Editor’s Note It’s that time of the year again and so here
But it’s not all work and no play, thus I
we are with the latest issue of I-Blitz. The
Blitz
only magazine of IIFT that’s truly for the
cosmology, cricket and Life at IIFT.
students, by the students and of the students! With articles on all topics under the sun it makes for a delightful read especially because the authors are none other than budding writers from our batch!
also
has
articles
on
religious
This issue of I Blitz we dedicate to the batch of 2013-15 who have just started their journey at IIFT. It has already been two months and we are sure that the batch of 2013-15 has acclimatized to the way of life at IIFT right from attending
The September edition of I-Blitz covers a
sessions, wearing full formals and meeting
range of topics, right from finance where
deadlines.
we look into what can be done by the government to prevent further fall of the rupee to marketing where we try to analyse the effects of a celebrity on sales of a product. Operations enthusiasts also wrote in to examine six sigma and TQM processes. The article on Gamification
We
would
also
like
to
take
this
opportunity to thank all those who sent in entries, it was really heartening for us to see the overwhelming response we got, thanks to which selection of articles was a really difficult task!
focuses on its evolution over the years
Finally without further ado, we give to you
and also argues whether or not it is a
I Blitz, September edition.
good practice while the consultants of the
Happy reading,
batch argue over measures to maintain competitive advantage in the slowdown.
Media Committee, IIFT
Parichay B-Schools
love
their
traditions
and
strangers meet and know each other in
traditions run high in B-Schools. When
these 10 days. Sometimes they even wake
you are a B-School with a legacy of 50
up at 2 a.m. in the morning in their quest
golden years, these traditions hold a lot
to know their batch mates better. It's not
more value. The first two days in IIFT, pre-
just about knowing each other but also
registration were dull and illusionary.
about realising how fortunate you are to
People thought seniors don't care much
be a part of a batch which has people with
and probably you are on your own here.
such diverse qualities and enriching life-
Life seemed so relaxed with plenty of time
experiences. During these days the new
on hand to do your daily chores and
batch learns the importance of the
explore the area. It's at the time of
naming conventions, punctuality, dressing
registration that you feel the legacy for
and making your voice heard. All this
the first time. Each one of us proudly
while you enjoy playing treasure-hunt,
flaunting the IIFT bag with 50 golden years
business games and ad-mad.
written on it. Post registration is the customary speeches where the Director makes you realise that each one of the 226 individuals here have competed against 70,000 others to reach here. After the interaction with the faculty is the first time you interact with your seniors. This is where all myths bust, traditions kick-in and your b-school life begin in true sense. The 10 days that follow teach you what lasts for your stay here and even after. Each and every moment of these 10 days is made use of. It is used to inculcate into you the IIFT way of
life.
One-hundred
and
sixty
six
You also learn the traditions in these days. "Go IIFT Go", GAS and "Top of the World" are ingrained into you. You are also assigned your buddy's towards the end. This is when you realise how cool the Life@IIFT is. Your buddy's are also your mentors and help you sail your boat in the first year.The official ending of these 10 days of extravaganza is also a long tradition. A tradition that baptizes you as a B-Schooler. These 10 days are a roller coaster ride which creates memories that last you a lifetime. Ten days that feels like ten weeks. By the end of it you are a part
of the tradition itself, spreading GAS all around. "What an enormous magnifier is tradition! How a thing grows in the human memory and in the human imagination, when love, worship, and all that lies in the human heart, is there to encourage it" Ashish Batch 2013-2015
4
What structural reforms are needed to curb the slide of the rupee? 1 USD = 60 INR. The New Equilibrium?
should move towards the rate that would
Over the course of last 5 years, Rupee has
equalize the prices of Goods and Services
tumbled around 50%. It has been a source
in any two countries. So in the long run,
of worry to the Central bankers as well as
Rupee must approach a level where a
the Mandarins in Finance ministry. One of
dollar would buy 20.38 Rupees as the
the questions facing these institutions is
income level approaches the levels in
“whether the present level of rupee
developed nations. So the present level of
against dollar is the new equilibrium”. If
a dollar against 60 INR represents not
not, then what is the targeted level in
equilibrium, but disequilibrium.
medium and long term which policy
Measures to bring the Rupee to the Comfortable level.
makers should keep in mind while making policies and reforms to give Indian growth
Volatility of Rupee creates a fickle
story a sustainable crust.
environment for both the Importers and Exporters.
Big Mac Index. Really?
backs
business
by currency Manipulators/Hedgers. This
been a credible yet cheeky way of level
holds
decisions and encourages the speculations Big Mac Index by ‘The Economists’ has
representing
It
warrants a credible actions from two
of
institutions which have been in control of
Undervaluation/Overvaluation of different
Fiscal and monetary policies in India, the
currencies vis-à-vis dollar. According to
Central Government and the Reserve
the index, Indian National Rupee is the
Bank of India. As rupee slide is the factor
most Undervalued currency in the world,
of two basic market forces of supply
being undervalued by the tune of more
(Export) and demand (Import), there is
than 60% (Jan 2013). According to the
need to analyze and take appropriate
index, in the long run exchange rates
measures.
5
A. Imports 1. It’s not Gold stupid. It’s the lack of penetration of capital markets.
India marches ahead with industrialization
A lot has been written in the recent past,
there will be additional demand for Oil
about the need to curb gold imports, need
and Gas to power India’s growth. Towards
to increase import duties on gold, even
this end, there is an imperative need to
banning the gold imports for couple of
attract private investment in Upstream
years. But these steps just beat around
Projects i.e. Exploration and Production.
the bush. Moreover, these steps may
Despite having a massive coastline of
open another Pandora box in the form of
7000 Km, India has the offshore potential
Gold smuggling and Hawala transactions.
but is yet to award majority of prospective
Instead of channelizing its energy to check
zones for exploration. Clearly most of the
the import of gold, government needs to
domestic
provide viable Investment avenues which
expertise and deep pockets to undertake
may assure decent rate of returns to
such projects. Public sector firms like
investors.
ONGC and OIL have seen limited success.
