Tuesday, January 15, 2008

E-Governance - Egad!

Class today was about e-governance. Again, the professor spent a good deal of time explaining to us the basics, what e-governance is. As time passed he did a high level review of the broad plan that India has for establishing good and effective e-governance. It is a pie in the sky kind of plan. It has many noble tenets and idealized goals in it, such as, envisaging the SMART concept (simple, moral, accountable, responsible, and transparent), but fails to provide an execution plan to actually get any of the plan accomplished. Given the basic infrastructure problems within India, like the fact that the electricity drops off without notice several times a day, it seems unfathomable that a grandiose plan such as theirs can be pulled off. There are too many people without the basic necessities of life - no shoes, no homes, no money, no jobs, we are talking hundreds of millions of people. The elite few who are educated and have access to money and power are out of touch with the reality of the majority. The majority, I am sure, could care less about e-governance and the government's plans. They would just like to have clean drinking water, a toilet that flushes, and a roof, instead of a tarp, over their heads. Give the people that, and then maybe India will stand a chance in becoming a global economic force with which to contend.

Tonight was our going away dinner at the Metropole hotel. Everyone dressed in their finest. The women in the sarees they had made while here, and the men their new handtailored suits. Everyone looked terrific. The meal was very good, but I am sooo tired of Indian food. What they consider delicacies and favorites are not what I would choose. One of their favorite desserts is made with shredded carrots and sweetened condensed milk (I think). If it weren't so overly sweet, it might actually be good, but instead, it makes my teeth melt.

The professors, Mr. Dwarakanath, and Ramesh were all there. They presented us with a group picture as a momento and a SMD-IMD jacket as a going away gift. It was a wonderful evening and a grand way to end our stay.

Back at the hotel, a bunch of us gathered in the conference room and played Apples to Apples. It was a blast, and was a nice final touch to have so much fun with a great group of people before leaving Mysore.

Monday, January 14, 2008

What a Gem!

Today's class focused on branding. As have many of the professors in this program, today's professor spent a good portion of his time reviewing basic concepts of his subject. Did someone forget to tell these people that we are graduate students? It makes me wonder at what level their own students really are, if the professors are inclined to teach basics instead of more complex theory and case analysis at the graduate level. As time passed the prof did eventually get to information specifically about branding within India and internationally. This was interesting, but there was too little information given to take away a solid understanding of international branding. The concepts he did present were basically just extensions of branding being used at international level, nothing new here.

We had the afternoon off. This gave us a chance to get caught up on errands - like shopping! Mr. Dwarakanth had offered to come with me and some others to shop for fine jewelry. While I had picked out several pieces at a store next to our hotel, he had a shop that he wanted us to visit first. We went, they had poorer quality stones and less selection, but, of course, the prices were lower. After passing on anything at that shop, we went to the one where I had been previously. They saw me coming in the door and jumped into action. I asked the salesperson what discount I would get for purchasing my four favorite pieces. He quoted an amount that was not as good as the last time I was in, so I told him the price wasn't as good and got up and left! I was so abrupt that I think he was shocked. I know my compadres were. By this time Mr. Dwarakanth had left and we went to another part of the store where I haggled on a carpet that we were purchasing as a gift for Mr. Dwarakanath. Long story short - got a good deal on the carpet, went back and bought the jewelry, but only after getting a 40% discount.

I noticed that the salesmen in the different parts of the store use alot of the same lines when trying to sell something. Given that this particular store has about a hundred locations I wondered if they provide sales training. If they do, it is not training that emphasizes needs analysis of the customer, but rather, sell whatever you can for as much as possible, and say whatever it takes to do so.

Sunday, January 13, 2008

What, Another Temple?

Over the weekend we did lots of sightseeing. We saw several temples. Unfortunately, they all look alike. Hence, the weekend is kind of a blur. We were exhausted by the time we got back to our hotel Saturday night. Sunday morning only about half of the students showed up for the planned sightseeing. Although we went to another temple, this one was a little more interesting because it had color. It also was set high up on a hill with a beautiful view of the surrounding area.

From there we went to see the waterfall that is supposed to be comparable to Niagara Falls - NOT! The postcard I had seen of it had made me really excited about going to see it. But, it turns out the picture was taken during monsoon season when there is lots of water going over the falls. Today there was barely a trickle.

One of the things I noticed while we were driving in the country were several wind turbines off in the distance. I thought, okay, here is an example of the world going flat out in the middle of nowhere. I wondered how they even knew these are available, how they made contact with the suppliers, whether they were made in India or some other country, and why they were here versus other areas we had driven through. With the amount of smog we have encountered on this trip, it is apparent that India desperately needs to do something about cleaning up its air supply. Contributors to the air quality problems don't only come from industry and autos, as the majority of people don't even own vehicles, but from burning garbage and cowpies in people's homes. If they can generate electricity or energy by way of wind turbines and eliminate the need to burn some fossil fuels, garbage, and cow pooh, it could greatly improve the air quality - and probably reduce respiratory problems for the people.

