Businessworld articles

‘You have to adjust quickly’ by John Donahoe, President & CEO of eBay

1)      eBay is greatly hit by recession in 2008 resulting 81% decrease in market share. But it is continuously recovering by two decisions:

a)      Selling off 70 per cent in Internet telephony company Skype.

b)      A shift to more fixed-rate sales against auction-led.

2)      eBaycart.com, PaisaPay.com (online payments) and money-back guarantee are successful in India.

3)      Both fixed rate & sell-well are successful in India.

4)      Paisapay is successful in India because:

(a)    Helps creating in Buyer’s trust.

(b)   Does not offer the kind of anonymity (related to bank account details)

(c)    Helps to comply with local regulatory authorities.

5)      Globally, the ratio of fixed-rate to auction-led sales is 60:40. In India, it is 80:20 because

a)      Fixed rate empowers the customers for comparing the prices e.g. for mobile purchasing.

6)      At present, 35 per cent of eBay revenues come from PayPal. By 2012, it will be 40 per cent which is a good sign for eBay that it s growing well in India.

“Matrix is our Slingshot” by Robert Coury, Chairman & CEO Mylan.

1)      Acquisitions proved to be a boon to Mylan, world’s 3^rd largest generics company & US’s largest.

2)      Purchase of Hyderabad based Matrix laboratories gives Mylan a strong Indian process development & manufacturing base.

3)      Purchase of German based Merck Generics expanded Mylan’s global footprint.

4)      How to expand the product line, the best answer to this is Mergers & Acquisitions.

5)      As the government & Generic Industry pricing continued to be pressured, the only way to get out of this problem is lowering off your cost by setting up the manufacturing base in other country providing lower costs.

6)      Acquisition is not the only answer to success but there is a need to understand the regulatory and the manufacturing process.

7)      Use the synergies of employees of both (Mylan & Matrix), rather than firing them.

8)      M&As are prevalent in India but the need of Mylan is to get a strong base in India to serve the whole world.

9)      Striving for the operational excellence will make a firm number 1.

10)  Stepping up of oversight in India by Regulators is healthy but need to do a little more.

All pharma companies in India need to step up their own internal good quality & GMP (good manufacturing practices).

Return to Protectionism

1)      Going on the footsteps of Ohio Governor Ted Strickland, President of US Barack Obama cleared his intentions of reducing unemployment by

a)      Extending tax breaks to those US companies who create jobs in home soils & not overseas.

2)      Going to prove a hard blow to Indian outsourcing sector.

3)      In 2008, around 0.7 million people employed in the outsourcing sector in India.

4)      Annual revenues of $11 billion, around 1 per cent of GDP, come from these activities.

5)      It is estimated that 60 per cent of Indian exports in the IT sector are to the US. In other words, a substantial portion of India’s outsourcing industry is dependent on the US.

6)      A “discriminatory trade barrier” as quoted by NASSCOM, Indian economy is going to be affected by this.

7)      But US firms need to do outsourcing, as cost structures in US are very high.

8)      So, protectionism in US will definitely affect India.

9)      Also countries such as China, Mexico and Vietnam are also expanding outsourcing operations and often provide cheaper services which are going to prove threat for Indian outsourcing sector.

The Life after Separation by Vishal Krishna.

How Hero & Honda will settle their divorce from Hero-Honda.

1)      Honda Motorcycle and Scooter India have already built up its distribution strength of 400 outlets in India

2)      & its sales have risen by 37 per cent as of April-September 2010.

3)      Hero will have to come up with a product spec on its own if it is going to compete with original equipment manufacturer such as Bajaj and TVS. 

4)      Hero Honda is the market leader with sales of over 2 million vehicles in the first half of this fiscal and 48 per cent share.

5)      Honda manages a small 15 per cent share, but is growing.

6)      Honda needs more investment to penetrate into smaller towns and rural areas.

7)      Lower displacement vehicles are the need to penetrate this segment.

8)      Honda may vie for this brand equity, and will possibly piggy back on Hero’s large distribution reach of 2,200 outlets.

9)      Honda would want to go on its own because the 9.3-million two-wheeler market will grow to 16 million by 2015. 

10)  Honda can go on its own without Hero in India now as

a)      It has a strong dealership network.

b)      Using large 2200 outlets network of Hero.

c)      Building a strong goodwill in market.

