The Edge by IILM Institute for Higher Education

ndia has approved 51 per cent of Foreign Direct Investment (FDI) in multi-brand and 100 per cent in single brand retail, as a major step towards handling soaring inflation. Currently, the Indian retail sector contributes to 15 per cent of the national GDP. Retail is a highly unorganised sector in India, employing huge work force, only next to agriculture.

Editorial Board Mrs. Malvika Rai Dr. P. Malarvizhi Mr. George Skaria Ms. Shruti Jolly Ms. Shipra Jain (Editorial Assistance)

The Investment Commission of India expects a triple growth rate of the retail sector by 2015. India is now the most sought-after retail destination in Asia, next to China and Dubai. Very soon India will witness an accelerated entry strategy of retail giants like Walmart (USA), Tesco (UK), Metro (Germany), and Carrefour (France), fueling the growth of organised retail sector in India. FDI in multi-brand retailing must be dealt with cautiously. It might result in the monopolisation of the domestic market by large international retail giants. As per the new FDI policy, foreign retailers are to invest a minimum of $ 100 million, in cities with a population of more than 1 million. Out of this, a minimum of $ 50 million is to be invested in building and strengthening retail-based infrastructure. This back-end infrastructure must be operational within a time span of three years from the date of establishing the retail business in India. Further, the policy empowers individual state governments to allow or disallow foreign supermarket chains in their respective states. The Indian Farmer and Industrial Alliance (IFIA), a joint venture of the Consortium of Indian Farmers Associations (CIFA), has expressed its support for opening the retail sector to foreign investment. Multibrand retail stores will assist in keeping food and commodity prices under control. FDI policy is expected to benefit the agrarian economy with sound supply-chain infrastructure, including reduction of food grain and other agricultural produce waste, on-site processing, scientific handling and quick transportation through cold storage chains to the final consumer. Farmers can get more competitive prices, due to direct procurement of agricultural produce by retail giants through possible elimination of middle men, in the long run. This process can efficiently bring “producers to the door steps of consumers”. The role of retail giants would gradually transform India’s retail trade into an organised sector by bringing in international best practices. Multi-brand retail is also expected to generate ample job opportunities along with huge investments to be committed in training its employees. Consumers will have a wide choice of quality products and services to choose from. Yet, FDI in retail will not serve as a magic wand to undo our problems in agriculture, manufacturing, infrastructure and other allied sectors, which we ourselves could not solve in 65 years of India’s independence. Dr. P. Malarvizhi Professor, Accounting & Finance, IILM

Edge

The

Convocation Ceremony of IILM Institute for Higher Education, 2012

IILM Academy of Higher Learning, Lucknow Celebrates its 2nd Annual Convocation Ceremony

LEAP - Learn, Explore, Absorb and Participate

The Orientation Programme at IILMAn Education in Itself

Contents IN-HOUSE MAGAZINE FOR LIMITEd CIRCULATION

43 19

Organizational Meet: Sharing Best practices across campuses

22 23 26

Advanced Management Programme at IILM Brand China Executive Compensation: How much is too much?

Will Kirana shops survive the tide of Organised Retailing in Emerging Cities of India?

Does GDP Really Add up? Going beyond the Traditional GDP

34 36 37 38 40 43 45

Higher FDI In Retail: To Be Or Not To Be?

Apple of our eyes Ruchir Sharma’s Breakout Nations Be Unreasonable The Theses I Wrote, the Day I was BornMy Life What is today’s youth? Ethical and Moral Standards for Successful Leadership Lost and Re-Found: Kashmir 3

Prof. Sapna Popli, Shri Hari S Bhartia and Mrs. Malvika Rai lighting the lamp at IILM Convocation, 2012

Convocation Ceremony of IILM Institute for Higher Education, 2012

ILM Institute for Higher Education held its 7th convocation ceremony on May 11, 2012 at IILM Lodhi Road, New Delhi. Shri Hari S Bhartia, CoChairman and MD, Jubilant Life Sciences Ltd. graced the occasion as Chief Guest. The ceremony started with the entry of the academic procession led by Dr. Shuchi Agrawal. The guest of honor Shri Hari S Bhartia, Chairperson, Ms. Malvika Rai and Director Ms. Sapna Popli lighted the ceremonial lamp, which was followed by Saraswati vandana.

About the Guest of Honor Mr. Hari Bhartia is the cofounder of Jubilant Bhartya Group, a national and global leader whose business interests are diversified in various areas that span life sciences, oil and gas, agri inputs, performance polymers, food service, retail, as well as consulting in aerospace and oil field services. A Chemical Engineering graduate of the Indian Institute of Technology (IIT), Delhi, he was conferred the Distinguished Alumni Award in 2000. He has been Chairman of the Board of Governors of IIT Kanpur and is

currently Chairman, Board of Governors of the Indian Institute of Management, Raipur. He has also been a member of several Indian Government Committees on educational, science and technology programmes and is currently a member of the Indo-US CEOs Forum and Indo-France CEOs Forum. Many of us might know him for another reason: not only is he the one who brought the international pizza chain Dominos to India, but he made its operations in India so successful that it now is a crown jewel in the global Dominos chain. The group

Prof. Sapna Popli, Director, IILM

Graduating students in joy

has recently tied up with Dunkin Donuts and brought the international food chain into India.

Directorâ&#x20AC;&#x2122;s Speech Ms. Sapna Popli welcomed the graduates, parents and other guests. She then presented a report on the PGP Programme and elaborated on IILM's journey, specifically during the last two years. â&#x20AC;&#x153;The post graduate programme in management continues to be

our main stream programme that prepares students for careers in business & management. In todayâ&#x20AC;&#x2122;s convocation, more than 500 students are being conferred their diplomas in management. Our aim has been to maximize the learning value over the two years that the student spent with us, both in class and outside class through a strong student-faculty bonding. We have made efforts to engage industry more actively in the programme by means of

visiting professors from industry, curriculum seminars and adding a number of our alumni & recruiters on our board. The curriculum for the current batch has been developed on an integrated organizational perspective orienting students towards an organizational setup from day one. We still have a long way to go to imbibe this structure & philosophy and embed it in our processes and systems across campuses. We endeavor to provide global exposure to our students where distinguished international faculty and speakers are invited to offer full courses on campus. We also receive and send many exchange students to our partner Universities in France, Germany, Austria, Korea and China. Placement for the Batch 2012 has been a rewarding experience. More than 600 students got placed in reputed companies like Citi Bank, HDFC, ICICI, Edelweiss, Grail Research, Ernst and Young, Nestle and ITC Ltd to name a few. The highest package for the batch has been Rs. 11 Lakhs per annum and close to 370 companies have engaged for recruitment of students this year. As we see the market dynamics changing, executive education seems to be catching up to be one of the emerging streams for the years to come. In the executive education domain, IILM launched an Advanced Management Programme in February 2011 to cater to growing needs in this sector. 13 AMP modules have been conducted since then. Faculty and speakers have been invited from the best schools in India & abroad Dr. Priya Ragubir from Stern School of Management, NYA and Dr. Catherine

Thomas from Columbia Business School, Columbia University and Dr. Robert Wright, The Wright Business Institute, Professor Chris Booth, Sheffield Hallam University & Prof. S. Manikutty from IIM, Ahmedabad just to name a few . Outside of the AMP, IILM has also conducted more than 40 open MDPs on a number of topics in collaboration with PhD Chamber of Commerce & the CII. We have also organized more than 20 Short-term In-service Training programmes for IAS and IPS Officers during the last couple of years in the areas of ‘Management of Environment’, ’Project Planning, Leadership & Team Building’. This year we also launched a new journal for & by practitioners called the “IILM Management Review”. The IMR was conceived as a publication that can cater to the felt need where practitioners in particular would be able to bring their rich knowledge, experiences and research into the academic world. As an institute, we continue to commit ourselves towards continuous improvement & exceeding our customers’ expectations.”

With the above overview, Ms. Sapna Popli encouraged the students and gave them best wishes for the future ahead. “Most opportunities come dressed like a lot of work”; accept challenges, take the initiative, put in your best in whatever you do and you will see your dreams come to reality soon.” The Dean of the Post Graduate Programme, Dr Shuchi Agrawal, then requested the chief guest to award certificates to students. Following this, Ms Malvika Rai, Chairperson, awarded meritorious students the Dr. Kulwant Rai Gold and Silver medals for overall excellence in academic and co-curricular activities.

Medalists Ms. Nikita Chhabra: Recipient of the “Dr. Kulwant Rai Gold Medal” for securing first position in the PGPM and Dr. Kulwant Rai Medal for securing first position in Finance Mr. Vaibhav Gupta and Mr. Shivendra Pratap Singh: Dr. Kulwant Rai Silver Medal” for over-

Ms. Nikita Chhabra receiving the Dr. Kulwant Rai Gold Medal from Mrs. Malvika Rai for securing first position in Post Graduate Diploma in Management

all performance in academic and co-curricular activities Ms. Akanksha Jain: Dr. Kulwant Rai Medal for securing first position in HR Ms. Anjali Singh: Dr. Kulwant Rai Medal for securing first position in IT Mr. Chiranjeev Brahma: Dr. Kulwant Rai Medal for securing first position in Marketing After awarding the diplomas to students, chief guest Shri Hari S Bhartia was requested to deliver his convocation address. He started by congratulating all the students on graduating from IILM.

Speech by Chief Guest “All of you have great responsibility when you go out and wherever you work as an entrepreneur, as an employee, as somebody who participates in the economic, political or social system. You have to remember that you have to continue to build and add to the reputation of the institution you come from. I think your institution will be known by the work

Mr. Vaibhav Gupta receiving the Dr. Kulwant Rai Silver Medal from Mrs. Malvika Rai for overall best performer in academics and extra-curricular activities at IILM, Lodhi Road

you do, make sure you continue to act with the good work the institution has been doingâ&#x20AC;? He then went on to speak about the economy and the eight trends that students must watch out for as they become part of our economic system. â&#x20AC;&#x153;The first trend is the progress under coalition governments. People sometimes say can we continue proceed with the reforms or our economic agenda if we have coalition governments. I think we must understand that the first 50 years Congress ruled as a single party system, our economic growth was averaging at almost 3-4 percent. And then there were changes in the government, when economic reforms started by our present prime minister, we started seeing a growth rate of 5-6% from the early 90s to 2000. Year 2000 onwards we saw coalition governments coming into power, our average growth in last 13 years was a 8%. So one thing is quite clear, that coalition governments also allow growth to prosper and the trend will continue to stay.

The second trend to follow is that power will go from the centre to the states. I want to talk about the importance of states and local governments. You will find that importance of execution of policies or reforms or economic development responsibility will go to the states. From the states hopefully to the districts and to the villages where the panchayats will get more empowered. This trend cannot be reversed because everybody who is a citizen wants participation, and there no better participation than participation locally where you can influence change and you are allowed to have a voice in the local governance where you live. Thirdly, I think everything, especially information moves at the speed of light. Transparency is becoming more and more relevant and important for all of us. The Right to information act, now everybody has a a camera on their cell, internet is accessible, even if you donâ&#x20AC;&#x2122;t have internet connection today through your mobile phone you can access to the world of information. Infor-

mation is very powerful.. Media is very powerful. Today media is getting into our lives, into our homes. So whatever you do, you must remember the whole world is watching you. And our conversations are becoming more and more transparent because we are part of social media. Fourthly, inclusion, we have to remember in our lives that we cannot live in an affluent manner when we have not included a large part of our society. How do we include a large part of the population which has not seen the impact of growth? Today India is growing at 8%, but is the benefit of growth reaching the large mass of people in the rural areas, in the poor urban areas, are they being uplifted with the economy. I think inclusion will become more and more relevant, and a large part of our resources from the government, from state governments will have to be invested for inclusion. So I think all of you will play a very important role in making sure that whatever work you do, whether it is in the social sector as a social

Mr. Shivendra Pratap Singh receiving the Dr. Kulwant Rai Ms. Akanksha Jain receiving the Dr. Kulwant Rai Silver Medal from Mrs. Malvika Rai for overall best perMedal from Mrs. Malvika Rai for securing first position former in academics and extra-curricular at during orientation in Human area Undergraduate Business School students activities seem excited at Resource IILM IILM,Gurgaon

The Academic Procession seated at the Convocation Ceremony

entrepreneur, as a businessman, as an educationist you need to make sure to be inclusive in your approach. The fifth trend I want to talk about is urbanization, 70% of India lives in rural areas and agriculture which is the main stay of the rural economy is only 15-17 percent of entire GDP. You can do your own calculation, can 15% of GDP sustain 70% of our popula-

tion? I think it is not possible. In the next 20 years we will see people move towards the urban areas because urbanization brings efficiency, manufacturing competitiveness, innovation in the eco-system and brings a higher level of employment. If we have to find new jobs this will have to come through entrepreneurship, other areas of services, manufacturing. So when you are looking at your own areas of work, you

Ms Anjali Singh receiving the Dr. Kulwant Rai Medal from Mrs. Malvika Rai for securing first position in Information Technology area

need to keep that in mind that in future urbanization will become a large part of your investment in infrastructure. It has been estimated that hundred new cities will have to be built and the existing city infrastructure will have to be changed. The Sixth trend to watch out for is consumption. Consumption in India is increasing and in the next ten years it is estimated to

Mr. Chiranjeev Brahma receiving the Dr. Kulwant Rai Medal from Shri Hari S. Bhartia for securing first position in Marketing area

Shri Hari S Bhartia addressing the audience

increase by 3.6-4 times. Thatâ&#x20AC;&#x2122;s a huge opportunity. Consumption is not growing so fast in other countries. The Challenge for India would be to satisfy the consumption needs with locally manufactured products and services. There is a large fiscal deficit or current account deficit because our imports continue to grow, while we are not able to manufacture enough products in India. We are not making the right investments. So that is one relevant part that you always need to think about. The seventh trend is innovation. What is innovation? I think India is a laboratory for great experiments for great innovation across many sectors. In fact huge learning is happening across the world, because people are starting to learn how Indian haves solve some problems. Off course

we have not solved all our problems. But in certain areas I think we have been hugely innovative and we are setting examples of how to provide services at low cost. If you look at even technology, today our telephone rates and mobile rates are lowest in the world. You can get a cataract operation for thousand rupees. It doesnâ&#x20AC;&#x2122;t happen anywhere else in the world. The other part I want to talk about is that innovation is incremental. In our manufacturing industry we are starting to see incremental innovation, which is bringing our product and prices down. Thirdly, we are also starting to see breakthrough innovation. So there is a huge eco-system where Indian companies are doing world class research. In pharmaceutical sector we we are able to create products or new drugs at almost 1/3rd the cost

in other countries. Innovation spells across companies which used to have four or five people in research. In my own company we had 25 people in research. Today we have 1200 people who do world class research, not only in India but globally. People are coming to India to learn how we are able to do this. The eighth trend I want to talk about is entrepreneurship. In the institutions of learning there are three responsibilities, the first, is off course teaching, second is research because research gives you new knowledge and the last part is translation. If you donâ&#x20AC;&#x2122;t have the ability the translate your learning and research into good use for human beings, for society then those all the learning and research is irrelevant. Translational comes through entrepreneurship.