Saturday, January 12, 2008

The Talent Show That Wasn't

Last night the students at SMD put on a talent show for us. We found out two days earlier that we were expected to participate by performing. Of course, none of us were prepared to do so and had no instruments or other needed items with us. So we begged out of performing.

The show started out with an invocation, another example of how the Hindu religion is pervasive throughout their society. There were several traditional dances performed in colorful costumes. One dance in particular was supposed to be highly sensual. I couldn't figure out what was sensual about it, but then I saw it - a wardrobe malfunction! One of the women's bell laden ankle bracelets came off, showing her entire ankle. For shame!

The highlights of the show were the shopping race and Rajiv's lecture. The shopping race involved 5 American students, of which I was one, having to go up on stage. We then were told to each pick a color. Then we had to run out into the audience and find items in those colors, and we couldn't get them from our friends. It was loud and fun. The audience then voted on whose items best fit the color and who would win. I had two items that were red, and on the first go around convinced the audience to vote that the red hat was actually green, but when it came down to the final vote, they decided it was red, not green.

Rajiv's lecture involved him having to argue for or against a position, and switching his position based on what number the emcee called out. The first issue was "that size really does matter" and the second issue was "that Superman should wear his underwear inside or outside of his tights." We laughed hysterically, and Rajiv played along in great spirits. What a riot. Who knew that Indians had such great senses of humor.

Friday, January 11, 2008

Infosys = Info-nothing

I had expected our visit to the Infosys campus to be one of the highlights of the trip. It was not. While the other companies we have visited showed us great hospitality and provided us with insights about their companies, Infosys did not. The campus, itself, is impressive, with its swimming pool, movie theatre, bowling alley, etc. The afternoon started off with a short propaganda film about the company that really didn't tell us anything about what they do or how they do it. Within five minutes of being seated, I knew this was going to be a waste of time. The company spokesperson has only been with Infosys for two years, and before that he was in the military for decades, so how they could expect him to be well informed about business and competition is beyond me. And it was evident that he was naive in the business world when he was asked who the company's primary competitors are, and he stated arrogantly that they didn't believe they had any competition. Oh brother! That is the first sign of someone not knowing what they are talking about and not knowing the industry. It is also a good way for companies to get bitten in the ass, because they are so arrogant about their success, they forget that there are competitors out there that are plotting to overthrow them in the marketplace.

He kept talking about the company core values and how everyone that works there really lives by them, but again, when asked to explain what they are, he either blew off the question or refused to answer it. I was so disenchanted I didn't ask a single question. And for me, that is not normal!

I believe he said they currently have 85,000 employees and do about $3 billion a year in business. These numbers don't impress me. In comparison, the company I work for does about the same amount of business with only 15,000 employees. To me it says that Infosys is highly inefficient in managing its operating costs. And even though the costs of labor are very low in India, the company could be more profitable if it were run more efficiently. He also stated that they are going to hire 30,000 people over the next year. You have got to be kidding me. Maybe that is why they are hiring military people to manage parts of the company - because they need people that can run the show inefficiently and won't take any guff from disgruntled employees.

I had hoped we would learn how the company got its start and was able to break into the global marketplace so successfully. None of that was shared with us. I know that the world going flat is what made it possible for Infosys to become a powerhouse, but the company reminds me of companies after World War II, that were growing quickly, for which employees had to sacrifice their personal beliefs and values in order to catch a ride on board the success train. History repeats itself.

Thursday, January 10, 2008

L & T are MVPs

Our site visit today was at Larsen & Toubro Limited. As we were driving to their facility, and got closer to it, I noticed that the road improved. There also were people walking along it that were fairly well dressed - and they all had shoes on. When we pulled into the parking lot there were more cars and motorcycles than I had seen at other facilities. Across the street was the massive Infosys campus, which we will be visiting later during the trip. We were warmly greeted. And the General Manager of the site spent a great deal of time with us. He was also more frank about the problems that India faces and willing to talk about the changes that need to be made. I think that if India has more leaders like him in the leadership pipeline it will continue down this progressive path of global commerce. The tour was especially interesting to me because this facility designs and tests cardiac monitoring devices under their own name, which is equipment that I sold in a past career. In talking with some of the management I found out that they are very familiar with two of the companies for which I used to work.

This company is a fantastic example of how the world has gone flat and exemplifies many of Friedman's flatteners. The company's home page makes this evident:

"Larsen & Toubro Limited (L&T) is a technology, engineering, construction and manufacturing company. It is one of the largest and most respected companies in India's private sector. Seven decades of a strong, customer-focused approach and the continuous quest for world-class quality have enabled it to attain and sustain leadership in all its major lines of business. L&T has an international presence, with a global spread of offices. A thrust on international business has seen overseas earnings grow significantly. It continues to grow its overseas manufacturing footprint, with facilities in China and the Gulf region. The company's businesses are supported by a wide marketing and distribution network, and have established a reputation for strong customer support."

