symphony 2011

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From the Director’s Desk

It gives me immense pleasure and pride

to introduce to you the third edition of

Symphony, the annual magazine of IIM Shillong.

Symphony seeks to strike a harmonious chord

with its audience as it does with the state of Meghalaya, where we are located. Situated in the

serene environment of the North Eastern part of the country, we at IIM Shillong aim to become

a global Center of Excellence for the 21st Century Management Education and Research. This

magazine is committed to expand the frontiers of knowledge and signifi cantly contribute to

the challenges of management.

The third edition of Symphony is based on the theme of ‘Inclusive Growth’ which has become

one of the top priorities for all the economies in this world. The magazine also publishes an

interesting mix of articles, ranging from management lessons from the human perspective to

the campus life at IIM Shillong and includes a variety of creative sections. I hope this edition

provides an enriching knowledge experience for its readers.

Considering the current global economic instability, corporates are looking for managers

equipped with skills who can make their economic growth sustainable in the long run. With

such a foresight, we have identifi ed Sustainability as the basic Foundation and formulated the

same as a part of curriculum in our fl agship Post Graduate Programme. At IIM Shillong, we

equip our participants with an understanding of sustainability and accelerated development

of the society from a holistic point of view rather than just in terms of economic parameters.

Our goal at IIM Shillong is to constantly innovate and produce research based knowledge that

would have an impact on the society in which we reside. To achieve success under tough and

critical situations is a quality which we embed in our participants.

I congratulate the Editorial Team of Symphony, for doing a great job of publishing the third

edition of the annual magazine.

Taking forward the achievements of the previous two batches, it is my sincere hope that the

students of IIM Shillong shall continue to bring pride to the Institute and the Country.

Prof. Ashoke K Dutta

Message for

“SYMPHONY”

As faculty advisor, I feel great pride in introducing

the third edition of Symphony to the readers.

The mission is to educate by producing unique and high-

quality intellectual capital put forward by our student

community and placing Symphony as a key asset of our

institution. I am very impressed by the way our students

have exhibited their management proclivity showcasing

their breadth of knowledge by focusing on one of the

most pressing issues in the world which is ‘Inclusive Growth’. The magazine presents

an eclectic collection of articles on contemporary management topics which we feel

confi dent will heighten the readers’ interest.

I take this opportunity to congratulate the Editorial team of Symphony for making

this edition a grand success. I sincerely hope that the magazine will strike a chord

with readers, in accordance with its name. Happy reading!

Prof. Naliniprava TripathyFaculty Advisor

Chairman- Research & Publications

IIM Shillong

Faculty Co-Advisor: Dr.Tapas Giri

Editorial Team

Deep Mehta

Pritha Sharma

Priyanka de Noronha

Ritika Parasrampuria

Sawan Singamsetty

Srikkant R

From the

Editorial TeamDear Readers,

We take great pride in bringing to you the 3rd edition of Symphony, the annual magazine of IIM

Shillong. The collective eff orts of the participants of IIM Shillong have culminated in Symphony. The

word ‘Symphony’ means ‘agreement or concord of sound’, and it is along these lines, that we hope that

this magazine will strike a harmonious chord with the reader.

The magazine is a platform for budding managers to pen down their thoughts on contemporary issues

and management trends, and refl ects the passion and zeal with which they seek to address these

issues through their learning and experiences. Further, the magazine also gives a glimpse into the life

and interests of the vibrant student community in Shillong and their contribution to the country and

social community.

The theme of this year’s edition is Inclusive Growth. With more than 70% of India’s population below

the poverty line, struggling to gain access to opportunities of growth, fi nance and progress, we

feel it is of paramount importance to focus on inclusive growth and its related challenges. India will

truly develop as a nation only when it creates economic opportunities for all strata of society and

the benefi ts of economic growth are equitably shared. From a management perspective, we have

explored inclusive growth through the cover story and through articles like Understanding the Indian

Rural Market, Managing SMEs, the Social Implications of Land Acquisition, Growth in Bamboo Use and

Woes of Ageing Nations.

In addition, the magazine incorporates articles across domains and functions with an aim

to provide a holistic perspective on current world issues. This edition presents new

and interesting insights into diverse topics ranging from the need to rethink the

Indian education system and management lessons from human evolution to IPR

and Modern Crimes and Modern Colonization.

We are privileged to present in this edition an interview with Mr. Shouvick Mukherjee,

VP and CEO, Yahoo! India R&D. He has vast experience in the Technology Industry

and has been with Yahoo! for over 12 years. His valuable insights on the challenges

in managing a technology fi rm, corporate strategy and proactive leadership have

been captured through this interview. We are also extremely pleased to present an

interview with Mr. Vijay Mahajan, Head of Basix Microfi nance, President of

Microfi nance Institutions Network (MFIN) and a stalwart in the Micro

Finance Industry. In tune with this edition’s theme, the interview talks

about how microfi nance institutions can help achieve inclusive growth.

We are grateful to our esteemed Director, Prof. Ashoke K. Dutta and

our mentor, Dr. Naliniprava Tripathy for their continuous guidance and

motivation without which Symphony would have been impossible. We

would also like to thank the Junior Symphony team for the tremendous

support they’ve extended for the release of the magazine.

The dream behind Symphony will be realised only if its rhythm resonates

with the audience.

Team Symphony

Contents

Article

Building a stronger India through Education 6Exploring the true meaning of education, and how education, in its full measure, can help India achieve its developmental goals

The Woes of Ageing Economies: Does India have an Advantage? 8While India is a young country with a dynamic workforce, India’s population growth must be supported by appropriate developmental activities

Social implications of Land Acquisition 11The social impact of displacement and the need for rehabilitation, resettlement and community development

Rethinking Gambling in India 13Exploring factors that make legitimizing gambling a sound business case for India

Discovering a way out of Black Money 16Why tackling India’s black money problem is more important than just the Jan Lokpal Bill

Indian Telecom Industry: Much Ado about Nothing? 18Going beyond the hype to take a good hard look at India’s sunshine sector

Where the heart meets the mind: How women make a difference 20Identifying factors that make the fairer sex inherently better positioned for success

2000s: A politically incorrect recapitulation of the decade that was 24A rendition of an incredible decade in view of signifi cant events that have changed the world

Modern Colonization: An Africa Perspective 26What remains after the mad scramble for colonization

Inclusive Growth: Cover story 28Why India’s goal of inclusive growth can no longer remain merely a populist agenda

In Conversation with Vijay Mahajan 32Insights on inclusive growth from the Chairman of BASIX Microfi nance

IT Services: The rough road ahead for Indian Players 35Why big players in the IT services industry should have a well-rounded service portfolio to continue to perform in the face of an impending recession

Bamboo Growth…Bulldozed! 38Identifying the urgent need to organize the handloom and handicraft industry in North-East India

Managing SMEs: An HR perspective 40Why HR and the Balanced Scorecard approach are increasingly important for SMEs to survive amidst a fi ercely competitive business environment

Understanding the Indian Rural Market 42Analysing rural consumer behaviour to help companies make the right value proposition in this huge and largely untapped market

The Perils of Intellectual Property Rights 46Using IPR intelligently as it becomes the new battleground for technology majors

In Interview with Shouvick Mukherjee 48Leveraging on this Yahoo! veteran’s expertise to better understand innovation and technology

Where’s the Time? 51A simple and practical tool to develop and hone time-management skills

Learning from Famous Cases of Biomimicry 54What businesses, in their move towards sustainable growth, can learn from Nature’s principles of biomimicry

Management Lessons from Human Evolution 56Some pointers that businesses can take from Man’s story of evolution

Winds of Change 58Is RBI prepared for the entry of corporates in the banking sector?

Green buildings 60A Futuristic Housing Solution

A Sneak Peek into Campus Life 64Life at IIM Shillong

Epilogue 65A personal narrative on love and pain

Centre for Development of North East Region 66IIM Shillong’s initiative to respond to needs of the local community

Bittersweet Symphony 68A poem refl ecting the anguish of a women who experiences a tragic loss

India from the eyes of time 69A narration of the hardships that India faced as seen from the eyes of Time

I’ll try again 70Poetic composition of a girl who falls back on her mother for support during diffi cult times

Student activities 71Student clubs, committees, achievements, corporate visits and the like…

The truth about Albert Einstein’s statement

‘Education is what remains after one

has forgotten what one has learned in school’ is so

stark that it comes as a jolt to all of us who claim

to be ‘educated’. Education, which was conceived

as a tool to achieve uniformity, has ironically

become a diff erentiator, segregating people

into the ‘Educated’ and ‘Uneducated’ classes. A

person’s, a family’s, a state’s and the entire nation’s

progress is governed by the so-called educated

ones. This leads one to explore what Education

really is. If education is merely the ability to read

and write, ’literacy’ would be a more apt term to

use. If it refers to the skill to make quick decisions,

it is common sense - for often it is our experiences that

infl uence our decisions with instinct also playing a major

role. If that is the case, what is the need for Education?

Before we answer the question before us, it is imperative

that we defi ne ‘education’. The word ‘education’ is often

used interchangeably with literacy, knowledge, training,

learning, schooling, aptitude and common sense. The truth

is, there is no single way of defi ning education. All the

above terms are parameters of education, yet none of them

are sole determinants of it. Having said that, education is

indeed a critical factor for development. It creates awareness

in the minds of people about themselves as well as their

environment. It facilitates creativity and innovation and

Building a Stronger India through EducationSowmya R.

Exploring the true meaning of education and how education, in its full measure, can help India achieve its developmental goals

6 SYMPHONY 2011 IIM SHILLONG

becomes a channel to put forth views, ideas and

thoughts. With creativity and innovation being

precursors to development, education in turn aids

national development.

How can we build a stronger India through a focus

on education?

There is an urge now to scrutinize the current

education system in the country. Grades and

percentages seem to govern and exercise greater

control on our minds than anything else during

our formative years. The infl uence is so great that

students form islands among themselves based

on the scores they have obtained. Admissions to

colleges are largely determined by grades, and

cut-off s are becoming increasingly high and are

making us puppets in the hands of the system.

Education, instead, is meant to shape the overall

development of a person’s awareness, his domain

knowledge and general knowledge, his intellect

and overall personality. It is hard to achieve

intellectual and personality development when

we’re fi ghting amidst the crowd to be ‘accepted’

by virtue of our grades. Yet, there is no need to

do away with grades completely. We continue to

be graded in the workplace, in the family, among

friends and strangers, and it is not in our capacity

to delink ourselves from these grades. Grades are

and will remain a part of the system, but what

is needed is a change in perspective. There is a

concept called ‘Nishkaam karm’ that suggests a

greater focus on the work process rather than the

end result. Is it possible to incorporate this into

the Indian system so that grades are no longer the

center-stage of measurement?

Another impediment in the path of knowledge

discovery is the high cost associated with

education. If education is a means to

developmental goals and the growth of the

individual, society and country as a whole, it is

imperative that it should lie within the grasp

of a king and a beggar alike. How can India

truly achieve growth unless it is inclusive? The

reservation system which is passed off as a means

to ensuring just this very proposition needs

to be examined more closely. The reservation

system was formulated based on the caste divide

prevalent in our country because of which the

ostensible lower strata who could not aff ord

education were given waivers and scholarships.

But today, the same system has led to a high

amount of angst among general merit students,

who by the virtue of not being a formerly

oppressed class, are deprived of a seat they well-

deserve. I am not professing that the reservation

system should be abolished, for that would shatter

the dreams of citizens who have been deprived for so long. I

am only suggesting that the basis for reservation should be

made economic, i.e. monetary capacity, rather than social,

i.e. caste. It is sad that the affl uent, educated class of the

country, the hope of the nation, those who can actually help

the hapless poor gain access to education, often leave the

country in search of better prospects. Brain-drain is rising at

an alarming rate, with increasing incomes making foreign

education aff ordable to even the middle class. There is,

therefore, a need to retain the country’s talent by increasing

the standard of education through collaboration with the

best institutes worldwide. It is ironical that while some can

aff ord expensive education, others cannot even aff ord to

get enrolled in a primary school. The gap is widening.

A chain is only as strong as its weakest link. We cannot seek

to build a stronger India unless we strive to tackle every

problem at its root. The Australian Government, under

its Nation Building Economic Stimulus plan, is investing

in education, skills and training of the youth in order to

boost productivity and national prosperity. The Right

to Education Bill was a long due initiative taken by the

Government to provide free and compulsory education

up to 14 years of age. We are yet to see to what extent it is

successful, but nevertheless it has set the right context for

any future action in this sphere. If it does get implemented

successfully, it will renew hope and faith in thousands of

families and young minds and will invigorate the desire

to excel. Having worked with an NGO and interacted with

children in slums, an observation that caught my eye was

the lack of infrastructure and good teachers in government

schools. Neglect and meager wages have left teachers

demotivated and while initiatives like free mid-day meals

may ensure attendance, learning and knowledge, the take

away from school remains questionable. Unless these

conditions improve, the bill may not be successful even if

implemented to its full measure. In addition, it is critical to

transform the mindset of these children and their parents

to make education a top priority for them. They need to

be made aware of the benefi ts of being educated and the

independence and the opportunities that it has to off er. I

am reminded of a wise saying ‘Give a man a fi sh, and you

feed him for a day; instead, teach him how to fi sh and you

feed him for life’.

This is exactly what education should do, and to a certain

extent does. I say ‘certain extent’ because though we

innovate and stand on our own feet, we are still bound

by a framework and unless its boundaries disappear, the

true purpose of education cannot be achieved. These

boundaries are social, cultural, political and psychological,

and we have to break free from these shackles and emerge

as one unifi ed body, with a single objective. Certain reforms

are therefore necessary to allow education, to bring out

the best in us. And only this would be a true measure of a

country’s progress, a sure sign of nation building.

SYMPHONY 2011 IIM SHILLONG 7

The Woes of Ageing Nations: Is India At

An Advantage?Pritha Sharma

Talk about the biggest problems that hinder India’s

development, and our large population is right

at the top of the list. At a count of 1.21 billion people, we are

the second most populous country in the world with lack of

food and water security, unemployment, lack of healthcare

and poverty contributing largely to this. In the backdrop of

the tremendous challenges being faced by ageing nations

today, there is a need to rethink whether our growing

population is really slowing us down.

With tremendous economic development and medical

advancements, developed nations have managed to

achieve, among other things, exceptionally high standards

of living, access to superior medical facilities, improved

life expectancies and reduced death rates. Developing

nations are striving to achieve the same progress and

with changing social and family patterns, birth rates have

declined considerably. We, as a world, are ageing.

Ageing is the phenomenon when people live longer and

have fewer children, increasing the median age of the

population. The US Department of Health and Human

Services predicts that by 2030 a total of 1 billion people are

estimated to be above the age of 65 years. The phenomenon

of ageing population is aff ecting the developed nations

much more than the developing nations. The median ages

of people in several European nations, Japan, USA and

Canada are above 40 years. By 2025, one in fi ve Europeans

will be over 65 years while 19% of the US population will

be above the age of 65 years. This, combined with slow

or negative population growth of these nations can be

damaging to economic health.

While the average age figures of the Indian population presents India as a young country with a dynamic workforce, India’s population growth must be supported by appropriate developmental activities for India to fully leverage on her young populace

The two biggest eff ects of ageing are the declining

working population and the increasing dependent

population. As the working population declines,

the GDP growth rate and savings rate decrease,

eventually leading to an absolute decrease in GDP

and savings. Tax revenues for the government

will also fall. Fuelling these problems will be the

increasingly ageing population and dependency

ratios, leading to lower per capita income, a

further decline in savings and severely marred

capital investment and economic growth. Another

issue for developed nations is the outsourcing of

jobs from developed to developing nations. But

the decreasing workforce of these developed

nations shall make them even less competitive for

establishment of labour intensive industries thus

adding to their agony.

Worsening the situation will be the huge social

costs associated with social schemes for the aged.

As more and more people age, fi scal spending

on pension systems, healthcare and other social

benefi ts will increase, putting tremendous

pressure on the government to sustain such

programmes. Apart from these measurable

infl uences, population greying will steal away from

a country its young and vibrant generation that

innovates for the country, that sets up businesses

and kindles a spirit for social advancement and

transformation. Without these, any country would

be rendered technologically, economically and

socially backward.

Developed nations have already sensed the

length and breadth of damage that their ageing

populations can do. There are

a variety of policy changes

being suggested to mitigate

this potential damage, each

with its own set of problems

and limitations. For instance,

encouraging families to have

more children is an option that

attempts to change the social structure of the country

and will invariably take time to make an impact. Another

option is to increase the savings rate and the return on

savings. However the gross savings as a percentage of GDP

for USA and several European nations has been falling by

a percentage or two over the period of 1995 to 2006 and

has further dipped since the recession struck. For nations

like Germany and Canada which showed improved savings

percentage during the 1995 to 2006 period, the savings

rate dropped in the recessionary period. With the double

dip recession and the staggering economy, the idea of

improving the savings rates and returns on savings is a

far-fetched dream. Also the governments of European

nations should promote foreign as well as local businesses

to improve the productivity of their businesses. But given

the bad shape of the economy and the structural changes

that each of these solutions requires, we need a signifi cant

amount of time before any of these solutions can take eff ect.

In a matter of over a decade, developed nations shall face

a severe crunch of working citizens and may well lose

their competitiveness and business potential. Worsening

economic conditions in the shorter run in combination

with deterioration in technological, business and social

advancement in the longer run will impact the overall

prosperity of these nations.

At the same time, countries will look towards developing

nations for productive labour, new business opportunities,

technological innovation and leaders of social change.

There is no doubt that the odds are changing in the favour

of young and growing developing nations.

Where does India stand?

Today, we comprise 17.43% of the world’s population and

are home to 11.15% of the 15-64 years age group. Our

population of 1.2 billion is growing at a rate of 1.3% per

annum with a median age of 25.9 years. This growing

populace is probably our biggest strength against the

backdrop of ageing nations and the increasing dependence

on developing nations for labour and trade.

A large population with a huge talent pool and cost

advantages of cheap labour are signifi cant drivers for

business investments in India. In addition, with an increased

focus on higher education, professional education and

literacy for women and children, our country is churning

out a large number of graduates, professionals, technical

Demographic Details of Developed Nations

Country Population Median Age

Growth Rate of Population

USA 0.90% 36.8

Germany -0.30% 43.7

France 0.50% 39.7

Switzerland 0.80% 41.3

Spain 0.60% 41.5

United Kingdom 0.70% 40.5

Japan -0.10% 44.6

Demographic Data for Developing Nations

Country % of World % of Population Population Median Age

Population in the Age Group Growth Rate of Population

15 - 64 years

China 19.30% 72% 0.50% 35.2

Brazil 2.75% 67% 0.90% 28.9

South Korea 0.71% 73% 0.30% 37.9

trainees and other vocational trainees each year

further giving businesses a sound reason to invest

in India and to tap the cost advantage of our

growing pool of employable people.

For some time now, the same scenario existed

for several other developing nations. However

demographics tell a diff erent story for the future.

The Chinese population has a median age of 35.

2 years and with a lower mortality rate and a one

child policy, it is forecasted that by 2020, 11% of

Chinese citizens will be above the age of 65 years.

The median age is expected to rise to 45 years by

2050. The population is already ageing! According

to a recent survey by the Ministry of Labour and

Social Security, manufacturers in the Yangtze

and Pearl River Deltas faced labour shortages of

over 10%. With an ageing workforce, the Chinese

manufacturing sector will be forced to retain

existing workers for longer tenures and also

employ older workers, leading to a substantial

increase in labour costs and taking away from

China its ability to remain the top low-cost

outsourcing destination.

The South Korean economy is growing at a

very high pace too. It relies heavily on both the

manufacturing and services sector, with its key

strengths being quality services at competitive

prices, a skilled workforce, high productivity and

innovation. However, the South Korean population

is ageing at one of the fastest rates across the

world. In just a matter of two decades - from the

1990s to 2010 - its population has changed from more

young people to more old people. With such demographic

conditions, it will be extremely diffi cult for South Korea to

maintain its competencies of quality, competitive prices

and most importantly a skilled and innovative workforce.

With favourable government policies and large domestic

markets, Brazil has become an attractive target for FDIs.

Its IT services industry is growing at a remarkable rate and

its low median age of 28.9 and population growth rate of

0.90% is making it a strong competitor for India’s IT industry.

Thus, the population ageing problem is not confi ned to

developed nations only. In many developing nations,

population ageing is going to pose severe problems in the

near future and will limit the number of manufacturing and

service hubs. Yet India continues to grow at a rapid rate

with a median age of merely 25.9 years. With its promising

workforce, improving government policies and a growing

consumer base, India will soon become a top notch choice

for business investments.

However, tapping this opportunity will be an onerous task

for us. For one, the government must initiate reforms that will

make India a more convenient and economically attractive

destination for businesses. Two, a growing population alone

will not attract investments. We have to turn the growing

number of people into a growing pool of literate, skilled

and employable workers. Although the literacy levels in

our country have improved signifi cantly, it still stands at

74% only, with huge variations across states and regions.

In turn, the progress of healthcare and living conditions in

the country is still not up to the mark. In rural areas, families

with several children are being supported by one or two

earning members. Children who are deprived of adequate

food, proper living conditions, healthcare and education

are much less likely to be able to eff ectively contribute to

the employable workforce, making it imperative to ensure a

proper balance between population growth and population

control programs. Growth should be adequate to expand

our population, but controlled enough so that each child

can be nurtured without having to face a lack of resources.

Only with a balanced approach can upcoming generations

be made drivers and not hurdles to our growth story.

Social Implications of Land Acquisition in India Chandan Rout

Land is a valuable resource and with the

burgeoning population pressure

and development mania, the demand for land is

continuously spiralling upwards. To add to it, the

incessant mining activity and exploration projects

are a big trade-off . The cases of Singur in West

Bengal, POSCO in Orissa and the recent agitation

in Greater Noida bring forward the widespread

implications of land acquisition. In this context,

it will not be wrong to quote John Rawls, “Each

person possesses an inviolability founded on

justice that even the welfare of society as a whole

cannot override”.

Unfortunately, according to the Constitution of

India, the Right to Property is not a fundamental

right but rather a legal right, which means that

no person shall be deprived of his property, save

by the authority of law. The government is busy

acquiring land under the doctrine of Eminent

Domain for the Greater Good and ‘development’

purposes. The term ‘development’ is a grey

word since it defi nitely means growth for the

government and the industry alike, but it does not

benefi t in true measure the actual owner of the

land. Thousands of acres of land are being taken

over in exchange for a few lakhs or a guaranteed

job. On practical lines, a compensation of a few

lakhs is way less than the actual value of land in

the long run and the guaranteed job does not

guarantee continued employment and income

owing to the lack of relevant skills.

There is a long history to land acquisition in India. It

started during the British rule when the laws were

framed to ensure that land was acquired without

much hassle. Again land reforms were introduced in the

1990s to ensure participation of private as well as foreign

players in the fi eld of mineral exploration and mining. Since

then land has been acquired by the government with the

intent of ‘public good’ but this actually appears to be an

opportunistic stance. The government is busy acquiring

land from farmers and tribals to sell or lease the land to

private players at a hefty price. Owners losing their land are

not being rightfully compensated. Let us take the case of

POSCO’s 12 MTPA steel plant proposed to be set up in Orissa

at an estimated cost of $12 billion (the largest FDI in India

till date). The Orissa government has started allotting land

in Jagatsinghpur district (the proposed plant site) which

was being used for betel plantation and other cash crops by

land owners. Most of the project site is proposed to come

up close to the captive port which is being developed by

POSCO to solve the transportation issue. The disconcerting

fact is why the government planned to do away with arable

and fertile land and not allocate barren land for setting up

the steel plant. Also, when there already exists Paradeep

port in the vicinity, there was no need to give permission

to POSCO for building a captive port at Jatadhari which

would deny access to outsiders (ironically the insiders are

the outsiders here). According to a report by the National

Institute of Ocean Technology (NIOT), Chennai, the

construction of the port will cause extensive land erosion

and pose a serious ecological threat to the nesting beach

of the Olive Ridley turtles. It seems that the stepstaken by

thegovernment might be in the economic interests of the

state but their actions are skewed towards the steel giant

which is not a good sign for times to come.

