ICE Business Times, August 2017 by ICE Media Ltd.

From the Editor

WORD OF MOUTH 08 State of Affairs 10 Banking Corner 104 Happening 16 20

Column by Shamsul Huq Zahid Column by Samina A. Shahrukh

ASK THE EXPERT 26 Prabeer Sarkar

Contents TIMES

INTERVIEWS 30 Dr. Jamaluddin Ahmed FCA, Director, Board of the Bangladesh Bank 34 Wahidur Rahman Sharif, President, BACCO 38 Gijs Verheijke, CEO, everjobs Asia 50 Mohammad Abdul Matin Emon, CEO, Doctorola 54 Namira Hossain, CEO & Co-Founder, Cookups 58 Ayman Sadiq, CEO & Founder, Robi 10 Minute School 72 Iftekhar Mallick, Senior Marketing Manager, YELLOW 73 Shahriar Rahman, Country Manager, Kutumbita 76 Sheik Mohammad Fuad, Head of ICT, LankaBangla Finance Limited 78 Md. Mojammel Haque Shourobh, Satellite Operation Engineer, BRAC Onnesha

a global business magazine from bangladesh

Contents TIMES

TIMES

Vol. 7 No. 12 | August 2017

Publisher & Editor Director, International Publications Executive Director Managing Editor Assistant Editor Sub Editor Staff Feature Writer Business Development Manager Designer Business Development Finance & Accounts Sales & Distribution

: : : : : : : : : : : : : :

Abul Khair Zeenat Chowdhury Nawshin Khair Tawhidur Rashid Irad Mustafa Ishrat Jahan Nasirra Ahsan Asaduzzaman Sk. Yeahhia Md. Nizam Uddin Forhad Mohammad Imran Md. Abdul Alim Md. Nazrul Islam Md. Rubel Khan

a global business magazine from bangladesh

TIMES

august 2017

BANGLADESH BANK DIRECTOR DR. JAMALUDDIN AHMED FCA

TK. 100 | www.ibtbd.net

DISCUSSES THE GOOD GOVERNANCE, THE IMPORTANCE OF AUTOMATION AND TACKLING CYBERCRIME IN THE BANKING SECTOR

BRIDGING THE GAP

INFRASTRUCTURAL LESSONS BANGLADESH CAN LEARN FROM SINGAPORE

SEXISM IN SILICON VALLEY

THE SPOTLIGHT IS ON THE TECH INDUSTRY FOR ALL THE WRONG REASONS

P-28

A CLOSER LOOK AT HOW EXPORT DIVERSIFICATION COULD BOOST THE ECONOMY AND REDUCE OUR RELIANCE ON THE RMG SECTOR

Integrating with the IT Revolution

P-66

CASHLESS FUTURE

WILL PAPER MONEY BECOME OBSOLETE IN THE FUTURE? R I S I N G

AYMAN SADIQ

Founder and CEO, 10 minute School

T E C H

NAMIRA HOSSAIN

CEO & Co-Founder, Cookups

S T A R T - U P S

MOHAMMAD ABDUL MATIN EMON CEO, Doctorola

This issue’s Photographs by Din M Shibly Kazi Mukul Cover Image Reference esenkartal/Getty

Editorial & Marketing Queries tawhidur.rashid@ibtbd.net or send us a note at www.facebook.com/icebusinesstimes www.twitter.com/BusinessTimesBD

Be sure to visit our website www.ibtbd.net

FEATURES 22 Accenture’s Departure 28 No Tech Companies for Women 43 The Cashless Future: Imminent or Distant? 46 Addressing Seasonal Poverty and Immigration in Bangladesh 62 Bridging the Infrastructural Gap in Bangladesh 66 Adding More Fruits to the Basket 80 Questioning the Long Term Sustainability of the RMG Juggernaut 84 Processing the Possibilities 86 Why Tesla Doesn’t Need be the Next Apple 88 Build Your Own Brand Value through Networking 90 Intel Inside, Sluggard Outside? 92 How to Build A Computer with Your Lunch Money 97 Beyond the Business 109 Capital Market Update

Published by Abul Khair on behalf of ICE Media Limited Kushal Centre, Plot 29, Sector 3, Uttara C/A, Dhaka- 1230 and printed at M.K. Printers,189/1, Tejgaon I/A, Dhaka-1208 Editorial and Commercial office: 3rd Floor, House: 4, Block: B, Road: 23 A, Banani, Dhaka 1213 Advertising, Sales, Subscription and Distribution: 01812656961, 01715732425, 01759391168, 01850824294, 01611227676 Tel: 02 55035336-8, 09666773313

* Not all the views expressed in the columns and interviews are the views of the magazine.

FROM THE EDITOR Through July, we’ve seen a spectrum of events unfold. The 15% unform VAT law was shelved again, the Chikunguniya epidemic ravaged the nation and then there was Accenture’s announcement that they would seize operating in Bangladesh. Amidst all of this, oppurtunities have come and gone for businesses but for this issue ICE Business Times narrows its focus on the burgeoning ICT Sector that’s been promising to revolutionize the country with its Digital Bangladesh campaign. In this era of automation we are observing an increased IT influence on the world. This influence has spread across Bangladesh and is starting to grow especially with the prioritization of Digital Bangladesh. As IT's presence slowly becomes ubiquitous, we now find ourselves shifting from conventional platforms to digitized ones. Services which we avail on a daily basis are slowly transforming themselves to cater to the growing population of online consumers. Starting with e-commerce sites, services like education, health and even food can now be accessed with the click of a button. With this prevalent trend, it is not difficult to imagine a future where current industry norms are turned over on their heads. It won’t be long before the Fourth Industrial Revolution has swept our country away in its waves and although this could bring forth a new era, the negatives could far outweigh the positives if we aren’t prepared with the appropriate failsafes, considering our heavy reliance on cheap unskilled labor. On the flipside, this movement towards digitization will also require us to invest our interests in the appropriate safegaurds. By now, Bangladesh will know all too well about the threats posed by cyber crimes, which is why we have to understand and implement proper firewalls which can prevent these threats from damaging our progress. As we continue to thrive as a growing nation amidst all this, understanding the potential of the ICT sector, nurturing its growth and protecting it from outside dangers is of the utmost. Seeing it flourish would not just be a sign that we’ve learned to grasp the opportunities that are presented to us, but also that we will have another sector which can support the economy and its needs apart from the RMG sector.

Word of mouth

S TAT E O F A F FA I R S

Honorable Prime Minister Sheikh Hasina attending the Army Head Quarter Election Board 2017 meeting at AFD Dhaka Cantonment

Prime Minister Sheikh Hasina in a meeting with visiting United Nations High Commissioner for Refugees, Filippo Grandi, at the Jatiya Sangsad Office

Prime Minister Sheikh Hasina being paid a courtesy call by H. E. Ms. Sophie Auber, Ambassador of France to Bangladesh at the Prime Ministerâ&#x20AC;&#x2122;s Office

Honorable Prime Minister Sheikh Hasina meeting with Admiral Harry B. Harris, Jr. U.S. Navy, Commander, U.S. Pacific Command at AFD Dhaka Cantonment

Word of mouth

BANKING CORNER

The Bangladesh Bank held a daylong orientation program on Foreign Currency Policies and Investment for the members of the Economic Reporters Forum

BRAC Bank Limited recently organized a training workshop on “Cyber Security & Financial Crimes in Contemporary Banking System” for the Additional Superintendent of Bangladesh Police at BRAC Bank Learning Centre in Dhaka

Dhaka Bank Limited observed its 22 years of successful journey through a series of activities. As a part of the celebration, Milad & Doa Mahfil was arranged at its Corporate Office along with all the branches of the Bank. Moreover, Blood Donation program was organized in association with Bangladesh Thalassemia Foundation at the Corporate Office

Southeast Bank Limited as a part of bank’s Corporate Social Responsibility has donated a Coaster to “APBn Headquarters”

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B A N K I N G C O R N E R

Southeast Bank Limited donated funds for the construction of a new computer laboratory building of Dhupoil High School as a part of the bank’s Corporate Social Responsibility (CSR) projects

A Training program under ‘Nationwide Financial Literacy Program’ was held at Meghna Bank Securities Ltd. The training was organized to bring awareness among the Investors on Capital Market related issues

Standard Chartered Bank Bangladesh has recently won “Best Foreign Bank in Bangladesh” and “Best Foreign Investment Bank in Bangladesh” awards at the FinanceAsia 2017 Awards. The award was handed over to Enamul Huque, Managing Director & Head, Commercial Banking, Standard Chartered Bangladesh at the award ceremony held in Hong Kong

Southeast Bank Limited has donated Tk 1.5 million only (Taka Fifteen Lac) to the “DMP Shikkhabritti 2017” fund of Dhaka Metropolitan Police

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B A N K I N G C O R N E R

CITY BANK AND STANDARD CHARTERED BANK BANGLADESH ANNOUNCE INAUGURAL ‘CHINA-BANGLADESH INVESTMENT FORUM’

City Bank and Standard Chartered Bank Bangladesh officially announced the details of the upcoming ‘China – Bangladesh Investment Forum’ to be held in Beijing, China on August 21, 2017. The forum is going to be organized by Euromoney Institutional Investors, one of the leading financial publications in the world. City Bank and Standard Chartered Bank Bangladesh are the lead sponsors of the forum. This is the seventh such international investment forum co-hosted by City Bank and Standard Chartered, previously held in Singapore, Hong Kong and London.

The ‘China – Bangladesh Investment Forum’ will focus on the investment and bilateral trade opportunities between China and Bangladesh and the growing opportunities resulting from China’s One Belt One Road (OBOR) initiative. The forum will also provide a platform for discussion on many important topics such as infrastructure, FDI, Financial and Capital Markets and more. The participants will have a valuable chance to learn more about the business environment in Bangladesh and the potential areas for cooperation. Sohail R. K. Hussain, MD & CEO of City Bank, Abrar A. Anwar, CEO of Standard Chartered Bank Bangladesh, Li Guangjun, Economic & Commercial Counselor to the Embassy of the People’s Republic of China in Bangladesh and Lin Weiqiang, President, Chinese Chamber of Commerce in Bangladesh were present at the press conference held in Dhaka. As a part of the bank’s Corporate Social Responsibility, Southeast Bank Limited donated 100 bicycles amongst underprivileged school and college girls of the Lalpur-Bagatipara Upazila, Natore

An agreement was signed between Jamuna Bank Limited and Hotel Sea Crown recently. According to the agreement employees of Jamuna Bank and Jamuna Bank Credit Card holders will avail discount facilities from Hotel Sea Crown

Column

By Shamsul Huq Zahid

Unhealthy VAT & SD Law Dilemma hen late Finance Minister Saifur Rahman, in 1991, first introduced Value Added Tax (VAT) as a means to mobilize more resources for bankrolling the national budget, he faced a barrage of criticism coming from all directions, including the then main opposition political party at the time, the Awami League (AL). Bangladesh was the first country in the region to employ VAT as the new source of revenue. Many, however, deemed this move to be too radical a change. When Awami League came to power in 1996, they did not scrap the system. Rather 20 years after its introduction, in 2012 the AL-led grand alliance government enacted a new VAT and Supplementary Duty (SD) law to enlarge the VAT net and introduce a uniform VAT rate of 15% by replacing the multiple rates. That was the beginning of a problem that the government had failed to foresee. With revenue from import duty shrinking unabatedly and Income tax revenues being close to stagnation, the government found VAT to be the most potential conduit for raising resources to meet an ever-increasing recurring and development expenditure. The International Monetary Fund (IMF), the multilateral lender, also wanted the government to bring about reforms in the 1991 VAT law to plug the leakages and beef up the revenue collection. When the government approached the IMF for extended credit facility worth about $1 billion, the

THE WRITER IS A SENIOR J O U R N A L I S T. H E C A N B E R E A C H E D AT ZAHIDMAR10@GMAIL.COM

latter tagged the credit with the condition of reforming the VAT law. With no other credit source available, the Bangladeshi government obliged. When the government launched discussions on the draft of the new VAT and SD laws with various stakeholders, the businesses opposed the idea of uniform VAT and disputed the level of exemption given in the turnover tax. The government incorporated some of the features of the new VAT regulations into the 1991 VAT law with the intention of putting them in effect by the year 2015. However, this was not to be. The enforcement was delayed for two years, much to the disappointment of the IMF, fearing adverse reaction from both businesses and consumers. In the meantime, the National Board of Revenue (NBR) engaged itself in intense negotiations with the representative bodies of businesses. One of the leading spokesman for businesses, the Federation of Bangladesh Chamber of Commerce and Industry (FBCCI), placed a long list of proposals seeking amendments to the new VAT law. The government accepted some of the demands but disputes over the uniform VAT rate continued. Yet the Finance Minister in his last budget speech announced the governmentâ&#x20AC;&#x2122;s plan to enforce the new VAT law from the current financial year (2017-18) that incorporates provision for a uniform VAT rate of 15%. However, the announcement of the budget led the minister to face blistering attacks. This was further exacerbated due to his proposal to impose excise duty on bank account balances

C O L U M N S H A M S U L H U Q Z A H I D

for amounts exceeding Tk 100,000. Hence, not surprisingly the new VAT law also became the target of widespread criticism. Finally, the Finance Minister under the guidance of the Prime Minister Sheikh Hasina, deferred the enforcement of the new VAT law for another two years. The deferral, though made under somewhat uneasy circumstances, was a right move for a number of reasons. Had the government enforced the new VAT act, in all probability, the NBR might have placed itself in a position of great embarrassment. The reason mainly being the unwillingness and unpreparedness of both the taxmen and the businesses to meet certain requirement of the law. For instance, many businesses are yet to be adequately familiar with the requirements under the new VAT law. Furthermore, the introduction of electronic cash register (ECR) machines in business establishments is one of the main conditions of the new law. NBR promised to import ECR machines and make those available to businesses at effective prices. Since the import of these ECR would be done over several months, immediate implementation of the decree was unreasonable. More importantly, the postponement of VAT law unsettled all the math the Finance Minister had done to bankroll the budget for the current fiscal year. The NBR estimated mobilization of an additional revenue of Tk 200 billion due to the enforcement of the new VAT bill. It was expected that the Finance Minister would make a revision of the estimates prior to the adoption of the budget by the national parliament. With this promise not being acted upon, the plan is centered on reviewing the current year’s budget earlier than scheduled. The government’s decision to enforce the new VAT law from this fiscal year and later postponing the same for reasons of upcoming national election had surprised many. With the ruling party leaders and opposition groups being fully aware of the backlash from a higher VAT rate and with elections looming in the horizon, how the VAT increment law was approved remains a mystery. Moreover, the budget is a collective responsibility of the entire cabinet and the government. And the Finance Minister should not have to shoulder the blame alone for the guffaw.

In 2012 the AL-led grand alliance government enacted a new VAT and Supplementary Duty (SD) law to enlarge the VAT net and introduce a uniform VAT rate of 15% by replacing the multiple rates.”

Now that the new VAT law is shelved, the scope of mobilizing a greater volume of revenue has become very limited. During the last few years, the tax revenue growth was more than the previous year’s, even though it fell short of the annual targets. The revenue from import duty was more or less stagnant and that from income tax did record growth but it was well below its potential. After that, VAT and income tax remain the major source of government revenue. But, because of built in deficiencies in the tax administration and general propensity to evade tax payment, the income tax growth has remained more or less unsatisfactory. The government has skipped the enforcement of VAT law to avoid annoying the businesses and the consumers ahead of the next general election. But it has failed to appease one of the greatest financial bodies in the world-the IMF. The last tranche of the $1.0 billion IMF’s ECF has not been disbursed. The government is likely to face a very tough situation while managing the same. Critics of the international multilateral institutions might take comfort in the postponement of the new VAT law that was designed to reform the entire VAT system and stop revenue leakages. But they, apparently, tend to forget the issue of the need for higher volume of revenue to finance development projects, big and small. The Executive Committee of the National Economic Council (ECNEC) over the last few years approved mega projects worth over a trillion taka.The government has put forward no plans on how they intend to finance these projects. To hope that these projects will be successful without the intervention of these international bodies would be naïve. There is no denying that tax reforms do, in most cases, cause great pain to the general consumers and low income people. Perhaps, the blow would be lessened if the money they pay to the government is utilized properly for attaining the right objectives.

Column

Denmark's Green Endeavour and How It Can Help Bangladesh By Samina A. Shahrukh

On 22 February of this year, Denmark produced 97 Gigawatt (GwH) from wind energy, meeting its full demand for the day. This is fully in line with Denmark’s commitment of meeting 50% of its electricity demand from wind by 2020 and its move to 100% clean, green, renewable energy by 2050. Denmark’s energy sourcing transition is well underway. Let’s look back a few decades to the Denmark of the 1970s. In 1972, it is reported that 92% of electricity in Denmark came from imported oil. The oil crisis of 1973 and energy crisis of 1979 forced the country to devise new strategies to strengthen its energy security. These crises triggered the initiation into

The writer works as the Senior Trade Adviser in The Trade Council of the Embassy of Denmark in Dhaka and can be reached at samish@um.dk.

commercial wind production and exploration of the North Sea natural gas. It also saw the beginning of what the Danes refer to as the Turbine Adventure, where individuals put up their own turbines and were supported by engineers, scientists, and even politicians. The Danish government started providing 40% subsidy for initial investment in turbine installation. In 1985, in a bold move, Denmark dropped nuclear power from its energy strategy. Denmark thus unveiled a new horizon in renewable energy developing wind, bio-gas/biomass and waste-to-energy as alternative sources. Most importantly, they also focused on efficiency. Today, Danish companies enjoy leading positions in innovative energy efficient technologies, which have contributed to the delinking of energy consumption from economic growth. It is reported By State of Green1 that while the Danish economy grew by 70% since 1980, the energy consumption has remained virtually constant, CO2 emissions have been reduced and total water consumption has also been reduced by 40%. This look into Denmark is significant for Bangladesh, which is enjoying economic growth of about 6% for the last 6 years despite the weakened energy supply situation. While

1 State of Green (www.stateofgreen.com) is a public-private partnership founded by the Danish Government, the Confederation of Danish Industry, the Danish Energy Association, the Danish Agriculture & Food Council and the Danish Wind Industry Association.

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Bangladesh has moved towards greater power production using traditional fuel, it has also set a target of diversifying to renewable and sustainable energy, the immediate target being 10% by 2020. The State Minister for Power, Energy & Mineral Resources, only recently mentioned that the government is aiming at 2000 MW from renewable sources from 2020. So how can Bangladesh move towards its goal? Bangladesh can, and already is, actively looking into energy efficiency and clean energy solutions to stay competitive in the global markets. This is an area where Bangladesh is and can avail further smart solutions from one of the global leaders in energy efficiency and renewable energy solutions, Denmark. To create awareness and initiate dialogue in this field, the Embassy of Denmark in Dhaka and the Ministry of Foreign Affairs of Bangladesh jointly organized a conference on Green Growth Solutions in Dhaka in April this year. This was attended by stakeholders, public sector entities and private sector companies of both countries. Traditionally viewed as a development partner in social sectors, Denmark has been involved in the area of energy efficiency since 2015 through a DANIDA funded programme called the Energy Efficiency Engagement or 3e. It has provided free energy efficiency walk-through audits to about 40 factories in Bangladesh. The Secretariat of this programme is based in the Nordic Chamber of Commerce & Industry. 3e has already helped 14 factories lower their CO2 emissions by 19,328 metric tonnes per year and helped save $883,000 as energy costs annually. According to the findings of 3e, there exists a potential to save more than 100,000 metric tonnes CO2 emissions per year with a simultaneous saving of $7 million in energy costs in the 42 factories they have already visited. In the process, it has also been able to create awareness in industries about energy efficient solutions.

On a more one-to-one basis, The Trade Council in the Embassy of Denmark is constantly working to facilitate Danish technology providers to explore and work in Bangladesh. One such flagship project is a UNFCCC registered CO2 emission reduction project in the gas pipeline network of Titas Gas Transmission & Distribution Company Limited. The private sector Danish company NE Climate has partnered with Titas Gas in this self-financing project to detect, seal and reduce gas leakage, thereby reducing CO2 emission and gaining carbon credits. This is the first and only UNFCCC registered project in this sector in Bangladesh and has already reduced CO2 emission by 1 million cubic feet per day (mmcfd). Last year, The Trade Council organized a delegation to Denmark of public and private sector representatives from Bangladesh in the power generation sector. This led to creating awareness and interest in Danish technologies and in one instance, even procurement of energy efficient Danish technology by a private company. The Bangladeshi industries can avail a range of Danish technologies that complements each other with their uncompromising high quality and durability. This often means higher price, which can be an initial deterrent to the Bangladeshi entrepreneur. However, a holistic analysis often shows that they are cheaper in the long-term because of the minimum

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maintenance cost, durability and their inherent energy efficiency. By regularly organizing workshops, delegations, individual meetings, The Trade Council is continuously facilitating commercial partnerships, establishing network, creating awareness and disseminating information on Danish expertise and technologies. Backed by their years of experience and knowledge, Denmark already is a forerunner in the area of efficient and renewable energy technologies. Bangladesh can learn and use what Denmark has to offer and Denmark is proud to inspire, share and work with Bangladesh in its move towards adaptation of green solutions.