The company has gone beyond just the technological challenges and opportunities of a global economy, but is also committed to social issues:

"L&T believes that progress must be achieved in harmony with the environment. A commitment to community welfare and environmental protection are an integral part of the corporate vision."


If there are more companies such as Larsen & Toubro participating in the Indian economy, the U.S. had better get busy, because in twenty to forty years India could rule the world economy. And if the U.S. stands still for too long India will also rule the world in terms of global power.

Wednesday, January 9, 2008

From One Extreme to Another

This morning we had the pleasure of touring both a sandalwood factory and a silk factory. These two facilities were complete opposites of the AT&S and TVS factories. While TVS and AT&S were prime examples of supply chain management, TQM, and the use of technology in manufacturing, the two factories we visited today had manufacturing processes that were highly manual, labor intensive, and seemingly out of date. The wood splicer and wood chipper in the sandalwood factory are both belt driven. These factories were not clean either. It is a wonder that the silk comes out of production clean, rather than soiled or stained. The only hint of Friedman's ten flatteners was in one small corner of the silk factory, where one or two machines use CAD for the most intricate designs and expensive fabrics, costing upwards of 50,000 rupies for a sari (about $1300). Both of the facilities are government run. Given the inefficiencies of the court system, and the unclean and poorly maintained buildings we saw at the government center, it makes perfect sense that these factories are out of date and in disrepair.

An interesting point is that all the sandalwood trees in the country are owned by the government. This includes those in the forest, as well as those that are on private property. The state has the right to go onto a person's property and tag each sandalwood tree. When the tree is mature, in 30-50 years, the government can come onto a person's property and harvest it. The government does provide a small subsidy when this is done, but it is small in comparison to the money that the government reaps for the sale of sandalwood oil and other products. One of the factors necessary for going global successfully, as discussed in our textbook, is the institutionalization of property rights. Clearly this concept is not being applied with regard to an individual's rights to grow and own sandalwood trees.

Right now there is a shortage of sandalwood and the price is predicted to double within the next few months. Because government has control over this natural resource, it can control the production. Right now production is shut down because of the scarcity of raw materials. A small 5 gram bottle of sandalwood oil, less than 1/5 of an ounce, cost me 650 rupees, equivalent to about $17. Since the government can control production, why haven't they planned for a constant supply by planting more trees throughout the forest, or encouraged people to grow tree farms? Doing so would enable them to continue to generate income from this valuable commodity, rather than having to shut down production.

Tuesday, January 8, 2008

The Flatteners Get Blown Wide Open

This morning we had off, so, of course, I went shopping with some of the women. Last night a few of the youngins found a store that is a government store (we think), where the prices are set and no negotiating is allowed. And it is a bonanza for finding whadja's for friends and family (that is, "what did ya bring me?"). I browsed through it and found several things I will be buying before I go home, including jewelry!


This afternoon we had a tour of AT&S, a printed circuit board manufacturer. This company is a prime example of how the world has gone flat, and, I think it also gave me a better understanding of what it is that my husband manages at work. The process for manufacturing boards is complex and includes many steps. As we toured the factory, I recognized many of the terms that my husband has used over the years, such as, burn-in, rinse, ESD, board inspection, etc., but seeing it led me to a better comprehension. A big part of what the services his company does is inspection. At AT&S the inspection of printed circuit boards is done manually with a large magnifying glass. They process a large volume of boards for companies such as Siemens; and since the inspection is done visually, I wonder how good the inspections are by the end of the day after a person has been scanning boards for many hours - the employees must experience eye strain by then. Does the fact that is manual process rather than automated, say by laser scanning, impact the quality of the inspection, as well as create potential variability in declaring defects between inspectors? The fact that the company has about a 5% defect rate seems high to me. While touring the plant it appeared to have good systems and processes in place, but with an inexperienced and untrained eye for this technology, I really wouldn't know. So, I wonder what their TQM processes are and what they could do to reach a Six Sigma status in their production.

The fact that AT&S is headquartered in Austria, has factories in India , China, and Korea, designs products in India and Germany, imports many of its raw materials and components from various countries around the world, and has international sales offices demonstrates that globalization has played a significant part in the companies ability to become Europe's number one printed circuit board manufacturer and a major player in the world market. Flattener #1, the opening of markets around the globe, created this opportunity. And the advent of the internet, flattener #2, made it possible for a regional European company to become the global supplier for companies such as Nokia and Motorola in the span of less than a decade, by allowing effective and efficient communications between sites. Offshoring, flattener #3, occurred for AT&S when, in 1999, AT&S purchased Indal, India's largest printed circuit board manufacturer, and expanded with the opening of a logistics center in Germany in 2000, and continues with various other acquisitions taking place and factories being built around the globe. To effect and facilitate these changes in global trade workflow software, flattener #3, and supply-chaining processes, flattener #7 had to be available. And for me to be able to write this paragraph I utilized flattener #9, in-forming, by digging up information on the company myself, via the internet.