An entrepreneur has the ability to look at ideas, look at research, and look at how he can make it relevant. I think India has an inherent ability for entrepreneurship. Indians are highly entrepreneurial because they have learnt to make do with very little. They have the ability to do things completely differently from what others can do. Only 20% of Indiaâ&#x20AC;&#x2122;s totally employed people are in the organized sector of employment. Out of which 50% are employed in agriculture, remaining are self employed, and are micro entrepreneurs I think all of you have that ability to be an entrepreneur not for yourself but to create jobs for others.

Graduates celebrating after the convocation

Shri Hari S Bhartia signing his caricature, with Mrs. Malvika Rai

These were the eight trends that will make the Indian economy stronger and we will become third largest economy in 2050. When we are the third largest economy hopefully poverty is gone and we would have included a large part of our people who have been left out of the benefits of growth. With that dear students, I congratulate you for completing

your degree. Wish you all the best. The convocation was declared closed then. The procession left the auditorium with the Chief Guest in the lead. Students who received Diplomas at the convocation followed the procession after Dr. Shuchi Agrawal on their way out of the hall. Later, the students gathered for a group photograph with the Chief Guest.

Prof. M.S. Sodha lighting the ceremonial lamp at 2nd convocation ceremony of IILM Academy of Higher Learning, Lucknow

Prof. M.S. Sodha addressing the convocation

IILM Academy of Higher Learning, Lucknow Celebrates its 2nd Annual Convocation Ceremony

he convocation ceremony is a cultural tradition that is considered a rite of passage. The ceremony marks a transition from one stage in a student’s life to another. To celebrate the same, 2nd convocation ceremony of IILM Academy of Higher Learning, Lucknow was held on September 8th 2012, for the batch 2010-12. Students who successfully completed their Post Graduate Diploma in Management were awarded Diploma certificates. The Chief Guest on the occasion was Padamshree Prof. Mahendra Singh Sodha, former vice-chancellor Lucknow University. Prof. M.S. Sodha lit the ceremonial lamp after the academic procession was seated on the stage which was followed by Saraswati Vandana. Dr. Ashish Bhatnagar, Director, IILM Acade-

my of Higher Leraning, Lucknow welcomed the students, parents, media and the corporate dignitaries to the ceremony. Thereafter, he introduced the chief guest and his contributions to education system especially in the field of Physics. Prof. M.S. Sodha pursued his higher education from Allahabad University obtaining D.Phil. He joined the Indian Institute of Technology Delhi as Professor in the Physics department in 1964. He has made outstanding contributions in the area of Energy, Fusion plasma, solid state Physics, optics, combustion and ballistics. He has to his credit 500 research papers in national and international journals of repute. He has published 13 books and 12 reviews and also supervised more than 65 doctoral students. He has been the Vice- chancellor of Devi

Ahilya Vishwavidyalaya, Indore (1988-92), Lucknow University (1992-95) and Barkatullah University, Bhopal (1998-2000). Professor Sodha was awarded the prestigious S.S. Bhatnagar Award in 1974, Hari Om Ashram Prerit Shri S.S. Bhatnagar Award in 1978 and Padamshree in 2003 for his outstanding contributions to Science and Engineering. The Academic report for the year 2011-12 was presented by Ms Sheetal Sharma Faculty Incharge- Academics. Speaking on the occasion Prof. Sodha, shared his experience and wisdom with the students. He congratulated them for a well deserved honor of being management graduates. He reminded that the name of the institution contains the word “Learning” which means

Ms Vaishali Anand receiving her Post Graduate Diploma in Management Certificate from Prof. M.S. Sodha

something that should not be limited to time but should be life-long. He suggested that learning should be by way of – experience, communication, teamwork, books and journals, through participation in conferences and interaction with experts of various disciplines. Formal academic learning should always continue by way of Journals and trade magazines and for this he recommended that the students should develop a habit of reading Harvard Business Review and other reputed publications. He was of the view that new ideas, innovations and learning’s from life should be based on the maxim of Satyam, Shivam, Sundaram: Satyam – All decisions and actions should be guided by truth not conjecture, as far as possible. Shivam – The results of one’s action should be beneficial to everyone (to yourself, to the organization, to the customers and to the society at large). Sundaram – It means that whatever we do should be aesthetic, presentable and acceptable to one and all.

Momento presentation to Prof. M.S. Sodha by Maj. Gen. B.D. Wadhwa

He emphasized the importance of effective communication as it is the key to success in one’s life. In today’s global scenario young graduates may be placed in any part of the world, therefore understanding of local culture – do’s and don’ts is a must for survival and growth. He appraised the students about the importance of analytics in every field with special reference to research in marketing, operations and statistics. Students should identify such professionals in their respective fields and interact with them continuously to develop an analytical framework for success in their career. Prof. Sodha guided the students to strike a balance between work and life, as performance in one field affects all other domains of life. The students should learn the art of engaging and interacting with everyone on the professional and personal front. They should also analyse their strengths, skills, available resources and should take an account of the prevailing weaknesses. He concluded with a universal truth – “change is the law of nature”, so each individual needs

to be adaptive as per the environment. He quoted “Success of a company often leads to its failure as there is reluctance to change”. Finally, Prof. Sodha handed over the Diploma certificates to the graduating students wishing them success in all their future endeavors. (Retd.) Maj. Gen. B.D. Wadhwa (AVSM), Director General IILM, presented Shri Kulwant Rai Gold Medal to Ms Arpita Mehrotra for securing the First position. Ms Sonam Gupta was awarded the Chairperson’s Silver Medal for securing the Second position while Ms Vaishali Anand received the Director’s Bronze Medal for securing the Third position, overall. He also felicitated the Chief Guest by presenting a memento and thanking him for his gracious presence. Vote of thanks was proposed by Ms Naela Rushdi, DeanPlacements. The Rite of Passage concluded with the singing of National Anthem and customary clicking of the hood- raising photographs of graduating students with the Chief Guest, Director General and Faculty members of IILM Academy of Higher Learning, Lucknow.

LEAP - Learn, Explore, Absorb and Participate

he LEAP Programme at IILM was specifically designed for undergraduate students and was a pre-cursor to Bradford Semester. LEAP which is an acronym for Learn, Explore, Absorb and Participate was designed as an invigorating 7 week programme. The programme started from July 30th and continued till September 15th 2012 prior to the commencement of the Bradford semester. This programme was aimed at not only guiding and assisting the students to understand processes and procedures at IILM and University of Bradford but it also gave them an opportunity to get to know their batch mates and faculty. The programme was designed in such a way that every Monday, students were oriented to the different aspects of Life @ IILM. They were introduced to their IILM family comprising of batch mates, seniors, faculty , alumni and mentors. From Tuesday to Friday , a series of Modules were designed which enabled students to analyze problems ,think critically and brainstorm on major issues and communicate more effectively with others. Day 1 of the LEAP programme began on 30th July 2012 by welcoming Undergraduate students of batch 2012-15. The course of the day was designed in a way to

Student engagement activities during Leap

orient students to IILM. The first welcome session was addressed by our Director Ms Sapna Popli where students were acquainted with the importance of management in today’s time. A small interactive session with parents was insightful in knowing their expectations and orienting them to their 3 year journey with IILM.

ing. Design, is a core component of the development stage in a product’s life cycle. This requires design to be hardwired into an organization’s culture and to follow a systematic, structured approach to it. This is what is known as ‘design management’, which acts as the interface between design and management.

Our first module began on Self Enhancement and on managing stress, channelizing anger and handling peer pressure which is most required for the students in today’s busy and fast life. We then moved on to the second module on Brand Design Management. We all think that design is nothing but a good sense of aesthetics, but many fail to even fathom the various layers that underlie its mean-

In today’s age of information overload, analysis of information for appropriate decision making is extremely important .Therefore second week of LEAP started with module on Basics of Excel. One of the simplest tools for effective decision making is spreadsheets. The aim of this module was to provide an exposure to the use of spreadsheets for simple data management. The module was

Cultural day during LEAP

In today’s age of information overload, analysis of information for appropriate decision making is extremely important. Therefore second week of LEAP started with module on Basics of Excel designed as a hands-on and interactive module aiming to acquaint the participants with the basics of excel. No analysis is complete if it is not communicated effectively; therefore we aligned the next module on Social media

â&#x20AC;&#x201C; The New communication arena. Communication channels have radically changed not just for us but also for businesses around the world. We are all living out of Industrial Age & moving into the Information/Social Age. We are supposed to Talk/Network/Share more than ever. It is imperative that students understand the nuances of the all social media tools i.e. Facebook, Twitter, LinkedIn, Blogosphere etc. and utilize them for their future benefit. Third week begin with celebrating Cultural day at IILM, which was designed to facilitate interaction among the students and faculty. The day was fun filled with activities like tongue twisters, ice breakers, singing, dancing and role plays. The following week started with a session on Global Political Environment which addressed many burning issues. To accompany this brain storming module we introduced concept of Emotional Intelligence an ability of a person to use emotions as a guiding tool for interpersonal effectiveness in his or her social environment and enable students to develop confidence and skills to behave and communicate effectively in a wide range of situations Fourth week commenced with an Industrial Visit to Pepsico plant which was aimed at giving students a real life perspective how brands are built. The remaining three weeks commenced with modules delivered by experts like

Mr Manoj Raghvanshi on Confessions of Media Man, describing what lies behind the attractive world of media. Most awaited and appreciated session of the LEAP was by Mr Pankaj Dinodia, Chief Executive Officer of Dinodia Capital Advisors on Investment Banking which was designed to explain students meaning and importance of investment banking, its future scope and career prospects. In addition to these we had lectures by our alumni and experts on entrepreneur-

ship and E-business in digital age describing and discussing with students the new age of business and its relevance. Some of the other modules which were delivered were 7 habits of effective manager, effective learning skills which guided students on how to develop their personalities for the future. LEAP ended on September 15th 2012 with modules on networking and leadership. In all students were able to learn, explore, absorb and participate during the 7 week long program.

Students enjoying the painting activity

Mentoring session

The Orientation Programme at IILMAn Education in Itself The Orientation of nearly 400 students, which seemed like a formidable task, was meticulously planned and flawlessly executed by the faculty and staff at IILM.

ntroducing new students to the IILM community is an imperative part of the academic experience. Communicating with incoming students, getting them acclimatized to the institution and acquainted with the curriculum, is the key to a successful academic year at leading Business Schools, across the globe. With the same objective, IILM Institute for Higher Education, welcomed it’s 2012-14, postgraduate students to an intensive five day preterm Orientation Programme at the end of June this year. The basic objective of the orientation programme at IILM was to assist new students as well as their families in understanding

the purpose of management education and the mission of the institution. Students join a business school with an expectation to not only gain technical skills but other skills as well which help in their career growth. A week long orientation programme was designed to assist students in assessing their interest and abilities, examine their educational goals, making decisions and developing a short – term and long – term plan to meet their objectives. It also provided a valuable introduction to some of the support services that are at the students’ disposal, and it gave students some insight into the academic skills and techniques that are required to secure success at the postgraduate level. Another important aspect of the programme was the opportunity to meet fellow students, faculty and administrative staff.

The Orientation Programme at IILM, focused on various aspects of student development – from upgrading communication and networking skills, discussing teaching and learning methods, to instilling discipline, good work ethics and responsibility. All information, necessary to cope with college and hostel life, all areas relevant to the life of an M.B.A student as well as skills necessary for a successful career in the corporate world were touched upon. The Orientation of nearly 400 students, which seemed like a formidable task, was meticulously planned and flawlessly executed by the faculty and staff at IILM. All lecture sessions, interactions with students and activities that constituted the Orientation Programme were carried out, by ex-

Ms Rajni Arya, IILM Faculty counselling post graduate students

perienced faculty members, with panache. Orientation Highlights The first day of the Orientation Programme began with registration of all new students, at the helpdesks set up at the campus, followed by the welcome address. The Campus Heads at Gurgaon and Lodhi Road were the first to address the students and welcomed them to the institute. The address included a discussion on â&#x20AC;&#x153;Why an M.B.A?â&#x20AC;?, based on the 10 arguments on why one should get an MBA ,given

by Thomas Mac Kay, the assistant director of IT at Christopher Newport University. The second half of the day was reserved for a session on Mentoring for Success. Mentoring, the foundation of the student-teacher bond at IILM, helps forge a relationship between students and faculty members, which acts as a support system for students, through their tenure at the Institute After the mentoring session, the new students were referred to their mentors at IILM and the rest of the afternoon was spent on mentor-mentee interaction.

The first day of the Orientation Programme began with the registration of all new students, at the helpdesks set up at the campus, followed by the welcome address.

The second day consisted of four interactive sessions which covered important areas like teaching methods, essential skills for an MBA, Placement and Student Engagement.

Students engaged in team building exercise

The session on Teaching and Learning Methods introduces students to the lecture, seminar and case study methods of teaching at length, with the help of Harvard Business cases and simulated exercises. The second session focused on multiple skills critical for a Management student to succeed. The Skills for Success that were discussed, included communication skills, time management, integrity and self-management. The students were encouraged to inculcate these skills as milestones to a successful future in the Business/Corporate World.

Ms. Priyanka Anand, IILM Faculty conducting a session on communication skills

The third session aimed at creating awareness about, jobs, careers and the Placement process at IILM.

The relevance of Student Engagement and how IILM supports itâ&#x20AC;&#x2122;s students through various modes, mediums and processes was also discussed. The third day was spent primarily discussing two areas. In the first half, IILM Vision and the MBA Programme Level Goals were shared with the students. Later in the day the importance of Networking in the Life of an MBA student was discussed. How students can tap into their social, family and professional networks to get good internship and job opportunities as well as promote business ventures.

