?People are the most valuable assets?
??INTER-DEPENDENCE BEST describes globalisation and those who move quickly partnering beyond countries would reap the advantages of this phenomenon,?? asserted General Electronics (GE) India president and Chief Executive Officer (CEO) Scott R Bayman.india Updated: Apr 01, 2006 23:39 IST
‘‘INTER-DEPENDENCE BEST describes globalisation and those who move quickly partnering beyond countries would reap the advantages of this phenomenon,’’ asserted General Electronics (GE) India president and Chief Executive Officer (CEO) Scott R Bayman.
He was speaking as chief guest at the seventh annual convocation ceremony for the PGDM (MBA) class of 2006 and Exe-PGP batch of 2004-06 held at Indian Institute of Management Indore (IIM-I) today.
Bayman said that although globalisation began as a by-product of colonisation, aiding only a select group of countries and companies, it was engaged into today in a more universal sense. The reasons for the growing acceptance of globalisation stemmed from key benefits like growth and profitability, access to markets, lower costs, higher quality, availability of raw material and components and for diversification of work force.
Changing times have brought about a change in the outlook of governments and even those traditionally considered conservative have begun recognising the importance of inter-dependent markets. The growing number of free trade agreements being signed or discussed and the lifting of protectionism in the form of removal of tariffs and other trade barriers would spell success for an economy of the future.
Practice of isolationist and protectionist policies would become defunct and would eventually get debunked, he said.
‘‘The definition of partners would also have to be considered in the light of a larger perspective.
The most important partner of any organisation was customers, suppliers, licensees and joint ventures. Money and ideas now travel at the speed of light to wherever they are wanted and stayed wherever they were most welcome.
The commercial Internet is the greatest window into comparative advantage ever invented as the performance of a company could no longer be kept secret and before announcement of a merger or takeover happened, the whole world was already aware of it.’’
The future economic growth would be uneven and to succeed companies would have to navigate major global trends that would have a significant impact on valuation. Winning companies would be investing in innovation and building new revenue streams from their current capabilities.
The new economic order of global competitiveness and growth would usher in the dramatic phase of globalisation. Companies would have to build strong direct sales forces, reduce costs and increase value propositions and tie their own profitability with that of their customers. In a more volatile and uncertain world, winning companies would have to keep the confidence of customers, investors and employees by maintaining financial and cultural strength, Bayman said.
‘‘Leadership today and tomorrow is and would be far different from what it was a decade ago. The fundamentals of leadership include integrity, commitment, meritocracy, speed, simplicity, self-confidence and thirst for change, informality and passion for learning and sharing.
The most valuable asset of a company lies not in its products or plants or plans, but in its people. Treated with consideration and respect and considering their achievements recognised fills them with a real sense of accomplishment and what the one has is a formidable working force dedicated to the fulfillment of its tasks. People who understand and support a company’s vision can best achieve company’s objectives.
The character and reputation of a company are as much important as its technology and results and a better manger is one who is on to this secret.’’
IIM-I board of governors chairman B N Kalyani said in his speech that the biggest challenge faced by a global manager of today was of ‘adaptability’. Adaptability comprised four distinct and increasingly difficult skills including ability to operate across borders, rise above particularities of region, revel in diversity and operate in spite of ambiguity and frustration.
The ability to hold two opposing ideas differentiates a good manager from an exceptional one. India has emerged as one of the key drivers of growth in the global economy and was on a stage where one could capitalise on the tremendous strides made in the past 15 years. The sustainability of this growth model would allow creation of new employment opportunities, maintenance of economic stability and rapidly integrate Indian economy into the global system.
IIM-I Director Dr S P Parashar spoke about academic activities, expansion work, new programmes, international linkages, niche areas, alumni relations, faculty and staff, self-renewal and development, student activities, placements and yearly report of the institute.