Can we declare promotions and new roles for individuals in advance ?

One of my friend shifted to Johannesburg and stays there with his family. Recently he shared that is son is shortlisted for S Africa Judo team. It was a great news !. Than he shared that he will represent S Africa Judo team in the coming year and in due course he will prepare for the same .

This gives me food for thought ! , They have declared one year in advance that who will represent National Team next year. The kid is hardly 8 years old, but the process is very exciting.

I think this is not a process of selection of the team but process of creating champions ! They have given a passion to the boy to work hard for full one year and who knows where this passion can take him. But for full one year , he has a goal post ( Award is already assured, he has only to reach the post)

Why cannot we do the same in Corporate world also. Lets declare promotions and new roles in advance. This can motivate people to work aggressively for the new role and they can see an assured future for themselves in the company.

Task not time

At Best Buys headquarters more than 60% of the 4000 employees are now judged only on tasks or results.

We can define a better model of how to define work. Think task not time

• Articulate the results you expect - and tie accountability to getting jobs done
• Make physical attendance in office, including at meetings, optional.
• Gauge performance on the quality of work performed
• Help managers and employees learn to measure dedication in ways other than face time.
• Use today's networking capabilities to allow employees to work from anywhere
• Support the changes by creating drop in centers, team spaces and open work areas

Shift your definition of work from a place your employees go for a specified period to some thing they do - any time, anywhere. Task not time - a model dominated employment until a century ago - is a powerful way to draw in the newest crop of workers.

---- Harvard Business Review - Feb 2008 ( Page 13)

Putting soul into science

Hi Friends

I would like to share some part of a beautiful book - "Plant Spirit Shamanism" by Ross Heaven and Howard G Charing, I am reading now a days .

Putting Soul into Science

"What I see in Nature in maginificent structure that we can comprehend only very imperfectly, and that must fill a thinking person with a feeling of humility. This is a genuinely relegious feeling. "

Albert Einstein

In our cultural imagination and general view of the worls, we are still part of an archaic science based on measurement as the determining factor for how we should live: as masters of nature and separate from it. Modern scientists, however now believe the very opposite of this archaic view that still permeats our culture. They have broken ranks with old science and returned to old ways, where the world is not just material but "soul filled", alive, intelligent and aware. The circle is almost complete as serpent turns to eat its tail.

The current scintific model is quantum theory, which opens up a curious universe indeed - one in which nothing can actually be measured, since the very action of doing so changes its nature, and the observer becomes the observed. In this universe, matter is made of particles and waves at one and the same time. To observe them, however, they can never be both. To measure ( or even perceive) something, we must arrest the wave in space and time so that it becomes a particle. the wave we are looking at and aiming to meausre then cease to exist. It becomes some thing else: a wave stopped in time. Or we can continue to regard it as a wave, flowing, changing and transient - but then it cannot be measured at all and, in fact ceases to be physical as we understand the term. instead becoming energy in motion ( or e-motion, a term that includes our feeling about it.)

However we look at it, this "thing" we are observing does not exist in its own right. It is the choices we make and our behavious as observer that determines its reality and even then, how we see it changes it. All we can really say is " Things are , if we choose to believe they are" which begins to sound more like metaphysics than physics

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Consumer durable - Consolidation starts now !

The coming times will be tough for consumer durable industry as demand in 2008 will shift from existing brands ( regional or national) to retail brands. In the process many immature players ( manufacturers ) will die.

Designing capability , R & D capability , Raw material prices , Supply chain efficiencies , Skill set, Economies of scale, Industry Eco system, manufacturing processes and practices. will stand in our way ( for a business that runs on low margin high volume)

If we do not grow up to the challenge , we will have to see a dismal situation slowly. What is visible is innovation and consolidation for survival :

Consolidation

-At operational levels, supply chains will integrate for non competing product categories.

-Logistic companies will consolidate ( M&A) to live up to expectation of large retail operations

- To reduce costs marketing function will be more & more outsourced, (network marketing will grow) .

- Product + service will sustain for some time till service part is outsourced by retail chains to create further excellence.

- Big growth of national level service companies to support retail operations. ( no players yet in the Field, except financial services).

- Mergers and acquisitions ( to become a big fish) and consolidation of capacities. Logically coastal regions in central India will see a major industrial boom as logistic costs will be minimum for nationwide coverage and exports will be facilitated. ( opportunities for Chittagong & W. Bengal)

- Business will further disintegrate, specialisation and scale will be created in all parts of business . It may be manufacturing, service, logistic, etc.

- Industry clusters should be visible

- Regional consolidation - ASEAN , SAARC to create bigger markets.

- Inter industry fusion to save costs & create value. Thankfully Software is on our side


Innovation

- Creation of niches

- Product / service differentiation

- To cut costs, increase speed and integrate


- We need thinking at industry levels as average production capacity for plants is low ( to cater to regional areas) and consolidation is expected faster than expected.