Monday, January 7, 2008

The Wilderness Calls, by Cell Phone!

Our trip to Kabini Jungle Resort was fantastic! The ride to the resort was not! The first half of the drive was reasonably smooth, by Indian standards not U.S. standards. But the second half was so rough that several people became nauseated. By comparison, the absolute worst potholes in the U.S. would be considered rare and minuscule. For some reason I lucked out and my vertigo took a day off during the trip. I was extremely relieved, because it could have been a sorry state of affairs.

On our way there, as we got farther away from the city and into the rural areas of Karnataka, I was noticing that, even many miles out, the houses had advertising on them. People here supplement their incomes by renting out the entire sides of their houses to companies as billboards. This is quite innovative on the part of the advertisers. People are so poor that to earn $300-$400 U.S. a year for just letting a company come and paint the wall of your house can make a huge difference in one's purchasing power. This was not infrequent, many of the homes had advertising on them - and it appears the world is flat in rural India, as well as in the cities, because the primary advertisers were for cell phone service. I would not have expected wireless service to be readily available so far out in the country. And then when we arrived at the resort, the first thing a couple of people did was to whip out their cell phones and check in with work.

Upon arrival we were given some instructions by the Kabini staff about what we were able to do and not do, for instance, no going in the water because there are crocodiles that would like nothing more than having a plump American for lunch. As I walked about the camp I discovered some monkeys that have moved partially up the evolution chain, what I mean by that is they had figured out how to turn on an outdoor faucet and drink from it (but did not worry about turning it off, even though there is a water shortage here). The female called her male companion over for a drink. Then they moved on to more illicit activities! I was just a little embarrassed watching them.

We had lunch, then some time to relax. At three o'clock we had tea followed by a safari ride into the jungle. Wow! We saw guar (sort of a cross between a wild buffalo and an ox), spotted deer, various birds, including parakeets, an eagle, kingfishers, and peacocks. The highlight was seeing the elephants. We were within ten feet! While we were driving out of the jungle our jeep got hung up on a pile of dirt in the road - we were stuck, it was dusk, and the tigers were hungry (I presume). But, with the momentum of our weight rocking the jeep back and forth we were able to get unstuck within a few minutes. No easy meal for the tigers tonight!

Back at the resort we watched a film about the jungle and then had dinner. When my roommate for the night, and I, went back to our room, we discovered that we would not be sleeping alone. There was a gecko above the door. Nancy was not happy, not happy at all about this. I came up with a master plan for getting it out of the room. This involved a chair and floor mat - and was not successful. That little guy was fast and started running all over our walls. We were screaming and laughing at the same time. Nancy insisted we wake up our professors to help us. Needless to say, they weren't all that thrilled with two wacky women waking them up to come to the rescue - and told us in so many words that we were going to have a house guest for the night, whether we liked it or not. We went to bed and Nancy wanted to sleep with the lights on. We could hear something outside our windows either hitting the walls or scraping the window, most likely some active monkeys. Nancy slept with her head under the covers the entire night.

Sunday, January 6, 2008

My-Sore Feet

This was a day of fun and frolic, heat and exhaustion, history and architecture: We toured Mysore, the cultural capital of the state of Karnataka. Our host at SDM Institute, Mr. Dwarakanath, is very proud of his culture and heritage. Given that, he made sure we saw every important site in Mysore. The day started out with a visit to Chamundeshwari Temple in the Chamundi Hills. From the Institution we can see the hills upon which it sits. The temple is named after a goddess, who, according to Hindu mythology, killed the demon ruler Mahishasura. The walk around and through the temple was gross; the reason being that we had to remove our shoes to do so, and there were cow pies and remnants of cow pies, as well as monkey pooh everywhere. My socks became encrusted - never to be put on my feet again. Fortunately, I had antibacterial wipes with me. I promptly cleaned my feet before putting them back into my shoes.


Coming down off the hill we stopped at a spot to look out over Mysore. Unfortunately, there was too much smog in the air to get good pictures. We then headed over to the school for Mr. D to give a yoga lesson. I observed, rather than participated, because of the vertigo factor. From there we had an address by a board member of the organization that runs the business school and various charitable efforts throughout India. They feed over 10,000 people for free every day, and during peak pilgrimage times upwards of 50,000.

From campus we left on sightseeing for the remainder of the day. We visited the Amba Vilas Palace, also known as Mysore Palace. It is the fourth largest palace in the world. We only were allowed to see parts that are public, as the prince still lives there. The exterior is beautiful, but the interior is gaudy. While we were there we were continually approached, surrounded, and harassed by people selling and begging. They are relentless. They even went so far as to follow us to our bus, then sticking their hands in the windows and the door.

