Thursday, February 16, 2006

Bihar shows the light


Honorable Mr. Justice Ravi Dhavan, Chief Justice of Patna High Court’s initiative was using Video Conferencing for trials. On 16 August 2001, A total of 1077 under trials prisoners had volunteered to record their statement over Video link. Of those interviewed and had their statements recorded, 130 were released. In four days of VC, a total of 113 cases were disposed off and total of 135 prisoners received the benefit of pre-trial release.


The huge success of Patna Court Experiment resulted in another Video Conferencing at Hazipur, on 8 Jan 2002 and went for 9 days covering 597 statements of under trials.

The Video Conferencing service provided by National Informatics Centre (NIC) which is pioneer for IT solutions to the government.

As per NIC the Video Conference solution will

  • Will accelerate the case disposal rate of civil courts by releasing under trials
  • Reduce jail crowd
  • Saving expenses of transportation and minimize risk of fleeing

Technical Requirements as per NIC

· Both Jail and court at any district needs to be linked using 2 or more 64 kbps ISDN lines so that total carrying capacity is more than 128 kbps

· Tandberg 800 SetTop VC system

· 29” TV set at both locations

· Furnished room as Studio

The setup cost is 14 lakh rupees and all this can be dismantled and reused at some other district

In August 2005 the District Judge, Delhi took a decision to have interaction with Telgi who has been lodged in Pune Jail over Videoconferencing to ensure that no security lapse happens while transferring him from Pune to Delhi. The conference was done for the purpose of Judicial Remand Extension.

Now in 2006, it’s high time to legalize this facility across the country. With number of pending cases becoming like Leaning Tower of Pisa, its time we restore and prioritize these cases.
And who else to show the way, the State of Bihar, which always been looked upon with skeptism and helplessness of the Raj.

Wednesday, February 15, 2006

Where is the News of Rural India


Where to spend your weekend in Singapore, Goa, Bali, what numbers do celebrities like,

That’s what the largest circulating newspapers tell us.

With 80% of Sunday Edition being only advertisements inviting all urbanites for the grand shopping sale, with educated citizens buying more brands, more imported clothing, where is the news of the rural India. Or to say where is the news of India, as most of Indians reside away from the city.

With an opening of a fashion boutique look at the news space given with pictures, what about the news and pictures of an ordinary day of Below Poverty line. Don’t we need news that compare the 2 distant realities, why only news about how and what celebrities wear at Birthday Bash.


Everyone can give reactive news, look at semi-clad pictures, why should we watch such news print or media channels, Newspaper came in this country to make a revolution?

Does TOI the largest circulated news paper create a revolution in India? Yes it does, a revolution to materialism, a revolution to create more lust and so called fashion statements in the young urban mindset, a revolution to be disconnected from India, a revolution to remain in ignorance of urban culture, in true marketing sense the debate is does News Agents like TOI choose its readers or do readers choose TOI ?

Some smart brand managers create new segments for their products; TOI is one of those smart marketers. News on TOI is full course meal, soup to dessert in form of Bangalore Times or Mumbai Times…question is can profits not be made with noble objectives, the talent of all journalists in good newspapers, where is it being used and for what purpose. Journalism is a passion, one lives to read, its quest of human development, where is journalism heading in print. Once in a week you will find a hard hitting editorial, where is the competitiveness for the creating the change, which existed when Kesari transformed this nation.

Every employee has 2 responsibilities, one towards his Employer that fundamentally represents shareholder value and second how can his/her work go back to the society. Journalism is a profession that has been looked upon as the agent of change, again, just open the front page, why do we need a semi clad picture on the title left side, why , why create a segment which lives for short term benefits, not meeting the second primary responsibility.

I agree its hypocrisy that all segments have a certain amount of pervert in them, but does that mean journalism exploits a negative sub conscious element. Is it the race of money that drives journalism, or to play a bigger role of being the change?

I agree censorship of press or its monitoring by a watch dog will not be acceptable in democracy. It’s finally up to the News Agents stakeholders, primarily the Editor, promoters and the readers to decide what’s the news they don’t want to read. It’s for these stakeholders to decide how much space a news of Dog meat being served by mistake versus news of farmer suicides should be given.

The objective is the today’s news readers are not sensitive to issues in the rural India, not because they are not interested, not because they don’t see such issues in newspapers, but because newspapers have conditonalized them for decades to be insensitive to real issues.

