Each US $ which cost us INR 45 in 2011, goes for over INR 67 today. The Indian Growth Story which everyone loved is being questioned in debates every day. Is the ruling Government becoming more social by the day, at the cost of economic growth, with General Elections coming up in 6-7 months time? Is it no longer as industry friendly as it seemed to be? The cost of land acquisition in India is likely to go up significantly causing anxiety to industry says a report with the news laws to come. The Food Security Bill, however laudable its objective is coming in at a very inappropriate time, with the Indian economy limping along at 4.6 % or so.
India is one of the few economies which continues to grow- although admittedly at a much slower pace than before. One of the fall outs of this is the relatively free availability of career options for talent. Gone are the days when one would join an organization and stay there – well almost for life. The rise in opportunities gives greater impetus to people wanting to make it to the top of their careers at a faster pace. Doesn’t matter if it means skipping all the time- from one company to another. Continue reading
The late Prof. Sumantra Ghoshal has been a writer I have admired for long. Speaking of the difference between value creation and shareholder value, he wrote that value creation is all about utility and functionality. It refers therefore to those the company serves rather than to those who own it.
The value creation logic, for example of 3M , a highly admired company is their constant and now legendary emphasis on innovation. Ghoshal says like the frugal farmer and housewife around the world, innovation comes from stretching all resources to the maximum possible. “The last squeak from the pig” is the Midwest expression of this principle he writes.