We next traveled to the bird sanctuary. There were thousands of birds nesting there. Some had migrated from North America for the winter (although I couldn’t understand our guide well enough to know which ones). There were huge creatures flying around in the sky, and I thought they looked like bats, but I was contradicted by the know-it–all in the group, he telling me that bats don’t fly around during daylight. Of course, it turned out that I was right. They were fruit bats and happen to fly during the day and have a very large wing span. I was glad that we didn’t get too close. We did, however, get too close to the crocodiles. There were several in the water and others sunning themselves on rocks in the water and along the shore. Our guide had us within two to three feet of one that was sunning himself on a rock. Then he splashed him with water, some in the group were sure he would lunge out at us and have one of us for dinner. My camera lost its battery power and so I missed out on pictures of our final stop.

We went back to the Mysore Palace to see it lit up. It was really quite breathtaking. They have 94,000 lights on the palace and grounds entries. Why not 95,000 or 100,000 - all I can say is that this is India, and a lot here does not make sense to Americans.

We arrived home (to the Ginger Hotel) exhausted - and ready for a good shower.

Friday, January 4, 2008

Zoom, Zoom!

The day started out pretty rough, as my vertigo hasn't quite lifted. But, at least I could get myself out of bed and stand up without falling over.

This morning we had reporters from the largest papers in India come to visit with us. While they let us ask them questions, they bypassed the opportunity to ask our group questions. There were a couple of points they made that were of interest. The first was that they stated there is little influence over what is written and published in the paper. I found this hard to believe, and sure enough, as the conversation continued they confessed that they sometimes needed to monitor what they write because of those who own and run the papers (I am unsure of who those people are). The other thing that seemed odd is that they stated all of the major newspapers in India are liberal. If this is true, it is unfortunate. Because a truly free and democratic society should inform the people of all viewpoints. I am sure that there are plenty of people, or at least a few out of the billion+ people here, that don't have liberal leanings. So how are their viewpoints on issues being heard?

One of the ten flatteners in Friedman's book is the fall of the Berlin wall. It unleashed forces throughout the world, spreading the balance of power, that ultimately led to India opening its economy to the world. But being here in India, it is obvious that the country has a long, long way to go in order to catch up with western societies in regard to democratic policy.

This afternoon we toured the TVS manufacturing facility. They are the third largest motorcycle/scooter manufacturer in India. This was an outstanding example of supply chain management, TQM, and human resource management. The company outsources most of its parts and components. The engines are first assembled in a dust free clean area. They come out of that process and are moved to the main assembly line. The entire motorcycle is assembled in less than 25 minutes. Each station has 45 seconds to do complete their tasks and there is a worker on each side of the conveyor belt. This plant has a capacity of about 3000 units per day. They track quality and defects throughout and have very high standards that they try to beat.

Throughout the facility there is signage up to motivate the employees and remind them about safety. To reinforce the safety issues, there is a walk-through display which shows the results of injuries that can occur with different machines and chemicals. It has got to be effective in keeping safety in the forefront of the employees minds, because we were all affected by it. There are also large scenic photographs on display and real potted plants throughout the assembly areas, just for aesthetics. And the place was spotless! The employees are allowed to change functions occasionally, this allows them to combat boredom on the job. All in all, this facility was impressive and an excellent example of how private business in India can step up to the plate and meet global manufacturing standards.

Thursday, January 3, 2008

Down and Out in Mysore

Today I was down - and out for the count. Unfortunately, I had a recurrence of vertigo that incapacitated me for the day. I spent 22 out of 24 hours in bed asleep, the two hours I was awake I attempted to read the assigned chapters, but my head did not cooperate. So, I am hopeful that this will be a short lived bout and I will be up and at it tomorrow.

As I laid in bed today, I thought about our visit to Vikram Hospital on Monday. Thinking about what the administrator there is doing to build that business into a world class facility, I can't help but wonder how I could create a business opportunity for myself out of it. Since the hospital has had some people coming to India to have procedures performed for 1/3rd to 1/10th the cost for the same procedure in the U.S., creating and executing some value add service for those people could be quite lucrative. Or, perhaps, finding a way to perform consulting or coordination services for insurance companies in order to help them lower their costs would be another possibility.

Needless to say, Friedman's ten flatteners become apparent when considering how this could be done. First, the advent of the internet was critical for me to even be able to conceive of an idea along these lines. Second, would an HMO's management consider offshoring a specialized medical center in order to reduce its costs? The HMO could implement extremely high standards by hiring India's very best physician's to provide superior care to its patients, but still save vast amounts of money. The effective supply-chaining of medical supplies, pharmaceuticals, and capital equipment would enable an HMO to purchase them for a fraction of the costs as the same items in the U.S.; many of the manufacturers exist in India and this region of the world. I could inform myself by doing my research about regulations, barriers, insurance companies, etc. via the internet. And I could in-source by becoming a global company right off the bat. Well, there is so much to consider here that it makes my head spin - oh, wait a minute, my head was already spinning!