We have to, however, concede that it is neither possible

nor wise to completely shun away from the development

phase especially in the current economy where growth and

development are inextricably interlinked. Singur lost Tata’s

The social impact of displacement and the need for rehabilitation, resettlement and community development cannot be overstated. Companies need to engage with locals to socialize people to the change and ensure guaranteed employment in the long run

Nano project to Sanand and the same fate might

befall Orissa and its growth story. The Eastern part

of India is less developed compared to the rest of

India and impediment to rapid industrialization is

one of the factors responsible for backwardness.

The need of the hour is clarity of thought and a

sensitive bent of decision making. It is a good

sign that foreign players are willing to invest in

our land and provide employment to a sizeable

population, but is this benefi t camoufl aging

the greater evil? Given that minerals are a fi nite

resource, we should have fi rm policies regarding

mining and exploration and the local people

should be made stakeholders in such decisions.

There lies another big question which needs to

be addressed - Resettlement and Rehabilitation

(R&R) steps post-displacement that players in the

industry promise to off er. One needs to continually

keep local interests in mind since the locals are

important primary stakeholders, and neglecting

them will be nothing short of committing cruelty.

Take for instance the POSCO project which will

displace 2000 odd people (roughly 400 families)

comprising farmers, landless agricultural

labourers, betel vine cultivators and local

fi sherman. Each of these families has a distinctive

earning pattern and hence needs to be adequately

and rightly compensated for their loss of income.

The compensation should not only be in terms of

a one-time lump sum payment but rather in terms

of providing them with a continuous means to

income with equal returns of the same measure

as that provided to them by their agricultural or

piscicultural activities. Apart from compensation,

the rehabilitation program should be made

more inclusive so that the aff ected individuals

develop a sense of belongingness for the project

at hand. First, the local people must be given preference

in employment and they should be made industry ready.

To achieve this, it is imperative to impart proper vocational

training to them to ensure that they are well equipped

with the requisite technical skills. Second, eff orts should be

directed towards both-encouraging investments in local

healthcare facilities and cleanliness drives as well as in the

education sector like providing scholarships, education

loans and imparting training to teachers which will provide

long term tangible benefi ts to the locals. In other words,

a proactive approach has to be adopted by any industry

entrant and they have to be visible and transparent in their

practices especially when venturing into foreign territory.

Signing Memorandum of Understandings with the state

government and getting a go-ahead from the Centre and

the Ministry of Environment and Forests only ensures

compliance with legal regulations operating in the country

at that point. A multi-pronged approach has to be followed

with the needs of local stakeholders being addressed.

Rehabilitation, resettlement and community development

have to be part of the plan and companies need to engage

with local people to socialize people to the change. At the

same time, it is necessary for fi rm rules and regulations

to be implemented at the Centre with mechanisms for

public consultation and participation. No player should

be bestowed with a preferential advantage of any kind in

order to ensure a healthy business environment. Had there

been a proper framework devised taking into consideration

the diff erential interests and long term versus short term

benefi ts of the various stakeholders involved, Orissa

would have embarked on her journey to further economic

prosperity and set an example for others to follow.

Rethinking Gambling in IndiaRitika Parasrampuria

According to the Research

and Markets report

‘Global Casinos & Gaming’ (2011), the gambling

global market is valued at US$381.8 billion, with

the Asia-Pacifi c sector accounting for 43.2% of

this value. While growth slowed down during the

recessionary period, the market is now expected

to grow at a CAGR of 6.1% to reach a value of

US$512.9 billion by the end of 2015. Why then

are governments around the world apprehensive

about legalizing gambling?

Gambling (commonly referred to as betting) is

the wagering of money or anything else that is

valuable, on an uncertain outcome, with the hope

of gaining additional money. For most part, it is

regarded as taboo, and like smoking, drinking

and drugs, has a social stigma attached to it. Why

do some governments not legalize gambling

activities? The common answer to this would

be that it ruins the poor. Governments in many

countries believe that the social benefi ts that

accrue from gambling are considerably less than

the social costs.

What are these social costs and benefi ts?

Social costs are indeed more diffi cult to measure

quantitatively as opposed to economic costs,

owing to the complexity of establishing the

true cause-eff ect relationship between social

problems and gambling. It is often seen that

individuals get addicted to gambling and become

‘pathological gamblers’ or victims of ‘problem-

gambling’. Studies show that approximately 0.5%

Exploring factors that make legitimizing gambling a sound business case for India

of the adult population in the US and Canada is

either pathological or problem gamblers. Various

studies suggest that pathological gambling largely

manifests itself in the form of increased family

problems and problem gamblers are found to be

affl icted with anxiety, depression, low satisfaction

problems, increased drug usage and alcohol

consumption. They are inclined to sell private or

family property without the knowledge of loved

ones in order to gamble more or protect themselves

from the shame of bankruptcy. Further, they

spend less time with family members and friends,

and engage in illegal and criminal activities far

more than non-pathological gamblers. It doesn’t

stop here. Families of individuals who suff er from

pathological gambling witness higher divorces,

are victims of domestic abuse, and the children

of gamblers are often left behind locked in cars

or at homes for a long period of time while they

gamble. Some of these eff ects can be controlled

by the law whereas others cannot be. For instance,

the Australian government imposes heavy fi nes

on children being left behind unattended in cars.

Therefore, having stringent measures in place can

minimize the negative eff ects of gambling.

Gambling can have serious fi nancial implications

not only on individuals and their families, but

also on society, because of the economic costs

associated with job losses, unemployment, higher

bankruptcy and suicide rates, and poor physical

and mental health of the citizens. Perhaps, this is

why several religions like Hinduism, Buddhism and

Catholicism strongly discourage the legalization

of gambling. But, is preventing legalization of

gambling a solution for this? Prohibition has not

stopped people from drinking or smoking in

public places, why then, do lawmakers believe that banning

gambling will stop people from indulging in it?

It is important to note that gambling has been part of the

Indian culture for the last 400 years. Some of the oldest

epics and scriptures, like the Mahabharata, mention stories

of Yudhishthira, who lost a game of dice to his opponent

Shakuni who was cheating, and stories of Nala, who lost his

kingdom to his younger brother but later was tutored and

won back his kingdom. It does seem that that the ancient

lawmakers were far more foresighted than the modern law-

makers who framed laws in 1867 prohibiting gambling in

India. This law, known as the Public Gambling Act of 1867,

is a central legislation that applies to all states except the

states of Sikkim and Goa. It bans all games except those

which involve skill.

Legalizing gambling will bring in transparency and revenue

by way of taxes and employment opportunities. In the US

alone, the government collected US$7.59 billion in taxes

from commercial casinos and US$ 16.3 billion by way of

lotteries. The US commercial casino industry employed

around 3,40,564 people in the year 2010. According to a

KPMG report (2010), the Indian gambling market was worth

about US$60 billion. However, most of this market is illegal.

Making gambling illegal doesn’t eliminate gambling, but

rather drives it underground and breeds more black money.

If betting on horse racing can be termed as a game of skill

and be legalized, even betting on sports like cricket should

be legalized. The amount of money being bet during IPL

matches and World Cup matches through bookmakers and

online websites is phenomenal. Media reports suggested

that over US$4.27 billion had been bet on IPL 2010 and over

12 billion was bet on the World Cup 2011 before it even

started. Wondering where this money comes from

and where it goes? Investigations have revealed

that this money, more often than not, comes

from drug mafi as and the underworld and goes

into funding terrorist activities, drug traffi cking

or to off shore accounts. The wealth generated via

betting doesn’t reach India but is rather ploughed

back into illegal activities. And a vicious cycle

ensues. Regulating gambling will help minimize

the involvement of underworld and drug mafi as.

The funds that come by way of revenue to the

government can be used to provide better

education, infrastructure and social welfare for the

citizens of India, instead of being used to further

crime in the country.

Gambling or gaming should include offl ine and

online wagering. Indian society discourages

games of chance and probability as they believe

it leads to loss of hard-earned money. Goa and

Sikkim are the only two states in India that currently

permit gambling whereas there are 13 states that

permit organising of lotteries. Some states have

also legalized horse-racing and dog-racing. There

are no explicit laws either banning or permitting

online gambling in India. Most of the gambling

laws in India are outdated as they were framed in

the era of 1860 to 1980s. At that time, the concept

of television, media and the internet as media

for gambling could not have been anticipated

while formulating laws. Since then, there have

been no further amendments to these laws to

provide clarity on online gambling. However,

with the advent of the Sikkim Government

giving licenses to operators under the Sikkim

Online Gaming (Regulation) Act, 2008 under the

condition that their servers should be set up in

Gangtok, there arise uncertainties about whether

people from other parts of India can participate.

The Indian laws being archaic, it is nearly impossible for

these businesses to carry out their day-to-day payment

operations. The online gaming business requires customers

to transfer money for placing bets to operators through a

banking channel. The operators, too, transfer the winnings

to the bank accounts of the players after withholding the

appropriate taxes. However, currently, banks and payment

gateways are hesitating to participate in transactions

relating to gambling and lotteries as they are prohibited

under Rule 3 of the Foreign Exchange Management (FEMA)

Act. This is creating a major hindrance for the operators

despite having received provisional licenses from the state

government. So far, the Indian authorities were depending

on ‘The Information Technology Act’ and the FEMA Act to

curb overseas gambling in India. But now, with provisional

licenses being given by an Indian state, no one knows what

the future of online gambling or gaming in India will be.

But one shouldn’t ignore this industry owing to the massive

scale at which it is expanding worldwide.

In my view, gaming and betting should be legalized in India

and foreign direct investment should be allowed into this

sector. Considering the size of the gambling market in India,

one can conservatively assume that if betting and gambling

were to be legalized, it could account for nearly 2% of the

country’s GDP. Imposing special taxes on activities of betting

and gambling could also act as a discouragement for players.

This was seen in 2010, when the government imposed an

additional tax of 10% on horse racing in Mumbai and Pune.

The increase had a negative impact on the bets recorded

on the days following the increase. Special taxes would

also ensure added revenue to the tune of billions of dollars

to the government. India could use funds generated from

here for various rural and social welfare programmes and

schemes. Thus, legalizing gambling will ensure control on

match-fi xing, will help control the gambling addiction and

will bring in large amounts of revenue for the government.

Further, it will minimize black money, provide employment

opportunities, reduce funding to terrorists and criminal

activities and ensure greater national security along with

the overall development of the nation.

The hue and cry being raised by

the Jan Lokpal Bill controversy

has brought to the light a national shame –

the stashes of black money kept in the tax

havens of Europe and the lack of political will

to address the issue with a greater concern.

According to a rough estimate, the sum of

money is to the tune of at least $1.4 trillion

which is 13 times more than India’s foreign

debt. But the question that bothers me is

what will be done with the money even if it is

recovered by the government.

Let us fi rst see why money is being hoarded

in such astronomical numbers. Money is a

unique entity - something which is almost

Why tackling India’s black money problem is more important than just the Jan Lokpal BillDiscovering

a way out of BlackMoneyAritra Nayak

institutions that are crippled by corruption, even private

organizations are no longer free from corruption. There are

umpteen stories and reports which have shown how private

organizations have fallen victim to corrupt practices. Take

the example of the many educational institutes that accept

‘donations’ from prospective candidates for admission. This

is a shame for our society, especially as India strives for free

quality education and the right to education by the very

virtue of its constitution.

So are all eff orts futile? Will India never be able to do away

with corruption or is it that the 40% people below the poverty

line will forever be damned to a life of hardship? The only

way out is a radical change, not only in the administration

of the country, but also the economic policies of the society.

One of the most important steps shall be to do away with

whatever ‘babu-dom’ is left in the system, perhaps through

privatization of non-performing assets of the government,

to begin with. If the core of the Government machinery,

the bureaucracy itself, is not evaluated by its performance,

then it is bound to spread into society like an epidemic that

career growth can be achieved even if you do not work with

responsibility.

It is ironic that India struggles with such a problem when it

is the land of the famous Bhagawad Gita that says ‘You have

a right to perform your prescribed duty, but you are not

entitled to the fruits of action. Never consider yourself the

cause of the results of your activities, and never be attached

to not doing your duty’. If people were to accept and live

by these principles, may be tomorrow will be a new day

where ‘corruption’ and its evils shall only be like a fossilized

dinosaur from the past. It is also the moral responsibility of

the people and the education system to at least sensitize the

next generation about the important ethics of honesty and

integrity and not fall for the bandwagon of the Keynesian

economic theory of just earning profi t, no matter what the

costs.

an aberration to the law of diminishing utility in

today’s economic scenario. People seem to be

unsatisfi ed with any amount of money and there

is always a constant urge to seek ways to become

richer, sometimes through unfair practices. The

corporate culture seems to further hasten the race

for money. The Indian economy being an open

economy is like a gold mine for unscrupulous

people who only come with the motive to benefi t.

The millions of dollars of FDI supposed to be

invested in development are merely a honey trap

that attracts more and more corrupt people who

project themselves as the Messiah of the poor so

that they can also dip their hands in this river of

wealth.

If we look at scams right from the days of the

License Raj, we can see that corruption has

become a pervasive entity in the Indian system.

Today people seem to be more disturbed by the

skeletons that have rolled out of the cupboard

of the 2G scam and the Commonwealth Games

fi asco. But I wonder whether people really

remember the Fodder scam or the Bofors Deal.

What was the fi nal outcome of these scandals?

Were the guilty punished? It somehow seems that

the law of the land has not been able to aptly bring

justice to the wrongdoers. What then is the point

of trying to have yet another policing body in the

form of the Jan Lokpal when the law itself does

not have any clause to suitably punish a corrupt

politician or bureaucrat? For the millions of dollars

that had been siphoned off in the past scams

have not been recovered even after conviction

and in most cases are still the darlings of political

systems and just another talking point for the

media. The impeachment of Justice Soumitra Sen

seems like an exception in the present context

of things or maybe just a diversionary tactic by

political powers to take away from the public’s

focus other bigger problems and also reduce the

strong public resentment that has been built up

by the movement.

People might say that if the money is brought

back it might be used to uplift the poor through

various welfare schemes. But I beg to diff er again

as most of these welfare schemes were in the

fi rst place responsible for giving politicians the

opportunity to siphon off public money and create

wealth that they now own. The fact that the much

touted MNREGA scheme has also ended up with

million dollar scams in Gujarat is indicative of the

fact that despite (perhaps) the good intentions

of a few people, the termite of corruption has

eaten deep into the ethics of the grass root level

workers. It is not just government programs and

India is where the money is. All the

telecom companies seem to be

running on this single mantra. The ground reality

shows a slightly diff erent picture. There might be

money, but it is in no way easy money. Telecom

companies have made huge investments and not

all of them are happy about the massive capital

involved. Readers might label this point of view as

a sceptical one but it is not without merit.

India’s GSM subscriber base is massive, 590 million

as of May, 2011. The total number of mobile

phone subscribers was 826.93 million at the end of April

2011. The numbers seem like a gold mine of opportunities

for service providers. The growth has been consistent and

the tele-density has increased to 67.7 per cent. A BCG

report suggests that the sector is set to see investments to

the tune of $55 billion in the next 5 years and to continue

growing at 12-13 per cent annually. India has surely come a

long way from the days of struggling to place a trunk call,

which was the norm in the 1970s and 1980s.

The fi rst Mobile telephony service started in India in 1995

in Delhi. The real telecom boom started only in the 2000s

with a fl urry of providers including Tata, Airtel and Reliance

(in 2004) which started wooing customers with attractive

plans. The wave never subsided and India has emerged

as the second biggest market in terms of users, poised

to overtake the leader China by 2013. The landscape has

changed immensely. Customers who were once charged

for incoming calls now enjoy some of the lowest tariff s

in the world, thanks to the fi erce competition. Most of

the early operators made a considerable profi t, given the

rock bottom prices they paid for the spectrum. Despite

the 3G auction fetching a large amount of money; it is

still considerably lower than the worldwide prices for 3G

spectrum. A simple example would be the auctioning of

the spectrum in UK which garnered $35 Billion in 2000 for

a country with a population of 62 million. The Indian 3G

auction collected $15 Billion in 2010 for a population base

of over 1.2 billion people.

The explanation for such a cheap spectrum is quite simple.

India has the lowest mobile tariff s in the world. India also has

the lowest Average Revenue Per User (ARPU) in the world.

This also explains why companies cannot aff ord to make

the sort of investments they make in Europe and North

Now that the customer has grown used to such tariff s, there

is no going back for telecom providers. The only option is

to increase revenue through Value Added Services and the

likes. These companies need to come up with services which

can generate revenue from the rural market - this is where

the major growth in the subsequent years will come from.

All providers are working hard to fi gure out services which

will grab the attention of India’s rural users and make money

in the process. There are already a plethora of services being

off ered from weather forecasts to commodity prices which

are being lapped up by consumers in India’s hinterlands.

India’s 3G auction was supposed to be the saviour for

telecom providers, giving them a potentially signifi cant

new revenue stream. Companies spent around $15 Billion

India’s Telecom Industry: Much Ado about Nothing?Jitesh Patel

Going beyond the hype to take a good hard look at India’s sunshine sector

acquiring spectrum across the country. The price

overshot their budgets and as a result, none of

the companies could acquire spectrum in all

circles. Airtel clearly expressed their frustration

at not being able to manage a pan-India license

because of the ostentatious bidding. Surely, this

has to be a major hurdle for all the companies,

overcoming the fact that they cannot off er a user

3G services nation-wide. It has been a while since

the auction ended but operators have started

off ering 3G services to consumers only now. The

delay was partly because of the regulators having

banned service providers from buying equipment

manufactured by Chinese companies ZTE and

Huawei owing to security concerns. The regulators

were allowed to purchase from these established

hardware companies only after Huawei and ZTE

shared their access codes with the Government.

India has less than 5,000 3G ready towers installed

and it will take time before 3G is available in all

parts of the country. This increases the payback

time for the operators who have invested heavily

to acquire the spectrum and to build hardware

capabilities. Companies should be wary of what

happened with BSNL in the 3G segment. Despite

being off ered an early advantage, it has failed to

capitalise on it and is now seeing red because of

the high auctioning price it needs to pay.

3G was launched in Japan and South Korea in

2000, more than 10 years back. India is expected

to see 30% of its customers switching to 3G by

2015. Companies might be a tad bit too late in

trying to cash in on the 3G bandwagon. Most

developed countries are already moving onto

4G. India’s mobile boom

was partly because India

skipped the telecom lines

installation part and most

rural areas went from having

no connectivity to having

wireless connectivity. All other

countries went through the

cycle of establishing wired

connectivity and then switched

to wireless connectivity. For the

movement from 2G to 3G and

later on to 4G, it might have

been a wiser idea to implement

the latest technology and not

spend so much investment

on a technology which might

not last long. The pattern

of outrageous spending

might repeat itself for the 4G

spectrum too as it works on a

completely diff erent standard

from the current 3G services.

The smaller mobile operators are currently struggling

to grab a pie of the huge number of subscribers in India.

The top 5 operators - Airtel, Vodafone, Reliance, Tata and

Idea - make up for almost 75% of India’s subscribers. The

percentage has increased after MNP has come into eff ect

and it has become very diffi cult for smaller operators to

retain customers despite aggressive marketing campaigns.

The 2G scam has only worsened the situation and the likes

of Uninor, Etisalat and MTS seem to be in deep trouble.

These were the companies which joined much later and

have failed to garner a sizeable market share. The future

seems wary for them. The bigger operators have to deal with

issues like falling ARPUs and increased churn rates. There

is minimal brand loyalty when it comes to telecom, and

consumers – especially the youth, do not mind changing to

a new operator at the drop of a hat. It is a tough balancing

act and only time will tell what happens.

India’s sunshine sector needs a careful approach because

it is so fi ercely competitive. The tariff wars, 3G costs and

declining customer loyalty might dent the telecom boom

and force companies to rethink their strategy. This is

essential for growth and more importantly, for survival. It

is no surprise that telecom and handset companies have

displaced FMCG as the top spenders in advertising and

media. The telecom operators have to ensure that India

lives up to the numbers and becomes a huge market for

mobile telephony. Only having a large subscriber base will

not do any good. This stark example should give the readers

a good idea of what I am talking about. India’s largest

telecommunications company Bharti Airtel has revenue of

$9.29 Billion whereas the largest telecom company in the

USA AT& T has revenues over $120 Billion.

19SYMPHONY 2011 IIM SHILLONG 19

Where the Heart meets the Mind:

How Women makea Difference

Swati Nidiganti

Nostalgia creeps in when I try to

recollect the days our

entire family used to assemble after dinner for a

friendly chat, with Kyunki Saas Bhi Kabhi Bahu Thi

playing in the background. Having captured the

audience like never before, this series and many

others of the same genre went on to revolutionize

the television viewing habits of the Indian middle

class in the 21st century. The credit goes to Ekta

Kapoor, rightly known as the one-woman army

who changed the face of prime time daily soaps

on Indian television through a series of TV serials

under Balaji Telefi lms. Fighting against all odds,

it was not just her hard work and determination

but more her ability to connect to the viewers,

that helped her deliver value to her customers.

Moving from our cozy drawing rooms to a much

more competitive global market, Indra Nooyi is

an icon to be followed and emulated not only in

India but also at the international level. Ranked as

#1 in the list of most powerful women in Business

in 2009 and 2010 by Fortune, her quick decision

making ability, fi rmness and go-getter attitude

has won her laurels in PepsiCo and has helped her

reach a place which many women only

dream of. Despite such monumental

successes in her career, Indra Nooyi

quintessentially remains an Indian

woman who has combined the high energy of her job

with her calm, collected demeanor to manage the equally

central responsibilities of a mother and a wife.

On the other hand, Anita Roddick’s social responsiveness

has helped Body Shop become a powerful brand in the

world of cosmetics. Born in a bomb shelter with parents

who later divorced when she was nine, life was no cake walk

for her. Yet she showed strength of character and pursued

a dream she believed in. The list is endless with the likes of

Oprah Winfrey who rose through diffi cult times to become

the most successful business woman and talk show host

and J.K. Rowling who relentlessly followed her childhood

dreams to break all records in the world of literature through

what is probably the most infl uential fantasy novel of the

present generation. Both of them have an interesting ‘rags

to riches’ tale of their own. Born into

poverty to a single teenage woman

and having experienced sexual

abuse at the tender age of nine,

Winfrey overcame it to be known as

the most powerful and infl uential

woman in the world. Rowling’s life

was equally challenging. Seven

years after graduation, she was

still jobless, divorced and with a

dependent child. But she believed in herself and today we

all dream of the magical world of Hogwarts! These are just

a few names of the many women who have broken the

glass ceiling and made a diff erence. But what is it that made

these and many other such women successful?

