Home Blog Page 23

What is Urbanization?

Gaurav Mamgain
-
0
What is Urbanization?

Urbanization is the physical growth of rural or natural land into urban areas as a result of population migration to an existing urban area. Here in this article, we have explained What is urbanization and its meaning, definition, causa, effects, problems, and solutions.

► What is Urbanization?

Urbanization alludes to the population shift from country to metropolitan regions, the relating decline in the extent of individuals living in provincial regions, and the manners by which social orders adjust to this change.

Urbanization is a cycle by which populaces move from provincial to metropolitan regions, empowering urban areas and towns to develop.

It can likewise be named as a dynamic expansion in the number of individuals living in towns and urban communities.

It is exceptionally affected by the thought that urban communities and towns have accomplished better financial, political, and social mileages contrasted with rural regions.

Likewise, urbanization is extremely normal in creating and creating universes as an ever-increasing number of individuals have the propensity of drawing nearer to towns and urban communities to secure “special” social and monetary administrations as well as advantages.

These incorporate social and monetary benefits, for example, better training, medical services, sterilization, lodging, business potential open doors, and transportation.

◉ Urbanization Meaning

  • Urbanization refers to a process in which an increasing proportion of society lives in cities and the suburbs of cities.
  • Urbanization occurs because people move from rural areas to urban areas. This usually occurs when a country is still developing.
  • Economic forces were such the cities became the ideal places also to locate factories and their workers.

◉ Definition of Urbanization

Urbanization is the physical growth of urban areas as a result of rural migration and even suburban concentration into cities.

Urbanization is the whole process of change and its consequences when a society gets transformed from an agrarian economy to an industrial economy and from a small homogenous society to a large heterogenous mass. – Riessman (1964)

Urbanization is defined as the movement of people from communities concerned chiefly or solely with agriculture to other communities, generally larger whose activities are primarily centered on government, trade manufacturing, or allied interests. – Thompson Warren (Encyclopedia of Social Science)

► Causes of Urbanization

  1. Increasing Industrialization
  2. Commercialization
  3. Social Benefits and Services
  4. Business Opportunities
  5. Modernization and Changes in the Mode of Living
  6. Country metropolitan Transformation

◉ 1. Industrialization

Industrialization is a pattern addressing a shift from the old farming financial matters to an original non-rural economy, which makes a modernized society.

Through the modern upheaval, more individuals have been drawn to move from country to metropolitan regions by virtue of further developed business and valuable open doors.

Industrialization has expanded business valuable open doors by allowing individuals the opportunity to work in present-day areas in work classifications that guide mixed monetary turns of events.

◉ 2. Commercialization

Business and exchange assume a significant part of urbanization. The dispersion of labor and products and business exchanges in the cutting edge period has created current showcasing foundations and trade strategies that have enormously led to the development of towns and urban communities.

Commercialization and exchange accompany the overall discernment that the towns and urban communities offer better business valuable open doors and returns contrasted with the rustic regions.

◉ 3. Social Benefits and Services

There are various social advantages credited to living in urban communities and towns. Models incorporate better instructive offices, better expectations for everyday comforts, better disinfection and lodging, better medical services, better entertainment offices, and better public activity overall.

On this record, an ever-increasing number of individuals are provoked to relocate into urban communities and towns to acquire a wide assortment of social advantages and administrations which are inaccessible in country regions.

◉ 4. Business Opportunities

In urban communities and towns, there are adequate open positions that consistently draw individuals from rustic regions to look for a superior business.

Accordingly, most individuals habitually move into metropolitan regions to get to well-paying positions as metropolitan regions have innumerable work open doors in all formative areas like general wellbeing, schooling, transport, sports and amusement, ventures, and business undertakings.

Administrations and businesses produce and increment higher worth-added positions, and this prompts greater work open doors.

◉ 5. Modernization and Changes in the Mode of Living

Modernization assumes a vital part of the time spent on urbanization. As metropolitan regions become more innovative and insightful along with profoundly modern correspondence, framework, clinical offices, dressing code, illumination, advancement, and other social conveniences accessibility, individuals accept they can have a blissful existence in urban communities.

In metropolitan regions, individuals additionally embrace changes in the methods of living in particular private propensities, mentalities, dressing, food, and convictions.

Subsequently, individuals relocate to urban areas and the urban communities develop by retaining the developing number of individuals without fail.

◉ 6. Country metropolitan Transformation

As territories become more productive and prosperous because of the disclosure of minerals, asset abuse, or farming exercises, urban areas begin arising as the country regions change into urbanism.

The expansion in usefulness prompts monetary development and higher-worth added business opens doors.

This achieves the need to foster a better framework, better schooling foundations, better wellbeing offices, better transportation organizations, the foundation of banking establishments, better administration, and better lodging.

As this happens, rustic networks begin to embrace the metropolitan culture and eventually become metropolitan habitats that keep on developing as more individuals move to such areas looking for a superior life.

Also Read :Causes of Deforestation

► Advantages of Urbanization

  • Employment opportunities in the urban center.
  • Transport and communication facilities.
  • Better Educational quality.
  • Technological and infrastructural advancement
  • Medical Facilities
  • Increase in standard of living.

Urbanization can yield positive impacts also if it takes place up to a desirable limit. Extensive urbanization or indiscriminate growth of cities may result in adverse effects They may be as follows.

► Effects of Urbanization

  1. Constructive outcomes of Urbanization
  2. Housing Problems
  3. Stuffing under Urbanization
  4. Unemployment
  5. Increasing Slums under Urbanization
  6. Water and Sanitation Problems
  7. Poor Health and the Spread of Diseases
  8. Gridlock / Traffic Jam
  9. Metropolitan Urban Crime

✔ 1. Constructive outcomes of Urbanization

Urbanization yields a few constructive outcomes assuming that it occurs inside as far as possible.

A portion of the positive ramifications of urbanization, in this way, incorporate the production of business open doors, and innovative and infrastructural progressions.

Developed transportation and correspondence, quality instructive and clinical offices, and further developed ways of life.

Nonetheless, broad urbanization for the most part brings about unfriendly impacts. Underneath recorded focuses are a couple of them.

✔ 2. Housing Problems

Urbanization draws individuals to urban areas and towns which prompts a high populace increment.

With the increment in the number of individuals residing in metropolitan places, there is a proceeding shortage of houses.

This is because of inadequate development space for lodging and public utilities, destitution, joblessness, and expensive structure materials which must be managed by a couple of people.

✔ 3. Overcrowding in Urbanization

Overcrowd is what is going on by which a colossal number of individuals live in a little space.

This type of blockage in metropolitan regions is predictable on account of overpopulation and it is a viewpoint that expands step by step as more individuals and settlers move into urban communities and towns looking for a superior life.

The vast majority from rustic or lacking regions generally have the inclination of relocating into the city which regularly prompts a clog of individuals inside a little region.

✔ 4. Unemployment

The issue of employment is most elevated in metropolitan regions and it is much higher among taught individuals.

It is assessed that the greater part of jobless adolescents all over the planet lives in metropolitan urban communities.

✔ 5. Development of Slums

The typical cost for basic items in metropolitan regions is exceptionally high. At the point when this is joined with arbitrary and unforeseen development as well as joblessness, there is the spread of unlawful occupant settlements addressed by ghettos and vagrants.

The development of ghettos and vagrants in metropolitan regions is much additionally exacerbated by quick-moving industrialization.

The absence of created land for lodging, a huge inundation of country outsiders to the urban communities looking for a superior life, and the raised costs of land past the range of the metropolitan poor.

✔ 6. Water and Sanitation Problems

In light of overpopulation and fast populace expansion in most metropolitan habitats, it is normal to observe there are deficient sewage offices.

Regions and neighborhood state-run administrations are confronted with genuine asset emergencies in the administration of sewage offices.

Accordingly, sterilization becomes poor and sewages stream turbulently, and they are depleted into adjoining streams, waterways, lakes, or oceans.

Ultimately, transmittable infections like typhoid, loose bowels, plague, and the runs spread exceptionally quickly prompting enduring and even passings. Stuffing additionally profoundly adds to water shortage as supply misses the mark regarding the request.

✔ 7. Poor Health and Spread of Diseases

The social, financial, and day-to-day environments in blocked metropolitan regions influence access and usage of general medical care administrations.

Ghetto regions specifically experience helpless disinfection and inadequate water supply which for the most part make ghetto populaces vulnerable to transferable infections.

Natural issues, for example, metropolitan contamination likewise cause numerous medical conditions specifically sensitivities, asthma, barrenness, food contamination, disease, and surprisingly unexpected losses.

✔ 8. Gridlock or Traffic Jam

At the point when more individuals move to towns and urban areas, one of the significant difficulties presented is in the vehicle framework.