The last day of the Orientation was packed with interactive sessions on Team Building,Creating Self as a Brand and Student Engagement through clubs

On the fourth day of Orientation, the students were introduced to faculty members, from all academic disciplines.In the session that followed, information with regards to Learning Facilities and Resources at IILM, Effective Learning Services, the IILM policy on Plagiarism and International Student Exchange and Summer Programmes offered at IILM. The last day of the Orientation was packed with interactive sessions on Team Building,Creating Self as a Brand, Student Engagement through clubs, How to Network through Social Media and Building Teams With Alumni. The five day Orientation Programme was concluded with an address to the students. For skeptics or some administrators who may find such an Orientation Programme an overload of information, having gone through the entire orientation, one can assert that the orientation served academic goals by serving as a platform for interaction among the students and faculty members.

Student engagement exercise

Session on the importance of networking

The sessions were well structured and organized which gave useful insights and best practices

hat is the best practice in any organisation?" There could be multiple answers to this question but I guess majority would agree that sharing best practices with each other is definitely amongst the top Best Practices prevailing in any organisation. There is no point reinventing the wheel and wasting resources, time and energy when others know how to do it and you have the option to learn from their experience. But unfortunately, on many occasions due to lack of communication these practices are not shared. So, the main focus of this retreat was to share the best practices followed in different campuses with each other so that others can learn and implement these best practices at their respective institutions.

Organizational Meet: Sharing Best Practices Across Campuses

These meets have been a regular feature at IILM but this was a different and special as not only did the management colleges participate (as previous meets) but engineering college, design school, Undergraduate Business School and Banyan Tree School staff was also invited to be part of this meet. This was for the first time that entire IILM family was together and we got a chance to interact with colleagues from different campuses.

Dr. Pragya Sonawane and Dr. Sanyukta Jolly sensitizing the audience to the talent management process

The first day started with the introduction of various campuses, many of us got to know about the various undergraduate programmes offered by IILM.

Prof. Raghuvansh Mathur

The next session was on the IILM vision and mission. At IILM, the vision is considered to be the guiding principle for all employees and hence this session on Vision and Mission Statement gave everyone a better understanding of the same. The importance of listening to customers was also

highlighted in this meet and means & ways were discussed in which their views/ideas/suggestions could be considered. The key take away from the session was that interacting and listening to oneâ&#x20AC;&#x2122;s stakeholders regularly is very important as it give insights to understanding the entire problem making it easy for to solve the problem. The world is changing and similarly teaching methodology is evolving. Now students prefer to spend most of the time online and prefer to read ebooks than hardcopies of books. Keeping in view the new trends, IILM Gurgaon is actively using Learning Mangement System tools. In this session all the online tools were shared with other campuses. With the help of these tools, all presentations, study material, case studies would be available online for

Session on Total Quality Management

students to access from anywhere anytime. It was also discussed that use of itunesU should be encouraged by faculty so that students start watching videos from the best Universities to understand the concepts in a better way. The key take away from this session was that it is very important for faculty to make their courses interesting as there is always more learning when students enjoy what they learn. A session on social media discussed the importance of utilizing the social media platforms to engage alumni, students and faculty. A session on Total Quality Management was an eye opener for most of the participants. Substantial amount of time is spent on non value-added activities and hence there is a need to work on reducing time spent on these and focus on value-added activities.

We need to analyze each and every process closely so that we can reduce all those steps which are not adding any value. An exercise on classifying daily tasks handled by an individual into value added and non value added further helped to get a better understanding of this concept. Many suggestions regarding the curriculum design came up, especially on incorporating industry feedback. A session on the Mentorship Programme helped everyone to get clarity on the role of mentors and how it can be made more effective. The meet helped all participants understand the basic guiding philosophy of the group and a chance to share the best practices with other staff. It served as a platform to interact with colleagues across campuses.

Contributed by : Vinay Chirania, IILM Jaipur Campus

Impressions and Takeaways of participants: “We believe in vision that shines in our eyes, We dream together for getting the heights! Moving ahead with steps, affirm and strong, Our actions are endorsed with the mission we belong!! These words were reflected during the meet at Lodhi Road Campus. The sessions provided ample opportunities to talk and to relate our campus with the IILM family. During the session on vision and mission of IILM, Mr. Anil Rai stressed that each and every action of ours should reverberate our vision and mission. During the session on 'Listening to our Customer', many ideas were spurt out for creating feasible and effective communication-threads with students, parents and recruiters. We appreciated the session on administration, presented by Mr. O.P. Sharma, that drew our attention on various concerns including safety and security at campuses. The brainstorming session on various roles at different fronts indicated towards the expansion of our role as a teacher, mentor and facilitator. Certain takeaways from the meet are online tools for an enriching learning process and students and alumni involvement through social media. The session on quality management gave us idea of re-analyzing the existing processes at various fronts for enriching students' experience. Mentors play

a crucial role in enhancement of students' employability and students' experience at our campus. Being a convener, the thought of engaging mentors from admission to final placements gave me more ideas on elevation of students' employability. The session on 'Plan of Action' gave us a chance to club our ideas for taking a lead towards the vision. The meet was well planned and paced with unlimited possibilities of further dialogue among the campuses.” By Dr. Shikha Kaushik, Dean, IILM-AHL, Jaipur Campus “The Two days at the meet was like a comprehensive induction programme for me, since I was just two months old in the organization. The session ‘Vision to Action’ helped me understand the philosophy and value of the organization. I felt part of

a larger family where everybody shared the same aspirations and goals. The sessions on Total Quality gave a new insight into bench marking efficiency. It created a sense of ownership for improving the performance of the team, how each member is like a cog in the wheel sharing the responsibility of ensuring smooth functioning. Turning non value add work to ‘value – add” . The session on ‘Best Practices” was my major take away, learning from each other’s experience and adopting the best. It helped gain fresh perspective, reiterating the belief in the collective wisdom of a team. The session on technology focused on how social networking sites can play a major role in promoting and reaching out to the parent and student community. The facilitators very methodically explained the importance of e- learning systems in saving time and energy and building a resource pool. It all appeared very do able… suddenly which earlier seemed like a herculean task!! The presentations on ‘Know your customer’ was like a marketing session in a capsule! Bringing the importance of “Numbers’ for each member. I came back validated about my belief in the competence and cooperation of a team. With renewed energy and enthusiasm and realigned focus, It was truly an enriching experience.”

Prof. Sapna Popli addressing the audience

By Indu Mehrotra, Principal, The Banyan Tree World School , Gurgaon

Advanced Management Programme at IILM AMP Module on Supply Chain Management On 13th and 14th July 2012, Dr Balram Avittathur, Professor of Operations Management, IIM Calcutta conducted AMP Module on Supply Chain management at IILM, New Delhi campus. Explaining the significance of Supply Chain Management (SCM), Professor Avittathur pointed out that SCM is one of the most powerful sources of competitive advantage for firms in recent times. Unlike the compartmentalized manner of efficiency and effectiveness (service) enhancement pursuit in traditional management, SCM attempts to enhance the same at the value chain level through higher focus on coordination and integration among the various partners of the supply chain to provide greater value to the customers. Supply Chain Game, and Coordination problems through

Game Analyses were highly appreciated by the participants. The SCM Module also brought up key issues in Capacity Planning under Uncertainty, Supply Contracts, Procurement Strategies, and best practices in Supply Chain Management. All these issues got active participation from the various participants especially the practicing managers.

System level optimisation rather than local optimisation

Wrapping up, Professor Avittathur summarized the SCM Philosophy:

The Module superbly covered The Role of Finance, the Financial Markets, valuation of Stocks and Bonds, calculation of Risk and Return, Risk and Return Relationship, Theories of capital Structure, Capital Investment decision Making, Project Appraisal techniques, Estimation of Cash Flow, Project Risk Assessment, Raising Domestic debt and equity, Euro Issues, and Working Capital Management.

The entire supply chain is a single, integrated entity The cost, quality, and delivery requirements of the customer are objectives shared by every company in the chain Inventory is the last resort for resolving supply-and-demand imbalances between the tiers “Adjusting supply to match demand” rather than “influencing demand to match supply”

AMP Module on Advanced Corporate Finance On 17th and 18th August 2012, Prof B.B. Chakrabarti, Professor of Finance, IIM Calcutta conducted module on Advanced Corporate Finance at IILM, New Delhi campus.

Participants highly appreciated Professor Chakrabarti’s style and his ability to explain complex issues in a very simple manner.

Professor B.B. Chakrabarti along with participants at 14th AMP Module at IILM, Lodhi Road

faculty article

Brand China

Prof. Sujit Sengupta Area Chair - Sales & Marketing, IILM

ei Jun – Chairman and Chief Executive Officer of Xiaomi Corp has once said according to one report, “Doing the right thing is much more important than doing the things right. A pig could fly if it finds itself in the eye of a storm.” Prob-

Doing the right thing is much more important than doing the things right. A pig could fly if it finds itself in the eye of a storm.

ably by this he means that things get much easier if one jumps on the band wagon of existing trends instead of innovating new trends. He has been successful by doing what he preaches. Xiaomi, therefore, offers high capability Smartphones below $317 (<2000 Yuan), an aggressive pricing strategy that almost puts the selling price at the factory cost (perhaps same as Apple’s manufacturing cost). It has become the first company to sell high-end Smartphones at a relatively cheaper price. Prior to this Lei Jun worked with a software company where he discovered new Internet companies and made a fortune easily. The mobile internet is the next big trend,

and Lei Jun is busy doing the right thing. He might be an example of successful business mantra of the country he belongs to, China. Today China has overtaken the United States to become the world’s largest Smartphone market by volume in the third quarter of last year. Nearly two thirds of Chinese people will be using Smartphones by 2013. Xiaomi has more practical strategy- targeting emerging markets and India would be no exception which today is dominated by Korean giant Samsung. Though it still needs time for customers in developed economies to recognise and accept a Chinese brand, China is slowly capturing the foreign shores. A lot of Chinese companies are good at innovation. Yet, Chinese products are often considered of lower in quality and `made in China` tag is very often looked down upon by quality conscious customers. This has good reasons too. This writer has faced inconvenience after buying China-made products a number of times. Consider these : A Nikon camera of Japanese origin with a `made in China’ tag ( probably assembled at a Nikon factory in China with few of its components sourced locally to keep costs low) became unusable due to a breakage in the battery door within a span of one year. In the past when Japanese brands were “really” made in Japan, this could never happen. A couple of years ago, a branded Korean air conditioner with its compressor assembled at their factory in China started to malfunction within the warranty period. One has gone through such experiences even while one travelled to England

or the US. A pedestal fan sourced from China and branded for sale by an established manufacturer in London (the name of the brand is being withheld for obvious reasons) comes with a misleading operating instruction, making the product unusable and untenable after sometime. This writer’s technical background

Yet, Chinese products are often considered of lower in quality and `made in China` tag is very often looked down upon by quality conscious customers

helped resolved the issue. But an American hemp garment produced at its hub in China injures the customer after the first wash due to improper riveting. These are all firsthand experiences. There could be umpteen such incidents that make customers averse to buying anything that carries a “made in China` tag. Yet, there are very few items that do not carry this tag. You may dislike this fact, but you cannot ignore this. China has made startling progress in terms of unbeatable cost advantage. Even in India where labour

is easily available, a traditional Indian product such as Kanjeervaram silk thread gets imported at unbelievable low cost than the home grown one. Children’s toys, lighting decorations during Deepavali festival, even traditional Indian electronic brands, to name a few, have almost eliminated local suppliers. More and more Indian private retail labels such as Reliance Digital, Chroma etc. are sourcing their products, at least a part of it, from China to maintain good margins. Not only this, Chinese workers are being increasingly hired for domestic infrastructural projects like power plant construction sites in far flung areas. It not only saves cost, but also enables the contracting companies to maintain the deadlines. The government has had to intervene to issue visa restrictions for their duration of stay in India to avoid conflict with local engagement of labour. Outside India, made in China’ labels are now as commonplace in the US stores as in the rest of the world. A good contribution of Wal-Mart’s revenue ($420 Bn) comes out of Chinese imports. China has emerged so rapidly as a manufacturing powerhouse over the past 15 years that nearly all major foreign companies have set up operations there. It has emerged as the world’s biggest goods producer in the world last year, reclaiming the global supremacy it lost in the 19th century. Changzou, 170 km west of Shangahai- is among the industrial pace setters in China making the country comfortably the world’s fastest growing manufacturing nation. Western companies now believe that China is advancing more rapidly towards high- end

Yuan and Yen without the need of American dollars. It will save both countries from saving the transaction costs of converting to dollars. This is a well timed move with the Eurozone crisis looming over and stagnation of the Japanese economy. It is expected that Yuan will become a global currency 20 years from now. And in final analysis, if the progress of a nation is determined by the number of medals the country wins, China’s success in the recently held London Olympics is extraordinary.

goods. According to an assessment of Swiss Swedish engineering group ABB the overall level of manufacturing capability in China- as measured by factors like quality of local supplies and the availability of top level design expertise- is now 75% of the level of Germany, while 5 years ago it was 50%. China’s increasing wage cost is now a major concern though. Between 2008 and 2010 the average year-on year rise in labour cost in China’s engineering sector was 11.6% as a comparable rise of 1.6% in the EU and a decline over the same period of 8.55% in the USA and 3% in Japan. The higher wages have triggered speculation that some foreign manufacturers would increasingly shift away from China to seek cheaper bases in South East Asia. But China has a pronounced advantage in terms of infrastructure, sophistication in manufacturing, on time supplies by a disciplined workforce, fewer quality problems, and improved

logistics network. The cost of labour is still often 80% - 90% cheaper than many western nations. The cost of making say a ‘capacitor’ in China is still 70% to 75% of the equivalent cost in Japan, as opposed to 80% to 85% a few years ago. Companies like Xiaomi, Huawei, ZTE Telecom (two large companies in Telecom business), Siemens (German engineering group with a base in China), Medtronic (a big US medical implant maker), National Bluestar (a chemicals group), Sany (a construction equipment business) to name a few are becoming world class companies and probably working for them would be the dream jobs of the modern generation. In June, 2012, China took a major step to extend its growing global economic clout by commencing direct trade of its currency, the Yuan with the Japanese Yen. China’s trading with Japan ($300 bn) – its second largest trading partner after United States will be settled in

Lei Jun of Xiaomi represents this bright scenario in China. Perhaps a short comparison with our country cannot be avoided in this respect. India really needs to pull up its socks, quite literally, to get going. Consider this: ever since our government adopted a symbol for the rupee which was expected to be viewed as a first step to internationalise the currency, Rupee has lost almost 20% of its value from around Rs. 45.00 to Rs.47.00 to a dollar to Rs.55.00 to Rs.57.00 to a dollar. Poor state of infrastructure, chaotic traffic and unplanned, shrinking road space, endemic corruption, lopsided, old labour laws and an inefficient and sloth bureaucracy are cited as some of our problems that slow down our business enterprises. Despite all these, we can move ahead as forcefully as China because of the ever increasing young, educated and a very positive manpower. If today appears to belong to China, despite the lack of confidence in its world customers, India definitely is not going to lag far behind.