For this, Government needs to create a
It calls for Global giants with proven
framework of pro industry regulation in
technology and deep coffer like Exxon
Insurance and Pension sector. There is a
Mobil, Shell, Total, Chevron etc. to
critical need to bring more FDI in
undertake the projects in Deepwater
Insurance and Pension sector (Which
Exploration, Shell Gas and Coal Bed
unfortunately have been stalled since so
Methane. For this government needs to
many years). Larger penetration and
bring 3 major policy changes.
dynamism of capital markets will help to
1. Formulate clear, investor friendly and
attract money in financial assets which
Predictable policies in exploration and
otherwise would be locked up in physical
production
assets.
2. Link the local Oil and Gas prices with
and disposable income of Indian rise,
private
players
lack
the
Global benchmarks prices.
2. Oil- Gas everywhere.
3. Move towards revenue sharing model.
Oil imports drained the exchequer by $150 billion in the last financial year. As 6
4. All the fuel subsidies should be borne
national exchequer and the failure of
by
authorities in creating an ecosystem for
central
government
instead
of
Upstream and downstream firms.
Electronics production, fabrication and
3. Invasion of Chinese PC’s, Tablets and
setting up of assembling facilities.
Smartphones
Government needs to bring National Electronics
According to official communiqué by
Manufacturing
policy,
outlining faster clearances, progressive
central government, if the present trend
tax regime, Tax breaks and proper skill
continues in the coming years, India is set
set. This won’t happen in next couple of
to Import $400 billion of Electronics good
years but it is the long term imperative.
by 2020. This represents serious drain on
B. Exports 1. Creation of the ecosystem: The Larger Picture.
penetration
Breaking the slide of the rupee by
corridors, Inland Waterways etc. Soft
increasing export is the part of the larger
Infrastructure in the form of simpler and
Indian Reform agenda. Keep granting
investor friendly labor laws, Goods and
them various sops, tax break or even
Services tax, Viable Land acquisition laws,
creamier bank deals, exporters won’t be
Judicial infrastructure for swift redressal
able to push up the number until and
of
unless operational efficiencies are not
policies, Opening and Increasing the FDI
enhanced.
limit in various sectors, creating quality
There is a vital need to create a world
level education system at various levels,
class infrastructure (Hard and Soft) which
cutting red-tapism and faster approvals.
country,
of
airstrips
Dedicated
disputes,
Stable
across
railway
and
the
freight
predictable
will bring down the processing time along 2. Hi-tech: US, Luxury: France, Cars: Germany, Electronics: Korea, India:
with the quicker shipments and lower, competitive costs. Hard Infrastructure in
For around 40 years since India got
the form of Expressways, Port terminals,
independence, it was the stated objective
Power plants supplying 24*7 reliable power,
Increased
capacity
of the state to become self-sufficient and
and
world class in each and every of the 7
industries. Clearly that didn’t work.
everything comes in place, India has the
Nature of the world trade is such that you
potential to become Global powerhouse
import those goods which are cheaper to
in each of these industries.
produce in other countries than yours and
With these measures in place, Rupee level
exports those goods which are cheaper to
should be targeted at 40 a dollar by 2020.
produce in your own country then most of
And who knows, a stronger rupee may
the others. We need to identify sectors
find its place as one of the reserve
where we do have advantage over other
currency along with Yuan, as India
countries
becomes a powerhouse in World trade
attributed
to
demography,
Geography or some other factors. These industries Automobile,
could IT,
be
and commerce.
Pharmaceutical,
Aircrafts
and
Palash Kulshrestha
Ship
Batch 2013-15
building, Electronics etc. These focus industries should be put in priority list. If
8
What’s next? Change is a slow process, they say and a
So, Ganguly retires to start the procession
painful one too. When the change starts
of the big 5 so as to call them. Dravid
from the top, it can be a long drawn affair
follows suit and so does Laxman. And
as well. The once mighty Australian cricket
Kumble bidding adieu left a gaping hole in
team would vouch for that.
the spin arsenal and Zaheer’s injury concerns mostly make him a bystander.
Indian Cricket is in enjoying probably the
So, the batting mainstays have gone and
best phase it has ever seen. With
the recent best bowlers as well. Still, the
Mahendra Singh Dhoni leading from the
team has done reasonably well. All this
front, they are the undisputed champions
has been possible under the guidance of
of the game’s original short format and
Captain Charisma, Mr. Cool, Mr. Finisher-
not lesser a force in the newer one. Their
M S Dhoni.
performances in tests at home, though awe- inspiring, has left space for doubts.
But age supposedly has started catching
And if one goes just a year or two back in
up on him as his greying beard would
time, the drubbings at the hands of
corroborate. His next to perfect fitness
Australia and England would paint a
has had him playing consistently all the
gloomy picture.
three formats for 6 years. But even the well-oiled machines have a limit they can’t
So, this act of suggesting a plan to ease
cross. India’s lucky to have such a
the process of change in terms of men
dedicated captain who has shown that his
isn’t an act of playing Cassandra. Indian
nous is second to none. But what if the
Cricket needs to do so as the examples of
Dhoni juggernaut grinds to a halt without
the old Windies team and the present
prior notice? Do we have someone in the
Australian team are glaring enough to
channel who’d ably fill in?
cause concern. Not to say that Australia have touched nadir but they certainly
Virat Kohli might seem to be an obvious
haven’t inspired like people have been
choice but this man hasn’t been tested
used to from them.
yet. He’s worked tremendously on his temperament 9
but
remains
largely
untested at international levels under
make the position their own. The
huge pressure. Easing him into the job
emergence of Bhuvaneshwar kumar also
would be an ideal choice. This way Dhoni
eases the problems a bit.
would be able to get welcome respite as
All these point to a seamless transition in
well.
theory. The transition materialises or not
For batting, Shikhar Dhawan has come out
remains to be seen. All we can do is hope
and taken the spot by the scruff of its
and persist in our support of the team.
neck. To be able to keep Sehwags and
Ashish
gambhirs out of the team deserves
Batch 2013-2015
applause and may be Indian team has got its worthy successor to the opener’s position. The same doesn’t hold for the Dinesh Karthiks and Rohit Sharmas. Both have shown sparks of life but remain to
10
Impacts of celebrity presence in advertisements on product sales When a matinee-buff was asked about the
world where corporate branding has
reason behind the purchase of his new
assumed importance, the presence of a
mobile phone, his answer was simple:
celebrity would help in building the brand
“My favorite hero endorsed it”. This
image of the product. Boost is an example
example is a clear indicative of how
and it is an accepted fact that Sachin
effective “celebrity marketing” can be.
