4 5 6 7 8 9 10 IRD RS REC RE RO RI PI SRD RA RIn ORS
Role Erosion indicates a feeling of responsibility without power. It indicates that employees in the government sector suffer from a feeling of loss of importance and thus suffer from high Role Erosion. Thus, our null hypothesis (Ho1) that there is no difference in the nature and quantum of organisational role stress amongst the two occupational groups is not accepted, as these groups differ in total ORS score as well as on 5 individual stressors out of 10. V. SECTOR WISE ANALYSIS A. Private Sector
TABLE 3: SUMMARY RESULTS FOR PRIVATE SECTOR
Range Min. Max. 0 20 0 19 0 18 0 20 0 20 0 20 0 18 0 18 0 20 0 20 0 160
Mean 7.66 6.30 5.10 8.65 5.09 7.08 5.00 6.11 4.36 7.60 63.01
S.D 4.73 4.92 4.13 4.77 5.02 4.69 4.74 4.84 4.48 5.16 35.44
S. No Stressors 1 2 3 4 5 6 7 8 9 10 IRD RS REC RE RO RI PI SRD RA RIn ORS
Range Min. Max. 0 20 0 19 0 16 0 20 0 19 0 16 0 18 0 19 0 19 0 19 12 147
Mean 7.67 7.29 5.57 7.68 5.80 6.62 6.71 6.14 4.38 6.70 64.59
S.D 4.81 4.53 4.03 3.81 4.64 3.60 4.14 3.90 4.29 4.33 31.15
The stressors that emerged important in government sector were RE, IRD and RI. As many as 24% of the respondents were experiencing high Inter Role Distance. This figure for Role Erosion was even more at 37%. Another stressor that emerged important in this analysis was Resource Inadequacy as among 28% of the respondents has contributed to high level of stress. The incidence of Role Erosion stress amongst government sector is because of the routine nature of work and lack of promotional avenues. This along with a feeling of perceived inequity in the promotional decisions has created a stressful situation for a significant number of respondents. VI. COPING WITH STRESS Coping in Private sector: Mostly in Private sector, the demands of many managerial positions cause neglect of other areas of ones life, such as, family, friends, recreation, and religion. This negligence causes stress. By setting personal priorities, managers and also sub ordinates can reduce this source of stress. Coping in Government sector: Friends and family can provide nurturing environmen that builds self-
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National Conference on Strategic Management of Business Development: Issues and Prospects [4] Pareek, U. (1983a). Role stress scale: ORS scale booklet, answer sheet, and manual. Ahmedabad: Navin Publications. [5] Pattanayak, B. & Mishra, P.K. (1997). Life in organizations New Delhi/Allahbad: A.H. Wheeler & Co. [6] Pestonjee, D.M (1992). Stress and coping: The Indian experience. New Delhi: Sage Publications. [7] Pestonjee, D.M. (1987). Executive stress: Should it always be avoided. Vikalpa, Vol 12 (1) [8] Rees, D. W and Cooper, C.K. (1992), Occupational stress in health service workers in the UK: Stress Medicine, Vol. 8, No. 2, pp. 79-90. [9] Selye,H (1956), The stress of life. Newyork: Mc Graw-Hill. [10] Sultana, A. (1995). Gender differences in organizational role stress of professional and non-professional teachers of higher educational institutions. Unpublished M.A dissertation. Department of Psychology, Lucknow University, Lucknow. [11] Udai Pareekh and Surabhi Purohit (2010), Training instrument in HRD and OD Tata Mc Graw-Hill publishing company ltd. [12] Udai Pareek (1994), Making organisational role effective. Tata Mc Graw-Hill publishing company ltd.
esteem, and makes one less susceptible to stress. One study found that government white collar workers who received support from peers, and subordinates experienced fewer physical symptoms of stress (Katz and Kahn, 1978).Managers can create nurturing and supportive environments to help minimize job-related stress. REFERENCES
[1] Jasmine, R. (1987). A comparative study of private and public sector blue-collar employees on job-related stress. Unpublished M.Phil dissertation, Calicut University, Calicut. Mathur, S. (1997). Correlates of role stress in working women. In D.M. Pestonjee and U.Pareek (Eds.), Studies in Organizational role stress and coping. Jaipur/New Delhi: Rawat Publications. McGrath, J.E. (1970). A conceptual formulation for research on stress. In J.E. Mc Grath (Ed.), Social and psychological factors in stress. New York: Rinehart & Winston.
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Human Resource (HR) Ethics: The Backbone of Sustainable Progress of an Organization

Hardeep Singh# and Bikram Pal Singh*
e-mail: geniussodhi@rediffmail.com, #uniquesodhi@yahoo.co.in, *bikram.2k2@gmail.com
Abstract Purpose: To explore importance of human resource ethics in todays commercial world of high competition and to create and check the awareness about concept and essence of human resource ethics for sustainable progress in an organization in Punjab, India. Research Methodology: Research methodology to be used as conducted in this research paper is based upon real data primary and secondary as well. Personal Interview Method, Telephonic Interview Method and Questionnaire Method have been used. Some support personnel are yet to be additionally interviewed. Results: The benefits and importance of human resource ethics include social ethics, moral modes, equity and justice, respect for people, personal and professional responsibility, employee satisfaction, motivation and finally leading to sustainable progress of an organization. Findings: Human resource ethics is an effective tool for satisfying the employees as well as customers and consumers leading to sustainable progress of business in this highly competitive world. Research Limitations: There may be some problem in getting information from respondents as they have to be interviewed in a very short time and a few of them may be quite busy to give proper thought to the questions. The indifferent or unsupportive attitude of some respondents while responding to the questions may affect the final findings and observations. Keywords: Human Resources, Human Resource Ethics, Corporate, Ethics, Sustainability.
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II. WHAT IS HUMAN RESOURCE (HR) ETHICS? Ethics deals with what that out to be, a system or mechanism that is ideal in nature and talks about human values and behaviors. Deepak Parekh, CMO HDFC in his J.R.D. Tata corporate leadership Award lecture on February, 1997 has given one line definition of ethics: Do not do something that you would be ashamed of, if it becomes public it is too difficult to achieve this reality. HR ethics is the study of human resource situations, activities and the decisions where issues of right and wrong are addressed. HR ethics is an art and science of maintaining harmonious relationship with society, its various groups and institutions as well as recognizing the moral responsibility for the rightness or wrongness of conduct in an organization with the employer, seniors or peers. III. NEED OF STUDY In todays world of globalization and innovative technologies the challenge is to manage the human resources in an appropriate and standardized way. The need of the study arises for the purpose to make an appropriate balance between the human resource ethics with the profits of its associated organization. The purpose of this paper is to explore human resource ethics, check malpractices, improve customer confidence, protect other social groups, and safeguard human resource ethics and social welfare, make human resources conscious of social responsibilities and human values in todays business world of high competition. IV. OBJECTIVES OF THE STUDY Main objectives of our study include to identify the current status of HR ethics,; to realize the contribution of HR ethics in sustainable progress of an organization; and to create awareness about HR ethics for the benefit of industry, employees, customers, consumers, shareholders and society. V. RESEARCH METHODOLOGY Research methodology to be used as conducted in this research paper is based upon real data primary and secondary as well. Personal Interview Method, Telephonic Interview Method and Questionnaire Method have been used.
I. INTRODUCTION In this 21 century as we are passing through the world of globalization, along with many innovations and emerging technologies, this century has brought many corporate ethical scandals that have harmed millions of human resources and investors and sent shock waves to the business world. Now the time has come that business organizations will have to rethink about ethical human resources. HR ethics include commitment of employees to organization; respect and follow inside trading rules when buying and selling products; value and protecting of confidential information of organization; honesty and respect for company assets; free of bribery and corruption; no compromise with quality and competence, embracement of diversity and respect of dignity of fellow employees; non complaint conduct; respect of customer need and values; and so on. Ethics and morality in human resources are very much urgent for the sustainable progress of an organization.
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VI. EMPIRICAL DATAHR ETHICS AT RANBAXY LABORATORIES Established in 1961, Ranbaxy Laboratories is Indias largest pharmaceutical and ranks 9th worldwide as a generics drug manufacturer. As one of the top pharmaceuticals in India and worldwide, Ranbaxy Laboratories Limited has its products sold in over 100 countries and manufactured in seven countries. The company has a strong global presence with over 78% of its sales from overseas markets. They produce a wide array of quality, generic products that are preferred by health professionals and patients worldwide. While Ranbaxys strength lies in quality generics, it is slowly moving toward New Chemical Entities (NCE) and Novel Drug Delivery Systems (NDDS) in supporting its long-term growth focus. The company aspires to break into new markets as a research-based pharmaceutical entity. It has actively pursued strategic alliances and acquisitions to develop areas of expertise and gain access to advanced technologies. The Company's major research focus lays in Urology, Anti-infectives, Respiratory, Anti-inflammatory and Metabolic disorders segments. Ranbaxy has a strong ethical environment, it usually focuses on the core value of placing customers interests first. Putting customers first does not mean that the interest of human resources is ignored. An ethical culture that focuses on customers incorporates the interests of all human resources in decisions and actions. At Ranbaxy human resources working in an ethical environment support and contribute to the process of understanding customers demands and concerns. At Ranbaxy managers convey high ethical standards to human resources through their actions. By ethical human resources Ranbaxys vision is to achieve significant business in proprietary prescription products by 2012 with a strong presence in developed markets. VII. SURVEY FINDINGS An ethical issue is simply a situation, a problem, or even an opportunity that requires thought, discussion or investigation to make a decision. In this real survey we have observed various HR Ethical Issues in Business Organizations. Abusive or intimidating behavior includes physical threats, false accusations, being annoying, insults, ignoring someone and unreasonableness. The productivity level of many organizations has been damaged by the time spent in such abusive relationships. It is 21%. Lying to employees, customers, vendors, or to the public is 19%. A conflict of interests exists when an individual must choose whether to advance his or her own interests, those of the organization, or those of some other group.
Conflict of interest is 63%. Violation of safety rules is 16%. Bribery is the practice of offering some thing (casually money) in order to gain an illicit advantage. Bribes have been associated with the downfall of many managers, legislators and government officials. Bribery has been observed 25%. Misreporting of actual time worked is 16%. Email and internet abuse is 13%. Discrimination on the basis of race, color, religion, sex, marital status, sexual orientation, public assistance status, disability, age, nationality etc. is illegal. Discrimination on the basis of race, color, gender, age, or similar categories is 12%. Corporate intelligence is the collection and analysis of information on markets, technologies, customers and competitors as well as on socio-economic and external political trends. Misuse of confidential information is 7%. Price fixing is 3%. There are many measures for implementing ethical practices in organization. Codes of conduct specify actions in the work place and codes of ethics are general guides to decisions about those actions. 72% of the respondents were in favor of this measure. Others said that code of conduct do not resolve every ethical issue encountered in daily operations, but they help employees and managers deal with ethical dilemmas by prescribing or limiting specific activities. 54% of the respondents were in the favor of pre-employment screening. 42% of the respondents suggested risk management. 24% of the respondents were in the favor of ethics training that should be given to employees and employers. There are many reasons why employees do not report misconduct in the organization. In the survey it has been observed that 18% employees do not report because they do not know Who to contact. 24% think Someone else would inform. 39% do not report due to Anonymity (the state of remaining unknown to other people). 46% of the employees do not do reporting due to fear of Retaliation (action that a person takes against one who has harmed in some way). 59% of the respondents think that there is No corrective action. VIII. SUGGESTIONS
Company should create, distribute and continually improve its code of ethics. Appropriate training should be given to organizational members. Management should create and sustain conditions in which people are likely to behave ethically and minimize conditions in which people might be tempted to behave unethically. Ethics officers should be appointed formally by all the organizations where ever not available. This new role
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has been created because of corruption and abuse scandals that affected the U.S defense industry at one time. These officers should be responsible for managing their organizations ethics and legal compliance program. They are supposed to be responsible for (a) Assessing the needs and risks that HR ethics program must address (b) Developing and distributing code of conduct (c) Conducting training programmes for human resources (d) Making sure that the company is in compliance with government regulations (e) Monitoring and auditing ethical conduct (f) taking action on possible violations of the companies code and (g) Reviewing and updating the code IX. CONCLUSION This paper summarizes that it is very much important to recognize the relationship between legal and ethical decisions. When an organization has a strong ethical environment, it usually focuses on the core value of placing customers interests first. Putting customers first does not mean that the interest of human resources, investors and local communities should be ignored. An ethical culture that focuses on customers incorporates the interests of all human resources in decisions and actions. Human resources working in an ethical environment support and contribute to the process of understanding customers demands and concerns. Human resources who do not practice strong moral ethics are much less likely to make unethical decision if they are constrained by an organizational environment that frowns on such behavior. Very righteous person can be corrupted by an organizational environment that permits or encourages unethical practices. Thus management can influence the employees work environment. Employers and high level managers should convey high ethical standards to human resources through their actions. HR Managers can weed out ethically undesirable applicant at the time of recruitment in the selection process by learning about an individuals level of moral development and locus of
control. Managers can identify individuals whose ethical standards might be in conflict with those of organization and may indulge in unethical practices. Lastly in few words we conclude that there is a need of moral leadership and ethical influence to raise higher levels of motivation and morality that will lead to sustainable progress of an organization. REFERENCES
[1] Argyris, C. (1993), Overcoming Organizational Defenses: Facilitating Organizational Learning Harvard University, Allyn and Bacon. Arthur, J. B. (1994). Effects of human resource systems on manufacturing performance and turnover. Academy of Management Journal, 37, 670687. Becker, B., & Gerhart, B. 1996. The impact of human resource management on organizational performance: progress and prospects. Academy of Management Journal, 39 (4): 779802. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17, 99120. Camenisch, P. F. (1981) Business Ethics: On Getting to the Hearth of the Matter, Business & Professional Ethics Journal, Vol. 1, pp. 5969. Delaney, J.T. and Sockell, D. (1992) Do company ethics programmes make a difference? An empirical analysis, Journal of Business Ethics, vol. 11, pp. 719727. Dowling, P. J.; Festing, M.; and Engle Sr., A. D. (2009). International Human Resource Management: Managing People in the Multinational Context (5th ed.). Thomson / SouthWestern Publishing . Ducker, P.F. (1981) What is Business Ethics? The Public Interest, spring. Gibbs, P.T. (1993) Customer care and service: A case of business ethics, International Journal of Bank Marketing, vol.11, no.1, pp. 26-33 Singh Niharika and Singh, Roli (2010). HR Management in the 21st Century: Challenges for the Future. International Journal of Business Intelligence and Management. India, International Science Press. Wright, P.M. 1998. Introduction: Strategic human resource management research in the 21st century. Human Resource Management Review, 8 (3): 187152. Youndt, M. A. & Scott, S.A. 1996. Human resource management, manufacturing strategy, and firm performance. Academy of Management Journal, 39 (4): 836857. Zairi, M. (1994), Measuring Performance for Business Results, London, Chopman & Hall.
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HR Strategic Plans-The Prominent Determinant

Hardeep Singh# and Bikram Pal Singh*
e-mail: #geniussodhi@rediffmail.com, #uniquesodhi@yahoo.co.in, *bikram.2k2@gmail.com
Abstract Purpose: To explore importance of human resource strategic plans in todays commercial world of high competition and to create and check the awareness about concept and essence of human resource strategic plans for development of an organization. Research Methodology: Research methodology used as conducted in this research paper is based upon real data primary and secondary as well. Personal Interview Method, Telephonic Interview Method and Questionnaire Method have been used. Some support personnel have been additionally interviewed. Results: The benefits and importance of human resource strategic plans include smooth development of expert workforce through focus on type of people and skills required, facilitate cost-effective management of employment, and facilitate methodological, logical and analytical planning and finally saying it is the prominent determinant for the development of an organization. Findings: Human resource strategic plans as an effective tool for satisfying the human resources or employees is being considered as the prominent determinant for the development of an organization in this highly competitive world. Research Limitations: There may be some problem in getting information from respondents as they have to be interviewed in a very short time and a few of them may be quite busy to give proper thought to the questions. The indifferent or unsupportive attitude of some respondents while responding to the questions may affect the final findings and observations. Keywords: Human Resources, Human Resource Strategic Plans, Organizations, Plans, Development.
personnel is to become strategic business partner. Youndt and Snell (1996) find that firms employing HR practices according to the stated strategy are regarded to have better perceptual performance. II. WHAT IS STRATEGIC MANAGEMENT The word strategy, deriving from the Greek noun strategus, meaning commander in chief, was first used in the English language in 1656. The development and usage of the word suggests that it is composed of stratos (army) and agein (to lead). In a management context, the word strategy has now replaced the more traditional term long-term planning to denote a specific pattern of decisions and actions undertaken by the upper echelon of the organization in order to accomplish performance goals. Wheelen and Hunger (1995, p. 3) define strategic management as that set of managerial decisions and actions that determines the long-run performance of a corporation. Hill and Jones (2001, p. 4) take a similar view when they define strategy as an action a company takes to attain superior performance. Strategic management is considered to be a continuous activity that requires a constant adjustment of three major interdependent poles: the values of senior management, the environment, and the resources available. III. WHAT IS STRATEGIC HR PLANNING Strategic human resource management is part of strategic planning. A strategic plan is the complete plan for how it will match its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage. The essence of strategic planning is to ask, Where are we now as a business, where do we want to be, and how should we get there? Strategic HR planning means planning for formulating and executing human resource policies and practices that produce the employee competencies and behaviors the company needs to achieve its strategic aims. Strategic HR planning involves developing the organizational culture that foster innovation and flexibility with the help of linking of human resource with strategic goals and objectives in order to improve business performance. It is designed to help companies best meet the needs of their employees while promoting company goals. Strategic HR planning is a complex process which is constantly evolving and been studied and discussed by academics. It is mainly concerned with longer term people issues and macro concerns about structure, quality, culture, values, commitment and matching resources to future need. Organizations
I. INTRODUCTION Organizations are increasingly looking at human resources as a unique asset that can provide sustained competitive advantage. The changes in the business environment with increasing globalization, changing demographics of the workforce, increased focus on profitability through growth, technological changes, intellectual capital and the never-ending changes that organizations are undergoing have led to increased importance of managing human resources (Devanna, Fombrum, & Tichy, 1981; Wright, 1998). In this scenario, a human resource (HR) department that is highly administrative and lacks strategic integration fails to provide the competitive advantage needed for survival, thus losing its relevance. Huselid and Becker (1997) found that there were noticeable financial returns for the organizations whose human resource management (HRM) systems have achieved operational excellence and are aligned with business strategic goals. According to Ulrich (1998), one of the four roles of HR
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can gain sustainable competitive advantage through strategically managing their human resources, operationally exercised as Strategic HR planning. Strategic HR planning is largely about integration and adaptation. IV. NEED OF THE STUDY The need of the study arises to explore the importance of human resource strategic plans in todays highly competitive world and to create as well as to check the awareness about concept and essence of human resource strategic plans for development of an organization V. OBJECTIVES OF THE STUDY Main objectives of our study includeto identify the status of HR strategic planning in the present scenario; to realize the contribution of HR strategic planning in overall growth of organizational objectives at all levels; and to excite some sort of awareness among the professionals about the value of HR strategic plans in todays competitive world. VI. RESEARCH METHODOLOGY Research methodology used as conducted in this research paper is based upon real data primary and secondary as well. Personal Interview Method, Telephonic Interview Method and Questionnaire Method have been used. VII. EMPIRICAL DATASTRATEGIC HR PLANNING BY TATA MOTORS Established in 1945, Tata Motors is one of the 32 publicly listed enterprises under the Tata Group, Indias largest business conglomerate.2 Tata Motors collaborated with Germanys Daimler Benz in 1954 for 15 years to manufacture commercial vehicles.3 Since then, Tata Motors has grown enormously and produces several vehicles through their three main divisions Passenger Cars, Utility Vehicles and Commercial Vehicles. In 1959, they set up their first and largest R&D center in Jamshedpur. As an enterprise under Indias largest multi-holding company, Tata Motors has grown significantly in the past 60 years since its establishment in 1945. The company caters to three main market segments globally: the passenger cars, utility vehicles and commercial vehicles. A significant breakthrough for the company was the development and commercialization of the truly Indian cars - Tata Indicia and Tata Indigo. The company produced the first minitruck, first light and first heavy vehicle and many more firsts in India, being an innovator in their industry. It has followed a strategy of acquisitions and joint ventures in its mid-stage and launched new products at a rapid pace in different market segments. Today, Tata Motors enjoys the position of being Indias leading
automobile manufacturer with increasing presence in Europe, South East Asia, Africa, Australia and the Middle East with a total income of US $4 billion in 2004-05. The company focuses on smoothening the progress of development of expert workforce through focus on type of people and skills required. Tata facilitates cost-effective management of employment, particularly in service industries where labor is generally greatest cost. It facilitates planning and assessment of environmental uncertainty, and adaptation of organization to external forces. Successful strategic HR planning begins with recognition of strategic requirements. Employee participation is serious to linking strategy and HR practices. Strategic HR facilitates methodical and logical and analytical approach. Corporate HR department of Tata Motors has impact on organization's efforts to launch strategic initiatives. VIII. SURVEY RESULTS 70% of the respondents opined that HR strategic planning is the prominent determinant for the development of an organization. 63% of the respondents were of the opinion that smooth development of expert workforce through focus on type of people and skills required. 68 % of the respondents were of the opinion that a comprehensive HR strategy plays a vital role in the achievement of an organizations overall strategic objectives. 67% of the respondents opined that HR strategic plan articulates more clearly some of the common themes which lie behind the achievement of other plans and strategies, which have not been fully identified before. 69% of the respondents were of the opinion that HR strategic planning results into changes in the overall employment market-demographic or remuneration levels. 66% of the respondents were of the opinion that HR strategy adds value to the organization by identifying fundamental underlying issues which must be addressed by any organization if its individuals are to be motivated, committed and operate effectively 70% of the respondents opined that strategic HR planning facilitates cost-effective management of employment, and facilitates methodological, logical and analytical planning and finally it is the prominent determinant for the development of an organization. IX. FINDINGS OF THE STUDY HR strategic planning helping individuals align their career planning.
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HR strategic planning often encompasses change in workplace systems or processes. A comprehensive HR strategy plays a vital role in the achievement of an organizations overall strategic objectives. HR strategic plan articulates more clearly some of the common themes which lie behind the achievement of other plans and strategies, which have not been fully identified before. HR strategic planning results into changes in the overall employment market-demographic or remuneration levels. HR strategy adds value to the organization by identifying fundamental underlying issues which must be addressed by any organization if its individuals are to be motivated, committed and operate effectively X. CONCLUSION
REFERENCES
[1] Arthur, J. B. (1994). Effects of human resource systems on manufacturing performance and turnover. Academy of Management Journal, 37, 670687. Becker, B., & Gerhart, B. 1996. The impact of human resource management on organizational performance: progress and prospects. Academy of Management Journal, 39 (4): 779-802. Barney, J., & Wright, P. M. (1998). On becoming a strategic partner: The role of human resources in gaining competitive advantage. Human Resource Management, 37, 3146 Brewster, C. (2001). HRM: The comparative dimension. In J. Storey (ed.), Human resource management:A critical text . London: Thompson Learning. Clark, T., Grant, D. & Heijltjes, M. (2000). Researching comparative and international human resource management. International Studies of Management, 29(4), 623. Kamoche, K. (1996). Strategic human resource management within a resource-capability view of the firm. Journal of Management Studies, 33(2), 21333. Monks, K. & McMackin, J. (2001). Designing and aligning an HR system. Human Resource Management Journal, 11(2), 5772. Purcell, J. (2001). The meaning of strategy in human resource management. In J. Storey (ed.), Human resource management: A critical text (pp. 5977). London: Thompson Learning. Scullion, H. (2001). International human resource management. In J. Storey (ed.), Human resource management: A critical text (pp. 288313). London: Thompson Learning. Truss, C. & Gratton, L. 1994. Strategic human resource management: A conceptual approach. International Journal of Human Resource Management, 5 (3): 663686. Wright, P.M. & McMahan, G.C. 1992. Theoretical perspectives for strategic human resource management. Journal of Management, 18 (2): 295320. Wright, P.M. 1998. Introduction: Strategic human resource management research in the 21st century. Human Resource Management Review, 8 (3): 187152. Youndt, M. A. & Scott, S.A. 1996. Human resource management, manufacturing strategy, and firm performance. Academy of Management Journal, 39 (4): 836857.
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HR strategic planning focuses on identifying appropriate as well as relevant human resource best practices, plans and policies needed to support organizational objectives thereby makes its substantial easier for the organization to achieve its wider strategic and operational goals effectively. Human resource strategic plans include smooth development of expert workforce through focus on type of people and skills required, facilitate cost-effective management of employment, and facilitate methodological, logical and analytical planning and finally saying it is the prominent determinant for the development of an organization.
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Family Friendly PoliciesOrganizational Strategies for Sustainable Growth

Sugandha
Assistant Professor, Government College, Chandigarh e-mail: sugandha_me@yahoo.co.in
AbstractIn todays turbulent environment, companies are facing the problem of attracting and retaining the talented work force. No company can survive with Traditional strategies like Training and Job Security. They have to take new initiatives like Family Friendly Policies (FFPs). Family Friendly Policies are programs established by an organization with the goal to enable employees to get their jobs done and at the same time provide flexibility to handle personal/family concerns. Though these FFPs are not so much used in India yet as it is in the West. Companies need to be aware of these FFPs to improve employees morale, commitment, satisfaction as organizational efficiency is directly correlated with employee productivity. The main objective of paper is to study the current scenario of FFPs in India by finding out different companies that are providing FFPs to their employees and benefits of the same.
To explore the current status of India regarding Family friendly policies being provided by different companies. To Study benefits of FFPs if provided by companies.
B. Research Methodology The type of research followed for the study is exploratory research in nature using secondary data available till February 2011. For this purpose various Books and articles on Work life balance and FFPs are referred and acknowledged in the bibliography of this paper. II. MEANING OF FAMILY FRIENDLY POLICIES Family-friendly policies (FFPs) are benefits that offer employees the latitude to address their personal and family commitments, while at the same time not compromising their work responsibilities. FFPs are procedures or programs established by an organization with the goal to enable employees to get their jobs done and at the same time provide flexibility to handle personal/family concerns. III. TYPES OF FAMILY FRIENDLY POLICIES (FFPS) A. Flexible Work Arrangements It gives employees some control in organizing their work schedule. Flextime-Flextime is a scheduling policy in which full-time employees may opt for starting and ending times within the prescribed guidelines of the organization. Infosys, Sun Microsystems, KPMGLLP, Best Buy co., PNC Financial Services Group and Price Waterhouse coopers are among the number of companies that have successfully adopted the Flextime. Flex Place/ Telecommuting-This policy gives freedom to an employee to work from virtual office, either sitting at home or any other place with the help of computer or telephone and internet facility. According to different surveys, HP India, Ford Motor Company, Delta Air Lines and IBM are using extensively these family friendly policies. Compressed Work Week-In such type of system, normal working hours are extended to a few more hours to give employee a weekly off. For Example, instead of working eight hours a day for five days, the employees
I. INTRODUCTION Around the world, companies find themselves on a competitive treadmill as they cope with a weak economy and look for ways to meet shareholder and analyst expectations. Some company leaders are tackling this economic environment by taking a straight business approach to compete -finding ways to boost profits, creating new markets and revenue streams, trimming costs or delivering new products to customers. While other company leaders choose to take a more holistic approach, melding the business view with a work/life view - finding ways to help employees work more effectively, tuning the workplace so employees have more flexibility in deciding where and how they want to work, and providing access to services and tools that allow employees to take care of their personal-life needs while minimizing the anxiety that sometimes accompanies these activities. Thats why, the challenge of work/life balance is rising not only to the top of many employees' consciousness but to the human resource professionals who seek options to positively impact the bottom line of their companies, improve employee morale, retain employees with valuable company knowledge, and keep pace with workplace trends. A. Objectives of Study To study the concept of Family Friendly Policies (FFPs) with identifying different types of FFPs at work place.
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could complete 40 hours of work in four 10-hour days. In this policy, on one hand, employees are happy with weekly off, on the other, employers are benefitted with self driven, motivated and satisfactory work force. Job sharing-In this concept, two part-time employees carries out tasks associated with a single job. Employers are here satisfied with comparatively less burden of job on their shoulders and also the job security, to some extent in lieu of present job cuts in recession. Employers on the other hand can retain more employees in to work in same cost structure. Annualized Hours-This family friendly policy works in emergency sectors like Health care where sometime doctors and other paramedical staff are required to work 24 hours a day but sometimes are totally free far a day or so. In this option, employees can make a choice of their working hours and days for a fixed period of time to be availed on a weekly, monthly or yearly basis. This option can be adopted by many manufacturing companies as well where more seasonal work. MD Foods of UK successfully adopted this system in its dairy. B. Dependent Care Benefits These are benefits that help employees with their responsibilities for their children and dependent relatives, like older parents. Child and elder care resource and referral services provide information on the forms of care and services available within a community, counselling to help employees choose the best options, and referrals to programs with openings. On-site and near-site child care is employersponsored child care centres located on or near the worksite. Vouchers enable an employer to pay a portion of an employees child care costs at a program selected by the parent, either by reimbursing the employee or by paying the provider directly. Long-term care insurance provides insurance to help employees pay for long-term care for themselves or dependents, spouses, or parents. C. Leave Benefits These provide employees with time off to care for dependents. Maternity Leave/Adoption Leave- this is given to mothers at time of delivery or adopting a child. It is paid leave. It is given in every company as according to law this is right of women. Paternity Leave-is given to father usually 15 days at the time of birth of child. Study Leave- is given for further studies. It can be paid or unpaid leave. Parental leave provides leave time, usually unpaid, for childbirth and child-rearing responsibilities. This
leave may cover biological as well as adoptive and foster parents. Family leave, which encompasses parental leave, provides leave time for an employee to care for a spouse, child, parent, or other family member with a serious illness. D. Others Benefits Emotional wellbeing-Most employees offer the services of an Employee Assistance Program like for gambling and eating disorders, personal relationships, work relationships, marriage and family issues, divorce and separation, mental health issues, violence and crisis, work-life balance and stress management. Financial assistance- Companies are offering assistance with budgeting, credit and collections, home buying and renting, saving and investing, retirement planning, insurance and taxes. Many offer low-interest loans for housing, college and personal emergencies. Legal assistance-Many employers offer the services of a lawyer to talk with employees about wills, consumer protection, estate and probate law, family and elder law, real estate issues, living wills and other legal issues. Relocation - Most offer help with selling current homes and finding housing in the new location. Many help spouses to find a job and assist with school issues, childcare, financial counselling and transportation. Wellness-Fitness programs, disease prevention, smoking cessation, obesity programs, nutrition and diet assistance all have a measurable payoff in keeping employees healthier, which not only cuts health care costs but raises productivity and reduces absenteeism. IV. CURRENT SCENARIO According to SHRM survey September 2010 on challenges facing organizations in coming 10 years, Obtaining Human capital (47%) is biggest challenge for them as followed by financial capital (29%) and intellectual capital (12%). This shows how companies are facing the problem of attracting and retaining the talented work force. In todays turbulent conditions no company can survive with Traditional strategies like Training and Job Security. They have to take new initiatives in HRM. FFPs can be very helpful for them.
TABLE 1: SURVEY ON MOST EFFECTIVE TACTIC FOR ATTRACTING AND RETAINING THE BEST PEOPLE Most effective Tactic for Attracting and Retaining the best people Providing Family friendly policies(FFPs) Creating Organizational culture with trust, openness and fair Job design with meaningful work Demonstrating commitment to employee development Offering high total reward package Source: SHRM Survey September 2010 Percent 58 47 40 29 23
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A study of nearly 1,000 companies in 22 countries has found that when employees are satisfied with work life balance, 86 percent are more inclined to stay with their company and 88 percent are more likely to recommend it as a place to work. Indians concerns over balancing work and life have surpassed worries about a slowing economy, according to the bi-annual global consumer opinion survey in 2008 by market research company The Nielsen Co.- About 20% of Indians cite achieving this balance as their main worry; 13% cite the economy as the second biggest. The critical need to ensure an adequate work-life balance for employees is largely being neglected by employers in last many years due to recession that results more and more pressure on employees. In 2006, 53% of employees felt they had a good work-life balance; that number fell to 30% in the first quarter of 2009. Several misconceptions prevent organizations from optimizing their ability to deliver on the FFPs. For example, most organizations mistakenly provide costly services, such as an on-site gym or health-care services when, in fact, fewer than 20% of employees actually value these types of benefits. Instead, the best organizations recognize that the most appreciated service they can provide their employees is the "gift of time." In fact, more than 60% of the employees polled in the CEB study identified flexible schedules as the most important work-life practice their employer could provide.
TABLE 2: SURVEY ON TOP 5 FFPS RATED VERY SUCCESSFULLY Top 5 FFPs rated Very Successfully Part year Work Telecommuting Flex Time with core Hours Flex Time without Core Hours Compressed Work Week Source: SHRM Survey September 2010 Percentage 76 75 73 73 70
V. IMPORTANCE OF FAMILY FRIENDLY POLICIES According to research conducted by Hewitt, over 60% of companies who have implemented a flexible benefits plan say it has met or exceeded their expectations around increasing employee understanding of total compensation, while over 80% said it increased the effectiveness of their recruitment and reduced employee turnover.Some benefits of Work life balance strategies to employees include: Improved work life balance- a reduction in the impact of work on home and family life. Reduced stress level Control over time management in meeting work life commitments Autonomy to make decisions regarding work life balance Increased focus, motivation and job satisfaction knowing that family and work commitments are being met. Increased job security from the knowledge that organization understands and supports employees with family responsibilities.
TABLE 4 SURVEY ON TOP POSITIVE IMPACT OF FFPS Top Positive Impact of FFPs Improve quality of employees personal/ family life Improve Employee morale, job satisfaction and engagement Help to retain employees Increase the level of commitment of employees Helps attract potential employees to the organisation Source: SHRM Survey September 2010 Percentage 68 67 67 53 52
Today many companies are working for maintaining Work life balance of employees as providing several FFPs- family friendly policies to them. Table 3 shows examples of those companies.
TABLE 3: EXAMPLES OF COMPANIES PROVIDING FFPS Companies Nokia FFPs-Family Friendly Policies Telecommuting, Flex-Time, Study leave, heath care services, recreational activities GE Flex place, Flex-Time, financial Assistance, Family Counseling Wipro Child care, maternity benefits MacDonalds Child care, short Fridays, Alternative work arrangements, Adoption leave Infosys heath care services, recreational activities IBM Career Break, Study Leave, Maternity Leave, paternity leave 3M part time working, Tele working, job sharing, career breaks and parental leaves, Flex Time BT(British Flexible working, Tele working, part time working, telecom) paternal leave, maternity leave, special leave for career development etc. Source: www.ssc.govt.nz/ Fig. 1: Importance of FFPs
VI. CONCLUSION After the Economic Crisis, the importance of emerging markets in global economy is recognized and their future will depend upon how they can use the forces of globalization and new technologies. For growth of a country, Human Resource of that country is very important. But Employee commitment and their retention are major problems in HR .Family Friendly Policies are HR Strategies that can be used to overcome this problem. As surveys on FFPs say that familyfriendly policies positively affect recruitment,
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National Conference on Strategic Management of Business Development: Issues and Prospects [3] Bovenberg, A. L.; (2005); Balancing work and family life during the life course; De Economist; 53; pp 399423 [4] Cieri, Helen De; Holmes, Barbara; Abbott, Jacqui and Pettit, Trisha; (2005); Achievement and challenges for Work Life Balance strategies in Australian organizations ; The International Journal of Human Resource Management; 16:3; pp 90103 [5] Fleetwood,Steve; (2007) ;Why Work Life Balance Now ; The international journal of Human Resource management; 18:3; pp 387400 [6] Joshi, Rashmi; (2007); Work Life BalanceMaking it work for your business;HRM Review [7] Joshi, Rashmi; (2008); Promoting Work Life Balance through teleworking; HRM Review [8] Krishnamurti, Mallikarjun; (2007); Work Life BalanceArt of balancing; HRM Review [9] Moen, Phyllis and Yu, Yan; (2000); Effective Work/life strategies: working couples, working conditions, gender, life quality; Social problems; 47:3; pp 291326 [10] Swamy; (2007); Work Life Balance Organizational strategies for sustaining growth; HRM Review [11] Schieman, Scott ; Mcbrier , Debra Branch; (2003); Home to Work Conflict, Work Qualities and Emotional Distress ; Sociological Forum; 18:1; pp 137164 [12] Sauve, Roger; (2009); Family life and Work life an uneasy balance; People patterns consulting; pp 130
productivity, and retention, and thus contribute to enhancing the ability of individuals to participate successfully in the labour force. In todays work environment, where employees are experiencing signs of burnout due to growing work pressures that lead to affect their productivity, Organizations need to be aware of these FFPs to improve employees morale, commitment, satisfaction as organizational efficiency is directly correlated with employee productivity. Thats why FFPs is being considered to be a HR strategy by HRM experts for sustainable growth of companies instead of traditional ones like training and job Security. Though this strategy is not so much used in India yet as it is in the West. But it is virtually the truth that every company should consider it. REFERENCES
[1] [2] Achanta, Raja; (2004); The Work Life Balance; HRM Review Banerjee, Indranil; (2007);Harnessing Work Life Balance- A shared responsibility; HRM Review
Best Human Resource Practices in India

Dr. Sukhminder Kaur1, Raspreet Bhanout2# and Bharat Bhushan Sachdeva3*
Lecturer, Deptt. of Psychology, Punjabi University, Patiala Student, Deptt. of Psychology, Punjabi University, Patiala 3 Lecturer, Cordia Institute of Business Management, Sanghol, Fatehgarh Sahib e-mail: #raspreetbhanout@yahoo.in, *bbsachdeva69@yahoo.com
2 1
AbstractHuman Resource Management is concerned with the people dimension management. Organizations can become dynamic and grow only through the efforts and competencies of their human resources. Personnel policies can keep the morale and motivation of employees high. These days, the human resources are better educated, possess greater skills, have more sophisticated technology for their use and they have higher standards of living than the earlier times. So it becomes most important to manage the human resources efficiently as the human resource management has acquired the status of an indispensable ingredient in management. In this paper an attempt has been made to identify the best human resource practices that should be followed by the organizations for their growth and development.
organization that appreciate over a period of time while all the other assets depreciate. The most an organization is investing in human resources, the greater the return from the investment is likely to be. Thus, the human resources play a vital role in the success of an organization. A. Objectives of the Paper To study the best human resource practices in India. To conclude on the basis of paper.
B. Research Methodology In the paper, an attempt has been made to know the Best Human Resource Management Practices. For this purpose, some of the literature relating to Human Resource Management Practices has been studied. This paper is theory based. Various books, research papers, Thesis and journals have been studied. C. Human Resource Development Human Resource Development is a process which consists of a series of activities conducted to design behavioural changes in a specific period. It is an integrated and interdisciplinary approach to the development of human resources in the organization so that they can contribute their best to the organization. II. AREAS OF HUMAN RESOURCE DEVELOPMENT There are three areas of human resource development namely Individual Development, Career Development and Organizational Development. These are: Individual Development: It refers to the development of skills, new knowledge and improved behaviors that result in performance enhancement and improvement related to ones current job. Learning may involve formal programmes, but is most often accomplished through informal, on the job training activities. Career Development: Career development helps to identify the interests, values, competencies, activities and assignments of the individuals to develop their skills for future jobs. It includes both individual and organizational activities. Individual activities include career planning, career awareness, and
I. INTRODUCTION Human resources cover all aspects of employee management such as recruiting, hiring, training, retaining and firing. As workers are the most important resource in an organization, successful management HR practices are required to keep the business in profitable position. It is the human resource that makes or mars an organization. Human Resource Management is concerned with the people dimension management. Organizations can become dynamic and grow only through the efforts and competencies of their human resources. Personnel policies can keep the morale and motivation of employees high. Planned efforts should be made to develop human skills in managers at all levels helping them to adopt a more balanced approach towards human resources. Today, every large public and private sector organization in India are using the techniques of human resource management to develop their employees for the growth and development of the organization and for the individual satisfaction and growth of the employees. These days, the human resources are better educated, possess greater skills, have more sophisticated technology for their use and they have higher standards of living than the earlier times. So it becomes most important to manage the human resources efficiently as the human resource management has acquired the status of an indispensable ingredient in management. Human resource management is gaining so much attention these days. Organizational goals have meaning only when people with the appropriate talent, skill and desire are available to accomplish the tasks needed to realize the goals. People are the only assets of an
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utilizing career resource centers. Organizational activities include job posting systems, mentoring systems, career resource center development and maintenance, human resource planning, performance appraisal and career development workshops. Organizational Development: The ultimate goal of organizational development is to develop organizations self renewing capacity. It refers to the organization ability to look introspectively and discover its problems and weaknesses and to direct the resources necessary for improvement. It enables the organization to regenerate itself over and over again as it deals with new and ever challenging circumstances.
III. BEST HUMAN RESOURCE PRACTICES IN INDIA Human Resource Practices help in the creation of a highly satisfied, motivated and efficient workforce some of the best human resource practices are: Job security: The first best practice of human resource management is the security of employment. It is related with formal policies and procedures such as formal contracts equal employment opportunities and general measures set with in the organization that ensures some degree of security of employees. Safe, healthy and happy work place: Organization should create a safe, healthy and happy work place so that the employees feel homely and stay with the organization for a long period. Selective hiring: The aim of selective hiring is to obtain the most suitable candidate for the vacant position. The organizations should follow appropriate selection criteria and channels, fair interview strategy to recruit the most suitable candidate for the position. Training and development: Training and development can be applied to work specific practices to improve the performance of the firm or to the development of the employee in non work related areas. By providing suitable training programmes the organization can show commitment to the employees and the employees can reciprocate this commitment by improving the performance of the organization. Performance incentives: Every good performance is appreciated in the form of a pat on the back, bonuses or giving some other compensation for a well done job. These incentives can be implemented at the individual as well as the team level and it works wonders in getting the best out of the employees but these bonuses should not be given without a reason unless it is a
commitment for annual bonuses or some such things. Doing so will reduce the perceived value of the bonuses. Performance feedback: This method is mostly followed by many organizations in India. Feedback is not only taken from the boss but also from other seniors and subordinates. The opinion of every one matters especially for someone who is in a leadership role at any level. This kind of system helps in identifying people who can perform well as leaders at higher level in organization. Discussions: Organization should nurture and they understand that employees who are actually working in the business know the business environment more clearly and they can provide the best ideas. The management should have discussion with employees to get their ideas and to find the talented employees. There can also be suggestion boxes to capture the ideas of the employees at different levels in the organization. It helps the organization to know its strengths and weaknesses and further helps in SWOT analysis of the organizations. Rewards: Organization should recognize the talent of the employees and this recognition has to be made public. The better way to reward the employees is holding ceremonies and announcing to the whole world the achievement of the employees. Open book management style: Organizations should focus on sharing information with employees about contracts, sales, new clients, management objectives, company policies. It creates a culture of participative management and motivates the employees to achieve organizational goals. It involves making people an interested party to the strategic decision and helps in building trust among the employees. Fair evaluation system for employees: Organization should adopt the evaluation system that clearly links the individual performance to corporate business goals and priorities. Self rating as a part of evaluation process empowers the employees. Besides the immediate boss each employee should be screened by the next higher level and it is based on the records of periodic counseling and achievement of the employee over the year. Highlight performers: The organization should create profiles of top performers and make these visible through display board, company intranet etc. it will encourage others to put in their best and creating a competitive environment.
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Charming employees with the unexpected: The last way to charm employees with the unexpected things that may be in the form of reward, gift or a well done certificate. The best way is to reward not only the top performers but also other employees who are in the need of motivation to use their potential towards the organizational goals. IV. CONCLUSION
REFERENCES Books
[1] [2] Aswathappa, K. Human Resource Management Tata McGraw Hill Education Private Limited, New Delhi, 2010 pp-7. Saiyadain, Mirza S. Human Resource Management Tata McGraw Hill Publishing Company Limited, New Delhi, 2009 pp-288
Thesis
[3]
In the end we can conclude that the fair human resource practices help the organizations in its development and to realize its objectives and goals. As the human resources are the most essential assets of the organizations, it should be dealt with proper care. Organizations should adopt the fair and equal human resource practices to recruit, train and to retain the employees. It should focus on the individual development of the employees that in return will help in overall development of the organization as a whole.
[4] [5] [6] [7]
Kaushik, Amit Kumar (2005), Management of Human Resources: A study of Punjab State Cooperative Supply and Marketing Federation Limited, P.HD thesis submitted to the Panjab University, Chandigarh. Pp5 Mess, Hadliegh (2004), Human Resource Best Practices Vol. 2(2004) Otago Management Graduate Review. Rowan, Lisa(2009), HR Best Practices: Delivering Strategic Value to the Enterprise IDC 879 Hasan (2009), HR Best Practice Article Sharma, Girish, HR Best practices downloaded from http://www.empxtrack.com/human-capital-managementsystem/articles/Human-Resources-Management-Practices-topten/
Websites
[8] http://www.igda.org/biz/ [9] http://www.igda.org/committees/business.php [10] http://www.igda.org/committees/business_members.php
Role of Strategic Human Resource Management in Business Development (Strategic Management for Business Developmentissues and Challenges)
Sunanda Sharma
Assistant Prof. Dept. of Commerce, J.C.D.A.V College Dasuya e-mail: ssunanda82@yahoo.com
AbstractStrategic human resource management is the management of people. It requires thinking ahead, and planning ways for a company to better meet the needs of its employees, and for the employees to better meet the needs of the company. This can affect the way things are done at a business site, improving everything from hiring practices and employee training programs to assessment techniques and discipline. In a cut throat competition, a business can be a success full if it has a stregtic human resource management because a business is run by human resource. No business can be run automatically or by machines, personnel exist in top, middle and low level. An organization has to make strategies related to human resource for competing globally with similar organizations. Improved interviewing techniques can help to weed out applicants that may not be a good match for the company. Strategic Human Resource Management an essential tool of business development, because Human Resource is one of the important resource of 5 ms of management i.e. Man Material, Machinery, Money and Method. For the purpose of achievement of business objective and development of business, not only efficient, skilled and trained Human resource is required but its long term tenure is also essential. Various strategies regarding Human Resource are formulated by top level authorities. For making Human Resource Strategies, Human resource planning is needed. Strategic human resource management is essential in both large and small companies. In small companies, this may be as simple as the owner or manager taking a little time every day to observe, assist, and assess employees, and provide regular reviews. Larger companies may have a whole department in charge of human resources and development. By meeting the needs of the employees in a way that also benefits the company, it is possible to improve the quality of staff members.
I. INTRODUCTION Strategic human resource management is the management of people. It requires thinking ahead, and planning ways for a company to better meet the needs of its employees, and for the employees to better meet the needs of the company. This can affect the way things are done at a business site, improving everything from hiring practices and employee training programs to assessment techniques and discipline. A strategy is
an action plan which sets the direction that a company will be taking. It is a decision making choice and would involve consideration for internal strength and weakness and external environment affecting the company. Strategy involves choices that determine the nature and direction of the organizations activities towards the attainment of goals. For running business successfully and its diversification formulation of strategies and its implementation is essential An important aspect of strategic human resource management is employee development. This process begins when a company is recruiting and interviewing prospective employees. . In a cut throat competition, a business can be a success full if it has a stregtic human resource management because a business is run by human resource. No business can be run automatically or by machines, a personnel exists in top, middle and low level. An organization has to make strategies related to human resource for competing globally with similar organizations. Improved interviewing techniques can help to weed out applicants that may not be a good match for the company. Strategic Human Resource Management an essential tool of business development, because Human Resource is one of the important resource of 5 ms of management i.e. Man Material, Machinery, Money and Method. For the purpose of achievement of business objective and development of business, not only efficient, skilled and trained Human resource is required but its long term tenure is also essential. ./Various strategies regarding Human Resource are formulated by top level authorities. For making Human Resource Strategies, Human resource planning is needed. The need of Human Resource planning is essential for replacement of persons in the organization. A large number of persons are to be replaced in the organization because of retirement, old age, death etc. There will be need of persons for taking up new positions of in such contingencies. There will be need to recruict new persons to take up the positions that have left the organization. Wherever there is a plan to expand or diversify the concern then more persons will be required to take up the new positions. Human resource
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planning is essential under these situations. A business works under changing technological environment. There may be a need train and make them up to date with new technology. Human resource planning helps in meeting the new demands of the organization. When creating a human resources plan, it is important to consider employees may want or need and what the company can reasonably supply. A larger company can usually afford training and benefit programs that smaller companies cannot afford to offer. This does not mean that a smaller company should not engage in strategic human resource management. Providing specialized on-site training, even if provided by senior members of the company, and offering one-on-one assessment and coaching sessions, can help employees reach peak performance rates. After being hired on, strong training programs can help a new member of the staff get up to speed on company policies and any current or ongoing projects they will be working on. To help employees perform at their best, a company can follow up with continual training programs, coaching, and regular assessment. Investing in the development of its employees can allow a company to turn out more consistent products. Strategic human resource management is essential in both large and small companies. In small companies, this may be as simple as the owner or manager taking a little time every day to observe, assist, and assess employees, and provide regular reviews. Larger companies may have a whole department in charge of human resources and development. By meeting the needs of the employees in a way that also benefits the company, it is possible to improve the quality of staff members. Taking the effort to provide employees with the tools they need to thrive is worth the investment. Strategic human resource management is obviously directed at achieving organizational objectives. Whilst it is directed by organizational strategy (which may change depending on whether the organization is expanding activities, developing a new product or reorganizing its activities), strategic human resource management must be an ongoing activity. Management must continuously scan the human resource environment in order to identify developments that can either enhance or threaten its survival. Managers must be proactive and cannot wait for things to happen first. Strategic human resource managers, for example, study workers' habits, needs, tastes and so on in order to predict their (workers) possible actions and movements and the impact these will have on the organization. II. ECONOMIC AND SOCIAL OBJECTIVE OF STRATEGIC HUMAN RESOURCE MANAGEMENT Formulation of Recruitment policy Top management views on the value of learning and training needs.
Updating and regular training. Past and current Human resource Development policies. Learning and experience of its managers. Desions regarding Resources that can be allocated to the functions Expectation of the employees and there representatives. HRD polices are consequently unique, varying with the approach and requirement off different organizations. They are more often determined by the prevailing interest then principle and tend to be impermanent and susceptible to change. This applies whether or not an organization has adopted a planned approach. Top management decided that what contribution they want to HRD function to make in the achievement of the organization objectives. Their decision provide the framework within which the policy and plans are determined, but effectiveness is likely to be increased if that decision has been reached after consultation at all lines. III. STRATEGIC MANAGEMENT AND DEVELOPMENT OF HUMAN RESOURCE Strategic management may be understood as the process of formulating, implementing and evaluating business strategies to achieve organizational objective. Strategic management is a set of managerial decisions and actions that determines long term performance of a corporation. It includes environment scanning, strategy formulation, strategy implementation, evaluation and control. The study of strategic management, therefore, emphasizes monitoring and evaluating environment opportunities and threats in the light of corporations strength and weaknesses. Therefore strategic management involves four steps as given below: Analyses the opportunities and threats or constraints that exists in the external environment. Formulate strategies that will match the organizations strength and weakness with the environmental threats and opportunities. Implement the strategies. Evaluate and control activities to ensure the organizational objectives are achieved. Strategic management is essential for development of human resource in an organization. Human resource development is a dynamic and evolving field in the world of business. It is the goal of this publication to provide a resource through which HRD practitioners and students can understand the field and grasp its simplicity. It is within that simplicity that an appreciation of the complexity of HRD can be realized. An introductory book such as this should only provide
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an overview; other more focused publications will provide the crystal lization. For example, when entering a community for the first time, its landmarks, citizens, and complexity often seem overwhelming to the newcomer. But after familiarizing oneself with its, uniqueness, its roads, streets, buildings, and people, it does not appear as threatening or complex. The company HRD manager is accountable to the managing director and is responsible for submitting an annual assessment of organizational training needs, as well as advising and assisting all managers of HRD matters and providing the necessary training services. The annual HRD budget approved by the board and managed by the company HRD manager. This companys HRD policy refers to all human resource and aims to: Provide induction training for all new staff and for those transferred to new department. Provide day release facilities at the discretion of the appropriate departmental manager in consultations with the company HRD manager. Ensure that appropriate learning and development is available to enable individuals to reach and, through updating training maintain satisfactory performance in their job. Provide the learning and development required by those selected for promotion so that they are appropriately prepared for their new responsibilities. Provide information, instruction and training to ensure the health and safety of all employees. IV. ADVANTAGES OF APPLICATION OF HUMAN RESOURCE DEVELOPMENT POLICY IN ORGANIZATION Defines the organizations responsibility for the development of the individual employee. Clarifies the purpose of HRD and communicates top managements intentions. Helps those responsible for implementing training. Clarifies the role and function of the HRD specialist. States in general terms the training opportunities available to employee. May indicate priorities. If the contents are progressive, publication enhances employer-employee relationship, but the success of HRD policy is likely to be affected negatively if the public relation element is over played or if the employees expectations are not met, employee resentment and, as a consequence, the possibility of other more difficult problems can result if an
organization fails to honors the development opportunities promised in published policy statement. V. HUMAN RESOURCE STRATEGY FORMULATION AND IMPLEMENTATION The role of Human resource management in formulation and implementation strategies is crucial. It is the human resource who formulates and implements the strategies and the people are supplied by Human resource management. Human resource strategies formulated need to be implemented. Implementation of strategies is often more difficult than their formulation. Implementation of strategies requires such actions as altering sales territories, adding new departments, closing facilities, hiring new employees, changing organizational pricing strategies, developing financial budget, formulating new employee benefits, establishing cost control procedures, changing advertising strategies, building new facilities, transferring managers among divisions and building a better computer information system. VI. CONCLUSION An important aspect of strategic human resource management is employee development. This process begins when a company is recruiting and interviewing prospective employees. Ideally HR & top management work together to formulate the company's overall business strategy; that strategy then provides the framework within which HR activities such as recruiting & appraising must be crafted. If it is done successfully, it should result out in the employee competencies & behavior that in turn should help the business implement its strategies & realize its goals. The human resources management system must be tailored to the demands of business strategy". In order to be successful the employees should be developed in such a manner that they can be the competitive advantage, & for this the human resource management must be an equal partner in both the formulation & the implementation of the corporate & competitive strategies. REFERENCES
[1] [2] [3] [4] [5] [6] Donald F. Harvey, Strategic management and business policy, second edition, Merrill Publication, 1988, p.5 Fred R Devid, strategic management, Third edition, Prentice Hall, 1995, Peter wright, strategic management-concept and cases, New Jercy, Prentice Hal, 1996 Gary Dessler, Human Resource Management, seventh edition, New Delhi. Robert L. Mathis and John H, Human Resource Management, South Western Publication co., 2000. Routlege,1999, Strategic Human Resource management, The International Journal of Human Resource management, vol. 10, issue 6,
Some Problems Concerning Development of Human Resources

Balwinder Singh Brar
Department of Applied Sciences, Baba Farid College of Engineering & Technology, Bathinda e-mail: hodas.bfcet @ yahoo.in
Abstract*Mode of production* Struggle and unity between the productive forces and the relations of production * The productive forces are made up of two aspects: (i) means of production,(ii)the human-beings *The human-beings is the leading factor * Conscious need of developing the human-beings in an all-round way * Two basic aspects of the development of human-beings:(I) economic-social-cultural well-being,(ii) knowledgecapabilities-skills * Both these aspects are complementary * If the economic-social-cultural well-being of humanbeings continuously progresses, then it will continuously create the favorable conditions for the human-beings to gain more and more knowledge-capabilities-skills * On the other hand, the continuous increase of knowledgecapabilities-skills among human-beings has the potential to increase the economic-social-cultural well-being of human-beings * Quality of the working and living conditions must be made more and more humane and full of facilities * Role of decentralization is of paramount importance * Both the approaches of over-centralization and under-centralization are totally wrong *The correct relation between responsibilities assigned and powers given at every level is that because definite responsibilities are assigned to be performed at every level of leadership within an organization, hence some definite powers are given to that level so that the assigned responsibilities must be performed successfully * A wrong trend, which thinks that because powers are given, so responsibilities are to be performed * This wrong trend also thinks that the overwhelming majority of the people in the organization is not sincere * This trend relies upon a small isolated group to lead the organization, uses highhandedness, hampers the initiative of broad layers of the organization, sows mistrust among the different layers of the (2) organization *This trend comes in the way of decentralization *There is always some stress and strain. It is a good thing * But too much stress will definitely go counter to both the two basic aspects of the development of human-beings *Fundamentally its solution lies in lessening the load of work * Social security has two aspects: security during service, and security after the service * In the existence of security of service, the performance can be enhanced by (i)creating an atmosphere of friendly competition, and (ii)implementing the concept of incentives in various forms * If life of everyone in old age is secured fully, then a person will not remain in depression, may work in a committed way ,will take the country as his/her own, will take his/her work as the work for the country, and feel his/her personal and national interests united. Keywords: productive forces, relations of production, means of production, human-beings, economic-socialcultural well-being, knowledge-capabilities-skills, working and living conditions, over-centralization, undercentralization, initiative, stress, social security, friendly competition, incentives
The productive forces and the relations of production at any stage of the society, taken together, constitute the mode of production of the society at that stage. These two aspects coexist. They go hand in hand. Sometimes the relations of production correspond well to the productive forces, and hence the productive forces develop at a rapid rate. Sometimes the relations of production do not correspond well to the productive forces, so the productive forces began to stagnate. So there is struggle and unity between the productive forces and the relations of production in the society. But the aspect of struggle is permanent, whereas the aspect of unity is transient. The productive forces are made up of two aspects: (i) means of production, (ii)the human-beings. The human-beings is the basic aspect, is the leading factor. Human resources are the most important factor of production, the most active factor of production. The means of production are in content passive factor of production, although apparently they appear to be the active factor of production. They depend upon the human-beings, who move them, drive them, (3) Utilize them, develop them in the process of production so as to cater the ever-increasing social and cultural needs of whole of the humanity. Therefore in the development of the productionprocess, of society, and hence of any organization, the role of human-beings is basic, is the leading. Hence there is the conscious need of developing the humanbeings in an all-round way. The development of humanbeings constitutes these major aspects: economic, social and cultural well-being of all human-beings leading to more and more prosperous, conscious and educated man; deepening the knowledge; developing the capabilities and skills of all human-beings. So, there are two basic aspects of the development of human-beings: (i) economic-social-cultural well-being, (ii) knowledgecapabilities-skills. Both these aspects are complementary. If the economic-social-cultural wellbeing of human-beings continuously progresses, then it will continuously create the favorable conditions for the human-beings to gain more and more knowledgecapabilities-skills. On the other hand, the continuous increase of knowledge-capabilities-skills among
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human-beings has the potential to increase the economic-social-cultural well-being of human-beings. It follows that in any organization, there can be full flowering of the role of man if and only if his/her economic-social-cultural well-being is taken care of; and his/her knowledge-capabilities-skills are developed fully. Both these are equally necessary; one cannot be ignored at the cost of the other. As a part of the aspect of economic-social-cultural well-being, quality of the working and living conditions of all the working people of all the categories must be made more and more humane and full of facilities, otherwise there will be unfavorable and adverse effect on them ultimately resulting in decreasing their efficiency and hence downfall of the production. As a part of the aspect of knowledge-capabilitiesskills, the role of decentralization is of paramount importance. It means that responsibilities and powers are decentralized. The responsibilities are decentralized in consonant with the obtaining level of the concerned layer to which the responsibilities are being decentralized. If more powers are given to the different layers, which are much more than their actual level, then those layers will be under undue stress, will be unable to lead and work correctly leading to dislocation and disastrous results. This is (4) Over-centralization. On the other hand, if less responsibilities are given to different layers as compared to the responsibilities that should be given according to their obtaining level, then their initiative will not develop leading to frustration and pessimism. This is under-centralization. Both these approaches of over-centralization and under-centralization are totally wrong. Every organization should be cautious of both these wrong approaches, and fight against these. There is a wrong approach towards the relation between responsibilities assigned and powers given at every level. The correct relation is that because definite responsibilities are assigned to be performed at every level of leadership within an organization, hence some definite powers are given to that level so that the assigned responsibilities must be performed successfully. But there is a trend which puts this relation on its head, and in which the thinking is that because powers are given, so accordingly the responsibilities are to be performed. Such a trend definitely leads to misuse of powers, rely on purely bureaucratic methods, and negate methods of persuasion, counselling, motivation to mobilize the different layers of the organization. This wrong trend also thinks that the overwhelming majority of the people in the organization is not sincere, they are goodfor-nothing fellows, hence this trend leads to rely upon a small isolated group to lead the organization, leads to highhandedness, leads to hamper the initiative of broad
layers of the organization, leads to sow mistrust among the different layers of the organization. This trend comes in the way of decentralization. As a result, the development of the organization becomes stunted. In every work, there is always some stress and strain to one extent or the other, in one form or the other. It is a good thing. By this, everyone becomes more concerned with his/her work, and hence one plans the work more seriously, and tries hard to accomplish that work successfully. But if there is too much stress being faced in the working-process, then it will be a serious problem. It will definitely go counter to both the two basic aspects of the development of human-beings i.e. the aspect of economic-social-cultural well-being; and the aspect of knowledge-capabilities-skills. It is because if a person is undergoing a serious level of stress, then he/she will become so fatigue mentally and physically that he/she will not be in a position to do work wholeheartedly and continuously, and hence he/she will not able to gain any knowledge, (5) Any capability, any skill. In such a situation, his/her economic-social-cultural well-being will automatically be thrown to winds. Even his/her personal, family and social life will be in danger. The continuing stress due to atmosphere within any organization is often coupled with the unfavorable external political, economic, social, and technological developments in the country, in the neighbouring countries and the world over. So it is not the case of merely solving this serious problem in one form or the other; but fundamentally its solution lies in lessening the load of work. Everyone must have social security. It has two aspects: the security during service, and the security after the service(i.e.in the old age).If there is security during service, then there will be favorable conditions in the organization, in which every person will take it as his/her own organization, can work wholeheartedly for its growth and development. If there is no security of service, then everyone will feel all the time the sword of being fired out, and in such a situation, everyone will remain in a state of tension, and will not be in a position to perform his/her role fully, not to speak of full flowering and development of his/her overall personality and role. In the existence of security of service, the performance can be enhanced by (i) creating an atmosphere of friendly competition, and (ii) implementing the concept of incentives in various forms. Security after the service is in fact the security in the old age. If life of everyone in old age is secured fully, then a person will not remain in depression, and may work in a committed way during service. So we see that if there is security during and after the service, every person will take the country as his/her own, will take his/her work as the work for the country, and feel his/her personal and national interests united.
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REFERENCES
[1] [2] [3] Aswathappa K.(1997): Human Resources Management, Tata McGrw-Hill Publishing Co. Limited, New Delhi. Gupta, Shashi K. and Joshi, Rosy (2007): Human Resources Management, Kalyani. Katyal, Veena and Srivastava, S.K. (2009): Work Stress and Organisational Support Among Public and Private Sector Employees, Published in Global Journal of Business Management, Vol.3, No.2, December, 2009.
[4]
[5]
[6]
Aggarwal, Ashutosh and Trpathi, Navita(2010): Human Resources Accounting: Role and Practice in an Organization, published in Finance India, Vol.XXIV,No.4, December 2010. Kumar, T.Vijaya (2010): Motivation and leadership in Select Organizations In Nellore Distt., published in Finance India, Vol.XXIV, No.4, December 2010. Burkus, David (2011): Designing Happiness: Can Organsational Design Influence Happiness?, published in HRM Review, Feb., 2011.
Envisioning Upon Role and Relevance of Anaging Talent as a Source of Unlocking Hidden Potential and Organization Effectiveness
Vijit Chaturvedi
Assistant Professor, Lingayas University, Faridabad, Haryana e-mail: vijitchaturvedi@live.in
AbstractTodays competitive and demanding environment demands not only knowledge workers having sound technical and conceptual knowledge but those transformers who could by their extraordinary skills could convert creative thoughts into reality. The demand of talent workforce demands strong commitment, support and a conducive work environment both on part of employees and employers need to focus on talent management system right from identification , acquisition, development and maintenance of such talented workforce. The present paper attempts to focus on role of talent management system in building organization effectiveness and creating competitive advantage along with sustaining the knowledge capital of organization. The present paper focuses on impact of soundly managed Talent system and its outcome along with commonly used strategies to effectively create and maintain talented workforce in organization. Keywords: Talent management, talent engagement, organization effectiveness. Envisioning upon role and relevance of managing Talent as a source of unlocking hidden potential and organization effectiveness
planning, organization development, performance management team and individual development. Specifically, effective talent management must be relentlessly focused on organizations desired business outcomes. This differs from past views of talent management in that traditional approaches to talent selection and development focused on worthy, but HRcentric goals such as building a leadership bench, training and developing managers, or selecting the right people for the right job at the right time. Often these practices were functionally siloed, regionally fragmented and stood apart from other business practices and financial metrics. II. REVIEW ON SIGNIFICANT ROLE OF TALENT MANAGEMENT IN DIFFERENT COMPANIES AN INDICATOR FOR ORGANIZATION EFFECTIVENESS St Luke's Communications, a leading performer in the UK advertising industry, has a reputation for attracting, retaining and motivating creative talent. Unlike its peers, the agency is very unconventional in being completely co-owned as a co-operative and in continually challenging the status quo. It has the lowest talent turnover rates of any comparable company. US electronic payment and Internet commerce provider, First Data Corporation, has built its successful global business over the last few years on systems and operational excellence. But, given a newer solutions focus within and fundamental change in financial services markets, it has been rethinking its talent management strategy and programmes. These shifts are as much the remit of organizational development executives as those in HR. Founded in 1899, forest products group, Carter Holt Harvey (CHH),is a leading employer in New Zealand with over 11,000 people in 33 separate businesses across the southern hemisphere. Such has been the group-wide impact of its HR function on people and performance improvement programs over three years that it was spun-off from the group in spring 2001 as a stand-alone business called Mariner. CHH talent management directions/interventions are now
I. INTRODUCTION Talent consists of those individuals who can make a difference to organisational performance, either through their immediate contribution or in the longerterm by demonstrating the highest levels of potential. Talent management is the systematic attraction, identification, development, engagement/ retention and deployment of those individuals who are of particular value to an organisation, either in view of their high potential for the future or because they are fulfilling business/operation-critical roles. A. Need of Managing Talent in Workplace Talent management is an organizational approach for leading people by building culture, engagement, capability, and capacity through integrated talent acquisition, development, and deployment processes that are aligned to business goals. The common components of talent management include acquisition of employees career planning assessment succession
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provided by the outsourced former department, in addition to the development of a range of on-line tools. Focusing on the talent management loop: It is also important to focus attention on the four areas of the talent management loop, that is: attracting, developing, managing and evaluating talent. A. Attracting Talent The ability to attract external talent depends upon how potential applicants view the organisation, the industry or sector it operates in and whether they share the values of that organisation. The creation of an attractive employer brand is an important factor in attracting external talent. B. Developing Talent Talent development should be linked to other learning and development initiatives. Appropriate learning and development interventions are required at relevant stages in a career path for talented individuals to achieve their maximum potential. Developing talent needs informal as well as formal learning interventions. C. Managing Talent Active steps, plans and activities are needed to retain and engage talent required for the future health of the organisation. Investment in management, leadership and other development activities will positively impact on talent retention. D. Tracking and Evaluating Talent Management Evaluation of talent management is difficult but necessary to ensure that the investment is meeting organisational needs. Evaluation requires both quantitative and qualitative data which is valid, reliable and robust. III. ROLE OF TALENT MANAGEMENT PROCESS DEVELOPMENT IN EFFECTIVE TALENT IDENTIFICATION AND MANAGEMENT Talent management is a dynamic process that has to be continuously reviewed to ensure that organisational requirements are still being met in the light of changing business priorities. Ultimately, organisational success is the most effective evaluation of talent management There are four steps that companies can take to quickly assess their talent management process and begin improving their talent management competencyStep 1 Identify Key Roles.- Analyze the key steps in each part of the talent life cycle (identification and attraction, hiring and inculcation, motivation and development, appraisal and reward, building and sustaining relationships) and map the key players and their
Step 2
Step 3
Step 4
roles and responsibilities to each stage. Take an Inventory of Your Talent Management Skills- Identify the critical skills needed to play the key roles in the talent life cycle effectively. To what extent does your company employ people who possess them. Measure the Right Thing- . Assess the measures you use to evaluate the performance of your talent management process at each life cycle stage such as offer-to-hire ratios, average tenures of new hires, performance ranking, skill fit to job requirements, etc. Set Up a Process-Wide Feedback Loop. Everyone managing talent needs to understand the big picture and to connect their role and responsibilities to the overall objectives of the process.
IV. ESSENTIAL ELEMENTS IN EFFECTIVE MANAGEMENT OF TALENT PROCESS It is a never-ending process that starts from targeting people.. in order to make the talent cycle more effective following elements should be importantly focused to make it more effectiveUnderstanding the Requirement: It is the preparatory stage and plays a crucial role in success of the whole process. The main objective is to determine the requirement of talent. It includes Sourcing the Talent: This is the second stage of talent management process that involves targeting the best talent of the industry. Searching for people according to the requirement is the main activity. Attracting the Talent: it is important to attract the talented people to work with you as the whole process revolves around this only. After all the main aim of talent management process is to hire the best people from the industry. Recruiting the Talent: The actual process of hiring starts from here. This is the stage when people are invited to join the organization. Selecting the Talent: This involves meeting with different people having same or different qualifications and skill sets as mentioned in job description. Candidates who qualify this round are invited to join the organization. Training and Development: After recruiting the best people, they are trained and developed to get the desired output.
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Retention: Certainly, it is the sole purpose of talent management process. Hiring them does not serve the purpose completely. Retention depends on various factors such as pay package, job specification, challenges involved in a job, designation, personal development of an employee. Promotion: No one can work in an organization at the same designation with same job responsibilities. Job enrichment plays an important role. Competency Mapping: Assessing employees skills, development, ability and competency is the next step. If required, also focus on behavior, attitude, knowledge and future possibilities of improvement. Career Planning: If the individual can handle the work pressure and extra responsibilities well, the management needs to plan his or her career so that he or she feels rewarded. It is good to recognize their efforts to retain them for a longer period of time. Succession Planning: Succession planning is all about who will replace whom in near future. The employee who has given his best to the organization and has been serving it for a very long time definitely deserves to hold the top position. Management needs to plan about when and how succession will take place. Exit: The process ends when an individual gets retired or is no more a part of the organization. V. GENERALLY -ADOPTED STRATEGIES FOR EFFECTIVE TALENT MANAGEMENT
honest feedback between managers and employees, setting the stage for development and improvement. D. Determine Workforce Vulnerabilities Workforce planning is the newest and still the least integrated of all the categories of talent management initiatives. Yet it is the one that commonsense tells us should be one of the starting points. E. Enhance the Performance Management Process The fastest way to start integrating your disparate talent-related initiatives is to concentrate first on the initiative that touches more of the others: performance management. F. Structure Ways for the CEO to be Visibly Involved Virtually all companies that excel in talent management do so with the visible, active participation not just support of their CEOs. Such involvement takes the form of sharing the values of talent with all employees; organizing town hall meetings to discuss or probe for employee feedback gathered; designing, as well as teaching, leadership development or high potential programs VI. PRACTICES PROMOTING EFFECTIVE TALENT MANAGEMENT GROWTH IN ORGANIZATION Ensure that talent management efforts support key organizational strategies. Align all components of talent management to support optimal performance Manage talent with a long-range perspective but the ability to respond to changes Manage talent actively and strategically in good times or bad. A downturn in business performance is not an automatic signal to eliminate critical talent or cut back on training and development. Nurture talent-oriented corporate cultures Use talent management metrics Talent mindset the belief that talent is critical to the organisation now and in the future; that it can be developed; and that it differentiates culture and breeds competitive advantage VII. OUTCOME OF EFFECTIVE TALENT MANAGEMENT According to the 2005 Hewitt Associates Best Employers in Asia study, best employers record over 60 per cent higher revenue growth, 30 per cent higher growth in revenue per employee as well as half the recruitment costs of others. The talent management interventions employed by these best companies include structures so that employees can meet their goals and frequent meetings with managers to discuss
A. Identify Critical Jobs Talent management is about capturing/developing both the potential and performance of everyone. Therefore, the best place to begin is by focusing on the jobs that have the biggest impact on the organisation. B. Develop a Competency Framework People who join organisations bring more than just their training or functional knowledge. They also bring skills and abilities, some of which relate to the specific job they may do, others that relate to their interpersonal qualities. Being successful being talented requires all these factors, in various degrees and combinations depending upon the level and nature of the position. C. Creating Tools/Process for Talent Conversations According to many organisations, talent management is all about conversations. In fact, several companies have said that the act of having conversations about talent is just as important as the outcome of those conversations. Conversations provide
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the work. At the core is the focus on the manageremployee relationship and creating a culture that values employees. In addition the impact that talent management has on the financial or bottom line it also provides a wide range of benefits for the culture. By creating an environment in which frequent and honest feedback is the norm it promotes culture change. It also minimizes risk. Many organisations that start out in talent management do so because of their perceived need for leadership or succession planning. While there is nothing wrong with that as a reason to start, what is actually being done is HR risk management. Organisations that know what positions are critical to them (and those may not necessarily reside just in the executive suite) and the likelihood of their ability to keep those positions filled with outstanding individuals, should the incumbent leave the organisation, are being strategic. They are also mitigating risk. VIII. CONCLUSION Talent management provides value for HR because it places in a facilitative, business partner role, rather than in an administrative Facilitating talent reviews or talent discussions provides with an opportunity to show that one understand what the key business issues are and the human capital requirements for business success. Strategies should be developed to Attract, develop, and retains talent to ensure that people with the right skills and motivations to meet business needs in the right place at the right time.. Talent-centric organisations are crafting leadership values and
behaviors, competency models and enriched performance management processes to ensure they achieve the competitive advantage that people can provide. REFERENCES
[1] Rudis, E. (2007). CEO challenge: Perspectives and analysis, 2007 edition, (R-1418-08-RR). New York: The Conference Board, p.p2325. [2] Pobils (2008), Growing global executive talent: High priority, limited progress Development Dimensions International, The Economist Intelligence Unit. Pittsburgh, PA: Development Dimensions International, p.p 4548. [3] Teng, A. (2007). Making the business case for HR: Talent management aids business earnings, HRO Today magazine, p.p 1317. [4] Bassi, L. & McMurrer, D. (2006),Human capital and organizational performance: Next generation metrics as a catalyst for change, Mc Bassi & Company white paper available online at www.mcbassi.com accessed on 25 th February 2011, p.p 68. [5] Robbins (2008), Integrated talent management part 1, Business Value. Available online at www.ibm.com.p.p 2325. [6] Kaplan, R. & Norton, P. (2000). The strategy-focused organization, Boston: Harvard Business School Press. [7] Blair, M. (1995), Ownership and control: Rethinking corporate governance for the twenty-first century, Washington, D.C, p.p 1323. [8] Lucier, C., Schuyt, R., & Tse, E. (2005),CEO succession 2004: The worlds most prominent temp workers, Strategy and Business, (39), 2843. [9] Saba, J. & Martin, K. (2008), Succession management: Addressing the leadership development challenge,, Aberdeen Group research report available online at www.aberdeen.com. [10] Howard, A. & Wellins, R. (2008). Global Leadership Forecast 2008/2009, Pittsburgh PA: Development Dimensions International. [11] Handfield -Jones, H., Michaels, E., & Axelrod, B. (2001), Talent management: A critical part of every leaders job , Ivey Business Journal, 66 (2), 5358.
GENERAL MANAGEMENT
Challenges in Corporate Parenting for Conglomerate Organisations

