In this article about corruption in Indian coal mine bidding, there are serious ethical dilemmas. For Mr. Jayaswal, he had the opportunity to obtain significant allocations of land to develop coal plants that would provide electricity for many Indians. However, the article suggests that he received the land through a lawmaker, Mr. Darda. For the politician, his dilemma is to determine whether he should, alongside his partner, should profit by flipping these lands without significant investment for the Indian people. For both, they can justify that they were merely playing by the rules and laws and technically have done no wrong.
The dilemma consists of several factors. From a capitalist standpoint, this is a very easy and lucrative business opportunity and he has a chance to bring in millions of dollars for himself and other projects he might want to pursue for the future. He also has the chance to work with Indian politicians and further his influence on other issues he might find important. However, he must also deal with the perception of working within a system ripe with corruption, especially as there remains strict regulations on mining permits and the idea that preferred bidders are given favored status. He also has to consider how he now, according to the article, flaunts his wealth and seems to display little plight or sympathy for the average Indian.
Mr. Jeyaswal would say that his moral reasoning is a combination of an individualist and utilitarian view. While there is clear self-interests at play, he will argue that he, and his company, are helping to develop the allocated areas and thus helping all Indians gain access to electricity. He'll justify that his actions helped to further improve life for all Indians.
The title of the article immediately suggests that corruption is present throughout Indian politics despite that the article only focuses on one specific incident. On a larger scale, the continuous revelation of new corruption scandals makes it seem like the pattern won't end. The problem has become ingrained as part of Indian life and those who want to do business in the country will be judged by whom they know rather than the merits of a proposal. However, a new electronic payment program, modeled on successful programs in Brazil and Mexico, shows promise to minimize opportunities for corruption while handing out benefits to people such as students and government employees. If successful, hopefully it leads to tighter restraints on politicians' abilities to benefit from public service while in office and open up more industries to fair competition to improve the lives of everyday Indians.
Sources Used:
Bajaj, Vikas and Jim Yardley. "Scandal Poses a Riddle: Will India Ever Be Able to Tackle Corruption?" New York Times. September 15, 2012. http://www.nytimes.com/2012/09/16/world/asia/scandal-bares-corruption-hampering-indias-growth.html?_r=2&ref=business&.
"Govt for corruption killer e-cash scheme." Indian Express. September 28, 2012. http://www.indianexpress.com/news/govt-for-corruption-killer-ecash-scheme/1009360/0.
Ramachandaran, Shastri. "Indian corruption fight loses momentum." Global Times. September 27, 2012. http://www.globaltimes.cn/content/735803.shtml.
Sunday, September 30, 2012
Saturday, September 22, 2012
Case Study 1: Zara
Zara's strategy to turnover a large quantity of styles highlights how classical management approaches can blend with new technology for profitable results. By streamlining the design and production process and assigning each segment of the supply chain a particular task, the store is able to cycle through styles rapidly and continuously offer new products. It utilizes technology to assess inventory, detail store plans to managers, and get products to most locations within three days. The company successfully utilizes its vertically integrated companies to create and transport its products worldwide in only a few days.
Its strategy would falter quickly without the ability to adapt operations swiftly. The company is an expert in inventory levels, a key component of fast fashion. Its recent financial results indicate that the company is effective both in workflow designs and product management. This extends into the store design, which encourages shoppers not to wait on making a purchase as employees place new items on the sales floor very quickly after receiving them in original shipping hangars. The entire process emphasizes speed and style.
Without highly developed systems and ongoing contingency thinking, Zara would be unable to develop such a high quality product cycle process. It needs to have a highly sophisticated technical and aesthetic systems process to prepare and develop new products quickly. As this Forbes article points out, the company's ability to streamline manufacturing with design allows it to attract and keep customers who return to the store frequently for unique items. It also carefully monitors product sales to determine which items shoppers are choosing in each location and either refill popular items or replenish the store with fresh products. The company can easily maintain proper inventory levels without resorting to sales and clearance specials. It also minimizes advertising expenses as customers will return frequently to view new products.
The company still performs quite well but there remain substantial risks. While centralizing operations can save significant money, it is also prone to a single event, such as a fire or political unrest in Spain, that can wipe out a major portion of its production line. There are also risks in expanding so quickly, as certain markets may not be adequately prepared for fast fashion and over-saturation can remove the novelty of the store, especially in foreign markets. In addition, new competition and local economic struggles can reduce overall sales and force the company to slash prices in places where redistribution is difficult. With further development and contingency planning, there is no reason to think that Zara's growth cannot continue.
Articles Cited:
Denning, Steve. "When Will US Firms Become Agile? Part 2: Internal Agility at Zara." Forbes. September 20, 2012. http://www.forbes.com/sites/stevedenning/2012/09/20/when-will-us-firms-become-agile-part-2-internal-agility-at-zara/.
Xiaoxiao, Kang. "Zara reduces price for the first time in China: 34% down in Beijing." Morningwhistle.com. September 21, 2012. http://www.morningwhistle.com/html/2012/Company_Industry_0921/214186.html.
Its strategy would falter quickly without the ability to adapt operations swiftly. The company is an expert in inventory levels, a key component of fast fashion. Its recent financial results indicate that the company is effective both in workflow designs and product management. This extends into the store design, which encourages shoppers not to wait on making a purchase as employees place new items on the sales floor very quickly after receiving them in original shipping hangars. The entire process emphasizes speed and style.
Without highly developed systems and ongoing contingency thinking, Zara would be unable to develop such a high quality product cycle process. It needs to have a highly sophisticated technical and aesthetic systems process to prepare and develop new products quickly. As this Forbes article points out, the company's ability to streamline manufacturing with design allows it to attract and keep customers who return to the store frequently for unique items. It also carefully monitors product sales to determine which items shoppers are choosing in each location and either refill popular items or replenish the store with fresh products. The company can easily maintain proper inventory levels without resorting to sales and clearance specials. It also minimizes advertising expenses as customers will return frequently to view new products.
The company still performs quite well but there remain substantial risks. While centralizing operations can save significant money, it is also prone to a single event, such as a fire or political unrest in Spain, that can wipe out a major portion of its production line. There are also risks in expanding so quickly, as certain markets may not be adequately prepared for fast fashion and over-saturation can remove the novelty of the store, especially in foreign markets. In addition, new competition and local economic struggles can reduce overall sales and force the company to slash prices in places where redistribution is difficult. With further development and contingency planning, there is no reason to think that Zara's growth cannot continue.
Articles Cited:
Denning, Steve. "When Will US Firms Become Agile? Part 2: Internal Agility at Zara." Forbes. September 20, 2012. http://www.forbes.com/sites/stevedenning/2012/09/20/when-will-us-firms-become-agile-part-2-internal-agility-at-zara/.
Xiaoxiao, Kang. "Zara reduces price for the first time in China: 34% down in Beijing." Morningwhistle.com. September 21, 2012. http://www.morningwhistle.com/html/2012/Company_Industry_0921/214186.html.
Subscribe to:
Posts (Atom)