Tendulkar is the secret of boost’s energy,
However, before arriving at a conclusion,
to a large extent.
let us understand the various factors that
Celebrity
determine that determine a product’s sale
penetration of the product among the fan
and a celebrity’s influence in it.
base. The example stated in the beginning
branding
helps
in
wider
of the article illustrates the same. As the A product gets sold due to three reasons:
followers
of
a
celebrity
would
be
1. Brand image
interested in purchasing what his/her
2. Meeting needs
favorite celebrity is endorsing, celebrity
3. Uniqueness
branding would help in more sales in the fan base. The celebrity need not directly
A lot of times, products are sold just
impact the sales. A lot of advertisements
because of the brand that they develop. It
which are targeted at the kids segment
may so happen that the brand is
feature celebrities. It is due to the
recognized more than the product itself. A
celebrity inclusion that propels sales. In
product also gets sold if it meets the
this
needs of the people due to its appropriate
characters that are used as celebrities
positioning. Uniqueness of the product
help in impacting sales.
also impacts the sales. Now, let us look at
When a new product is launched,
the impacts that a celebrity’s presence
celebrity
can have to each factor.
improving the visibility of the product.
A celebrity endorsement would build the
There are instances where new products
brand image of the product. In today’s
which would have otherwise been ignored 11
regard,
cartoons
branding
or
would
animated
help
in
got a great response because of celebrity
hit. Also, celebrities add little value to the
branding. Celebrities act as channels
ads in which they are irrelevant to the
through which new products are launched
product’s context and target market. It
and sold.
would be a bad idea to feature a celebrity
An ad featuring a celebrity relevant to its
who has good image only in the masses in
product would indicate the trust of the
an ad that promotes business class
celebrity on the product and the quality it
products.
has got to offer. For example, if M.S.Dhoni
positioning of a celebrity would result in
endorses a company that manufactures
high costs and low sales.
cricket bats or wicket keepers’ gloves, it
To sum up, sensible usage of the presence
would indicate that these products are
of a celebrity can help in building a
suggested by Dhoni and hence his
product’s brand and in return the sales of
presence would impact the sales.
a product. However, celebrity can open
However, there is an important aspect
the first and second doors but it is the
that should not be forgotten. If the
product itself that has to unlock the final
product is not liked by the consumers or if
door of success.
the product does not meet the needs of
In
other
words,
wrong
Vangara Sravanth
the target market, then irrespective of the
Batch 2013-15
presence of a celebrity, its sales would be
12
Is signing of more FTA’s the key to better trade? Free trade agreements (FTA) aim to
commerce has reduced the exports
breakdown
by
estimation from 500B$ to only 325B$ and
minimizing or doing away with the excise
exports have reduced as compared to last
duties in order to boost trade volumes
year which shows that the country lacks
among
such
the framework and standard as compared
agreements. We are living in a global
to the nations with which India is signing
village and we are living in exponential
the free trade agreements. This also
times where increasing trade among
shows that mere signing of more FTAs is
nations is viewed as the means to achieve
more detrimental rather than beneficial.
overall growth. But as all good things, we
The micro small and medium enterprises
cannot reap benefits of FTAs when they
(MSME)
work in isolation.
employment and exports. Nearly 40% of
Signing of FTAs opens the markets of
the total exports come from this sector.
various countries for local producers and
But with signing of free trade agreements
gives the consumers more choices. It
these enterprises would need to compete
helps make the market become more
with big businesses from the partner
competitive and thereby improves quality.
country.
But India is still more of a relatively closed
certifications are a problem for the small
economy with reforms still in progress.
and medium production houses. The
Interests of different segments and
government should first safeguard their
people have to be safeguarded and
interest by assisting them in incorporating
bottlenecks need to be removed before
the latest standards so that they can be
signing of more Free trade agreements.
more competitive and are able to sell
India has signed 15 free trade agreements
their products in the new markets that
and many more are yet to be signed,
open up in these countries. This will help
making India one of the highest FTA
boost the exports and lower the trade
signing countries. Still India continues to
deficit of India.
the
geographical
countries
barriers
signing
be a trade deficit country. The ministry of 13
contribute
Meeting
heavily
towards
standards
and
Another key aspect that needs attention is
he input cost being high in India also
the
contributes
inefficient
manufacturing
and
to
the
high
cost
of
agricultural sector of India. The services
automobiles in India. Signing of FTA with
sector
by
EU and including automobile sector would
contributing more than 50% towards the
see automobiles cost drop by 30 to 40%
GDP. Unless the manufacturing and
and benefit the customers as well as
agricultural sector is given a makeover the
companies like FIAT and Volkswagen but
signing of free trade agreements would
companies
hamper growth and exports rather than
presence like Maruti Suzuki will lose a
increasing it. Setting up of more national
huge stake. Hence it is the responsibility
manufacturing and investment zones are
of the government to secure the interests
the need of the hour. Manufacturing
of domestic players. These companies
sector aims to add 100 million jobs by
provide employment to lakhs of people
2025
right
and hence government should not sign
infrastructure to capitalize on the new
FTA keeping a myopic view on boosting
markets while keeping a firm hold on the
trade volume alone.
domestic market as well. For example the
Agriculture sector would also suffer as
leather industry has a huge hold in the
Indian agricultural produce lakhs the
domestic market but is not as competitive
diversification and the quality which
as the Chinese leather industry. India
would flow from the partner nations.
would
cost
Diversification in India is hampered by
disadvantage as compared to other
exceptionally small land holdings and lack
countries if adequate steps are not taken.
of correctly procured prices. Both these
Electricity cost for example is 5 cents in
adversities
Thailand as compared to 11 cents in India
investments. Since government is unable
and thus FTA with Thailand would see
to provide investment to such an order,
flood
the onus is on the private sector. Retail
continues
which
be
in
in
to
requires
a
imports
Federation
of
commerce
and
dominate
the
position
and
Indian
not
of
exports.