Where as the newspapers assume that today’s reader is not interested in reading about a life of below poverty line family, they follow the need theory and marketing principle that readers and customers crave to have better lifestyle, happiness and celebration, they assume that readers need escapism from pains and suffering from rest of India. And a newspaper then plays a role of an entertainment, and caught amidst this vicious cycle is freedom of press, which today is misused, and now is worth only for scrap, as colored papers weigh more.

Can News Mediums- Print and Media, move towards political and non political consulting, a news agent which throws options infront of policy makers, a news mechanism that provides best practices across the country and world, get specialists and experienced executors to come one platform to provide guidance to policy makers. A news mechanism that not just gives debates but brainstorming and solution directed debates.


We don’t want the generations to come spend time talking about issues and debating them, we need them to go one step further, we need them to discuss solution directed talks. Or else we have a generation of reactive talkers.

Young minds are porous, they absorb cultures and opinions, I see a lot of TOI readers being brainwashed, it might not be an alarm today, but soon….

Like Americans lived in ignorance of what US policies were in Central Africa, where they still believed that world is America, and nothing else. Same might happen in India, world for Mumbaikars is only Mumbai. They will become insensitive to everything, else until the day the oppressed strike back. Newspaper is just not a Product, its Brand Personality with which reader associates with. The reader with time adopts the personality of the brand, that means a generation of insensitive mindset.

We need blogging in regional languages at Panchayat levels, we need the world to know that we are ready for being an inspiration to other countries, the path taken by us should be noble.

Thursday, February 09, 2006

Why Information Technology Companies are Soft Targets?

Why Information Technology Companies are Soft Targets?

As per NASSCOM Strategic Review 2006 figures:

·IT-ITES sector is estimated to grow by 28%, to account for 4.8% of GDP in FY06
·Employment in software and services sector to touch 1,287,000
·Software and service exports to grow by 32%, to reach USD 23.4 billion
·Total IT Software and services employment to reach 1,287,000 in FY06
The Big 4
·Rapid volume growth; clients continued to ramp up engagement sizes with leading
vendors. The top 4 players alone have over 660 USD 1 million + clients,
up from 441 in FY 2003-04
·The Reserves of the Big 4 as on March 2005 Balance Sheet are 
o Infosys- Rs. Cr 5,106.44
o TCS- Rs. Cr 3,273.04
o Satyam- Rs. Cr 3,153.17
o Wipro- Rs. Cr 3,461.04 (Mar 2004)
· Geographical distribution of India's IT business is extremely uneven.
For instance, of the total exports of computer software and
electronics hardware,the South alone accounts for over 50 percent
·ITES contributes 4% of GDP – expected to reach 7% by 2008
·ITES has created additional 1150000 employment opportunities indirectly in
tertiary industries.Industries such as hospitality, construction,
transport (specially airline) have seen a surge in demand.
 With such a huge economic dependency without any security arrangements is an
easy grab for terrorist plot
 
·A base location of any of these 4 companies hosts more than 1500 associates.
· Let’s talk of the security in these companies. Most of the IT companies when
they present to Fortune 500 clients they showcase elaborate security
mechanism with Robust Business Continuity Plans, but that’s on paper.
All security is outsourced and unarmed security, who will greet & frisk
all workers and visitors.Check for base and dickey of the cars.
What is the point; this is an eye wash security.
Since no one is armed its just a cakewalk for an armed Terrorist.
·  Can you imagine the terror that can be caused if all Big 4 locations which
hold more than 1000 software workers are held hostage by collaboration of
different terrorist’s organizations? They might ask for minimum ransom that
could start with Cash Reserves, a sum over 12,000 Crores. I am aware this
money is not just lying on platter but it can be a negotiation figure to
start with. Motives like Freeing their fundamentalist leaders are also
possible.
Remember for a hostage situation a closed catchment area is an
ideal control habitat.
·  Do these companies have any policy in place for hostage situation?
Incase they don’t, just as we have seen the Kandahar episode,
With a dozen news channels, sensationalizing News everyday,
imagine the emotional blackmail the country will
undergo, when these channels beaming mercy cries from families of the hostages.
Will the Corporate Inc. Succumb to pressure?
· Can the Indian IT companies afford a terrorist hostage which could last for
months? Will India be looked as a safe destination for the Fortune 500 for
outsourcing and consulting?
·If there is an intelligent economist minded terrorist, you know where he is
going to strike.
·Impacts of 9/11 Attacks on Airline Industry (The Airline Industry Since 9/11:
Overview of Recovery and Challenges Ahead -Dr. Peter P. Belobaba at MIT Global
Airline Industry Program Washington, DC - March 26, 2002)
 
Most North American and European airlines reduced capacity and staffing almost
immediately:
· 80,000 layoffs by US airlines alone
· February US airline capacity down by 13% from previous year
· Traffic has “rebounded”, but still 11% lower than in February 2001
·US airlines posted 2001 net losses of $7+ billion.
 