While Bangladesh has moved towards greater power production using traditional fuel, it has also set a target of diversifying to renewable and sustainable energy, the immediate target being 10% by 2020.â&#x20AC;? www.ibtbd.net

Inside Out

DEPARTURE FROM BANGLADESH By Abdul Halim Kader

ecently, Accenture announced that it would be dissolving its operations in Bangladesh by November this year. This would leave 556 of its current Dhaka employees without a job. Accenture was known to provide Grameenphone with IT and software related facilities. The sudden announcement has raise eyebrows with people now wondering how this would affect the technology sector of the country. In 2010, Grameenphone, one of the largest mobile operators in the country, started its Grameenphone IT (GPIT) journey by separating the operations of their other subdued IT divisions. In 2013, GPIT signed a contract with a management consultancy, technology services and outsourcing firm called Accenture with a target to achieve the most number of shares in the market. Accenture gained 51% ownership in the company on 3rd August 2013. On the 18th July 2017, the 556 employees working with Accenture Bangladesh were sent the notice about their contract termination. The announcement mentioned that all the debts of

the employees will be cleared and the company will be closing down its operation in Bangladesh on 30th November 2017, once and for all. They were notified via an email signed by Purushothama Kadambu, Managing Director, of Operations in Accenture. Accenture Employees' Union, the company's workers association announced that the workers would be going on a strike from Wednesday, 19th July 2017 to oppose the decision about the downsizing. The Union's General Secretary, Shaheen Ahmed commented saying, "The closing down of Accenture in Bangladesh will have negative consequences from an international perspective. Foreign companies will no longer want to invest in this area. The union has strongly condemned and protested this decision. At the same time, we also seek government intervention in this regard."

The termination email stated that the contract between Accenture and Telenor, Grameenphone's parent company, will expire at the beginning of next year. It further informed that the services provided by Accenture will now be done in-house, and be divided among some other service providers and other operating divisions of Telenor around the world. Moreover, the email assured job security of the employees till November 2017 and stated that all debts and salaries of the employees would be cleared by that time. The company also ensured upon providing each of the employees with a release letter and an appraisal letter that will validate their contribution towards Accenture so far. The email also mentioned that some of the employees could get job offers from Wipro, the company that has been appointed by Grameenphone in place of Accenture. Moreover, the company will be providing paid leaves and regular salaries to their employees as well, during the transitional period. Accenture also mentioned in the notice that it would provide bonuses to the employees for the next three months till November as a token of appreciation for their services, which

will be half of their basic salary. Thus, the cooperation of the employees during the transitional period was expected. The ICT State Minister, Zunaid Ahmed Palak mentioned that the IT sector of Bangladesh would not be affected much by Accenture's departure. He also said that industry has a concrete structure now and that it is nearing the billion dollar export mark. Accenture had around $10 million in exports previously. He tried looking at the bright side of the situation by explaining that now, around 500 experienced engineers can enter leading IT companies, take the lead, and even possibily open their own firms. Accenture's leaving is a great matter of concern for Grameenphone. However, Wipro, the Indian IT, consulting and outsourcing company is all prepared to take over Accenture's functions for Grameenphone. Previously, Accenture used to provide Grameenphone service worth Tk 97 crore, which is around Tk 96 crore now. The senior authorities of Accenture and other related sources confirmed the news of the abolition of the contract between Grameenphone and Accenture and also about the

inception of the new contract of Grameenphone with Wipro. Initially, Wipro wants to start its journey in Bangladesh with around 200 members. In the meanwhile, the firm has already begun recruiting with the help of a third party. However, the firm hasn't officially confirmed its entry into Bangladesh yet. A lot of individuals amongst the 556 employees who were sent the termination mail have now applied for interviews with Wipro with the help of the third party. However, a few of them were offered lower remuneration than before and those who have been offered the same seemed very skeptical about the environment. Discussions have been in the air about Wipro starting its operations in Bangladesh from 2005 onwards. It was also heard that the firm back then, planned to come in collaboration with a local company and open a branch by investing around $50 million. The President of Strategic Sales of Wipro, Shri. Viswanathan K.S. back then, said that the Bangladeshi market is a very lucrative one for the company and that the company would do some research on it.

Ask the Expert

ne is a mosquito borne virus. The other an internet borne malware. Both damaging. Both epidemic, but in their own spaces. One threatening our physical and real existence, the other our virtual space. Living in today's world means you have a presence on the cyber space which is almost akin to your physical presence. We molded the virtual in the image of our true life and migrated our good and bad alike to the new world. And hence technology, while it serves us in many good and great ways, also troubles us with unexpected circumstances. Most recently, we have been confronting two epidemics in both our worlds. Chikungunya, the viral fever has been causing terrible physical sufferings; while WannaCry, a viral ransomware, took hostage of computer systems across the globe. Both the viruses continue to stress our daily lives. The interesting part, however, is in the way we see and tackle these two threats. For Chikungunya, our response is almost instinctive, leading to immediate preventative measures. But for WannaCry the response was panicky. A state where many failed to comprehend the situation itself and had to seek instructions. Strangely enough, in both cases, prevention was the first line of defense.

Chikungunya vs. WannaCry LIVING IN BETWEEN PHYSICAL AND DIGITAL EPIDEMICS

By Prabeer Sarkar

A S K

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E X P E R T S A R K A R

CHIKUNGUNYA, THE VIRAL FEVER HAS BEEN CAUSING TERRIBLE PHYSICAL SUFFERINGS; WHILE WANNACRY, A VIRAL RANSOMWARE, TOOK HOSTAGE OF COMPUTER SYSTEMS ACROSS THE GLOBE. BOTH THE VIRUSES CONTINUE TO STRESS OUR DAILY LIVES.”

The question is, why do we instinctively tend to take precautions for Chikungunya and fail to do so for WannaCry? Cyber security as a part of our lifestyle is hugely undermined and grossly misunderstood. Mainly because we are the first generation learning to cope with it, and perhaps also is has to be addressed and explained by people with the right technical expertise within the technology business community. It is presented almost like a scareware, and given the mix of fright with vague technical terms so people, in general, tend to avoid understanding the topic. What is missing is the simplicity of explaining the problem itself. The mere comprehension of the similarity between avoiding clicking or downloading suspicious files or links online saves a computer or system being infected by malware is about the same as ensuring that mosquitoes don’t breed around us to prevent a disease like Chikungunya. 80% of cyber hacks are human initiated, and most of these happen due to lack of awareness from the user side. We can say it happens due to a lack of knowledge regarding IT hygiene. Cyber security is part of the IT culture. In the physical world, we live by culture, some simple rules of engagement. The same applies to the digital world. Educating people in IT culture and making them aware of cyber security is a responsibility from every walk of life. Not just the government, but from all interacting entities. From parents at home to banks, schools, work places, telecoms, public services, private services and what not. Let’s consider a real-life scenario.

Bangladesh transacts nearly Tk 844 crore daily by mobile banking. At the same time, Kaspersky Lab reports that in Quarter 1, 2017, Bangladesh was the second most infected country in the world with mobile malware. Many of these malware are designed for banking scams. The banks can claim they have their security in place. But what about the customer end? How many banks engage in educating their clients on cyber security? Or even warning them? The banks need to start educating that huge mobile technology enabled customer group about precautions in cyber security in straightforward terms. That effort itself can become the foundation for developing an IT culture for the nation. Cybercrime has evolved over the years. And so has the process of security. Any system is hackable. There are hundreds and thousands of new threats in the cyber world every day. It has far reaching impacts on individuals, societies, economies, politics, commerce, terrorism and even national security. IT users need to understand this phenomenon. Call it a mandatory part of life. And the best way to get this message across is in plain language and in the simplest possible way. By relating the cyber world with the physical world. We boil and filter our drinking water. Similarly, we need to learn to check and filter our clicks and downloads online. Just one more way in our routine life. Preventing cybercrime starts with practicing IT hygiene. Cyber security is not complicated for the IT user. It is

simple, understandable and doable. Primary IT hygiene practice is as easy as follows – 1. Keep your OS, software and anti-virus updated 2. Don’t click on unknown links 3. Stop browsing unknown and suspicious sites 4. Don’t give your details and password unless sure of the asking entity 5. Don’t open suspicious emails 6. Take regular backups 7. Change passwords frequently 8. Customize the privacy settings on social media accounts 9. Be careful with your ATM card 10. Secure your Wi-Fi 11. Use free Wi-Fi zones with care 12. Be careful with Bluetooth activity 13. Avoid using free software unless sure of its reliability. Free software usually turn out to be most expensive. 14. Protect your smartphone with Anti-Virus and customize its privacy settings Maybe add a couple of more rules in practice and that makes a cyber-security prevention scheme. To tackle the rest there are technical people. We try to prevent getting Chikungunya. But once infected we go to the doctor. That’s it.

The writer has been engaged with the cyber security industry for more than 12 years. He is the CEO of Officextracts, distributor of Kaspersky Lab in Bangladesh & Bhutan and the Managing Director of Technics Computers Pvt. Ltd., the distributor of Barracuda Networks in Bangladesh.

www.ibtbd.net

Silicon valley

No Tech Companies for Women

By Zayeema Sarwar

WAGE GAPS BETWEEN MEN AND WOMEN, HARASSMENT AND RAMPANT SEXISM IS IN THE SPOTLIGHT MORE THAN EVER IN TECH COMPANIES ACROSS THE BOARD

ber has had many scandals thrown its way this year, Susan Fowler’s blog post on her year at the company was a harrowing account of upper management ignoring sexism and harassment at the workplace. Its problems caught up to it though. CEO, Travis Kalanick, resigned in June this year not only

because of this but for scandals involving “Greyball” and stealing technology from Google. Eric Alexander, an Uber executive was fired on June 7th for mishandling a medical report from a woman who was raped in 2014 by an Uber employee in India. Ariana Huffington, who is also on the board for Uber, told CNN in an interview that harassment isn’t a systematic problem at the company but the allegations made by Fowler show that the problem is just that. Jeff Jones quit as Uber’s president after only six short months there because he had concerns about the firm’s management culture. But is Uber the only company to come under fire for sexism and harassment? On April 7th in a court hearing, America’s Department of Labor (DOL) accused Alphabet

IS UBER THE ONLY COMPANY TO COME UNDER FIRE FOR SEXISM AND HARASSMENT?

Inc., Google’s parent company of hiding the fact that it pays its male employees more than their female counterparts. Although Alphabet does have several women who hold important positions in the company such as Ruth Porat (Chief Financial Officer) and Susan Wojcicki (CEO of YouTube), what about the rest? The suit was filed by the Department of Labor in January when Google repeatedly refused to give them the data they wanted, claiming that it was in violation of employee privacy. The DOL, however, holds its position that women are grossly underpaid compared to the men. Women have had to band together to try and make equal pay a possibility. The U.S women’s soccer team recently got a new contract, they were being underpaid compared to the men’s team – the women will now receive raises in base pay and bonuses along with better provisions for travel and accommodation as well as increased per diems. This a result of a group of players that filed a complaint about wage discrimination with the Equal

Employment Opportunity Commission, they maintained that the women did comparable work but were paid significantly less. Tesla has also been described as a hostile environment for women, AJ Vandermeyden filed a lawsuit in February against the company and was fired in May in what she states was an act of retaliation. Vandermeyden has accused Tesla of paying their women employees less when she joined in 2013 and being the only woman among 40 to 50 men – which she states is replicated at every management level in the company. Justin Caldbeck, co-founder of the venture capital firm, Binary Capital, also resigned this year after he was accused of inappropriate advances made during business dealings by six women. Caldbeck initially denied the allegations but later admitted to them. Jonathan Teo, co-founder had described his behavior as predatory and deplorable but later admitted to being aware of his ‘bad behavior’ and taking no action, also resigned. Investors started

to pull funds out of the firm shortly after. Chris Sacca, co-founder at Lowercase Capital, admitted that his behavior was not the best example in how to treat women in tech. In a Medium post earlier this year he said, "By stupidly perpetuating a culture rife with busting chops, teasing and peer pressure to go out drinking, I made some women feel self-conscious, anxious and fear they might not be taken seriously." Sacca who helped fund companies like Twitter and Uber has announced has retirement in April this year from investing in startups and his company would cease to make any new investments. He also appeared on two seasons of ABC’s Shark Tank but is also stepping away from the show. "In the earlier years of my career, I made my own attempts to fit in and be accepted as a part of the tribe of the Sand Hill Road guys," added Sacca. "In social settings, under the guise of joking, being collegial, flirting, or having a good time, I undoubtedly caused some women to question themselves, retreat, feel alone, and worry they can't be their authentic selves.” A diversity study conducted by the FundersClub shows that U.S technology companies that have at least one female founder tend to employ teams that are on average 48% female, however, when no female founders are involved that number is halved. Companies that have at least one female founder tend to have 38% women in the executive leadership team and engineering teams have on average 23% women which is 2.4 times and 2.3 times respectively higher than the average percentage for a startup with no female founders. www.ibtbd.net

Interview

Banking on the Future DR. JAMALUDDIN AHMED FCA

Director, Board of the Bangladesh Bank

Dr. Jamaluddin Ahmed FCA is one of the Directors on the Board of the Bangladesh Bank. He is also one of the sponsor directors of Emerging Credit Rating Ltd. (ECRL) and the Chairman of the company. He is the current General Secretary of Bangladesh Economic Association and was the President of the Institute of CA Bangladesh (2010). He was the Executive Secretary of South Asian Federation of Accountants. In the political career, Dr Jamal was nominated by the Bangladesh Awami League in 2001 and contested in the Parliamentary Election in 2008 from the same party from Noakhali-2. Professionally, a Chartered Accountant and the fellow member of the Institute of Chartered Accountants of Bangladesh (ICAB) since 1990; he has been awarded PhD on “Adverse Effect Currency Devaluation on Foreign Currency Loan User Companies of Bangladesh” from the Cardiff Business School, University of Wales, under Commonwealth Scholarship in 1996. Earlier, he secured First Class in Master’s Degree and Bachelors with Honors from Accounting Department of Dhaka University. He has many years of experience in the financial sector of Bangladesh and has used his expertise and experience to carryout 50+ research work and publications. He is the Audit Engagement Partner of 10 banks and leasing companies, 4 energy companies, 10 listed non-bank companies and tax advisor for many local and multinational companies. He is a Member of the Board of Directors and Chairman of Audit Committee of GrameenPhone Limited, Advisor to the Board and Audit Committee of Bangladesh Bank. Previously, he had been the representation of ICAB to the Board of Dhaka WASA, Dhaka Stock Exchange Ltd, Consultative Committee at the Security and Exchange Commission, Bangladesh Telecommunication Company Limited. From 2000 to 2013 he was a partner at Deloitte Touche Tohmatsu Bangladesh.

INTERVIEW DR. JAMALUDDIN AHMED FCA

CONSIDERING THE SIZE THE ECONOMY, THE NUMBER OF COMMERCIAL BANKS IS TOO HIGH ESPECIALLY WHEN WE COMPARE IT TO OUR COMPETING NATIONS. WE SHOULD REDUCE THIS NUMBER THROUGH MERGERS, PREVENT THE “ OPENING OF NEW ONES AND CLOSE DOWN THE POOR PERFORMING ONES.”

What are your views towards the transition of the Bangladesh economy since its inception? What according to you is the real condition of the Non-Performing Loans (NPL)?

The status of NPL (Non-Performing Loan) at this stage of economic development is nothing new. Our economy is a developing, and it is one with a history of transitioning from being a command to a market economy. Despite, being a part of both India and Pakistan during the British rule, we could not secure any colonial benefits except for some infrastructure regarding railway and port. We started as a command economy and since the 1980s we've been reforming into a mixed economy with a target towards the market. Bangladesh began its journey transformation towards a more market oriented economy. Banking reforms took place after the implementation of the revised Industrial Policy in 1986. The current economic philosophy of both the political parties seem to be following a market economy although there are some differences in perceptions and ideologies. So, the disagreements over economic issues have been minimized. This was confirmed by the formation of different regulatory bodies such as the Security and Exchange Commission, Energy Regulatory Commission, Telecom Regulatory Commission, Insurance Regulatory and Development Commission, Competition Commission and much more. These are considered as the pillars of a market economy. The formation of these kinds of commissions reflected the government’s desire towards economic development. The election manifesto of Awami League and BNP in 2008 was very competitive in terms of economic development with little differences except for their implementation procedures. During that time, research done by Harvard University on the economy of Bangladesh talked about its negative growth even after seventeen years of independence. The GDP

growth was lower than the population growth. Currently, Bangladesh targets to become a middle-income country by the year 2021. Our per capita income in the year 2001 was less than $500 which has soared to $1600 now. This was a result of the change in the economic development policy. Things like the development of infrastructures like roads and flyovers, generation and transmission of electricity are at the top of the priority list at the moment. The development of energy is an integrated process with the energy regulatory commission being a part of the energy sector.

We’ve seen drastic changes in the banking industry across the globe. Bangladesh has witnessed some of those changes but what more needs to be done?

The banking industry has seen a lot of growth across the globe. This shift was possible due to automation and the work of the ICT sector. Many people have also moved to mobile banking. Nowadays, with the help of agent banking, residents in the rural areas also have access to banking facilities. Moreover, we are yet to implement automation in handling receipts. In an ideal market, cheques are cleared within a day. However, in our country, it takes around three days to clear one. Real Bank Gross settlement is yet to be focused on. Furthermore, automation in the national payment system will result in fewer branches. Considering the size the economy, the number of commercial banks is too high especially when we compare it to our competing nations. We should www.ibtbd.net

I N T E R VI E W DR. JAMALUDDIN AHMED FCA

reduce this number through mergers, prevent the opening of new ones and close down the poor performing ones.

What are your views about the cybercrime that took place in the Bangladesh Bank?

The systemic weakness of the SWIFT system along with the Federal Reserve System must be held liable for this incident including the Sri Lankan and the Philippines central bank and commercials, the beneficiaries of those countries involved in the hacked transaction. The official transfer of money from Bangladesh Bank follows certain protocol under the approved Standard Operating System where there is no scope to do so. Initially, a request has to be generated which is first sent for administrative approval and then to the treasury. A loop hole in the SWIFT system and lack of right due diligence from the Federal Reserve System is what made the theft possible. This also depicts our failure to detect on time and take necessary action report and disclose to the competent authority. However, a technology based fraud can only be prevented by deputing people into the system 24/7 and upgrading the SWIFT and Federal Bank System on a regular basis. We surely need to establish such measures into our system.

What is the future of banking in Bangladesh?

Banking failures have an adverse impact on the economic development of a country. In the 1930s, there was a banking failure in the USA. Due to this, alternative sources of finance like issuing bonds and share market exchange was introduced. A country cannot just be developed only through bank financing. The refinancing of the ailing banks needs to be reduced. If automation can be implemented correctly, the entire banking system would generate a different result in a positive way. The Real Time Gross Settlement (RTGS) will ensure faster, transparent, secured and reliable financial transactions. Moreover, adapting to the RTGS system will reduce the number of frauds which is more common in the manual system. Integrating Stock Exchange

IT IS NECESSARY TO CREATE MORE JOBS IN THE ECONOMY AND TAKE IN MORE EXPERTS. A CIVIL SERVICE REFORM ALONG WITH THE RESTRUCTURING OF OUR EDUCATION SYSTEM IS ALSO MUCH NEEDED.â&#x20AC;? transactions within RTGS and automated banking system will result in the larger volume of transactions compared current one. One of the other reasons behind our slow development is the lack of skilled human resources. Thus, it is essential for us to invest more on education for creating a skilled workforce. Our current education system fails to meet the industry needs. Establishing good governance in the banking sector is a must. Bank Boards and management must ensure the compliance to Regulatory Institutions gatekeeping compliances in terms of legal, financial, marketing and sanctioning of loans and classification there of following central bank guidelines.

What new things are yet to be developed in our financial market?

Our financial market still needs development in the areas of the bond market and alternative financing. Derivative markets and other such innovations need to be introduced. On the other hand, we also need to have more public-private partnerships. Although it is a gradual and integrated process, the entire system needs to be changed as a whole. The financial system of command economy does not fit with a market economy. In Bangladesh, currently, we are trying to

implement a market economic system under command system regulatory institutions and bureaucratic regime. The work culture and mindset of current public managers are mostly dominated by command economic systems, but the political leadership at the top is apparently trying to manage following the principles of the market economic, financial management system. There is a gap between policy makers and with those who are at the implementation stage of such policies. Bangladesh cannot afford the continuation of such gap for a long time. The doable mechanism must be worked out immediately.

What needs to done to develop the IT sector in our country?

It is necessary to create more jobs in the economy and take in more experts. A civil service reform along with the restructuring of our education system is also much needed. As a nation, we are good at mathematics, in parallel; we also need to promote science education in our country. For instance, Pundit Nehru as the first Prime Minister of India had established countrywide technical institutes and improved science education that laid the foundation modern India's ICT education. For such visionary initiative in the post-independence period, India today is an IT-dominated country. Bangladesh also needs to take a similar strategy. Under the leadership of Honorable Prime Minister Sheikh Hasina, since 2009, the current Digital Bangladesh wave is paving the ways towards the automation of banking and financial systems through mobile financial services and digitization of stock market transactions. We should remember that we were the supplier of raw materials to the colonial rulers with no benefits in turn during the British India and Pakistan without any infrastructure. Whatever we see now are the result of our independence after 1971, headed by our Father of Nation, Bangabandhu Sheikh Mujibur Rahman. We have a long way to go and develop our motherland Bangladesh from LDC to a middle Income and then upper middle income and then a developed country.