a
long
be
way
strong
overcome
through
local
by
of
(FICCI)
has
consolidation land, teaching farmer the
warned that India may end up paying
latest cultivation techniques, building
dearly with regard to FTA with Thailand if
warehouses, providing modern transport
internal bottlenecks are not removed.
and providing remunerative rate of prices. 14
go
can
have
chamber
industry
can
that
the
Thus before signing of further free trade
and development centers. India can form
agreements all the steps should be in
a strong framework for Information
place so that the local producers do not
technology outsourcing by signing an FTA
suffer and are competitive with the world
with U.S.A.
market. Signing FTA would then benefit
Thus Signing more FTAs are key to better
every section of the society, there will be
trade , only when all internal bottlenecks
price cut and export boost without any
are removed and the manufacturing
employment
this
sector gets a major enhancement with all
happens the decisions related to FTA
the framework in place. Only then will the
signing has to be more strategically done
benefits reach the society as a whole and
like in the case of ISFTA or India Sri Lanka
India becomes a trade surplus nation.
free trade agreement which has been
Having said this not every domestic
welcome in both the countries. The trade
enterprise can be called world class unless
volume has seen eight fold increases with
they themselves align to be more
India being the largest trade partner for
competitive. After opening of the markets
Sri Lanka. India is the largest source of
only the fittest will survive and as Noble
import
Indian
prize winner Joseph Schum Peter rightly
automobile industry has benefitted a lot
said that on the graveyard of these
from ISFTA. Indian exports have grown 5
destroyed enterprises the foundation of
times and new export capacities have
new successful empires will be laid.
for
hindrance.
Sri
Lanka
Until
and
been added by both the countries. India can gain a lot by opening up its
Rahul Ramesh
market to several countries like New
Batch 2013-15
Zealand for Science and technology collaborations and setting up of Research
15
Our IIFT It’s a race against time.
crossing Mehrauli Nursery and as you enter the Qutab Institutional area, there is
The first thing that comes to my mind
this sudden drop in temperature which is
these days as I am coming to terms with
impossible to miss. My friends and I have
my final year at IIFT is the 9:15 class. If I
had many experiences of chilly breeze
get up at 8-30, I’ll be ready in time and
lashing our faces along this particular
with some luck, will even be able to have
stretch during the months of November
breakfast.
and December when we used to come But of course, there is the luck factor
back after a nice evening out.
involved.
The professor’s voice brings me back to
As I half walk half run to my class, I realise
the class. I look around to see the faces
not much has changed in the past one
around me. Some of these bear a tired
year. Just-In-Time isn’t just a management
look, some look charged up, but all of
jargon is what I’ve come to realise as I
them have one thing in common- a warm
“deliver” JIT performances day in and day
smile as your eyes meet theirs. And why
out at IIFT- the dream college of many a
not, after all some of us are seeing each
aspiring souls year after year.
other after as long as six months thanks to exchange programs and internships that
That reminds me of the fact that the new
followed. The shyness and nervousness of
batch is going to walk in less than a week
last year when we first met each other is
from now. It seems like yesterday when I
nowhere to be seen. We’re here now. We
walked into this college with a bagful of
belong here, with each other.
aspirations, hope and luggage. Delhi seemed a little too hot back then and I
A quick question- what happens when you
was wondering how was I going to survive
create a mix of bright doctors, engineers,
the sweltering heat but that was before I
commerce graduates, economics majors,
began to appreciate the advantages of
fashion graduates, science graduates and
being right next to Sanjay Van. Sanjay Van
sailors in a plush yet green and quiet
is God’s special gift to IIFT. In the
corner of the national capital? Any
evenings, you take the first left turn after
guesses? It’s quite simple. You get one of 16
the many eclectic mixes of batches to
have a doubt, they’ll say so. Having good
have studied at IIFT.
professors certainly helps.
It’s time for a five-minute break before
In the International Trade logistics class,
the class resumes again. Ask any student
the students are watching a video about
here about these little breaks and he/she
the nuances of loading cows and buffaloes
will tell you how important these five
in a Livestock carrier. They are in awe of
minutes are for them to refresh and gear
the size of the ship and the sheer scale of
up for the next hour of the intense class
operations.
that’s going to follow. A coffee or chai
“Did you ever load cattle?”- One of the
combined with a little chit-chat is all they
students sitting next to me asked.
need before they scamper back to the class. What makes these breaks all the
“No, only containers”, I happily replied
more precious is that they’re subject to
feeling good about them seeming to
the professor’s mood. You certainly
appreciate what I did for a living before
cherish such things more.
coming here. The
diversity
of
subjects
and
an
One of the students has a query. It’s about
unwavering focus on their international
the assignment problem in derivatives
aspects is one of the best things at IIFT,
market. He’s probably unsure about
apart from the dhabas out front and back
whether it was the buyer’s option or
of
seller’s in the case being discussed. The
international dissection. You can’t just
professor is a veteran. He smiles even as
afford to keep the world out anymore. It
he listens intently to the doubt.
is how the world is out there. It’s how you
course.
Every
subject
receives
must learn it here before you’re launched
This is a quite familiar scene for IIFTians.
out there.
The questions range from asking the rationale behind the new commercial of a
It seems like one of the good days as I
leading soap brand to understanding the
don’t have an evening class. “What are
pricing for currency futures. Students are
the options?” -I think. Well, for one, I
never tired of asking questions. If they
could go to the gym, or, I could play table tennis or go to the nearby sports complex 17
to try my hand out at basket-ball. IIFT’s
where they have already gathered to
location offers an excellent advantage in
wrap up whatever remains of the
terms of options I have to pursue my
assignment.
interests. You can take swimming classes
Now that’s something all IIFTians would
if you feel like, or can take guitar lessons,
identify with. Some of the best nights on
or play some other sport in the sports
campus are those spent together with
complex nearby, or go clubbing, or just
your group finishing some assignment due
hang out with friends in Hauzkhas village;
for submission early next morning. The
everything is just a drop of hat away. I end
proactive ones finish theirs well in
up at the gym which is bustling with
advance but a majority of the junta, like
activity at this hour of the day.
me, does it Just-In-Time sometime or the
Go to any B-school and you’ll find it is
other (remember what I told you before!).
buzzing with activity in the night. Well
You need to be good at multi-tasking as
technically that holds true for most of the
well as time management so that when
undergrad
the time comes, you’re ready to handle JIT
colleges
with
in-house
residential arrangements but it’s a little
deadlines like the one mentioned above.
prominent in the B-schools. You notice it
“It’s going to be a long night.”- says one of
from a distance at first but before you
the guys from our group.
know it, you’re a part of that entire hustle bustle. I notice a bunch of students
“Yeah... And I’m already hungry....”- says
around the TT table even as I am finishing
another.
my dinner. A mixed doubles match is in
So it’s about time we ordered some pizza.
progress and one team seems to be
I think we guys alone generate half the
steamrolling the other.
revenue of Dominos in the entire SouthDelhi region.