Post such a calamity in India, The Demand may also be slow to rebound; a chain of negativism:
· With greater focus on Operations, timely deliverables may be affected,
with Increased “hassle” a increased customer ill will result in reduced demand,
· Client speculation, price sensitivity and purchasing patterns may also be changing
· Revenues & profits will be slow to recover, particularly for new entrants
·Longer Background checks will result in slower Resource Ramp-up directly affecting
Business Model.
· Higher Investment in Relationship building and longer sales gestation periods. 
· The Indian Big 4 will be more affected due to its regional dependency compared to the
Consulting Giants - Accenture, BearingPoint, CapGemini, Ernst&Young ,
Deloitte&Touche ,KPMG & PricewaterhouseCoopers.
 
Way ahead
· Indian IT giants, who acclaim themselves as best in Global Industry,
must be proactive rather than Indian government reactive responses like
we saw at Kandahar.
· I have no comments about how proactive the Police and Intelligence Bureau are.
But we are aware of the proactive nature of the Indian IT Industry.
Just like we have an Insurance policy that might help us whenever
the D-Day comes, similarly we need IT co.s investing in Security measures
by outsourcing these to Private Armed security or Police, CRPF etc.
which are cost centric, can move towards a Revenue Model.
· Greater focus on using Information Technology to cater to security issues.
Creating a vigil culture within the organization is essential.
There is a rich pool of strategic thinkers retired from Indian Armed Forces
available.
· Remember the U.S. Transportation Security Administration (TSA) learns from
Israel's national carrier Al El that hasn't suffered a hijacking since 1968.
· The point is clear; investment cost in the above is miniscule compared to
Hostage Situation and Post D-Day.Above all workplace must remain a
nurturing “atman” and not a war zone with fear.
 
 
 

Sunday, February 05, 2006

Railway Privatization in Metros

Why Should Private Companies like Reliance enter Railways ?




Year 2006, and its future scenario:

  • With exponential growth in Vehicular Density and Congested Passenger Traffic is resulting in slower average distance time and higher cost of road transport.
  • With almost no scope of expansion of roads, bottleneck in roadways is unavoidable
  • With thousands migrating to Metros on daily basis, how will the Metros move?

What is the Business?

  • Offer State of Art Metropolitan Railways Transport System in Mumbai & Bangalore which is fast, efficient and cost effective.
  • Offer routes which have the highest traffic density
  • Rail Station with a retail and multiplex model
  • Cross Selling from Webworld- Internet, Telecom Products, Retail Kiosks, Gaming, Video on Demand, Reliance mobile alerts & booking, Reliance Radio, Selling Reliance Capital products-Mutual Funds,
  • Reliance Skyline powered by Reliance Energy
  • Offering rental space to
    • Direct Selling Agents of Credit Cards/Banks,
    • Retail branches of banks
    • Hotel facilities
    • Top up with Multiplexes
    • ATMs
    • Smoking cafes
    • Postal Services

Differentiation:

  • Good project management experience will give first move advantage
  • Close relations and government lobbying will catalyze faster execution
  • Timings and routes strategically planned to increase competitor entry cost
  • Greater role of IT in collaboration with Reliance Infocomm, using high end technology as RFIDs and GPS
  • Provide longer trains to cater to large passenger demand supplemented with Moving walkways which can be used by commuters just like an escalator. (The speed of a moving walkway is usually 3 km/h, but there is a high-speed version at Gare Montparnasse station in Paris at 9km/h.)
  • Create different Rail Stations as Retail Anchor, a Business Hub, a Multiplex, Hotel zone

Revenues:

  • Commuters Tickets
  • Cross selling Reliance Business products as well as strategic partners
  • Retail Kiosks
  • Leases on Multiplexes, retail anchors
  • Pay Parking
  • Advertising space
    • Inside Trains
    • Hoardings On the Skyline Bridges
    • Stations
    • Outer Surface of Train
  • Catalogue shopping- delivery next day at boarding station
  • Rentals from News Channel, Entertainment Channel, Music Channels for their showcase
  • Retailer Margins as vendor for Food, Grocery, Newspapers etc.
  • Market Research captive audience
  • Restaurants/ Caterers/ Food Courts providing Breakfast, Lunch, Dinner
  • Provide Hotel accommodation – major revenue share
  • Temples / Church / Mosque as Corporate Social Responsibility
  • Rentals from Automobile Showrooms, Healthcare specialists, Gymnasium etc.

