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Guest Editor: Dr. Anand Lele Offg. Principal, MES Garware College of Commerce Karve Road, Pune, Dist. Pune [M.S.] INDIA

Executive Editor of the issue: Dr. B.S. Vhankate Dr. Ketaki Modak CA. S. D. Ghongate Patil Dr. Rohini Gote Dr. Smita Wadaskar

Chief Editor: Dr. Dhanraj Dhangar (Yeola)

Sustainability : Aspects, Challenges & Prospects in the Global Perspective

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Impact Factor – 6.261 ISSN – 2348-7143

INTERNATIONAL RESEARCH FELLOWS ASSOCIATION’S

RESEARCH JOURNEY International E-Research Journal

PEER REFREED & INDEXED JOURNAL

February -2019 Special Issue – 150 (A)

SWATIDHAN INTERNATIONAL PUBLICATIONS

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© All rights reserved with the authors & publisher Price : Rs. 800/-

Guest Editor: Dr. Anand Y. Lele

Offg. Principal, MES’s Garware College of Commerce

Karve Road, Pune, Dist. Pune [M.S.] INDIA

Executive Editor of the issue:

Dr. Anand Y. Lele Dr. B.S. Vhankate Dr. Ketaki Modak

CA. S. D. Ghongate Patil Dr. Rohini Gote

Dr. Smita Wadaskar

Chief Editor: Dr. Dhanraj Dhangar (Yeola)

Sustainability : Aspects, Challenges & Prospects in the Global Perspective

http://www.researchjourney.net/






Editorial Board Chief Editor - Executive Editors : Dr. Dhanraj T. Dhangar, Prof. Tejesh Beldar, Nashikroad (English) Assist. Prof. (Marathi) Dr. Gajanan Wankhede, Kinwat (Hindi)

MGV’S Arts & Commerce College, Mrs. Bharati Sonawane-Nile, Bhusawal (Marathi) Yeola, Dist – Nashik [M.S.] INDIA Dr. Rajay Pawar, Goa (Konkani)

Co-Editors -

Mr.Tufail Ahmed Shaikh- King Abdul Aziz City for Science & Technology, Riyadh, Saudi Arabia.

Dr. Anil Dongre - Head, Deptt. of Management, North Maharashtra University, Jalgaon

Dr. Shailendra Lende - R.T.M. Nagpur University, Nagpur [M.S.] India

Dr. Dilip Pawar - BoS Member (SPPU), Dept. of Marathi, KTHM College, Nashik.

Dr. R. R. Kazi - North Maharashtra University, Jalgaon.

Prof. Vinay Madgaonkar - Dept. of Marathi, Goa University, Goa, India

Prof. Sushant Naik - Dept. of Konkani, Govt. College, Kepe, Goa, India

Dr. G. Haresh - Associate Professor, CSIBER, Kolhapur [M.S.] India

Dr. Munaf Shaikh - N. M. University, Jalgaon & Visiting Faculty M. J. C. Jalgaon

Dr. Samjay Kamble -BoS Member Hindi (Ch.SU, Kolhapur), T.K. Kolekar College, Nesari

Prof. Vijay Shirsath - Nanasaheb Y. N. Chavhan College, Chalisgaon [M.S.]

Dr. P. K. Shewale - Vice Principal, Arts, Science, Commerce College, Harsul [M.S.]

Dr. Ganesh Patil - M.V.P.‘s, SSSM, ASC College, Saikheda, Dist. Nashik [M.S.]

Dr. Hitesh Brijwasi - Librarian, K.A.K.P. Com. & Sci. College, Jalgaon [M.S.]

Dr. Sandip Mali - Sant Muktabai Arts & Commerce College, Muktainagar [M.S.]

Prof. Dipak Patil - S.S.V.P.S.‘s Arts, Sci. and Com. College, Shindhkheda [M.S.]

Advisory Board -

Dr. Marianna kosic - Scientific-Cultural Institute, Mandala, Trieste, Italy.

Dr. M.S. Pagare - Director, School of Languages Studies, North Maharashtra University, Jalgaon

Dr. R. P. Singh -HoD, English & European Languages, University of Lucknow [U.P.] India

Dr. S. M. Tadkodkar - Rtd. Professor & Head, Dept. of Marathi, Goa University, Goa, India.

Dr. Pruthwiraj Taur - Chairman, BoS., Marathi, S.R.T. University, Nanded.

Dr. N. V. Jayaraman - Director at SNS group of Technical Institutions,Coimbatore

Dr. Bajarang Korde - Savitribai Phule Pune University Pune, [M.S.] India

Dr. Leena Pandhare - Principal, NSPM‘s LBRD Arts & Commerce Mahila Mahavidyalaya, Nashik Road

Dr. B. V. Game - Act. Principal, MGV‘s Arts and Commerce College, Yeola, Dist. Nashik.

Review Committee -

Dr. J. S. More – BoS Member (SPPU), Dept. of Hindi, K.J.Somaiyya College, Kopargaon

Dr. S. B. Bhambar, BoS Member Ch.SU, Kolhapur, T.K. Kolekar College, Nesari

Dr. Uttam V. Nile - BoS Member (NMU, Jalgaon) P.S.G.V.P. Mandals ACS College, Shahada

Dr. K.T. Khairnar– BoS Member (SPPU), Dept. of Commerce, L.V.H. College, Panchavati

Dr. Vandana Chaudhari KCE‘s College of Education, Jalgaon Dr. Sayyed Zakir Ali , HOD, Urdu & Arabic Languages, H. J. Thim College, Jalgaon Dr. Sanjay Dhondare – Dept. of Hindi, Abhay Womens College, Dhule

Dr. Amol Kategaonkar – M.V.P.S.‘s G.M.D. Arts, B.W. Commerce & Science College, Sinnar.

Published by –

© Mrs. Swati Dhanraj Sonawane, Director, Swatidhan International Publication, Yeola, Nashik

Email : [email protected] Website : www.researchjourney.net Mobile : 9665398258

mailto:[email protected]







From the Guest Editor’s Desk ……

It is with deep satisfaction that I write this Foreword to the

volume of research papers that were presented during our

international, interdisciplinary Conference on “Sustainability:

Aspects, Challenges and Prospects in the Global Perspective” on

17th

and 18th

Jan 2019 at Pune, India. The conference was

sponsored by the esteemed Savitribai Phule Pune University.

The conference received a warm response and as many as

76 papers were selected to be presented during the conference in

12 concurrent sessions. The concurrent sessions were planned to take place in a theme-

wise manner and were chaired by a subject expert and a paper reviewer each. Thus, the

central theme of „Sustainability‟ was explored from numerous different angles including

Innovative Entrepreneurship for Sustainable Business Practices, Economics & Banking

for Sustainability, Legal Aspects of Sustainability, Human Resource Management for

Sustainability, Sustainable Lifestyle and Ancient Civilization, Sustainable Tourism,

Green Marketing and Consumer Accountability, Sustainable Environment: Carbon

Credits, Biodiversity, Waste Management, Clean Energy, CSR Initiative for Green

Development etc. We were lucky to have Dr. Ashok Modak, a National Research Scholar,

attending our Conference on both the days. With his years of study and expertise in

world, economy, politics and history, he could give our Conference a broad perspective

and vision. We are happy to publish his monograph on Contemporary World Challenges

and Integral Humanism as the Prologue to this volume of research papers.

We are happy that the ensuing scholarly papers have explored multiple meanings

of the term Sustainability in multiple different contexts, and promise to live up to the

basic goal behind organizing this Conference – that of equipping the Community at large

with the desire and ability to contribute solutions to the serious global challenges our

planet faces. We hope that the readers will discover that both common challenges and

creative solutions emerge from very diverse settings and can yet contribute in unison to

overcome the pressing challenges of Sustainable Development in front of the humanity at

large today.

I trust also that this publication of the conference papers will be an impetus to

stimulate further study and research in all these areas. I take this opportunity to

congratulate all the researchers whose research papers have been selected for the

purpose of this post-conference publication.

May we all have a very sustainable, eco-friendly and healthy Life ahead!