Savdeep Vasudeva1*, Sahul Goyal2# and Rajan Sharma3* Assistant Professor in Business Management, DAVIET, Jalandhar 2 Assistant Professor in Master of Computer Applications, DAVIET, Jalandhar 3 Assistant Professor in Business Management, DAVIET, Jalandhar e-mail: urssunny2k1@yahoo.co.uk*, er.sahul.goyal@gmail.com#, rajanm28@gmail.com*
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AbstractThis research paper deals with the importance of corporate parenting in the success of todays conglomerate organizations. Being a part of competitive society, we are witnessing drastic change in competitive structure happening across different types of Industries. Each organization tries to diversify into new product lines and services and this radical change in Industrial competitive structure increases the importance of achieving a proper corporate parenting level for a big conglomerate. Most of the organizations are running distinct business units or SBUs catering a distinct business definition in terms of its product and services. So, it is a challenge for a corporate group to analyze the synergistic effects generated by different business units by proper utilization of its resources and capabilities.
I. OBJECTIVES OF THE STUDY To analyze the functioning of corporate parenting in conglomerate organization. To identify the importance level of corporate parenting in conglomerate organization. To find out the importance of human resource in corporate parenting strategy. II. RESEARCH METHODOLOGY Sampling has been done by using judgmental sampling. The targeted population belonged to 18 to 60 years of age. Information has been collected by using secondary sources of information. III. SCOPE OF STUDY According to Campbell, Goold and Alexander Multi business companies create value by influencing or parenting the business they own. The best parent companies create more value than any of their rivals would if they owned the same businesses. Those companies have what we call parenting advantage. There is a wide scope for this research paper as it will help to analyze the importance of making a proper corporate parenting Strategy in an organization. Many Big business organizations have done conglomerate diversification which means venturing into non-related lines of business in comparison to the existing. In order to maintain a proper fit between the different business units and aspirations of corporate headquarters there should be a good level of corporate parenting
application. The different lines of businesses make it very important for the entire group to implement a proper parenting of corporate headquarters with its different business units. In spite of different corporate level strategies such as expansion, stability and retrenchment, most diversified business organizations do not follow a single pure strategy. Instead they follow the combination of these corporate level strategies by expanding one unit, consolidating the other and retrenching the third unit. This is proved from recent mergers, acquisitions carried out by different organizations which are usually the methods of inorganic growth for an enterprise. In order to gain a proper benefit from synergistic effects across different businesses, each corporate house tries to make the fit between resource utilization and organizational capability. This includes transferring of employees, skills or technology from one business to another. The manner in which management coordinates activities and transfers resources and cultivates capabilities among product lines and business units (Parenting Strategy) IV. THREE STEP APPROACH FOR DEVELOPMENT OF A GOOD CORPORATE PARENTING STRATEGY Examine each business unit (or target firm in case of acquisition) in terms of its strategic factors: This Step involves the identification of strategic factors by different people in the organization. This identification and analysis of the strategic factors will help the organizations to locate the Centre of Excellence existing among different business units. According to Frost, Birkinshaw and Ensign, a center of excellence is An organizational unit that embodies a set of capabilities that has been explicitly recognized by the firm as an important source of value creation, with the intention that these capabilities be leveraged by and/or disseminated to other parts of the firm. Examine each business unit (or target firm) in terms of areas in which performance can be improved: In the second step, organization examines the areas in which performance can be improved and the required steps are taken to facilitate the necessary improvement. This is usually done such as by combination of the sales force of separate business units to generate more economies of scope for them in totality.
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Value Chain analysisA technique proposed by Michael Porter could also be used to analyze the primary and support activities separately. The interlinkages among the different activities of the value chain help the organization to analysis and focus on each activity separately. This value chain helps to make improvements in the organization on the basis of cost parameter. Analyze how well the parent corporation fits with the business unit (ortarget firm): This third step in the ultimate test of fitness between aspirations of the corporate headquarters and capabilities of the different business units. To analyze how well the parent corporation fits with the business units, the headquarter must be aware about the strengths and weaknesses of itself as well of the different business units under its corporate roof. In this part critical success factors of the entire organization are identified in terms of various products and services offered. A fit between organizational resources, capabilities and the expectations of the headquarter is achieved though proper utilization of these critical success factors. Corporate Parenting does not merely involve a single pure strategy like stability, expansion, retrenchment but it might also make use of combination of these strategies which is proved from the following cases. A. Sequential Combination Strategies at Thermax Thermax Private Ltd. (formely Wanson India Pvt. Ltd.) was formed in 1966 to make small boilers. Building their business definition around the basic customer function of steam generation, they saw the 1973 oil crisis as an opportunity and tarted making coal-fired boilers. From steam negeration to water treatment was a logical extension, extended further to manufacturing pollution-control equipment. For the millennium , the company pnas to focus on heating, cooling and power generation from a single fuel source. A historical analysis shows how the company has followed sequential combination strategies in order to ensure survival and growth. The 1960s: The company is formed; starts making coil type packaged boiler and thermic fluid heaters. The 1970s: Expansion to kae the first packagedtube boiler for Indian coal and other solid fuels; related diversification into water-treatment plants;takeover of Tulsi Fine chemicals and the establishment of a chemicals division; expansion for making large fielderected boiler; related diversification into surfacecoating and pollution control equipment. The 1980s: Related diversification into energy conservation equipment; unrelated diversification into sottware, financial engineering, electronics, and related to oil-field equipment projects; joint venture with deviebiss; joint venture with Babcock and willcox.
The 1990s: International strategy of setting up a resin plant in the US ; strategic alliances with fuel suppliers; joint venture with the US-based EPS for energy service business; related diversification into cogeneration business; divestment of Thermax Engineering Construction company as a wholly owned subsidiary; joint venture Culliigan international for water treatment business. Above case depicts the importance of combination strategy as an effective tool in adopting a proper corporate parenting strategy. Over the years strategic changes at a large business group indicate that it has been strengthening its manufacturing base and divesting its trading activities. Stability has been aimed at in some of its divisions by retrenching the unprofitable products and services, while major expansion has been taken place in the case of its industrial products. A variety of grand strategies have thus been followed, both sequentially and simultaneously, creating a complex web of strategies in line with the nature of the conglomerate that the company actually is. B. Cummins Inc.The story of Corporate Parenting Success Managers must examine their corporations entire portfolio of products, businesses, and opportunities as if they were planning to reinvest all its capital. This is proved from the example of Cummins Inc. in the year 2003 when the management decided to invest heavily in the firms power generation business. Management realized at the time that the global appetite for power was growing far faster than local power grids could provide, especially in the fast growing developing countries. Unfortunately, power generation was the only one of Cummins four business units to lose money. Tom Linebarger, Cummins CFO took over the power generation unit, cut costs and reorganized the division around product lines rather than territories. Over the next four years the sales of the companys power generators ranging from portables to house sized machines for factories, more than tripled to $3 billion20 % of the companys total sales. Cummins achieved second place, behind Caterpillar, in the global power generator market. Management decided to grow horizontally by building plants in China and India and making small home generators to sell through mass merchandisers. Corporate Strategy is useful not only in deciding what new businesses to acquire but also in choosing how each business unit should be best managed. This appears to have been the secret to the success of General Electric under CEO Jack Welch. According to the analysis done by one analyst in the year 2000. He and his managers really add value by imposing tough standards of profitability and by disseminating knowledge and best practice quickly around the GE
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Empire. If some manufacturing tick cut costs in GEs aero engine repair shops in Wales, he insist it be applied the group. The above cases depict that corporate parenting is all about obtaining synergies between the different business units. It helps the organization to tame the different business units in such a way that they all move in the same direction towards the one goal of the entire corporation. The proper implementation of corporate parenting practice in its value chain will enable the organizations to get an edge over their immediate competitors. V. LIMITATIONS OF THE STUDY Time constraint was the major limitations in the study. Further small sample size was also a limitation in this study. This research paper deals with the importance of corporate parenting strategy in the conglomerate organizations. This paper does not take into account the concentric corporations which resembles to their conglomerate counterparts in terms of size. VI. FINDING & RESULTS OF THE STUDY From analysis of the cases discussed in this research paper, we present the following finding worth mentioning: It was found that the scope of corporate parenting is more significant in those organizations which have different business unit offering distinct set of products and services. Corporate Parenting Strategy helps to achieve synergy among the business organization by optimum utilization of resources and capabilities. A proper Corporate Parenting Strategy can demand more than pure strategies which include the combination of different strategies including expansion, retrenchment, or stability at the same time or in a sequential manner during different time intervals. The scope of corporate parenting expands in case of big conglomerate organizations than the small business unit or medium scale enterprises. Corporate Parenting is more qualitative approach than other approaches like portfolio analysis which involves most of the quantitative data in the form of numbers or financial analysis. VII. CONCLUSION In the end, we conclude that proper implementation of good Corporate Parenting pose a great challenge to modern days enterprises. These enterprises are usually big conglomerates, which are offering distinct products and services offered through different business units in terms of their business definition. Only those organizations will be successful in the long run which
actually implement good corporate parenting strategies from their headquarters by generating synergistic affects among the different business units. By following proper corporate parenting, the weaknesses of one business unit could be complemented by the strengths of other unit. In this way, the business units after complimenting each other in distinct areas of specialization can help each other to attain organizations overall objective through optimum corporate parenting strategy. The Organizational headquarter has the prime responsibility for parenting. So, the success of the parenting strategy largely depends on how the different businesses units are dealt by the corporate headquarter. Only those organizations will be able to effectively implement parenting strategy, which leverage on its resources and capabilities to the maximum extent. The organizations accumulate and consolidate the meager resources and try to take the maximum their advantage. The Corporate Headquarter tries to ensure that there should be a fit between what ever is desired by the top management and what the business units possesses. The success of the strategic management depends heavily on this factor which at the core of the corporate parenting success. The Importance of corporate parenting will increase more with the passage of time to other small, medium scale enterprises as well which could be concentric or conglomerate in nature. SUGGESTIONS The different business units of the organisation should admit their strengths and weaknesses in context of certain tasks, products or services and should be transparent enough in informing the same to the corporate headquarters. The Corporate Headquarter should work on refined human resource appraisal system so that they become familiar with the strengths and weaknesses of different people working in their separate business units. The Specialist people from one business unit to should be transferred to the other unit for certain period so that they are able to contribute positively in the other unit as well with their distinct set of skills and knowledge. The Management of organizations should realize the importance of qualitative or soft factors motivation level, employee satisfaction, organizational goodwill, human resources evaluation while daring to think about a proper parenting strategy. REFERENCES
[1] Concepts in Strategic Management and Business PolicyThomas L. Wheelen & J.David Hunger [ 2 ] Business Policy and Strategic Management-Azhar Kazmi
Green Business Practices: Need of Global Competitive Scenario

Nidhi Prashar1 and Rajni Arora2
Assistant Professor, CT Group of Institutions, Jalandhar Assistant Professor, CT Group of Institutions, Jalandhar e-mail: nidhiprashr@gmail.com, rajniarora18@rediffmail.com
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I. INTRODUCTION Resources are limited and human wants are unlimited. Hence, it is very important for the business to utilize the resources efficiently and, at the same time, achieve the organizations objective. In business, the growing trend is toward green, environmentally friendly business practices that make a profit while caring for the environment. Green business practices that maintain and sustain good environmental quality are increasingly becoming a vital component of economic competitiveness. In today context of global warming, climate change and environmental pollution, the concept of Green evolved as a savior for the mankind. Experts say consumers across the world are increasingly concerned about the environment and are aware of issues such as global warming. This is forcing companies to respond to these concerns with environment-friendly products and packaging and take steps to try and establish themselves as responsible corporate citizens. Corporate all over the world have initiated green practices to target the eco-conscious customer. II. PROFILE OF GREEN BUSINESS Water conservation: Green businesses understand that our fresh water supplies are limited and that careful conservation is required. Energy conservation: In addition to concerns about water, another green business opportunity is energy conservation. Sustainable businesses recognize that climate change will have a profound impact on our world at all levels, including business success. Solid waste reduction and recycling: From start to finish, the quantity of waste produced during the manufacturing process should be limited. Processes the minimize waste from the start and that have plans in place for recycling and reusing any. Pollution prevention: Green businesses practices also include pollution prevention. A green business will work to reduce toxins going into their products, mitigate toxins at the end of the process, and create a product that functions toxin-free as well. A. The Motive of Companies to Adopt the Green Concept On the subject of environmental friendliness, todays consumers have more expectations than ever
before. They ask the companies they do business with to do business healthier for the Planet and so do employees, in addition to some other small businesses in todays economic ecosystem. Individuals are now waking up to the fact that once we all pull collectively in the same direction, we get much more done for each other and the Earth. Smaller establishments are also expected by clients to employ a green approach and several entrepreneurs are responding to this need in society today. Companies of any size can now make real changes very easily. By means of bringing eco promotional products like eco wholesale shopping bags on board, any company may have some eco conscious presents to offer to both customers and employees. This helps people feel more secure about the company they deal with on any level, conscious its taking actions to make the world a better place. Similar can be said with eco friendly show bags which are yet another way companies of all sizes are ensuring they stand out as green conscious business enterprises. It doesnt matter what business you might be in, there are changes which can make a difference. Construction companies can use stainless steel water bottles and so can loads of different businesses. This cuts down on the usage of harmful plastics and that is a leap forward in the world today. There are basically five reasons for which a marketer should go for the adoption of green Practices. They are: Opportunities or competitive advantage Corporate social responsibilities (CSR) Government pressure Competitive pressure Cost or profit issues
B. GPs of Marketing:Green Marketing Mix Green Product: The ecological objectives in planning products are to reduce resource consumption and pollution and to increase conservation of scarce resources. In business, the growing trend is toward green, environmentally friendly business models that make a profit while caring for the environment. Green business practices that maintain and sustain good environmental quality are increasingly becoming a vital component of economic competitiveness. Consumer awareness of detrimental effects of products on the
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environment, both direct and indirect, have promoted many companies to incorporate environmental measures in the manufacturing, administration, purchase, sale and other stages. Measures have concentrated on an expanded and inspired version of the original 3Rs: reduce, reuse and recycle. Green businesses choose to operate in an earth-friendly fashion. They work to adapt their policies, practices, and principles so that they produce a positive result for the environment. Green Price: Price is a critical and critical factor of green marketing mix. Most consumers will only be prepared to pay additional value if there is a perception of extra product value. This value may be improved performance, function, design, visual appeal, or taste. Green Promotion: There are three types of green advertising: Ads that address a relationship between a product/service and the biophysical environment Those that promote a green lifestyle by highlighting a product or service Ads that present a corporate image of environmental responsibility
C. Eco Friendly Marketing Eco-friendly Marketing focuses on the marketing efforts companies use, including corporate social responsibility plans and sustainability efforts. Many consumers are environmentally conscious, seeking ecofriendly products and services from organizations that are socially responsible. III. HOW GREEN CAMPAIGNS PROMOTE THE CORPORATE GREEN IMAGE? The main objective of green campaign is to create awareness among the public to protect our environment. TESCO hypermarket had designed an eco-friendly recycle bag. The purpose is to encourage the consumer to use the recycle bag instead of using the plastic bag. Those consumers who using the recycle bag when purchase the goods can gain extra point for the member card. Broadcaster New Delhi Television Ltd, or NDTV, in partnership with car maker Toyota Kirloskar Motor Pvt. Ltd launched Greenathon on 7 Februarya 24-hour live television event to create awareness about environmental issues. Reva Electric Car Co. developing a market for electric cars and thereby a sustainable businessfirms are gearing up to bring about a change in the way their businesses and products are perceived.
For instance, electronics maker Panasonic Corp. is working out a go-to-schools interactive campaign to spread awareness among students on global warming and other environmental issues, to begin with. Later on, its planning a media campaign to target adults. They spent 2% of total revenues in India for CSR (corporate social responsibility) activities, which include these upcoming campaigns. Nokia India Pvt. Ltd has launched a campaign to recycle electronic waste. Consumers are encouraged to dump old mobile phones and accessories, irrespective of brand, at any of the 1,300 green recycling bins at Nokia priority dealers and Nokia care centres. Its a initiative as a part of Nokia Oyjs global programme, which covers 85 countries worldwide. Green marketing can help companies build a positive brand image, especially those operating in environmentally harmful sectors such as petrochemicals or automobiles. Detergent and household cleaning products maker Henkel India Ltd launched ecolearna learning initiative to inculcate environmental concern and sustainability. The initiative is targeting business schools in the country in the first stage; engineering colleges will be targeted later. A recent ad for Hindustan Unilever Ltds, or HULs, Surf Excel Quick Wash talked about how housewives could save two buckets of water while using premium detergent powder to wash clothes.
A. Green Business a Strategy in Global Competitive Scenario When larger companies go green, they drive the greening of other companies. If their suppliers and support systems want their business, they must adopt green practices and seek out sustainable resources that meet the ecologically friendly policies of their businessto-business customers. Those green businesses that build energy conservation into their long-term plans will not only save money, they will protect themselves against the risk of rising energy costs, and will demonstrate to their constituents their interest in taking climate change seriously (which garners support). Again, for manufacturers, this will mean both energy savings on the factory floor as well as an emphasis on producing products that require less energy. B. Customer Perception about the Green Business According to a research study Americans placed the highest value on corporate community involvement; when asked what
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factor was the most important in determining if a business is socially responsible, "contributing to the community" (e.g. sponsorship, grants, employee volunteer programs) came in highest with 47%. On the other hand, all of the other countries surveyed (India, Canada, Australia, Germany, China, and Japan) selected environmentally preferable practices (recycling, using biodegradable products). The U.S., along with other countries such as India and China, which have experienced environmental disasters caused by corporations believe that damaging the environment is associated with acting socially irresponsible. Juxtaposing Americans' negative opinions on damaging the environment, the GMIPoll found that only 42% of all Americans are willing to spend more for products branded as organic, environmentally friendly, or fair trade. Corporate need to change the customer perception about the Green Business through changing the basic idea. For example, a power company executive recounted the travails of his efforts to deal with local community resistance to his company's plan to build a new hydropower plant. The challenge is to frame the project in terms of the need to reduce greenhouse gases. The choice is to either build thermal plants that will produce electricity AND emit greenhouse gases that contribute to climate change, or to build clean power plants that will not add to the climate's burden of carbon, to leapfrog over more polluting technologies. In todays scenario the Customer is always ready to cooperate on the issues of environment.
used by the refrigeration industry and the regulation prompted companies to come out with new models that were marketed on the no CFC plank. Companies have spotted a marketing opportunity in the governments thrust on energy-efficient electronic products. Many consumer electronics companies have labeled their products accordingly to project themselves as responsible and aware entities. Companies are realizing that as the consumers are becoming aware and the proportion of revenues coming from eco-friendly products is going up considerably. Indias legislature is evaluating the wisdom of mandating larger companies to spend some of their profits on doing good. Indias Parliament is mulling a bill that if passed, would require over 3400 companies to set aside 2% of their average net profits over the next three years to funds dedicated to CSR initiatives. Companies that fit any or all of the following metrics would have to comply: firms that have annual net profits averaging US$1.06 million the past three years; those with a net worth over US$106 million; and firms that have annual sales of at least $212 million will have to devote 2% of their net profits to CSR activities and disclose how that money is spent. IV. CONCLUSION Indian companies need to see themselves as leaders of the global green economy. Businesses previously established still have many great ways to play an important function in both business along with the environment. Understanding how new Green business strategies are being created, hearing about examples of new product designs that dematerialize -- or use less stuff, of companies that are profiting by using business models enabled by information, and communications that substitute services for products was inspiring and enlightening to them. Corporate following the Green marketing should not neglect the economic aspect of marketing. If corporate that think customers are not concerned about environmental issues or will not pay a premium for products that are more eco-responsible, think again. So, if today's successful marketing is about appealing to personal values and delivering consumer empowerment, then surely the time is right to inject sustainable development into the Green marketing mix to help address some of the gritty issues currently facing our planet. The Green business practices also solve the issue of employee satisfaction. The employees are more likely to be satisfied with their jobs if they are working for a company that is perceived to be "green". The organizations that support sustainability initiatives such as recycling and energy conservation have a positive influence on employees engagement levels. Green practices are not to be followed as mandatory actions in context of legal framework but these should be adopted as a tool of growth, high profit and a edge over competitive environment.
C. Legal Framework and CSR: Mandatory Actions for Green Business A key component of CSR is concern for the environment. Environmentalists work to protect and improve the quality of life and are concerned with issues that include conservation of natural resources, reducing environmental pollution, protecting endangered species, and control of land use. Through globalisation, deregulation, paradigm shifts and not least the development of information technology; consumer awareness has increased and brand equity has become essential to companies. Although CSRmeasures largely are voluntary and non-binding, there are regulatory frameworks covering the making and keeping of promises, such as ethical marketing practices. Besides consumer preferences, regulations are also forcing companies to go green. The UNmandated Montreal Protocol of 1987, for instance, required the phasing out of ozone-depleting chlorofluorocarbons, or CFCs, by 2010. CFCs were
Redefining E-Commerce in India

Kirandeep Singh Phul1, Bikram Pal Singh2 and Gurjeet Pal Singh3
Asst. Professor Training and Placement Officer 3 Lecturer Global Institute of Management, 11 KM Stone, Sohian Khurd, AmritsarBatala Road, Amritsar e-mail: kdeep27@yahoo.com, bikram.2k2@gmail.com, kirandeep@in.com
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AbstractIn the emerging global economy, e-business has increasingly become a necessary component of business strategy and a strong catalyst for economic development. The integration of information and communications technology (ICT) in business has revolutionized relationships within organizations and those between and among organizations and individuals. Specifically, the use of ICT in business has enhanced productivity, encouraged greater customer participation, and enabled mass customization, besides reducing costs. Due to fast developments in internet technology and increase in number of internet users (from 42000000 in 2007 to 81000000 in 2010), Indians are already participating in e-commerce, either as seller or buyer. By providing the quick and convenient ways of exchanging goods and services both regionally and globally, ECommerce has changed the whole scenario of business. As a place for direct retail shopping, with its 24-hour availability, a global reach, the ability to interact and provide custom information and ordering, and multimedia prospects, the Web is rapidly becoming a multibillion dollar source of revenue for the world's businesses. A number of businesses already reported considerable success. As early as the middle of 1997, Dell Computers reported orders of a million dollars a day. By early 1999, projected e-commerce revenues for business were in the billions of dollars and the stocks of companies skilled in ECommerce were touching new highs. Although many socalled dotcom retailers disappeared in the economic shakeout of 2000, Web retailing sites such as amazon.com, cdnow.com, and compudataonline.com continued to grow. According to eMarketer, E-Commerce in Asia Pacific rises every year and it has been predicted by them that the Ecommerce market may make a hike from $59.1 billion at 2006 to $168.7 billion by 2011. The Internet marketing is also increasing in India since last 5 years. Currently, most of the business people are doing their business online due to more development in technology and internet users across the India. Day by day, online shopping is truly catching on in India.There is tremendous increase in ECommerce transactions in India during recent years. The size of e-commerce market in India is worth around Rs 9,500 crore, out of which the online shopping market is worth Rs 1,300 crore. While online shopping globally is growing at around 8-10%, in India the growth rate is 30%. But apart from all this progress of E-commerce in India there are still some challenges and drawbacks that require attention and there is a great need of redefining the current policies of E-Commerce at this stage. This study examines the existing status, current and future challenges and strategies to be adopted to grow the business through electronic channels.
I. INTRODUCTION In the emerging global economy, e-business has increasingly become a necessary component of business strategy and a strong catalyst for economic development. The integration of information and communications technology (ICT) in business has revolutionized relationships within organizations and those between and among organizations and individuals. Specifically, the use of ICT in business has enhanced productivity, encouraged greater customer participation, and enabled mass customization, besides reducing costs. Due to fast developments in internet technology and increase in number of internet users (from 42000000 in 2007 to 81000000 in 2010), Indians are already participating in e-commerce, either as seller or buyer. There is tremendous increase in E-Commerce transactions in India during recent years. The size of ecommerce market in India is worth around Rs 9,500 crore, out of which the online shopping market is worth Rs 1,300 crore. While online shopping globally is growing at around 8-10%, in India the growth rate is 30%. But apart from all this progress of E-commerce in India there are still some challenges and drawbacks that require attention and there is a great need of redefining E-Commerce at this stage. This study examines the existing status, current and future challenges of ECommerce in India. II. A PRESENT SCENARIO
By providing the quick and convenient ways of exchanging goods and services both regionally and globally, E-Commerce has changed the whole scenario of business. As a place for direct retail shopping, with its 24-hour availability, a global reach, the ability to interact and provide custom information and ordering, and multimedia prospects, the Web is rapidly becoming a multibillion dollar source of revenue for the world's businesses. A number of businesses already reported considerable success. As early as the middle of 1997, Dell Computers reported orders of a million dollars a day. By early 1999, projected e-commerce revenues for business were in the billions of dollars and the stocks of companies skilled in E-Commerce were touching new highs. Although many so-called dotcom retailers disappeared in the economic shakeout of 2000, Web retailing sites such as amazon.com, cdnow.com, and compudataonline.com continued to grow. According to
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eMarketer, E-Commerce in Asia Pacific rises every year and it has been predicted by them that the Ecommerce market may make a hike from $59.1 billion at 2006 to $168.7 billion by 2011. The Internet marketing is also increasing in India since last 5 years. Currently, most of the business people are doing their business online due to more development in technology and internet users across the India. Day by day, online shopping is truly catching on in India, traditional brick and mortar stores are also getting the hand of doing business online. The trends demonstrate that traditional stores will keep on doing sufficient business while the online stores increase their virtual presence on the internet. The internet is also proving to a boon in disguise for many small and medium enterprises, which are joining hands with major Indian online portals to display their products and advertise their services. The Online Travel Industry is the biggest segment in E-Commerce and is booming largely due to the Internet-savvy urban population. The other segments, categorized under online non-travel industry, include e-Tailing (online retail), online classifieds and Digital Downloads (still in a nascent stage). The online travel industry has some private players such as makemytrip, Cleartrip and Yatra as well as a strong government presence in terms of IRCTC, which is a successful Indian Railways initiative. The online classifieds segment is broadly divided into three sectors; Jobs, Matrimonial and Real Estate. Mobile Commerce is also growing rapidly and proving to be a stable and secure supplement to E-Commerce due to the record growth in mobile user base in India, in recent years. Websites like tradeindia.com have more than 700,000 registered buyers and the growth rate of 35% every year followed by Indiamart.com which claims revenues of more than Rs. 38 crores and growing at a rate of 50% every year. The total B2B transactions in India have crossed US$100 billion showing 30% to 40% growth. In near future, E-commerce is also going to play a major role in multimedia, entertainment and fashion industry. The foreign branded companies are eager to take full advantage of the growing Indian market and are trying to create market for their products over the net. Gucci Co. an Italian iconic fashion and leather goods label is eager to make its hold in India with Business to business transactions. Some of the key B2B exchanges in India are tradeindia.com, matexnet.com, Alibaba.com, AuctionIndia.com, Indiamart.com, TeaAuction.com, MetalJunction.com, etc. Although business-to-business transactions play an important part in e-commerce market, a share of ecommerce revenues is also generated from business to consumer transactions. Railway and Airlines have played a vital role in e-commerce transactions in India. Travel portals are exploding in India. Recently makemytrip.com has shown Rs 1000 crores of turnover. Travel alone constituted 50% of Rs 4800 crore online
market in 2007-08. In India, online services like ticketing, banking, tax payment, bill payment, hotel room booking, entertainment, online games, matrimonial sites, job sites, etc. are showing signs of development in business-to-customer transactions. There has been tremendous boost in the online business with the stock exchange coming online. Online valentine gifts and Diwali gifts are also becoming popular along with the birthday cakes. Undoubtedly, with the middle class of 288 million people, online shopping shows unlimited potential in India III. WHY REDEFINING IN E-COMMERCE? To introduce innovative and emerging aspects of Ecommerce. To make electronic business standardized. To expand the business electronically. IV. CHALLENGES Apart from all the success of E-Commerce in India, there are following challenges that need to be solved: A. Logistics First and foremost, the suppliers or vendors must improve their technology and fulfillment processes. Currently, a lot of customer issues occur because the fulfillment partner either shipped a wrong product or wasn't able to track the shipping details. For customers to trust this channel, they must see consistency in execution. The critical step in making this happen is for the online retailers to tightly integrate their systems with the backend fulfillment vendors. The online retailers must start enforcing strong penalties on vendors who are failing on execution. Better margins at the expense of product quality or execution should not be an option. B. Taxation and Government Policy The government must do more to standardize policies related to online shopping. The octroi and rules related to shipping products across different states must be standardized. Additionally, there should also be recourse available to customers who are victims of online fraud or bad trade practices that are polluting the online environment. C. Consumer Behavior The biggest difference between US and Indian customers is that the Indian customer's shopping behavior is still very need driven. In US, a number of business models have thrived because there is a large segment of customers who are impulse and deal driven. They may not have a need to buy the hand held
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navigation systembut just because it is cool, and is available for a 60% discount on a website may be reason enough to purchase it. D. Capital Requirements For an Indian company trying to put a successful website on the world-wide-web, will not only have to work hard but pray hard too to get either funding or a credit line from a bank. The Indian banks are pathetic as they would want to see 2-3 yrs of Balance Sheet with Profits, because they just dont understand that these new Online business avatars, where there is no inventory but only Human and Tech capital. So, the biggest challenge for any new website in India is Capital. E. Payment Collection In India a significant share of the revenue (~4% or more) is given to bank when net banking facility is used. With a business of thin margin, this effectively means that a company is parting away with almost half of its profits. Fraudulent charges, charge backs etc. all become merchants responsibility and hence to be accounted for in the business model. V. FINDINGS OF THE STUDY The main focus of our study is to highlight the overall contribution of E-commerce towards the standardized functioning of the various business activities in India. The main findings of our study are as follows: E-commerce industry is growing at a very fast rate in India. In the present Globalization era, Business organizations align their objective and vision with the emerged applications of information and communication technology. E-commerce is a key source to make business managers more aware and familiar with the emerged technological trends in Indian business market. E-Commerce can help to expand local market to both national and international market places. E-commerce in India gaining popularity among small businesses and even consumers.
In order to increase consumer adoption of eservices, the sources of consumer confusion, apprehension and risk need to be identified, understood and alleviated. E-commerce provides tremendous opportunities in different areas but it requires careful application for consumer protection issues. Business organizations are facing some critical challenges that hinder the growth of their electronic business. VI. CONCLUSION E-commerce in Indian business has its major contribution towards the standardized and sustainable business that can further lead to the sustainable economy. Therefore business managers should realize the significant role and importance of E-commerce to expand their businesses. As many companies, organizations, and communities in India are beginning to take advantage of the potential of e-commerce, there are certain critical challenges that still remain to be overcome before e-commerce would become an asset for common people. The Indian Government should actively solve these challenges faced by the companies and redefine the structure of E-Commerce in India. REFERENCES
Bajaj, K.K., Country Report on E-Commerce (India, Ministry of Communications and information Technology, Department of Information Technology, Office of the Controller of Certifying Authorities) [2] NASSCON and BCG, 2001. E-Commerce Opportunities for India Inc. (study report prepared by NASSCOM and the Boston Consulting Group) (July 2001) [3] Department of Telecommunication, India, 2010. DOT Annual Report 2009-2010 [4] Catering to Affluent Shoppers Online, eMarketer SEPTEMBER 24, 2010 [5] Mauricio S. Featherman, Joseph S. Valacich & John D. Wells (2006); Is that authentic or artificial? Understanding consumer perceptions of risk in e-service encounters; Information System Journal; Vol.16, 2006; pp. 107134 [6] http://india-growth story.blogspot.com/2008/01/ecommerceindustry-in-india.html [7] http://archives.cnn.com/2000/LAW/06/29/india.IT.law/index.ht ml [8] http://www.internetworldstats.com/asia/in.htm [9] http://blog.johareez.com/tag/e-commerce-business-statistics-ofindia/ [10] http://dqindia.ciol.com/content/ebiz/etrends/101012902.asp [1]
Health Care Industry Providing Low Cost Solutions

Navneet Kaur Bajwa and Sonika Aggarwal
Research Scholars, Lmtsom Thapar University, Patiala I. INTRODUCTION This paper discusses various low cost solutions and services provided by health care industry in India to cater the billion plus population. Indian scenario (where people need to pay out -of-pocket since 85% of Indian population is uninsured and with lesser ability to pay) forces big giants like GE, Apollo, Narayana Hrudayalaya, Arvind and many more to focus on: Lowering costs in health care, increasing access of health care and improving the quality of health care to sustain in existing free health care market in India. II. HEALTH CARE INDUSTRY There are five major healthcare systems, classified on the basis of private vs. public finance; and private vs. public provision. reasons, has not expanded covering only a fraction of total consumption. Thus the largest proportion of care is financed through direct out-of-pocket payments to service providers. Demand increases and supply expands, but the lack of massive state intervention and third-party financing creates markets where middle- and upper class patients have purchasing power -backed real choice. According to the Health care report May-2010, there are 16000 hospitals with 1 million beds, and the bed ratio of 0.7 per 1000 population (0.7:1000) and doctor population ratio of 0.6:1000. In order to reach the average level of 1 bed per 1000, it needs three lakh beds more which calls for an investment of Rs 75000 crores. Compare India figure of bed-population ratio with that of the west (1:250). The World Health Organization prescribes the ratio at 1:450. In order to achieve this, the country needs to invest Rs 40000 crores a year in the next ten years. Now taking the figures from the annual budget of India 2011, health care has Rs 26,760 crores (from `22,300 crore in 2010) which seems to be good on paper, but in actual fact this is just a standard hike thats not good enough because it does not take into account the full impact of inflation in the past year.
Healthcare budget Healthcare budget in in 2010 (in crores) 2011 (in crores) 22,300 26,760 Healthcare budget required in 2011 (in crores) 40,000
None of the five basic models can claim to be the solution that satisfies the needs of all constituencies, patients, families, the medical professions, the national health authorities, or the taxpayers. Out-of-pocket systems lead to gross inequality and deprivation to the poor. The Beveridge and Bismarck models are mired with poor access, long waiting times and rampant cost inflation. Private insurance systems exhibit several system failures leading simultaneously to unequal access and unnecessary care, medicalization, and suboptimization. Neither hierarchies nor markets seem to work. III. HEALTH CARE INDUSTRYINDIA Health care industry in India features a universal health care system run by the constituent states and territories of India. According to the law, all Indian citizens are eligible to public care. However, the State spends only 1.4% of its tax revenues on healthcare, leaving public hospitals massively overcrowded and underfunded. Private health insurance, for various
Chart 1: Budget Allotted in the 2010, 2011 and the Required Budget 2011 to Reach the WHO Prescription
So in order to overcome this gap the decade ahead should be one of inclusive health for all Indians where innovation and new healthcare technologies change the paradigm of health delivery at the rural and semi-rural level.
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IV. LOW COST INNOVATION/SOLUTION AND SERVICES The focus of the government should be that quality healthcare reaches the poor at affordable prices and is accessible to them. Thus many big giants like GEH (General Electric Healthcare), Apollo, Narayana Hrudayalaya, Arvind Eye care, Aurolab, Wockhardt, etc. have come up with various low cost innovations (thus cutting down the cost without compromising with the quality), which includes low cost equipments and low cost services to cater the urban, rural and semi rural parts of the country. A. Low Cost Equipments General Electric Healthcare is in a phase of transition and enthusiasm at the moment. It has focused on its Healthymagination which has three goals: lowering the cost of healthcare, increasing the access of healthcare and improving the quality of healthcare. V Raja, president and CEO (South Asia) GEH states What we sell in India we also sell in US. The features might be less in these medical equipments, but the quality is the same. We also want to bring in innovative solutions aligned to the market needs which could be products that you make specifically for this market, solutions that you do specifically for this market. We believe that we help in creating some new market. Concepts such as reverse innovation are needed to increase affordability and access to healthcare. The company has developed 14 such products locally some of which have been discussed in this paper. B. MAC 400 and MAC i Heart disease is the number one killer globally, and 60% of cases are from India. ECG testing is the first step in early detection. 75% of Indias population lives in rural areas while 80% of Indias healthcare providers are clustered in urban cities, thus accessibility and reach ability is one of the major concern. With the MAC 400 and the MAC i, GE made it possible to move ECG testing from the cardiologists domain to that of a general physician anywhere in the country. The MAC 400 is priced at one-third that of a imported ECG system of similar quality and MAC i at half the price of MAC 400, thus brings down the cost to Rs 25,000. GE targets to sell it to every one of the 6 lakh General Practitioners in India, so that patients do not need to run to a cardiologist at the drop of the hat. C. Ultrasound Device Ultrasound devices that would wrap around the womans belly, thus reducing the training cost required for the technicians. Current machines depend upon the trained and skilled technicians to guide a probe over the abdomen. This ultrasound would simply require to be
correctly placed. Thus a big advantage in countries where shortage of technicians and training exists. V. LOW COST INCUBATORS According to the healthcare report May 2010, the infant mortality rate per 1,000 live births is 26.2. A lowweight baby weighs less than 1.5 kg at the time of birth, and lack of proper care can lead either to death or complications later in life. In rural areas many a times baby takes birth at home itself and no such facility is available by the local practitioners and the child is not kept warm enough. About 80 per cent of these deaths can be prevented if the baby is provided adequate warmth in its first month. Two types of baby warmers were innovated one which operates on electricity, for hospitals, and another that uses boiling water, for rural areas. The incubator comprises a heater, a wax pouch and a sleeping blanket. The heater switches off as soon as the wax pouch reaches 37 degrees Celsius. It can then be placed inside the blanket, and remains warm for four hours. Conventional incubators cost anything upward of Rs 30,000.Thus, this electric version low cost, significant, portable infant warmer will be sold out by General Electric Healthcare that will cost just Rs.3,000. VI. LULLABY The Lullaby Phototherapy System, designed and developed at GEs R&D Centre in India, is part of their In India, for India program. According to various neonatal experts, jaundice is one of the most common conditions requiring medical attention in newborns. GEs Lullaby Phototherapy System, a unique phototherapy system, combines high levels of clinical performance and with a simple flexible design. Lullaby delivers phototherapy healing anywhere in the Neonatal ICU, Pediatrics ICU, and in a Well Baby Nursery. The Lullaby Phototherapy System is exceptionally durable and easy to maintain. A. Low Cost ServicesIndia In India, there is a huge gap between haves and have-nots. Urban population gets the advantage of relatively fair health care but the rural population is often deprived of even basic elementary care. With a mission to bridge this gap, several hospitals have made a successful attempt to provide world-class healthcare for rural and semi-urban consumers at rock-bottom prices. In terms of innovation, scalability and management strength, they are climbing the mountain overcoming the hurdles in their paths. They have business model of offering best healthcare facilities at low cost to the poor and needy. Below are some such hospitals.
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VII. ARAVIND EYE CARE SYSTEM Recipient of the 2010 Conrad N. Hilton Humanitarian Prize, Aravind Eye Care System is the largest and most productive eye care provider in the world. In 1976, Dr. Govindappa Venkataswamy opened an 11-bed eye clinic to eliminate needless blindness in India. Of the world's 45 million blind people, 12 million live in India, where extreme sun and genetics lead many to develop cataracts in their 40s and 50s, dramatically shortening their productive years.Cataracts are almost always curable, but the poor often cannot afford the surgery needed to restore vision. To respond to this enormous challenge, Venkataswamy looked to the efficiency of McDonald's franchise businesses and created a new healthcare model that combines high quality and high volume with low cost. Dr.V founded his own Aurolab to re-engineer technologies available in the west to suit local conditions and design manufacturing systems that allowed it to provide inexpensive lenses for Aravind's low-cost cataract surgery. VIII. VAATSALYA HEALTHCARE Dr Ashwin Naik, 37, and Dr Veerendra Hiremath, 35 set up Vaatsalya in Karnataka, a unique model of affordable hospital network in under-served tier II and III towns. Today, Vaatsalya operates 4 hospitals on a hub-and-spokes model. Their entire premise endeavour rests on affordable healthcare at consultancy fees ranging from Rs 25-60. Their goal is to be the leading low-cost but high quality service provider in its geographies of operations. Vaatsalya as its model has shown that low cost doesnt necessarily mean low quality and that scalable and profitable business model can be built while providing lower priced health care services. We follow the Air Deccan model of healthcare with special emphasis on quality and service," says Dr. Naik. We believe Vaatsalya will revolutionize low cost delivery model IX. NARAYANA HRUDAYALAYA At Dr. Devi Shettys Narayana Hrudayalaya Institute of Cardiac Sciences in Bangalore, the patients get cardiac care at a cost lower than any other hospital in the country and at a fraction of what it would cost elsewhere in the world, a feat accomplished through what he refers to as "process innovation". Dr. Shetty came to the conclusion that the health care industry needs more process innovation than product innovation. Dr. Shetty's premise of economies of scale is not radical; in fact, the doctor describes his way as "the Walmart approach"
According to HBS professor Tarun Khanna, It's kind of a Robin Hood hospital. When you walk in with a heart ailment, if you can pay, you pay; if you can't pay, you get treated for free. It doesn't matter what your heart ailment is.of these, about 30% are covered under a micro-insurance plan for health care called Yeshasvini that reimburses Narayana Hrudayalaya at about US$1,200 a surgery. X. AMRITA INSTITUTE OF MEDICAL SCIENCES Nestled in the palm-fringed backwaters of Kochi, the Amrita Institute of Medical Sciences and Research represents the fruition of Mata Amritanandamayi's dream of providing a world-class institution to impart healthcare to the poor and needy in Kerala. The beneficiary, who received either free or concessional treatment, accounted for 63 per cent and even the remaining 37 per cent enjoyed highly subsidised treatment. A free drug bank is functioning in the hospital campus where patients who cannot afford to purchase the medicines prescribed to them, are supplied with their drugs totally free of cost. This all amounts to Rs 73 crore in charity towards healthcare services alone. XI. LIFESPRING HOSPITALS In December 2005, when Anant Kumar set up a hospital offering maternity and childcare services in Hyderabad targeting low-income customers by pricing services at about a quarter of what other hospitals charged, it was an instant success. Set up as a pilot 25bed facility by a trust run by Hindustan Latex Ltd, the facility addressed a need that is felt all over India: affordable mother and child healthcare. LifeSprings business model is one-of-its-kind; it aims to serve as a model for providing high-quality maternal and child health services to the poor in India as well as worldwide. The hospital focuses on a particular niche of maternal health and achieves high quality within that niche through its process-oriented methods. This is its most important differentiator, and has contributed immensely to its success. The LifeSpring hospital chain is showing that a high quality normal delivery can be done for Rs 3,000 and a Caesarean section for Rs 9,000. LifeSprings for-profit (but not profitmaximizing) model allows us to achieve our dual goals of fulfilling our social mission while achieving financial sustainability. XII. LIFELINE EXPRESS The Lifeline Express, better known to be the Jeevan Rekha Express, is a unique idea started by Impact Indian Foundation. With its motto of reaching out to everyone,this train holds key to open health and treatment opportunities to the underprivileged parts of
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the society . This train covers more than 63, 500 kilometres, benefiting more than 600000 Indians, who mostly live in rural areas and face an acute scarcity of facilities and medical specialists. Not only does this train cover backward areas but it also goes in the regions, which have been struck, by natural calamities and catastrophes. The model is that of a public-private partnership. XIII. CONCLUSION Healthcare sector is one of the major industry the Think-tanks are interested in. Reason being the healthcare industry in the developed nations is collapsing due to saturated models. The innovative models emerging in India due to high volume and lesser ability to pay, thus are following the C.K.Prahalads vision of serving the bottom of the pyramid by keeping the costs and margins low but catering to the entire volume. Apart from the above mentioned low cost solutions, various giants in the pharmaceutical industry such as Mankind, Cipla, Ranbaxy are following the same vision and thus targeting the entire set of population by innovations such as generic drugs etc. This is the main reason that economists from the west are looking at these models and its sustainability to provide relevant solutions for their saturated healthcare industry.
REFERENCES
[1] Bitner, Mary Jo, Bernard H. Booms and Mary Stanfield Tetreau (1990), The Service Encounter: Diagnosing Favorable and Unfavorable Incidents, Journal of Marketing, 54, (January), 7184. [2] Bitner, MJ., Farada, W.T., Hubbert, A.R., and Zeithaml, V.A.(1997), Customers Contributions and Roles in Service Delivery. International Journal of Service Industry Management, Vol.8, No.3, pp.193205. [3] Bohmer, R., 2009. Designing care : aligning the nature and management of health care, Boston Mass.: Harvard Business Press. [4] Bullinger, H.-J., K-P Fhnrich and T.Meiren (2003), Service Engineering - Methodical Development of New Service Products, International Journal of Production Economics 85, 275287. [5] Christensen C., Grossman J. & Hwang J., 2009. The Innovators PrescriptionDisruptive Solutions for Healthcare. McGraw-Hill, New York. [6] Eisenhardt K., 1989. Building Theories From Case Study Research. Academy of Management Review, 14 (4). 532550. [7] Fitzsimmons, James A.and Mona J. Fitzsimmons (2006), Service Management. Operations, Strategy, Information Technology. Fifth edition. New York: McGraw Hill. [8] Fliess, S. and Kleinaltenkamp, M. (2004), Blueprinting the Service Company, Journal of Business Research, Vol. 57, pp. 392404 [9] Hsiao W., 1995. Abnormal economics in the health sector. Health Policy, (32) 125139. [10] Kotler P., Shalowitz J. & Stevens R., 2008. Strategic Marketing for Health Care Organizations: Building a Customer-Driven Health System. Jossey-Bass, Hoboken.
Emerging Trends in Qualitative Research

Pinki Insan1, Dr. D.P. Warne2 and Monika Aggrarwal3
Lecturer, Shah Satnam ji P.G. Girls College, Sirsa, Haryana-125055 2 Reader, Chaudhary Devi Lal University, Sirsa, Haryana-125055 3 Lecturer, Shah Satnam ji P.G. Girls College, Sirsa, Haryana-125055 e-mail: 1pinkiinsan@yahoo.com, 2dpwarne_mgt1@yahoo.com, 3monika77aggarwal@rediffmail.com
AbstractAs society transforms and is transformed by new technology, so there are new ways in which qualitative researchers collect and analyse data and new forms of data to collect. More than ever, qualitative research is in the process of rapid change. Technology is playing a greater role at all stages of the research process and, at the same time, so is the high touch method of ethnography. Among the trends influencing these changes are: the proliferation of online methodologies and social media, the growth of hybrid methodology, a shift from the respondent to participant model, the impact of physiological measurement, and the continued push to faster/cheaper research.The aim of the paper is to provide a pragmatic overview of major developments and newer emerging methods. The digital form much audio and video data now takes makes possible new ways of creating, processing and analysing such data. Digital technology has also meant that new ways of analysing data through computer assisted qualitative data analysis (CAQDAS) are now possible. There is now a range of such software and, in response to demand, developers are still adding new features and functions that researchers need to understand. The diversity of software means that there is a need for standards for storing and exchanging qualitative data and analyses.
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collected and recorded and on what kinds of analysis it makes possible has continued to the present day. In the 21st century, the use of new technology still raises issues like what should be analysed, how it should be analysed and in what ways the knowledge and understanding gained are different and more or less well founded than those gained in more traditional ways. The papers in this issue address both these impacts of the technology: new ways of recording and collecting data, and new ways of undertaking the analysis. Most researchers recognise that in most cases, the use of new technology usually affects both. II. DATA GATHERING Audio recording is an analogue technology, as are film and traditional video. There is a long history of their use in many areas of social and psychological research and especially in anthropology. Recent changes in this technology have taken several forms. First it has become cheaper and more widespread. This means that the technology is more available to researchers, but also that the people being researched are more used to being recorded by the technology and even familiar with using it themselves. For example, in the case of video, people are now used to being recorded whether as part of a "holiday video" or as part of the now widespread CCTV (Closed Circuit Television) security systems. They are often familiar with making their own video recordings and with "reading" the wide variety of video material they are presented with. Both the cheapness and ubiquity of the technology mean that there are new opportunities for researchers not only to record settings but also to use the technology to create new data. Naturally, the use of such technology raises issues of interpretation, impact and validity that researchers need to deal with. The development of information technology and particularly the growth of the Internet has created not only new ways in which researchers can analyse their data, but also created whole new areas from which data can be collected and ways in which it can be collected. The former include discussion lists, text forums, personal Web pages and videoconferences. The latter include usage logs, text content logs as well as digitised recordings. At its most basic, the Internet, and e-mail in particular, offers a new way of carrying out the traditional, qualitative, face-to-face interview. The
I. INTRODUCTION Perhaps the earliest use of technology in qualitative research was when researchers first used tape recorders in their field studies to record interview sessions. In one sense this was clearly an easier way for researchers to keep a record of events and conversations, but it had two unforeseen consequences. First, it began to shift the effort of work in making a record of sessions from the researcher (who traditionally took handwritten notes) to others, such as secretaries and audio typists. This separation had an impact not only on how close to (or distant from) the data the researcher could remain, but also on the relationship between the data and the emerging analytic ideas of the researcher. Having a recording and a transcript meant that new ways of thinking about how the analysis developed out of the data and how the analysis was supported by the data became possible. Second, it allowed different kinds of analysis that could only be undertaken if accurate records of the speech were kept. This made possible a focus on the small scale and minute content and characteristics of speech. It also opened up the possibilities of much larger scale studies and the use of multiple researchers and analysts. The dual impact of new technology both on what kinds of data can be
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advantages and disadvantages of this and the issues it raises for research are discussed by BAMPTON and COWTON (The E-Interview). As they point out, one key advantage here is that there is no need for transcription. Moreover, the e-interview might enable research about new social groupings, given that constraints of time, travel and financial resources do not apply. However, problems of how to establish and preserve rapport are created and the authors explore the issues that arise from the physical remoteness between interviewer and interviewee and the absence of cues and tacit signs provided by body language. As they point out, researchers need to be aware of the speed at which they should reply and at which they can expect replies from respondents. However, given the necessarily extended duration of e-interviews, there is no reason why several respondents cannot be interviewed at the same time. At the moment too, as they point out, researchers need to be aware of the biased samples that might result from surveying only those with good e-mail access. III. COMPUTER ASSISTED QUALITATIVE DATA ANALYSIS (CAQDAS) It is clear that the introduction of new technology has both expanded the ways in which qualitative researchers can collect data and also the settings and situations from which data can be collected. The other major impact of technology on qualitative work discussed in this issue has been on how the analysis is done. Computer assisted qualitative data analysis software (CAQDAS), a term introduced by FIELDING and LEE as the name of their networking project (http://caqdas.soc.surrey.ac.uk/) refers to the wide range of software now available that supports a variety of analytic styles in qualitative work (LEE & FIELDING 1995). WOLCOTT in his discussion of qualitative analysis makes a distinction between analysis that is data management, in other words, that is concerned with the more effective handling of data, and analytic procedures, where features and relationships are revealed (WOLCOTT 1994). It is the common experience of researchers carrying out qualitative analysis that such work requires careful and complex management of large amounts of texts, codes, memos, notes and so on. The prerequisite of really effective qualitative analysis, it could be said, is efficient, consistent and systematic data management. The early programs focussed on data management and those most available now provide considerable assistance in these activities. The use of such text retriever and textbase manager programs, and related facilities such as simple searching in CAQDAS, is relatively uncontentious. In fact many of these aspects of data management do not need dedicated CAQDAS and much can be achieved with the use of other commonly available software such as word processors and databases. Such possibilities are
examined by NIDERST (Computer-Aided Qualitative Data Analysis with Word) in this issue. This paper explains how data have to be set up for analysis and how the table function and "search & replace" command in Word can be used for basic sorting and retrieving tasks. An analysis according to data attributes (or variables) like age, gender, profession, etc. is also possible. There is a clear advantage in that the software is widely available and most of its functions are familiar to qualitative researchers. IV. THE QUALITY OF QUALITATIVE RESEARCH Much of the thinking about the quality of research in general originates in ideas derived from the examination of quantitative research. Here there is a strong emphasis on ensuring the validity, reliability and generalizability of results so that we can be sure about the true causes of the effects observed. There has been much debate about whether such ideas can be applied to qualitative data and, if they are applicable, what techniques might be available to qualitative researchers to help ensure the quality of their analysis. The issues of quality in qualitative research have been tackled in part by recognizing that, in the absence of the techniques available to quantitative researchers, qualitative analysts have to pay more attention to how they write about their data and present their reports. Another response by those undertaking qualitative analysis has been to focus on the possible threats to quality that arise in the process of analysis. There is a variety of such threats, including biased transcription and interpretation, the overemphasis of positive cases, a focus on the exotic or unusual, the ignoring of negative cases, vague definitions of concepts (or codes), inconsistent application of such concepts to the data and unwarranted generalization. Qualitative research is going beyond in-person focus groups and experiencing a revolution for the better. Jim Bryson, president of 20/20 Research recently did a great presentation at the Fort Worth monthly luncheon organized by the DFW AMA about the latest online qualitative research techniques.Thanks to the development of new online platforms, the qualitative research field have seen an explosion of new online qualitative research techniques that makes it possible to collect data in ways we couldnt before. Among the new online qualitative research techniques, we now have: Bulletin boards Immersion IDIs Mobile qualitative Quantitative-Qualitative hybrids Real time chats Research blogs Research communities Social networking monitoring
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Video journals Webcam focus groups Web-Intercepts/chats These new online qualitative research techniques have often made qualitative research better, faster and cheaper (not always). Studies using these online qualitative research techniques can be deployed pretty quickly and provide immediate access to transcripts or videos for review. Mobile qualitative research, according to Bryson, will definitely be part of market researchs near future. This can be easy and comfortable for the participants, although for now is limited to text only. This technique can be used for reaching to difficult groups, send reminders about homework given to study participants, and do research at the point of consumption. Another approach getting traction is hybrid research, where quantitative and qualitative research are combined in one data collection opportunity. 20/20 Research recently launched a new service called Quallink where participants start in a survey and then are enrolled in a qualitative study. Hybrid research can also be done using Survey Gizmo, which has the capability to integrate online surveys with chat sessions from iModerate. There is no question that qualitative research has come a long way and that all these new techniques make this field exciting and promising, but before you get carried away by all the excitement, dont forget to have clear research objectives and evaluate if these techniques are a good fit for what you want to accomplish. V. THE FUTURE
article. However, it is important to note that the information contained in this manuscript could easily be applied to other hidden populations such as HIV positive individuals, sex workers, substance abusers, and runaway/homeless/throwaway youth. The use of technology-based methods for locating study participants, collecting data, and creating web-based communities were also described. Important considerations in conducting technology-based research were detailed such as accessibility and security of the technology, motivation and trust of the researcher, confidentiality, and the researchers altered role in relation to participants. Even with the drawbacks of technological tools, technology-based research methods can offer exciting possibilities for both researchers and study participants, recruiting globally being one of them. Because technology is ever changing, researchers would be wise to keep abreast of technological innovations and the myriad ways they may be useful in enhancing the research process with hidden populations. REFERENCES
[1] Dey, Ian (1993). Qualitative Data Analysis: A User-friendly Guide for Social Scientists. London, New York, NY: Routledge. [2] Fielding, Nigel G. (2002). Automating the Ineffable: Qualitative Software and the Meaning of Qualitative Research. In Tim May (Ed.), Qualitative Research in Action (pp.161178). London: Sage. [3] Fielding, Nigel G. & Lee, Raymond M. (1998). Computer Analysis and Qualitative Research. London: Sage. [4] Friese, Susanne (2000). Self Concept and Identity in a Consumer Society: Aspects of Symbolic Product Meaning. Marburg, Germany: Tectum. [5] Glaser, Barney G. & Strauss, Anselm L. (1967). The Discovery of Grounded Theory: Strategies for Qualitative Research. Chicago: Aldine. [6] Lee, Raymond M. & Fielding, Nigel G. (1995) User's Experiences of Qualitative Data Analysis Software. In Udo Kelle (Ed.), Computer-aided qualitative data analysis: theory, methods and practice (pp.2940). London: Sage. [7] Mangabeira, Wilma C. (1995). Computer Assistance, Qualitative Analysis and Model Building. In Raymond M. Lee (Ed.), Information Technology for the Social Scientist (pp.129146). London: UCL Press. [8] Mangabeira, Wilma C. (1996). CAQDAS and its Diffusion Across Four Countries: National Specificities and Common Themes. Current Sociology. 44(3), 191205. [9] Seale, Clive F. (2001). Sporting Cancer: Struggle Language in News Reports of People with Cancer. Sociology of Health and Illness, 23(3), 30829. [10] Seale, Clive F. (2002a). Cancer Heroics: A Study of News Reports with Particular Reference to Gender. Sociology, 36(1), 107126. [11] Seale, Clive F. (2002b). Computer-Assisted Analysis of Qualitative Interview Data. In Jaber F. Gubrium & James A. Holstein (Eds.), Handbook of Interview Research: Context and Method (pp.651670). Thousand Oaks, Ca: Sage. [12] Wolcott, Harry F. (1994) Transforming Qualitative Data: Description, Analysis, and Interpretation. London: Sage.
As we have discussed above, one of the recent changes in the technology that qualitative researchers deal with is that it is now almost all in a digital format. This is what some have referred to as digital convergence and it means that a range of new approaches both to data collection and to data analysis are now possible. We shall know the use of new technology in qualitative research has really arrived when researchers use new forms of data and new types of analysis that hadn't even been thought of in the pencil and paper past. Whether this has happened is contentious, but we think that the papers in this issue provide sufficient evidence to support the view that new technology has allowed the investigation of truly novel data types and the use of new and distinctive forms of analysis. VI. CONCLUSION As social work researchers, we feel a particular commitment to conducting research with marginalized and vulnerable populations. It is this dedication to learning more about those groups who have historically been unserved and underserved that served as the impetus for researching the methods presented in this
Strategic Planning in Libraries

Kirti Singh1, Taru Mittal2 and Shilpi Goyal3
Librarian SSD Womens Institute of Technology, Bathinda Lecturer SSD Womens Institute of Technology, Bathinda 3 Lecture SSD Womens Institute of Technology, Bathinda e-mail 1rishikeerti@yahoo.co.in, 2taru275@gmail.com, 3shilpigoyal8@gmail.com
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AbstractStrategic Planning in Libraries is absolutely necessary in view of the present day rapid advances in technology. Most libraries are in the area of education and research, in a college or University supporting both teaching and research. Strategic planning should be a cooperative effort with inputs from administration, the computer center personnel, faculty, students and the library staff. Role of librarian is increasingly important during the strategic planning, as educator and leader within the process, whether the process happens within the library or in the Institution. The strategic plan developed should offer a pattern that integrates major goals, policies and actions of the institution into a cohesive whole. It should help allocate resources, capitalize on relative strengths and militate against weaknesses etc. This paper details well defined strategic plans for the library to set a clear direction, allow looking at the strengths and weaknesses with the environment, and devoting resources to strengthen support in the core areas of teaching and research.
Development of a competitive strategy to achieve the mission Creation of the library structure which will deploy resources to successfully carry out its competitive Strategy. III. PLANNING ENVIRONMENT
University Libraries are affected by many changes in education and research that had impact on the University as a whole. In addition there are other factors in the environment that are of specific importance to libraries as they plan for the future. Some of the important factors include: IV. CHANGES IN ACADEMIC LIBRARIES Academic Libraries are on the path to change in India slowly. Libraries are also in the midst of expanding the building space for traditional collections apart from new forms of media and non-traditional information resources. Traditional models of academic library services are insufficient to meet current requirements and the librarians need to engage in devising new models. Post-contest analysis of the entries revealed that most essays addressed one of three major themes: technological developments, library function, and librarians' roles.. Reconsiderations of library function, however, ranked a close second in popularity, while essays dealing with librarians' roles and behavior came in third. V. CHANGES IN TECHNOLOGY The increasing online environment is resulting in users who are more technology savvy and are demanding and expecting more from the libraries. The potential of delivering information anytime anyplace challenges libraries to re-examine how space is organized and used. It is necessary to create new modes to deliver services to the users desktops even outside the campuses. As more resources are created via the web, issues arise elated to licensing, archiving, security and access. Librarians are challenged to develop new technical skills and abilities to validate the quality of information resources over the web VI. CHANGES IN PUBLISHING The transition from print to electronic distribution brought significant disruption to the publishing industry
I. INTRODUCTION Strategic planning is a management tool to help the libraries to do better. It is used to determine mission, vision, values, goals, objectives, roles and responsibilities, timeliness etc. This is a disciplined effort to produce fundamental decisions and actions that shape and guide what the library is, what it does and why it does it, with a focus on the future. Strategic planning is only useful if it supports strategic thinking and leads to strategic management. The world in which libraries have operated has changed dramatically in the last several decades. For centuries, the basic operational structure of libraries remained unchanged. Librarians from different eras could have easily adjusted to working in libraries from different times. However, the advent of the World Wide Web and the shift of information resources to electronic format have resulted in a revolution in the ways that libraries are operated and how patrons are taught about library resources. II. STRATEGIC MANAGEMENT IN LIBRARIES This is the application of strategic thinking the jobs of leading the library. This has the following three elements: Formulation of the librarys future mission in the light of changing external factors such as regulation, competition, technology and the users.
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and also marketing the resources. The challenges are traditional scholarly communication converting the traditional publishing to the digital environment; new intellectual property rights issues, alternatives to journals and dramatic increase in all forms of information content etc. VII. CHANGES IN EDUCATION Innovations in the design and delivery of education to reach to the people are on the increase. But effectiveness of such innovations and the impact on the faculty productivity is still not clear. The new modes of learning need different approach and new support system for both students and the faculty. A. Changes in Research Environment Research funding, which was with government support is now available from public and private sources. While these new partnerships are important to the research, they also raise issues about the priorities, type of resources and support and the faculty interest, addressing the legal issues etc. only established Research libraries remain unaffected by these challenges in research funding. B. Strategic Planning Principles In developing a strategy it is important to ask right questions to formulate right choices. The typical right questions for the academic libraries to answer are: What do libraries need to do to support excellence in the students How the library can support divergent research needs, on and off campus including support in collaborative research. How the library can continue to facilitate and preserve developments in knowledge across the campus and in the wider scope of research and scholarship How to participate actively in campus-wide solutions to information technology applications to support teaching and research. How the library can contribute and strengthen the life on campus in the institution. Libraries in the academic institutions are creative partners in the research and learning process. They select, organize, present and preserve information resources relevant to education and research in the Universities. The libraries want the university community to think first when they need information. Todays complex and challenging environment requires the libraries to focus on core mission and willingness to experiment. Small changes may meet the universitys short-term needs but they will be inadequate to sustain excellence on the long term needs.
C. Focus and Action Plans Providing rapid, easy and precise access to high quality information to support teaching and research. The challenge to the libraries is to provide userfriendly, integrated, responsive and precise access to all resources in any medium in all relevant disciplines wherever and whenever it is needed. This requires libraries to develop tools to merge an invaluable traditional asset with emerging forms of research and instruction. Simply providing access is not sufficient specific needs. This requires the librarian to play the increasingly important roles of evaluator and organizer of information and educator of users. Librarian requires new skills and approaches to be successful in meeting the user requirements. Another important aspect of access is availability of access over time. In addition to providing access to current materials, the preservation and sustainability of resources, whether owned, developed or accessed, whether in print or electronic is an important goal that must be fulfilled. Emphasis should been relevance and excellence to define the standard for best practices in the libraries. D. Action Plan Expanding network based access to collection by providing online digital resources whenever needed. This strategy focuses on the need to continue to build collections that provide the best and most relevant resources to the university community and ensuring ease of access for users. As more digital resources become available the library staff needs to develop tools and processes to add an expanding variety of digital contents to supplement the library resources to contribute to the libraries goal of excellence. In the cases of materials not owned by the library, the challenge is to develop a systematic approach that ensures timely and accurate delivery. In both the cases the focus is delivery of services to the expectations of users. Improve service to the students and faculty by reducing fragmentation, expanding service. Hours and developing training programs in the evaluation and use of information resources. For faculty and students needing access to the libraries print resources, the fragmentation of the physical collections and need for useful bibliographic records as the teaching and research become more distributed and more interdisciplinary. The library to provide space and operate to facilitate intellectual life in the University Libraries must be creative partners in the research and teaching process of the University. This requires the library to redefine its role and acquire a place of recognition to information. Libraries now must provide easy access to all media and learning tools to facilitate variety of working modes to the users. By providing both access to media and resources and opportunities for
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conversation and collaborative work, the library truly becomes a place for active academic work. Today such space is lacking. The students are looking to the libraries for space that contributes to quality of life and intellectual growth. VIII. ACTION PLAN Create space that meets the needs of the academic community. The needs that should be addressed are: Secure individual study space Group study and project space, both quiet and noisy Space that is conveniently located Exhibition space for displays and to host events Space that is accessible and secure with 24/7 with minimal staffing but with access to resources and information. Easy access to library caf Multimedia space A. Create Space that Meets the Needs of Current and Future Library Operations It is necessary to reassess the present space and redesign the space slowly with additional construction, if necessary. Most independent library buildings on the campuses can be remodeled to suit to the requirements with future expansions. B. Incorporate Appropriate Emerging Information Technologies in to Librarys Space There are many high-end technological advances, such as high bandwidth access wireless capability, that are sufficiently expensive to warrant deployment as shared resources. Librarys IT infrastructure should mould into the universitys IT infrastructure. To be a leader among academic institutions in the use of information technology Information Technology has dramatic impact on expectations regarding the definition and scope of libraries. But unfortunately, the gap between expectations and reality is vast in the libraries in India. The University libraries have a unique responsibility for the development of sustainable information technology models for the future. IT has now created the need for educators and librarians to understand the impact and potential of the next generation of IT and to ensure that technological advances serve education and society effectively into the next century. Create a digital library with partners from industry and others to address important problems in applied library and information technologies The digital library would focus on the new roles and responsibilities of libraries in the changing educational Environment of higher education. It would address the need of libraries to sustain and serve digital
publications from variety of sources and would also develop strategies and tools for managing the digital materials including the e-prints. A digital library would provide a venue to experiment with new ways of organizing library services cutting across disciplines, supporting staff exploring new ideas, addressing technical problems and designing new services. It could also serve as a training ground for library staff to learn new skills. Though todays technology may enable the library users to do more on their own, it is not always simple. There are areas where a desire for self service is at odds with system functionality. Technology will be sought that enables the libraries to address self-service check out and check in and user initiated interlibrary ending and hot links from within the libraries gateways and online catalogue. Extend the reach of library staff as technology enables the students, faculty and researchers to access information from desk tops; they still need access to library expertise and assistance in using these materials. IX. CONCLUSION This is a time of great excitement and challenges for librarians, information professionals and researchers. The possibilities are enormous but the libraries need to develop strategic planning to streamline the processes keeping in view of the present and future requirements. Most libraries in the country need to get ready to invest in the infrastructure creation like the Local Area Network in the Institutions. This will facilitate accessing resources available world over. The Internet has brought many positive developments in the libraries and information services. Libraries have been benefiting from the increased access to Resources. The opportunities for communication and creation of new services that was not possible in Pre-Internet days are now available. A beginning is made by the UGC by creating Infonet to make Available e-journal access to the Universities. This facility will strengthen learning and research activities in the Universities. Problems do exist in terms of the initial costs, limited local content, rapidly changing technology and insufficient trained human resources, still India has done quite well and the Indian libraries need to do lot more to benefit from the technology. REFERENCES
[1] [2] [3] [4] [5] [6] INFLIBNET Centre, Ahmadabad 2nd International CALIBER-2004, New Delhi, 1113 February, 2004 Strategic ManagementFrancis Cherunilam (Himalaya Publication) Ed-2006 Business Policy and Strategic Management- Azahar Kazmi (Tata McGraw-hill New Delhi) Ed- 2003 Managing Organizations, Current IssuesSage Publication Ed 1999 managementhelp.org/plan_dec/str_plan/.
Fashion Retailing: A Panoptic Look