More individuals imply an expanded number of vehicles which prompts gridlock and vehicular contamination.

Many individuals in metropolitan regions drive to work and this makes a serious traffic issue, particularly during busy times.

Likewise, as the urban areas fill in aspect, individuals will move to shop and access other social necessities/needs which frequently cause gridlock and blockage.

✔ 9. Metropolitan Urban Crime

Issues of the absence of assets, stuffing, joblessness, destitution, and absence of social administrations and schooling constantly lead to numerous social issues including brutality, illicit drug use, and wrongdoing.

The vast majority of the violations like homicide, assault, seizing, riots, attack, burglary, theft, and commandeering are accounted to be more conspicuous in the metropolitan areas.

  • Destitution-related violations are the most elevated in quickly developing metropolitan areas.
  • These demonstrations of metropolitan wrongdoing regularly furious the harmony and serenity of urban areas/towns.

Also Read :Population Composition

► Solutions to Urbanization

  • Building Sustainable and Environmentally-friendly Cities
  • Arrangement of Essential Services under Urbanization
  • More Jobs Opportunities
  • Population Control under Urbanization

◉ 1. Building Sustainable and Environmentally-friendly Cities

State-run administrations should pass regulations that arrange and give earth sound urban communities and brilliant development strategies, taking into account that individuals ought not to dwell in risky and dirtied regions.

The target here is to construct economical urban areas that embrace worked-on ecological circumstances and safe natural surroundings for every metropolitan populace.

State-run administrations ought to likewise energize maintainable utilization of metropolitan assets and backing an economy in view of the supportable conditions like interest in green foundation, feasible ventures, reusing and ecological missions, contamination of the executives, sustainable power, green public transportation, and water reusing and recovery.

◉ 2. Arrangement of Essential Services under Urbanization

Metropolitan partners should guarantee all populaces inside the metropolitan regions approach satisfactory fundamental social administrations specifically schooling, wellbeing, disinfection and clean water, innovation, power, and food.

The target here is to give and execute work open doors and abundance creation exercises so that individuals can make money to pay for the upkeep of the administration.

Appropriations can likewise be profited by the public authority to bring down the expenses of essential medical services, fundamental instruction, energy, schooling, public transportation, correspondence frameworks, and innovation.

◉ 3. More Jobs Opportunities

To reduce the adverse consequences of quick urbanization while simultaneously preserving regular biological systems, private speculations ought to be urged to use normal assets and set out more work open doors.

The travel industry advancement and the maintainable abuse of regular assets can make more positions for metropolitan populaces.

Endowments and awards should be given to unfamiliar and private interests in harmless to the ecosystem advancement projects that energize work creation.

◉ 4. Population Control under Urbanization

Key partners in metropolitan regions should give missions and direct to compelling clinical wellbeing facilities and families wanting to assist with diminishing the high paces of populace development.

Clinical wellbeing facilities arranged towards family arranging choices should be made available across the whole metropolitan region with the target of controlling illnesses and populace development.

Also Read :What is Human Settlement?

What is Marketing?

Gaurav Mamgain
-
0
What is Marketing?

Marketing is the activity of creating communicating delivering, and exchanging offerings that have value for customers, partners, and overall society at large. Here in this article, we have explained what is marketing and its meaning, definition, types, process, and advantages.

► What is Marketing?

The marketing concept is a vital aspect for deciding the requirements, and wants of target markets, conveying the ideal fulfillment all the more proficiently and adequately by contenders is basic to accomplishing hierarchical objectives.

For example brands Advertisement on TV, Billboard Ads, Co-sponsored and promotional events, and magazine ads. Be that as it may, not all organizations approach the need to showcase their products and services the same way.

◉ Marketing Meaning

The expression “market” alludes to the social occasion spot of buyers and sellers to manage exchanges including the trading of products and services.

The expression “market” comes from the Latin word “Mercatus,” and that signifies “to trade.” Marketing means where there are buyers and sellers.

◉ Definition of Marketing

Marketing is the management process responsible for identifying, anticipating, and satisfying consumers’ requirements and profitability. – Chartered Institute of Marketing

Marketing is the science and art of exploring, creating, and communicating value to satisfy needs and desires. It defines measures and quantifies the size of the identified market and the profit potential. It pinpoints which segments the company is capable of serving best and it designs and promotes the appropriate products and services – Dr. Philip Kotler

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers clients partners, and society at large. – American Marketing Association

Marketing can be defined as the whole business seen from the point of view of its final result and customer satisfaction. – Peter Drucker (1973)

► Objectives of Marketing

Marketing objectives are the SMART goals or targets set by a company for the product. It is often part of overall organizational objectives.

  • Building Brand Reputation
  • Generate demand
  • Customer Satisfaction
  • Sales Maximization
  • Enhance Product Quality
  • Brand Awareness
  • Brand Positioning
  • Finding New Customers
  • Increase Market Share
  • Increase Product Differentiation
  • Target New Market (Segmentation)

► Scope of Marketing

  • Product Design
  • Product Implementation
  • Pricing of Product
  • Selection of Layout
  • Publicity of the product
  • Distribution Channel
  • Selling of Product
  • Customer Feedback

► Features of Marketing

  • Systematic Process
  • Integrated Approach
  • Products, Ideas & Services
  • Target Market
  • Pervasive in nature
  • Customer Satisfaction
  • Competitive Advantage
  • Corporate Image
  • Expansion of Business
  • Organizational Objectives
  • Market Situation
  • Social Interest

◉ 4 Major Elements in Concept of Marketing

  • Needs and Wants
  • Making a Market Offering
  • Customer Value
  • Exchange Mechanism

✔ 1. Needs and Wants:

The showcasing system helps purchasers in getting what they require and want. A need is supposed to be known as a condition of hardship or the inclination that one is denying oneself something. Needs are basic to people and are disconnected to a particular item.

✔ 2. Making a Market Offering:

The market offering is the most common way of offering and presenting an item or administration with explicit elements like size, quality, taste, etc to sell.

✔ 3. Customer Value:

Promoting used to work with the trading of products just as administrations among purchasers and dealers.

✔ 4. Exchange Mechanism:

The trading instrument is utilized in the showcasing system. Trade alludes to the interaction where at least two gatherings are used to meet up to get the ideal products or administration from somebody in return for something. For instance, cash is the vehicle of trade used to buy or sell an item or administration.

The following conditions should be met for a trade to happen:

  • a) There must be involvement of two parties i.e. buyer and seller.
  • b) Both parties must give something of value to each other in return.
  • c) Correspondence and communication between the buyer and seller.
  • d) Both have the right to accept or dismiss the offer.
  • e) Ready to do the transaction for the exchange by full consent.

Also Read :What is Rural Marketing?

► Process of Marketing

  1. Mission and Objective Plan
  2. Market Situation Analysis
  3. Marketing Strategy
  4. Marketing Mix
  5. Implementation and Control

Let’s discuss all these steps involved in the marketing process in more detail.

◉ Step 1: Mission – Mission Statement, Organizational Objectives, Understanding the Customer needs and wants.

◉ Step 2: Situation Analysis – Identity opportunity SC Analysis, SWOT analysis, and PEST analysis.

◉ Step 3: Marketing Strategy – Define your target audience, Set measurable goals to develop a budget. Build SMART Goals and strategies for customers and formulate an Integrated marketing plan that delivers superior value.

◉ Step 4: Marketing Mix – Product development Pricing, Promotion, Place, and Distribution. Build profitable relationships by communicating via advertising champagne.

◉ Step 5: Implementation and Control – Put the plan into action and Monitor Results.  Providing value to the customers.

► Types of Marketing

  • Advertising
  • Personal Selling
  • Digital Marketing
  • Inbound Marketing
  • Content Marketing
  • Social Media Marketing (SMM)
  • Search Engine Marketing (SEM)
  • Email Marketing
  • Influencer Outreach & Sponsorships
  • Affiliate Marketing
  • Word of Mouth
  • Sales Promotion
  • Direct Marketing
  • Public Relation (PR)

► Advantages of Marketing

  • Brand recognition
  • New product ideas and improvements
  • Increase in Sales and Revenue
  • Cost Effective
  • Higher Return on Investment (ROI)
  • Better Corporate Image
  • Generate Demand in Market
  • Reach out to Potential Customer
  • Cope up with the Market Competition

► What can be Marketed?

  • Physical
  • Product
  • Services
  • Ideas
  • Person
  • Place
  • Experience

✔ 1. Physical Product: Physical Product implies an Identified Product and its bundling as sent or conveyed to buyers, including naming, pictures, embeds, packaging, and some other bundling or materials that go with the Identified Product and contain or reflect Communications.

