Posted by Managementguru in Business Management, Entrepreneurship, How To, International Business, Marketing, Project Management, Sales, Startups
on Mar 11th, 2014 | 0 comments
Export can be in the form of merchandise (goods) or services (invisibles). When an entrepreneur wants to spread out his scope of business activity beyond the territory of his nation it is called export, whence he has to prepare himself to confront the challenges prevailing in the global market. How to go about Export? Business by itself calls for discipline whether you talk about your credit policy, quality of your product or services, on time delivery, payments, fund rotation, human resources management and the like. The taste of success in the domestic market gives you the necessary confidence to spread your wings far and wide. To be a part of the global market, you are expected to imbibe not only more discipline and order but you should be very thorough about the procedures and policies of the country, to which you are planning to export and the various legal formalities pertaining to your business activity. How to Export From India Pic Courtesy: Procedure to Start Export Business from India What will be your plan of action if your merchandise is disapproved of its quality after reaching the destination or the shipment gets destroyed due to some eventuality? To combat contingencies we have to have a representative working for us in the chosen place of activity who would report and handle the proceedings. Pre-Requisites for Exporting Goods: How many people do you think who have acquired the desire to export their products have a clear idea about the steps involved in starting an export business? First you have to secure the IEC CODE (import export code) from the DGFT (Director General of Foreign Trade) that comes under THE MINISTRY OF COMMERCE AND INDUSTRY. What is IEC Code? Import Export Code (also known as IEC) is a 10 digit identification number that is issued by the DGFT (Director General of Foreign Trade), Department of Commerce, Government of India. Info Courtesy: Shiprocket.in It is also known as Importer Exporter Code. It is mandatory for companies and businesses to obtain this code to start a business that deals with import and export in the Indian Territory. It is not possible to deal with export or import business without this code. While exporting you get the following edge over others: Exposure to forex marketExposure to diversified cultureExposure to varied laws and legal formalitiesExposure to business risks which you must take up as a challenge Having businesses in various countries is better than having all businesses in one country. It saves you during periods of economic recession. You experience market growth by entering into different and new markets; Asian and European markets are flooded with traders from all around the world since these regions enjoy a locational advantage in the world map and well connected through the sea and land. RBI Policies: Exporters must be aware of the fact that RBI policies are very severe when it comes to foreign exchange. So you should have proper informational inputs from the correct source and your capital has to be invested accordingly. Slide Courtesy: Import and Export Policies and Procedures Exploring unfamiliar and exotic markets is very difficult as they are always dynamic. You should see to it that you keep yourself posted with updates on INTERNATIONAL FINANCE, LENDING RATES etc. Also Read: 10 key steps to export success You can make a small business big and beautiful by adding some flavor to it like, Right time to launch your product in the global scenario, People’s preference being given priority by doing some demographic survey, Attractive campaigns and of course Your unendurable passion for business will do the rest to make your venture a successful one. Read...
Posted by Managementguru in Business Management, Organisational behaviour, Principles of Management
on Mar 6th, 2014 | 0 comments
Corporate Philosophy of Management CORPORATE PHILOSOPHY OF MANAGEMENT calls for creating a framework of values, beliefs and ethical standards which are considered to be vital for an effective management. They must be embedded in formal and informal philosophical statements which are then communicated to the fraternity of that organization. From a broader perspective, the LEADER has to have a VISION as to where he is heading his company in the next three to four years. Corporate Objectives provide vision as well as direction and map for bold decisions to be taken regarding NEW MARKETS MARKET SHARE PRODUCTS SERVICES etc. , Now the organization is in a position to decide and prioritise the VALUES AND COMPETENCIES it expects from its managers. For example, if the situation favors the business expansion to new markets, say, European or Asian, then an organization has to develop competence in areas like LANGUAGE AND CULTURE, besides marketing and business skills. Different Philosophies of Management: Well, you might have been inspired with JAPANESE PHILOSOPHY OF MANAGEMENT, EASTERN OR WESTERN PHILOSOPHY OF MANAGEMENT t. But what is the fun? If you don’t have A SOUND MANAGEMENT PHILOSOPHY of your own, to simply put it, you don’t have a broad set of principles to back up your management development process which is a generic one. Ideally speaking, you should be able to develop a concrete SYSTEM that is made up of FOOL PROOF policies and procedures; try to develop a professional team of executives who can take up your vision to the next level; these measures will prove worthwhile in the long run. You are left without any choice but to develop “truly” INTERNATIONAL MANAGERS who could transcend nationally and the location of any specific job consideration. This is what Ideal management philosophy means to me, A holistic vision of the future A solid set of principles(values, beliefs) Sound policy definition Management development programmes Autonomy to my work force Always “yes “to new technology Development of women managers Flexible leadership Social responsibility Contribution to the growth of my Country’s economy Strategic Perspective: Major environmental shifts now demand a more strategic perspective from those who manage and lead in organizations; “GLOBALISING” in the quest for major market share brings in new opportunities for growth and prosperity. Organizations are now espousing values that regard people, not as costs to be minimized, but AS “ASSETS TO BE MAINTAINED AND DEVELOPED.” An open systems approach of management is likely to overcome many of the problems created by the piecemeal approach. Instead of looking at management development in isolation, see it as an integral part of a wider organizational system that takes care of the processes through which people working for the firm take care of themselves leading to self...