Sony company

Sony’s humble beginning started in Japan in 1946 from the sheer determination and hard work of two bright and enterprising young men. Both Masaru Ibuka and Akio Morita joined hands in making their dream of a successful global company a reality.

Sony’s HR Transformation

Sony Electronics decided to make the leap to an HRO model for its new HRIS system. Three years ago, Sony Electronics took a hard look at its HR information system and didn’t like what it saw. Only 18 percent of 14,000 employees in six locations consistently used the HR applications, leaving the HR department knee-deep in paper.

HR undertook an intensive, frank process of internal evaluation, leaving no stone unturned in its quest to transform HR into a world-class organization and HR specialists into bona fide corporate strategists. It succeeded on both counts by adopting an HR Outsourcing model.

Back in 2000, Sony Electronics realized its outdated, inflexible HR system no longer met its needs. The varied applications used across the organization had created inefficiencies and missed opportunities. HR data often was unreliable or hard to access, limiting the effectiveness of other technology initiatives. To better manage and reduce the cost of HR service delivery, an HR Outsourcing model was evaluated as the solution.

After receiving senior-level sponsorship of the outsourcing strategy, Sony HR inked the deal with Hewitt Associates. Both then moved in parallel paths led by a joint steering committee, which Cotter and Laspisa headed.

Once a framework for the HR Outsourcing structure was hammered together, senior HR staff at each of Sony Electronics’ seven locations reviewed and validated it. A change management team was assembled to analyze employee and manager work processes and behaviors to determine how these would change. The team also addressed Web access, security, and privacy issues. Finally, a major communications and training effort was launched to get everyone attuned to the new system. The planned kickoff for the endeavor was Sept. 11, 2001. Due to the tragic events that ensued that day, the kickoff was postponed until the next day

This April, Sony and Hewitt will introduce an expanded compensation administration system on HR Work Ways that includes annual salary planning and administration, incentive compensation, unplanned pay changes, special cash awards, and additional analytics.

The portal also will be expanded to accommodate recruiting and deployment needs, providing services for job postings, applicant tracking, and employee orientation, transfers, and exits.

Sony Corporation Announces New Management Structure

Sony Corporation's current management team today proposed the creation of a new management structure designed to expand upon its core strengths as a global electronics, entertainment and technology company. The proposal was approved at the Board of Directors' Meeting held today. Effective June 22, subject to approval at Sony Corporation's Ordinary General Shareholder's

Cultural Challenges faced by Sony

Sony culture emphasizes "a spirit of freedom and open-mindedness," and a fighting spirit to innovate. Founder Masaru Ibuka crafted this vision in Sony's Founding Prospectus, and the philosophy is embedded in our company DNA, embodied in our employees, and seen throughout our history

·         Sony use different languages to script their sites. They have translated their websites in many languages.

·         Sony employs 167,900 people world wide.

·         Workforce Diversity is one of the challenges faced by the company. Even Marketing and catering the product to different markets and after sales service are the challenges the company needs to work upon.

·         Sony has an ongoing talent development initiative . In 2008, the company created 13 global    talent directors who are assigned to identify promising individuals in all businesses and regions and develop them into future business leaders. This initiative also includes a job rotation project with individuals moving through a schedule of job assignments designed to give them exposure to a variety of businesses and regions.

New products launched by Sony

1. Sony India to launch 10 new LED TV models

Consumer electronics major Sony has lined up a string of launches in the LED television segment in India this year, even as it is preparing a new marketing initiative that aims at capturing a 30 per cent market share in the LCD segment by 2010-end.company will be launching 10 new products in the LED segment from June this year. Sony is betting big on the 3D enabled TV that will be launched across all its markets, including India, from June. It will simultaneously launch some software products to support the 3D TVs.As part of its plans to strengthen its brand image, the company will be investing Rs 140 crore in 2010 for a new marketing campaign that will cover the print and electronic media, online and outdoor platforms. It also plans to double its outlets from the present 2,500 this year.

2. HD camera

The SNC-CH240 Full HD Fixed camera was launched at Sony's Power of Images (POI) event in Germany, completing its HD range. IFSEC heralded the European launch of two new HD cameras. The SNC-DH180 and SNC-DH240 were unveiled for the first time at ISC West in the US in March and will be on show for the first time in Europe at IFSEC 2010. Focused on image quality, the SNC-DH180 boasts a built-in infrared (IR) illuminator to deliver excellent images even in absolute darkness, while the SNC-DH240 is equipped with various different image enhancers including View-DR.