References Financial Times Ltd 2012 FT/ India Today (12/06/2012)/ Daily Telegraph (21/08/2012)

faculty article

Executive Compensation: How much is Too Much?

Dr. Pragya Sonawane Assistant Professor â&#x20AC;&#x201C; OB&HR,IILM

understood in the light of the fact that 2011 was the second consecutive year experiencing dip in CEO salary (Leonard 2010). The question thus remains unanswered as to how much is too much? And what is it that determines the package taken home by the top guy. The article first attempts to delineate the factors that influence executive compensation and later discusses the nuances and repercussions of the same. CEO's are compensated for the skill they possess, their performance, the responsibilities undertaken and for taking risk while managing the firm. The complexity of the job has obvious influence on the compensation structure and hence the

Ms. Ranjani Matta Associate Professor-Finance, IILM

ecent executive compensation researches in US serve as a testament to the fact that money is never enough and that the rich always get richer. Steve Jobs may have spoken frivolously about money at various occasions, ironically his successor Timothy Cook grabbed the title of 'highest paid top executive' with a staggering $378 million as compensation last year. Cook received more than four times of the highest paid job in 2010. These figures can be better

pay structure is quite elaborate. Moreover the external factors also have a compelling impact and hence the compensation structure for top executives has gone through a major change in the past few years. The current compensation structure consists of salary, bonus, stock options, perquisites, joining bonus and severance pay. The factors that determine this structure can be categorized into individual and organizational type.

Determinants of CEO Compensation Individual Factors Age of CEO: Past research in this variable has shown that the age of CEO is positively related to

compensation. The reason attributed to this is the experience that the CEO would have gathered in the past. In Indian context, age is a very important variable in determining the compensation as the social norms grant a great deal of respect for age, since age is related to wisdom. Hence it is considered as an important qualification and determines the progress up the corporate hierarchy. (Kannan et al, 2000)

is said to be low. 3) Research has shown that higher proportion of family ownership is negatively related to salary. The reason attributed for this is that mostly in family owned businesses, a family member or a close relative is appointed as the CEO who takes lesser salary to avoid the higher tax bracket, while conveniently choosing the route of expense account to meet their living expenses. (Kannan et al, 2000)

Tenure of CEO/experience: Though it would seem that the longer the tenure of the CEO, more would be his experience and hence higher must be the compensation, research has shown negative correlation between the two.(Kannan et al, 2000) This is owed to the phenomenon of Salary compression which means that a longer tenure leads to loss of mobility for the executive and since internal pay increases are always not in par with market rates, there is related decline in compensation growth. This is also referred as the Loyalty Tax.

CEO Duality: It is believed that when CEO also assumes the role of the Chairman of the board, this increases his power in determining his compensation and hence there should be a positive correlation between CEO duality and compensation. However researchers have broken down the firms in 'family-owned' and 'non-family owned'. In case of 'family-owned' firms there is not significant relationship with CEO compensation, however it was significantly related to pay in 'non-family owned' firms. These finding are in sync with the findings in Shareholding pattern, which indicates that there is negative relationship in case of family-owned firms with compensation. (Kannan et al, 2000)

Organizational Factors: Share holding pattern: 1)Research indicates that firms with a higher proportion of government shareholding had a negative correlation with CEO compensation, but the relationship was not statistically significant. The weak effect might be indicative of the role that the government in a developing country plays. The main objective of the government is welfare of the people and hence the profit earned will be used in development activities and not retained by the agent. 2) In case of organizations where the proportion of shares held by public is high, the compensation

Firm performance: Firm performance is positively related to CEO pay. Pay for performance remains a universal phenomenon which is not country specific and holds true across all countries. (O'Reilly, 1988) Size of firm (turnover, assets, number of employees): Contrary to assumption, research indicates no significant link or a negative relationship between the size of the firm and CEO compensation. It is likely that Indian firms do not consider rewarding the CEO

for the managerial complexity involved in managing a large firm. (O'Reilly, 1988) Availability of talent and nature of Industry: CEO retention is a critical issue for a firm in a competitive job market. Moreover due to lack of internal resources and weak succession planning, the board ends up paying an exorbitant package to the CEO. This is also easier compared to the difficulty, disruption, time and cost associated with finding a replacement. The compensation also gets affected by the growth potential of a particular sector of economy. It is likely that industry differences continue to surface as the economy progresses and importance is placed on one industry compared to other.(O'Reilly, 1988) These generic factors are extremely instrumental in determining the executive compensation, however the question why is the chief executive compensation exceptionally higher than the others can be further buttressed from the different theories.

Theoretical account for High Compensation Some of the existing theories explaining executive compensation are marginal revenue product theory, human capital theory, opportunity cost theory, superstar theory, tournament theory and social comparison theory. Of the mentioned theories, superstar and tournament theory support the argument around excessive CEO compensation. Superstar theory explains why a few number of people earn enormous amount of money in comparison to the total population. Rosen(1981) argues why a

few comedians/doctors/singers/ actors command an extraordinary sum compared to the rest in the same discipline, similarly in academics a few small number of researchers account for large number of citations. This is owed to the fact that at top level of talent, smaller differences in talent result in higher difference in revenue generation. Shahrukh may be a marginally better actor than Imran Khan, however the movie tickets sold are significantly more for a Shahrukh movie than an Imran movie and hence the superstar charges exorbitantly. Lesser talent is an imperfect substitute for greater talent. Hearing a succession of mediocre singers does not add up to an outstanding performance. Also if a surgeon is ten percent more successful in saving lives, he would command more than ten percent premium for his services. Since a small difference in talent leads to a larger earnings differences, with the magnitude increasing near the top of the scale; the distribution of income and talent tends to be largely skewed. Tournament theory also explains the large gap between the salary of the CEO and the next level of Vice Presidents. According to Stanford Business School economist Edward Lazear, the excessive compensation that the CEO gets is not a reward for his/ her current performance, instead it is the pay-off for all the years he/she had put in extra effort while aspiring for the top job. It is further said that this excessive compensation is not motivating for the CEO, but for the VPs who aspire to reach the top level. "The CEO gets to enjoy the money," Lazear says, "but it's making everybody else work harder."

The tournament theory merits relative performance and not absolute performance, and hence in simple words, one just has to do better than other competitors to win the tennis match. Moreover, it is asserted that if the prize-money is reduced then there is less effort exerted on the part of players. One evidence from Golf is that raising total prize money by $100,000 lowered a player's score, on average, by 1.1 strokes over 72 holes ( researched by The Professional Golfers' Association). It is thus necessary to have a disproportionate size as the prize money to keep the surviving contestants motivated. However Lazear also asserts that when cooperation is sought amongst employees the salary differentials must be minimized.

Discussion These theories do give a scientific reason for the voluminous pay-check taken home by the CEO, however the moral hazard associated with the same are barely attended to. The question whether executive salary is a dipstick for organizational performance is avoided by all executive board members. Infact researchers have found that CEOs are paid large sums of money irrespective of firm's performance, since executive compensation tends to be one of the images of firm's performance and the board would want to present the perfect picture in the market. In India the trend in the CEO salary and also the concerns associated with it are the same as that in any developed economy. According to a study by AON Hewitt, CEO compensation is inch-

ing closer to the global executive pay; whether the finding can be a reason to rejoice or mourn is something that can be mooted. In times of economic crisis the issue becomes more of practical concern than just remaining ethical. Obama administration had to eventually impose a $500,000 cap on senior executive compensation for the most distressed financial institutions receiving taxpayer bailout money. The superstar theory is criticized here stating that tennis stars and great musicians do not disrupt the economy, nor do they ask for bailouts; it is the executives without any accountability who lead to crashing of economy( Towns 2009) The canvass of executive compensation is replete with various debates in past and is open for further argument; however if we view from the perspective of Herzberg who referred to money as a satisfier and not a motivator we may reach a point of departure. Moreover, it is at the lower levels of compensation, that increase in compensation motivates executives to work in favor of the firm; as compensation increases further the gain in marginal utility due to increase in compensation falls, thereby it fails to motivate the executive and further fosters the Peter principle. So do we continue to follow theories and believe money is never enough or do we measure the returns and then reward?? A universal idea/strategy may further strain the issue; a case wise approach focusing on nuances may be the possible panacea. However, no amount of research/argument would ever be too much!!

Professor B.B. Chakrabarti along with participants at 14th AMP Module at IILM, Lodhi Road

faculty article

Will Kirana Shops Survive the Tide of Organised Retailing in Emerging Cities of India?

ith the changing demographic features and improvement in quality of life of urban India, the Indian retail sector is witnessing a tremendous growth. As per AT Kearneyâ&#x20AC;&#x2122;s annual Global Retail Development Index (GRDI), 2010 India is ranked third in the list of most attractive market for retail investment. The retailers are now selectively focusing on smaller cities/emerging cities of India like Chandigarh, Ludhiana, Jaipur, Lucknow, Kochi, Nagpur, Indore, Nasik, Bhubaneswar, Visakhapatnam, Coimbatore, Mangalore, Mysore and Thiruvananthapuram. The emerging and potential cities are projected to contribute significantly to retail revenues. Although organized retailers entered the tier cities of India in early 2000, their growth has been modest during this period. This prompted a study to establish the potential of emerging cities for the growth of retailing with the focus on consumer preferences and behavior. Further, since these cities were dominated by traditional retailers, the study also attempts to establish the impact of organized retailers on unorganized sector with respect to the purchase behavior consumers of food and grocery (The outlets which sells food, grocery, household items, toiletries and cosmetics). The main objective of this study has been to analyze the impact of growth of organized retailers on unorganized retailers in the food and grocery segment in emerging cities of India. With this overall objective, the major sub objectives chosen were to analyze present retail scenario with respect to the share of unorganized retailers, the factors affecting the purchase behavior of consumers with respect to food and grocery and the perception of unorganized retailer on the entry of organized players based on performance of last two years. Further, the study was also aimed at establishing the future course of action of unorganized retailers

Dr. Smitha Girija Associate Professor, Marketing & Sales, IILM to compete with the organized retailers. Towards this the first set of hypothesis for the study was formulated to evaluate the unorganized retailer business, the second set of hypothesis was formulated to study the buying behavior of organized retail consumers and the third set of hypothesis was formulated to identify the buying behavior of unorganized retail consumers. The unorganized retailer survey revealed that using the facilities like air-conditioning, electronic weighing machines, computerized billing etc which has been the strong features of organized retailers and by incorporating the services like home delivery and cash credit would help them retain their customers as well as attract more customers. The finding of the customer survey with respect to the factors influencing the selection of an outlet also indicates the services and facilities provided by the outlet is a deciding factor for choice of outlet. Hence unorganized retailers should aim at imbibing the above mentioned facilities, to the extent feasible. The survey on the buying behavior of customer, reveal that the distance from the respondentsâ&#x20AC;&#x2122; residence to the outlet is one of the deciding factors in the preference of outlet. The customers do not mind traveling greater distances to reach an organized out-

let for the purchase of packaged foods household cleaning products and fruits & vegetables. This is also substantiated in the organized retailers’ customer survey results. This could be due to the wide choice of the products available in organized retail outlet. Hence unorganized retailer should endeavor to add more variety of household cleaning products, packaged food and fruits & vegetables in their outlet. Majority of unorganized retailers prefer to start another business along with the existing one which is indicative of their confidence in the existing business. However majority still feel that they need to adapt to changing market trends and supermarkets are the way to future. This paradox emanates from his lack of clarity as to the prospects of imbibing methods adopted by an organized retailer to woo customers. It is felt that a successful unorganized retailer should try and consolidate his stronghold, wherein he utilizes the available resources and innovative methods to face the challenges from the organized retailers. Towards this, initiatives like co-operative collaboration which enables individual retailers to match the prices offered by organized retailers may be attempted. It will entail central sourcing of consumer goods by the cooperative and then passing on the goods to the individual retailers along with the price advantage. This will then result in large base of consumers preferring to do business with the friendly unorganized retailer. One of the key observations by customers of organized retailers is that it is very difficult to find the uniqueness in retail stores. Uniqueness in retailing requires innovation through an appropriate mix of physical stores and online formats, aided by technology drivers like mobile phones, which would result in distinct retail models. This would also help them reach out to a wider customer base in a shorter time and at lower costs. Companies in India should seriously consider leveraging existing lines of business into retail formats, whether through a chain of stores or online sales models. There are ample opportunities for companies who wish to enter the retail business and develop unique value propositions for their customers.

The customer survey results reveal that a majority of consumers support opening of more organized outlets. This is due to the fact that consumers see large organized outlets as a way to an enjoyable shopping experience. It only reiterates that in addition to the price advantage, the image and the ambience of an outlet influence the consumers significantly. It is therefore beneficial for the unorganized retailer to find ways and means to give a facelift to his outlet in terms of these aspects. In this direction,innovative programmes such as “super value store programme” which is aimed at small unorganized retailers to upgrade the look and feel of the store and add value to their stores. As a part of this initiative FMCG companies buy shelf space from the retailer and give some discount on their products. Besides these tangibles they also train unorganized retailers on modern retail basics. Unorganized retailers therefore need to harness benefits of such programmes. Even in unorganized outlets it is beneficial for the retailer to have a one stop solution where all daily consumable items are available rather than having specialized products. This will draw more customers to the outlet and even increase the consumption of related items. One of the major hurdles in the development of unorganized retailer is lack of adequate funds. Majority of them are small scale retailers who don’t have the wherewithal to upgrade themselves to meet the changing market conditions. The government/financial institutions may consider this and offer adequate funds in the form soft loans. The survey findings are indicative of the fact that in smaller cities/emerging cities of India, there is a definite distinct space for different types of retail formats. The varying socio-economic and cultural aspects play a vital role in the preference of outlet. Not withstanding this modern efficient ways of conducting business is the need of the hour irrespective of the type of the retail outlet. The unorganized retailer in particular needs to be fully aware of this reality. The lower levels of education prevalent in the unorganized retail sector along with the instances of agitations against organized retail formats calls for institutionalized intervention by government agencies towards educating and supporting unorganized retailer.

faculty article

Does GDP Really Add Up?

