Sunday, March 17, 2013

Skill Young India


Skills and knowledge are the driving forces of economic growth and social development of a country. In rapidly growing economies like India with a vast and ever-increasing population, the problem is two-fold. On one hand, there is a severe paucity of highly-trained, quality labour, while on the other; large sections of the population possess little or no job skills.
As the Indian economy continues to transform and mature, large scale sectoral shifts in the working population are inevitable, particularly from agriculture to other sectors of the economy. These sectors, however, require significantly different and often specialist skill sets, which require training and skill development. This skill gap needs to be addressed through comprehensive efforts, at various levels and catering to different needs of the society and industry.
Skill development can be viewed as an instrument to improve the effectiveness and contribution of labor to the overall production. It is as an important ingredient to push the production possibility frontier outward and to take growth rate of the economy to a higher trajectory. Skill building could also be seen as an instrument to empower the individual and improve his/her social acceptance or value.
Youth energy needs proper reshaping to make it constructive. If not it may destructive in few cases. Government of India decided in May 2008 for coordinated action for skill development and to set-up a national skill development corporation.  A national council was constituted on skill development under the chairmanship of prime minister.
Further the Ministry of Labour and employment formulated a National Policy on skill development in 2009. The policy aims to create a workforce empowered with improved skills, knowledge and internationally recognized qualifications. So that workforce can gain access to decent employment and ensure India’s competitiveness in dynamic Global Labour market.
The council meets periodically to achieve the mandate on skill development. This aims to create 500 million skilled people by 2020.  It is planned that Skill development system would be designed for high inclusivity. The system must be dynamic and self- healing.
India is a youthful nation.  The United Nations defines youth as people between ages 15 and 24. On this scale, India has approximately 240 million youth.  The median age in India is 25, meaning that half the population is below 25 and half is above it. 
It was envisioned that rigid boundaries between categories of education e.g. diploma and degree has created a structure of rigid “caste system” within education. This must be transformed into a more open/flexible system that permits competent individuals to accumulate their knowledge and skills.
Planning commission conceived setting up of 50000 Skill Development centers over the plan period. An alternative model could be to make available to public institution above the high school level, after class hours for skill development. ITIs, Employment Exchanges, Employment Officers etc are controlled by States. States must be incentivized to set-up missions that do not undertake delivery but as an aggregator and aligner of skill efforts. 
The Finance Minister announced the formation of the National Skill Development Corporation (NSDC) in the Budget Speech (2008-09): “There is a compelling need to launch a world class skill development programme in Mission mode that will address the challenge of imparting the skills required by a growing economy. Both the structure and the leadership of the Mission must be such that the programme can be scaled up quickly to cover the whole country.”
NSDC is a first-of-its-kind Public-Private Partnership in India. It facilitates skill development. It acts as a catalyst by providing funding to enterprises, companies and organisations that provide skill training. It also develops appropriate models to enhance, support, and coordinate private sector initiatives.
In 2004-05, the total employment in the country was estimated at 459.1 million out of which 56.8 percent of workforce belonged to self employment, 28.9 percent to casual labor, and 14.3 percent to regular wages. About 8 percent of the total work force in India is employed in the organized sector, while the remaining 92 percent are in the non-formal sector. Employment needs to be generated in all the sectors, namely primary, secondary, and territory.
Self employment and small business continue to play a vital role in employment generation. It is, therefore, necessary to promote main employment generation activities like (a) agriculture, (b) labor intensive manufacturing sector such as food processing, leather products, textiles (c) services sectors: trade, restaurants and hotels, tourism, construction and information technology and (d) small and medium enterprises.
Innovative schemes to promote skill development like “Skill Development Initiative” (SDI), Kaushal Vikas Yojana (KVY) for setting up Industrial Training Institutes and Skill Development Centers in uncovered areas and skill development plan for districts affected by Left Wing Extremism, would help.
In order to strengthen skill development initiative in the country, the Budget for 2012-13 has doubled allocation under the National Skill Development Fund (NSDF) and launched a credit guarantee fund for skills development. Rs 1, 000 crore has been infused into NSDF raising the corpus of the fund to Rs 2,500 crore.                      
Among states Gujarat skill development mission is doing good job. CM Modi compared his latest budget for Gujarat with the Union budget for 2013-14 to emphasise his thrust on development and jobs.“Indian government allocated Rs.1,000 crore for skill development for the entire country, whereas Gujarat being a small state has allocated Rs.800 crore. This will help you to gauge our commitment towards youth and skill development,” he commented
Productive employment is a basic individual right. It not only provides a wage but is also an expression of self-fulfilment and dignity. Skill development approach and planning are in right direction. But progress is disappointing. Still many State Missions are not fully functional. Budget comparison of India and Gujarat for 2012-13 on skill development speaks a lot. It proves non seriousness on the part of government of India.  
Heera Lal (Views are personal and based different sources)
Reference:




Sunday, March 10, 2013

STRONG OPPOSITION less CORRUPTION


Strong opposition less corruption. Strong opposition means better governance. In general we don't criticize opposition for failing to discharge the role of OPPOSITION. In real sense and in the real spirit of our constitution both are equally responsible for any activity harming the nation in anyway.
In India, there is a parliamentary system of government, according to which the party with the highest majority through a general election is entitled to form the government and its leader becomes the Prime Minister of the country.

The second largest party becomes the opposition party and its leader enjoys the status of the leader of opposition. The ruling party (the government) during its tenure is free to determine the policies and programmes and make decisions for the welfare of the common people.

The opposition parties have a very significant role in a democracy, because they are the representatives of the people to safeguard their interests. Time to time, they criticize the government in case it fails to keep its promises.

The opposition parties also warn the government if they think it necessary. Sometimes they show their protest too against the government. Thus they try to keep the government aware of all the issues so that everything may be on the right path and all round development may be seen in the country.

The most dominant role of the opposition in a democracy is that of a 'watch dog' of the system. In a country where there is a two party system, the opposition party forms a 'shadow cabinet' and remains vigilant over the performance of the government. This is truer when we talk of United Kingdom.

But in a country like India where there is a multi-party system of governance, the very purpose of the opposition is marred. No doubt the opposition parties try to co-operate among themselves over particular issues but most of the time they waste their time in blaming each other instead of playing the role of check and balance to correct democratic practices in the interest of the entire public.

In India there are many parties and the sad truth is that nearly every party is built not around ideology but around the personality of a single leader or a family dynasty. One party hates another and criticizes its activities. As a result they fail to raise such issues that are more relevant to the cause of public. They fail to compel the government to do welfare works. And thus the government very easily overlooks them and conceals the facts related to them.

In a democratic set of a country the Prime Minister has been invested with so many powers that he/she can easily become a dictator. India has already witnessed such an incident when in 1975 the then Prime Minister, Mrs. Indira Gandhi, after the defeat at Allahabad High Court, declared the state of Emergency in India and turned to be a dictator.

It was unconstitutional, still she did it. In such a moment the vote of opposition becomes more prominent, because only a responsible opposition party can spread a mass consciousness against such unconstitutional move of the ruling party. Unfortunately, in our country the opposition parties have completely forgotten their positive contribution and responsibility to the nation.

They never try to extend their support to the ruling party in their welfare measures. Instead they only oppose the government, which is in no way a healthy atmosphere for the progress of the country. All the parties think only for the next election not for the next generation. The opposition must realise their responsibility and work for the country. Only a responsible opposition party can bring success to the ideals of our constitution.
Heera Lal
(Views are personal and based on different sources)