3. Laptop with new Transfer Jet

Sony will launch the first laptop containing the new Transfer Jet short-range wireless system on Saturday. Sony hopes Transfer Jet will replace cables for shifting data between gadgets, but the technology's success will depend on its use in products from the big-name consumer electronics companies that have pledged to support it.

4. Sony to launch new e-reader in Japan

 Sony has partnered with three local companies including mobile phone carrier KDDI Corp, Toppan Printing Co. and Asahi Shimbun, a major newspaper in Japan, to establish an e-book distribution company.

5. Sony Unveils Its Answer to Apple's iTunes

Sony (SNE) is taking a page from Apple's playbook .On Nov. 19, Sony said it plans to launch an online store selling music, movies, and books as well as other downloadable applications for mobile products. Sony's top executives didn't specify when the Internet store, tentatively called Sony Online Service would go live or what it would look like. But the online storefront announced at a management strategy meeting in Tokyo, is likely to bear some similarities to Apple's iTunes store and would be Sony's most ambitious attempt to link its products to its own vast library of digital content.

• Completely new lineup of BRAVIA™ LCD televisions with LED backlight technology and our new Monolithic Design is a clear example of how Sony will continue to own the living room by creating products that deliver on Sony’s promise of exceptional TV quality and performance-a promise that continues with the upcoming launch of 3D televisions.
• VAIO PCs continue to impress with their strong combination of innovation, entertainment and elegant design. One particularly exciting model in the lineup is the Z series. Weighing in at just three pounds and featuring cutting-edge graphics, it is a wonderful example of our ultra-mobile engineering expertise.

• Sony Ericsson introduced the Xperia™ X10-a feature-rich Smartphone built on a new open platform-and is currently rolling it out globally. In addition to rich graphics and a large touchscreen display, the Xperia™ X10 also features applications to intelligently manage both communications and media from multiple sources.
• Cinemas around the world are starting to deploy digital projectors, which allow content to be projected at substantially higher image quality than existing projectors. The 4K digital cinema projector system already commercialized by Sony is designed for easy conversion to 3D projection, and the two largest theater chains in the United States have signed on to deploy our systems across their circuits of more than 11,000 screens, representing an important step for this growth business.
• Sony/ATV Music Publishing, for the first time in the Company’s history, was named ASCAP Pop Publisher of the Year-the industry’s highest honor. Sony/ATV continues to be tremendously innovative in licensing the songs in its catalog, and with the year’s biggest international country and pop sensations-Taylor Swift and Lady Gaga-signed to Sony/ATV, there is a lot to be excited about.

Televisions
The Company is targeting profitability in LCD TVs in fiscal year 2010. In addition, this autumn we will launch the Sony Internet TV. Developed in collaboration with Google, Sony Internet TV is an exciting new generation of television that not only offers new forms of enjoyment through unprecedented Internet integration, but is also able to “evolve” through the download of applications. We are also developing the next generation of TV display, and over the medium term are targeting a 20% market share.

Game
The PlayStation®3 platform has been gaining momentum since the launch of the slimmer, lighter and attractively priced PS3™ last year. PlayStation®Move features a new motion controller that, when combined with the PlayStation®Eye camera, can very precisely track users’ movements to add a new dimension to PS3™ games. Additionally, as a core aspect of Sony’s Groupwide launch of 3D products, we have commenced the era of 3D gaming by enabling all existing PS3™s to be upgraded to 3D-compatibility with a free firmware download, and will release our own 3D game titles and continue to actively support the development of 3D games by third-party software developers.

Digital Imaging

*3 “α” NEX-5, the smallest and lightest interchangeable lens digital camera body, will be launched on May 11, 2010.

Article:Expect the Unexpected By Teena Rose

How do successful business executives stay on top of the game in an ever-changing global marketplace? By being prepared for the unexpected. When senior management and executives are up-to-date on industry movement, they are better prepared to know when to act and when to wait. Just as investors must understand and learn when to act in the stock market, so too do executives need to understand which industry changes necessitate action.

Successful corporate leaders are not necessarily those who are able to motivate the troops to excel, but rather, those who are able to anticipate and react to change. This executive understands the current business climate, and has a thorough understanding of the management team's capabilities. Signs may point in a clear direction for an industry to head, but is this the best direction for a particular business? This is a fine line to walk, and executives who are skilled in researching industry trends, keeping up with all types of technologies, and are able to handle the unexpected will be the ones who can lead a company into the next phase.