Dr. Anand Lele Offg. Principal

MES’s Garware College of Commerce Karve Road, Pune, Dist. Pune [M.S.] INDIA






INDEX

No. Title of the Paper Author’s Name Page No

1 A Comparative Analysis of Qualitative Aspects of CSR Practices in India Pre

and Post Implementation of Companies Act 2013 Dr. Shivaji Borhade 07

2 Sustainable Economics and its Applications Dr. Jayshree Pawar 15

3 Private Sector Banks Contribution in an Indian Economy Mr. Prasad Panchal 20

4 Urban Cooperative Banks – Catalysts of Banking for Sustainability

Rewati Paithankar 32

5 A Study of Sustainable Economic Development of Pune City

Dr. Surendra Daware 41

6 A Case Study of JSBL for Mitigating Cyber Threats for Sustainable Business

Practices. Mrs. Padma Nene & Dr. Anita Bhave 47

7 Challenges Before Sustainable Banking in India

Avinash Salve & Prashant Salve 50

8 Challenges to Sustainable Development in India : an Analysis

Dharmaraj Hazarika 54

9 Sustainable Financial Planning is the key for success in investments

Dr. Sunil D. Zagade & Karishma Ghundiyal 60

10 A Study of Logistics Integration in Sustainable food Supply : A Case of

‗Samvad Social Technologies Sushmita Nande & Sandeep Rathod 69

11 Sustainable Development through Planned Agriculture Marketing

Dr. Smita Pakdhane & Dr. Karuna Kushare 78

12 Green Marketing : Green Channel Counter (GCC) An Initiative by State Bank

of India Shailendraprasad Totare 88

13 Green Marketing and Consumer Accountability Ms. Shama Mulla 90

14 An Analysis of Impact of Green Marketing on Consumer Behavior

Major Dr. Ashok Giri & Komal Bodhwani 98

15 New Challenges in Retail Human Resource Mangement

Major Dr. Ashok Giri & Mrs. Kajal Chheda 105

16 Human Resource Management for Sustainability Amit Deokule 110

17 Work Life Integration and Career Pathing of Mid-Career Women and its

Relevance to Sustainable HRM in India Nirupama Patwardhan 115

18 Sustainable HR Practices in Small Manufacturing Companies Mridul Nath 122

19 A Study on Sustainable Human Resource Practices for Organizational

Performance Ms. Srimati Naik & Ms. Vidhya Halarnkar 131

20 Innovative Business Practices for Sustainable Entrepreneurship Dr. Pradip Joshi 137

21 Innovative Entrepreneurship for Sustainable Business Practices

Dr. Sunil Zagade & Ms. Manisha R. Shedge 144

22 Innovative Entrepreneurship for Sustainable Business Practices for Development

of Eco-Friendly Market for Electric Vehicle (EV) in India Surojit Saha 150

23 Green Industry for Sustainable Development Prof. Lata Vitkar 157

24 Pune Metro: A Sustainable Public Transport Option for Pune

Dr. Pradnya Vhankate 165

25 Innovativeness in Karnali Based Microenterprises for Sustainable Growth

Rishi Khanal 176






26 The Challenge of Women Employment and Sustainable Development Goal

(SDG) Dr. Marcelle Samuel 186

27 A Glimpse in to Sustainableurban Development and Sustainable Urban

Transport Dr. Sheena Mathews 198

28 Corporate Sustainability Policies and Stock Market Performance

Varsha Kshirsagar (Bhujbal) 210

29 Sustainable Job Creation through Plastic Waste Management

Abdul Kadir Nasir Hussain Arsiwala 216

30 Green Marketing and Customer Accountability Shraddha Rahane 222

31 Migration, the Catalyst for Sustainable Development Goals Jyoti Saha 228

32 Human Resource Management Techniques and Employee Performance for

Business Sustainability Prof. Shruti Mangalpalli 236

33 Sustainable Event Management Dr. Sulbha Patole, Rekha Kankariya 243

34 Sustainable Tourism through Music Dr. Sulabha Patole & Kedar Joshi 250

Our Editors have reviewed paper with experts‟ committee, and they have checked the papers

on their level best to stop furtive literature. Except it, the respective authors of the papers are

responsible for originality of the papers and intensive thoughts in the papers. Nobody can republish

these papers without pre-permission of the publisher.

- Chief & Executive Editor






A Comparative Analysis of Qualitative Aspects of CSR Practices in India

Pre and Post Implementation of Companies Act, 2013

Dr. Shivaji Borhade

Associate Professor

Dr. Patangrao Kadam College, Sangli (Maharashtra)

[email protected]

Abstract:

India is the first country in the world that has made mandatory CSR. According to law,

eligible companies in India must have to spend at least 2% of their average net profit and

disclose the qualitative as well as quantitative aspects of CSR activities in the reports which was

voluntary before implementation of the Companies Act 2013. This study aims to compare the

disclosure of qualitative aspects of CSR practices in India prior to and after implementation of

the Companies Act. This study is descriptive in nature. The findings in the study are: there is a

great change in the disclosures of qualitative aspects of CSR practices in companies after the

Companies Act 2013. However, some companies do not take adequate efforts to disclose the

information in the prescribed format.

Keywords : Corporate Social Responsibility, Qualitative Aspects, Companies Act, Annual

Report,

Introduction

Corporate Social Responsibility (CSR) has come into view as an essential research area

more than a decade when CSR activities are communicated in the form of a report. It helps in

improving business performance. The governments, regulatory authorities and stock exchanges

have been developed CSR reporting guidelines and principles. Therefore, in last few years, there

is an improved discussion about the need to match the structure of such reports globally. Over

the last decade there is a drastic increase in the practice of CSR disclosure around the world. In

the countries like France, Singapore, Vietnam, Malaysia, Denmark, Sweden, Indonesia have

made mandatory to their listed companies and state owned companies for reporting on CSR in

annual reports. On the other hand, in the UK, the USA, Australia, China, Germany and Thailand,

the companies have to report CSR activities voluntarily in their annual reports. India became first

country in the world to have a statutory compliance requirement on CSR spending. In India, all

CSR activities of the eligible companies are governed by Section 135 of the Companies Act

2013 which came into effect w. e. f. 1st April 2014.According to Section 135 of the Act, a

company having net profit of Rs. 5 crore or more; net worth of Rs. 500 crore or more or turnover

of Rs.1000crore or more has to spend at last 2% of average net profit of the last three years.

There are number of activities listed out under CSR that include education, healthcare, rural

development , environment, women empowerment, eradication of extreme hunger and poverty,

contribution to PM relief fund and other funds, child mortality and employment based vocational

skills and others. Companies are allowed to undertake CSR activities either through own

foundations/trusts or NGO. This Act is important as investment made in education, health,

infrastructure helps in enhancing the capabilities of young generation.

CSR in the present day context refers to the overall positive impact on the community,

culture, society and environment. The basic principle of CSR is that both public policy as well as






companies should be held responsible to tackle social issues. At present, numerous companies

are reporting their CSR activities in annual reports and in official websites. In this present

scenario, CSR can make a valuable contribution in India‘s development. It can supplement the

government‘s efforts in economic development. In this regard, the Ministry of Corporate Affairs,

Government of India revamped the Companies Act 1956 with the new Companies Act 2013.

This new Act also introduced a new section on mandatory CSR for both public and private

companies operating in India with eligible criteria. The CSR activities should not be undertaken

in the normal course of business and must be with respect to any of the activities mentioned in

Schedule VII of the Act. The Act has introduced various new provisions which changed the look

of companies in India. There is an increasing trend in CSR expenditure and disclosure among

companies in India. The Act has made mandatory to disclose both the qualitative and

quantitative aspects of CSR practices. Therefore, an attempt has been made to compare the

qualitative aspects of CSR practices in India.

Objectives

The study is proposed with the following objectives.

1. To take a review of trend of CSR practices before and after implementation of the

Companies Act 2013.

2. To analyse the qualitative aspects of CSR practices of companies before and after

implementation of the Companies Act 2013.

Hypothesis

H0: There is no significant difference in voluntary disclosure (Before Act) and mandatory

disclosure (After Act) of qualitative aspects of CSR practices.

H1: There is significant difference in voluntary disclosure (Before Act) and

mandatory disclosure (After Act) of qualitative aspects of CSR practices.

Research Methodology

This study is an exploratory and descriptive research. A random sampling technique was

employed for the identification of the sample that consisted of only public limited companies

registered with RoC in Pune. Pune is one of the industrially well developed districts in

Maharashtra. A variety of industries have been established in Pune district. Taking into

consideration variety of industries different sectors are covered under the study. Therefore,

overall 20 companies were randomly selected for the same purpose. For the study, both primary

as well as secondary sources were used to collect the data. Primary data were collected with the

help of questionnaire. Due care was taken to make the questions simple and clear to understand

the respondents. Secondary data were collected from the different books, journals, government

reports, , annual reports and websites.

Review of Literature

Ourvashi Bissoon (2018) studied the level of CSR reporting of multinational groups in

hospitality sector in Mauritius and found that the largest part of the CSR information relates to

particular categories and the disclosures were public relations bias. Sai P. V. S. (2017) found that

there was a growth in CSR spending by Indian companies. Which are spending on donations,

renovating village schools, mid-day meals, etc. Najul Laskar and Santi Maji (2016) revealed that

there is an increasing CSR disclosure score. A. S. Babu (2016) studied the CSR initiatives taken






by a coal company for infrastructure and health facilities in rural areas. The study found that

CSR activities have impacted health of rural communities. However, the company has to take

efforts to generate awareness regarding the facilities provided. Leung Cheng Han (2014) argued

that there is a poor quality of disclosure of CSR data in gambling industry in Macao. According

to Susith Jude Fernando (2013) CSR practices related to environment in Sri Lanka were

disappointing as compared to socially-related practices. Kansal Monika (2012) investigated the

determinants of CSR disclosure considering the size, profitability, risk and other organizational

characteristics which was very low in India. A study conducted by M. Hossain, K. Islam and J.

Andrew (2006) found that very few companies in Bangladesh make available social and

environmental information in qualitative nature voluntarily.

All the above studies related to CSR are based on the data available prior to

implementation of new Companies Act 2013. There was no any study on comparison of CSR

activities before implementation and after implementation of Companies Act 2013. Hence, the

present study is based on the comparison of qualitative aspects of CSR activities prior to and

after Companies Act 2013.

Findings

Before implementing the Companies Act, number of companies were spending and

donating money for environmental conservation and social development. However, SEBI

mandated top 100 companies listed on stock exchanges in 2012-13 to incorporate BRR as a part

of their annual report. The Companies Act 2013 made mandatory to disclose qualitative as well

as quantitative details in annual reports of the company. As per the Act, every company has to

disclose the following qualitative aspects of CSR practices in annual reports.

Table 1: Mandatory Qualitative Aspects of CSR to be Disclosed in Reports

Sr. Qualitative Aspect Sr. Qualitative Aspect

1 Formation of CSR Policy 11 Annual Report on CSR

2 Monitoring Framework in CSR

Policy 12

Details of CSR Spending in Prescribed

Format

3 Reference to the CSR Policy in

Directors‘ Report 13 Schedule VII Focus Areas

4 Web Link of CSR Policy 14 Details regarding CSR areas of

Intervention

5 Disclosure of CSR Vision, Mission,

Philosophy 15 Details of the Monitoring Framework

6 CSR Committee 16 Mode of Implementation in CSR Policy

7 Constitution of Board Level CSR

Committee 17 Reasons for Unspent Amount

8 Composition of CSR Committee 18 Details of Unspent Amount

9 Independent Director in CSR

Committee 19

Disclosure on Reason for Unspent

Amount on CSR

10 Information of Composition of CSR

Committee 20 Responsibility Statement

(Source: Compiled from survey reports of private agencies)

All these qualitative aspects are mandatory to disclose in the reports. Therefore, all these

aspects of CSR practices are considered for the study.






