Pressing need

Some plain vanilla academics, please: http://www.thehindubusinessline.com/blogs/blog-indirabalaji/some-plain-vanilla-academics-please/article5233440.ece

Promise of india

The year 2006 , the Indian juggernaut was unstoppable riding a wave of optimism and promise. We had just completed one more year growing at 9% yoy, the fastest rate at which the country had grown. IT was the new posterboy of the India shining story but the other sectors were not to be left behind, manufacturing was growing at 15-20% yoy generating a lot of wealth and employment. The usual punching bag factor of the country "population" suddenly started to look like a boon with ever other country poised to get older by 2030. The government was well placed to bring in market,education and labour reforms to back up the stellar performance of the economy.

Fast forward to 2013, the whole scenario is gloomy with the economy growing at 3.5%. What went wrong, where did we miss the bus ? Was this a temporary blip or was the engine humming to a standstill. The government riding on the wave of growth and optimism failed to act on key levers to bring in investment, namely retail. It messed up big time on the infrastructure front with traffic jams the order of the day in all major cities. It did not touch the labour laws for want of electoral vision and filled the economy with welfare schemes. Ease of doing business has gone down the wrong path with major Indian companies investing abroad due to the red tapism.

India needs a comprehensive manufacturing and industry policy, labour laws have to be eased, infrastructure to be made world-class. Finally a lot of the welfare schemes need to be dropped to address the CAD issue.

Rediscovering India

Over the past 3 years after I came back from the United States I have travelled across India on several business trips, from Delhi in the north to Coimbatore in the South. Each town having its own flavour made me ponder whether I understood what is India? Why do we oppose ourselves ever so staunchly and also unite feverishly when the need arises. The question has become even stronger after witnessing the furore over the Telengana issue. Interesting to note that we had only 18 states in 1971 and have 28 today, so the concept of new state formation is not that new but to understand what motivates people to demand a new state is an interesting study by itself.

Being a part of a sourcing group in an automotive industry my travels were fixated at the epicentres of the recent Indian growth centres of Delhi NCR-Mumbai (Pune)-Southern triumvirate of Chennai, Bangalore and Coimbatore. Even for a person who grew up in Chennai, it was like getting subjected to a rapid facelift of these urban centres with Neon lights, Ad Hoardings, Multi storied Malls, Sky rocketing glass buildings. The promised growth had finally come and was staring at everyone’s faces challenging them every moment to stretch their boundaries culturally. On the other hand as I travelled to other cities like Indore, Nasik, and Kolhapur which were also industrial centres the experience was quite different. These cities were lagging in the areas of infra and service in comparison to the darlings of India’s growth story. Their economies were not experiencing the sudden burst of growth and rather were going steady. One common factor which was clear and obvious was the fact that though the 3 regions I mentioned were Industrial powerhouses they also housed a significant industry called IT/ITES, housing the world’s elite enterprises making it a very popular destination for investment and human capital.

So does that mean the IT industry is the only reason behind the growth of these regions or did the IT industry find these regions as the most conducive for Business? It is a classic egg and chicken story, which came first. One thing most people forget is that these regions were important in the British scheme of things so they had comparatively better roads, education system and probably even governance. These regions had their edge over other regions in terms of these essential services in order to capitalize the Globalization bandwagon. Nevertheless one must not and cannot discount the entrepreneurial spirit of the men who brought about this progress.

Progress is very essential in the overall scheme of things and especially when your neighbour becomes wealthier, the old adage ”envy your neighbour” will hold good for a long time to come. Coming back to the Statehood issue of Telengana, I fear that if the growth is not inclusive in the years to come we are likely to see more Telenganas. One might be tempted to think that I am prescribing Communism here but I am not going to. The way to go is improve governance, social systems and create opportunities. The problem here with this issue is we have long been a society which has chastised inequality and hierarchy and hold that tradition close to our hearts. We have definitely made progress but there’s a heavy legacy burden on the young shoulders of this country.

LET’S HOPE WE LIVE UP TO THE PROMISE

expansionists versus restrictionists

Most people would be aware of the Copenhagen Summit which concluded last week and the hype that surrounded it. So why is it difficult for world's leaders to come to an effective agreement to face this critical issue staring at us. Leaving apart a minority who feel that "climate change" is a no-issue, most of the countries accept and understand that there is a task at hand which needs to be dealt with and also that we are running out of time to bring in the cuts required to smother the effect.

As I write this blog, it is almost certain that the summit will end in leaders re-iterating the known facts about global warming rather than agreeing upon a concrete plan and timetable.The problem begins with the differences over the binding cuts that needs to be taken by the developed and the developing countries and the issue of technology and fund transfer required over a phased out period to help the developing countries in adapting to the change. Historical responsibility is the stance taken by the BASIC countries and much of the developing world while the developed world refuses to commit to binding cuts.