Interview

The Next Frontier WAHIDUR RAHMAN SHARIF

President Bangladesh Association of Call Center & Outsourcing (BACCO) Managing Director Digicon Technologies Ltd.

INTERVIEW WA H I D U R R A H M A N S H A R I F

Wahidur Rahman Sharif is the founder and Managing Director of Digicon Technologies Ltd. since its inception (2010). He started Digicon Technologies Ltd. as one of the first BPO Companies in Bangladesh with a vision to provide unparalleled expertise and cost effectiveness to existing business processes with a mission to deliver solutions through right sets of people and technologies to ensure maximum value for business. Educated on MIS at University of Texas (Arlington), Wahidur launched his career as Manager, MIS, and Administration in Placemark Investments, an Envestnet’s portfolio consulting group, located at Addison, Texas. He later joined as Managing Partner Impetus Consulting, where his fields of experience span from hard core technology disciplines to sophisticated financial management. Under his leadership, Digicon Technologies was awarded the ‘ICT Achievement Award’ at the Digital World 2015 in Dhaka. Wahidur is also one of the co-founder and Managing Director of Digicon Global Services Limited and Tahoe Communications Ltd. At the same time he is serving as the President of Bangladesh Association of Call Center & Outsourcing (BACCO), as well as member of FBCCI, BASIS & AmCham (American Chamber of Commerce in Bangladesh).

Bangladesh has emerged as an important player in the BPO sector. What are the future possibilities for this industry?

The possibilities of the BPO sector are immense. We must be ready to grasp the opportunities that are being presented to us. These opportunities are arising as our competitors in India, Philippines and Sri Lanka are facing resource constraints. However, we currently don’t have this problem. We have demographic dividends that means we have huge number of youthful workers. We will have this advantage for the next 15 to 20 years. This is a vital point for the BPO industry, a situation India enjoyed during the late 80s and early 90s. If we are able to use this young resource pool along with the government policy support and extended support from the local industries we should be fine.

What are the main challenges for the BPO sector right now?

The main challenge is that we have an abundance of young resources but we have a dearth of skilled resources. The resources we are getting from our

THE POSSIBILITIES OF THE BPO SECTOR ARE IMMENSE. WE MUST BE READY TO GRASP THE OPPORTUNITIES THAT ARE BEING PRESENTED TO US. THESE OPPORTUNITIES ARE ARISING AS OUR COMPETITORS IN INDIA, PHILIPPINES AND SRI LANKA ARE FACING RESOURCE CONSTRAINTS.”

education system are not industry friendly which means that they are not skilled enough to cope. Technical and communication skills, basic understanding of English and so on; these become major problems for us. Although training is now being offered by the ICT Division for the up-scaling of these skills, they are all time bound ad-hoc solutions. To fix this situation we have to focus on the developing their education, starting from school to university. The current crop of students will hit the job market in around 10 years so we have to take a holistic look at the teachers, students and education system and implement a proper curriculum which can help facilitate their movement from their education life to their work life. Another challenge is capital. We need options for venture capital; however, we are still only reliant on loans from banks. The banking sector is not as welcoming towards the IT industry as it should be. Our industry is not asset based as we www.ibtbd.net

I N T E R VI E W WA H I D U R R A H M A N S H A R I F

What are the policy awareness in this sector?

THE MAIN CHALLENGE IS THAT WE HAVE AN ABUNDANCE OF YOUNG RESOURCES BUT WE HAVE A DEARTH OF SKILLED RESOURCES.â&#x20AC;?

consider our main asset to be manpower. We cannot run under mortgages. Therefore, we have to go to the banks for finances. We look at the situation in the RMG sector where they had policy support through back to back LC, cash incentives and so on. Therefore, we think the growing IT sector also needs that support. Cash incentives and tax incentives are required though we are enjoying AIT exemption. There are also VAT issues along every step. In every hand over, there are new VAT costs added so the cost is rising. We are demanding VAT exemptions it is a new industry which could thrive with this cost burden being removed. Our labor law is industry-centric but it does not focus on knowledge workers. In India and Philippines, laws are favorable for knowledge based industries. They adapted with the times. Policy support of this kind will benefit the industry over the long run. Addressing these issues will help us grasp the opportunities properly.

What are the segments you are working on now?

The main work is coming from telecom sector and they are very open to outsourcing. The next segment will include the multinationals and FMCGs. We are getting overseas work mainly from the USA. We have seen numerous opportunities arising in the health sector and insurance claim processing. The government sector is a huge area where we can help with citizen services. It has to come in a massive way as it will help the local industry to grow. People will get better services.

The ICT policies and telecom policies are favorable. The other stakeholders such as the Finance Ministry, NBR, and Labor Ministry must also follow suit. I am personally very hopeful, in last five years the industry is progressing positively. Our growth in last the 3 years is 100%. In next three to four years our projection of growth is 80%, given we receive the right support. It is a prospective sector and the opportunities are huge. As we have huge population we have scarcity of land so we have to grow vertically. For the absorption of the people we have to grow this knowledge based sector.

What is the progress of the IT Parks in the country?

The Sheikh Hasina Software Technology Park at Jessore is close to completion. The Bangabandhu Hi-Tech City at Kaliakoir, Gazipur will be in operational in 6 months. More are under construction. The primary issue now, is to get the skilled workers and make our presence known in the international market. The delivery of services is very important. What is the value proposition of Bangladesh? Why I am different from India or Sri Lanka? What are my strengths? Sri Lanka is very good in accounting, Philippines are very good in spoken English and getting the voice based work. India is knowledge based. We have to find our own niche as well. We are good at accounting but we are getting very low end jobs. We are now targeting non-voice work like data processing and payroll processing. We are getting this work due to the competitive prices in the market. The costing of India and Sri Lanka is more than us. This is the right time for a knowledge based IT sector. Every sector has its own phase and time limit. We have the success stories in front of us like India and Sri Lanka. The RMG sector in our country is a success story. The successful curriculums and education systems are also available for us to see. The government has to remove the hurdles so we can move forward and grow.

Interview

“THE MAIN DIFFERENCE LIES IN BANGLADESH BEING A SUPPLY CONSTRAINED MARKET AS THERE ARE NOT ENOUGH JOBS FOR THE PEOPLE WHO DEMAND THEM.” GIJS VERHEIJKE

CEO, everjobs Asia

By Nasirra ahsan

INTERVIEW GIJS VERHEIJKE

Your company everjobs recently reached its second year anniversary in Bangladesh. Having crossed this milestone, what are your expansion plans in this country?

It has been a great journey so far. Our expansion plans would include having a better grip of the market and become something new by attracting a greater number of job employment website users. Moreover, we want to attract a greater pool of high quality workers. From the very beginning, we have strived to become a reliable job portal which would compete with local iterations. Although, we have succeeded in many ways, the challenges are still present. Our expansion would now be targeted towards the job seekers who are mostly internet users, mobile internet users to be more specific. We are trying to appeal to the newer generation who are not the traditional users of computers. For instance, we have done some branding on the insides of CNGâ&#x20AC;&#x2122;s with the use of barcodes. Thus, the time wasted at the traffic jams can now be utilized not only for surfing Facebook, but also to look for jobs as well Even though the step was quite a successful one, we still need to work on getting our platform ready. One still needs to type a lot while using everjobs on the phone which makes it pretty clumsy and highly undesirable so we are trying to come up with innovative ways to input information in our platform and make it more user-friendly

What kind of presence does everjobs have in the job market in Bangladesh compared to other countries in which the company is operating?

The main difference lies in Bangladesh being a supply constrained market as there are not enough jobs for the people who demand them. The most extreme materialization can be seen on platforms such as bdjobs.com and everjobs. It isnâ&#x20AC;&#x2122;t difficult to find an enormous amount of applications for a job posted online. Companies get flooded with people applying for that one position. This, I suppose, would be the major difference as in other countries the job market is mostly demand constraint. It is really hard to find a sufficient number of eligible employees for jobs. For job websites, this has a big implication. If you are operating in a demand constraint market, companies are bound to use every channel available to them such as LinkedIn, job websites or maybe even recruitment agencies. Whereas, in Bangladesh the problem has more to do with the quality. Hence, the challenge that we face in Bangladesh is to filter the large number of applicants to create a smaller pool with greater potential. www.ibtbd.net

I N T E R VI E W GIJS VERHEIJKE

Based on your experience of running the Asian division of everjobs, what do you think are the skills that Bangladeshi employers demand the most?

I would say that there's a segment of multinational companies with whom people are eager to work with. For these MNCs, fluency in English is high on demand. It has become a skill that everyone wants to learn. Talking about analytical skills and specialized skills required by people, it is closely related to the type of firms that are hiring. For example, accounting firms will require a person to possess the necessary accounting skills. But if my opinion is concerned, reliability and good performance is at the core. English and computer skills require certification and punctuality is always appreciated. Another huge problem in the labor market now is that a lot of job applicants don’t show up for their job interviews. And this is something that needs to be mended as the job seekers need to realize that this behavior is not acceptable.

“I WOULD SAY THAT THERE'S A SEGMENT OF MULTINATIONAL COMPANIES WITH WHOM PEOPLE ARE EAGER TO WORK WITH. FOR THESE MNCs, FLUENCY IN ENGLISH IS HIGH ON DEMAND.”

What according to you can be the biggest challenge for the Bangladeshi employment sector in the coming years?

This is an interesting question as a lot of it depends on how the country is developing. A couple of challenges will be faced in terms of creating diversified teams. It is tempting to rely on referral networks and work with similar backgrounds and before you know it you’ve already built a team which is very interlinked which sometimes makes it difficult to access a broader market. Many people work with Grameenphone and Banglalink and then move on to other telecommunication firms, limiting themselves by acquiring skills which are only applicable for that field. This is where job portals can play an important role by leveling the playing field. Similar problems are faced in our Myanmar division. We had built a team consisting of people with similar backgrounds. Thus, when one quit others seemed to follow. Hence the main challenge for us would be to build a diversified team in terms of education, skills, background and gender.

unemployed to apply to a greater number of places and gain a sense of empowerment in terms of salary negotiations and other benefits that exist. This makes me feel like we are making an impact. It is, however, tricky to build a team. The current team we have across the four Asian markets share a great culture because it’s a melting pot of different backgrounds. The European team takes account of the banking and consulting background for management. The management along with the local team work wonderfully in sync with one another. Information sharing is now amongst the vital activities of the teams. For example, the marketing team in Bangladesh and Sri Lanka share information on a regular basis. , which is very appreciable. . This will further help the two countries in terms of sharing information and budget details if similar projects are being worked on across any of these two countries. If we are still talking about impacts and my contributions towards it, the growth rate of everjobs is moving in a positive direction. I can now safely say that everjobs will be making its mark in the next 10 years.

What advice would you like to give to the graduates who are suffering from confusions regarding which profession to follow? In an interview you mentioned that you had made the switch from biomedical engineering to finance because you felt like you weren’t making a significant impact. Would you say you're making more of an impact now? How? I think our impact as a job portal is still minimal. However, at the same time, I believe what we do as a business is important for our society. I don’t want to emphasize much on my impact here, but let’s just say that our efforts are well executed. From a larger point of view, it has been proven that jobsites create a lot of value by making the job market more transparent through the distribution of information about the job availability, salary levels, skills required and etc. to the masses. This will increase the scope of the

I like giving such advice but on the other hand, I wouldn’t recommend anyone to try and replicate the path taken by others. I always believe in a quote which says, “Luck favors a prepared mind.” One should have the willingness, guts and flexibility in trying out different avenues.

If you could be anything other than a CEO, what would it be?

Firstly, I don’t see myself as a CEO. It is a prestigious title to possess but at the end of the day it is just a title. However, if I was to choose, I would have definitely want to be an athlete. I did play sports when I was young and liked the way it worked. You either win or lose. Nonetheless, I must add that I wouldn’t trade my current position for anything better right now as I am highly satisfied with the output of my contributions here.

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Money

The Cashless Future : Imminent or Distant? By Taposh Ghosh If you were asked to leave your house today without your wallet and rely solely on your mobile phone and credit cards to carry out all your day-long transactions, you would probably deem the task as impossible, that is, if you are staying in Bangladesh. Given our heavy reliance on cash-based transactions, a day without the use of paper money might seem unimaginable at this point, but elsewhere around the world, a cashless revolution is already underway. Recent statistics predict that there will be more than 4.8 billion individuals using a mobile phone by the end of 2016. Another report noted that 39% of all mobile users in the U.S. had made a mobile payment in 2015. This is up from 14% in 2014 and by estimations will be in the 70% range by 2017 according to the US Federal Reserve report on Mobile Financial Services. Globally, mobile payment transaction volumes grew by 42% to reach 26.9 million in 2016, up from 18.9 million in 2015, Future Market Insights (FMI) revealed. This volume represents nearly $768 billion worth of transactions, up from $549 billion last year.

www.ibtbd.net

Today, it is impossible to maneuver in Chinese cities without a mobile wallet. High end brands to local street vendors, all have QR-codes placed on their counters, which upon being scanned using your cell phone conveniently allows you to flawlessly make your transaction. Such services are rendering traditional bank properties such as ATMs useless. The secret to such an exponential outburst in the use of mobile payments is two-fold. The mobile payment companies are able to provide their services frugally, partly by allowing smaller vendors to make use of a simple printout of a QR code or their phone, instead of an expensive card reader. Secondly, a back-end system that stores a record of user accounts, removes the need to communicate with the banks which further drives down costs. But not all is merry, as such inbound systems can make life difficult for tourists and business travelers, who might be unwilling to open a separate e-wallet just for transactions in China.

REDUCING ROLES OF FINANCIAL INTERMEDIARIES DIMINISHING IMPORTANCE OF CASH IN CHINA While the world is still debating the replacement of cash, there is already an audacious economic phenomenon happening in China. Almost everyone in major Chinese cities is using a smartphone to pay for just about everything. At restaurants, patrons can either use WeChat or Alipay â&#x20AC;&#x201D; the two smartphone payment options â&#x20AC;&#x201D; before bringing up cash as a third, remote possibility. Equally startling is just how quickly the transition took place. Only three years ago this would be unimaginable, because everyone was still using cash.

Despite introduction of newer mediums, we still rely entirely on large intermediaries, such as banks, to facilitate most of our transactions. Overall, they have done a good job fulfilling their function. However, there are problems that stem from old business models clashing with new technology. Inherent to the old model is centralization, which is buckling under its own weight. In 2009, Bitcoin was anonymously released in the wake of one of the largest financial shocks in history. It is a digital cryptocurrency that is not regulated or issued by any government or private entity. Although it has very little intrinsic value and was originally worth pennies on the dollar, there is major interest in its underlying blockchain technology due to its decentralized and pseudonymous nature. Bitcoin can be purchased through an online exchange using traditional currency, either whole or in fractions. A digital wallet is needed in order to safely store the Bitcoin due to the possibility of online exchanges being hacked. Private wallets allow users to store

Bitcoin and safely create backups on a smartphone or offline. Bitcoin was the world’s strongest currency in 2010, 2011, 2012 and 2013, outperforming even gold. The upward trend continued in 2015 and 2016. It is currently priced around $250 per Bitcoin, according to Coindesk.com. Bitcoin’s purpose is to establish trust and allow transactions across a global ledger, specifically with no need for a third party. Trust is established through peer-to-peer collaboration and cryptography rather than a singular authority figure. While Bitcoin’s true potential is yet to be identified on a massive scale, the cryptocurrency just might be the perfect payment medium for borderless digital natives.

WHAT DOES THIS MEAN FOR TRADITIONAL FINANCIAL INSTITUTIONS? The business model for traditional financial institutions, such as banks have experienced very insignificant changes entering the 21st century, with the adoption of 24/7 online banking being one of the more crucial ones. But in this era, if the banks do not take the initiative of disrupting themselves, someone else is going to enter the space and do this job for them. The insurgence of

tech giants such as Google, Apple, PayPal, and so on, into the payment arena is a warning for traditional financial institutions to rethink their slow-paced business models, if they wish to survive through the upcoming decades. To take complete advantage of the digital revolution, the banks must provide a comprehensive digital platform for all possible financial services. This has to reflect throughout the entire organization, from front-end commercial activities to back-end technology and operations. If banks fail to provide their account holders with a mobile payment gateway, linked back to their accounts, they will slowly start losing customers to new entrants such as Android Pay or Apple Pay. Peer-to-peer lending and Insuretchs have already started gaining popularity in the West and in China, which will further reduce the functionality of traditional financial institutions.

PUSHING THE DEVELOPING WORLD INTO THE CASHLESS ERA Many might argue that claims for a cashless future are fitting for developed nations, but preposterous and unimaginable for countries such as ours. But India’s recent demonetization juggernaut just might have pushed started its own cashless revolution. India’s demonetization initiative included removing 86% of its currency from circulation without having an adequate supply of new notes ready to take their place. This proves that India is more reliant on

cash than almost any other country on earth. Suddenly, hundreds of millions of people were left without the means to engage economically, to buy the things they wanted and needed. A myriad of businesses were left without a readily available mechanism to receive payment for their goods, to buy supplies, or pay their staff. But this surprise demonetization also did something else: it pushed millions of new users onto the country’s digital economic grid by virtual fiat. Prime Minister Modi’s demonetization initiative has been a boon for India’s e-payment providers. Paytm reported a three-time surge in new users tacking on over 14 million new accounts in November 2016 alone. While Oxigen Wallet’s daily average users increased by 167% since demonetization began. However, experts suggest that the sudden invalidation of some denominations of the rupee almost overnight, is responsible for such a sharp boost to digital payments, with the population having no other alternative. But not everyone country make the leap as such structural changes are heavily reliant upon infrastructural developments. Countries such as Bangladesh and India still have poor internet connectivity and not everyone uses a smartphone. Even in Bangladesh, mobile financial services such as bKash and Rocket have failed to popularize its platforms as payment mediums for day-to-day transactions. Thus it can be said that cash is not going obsolete anytime soon in the developing nations of the world.

BOTTOM LINE:

While we cannot be certain whether a cashless economy will take over within the next decade or not, it is evident that acceptability for alternatives to cash is growing fast amongst the general mass. Hence it should not come as a surprise if cash renders down in acceptability, sooner than expected.