Going beyond the Traditional GDP The GDP counts air pollution and cigarette advertising, and ambulances to clear our highways of carnage. It counts special locks for our doors and the jails for the people who break them…. It counts the destruction of the redwood and the loss of our natural wonder in chaotic sprawl…. Yet it does not include the beauty of our poetry or the strength of our marriages, the intelligence of public debate or the integrity of our public officials… it measures everything, in short, except that which makes life worthwhile. –Robert Kennedy

The relevance of Student Engagement and how IILM supports it’s students through various modes, mediums and processes was also discussed.

controversial Icon among the Economic Honchos, GDP, traditionally defined as the sum of all goods and services produced within a country in a given year, is the most widely used measure of economic activity. However it has been debated across the world that GDP measures income, not equality, measures growth, not destruction and courageously ignores the values like social cohesion and environment. There are several reasons which question the sanctity of this measure of economic growth and enable us come closer to the indicators that in actual terms measure the welfare of people.

Social

Bearable Sustainable

Environment

Viable

Economic

(Source: IUCN 2006)

Environmental Conditions are important not only for sustainability, but also because of their immediate impact on the quality of people’s lives

Ms. Nidhi Piplani Faculty Associate-Economics, IILM

To begin with, GDP does not take into account depreciation of capital goods, depletion of natural resources or degradation of environment. NDP or National Domestic Product does consider the depreciation factor however the possible reason why economists rely heavily on GDP more than NDP is that depreciation is hard to estimate. NDP too as a social measure though fails to take the environmental degradation into consideration. Environmental conditions are crucial not only for sustainability but because of their immediate impact on the lives of the individuals. Firstly, they have a profound impact on the human health both

A concept of the early 1990s that took account of the economic costs of depleted natural resources and incurred pollution affecting human welfare has gained momentum

Measures economic activity Gross Domestic Product Although we’ve tripled GDP over 54 years, we haven’t gained much on the GPI, it’s been flat for 25 years, and the gap is widening

Genuine Progress indicator Takes into account the environmental and social effects of economic activity 1950

1980

2004

Source: Redefining progress, rprogress.org

Gap between consumption and Human progress

direct (Air, Water& noise pollution etc) and indirect (climate change, changes in water cycles, loss of biodiversity, natural disasters etc) ways. Secondly, the benefit derived from healthy environmental services like clean water and air has a higher value. Thirdly, the satisfaction /dissatisfaction derived from environment have a direct impact on their life choices. Lastly, Environmental conditions instigate climatic variations, natural disasters which can be very harmful. Hence the existing indicator needs to be supplemented with indicators that are more reliable. Following are some such indicators

resources and incurred pollution affecting human welfare has gained momentum in both public policy and academia. One of the most noteworthy attempts was the implementation of the concept by the People’s Republic of China. The Chinese Government first released its environmentally adjusted GDP in 2006Green GDP which was jointly

prepared by the State Environmental Protection Agency and National Bureau of Statistics. The calculation included the assessments of air, water and solid –waste pollution as well as the costs of depleting natural resources. The report concluded a loss of environmental damages amounting to 3 % of the country’s GDP of 2004.

Liveable cities and communities Environment Long-term environmental practices

A better quality of life for all members of society

Society

Alternatives to GDP To overcome the limitations in the traditional GDP, several new metrics have emerged: •

Economic development combined with sustainable transport systems bringing solid economic growth

Social inclusion bringing economic prosperity

Economy

Green GDP

A concept of the early 1990s that took account of the economic costs of depleted natural

Business practices with low environmental impact

Broad-based economic and social development is ultimately the answer for greater environmental sustainability

ral and human capital. It estimates the domestic savings less the value of resource depletion and environmental degradation. Happy Planet Index (HPI)

after adjusting for environmental factors.

One among many reasons for people to perceive themselves as being worse off despite an increase in GDP is because they are indeed worse off

Back home, concerns regarding Green GDP have been raised. In 2008, the conventionally measured savings rate for India was 38% of our GDP and according to the world bank’s estimates, the adjusted net savings i.e. the macroeconomic saving rate adjusted for environmental pollution, resource depletion and related environmental factors was24% of GDP which means that if the real GDP is 9% per year, the net adjusted savings will reflect 6% growth per year Thus, there is a very substantial gap between the economic growth as measured by GDP & the real well-being of the country

• Gross National Happiness (GNH) A term coined by the Fourth King of Bhutan in the 1970s, GNH is based on the four pillars of sustainable development, preservation and promotion of cultural values, conservation of natural environment and establishment of good governance. • Index of Sustainable Economic Welfare (ISEW) Developed in the late 1980s, it accounts for both conventional economic transactions and nonmarket natural and social benefits. The focus of ISEW is to create a balance between positive transactions that benefit human well-being and negative economic activities that diminishes the determined value.

A relatively new metric introduced by the New Economic Foundation (NEF) in 2006, HPI bypasses the traditional monetary approaches and focuses primarily on the efficiency with which countries translate natural resources into human and societal well-being. It is the ratio of happy life years (the product of life satisfaction and life expectancy) to environmental impact (measured by ecological footprint). Conclusion One among many reasons for people to perceive themselves as being worse off despite an increase in GDP is because they are indeed worse off. To ensure that welfare is measured in its true spirit, it becomes imperative to take into account a metric that not only measures the economic development but measures development taking environment into consideration.

T f e b e w p

• Genuine Progress Indicator (GPI) Innovation of Redefining Progress, an NGO focused on Public Policy, this indicator developed in 1994 is essentially similar to ISEW. Both ISEW and GPI are being widely used by international Organizations, governmental agencies and academicians. Genuine Savings (GS) A common development metric proposed by the World Bank in 1999, it considers both natu-

The Happy Planet Index is the first

ever index to combine environmental impact with well-being to measure the environmental efficiency with which country by country, people live happy and long lives.

faculty article

Apple of our Eyes

W Ms. Prachi Chawla Lecturer, Accounting & Finance, IILM

hat is it about Apple that draws so many eye balls and so much headline space? I’ve never heard of people queuing up or sleeping outside stores to become the proud owners of the first Samsung S3 or Nokia Lumia or Blackberry for that matter. But, what is it with Apple that creates this magnetic field. There is no doubt about the fact that Apple products are superiorly engineered but what is it about them that creates that “halo”? Umpteen numbers of articles have been written about the comparison of iOS with Android. Numerous tech-gurus have shown a hands down to Apple when comparing it with Android vis-àvis the entire package of features and pricing. Still it continues to

make heads turn and stock prices soar. The answer lies in the snob appeal of holding the half eaten Apple. Which basically translates into “I have an Apple product.. Do you?” But the question is how does Apple manage to do that, whereas Samsung or any other smart phone can only be called followers of that dream. Apple has not come up with a path breaking feature this time with the iPhone but has still managed to keep so much hysteria around. The magic lies in the company’s ability to explain an almost insignificant feature in amazing detail. It’s done for a reason. It “educates” you and does not make a sales pitch. That makes you want the product even more. Any Apple advertise-

ment will tell you very subtly and effortlessly about a small “wow” feature. Thus, reinforcing the quote “Simplicity is the ultimate sophistication”.

lapping for more by creating that insatiable curiosity about “What next?” It definitely, knows how to outshine its peers in demand generation marketing.

A company which feels that operating gadgets should not restricted to those “who know how to”, rather it should be designed for “those who need to”. I have seen my grandparents use an Apple device with such ease as it was something they were born with. Kids, these days also seem to be finding expensive pacifiers in all the iDevices. With applications that attract a wide spectrum of audience, it surely is on the wish list of one and all.

Another strategy which adds to the Apple-aura factor is its policy of not letting the PLC(Product Life Cycle) of any of its innovation peak. As soon as any of its new launches nears the peak of the curve, it cuts the product from the market and presents a sequel to it. This way, the moment a device becomes a mass possession it protects its snob value by presenting the crème-de-lacrème with a new offering. Apple has perfected the art of continually amazing the users with new products which create new markets instead of riding down the price points as the market expands. But, that doesn’t mean that the brand is bereft of humility. It provides scope for low cost entry inlets through its iPod, which gives users a taste of the Apple pie. An experience, which is likely to grow on them. An extreme demonstration of this frenzy was witnessed in China, when a teenager sold off his kidney to

Not only the end users but the paparazzi also never seemed to get enough of Apple. We all seemed to be getting our dose of “an Apple a day” in the form of speculation on the new iPhone design, a new launch, an upcoming innovation or a patents law suit. Apple gift wraps news stories that are magnetic to talk show discussions, speculation and hype. A media frenzy of this kind definitely leaves us

buy an iPhone and an iPad ! Even at the Customer relationship management level, Apple continues to amaze me. Here’s an excerpt of an amazing real life story that I read over the internet-An executive who was getting late for a meeting discovered he had left his Apple power supply at home and his Mac battery was dead. His first meeting was at 10:00 am and when he arrived at the Apple store he found that while there were people setting up they weren't going to open until 10:00 am. One of the employees saw his concern and asked what the problem was. He then said, "Wait a moment," went into the store, got a power supply, asked if there was an Apple-buying app on his phone and then used that to close the purchase. The end result was that the executive wrote a thank-you note to Tim Cook, Apple's CEO, naming the employee and reaffirming his loyalty to Apple. In a nutshell, “the Apple Brand Experience has no peers” period.

book review

Ruchir Sharma’s Breakout Nations

uchir Sharma, Head of Emerging Market Equities and Global Macro at Morgan Stanley Investment Management, has spent two decades travelling the globe, keeping an ear to the ground and picking up murmurs which give a clue into the wider macro trends. With his first-hand knowledge of emerging markets, he dishes out an interesting analysis of the most diverse economies. The analysis introduces the critical players and highlights the factors - mostly unique to each nation - which will make them either the successes or the flops of the future. Books on world finance and investment opportunities are, by the very nature of the subject expected to use difficult terminology and assume a higher level of understanding on part of their readers. With lucid examples and the ability to infer macro trends from these, this book is comprehensible to even neo converts to the complex world of finance. The example of Four Seasons Index is worth noting. Ruchir has used the room rent of a Four Seasons hotel for a business executive to define the relative competitiveness of economies. Mr Sharma is most intrigued by the opportunities in China, South Korea, South Africa, Nigeria, Poland, Turkey and the Eastern Europe. He describes ways in which other nations, including India and Russia, could do differently. He highlights fundamental differences in nations. Russia and India, for example, have op-

Ms. Rachna Madaan and Ms. Rakhi Singh Economics Department, IILM Title of Book: Breakout Nations Author: Ruchir Sharma Publisher: Penguin ISBN: 9781846145568 No. of Pages: 304

posing demographic trends, one which favours India; but Russia has commodities reserves in its favour. His India-China comparison appears objective. However, the reader should recognize that even if China slows down 3-4% points, as Mr Sharma predicts, it has become so large that even that will represent sizeable aggregate progress. Further, China has been making major strides to move up the value chain. Sharma's chapter on Brazil shows his command over the subject, clear thinking and the ability to connect dots. In his quest to find the answer to – Who is the next “tiger” to emerge, there is thoughtful discussion of Indonesia and the Philippines. He has addressed the question of growth in emerging economies – How the growth has stretch over long periods, often decade and a half, but that the growth is not perpetual and there is always a inflexion point, when the growth eventually slows down, as a natural process.

Like most authors addressing emerging markets, Ruchir Sharma gives prominence to China and India, dubbed as the twin engines of future growth. Sharma brings out well the need for the country to become more "normal", with slower growth and more consumption, spreading the fruits of growth more widely. Sharma's day job is Head of emerging markets at Morgan Stanley Investment Management, so his focus is that of a potential investor, rather than a political analyst. That means he is particularly interested not just in the pace of wealth creation but also in the quality of governance. Investors want good return on their investment, which they will only be able to, if the country has a functioning legal system and the political stability associated with the need to see that wealth spreads down the line. One of the strengths of the book is that it adopts a realistic approach to why commodities have been so bullish in recent years and makes an effective argument that such a trend may have ended. The other thing the reader would notice about the book is a concise description of modern economic histories of all major developing economies in the world. The book is a good read for both - a seasoned investor and common folks. Global economic order is undergoing rapid change. This is a book that captures this change and focuses on the emerging world and its positive and negative aspects.

book review

Be Unreasonable

his book is based on the business strategy of following the unconventional way to extraordinary Â business results. The author shows how unreasonable strategies can lead to big success. Â Only by going against the norm you can be competitive, innovative and successful. If you follow the predefined set rules, you use the same strategies what everyone else uses. It kills your ideas and design. Being reasonable may keep the business floating or surviving but you may be risking the future. The author suggests to be unreasonable. In his words being unreasonable is about assessing the situation and leaping into the unknown not foolishly, but courageously. Break the traditions, the common presuppositions and find new ways of thinking which is beyond normalcy and outside the common wisdom. The book has been divided into 6 chapters where each chapter elucidates certain ideas which we can experiment with. Each chapter contains real life success stories of how business people have gone beyond their comfort zone and accepted challenges by setting their own thinking style. Chapter 1 on unreasoanle manifesto explains the meaning of unreasonable by stating few examples.Chapter 2 being unreasonable will push you to actually want to be uncomfortable and embrace change as the best friend your business had. Most of us act in ways that are accepatble and predictable and most of the time this is OK because raesonable behaviour gets us pretty

Being reasonable may keep the business floating or surviving but you may be risking the future. The author suggests to be unreasonable

Ms Shipra Jain Research Associate,IILM Title of Book: Be Unreasonable Author: Paul Lemberg Publisher: Tata Mc Graw Hill ISBN: 9780070659629 No. of Pages: 211

good results. But there are times that call for something beyond OK. They call for a different response perhaps that's unusual. In the chapter 3 on unreasonable strategy, the author has shared certain real life examples which defines the readers path towards unconventional way of doing business. According to the author, strategy is defined as selecting and arranging your potentially scarce resources to best achieve your most important objectives. In this chapter he has stated few strategies that would possibly result in a win win situation.Chapter 4 is the heart of the book as it examines unreasonable ways of thinking which shows how to free our mind in order to accept new concept. There are no rules that fit all situations. The author has explained this theory by simple examples like employees should take Fridays off as working for long hours can produce stale thinking and our creative juices stop flowing. Chapter 5 looks at unreasonable tactics of conducting business. These tactics illustrates approaches that violates the current norms which are followed in the business. The last chapter on unreasoable execution provides execution solution for lack of communication, lack of involvement by senior leaders and lack of will. The book concludes with an epilogue which defines hypothetical situation as of now but maybe true in future. If people do not change conventionhood and confine their ideas to predefined walls or not adapt to new way of thinking, you will be left behind.

student poem

The Theses I Wrote, the Day I was Born-My Life I climb, I grow. The seasons go by, the wind still blows. I am a toddler, 2 years of age. I paddle myself in the world, a huge cage. I fail to understand, why the world has boundaries and gates. I dream to walk beyond I see, I dream to walk beyond they say. Breaking and moving beyond barriers, but I'll have to wait. The time moves swiftly, the Clock rotates it's hands. I am No more an infant, but my own brand. I go to learn, to be wise someday, all I learn is what the World says. I search my questions, I verify my own. I don't bother the world, but strain my Own. I've seen the spring; I've been in the rain. I've enjoyed the summers; I've chilled in the winters. I've cried in the autumn, the days I lived to my bottom. Seasons go changing, and I keep moving. But the world doesn't move with me. Itâ&#x20AC;&#x2122;s stationary like the moon, unmovable like the stars. I think I am close, but yet too far. I grow old, I grow pale, I change from a child to a man. I am wise now, they think. I don't fear anyone. I believe it's just a blink.

