2007 - The Year Gone By - Indian Year of Eureka - Some Realities
The year 2007 has witnessed a spurt in active monitoring of the Indian industry by the various sections of the Government of India especially the Revenue authorities. The increased activism has been in an indirect manner - by introduction of various forms and formats - the likes of which the Indian businessman is not been used to. This has made the life of unorganized businessman difficult, not that the life of organized businessman has become any easier! A general air of apprehension among the business community is visible and this - coupled with increased costs -is starting to strain the business bottom-lines. Yet we see the rising Mumbai Stock Exchange Index marching in tandem with Banks declaring losses (due to sub-prime) and dollar falling. There is some harmony in these contra-indicative trends and the New Year will make these trends more visible. Let us hope for the best. The year 2007 also witnessed some classic results from MNC (Multi National Corporations professionally managed companies). Many reported losses or marginal or notional profits except of course a few who are now stressing it out to maintain same or better results. The human costs have been rising and the trend is gaining strength. It is becoming difficult to find right people and retaining the present force is becoming a task for the managements. Is India following the example of Estonia? A Bird told me that the managers in Estonia wish their teams a good evening when they leave at the day end and standing at the door way, say that they "hope to see them again tomorrow". Despite India having a large base of young, talented, literate, English speaking population, why is this complexity foxing most of the business houses. Typically we are trying to shrug off the problem (though we admit it in close quarters) and we are also - as usual - denying the problem itself! But I think the New Year will bring us face to face with this issue of lack of trained and intelligent manpower. Statistically, there is no dearth of skilled people, yet the people do not seem to stick around long enough to finish their jobs! I will personally bet on a corporate training company, if they were to be able to retain their trainers!!! On a more serious note, our firm's practice of training the managers to be effective leaders has become a good revenue earner. Real estate growth has made many a millionaires out of a lot of us in the year coming to a close. Will be retain this status of a millionaire? It is important to book profits from these portfolios of real estate (for those who can) since the actual million is better than a notional one. I see a majority of corporate houses and small businesses riddled with real estate which if not liquidated, is of no use to them in their business. Such investments should be devalued in the books - including for already troubled banks and financial institutions! Yet we retain a positive outlook, which, we must! Well, things aren't as bad as I make them out to be! We have made more money, we have more business (never mind the receivables), we have higher accessibility of loans, and we are talking more on the mobile ('cause the land lines still don't work) and we are traveling more by air. Some reasons to cheer us up. Well, I am back from my early holiday, as I did not want to get stuck at the airport. So I will be waiting for the new year in my warm home hoping to bring us all closer to the reality so that we can take on the challenges while consciously being aware that we have started the journey on the Indian road of development which is hard at some places, soft at others, and there may be need to build a few more roads as we traverse on our paths. |