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Poverty

By Atef Ahsan

Addressing Seasonal Poverty and Migration in Bangladesh Deviations from the stable point have always been a matter of keen interest for economic connoisseurs. Of the plethora of economic models constructed, equipped with its own arsenal of assumptions and restrictions - almost all inevitably experience a point of time (considering a dynamic model) where the deviation occurs from the home point. Deviations such as these, generally occur at randomized periods of time, owing to various underlying factors. However, in the case of seasonal poverty, deviation occurs in specific periods of time and only for a set time period. Seasonal poverty - known as the ‘hungry seasons’ manifesting also as seasonal famine still manifests in Bangladesh and is infamously known as ‘Monga’. According to (OECD, 2012), “Absolute poverty is a condition characterized by severe deprivation of basic human needs”. Provisions of basic services such as safe drinking water, healthcare services, basic sanitation means, education etc. being inaccessible by the population in the lower middle income group. Perspectives on poverty can be expressed in various other methods resulting in it being measurable; the following are such examples: ◗ Income Poverty: income lower than the average level, 50%-60% below the median. According to The World Bank “absolute” poverty level, 2$/day ◗ Basic Needs Approach: coined by

the International Labour Organization (ILO), the presence of scarcity in terms of resources and opportunities to satisfy basic human needs can be termed as poverty ◗ Capabilities Approach: Poverty and deprivation of basic needs is the missing link resulting in a lifestyle which is unsatisfactory. The lack of skills to live one’s life to the fullest. Coined by Amartya Sen As per the World Bank report1, the incidence of poverty is approximately 31.5% (Upper Poverty Line) and 17.6% (Lower Poverty Line). The UPL corresponds to the moderate poor households whose food expenditure equates food poverty levels and LPL represents the extreme poor whose total expenditure equates food poverty levels2; as per the Cost of Basic Needs method. The view towards poverty with time has grown to show a regularity or a more seasonal tendency i.e. seasonal poverty. This problem is seen in the division of Rangpur which roughly hosts 42.3% of its population facing poverty3. Moreover, the seasonal famine (Monga) is experienced where households have to undertake the brutality of extreme poverty for that period of time. It is the particular period between planting and harvest in the agrarian areas. Opportunities for work fall significantly along with a rise in the price levels of rice. Numerous studies conducted by the World Bank and that of the Chronic Poverty Centre, have shown how and 1. Poverty Maps of Bangladesh 2010: Key Findings 2. Report of the Household Income & Expenditure Survey/HIES 2010. BBS GoB. 3. Poverty Maps of Bangladesh 2010: Key Findings

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4. Chronic Poverty Report 2014-2015: The Road to Zero Extreme Poverty. Chronic Poverty Advisory Network. CPRC. ODI

why people fall into this abyss due to some simple life events that for this income group turn horrific in nature, owing to the inherent weaknesses in their income and socio-economic stability. The most minor shocks become difficult for them to weather and another factor contributing to this is the lack of access to social security measures. The report by the Chronic Poverty Centre4 on Bangladesh, sheds some light on this issue. As per the report, the presence of unstable income levels of a household can lead to various shocks. Such effects last decades, if not the entire lifetime. More so, it is often seen to be passed on to the subsequent generation of the household. â&#x20AC;&#x153;Selling productive assets (cattle, tools, land), borrowing money at exorbitant interest rates, taking children

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P H O T O G R A P H B Y D I N M S H I B LY

out of school etc”( OECD, 2012). More so because of non-existent safety nets and risk management schemes. Hence, the future of the children come into question. Reducing and eradicating poverty levels are important development goals globally and nationally. However, anomalistic events such as seasonal poverty require a move away from generic perspectives and lead to re-thinking the aspects of poverty, mitigation schemes and policies. The reduction or elimination of this phenomenon is only possible through some dynamic policies or movements. One such strive to mitigate the effects of monga in Bangladesh has been undertaken by Ahmed Mushfiq Mobarak, Professor of Development Economics at Yale University. He also leads the Bangladesh Research Program for the International Growth Centre (IGC) at London School of Economics (LSE). He initiated a Randomized Control Trial5 (RCT) approach to understand and address this poverty issue plaguing the country. The experiments were initially conducted in 100 villages in two districts (Kurigram and Lalmonirhat) of ‘Monga’ prone Rangpur region of north-western Bangladesh. The Rangpur region is home to 2.88 million6 people of which 40% of the region’s population lives below the poverty line. In addition to the higher level of poverty compared to

the rest of Bangladesh, the Rangpur region experiences more pronounced seasonality in income and consumption, with incomes decreasing by 50-60% and total household expenditures dropping by 10-25% during the post-planting and pre-harvest season (September-November) for the main Aman rice crop (Khandker & Mahmud, 2012). According to their data, the price of rice spikes causing consumption to fall drastically by 22%. The lack of jobs and the prices hike combined, create a situation of recurring famine. In addition to housing the lowest agricultural wages in the country, Rangpur inadvertently forces its people to lower consumption below sustenance. In response to this crisis, the concept of incentivized seasonal migration sprouted temporary movement to urban areas for better job perspectives. A cash or credit incentive ($8.50) was implemented which usually covered the round trip during the 2008 ‘Monga’ season. This induced migration had substantial impact in the overall livelihood of the households with various spill-over effects too. The induced migration resulted in a significant increase of 30-35%7 in food and non-food expenditures. Moreover, overall calorie intake which was significantly low, rose by 500-700 calories per person per day. Interestingly, households in the

5. A study design that randomly assigns participants into an experimental group or a control group and then compare the effects on the respective groups. 6. Population distribution with ranks, 1991, 2001 and 2011. Population Distribution and Internal Migration in Bangladesh. November 2015. BBS GoB. 7. Econometrica, Vol. 82, No. 5 (September, 2014), 1671–1748

affected areas continued to migrate in the following seasons even after the removal of the incentive system. “The migration rate is 10 percentage points higher in treatment areas a year later” (Mobarak, Chowdhury, & Bryan, 2013). In addition, the price levels in the villages increased as a result of shortage of workers which subsequently did increase the costs of production for the employers. The structure of the overall project and its key findings are supported by the data collected through the RCT. According to (Mobarak, Chowdhury, & Bryan, 2013), “households that are close to subsistence, start with lower migration rates, but are the most responsive to our intervention”. On the other hand, the migrants have been seen to develop good relations with their temporary employer, thus resulting in many migrating the subsequent period as a result of the job availability. Many migrants also have been seen to have pre-existing network connections at the migrating destinations which result in a more sound and safe choice of destination. These movements by the abovementioned migrants are commendable as they have extensively improved lives of affected households in acute regions. There is a collective need for numerous similar studies and interventions to eradicate and alleviate people from such states. This population, if provided with timely and necessary aid and income options can be transformed into potential assets in the coming years and hence need to be utilized. In the legislative side, policies deterring poverty alleviation through deliberate policy choices that focus on indirect, if not direct increases in inequality needs to lessen. A certain neoliberal approach, ‘Economic Growth First’, adopting the trickle down approach of growth and development is a basic example of the costly ramifications of our decisions and how negatively it can effect children and other members of the community. As the famous saying goes, ‘Poverty is not a choice of poor people, but their poverty can be a choice of the rich in power’.

References: OECD. (2012, January 10). OECD, 2010 A Family Affair: Intergenerational Social Mobility across OECD Countries. Retrieved from https://www.thl.fi/documents/ 189940/263914/WHAT+POVERTY+IS.pdf/41b2ce48-7309-4d9d-9327-21fb9c 571517 Mobarak, A. M., Chowdhury, S., & Bryan, G. (2013). Escaping Famine through Seasonal Migration. Yale School of Management .

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Interview

A Referee for Medical Services By Ishrat Jahan

What drove you to create a health sector based startup?

Finding a health based startup, founded by someone who isn't an expert in the medical field is quite uncommon. Thus, having to answer such a question is pretty natural. However, I would like the mention that initially our platform wasn’t about managing medical services. It was more of a business idea I had about opening my own business using my learnings from the corporate world. I had my core competencies in the IT and strategic management sectors so our initial focus was on IT based solutions that would create employment opportunities in the market. This initial initiative was called ‘Oployee’, meaning online employee. However, due to our financial limitations we later realized that such an endeavor was too ambitious for us at the time. This made us refocus our resources and efforts towards our other priority - healthcare. We knew that healthcare was another sector whose online potential was untapped. We identified two key problems – firstly, the lack of high-quality medical services and secondly, the management of existing services. The first problem was again too wide for us to focus on so we decided to

"Need a doctor? We'll help you find one." Doctorola.com, an initiative that revolves around such a commitment came into existence in the early part of 2015. Its one-of-a-kind website helps to bridge the gap between doctors and patients who don’t have easy access to medication due to the unavailability of proper medical services around them. Mohammad Abdul Matin Emon, CEO of Doctorola, spoke with IBT about his vision to revolutionize the healthcare system through this online platform.

create a medium for managing medical services and linking the doctors to their potential patients. This helped overcome barriers such as distance, lack of knowledge about the availability of medical services and proper guidance regarding medication and which doctor to go to. We started off by creating a directory of doctors then we reached out to them with our idea. We did not contact the public sector as we felt the private sector had more of an incentive to work with us. The service that we started off with was providing doctor appointments to patients but with the passing of time, we are gradually adding more services to our list.

Can you tell us about the story behind finding potential investors? During the initial bootstrapping phase, we invested on our own. We made sure we had a business which was running by adding an adequate amount of doctors to our list and making a set of databases of patients and doctors to prove what we were doing was worth investing in. We then approached a few investors with an active business which was highly scalable. Many of them found the concept lucrative and we finally got our first venture capital investment within the first ten months of operation in September 2015.

What kind of marketing strategies has Doctorola.com been adopting so far?

At Doctorola, we believe that knowledge is the key to success. Therefore, our marketing strategies exist with a vision to increase our stakeholders by spreading awareness. We have close to nine lac followers on our Facebook page, amongst which three lac people actively communicate with us on a regular basis. We have been engaging our audience by posting new health blogs every day, written by certified doctors for the past two and half years and have recorded more than 250 medical videos featuring practicing doctors, senior surgeons, professors and so on. Our daily activities work in a two-way method by helping us spread awareness and also by building trust which is very necessary for the longevity of the business. Our next step was to establish touch points or channels, through which Doctorola could reach out to its target market. From the information published by the DGHS (Directorate General of Health Services), we figured out that almost 60% of the patients go to pharmacies

INTERVIEW DOCTOROLA

MOHAMMAD ABDUL MATIN EMON CEO, Doctorola

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I N T E R VI E W DOCTOROLA

and other unqualified providers in need of medical services. Thus, we thought to engage with the pharmacies and motivate them in referring patients to proper doctors for advices. With this objective, we got engaged with more than 4000 pharmacies in 63 districts. They all now represent Doctorola, and book appointments for their customers today. Weâ&#x20AC;&#x2122;ve also partnered up with other organization such as NGOs, banks, insurance companies and so on who mention Doctorola.com to their clients and provide them services from Doctorola, which also include discounts on various medical services countrywide. Apart from our online mediums such as Facebook, mobile app, andwebsite, we also have a call center through which almost 60% of the appointments get booked. As a part of our strategy, we also try to collaborate with other businesses that provide similar services as we believe this to be a great way of achieving new competencies at Doctorola. As far as examples are concerned Telenor Health is one of those companies on our list.

What are your social media strategies?

Our social media strategies include posting health tips, health blogs and live medical shows on Facebook that help us increase our reach. So, far our Live sessions are the most popular among our social media activities, encouraged by which, we have plans of introducing a separate brand called Doctorola.tv.

What sort of difficulties did you face in the initial phase and how well did you deal with them?

It is always difficult to convey the potential of a new idea to the stakeholders, initially. We started off with a set of only nineteen doctors, which was obviously not adequate if we needed to thrive over the long. Due to this, after three and a half months of operation, we started approaching hospitals. We tried convincing the doctors by ensuring them a greater flow of patients from our already existing queues. Now, after almost two and half years of operation we can say we have overcome that problem. Another hurdle on our way was that

WE HAVE BEEN ENGAGING OUR AUDIENCE BY POSTING NEW HEALTH BLOGS EVERY DAY, WRITTEN BY CERTIFIED DOCTORS FOR THE PAST TWO AND HALF YEARS AND HAVE RECORDED MORE THAN 250 MEDICAL VIDEOS FEATURING PRACTICING DOCTORS, SENIOR SURGEONS, PROFESSORS AND SO ON.â&#x20AC;? people initially started percieving Doctorola as a broker linking people to medical services. It took us some time to break through this perception and make people understand how we were assisting them against the mismanagement of medical services and eventually, we overcame this as well. Furthermore, since we are a startup, finance was another major constraint since the legal framework and practices of including venture capital investment is yet to be properly established in our country. Despite that, we managed to raise funds by proving our potential and credibility to the investors. This ensured further sustainability for our business.

Can it be claimed that people can expect to get reliable professional services related to healthcare through Doctorola, 24/7?

It is difficult to structure our services in a 24/7 framework, though people can request for an appointment anytime. I would like to emphasize that Doctorola cannot be regarded as a care provider or a hospital and relied upon for holistic services in the medical field. For now, we are focusing on the management of medical services delivery by automating healthcare services management in the hospitals, creating a marketplace that would provide necessary

information about doctors and help patients connect with them while providing healthcare content to spread awareness. However, improving the quality of professional services is still a future concern.

Do you have any contingencies, in case you fail to provide services in an emergency situation for a client?

First of all, Doctorola mainly operates by connecting people to medical consultation and subsequent services and not for emergency situations. Our system ensures taking feedback from our customers regarding our services. We regularly follow up on negative reviews and ensure the chances of that problem occurring again are minimized. However, it is always difficult to ensure success in every case. No proper contingency exists for the kind of service we provide thus, we always believe in a constant improvement mantra.

What kind of analytics does Doctorola maintain?

We look into how much impact we are making on the society by spreading awareness. Moreover, we also look into whether our marketing channels and activities are generating enough traffic or not. We also do consumer behavioral analysis to predict which regions have the highest demand for our various services.

Do you think the Doctorola has reached a point where you can say you're proud of your endeavor? Or do you still expect further growth before you can make that claim?

We take pride in being consistent in pushing our boundaries and always looking to improve our services. Nevertheless, we still have a long way to go before we claim to be proud of our endeavor.

How do you see your company growing over the next five years?

In the next five years, Doctorola plans on winning the trust and confidence of the people in a way that would ensure the longevity of the business. We have long term plans of becoming the main referral network in Bangladesh for treatments and help establish a system that would benefit all of us as a whole.

Interview

Food for Thought NAMIRA HOSSAIN

CEO & Co-Founder, Cookups

Namira Hossain is the CEO and Co-Founder of Cookups, a platform that markets home cooks as a community. Previously she worked as a journalist for New Age Xtra. She studied Sociology & Anthropology in Denison University, Ohio. She is also a member of Ampersand, a spoken word group and a performer with 'it's a SHE thing'. Recently, IBT got in touch with Namira to find out about how Cookups came into being and what it has planned for the future.

INTERVIEW COOKUPS

THE COOKUPS TEAM ALSO INCLUDES: MISHA ALI, FOUNDER

What inspired you to come up with Cookups?

The idea was actually our co-founder Misha Ali's. We would have lots of dinner parties which got tough on our wallets and having the same friends over meant we could not share our food with lots of people. As we started sharing our recipes on a blog, we saw that there was demand for other people to try our food and we figured a platform such as this would prove to be popular, as there are many talented home cooks in Bangladesh who could use the extra income by working from home.

Cookups is diverting a section of people who order from traditional food outlets towards home-based chefs. What kind of impact has this had on the overall food business in Dhaka so far? I don't know if it is diverting people - restaurants are still popular and will continue to be because of the experience. However, I do think Cookups is shifting the paradigm by offering something different - that is, being able to stay home, in your pajamas and have an array of delicious homemade food at your fingertips. Overall, I think this is giving people more options as it is not always healthy or affordable to eat out. Regarding the food business, I believe we are creating a market where there was none by giving opportunities to a lot of home-cooks, especially women, who have always wanted to start their own businesses and now are being able to sell their amazing food out of their own homes.

Misha started off in digital media & e-commerce with Ogilvy in New York. Most recently he headed marketing at Bikroy. His current and previous projects include Cookups, Oi Khali, the break, and the Farmers Market.

IRFAN AHMED, COO

Irfan previously he worked as a development consultant on energy and infrastucture projects. His selected projects include the Energy Efficiency & Conservation Master Plan for the Government of Bangladesh and Pre-feasibility Study for the New Deep Sea Port in Coxâ&#x20AC;&#x2122;s Bazar.

During the early stages of your startup, how well did you understand what you were doing? What kind of planning and commercial strategy did you have?

Misha has had a lot of experience, having worked for Bikroy for the last two years. However, I am completely new to this. A lot of the decisions that we made were completely ad hoc and seemed to have worked out quite well. Our primary strategy was Facebook as we already knew that people spend a lot of their time on it. Seeing the pictures of food on their newsfeeds, meant that people would be talking about it and seeing the food. It was important for us to have that kind of reach and actually utilize this social network to market our business. www.ibtbd.net

I N T E R VI E W COOKUPS

REGARDING THE FOOD BUSINESS, I BELIEVE WE ARE CREATING A MARKET WHERE THERE WAS NONE BY GIVING OPPORTUNITIES TO A LOT OF HOME-COOKS, ESPECIALLY WOMEN, WHO HAVE ALWAYS WANTED TO START THEIR OWN BUSINESSES AND NOW ARE BEING ABLE TO SELL THEIR AMAZING FOOD OUT OF THEIR OWN HOMES.” How would you describe your mission and company culture?

Our mission is to be the best online platform for buying and selling quality, affordable home-made food. We care about our cooks and our diners, and I think it shows in everything we do. We take hygiene and quality very seriously, and hence we physically check ALL kitchens before they are approved to sell on our platform. Our company is still quite new and hence our culture is still in its germination stage - however, I'd say that everybody works super hard and has fun while they're at it!

How well did you deal with any failures you faced during the initial phases? Failures are an opportunity to learn. If we failed in any aspects, then we took feedback from others on board and bounced back. It is all about resilience

and acceptance. Failures are okay; repeated failures are not.

Would you say that you’ve reached a point where you’re proud of your endeavor? Or do you still expect further growth before you can make that claim? I am proud of how far we have come, but in terms of maturity - I think Cookups is still a baby. We have taken baby steps, and we have far to go. We don't want to stop until we have expanded to all of Bangladesh, and who knows? Even the rest of Asia. I think we have a way to go yet before we start patting ourselves on the back.

How do you see Cookups growing over the next five years? What kind of direction do you foresee it heading into?

As I mentioned in the previous answer, I hope we can first expand to all of

Dhaka and then the rest of the country. But why stop there? Pinky and the Brain had the right idea - to take over the world! Good food is not limited by boundaries after all. And technology is the answer. I would like to add that we have also started another platform called Growups. This platform is similar to Cookups but it is for buying and selling produce as we want to support local growers and farmers and have access to chemical free organic produce.

What is the biggest risk for your company at this point?

One significant risk that I foresee is migrating people to our app and off Facebook. I really think it is about empowerment, if we can make people understand that our aim is to empower them through the use of technology, then I believe we will be alright.

Interview

Enriching the Minds of the Future By Ishrat Jahan

AYMAN SADIQ

Founder and CEO, Robi 10 minute School

Robi 10 Minute School is a platform that exists to provide students with a virtual world where they can get easy access to learning materials which can help them grow and prosper, free of cost. Ayman Sadiq is the Founder and CEO of the organization. Formerly a teacher at Mentors, the IBA graduate is now ready to develop his vision of creating an education platform which will put the needs of the countryâ&#x20AC;&#x2122;s students first. Speaking to IBT, he detailed the story behind the inception of his startup and where he aims to take it.

INTERVIEW ROBI 10 MINUTE SCHOOL

Where did the investment for your endeavor come from?

LATER ON IN 2016, AFTER GRADUATING FROM MY UNIVERSITY, WE GOT OUR FIRST SPONSORS. FROM THEN ONWARDS WE ARE BEING FUNDED BY ROBI AXIATA LIMITED WHILE BEING SUPPORTED BY THE ICT STATE DIVISION. “

What interested you in launching a startup based on the education sector?

Well, I was in a jittery situation at the beginning of my IBA life. The transition from a science background to commerce made me feel like a fish out of water. Failing in my attempt to understand accounting, I searched for online solutions for the books which eventually helped me score well in my courses. My progress was what inspired me to think about a generation that was lagging behind in their education due to numerous constraints in the current systems. I realized these students needed a helping hand. Back then, I also used to teach at an institution called Mentors, and my increasing popularity as a teacher inspired me to go into teaching. I found out that there were around 13 lac candidates who stood for Higher Secondary Examination (HSC) in our country. However, only fifty thousand seats were offered in the public universities. I realized that a huge chunk of students coming from distinct geographical locations like Rangamati, Khagrachari and so on, were deprived of educational facilities. Financial limitations, being another hurdle, meant that their higher educational needs would remain unfulfilled. All this led me to dream of an education system that would eliminate these constraints and help reach out to a significant part of the population by providing content over an online platform, giving them easy access to education, free of cost. This platform stands as 10minuteschool.com today.

Similar to the majority of startups, the initial investment for 10minuteschool.com came from my earnings from teaching students. Through this bootstrapping phase, the initial outline of the endeavor was built. Later on in 2016, after graduating from my university, we got our first sponsors. From then onwards we are being funded by Robi Axiata Limited while being supported by the ICT State Division.

What can you tell us about your team?

We have a humongous core team of around fifty-two members working relentlessly towards reaching our goals and it is the never ending efforts of this team that keep it running. Apart from that, we have seventeen interns working with us and a pool of around thirty freelancing writers helping us out with the blog. Overall, it can be said that we have around a hundred people working for us, the most interesting fact being that they are all students. It was unexpected to have come this far with a team entirely consisting of students, but their efficiency is what stands behind our two and a half years of success.

What can you tell us about the achievements of 10minuteschool.com so far?

We’ve received numerous national and international awards over the last two years. Amongst the national ones, there is the BRAC Manthan Award, YSSE Impactful Project of the Year Award, the Swiss Embassy Award for Social Impact, DYDF Award for being a Youth Icon and the Slush Regional Winner award. International accolades include the Special Mention in the GIST Tech-I at Silicon Valley. However, our biggest achievement was winning the Best Innovation in the Education Category at the World Marketing Congress in Barcelona this year. We also have three YouTube accounts for 10minuteschool.com. The first one being ’10 Minute School’ with a hundred and sixty thousand subscribers. Our second channel, ’10 www.ibtbd.net

I N T E R VI E W ROBI 10 MINUTE SCHOOL

Minute School LIVE’, is the fastest growing one amongst all three with a hundred and twenty thousand subscribers in less than a year. We will be receiving the Silver Play button for both these channels. The third one is my personal channel called ‘Ayman Sadiq’ which also has around seventy thousand subscribers. As a whole, we can proudly say that we stand second in Bangladesh as far as cumulative subscribers are concerned.

What is 10minuteschool.com doing to improve its social media presence?

At 10minuteschool.com we always keep the needs of our students at the core of our operations. I would like to mention, we have a set of brilliant communities handling four of our existing pages on Facebook. Our ’10 Minute School Live’ group is one of the most active ones in the country right now with around 4 lac followers. We also have a live group for BBA and MBA recruitment tests and another group called ’10 Minute School English Language Club’. A lot of people tell us about their needs in these groups. Initially, the teachers used to respond to the queries which then moved on to the moderators. Now, the system has been built is such a manner that the questions are being answered by the community itself. Since we have a minimal marketing budget, we don't invest in ads on a big scale. Rather we post updates about our live classes in these groups and the community does the work by sharing the posts on their respective school or college pages. So, it can be said that creating the community was the biggest strategy behind the success of 10minuteschool.com so far.

What is the demand and supply of this kind of service in the market?