On my way back, I notice some of the guys moving around with laptops. I suddenly
“Neta’s
remember the deadline for marketing
birthday”-
shouts
a
guy.
Apparently one of “Neta’s” buddies has
assignment submission was tomorrow
sent a mail across to the Google group of
morning. “Oh shit!”- Even as my phone
the batch. Someone shouts “Uthao
beeps with messages from my group-
Uthao” which becomes a clarion call
mates asking me to come to my room 18
signalling the launch of the auspicious
These final years of college are not going
‘ass-whopping” ceremony of the birthday
to come back. There is so much to do.
boy. Birthday celebrations are fun here at
UWL 6.0 will be here soon. So will Quo
IIFT. Hugs and handshakes, fighting for the
Vadis and various symposiums. But let’s
cake and then splattering it on the
talk about that some other time.
birthday boy/girl’s face is something all of
For now, let me get back to that
us like to do with pleasure. It’s fun. And
assignment.
what are we doing with our lives if we Shekhar
don’t enjoy the little things we have in it.
Batch 2013-15
It surely is going to be a long night for me and my group. But we like it this way.
19
TQM and Six Sigma are different yet same Variations are present in every step and
Although initial results showed signs of
stage of a process, however small it might
improvement,
be. These variations result due to a
shortcomings were clearly visible as this
number of factors and might occur at any
set of quality improvement tools were
stage of a process in an enterprise,
implemented in other areas of focus as
starting right from evaluating customer
well. For example:
needs and demands to finally providing
still
a
number
of
1. There was only focus on quality
after sales support and assistance to the
whereas other business issues were
customers. Hence, in order to have a
clearly neglected. This had negative
competitive advantage over others in the
impact on the business and organisations
present competitive world, organisations
suffered inspite of having better quality
have started to focus on eliminating these
products.
defects or variations to the maximum extent possible. As a result, concepts such
2. The main focus was to maintain the
as Total Quality Management (TQM) and
quality of products and hardly efforts
Six Sigma have evolved.
were put in to try to improve quality to the maximum extent possible.
As early as 1950, organisations came up with a set of tools that could solve quality
3. Quality experts tended to lack expertise
problems in manufacturing and termed it
on the subject matter of other related
as Total Quality Control. These were a
processes. Hence quality could not be
standard set of tools which mainly
improved beyond a certain level.
identified that emphasis on quality in
Thus
engineering and purchasing would result
organisations
identified
these
problems and worked together to come
in providing a competitive edge over
up with a new approach.
others and would contribute immensely Concepts such as TQM and Six Sigma were
to the success of the organisation.
introduced to address all such issues.
20
TQM, a strategy which focuses entirely on
them, thus resulting in lower cycle
continuous improvement, arose in the
time and defect reductions.
1980s in response to the Japanese
TQM
concentrates
on
individual
competition. Quite similar to the TQM
processes whereas Six Sigma involves
concept, Six Sigma came into picture in
in eliminating defects for the entire
1990 with a goal to improve a company’s
process and hence calls for highly
quality by bringing down defects to only
skilled professionals certified as “black
3.4 defects per million through gradual
belts” or “green belts” to implement
process changes and careful observations
the concept.
of such outcomes. Both the concepts
The team responsible for quality
were based on a single idea of improving
management
in
TQM
the quality of products by removing
autonomous
body
and
defects
providing
responsible for the improvement in
competitiveness, but also to exceed the
quality, whereas Six Sigma involves
expectations of customers and provide
participation
customer satisfaction.
individual related to the process,
for
not
only
differences
possible
business.
adopted generally by large enterprises, subtle
every
solely
the executives and management of
similar quality‐improvement techniques
are
is
an
starting right from the employees to
Though both TQM and Six Sigma have
there
of
is
which
TQM expresses the idea of improving quality
differentiate the two on certain grounds.
and
surpassing
customer
demands which is not quite focussed
The basic difference between the two
and the goal or motive seems unclear.
lies in their approach. While TQM
On
focuses on maintaining the existing
emphasises on eliminating defects and
quality and gradually improving the
achieving perfection as good as 3.4
quality in incremental steps, Six Sigma
defects per million, thus setting a very
directly focus on quality improvement
clear and ambitious goal from the
by reducing the number of defects
beginning.
the
other
hand,
Six
Sigma
present in the process. It focuses on The above mentioned differences show
identifying the costs incurred due to waste
and
completely
that Six Sigma concept has a clear
eliminates 21
advantage over TQM, although both of
adopting a more absolute and open
them nurture similar idea that continuous
approach while Six Sigma is basically data
improvement of quality is critical for long�
driven
term business.
feedback.
and
is
But
based still
on
both
customer of
them
concentrate on enhancing quality of
It has been seen that TQM has provided
products and services.
noticeable outcomes thriving on the concept of designing and developing new
Bearing in mind the characteristics of Six
techniques
quality
Sigma and comparing it to Total Quality
throughout the entire process but Six
Management, it can be concluded that Six
Sigma has been the state�of�art and has
Sigma is more comprehensive and suited
provided more accurate and reliable
for the modern environment.
to
improve
the
results. But does this mean that the two
Just as the new generation surpasses its
concepts being discussed are completely
predecessor, Six Sigma has eventually
different from each other? Or does it
outshone Total Quality Management. But
mean that Six Sigma shall eventually
both the concepts have complemented
eliminate the concept of TQM?
each other and thus have proven to be
Although as discussed we have noticed
extremely useful for organisations in
that there are quite a few differences
having a competitive advantage over
between the two concepts, still it is to be
others. Thus it can be rightly said that
remembered that both TQM and Six
Total Quality Management and Six Sigma
Sigma are nothing but effective tools of
are different yet the same, the latter only
quality
being a relatively newer concept!
management.