Wednesday, January 2, 2008

India: Law and No Order

According to our textbook, in order for a country to become a fully developed country and to be able to capitalize on globalization for its entire citizen base, rather than just the elite, a legal system needs to be in place that will protect an individual's or business' property rights. Because the legal system in India is so complex, with layer upon layer of courts through which to process a lawsuit, and because it can take 10 to 25 years to resolve one, I would think many companies would be reluctant to invest here. There are certain situations in which a company may be willing to risk its investment even though there is no guarantee of protection under the law, for instance, if the cost/benefit analysis shows the potential for extraordinarily high profits, but that is rarely the case. If I remember correctly, foreign companies can not own land here, and that is the reason that Coca-Cola and other companies have pulled out of India. But Pepsi-co has a big presence here - so do they have joint ventures with Indian based companies? What protections do they have, and why are they okay with the inherent risks of doing business here, but Coke is not? Have they bribed some officials in order to get through the red tape of doing business here?

Besides the fact that resolution of grievances is unlikely to occur in a timely manner, the mere fact that it is impossible to get a straight answer to any question asked of anyone would lead to inefficiencies and frustrations when working with the people here. From the people at the Institution to the reception desk help, no one gives a direct answer when you ask them a question. It is always "5 minutes, Madam" which can mean 1 hour to 5 days - or longer. Five days is how long it took for me to get my soap dispenser replaced in my shower. On the morning we arrived we had a group picture taken outside the entrance to the hotel, which was published in that afternoon's newspaper. We were told we would have copies on Monday at class. Days later we are still waiting. "No problem" is the response we frequently get - what they don't understand is that, to an American, not following through on a promise is a problem. So considering this, how on earth have the foreign companies doing business in India gotten past this culturally based challenge? How have they been able to use services such as Infosys and gotten the message through that lying, even white lies, aren't acceptable when trying to satisfy a customer?

Well, quite frankly, I don't think they have succeeded in this. I believe companies, because of the profits they can reap due to the low labor costs, have been willing to accept lower standards of ethics. Take this example: My husband purchased a Dell computer, which was ordered via an India based customer service center. He was lied to, literally dozens of times, by the customer service reps over the course of several months. Upon arrival of the system, it was defective. After months of trying to get the original problem, along with all of the tag along problems that ensued, resolved, they finally acknowledged that they had not done what they promised, repeatedly, and sent him a new computer (which was still not set up with the correct software). I don't believe the world can truly be flat until there is a common understanding and accepted standard for basic business ethics and customer service. Otherwise, it is a haphazard and frustrating experience that can lead to the breakdown of business relationships.

Tuesday, January 1, 2008

Reality Check - Ethics in Indian Business?

Today's professor stated up front that there were to be no questions during his lecture. We were to listen to his talk and then at the end pose our questions. This worked out quite well for him, as he used up all his time and only had enough left to answer one question. This enabled him to avoid being challenged by any of us. To me, unbeknownst to him, this actually created an ethical dilemma for him. For all the preaching he did about Indian business ethics as laid down in Indian Scripture and by Indian Gurus, he conveniently got out of questions we had for him about bribing, lying, cheating, etc. - things that are well known to take place in Indian business practices. Was he afraid to admit the truth to curious outsiders? If he had, perhaps he could have built a case about the changes that need to take place and how business and government leaders could be progressive in promoting those changes.

So today I saw the good and bad in Indian people. While I was out shopping with the "elders", as I was leaving a small shoe store, the proprietor approached me and said he needed my help. My first inclination was that he was just trying to get me to stay in the store so he could sell me something. But as it turned out, he actually needed my help. He had found a wallet on the sidewalk outside his store; it belonged to an American and he wanted help in getting it back to its rightful owner. Because all of the cash was missing, I presume the person was pickpocketed, the cash lifted, and then the wallet tossed. We tried calling a U.S. phone number on the person's business card, but of course got an answering machine. I left a message letting him know it is in my possession and where I am staying. After going on a shopping spree with his Visa card - just kidding - I also sent him an e-mail with information on how to contact me and that if I didn't catch up with him before I leave the country I will return it to him when I get back to the States.

New Year's Eve - Wow! All of the students went to Planet X, a large entertainment center that has a discotheque. Lots of dancing, drinking, and eating. Even though I was stone sober, I got to experience the full gamut of events when people drink too much. I was puked on, hit on, and cried on throughout the evening. Needless to say, it was a night for the record book. I am glad to say that the young man who approached me numerous times throughout the evening wanting to know if my marriage is a "love marriage", finally got the message. But, unfortunately for the young women in the group he didn't give up on them quite so easily. I have to wonder if he actually believes that American women are loose and stupid enough to want to rendezvous with someone like him, and if so, where did he get his information from?