The demand is excessive at the moment. However, if you think from the target group perspective, we still haven't been able to cater to their needs entirely. At the moment we are only catering to the needs of Class Eight and above, which leaves us with the unfulfilled demands of Class Seven and below. We do have plans to accommodate their needs in the future, but currently we are focusing on our existing modules.

AT THE MOMENT WE ARE ONLY CATERING TO THE NEEDS OF CLASS EIGHT AND ABOVE, WHICH LEAVES US WITH THE UNFULFILLED DEMANDS OF CLASS SEVEN AND BELOW. WE DO HAVE PLANS TO ACCOMMODATE THEIR NEEDS IN THE FUTURE, BUT CURRENTLY WE ARE FOCUSING ON OUR EXISTING MODULES.” What difficulties did you have to go through to bring 10minuteschool.com this far?

Initially, we had to face a lot of challenges from the inception to the implementation stage of the idea. We went to a web development firm for creating our website which ended up delivering nothing after six months of waiting. I figured since I was only a student back then, nobody took my work seriously, and I lost a lot of money in the process. Then, I finally realized I need technical knowledge to move forward. Thus I decided to learn web development myself by doing a few courses on HTML, Java Script, CSS, and WordPress. Therefore, it can be said that we had our fair share of ups and downs before we could launch 10minuteschool.com.

What kind of analytics is 10minuteschool.com looking forward to?

Bangladesh right now consists of 1.7 lac educational institutions amongst which, we are connected to around eighteen thousand through digital

labs. We have signed a tri-party agreement with Robi Axiata Limited and the ICT State division to create Sheikh Rasel digital laboratories in such educational institutions. Each lab consists of around seventeen computers with the infrastructural support being provided by the ICT State Division, internet support by Robi Axiata Limited and content by 10minuteschool.com. Our plan regarding our KPI is to get connected directly with these 1.7 lac institutions by the end of 2021.

In the era of startups, what makes 10minuteschool.com stand out amongst other similar start-ups?

First of all, we never had the intentions to make money out of our contents but help people. We also had a lot of investment opportunities that we decided not to take and even eliminated the sign-up barrier, to keep our content free of cost for everyone. I think these are the things that make 10minuteschool.com stand out amongst similar start-ups.

What is the biggest risk for your company at the moment?

There is no doubt that 10minuteschool.com is growing rapidly. We are making and delivering content in the fastest way possible. Hence, the biggest question marks arise from being able to maintain the long term sustainability of our operations. However, to ensure the longevity of our services we are working towards creating a long term sustainability plan with the ICT State Division and Robi Axiata Ltd.

Where do you foresee 10minuteschool.com to be in the next five years?

In the next five years, we envision 10minuteschool.com to be directly connected with 1.7 lac educational institutions all over Bangladesh. Our content being used by 4 lac students directly and also, other people who are outside the education system taking help from what we’ve created. Over the course of time, we even plan to provide the students with activities like learning arts and crafts, music and so on through our channels which will be needed to shape them as a proper human beings.

Special Report

Bridging the Infrastructural Gap in Bangladesh By Nasirra Ahsan

The results for Mercer’s ranking of the cities with the best ‘Quality of Living’ has left many surprised. Singapore being ranked as the city with the best infrastructure along with one of the best ‘quality of living’ in the world was not predicted before long. Mercer, a top consultancy firm surveyed 231 cities for their 2017 ‘Quality of Living’ rankings. It mostly evaluated the countries based on criteria such as political stability, health care, education, crime rate, transport, and so on. However, this year ‘City Infrastructure’ was ranked

separately. The City Infrastructure helps many multinational companies (MNC) determine where to open their offices next and assists them to relocate their expats. Other factors that are considered in this survey include traffic congestion, international flights available from local airports, access to transportation, reliable water, energy supply, and so on. All these help determine the hardships faced by the assignee given their home and host locations. Singapore passed the survey with flying colors. It ranked 25th in the Quality

of Living and first in City Infrastructure. The city prides itself in meeting all the criteria set by Mercer for winning the first place in the City Infrastructure list. Frankfurt and Munich were tied for second place whereas, Baghdad (230) and Port-au-Prince (231) are at the bottom of the list. Moreover, a well-developed infrastructure is a key competitive advantage for cities who are trying to attract MNCs and foreign direct investment. This has led the city and urban planners to take a close look at their cities ranking. According to an article by

World Economic Forum (WEF), South-Asian countries need trillions of dollars’ worth investment in infrastructure. Both public and private funding will not suffice, ultimately affecting public welfare as well as economic prosperity. This isn't any different in the case of Dhaka, Bangladesh. ‘In the WEF’s Global Competitiveness Report of 2009-2010, Bangladesh ranked at 126th, far behind its South-Asian neighbors India (49th), Sri Lanka (79th) and Pakistan (101st).’ Despite, being hailed as the top 12 developing countries in the world, the

MERCER, A TOP CONSULTANCY FIRM SURVEYED 231 CITIES FOR THEIR 2017 ‘QUALITY OF LIVING’ RANKINGS. IT MOSTLY EVALUATED THE COUNTRIES BASED ON CRITERIA SUCH AS POLITICAL STABILITY, HEALTH CARE, EDUCATION, CRIME RATE, TRANSPORT, AND SO ON. HOWEVER, THIS YEAR ‘CITY INFRASTRUCTURE’ WAS RANKED SEPARATELY. “

Bangladesh’s infrastructure has not seen any benefits of the high growth levels yet. Its infrastructure is crumbling under the heavy demands of the ever growing economy. “Access to basic economic infrastructures such as roads, communication, electricity, ICT, energy, power, water, and sanitation remains a strategic challenge on the way to industrialization and poverty alleviation.” Thus, it came as a surprise when the government’s fund allocation for infrastructure was announced as a part of the overall Annual Development Fund for 2017. In the past, constructions were based on issues such as sanitation or flooding. This meant that the previous governments focused only on one type of infrastructural project at a time which neglected the overall

IN FACT, IT FELL FROM 35.3% OF THE ANNUAL DEVELOPMENT FUND IN 2012 TO 32.1% IN THE FISCAL YEAR 2014. THE CONTRIBUTION OF THE INFRASTRUCTURAL SECTOR TO THE GDP IN PERCENTAGES IS SHOWN BELOW.

www.ibtbd.net

impact of the other infrastructural projects, on government as well as environmental policies. Thus, in order to avoid such bias, the policy makers need to be more vigilant. As it happens, in the Chicago Forum on Global Cities it was agreed that solutions for such problems would be better dealt at the municipal and the regional-level policymakers than national government. However, rather than being reactive, future infrastructural designers will need to be proactive to ensure sustainability. It is also predicted that by 2050, some 600 million people will live in the world's 25 largest cities, none of which are in the European Union. On the other hand, another 40% of the global population lives in coastal areas, and much of the large-scale devastation in these areas is due to hurricanes and typhoons. Issues of inadequate transport sector, unsustainable real estate planning and power shortages are also matters that need to be addressed immediately. The Vision 2021, plans to deliver on these three points over the next four years. Here's a breakdown of the above mentioned three sectors according to the manifesto provided by the planning commission.

TRANSPORT: Roads: With roads drawing overwhelming attention, efforts are being given to upgrade old roads and constructing new ones. National Highways are thus being prioritized. ‘The Dhaka-Chittagong Highway (NH1) is to become a six-lane road while the other highways should gradually become four-lane by 2021.’1 Moreover, to ensure adequate number of

east-west connections, it is hoped that the Padma Bridge will serve the southwest part of Bangladesh and improve the connection between Mongla Port and Dhaka. Efforts will be made to construct the second Padma Bridge during the Perspective Plan Period as well. Railway: This is thrust sector for the transport industry. Strategies in this sector include increasing market share in freight and container transport between Dhaka-Chittagong Port and in passenger transport as well. Port and Shipping: The Maritime transport sector is crucial for the development of Bangladesh. Thus some of the strategies listed will help to improve the navigational channel through capital dredging and regular maintenance dredging. Improvement of operations through the acquisition of modern container handling equipment and procurement of harbor crafts and vessels along with the establishment of inland container depot for all cargo distribution points are also in line.

ENERGY: After being neglected in the past, the country is experiencing an energy crisis. Present challenges faced by this industry include coping up with the demand and supply for energy, economizing consumption of natural gas and promoting renewable energy. The aim is to provide

electricity for all by 2021. Hence, the objective is to Increase the reserve base and production of gas through accelerated exploration, appraisal and development of gas fields. Also, a lot of focus is being put on the prospects of hydro-electricity (in co-operation with Nepal, Bhutan and India) and to set up coal-powered fire stations in Sundarban.

URBANIZATION: All the major cities in Bangladesh are experiencing rapid rural-urban migration. This puts huge pressure on the cities to provide basic necessities like food, shelter, employment to the large number of people including the migrated ones. With the limited resources at their disposal this becomes quite a challenge. With such rapid migration rates, policies need to be designed accordingly. These are some of the action plans for dealing with this problem: Patterns and Process of Urbanization: ‘The primary focus will be to achieve a more balanced distribution of urban centers in terms of population size, employment opportunities, housing and essential infrastructure and services.’ 2 Urban Environmental Management: Policies in this area seek to promote

cleaner environment, control pollution and protect public health from environmental hazards. Emphasis will be given on two major sector: preventive actions and inter-disciplinary approach. Both these points focus on preventing further environmental degradation. Urban Housing: ‘Access to affordable urban housing is an increasing problem in the country as population pressure increases and prices of land and construction costs rise. The policy in this respect is to bring about improvement in the housing situation in terms of quality and quantity of housing units, housing tenure and housing accessibility’ Urban Land Management and Planning: The aim is to promote sustainable land-use planning and innovative land management practices, with the objective of providing for the land requirements for urban development while keeping environmental factors in mind.

1. http://www.plancomm.gov.bd/ wp-content/uploads/2013/09/ Perspective-Plan-of-Bangladesh.pdf 2. http://www.plancomm.gov.bd/ wp-content/uploads/2013/09/ Perspective-Plan-of-Bangladesh.pdf

GROWTH OF URBAN POPULATION IN BANGLADESH IS GIVEN BELOW:

Source: The Perspective Plan of Bangladesh, 2010-2021. General Economics Division, Planning Commission.

International Trade

Adding More

Fruits to

the Basket

By Faaria Tasin

HOW IMPORTANT IS EXPORT DIVERSIFICATION? Export earnings are the largest source of foreign exchange in Bangladesh and a critical driver of the economic growth. In Fiscal Year (FY) 2016, earnings from total exports amounted to $34 billion which is approximately 16% of the GDP of Bangladesh. If we take a look at the export basket of the country, we can perceive that over 96% of all exported goods are manufactured products. By examining the top five manufactured goods, it is observed that Bangladeshâ&#x20AC;&#x2122;s export basket is predominantly dependent on the RMG industry â&#x20AC;&#x201C; contributing to 82% of total exports in FY 16. A high reliance on RMG makes the industry and hence, the economy, extremely vulnerable to external shocks. Moreover, domestic shortfalls and competition from rival countries also pose a serious threat to the growth and sustainability of the industry.

INTERNATIONAL

TRADE

ADDING MORE FRUITS TO THE BASKET

Many may think that low minimum wages in the RMG industry provide a competitive edge against other countries; however, it is vital to remember that the country has low productivity growth in the sector and low wages alone are not adequate to maintain the sustainability of the RMG sector. To reduce the dependency of the economy on the RMG sector, the process of ‘export diversification’ can help. This occurs when new products are introduced, or the share of other products are increased in the export basket. Export diversification can also be geographical – where products are exported to new emerging markets, hence increasing the overall export earnings of the country. The RMG industry in Bangladesh has had tremendous growth since the 1980s as shown in Figure 1; with an export of a meager $0.7 million in FY 1980, the country has managed to increase it to $28 billion by the end of FY 2016. The industry employs 4 million workers out of which 80% are women. Currently, the Bangladeshi RMG sector has a comparative advantage in two areas, namely, high capacity and low wages. Bangladesh’s apparel industry has a total of 5,600 factories, putting it ahead of countries like Indonesia (2,450 factories), Vietnam (2,000 factories) and Cambodia (260 factories) in terms of capacity.

Increase of Exports over time (in billion US$)

Figure: 1; Source: EPB

The other factor - low wages, may not be a sustainable competitive aspect of the country’s RMG industry. The minimum wage in the industry increased in 2013 by 77% – from Tk. 3,000 ($37.5) to Tk. 5,300 ($66) a month. Although the minimum wage in Bangladesh remains lower than India, Pakistan, Indonesia, and Vietnam, the rise in wages lead to a change in the comparative advantage the country has against its competitors. Similarly, in the face of a wage hike, countries with relatively lower wages will pose as more of a threat for the domestic RMG industry. For instance, some nations in Africa such as Ethiopia has minimum wages which are as low as $23 a month. Moreover, African

TO REDUCE THE DEPENDENCY OF THE ECONOMY ON THE RMG SECTOR, THE PROCESS OF ‘EXPORT DIVERSIFICATION’ CAN HELP. THIS OCCURS WHEN NEW PRODUCTS ARE INTRODUCED, OR THE SHARE OF OTHER PRODUCTS ARE INCREASED IN THE EXPORT BASKET.”

countries enjoy the benefit of zero duty to the United States under the African Growth and Opportunity Act whereas Bangladesh has to pay a tax of 15.6%. In 2013, Africa’s apparel export to the US was a fifth of that of Bangladesh’s so it may not be a surprise if Africa takes full advantage of their zero duty opportunity and surpasses Bangladesh’s position in apparel export to the US. Higher productivity in the RMG industry can help to negate the effects of rising wages. However, productivity has increased slightly in the country’s RMG industry and needs urgent attention. Figure 2 shows the productivity of the Bangladeshi RMG industry and its competitors, compared to the productivity of China. India operates at a productivity that is 92% of that of China’s, and Bangladesh runs at 77%. This is lower than Pakistan by 10% points. Standard economic theory reveals that wages should be dependent on the productivity of labor, however, in Bangladesh, wage increases mainly took place after being pressurized by workers and the international community following tragic events such as the Rana Plaza collapse. A McKinsey report in 2011 advises that it is crucial for the industry to improve productivity not only to lessen the effects of rising wages but also to close the productivity gap that exists between Bangladesh and its competitors. This is vital in upholding the competitiveness of the industry against a spike in wages. www.ibtbd.net

I N T E R N AT I O NAL

T R ADE

ADDING MORE FRUITS TO THE BASKET

Geographical diversification of exports can take place where products are shipped to new international markets. In the case of RMG exports, we can see that in FY 2009, 93% of Bangladeshi RMG exports went to the traditional markets – i.e. USA, EU and Canada. However, we can note that this pattern is changing as the proportion of RMG exports are increasing to the emerging economies. RMG exports in emerging economies have increased from 7% in FY 2009 to 15% in FY 2014. This is depicted in Figure 3. Cash incentives by the government have played a prominent role in encouraging geographical diversification of markets in the RMG industry. Cash incentives of 5%, 4%, and 2% were given in FY 2010, FY 2011 and FY 2012 for exporting to new destinations.

Labor Productivity - %age of productivity in China

Figure: 2 Source: McKinsey Report

A MCKINSEY REPORT IN 2011 ADVISES THAT IT IS CRUCIAL FOR THE INDUSTRY TO IMPROVE PRODUCTIVITY NOT ONLY TO LESSEN THE EFFECTS OF RISING WAGES BUT ALSO TO CLOSE THE PRODUCTIVITY GAP THAT EXISTS BETWEEN BANGLADESH AND ITS COMPETITORS.”

Export diversification can help in this regard. New products can be introduced to the export basket, and the export of existing products can be increased as well. The example of leather and engineering industries can be taken; we can see that these industries have exhibited double digit annual average growth rates of 27% and 11%, respectively. An important thing to point out is that the protection system that currently exists in Bangladesh makes it easier to cater to the domestic market rather than exporting. An anti-export bias is present which allows suppliers to make more profit by selling their products locally rather than exporting. The RMG industry has been able to overcome this problem with the help of several methods such as back-to-back L/C for import finance and bonded warehouse system for inputs that are imported free of duty.

TOP 5 MANUFACTURED EXPORT GOODS IN BANGLADESH, FY16 Manufactured Goods

Share in total exports (in %)

Avg annual growth rate FY11-FY16 (in %)

RMG Leather & Leather products Jute & Jute goods Home Textile Engineering Products

82 3.4 2.7 2.2 1.5

9 27 -4 -1 11

Source: Export Promotion Bureau

Figure 3: Export Diversification on the way

RMG exports in FY09 7%

93% Traditional Markets Emerging Markets

RMG exports in FY14 15%

85% Traditional Markets Emerging Markets Source: EPB Some experts believe that the economy’s heavy dependency on the RMG industry may make it vulnerable to international shocks; however, shocks such as global financial crises are likely to have minimum effect on Bangladeshi RMG exports. To put this in context, let us take the case of the USA, which is Bangladesh’s largest export partner. The share of Bangladesh in USA’s total imports was about 0.2% in 2016, which depicts the vast size of the world market that Bangladesh can take the

I N T E R N AT I O NAL

T R ADE

ADDING MORE FRUITS TO THE BASKET

PHOTO PROVIDED BY DBL

opportunity to sell its products to. However, international financial crises may reduce export earnings in the short-run as Bangladesh is a price-taker in the global market and such crises create pressure for reduction of the price of output. This can result in a decrease in export earnings, despite the total volume of garment export remaining unchanged. A developing country like Bangladesh will be affected by a fall in export earnings even in the short-run as economic growth of the country is largely dependent on exports. In such cases, diversification of markets can significantly help. The brunt of financial crises in the US or EU will be relatively less in the emerging markets than in those countries. Thus export earnings from emerging economies may not decline for Bangladesh.

Bangladesh has the potential to engage in manufacturing labor-intensive products as it has a high endowment of labor. However, it is essential to address problems such as lack of infrastructure and energy, land acquisition; political stability is crucial as it gives a signal to international buyers of an uninterrupted flow of production and hence, reliability. As exports are one of the main drivers of growth, it is crucial to promote it and increase foreign earnings. Export diversification, both in terms of products and markets can help significantly in increasing overall exports and hence aid the country towards achieving high economic growth. The writer has completed MSc in Economics from SOAS, University of London and can be reached at faaria.tasin@gmail.com

Retail

YELLOW’S SUCCESS

In Conversation with

IFTEKHAR MALLICK

Senior Marketing Manager, YELLOW

We live in a time where trends and tastes change constantly, what precautions does Yellow take to stay on top of everything?

Internationally, there are research organizations and analysts who forecast coming trends. We’re associated with a couple of the most renowned ones. However, it doesn’t give the full production confidence since most of our business is based in Bangladesh. We routinely test new concepts and talk to the customers before selecting designs and patterns for a season.

What are 3 other major challenges Yellow faces in the fashion industry (other than changing tastes)? How is Yellow handling them?

AT YELLOW, WE ALWAYS LOOK FOR INNOVATIVE IDEAS. WE INTRODUCED E-COMMERCE, LOYALTY BASED CRM PROGRAMS, AND DIGITAL MARKETING EXPANSIONS IN BANGLADESH’S FASHION INDUSTRY. “

Challenges make business interesting and the nature of the challenge changes with the business cycle. The challenges that we faced 5 years back may not exist today. These days, brands are thriving for increasing the loyalty base and coping up with new technologies. At Yellow, we always look for innovative ideas. We introduced e-commerce, loyalty based CRM programs, and digital marketing expansions in Bangladesh’s fashion industry. Lately we worked on an interesting project, Yellow’s Shop on the Move which is the 1st Pop-Up Retail Store of South Asia.

With so many new brands emerging in Bangladesh right now, how is Yellow dealing with the rising competition? What’s its main strategy for this scenario?

It gives us immense satisfaction that the business model that we introduced in 2004 has now become so popular that it formed a very important industry. Competition is very helpful for any brand, I’d say. It drives brands to exceed their current performances.

What sets Yellow’s retail outlets apart from other clothing stores? We don’t like to dwell on such comparisons as the industry standard hasn’t developed properly yet. When it comes to design a store we always think about giving the customers an international retail experience in terms of ambiance, service, and after sales service.

How would you describe the current scenario in the fashion industry? How important is it for us to make our presence known in the global market regarding the quality of the fashion brands here?

The availability of internet has now removed many geographic restrictions. Being located in Dhaka you can see what people are wearing in Milan. People are now more aware of their fashion demands than they were ever before. This is a very important clue that this industry will have a true sustainable growth. Competing with foreign brands is something very new for this industry. It also has dependencies on external factors like national brand image, international law, etc. I think the industry still has miles to walk to penetrate international market with strong forces. Yellow made its first international store in Pakistan back in 2005. After that we opened 3 more stores in Pakistan and 1 store in Algeria. We also participated in many significant fashion events including International Textile Fair- Dubai, Jakarta Fashion Week- Idonesia, and South Asian Fashion Expo-Pakistan.