Total
Quality
Management was invented well before Six
Indranil Sengupta
Sigma and eventually Six Sigma inherited
Batch 2013-15
most the traits of TQM; the main focus of both being the same. TQM has been
22
Share blood- Share life The blood donor of today may be recipient of tomorrow.
the camp. The event was graced by the
Koshish- The Social Awareness Cell at IIFT
Surajit Mitra. In total, 56 units of blood
in collaboration with the Rotary Club, New
were collected. Refreshments, certificates
Delhi held a daylong voluntary blood
of appreciation, a donor’s mug, and
donation camp in the institute premises
blood-donor cards were given to the
on August 5, 2013. This was the inaugural
donors
event by Koshish for the current academic
coordinators Dr. Abhishek Joshi, Preyanka
year. IIFT’s association with Rotary Club in
Paswan and Shubhi Srivastava played a
not new and last year a similar camp was
key role in the successful organization of
organized.
the camp.
The camp began at 10:30 am and
We thank IIFT Delhi campus community
continued till 3:30 pm, with a steady
for coming forward for this great cause.
stream
The
Koshish team is honoured and feels
the
privileged to make Blood Donation an
corridor
of
donors
of
the
throughout.
first
floor
of
presence of our honourable Director Dr.
Administration Block outside Baithak and
on
the
spot.
The
senior
annual event of celebration.
Kanchi was abuzz with the enthusiasm of donors.
Students,
faculty
Mimansa Bairathi
and
Junior Koshish Coordinator
administration participated voluntarily in
23
Gamification Introduction
Gamification is a word that just throws a lot of people off. The thing you have to
"Gamification," today's hottest business
make clear to people is that it has nothing
buzzword, is gaining traction everywhere
to do with games. Gamification is about
from corporate boardrooms to jihadi chat
driving business objectives and motivating
forums, and its proponents say it can
people through data. It's not new but it
revolutionize just about anything, from
has suddenly become more powerful
education to cancer treatment to ending
because we have all this data available to
poverty. While the global market for
us. Gamification is now used widely in
gamification is expected to explode from
applications and processes to improve
$242 million in 2012 to $2.8 billion in
user engagement, Return on Investment,
2016. So what exactly is gamification?
data quality, timeliness and learning.
Gamification is the use of game attributes to drive game-like player behaviour in a non-game context. Now let us dig the
A Brief History
definition deep inside.
The concept of gamification isnâ€&#x;t new, but 1. Game attributes can be any aspects of a
the term describing it is. Gamification has
game like storytelling, game scripts, player
been used from a long time going back to
journey, game psychology etc.
1910 when Kellogg's cereals offers its first
2. Drive game like player behaviour here
"premium,"the Funny Jungleland Moving-
means any type of player behaviour
Picturesbook, free with every two boxes.
during
the
competition,
play
like
engagement,
Two years later, Cracker Jack starts
learning,
addiction,
putting prizes, from stickers to baseball
interaction etc.
cards, in its boxes of caramel-coated corn snacks. "A prize in every box" is an instant
3. In a non-game context means anything
hit; over the next 100 years, Cracker Jack
other than game like education, health,
gives away more than 23 billion in-
entertainment, fitness, civic engagement
package treasures. By the 1950s, the
etc.
concept of gamification is yet to be born, 24
but its primary building block -- fun -- was
1972 up to modern day Call of Duty, they
motivating billions of consumers around the world. This term was then coined by Nick Pelling in 2002. In 2008, the first documented use of the term gamification was used in a blog post by Bret Terrill. In 2009, foursquare released and the gamification have had every piece of data about how
“blueprint” of badges, leader boards and
users work and behave in their systems,
points is born. In 2011, the term becomes
and they've been able to use that data to
really popular. It’s added to Gartner’s
get players to perform better. The most
hype cycle.
important elements of games that are Why and How Gamification Works
used for Gamification are competition and
Next question which comes to our mind is
reward system. Reward system is given to
why Gamification works? It works all
player for accomplishing certain tasks. The
because of people’s natural desire to
rewards are in the form of loyalty points,
compete,
succeed.
filling of progress bars, badges, virtual
Gamification via games leverages all these
money etc. Competition is another way
desires in a human. Games feed our
which gives the player a motivation to
obsession with our own behaviour. They
defeat the other or to be on the top of the
give us feedback, scoreboards, lap times,
leader board
weapon selections, stats. The more we
Enterprise Gamification
achieve
and
understand about our own behaviour, the Now a days, many of the fortune 2000
more we want to know and the more we
companies are preferring Gamification in
want to change it. A player lives in a
achieving their business objectives and it
virtual world for some time, feels the urge
is predicted that 70% of the top 2,000
to succeed, while learning, doing tasks or
global organizations, will use gamified
research at the same time. "Game
applications for marketing, employee
designers have known how to do this for a
performance, training, and health care by
long time. All the way back from Pong in 25
2014.
The
Gamification
companies and
which
got better
used
manage specific physical conditions and
results
monitor
areas
correlated
to
health
includes giants like Microsoft, Cisco,
outcomes. It is easily noticeable the
Deloitte, Aetna, Verizon etc. Microsoft
power
of
Gamification
from
these
examples and how Gamification can change the market face in coming years. Gamification as a Saviour Gamification not only has real-life value and impact, it even saves lives and could
has been publishing many games like Beta
One,
Language
Quality,
ensure our future as a race. One would be
and
thinking at this point of time how can
Communicate Hope recently for variety of
something like video games really affect
purposes like pre-release testing as well
our future. Here are some examples
as incentivizing MS office users to learn
which can blow one’s mind and show how
new skills in office. Microsoft has noticed
Gamification can help saving and hence
a remarkable increase in productivity with
adding more loves to the future. The most
these games which varies from 4 times
valuable game which has added extreme
the productivity without games to 16
concrete value to the world is “Foldit”. It
times. CISCO used gaming strategies to
is an online puzzle game about protein
enhance its virtual global sales meeting
folding and this game has provided the
and call centre Company and reduced call
major breakthrough in just 10 days which
time by 15% and improved sales between
scientists were not able to figure out in 15
8% and 12%. DELOITTE training programs
years of research. 15 years vs. 10 days:
using Gamification took 50% less time to
only Gamification can make it possible.
complete and kept more student involved than
ever
before.