The Woman Perspective

Women, in general, are known to have a fairer and better

perception of things. As Rudyard Kipling has rightly pointed

out, “A woman’s guess is much more accurate than a man’s

As Rudyard Kipling has rightly pointed out, “A woman’s guess is much more accurate than a man’s certainty”.

As women grow more influential and set the agenda for critical world issues, the author explores factors that make the fairer sex inherently better positioned for success

certainty”. Women carry unimaginable strength

which is developed over a period of time through

the various hardships they face in life. They are

good at multi-tasking, something they have

practiced throughout their lives from the times

they helped their mothers prepare dinner at

home while simultaneously outperforming others

in studies at school.

Women have the heart to smile when they are

burdened by numerous worries and the ability

to empathize with the less privileged when they

themselves endure so much. Mother Teresa

relentlessly worked for the poor, sick, orphaned

and dying for over 45 years, and selfl essly served

society. That is the kind of interminable strength a

woman carries. In my opinion, most women won’t

have a problem admitting that they are not sure

how to accomplish a certain task or what needs to

be done next at a crucial stage in business. Shikha

Sharma, the current Managing Director and CEO

of AXIS bank, rightly pointed out that women are

good at succeeding without prior experience,

because they have smaller egos than men, and

it’s easier for a woman to say, ‘Hey, I know nothing

about this’. Chanda Kochhar, knew little about

retail banking when she took over ICICI Bank’s

fl edgling retail operations in 1998. She decided to

hire a team that knew more about retail business

than her and learned from them while applying

her business acumen at the same time. Today ICICI,

India’s second-largest and fastest-growing bank,

is the market leader in retail banking and Chanda

Kochhar is in the list of the 100 most powerful

women in the world. With a strong focus on

values, women think about what their businesses

will stand for before they start planning anything

else. That gives the company a strong vision,

mission and set of values and helps bring about

business success. This is precisely what made The

Body Shop successful. A strong vision along with

numerous activities and campaigns for various

social and environmental reforms, allowed it to

establish a brand identity of its own. And last but

not the least, women are generally more engaging and

build and nurture relationships more easily.

Women have indeed come a long way by overcoming many

hurdles and have successfully broken the glass ceiling.

Susan Anthony, the American civil rights leader who played

a prominent role in the Women’s Rights Movement in

United States once said, “The day will come when man will

recognize woman as his peer, not only at the fi reside, but in

councils of the nation. Then, and not until then, will there

be the perfect comradeship, the ideal union between the

sexes that shall result in the highest development of the

race”. After all the hardships, we recognize that this day has

arrived and we should stand up and embrace it and look

forward to boosting this development through mutual

cooperation and collaboration.

21SYMPHONY 2011 IIM SHILLONG 21

C A MC A M

P U SP U S

There is a famous statement, popularly

known as Murphy’s Law,

which goes something like ‘If something can go

wrong, it will’. There are various versions of the

statement, and disputes as to who was the father

of this fatalistic quote, though some attribute it

to Edward A. Murphy, Jr., an American aerospace

engineer. This remarkable and highly prescient law

has time and again proven to be an encapsulation

of great wisdom and irrefutable truth despite

its nonsensical nature. We need look no further

than the fi rst decade of the 21st century and 3rd

millennium, better known as the Noughties, as

proof, as the said decade has lent a sense of poetic

beauty to the prophetic law.

Every decade or so, one tends to witness the

occurrence of an ‘Age’ or a ‘Generation’. The label

that gets stuck to that time-period tends to be borne out

of incidents or movements or mass outlook or stylistic

developments, or a complex combination of all these,

that becomes a pop-cultural reference point. Thus, over

the course of the last century, when world development

speeded up incredibly, a host of epithets started to get

thrown around, like the Jazz Age, the Prohibition Era, the

Lost Generation, the Beat Generation, the Peace (or Hippie)

Generation, the X-Generation, and so on. The 2000s, in that

sense, could easily be qualifi ed as the Twin Generation,

because, even at the sake of sounding ironic (or callous), the

collapse of the Twin Towers was not just the most enduring

event of the decade, its aftermaths proved how immensely

it ended up shaping and defi ning it.

The years leading up to the birth of the new millennium had

an ominous ring to it. The humankind had just experienced

the advent of widespread usage of personal computers and

internet, and had taken to it as a vulture takes to blood.

And then they were apprised of something called Y2K, and

the reaction was as if the world was coming to an end. But

then, as 31st December 1999 transformed into 1st January

2000, the bug mysteriously disappeared, and the world was

a happy place again. But, in hindsight, that happiness was

ephemeral at best.

On 11th of September 2001, four aeroplanes were hijacked

by a group of ‘Jihadis’ (Holy Warriors), who in essence were

virulent, brainwashed murderers, and two of them crashed

into the World Trade Centre with such pinpoint accuracy

as to make one wonder whether that was for real or just

computer simulation. The two towers crashed to ground

– ‘Ashes to Ashes, Dust to Dust’ - some said with quiet

resignation; and suddenly war cry became the order of the

day, reminding us of the famous adage ‘If you want peace,

prepare for war’. George W. Bush Jr., the then President of

the United States surely believed in that adage with the little

grey matter that he was born with, and went about making

his father proud by fi rst demolishing Afghanistan in order

to teach the mountain-dwelling Talibans a lesson, and then

dethroning Saddam Hussain from his gilded throne in the

name of Weapons of Mass Destruction (WMD). The fact that

‘Petro-Dollar’ was the agenda for waging war against Iraq

was drowned in the President’s tear-inducing and stirring

speeches on democracy and liberty.

The decade thus quickly turned into a battleground where

each wanted to teach the others a lesson, as these oh-so-

A rendition of an incredible decade in view of significant events that have changed the world

A Politically Incorrect Recapitulation of the Decade that Was | Shubhajit Lahiri

pious warriors for peace caused one spectacular

havoc after another – each more devastating (and

consequently, more attention-grabbing) than the

previous one. It did not matter whether you were

a President of Moscow or Madrid or Mumbai, a

series of debilitating blows were indicted on

society and collateral damage became the order

of the day. Some so-called intellectuals started

making statements in the media like ‘terrorism

should not be equated with religion’. Though that’s

fundamentally a truism, this noble sentiment was

so dramatically ludicrous in this particular decade

that Islamic Terrorism became a part of our daily

lives.

As if not enough people were already getting

killed by shrapnel emanating from grenades,

bullets emanating from sub-machine guns, and,

not to forget, barbs emanating from the mouths

of rabid clerics, even our seemingly magnanimous

Mother Nature came into the picture with the not-

so subtle taunt aimed at the warmongers, ‘If you

can do it, I can do it better’. Tsunami suddenly

raced into our lexicons by wiping out hundreds

of thousands in one dramatic sweep. And there

were earthquakes too. The decade really gave the

doomsday sayers one fi eld day after another.

The decade not only gifted us a plethora of

bizarre, grotesque and violent memories, it

also provided us some ludicrous moments that

were as ironic as they were darkly comic. Thus,

the United States, till the end of the previous

millennium the undisputed leader of all nations,

got undone by their own greed and callousness.

It seemed that fi nancial engineers, including

some of whom had graduated from some of the

most renowned business schools in the world,

had somehow forgotten how to balance assets

with liabilities. What the world witnessed as a

result was a stupendous fall from grace for the

mighty Americans (and thanks to the boons

of globalisation, the event soon ensconced

the entire world with stunning rapidity). The

economic crisis was a full body blow to the

pride of a country which fi ercely believed that

they were the greatest nation on earth, as if the

gargantuan display of stupidity - courtesy War in

Iraq - and the subsequent episodes at Abu Gharib

and Guantanamo Bay were not enough. Meanwhile the

popular American athlete Marion Jones fi nally proclaimed

that she was not an athlete after all, but a cheat, while Tiger

Woods, whose trophy case was as overstuff ed as his bank

vaults, suddenly became a pariah even to those who used

to swear by his name.

Was this decade fi lled only with darkness and sorrow, one

might ask. Not really, as it had its moments of glee and

achievements too – most notably in the cyberspace and

in the fi eld of high technology. While Google, Facebook

and Wikipedia became parts of our daily jargon, cellular

communication and computational speed became more

commonplace than food and water. The world suddenly

became much fl atter. With a laptop and internet connection

at his bay, man could now roam the entire planet and

beyond sitting in his living room. He could now make friends

with unknown faces residing in Uzbekistan or Uganda,

read about the meanings of Quantum Mechanics and

Bose-Einstein Condensate in laymen’s terms, book airline

tickets from Toronto to Timbuktu, listen to the lost songs

of Bob Dylan and watch avante-garde movies screened

at underground fi lm festivals, and so much more, without

having to lift his posterior out of his sofa.

Yet, as Gautam Chatterjee through one of his classic songs

prophetically foretold three decades ago (words that

seems more relevant now than ever before), ‘The world

has shrunk so much that it now fi ts within the idiot-box

in our drawing rooms; the constraints of space, time and

national boundaries are now a thing of the past as we can

now connect to the anywhere in the world right from our

houses. Yet, ironically, we have drifted so apart from one

another in the meantime that we are now light years away

from each other!’ As one might grudgingly agree, that is sad

but true.

Despite what this current piece proclaims, this was an

incredible decade. Yes, it had its share of enervating lows

and severe heartbreaks, but it was also a decade that in

more ways than one altered and reshaped the course of

history – for better, or for worse. As Charles Dickens said, “It

was the best of times, it was the worst of times, it was the age

of wisdom, it was the age of foolishness, it was the epoch

of belief, it was the epoch of incredulity, it was the season

of Light, it was the season of Darkness, it was the spring of

hope, it was the winter of despair, we had everything before

us, we had nothing before us, we were all going direct to

heaven, we were all going direct the other way…”.

‘For greed, all of nature is too little’ goes

the maxim. Our desire to work more

and earn in exponential quantities increases

the appetite for excess. Colonization was

conceptualized to extract wealth and enrich

colonizing nations. During the early part of the

20th century, Britain was the leader of the world

economy. With colonies extending from what

is now known as the United States to the Indian

waters, the revenues procured by the English were

immense. Meanwhile, colonies which were unable

to sustain their own inhabitants were left with the

grueling task of rebuilding their economies.

Fast forward to the 21st century and most of us

are under the impression that colonies are long

gone. A look at Africa gives us a diff erent story. The

mad scramble for colonization drained resources

from the Dark Continent and harsh prevailing

conditions inhibited recovery from colonization.

The latest trends show a rush, not for gold, but

for water resources and land. The terrestrial mass

of Africa which exceeds that of USA, China and Europe

combined with cheap labor and resources, makes it a haven

for ‘available land’. Southeast Asia and Latin America are

also victims of resource draining.

Food importing countries, rich in capital resources but

constrained in terms of land and water, are leaders in land

acquisition. European nations with a higher demand for

biofuels are investing in acreage seizing and countries like

China are buying land to ensure enough food grain within

the country. Entities involved in the procurement of land

are not just private fi rms but the governments of several

developed nations.

Given the increase in the price of arable land, the value of

water and land resources in the developing world has risen

drastically. These nations are dependent on assistance,

and with land acquisition, the locals lose out on the few

resources available to them. Land is usually owned by the

government, who then leases it out to the highest bidder.

This may seem like a profi table prospect, but nobody loses

out more than the farmer. The food security of the host nation

is compromised as most of the yield is exported. Biofuels

are extracted from many crops and those remaining are

genetically modifi ed. Displaced inhabitants are not fi ttingly

compensated and the lack of education and unawareness

of rights further encourages their exploitation.

Many deals for leasing land have a common denominator

for protecting the investor against the slightest risk. With a

Modern Colonization: An Africa Perspective

Shipra Gupta

What remains after the mad scramble for colonization

targeted export market, the conventional farming

practice is preferred mainly to reduce any further

investment in land. Knowledge about the locals

is seldom counted, disregard for stakeholders’

claims are commonplace. A high FDI ensures trade

benefi ts to investors.

The rich get richer, the fi ght for water is becoming

viler by the day. Adding to this is the dismal fact

that water is scarce and does not replenish itself.

The cost of an irrigation project in India or China

is much higher than that in Africa. Around 70%

of water is used to cultivate crops, making it

equivalent to importing water. The import cost

is set to escalate given the rise in prices, but the

short term requirements of food, nevertheless, are

met. Stark parallels of resource exploitation and

exploiting the destitute can be drawn from past

experiences.

In Ethiopia, over 2.9 million hectare of land

was requested with a total planned capital

expenditure of US$ 2.2 million. From Swaziland to

Congo, foreign investors are being lured towards

investing in Africa. Bilateral nation agreements,

private equities, AGRA (African Green Revolution)

and public-private partnerships for development

corridors are the major fund providers.

Jatropha, used for biofuel is widely grown by the

foreign nations. It is usually genetically modifi ed,

which may not be acceptable to land owners.

Novel species are often introduced into the Sub-

Saharan territory. Introducing non-indigenous

and hybrid plant species, including pine and

eucalyptus, raises the requirement for chemical

fertiliser inputs, leaving the soil dependent on

the same. Several moral, health and social eff ects

of GM crops have been overlooked, due to fewer

regulations and the governments’ lookout for

investments in their countries. Job promises made

to the local farmer may not be fulfi lled, thus highly

risking their means of livelihood. Sometimes the

land is classifi ed as ‘underused’ to put it up for lease

and alternate uses like grazing are automatically

ruled out.

However, a paradigm shift can transpire. A

collective eff ort from the farmers can give them

scope to voice their opinions. A project can also be

well managed to capitalize on foreign investment

to the fullest. An integrated civil society can work

wonders in improving the living standards of the

impoverished. Contract farming, where a certain

amount of the produce is allocated to the foreign

investor, ensures quality. With a lower risk, the

farmer can avail better returns.

From Colonization to Symbiotic existence:

The picture is not all gory. The projected employment in

Mozambique leaped to over 32,000. Those who have already

made substantial investments in plantation or in the agro-

fuel industry have improved the status of employment,

potable water and livelihood opportunities. Bilateral

Investment Opportunities (BITs) outline the obligations set

by host nations for leasing of land and fair treatment to the

investors is also a clause in it.

The mandate of the majority is harder to refute. Land

acquisition may become unacceptable if the practice is not

sustainable. Land expropriation cannot last for long - a small

spark can ignite the fi re against oppression. Uniform laws,

non-disruptive intervention of civil society and increased

investor responsibility will help farmers realize the benefi ts

of these investments.

Moving from Colonization to Coexistence is the need of the

hour. We will be better off with this segment of history not

being repeated. The domination faced by earlier colonies

has defi nitely left an indelible mark on present day colonies.

INCLUSIVE GROWTHSrikkant R.

The concept of inclusive growth has been

prevalent for a long time now and

is not radical. What is radical is the amount of

emphasis inclusive growth has been gaining in

the recent decades. A few decades ago, growth

was the primary concern of the state. However, the

realization is now very evident that the focus is not

on growth, but a broad-based growth which avoids

exclusion or marginalization of major sections of

the population. For long, growth and inclusion

have been thought of as trade-off s. However, the

idea that growth and equity are complementary is gaining

traction and is viewed as a positive sign by government

initiatives like the Common Minimum Programme and the

National Rural Employment Guarantee Act.

Why Inclusive Growth?

It is a widely acknowledged fact that in order to establish

a harmonious and developed society, social and economic

disparities have to be kept to a bare minimum. Market

forces, however, often tend to foster disparities, due to

non-equitable distribution of opportunities. The need to

Why India’s goal of inclusive growth can no longer remain merely a populist agenda

alleviate poverty has never been in question.

Therefore, it often becomes the role of the state to

ensure equality of opportunity.

From the time India got Independence, the

populist agenda has always been the focus of

inclusive growth. But the real reasons emphasizing

the need for inclusive growth are appearing to be

clearer. The understanding that inclusive growth

will improve peace and provide political stability is

one of the important reasons driving the inclusive

growth agenda. Another important reason is

the understanding that resource constraints

are emerging in all parts of the world and to

sustain growth momentum, a larger share of the

population needs to be part of the development

process. Not to mention, this larger share needs

to bring in complementary skill sets, implying that

it should include people from all strata of society.

India and Inclusive Growth – a Historical

Perspective

The topic of equity and inclusion can broadly be

discussed in three dimensions: political, social and

economic. Right from the time of independence,

the policy of the Indian government has been

formulated in ways that support inclusive

growth. Political equality was guaranteed by the

fundamental ‘Right to Vote’. Poverty alleviation has

been the key term in all of India’s policy initiatives

in this regard, signalling focus on the economic

front. India is also one of the fi rst countries to

provide inclusion on a social basis in the form of

reservations for Scheduled Castes and Scheduled

Tribes, having identifi ed them as socially deprived

sections of society.

As can be seen, the populist agenda and intentions

have been right since the time of independence.

The implementation of these policies, however, is

not beyond question. Many countries who have

achieved better equitable growth have followed

multifarious economic policies. But there is a

common underlying tone that signals huge

investment in basic education and health care, a grey area

in the Indian context.

Notions of Well-being

A country’s growth has traditionally been measured by the

change in a country’s GDP or GNP. However, the notion

that there has to be a more holistic way of measurement

has gained signifi cance. The Human Development Index is

considered a well-accepted measure of a country’s success

and well-being. If we were to consider Human Development

as a measure of a country’s success, it is imperative that

the development of the nation is inclusive. As can be seen

from the below graph, a high human development index is

associated with less inequality.

It is also interesting to note how the term ‘poverty’ has

undergone a change. Traditionally, the term referred to is

income poverty. The latest Human Development report

by the United Nations Development Program(UNDP)

proposes that ‘the dimensions of poverty go far beyond

inadequate income to poor health and nutrition, low

education and skills, inadequate livelihoods, bad housing

conditions, social exclusion and lack of participation’ and

the Multidimensional Poverty Index of UNDP captures all of

the above in its measure of poverty.

Means towards Inclusive Growth: UN and World

Bank views

To understand the facets of inclusive growth, one needs to

look at how diff erent agencies looking to promote inclusive

growth address the issue. When addressing this issue,

the need for social protection, especially that of risk and

vulnerability of the downtrodden population, comes to the

forefront. Broadly, countries have followed two diff erent

kinds of strategies or means to achieve the end of inclusive

growth. One is to provide safety nets, in terms of pensions,

health insurance and social funds, and the other, to develop

macroeconomic policies to focus on the poor.

A survey of the literature in this direction suggests that

both these approaches have been followed successfully in

diff erent countries. Reports from the World Bank

are slightly more favourable towards safety nets

whereas UNDP is more in favour of macroeconomic

pro-poor policies. However, both are not mutually

exclusive options and can be combined at various

levels.

India and the Inclusive Growth Strategy

India has traditionally followed the UNDP

approach to poverty alleviation and inclusive

growth - the macro pro-poor government policies.

The favour towards a growth-mediated approach

is partly by choice and partly by compulsion and

the basis of this decision has largely revolved

around the assumption that in a country like India

with a large number of poor workers and absolute

poverty, it would be fi scally impossible to provide

a comprehensive social security.

The assumption is an acceptable proposition, but

there have also been instances where support-

led programmes introduced by various states,

especially Tamil Nadu and Kerala, have been

successful. In Tamil Nadu, state sponsored special

nutrition programmes, one of which is the largest

feeding programme in the world (CMNMP), have

been run successfully for decades now. There are

also other forms of social security in the form of

widow pensions and health insurances. The latest

announcement by the Tamil Nadu Chief Minister

on free health insurance for the poor with a policy

limit of 4 lakhs INR for 4 years is a clear indication

that some of the developed states have reached a

position where they can aff ord to take up support-led social

security measures.

Another important facet of the Indian developmental policy

when it comes to inclusive growth is the focus on rural

areas where majority of the Indian population lives. This

is almost a rejection of the current scenario at the rate at

which urbanization is happening in India. ‘Urban Poverty’ is

an equally big challenge and has to be tackled in a diff erent

way. According to the McKinsey Global Institute report on

‘India’s Urban Awakening’, April 2010, the urbanization rate

between 2001 and 2008 is 158%. The report also indicates

that India’s current approach will lead to urban decay.

This current scenario warrants a look at the development

policy in urban regions. According to a research paper

by the Institute for Development Studies and Enterprise

Research (IDSER), approximately 93% of enterprises form

a part of the informal sector in India. Together with micro,

small and medium enterprises (MSMEs), the informal sector

contributes close to 60% to the GDP and 40% or more to

export trade, and creates 95% of the total non-farm jobs.

Informal enterprises are set up by owners to alleviate their

poverty condition. Therefore, a two-pronged approach,

with a specifi c focus on inclusion, across both rural and

urban areas, is essential.

Financial Inclusion

A discussion on inclusive growth is incomplete

without a discussion on fi nancial inclusion, which

has gained considerable prominence lately.

Government initiatives, like the nationalisation

of banks were an attempt at greater fi nancial

inclusion. However, the traditional forms of

banking and fi nance have proved inadequate to

provide fi nancial access to the masses. In terms of

reach to bank, and number of banks in rural areas,

India is doing decently well. But whether that is

turning into the real outcome of providing good

access to fi nancial services for the poor is a big

question.

The World Bank report on fi nancial inclusion in

India can be taken as a reference to summarize

what the real problems with traditional modes of

fi nancial services for achieving fi nancial inclusion

are. The banks don’t fi nd it attractive to serve

the rural, especially the rural poor because of

high uncertainty and default risk, lack of credit

information, lack of collateral, transaction cost,

weak legal framework and enforcement issues. The

rural people fail to look at banks as an attractive

option because of the lack of fl exible products

and services, transaction costs and requirement

of collateral, which many do not have.

Solutions are beginning to emerge in the form of Self-help

group-bank linkages and the development of microfi nance

institutions. However, development has been happening

only in fewer pockets in diff erent parts of the country. The

recent crisis with respect to microfi nance in Andhra Pradesh

and the subsequent draft bill, The Microfi nance Institutions

(Development and Regulation) Bill, 2011, looks like a

strategic infl ection point for the industry, which is poised to

grow and play a major part in the inclusive growth of India.

A lot of innovation is happening and it would be interesting

to see how novel methods and services such as mobile pay,

along the likes of Nokia money, will help achieve fi nancial

inclusion.

Conclusion

The term ‘inclusive growth’ has come a long way from being

a populist agenda and buzzword to becoming the need

of the hour. There is a consensus emerging that growth

cannot be one-dimensional anymore. Diff erent countries

have adopted diff erent ways to achieve inclusive growth,

but fundamentally all countries that have managed such

an appreciable growth have concentrated on two basic

things: education and healthcare. A bird’s eye view is

needed to ensure that all sections of the society participate

in the development process. The mentality to resist urban

migration has to be eliminated and inclusive growth policies

should also have an urban fl avour. Financial inclusion is

essential and the role of the government should be that of

an eff ective regulator. The inclusive growth agenda is here

to stay!

In Conversation With

Mr. Vijay MahajanMr. Vijay Mahajan, a staunch social entrepreneur, is the Chairman of BASIX Microfinance and the president of Microfinance Institutions Network (MFIN). An alumnus of IIT-Delhi, IIM Ahmedabad and Princeton University, Mr. Vijay Mahajan has worked for over 20 years in the domain of ‘Inclusive Growth’ and is an authority in this area.

What do you think of the recent emphasis on inclusive

growth and fi nancial inclusion? What is your opinion

on the role of the microfi nance industry in achieving

that objective?

First of all, to clarify the premise of the question, we

need to distinguish between fi nancial inclusion and

inclusive growth, which are two very diff erent things.

You can create fi nancial inclusion and

make all kinds of fi nancial services or

credit available to the poor without

contributing to growth potential.