Posted by Managementguru in Business Management, Organisational behaviour, Strategy
on Mar 2nd, 2014 | 0 comments
“Planning is bringing the future into the present so that you can do something about it now.” – Alan Lakein. Planning is absolutely essential and every minute you spend in planning saves 10 minutes in execution and gives 100 percent return on energy. We compare the advantages of planning against the consequences for your better understanding. Let’s See the Advantages of Planning First Facilitates opportunity analysis and presents an awareness of the external environmentMinimizes cost as it takes into account all the contributing and limiting factorsIncreases efficiencyRefines culture of an organizationProvides a good directionAlso establishes several measures of controlElicits commitment Disadvantages of Planning Time consumingInvolves excessive paper workSome times over emphasizes only the objectivesPlanning may become lop sided as it entirely depends on the mind set and attitude of people concerned with planningPlanning premises may not be fully reliable Steps to Make Planning Effective Every organization should have a separate planning department. A corporate planning department will take care of all the functions of an organization under one heading.Planning must be all pervasive and even the work force at the bottom level should understand the importance of planning and the planning perspective of the management.The goals must be verifiable and clearGive managers adequate tools and the freedom to trial and errorThe long term and short term goals should be combined together to form a inter locked system and must be viewed as one big single network.Goal setting must be practiced – participation by the employees must be made compulsoryA small idea could turn out into a big plan- don’t ignore suggestions from your subordinates and term them “silly.” What is Strategic Planning Strategic planning has a long term perspective and takes into account the extended time horizon.There may not be any immediate impact arising out of strategic planning, but the results can be experienced in the long run.It gives effort on vital areas. When the size of organizations is huge, they are broken down into STRATEGIC BUSINESS UNITS, treating them as individual businesses for ease of operation and decision making.It is a tailor made approach to match the functioning of an organization to the external environment for meeting the changes in the future. So, i is crystal clear that the advantages of planning outweigh the disadvantages and good plans never...
Posted by Managementguru in Human Resource, Organisational behaviour, Principles of Management, Training & Development
on Feb 22nd, 2014 | 0 comments
Objectives of Training The objectives of training is different according to the employees belonging to different levels of organization. The objectives depend on the nature of the organization where training has to be provided, the skills desired and the current skill levels. 1. To increase the knowledge of employees or workers in doing specific jobs. 2. To scientifically and systematically impart new skills to the human resources so that they learn quickly. 3. To bring about change in the attitudes of the workers towards fellow workers, supervisor and the organization. 4. To improve the overall performance of the organization. 5. To make the employees handle materials, machines and equipment efficiently and thus to avoid wastage of time and resources. 6. To reduce the number of accidents by providing safety training to employees. 7. To prepare employees for higher jobs by developing advanced skills in them. 8. The basic objective of training however is to establish a match between man and his job. 9. The training is designed to improve knowledge, skills and attitude and thus equip the individual to be more effective in his present job or prepare him for future assignments. From the point of view of an organization individual growth is a means to organized effectiveness. The objectives of training can be summarized as follows: – 1. Induction : – Training constitutes a significant entry into the company’s way of life. Organizations have to provide induction training to all employees entering the organization to let them know, 1. What is company’s culture? 2. How does structure function? 3. What are policies & rules of organization? 4. What are designs of freedom or limits of behavior? 2.Updating :-A significant objectives of training is to prevent the Obsolescence of the employees by updating their skills & knowledge. 3.Preparing for future Assignments. 4.Improvement in Performance: Training will be an important aid to managers for developing themselves as well as their subordinates. It is not a substitute for development on the job, which comes from doing, experiencing, observing, giving and receiving feedback and coaching. Training can bring about an improvement in a person’s: Knowledge Skills Attitude, there by raising his potential to perform better on the job. 5. Growth Training is also focused towards developing people for higher levels of responsibility thereby reducing the need for recruiting people from outside. This would have the effect of improving the morale of the existing employees. 6.Organizational Effectiveness Training provides a means for bringing about organizational development. It can be used for strengthening values, building teams, improving inter-group relations and quality of work life. The ultimate objective of training in the long run is to improve the company’s performance through people performing...
Posted by Managementguru in Human Resource, Organisational behaviour, Principles of Management, Training & Development
on Feb 20th, 2014 | 0 comments
Role of Training Some Definitions of Training: According to Flippo, “Training is the act of increasing the knowledge and skills of an employee for doing a particular job”. Training can also be defined as as “any planned or structured activity or approach designed to help an individual or a group of people to learn as to do things differently or to do different things leading to more effective performance and results”. Role of Training: Training is the best way to reach the enterprise goals in minimum time period with maximum efficiency. 1. Training unlike experience can reduce the time required to reach maximum efficiency. 2. Cost of training in much less than the cost of adding experience . 3. The results of experience sometimes can be accidental. 4. The expected results are very much assured in a well conceived and well conducted training program. 5. Its purpose is to achieve a change in the behaviour of those trained and to enable them to do their jobs better. 6. Training makes newly appointed employees fully productive in lesser time. Identifying Training Needs: There are three elements of training – purpose, place and time. Training without a purpose is useless because nothing would be achieved out of it. The purpose must be identified carefully and now there are a large number of techniques available for establishing training needs. Having identified the purpose of a training programme, its place must be determined i.e. whether it has to be on the job or off the job. Place would decide the choice of training method and also affect its effectiveness. The next element is the time. Training must be provided at the right time. A late training would provide obsolete knowledge, which would be useless for the employees. 1. Organizational Analysis: – Comprehensive analysis of organizational structure, objectives, culture, processes of decision – making, future objectives and so on. Analysis begins with an understating of short term & long-term goals of the organization. Is there adequate manpower to fulfill organizational objectives? Whether the work-force possess required skill & knowledge? Are the employees willing to learn? 2. Task analysis: Thorough analysis of various components of jobs and how they are performed has to be done. Task analysis would indicate whether tasks have changed over period of time & whether employees have adequate skill in performs their tasks. 3. Man Analysis: The focus is on individual, his skill, abilities, knowledge & attitude. Key Indicators are Meeting Deadlines Quality of performance Work behavior...