✔ 2. Services: Services are the non-physical, immaterial pieces of our economy, rather than products, which we can contact or deal with. Administrations, like banking, instruction, clinical treatment, and transportation make up most of the economies of rich countries.

✔ 3. Ideas: Ideation is a fundamental piece of a showcasing group’s liabilities. It is the most common way of concocting new and inventive ways of drawing in your crowd and driving development.

✔ 4. Person: It is the utilization of endeavors intended to draw in the consideration, premium, and inclination of an objective market toward an individual.

✔ 5. Place: Place in advertising blend alludes to the topographical area where the organization sells its items and offers its types of assistance. It is said that area is one of the main pieces of promoting technique.

✔ 6. Experience: Experience advertising, likewise alluded to (refers) as “experiential showcasing,” is a technique that utilizes in-person occasions to advance items. The objective of involvement advertising is to make a great buying experience, expanding your client esteem improvement.

Also Read :What is Sales Budget?

► 7 P’s of Marketing

  1. Product
  2. Price
  3. Place
  4. Promotion
  5. People
  6. Processes
  7. Physical Evidence

► What is Marketing Mix?

The term “Marketing Mix” was first introduced by Neil Borden, Later on, E. Jerome McCarthy refined Borden’s model and reduced them to four elements. These elements are founding principles and are now referred to as the 4 Ps of Marketing.

The marketing mix is a vital concept of marketing management. The main objective of every business organization is to earn and maximize its profits.

For doing so, they concentrate on 4 factors, i.e. Product, Place, and Promotion. known as the marketing mix.

◉ 4 P’s of Marketing

  • Product
  • Price
  • Promotion
  • Place

1. Product

The first P of the Marketing mix is Product. A product can be either a tangible good or an intangible service that fulfills customers’ needs and wants.

Whether you sell clothing, packed food items,s or provide luxury hotel rooms for accommodations. It’s essential that you have a clear idea of exactly what your product is and how it is different from others then only you can market it successfully.

Product Strategies are based on the elements i.e. Features, Quality, Branding, Packaging, Guarantee, etc.

2. Price

Once we get clarity about the product and its offering, then we can start making some pricing decisions. The price of the product will impact profit margin, supply, demand, and marketing strategy.

The Price of the product is the amount that a customer pays to buy that product. Price is an important component in the marketing mix. The elasticity of Pricing may influence our next two ps which are Promotion and Place.

Three major Pricing strategies are Market Penetration pricing, Skimming Pricing, and Neutral pricing.

3. Promotion

Promotion is a very important component of marketing as it can boost brand recognition and sales, Promotion is comprised of various elements such as; Sales Promotion, Public relations, Advertising, and Personal Selling.

Each promotion strategy must be supported by a well brand positioning to truly maximize return on investment (ROI).

Promotion Strategies are Advertising, Sales promotional channels, PR, and Discounting strategy.

4. Place

Marketing is all about putting the right product, at the right price at the right place and at the right time. It is true and to evaluate the best location to maximize sales one should have a deep understanding of the target market.

Distribution and Placement of the product must be done effectively. The position and distribution of the product should be in a place that is accessible to potential buyers.

Placing Strategies are Intensive distribution, Exclusive distribution, Selective distribution, franchising, Channels Locations Inventory, Transport, and Market Coverage strategy.

► Who is a Marketer?

It is also known as an advertiser. A marketer is an individual who puts forth an additional attempt to recognize the requirements of the buyers and deal with the item or administration just as convince them to purchase during the time spent trade.

Merchants, as advertisers, are the ones who give fulfillment. They make items/administrations accessible and offer them to clients to address their issues and wants.

They are delegated as follows:

  • a) Product advertisers (like Hindustan Lever).
  • b) Administration advertisers (like Indian Airlines).
  • c) Others promoting encounters or places (like Walt Disney) (like traveler objections).

Advertising exercises are those attempted by advertisers to work with the trading of labor and products among makers and purchasers.

► What is Marketing Management?

In marketing management, the board is the organization of advertising capacities. It is considered the most common way of getting sorted out, coordinating just as controlling the exercises related to showcasing labor and products to address the issues of clients and accomplish authoritative objectives.

MM is the board is a course of controlling the promoting viewpoints, defining the objectives of an organization, coordinating the bit of the plan by bit, making choices for the firm, and executing them to get the greatest turnover by satisfying the buyers’ needs.

◉ The Process of Marketing Management Involves

a) Identifying Objectives of the company.

b) Driving interest by delivering items that address the issues and interests of clients.

c) Make, create, and convey unrivaled client esteems.

  • To offer predominant benefit items/administrations to forthcoming clients.
  • To impart these qualities to other possible purchasers to convince them to buy the item/administration.

Also Read :What is Sales Quota?

What is Innovation?

Gaurav Mamgain
-
0
What is Innovation?

Innovation is the reasonable utilization of thoughts that outcome in various new kinds of new contributions, similar to items, administrations, cycles, and plans of action, meaning to improve or upset existing applications or make new arrangements. Here in this article, we have explained what is innovation, its meaning, definition, types, and advantages.

► What is Innovation?

Innovation refers to the process of “Turning an idea into a solution that adds value from a customer’s perspective”.

Innovation is the process of executing an idea that addresses a specific challenge and achieves value for both the company and the customer.

◉ Innovation Meaning

  • Innovation is the act of introducing something new. (The American Heritage Dictionary)
  • It means the introduction of something new idea, method, or device. (Merriam Webster)

◉ Definition of Innovation

Innovation refers to a change that creates a new dimension of performance. The process of making improvements by introducing something new. – Peter Drucker (Hesselbein, 2002)

An Innovation is a new or improved product or process (or a combination thereof) that differs significantly from the unit’s previous products or processes and that has been made available to potential users (product) or brought into use by the unit (process). – The Oslo Manual (OECD, 2019)

► Objectives of Innovation

  • Improve Overall Quality
  • Identify new markets
  • Product range extension
  • Reducing labor cost
  • Reducing environmental damages
  • Replacement of product and services
  • To gain economic benefits from new technology.
  • To reduce new product development time period.
  • To manage large, complex, and multiple projects

► Fields of Innovation

Innovation can be in various structures and results. Whenever we talk about advancement, the vast majority consider new items while there is a wide cluster of various development results conceivable. Here we list the most well-known field of innovation.

  1. Product Innovations
  2. Technology Innovations
  3. Plan of action Innovations
  4. Authoritative Innovations
  5. Process Innovations
  6. Promoting/Sales – New Channel Innovation
  7. Network Innovations
  8. Client Engagement/Retention

✔ 1. Item and Product Performance Innovation
Either another item is created or the presentation of a current item is gotten to the next level. This sort of advancement is exceptionally normal in the business world.

✔ 2. Technology Innovations
New advances can be additionally the reason for some different developments. The best model was simply the Internet, which was an advancement yet, in addition, lead to different developments in different fields.

✔ 3. Plan of action Innovations
A considerable lot of the best organizations on the planet figured out how to advance their plan of action. Utilizing various channels, advancements and new business sectors can prompt new conceivable plans of action which can make, convey and catch client esteem.

Advanced environments are a notable illustration of development utilizing a few innovations and making an entirely different sort of business.

✔ 4. Authoritative Innovations
Overseeing and sharing assets in another manner can likewise be a development. This way it’s feasible to involve assets and resources in a totally new manner.

✔ 5. Process Innovations
Advancement in the cycles can work on the productivity or adequacy of existing techniques. Conceivable cycle advancements include creation, conveyance, or client cooperation.

✔ 6. Promoting/Sales – New Channel Innovations
New strategies to catch and hold consideration from clients. Either using creative promoting/deals ideas or the utilization of new channels for client procurement/deals.

✔ 7. Network Innovations
By interfacing various gatherings and partners it very well may be feasible to make additional worth. This sort of development is extremely normal because of the utilization of ICT administrations.

✔ 8. Client Engagement/Retention
Inventive ideas that attempt to build the commitment of clients and keep the maintenance up. The objective is to have inventive models to keep the clients “secured” or locked in.

► Types of Innovation

To begin with, we really want to comprehend that there are different ways that development can affect items, administrations, and cycles. Most normally we separate between 4 degrees of advancement – Incremental, Disruptive, Architectural, and Radical.

There are 4 Types of Innovations.

  1. Incremental Innovation
  2. Disruptive Innovation
  3. Architectural Innovation
  4. Radical Innovation

◉ 1. Incremental Innovation: Existing Technology, Existing Market

One of the most well-known types of innovation that we can notice. It utilizes existing innovations inside a current market.

The objective is to work on a current contribution by adding new elements, changes in the plan, and so on

For Example

All that Examples of steady innovation should be visible in the Smartphone market where the most development is just refreshing the equipment, working on the plan, or adding a few extra features/cameras/sensors, and so on.