For example, one of the activities for

which the rural poor get microcredit

is animal husbandry. But if there is

not enough veterinary care or other

support services, the credit might

not result in providing additional

income to the poor. So the emphasis

needs to be well-rounded on both

fronts.

The last time you spoke to us,

we discussed the steps taken by

the Andhra government and the

unhappiness of the microfi nance

industry. How do you see the

situation panning out? Also, what

do you perceive the impact of the

Development and Regulation Bill

(2011) will have on Microfi nance

Institutions (MFIs)?

Since the last time we spoke in February 2011, nothing

has really changed on the ground. There has been a

complete stoppage of microfi nance. Actually it is not

just microfi nance, but a shortage of general credit

to the poor. The informal sector rates have gone up

dramatically. So there has been no great progress.

While MFIs have been talking to the government of

Andhra Pradesh, there is need for the government to

amend the Act. There are two important provisions

of the Act, one is that we cannot go to the homes of

borrowers for repayment of debt, and the other is that

we cannot disburse any loan without the government’s

permission. With this kind of situation, recovery

cannot take place and the amount in question is Rs.

7200 crores, and if this situation is not dealt with, it

might lead to the withdrawal of MFIs from the whole

nation. The situation in Andhra has caused people in

other states like Uttar Pradesh, Orissa and Bihar to be

deprived of microfi nance. A large number of borrowers

are listed as defaulters which prevent them and any of

their relatives from access to any form of credit, given

the way our present credit system works. However, we

are in conversation with the government to improve

the situation on the ground.

Grameen Bank has been highly successful as an

MFI. Why are Indian MFIs inclined to be more credit-

oriented and not savings-oriented like Grameen

Bank? And why are they not diversifying into other

sectors like Grameen Bank?

First of all, Grameen Bank started in 1976. It is 35 years

old while the Microfi nance Industry in India is still

very young. So diversifi cation apart from Microfi nance

is still not on the horizon. Acceptance of savings has

to do with the regulatory framework in the country.

Grameen Bank was made a bank in 1983. It attained

the status of a bank and was able to take deposits. Also,

it was not regulated like the other regular banks. In a

sense, it was given a special status. In India, however,

all microfi nance institutions are registered as NBFCs,

making this a question for our regulators to answer.

Can the online lending model i.e. internet

microfi nance in case of Kiva (the US based fi rm) work

in India? Can it help in any way to reduce the cost of

capital?

According to me, Kiva, rangde.org and other similar

attempts are all good-hearted attempts at poverty

alleviation. They wonderfully use the Internet as a

platform to enable giving from people who are well off .

But let us not confuse this with serious microfi nance.

The Indian poor, today, need about $100 billion. Any

good-hearted attempt is worth applauding but should

not be confused with systemic change. India has Rs.57

million on agricultural enterprises and close to Rs.90

mllion agricultural holdings. What is the government

doing to ensure that credit needs are met? If the

government cannot do it, it is time to let the private

sector do it. This is the kind of serious structural change

I am talking about. Kiva and Rangde are all good

hearted attempts, but let us not take it as any measure

of systemic change.

How do you view the newer vehicles for fi nancial

inclusion such as mobile banking, money transfers

and Nokia money? How can MFIs leverage on these

new technologies?

These are good developments. Basically the more we

move towards mobile payments, the better it is for us.

We need to realise that mobile money will not work

unless there are suffi cient cash-in and cash-out centres.

Right now, this is one area where the policy framework

is really well in place, but players are behind the policy.

What is your view on MFIs being listed in stock

exchanges? In what way has the listing of SKS

aff ected the outlook of the microfi nance industry?

It is true that the SKS listing caused a lot of people

to wake up and take notice of the sector and draw

premature conclusions too. But this does not take away

the validity of the microfi nance sector in accessing

capital markets. SKS had reached a point where their

outstanding was close to 4000 crores. So the IPO was

a necessity and there is nothing wrong with that.

Regarding the specifi c case of the turn of events post

IPO, I have nothing to say.

Coming to the non-fi nancial aspects of inclusive

growth, what are your thoughts on how inclusive

development can be achieved? According to you, do

growth-mediated measures or support-led measures

work better?

This is an area of eternal debate. This whole thing has to

be a balance. The economy needs to have both growth

and support-led measures. Growth has to happen

fi rst before the economy can aff ord to think about

redistribution. But at the same time, if it is growth

alone, it can lead to problems such as the ones faced

by Latin America. In this case, I like the government

policy which is to aim for 8-10% growth and invest a

lot of tax revenues towards social sector schemes. In

fact, I would urge the government to get out of all but

some of the most important sectors such as Education,

Healthcare, Law and Order and National Defence. We

should be proud that there are entrepreneurs who

can do wonders in most of the other fi elds. There

are, however, some sectors where the government

needs to provide some external support, in terms of

providing viability gap funding, like in Infrastructure.

But apart from that, it should concentrate on only those

few areas. If we don’t do that, we will end up spending

more money on fi ghting terrorism and the like.

What do you think is the role of the private sector in

achieving inclusive growth?

The whole growth will come from the private sector

only. The role of the government is very minimal,

and as I said before, the government’s role should be

restricted to the 4 or 5 main areas of Education and Law

& Order that I mentioned before, as well as formulating

policy frameworks like monetary and fi scal policies.

Finally, how do you think India is doing with respect

to achieving inclusive growth? What are your views

on the steps taken by the government on the

fi nancial inclusion front?

As of now, the government’s announcements are

far ahead of its actions. But the announcements are

in the right direction. We now have a very dynamic

Head in the Department of Financial Services who has

just joined. So my views are positive on the fi nancial

inclusion front. These pronouncements if executed

well will yield good results.

What is your advice for our readers?

Before I give my message, I’d like to say that this is my

20th year of working for inclusive growth. My simple

advice for whoever talks about inclusive growth is to

‘Do it’ rather than just talk about it. The situation needs

some action to get better!

The current contribution of the tertiary

sector to the Indian GDP is almost

64%. IT services has been a major force driving the

enormous growth of the service sector in India

over the past decade. IT services is a US $800+

billion industry worldwide and almost 10% of this

is handled by India. But it is the number of jobs that

this industry creates regularly that is signifi cant for

the Indian economy. Hence its growth is of very

high concern to India.

The essential role played by IT services in effi cient

operations and management in global businesses

is an established and undoubted fact. But it has

majorly been an export-oriented industry in India.

Hence with major jolts in the global economies

– downgrade of US and Japan sovereign debt

ratings, the earth quake and nuclear crisis in Japan,

the looming economic crisis over the European

Union, and the consequent pessimism and stricter

fi scal regulations of the suff ering governments,

speculations for darker days are widespread in

this industry.

All these adverse happenings in the global

economy have been spread over the fi rst half of

the current year. Typically, IT spending has been

found to have a greater than 50% correlation with

S&P 500 Rating with a lag period of 3 to 4 quarters.

Going by this observation, it is likely to be hit by

the shocks only in late quarters of this fi scal or

early next fi scal year. Does that indicate that the

gloom is near?

The Figures

Well the fi gures are important. In 2011, the total global IT

spending has been estimated to be $3.7 trillion. But with

North America and Euro Zone, the prime client geographies

for Indian IT exporters, facing very low, at times negative

economic growth and inviting austerity measures, Gartner

suggests that the global IT spending is going to grow at

a pace of only 5.3% CAGR. This fi gure is a combination of

spending on computing hardware, software, IT services,

Telecom equipment and Telecom services, with predictions

for the software and IT services being of 7.5% and 4.8% CAGR

Nilanjan Saha

IT Services: The Rough Road

Ahead for Indian Players

Why big players in the IT Services industry should not rely on a single domain or geography, but instead have a well-rounded service portfolio to continue to perform in the face of an impending recession

respectively. Spending on the cloud infrastructure

will be growing at a staggering 20%. However this

will contribute only 4% of the total spending by

2015, implying less dollar value generation at the

However, if we look at the vulnerabilities in

spending patterns during the recession of 2008-

09, the IT services spending shrinkage showed

a more resilient trend than the software and the

hardware spending.

How are the Indian IT majors faring?

Though India has companies providing software

and IT services counting in hundreds, the major

chunk of the earnings is skimmed by a few

major players. Hence looking at their strengths,

weaknesses, strategies and risks might give us

some concrete idea about where the gaps might

be and how they can be countered.

Tata Consultancy Services is the biggest player in

the industry with revenues over $8billion. It has

maintained its growth in both revenues and net

profi t close to 25%. It is reasonably cushioned

against risk given that it derives 22% of its

revenues from emerging markets like India, China,

Middle-East, Africa and Latin America, which are

growing economies and less vulnerable to global

economic disturbances. However, 44% of its

revenue comes from the BFSI sector exposing it

highly to the nuances of economic turmoil.

Infosys has been a huge wealth creator for its

shareholders for the past decade, but has shown

a declining trend in its growth over the last few

quarters. However, key strategic moves by Infosys

are likely to go in its favor, making the company

more responsive and agile in the changing

business environment. It has streamlined its

organizational structure to around 4 key verticals

– fi nancial services and insurance; energy, utilities,

communications and services; manufacturing; and retail,

CPG and life sciences. It has also identifi ed 3 key clusters

- business innovation, transformation and operations. It

has also made the decision to venture into the areas of

cloud computing, sustainability and enterprise mobility. It

presently derives 60% revenues from the cluster of business

operations which are ‘must go’ activities for clients and hence

are less resilient to slowdown. The company also maintains

a 10-30% variable component in its compensation structure

and hence might aff ord to enjoy this cushion during tough

times.

Cognizant has replaced Wipro as the 3rd largest IT services

major in India. Its growth story is almost legendary. However

the company has a strong exposure to the US market and to

the BFSI sector, adding to its vulnerabilities.

Wipro has been lagging behind in logging profi t owing

to poor decision-making in the top management.Ithas

undergone restructuring under unfavorable pressures

of low profi tability and hence is likely to be vulnerable in

the coming quarters. However, its business mix consists of

higher share of non-discretionary services like IMS and BPO

and a lower share of vulnerable segments like BFSI, which

speaks favorable for the company.

HCL Technologies has seen a sharp growth in revenue

over the past year. However it has built its competitiveness

around a strategy of cost leadership which can prove to be

detrimental in a slowdown. HCL has taken over Axon to

raise its share of revenue from enterprise systems to 21%.

With the slowdown, this segment can suff er low growth

owing to the discretionary nature of the service rendering

the company vulnerable.

Tech Mahindra has an extremely high exposure to the

telecom vertical with almost 90% contribution to revenue.

The lack of diversity and ongoing concerns over Satyam

Computers are weak points. Mphasis has a high dependence

on one single client - HP.

Recipe for Greater Resilience

Though all the factors creating concerns about

potential growth of the IT industry in India are

not in the hands of these companies, there are a

few things that they can be careful about while

designing their strategies.

Exposure to discretionary spending, like enterprise

system and hardware, must be kept limited to a

certain extent. In times of slowdown these are the

areas that are hit primarily, with clients shrinking

their spending in these areas. On the contrary, BPO

and business operations support are likely to be

less vulnerable as they are necessary for clients to

be in business. Hence a wise and even distribution

of service portfolio is critical to survival in a not-

so-lucrative scenario.

Similarly, over-exposure to one single vertical like

BFSI or Telecom might also prove to be unwise.

As was the case in the previous downturn, BFSI

was the worst hit sector taking the revenues of

companies highly dependent on such clients to

plunge along with it.

North America and Europe are the more

vulnerable geographies. Expansion into Asian,

African and South American economies might

prove to be less profi table initially. But setting foot

into these emerging economies is likely to return

more benefi ts in the long term. Companies have

been export-oriented till date. But with the high

growth of the Indian economy, opportunities

have cropped up within the country as well. TCS

has already pitched in with success, setting an

example for the others.

Strategic relations with the clients are necessary.

Especially for large corporates like Infosys and TCS,

who have a signifi cant number of 10+ million and

50+ million dollar clients, a strong and strategic

partnership with high value clients can be the

secret of survival in a slowdown. Often these

clients partner with their vendors, not only for a

particular service, but also for advisory roleson

their strategies in the technology front, with full

transparency provided to the vendors on their

top level business strategies. These relations are

diffi cult to build and break. Hence once built, they

can be banked upon for less exposure to risks.

On the other end, the SMB sector is a huge market

by volume, if not high margins. These companies

can also shape their strategies to address the

specifi c needs of SMBs. Low cost and standardized

services to improve operational effi ciencies of

this sector can be a very strong potential future

market to augment the growth of the IT players when other

clientele are not pushing bottom lines.

Some companies like TCS and Infosys have signifi cant

fl exibility in their cost structure. A major share of their cost

is the wage-bill, 10-30% of which is made up of the variable

pay components. Hence with minor market adversities, this

can be tweaked to absorb the risk, not making layoff s a

necessity. Trying to be aggressive with low margins might

prove to be self-harming when slowdown sets in.

Innovation has been a tested driver of growth even under

unfavorable economic scenarios. In the past centuries,

many industries have been created out of new innovations

which were not even thought of in the past. Hence

venturing into new domains of services, leveraging on

existing competencies, with a close watch on risks and

controlling them, might be key to survival in slowdown.

Green computing, enterprise mobility and cloud services

are emerging as strong markets.

Conclusion

Though the next couple of years might not prove to

be the brightest for the Indian players in the IT services

industry, measured steps can still help them to survive and

keep growing. A well balanced choice of clients, service

portfolios, geographies and industry verticals along with

strong strategic relations with key clients and expanding

in new economies might mark the next phase of the story

of the Indian IT services revolution, after the fi rst phase of

undeterred and legendary growth.

7 + 1 states, 51399 villages, 19.18% of

units are in this part of India and

every fourth person in the Northeast depends on

it. 79.58% of the total value of production comes

from here. Around 21.71% of the total workforce

of this skill is located here. The economy of the

region depends on it. What are we talking about?

Yes, of course, its handloom and handicrafts!

This sector provides more than 90% of livelihood

to around 61% of the total artisan households

in the region. What more can underline the

immense signifi cance of these special skills

that the inhabitants possess? Every state in the

region has some unique items of production that

have been highly appreciated both within the

country and abroad. Still, the current scenario of

this potentially lucrative business is, to say the

least, miserable and superbly unorganised. The

reason can be understood by the premium these

products command in other parts of India. So, the

lesser these products are popularised, the greater will be

the margins certain middle-men and sellers ask for!

Having said this, the purpose of this article is not to point

out the ineffi ciencies in this sector. Rather, the intention is

to portray the diversity and richness of this art form. This

itself will make you aware of the importance and urgency

required to organise it.

There are as many as 16 most widely used bamboo species

that have found inherent use in local art forms ranging from

sturdy and strong house construction, scaff olding, ladders,

thatching, roofi ng to basketry, paper pulp, mats, handicrafts

and boat masts. Each block (district) has clusters which

manufacture a specifi c product. So unique is a product to a particular region that other regions have never produced

them in the past. For example, Syntein, a cluster of fi ve

villages in Mawsynram block, produces a wide range of

handicraft products. Kenmynsaw and Kanbah villages

produce handicrafts which have curves and essentially are

weaved using bamboo skins after the fl esh is removed.

Some of the products they manufacture are fl ask pack/

Bamboo Growth…Bulldozed! | Deep Mehta

Identifying the urgent need to organize the handloom and handicraft industry in North-East India that provides a livelihood for a significant number of artisans in the region

shang fl ask, match box pack/needle + button

pack/shang thyrnia, fl ower vase/shang syntein

and jewellery boxes or shang khasia as it is called.

Artisans from other blocks such as Shella

Bholaganj or Pynursla are not skilled enough to

produce such curves. They would rather produce

square-shaped products and use cane extensively

in their products. So, in short, by simply looking at

the fi nishing and design of the products, you can

easily identify the region they come from. I bet

many of us didn’t know this. Assam makes a lot

of furniture products from bamboo cane which is

not produced anywhere else. Some of the regions

like in Ri Bhoi district use vegetable dyes to colour

their products. These products have an extremely

long life too.

Most of these products are meant for the local

markets. Locals trek for hours to reach fl ea markets

and sell their wares on specifi c ‘mandi’ days. So

treacherous is the climb, that if by evening they

are not able to sell some of their wares, they see

no point in carrying them back to their villages.

What do they do? Simple. They just sell it to any

local vendor at throw-away prices! Talk about

that for profi t margins! Many of these artisans

are approached by designers from Delhi, Mumbai

as well as retailers from many other towns. They

give them designs, a small advance and off they

go! They manufacture for them within timelines

and charge a paltry sum for the 6 to 7 hours (on

average) that they spend on each product. Their

cost price calculation works like this: Bamboo – Rs.

5/product, Cane – Rs. 5/ product, Labour – Rs. 8/

hour (would you work at that wage rate for the

special skills you possess?). Well, for a product

that requires 5 hours of laborious work while

balancing family chores, the cost prices works

out to be – 8 x 5 = 40 + 10 = 50, margin = 10. So,

yes! The selling price is Rs. 60! City retailers are

over jubilant! Assuming some transportation cost

(about Rs.15 on the higher side), if they sell the

same at Rs.200 per product, they make a profi t. A

profi t of a whopping 167%!

That isn’t fair. But that’s the way it has been. To

add to the misery of this skilled, but classifi ed as

‘uneducated and backward’ workforce, is the lack

of access to a proper education. Most schools

teach the local language, so interaction with

people from outside is heavily reliant on the

presence of a translator. Can something go wrong

here? Most defi nitely it can, and so I found out.

Locals are very sceptical of any stranger and

hesitate to talk to them. They are not even aware

of the market prices that their goods command

outside their region. They lack co-operatives

too. This could have given them some sort of

bargaining power with customers. But a few

outliers spoil the show, they say. So, they have no other

option but to be governed by prices set by outsiders. And

it’s still not over. Only the head of the family – the eldest

woman and few other ladies in the house are aware of

fi nances – the revenues and expenditures. All the men are

busy with work in the forests and are totally ignorant of

basic math. Can’t get worse, you see!

Digressing from handicrafts would only do justice to fi nd

out the reason behind why such a thing has been going

on for ages. Tourism, for instance, could have given them

the much needed exposure to people from outside and

hence put a thrust on some spending related to awareness

amongst these ‘deprived’ citizens. But, not even a single

village (apart from two in Assam) from amongst thousands

in this part of India, feature on ‘ExploreruralIndia’ website.

The only exposure they get is through some government

sponsored exhibitions in diff erent parts of India. But this

gives the impression of a charity event of sorts where the

margins they charge don’t last long. Just a day or two, and

they are back to doing what they are used to doing best –

selling cheap and living their lives.

Some may see the fl aw to be in the way they think. They

seem to be people who want less and just wish to live

a hand-to-mouth existence with no concept of savings

to secure their future. But only when you meet them will

you understand them. I don’t know what the solution is. I

don’t know how you can change the way they think. I don’t

know when it will change. But I do know one thing for sure

– it’s time to stand up and be counted. If not for us, then

for them. And what a special take-away it will be, bringing

about a change in the backbone of the North

Eastern economy!

them. And what a special take-away it will be, bringing

ut a change in the backbone of the North

tern economy!

Managing SMEs: An HR Perspective

Noopur Borwankar

Small and Medium Enterprises (SMEs) play a vital role in the growth and development of a nation, especially developing nations, and heavily contribute to the GDP. They also provide numerous job opportunities and employ a major chunk of the population. A lot of research is being done to study and expand the scope of human resource management in SMEs. Until a few years ago, little attention was given to HR and was construed to be a function that involves a lot of cost and does not accrue enough benefi ts for the fi rm. It is (wrongly) believed to be a large company phenomenon and HR practices were thought of as something large fi rms with an enormous work force and a complex hierarchy had to worry about.

Human Resource Management, a broad domain that involves a number of practices like recruitment, induction and orientation, training and development, compensation, payroll and benefi ts, employee retention and employee engagement, continues to a remain relatively underdeveloped function in SMEs. However, irrespective of the size of the fi rm, employee related issues need to be dealt with and are applicable to all organizations. They need to be considered for the eff ective running of an organization. Amidst their unique set of challenges and problems, SMEs must take measures to attract, develop and retain the right talent on a long-term basis. Further, since each individual’s performance and productivity has a greater impact on a smaller fi rm, the dependability of the fi rm on each of its employees is much more than in the case of larger fi rms.

Why HR and the Balanced Scorecard approach are becoming increasingly important for SMEs to survive amidst a fiercely competitive business environment

Working with limited resource options, SMEs need to be rational in allocating the right amount of resources in the right direction. Managing talent judiciously thus becomes important.

Job dissatisfaction, work overload and employee disinterest, if not gauged at the right time, may lead to a dip in the performance of workers, which in turn will have negative repercussions on the overall performance and profi tability of the fi rm. SMEs, which employ a smaller workforce, cannot aff ord to overlook the fact that dissatisfaction among employees may impact the throughput of the enterprise, no matter what the strength of the workforce is. It is imperative that a proper assessment of each employee activity is done. This will serve two purposes. First, employees can be compensated either through monetary or non-monetary methods according to their contribution to the fi rm’s goals, and second, it will allow the fi rm to analyse and review the work of every employee. Employees who are underperforming can be identifi ed and proper measures can be put in place to groom and train them to perform well. These initiatives may improve the effi ciency of the employee under review and a positive feedback by a manager may work wonders in increasing the effi ciency of the employees.

In China, SMEs form the backbone of the country’s economy thereby contributing to its growth

and development. A research article published in the Asia Pacifi c Business

Review reveals that the SMEs in China face enormous pressure due

to its increasing integration with the world economy. It further elaborates that factors found in the business environment such as globalization, technological innovation, demographic and social change as well as the level of technology deployed, creativity, fi nancial support and entrepreneurship have an impact on the performance of SMEs. Consequently, the way SMEs develop in an increasingly competitive market has become a key issue. In such a scenario, human resource management has a critical role to play. In countries like Belgium and Australia, HRM practices followed in successful and unsuccessful fi rms vary considerably. A research paper published in the International

Journal of Business and Management, in Malaysia, found that organizations mostly focus on performance-based systems to evaluate the benefi ts and compensation given to employees. Also, the study revealed that fi rms with their own human resource department are more sophisticated in areas of training and development, performance appraisal, employee relation and communication.

In the Indian context, a research conducted by the Confederation of Indian Industries revealed that around 80% of the small enterprises and 20% of the medium enterprises had no formal HR department. The SMEs in our country are yet to realize the strategic advantages of human resource management. The primary focus should be on talent acquisition and talent retention because manpower plays a key role in the operations of an SME. Proper training programmes imparted to employees will help enhance skillsets. Other than that, programs like personality development, work-life balance and stress management help employees in the long run.

Globally, HR departments of many governments and non-profi t organizations are now using the Balanced Scorecard approach that enables companies to align their processes and focus the entire organization towards implementing a long-term strategy. The use of balanced scorecards in SMEs characterized by lesser number of departments allows SMEs to concentrate on the important things and use resources effi ciently. One of the perspectives of the balanced scorecard is the learning and growth perspective which focuses on employee training. In the current climate of rapid technological change, it is becoming necessary for workers to be part of continuous learning. The balanced scorecard also serves the purpose of aligning employees’ individual performances with the overall fi rm mission and can be used in communicating and educating, setting goals, and linking rewards to performance measures. This will bring in transparency in evaluation and also provide managers accurate feedback about their workers. Research suggests that there is an increased use of the balanced scorecards in SMEs and some success stories demonstrate benefi ts such as reduction in unit costs, on-time delivery and lower absenteeism.

