Golden Issues in Indian Econony

This is one of the 'Did you know' series posts. I had an opportunity to attend Dr. C Rangarajan's speech on 'Indian Economy and the way forward' yesterday. The speech went on for about an hour and half including Q&A from audience. It was a very good refresh of my Macro Economics class I attended 3 years ago. One particular point caught my attention and I felt its my responsibility to create awareness about it.

He mentioned about various challenges that Indian Economy is facing and one of them being Current Account Deficit (CAD). Its basically net of inflows and outflows of foreign currency. We are financing our foreign currency needs (basically arising out of imports) using the capital inflows from foreign countries. This is certainly not sustainable. If there is a fluctuation in foreign capital, we cant service our current account resulting in depreciation of rupee, hurting our exports. One of the prime reasons for wide CAD is import of Gold. I was astonished to know that not an ounce of Gold is produced in India. Every particle of yellow metal we see around us produced outside of India. We imported close to $54 billion worth of Gold in last fiscal year. At the moment we have close to $90 bn CAD. 

Why do we love Gold so much? Gold is generally purchased in two modes, one as Jewellery and other as Asset (in physical form or ETF) for investment. When the inflation is hovering in double digits and India Inc putting pressure on RBI to lower interest rates, Gold appeared like a great investment option for Indian citizen to save money. Gold in the form of asset does not result in any productive form of investment. 

Dr. Rangarajan suggested that as the inflation comes down, hopefully investment in Gold comes down resulting in lesser imports. Guess how much of Gold we imported in last fiscal year? A thousand tonnes !! Woah...

THE SALES GIRL IN CHENNAI GIRI STORE, THROUGH THE EYES OF “WASHINGTON POST.”

After the Temple Darshan at the Kapaleeswarar Koil at Mylapore, we entered the "Giri Trading" stores and started searching for this Book on "Thatva Bodha".

We found many people buying various Books and CDs and from their smart walks and accumulation of CDs from Abhang to Aruna Sairam and Bhajans to Bombay Jaishree, sent a nice feeling in us, that we have come to the right place indeed. I was looking for this Book while my wife started collecting Bharathiar's songs and MS's Music.  I searched everywhere for this Book.

There was this Girl, standing next to the Cashier, sincerely watching all our movements - a dark complexioned Girl, should be from a nearby Village, might be 17 or 18, should not have crossed 8th Std., might be out of poverty she is here..  All my Journalist's brain unnecessarily calculated about this Gullible Girl..and tho' she was repeatedly watching me, I ignored her and started searching for "Thathva Bodha".

I saw many books from "Sandhya Vandanam" to Swami VIvekananda's "Chicago Speech" but having spent a good 40 minutes.  I looked at her, she also looked at me curiously.

I did not asked her, knowing fully well that such a girl cannot have any idea of anything, leave alone "Thathva Bodah".

  

"Sir, may I help you?" (in Tamil)

"Yes. I am looking for 'Thatva Bodha' "

"Sanskrit Text or English/Sanskrit?"

God..she knows.  "Sanskrit & English"

"Do you like to have the Publication from Chinmaya Mission or Indu Publications or by Ramakrishna Mutt?"

"I don't know..I just want to only Learn you see.. I don't really know indeed"

"Do you read Tamil Sir?"

"Yes I am a Tamilian " (thinking to myself how most of mylife time I like to act in most Other places that I am not)

"Then Sir, you can take this"..she ran to the shelf where I had searched for 30 minutes, removed the books in the front and came out with a Book in Tamil.

"This one in Tamil by N.Sivaraman by Indu Publications infact is simple and wonderfull.  You have the Sanskrit Text too inside."

My God!  Why did I under estimate such a Genius.  Just because of my Arrogance that I am an NRI.  Or Just because I presumed such a Black, dark complexioned, gullible girl, who would have come for this job out of absolute poverty, wouldn't have any idea of "Thatva Bodha".