◉ 2. Disruptive Innovation: New Technology, Existing Market

Disruptive Innovation is for the most part connected with applying new innovations, processes, or problematic plans of action to existing ventures.

Here and there new advances and plans of action appear, particularly in the first place, substandard compared to the current arrangements however after certain emphases, they outperform the current models and assume control over the market because of proficiency or potential viability benefits.

For Example

Amazon utilized Internet-Technologies to upset the current business for book shops. They had the current market for books however changed the manner in which it was offered, conveyed, and experienced because of the utilization of troublesome advances.

One more example is iPhone, where existing innovations on the lookout (Phones with buttons, keypads, and so forth) were supplanted with contact interface-focused gadgets joined with instinctive UIs.

◉ 3. Architectural Innovation: Existing Technology, New Market

Architectural Innovations are something we see with tech goliaths like Amazon, Google, and a lot more right now.

They take their space mastery, innovation, and abilities and apply them to an alternate market. This way they can open up new business sectors and grow their client base.

For Example

Particularly computerized biological system orchestrators like Amazon and Alibaba utilize this development technique to enter new business sectors.

They utilize existing mastery in building applications, stages, and their current client base to offer new administrations and items for various business sectors. A new example of this, Amazon as of late entered the Healthcare field.

◉ 4. Radical Innovation: New Technology, New Market

Radical Innovations are the most uncommon type of all. Radical innovation includes the production of advances, administrations, and plans of action that open up totally new business sectors.

For Example

The best illustration of revolutionary advancement was the innovation of the plane. This revolutionary new innovation opened up another type of movement and created an industry and an entirely different market.

Must Read :What is Entrepreneurship?

► Process of Innovation

  • Environmental Scanning
  • Aligning the overall business strategy and innovation proposal
  • Acquiring new technology from outside
  • Generating technology in-house
  • Exploring & selecting the most suitable response to the environment
  • Executing & Implementation of Innovation
  • Learning lessons for improvement
  • Developing the organization

► Barriers to Innovation

There are various types of barriers to innovation. It is divided into external and internal barriers.

◉ External Barriers

  • Market-Related Barrier
  • Government Policies Others (Technical, Society, Inter-Organizational barriers)

◉ Internal Barriers

  • People related
  • Structural
  • Strategy related

► How to bring innovation to your business?

Development/Innovation is here and there a vital basic region for the endurance of numerous organizations and ventures. However, reassuring your representatives to concoct groundbreaking thoughts can be in some cases unpleasant.

Here are a few hints on the most proficient method to get more development rolling:

  • Effectively empower your representatives
  • Ask clients for input/welcome clients for criticism and adjusts
  • Ask partners for input
  • Put resources into your worker’s schooling
  • Effectively save assets for Research and Development (R&D)
  • Construct an award framework for inventive reasoning
  • Work together with new businesses and imaginative organizations
  • Fabricate a business endeavor program
  • Do dynamic exploration on the web (follow industry news, tech news, and so forth)
  • Ask/interview specialists

Advancement is a well-balanced plan of action that should be tended to. Not all ventures will be effective, and the organization’s cycle should be figured out how to sift through potential falls flat before they hugely affect your development spending plan.

Attempt to smooth out the cycle and perhaps make your own development program that covers a portion of the focuses referenced previously. This way you can oversee it better and improve the outline.

► Protection of Innovations

There are numerous manners by which you can safeguard your advancement. We center here around the 2 significant security techniques which are all things considered “lawful insurance” or being the market chief due to a “first-mover advantage”.

◉ 1. Legal Protection

Contingent upon the kind of development, it very well may be valuable to patent your creation to adapt it and safeguard it from others. There likewise should be a comprehension of the expense of patent security.

While the underlying expense probably won’t be as high, it tends to be that the legitimate expenses to implement conceivable patent encroachments can skyrocket and make it harder for more modest organizations to get their right.

It is likewise critical to comprehend that not all things can be secured and protected. While items, cycles, and advancements are normally more straightforward to be secured/licensed, it’s harder/difficult to safeguard programming or plans of action.

◉ 2. First-Mover Advantage

Particularly programming organizations utilize the main mover advantage. An organization that has another cycle, new plan of action, or new item attempts to get however much piece of the pie as could reasonably be expected while the opposition is as yet fostering its contribution.

This headstart provides the principal mover with the benefit of gradually working on the item. This way it’s feasible to get a portion of the overall industry and proposition a superior item/administration quicker than others.

Entrepreneurship Development

Gaurav Mamgain
-
0
Entrepreneurship Development

Entrepreneurship development is concerned with the study of entrepreneurship behavior. the dynamics of business setup, development, and expansion of the business. Here in this article, we have explained the ED program and its meaning, definition, objective, models, and advantages.

► What is Entrepreneurship Development?

Entrepreneurship Development is a process of improving the skills as well as the knowledge of the entrepreneurs.

Entrepreneurship dev. can be done through various methods such as classroom sessions or training programs specially designed to increase entrepreneurship acumen.

◉ Entrepreneurship Development Meaning

Entrepreneurship development, in short E.D, means a process of enhancing entrepreneurship skills and knowledge through structured training and institution-building programs.

◉ Definition of Entrepreneurship Dev.

Entrepreneurship Dev. is the process of developing the infrastructure of public and private policies and practices that foster and support entrepreneurship.

Entrepreneurship Development could be defined as a process of enhancing the capacity to develop, manage and organize a business venture while keeping in mind the risk associated with it.

► Concept of ED

This concept of ED is all about enlarging the base of entrepreneurs in order to hasten the pace at which new ventures are created.

ED accelerates employment generation and economic development within the country.

Must Read :What is Entrepreneurship?

► Objectives of Entrepreneurship Development

  • Develop and strengthen entrepreneurial traits
  • Employment Generation
  • Boosting industrial development
  • Developing urbanization
  • Select and formulate the project
  • Learning the art of Product development
  • To know the source of help and support for a startup venture
  • Industry Exposer Learning
  • Entrepreneurial incubator culture
  • Fundraising Awareness
  • Sustainability and growth

► Need for Entrepreneurship Development

  • Increase in National production
  • Balanced development in all areas
  • Reinvestment of profit for the welfare of the areas of profit generation
  • The development provides motivation and human resource
  • Entrepreneurial awareness
  • Increase in employment opportunity
  • Increasing productivity
  • Optimum use of local resources
  • Continued innovation in technology and managerial practices
  • Improving international competitiveness

► Characteristics of Entrepreneurship Development

  • Encouraging Entrepreneurship
  • Building Desire for Entrepreneurship
  • Motivating Entrepreneurs
  • Ease of Doing Business
  • Facilitating Human Resource Development
  • Dynamic process
  • Knowledge Centre for Entrepreneurs
  • Mentorship program

► Importance of Entrepreneurship Development

  • Eliminate poverty and unemployment
  • Balance regional development
  • Reducing industrial slums
  • Utilizing locally available resources
  • Refuses social tension
  • Capital Formation Economic Independence

► Phases of ED Programme

  • Initial or Pre-training phase
  • Training or Development phase
  • Post-training or Follow-up phase

Must Read :Entrepreneurship Dev. Syllabus

► Process of Entrepreneurship Dev.

The total time period of Entrepreneurship dev. is over one and a half to two years.

  1. Pre Seminar Awareness
  2. Counseling, Motivation, and Idea Generation
  3. Training
  4. Project Report Preparation & Submission to Bank
  5. Follow-up sanction and disbursement of loans
  6. Mentoring for two years.

► Factors Affecting Entrepreneurship Development

  • Aspiration and Attitude of Entrepreneurs
  • Individual traits
  • Family circumstances
  • Govt Policies, Schemes, and Incentives
  • Social Cultural factors
  • Custom and Traditions
  • Market Competition
  • Business Environment and Industry trends
  • Support system
  • The attitude of Big Entrepreneurs
  • Entrepreneurship courses and training
  • Role of Financial Institutions and Banks

► Entrepreneurship Development Program

Entrepreneurship dev. programs may be defined as a program designed to help a person in strengthening his entrepreneurial motive, and in acquiring the skills and capabilities necessary for playing his entrepreneurial role effectively.

The ED program is designed to identify people who have entrepreneurial spirits and capabilities.

These programs provide immense information to potential entrepreneurs regarding new business ideas, how to set up a new venture, how to prepare project reports, how to fulfill legal formalities, sources of raising finance, etc.

A program that seeks to do all this shall qualify to be called an entrepreneurship dev. program.

► Entrepreneurship Development in India

There are various Government institutions for ED in India. The Entrepreneurship Development Institute of India (EDI) an autonomous body and not-for-profit institution founded in 1983 is sponsored by apex finance institutions namely the IDBI Bank Ltd, IFCI Ltd. ICICI Ltd, and State Bank of India (SBI).