It is evident that managing human resources is vital to small and medium sized enterprises. However, a little more attention is needed in this regard to bring about positive results as SMEs grow and evolve. HR is an invaluable asset for any organization and, must be suffi ciently developed irrespective of size of the enterprise in order to achieve long term success.

For decades, the Indian rural market has been an enigma to major companies

across the globe, a diffi cult riddle to solve and a market that most companies did not see much profi t in. But by its sheer size (two thirds of over 1.3 billion people) and growing market size (valued at US 150 $billion in April 2010), it has become a market that no big company in India can aff ord to neglect anymore. Combining this with the growing economic prosperity among the rural population and the decreasing margins in the urban market due to increased competition, fi rms are now looking for more and more ways to cater to this growing economy.

Rural can be defi ned as any habitation with a population density less than 400 per sq. km., where at least 75% of the male working population is engaged in agriculture and where there exists no municipality or board as a rural area. With that defi nition, India has almost 6.36 lakh villages, out of which only 13% have a population of more than 1000. A marketer trying to market his product or service to such a market has to tackle problems such as the geographical spread, the population density, the low income of individuals and the

diversity across the rural region. Thus, it becomes very important for any company to study and evaluate this market thoroughly before venturing in.

According to research reports, almost three quarters of the income of rural population goes into food, beverages and tobacco. The next highest spending goes into their energy needs, education and healthcare still account for only 2% to 3% of their annual spending.

The major products and services prevalent in the rural areas are FMCGs, retailing, agricultural goods and telecommunications with FMCGs having the maximum penetration (almost 90%) and closing in on having the same level of accessibility in the rural areas as in the urban areas. In recent years, the telecom sector has also penetrated the region with the growth in rural areas being greater than that of urban areas.

Value Propositions

Let us now take a look at some of the value propositions for rural consumers in India. They can be listed as:

Product Availability: Unlike their counterparts in the urban areas, product availability is one of the most important values that a rural consumer looks for. Due to poor infrastructure and the low income, it becomes diffi cult

Understanding the Indian Rural MarketSunil Mishra

An analysis of rural consumer behaviour that will help companies make the right value proposition and achieve success in this huge and largely untapped market

for rural consumers to travel long distances to make purchases and thus they want products to be easily available to them at nearby locations.

Value for money: With a lower average income, the rural consumer looks for low cost products and is ready to haggle to get a lesser price. Though the cost of the product may be the most important product feature while buying a product, it does not necessarily imply that the rural consumer is ready to compromise on the quality of the product.

High Durability: Rural consumers seek higher product durability as the investment is bigger compared to urban consumers. The proverb ‘sasta sundar majboot’ still applies in India and consumers believe that a product that runs for a longer duration has better quality. If we consider the electronic goods segment for rural consumers, durability would also include the product’s ability to run for long hours as most villages in India have only a few hours of electricity supply daily and thus want their appliances to run even when there are power constraints.

No-frills product: Rural consumers do not look for value-added services or extra features from a product. They look for basic features that off er the core functionality or performance attribute at a lower cost rather than shell out more money for additional features. For example, in the mobile phone handset category, rural consumers prefer low cost mobile handsets that fulfi ll the primary requirement of a mobile phone i.e. calls and text messaging, rather than a smartphone with superior functionalities like the internet, emails and other sophisticated applications.

Small Packs: Rural consumers have a low risk appetite and also cannot aff ord to pay a large sum of money at one go, making them prefer smaller product packs. This is the primary reason for marketing of small sachets of soaps, detergents, shampoos and other FMCGs in the rural areas rather than the normal pack sizes which are off ered in urban areas.

High purchase involvement: Most of product purchases are high involvement ones. Any product or service that is trying to cater to rural areas has to factor this in and accordingly provide information and use distribution media to complement this behaviour of consumers.

Packaging to withstand weather conditions: The storage facility in the rural areas is not as good as in the urban areas. Even warehouses in the rural areas do not have proper storing facilities. Consumers are looking for a product which can withstand weather conditions such as heat and rain. For example, while purchasing soaps, they look for soaps which are harder and can last for a longer duration in water because the soap may be wet for a longer duration after use due to improper storage.

Small assortment of goods: Rural consumers are looking for an assortment of goods rather than single product alone. Thus companies which combine their products and sell them together rather than single goods are likely to be at an advantage.

While companies have begun to understand rural consumers to a certain extent, there are other signifi cant problems that continue to prevail. Since rural India is extremely heterogeneous, has diff erent income and savings pattern and suff ers from language barriers, understanding the consumer and communicating the value of a product is a great challenge. In addition to the consumer profi le, the operating environment in which the product has to be sold is also another challenge for the company. Infrastructure constraints, scarcity of data about the consumer and credit policies are some of the practical realities that companies have to look into while marketing in the rural areas.

Success Stories

Considering the problems in the rural areas, innovative strategies need to be implemented by companies operating in these regions. Some of the companies which have been successful in doing that are HUL (Shakti), ITC (e-Choupal), Mahindra and Mahindra (ShubhLabh Stores), Bharat Petroleum (Small petrol pumps), Reliance Industries (Reliance Rural Hub), Asian Paints (Utsav), Colgate Palmolive (Tooth Powder) and Tatas (Tata Tea’s Gaon Chalo).

These companies undertook initiatives to study distribution and logistics in the success of their product, while at the same time communicating value in lucid terms, empowering Bottom of the Pyramid (BOP) entrepreneurs, providing information and education about the product with the product and understanding the wallet size of the customer to create diff erent price points.

Rural India’s importance for the companies is increasing by multiple folds every year and the behaviour of the rural consumer is very diff erent from that of the urban consumer. The diversity, heterogeneity and the associated challenges present obstacles for any company venturing into this area. But companies have to also come up with innovative approaches to counter impediments and succeed in creating a new market for their product.

Consumer Spending Pattern

Food &

Beverages &

Tobacco

Energy

Needs 12%

Housing &

Health 3%

Other 10%

E v e n t sE v e n t s

Safeguarding Intellectual

P r o p e r t y

Rights (IPR) is certainly one of the oldest, and in

my opinion, a terribly fascinating institution, put

in place to grant owners exclusive rights to their

creations. But with the onset of the digital age,

protecting intellectual property and tracking

violations against it has become increasingly

diffi cult.

A veritable property of the human intellect is

the information it generates. Digitalization has

led to seamless accumulation and sharing of this

information. And this has changed the dynamics

of protecting intellectual property. Today, most

IPR violations occur in the digital media and

platform, with the highest being in the software

domain. Almost a paradox of sorts - one property

of man’s intellect threatens the protection of other

properties.

Microsoft and Google are two of the most

advanced and infl uential companies in the digital

space. They have had their horns locked for quite

some time. Microsoft sued Google for patent

and copyright infringement. Google

claimed that Microsoft is attempting

to use ‘bogus patents’ to destroy

Google’s new mobile platform

sensation, the Android platform.

In another instance, Google

was accused by Oracle of

directly copying somewhere

between 37 and 44 Java fi les,

Oracle’s fl agship product,

in Android. Yet another

interesting occurrence was

when a report of Microsoft’s

fi nancial health released by

Citi in May 2011 suggested

that Microsoft gets $5 for

each phone manufactured

by HTC. And these payments

to Microsoft were part of a

patent settlement after Microsoft

threatened to sue HTC for use of its

intellectual property. Then there was

the instance of Napster, launched as a

peer-to-peer online fi le sharing website primarily

focusing on digital music formats which crumbled

because of huge copyright violation claims by big

entertainment houses when users paid nothing

to them for the music they downloaded from

Napster.

These instances have led us to acknowledge a

new phenomenon called ‘modern crime’. From

The Perils of Intellectual

Property RightsArpit Tripathi

IPR is increasingly becoming the new battle ground for technology majors and the article examines which companies may be using IPR intelligently or to its advantage

the perspective of patent holders, the major

challenge as already touched upon earlier, is the

increasing ease with which intellectual properties

can be imitated as well as the decreasing visibility

of these violations. There is an increasing ease

because all creations and the information about

creations can be readily digitalized. For instance,

today if I were to devise a new revolutionary way

of optimizing my budget by taking into account

various variables like how much I have already

spent, how much I am left with and the pattern

of monthly expenses, I would be disposed to

digitalize this procedure and represent it in the

form of a computer program, because it would

ease my work and perhaps return monetary

benefi ts to me. In a large number of corporations

too, where businesses are created out of ideas,

digitalizing simplifi es and quickens the process of

monetizing.

Information about creation, also, often gets

digitalized because media and digital networking

are essential part of our lives. We share digitally

what we have done or what we are working on.

Again in organizations, this translates into who

releases pre-launch information or operating

instructions about their product. Moreover,

information digitalization is an integral part of

progressiveness that the world seeks today. So,

even the patent offi ce that has information about

your data has moved towards digitalizing that

information. Now, in this global village, both

creations and related information that has been

digitalized are easily accessible. As a matter of

fact, another paradox is that this whole concept of

global village is again facilitated by digitalization

of creations and information. Oracle had it

digitalized and distributed. Microsoft had it in

digital and had it in public. Napster took what was

digital and was in public.

Before looking at decreasing visibility of violations

or low traceability, let us fi rst look at it from the

point of view of the violators of IPR. There are

three types of violators of IPR. The fi rst being the

type that approaches the digital world looking

for solutions to problems they face, the second

being the type that approaches the digital world

to access creations that can give him benefi ts

with least eff orts of his own. Some media reports

suggest that Google used Java codes in their

mobile platform to save eff orts of creating a new

code and that HTC used technology that Microsoft

had patented as it had no prior exposure to

Microsoft. There is a third category too, those who

have reached a point where the excitement of

something new and novel is so great that they are

blind to the fact that they may be violating the intellectual

property rights of others. Napster created something

radically new and did not really bother about any violations

or infringements that it might be causing in the course of

time. In all the above examples, digitalization of creations

and related information facilitated violation. But why

would visibility and traceability go down? While it is a huge

digital world where you can fi nd multiple answers to what

you are looking for, it is sometimes equally likely that you

will stumble upon something you are not looking for. For

instance, I may have shared a novel idea by digitalizing

it, but it is hard to trace how and where it is being used.

But that doesn’t seem to be the case in all these huge and

famous IPR battles. Apparently, the IPR holders come to

know. These are not exceptions, rather these are a part of

the process - the process that says that ‘I know I cannot fi nd

out, but I don’t care. I will care about violations only when

it is benefi tting others and I can get the better of them by

pointing out these violations’. For instance, iPhone as a

product name was registered by Cisco. Cisco did not release

or market any product by that name for several years but

on hearing of Apple’s new venture named iPhone, Cisco

quietly included in their portfolio, a product called the

iPhone. And then they sued Apple. It’s another story that

Cisco never succeeded in getting any claims because they

never used the registered name, but it does bring out the

nature and dynamics of the current IPR institution, another

paradox where dormant IPR is used as a deterrent for the

competitors, or so it seems.

Thus when Microsoft accuses Google of infringing its

patents and Google accuses Microsoft of misusing ‘bogus

patents’, only time will tell who the real criminal is in the

scene of modern crime related to the institution of IPR in

this digital age.

An Interview with

Shouvick MukherjeeMr.Shouvick Mukherjee is a Yahoo! veteran and has played a pivotal role in developing Yahoo! India R&D into a hub for product and technology innovation. He is an expert in the internet domain with a proven track of record in building and managing large teams and driving innovation.

As the CEO of Yahoo! India R&D, how would you defi ne

your style of leadership? Is it more participative or

task-oriented or leading by example?

I think it is a combination of all three. As a leader,

my primary goal is to make the whole organization

successful, to have a clear vision and strategy and

then driving its buy-in among our people. It is not only

about putting together a vision but also about getting

people excited about it. An important element is the

leader’s focus on making every individual employee

successful. The success of the organization is fi nally

derived from the success of every individual working

with the organization.

What do you think are the key challenges of a

leader in the top management of a technology fi rm?

How have these challenges changed over the past

decade?

There are diff erent types of tech

fi rms, and of varying scales. Let

us fi rst take the case of large

technology organizations.

Technology is going through a lot

of change- innovations take place,

new technology stacks evolve,

the consumer and enterprise

seek change. Take as an example,

Cloud technology. As we have

seen in the past few years, Cloud

has evolved dramatically and

pretty much every corporate is

moving towards it. Product wise,

we need to keep adding new

features. The timing of when to

move from our legacy systems

to newer systems is again a key

milestone. Where we put our

investments and when we change our platform stacks

are also big decisions. If we don’t change our platform

stacks, they will become obsolete. The challenge for

the top management in these situations lies largely

in balanced decision-making required to drive and

counter change and bring about a positive outcome.

In the start-ups space, most of them are built around

the newest technology. Hence their challenges are

diff erent. I’d say that the key challenge is to decide on

how much to invest in technology and how much to

spend on other activities such as sales and marketing.

That is a big decision considering the fact that most

new technology stacks are initially very expensive.

Talent is also expensive and how much they spend on

hiring the best minds is another key decision.

Talking about these challenges, how has Yahoo!

managed to strike this balance?

Well, we have been one of the fi rst-movers in our

investments on Cloud. We have been consistently

investing for over fi ve years. If you looked at the

Yahoo stack 10 years ago, it was more of distributed

computing, but, now we are moving into the Cloud.

The whole presentation layer is going into theCloud

service. We are also thinking about how to build a

presentation layer that cuts across diff erent properties

and Yahoo Publishing Platform (YPP) is a good example

of that. As to how we decide on this issue, if you look

at Yahoo! products, in most cases, we have prioritized

platforms over services. An example could be ‘Content’.

If we truly platformize Content, we could leverage it

in more diff erent ways across the Yahoo network and

also on diff erent other platforms. In some other cases

like ‘Search’, we prioritize features over platform.

How does a company like Yahoo! manage to remain

young in an ever-changing internet landscape?

How do you foster the culture of innovation in the

organization?

That’s a very good question.

It has been a key area

of focus for us. In

many cases, we

have to kill our

own legacy.

We have to

consistently

look ahead

rather than

look back at

what worked

for us. The reality

is that it is a very

rapidly changing

market-place. We need to

look at where the market is heading and design

products for that, rather than replicating what has

been successful in the past.

While we look ahead, key is to identify one’s core

competencies - in our case it is Content. Yahoo! is

a premier digital media company. What we mean

by that is when it comes to content, we do it better

than anybody else. That basically is the driver of our

strategy. Even in the tablet space, it is about how

content consumption is changing and how we are

positioning our products diff erently to meet these

needs. We look ahead and continue to leverage our

core competencies. That is how we stay young!

How do you think globalization has aff ected the

way we think and do business? Specifi cally, how do

you decide which of the problems you address at a

global scale and where you need to provide region

specifi c solutions?

Most problems today are global in nature. However,

it is possible to solve it using a local market scenario.

Let me give an example with respect to Yahoo! Cricket.

This year, we launched a gamecalled ‘Predictopus’ for

Yahoo! Cricket users. This game involves predicting the

outcome of a match, taking into consideration diff erent

factors. We had actually launched this product in

Yahoo! Sports during the soccer World Cup. Building on

user response and our experience, we eventually fi ne-

tuned the various aspects of the productand launched

it in Yahoo! Cricket as it had a huge

uptake in India. Actually

this game which

now features on a

specifi c regional

site is in reality a

complete global

product.

However, in

some cases we

plan to launch the

product at a local

scale, customize it to

specifi c requirements,

let it evolve and then

take it to a truly global level.

That is how we work, take a global problem, solve

it at a local level and then take it further from there.

If we are talking about YPP, our platform which allows

rapid property creation, we are thinking about how to

take the product feature set very local to the country.

Using this, we launched OMG for the Europe market

and then for the Asian market. This helped us evolve

the platform and now we are thinking about how we

can get a more global scale on that.

good question.

key area

us. In

changing

We need to

re the market is heading and design

that rather than replicating what has

tuned the various aspects of the prod

it in Yahoo! Cricket a

uptake i

let it e

take it to a tr

That is how we work, take a globa

it at a local level and then take it fu

Every entrepreneurial fl edgling thinks about the

internet space. There are so many people hoping

to start their own dotcom and make it big. What do

you think is the role of small time entrepreneurs in

shaping the internet industry?

I think the rise of entrepreneurs is good for India.

Enterprising entrepreneurs will create more jobs,

opportunities and innovation that will transform this

country. You see more entrepreneurship in the dotcom

space, because the barrier to entry is very low, and

investment required is quite moderate too.

Right now, the factor of innovation is not very marked

in the market. Ideally, I would like to see a lot more

innovation happening in India. Entrepreneurs who

have begun to think about their venture should

really look at two things - whether they are solving

a yet unsolved problem and whether it is relevant in

the Indian context. The market potential is huge and

any entrepreneurial venture which meets these two

criteria is sure to be a success.

In general, the trend with most big internet

companies has been inorganic growth. What are the

plans for Yahoo! globally? In particular, with respect

to Yahoo! India, what do you think will be the growth

model? Are there enough mid-level start-ups in India

for Yahoo! to look at serious inorganic growth?

For Yahoo!, India is a very important market – second

only to the US in terms of audience numbers - and we

have many reasons to continue our focus on India.

The potential uptake of the internet is huge in this

country. Internet users are trending younger and

many more people are seeking content in diff erent

languages. We believe that tablets are also going to

play a key role in increasing the Internet penetration

in India. So, as a company our strategy revolves

around providing good local content, in diff erent

regional languages – which are accessible across

devices, including mobiles and tablets. With respect

to mid-level start-ups for inorganic growth, we will be

looking for those companies which are aligned to our

strategy, and can accelerate implementation. There

are quite a few number of start-ups focusing in related

areas - especially with regard to low-bandwidth

data, and those which are focused on bringing more

local vernacular content and local distribution. Such

companies can be of potential partnership interest for

Yahoo!.

What do you think are the key qualities or traits required

to be successful as the top leader/CXO of a technology

fi rm?

This is a pretty diffi cult question! I think that a can-do

attitude is most important because in many instances

we should be prepared for the unforeseen, and be

able to do all it takes to succeed. One needs to have

the passion and be able to put in years of hardwork.

Unless we are passionate about what we are doing, we

cannot bring out the very best. And there is absolutely

no substitute for hardwork in any fi eld.

What would be your advice to aspiring CXOs in

management schools?

Consistency is the most important thing. Stick to a

problem, solve the problem and be determined to

succeed. At times, I fi nd the younger generation rapidly

moving from one problem set to another, without

seeing through to the end. While it may appear like

an easier way to succeed – I believe the ability to

stick on and continue to chip away at a problem is

indispensable. Getting into a space, sticking to it and

truly improving it, is what takes you up the ladder. You

can choose to do that while being in one organization,

or even if you move organisations while continuing

to focus on the same or similar set of challenges and

problems see a lot of great thinkers who provide

interesting and innovative solutions. But the clincher is

about how they see it through, and get it implemented.

That is what I call the mantra for success.

“What is this life if full of care, we have no time to

stand and stare.” – William Hendry Davies

There have many times over the last

one year when I have thought

about these words. I have pondered on whether

I am eff ectively utilizing my time in a b-school. I

have thought about where I am, where I want to

be and what’s needed to take me there. I have

thought about self-management, motivation

and time management only to reach late for class

again the next morning.

We do learn a lot of things in a b-school - how

to speak on any topic with confi dence, how to

make awesome PowerPoint presentations, how

to ‘balance’ the balance sheet and how to attend

meetings at 2 am. However, what some of us

learn and many of us struggle to learn is how to

manage time. My friends have always admired me

for being able to get so much done in a day, but

after I joined IIM Shillong I felt that I was slipping.

I was still accomplishing a lot of tasks in the day,

but at the end of the day I was left wondering if

that was indeed the best use of my time. As Randy

Pausch said, ‘It’s not about doing things right,it’s

about doing the right things’. It was this question

that troubled me for months.

Many people go on with their routine life, trying to

squeeze time out to do what they can and some

are fortunate to have a more casual approach

towards life. I, unfortunately, think too much. It is

the sum of many of these ponderings that resulted

in this article. A

few days back,

when a friend of

mine was struggling

with the fi rst year in

his b-school, I wrote

him a 7 page letter

on time management.

I then realised that I

had subconsciously

developed a matrix for

time management! But

before I get into the details

of my matrix, let’s clear

some myths about time

management.

1. You will never ever,

ever, have time!

I have often thought that life

will be diff erent next term,

next year, during internships

or during holidays. Life however,

has the prowess to prove you wrong at every stage. As one

short story read, the busiest manager is the one who always

has time. We can never fi nd time, we have to make it. So, the

crux is in prioritizing the work needed to be done. One way

of doing this is the urgent-important matrix where you map

tasks by urgency on one axis and importance on the other

Where’s the timeSria Majumdar

A simple and practical tool to develop and hone time-management skills

axis and then try and fi nish urgent and important

tasks fi rst. The key is in understanding that tasks

should never be allowed to become high on

urgency, we should fi nish them while they are not

so urgent. Another way of prioritizing tasks is my

matrix, but we’ll come to that later.

2. You cannot sustain 4 hours of sleep

everyday till eternity

I have heard many people say that you cannot live

in a b-school unless you sleep for less than 4 hours

a day. Listen to yourself- that’s ridiculous. People

who say this either sleep during the day in their

rooms by bunking classes, or sleep in the class.

So essentially, they will stay up all night to read

the case for the class, but sleep in the class when

the case is discussed! I have not and will never

understand this rationale. I have been sleeping

for more than 6 hours on an average even

in the most hectic weeks, and I think that

makes me more effi cient and energetic in

my waking hours. Also, reversing sleeping

patterns to become nocturnal makes no

sense. You can get the same amount of

work done in the day, and also enjoy the

sun streaming into your room. So before

the sleep deprivation gets to you, and

you fall sick (at the risk of sounding like

a mom, I have to say this) get some

much needed rest. Work will wait till

tomorrow.

3. There will never be a more

relaxed tomorrow

Throughout the fi rst year I was in

search of this mirage, those so called

‘relaxed weekends’, or the week after

exams or vacations. To my surprise, work always found me

or I always found more things to do than I had time to. It

was like an addiction, if I did not have anything to do, I

would be like a lost puppy looking up random websites and

reading random articles. At the end of the day, I would again

complain that I did not have time to enjoy myself. Sometimes

the line between choice and compulsion gets blurred, and

we forget that we are the masters of our lives. Just to remind

myself, I intentionally bunk meetings sometimes. There is

nothing more empowering than doing that. Knowing that

even now, you control your circumstances (at least some

part of it) and it’s not the other way around.

4. Switching off your laptop or mobile will not kill

We have spent many hours in front of the laptop doing

simply nothing. ‘I was supposed to sleep at 12, but then I

opened the laptop and before I knew it, voila, it was 2 am’.

These are common occurrences in a b-school, and when

they happen, you need to remember point 4. On and off ,

it’s good that people can’t reach you. Apart from increasing

your demand, it will give you the much needed time to do

your own stuff .

So having cleared some myths, let’s move to the much

awaited matrix. The matrix essentially has four

components: Me time, Student time/Job time,

Additional responsibilities and People who Matter.