I am mid-aged, I dance the way world wants me to. Itâ&#x20AC;&#x2122;s been 5 decades; I've been in the black and the blues. I see the sky, still the same. I see the stars but they don't change. I see myself and then my childhood days. I've moved too far, I've much changed. I realize my existence, but I fail my purpose. I grow weak, I am in my winters, With the serenity of silence, that hides my name. I just want to break free; I want to live my last. I want to change them all; I want it all to happen. But it's too fast. Then it comes the time, I lay down finally. I close my eyes, but none mourns. Cause I was just another face in crowd. Nothing I did for me to be proud. I had failed my purpose to live, I lived but to live. But I failed to be alive. Too lately, in my grave I feel, to this earth what a waste I've been. Apart from the problems, I gave Mother Earth. Was there any good reason for my Birth?

By Mayank Shah, UBS 2011-14, IILM Lodhi Road

student article

What is Today’s Youth?

W youth The dependence on the Internet, instead of helping us, is a weight around our necks. It’s stifling our education and practical learning skills.

e are all a product of our environment. The societies that we are brought up in ultimately are our shaping forces, and today’s youth is a perfect example of that. Today’s children in India find themselves enveloped by a world of fast food, state-of-the art technology and a fast growing rage of western music. We live in a more materialistic world, and are seized by false egos. The path that our lives will take is based on high tech toys like cell phones, Ipods, and mindless video games the list is endless and is growing by the day. The urban youth of today are slaves to social networking sites such as facebook, orkut, twitter etc. Technology has a big hand in today’s age. One of the biggest dangers of all is that today’s youth depends so much on technology to supply all the answers, that when we suddenly find ourselves out in the real world, we are lacking many of the necessary skills to do even the simplest of tasks. Basic calcu-

lations or spellings seem difficult to do. The dependence on the Internet, Instead of helping us, is a weight around our necks. It’s stifling our education and practical learning skills. On the other hand it is technology that has freed us and envisioned us to higher prospects. Who could have thought that one could make a phone call using a mobile phone 30 years ago. It has helped us evolve and make a difference in the world as well. It has brought the world closer and brought about revolutionary changes in almost every sector. Is today’s generation a lost generation? Today’s generation cannot be termed as a lost generation. It’s more of a ‘confused’ generation. Life 20 years ago seemed simpler and straightforward. One of the reasons for that, I think is because there were very distinct lines drawn between right and wrong. There were few gray areas during the pre-liberalization age. The relationship my father and grandfather shared as father and son was that of a dictator and a follower. He did what his father

said. Period. There was no room for arguments. Today it’s hard to tell anymore what is right or wrong. Our society has become so permissive that what’s wrong today is right tomorrow. Youth of today seem lost. They are confused, there are little or no standards to measure themselves against except their parents and if their parents don’t step up to the plate where do they look? To the Politicians? “I would go to the length of giving the whole congress a decent burial, rather than put up with the corruption that is rampant.” – Mahatma Gandhi, May 1939 This was the outburst of Mahatma Gandhi against rampant corruption in Congress ministries formed under 1935 Act in six states in the year 1937. “Former Commonwealth Games Organising Committee chairman Suresh Kalmadi’s close aide Shekhar M Deorukhkar was today sent to Tihar jail under 14-day judicial custody for his alleged role in the multi-crore rupees overlays scam linked to the sporting even” – PTI | New Delhi, June 2011 Political corruption is a society evil, and has been under the limelight from the moment we attained independence to the current day and age As of December 2008, 120 of India’s 522 parliament members were facing criminal charges. Many of the biggest scandals since 2010 have involved very high levels of government, including Cabinet Ministers and Chief Ministers, such as in the

2G-spectrum scam and the Adarsh Housing Society Scam.

the footsteps of?

Should we teach this generation to look up to these Politian’s? Looking at these statements and facts, Should the youth of today consider our politicians as role models, and put their trust unto them?

According to Transparency International, judicial corruption in India is attributable to factors such as “delays in the disposal of cases, shortage of judges and complex procedures, all of which are exacerbated by a preponderance of new laws”

To our Bureaucrats? A 2005 study done by Transparency International (TI) in India found that more than 50% of the people had firsthand experience of paying bribe or peddling influence to get a job done in a public office. Taxes and bribes are common between state borders; Transparency International estimates that truckers pay annually US$5 billion (500 crore INR) in bribes. A 2009 survey of the leading economies of Asia, revealed Indian bureaucracy to be not just least efficient out of Singapore, Hong Kong, Thailand, South Korea, Japan, Malaysia, Taiwan, Vietnam, China, Philippines and Indonesia; further it was also found that working with India’s civil servants was a “slow and painful” process. “Officials often steal state property. In cities and villages throughout India, Mafia Raj consisting of municipal and other government officials, elected politicians, judicial officers, real estate developers and law enforcement officials, acquire, develop and sell land in illegal ways.” –K.R. Gupta and J.R. Gupta, Indian Economy, Vol #2, Atlantic Publishers & Distributors, 2008 Are these the Bureaucrats that the youth should be following in

To Our Courts?

“There have been several cases of collusion of officials of the income tax department of India for a favorable tax treatment in return for bribes.” – Corruption in Income-Tax: beaten by Babudom When the judicial system of a country falters, where is it that one can seek justice? And is the youth being brought up in a fashion as to say that the judiciary system is unjust and non reliable? To their religious leaders? In India, the corruption has also crept into religious institutions. “Some of the Church of North India are making money by selling Baptism certificates.” – CNN-IBN-Cobrapost special investigation June 2007. How does the youth cope with a society where even their faith is hampered with? Where do they go? Every socalled segment of society you used to look for, for guidance, can’t guide us anymore because they have no moral values. There is an alarming increase in entangling wilderness of fear, depression, rage, depravity and corruption from which the youth may never find deliverance. But

whose fault is it? Were they born this way? The answer is NO. They were BROUGHT UP this way. There’s a very simple logistics, you don’t have to teach your children to be good or bad citizens, they learn by the life you lead. It’s very easy to talk about environmental issues and the stage at which we have come to now, global warming, pollution, over population etc. but look back and see who brought us here. The over exploitation of our natural resources over the past centuries have brought us to a time where children have scarcity of water in most countries. The difference between ‘then’ and ‘now’. There is a bloom of education and knowledge in this age. The Indian woman’s position in the society deteriorated during the medieval period when Sati, child marriages and a ban on widow remarriages became part of social life among some communities in India. The Muslim conquest in the Indian subcontinent brought the purdah practice in the Indian society. Among the Rajputs of Rajasthan, the Jauhar was practised. In many Muslim families, women were restricted to Zenana areas. Women in India now participate in all activities such as education, sports, politics, media, art and culture, service sectors, science and technology, etc. The Constitution of India guarantees to all Indian

youth Children of today value education, and consider it their mot important weapon. Parents are investing in their children.

maternity relief. (Article 42). Status of women in India has been subject to many great changes over the past few millennia. From the low points of the medieval period, to the promotion of equal rights by many reformers, the history of women in India has been eventful. In modern India, women have adorned high offices in India including that of the President, Prime minister, Speaker of the Lok Sabha, Leader of Opposition, etc. The current President of India is a woman. Children today are more aware of their surroundings and are encouraged to think. Parents now days as opposed to the yester years are more involved in their child’s over all development. Children are not afraid to talk to their parents about critical issues and are not afraid to question. In conclusion

women equality (Article 14), no discrimination by the State (Article 15(1)), equality of opportunity (Article 16), equal pay for equal work (Article 39(d)). In addition, it allows special provisions to be made by the State in favour of women and children (Article 15(3)), renounces practices derogatory to the dignity of women (Article 51(A) (e)), and also allows for provisions to be made by the State for securing just and humane conditions of work and for

Children of today value education, and consider it their mot important weapon. Parents are investing in their children. Every generation grows and learns from the mistakes made by their own parents, in my conclusion I feel our parents have a raised a smart and independent generation of youths who although living in an impressionable age are ambitious, have dreams and aspirations, and most importantly are not afraid to reach for them. By Mekta Goel UBS 2010-13, IILM Gurgaon

student article

Ethical and Moral Standards for Successful Leadership

hether high moral and ethical standards are indispensable to successful leadership is a question which surely intrigues the mind and no doubt depends on how we define ethics and morals and the kind of leadership we are addressing.

If we take into account ‘political’ leadership, then the first word that seems to define it in a justifiable manner is ‘diplomacy’. Diplomacy can be defined as subtly skillful handing of a situation. It is a refined way of saying ‘I can’t say no nor I can say yes, so I’ll keep mum’. Guile is the next wanted word for politics and can be titled as the ’x-factor’ of politics, no pun intended .The profession which is often prefixed with ‘dirty’ as in ‘dirty politics’ can surely not have ethics and morals which can debilitate its very foundation. It is not easy to maintain a high moral standard when your rival is trying to begrime your image and character so that you lose the support of the people of your constituency. Playing dirty in politics surely soils the moral and ethical being and degrades the very psyche and persona of a human beings ,leave alone a successful leadership .Using diplomacy and guile as yourself self defense tool does not compromise moral values but at the same time does not set high standards of ethical and moral conduct. We can take example of the most eminent and successful

political leader of ancient history, Constantine. His rule saw the rise of Christianity and fall of Pagan religion, but rather than supporting paganism, which he followed during early years of his rule, he adopted Christianity and even changed some pious pagan religious symbols into the symbols that defined the so called negative forces. He used the influx increase in Christianity to support his rule and public opinion rather than morally and ethically sticking to his previous religious believes.

Diplomacy can be defined as subtly skillful handing of a situation. It is a refined way of saying ‘I can’t say no nor I can say yes, so I’ll keep mum’

Now if we shift focus to religious leadership the scenario takes a 180 degree turn from the one described in the context of political leadership. Religious leaders are supposed to be (and if they are not they have to pretend) an epitome of all ‘goodness that exists in nature. They are the face of God on earth, the ones who

What is most important here is that whatever we do or whichever leadership we wish to attain, our actions should help our nation to develop and not lead our country to be defined as a ‘democracy in anarchy’

guide us, the trivial human beings who are prone to sin in their day to day life, to the enlightenment of soul which only they can provide!!!! Ironically, all of them claim that they are instructed by God himself (as if God has no better work to do and I thought that book falling from the clouds was the funniest religious stuff I have heard!!!).In short, you may not be martinet and adhere to pure moral values and ethics to be successful religious leaders, the secret is ‘just pretend’, who the hell is peering into your brains and I guess no one has the ability to read minds. Ethics and morals have greater role to play in social leadership where ethics are described as honesty and sincerity to one’s work. A successful social leader wows himself or herself to achieve an egalitarian society which is replete with honest and hardworking people who view the interest of the society above their own. Considering notables figures like Mahatma Gandhi and Martin Luther King who were successful in leading masses to

follow the path of high ethical and moral standards. Last but not the least, business or industrial leadership where success is defined by the profits the industrial house makes .In such a situation, sticking to high moral standards can lead to self-claimed death. Many will name various industrial tycoons who are supposedly the paradigm of morality, but it is just not possible to attain what they have by strictly walking on the plank of high ethical and moral standards. What we call ‘Chanakya niti’ is applicable to this type of leadership and the concept of morality in this type of leadership and the concept of morality in this type of leadership is as twisted as the political one. What is most important here is (I am not preaching just trying to inspire) that whatever we do or whichever leadership we wish to attain, our actions should help our nation to develop and not lead our country to be defined as a ‘democracy in anarchy’. By Tanu Taneja PGP 2012-14, IILM Gurgaon

student article

Lost and Re-Found: Kashmir

ahangir, the fourth of the Mughal Emperors exclaimed on first visiting the valley,” If there’s paradise anywhere on Earth, it is here, it is here.” Needless to say after at least three rail ticket cancellations, owing to bad weather at the destination, we were finally leaving for Kashmir, it was incredibly exciting. For years Kashmir has been a hotbed of militancy, political upheavals and in a general state of unhappiness. However, this trip was for none of the above. We were to go angling and in a motley of emotions, we set on the adventure feeling a sense of happiness and the inevitable ‘butterflies’, seeing as how this

would be a very first proper visit to Kashmir. The farm at Bhadarwah was established in the year 1965. The fish that is reared here is Trout: the Brown trout, Snow trout and Rainbow trout. Rearing essentially means growing seeds to a marketable size or big enough to release into local streams. There are four stages of growth namely eyed ova, tail, fry and fingerling. It is only in the last stage that the fish is transported since it develops some immunity by then. To help tackle unemployment in the area, the local villagers who have land are asked to get raceways constructed to

rear fish. There is a 100 per cent subsidy scheme where at first hatchlings and feed are given to these locals for free. Thereafter, earning a substantial amount of profit, the farmers pay for the hatchlings. It was partly cloudy and surrounded by forested hills with rows of Deodar trees. The sun’s rays felt warm and comforting as opposed to the cool wind that was blowing. A group of curious onlookers, mostly from the village nearby, joined us as we moved upstream looking for pools to cast in. Several times, the spinner would get stuck in the rocks, leading us to brave the cold water to get it back. The

spinners were painted in bright, vivid colors to attract the fish and so by the end of the day our relentless efforts yielded five Rainbow trout. These fish have silver and multicolored scales that glisten and amaze. The wondrous Mother Nature never ceases to enthrall. Even so, we had about only a minute or two to unhook the fish and let them back into the water. The drive that afternoon to Jai Ghati was on a narrow meandering road lined with pine trees and foliage. Around me were lush green trees and mountains that would soon be covered in blankets of white snow. The place is essentially a beautiful meadow that stretches for quite a distance. Interactions with the locals reveal them to be nothing more than friendly and curious. They crave the peace and quiet very much so; hope to take Kashmir back to

all of its glory, making bloodshed and gun-shots a thing of the past. There are gypsies travelling with their flock of sheep, goats and ponies and horses. Their household goods are tied to the backs of their ponies or horses. The goods being tents, clothes and some utensils. One cannot fail to notice a solar panel on the back of one of the ponies! Such was their resourcefulness. In this small family the mother and her child sat on horseback while the patriarch led the group. (The constant change)

background music of the honking of cars the silence and pure serenity of Kashmir almost causes heartache. The beauty of silence and fresh air, chirping of birds and the freedom to be more creative than face book and a BBM status update.