Monday, December 31, 2007

India - Incredible or Incredulous?

I failed to mention a couple of things in yesterday's blog. The first is that my first shower here was an event in and of itself. As I was showering, when I pushed on the soap dispenser to get more soap it crashed to the floor. Being that it was made of plastic it cracked open and the contents spilled onto the shower floor. So for the rest of my shower I had to reach out to the hand soap dispenser over the sink. After a couple of minutes I noticed that the drain wasn't working, and because of that the spilled soap was starting to effervesce, making a soapy mess. And to top it off the shower floor is not divided from the bathroom floor so my entire bathroom floor filled with soapy water - ick! While the cleaning staff immediately resolved the drain issue, I have not been provided with a replacement soap dispenser.

At breakfast a little mouse raced across the dining room floor - he was cute as can be!

Today was the first day of class. The lecture was "Incredible India." The professor talked about how in the U.S. we manage our individual selves, meaning we are independent, but that in India people are interdependent. The family supports you through to the highest level of education you want to go, but you must then sacrifice for your family for the rest of your life.

He spent a lot of time emphasizing the many positives that occur within Indian society and to dispel some myths. For instance, he said that snake charmers and elephants don't roam the streets, as far as I can tell thus far, that is true. He also provided a lot of statistics to try to impress us with how advanced the country is, such as, India is the largest producer of milk and leather goods. I thought that since cows are sacred here it is contradictory to be producing so much leather! Inquiring about it, he stated that they make leather from bulls. Given the bad temperament of bulls, I would like to see what the ranches are like that raise them.

He showed us several clips about innovative business models that have occurred recently in India. ITC e-choupal is a company that has improved the plight of farmers who were being cheated by produce brokers via manual measurement of their products. This company uses only electronic scales. By doing so they have eliminated a level of business cheats, and made it possible for farmers to get fair prices. Another company, SKG Sangha, created some biogas technology by creating fuel from cow pies and then turning the remaining ash into a sludge that is then turned into compost fertilizer. This has helped reduce pollution because the burning of the cow pies takes place in an enclosed system. Production rates and produce quality have also improved. Given that, from the moment I stepped off the plain I noticed that the air was quite polluted, this biogas technology is a good thing for all of us. Additionally, the fact that crop productivity has gone up the standard of living for rural people is being raised.

During the lecture when the professor became critical of the U.S. response to 9/11 and Hurricane Katrina, and then contrasted it to how India responds to tragedies, I think we were all highly insulted. The reason being, his conclusions probably came from what he saw and heard in the media, which of course failed to point out the positives that occured by Americans - like the fact that firemen went into the WTC at their own peril, citizens donated over a half billion dollars in relief after 9/11, and that companies sent truckloads of needed items to assist in the aftermath of both calamities.

He also stressed how M.S. Swaminathan created a Green Revolution within India by bringing hybrid wheat technologies to the country. And that the Swaminathan Research Foundation is being proactive in trying to avoid another tsumnami disaster, and other water related disasters. Rather than waiting for the government to do something, the Foundation is planting mangroves along beaches to act as a first break against surges. My question is, how does this affect the ecosystem along the beaches? Will it negatively impact some species that live there?


SILK CITY!!!

Saturday night after dinner, most of us headed out to FabCity, Mysore's version of a Wal-Mart, although it is much, much smaller. It had four levels; the first was filled with sundries and groceries, the second level had clothing, the third level was not very full and basically had clearance merchandise, and the fourth level was empty. Upon walking in the front door we drew a lot of attention and stares, obvious foreigners. There were many vegetables that I had never seen before and don't know how you would prepare them - like banana stems. In the produce section there was a person weighing people's produce, the customers crowded around him vying for position to get their items weighed. I have noticed that the concept of lines is a novel one for Indians. For instance, at the Bangalore airport, while going through security everyone was surging and jockeying to get into position - no line whatsoever.

Sunday morning I woke up early (for me) and headed down to breakfast. There were many Indian dishes available, as was fresh fruit and cereal/milk, both of which I passed on in an attempt to ward off Montezuma's revenge. There was quite a bit of discussion about whether the water in the hotel is safe to drink. On each floor there is a drinking water station with a filter for customers. So the management must realize the water in the plumbing is not good for a visitor's own plumbing. But I mentioned that, even though there is a filtration system we don't know how effective it is, and who knows if the manufacture paid off some government official to avoid having to meet some standard. Always the skeptic, I am. But, from our readings, it is quite evident that in India the culture is such that the means of getting one's wanted result is not what matters, the result is. Pay-offs and bribes occur on a regular basis and are considered okay, as long as they are not ridiculously lavish. Even if a person wants to hold himself to a high standard, the pressure to meet expectations can be great, tempting one to skirt the rules in order to meet them.