Preeti Sodhi and Ramanjit Bajwa
Govt. Home Science College, Chandigarh I. INTRODUCTION Known as the 'Rag Trade', the industry involving high fashion and designer clothes is as tough and competitive as anything likely to be encountered in ebusiness and e-commerce. The Rag Trade can be split into four separate sections: designers, manufacturers, wholesalers and retailers. Fashion retail is the buying of fashion merchandise from a variety of resources and reselling it to ultimate consumers at a convenient location. Corporate Catalyst India A report on Indian Retail Industry states- Of the total organized retail market of Rs 550 billion, the business of fashion accounts for Rs 300.80 billion, which translates into nearly 55 per cent of the organized retail segment in the country. Total fashion sector was estimated at Rs 1,914 billion and forms about 15 per cent of the country's retail market of Rs 12,000 billion. Commanding such a large chunk of the organized retail business in India, fashion retailing has indeed been responsible for singlehandedly driving the business of retail in India. A. Few Key Factors that Shaped the Fashion Retail Industry are Listed Below Massive spread-out of the malls, hyper markets and supermarkets throughout the country, even in non-metro cities. Mergers and acquisitions, which let huge brands to participate in the local market. Expansion strategies of brands and retailers. Many international brands march into domestic markets. Many brands performed well in the mass segment. Boom in luxury retail segment. Indian fashion designers marked their names at International platforms. Considerable expenditure on ad and marketing by apparel brands. Enhanced merchandising let the companies to enhance consumer relations. II. FASHION RETAILING IN THE PAST In the early 1800s, there were only about 10 million people in the United States, and most were farmers or pioneers moving westward with the frontier. Except for the few cities established along the Atlantic coast, the country was rural. Transportation was by foot, on horseback, or by horse and wagon. Roads, such as they were, were little more than Indian trails through the wilderness. Retailers who functioned in this environment were small country stores and trading posts, or itinerant peddlers. The last-named group traveled from farm to farm, offering for sale such small conveniences as cutlery, tools, buttons, combs, hand mirrors, needles, and thread. They were welcome visitors to frontier people, because they brought with them bits of news and a touch of civilization. The retailing of ready-to-wear was still in the future, awaiting the development of factory produced textile and apparel. Early Retailing of Ready-to-Wear It was not until late in the nineteenth century that significant amount of ready-made clothing became available for sale in stores. Before that, the fashion operations of stores in the growing cities consisted only of selling fabrics, trimmings, and made-to-order clothing. The early years of ready-to-wear retailing were difficult ones for merchants. Like the apparel producers, they brought little or no fashion experience to their efforts in behalf of "ready-made store clothing." Both retailers and producers had to learn about apparel fashion by trial and error. Although custom-made clothing remained important into the 1920s, it was steadily giving way before the growing and constantly improving ready-towear manufacturing industry. At the same time, retailers were learning to deal in ready-to-wear. By the 1920s men's, women's, and children's apparel departments were firmly established in all big-city department and specialty stores, and ready-to-wear was also available through mail-order catalogs to customers in outlying areas.In the early days of ready-to-wear retailing, owners of the great fashion stores worked creatively with manufacturers to produce ready-to-wear designs that would meet the fashion needs of their customers. Many retailers helped manufacturers to get started by bringing those Paris models to copy and providing them with substantial orders. The retailer at that time was the main source of fashion information for consumers as well as manufacturers. Long before the fashion show, the bridal counselor, and the college shop were commonplace; several prominent stores were publishing fashion brochures that they mailed to their customers. Lord &Taylor began such a publication in 1881, John Wanamaker in 1909, Marshall Field and Company in 1914. As fashion traveled its long, slow route from Paris to Podunk, customers looked to their oracles, their favorite stores, for advice on what to wear.
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III. DIVERSITY OF FASHION RETAILING TODAY Until the mid-1900s, fashion merchandise as we know it today was retailed primarily either by big-city department and specialty stores or by small apparel shops in communities of almost any size. There were other sources of apparel and accessories, such as mailorder sellers, chain stores, and discount operations, but they dealt in low-to-popular-priced merchandise in which fashion was not a major concern. As consumers became more affluent, better educated, and more sophisticated, fashion rather than need became the force behind discretionary spending. In the 1960s, the projection of a "fashion image" became a major objective for retailers. The retailing of fashion proliferated at all price levels, and every conceivable type of retailer jumped into the business of fashion spelled with a capital "F." IV. FORMAT OF FASHION RETAILING A. On-Site Fashion Retailers Specialist stores: The merchants who restrict their offerings to one product classification are now called specialty stores. The range of fashion merchandise that they carry might be in a narrow range like shoes jewelry diverse as in men sewers. Department stores: It offers merchandise mix comprising a host of different product categories that run the gamut of hard goods and soft goods, including apparel and accessories for the family furniture accessories for home & appliances. Departments store groups: Over the past years there have been significant changes with giant retail organizations acquiring other departments stores lives to increase profits and ability to purchase merchandise in larger quantities resulting in lower costs the growth of departments stores occur with the addition of branches & spin off stores. Off-price merchants: The off-prices are limited to opportunistic purchasing and cannot reorder items that sell out, meaning they purchases. Their goal is to purchased at rock bottom price & pass the savings on to their customers. Fashion Manufactures Outers: Inspired by the success of off-price retailers many fashion designer have opened outlet stores of their own collections and these designer outlets are significantly far from the major traditional with the departments stores and specialty chains that purchase the designers full price merchandise. Discount Operations: These merchants offer goods that are discounted to sell for less than
their conventionally oriented competition. The discounts buy in large quantities that often allow them to receive price advantages that they pass on to their customers. Warehouse Clubs: Manufactures of goods for warehouse club retailers are willing to sell them for less because of the large orders they place warehouse clubs require membership fees enable them to sell for less. Franchises & Licenses: Are form of retail enterprises that enable those with little or no experience to capitalize on the reputations of established companies and realize the dream of business ownership. Boutiques: Small business called boutiques has opened in every part of country to serve the needs of fashion minded consumers. They are primarily womens emporiums, but more mens & childrens shops are also coming onto the fashion retailing scene. Flea Market Vendors: Also known a role in offering bargain merchandise to shoppers in market environments such as drive in movie parking lots. Most of the fashion merchandise was irregulars and copies of label merchandise. V. TRENDS IN ON-SITE FASHION RETAILING
Development of spin offs Expansion of value oriented chains Private labels & brands Shops within shops Multichannel Expansion Expansion via Nero concepts like drive thru supermarkets Expansion through acquisition by acquiring other companies VI. OFF-SITE FASHION RETAILERS
E-tailing: Fashion apparel & accessories merchants also are beginning to emerge as one of the more important segments for electronic retailing or e-tailing. The introduction of this purchasing channel has created a new language used by consumers & venders alike. It involves. Creating a web-site Design development: The nature of design depends upon the size of the company its merchandise assortment & the amount of money available for the site development. To distinguish themselves from their competitors the majority of E-tail website are created by experts who tailor their designs to meet the merchants exact requirements Web-site specification:- These are generally the web-sites of the major department stores that engage in multichannel retailing to reach
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as many prospective customers as possible chain organization that also merchandise their goods via multichannel marketing & web-sites only companies that use the internet as their only means of selling to the consumers VII. CLASSIFICATION OF E-TAILER Bricks & mortar organizations Catalogs with E-tailing divisions Cable shopping organizations with internet access Web site only merchants
Catalog specialization Internet cross selling IX. IMAGES FASHION AWARDS 2011
A. Catalogs The companies that market them include the pure catalog companies those that primarily sell via direct marketing publications the other are the brick and mortar operations catalogue of their stores merchandise assortments but they sometimes sell products that are found only in their catalogs Benefits of catalogs shopping Convenience Merchandise assortment Visual presentation Customer returns Order simplification Classification of catalogs companies Catalogs only retailers Bricks & mortar catalogue divisions Catalogers with on-site venues B. Internet Catalogue One of advantages of internet cataloguing for consumers is that they do not have to keep the publication. An advantage for the smaller company is the ability to reach countless consumers without increasing the expense of mailings. C. Home Shopping Cable Programming (Also called video shopping or television). The product classification include everything from apparel to home furnishings & are presented by hosts and visiting celebrities. The success of these programs is due impart to their claims of selling items at lower prices than those charged by traditional retailers & their ability to motivate shoppers to purchase items quickly. VIII. TRENDS IN OFFSITE RETAILING Increase in small retailer E-tailing Sophistication of web sites Fashion Merchandise availability on Nontraditional web sites Catalog expansion
The 11th edition of India Fashion Forum recognizes the true worth of the brands in the Indian fashion retail business. Following is the list of awardees. Most Admired Footwear brand of the year Bata Most Admired Time wear brand of the year Titan Most Admired Jewelry brand of the year Tanishq Most Admired Mens Formalwear brand of the year-Park Avenue Most Admired Women's Western wear brand of the year - Van Heusen Woman Most Admired Kids wear brand of the year (0-12 years) -Lilliput Most Admired Sportswear brand of the yearPuma Most Admired Mens Ethnic wear brand of the yearManyavar Most Admired Womens Ethnic wear brand of the yearBiba Most Admired Lingerie brand of the yearTriumph Most Admired Premium Lifestyle brand of the year-Tommy Hilfiger Most Admired Fashion brand launches of the year-Vero Moda, Diesel, Zara, Forever 21 Most Admired Non-store Fashion & Lifestyle retailer of the yearShoppersstop.com Most Admired Value Fashion Retailer in India -Megamart Most Admired Private Label (Fashion) Retailer of the year-Pantaloons Most Admired Regional Fashion Retailer of the yearNorth Kapsons Most Admired Regional Fashion Retailer of the yearEast - Sohum Shoppe Most Admired Regional Fashion Retailer of the yearWest - Jade Blue Most Admired Regional Fashion Retailer of the yearSouth - RMKV Most Admired Fashion Retail Destination of the yearLifestyle Most Admired Fashion Company of the year Madura Fashion & Lifestyle X. PROMOTIONAL METHODS FOR FASHION RETAIL Few of the promotional methods for fashion retailing are as follows:
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Planning And Direction-the sales promotion director, fashion director, advertising director, creative directors, visual merchandising director, merchandise managers and buyers work together to plan direct and coordinate promotions. Stores schedule promotional activities/methods for seasons and holidays throughout the retail calendar year sometimes scheduled up to a year ahead of time. In spite of this, new promotions can be introduced like launching of a new fragrance on cancelling the prior promotional item. Fashion Advertising-The advertising directors, creative directors, writers and artists work together to create retail advertising. They may be assisted by similar personnel at advertising agencies; advertising style must be altered to reach various types of customers, like image advertising, item advertising, and media like newspaper, radio, magazines, and promotional advertising. Publicity-publicity is usually handled by the directors of fashion, special events and or public relations and writers on their staffs. It is the spreading of information about people through campaigns in two ways-press package and individual approach. Special Events-corporate directors of special events and or public relations, regional managers, store coordinators, and their staffs need superb organizational skills to carry out a wide variety of special events. Fashion shows are special events that communicate a fashion story. There are four possible ways to organize a show-1. A formal fashion show deals with the planning to execution of models music, media, seating etc.2. Designer trunk shows deals into single vendor and is a popular way to sell expensive collections. 3. Department fashion shows are much on a smaller scale as to generate immediate sales.4. Informal fashion shows are easiest to produce. Models walking through
the store showing the fashions that they are wearing to customers who are shopping or having lunch in stores restaurant. Visual Merchandising-The corporate visual merchandising director store planning director, architect, regional creative directors and individual store visual managers and designers create the stores visual image. The Buyers Role In Fashion Promtion-because promotion is a team effort, it also requires the involvement of buyers .Suggestions given by them for advertisement, merchandising and events are good for retailers. XI. CONCLUSION Like every other retail business, Fashion Retail too sees a great opportunity with the online commerce space in the country. Though globally, Fashion Retail industry is quite matured, the Indian consumer has only just recently started sampling the fashion e-tail segment where international high end luxury brands come knocking right to his doorstep through his computer screens. Hope with every coming year Indian fashion retailing will step forward as to reach the possible highest standard by passing away all the obstacles of the path. REFERENCES
[1] [2] [3] [4] [5] Diamond, Ellen (2007), Fashion Retailing: - A multichannel approach, 2nd edition, Dorling Kindersley (INDIA) Pvt. Ltd. Frings, Gini (1996) Fashion: From Concepts to Consumer, Prentice Hall Pub. http://www.imagesfashion.com/content/ContentDetail.aspx?cid =770 http://www.prlog.org/10838021-market-report-bmi-india-retailreport-q4-2010-published.html www.fibre2fashion.com
Enterprise Resource Planning for Business Success

Harpreet Jattana1, Er. Candy Goyal2, Harmeet S. Sandhu3
Radiant Institute of Engineering & Technology, Abohar (Pb.) 2 Yadawindra College of Engineering, Talwandi Saboo 3 Baba Farid college of Engineering & Technology, Bathinda e-mail: 1smileserve@gmail.com, 2engg_candy@yahoo.co.in, 3vision843@gmail.com
AbstractGlobalization presents numerous business and technology challenges. Enterprise resource planning (ERP) is an indispensable tool for managing these challenges and a mission-critical component of any globalization strategy. Business activities are going tough and competitive with every passing day and it is the need of the hour to the hour to develop such an effective mechanism to reduce costs and make internal communication hassle free. The manuscript describes the role of Enterprise Resource Planning (ERP) in business communication and its implementation in various commercial domains for increasing business output and reducing paperwork. Keywords: ERP, Success factors, business management, Customization.
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ERP systems are packaged and modular software rather than proprietary software written by or for one customer. ERP modules may be able to interface with an organization's own software with varying degrees of effort, and, depending on the software, ERP modules may be alterable via the vendor's proprietary tools as well as proprietary or standard programming languages. Enterprise resource planning systems are often closely tied to supply chain management systems. Supply chain management software can extend the ERP system to include links with suppliers B. Origin of "ERP" ERP (Enterprise Resource Planning) is the evolution of Manufacturing Requirements Planning (MRP) II. From business perspective, ERP has expanded from coordination of manufacturing processes to the integration of enterprise-wide backend processes. From technological aspect, ERP has evolved from legacy implementation to more flexible tiered client-server architecture.The following table summarizes the evolution of ERP from 1960s to 1990s. II. CONNECTIVITY TO PLANT FLOOR INFORMATION ERP systems connect to realtime data and transaction data in a variety of ways. These systems are typically configured by systems integrators, who bring unique knowledge on process, equipment, and vendor solutions. Direct Integration-ERP systems connectivity (communications to plant floor equipment) as part of their product offering. This requires the vendors to offer specific support for the plant floor equipment that their customers operate. ERP vendors must be expert in their own products, and connectivity to other vendor products, including competitors. Database integration-ERP systems connect to plant floor data sources through staging tables in a database. Plant floor systems deposit the necessary information into the database. The ERP system reads the information in the table. The benefit of staging is that ERP vendors do not need to master the complexities of equipment integration. Connectivity becomes the responsibility of the systems integrator.
I. INTRODUCTION A. What is ERP? Enterprise Resource Planning (ERP), a term originally derived from material resource planning (MRP), is a business management and automation system that integrates multiple (or all) business processes, including planning, manufacturing, logistic, inventory, accounting, human resources, sales, and marketing. Since ERP systems are cross-functional and enterprise wide and all functional departments that are involved in operations or production are integrated in one system, implementing such a complex and huge software system in a company usually involves an army of consultants (external), analysts, programmers, and users, and often comprises a multi-million dollar/yen/euro project in itself for bigger companies.
. Fig. 1: Enterprise Resource Planning Sysytem
Enterprise Resource Planning for Business Success Timeline System 1960s Inventory Management & Control 1970s Material Requirement Planning (MRP)
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1980s
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Manufacturing Requirements Planning (MRP II) Enterprise Resource Planning (ERP)
Description Inventory Management and control is the combination of information technology and business processes of maintaining the appropriate level of stock in a warehouse. The activities of inventory management include identifying inventory requirements, setting targets, providing replenishment techniques and options, monitoring item usages, reconciling the inventory balances, and reporting inventory status. Materials Requirement Planning (MRP) utilizes software applications for scheduling production processes. MRP generates schedules for the operations and raw material purchases based on the production requirements of finished goods, the structure of the production system, the current inventories levels and the lot sizing procedure for each operation. Manufacturing Requirements Planning or MRP utilizes software applications for coordinating manufacturing processes, from product planning, parts purchasing, inventory control to product distribution. ERP uses multi-module application software for improving the performance of the internal business processes.ERP systems often integrates business activities across functional departments, from product planning, parts purchasing, inventory control, product distribution to order tracking.ERP software systems may include application modules for supporting marketing, finance, accounting and human resources.
Enterprise Appliance Transaction modules (EATM)-These devices communicate directly with plant floor equipment and with the ERP system via methods supported by the ERP system. EATM can employ a staging table, Web Services, or systemspecific program interfaces (APIs). The benefit of an EATM is that it offers an offtheshelf solution. Custom-Integration Solutions-Many system integrators offer custom solutions. These systems tend to have the highest level of initial integration cost, and can have a higher long term maintenance and reliability costs. Long term costs can be minimized through careful system testing and thorough documentation. Customintegrated solutions typically run on workstation or server class computers. Standard Protocols-Communications drivers are available for plant floor equipment and separate products have the ability to log data to staging tables. Standards exist within the industry to support interoperability between software products, the most widely known being OPC III. IMPLEMENTATION OF ERP ERP's scope usually implies significant changes to staff work practices. Generally, three types of services are available to help implement such changes consulting, customization, and support. Implementation time depends on business size, number of modules, customization, the scope of process changes, and the readiness of the customer to take ownership for the project. Modular ERP systems and can be implemented in stages. IV. PROCESS PREPARATION Implementing ERP typically requires changing existing business processes. Poor understanding of needed process changes prior to starting implementation is a main reason for project failure. It is therefore crucial that organizations thoroughly analyze business processes before implementation. This analysis can identify opportunities for process modernization. It also
enables an assessment of the alignment of current processes with those provided by the ERP system. Research indicates that the risk of business process mismatch is decreased by: linking current processes to the organization's strategy; analyzing the effectiveness of each process; understanding exising automated solutions ERP implementation is considerably more difficult (and politically charged) in decentralized organizations, because they often have different processes, business rules, data semantics, authorization hierarchies and decision centers. V. CONFIGURATION Configuring an ERP system is largely a matter of balancing the way the customer wants the system to work with the way it was designed to work. ERP systems typically build many changeable parameters that modify system operation. For example, an organization can select the type of inventory accountingFIFO or LIFOto employ, whether to recognize revenue by geographical unit, product line, or distribution channel and whether to pay for shipping costs when a customer returns a purchase. VI. CUSTOMIZATION When the system doesn't offer a particular feature, the customer can rewrite part of the code, or interface to an existing system. Both options add time and cost to the implementation process and can dilute system benefits. Customization inhibits seamless communication between suppliers and customers who use the same ERP system uncustomized. Key differences between customization and configuration include: Customization is always optional, whereas the software must always be configured before use (e.g., setting up cost/profit center structures, organizational trees, purchase approval rules, etc.).
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The software was designed to handle various configurations, and behaves predictably any allowed configuration. The effect of configuration changes on system behavior and performance is predictable and is the responsibility of the ERP vendor. The effect of customization is less predictable, is the customer's responsibility and increases testing activities. Configuration changes survive upgrades to new software versions. Some customizations (e.g. code that uses predefined "hooks" that are called before/after displaying data screens) survive upgrades, though they require retesting. Other customizations (e.g. those involving changes to fundamental data structures) are overwritten during upgrades and must be reimplemented. Customization can be expensive and complicated, and can delay implementation. Nevertheless, customization offers the potential to obtain competitive advantage vis a vis companies using only standard features. VII. EXTENSIONS
consulting team is responsible for the ERP implementation including selecting the vendor, planning, training, configuring/customizing, testing, implementation, delivery]Examples of other services include writing process triggers and custom workflows; specialist advice to improve how the ERP is used in the business; system optimization; custom reports; complex data extracts or implementing Business Intelligence. X. IMPLEMENTATION METHODOLOGIES Different companies may install the same ERP software in totally different processes. The same company may implement different ERP software in the same approach. There are three commonly used methodologies for implementing ERP systems. A. The Big Bang Companies layout a grand plan for their ERP implementation. The installation of ERP systems of all modules happens across the entire organization at once. The big bang approach promised to reduce the integration cost in the condition of thorough and careful execution. This method dominated early ERP implementations, it partially contributed the higher rate of failure in ERP implementation. Today, not many companies dare to attempt it anymore. The premise of this implementation method is treating ERP implementation as the implementation of a large-scale information system, which typically follows SDLC (Systems Development Life Cycle). But an ERP system is much more than a traditional information system in the fact that the implementation of ERP continuously calls for the realignment of business processes. Many parties involved in ERP software systems are not IT professionals. ERP more than automates existing business processes. ERP transforms the business processes. B. Modular Implementation The method of modular implementation goes after one ERP module at a time. This limits the scope of implementation usually to one functional department. This approach suits companies that do not share many common processes across departments or business units. Independent modules of ERP systems are installed in each unit, while integration of ERP modules is taken place at the later stage of the project. This has been the most commonly used methodology of ERP implementation. Each business unit may have their own "instances" of ERP and databases. Modular implementation reduces the risk of installation, customization and operation of ERP systems by reducing the scope of the implementation. The successful implementation of one module can benefit the overall success of an ERP project.
ERP systems can be extended with thirdparty software. ERP vendors typically provide access to data and functionality through published interfaces. Extensions offer features such as archiving, reporting and republishing; capturing transactional data, e.g. using scanners, tills or RFID access to specialized data/capabilities, such as syndicated marketing data and associated trend analytic VIII. DATA MIGRATION Data migration is the process of moving/copying and restructuring data from an existing system to the ERP system. Migration is critical to implementation success and requires significant planning. Unfortunately, since migration is one of the final activities before the production phase, it often receives insufficient attention. The following steps can structure migration planning: Identify the data to be migrated Determine migration timing Generate the data templates Freeze the toolset Decide on migration-related setups Define data archiving policies and procedures IX. CONSULTANTS Many organizations do not have sufficient internal skills to implement ERP. Typically, an outside
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C. Process-Oriented Implementation The process-oriented implementation focuses on the support of one or a few critical business processes which involves a few business units. The initial customization of the ERP system is limited to functionality closely related to the intended business processes. The process-oriented implementation may eventually grow into a full-blown implementation of the ERP system. This approach is utilized by many small to mid-sized companies which tend to have less complex internal business processes. XI. CRITICAL SUCCESS FACTORS OF ERP IMPLEMENTATION Implementation of an ERP system is a major investment and commitment for any organizations. The size and complexity of the ERP projects are the major factors that impact the cost of ERP implementations. Different companies may implement the same ERP software in totally different approaches and the same company may integrate different ERP software applications by following the same procedures. However, there are factors common to the success of ERP implementation regardless the ERP systems they implement and the methodologies they use. Project Planning: ERP implementation starts with project planning - setting project goals, identifying high level business requirements, establishing project teams and estimating the project costs. The project planning offers the opportunity to re-evaluate the project at great details. If the ERP project is not justified at the planning phase, organizations shouldn't hesitate to cancel the project. For every successful ERP projects, there're projects that are canceled before implementation. Architectural Design: While high level architectural decision is made in the process of ERP vendor selection, it remains a critical successful factor in integrating ERP with other e-business applications, ecommerce applications or legacy systems. Choice of middleware, interface software or programming languages drastically impact the implementation cost and release date. Data Requirements: Unlike in-house e-business applications, much of the packaged ERP implementation involves the integration of ERP systems with existing e-business software (CRM, SCM and SFA) and legacy information systems. Appropriate level of data requirements is critical for an ERP to interact with other applications. Data requirements usually reflect details of business requirements. It costs ten times to correct a mistake at later phase of ERP implementation than the effort to correctly define requirements at analysis and design phase. Phased Approach: It is important to break an ERP project down to manageable pieces by setting up pilot programs and short-term milestones. Dependent on the
IT experience, some organizations choose the easiest piece as the pilot project, while others may implement a mission-critical application first. The pilot project can both demonstrate the benefits of ERP and help gain hands-on ERP implementation experience. Data Conversion: Second generation ERP systems use relational database management systems (RDBMS) to store enterprise data. If a large amount of data are stored in other database systems or in different data formats, data conversion is a daunting tasks which is often underestimated in ERP implementations. A twohour data conversion task could be turned into to a twomonth efforts as the result of DBA group's lack of technical experience and management's incompetency or ignorance. Organization Commitments: The involvement of ERP implementation goes far beyond IT department to many other functional departments. The commitment and smooth coordination from all parties is the key to the success of ERP project. The commitments come from the understanding of how ERP can benefit each functional department. For example, if the warehouse staff isn't completely sold on the inventory control module's benefits, they may not input the kind of usage data that is essential to the project's success. XII. A. Merits The fundamental advantage of ERP is that integrating the myriad processes by which businesses operate saves time and expense. Decisions can be quicker and with fewer errors. Data becomes visible across the organization. Tasks that benefit from this integration include: Sales forecasting, which allows inventory optimization Order tracking, from acceptance through fulfillment Revenue tracking, from invoice through cash receipt Matching purchase orders (what was ordered), inventory receipts (what arrived), and costing (what the vendor invoiced) ERP systems centralize business data. Benefits of this include: Eliminates synchronizing changes between multiple systemsconsolidation of finance, marketing and sales, human resource, and manufacturing applications. Enables standard product naming/coding. Provides comprehensive enterprise view (no "islands of information"). Makes realtime information available to management anywhere, anytime to make proper decisions.
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Protects sensitive data by consolidating multiple security systems into a single structure.
B. Demerits Customization is problematic. Reengineering business processes to fit the ERP system may damage competitiveness and/or divert focus from other critical activities. ERP can cost more than less integrated and/or less comprehensive solutions. High switching costs increase vendor negotiating power vis a vis support, maintenance and upgrade expenses. Overcoming resistance to sharing sensitive information between departments can divert management attention. Integration of truly independent businesses can create unnecessary dependencies. Extensive training requirements take resources from daily operations. XIII. CONCLUSION Apparently, ERP is capable of total business consolidation and offers concrete platform for marketing, finance, manufacturing and human resource activities more efficient and result oriented. ERP software business solutions are designed for companies
that work in a wide variety of areas. IT combines a large number of different elements into a single unit. Enterprise Resource Planning allows a company to successfully automate the process of buying materials and maintaining them. There are modules that track the supplies that are purchased and can also make calculations about how these materials should be distributed. REFERENCES
[1] Anderegg, Travis. "MRP/MRPII/ERP/ERM Confusting Terms and Definitions for a Murkey Alphabet Soup". 2. http:// www.wlug.org.nz/EnterpriseSpeak. Retrieved 20071025. Monk, Ellen; Wagner, Bret (2006). Concepts in Enterprise Resource Planning (Second ed.). Boston: Thomson Course Technology. ISBN 0619216638. Yusuf, Y., A. Gunasekaran, and M. Abthorpe, "Enterprise Information Systems Project Implementation: A Case Study of ERP in Rolls-Royce," International Journal of Production Economics, 87(3), February 2004. Brown, C., and I. Vessey, "Managing the Next Wave of Enterprise Systems: Leveraging Lessons from ERP," MIS Quarterly Executive, 2(1), 2003. KhosrowPuor, Mehdi. (2006). Emerging Trends and Challenges in Information Technology Management. Idea Group, Inc. p. 865. Head, Simon (2005). The New Ruthless Economy. Work and Power in the Digital Age. Oxford UP. ISBN 0195179838. Waldner, Jean-Baptiste (1992). Principles of Computer Integrated Manufacturing. Chichester: John Wiley & Sons Ltd. ISBN 047193450X. King. W., "Ensuring ERP implementation success," Information Systems Management, Summer 2005.
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Reforms in Indian Agriculture

Puneet Sharma1, Kulbir Singh Sandhu2 and Hardeep Singh3
lecturer, Baba Farid College of Engg. & Technology Assistant Prof., Baba Farid College of Engg. & Technology 3 Assistant Prof., Baba Farid College of Engg. & Technology
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AbstractSince the early 1990s, India has undergone substantial economic policy reform and economic growth. Though reforms in agricultural policy have lagged those in other sectors, they have nonetheless created a somewhat more open economic orientation. In this study, we evaluate the protection and support versus disprotection of agriculture in India. Agrarian Reform in India had been adopted to reallocate the agricultural resources among all the people directly connected with agriculture. After independence, the Government of India started the process of building equity in rural population and improvement of the employment rate and productivity. So for this reason the Government had started agrarian reform. Keywords: Agrarian Reforms, Employment, productivity.
I. INTRODUCTION In the center of Indias flag sits a spinning wheel, a symbol used by Gandhi to protest English textile imports under colonial rule and to demonstrate the nobility of a society of small-scale agriculture and industry. For much of its independence, Indias economy was governed by the principle of the spinning wheel with disastrous economic and social effects. Just as the United States, in industrializing, had to overcome the belief in the nobility of agriculture that shaped its founding fathers, India is still struggling to move beyond Gandhi-era economics and raise its standard of living. Indias recent progress toward economic growth stems from reforms undertaken after the 1991 fiscal crisis, which lifted India from decades of slow growth under socialist rule and offered an opportunity to improve living conditions in the immense, poor country. And the recent growth has been impressive among the highest growth rates in the world. A great portion of the worlds poor live in India, and will depend on its future growth to overcome poverty. But the recent progress is not enough. Certainly, great steps have been taken toward reform on trade, industrial policy, and the financial system; substantial progress has been made in reducing poverty; and India has a growing and thriving middle class. However, much remains to be done: the government intrudes where it need not, in everything from coal mining to discos, and fails to manage the basic services that it should, like decent roads, a stable power distribution infrastructure, and quality primary education. Agricultural development in post-independence India is marked by a historic failure of the state to
resolve the agrarian question, i.e., ending the extreme concentration of land ownership and use and weakening the factors that fostered disincentives in investment and technology adoption, tied workers to a social system with considerable pre-modern features and compressed purchasing power. While this failure has shaped the pattern and nature of agricultural growth in India after 1947, the implementation of economic reforms after 1991 has introduced new dimensions to the contradictions of the earlier regime. In the 1990s and 2000s, some of the fundamental contradictions of the post-independence agrarian economy have persisted; on the other hand, some of the pillars on which the earlier regime rested have been undermined. Indian banking has around 200 years of history and has undergone many transformations since independence. But, Liberalisation, Privatisation and Globalisation and Information Technology are currently changing the Indian banking radically."Indian agriculture is bouncing back. It is scripting its own success story, thanks to rising private investment, which will lead to a faster growth. Faster growth in agriculture tomorrow will happen because of rising private investment in agriculture today," says Y C Deveshwar, Chairman, CII's Agriculture Council, and Chairman, ITC. Indian agriculture still suffers from Poor productivity, Falling water levels, Expensive credit, A distorted market, Many intermediaries who increase cost but do not add much value, Laws that stifle private investment, Controlled prices, Poor infrastructure, Produce that does not meet international standards, Inappropriate research, Tax evasion by unorganised sector leading to the lack of a level playing field. All these hamper the farmers and the Industry. II. OBJECTIVES OF THE STUDY To generate an overview of various reforms in Agriculture. To generate an overview of the impact of reforms in agriculture. To know the level of awareness of agrarian reforms in Indias To study the various challenges faced in the reforms. III. NEED OF THE REFORMS Since India had been under several rulers for a long time, i.e. right from the beginning of the middle age, that's why it's rural economic
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policies kept changing. The main focus of those policies was to earn more money by exploiting the poor farmers. In the British period the scenario had not changed much. The British Government introduced the "Zamindari" system where the authority of land had been captured by some big and rich landowners called Zamindar. Moreover they created an intermediate class to collect tax easily. This class had no direct relationship with agriculture or land. Those Zamindars could acquire land from the British Government almost free of cost. So the economic security of the poor peasants lost completely. After independence, the Government's main focus was to remove those intermediate classes and secure a proper land management system. Since India is a large country, the redistribution process was a big challenge for the Government. IV. CHALLENGES
destroy the village solidarity that was essential in proper sharing and management of common water-resources. At the same time, urban tax collectors had to deal with mediating entities from the villages, so that they did not tax at a rate that might lead to the destruction of watermanagement facilities so essential for life and sustainable agriculture. By and large, taxes were imposed on villages collectively (not on individual farmers directly), and the village elites (whether Brahmins or others) were obliged to ensure that the burden of taxes did not destroy the complete viability of agriculture. Taxes were also adjusted keeping in mind whether the land was well-irrigated or not. V. REFORMS IN INDIAN AGRICULTURE Give States an incentive to amend the APMC act and abolish mandi taxes. This would allow competitive markets to develop; farmers and processors will both gain. Support the organized private sector in increasing its spending on extension and technology transfer. This would give farmers the knowledge of what to grow, and how to grow so that stringent quality norms are met. Implement the Unified Food Law, and back it up with lowering the total tax burden on processed foods so that the sector picks up, and consequently demand for farm produce rises. Target foreign buyers of high-value ethnic Indian foods, as opposed to commodity exports-starting with the large NRI population of 20 million, which can be a huge market. Create a viable model of public-private partnership that allows private investors to invest in agriculture infrastructure in partnership with banks and financial institutions. VI. CONCLUSION India is becoming a production base and an export hub for diverse goods, from agricultural products to automobile components to high-end services. Indian firms are now part of global production chains importing sub-assemblies, adding value to them and reexporting them. The reforms implemented so far have helped India attain 6-plus per cent growth, however should India be able to implement these remaining reforms and re-orient governmental spending away from inessential expenditures and towards high priority areas of health, education and infrastructure development, then it is very likely that it would attain and sustain even higher rates of economic growth.
Regional rulers or local representatives of the state were generally obliged to allocate a certain percentage of the agricultural taxes on building and managing water-storage, water-harvesting and/or water-diverting structures which facilitated a second crop, and provided water for drinking and other purposes in the long dry season. Only a small percentage of Indian farmers have enjoyed the luxury of natural irrigation, although there are reports that in certain parts of the country, the soil used to retain enough moisture well beyond the monsoon months. However, it is equally true that the drying up of wells led to mass migrations, and sudden depopulation of old towns and villages. In Assam, Bengal and Bihar - all flood-prone states, there is evidence of a massive network of canals that allowed both effective drainage to prevent flooding during the heavy monsoon months, and also provide for fishing, transportation and irrigation arteries in the dry seasons. Intelligent water-management thus allowed for the growth of a healthy agricultural surplus, that in turn facilitated steady urbanization (albeit at a much slower pace than seen in the industrial era), and the development of a variety of pre-industrial manufacturing in areas such as textiles, jewelry, wood/metal-working etc. Because of the immense importance of effective water-management, the entire revenue system of the state was structured so as to take into account both the necessity of water-management and the inherent dependency that existed between Indian agriculture and the availability of water. Most Indian states attempted to collect revenues in a manner that did not entirely
Reforms in Indian Agriculture
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REFERENCES
[1] [2] [3] [4] [5] [6] Proquest (Online Subscription) Science Direct (Online Subscription) http://www.ideaswebsite.org/ideasact/jan09/PDF/Ramakumar.p df http://ideas.repec.org/p/fpr/mtiddp/82.html http://www.economywatch.com/agrarian/india/ http://india_resource.tripod.com/indianagriculture.html
[7] [8]
http://www.rediff.com/money/2004/may/03spec.htm http://www.economywatch.com/agrarian/india/consequences.ht ml [9] http://harrisschool.uchicago.edu/News/pressreleases/IPP%20Economic%20Reform%20in%20India.pdf [10] http://www.icrier.org/pdf/30april07/2%5B1%5D._Strengthening _Indian_Agriculture_Surabhi_ICRIER.pdf [11] http://www.thehindubusinessline.com/bl10/stories/20040128004 01000.htm
From Wallet to E-Wallet: Prospects of M-Commerce in India

Dr. Manish Bansal1, Neetu Singh2 and Deepika Bansal3
1 2
Director-Principal, Baba Farid College of Management & Technology, Bathinda Assistant Professor, Baba Farid College of Management & Technology, Bathinda 3 Assistant Professor, Baba Farid College of Engineering & Technology, Bathinda same time, or could be more targeted to people in a specific location. Credit transactions are normally two-way transactions that involve a payment function. Typical transactions include credit and debit card payments, shopping for music, books, and theatre tickets, and stock trading. It has been estimated in the United States that in five years, half of all day stock trades will be conducted from mobile phones. II. M-COMMERCE IN INDIA In India, m-commerce is growing at a rapid pace. The changing lifestyle of the Indian masses and the rapid growth of the tech savvy generation have resulted in the growth of the Indian mCommerce industry. More and more telecom players have started adopting mCommerce applications and offer services like payment of bills, online ticketing, and mobile shopping. Mobile banking is also gaining momentum with more banks adopting this technology. For instance Standard Chartered bank offers its customers mobile banking service like fund transfer to any mobile phone from any ATM across the country. The increasing mobile penetration and easy accessibility of GPRS on mobile devices are catalyzing the growth of the mobile applications market. Some major telecom players like Reliance and Airtel offer mobile shopping facility to their customers. Companies understand the benefits of mobile commerce and the huge potential of this sector. Even ICICI Bank allows its customers to make limited purchase from their mobile phones. However, booking movie tickets, travel tickets, payment of utility bills, and phone bills mostly dominate the m-commerce activities in India. The Average Indian does not own a PC, but more than 270 million have mobile handsets. Moreover, according to the Telecom Regulatory Authority of Indian there were less than 10 million total pc internet connections in 2007 and this number is conservatively estimated at less than 15 million in 2008. By contrast, TRAI estimates that today there are over 65 million internet subscribers on the mobile. The mobile channel offers reach and convenience for reaching people and completing electronic According to a report by KPMG 86% respondents in India are likely to watch live TV on mobile phones in next 12 months.
AbstractM-commerce or mobile commerce is the buying and selling of goods and services through wireless handheld devices such as cellular telephone and personal digital assistants (PDAs). M-commerce also h is known as the next-generation e-commerce enables users to access the Internet without needing to find a place to plug in. The emerging technology behind m-commerce, which is based on the Wireless Application Protocol (WAP), has made greater strides in Europe and United States and is a multibillion dollar market in both the places. The Indian demographics are set to surpass both these markets in near future. In the coming years the total value of mobile advertisement spends will grow at a CAGR of 41 percent and mobile devices might account for 3.4 percent of the total global advertisement spends. Electronic or virtual commerce over mobile has the potential to literally change how the average Indian transacts. It will provide easy accessibility to information, services, commodities, retailing and banking. . The mobile channel provides a rare opportunity for India to leapfrog years of poor infrastructure development and actually bring the benefits of technology, low cost/mass market goods and services, and financial systems to the poor both in rural as well as urban areas and lower working class population of India. As content delivery over wireless devices becomes faster, more secure, and scalable, there is wide speculation that m-commerce will surpass wireline e-commerce as the method of choice for digital commerce transactions.
I. INTRODUCTION M-Commerce has been defined as the use of handheld wireless devices to communicate interact, and transact via high-speed connection to the Internet. With the introduction of advanced phone technology, consumers of mobile devices will be able to access content and services anytime, anywhere. M-commerce involves a number of transactions which can be broadly classified as content transactions and credit transactions. The content transactions are those that involve the transfer of information one-way, although this can be personalised information, similar to promotional offers and information received via email that is addressed to a particular persons needs. It could include the transmission of news, sports, weather, and stock quotes. Content transactions could also include 'push' transactions, where consumers are targeted with unsolicited advertising, known as spam, over their mobile phones. This could take the form of mass advertising, sent out to a range of mobile numbers at the
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A joint report by FICCI- KPMG 2011 states that growth in business and consumer spending on the mobile internet exceeded earlier estimates by a wide margin. On the consumption side, global retail revenue from mobile devices (m-commerce) is now expected to reach $119B by 2015, representing approximately 8 percent of the total ecommerce market. In terms of business investment, expenditures on mobile marketing in the US alone are forecast to exceed $1B in 2011 and $1.5B the year after, with the worldwide spend reaching a blistering $21.2B by 2012. Pacing this growth in revenue is the consumer adoption rate for smartphones and other internet capable mobile devices, which is a critical determinant of potential market size. By 2015, over 36 percent of all US consumers are expected to be using the mobile internet. Worldwide, mobile phones are forecast to overtake personal computers as the most common web access device within the next three years, and in many developing nations, such as Egypt and India, this shift has already occurred, with up to 70 percent of the online population exclusively using phones to access the internet. The RBI has balanced the need for a robust security standard while allowing enough space for service providers to innovate while ensuring that the service is accessible to all They ensure robust, end-to-end security while not restricting the flexibility that banks have in deploying next generation mobile services. With the advent of more advanced connectivity like 3G and GPRS there is a larger window to innovate service delivery but the common denominator of any user on any phone and with any connection, being able to transact on the mobile phone is already available. Major m-commerce players like mchek, ngpay, canvasM, paymate etc., have started taking rural initiatives. One of the major player in m-commerce, mChek has been running a live pilot called Grameen Koota (Village Assembly) for a few months now. Grameen Koota is primarily a rural microfinance institution serving over 160,000 members throughout Karnataka. During the pilot, rural people experienced financial literacy and financial inclusion. Apart from this, safety of electronic money and flexibility of remote transactions were other experiences. Electronic or virtual commerce over mobile has the potential to literally change how the average Indian transacts. Rural m-commerce will provide easy accessibility to information, services, commodities, retailing and banking. More reach in rural areas can be enabled using number keys and IVR with multilingual support. Push to m-commerce in the rural segment will provide low-cost information services. People can cutdown on their expenses and time because they can have access to information from their handsets and complete financial transactions using the same device. Needless to say that they can avail a wide range of banking and payment services including remote bill payments,
money transfers, payment to over-the-counter merchants, etc. It can help spread important information on healthcare, farming, provide branch-less banking, crop selling, market updates, new offers, etc. Beyond basic commerce and banking, a large percentage of Indians, especially those in rural areas, are underserved and unbanked. The mobile channel provides a rare opportunity for India to leapfrog years of poor infrastructure development and actually bring the benefits of technology, low cost/mass market goods and services, and financial systems to the rural as well as the urban poor and lower working class population of India. The rural Indian market is playing a fundamental role in the growth of the mobile sector, thus enhancing prospects of embracing m-commerce services and applications. The size of the rural market is expecting a huge increase in the customer base bringing mobile phones within the reach of millions of new customers. Even though average transaction size might be smaller for poor rural customers than for higher-income urban customers, the sheer volume of potential transactions creates a huge opportunity. Approximately 70% of the Indian population is rural, and less than half actually have bank accounts and access to financial services today. m-Commerce will be critical for bringing these masses into the financial system. According to industry sources, the m-commerce market for the ongoing fiscal is projected to be about Rs 880 bn in FY 2010. Ten percent of $230 bn global international remittance is in India and 70% of this is from the rural segment. III. OPPORTUNITIES In India, m-commerce is in its initial stages and its advantages will soon be realized. Mcommerce revolution will take the country by storm as depicted by the statistics. Another encouraging trend is that the Indian consumer is fast maturing and is open to new ideas. About 2 percent of Indians, which is 20 million people, have a per capita income exceeding $13,000 a number greater than the populations of Malaysia and Singapore put together. Customers surfing the Internet through their mobile phones will have to pay an access charge of only Rs 0.42 per minute. These trends suggest that a fertile ground for m-commerce already exists in India and its revolution seems inevitable. Large population: In India alone, two-thirds of the population is unbanked and has no access to formal bank accounts or financial services. So there is a large rural m-commerce market Penetration: Size and growth rate of the mobile market is the key driver of the mobile services market. Current mobile penetration is large (270M+ mobile users) but even then, there is still a lot of room to grow. The mobile provides convenient, high ROI, anytime/anywhere access for businesses to reach consumers and vice versa.
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Infrastructure: The capabilities of handset easily support interesting services and applications. Entrylevel Mobiles today have the same power as many PCs had in the 1990s. Also, High QOS (Quality-ofService) data networks are in place. Almost everyone has access to data services with even the most basic handsets & mobile service plans. Demographics and Evolving Consumer Market: The Indian consumer market including a new young working class with disposable income is growing very fast. People live fuller, mobile lifestyles these days. They value convenience and have a lot of things that they want to do. They are comfortable with eCommerce and willing to transact over the mobile to simplify their lives and optimize their time. Increased Disposable Income: There are many consumers in tier-2, -3 and -4 cities who have a lot of disposable cash but have limited access to physical retail outlets. For them, m-commerce will be a huge value-add. Another large percent of rural consumers with less disposable income would only consume a limited set of services/products like rail/bus ticketing, banking, bill payment, top-ups, etc. New Subscriptions: According to statistics, around 50% of new mobile subscriptions every month come from rural areas in India. The rural market in India holds a huge potential for deployment of m-commerce services and the subscriber base is expected to grow at a CAGR of 85% in the following years. Usability: In a few short years, mobile usability has improved dramatically in the eyes of consumers thanks to advances in device hardware, the substitution of WebKitoptimized HTML for WAP as the de facto mobile markup language, and the evolution of best practices for the design and development of software for small screens and touchscreens. Bandwidth cost: Due to new economies of scale and carrier investments in infrastructure, such as 3G networks, the retail cost of wireless bandwidth has been brought down to levels that were unthinkable only a few years ago. Data plans once measured in KB are now sold by the GB. IV. CHALLENGES Despite the huge potential it holds for the stakeholders, m-commerce has some challenges. MCommerce players need to improve the user interface soon and implement innovative pricing structures. Despite the initial problems of the users, consumers envision that once the glitches are worked out, mobile applications will become an integral part of their daily lives. User Psychology & Awareness: Users have to trust the mobile. Moreover, very few people are aware of the rich set of services that they can complete over the mobile today. Users are constantly amazed at the User
experience and services available through the major mcommerce players in the country. Open Access: The Internet exploded because any user could suddenly access any website in the world regardless of the PC or Service provider they used. For the mobile market to explode similar to the PC-Based Internet market, users anywhere in India should be able to access any service they desire as long as it is legal and secure without interference or effort. Secure mobile transactions: Facilitation of secure mobile transactions is another challenging task. Consumers have been generally receptive to marketing and education efforts by payment processors, financial institutions, and retailers. Exposure to and familiarity with the brands, processes, and security features associated with electronic transactions in general has led to a greater understanding by the public of the relative risks involved with mobile payments. Illiteracy: Illiteracy is a major roadblock for the implementation of m-commerce projects in India. For the m-commerce market, consumers should be made literate enough to consume the benefits. Interoperability: The consumer or the end-user needs to have the interoperability where they can access multiple services from various operators. Lack of consumer interest: Mobile connectivity and its applications such as mapping and social networking, reached critical mass and entered the cultural vernacular in less than two years. As a result, being accessible and presentable in these channels jumped overnight from being of limited value to being an essential part of any multichannel strategy. Potential impact of new TRAI regulations: TRAI regulations around consumer oriented issues such as mobile advertising and issues related to violation of customer privacy need be carefully considered for their impact on the market potential. Industry players believe that protecting the interests of consumers should not hamper the ability of carriers to educate consumers on the various services available to them. V. CONCLUSION Consumers accustomed to the product detail, logistics visibility, individual attention, and personalized marketing of a desktop web experience will soon expect the same level of service and interactionwhether they are reaching out to a particular brand on the mobile web, through an app, via a Facebook check-in, or while holding their smartphone in a store. While the vast majority of retailers and other businesses do not yet have this sort of integrated system in place, many of its prerequisites can already be found within the IT infrastructure of most enterprises. The explosive growth of the mobile internet and its associated devices has finally helped to realize the idea of consumer convergence, making it imperative for multichannel retailers and other enterprises that sell
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online to present a unified and consistent view of themselves to customers across a multitude of devices, locations, and activities. In this new world of agile or commerce, the concept of a traditional website or instore purchasing funnel becomes obsolete as mobile devices bridge the gap between online and offline. The mobile Internet channel has opened up new possibilities. There is a big gap between technologys capabilities and the consumers expectations. But, the good news is that problem areas like slow transmission speeds and high costs are being addressed by operators and equipment manufacture. Success in these emerging channels will require a strong and stable commerce infrastructure capable of handling customer, product, and transaction data at the individual record level, and disseminating it to a wide array of external services.
VI. REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] [9] Y. Yuan and J. J. Zhang, Toward an appropriate business model for m-commerce, International Journal of Mobile Communications, pp. 3556,January 2003. J. A. Senn, The emergence of m-commerce, IEEE Computer Magazine, pp. 148150, December 2000. K. Siau and Z. Shen, Mobile communications and mobile services, International Journal of Mobile Communications, pp. 3-14, January 2003. K. Raina and A. Harsh, M-Commerce Security, McGraw-Hill, 2000. K. Siau and Z. Shen, Building customer trust in mobile commerce, Communications of the ACM, pp. 9194, April 2003. http://www.hipc.org http://www.cacci.org http://www.isg.rhul.ac.uk Hitting the High Notes, FICCI-KPMG Indian Media and Entertainment Industry Report 2011, kpmg.com/in
MISCELLANEOUS PAPERS
Mergers and Acquisitions How to Position Your Company in a Consolidating Collaboration and Conferencing Market Place
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1
Anjali Sharma and 2Raghu Rampal
Assistant Professor, Dept. in Mgt. Studies 2 Management Student collaboration companies to align their capital market and product market strategies. II. OBJECTIVES Let the investors aware about the activities related to merger and aquisitions. How much the M&A between the companies effect their share prices & market value of the company How it will effect the perception of an investor before investing in that company III. RESEARCH METHODOLOGY Research Type: We have adopted a descriptive research Research Data: Our research paper is based on secondary data - websites & newspapers, various books by different authors has been referred. IV. SCOPE OF MERGERS AND ACQUISITIONS Mergers & Acquisition have gained popularity throughout the world in the recent times. They have become popular due to globalization, liberalization, technological developments & intensely competitive business environment. Mergers and acquisition are a big part of the corporate finance world. This process is extensively used for restructuring the business organization. In India, the concept of mergers and acquisition was initiated by the government bodies. The Indian economic reform since 1991 has opened up a whole lot of challenges both in the domestic and international spheres. The increased competition in the global market has prompted the Indian companies to go for mergers and acquisitions as an important strategic choice. The trends of mergers and acquisitions in India have changed over the years. The immediate effects of the mergers and acquisitions have also been diverse across the various sectors of the Indian economy. Mergers and Acquisitions (M&A) have been around for a long time and has experienced waves of popularity during these times and they are very much an important part of today's business world. They have also become increasingly international which can be due to the rising global competition. The popularity of cross-border
I. INTRODUCTION The environment for mergers and acquisitions is improving, especially in the small to mid-market brackets that contain the bulk the conferencing and collaboration companies. The upcoming time are likely to be critical, driven by factors such as: Rising valuations in the public markets changing the risk equation of build vs. buy Enterprise customers' gravitating to fewer providers Characteristics of the collaboration market that attract new entrants from adjacent spaces (Cisco, Microsoft, Oracle, etc) The rise of services-driven and recurring revenue software business models The importance of professional services Initial transactions that encourage more deals by lessening buyers' fears of overpaying or moving too quickly In our view, clients should take this opportunity to consider how the changing capital markets environment should influence business strategy. They should do so long before any decision to pursue a "strategic transaction" is considered. While companies can attain higher value for shareholders by attracting suitors with premium valuations, positioning a company to appeal to the right prospective buyers at the right time doesn't happen overnight. This review begins with a company performing honest "soul searching" on its long-term prospects and strategy and then extends into two inventories: external (product roadmaps and positioning, partnerships, services, etc.) and internal (board-level expectations and internal M&A capabilities). Given the current window in the capital markets and the high correlation between execution risk and aborted M&A transactions, we would argue that the time to do such planning is now. The benefit of such planning is increased executive and board-level buy-in to the eventual course of action, higher potential returns for shareholders, greater likelihood of achieving a company's vision, and greater security for employees, partners and customers. Factors are now conspiring to drive consolidation in the conferencing and collaboration space. Wainhouse Research and The Cowper Group believe the time is right for conferencing and
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M&A's makes it important to look at them from an international perspective As a subject in PGDM one studies the aspect of valuation in Mergers i.e. how a company decides about the amount that has to be paid for acquiring. Basically M&A emerged as a strategic issue but now a days, valuation aspect has gained more popularity.There are thousands of investment bankers who are daily engaged in valuations and in the coming years this trend is expected more in Banking sector as well as other sectors too. So one should study this subject in PGDM as well as PGDM (BFS).One will find this subject very interesting as it involves knowledge from every field. They are suitable for those studying advanced undergraduate and MBA courses in top MBA colleges, industrial organizations, finance, business strategy, and corporate governance, as well as those preparing for exams set by professional bodies. Mergers & Acquisitions focuses on how to value and analyze opportunities in this market; how to design and value consideration and deal protection measures; how to initiate and defend against hostile bids; and how to integrate businesses after a deal is struck. The recent acquisition of Zain by Bharti airtel is a well known example of this subject as once you start reading about the deal your interest keeps on increasing about the day to day news because people attached with this field have a zeal to know what will happen next, whether this deal will show positive signs or negative signs for the stock market. Mergers & Acquisitions teaches both qualitative and quantitative analysis: most cases require a balance of financial techniques and business judgment grounded in institutional facts. The course seeks to promote good judgment in the evaluation, structuring and management of mergers and acquisitions. A. Important Aspects of Global Mergers & Acquisitions Global Thinking The foremost requirement for a corporate looking to go global, to start with, is to change the old technocrat mindset and think big and global. Companies working in overly competitive environment have to change fast as per the evolving dynamics in their industry of operation. Bharti Airtels take-over of Zain Telecom is a case in point. Even as Bharti holds a numero unoposition in the growing telecom markets of India,, the companys management whiffed saturation of the urban markets in India along with regime of intensifying price wars. Without being content with their current market share and stature, the company initiated a bold step of acquiring African assets of Kuwaits Zain Telecom in a whooping $10.7 billion deal, inviting wrath of analysts community over valuations. As per an estimate only one in two Africans hold mobile phone and with Zain having strong presence in most of the countries in Africa, Bharti has
taken a lead in diversifying its risks involved in domestic markets. B. Pricing and Valuations Pricing and valuations at which the targeted firm is being taken over is the most crucial decision to be taken while contemplating a global acquisition move. Preferably, both the CEO and the CFO of the company needs to figure out the net cost-benefit analysis involved in acquiring an overseas company. At the same time, it must be kept in mind that merely pricing and valuation should not form abase of final decision. Even long term impact of the deal should be taken into account. Inmost of the mega-deals, the valuations are often touted as being overtly expensive in terms of pricing. But, if the deal is likely to be earnings accretive over the longer duration it may be worth it to go for a bold move. Similarly, if the move is likely to give the company a quick head-start within a given market, it could be worth it rather than going for slow organic growth process unless the valuations demanded are above realistic levels. The example of Bharti Airtel provided above fits perfectly well under this heading too C. Abiding Local Laws An overseas company targeted to be acquired is governed by specific local laws and policies. Different countries are governed by diverse set of jurisdiction processes. It could be in the form of local land acquisition laws or even local labour laws with different set of trade union rules.Take the case of Tata Steels acquisition of UKs Corus, where the initial strains have begun to show through labour issues and could likely result in labour strikes on account of Tata Steels decision to mothball its Teesside unit in northeastern England. The regulatory issues of overseas destination have to be tackled in conformation with local jurisdiction laws and rules under the recommendations of local legal experts. D. Flexible Decisions & Adaptability to Change Companies have to ensure that their business decisions and mandates are flexible and adaptable to change in the overseas markets. A product which is an instant hit domestically need not necessarily be as much viable in a foreign market. Take the case of same company Bharti Airtel. The telecom company played well its cards related to low-cost, high-volume game in the growing markets of India. In fact, it got a firm foot hold through this strategy as Indias premier telecom operator. And now the company is looking to replicate the same model in Africas too. It is not necessary that the same model would work over there too. If the volume game does not work over there, the company needs to be ready with a Plan B to quickly adapt to the diverse trend of local consumers.
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E. Diverse Tactics of Marketing An acquisition abroad is like marrying with an entity with distinct features and characteristics altogether, even though the new entity becomes a part of ones own company post- take over. While on the marketing front, it could entail relating to diverse tastes of consumers situated in the destination country. It could be more sensible to hire employees from local state who are more acquainted of the local environment conditions and trend dynamics. Availing services of the local employee expertise in production and marketing aspect could be seen as a game clinching aspect for going along with overseas ambitions. Employing local people would attract less stiffness from local people on issues related to employment concerns. Higher levels top executives, preferably even on the board seats, would act as an added boost for an able aid to top management in working our local business strategies for the company. F. Serving to Social Causes of Local Destination A foremost most rule that drives any top class company is to serve the social causes of the society. Whatever you give, comes back, goes the saying. A responsible and accountable company would be betteroff to part away some small portion of its earnings as a give-back to the local country and its people. Companies can initiate a number of societal objectives like adopting responsibility for improving infrastructure of a specific area or a location. It could be donations to charity organization and leprosy hit people. It could as well be any other social cause which spreads awareness among the people. Taking part in rehabilitation of areas hit with natural disasters. Most of all, the companies should also take accountability about the environmental aspects and welfare of the local country G. How to Prepare The preceding story is instructive in capitalizing on the improving M&A environment. To follow this example, companies can begin their preparation by asking themselves the following broad strategic questions: Do we believe that our resources and addressable market make for a sustainable, stand alone company (and for how long)? How do recent activities in the capital markets affect that strategy? What are our unique assets - what is it that we do or possess that is truly different? How does this impact the market we can address? Based on our assets, our target customers and our competition, what is our product strategy? Note that the oft-quoted guru of competitive strategy, Michael Porter, suggests 3 possible
classifications, which are cost leadership(lowest unit cost), Are our product and capital markets strategies integrated? How? What are our capabilities - do we have "what it takes" for M&A activities? If not, what is right kind of advisor to augment our internal capabilities?
H. Mergers and Acquisitions in India M & A are on the rise. Volume of mergers and acquisitions in India in 2007 are expected to grow two fold from 2006 and four times compared to 2005. India has emerged as one of the top countries with respect to merger and acquisition deals. In 2007, the first two months alone accounted for merger and acquisition deals worth $40 billion in India. The estimated figures for the entire year projected a total of more than $ 100 billions worth of mergers and acquisitions in India. This is two fold growth from 2006 and a growth of almost four times from 2005. V. MERGERS AND ACQUISITIONS IN INDIA IN 2007 Some of the important mergers and takeovers in India in 2007 were Mahindra and Mahindra acquired 90% stake in the German company Schoneweiss. Corus was taken over by Tata RSM Ambit based at Mumbai was acquired by PricewaterhouseCoopers. Vodafone took over Hutchison-Essar in India. A. The Merger and Acquisition Process It can be divided in to some steps. The stepwise implementation of any merger process ensures its profitability. Preliminary Assessment or Business Valuation Phase of Proposal Exit Plan Structured Marketing Origination of Purchase Agreement or Merger Agreement Stage of Integration B. Limitations It takes lots of time to cover all the recent market related M&A It deals more with qualitative factors than more concrete quantifiable factors. All aspects could not be covered & which may be equally important from an inverstors Point of view & according to companies point of view.
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C. Findings With the passage of time the perception of investors about the M&A is giving a good push to market, which is important for a company to stand in the market. Investors are more conscious & practical now a days, related to their investment and it is a good sign for market as well as for the economy. These types of fluctuations in the activities of M&A are spreading the area of growth and growth prospects.
Decline in equity pricing and investment value 3) The Competitive spirit in a company shouldnot diminish after attaining a corporate leadership position because to sustain at that position it must provide better share prices to its shareholders. VI. CONCLUSION Mergers have become topics of great concern in the global corporate arena. They represent a major force in modern financial and economic environment. The key factors driving Indian companies to go in for M & A has been highlighted in our research paper. The rise of globalization has exponentially increased the market for cross border M & A as it will add a new perspective to the growth process. Product advantages, product differentiation could also emerge as reasons for international mergers & acquisitions. REFERENCES
[1] Authors: Azhar Kazmi ( Stretagic Management), I M pandey (Financial Management), Mergers & Acquisitions: text and cases by B Rajesh Kumar. Wainhouse Research LLC. and The Cowper Group, LLC. http://www.scribd.com/doc/44285085/BhartiMTN,http://www.scribd.com/doc/38453443/CorporateGovernance, http://www.authorstream.com/, www.myworld.com, http://www.economicshelp.org/microessays/competition/benefit s-mergers.html, http://www.helium.com/items/1561489mergers-and-acquisitions
D. Recommendations 1) If a poison pill unknowingly emerges after a sudden acquisition of another company's shares, this could render the acquisition approach very expensive and/or redundant. So, Legal expenses Short-term opportunity cost Cost of takeover Potential devaluation of equity Intangible costs etc. should be well considered. 2) It shouldnot Increase in cost to consumers Decreased corporate performance and/or services Potentially lowered industry innovation Suppression of competing businesses
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Income Statement as Stakeholders Value Driver Working Capital ManagementEnhancing Core Value
1
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Kuldeep Indeevar and 2Cijil Diclause
Student - PGDM Finance and Marketing, FORE School of Management, New Delhi 2 Student - PGDM Finance, FORE School of Management, New Delhi e-mail: kuldeep.indeevar@gmail.com, cijil@diclause.com and increasing profitability through efficient working capital management. The implications being crucial for organizations to improve the business climate in their respective industries. The paper comes with recommendations for the best practices to be followed, to optimize the use of working capital management. I. OBJECTIVES To appreciate strategic importance of Income statement as stakeholders value driver. To establish that Working capital Management is linked to core value creation. To relate specific specify business strategies for better WCM. To determine the effects of better WCM in SME Sector. II. METHODOLOGY Data from secondary sources has been analyzed at length to reach logical conclusions. A Working capital model has been developed to relate the various WCM business strategies with increased profitability. III. INCOME STATEMENT A. A Stakeholders Comprehensive Value Driver Income statement has been an excellent reflect of financial performance of a firm. Financial analyst have been using income statement for investment decisions, gazing how well the firm is performing. Lesser emphasis has been laid on strategic view of income statement. This paper is an attempt to establish the strategic importance of income statement. Income statement is a statement which shows how the obligation towards every stakeholder around the business is being met. These stakeholders include customers, labour, employees, debt providers, equity holders, management, government and economy as a whole. Therefore it can be stated that income statement, accounts for the value delivered to stakeholders, by the business activity during a period. This very perspective of an income statement changes the view of management from it being a mere
AbstractThis paper establishes a theoretical perspective to appreciate elements of Income Statements as value drivers for various stakeholders within and out of an organization. Further paper maps these value drivers with respective stakeholders and argues their criticality in overall value creation. Upon this foundation the paper identifies that core value creation is reflected in an income statement between revenue and gross profit. This core value creation is a function of firms credit policy, efficiency, inventory management and raw material sourcing. With financial perspective, paper identifies these operational and business strategies are knitted upon working capital management. Working capital management as starting point of core value creating strategy, paper discusses various perspectives abounding around it.
Liquidity is a prerequisite to ensure that organizations are able to meet its short-term obligations and its continued flow can be guaranteed from a profitable venture. It has been well established by researchers that a decrease of 30% in working capital has increased profitability by 16%. Therefore a firm is required to maintain a balance between liquidity and profitability while conducting its day to day operations, to ensure minimal opportunity cost and adequate Cash Surplus. Further, paper assesses the effect of different corporate strategies on Working capital Management and its effects on the organizations profitability. As organizations are pushing for greater cash efficiency because of the current economic climate, it can mean a strategic advantage. Research indicates that working capital management in different industries, significantly increase profitability; moreover, they have different elasticity. In light of these findings, we have segmented different sectors based on their requirements in working capital. We have identified three different strategies, which suit the specific industry needs. Thus better visibility and control over cash inflows and outflows, which in turn can reduce dependence on external source of funding. Finally, the paper analysis the trends followed in India and a comparative study with China in the SME, MSME space. This helps us understand, the working capital strategies which would help the organizations unlock the true stakeholder value. Thus, reducing costs
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account of income and expenses to an account of value delivered to various stakeholders. And this brings out the strategic importance of income statement which is in congruence to the core objective of any business i.e. to maximize value for every stakeholder. The Basic Income statement consists of the Revenue or the sales which are earned from the goods
delivered to the customers. We then subtract the cost of goods sold from the revenue to get the gross profit. Cost of goods sold broadly consists of value delivered to the employees and suppliers, through the employee cost and the raw material cost. And from the Gross profit, depreciation and amortization is deducted to reach what is known as the operating profit.
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Operating profit gives a picture of the profit earned by the company due to its operating activities or the core operations of the company. Then from the operating profits we pay Interest pa, which drives value for the debt providers. This may include many financial institutions or other financial intermediaries. Hence this key component of the Income statement drives value for them. Then the taxes are deducted from the residue of the operating income minus Interests, which forms the value driver for the government or the regulators according to the law of the state. Taxes form an integral part of the income statement in deciding the bottom line for the company. We then arrive at the net income or the profit after tax as it is better known, this is the income that is left for the equity shareholders or the company. This may be distributed equally or partly distributed to the shareholders in the form of dividends. This is the most important component of the income statement and is known as the bottom line for the company. Now If we look at the income statement from a purely business perspective, we realize that nothing much can be done about the interest and the tax component as they are exogenous factors to the firm. Hence the management should look towards making the endogenous factors impacting the cost of goods sold and the strategies to minimize it further. These strategies lead us to the working capital management (WCM) efficiency and higher value creation. Revenue to operating profit in an income statement is the most critical aspect. It reflects the efficiency and profitability of core business activity. Moreover this operating figure is from which interest, tax etc are subtracted. Therefore logically stronger the operating profit stronger is the bottom line. In light of above arguments, for rest of the paper we narrow our focus to various business strategies that effects the conversion of revenue to operating profit.
These strategies include better raw material sourcing, process and its efficiency and supply chain improvements. From a financial perspective working capital management is the unifying thread to all these strategies. In rest of the paper we consider working capital management as a pivotal point and present our analysis around it. IV. WCM LINKED BUSINESS STRATEGIES Core value creation is a function of firms credit policy, efficiency, inventory management and raw material sourcing. These business strategies are being affected or affect working capital management. Working capital requirement and its fluctuation can be regarded as an indicator of effectiveness of these business level strategies, or one can argue that working capital management is a controlling tool for them. Whatever may be the case, importance of none can be undermined. Therefore it is imperative to discuss both strategies that affect WC and WC that can be levered to drive these strategies. In this section we briefly discuss various business strategies and their impact on organizational efficiency and profitability. While in the next section we emphasize the connect of these strategies with WC and hence business value. A. Business Level Decisions Includes Questions Regarding Use of technology (effecting fixed and variable costs, efficiencies, process velocity etc); Decisions regarding costing & raw materials etc; Decisions relating process variables; Credit and collection policies. Preceding text discusses these specific strategies; however compressive listing and analysis of such strategies is beyond the scope of this study.
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V. TECHNOLOGICAL ADVANCE Firms which are technologically advance in nature are more equipped with efficient solutions to new business challenges. Technology plays a very important role in identifying cost effective business solutions and hence improve profitability. Once, the firm becomes technologically mature the nature of the business simplifies and break down complex structure into simpler once. The firms across the industries should keep themselves technologically advance and efficient. VI. COST EFFICIENCY A cost leadership strategy is when the producer commands the least cost of production in the industry. Some firms sustain because of their advantageous positioning as a cost leader in the industry. This cost leadership is the result of better utilization of available resources and better management implementation. VII. CREDIT POLICY The credit policy of the company also determines its profitability. The manufacturing industry in particular is very important. But the credit policy is driven by other factors such as market share, product demand and industry growth. Based on these parameter the credit policy may be skewed towards the supplier or customers. VIII. PROCESS EFFICIENCY The success to an efficient working capital management would be through a re-engineering of the processes followed in the firm. The processes include cash collection, payments to supplier and availing short term financing for better business delivery. These reengineered processes would lead to: A win-win for both supplier and producer. A shorter cash conversion cycle. A reduced cost of sales. A certain cash flow at a predetermined time. Thus the process efficiency is a requisite for effective working capital management. With constant re-engineering and improved process, the chances of a better management style and improved bottom lines. A. Conservative Financing Reliance on Fixed Obligation
IX. WORKING CAPITAL MANAGEMENT ENHANCING CORE VALUE Working capital refers to the firm's total current assets (the short-term ones), inventory, accounts receivable, marketable securities, and cash. Working capital management deals with day-to-day operations, by making sure that production lines do not stop due to lack of raw materials that inventories do not build up because production continues unchanged when sales dip, that customers pay on time and that enough cash is on hand to make payments when they are due. A. Net Working Capital = Current Assets - Current Liability A firms value can only be enhanced in long term through efficiently managing their short term financing. Firms fail most often because they are unable to meet their working capital needs; consequently, sound working capital management is a requisite for firm survival. Now the objective of the firm is to maintain a NWC which does not block a huge amount, which could otherwise be utilized in various investments to reap better returns. The firm should also maintain an adequate level of NWC to meet any unwarranted short term obligation. Every firm requires some amount of working capital. It is needed for following purposes To pay wages and salaries. To provide credit facilities to customers To purchase of raw materials, components and spares from the suppliers To incur day to day expenses and other selling general and other administrative expenses. Factors determining working capital requirements: Size of business - Economies of Scale. Nature of character of business - pull or push based demand. Seasonal variations working capital cycle e.g. Beverages industry. Operating efficiency Application of JIT or Lean manufacturing. Profit level Cost efficiency Hence to optimize the Working capital required in a particular firm, we have three different strategies, which on implementation would lead to increased profitability. Strategy 1: To invest the least in the input stage of any cash conversion cycle, this would lead to a delayed payment to the supplier and reduced cost to producer. This kind of strategies can only be implemented by a market leader or in firms which have certain cash flows for the accounting period. Strategy 2: To re-invent a better supply-chain channel for increased delivery efficiency and reduced defect rate. This strategy would increase the supplierproducer-customer confidence and lead to increased brand equity in the long run.
This strategy should be followed across the industries, as higher reliance on debt funding would infuse an obligation on the company to pay interest even during lower sales. But, on the other hand this low cost funding option replaces the high cost equity funding. Hence there should be a balance between the fixed obligation and equity funding, which should be governed by the industry standards and also the growth potential of the firm.
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Strategy 3: To an early collection against invoices through incentivized cash discounts or freebies. This strategy would lead to increased cash to the firm and lower dependence on outside funding. This is possible by firms which have a higher market share and in high growth industries.
Hence we arrive at a constant which is comparatively very less in case of India being 4.00 as compared to china which has the constant at 5.422 signifying a more efficient financial management of the SME firms in China. Thus SMEs sector needs governments contribution in order to improve the efficiency of the firms and unlock the true value of the stakeholders. And the Governments efforts to take a leap forward and adopt the best practices should include an effective working capital management by these firms. Therefore the sector needs three things i.e., up gradation of technology, financing is required so that the projects are timely completed and creating awareness about the various benefits of efficient working capital management. XI. CONCLUSION
Fig 1: Working Capital Instructional Model
X. BETTER WCM LEADING TO COMPETITIVE ADVANTAGE OF CHINESE SMES According to various Government agencies the contribution of the Indian SME and MSME sector firms is 22 % and 10 % respectively. And out of the total number of firms in India, SME contribute 80%. Therefore a total of 32 % of the contribution to GDP is from these companies and most of them have limited access to capital and lack management efficiency. On the other hand, out of the total number of Chinese companies, 99.60 % companies are in the SME sphere and 54% by contribution to GDP. This increased contribution of the sector is because of the greater emphasis of Chinese companies on the working capital management which helps them to transform the cash locked in the cash conversion cycle into higher yielding production. Thus Chinese companies are more profitable as compared to their Indian counterparts. The Indian SME and MSME sphere is driven by family owned business which lack constant innovation exposure and lower dependence on outside funding. And hence are unaware of global best practices. Thus a revolutionary transformation is required to equip the Indian SME, MSME sphere with tools for increased profitability.
TABLE: EFFICIENCY ANALYSIS OF SME SECTOR IN INDIA AND CHINA
Income statement is the key value driver for all the stakeholders in a profit oriented firm. And the paper reestablishes this fact in light of the various stakeholders. The key to any increase in stakeholder value enhancement in bottom-line has to root through the income statement. Therefore paper suggests firms to develop and implement business level strategies with income statement as a strategic driver. Business strategies according to the firm requirement, industry standards and market share drives better value to different stake holders. Hence any business strategy driven decision on the Working capital requirements would have a direct impact on the profitability of the company. Working capital management leads to enhanced bottom line. This is another finding of the paper, which can be established through the fact that the value unlocked must be re-invested into a higher yielding production than the cost of unlocking. Indian SME, MSME sector has to go through a transformation to equip against global competitive forces. This was established through a comparative study between Indian and Chinese SME sector companies and their contribution towards the GDP. REFERENCES
[1] "MSME Share in GDP May Touch 10%." Business News, Finance News, Stock Market, World Business, Financial Markets News Online. Web. 31 Mar. 2011. <http://www.financialexpress.com/news/-MSME-share-in-GDPmay-touch-10--/589711/>. "Income Statement Definition." Investopedia.com - Your Source For Investing Education. Web. 15 Mar. 2011. <http://www.investopedia.com/terms/i/incomestatement.asp>. "Organization on Diet." Gtnews: Home. Web. 15 Mar. 2011. <http://www.gtnews.com/article/5644.cfm>. "Smaller Firms to Benefit from New Definition of SMEs China.org.cn." China.org.cn - China News, Weather, Business, Travel & Language Courses. Web. 31 Mar. 2011. <http://www.china.org.cn/business/201010/27/content_21212569.htm>.
India Total Number of Firms in India = XI Total Number of SME firms in India = 0.8 XI Percentage contribution of SME to GDP = 0.32 Efficiency coefficient of Indian SMEs =0.32/0.8 XI = 4.0
China Total Number of firms in China = XC Total Number of SME firms in China = 0.996 XC Percentage contribution of SME to GDP = 0.54 Efficiency coefficient of Chinese SMEs =0.54/0.996 XC = 5.422
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National Conference on Strategic Management of Business Development: Issues and Prospects "Smaller Firms to Benefit from New Definition of SMEs China.org.cn." China.org.cn - China News, Weather, Business, Travel & Language Courses. Web. 31 Mar. 2011. <http://www.china.org.cn/business/201010/27/content_21212569.htm>. "SMEs India,India's SME Scenario,SMEs Role in Indian Economy,SMEs Contribution to GDP,India." TradeIndia Indian Manufacturers,Exporters,Suppliers Directory,B2B Portal,Business Directory India,Manufacturer,Supplier. Web. 31 Mar. 2011. <http://www.tradeindia.com/newsletters/special_report/tips_13_ feb_2007.html>. "SMEs India,India's SME Scenario,SMEs Role in Indian Economy,SMEs Contribution to GDP,India." TradeIndia Indian Manufacturers,Exporters,Suppliers Directory,B2B Portal,Business Directory India,Manufacturer,Supplier. Web. 31 Mar. 2011. [10] <http://www.tradeindia.com/newsletters/special_report/tips_13_ feb_2007.html>. [11] "Stakeholder Value Perspective." 12manage - The Free Management Encyclopedia and Network. Web. 15 Mar. 2011. <http://www.12manage.com/methods_stakeholder_value_persp ective.html>. [9]
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Financial Crisis and Impacts