I decided to change my attitude and realized that I am absolutely an 'Idiot' at this moment in front of this wonderful girl and submitted myself in all humility. 

"Madam, I really don't have any idea of even who wrote 'Thatva Bodha' till yesterday.  I just attended a lecture on this subject and was fascinated by the lecture and hence....."

"Did you attend Goda Venkateswara Sastri's lecture in Bharathiya Vidya Bhavan?"

"Oh God. How did you know?"

“He regularly takes classes on such subjects.  In fact he is one of the best Sir, in the city on such subjects."

"You are interested in such subjects?"

"Yes Sir, I read a lot about Swami Vivekananda and Ramakrishna and Thathva Bodha incidentally is my favourite Subject"

"Do you mean to say you have read Thatva Bodha?"

"I have read this one by Sivaraman.  Once you read it you won't feel like keeping that book on the table at all."

"Why what is so great about this Book?"

"Sir,you must be joking that you don't know about 'Thatva Bodha'."

"Really.  I accept my ignorance."

My wife was watching from the corner, admiring all her CD collections.

"Sir, according to me, if you read this it gives the entire Vedanthic Saramsam and to say it in-one-word you become a bit more humble in life, leaving Ahamkaram once for all."

"Is it a fact that reading this simple book one would get so humble?"

"Of course one should be involved totally into the text.  Needs a lot of conviction and devotion."

My wife joined the conversation and she felt this girl is indeed a very very talented intelligent girl, so she told me, "Why don't you interview her for Washington Post?  Why at all you should think of Paris Hilton?"

I also felt that I owe something to her..  So, I asked her whether she can spare sometime for an interview.

She politely refused saying "My boss is to give me permission.  Besides, many people are looking for guidance or help, like you and hence I have to go."

"What is your name?"

"Kalaivani."

My wife's admiration for her devotion to duty and her total involvement in her work, made her go direct to the Boss and said, "Sir,that girl Kalaivani."

"Yes very hard working Girl."

"This is my husband Viswanath."

"Nice meeting you Sir"

"He is the Senior Journalist in Washington Post."

The Boss stood up." Washington Post?"

"Yes Sir.  I would like to interview this girl. I am highly impressed with her ethics."

The Boss called her.  Time was 5:45 Pm.  "Kalaivani, they have come all the way from USA., They would like to spend some time with you.  Can you?"

"Sir, there are so many customers waiting for some guidance. as it is a rush time.  If they can come again tomorrow."

"OK. I can come again tomorrow."

I came back next day morning leaving all my appointments with 'Times of India 'and “Madras Press Club “ just to see this girl.  It was no rush hour.

  

My wife and myself found out.  Kalaivani is from a small village near Arcot.  She has 5 sisters, she being is the eldest.  Her father was a drunkard and he died a few years ago caring for none of them.  Her mother used to work as a helper in Masonry and passed away two years back, leaving all the 6 on the streets. This girl who had completed her 9th std decided to search for a job and 'Giri Trading' came forward to help her out.  She brought up all her 5 sisters with her and with her meagre salary she is tak ing care of them.  All the 5 sisters are going to a nearby Chennai Corporation School.

"Kalaivani. But when did you get this enthusiasm to learn about 'ThatvaBodha'?"

"Sir after joining here, I decided that the best way to be of help to the customers is to know the Subject first.

I took small Books on Ramana, Ramakrishna, Swami Vivekananda and started reading.  I found the subject so fascinating..

I decided to read other books in Tamil like Bhagavad Gita, and Viveka Choodamani. Thats how...."

"What is your salary?"

"Rs 2,500/ a month, Sir."

"Are you able to manage all your expenses with the 5 sisters?"

"Not at all Sir, but the Boss helps me a lot."

"What is your aim in Life ?"

"I want all my sisters to get education. Then they would easily get employment.  Is it not Sir?"

"If I give you Rs 10,000 per month, for meeting all your expenses, would that suffice?"