AETNA
Pain Squad is another such mobile game
adopted
designed to help kids fight cancer better
Mindbloom’s Life Game platform to help
by providing the patients with purpose
customers and employees adopt healthy
and the researchers with data. Pain Squad
life habits. Members visited 4X per week
was a massive success in a few hospitals in
and average engagement was 14 minutes,
Canada and is going through more test
41 seconds per visit. It helped users better
cases in a lot more hospitals in 2013. On 26
education front, Khan Academy is doing a
transatlantic flights, you’re going to
great job by making people fall in love
increase
with education through gamified online
proponents would lead us to believe that
education. CrowdRise is another popular
we are starting to see an invasion of the
game
real world by games and game designers –
which
donations
is
game.
charitable
where brands will track our every move,
SuperBetter,
rewarding and coercing the decisions we
OPower, RecycleBank, m.Paani, FreeRice
make with points and scoreboards. This
etc.
vision of brands coercing us may hold
games
are
Other
Gamification‟s
such
constructive
into
turning
productivity.
some truth, but how we get there is
Apprehensions
another question. It seems unlikely that it It’s hard to argue against these examples
will be as simple as offering points and
being extremely positive for our society
badges. Points are only useful to brands
and well-being. But this is just the tip of
so long as they remain compelling, whilst
the iceberg. Dozens of new examples are
there will come a time when getting such
being created every month. Gamified
simple external rewards for being loyal
products are helping with fitness, getting
are no longer a motivating factor. Rather
out of debt, doing chores, cleaning up the
than a “gaming invasion‟, it might be
environment, anything you name it and
more useful to see it as the start of a new
you have it.
approach to digital marketing, where the emphasis is on behaviour shaping and
There is unlimited number of such examples,
while
innovative
use
pulling the right triggers, rather than
of
expecting too much attention from any
technology has shown impressive results.
given audience. What we are seeing as
But if you see from a creative perspective,
the “gamification trend‟ are essentially a
all looks remarkably similar and nothing
bunch of tactics that motivate people,
new. In fact some of the principles of the
made better through technology.
„gamification‟ trend seem to be almost insulting in their simplicity – just add a
Criticism
„scoreboard‟ or some „badges‟ to your Like every innovation, Gamification is also
customer interaction portal and it doesn’t matter
if
you’re
selling
coffee
not free of critiques. University of
or
Hamburg researcher Sebastian Deterding 27
has characterised the current popular
Conclusion
strategies for gamification as not being
We have seen now the huge potential of
fun and creating an artificial sense of achievement.
He
also
says
Gamification although there are critiques
that
.We have also seen a complete shift from
gamification can encourage unintended
things we “should do” to things we “want
behaviours. Game designers like Jon
to do.” But instead of shifting the tasks,
Radoff and Margaret Robertson have also criticised
gamification
as
we simply make what we should do fun.
excluding
elements like storytelling and experiences
Imagine a world where kids can save lives,
and using simple reward systems in place
get healthier, and bond with family and
of true game mechanics. MIT Professor
even make a living by playing World of
Kevin Slavin has described business
Warcraft. My vision for Gamification is a
research into gamification as flawed and
future where no one really works, but
misleading for those unfamiliar with
everyone plays and contributes to a
gaming. Gamification as a term has also
happier and more productive society.
been criticized by many. Ian Bogost
Let’s hope this is not just a fad.
referred it as marketing fad and suggested Vishal Gupta
“exploitation ware” as more suitable
Batch 2013-15
name to be used for it.
28
Building Competitive Advantage during a Slowdown - Not just about weathering the storm‌ Even though we have officially passed
manufacturer will cut back on hiring new
over the storm of the global recession a
employees, or freeze hiring entirely. In an
few years back, such has been its intensity
effort to cut costs and improve the
that organizations as well as their human
bottom line, the manufacturer may stop
resources still feel its repercussions. Every
buying new equipment, curtail research
economic slowdown is looked upon as a
and development and stop new product
major catastrophe and a threat to the
rollouts (a factor in the growth of revenue
organisation’s standing. However just as
and market share). Expenditures for
every crisis presents itself in the disguise
marketing and advertising may also be
of an opportunity , this increased
reduced. These cost-cutting efforts will
cognizance
/
impact other businesses, both big and
governments (as they are pushed against
small, which provide the goods and
the back of the wall) towards economic
services used by the big manufacturer.
of
an
organisation
slowdown has led to devising strategies to
The New Order
gain a significant competitive advantage With increasing uncertainty it is becoming
through the slowdown.
difficult for companies to devise strategies This article aims at exploring ways to
and know how to react. While the shape
emerge stronger and sharper through an
of the global economic recovery remains
economic slowdown and gain a firm
uncertain, companies around the world
footing when it is finally over. How
a
Slowdown
Impacts
are wasting no time charting new courses Large
for sustainable growth and building a
Businesses
competitive advantage. Some are using the recession as an opportunity to
Let us take the example of a Large
accelerate their strategic agendas.
Business Manufacturing Firm and how it is impacted by the economic slowdown. As
The global economy is realigning itself, as
sales revenues and profits decline, the
nations change relative position. For 29
example, in 2010 China surpassed Japan
market that your competitors can’t easily
as the world’s second-largest economy.
replicate.