Bharati Binawra
Lecturer in Commerce, Shri Aatm Vallabh Jain Girls College, Sri Ganganagar e-mail: braj.sgnr@gmail.com
AbstractThe impact of the global crisis has been transmitted to the Indian economy through three distinct channels, viz., the financial sector, exports, and exchange rates. On the financial front, the Indian banking sector was not overly exposed to the sub-prime crisis. While exports of both goods and services, still account for only about 22 percent of the Indian GDP, their multiplier effect for economic activity is quite large as the import content is not as high as for example in the case of Chinese exports. Therefore, an export slump will bring down GDP growth rate in this year. The third transmission channel is the exchange rate, as the Indian Rupee has come under pressure. In terms of policy response, there is not much room for further fiscal policy action as the consolidated fiscal deficit of the central and state governments in 2008-09 is already about 11 percent of the GDP. Any further increase in fiscal deficit to GDP ratio could invite a sharp downgrading of Indias credit rating and a loss of business confidence. It is more important to focus policy attention on removing some of the many remaining structural bottlenecks on raising the potential GDP growth rate. Essentially this will imply efforts at improving the investment climate both for domestic and foreign investors; removing the entry barriers for the entry of corporate investment in education and vocational training; improving the delivery of public goods and services; and expanding physical infrastructure capacities including a major effort at improving connectivity in the rural regions.
forecasting a global recession with negative growth for world GDP in 2009-10. The IMF has revised its forecasts downwards thrice since July 2008, and it is not yet certain that this will be the last revision. The WTO has predicted that world trade, which has virtually collapsed in the second half of 2008 is likely to decline by as much as nine percent in 2009-10. We have already seen exports from worlds major exporters, like Germany, Japan and China, plummeting by more than 35 percent in the last quarter of 2008. The sharp decline in economic activity is despite the large stimulus, estimated at more than USD3 trillion, those OECD economies have put in place. Yet the bad news does not stop. The worst downside scenario could be for the US economy being trapped in a Japan like L shaped recovery for the next few years. This will imply a further decline in world exports and softening of global commodity prices. In turn, it will result in sharp slowdown in world exports and result in widespread unemployment and social stress in major exporting economies. This could well generate irresistible protectionist sentiments and if governments do succumb to these, it will unleash the dreaded downward cycle which could see the global economy plunging over the precipice into a prolonged recession. It is, therefore, prudent not to underestimate the severity of the present crisis. II. IMPACT GLOBAL CRISIS ON INDIAN ECONOMY The impact of the global crisis has been transmitted to the Indian economy through three distinct channels, viz., the financial sector, exports and exchange rates. The financial sector including the banking sector, equity markets, external commercial borrowings and remittances has not remained unscathed though fortunately, the Indian banking sector was not overly exposed to the sub-prime crisis. Only one of the larger banks, ICICI, was partly affected but managed to thwart a crisis because of its strong balance sheet and timely action by the government, which virtually guaranteed its deposits. The equity markets have seen a near 60 percent decline in the index and a wiping off of about USD1.3 trillion in market capitalization since January 2008 when the Sensex had peaked at about 21,000. This is primarily due to the withdrawal of about USD12 billion from the market by foreign portfolio investors between September and December 2008. The foreign investors withdrew these funds in order to strengthen the balance sheet of their parent companies. Commercial credit, both for trade finance and medium-
I. INTRODUCTION The Indian economy looked to be relatively insulated from the global financial crisis that started in August 2007 when the sub-prime mortgage crisis first surfaced in the US. In fact the RBI was raising interest rates until July 2008 with the view to cooling the growth rate and contains inflationary pressures. But as the financial meltdown, morphed in to a global economic downturn with the collapse of Lehman Brothers on 23 September 2008, the impact on the Indian economy was almost immediate. Credit flows suddenly dried-up and, overnight, money market interest rate spiked to above 20 percent and remained high for the next month. It is, perhaps, judicious to assume that the impacts of the global economic downturn, the first in the center of global capitalism since the Great Depression, on the Indian economy are still unfolding. The severity and suddenness of the crisis can be judged from the IMFs forecast for the global economy. For the first time in 60 years, the IMF is now
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term advances from foreign banks has virtually driedup. This has had to be replaced with credit lines from domestic banks but at higher interest costs and has caused the Rupee to depreciate raising the cost of existing foreign loans. Finally, while the latest numbers are not yet available, remittances from overseas Indians have reportedly fallen as oil producing economies in the Gulf and West Asia begin to suffer from decline in oil prices. The second transmission of the global downturn to the Indian economy has been through the steep decline in demand for Indias exports in its major markets. The first sector to be hit was the gems and jewellery which felt the impact in November itself and where more than 300,000 workers have lost their jobs. The negative impact has since covered other exportoriented sectors garments and textiles, leather, handicrafts, and auto components. The 21 percent decline in exports in February 2009 is the steepest fall in exports for the last two decades. It is unlikely that exports will recover within this year. While exports of both goods and services, still account for only about 22 percent of the Indian GDP, their multiplier effect for economic activity is quite large as the import content is not as high as for example in the case of Chinese exports. Therefore, an export slump will bring down GDP growth rate in this year. The third transmission channel is the exchange rate as the Rupee has come under pressure with the outflow of portfolio investments, higher foreign exchange demand by Indian entrepreneurs seeking to replace external commercial borrowing by domestic financing, and the consequent decline in foreign exchange reserves. This is likely to continue because current account will remain in deficit and the capital account, which has been in deficit in the second and third quarters of 2008-09, will not generate the needed surplus to cover the current account deficit. This will imply further drawing down of foreign exchange reserves and continued downward pressure on the exchange rate. However, with foreign exchange reserves remaining at 110 percent of total external debt at the end of December 2008, investment sentiments should not be unduly affected in the near-term. The nearly 25 percent depreciation in the Rupees exchange rate has partially nullified the benefits from the decline in global oil and gas prices and increased the cost of commercial borrowings. The weaker Rupee should encourage our exporters and it is possible that with imports declining as sharply as exports, the countrys trade deficit may actually improve in the short-run and the external sector balance may remain stable and not pose any major policy issue. Overall, it would be fair to say that the timing of the external shock from the global economic downturn has been rather unfortunate. Coming right on the heels of a policy induced contraction in economic activity, its initial impact, as reflected in the third quarter GDP
growth falling to 5.3 percent and the steep decline in exports, has been perhaps exaggerated. This negative impact has been, to an extent, ameliorated by the quick policy response both by the RBI and the Central government. The RBI has infused about USD80 billion, as additional liquidity by cutting the CRR, lowering the SLR and unwinding the MSS. The RBI has also signaled its expansionary preference by cutting its repo rate, at which it lends funds to commercial banks from nine to five percent in less than six months. The reverse-repo rate has also been brought down to 3.5 percent to discourage banks from parking overnight funds with the RBI. Three fiscal stimuli have been announced between November 2008 to February 2009. These amounts to about 1.3 percent of the GDP. However, to these stimulus packages we should also add the fiscal outlay of measures announced in the 2008-09 Budget in February 2008. These included some measures that implied a hefty transfer of purchasing power to the farmers and to the rural sector in general. These included, farm loan waivers, funds allocated to the National Rural Employment Guarantee Scheme (NREGS), Bharat Nirman (targeted for improving rural infrastructure), Prime Ministers Rural Road Programme, and a large increase in subsidies on account of fertilizers and electricity supplied to the farmers. All this measures, taken more out of political considerations and not in response to the global crisis, have, nevertheless, helped to shore up rural demand for both consumer durables and non-durables. Some of us at the ICRIER have used a model of leading economic indicators to forecast GDP growth for India. We have modified the model to not only incorporate the impact of the external shock provided by the global economic downturn but also to take in to account the mitigating impact of the monetary and fiscal measures taken by the government. According to this model, Indian economy will grow by about 6.3 percent in 2008-09. The Economic Advisory Council to the Prime Minister has now also brought down its estimate of 2008-09 GDP growth to 6.5 to seven percent and not 7.1 percent as given by CSO in its advanced estimates and used for budget formation by the finance ministry. The GDP growth is likely to further decline to between 4.8 to 5.5 percent in 2009-10. Other agencies like the IMF, the World Bank and the ADB have also estimated Indian GDP growth in 200910 at similar levels in their latest forecasts released in March 2009. Thus, Indian economy will come down from the nine percent trend that it had achieved in the last four years. The growth targets for the 11th FiveYear Plan will also have to be surely lowered. III. POLICY RESPONSE There is not much room for further fiscal policy action as the consolidated fiscal deficit of the central
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and state governments in 2008-09 is already about 11 percent of the GDP. This is likely to rise further as further necessary public expenditures are announced in the next budget and economic activity slows down. Any further increase in fiscal deficit to GDP ratio could invite a sharp downgrading of Indias credit rating and a loss of business confidence. With inflation down at less than one percent and likely to remain below five percent in the coming months, there is room for bringing down the repo rate further. However, the more important issue is to try and induce commercial banks to bring down their lending rates as these currently remain at around 10 percent even for their prime borrowers. This is largely a result of the crowding out effect of the large government borrowing programme. To address it, the government may have to consider monetizing its borrowing requirement so that liquidity is not squeezed out of the system. This poses the danger of stoking inflation in the medium-term but perhaps more importantly the breakdown of macro-prudential discipline that has been achieved after considerable effort. It would seem, therefore, that governments options for taking counter cyclical and reflationary measures in the short term are rather limited. In our view, it is more important to focus policy attention on removing some of the many remaining structural bottlenecks on raising the potential GDP growth rate. Essentially, this will imply efforts at improving the investment climate both for domestic and foreign investors; removing the entry barriers for the entry of corporate investment in education and vocational training; improving the delivery of public goods and services and expanding physical infrastructure capacities including a major effort at improving connectivity in the rural regions. These measures will constitute the package of second generation of structural reforms and will enable the Indian economy to climb out of the downward cyclical phase and then to extend the upward phase for a longer period than was achieved in the last cycle.
IV. GROWTH PROJECTIONS Government projections still talk about 7.1 percent real growth in 2008-09 and expect seven percent growth in 2009-10. The interim budget presented on 16 February 2009 spoke of a nominal GDP growth of 11 percent in 2 January 2009 Growth Downturn and Its Effects 1516 Global Financial Crisis: Impact on Indias Poor 2009-10. However, the CSO Q3 2008-09 GDP figures show growth of 5.3 percent. What is also pertinent for these Q3 figures is a growth of 17.3 percent in, the category community, social and personal services, reflecting the impact of the Sixth Pay Commission. Were this effect to be netted out, growth would probably be of the order of 4.5 percent. Therefore, contrary to government projections, most outside estimates are based on a growth rate of between 4.5 and five percent in the second half of 2008-09, a rate of growth that continues through the first half of 2009-10 too. There is also some consensus that there will be recovery in the second half of 2009-10. That does not, however, mean recovery to the dizzying 8.5 percent heights. While individual projections differ, most independent forecasts would be something like five percent for the first half of 2009-10 and six percent for the second half, with 5.5 percent for the entire year. The governments expectations of seven percent are primarily based on the three fiscal stimuli packages and monetary policy loosening working their way through. From the point of view of the poor, the impact of the financial crisis should not be looked at in isolation. We also need to factor in the food and fuel crises that preceded it. Indias inflation rate, based on the wholesale price index (WPI), is declining and the point-to-point WPIbased inflation rate may soon turn negative in early April 2009. However, different CPI (consumer price index) based inflation indicators are available for January and February 2009 and these still show pointto-point inflation rates in excess of 10 percent. While CPI-based inflation is also on its way down, the major reason for a difference between WPI and CPI trends is the relatively higher weight in the latter to food products and high food inflation.
Tourism: A Case Study of Mizoram (An Overview)

1
1
Rohit Sharma and 2Karnail Singh
Asst Professor, CT Institute of Hotel Management, Jalandhar 2 HOD, CT Institute of Hotel Management, Jalandhar e-mail: rohitrith@yahoo.co.in, ctihm_karnail@yahoo.co.in sector of Mizoram. It is a mountainous region cocooned in aesthetic beauty. Mizos are a close knit society with no class distinction and no discrimination on grounds of sex. Peaks crowned with mist,captivating valleys, enchanting streams and meek tribal villages offer a lot of employment to the discerning tourists. The Mizos are divided into several tribes the lushais, pawis, paithes,raltes, hmars,kukis,pang etc.Mizoram became a union territory and as a sequel to the signining of the historic memorandum of settlement between government of India and the Mizo National front in 1986, it was granted statehood on 20th feburary 1987 OVERVIEW OF MIZORAM TOURISM DEPARTMENT The department since its inception as a separate department has only a Directorate office in Aizawl and as such, it has neither divisional or sub-divisional office except the tourist facilities like, tourist lodges, highway restaurants etc. The functions and duties of the tourism department is to develop and promote tourism in the state by creating various kinds of tourist infrastructure to provide basic amenities to the tourist visiting the state. The main functions of the tourism department are as follows: Assisting and guiding tourist whenever require for their visit to Mizoram Generating revenue to the state excheqner Organizing and conducting education tour in the country and abroad Promotion of tourism by marketing through tourist festivals, fair etc in various state and abroad. Managing and running of completed tourist facilities Encourage and support in celebration of important festivals like chapchar Kut, favang kut etc., Publication of tourist information folders, booklets, tourist guide map to provide basic information on Mizoram. To explore potentials of tourism in the state. Organsing workshop, seminar and function to create public awareness tourism promotion.
AbstractsThe pace at which tourism is growing in Mizoram is a welcome sign. Tourism has contributed very less in the economic growth of the state despite of vast potential. Mizoram houses spectacular landscape, beautiful hills and places of tourist interests. The nascent stage of tourism in Mizoram need to be developed by leaps and bound. The infrastructure and superstructure of the states need to be developed in order to meet the international standards. A land of rolling hills, valleys, rivers and lakes can be marketed to international tourists. Further, the rich tradition with dances which reflect the amalgamation of centuries of cross- cultural inputs can lure the tourist. To bring Mizoram in the tourist, map of the world, the governments have to utilize the resources available and plan for its development. Mizoram tourism has identified several destinations and tourism circuits for infrastructure, accommodation and other developments. These select destinations and circuits of Mizoram tourism would be developed in terms of tourist amenities, wayside amenities, accommodations and other infrastructure which indeed can increase the flow of tourists. This paper provides a complete look about domestic and foreign tourist arrival to Mizoram. The paper also highlights the problems of tourism industry and suggests suitable measures to overcome the problem. Key words: Mizoram, Economic growth, infrastructure, superstructure, cross cultural
I. INTRODUCTION Sociable,hospitable and fun loving with very strong community bonds the mizo are often referred to as song bird of the north east. Mizoram shares its boundary with two neighboring countries Myanmar on its east and south and Bangladesh on its West, apart from the tiny state of Tripura. The northern border of Mizoram is shared by two neighboring states, Assam and Manipur. The climate of the state is warm and humid. As tropic of cancer runs through the state, the climate is temperate but pleasant. Mizoram has many picturesque sites to visit. The museum and mini zoological garden at Aizawl, bung picnic spot and paikhai are worth are worth a visit. Mizoram is an land of unending natural beauty with a variety of flora and fauna. It is the land of highlanders. A number of important rivers flow through the state include the sonai, tlawng, kolodine and kamaphuli. Creation of tourist complexes, adventure sports, and resort facilities, amusement parks, health farms, hotels,convention centres, tourist travels services etc offer various avenues for investment in the tourism
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To sponsor training of educated youths to enhance skills in manpower development relating to tourism subjects To develop and create facilities to promote adventure tourism in terms of water sport, air and land adventure tourism. To create tourist infrastructure to provide basic amenities to the tourist in terms of accommodation, wayside amenities to the tourist in terms of accommodation, wayside amenities (Catering) and recreation. II. OBJECTIVES OF THE STUDY
fanfare by drinking rice-beer, singing, dancing and feasting. Samples of the previous year's harvest are consecrated to the departed souls of the community. B. Chapchar Kut Chapchar Kut is another festivals celebrated sometime in March after completion of their most ardous task of jhum operation, i.e., jungle-clearing. This is a spring festival celebrated with great clat. C. Pawl Kut Pawl Kut is Harvest Festival - celebrated during December to January after the harvests are over. It is perhaps the greatest festival, with plenty of grains in the barn and all the labours of the year over, what better time is there than this to have a great festival. D. Anthurium Festival The Festival is to be held at Reiek Mountain at a height of 1584 metres and only an hours drive from the the state capital of Aizawl. The enchanting and mystic Reiek Mountain is around by thick lush green temperate trees and bushes that echoes with legends, folk lores and feats won by Mizo chief, for whom Reiek Mountain was a hunting preserve. Against the backdrop of this picture perfect isle of nature preserved as gifted by mother nature, the most popular festival of Mizoram, Anthurium festival is held every year. A festival that showcase past and present Mizoram with entertainments that will give you an experience of a lifetime. The sponteneity and spirit of celebration that the festival evoke rejuvenates the mind and the body, so, take the opportunity to get away from the stress and monotony of your daily chores. E. Lakes in Mizoram The state of Mizoram has a number of beautiful lakes situated in different parts of its territory. Lakes are scattered through out the state. But there are few, which are worth a visit. The most important of them are Palak, Tamdil, Rungdil; and Rengdil. The lake of Mizoram are ideal of boating and fishing. All the locations are distinct and picturesque,providing a lovely sight to the onlookers. F. Tamdil Tamdil is situated in Aizawl district. The Tamdil lake is a natural lake situated about 110 km south-east of Aizwal town and 7 km from Saitual village. Legend has it there was once a huge mustard plant in the place of the lake. When the plant was cut off, jets of water sprayed out from the plant creating a pool of water, and thus the name Tamdil which means of 'Lake of Mustard Plant' was born. Today the lake is a major tourist spot and a holiday resort.
To review the arrivals of tourist in Mizoram To highlight the tourist sports of Mizoram To highlight the festivals of Mizoram. III. RESEARCH METHODOLOGY
The study mainly based on secondary sources. Data is collected is fromwebsite, magazines, journals, periodical, library based research is also undertaken. A. Limitation of the Study The study is based on the information from secondary sources which reduce the degree of reliability Most of the data were collected from internet so there may be chances of printing error. The tourism department of Mizoram has not publish the full information about Tourism in Mizoram so it become really difficult to reach to conclusion. Time was the biggest concerned of the author, due to limitation of time, the author was not able to highlight all details. The research is purely from secondary source so the authenticity may be less.
FLOW OF TOURISTS IN MIZORAM:
Year 2006 2007 2008 2009
Domestic Tourists International Tourists 50987 436 43161 669 55924 902 56651 513
IV. FESTIVALS IN MIZORAM Mizos are agriculturists. They practice what is known as Jhum Cultivation. They slash down and cultivate the land. All their other activities revolve around the jhum operations and their festivals are all connected with such agricultural operations. A. Mim Kut Mim Kut or Maize Festival is usually celebrated during the months August and September, after the harvest of Maize. Mimkut is celebrated with great
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G. The Palak Lake The lake is situated in an inaccessible land in the southern part of Mizoram. The Palak lake is situated in the Lakher region of Chhimtuipui district, 130 km south-west of Saiha, the district headquarters and 5 km from Pahu village. It is an oval lake, 200 m long and 150 m wide, occupying an area of 30 ha. It is said that, the lake came into existence as a result of an earthquake or a flood. The local people believe a village which was submerged still remains intact deep under the waters of the lake. H. Rungdil Lake Rungdil Lake is situated 14 km from Suangpuilawn village in Aizwal district. It has an area of 2.5 ha. Rungdil (lake of partridge) has acquire, because at one time it was the home to a large number of partridges. Rungdil Lake consists of two lakes, more or less similar, separated by a narrow strip of land. It is said that if a pumpkin is cut into two halves and one is put in one lake, it will surface in the other lake. The two lakes are believed to have a subterranean connection. The lake is bounded by tropical evergreen deciduous forests. Its flora and fauna are of similar type as found in and around the other lakes in Mizoram. I. Rengdil Lake
C. Milu Puk In the Mizo language, puk means a cave. Situated near Mamte village over 100 kms, from Lunglei town, the Milu Puk, which is a large cave, was found many years ago to contain heaps of human skeletons. D. Kungawrhi Puk Another cave in Aizawl district, it is situated on a hill between Farkawn and Vaphai Villages. According to the folktales, a beautiful young girl by the name of Kungawrhi was abducted and kept confined in the forlorn cave by some evil spirits when she was on her way to her husband's village. Kungawrhi, however, was later rescued by her husband from the prison of the spirits. E. Sibuta Lung Erected about three hundreds years ago by a tribal chief, this memorial stone is named after him. The memorial offers a story of jilted love and lust for revenge. Having been rejected by a girl he fell headlong in love with, Sibuta went mad for revenge and decided to raise a memorial to himself in a manner which displayed an insane mind. A huge rock awash with the blood of three people sacrificed by Sibuta was carried over a distance of 10 km from the Tlawng river. Darlalpuii, a beautiful young girl, was crushed alive in a pit dug to erect the mausoleum. The memorial was raised over Darlai who lost her life under weight of the stone. F. Phulpui Grave A tale of love and tragedy also hangs by this grave located at Phulpui village in Aizawl District. Tualvungi, a raging beauty in her time, was married to Zawlpala, the Phulpui chief. She was later forced by circumstances to marry Phuntia, chief of another village. But Tualvungi could not forget her first love. She came to Phulpui years after Zawlpala's death, hah a pit dug by the side of his grave and persuaded an old woman to kill and bury there. G. Mangkhai Lung A large memorial stone, it was erected about three hundred years ago at Champhai to the memory of a well-known Ralte chief, Mangkhaia. H. Chhingpuii Memorial Raised to the memory of a young woman called Chhingpuii who was exceedingly beautiful, it is situated between Baktawng and Chhingchhip villages on the Aizawl - Lunglei Road. Chhingpuii, born to an aristocratic family, selected Kaptluanga as her husband from among her many suitors. But her happiness was short-lived, as a war broke out afterwards. Chhingpuii
This is a man made lake unlike the other lakes described earlier which are all natural lakes. This lake is situated in Aizawl district, 150 km to the north-west of Aizwal and about 8 km from Zamuang village. It worth a visit. V. PLACES OF TOURISTS INTEREST IN MIZORAM A. Blue Mountain The Highest peak in Mizoram, the Blue Mountain (Phawngpui) is situated in Chhimtuipui district overlooking the bend of the river Koldyne (Chhimtuipui) close on the state's border with Myanmar. The peak 2,157 metre in height and encircled by bamboo groves at the top where there is a level ground of about 200 hectares, offers a grand view of the height hills and the meandering undulated valleys. The woods around are home to various species of beautiful and rare flora and fauna. B. Pukzing Cave The largest cave in Mizoram, it is situated at Pukzing village near Marpara in the district of Aizawl district (Mamit). Legend has it that cave was carved out of the hills with the help of only a hair pin by a very strong man called Mualzavata.
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was abducted and killed. A grief-stricken Kaptluanga took his own life. The stone memorial reminds one of the legendary love stories of Chhingpuii and Kaptluanga. I. Suangpuilawn Inscriptions
will in turn help government in developing tourism of the states The Tourism Department of Mizoram must ensure that they have Tourist police to give harmony and peace to tourists. VII. DEVELOPMENT IN TOURISM SECTORS
A stone slab lie by a stream at Suangpuilawn village in Aizawl district with strange words inscribed on it. The inscription remains to be deciphered till date. However, it is believed that the inscriptions were done by some people who inhabited the area in ancient times. J. Buddha's Image
An engraved image of Lord Buddha, with those of dancing girls on either side, was found at a site near Mualcheng Village about 50 km from Lunglei town. The site also has another stone slab on which some human footmarks and a few implements like spearhead and Dao are engraved. The area is close to the Chittagong Hill Tracts which was under which the Buddhist influence a few centuries ago. It is assumed that some visiting Buddhists from the Hill Tracts were responsible for the Buddha engraving. VI. SUGGESTIONS FOR DEVELOPMENT OF TOURISM IN MIZORAM The Government should ensure more and more funds are provided for the development of Tourism in Mizoram as Tourism improves the economy of the country. Distribution is the key to the quality of service. Tour operators need to have proper distribution systems. Creating awareness and people participation is another important aspect which the tourism department of Mizoram need to adopt as People or local residents participation is to minimum. The tourism Department of Mizoram must ensure that basic amenities for tourists are up to the satisfaction level like Drinking water, roads, toilets, communication facilities. The tourist products marketers in Mizoram must adopt the right media for promoting their products. Well trained staff should be recruited in every tourism outlets of Mizoram. Many of the clients complained of quality service. The tourism department must sanctions fund for conducting research in tourism sector, this
The following areas need full development for the prosperity of tourism in Mizoram: Development of infrastructure. Beautification and preservation of heritage sites. Improving basic amenities. Developing Tour package. Developing tourist sites. Ensuring easy accessibility to tourists. Proper tourist guide service. VIII. CONCLUSION Mizoram Tourism has lots of potential to give to the tourists.Government should take initiative inorder to develop tourism in Mizoram.It will be an ecstasy to spend your holidays at this pristinely beautiful state in the lap of nature. Treasures of Mizoram:There is so much in the state to enjoy. Some spots are jewels that are the treasures of the state that include Lodaw Wildlife Sanctuary, Blue Mountain, Kungawrhi Puk etc. Evergreen ranges of Mizoram hills with blooms of exotic flora and dense bamboo jungles rise sharply from the plains of Assam in a north south direction. These hills and plunging gorges are criss-crossed by gushing rivers and sparkling waterfalls. Highest among its several peaks is the Phawngpui The Blue Mountain. REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13] [14] Mizoram past and presents By Hargovind Joshi. Retrieved from http://mizotourism.nic.in/ Retrieved www.toursandtravelsinindia.com/mizoram Retrieved from www.holidayiq.com/states/Mizoram-Dest.. Retrieved from www.mapsofindia.com/mizoram/tourism Retrieved from mizotourism.nic.in/ Retrieved from www.socialpulse.com/Mizoram/links Retrieved from mizoramexpress.com Retrieved from www.leisureindiatours.com Retrieved fromwww.north-east-india.com Retrieved from www.indiasite.com/mizoram/ International journal on tourism systems Tourism Operations,IGNOU production Tourism Marketing,IGNOU Production
Common Strategies in Biopharmaceutical Sector

Nehal Jain
3rd Year, Biotechnology Department, NSIT, 270-B, Mianwali Colony Gurgaon Haryana122001 e-mail: jainnehal111@gmail.com
AbstractBiotechnology is a new field in India compared to the traditional fields. It has witnessed a tremendous growth in recent years and suddenly it is the cynosure in the market. This paper aims to seek the common strategies which are the key to success for biopharmaceutical companies in Indian market. In this paper, an attempt has been made to analyse the biotech sector by studying players in the market who hold a significant stake namely Biocon, Novo Nordisk and Panacea Biotech. The reason for choosing these companies was the leading position they hold in current market. It has been tried to identify the common strategies employed by the players. Industries which hold a bright future for India have also been predicted, taking into concern the factors which dominate Indian market. Observations have also been made while studying the market.
B. Sector Highlights Indian biopharmaceutical industry is third largest in world in terms of volume as of year 2010. Growth of 12% from 2009 was registered. The total turnover of the industry between September 2008 and September 2009 was US$ 21.04 billion. This industry is highly fragmented. This sector contributed 62% to the total revenue in 2010. Bioservices sector contributed 33% to the total biotech exports in year 2010. It has registered growth of 28%. More than 70 companies in India are involved in bioservices. Global companies view India as a favourite destination for outsourcing services. India offers a US$ 1 billion opportunity in clinical trials alone. The Bioagriculture Sector remained focused on domestic operations. Bioagriculture grew at 37% in year 2010. Bioindustry market has registered 16% growth in 2009-10. This segment on an average has been growing over 15% in the last five years. BioInformatics has just about 2 percent segment share in the overall industry. It has been growing at a sluggish pace and registered a 5 percent growth over 2008-09. C. Case Studies 3 biotech companies from the pharma sector were taken to study their strategies. The companies chosen were: Biocon Panacea Biotec Novo Nordisk This segment was chosen since this has been developed the most in India and has attained a certain maturity level. This segment has good standing in the world market as well. Biocon was chosen since Biocon shot back to no.1 slot of leading Biotech Company in 2010. Panacea biotech was chosen since it was on 3rd position as of 2010 and has a good reputation in market. Novo Nordisk was chosen since it is one of the leading insulin manufacturing companies worldwide and has been established from a long time and to probe the difference between home-grown and foreign company. The scenario in domestic and global pharma and vaccine markets is as follows which has a great impact on how the company functions:
I. INTRODUCTION Biotechnology has grown tremendously as an industry in India in past few years. The progress of this field has been magnificent. Indian biotech industry clocked 17 % growth in year 2010. It has grown 3-fold in just 5 years to report revenues of US $3 billion in 2009-10. With revenues of Rs 6631 crore, the Western Biocluster emerged as the biggest contributor to Indias Biotech sector revenues. Exports accounted for 53% share in the overall revenue. Fastest growing 20 companies contributed 20% of the overall industry revenue of Rs 14199.17 crore. These have grown at an average rate of over 150%. The government of India through Department of Biotechnology (DBT) allocated Rs 902 crore for various projects in 2009-10. Biotech industries can be divided into 5 segments whose market share is given as below. A. Biotech Industry Segment Revenue % Share
Bioagri 13.93 y 3.95 1.63
oservice s18.78
Biopharm a61.71
Source: Biospectrum Survey 2010
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II. GLOBAL VACCINE INDUSTRY CAGR of 13% has been speculated in next 5 years. Large markets in this domain are US and Europe. Growth driver identified in this category are the developing markets which will have a huge impact in deciding which company leads. Pediatric vaccines dominate globally while therapeutic and vaccines for infectious diseases are future growth drivers which have been recognised. III. DOMESTIC VACCINE MARKET It is one of fastest growing vaccine markets. It has witnessed much higher growth rate than rest of the world. Growth drivers identified are public and private healthcare spending and large prevalence of diseases. India has built a reputation as a centre for export. IV. GLOBAL PHARMA MARKET 5-8% CAGR is speculated for this industry. Emerging markets are the centrestage here. Asia-pacific region has been identified as the fastest growing pharma market with 12-16% CAGR. Alliances between innovators and generic companies are being given much importance here. V. DOMESTIC PHARMA MARKET It is highly organized, fragmented, fastest growing & safest sectors. It is 3rd largest in world in terms of volume. 14-18% growth is there. Factors responsible for this are prevalence of diabetes, coronary heart disease, & obesity. Severe price competition is being witnessed. Growth drivers in India are population, disposable income, cost competitiveness and talent pool. A. Biocon In the first 20 years, Biocon concentrated on enzymes. In the last 10, it has focused on biopharma and services. Now, they enter new markets with their own products. The main market strategies for Biocon in FY09-10 were based on four pillars which were Reduction, Acquisition, Diversification and Expansion. The advantage that Biocon enjoys is that of strategic location, self financed R & D pipeline, alliances before others and the Risk balanced approach that it rigorously follows. B. Biosimilar Insulin Biosimilar market is speculated to reach upto $19 million by 2014. Biocon plans to cash on in this since it has requisite technical & operational expertise. In India and SAARC it has developed good marketing and distribution network while in other areas it has alliances with regional partners to do it for them. They follow
go to market pathway that is launching in India, then moving to emerging markets and then to developed countries. They have been able to get cost effective insulin in their portfolio since they have technology, supreme manufacturing expertise and cost optimized development of their products. VI. RESEARCH SERVICES A. Syngene It is a Custom research organization. This has been highly cost effective and quick with a growth rate of 30%. Its largest R&D partnership has been with Bristol Myers-Squibb. B. Clinigene It is a clinical research organization which has been providing highly cost effective clinical trials because of availability of good expertise and talent pool available in India at cheap prices. C. R & D assets It has been developing 2 highly promising programs which are to go to proof- of- concept stage: In105 and T1h. They have been doing so, so that they can unlock substantial value upon licensing. Biocon has a balanced portfolio of generics, biosimilars and novel programs leading to reduction in risks. They follow debt free positive cash flow Business model. R & D expenditure amounted to 11% of sales in FY 2010 as compared to 8% in fiscal year 2009. They employ 13% of their workforce in R & D.
Rupees (in crore) 300 250 200 150 100 50 0
-0 FY 6 -0 FY 7 -0 FY 8 -0 FY 9 -1 0 FY
Revenue from custom research
Years
Source: Annual Report Biocon 2010
Biocon has progressed via a lot of acquisitions, subsidiaries, partnerships and alliances: Axicorp is their German subsidiary, which is 3rd largest growing company in Germany. It is also the most successful Indian owned pharma company in Dubai. They have a joint venture with Neopharma called Neobiocon. A lot of crucial collaborations and stakes were also invested in Endo pharma, CIMAB, IDL specialty chemicals, Amylin pharma, IATRICa, Mylan, and Optimer etc.
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D. Panacea Biotec
Panacea Biotec has their main focus on 3 things, namely, Innovation, Collaboration with R &D and corporations and Brand building. They have 5 R & D centers making them self reliant. They have established their brand equity along with global presence. They have long standing relationships with partners like UNICEF. Their main achievements in the past year were development of indigenously produced H1n1 vaccine and expansion in US, Germany etc. They have consolidated their business in the 2009 and have scheduled new therapies for commercialization. They are in process of registering products and setting up subsidiaries and building their brand name. They have 7 strategic business units in the areas of super specialty, specialty and multispecialty. They have developed a new SBU called value India healthcare F. Their Main Focus has been on Insulin which is made specially to cater to needs of everThis is the only company with all the modern growing mass markets in India which lies at the bottom insulins in portfolio. They have been in business for 85 of pyramid. Companys wholly-owned subsidiary namely Best years. They derive 73 % of sales from here. The On Health Ltd. has purchased a land for setting up of company is the market leader with 51% of the total Sector-Specific Bio-tech Special Economic Zone at insulin market, based on volume. This is the only Pataudi road, Gurgaon, Haryana. Panacea has company with 2 new generation insulins at late stage 75.2%stakes in Umkal Medical Institute which is a clinical development. They are trying to prevent type2 multi specialty hospital. Panacea Biotec also have diabetes including treatment of obesity. Victoza is a subsidiaries in US and UAE which takes care of the more patient centered approach which they have marketing business for them. Panacea Biotec also has a developed. In the developing world they offer their medicines lot of collaborations with research organizations, at a discount of 20% or more through world partner Universities and commercial corporations. Various growth factors identified by Panacea project. Biotec include Diversification, new markets, WHO and VII. COMMON STRATEGIES AND PROPOSED REASONS expansion. A. This Industry is Highly R & D Specific
resource efficient that is they have decreased their water and energy consumption. Their less energy consumption shows their dedication to their environmental management. Their core strengths lie in protein engineering and chronic disorders and they have the potential for global market leadership. The key areas they have identified for future are that of Innovation, Increase in market share and being world leader in insulin. The challenges they have recognized are the expiration of patent of the only oral antibiotic drug and the expiration of other patents. Their profits have increased by 12% in fiscal year 2009. Their products in Biopharma include products which cater to coagulation disorders, growth hormone deficiency and Inflammatory diseases.
Revenue invested in R & D
Rupees (in million)
800 600 400 200 0

20 00 20 10 20 05
Revenue invested in R &D
Source: Annual report Panacea Biotec 2010
All the major companies need to have their own pipeline for new products. All the 3 companies I studied had their main focus on R &D. Revenue spent on R & D also increased year after year. No company can think of surviving on their existing products since this sector updates itself almost everyday and success depends upon the products demand and its competition in the market. Therefore, a good R & D pipeline is necessary. This is the reason why companies invest a lot of their revenue in R & D. B. Alliances are Crucial Alliances are very crucial due to so many regulatory approvals required. They effectively act as a supplement to the business. Wherever a company lacks, it is supported by the alliance. For an average drug, time spent is around 10 years and its cost is $1.2 billion. Therefore, alliances are a logical choice made to fasten up the process. They can help in procuring registrations and even marketing.
19 99 -
20 04 -
E. Novo Nordisk Novo Nordisk operates on the motto of triple Economic bottom line which is based on Social Responsibility, Environmental management and balanced economic growth. In 2009, they launched new product Victoza for diabetes, improved productivity, more in R & D, Less CO2 from productions and they have become more
20 09 -
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Collaborations, ventures and relationships enable the company to secure in-licensing, out-sourcing and other business opportunities. They are especially made in countries where gaining entry is difficult for any company. This is the reason why Panacea Biotec has subsidiaries in US and UAE. C. Diversification All the companies studied have diversified to bring more products into their portfolio. The most likely reason for this is the point that after a certain period of time and innovation in any particular field, it becomes very difficult to churn out good products at the same rate. Therefore, every company diversifies to boost its business from other products. D. Brand Name Counts It matters a lot. More the time company is in the field, the better brand equity will be. Therefore, every company tries hard to build its brand name. This is proven by the statistics of the companies studied. Novo Nordisk is the leading manufacturer of insulin in world market. This is probably because of the fact that people are very conscious about their health and they dont take any chances with it. So, the leaders in the market have a clear edge. Any new product is always treated with skepticism. E. Not An Innovators Market This is not a sector for innovators. A lot of evidence supports this statement. There are very less companies which started with one single big innovation and then moved on to be a big company. There has been more of innovation by already established companies through various collaborations with universities beyond their own R & D pipeline. Even amongst the companies studied, Biocon whose major forte has been insulin initially started off as an enzymes company. F. Proposed Reasons Imitation: There are a lot of chances that the product gets imitated even before it hits the market, in which case, innovators lose a lot of money. So, almost no one wants to take that risk. Initial Capital: Initial capital is quite high in setting up of a Biotech company. And since there are a lot of
regulatory bodies and approvals to be granted, there is a fair chance of losing out on crucial time. Regulatory bodies: There are a lot of regulatory bodies in this particular sector. So, the time elapsed between the actual commercialization can be very long. So innovators tend to go for easy money they can get by selling their product to bigger and better established firms. Commercialization: It is quite possible that the cost of commercialization could be much more than the profits a product gets. So, selling of the product may be a much better choice. G. Future industries: There is a large market for biosimilars. Since many products are going to lose patent protection soon, it can act as a boon to a lot of companies. Bioinformatics is relatively new, therefore lies a huge potential in it since, it is much cheaper to start off and the profits are huge even on low investment. There is a good IT base in India which should propel its growth. In a country like India, this has got a great future. Due to availability of superior talent pool, this should be huge. Bioservices segment is expected to flourish much more in India due to the edge India provides in terms of talent pool and cost competitiveness. India has always been known for outsourcing and this should provide good opportunity for a lot of companies to flourish. REFERENCES
[1] Joshua S. Gans and Scott Stern, Managing Ideas: Commercialization Strategies for Biotechnology, The ICFAI Journal of Intellectual Property Rights, Vol. II, No.2, May 2003, pp.17-28. Chaturvedi, S. (2005), Dynamics of Biotechnology Research and Industry in India: Statistics, Perspectives and Key Policy Issues, OECD Science, Technology and Industry Working Papers, 2005/6, OECD Publishing. doi: 10.1787/873577115356 Annual reports 2008-2010, Biocon Annual report 2007-2009, Novo Nordisk Annual report 2008-2010, Panacea Biotech BioSpectrum ABLE Biotech enabled Industry Survey 2010 www.panaceabiotec.com www.novonordisk.com www.biocon.com
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Human Resource Management: Emerging Trends and the Impact of Globalization

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Alva Garg and 2Dr. Kranti Walia
Student, Dept. of Business Administration, National Institute of Technology, Kurukshetra, India 2 Assistant Professor, Dept. of Business Administration, N.I.T., Kurukshetra, India e-mail: alva.garg@gmail.com just a globalized 100 years ago as it is today. Yet the term is used since the 1980s, reflecting technological advances that have made it easier and quicker to complete international transactions, both trade and financial flows. Short-term partnerships between multinational firms are also becoming increasingly common as are corporate 'buyouts' of potential competitors on foreign markets (Lei and Slocum, 1992). At the same time, international careers are becoming more common features of the working lives of professionals and managers all over the world. And, increasing numbers of graduates world-wide are now pursuing transnational career opportunities. All these authors argue that Globalization refers to an extension beyond national borders of the same market forces that have operated for centuries at all levels of human economic activity (village markets, urban industries, or financial centers). It means that world trade and financial markets are becoming more integrated. A At a business level, we talk of globalization when organization decides to take part in the emerging global economy and establish themselves in foreign markets. First they will adapt their products or services to the customers linguistic and cultural requirements. Then, they might take advantage of the internet revolution and establish a virtual presence on the international market place with a multilingual corporate website or even as an e-business. Overall, globalization requires a combination of linguistic, engineering and marketing knowledge that is not easily available. (Sparrow, Paul, R, 2006). HUMAN RESOURCE MANAGERS: THEIR ROLE IN A CHANGING ENVIRONMENT Issues facing HR are expected to change dramatically in the next decades. Thus, HR professionals must play special roles in dealing with these changes and must develop specific competencies to support these roles. Workplace flexibility is expected to be on the rise as the future workplace, the virtual office is characterized by creative and flexible work arrangements. As more employees work off-site-up to two thirds of an organization in the 21st century there will be an increase in emphasis on performance and results as opposed to the number of hours worked. In addition, off-site employees can expect to attend fewer
AbstractThe dynamic business environment of today is influencing the role of both the employees as well as the managers. Globalization has emerged as a potential factor affecting the HRM practices being followed by any organization. The new flexible, process oriented organizations need a comprehensive change in the traditional systems of recruitment and training. This paper takes a critical look at the issues related to the changing needs of an organization in the context of globalization and the dynamic nature of the business environment in which they have to operate. A few guidelines have thereafter been established; which if followed with efficacy, are expected to help survive the organizations in todays dynamic world. Keywords: Human resource management, globalization, dynamic environment.
INTRODUCTION Human resource management is a process of bringing people and organizations together so that the goals of each other are met. Human resources are considered the most important asset of an organization, but very few organizations are able to fully harness its potential (Lado and Wilson 1994). HRM is a philosophy, while HRD includes the activities and processes undertaken to promote the intellectual, moral, psychological, cultural, social and economic development of the individuals in an organization, in order to help them to achieve higher human potential as a resource for the community. Driven by a number of significant internal and external environmental forces, HRM has progressed from a largely maintenance function, with little if any bottom line impact, to what many scholars and practitioners today regard as the source of sustained competitive advantage for organizations operating in a global economy. As we do live in a world in which knowledge, rather than physical capital, is increasingly important, we need smart people who can do great thingsincrease productivity, build new products and servicesand do so even more quickly (OReilly and Pfeiffer 2000). Researchers emphasize the role of employees for achieving enterprise goals (Boudreau 1997; Baird and Meshoulam 1988), and that the employees are the most important enterprise asset (Quinn 1992; Mayo 2001). Globalization is not just a recent phenomenon. Some analysts have argued that the world economy was
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meetings. Specified work will become much more collaborative and management will spend nearly all its time managing cross-functional work teams who enjoy a lot of autonomy. In essence, there will be a movement, a trend towards a decentralized model of HR. HR managers will have to accommodate employees in their virtual work locations and find ways to manage corporate culture, socialization and employee orientation. In order to obtain and maintain a competent workforce, they must act as organizational performance experts and shape employees behavior without face to face meetings. Another expected change in HR is the Global Business concept world trade knew a major growth during the last years and there is forecasted as well the growth of international businesses, especially among small firms. Organization rely more and more organization HR specialists as the facilitators of work across borders and among different cultures. Therefore, they must be knowledgeable of other cultures, languages and business practices. They will be required to develop and manage an international workforce, maintain written and unwritten corporate polices for transportability to other cultures, keep top management informed of the costs of not paying attention to the transnational issues and provide their services to a variety of locations world wide. Globalization will impact HR managers by requiring new skills such as language capabilities. For e.g., in order to recruit employees from other cultures, HR managers will either have to learn new languages or else they will certainly have to have foreign speakers on staff. But in order to facilitate communication among people coming from a wide range of language backgrounds, in most multinationals, it is preferred to speak English. Organization must take into account cultural differences that shape managerial attitudes, when developing multinational management programs. For e.g., British managers value individual achievement and autonomy, whereas French managers appreciate competent supervision, fringe benefits, security and comfortable conditions, while Indian managers gives more importance of their culture and tradition. HR managers must therefore be familiar with and understand other cultural norms to promote organization diversity. An organization that recognizes and promotes cultural diversity will benefit because it will be employing the market that it serves. With increasing globalization and competition within the market, a diverse workforce is conducive to attracting and retaining a strong client base. While competing in an international market, employees from diverse national backgrounds provide language skills and understanding of other cultures. HR professionals will also be responsible for providing cultural sensitivity
training for the organizations employees and for managers throughout the entire organization. (Czebter, Anamaria, 2002) Training and development is another area. In the IT industry training takes on a new connotation. It is not just about identifying training needs and giving the required training. It is foreseeing and anticipating the requirements and developing suitable training so that the employees are well-equipped to handle the challenges. Another major challenge is how we are able to incorporate all the sub-systems in HR and help them in achieving the ultimate goal exceptional performance. People have to be groomed to get in tune with the performance culture. Creating an environment that stimulates the creation of knowledge and its sustenance throughout the organization is big challenge. No longer can the HR department carry on with its traditional functions. However, Human Resource Information Systems (HRIS) is to be put in place to build and sustain a performance driven culture. The role will shift to that of facilitator. HR will have to involve the whole organization in this process and act as a counselor and that is the most gingatic change that the HR of any company faces. CHANGES IN FUTURE HRM DUE TO DYNAMIC ENVIORNMENT Some of the significant changes that are likely to take place in the human resource management as a result of the dynamic nature of todays business enviornment are summerized as follows: Increase in education levels: Due to technological progress and the spread of educational institutions workers will increasingly become aware of their higher level needs; managers will have to evolve appropriate policies and techniques to motivate the knowledge of workers. Better educated and organized workforce will demand greater discretion and autonomy at the work place. Technological developments: This will require retraining and mid-career training of both workers and managers. Rise of the international corporation is proving new challenges for personnel function. Changing composition of work force: In future, women and minority groups, SCs and STs would become an important source of man power in future on account of easy access to better educational and employment opportunities. Therefore manpower planning of every organization will have to take into consideration the potential availability of talent in these groups. Increasing government role: In India, personnel management has become much legalized. In future private organizations will have to co-ordinate their labour welfare programmes with those of the government private sector will be required increasingly
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to support government efforts for improving public health, education training and development and infrastructure. occupational health and safety: Due to legislative presence and trade union movement, personnel management will have to be more healthy and safety conscious in future. Organizational development: in future, change will have to be initiated and managed to improve organizational effectiveness. Top management will become more actively involved in the development of human resources. New work ethics: greater forces will be on project and team forms of organization. As changing work ethic requires increasing emphasis on individual. Jobs will have to redesigned to provide challenge. Development planning: personnel management will be involved increasingly in organizational planning, structure, composition etc. Greater cost-consciousness and profit-orientations will be required on the part of the personnel department. Better appraisal and reward systems: organizations will be required to share gains of higher periodicity with workers more objective and result oriented systems of performance, appraisal and performance linked compensation will have to be developed. NEW TRENDS IN HRM IN INDIAN ORGANIZATIONS Indian organizations are also witnessing a change in systems, management cultures and philosophy due to the global alignment of Indian organizations. There is a need for multi skill development. Role of HRM is becoming all the more important. Some of the recent trends that are being observed are as follows: The recent quality management standards ISO 9001 and ISO 9004 of 2000 focus more on people centric organizations. Organizations now need to prepare themselves in order to address people centered issues with commitment from the top management, with renewed thrust on HR issues, more particularly on training. To leapfrog ahead of competition in this world of uncertainty, organizations have introduced sixsigma practices. Six- sigma uses rigorous analytical tools with leadership from the top and develops a method for sustainable improvement. These practices improve organizational values and helps in creating defect free product or services at minimum cost. Human resource outsourcing is a new accession that makes a traditional HR department redundant in an organization. Exult, the international pioneer in HR BPO already roped in Bank of America, international players BP Amoco & over the
years plan to spread their business to most of the Fortune 500 companies. With the increase of global job mobility, recruiting competent people is also increasingly becoming difficult, especially in India. Therefore by creating an enabling culture, organizations are also required to work out a retention strategy for the existing skilled manpower. GUIDELINES FOR FUTURE HR MANAGERS
HR managers should ensure the following for ensuring success: Use workforce skills and abilities in order to exploit environmental opportunities and neutralize threats. Employ innovative reward plans that recognize employee contributions and grant enhancements. Indulge in continuous quality improvement through TQM and HR contributions like training, development, counseling, etc Utilize people with distinctive capabilities to create unsurpassed competence in an area, e.g. Xerox in photocopiers, 3M in adhesives, Telco in trucks etc. Decentralize operations and rely on selfmanaged teams to deliver goods in difficult times e.g. Motorola is famous for short product development cycles. It has quickly commercialized ideas from its research labs. Lay off workers in a smooth way explaining facts to unions, workers and other affected groups e.g. IBM , Kodak, Xerox, etc. A. HR Managers Today are Focusing Attention on the Following Policies- HR policies based on trust, openness, equity and consensus. Motivation- Create conditions in which people are willing to work with zeal, initiative and enthusiasm; make people feel like winners. Relations- Fair treatment of people and prompt redress of grievances would pave the way for healthy work-place relations. Change agent- Prepare workers to accept technological changes by clarifying doubts. Quality Consciousness- Commitment to quality in all aspects of personnel administration will ensure success. CONCLUSIONS Over the last 20 years, the workplace has changed in more ways that one could have ever imagined, resulting from the increase in technology, innovation and globalization. The next decade will bring even
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greater change, impacting all facets of the workplace, including major changes for the HR department and HR managers. In order to respond to the demands of globalization, HR managers will require new skills and competencies relating to language and culture, technology capabilities to facilitate overseas communication, methods to measure and quantify effectiveness and evaluate strategies and return on investment. Evidently, these new skills and competencies will result in an emerging new role for HR managers, requiring them to be strategic business partner, supportive of the overall corporate strategy. REFERENCES
[1] Baird, L., Meshoulam, I. (1988), Managing two fits of strategic human resource management, Academy of Mnagement Review, 13 (1), pp. 116-128. Boudreau, J.W. (1996), Human resources and organization success, Human Resource Management Journal, 6 (3), pp. 75.
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Czebter, Anamaria, (2002), Labor market and Gloablization: Human Resources management in global enterprises, Centre International de Formation Europeenne, Nice. Lado A.A., Wilson, M.C. (1994), Human Resource Management and sustained competitive advantage: A competency based perspective, Academy of Mnagement Review, pp. 699-727. Mayo, A. (2001), Human Value of an entreprise: Valuing people as assets: monotroing, measuring, managing, London: Nicholas Brealey. OReilly, C.A., Peffer, J. (2000), Hidden Value: How great companies achieve extraordinairy results with ordinairy people. Boston: Harvard Business School Press Quinn, J.B. (1992), The intelligent enterprise: a new paradigm, Academy of Management Executive, 6(4), pp. 4863. Sparrow, Paul, R., (2006) Globalization of HR at function level: Exploring the issues through International Recruitment, Selection and Assessment Process, working papers, Cornell University. Sparrow, Paul, R., Brewster, C., and Harris, H. (2004), Globalizing Human Resource Management, London, Routledge.
Measures Taken by MNCs in Supplier Buyer Loop to Make Sustainable Supply Chain
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Pawandeep Singh Dhaliwal and 2Dr. Harpuneet Singh
Department of Industrial Engineering, Guru Nanak Dev Engineering College, Ludhiana, India Department of Production Engineering, Guru Nanak Dev Engineering College, Ludhiana, India e-mail: deep_dhaliwal333@yahoo.co.in), (grewalgne@yahoo.com business it is important to have a Green Supply Chain Management. A. Green Supply Chain Management Green supply chain management (GSCM) has emerged as a key approach for enterprises seeking to become environmentally sustainable. The notion of Green Supply Chain Management implies the insertion of environmental decisions within the traditional concept of Supply Chain Management. "Green Supply Chain Management is integrating environment thinking into supply chain management, including product design, material sourcing and selection, manufacturing processes, delivery of the final product to the consumers, and end-of-life management of the product after its useful life." GSCM addresses the four interrelated areas of the supply chain: upstream, downstream, within the organization, and logistics. Upstream activities of the organization include evaluation criteria of suppliers' environmental performance. Downstream, usually comprises those activities related to the disposal and sale of excess stock, including recovery and recycling opportunities. Within the organization, supply chain management might include involvement with "design for the environment" with suppliers. In logistics, activities such as just in time or quality management intertwine with environmental criteria. BENEFITS OF GREEN SUPPLY CHAIN MANAGEMENT Organizations can enjoy several benefits by greening their Supply chain, such as: Sustainability of Resources - GSCM helps in proper and effective utilization of available productive resources of organizations. Organizations will purchase 'green' input resources for environmental friendly production process to produce desired outputs. Lowered Costs/Increased Efficiency - Effective management of suppliers can reduce transaction costs and promote recycling and reuse of raw materials. Also, the production of waste and hazardous substances can be cut, preventing corporations from being fined as a result of violating environmental regulations. Consequently, the relevant handling and operational
AbstractMore people are aware of the worlds environmental problems such as global warming, toxic substance usage, and decreasing in non-replenish resources. Several organizations responded to this by applying green principles to their company, such as using environmental friendly raw material, reducing the usage of petroleum power, and using the recycle papers for packaging. The green principles were expanded to many departments within organization, including supply chain. Green supply chain management (GSCM) was emerging in the last few years. This idea covers every stage in manufacturing from the first to the last stage of life cycle, i.e. from product design to recycle. Our paper presents a review on the measures taken by companies to make sustainable supply chain. Keywords: 1DELL, GSCM, HP, SCM, Sustainability. Paper Type: Research Type.
INTRODUCTION Supply Chain Management (SCM) is the systematic, strategic coordination of the traditional business functions within a particular company and across business within the supply chain, for the purposes of improving the long term performance of the individual companies and the supply chain as a whole. LITERATURE REVIEW The literature review done so far provided context and informed this study of current business devices regarding companies efforts to influence their supply chain to move towards sustainability. Lee, Hau L., and Corey Billington, 1995 and Lee, Hau L., and Jason Amaral, 2002 have stated that in a competitive business environment that requires more attention to the bottom line,supply chain management is vital to competitive advantage and sustainable business improvement.Holmberg, J. and K.-H. Robrt, 2000 have mentioned a concept called Backcasting. Backcasting is a form of strategic thinking that requires its users to have a clear understanding of successfor example a sustainable societyand then ask, what must be done now in order to achieve this vision?Willard, Bob, 2002, have stated how businesses are aware of the growing demand for products that embody global environmental and social responsibility. Preuss, Lutz, 2005, have discussed how Supply Chain Management has become a requirement for success for many businesses and in order to create a Green
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cost involved can be further reduced and, in the mean time, the efficiency of using resources can be enhanced. Product Differentiation And Competitive Advantage - It helps the organization in positioning its product differently in customer's mind. Besides attracting new profitable customers for organization, it will give competitive edge over competitors in market place. It will strengthen the brand image and reputation in market place. Adapting to Regulation and Reducing Risk Organizations adopting GSCM practices can reduce the chances of being prosecuted for anti-environmental and unethical practices. Improved quality and products organization will produce products which are technologically advanced and environment friendly. This will enhance the brand image and brand reputation in customers' mind. SUPPLY CHAIN MANAGEMENT AT DELL, DELL'S DIRECT MODEL Dell Inc. pioneered the Direct Model of selling PCs directly to the consumers. Dell Computer Corporation a leading direct computer systems company was founded in 1984. Dell sells its computer systems directly to end customers, bypassing distributors and retailers (resellers). Dell's supply chain consists of only three stages the suppliers, the manufacturer (Dell), and end users.
Dells direct contact with customers allows it to: Properly identify market segments, Analyze the requirements and profitability of each segment, and Develop more accurate demand forecasts. Dell matches supply and demand because its customers order computer configurations over the phone or online (Internet). These computer configurations are built up from components that are available. Dells strategy is to provide customized, low cost, and quality computers that are delivered on time. Dell successfully implemented this strategy through its efficient manufacturing operations, better supply chain management and direct sales model. Dell takes orders directly from its customers; either on phone or online. Thus, Dell reduces the cost of intermediaries that would otherwise add up to the total cost of PC for the customer. Dell also saves time on processing orders that other companies normally incur in their sales and distribution system. Moreover, by directly dealing with the customer Dell gets a clearer indication of market trends. This helps Dell to plan for future besides better managing its supply chain. In 2006 however, increasing discontent of customers led to a slowdown in sales. Consequently, Dell lost its market leadership to Hewlett-Packard Co. (HP). Industry analysts felt that, with Dells competitors also improving their supply chains and matching Performance increases. Dell engineers measured database performance for both the previous system: Proprietary UNIX-based servers and current system: Oracle RAC on Dell PowerEdge serversSCM systems. The most significant time savings occurred in the data extraction for all material movements transactions, which dropped from almost 5 hours to just 35 minutes for an 88 percent improvement, while the time for the entire end-of-quarter jobs processing decreased from 31 hours to 23 hours. B. Cost-effective, Scalable Supply Chain Management
Fig. 1: Dell Supply Chain
Supply chain management is essential to Dell operations around the world, with both factory operations and internal systems dependent on SCM systems to provide real-time information about key business functions. Running these systems on Oracle RAC 10g clusters of industry standard Dell Power Edge servers enables Dell IT to scale them efficiently and cost-effectively to handle increased workloads. By moving the systems to Dell servers when it did, Dell IT avoided significant additional expenditures for proprietary UNIX-based servers, enhanced performance, and provided a clear path for future growth.
Fig. 2: PC Supply Chain
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the increased use of recycled material in the production of Inkjet Cartridges. DEVELOPING SUPPLY CHAIN SUSTAINABILITY In an effort to reduce costs, Supply Chains have become increasingly global and stretched as inventories are kept low. The volatility of the oil prices first, the economical downturn second, and now the varying country economy support programs change the equation on a day to day basis. A number of highly publicized disruptions in key company supply chains have demonstrated their vulnerability. According to Aberdeen, 58% of companies surveyed suffered financial losses as a result of supply chain disruptions and 99% experienced some kind of glitch. They include supplier capacity failing to meet demand (56 percent of the companies reporting supply chain disruptions), shortages or price increases for raw materials (49 percent), unexpected changes in customer demand (45 percent) and shipments that were delayed, damaged or misdirected (39 percent). Leading companies are re-assessing their supply chains. MCDONALDS INDIA SUPPLY CHAIN Supply chain is one of the critical factors for the smooth functioning of any business. And when we are talking about fast food business with McDonalds as the subject of the study it can expected a Supply Chain model of one of the highest precisions. The success of McDonalds India was achieved by sourcing all its required products from within the country. To ensure this, McDonalds developed local businesses, which can supply it highest quality products. Today, McDonalds India works with 38 different suppliers on a long term basis and several other stand alone restaurants for its various other requirements. McDonald's entered its first distribution partnership agreement with Radha Krishna Foodland, a part of the Radha Krishna Group engaged in food-related service businesses. The association goes back to July 1993, when it studied the nuances of McDonald's operations and requirements for the Indian market. As distribution centers, the company was responsible for procurement, the quality inspection program, storage, inventory management, deliveries to the restaurants and data collection, recording and reporting. Value-added services like shredding of lettuce, re-packing of promotional items continued since then at the centers playing a vital role in maintaining the integrity of the products throughout the entire 'cold chain'. Through its unique cold chain, McDonalds has been able to both cut down on its operational wastage, as well as maintain the freshness and nutritional value of raw and processed food products.
Fig. 3: Dells Market Share in U.S. and Worldwide (in Q1 2009) Compared to other Top PC Makers
HP SUPPLY CHAIN - DYNAMIC REPLENISHMENT There is one process we know very well after one year of recession, and that's cost reduction. Most companies have scrutinized their costs and tried to take every waste out of the system. Many were quick to point out that, although the sustainability agenda was still on the radar screen, it has been taking a back seat for quite a while now. We can now focus on reducing the consumption at that step in the process. Doing this may imply we have to change the design of the product, use a new manufacturing approach or change something somewhere in the supply chain. It may happen that a slight increase in energy consumption in one place may result in large savings somewhere else. It is important to include design and engineering in the process to ensure we go back to the root cause of why so much energy is consumed. BOC, bill of carbon, gives the answer to our question here. What do we need to calculate the BOC? Fundamentally two things, first the complete bill of material of the end product, and second the amount of CO2 generated at each step in the manufacturing process for one unit of product/component/ingredient. The latter is mainly based on the full bill of process. Each partner in the supply chain should calculate all emissions related to the operations under his control. This includes manufacturing, transportation, warehousing etc. C. How did HP become a "Green" Company? HP is mainly working in three spaces: Reducing the environmental impact of a product throughout its whole lifecycle, from design to recycling Reducing the environmental impact of HP's own operations and facilities Helping HP employees reduce their own environmental impact Let me give you some examples. About one year ago, HP designed a notebook for Wal-Mart, shipped in a stylish bag made out of 100% recycled material, reducing packaging with 97%, and winning Wal-Marts Design Challenge along the way. Another example is
Measures Taken by MNCs in Supplier Buyer Loop to Make Sustainable Supply Chain TABLE 1: OUTSOURCING THE INGREDIENTS
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CONCLUSION GSCM is a relatively new green issue for the majority of Indian Corporations. Adding the "green" component to supply chain management involves addressing the influence and relationships of supply chain management to the natural environment. Green business practices that maintain and sustain good environmental quality are increasingly becoming a vital component of business organization. Two Indian companies including Wipro and HCL have figured in the list of top five green electronics brands as per the 8th edition of the Guide to Greener Electronics, because of their strong focus on the e-waste management and climate control. The study which for the first time has included climate and energy as criteria for evaluation has placed Wipro in joint second position with Samsung. Wipro InfoTech, provider of IT and business transformation services, has unveiled its new ecofriendly and toxin-free desktops, manufactured with materials completely free of deadly chemicals like polyvinyl chloride and brominated flame retardants. REFERENCES
[1] Ash, N., R. Hassan and R. Scholes, Summary: Ecosystems and Their Services around the Year 2000, Ecosystems and Human Wellbeing: Current State and Trends, Volume 1. Island Press. 2005. Millenium Ecosystem Assessment, http://www.maweb.org/documents/document.766.aspx.pdf (Accessed 1 January 2010). Jorgensen, B. (2005, June). The "Greening" of The Supply Chain. Electronic Business, 31 (6), pp. 29-30. Kleindorfer, P. R., Singhal, K., & Van Wassenhove, L. N. (2005). Sustainable Operations Management. Production and Operations Management, 14 (4), 482-492. Srivastara, S. K. (2007). Green Supply-Chain Management: A State-of-The-Art Literature Review. International Journal of Management Reviews, 9 (1), 53-80. Gordon, Sherry R. 2006, Supplier Evaluation: Benefits, Barriers, Best Practices,. Minneapolis, MA. 91st Annual International Supply Management Conference, http://www.ism.ws/pubs/proceedings/confproceedingsdetail.cfm ?ItemNumber=137 Manga, Manuel, and Tirza Hollenhorst, 2004, Evolutionary Leadership for Building Sustainable Organizations,. Review of Reviewed Item., http://www.evolutionleader.com, Scott, Lee. Sustainability 360: Doing Good, Better, Together.. Lecture by Wal-Mart President and CEO Lee Scott to the Prince of Waless Business & the Environment Programme February 1,2007. http://www.walmartfacts.com/articles/4785.aspx World Revolution, The, The State of the World Brief Overview of Global Issues,. Human Rights. http://www.worldrevolution.org/projects/globalissuesoverview/o verview2/briefhumanrights.htm (Accessed 15 January 2010).
Cheese Dehydrated onions Iceberg lettuce Chicken patty Veg. Patty, Veg. nuggets, Pineapple/Apple pie Chicken (dressed) Buns Eggless mayonnaise Sesame seeds Iceberg lettuce Fish fillet patties Iceberg lettuce Vegetables for the patties Mutton and mutton patties
Dynamix Dairy Industries Ltd., Pune Jain Foods, Jalgaon Trikaya Agriculture, Pune Vista Foods, Taloja Kitran Foods, Taloja Riverdale, Talegaon Cremica Industries, Phillaur Quaker Cremica Pvt. Ltd., Phillaur Ghaziabad Meena Agritech, Delhi Amalgam Foods Ltd., Kochi. Ooty Farms & Orchards, Ooty Finns Frozen Foods & Jain Foods (Nasik, Jalgaon) Al Kabeer, Hyderabad
Source: Business India, October 4, 1999
LEARNINGS FROM INDIA Sustainable development in India now encompasses a variety of development schemes in social, cleantech (clean energy, clean water and sustainable agriculture) and human resources segments, having caught the attention of both Central and State governments and also public and private sectors. Social sector, cleantech investments into green energy and fuel alternatives and development schemes for backward and below the poverty line (BPL) families are being touted as some of the more heavily invested segments in India in 2009, despite the economic slowdown. In fact, India is expected to begin the greening of its national income accounting, making depletion in natural resources wealth a key component in its measurement of gross domestic product (GDP). Sustainable energy investment in India went up to US$ 3.7 billion in 2008, up 12 per cent since 2007. It included asset finance of US$ 3.2 billion, up by 36 per cent. Venture capital and private equity saw an increase of 270 per cent to US$ 493 million. Merger and acquisition activities totalled US$ 585 million. Most acquisition activity was centered on biomass, small hydro and wind projects, according to the report, Global Trends in Sustainable Energy Investment 2009.
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Social Networking Sites a Prolific Platform for Brand Promotion

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Ashima Sehgal, 2Megha Munjal Sharma and 3Rajan Sharma
Lecturer in Management, Apeejay Svran Institute of Management, Jalandhar 2 Assistant Professor in Business Management, DAVIET Jalandhar 3 Assistant Professor in Business Management, DAVIET Jalandhar e-mail: ashimasehgal4@gmail.com, rajanm28@gmail.com networking sites, so that increase in profit, sale and awareness level can be ensured. III. RESEARCH METHODOLOGY Sampling Techniques: Technique of convenience sampling has been used. Target Population: The target population varied from 18 to 50 years of age. Information Acquiring Tecqniques: Information has been collected using secondary sources of information. IV. SCOPE OF STUDY This study reveals the contribution of social networking sites to promoting the companies and its brands. It shows the effectiveness of social networking sites in comparison to other advertising tools which are used. It will provide a clue to the company to select a suitable promotional media i.e. social networking sites to face the tough competition in the market. V. SOCIAL NETWORKING SITES AS A PROMOTIONAL TOOL Now days, business cant survive without an online presence. Social media is an umbrella term that defines the various activities that integrate technology, social interaction and content creation. It is used by millions of people all round the world. It is hard to find a person who does not have a profile on any social networking site. Websites like Twitter, Facebook, LinkedIn, YouTube, Friend Feed etc have proved so crucial for building a strong brand name. These sites are extremely helpful in promoting your site to the social media scene. A. Seeking the Fundamental Objective: Increasing Brand Awareness The primary reason why business professionals are interested in social media is because they want to appeal to their target audience through a popular medium. Consumers are increasingly using social networking sites, and business professionals want to increase awareness and exposure to the companys brand, product or service. Social media is an inexpensive and intuitive form of marketing to an engaged consumer community.
AbstractAs world has now turned into a global village that has no boundary. Businessmen from all over the world use web and internet to communicate with the people. Today Internet is the media that has access to almost every part of world. In this, Social networking sites allow the friends and family to stay connected by sharing messages, photos, videos and a host of other information. Nowadays Social Networking Sites have become advertising shops. Companies open their account in this Social Networking Site and promote their brand, because they know that there are lots of traffic for advertisements and the promotion of their brand. In todays context, nothing can help in building a brand better than social networking. This paper tries to analyze the motive of companies behind using social networking sites as promotional tool, to find out the what extent to which the customers are made aware of brands through these sites, to study the success rate of companies who branding through social networking sites.
I. INTRODUCTION Twenty years ago, "branding" was focused on appearance. That time, no business had the ability to be in front of their target demographics 24/7 the way they do now through the use of Twitter, Facebook, YouTube, iPhones, smart-phones and other various outlets. Today's market is changing. Branding no longer means a logo and business cards. Branding means how your business lives and breathes. Now, it is about true value and emotion. It is about communicating the true impact you can have on others' lives through your services or products. II. OBJECTIVES OF THE STUDY To analyze the motives of companies behind using social networking sites as a promotional tool. To find out to what extent the customers are made aware of brand through social networking sites. To study the success rate of companies branding through social networking sites. To find out the critical success factors for companies in social networking sites. To make the suggestions to companies which are promoting their products through social
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B. Creating a Relationships
Coherent
Campaign:
Building
Social media marketing services provide wonderful opportunity to the marketers to connect with people who are still unaware about the business, brand or products and services. It is quickest form of marketing medium to connect with existing and potential customers. Social media marketing techniques are a great way of creating awareness about the products and services. Using these services, customers are always updated with latest business developments. Top social media marketing firms use options like link building and site building to create credibility among the target groups. C. Brand Monitoring Having a social media presence allows you to better understand what current and potential customers are saying about your product or services. Through active social media monitoring, you have the opportunity to address negative comments and correct false or inaccurate information about your brand. In order to monitor negative feedback, professionals should set up Google News Alerts, in which a system will email every instance of the company name that shows up on the web. D. Cost Saving Social networking is an inexpensive way to promote a company rather than putting together a huge marketing team or prohibitive budgets. Marketing the products through social networking websites is less costly than promoting the products through conventional methods, such as magazine advertisements, newspaper classifieds and television and radio commercials. E. Helps in Increasing Sales Social media helps the many companies to stay in touch with their consumers. Social marketing plans expand the reach of the firms and make it much easier to receive client feedback which ultimately results into improvement in products and services and boosting the sales. VI. WHAT EXTENT CUSTOMERS ARE MADE AWARE OF BRAND THROUGH SOCIAL NETWORKING SITES It took radio 38 years to reach 50 million listeners. Terrestrial TV took 13 years to reach 50 million users. The Internet took four years to reach 50 million people. In less than 9 months facebook added 100 million users. (As per the Nielson Company report 2009) Creating brand awareness is as tough as it can be. Now, there's this new trend that you can indulge into
with a lower budget but without sacrificing the output that you deserve. It's called, social media marketing. Facebook, Twitter, YouTube, MySpace, and blogs are only some of the many platforms used in social media marketing. Facebook bested Web giants Google, Yahoo and Microsoft in time spent online in the United States through 2010, with users spending 12.7 percent of their time at the social network Website. More than 500 million active users of facebook. and Orkut (100 million), or the micro-blogging site Twitter (which crossed 10 billion tweets recently) Linked In (50 million users). Social networking websites have given rise to a new era of global interconnectedness. Using social networking for business can bring real benefits for companies of all types and sizes. Now days, people dont believe what company tell to them. They rarely believe what company shows them. They often believe what their friends tell them. They always believe what they tell themselves. Social networking sites include various phases as introducing a product, endorsing & stimulating it. These networking sites endorse product & hence act as brand endorser for various companies. These sites not only introducing the products & making the aware about its existence, but also playing a role of ladder to promote, endorse & stimulating the customer go for that product. VII. SUCCESS RATE OF COMPANIES BRANDING THROUGH SOCIAL NETWORKING SITES With the social networks there is no more middlemen, brands have now the unique opportunity to have a direct relationship with their customers. Building and managing a brand is an intense process and social media, in one way making it a bit more complex. But these new tools also create fantastic opportunities for brands. Following are the some examples of companies who achieved high rate of success through social sites:F. Starbucks: - From Natural Touch Point to a Successful Social Strategy The first channel Starbucks launched was mystarbuckidea.com where people submit, comment on, & vote for their favorite idea. But rather than just put up the technology, it set out to ensure the departments impacted by site had a representative who was responsible for being the laison with customer. The success of mystarbucksidea.com helps the starbuck manager to understand that each channel is different & required developing different facets of the relationship with their audience. Starbucks has over 705,000 followers on twitter and over 5,428,000 fans on Facebook. G. The COCA-Cola Companys:- Groundswell Award Entry Energizing Category
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The Coca-Cola Facebook Fan Page was created by Fans for Fans. In fact, when Fans Dusty and Michael created the Page, they broke Facebook rules by positioning themselves as brand representatives, a common problem for many social media platforms and brands. Coca-Cola solicits content from Fans and highlights Fan favorites on the Page. All of these activities drive more new Fans to sign up and declare their love for the Coca-Cola brand, energizing the community around this favorite product. At the time of this submission, the Coca-Cola Fan Page has 3,662,191 Fans. The amount of Fans grows every single hour, every single day. In July alone, Coca-Cola spoke to its Fans 15 times via various formats (Status Updates, Wall Posts, Photo Posts, or Notes), and as a result of these Fan connections, the Page saw a total of 82,228 likes and 8,187 comments. H. DELL LTD.- Boost Sale through Twitter Recently, one of the prime examples is of DELL Ltd where they increased their sales through social network Twitter. Dell achieved $6.5m global revenue through its marketing strategy on twitter. It has taken the Twitter campaign to a new level by offering discounts to the 11,844 people who follow @DellOutlet. The company made along with a link to save 20% on Outlet Latitude XT tablet PC. On clicking the link, users were navigated to a product page on dell.com, thereby attracting traffic to its site. DellOutlet now has over 15,000 followers who are receiving these marketing messages from Dell. Dell has now over 100 workers who send out the tweets over 35 different channels. The big increase in sales attributed to twitter is not from US alone, but from Brazilian shoppers who alone racked up $800,000 in sales through Twitter. VIII. CRITICAL SUCCESS FACTORS FOR COMPANIES IN SOCIAL NETWORKING SITES Brand seems to gradually become familiar with social network & the importance & the opportunities offered by this tool, for targeting all demographic groups, reach old customers, gain new ones & build or maintain credibility and reputation among consumers seem to be quit well understood. Most brands still think that monitoring their brand awareness through social networks can just be resumed as putting up a Facebook page dedicated to their brand, creating a corporate twitter account or launching a viral video. Its definitely not enough and even if in some case company succeed and create a Buzz it will still be tatics and the results they will get will still apply only in a short time. Most brands still choose a tool before defining their strategy. Tactics (Facebook, MySpace campaigns, Twitter account, Blogs, You tube Channels) should come after building a solid foundation of brand image, personality and engagement online.
IX. X. LIMITATIONS OF THE STUDY Time constraint was the major limitations in the study. Further small sample size was also a limitation in this study. XI. FINDING OF THE STUDY In todays world Social Media Marketing is one of the most powerful weapons by which a company can sell their product with proper strategy and plans that will get them links, attention and more amounts of traffic. Facebook, Twitter, Myspace etc. are some of the good social networking sites where advertisers can get good and handsome traffic for their brand. There is no other low cost promotional method which can give you more visitors and feedbacks. With the power of word of mouth brought by social networks, campanys can no longer over-promise/be fake. Lies can get caught and be spread hundred times faster online. Social media allows you to reach very specific subsets of individuals based on their personal preferences and interests. XII. CONCLUSION The digital social world is a fast moving space where companies are not immune to a bad buzz that would undermine the companys image. The companys should always stay alert. Negative comments are, as well as positive ones, inevitable. The companies dont make the mistake of ignoring them. It is an inexpensive measure that aids a company to meet its ultimate goal of creating brand awareness. By using some simplest tools of promotions and through some well-planned strategies, an organization can penetrate the targeted customer base, ensure more traffic and at the end, derive the best result, in Related Coverage. XIII. SUGGESTIONS No doubt, social media is the fastest growing online community and that opens plenty of opportunity for not just individuals but also for business enterprises, but it should not be a companys sole marketing plan. Building a brand requires more than simply creating a Facebook fan page. It all depends on who the companys target audience is. It does not make sense to invest time building a brand online if a companys audience will not be viewing all the hard work. Criticism of sources of learning so tries to understand them and respond politely.
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Social medium are based on conversations, so dont try to be deaf and dumb. REFERENCES
[6]
[1]
[2]
[3]
[4]
[5]
Allen, Leslie. Social media: Say hi before buy. Automotive News 23 Nov. 2009: Research Library, ProQuest. Web. 21 Feb. 2010. Allen, Leslie. The biggest sin: Dont let your Facebook fans get bored. Automotive News 23 Nov. 2009: Research Library, ProQuest. Web. 22 Feb. 2010. Car Talk: Ford, Social Media and Me. MarketingProfs Daily Fix [MarketingProfs Daily Fix BLOG] 15 January 2010 Research Library, ProQuest. Web. 21 Feb. 2010. Connor, Angela. Does Social WORK? Measuring Community Effectiveness. EContent 1 Jan. 2010: Research Library, ProQuest. Web. 22 Feb. 2010. Dumenco, Simon. Be honest: Whats your real Twitter and Facebook ROI? Advertising Age 11 Jan. 2010: Research Library, ProQuest. Web. 21 Feb. 2010.
GOSO; Automotive Dealer Study Reports an Increase in Social Media Activity. Journal of Transportation 27 Feb. 2010: Research Library, ProQuest. Web. 21 Feb. 2010. [7] Hall, Chris. Socially Adept: Social media has become an essential marketing tool for connecting with clients, colleagues and centers of influence. heres what you need to know. Financial Planning 1 Dec. 2009: Research Library, ProQuest. Web. 21 Feb. 2010. [8] Harris, Angela. Contractors Market With Social Media. Air Conditioning, Heating & Refrigeration News 21 Dec. 2009: Research Library, ProQuest. Web. 21 Feb. 2010. [9] Listen, Learn, Adapt: Harnessing The Growing Power of Facebook. PR News 25 Jan. 2010: Research Library, ProQuest. Web. 21 Feb. 2010. [10] Palmer, Kimberly. Talking to Gen Y about the New Culture of Thrift: Companies fumble as they try to appeal to 20-something consumers. U.S. News & World Report 1 Mar. 2010: Research Library, ProQuest. Web. 22 Feb. 2010. [11] Soat, John. 7 Questions Key To Social Networking Success. InformationWeek 18 Jan. 2010: Research Library, ProQuest. Web. 21 Feb. 2010.
Pricing StrategyStrategic Plans for Creating Competitive Advantage