The institute is registered under the societies registration act 1860 and the Public Trust Act 1950. The Government of Gujrat pledged twenty-three acres of land on which stands the majestic and sprawling EDI campus.

Following are the Govt Institutions for ED Programs in India;

  • National Institute for Entrepreneurship and Small Scale Business Development (NIESBUD)
  • Entrepreneurship development Institute of India (EDII)
  • Technical Consultancy Organization (TCO)
  • Indian Investment Centre (IIC)
  • Post Graduate Diploma in Management Business Entrepreneurship (PGDM-BE)
  • Post Graduate Diploma in Management Development Studies (PGDM-DS)
  • Fellow Programme in Management (FPM)

Apart from the above-mentioned institutions, there are various national and state-level institutions that provide assistance to the entrepreneurial development program.

For example;

  • SIDC: State Industrial Development Corporation
  • IDBI: Industrial Development Bank of India
  • ICICI: Industrial Credit and Investment Corporation of India
  • IFCI: Industrial Finance Corporation of India

◉ Problems / Challenges of Entrepreneurship Dev.

  • No specific policy at the national level
  • Nonavailability of infrastructural facilities
  • Duration of ED programs
  • Lack of commitment
  • Selection of wrong trainees
  • Improper methodologies
  • The lukewarm attitude of financial institutions
  • Less availability of competent staff

What is Sales Quota?

Gaurav Mamgain
-
0
What is Sales Quota?

Sales quotas are assigned to individual salespeople or sales units over a particular time period and are used to plan, control, and evaluate the selling activities of a company. Here in this article, we have covered all the topics i.e. What is Sales Quota, its meaning, definition, objectives, importance, and types.

► What is Sales Quota?

Sales quotas are sales goals or targets set by a company for its marketing or sales teams for a time period.

Marketing or Sales units are formed on the basis of regions, branches, sales territories, salespeople, and intermediaries.

In most companies, the Sales budget is broken down into sales quotas for various marketing units.

◉ Sales Quota Meaning

A quota simply means an expected performance objective. The sales Quota is tactical in nature and it is derived from the strategic objectives of the salesforce.

◉ Definition of Sales Quota

A sales Quota can be defined as a quantitative goal assigned to a sales unit for a particular time period. It acts as a tool to direct and control sales operations.

A sales quota refers to an expected routine assigned to sales units, such as territory, district, branches, etc.

Sales quotas are Sales assignments or goals, they are management expectations in dollars or units for a specific time period in the future. – Professor Kirkpatric

” A sales quota is the sales goal set for a product line, company division, or sales representative. It is primarily a managerial device for defining and stimulating sales effort.” – Phillip Kotler

► Objectives of Sales Quota

  • It provides performance standards or performance goals.
  • Controlling activities of a salesperson
  • To motivate people by linking quotas to compensation plans
  • Identifying the strengths and weaknesses of the company.
  • To provide Quantitative performance standard
  • To obtain Tighter sales and expense control

Must Read :What is Sales Budget

► Importance of Sales Quota

  • Quotas serve many purposes.
  • It provides a set standard of performance
  • It provides sales targets
  • It acts as a controlling technique
  • Quota encourages motivation among the salesforce

► Types of Sales Quota

  1. Sales Volume Quota
  2. Budget Quota
  3. Activity Quota
  4. Quota Combinations

◉ 1. Sale Volume Quota:

The oldest and most common method of designing Quotas. It is the basis for the standard for appraising the performances of individual sales personnel.

It may be set in terms of units of product sales or rupee sales or a combination of these two on a point basis.

  • Unit Quota uses when there are considerable price fluctuations
  • Rupee Quota is used when there are multiple products.
  • Point Quota is used when a company tries to attain both unit and rupee.

◉ 2. Budget Quotas

Budget quotas are set for various sales units in the organization to control selling expenses and gross margin or net margin or profit.

The idea underlying budget quotas is to make the sales personnel inform that their job is not merely to attain the sales volume above.

Budget is of two types;

  • Gross Margin or Net Profit Quotas
  • Expense Quotas

Profit Quota

Calculate gross margin by subtracting the cost of goods sold from sales volume. Sales managers are not responsible for the cost of manufacturing.

Net Profit Quota is mostly accepted by Sales managers as it is calculated by subtracting direct selling expenses from the gross margin.

Expense Quota

To keep the selling cost within reasonable limits, the Company may set a quota for expenses linked to different levels of sales attained by their sales force. Very strict conformity to expense quota norms results in demotivation of the salesperson.

◉ 3. Activity Quota

It is set for a total sales call, a number of new accounts, product demonstration, placement or erection of displays, making a collection, etc. Balanced Quota.

◉ 4. Quota Combination:

Any combination of the above-mentioned quotas is known as a combination quota.

  • The two mostly used combinations are sales volume and activity quota.
  • These quotas influence selling and non-selling activities.

Must Read :What is Sales Forecasting?

► Methods of setting Sales Quota

  1. Quotas based on Sales Territory potential
  2. Quotas based on Sales Forecasts only
  3. Quotas based on Past Sales experience
  4. Quota based on Executive judgments
  5. Quotas set by salespeople
  6. Quotas related to Compensation

◉ Parameters for Developing Sales Quota

Set the parameters for developing sales quotas that are given below.

  • See Past Trends: The number of specific product lines that were sold in various sales territories over time.
  • Last year’s Revenue: the total revenue generated from sales of all products from various sales territories
  • Industry Standards: performance of the competitors in the market.
  • Territory Analysis: the quantity that a salesperson thinks can be sold in his or her territory based on the existing pipeline and recent successes.
  • Add the percentage of growth expected
  • Allot individual quotas to each sales personnel
    • Experience of the salesperson
    • Assigned job
    • Sales skills
    • Market potential
    • Competition
  • Make sure that the sales quotas are well understood by your sales team
  • Adapt quotas to market realities.

◉ Factors considered while setting sales quotas

  • Estimate purchasing power
  • Study the past sales
  • Consults facts and opinions
  • Investigate sales policies
  • Guage the nature and extent of competition

► Advantages of Sales Quota

  • Adjustment of sales and output
  • Appraisal of performance
  • Sizing up the market
  • Useful in sales contents
  • Quotas act motivator

Must Read :What is Sales Territory?

► Disadvantages of Sales Quota

  • The danger of increased bad debts
  • Possibility of ineffectiveness
  • Apple of discord
  • The problem of quota monitoring
  • Warrants huge finance

What is Sales Territory?

Gaurav Mamgain
-
0
What is Sales Territory?

A sales territory is a group of customers and prospects assigned to a salesperson. Here in this article, we have shared what is sales territory, its meaning, definition, objectives, importance, and types.

► What is Sales Territory?

Sales territory comprises a group of customers or a geographical area, the territory may or may not have a definite geographical boundary in some areas.

In other words, Sales territory represents a group of customer accounts, an industry, a market, or a specific geographical area.

◉ Sales Territory Meaning

A sales territory means a group of existing and potential customers assigned to a salesperson.

Most companies allow salespeople to geographic territories, consisting of current & prospective customers.

◉ Definition of Sales Territory

Sales territory is defined as an area where a specific group of present and potential customers are catered to by a salesperson, a group of salespeople, a branch, a dealer, a distributor, or a marketing agency at a given period of time.

Sales territories are defined on the basis of geographical boundaries in many companies.

In broader terms, it is a geographical area that identifies and serves a category or segment and a certain number of customers.

“A sales territory comprises a number of presents and potential customers, located within a given geographical area and assigned to a salesperson, branch or intermediary.” – Sapiro, Stanton & Rich (2011)

A sales territory is usually a specific geographic area that contains present and potential customers and is assigned to a particular salesperson. – Hair, Anderson, Mehta, & Anderson, (2009)

In other words,

  • A sales territory refers to the customer group or geographical area.
  • For which an individual salesperson or a team of salespersons hold responsibility.
  • Territories can be defined on the basis of geographical region, sales potential, or a combination of factors.

► Objectives of Sales Territory

  • Increase market and customer coverage
  • Control sales expenses and time
  • Enable better evaluation of sales force performance
  • Improve customer relationships
  • Increase sales force effectiveness
  • Improve sales and profit performance
  • To establish a salesperson’s responsibility
  • To evaluate performance.
  • To allow better matching of a salesperson to the customer
  • To benefit salespeople and the company

► Designing Sales Territories

Sales territories put the responsibility on the sales manager to oversee the larger sales units within the organization. The development of Territories consists of various steps that are given below.