Interview

SHAHRIAR RAHMAN

Country Manager, Kutumbita

ver since the Rana Plaza collapse, RMG manufacturers have grown increasingly cautious and the risk in the industry has reduced. Now, top compliant manufacturers are focusing on the well-being of their workforce by engaging with them in dialogues, training and even with session on their rights. This is where Kutumbita changes everything. Kutumbita is a tech startup headquartered in Singapore that focuses on empowering workers in the garments industry through an application designed to foster communication between employer and employee in firms which are too large for traditional communication channels. Kutumbita's product is an Android app, a channel which

www.ibtbd.net

I N T E R VI E W SHAHRIAR RAHMAN

THROUGH THIS APP, A MANUFACTURER OR COMPANY OWNER CAN STREAMLINE THE COMMUNICATIONS PROCESS AND INCREASES EMPLOYEE ENGAGEMENT BETWEEN DIFFERENT LEVELS OF A FACTORY.â&#x20AC;?

workers can use to voice their complaints and concerns to their employers, while a check-and-balance system ensures the employers act on the issues raised by their employees. This helps the management create the means for clear and equitable communication despite the size of the workforce and address the major issues in the garments sector in Bangladesh â&#x20AC;&#x201C; from labor unrest to work-related grievances. While reporting a problem, such as the common occurrence of a blocked fire exit, the workers can attach images to better identify the problem and provide photographic evidence. Kutumbita is working on allowing users to upload video and audio along with complaint reports in an upcoming version. In short, Kutumbita tackles the challenge of logging grievances from a large non-desk worker population. Because of Kutumbita's role in digitally empowering the workers, apparels manufacturers can now acquire better rating for their factories and yield more revenue in the long run while giving their workers access to a platform which is designed to boost productivity and job satisfaction. IBT spoke to Shahriar Rahman, the Country Manager of Kutumbita in Bangladesh to get an inside-out look into their work.

How is Kutumbita doing?

It was a great quarter for us last year. From our first deployment we gathered feedback from the field, and now we are incorporating them into our next version of the app. It is not an unknown fact that factory employees often have trouble communicating with the management and vice versa. Through this app, a manufacturer or company owner can streamline the communications process and increases employee engagement between different levels of a factory. So basically, we are uniquely solving the problem that has been persisting for ages.

What is the feedback from the market?

In a word, phenomenal. We have been receiving great feedback from the market. The brands, the buyers, the manufacturers, the auditors and global partners. The Daily Star did a story on us, and it was later picked up by most prominent dailies of France, Czech Republic, Singapore, and Switzerland. In addition to that, we have received numerous accolades from many brands, manufacturers, bodies and International organization working in this sector.

INTERVIEW SHAHRIAR RAHMAN

KUTUMBITA FACILITATES TWO-WAY COMMUNICATIONS BETWEEN WORKER AND THE MANAGEMENT WHICH INCREASES THE TRUST AND CONFIDENCE OF THE WORKFORCE.“ application and grievance processes, industries can reduce overall operational costs up to 25%. Centralization through Kutumbita allows HR departments to monitor and comply almost the social audits. This in long-run will make continuous improvement a priority. Turn your data into an asset by harnessing new opportunities. That, in turn, leads to smarter business moves, more efficient operations, higher profits and engaged workforce.

Currently how many factories have you deployed this app in? So far we have used our app in four factories. Three more factories are in the pipeline for deployment. We are seeing more and more factories signing up for Kutumbita, but we are deploying the app on a rolling basis.

Why do you think the garments manufacturers are going to opt for Kutumbita?

It’s really simple: the value this app is adding to your business - it alone is good enough reason to go for this app. To be even precise, we have made our app in such a way that it can ensure compliance in the factory which no factories could. Higg Index, a parameter set by Sustainable Apparel Coalition, was kept in mind when we were developing this app. So, with this app fully deployed in a factory, the manufacturers can opt for up to 32 points in Higg Index.

What are the other benefits of using Kutumbita?

Kutumbita helps your workers spend less time managing their schedule and more time being productive. It brings their schedule to life and makes it easy to see what’s ahead. Kutumbita makes sure your workers are well informed about their rights and responsibilities. Informed employees equal more productive employees. Kutumbita facilitates two-way communications between worker and the management which increases the trust and confidence of the workforce. With streamlined & centralized

Most shop-floor workers don’t have smartphones. How are you planning to bring them onboard?

Before launching Kutumbita, we have researched a lot about the TG, the industry, their behavioral pattern. From the study, we gained valuable insights about their livelihood, and from that, we developed several packages with top handset brands and operators particularly to cater this TG the shop-floor workers. The garments management can opt in for those packages if they want to, to deploy the app. We have a proven systematic process of deployment through which we can ensure maximum deployment in the shortest amount of time. www.ibtbd.net

Interview

A Step Towards the Automation of Services By Ishrat Jahan Behind the backdrop of economic instabilities, financial institutions like LankaBangla have contributed much to the development of the tertiary sector in Bangladesh. In its twenty years of operations so far it has managed to make a significant impact in the financial sector of the country. The financial institution, with its immensely efficient Information and Communication Technology department, plans to elevate the level of customer service in the country with the use various technological tools that are currently easing out ways worldwide. An interview with the ICT Head and one of the Vice Presidents of the company, Sheik Mohammad Fuad, revealed some valuable insight about the IT operations of the firm.

SHEIK MOHAMMAD FUAD

Head of ICT, LankaBangla Finance Limited

INTERVIEW SHEIK MOHAMMAD FUAD

What sets the systems being used at Lanka Bangla apart from those at other financial institutions?

WE HAVE A USER FRIENDLY, SECURED WORK ENVIRONMENT WHERE PEOPLE LOVE TO USE ALL TECHNOLOGICAL TOOLS TO MAXIMIZE BENEFITS. WE ARE PRACTICING MEETINGS, APPROVALS, DECISIONS, INSTRUCTIONS AND ETC. ALL OVER EMAIL AND VIDEO CONFERENCES TO SAVE TIME AND CREATE A PAPERLESS ENVIRONMENT. “

As the Head of Information and Communication Technology, what are your most essential duties at Lanka Bangla Finance Limited?

In this tech savvy generation, ICT has a major role in any business nowadays. As an IT Head, my role mostly revolves around strategic direction, budgeting and planning, meeting regularitory compliances, and maintaining a secure ICT infrastructure. Also corresponding with vendors to enhance the application as per business requirements. The monitoring of running projects also takes up part of my time.

What are your thoughts on the state of IT infrastructure at major financial institutions in our country?

I feel like the ICT infrastructure in many major institutions is yet to be developed and maintained properly. It is not always about creating an infrastructural support but also about nurturing it. We should focus on service stability where customer service is at the core of everything. The ICT infrastructure needs to be implemented on a planned duration and updated on a regular basis to maintain a healthy relationship with the consumers. Customers need to be kept updated on the service we provide and also consider customer feedback for further improvement.

Well, there is a list of things that do set our systems apart, comparatively. Firstly, the operating systems in all the computers used in our organization are licensed for the prevention of security threats and also to be compliant. Secondly, our Core Banking Solution software implemented in the year 2012, gives us an edge when it comes to the delivery of customer services in this competitive era. LankaBangla have its own Credit Card Management Switching software from the very beginning. We understand the value of time and have thus adapted to the Enterprise Resource Planning (ERP) software to automate the manual functions of our human resource and reduce both process and lead time to deliver our services faster. We are also the first one amongst other NBFIs to come up with the idea of building a contact center. Since 2014, we have a single-digit contact number 16325 taken from BTRC which is used by more than twenty five agents to respond to consumer queries 24X7. We also have implemented Disaster Site (Phase I) located outside Dhaka to run operation on unavailability of D.C. Moreover, we were amongst the first ones to launch a mobile app ‘FinSmart’ to help connect with our consumers in a better way. Also, we plan to roll out the concept of a digital branch, website and social media itself will perform as a branch responding to customer needs. Lastly, we have also put into use the Microsoft Exchange server for communication. All these as a whole differentiates us from the other major financial institutions.

What kind of IT related culture have you set up at Lanka Bangla? What are some of the possible negative consequences of failing to develop, implement and nurture such a culture? As LankaBangla’s human resources are very young and energetic and happy to adopt all technological tools to enhance effeciancy, minimize process time and increase productivity. We have a user friendly, secured work environment where people love to use all technological tools to maximize benefits. We are practicing meetings, approvals, decisions, instructions and etc. all over email and video conferences to save time and create a paperless environment. There is a major role for users as they have to follow procedures properly with dedication. Failing to do so may increase TAT, miscomiunication, decrease internal efficiency and interrupt customer services, thus will impact the overall business.

What preventive measures have you taken to safeguard your company from cyber security threats?

At LankaBangla, we prevent any cyber threats from hampering our systems using three ways. The network level is protected by access lists and the application level is protected using password policies, disallow scripting language with remote execution. Our third level, known as the host level, keeps the OS updated and is protected by a centralized anti-virus. We also need to be concerend about internal threats which are exposed either, intentionally or unintentionally. Hence, we always try to spread awareness amongst our employees regarding new threats and other such matters via awareness programs that take place on a regular basis.

www.ibtbd.net

Interview

The Sky is Not the Limit By Nasirra Ahsan

BRAC Onnesha, the first nano-satellite made by a Bangladeshi university, was launched into the space from Kennedy Space Center in the USA recently. Onnesha denotes search or exploration in Bangla. The nano-satellite will allow high quality photographs of land to analyze vegetation, urbanization, flood, water resources, forestry and other natural resources from its overhead view. Most of the photographs will be used for research purposes. IBT spoke to Satellite Operation Engineer, Md. Mojammel Haque Shourobh to find about the origins of this groundbreaking project.

MD. MOJAMMEL HAQUE SHOUROBH Satellite Operation Engineer BRAC Onnesha

INTERVIEW MD. MOJAMMEL HAQUE SHOUROBH

“OUR NANO-SAT CAN ONLY PICK UP 10-MINUTES OF DATA WHEN IT IS PASSING OVER BANGLADESH BUT VIA OUR CONNECTION TO THE OTHER STATIONS, WE WILL BE GETTING 70 MINUTES WORTH OF FEEDBACK DATA.”

Firstly, congratulation on the successful launch of the nano-satellite. Can you tell us a little about the nano-satellite and what it hopes to achieve for Bangladesh?

The nano-satellite was the first of its kind in Bangladesh and is a matter of great pride for our country. Our main objective was to achieve technology transfer. We can now create our own nanosats and control the ground station, to name a few things that we have learned through this project. The nano-satellite (nanosat) was developed using Japanese technology as part of the effort from the joint collaboration with Kyushu Institute of Technology and BRAC University. The satellite was designed, developed and implemented by the three BRAC students - Abdullah Hil Kafi, Maisun Ibn Monowar and Raihana Shams Islam Antara. Even the project management was in the hands of the students. The nanosats are designed keeping specific missions in our minds. One of them is playing the national anthem using digital signals and will be received by all through a simple HAM radio. Another function of this nano-sat is to keep track of possible possible floating charges. Even within our ionosphere, there are some floating charges which enter our planet, say during times of solar flare. These can have negative impacts on any electronic device which uses some solid state

memory. Even though this is not a major problem in Bangladesh yet, it can have an adverse impact on the server systems. This can be catastrophic for companies like Google or Facebook, for whom a change in their memory can prove to be disastrous. But these floating charges are more common in space, far above the 400 km of ionosphere. The nano-sat has been equipped to check the effect of these floating charges on the circuits. Moreover, even though we control only one ground station, we are connected with 7 others. We can connect with the other ground stations and download data from them. Our nano-sat can only pick up 10-minutes of data when it is passing over Bangladesh but via our connection to the other stations, we will be getting 70 minutes worth of feedback data.

magnetic fields and other forces which together make up what is called space weather?

What are the future plans for BRAC Onnesha after this?

This project would not have been possible without government intervention. The project was started in an effort to further our efforts in launching Bangabandhu Satellite 1. Our project has been licensed by the government and also has received government permission to progress. One of the difficulties we faced was the transfer of money for the launching of the satellite. Its not an easy task to send money out from Bangladesh. But our government was with us in every step of the way. Even now, if there are any issues with any paperwork, we receive immediate attention from all government agencies. Even government organizations have reached out to us. BTRC’s (Bangladesh Telecommunication Regulatory Commission) Chairman, Dr. Shahjahan Mahmood has greatly appreciated our efforts. During the launching ceremony, we were visited by the Minister of Science and Technology, Yeafesh Osman, who also commended our efforts. In short, we were supported throughout by the government to make this project successful.

I believe, that this question would be more fitted for BRAC University to answer. But if I were to speak on behalf of the satellite makers, they have a more ambitious plan in their mind. This nano-sat was designed by Bangladeshi students and they are hoping that the next would be ‘Made in Bangladesh’. Thus our future plans would be to make a nano-sat here in Bangladesh. For the next projects we are hoping to attract private investors. In most foreign countries these projects are aided by external funds, so we are hoping to start a trend of inviting private funds to invest in our future satellite projects.

It is hoped that the nano-sat will capture high-quality photos to study issues such as vegetation, flooding, urbanization and so on. Is there also an option for the sensors to glance side-ways or upwards, rather then just downwards, to measure factors such as detecting solar and cosmic radiation, interactions between

The photos might not be very detailed because they are ultimately being taken from a distance of more than 400 km. But they are capable of taking photos of all regions without getting detailed information about them. However, our nano-satellite is not equipped to to glance side-ways or upwards. There are specific nano-sats with those features. Our nano-sat is a single cube with a definition of 10 by 10 cm and weighs less than 1kg per unit. We are hoping the future nano-satellites will be of multiple units, thus be capable of handling several commands.

How can the government aid in the process of encouraging more research into space exploration in Bangladesh?

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RMG Focus

Questioning the Long Term Sustainability of the RMG Juggernaut By Adnan Nafis

he rise of Bangladesh as an RMG giant is a phenomenal story. As a country once dubbed as a bottomless basket, it has been reaching new heights. However, we need to learn from history and the consequences that befell giants who became complacent after their initial success. It is certain from the rise and fall of Nokia, Blackberry, and Kodak that everyone needs to focus on how to increase long term growth.

FIGURE 1: BANGLADESH'S RMG EXPORTS TO WORLD FY 2015-16 & 2016-17 ($ BILLION)

BANGLADESH RECENTLY RECORDED THE LOWEST GROWTH IN THE LAST 15 YEARS WHICH IS A MERE 0.20% It is an alarming situation for an RMG export based country like Bangladesh to have the recorded lowest growth rate in its exports in the last 15 years of 0.2% as shown in Figure 1. Around 80% of our total export is RMG. Therefore, further development of this sector is vital. According to statistical figures, the country is falling behind Vietnam as they are considering $200 billion as an export target. Moreover, the interesting part is that Bangladesh has captured competitors' attention by declaring that the RMG exports will reach $50 billion by 2021. The declaration ignited the competitors to consolidate their progress. However, without a proper long term strategy, the $50 billion declaration will seem hollow. Annual growth rates need to be at least 12% for Bangladesh to achieve its target. Bangladesh registered only 13% growth in the FY 2013-14 which dropped to 0.2% recently. The country is yet to figure out the real reason behind this below average growth. However, according to the industry leaders, the reasons for this withering growth rate could be international politics, slower demand, currency exchange, Accord-Alliance compliance issues and so on. FIGURE 2: MONTHLY WAGES BY COUNTRY

Source: http://rmgbd.net/

The above figures show that Bangladesh has the lowest wage rates in Asia, one of the primary reasons being productivity and skill level. According to the RMG leaders, factors like currency exchange, weaker world demand, lack of raw of materials are other to be blamed. Moreover, the country is hiring unskilled people from the villages who do not have any formal training or primary education. Thus, government support is vital in this case. Moreover, with the rapid growth of Vietnam, India, Cambodia, Myanmar, it is high time that Bangladesh P H O T O G R A P H B Y D I N M S H I B LY

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should start investing in productivity and skill development. India plans to be the number one producer of RMG by 2030, whereas, Vietnam stands second. Also, Vietnam and Cambodia have heavily invested in skill development and productivity enhancement and are concentrating on producing the best workers and merchandisers in the world. Bangladesh, on the other hand, has no skill development or productivity enhancement centers to aim for such a long term vision. Bangladesh lacks behind in a lot of factors like skill development and sustainability, low productivity of the workers and minimal fashion designing capacity and is also considered a risky country to invest in, followed by the Rana Plaza collapse and Tazreen Fashion Fire incidents. Country branding is at its poorest as we depend on others for even running our factories. A large number of expats are employed in the RMG sector so what does it say about our capacity? As per Bangladesh Bank data, in 2015, $5 billion was earned by the expats working in Bangladesh and thatâ&#x20AC;&#x2122;s only the official money transfers. Bangladesh produces basic items and they are marketed by the retailers. The retailers are engaged in a bitter war over discounting for survival so the price will keep falling. There is nothing anybody can do except accepting it. A change in this behavior cannot be expected from the current business model. It can be observed that nowadays more and more Bangladeshi entrepreneurs are engaging in greener ways of doing business and coming up with environment-friendly solutions, despite the fact that setting up a green factory is way costlier than a conventional one. Reasons behind this can be to engage more stakeholders in the business and get more orders rather than making a profit. However, Bangladesh still needs to produce more value added products to aim for higher profit margins. Bangladeshâ&#x20AC;&#x2122;s RMG exports to the USA have been suffering, however, its exports to Germany have improved which has saved the overall growth from going to negative.

Source: EPB

Bangladesh has shifted its focus to Europe from the USA solely because of the availability of the Generalized System of Preference (GSP) facility in Europe. This system will ensure a higher level of exports from a developing country like Bangladesh by charging lower tariffs. However, complying with the regulations set by the ACCORD might be difficult now that they have unilaterally extended their activities in Bangladesh which was supposed to expire in 2018. It can also be seen that Europe is gradually moving towards sustainable production. Therefore, Bangladesh might have to face inquiries regarding their ways of production, labor rights and other regulations. An example of which could be that Bangladesh was pressurized by Europe to ratify its Labor Laws. Due to the detox movement in Europe, Bangladesh also needs to eliminate the use of harmful chemicals in production to ensure a

sustainable relationship the continent and its countries over time. However, the communication gap between Bangladesh and Germany is still a matter of concern so the private sector must come forward and help build great bilateral relations. The government has already been doing its bit by lowering corporate taxes, establishing an individual policy for setting up a green factory and heavily investing in infrastructure and energy. However, it falls under the responsibilities of the private sector to come up with a functional bilateral chamber and attend conferences to promote Bangladeshâ&#x20AC;&#x2122;s brand, and a failure of the RMG exports may cause the banks, the general people and the environment to suffer. Moreover, the phenomenal growth of RMG at the cost of the environment has also been overlooked for the sake of industrialization. Hence, the cost of environmental damage when truly assessed will be too heavy to overcome for an underdeveloped country like Bangladesh. The writer is an investment and marketing consultant and can be reached at adnannafis@hotmail.com.

PHOTOGRAPH FROM DBL

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intelligence (A.I.) platform developed by regional developers. The system is designed to automatically give replies to generic queries and ask follow up questions to speed up the response time. Moreover, these auto responses are monitored and moderated by our highly experienced and well-trained customer service assistants. The platform redirects the consumers to the available assistants upon failing to provide a suitable response to their request. This hybrid model helps to reduce customer response time and improves the A.I's performance through the reinforcement of training. Besides, the system can also predict a pattern in the user queries based on

previous responses, and communicate faster with more accurate information over time. The integration with the application programming interface of more and more service partners with the Udoy A.I. platform will result in less human interventions and quicker response time. Udoy is at the bleeding edge of the next most impactful technology of our time, and our aim is to provide a positive consumer centric impact for the Digital Revolution in Bangladesh.

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Industry Outlook

Processing The Possibilities By Ishrat Jahan The Business Processing Outsourcing (BPO) industry is the world's fastest growing industries at the moment. This industry allows businesses to make use of IT related opportunities globally, by generating employment worldwide. Bangladesh, with its lucrative young population, was declared second amongst the major IT outsourcing countries in the world by the Oxford University. A survey done by the universityâ&#x20AC;&#x2122;s Oxford Internet Institute (OII) revealed the rankings. Currently, it can be noted from the report that India has managed to acquire the first position amongst all the other nations. with its expertise being in the software development and technology fields. The US in third position, specializes in writing and translation.

An article titled, “BPO,youth and Bangladesh” by Ahmadul Hoq, President, Bangladesh Association of Call Centre and Outsourcing (BACCO), claimed that an inflow of about $400 million per year in the ICT sector has helped the BPO industry transform to a great extent. Also, with half of the workforce being students who work alongside their studies and another 30,000 working in call centers, it is definite that the BPO business has high potentials. Its growth rate is more than 100% per year and a current market value of about 180 million dollars. Various sources have also informed that, while BPO captures a market of $600 billion globally, of which Bangladesh has only been able to tap market share worth $180 million. Thus, BPO can surely be converted into the second largest industry for foreign currency income after the RMG sector if Bangladesh decides to shift focus. The article also mentioned that about 4.5 million people work in the RMG industry with an average monthly income of $50-60 and an annual income of $600. However, the government is yet to receive tax from them. Another 4.5 million people are found living from hand to mouth, but not contributing much to the country's development. Similarly, in the case of remittance, around 9 million people send money from abroad but pay no tax on this. Therefore, government earnings from these sources is negligible and so, the development of the middle-income families is one of the main goals of BPO. BPO can be the perfect industry for the young minds to earn middle-level income of about $5,000 per year as working in offices and restaurants may not be feasible for everyone. Thus, making it easier for them to pay taxes to government. This will, in turn, raise the standard of living, contribute to the GDP growth and help to develop the nation as a whole. As far as the skills required for the BPO industry are concerned, an individual firstly needs to have a knack to learn and the ability to communicate. Fortunately, Bangladesh has about 25 thousand people graduating and preparing themselves for this industry per year.