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Navdeep S. Thind and 2Abhay Grover
Asst. Prof. cum HOD, CT Institutes, CT Institutes, Jalandhar Asst. Professor, CT Institutes, Jalandhar e-mail: navdeep_thind@yahoo.com, abhaygrover@yahoo.co.in
AbstractIn our days few managers think strategically about pricing, and few companies proactively manage their business to create the condition that foster more profitable pricing. Sometimes pricing decisions are made without reference to the companys broad strategic choices whom to target, what offer, through which distribution channel, based on what competitive position. This paper focus on price as an important strategic tool for companies, revealing the practical conditions for strategic pricing, and bring the discussion forward between Tactical and strategic pricing. Furthermore the article will focus on price as a part of the Company strategy.
dynamic seriously limits the options available to companies and undermines the ability to use pricing as a strategic tool. II. STRATEGIC PRICING VERSUS REACTIVE PRICING Pricing is a bit like the weather. People complain about it, they worry about it, and in the end, they feel there is not much they can do about it. But, unlike the weather pricing can be controlled, can be manage to become an efficient tool in companies hand. Approaching pricing from a reactive point of view is meaning that pricing decisions are made in reaction to a pricing problem, whereas proactive pricing is planned to exploit an opportunity. In the first case the company analyses the immediate impact of decisions on profitability, in the second case also considers how the reaction of customers or competitors might change the picture. The difference between the two pricing methods is the difference between reacting to market conditions, and proactively managing them. First of all strategic pricing requires the management of the company to take responsibility for establishing a coherent set of pricing policies and procedures, consistent with its strategic goals for the company. Only after reasonable pricing objectives are developed and made an objective of business strategy it is possible to select target markets, create product and service bundles, develop promotional messages that communicate value, and design price structures that will maximize customers willingness to pay. Whereas, price setting is one tactical decision in sales effort, the day-to-day management of pricing strategy is the coordination of multiple activities to achieve a common objective. While strategic pricing decisions can lead to long term competitive advantage, tactical pricing often yields bigger and an immediate pay-off, it is the guerilla maneuvering to achieve the days victory. Tactical pricing can be very helpful for a company in his daily decision making process, it will help to: Shift the mix of orders toward more profitable products Reduce the amount of money left on the table in winning situations Gain share by selectively cutting price with specific customers
I. INTRODUCTION Pricing is one of the key elements of marketing, although it is only a part of the marketing-mix it is critical in achieving desired outcomes and specific marketing objectives. Pricing helps to differentiate in the marketplace and obtain customer satisfaction. Furthermore, is the most important communication tool for a product addressed to the audience, the customer. In practice pricing has multiple levels of implementation. At the highest level is strategic pricing, which takes into account long-term profit objectives of the organization. The next layer is tactical pricing, which optimizes price, taking into account short-term market dynamics, including demand shifts and competitive effects. The lowest layer is execution level, where stock dynamics and inventory and supply management have there well defined role. Nowadays the need to focus on pricing as a strategy based on the overall company strategy is going to become more acute in companies life. Nonetheless, most of the companies never adopt strategic pricing because it requires leadership, interdisciplinary skills and the execution of strategic decisions. But, companies that price by instinct are more likely than ever to fall behind competitors, no matter how good their products and services are. Adopted correctly pricing can become a powerful strategic tool if it is understood in the context of the company or the product market environment. In order to achieve specific goals, such as maximizing sales and profit or driving penetration an entering company in a new market needs to behave differently than a new company entering an already existing market or an existing company entering existing market. Not giving enough attention to understand this
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Doing so will not lead to a price war. Appear to exert upward pressure on industry prices in order to misdirect And confuse competitors On the other hand tactical pricing requires close attention to three key elements: price level, timing, and method of communication. Determining the price level, gives a clear understanding to companies where they stand not just in relation with competitors, but also in relation with customers price sensitivity and price visibility. Timing price changes can also be as important for companies as the changes themselves. A simple tactic of lagging competitors in announcing price increases can produce the perception of the company among customers of being the most customerresponsive. The method of communication of price increases or price decreases has a high importance, regarding the fact that price reduction that are widely announced can produce a competitive downward price spiral. Successful pricing depends on much more than simply selecting the right price level, it means that the process for setting price levels must also be proactive. If managers think about pricing only when they must set a price, they can control only the price level. If they are concerning about capturing value as the primary objective, they can expand their ability to set prices profitably by controlling much more than the price level. Pricing strategically involves managing customers expectations to induce them to pay for the value they receive; pricing strategy involves managing everything that raises willingness to pay closer to the value received. Pricing must occur in the context of a pricing process that is proactive in order to optimize long-term profitability. Proactive pricing strategy must be a part of a marketing strategy that is value-based. A long-term competitive positioning that is profit driven, rather than driven by sales or market share, must guide the value based marketing strategy. Figure 1 illustrates the multiple levels of pricing strategy, where success within each circle is limited by the successful execution of the ones surrounding it. III. PRACTICAL CONDITIONS FOR STRATEGIC PRICING For most companies strategic pricing requires more than a change in attitude, it requires a change in when, how and who makes pricing decisions. For instance strategic pricing requires anticipating price levels before beginning product development. Perhaps most important, strategic pricing requires a new relationship between marketing and finance. Strategic pricing should be the interface between those two sciences. It involves finding a balance between the customers desire to obtain good value and the firms need to cover costs and earn profit. Furthermore, has to
be the coordination of interrelated marketing, competitive and financial decisions to set prices profitably. Regrettably, the pricing policy at most companies is characterized more by conflicts than by balance between those subjects. We can fairly ask then: who owns pricing? Sales? Marketing department? Product Management? Finance? All of them have an opinion and all only see one piece of the puzzle. After all, someone needs to own the value and pricing functions someone who can be held accountable for creating and capturing value across the entire range of customers. If we consider how much executive attention the cost accounting and purchasing functions receive in most organizations, with the appearance of a new title, chief purchasing officer shouldnt the pricing function get the same level of executive commitment, attention and resources as a function designed to control cost? In order to set prices profitably and to reflect value to the customer prices must be set by those best able to anticipate that value, probably marketing and sales managers. However, their effort will not generate sustainable profit unless constrained by appropriate financial objectives. Financial managers instead of attempting to cover costs they must learn how costs change with changes in sales and must use the knowledge to develop appropriate incentives and constraints for marketing and sales to achieve their objective successfully. Another approach to strategic pricing is that the company pricing strategy should be seen in relation to developments in the company variables, internal ones (capital strength, competencies, organizational conditions, efficiency of the work force) as well as external ones (customers, competitors, the technological development). Torben Hansen proposes that a company external and internal variables and the pricing strategy should be analyzed based on four approaches. These four approaches we can see in the table below: A general framework for systematic strategic pricing4
Changes in internal variables Consequences of a chosen Type I analysis company price strategy Consequences for Type III company choice of price analysis strategy Changes in external variables Type II analysis Type IV analysis
In type I analysis, changes in the companys internal variables are viewed as a consequence of the pricing strategy, e.g. changes in the companys capital resulting from a low pricing strategy. In type two, changes in the companys external variables are viewed as a consequence of the pricing strategy; competitors may initiate extensive price reductions as a reaction to a companys low pricing strategy. With type one and two analysis, the companys choice of pricing strategy is
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thus viewed as cause and the influence on the internal and external variables as effect. In contrast in type three and four analysis, possible changes in the internal and external variables are viewed as cause and the consequences for the companys choice of pricing strategy as effect. A type three analysis could provide the result that new company competencies have affected a technological leap, which enables the company to improve the durability of its products. If customers emphasize durability, this could result in the company changing a chosen low pricing strategy. J. D. Richards, John Reynolds and Matt Hammerstein have defined the organizational conditions for developing an integrated strategic pricing capability which will yield dramatic improvements in financial as well as organizational performance. First of all companies have to gain talent through training programs to broaden and deepen technical pricing expertise and knowledge of company overall strategy. The next step should be the so called strategic management process, to be formed a new pricing management team who would report to the executive committee, and take the responsibility for debating alternative pricing strategies, ensuring the decisions are consistent with the companys strategy. The following element of the mode, roles and decision rights consists of the assumed responsibility of the formed pricing management team over decision rights on pricing, rather than leaving pricing decisions to individuals much lower in Organization, over delegating decisions regarding prices. Abdicating responsibility for pricing to the sales or to the distribution channel for instance it means giving up the responsibility for the strategic direction of the whole company. Information and technology should be very carefully selected, companies need timely, dynamic decision support information, combined with a deep understanding of customer attitude and behavior. The revenue optimization systems which are adapted from earlier systems developed for airline and hotel industries are not capable to replace management judgment and therefore should not be the sole basis for decision, they can help only with tactical, short term decisions. Last but not least companies need a change in their mindset and culture. A core group of managers
with the expertise needed to develop pricing decisions that would be grounded in not only the companys own economics, but also competitor and market realities. The adoption of this model will generate new behaviors in the company life: Pricing will be based on strategic intent, not on profit targets Prices will be set proactively not reactively Pricing changes will be agreed quickly and based on an evolving fact base Pricing decisions will be consequential and transparent, inducing a virtuous circle of performance IV. CONCLUSION In organizations pricing is one of the most complex strategic activities. Pricing strategy involves establishing cross-functional objectives and synergistic goals to create an organization that can profitably produce and capture value. Nowadays for many companies, pricing is still a collection of short term activities rather than a business discipline and an embedded core competency. Despite of his advantages tactical pricing must not dominate companies overall pricing strategy, there have to be room for the future perspective, for long-term profitability, namely for strategic pricing. And when it is adopted strategic pricing should not be about shifting authority, rather about providing an efficient robust process and methodology that helps the company to understand and articulate the components necessary for strategic pricing decisions integrated in the companys overall strategic goal. REFERENCES
[1] [2] [3] [4] [5] [6] http://marketingteacher.com/lesson-store/lesson-pricing.html http://en.wikipedia.org/wiki/Pricing_strategies http://sbinformation.about.com/cs/bestpractices/a/aa112402a.ht m http://www.brighthub.com/office/entrepreneurs/articles/50295.a spx Kaplan,R.,Norton,D. The Strategy- Focused organization, Harvard Business School Press, Cambridge,MA,2001 Corey, R. Industrial Marketing: Cases and concepts, 3rd ed.,Prentice-hall, Inc., Englewood Cliffs , NJ, 2005,Pag.311.
Marketing Strategies for Growing Business Green Marketing in India - Customer Apprehension
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Abhay Grover, 2Munish Makkar and 3Supreet

1
Asst. Professor, CT Institutes, Jalandhar 2 Student, CT Institutes, Jalandhar 3 Asst Professor, CT Institute, Jalandhar e-mail: mail abhaygrover@yahoo.co.in, munish_makkar@yahoo.in
AbstractGreen marketing is the marketing of products that are presumed to be environmentally safe. Businesses have begun to adapt their behavior in an attempt to address society's "new" concerns. Some businesses have been quick to accept concepts like environmental management systems and waste minimization, and have integrated environmental issues into all organizational activities. One business area where environmental issues have received a great deal of discussion in the popular and professional press is marketing. Terms like "Green Marketing, "Environmental Marketing" or Ecological Marketing appears frequently in the popular press. Many governments around the world have become so concerned about green marketing activities that they have attempted to regulate them. In India, Green issues are new for all company because they did not have any practiced of its before. Here the researcher will find out how customers are reacting after having a concept like green product.
SCOPE AND METHODOLOGY The proposed study would be empirical one. Both Primary and secondary data have been used in this study. The secondary data would be collected from various books, reference Journal, seminar papers and articles. 100 people have been interviewed for the sake of getting information regarding green issues through structured questionnaire. WHAT IS GREEN MARKETING? The marketing or promotion of a product based on its environmental performance or an Improvement thereof. A holistic and responsible strategic management process that identifies, anticipates, satisfies and fulfils stakeholder needs, for a reasonable reward, that does not adversely affect human or natural environmental well-being Green marketing consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. It is sorry to say, a greater part of people believe that green marketing refers solely to the promotion or advertising of products with environmental characteristics. Terms like Phosphate Free, Recyclable, Refillable, Ozone Friendly, and Environmentally Friendly are some of the things consumers most often associate with green marketing. While these terms are green marketing claims, in general green marketing is a much broader concept, one that can be applied to consumer goods, industrial goods and even services. For example, around the world there are resorts that are beginning to promote themselves as "ecotourism" facilities, i.e., facilities that "specialize" in experiencing nature or operating in a fashion that minimizes their environmental impact. Thus green marketing incorporates a broad range of activities, including product modification, changes to the production process, packaging changes, as well as modifying advertising. Yet defining green marketing is not a simple task. Indeed the terminology used in this area has varied, it includes: Green Marketing,
INTRODUCTION Remarkable competition is going on among the consumer, industrial and service products. Since Society becomes more anxious with the natural environment, businesses have started to adjust their behavior in an attempt to address society's "new" concerns. Some businesses have been quick to accept concepts like environmental management systems and waste minimization, and have integrated environmental issues into all organizational activities. People are conscious about the less environment friendly product due to their own welfare that is why this issue is very modern topics for India. This paper tried to come across the relation between green marketing and its apprehension towards the customer in India. OBJECTIVES OF THE STUDY To realize what is all about Green Marketing, Green Consumer and Green Product. To find out the indicator of apprehension of Green Marketing by the customer (Punjab). To find out the apprehension problem of Green product.
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Environmental Marketing and Ecological Marketing. Another definition is Green or Environmental Marketing consists of all activities designed to generate and facilitate any exchanges intended to satisfy human needs or wants, such that the satisfaction of these needs and wants occurs, with minimal detrimental impact on the natural environment. Therefore it ensures that the interests of the organization and all its consumers are protected, as voluntary exchange will not take place unless both the buyer and seller mutually benefit. There are two slogans like "less environmentally harmful" and "Environmentally friendly". Thus green marketing should look at minimizing environmental harm, not necessarily eliminating it. THE GREEN CONSUMER The green consumers are the driving forces behind the green marketing process. It is they who drive consumer demand, which in turn encourages improvements in the environmental performance of many products and companies. Thus, for a marketer it is important to identify the types of green consumers. Many organizations have found that two out of every three consumer is green in developed country but country like India and its organization has found that one out of every six consumer is green, but their environmental commitments vary because of their different standards, expectation from producers, demand and buying power. It is thus not efficient to say that the green consumer is one who engages in green consumption, specifically, consumes in a more sustainable and socially responsible way. A consumer acquires bundle of wants and needs and this is also true for the green consumer. To satisfy those needs businesses have to break down the market into different groups of consumers that differ in their responses to the firms marketing mix program. The segments arrived at should preferably have the following features: Measurable Sizeable Accessible Actionable Competitive intensity Growth potential A great deal of market research has been concerned with identifying the green consumer. A clear picture has not yet been established and it differs a lot between markets. But some generalizations about the green consumer can be made on the basis of the research done so far. The green consumer: Is inconsistent is confused is generally a woman is adults who are likely to be more concerned about the environment is sophisticated in wants and needs
GREEN PRODUCT Green product stresses the straight and tangible benefits provided by greener design, such as energy efficiency or recycled content, rather than stressing the environmental attributes them. Reducing the environmental impact of a product improves the product's overall performance and quality in ways that are important, not just the most dedicated and loyal green consumer, but to all consumers. For example, CNG (Converted Natural Gas) use in the vehicles, super-concentrated laundry detergents not only save energy and packaging, they save end space, money and effort. Organically grown food not only better preserves soil and reduces the amount of toxins in the water supply; they have superior taste and health benefits compared to their counterparts. Therefore green product means any product, which is not hazardous for environment and customer as well, and it also work as a future remedy of negative impact of a product. A. Green Marketing Process Green marketing process comprises with external and internal Ps. After integrating external and internal Ps, green success will automatically come through four Ss. Here external 7 Ps consists of Paying customers, Providers, Politicians, Pressure groups, Problems, Predictions and Partners; internal 7Ps consists of Products, Promotion, Price, Place, Providing information, Processes and Policies. After integrating external and internal 7Ps, we can find out the green successes through 4 Ss such as Satisfaction of stakeholder needs, Safety of products and processes, Social acceptability of the company and sustainability of its activities. B. Customer Apprehension Indicators on Green Products Green product apprehension by green customer is based on some indicator while they are in buying Point. Here the researcher fined some common indicator, which indicates that the particular customer is green. Responsible and careful: when green customer in purchasing point, they always responsible and careful towards environment, hazardous or uncertain future. These customers group introduced as "deep greens". Powerful consumers: Green Consumers always demands multiple option or alternative products so that they can buy green product, as they like best. For example: CNG and CFL and Greening of Supply Chain. Widespread recycling: Green consumer always thinks for further recycling. For example Paper bags recycled again and again.
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Consciousness for Recycling: Interest on the recycling benefits is high because Consumers can link it to real benefits. Interest in greener products: Apprehension based on availability of green products. In India , eco-tourism was very unknown word for local tourist but few eco-park establishment in coastal belt and hilly area had changed the scenario and people start liking this kind of things due to green. Health and Quality Perceptions: Consumers have considered products made from recycled content to be inferior, even unclean. Green consumers always make sure that they are safe and secure in the context of health and quality as well. Reliability: Green consumer wants to make sure that the product, which is green, is a reliable in all aspects. They always search for statistics of green product so that they can judge their beliefs.
C. Apprehension Problem of Green Product Still green marketing is a growing apprehension and concept in customer mind for India I product and service users. Though green marketing seems to be a popular, well-liked and important term, it has not been very successful in practice by the customer in India either attracting customers or in helping the environment. Some apprehension problems were found through interviewing with sample respondents and also some problems are adjusted through reviewing secondary materials like journals and other literatures. These are follows: Consumer Association in India (CAI) is not playing vital role for building consumer Consciousness concerning green product and green consumers. Consumers are relying on industry and government too much. They think, they do not have to do anything; it is someone elses problem and someone will solve the problem specially Government. Green marketing has been only implemented within the public relation department giving little room for product improvement or enhancement and real environmental benefits. Green Marketing activities with modest or no attempt being made in product development in the context of green product. Greening sometimes led to a decrease in costs. Whilst some products became cheaper, they were sold at best to provide the company with extra profit. In recent time all environment friendly ordinance passed by the national assembly but its implication program is going very slowest
way, which cannot help the product to be green and people to be green consumer as well. It is not clear to the general people that what kinds of benefits are involving in environmental friendly products. Neither customers nor producing organization clearly state environmental benefits. Polluting manufacturing e.g. all chemicals, dying, petroleum and other waste outing organizations tried to res pond to the misconceptions or fallacy or misleading notions presented by the media and pressure groups by presenting their own version of facts through public relation or promotional departments. The government authority and the related authority have taken extremely modest promotional activities The similar products were produced, but some new environmental benefits were added in their promotion to take advantage of the increasing interest customers showed in the environment. There has little practice of marketing that refers environmentally committee Person, segment or company that seeks to bring to market innovative new green products. A survey constituted through field survey within 100 sample respondents for finding out how conscious a consumer regarding green marketing and how they actually measure a green product. Results appear that consumers are not excessively committed to improving their environment and may be looking to place too much responsibility on industry and government. Ultimately green marketing requires that consumers want a cleaner environment and are willing to "pay" for it, possibly through higher priced goods, modified individual lifestyles, or even governmental intervention. Until this occurs it will be difficult for firms alone to lead the green marketing revolution. Most of the people (32%) believe that green product is for minimizing cost, 23% believes that it is for relative economical rather other competitive products like a minimum cost. And rest of the respondents divided into different opinion like it is a alternative, convenience and environment friendly product. D. Recommendations for Apprehension of Green Marketing towards People in India CAI (Consumer Association of India) should work fastest way regarding various green issues and product. They should organize seminar, program in media, newspaper and give assurance to the customer that it is a green product. CAI should bargain with the Government, industrial, middlemen regarding green issues.
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Government and concerned industry people have to take responsibility to make understand regarding importance of green products towards unconscious people like birth control issues. Create some powerful or conscious citizen so that general people will follow them as an initiating person. Set live examples towards customer society like paper recycling and CNG so that people will start thinking it will be harmless, hazard free, environmental friendly product for them. Apprehension based on availability or accessibility of greener products. In India , eco-tourism was very unknown word for local tourist but few eco-park establishment in coastal belt and hilly area had changed the scenario and people start liking this kind of things due to green. CONCLUDING REMARKS
convert all the environmental hazardous works into as environment friendly works which can keep environment fresh for the next generation and similarly India can able to establish green marketing issues in the consumer and organization mind so that green marketing can enhance marketability, improve product performance, protect environment hazard, protect health hazard, quality deterioration and represent a powerful new source of innovation. In this way agencies can able to increase good apprehension in customer mind. So, if today's successful marketing is about appealing to personal values and delivering consumer empowerment, then surely the time is right to inject sustainable development into the marketing mix to help address some of the gritty issues currently facing our planet. Green marketing methods produce highly effective results. REFERENCES
[1] http://sbinfocanada.about.com/od/marketing/g/greenmarketing.h tm http://www.wisegeek.com/what-is-green-marketing.htm http://www.articlesbase.com/marketing-articles/greenmarketing-opportunities-challenges-1146893.html http://www.christianet.com/onlinemarketing/whatisgreenmarketi ng.htm http://www.greenmarketing.tv/2010/06/27/what-is-greenmarketing/ http://www.conservationvalue.org/green_defined.shtml http://www.utexas.edu/research/ceer/che302/greenproduct/pages /whatisgreenproducts.htm http://www.greenproducts.net/ http://worldisgreen.com/category/profitseconomy/greenproducts/ http://www.ehow.com/about_5418038_green-products.html http://www.businessdictionary.com/definition/greenconsumer.html http://www.iisd.org/business/markets/green_who.aspx http://en.wikipedia.org/wiki/The_New_Green_Consumer_Guide
Marketers need to understand the implications of green marketing. If we think customers are not concerned about environmental issues or will not pay a premium for products that are more eco-responsible, think again. We must find an opportunity to enhance our product's performance and strengthen customer's loyalty and command a higher price. Green marketing is a different marketing concept than the traditional marketing model and it is growing in importance in India. Businesses and agencies must be responsive in implementing a green marketing policy the entire organizational structure must be involved in the process. In every sector, it is suffering from environment hazardous like chemical industry, petroleum -refining industry, garments, and packaging and waste management. Now it is the right time to protect all the environmental hazardous and should
[2] [3] [4] [5] [6] [7] [8] [9] [10] [11] [12] [13]
Market Penetration Strategy in Rural Area: a Case Study of Maharashtra

Dr. Rajesh S. Shinde
Assistant Professor, Department of Commerce, Dr. Babasaheb Ambedkar Marathwada University, Aurangabad I. THE MILIEU India is a country of villages. There are approximately 6.3 lakhs villages in 28States and 7 Union Territories. The country is spread over an area of 32, 87,263 sq. km. In terms of area it is 7th largest country in the world and in terms of population it stands next to China. There is a trend of continuous increase in population of India. As per the 2001 census data, India has a total population of 1027 million of which rural population is large anis 742 million. In term of population Indian rural market is almost twice as large as the entire market of USA or former USSR. The ORG Marg have shown that the rural marketing is growing as five times the rate of urban market. The total size of the rural market is estimated at Rs 123,000 crore. (Rs.65000 crore for FMCGs, Rs.45000 crore for Agri-inputs, Rs.5000 crore for durables and Rs 8000 crore for Two and Four wheelers) Rural marketing is a two way process that includes the flow of goods and services from rural to urban areas and vis--vis as well as the flow of goods and services within rural areas. Rural marketing is a function that manages all activities involved in assessing, stimulating and converting the purchasing power of the consumers. The rural markets that exist are the village shops, periodic markets, fairs and mandis. Periodical markets: A. Meaning It is an established practice in rural India to have periodic up shift market once in a week as per the convenience and local tradition of that area. The periodic markets are held weekly and bi-weekly according to local tradition. Periodic market is the main channel of distribution of local products and goods brought from outside the area. B. Definition of Periodical Market The rural periodical market is defined in the following ways. Periodical market is primarily an assemblage of local traders on some specific day or days at some fixed place. Periodical markets are the gathering of buyers and sellers at a particular place and time. 3) Two or more merchants meeting the same location at the same time are apt to sell more if the time of their visits is not coordinated.
C. Objectives of the Study To study the problems befitting the periodic markets. To identify the class of customers and their purchasing pattern in rural area. To identify the different Income groups and their income level in the corresponding area. To study the transformation in life style of the rural consumer.
D. Scope of the Study The present study is confined to rural marketing in general and periodic markets in particular The target group consists of periodic market shopkeepers dealing in fast moving consumer goods of Aurangabad and Jalgaon districts of Maharashtra. II. PRIMARY DATA The primary data collected for this purpose is on the basis of a field survey. A structured questionnaire was prepared for the sample design. Interview and free discussion method was undertaken to get insights. The sample size of the respondents is 54 from 15 Talukas of Aurangabad and Jalgaon districts III. SECONDARY DATA In order to conduct the research, the secondary data is of unique importance. The secondary data was collected from Books, Magazines, Journals, Periodicals, Survey Materials, Reports, Newspapers, and Internet. For this purpose the researcher had visited the following Libraries. E. Data Analysis
TABLE 1: GENDER OF THE RESPONDENT
Gender Male Female Total
Frequency 52 02 54
Percentage 96.30 3.70 100
Unfortunately the field survey under taken for periodic market shopkeepers turned out to be gender biased with very negligible representation of womans
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respondents. It is due to the fact that more than 95 percent of the periodic market shops are owned and run by males.
TABLE 2: NUMBERS OF OUTLETS IN PERIODIC MARKETS
Group A B C D E Total
No. of Outlets 3 to 10 11 to 20 21 to 30 70 to 80 81 to above
Frequency 26 15 5 3 5 54
The counter sales of shopkeepers on a periodic market day range from Rs 400 to Rs 9000 and above. More than 50 percent of the shop keepers have a quantum sale in between Rs 400 to Rs 3000 and above the remaining 50 percent shop keeper are having sales of Rs 3000 to Rs 9000 and above. Chart 1: Place of purchase
The varying response to the question asked regarding the numbers of outlets offering FMCG product in periodic market is between 3 to 81 and above is suggestive of the fact that out lets selling FMCG products in periodic market differ in nature.
TABLE 3: GENDER AND SHOPPING
Gender The Numbers of female is around The Number of Male is around The Number of children around Total
Percentage 51.9 44.4 3.7 100
In the periodic market mostly females followed by mails and childrens do shopping of FMCG product.
TABLE 4: CREDIT FACILITY
The chart is indicator of penetration of marketing network for various FMCG products is mostly up to the taluka level. The FMCG marketing in India is yet to provide their product at the doors of shopkeepers live aside the customers. This longer chain of distribution network keeps on adding to the purchase price until the product gets into the hands of the customer. This is the stark reality in the age of E-Shopping through which products are home delivered.
TABLE 6: NUMBERS OF CUSTOMERS COMING TO SHOP
Name of Company HLL P&G Superdust Godrej Total
Percentage of Shopkeepers Getting credit 11.9 6.7 4.3 2.6 25.5
FMCG products of various companies available to the shopkeepers in periodic market on credit differ from company to company. The FMCG giants HLL top the list in the region of Aurangabad and Jalgaon as the company offering FMCG products to the shopkeepers of periodic marker on credit. The credit facility definitely helps in product penetration. The table no 4 indicates that only 25.5 percent of the shopkeepers gets FMCG products on credit rest have to purchase in cash which becomes difficult for the shop keepers due to less holding capacity.
TABLE 5: APPROXIMATE DAILY SALE
Customers 20 to 50 51 to 100 101 to 200 201 to 300 300 to 400 400 to 450 & above Total
Percentage of Shops 31.7 18.1 16.7 16.7 14.9 01.9 100
The periodic market shops cater to the demands and needs of number of customers. It ranges from 20 customers to 450 customers and above. But in most of the weekly markets in between 20 to 50 customers purchase FMCG products. There is also presence of big shops with a clientele of more than 400 customers in periodic market.
TABLE 7: CHOICE OF CUSTOMERS
Sale Group Rs.400 to 1000 Rs.1000 to 2000 Rs.2000 to 3000 Rs.3000 to 4000 Rs.4000 to 5000 Rs.5000 to 6000 Rs.6000 to 7000 Rs.7000 to 8000 Rs.8000 to 9000 Rs.9000 to above Total
No. of Respondent 9 13 7 5 6 5 5 2 1 1 54
Factor Quality Price Availability Utility value Total
Frequency 08 1.5 1.1 20 54
Percentage 14.81 27.79 20.37 37.03 100.0
The perspective of the shopkeepers about customers product preference is shown in table no 7. According to the shop keeper utility and price are the major basis of customers choice. Brand choice in the survey it is observed that 63 percent of the customer insists on particular brand and the remaining are either reluctant or indifferent to branding. This shows that
Market Penetration Strategy in Rural Area: a Case Study of Maharashtra
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there is a scope to inculcate brand penetration and brand loyalty in periodic markets and its customers.
TABLE 8: BEST MEDIUM FOR RURAL PENETRATION
Response Village shops Weekly market Taluka market
Percentage 53.7 44.4 1.9
The respondent where asked about the best possible channel available with marketers of FMCG to penetrate into the rural area. The response to this is given in the table no 8 IV. CONCLUSION AND SUGGESTIONS The scenario of Indian rural marketing particularly in the context of trends and transformations of 21st century is both a challenge and a great opportunity. Challenge in the sense of growing complexities and complications created by the competition amongst the competing organizations and opportunity in the sense that nowhere in the past history of human kind we have come across such a mind boggling sophistication and comfort with qualitative increase in life style made possible by the advancement of information, communication and technology. Rural marketing as a process does not operate in vacuum. It is influenced and on the other hand it influences its contextual environment. The rural marketing is thus dynamic in nature. The recommendations to uplift the rural marketing are: Credit facility: People in rural areas are compelled to purchase product on credit as the majority of them do not have a regular income and hence they are not able to buy on cash. It is also found that many people in rural area still take FMCG product on exchange with agriculture produce. On the other hand shopkeepers are not getting credit facility particularly from the distributors of FMCG producers. Company should design a policy where credit limit of at list a month is possible for shopkeepers. This will help in FMCG product penetration even in remote rural areas. Schemes for retailers: For rural retailers cash discount, quality discount do not work as most of them purchase in small quantity, they are not able to enjoy the schemes of the company. More over rural retailers buy on net price quoted by the wholesaler. Therefore scheme details should be prominently written on the pack itself and should be communicated through advertisement in local media Transparency in business transaction is also empowering in nature. Use of Co-operative societies: There are over 4 lakh co-operative societies operating in India, which deals in consumer services, dairy, credit co-operative in rural area. If companies contact them, they can start mini super market for rural consumers where FMCG products can be sold. They are already having constructed space in rural areas.
Use of Public Distribution System: Public Distribution system is a well-organized distribution system in India. There are 4.37 lakh fair price shops of which 3.48 lakh are operating in rural areas. Government must allow these shopkeepers to trade FMCG products. Self Help Group: Self Help Group concept is assuming a very significant role in rural areas. There are at least one or two self help groups operating in the village. There are over 10 lakh SHGS across India. This holds a great potential to develop a low cost distribution model to reach rural homes in the remotest parts of the country. Companies will benefit by the penetration, SHG will get revenue and the requirement of the customer will be fulfilled. Thus, this will have a triple effect. Focus on weekly market: It has been experienced that almost 80 % of villagers visit weekly market to purchase their necessities and to sale their agricultural produce. If companies concentrate on this market then the companies can reach the maximum rural households. Focus on Fairs: Fairs are an important feature of Indian rural life. Marketers should focus on Fairs that last for a longer duration. Kiosk Marketing: Companies doing business in rural areas should try to build a kiosk network all over the country. ITC is on the path of doing so but only for few states. If other companies go for kiosk then it will be of dual benefit i.e. for the manufacturer and the rural folk. Special Campaigns: During crop harvest, and festivals, it is beneficial to take the special promotional campaigns in rural areas. These campaigns can organize in village fairs; dance and drama show where company can get good audience. Targeting Youth: Rural youth is in dilemma today facing the pulls and pressures of modernity and traditions. City life is alluring where as tradition bound are hard to cut off. It is observed that this phenomenon is reflected in his value setting more specifically in his attitudes and likings. In this context marketers of FMCG product must make responsible and responsive use of social dynamics. Product to be designed must be befitting to his life style. REFERENCES
[1] [2] [3] [4] [5] Pradeep Kashyap and Siddharth Raut, The Rural Marketing Book, Dreemtech Press, New Delhi, 2006. Ramkishen Y, New Perspectives in Rural and Agricultural Marketing, Jaico Publishing House, Mumbai, 2004. Raja Gopal, Understanding Rural Marketing, Daya Publication House, Delhi, 1991. H. M. Saxena, Marketing Geography, Rawat Publication House, 1990. H.M. Saxena, Geography of Marketing, Sterling Publications Private Ltd., New Delhi, 1984.
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National Conference on Strategic Management of Business Development: Issues and Prospects H.M. Saxena, Geography of Marketing, Sterling Publications Private Ltd., New Delhi, 1984. Sudhir Wanmali, Periodic Markets and Rural Development in India, B.R. Publishing Corporation, Delhi, 1988. [8] H. M. Saxena, Marketing Geography, Rawat Publication House, 1990.
[6] [7]
Competitive Marketing Strategies in Relation to Relationship Marketing

Dr. Simranjit Kaur and Falki Gupta
Cordia Institute of Business Management, Sanghol, Dist. Fatehgarh Sahib
AbstractRelationship marketing as a field of inquiry has attracted a great deal of attention among marketing scholars in recent years leading to development of various research streams. Competitive Marketing Strategy has relationship marketing as one of the key functionality in enhancing business performance. Several review articles have appeared in the literature in which attempt is made to examine the state of what is known about relationship marketing. RM is defined as the identification, establishment, maintenance, enhancement, modification and termination of relationships with customers to create value for customers and profit for organization.The role of RM in CMS includes: improve profitability, address Customer Better, buy in of customer attention, protect emotional well being, understand consumer psyche, build trust with customer. All these roles are observed in this paper placing emphasis on their extraordinary operations and services to engage with the customer. Keywords: Trust, emotional wellbeing, Profitability
essential requirements for a resource/ skill to be a source of SCA (Barney, 1991). It must be valuable; it must be rare among competitors; it must be imperfectly imitable; there must not be any strategically equivalent substitutes for this resource skill. Sources of SCA leads to positional competitive advantage (differentiation and low cost). An important component of firms marketing strategy is relationships. Relationships with customers, channel members and with competitors. He defines each relationship by the identity of the partner public and the contract with it. RELATIONSHIP MARKETING RM is defined as the identification, establishment, maintenance, enhancement, modification and termination of relationships with customers / consumers to create value for customers and profit for organization by a series of on-going exchanges that have both a history and a future. Such exchanges are called relational exchanges. The goal of RM is to build long-term, trusting, win-win relationships which serve to maximize customer satisfaction and retention.Too many businesses try to be too many things to too many people, says Kenneth Cook, author of the American Marketing Associations Complete Guide to Small Business Marketing. Get to know your customers intimately. Then youll know what they are looking for (White 1993). This strategy is one of the most effective and responsive for attaining competitive advantage and unique company differentiation in an increasingly competitive and changing environment. It provides a much greater emphasis on informing and educating versus advertising, and keeping the customers you have as opposed to primarily focusing on capturing new customers. Relationship marketing occurs at following levels. A. Level One Relationship marketing relies primarily on pricing incentives to secure customers loyalty. However the sustainability of competitive advantage is minimal on this level one, as pricing moves can be matched quickly. B. Level Two Relationship marketing relies primarily on social bonds, though pricing is still a vital element. This
INTRODUCTION To be competitive and survive, all business organizations must adapt to the changing business environment and continuously design and improve marketing strategies. Relationship marketing is one of such contemporary marketing strategies employed in both developed and developing economies. It includes all the marketing activities designed to establish, develop, maintain, and sustain a successful relational transaction with a view to gaining the maximal value of customers who can contribute to long term organizational profitability. Adopting relationship marketing effectively tends to give an organization distinctive or comparative advantage over competitors because it will enable them to communicate effectively with the customers, know what they need and want, why they continue to patronize the organizations products and services, why some leave the organization, and the strategies to use to manage such relationships effectively. One of the major objectives of marketing strategy is to enhance the long-term financial performance of a firm. As such competitive marketing strategy serves to improve financial performance of the firm through the route of sustainable competitive advantages. Relationship marketing serves as a moderator for the sustenance of positional advantages and influences the impact of competitive and market conditions on the formulation of the marketing mix. The purpose of competitive strategy is to achieve a sustainable competitive advantage (SCA) and thereby enhance a business performance. There are four
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involves personalization and customization of the relationship. C. Level Three Relationship marketing relies on structural solutions to customer problems, such as Federal Express providing computer terminals in offices of high volume customers. D. Competitive Marketing Advantage through Relationship
by the existence and development of trust (Berry, 1995). Much of relationship marketing progresses on the trust the customer places with the firm. F. Understand Consumer Psyche It is important company for any to understand consumer psyche and shifts in psyche, owing to long association and close bonding that the company enjoys with the buyer. The psychology of how consumers think, feel, reason, and select between different alternatives (e.g., brands, products, and retailers); The Company becomes a sort of consumer specialist in selected areas that the company operates. Information gaps with the customer are considerably reduced and it is quite likely that the company acquires information advantages with respect to competition. This helps in acquiring new customers, launching new products and services, testing new concepts, improving products and services. Understanding subtleties in consumer psyche also helps in delighting the customer, which may not be possible otherwise. This enables the company to also function as a brand specialist. G. Partnering Relationship marketing focuses on building strong relationships with individual customers. Its emergence in the 1980s was however not so much a discovery, but a rediscovery of a truth which formed the foundation of many businesses. Partnering, at its best, is a long term commitment between two or more organisations for the purpose of achieving specific business objectives by maximising the effectiveness of each participants resources. The relationship is based upon trust, dedication to common goals and understanding each others individual expectations and values. This seems to suggest many similarities between relationship marketing and partnering. It is, however, still unclear as to what these similarities are. RM fosters external partnerships that cater to the mega-marketing needs of a business. RM fosters external partnerships through networks (individual relations); collaborations (organizational relations) including alliances. These sets of external relations bring together market elements synergistically. The management of the set of external decisions to the firm customer relationship is called as mega-marketing or market externalities. The deep personal, social contacts fostered under the umbrella of relation building help solves the external decisions to a firm-customer relationship. H. Moments of Truth There are several critical times during a customers relationship where a decision is made by the customer to continue or discontinue interacting with a company. This may be the first bill, a customer service call, a retail experience, a Web siteany event that helps
In this age of global competition, Relationship marketing can provide an effective means of achieving both an effective product differentiation and competitive advantage. By placing a much greater emphasis on listening, marketers can more effectively determine what the customer wants and tailor the product to appropriately fit the customers needs. This ability to better serve a customer can help a marketer to better differentiate his products and thus gain competitive advantage over those marketers that are not as responsive. Another source of both product differentiation and competitive advantage is in the area of marketing communications. When a marketers communications strategy emphasizes providing the customer with information that will enable the customer educate him/herself instead of the traditional advertising and sales promotion, the customer is more likely to remain loyal to the marketer. This is completely opposite to always looking for ways to capture new customers, which of course, is very expensive. The role of RM in CMS includes Build trust with customer Understand consumer psyche Partnering Moments of Truth Customer attention Emotional well being Address Customer Better Profitability Relationship Marketing includes E. Build Trust with Customer Trust defined trust as a willingness to rely on an exchange partner in whom one has confidence alternatively. Trust to be defined as a generalised expectancy held by anindividual that the word of anothercan be relied on. Relationship marketing is built on the foundation of trust, as research demonstrates (Morgan and Hunt, 1994). Trust is a willingness to rely on an exchange partner in whom one has confidence (Moorman, Deshpande and Zaltman, 1993). Trust ensures that the relational exchange is mutually beneficial, as the good intentions of partners are not in doubt. Customers buying black box services (automobile repair), are specially benefited
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clarify the relationship with a particular brand, product, or service. We call these "moments of truth" and how a marketer interacts with the customers can significantly increase (or decrease) the long-term viability of that relationship. Identifying and anticipating those points of clarify is critical to maintain and grow a profitable customer relationship.it includes Staying Connected with Customers. For one telecommunications leader, economic and competitive pressures were making it increasingly difficult to attract and keep new customers in a highly competitive space. In service industries, there is always some form of direct (social) contact between the customer and the service firm. This direct (social) contact or service encounter is so important a part of service delivery that it is frequently called the moment of truth. Strategic Marketing in service industries is influenced significantly by Moments of Truth. By adapting to a RM approach, the organization can virtually turn the Moments of Truth in its favour, as the customers are continually attended to in a Relationship Marketing. I. Customer Attention
K. Address Customer Better Relationship Marketing concentrates on customer insights so useful in the formulation of effective marketing strategy. Information technology helps store and manipulate extensive information about the customer. This information about the customer is used in marketing called CRM customer relationship management. Customer relationship management (CRM) is a widely-implemented strategy for managing a companys interactions with customers, clients and sales prospects. It involves using technology to organize, automate, and synchronize business processesprincipally sales activities, but also those for marketing, customer service, and technical support. The overall goals are to find, attract, and win new clients, nurture and retain those the company already has, entice former clients back into the fold, and reduce the costs of marketing and client service Customer relationship management describes a company-wide business strategy including customer-interface departments as well as other departments. Apart from Database marketing (DbM) and CRM, Relationship technology also includes direct marketing (DM). This individual attention to individual customer needs has been described as One-to-One marketing. This type of marketing implies the development of long term relationships with each customer in order to better understand that customers needs and better deliver the service that meets the individual requirements. One to One marketing leads to better interactivity of the customer and the firm. L. Profitability Profitability plays an important role in relationship marketing. As good relationships leads to good quality and good customer satisfaction. Good quality provides as internal relationships / employee relationships are fostered. Good customer satisfaction arises as specific customer needs and wants are understood better and served better. Good quality and customer satisfaction leads to customer retention and consequent improved profitability. Good Internal Satisfied Employee Good External Customer Quality Employees Retention Quality Satisfaction High Customer. Profitability Retention. One of the major objectives of competitive marketing strategy is to improve the longterm financial performance. Relationship marketing by working towards improving profitability based on exploiting its relationships serves this financial performance objective of marketing strategy. In fact, RM pays off handsomely when products or services have high switching costs e.g. office automation system. RM is profitable when customers are willing to stay with suppliers for a long period of time. Transaction marketing on other hand pays when there are low switching costs.
It is very important to note that it takes two to form a relationship. As such, if a firm has ongoing relationship strategies with its stakeholders (customers, suppliers, employees, government etc), then implementation of competitive marketing strategies (be it a pricing policy or a positioning change etc) becomes smoother. This is because in forming a relationship, the stakeholder has come to appreciate the objectives and the strategies of the firm to an extent. To this extent, employee care on customers is very important. In relationship marketing, this is accomplished by reducing expenses on advertising and increasing expenses on customer care. Buy in of customer (attention) is also made possible by developing long term engagements with customers. J. Emotional Well Being
Emotional factor is very important factor in relationship Marketing. Deep dissatisfactions are avoided, customers are made to feel important, private information of customers are handled fairly well, long run supply security is provided, customer care is maximized, sudden spikes in demand are managed. Care should be taken to preserve the prestige and wellbeing of the customer. The customer in turn transfers greater responsibility of the supply to the seller. The seller can increase his service and maximize his profitability. So it is very important tool in competitive marketing strategies.
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OBJECTIVE OF THE STUDY To study the role of RM whether marketing programs can be suitably designed to attract, develop customer segments. To study the role of relationship marketing to improve the effectiveness of CMS. In the study, first we examine the nature of relationship marketing. Second we conceptualize the role of relationship marketing to competitive marketing strategy. Thirdly we empirically test the role of relationship marketing. RELATIONSHIP MARKETING IN HOTELS INDUSTRY For the relationship practices, the hotel industry was chosen as this sector has rich potential for research purposes. The city of Chandigarh was selected owing to its cosmopolitan culture and its rising international travellers. Some hotels of the city Chandigarh were randomly selected for research purpose. The one to one in-depth interview at the level of Head-Marketing was conducted. The interview sheets (see Appendix A) were then content analyzed and summarized as below. A good product or service should back a good relationship. A relationship is a mutual give and take. A relation occurs when the transaction occurs. However, transaction focus is mechanical and with human relations the managers cannot be mechanical. It is beneficial for both individuals, in good and bad times. One hotel defines the elements of a good relation to be honesty, transparency, be forthright, and not differentiate between Indian and foreign customers. Expenses are not the focus in RM; facility development and provision is basic to RM, the focus is that the Customer should not suffer. The hotels act as solution providers. One hotel for example provided wireless Internet connectivity, corporate loyalty programs, and international AVIS tie-ups. RM is very strong in hotels; it exists from Secretaries to CEOs. RM efforts are directed at CEOs, government, decision making people in organizations, ancillaries, related businesses, dealers, individual travellers, travel agents, upmarket socialites. RM efforts are also targeted at the officials who are in charge of bookings. Even a standard smile builds a relationship. Relation development takes place both through personal relation building and word ofmouth relationships. In some hotels there are dedicated RM executives, RM managers who take care of account management of customers on an ABC classification. In other hotels, the entire sales team is relationship building. In one hotel, one sales manager acts as the one source answer to around 120 companies. Trust in RM is very important. In some hotels this is the main focus. It needs to go along with commitment. It needs to develop with the business. If deliverable is good then trust increases. There is no explicit buy in of customer; however the relationships
are so well nurtured that the customer automatically buys. There is no need of selling after that. The switching costs are increased so that the customer is retained. The switching costs may be increased by emotional lock-ins, good experiences, excellent conferencing facility, holidaying for executives etc. In one hotel the concept is of ultimate service and they have won global awards for ultimate service. Such hotels do not focus on relationship marketing efforts but expect the customer to buy from them in a repeated manner owing to their ultimate service. Employees are empowered to decide that will reflect a sense of willingness to deliver impeccable service. Such organizations are very strong in operations and relationship marketing is only a small part of the customer pleasing process. Hotels offering ultimate service are part of a larger group of hotels offering value (through products, technology, and security) service quality. The role of RM is to take care of emotional well being of customer. This is an important role of RM in marketing strategy. The emotional quotient level is high in the hotel business. Protecting emotional well being is linked to building trust. In one 5 star hotels for example, they take care of health one Indian hotel calls Thailand massage experts to relieve stress of its guests who travel across countries and are subjected to stress. In another hotel they strive to provide the best security systems with good floor security, CCTV. There are also periodic reports on food tests on whatever is eaten to say that they care for the customer. Another hotel went all the way with police procedures to retrieve a stolen / misplaced item of a client who held a wedding party in a hotel. Relationships with the government are also important. In one hotel, there were 70 licenses allotted to run the hotel. Relationships with the government lead to important information, which can lead to advantages. One example is of a hotel that got advance information through a relationship of the location of an international airport and bought land at a low price. Apart from relationships with government, external partnerships with vendors, food sampling and testing through microbiology sections, employee satisfaction, senior citizen package etc help improve company image in the market. It is not possible to displease the customer and maintain effective on-going relationships. Customer retention is a very important part of RM and is the link to relationship management. In one hotel for example at one point of time there are 150 Managers from 130 companies to be serviced and every care should be taken that the customers are simultaneously well serviced. Customer acquisition is also important and is normally more expensive. RM also helps understand and track customer psyche and its changes based on which customer value propositions can be built. They
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also try to customize offerings based on their understanding of the customer psyche. RM programs in hotels include loyalty programs (dedicated loyalty programs are sometimes included), frequency marketing, tie-up with credit card companies, database marketing (local and central databases, segment focus), direct marketing, guest relationship program, preferred partner programs (one hotel had 350 preferred partners in city), direct email, newsletter, food festivals. Relationships are also driven by rate fixing for room rent, which goes on a variable rate depending on the business. Customer management practices in one hotel includes (a) communication starting with RM manager (b) broadband facilities (c) complementary cocktail hour (d) complementary boardroom facility (e) international newspaper (f) Japanese breakfast (g) capture of customer profile and appropriate reactions. One hotel gave a helping hand to customers who stayed with them a long time for settling in a new home. Relationship marketing efforts give feedback for strategic decisions such as (1) opening up of new hotel, (2) start of new advertising campaign, (3) competition action / reactions to be made. RM is normally expected to improve profitability, though it is the long-term profitability and not the short-term profitability that is expected to improve. The improvement in profitability also comes from the elements of trust. RM managers gather market intelligence and give market information advantages to strategic marketers, which enable better adjustments of the firm to the market over time. RM managers work on experience, that is the basic thrust. RM helps the seller to guide the moments of truth in his favour. The revolutionary thought in relationship marketing is to give what the customer wants and not what the selling firm wants. To do this the internal clients have to understand that the ultimate customer is important and as such Internal Marketing is very important. For RM to lead to competitive advantage the product has to be good operations should support the RM efforts and service delivery has to be excellent. RM is bad when the customer backfires; in this sense it is a high risk, high return process. Long-term relationships are beneficial as long as it is professional; there is a thin line between the client and the provider, which has to be maintained. The providers have to continuously demonstrate that these long-term relationships are winwin. This is difficult to maintain as expectations increase with relationships. Some hotels go beyond call of duty to make this expectation fulfilment possible. They anticipate and meet customer needs from a very proactive sense. SUMMARY The role of Relationship Marketing in Competitive Marketing Strategy has been studied. Relationship Marketing (RM) is one of the streams of conceptual and
empirical work in strategic marketing. RM is defined as the identification, establishment, maintenance, enhancement, modification and termination of relationships with customers / consumers to create value for customers and profit for organization by a series of on going exchanges that have both a history and a future. Such exchanges are called relational exchanges. Relational exchanges can be examined under transaction cost analysis or social exchange theory depending on the context. Relationships with intermediate customers, ultimate customers and other key publics (vendors, government) in the business process is important in CMS as outlined in the framework of marketing strategy. Relationships are a cornerstone of Marketing Strategy (Sudarshan D, 1995). The role of RM in CMS includes (a) Guide moments of Truth (b) RM to improve profitability (c) RM builds partnering (d) Address Customer Better (e) Buy in of Customer attention (f) Protect Emotional well being (g) Understand consumer psyche (h) Build trust with customer. All these roles are observed empirically in the hotel industry. However the role of RM varies from hotel to hotel, with some placing emphasis on RM practices whereas others depend on their extraordinary operations and services to engage the customer on a continuous basis. RM practices in hotels include loyalty programs (dedicated loyalty programs are sometimes included), frequency marketing, tie-up with credit card companies, database marketing (local and central databases, segment focus), direct marketing, guest relationship program, preferred partner programs (one hotel had 350 preferred partners in city), direct email, newsletter, food festivals. RM serves to provide competitive edge only when a good product backs it; excellent operations and a good service delivery set up. IMPLICATIONS Relationships as a focus of marketing strategy aids in the understanding of consumer needs and wants, which is useful to implement profitable exchanges. RM also helps customizing solutions to important customers, more efficiently than otherwise.RM helps in achieving customer satisfaction, customer retention, and customer acquisition. Examples include airline firms and hotel firms. In addition RM aids in obtaining increased commitment from the customer; this is important if businesses have to be sustained for extended periods of time. RM leads to partnering and partnering leads to profitable exchanges. RM helps even out volatile demands. It also protects the emotional well being of the customer. Given the above RM is a tool of furthering the customer understanding and interactive processes. RM outputs can thus be usefully used, as inputs in product design and development, want identification, improving selling systems, pricing strategies.
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APPENDIX A Depth Interview Checklist Definition of Relationship Marketing (RM) Types of RM practiced loyalty programs, direct marketing, database marketing Customer Management Practices Efforts in customer acquisition and customer retention RM from a sales management perspective Stakeholders in a hotel business for relationships Long term relations and profitability Roles of organizational heads in relation building Role of RM in marketing strategy guide moments of truth, improve profitability, build partnering, address customer better, buy in of customer attention, protect emotional wellbeing, understand consumer psyche, build trust Role of RM in building competitive advantage and in marketing strategy. REFERENCES
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[14] Dillman, D. (2000). Mail and Internet Surveys: the Tailored Design Method. 2nd ed., NY: Wiley Cop. [15] Egan, John (2001). Relationship Marketing. Prentice Hall,Harvard Business Review (2001) Customer Relationship Management. Harvard Business School Press. [16] Harker, Michael J. (1999). Relationship Marketing Defined? An Examination of Current Relationship MarketingDefinitions. Marketing Intelligence & Planning, 17 (1), 1320. [17] Homans, George C (1961). Social Behavior in Elementary forms. Harcourt, New York Jackson, Barbara Bund (1985). Winning and keeping industrial customers, Lexington,KY:Lexington books, [18] Hunt, Shelby D. (1997). Competing Through Relationships: Grounding Relationship Marketing inResource-Advantage Theory. Journal of Marketing Management, 13 (5), 431445. [19] Johns, N. (1999). What is this thing called service? European Journal of Marketing, 33(9/10), 958-973. [20] Kelly S (2000). Analytical CRM: the fusion of data and intelligence. Interactive Marketing, (3), 262-267. [21] Lemon, K.N., White, Y.B., and Winer, R.S. (2002). Dynamic customer relationship management: incorporating future considerations into the service retention decision. Journal of Marketing, 66(1) (Jan), 114) [22] Morgan, Neil A., and Lopo Leotte Rego. (2006). The Value of Different Customer Satisfaction and Loyalty Metrics in Predicting Business Performance. Marketing Science, 25 (5), 42639. [23] Morgan, R. M., & Hunt, S. D. (1997). Relationship-based competitive advantage: The role of relationship marketing in marketing strategy. Journal of Business Research, 46(3), 281 290. [24] Morgan, R. M., and Hunt, S. D. (1994). The Commitment- Trust Theory of Relationship Marketing. Journal of Marketing, 58(3) (July), 20-38. [25] Mylonakis, John. (2009). Customer Relationship Management Functions: A Survey of Greek Bank Customer Satisfaction Perceptions. The Icfai University Journal of Bank Management, 8 (2), 7 - 31 [26] Narayandas, D., & Rangan, V. K. (2004). Building and sustaining buyerseller relationships in mature industrialMarkets. Journal of Marketing, 68, 6377. [27] Ndubisi, N. O. (2006). Effect of Gender on Customer Loyalty: A Relationship Marketing Approach. Marketing Intelligence and Planning, 24 (1), 4861. [28] Nielson, C. C. (1996). An empirical examination of switching cost investments in business-to-business marketing Relationships. Journal of Business & Industrial Marketing, 11(6), 3861. [29] Nielson, C. C. (1998). An empirical Investigation of the Role Of Closeness in Industrial buyerseller relationships. European Journal of Marketing, 32 (5/6), 441-463. [30] Nunnally, J.C. (1994). Psychometric Theory, 3d ed. New York: McGraw-Hill. [31] Oliver R L. (1999). Whence Consumer Loyalty? Journal of Marketing, Vol. 63, 33-44. [32] Oliver, R.A. (1996). Satisfaction. A Behavioral Perspective on the Consumer. McGraw-Hill,New York, NY. [33] Pallant, J. (2005). SPSS Survival Manual: A Step by Step Guide to Data Analysis Using SPSS. Allen& Unwin,Sydney. [34] Palmatier, Robert W., Dant, Rajiv P., Grewal, Dhruv & Evans, Kenneth R. (2006). Factors Influencing the Effectiveness of Relationship Marketing: A Meta-Analysis. Journal of Marketing, 70 (4) (October), 13653. [35] Palmatier, Robert W., Scheer, Lisa K., and Steenkamp, Jan Benedict E.M. (2007). Customer Loyalty.
Management of Customer Loyalty: A Study of Telecommunication Industry

Renu Arora
M.Com, MBA, Assistant Professor Mata Sundri College for Women, University of Delhi
AbstractCustomer loyalty presents a paradox. Many see it as primarily an attitude-based phenomenon that can be influenced significantly by customer relationship management initiatives such as increasingly popular loyalty and affinity programs. However, according to them, the empirical research shows that loyalty in competitive repeat-purchase markets is shaped more by the passive acceptance of brands than by strongly- held attitudes about them. From their perspective, the demand-enhancing potential of loyalty programs is more limited than might be hoped( Uncles,Dowling and Hammond). Customer relationship and loyalty management as a competitive strategy is not totally unfamiliar to companies. They do collect data and observations at various touch points like during sales calls of their sales representatives, call centres, web-sites etc. However, they do not systematically share and integrate them for their CRM and CLM programmes. They do favour large customers but not in terms of their lifetime value or loyalty quotients. This study attempts to explore customer satisfaction-loyalty links in mobile telecom services.
give positive referrals, endorsements and spread the word. Loyalty drivers or objectives: Key drivers or objectives of loyalty are: Building true (attitudinal and behavioural) loyalty in terms of greater commitment, greater word of mouth and greater product purchases. ) Earning higher profits through positive customer satisfaction, perceived product performance and loyalty. Brand reputation and positive image towards all products under a brand. competitive advantage through customization and communication to sustain loyalty. Loyalty factors: Factors affecting loyalty are:
Satisfaction Product Services Expectation Image Brand Personality Goals and Values Trustworthiness Supplier Product Salesman Importance of Relationship Importance of product Intimacy of relationship of suppliers
I.
INTRODUCTION
Customer loyalty might be the only sustainable competitive advantage, especially in challenging economic times yet, very few businesses understand how to create customer loyalty, as part of their customer relationship management ( CRM.) An average company loses half of its customer base every five years. Hence the need for a systematic approach to this competitive differentiator and for a methodology that can help companies identify and improve their key loyalty drivers. Customer loyalty depends on providing satisfaction not simply to customers themselvesalthough this is critical- but also to those employees and partners who can (positively or negatively) influence the customer relationships. Effectively managing relationships with all three of these constituents is the key to customer loyalty, competitive advantage and financial stability. Increased customer loyalty drives long-term profitability more than any other strategic factor. A. Customer Loyalty Customer loyalty is measured as customers intent to repurchase. Loyal customers would do more repeat business and develop more tolerance to price increases and therefore, are more profitable to the firm. They will
Loyalty Measures: The measures of customer loyalty can be classified into three categories: Consumers primary behaviour as: Recency of purchase Frequency of purchase Amount of purchase Share of expenditure ( Wallet Share )(Bryan Foss and Merlin Stone, 2002) Consumers secondary behaviour Referrals Endorsements Positive word of mouth publicity Consumers intention to repurchase Using a Customer loyalty model, companies can develop customer loyalty matrices to measure individual customer loyalty. gather ongoing feedback from the customers to look beyond buying patterns and understand how they think and feel about them. segment and manage key customers on the basis of loyalty quotients and customer Life Time Value ( CLV ). identify problems and make programs to foster customer loyalty.
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II. VARIOUS CUSTOMER LOYALTY MODELS Frederick Reichheld (1996), author of The Loyalty Effect estimates that companies can boost profits by almost 50% by retaining 5% more of their customers with the escalating marketing, sales, promotion and administrative costs of acquisition of new customers. Winning new customers can be upto 20 times more expensive than retaining existing customers. (Reichheld and Sasser, 1990)Just a 5% reduction in the customer defection rate, business can increase profits by 25% to 85%(in terms of their net present value) depending on the industry. However, Carrol and Reichheld (1992) dispute these calculations, claiming that they result from faulty cross-sectional analysis.. Kaushik Mukerjee (2007) states that the concept of loyalty has been interpreted in several ways. He uses a survey by website www.crm guru.com (December,2004) to highlight this point:The survey showed that 64% of respondents believed that loyalty is customer repeat buying behaviour , whereas only 32% defined loyalty as customer spending more over time. Kaushik Mukherjee (2007) quotes Cao and Gruca (2005) that successful CRM begins with acquisition of right customers. According to him the firm must be able to differentiate between the bargain hunters, loyal customers,and competitive customer. Kaushik Mukerjee(2005) points out difficulties in capturing lost customers by quoting Jill Griffin (2001) that only 4% dissatisfied customers actually complain, while 96% simply go away and 91% are lost forever. Therefore, if CRM can be used to drive customer loyalty, it will benefit the business. Kotler (1998) defines loyalty status to segment consumer loyalty patterns. Hardcore Loyals, Split Loyals, Shifting Loyals and Switchers. Hardcore loyals have undivided loyalty to any one brand. Split loyals who are loyal to two or three brands. Shifting loyals shift from favoring one brand to another. Switchers show no loyalty to any brand. Similarly, according to Kotler(1998),it is not necessarily the companys largest customer who are yielding the most profit. The largest customer demands considerable service and receive the deepest discounts, thus reducing the company profit levels. The smallest customer pays full price and receive minimal service but the cost of transacting reduce their profitability. The mid size customers receive good service, pay
nearly full price and are often the most profitable. This fact helps explain why many large firms that formerly targeted only large customers, are now invading the middle market. V. Kumar and Reinartz (2006) state that in order to create customer loyalty, many firms have focused their attention on increasing customer satisfaction level. The degree of satisfaction is indeed a key measure. However, to what extent customer satisfaction leads to loyalty and profitability is an important issue to be examined There is a difference between behavioural and attitudinal loyalty of customers. According to V.Kumar and Reinartz,(2006), behavioural loyalty refers to the observed action, customers have demonstrated towards a particular product or service. Attitudinal loyalty by contrast, refers to beliefs, perceptions and attitudes a customer has towards a particular product or service. Ideally, a strong correlation between a customers attitude and behaviour can be expected. However, there are instances when customer behaviour can be quite different from their attitudinal perceptions about the product or service. When attitudinal loyalty is weak, they may state to rebuy but may not. Attitudinal loyalty is extremely important, as customers who are not attitudinally loyal are likely to cease the relationship at the earliest available opportunity. According to V.Kumar and Reinartz (2006), traditionally customer satisfaction is expected to lead to greater retention or loyalty, which in turn leads to greater profit. Although customer satisfaction and loyalty are key mediators of profits, these measures cannot be taken as simply predictors of profit. Despite the almost self evident nature of these positive links, the empirical evidence of different studies shows only mixed support. For example, a firm may have improved its performance on a key attribute, only to discover that the overall satisfaction score did not noticeably increase. At other times, increase in overall satisfaction score has failed to show a demonstrable impact on customer retention. Improving customer satisfaction comes at a cost. Marginal gains in satisfaction may decrease beyond a point, where marginal expenses to achieve satisfaction starts increasing. Beyond the optimum satisfaction level, increasing satisfaction and spending for it does not pay. Moreover, increasing customer satisfaction
Management of Customer Loyalty: A Study of Telecommunication Industry
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leads to an adaptation of expectation levels. Consumers get used to better service without rewarding the firm with additional purchases. To find an optimum satisfaction level, the firms need to conduct longitudinal satisfaction studies to investigate linkages between satisfaction loyalty profits. V.Kumar and Reinartz(2006)) define key acquisition and retention stratiegies. The key retention strategies are segment your customer by lifetime value, retain your best customers, develop one-to-one marketing,develop tailormade products, cross-sell and up-sell. A large number of studies have been made linking customer loyalty with customer satisfaction. The final link in all these models is the effect of loyalty on profitability. Again the fundamental assumption of these models is that keeping existing customers is less expensive than acquiring new ones. These models suggest how to increase loyalty. Buchanan & Gilles(1990) Value managed relationships model states that the increased profitability associated with customer retention efforts occurs because: The cost of acquisition occurs only at the beginning of a relationship: the longer the relationship, the lower the amortized cost. Account maintenance costs decline as a percentage of total costs (or as a percentage of revenue). Long term customers tend to be less inclined to switch and also tend to be less price sensitive. This can result in stable unit sales volume and increases in dollar-sales volume. Long term customers may initiate free word of mouth promotions and referrals. Long term customers are more likely to purchase ancillary products and high-margin supplemental products. Long term customers tend to be satisfied with their relationship with the company and are less likely to switch to competitors, making market entry or competitors' market share gains difficult. Regular customers tend to be less expensive to service because they are familiar with the processes involved, require less "education," and are consistent in their order placement. Zeithamal et al.(2001) proposed the use of tiers of customer profitability instead of matrices. They suggested a four tier division and termed
these tiers platinum, gold, iron and lead. It will be more profitable for loyalty programmes to choose the right customers. B. Mobile Telecom Industry The Mobile telecommunications system in India is the second largest in the world and it was thrown open to private players in the 1990s. The country is divided into multiple zones, called circles (roughly along state boundaries). Government and several private players run local and long distance telephone services. Competition has caused prices to drop and calls across India are one of the cheapest in the world. Major mobile network operators in India are: (ranking as per their wireless subscribers base as in December,2009) Bharti Airtel Reliance Communication Vodafone Essar BSNL Idea Cellular Tata Teleservices Aircel MTNL This study shall be focussing on mobile services being provided by major service providers or phone signal carriers such as Bharti Airtel and Idea Cellular to analyse customer loyalty in their business. These companies are basically hybrid companies selling to both corporate and personal consumers.Bharti Airtel is one of Asias leading integrated telecom service providers with operations in India, Sri Lanka, and Bangladesh. Bharti Airtel since its inception has been at the forefront of technology and has pioneered several innovations in the telecom sector. The company is structured into four strategic business units Mobile, Telemedia, Enterprise and Digital TV. The mobile business offers services in India,Sri Lanka and BanglaDesh. The Telemedia business provides broadband, IPTV and telephone services in 95 Indian cities. The Digital TV business provides Direct-toHome TV services across India. The Enterprise business provides end-to-end telecom solutions to corporate customers and national,international long distance services to telcos. C. Portal Idea cellular Ltd, incorporated in 1995. is one of the leading GSM mobile services operators. It has licence to operate in all 22 service areas, though currently operating in 13 service areas. IDEA enjoys market leadership position in many of its operational areas. It offers GPRS on all its operating networks for all categories of subscribers. As a pioneer in technology development, it has been in the forefront through the
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adoption of bio fuels to power its base stations, and by employing satellite connectivity to reach inaccessible rural areas in Madhya Pradesh. IDEA has been a leader in the introduction of value-added services. There are several first to its credit, including a voice portal, Idea TV,etc. Tariff plans are customer friendly, catering to the unique needs of different customer segments. D. The Hindustan Times - MARS Survey In January,2011, TRAI enrolled a technology, called MOBILE NUMBER PORTABILITY, under which one can change his/her mobile service provider without needing to change the mobile number, not like the old times when the number had to go with the service provider. HT-MARS conducted an opinion poll across eight major cities( Delhi, Mumbai, Ahmedabad, Channai,Bangalore, Hyderabad etc.)covering both men and women older than 18 years, between 15.12.010 to10.01.2011. The purpose was to find the impact of this technology on consumer loyalty across brands. The survey used fully structured questionnaires. This survey concluded: 17.6% will switch to a rival service provider. With a mobile subscriber base of 700 million, 120 million want to switch. Women make more loyal subscribers. Older customers more demanding than the housewives. Post paid customers are more dissatisfied than the pre-paid customers. Reasons for changing, dissatisfied-49.1%, and For the heck of it 50.9%. BSNL, Reliance and TATA Indicom will lose the most, and Airtel and Vodafone will gain the most. This Survey Concluded that Mobile Number Portability Will Lead to a Huge Churn in the Mobile Telecom Market. For the Heck of it Speaks of weak Customer Loyalty or More than 50% are Brand Switchers Thus there is a strong need to understand the customer loyalty patterns in the Indian telecommunication industry to find the reasons for weak loyalty and how strong loyalty can be reinforced. III. CONCLUSION This study seeks to examine the customer loyalty linkages in mobile services provided by Indian Telecom Industry. There is a feeling that despite the enormous attention that has been paid to customer retention in academic and management areas, much is lacking in practice. Many companies that claim to consider customer retention as an important business objective, do not define it well or measure it. Database analysis are limited, profitability of loyal customers and life time values rarely calculated nor are behavioural warnings and signs of disaffection given due weightage.
REFERENCES
[1] Buchanan, R. and Gilles, C. (1990) "Value managed relationship: The key to customer retention and profitability", European Management Journal, vol 8, no 4, 1990. Carrol, P. and Reichheld, F. (1992) "The fallacy of customer retention", Journal of Retail Banking, vol 13, no 4, 1992. Dawkins, P. and Reichheld, F. (1990) "Customer retention as a competitive weapon", Directors and Boards, vol 14, no 4, 1990. Deneckere, Raymond, Kovenock Dan, Lee Robert A model of Price leadership based on Consumer Loyalty The Journal of Industrial Economics, Vol 40, No.2 ( Jun., 1992 ) pp 147-156. Foss, Bryan.and Merline Stone ( 2002 ), CRM in financial Services Kogan Page Limited ( U K ), (2002) pp.244-316 Kotler Philip ( 1998 ) Marketing Management 9th Edition, Prentice Hall of India ( New Delhi ) pp 40-53, 262-263, 431. Kumar,V.and Werner J. Reinartz (2006), Customer Relationship Mnangement A data based approach, Leyh Publishing Service (USA) PP,105-219. Makgosa R. (2009), Role of marketing mix in creating customer value: A study of Business-to business Relationship in Botswana, Nice Journal of Business ( Shobhit University, Meerut ), Vol. 4, No.2, ( July- December ) pp. 15-26. Mukerjee Kaushik.,Customer Relationship Mnagement- A strategic approach to marketing, Prentice Hall of India (New Delhi), pp 17-37, 139. Peppers Don and Martha Rogers (2001), One-to-one, B2BCustomer Development Strategies for the Business-to business World Currency Double Day (NY), pp 7-65. Purohit H.C. (2009), Influence of product attributes on consumer satisfaction and repurchase intention A study of scooter industry Nice Journal of Business ( Shobhit University ), vol.4, No.2, ( July December ) pp. 77-78. Reichheld, F. (1996) The Loyalty Effect, Harvard Business School Press, Boston, 1996. Reichheld, F. and Sasser, W. (1990)"Zero defects: quality comes to services", Harvard Business Review, Sept-Oct, 1990, pp 105111. Schlesinger, L. and Heskett, J (1991) Breaking the cycle of failure in service Sloan Management Review, spring, 1991, pp. 17-28 Sherden William, When customers leave, Small Business Reports, November 1994, page 45 Storbacka, K. Strandvik, T. and Gronroos, C. (1994) "Managing customer relationships for profit", International Journal of Service Industry Management, vol 5, no 5, 1994, pp 21-28. Terril, Craig. and Arthur Middlebrooks (2001) Marketing Leadership Strategies for Serrvice Companies, NTC Business Books ( Chicago), pp 69-135. Uncles,Mark D., Graham R. Dowling, and Kathy Hammond, (2003) Journal of Consumer Marketing, vol 20, No 4, 2003, pp-294-316. Wang Ting ( 2010 ) Understanding customer needs through quantitative analysis of Kanos model International Journal of Quality and Reliability Management, Vol. 27, Number 2, pp 173-184. www.google.com Zeithaml, V.R. Rust and K. Lemon, The Customer Pyramid: Creating and Serving Profitable Customers, California Management Review, 43 (4): 2001, pp 118-142. Zikmund, G. William, Raymond Jr. Mcleord abd W. Faye Gilbert (2003), Customer Relationship ManagementIntegrating Marketing Strategy and IT/ Leyh Publishing LLC ( 2003) pp, 70-75.
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The Aggressive and the Powerful Fourth P (Promotion) of Bollywood Marketing