◉ Steps in Designing Sales Territory

  • Selecting basic Control Unit
  • Determine sales potential in each Control Unit
  • Determine basic Territories
  • Evaluate, revise if needed
  • Customer contact plan
  • Assign to territories

► Approaches to Allocating Territories

Basic territories are decided by various approaches, which two most used are as follows;

  1. Build-up method (Work-load)
  2. Break down method (Market)

A control unit is a geographical area base unnecessary & expensive for consumer products.

◉ 1. Build-up Method (Work-load Approach)

  • Decide customer call frequencies
  • Calculate total customer calls in each control unit
  • Estimate the workload capacity of a salesperson to make tentative territories
  • Develop final territories

The objective is to equalize the workload of salespeople.

◉ 2. Breakdown Method (Market Approach)

  • Estimate company sales potential for the total market
  • The forecast sales potential for each control unit
  • Estimate sales volume expected from each salesperson
  • Make tentative territories
  • Develop final territories

The objective is to equalize the sales potential of territories.

Must Read :What is Sales Budget?

◉ Assigning Sales Territories to Salesperson

Sales Managers assign sales territories by considering two main criteria.

  • Relative Ability of Salespeople based on key evaluation factors.
  • Salesperson’s effectiveness in a territory.

1. Relative ability of Salespeople based on key evaluation factors:

    • Product knowledge
    • Market knowledge
    • Past sales performance
    • Communication Selling skills

2. Salesperson’s effectiveness in a territory

    • Decided by comparing the social, cultural, and physical characteristics of the salesperson with those of the territory
    • The objective is to match the salesperson to the territory

► Types of Sales Territory

  1. On the basis of Geographical area
  2. On the basis of Customer types
  3. On the basis of Product types

► Routing in Sales Territory

Routing or Sales territory route is a travel plan used by a salesperson for making customer calls in a territory.

Reasons for routing;

  • Reduction in travel time and cost
  • Improvement in territory coverage

◉ How to Setup a Routing plan in Sales Territory?

The steps in the procedure of setting up a routing plan are as follows;

  1. Identification of current and prospective customers on a territory map.
  2. Classifying each customer into high, medium, or low sales potential.
  3. Decide call frequency for each category of customers.
  4. Build route plan around locations of high potential customers.
  5. Computerize mathematical models and develop final route patterns.

Commonly used routing patterns are given below;

► Route Pattern of Sales Territory 

routing pattern in sales territory

The route of the territory affects the sales expenses and the ease of sales coverage. It also helps a salesperson to spend less time on travel and keeps the salesperson working hard. The three popular territory shapes used in the Indian market are listed below;

  1. Straight Line Pattern
  2. Clover Leaf Pattern
  3. Major City Pattern

Must Read :What is Sales Forecasting?

► Examples of Sales Territories

  1. In the case of FMCG products, the number of sales territory is large, as these products are consumed more.
  2. In the case of premium segment cars like Audi, and BMW, a complete state can be a single sales territory.

◉ Activities involve in Sales Territory Management

  • To maintain trade relations or dealer relations in the case of consumer durables and automobiles.
  • To identify the potential business so that proper sales planning can be done.
  • Coverage of the market so that all the potential customers are touched say in the case of Pharma the total no. of doctors in a given area and the number of visits made by Medical representatives.
  • Deciding how and what type of report needs to be prepared so that sales control.
  • A decision regarding the size of the territory.

► Advantages of Sales Territory

  • Increase Market share and better customer coverage
  • Better Evaluation of sales force
  • Efficient distribution of workload among salespeople.
  • A convenient way to evaluate the performance of salespeople.
  • A territorial design brings more clarity and focuses on the sales targets to be achieved.
  • The sales force can build higher sales through up-selling and cross-selling to the same set of customers.
  • Customer service improves over a period of time.
  • Helps understand customers’ current and latent needs.
  • Helps salespeople to generate a better valve from the customers.
  • An effective territorial design helps to integrate the selling efforts with other marketing and promotional functions in the territory.
  • Control selling expenses

► Disadvantages of Sales Territory

  • May not prove good in regions where a personal relationship is required rather than a professional approach.
  • Organizations with vast geographic areas and large customer distribution with a lower density in any specific block, firms using telemarketing and internet marketing as tools, do not plan territories on the basis of geographic division.
  • Small firms, particularly firms with single salespeople do not establish sales territory.
  • Highly sophisticated and technically complex products are sold through sales teams’ systematic effort.
  • Organizations sell products like insurance, fixed deposits, and other investment products through personal acquaintances of salespeople.
  • Salespersons get demotivated due to restrictions on the territory.
  • Management of the company may not be aware.

What is Human Resource Development?

Gaurav Mamgain
-
0
What is Human Resource Development?

Human Resource Development is all about improving the effectiveness of organizations and the individuals and teams within them by providing training and development programs. Here in this article, we have explained the meaning, definition, and methods of HRD.

► What is Human Resource Development? (HRD)

HRD is the part of HRM that specifically deals with the training and development of the employee of the organization.

HRD includes training a person after he or she is first hired, providing opportunities to learn new skills, and distributing resources that are beneficial for the employee’s task and any other development activities.

◉ Human Resource Development Meaning

HRD means a set of systematic and planned activities designed by an organization to provide its members with opportunities to learn necessary skills to meet current and future job requirements.

Learning is the fundamental principle that drives organizations toward a higher concentration on human resource development.

HR Development activities must begin when an employee joins an organization and continue throughout his or her career, irrespective of the authority and responsibility level that the person holds.

◉ Definition of Human Resource Development

Human resource development is organized learning experiences provided by employees to bring about the possibility of performance growth or personal growth within a specified period of time. – Giley and Eggland, 1989

Human resource development is a process of developing and unleashing human expertise through personal training and organizational development for the purpose of improving performance. – Swanson and Holton, 2001

◉ Concept of HRD

Harbinson and Myers have aptly defined Human Resource Development as the process of increasing the knowledge, skills, and capacities of all the people in a country.

► Features of HRD

  • HRD is the systematic and planned approach.
  • HRD is a continuous process for the development of all types of skills of employees.
  • HRD develops the skills and knowledge not only at the individual level but also at the dynamic level, group level, and organizational level.

► Objectives of Human Resource Development

  • To develop the constructive mind and overall personality of each employee.
  • To enhance the capabilities of employees to enable them to do their present jobs and future jobs effectively.
  • To reorient the knowledge, skills, and attitude of employees to cope with the ever-changing technology.
  • To facilitates the utilization of human resources effectively through training and development.
  • To evolve and evaluate, effective systems of manpower planning so as to prevent over-staffing and wastage of human resources.
  • To formulate career advancement path for all employees to make them committed to and interested in the work.
  • To increase the motivation level of employees.
  • To develop innovative strategies to nurture better human relations aiming at the integration of people into productive work situations.
  • To create a climate that enables every employee to develop his capabilities to a fuller extent in order to further both individual and organizational goals.

► Importance of Human Resource Development

  • Develops competent workforce
  • Improve relations with employees
  • Provides an opportunity for career development
  • Enhance productivity
  • Clarify the roles
  • Policy & procedure
  • Job evaluation & grading
  • Compensation & benefits program
  • Employer brand communication & Employee engagement
  • Manpower planning,
  • Recruitment & retention
  • Succession planning & talent management

► Functions of Human Resource Development

  1. Develop the HRD philosophy for the entire organization and ensure that top management is committed to it openly and consistently.
  2. Motivate the line managers to have a consistent desire to learn and develop.
  3. Constantly plan and design new methods and systems for developing and strengthening the HRD climate.
  4. Be aware of the business/social/other goals of the organization and direct all the HRD efforts to achieve these goals.
  5. Monitor effectively the implementation of various HRD functions or mechanisms.

► Functions/Methods of Human Resource Development

  • Manpower planning
  • Performance appraisal
  • Training, education, and development
  • Potential appraisal and promotion
  • Career development and career planning
  • Compensation and reward
  • Organizational development (OD) techniques
  • Role analysis and role development
  • Quality of work life

► Process of Human Resource Development (HRD)

  1. Identifying Learning needs (Need Assessment)
  2. Designing HRD programs
  3. Delivering HRD programs (implementation)
  4. Evaluating HRD programs.

Must Read : Human Resource Planning (HRP)

► Advantages of HRD

  • HRD develops competent human resource
  • Employ commitment
  • Job satisfaction
  • Opportunities for training and development
  • Performance improvement
  • it helps in the integrated growth of the employees.
  • It leads to greater organizational effectiveness.

► Limitations of HRD

  • Can be a financial drain on resources
  • Expensive to develop or operate
  • Often takes people away from their jobs for a varied period of time
  • Equips staff to leave for a better job
  • Often along the process bad habits too get passed on
  • Narrow Experience

What is Rural Marketing?

Gaurav Mamgain
-
0
What is Rural Marketing?