And while the US economy remains the
Enhancing Employee Skills – Competitive
largest, the demographics of countries
Employee Advantage
such as China, India, Brazil, and Indonesia
An Economic slowdown is the best time
could change the mix yet again.
for cross training the employees. It is one of the best investments you can make in Innovation is the Key
your employees and in your organisation. It
For companies to sustain growth and
increases
increases
build competitive advantage, innovation
employee's
the
flexibility
value
and
in
the
organisation. It provides you with more
must become a strategic imperative.
employees who are trained and capable
Organisations remain committed to the
of filling the busy positions. It provides
operational efficiencies they’ve achieved
some relief for employees who may feel
during the economic crisis. But that cost
overworked. It gives employees who are
discipline may stifle innovation, which is
less busy, and may be concerned about
vital to grow in a competitive world
being laid off, an increased sense of value
market. If your company isn’t bringing
to the company.
new ideas to market, your competitors will. Find ways to encourage innovative
Planning for the Recovery – When and
thinking among the workforce and to
which one?
capture the results it produces. Hold brainstorming
sessions.
Ask
Every Downturn is followed by a recovery.
your
The key is to recognise – When? Don't
customers for feedback on what changes
wait for the recovery to become obvious
they would like to see and try to figure
to your competitors. Recognise the kinds
out how to make them possible. You
of problems that the organisation will
could even hold a contest for your
encounter when business picks up again.
employees to reward those who produce
Now is the time to put in place the
the best or most innovative ideas. The
solutions for those potential problems.
ultimate goal is competitive advantage:
Make your plans for the recovery before
bringing a unique good or service to
your competitors do so that you will stay 30
ahead of them when the recovery arrives.
Stock Market crash of 1987, Nike tripled its marketing spend and emerged from
New Normal
the recession with profits nine times
The ground rules have changed in the post-recession environment. Diminished demand, constraints on capacity, supply volatility and price uncertainty, and generally higher levels of insecurity and risk are the ‘New normal’. Not to mention tighter budgets, greater workloads and diminished job security.
higher than going in. Pizza Hut also took advantage of this recession, promoting itself heavily, while the market leader McDonald’s, cut back. This investment paid
off
by
significantly
narrowing
McDonald’s category lead. When
the
market
goes
south,
management too often turns its approach
For example – Invest in products/ raw
away from brand-centric to price-centric
materials/ inventory items you would
thinking.
need the most once sales pick up. Due to
Thus
begins
the
vicious
downward spiral where brand value
the Economic Downturn, their costs are
erodes, in turn reducing revenues which further tightens belts and value continues to erode. The only answer to a recession is a proactive response. Investing in your brands will help to retain your audience low, now is the best time to invest in
and attract a new audience by stealing
them.
share from weaker brands. Only the best positioned players will survive and thrive.
Invest in your Brand Decrease the Inventory – Increase Historically, companies who properly
Inventory Turns
support their brands with cost-effective measures can retain and even gain share
Switching from a forecast driven mode of
in the face of lower-priced alternatives.
operation to a consumption driven mode
These same companies will be best
of operation increases the inventory turns
positioned to enjoy the fruits of their
and sales i.e. it reduces inventory costs
labour when the economy inevitably
and with a smaller inventory, distributors
returns to growth. Following the U.S.
focus on increasing sales and fast turning 31
of goods through the shelf. It also reduces
Leadership
the risk of any wastage / spoilage of
The confidence of a good leader trickles
products during periods of low demand. A
down to the employees even during times
leaner operation not only cuts down the extra
costs but
of uncertainty. Effective leadership makes
also improves the
it a priority to keep the team focused,
efficiency drastically.
working together, and moving ahead.
Leveraging Technology
During periods of economic uncertainty it is not uncommon for employees to be
The best organisations, irrespective of the
distracted, fearful, and less productive
economic slowdown often deploy the
than
latest technological improvements in their
normal.
That
is
where
good
leadership comes in. Engage employees,
processes which not only significantly
allay their insecurities and make them
improve production rates, quality and
believe.
efficiency but also hands the firm a significant advantage in terms of cost.
Utkarsh Modi Batch 2013-15
32
Vyashti & Samashti World is one, but everything in it can be
demons in the making. Such people look
looked at from two levels. The individual
at their children & other relatives too as
& the cosmic. The individual level is called
pawns to be used for their own selfish
‘Vyashti’ and the cosmic is referred to by
ends. They have no love in their hearts; or
the word ‘Samashti’. Both of these pertain
rather do not know the real meaning of
to
love. Their life is dry and lonely, and
the
micro
respectively.
and
The
the
macrocosm of
inspite of their obsessive & blinding
identifying with either of the level is very
concerns for themselves they do not
different, because in the centre of vyashti
satisfactorily fulfil even those objectives
vision
an
for which they are so concerned about.
individual, while in the centre of samashti
They definitely seem to be on the wrong
vision stands the compassion & welfare of
path.
stands
consequences
the
concerns
of
all.
The Cosmic view on the other hand brings
Individual view brings about selfishness
about love for all. A person sensitive to
and all its subsequent problems. Even
others alone has a heart full of love &
though
some
peace. Such a person is also obliged to
towards
take care of his basic needs, but this is
himself or herself, but that alone should
never an issue for him. He has a large
never be the sole objective of life.
family who are equally sensitive to his
Everyone should take care of one’s basic
needs. Man is a social being, and
necessities, but even to fulfil these
therefore can never even think of living an
objectives one has to look beyond oneself
isolated life. If this is so then any tendency
– to begin with towards one’s family and
to be insensitive to others is contradictory
later towards the society as a whole too.
to the very structure of social order. The
Any person who is obsessed with his or
essence of Dharma is to be sensitive to
himself so much that he doesn’t have
others. A virtuous act is defined as that
anytime even for the family around is
wherein a person does unto others as he
always a potential danger, they are
expects others to do unto him. This is
every
fundamental
person
has
responsibilities
33
possible only because of his high degree
absolute view. The very usage of these
of sensitivity & love for everyone around.
words together shows their relativity,
Person of such a disposition is an indeed a
both are inter-dependent, and require the
godly person.
existence of each other for their own existence & identity.
Thus vyashti & samashti are two ways of looking at the world, and it should be a
Ishan Arora
sincere endeavour of everyone to slowly
Batch 2013-15
expand his or her vision so as to embrace more & more people. However, one thing should also be understood that even though the cosmic view brings about relatively greater virtues, love & peace, but this cosmic view also is not the
34