1
Maninder Kaur, 2Rajbir Kaur and 3Jatinder Gaba

1 2
Lecturer, Baba Farid Group of Institutions Lecturer, Baba Farid Group of Institutions 3 Lecturer, Baba Farid Group of Institutions
AbstractLights! Camera! Action! and now Promotion has become the catalyst boosting the success of Bollywood films. A movie sells well if it is promoted well, has become the motto of Bollywood. The industry has joined the race of brand promotion by adopting innovative marketing strategies. In my paper, I have tried to show how Bollywood is making an aggressive use of the fourth P of marketing that is PROMOTION. The promotion methodology has evolved from pasting posters on the wall to the usage of all media tools to publicise the movie in the most creative and sometimes in a bizarre way. In the last decade, we have witnessed the most powerful publicity campaigns that have surely succeeded in hitting where they matter the most the publics head. Keywords: Marketing Strategy, Four Ps of Marketing, Creativity and Innovation, Promotional Campaigns
I. INTRODUCTION To make a hit film these days, generally requires huge amount of capital, innovative ideas, unique storyline and the most important Creative Marketing Strategies. Big sum of money is being floated by the film makers on promoting their movies before and after release. They hardly cannot afford to leave any chance of promoting their films through all possible means whether it is print media, television, reality shows, news channels, internet, marketing campaigns by the movie actors or controversies which when intelligently handled can drive huge crowds in cinema halls.
Promotion has always been the life blood of Bollywood but these days it has become more aggressive than ever. Compare it to the early decades, the amount of expenditure incurred on advertising and promotion is huge. Every year around 250 films are made by Bollywood out of which only few manage to set the box office on fire. Today it has become all about promotion and earning profits. It is the era of smart marketing. Creative and Innovative tactics in promotion have become the need of the hour. It has become urgently important to cater to the insatiable demands of the public who have started comparing Bollywood with Hollywood. Good movie reviews are the only means to control the word of mouth publicity of movies. A bad movie review can even force the movie to go off the box office in the second week of its release thereby causing a huge revenue loss to its makers. II. OBJECTIVES To briefly study the four Ps of Bollywood marketing. To know the various kinds of promotional strategies adopted by Bollywood in the past and present. To know the determinants of a successful marketing campaign of a film.
A. 4Ps of Bollywood Marketing
Product The quality of the product is what people are looking for these days. Movies with high quality digital graphics, a unique and different storyline with
excellent script and powerful dialogues are what the movie lovers are demanding. Casting of high profile actors has an important hand in the success of the
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movie. Producers are adding hit music numbers to attract the audience. Any good directed movie even with a thin storyline can turn into a successful venture. A high budgeted movie can meet all the requirements needed to create a good stuff. Price Gone are the days when all movies were similarly priced. Now, the producers are adopting different pricing strategies for different movies. Blockbusters and high budgeted movies are priced more than normal. Tickets are highly priced during the opening weeks and during weekends and thereafter prices are reduced to attract the audience during the closing week. To attract women and children, low pricing schemes are offered such as discount on a specific day in a week, free tickets for women on Womens Day, etc. Place Placement of movies when done intelligently and logically can lead to the path of success. Deciding the targeted location for releasing the movies should be done where the movie is expected to gross higher returns. For example, Yamla Pagla Deewana was a movie featuring Punjabi actors and therefore, the movie was released widely in Punjab. Selection of the distribution channels should be done wisely. Overseas audience is highly targeted these days
Parameters Posters Pre Independence Pasting of posters and banners on walls, Billboards and distribution of film pamphlets was the most widely used promotion strategy in those days. During the early 1900s, the posters were even hand painted and mostly printed in Black & White. Publicity of the movies was done through loud speakers. Promotion through traditional drum beaters (Munadi Walas) became very popular. 1950s and 1960s Promotion through Pasting of Posters. Posters were printed in huge numbers and pasted all over the cities and towns even in the villages. Trade papers were circulated. Publicity of the movies was done through loud speakers. Munadis became very popular. Advertisements of films started coming in newspapers.
and the movies are dubbed in regional as well as foreign languages. The date of release should be fixed after keeping informed about the releasing dates of the movies that can give tough competition. Timings of the movie release should be kept in mind. For example, movies targeting kids should not be released during examination days. The movies after release are distributed through CDs and DVDs. Promotion The most powerful tool these days is Promotion. Producers are draining money on the promotional campaigns. The reel heroes are coming in real to promote their movies in the most innovative ways. The movie units are visiting the college and university campuses to target the youth. Print media, Television and Internet are most effectively used for the promotion of movies. Highly creative teams are employed to design the movie promos. Stars are featuring on the small screen and making guest appearance on the popular television soaps to advertise their movies. A popular example is the appearance of Salman Khan in CID, one of the most watched serials shown on Sony. The actor promoted his movie title, Wanted and even spread the message of fighting movie piracy.
CHANGING TRENDS OF PROMOTIONAL STRATEGIES OF BOLLYWOOD MOVIES
1970s and 1980s Promotion through Pasting of Posters. Posters were printed in huge numbers and pasted all over the cities and towns even in the villages.
1990s Promotion through Pasting of Posters. Posters were printed in huge numbers and pasted all over the cities and towns even in the villages. Publicity through loud speakers and Munadis became less popular. Focus was on print media and television.
2000 till present Posters are still pasted in huge numbers. Big size posters are also pasted in public locations such as Bus Stands, etc.
Publicity through loud speakers
Movie Trailers
Movie Slides were shown in the cinema halls before the start of the film and during intermission.
Publicity of the movies was done through loud speakers. Munadis was still very popular source of film promotion. Print media provided information about the film release and film schedules in cinema halls. Advertisement of films was hugely done in newspapers. Movie Trailers Movie Trailers were were shown only shown in the in the cinema halls Cinema Halls and as television was were also shown on yet to be invented. Television. Cable began unofficially in India in 1984.
Publicity through loud speakers lost importance. Campaigning through film actors is gaining huge momentum.
Movie Trailers shown in Cinema Halls. Marketing of movies through promos increased at a fast rate. With the coming of satellite television, promos were aggressively shown on all entertainment channels.
Movie Trailers shown in Cinema Halls. Huge expenditure is incurred on developing attractive film promos. Creative teams are sepcially hired for this purpose.
The Aggressive and the Powerful Fourth P (Promotion) of Bollywood Marketing
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Songs
Large number of songs and dances were added in the movies to attract the movie lovers. It was quite common for a Bombay feature film to have up to 40 songs
Songs and Dances were still popular. There was a trend of Qawalis.
Number of songs in a movie reduced to average 7 to 9. Songs and Dances were hugely popular. Western beats and Cabaret Dances were widely used in the movies.
Media
Print media was used for advertising the films.
Print media gained Films were popularity advertised in print media as well as in televisions.
Songs were considered as an important factor to drive the people to cinema halls. All popular music styles were included. Item songs were included in many movies. Internet was used for advertising the films along with print media and electronic media.
Trend of using item songs is spicing up. Remake trend of old songs is gripping Bollywood.
Online advertising of films has become hugely popular. TV reality shows have become popular for promoting films. SMS are sent on mobile phones providing important information about movie release, movie schedules in cinema halls and movie reviews.
III. MOVIES THAT ADOPTED UNIQUE AND

INNOVATIVE PROMOTIONAL STRATEGIES A. Delhi 6 A unique and innovative promotional strategy was adopted for the promotion of movie Delhi 6 by film actor Abhishek Bachchan. He made public presence in seven different cities for the promotion of his movie thus creating a world record for the maximum number of cities visited by a film star in 12 hours becoming the first Indian film star to make it to the Guinness Book of World Records. The breaking of record previously set up by the Hollywood actor Will Smith and setting up of a new world record created a lot of buzz. The movie did well at the box office and Abhishek received a lot of fan appreciation. B. Ghajini The film was made on a budget of Rs. 500 million with Rs. 140 million set aside for promotional activities. A lot of creative marketing strategies were used in the promotion of Ghajini. Internet was extensively used for the promotion of the film. 3d PC Games and mobile games were launched. Other forms of promotion were Viral SMS Campaign The mobile user plays the role of Sanjay Singhania (character played by Aamir Khan) and tries to find Ghajini through the clues provided. After the user finds a clue, he/ she is given a hint about where one might find the next one. After one finds all the clues, the user needs to dial a phone number on which one can hear Aamir Khan talking to them. Ambush Marketing Almost 1500 ushers at the multiplexers, the men at ticker counters and the food courts shaved off their heads and sported the Ghajini look.
Television Appearances Aamir appeared on several television channels for movie promotion. Merchandising Van Heusen launched Ghajinis apparel in all stores and even organized a fashion show wherein the models along with Aamir Khan sported the Ghajini look. Aamir The Barber The actor Aamir Khan gave free haircuts to the people for publicity. IV. DETERMINANTS OF A SUCCESSFUL PROMOTIONAL CAMPAIGN OF BOLLYWOOD MOVIES
First Look The first look of the film has become a matter of paramount importance. The first look of the film speaks about the movie. It decides whether the movie is a must watch or not to be watched. The first promo of the movie, the first movie photograph where and when it has to be shown makes a huge difference. Kaminey had different promos made for every actor portraying their characters. Press conferences are called these days for portraying the first look of the movie to the media.
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Outlandish Promotion Promoting a film has involved all tactics that are needed to raise the bar. Film makers are advertising their films in a bizarre manner. For example, during the promotion of Peepli live, the director and the cast of the film were initially kept out of promotional rounds and the promotion was extensively done by Aamir Khan as most of the actors of the movie were unknown faces. Aamir had the misspelt names Gajni and Amir printed on the biscuits and chips to promote the movie in a unique style of his own. Focus on Songs Since ages, songs have been used as a powerful promotional tool to attract the public. These days, item songs are added in the movies to enhance the films packaging. This commercial tool has become one of the most viable strategies of promoting a film. Recent example of item song that have revived the trend of chart busters in Hindi films is Munni badnaam hui from the blockbuster hit Dabang. Personalization Adopting the same template for every movie does not work much these days. When we talk about customization, Bollywood is not behind, film makers are treating every movie as a spate entity and hence separate promotional tactics are used for each movie. During the running of the movie Paa, there was an Amitabh Bachchan poster displayed in theaters reading, Do not dirty the theatres or I will tell Paa to Switch of your mobiles or I will tell Paa. The marketing team of Aladdin teamed up with Baskin Robbins to launch three delectable flavours on the characters of the movie: Ringmasters Whip, Princess Delite and Choco Aladdin. Calculated Controversy The movie Kambakht Ishq proved that senseless comedy when garnished with controversies can serve as a tempting recipe for the public. A calculated controversy when wisely handled can make a hit out of a weak storyline but if handled without care, it can kill a film. Innovation In order to keep their cash box ringing, film makers are using innovative tactics for their movie promotion. To quote a recent example, the movie Dabangg made its punch felt by adopting a new market strategy and set a box office record, grossing Rs. 80.87 Crore in the first week of its release. The film was released in 1584 non multiplex single screen theaters targeting the common man. This strategy of low priced tickets even worked against the piracy. Even
adding item song Munni Badnam was a strategy to gain attention of people of the states of UP, Bihar as the story of the movie was related to these states. The underwater marketing strategy of Blue was excellent both in terms of creating visibility and wide spread awareness about the movie. V. CONCLUSION A planned and well crafted promotional campaign can set new records. Keeping in mind, the increased competition in Bollywood, marketing cannot be neglected at any cost. In the early decades, producers used to spend no more than 5% of the total budget on promotional activities but now, marketing and promoting a film requires astronomical amount of money to be spent on it. In the present time, it has become difficult to leave a strong impact at the box office without an aggressive market campaign. A poorly promoted movie can vanish from the buzz without leaving a trace. A well crafted promotional campaign can always bring good results for the Indian film industry which is undoubtedly the largest producer of films in the world. VI. DECLARATION This is to certify that the manuscript (abstract) hereby sent for approval has not been published or offered for publication elsewhere and that Baba Farid Group of Institutions has the right of first refusal to publish them. The manuscript has neither been published anywhere nor is at present being considered anywhere for publication REFERENCES
[1] [2] [3] [4] [5] [6] [7] Jain, Priyanka. "Bollywood's bizarre promotional tactics" Hindustan Times, September 28, 2010. Verma, Sanchit "Setting a Record" 4Ps Business & Marketing. December, 1999:17 30, p 81 Interview of Mr. Rafiq Ganjee Sr. Vice President (Marketing & Communication) Yash Raj Films on ETC Patel, Alisha. " The Art of Bollywood: Ode to a pre-digital era in Indian film poster art" [Online] Available http://www.cnngo.com/mumbai/shop/art-bollywood-935466, 25 May, 2010. http://www.docstoc.com/docs/27080436/Movie-promotionstrategy http://amitblogs.com/2011/01/13/the-5-ps-of-bollywoodmarketing/2/
Green MarketingOpportunities & Challenges

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Deepinder Singh, 2Dr. Manish Bansal and 3Namandeep Kaur

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Lect. MBA Dept., GTBKIET, Chhapian Wali 2 Director-Principal, BFCMT, Deon 3 Lect. App. Sci., GTBKIET, Chhapian Wali the natural environment. To be more accurate products making green claims should state they are less environmentally harmful rather than environmental friendly. Thus green marketing should look at minimizing environmental harm, not necessarily eliminating it. So we can see that green marketing encompass a broad range of activities including product modification, change to production process, packaging change as well as modifying advertising. MANAGERIAL IMPLICATIONS Green marketing includes greening products as well as greening firms. Managers need to categorize what ought to be greened: systems, processes or products? Consumer indifference to green products is due to many factors, including inadequate information about levels of greenness, lack of credibility of firms claims and the tendency to free ride. It also looks like that green products that offer direct excludable benefits to consumers (such as pharmaceuticals with minimum side effect and nutritious and natural foods) would have higher acceptability. To tackle these market-related problems, perhaps initiatives in the nonmarket environment may bear fruit. To curb free riding and to reassure consumers that their actions will have macro impact, some green marketers favor policies/regulations that lead to collective sacrifices. This leads to another set of challenges, because environmental issues are often highly contested in terms of their etiologies and solutions. Many such disputes are attributable to ideological and economic factors. Economic considerations are even more complex. There is a rich literature in public policy on how the distribution of benefits and costs impacts policy processes and what types of political strategy are appropriate in different contexts.The tasks of green marketers who favor collective sacrifices as vehicles for achieving their objectives are complicated by the politics of the nonmarket environment (Kollman and Prakash, 2001). Information provision about greenness is a key component of green marketing. Clearly, firms should not advertise products environmental benefits unless such claims can be credibly substantiated. Negative press reports on false or exaggerated claims often lead to decreased sales (Polonsky, 1995). Governmental policies and stakeholder initiatives can be important in reducing consumers search, information or transaction costs.
AbstractAlthough an environmental issue has inclined all actions but very few academic disciplines have inculcated green issues into their literature. Even till dated it has not been apt a must be taught subject in all most all management and related higher education level but one business area where environment issues have received a great deal of importance is marketing. Now a days modern business houses have accepted green marketing as a part of their strategy. Green marketing subsumes greening products as well as greening firms. In addition to manipulating the 4Ps (product, price, place and promotion) of the traditional marketing mix, it requires a watchful understanding of public policy processes. This paper will attempt to introduce the terms and concept of green-marketing; about the importance of green marketing; examine some reasons that make the organizations interested to adopt green marketing philosophy; it also highlights some problems that organization may face to implement green marketing.
WHAT IS GREEN MARKETING? Green marketing is part and parcel of over all corporate strategy; along with manipulating the traditional marketing mix (product, price, promotion and place), it require an understanding of public policy process. So we can say green marketing covers a broad range of activities. According to Polonsky(1994)- green or environmental marketing consists of all activities, designed to generate and facilitate any exchange indented to satisfy human needs and wants, such that the satisfaction of these needs and wants occur with minimum detrimental impact on the natural environment. Mintu and Lozada(1993) defined green marketing as the application of marketing tools to facilitate exchanges that satisfy organizational and individual goals in such a way that the preservation, protection and conservation of the physical environment is upheld. According to Stanton and Futrell(1987)-all activities designed to generate and facilitate any exchanges intended to satisfy human needs and wants; therefore it ensures that the interest of the organization and all it consumers are protected, as voluntary exchange will not take place unless the buyers and sellers are mutually benefited. The definition also contains the protection of natural environment by attempting to minimize the detrimental impact; this exchange has on the environment. This second point is very important for human consumption by its very nature is destructive to
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Finally, if managers believe that consumers view greenness as a motivating variable, they should invest in conveying information through advertising, direct mailing, brand labels, in-store displays and pamphlets. Our understanding of green marketing is still in its infancy, perhaps due to the multidisciplinary nature of the enterprise. Marketing scholars focus on a host of business strategy and public policy issues, including eco-labels and market segmentation, and the role of structural factors and economic incentives in influencing consumer behavior. For environmental economists, green marketing signifies a broader trend in the evolution of environmental policies that focus on information disclosure. A. Importance of Green Marketing Since early 1990s, a major concern on ecological impact of industrial house on environment has been faced on marketplace. Not only the relation between human, organization and natural environment being redefined,but the implication thereof are being interpreted; because of these, new perceptions are being formed or re-evaluated on issues like environmental friendly products, recycle ability, waste-reduction, the cost associated with pollution and the price value relationship of environmentalism. Pressure from various stakeholders, Govt., environmentalists, NGOs, consumers is placed on businesses, which in turn keeps them under constant watch in their daily operations. A direct result can be seen in developed and developing countries where Govt. became more strict in imposing regulations to protect environment; at the same time, the consumers of these countries are being more and more outspoken regarding their needs for environmentally friendly products. So in this era green marketing imparts a proactive strategy for these companies to cater the market by imparting nature friendly products/ services which otherwise reduce or minimize any detrimental impact on environment. To remain competitive within the challenge thrown by the environment protectionists, the companies will have to find answer through their marketing strategies, product& service redesign, customer handling etc. in this venture the companies may go for new technologies for handling waste, sewage and air pollution; it can go for product standardization to ensure environmentally safe products; by providing truly natural products. In this regard the companies should be concerned with what happens to a product during and after its useful life. Companies may manifest this concern through experimentation with ways to reassess and redesign the product life stages. Life cycle reassessment focuses on environmental consideration in product development and design, including energy and material inputs and out-puts in production, consumption and disposal of products. We would than be able to manage the life
stages of a product in an environmental friendly and eco- efficient manner. Eco-efficient refers to the proper thinking for the use or consumption of natural resource so that nature is afforded an opportunity to renew itself. B. The Life Stage of Product Would Include the Following Stage- I Development stage: traditionally characterized as the acquisition of raw materials, component parts, and subassemblies. The alternative approach advocated here encourage manufacturer to check the environmental programs of suppliers, to require minimal packaging of inputs, and to consider sources of materials that could be easily replenished or are recyclable. Stage-II Production stage: manufacturing companies are encourage to reduce emission, toxicity and waste, and to conserve water and energy. They are also encourage to seek and develop alternative uses for waste products, to revise the manufacturing process, to minimize waste generation, to minimize energy use or to attempt to find alternative sources of energy. Stage-III Consumption stage: minimization of packaging, conservation of energy and minimization of waste from product maintenance and service are strongly urged. Stage-IV The final stage of a product is its disposal, green marketing introduce the concepts of reuse and recyclability, in addition to the concept of waste reduction. C. Why Are Firms using Green Marketing? Firms may choose to green their systems, policies and products due to economic and noneconomic pressures from their consumers, business partners, regulators, citizen groups and other stakeholders(non market environment).some other reasons may includes: Some scholar claim that green policies/products are profitable Now days firms are becoming more concerned about their social responsibilities (S.R). Change in customers attitude: Governmental pressure: Competitive pressure: Cost or profit issue: SOME PROBLEMS WITH GOING GREEN No matter how noble the objective is; the firms working in the direction of green marketing, have to have encounter a number of problems. 1. First of all the firms must ensure that their move in this direction will not create any confusion in the mind of consumers or industry and do not break any of the regulations or laws dealing with environmentalmarketing. Companies green marketing claims must-
Green MarketingOpportunities & Challenges
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clearly state environmental benefits; explain environmental characteristics; explain how benefits are achieved; ensure comparative differences are justified; ensure negative factors are taken into consideration; only use meaningful terms and pictures. Another problem the firm may face is that, those who modify their products due to increase customers concern must aware about the fact that customers perceptions are some time not correct. Take the example when paper pack and jute bag were replaced by the synthetic pack for the sake of saving the trees the result became more environmental fatal. When firms attempt to become socially responsible, they may face the risk that the environmentally responsible action of today will be found to be harmful in near future. For example some companies manufacturing refrigerators, air-conditioning machine have replaced environmentally harmful CFCs (chlorofluorocarbon) with HFCs (hydro fluorocarbon) which in later revealed is also a green-house gas. So we can see that with the limited scientific knowledge at any point in time, it may be impossible for a firm to be curtained they have made the correct environmental decision. Reacting to competitive pressure can cause all followers to make the same mistake as the leader. Example is Mobil, world renounced engine-oil manufacturing company, claims for it biodegradable plastic garbage bags. But the condition under which it become biodegradable is not allowed by natural processes. For this Mobil was sued by several US states for using misleading advertising claims. Thus blindly following the competitors can have costly ramifications. Though Govt. has formulated several laws and regulations to give consumers the opportunity to make better decisions or motivate them to be more environmentally responsible, there is always a difficulty in establishing policy that would cover all environmental issues. The Menace of Green washing: According to oxford dictionary green washing is defined as disinformation disseminated by an organization so as to present an environmentally responsible public image. The green washing index was announced at the 2007 UN Climate change conference held at Bali, Indonesia with an objective to eradicate bad environmental marketing claims and at the same time shine a positive light on companies making measurable reduction in carbon
emissions related to climate change. Experts urged the consumers and the industries to be ever vigilant in preventing green washing. They believed that one of the major factors that led to green washing was the absence of a central agency to certify the green credentials of a firm. Lack of proper knowledge of consumers about environmental issues, some time causes problem for companies to represent their products in market place as high percentage of customers still feel that environmental products do not work as well as conventional one; some time though the consumers are well aware about a particular issue, they are not willing to pay a premium price for a green product. It appears that consumers are not overly committed to improve their environment and may be looking to lay too much responsibility on industries and govt. CONCLUSION
Green marketing is still in its infancy and a lot of research is to be done on green marketing to fully explore its potential. In the face of these difficulties, it is perhaps unsurprising that much of what has happened under the banner of green marketing has had relatively little to do with either marketing or the environment. Green marketing should not neglect the economic aspect of marketing. Marketers need to understand the implications of green marketing. If customers are not concerned about environmental issues or will not pay a premium for products that are more eco-responsible, think again. There must be an opportunity to enhance product's performance and strengthen customer's loyalty and command a higher price. Thus green marketing should look at minimizing environmental harm, not necessarily eliminating it. REFERENCES
[1] [2] Chopra, S. Lakshmi (2007), "Turning Over a New Leaf", Indian Management, Vol-64, April-2007 Crane, A. (2000), Facing the backlash: green marketing and strategic re-orientation in the 1990s, Journal of Strategic Marketing, Vol. 8 No. 3, pp. 277-96. Mintu,A.T.& Lozada,H.R.(1993).Green Marketing Education: A Call for action.Marketing Education Review,4,17-23 Ottman, J.A. (1993), Green Marketing: Challenges & Opportunities, NTC Business Books, Chicago, IL. Polonsky M (1994) An Introduction to Green Marketing. The Internet. Smith, Toby. The Myth of Green Marketing: Tending Our Goats at the Edge of Apocalypse. Toronto: University of Toronto Press, 1998. Stanton & Charles Futrell.1987.Fundamentals of Marketing, 8th edition. New York: McGraw- Hill Book Company www.greenmarketing.net/stratergic.html
[3] [4] [5] [6]
[7] [8]
Operational Planning Role in Organizations Based on Strategy (Case Study: Saipa Co.)
M. Mahmoudi-Me ymand and M. Zare
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Department of Management, Payam-Noor University, Tehran branch, Tehran, Iran 2 Department of Logestic, Saipa Automotive Group, Tehran, Iran E-mail: 1drmahmoudim@yahoo.com, 2banadkoki@yahoo.com preparation for hardware and software in late 2008 this system has been implemented. In this study, we try to study the impact of the system performance in achieving production plan as well as cost reduction which both are the strategic objectives of Saipa Co. Though , operational planning with different methods and functions according to the various nature of activities in many manufacturing and service companies including Saipa, Iran Khodro, Fars medical university, Tehran municipality, port of Amsterdam has been implemented , but any research on the effectiveness of implementing operational planning on the organizations strategic goals has not been done so far. Product operational plan consists of determining how to produce the type, number of production, beginning of production and production sequences in the context defined as a weekly program in such a manner that deviation from the minimum weekly program is minimized. The purpose of this study is to measure the effectiveness of performed operational planning models on some strategic goals of Saipa including production and cost reduction II. LITERATURE STUDY A. Strategy Organizations for their survival and more affectivity should be sensitive to environmental changes and they should have an appropriate reaction. There are many factors which constantly necessitate the changes in organizations. Therefore, the organizations should recognize the environment and feel the changes occurred and should run the essential practices in organization efficiency according to the developments. (Aysw saka, 2003) Those organizations will be successful that in doing business with new technology have all the abilities and win more market share, better prices and newer design in run fast (D Noblius, 2004) Ellie Sjef has expressed that the strategy is the clarification of objectives and activities within an organization. David Hunger and Thomas L Villain have described the strategy as a comprehensive plan of
AbstractMission-driven organizations plan and implement the projects in order to achieve strategic objectives. Thus the effectiveness of project implementation in different levels should be reviewed. This research intends to evaluate the effectiveness of implementing operational planning system which is one of the strategic projects in Saipa Co. by evaluating two strategic goals of achieving production plan and cost reduction. In this context regarding the aim of achieving production plan, the impacts of this system on the total volume and production models and also in cost reduction target, the costs due to stopping route, late delivery penalties and cost of product warehousing will be investigated and the accuracy of assumptions by using organization documentary / real data - descriptive inferential analysis and statistics will be tested. The findings suggest the significant effect of implementing the system on production plan increase and cost reduction achievement, so in mission- based organizations which are acting based on customer needs and flexible mass production system, the implementation of this system will have significant impact on achieving strategic objectives. Keywords: operational planning; strategic objectives; production management; delays
I. INTRODUCTION Today in productive or non productive organization the strategic vision of major goals failure to the lowest layers of the firm has been into the consideration of the senior managers.So after developing strategic goals and outlooks of organizations, the management and how to achieve goals and measure their performances has been a daily challenge of organization managers.Thus, different systems and methods are applied in case of converting the objectives and programs from strategic to operational and tactical levels, or in other words coordinating the operational plans with the strategic plans (Amiri, 2008, page1). Mission-based organizations define several concrete goals in their strategic plan and for achieving any of these strategic objectives they suggest solutions. Operational planning system is categorized in a system which operational organizations for achieving their strategic goals are mostly in need of it. In Saipa Co. regarding the complex and logistics manufacturing processes and also the product diversity in recent years, the necessity for product diversity with cost reduction in case of responsibility to customer needs more than ever has been considered and with
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organization which through it achieves its mission and goals (Atefi, 2008, p. 2). If a good strategy is not related to operational processes and proper handling, it can not be implemented and vice versa , although operational developing may lead to cost reduction, quality improving and time process reduction , but a company will not be able to achieve permanent success just with operational improvements and lack of perspective and strategy (Atefi, 2008, p. 2). Tony Hayward, new senior BP (British Petroleum) announced in October 2007: the problem is not related to their strategy, but to its implementation. The survey conducted by BSCOL in 1996, shows that most organizations are in lack of formal system for their strategies implementation (Atefi, 2007, p. 1) For many years, the planning strategy and organizations major goals have been considered as a key to the success of firms.The emphasis on strategy and perspective led to the forming of a wrong notion that "All which is necessary for success is a correct strategy but only 10 percent of formulated strategies acted well successfully in practice. In fact we can say more important issue in the strategic management process, is the implementation and performance of strategy and organizational goals and 70 percent of senior managers failure in the U.S. was not because of their weakness in formulating the strategy but due to their failure in performing their strategies (Bakhtiari, 2004). B. Mission-Based Organization The results from a group consisting of 275 managers show that the ability of implementing the strategy is far more important than its quality, two key principles in implementing the organizations strategies and missions are strategy formulation and implementation. These managers have stated that the most important factor in evaluating the company and the management is strategy implementation. When asking about how these organizations have achieved the successful results, managers frequently mention two words: alignment and focus (Bakhtiari, 2004). Although, both strategic and executive management tools have had tremendous growth, but there is no progress in tools which link these 2 skills together (Atefi, 2007). C. Strategic Goals Strategic goals are described within the company; the goals determine what to do for successful implementation of strategies (Pahlevanyan, 2008). Strategic objectives are a connector between strategy as a major priorities and quantities as a tool for measuring the success rate.
Objectives, organization perspective, mission, values and strategic priorities which are often general and vague are translated as direct expression and activity based of the implement strategies obligations (2003, Niven). D. Planning Although a comprehensive definition of planning can be provided but in brief can be stated that the planning is the determination of effective activities to achieve the targets. In fact, the objectives of plans, is the moving between the ideal situation and available one (Haghpanah, 2007). Acouf describes the nature of plan as a decision making system and believes that when planning is needed which our desired future conditions is involved in a series of dependent decisions such as decision system (V. Shiner, 2007). E. Planning Levels Planning is strategic or tactical/operational one. Strategic plan contains decisions about the organization long-term objectives and strategies. Tactical planning converts strategic objectives and plans into specific goals and programs which are associated with particular area of the organization. Operational planning shall specify the procedures and processes required in particular low levels of the organization (Shabani, 2009). Operational planning consists of determination the product type, number of production, beginning of production and the sequence of production defined in a weekly program context which the deviation of a weekly program will be minimized (Sarlak, 2009).
Fig. 1: Perational Planning Requirements (Sarlak, 2009, Logistics Production lines)
F. Saipa Strategic Goals Saipa Automotive Group as one of the country's biggest automotive industries has defined its strategic plan based on balanced scorecard and has clarified strategic objectives according to the movement toward the mission.Saipa main strategic goals are production plan accomplishment and cost reduction.
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G. Product Operational Planning in Saipa Regarding the strategic objectives achievement Saipa Company has designed and implemented the various projects that one of these projects is designing and implementation of operational planning system, which is defined in achieving production and cost reduction program. This project has been implemented in Saipa new site since late 2008.Since one of Saipa strategic plans is flexible production and rooted in customer need therefore we require the access of presentation and implementation of appropriate operational planning models which can coordinate different elements of relevant production which the customer's need may be fulfilled and as timely product delivery, the customer satisfaction is also achieved. But the important is the influential effect of this program in accessing the strategic goals and organization growth based on defined indicators in Saipa strategy map through BSC. In order to strengthen, support or remove and reform this system it is essential to evaluate its impact on company's strategic objectives. I. Community and Statistical Model
According to research topic as "evaluating the impact of operational planning system in Saipa strategic objectives the statistical community of this study is located in Saipa Co. Since 2 strategic goals of this research, operational planning and cost reduction are considered, therefore product plan rate and production are reviewed in Saipa new site. The production volume of Saipa new site with products of Saipa Pride and Saipa 132 in 11 models is nearly 365,000 vehicles which during 3000 weekly program during 2008-2009 (before and after implementation of the system) have been investigated. Considering population large size, according to the central limit theorem the community has been normal and also all members of the statistical population (total production of Saipa new site) were analyzed. J. The Range of Subject
This study discusses the evaluation of operational planning on Saipa strategic objectives. In other words, we want to know whether if the implementation of operational planning system has significant impact on Saipa strategic objectives or not? So two strategic goals, planning and cost reduction are considered and to examine these two goals, information about the following topics is reviewed. K. Fulfillment the Production Plan Includes the following Models
Fig. 2: General Research Model (Saipa Co. Strategic Planning Site)
H. Research Hypotheses First hypothesis: Implementation of Operational planning system has a significant impact on production plan which is one of Saipa strategic goals. Second hypothesis: Implementation of Operational planning system has a significant impact on reducing costs which is one of Saipa strategic goals III. RESEARCH METHOD Since in current study we intend to review the effect of operational planning system on Saipa strategic goals, our study will be operational type because the practical application of research achievements is considered. In this study a systematic and regular collection of data based on variables from library studies, documentation, instructions and available information in Saipa Co. are collected. So, our research is based on analytical data, descriptive and using library methods.
Normal Pride - Hydraulic Pride -Pride with ABS Brake - Hydraulic Pride with ABS Brake - Hybrid Pride - Hydraulic Hybrid Pride - Normal Saipa 132 Hybrid Saipa 132 - Hydraulic Saipa 132 - Saipa 132 ABS Hydraulic Saipa 132 with ABS Brake. L. Reduce Costs Delays in production lines Penalties resulting from late delivery of vehicles due to lower production than initial program (Negative deviation).Warehousing costs due to higher production than initial program (positive deviation). M. Statistical Methods Used in Data Analysis Initially, in this study by using descriptive statistics and its indicators, and using the frequency tables, numbers, central index, mean, median, standard deviation, minimum and maximum of obtained data will be analyzed. Then by using analyzed with inferential statistics, the hypotheses are tested. T tests and Chi square according to the subject and data in testing the
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hypothesis are used. This analysis is occurred by zero and one test by using index number, mean, standard deviation, error criterion, calculated t, the degree of freedom, significance level, Levine test (homogeneity of variances). IV. RESULTS A. Descriptive Statistics The above table shows the statistical indicators of program variable rate, production and percentage deviation from the plan, distinctively before and after the implementation of operational planning systems. Deviation is defined as the absolute value of production and program difference divided by program multiplied by 100.
The cases which the program was zero in the calculation of deviations are Excluded, therefore the number of cases where deviations have been reported are about 2789 cases and less than the total number of data reported. Average percentage deviation in total is 59.4 SD 400.2. Prior to implementing operational planning system mean deviation is 85.9 SD 551.7. Also after the implementation of operational planning system the average percentage deviation is 30.7 and SD 45.3.
TABLE 1: DESCRIPTIVE STATISTICS INDICATORS BEFORE AND AFTER THE IMPLEMENTATION OF OPERATIONAL PLANNING SYSTEM DISTINCTIVELY
Variable Plan
Production
Deviation (%)
Indicator Practical plan Before After Sum Before After Sum Before After Sum
Number 1742 1848 3590 1742 1848 3590 1452 1337 2789
Mean 105.0 103.4 104.2 101.7 101.3 101.5 85.9 30.7 59.4
Middle 47.0 47.0 47.0 40.0 37.5 38.0 24.0 12.9 18.7
Deviation 173.2 180.5 177.0 167.5 174.6 171.2 551.7 45.3 400.2
Minimum 0 0 0 0 0 0 0 0 0
Maximum 1336 1347 1347 1366 1366 1366 14600.0 604.0 14600.0
TABLE 2: PERCENTAGE DISTRIBUTION OF DIFFERENT MODELS Model Normal Saipa 132 Hybrid Saipa 132 Saipa 132 ABS Hydraulic Saipa 132 Hydraulic Saipa 132 with ABS Brake Normal pride Hybrid pride Pride with ABS brake Hydraulic pride Hybrid & Hydraulic pride Hydraulic pride with ABS brake Sum Model code 0000 0001 0010 0100 0110 1000 1001 1010 1100 1101 1110 Abbreviated name S132-SIM,IM S132 SIM,NoMixer Hybrid S132i SIM, ABS S132 H SIM, IM S132i H SIM, ABS GTXi SIM, IM, MP3 GTXi SIM, IM,NoMixer,MP3 Hybrid GTXi SIM, IM, ABS,MP3 GTXi H SIM, IM, MP3 GTXi H- SIM,NoMixer,MP3 Hybrid GTXi H- SIM, IM, ABS,MP3 Quantity 92543 18574 8659 7354 245 93756 104874 13877 18046 5651 796 364375 % 25.4 5.1 2.4 2.0 0.1 25.7 28.8 3.8 5.0 1.6 0.2 100.0
Fig. 3: Deviation (%) from Plan in Different Models
The above table, number indicates the cases that a certain number of machine was scheduled for production and the average percentages indicates average deviation from the plan ( For example, during certain years 431 times was scheduled for producing normal Saipa 132 that in this 431 times the average deviation from the plan is equal to 65.4 percent). As the above chart shows the deviation from the plan in all models prior to the implementation of operational planning system was more than the deviations after the implementation of the operational planning system. The significant difference before and after implementation system will be determined in the
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inferential statistics. These tables and charts show the distribution of stopping time in different years. These figures show that in year 2009 (after implementation of operational planning system) the
Indicator Year 2007 2008 2009 Sum Case Quantity 640 506 580 1726
whole product stopping time has been decreased significantly compared to previous years.
TABLE 3: STATISTICAL INDICATORS OF PRODUCT STOPPING TIME (PER MINUTE IN DIFFERENT YEARS)
Mean 24.4 32.3 22.3 26.0
Deviation 29.2 46.1 36.2 37.3
Sum 15591 16358 12922 44871
TABLE 4- STATISTICAL INDICATORS OF PRODUCT STOPPING TIME (MINUTE) IN DIFFERENT YEARS DUE TO THE CAUSE OF STOP DISTINCTIVELY
Year
Problem Indicator
Absence of pieces in firm (5)
Dis-qualification (6)
Delay in sending pieces into line edge (4)
Dis-Receiving body form color line (1)
Distortion of Instruments (2)
Problem in production process (3)
Others (0)
2007
2008
2009
Sum
Mean Quantity Deviation Sum Mean Quantity Deviation Sum Mean Quantity Deviation Sum Mean Quantity Deviation Sum
23.20 282 25.53 6542 21.94 143 24.24 3137 24.41 156 39.14 3808 23.21 581 29.49 13487
12.48 92 11.12 1148 12.06 51 15.00 615 8.41 82 7.49 690 10.90 225 11.15 2453
10.13 15 6.978 152 13.48 21 8.32 283 12.60 15 4.35 189 12.24 51 6.97 624
11.24 25 11.34 281 9.65 54 10.12 521 9.28 94 7.72 872 9.68 173 9.06 1674
40.97 132 40.57 5408 54.29 180 63.85 9773 50.20 100 56.90 5020 49.03 412 55.80 20201
19.05 20 18.24 381 30.20 10 34.80 302 21.89 9 26.40 197 22.56 39 24.94 880
22.69 74 29.89 1679 36.74 47 39.26 1727 17.73 120 24.07 2128 22.96 241 30.09 5534
The above table shows the statistical indicators of stopping times based on various causes and in different years. The longest time for the delay resulted from two factors of part absence in company (code 5) and staying in car paint hall (code 1).
Indicator Group Quantity Mean
B. Statistical Inference Hypothesis 1: implementation of the operational planning system on product accomplishment as one of Saipa strategic objectives has a significant impact.
TABLE 5: SD T-TEST FOR COMPARING THE DEVIATION OF PROGRAM BEFORE AND AFTER APPLICATION OF OPERATIONAL PLANNING SYSTEM
Deviation Criterion Mean Calculate Freedom Error diffractio dt level n
Meaning level
Before After
1452 1337
85.92 30.68
551.7 45.3
14.47 1.23
55.24
3.801
1472
.0000
Levins test (Variances coherence) F Meaning level 24.62 .0000
TABLE 6: TESTS RESULTS FOR CONSIDERING THE EFFECT OF PRACTICAL PLANNING ON ACHIEVING PRODUCT PLANNING GOALS; BASED ON DIFFERENT MODELS
Model Normal Saipa 132 Hybrid Saipa 132 Saipa 132 with ABS brake Hydraulic Saipa 132 Hydraulic Saipa 132 with ABS brake
Zero Hypothesis Accept Accept Accept Accept Accept
Research Hypothesis Reject Reject Reject Reject Reject
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Normal pride Hybrid pride Pride with ABS brake Hydraulic pride Hydraulic and Hybrid pride Hydraulic pride with ABS brake
Accept Reject Reject Reject Accept Accept
Reject Accept Accept Accept Reject Reject
As we conclude it as likely as 99 percent, there is significant difference between the mean deviation from the plan before and after implementing operational planning system. Comparing the means in two groups (before and after) shows that the average deviation from the plan before implementing operational planning system is higher than average deviation from the program after implementing operational planning system. Implementation of operational planning system has a
Indicator Year 2007 2008 2009 Sum Watched Wanted stopping stopping time (Min) time (Min) 15591 14957.0 16358 14957.0 12922 14957.0 44871 44871 Difference
significant impact on production accomplishment in different models. T tests and Levine test were taken for 11 manufactured models distinctively, which rejected or accepted test result of the research are described in the following table briefly. Hypothesis 2: Implementation of operational planning system has a significant impact on reducing costs as one of Saipa strategic objectives.
TABLE 7: CHI-SQUARE TEST FOR COMPARING PRODUCT STOPPING TIMES IN YEARS 2007-2009
Calculated Chi-2
Freedom level
Meaning level
634.0 1401.0 -2035.0
435
0.000
TABLE 8: TABLE OF STOPPING TIME ACCORDING TO CAUSES AND YEARS DISTINCTIVELY
Year Problem Dis-Receiving body form color line Time (Min) % Distortion of Instruments Time (Min) % Problem in production process Time (Min) % Delay in sending pieces into line Time (Min) edge % Absence of pieces in firm Time (Min) % Dis-qualification Time (Min) % Others Time (Min) % Sum Time (Min) %
2007 6542 42.0 1148 7.4 152 1.0 281 1.8 5408 34.7 381 2.4 1679 10.8 15591 100.0
2008 3137 19.2 615 3.8 283 1.7 521 3.2 9773 59.7 302 1.8 1727 10.6 16358 100.0
2009 3808 29.5 690 5.3 189 1.5 872 6.8 5020 38.9 197 1.5 2128 16.5 12904 100.0
Comparison of stopping times in different years shows that the total stoppage time during the year of 2009 after the implementation of operational planning system are significantly less than observed stopping times in years of 2008 and 2007. So it can be concluded that the implementation of operational planning system reduces the stop time and consequently will reduce the costs as well. Implementation of operational planning system has a significant impact on stopping time resulted from various causes. Table shows the distribution of stopping times among various causes between 2007-2009 .So we can
conclude that there is significant difference between stopping time due to different causes in different years. The comparison of stopping times about two major causes of part absence in the company and staying in paint room for different years made in previous table shows that after implementation of operational planning system the stoppage time resulted from both causes and a percentage share of these two causes have been decreased in year 2009. Implementation of operational planning has a significant impact on reducing negative diversion from the program.
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National Conference on Strategic Management of Business Development: Issues and Prospects TABLE 9: CHI-SQUARE TEST FOR COMPARING THE NEGATIVE DEVIATION FROM THE PROGRAM IN YEARS 2008 AND 09
Indicator Year 2008 2009 Sum
Absolute watched deviation 22336 21622 43958
Absolute wanted deviation 21979.0 21979.0
Difference
Calculated Chi-2
Freedom level
Meaning level
357.0 -357.0
11.597
.0010
According to calculated Chi square (11.597) which is larger than critical Chi square of Table (6.63) at 0:01 infallible, and 1 degree of freedom (or in other words the level is significantly smaller than 0.01, 0.01 <0.001p =), zero is rejected and hypothesis will be confirmed. So we can conclude that there are significant difference in rate of negative deviation from the program between years of 2008 and 2009. Comparing the negative deviation from the program in years of 2008 and 2009 shows that the rate of negative deviation observed during year of 2009
Indicator Year 2008 2009 Sum Watched deviation 28206 25514 53720 Wanted Deviation 26860.0 26860.0 Difference 1346.0 -1346.0
which is after the implementation of operational planning system is significantly less than the rate of negative deviation observed in year of 2008. So it can be concluded that the implementation of operational planning system reduces the negative deviation from the program and in other words reduce penalties due to the late delivery of vehicles. Implementation of operational planning has significant impact on reducing positive deviation from the program.
TABLE 10: CHI-SQUARE TEST FOR COMPARING THE POSITIVE DEVIATION FROM THE PROGRAM IN YEARS 2008 AND 2009
Calculated Chi-2 134.9
Freedom level 1
Meaning level 0.000
According to calculated Chi square (134.9) which is larger than critical Chi square of Table (6.63) at 0:01 infallible, and 1 degree of freedom (or in other words the level is significantly smaller than 0.01, 0.01 <0.000p =), zero is rejected and hypothesis will be confirmed. Therefore, we can conclude that there is significant difference in the rate of positive deviation from the program between years 2008 and 2009. Comparing the positive deviation from the program in years 2008 and 2009 shows that the rate of positive deviations observed during the year 2009 after the implementation of the operational planning system is significantly less than the rate of positive deviation observed in 2008. So we can conclude that implementation of operational planning system has reduced the positive deviation from the plan and in other words it has reduced the carrying costs. V. CONCLUSION A. Operational Planning Production Plan and Implement of
In other words we can say Saipa Co. before running the operational planning system has the capability of doing its compromises just less than 1/3 of car delivery according to customer desired model at usual time while after implementing the operational planning system over the 2/3 commitments has been done. The inferential statistics confirm this hypothesis as well. Therefore, the implementation of this system is strongly recommended to organizations which have various productions and a desire for production plan. B. Operational Planning and Production Plan in different Models Distinctively: Regarding the impact of production system on different models produced in Saipa Co., despite the descriptive statistics which shows the system has achieved the success performance in production of 11 models, but inferential statistics on some models do not confirm this impact and with the review done, the reasons are as follows: In respect of different models of Saipa 132 and considering that the bumper had the same color of the car body, so the production of each body is only possible due to the bumper availability and considering the lack of supply and delivery by the manufacturer (single source supply) in accordance with the program, and the lack of information about produced an d delivered cargo by the manufacturer, so the system operational planning had no significant effect on these car bodies.
Analyzing the descriptive statistics about the variables of plan, product, and percentage of deviation before and after the implementation of operational planning system reveals the operational planning system has significant impact on reducing the percentage deviation or increasing the implementation of production plan that has been the first hypothesis of the study so that the percentage deviation from the program has decreased from 86% to 30%.
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Therefore it is recommended for implementation of this system effectively; the companies should exit from the single source supply and have relationship with multiple suppliers to have the possibility of replacing parts in terms of crisis conditions. Also, the awareness of supplier about the products helps better implementation of operational planning system. When there is a contrast between the production and the plan due to the various causes of other models such as hybrid, and Saipa 132.... Regular PRIDE is replaced subsequently with the other models to avoid program line stopping, the availability of parts and ease of production makes the regular pride the best alternative that this causes deviation from the normal production of Pride from the program list. Hydraulic hybrid Pride and hydraulic ABS Pride regarding that these two models are the latest products of the company, production rate has been very low and has allocated lowest frequencies so the little positive change had no significant impact which had been occurred after implementing the system,. During last two years the lack of supply by some of manufacturers and regarding these 2 models as the latest one has made some deviations from the plan. In other models, including hybrid Pride, Hydraulic Pride and ABS Pride, descriptive and inferential statistics reveals significant and meaningful impact on the implementation of operational planning system in achieving the production plan. Therefore, implementation of operational planning systems is suggested for organizations that have a volume of mass production and product variety. C. Operational Planning and Reducing Costs In order to evaluate the impact of operational planning system on reducing costs, 3 variations of route stopping, the late delivery vehicle costs due to lowproduction from the initial plan and product storage costs resulting from more production has been reviewed. Descriptive statistics compared to previous years shows that (after the implementation of operational planning system) during the year 2009 the whole stopping time considerably has been decreased, so it has resulted in costs reduction. Also the effect of this system on stopping route through different causes was determined that the most delays created among seven available factors was related to the two existing factors of parts absence and staying too long in paint hall which it shows that after implementation of operational planning system the stopping time resulting from these two causes and a percentage share of these 2 factors have been decreased. Therefore, organizations with continuous production line and the significance role of stopping route for them can use this system in order to reduce the
stopping route and consequently costs reduction and increase in revenue. Also the inferential analysis of lower production than normal plan variation ( delayed penalty) and increase in production (warehousing costs of produced car out of the program) shows the implementation of this system has reduced both types of deviation in manufacturing and consequently has resulted in organization cost reduction. Therefore, organizations which are planning based on customer request the implementation of this system will reduce their costs. The lack of essential statistics and information based on concentrated and identical format spent much more time on collecting and harmonizing the information and statistics and in this study it was the most important limitation that we faced with. Also, another obstacle for this study was the lack of similar research for modeling. Evaluating the impact of operational planning implemented on other strategic objectives such as customers time of delivery and also the possibility of all the operational processes to be mechanized and generalizing the operational planning system within the organization internally and to the suppliers externally can be a good resumption for this current study. REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] [9] [10] Amiri, A., Management instrument to compose goals and practical plans in productive organizations, 2008. Pahlevaniyan, H., Successive experience from Strategic management application, Niko-Ravesh Press, 2008. Hagh-Panah, S., Guideline for practical planning for Fras province hospitals, 2007, p. 3. Official site of Strategic Planning Office of Saipa Co. (http://www.saipacorp.com) Sarlak, R., Logistic Poudmani, Saipa Co. Training Center Press, 2009. Shabani, Gh., Strategic Planning: Very Important need in today organizations, Edrak Scientific Journal, Vol. 13, 2009. Atefi, M.R., Balanced evaluation: A homogenous methodology for strategic implementation, 2nd International Conference on Strategic Management, 2007, p.1. Atefi, M.R., Nakhostin, M., Innovations and strategic management process, 3rd International Conference on Strategic Management, 2008, p. 2. Kaplan, R., Norton, D., Strategic-base organizations, Translated by Parviz Bakhtiyari, Industrial Management Organization, 1st Press, 2004, pp. 1551. International change agent s view of the management of change problem- Ayse-saa, Department of international Economics and Business, University of Groningen, Groningen, The Netherlands, Journal of organization change management vol.16, NO.5, 2003. Kaplan, Robert S, Norton, David P, The Balanced scorecard , First Edition, Boston, Harvard Business School Press,1996. Niven, P.R, 2003, the Balanced Scorecard Step By Step: Maximizing Performance and Maintaining Results, New-York: Wiley Press Towards the sixth generation of R&D management, D. Nobelius Volvo cars corporation, project management, pvd 1:1,4053 Gothenburg, Sweden, Journal of project management,2004 Donald V. Shiner , Marketing s Role in Strategic and Tactical Planning , Department of Business Administration , Mount Saint Vincent University, Halifax , Nova Scotia ,2007.
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Customer Relationship Management in Banking Services

Monika Bothra1, Navratan Bothra2 and Varun Kothari3
2
Ph.D. (Management) Research Scholar Ph.D. (Management) Research Scholar, Madhya Pradesh Bhoj Open University, Bhopal E-mai: 1monikabothra55@gmail.com,contact, 2bothra.navratan@gmail.com, 3 varun.kothari@yahoomail.com This has resulted in the adoption of various CRM initiatives by these banks. There is a shift from bank centric activities to customer centric activities are opted. The private sector banks in India deployed much innovative strategies to attract new customers and to retain existing customers. Bank merely an organization it accepts deposits and lends money to the needy persons, but banking is the process associated with the activities of banks. It includes issuance of cheque and cards, monthly statements, timely announcement of new services, helping the customers to avail online and mobile banking etc. CRM involves gathering a lot of data about the customer. The data is then used to facilitate customer service transactions by making the information needed to resolve the issue or concern readily available to those dealing with the customers. This results in more satisfied customers, a more profitable business and more resources available to the support staff. Some recent CRM packages integrate the speech-enabled specific application functions which embrace customer support, order management and sales force automation or modules within individual applications. These products are provided by companies such as Siebel system, Oracle, and SAP. CRM in banking industry entirely different from other sectors, because banking industry purely related to financial services, which needs to create the trust among the people. Establishing customer care support during on and off official hours, making timely information about interest payments, maturity of time deposit, issuing credit and debit cum ATM card, creating awareness regarding online and e-banking, adopting mobile request etc are required to keep regular relationship with customers. This paper deals with the role of CRM in banking sector and the need for it is to increase customer value by using some analytical methods in CRM applications. II. OBJECTIVE OF THE STUDY The objectives of this paper are as follow: Firstly, to determine the role and need of customer relationship management in banking sector. Secondly, to study the major contribution of information technology to CRM in banks.
AbstractIn a competitive and globalized banking era, customers constitute one of the most important and valuable assets of a bank. Banks technological developments are interpreted as the intensive use of information technology and facilitating massive collection and processing of information. The goal of CRM is to build a customer-centric organization, to manage all aspects of customer interactions in a manner that enables banks to maximize profitability from every customer. Increasing competition, deregulation, and the internet have all contributed to the increase in customer power. Nowadays, new technologies have empowered customer relationship management (CRM) to dominate marketing paradigms. By using knowledge of the customer, banks can turn customer relationship into a key competitive advantage. Banks can develop customer relationships across a broad spectrum of touch points such as branches, kiosks, ATMs, internet, electronic banking, smart cards, call centers and phone banking. This paper deals with the role of Customer Relationship Management in banking sector and the need for Customer Relationship Management to increase customer value by using some analytical methods in CRM applications. The contribution of information technology to improve customer base. This paper also addresses CRMs benefit to the banking Industry in a nutshell as well as the issues related to changing banking industry and the CRM related challenges faced by financial service Industries. Keywords: Customer Relationship Management, customer-centric, competition, deregulation
I. INTRODUCTION Management is one of the newest innovations in customer service today. CRM stands for customer relationship management and helps the management and customer service staffs cope with customer concerns and issues. Services and products like "Anywhere Banking" "Tele-Banking" "Internet banking" "Web Banking, e-banking, e-commerce, ebusiness etc. have become the buzzwords of the day and the banks are trying to cope with the competition by offering innovative and attractively packaged technology-based services to their customers. Simultaneously, CRM helps in maintaining customer database and providing better services. The use of CRM in banking has gained importance with the aggressive strategies for customer acquisition and retention being employed by the bank in todays competitive milieu.
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Thirdly, to study some analytical methods in CRM applications to improve customer base. Fourthly, this paper addresses CRMs benefit to the banking Industry in a nutshell as well as the issues related to changing banking industry. Fifthly, CRM related challenges faced by financial service Industries.
III. NEED FOR CUSTOMER RELATIONSHIP MANAGEMENT The important factors that establish the need for CRM in the Banking Industry are detailed below: A. Intense Competition There is intense competition among the Private Sector Banks, Public Sector Banks and Foreign Banks and they are all taking steps to attract and retain the customers. New technologies, research facilities, globalization of services, the flood of new products and the concept of all the facilities under one roof to provide better customer service leading to customer delight. B. Well Informed Customers The Customers in Banking Industry today are well informed. With the introduction of new technology, the world has become like a small village. Thus, if a Bank wants to have more customers, it should develop a good relationship with its present customers and try to maintain the same in the future also. C. Decline in Brand Loyalty In the present scenario, brand loyalty is on decline. The customers are switching over frequently to avail the better facilities from other banks. Newer and superior products and services are being introduced continuously in the market. Thus, the banks have to upgrade their products, improve customer service and create bonds of trusts through proper care of customer needs and regular communications. With the help of CRM, strong customer loyalty and a good image for the organization can be developed. D. Improved Customer Retention In the intensely competitive banking industry, retention of existing customers is vital, which can be achieved through the process of CRM. IV. ANALYTICAL CRM CRM has been seen as an IT-enabled business strategy focusing on developing and retaining customers through increased scores on satisfaction and loyalty. An analytical CRM system requires Knowledge Management (KM ) applications in CRM systems to improve the strategic efficiency of CRM through
acquiring and sharing knowledge about customers. Analytical CRM generally makes heavy use of data mining and other techniques to produce useful results for decision-making. Analytical CRM systems are yet to make a mark in most Indian banking companies. There is strong recognition of its benefits for the long term organizational survival at both top and middle levels of management amongst Indian banking companies. However neither the time frame nor a road map is clear to them. The road map towards acquisition of analytical CRM capabilities provides a conceptual framework for its implementation Issues like business process changes, organizational cultural transformations ,top management involvement and clear implementation benefits measures have to be worked out in the long run to make a strong for analytical CRM to be implemented in the Indian banking sector. Technologies supporting the analytical CRM system include CRM portals, data warehouses, predictive and analytical engine. A road map for analytical CRM capability development and implementation: Customer Targeting and segmenting capabilities Behavior classifications Behavior measure formulation Behavior tracking and monitoring Behavior pattern generation and tracking changes in behavior Predictive analysis. The multinational banks, though they themselves have not implemented analytical CRM systems in India, have recognized its importance in the Indian market. The Indian Nationalized and private banks management do believe that eventually there would be pressures from multinational banks if and when they implement analytical CRM systems and acquire competitive advantage in the Indian Market. Analytical CRM analyzes customer data for a variety of purposes: Designing and executing targeted marketing campaigns Designing and executing campaigns, e.g. customer acquisition, cross-selling, up-selling, add-on selling. Analyzing customer behavior in order to make decisions relating to products and services (e.g. pricing, product development). Management information system (e.g. financial forecasting and customer profitability analysis. The contribution of information technology to improve customer base Information technology has changed the way companies conduct business domestically and internationally. The banking and finance industry has made great strides in implementing current technology in their business operations. The banking industry has
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used business technology to create several new options for consumers, including online banking, instant access to retirement accounts, electronic application processes and electronic wire transfer capabilities. IT is a necessary competitive cost for providing ubiquitous access to the new Internet-enabled modes of transacting services and creating, sharing, discussing, and archiving knowledge. Today's banking services are based on a customer-centric and cost-effective flex services model that combines convenient, online selfservice with alternative access options for securing expert help when customers need or want it. Automated teller machines are the most familiar form of selfservice, but online banking (from any Web connection) can provide self-service at its best by allowing customers to manage their accounts, set up automatic deposits and payments, apply for loans, and so on. Most banks also provide toll-free or online access to a customer-service representative during extended hours or even 24/7. And face-to-face help is available during business hours in convenient branch locations and the main office. The State Bank of India (SBI), the largest and oldest bank in India, had computerized its branches in the 1990s, but it was losing market share to privatesector banks that had implemented more modern centralized core processing systems. To remain competitive with its private-sector counterparts, in 2002, SBI began the largest implementation of a centralized core system ever undertaken in the banking industry. The State Bank of India selected Tata Consultancy Services to customize the software, implement the new core system, and provide ongoing operational support for its centralized information technology. Although SBI initially planned to convert only 3,300 of its branches, it was so successful that it expanded the project to include all of the more than 14,600 SBI and affiliate bank branches. The State Bank of India has achieved its goal of offering its full range of products and services to all its branches and customers, spreading economic growth to rural areas and providing financial inclusion for all of India's citizens and lower service costs. Bankers don't market "distance banking" and label customers as "traditional" or "nontraditional." They realize that different customers have different needs and preferences for how they obtain services. Banks also know that time-shifted online self-service can reduce costs while increasing customer satisfaction, which is why they frequently offer incentives for self-service.
V. CRMS BENEFIT TO THE BANKING INDUSTRY Working with Luxoft helped the client of Deutsche bank to understand the issues of the current system and to improve the business process flow within the bank. The new system integrates with the majority of customer applications in the bank- database schemas, loading mechanisms and infrastructure, allowing the client to deliver updated business information to bankers as soon as it is available. As a result of the implementation of the new CRM system, the time taken for data entry within the bank has been significantly reduced. For example, the time required to log a call report decreased from 8 minutes to 3 minutes, which results in 750 hours saved per month. The Deutsche Bank CRM project achieved a high degree of ROI, estimated at a saving of 30 40 per cent compared to conducting the project onshore. Benefits of CRM can be categorized into three groups namely: Benefits for customers, benefits for employees and benefits for banks. A. Benefits for Customers Coordinated and professional approach to customer contact. Up-to-date customer information, Banks can offer more personalized services. Customers feel empowered if they have greater access to products and services. For example 24 hours banking. Targeted product and service offerings can be timed to coincide with customer events and requirements e.g., Education Loans and Tourism Loans. Develop better communication channels. Collect vital data, like customer details and order histories Create detailed profiles such as customer preferences Deliver instant, company-wide access to customer histories Identify new selling opportunities
B. Benefits for Employees Employees are empowered with the information to deliver high quality service and meet customer expectations. Employees have more time to serve customers. Employees have higher satisfaction ratings.
C. Benefits for Banks Managers are empowered with information that can help them manage customer relationships and make better decisions. Optimum use of bank resources.
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Customer satisfaction and increased loyalty. CRM permits businesses to leverage information from their databases to achieve customer retention and to cross-sell new products and services to existing customers It helps in capitalizing on short windows of opportunities in the market. Significant reduction in and limitation of operational costs through system automation and standardization. VI. ISSUES RELATED TO CHANGING BANKING INDUSTRY
Technology was the nucleus of CRM strategies few years ago. The technology was new, sophisticated and very difficult to manage. Now it is evolving to a commodity piece within CRM strategies. Some issues related to changing banking industry are: Integration of different systems- The integration of different systems such as customer data and product data has improved dramatically. Due to lack of channel data and the dispersion of channel responsibilities throughout the organization, most financial institutions develop channel strategies and manage their channels poorly and in an uncoordinated fashion. This leads to sub-optimal resource allocation and poor customer management. Leading banks have realized this problem and are addressing this aggressively. The whole area of integrated channel management which is tightly coupled with CRM will rapidly evolve to higher levels of sophistication. Usage of multi-channel by customers- Multichannel customers having real-time interface is a buzzword. The First, customers use different channels to go to their bank such as the branch, self service machines, the service center or the internet, CRM goes multi-channel. Second, in addition to cross selling, the processes of client retention and improvements in client loyalty are getting more important. Firms have been slow to adopt due to the greater complexity of the relationships and number of touch-points. Branding- CRM will contribute more to branding. Not just ROI on every contact will be leading, but the way customers want to be perceived as a brand will become more important. Lot of effort is put on being there at customers' moments-of-truth. VII. CRM-RELATED CHALLENGES FACED BY THE FINANCIAL SERVICE INDUSTRY Financial institutions are facing specific challenges when it comes to business software and customer relationship management (CRM) software. Some of these challenges: Financial institutions began using software that did not include CRM functionality. Later on, they started integrating CRM products with
existing software, or creating or improving existing products to include CRM functionality. In other words, different branches, divisions, etc., have different strategies and need to acquire or integrate different products. Banks and financial institutions can afford to invest huge amounts of money in sophisticated systems, but cannot afford to implement them by the book (this can take monthseven years for multinational companies). This is why it is easier to integrate different modules of separate systems than to implement a new system that covers all CRM needs. Another challenge is related to laws and regulations created by local, national, and international institutions, which limit the power of financial institutions when dealing with their customers. Through legislation, governments try to protect their citizens from fiscal fraud and criminality (cyber-laundering, confidential information theft, etc.) Financial institutions are facing major changes in customer behavior and need to keep up with the latest technological advances. E-banking, customer portals, and mobile banking are just some of the new services customers use and software vendors need to integrate into their CRM offering. VIII. CONCLUSION
Customer Relationship Management is concerned with attracting, maintaining and enhancing customer relationship in multi service organizations. Customers are the backbone of any kind of business activities, maintaining relationship with them yield better result. Technology-enabled improvements and a desire to improve earnings stability have led many banks to enter new markets (global and national) driving increased competition in local markets by the adoption of new technology. Local competition includes remote banks and nonbank competitors. This, combined with a growing appetite for customization and personalization, is driving the need to constantly transform applications and offerings to meet new competition and changing customer preferences, expectations, and needs. However, technology is always changing and improving, and banks typically and desperately adapt in order to keep their customer base. When there is a change in the solution within a bank policy, it affects the interaction of other solutions being used within the same bank. Therefore, to take full advantage of these ever changing solutions, the bank must act to make sure it has full access to information between each solution.
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REFERENCES
[1] [2] [3] Kotler Philip, et al., Marketing Management, Prentice Hall, Singapore, vol.8, 1999, pp.4246, 49, 54. Zeithanil, V and Bitner, M (1996) Services Marketing New York, Mc Graw Hill Inc. http://www.articlesbase.com/management-articles/theimportance-of-crm-customer-relationship-management97415.html" http://www.articlesbase.com/banking-articles/crm-in-banking1302680.html
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http://www.banktech.com/blog/archives/2010/01/crm_in_bankin g.html [6] http://blog.technologyevaluation.com/blog/2009/10/08/crm-forthe-finance-and-banking-industry-%E2%80%93part-1/ [7] http://www.fujitsu.com/downloads/COMP/fcpa/scanners/bankin g-financial-services_wp.pdf [8] http://www.infosys.com/finacle/pdf/thoughtpapers/CRM-inbanking.pdf [9] http://www.marketingteacher.com/Lessons/lesson_crm_IT.htm [10] http://www.tcs.com/sitecollectiondocuments/case%20studies/ba ncs_case_sbi.pdf
Total Quality Management

Jatinder Sidhu, Mehak Maheshwari, Pritpal Singh and Sardool Brar
MBA 2nd semester, Baba Farid College of Management and Technology
AbstractTQM: TQM is development, manufacture, administrations and distributon of consistentaly low products and services that customers need and want. TQM functions on the premise that the quality of products and processes is the responsibility of everyone who is involved with the creation or consumption of the products or services offered by an organization. In other words, TQM capitalizes on the involvement of management, workforce, suppliers, and even customers, in order to meet or exceed customer expectations. Considering the practices of TQM as discussed in six empirical studies, Cua, McKone, and Schroeder (2001) identified the nine common TQM practices as crossfunctional product design, process management, supplier quality management, customer involvement, information and feedback, committed leadership, strategic planning, cross-functional training, and employee involvement In this research paper we have discussed about the TQM gurus who had given various theories regarding quality management for companies as well as for industries.
Cooperation
I. INTRODUCTION The name Total Quality Management was first suggested by Nancy Warren, a behavioural scientist in the u.s. navy, in 1985. TQM is a corporate business management philosophy which recognizes that customer needs and business goals are inseperable. What is a quality guru? A guru, by definition, is a good person, a wise person and a teacher. A quality guru should be all of these, plus have a concept and approach to quality within business that has made a major and lasting impact. There have been three groups of gurus since the 1940s: Early 1950s Americans who took the messages of quality to Japan Late 1950s Japanese who developed new concepts in response to the Americans 1970s-1980s Western gurus who followed the Japanese industrial success The Americans who went to Japan: A. .W Edwards Deming He placed great importance and responsibility on management, at both the individual and Company level, believing management to be responsible for 94% of quality problems. He talked of new climate which consisted of three elements: Joy in work Innovation
He encouraged Japanese managers and engineers to go beyond the utilization of statistics and strive for continuous improvement. He also suggested the use of modern customer research conducting regular customer surveys and following closely the development and changes in market place. His fourteen point plan is a complete philosophy of management, that can be applied to small or large organisations in the public, private or service sectors: Constancy of purpose: Create constancy of purpose towards improvement of product and service. New philosophy: Adopt the new philosophy. We can no longer live with commonly accepted levels of delay, mistakes and defective workmanship. Cease dependence on inspection: Cease dependence on mass inspection for achieving quality. End contacts on tendors:-End the practice of awarding business on the basis of price. Find problems: It is managements job to work continually on the system to find problem continually. On the job training:- Institute modern methods of training on the job. Institute Leadership:-Institute modern methods of supervision of production workers, The responsibility of foremen must be changed from numbers to quality. Drive out fear: Drive out fear, so that everyone may work effectively for the company. Break down barriers: Break down barriers between departments. Eliminate numerical slogans: Eliminate numerical goals, posters and slogans for the workforce asking for new levels of productivity without providing methods. Eliminate numerical targets: Eliminate work standards that prescribe numerical quotas. Pride: Remove barriers that stand between the hourly worker and their right to pride of workmanship. Education:-Institute a vigorous programme of education and retraining. Top management: Create a structure in top management that will push on the above points every day.
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He believed that adoption of, and action on, the fourteen points was a signal that management intended to stay in business. Deming also encouraged a systematic approach to problem solving and promoted the widely known Plan, Do, Check, Act (PDCA) cycle. Plan what is needed Do it Check that it works Act to correct any problems or improve performance. The PDCA cycle is also known as the Deming cycle. It is a universal improvement methodology, the idea being to constantly improve, and thereby reduce the difference between the requirements of the customers and the performance of the process. The cycle is about learning and ongoing improvement, learning what works and what does not in a systematic way; and the cycle repeats; after one cycle is complete, another is started. B. .Dr Joseph M Juran He developed the quality trilogyquality planning, quality control and quality improvement. Good quality management requires quality actions to be planned out, improved and controlled. The process achieves control at one level of quality performance, then plans are made to improve the performance on a project by project basis, using tools and techniques such as Pareto analysis. This activity eventually achieves breakthrough to an improved level, which is again controlled, to prevent any deterioration. Juran believed quality is associated with customer satisfaction and dissatisfaction with the product, and emphasised the necessity for ongoing quality improvement through a succession of small improvement projects carried out throughout the organisation. His ten steps to quality improvement are: Build awareness of the need and opportunity for improvement Set goals for improvement Organise to reach the goals Provide training Carry out projects to solve problems Report progress Give recognition Communicate results Keep score of improvements achieved Maintain momentum
C. Armand V Feigenbaum He was the originator of total quality control, often referred to as total quality. He defined it as: An effective system for integrating quality development, quality maintenance and quality improvement efforts of the various groups within an organisation, so as to enable production and service at the most economical levels that allow full customer satisfaction. He saw it as a business method and proposed three steps to quality: Quality leadership Modern quality technology Organisational commitment The Japanese D. Dr Kaoru Ishikawa He made many contributions to quality, the most noteworthy being his total quality viewpoint, company wide quality control, his emphasis on the human side of quality, the seven basic tools of quality: Pareto analysis which are the big problems? Cause and effect diagrams what causes the problems? Stratification how is the data made up? Check sheets how often it occurs or is done? Histograms what do overall variations look like? Scatter charts what are the relationships between factors? Process control charts which variations to control and how? He believed these seven tools should be known widely, if not by everyone, in an organisation and used to analyse problems and develop improvements. Used together they form a powerful kit. E. Dr. Genichi Taguchi He believed it is preferable to design product that is robust or insensitive to variation in the manufacturing process, rather than attempt to control all the many variations during actual manufacture.To put this idea into practice, he took the already established knowledge on experimental design and made it more usable and practical for quality professionals. His message was concerned with the routine optimization of product and process prior to manufacture rather than quality through inspection. Quality and reliability are pushed back to the design stage where they really belong, and he broke down off-line quality into three stages: System design Parameter design Tolerance design
He concentrated not just on the end customer, but on other external and internal customers. Each person along the chain, from product designer to final user, is a supplier and a customer. In addition, the person will be a process, carrying out some transformation or activity.
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Taguchi methodology is fundamentally a prototyping method that enables the designer to identify the optimal settings to produce a robust product that can survive manufacturing time after time, piece after piece, and provide what the customer wants. Today, companies see a close link between Taguchi methods, which can be viewed along a continuum, and quality function deployment (QFD). Taguchis eight points approach: Identify the main finction, side effects and future modes Identify noise factors and the testing conditions for evaluating quality loss. To optimize objective finction. The control factors and alternate levels be identified. Design the matrix experiment. Conduct the matrix experiment. Analyse the data. Conduct the verification experiment. Western Gurus: Philip B Crosby is known for the concepts of Quality is Free and Zero Defects, and his quality improvement process is based on his four absolutes of quality: Quality is conformance to requirements. The system of quality is prevention. The performance standard is zero defect. The measurement of quality is the price of non-conformance. His fourteen steps to quality improvement are: Management is committed to a formalised quality policy. Form a management level quality improvement team (QIT) with responsibility for quality improvement process planning and administration. Determine where current and potential quality problems lie. Evaluate the cost of quality and explain its use as a management tool to measure waste.
Raise quality awareness and personal concern for quality amongst all employees. Take corrective actions, using established formal systems to remove the root causes of problems. Establish a zero defects committee and programme. Train all employees in quality improvement. Hold a Zero Defects Day to broadcast the change and as a management recommitment and employee commitment. Encourage individuals and groups to set improvement goals. Encourage employees to communicate to management any obstacles they face in attaining their improvement goals. Give formal recognition to all participants. Establish quality councils for quality management information sharing. Do it all over again form a new quality improvement team.
Tom Peters identified leadership as being central total quality improvement process, discarding the word Management for Leadership. The new role is of a facilitator, and the basis is Managing by walking about (MBWA), enabling the leader to keep in touch with customers, innovation and people, the three main areas in the pursuit of excellence. He believes that, as the effective leader walks, at least 3 major activities are happening: Listening suggests caring Teaching values are transmitted Facilitating able to give on-the-spot help II. CONCLUSION However, be aware that there are contradictions between the gurus approaches, as well as many common features. It is imperative that the approach you take is purpose built and tailored to suit your organization and its current and future needs. The total organizational excellence model (TOE), discussed in the Implementation section, can help with these issues.
Indian Economy: A Post Recession Scenerio