If the issue is well known and acknowledged, what prevents the Leaders from chalking out a plan?. Firstly every country's vested interest in a highly biased and tilted world creates a situation where you can't have winners all around the table. There will have to be some who have to give more than what they can get, ultimately the problem is universal and not limited to a single country. Secondly when Leaders like Obama and Kevin Rudd face immense pressure back home and a lack of acknowldgment in their homelands leave alone transfer of tech and funds, it becomes virtually impossible to chalk out an agreement. These leaders promise a lot but fail to deliver due to the reasons cited. Adding to the mix is the bunch of people who have their faith in the fundamentals of growth suggesting that growth irons out all problems and disparities and climate change/global warming is nothing more than a hoax.

Though I understand the practical problems each country faces today in making a deal it is also important to realize that we are running out of time. In an effort to optimize the losses of today we appear to be taking a big gamble on tomorrow and the United Nations has once again been pushed to a mere spectator.

Shopping experience

In an age of breathtaking speed where we are pushed to our limits every single day, we have adopted every possible method of convenience to alleviate pressure. Super markets are one such example, gone are the days where we step in - step out of each shop looking for a particular substance or brand. It has made our lives easier (albeit expensive) by providing plenty of options and making our shopping experience more exciting. But in the process it has also taken away a basic cognitive ability of spotting a good item and a bad one, because the mind has been conditioned in such a manner where it expects only to see items of good quality if not exceptional quality.

I have become a victim of the supermarket shopping habit and I had not realised it for a long long time. Recently I had been to a street vendor selling veggies and fruits on a push cart to buy a couple of things. Little did I expect that my mind would be challenged to pick the better ones of the lot from what was available, my mind froze for a moment!!!!!! It was a shocking revelation that I had forgotten the art of picking a good one from a bunch of available fruits & veggies. It was a painful exercise and when I was done, I was cursing myself for becoming so inept at such a simple task.

Its something we would not normally be worried about but when I think about the conveniences being extended today because of modern technology and service providers, I am worried that we are slowly losing touch with realities of life. How we have started taking things for granted over a period of time and how we fail to appreciate the effort that goes behind each of these tasks is a serious issue to be pondered upon.

Obama's Nobel

The announcement of Barack Obama winning the Nobel Prize last week was, undoubtedly one of the most controversial events in recent memory, received with enthusiasm and disbelief in equal measure. The critics on one side claiming too early, too undeserving, too hyped etc etc and they do certainly have a point.

All these years the Nobel Prize committee in Sweden has given an impression which makes one think that its an award for men/women who have already reached the point and in a critical way past their prime, in essence a lifetime award for accomplishing phenomenal things. The Nobel Prize is known as the top prize in the world for service in the areas of Science, Arts, Society and there have been many occasions where a deserving winner has missed out (Gandhi being one prime example). I would like to make a point here, such prizes should be given to people at the peak of their careers and professions, the reason being it acts as an incentive and encouragement during active practice of a particular skill.

If you buy this point one can safely say the man who has the platform and will to bring together an ever widening world, spheres of influence would be a certain Barack Obama. It is definitely early but a worthwhile gamble which could make Mr. Obama realise the expectations of the globe and nudge him into being assertive, confident in dealing with a lot of issues.

I agree guys, this prize is not one of merit but of pure hope and a well invested hope I must emphasize.

Lessons from Bapu!!!!

Last week marked the 140th Birth Anniversary of Mohandas Karamchand Gandhi : The father of our nation. In light of the Mahatmas birthday I would like to add a couple of thoughts which came across in my mind over the past several years.

He had practiced and preached a lot of virtuous principles which remain a dream to a lot of us who continue to hold the Mahatma on a pedestal beyond our reach. I have noticed and continue to notice that, Whenever the example of Gandhi is given for a good practice, the answer comes back immediately "ah, its possible only for Gandhiji and not for mere mortals" immediately alleviating and relieving oneself from the potential responsibility.

The point in hand that I would like to make is Gandhi is Gandhiji today not because he was God or because he was superhuman. He was a normal man like anyone one of us, the ideals he held was possible and is possible for all of us, alas the age of Gandhi has still not dawned upon us. He is what he is today because of the tremendous self discipline and simplicity. He was not a man of great oratorical skills but could stir millions into action with his voice because people connected to him, they could relate to him, they realised here was a man who was doing something not out of self interest but for public unity. All this popularity and reverence did not happen in a day, even Gandhi was not elevated in a day, it took years of patient and rigorous practicing of all the virtues. Today's youngsters caught in a vortex of instant gratification want it in a flash, even the great accomplishments are expected to be completed in the shortest possible time and effort required. This has led to a severe lack of confidence and pride which is required in today's demanding world.

I plead and request all my fellow human folk to believe in themselves that things are possible provided they want to do it. One needs determination and great amounts of self will, the greater the task at hand the greater the effort thats required. There are great tasks which are at hand and which needs to be done at the earliest. This is not a period of self doubt and self-pity.