The Dal Lake is not Kashmir, neither is the beauty of Kashmir found in a shikara ride on the lake and by buying a pashmina, or discussing ‘when will the fighting end?’ even though there’s a lot of satisfying joy to be found in consuming the Kashmiri Biryani and Goshtaba.

Considering the latest publicity initiative taken up by King Khan himself and filming at the location, Kashmir is very much on its path of revival. The valley will bloom and glisten again, the boats will float along the Dal Lake and the locals will finally find their peace. This seems too good to be true but seeing Mother Nature in all its glory, one cannot help but take up the positivity around the place and wait, as the light at the end of the tunnel comes closer and closer.

Sitting surrounded by concrete structures, with constant

By Harshdeep Gill, UBS 2011-14, IILM Gurgaon

Campus News Campus News Campus News Campus News Campus News

Campus NeWs

Conference, Gurgaon

A complete new W.A.L.K

he most awaited event, TEDx, hosted by IILM institute for Higher Education, Gurgaon took place on September 1st 2012. The aura of Tedx Gurgaon was amazing full of energy and passion. The organizer, Mr. Mohit Pawar kept the event in a perfect flow and his compering was commendable. The event was started by the chanting of ‘OM’, initiated by Mr. Pawar. A story teller, a blogger, an adventure sports enthusiast, the list goes on and on…..Mr. Abhinandan Chatterjee, a Senior Consultant - Learning and Development, was the first speaker at the event. A complete new and unique definition of W.A.L.K was given by Mr. Chatterjee that surely helped the audience to identify with some of the realities of life that we tend to miss out on. • W - What is the worst that could happen?

Mr. Abhijit Bhahaduri

Ms. Adity Rao

• A - All in the moment • L - Learn to learn • K - Keep happiness handy

The second speaker for the day was Mr. Ashish Sachdeva. He spoke about the path through which we can attempt to save the environment and that small, everyday actions by each human beings can make or break the environment. Even though, simple habits and ideas can help save the environment, very few people have the time to even think about them, let alone try to implement these in their everyday life, thus making it the ‘road less travelled’. The event continued with writer, educator and a dreamer, Ms.Aditi Rao, who currently works as consultant for non-profit organization in field of peace, creativity and research writing workshops. Ms. Rao spoke about how the will to imagine and being creative thereof was missing in today’s classrooms and her ideas as to how teaching should be made available to the students to help them awaken their imaginative-selves. Her influence from

Campus NeWs great philosophers like John P. Lederach and Brene Brown was clearly visible as she quoted them a number of times. All in all she was a very influential speaker and an amazing educator. Then came Mr. Abhijit Bhaduri who differentiated between the “Road less travelled” and the “Road well travelled”. A question that compelled the audience to think was “Are you doing what you are good at or are you doing what you love?” He spoke about how, with time, we lose out on things we are actually good at, briefing the same through various slides which were made interesting by cartoons in it. He concluded by putting up a simple thought, “Building skills is easy, but discovering them is difficult.” Dr. Latika Rana, who is also known as the “Tiger Princess of India” briefed us about the various achievements of her life with respect to tiger conservation and we also got to learn some amazing facts about tigers that were surely unknown to us. The last speaker was Vicky Roy who narrated the journey of his life, it was indeed one of the most inspirational stories ever heard by most present in the audience. Jasleen Royal sang some good Bollywood numbers and some of her own compositions as well. It was a complete treat for us as we swayed to her beautiful voice , she skillfully she managed her self- band. Then came the Bhangra group. “They ROCKED” and so did we! Yes! nn The event was a great success from all perspectives. Right from the starting of the event till the end, each moment of the event

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was worth being there and made everyone feel a part of it. Every single person present over there had a great time which could be understood from the smile that each one of them had on their faces.

Speakers at TEDx, Gurgaon

Participants at TEDx, Gurgaon

All in all TEDx was a great event which was a learning experience but with fun. TEDx Gurgaon surely lived up to its expectations and all the waiting and hardwork behind it paid off in the best possible way.

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Lightbending Workshop

hen Nihar Mudgal and Ankit K Monga of OLE OTHERLOGIC EXPERIENTIALS approached us for a workshop on what he called ‘Lightbending’, we were fascinated to say the least. Through a presentation, they showed us what the output might be and how the students might explore for themselves a wonderful world of light and imagery using, quite simply, lamps he would teach them to make. The two day workshop of roughly 6 hours extended way beyond that as the students worked on making LED lamps and different types of light sources after seeing how, with but a few strokes in midair, what was captured by the camera was actually a painting. The process is called Light Painting for a reason!

Light painting is a photographic technique in which ex-

posures are made by moving a hand-held light source or by moving the camera. The term light painting also encompasses images lit from outside the frame with hand-held light sources. By moving the light source, the light can be used to selectively illuminate parts of the subject or to “paint” a picture by shining it directly into the camera lens. Light Painting Photography can be traced back to the year 1914 when Frank Gilbreth, along with his wife Lillian Moller Gilbreth, used small lights and the open shutter of a camera to track the motion of manufacturing and clerical workers. In 1949, Pablo Picasso was visited by Gjon Milia photographer and lighting innovator, who introduced Picasso to his photographs of ice skaters with lights attached to their skates. Immediately Picasso

started making images in the air with a small flashlight in a dark room. This series of photos became known as Picasso’s “light drawings.” Having learnt to make the lights on day 1, the students went on to creating light paintings indoors first and then outdoors on day 2 with their lamps. The schedule for day 2 started at 5 in the evening, so the outdoor darkness could be used to advantage. Working in groups, the students learnt teamwork and to understand that each little move leaves a mark. The camera catches it all and the excitement and the magic of the evening is quite difficult to put in words. Not needing any special design skills, it has to be experienced to be believed. Contributed by: Usha Iyer, Dean, IILM School of Design

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trategy Club of IILM was formed to bring out the analytical and interpretation skills of the students, which will help them, keep up with challenging corporate world. The club organized an event “Situational Analysis” where situation based problem was given and the participants were required to come up with a creative solution or strategy within the given 5 minutes.

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taining stories. The team which applied the most innovative use of pictures and formed a story came up triumphs. A debate on “Striking Pilots vs Air India Management” was organized by Current Affairs Club. The participants played the

“Blog-o-Mania” was the event conducted by the i-bloggers club. In the first round of the event, participants had to submit a writeup on a chosen topic. In the second round, participants had to write a blog of 300-400 words on the given topic. In the backdrop of the event there was rocking performances by band Holy Smoke and college band The Lost Echo. Hence in this event literature and music came together, making the event a mesmerizing one. It has long been established that advertising can do wonders for a brand. But marketers and advertisers across the world have stressed upon advertising that not just informs, but also entertains. Keeping that in mind, Brand Rovers lit the college pavilions with “Ad-mad” colours, providing opportunity to students to create their own ads for totally fictional-outof-box-over the-top products or services. The Creativity Club presented its first event “IMAG(E)IN”. A set of 3 pictures were given to the participants on which they had to frame interesting, extraordinary and enter-

characters involved in the nationwide dispute. The club organized the event in a knowledge driven mode, while having the audience interaction as well to make the event much more interesting Cultural Club and Abhinay Club jointly organised an event “UMANG”. It had all elements to make it a rollicking evening. There was singing, group dance, followed by a tongue twister game for the audience. Mimicry competition was held, which tickled the bones of one and all. A mime was acted on the theme Say No to Drugs. In all, the event showed what Teamwork could do & the success it could create. The first event of Abhinay Club came as a surprise, presenting a role play, in the cafeteria. The theme of role play was corruption & politics, and how the common man is affected by its scheme of things. Club members played the role of various political characters. The actors did a commendable job, and were applauded by everyone present in the cafeteria. On 7th September 2012, Teacher’s day was celebrated at IILM. The show had singing

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and dancing performance. A mime directed by Ashwarya Vashisth gave an insight into a college students daily life. Amidst all the performances, few games were hosted for our teachers to witness their talent in other aspects than their academic excellence.

NGO Club at IILM-ICHHA organized a vocational training on Block Printing on 28th September 2012 at the slum area adjacent to IILM, Lodhi Road campus. Training included block printing on dupattas, handkerchiefs, and scarves using wooden carved blocks and fabric color. The blocks used were also substituted with vegetables such as ladyfinger, onion and potato to bring out innovative designs on the fabric.

On 14th August 2012 Independence day was celebrated at IILM â&#x20AC;&#x201C; Lodhi Road. It was an evening dedicated to celebrating the independence day as well as carry out the tradition of flying kites. The students and faculty were dressed in ethnic wear and added to the patriotic feeling.

Campus NeWs Industrial Visits

s part of our curriculum at IILM, we include industrial visits which is a part of the work based credits. Industrial visits give students an overview of the manufacturing process of products across industries as well as the selling and distribution activities unique to specific businesses.

Bata The industrial visit to Bata took place on the 14th of September, 2012. Bata has 6 factories all over India and is an Italian brand. The factory at Faridabad is engaged in manufacturing of canvas shoes. Students saw the method by which different parts of shoes are made, assembled, packed and distributed to the BATA retail stores. The factory has labor intensive work and is under the rules and regulations of the labor union. The company is focused on quality and ensures that quality checks and laboratory tests are done at each step of the manufacturing process. Some of the work is outsourced to reduce labor costs.

Kapsons An industrial visit to KAPSONS retail store in Kirtinagar, New Delhi was conducted on 24th August, 2012. The students were given a tour of the store and were briefed about the various brands that KAPSONS sells and how they differ from other retail stores. The students got a chance to interact with the staff who gave them an understanding of the various methods followed by the sales executives to attract consumers towards the respective brands they sold. The shop manager informed the students about the different marketing techniques followed by retail firms, the services provided, and how they reach out to their

IILM Post graduate students with faculty members at KAPSONS retail store, New Delhi

IILM Post graduate students with faculty members at Bata, New Delhi

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IILM Post graduate students with faculty members at Mother Dairy, Patparganj, New Delhi

target segment through in-store and outdoor events. The visit to Kapsons gave a good insight to students about how retail stores function and some of the key challenges the sector faces.

Mother Dairy Students from Lodhi Road and Gurgaon campus were taken to Mother Dairy Ltd, Patparganj, New Delhi. The students were taken for a tour of the plant and were briefed about the operations of the milk industry in India. They also learnt the four stages through which milk is processed â&#x20AC;&#x201C; clarification, standardization, homogenization and pasteurization. The students had a detailed interactive session wherein they were given explanation about the marketing strategies, distribution strategies and the channels used and the HR practices .The visit ended with a sumptuous treat of varieties of flavored milk and ice-cream.

ing the pro-biotic drink. The factory produces 45,000 bottles per hour and needs less than 50 employees to manage the produce. A key learning during the visit was how Yakult manages the distribution of the product since the product is perishable. GPS technology which can tell the current location of the transporting vehicle, the speed and the temperature inside it is used for supply chain management. They have a very effective way of promoting newly launched productâ&#x20AC;&#x201D;spreading awareness by allowing people to come for industrial visit in the factory, where they can personally promote the product.

Yakult Danone India Pvt. Ltd. An industrial visit to YAKULT DANONE INDIA Pvt. Ltd., HSIIDC Industrial Area, Sonepat was conducted on July 6th, 2012. The employees were very friendly with the students and they explained the process of mak-

IILM Post graduate students with faculty members at YAKULT DANONE INDIA Pvt. Ltd., HSIIDC Industrial Area, Sonepat

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“Crack the Trade, the Smart Way” The Virtual Stock Trading Room

he virtual stock trading room, a one stop destination for the prospective traders/ investors was inaugurated at both Gurgaon and Lodhi Road Campuses, in the month of August and October, respectively. The stock trading room is equipped with sixteen workstations for the students. A LCD screen is connected to the system used by the faculty instructor to facilitate demonstration of the trading techniques. An introductory session was conducted on the day of inauguration by Ms. Aarti Sharma and Ms. Amarpreet to brief the students about Tradecracker and its features. The educative posters prepared by the members of the Finance Club at both the campuses added to the charm of the Stock Trading Room by depicting information regarding financial markets, stock exchanges, various market scenarios and so on, in a creative way. Global Trade Cracker is an Indian Financial Market Simulator that integrates information technology and finance to create a trading floor where financial instruments available in India are traded. Students have been given logins to use this simulation software Students would understand the risks, returns and working of various financial instruments in a realistic environment. This platform provides them the benefit of learning without risking their hard earned money. Students can trade Equities (including stock and index futures and options), Commodities and Mutual Funds using mock money based on real time price feeds. Based on these trade, various analytical reports are generated that help the students in understanding the financial markets in India, which will ultimately help them in getting better placements and making sound investment decisions.

The Multi-Purpose Stock Trading Room will be used as part of course delivery for Sourcing and Managing Funds, Equity Research, Investor and for conducting financial workshops & trading events. In a nutshell, the sole purpose of making this effort is to enable the students to “Crack the Trade, the Smart Way.”