- Companies need to find their core competence ( or niches) and stick to them and be the best in their area.

- Incredible India will have to deliver many more brands.

- Horizontal integration will be required at all levels in different business to create value and differentiation. Faster collaboration between different businesses will be seen in business to create new products & offers

So the season is rough and we need to live up to occasion. Faster will consume the slow.

Ideas welcome ! ( every body needs them)

My colleagues at Usha International

My colleagues at USHA International

Left to right --> Lokesh Nagpal( myself), Mr Mittal ( King of fan business in Middle East) & Vishal Anand

Retail -- Retrain to Retain

Hi Friends

I am enjoying and having fun at my job.Recently I was travelling to China & Europe and had interesting expriences of world's factory, Europe & retail development in India

Retail business that is at its peak in UK ( 80% of consumer products dealt by them )is taking its roots in India. I just had some observations and some concerns that I will put forward to you.

China , we are importing some of our products from a world class vendor, I met their marketing team , the person handling Indian business for this chinese company was a school teaher two years ago,The person handling the show had a critical edge as he knew English.( Only relevant in China)

The company is a world class manufacturer with economies of scale and produces products at least cost. They actually donot need marketing as they are the best and most competitive.

Among their stuctures they need only processing guys that can coordinate for production for all the orders received.

On the other hand in Europe , I saw that 80% of the products are being distributed by organised retail sector. Spain , 50% distribution handled by organised sectors and balance 50% by independent retailers, There is a government intervention on no of malls that can be opened in a specific province.

In France the scenario totally changed in a small time when shift happenned from independent retailers to organised retail.

Large retail chains are making their own brands to end the brand game also. Home brands of large retail chains for all consumer products ( All starting from yogurt, baked beans to Home appliances etc.) are available at less prices than established brands. There is a clear shift to products with less prices and brand premiums are under pressure.

My observations are :

Job of a sales man might be extinct after some time.Less salespeople will be required in India ( Specially in metro areas) as organised retails will establish itself.

Brand premiums will come down, you can see shortly Reliance branded Lassi, Bharti brand tomatos ,Tesco Televisions, Carrefour ACs & not to miss Biyani-Cold drinks in retail chains at coooool prices.

Key account management skills might have a requirement, for dealing with large format stores. ( wherein buying exexutives are gods and manufacturer's representatives make a big line to get a 10 minute appointments )

On manufacturing side, retail chains will buy from most comeptitive sources from India ( or China) and all small scale manufacturing will go down the drain. only effeciencies will survive.


All that you require will be coordinators of production at factory and floor management staff at retail chain counters + supply chain management , may be some consulting assignments jobs will be there to facilitate understanding of markets and entry of large retail operations in India.

More jobs will be available in Supply chain management

My concern is what will happen to job of my neighbour who works in a near by factory, which might have to close down shortly due to less effeciency parameters.

I might have to go back to school and learn new skills as the skills I was trained and had experience might not be required.

On manufacturing side , only large scale, effeciently managed factories will survive and balance will have to wind up their business ( Slowly) .

Distribution channel will have less number of layers and lot of small businessmen ( & their staff) will have to find new avenues for themselves.

I can see a turbulance in times to come. Jobs in my feild will be less and lot many people fighting for it. My skill set might no longer be required and cost of retraining myself in wake of no job will be tough. My concern is that

People are not aware of what new skill will be required?

What will be the cost for the same?

How can we prepare ourselves for the same ?

I cannot see a training infrastructure that can help me and my friends for the new skill sets ?

A big number white collar work force will be forced to retrain themselves for preparing for the times to come. Are they ready or even aware of the same?

There can be interesting solutions for the same . Big business also might develop on account of these changes . (E-Learning, Adult education, Executive education, LMS, Training etc etc)

We can discuss all about the same over "a cup pf tea"

Africa - From brand sensitive or price sensitive to Value Sensitive

Markets in Africa are either brand sensitive or price sensitive. Retail or institutional customers often go for European brands and pay a phenomenal price as they donot have any clue for the actual value of products or they go for whatever there pocket allows.

In this way either they pay much more than the value of the product, just to be sure of quality & life of the product, which is often not supported by service

or

Customer ends up buying a cheap chinese gadget that has an attractive price but no life or reliability. Cheap product often does not deliver value and have small life, for which the customer goes again and buys a product that fits into his pocket and the cycle continues.

In both instances , customer ends up paying much more for little.

Is this what customer really wants ?
Why it happens ?
How it is facilitated?
What are the options ?
Whether financing the customer help or whether financing the customer possible?
Who will educate the customer?
Role of inspection agencies & their effectiveness?
What are possible solutions ?
What can government do about the same?
How can companies positioned at "value for money" segment reach to these vast markets?

Lets look at these situations and questions.

Your point of view is welcome.

Lets meet over " a cup of tea "