Evolution of Information Technology and Its Emergence in...

Evolution of Information Technology and its Emergence in India ITM-IB PP6 EXECUTIVE SUMMARY Information Technology today is what runs businesses worldwide. It is what drives the industries and is an irreplaceable element of our routine lives. But where did it all begin? Why has it gained so much importance over time, so much so that we study an entire subject on it? Through this paper we have traced the path of evolution of IT from its nascent stages, globally as well as from the Indian perspective. We have tried to take into account the tremendous growth of the IT sector in India and single out the advantages faced by the Indian IT sector. We have also looked into the performance of the Indian IT industry and its†¦show more content†¦The margins of these IT service players are very high and their growth rate has been envied by other sectors. According to a Nasscom forecast, there will be 21-24 % growth rate in software and services revenue in this financial year. Soon our software exports will touch the magical figure of $50 billion. The software and services exports segment grew by 29 % to register revenues of $40.4 billion this year from $31.4 billion in last year. So from statistics point of view, everything is fine for this industry. It will employ 4 million people in 2008 and account for 7% of gross domestic product and 33% of India’s foreign-exchange inflows, says the Nasscom report. However, there are quite some challenges which the IT industry faces. i.) Resource retention - Indian IT sector has become an HR manager’s nightmare. Their biggest challenge is marinating good people in organisation and keeping the attrition rate in control. ii.) Lack of trained people- The supply and demand of quality engineers who are capable of working in the IT field is having a huge gap. Companies have started looking for additional options of hiring science graduates and providing them adequate training to enable them to work in IT sector, but still the quality of talent is declining which in turn means lack of quality in work. iii.) US slowdown - Most of the revenue of IT and ITes ccompanies comes from US. A slowdown in US would impact their growth andShow MoreRelatedThe Transformation Of Domestic Companies Into Transnational Company1457 Words   |  6 Pages1. INTRODUCTION Liberalization of capital, goods, services, information and people has unprecedentedly and irrevocably transformed the world economic systems named â€Å"globalization† particularly aftermath Second World War. 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The changing RetailRead MoreE Commerce And The Internet Essay1842 Words   |  8 Pagesprocess of execution of commercial transactions electronically with the help of the leading technologies such as Electronic Data Interchange (EDI) and Electronic Funds Transfer (EFT) which gave an opportunity for users to exchange business information and do electronic transactions. Electronic commerce is a term for any type of business, or commercial transaction that involves the transfer of information across the Internet. It covers a range of different types of businesses, from consumer basedRead MoreRelationship Marketing Approach and Strategiesin Retailing3357 Words   |  14 Pagesrelationship marketing literature and considering its application to the retail industry. This paper shows how the relationship marketing principle underpins the implementation of retailing strategies. Keywords: Retailing, Relationship Marketing, Evolution, Application, Strategies. INTRODUCTION The retail industry is generally a very dynamic, fast changing sector. It constitutes one of the main sectors in the economy, in terms of transactions and turnover; as a consequence, it is a highlyRead MoreEmerging Trends in Entrepreneurship4541 Words   |  19 PagesResponsibility (CSR) as some people would want us to believe, it is a conscious effort to contribute to a Social cause and the business enterprise is merely a medium for achieving the end results. Early beginnings The story of the entrepreneurship in India is full of ups and downs. During the pre British and British era, the entrepreneur was seen more as a broker or money lender, bound by caste affiliations, religious, cultural and social forces right from the philosophy of dharma down to the joint family

Globalization Is A Positive Way Or Negative Way - 1034 Words

Sharyu Bharat Jakhariya JAKSC1402 POLS1040 Mr. Emmanuel Goffi 3rd Dec 2015 Essay on Has Globalization Changed Global Politics in a Positive Way or a Negative way Globalization- Positive or Negative Globalization is one of the 21st century’s most important politics topic. I have heard the term globalization in my economics lecture and in political debates. Some of my friends argued when I asked them if globalization is changed global politics in a positive way or negative way. Some of them argued saying that globalization is a positive development as it gives rise to new industries and more job opportunities in developing countries, to which I agreed to. As the world grows more connected through the internet and greater international trade, globalization is becoming more important and more controversial. Controversial in the sense that the developing countries of the world will do whatever the developed countries will tell them to do, without thinking if it is going to result into a good thing or a bad thing. It is easy to assume that globalization is an entirely modern phenomenon driven by inventions like the telegraph or the internet. In many ways, globalization has been taking place for centuries like outsourcing most manufacturing jobs in the developed countries, involving Canada and obtaining goods from outside sources which are the developing countries. Which is a good thing for the developing countries as they are getting moreShow MoreRelatedThe Positive and Negative Effects of Globalization1570 Words   |  7 PagesThe Positive and Negative Effects of Globalization Is Globalization ultimately positive or negative, or somewhere in between? I believe it depends on who you ask the question, and how it affects their life. 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Contribution Margin and Break Even Analysis Free Essays