"It is indeed too much, but I would accept it only through my Boss."

We took her to the Boss and told him that we would like to send Rs.10,000 every month so that all her sisters' education would be completed.

The Boss said "She deserves it Sir.  You can trust me - I will hand over the amount to her every month or alternately you can open an account in her name and start transferring to the account."

My friend John Paul, who is the Regional Manager of 'Times of India' had also come with me.  He said, "You have done a good thing."

My wife said, "I pray that 'Karpagambal' helps Kalaivani to become an expert in 'Vedantha' and start giving lectures in USA .  We can arrange for her lectures."

We left wonder struck!  If we go into the interiors of India, how many more 'Jewels' like Kalaivani can be found!!

I really became humbled!

-------------------------------------------------------

A True Story forwarded by a friend.

Microsoft dominating Smart TVs slowly

Skype was acquired by Microsoft last year, but lets Skype operate autonomously. Skype is now coming as one of the standard features in Smart TVs. I like this feature of course since I dont have to boot my laptop before I could start a skype call. I could switch on the TV instantly and go ... quite similar to iPad facetime. 

Leadership Democracy at leadership village

Wayanad is a beautiful district in Kerala amidst western ghats with dense coffee, tea plantations, spices and enchanting celebrations during festival season. A team of 11 Development Managers from SAP labs headed to Wayanad to interact with some students at Leadership Village co-founded by Anil Emage in Kalpetta, the district headquarters of Wayanad. The managers were given a brief about Leadership Village and the efforts put in by Anil and his team. We realized that we have not arrived for a joy trip after understanding their hardships and tough life.

Wayanad - Greens or Blues

Wayanad is one of the 12 districts of Kerala and unfortunately is also one of the backward districts. Majority of the population depends on agriculture. During 1995 to 2004, 90% of farmer suicides in Kerala were from Wayanad. While tourism is one of the sources of revenue, when compared to other commercially developed places, Wayanad stands low. Most of the families are conservative and they do not appreciate their children to go an extra mile after school to get exposure in the outside world. Most of the parents do not want their children to use internet connection at home. The best students get pushed by natural selection while the back benchers remain without much encouragement.

Leadership Village

Anil Emage did his schooling in Kalpetta and he was afraid of public speaking when he was a student. He said he never had an encouragement or opportunity to work on the much needed skills as he was one of the backbenchers. The children in Kalpetta and surrounding areas have limited opportunities to hone their skills and pursue their choice of career. Many times they are not even aware of many potential possibilities they can take up. They are usually forced to settle with limited resources and unlimited aspirations. After working as a journalist and moved by the situation in Wayanad people, he decided it’s time to show courage and leadership. He teamed up with Laila to create the first 'Leadership Village' ever in the world in Wayanad. Their philosophy is simple - create a leadership democracy where every individual has equal opportunities to discover their true potential irrespective of birth or living conditions. That is very simple but hard thing to implement in the context in which Anil and Laila are in.

When we visited Kalpetta, the students of Leadership Village, typically in the age group of 12 to 20 welcomed us and engaged us the entire day where we could learn from each other. Most the children there are highly committed and motivated. One of the students of Leadership Village participated in a global conference recently and presented her insights quite confidently. The results take time however they are quite effective. Their language, communication and confidence levels are on par with any student living in a metro city.

Living Library

One of the pillars for the success of Leadership Village is the concept of "Living Library". In Anil's words, "When you read a book it is not so personal, but when you talk to a person, you make a mental connect and create a relationship between the two resulting in effective way to communicate". People who visit LV periodically share their success stories with the children and the children ask questions, clarify their doubts and seek some guidance. It has been a wonderful experience for me personally, trying to understand their mindset and aspirations.