Sardool Singh, Pritpal Singh, Mehak Maheshwari and Jatinder Sidhu
Students MBA 2nd Semester Bfcmt, Bathinda
AbstractRecession arises due to The collapse of the housing bubble, which peaked in the u.s in 2006, caused the values of securities tied to real estate pricing to plummet therafter, damaging financial institutions globally. The financial institutions which had invested in these real estate assets, had to disclose these assets at their fair value in their financial statements. Now, the fair value of these assets had declines significantly due to the collapse of the housing bubble. Thereby leading to a mismatch in the financial statements of the banks and financial institutions, thus creating a liquidity crisis. In this research paper we have disscussed the causes and resons for recession and some suggestions are also included in this.
the world. This was the one of the causes of financial slowdown. III. RECOVERY FROM THE RECESSION Liquidity shortfall in one country, soon spread to the other countries. Economies which depended on the American economy for survival and economic resources were among the first countries to collapse under pressure. Governments around the world were panic stricken by the collapse of the banking system in the united states , and since majority of the world governments were dependent on the American economy for their trade and finances, their economies too were beginning to get affected . at this stage, the governments began the tough task of recovering from the recession. The united states government pumped in billions of dollars to bailout the banking and financial system, the priority was toensure sufficient liquidity in the system so as to enable the public reason their purchase power which in turnwill increase the demand for consmer goods, which again will lead to theindustries being revived. But the recovery was not to be as easy as it seemed to. With government around the world concentrating on reviving their respective economies the financial power shifted their concentration underdeveloped and developed economies. . The underdeveloped and developing economies , which were inhabited by majority of the world's human population began to feel the heat of the recession and more people were being pushed to extreme living conditions with every passing day. It was at this juncture, did the developed countrys began to pursue the policy of protrctionism.Protectionism is the economic policy of restraining trade between states through methods such as tarrifs on imported goods restrictive quotas and a variety of other government regulations designed to discourage imports and prevant foreign take over of domestic market and companies. the developed countries began to resort the protectionist attitude which ensure that the developing countries were to take more time to return to normalcy. The leader of the developing countries are still arguinging against this attitude of the developed countries and it will take some more years before we come out of the recession. IV. RECOVERY FROM THE RECESSION- 290-THE INDIAN STORY as the economies around the world were providing bailouts the indian government began to get its act
I. INTRODUCTION We indians take pride when we read the following facts: India is one of the fastest growing economies in the world. India is one of the very few countries which have withstood the on slaught of the economic slow down. But very liitle of us remember the fact that our exports reduced during the slow down period. Our growth rate reduced from 9% to around 7% during the same period. Although the recession is not the only reason for this fall in growth. The drought in these years is an important contributor for the fall in growth. II. CAUSE OF THE RECESSION The start of the recession can be attributed to a phenomenon, which is the latest identity to our profession. It is the IFRS, or the international financial reporting standards. It is a well known fact that the IFRS requires the reporting entities to value their fair market value. The collapse of the housing bubble, which peaked in the u.s in 2006, caused the values of securities tied to real estate pricing to plummet therafter, damaging financial institutions globally. The financial institutions which had invested in these real estate assets, had to disclose these assets at their fair value in their financial statements. Now, the fair value of these assets had declines significantly due to the collapse of the housing bubble. Thereby leading to a mismatch in the financial statements of the banks and financial institutions, thus creating a liquidity crisis. The financial crisis of 2007 to the present was triggered by this liquidity shortfall in the United States banking system. It has resulted in the collapse of large financial institutions the bailout of banks by national governments and downturns in stock markets around
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togather, India faces more challengas in form of an inflationar trend in the economy and a session ofdrought which had effected the agriculture sector. In midst of these challenges the country was preparing for the general elections 2009, Which was turning to be a boon in disgurise. it ensured that the economy, particularly the unorganised sector were being provided with an influx of funds to the tune of 5000 crores In the month of march, 2009 the government initiated a stimulus program to help the economy with stand the effect of the slowdown. Exice duty better known as CENVAT was reduced also the rate of service tax was reduced to 10 % and there was the reduction in the customs duty as well. The reserve bank of india allowed the banks to restructure their advance. so as to help the economy by providing convinient repayment schadulein the thougher time. the industries responded with caution and were shifting focus from aiming for grouth to aiming for surviving the recessionary treand. The RBI ensured that the controleswere relex with regaurd to export andamports so as to help exporters repatriating their tincome or revenues into india. These steps gradually begun toproduce results. sectors which were dependent on export for survivel like the textile and software BPO sectors were provided with extra support to survive the slowdown. V. STATUS UPDATE The ression has shifted the center of global financial power from the capitalistic countries of the west to the socialistic countries of the east. Chaina, Brazil and South africa, are being seen as the representative of the new global financilal order. The G-20 has begun to assume greater significance to its predecessor the G-8 . But with more power, comes even more responsibility. The g 20 alone with regional association like the ASEAN need to set benchmarks in framing economic policies which will ensure inclusive grouth and fair distribution of the available resourses. For this very purpose Indian needs to set an example of how an aconomy can achive inclusive growth. VI. IDENTIFICATION OF PRIORITIES Government across the world will have to understand that no growth story is complete unless and untill the benifit of that growth reaches the poorest of the poor. inclusive grouth in the need of the hour. But it must be ensured that we should not move on our road to growth at the cost of our environment , climate change is now an integral comphonant of any economic plan. Countries have agreed to cut down on carbon emissions including the intensity of emissions newer technologies is need to be developed. , which alonge with reducing the emmision of the green house gasses wil consume lesser resources.
In the indian prespective, it is necessory to ensure that control is placed in our fiscal managment. we need to create social and economic infrastructures to meet the requirment of rapid and inclusive growth. To ensure the same it is necessary that our fiscal deficit is under control. three factors are important in this context. Control over non plan expenditures. Aggressive program of disinvestment in public sector undertaking and and Scope of public private partnership need to be explored wherever possible Control over non plan expenditure will mean controlling the subsidies provided by the government. while food susidy and fertilizer subsidy can be tightened. Also there is a need to continuosly assess and monitor the socio economic programmes undertaken by the socio economic programes undertaken by the Central government like the MNREGS and the bharat nirman. while these sheems are an effectie means of ensuring economic empowerment of the rural masses these scheems cast a negative shadow on the establishes practices of labour supply. which in turn alter the economic equations of price and inflation. Improving economics infrastructure like roads transportation, ports and airports, power plants, urban and rural infrastructure in term of housing schemes, irrigation and water projects etc. must be the priority. also investment must be made in education and health sector with a view to gain benifits in the long tem. In addition, investment must be made to enhance the productivity of human resourses. Agriculture as an industry has not being receiving the attention it needs to. according to a famous agriculture scientist, "In future wars will not fought with guns,but with grains". This aptly describe the crucial role played by this sector. The employement it generate to the rural population is significant. Investment must be made in providing irrigation and warehousing the agriculture producers. Excise duties on agriculture related goods must be produce so as insure there demaand among the farmers. co-oopreaive farming rain , water,harvesting and similar practicises must be encouraged. Indian lives in its villages . these were the words of ourfather of nation.greater emphasis must be provided to improving rural infrastructure and providing urban scale lifstyle in the rural areas. efforts must be undertaken to ensure that the urban rural divide is both down to a vary thin level. To ensure greater food security the public distribution system must be streanthened and greater tranparancy must be ensured in area relating to managing retail price of food items. VII. CONCLUSION
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While economics arround the world are still trying to come to a consensus over the extent of efforts required, what need to be understood is the fact that the recession was never never a global phenomenon . just because of a effect of globalization, the recession had such a drastic effect. From an Indian prespectives this should be seen as a new begning and over journey should be commited to
the principals of inclusive growth. Greater controls must be put in place to ensure property in managing public resourses. In the end, it can be concluded that recovery from economic slowdown in a process and not a project, which can be declared completes.
Topic: Development of Hotel Industry in India

Satveer Kaur1, Arundeep Singh2 and Preet Kamal3
Student of BFCMT E-mail: 1satveer.sibia@gmail.com, 2arundeepbrar@gmail.com
AbstractHospitality is one of the most important components of tourism industry. In many regions the hospitality industry thrives only due to the presence of tourism. The service providers add facilities and features so as to attract and retain customer base. The hospitality industry of Katra township of J&K is based on the pilgrims flow to Shri Mata Vaishno Devi. This paper tries to determine whether the hospitality industry of Katra really looks in to the customer satisfaction which is in this study the pilgrims satisfaction when the customer flow is constant. In order to determine this, the paper tries to find the religious expectations of pilgrims from the hospitality units like hotels of Katra; and their satisfaction level by finding the extent to which the pilgrims expectations are met. The paper also examines the difference between male and female level of expectation and satisfaction For the past few years, the boom in Indias hospitality industry has been fuelled by a favorable economic and political situation. India has witnessed a strong GDP growth of around 8 per cent in the past 4 years. A GDP growth of 9.4 per cent was witnessed in 2006-07, thus creating a trickledown effect for the growth of support industries such as hospitality. The thriving economy will increase the spending power and fuel the growth in tourism.
I. INTODUCTION OF HOTEL INDUSTRY Every industry has its own importance and every industry expanded to an unlimited arena. Hotel industry in India has been an imperative industry to the Indian country. It is one of the major overseas swap earners, to the kingdom and also solitary of the most important employers, both straightforwardly and not directly. The hotel industry in India can be divided into eight sectors based on the traditions set by the government department of Tourism. They are 5-Star Luxurious, 5Star, 4-Star, 3-Star, 2-Star, 1-Star, Tradition and Unspecified. However, the 3-star, 2-star, 1star and unclassified hotels in India are spread across the distance end to end and breadth of the country and are highly scrappy in nature whereas, the expensive, mid souk and heritage groups are highly organized. Hotel Industry plays an important role in the society to attract more and more people to visit their places and they should aware about the recent, now and future hotel industry places. Hotel Industry in India has observed marvelous boom in recent time. Hotel Industry is inextricably connected to the tourism industry and the expansion in the Indian tourism industry has energized the development of Indian hotel industry. The booming economy and enlarged business opportunities in India have acted as a fortunate thing for Indian hotel industry.
The arrival of near to the ground price tag airlines and the linked price wars has given domestic tourists a host of options. The Implausible India' purpose operation and the recently launched 'Atithi Devo Bhavah' (ADB) operation have also facilitated in the growth of national and international tourism and as a result the hotel industry. According to the British laws: A hotel is a place where a bonafied traveler can receive food and shelter provided, he is in place for it and is in a fit condition to receiver(1). Hotels Industry have a very long history, but not as we know today, way back in the 6th century BC when the first inn in and around the city of London began to expand. The first catered to travelers and provided them with an insufficient roof to stay under. This circumstance of the inns prevailed for a long time, until the industrial revolution in England, which carried about new innovations thoughts and advancement in the big business at bar keeping. India is a very famous holiday destination in the world, and provides ample facilities as far as lodging is concerned. It has state of the art hotels to cater to its ever booming travel and tourism industry. Many hotels and resorts have popped up in India over the last few years to cater the accommodation needs of everybody. India is dotted with hotels that fit in every budget. There are hotels ranging from Luxury Hotels to Economy Hotels. A travel agent can help in finding a suitable accommodation. II. OBJECTIVES OF HOTEL INDUSTRY Hotel industrys goals and objectives are straightforward and seek to ensure we run a professional, advantageous and good quality company, by building contact with clients, suppliers and savers, driving business at the hotels' and budding the corporation as a whole. In summary, we as a group recommend the industry to follow the aim to highlight your big business company in the market place: Operate hotel belongings, provide and prepared to the top of the UK 3 Star classification standards, and maintain them at this level. Build relations with savers, locked hotel management contracts and successfully manage the hotel investments, base asset values. Further reinforce your position in the market place as a recognized and estimated Hotel Management Company.
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Attain the levels of profit sufficient to provide for reinvestment and suitable returns to shareholders and investors. Within each hotel operation, provide complete satisfaction to clientele in terms of facilities and service standards, food and beverage and related products, at a fair price. Manage hotels by human resource policies which give confidence and reward individual and unified effort and achievement, provide training and personal development opportunities and create a working environment in which staff can feel a real sense of job involve Market the hotels through recognized and trusted Brands (if appropriate), selected agencies and direct marketing initiatives from the hotels, to high standards of ethics and taste. Adopt best commercial practice and ethical standards in dealing with clientele, suppliers of goods and services and other contacts. Seek to comply with all statutory legislation and other external relevant authorities. Define and keep under review Company policy, allowing flexibility for local requirements.
IV. LIMITATIONS OF HOTEL INDUSTRY With the advantages of hotel Industry comes the limitation too! A few are listed below with a little detail: Long and Odd Hours: If you don't like early starts or late come to an end, then the hotel industry may not be for you. Many hotels are around-the-clock, 24-hour operations and staffs are mandatory to work in various shifts and extended hours. Breaking into the Industry: Getting your first break in the industry can be as simple as a well-presented letter and resume, or it can be a long and demoralizing process. Some people are assisted by a great deal of luck, while others have to beat the pavement for months before getting their dream job. But you can turn this disadvantage into an advantage and you'll find that breaking into the industry is probably easier than you thought. Pressure, High Standards and Deadlines: Working for demanding clients and management is not the downside of working in hotels - for it is what the industry is all about but you may find that the pressure of guest and management expectations are more stressful than you ever imagined. Pressure and deadlines are inherent fundamentals of the industry and the best hotel workers thrive on conquering the challenges and obstacles placed in the way of personal and company objectives. The Glamour Myth: The hotel industry offers you the chance to meet rich, famous and interesting people. They can include scientists attending in-house conferences, foreign tourists, local business people and ordinary everyday citizens. Although you might be able to tell your friends that Hollywood's hottest stars are staying in your hotel, you'll probably have to stretch the truth a little to say that you actually talked with them. Celebrities might chat with you like an old friend, out of politeness, only when ordering room service, or not at all. Some may be jovial and even invite you for a drink, while others will treat you with the coolness of an Artic wind. V. RESULTS OF HOTEL INDUSTRY Global travel increased by 6% in 2007 compared with 2006, crossing tourism forecasts for the fourth year in succession. Among the various regions, the Middle East registered the highest growth in arrival of international tourists with 46 million tourists compared with 41million in 2006, a growth of 12.2%.The opening
In order to do this we need to understand your business, your goals and objectives and the scope and opportunity of the hotel or hotels you wish us to manage or advise on. We will tailor our services to your needs to ensure the best fit for your businesses. A partnership is a meeting of minds, and this is the very ethos of a service driven company like Compass Hotels. III. SCOPE OF HOTEL INDUSTRY At the backdrop of such an approval business environment 'Pre-feasibility Report on Five-star Hotel Industry' attempts to examine such critical factors which will provide very important inputs in general to the prospective saver and estimation of profitable feasibility of such an investment. It presents the market psychotherapy of Indian hotel industry in terms of structure& Segmentation, market size, major hotels etc. It analysis the steps involved in setting up a hotel describing the scientific feature in terms of locational details and land requirement. It reviews the manpower planning and financial estimate involved in setting up a hotel. Brings an insight into the process for setting up a hotel, type of machines& floors space required, requirement of regulatory permissions & clearances. Analysis of porters five forces and SWOT (Strength, Weakness, Oppurnities and Threats) of the industry.
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up of the aviation industry in India has resulted in exciting opportunities for the hotel industry. The share of Travel & Tourism industry to the global GDP was 6.48% in the year 2007with value of US$ 3,493.19 billion and industry demand contributed to 13.21% of global GDP in 2007. Middle East was the fastest-growing region in terms of arrivals of international tourists during 2007. According to the report by World Travel and Tourism Council, India currently ranks 18thin business travel and will be among the top 5 nations by the end of 2010.-ASSOCHAM has projected that Medical Tourism is likely to become the leading foreign exchange earner for India India is now emerging as one of the hot destinations for medical Tourism after Singapore, Thailand, Hong Kong, Malaysia, Philippines, Columbia A touch of tenderness, a helping hand, a welcoming visage... the Indian hospitality sector Is certainly the most apt replication of the belief ATITHI DEVO BHAVA'. Good quality products and services at affordable prices should be the USP of any Successful venture - and hotels in the country boast of exactly this! According to the world travel and tourism council, the growth in the hospitality industry is pegged at 15% every year, and with 2, 00,000 rooms (both luxury and budget) needed in the country, the segment is poised for a stupendous growth. The closure of financial books for the 2009-10 fiscal year in the hospitality sector indicates a steady recovery. The sector that saw a steep downtrend in 2008-09 owing to a series of unfortunate incidents, including terror attacks and the recession, seems to be finally emerging out of the blues. Compared to 2008, last financial year has shown a growth of about 14-15% in foreign arrivals that is improving rapidly by the day. While initially it was the Jaipur blasts and Gujjar agitation, what affected the sector mostly was recession in the West. Americans and the Britishers had almost stopped travelling. But now the largest movement is from Germans, Italians, French and the Far East (Singapore and Malaysia), said Khalid Khan, president, Rajasthan Association of Tour Operators (RATO). VI. CONCLUSION As a hospitality executive, can you afford to ignore the strategic possibilities of Intelligent Communications for your business? As we have shown, Intelligent Communications enables a countless of competitive advantages that span revenue growth, cost efficiencies and brand differentiation.
Though one may be tempted to think Intelligent Communications capabilities have survived for years through technologies such as computer-telephony integration (CTI), the reality is that modern technology developments such as IP Telephony, web services and service-oriented architectures bring Intelligent Communications to a higher and more practical level. Now, not only are truly original communications solutions reasonably priced and repeatable, but they can be more effectively integrated directly into critical processes, giving your firm a true competitive advantage. Who will be the leaders in the hospitality industry that capitalize fully on the revolutionary capabilities of Intelligent Communications? Many hospitality companies are doing the foundation through adoption of IP Telephony on costimprovement grounds, but the possibilities from there for real, differentiating improvements - such as guest service, staff reaction and operational efficiency - are nearly endless. As part of ongoing changes in the industry, companies throughout the entire hospitality spectrum are placing a strong emphasis on implementing major operational changes. Beyond recognizing that meaningful cost reductions must be achieved without compromising safety, capacity and service levels, they are also looking at reducing costs by increasing flexibility and improving asset utilization through an RM strategy. In doing so, they continue to reassess their true core competencies, and are looking to outsource many of these processes, as they look to optimize business efficiencies and increase profitability VII. SUGGESTIONS FOR HOTEL INDUSTRY Hotels should be connected to GDS Latest industry reports show revenue from Global Distribution Systems (GDS) increased by over 12% over 2006. Hotel revenue from electronic sources up more than 10% Average Daily Rate (ADR) increases by more than 5% from 2005. GDS is expected to continue as one of the highest ADR channels surpassing even the Internet, so hotel owners should ensure that their hotel is registered with an GDS service. The philosophy once held by some industry analysts that internet booking sites would someday replace travel agents has now become pass' as GDS has been increasing every year. It should be pointed out however that internet sites like expedia, Travelocity etc. still contribute a significant portion of revenue to hotels
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The best philosophy is what we call a 3 pronged GDS strategy: Ensure your hotel is registered on GDS (600,000+ travel agents) Ensure that your hotel has a presence on IDS (2000+ internet travel sites) Ensure that your hotel website has good marketing appeal, to attract customers to book through a GDS connected booking engine (low cost and through combination of Google Ad words and SEO can increase your reservations significantly).
located within easy proximity of the transportation, which makes them easily accessible. No matter where you tour in India, there will be no dearth of accommodation. Some of the prominent luxury hotels of India are: Taj Mahal, New Delhi The Oberoi Grand, Kolkata The Park, Bangalore Grand Hyatt, Mumbai REFERENCES
[1] Parasuraman, A., Berry, L.L., and Zeithaml, V.A. (1991), Understanding customer expectations of service, Sloan Management Review, Vol. 32, No. 3, pp. 3948. Woodside, A.G., Fery, L, and Daly, R.T. (1989), Linking Service Quality, Customer Satisfaction, and Behavioral Intention, Journal of Health Care Marketing. 9(4), pp5-17
Note: Some Good Hotel Suggestions If You Are Planning a Trip to India: Indian hotels range from luxury to heritage, budget and economy and resorts. All the hotels are perfect for both leisure and business stays. In addition, most of the hotel in the different cities and towns of India are
[2]
Marketing Strategies for Small Businesses

Arundeep Singh, Gurwinder Singh and Megha Shrivastava
Students of BFCMT E-mail: arundeepbrar@gmail.com,gurwindersran1992@gmail.com, meghashrivastava29@gmail.com
AbstractSmall business houses are developing day by day and this rapid expansion is ensuring positive economic growth. These small business establishments directly employ more than half of the private work force and contribute over half of the nations private gross domestic product. So, these surely prove to be vital for any nations financial system. Apart from this, these sorts of firms or companies are straightaway related to the dreams and aspirations of those who undertake these ventures or launch their products in the market. So, it is important for these tiny businesses to flourish and prosper and this can be ensured by working on a number of fundamental principles or strategies that will guarantee their success.
I. INTRODUCTION Commerce activities have no meaning unless they are not supported by marketing. That is, production has no meaning unless it is exchanged for money or moneys value. That is why; marketing has more importance than producing. So, marketing plays an important role in todays world. Marketing is an integral part of the society. The most frequently question asked by entrepreneur: how can I improve my marketing?" Marketing has no end and it goes on and on. II. AIM OF STUDY Big companies can spend huge amount on publicity and promotion. Small businesses and startups have minimum brand recognition, are often located in geographic or demographic areas and most have nonexistent marketing budgets. Some marketers give an opinion to small businesses and startups to research and create strategic marketing plans. But strategic marketing plans take time, resources and capital. Few small businessmen can afford that cost. Effective marketing of a business is the measure of how well you understand the market needs. Marketing a small business is about reaching out to that consumer who is not satisfied by big business offers. Small business must not be focused on sales to achieve targets, put focus on the customer. However, you can improve your small business marketing strategy by applying several techniques that they use to get enormous sales conversions and that is my objective of this study. III. SUGGESTIONS: Of all the challenges related with running an unbeaten small business, one of the most complicated demands lies in the expansion and achievement of
marketing strategies that can be shown to actually increase sales and profits. And with the downhill market forcing more and more businesses to trim their budgets, the ability that successfully deals with marketing dollars can signify the variation between breakdown and achievement. Here are several graceful marketing strategies for small businesses which, if implemented properly, should show the way to a better bottom line: Instigate your clients to call: Always instigate your customer by giving a call to him. Tell the every customer that you are giving some extra benefits regarding as a member of an organization or not. We are giving some benefits for buying our product which is different from others and if he did not buy the product, then encourage your client to buy the product. You should build the customer in such a way that he can trust on you while telling the benefits, features, advantages, etc. about the product. For example: Mailing monthly instead of a hard copy newsletter. Cost self printed is $0.46 ea. including the stamp. Title 100 reasons to call us list 8, the 9th call to meet for coffee, - 10th is .."More to come". List your skills, talents, tasks and ask questions we've used it for a fun contest and sent a $100. Gift for all correct answers and a $ 12.00 gift for participating. They read the card! Try to participate in a business Award Contest: There is nothing like incoming in a business award contest to build up the status of your small business. Getting a prize can boost your prestige within your industry. Numerous competitions charge nothing to come in apart from for the time it takes to arrange your entry. Who awards the business prizes: Proficient and deal organizations, chambers of trade, Superior Business Bureaus, universities, and many more? Unlock your eyes for looking various chances. They are all around. And remember, there is a secret all award winners share: They have taken the time to put in order well-written entries. Cant inscribe well? Then compensate a celebrity who can plan your entry or negotiate services if youre soothing to accumulate wealth. The plunder for pleasing a commerce honor can final ostensibly
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everlastingly. Boast about endearing on your website; send a letter to customers; Place the award in your workplace or lay up so whoever comes in will see it. Along with track, propel out a press liberate and obtain your photograph in the document! Expand your Network: Develop your network of acquaintances and prospective customers. Ask your greatest, most authoritative, most important friends or business connections to commence you to the top ranking people that they consider you ought to meet up to enlarge your business. Capture each of the friends out for little refreshment and dig up to know them. Thrash out your campaign and outlook goals, tell them about why your business is extraordinary and solicit for their opinion. You will be surprised at how these new links will forfeit off ten-fold with recommendations to you for new trade and ground-breaking thoughts you hadn't thinking of. Free effort: I am unpaid assistant for the local community propagation place as being broadcast ability and to come back with ideas of phones. If you are part of a faction, you can response phones during their oath periods during one of their more admired shows they will state your groups forename. When I am on the heavens, my given name and/or organization get announced as part of the overture or if you are imaginative you can knit in what you do with what you are saying about the curriculum if there is a shrewd connection. Fabricate with the aim of catalog: Make use of choose in electronic mail marketing to have a discussion to your most excellent clients the ones that want listen to from you and have login in to collect your marketing letters and non- price competition. Be specific to bring of interest, inimitable and worth e-mail to their inbox. This can fabricate fidelity, impel sales with incise extra expenses. Scrutinize your clients and accordingly control them: Everyone in mass media is in love with statistics facts and figures. It corroborates their chronicle arena to editors. So, carry out a review with your consumers and potential customers. Accumulate the domino effect, put them into a squash discharge, and field to editors at your board leaflet. Write a piece of writing regarding it and place it on website that you create so that everyone can read it as well download it. This will enable your customers to freely ask questions and put forward their comments. Tell the others about your target: Try to carry out your investigation--for any firm with
limited horizon and possessions--because study should be the underpinning for any successful marketing. Know your spectators and recognize how the services that your business proposes will help these customers. By aiming the right addressees with a message that they can reverberate with, a support of the patrons will definitely help an organization to achieve its intentional objectives. Make a contribution of your goods to NonProfit: I give numerous of my products to a non-profit organization that is supporting a live auction and the profits will be provided to the aid organization. My store forename will be presented on the products and the gift is tariff deductible and serving others. Go to twelve-monthly Symposiums: Unite the Industry society related to your product or service where your regulars play a part in events and share information. Absolutely involve yourself in any online negotiations or groups at the organization providing gratis proficiency and sponsor webinars to get your brand name out there. If assets allow, try to attend twelve-monthly forum; youll make a lot of relations speedily and can obtain fast brand name identification. Organize free of cost functions: One of the superlative ways to attain free exposure is to create a free of charge occasion, time and again, at your workplace. Preferably, the event should relate with the thesis of your business, but its not compulsory. The occurrence can be holiday-themed or only entertaining and impractical! The journalists are ALWAYS glancing for remarkable events that will be of curiosity to the communal, and one can be confident of procuring a lot of exposure at such events. Immediately Enclose It: Bind your tools. If earned accurately, this moderately diminutive savings can create oceans of publicity. Take Note: Recognize your ultimate customers and locate them on social networking sites like twitter, facebook, etc. Then establish following relations with them! During fritter weeks tried to snoop into their minds; youll be wonderstruck what they will tell you in reference to their anxiety, their supreme products, and their existing aggravation with their peddler. It will be an enormous manner to unlock candid marketplace by following such a line of investigation. Be Transparent, enlighten your anecdote: The top approach to get observed in todays souk is to acquaint customers with your own
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tale. The media is always on its last legs to broadcast such news as they put down countless thousands at the media athwart the country. So be prepared with ready-to-run articles that can be send off at a minutes notice and this will create a great relationship of the company with papers. They'll deem you as a spring of precious information in this regard. Generate an appropriate Matter/ Content: Sponsor your trade online by creating content regions on your website that would be a focus on your consumers concern or interest and it will place your industry and brand as a supplier of valuable information. Generating these content pages does not involve any bonus financial statement, but they do occupy time and inventiveness. For example, a children clothes store can offer a page to Tips on keeping your child busy on school vacation and through that page, attract parents to the site. Craft for a journal: If you want people to call you, there is nothing like a script and critique fora-do business magazine or confined magazine to achieve integrity and publicity amongst your customers or buyers. You can express your capability and place yourself directly as a promoter of your item for consumption or services. This strategy creates reply from people who are the ready-to-buy section of market. Build personalizing offerings: Come up with an inimitable, modified present to give your intentioned patrons and bring something promising and tempting for them. Example: A small hotel can recommend a restaurant. The restaurant can give the diner a free dessert and eventually all praises/compliments in favor of the hotel! Good Deal for everyone. Be shocking: Be shocking. The media covet to wrap the extraordinary/wacky/even notorious. One piece of writing about your business can have a value thousands of dollars. Provide them what they desire. Assist initial: When system, dont have center of attention on getting a transfer or guide. As an alternative, focus on serving others. If you facilitate them first (by adding together worth to their existence/biz), theyll help you afterward. Bolt from the blue: To maintain customer trustworthy to you, in place of a recurrent purchaser curriculum, propel your regulars "surprise" gifts. Customers look into proceeds when they are elements of an agenda. Surprises always inspire allegiance and custody.
Blog to search out the Mass media: If you feel like being on TV, initially get in touch with the existing bloggers. Confines at TV are usually the people who scroll through the blogs to obtain enormous ideas. Then they further pass-on to the creators and producers of such blogs what they come across during their research. Long layer existence: Influence your spotlight by putting yourself into circumstances where your marketing efforts have a long layer existence. Begin by following a line of investigation into the various networking and broadcasting shows. Email those who have your perfect clients with a catalog of themes you can converse on. Secondly, make certain you engrave that if your line-up is already planned, Id craft a huge filler-inner when someone has to annul. Those terminologies only will acquire you, if you learn by heart or keep it in mind. Build their career trouble-free: Plan a coffee or lunch summit with the restricted pound journalists in your market. As a replacement for of plunging them your business, begin the discussion by asking, How might I be able to build your career trouble-free. If you can create their lives easier and they build out you arent going to try and vend them your anecdote, you will likely be a precious and enduring source to them imminent soon. Evaluate relations: One more intelligent way of marketing is the use of review connections we assess your product and place it on our blog and you analyze our product and set it on your blog. Its almost like sharing a piece of writing or a link, but of course something with a lot more gain at the back of it. Make use of small convincing videocassettes: Make small but convincing videotapes that in a few words clarify your product or service. Make your videotapes of maximum three minutes. Convincing is that not only updates, but also considers and personalizes about you and your company. This can be done speedily and without difficulty using a camera like a spin record. Then place the videocassette to your location and lots of video sharing sites are there and huge people will like and your company will earn a prestige in the market soon. Host Enlightening Occasions: Collaborate with firms which have an aim or the objective for the similar listeners as your industry and host educational occasions. A small bookkeeping firm can associate with a small act firm and an advertising firm to hold a
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tutorial on strategies for tackling collapse in market. So call upon little businesses to grace along with your establishment. The expenses can be divided, as can all the work that increases into holding an event, including appealing projection and regulars. Its a far cheaper way to sell to the other industries consumers, to forecast, and to make a connection with these other associates in order to expand companys association. The Common Lapses to avoid in marketing a small business: Evade twice standards if you desire to achieve something in lengthy lope. In a business, there are several times when you would be attracted into cooperating with the superiority and convey a sub-standard hoard supported on admired advertising. Uniformity with respect to the marketing campaign and always distributing what is being swear, are the chief uniqueness of a successful business replica. Haphazard and irregular marketing will not manufacture the preferred outcome; so create a sustained and harmonized try to add to the sales. Never undervalue the charge implicated at dissimilar phases of selling your product. IV. CONCLUSION Its generally a hypothesis among many businesses that, if their product is superior to their competitor's, it
will sell by itself. Such statements can badly affect the endeavor. Still a well-known business has to marketplace effectively, so that it can stay in earnings and expand new-fangled clients. In no manner rely entirely on sales council or rewarded advertisements. Their most important aim is to get their own sale during, and hence will never give a right description of the market activities. Formulate that you are sure that you have a regimented and dyed-in-the-wool system to follow the market and a marketing procedure of your own. Every successful business has one ordinary feature and that is, obedience to business ethics even in times of catastrophe. So, its obvious that if such business houses endeavor ethical accomplishments and follow some of the above mentioned strategies they are sure to prosper. REFERENCES
[1] [2] Marketing Strategies. Wikipedia, The Free Encyclopedia. 20 Mar. 2011 <http://en.wikipedia.org/wiki/Marketing_strategy>. Marketing Strategies for Small Businesses. The Toilet Paper Enterpeneur. 22 Mar. 2011 <http://www.toiletpaperentrepreneur.com/skilltoolbox/marketing-strategies-for-small-business>. Marketing Basics for the Small Businesses. About.com. 22 Mar. 2011 <http://marketing.about.com/od/marketingbasics/a/smmktgbasic s.htm>. Marketing Strategy. BusinessTown.com. 21 Mar. 2011 <http://www.businesstown.com/marketing/strategy.asp
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Developing a Small Business

Chamandeep Goyal, Pawan Kumar, and Piyush Kansal
I. INTRODUCTION A small business can be defined as that kind of business, which is privately owned by and operated with a small number of employees and relatively low volume of Sales. Small businesses are normally privately owned corporations, partnerships, or sole proprietorships. The legal definition of "small" varies by country and by industry, ranging from fewer than 15 employees under the Australian Fair Work Act 2009, 50 employees in the European Union, and fewer than 500 employees to qualify for many U.S. Small Business Administration programs. Small businesses can also be classified according to other methods such as sales, assets, or net profits. Small businesses are common in many countries, depending on the economic system in operation. Typical examples include: convenience stores, other small shops (such as a bakery or delicatessen), hairdressers, tradesmen, lawyers, accountants, restaurants, guest houses, photographers, small-scale manufacturing, and online business, such as web design and programming, etc. II. OBJECTIVES Global trends have suggested that small business is the biggest contributor to the economy of any country. Small business is big in India too. It is one of the most crucial sectors of the economy in terms of the number of employments generated. As more than 65% of its population lives in rural and semi rural areas, small business is one of the most viable options for the population residing in these areas. After agriculture, small business in India is the second largest employer of human resources. In India an industrial undertaking that has investments in fixed assets which do not exceed more than Rs.10 million falls under the category of small business. The Government of India has undertaken several reforms to attract more investors to the small business sector in India. Some of the reforms undertaken include provision of training facilities, availability of machinery on hire-purchase terms, special bonus for setting up small business in backwards areas, tax deduction for small business and assistance for marketing the products in domestic markets and exports. All small business in India needs to get registration from Director of Industries of the respective state government. Most states across India follow a uniform process of registration, though there may be slight variation from state to state. There are various reasons due to which the small scale business in India has witnessed a spurt of growth. Chief among them are an increase in the export potential of Indian goods, the industry is less capital intensive, the industry has availability of manpower training facility, there is ease of machinery and manpower procurement, goods from some of the sectors are exclusively purchase by government and there is also reservation of exclusive manufacture of goods in this sector. List of some of the items reserves for exclusive manufacture: Food and allied Industries Textile Products Including Hosiery Art Silk/Man-Made Fiber Hosiery Wood and Wood Products Paper Products Rubber Products Plastic Products Leather and Leather Products Chemicals and Chemical Products All small business is liable to be de-registered if they are found to be violating any of the mandatory registration norms. Some of the measures taken by small scale industries that can attract recognition include surpassing the investment limit, manufacturing of any new item that requires industrial license or if the enterprise does not satisfy the condition of being owned, controlled or being the subsidiary of any other industrial undertaking The growing business trend in India indicates that the small business sector in India is poised for much higher things. Investors in this sector must ensure that they make use of all the resources available to reap the benefits. So the main aim of this research paper is to give new ideas for small business A. Recommendations You own a small business. You want it to succeed. You know that your competitors are many and well established. How do you make a difference? How do you ensure that your services and products are in demand? USP (Unique Selling Proposition), differentiators, you've heard them all and know that ultimately it may boil down to your competition offering cheaper services. You wish to succeed despite all this and need a good business plan. Well, to be frank, we've been in the small and medium segment for the past 5 years and have gathered some useful information on the way. No secrets, but useful ideas and advice that may be useful
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for business start ups. This article compiles them for your use. B. Ideas for a Small Business Start up We begin by assuming that you are in the business you love. If you are not, the first tip we have for you is that you find something about it to like or move to something that you are passionate about. Cash! Plans! Cash forecasting and financial plans are next on the agenda. A planned budget, a measurement process, both short and long term will help your business start up. It's imperative that you know your projected income or revenue and cash expenditures to drill down to your cash flow. Research your business, your competition, and the industry and stay current and then define your USP. (Unique Selling Proposition) Read, read, and read! Get start up advice, join organizations that will help you, get on to the net and do all your homework there. If you can differentiate and find that USP, leverage it to the maximum. It helps to establish and fall back on a trustworthy mentor or advisory board. It could even be family, someone whom you can bounce ideas off, and get an objective opinion on your USP among other factors. Build networks - Meet with people and build a strong business support structure. Discipline and motivation - Plan and schedule work, execute quality project management methods. Review your business methods and ideas periodically and make the necessary changes. Prepare for change - an inevitable part of your business plan. Force change. Evaluate competition and benchmark against them. Become an agent of change. Innovate. When faced with competition, don't panic. The more the players, it simply implies that you are serving an educated market. All you have to do is to persuade customers that your services and product are better - a key factor in your business plan. Finally, business is all about attitude, perseverance and passion. Achieve the right balance between work, play and family to avoid losing the big picture.
Build reputation, momentum and market leadership Identify and protect Intellectual Property Promote your business through multiple channels Build partnerships Build trust and credibility with customers through outstanding follow-up services Look for ways to increase profits Give your business a web presence Automate wherever possible Sell based on value Build on differentiators like - experience, better methodologies and a better team Offer money back gurantees
D. Marketing Strategies for Small Business When you do spend money on marketing, do not forget to create a way to track those marketing efforts. You can do this by coding your ads, using multiple tollfree telephone numbers, and asking prospects where they heard about you. This enables you to notice when a marketing tactic stops working. You can then quickly replace it with a better choice or method. Small business is the engine of economic growth. While the definition varies, the Association of Small Business Development Centers states that there are currently over 22 million small businesses in the United States and the number is growing rapidly, with over 800,000 started in 2001, alone. Small business accounts for 99 percent of all U.S. businesses. These small businesses employ 53 percent of the private work force and contributes over half of the nation's private gross domestic product. Small businesses are clearly vital to the nation's economy, but from an individual perspective, the success of a small business is directly tied to the hopes and dreams of those intrepid souls who venture into the marketplace with a good or service, in hopes of making a success of it. The U.S. government and private resources are available to help small business owners grow their companies and compete with larger firms in an industry, but some industries are better suited for a small business configuration than others. Complicating the picture for the small business owner is the explosion in e-commerce and online marketing tools available today, but in the rush to jump on the Internet bandwagon, many small businesses have failed to realize the advantages and benefits this medium can provide by ignoring some fundamental marketing principles that can make or break a small business." I have to assume that you're unhappy with your small business marketing. If you weren't, why would you have clicked your way to an article on effective marketing strategies for small businesses?
C. More Differentiators for a Small Business Start up Expand customer base Identify your USP (X-factor) Build efficient systems and a good team
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I'm also going to assume that you're unhappy with your small business marketing because it hasnt been doing anything for your bottom line. After all, that's the bottom line for effective marketing. Effective marketing strategies are the ones that result in more sales and more profits. This Small Business Marketing Makeover will show you how to avoid wasting time and money on ineffective marketing strategies and how to pick and implement effective marketing strategies instead. Follow these steps: E. Look at Your Small Business Marketing from the Right end of the Telescope. Too many small businesses get and stay hung up on the cost factor of marketing. The first question they ask about any marketing strategy is, "How much does that cost?" This is entirely the wrong question. The right question is "Will that target the right market?", the market of potential customers for your products and/or services. For instance, creating and distributing flyers is an inexpensive marketing strategy that small businesses often use probably because it's so inexpensive. Now suppose that you run a small business selling ski equipment. You design a bunch of flyers on your home computer, print them, and then go down to your local Community Centre and put one of the windshield of every vehicle in the parking lot - the night of the big Annual Horticultural Society meeting. Unless a lot of little old ladies suddenly decide to take up snowboarding, you've just wasted most of your time and energy. Sure, it was inexpensive marketing but it's not effective marketing. You need to switch your telescope around and look through it from the right end - the end that will keep you focused on customer-directed rather than costdirected marketing. F. Focus on Your Target Market. Dump the idea that everyone in interested in your products and/or services. They're not. The reality is that only people who feel they have a need for your products and/or services will be interested in them and those are the people your marketing has to reach. They are your target market. Step 1 of effective small business marketing is knowing who these people are. So first, read How to Find and Sell to Your Target Market and learn how to zero in on your target market by using market segmentation. Then work through Writing a Business Plan: The Market Analysis. This article, part of The Business Plan Outline series, directs you to write out your Market Analysis in paragraph form. You don't have to do that
as you're not writing a business plan, but you do need to write down answers to the questions about your target market. G. Find Your Target Market. Step 2 of effective small business marketing is focusing your efforts on your target market and no one else. To do this, you have to know how the people in your target market behave. You already know a fair bit about these people from the Market Analysis you just completed. To help choose the most effective marketing strategies to reach these people, you need to know the answers to just two more questions: How do the people in your target market access information? For example, do they read newspapers and magazines, watch television, text, web surf, email? Each of these ways of accessing information demands different marketing strategies. Where do the people in your target market hang out? Mainly at home? Shopping malls? Gyms or fitness centres? Skateboard parks? I find the easiest way to do this is to pretend my target market is an individual. Try it. Create an avatar, a fictional person that represents a person in your target market, and answer the two questions above as completely as you can. H. Evaluate Your Current Small Business Marketing Efforts. Now that you know exactly who your small business marketing efforts need to reach, you're ready to judge what you've been doing. I. Choose and Implement at Least two Effective Marketing Strategies.
If you worked through this marketing makeover to this point and the results of the last exercise were that your avatar was extremely likely to see and respond to all of your current marketing efforts, that's excellent! I recommend choosing and implementing at least one more marketing strategy that has a very likely chance of reaching your target market avatar and tweaking your current marketing efforts to make sure they pinpoint your target market avatars needs as much as possible. Remember, most people need to see and hear a message three to seven times before they will buy, so marketing strategies that allow repetition of the message over time are always going to be more effective than one-shot marketing strategies. If, as in my example of selling lingerie to Julie, your marketing efforts to this point have been a washout, the good news is that youre starting with a clean
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slate. As "Julie" has never seen or heard your marketing messages before, they'll all be fresh and new to her! You want to choose two new marketing strategies that would be most likely to reach your target market avatar and implement them. Following through with the Julie example, I have to get my message where Julie is if I'm going to reach her. One thing I want to do is get my marketing onto the 'Net because that's where Julie gets most of her information. My first marketing strategy is going to be to create a Facebook page or a website to give me and Julie the chance to find each other. Based on what I know about Julie, I have three main points of connection; young children, exercise and cooking. One marketing strategy I could use to connect with Julie is to place ads on websites about these topics. Another might be to create and use a Twitter account (which I would use to tweet about these topics as well as my lingerie products).s Note that these are not the only marketing strategies that I might use that would be successful. These are just three of many that I've chosen for this example. J. Set Time Frames to Evaluate Your Marketing Efforts.
a month or so and then abandoning it because "it's not getting results." Give it the time it needs to succeed. How long? That depends on which marketing strategies you're working. For instance, if I had created a Facebook page or a website, I would be evaluating its effectiveness at six months and again at the one year mark, at which point I would decide whether or not it was worth continuing. A strategy such as placing online ads, though, would have a shorter time frame for evaluation, such as three months (assuming that I had placed a cycle of ads rather than 'one-shots'). Do what you need to do to remind yourself to return and evaluate your marketing efforts in terms of their effectiveness in reaching your target market; make an entry in your Blackberry, your Day-Timer, your email or whatever other calendar system you use to do this on a specific date for each marketing strategy. III. CONCLUSION Build your business faster by developing a strong website that effectively attracts and converts new clients. we can show you how. We will help you get more customers by researching your market and developing and writing and effective marketing campaign.The Original Quill will help simplify your business so you can WORK LESS by working with you to systematize your business... so it virtually runs itself. Are you using a CRM (Customer Relationship Management) to manage your business? Because CRM helps any business enterprise very much to be established and loyal among the customers.
The trick to this step of effective marketing is to make sure that your time frames are reasonable. Marketing, like exercise, does not produce instant results; it's the repeated practice that gets you to your goal. So don't make the mistake that so many people make of implementing your new marketing strategy for
Human Resource Management (HRD)

Meenakshi Goyal, Rashpinderdeep Kaur, and Neha Goyal
MBA-I sem-IInd (Baba Farid College of Management & Technology)
AbstractHuman Resource Development (HRD) is the framework for helping employees develops their personal and organizational skills, knowledge, and abilities. Human Resource Development includes such opportunities as employee training, employee career development, performance management and development, coaching, mentoring, succession planning, key employee identification and organization development i.e. the main aim of HRD is to bring about an all round development of the people in an organization.
The ultimate of training is improving work ethics of employees for raising the standards of organization performance. HRD must lay emphasis on excellence. Excellence is a state of mind which prepares the employees to perform their duties with dedication. III. INTRODUCTION OF HRD
I. OBJECTIVES OF HRD To provide a comprehensive framework for the overall development of people in the organization. To develop the capabilities of each individual in relation to his present and expected future roles. To develop and maintain high level of motivation of employees. To develop the sense of team spirit, team work and inter term collaboration in the organization. To develop the overall health and self renewing capabilities of total organization. To generate systematic information about human resources for the purpose of manpower planning, placement etc. II. IMPLEMENTATION OF HRD HRD can be successfully implemented only when personnel in an organization, both at the top and higher levels, have implications of HRD. Such understanding on the part of management and staff would result in commitment. For the implementation of HRD, a time bound plan should be developed by the management. The implementation building morale and motivation among the members of an organization. The management must provide proper counseling and mentoring to its employees. Developing team work is another essential for the implementation of HRD. HRD climate creates interest and motivation among the employees to stay long in an organization. HRD should pay more attention to the development of their emotional intelligence.
The part of human resource management (HRM) which specifically deals with training and development of the employees. HRD would include training an individual after he/she is first hired, providing opportunities to learn new skills, distributing resources which are beneficial for the employee's tasks, and any other developmental activities. The focus of all aspects of Human Resource Development is on developing the most superior workforce Human Resource Development can be formal such as in classroom training, a college course, or an organizational planned change effort. Or, Human Resource Development can be informal as in employee coaching by a manager. Healthy organizations believe in Human Resource Development and cover all of these bases. IV. DEFINITION OF HRD According to C. Leon Magginson, HRD may be defined as development of people by proving the right environment where each individual may grow to his fullest potentials. Human resources are viewed as a total knowledge, skills, creative abilities, talents and aptitudes of an organizations workforce as well as values, attitudes and beliefs of individuals involved. V. HISTORY The term "Human Resource Development" was coined by Leonard Nadler, professor emeritus at George Washington University and author of "The Handbook of Human Resource Development." Nadler first publicized the term at the 1969 American Society for Training and Development conference in Miami. With his wife, Zeace, Nadler has since written many books about training and development, including "Every Manager's Guide to Human Resource Development." VI. FEATURES OF HRD HRD is planned and systematic approach to the development of people.HRD is system consisting several interdependent and interrelated subsystems.
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HRD is continuous and dynamic process which believes that there is no end of the development of an individual and the learning process can continue throughout the life. HRD is inter disciplinary approach. It involves collection of ideas for many sciences for the development of the people. HRD has both micro and macro aspects.
Benefites for HRD Human capital is a precious commodity that plays a vital role within organizations and contributes directly to their success or failure. The most successful organizations are those that motivate, train and monitor their workforce to function as the backbone of their firms. HRD, or human resource development, is a systematic process in which individuals and groups are trained to acquire new competencies to make them more self-reliant and improve their effectiveness in the realization of organizational goals. HRD improves the capabilities of the people by making them better aware of skills required for job performance and by improving clarity about performance standard. HRD improves team work. Employees become more open towards each other and they also trust each other. HRD helps the organization in procuring the right people at right time and in making their effective use. HRD generates a lot of useful data which facilitates human resource planning and control. Performance related rewards help employees realize the importance of utilizing their skills fully in the service of organizational goals.
implies multifunctional workers. The process is designed in such a way that each worker can handle two or more machines and move from one center to another. Empowerment: empowerment believes in giving more power to the lower levels to improve productivity and performance. But now a days the issue is not whether to give empowerment to workers or not, rather the issue how empowerment should take place. Benchmarking: dynamic companies are constantly monitoring information from the external environment to compare their process, products and services with the best industry practices known as bench marking. Bench marking is the practice of identifying, studying and building upon best practices in the industry or in the world. Learning organization: learning originations have competence to learn, create, codify and use knowledge faster than their rivals. C. Suggesions for Good HRD This one is generally known to everyone but wanting due to its complexity and dimension. Nevertheless it is very important and I will call it Introductory. . Know the job, skills and the process thoroughly . Hire a Placement Consultant Convey clearly the Requirements to the Consultants When you receive the Resumes, do not get carried away by the looks and the presentation methodology. Nowadays many candidates get their resumes edited by professionals, wherein the presentation is spruced up; the content is improved with superlatives. So just don't get carried away. Read the resume twice. Call the candidate. Have a discussion for at least 15 minutes before you think of rejecting him or calling him for the technical interview. If the candidate is suitable for the job....Do hurry up. Get him technically interviewed as early as possible. Finish off quickly with the salary discussions and send an offer letter ASAP. You see, every good candidate is being hounded nowadays. He has many offers up his sleeve. So if the candidate is good, hurry up with all the formalities and ensure that he has joined your organization. It will be a waste of time and a loss to the organization, if you lose the candidate after putting sincere and great efforts. Be abreast with the market value of professionals. This is possible if you are in touch with the previous employees of your company. A lot of information is also available
B. HRD strategies Total quality management (TQM): TQM is a dynamic concept like HRD. TQM aims at continuous improvement in the quality of products, which calls for the improvement in the quality of work of employees through training and development. Kaizen: kaizen as Japanese word which means continuous improvement with the improvement of everybody in the organization so as to generate value for customers. The message of Kaizen Strategy is that not a day should go without some kind of improvement being made somewhere in the organization. Just in time production: it is also called hand to mouth approach to production. JIT focus attention on eliminating waste by purchasing or manufacturing just enough of the right items just in time.JIT approach
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on the net regarding the current salaries. So do read. Keep a list handy of key employees. Get it from the departmental heads. Be careful of those key employees about to complete a year. They are on the hunt for fresh pastures. Do call them for a cup of tea. Be a friend to them. Get what's in their mind discreetly. Are they planning a move? And what are their salary expectations? What is his current market value? Call up his departmental head. Discuss with him... If required call up your placement consultant and get to know if his updated resume is registered with any Jobsite and get a copy of the same if possible... Analyze and decide the value of the key employees. VII. CONCLUSION
that they can contribute their best to the organization, society and nation. In simple words, HRD plays the role of the match maker. It maintains the organizational need for the human resources with the individual needs for career growth and development. To conclude, HRD is the essential ingredient of any human resource system poised to achieve productivity, quality, efficiency and effectiveness HRD is like an insurance policy; one has to keep the premium high. A value based principled life supported by consistent hard work and dedication can help an individual to achieve his dreams. REFERENCES
[1] [2] [3] [4] Shashi K. Gupta, Rosy Joshi (2002), Human Resource Management. www.ehow.com/about_5417857_introduction humanresources.about.com/od/glossary... www.businessdictionary.com/definition
The main aim of HRD is to bring about an all round development of the people in the organization. So
Ethics in HRM
Simerjeet Kaur, Gagandeep Kaur, Amandeep Kaur, and Manpreet Singh
Students MBA 2nd semester Baba Farid College of Management and Technlogy
AbstractEthics morality and values , ethics is the study of morality moral are the standard used to judge right and wrong .Values are the degree of conviction about the way to conduct file .At its most basic level it means acting purely and hon stlye in individual as well as group decision making .On a business level , it can refer for to fair and honest competition acting without deception or misrepresentation and working without the boundaries of the law.In the wake of corporate scandals over the past several years, most organizations have written or updated their codes of conduct and ethics rule. HRM: The human resource management function includes a variety of activities and key among them is deciding. Meaning of ethics in HRM: The ethics of human resource management covers those ethical arising a round the employee employer relationship, such as the rights and duties owed between employee and employer.
I. OBJECTIVES Why ethics are important for an organization. How these are helpful for decision making. To helpful for maintain the discipline II. INTRODUCTION Everyday managers and employees need to make decisions that have moral implications and those decision impact their companies shareholders and all the other stakeholders in interest. Conducting business in an ethical manner is necessary for every one in an organization for legal and business reasons as management. It is important to understand you ethical obligations so that you can meet your companys expectations well as model appropriate behavior. Ethics: Ethics is a set of standard for judging what is right or wrong, and then doing the right thing but the right thing is not nearly as straight forward as ion eyed in a great area of business ethics literature. At its most basic level, it means acting purely and honestly in individuals as well as group decision making. On a business level , it can refer for to fair and honest competition acting without deception or misrepresentation and working without the boundaries of the law.In the work of corporate scandals over the past several years most organizations or updated their codes of conduct and ethics rule. A. Ethics in Human Resource Management The ethics of human resource management covers those ethical issues arising the employee employer relationship, such as the rights and duties owed between employer and employee.
Importance: Ethics are becoming more and more important and human resource departments are vital in establishing ethics guidelines. As we celebrate this growing empowerment of employees, companies must ensure those employees always act ethically ethics should be instinctive when making decisions and a good ethics programme can successfully guide, employees through the decision making process. Where once manager called the shots employees followed suit, employees now need that support system to clear up any questions they have, questions that managers are no longer around to answer well-communicated guide lines help set the standards for employee. An important part of an ethics program is increasing awareness levels. Companies with ethics program fund that many unethical decisions are not of deliberate commission but of ignorance an effective ethics program can be an important tool in an organizations because as employees learn to use this tool, they become more confident in the self-regulating atmosphere of the new workplace. A clearly explained code of ethics plays a vital role in employee empowerment by clearing up any questions on their own code of ethics are suggested for institution zing ethical behavior. A code of ethics is a formal document that states an organizations primary values and ethical rules it expect employee to follow. It has been suggested that codes should be specific enough to show employees the spirit in which they should do things, yet loose enough to allow freedom of judgment. HR must be careful when establishing a code of ethics, In order for the code to be effective, he should be careful not to important issues such as personal thereafter matters product safety, product quality environment affair, or community affairs. Ethics are becoming more and more important hr must contiually revise the code of ethics to address issues that come up in the changing workplace. Corporate must ensure code of ethics is used effectively and not just as window dressing. The se effectiveness depends heavily on whether management supports them and how employes who break the code are treated. When management considers them important, regularly affirms their content and publicy reprimands rule breakers code can supply foundation for an effective ethics program. However the ethics battle is not only about how an organization punishes those who engage in unethical behavior but how the company rewards both good and bad behavior e.g: A company can provide ethics guidelines and detailed conduct codes, he can offer training and establish an ethics hot lines for
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questions and problems, but it is the reward system and the organizational behavior that the people know the real story. If a manager turn his or her head looks the other way where it comes to a top salesman who is the desired behavior must start from top and work its way through the entire organization this means manager must be honest and expect homely from their employees by establishing clear-cut policies, guidelines and rules. It is up to up to make sure employees fully understand the repercussions of ethical misconduct and that such behavior will not be tolerated. Ethics guidelines must be easy to use and even inviting to employees A good ethics program provides both verbal and written reinforcements and offer and variety of packages for employee to learn about ethics .Although a usable ethic code and an accessible ethics will help get the message out, a successful effort require active communication, education and training a key role of the hr department. More and more hr department are setting up hotlines, seminars workshops and similar ethics training program to try to increase ethical behavior. recent estimates 33% of companies provide some ethical training. The primary debate is whether or not you can actually teach ethics . III. BENEFITS
quality problem doesnt effect part function of the customer problem dont have notice. An employee spends several hours a week on his cell phone talking with His children and their associated school. A salesman makes parts sold in the company data base even though his sale is certain. V. SUGGESTION
Review which values produce the top three or four traits of a highly ethical and successful product or service in your area. Identify values needed to address current issues in your work place. Swot analysis. Consider any top ethical value that might be prized by stakeholders. Include wording that indicates all employees are expected to confirm to the value seated in the code of ethics. Announce and distribute the new code of ethics. Update the code at least once a year. VI. CONCLUSION
There are some benefits of ethics in HRM: Attention to business ethics has substantially improved society. Ethics program help maintain a moral course in turbulent times. Ethics program cultivate strong team work and productivity. Ethics program supports employee growth. IV. FINDINGS We find that sometimes an organization has to face many challenges: An employee surfs the internet shopping for personal items on company times. A plant manager decide to ship product to a customer even though he knows the parts have
Ethics become more and more internal concern of organization especially human resource management plays a decisive role in introducing and implementing ethics of a number of ethical framework and their application in HRM policies and procedure are reviewed. Many large corporate now have formal program for managing ethical behavior and legal companies but the often minor role of human resources in companies ethics management efforts is problematic this is because ethics management efforts are likely to raise questions of fairness and trigger a fairness among employees that can generate important comes for the ethics program specifically and the organization generally. Whenever you are required to make a difficult decision especially one that is ethically challenging select an option that you would be comfortable describing to the nation on the everything new.
Factor Affecting Consumer Behaviour

Kiran khurana, Pradeep, Ramandeep, and Satvir
Students MBA 2nd semester Baba Farid College of Management and Technology
AbstractAn individual who buys products or services for personal use and not for manufacture or resale. A consumer is someone who can make the decision whether or not to purchase an item at the store and someone who can be influenced by marketing and advertisement any time someone goes to store and purchases a boy, shirts, brewages or anything they are making that decision as a consumer. Consumer behavior is the way a person reacts to purchase focused marketing material or actions. It can be the psychology behind interpreting an advert, to why people look at the middle shelves before the ones closest to the ground. It is how you behave in shops, online or even when you talk about products/services to the people. Customer behavior study is based on consumer buying behavior, with the customer playing the three distinct roles of user, payer and buyer. Relationship marketing is an influential asset for customer behavior analysis as it has a keen interest in the re-discovery of the true meaning of marketing through the re-affirmation of the importance of the customer or buyer. A greater importance is also placed on consumer retention, customer relationship management, personalization, customization and one-to-one marketing. Social functions can be categorized into social choice and welfare functions. Each method for vote counting is assumed as social function but if Arrows possibility theorem is used for a social function, social welfare function is achieved. Some specifications of the social functions are decisiveness, neutrality, anonymity, monotonic, unanimity, homogeneity and weak and strong Pareto optimality. No social choice function meets these requirements in an ordinal scale simultaneously. The most important characteristic of a social function is identification of the interactive effect of alternatives and creating a logical relation with the ranks. Marketing provides services in order to satisfy customers. With that in mind, the productive system is considered from its beginning at the production level, to the end of the cycle, the consumer The objective of this research paper is to know the various factors which effects consumer behaviour.
of consumer such as social, cultural, personal and psychological. According to walter C.G.: The process where by individuals decide whether, what, when, where, how and from whom to purchase goods and services. According to Hawkins, Consumer behaviour is the study of individual, groups, or organizations and the processor they are to select, secure, and dispose the products and services, experience or ideas to satisfy needs and the impacts that these processes have on the consumer and the society. II. FACTOR AFFECTING CONSUMER BEHAVIOUR
The factors which influenced consumer buying behaviour are psychological factor, social factor, cultural factor, personal factor. etc. A. Psychological Factors There are four important psychological factors affecting the consumer buying behavior. These are: perception, motivation, learning, beliefs and attitudes. Motivation The level of motivation also affects the buying behavior of customers. Every person has different needs such as physiological needs, biological needs, social needs etc. The nature of the needs is that, some of them are most pressing while others are least pressing. Therefore a need becomes a motive when it is more pressing to direct the person to seek satisfaction. Perception Selecting, organizing and interpreting information in a way to produce a meaningful experience of the world is called perception. There are three different perceptual processes which are selective attention, selective distortion and selective retention. In case of selective attention, marketers try to attract the customer attention. Whereas, in case of selective distortion, customers try to interpret the information in a way that will support what the customers already believe. Similarly, in case of selective retention, marketers try to retain information that supports their beliefs. Learning Learning is a continuous process. It is continuous process of acquiring knowledge and skills though study, experinance and other things.
I. MEANING OF CONSUMER BEHAVIOUR Consumer behavior refers to the selection, purchase and consumption of goods and services for the satisfaction of their wants. There are different processes involved in the consumer behavior. Initially the consumer tries to find what commodities he would like to consume, then he selects only those commodities that promise greater utility. After selecting the commodities, the consumer makes an estimate of the available money which he can spend. Lastly, the consumer analyzes the prevailing prices of commodities and takes the decision about the commodities he should consume. Meanwhile, there are various other factors influencing the purchases
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Personality Personality consists of the manner, sms, habit, actions that make a person distinct from everyone else. Each person has personality characteristic that influence his or her buying behavior. Beliefs and Attitudes Customer possesses specific belief and attitude towards various products. Since such beliefs and attitudes make up brand image and affect consumer buying behavior therefore marketers are interested in them. Marketers can change the beliefs and attitudes of customers by launching special campaigns in this regard.
finance manager and other of mother. Therefore her buying decisions will be influenced by her role and status. III. CULTURAL FACTORS Consumer behavior is deeply influenced by cultural factors such as: buyer culture, subculture, and social class. Culture Basically, culture is the part of every society and is the important cause of person wants and behavior. The influence of culture on buying behavior varies from country to country therefore marketers have to be very careful in analyzing the culture of different groups, regions or even countries. Subculture Each culture contains different subcultures such as religions, nationalities, geographic regions, racial groups etc. Marketers can use these groups by segmenting the market into various small portions. For example marketers can design products according to the needs of a particular geographic group. Social Class Every society possesses some form of social class which is important to the marketers because the buying behavior of people in a given social class is similar. In this way marketing activities could be tailored according to different social classes. Here we should note that social class is not only determined by income but there are various other factors as well such as: wealth, education, occupation etc. IV. PERSONAL FACTORS Personal factors can also affect the consumer behavior. Some of the important personal factors that influence the buying behavior are: lifestyle, economic situation, occupation, age, personality and self concept. Age Age and life-cycle have potential impact on the consumer buying behavior. It is obvious that the consumers change the purchase of goods and services with the passage of time. Family life-cycle consists of different stages such young singles, married couples, unmarried couples etc which help marketers to develop appropriate products for each stage. Occupation The occupation of a person has significant impact on his buying behavior. For example a marketing manager of an organization will try to purchase business suits, whereas a low level
B. Social Factors Social factors also impact the buying behavior of consumers. The important social factors are: reference groups, family, role and status. Reference Groups Reference groups have potential in forming a person attitude or behavior. The impact of reference groups varies across products and brands. For example if the product is visible such as dress, shoes, car etc then the influence of reference groups will be high. Reference groups also include opinion leader (a person who influences other because of his special skill, knowledge or other characteristics). Family Buyer behavior is strongly influenced by the member of a family. Therefore marketers are trying to find the roles and influence of the husband, wife and children. If the buying decision of a particular product is influenced by wife then the marketers will try to target the women in their advertisement. Here we should note that buying roles change with change in consumer lifestyles Opinion leader Opinion leader like reference group, opinion leader play a key role in influence the buying behaviour of their follows. An opinion is the person who offers informal advice or information about a specific product or product category such as which of several brand is best or how a particular product may be used. Opinion leader are often highly confident, socially active and involved with category. Roles and Status Each person possesses different roles and status in the society depending upon the groups, clubs, family, organization etc. to which he belongs. For example a woman is working in an organization as finance manager. Now she is playing two roles, one of
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worker in the same organization will purchase rugged work clothes. Economic Situation Consumer economic situation has great influence on his buying behavior. If the income and savings of a customer is high then he will purchase more expensive products. On the other hand, a person with low income and savings will purchase inexpensive products. Lifestyle Lifestyle of customers is another import factor affecting the consumer buying behavior. Lifestyle refers to the way a person lives in a society and is expressed by the things in his/her surroundings. It is determined by customer interests, opinions, activities etc and shapes his whole pattern of acting and interacting in the world. Personality Personality changes from person to person, time to time and place to place. Therefore it can greatly influence the buying behavior of
customers. Actually, Personality is not what one wears; rather it is the totality of behavior of a man in different circumstances. It has different characteristics such as: dominance, aggressiveness, self-confidence etc which can be useful to determine the consumer behavior for particular product or service. V. CONCLUSION There are various factors which effects the consumer behaviour and the marketer has to know about these factors so that the marketer is able to win his customers by his product. In this competitive world where a customer has number of options and alternatives, a marketer has to keep this thing in mind that the product should be made keeping this thing in mind that the customers is going to like or dislike the product .the success depends on the customer who is the king of the market. so before developing a new product a marketer has to study the behaviour of the customer.
Management
Arundeep Singh, Gurwinder Singh and Priyanka Singh
Students of BFCMT E-mail: arundeepbrar@gmail.com, gurwindersran1992@gmail.com, Priyanka.9878@yahoo.com
AbstractManagement plays a precious role in every organization. Without Management no business can run. Management is key role of every business. Management focuses on the whole organization from both short and long-term view. Management intends to increase the efficiencies of organizations.. Management is an essential ingredient of any group activity. In organizations, there are generally three different levels of managers: Low-level managers, middle-level managers, and top-level managers. These levels of managers are classified in a hierarchy of importance and authority, and are also arranged by the different types of management tasks that each role does. Today in every organization, management uses principles and different techniques to solve the issues and problems which was earlier given by our Management Gurus. It becomes very important to understand the management role.
I. INTRODUCTION Management plays an important role in every organization. Without Management no business can prosper. Management is key success of every business. Management is the process of planning, organizing, leading, and controlling the efforts of organization members and of using all other organizational resources to achieve stated organizational goals. Management focuses on the whole organization from both short and long-term view. Management intends to increase the efficiencies of organizations. Its about creating the most of the resources entrusted to you, and assembling sure the expectations of clients, employees and shareholders are met. Management is an essential ingredient of any group activity. The verb manage comes from the Italian maneggiare (to handle especially tools), which in turn derives from the Latin manus (hand). The French word mesnagement (later mnagement) influenced the development in meaning of the English word management in the 17th and 18th centuries. The term management has been used in different senses. Management refers to the act of getting people together to accomplish desired goals and objectives using available resources efficiently and effectively. Management includes planning, organizing, staffing, leading or directing, and controlling an organization or an effort for the purpose of accomplishing an objective of an organization. Resourcing encompass the deployment and manipulation of human resources, financial resources, technological resources, and natural resources. Because organizations can be viewed as systems, management can also be defined as human
action, including design, to facilitate the production of useful outcomes from a system. This view opens the opportunity to 'manage' oneself, a pre-requisite to attempting to manage others. Some of the important definitions of management are as follows: Organization and coordination of the activities of an enterprise in accordance with certain policies and in achievement of clearly defined objectives. Management is often included as a factor of production along with machines, materials, and money. According to the management guru Peter Drucker (19092005), the basic task of a management is twofold: marketing and innovation. Directors and managers have the power and responsibility to make decisions to manage an enterprise. As a discipline, management comprises the interlocking functions of formulating corporate policy and organizing, planning, controlling, and directing the firm's resources to achieve the policy's objectives. The size of management can range from one person in a small firm to hundreds or thousands of managers in multinational companies. In large firms the board of directors formulates the policy which is implemented by the chief executive officer. II.AIM OF THE STUDY The main of our research paper is that as we are professional students, it is very important to understand management after B.B.A. We have to join corporate sectors, industries, companies, educational institutions and many more. So every success milestones, we have to understand what is management? What management does? How management perform? Why is management important? It is necessary for everyone to understand all the above stated questions regarding the management. So according to our self, necessary to study management and you all know that management is everywhere. III. HISTORICAL DEVELOPMENT Difficulties arise in tracing the history of management. Some see it (by definition) as a late modern (in the sense of late modernity) conceptualization. On those terms it cannot have a premodern history, only harbingers (such as stewards). Others, however, detect management-like-thought back
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to Sumerian traders and to the builders of the pyramids of ancient Egypt. Slave-owners through the centuries faced the problems of exploiting/motivating a dependent but sometimes unenthusiastic or recalcitrant workforce, but many pre-industrial enterprises, given their small scale, did not feel compelled to face the issues of management systematically. However, innovations such as the spread of Arabic numerals (5th to 15th centuries) and the codification of double-entry book-keeping (1494) provided tools for management assessment, planning and control. Given the scale of most commercial operations and the lack of mechanized record-keeping and recording before the industrial revolution, it made sense for most owners of enterprises in those times to carry out management functions by and for themselves. But with growing size and complexity of organizations, the split between owners (individuals, industrial dynasties or groups of shareholders) and day-to-day managers (independent specialists in planning and control) gradually became more common. A. Levels of Management In organizations, there are generally three different levels of managers: Low-level managers, middle-level managers, and top-level managers. These levels of managers are classified in a hierarchy of importance and authority, and are also arranged by the different types of management tasks that each role does. In many organizations, the number of managers in every level resembles a pyramid, in which the first-level has many more managers than middle-level and top-level mangers, respectively. Each management level is explained below in specifications of their different responsibilities and likely job titles. Top-Level Managers: It typically consists of Board of Directors, President, Vice President, Chief Executive Officers etc. These individuals are mainly responsible for controlling and overseeing all the departments in the organization. They develop goals, strategic plans, and policies for the company, as well as make many decisions on the direction of the business. In addition, top-level managers play a significant role in the mobilization of outside resources and are for the most part responsible for the shareholders and general public. Top-level managers typically consist of Board of Directors, President, Vice President, Chief Executive Officers etc. Middle-Level Managers: It typically consists of General Managers, Branch Managers, Department Managers, etc. These individuals are mainly responsible to the top management for the functioning of their department. They devote more time to organizational and B.
directional functions. Their roles can be emphasized as executing plans of the organization in conformance with the company's policies and the objectives of the top management, they define and discuss information and policies from top management to lower management, and most importantly they inspire and provide guidance to lower level managers towards better performance. Low-Level Managers: It typically consists of Supervisors, Section Officers, Foreman, etc. These individuals focus more on the controlling and direction of management functions. For instance, they assign tasks and jobs to employees, guide and supervise employees on day-to-day activities, look after the quantity and quality of the production of the company, make recommendations, suggestions, and communicate employee problems to the higher level above, etc. In this level managers are the "image builders" of the company considering they are the only ones who have direct contact with employees. Basic Functions of Management
Management operates through various functions, often classified as planning, organizing, staffing, leading/directing, and controlling/monitoring.i.e: Planning: Deciding what needs to happen in the future (today, next week, next month, next year, over the next 5 years, etc.) and generating plans for action. Organizing: (Implementation) making optimum use of the resources required to enable the successful carrying out of plans. Staffing: Job analyzing, recruitment, and hiring individuals for appropriate jobs. Leading/Directing: Determining what needs to be done in a situation and getting people to do it. Controlling/Monitoring: Checking progress against plans. IV. IMPORTANCE OF MANAGEMENT C. It Helps in Achieving Group Goals It arranges the factors of production, assembles and organizes the resources, integrates the resources in effective manner to achieve goals. It directs group efforts towards achievement of pre-determined goals. By defining objective of organization clearly there would be no wastage of time, money and effort. Optimum Utilization of ResourcesManagement utilizes all the physical & human resources productively. This leads to efficacy in management. Management provides
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maximum utilization of scarce resources by selecting its best possible alternate use in industry from out of various uses. Reduces Costs- It gets maximum results through minimum input by proper planning and by using minimum input & getting maximum output. Management uses physical, human and financial resources in such a manner which results in best combination. This helps in cost reduction. Establishes Sound Organization - No overlapping of efforts (smooth and coordinated functions). To establish sound organizational structure is one of the objective of management which is in tune with objective of organization and for fulfillment of this, it establishes effective authority & responsibility relationship i.e. who is accountable to whom, who can give instructions to whom, who are superiors & who are subordinates. Management fills up various positions with right persons, having right skills, training and qualification. All jobs should be cleared to everyone. Establishes Equilibrium - It enables the organization to survive in changing environment. It keeps in touch with the changing environment. With the change is external environment, the initial co-ordination of organization must be changed. So it adapts organization to changing demand of market / changing needs of societies. It is responsible for growth and survival of organization. Essentials for Prosperity of Society - Efficient management leads to better economical production which helps in turn to increase the welfare of people. Good management makes a difficult task easier by avoiding wastage of scarce resource. It improves standard of living.
saving of time, effort and money which is essential for the growth & prosperity of the enterprise. Maximum Prosperity for Employer & Employees - Management ensures smooth and coordinated functioning of the enterprise. This in turn helps in providing maximum benefits to the employee in the shape of good working condition, suitable wage system, incentive plans on the one hand and higher profits to the employer on the other hand. Human betterment & Social Justice Management serves as a tool for the upliftment as well as betterment of the society. Through increased productivity & employment, management ensures better standards of living for the society. It provides justice through its uniform policies. VI. PRINCIPLES OF MANAGEMENT
V. THE MAIN OBJECTIVES OF MANAGEMENT Getting Maximum Results with Minimum Efforts- The main objective of management is to secure maximum outputs with minimum efforts & resources. Management is basically concerned with thinking & utilizing human, material & financial resources in such a manner that would result in best combination. This combination results in reduction of various costs. Increasing the Efficiency of factors of Production - Through proper utilization of various factors of production, their efficiency can be increased to a great extent which can be obtained by reducing spoilage, wastages and breakage of all kinds, this in turn leads to
Division of Labor: He recommended that work of all kinds must be divided & subdivided and allotted to various persons according to their expertise in a particular area. Party of Authority & Responsibility: Authority without responsibility leads to irresponsible behavior whereas responsibility without authority makes the person ineffective. Principle of One Boss: A sub-ordinate should receive orders and be accountable to one and only one boss at a time. Unity of Direction: Fayol advocates one head one plan which means that there should be one plan for a group of activities having similar objectives. Equity Equity means combination of fairness, kindness & justice. The employees should be treated with kindness & equity if devotion is expected of them. Order This principle is concerned with proper & systematic arrangement of things and people. Arrangement of things is called material order and placement of people is called social order. Discipline According to Fayol, Discipline means sincerity, obedience, respect of authority & observance of rules and regulations of the enterprise. This principle applies that subordinate should respect their superiors and obey their order.
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Initiative Workers should be encouraged to take initiative in the work assigned to them. It means eagerness to initiate actions without being asked to do so. Fayol advised that management should provide opportunity to its employees to suggest ideas, experiences& new method of work. Fair Remuneration The quantum and method of remuneration to be paid to the workers should be fair, reasonable, satisfactory & rewarding of the efforts. Wages should be determined on the basis of cost of living, work assigned, financial position of the business, wage rate prevailing etc. Stability of Tenure Fayol emphasized that employees should not be moved frequently from one job position to another i.e. the period of service in a job should be fixed. Scalar Chain: Fayol defines scalar chain as The chain of superiors ranging from the ultimate authority to the lowest. Every orders, instructions, messages, requests, explanation etc. has to pass through Scalar chain. Sub-Ordination of Individual Interest to General Interest: An organization is much bigger than the individual it constitutes therefore interest of the undertaking should prevail in all circumstances. As far as possible, reconciliation should be achieved between individual and group interests. Espirit De Corps (can be achieved through unity of command)-: It refers to team spirit i.e. harmony in the work groups and mutual understanding among the members. Spirit De Corps inspires workers to work harder. Fayol cautioned the managers against dividing the employees into competing groups because it might damage the moral of the workers and interest of the undertaking in the long run. Centralization & De-Centralization Centralization means concentration of authority at the top level. In other words, centralization is a situation in which top management retains most of the decision making authority. Decentralization means disposal of decision making authority to all the levels
of the organization. In other words, sharing authority downwards is decentralization. VII. MAIN IMPORTANCE OF THE PRINCIPLES OF MANAGEMENT Improves Understanding- From the knowledge of principles managers get indication on how to manage an organization. The principles enable managers to decide what should be done to accomplish given tasks and to handle situations which may arise in management. These principles:-make managers more efficient. Direction for Training of Managers- Principles of management provide understanding of management process what managers would do to accomplish what. Thus, these are helpful in identifying the areas of management in which existing & future managers should be trained. Role of Management- Management principles makes the role of managers concrete. Therefore these principles act as ready reference to the managers to check whether their decisions are appropriate. Besides these principles define managerial activities in practical terms. They tell what a manager is expected to do in specific situation. Guide to Research in Management- The body of management principles indicate lines along which research should be undertaken to make management practical and more effective. The principles guide managers in decision making and action. The researchers can examine whether the guidelines are useful or not. Anything which makes management research more exact & pointed will help improve management practice. VIII. CONCLUSION Over the past hundred years management has continuously been Expanding or flourishing. There have been a wide variety of approaches in how to deal with management or better yet how to improve management functions in our ever changing environment. From as early as 1100 B.C managers have been struggling with the same issues and problems that manager's face today. Modern managers use many of the practices, principles, and techniques developed from earlier concepts and experiences to solve the issues and problems. REFERENCES
[1] [2] [3] http://www.oppapers.com/essays/Keys-SuccessfulManagement/180907 http://lucasmcdonnell.com/essential-knowledge-managementsites-and-blogs/ http://en.wikipedia.org/wiki/Management
Pestle Analysis McDonalds

