Wednesday, September 26, 2012

Industrial Visit to Coca-Cola Bottling Plant


An Industrial Visit to Coca-Cola Bottling Plant - Moon Beverages, Sahibabad, was organized by MIC on 22 September, 2012

Here's what Apoorv Sharma, (member, Team MIC) has to say about the same...

On the sleepy Saturday morning, 40 students of our prestigious Shaheed Sukhdev College of Business Studies gathered in the college premises to take part in an amazing industrial visit to the bottling plant of Coca-Cola Moon Bevarages in Sahibabad. The visit had been arranged by the Management Interaction Cell of the college. The journey began with a short and crisp ride to the venue in our own humble college bus. The atmosphere resonated with fun and frolic throughout the journey.

On reaching our destination, we were all made aware ofthe security and other rules we were to follow throughout the visit. Then we were led to a hall where we were made to sit and offered complimentary coke bottles. For the actual plant visit we were divided into small groups of 7-8 people, each group assisted by a guide who led us through the plant.

First of all we visited the water treatment plant where we were told about the complete purification process and how the groundwater was treated to levels that were made suitable for human consumption (even the water that is used for purposes other than manufacture the drinks is well enough to drink by the global standards).

Then we were led to the units that bottle Mazaa, the famous mango drink by Coca-Cola. There we were shown how the glass bottles were washed and sterilised in order to make them usable again. The bottles were turned upside down and then cleaned with pressurised water and then caustic soda and again with water so that nothing remained of the previous usage (not even the microbes). Then we were shown the bags of mango pulp and the way they were handled by tools so that none of the contents get contaminated through human touch.

Further, we were led to the unit that bottles ThumsUp. The plastic bottles that we use are in the form of pre-forms that are fed into the machinery and then are blown into the requisite shape. The way the conveyor belts tossed up the finished bottles around at lightening speeds definitely reminded everyone of the ThumsUp tagline “Aaj Kuchch Toofani Karte Hain”!! We were also made to see gigantic tanks filled with the concentrate syrups (we even got to taste the concentrate of Limca), the cold storage, the lab that continually keeps testing the products to monitor discrepancies and what not !!

In the end we were led back to the same hall from where we had started and made to fill feedback forms. Moreover we had a surprise waiting for us in the form of Rimzim - the iconic masala soda drink that is to be relaunched by Coca-Cola and we were among the first to have a sip of it before it officially returns to rock the Indian markets.

In short the journey culminated in the same tempo and mood in which it had started - one of fun and frolic.

Tuesday, September 25, 2012

Demand for creation of New States in India - Political Management or Development Management?

By: Kirti Saini

India is a nation of different cultures and different religions. You move a few hundred kilometres and you feel the change in culture and language. Still it is united because of its citizens. But, the demand for creation of new States is recurring ever since Independence. Currently, there are demands for creation of at least 10 more new States. The basic questions which arise here are:



Why do demands for smaller states and bifurcation arise?
Emotional considerations play major role in this - like culture, language, religion and a sense of economic and regional deprivation.

Greed of politicians is also a factor. They envision additional posts of power as chief ministers or ministers, leaders of the opposition, Assembly speakers and so on. Similarly, government servants think of becoming chief secretaries or secretaries, DGs of police, chief-engineers, Directors and so on.



Apart from this a common notion is that a larger share of central funds would flow into a new state compared to when it is a region in a larger state, many believe that a new capital city would provide better living conditions. Arguments are set forth that a smaller state with less number of districts would diminish the span of control of state-level functionaries. And that reduced distances between the state capital and peripheral areas would improve the quality of governance and administrative responsiveness and accountability.



Another argument which comes in support of this demand is better Administration. When a democratically elected political party would lead a small area of people it would be administrated appropriately and without the scope of any flaws and also give people better exposure and a great chance to perform well in various fields.

Besides, it is believed that in the ever growing Indian economy if a state is small and then any government employee or law maker or politician does some fraud, immediately it will show the effect on the other projects as it will become very difficult for that chief minister to bring new funds or hide his black deeds. Small states will not give chances to their leader to hide his failure or fool the people by saying that this time we have given funds to west or north, as small state means the population will know in real what is happening in every part of his state.




Why these demands should be answered as a big NO?
Various problems which form the reasons for division can have alternate solutions without actually dividing. 



Better administration can easily be achieved with strong regional administrative units in larger states. Much more than the size of a state, it is the quality of governance and administration, the diverse talent available within the state’s population, the leadership’s drive and vision that determine whether a particular state performs better than the others.



Today technology can help make governing larger territories easier and bring even far-flung areas closer. In the recent times both large and small states have fared well and hence proved that poor performance is not necessarily linked to size.