Challenges:

  • Space Management: with given congestion in available space for infrastructure development, finding available space for this project is a challenge.
  • For the success of Skyline one needs supporting Feeder Services either Public Buses or Employers Buses

Message Content for Segment

· 8 am wakeup for young male model, sleepy eyes reaches Reliance Bandra Station, (state of art) does his routine from brushing teeth, workout / bathing breakfast, radio listening, uses drawer facility, smartly dressed in suit hops in prayer room, followed in cozy seat in the Reliance Skyline. Puts on the provided headphones and watches the News Channel.

o RELIANCE SKYLINE- part of your life

· 7 pm. on the female model’s watch, goes with her pals to Shopper Stop at Reliance MG Road Station, eats her favorite spicy Chaat, so many women around at 8 pm. Checks the Habibs new opened on the second floor. Hops in the train to Bandra sits next to male model from campaign above.

Target Segment

ANY INDIAN WHO WANTS TO TRAVEL in Bangalore / Mumbai

Indian Railway Case Study

In 21st Century Indian Railways Ministry addresses huge demand of Passenger travel by increasing number of trains at different time intervals. But there is a political dimension to this; most of the new trains added are on routes where key politicians want to show their seal of governance.





Objective: Increase supply of passenger seats to met surplus demand.

Present Capacity of a Train

Compartment Type

No. of Coaches

Max intake

Passenger Cap

Second Class

(General Compartment)

3

72

216

Sleeper Class (SL)

12

72

864

AC 3-Tier Sleeper (3A)

2

64

128

AC 2-Tier sleeper (2A)

1

48

48

First Class

1

18

18

Tatkal Scheme

2

72

144

Total Passenger Capacity

21

1418


I am assuming that you are aware of the existing processes to book a ticket / know the availability / or cancellation. Let us now look at a hypothetical scenario. A user logs into the www.indianrailway.gov.in and checks availability for a train from Mumbai-Goa on 1st April; its 3 days before the date of Journey. He is unable to get air tickets too.

The System informs him-Latest Waiting List 250, the system also informs him that he can book the ticket and seat will be confirmed if Waiting list touches 400+ as per the “Special Dynamic Booking”

System informs him, that if wants to avail the “Special Dynamic Booking” he will have to pay a premium of 30% or X% more than normal fare (X% refers to a percentage premium computed by CRM application)

What is Special Dynamic Booking?

Assume Sleeper Class Present carrying capacity of train is 864, let’s take this as X. and Y as passenger capacity that can be added to train dynamically. Now Y can be added only when Railway authorities feel it’s either a profitable deal or a breakeven deal for them, depending on their objective.

This is an alternate solution to increasing number of trains, which puts more pressure on the Railway traffic logistics & updating all databases with creation of new train number. Instead dynamic addition of coaches along with a special additional engine can be added to present train. This can be achieved with integrated application of CRM & SCM.

As soon the system identifies a Waiting List to be a number which is profitable; it will integrate the Supply Chain to add more coaches with a special engine.

What’s the difference between Tatkal and “Dynamic Adding?”

Tatkal scheme allows appx 2 coaches to be added. Where as Dynamic Adding can maximum double the capacity of a normal train with an attached engine. This exclusivity allows a premium price point.

Arguments in favour:

  1. Resources required for new trains & “Dynamic Adding” is same.
  2. Increase the Platform length
  3. What if Y seats added to present capacity are unsold? Then these tickets can be sold at discount price prior to the journey similar to the revenue model followed in airline industry.
  4. Commuters will have to walk more on Platform to move to one end of the Platform, but this is minimal to the frustration of not being able to travel or waiting for another train. For the same, Platforms can be better designed with correct information of where coach is positioned. And Moving walkways can be used to commute with luggage from one side of platform to other. The speed of a moving walkway is usually 3 km/h, but there is a high-speed version at Gare Montparnasse station in Paris at 9km/h.






Acronyms: CRM-Customer Relationship Management

SCM-Supply Chain Management

Reference: http://www.travelindependent.info/india_trains.htm;

http://en.wikipedia.org/wiki/Railways_in_India

Case Writer- Navendu Shirali