Learning for Managers

On the second half of the day, SAP managers gathered around Anil and Laila to understand the process behind and how SAP can help reach their goals faster and better. We discussed Anil and his team's aspirations and probed further on areas of improvement. Their priorities are to conduct such events once in a month where the children have opportunity to interact with people from various streams to explore the options they can have, create a methodology for leadership learning for these children and possibly create a model to replicate this setup in other parts of the country.

The SAP Managers summarized the discussion and came back to Bangalore to check where we could help in various capacities. The trip was fun and at the same time we had invaluable learning from the experience. The entire program is organized by the students including setting the stage, inviting guests, getting sound system to work, making flower bouquets for the  guests, arranging for lunch, preparing the agenda and ensuring all they can to make us feel comfortable. One student mentioned Anil and Laila are like second parents to her. We started to wonder, how could Anil get their commitments, make them so motivated? His selfless service is quite apparent, leading the children, their parents and other influencers in the society to give them support. Can we at SAP emulate some of these philosophies to create more engaging work atmosphere? We said "Yes" and we rearranged ourselves into teams to support Leadership Village in whatever way we can.

Indian consumer market is no longer far behind

I am happy to see Sony's latest LCD-LED TV HX850 being launched in Indian market without much of time lag. This TV was announced in CES 2012 in January and in just 5 months launched in Indian market. The 40" one carries a price tag of INR 93,000. Check out the comparison of similar models of Sony here. 

Siemens game plan for developing economies

Just read this interview - http://www.business-standard.com/india/news/smart-products-meet-local-price-levelsthereby-ensure-profitable-business-felix-scheffler/473581/

Every winning MNC operating in developing countries require SMART products in their portfolio. Simple, Maintenance Friendly, Affordable, Reliable and Timely-To-Market.

Please note that SMART products are not stripped down versions of popular products. These products meet local requirements and local price points.

Murmuration... inspiring

The power of networking. There is never ending learning from the nature. This one exemplifies how organizations and individual's can leverage the power of networking and concious learning.

SOP revisited

Revisiting Statement of Purpose that I wrote 3 years ago... Nothing much has changed. 

Airtel's Customer Service Department - how smart !

I wanted to change my broadband connection tariff plan. I called up Airtel Customer Service. As usual it gave an IVR menu and said, press 9 to talk to a customer service representative. After pressing 1, it says, "You will be charged 50 paise per minute for this service". I thought alright... then it just plays that crappy airtel music (the earlier Rehman's tune was slightly better) before it connects to human interface (remember the meter is ticking). It connected to someone, I explained the tariff I wanted to take, told my details like name, phone number etc. he said - may I put you on hold to pull the data from system...blah blah... and after "few minutes" he comes back, asks my alternate number and email (remember meter is ticking) takes my billing address, last mode of payment and says it will be effective from next billing address. My billing address is from 26th to 25th of a month and I said, make it effective from today (its 27th). Before I could even ask that guy cut the line. I checked my phone and it already cost me INR 5.5 (10.5 minutes of call duration).

The fun part starts now...

I called them again, said I was talking to one customer service representative and the line got cut, I want to ask him about the plan. Again... press 1 to speak to CSR and note, 50 paisa per minute charge...This new guy asks me again my phone number, name and asks me 'what is your alternate number and email' ? I was like...'dude.. your friend sitting right across to you just now pulled it up from system and asked me to confirm and I confirmed. So dont worry about it, just answer my question...", before I could ask the question the line gets cut again. INR 2 gone in the drain.

Is this a smart strategy of Airtel to pay for itself for the service department?

The right service attitude

I recently got an office provided Blackberry device that is from Vodafone. I had difficulty in the dial pad. I can make calls from a number that is already typed in (from an SMS or address book), but I can not dial a new number except for 0. This surprised me and intuitively sounded like some setting problem. I searched in the net for a quick result, but did not find the right answer immediately. Then I thought let me call the customer service of Vodafone specially for BB customers. Following is the discussion between the customer service representative and me.

CR: Good morning, this is ABCD, how can I help you?