BANGLADESH HAS A POPULATION OF ABOUT 110 MILLION PEOPLE IN THE AGE RANGE OF 16-35. AMONG THIS GROUP, 65% ARE UNDER 35 AND 50% ARE UNDER 25. THEREFORE, IT IS HIGH TIME THAT THE COUNTRY SHOULD START MAKING PROPER USE OF ITS DEMOGRAPHIC DIVIDEND FOR ECONOMIC DEVELOPMENT.”

According to the aforementioned article, Bangladesh has a population of about 110 million people in the age range of 16-35. Among this group, 65% are under 35 and 50% are under 25. Therefore, it is high time that the country should start making proper use of its demographic dividend for economic development. Moreover, if the world population is considered, two million programmers are needed in United States, United Kingdom and Japan and it is further predicted that within five years, two million more programmers and coders will be needed in these regions. However, unlike Bangladesh their aging population makes up the majority of their demographic. 50% of Japan's population is over the age of 50. Europe and America are also facing a shortage of young population. Bangladesh can, therefore, train its younger population and seize the employment opportunities globally. It is of no doubt that the BPO industry in Bangladesh, with its gaining popularity and availability of the human resource, is about to reach incredible heights soon. www.ibtbd.net

Different Perspective By Farhat Chowdhury Zishan

lon Musk and Steve Jobs both have been trail blazers in their own industries – disrupting entire fields and changing their courses forever. Tesla is one of the world's leading automobile companies that makes electric cars while Apple barely needs any introduction – the tech juggernaut that's become a household name thanks to the iPod, iPhone, MacBook and its plethora of other electronic devices. Both of these companies have redefined their respective industries and have accomplished the near ‘impossible.' Since both Tesla and Apple are fueled by groundbreaking innovation, the heated debate of whether Tesla is the next Apple has been part of every tech enthusiast's conversation lately. Analyze their founders, skim through a few market data, forecast the future – and you can easily understand why Apple is no match for Tesla. Allow us to break it down to you from scratch:

MASS MARKETING TAKES TIME

THE MEN BEHIND THE MACHINES

Steve Jobs is perhaps the greatest marketer, orator, thinker that the modern world has ever witnessed. His vision behind creating a product that will reflect human excellence has taken Apple to unprecedented heights. On the other hand, Elon Musk seems like a man from the future. Founder of twice the number of companies that Steve Jobs ever built, Musk envisions something much bigger than gadgets – human colonization on Mars. So these visions alone can give us a synopsis of what these founders have set to accomplish.

Whether it's Apple or Tesla, both these companies have individually segregated target markets. And using Bangladesh to talk about Tesla is like hypothetically planning to introduce Lamborghini Nano for Indian mid-tier markets. Developing countries, right now, barely have the infrastructure to build electric charging-stations that Tesla electric cars would require. Meanwhile, Tesla is focusing on their R&D and making way for more efficient, environment-friendly automobiles. Yes, Apple might be having a huge share of the Asian subcontinent's smart phone and tech market, but how could we not take Samsung, OnePlus, and Xaomi (just a fraction of Apple's competitors on these grounds) into the calculation? The bottom line: will Tesla be able to market to the masses? Yes, but it requires a bit of time.

Why Tesla Doesn’t Need to be the Next Apple WHY TESLA IS SET OUT TO HAVE A BRIGHTER FUTURE THAN APPLE

iCar: A LOOSE-KEPT SECRET

Apple might just be investing its resources in building a supercar. The Silicon Valley tech giant has an R&D budget that is twenty times more than that of the world's top 14 automaking companies' combined. Now, will this new Apple product be able to engulf Tesla's market? The answer lies in numbers – and a few other companies. Tesla Motors has more than 1200 patented devices that enable them to be at the top of their game; restricting Ford, Toyota, and other car makers from tapping into the market of electric vehicles. So will Apple be ever able to get into the race of making highly-efficient electric cars? Maybe yes but by then Tesla will have finished running the lap a dozen times.

SUSTAINABILITY AND THE FUTURE

Many deem Tesla as a rebelling company - forcefully trying to push electric cars into the robust market of automobile vehicles running on fossil fuels. Truth be told, you're ignoring the big game. With the rate at which fossil fuels are depleting, the consumers today might have a lot of preferences when choosing which car to buy. However, in just a couple of decades, we'll be entering a time when fossil fuel will be completely depleted, and consumers will have one leading, trusted option – Tesla – to make everyday transport possible with the help of renewable energy. There's a notion that Tesla is on a fragile rope which may break at any time, but the reality is that Elon Musk is ignoring the rope that other automobile companies are clinging onto and is building a brand new rope from scratch. A rope strong enough to make transportation more feasible, efficient and environment-friendly.

MUSK'S LONG-TERM PLANS

Elon Musk has a handy trait of gaining knowledge from across various disciplines and combining them to form a holistic product. Now let's take a look at Musk's newest venture – The Boring Company. This company plans to dig underground tunnels all across cities to eradicate traffic jams altogether. So a few decades down the line, what if The Boring Company decides to merge with Tesla? Or what if SolarCity (Musk's other company) comes up with some other source of highly efficient renewable energy and decides to incorporate it with Tesla? Tesla does have a smaller portfolio compared to Apple, but future prediction does pave the way to a time when Tesla will expand to the production of several other electric-run vehicles. At that point, if Elon Musk decides to assign significant resources from his other ventures to Tesla, then Apple will have to start counting its days. Steve Jobs has done his fair share of work in amusing the entire world with the Apple gadgets, but when it comes to Elon Musk, this is merely the beginning. From redefining how humans undergo monetary transaction to making human houses on Mars more than a mere possibility, the real life Iron Man has proved time and time again how capable he is at transforming industries and the way we perceive things. Apple is considered to be the epitome of modern day technology, with its hands trying to grab every possible industry out there – watches, music player, operating systems and so on. But Tesla sings of a brighter day. Steve Job's brainchild will not be losing its throne to Elon Musk's captivating cars anytime soon, but if we take a closer look at the future and how every single market is inclining towards long-term sustainability and renewable energy – we can see the mark of a new rule. A kingdom of Tesla – accelerating human life with electronic technology. This article offers a different perspective to the “Why Tesla Can’t be the New Apple” article published in the IBT July issue (pg. 60). The writer can be reached at farhatchowdhury95@gmail.com.

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Excerpts

Build Your Own Brand Value through Networking

BE INTENTIONAL

Networking should always be done with an intention, and not just to collect business cards and be seen. Approach networking as you approach your work: Set a goal for yourself and find a networking opportunity that meets that goal.

HAVE AN ICEBREAKER

It can be tough to walk up to a stranger and start conversation, no matter how confident you are. But having a line ready to go in order to generate conversation is crucial. We will surely find much success with a simple question, “What brings you here to this event? or what inspired you to come this event”. It works every time—it goes straight to the point and builds on your first common interest: that fact that you’re both there for a reason!

FIGURE-OUT WHO MATTERS MOST

By Gazi Yar Mohammed & M Murshed Haider Networking is about making connections and building enduring, mutually beneficial relationships. We should plan and work to include right people and positive people in our network and expand our sphere of influence. Wrong people or negative people are time wasters. Networking is also an essential part of advancing our career. You will likely get a job through who you know rather than through your education or work experience. Now a day, it’s not enough to keep our head down and produce superior work. We need to connect with others, we have to be vocal about our interests and career goals, and build relationships with people we might not otherwise have met.

Best Places to Network MEETUP

Browse Meetup.com and find groups that interest you. You will see lot of events take place in Dhaka and other cities too. Then start attending meetups. See which ones you like best. Stick with those and you’ll make connections, guaranteed. Sharing a common interest makes bonding easier than at a deliberate networking event.

Make a habit of meeting new people who fall under your passionate area or profession. Make a list of the 20 most important professional contacts in your life right now and keep regular contact. Beside wishing them on their special days, you should be talking to them two or three times a year. You should know what their interests are and follow up with them around those.

GIVE BEFORE YOU ASK FOR SOMETHING

It's always worth the trouble to find out a contact's desires and concerns. The chances are high that you'll be able to find something worthwhile you can offer. Before you ask for something, make sure you've invested in that person. On that note, you should be thinking of how you can add value to a potential connection without expecting anything in return, at least immediately

Networking is a skill. It’s not just about elevator pitches and icebreakers, however. Place matters. The best places to network let you meet people under positive auspices. You share a common cause. You’re there because you want to be, not because you feel like you have to. The premise of the event makes it easy to break the ice.

CONFERENCES

A conference is the perfect place to walk up to strangers, get to know them, and swap information speed-dating style. If you’re slower to approach people, giving a presentation or speaking on a panel are good ways to have people approach you.

EXERCISE/GYM

Whether you do team sports or individual sports done in a group, like a running club, exercise is an excellent way to get to know people outside of the context of work. Typically, most of us don't welcome the opportunity to seek professional contacts while red-faced and sweaty, but the gym can be a great place to network.

COFFEE SHOPS

Some coffee shops are hotbeds for million-dollar deals and corporate types. Others are full of creative types. Depending on what kinds of clients (or employers) you’re looking for, you might want to stake out a coffee shop near you that they frequent. Become a regular. Get to know people.

TRAINING/ CLASSES

If you’re learning something along with everyone else, breaking the ice almost becomes a non-issue. Maybe you need that person to help you understand a concept, borrow a book or materials, arrange a study group, or lament about the material.

* The article is an excerpt from the book titled “Master Password” written by Gazi Yar Mohammed and M Murshed Haider and has been published in ICE Business Times with the authors’ permission.

executive, you can tell “I try to solve your pain points or I work for your problems”. Benefit of different introduction is you can stand out instantly from the rest.

APPRECIATE THAT THE MOST INFLUENTIAL PEOPLE OPERATE ON A DIFFERENT LEVEL

The fundamental element that defines the quality of your life is the people you surround yourself with and the conversations you have with them. If you want to surround yourself with executives and successful entrepreneurs, you first need to understand and respect that the lives of high-demand people are fundamentally different from even most chronically busy people, Levy says. Their schedules are likely filled with travel plans and meetings, with scarce free time dedicated to family.

CREATE MEMORIES

If there's somebody you want to meet, try to create a moment that's memorable. This can mean sharing a special toast or asking a question that will elicit a unique response. For example, you met a startup founder and you shared an idea for this founder startup which they are not doing - He or she will remember you for sure.

MAKE COLD CALLS

To get in touch with influential people, you can't be afraid of reaching out without precedent. If you're able to get access to their number, give them a call before their day becomes too hectic. Make sure, however, that if you're reaching out you've actually got something of genuine value to share, as mentioned above. GAZI YAR MOHAMMED

is life coach, fintech analyst and retail banking expert. He is working as the Head of Retail Banking at ONE Bank Limited.

SOCIAL MEDIA

Social media can be a mixed bag. On one hand, you can waste days reading and posting mundane updates. On the other hand, if you link up with the right people and engage your friends or followers, social media can be a gold mine. You can find jobs, mentors, business partners, business opportunities, services you need, and much more. The opportunities are limitless.

Sending an introductory email to someone is low-risk because the worst-case scenario is that your message gets tossed and your name forgotten. Keep it as short as possible. You'll want to have the recipient take a look at your message and be able to give an adequate response, even if it takes them 30 seconds on their smartphone.

FOLLOW-UP

Be sure to send a quick follow-up email either later in the day or the next day after meeting someone for coffee or lunch. It's proper etiquette that will keep you from looking like you're selfishly using the other person.

MAKE YOUR INTRODUCTIONS MORE INTERESTING

Most people just aren't interesting in the way they communicate, when people ask you what you do, we should try to be a little elusive just to create some interest. So, tell people you spend most of your time for giving them solution – financial solutions, if you are a banker or executive of financial institution. If you are a sales

WRITE EMAILS THAT WILL GET REPLIES

ORGANIZE YOUR CONTACTS M MURSHED HAIDER

is a passionate public speaker, certified Personal Trainer and Corporate Coach.

VOLUNTEER WORK

In general, people don’t volunteer because they want to be slick or rip you off. Volunteering, rather, comes out of a soft spot, be it empathy, aspirations, or passion for change. A nonprofit or other volunteer event sets a premise based on those feelings. That makes it easier to bond with other volunteers over a common cause, even if your background, religion and politics are polar opposites.

ALUMNI EVENTS

High school, college or university reunions and alumni events create networking opportunities. Alumni events, breakfasts, receptions, alumni sports games, alumni interest groups, and alumni databases are better ways to connect under a common umbrella. You can also give speeches at events, making yourself and your pitch more visible.

If you're looking to build a network, you could benefit from some simple organization.

TOASTMASTERS

Toastmasters deserves its own category. You can join Dhaka Toastmaster Club to improve public speaking skill and get some new networks too. Facing one of humanity’s deepest fears, public speaking, with twenty or so of your supportive new friends is an excellent way to network. Everyone’s motivated, and almost everyone is probably scared, too.

SPEECHES AND TALKS

Attending a speech given by your favorite politician, a talk by your favorite author or business personality, or any other event involving a person you really like standing up and speaking at a podium can be a good networking opportunity. Everyone listens to the same thing and has the same interest.

* Gazi Yar Mohammed is life coach, fintech analyst and retail banking expert. He is working as the Head of Retail Banking at ONE Bank Limited. * M Murshed Haider is a passionate public speaker, certified Personal Trainer and Corporate Coach.

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Tech Updates

Intel Inside, Sluggard Outside?

Tech updates By Abhijit Asad

I N T EL’ S COM P E TITIV E ADVA N TAGE HAS B E E N C H AL LENGE D AFTE R A V E RY L O N G T I ME

After ruling the world’s computer microprocessor market for well over a decade with virtually no serious competition to deal with, it was almost natural to expect Intel to get lazy and reduce their scope for innovation. And why wouldn’t they? With long-standing archrival AMD wallowing in the aftermath following the release of one disastrous product after another, it appeared that Intel did not have a great deal to worry about, as long as its products were better than those of its rivals. However, it didn’t take very long for Intel’s stagnation to creep into general consumer markets, where they remained stuck with their Core i3-i5-i7 range of CPUs for many years, only releasing periodical refreshes across generations of CPUs, slightly increasing processing power, or moving to more efficient and elegant manufacturing processes. However, one thing didn’t change much – the number of cores on the Core CPUs.

Aside from a small number of absurdly overpriced ‘Extreme Edition’ i7 CPUs (targeted only at enthusiasts who would be able to afford them, not the general computer buyer demographic), it became a constant that a Core i3 would have only two cores (albeit backed by a performance-enhancing technique called Hyperthreading, which allows the cores to handle two processing threads simultaneously in each processing cycle instead of just one), a Core i5 would have four cores, and a Core i7 would have four cores armed with Hyper-threading technology. This would not have been a problem in general cases, as most regular computer programs don’t require more than two or four cores to provide a satisfactory experience. However, it should be noted that most productivity software, particularly those which specialize in crunching massive

because of their abysmal thermal performance (which made the processors and motherboards hot enough to melt individual components on them) and extreme power draw. However, when the first Ryzen CPUs were provided to the public, they made critics sit up and take notice. Despite a few glitches present in early Ryzen systems (later amended with subsequent software updates), they delivered every promised bit of performance, and then some. loads of numerical data, Intel’s regular line of rendering videos, special AFTER RULING THE WORLD’S processors got summarily effects and 2D/3D graphics, COMPUTER MICROPROCESSOR demolished in benchmarks employ performance MARKET FOR WELL OVER A by the Ryzen family, and only scaling proportionally to the most expensive members the number of available DECADE WITH VIRTUALLY NO of their Extreme Edition processing cores and SERIOUS COMPETITION TO DEAL series managed to best the threads. Any professional Ryzens, although it wasn’t WITH, IT WAS ALMOST who needed a machine much of a victory, as their with more than four cores NATURAL TO EXPECT INTEL TO prices pretty much negated was therefore faced with GET LAZY AND REDUCE THEIR any performance advantages. the ‘option’ of buying a The processors delivered a SCOPE FOR INNOVATION. prohibitively expensive tad less performance in video processor from Intel’s games compared to their Intel Extreme Edition range or Xeon range of server-grade CPUs. counterparts, but not enough to make a It didn’t help much that these CPUs were much slower than sizable difference. The message from the mainstream Core CPUs, despite the increased number of AMD to Intel was a clear one – the Ryzens cores, and only the Extreme Edition systems could be are real workhorse processors for overclocked (forced to operate at speeds faster than their everybody, ranging from gamers to original specifications, possibly challenging stability in the professionals, and they were thoroughly process if not done properly) to some extent to cover for this going to destroy Intel’s deficiency. four-cores-are-enough-for-most-people It was in 2017 that the tables finally began to turn when philosophy. AMD announced a new range of consumer-grade CPUs – In the meantime, what had Intel been up initially known only by the codename Zen, and eventually to? Their sixth-generation Skylake CPUs given the marketing moniker Ryzen. The firstborn of the did not pose great performance benefits Ryzen range, namely the Ryzen 5 and Ryzen 7 series over their fourth-generation Haswell boasted 6 and 8 cores respectively, each capable of range, despite moving to a superior simultaneously processing 2 threads per clock cycle. manufacturing process that helped make Furthermore, all the Ryzen CPUs came unlocked out of the them more efficient in terms of thermal box, meaning that they were expected to be extremely output. But it was with the overclockable, even when equipped with mid-range air seventh-generation Kaby Lake series that coolers instead of elaborate liquid-based cooling solutions. Intel really fumbled the ball, making In layman's terms, the Ryzen range consisted of immensely virtually no improvements upon the powerful CPUs that were equally good at handling routine Skylake range, leading many reviewers to tasks and workstation duties (thanks to their plethora of scoff that it was merely a basic rehash cores and threads), was capable of operating at speeds and rebranding of Skylake. considerably beyond their official limits, at prices that were It was evident that Intel had become far almost shockingly affordable. For example, AMD’s 8-core too comfortable in the market leader’s Ryzen 7 1700 promised to be a hundred dollars cheaper and throne, and they had not been expecting much less power-hungry than Intel’s 6-core i7-6800K such a resurgence from AMD after a processor while delivering noticeably greater performance. decade of virtually no proper competition, AMD’s claims were bold and initially taken with a pinch of and Ryzen’s success caught them quite salt by reviewers, fans and skeptics alike. After all, this was unawares. With massive support from not AMD’s first foray into this territory. AMD had attempted third-party manufacturers of to bring 8-core CPUs to the masses in the past with its FX motherboards, GPUs, system memory and series of processors, but they were widely unpopular

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UP other components, AMD was on a journey to regain their long-lost market share, and Intel did not have a lot of time to do something about it. And most importantly, AMD had managed to create a seismic impact in the market by giving software developers more processing power to work with, in the form of more cores and threads, letting them optimize their software to take advantage of it all. This, combined with all forms of support from a myriad of hardware OEMs, was instrumental in making AMD a formidable force in the market once again. Intel made a grave mistake right then, by hurriedly announcing a new range of CPUs – the Core i9 series, which promised to do all the things that Ryzen had managed to nail – and messed up the pricing again. The top-of-the-range Core i9 was exactly twice the price of its Ryzen equivalent, thus negating the performance advantage yet again while managing to remain far away from most people's buying capabilities still. Furthermore, the Core i9 CPUs offered very little room for overclocking due to their rushed-together nature and emitted horrifying amounts of heat. It was astounding to see Intel CPUs being mentioned in the punchlines of CPU heat-related jokes for a change on social media – a position which had been held by AMD for a very long time. It remains to be seen what Intel would do to recover from this fumble, which is very much likely to cost them dearly, as AMD is rolling out a lower-end Ryzen 3 and a gigantic 16-core/32-thread CPU called the Ryzen Threadripper to capture the low and high ends of the market respectively. Unless Intel returns to the tradition of innovating, AMD is likely to close the competition gap even further over the next few years. However, this is indeed a very good time to be a consumer, because the CPU market is once again home to fierce competition, and this is how progress is truly made. No matter who ends up on top, be it AMD or Intel, the customer wins.

How to Build a Computer with Your Lunch Money By Nazran Farook Does size always matter? Microcontrollers like Raspberry Pi have become very popular in recent years, their functionality is no longer primarily aimed at hobbyists and coders, but they are delineated as small-scale computers in their own right. These microcontrollers can be contrived as mini elementary computers. They can do all the basic tasks you would expect from any other computer; you can use it to do some word processing, check your emails, even play video games — but this computer can be yours for just five dollars. For that price, you’ll get a tiny board that you can hook up to any monitor and keyboard and you can commence the computing.

THESE MICROCONTROLLERS CAN BE CONTRIVED AS MINI ELEMENTARY COMPUTERS. THEY CAN DO ALL THE BASIC TASKS YOU WOULD EXPECT FROM ANY OTHER COMPUTER; YOU CAN USE IT TO DO SOME WORD PROCESSING, CHECK YOUR EMAILS, EVEN PLAY VIDEO GAMES — BUT THIS COMPUTER CAN BE YOURS FOR JUST FIVE DOLLARS.