If we think carefully, we can divide all the work that

keeps us busy into these four groups. The key is to

understand what is the most important for you.

i. ‘Me’ Time: This is the time in the day where we

do stuff that is personally relevant or important to

us. It could be reading the newspaper or a story

book, going to the gym, learning to play the

guitar or taking a walk down the street. This time

is the most important and the most neglected in

the day, just because we don’t have a submission

deadline attached to it. We should ensure that

after we wake up, our fi rst priority is to get this

done. Even on the busiest day, make sure that

youspend enough time on this, and get it done

early in the day. As the day proceeds, the more

routine and ‘emergency’ tasks take a grip of your

life and the ‘me’ time is lost forever. Sleep time is

also a very important part of ‘me’ time. Guard this

time preciously!

ii. Student/Job Time: The second most important

thing in the day is your job. As a student this means

preparing for tests, completing assignments and

reading cases. As a manager, this means doing

your job. This is the reason you are where you are,

and you should never forget that. While ‘me’ time

increases your happiness quotient and ensures

your long term prosperity, student/job time

ensures your current prosperity.

iii. People who matter: Again, an often neglected

component of our lives, we forget to connect to our

friends, family and loved ones during times of duress. We

are so engrossed in our routine tasks and their timelines

that their daily admonishing fails to have an eff ect on us.

The calls reduce from 3 times a day to once a week, and

the duration reduces to a few seconds. Once this happens,

no matter how much you try, you can’tget the relationship

back to what it used to be. Think about it- for the short term

success of today, is it worth forgetting your parents, sister or

girlfriend? The key to getting this in place is using the idle

time in the day. A short 10 minute break between classes is

the ideal time to catch up with a loved one when you can’t

seem to fi nd any other time!

iv. Additional Responsibilities:‘I am a member of the ____

committee, and it is the most important committee in the

whole world, and I am always busy and I never have time’.

But still, you are not the President of the United States. And

even if you were, it is not okay to neglect your wife or children

(People who Matter), basic roles and responsibilities (Job

time) and yourself (Me time) for the additional headaches

of being the President. Most of the times, this is the task

that is given the most priority, and in the longer run, this is

the task that probably has the least signifi cance for us.

There are times when we feel so pushed, that we want to

break free. Unfortunately we all have the same 24 hours

in the day, and too many things on our plate. Those who

manage to be happy, and deal with their tasks eff ectively

are the ones who realize that they can’t eat everything on

the plate. So take some time out to stand and stare!

Our present lifestyle is triggering drastic

conditions in the environment in the

form of major climatic changes and depletion of

the Earth’s natural resources. Besides engaging

in environmentally friendly activities, another

important way to address the above situation is to

emulate Nature which is already sustainable. The

practice of developing technologies by adopting

sustainable trends in Nature is called biomimicry. It is

a disciplined method that includes applying Nature’s

design principles to human design challenges, thus

paving the way for sustainable innovation.

How does biomimicry work? At fi rst, biological

research is undertaken on a particular characteristic

or behavioral aspect of an organism or an ecosystem.

Then, its relevance to a design context or a particular

human need is identifi ed. Following this, an attempt

is made to fi nd solutions for the latter through the

observation of organisms and ecosystems with the

help of available biological data.

One of the most popular examples of biomimicry

was the invention of the ‘Velcro’ brand fasteners.

It was invented in 1941 by Swiss engineer George

de Mestral. The idea struck him when he found

burrs sticking tenaciously to his dog’s hair. After a

Learning fromFamous Casesof BiomimicrySubhankar Padhi

What businesses, in their move towards sustainable growth, can learn from Nature’s principles of biomimicry

microscopic observation, it was found that the

tiny hooks on the end of the burr’s spines caught

anything with a loop such as hair, clothing or

animal fur. The 2-part Velcro fastener system uses

patches or strips of a hooked material along with

that of a loose-looped weave of nylon that

holds the hooks thus giving it the name

‘hook-and-loop fasteners’. Because

it is easy to use and maintenance

is free and safe, hook-and-loop

fasteners have been used for

multifarious applications

where a temporary bond is

required.

The skyscraper Eastgate

Centre building in Harare

was designed to mimic

the way the tower-building

termites in Africa construct

their mounds and maintain

a constant temperature in it.

The insects do this by constantly

opening and closing vents throughout

the mound to manage convection currents of

air, so that cool air is drawn in from open lower

sections while hot air escapes through chimneys.

The state-of-the-art building uses a similar design

and air circulation arrangement. This design

consumes only about 10% of the energy used

in similar sized buildings which rely on various

conventional methods of temperature regulation.

The human body is the most amazing machine

that possesses the power to heal itself from any

external injury. The same process, if mimicked in

light polymer composites that are used to produce

aircraft fuselages, gives rise to an indispensable

product - self-healing plastics. They are made

from hollow fi bers, fi lled with epoxy resin that is

released if the fi bers suff er serious stresses and

cracks due to some externality. A scab which

is nearly as strong as the original material is

created. Self-healing plastics could be used in the

manufacture of planes, cars and even spacecraft

that will be lighter, safer and more fuel effi cient.

In the process of photosynthesis, green plants use

chlorophyll to convert water, sunlight and carbon

dioxide into carbohydrates and oxygen. Artifi cial

Photosynthesis is envisioned as a means of using

sunlight to split water into oxygen and hydrogen

that may be used as clean fuel for vehicles. This

will use up the excess carbon dioxide in the

atmosphere and thus reduce the greenhouse

eff ect as well. Additionally, hydrogen fuel cells

could become an effi cient and self-recharging

way to create and store energy for household as well as

industrial uses.

Dependence on fossil fuels can be reduced if we devise

more effi cient methods of energy usage. Shark’s skin

has the unique ability to reduce drag by manipulating

the boundary layer fl ow as the fi sh swims. Based on this,

researchers are developing coatings for submarines, ship’s

hulls, aircraft fuselage, and even swimwear for humans.

Inspired by the varying shape and texture of the shark’s skin

over its body, Speedo has developed Fastskin FSII swimsuits.

This class of swimwear became famous in Beijing Olympics

where the US swimmer Michael Phelps won his record eight

gold medals.

These are some instances which corroborate the fact

that Nature is inherently sustainable, and mimicking its

processes and ecosystems leads to sustainable solutions.

However, there are other strategies to achieve a balance

between human actions and the environment, which

are comparable to biomimetic. A proper feasibility and

cost-benefi t analysis would help scientists determine the

desirability of one strategy over the other.

Man has always learnt from the past-

intentionally or unintentionally. The

way he has learnt from his successes and failures

has always intrigued me. If you were to rewind and

go back a long way, somewhere beyond a million

years, would you fi nd something interesting to

learn too?

What was it like a million years ago? Man was

still competing with animals and other hominid

species. Man faced many constraints. He was

not physically strong; he struggled with limited

resources, faced heavy competition and fi erce

predators. Yet he endured, survived and ultimately

dominated. Man won the battle and established

himself as the ruling species. I can’t help but

notice how this hostile scenario and the present

corporate world are similar. Companies, too, face

comparable constraints. We have a success story

right in front of us - a species which defi ed all odds to

become the ruler of not only the ecological niche it occupies

but also every habitat available in this world. Let’s see what

this story has to off er to the business world of today. After

all it is Man’s story, it is our story.

Free your resources

Let’s start with how Man initially diff erentiated himself from

apes. He started walking on two legs! Bipedalism off ered

numerous advantages, the most important being freeing

his hands to do something else. This was a huge change;

the use of hands to do work gave man an unparalleled

advantage which no other species had - the advantage of

multi-tasking. This development however was not easy. It

came with its own drawbacks. He lost balance often and

struggled to move with speed and agility. In addition, it

resulted in anatomical changes in the pelvic structure

giving rise to further complications (such as those faced

during child birth) which were critical to the very survival

of the species itself.

It is no diff erent in the business world. Economic downturns

make it imperative to adopt cost-cutting measures like

reducing the number of resources. Functional managers

complain about the limited resources available but they

fail to realise the importance of freeing resources for some

other activity. There can be no greater success than when

one is able to reduce the number of resources and achieve

the same levels of productivity and effi ciency. What

this does is it makes available other resources,

which can be used to do something

novel. How many managers dismiss

this as impossible without a

second thought? As far-fetched

as it was, Man was able to

achieve bipedalism. It’s

time we decided to stop

walking on four legs and

endeavoured to get

those two vital ‘free

hands’.

Stand your ground; face your fear/competition

When primates

moved out of their

arboreal habitats to

get to the ground,

they discovered they

were vulnerable. They

were suddenly prey to

the wild cats. But Nature

played its game, the big

Harish Rammohan

Management Lessons from HumanEvolution

Some pointers that businesses can take from Man’s story of evolution

cats were quickly exterminated and primates

were able to spread to the forest fl oor without any

fear, giving rise to the walking Ape.

Thus Ardipithecus Ramidus was born. His cousin

Ramapithecus still lived in the trees. Both were

about the same size and intelligence but Ramidus

had feet on one end and Ramapithecus had hands

on both ends. Soon after, Nature re-introduced the

primate’s old enemy – the felines - back in to their

habitat. On spotting a predator, Ramapithecus

would escape into the trees. With his four hands

and opposable thumbs he could out-climb even

the leopards on trees. Ramidus, however, with feet

at one end, could neither stay on the ground nor

escape quickly enough into the trees. He decided

that the best way to deal with danger was to

confront it. He learned the art of co-operation

and the use of the club for defence. He learnt to

organize with friends during feline attacks. He

stood his ground no matter what the animal was.

Thus he overcame his fear. Now with the club in

hand he could go anywhere he wished and live

anywhere he liked. This started Man’s long journey

out of forests and in to the plains. Ramidus later

evolved into modern humans and Ramapithecus

soon perished.

As a manager, one might often fi nd himself in

tough situations with the state of the organisation

in quagmire. There are again two choices available

- to escape the situation through a temporary

solution and avoid direct confrontation of the

problem just how Ramapithecus did or to stand

and fi ght like Ramidus. Invariably, one might fi nd

that the manager who chooses the option of

facing the situation bravely and stands his ground

will be able to bring his organization out of trouble

and to a more advantageous position.

Diff erentiate yourself

Interestingly, Economics supported Evolution.

It was trade and specialization of labour which

helped Man survive over other hominids.

Neanderthals were dominant for more than

200,000 years but as soon as they started

occupying the same habitats as the Homo sapiens,

they started fading out and soon became extinct.

It is believed that H.sapiens had a better economic

system than that of the Neanderthals. H.sapiens

traded extensively, meaning that those who were

good at making tools did not have to go hunting,

but instead traded tools for their daily meat from

a hunter. This resulted in specialization of labour,

which in turn gave rise to eff ective goods being

produced. Tasks were carried out by people who

were the best in that area, bringing about success for the

whole community. Unfortunately, the Neanderthals did

not practise trading and therefore did not have people

who specialized in a particular fi eld. Every Neanderthal was

forced to do all chores irrespective of how good or bad he

was at a particular task. This resulted in low productivity

and low effi ciency and lead to absence of innovation and

slowly to the extinction of the species.

In the world of business too, one should strive to

diff erentiate. Achieving dominance in a particular area will

make the person or company indispensable and challenge

existing dominant players, possibly even overthrowing their

supremacy just as the sapiens overthrew the Neanderthals.

Adapt to the situation and compete

Probably one of the most important virtues that stood

Man in good stead and allowed him to achieve success

over 100,000 years was his ability to adapt. He faced

sudden changes in climate such as the onset of ice age,

lived right through the ice age and was able to adapt to

the climate change. He has been able to live in not only

the most pleasant conditions but also in the most extreme

conditions as well. So man’s adaptability is crucial to his

success. Similarly, the success of an organization depends

tremendously on its ability to adapt to situational changes

in the market. The fl exibility and agility of processes in the

company are extremely critical to its success.

Another thing one must observe is that throughout Man’s

evolution, he did not compete with his own. He only

started to compete with others of his own species after he

had established himself as the ruler of the earth. Man fi rst

ensured that his species survived as a whole. Team work

enabled Man to survive. Humans were unique; they made

sure they fought not among themselves, but with other

species. Co-operation helped them escape predation from

other animals.

There is a wonderful example from the business world on

similar lines. Robert Goizueta was the CEO of Coca-Cola

in the 80s. The primary competitor was Pepsi. Competing

against Pepsi did not bring in any results. That is when

Goizueta stepped in and decided to compete against the

situation instead of Pepsi. He understood that Coke’s share

in the average fl uid intake of an American was 14.28%, the

real competitor was not Pepsi - it was water, tea, coff ee,

milk and other fruit juices. He decided that the public

should reach for a Coke whenever they feel like drinking

something. Coke started putting up vending machines at

every street corner. The sales went skyrocketing and Coke

took an unassailable lead over Pepsi. It’s all about competing

against the situation.

We have so much more to learn from our past. It has so

many solutions to the problems we face today. We just have

to take a closer look!

Winds of ChangeIs RBI prepared for the entry of corporates?Debanjoli Sinha

Finally the wait is over! Corporates

in India have much to look

forward to these days as the doors of the much

coveted banking sector will now be open to them

on condition that they adhere to certain norms

laid down by the Reserve Bank of India.

But why does the banking sector hold such

salivating prospects for corporates? The answer

is simple. It is said that while businesses incur

the probability of both success and failure in the

banking sector, it is only the degree of success

that diff ers. Other than the higher probability of

success in the as-yet virgin banking space, some

other benefi ts envisaged by business houses

interested to venture into this segment are self-

lending, the freedom to lend almost ten times

more than the capital base as well as the potential

of the market yet to be explored by existing banks.

But is the RBI ready for corporates? Or will India

again face the heat of 1969, when bank failures

and the damage they did under ‘laissez-

faire’ conditions led the

government

ensure tighter regulation and deter fi rms from indulging in

unscrupulous practices. Let us take a look at the key features

of the guideline to see the kind of banking reforms RBI is

planning before it allows corporates to have their share of

the pie.

The RBI has mandated that it will only be issuing licenses

to those entities that have ‘diversifi ed ownership, sound

credentials and integrity and having successful track record

of at least 10 years’. It is apparent from this that the RBI is

highly committed this time to protecting the interests of

consumers and will allow only the entry of credible players.

The condition of a ten-year track record will hinder new-age

entrepreneurs from participating in the banking business,

thus reducing the risk involved for consumers. In the

process, however, the banking sector will lose out on new-

age processes and radically diff erent practices that these

newbies would have brought in.

In an eff ort to safeguard against the confl ict of interest on

real estate, broking and banking businesses, corporates

having more than 10% income or assets from the real

estate construction and/or broking activities individually or

taken together in the last three years will be debarred from

entering into the banking domain. But on the other hand,

this measure will automatically rule out the entry of

many high profi le industry houses in banking, leaving

only a few corporates to grab the lion’s share of the

banking pie.

The RBI has clearly taken steps to demarcate

banking and fi nancial businesses from the

other businesses of the corporate. Under the

RBI guidelines, only a wholly owned Non-

Operative Holding Company (NOHC) which

is registered with the Reserve Bank as a

non-banking fi nance company (NBFC) can

be allowed to set up a new bank. This NBFC

will hold the bank as well as all other

fi nancial companies in the promoter

group. This delineation will bring

in increased transparency in the

system. It will also facilitate the

regulation by RBI. As a result,

both the corporate house as

well as the RBI can defi ne their

discretionary power within a

given framework, resolving

the innate ambiguities.

to nationalize more than 54% bank branches in

India, making the total number of banks under

Government control to a little over 84%. To

safeguard the interests of the public and enhance

the credibility of the banking sector, the Reserve

Bank of India has drafted a guideline for licensing

of new banks in the private sector.

The RBI this time is being supremely cautious to

Another laudable action is the ensuring of a larger

capital base by SEBI due to the increase inthe

minimum capital requirement to Rs. 500 crores

from Rs. 300 crores as per the existing regulations.

Also, the NOHC will have to hold a minimum

of 40% of the paid-up capital of the bank ‘for a

period of fi ve years from the date of licensing of

the bank’. This will protect banks from insolvency

issues which arise out of borrowed investments.

In a bid to save cash fl ows from the Indian banking

sector from being transferred to a foreign country,

the RBI has limited the aggregate non-resident

shareholding in the new bank to 49%, at least

for the fi rst fi ve years. But with the level of global

dependency increasing particularly in this sector,

whether this will prove to be short-sightedness on

the part of the RBI to not allow seamless global

integration remains to be seen.

Besides the above mentioned measures, the RBI is

leaving no stone unturned to protect the common

man’s hard-earned cash from being exploited by

spurious practices of banks. Noteworthy among

these are the RBI’s mandate to limit the exposure

of a bank’s credit to any entity in the promoter

group to 10%. Additionally, the aggregate

investment of the bank to the whole promoter

group cannot exceed 20% of its reserves and

paid-up capital. This will prevent the bank from

indulging in malpractices like self-lending where

the bank can potentially misuse public money by

providing loans of disproportionate amount to

the parent corporate house. To ensure operational

transparency of the bank, the RBI has given clear

instructions that new entrants will have to get their

shares listed on the stock exchange within two

years of licensing. This step was important since

the presence of retail and institutional investors as

equity holders will provide a deterrent measure to

prevent the bank from taking risky decisions and

increase the operational transparency of the bank.

In an attempt to promote the cause of fi nancial

inclusion, the RBI means to reach out to even

the unbanked rural sectors where there is need

for banking service providers. According to

the latest guidelines of the RBI, the bank shall

have to open at least 25% of its branches in the

unbanked rural sectors. The measure, no doubt,

has the best intentions at heart, but at the same

time its feasibility is questionable. The apparent

implications of the measure is that for every three

branches that the bank sets up in urban India,

there should be one branch that serves the not-

so-affl uent rural India. However, it will be diffi cult

for corporate houses to fulfi ll this condition in

view of the fact that even the public sector banks are facing

operational issues in running rural branches. The whole

focus still remains on the over-banked metros where cost of

capital is low and bottom line is high. It is but obvious that

the banks are not overtly enthusiastic about opening their

branches in rural India. For a private sector bank, where the

motive is predominantly profi t maximization, this mandate

might turn into a farcical play leading to dummy branches

being set up in rural areas, leading to an under-utilization of

resources and an overall loss for the economy.

While the above regulations will help plug the gaps in

the existing guideline and ensure better governance,

implementation will be tough. It will need a diff erent

mindset on the part of the corporate to run a bank from the

one that is required to run a manufacturing outfi t wherein

the promoters tend to infl uence almost every decision – from

strategic to operational decisions. Unlike a manufacturing

company, the bank has millions of depositors and it needs

to keep their interests in mind.

An example of the mindset issue is the one of an old

private sector bank that was set up before independence.

The promoter indulged in unethical practices like selling

his group company’s property to the bank at a higher rate

than the market price. The bank has bought this property

(without a clear title or registered deal) to open its branch

in Mumbai. Moreover, both the bank’s zonal offi ce as well

as the corporate offi ce are located in the premises of the

promoter’s other companies. The promoter’s relatives

also own the two guest-houses that the bank rents in

Mumbai. To get a better grip of the bank, the promoter

recently established the bank’s corporate offi ce in

Mumbai, although its headquarters continue to be located

elsewhere. With the shift, every important department

of the bank - credit, investment, treasury, recovery, the

board secretariat, offi ce of the Managing Director as well

as Deputy Managing Director and Executive Director - are

now almost located in the backyard of the administrative

offi ces of the promoter’s other businesses. This has been

done to enable the promoter-cum-chairman to keep a

tab on every single corporate decision that is taken in the

bank. Technically, even though the Managing Director of

the bank can sanction loans up to Rs. 3 crores, in reality he

cannot sanction a single proposal without the Chairman’s

nod. Besides these, the promoter has been leveraging the

bank in many other ways. However, everything is being

done formally within the purview of the regulations.

Even though the policy of the Reserve Bank of India to allow

corporates to enter the banking sector is seen as a ‘wind

of change’, will there be a robust implementation process

needed to safe guard the consumer’s interest? The answer,

my friend, ‘is blowing in the wind, the answer is blowing in

the wind’.

Buildings consume a lot of

energy in construction

and their maintenance, thus having deep impact

on our natural environment, economy, as well

as personal productivity and health. It has been

identifi ed that buildings account for one quarter

to one third of all energy use and greenhouse

gas emissions. Also, it is estimated that about 30

percent of the newly built or renovated buildings

suff er from the “sick building syndrome”, exposing

their occupants to unhealthy environmental

conditions. Therefore, buildings should be

designed, constructed and operated in a manner

such that the adverse impacts are minimized or

eliminated, and the positive impacts are enhanced.

The concept of “Green building” is being promoted

as the foremost strategy to ensure sustainable

infrastructural development. Green building is

the practice of increasing the effi ciency of usage

of resources - energy, water, and materials - while

reducing building impacts on human health and

the environment, through better site, design,

construction, operation, and maintenance.

As an added benefi t, green design measures

also reduce operating costs, enhance building

marketability and increase worker productivity.

These breakthroughs in building design, science

& technology are available to aspiring green

designers, builders, operators and owners, to

help them maximize both the economic and the

environmental potential of their buildings.

Designing of energy conscious buildings can be done

through the Integrated Design Approach and the Passive

Design Approach. In the Integrated Design approach, all

the building components work together as a system to save

energy while keeping a building warm in cool environments

and cool in warm environments. In this approach, the

building developers use energy-saving components and

high-efficiency heating, ventilation, and air-conditioning

options.The integration of design and window strategies

results in bringing daylight into a building’s interior without

heat and glare. Also, the use of high-efficiency lighting (e.g.

compact fluorescent) reduces both electricity demand

and heat gain, which in turn leads to the usage of smaller

cooling systems.

In the Passive Design Approach, the design takes advantage

of natural energy flows to maintain a building’s thermal

comfort and as a result, reduces the need for mechanical

heating or cooling. There are various options for passive

design approach including increased use of glazing, double

glazing with coating to reduce solar radiation transmission,

curtain wall panel/frame insulation, external canopy/fin

shading, passive solar heating system and passive cooling

system.

The construction industry is one of the largest economic

activities contributing to India’s development. India has been

GREENBUILDING:

A Futuristic Housing Solution

EcoBiz Club, IIM Shillong

witnessing tremendous growth in the building

and construction sector for the past fi ve years.

Therefore, adoption of green building strategies

will not only decrease the harmful impact on

environment but will also be economically and

socially benefi cial.

Broad River Asset Management, LLC, an investment

management and advisory fi rm within the empire

state building is leasing a pre-built offi ce suite built

on principles of green building. The 4,000-square-

foot suite was built according to LEED

Platinum standards. Developed

by the U.S. Green Building

Council (USGBC), and

spearheaded by

light from glass-walled offi ces and conference rooms. The

Empire State Building, recently committed an energy-

effi ciency retrofi t program to reduce the building’s energy

consumption by 38 percent.

Green certifi ed homes have outperformed non-certifi ed

homes in several areas in the northwest part of the US,

according to a study conducted by the Earth Advantage

Institute.

The annual study found out that those existing homes

which had a sustainable certifi cation were

bought at 30 percent more than homes

without the certifi cation. These

fi gures were provided by

the Portland Regional

founding chairman Robert K.

Watson, LEED is intended to provide

building owners and construction companies

a concise framework for identifying and

implementing practical and measurable green

building design, construction and maintenance

solutions.

The offi ce complex features appliances with

energy star ratings, tenant-controlled HVAC,

and high-end fi nishes made up of sustainable

materials. They are designed to bring in natural

Multiple Listing Servicebased

on the sales of existing homes

between May 1, 2010 and April 30, 2011

in Multnomah, Columbia, Clackamas and Washington

Counties in Oregon and Clark County in Washington. Newly

constructed homes built to sustainable certifi cations sold

for 8 percent more than new non-certifi ed homes in the

same localities, as found in the study. The Earth Advantage

Institute has defi ned a “certifi ed home” as a home that has

received an Earth Advantage New Homes, Energy Staror

LEED for Homes designation. The certifi cation could also

include a combination of these designations.