Apart from that, a small state is likely to face limitations in terms of the natural (physical) and human resources available to it. Moreover, it will lack the kind of agro-climatic diversity required for economic and developmental activities. It would also be restricted in its capability to raise resources internally. All these factors would only make it more dependent on the centre for financial transfers and centrally-sponsored schemes. Further, increasing the number of states in the country would expand the span of control of the central ministries dealing with states and of party high commands dealing with state party units. A new small state may also find itself lacking in infrastructure (administrative and industrial), which requires time, money and effort to build.

These demands can not resolve issues faced by various regions and sections of society. Larger states are in fact, more economically- and financially-viable and better capable of serving people and achieving planned development.

Moreover, creation of small states will divide India into even more and more parts which can lead to hatred, internal problems and inter state cold wars as we see now days. Plus, there’s no guarantee that small states will lead to progress and development only.


What is to be taken care of?
Socially,  the new States should be provided with a healthy environment and standard of living, according to the past evidences a few new states excelled on health and literacy grounds compared with their parent States. But, after a decade, however, the pendulum swung in favour of the parent States. Therefore, Jharkhand, Chhattisgarh and Uttaranchal fared worse than their parent States. In the case of education, too, the parent states have made relatively better progress in the last decade. However, the newly created States retained their initial advantage. Therefore, Uttaranchal had the best health and educational achievements of all the six States under consideration in 2011.

Economically, growth depends on a host of factors such as natural resources, availability of social and physical infrastructure, demographic characteristics and the political environment which Jharkhand did not possess. We can take an example of the output growth of Chhatisgarh and Uttarakhand, which exceeded that of their parent States, but in the case of Jharkhand it was the reverse because of these reasons.

Politically, a stable and well managed political atmosphere should be provided or else decisions may back fire. For example, Jharkhand has witnessed maximum political instability since its creation. Apart from Presidential rule being imposed twice, Jharkhand has been served by eight chief ministers between 2001 and 2012. The state has not achieved any major developmental outcome and is a failure whereas Chhattisgarh and Uttaranchal have changed for better.


The answer to the question whether this Division can be counted under Political Management or Development Management ranges and changes from person to person. A few objectives would fulfil the political greed and some would help the general public. Besides, Division is not a sure shot success formula for Development. The creation of a new state is a decision with far fetched consequences. Whether or not it should be taken is subjective but it must never only be a political decision.

Thursday, September 20, 2012

Licence To Loot: COAL SCAM

By: Aishwarya Yadav


Even as Prime Minister Manmohan  Singh was saving the world at NAM summit in Tehran, a group of senior bureaucrats was busy finalising a draft report recommending cancellation of 53 out of 57 allotments  made by the coal ministry during the period of 2005-2009.

The  draft report revealed that the coal reserves in 53 blocks recommended for cancellation account for Rs.1.85 lakh crore of the total Rs.1.86 lakh crore presumptive loss estimated by CAG (Comptroller and Auditor General) of India. The impact of this report will not be felt  immediately, but its meaning was clear to the political class in Delhi: CAG had been correct in its analysis. There was something deeply rotten in the state of coal allotments. The fact was underlined by CBI’s decision to lodge an FIR against six companies for fudging facts submitting forged documents and acquiring coal blocks without an experience of running them.


A FEW WHITE LIES:

PM’S POINT: Coal mines would be auctioned after amending Mines and Minerals Regulations
COUNTERPOINT: The controversial coal blocks were allocated even when it were illegal to do so after September 2010

PM’s POINT: He blamed “cumbersome processes” for delay in adoption of coal auction. 
COUNTERPOINT: But he could have removed all these hurdles himself as Head of Government. After all, all the ministers remain only at his discretion.

PM’s POINT: The policy to switch to auctions from discretionary allotment was the UPA’s initiative.
COUNTERPOINT: But why did the Prime Minister’s Office repeatedly put roadblocks in its implementation.

PM’s POINT: The state governments were to blame for failure to build a consensus on bidding.
COUNTERPOINT: Yet the first step to get the states on board, admitted the Prime Minister, started only in July, 2005. States had given up their reservations by 2006.Nothing was done for three  more years. 31 coal blocks were allotted during this period.

MAN TO BLOW THE WHISTLE:

Hansraj Gangaram Ahir,the  BJP MP from Chandrapur, Maharashtra blew the loudest whistle when he accused the UPA government of awarding captive coal blocks to private players “free of cost”. Certain  of his facts, Ahir petitioned both Central Vigilance Commission (CVC) and Comptroller and Auditor General (CAG) to investigate. His complaint to CVC has led to a CBI probe.

The fact that he had been a member of standing committee  on coal and steel since 2004 helped.”During one of those meetings in 2005,a coal ministery official said Coal India had failed to meet its capacity and the private players would be brought in picture to bridge the gap.It was then that I decided to dig the issue deeper.” 