Sunday, March 3, 2013

Young India


                                  Young India                                   
India is a youthful nation.  India’s young people are on the move. They are reaching for new opportunities made possible. The United Nations defines youth as people between ages 15 and 24. By this measure, there are approximately 240 million youth in India, about 20% of the population, according to preliminary projections from the 2011 census. That’s up from 195 million in 2001.
 The median age in India is 25, meaning that half the population is below 25 and half is above it. Compare India to Canada, whose youth make up just 12% of its population and where the median age is almost 40.
What’s the significance of these numbers for India? They mean that hundreds of millions of young people are or soon will be looking for jobs and spouses. If those hopes aren’t fulfilled, aspiration may turn to frustration. And, some social scientists say, that frustration can manifest itself in rising crime.
Demographic change in India is opening up new economic opportunities. As in many countries, declining infant and child mortality helped to spark lower fertility, effectively resulting in a temporary baby boom. As this cohort moves into working ages, India finds itself with a potentially higher share of workers as compared with dependents. If working-age people can be productively employed, India’s economic growth stands to accelerate.
 Theoretical and empirical literature on the effect of demographics on labor supply, savings, and economic growth underpins this effort to understand and forecast economic growth in India. Policy choices can potentiate India’s realization of economic benefits stemming from demographic change. Failure to take advantage of the opportunities inherent in demographic change can lead to economic stagnation.
However, demography is not destiny; growth of the working-age share of the population does not automatically lead to an acceleration of economic growth. Demographic change may provide a boost to economic growth, but appropriate policies are needed to allow this to happen.
          Without such policies, a country may instead find itself with large numbers of unemployed or underemployed working-age individuals. This scenario would be a “demographic disaster”, instead of a demographic dividend, in some instances promoting state fragility and failure, potentially with adverse political, social, economic, and ecological spillovers to other countries.
An additional demographic fact deserves mention: there are an estimated 11.4 million Indians living outside of India. The countries to which Indians have emigrated in largest numbers, as of 2010, are United Arab Emirates (2.2 million), the United States (1.7 million), Saudi Arabia (1.5 million), and Bangladesh (1.1 million).  In 2000, 57,000 Indian physicians were living overseas.
          In 2010, Indian emigrants are estimated to be sending home remittances totaling $55 billion, the most of any country, constituting about 4.5% of GDP. (Ratha, Mohapatra, and Silwal, 2011) The number of Indian immigrants in the United States has grown rapidly in recent years (there were 1.0 million in 2000). Their median age is 37, and just over half are female. Nearly three-quarters have at least a bachelor’s degree and nearly half work in professional occupations.
Mean personal income (in 2008 dollars) is $53,000, and median household income is $92,000. (United States Bureau of the Census, International Data Base (2008 midyear estimates). As political, economic, and social conditions change over time in India and its neighbors, the number of migrants, the skills they take to other countries, and the value of the remittances they send may change significantly.
India’s demographic evolution over the coming decades will provide a potential boost to its rate of economic growth – at a time when China will be losing the demographic impetus that has helped spur its economy. But the process is not automatic. Policy choices in the areas of governance, macroeconomic management, trade, and human capital formation can have a significant effect on realization of the demographic dividend.
 Central to capturing the dividend is providing an economic environment in which working-age people are productively employed. Failure in this endeavor could result in a demographic disaster rather than a demographic dividend.
Demographics matter to the pace and process of economic growth and development – in India and elsewhere. While many factors influence economic growth, few are more important and reliable than demography. India’s changing demographics are creating a strong impulse for economic growth, and policymakers have several options for making this potential demographic dividend a reality.
The World Economic Forum (WEF) has released the Global Competitiveness Report 2012–2013. India ranks 59th overall among 144 economies, down three places from last year. Since reaching its peak at 49th in 2009, India has lost 10 places.