Many factors come into play in determining business success. One of them is the financial factor. For a company to set financial goals it is crucial that its management know in detail the products or services they sale or provide. We will write a custom essay sample on Contribution Margin and Break Even Analysis or any similar topic only for you Order Now This is the analysis of two different scenarios at Aunt Connie’s Cookies Simulation (University of Phoenix, 2011) and the financial performance of Jamestown Electric Supply Company (Heiter, et. al. 2008). During both analysis I applied concepts like fixed and variable costs, contribution margin, break-even point, indifference point, and operating leverage. Aunt Connie’s Cookies Scenario Simulation  The Aunt Connie’s brand grew successfully producing Lemon Creme and Mint cookies. Maria Villanueva is the current chief executive officer of this family-owned company (University of Phoenix, 2011). She faces critical decisions to make because both the lemon creme and mint cookies prices increased and sales volume decreased. Maria should apply several accounting concepts to reach her goal of increasing sales and revenue for the company. Some opportunities and challenges lined up for Aunt Connie’s Cookies like large bulk orders and the buyout of a competitor’s factory (University of Phoenix, 2011). A confectioner commissioned Aunt Connie’s Cookies to fill a bulk order of one million packages of the Real Mint cookies delivered in one month’s time. The stipulations of the order weights greatly on the company as the confectioner will only pay $1. 20 per package, which is much cheaper than the mass market selling at $1. 50 per packet. Rejecting the order may seem foolish as Aunt Connie’s Cookies has the capacity to produce the order, and could be missing out on a good opportunity if she declines to fill the order (University of Phoenix, 2011). In deciding which cookie’s production to reduce, Maria took into account the concepts of contribution margin, unit contribution margin, and operating profits. This decision was necessary to create sufficient capacity to accommodate the mint cookies bulk order. The contribution margin is the amount of money that remians from the revenue obtained after sales to pay for fixed expenses and to contribute to the operating profits after deducting variable expenses. Alternatively, the unit contribution margin of each unit sales, in this case each pack of cookies adds to profit. Finally, operating profit is the profit earned from a company’s core business operations, also known as earnings before interest and tax (EBIT). Maria calculated the contribution margin and the unit contribution margin for each type of cookie, determined to reduce the production of lemon creme cookies and to increase the production capacity for the bulk order of real mint cookies. Maria can sell mint cookies at $1. 20 per package, below the selling price of $1. 50 because the real mint cookies provide a greater total contribution margin and that the lemon cream cookies provides a greater unit contribution margin. Maria knew that Aunt Connie’s Cookies should produce more of the cookies with the greater contribution margin per unit to maximize the shop’s operating profit. If the scenario changed, and the bulk order was for lemon cookies, Maria would have to turn over the order to the confectioner. The unit contribution margin for the lemon cookies is smaller and Maria would have to increase the production capacity to make the same operating profit as for the mint cookies, to the point of going beyond the factory’s production capacity. Maria faced the opportunity to buy a peanut butter cookie plant. She could use this plant to make more lemon creme cookies because the near-term demand exceeded 600,000 packs. The challenge for Maria is to make a decision about going forward or not with this business (University of Phoenix, 2011). If the new plant has a break-even volume of creme cookies of 650,000 packs, Maria must ensure that Aunt Connie’s Cookie shop sales the same amount of packs or more. If the business sales less, it will make a loss, if it sells more, it will be a profit. The break-even point in volume is the point where the plant’s fixed expenses are covered. In the case that Maria considers Aunt Connie’s Cookie shop cannot sell that much, she may ensure viability of the plant by (1) trying to reduce the fixed costs (e. g. renegotiating rent, reducing telephone bills, insurance, etc. ), (2) trying to reduce variable costs (e. g. purchasing at lower cost the ingredients used to make cookies), or (3) increasing the selling price of the cookies. Any of these strategies can reduce the break-even point in volume. In the worst of the scenarios, Maria should not buy the peanut butter cookie plant. Key Learning Points. During the simulation I applied several concepts such as contribution margin, break-even point, fixed and variable costs, indifference point, and operating leverage. All these concepts interrelate and form part of the cost volume profit analysis tool. The application of these concepts by managers help organizations attain good financial performance. Cost volume profit analysis (CVP analysis) is a powerful tool that can help managers in understanding better the relationship that exists among the cost, the volume, and the profit in a business. Managers can make good business decision if they concentrate in trying to understand the interaction that exists among (1) the prices of product or services, (2) the level of activity, (3) the volume of