Table 2: Opinions of Respondents regarding Disclosure of Mandatory Qualitative Aspects of

CSR Before and After the Act

Sr. Qualitative

Aspect

Before Companies Act 2013

(Voluntary Disclosure)

After Companies Act 2013

(Mandatory Disclosure)

Mean SD Kurt Skw Mean SD Kurt Skw

1 Formation of

CSR Policy 1.55 0.51 -2.183

-

0.218 4.65 0.489

-

1.719 -0.681

2 Monitoring

Framework in

CSR Policy

1.85 0.489 1.304 -

0.442 4.5 0.513

-

2.235 0

3 Reference to the

CSR Policy in

Directors‘

Report

1.5 0.513 -2.235 0 4.55 0.51 -

2.183 -0.218

4 Web Link of

CSR Policy 1.4 0.503 -2.018 0.442 4.5 0.513

-

2.235 0

5 Disclosure of

CSR Vision,

Mission,

Philosophy

1.1 0.308 7.037 2.888 4.75 0.444 -

0.497 -1.251

6 CSR Committee 1.6 0.503 -2.018

-

0.442 4.6 0.503

-

2.018 -0.442

7 Constitution of

Board Level

CSR Committee

1.85 0.671 -0.548 0.177 3.85 0.745 -

1.043 0.257

8 Composition of

CSR Committee 1.45 0.51 -2.183 0.218 4.55 0.51

-

2.183 -0.218

9 Independent

Director in CSR

Committee

1.15 0.366 2.776 2.123 4.3 0.571 -

0.395 -0.038

10 Information of

Composition of

CSR Committee

1.55 0.51 -2.183 -

0.218 4.5 0.513

-

2.235 0

11 Annual Report

on CSR 1.55 0.51 -2.183

-

0.218 4.7 0.47

-

1.242 -0.945

12

Details of CSR

Spending in

Prescribed

Format

1.35 0.489 -1.719 0.681 4.55 0.51 -

2.183 -0.218

13 Schedule VII

Focus Areas 1.45 0.51 -2.183 0.218 4.8 0.41 0.699 -1.624

14

Details

regarding CSR

areas of

Intervention

1.5 0.513 -2.235 0 4.5 0.513 -

2.235 0

15

Details of the

Monitoring

Framework

1.75 0.639 -0.439 0.253 4.5 0.607 -

0.213 -0.785

16 Mode of 1.75 0.444 -0.497 - 4.6 0.503 - -0.442






Implementation

in CSR Policy

1.251 2.018

17 Reasons for

Unspent Amount 1.25 0.444 -0.497 1.251 4.05 0.686 -0.63 -0.062

18 Details of

Unspent Amount 1.4 0.503 -2.018 0.442 4.45 0.605

-

0.459 -0.583

19

Disclosure on

Reason for

Unspent Amount

on CSR

1.5 0.513 -2.235 0 4.25 0.716 -

0.826 -0.418

20 Responsibility

Statement 1.35 0.489 -1.719 0.681 4.4 0.598 -0.57 -0.393

(Source: Author‘s Calculation based on Field Survey)

It is found from the above table that mean score of all the qualitative aspects before

Companies Act 2013 was in the range of 1.1 and 1.85 which is less than 3. It indicates that all the

respondents had represented disagreed/unimportant attitude. It is also clear from the table that

mean score of all the qualitative aspects after Companies Act 2013 was from 3.85 to 4.80 greater

than 3. It means almost all the respondents were strongly agreed that there is a great change in

disclosure of qualitative aspects.

Skewness of aspect No. 4, 5, 7, 8, 9, 12, 13, 15, 17, 18 and 20 before Companies Act

2013 have positive values which indicate that data are skewed right means right tail is long

relative to the left tail. While aspect No. 1, 2, 6, 10, 11 and 16 have negative values that indicate

data are skewed left means left tail is long relative to the right tail. Skewness of item No. 7 after

Companies Act 2013 is 0.257 indicates that the data are fairly symmetrical. All other values are

either negative or zero. Aspect No. 2, 4, 10 and 14 have zero skewness it means data are

perfectly symmetrical. The aspect No. 1, 3, 5, 6, 8, 9, 11, 12, 13 and 15 to 20 have negative value

of skewness. It indicates data are skewed left means left tail is long relative to the right tail.

All the qualitative aspects before Companies Act 2013 except No. 2 and 5 have negative

kurtosis score means it has less in the tails than the normal distribution.

The values of SD before Companies Act 2013 were in the range between 0.308 and 0.671

which indicate that the individual responses, on average, were away from the mean to that

concerned figure. A low SD indicates that most of the responses were very close to mean value.

Similarly, the values of SD after Companies Act 2013 were in the range between 0.410 and

0.745 which indicate that the individual responses, on average, were away from the mean to that

concerned figure

Therefore, it is concluded form the above discussion that respondents were strongly

agreed that there is a drastic change in the disclosure of qualitative aspects of CSR practices in

annual reports of the companies before and after the Companies Act 2013.

Testing of Hypothesis

a) Statistical Test: Wilcoxon Signed Rank Test

Respondents were asked about voluntary disclosure and mandatory disclosure of

qualitative aspects of CSR practices using five point Likert scales (5-Strongly Agree, 4- Agree,

3- Neutral, 2-Disagree, 1-Strongly Disagree).

Independent Variable: Before and After Situation of the Companies Act 2013






Dependent Variable: Voluntary disclosure and mandatory disclosure of qualitative aspects of

CSR practices by using five point Likert scales.

Change in voluntary disclosure and mandatory disclosure of qualitative aspects of CSR practices

before and after the Companies Act 2013

W-value 0 Z-value -3.823

Mean Difference -3.21 Mean (W) 95

Sum of Positive Ranks 0 Standard Deviation (W) 24.85

Sum of Negative Ranks 190 Sample Size 19

Test Statistics

Change in mandatory disclosure and voluntary disclosure of

qualitative aspects of CSR practices before and after the

Companies Act 2013

Z -3.823

Asymp. Sig. (2-tailed) 0.00014

The W-value is 0. The distribution is approximately normal. Therefore, the Z-value

should be used. The Z-value is -3.823. The p-value is 0.0001 The result is significant at p ≤

0.05.

The W value is 0. The critical value of W for N=19 at p ≤0.05 is 46. Therefore, the result

is significant at p ≤ 0,05.

b) Statistical Test: Mann-Whitney U Test

Respondents were asked about mandatory disclosure and voluntary disclosure of

qualitative aspects of CSR practices using five point Likert scales (5-Strongly Agree, 4- Agree,

3- Neutral, 2-Disagree, 1-Strongly Disagree).

Level of significance α= 0.05

Particulars Before After Combined

Sum of Ranks 190 551 741

Mean of Ranks 10 29 19.5

Expected Sum of Ranks 370.5 370.5

Expected Mean of Ranks 19.5 19.5

U-value 361 0

Expected U-value 180.5 180.5

SD 34.2527

Test Statistics

Mandatory disclosure and voluntary disclosure of

qualitative aspects of CSR practices before and after

the Companies Act 2013

U-value 0

Z- Score -5.25505

Asymp. Sig. (2-tailed) .00001

The U-value is 0. The critical value of U at p <05 is 113. Therefore, the result is

significant at p <.05.

The Z-score is -5.25505. The p-value is < .00001. The result is significant at p < .05.






c) Statistical Test: Friedman Test

Level of significance α= 0.05

X2

r = (12/nk(k+1)*(∑R2)- 3n(k+1)

X2

r = 0.105*1805-171

X2

r = 19

The X2

r statistic is 19 (1, N=19)

The p-value is < .00001.

The result is significant at p < .05.

The statistical evaluation of all the three tests reveals the fact that the p-value according

to Wilcoxon Signed Rank Test is 0, p-value as per Mann-Whitney U Test is .00001 while

Friedman Test has calculated p-value as .00001. All these p-values are less than the level of

significance (α=0.05) thus, the null hypothesis is rejected. Hence, it is concluded that there is

significant difference in voluntary disclosure and mandatory disclosure of qualitative aspects of

CSR practices before and after implementing New Companies Act 2013.

Conclusion

From the above discussions, it is likely to conclude that the Companies Act 2013 has

made mandatory to every eligible company to spend at least 2% average net profit for the last

three years on CSR activities. It is also made mandatory to disclose all qualitative aspects

mentioned above in the annual reports of the company every year which was voluntary before

implementation of the Companies Act 2013. The study revealed the fact that almost all

companies have accepted that there is an extreme transformation in the disclosure of qualitative

aspects of CSR practices in reports after the Companies Act 2013. However, some of the

companies do not disclose the required details in the format prescribed by the Act. However, the

Act has pushed the companies to put the information in the report and website of the company

which is a good indication of the disclosures.

References

1. Akkala Surendra Babu (2016) ―Analysis of Impact of Corporate Social Responsibility

Initiatives of Indian Coal Mining Industry on Society-With Special Reference to Korba

Coalfields of Chhattisgarh (India)‖, Unpublished Ph. D. Thesis submitted to ICFAI

University, Jharkhand (India).

2. Borhade Prabodhini (2018), ―A Study of Corporate Social Responsibility Practices

amongst Select Companies in Pune‖, Unpublished Ph. D. Thesis submitted to Bharati

Vidyapeeth University, Pune (India).

