Issuu on Google+


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


Iblitz magazine 2013 final