The early rays of the sun pierce through

the dark blue blanket of the night

before exploding into a myriad of colours through

tall pine trees. A bird hops about chirping a lovely

tune before it takes fl ight. A cool morning breeze

wafts in the fragrance of dew-kissed fl owers

which bow before the sun, welcoming its glory

and warmth. A group of students with laptops

clutched to their chests pause for a moment to

take in the sensation as they retire to their beds.

Its 4 am and time to get a few winks before the

adventure starts again the next day.

Classes here are of a diff erent equation, with

suggestions, analysis, and discussions fl ying

in from all directions. Harvard case studies are

prodded, poked and ripped apart to viewpoints,

arguments and counter-arguments that are

added with a dash of spice and a whole load of

passion, and shot at faculty who bravely tackle

this assault and guide it to a fruitful end. Guest

lectures add practical industry perspective to

theory. Concepts are not taught here but learnt;

peer learning is an important aspect owing to the

diverse backgrounds of students.

Classes give way to a horde of activities in

the evening. The recreation room stages a

heavily fought game of table tennis while

badminton players slam the shuttlecock about

in the background. Some are busy with b-school

competitions trying to woo judges with their ideas

and presentations. Club and committee members

get together to work on their magazines, live

projects and other initiatives that make a positive

diff erence to campus life while some manage to get

their much needed evening siesta. Study groups

get together for assignments, case submissions or

projects. A cup of coff ee in the Night Canteen tops

it all. Banter and chit-chat quickly give way to the

wee hours of the morning.

The rains add a diff erent dimension to the

campus - the grass becomes a lush green, the

lighting adjusts itself to a more relaxed setting,

the raindrops play a symphony outside followed

by claps of thunder; a hot cuppa and an old classic playing

softly in the background sets the mood.

Term examinations combined with a biting cold winter are

a deadly combination. Suppressing the compelling urge

to sleep, students trudge on trying to win a losing battle

over heavy eyelids. Concepts are passed back and forth,

ever fretting over unbalanced balance sheets or trying to

understand various business matrices and inventing a few

ingenious ones along the way.

The much awaited weekends see a truckload of students

cramming into a puny Maruthi-800 as the poor cab driver

looks on open-mouthed. Police Bazaar aka PB, the centre of

the town, is suddenly fi lled with familiar faces, while entry

into any restaurant invariably elicits a ‘Hi’ from someone

we know. Piping hot food and gossip gives a sense of

satisfaction like nothing else can, and even the poorest of

jokes are laughed at with gusto.

Despite the academic rigor, we fi nd time for other activities.

Cricket tournaments are arranged with managers bidding

for the best players that virtual money can buy a la IPL

style. Tensions run high, bats are out and players are ready

for battle. Umpires are brought into the fi ring line for any

controversial decisions. Scorecards are distributed and

permutations made to get a team through the league

stages.

Numerous waterfall trips and treks add colour to the

otherwise busy calendar. The travel is as much fun as the

trip itself - intermittent stops for the unplanned picture,

the incessant leg-pulling in the van and the loud blaring

stereo music adds to the overall charm of it. Not all trips are

planned however, those early morning walks followed by

hot tea and breakfast at the local chai wallas or the fun treks

to the hill at the back after a long night out are memorable

indeed.

During the two years, we may have our fi ghts and

disappointments as well as experience friendship, bonding,

support and happiness, none of which anybody here would

trade for anything else in the world. It is experiences like

these that give shape to our short stint here at IIM Shillong.

When we leave the gates forever as alumni, we leave a

part of us behind, but not before a part of this institute has

ingrained itself into our hearts forever.

A Sneak Peek into

Campus Life Siddharth Jaidev

We should have been together. If not for

our selfi sh motives, if not for the simple

reason that we were in love, perhaps just to

demonstrate what a relationship should be like. In

a way, it felt like massive injustice to the universe

in general that we couldn’t be together. Like we

had stamped our dirty boots on our intertwined

destinies, hurled expletives at each other, walked

off in a huff and shut the door on life.

Like the epilogue had rushed to meet the prologue

of our story.

We were meant to be. It was there in our

conversations, in our chemistry, in the way one

moulded to fi t the other, whatever form the other

took, and we could still be who we really were,

never feeling the need for pretence. He found

some pride in his mysteriousness, but we both

knew the masquerade had been called off in an

unnoticed, involuntary way. I found some security

in my secrecy but that too had given way to an

openness I hadn’t known I was capable of. The

lack of a facade and mutual vulnerability had led

to a strange sense of trust, a soft sure comfort

between us.

We fought too often. We fought too much, and

most times without a reason. The making up was

worth every bit of the fi ght.

We loved too often. We loved too much, and most

times without a reason. Loving each other was the

most eff ortless thing we had ever done. It was the keeping

away that took way too much eff ort and drained us.

I had no idealistic image of love and knew that it could

hurt. But not the love we shared. The love we had was too

innocent, too white, too beautifully delicate, and as pure as

it was unintended. Our love had given us the best times we

had ever had; it had given us access to the deepest crevices

in our hearts, given us genuine smiles, lots of laughter, and

a comforting sense of security.

It was the doing away with it that caused all the pain. It felt

like the brutal murder of something so alive, innocent and

pure. Perhaps our love was a cancerous limb and it had to

be cut off , however painful the process. Perhaps we were

walking on a bridge, the other end of which was set on fi re

and we had no choice but to return.

What could I say? I had given up long ago, though I still

put up the pretence of bright hope once in a while. It was

eventually going to fall in place, I believed. Not us, together,

but him and his life, and me and mine. Somehow everything

would fi t in like pieces of a puzzle and I’d probably have a

moment of realization, understand why things happened

the way they did, and move on. One day, I’d be able to smile

at it all.

Still, I knew, I was never going to forget the way he had

touched my heart. That little space was always going to

belong to him, whether he chose to stay or not, and even

when everything was settled, even when the puzzle was

solved, I’d still have a slight lingering feeling of having

missed out on something.

EpiloguePayal Bangar

ogether. If not for been together If not for

most eff ortlemost effortles

away that too

The Centre for Development of North Eastern Region (CEDNER) of the Indian

Institute of Management, Shillong has been constituted right from the inception of the Institute under the name of Accelerated Learning Centre (ALC). IIM Shillong, besides training the youth of the country to be future corporate managers, has also geared its resources to work for the involvement of not only the local community, but also for the development of the region by contributing to the capacity-building of the local youth of the north eastern states. This is achieved with the help of the expertise of the Institute. It is with this aim in mind that it was considered pertinent that a Centre under the name of CEDNER starts functioning specifi cally for the benefi t of the local youth and the development of the region in general.

CEDNER has therefore been organizing short-term training programs and courses as well as various types of six months progams for training the youth of the region. The Centre has also been undertaking projects and consultancy work for the development of the region. CEDNER has therefore been off ering a unique opportunity to young entrepreneurs, businessmen and women and also the youth of this region with potential talent who otherwise would have limited opportunities to gain exposure in managerial skill development. The purpose of off ering such training courses by CEDNER is to help the local youth develop business ideas and projects which can not only be sustainable but be relevant to the needs of the society in which they live.

Under CEDNER, faculty members of the Institute use their expertise to train the youth and also undertake consultancy work often at subsidized rates or sometimes even free of cost. They help the youth develop a deep insight and a theoretical and practical understanding of the complex set of interrelated economic, social and environmental issues by bringing out the indigenous talent, skills and capabilities in them. The faculty members of the Institute with its focal emphasis on sustainable business attempt to fulfi ll their social responsibilities to the local community through an innovative pedagogy of lectures, case studies, e-books and e-journals. The Courses for these programs are specially designed to train the local youth so that they are able to avail the opportunities of the emerging business both for the development of the self as well as the society and economy in tune with the emerging market scenario.

CEDNER has so far organized about twenty training programs and courses and completed at least another fi fteen projects and consultancy works specifi cally for the region. About 500 persons from the region have benefi tted from training programs organized by the Centre so far. Some of the programs organized are on Small Business Management, Entrepreneurs and Promoting of Entrepreneurship, Increasing Media Profi tability, Improving Health Care Services, Sports Management programmes, Leadership Development programmes for NGOs, Management Refresher Courses, Health Management Programs, Improving Traffi c Management System in Shillong, Courses on Family Business and Eff ective Judicial Management. All these courses range from one to two weeks to six months.

Centre for Development of North Eastern RegionIndian Institute of Management, ShillongDr. Keya Sengupta

Recently the Centre has tied up with the Ministry of DONER, Government of India and is currently running a one year programme on ‘Developing Managerial Skills for Entrepreneurs’ in which a total of 60 candidates will be trained. The Centre therefore aims to take up projects and training programs by tying up with various government and corporate sectors and also independently so that the development of the human resource as well as the region as a whole may be expedited.

Though initially little was known about the Centre and its initiatives, however the dedicated work of the team of IIM Shillong has now been recognized and known both within the region as well as outside the region. CEDNER is now been approached by various government and non-government organizations to conduct various kinds of programs and partake in consultancy work for the region.

Bittersweet SymphonySowmya R.

The poem reflects the anguish of a woman who has lost her lover in a tragic accident, and is symbolic of her frame of mind and her gradual acceptance of the loss. Realization dawns on her that true love knows no boundaries, not even death. Her lover is no more. Every new day brings both bitter memories of that fateful night as well as sweet reminisces of cherished moments…

Life goes on as a bittersweet symphony.

The night was dark, no moon, no starThunder raged on like a soldier in war

A streak of lightning stared me in the eyeI stared back, my eyes too dry to cry

The pain was fresh, the wound still rawA fate so cruel, that never before I saw

My hands reached out and shook in fearThe wind roared ‘he is no more here!’

Why did you leave my side so soon?Had not you promised to bring me the moon?

Those kind eyes I longed to see, those strong arms that cared If only I was taken and you had been spared!

It was a crash so deafeningYet I did not hear a thing

Except the silent tears you shedEven as you lay cold and dead.

I lay on my bed, lost in a tranceMy spirits rose though just a nuance

My lips curved into a tremulous smileKnowing you are watching me all the while

Dew drops on roses so freshSoothed me like a mother’s caressThe golden rays seeped gently inAs though to cleanse many a sin

Love knows no body, no form or timeJust two souls, yours and mine

Like the night will disappear this agonyEvery new day, a bittersweet symphony…

India from the eyes of Time

Ananya Roy

Standing by the stream

Looking at the sky

Ah! I see a golden bird fl ying high

I look around-

It’s the envy of every eye

I see the eyes going green

Blinded by the bird’s sheen

I look on… green turns to greed

I see the eyes bleed with greed

Greed for the gold on the bird

Greed that curdled my blood

Blinded by the consequences, they have no clue

They prove my worst fears true

They target the bird with stones

The pain pierces through its skin and bones

Shrieking with pain, it comes down

On the faces, I see no hint of a frown

They pounce at it from every side

As a bystander, I just looked and cried

I’m Time, I’m forbidden to interfere

I can just shed tear after tear

I look on… I see them leave one by one

I realize they are fi nally done

The bird lay motionless, dead

Hither lay its feather, thither lay its head

Not a speck of gold to be seen

No sign at all of any sheen

They had done their job well

It was once a golden bird, none could tell

I look on…

Only the gold outside is gone

After the dark night, I see a hint of dawn

The bird struggles and gets back up

Though not glittering anymore, it looks grown-up

It has learnt its lesson the hard way

But its world has lost the gold, is all grey

Its wings may now be misshapen

But don’t you be mistaken

What you see is a phoenix

And it’s me - Time who predicts

Look on longer and you will see

The bird is going to get back its gold and glee…

A narration of the hardships that India has faced as seen from the eyes of Time. Time watched as India was at the peak of her prosperity and also stood helpless while she was gnawed upon under British colonialism. Time recognizes India’s inner strength and believes that India, once a golden bird, will one day be able to regain her lost sheen.

A description of a girl who falls back on her mother for support amidst failures and testing times

When things don’t seem to work alright,

All faces seem to turn away,

It’s then you cross over my mind,

My guiding Angel to show me the way.

A battle was pitched,

With confi dence oozing I jumped,

For miles I walked with no one along,

To chase a dream quite forlorn.

“Let no fear pass you by”, you said to me,

“Not the end, it’s the length that you should long”.

With passion and desperation amix I stand,

Venturing again into that obscure land.

You ask to get up on my feet, though hard,

Fail and fall but walk another yard.

“Thump your back, you are the best”, you say,

“Bleeding knees shall one day pay”.

A smile we share, a dream redreamt,

Fire rekindled for a brand new attempt.

Giving up is not what I’m meant for,

For victory I choose to be right here,

No fear of falling now I have

Cause with all of your heart, you’ll be-right there.

I’ll try againVaruna Khattri

��

The fi rst of its kind - a golf tournament for b-schools

in India - the IIM Shillong Golf Cup was organized

in April 2009 for the fi rst time. With a unique concept

of bringing corporate leaders and budding managers

together, the tournament spans across two days and is

held in the prestigious golf course of Shillong Golf Club.

The fi rst day witnesses the action between b-schools and

the second day showcases the most anticipated showdown

between b-schools and corporate houses.

The third season of the IIM Shillong Golf Cup which was

held on the 6th and 7th November, 2010 saw participation

of more than 150 golfers, including corporates and

B-schools from India and abroad. The star attraction of the

event was Mr. Mir Ranjan Negi, former Indian hockey team

goalkeeper, whose life also inspired the movie ‘Chak De

India’. The tournament was teed off by the Chief Secretary,

Government of Meghalaya, W. M. S. Pariat and the Director,

IIM Shillong, Prof. Ashoke K Dutta.

Season 3 of the IIM Shillong Golf Cup went global

with the participation of German delegates from

Hamburg Media School. The IIM Shillong Golf Cup

also includes a Golf Certifi cation Workshop - the

‘Green Jacket’ that promotes the sport amongst

budding managers at b-schools across India.

Students from IIM Ahmedabad, FMS, MDI, IIFT,

NITIE and Delhi School of Economics participated

in the Green Jacket Workshop as well as the

tournament that was conducted simultaneously.

The event concluded with the Prize Distribution

Ceremony. Shri Madan B. Lokur, the Chief Justice,

Guwahati High Court was the Honourable Chief

Guest. The ‘IIM Shillong Golf Cup Trophy’ was won

by Rommel Majumdar from Brihans Maharashtra

College of Commerce and Mr. Vicky Lyndoh won

the award for the ‘Best Golfer’ in the 0-12 handicap

category. Ms. Suzie Syiem won the ‘Best Lady

Golfer’ award. The ‘Best Budding Golfer’ and the

‘Green Jacket’ award, sponsored by Royal Group of

Institutions, Guwahati was awarded to Narendra

Jha, FMS among the workshop participants. The

prize distribution ceremony was followed by a

grand luncheon at the IIM Shillong Campus.

The two-day tournament saw as much enthusiasm

from the organizers as from the golfers, with

the students of IIM Shillong putting in weeks of

planning and coordination giving them a hands-

on experience of what lies in store as future

corporate managers.

IIM Shillong Golf Cup

IIM Shillong inaugurated the fi rst Annual International

Conference on ‘Sustainability: Management & Beyond’

in December 2010. The inauguration ceremony saw the

participation of eminent personalities which included

the Chief Guest Padma Vibhushan Shri. Sunderlal

Bahuguna, a noted environmentalist and Chipko

Movement leader, and Dr. Paul Srivastava, Director,

David O’ Brien Centre for Sustainable Enterprise,

Concordia University. The conference witnessed

the participation of intellectuals, social activists and

thought leaders from various parts of the world.

A sincere eff ort towards the theme of sustainability was

initiated by providing jute bags to all the participants

of the conference. Sus-Con served as a single platform

for thinkers, academics, business leaders, government

offi cials, civil society groups and grass root activists

to initiate an on-going dialogue on sustainability. It

marked the beginning of a revolutionary approach

from IIM Shillong to create space for exploration of

alternative sources of learning beyond structured

curriculum. Leveraging the unique assets and expertise

of IIM Shillong as a hub of sustainability in business,

the conference promoted a balanced distribution of

emphasis on global perspectives, national priorities

and regional issues for harmonious development

of the individual, the organization and the planet at

large. In the idyllic setting of Shillong, the mood and

spirit of this starting chapter of Sus-Con is that of a

retreat for self-renewal and collective revitalization.

Much emphasis was also laid on incorporating the

sustainability theme in management education.

SusCon: IIM Shillong’s International Sustainability Conference

Alumni Committee

With the second batch of IIM-S having graduated and

joined the corporate world, the Alumni Committee is

playing the essential role of fostering and furthering

the umbilical-cord connecting the institute with its

distinguished alumni.

To keep students abreast with dynamic industry,

Alumni Committee has been providing industry

interaction by organising knowledge-building

lecture sessions with the assistance of its alumni.

Alumni Committee has developed a website that will

serve as a comprehensive, one-stop alumni portal

Campus Activities:

STUDENT COMMITTEES

and form a permanent bridge between the institute

and the alumni. The committee is also in the process

of getting itself registered as a non-profi t association

by the government to enhance its functioning.

Cultural Committee

The Cultural Committee of IIM Shillong is involved

in providing much needed small breaks in the form

of get-togethers, bonfi res and Karaoke nights. It

strives to unleash the talent of the batch through

its diff erent events. Over the past one year, it has

organized SPICMACAY concerts, festivals like Diwali,

Holi and a Contemporary & Salsa Dance Workshop. It

also arranged for a grand farewell for the graduating

batch and a warm welcome to the incoming batch.

The committee also promotes North East talent

by inviting local bands of the North East and by

organising folk dances of the seven sister states to

promote the local culture.

Hostel Committee

The Hostel Committee of IIM Shillong is a student-

driven body with the aim to provide an amicable

residential facility to all participants of IIM-S so as

to facilitate all-round development. It is an interface

between the administration and the students, and

handles major facilities like mess, hostels, recreation

facilities, laundry services and night canteen. It also

organizes ‘Rannbhoomi’, an intra-college sports

tournament covering games like table tennis,

badminton and chess. Over the last three years

of its existence, the Hostel Committee has been

instrumental in bringing about signifi cant changes

in the infrastructure including hostels and sports

facilities, a huge turnaround in mess food and

improvement in laundry services.

IT Committee

The IT Cell has been instrumental in positioning IIM

Shillong as one of the most tech-savvy b-schools

in India. It provides key facilities like network

maintenance, video conferencing, classroom,

auditorium and library infrastructure. Over the past

one year, it has brought about major infrastructural

improvements. To support the growing batch strength

every year, the entire wireless network infrastructure

of the campus has been re-laid to provide more access

points and bandwidth. The auditorium has been

equipped with state-of-the-art sound systems and

other accessories. The Placement Portal, inaugurated

in February 2011, has been created to streamline

the placement process. Crucial improvements also

include installing network printer-copier-scanner for

students, introducing Moodle version 2.0, procuring

superior teaching apparatus, and pushing for greater

adoption of ERP facilities.

Placement Committee

The Placement Committee is a dedicated body

which strives to enhance industry interaction and

works closely with all stakeholders to provide a

perfect launch-pad for participants of IIM Shillong. It

builds long lasting corporate-institute relationships,

acts as an interface between IIM Shillong and

other organisations for various corporate activities

including summer internships and fi nal placements,

and provides a platform for students and companies

to benefi t mutually.

Public Relations Cell

The Public Relations Committee of IIM Shillong is

responsible for establishing a proper communication

channel between the industry, the media and

IIM Shillong. It serves as point of contact for all

communications to and from other b-schools. It is

also responsible for dissemination of information

from other b-schools within IIM Shillong student and

staff . The PR committee has also taken up a unique

initiative, Synapse, a mentorship program for the

incoming batch of the institute. Through this forum,

it not only guides new participants through the

admission process but also addresses their individual

queries on various topics.

Student Council

The Student Council is the apex student body

responsible for overseeing all student-related

activities in IIM Shillong. It is the representative body

of students which provides a liaison between the

participants and the administration. All recognized

committees and clubs operating in the institute

are co-ordinated by the Student Council. It is also

responsible for addressing and resolving student

grievances and framing processes and activities that

will have a long term impact on reputation of the

institute.

Also, the Student Council heads the organizing team

of the institute’s fl agship event, IIM Shillong Golf Cup

as well as co-ordinates with the faculty in organising

the ‘International Sustainability Conference, Sus-Con’.

Symphony

Team Symphony is responsible for publishing the

annual magazine of IIM Shillong. The magazine is

the collective eff ort of the student community of IIM

Shillong towards addressing the most pressing issues

in the world of business, and refl ects the passion

and zeal with which budding managers wish to

use their learning and experiences towards making

a diff erence. In addition, the magazine provides a

glimpse into the lives and interests of the diverse and

vibrant student community of IIM Shillong.

Campus Activities:

Student Clubs

Consultancy Club

The Consultancy Club of IIM Shillong known as

‘Conquest’ is a student driven body which seeks to

equip students in pursuit of careers in management

consulting and strategic management with the

knowledge, expertise and tools that would be

necessary to succeed in careers of consultancy

domain. The club handles all aspects from live

projects to online newsletters and active student

participation across all b-schools

Conquest aims to provide its members consulting

bITeSys, the Systems Club

bITeSys provides a platform for seamless

dissemination of knowledge between corporates

and students by keeping them abreast with

industry developments in the fi eld of Technology

& Systems Management and by undertaking live

projects.

Currently, bITeSys is undertaking two projects

in collaboration with the National Informatics

Centre, one of which is on ‘Process mapping of

Integrated Child Development Services Scheme

of the Government of Meghalaya’’ and the other

on ‘Development of portal of State Transport

Department for the Government of Meghalaya’.

Recently it collaborated with the Systems club of

IIM A, B, C, K, L & I to publish the inaugural edition

of Click’d, the Pan IIM Systems magazine which

featured the interview of Mr. Subroto Bagchi, Co-

founder and Chief Gardener of Mindtree as its

cover story.

bITeSys launched its own website (https://iims-

bitesys.in) in early 2011, featuring technology-

related articles, ‘bITeSys Speaks’ - a monthly

update on industry happenings and a section

on ‘internship experiences’ that focuses on

communicating the experiences of participants

who interned in the fi eld of IT and technology.

Recently, bITeSys also launched its inaugural

online event ‘i-converse’, enabling participants

to discuss the current developments in the

technological industry.

usHR Club

usHR, the HR club of IIM Shillong stands for Union

of Students for Human Resources. The main

objective of the club is to establish IIM Shillong

as a premier institution for Human Resource

Management. Through our activities, we aim to

foster interest of budding leaders in managing

people and organisations and bridge the gap

between corporate and academia in terms of the

recent developments occurring in this domain.

One of the forums through which the club aims

to fulfi l the above objectives is usHR’s offi cial blog

(www.iims-ushr.in) where it has sections like ‘Tete-

e-Tete’, displaying the interviews with various

personalities from the fi eld of HR, ‘HR News’, and

‘Events’, citing HR conferences, workshops, etc.

taking place across the world.

usHR has also undertaken few live projects to

understand the real life problems of industries

related to their human capital and HR practices.

Some of these have been done in collaboration

with Department of Forests, Assam, IOCL,

Guwahati International Hospital, Guwahati.

usHR also publishes its own magazine, “TogetHR”

which is an assimilation of discussions on recent

trends in the fi eld of Human Resources and

articles which are submitted by both B-School

students and corporates. The magazine also

boasts of a section called “Connoisseur Speaks!”

where common queries faced at workplaces are

addressed. It also incorporates interviews with

eminent personalities from this domain to brief

everyone on the best practices of the industry.