          Once ahead of Brazil and South Africa, India now trails them by some 10 places and lags behind China by a margin of 30 positions. India continues to be penalized for its disappointing performance in the areas considered to be the basic factors underpinning competitiveness. The country’s supply of transport, ICT, and energy infrastructure remains largely insufficient and ill-adapted to the needs of the economy (84th).
It must be noted, however, that the situation has been slowly improving since 2006. The picture is even bleaker in the health and basic education pillar (101st). Despite improvements across the board over the past few years, poor public health and education standards remain a prime cause of India’s low productivity.
Turning to the country’s institutions, discontent within the business community remains high about the lack of reforms and the perceived inability of the government to push them through. Indeed, public trust in politicians (106th) has been weakening for the past three years. Once ranked a satisfactory 37th in this dimension, India now ranks 70th. Meanwhile, the macroeconomic environment (99th) continues to be characterized by large and repeated public deficits and the highest debt-to-GDP ratio among the BRICS. On a more positive note, inflation returned to single-digit territory in 2011.
Despite these considerable challenges, India does possess a number of strengths in the more advanced and complex drivers of competitiveness. This “reversed” pattern of development is characteristic of India. It can rely on a fairly well developed and sophisticated financial market (21st) that can channel financial resources to  good use, and it boasts reasonably sophisticated (40th) and innovative (41th) businesses.
Today, India is facing a crisis; we are at a critical juncture. We are facing the threat of downgrade in ratings, declining growth, dismal job creation, acute shortage of skilled workers, high current account deficit and fiscal deficit, total lack of new projects and decrease in investment in infrastructure.
Young India has tremendous energy to overcome all above mentioned problems. We are surplus of human power.  Our policy makers- particularly young political actors- need to take a serious note of it.  To make these human energies suitable for the use in different sectors, we need to orient them as per demand. We have to skill them to make them employable and fit for jobs and demands. Such steps can convert this energy into pubic goods.
Government of India (GoI) and State governments need to work closely in tandem on this issue.  There are many ways to achieve this goal. One of them is skill development of youths. A mammoth pool of talent continue to make India one of the most preferred destinations for Foreign Direct Investment
This Budget (2013) has also almost failed to address one of the grave problems of shortage of skilled workers, something that even US PresidentBarack Obama has taken note of. The UPA government has allocated a mere Rs 1,000 crore for skill development. Contrast that with the Rs 800 crore that just one state, Gujarat, has allocated for skill development.  A comparison proves glaring situation.
Young India is a new catch for public actors. It is a new playing field for young political actors. Recent big protests against corruption and rape made us to feel and assess the gravity of this energy and discontent among masses.  This new energy is in limelight which provides an opportunity to our policy makers to use them productively in nation making.
Youth energy is like an atomic energy. We can use it both ways. It can be changed for generating electricity or for making destructive bombs. This is an opportunity in the hands for our policy makers. They can enact laws for them. These laws will facilitate the conversion of youth energy into public goods. If this will not happen, then this energy may bring harm to the nation.
Young India is both voter and resource. Our political actors have to see from this angle. This natural resource is the ladder to power corridor.  The political parties are always in search of political issues. They develop political product from such social and political situations. 
The United Nations (UN) has declared 12 August as Youth Day. In 1985, The UN celebrated the first International Year of Youth.  The Secretary- General Ban ki-moon says “To unleash the power of young people, we need to partner with them”. Our different level governments can use this day to launch projects, programs and to pronounce rules, regulations for this segment to partner with them.
Political products are sold during campaign for gaining power. This Youth India is a potent political issue to play with, albeit safely and cautiously.  Those who will be able to tame this new segment of political landscape will rule in states and at centre.