Two of the Prime Minister’s most argumentative lieutenants have staked their credibility on a zero-loss theory, at the least a scenario in which there was no malafide intent by Government in allocation Their arguments would be shattered-again.for a government tainted by aseries of scandals ,there is hardly any defence left in the raging Coal War.


Adapted from: India Today.

Friday, September 14, 2012

Small Feet, Big Impressions - Anita Roddick


By: Daksha Verma

“If you think you're too small to have an impact, try going to bed with a mosquito.”- Anita Roddick

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LIFE BEFOREHAND.
Born  Anita Perella, Dame Anita Roddick, (23 October 1942 – 10 September 2007) was the third of four children in one of the few Italian immigrant families in Littlehampton, England.

Her mother forced her into the teaching profession, but Roddick's craving for adventure was too strong to keep her in the classroom.

She hit what she calls "the hippie trail," traveling through Europe, the South Pacific and Africa after working for a year in Paris in the library of the International Herald Tribune and another year in Geneva working for the United Nations.

During her journeys, she became acquainted with the rituals and customs of many Third World cultures, including their forms of health and body care.

When she returned to England, she met Gordon Roddick, a kindred bohemian spirit who wrote poetry and loved to travel as much as she did. The couple married in 1970, and shortly thereafter, opened a bed-and-breakfast hotel and later started a restaurant. In 1976, Gordon decided to fulfill a long-standing personal goal: to ride a horse from Buenos Aires, Argentina, to New York. Admiring her husband's pluck, Anita agreed to sell their restaurant to finance his trip. "It blissed me out to have a partner who said ,”I've got to do this.’I've got to be remarkable,” " she explains.

THE IDEA POPS.
In order to pay for her daily expenses and daughters school fees in her husband's absence, she decided to open a small shop wherein she incorporated all the knowledge that she gained during her travels into products that contained natural ingredients. With her husband’s help, she obtained a $6,500 loan, contracted with a local herbalist to create her all-natural cosmetics, found a site in the seaside resort of Brighton, and opened her first Body Shop.

FRUGALITY.
Her shop was set between two funeral homes. She painted the shop green because it hid everything, even the damp spots on the walls. Since she did not have enough bottles, she offered discounted refills to customers who brought back their empty containers, and used minimal packaging to keep costs as low as possible. She came up with a selection of perfume oils to scent the customer’s purchases (which were fragrance-free) because it was cheaper than adding expensive perfumes to every bottle of shampoo or lotion.

CLEVER PROMOTION.
Anita Roddick displayed a natural talent for garnering free publicity. The morticians who ran the funeral parlor next to her first shop complained that her store's name would hurt their business. She leaked a story to a local newspaper saying the undertakers were ganging up on a woman shopkeeper just trying to get by. It worked: People streamed into the store to see what all was going on.

Later on she advertised through promoting her social causes and in-store pamphlets.

THE COMPLETE OFFER.
The combination of unique products, good public relations, a highly trained staff and a well-defined sense of values quickly generated a buzz. Word spread, and within a year, Roddick's business had grown so large that she opened a second store. When Gordon returned in the spring of 1977, The Body Shop had become so popular that the Roddick’s began selling franchises.

THE END.
Anita Roddick's story remains one of the great entrepreneurial, if not cautious, tales of the late 20th century. She grew a single shop into an international empire and proved that a company can gain loyal customers and succeed by simply providing product information rather than employing high-powered advertising and high-pressure selling.

The Roddicks stepped back from running day-to-day operations and installed managing director Stuart Rose, who promptly restructured the company, bringing in other professional managers, installing tighter inventory control and streamlining processes. At the time, Roddick seemed ambivalent about the new course and railed at the administrative bureaucracy she was forced to adopt. "We've gone through a period of squashing one hell of a lot of the entrepreneurial spirit," she told Fortune magazine. "We're having to grow up; we have to get methods and processes in. And the result of that is a hierarchy that comes in-and I think that's antiproductive."

The changes failed to have the desired effect, and sales continued to decline. After a dismal first quarter financial performance in 1998, Roddick ceded her post as CEO to Patrick Gourney, a professional manager from a French food conglomerate, and farmed out her flagging U.S. franchises to the Bellamy Retail Group.

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“Dysfunction is the essence of entrepreneurship. I've had dozens of requests from places like Harvard and Yale to talk about the subject. It makes me laugh that ivy leaguers are so keen to "learn" how to be entrepreneurs, because I'm not convinced it's a subject you can teach. I mean, how do you teach obsession? Because it is obsession that drives the entrepreneur's commitment to a vision of something new.” - Anita Roddick.



Adapted from: www.entrepreneur.com