ECoBiZ Club

Serve, Preserve, Prosper

ECoBiZ Club is the socio-ecological club of IIM

Shillong and was incepted in the year 2010

through the initiatives of some members of the

PGP10 batch. The main objective of the club is

to promote businesses through green and safe

technologies and to create awareness about

environmental issues.

It successfully organized the fi rst Blood Donation

Camp at IIM Shillong. It placed eco-friendly

bamboo bins in the campus to promote cleanliness

and sustainability.

Recently the club launched ‘Chetna’, in

collaboration with SBI, Laitumkhrah (Shillong), an

awareness campaign that aims to highlight social

and ecological issues. The initiatives that the club

has taken up include ‘save electricity’, ‘preserve

water’, and ‘stop food wastage’. ECoBiZ club also

conducted a book donation drive where students

of IIM-S were encouraged to donate books to be

used as braille material. The club also collected

clothes from students and donated them to Mercy

Home for the aged.

Additionally, ECoBiZ club carried out a fi eld study

on the operations of Witchell Diary, Shillong to

consult them on sustainable practices. In the

future, ECoBiZ plans to work on paper recycling

in Shillong and other community development

programmes in coordination with NGOs.

i-Cube (E-cell of IIM Shillong)

The role of management education is to produce

leaders who can create sustainable opportunities

for every segment of society. This is the philosophy

of i-Cube (E-cell of IIM Shillong). We aim to hone

our entrepreneurial skills by working at the

grassroots level and in the process aid the

development of MSMEs and NGOs, particularly in

the north-east region.

To this eff ect, we have tied up with Bethany

Society; an NGO based out of Shillong to help

them explore the market potential of their niche

products such as IMO and bamboo charcoal. We

have also tied up with the National Innovation

Foundation, established a Student Chapter for

Augmented Innovation (SCAI) at Shillong and

are working with many innovators in successfully

commercializing their innovations. We are also

in the process of collaborating with venture

capitalists across India and fi nancial organizations

such as NEDFI to support a venture initiation

through i-Cube which is our long term goal.

Not restricting our focus to entrepreneurship,

we facilitate students in getting a feel of

‘Intrapreneurship’ by taking up live consulting

projects. We have conducted a series of lectures

from successful entrepreneurs, venture capitalists

and people from training institutes working at

promoting entrepreneurship.

We also provide guidance to students who are

trying to shape their business ideas into viable

business plans and have had reasonable success.

Members of the e-cell have been selected as

national fi nalists at various entrepreneurial events

across India. In a nutshell, we at i-Cube create an

environment where students can think, feel and

act like entrepreneurs and prepare themselves for

their real world journey into entrepreneurship.

Finance Club

Finance Club of IIM Shillong is a student driven

initiative that focuses on creating learning

opportunities for students outside the classroom

and maintaining industry connectivity. The chief

activity of the club is to bring out Niveshak, a one of

its kind Finance Magazine, involving participation

from students of premier b-schools of India.

It features articles and interviews of eminent

personalities from both corporate and academia

and is circulated widely in b-schools across India.

Some of the interviews featured were:

projects and challenges that will enable them to

assimilate classroom learning to solve real-life

industry problems and prepares them to tackle

future assignments confi dently and competitively.

The club’s e-zine ‘Conquest Online’ is a popular

platform for b-school students to learn and enrich

their knowledge by reading the latest trends

in various industries, contemporary issues in

strategic management and featured interviews

from industry experts like Mr Jamshyd Godrej

(Chairman of the Board of Godrej & Boyce Mfg.

Co. Ltd), Mr Nick Morgan (Founder Public Words)

and Shri Rathin Datta (Ex-chairman and CEO,

PricewaterhouseCoopers India Pvt. Ltd). Conquest

conducts strategy games, case study competitions,

consultancy quizzes and organizes forums and

events which act as a platform for club members

to interact and network with consultants and also

acts as facilitators for mutual knowledge sharing.

• Mr. Sunil Mitra - Finance Secretary, Ministry of

Finance

• Mr. Utkarsh Majmudar - Vice-President, Global

Research, HSBC Bangalore

• Dr. Jean Imbs – Professor, Paris School of

Economics

• Mr. B.R. Tripathy - Chief Commissioner, Central

Excise & Service Tax Department

• Mr Kumar Sanjay Krishna - Jt. Secretary, Dept. of

Economic Aff airs, Ministry Of Finance

Its other activities include corporate talks and live

projects. The major achievements of the Finance

Club in the last one year have been organizing the

• The national level Sector Report Writing

Competition to mark its third anniversary

• Online stock trading games for students of

IIM Shillong: KheloStocks in collaboration

with Stockezy Pvt. Ltd and Trade Mogul in

collaboration with Futures First: Futures Trading

Marketing Club

The Marketing Club comprises marketing

enthusiasts who strive to learn about the subject

by sharing knowledge, conducting events and

interacting with industry experts. Markathon, the

monthly marketing magazine of the club, has a

subscriber base touching 4000 premier B-Schools

and corporates.

Markathon has undertaken several projects like a

survey for the Commonwealth Games for Drexel

University, a Trans Graph Consulting project to

assess market scope and opportunity for Trans Risk

software, an Abhi Foundation (Mumbai) project to

present a marketing plan and pitch and a State

Government of Tripura project for a virtual state

university. Marketing Club also initiated a feature

called ‘Markeopedia’ to share marketing terms

through Google SMS Channels, Facebook and

Twitter. The club also conducts weekly lectures on

varied Marketing topics and also conducted an

Intra College Design Competition called Tulika.

Markathon completed 2 years in July 2011 and

launched a special Anniversary Edition, featuring

interviews from leading marketing minds like

David Aaker (Brand Consultant), Al Ries (Father

of the “Positioning” concept), Piyush Mathur (MD,

India, The Nielsen Company), Arvind Singhal

(Founder &Chairman, Technopak Advisors Pvt Ltd.)

and Santosh Desai (MD & CEO, Future Brands) and

was launched by Mr. Sanjib Kumar Dey, Chairman,

Hammer Communications, earlier the President of

Saatchi & Saatchi, India.

OP-ERA

The Operations Club of IIM Shillong, known as

‘Op-era’, is the forum for all ‘operations’ enthusiasts

to come together and share and enhance their

knowledge. It functions on the goals of ‘Develop

Passion & Skill’, ‘Create Visibility’, ‘Seek hands-on

opportunities’.

‘Op-Era’ participated in the launch of the ‘PAN-

IIM’ Operations Magazine, a collective eff ort of

Operations enthusiasts across IIMs. The club

has initiated ‘Operation Fortnightly’ under

which it screens videos that focus on the role of

operational expertise in the execution of any

project. It organises simulation games that help to

enhance the ability to apply operations concept in

a practical scenario.

‘Know Your Company (KYC)’ is another initiative

taken up by Op-Era to increase the awareness level

of participants about the companies in diff erent

sectors. The KYC contains information like origin

details, presence, product portfolio, subsidiaries,

revenue & profi t, SWOT analysis, operational

strategy and recent news of a company.

Apart from internal activities, the club has

undertaken consulting projects like capacity

utilization for a major Agro Food Processing

company, and formulation of revival strategy

for one of the largest cement manufacturing

companies in Meghalaya in coordination with the

Meghalaya Industrial Development Corporation.

Quiz and Debating Club

“Knowledge is Power and only the powerful rule

the world”

The Quiz and Debating Club intends to empower

future managers with knowledge and create

curiosity about information in various fi elds and

aspects of life. We aim to bring to light something

new and interesting every time and provide facts

related to general knowledge and information

regarding current aff airs of national and

international importance. We conduct activities

like ‘Question A Day’, ‘Sunday Quizzes’ and debate

competitions and hence provide a platform for

students to interact and share their knowledge

and opinions.

IIM Shillong has always maintained

a collaborative and amicable

relationship with the corporates.

Several corporates also have shown

interest to interact with the students

personally during their visit to campus

or via video conferencing. Following is

a list of the corporates who have visited

the campus or have interacted with

students through video conferencing

in the previous months:

Name Designation Company

Manasij Das Regional Representative Asia (Commercial) PepsiCo Worldwide Flavour

I. N. Chatterjee Executive Director Jindal Drilling Industries Ltd

Kishore Talukdar Regional Head- North Barclays Bank

Arpit Dhariwal Online Marketing Manager Rediff .com

Vijay Mahajan Chairman Basix Microfi nance

R. Senguttuvan SBU Chief Executive ITC

Mohit Kakkar Assistant Manager, Talent Delivery Deloitte

Venkat Narayan Managing Director - Corporate Finance Lazard India

Mr Vivek Kudva Managing Director Franklin Templeton Group

Karan Sharma Assistant Manager, Talent Development Deloitte

Rahul Dutta Founder Trimensions

JV Ramamurthy President & COO HCL Infosystems

Dr K Radhakrishnan Chairman ISRO, Space Commission

Bandi Ram Prasad President FT Knowledge Management

Mr. Sameer Shukla Head- Retail Measurement Services,

North and East India The Nielsen Company

Nirmal Chandra Jha Chairman Coal India Ltd (CIL)

Corporate Visits

The band ‘Aaveg’ (literal meaning: Force)

was formed in September, 2010 to

represent IIM Shillong at Zee Aspire Music to

Money Challenge. The team reached the fi nal of

this event which had bands participating from all

major B-Schools of the country. The following is a

narration of my experiences over the course of the

competition as a part of this band.

Zee Aspire was a reality show/competition where

bands from various B-Schools across the country

participated. It was a two pronged competition

where the participants were to be judged based

on both their musical as well as on quizzing

abilities. Numerous bands representing almost all

major B-Schools in India competed in this event. It

was decided that IIM Shillong would participate in

this event and the band Aaveg was formed.

The band was initially formed by the seniors with

the faculty mentor Prof. D. K. Agrawal and I was

drafted later on. The initial round was just weeks

away and was scheduled to be held at Delhi

with the venue for the fi nal being Shillong. The

competition was bound to be tough, but with

Rukma Jayram and Sourjyo Das, two brilliant

musicians, we knew that we were in with a chance.

Saumya Chaturvedi was the band leader and the

lead vocalist while Anurag Joshi and Nagendra

Singh supported on the vocals and were our

quizzers.

Preparations started right from procuring the

necessary instruments to deciding which songs

would be suitable to perform. After a lot of

deliberations, we decided on two songs namely

“Bawara Mann Dekhne Chala Ek Sapna” from

Hazaaron Khwahishien Aisi and “Ghanan Ghanan”

from Lagan. After umpteen rehearsals and lot

of preparation, we fi nally got the songs right. (I

remember Saumya making me repeat a portion

Aaveginnumerable times as I kept committing a mistake).Finally,

after many nights of rehearsals, we had a good grasp of

the songs and headed to Delhi for the fi rst round.

Once in Delhi, we had our dose of the inevitable last minute

glitch as the adaptor of the keyboard kept breaking down

intermittently (the engineers in us obviously tried to fi x it

ourselves but in the end lost the battle and brought a new

one). The show was hosted by Omi Vaidya (Chatur from 3

idiots fame) and there were nine other teams slotted with

us in the fi rst round. Since most of us were facing a camera

for the fi rst time, we were naturally nervous but the round

went well and, in the end, we were quiet confi dent that

we could make it to the fi nals in Shillong.

Turned out that our gut feeling was correct and we were

selected for the fi nals that were scheduled to be held in

Shillong. For the fi nals, we had to prepare our own original

composition. Anurag wrote the lyrics for the song titled

‘Yaadein’ which went as “Joh Khoya Hua woh Pal Dhal

Gaya... Aakhon mein halki nahi bhar gaya…” The song was

about various memories which a person collects and how

he should deal with them. The music was given by Rukma

and Sourjyo and the fi rst composition of Band Aaveg was

born. In addition to this, the other song which we decided

to play was the Sufi song “Dama Dam Mast Kalandar”.

Our College played host to all the fi nalist teams and also

the crew of Zee Aspire. One day before the event, the

Zee team shot many scenes with all the bands inside the

campus for their program. The event was supposed to be

held the next day starting in the afternoon followed by

a performance by famous Indian Rock band Parikrama.

Unfortunately, it rained throughout the morning and

the initial plans of an open air performance had to be

cancelled. After a lot of discussions, it was decided to move

the shoot indoors to Rykinjay resort at Bara Pani Lake. The

actual performance went well, but what gladdened us the

most was that our original composition was appreciated

by all. This was followed by the Quiz and Anurag and

Nagendra aced it. They got almost all the answers correct

and we scored double the points the next best team had.

Sadly, the organizers decided to scrap the fi nal as they

were not happy with the small scale makeshift indoor

shoot and hence decided to refi lm the entire fi nal round

at Delhi. However, due to some unforeseen circumstances

we could not attend that event. Nevertheless, the time we

had as this band was memorable and would be etched in

our minds for a long time.

IIM Shillong’s Music Band

The students from IIM Shillong have carved

a niche for themselves by making their

presence felt in various B-school festivals, national and

international competitions organized by prominent

institutions across the country.

The students from IIM Shillong have been consistently

excelling in a wide range of national and international

competitions. However, the icing on the cake surely has

to be the success in the Global Investment Research

Challenge conducted by the prestigious CFA institute.

The Global IRC aims to provide university students with

an unparalleled experience of working with investment

industry professionals and publicly traded companies

to produce an equity research report, as well as to

promote the best practices in research among the next

generation of analysts.

The team from IIM Shillong (team members- Sakshi

Sharma, Veena Sankaran, Sumit Bagla, Sumita Kedia

and Hitesh Gulati) emerged as winners in two rounds

- East India fi nals and India fi nals, by beating many

prominent institutions from across the country.

Going further, the team also represented India in Bali,

Indonesia for the Asia-Pacifi c round where they stood

sixth.

Some of the recent noteworthy achievements that

have made us proud include:

• Finalist in the Asian round of the Global Social Venture

competition organized by ISB Hyderabad

• Winners of a case study competition organized by

Deloitte consulting based on a UK based insurance

company

• Finished second in a case Study Competition

organized by Nomura based on merger & acquisitions

recommendations

• National Finalists in a case study competition

organized by Google where they were supposed to

strategize Google’s strategy 50 years hence

• Winners of Sparsh, an event for mobilizing

management aptitude to help non-government

organizations, held in IIM Bangalore

• Secured second place in the War of wits event -

the fl agship HR Contest of XLRI’s annual festival

‘Ensemble’

IIM Shillong follows a unique tradition of helping

people from rural areas by carrying out consultancy

projects to improve their business and also imparts

desired managerial skills through various customised

programmes. Some of the signifi cant contributions

include:

• Organising a series of two-day Management

Development Programmes (MDP) and Faculty

Development Programmes (FDP) at the GRD

Institute of Management, Coimbatore

• The Ministry of Development North Eastern Region

has joined hands with IIM-Shillong for providing

training on managerial skills to young entrepreneurs

in the region

• IIM Shillong helped Assam Hospitals by carrying

out a comprehensive study of the HR setup and

provided recommendations in relation to the set-up

at healthcare institutes elsewhere in the country

Achievements

The five member GIRC team representing IIM Shillong at Bali, Indonesia for Asia-Pacific FinalsFrom L to R :Sumit Kedia, Sumit Bagla, Sakshi Sharma, Veena Sankaran, Hitesh Gulati

November 2010 saw the third season of Rannbhoomi,

the annual sports festival of IIM Shillong generate

huge enthusiasm from both batches as we engaged

ourselves in playing table tennis, badminton, chess

and carom, both during the day and night of the

month-long event.

Season 3 of the Kopda Cup Cricket Tournament was

organised in early 2011. It was played in a league

format with the junior girls as team owners and the

teams comprising both senior and junior boys.

These two events were probably the biggest that

brought together students from both batches. Live

commentary and humorous incidents were the most

cherished memories from these events.

Sunil Mishra

Shillong itself may have become a city, but the rest of

Meghalaya off ers many unexplored places of natural

beauty. During the rainy season, the beauty of the

place increases manifold, as the abode of the clouds

forms amazing waterfalls, bubbling brooks and

rivulets. Combined with this, the natural root bridges,

temporary bamboo bridges, and thick vegetation

unspoiled by human activities make trekking even

more attractive. During our tenure here, we visited

places such as Rengthiam Falls and Krang Suri Falls,

Syndai Caves-one of the largest caves in India, trekked

on the David Scott trail (also known as the Sacred

Forests by the locals) and Sweet Falls amongst many

others. These visits have provided me with incredible

memories and I hope that even after I graduate, I will

continue to visit Meghalaya to explore beautiful places

and experience the unknown.

Parminder Singh Saluja

For me, campus life at IIM-S is a new world. It feels

like the last one year breezed away like the shortest

period of my life. The many friends I made here have

become an indispensable part of my life. What’s best

is that we’re not restricted to academics. Experiencing

a diversity of cultures and diff erent ways of thinking

has in itself broadened my horizons and changed my

perception for the better. A small batch size is defi nitely

a boon as it facilitates better interaction. Living on

campus and being able to experience this LIFE has

been a wonderful journey. May be some day when I

will look back and think of those memories, I shall miss

all the moments I spent here.

Bhimashish Patil

One of the greatest advantages of being the fi rst

among the 21st Century IIMs is the opportunity to

render corrective steps and recreate processes that

shape premier management education in India. Based

on feedback from the industry that managers churned

out by premier institutes do not excel as team players

as much as they excel as individuals, the learning

pedagogy aims to ingrain team work into the learning

experience. A study group, as we call it, is formed with

as much diversity as possible for the entire stretch of

the course. The ratio of assignments and course work

that are group based versus individual based is 70:30.

Working within such a framework, peer learning has

been one of my biggest take aways. Fellow participants

from various professional and cultural backgrounds

have impacted my learning to new dimensions. The

subtle diff erences between the way I approach a case

and the way in which my study group members and

other class participants approach it facilitates a better

understanding and learning.

Paul Jebanesan Franklin

Life is all about the balancing act between ‘ability’ and

‘choice’ and being able to accept humbly an overruling

destiny. IIM Shillong has taught me to think beyond

everyday operational aspects and instead focus on

strategic aspects that can bring about a larger scale

societal and ecological impact. Over the last one year,

I have started to believe that the three pillars of Ethics,

Knowledge and Passion are the sole drivers which

lead to results in whatever one aspires to be in life. The

sense of a community that emerges from continuous

interactions with peers, alumni and faculty create

experiences and memories which will remain etched

on our minds forever.

Partha Mitra

At IIM Shillong, we believe in converting theory into

practice. The vision is to evolve as a centre of excellence

with innovation and diversity. This is backed by the

fact that students at IIM Shillong come from diverse

backgrounds with past experience ranging from

Engineering, Commerce and Chartered Accountancy

to Arts & Sciences, Law and Management.

In its four years since inception, participants at IIM

Shillong have been known for coming out with

innovative solutions to overcome various hurdles, be

it the Golf Cup to set a platform for B-school-corporate

interaction or the Sustainability Conference to get

the best academia on campus to facilitate healthy

discussions on issues of environmental signifi cance.

Participants at IIM Shillong are nothing less than

Design Thinkers.

Rahul Sehgal

All my apprehensions about the MBA experience at

IIM Shillong were settled at the tete-a-tete, the senior-

junior meet at Chennai. The informal meet followed

by lunch allowed us to interact with our future seniors

and batch mates and get a peek into lives at b-school.

The seniors recounted their experiences, which not

only cleared our misconceptions about MBA life and

academics, but also left us excited about the beautiful

campus and the activities in and out the campus life,

like the parties, the treks and the trips around Shillong.

We were assured that the next two years would be

the experience of a lifetime. The meet ended with us

looking forward to our new life at IIM Shillong.

Dhivya Ravikumar

My stint at IIM Shillong has taught me the art of self-

management and has provided me with the power to

direct myself towards self-evaluation, self-intervention

and self-development. I understand the importance of

the fi ve ways in Zen’s philosophy of achieving greater

latent on my shoulders.

In a place like IIM-Shillong where demands are

huge, the skill of challenging one’s mind is of utmost

importance and each day you have to question the

very essence of work. Respecting your own body is one

of the most important aspects of this hectic life. IIM-

Shillong allowed me to recognize my inner qualities.

Somjeet Behera

Where sleep is a luxury and a new form of recreation

is scarce, we were in for a surprise when the Cultural

Committee organized a ten-day dance workshop on

Salsa conducted by Bollywood professionals. People

formed pairs for the Cuban dance form and there was

no dearth of entertainment even for those who were

too shy to do a couple-dance. There was a 10-day

course on the contemporary dance style as well. The

workshop saw enthusiastic participation from both

the batches and then on the closing night, it ended

with breath-taking performances. And guess what? We

are already waiting for Salsa level II!

Ragini Iyer

Someone once told me that the biggest takeaway from a B-School is the network

of people you carry for a lifetime. At IIM Shillong, I was lucky to be with a group of

exceptionally talented people from whom I could always learn a thing or two!

Sumit Rana, Associate Manager, Procter & Gamble

My 2 years at IIM-S taught me to respect every individual and the skills they bring. I learnt

how to be punctual, to meet deadlines no matter what, and to maintain the highest

standards of integrity at all times.

Shweta Srivastava, Consultant, Deloitte Touche Tohmatsu

There is always an awful lot one can learn from people around. All you need is the ability

to accept that you don’t know. This was my biggest learning through my two years at

IIM-S.

Hitesh Gulati, Senior Analyst, Deutsche Bank

IIM Shillong helped us become real team players where we genuinely started enjoying

each other’s success. The rigorous work schedule prepared us for the huge challenges of

the corporate world. Those were easily the best days of my life!

Umamaheswaran B S, International Graduate (Consumer banking), Standard Chartered Bank

Friends are life’s greatest teachers.

Sourjyo Das, Senior Management Trainee, Godfrey Phillips

I learnt to work against adversities. Also, at IIM Shillong, we were given the freedom to

experiment and set in systems in place.

Priyam Srivastava, Consultant, PwC

I learnt to be able to smile, no matter what the situation. And obviously I can play table

tennis far better than before.

Anurag Joshi, Associate Analyst, HSBC

An electric kettle, a room heater and some good friends can teach you a lot about life.

Enjoy the tea while it’s hot, beat the adverse weather and make some relationships for life.

The rest will follow.

Nagendra Singh, Associate - Human Capital Management, Yes Bank

The Journey That Was…What our alumni have to say

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symphony 2011

edition of symphony

students of iim shillong

editorial team of symphony

management lessons

management proclivity

challenges of management

great pride

breadth of knowledge

Documents

st. louis symphony program nov. 25, 26, 2011

houston symphony magazine may 2011

saskatoon symphony society annual report 2011-2012

roanoke symphony orchestra 2011-2012 interactive season...

oakland east bay symphony 2011-2012 season brochure

greensboro symphony brochure for 2011-2012

2011/12 nashville symphony brochure

harrisburg symphony fall 2011 newsletter

houston symphony magazine october 2011

saskatoon symphony orchestra 2011-2012 season brochure aug...

symphony communication plc. march 2011

january 20 and march 10, 2011 - berkeley symphony

concert season 2011/12 - sinfóníuhljómsveit Íslands ·...

houston symphony magazine june 2011

skokie valley symphony-december 2011

houston symphony magazine july 2011

aimetis symphony administration and analytics guide november...

liszt's dante symphony, 2011, rich disilvio, 0981762549 ......

2011-2012 symphony space annual report

st. louis symphony program nov. 18, 19, 2011