product , (4) the variable cost per unit, (4) the total fixed costs and (5) and the mixture of the product or services. Business decision may be about changes to company’s pricing policy, selection of a marketing strategy to use, choosing which products to manufacture or services to provide, and even about the acquision of new companies. The break-even point (BEP) is one element of CVP analysis. BEP is the level of output at which the profit is zero. Break even analysis helps managers determine how far sales can decline before their companies start to lose money. The indifference point is the volume at which costs for both labor-intensive operations and equipment intensive operations are equal. When volumes increase, revenues increase. However, the presence of lower variable costs per unit in equipment-intensive operations ensures that the operating profits increase more significantly when compared to labor-intensive operations. Equipment-intensive operations have higher fixed costs and lower variable costs per until when compared to labor -intensive operations. Jamestown Electric Supply Company. Jamestown Electric Supply Company has been in business for 45 years. The company designs, manufactures, and delivers electrical supplies in various forms to different type of businesses. Jamestown invested heavily in research and development of automotive electronic technology to provide its customers with modern functionality, safety, and performance. Jamestown products have outstanding features that create competitive advantage to commodities that customers regard as standard features on all automobiles. Jamestown has hundreds of diverse contracts with different divisions and plants of each of the major automobile manufacturers. Most of the contracts show good gross profit margin on sales, but others do not show acceptable bottom-line profits or show no profit. Although Jamestown’s sales, continue to rise, profit declined in the period under analysis from 2003 to 2007 as showed on Exhibit One. Jamestown top managers believe that if sales growth remained positive, the problems with the profit would resolve. Warehousing and shipping managers think that customer service expenses are out of control and causing significant cost increases for the company. Jamestown customer services include overnight delivery of electronic component products, just-in-time inventory deliveries to client’s plants, warehousing of client parts, special part support services, and many other customer services designed to gain and maintain clients. Exhibit One. Jamestown Electric Supply Company Income Statements for 2003 to 2007. Electric Supply Company financial performance is in jeopardy and top management have to change its customer service policy and marketing strategy after carefully analyzing the information obtained after performing a CVP analysis. The focus of the analysis should be in understanding the relationship between product price, volume, per unit variable cost, and the mix of products sold by Jamestown Electric. Calculating the contribution margin on the products which Jamestown Electric sales will allow management to know more in detail how much each unit sale will contribute to the company profit. Calculating the break-even point will provide information about which products do not bring either profit or loss, and about how far sales can decrease before Jamestown Electric starts to lose money. James Electric product cost structure has a higher percentage of variable costs than in fixed costs, which involves less operating leverage or risk. One of he options management should consider is to closely monitor the variable expenses incurred by customer service in order to increase the company profits. Jamestown Electrical Supply Company management will definitely benefit from setting a regular schedule to analyze contribution margins either monthly or quarterly to track product margin performance more accurately. Conclusion Managers can help their organizations achieve a good financial performance when they apply basic accounting concepts in their business strategic plans. Knowing the existing relationship between these concepts contribute to ensure their organization’s financial success. How to cite Contribution Margin and Break Even Analysis, Essay examples

Cultural Shock Lack of Awareness about the Foreign Culture free essay sample

Culture could be known as a learned norm based on values, attitudes and beliefs of a group of people, and it is learned, shared, transmitted from one generation to another. The scholar Geert Hofstede and defined culture as the collective programming of human mind that distinguishes the members of one human group from those of another. CITATION Hof l 1033 (Hofstede, n.d. ) The scholar Hofstede has looked through a different aspect to define the term culture. However, the scholar Campbell has defined culture as a complex web of information that a person learns and which guides each persons actions, experiences, and perceptions. CITATION Cam l 1033 (Campbell, n.d.)Most significant fact about culture of a group of people is that it is most often unique from another culture of another group of people. Culture will influence people to behave in a certain way which affects immensely in a business context. Because if the product or service which the business produces are against the cultural values, the demand of the product or service in the subject culture will tend to decrease. In order to be a successful business in a new culture, the business should be able to adapt to the new culture. The movie Outsourced which was directed by John Jeffcoat depicts the challenges faced by the character Todd (Josh Hamilton) when he runs the operations of a call-centre in a foreign culture.The cultures of India and USA differ from one another. Indian cultural values are a lot similar to most of the Asian countries like; Sri Lanka, Pakistan, and