Dhiraj Kumar and Vishek Wadwa
Students, BBA 4th Semester, Baba Farid College of Management and Technology I. INTRODUCTION Globalization has made the globe considerably smaller. States lines have turned into practically a divider separating certain regions of a massive unitary community. Businesses are the one that are highly affected by this occurrence. The virtual closeness of states has made trade and commerce an international event. Together with these advances, the key standards of business are similarly taken into account. The discussions in this paper shall involve an analysis of the international expansion strategy utilized by a multinational company. In this case, the situation surrounding McDonalds will be taken into consideration. The following annotations and propositions employed in the following discussions are to be supported by claims on journals and academic pieces that address international expansion strategies and international marketing theories. II. BACKGROUND The modest beginnings of McDonalds in Illinois turned out to be among the main brand names in the international scene. It has been synonymous to what is widely-accepted the fast-food concept. The company operates over thirty one thousand stores all over the world to date. It was one of the first to perfect the concept of fast service in the food industry in its early days of operations in 1955. Given that the products of the company are mainly western in character;their operation has also expanded to the Asian region. The first McDonalds store operated in Hong Kong in 1975. The first shop operated at Paterson Street in Causeway Bay. Up to this data, the functions of McDonalds in Hong Kong covers over two hundred restaurant chains spread in the whole of Hong Kong alone. In the rest of the globe, it operates thousands of store franchises that functions autonomously. III. PESTLE ANALYSI Pestle is an analysis of the external macro environment in which a business operates. According to (2008), pestle stands for political, economic, social, technology, and environmental factors. A. Political Factors The international operations of McDonalds are highly influenced by the individual state policies enforced by each government. (2001, 705) For instance, there are certain groups in Europe and the United States that clamour for state actions pertaining to the health implications of eating fast food. (2005) They have indicated that harmful elements like cholesterol and adverse effects like obesity are attributable to consuming fast food products. On the other hand, the company is controlled by the individual policies and regulations of operations. Specific markets focus on different areas of concern such as that of health, worker protection, and environment. All these elements are seen in the government control of the licensing of the restaurants in the respective states. For instance, there is an impending legal dispute in the McDonalds franchise in India where certain infringement of rights and violation of religious laws pertaining to the contents of the food. The existence of meat in their menus in India is apparently offensive to the Hindu religion in the said market. There are also other studies that points to the infringement of McDonalds Stores with reference to the existing employment laws in the target market. Like any business venture, these McDonalds stores have to contend with the issues of employment procedures as well as their tax obligations so as to succeed in the foreign market. B. Economic Factors Organisations in the fast food industry are not excused from any disputes and troubles. Specifically, they do have their individual concerns involving economic factors. Branches and franchises of fast food chains like McDonalds has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates. The customers consequently are faced with a stalemate of going over their individual budgets whether or not they should use up more on these foreign fast food chains. (2004) Hence, these chains may have to put up with the issues of the effects of the economic environment. Particularly, their problem depends on the response of the consumers on these fundamentals and how it could influence their general sales. In regarding the operations of the company, food chains like McDonalds tend to import much of their raw materials into a specific territory if there is a dearth of supply. Exchange rate fluctuations will also play a significant role in the operations of the company. As stated in the paragraph above, McDonald stores have to take a great deal of consideration with reference to their microenvironment. The companys international supply as well as the existing exchange rates is merely a part of the overall components needed to guarantee
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success for the foreign operations of McDonalds. Moreover, it is imperative that the company be cognizant of the existing tax requirements needed by the individual governments on which they operate. This basically ensures the smooth operations of the McDonalds franchises. In the same regard, the company will also have to consider the economic standing of the state on which they operate on. The rate at which the economy of that particular state grows determines the purchasing power of the consumers in that country. Hence, if a franchise operates in a particularly economically weak state, hence their products shall cost higher than the other existing products in the market, then these franchises must take on certain adjustments to maintain the economies of scale. C. Socio-Cultural Factors Articles on the international strategies of McDonalds seem to function on several fields to guarantee lucrative returns for the organisation. To illustrate, the organisation improves on establishing a positive mind-set from their core consumers. McDonalds indulge a particular variety of consumers with definite types of personalities. ( 1994) It has also been noted that the company have given the markets such as the United Kingdom, an option with regards to their dining needs. (2005) pointed out that McDonalds has launched a sensibly valued set of food that tenders a reliable level of quality for the respective market where it operates. Additionally, those who are aged just below the bracket of thirty-five are said to be the most frequent consumers of McDonalds franchises. (2005) The multifaceted character of business nowadays is reflected in the harsh significance of the information on the subject of the existing market. This procedure is essentially identified in the field as market research. (1997) Information with regards to the appeal and potential fields of the market would double as obstructions to the success of the company if this area of the operations is neglected. In the caseof McDonalds they establish a good system in determining the needs of the market. The company uses concepts of consumer behaviour product personality and purchasing decisions to its advantage. ( 1998) It is said to have a major influence on the understanding of the prospective performance of the organisation in a particular market. (2000) D. Technological Factors McDonalds generates a demand for their own products. (2006) The Companys key tool for marketing is by means of television advertisements. There are similarly some claims that McDonalds are inclined to interest the younger populations more. The existence of play spots as well as toys in meals offered by the company shows this actuality. (1995) other
demonstration of such a marketing strategy is apparent in the commercials of they use. They employ animated depictions of their characters like Grimace and Hamburgar. Other advertising operations employ popular celebrities to promote their products. The like has become endorsers for McDonalds worldwide loving it campaign. Moreover, the operations of McDonalds have significantly been infused with new technology. Elements like the inventory system and the management of the value chain of the company allows for easy payments for their suppliers and other vendors which the individual stores in respective markets deal with. The integration of technology in the operations of McDonalds tend to add value to their products. Basically, this is manifested in the improvements on its value chain. The improvement of the inventory system as well as its supply chain allows the company to operate in an international context. E. Legal Factors There has been the recurrent bellowing in opposition to the fast food industry. This has similarly made McDonalds apply a more careful consideration on their corporate social responsibilities. On the whole, this addressed the need of the company to form its corporate reputation to a more positive one and a more socially responsible company. ( 2005) The reputation of McDonalds is apparently a huge matter. Seen on the website of the company, it seems that they have acquired strides to take in hand the key social censures that they have been berating them in the past decades. The company has provided their customers the relevant data that they need with reference to the nutritional substances of their products. This is to attend to the arguments of obesity charged against the products of the company. In the same way, the consumers provided freedom in choosing whether or not they want to purchase their meals. This is tied up with the socio-cultural attributes of the market on which they operate. For instance, operations in predominantly Muslim countries require their meat to conform to the Halal requirements of the law. In the same regard, those that operate in countries in the European Union should conform to the existing laws banning the use of genetically modified meat products in their food. Other legal concepts like tax obligations, employment standards, and quality requirements are only a few of important elements on which the company has to take into consideration. Otherwise, smooth operations shall be hard to achieve. F. Environment The social responsibilities of McDonalds on the state are influential to the operations of the company. These entail accusations of environmental damage. Among the reasons why they are charged with such claims is the employ of non-biodegradable substances
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for their drinks glasses and Styrofoam coffers for the meals. (1997) Several civic groups in Hong Kong have made actions to make the McDonalds franchises in Hong Kong aware of the rather copious use of Styrofoam containers and the resultant abuse of the environment. (1997) further indicated that in 1995, McDonalds Hong Kong went over the Styrofoam used by both Australia and the United States combined. IV. CONCLUSION Debatably, the most significant contribution of this generation is the combination of globalization and internationalization in the businesses sector. Developments in the international setting have an effect on the more particular factors in the operations in individual organisations. Alterations could take placer and require intense modifications to the operations such that it could have an adverse effect on the entire structure of the company. However, as indicated in the arguments and comments in this paper, this could be
acquired by setting a certain level of flexibility in the organisation. This level of flexibility is basically acquired through the acquaintance of both the internal and external environment of the company. Even though McDonalds may have been deemed as demigod in the fast food business in the international scene, what it preserves as revealed in its processes is the need for flexibility. The slight changes that take place in the market have an effect on the operations of the business in any case. This denotes that having the information on the effects of these alterations swiftly provides these fast food industry giants to take fine-tuning actions on their acts and still preserve their market position. As implied in the introduction of this paper, the markets of nowadays manifest a cutthroat rivalry with the individual competitors, recognized brands or otherwise. Hence, any business in spite of the muscle of the brand name or the size of its reserves could not afford any failures in their individual markets.
Six Sigma and its Formulation

Robin Singla and Sahil Garg
MBA 2nd semester Baba Farid College of Management and Technology, Bathinda
AbstractSix Sigma is a business management strategy originally developed by Motorola, USA in 1986.As of 2010, it is widely used in many sectors of industry, although its use is not without controversy. Six Sigma seeks to improve the quality of process outputs by identifying and removing the causes of defects (errors) and minimizing variability in manufacturing and business processes. It uses a set of quality management methods, including statistical methods, and creates a special infrastructure of people within the organization ("Black Belts", "Green Belts", etc.) who are experts in these methods. Each Six Sigma project carried out within an organization follows a defined sequence of steps and has quantified financial targets (cost reduction or profit increase). Another common definition of Six Sigma management is that it is an organizational initiative designed to create manufacturing, service and administrative processes that produce a high rate of sustained improvement in both defect reduction and cycle time. Objectives of the study To know about the history of six sigma. To know from where the name six sigma came from. To know the history of the Six Sigma Black Belt naming convention. To know Six sigma clarifications. To know Six Sigma costs and savings. Methodology Six Sigma is most successful when leadership is truly committed to the philosophy and methodology it entails. In larger companies, a Director or other high-level employee takes the lead role in creating and guiding Six Sigma efforts. The main roles in guiding under Six Sigma are: Establish Performance Expectations Identify Improvement Needs Determine Improvement Approaches Follow Improvement Methodology Maintain the Framework
free outputs. A defect is anything that results in customer dissatisfaction. The term Six Sigma was coined by Bill Smith, an engineer with Motorola. Late 1970s-Motorola started experimenting with problem solving through statistical analysis. 1987-Motorola officially launched its Six Sigma program. Jack Welch launched Six Sigma at GE in Jan, 1996. 1998/99 - Green Belt exam certification became the criteria for management promotions. 2002/03 - Green Belt certification became the criteria for promotion to management roles. II. HISTORY Six Sigma has evolved over time. The concepts behind Six Sigma can be traced through the centuries as the method took shape into what it is today. The roots of Six Sigma as a measurement standard can be traced back to Carl Frederick Gauss (17771855) who introduced the concept of the normal curve. Six Sigma as a measurement standard in product variation can be traced back to the 1920's when Walter Shewhart showed that three sigma from the mean is the point where a process requires correction. Many measurement standards (Cpk, Zero Defects, etc.) later came on the scene but credit for coining the term "Six Sigma" goes to a Motorola engineer named Bill Smith. (Incidentally, "Six Sigma" is a federally registered trademark of Motorola). In the early and mid-1980s with Chairman Bob Galvin at the helm, Motorola engineers decided that the traditional quality levels -- measuring defects in thousands of opportunities -- didn't provide enough granularity. Instead, they wanted to measure the defects per million opportunities. Motorola developed this new standard and created the methodology and needed cultural change associated with it. Six Sigma helped Motorola realize powerful bottom-line results in their organization - in fact, they documented more than $16 Billion in savings as a result of our Six Sigma efforts Since then, hundreds of companies around the world have adopted Six Sigma as a way of doing business. This is a direct result of many of America's leaders openly praising the benefits of Six Sigma. Leaders such as Larry Bossidy of Allied Signal (now Honeywell), and Jack Welch of General Electric
I. INTRODUCTION The term sigma is used to designate the distribution or spread about the mean (average) of any process or procedure. The Six Sigma defines as the ideal measurement of the quality, known as 3.4 defects per 1 million occurrences. For a process, the sigma capability (z-value) is a metric that indicates how well that process is performing. The higher the sigma capability, the better. Sigma capability measures the capability ofthe process to produce defect-
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Company. Rumor has it that Larry and Jack were playing golf one day and Jack bet Larry that he could implement Six Sigma faster and with greater results at GE than Larry did at Allied Signal. The results speak for themselves. III. WHERE DID THE NAME "SIX SIGMA" COME FROM? In my recollection, two recurring questions have dominated the field of six sigma. The first inquiry can be described by the global question: Why 6s and not some other level of capability? The second inquiry is more molecular. It can be summarized by the question: Where does the 1.5s shift factor come from and why 1.5 versus some other magnitude? For details on this subject, reference: Harry, M. J. Resolving the Mysteries of Six Sigma: Statistical Constructs and Engineering Rationale. First Edition 2003. Palladyne Publishing. Phoenix, Arizona. (Note: this particular publication will be available by October 2003). But until then, we will consider the following thumbnail sketch. At the onset of six sigma in 1985, this writer was working as an engineer for the Government Electronics Group of Motorola. Bill Smith (originator of the six sigma concept in 1984). At that time, he suggested Motorola should require 50 percent design margins for all of its key product performance specifications. Statistically speaking, such a "safety margin" is equivalent to a 6 sigma level of capability. IV. HISTORY OF THE SIX SIGMA BLACK BELT NAMING CONVENTION Not surprisingly, the term Black Belt has its roots in the exotic realm of martial arts. Like a person skilled in the Oriental sport of karate, the Six Sigma Black Belt is self-assured and knowledgeable, the result of intensive training and real-world experience. Motorola, the company that holds the Six Sigma trademark, says the data-driven defect-reduction process has saved the company more than $16 billion over the past 15 years. Six Sigma has generated similarly stunning results at companies here and abroad in the manufacturing, transactional, and service sectors. All businesses -- regardless of sector, size, or project link their success to one factor. In Six Sigma parlance, it's the Black Belt. The term Black Belt refers to project leaders, skilled in the use of statistical methods and interpersonal communication, and dedicated to using Six Sigma methods to ensure customer satisfaction. Green Belts require less training than Black Belts and take responsibility for leading fewer projects, while Master Black Belts spend nearly all of their time consulting, mentoring, and training Green Belts and Black Belts.
V. SIX SIGMA EVOLUTION CLARIFIED Daniel T. Laux writes on behalf of Six Sigma Academy to clarify the roots and evolution of Six Sigma. By Daniel T. Laux On behalf of Six Sigma Academy, I would like to take this opportunity to clarify the evolution of six sigma since this seems to be a lively topic of conversation among many practitioners (even cartoonists!) these days. The roots of six sigma as a measurement standard can be traced back to Carl Frederick Gauss (1777-1855) who introduced the concept of the normal curve. Six sigma as a measurement standard in product variation can be traced back to the 1920's when Walter Shewhart showed that three sigma from the mean is the point where a process requires correction. Many measurement standards (Cpk, Zero Defects, and so on) later came on the scene but credit for coining the term "six sigma" goes to a Motorola engineer named Bill Smith (six sigma is a federally registered trademark of Motorola). In the late 1970's, Dr. Mikel Harry, a senior staff engineer at Motorola's Government Electronics Group (GEG), began to experiment with problem solving through statistical analysis. Using his methodology, GEG began to show dramatic results GEG's products were being designed and produced faster and more cheaply. Subsequently, Dr. Harry began to formulate a method for applying six sigma throughout Motorola. His work culminated in a paper titled "The Strategic Vision for Accelerating Six Sigma Within Motorola." He was later appointed head of the Motorola Six Sigma Research Institute and became the driving force behind six sigma. VI. REMEMBERING BILL SMITH, FATHER OF SIX SIGMA Bill Smith, the Father of Six Sigma, introduced the statistical approach while working at Motorola, where it garnered the company financial benefits and numerous awards. Bill Smith spent years convincing higher-ups that he really had invented a better mousetrap. Then he spent the rest of his life spreading the word to business professionals, government leaders and educators. Smith's mousetrap? It was Six Sigma, the TQM spin off that has generated billions of dollars for Motorola, the company where Smith introduced his statistical approach aimed at increasing profitability by reducing defects. Smith, who earned the appellation, Father of Six Sigma, would probably be tickled to know Six Sigma has become so mainstream that it even appears periodically in the widely syndicated comic strip, Dilbert.
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As a Motorola employee, Smith did not share directly in the profits generated by the company's Six Sigma applications. However, over the years, he and Motorola garnered numerous awards and recognition for his vital work to improve profitability in America's manufacturing sector. He was especially proud of his role in Motorola's winning the prestigious Malcolm Baldrige National Quality Award. The Baldrige Award came in 1988, two years after Motorola implemented Smith's Six Sigma principles. Smith's death, only five years later, caught everyone by surprise. He died of a heart attack at work. Daughter Marjorie Hook, now 37 and president of Clarksville Consulting Group in Austin, Texas, developed an affinity for Six Sigma and occasionally collaborated with her father for a few years after college. Hook said winning the Baldrige Award stands out as a career high point in her father's life. VII. SIX SIGMA COSTS AND SAVINGS In the world of Six Sigma quality, the saying holds true: it takes money to save money using the Six Sigma quality methodology. You can't expect to significantly reduce costs and increase sales using Six Sigma without investing in training, organizational infrastructure and culture evolution. Many people say that it takes money to make money. In the world of Six Sigma quality, the saying also holds true: it takes money to save money using the Six Sigma quality methodology. You can't expect to significantly reduce costs and increase sales using Six Sigma without investing in training, organizational infrastructure and culture evolution. Sure you can reduce costs and increase sales in a localized area of a business using the Six Sigma quality methodology -- and you can probably do it inexpensively by hiring an ex-Motorola or GE Black Belt. I like to think of that scenario as a "get rich quick" application of Six Sigma. But is it going to last when a manager is promoted to a different area or leaves the company? Probably not. If you want to produce a culture shift within your organization, a shift that causes every employee to think about how their actions impact the customer and to communicate within the business using a consistent language, it's going to require a resource commitment. It takes money to save money. How much financial commitment does Six Sigma require and what magnitude of financial benefit can you expect to receive? We all have people that we must answer to -- and rhetoric doesn't pay the bills or keep the stockholders happy (anymore). I was tired of reading web pages or hearing people say: "Companies of all types and sizes are in the midst of a quality revolution. GE saved $12 billion over five years and added $1 to its earnings per share. Honeywell (AlliedSignal) recorded more than $800 million in savings."
"GE produces annual benefits of over $2.5 billion across the organization from Six Sigma." "Motorola reduced manufacturing costs by $1.4 billion from 1987-1994." "Six Sigma reportedly saved Motorola $15 billion over the last 11 years." The above quotations may in fact be true, but pulling the numbers out of the context of the organization's revenues does nothing to help a company figure out if Six Sigma is right for them. For example, how much can a $10 million or $100 million company expect to save? As the Motorola website says, they invented it in 1986. Allied Signal deployed Six Sigma in 1994, GE in 1995. Honeywell was included because Allied Signal merged with Honeywell in 1999 (they launched their own initiative in 1998). Many companies have deployed Six Sigma between the years of GE and Honeywell -we'll leave those companies for another article.
TABLE 1: COMPANIES AND THE YEAR THEY IMPLEMENTED SIX SIGMA
Company Name
Year Began Six Sigma Motorola (NYSE:MOT) 1986 Allied Signal (Merged With Honeywell in 1999) 1994 GE (NYSE:GE) 1995 Honeywell (NYSE:HON) 1998 Ford (NYSE:F) 2000
Table 2 identifies by company, the yearly revenues, the Six Sigma costs (investment) per year, where available, and the financial benefits (savings). There are many blanks, especially where the investment is concerned. I've presented as much information as the companies have publicly disclosed.
TABLE 2: SIX SIGMA COST AND SAVINGS BY COMPANY
Year
1986-2001 1998 1996 1997 1998 1999 1996-1999 1998 1999 2000 1998-2000 2000-2002
Revenue Invested % Savings % ($B) ($B) Revenue ($B) Revenue Invested Savings Motorola 356.9(e) ND 16 1 4.5 Allied Signal 15.1 ND 0.5 2 3.3 GE 79.2 0.2 0.3 0.2 0.2 90.8 0.4 0.4 1 1.1 100.5 0.5 0.4 1.3 1.2 111.6 0.6 0.5 2 1.8 382.1 1.6 0.4 4.4 3 1.2 Honeywell 23.6 ND 0.5 2.2 23.7 ND 0.6 2.5 25.0 ND 0.7 2.6 72.3 ND 1.8 4 2.4 Ford 43.9 ND 16 2.3
Key:$B=$ Billions, United States
Six Sigma and its Formulation (e) = Estimated, Yearly Revenue 1986-1992 Could Not Be Found ND = Not Disclosed Note: Numbers Are Rounded To The Nearest Tenth
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VIII. ADVANTAGES & DISADVANTAGES OF SIX SIGMA Six Sigma is a popular process improvement methodology that started in the manufacturing sector and has spread to other areas as well. Some companies have seen tremendous success, while others have abandoned the methodology or found it too overwhelming to support. A. Based on Data In Six Sigma, decisions are made based on empirical evidence, not just on assumptions and anecdotal evidence. This includes determining the need for a project, determining the cause of the problem being addressed, and deciding what improvements will be made. In all these cases, data is required for decision making. B. Proven Success Beginning with Motorola, many large companies have successfully rolled out Six Sigma initiatives and driven positive change in their organizations. The results have benefited customers, employees, and shareholders. C. Sustainable Solutions The DMAIC and DMADV processes are specifically designed for sustainable solutions. In DMAIC, the improvements to a process are confirmed with data, and an entire phase is devoted to ensuring that the gains are sustained. In DMADV, which is used for creating new products and processes, a similar mindset holds. D. Timeframe As the saying goes, "Do you want it fast or do you want it right?" In order to effectively use the Six Sigma methodology, a substantial amount of time must be
allowed for a project. It does not provide simple fixes, and at times the people involved can become frustrated with the time required to systematically follow the improvement model. E. Training Requirements In traditional Six Sigma implementations, employees go through extensive training to become Six Sigma project leaders (Black Belts and Green Belts) and sponsors (Champions and Process Owners). For the Black Belt role in particular, training can take several weeks or more, and occur over a period of months. This is not feasible in some environments. F. Corporate Focus Although the principles underlying Six Sigma could certainly be made applicable to small business and organizations, it is primarily an option for larger corporate organizations. IX. SOURCES Sources used for this research paper are all secondary sources like different author books and from search engines on internet. We have to use the secondary sources because the topic Six Sigma. X. CONCLUSION Business Continuity, security and emergency management all are process driven activity. As such, it makes sense to ensure that processes are constantly being reviewed and improved. Six Sigma is a process that ought to be considered for these discipline, as it deals with process improvement, the above article describe Six Sigma and considering its use in business continuity, security and emergency management professions. REFERENCES
[1] [2] [3] Harry, M. J. Resolving the Mysteries of Six Sigma: Statistical Constructs and Engineering Rationale. First Edition 2003 www.scribd.com www.isixsigma.com
Golden Bird-Business Strategy

Gaurav Narang1, Navdeep Kaur2 and Amit Sharma3
1
Sr. Lecturer, Baba Farid College of Management and Technology 2 Lecturer, Baba Farid College of Management and Technology
AbstractIn recent days there are growing needs of a venture that could be develop both the awareness of choosing healthier consumable livestock and the wealth of Punjab rural society. The review part emphasis on business model which includes the positioning, marketing of the emu products . The expectation is to establish integrated end to end solution from production to marketing the emu. The writing share the learning of business model that we implement in local farming in Punjab. The venture also utilizes the resources to maximum and giving additional benefits.
I. INTRODUCTION Emu farming offers great scope and potential because of its supplementary income, additional employment and simplicity in operation" says the Nabard Model Bankable Project on Emu Farming . Moreover Emu meat, Emu leather and Emu oilhave establieshed High Quality Product value in India. In India, chicken is the most popular of the poultry species Followed by ducks & quails. Of late, with some popularization through Newspaper write ups, television coverage & Exhibitions, about 250-300 Progressivefarmers of Maharastra state have started Emu farming with 25 to 200 pairs in Pune, Thane, Nasik, Akola, Ahmed Nagar, Beed, Kolhapur districts and many more are coming up for guidance and Inquiring about the availability of bank loan for establishment of A new farm or expansion of existing farms. At present more than 10,000 pairs of Emu reared by the farmers in the state. For large scale production of meat oil And skin there is a long term potential for breeding and rearing of more than 75000 Emus. To promote such innovative project activity in the state this can accelerate capital Formation in the rural area. NABARD, MRO, Pune has taken a decision to formulate a Model project for rearing of Emu as there is a increasing demand for such unit in coming Years. II. DIVERSIFICATION IS THE KEY TO SUCCESS IN ANY ENTERPRISE We need to Diversify to other species of poultry in order to reap more profits. Considering this let us Discuss about Emu, breed of bird which attains upto 65 Kg.wt. & 5.6 ft. hight on Maturity.Emu belong to Ratite family of birds & is the third biggest bird species after Ostrich & Cassowary. The birds have small wings & are in capable of Flying. Australia is the place of Origin for the birds.
Emu is a social bird with dark whitish complexion. The birds live in groups &can thrive under varying climatic conditions ranging 0 degree C. to 52 degree C. These Birds are Omnivorous and eat leaves, vegetables, fruits, insects, worms. They can be feed Modified poultry feed. It is clarified by the Chief Conservator of forest, GOM, Pune that Emu is an exotic bird and it has not been included in any of the schedules of wildlife (protection) Act, 1972. The provisions of Wild Life Protection Act, 1972 and rules made there under are not applicable for these birds. As such no permission from forest Department is necessary For rearing, farming and selling of these birds. A. Present Status Recognizing the economic importance. Australian Government in 1975 Started domesticating these birds living in Jungles by establishing big farms. This Activity spread to America. France and other European countries in the early eighties. It is reported that there are about 90,000 Emu farms in America and an Emu Association Was established in 1993. The activity has also spread to China, Japan, Malaysia and Korea. One Emu farm by name Vijaya Ratite Farm (Pvt.) Ltd. Was established by Shri P. Satyanarayana IN Andhra Pradesh in 1996 on small scale. Similarly in Maharastra state Shri.Ganesh Kale& Group introduced 20 pairs of Emu during 2001 &in BaramatiShri. SandipTaware has established first Emu Farm with 10 pairs in April 2002. He has also established Emu hatchery. At present There are Four Emu Association in India. One is at Hydra Bad name of INDIAN EMU ASSOCIATION Mumbai NATIONAL EMU
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ASSOCIATION headed by Shri. Sami Tambatkar. This two association working all India level.And in Maharastra level at Baramati in the name of Maha Emu Association headed by Shri.SandipTaware and another at Pune in the name Emu Farmer Association.Headed by Mrs. Chitralekha Mehta. The experience of the farmer has been encouraging. III. TECHNICAL PARAMETERS OF EMU BIRD
Emu Fats (g) Protein (%) Energy (ki) Calories Iron(mg) Cholesterol (mg) 2.4 20.9 446.5 106.2 3.0 51.7
Chicken 3.5 20.1 125.0 125.0 1.0 80.0
Lean Pork 25.0 20.2 147.0 147 1.0 65.0
Lamb 23.4gr 16.6 ----282.0 1.55 73
EMU CATFISH CHICKEN BEEF Protein 23.3G 18.2G 23.1G 19.9G Calories 109 113 110 225 Cholestrol 57.5MG 58MG 64MG 65MG Fat 1.7G 4.3G 1.2G 15.8G Saturated fat 0.06G 1.0G O.3G 6.5G Mono0.7G 1.6G 0.3G 7.2G unsaturated fat Ploy0.4G 1.0G 0.3G 0.6G unsaturated fat
VI. FEATHERS The birds reach their full size by the end of 1st year. They grow up to 5.5 to 6 feet With a weight of 40to 70 kgs. Laying period in India starts after 18 to 24 months and Eggs are laid during September to February. Eggs are dark bluish green in colour with a weight of 450 to 700 gms . A bird can lay 20-60 eggs in a season. Incubation period is 50- 52 days and newly hatched bird will be of 6-7in height. The lift span of the bird is 3035 years. The productive economic life of the bird is 20.25 years. IV. ECONOMIC IMPORTANCE (SCOPE) It is reported that the price of Rs.18, 000/- a pair of 3 months old Birds and the price of Rs.40, 000/- a pair of 15 months old Birds having live body weight each 40 to 50 kg. and the birds are used for table purpose. MEAT: Meat of Emu bird is reddish in colour, soft and with less of cholesterol 98% fat free. Emu meat is lower in fat than Chicken. Turkey, Pork & Beef It is the Super Food of the New Millennium. The price commands higher price than that of meat from Other birds/animal and is reported at Rs. 300-450 per Kg. The American Heart Association has included Emu meant in its listing of heart healthy meats. Emu Meat: 98% Fat Free-100% Natural V. THE HEALTHY RED MEAT Emu is a very lean (98% fat free) red meat similar to beef in both taste and appearance. Emu are higher in protein, vitamin c and iron compared to beef; lower in cholesterol compared to chicken. Emu gives red meat lovers what they want and health conscious consumers what they need. In fact, the american heart association recognizes emu meat as a healthy alternative to beef.
Feathers are soft non allergic / anti static, beautiful double quilled and are used In hats, dresses, computer and car cleaning brushes and household decorative items. About 400 to 600 Gms of feathers would be available from a bird and each bird would Fetch about Rs. 200/- at present. VII. SKIN The skin is very thin, soft and strong. Price of good quality skin is reported Rs.700/- to Rs.1000/- per Sq ft. and 8-12 sq.ft of skin is available from a well matured bird. The skin is used in the preparations of shoes, bags, belts, purses, jerkins and seat covers for expensive cars. At present raw skin of a matured bird would fetch about Rs. 1000 1200/-. VIII. EGG SHELLS AND NAILS The egg shell are used for painting and as decorative items due to deep Blue Colour. Nails are strong and decor able used in artificial ornaments and craft goods.
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IX. OIL
Non Comedogenic Significant wound healing agent Significantly reduces recent keloid scarring Appears to promote faster healing of burns with less pain and scarring Anti - Arthritic Activity Excellent Emulsifier X. EYES
About 4-6 a litter of oil is available from a bird which is devoid of any colour taste and odor. At present market prices, the price of one litter refined Emu oil is Rs. 3000/- to Rs. 4000/- The oil is penetrating and is having moisturizing. Analgesic, ant allergic and antiseptic properties. The oil is used in analgesic ointments, beauty creams and lotions, soaps, hair oils, shampoos, perfumes and massage oils. The raw fat/crude oil of Emu fetches Rs.1000 per Kg. A number of studies have been conducted and are currently being conducted throughout the world on facts of the Emu oil, including its composition, benefits, applications in different industries and the resulting properties of compounds formulated with the oil. Traditionally Emu oil has been used for treatment of muscle and joint pains. Clinical experience with Emu oil has shown that it's two major benefits are its anti- inflammatory properties and its ability to penetrate the skin. It also appears to provide some solar protection. The penetrating effect appears to be related to its nonphosphorous composition. Our skin is phospho - lipid deficient. In other words, there is no phosphorous in our skin. If you put anything on your skin that has phosphorous in it, your skin is 'programmed' to keep it from penetrating. Anytime you put anything on your skin that is phospholipid deficent, or has no phosphorous, it penetrates right through ". Researchers who have analyzed the oil found that there is a compound in oil that they believe is the key to its effectiveness. This compound molecule is believed to be collagen. Collagen is found in chickens and turkeys in a very diluted form. However, the test result on the Emu show this molecule to be present in an extremely concentrated form. Research and development of Emu oil using in cosmetics and pharmaceuticals is rapidly expanding. Emu oil has been documented to exhibit the following properties and/or has been used for the following purposes. Anti - Inflammatory Activity Moisturising Cholesterol Reducer Bacteriostatic Penetration Enhancer Signficant epidermal proliferative activity
The bird is able to see up to a distance of 10 meters and its eyes are being used To Replace damages corneas in human beings. XI. UTILITY 15 months old Emu broiler weighing 40 Kg. slaughtered for oil, meat and skin etc. The utility is as under:Utility 43% boneless meat 14% bone meat 5% feather & skin 22% fat 3% leg skin 4% neck 3% blood 4% waste About 96% useable bird Refined oil Present market price of produce per unit Rs. 300/- to Rs. 450/ Kg. Rs. 200/ Kg. Rs. 200 + Rs. 1000 Rs. 1000 / Kg (raw oil) Rs. 500/usable but not saleable at present. usable but not saleable at present. usable but not saleable at present. Rs. 3000/- to Rs. 4000/- Per Liter.
XII. FINANCIAL ASSISTANCE Loan from banks with refinance facility from NABARD is available for establishing Emu farm. For obtaining bank loan, the farmer should apply to the nearest branch of a Commercial or Co- operative or Regional Rural Banks in their area in the prescribed forms which is available in the branches of financing banks. The project report should be attached/ enclosed with loan farm. For Emu farming schemes with very large outlays, detailed reports will have to be prepared. The technical officers attached to or the Branch Manager of the bank can help / give guidance to the farmers in preparing the project report to obtain bank loan. A scheme can also be prepared by the beneficiary after consulting local technicalexperts or private commercial Emu hatcheries. Consultancy Services of NABARD would also be available for large commercial projects. XIII. BENEFICIARY A good practical training for a week and experience on a Emu farm will be highly desirable before starting a farm. If possible, they should visit the progressive Emu
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farms/ Hatcheries in the area and discuss the technical ability and profitability of farming. XIV. BACKWARD LINKAGES A. Climate Emu is a social bird and can thrive under varying climatic conditions ranging 0 F. to 100 F. The climate suitable for poultry farms is also suitable for Emu farming. XV. AVAILABILITY OF EMU.PAIRS In Maharashtra there are private Emu hatcheries supplying the Emu pairs of different age groups i.e. 3 months, 6 months, 12 months and 15 months old. The detail addresses of hatcheries are as below:A. Availability of Feed
manure is also good for fruits and vegetable gardens. Empty feed bags are sold in local market @ Rs. 4-5/each. XVII. LENDING TERMSGENERAL A. Project Cost One model of 50 pairs Emu have been formulated. The total project cost including fixed cost and recurring cost up to the income generating stage (21 months) has been worked out to Rs. 24.78 lakh. B. Margin Money and Bank Loan Minimum 15 % of down payment has been considered to be collected from the beneficiaries and maximum 85 % of total financial outlay is considered as bank loan. TFO;Rs. 24.78 lakh. Margin Money; 15 % Bank Loan; 85 % XVIII. WORKING CAPITAL If required by the farmer, financing bank may asses the same and sanction accordingly. It may require for commercial ventures only. Here in this case we have already capitalized 21 months recurring expenses and so there may not be a need for further W.C. XIX. INTEREST RATE The rate of interest shall be decided / fixed by the concerned financing bank to the ultimate beneficiary. In this case for calculation of cash flow and repayment we have assumed an interest rate @ 12% per annum. XX. SECURITY Will be as per RBI guidelines issued from time to time. Insurance: Bank may ensure that the borrower takes insurance of assets created out of a bank loan including insurance of Emu birds. XXI. REPAYMENT OF LOAN The repayment period depend upon the gross surplus generated in the project. The loan will be repaid within 7 years including first year as grace / moratorium/gestation period in suitable monthly installments (6/year) during October to march only. XXII. CONCLUSION Emu farming offers great scope & potential because of its supplementary income additional employment & simplicity in operation .Efficient emu development can be Achieved by promotion of small units in villages through a gamut of functions like Dissemination of information & technology, making
Poultry feed (layer) can also be fed to Emu. In addition to poultry feed mineral mixture and shell/ stone grit can be given. Sprouted desiChana and Methi can also be fed during layer season. During summer season chopped vegetables like cabbage, carrot, beetroot, etc. can also be fed. B. Availability of Veterinary Aid Like poultry chlorinated water should be given to Emu birds like Poultry. Deforming should be done twice in a year at an interval 6 months. B. Training &Experience Training on Emu farming is given on above farms for 3-5 days. During training these farms supply all technical information in the form of books/CDs/booklet/palplet etc. C. Availability of Shed, Breeding Pens and Run-off Area The detail specification along with cost proposed is given EMU FARM PROJECT broacher Low cost shed and building material locally available can also be used to lower the cost of housing. D. Availability of Equipment Water, feeders & egg trays are required. Low cost equipment locally available can also be used. XVI. FORWARD LINKAGE A. Sale of Eggs At present both the hatcheries mentioned above are purchasing eggs @ Rs.1000/-to 1200/- each or on the basis of chick borne @ Rs.1200/- per chick. B. Sale of Manure and Empty Feed Bags; Manure can be applied on own farm or can be locally sold to other farms. Like poultry manure, Emu
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various inputs & organizing training Sessions for farmers on this subject. After going through the forgoing paragraphs and from subsequent annexure it is Concluded that the captioned proposal is found to be technically feasible and financially Viable. Biosecurity measures to be taken in Emu Farming / breeding as suggested by Commissioner of Animal Husbandry, Maharastra State The farm should be ideally placed and away from the population and is blosecured The housing should be proper will adequate brooding facilities. There should be a separate workers team, who should not be allowed to get mixed with other workers. There should be separate dress code for the workers. Proper dis-infection procedures / foot dips etc., should be maintained. The quarantine sheds should be separate and away from other sheds. The other birds (parent, commercial or pure line etc.) and pets should not be reared/allowed to enter the same farm. The brooding space should be optimum. There should be provision of showers, change over and dips. Proper records should maintained. There should be scientific facility for disposing off / destroying the bedding / dead Birds etc. The equipment are proper, properly disinfected and separate The farm should have a water sanitation system.
Water source should be tested for mineral, bacterial, chemical, contamination and pathogen load. Proper storage of feed to prevent contamination should be made. The water quality should be checked periodically and if contamination is seen it should be treated with any sanitizer. Routine disease monitoring procedures like postmortem examination of dead birds and periodic sera antibody assay is recommended.
FEW FACTS ABOUT OUR FAVORITE EMU 8 - 10 inches 5 - 6 feet tall 100 - 140 pounds Black and Brown Generally Robust, Hardy Friendly, Docile 35 to 40 years (approx) Up to 25 years Average egg laying 10 to 15 eggs in the first breeding season, gradually increases up to 20-30 eggs in subsequent breeding seasons 16 18 months 48 - 52 days Approximately 70 percent 600 sq.ft. red and hardy soil
Height at birth Adult Height Adult weight Colour Health Temperament Lifespan Productive years Eggs per year
Age at slaughter Incubation Period Percentage of eggs hatched Space per Adult bird
REFERENCES
[1] [2] [3] [4] [5] [6] [7] [8] www.indianemulife.com/the-concept.html www.emufacts.com/ www.cyberessays.com/lists/research-work...emubirds/page390.html www.startupbizhub.com/how-to-start-emu-bird-farming.htm www.poulvet.com Poultry Articles Other Avians www.madnotes.com/essays/Emu-Farming/3310.html www.publish.csiro.au Journals Emu www.papercamp.com/essay/8183/Emu-Farming
Towards Brand Loyalty to E-Loyalty: A Conceptual Framework

Ramjit1 and Vivek Sharma2
1
School of Hospitality and Tourism Management University of Jammu, Baba Sahib Ambedkar Road, New campus, Jammu (J&K) 180006 India 2 Departement of Life long Learning,University of Jammu, Baba Sahib Ambedkar Road, New campus, Jammu (J&K)180006 India e-mail: 1ramjitmonu@yahoo.co.in, 2sharmavivek19@gmail.com category, and synergistic advantages of brand extensions to related product/service categories (Reichfeld, 1996). With due advent and growth of "Business to Consumer" (B2C) e-commerce has magnified the importance of building a loyal visitor or customers base to an e-commerce website (eloyalty).Despite the importance of e-loyalty to business success in online consumer marketing, little theoretical research has been done so far in this field. Most of the research has been confined to practitioner-oriented suggestions on how to build loyalty to commercial websites (Smith, 2000; Reichfeld & Schefter, 2000). Therefore it is dire need to conduct the research in this theme and to develop and consult the model for the business managers in order to attract the customers and to improve the online consumer behavior. The objective of this conceptual research paper is to determine the similarities and differences between traditional brand loyalty and e-loyalty and to develop a conceptual framework of e - loyalty and its underlying factors. To suggest and recommend the e- marketing practices or strategies to the business managers for future implications in order to enhancing the customer loyalty. II. REVIEW OF LITERATURE The significance of brand loyalty has been recognized in the marketing literature for at least three decades (Howard and Sheth, 1969), the conceptualization and empirical validation of a loyalty model for e-service context has not been addressed. Ecommerce success, especially in the business-toconsumer area, is determined in part by whether consumers show loyalty to a particular e-service provider they cannot touch. Thus, research attention should more fruitfully focus on the development and validation of a loyalty model for e-service context. The concept of brand loyalty has been extensively discussed in traditional marketing literature with the main emphasis on two different dimensions of the concept: behavioral and attitudinal loyalty. Oliver (1997) has presented a conceptual framework of brand loyalty that includes the full spectrum of brand loyalty based on a hierarchy of effects model with cognitive, affective, conative (behavioral intent), and action
Abstract While the importance of customer loyalty has been recognized in the marketing literature for at least three decades, the conceptualization and empirical validation of a customer loyalty model for e-service context has not been addressed. With the rapid growth of E-commerce and on-line consumer shopping trends, the importance of building and maintaining customer loyalty in electronic marketplaces has come into sharper focus in marketing theory and practice. This conceptual research paper is to determine the similarities and differences between traditional brand loyalty and e-loyalty and to develop a conceptual framework of e - loyalty and its underlying factors. To suggest and recommend the emarketing practices or strategies to the business managers for future implications in order to enhancing the customer loyalty. Keywords: Brand Loyalty, Brand building, E- loyalty, E-commerce, online consumer behavior, conceptual Eloyalty frame work
I.
INTRODUCTION
Over the past few years, there has been an explosion in the online world - an explosion that is also a portent of how business will operate in the future. Supply chains are being rethought, products and services reconfigured, and business models revamped. As such, the Internet is having a profound impact on the way business is being conducted in ways that are often disruptive to traditional methods. This is creating new challenges and opportunities. The Internet also represents a fundamental shift in how buyers and sellers interact, as they face each other through an electronic connection, and its interactivity provides the opportunity for brands to establish a dialogue with customers in a one-to-one setting. As such, the Internet is changing fundamentals about customers, relationships, service and brands, and is triggering the need for new brand-building strategies and tools. Now these days, it has been seen that Building and maintaining brand loyalty has become a central theme of marketing theory and practice in establishing sustainable competitive advantage. In traditional consumer marketing, the advantages enjoyed by a brand with strong customer loyalty include ability to uphold premium pricing, greater power of bargaining with channels of distribution, reduced selling costs, a strong barrier to potential new entries into the product/service
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(repeat purchase behavior) dimensions. A definition integrating this multidimensional construct has been given (Oliver, 1999) as: "a deeply held commitment to re-buy or re patronize a preferred product/service consistently in the future, thereby causing repetitive same-brand or same brand-set purchasing, despite situational influences and marketing efforts having the potential to cause switching behavior." Online loyalty programmes is a field that has received comparatively little attention, in part to its relative recent arrival with the commercialisation of the Internet back in 1994, and in part the initial focus of new online businesses in attracting customers rather than retaining them (Byrom, 2001; E-CT, 2004). The literature confirms that most studies have focused on the traditional offline loyalty programmes and hence the need in this study to contribute to the online field. The concept of e-loyalty extends the traditional brand loyalty concept to online consumer behavior. Although the underlying theoretical foundations of traditional brand loyalty and the newly defined phenomena of eloyalty are generally similar, there are unique aspects of it in the area of Internet based marketing and buyer behavior. Schultz (2000) describes customer/brand loyalty in cyberspace as an evolution from the traditional product driven, marketer controlled concept towards a distribution driven, consumer controlled, and technology-facilitated concept. In addition, e-loyalty also has several parallels to the store loyalty concept (Corstjens & Lal, 2000) such as building repeat store visiting behavior as well as the purchase of established brand name items in the store. As extensively discussed in Schefter and Reichheld (2000), e-loyalty is all about quality customer support, on-time delivery, compelling product presentations, convenient and reasonably priced shipping and handling, and clear and trustworthy privacy policies. The sections that follow illustrate the similarities and differences between traditional brand loyalty and e-loyalty.
A.
marketplaces, since (dissatisfied) customers face a greater variety of choices. Through extensive research, Baldinger and Rubinson (1996) have validated that highly loyal buyers tend to stay loyal if their attitude towards a brand is positive. In addition, the ability to convert a switching buyer into a loyal buyer is much higher if the buyer has a favorable attitude toward the brand.
B.
Behavioral Intent
Behavioral intent is an intermediary between attitude and behavior (Mittal & Kamakura, 2001). It represents the intention to act in the buying decision process. Behavioral intent appears in various forms such as a predisposition to buy a brand for the first time or a commitment to repurchase a current brand. Brand loyalty research has focused on factors related to maintaining and augmenting this repurchase commitment (Oliva & Oliver, 1992) and converting behavioral intent to an actual purchase (Kuhl & Beckmann, 1985). In e-loyalty, which has a relatively compressed buying cycle time, the main emphasis is on converting behavioral intent to immediate purchasing action (Strauss & Frost, 2001).
C.
Behavioral Loyalty
Attitudinal Loyalty
The traditional conceptualization of attitudinal brand loyalty includes cognitive, affective, and behavioral intent dimensions. Conventional brand loyalty development efforts have relied substantially on brand image building through mass media communications. In e-marketplaces, however, database technology makes it possible to put more emphasis on the cognitive dimension by offering customized information. As for strengthening the affective dimension, in e-loyalty the roles of trust, privacy, and security come into sharper focus. Generally speaking, loyalty implies satisfaction, but satisfaction does not necessarily lead to loyalty. Consequently, there is an asymmetric relationship between loyalty and satisfaction (Waddell, 1995; Oliver, 1999). This phenomenon is particularly important in e-
Traditionally, behavioral loyalty has been defined in terms of repeat buying behavior. Examples of conceptual and measurement issues related to behavioral loyalty can be found in Chaudhuri and Holbrook (2001) and Dick and Basu (1994). Behavioral loyalty can be expressed in different ways. For example, customers can be loyal to brands and/or they can be loyal to stores as discussed in Corstjens and Lal (2000). When the concept of behavioral loyalty is extended to the e-market space, both the conceptual and measurement issues become more complex and sophisticated. Factors such as repeat site visits without purchases and extent of time spent at the e-commerce site (site stickiness) have to be considered (Smith, 2000). The importance of satisfying a customer in order to create behavioral loyalty is discussed extensively in Schultz (2000). A satisfied customer tends to be more loyal to a brand/store over time than a customer whose purchase is caused by other reasons such as time restrictions and information deficits. The Internet brings this phenomenon further to the surface since a customer is able to collect a large amount of relevant information about a product/store in an adequate amount of time, which surely influences the buying decision to a great extent. In other words, behavioral loyalty is much more complex and harder to achieve in the e-space than in the real world, where the customer often has to decide with limited information.
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D.
Brand Building
Brand building activities are divided into two major areas: brand image building and frequency programs. Short-term marketing activities such as promotional tools are traditionally used to shape a brands image (Knox, 1996). These short-term tools have to be balanced with long-term activities, e.g. product development to create a favorable brand image. The interactive nature of the Internet enables managers to convert this concept into practice in a different way. The one-way mass communication model of traditional advertising campaigns can be replaced by a two-way or even a group communications approach in e-brand building. One example of the Internets ability to perform long-term marketing activities is the appearance of various customized products on the Internet. Frequency programs have always been an important technique to retain customers. Traditionally, loyalty cards have been used in the real space to prevent brand switching at a product or store level (Dowling & Uncles, 1997). Frequency based loyalty building programs are easier to implement in e-markets due to the presence of database technologies that are an essential component of e-commerce sites (Deitel et al., 2001). However, since it is easy to copy these concepts (Smith, 2000), it is hard to derive a sustainable competitive advantage from them. They are mainly a defensive tactic to prevent brand switching. Promoting and supporting user groups to reinforce positive brand image and loyalty has been an important tool used in traditional brand management practice. Examples include the Volkswagen Owners Association and the Mickey Mouse Club." In these types of traditional consumer brand organizations, communications about the brand and the relationship are managed by the marketer. In contrast, the online community has the unique advantage of peer-to-peer brand related communications as well as the unique 24/7 (24-hour/7-day a week) access and global reach of the Internet. McWilliam (2000) has summarized the emerging importance of building stronger brands through online communities and techniques for managing these communities.
E.
Gabbott, 2000).Privacy has emerged as a unique and important dimension of e-loyalty (Ratnasingham, 1998) III. RESEARCH METHDOLOGY The methodology of this paper is basicaly purely on secondary basis. Which means all the literature has been reviwed from more than fifty various national and international journals. while selecting the journals, the topic i.e. brand loyality online consumer behavour and e loyalty has been taken into consideration and the various items and models consulted in order to develop the model for the e - Loyalty which can leave a part on managerial side as their managerial implication for future and present too. IV. E-LOYALTY: A CONCEPTUAL FRAMEWORK Based on the above review of the literature, we propose the following model of e-loyalty (see Figure 1) with the underlying drivers consisting of (1) Value Propositions (2) Brand Building (3) Trust and Security (4) Website & Technology and (5) Customer Product customization and interactivity are two unique value propositions that contribute to e-loyalty in online buyer behavior. A recent Modem Media and Greenfield survey showed that a majority of web shoppers prefer websites that offer customized products and information. This clearly indicates the importance of mass customization in creating e-loyalty. Customization is the result of the interactive involvement of the customer in the design of his/her ideal product. The computer manufacturer, Dell, has successfully implemented the approach of build your own computer through the use of Choice boards (Slywotzky, 2000). The high involvement in the product design on the part of the buyer inherently creates a stronger affective relationship with the brand that subsequently leads to brand loyalty. The accumulated customer knowledge base over several transactions allows the e-marketer to sharpen the customized offerings and prevent competitive inroads. The combination of customer involvement in product design and a well-known brand with associated product quality and guarantees increases the probability that product performance meets customer expectations. Traditional brands with high brand loyalty have enjoyed a certain degree of immunity from price-based competition and brand switching (Dowling & Uncles, 1997). In e-markets, however, this immunity is substantially diminished due to how easy price comparing among shopping agents is (Turban et al., 2000) and due to the fact that competition is just one click away. So being in a competitive price range is more important for e-businesses in developing and maintaining customer loyalty (Reichheld & Schefter, 2000).
Trust and Loyalty
The role of trust in building and maintaining brand loyalty has been researched extensively in both consumer and business-to-business buying situations (Cowles, 1997; Doney & Cannon 1997; Chaudhuri & Holbrook 2001). Trust plays a central role in augmenting both behavioral and attitudinal loyalty which in turn influences marketing outcome related factors like market share maintenance and price elasticity. In the field of eloyalty several structural models of trust and its relationship to repeat visits to ecommerce sites have been presented (Jevons &
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V. BRAND BUILDING Brand image building as a strategic tool for developing brand loyalty has been discussed a lot from both theoretical and managerial perspectives in the literature (Bhat & Reddy, 1998; Yoo, Donthu, & Lee, 2000). Park, Jaworski, and MacInnis (1986) have proposed brand concept management on the basis of symbolic and functional dimensions. In e-business the significance of brand building has increased with the exploding number of competitive choices that have
appeared in a short period of time. The Internet offers unique tools of interactive brand building that have previously not been available through traditional mass media oriented brand-building strategies. A study of the trends in brand building on the Internet (Nemes, 2000) has shown the importance of domain names as brand name extensions. Not only do consumers prefer well known and easy to remember website names, but the website content also plays a significant role in enhancing the overall brand image.
Fig. 1: The E-Loyalty Framework Based on Litertaure
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A.
Trust and Security
Trust, particularly the unique dimensions of transactional security and privacy (Hoffmann et al., 1999), play a critical role in generating customer loyalty to an e-business. A recent study by Ratna Singham (1998) has shown that fear of online credit card fraud has been one of the major reasons customers have not done more extensive online buying. Moreover, privacy concerns have led to a public relations fiasco for some major e-businesses resulting in substantial brand image erosion (Advertising Age, 2000). Several unique tools and techniques are available to e-businesses to enhance customer trust in their website. This includes third party approvals, encryption, authentication, and nonrepudiation strategies. Encryption assures data security in transmission, authentication guarantees the identity of the participants involved in the electronic contract, and non-repudiation means maintaining an authentic transcript of the specific terms and conditions of the contract agreed to by both parties. Passwords are most commonly used in authentication processes. Verisign.com and Authentidate.com are the leading providers of authentication technology. Trust, which is closely related to security, is a very important factor in the online buying process behavior process. In general, you cannot feel, smell, or touch the product. You cannot look into the salespersons eyes. Therefore, these ways of developing trust are excluded on the Internet. Brand trust usually contributes to a reduction of uncertainty. In addition, trust is a component of the attitudinal component of loyalty. So it is obvious that loyalty in general and brand trust in particular can help to overcome some of the Internets disadvantages, e.g. to overcome perceptions that the Internet is an unsafe, dishonest, and unreliable marketplace. In fact, these perceptions are still stopping some potential customers from doing business on the web. A third party approval is a tool to generate trust. Companies like TRUSTe.com assure customers that merchants participating in their program meet specific standards of consumer privacy and transactional security.
B.
of the site has to match the preferences of its targeted customer group. There should be language-changing options since a website can be accessed from all over the world. In addition, it is advisable to change the content of a site to suit local conditions. This concept is successfully implemented by Amazon and Step stone, which is a European online career portal. Local adaptation should be based on a complete understanding of a customer groups culture. For example, people of different countries perceive colors differently or people with a different reading direction (such as Arabic or Chinese) do not look at the same spots on the screen as people in Western countries do. If a web page takes too much time to load, it may keep potential customers away. Furthermore, navigating through a website has to be easy, which implies that browsers should be able to find the items they are looking for in an adequate amount of time. According to Forsythe, Ring, Grose, Bederson, Hollan, Perlin, and Meyer (1996).. For example, an e-business has to know whether most of its buyers come to the website with or without any intent to buy. If customers visit a site without any intent to buy, placing good offers on the first page is important. On the other hand, for an ebusiness whose customers visit the site with the intent to buy, establishing a website with an effective search function is important. In addition to web design issues, factors such as server reliability and fast response times represent key technical issues that have a major influence on e-loyalty. A server crash while browsing a website or even worse, while placing an order, will have an adverse impact on the decision to visit the site again.
C.
Customer Service
Website and Technology
The first impression created by a website as well as its ease of use is very important in creating the E loyalty (Smith, 2000)- easy navigation, fast page loads, server reliability, quick shopping and checkout processes, and a personalized interface. It has figured out that convenience and site design are among the major factors that determine customer satisfaction, which in turn influence the decision to repatronize a site Szymanski and Hise (2000). The website designers should consider for targeted customer segment for which it is going to design, and the content should be according to the needs and desires of that particular segment which means that the content
Customer service is another crucial area for emarketers (Helmsley, 2000). Sometimes website designers cannot avoid a certain degree of complexity in the architecture of a website. Therefore, it is necessary to have a thoughtful customer service system. Links to Frequently Asked Questions (FAQs) and links to online representatives are useful in order to assist customers in the selection or buying process. Order fulfillment and rapid delivery systems are as critical to e-loyalty development as the other factors. A thoughtful logistics system that guarantees a fast delivery after the checkout process contributes to customer satisfaction, which in turn contributes to loyal behavior. In addition to the speed of delivery, the logistics system should allow different ways of delivering products. Some customers prefer to get the product delivered by parcel services, like FedEx and UPS. Others might want to pick up a product in a physical store in order to have somebody to talk to. A marketer should not just offer online assistance. In many cases, it is more convenient for customers to call a company. Therefore, days the use of a toll free
334
phone number for customers should be considered. A customer who buys something on the Internet has one major disadvantage compared to a customer in real space. Internet customers cannot touch, smell, or experience the good before they buy it. This makes a shopper insecure about buying a product. In order to minimize this insecurity, an e-business should offer brands that are well-known, good product quality, and, of course, guarantees. VI. CONCLUSION, MANAGERIAL IMPLICATIONS AND FUTURE RESEARCH The drivers of e-loyalty presented in the
framework above have immediate implications for marketing management in terms of developing and maintaining brand loyalty in espace. However, the relative importance of the drivers of e-loyalty in brand strategy formulation depend on the type of E-business as well as the type of market situation in modern business. The following brand loyalty management strategies for different marketing situations. One dimension of the framework is whether a business is a pure ebusiness or whether it is a traditional business moving into e-space (bricks to clicks). The other dimension is the market position of the business in terms of being a market share leader or a market follower.
Complete E-Business Market Leader The brand loyalty strategy must focus on facilitating repeat buying through improved use of web technologies such as ease of navigation and one-click purchasing for repeat buyers. In addition, focusing on improving logistics and customer service will strengthen the existing e-loyalty of their current customers based on increased satisfaction levels. Recent experiences of delivery delays and lack of infrastructure to handle customer returned merchandise resulted in serious blows to brand credibility of major e-retailers during a recent holiday season sales period (Neuborne, 2000). Complete E-Business Market Follower In this group the business has to build brand recognition and to create trust in order to get or attract new customers. This means to imply and focusing on attitudinal brand loyalty to the customers Using techniques like third party approvals and strategic partnerships with companies with established reputations will increase the trust level to accomplish it. Here attititudinal loyalty is created first leading to behavioral loyalty..
Bricks to Clicks Market Leader In this group the brand loyalty is transformed into e-loyalty should be the main goal for this group. Brand extension with identical brick and click brands or moving to related e-brands are the two main routes that can be followed by this group. Of course, both approaches have their advantages and disadvantages. Bricks to Clicks Market Follower This group has to focus on a niche strategy with unique offers to narrowly defined market segments. USAIR, for example, was the first to offer travel bargain hunters the option of searching for the cheapest flights by keeping travel dates flexible. Brick market followers should take advantage of the Opportunity to define new markets in e-space before their rivals. Here they can leap frog over their real space competitors and develop stronger customer loyalty in e-space through pioneer advantage. Based on the conceptual framework of drivers of eloyalty presented in this paper, several important future research questions arise. First, there is the need to move from practitioner oriented descriptive research to a more theoretically based model of e-loyalty. For instance, there needs to be: study of the relative importance of the different drivers in building e-loyalty-are trust and security factors more important than website navigation ease in building e-loyalty. Comparative research can be carried on the relative importance of the different factors in driving brand loyalty in traditional and e-marketplaces. Another dimension of research deals with the measurement issues in e- loyalty. Due to the easy availability of a multitude of behavioral measures of e-loyalty (such as the repeat visit rate to websites, the amount of time spent by an individual at a website, etc.), there has been a preoccupation with the use of site visit statistics as a surrogate for brand loyalty. However, as has been suggested in our framework, it is important to go beyond just the behavioral dimension of loyalty and also consider the attitudinal and behavioral intent dimensions. E-loyalty will continue to be a key success factor in e-commerce. Building and maintaining eloyalty will be a challenge in the highly competitive and fickle world of online shopping. Understanding the drivers and dynamics of how customer loyalty is developed and maintained in cyberspace with the help of an integrated theoretical framework is critical to developing future marketing strategies in this area. REFERENCES
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Author Index
A
Adil, Mohd., 70 Aggarwal, Janki, 112 Aggarwal, Meghna, 48 Aggarwal, Sonika, 184 Aggrarwal, Monika, 188 Arora, Rajni, 178 Arora, Renu, 263 Grover, Kapil Kant, 131 Grover, Yashika, 101 Gupta, Falki, 257 Gupta, Sunita, 51 Gurleen, Kanwal, 66
H
Handa, Rahul, 63 Hooja, Khushboo Mittal, 127
B
Bajwa, Navneet Kaur, 184 Bajwa, Ramanjit, 194 Bansal, Deepika, 206 Bansal, Manish, 206, 271 Bansal, Rohit, 10, 79 Bhandari, Namita, 26 Bhanout, Raspreet, 159 Bhatia, Mukesh, 23 Bhawna, Agarwal, 119 Binawra, Bharati, 223 Bothra, Monika, 282 Bothra, Navratan, 282 Brar, Balwinder Singh, 165 Brar, Sardool, 287
I
Indeevar, Kuldeep, 217 Insan, Pinki, 188
J
Jain, Nehal, 230 Jattana, Harpreet, 198 Joshi, Rohini C., 38
K
Kalia, Vishal, 89 Kalsi, Parveen Singh, 45 Kamal, Arundeep Singhand Preet, 293 Kansal, Piyush, 301 Kaur, Amandeep, 308 Kaur, Arvinder, 51 Kaur, Baljeet, 136 Kaur, Gagandeep, 308 Kaur, Kamalpreet, 93 Kaur, Lakhwinderjeet, 139 Kaur, Maninder, 267 Kaur, Manvir, 139 Kaur, Namandeep, 271 Kaur, Navdeep, 18, 324 Kaur, Rajbir, 267 Kaur, Rashpinderdeep, 305 Kaur, Ravneet, 136 Kaur, Satveer, 293 Kaur, Simerjeet, 308 Kaur, Simranjit, 257 Kaur, Sukhbir, 79 Kaur, Sukhminder, 159 Kaur, Sukhpreet, 123 Kaur, Sukhvinder, 7 Khandelwal, Sweety M., 38 Khurana, Kiran, 310 Kiran, Ravi, 105 Kothari, Varun, 282 Kumar, Dhiraj, 317 Kumar, Pawan, 301 Kumar, Rajiv, 136
C
Chadha, Sabina, 51 Chaturvedi, Vijit, 168
D
Das, Barnishikha, 97 Dev, Sachin, 55 Dhaliwal, Pawandeep Singh, 238 Dhami, Jasdeep Kaur, 45 Diclause, Cijil, 217
G
Gaba, Jatinder, 267 Garg, Alva, 234 Garg, Amit, 10 Garg, Prabha, 59 Garg, Sahil, 320 Goyal, B.B., 48 Goyal, Candy, 198 Goyal, Chamandeep, 301 Goyal, Meenakshi, 305 Goyal, Neha, 305 Goyal, Rekha, 85 Goyal, Rita, 59, 108 Goyal, Sahul, 175 Goyal, Shilpi, 191 Grover, Abhay, 246, 249
338
Author Index
M
Maheshwari, Mehak, 287, 290 Makkar, Munish, 249 Mittal, Taru, 191 Munshi, Anupama, 41 Munshi, Sulekha, 41
N
Nandy, Tapati, 97 Narang, Gaurav, 18, 324 Narang, Shikha, 18 Nayyar, Varun, 66
P
Phul, Kirandeep Singh, 181 Pradeep, 310 Prashar, Nidhi, 178 Prashar, Priyanka Sharma, 63
R
Raju, Rosha, 34 Ramandee,p, 310 Ramjit, 329 Rampal, Raghu, 213 Randhawa, Guljinder Kaur, 30 Rashid, Irfana, 145
S
Sachdeva, Bharat Bhushan, 159 Sahni, Sonam, 14 74 Samyal, Ajay, 10, 79 Sandhu, Harmeet S., 198 Sandhu, Kulbir Singh, 203 Sandhu, Namrata, 123 Satvir, 310 Sehgal, Ashima, 116, 242 Sharma, Amit, 324 Sharma, Anjali, 213 Sharma, Anupam, 105 Sharma, Megha Munjal, 242 Sharma, Prachi, 131 Sharma, Preeti, 3 Sharma, Puneet, 203 Sharma, Rajan, 116, 175, 242 Sharma, Rajni, 3 Sharma, Rohit, 226
Sharma, Sunanda, 162 Sharma, Vivek, 329 Shinde, Rajesh S., 253 Shrivastava, Megha, 297 Sidhu, Jatinder, 287, 290 Sidhu, Swaranjeet Singh, 55 Singh, Amrinder, 14, 74 Singh, Arshdeep, 116, 297, 313 Singh, Bikram Pal, 149, 152, 181 Singh, Deepinder, 271 Singh, Gurjeet Pal, 181 Singh, Gursharan, 89 Singh, Gurwinder, 297, 313 Singh, Hardeep, 149, 152, 203 Singh, Harpuneet, 238 Singh, Karnail, 226 Singh, Kirti, 191 Singh, Kulbir, 139 Singh, Manpreet, 308 Singh, Navdeep, 142 Singh, Neetu, 206 Singh, Pritpal, 287, 290 Singh, Priyanka, 313 Singh, Sardool, 290 Singh, Sundeep, 85 Singla, Robin, 320 Sodhi, Preeti, 194 Sugandha, 155 Supreet, 249
T
Thind, Navdeep S., 246
V
Vasudeva, Savdeep, 175 Verma, Shefali, 108
W
Wadwa, Vishek, 317 Walia, Kranti, 234 Warne, D.P., 188
Y
Ymand, M. Mahmoudi-Me, 274
Z
Zare, M., 274
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Strategic Management of Business Development:

Issues and Prospects

Dr. Manish Bansal

Strategic Management of Business Development: Issues and Prospects

Strategic Management of Business Development: Issues and Prospects

April 2021, 2011

Dr. Manish Bansal

BABA FARID COLLEGE OF MANAGEMENT AND TECHNOLOGY (BFCMT)

EXCEL INDIA PUBLISHERS

First Impression: 2011

Baba Farid College of Management & Technology (BFCMT) Punjab

National Conference on Strategic Management of Business Development: Issues and Prospects

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Dr. Manish Bansal

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National Conference on Strategic Management of Business Development: Issues and Prospects

Competitive advantages are a very important

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Preference Strongly Agree Agree Indifferent Disagree Strongly Disagree

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