3. Kansal Monika (2012) ―Corporate Social Disclosure Practices of Indian Companies‖,

Unpublished Ph. D. Thesis submitted to Punjabi University http://shodhganga.

inflibnet.ac.in/jspui/

4. Leung Cheng Han (2014) ―Corporate Social Responsibility and Gambling Industry: An

Exploratory Study‖, Unpublished Ph. D. Thesis submitted to University of St. Andrews

5. M. Hossain, K. Islam and J. Andrew (2006) ―Corporate Social and Environmental

Disclosure in Developing Countries: Evidence from Bangladesh‖ Conference paper

published in Proceedings of the Asian Pacific Conference on International Accounting

Issues held at Hawaii, October, pp. 1-22

http://shodhganga/






6. Najul Laskar and Santi Maji (2016) ―Disclosure of Corporate Social Responsibility and

Firm Performance: Evidence from India‖ Asia-Pacific Journal of Management Research

and Innovation, Vol.12 (2), June,

7. Ourvashi Bissoon (2018) ‗Corporate Social Responsibility in Mauritius: An Analysis of

Annual Reports of Multinational Hotel Groups‘, Asian Journal of Sustainability and

Social Responsibility, 3:2 Springer Open, February, pp.1-19

https://ajssr.springeropen.com/ articles/ 10.1186/s41180-017-0017-4

8. Sai P. V. S. (2017) ―A Comparative Study of CSR Practices in India Before and After

2013‖, Asian Journal of Management Research, Vol. 7(3), pp. 242-255

9. Susith Jude Fernando (2013) ―Corporate Social Responsibility Practices in a Developing

Country: Empirical Evidence from Sri Lanka‖ Unpublished Ph. D. Thesis submitted to

the University of Waikato, New Zealand

10. Handbook on Corporate Social Responsibility in India, Confederation of Indian Industry,

www.pwc.in

11. The CRISIL CSR Yearbook, CRISIL Foundation, Mumbai, (2016) January

12. CSR Outlook Report 2017, R & D Centre, Shree Gurukripa Institute of Finance and

Management, Kodambakkam, Chennai

https://ajssr.springeropen.com/%20articles/%2010.1186/s41180-017-0017-4

http://www.pwc.in/






Sustainable Economics and Its Applications

Dr. Jayshree Pawar

Assistant Professor,

MES. Garware College of Commerce, Pune (Maharashtra)

Email- [email protected]

Abstract:

The paper tries to discuss various economic concepts with its applications in real life and

connects it to sustainable development indicators. Primary data has been collected using non

probability sampling; convenience sampling; where respondents are closest live persons. The

rational behaviour of a person may solve many sustainable issues at micro level. For instance,

when a person selects a combination of two commodities for his welfare, it is assumed that those

commodities are best for him in the light of ordinal analysis. It is propounded that a person

manages his budget and preferences in such a way that the utility derived from commodities

maximizes. It is very close to one of the goal of sustainable development. Thus, there are certain

practices in daily life which can be resembled with economic theories as well as sustainable

development indicators.

Key words- Sustainable development indicator, economic theories and concepts, social welfare.

Introduction:

Adam Smith1, the father of Economics, defines economics as the science of wealth,

Marshall defines it as the political economy which is the study of mankind in the ordinary

business of life and it examines that part of individual and social action which is the closely

connected with the attainment and with the use of material requisites of well being2. Whereas

Robbins3 defines economics as a science of scarcity which studies human behavior as a

relationship between ends and scarce means which have alternative uses. Thus, economics deals

with both science and arts. It is science of wealth and scarcity on one hand and also studies

human behavior on the other. Economic theories try to answer many behavioral aspects like

optimum use of scarce resources, social as well as individual welfare, demonstration effects etc.

These theories show connection with Sustainable Development Goals (SDG). There are 17

SDGs4 which are directly or indirectly connected to some economics theories. For instance, Goal

six ensures availability & sustainable management of water & sanitation for all and Goal Seven

ensures access to affordable, reliable, Sustainable & modern energy to all can be linked to Basic

Economics Problems; one of which is HOW TO ALLOCATE SCARCE RESOURCES. With

optimum allocations of resources availability of resources can be ensured. Goal Twelve ensures

sustainable consumption & production patterns which has connection with consumption and

production theories. As far as Overall sustainability is concerned it can be associated with

Welfare Economics. Thus this paper focuses a light on some of the SDGs and its relation with

economic theories through individual behavior.

Methodology:

To observe general behavior of an individual and to find out the link, primary data has

been collected through questionnaire. Respondents were selected by non probability sampling

was selected in which selected respondents were the closest live persons. Total 178 respondents

were interviewed.







Objectives:

To observe the resemblance between economics theories, its applicability and its relation

to SDI

To find out various sustainable ways of human behavior.

Research Problem:

How to relate rational behavior of an individual to SDIs?

Limitations:

The understanding of questions by respondents can not be checked.

Lack of direct contact between respondents and interviewer may lead to lack of

observations.

Observations:

Few questions regarding general habits of people were asked. The observations are

distinguished on the basic of cases.

Case one: The basic idea of welfare economics, as Pareto rightly said, that when one

person is better off, no other should be worse off5. The other facet of welfare economics is when

there is an increase in welfare of the society without harming others, the overall welfare

increases. If anyone is harmed then society losses its wefare6. So, the crux is while behaving

rationally an individual must think about the consequences of the same on the others. It is quite

obvious that everyone knows which things are good and which are bad. In the knowledge of that

the particular activity is not good still we perform it, it means that we do not care about the

person next to us. It was asked to the respondents that whether they think that whenever they get

benefits of some activity, others are not harmed. The responses are shown in the diagram.

According to the above diagram 42.7 per cent respondents were sure that they are not

harming others. 28.7 per cent respondents were not sure and remaining 28.7 per cent respondents

thinks that they might be harming others. On the other hand when the question regarding bad

practices were asked and most of the respondents agreed that they perform bad practices

frequently. Graphical representation is as follows.






According to above bar diagram about 50 respondents agreed that they consume fast food

frequently. Other activities are also performed by respondents in the knowledge that those things

are not good for them as well as their surrounding people. It is not surprising because most of the

respondents think of themselves and their joy. It seems that they are running behind their goals

and achievements. Lack of time, fast lifestyle and personal enjoyments are the major reasons for

this. When question on good habits were asked most of respondents replied that they promote

people to use dustbin which is followed by washing hands. These sanitary habits ensure good

health. But unfortunately total percentage of the performance of these habits is not satisfactory.

Why don‘t 100 per cent respondents agreed to promote these habits. It highlights ignorance of

sanitary habit among people. It is again contradictory to the next observation where 96.1 per cent

respondents are worried about their upcoming generations as well as environmental degradation.

But it seems that respondents also think that it is not their responsibility. An individual

responsibility towards various social as well as personal issues is ignored by respondents. To

generate a sustainable environment individual responsibility is very important. It is an individual

initiative which may result in the big activity towards sustainability.

Case Two: Consumer‘s satisfaction: According to Prof. Samuelson, ―when a consumer is

observed to choose a combination ‗A‘ out of various alternatives combinations opened to him,

then he reveals, his preference for ‗A‘ overall other alternative combinations which he could

have purchased.‖ It indicates that whatever the product is consumed by the person is supposed to

be best for him as he selects it from the various alternatives available to him. According to

observation 44.4 per cent respondents were not sure that whatever the product they were using

were best for them. Following pie chart reflects the observation.






There are some angles which must be considered while analyzing the data. First,

respondents were not satisfied with the product they are using, still they are forced to purchase

because of low income. Respondents wanted to purchase good quality product but lack of

income does not permit them to do so. Thus, income of respondents must be considered as an

important factor affecting their consumption pattern. Though 39.3 per cent respondents were

happy with the product they were using. To sum up if people use the product which is best for

them, which is describe by Samuelson in his revealed preference theory, the goal of sustainable

consumption will be automatically achieved.

Case Three: Use of scarce resources to fulfill unlimited demand - Optimum and required

use of scarce resources will ensure proper distribution of resources among various economic

agents. Robbins7 defined economics as the study of use of scarce resources to fulfill unlimited

human wants. All economies over the globe is facing the problem of deficiencies of resources.

Technological development has supported the efficient allocation of resources at industrial

sector. But the household sector is also a prominent user of resources and the fact of waste of

resources can not be denied at household sector. Limited resources should be preserved and used

carefully. During the survey it was found that respondents were not serious about the use of

resources and its availability. Following bar diagram show which of the given resources are used

carefully by respondents.

Most of the respondents save water. Food and electricity is also used carefully by

respondents. It is worth noting that instead of spreading awareness regarding water shortage in

coming years only 147 out of 178, which covers 82.6 per cent of respondents, saves water. Even

paper is not used carefully. Use of paper is a common practice. Though this is e-era use of paper






is still continued which threats tree. Trees are the only source to control environmental

degradation. It is the matter of concern and must be taken care of.

Thus, above three cases tries to establish relation with the rational behavior of an

individual as per assumed by various economic theories and SDGs. The focus of paper was the

rational behavior of an individual and its impact on the person next to us and on the society as a

whole. When an individual decides to behave in a manner where everyone feels better then social

welfare will automatically achieved. It is an individual responsibility first and then it becomes a

global issue to discuss and perform. The reasons which can be pointed out for the irrational

behavior of an individual can be

Every individual thinks of himself not of society.

Everyone wants to run fast to achieve the destination.

No care about people.

No long run thinking.

Though they think but never act.

No consistency in performing good activities.

Ignorance about sustainable issues and its seriousness.

Conclusion:

To conclude, Economics suggests solutions on some of the sustainable issues through its

assumptions. The fact of unrealistic assumptions can not be ignored but rational behavior of an

individual is supposed to be realistic and applicable assumption. A simple positive thinking of an

individual can provide solutions on some of the sustainable issues for instant, use of scarce

resources, optimum selection of products, thinking of social welfare etc. An individual attempt

may be one step ahead on the path of sustainability.

References:

1. H. L. Ahuja, Modern Microeconomics, S. Chand, 2006, pp. 4



4. The Sustainable Development Goals Report 2018,United Nations, New York,2008,pp. 4-

13









Private Sector Banks Contribution in an Indian Economy

Mr. Panchal Prasad

Ph. D. Research Scholar

BMCC, Pune (Maharashtra)

[email protected]

Abstract:

Banking plays very crucial role in the country's economy and especially in a country like

India. Banking as a sector contributes to 20% of total GDP. If we segregate Banking into Public

sector Banks & Private sector Banks then we would get very different scenarios in terms of its

lending, deposits, balance sheet size, asset quality, employee strengths etc. If we further drill

down in private sector banks then there are two segments one is old private sector banks and

another is new private sector banks. Here basically we are discussing about new private sector

bank.

There are total 9 new private sector banks in India. If we look at share of new private

sector banks then they are playing very important role to maintain the proper liquidity and credit

requirement in the market. Nowadays whatever lending is happening in the Indian market

whether it is retail lending or corporate lending, it is primarily driven by new Private sector

Banks and NBFC. But if we look at the both formats of lenders then we would see that Private

Banks are well organised, disciplined, digitised, as compared to Public Sector Banks as well as

NBFC.

Hence it becomes very crucial and important from overall financial stability point of view

of Indian market to give more room to private sector Banks so that they would not only provide

proper credit facility to the client but also involve them to increase their involvement in the

financial market of the country. It will help overall economy to track the income if more and

more transactions would happen in organised and regulated Banking sector. Once more and

more population covered by the Banking then there would be good inflow and liquidity in the

money market and overall function of the economy would work smoothly.