Heera Lal  (Views are personal and based on different sources)

Ref:
3.   http://www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2012-13.pdf  

Sunday, December 30, 2012

Cyrus: New Commander- in- Chief of TATA


         
Cyrus P Mistry took charge of TATA group on December 28, 2012. There are huge excitements and speculations inside and outside the organization. Profit maximization is the motto of a business organization. But it is not applicable to TATA. This makes it different and international brand? A perusal of Tata’s statement endorsed this difference.  
Jamsetji N. Tata (Founder, Tata Group, 1868) said “In a free enterprise, the community is not just another stakeholder in business, but is in fact the very purpose of its existence.”  J. R. D. Tata stated “The Tata philosophy of management has always been and is today more than ever, that corporate enterprises must be managed not merely in the interests of their owners, but equally in those of their employees, of the customers of their products, of the local community and finally of the country as a whole.” 

 In 2005, Ratan Tata, dreamed One hundred years from now, I expect the Tatas to be much bigger than it is now. More importantly, I hope the Group comes to be regarded as being the best in India — best in the manner in which we operate, best in the products we deliver and best in our value systems and ethics. Having said that, I hope that a hundred years from now we will spread our wings far beyond India…” 

We are living in boundary less world. Information is fast flowing with internet as carrier which moves with speed of light. Openness is rule of the day. Now we can get the copy of official note sheets under RTI. In such fast and open environment cut throat competition prevails. What are the strengths which help to flourish business? Is it sole motto of profit maximization? Or maximizing highest turn-over at any cost?
Be it social or business sector, real power and confidence come from its values and ethics? Ethics and values are the foundations of the TATA group unlike others.  There two (like RBC and WBC) are in the blood of the organization of TATA. If blood quality is good, naturally body will be stout and productive.
An Assocham survey said $100 billion Tata Group is perceived to be India’s best-known global brand within and outside the country. The survey was conducted not only in Delhi, Mumbai, Kolkata and Hyderabad, but also in London, New York and Singapore. "Ratan Tata occupied the well-deserved iconic status who had taken the group from largely an Indian family-owned business house into a professionally managed global conglomerate," the survey said.
Now Cyrus a civil engineer with MS in management is in limelight of national and global industry sector.  He took the charge from a new big height crated by Ratan. Market is buzz with many speculations and excitements. Some among many which appeared in news recently need perusal.
Mathuradas Morarji, an 84-year-old investor who holds shares of most of the Tata Group companies, some for several decades now, says "Cyrus comes from a business family, unlike the Tatas which is a family of industrialists. The challenge for him personally would be to transform from a businessman to an industrialist because he has to look after not just one or two companies but several and from a large number of industries,"
Tata has Operations in more than 80 countries across six continents with exports to 85 countries. Its Turnover profile has 58 per cent of revenues from overseas. Global economic slowdown is immediate challenge for him to sail through it successfully. Nimesh Kampani, chairman, JM Financial, a key challenge before Mistry would be to identify the core sectors in which the group should see itself as among the top three players in the relevant market - domestic or global - and planning a gradual and profitable exit from the other sectors.
The biggest challenge for him would be to turn around the flagship firm Tata Steel, which is burdened with Rs 60,000 crore of debt after it acquired Corus in 2007.  Revisiting Nano and unlocking its potential to the fullest would also be a priority. Mistry's urgent attention is to oversee Indian Hotels' revised offer to acquire British hospitality group Orient-Express. 
The Historian Plutarch states that "the sun, which, in the Persian Language is called Cyrus".  Cyrus is the given name of a number of Persian kings. An industrialist who knows him well, described as intuitive, incisive, driven and humble, with the right leadership traits. However, there are others who believe Cyrus may have to put in some extra efforts as he makes this transition.  
            No one doubts his capability and calibre to make a mark. Deepak Parekh, chairman, HDFC said “I have seen and observed  Cyrus Mistry since he was a boy. Having seen him grow... grow in stature over the years, I am confident that he will be able to take the Tata Group to a higher level, both domestically and internationally,"  An Assocham survey concludes that about 77 per cent participants said they are confident that Ratan Tata’s successor Cyrus Mistry will be able to steer the group well.
Cyrus is a simple, focused, silent and down to earth business leader. No negative remark has come against him.  His acceptance is good. His timing to accession is on his side.  An energetic and experienced leadership provides momentum to any entity to send it to a new higher level. At 44, he is full of energy to move the TATA group. He is well experienced by practicing. Both along with leadership traits will enable him to meet the expectations and challenges. In all probability, beyond any doubt he will come out with flying colours.
Among many challenges, the biggest one before him is how to maintain the dreams of Tata’s- ethics and values. Under present circumstances when scams and corruption are rampant, taking the organisation to new milestones with ethics and values is daunting task for him. Tata is comparable to Bill Gates and Warren Buffet in philanthropist activities. Being international player he needs to strengthen it further.
 He has to bring some innovative ideas on ground for the benefit of masses. Here he has to act as visionary. ICT, IT and social media the modern toys of public are the Chariots to ride upon.  Political management service industry is a big green field. This is a huge service industry to be tapped with.  Rural needs can be another pasture/ green field seeking ICT enabled social marketing concept of Philip Kotlar.
Recent social movements by Anna and others have left lessons for public and private both. Corporate under CSR start programs for developing social leaders at different levels- state, district, booth or village. Old activities are not noticeable and effective. These newly developed leaders will purge our polity and facilitate good governance in society. Hence delivery would improve. Cyrus has to weigh this societal action to start without any delay. This new idea will make him a social engineer and a complete man.
Heeer Lal (Views are personal and based on different sources)


Ref:

Friday, December 28, 2012

3D CM Aspiring For PM


                                              
                             New Political Tools: Internet President Vs 3D CM
Social media made Obama president in 2008. It was an innovation how to use social media in an election. Modi used 3D technology in campaign for the first time worldwide. This helped him to win third time in a series in a very odd situation. Modi set a precedent before the world like Obama. Obama success made social media a new tool of politicians.  Modi’s innovation made 3D technology an additional campaign tool for political actors.
Growing awareness and melting boundaries make it difficult for the public managers, leaders and actors to connect, engage, and communicate with the voters and public to the level of satisfaction that they desire. For the politicians, voters are all-in-all who decide their fate on ‘election day’ and provide them the mandate to represent them at all forums. In this light, a voter plays the role of king maker (it’s like Bhagya Vidhata in Indian context).
   Two aspects are very important to be a successful politician. First, how a political leader/ manager can be in constant and effective touch with voters and public by using social media in addition to all existing tools. And second, how to provide free, fast, effective and satisfactory services to them.
UN data says that USA was fouth after Sweden, Denmark and Norway in the
2008 e-Government Readiness Index. The US president Obama did something unique by using social media tools, so, he is known as new-media president.
It is not his nimble use of Facebook and Twitter that makes him so. The fact is that he is the first president who has grasped the possibilities of today’s high-velocity, high-density, highly variegated media landscape. He was very successful with this tool and it is now a model for other campaigns. His management skills and campaign methods are model for the politicians around the world.
After election, President Obama is using this well-tested tool-social media- for running his government, and here too he is successful like his election. Social media as a new tool in India is required because growing awareness among masses has increased many folds which have increased public demands and expectations from politicians.
Furthermore, the Indian election process is time-bound. In a limited time frame, a political actor has to manage all the activities to the satisfaction level of the public, government, election commission of India (ECI), and other stakeholders. This is a tough task to accomplish and manage now. The real story begins after the election, how to run the government successfully to satisfy the public.
In 2004, the incumbent BJP launched aggressive nation-wide India Shining Campaign. First time it allocated 5% of campaign budget for e-campaign. Though BJP’s new approach didn’t fetch victory, but they took the lead in this new experiment. This set a new trend in Indian politics and resulted in allocation of 5-10% of election budget for e-campaign in later elections.
In 2009 election, both Congress and BJP targeted urban youth. While congress focused on youthful appeal of Rahul Gandhi, BJP adopted 360 campaigns inspired by the Barack Obama campaign.  Journalists, citizens, opinion makers and NGOs are using facebook and other social media sites.
USA denied visa to Modi. He relied on a live satellite telecast to address the Gujarati community in America on “Gujarat Day,” Aug. 31, since 2005. In October 2012, on a Sunday, using holographic technology and satellite link-ups, a three-dimensional image of          Mr. Modi addressed tens of thousands of people at four public rallies in Ahmedabad, Baroda, Rajkot and Surat, from a studio in the state capital of Gandhinagar. Mr. Modi is believed to be the first Indian politician to use 3D technology during an election campaign.
Virtual Modi comes to Gujarat thanks to Musion, a British company, which has given the Indian filmmaker Mani Shankar and his company, Nchant 3D, a license to use its technology in nine South Asian countries. Details of Nchant’s agreement with Mr. Modi are “confidential,” Mr. Shankar said in an interview, but he added that he was the chief designer of Sunday’s show.
“It was a first of its kind in the world, as never before have four simultaneous holographic shows been done using satellite broadcast,” he said. “To the best of my knowledge, not even a single holographic show has been done so far using satellite.”
The technology doesn’t come cheap. , BJP spokesperson told Chief Minister planned to spend about 50 million rupees (about $1 million) on 3D campaign addresses. The cost will be borne by the party, and not the state. The Congress Party has lodged complaints with the Election Commission, asking for an investigation into the costs and who is paying for the technology.
Mr. Shankar further said celebrities like Madonna, Mariah Carey, Lady Gaga, Richard Branson, Al Gore, David Beckham, Prince Charles and King Abdullah of Saudi Arabia have used 3D technology before to reach large audiences in multiple locations. But Mr. Modi’s adoption may herald a new era of 3D use in India. Narendra Modi can’t go and address rallies at all the 182 constituencies. But with the help of the 3D holographic technology he could reach many places and meet thousands of people.
Modi and Obama share similarities in style of functioning and managing the political affair. Both experimented new tools in campaign. Others are: One, both are well read, experienced and knowledgeable politicians. Two, both are ICT savvy and using it in good governance. Three, both follow personality politics. Four, in opposition Obama had Hillary while Modi have Advani and others. Five, both are authoritative and decisive personality and famous orators for their effective speeches. Seven, both are self-made and like changes.
Senator Obama elected pesident in 2008.  He never served as governor like CM in India. His open government initiative with internet use gave his second chance in a very tough situation. A comparison shows Modi is better placed than Obama as he is third timer CM.
He is only 3D politicians worldwide. Rest are 2D- even Obama. This gives him a lead over others. Growining view in his favor, public sees in him next Atal Bajpai of BJP. By innovation, he is trying to position his candidature for PM by applying all concepts of social and political marketing with the help of ICT tools.