Rural marketing refers to marketing activities in a rural area that covers a major portion of the total geographical area and population of the country. Rural markets refer to marketing centers operating in rural areas where favorable marketing infrastructure may not be present. Here in this article, we have shared What is Rural Marketing, its meaning, definition, Nature, Scope, Types, Importance, and Challenges.

► What is Rural Marketing?

Rural Marketing is the term Rural marketing used to be an umbrella term for the people who dealt with rural people in one way or another.

It got a separate meaning and importance in India after 1990.

◉ Rural Marketing Meaning

Rural Marketing refers to the process of developing, pricing, promoting, and distributing rural-specific product and service leading to an exchange between rural and urban market which satisfies consumer demand and also achieve organizational objectives.

◉ Definition of Rural Marketing

  • Rural marketing is defined as managing all the activities involved in assessing, stimulating, and converting the Purchasing power of the rural customers into Effective demand for specific products and services and moving them to the people living in Rural areas.
  • To create satisfaction and a better standard of living and thus achieve organizational objectives.
  • It involves the Planning & implementation of marketing functions for rural areas.

According to the National Commission on Agriculture,

Rural Marketing is a process that starts with a decision to produce a saleable farm commodity and it involves all the aspects of the market structure or system, both functional and institutional that are based on technical and economic considerations. It includes pre and post-harvest operations, assembling, grading, storage, transportation, and distribution.

According to Thomsen,

The study of Rural Marketing comprises all the operations involved in the movement of agricultural food and products, raw materials, and their derivations, such as textiles, from the farms to the final consumers and the effects of such operations on producers, middlemen, and consumers.

◉ Concept of Rural Marketing

It is a two-way marketing process wherein:

  1. Urban to Rural
  2. Rural to Urban
  3. Rural to Rural

► Nature of Rural Marketing

  • Occupation pattern
  • Large diverse and scattered market
  • Socio-economic position
  • Low literacy level
  • Low standard of living
  • Inadequate infrastructure facilities
  • Traditional outlook
  • Distance
  • Diverse Socio-economic background
  • Conservative lifestyle
  • Poor Media reach
  • Poor Medical facilities

► Importance of Rural Marketing

  • Size of rural market
  • Rural target population
  • Employment
  • Better living
  • Contribution to national income
  • Increase in farm income

► Scope of Rural Marketing

  • Large population
  • Growth of market
  • Rising rural prosperity
  • infrastructure is improving rapidly
  • increasing income and purchasing power
  • Social indicators have improved a lot between 1981 to 2001
  • Accessibility of markets
  • Competition in urban markets
  • Saturation of the urban market
  • New employment opportunities
  • Government initiatives
  • Rural marketing is not expensive
  • Huge Media Reach
  • Growth in consumption

► Challenges in Rural Marketing

  1. Understanding the rural consumer
  2. Low per capita income
  3. Low literacy levels
  4. Seasonal Demand
  5. Lack of infrastructure and physical facilities
  6. Underdeveloped people and underdeveloped markets
  7. Traditional outlook
  8. Many languages and Dialects
  9. Barter system
  10. Inadequate Media coverage for promotions
  11. Availability of duplicate and cheap brands
  12. Slow purchasing decision
  13. Problems related to distribution and channel management
  14. Cultural factors
  15. Vast and scattered market

► 4 A’s of Rural Marketing

  1. Affordability
  2. Availability
  3. Awareness
  4. Acceptability

Must Read :What is Poverty?

► What is Rural Demand?

Rural Demand refers to the wants for specific products in the rural markets that are backed up by an ability and willingness to buy them.

Demand for traditional products such as agricultural inputs, FMCG products such as tea, biscuits, soaps, and consumer durables such as refrigerators, TV, and electric machines has grown over the years.

◉ Buying Characteristics of Rural Market

  • High involvement in any product purchased.
  • Purchases products more often (daily, weekly in small quantities)
  • Quality conscious / value for money.
  • Looks like functionality rather than frills.
  • Brand loyal/difficult to dislodge.
  • Understand symbols and colors better.
  • The Source of information is critical.
  • Mostly, the buyer is different from the user.
  • Brisk buying after harvesting period / major in festivals.

◉ Size and Scope of Indian Rural Market

  • FMCG products 65,000 crores
  • Consumer Durables 5,000 crores
  • Agri inputs including tractors 45,000 crores
  • 2/4 wheelers 8,000 crores
  • Total 1,23,000 crores

In the FMCG market, the size of the rural market is larger than the urban market. Problems with logistics supply and storage. Rural markets accounted for 54% of the durables sold in the country. The decadal growth rate for consumer durables is 100% in rural against 40% in urban.

► Structure of Rural Market

  • The share of the Rural Population is almost 70% in India
  • Occupational Pattern 40% of the rural population is in Cultivation
  • followed by 35% wage earners
  • 11% are Salary earners and 5% are Petty Shopkeepers 4% are Artisans
  • Cultivator’s disposable income is highly seasonal and it is available at the time of harvesting.
  • Social and Cultural Environment variations between regions and subregions.
  • Outward migration to urban is very high.
  • The settlement pattern is in clusters largely around caste line
  • Activities limited to smaller geographic areas result in higher adherence to customs and traditions.

► Role of Government in Rural Market

Introduction of rural policies of government among rural areas to raise innovation level. There are various incentives monetary and subsidies that should be given to rural entrepreneurs. Good MSP to the farmers for their crops.

Development of cold storage and warehouse for farmers to sell their product at the time when the price is attractive.

Road and transport connectivity to improve the logistics and supply chain for the FMCG and agricultural products.

The government of India has taken many initiatives to improve the functioning of the Rural Market.

Few of the Government programs in recent years are as follows;

  • Pradhan Mantri Gram Sadak Yojana (PMGSY)
  • Pradhan Mantri Krishi Sinchayee Yojana (PMKSY)
  • Pradhan Mantri Fasal Beema Yojana (PMFBY)
  • Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY)
  • Sampoorna Grameen Rozgar Yojana (SGRY)
  • Organic farming
  • Soil Health Card
  • Use of Neem Coated Urea Fertiliser
  • Cold Storage and Food Processing
  • Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)
  • Samagra Siksha Abhiyan (SSA)
  • Pradhan Mantri Awaas Yojana (Gramin) / Indira Awas Yojana
  • Provision of Urban Amenities In Rural Areas (PURA)
  • Antyodaya Anna Yojana (AAY)

What is Succession Planning?

Gaurav Mamgain
-
0
What is Succession Planning?

Succession planning is a proactive and systematic process where organizations identify those positions considered to be at the core of the organization and then create a strategic plan to fill those positions with qualified and capable employees. Today in this article we have shared What is succession planning and its meaning, and definition, and discussed types with examples.

► What is Succession Planning?

Succession planning is a systematic effort by an organization to ensure leadership successors in key positions. Retain and develop intellectual and knowledge capital for the future, and encourage individual advancement.

Effective Succession planning occurs when an organization adapts specific procedures to ensure the identification, development, and long-term retention of talented individuals.

◉ Succession Planning Meaning

Succession planning simply means cultivating a group of talented employees to assume key management roles.

◉ Definition of Succession Planning

Succession planning can be defined as a purposeful and systematic effort made by a company to ensure leadership continuity. Retain and develop knowledge and intellectual human capital for the future and encourage individual employee growth and career development.

Succession planning is a means of identifying critical managerial positions in an organization starting at manager and supervisor levels and extending up to the highest position in the organization. – William J. Rothwell

► Objectives of Succession Planning

  • Ensure the successor of leadership in critical positions
  • Retaining and developing intellectual capital to support future growth
  • Encourage and motivate talented employees to aspire for advancement
  • Identifying suitable employees for critical positions
  • Leadership development opportunity for all
  • Identifying Successors is the Responsibility of Entire Management
  • Executives are assets of your company
  • Career Development Opportunity

► Importance of Succession Planning

  • Career development of Employees along with talent retention
  • Fulfill the ongoing needs for manpower replacement
  • Facilitate suitable training and development programs
  • Helps in increasing the talent pool
  • Adds value to the strategic plans
  • Create Career Development opportunities available for all employees
  • Motivates employees and improves their morale Value diversity

► Process of Succession Planning

  1. Identify key positions
  2. Assess skills & abilities needed
  3. Identify employees
  4. Develop & train employees
  5. Continue evaluating process

Must Read :What is Career Planning?

► Types of Succession Planning

  1. Strategic Leadership planning
  2. Emergency / interim Succession planning
  3. Departure-defined Succession planning

◉ 1. Strategic Leadership Development

  • Creating a culture of continuous learning, improvement, talent development, and accountability.
  • Aligning talent with strategic vision
  • Pushing leadership up and down

✔ Key Cultural Elements of Strategic Leadership Planning

  • Current strategic plan
  • Performance goals tied to strategic goals
  • Professional development goals
  • Professional development budget
  • Annual evaluations board and staff
  • Shared leadership and delegation

✔ Starts with Strategic Planning

Vision: What are the organization’s strategic goals for the next five years?