Bangladesh etc. They tend to have a collectivist and masculine cultures. On the other hand, American cultural values are more individualistic but also a masculine culture. Both of the countries are driven by success and competition. Hence, they are masculine. The differences between the cultures of India and America have made the character Todd falls down in cultural shock. The term cultural shock could be defined as a state of anxiety and frustration resulting from the immersion in a culture distinctly different from ones own.The term basically means the feeling of confusion and distress experienced by a person who is exposed to a foreign culture. This was shown mentally as well as physically from Todd from the moment he stepped on to India. Everything about India was new to Todd. From the moment, he first stepped in to India, he had difficulties. The language, transportation, food etc. This was mainly because of the cultural shock and that made Todd feel stressed, disoriented and discouraged. First, how the pick-up driver misspelled his name has led him to hire a taxi for himself and get to his destination, Gharapuri. Next, being invited by many taxi drivers and facing an uncomfortable situation. However, when he chooses the taxi, it turns out not to be taxi that he wanted to get in has also increased the shock and the confusion hes facing in this foreign culture. Finally, the moment where Todd had to chase the train and jumped in to the train and he was offered a seat by a little boy but the little boy then sat on Todds leg makes him more uncomfortable. The above-mentioned situations reflect the cultural shock that Todd was facing when he came to India. When Todd started the operations on the call centre at Gharapuri, he faced a lot challenges because of the cultural differences of the employees that had to work with. Main issue he had to face was the accent of these employees which was a lot different to the American accent. Since American citizens were against the concept of outsourcing Todd had to ask these employees to deceive the customers by saying the call centre is situated in Chicago. For this, he had to make the accents of these employees to be more like the accents of the American customers. Todd advised them to listen carefully how the customers pronounce words and learn from them to learn about America. Todd had small sessions after work for the employees to improve their accents to be more alike the American accent. Even though, majority of the employees didnt have a problem with this situation the character Asha was against of deceiving the customers by lying to them about the location. This was another additional challenge that Todd had to face in the call centre.The main target Todd was given is to reduce the average talk time per customer to 6 minutes. When Todd started the operations, the average time was more than 12 minutes, he had to achieve the objective of reducing it into 6 minutes in order to go back to his home country, USA. Todd was pretty upset about how the operations were going since the average time was more than 12 minutes. He yelled at Purohit (Puro) about the operations. But what Todd didnt know was it was 14 minutes before Todd had arrived. Todd didnt appreciate what Puro had done but instead he just yelled at him for whats happening currently. This would de-motivate the employee but as a solution what Todd implied was, he pushed Puro to achieve the target by mentioning his life goals that he wanted to achieve by getting the new job as the manager of the call center.Since the cultural differences of these two countries, Todd had to explain some of these items that they are selling. As a manager which supervises employees of a different country, its very important for the manager to be well aware of the culture of the employees. However, in this situation Todd was not aware of the cultural values of this foreign country, he only had the idea that it was completely different from his home culture. So, when he was explaining some of these products that they are selling it shocked some of the employees. Cow is considered to be a sacred animal in India because they believe that cow is the gods animal. Todd had to explain a product that they were selling which is been used to stamp the owners name into the cow. It is hard for an employee to promote and sell products that are against your personal and cultural values. In this case, Todd wasnt aware of the cultural values of the country and it was suggested to Todd by Asha that he should be aware of the cultural values of the country.This movie could be further analyzed according to the cultural dimensions which were introduced by the scholar Hofstede. Hofstede described cultural dimensions in mainly four contexts, which are power distance, uncertainty avoidance, individualism/collectivism and masculinity/femininity.First, the masculinity and femininity dimension focuses on how extent to which society stress achievement or nurture. As mentioned above, both India and USA have masculine cultures. Both the countries prefer men in leadership roles and women as inferior. CITATION Wor16 l 1033 (WordPress, 2016) However, it should be mentioned that comparatively Indian women are treated more inferior than the American women. Women in western countries most often encourage the women to get education and work later in their lives. It is not the same with Indian women. They are expected to wives that look after their children and household work, they are expected not to work nor to get education. This was depicted in the movie where Todd was given Asha responsibility to carry on the operations and Puro was doubting that Asha could do it CITATION Joh06 l 1033 m Joh06 (Outsourced, 2006) . It depicts that Indian culture often believe that its mens role to be the leader and not women.Individualism and collectivism is another dimension Hofstede explained which could relate to