Keywords: Non-Performing Assets, New Private Sector Bank, Old Private Sector Bank.

Banking reforms, Prompt Corrective Action, Non-Performing assets, Stressed Assets, NBFCs,

Consortium Lending, Regulator, artificial intelligence, database, etc.

Introduction:

As we are we verse with the definition of public and private sector same applies to Public

Sector / Nationalised Banks (PSB) and Private Sector Banks (PVB). Banks where Government

does not have any stake and those are managed by private shareholders are known as Private

Sector Banks. In the year 1969 there were 14 largest commercial banks which became

nationalized. Those who were able to manage their banking business privately they became Old

Private Sector Banks (OPVB) post nationalization of the public sector banks.

Decade of 90s had been crucial one in the Indian Banking sector and for an Indian

Economy because Narsimham Committee got established during this phase and it also gave birth

to most of the New Private Sector Banks (NPVB), which later changed the face of Indian

Banking sector with their strategy, core banking systems, customer delight, robust processes,

qualified and educated employees and minimum turn around.







Narsimham Committee got established on 14th

August 1991 and it recommended many banking

reforms such as

1. Reduction in SLR & CRR

2. Phasing out Directed Credit Program

3. Interest Rate Determination

4. Structural reorganisation of the Banking Sector

5. Establishment of the ARF Tribunal

6. Removal of Duel Control

7. Banking Autonomy

Second time Narsimham Committee had submitted few more recommendations in April 1998,

following were the recommendations:

1. Strengthening Banks in India

2. Narrow Banking

3. Capital Adequacy Ratio

4. Bank Ownership

5. Review of Banking laws

Following are the New private sector Banks which were established after Banking reforms

1. Axis Bank Ltd (03/12/1993)

2. Indusind Bank Ltd (31/01/1994)

3. HDFC Bank Ltd (30/08/1994)

4. ICIC Bank Ltd (05/01/1995)

5. DCB Bank Ltd (31/05/1995)

6. Yes Bank Ltd (21/11/2003)

7. IDFC Bank Ltd (21/10/2014)

8. Bandhan Bank Ltd (23/12/2014)

9. Kotak Mahindra Bank Ltd (only one new private sector bank which got incorporated in

80s i.e. 21/11/1985)

When these banks were established and started their commercial operations in the

economy post that these banks had hardly went to back-foot on the lending part. Also whatever

reforms imposed or insisted by Regulators they are the front runners in the array and set bench

marks for Banking industry in different segments that may be customer service, banking

operation, business continuity plan, digitalization / digitization, etc.

Because of healthy competition in these Banks the quality of services which customer

receives has been improved day by day. This also led to tapping of the market segment earlier

same had been dominated by PSBs. Nowadays we have seen that there are total 11 PSBs which

are under Government scanner and Prompt Corrective Action (PCA) plan has been executed on

all 11 PSBs. As per PCA they are not eligible to lend money to any customer hence now the

business of these Banks is completely stagnant and for them it is very difficult to survive and

sustain on existing portfolio.

Mainly from 2007-08 when recession had been hitting to the economy of all over the

world our Indian PSBs had started experiencing some heat due to various reason viz international

market instability, high exposure on infra, construction, mining projects, improper end-use and

tracking mechanism, lack of proper credit assessment, etc. Though our economy and specially

banking system were fundamentally strong we had lesser repercussion compared to other






European and American countries. While experiencing this heat during recession phase our PSBs

had cut down their pace of lending and had become more wary on an additional exposure.

Here during this recession period PVBs have grabbed the opportunity and basis their better

infrastructure than PSB they started capturing more and more market share. Then FY 13-14

came when Regulator had been insisting all Banks to disclose their actual number of Non-

Performing Assets (NPA) and Stressed Assets (SA). Regulator conducted Asset Quality Review

across the banking sector and discovered huge amount of NPAs from Indian Economy.

Unfortunately PSBs were leading the array with distinction due to all above reasons mentioned

in earlier paragraph.

Following are some of the charts which would speak about the trend in the Banking sector

in alignment with different parameters

Chart 1: It is showing a movement in the advances which are given by the Bank to its

customers. Chart shows many peaks and valleys in the trajectory, it is mainly showing us the

demand fulfillment done by the PSBs-PCA (whose have been controlled by Regulator by Prompt

Corrective Action), PSBs-Non-PCA (Free to lend in the market) and Private sector banks. After

2010 Private sector banks have shown a growth of >=15%, whereas public sector banks have

shown dip after 2013. In fact PSBs-PCA have been showing negative growth rate after 2015, this

is the period when Regulator had asked all Banks to do their AQR and disclose actual figures for

NPAs and stressed assets. Later by looking at the financial conditions RBI has decided to

implement PCA for majorly infected PSBs and compelled them to restrict their lending book size

by not giving any new advances to any customer. It has affected PSBs growth rate drastically.

Chart 2: This chart depicts Gross NPAs of all the three categories of the banks and we could see

that there is consistent and major spurt in the GNPAs of PSBs as compared to PVBs.






Chart 3: Net NPAs are mainly those assets which are provisioned by the lender or recovery has

been done against those loans. Hence we could see that there is comparative dip in the

percentage of the NPAs but movement of trajectories in both charts is same.

Chart 4: Stressed Assets are those advances which are not regular in repayment of their dues but

still they are in the process of repaying their dues. It means client may delays their monthly

installments due to shortage of sufficient liquidity in the hand and as and when it comes they pay

the installment. In such cases this assets have not stopped generating the income. In fact their

income or rather cash flows are no consistent due to which they delay payment. This chart also

shows the issues face by PSBs in comparison with PVBs.






Functions of Private Sector Banks:

1. Offering high degree of professional management

2. Create Healthy Competition

3. Encourage Foreign Investment

4. Help to access foreign capital market

5. Help to develop innovation and achieve expertise

Introduction about Non-Banking Finance Company (NBFC)

Definition:

A Non-Banking Financial Company (NBFC) is a company registered under the

Companies Act, 1956 engaged in the business of loans and advances, acquisition of

shares/stocks/bonds/debentures/securities issued by Government or local authority or other

marketable securities of a like nature, leasing, hire-purchase, insurance business, chit business

but does not include any institution whose principal business is that of agriculture activity,

industrial activity, purchase or sale of any goods (other than securities) or providing any services

and sale/purchase/construction of immovable property. A non-banking institution which is a

company and has principal business of receiving deposits under any scheme or arrangement in

one lump sum or in installments by way of contributions or in any other manner, is also a non-

banking financial company (Residuary non-banking company).

Key differentiator between Bank & NBFC:

i. NBFC cannot accept demand deposits;

ii. NBFCs do not form part of the payment and settlement system and cannot issue cheques

drawn on itself;






iii. deposit insurance facility of Deposit Insurance and Credit Guarantee Corporation is not

available to depositors of NBFCs, unlike in case of banks.

Comparison between NBFC and Bank:

We compare PSBs and PVBs in the above section now let‘s look at the comparison

between NBFC and Banks. Below chart depicts about the comparison between Balance sheet of

the NBFC and Bank.

Balance Sheet Comparison:

We could see the contents distribution between both lending segment and it can be

understandable that at liability side NBFC has huge borrowing compare to Bank, whereas Bank

has huge source of Public Deposits. This point itself shows that cost incurred by the NBFC is

much higher than Banks.

Asset side of the balance sheet also gives clear outlook on distribution of different

contents viz Loans & Advances, Investments, cash & bank, etc. NBFCs have lent more than the

Banks and they have less proportion of asset contents in terms of investments and liquidity i.e.

cash & bank balances. If we co-relate or compare this with borrowings part then the percentage

of both the contents get varied i.e. they have lent more than whatever they have borrowed. And

to refill this gap of assets & liabilities mismatch they have less provision to invest money as well

as less liquidity in case of any unpredicted market risk. This adverse situation is drying up the

liquidity of NBFCs in faster pace, whereas Banks have win-win situation in terms of their less

borrowings, more public deposits, reasonable lending and optimum use of investment part.

Source: CARE Ratings

Credit Growth comparison:

Chart speaks about the % of the growth different lending segments have shown and PVBs

are leading this array with 17% yoy growth rate in the credit, subsequently it is followed by

NBFC with 13%. If we compare this growth rate with overall banking sector then it is much






lesser than the NBFC. If we compare standalone part of PSBs and PVBs then we have been able

to see the actual growth rate of the both banking sector.

Source: CARE Ratings

CAGR of top Indian Banks for previous five years

Total Assets (Rs. in Crore)

Sr. No. Top Banks 2012-13 2017-18 CAGR %

1 HDFC Bank Ltd 407,781 1,103,233 22.02%

2 Kotak Mahindra Bank Ltd 115,865 337,720 23.86%

3 SBI 2,136,084 3,616,433 11.10%

4 ICICI Bank Ltd 674,822 1,124,281 10.75%

5 Axis Bank Ltd 340,584 703,843 15.62%

6 Indusind Bank Ltd 73,307 221,626 24.77%

7 Yes Bank Ltd 99,104 312,450 25.82%

8 Bank of Baroda 559,388 747,805 5.98%

9 IDBI Bank 322,717 351,645 1.73%

10 RBL Bank 12,962 61,857 36.69%

11 Punjab National Bank 496,676 780,172 9.45%

In above mentioned table there are total 11 banks out of that 6 Banks are New Private

Sector Banks and all seven banks are showing very healthy CAGR during previous five years.

Only one old private sector bank is there i.e. RBL Bank (37%) but asset size is very small

compare to all other banks. The way these banks have shown growth in their assets it shows that

how fast they have tap the Indian market and it shows their penetration in it.