Skills: What competencies do you need to get there?

Assess current competencies and identify gaps in skills needed: Performance reviews and Strengths Finder.

Fill in the gaps: Training and Recruiting.

Build the Team for shared leadership: Delegation of duties, Authority, Shared decision-making and Shared accountability.

◉ 2. Emergency Succession Planning

  • Preparing for unplanned events.
  • A risk management best practice
  • Creates a more leaderful agency

✔ Five Steps in ESP

  1. Identify critical executive functions.
  2. Name a backup for each function.
  3. Develop a cross-training plan for backups.
  4. Name who would become an acting executive.
  5. Specify the board’s monitoring and support role for acting ED.

◉ 3. Departure Defined succession plan

  • Attention to the personal and professional issues of the departing executive director.
  • Thoughtful planning and activities to ensure organizational sustainability.
  • A special opportunity for reflection on where you have been. where you want to go, and what it will take to get there.

✔ Five Key Steps in DDSP

  1. Healthy closure with departing executive
  2. Strategic Vision update Strategic Review, Leadership agenda, Candidate profile
  3. Candidate recruitment
  4. Screening and hiring
  5. Launching the new executive

► Advantages of Succession Planning

  • Reduce future uncertainty
  • Provides career development opportunities for existing employees
  • Improves employee commitment
  • Conduct SWOT analysis
  • Aligns staff development with strategic vision
  • Builds leadership capacity of staff
  • Makes the top position more doable
  • Engages and Ensures the confidence of the funders in the management board.

► Examples of Succession Planning

✔ Successor Planning for Apple Company

One thing Steve Jobs did before stepping down as CEO of Apple, was he prepared his succession plan in the form of Apple University. Founded in 2008. Apple University has a leadership curriculum with content and materials based on Steve’s experiences.

The main purpose behind this initiative is to “teach Apple employees how to think like innovator “Steve Jobs” and make decisions that he would make.”

This digital curriculum is a great example of how technology can be used to prepare a company’s succession planning.

Besides Apple University, Steve Jobs was also working hard to prepare Tim Cook to become his successor and hold the position of CEO.

Cook played various different operational roles including manufacturing, distribution, sales, and supply chain management before working directly with Jobs to gain experience in the CEO role.

Steve Jobs wrote in his resignation letter, “As far as my successor goes, I strongly recommend that we execute our succession plan and select Tim Cook as CEO of Apple.”

Tim Cook shared his views on the leadership development planning of apple, he said, “I see my role as CEO to prepare more people as I can to be CEO, and that’s what I’m doing. And then the board makes a decision at that point in time.”

Apple has seen the importance of having proper succession plan in place to ensure that there are no problems when it comes to leadership in the company.

What is Career Planning & Development?

Gaurav Mamgain
-
0
What is Career Planning & Development?

Career planning is planning for an occupation or a profession that one undertakes for a long period of his lifespan and gets monetary benefits from it. Today we have shared What is career planning and its meaning, definition, feature, benefits, and process.

► What is Career Planning?

Career planning consists of activities and actions that one takes to achieve his individual career goals. It is the way by which one can achieve goals and ambitions successfully.

◉ Concept of Career Plan

  • The sequence of employment positions that a person has held over his or her lifetime.
  • An occupation is undertaken for a significant period of a person’s life and with opportunities for progress.

◉ Career Planning Meaning

Career planning means the process of self-analyzing, self upgrading, and self-improvement, which leads you toward success in your career.

◉ Definition of Career Planning

Career planning can be defined as “A goal that you desire to achieve in a selected field or profession with a well thought out plan to get you there.”

“Career plan refers to the activities and actions that you take to achieve your individual career goals.:

Career plan and career management as the two main antecedents of career development. – Puah and Ananthram (2006)

The integration of both employee career plans and organizational career management programs results in effective career development. – (Hall, 1986)

Harmony between ‘career planning and career management and proper alignment of implementation of HR needs and individual career planning leads to effective career development. – Nicoara (2009)

► Objectives of Career Planning

  • Best use of employee skills
  • Realistic viewpoint for future
  • Provide Feedback
  • Resourceful & growth trend
  • Set realistic goals
  • Ensure good communication
  • Spur learning
  • Mentor with career decisions
  • Grow self-awareness
  • Boost up job satisfaction
  • Sensitivity diversification
  • Harness flexibility
  • Build a pool of talents
  • Emotional intelligence
  • Enhance employability
  • Grow leadership

► Need / Components of Career Planning

  • Organization Design & HR Plans
  • Corporate Plans Development Opportunities (Individual Development)
  • Promotion Policy
  • Performance Appraisal
  • Potential Appraisal
  • Career Path (Career Advising) Role Requirement

► Feature of Career Planning

  • Career develops over time.
  • It is the individual who ultimately judges the success of his career
  • A career is experiencing psychological success.
  • A career includes many different positions transitions and organizations.
  • Bottom-up approach
  • Ongoing process
  • Made in a dynamic environment
  • Collective responsibility of individual and org

► Significance / Importance of Career Planning

  • Lower turnover
  • Satisfies employee needs
  • Further personal growth
  • Taps employee potential
  • Career opportunity
  • Anticipate trends or changes
  • Deal with changing workplace demands
  • Clear direction and roadmap for future
  • Support for designing career goal
  • Advancement in position and condition of the employee

► Process of Career Planning

Steps in Career planning are as follows;

  1. Self Exploration
  2. Work Research
  3. Experiential Education
  4. Decision Making
  5. Job Search Skills
  6. Career Management

✔ 1. Self Exploration: Careful evaluation of your individual strengths, Values, Skills, interests, Personality, lifestyle preferences, passions, and work methods. and financial needs are vital and often overlooked steps in planning your potential career options.

✔ 2. Work Research: The second step in career planning is to examine the world you want to work in and find a career that best meets your needs. We call this research about work. It includes activities such as Analysis of Job titles, Job Market trends, Employers, Work Environments, Informational interviews, and Job Shadowing.

✔ 3. Experiential Education: This step focuses on learning through experience also known as experiential education and includes internships, Volunteering, Part time jobs, and Service Learning. It helps you learn outside of the classroom and in the working world.

✔ 4. Decision Making: After work research and potentially gaining work experience as an intern or volunteer you are ready for the fourth step which is decision making. The task of prioritizing needs, Determine Goals, Set Objectives and Create an Action plan.

✔ 5. Jobs Search Skills: After narrowing down focus and setting your goals, it’s time for step five of our career planning which is jobs search. Begin building Networks, Submission of Resumes, Cover letters, Giving Interviews, Negotiation, and Company research.

✔ 6. Career Management: In this step now you are ready to start your new job. Actively planning and managing your career will help keep you on track and lead you in the direction you want to go. It is a lifelong process. It involves Management skills, Relationships with coworkers and boss, promotions, office politics, and work-life balance.

► Stages of Career Plan

  • Exploration: Transition from school to work (5-25 years)
  • Establishment: Getting a job and being accepted (25-35)
  • Mid-career: Will performance increase or begin to decline (35-50)
  • Late Career: The elder statesperson (50-60,65)
  • Decline: Preparing for retirement (post 60)

Must Read :Types of Plans

► Advantages / Benefits of Career Planning

  • For internal staffing requirement
  • Develops promotable employees
  • Assists with workforce diversity
  • Lower turnover
  • Further personal growth
  • Facilitates international placement

► What is Career Development?

Career Development is the interaction of psychological, sociological, economical, physical, and chance factors that shape the sequence of jobs, professions,s or careers that a person may engage in throughout a lifetime.

It involves a person’s past, present, and future works roles.

Definition of Career Development

Career Development is a process in which personnel experience, concept, and publicly observable aspects of a career interact to precipitate each successive stage of occupational status. – Mansfield

Career Development is an ongoing process that occurs over the life spans, including home, schools, and community – Pietrofesa and Spleta

◉ Steps in Career Development

There are three main steps involved in Career development that are as follows;

  1. Self Assessment
  2. Exploration
  3. Taking Action

✔ 1. Self Assessment

  • Interest Personality
  • Skills & Strength
  • Lifestyle
  • Work Values

✔ 2. Exploration

  • Informational Interviews
  • Workshops / Conferences
  • Job Search Resources
  • Sign up for a job listserv
  • Internships
  • Volunteer

✔ 3. Taking Action

  • Decision Making
  • Job Search
  • Resume & Cover Letter
  • Networking
  • Interviewing
  • Salary Negotiation
1...222324...38Page 23 of 38
© Newspaper WordPress Theme by TagDiv