Heera Lal(Views are personal and based on different sources)







Ref:
1. Jennifer Senior (2009) The Message Is the Message, nymag.com
12.http://www.facebook.com/pages/Uttar-Pradesh-Youth-Congress/185597054628
16. http://www.internetworldstats.com/asia/in.htm
18. Department of Economic and Social Affairs, Division for Public Administration and Development Management, United Nations, e-Government Survey 2008
19. Rajeev Gowda ( 2007) ICTs AND POLITICAL ORGANIZING IN INDIA
 24. http://india.blogs.nytimes.com/2012/11/23/meet-virtual-modi-gujarat-chief-ministers-latest-tech-push/

Saturday, December 22, 2012

Lobbying: Boon Or Bane

                  
        Lobbying is prevalent in both social and commercial sectors. Its positive or negative effect will depend on its use. But, it has a more negative perception than positive.  Recent FDI permission in retail in India brought it into limelight. The history of lobbying is a controversial one, and is quite often seen as a ‘dirty word’. And in some languages the word ‘lobbyist’ has particularly negative connotations.
       Wal-Mart filed a lobbying disclosure report with the US Senate. This surfaced the issue. The company has spent close to $25 million (about Rs 125 crore) since 2008 on its various lobbying activities. Activities are related to "enhance market access for investment in India". This disclosure gave a political agenda to opposition against government in India.
         A on line business dictionary defines lobbing as “The act of attempting to influence business and government to create legislation or conduct an activity that will help a particular organisation.” It generally signifies an attempt to influence government decisions, traditionally by targeting legislators or regulators and government officials. 
        Lobbing has a long grand history. In 1792 in USA, the Virginia veterans of the Continental Army hired William Hull, one of the country’s first lobbyists, to lobby for additional compensation. Worldwide UK, France, European Union, Germany, Slovenia, Australia, Canada, Israel, Italy, Hungary, Poland, Lithuania, Georgia have lobbying industry.
        Lobbing regulations are in place to render government officials more accountable. Regulations promote more transparency of lobbyist actions. The role of regulations is to make the public aware of the interest behind the proposals and link between the lobbyists and policy makers.
        Some political systems choose not to adopt regulating lobbying. There are three main reasons behind it: one, barriers to entry to participation in the policy process; two, formulating ‘good policy’ confidential negotiations sometimes necessary; three, costs of hiring staff to monitor it and later enforcing the rules.        .
        Notwithstanding the rarity of regulating lobbyists, nine political systems throughout the democratic world with lobbying rules in place: Australia, Canada, the EU, Germany, Hungary, Lithuania, Poland, Taiwan, and the US.                                                                                                                                 
        Lobbying is, however, facing a crisis of legitimacy. It is big business, particularly for those representing companies and nations. Even civil society lobbying, once conducted by passionate amateurs, has become a sophisticated industry pursuing an extraordinary range of aims. The sheer numbers of lobbyists and the resources at their command threaten to overwhelm or co-opt politicians and public servants.
           Obama banned on the influence of lobbyists in 2009 themed around changing the Washington establishment. A federal judge upheld the attempt by President Barack Obama to cut down the influence of lobbyists, ruling that Obama was within his authority when he barred them from serving on government boards.
        Lobbying has taken the shape of a lucrative and growing business. Roughly $ 3billion dollars is spent in America yearly on lobbing. Google spent over $9 million on lobbying in 2011 and is on track to spend well over $13 million in 2012. Facebook is also upping its lobbying efforts. In the first two quarters of 2012,Facebook spent $1.6 million on lobbying, significantly more than what it spent on lobbying in all of 2011.
        However besides its negativity, it has positivity too. A United Nations Global Compact report ‘Towards Responsible Lobbying’ published in 2005 highlights its white prospects. The report’s forward says the right to voice our concerns and interests, and thereby influence public policy, is fundamental to democracy.        
       Spheres of influence and action have changed. Now actors from one sector are increasingly involved in areas that were formerly regarded as the preserve of other sectors. The vision of responsible lobbying is visible and legitimate multisector collaboration about how best to achieve the goals society holds in common.