Me: Good morning... I am XYZ from ABC. I got BB from you and for some reason, I am not able to dial numbers, but I can make a call from an existing number in the address book.

CR: Sorry, I did not understand your question. Can you repeat?

Me: I repeated.

CR: If you are not able to dial the number, then it is a handset problem.

Me: May not be, since I am able to make a call from the address book. Can you try to find if there is some setting that I can change?

CR: No sir...its a problem with your handset, try changing the SIM Card? (I was thinking to myself why the heck changing SIM will help if its a handset problem?)

Me: I will try, but are you sure that this is not a setting problem?

CR: Yes.

Knowing that he cant solve my problem, I thanked him and kept the phone down. I searched on the net a bit more and found the solution in BB support forum.

http://supportforums.blackberry.com/t5/BlackBerry-Storm-Series/Dial-Pad-can-t-dial-extensions-after-cal-is-placed/m-p/397550

The issue is with different language settings and once I changed the language it got alright.

The point is, what sort of mindset should customer service representatives have?

- After the call I have a feeling that CR does not know anything.

- He does not even try to solve my problem.

- He does not care to ask few more questions to isolate the problem.

- He does not even bother to really check what the problem is or even later give me a call if replacing SIM solved my problem.

Perhaps from CR's point of view, his thinking of customer (me) may be...

- What a non-sense guy, cant he understand if he is not able to type a number, it means its a problem with the handset?

- Why does not he try changing the handset?

- Why is not trying to listen to the solution that an expert (CR himself) is giving?

In my opinion no customer support team comes to work to say, today I will not help my customers. For few known/unknown reasons there is a gap between what is expected from customer and what is being delivered. It is quite essential to realize this gap from both points of view and try to reduce it.

For example, if we consider the above case, the mindset of the CR should be to really to "help" and check (by probably calling back the customer) if the problem is solved or not. For the customer, it is essential that he explores alternate channels and have a realistic expectation on what customer support can really solve.

Why I dont like Blackberry...

I recently switched from Android to Blackberry since I had to take a new connection from office. I really dont like this new device. I got BB Storm2 from Vodafone and here are few reasons why!

1. Android Apps Market UI is much better than BB App World Interface

2. My BB phone heats up a lot while charging.

3. My BB phone heats up while talking or sometime even while inside the holster.

4. The response time is pathetic to click on 'Unlock' and after clicking 'unlock'.

5. I have to charge every day.

Nuclear deal with France - A joyous moment or a cautious moment?

Would you be proud as Indian with the news that France will supply nuclear material to India?

Yesterday India and France signed 5 deals related to supply of nuclear material for energy needs. The deal ensures French suppliers can supply nuclear material to India for its civilian nuclear activities. India is hoping that new power plants will add 10,000 MW of power to the grid. As per Indian laws, the supplier assumes full responsibility incase of hazards due to nuclear material which could potentially slowdown the deal with France. However, is this a proud moment for us?

Agreed that we are a developing nation with double digit GDP growth prospects for next 10 years. Should we adapt the same policies as Developed Nations did in growing? Can we make a difference as Indians by investing in alternate technologies and better policies that can sustain our environment? Do we have the capabilities to deal with nuclear waste generated from the civilian nuclear reactors? Is it a race we are in to go after GDP year after year growing aggressively at any cost (sometimes including our mother Earth in that cost) ?

Just google around for the protests in Europe over nuclear waste. There is still no technological solution possible to deal with radioactive waste in a harmless way. There are strong protests in Europe to restrict nuclear power plants and the governments there are bending to these demands. It should now be obvious to you, why the west wants to sell nuclear material to east.

T A Bad Experience - 2

This is what we got for dinner

I would like to ask the customer service desk, is this what they eat when they get home after a hard day's work?

T A Bad Experience

The chaos at the airport...

- Our flight landed at 7 pm

- After lot of negotiations and trying for connections, no onward journey was possible, we decided to accept the hotel offer

- We were promised 5-star hotel close to the airport

- We waited for 45 minutes or more in queue...