CAGR of top NBFCs for previous five years

Total Assets (Rs. in Crore)

Sr. No. Top NBFCs 2012-13 2017-18 CAGR %

1 HDFC Ltd 235,289 522,581 17.30%

2 Bajaj Finance 16,592 79,695 36.87%






3 Indiabulls Housing Finance 36,989 108,849 24.09%

4 L&T Finance Holdings 34,952 76,261 16.89%

5 Indiabulls Ventures 369 6,819 79.20%

6 M&M Financial Services 25,317 58,744 18.33%

7 Shriram Transport Finance 43,187 82,985 13.95%

8 Edelweiss Financial Services 14,035 52,389 30.14%

9 LIC Housing Finance 65,982 135,815 15.53%

10 Cholamandalam Investments & Finance 13,349 30,178 17.72%

NBFCs have shown tremendous growth in their total assets size but comparatively they are

smaller than Banks, HDFC Ltd is the only exception to it.

Objectives of the study:

To understand the importance and contribution made by New PVBs in the Indian

Banking sector and Economy. Hence we did comparison between three major players of Indian

Economy and Financial Sector viz PSBs, PVBs and NBFCs.

Statement of hypothesis & Research Problem:

1. In same adverse market conditions new PVBs have performed well and sustained their

portfolio without compromising their credit growth and asset quality.

2. Indian Economy had been sustained during recession period majorly because of credit

growth provided by new PVBs to Indian money market.

3. After recession era Indian money market didn‘t dry up because of consistent credit

support provided by new PVBs.

4. Maximum Indian population comes under banking umbrella mainly due to new PVBs,

which were always isolated from funding and growth.

Research Methodology:

1. Here we have used data comparison of PSBs with PVBs and NBFCs with PVBs. We

have shown our data in different line & Bar graphs and also in tabular form.

2. In graphical presentation we have compared PSBs & PVBs on different parameters to

check growth in their portfolio as well as asset quality of the portfolio.

3. We compare year on year (yoy) growth rate of advances, Gross Non-performing assets

(GNPA), Net Non-performing assets, stressed assets, etc.

4. While comparing the percentage we have fixed study period of previous 10 years i.e.

2008 to 2018.

5. Comparison between NBFCs and PVBs mainly made after deep diving into their Balance

sheet distribution and contents. It gave us fair idea about the highly leveraged and illiquid

lender.

6. Graphical presentation of NBFCs verses overall Banks and standalone PVBs & PSBs

clearly shows that PVBs have been outperformed on growth perspective.

7. We also compared previous five years CAGR of top Indian Banks and top NBFCs. And

tables have given crystal clear picture on growth consistency in new PVBs and their total

asset size.

Overall Comparison between PSB, PVB and NBFC:






We have chosen here these key indicators to highlight the returns receive by all three formats of

financial institutions, their consistency on the capital adequacy and their asset quality in terms of

net NPA. And it clearly visible by looking at the chart for last five financial years that red line

which denotes Private Sector Banks (PVBs) is the most consistent legend in terms of all four

parameters / indicators. Rests of the legends are quite volatile and the trajectories are showing

many ups and downs.

Registration & Cancellation of NBFCs in last four FYs.

If we look at the previous four years data then it is observed that there is volatility in the

financial market and it not easy for any new entrant to sustain in the Indian economy hence chart

says that there are many more cancellations than the registration of new NBFCs. There are few

NBFCs which are there in the Indian economy from long stint.

Whereas Banks i.e. PSBs or PVBs are getting merged to get more synergy, to sustain the

portfolio and hence Banking format is more viable than the NBFC.






Market Capitalisation of PSBs, PVBs and NBFCs:

There are total seven PVBs in the top ten biggest banks of India basis market capitalization.

Third biggest NBFC in the top ten is having Rs.1800.00 crore market capitalizations greater than

serially number tenth Bank in the Indian economy based on market capitalization






Overall view of world economy:

.

Above mentioned chart shows that there emerging markets & developing economies i.e.

our Indian Economy is performing well and it has room to further explore itself. To make this

happen PVBs and NBFCs are in front to fulfill the liquidity requirement of the market. But again

PVBs are well regulated and managed than NBFCs hence it plays significant role in the growth

of the country.

Findings / Observations:

1. After recession i.e. 2008 new PVBs have done fantastic job to tap their market share and

provide delightful services to their customers.

2. While enhancing growth rate in terms of market cap and advances new PVBs have also

maintained their NPA and stress asset ratios at permissible level.

3. New PVBs have tried different technologies and ideas to tap the market shares.

4. Attractive offers in terms of discounts and returns have catch customer attentions towards

the PVBs.

5. PVBs have always crossed conservative banking method and come out with different

credit facilities and services viz trade advance facility, third party products, cards product

with different features, wallet app, etc.

6. New PVBs have become cost effective and sensitive for preserving their margin and they

got succeeded in it mainly because of technology and artificial intelligence they uses in

their day to day business.

7. New PVBs have become more competitive mainly because they have concentrated well

on their customer database and market database.






Conclusion:

Here we conclude that new PVBs have been contributing very efficiently for the overall

growth in the Indian Banking sector. Without proper support from PVBs it would be very

difficult rather critical for an Indian Economy to survive in the International market.

Government should also support the PVBs and offer them Government contracts so that that

Government projects which generally elongated due to various reasons would be able to start

well in time.

RBI should also give preference to PVBs while lending to any big corporate in

consortium lending so that proper assessment could be done for the project and it would also

help bank to earn income for the services which it rendered to the client.

If we want to have consistent performance of our economy in terms of growth and sustainability

then to support and nurture PVBs would become need for Indian Banking system.

Regulator should arrange regular interaction and training programme from top executive or

middle management of new PVBs to PSBs and old PSBs so that new technique for an

assessment and new product innovation would be percolate in the behavior of the recipients.

Here we arrive at the conclusion that to sustain the Indian Economy with its basic

sustainability pillars i.e. Economic (Profit-NIM), Environment (Planet-Digitisation), Social

(People-user friendly) and Compliance (within orbit of National and International Standard),

growth of PBVs is inevitable.

.

References & Notes

1) Role of Private Banks in the Growth of Indian Economy, Dr. S K Pole, Principal,

S.B.B. alias Appasaheb Jedhe Arts, Commerce & Science College, Pune.

2) Performance Of New Generation Private Sector Banks In India: A Balanced Scorecard

Evaluation, V.Annapurna, Dr.G.Manchala, Hyderabad.

3) Sustainability in Indian Banking Industry, Urvashi Sahitya, Delhi, VaibhavLalwani,

Delhi.

4) RBI Bulletin-Nov 18

5) Efficiency of Private Sector Banks Performance Comparison Between Old and New

Generation Private Sector Banks, Binish Varghese M, Suman Chakraborty, Bengaluru

6) A Comparative Study On Financial Performance Of Private And Public Sector Banks

With Special Reference To Affecting Factors And Their Impact On Performance

Indicators, Gajera Alpeshkumar Chandulal.

7) Financial Performance of Private Sector Banks in India - An Evaluation, Sathish Kumar

Balasubramanian

8) Post Liberalisation Trend in Indian Banking, Mandira Sarma, New Delhi.

9) NBFCs in India‘s Financial Landscape, Manisha Sachdeva, Darshini Kansara from

CARE ratings

10) BFSI_Companies_2017_Publication_D&B

11) Indian NBFC Sector Report 2018, IBEF.






Urban Cooperative Banks – Catalysts of Banking for Sustainability

Rewati Paithankar

Research Scholar,

B.M.C.C, Pune, (Maharashtra)

[email protected]

Abstract:

Sustainable economic development of any country is not possible without prosperity of

its people , environment protection and social justice , the three pillars of sustainability . Sound,

efficient and responsive banks having awareness about sustainability challenges and

opportunities can play an important role in sustainable economic development. Banks can

finance businesses which have met environmental regulations, which promote social justice and

equality. Indian banking sector comprises of large number of Urban Coopeartive Banks (UCBs)

, which were formed primarily for catering to the weaker sections of the society, neglected by

other formal financial institutions . UCBs have core competencies in dealing with the equality

and social justice dimensions of sustainability , their competencies can be channelized towards

extending finance to environmental friendly projects. Literature review identified the need,

opportunities, benefits for stakeholders and initiatives undertaken world over in the field of

banking for sustainability . The review also revealed that response from Indian Banks is rather

slow. The researcher did not come across any study identifying potential of UCBs that can be

tapped for addressing sustainability. On this backdrop, this paper aims to study how banks can

assist sustainable development and how UCBs, in particular should deal with the sustainability

aspect, what opportunities are available for the UCBs and how banking for sustainability is

going to benefit banks as well as the economic development of the country. Data for the study

was collected by way of secondary sources, such as reports, articles, published statistics and

websites.

Analysis of collected information revealed that opportunities are available in banking

for sustainability for UCBs to increase their credibility, reputation and brand image by way of

creating long term value for the economy. It is recommended that UCBs should develop

sustainability strategy and add value to the sector and individual brand.

Keywords : Environment, Urban Cooperative Banks (UCBs), Sustainable development ,

sustainability, RBI .

Introduction :

" The future depends on what we do in the present " --- Mahatma Gandhi .

These simple words are the crux of sustainability. The Brundtland report (1987)1

,(

which is often cited for its definition of sustainable development ) defined sustainable

development as" the development that meets the needs of the present without compromising

ability of future generations to meet their own needs" . Developing countries face life-

threatening environmental challenges such as desertification, deforestation and pollution , and

have to face the poverty associated with them .Short sighted ways in which prosperity is often

pursued is one of the major causes of disastrous environmental changes. Sustainability not only







means preserving the environment and biodiversity for future generations, but it also means

guaranteeing human rights , a life of dignity , free of poverty for all people.2

One may not suspect that banks have any role to play in the sustainable development ,

but that is not true . Banks being providers of finance for all kinds of businesses have a very

important role to play in promoting sustainability across industries, sectors and communities.

Banks do have influence over management decisions of their customers , and it is possible for

them to exert their influence by using interest rate differentiation and other incentives to

encourage sustainability. Not only banks, but entire financial sector, have been somewhat slow

in responding to sustainability issues , beyond minimum statutory compliances. RBI has issued

an advisory dated 20 November 2017 18

to banks advising them to prepare an appropriate plan

of action towards sustainable development.

