COVER FEATURE

Micro-Credit Ratings International Limited
-- Sanjay Sinha

"The mission of M-CRIL is to facilitate the flow of commercial capital into microfinance by minimizing the information asymmetry and experiential gap between the formal financial sector and microfinance practitioners." Micro-Credit Ratings International Ltd. (M-CRIL) is a specialized rating and microfinance research agency that has pioneered and successfully introduced the rating of Microfinance Institutions (MFIs) in Asia. M-CRIL is a world leader in the field of microfinance rating and is dedicated to bridging the information gap between MFIs and the formal financial sector in the Asian region. Started in 1998, M-CRIL's activities are based on the belief that with a greater flow of reliable information between the microfinance and the formal financial sectors, MFIs would be better placed to access wholesale/bulk finance for on-lending to low income households.

© 2007 IUP . All Rights Reserved

ETHICAL LEADERSHIP

Values linked to process equals performance
-- Dr. Stephen E Roulac

There is a strong linkage between excellent long-term performance and the way values held by an organization are interwoven with its daily routine processes. If the top management clearly enunciates these values and also very vigilantly ensures their implementation across the organization in every single process, these values become an integral part of a superbly performing, long lived, healthy organization. There is no shortcut.

© 2007 IUP . All Rights Reserved

KNOWLEDGE REVOLUTION

Knowledge era : Triggering the paradigm shift
-- Prof. P Bala Bhaskaran

In the post-industrial society, technology and subsequently knowledge have become the major drivers of change. They have been ushering in gradual but irreversible changes in human lives. This article is an exploration into the emerging transformation of the human society with specific reference to developing countries like India. It tries to map the emerging changes in the areas of skill and knowledge, the economic and sociological impacts and the external image of countries. It also looks at the emerging challenges that a country like India has to address to ensure development and growth on a sustainable basis.

© 2007 IUP . All Rights Reserved

BUSINESS STRATEGY

Howard Stringer : Turning Sony around
-- Krishna Kumar

On March 7, 2005 the Board of Directors of the giant multinational Sony Corporation created history by appointing a non-Japanese, Howard Stringer, to head Sony Corporation as the Chairman and CEO. Stringer took over at a time when operating margins of the Electronics division, which contributes to nearly two-thirds of Sony's total revenues, was showing negative growth. Sony's product segments were also beset with problems with the company losing the television wars to Sharp, its Walkman line crushed by the Apple iPod and the PlayStation games console threatened by Microsoft's X-box. Stringer realized that reducing costs was just one of the many parameters that could affect the bottom line. What was required was new projects and strategies covered by timely decision-making. The article gives details about product groups such as games consoles, audio systems, digital cameras and television. It examines the performance of these groups and studies the downslide in sales over the years, especially in the new millennium. It also analyzes the initial results of Stringer's turnaround strategy when operating margins rose from 1.3% in 2004 to 2.6% in 2006.

© 2007 IUP . All Rights Reserved

BUSINESS STRATEGY

Toyota vs. General Motors : The race to the top
-- Amit Singh Sisodiya

Toyota's ascendance to the top of the global automotive big league was never in doubt as it was only a matter of time before the inevitable happened. A quarter makes a lot of difference and who knows it better than the corporate world. This is more so in the case of the automotive industry where players live and swear by quarterly figures (read: Sales). Hence, when the January-March 2007 quarter sales figures for the auto industry, globally, began to pour in, critics' (and `so experts') worst fear was coming true. General Motors (GM) was dethroned from the No. 1 spot by its Japanese rival Toyota.

© 2007 IUP . All Rights Reserved

INFORMATION TECHNOLOGY

Localization of IT: Thriving in digital economy
-- Ravi Kumar Jain

Information Technology (IT) and the Internet revolution have enabled organizations to do business across national boundaries and even geographical barriers. Localization of IT is an approach that facilitates organizations and economies to bridge the gap of `digital divide'. This article highlights the evolution of localization industry, and also explains the concept, need and benefits of localization of IT. It also discusses the application areas, and the technology support needed in localizing an IT application or a product.

© 2007 IUP . All Rights Reserved

MERGERS AND ACQUISITIONS

Subex : An acquisitive and emerging Indian IT firm
-- R Puratchimani

Subex is an acquisitive and emerging Indian IT firm. Its acquisition of Azure Solutions, a UK-based company, for US$140 mn was the first biggest acquisition by an Indian IT firm abroad. The most important thing in the acquisition was that the deal size was four times bigger than that of Subex, in terms of revenue. This article throws light on how Subex is growing inorganically with overseas acquisitions.

© 2007 IUP . All Rights Reserved

HRM

Competencies for strategic HRM
-- N Sudheer Kumar, G Susmitha

In the era of globalization, competition has become a very big challenge for all corporate leaders in the world. To sustain with this tough competition all leaders should develop suitable professional competencies which will play a major role in determining leadership effectiveness. Today, competencies have become an integral part of every profession including human resources for diagnosing, improving and framing various aspects of Human Resource Management. This article throws light on various professional and general competencies required for HR professionals to emerge as strategic leaders.

© 2007 IUP . All Rights Reserved

BOOK REVIEW

Guanxi : The Art of Relationships

-- Authors: Robert Buderi and Gregory T Huang Reviewed by Dr. G Bharathi Kamath

Guanxi (Gwan-shee) is a Chinese word which means building relationships that are essential for success. The book is about a research lab that Microsoft came up with in China which is a great achievement on its part and mutually beneficial for both the Chinese science talent and also to Microsoft. The book contains narratives, observations, anecdotes and also some painful experiences which make it very interesting to read and easy to comprehend. Microsoft has invested around $100 mn in this project and hired over 400 of China's talented and skilled workers which has really uplifted the Chinese IT industry. This book builds on relationships as an essential part of every business strategy.

© 2007 IUP . All Rights Reserved