- Everyone was just crowding around the counter

- Someone said you cant just in the queue, lets go to the counter pushing...

- We were worried at some point if we can get hotel or not

- One first class passenger was mad at them for offering a 4-star hotel.

World Public Debt

Check this interesting interactive page from the Economist.

http://www.economist.com/content/global_debt_clock

India has roughly $730 of Public Debt. Imagine telling this to a layman... "tere sir pe circar ne thees hazaar ka udhaar liya !!". (The government borrowed 30,000 rupees on your head).

My dream home theater

Display Unit - 40" LCD - not 3D TV yet [Sony Bravia Preferred] (50)

AV Receiver - Denon 1911 (45)

Disc Player - Sony BD Player (10)

Front Speakers - Polk Audio Tsi 300 (Monitor Series) (21)

Center Speaker - Polk Audio CS 10 Center Speaker (9.5)

Rear Speakers - Polk Audio OWM 3 (11)

Add Ons

- Nintendo Wii (18)

- Sony PS3 (18)

- Tata Sky Receiver (2)

Although its a dream home theater, it has to be affordable as well.

Can change be good or bad or neutral?

My friend said any "Change" is good until it gets boring.

I started to wonder then, why do ppl 'resist' change!

And then I remembered that 'Change' can be good or bad or neutral. People dont really resist the change if its good, they resist if its bad and they tend to make the change happen if there is neutral effect. For more information, one can look at the concept of Psychological Contracts in organizations.

Day 1 and Day 2

The flight in Mumbai got delayed... it started at 6 am... there are some 10 people from Guntur all doctors attending a conference at Sweden. I met one acquaintance among them after a long time. Had a long chat with him until flight time and also in Istanbul. We reached Barcelona at 9 pm Indian time yesterday and its around 5:30pm local time.

We checked into a hotel that is almost core of Bcn. you can find the pictures here.. http://www.barcelonamar.com/

this place is about 500 - 700 mts from beach front. have not gone there yet... y;day evening was roaming in the main streets. this place is full of Indian subcontinent guys.. (cud be Indians, Bangladesis, Pakistanis..) many small shops similar to what we see in brigade road... selling mobiles, sim cards, gift items kind of stuff.. need to move to an apartment soon... Vinay from IIM-L joined... We three can rent an apt.

Weather is exactly same as Bangalore. Not humid at the moment... 21C and it rained just before we landed...

Day 2

Its 7:40 am now... I will catch a train that takes 30 minutes to the university. The walk to train station is about 15 minutes. From the train station to university is again 15-20 mins.

Reached the campus at 9 exactly. The first course is Spain: Recent History, Current Political and Social Issues. Very interesting class. Its from 9 to 12 with 20 mins break. Now sitting in the library... Will go for lunch soon.

TV Commercials

When I was not a student of consumer behaviour class, I used to think coming up with an advertisement (Commercial) was an easy task. Just get a good looking model, popular song in the background and show the product prominently. Ofcourse now I know its not so easy.

Tea Brands in India

Divided into segments based on price points.

Super Premium Brand

Lipton Green Label (Priced at Rs 280 per 450 gms)

Premium Brands

Taj Mahal (Priced at Rs 170 per 490 gms)

Brooke Bond 3 Roses (Priced at Rs 163 per 490 gms)

Lipton Yellow Label (Priced at Rs 210 per 450 gms)

Chankra Gold

Medium Brands

Brooke Bond Red Label (Priced at Rs 146 per 490 gms)

Tata Tea Gold (Rs. 160 per 500 gms)

Tata Tea Premium (Rs. 130 per 500 gms)

Taaza

TATA Gemini

Kannan Devan (Rs. 118 for 500 gms)

Economy Brands

Tata Agni (Rs. 150 per Kg)

A1

Aarogyam (Sehatmand) (Rs. 96 per 500 gms)