this movie. This dimension basically could be described as the degree of interdependence a society maintains among its members. CITATION Wor16 l 1033 (WordPress, 2016) America is a country which is more towards individualism. For an example, the superiors of Todds company were not concerned about the loss of worker jobs their main focus was to maximize their profits by shifting the call center to a place where it would cost them the least. On the other hand, India is more of a collective culture. One of the most interesting part was how Todd learnt to give the leftover food to the disadvantaged Indian families on the other side of the wall. This depicts interdependency as well as the how the collective culture is comparatively morally better.Power distance represents the degree of power each person exerts or can exert over other persons. CITATION Wor16 l 1033 (WordPress, 2016) The term power can be basically defined as a persons ability to influence another persons ideas and behavior. From the start, the power distance dimension was depicted since its a movie mainly related to a work place. Authorities that was possessed by the superiors use them to influence the employees in a work place context. For an example when Todds manager first asked Todd to take operations in India he did not want to move, he was trying to negotiate with the manager. However, with the power the manager possessed he forced Todd to move there and take control over the operations.Uncertainty avoidance is the extent to which people feel threatened by ambiguous situations and have created beliefs and institutions that try to avoid such situations. This was directly depicted in the movie when Todd announced the Indian employees that their jobs were going to outsourced to China. CITATION Joh06 l 1033 (Outsourced, 2006) Surprisingly, after hearing the bad news employees were not upset but happy because of the extra pay and the vacation they got. The employees believed that the god had brought an end in order to create room for a new beginning. The movie depicts the belief system that this foreign culture used as the mechanism to cope up with these uncertainties they face.From the day Todd stepped into India he faced lots of challenges but the main challenge he got was to reduce the average talk time per customer to under 6 minutes. By the time he first visited the call center, it was an impossible task. It was more than 12 minutes at the beginning. Todd wanted results in order to get back to his home country. Todd tried to teach new words to the employees, tried to improve their accents but nothing seemed to work until the suggestion was brought to him by Asha. Asha taught Todd a very valuable lesson of how to make the operations of the call center more efficient by giving help for those who needed and also making the employees feel part of the team. In order to achieve these objectives, Todd followed several steps. One is, he admitted to the staff that he was wrong by trying to the operations like an American company. As a good leader, he got suggestions from the employees to make their workday more positive experience. Allowing to wear any clothes that they want, allowing to bring them anything that they want to keep with them at work hours (allowing Sanjeev to bring his family pictures to keep on his desk) are some of the steps Todd took. From a question arose while these suggestions were brought up, Todd realized that he found a new market for the products that their company is selli ng. Employee motivation is crucial for the success of a business organization. Mainly because if the employees of an organization are demotivated or dissatisfied with their work itll directly affect the success of the subject organization. After discovering the high demand for the products that the company sells, Todd informed the employees that whoever improves their average talk time per customer in a given day the employee gets the chance to pick a product from the most popular products in their catalog. This depicts how Todd had the presence of mind and how he got the advantage of the discovery.Todd was able to get results in a quick time by letting them feel more comfortable in their workplace. But average time was yet to be reduced by more than 1 minute. Todd further had sessions to the operators and taught them the little tricks that would help them to reduce the talk times. For an example, Todd taught about the reductions which the Americans use in their sentences. Also, he was much more aware of the culture than before. In one of those sessions, Todd even danced into an Indian song. He was able to maintain a closer relationship with their employees which would help Todd to reach his final objective.Finally, after taking all the actions Todd was able to reduce the average talk time to 6 minutes. However, when Todds manager visited the office was filled with water and operations was paused and the talk time has again gone to more than 12 minutes. Todd didnt stop, he suggested to carry on the operations on the roof stop. Todds manager thought it was an impossible task. But it should be mentioned that it would seem difficult for the manager because of the cultural differences of the two countries. Indian collective culture would assist this kind of a scenario better than the American individualistic culture. To be well aware of that difference depicts how Todd has improved his knowledge about this foreign culture has helped him to get the maximum advantage from the knowledge. References BIBLIOGRAPHY Campbell, n.d. [Online] Available at: http://writingpad. org/?tag=culture-defined-by-various-authorsHofstede, G., n.d. [Online] Available at: http://writingpad.org/?tag=culture-defined-by-various-authorsOberg, K., n.d. [Online].Outsourced. 2006. [Film] Directed by John Jeffcoat. s.l.: s. n.WordPress, 2016. [Online] Available at: https://h00251921.wordpress.com/2016/03/12/culture-clash-2/