         In today’s inter-dependent global economy, leading companies and other high-profile organizations want to understand and manage a wider range of opportunities, impacts, relationships and risks than ever before.
         It is increasingly recognised that the health of the global economy depends on a foundation of global security, spreading affluence and good governance, and that the private sector’s capacities and creativity can help to achieve these goals.      
        In short, business is becoming an integral part of the governance process at all levels from the local to the global. Increasingly, therefore, companies’ reputations, licence to operate, and ultimately accountability, require them to demonstrate consistency in performance on issues like human rights, environmental impacts and corporate governance. Lobbying is an important component of this accountability and consistency.
       So it is time for lobbying to come out of the shadows, and for companies to take a more responsible approach that is accepted by policy makers, in the attempts of both to contribute positively to sustainable development.      
      Policy makers increasingly accept and often actively solicit the views of business and NGOs in shaping public policy on major economic, social, environmental and ethical challenges worldwide.
      The governments must be open to the positive role of business in public policy, without offering favoured industries or the business community in general, undue influence in relation to other stakeholders. Responsible lobbying will change the jaundiced view of business involvement in public policy. 
      Winning friends and inducing people is part and parcel of democracy. Indian companies – including Reliance Industries, Tata Sons, Ranbaxy and Wipro – have hired lobbyists in the US to influence local politicians on issues ranging from visas to defence deals. Unlike in India, lobbying – persuading legislators and officials to make regulations favouring a particular commercial or political interest – is perfectly legitimate in the US.
       According to US law all organisations that spend more than $11,500 per year on such activities have to file reports with the authorities. Walmart clarified the money was spent within the US, and that none was used in India. But the outcry caused by the revelation has pressurised the government to agree to a judicial probe into the matter.
      This is not the first time that ‘Lobbygate’ has caused a ruckus in India. In 1995 the American power company, Enron, faced flak for spending a substantial sum on the ‘political re-education’ of local legislators to get approval for its ultimately ill-fated Dabhol generating plant. More recently, the so-called Radia-tapes raised the lobbyist bogey.
      India has no lobbying regulations, but it is not illegal either. Well-established Lobbying industry operates in a largely opaque environment. Lobbying industry and outsiders demand to spell out clear laws for the practioners. But it hasn’t happened so far.
       Dilip Cherian, founder of a public relations agency, Perfect Relations, and also a well known lobbyist, describes it differently. He says lobbying is an “iterative” process and lobbyists function as a bridge between companies and the government. “We help our clients in understanding the policy environment of the country.        
          What is the government’s take on lobbying? The Planning Commission of India has set up an expert group to look into the processes that comprise lobbying. Arun Maira, member of Planning Commission, said, “We will be considering various interests of all the stakeholders involved.
         Jug Suraiya writes in his article ‘Divided lobby’ why not make lobbying legal in India, make it transparent and bring it above the table, not below it? Would legalised, and therefore publicly accountable, lobbying add to India’s rampant corruption? Given the scale and scope of graft in India, it seems hardly possible that any measure open to public scrutiny, could add to corruption.
            Indeed camouflaged or disguised lobbying – using money to woo people – is prevalent in India, and it’s not just about the underhand giving and taking of cash bribes. For instance, recently information and broadcasting has spent 1,768.55 crore on advertisements tom-tomming the many ‘achievements’ of the government. What is that but the government lobbying for itself, and using taxpayers’ money to do so?
           Now time is ripe for India to take steps to legalise lobbying by enacting a law or framing some strict guidelines. As Spill over message of this step would be a fight against corruption. Regulation will also help in making lobbying white and legitimate it in the eye of public. It is both and we need to use it for boon.
Heera Lal (Views are personal and based on different resources)



 Ref:
18. http://www.hks.harvard.edu/syllabus/DPI-351M.pdf