UCBs , have been assisting social sustainability due to their inherent nature and business

model. UCBs in India have been addressing the human or social side of sustainability by way of

providing small loans to hitherto neglected section of the population. Availability of small

institutional loans is an important and powerful tool for economic growth and fight against

poverty at the grassroots level. Urban Cooperative Banks (UCBs) since their origin , a century

ago , till today , have been mobilizing savings from the middle and low income urban groups and

supplying credit to their members , mostly belonging to weaker sections. (RBI )3 . This study

was conducted for finding out how UCBs can contribute to sustainability challenge given their

purpose of existence, their large number , their core competencies and the regulatory framework.

Literature Review :

Literature available about sustainable banking based on studies conducted in India and

abroad, publications of renowned institutions like RBI , IFC , United Nations Environment

Program(UNEP) and others which are working in this field of banking for sustainability were

carefully reviewed for this paper

IFC (2007) in its report 4 has presented best banking practices followed world over in

sustainability with data and speaks extensively about the benefits of sustainability for all the

stakeholders . This report also speaks about micro credit but Urban Cooperative Banks do not

find a place in this report. FICCI and UNEP (2014) 5 in their study have pointed out India's need

for long term sustainable finance, Guru Prasad Rao et al (2017) 6 in their paper speak about the

environmental impact of the luxuries available to mankind . The paper states that banks in

BRICS economies have realized importance of green initiatives . India as part of BRICS is

rapidly increasing its foray in digital transactions , as its green banking initiative, however

financial literacy is a big challenge . Working paper by SEED and University of Waterloo7 has

studied the origin of sustainability and how financial institutions have explored the ways to

influence sustainable development in a positive manner , Dr Namita Rajput and others (2013) 8

in their paper state that banks can provide important leadership in sustainability however Indian

Banks are rather slow in responding to the need.

After conducting review of relevant literature , it was observed that there is rising consciousness

about the need for sustainable banking. Most of the studies or literature refer to commercial

banks or micro finance institutions, however no study has been conducted about the role of

Urban Cooperative Banks in sustainability. Given the large number of UCBs present in India and

the purpose of their existence , this study was conducted with a purpose of bridging the research






gap in how the UCBs can act as catalysts of change in the field of banking for sustainability and

for recommending the steps required to be taken in this direction.

Research Methodology :

Data for the present study was collected from secondary sources viz. various journals ,

articles, published data of various international institutions , and other publications available on

internet . Information was also collected from websites of Reserve Bank Of India and e-news

letters.

3.2 Objectives of the study and hypothesis:

On this Backdrop, this study was conducted with following main objectives :

1. To understand meaning and importance of banking for sustainability .

2. To study the sustainable banking practices followed by UCBs.

3. To examine the emerging opportunities and benefits of banking for sustainability for UCBs.

4. To give recommendations for implementation of sustainability practices.

3.2.2 Hypothesis : Following hypothesis was formulated based on the objectives of the study.

1. UCBs are catalysts of banking for sustainability .

2. UCBs can increase their credibility, reputation and brand image by implementing banking for

sustainability.

Meaning and importance of Banking for sustainability :

4.1 Sustainable Development :

As per Brundtland report 1 , economic development that meets the needs of the present, without

compromising the ability of future generations to meet their own needs is sustainable

development. Achieving economic development while maintaining the quality of environment

and social fabric is the crux of sustainable development. Although living within environmental

limits is one of the central principles of sustainable development, it is not limited to just the

environment, it also includes ensuring a strong, healthy and just society, meeting the needs of

existing and future communities, promoting personal wellbeing , social cohesion , inclusion and

equal opportunity for all.

4.2 Sustainability :

Sustainable Development leads to sustainability . Sustainability is about ensuring long-term

business success while contributing toward economic and social development , a healthy

environment , and a stable society . IFC's definition of sustainability 4, encompasses three

dimensions.

Fig. 1 : Balancing of Social , Environmental and Economic factors

The Financial sustainability of the banks and its

customers , so that they can continue to make a

long term contribution to development .

Environmental sustainability through

conservation of natural resources

Social Sustainability through improved living

standards, poverty reduction, concern for the welfare of

communities , and respect for key human rights.

(Source :

http://sustainability.truman.edu/files/2017/03/sustainability-venn-diagram.jpg)

http://sustainability.truman.edu/files/2017/03/sustainability-venn-diagram.jpg






4.3 Banking for sustainability :

Sustainable Banking has been defined by IFC 10

as a decision by banks to provide

financial capital, risk management products and services only to those customers, who, while

attaining their business goals also promote environmental protection and social justice.

Banks must integrate sustainability policy into their business strategy and decision making

process so as to provide incentives to environmentally or socially responsible projects , while

keeping in mind the basic risks involved in lending .

4.4 Importance of banking for sustainability :

Global population is rapidly increasing . Basic needs of the rising population have to be

met whereas natural resources are scarce and climate disruptions are more frequent. Diminishing

resources and tighter sustainability regulations are impacting certain customers of the banks and

liabilities arising therefrom may hamper ability of businesses to repay debts. Developing basic

understanding and integration of sustainability issues in their own longer term planning and

strategy are essential for maintaining the bottom line of the banks. Banks need to understand

that there is a strong correlation between environmental and social factors on one hand and rising

credit risks and NPA levels on the other hand.

Sustainable banking practices followed by UCBs

5.1 Origin and essence of cooperative movement in India :

The history of Cooperative movement in India dates back to nineteenth century 3 . The

idea of pooling resources to meet common objects gave birth to cooperative movement in the

year 1889. The Maclagan Committee in 1915 reviewed performance of credit cooperatives and

observed that such institutions were most suitable for catering to the needs of lower and middle

income sectors of the society , and for inculcating banking habits in them. RBI in the year 1999 11

commented that cooperative credit attempt was the first attempt in India for giving micro

finance. UCBs have occupied an important position in Indian financial sector. They have

traditionally been providing an important channel for financial inclusion for the middle and low

income sections of the population in urban and semi urban areas. Majority of customers of

UCBs are those who are generally not welcomed by commercial banks as they have no assets to

offer as collateral , do not have any credit history and the costs associated with servicing of

small loans do not make such proposals attractive for commercial banks. Commercial Banks,

therefore tend to neglect small customers . If left with no choice , the small customers borrow

from private moneylenders and fall in debt trap . UCBs play an important role here in bridging

the gap between commercial banks and private money lenders . UCBs play their part of

expanding the outreach and increasing access to institutional credit to hitherto unbanked and

neglected section of population ( Chakrabarty 2009) 12

. Having knowledge and experience

about the local conditions, and firm roots in the areas in which they operate, UCBs assist in

eliminating financial exclusion to a great extent by taking banking to the door steps of small

borrowers, businesses and households. UCBs are thus catalysts of financial inclusion and

banking for sustainability .






5.2 Presence of UCBs in India : Fig.2

The composition of banking sector in India as on this date as per RBI13

is as per fig 2,

which indicates that out of total 2122 banks currently operating in India , the number of UCBs is

as high as 1562, which constitutes almost 74% of the total number of banks all over India.

Fig 2 :

5.2

Contribution of UCBs to social sustainability through Priority Sector lending :

5.2.1 "Priority Sector Lending " (PSL) forms important part of financial policy of RBI, which

aims at maintaining sectoral balance by channelizing the flow of credit to weaker and neglected

sections . RBI has made it mandatory for all banks to provide certain minimum portion of

lending to specific underserved sectors as indicated Below. :

Fig 3 : Priority Sector Lending by UCBs

Data as of March 31, 2017

(Amt in Rupees Billion)

Particulars Priority Sector Advances

Amount Percentage to

Total

Advances

1. Agriculture [(i) + (ii)] 75.74 2.90

(i) Agriculture (Direct finance) 32.19 1.23

(ii) Agriculture (Indirect finance) 43.55 1.67

2. Micro and Small Enterprises

[(i) + (ii)]

731.85 28.02

(i) Micro and Small Enterprises (Direct Finance) 576.10 22.05

(ii) Micro and Small Enterprises (Indirect Finance) 155.75 5.96

3. Micro Credit 108.19 4.14

4. State sponsored organisations for SC / ST 1.58 0.06

5. Education loans 21.94 0.84

6. Housing loans 252.93 9.68

7. Total (1 to 6) 1192.23 45.64

8. Of which, advances to weeker section 271.02 10.37






Source : https://dbie.rbi.org.in/DBIE/dbie.rbi?site=publications#!4)

Above chart indicates that 45.64% of the total loans granted by UCBs are to Priority Sector .

Out of total lending to priority sector 10.37% are lent to the weaker section of the population.

Comparison of PSL by UCBs and Commercial Banks : Fig 4

Lending to priority sector is a regulatory

Requirement of RBI which needs to be met

by the banks. Compliance is monitored by

RBI.

As depicted in Fig. 4, the share of UCBs in

lending to Priority Sector has been more than

the public sector banks since F Y 2011-12 to

FY 2016-17

(Source : Report on Trend and Progress of Banking In India 2016-17 published by RBI in 2017)

6. Benefits and emerging opportunities in banking for sustainability for UCBs :

6.1 Benefits :

Research has shown that , sustainability , when integrated into business operations , can

present real benefits for all the stakeholders viz. the society , the UCBs and the customers .

Some of the benefits can be enumerated as under :

Society :

1. Environmental conservation

2. Just and equal opportunities for all

3. Financial inclusion

4. Empowerment of disadvantaged groups.

UCBs :

1. Improved brand image, increased visibility and reputation - Image of a UCB as an institution

committed to sustainable development adds to its visibility in the community, its brand value

and reputation.

2. Reduced risks of NPAs – By creating awareness about cleaner production, customers of the

UCBs can avoid legal liabilities , enjoy uninterrupted business activities thereby better servicing

of loans.

3.Reduced risks of project failures.

https://dbie.rbi.org.in/DBIE/dbie.rbi?site=publications#!4






Customers :

1. Incentives from regulators and bankers for implementing sustainability measures.

2. Reduced costs due to incentives, reduction in penalties etc.

3. No disruption in operations due to regulatory issues.

4. Enhanced health and safety of workers and surrounding areas.

5. Better servicing of borrowings .

6.2 Emerging Opportunities for UCBs in Banking for sustainability

Banking for sustainability is presenting new opportunities for UCBs, which can be availed

subject to usual prudent loan sanctioning practices followed by them. Few such opportunities are

as under . (IFC 2007 4)

Financing to Sustainable energy – UCBs can provide finance on concessional terms for

manufacturing or servicing of energy efficient products ,building construction and renovation

with energy saving features, efficient lighting ,switching to less polluting fuel. Development of

renewable energy source such as wind power, solar systems , micro hydro power plants etc.