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Gearing up for Placements

Job Preferences- How Do You Decide

Prof Raghuvansh Mathur, Prof Marketing & Sales, Chair Placements, IILM

very year the students passing out of IILM face the million dollar question, “How should I decide on the company I should work for”. The situation becomes quite complex as a multitude of companies with different Job offerings visit the Institute at different times of the year. The students also receive advice from various sources mostly from people who are quite ignorant themselves. What should be the practical approach for students which will not jeopardize their careers? When the choices are many, the practical approach is ‘Stick to Basics’. The Basic desirable feature in a Job would be a good organization, interesting profile, good work environment, growth opportunities and a decent salary package, in that order. Many years of Industry experience have dictated this order. If one is inexperienced and ignorant of how organizations work, they may put salary package as the most important feature. The order works typically for fresh post-graduates without any industry experience. The order changes as work and experience factors change.

Many large multinationals do not offer high salary packages. Why? The other factors far outweigh the salary considerations. It is like saying that a job does not offer everything under the sun. The considerations are mainly around the background of the organization and the Job description. Relatively smaller or new organizations do not require selection from a large pool of Institutes. Their advantage is the exposure students get to different Management functions whereas in large organizations, the exposure is limited to the specific job function only. The catch is that the students should be able to weigh the different factors and put more weight on those that are more important to them. The initial years of work should give a rich experience and should enrich the students’ Profile. The most practical point for the students to understand is that jobs offering lucrative terms also attract larger number of students however the positions on offer are limited. Companies offering such positions also tend to be extremely selective. While it is good to have aspirations for joining a good company, the grounding should be, make your-self suitable for them. The marks obtained at High School, Graduation and Post-Graduation have to be as per standards prescribed by the companies. These companies require the students to be fluent and articulate in communication, the ability to understand and discuss current business scenarios and a smart personality are prerequisites for each one of them. Most large corporations also require the students to be flexible to relocate as and when the job demands. Recent developments show that the companies with front-end operations want managers to be able to “sell” to their customers, whatever their specializations may be.

Campus NeWs While looking at the past performances, the companies are quite wary of those candidates who show sparks of brilliance (inconsistent performance). They look for consistency in the performance. Companies look at candidates past performance to determine their potential for future commitments, whereas students gauge their worth by what they think they CAN achieve. Companies are skeptical when a student expresses that although his past academic performance was below par, he will work very hard to prove his worth. What does work with the companies is the energy and intent shown by the candidates in taking various initiatives. This is gauged by the participation in co-curricular activities organized by the institute during the two years of Post-graduation. While the jobs on offer as well as companies willing to recruit fresh talent are increasing, their expectation for knowledge and skills are also increasing. The most positive aspect on the Job front is, even if the choice made does not work out as per expectation, there are many more companies which can still be chosen to develop careers.

Placement Managers Wokshop A Placement Managers Workshop was conducted on Thursday September 20 and Friday September 21, 2012. Placement managers across all our campuses participated .The theme of the Workshop was “Negotiations”. The agenda of the Workshop was to achieve the following objectives: • Communicate with Companies in a way different from other institutes - Selling through Story Telling

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• Reinforcing the parameter of Quality in our Placements • Negotiate with companies for job profiles, number of positions and compensation Day 1 of the workshop All Placement managers across all our campuses participated in the discussions resulting in the following points: 1. Placement Managers sensitivity to deliver Quality Placements, Internships, Guest Lectures and Industry visits for the students. 2. Prioritize companies scheduling consciously, basis their Unique Numbers to ensure better companies get to pick students earlier. 3. Negotiate for higher packages, designations, job profiles, work environment, career growth 4. Update knowledge of the different electives offered in Marketing, Finance, HR, IT, Operations for improving the Placements. Day 2 of the workshop All the Placement Managers came with a story and a few shared them with the rest of the team. The picture which emerged with clarity is that it will take some thinking to make a Story which will engage the interest of a Recruiter. There were extensive sessions on Role Play performed by each Placement Manager as a Placement Manager and as a HR manager of a company. The objective of the role play was (1) Understanding one’s own advantages (2) Negotiation and Persuasion for better deals. The Role Plays enabled zeroing-in on some common mistakes made and the same were pointed out by observers to the Placement Managers.

Experience India with IILM

xperience India with IILM is a unique two week programme especially designed and customized to appeal to a Global citizen. The programme seeks participation from international students from universities all over the world. Designed to give exchange students a short term experience of India while they study, the programme facilitates an academic insight, cultural exposure, industry engagement and overall development of the participant

more populated areas, there are also plenty of peaceful and deeply spiritual places for students to discover.

al visits and volunteer work and concludes with the Advanced Management Programme over the weekend.

Programme Structure

Advanced Management Programme

The beginning of each week enfolds sessions on cultural sensitization, tours, travel, industri-

The two week programme provides academic and discus-

India being a country which encapsulates the beauty and enigma of a rich cultural heritage, warmth in the people and diversity in existence creates an enthralling everlasting memory for a visitor. During the stay in India, students will experience a perfect blend of modernity and tradition. Students will discover the hustle and bustle of the second most populous nation on earth, along with its rich cultural history and natural beauty. From the â&#x20AC;&#x2DC;golden triangleâ&#x20AC;&#x2122; of Delhi, Agra and Jaipur to the holy city on the banks of the River Ganges, Rishikesh, Experience India will be unlike anything international students have undertaken before. Being a deeply religious country, all the major religions of the world are represented under a canopy. Away from the noise and bustle of the

Experiencing the Indian Cultural Heritage

Exchange Students at IILM from Germany, France and Austria

sion facilitated learning by two advanced management programmes of fifteen hours each. The students can earn credits for the two AMP modules covered as part of their programme. Formal assessment will follow after each AMP to enable an assurance of learning.

Tours and Travels Various field trips providing an exposure to the traditional and contemporary industry, historical monuments and other prominent places add to an indepth understanding of the in-

dustry in India. The programme structure gives ample opportunity to interact in a session prior to the site visit. Excursions to Agra, Jaipur and Rishikesh have also been incorporated in the 2 week programme. These places are few of the most sought after destinations by foreign visitors.

Volunteer Work The experience further builds into an opportunity to indulge in voluntary community service facilitated by IILM with NGOs. This will give students an exposure to

working with street children and will sensitize them to the social development sector of the country. The entire programme entails the components of management education, practical and live exposure into the Indian Industry coupled with memorable moments of tourism, spirituality and adventure. Last but not the least, to make the experience complete, taste of tangy Indian flavors, potpourri of various cuisines and culinary delights from different parts of India would create an unforgettable memory.

26th September, 2012. The session served as a platform for the international students to learn about IILM, the course curriculum as well as interact with the faculty members and the students from the current batch. Each exchange student was assigned a buddy mentor, who would guide and help the exchange students settle down in the city and in college. Session on Culture, Business & Society in India, France, Germany & Austria

Day Trip to Agra

The International Exposure at IILM

uring the month of August and September, 18 exchange students from Austria, France and Germany came for a semester to the IILM Gurgaon and Lodhi Road campuses. The students are from the following partner institutes

• Grenoble Ecole de management (France) • University of Applied Sciences (Austria) • Leuphana Universitatet Lueneburg (Germany)

Center

• Burgundy School of Business (France)

• Cologne University of applied sciences (Germany)

An Introductory Session with the Director and Dean was organized for theses students on

• MCI Management Innsbruck (Austria)

A Session on Culture, Business & Society in India, France, Germany & Austria was conducted primarily for the exchange students at IILM Lodhi Road and Gurgaon to understand the how the working environment as well as the cultural environment differs across India, France, Germany & Austria. The session started with an introduction to the Indian work culture by the Director Mrs Sapna Popli .This was followed by students from each country presenting on the business environment and culture of their respective country. Some of the distinct characteristics of the respective cultures which were brought out in the presentations were: • Germans are considered to be the masters of planning. They are very organized and believe in forward thinking. People in Germany believe that maintaining clear lines of demarcation among people, places, and things is the sure shot way to lead a structured life. • In Austria, German is the official language spoken by 98%

of the population. There are distinct differences between the numerous regional dialects and a wide variation in the 'standard' Hochdeutsch spoken from region to region. • French business behavior emphasizes on formal etiquette. Mutual trust and respect is required to get things done. Trust is earned through proper conduct. Creating a wide network of close personal business alliances is very important. If you do not speak French, it is always a good idea to learn a few key phrases, since it demonstrates an interest in building a longterm relationship. The way a French person communicates is often a reflection of their social status, education level, and the part of the country they were raised. • India is home to some of the most ancient civilizations, including four major world religions, Hinduism, Buddhism, Jainism and Sikhism. A combination of these factors has resulted in diverse cultureIndian culture. Indian culture is a composite mixture of varying styles and influences. The South, North, and Northeast regions have their own distinct cultures. Festivals in India are characterized by color, gaiety, enthusiasm, prayers and rituals.

Dandiya Night IILM Lodhi road campus had arranged a Dandiya night for its student on 22nd October, 2012. The event started with offering prayers – a Mata ki Chowki was held. Later as the evening pro-

gressed students came to shake a leg to traditional garba beats. The students had great fun grooving to the music and also performing the Dandiya. It was a treat for the exchange students who thoroughly enjoyed the Indian music and the gujarati folk dances

areas with people living under extreme poverty. Most of the students come from countries which are rich and have a strong social security system in place, thus they were amazed to see how people in rural areas in India have a smile in their face despite

International Students with Prof. Sapna Popli, Director and IILM faculty at IILM, Lodhi Road

Agra Trip – Student Experience A day trip was organized to Agra for the exchange students to get a flavor of the Indian history and heritage. The students visited the Taj Mahal and Fatehpur Sikri. The Mughal architecture and design details to left the students mesmerized. On their way to Agra they crossed some rural

their dismal living conditions.

New International Partner: IILM has signed MOU for International Collaboration with Solbridge International School of Business South Korea. The agreement facilitates students & faculty exchange, joint research, publications, conferences and academic programmes.

Seminar by IILM Faculty at MiL Institute, Sweden This summer our faculty, Ms Ruchika Jain, got the opportunity to interact and spend a month long quality time with the founding organisation for Action reflection learning-MIL

Students from Austria trying their hands on the Shammi Kabab

Institute, Sweden. The interaction with the team and the consultant gave her a great insight into leadership and its development. She conducted a seminar for some of their prominent client like astra zeneca, ikea on Indian culture and leadership challenges in India. The experience was very enlightening and enriching for her.

Exchange students dressed in Traditional Indian clothes for the Dandiya Night

ACaDEMIC ACHIEVEMENTS Ms. Anju Gulla

23rdMarch 2012 . There were 37

Conducted a one day FDP programme on “Data Analysis For Management & Marketing Research” on 7th February, 2012.

participants in this workshop.

Paper titled “Visual Merchandising as an Antecedent to Impulse Buying: An Indian Perspective” has been accepted for presentation at the International Journal of Arts & Sciences’ (IJAS) International Conference for Academic Disciplines held at Harvard University, Cambridge, Massachusetts from 27th May 27 to 31st May 2012.

Ms. Shivani Khurana & Ms. Aparna Kaushik One day MDP was conducted on Selecting Right person through Psychometric Testing on 15th Feb ruary 2012.

Along with Ms. Tulika Kiran conducted a one day workshop on “Internet Marketing Strategy”, in association with PHD Chamber of commerce on 22nd August 2012. The workshop was attended by 25 executives from corporate.

Ms. Jaswinder K. Narain & Mr. Nalin Jha Conducted a one day workshop on “Internet Marketing Strategy”, in association with PHD Chamber of Commerce on 27thSeptember 2012. The workshop was well appreciated with 30 participants from different industry sectors.

Dr. Smitha Girija Ph.D has been awarded in

Commerce and Management Studies from Acharya Nagarjuna University , AndhraPradesh on 26 Sep 2012.The study was titled 'Impact of Organised Retailing on Unorganised Retail Sector: A Study on Buying Behaviuor of Consumers at Food And Grocery Stores in Visakhapatnam'.

Prof. Rakesh Chaudhary and Ms. Rakhi Singh One day workshop on Negotiation Skills was conducted at the PHD House, New Delhi on 23rd June 2012.

Prof. Sujit Sen Gupta One day workshop on Building a winning Sales Force was conducted at the PHD House, New Delhi on 21st May 2012.

Ms. Shivani Khurana Published a paper on Job satisfaction in relation to work commitment and perceived organizational support in International Journal of Education & Management Studies.

Dr. Sanyukta Jolly Was awarded the ‘Management Education Leadership Award 2012’ for contribution to inclusive and quality driven holistic education in the field of Human Resource Management, by Knowledge Resource Development & Welfare Group on 3rd March, 2012 at IIT Delhi.

Ms. Jaswinder K. Narain Along with Dr. Ruchi Nayyar conducted an one day MDP on ‘Internet Marketing Strategy’ with PHD chambers in New Delhi on

Dr. Sanyukta Jolly being awarded by Dr D.K. Banwet, National President, Indian Society for Training and Development and Professor, Department of Management Studies, IIT Delhi

Life at the University “A university training is the great ordinary means to a great but ordinary end; it aims at raising the intellectual tone of society…It is the education which gives a man a clear conscious view of his own opinions and judgments, a truth in developing them, an eloquence in expressing them and a force in urging them.” – Cardinal Newman It’s often said that College is the best time of ones life and its usually valued most once it comes to an end. Indescribable are the experiences of college students’ life, more so, because each individual has his or her own journey whilst in it and have their own stories to tell. A student at a management college is no less than a person who’s learning how to swim for the very first time. He’s excited at first, curious and anxious to discover what the waters behold. For some first time swimmers, just like some students at college it

may look easy from the outside, they may consider swimming an inborn talent and not a hard task, but once they get into the water they realize that without proper training and guidance all they’d do is struggle and never get ahead. There’s always a fear of the deep for a beginner; for a student it’s the fear of the real world outside the protected four walls of college, but there is also an ambitious desire to take that plunge within the deep, without any assistance and with full confidence. Such is a college student’s life. College is an institution where one comes to learn and grow. It is a significant landmark that a student crosses while he makes an upward progression in life. It is in the students’ best interest to try and gain as much as his college can offer, making the best use of his time in college and use it as a steppingstone in his career rather than fritter it away in idle pursuits.

“There are some things you can’t learn at any university, except for one, the University of Life...the only college where everyone is a permanent student.” E.A Bucchianeri

Compiled and Conceptualised by Mekta. Anish. Goel, UBS 2012-15, IILM Gurgaon

Institute for Higher Education

Anil Kulwant Raii Group