1. Ensure Senior Management and Executives Keep Their Fingers on the Pulse of Their Industry
While it seems like common sense, the simple act of keeping up on industry trends is too often overlooked. Those in executive careers are overworked, over-focused, and too busy developing the next big thing of their own. But what is going on in the industry while your company is buried in its own projects? The perceptive executive knows that it is essential to keep a finger on the pulse of the industry. This includes current trends,projected directions, and of course, what the competition is doing.

Successful businesses are often those who develop a niche and do this best, whether it is develop a product, provide a service, or a combination.However, these companies also seem to know when it is appropriate to expand. What about less successful companies? How often have start-ups gotten off to a great start, only to fizzle out a few months later?

The difference is finding the balance between the core products or services and the new options that show real--not simply hyped--potential. The only way this can be determined with some degree of accuracy is to keep watch over the industry on a regular basis, from observing historical trends to watching which of the latest developments show potential. Many executives get themselves and their companies into trouble by trying to do too much. It is not possible to "hit" every trend that comes your way, no matter how tempting or how big the financial payoff appears to be.

2. Don't Overlook the Short- and Long-term Benefits of Technology

Technology affects all aspects of your business, regardless of whether or not you are in a technical business or not. Corporations of all size rely on a wide range of technologies on a daily basis; a simple breakdown in one area can hold up the rest of the company in very short order. Just as the breakdown of a single machine on a manufacturing line can put a halt to production, so too can a breakdown of the simplest technology create costly difficulties.

Just as the corporate executive needs to have a solid grasp on the direction of his or her industry, so too does this person need to have an understanding of both short- and long-term benefits of technology. Knowing when to act can save or cost the company millions of dollars.

Those with executive jobs need to understand the benefits of a technology in order to make a wise decision on its use. Many current technologies are enticing, promising quick results for a fraction of the cost. Nevertheless, will these technologies be around for the next few years? In many ways, there is no excuse for an executive not to know whether a new development is worth the investment. Information on new technology is everywhere, in many forms, such as online, in books, magazines, presentations, and word of mouth, just to name a few.

3. Expect the Unexpected Is it possible to expect the unexpected? Of course--anyone can say they're ready for the unexpected. Having an idea what the unexpected will be is quite another matter, which is why it' so important for executives and senior management to conduct ongoing industry research and stay current on technology. Effective leaders have a clear sense of where the company is going and have a plan in place complete with contingencies. Expecting the unexpected means planning for the unexpected.Successful executives understand where the company is in its business cycle and plan accordingly. An established company may be better equipped to take risks, for example. If senior management is prepared for both success and failure, with plans in place for all scenarios, the unexpected may not come as such as surprise. In other words, forecast what's to come and modify your operations, administration, sales and marketing, and customer communications to accommodate it.

Encourage all executives and members of senior management to stay vigilant on industry developments. Promote communication between all corporate departments and compare notes. Use the combined information to make as accurate of forecasts as possible.

By Teena Rose

My learning:

In order to be successful in any field it is very essential to be actively monitor the external environment successful manager is one who is not only tries to predict the future effectively but also see what I can do it something expects happens. They are always prepared to handle any kind of unexpected situation.

DHL HR policies

Founded in San Francisco more than 40 years ago by 3 budding entrepreneurs - Adrian Dalsey, Larry Hillblom and Robert Lynn - DHL has continued to expand at a phenomenal rate. Today, it stands tall as the global market leader of the international express and logistics industry.

Back In 1969, DHL took its first small steps in building for the future by personally shipping papers by airplane from San Francisco to Honolulu. The years passed and the DHL network grew ever larger, gradually reaching out to new customers in every corner of the world. At the same time, the marketplace developed and became more complex, so DHL adapted to meet the changing needs of its customers - both at global and local level.

Today, DHL's international network links more than 220 countries and territories worldwide. DHL also offers unparalleled expertise in express, air and ocean freight, overland transport, contract logistics solutions as well as international mail services.

From 1969 until today, the approach and dedication has remained the same.Success has always been based around delivering excellent service for our customers. Never complacent, DHL has become a brand acknowledged for personal commitment, proactive solutions and local strength. At the heart of its success are its employees who focus on the customer's needs and provide individually customized solutions.

DHL is part of Deutsche Post DHL. The Group generated revenue of more than 46 billion euros in 2009.


Source:http://www.dhl.com/en/about_us/company_portrait.html#history