BEST ON BUDGET

Coming at a staggering 260 times cheaper than the latest gen baseline MacBooks, these tiny machines will be the “apple” of your tech eye. There’s a handful of competitors in this niche market and they all have a wide range of features to offer. The Raspberry Pi Zero comes in at the cheapest with an unbelievable price of $5, offering their lowest cost, homegrown single board computer. Going up the ladder, another company, widely known as C.H.I.P, offers a $9 computer that come with a pre-installed OS, ready for documentation work and internet activities as well as video games. A progressive step further from these devices are third generation Raspberry Pi modules that cost around $35, enabling it to be used for heavy office work and allowing it to serve a purpose for users willing to depend on these machines persistently.

COMPARING CONSTRUCTIONS

Shifting to the more technical and esoteric standpoint, both the Raspberry Pi Zero and the C.H.I.P bring a lot to the table. The C.H.I.P takes a more user-friendly approach whereas as the Raspberry Pi conveys users towards a more sophisticated route. Both boards offer an up-clocked yet exceptionally power efficient 1 GHz processor. The competitors also boast a similar 512 MB RAM, sufficient for most daily tasks. These devices come with HDMI ports, entitling them to be convenient enough for plug n play. So what sets them apart to start with? They have drastically different storage capabilities. The C.H.I.P includes 4 GB of high speed storage integrated onto the board and on the contrary, the Pi comes with a liberated slot, allowing users to purchase a separate SD card of choice ranging up to 128 GB. The Pi Zero also comes with the added benefit of being compatible with foreign USB sticks or USB hard drives to provide an extra boost of storage. However, a major perk of the C.H.I.P is that it comes Bluetooth enabled. Users can wirelessly connect keyboards, mice, and video game controllers to C.H.I.P. With a few clicks and an old stereo, it can be turned into an AirPlay or Bluetooth speaker. Apart from these differences, they both compete for the same purpose.

INDEFINITELY INDUALIZED

We all prefer a little bit of personalization to any of our belongings, so why not do the same here? For those of you who want to take portability to the next level, supplements are available, empowering users to have a strap-on style battery powered screen with the mini computers for use in any circumstances. Schools all over the world are integrating these boards into ICT lessons for advanced coding knowledge. Due to the appealing and affordable pricing of these machines, it can easily be a point of interest for many. The general public should be well informed about this and there’s plenty of opportunity for anyone to contribute and become a part of this niche community. That's why both C.H.I.P. and Raspberry Pi are completely open source. This means all hardware design files schematic, PCB layout and bill of materials are free for you the community to download, modify and use.

Beyond the Business

THE CONSEQUENCES OF A FUTURE PERPETUATED BY OUR TECH DRIVEN LIVES AS DEPICTED BY NETFLIX’S (PREVIOUSLY CHANNEL 4’S) BLACK MIRROR

By Shaikh Ashfaque Zaman

In the year 2016, the Global Information Technology industry crunch is $3.8 trillion; Asia being the second largest consumer base, after North America (31%) providing 29% of the annual revenue. There is no doubt that technology has gone from a means of communication to entertainment, and beyond. Wi-Fi connections have become the weavers that spin the thread of life with millennials spending almost 40% of their time on the Internet. Undoubtedly, technology has made our lives easier. However, Black Mirror boldly “unplugs” a reality in which we allow technology to take over more of our lives then we had intended. ICE Business Times decodes the episodes that eerily questions our devotion to our devices. www.ibtbd.net

MONOCULTURE MAYHEM

IMPLANTED HISTORY

(Season 1 Episode 3, The National Anthem)

(Season 1 Episode 3, The Entire History of You)

Although we have a plethora of channels and global networks that bring the world to our televisions screens, there is no news that sells like controversy. When the Duchess of Beaumont is kidnapped, her safety can only be ensured if the Prime Minister agrees to compromise this dignity. While everyone including the authorities is glued to the perpetrators/artist media presence, an empty city discovers the actuality of the situation at hand when it’s too late. Highlighting our addiction to our devices, the premiere episode also draws attention to the fact that we commonly ignore the reality around us as we lose ourselves amidst the humiliation and sensationalized stories. As the artist creates his last piece of work, we are left questioning our appreciation and attention to that of which we think is “tasteful.”

SELL-SATION (Season 1 Episode 2, Fifteen Million Merits) Each month, the world watches more than 3 billion hours of Youtube videos. With streaming becoming the preferred pass time on the Internet; many have created careers through these video channels. Nevertheless, just how much of our personality are we willing to sell in order to become a global sensation. Bingham Madsen lives in a monotonous world, where the only way to get out of earning through rigorous exercise is to become a sensation through the very popular show, Hot Shot. He meets Abi Khan after hearing her sing and quickly decides to help her enter the show with his dead brother’s inheritance. The episode disturbingly captures our willingness to compromise our self-worth and individuality due to the standards of the masses and how far we are willing to go in order to obtain fame and fortune.

Scavenging for our wallets and keys are an all too common morning as we jog our memory, trying to remember our actions from the night before. Ffion and Liam live in a reality where a “grain” implant allows them to recollect every memory within their past. Following a party, Liam comes to discover that one of the guests, Jonas, and his wife were previously involved with each other. As he replays the memory several times with his chip, Liam is plagued with the insecurity that what his wife is telling him is not so true. Our memories are fleeting actions and we choose to keep some while others are beyond our grasp. Despite its drawback, keeping every memory in our past stored, reliving it at your very whim, will eventually cloud the future that could have been. The episode dares to challenge how much of ourselves we’d like to “store” from the opening sequence as a man continually replays the memories of his failed interview, ultimately destroying whatever confidence he had left.

PROGRAMMING A PERSONALITY (Season 2 Episode 1, Be Right Back)

RAVAGED BY THE RATINGS (Season 3 Episode 1, Nosedive) Popularity is no longer measured by the space you’ve cleared in the hallway, it’s now measured in the number of likes, comments and shares of the life you’ve created on social media. Lacie lives in a world where every interaction, picture and post can be rated by anyone and everyone you interact with. While she is continually concerned with garnering a 5 star rating, her brother, Ryan, could be less concerned. When Lacie is invited to Naomi’s wedding, she becomes even more obsessed with raising her rating, as her childhood friend is a prestigious 4.8. Technology has allowed us to create a reality that we want others to perceive; a world where one’s appearance on the digital platform takes precedence over our everyday presence. An exaggeration of the domination of social media, the omnipresent rating system isn’t very far off from our obsession with the appeasing the vast majority while ignoring those who are a part of our daily lives.

Artificial intelligence and reality is quickly expanding as robotic automation is growing into an entity that can do it all. Therefore, can the program that we create emulate the reality that we seek? A young couple, Martha and Ash move to a countryside home; unfortunately Ash meets an accident and dies the day after they have moved. A distraught Martha creates a virtual Ash through his conversation history and social media profile. She takes matters a step further by participating in an experimental program that creates a synthetic Ash with the software. What we imagine to be a somewhat odd but happy ending slowly turns into a reality that has everything but the realness of humanity. The episode closes with a truly thought provoking concept of how much we expect from the artificial reality we have created and how it will never provide us with the humanness that we can only find amongst one another.

POLITICAL THEATRICS (Season 2 Episode 3, The Waldo Moment) Political careers are double-edged swords. While politicians are seconds away from becoming a popularized meme with the wrong move, they can also create a persona that captives the masses. Jamie is a failed comedian, who voices the popular cartoon character Waldo. The growing popularity of Waldo prompts his own series and the show producers’ pilot it by having Waldo run against Conservative candidate Liam Monroe. Waldo’s histrionics quickly make him a popular figure that is anything but the voice of reason despite his lack of knowledge or experience in politics. This one hits very close to a presidential election that was won by President Trump as we are left wondering if the masses decide on matters of national security and progress based on entertainment value. Furthermore, we create the dystopian society we continually try to avoid on the basis of face value, oblivious to the consequences when the time for action is necessary.

PLAYING THE PRICE

TWISTING TANGO

(Season 3 Episode 2, Playtest)

(Season 3 Episode 3, Shut up and Dance)

The video game industry raked in a solid $91 billion during the year of 2016. Gone are the days when shooting ducks on a screen brought everyone together as we can now connect with anyone in the world that shares our passion to play. Gaming technology is now exploring the creation of a stimulated reality, a reality that allows a distressed young man like Cooper to escape a reality that may often be too harsh. Cooper decides to travel the world when his father passes away. Unfortunately he gets robbed in London and learns that he can easily earn cash for his return trip by participating in new virtual reality game by the company SaitoGemu. Cooper is the personification of our fixation to create a pure experience with his readiness to allow an unknown company to access his psyche. The stimulation from the game brings all of his greatest fears to life, unearthing that he has given it too much control over his deepest thoughts.

From going live to dual cameras in every one of our devices, taking pictures or videos of every day moments is just a click away. Nonetheless these minuscule cameras have created mayhem where a persons every move can be monitored without their consent. When Kenny is caught in one of these moments, he is forced to play a game that is full of risk and danger in order to maintain his reputation. Kenny is fed a series of messages and calls to complete task against his will in order for the video of him to remain a secret. The irony of the entire episode is that his progression throughout the day is being recorded for entertainment purposes. The presence of a drone recording his every action during the final sequence personifies 2 of the greatest dangers that these cameras have created; we fail to recognize the harm that recording our every moment can ensue and this accessibility and influx of content has desensitized us from the empathetic aspects of othersâ&#x20AC;&#x2122; sufferings.

STUCK ON SIMULATIONS (Season 3 Episode 4, San Junipero) From aging cream, plastic surgery and medical interventions to retaining our youth, we have become somewhat obsessed with avoiding the inevitable - death. Yorkie, a shy girl, becomes intrigued by Kelly in the virtual world of San Junipero; as we gain insight into their real lives, it is revealed that Yorkie is oppressed by her familyâ&#x20AC;&#x2122;s restrictions and Kelly has suffered a heart wrenching tragedy. In actuality, they are dying and would like to transfer themselves to the virtual reality in which they can live forever. One of the more positive screenplays of Black Mirror, the episode illustrates our need for a world of freedom, and a desire to escape to a reality that we choose beyond our societal restrictions. This episode is particularly refreshing because it does not follow the formulaic deeper message of the others in the series.

HASHTAG HOMICIDES (Season 3 Episode 6, Hated in the Nation) What nature can nurture, technology cannot replicate. When the bee population is wiped out, Autonomous Drone Insects (ADI) are used to pollinate flowers, Detective Chief Inspector Karin Parker slowly discovers that these ADIs are being used in massive crime conspiracy. The episode starts with the apparent suicide of a hated journalist, Jo Powers; her suicide follows a series of crimes that is dictated by Twitter and virtual forms of loathe for public figures. The final episode of Black Mirror ends in the most spine-chilling way by depicting a society that will humiliate anyone they deem to be revolting. It brilliantly depicts that we not only add fuel to the fire but also become a similar form of that which we believe to be distasteful. Using the ever-popular hashtag trends, the episode is very relevant in our method of creating a ruckus which we think to be seemingly innocent and forget to consider the greater impact on our targets.

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Beyond the business

A Look at How the Music Industry Has Evolved THE SHOW MUST GO ON

By Irfan Aziz

THE UNDERLYING PRINCIPLE OF AN ARTIST’S SUCCESS THESE DAYS IS THE NUMBER OF PEOPLE HIS/HER MUSIC REACHES.

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If you show a 16-year-old a cassette tape today, chances are they won’t recognize what it is let alone its significance. Little do they know that this small rectangular plastic box was the backbone of the music industry back in the day. The music industry has come a long way from vinyl records, cassettes, and even compact discs. In fact, the industry has slowly moved away

from its reliance on sales figures to sustain itself. Rather it’s about how many social media platforms are giving people around the world access to the music. Yes, it is an entirely different game now. Today, it's all about reach. Truth be told, the music industry itself has very little money in it, but it has opened its doors to other sources of income. Don’t get us wrong; musicians earn more than

THE MUSIC INDUSTRY HAS COME A LONG WAY FROM VINYL RECORDS, CASSETTES, AND EVEN COMPACT DISCS. IN FACT, THE INDUSTRY HAS SLOWLY MOVED AWAY FROM ITS RELIANCE ON SALES FIGURES TO SUSTAIN ITSELF.

they ever did in the past but it is not due to how many records they are selling worldwide. The underlying principle of an artist’s success these days is the number of people his/her music reaches. It is about how many hits your music video gets on YouTube or whether your song makes it on the Spotify Charts. Think of it this way, fifteen years ago we had to wait for months before our favorite artists’ new music albums were available on the market, now we have access to it as soon as it comes out. Even five years ago, we had to google lyrics to find out the name of a song, now we have Shazam for that, which does it in a matter of seconds. Music accessibility has reached a whole new level over the past few years. The career of a musician is much like a startup business these days. Grab the attention of as many people as humanly possible when you’re starting off to make sure your music gets enough exposure. And what better way to do it than social media? YouTube, Facebook, Spotify, Instagram and even Snapchat are all bridges that connect a musician to their fans. Stream counts are no joke; there’s a lot of money involved in it. The

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more people your content reaches, the more money you make, it's as simple as that. Streams account for up to 70% of the sales revenues. As for the other sources of income we mentioned earlier, artists also get to advertise products through social media platform. Whether it’s their own merchandise or products of a company that they are the brand ambassador of, artists get to showcase various products on their social media pages. Do you think Yeezy becoming so popular was just a coincidence? There is a reason why musicians get bigger paychecks these days, and that's because record sales are not the only thing that keeps the industry alive. Although it is true that there is way more money in the music industry today, there is very little privacy. Another aspect of this social media oriented evolution is that musicians now have a far more personal relationship with their fans. Social media gives a fan access to the private lives of their favorite musicians. They know what they are up to and get to know them on a day to day basis, something which they never had the chance to do before. Artists today have to be more cautious about the way they behave, the way they dress and even their beliefs because people are watching them at all times. It's even more hectic for managers and publicists who have to work day and night to make sure their clients are getting enough exposure and also making content which the fans need. They have to cater the needs of both the fans and the artists. According to Andrew Gelter, manager of pop sensation Shawn Mendes, one would need a more “hand-to-hand” combat approach to sustain in the industry these days as agents require to travel from one place to another to ensure his client is getting the attention needed to push him to the next level of stardom. We can only imagine the degree of commitment and dedication that the people of the music industry need to have to make sure the show goes on.

Word of mouth

HAPPENING

Amari Dhaka is pleased to announce the appointment of Tomas Keskitalo as the Executive Chef. Chef Tomas brings in more than 17 years of international experience to his role, having worked with some of the most highly reputable hotels and restaurants such as Sandhamns Vardshus in Sweden to the prestigious Merlin Beach Resort and Spa in Phuket, Thailand

Bangladesh Apparel Exchange (BAE), a private initiative to promote Bangladesh apparel industry, organized a workshop on how to develop an apparel brands. The day-long workshop titled "How to Build Your Own Apparel Brand and directly address European & US Consumers" was held on 29th July

Dell Bangladesh has organized a 2 months long gaming corner at IDB and Multiplan center. Throughout this program the gamers will have the taste of Dellâ&#x20AC;&#x2122;s new gaming PCs specially designed for them. This gaming corner will be continued till August 31, 2017

Constantinos S. Gavriel has recently been appointed as the new General Manager of Le MĂŠridien Dhaka. Gavriel brings with him over 24 years wealth of experience in the hospitality industry. He started his illustrious career as a business development executive at The Kensington Hilton in London, UK and has held various positions within Marriott since 2011

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WORD

MOUTH

HAPPENING

The Delegation of the European Union to Bangladesh together with the Chittagong Chamber of Commerce and Industry (MCCI) organized a seminar on ''EU Horizon 2020: Opportunities for Bangladesh'' which was held on 19 July 2017. This seminar was graced by the Ambassador and Head of the EU Delegation to Bangladesh, H.E. Pierre Mayaudon and Mahbubul Alam, President, the President of CCCI ResInt Canada have launched full-service consultancy services in Dhaka, bringing together professionals from the world’s top international firms in the first company of its kind in Bangladesh. ResInt’s qualified management team includes professionals from top international firms and government. Zulfiqar Ahmed, CMO ResInt Canada and Country Representative Bangladesh, said that launch fills a much-needed role in Bangladesh’s fast-growing market

ColoursFM 101.6 is going to launch a brand new weekly based radio show named ‘Career Code with Masud Rayhan’. This show is on personal and professional development and it will be hosted by renowned HR professional and corporate trainer, Masud Rayhan, who is currently working in a leading financial institution as Assistant Vice President, Organization Development & HR Strategy, Human Resource Division. The premiere show will be broadcasted on 12th August 2017 [Saturday at 12 pm]. It will be a two hours length radio show where we will talk about how to develop yourself for professional and personal life, how should you prepare or how you can communicate etc.

www.ibtbd.net

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WO R D

O F

M O UT H

HAPPENING

CEMS GLOBAL ORGANIZING “18TH TEXTECH BANGLADESH 2017” CEMS Global - Conference & Exhibition Management Services Ltd, is presenting “18th Textech Bangladesh International Expo 2017", “12th Dhaka International Yarn & Fabric Show 2017” and “28th Dye+Chem Bangladesh Expo 2017” from 09-12 August, 2017 in Dhaka. It will be a one-stop single platform to showcase the latest developments and emerging technology for this industry. "18th Textech Bangladesh International Expo 2017” will be the biggest meeting place

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held in Bangladesh for buyers and suppliers and will also provide an interactive platform for Exhibitors to generate business through displays / direct interaction. “12th Dhaka International Yarn & Fabric Show 2017” will be the biggest networking place for buyers and manufacturers / suppliers of equipment & technology of international yarn & fabric industry. “28th Dye+Chem Bangladesh Expo 2017” will showcase dyes & chemicals; focused on the entire textile & garment industry of the world as well as the entire export sector of Bangladesh. To further celebrate the 18th anniversary of Textech and strengthening their focus on this sector, CEMS-Global & Bangladesh University of Engineering and Technology

(BUET) have come up with yet another important seminar titled Zero Discharge of Hazardous Chemicals (ZDHC): Future of Environment Friendly Business. The Seminar will be held concurrently with TEXTECH on 10 August, 2017 from 11:00 am till 01:00 pm. The Exhibition's broadcast partner is Independent TV; Radio partner is Radio Today; Media partners are The Daily Star and The Daily Samakal; Online Media partner is BDNews24; Magazine partners are Textile Today, Textile Focus, ICE Business Times & Appeal View; IT partner is Aamar Tech; Hospitality partner is At Earth and Creative partner is Market Edge Ltd.

W O R D

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M OU T H

HAPPENING

Are you Joining Career Camp 2017? Don Sumdany Facilitation & Consultancy is organizing “IPDC presents Career Camp 2017” powered by Cooper's Bakery Bangladesh on 5th August 2017. This daylong workshop at ‘The Ismaili Center” has been specially designed to facilitate the youth about building their career in a constructive way. The takeaway for every participant of the workshop will be a holistic understanding on how to kick start career with a 360-degree job preparation. Renowned speakers from various backgrounds will give an overview of the current job market in the country, the essentials of a successful career, the pathway to get become an efficient resource in this era, corporate grooming, communication skills and various other essentials for building one’s

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career. Inspiring corporate icons and leaders will be adorning the event as speakers. Sonia Bashir Kabir (Managing Director, Microsoft Bangladesh), Rafiath Rashid Mithila (Head of Early Childhood Development, BRAC International; Actress), Rahel Ahmed (DMD, Prime Bank Ltd), Shahriar Amin (Head of Marketing, in a consumer good selling multinationals), Raquib Fakhrul Rocky (Managing Director - Munshi Enterprise Ltd), Tajdin Hassan (Head of Marketing, The Daily Star), Mominul Islam (Managing Director & CEO, IPDC Finance), Ahmed Pasha (Director, Strategic HR - Edison Group), Golam Raihan (Regional Sales Manager

- Bangladesh / Srilanka / Nepal, P&G), G. Sumdany Don (Chief Inspirational Officer, Don Sumdany Facilitation and Consultancy) will be the speakers of the day. The event is sponsored by IPDC Finance and powered by Cooper’s Bakery Bangladesh. Career Camp is a Don Sumdany signature event. WiKreate Ltd. is the event partner. ICE Business Times is the magazine partner of the event. Radio Foorti, GTV, The Daily Star, Next Step, Jete Chao, Dhaka Live, Priyo.com are the other partners and collaborators of the event. If you want to participate please visit: www.facebook.com/DonSumdany Purchase your ticket now by visiting: bit.ly/DSCC2k17

Capital Market BOURSE UPDATE

Fortnightly Report of DSE, 1st June To 15th June 2017 Top 10 securities by turnover value in Tk. Sl. No. 1 2 3 4 5 6 7 8 9 10

Name of securities

MJL Bangladesh Limited LankaBangla Finance Ltd. Paramount Textile Limited Beximco Pharmaceuticals Ltd. United Power Generation & Distribution Company Limited BRAC Bank Ltd. IFAD Autos Limited Shahjibazar Power Co. Ltd. Bangladesh Finance and Investment Co. Ltd. Argon Denims Limited

Category A A A A A A A A A A

Top 10 securities by turnover in shares

Sl. No. 1 2 3 4 5 6 7 8 9 10

Name of securities