After breakfast a group of us headed out to do some shopping. Our autorickshaw ride was absolutely wild! At any moment we would surely crash head-on with a bus, slam into a cow, run down a pedestrian, or fly through the air as we hit a gigantic speed bump. It felt as though we were inside of a video game, weaving back and forth, all the noise of horns blaring, close calls, and near sideswipes.

Along the main commercial street there is an abundance of small shops, shoe stores, tailor shops, sundrie shops, jewelry stores - and SILK SHOPS!! What a blast. The proprietor gladly pulled dozens and dozens of items from his shelves for us. I fell for the scarves. And the price was incredible. Beautiful, soft, luxurious silk scarves for about 1/10 of what you would pay for them in the U.S. Because there were so many of us buying, the owner gave a 10% discount. I was the last one to pay, and since my purchase was large I tried to negotiate a 20% discount, but the owner wouldn't budge. I told him if I come back later this week I expect a larger discount, and he said okay. It turns out that this silk shop has been in the family for over a hundred years. I am guessing that this may be commonplace in India because it is hard to move from one social level to another with the caste system that is still in place today.

Although the government is trying to eliminate the caste system, doing so involves changing thousands of years of customs - not an easy nor quick project to complete; and it is evident as you watch people address and respond to one another. There is deference by those of lesser stance, and little eye contact. As I speak to people that are in a lower caste, even just to say "hello" or "thank you", it seems to make them uncomfortable, or they seem surprised when I look them in the eye or shake their hands.

For dinner we were taken to a palace that is now a hotel. It was built in 1921 for the visit of the Viceroy. It is located such that it has a view of the entire city, and you can see the Maharaja's palace off in the distance. We were given a tour by the chef, which seemed a bit odd. We had a welcome dinner with faculty from the University. It was fun to visit with them and compare and contrast things such as air quality in Mysore versus Minnesota, and our Master's programs to their postgraduate degrees.

Sunday, December 30, 2007

Day 1 - Sleepless in Mysore

We finally landed in Bangalore and waited for everyone to get their luggage. Poor Harvey, the one bag he was forced to check at the gate in Chicago didn't arrive. It is in luggage purgatory. We loaded the bus to head out to Mysore. I was happy to see that it was a coach, rather than a school bus. While we were waiting for everyone to get on, the guys who loaded our bags into the storage compartment came on the bus, one after the other, insisting on being tipped. We tipped the first person, and the next two people we told that we had already tipped. They were insistent, but finally after several minutes gave up and got off the bus. A couple of minutes later, their manager came on and started demanding tips - we again stated we had already tipped. I told Al we should get a little session on tipping customs here in India so we know when and how much is appropriate for tipping.

The ride to Mysore was in the dark, but around 6:30 the sun started coming up and we could see what we were passing. Alot of ramshackle buildings, made from materials like tarps, plastic sheeting, and cardboard were along the roadside. It appeared that there is a lot of poverty. There were also many buildings that seemed to be partially built, and then forgotten because the rebar is terribly rusted. What we've heard and read regarding cows in the streets, is true! We nearly crashed into some on the bus ride to Mysore - multiple times.

Upon arriving we were dead tired, but had to wait to check into our rooms until noon. I was pleasantly surprised about the condition of our hotel, especially since while driving from Bangalore we passed several hotels that looked like they were roach motels. The room is very plain, except for the fact that the walls are painted bright orange. It is actually a little disconcerting. After I got checked in and situated in my room, I took an hour and a half nap. Got up took a shower, then headed down for our 5 p.m. meeting. We had a 5 minute meeting that lasted an hour and a half. We were all thinking, if these are the business experts of India, why are they so inefficient at arranging and executing a simple meeting.

Sunday, December 23, 2007

International Business Class - India 2008

I must admit that I was not replete with anticipation about the upcoming trip until two days ago. That is when we received the proposed itinerary. As I was looking it over, I sensed the excitement building in me. Since reading it, I have checked out all the companies, temples, palaces, markets, etc. that are on the schedule, via the internet. It looks like this is going to be a great adventure, with so many interesting things to see and do - and we might even learn a thing or two about international business, to boot!

I am also glad that I read Rajiv's e-mail - I'm hoping I can earn my way to a square or two of toilet paper during the trip!

Two years ago for Christmas my mother gave me The World is Flat. I started to read it, but at the time found it to be a real snoozer. This fall for the HR class it was required reading. So I located it on my bookshelf, where it was gathering dust, and it still had the bookmark in it - on page 124. Well, given that it was two years ago, I decided I should start from the beginning. Much to my surprise, I could not put it down. This time around I found it interesting and relevant. I am looking forward to discussing the 10 and Triple in class and hearing if everyone buys into Feldman's theories and/or if there will be solid arguments opposing them.