Cleaner Production –UCBs can incentivize their customers in adopting cleaner

production practices or provide loans to firms to help them upgrade existing equipment and

production facilities , improve and attain certification of production process etc.

Biodiversity conservation – UCBs can find opportunities in financing industries such as

organic agriculture, sustainable fishing , non timber forest products ( such as mushrooms,

berries, honey and medicinal plants) , financing sustainable supply chains , sustainable tourism

that protects environment and conserves bio diversity and other such innovative areas .

Findings and observations :

This study has revealed that the awareness about linkage of economic development with

environmental issues is growing in India . It is now being realized that economic development

causes erosion of environmental resources and degradation of environmental resources hampers

economic development , which is depicted as under :

Fig. 7 The Environmental Kuznets Curve 17

Depletion of Environmental resources ultimately results in poverty . There is , therefore

need to deal with environmental problems, poverty and equality . UCBs can play a major role in

dealing with all the three problems , as catering to weaker sections of the population is embedded

in their systems. Banks hitherto , slow in responding to the sustainability aspect , now have to

get actively involved. The two hypothesis formulated in this study are established, that UCBs






are catalysts of banking for sustainability and that by consciously adopting sustainability policies

, UCBs can increase their business share in Indian Banking and also improve their brand image

and reputation.

Recommendations for implementation of sustainability practices :

In order to march toward sustainability , following measures are recommended for the regulators

and UCBs :

8.1For Regulators

8.1.1 Regulators need to create awareness and consciousness about sustainability challenges

among all stake holders.

8.1.2 Formal definitions such as "high pollution" or "green " investments need to be included in

the Priority sector lending norms.

8.1.3 A reporting system of the sustainability compliances needs to be developed with

provisions for incentives ,warnings and penalties.

8.1.4 Regulators should recognize the sustainability achievers with prestigious awards such as

"Padm" awards.

8.1.5 In view of the contributions already made and the available potential, the regulators should

encourage UCBs to spread their operations all over India.

8.2 For UCBs

8.2.1 UCBs must develop sustainability strategies, which will add value to their brand.

8.2.2 UCBs should showcase positive efforts made by them through Annual reports and other

publications.

8.2.3While sanctioning business loans weightage must be given to environmental risks and

reduction of human hazards .

8.2.4 Conduct training programs for creating awareness among customers as well as bank staff.

8.2.5 UCBs own branches and offices must be energy efficient and conserve water , electricity

and other diminishing resources.

8.2.6 UCBs must try to shift to paperless environment by shifting to digital means of doing

business.

Conclusion :

It is time for banks in India to respond proactively to banking for sustainability . UCBs ,

now have to leverage their experience in social banking and respond to environmental concerns

and emerging opportunities in banking for sustainability . By thus responding UCBs can create

long term value for the society while achieving their own business goals. UCBs with social

banking embedded in their objectives need to be encouraged to spread their presence across all

states. If we wish to give our future generations a better life, the present generation must march

towards sustainable development , now .

References :

1. Burtland Report by World Commission on Environment and Development ,1987 (

http://mom.gov.af/Content/files/Bruntland_Report.pdf)

2. The Do's and Don‘ts of sustainable banking – A Bank Track Manual,

(ttps://www.banktrack.org)

http://mom.gov.af/Content/files/Bruntland_Report.pdf






3. Brief History of Urban Cooperative Banks – RBI (

https://www.rbi.org.in/scripts/fun_urban.aspx on 13/11/2018)

4. The report "Banking on Sustainability , Financing Environmental and social opportunities

in Emerging markets , a report prepared by International Finance Corporation (IFC) in

2007 .( https://www.ifc.org)

5. "Building a sustainable financial system to serve India's Development Needs " 2014 by

FICCI and UNEP (http://unepinquiry.org)

6. "BRICS banking: Review of Green Banking Initiatives among the BRICS nations by

Guru Prasad Rao" and Sandipm Shenoy, (The Business and Management Review ,

Volume 9 Number 1pp 44-51)

7. Weber, Olaf. (2011). Social Banking and the Future of Sustainable Finance. a working

paper published by Export Development Canada, SEED and University of waterloo.

(https://papers.ssrn.com)

8. Indian Banking Sector towards a Sustainable Growth : A paradigm shift by Dr Namita

Rajput and others 2013 (http://hrmars.com/admin/pics/1464.pdf)

9. Bouma, Jeucken and Klinkers (2001, p101)published in IFC report https://www.ifc.org

10. Genesis and Architecture of Urban Cooperative Banks (1999) , a report by RBI

(https://www.rbi.org.in/Scripts/PublicationReportDetails.aspx?ID=131)

11. Address by Dr K.C.Chakrabarty, Deputy Governor of the Reserve Bank of India, at the

Foundation Day and Inauguration of the ―Core Banking Solution Project‖ of the A.P.

Mahesh Co-op Urban Bank Ltd., Hyderabad, 9 August 2009.

12. RBI website for total number of Banks in India

https://rbi.org.in/commonman/English/Scripts/BanksInIndia.aspx#rrb

13. https://dbie.rbi.org.in/DBIE/dbie.rbi?site=publications#!4

14. RBI Circular RBI/2017-18/175 dated 10 May 2018 regarding Priority Sector Lending

(https://rbidocs.rbi.org.in/rdocs/notification/PDFs)

15. RBI/2007-08/216 Circular DBOD. No.Dir. BC. 58/13.27.00/2007- 08 dated 20 December

2017.

16. Examining Environmental Kuznets Curve for river effluents in India - Scientific Figure

on Research Gate. Available from: https://www.researchgate.net/The-Environmental-

Kuznets-Curve_fig1_227221100 [accessed 20 Nov, 2018]

https://www.rbi.org.in/scripts/fun_urban.aspx%20on%2013/11/2018

https://papers.ssrn.com/

http://hrmars.com/admin/pics/1464.pdf

https://rbi.org.in/commonman/English/Scripts/BanksInIndia.aspx#rrb

https://dbie.rbi.org.in/DBIE/dbie.rbi?site=publications#!4






A Study of Sustainable Economic Development of Pune City

Dr. Surendra Daware

Assistant Professor

Maharashtra Education Society,

Garware College of Commerce, Karve Road, Pune (Maharashtra)

[email protected]

Abstract:

Sustainability is one of the key aspects of the development process of the globe. India is

ranked sixth in the Global Climate Risk Index 2016. India stood 130th

rank in the Human

Development Index (HDI) out of 189 countries in 2018. Sustainable Economic Development

(SED) module is significant to elevate Pune to the status of world class city. Pune is renowned as

an Educational hub, Information Technological (IT) hub, and Industrial hub. Pune city ranks

sixth in India in terms of Gross Domestic Product. Pune has a cultural, social, political and

economically resonance position in the state of Maharashtra.

Presently, Pune city faces one of the biggest challenges of transportation service. There

is inadequacy of infrastructure as a vital element of the sustainable development of Pune city.

The population of Pune is more than 30 lakhs and is growing more and more due to migration.

City land area is extensively developing and creating environmental problems such as density of

road transportations, density of households, rising demand for water, energy sources like

electricity and petroleum products.

Researcher has tried to discover the dilemma of sustainable economic development of

Pune city. Research has used primary and secondary method for data collection. The essential

result of this research paper is that respondents have revealed 96.4% climate change in Pune

city. 59.5% populace experienced mixture of all seasons.

Keywords: Sustainable Economic Development (SED), Gross Domestic Product (GDP),

Infrastructure, Environment, Population.

Introduction:

India ranks second in the climate change vulnerability index of 2017. Recently,

India experienced flood in Kerala, drought in the middle region of the India. The persisting

drought and heat waves affected over 330 million people1. They were followed by an extreme

monsoon season lasting from June to October in eastern, western and central India. At least 300

people died due to the heavy rainfalls and landslides and millions of people were affected by

washed away crops, destroyed roads or disrupted electricity and phone lines2.

Pune is recognized as educational hub, Information Technological (IT) hub, and

Industrial hub. Pune city ranks sixth in India in terms of Gross Domestic Product. From the post

economic reform period of 1991 onwards Pune is rapidly progressing in terms of per-capita

income, economic growth and economic development. Pune has cultural, social, political and

economically sound position in the state of Maharashtra.

Pune city has one of the biggest challenges of transportation services presently. There is

inadequacy of infrastructure as key aspect of the sustainable development of Pune city. The

population of Pune is more than 40 lakhs and growing more and more due to migration. City

land area is scattered widely and is creating environmental problems such as density of road







transportations, density of households, rising demand for water, energy sources like electricity

and petroleum products. Pune city‘s sustainable development model depends upon population

growth, road transportation leads to air pollution, noise pollution, water conservation and water

supply, cleanness of the city, garbage collection and waste management, real estate sector

growth.

According to the Environment status report(ESR) for 2017-18, released by the Pune

Municipal corporation(PMC), the ratio of carbon dioxide equivalent to population was 1.42

tonnes per person in 2012 and 1.64 tonnes CO2e per person in 2017 due to private vehicles3.

Statement of Problem:

The sustainable economic development model is really difficult to implement. Pune is a

growing city that is experiencing environmental changes, inadequacy of infrastructure; disperse

enhanced land area, requirements of water, electricity, petroleum products. These are various

problems faces by Punekars. Sustainability is a biggest challenge in front of the local, national

and international level.

Objectives of the Study:

1] To understand the awareness of sustainable economic development model of Pune city.

2] To identify the status of transportation sustainability of Pune city.

3] To know the changes in climate and water supply, water conservation, irrigation facilities, real

estate sector, vehicle availability, land of study area.

4] To find out the living conditions of study area.


Researcher has revealed the problem of sustainable development model of Pune city.

Research has used primary and secondary method for collection of data; similarly structured

questionnaire is formed and will gather response from respondents for the data analysis.

Researcher has selected 200 sample sizes from the study area. Researcher has used

simple random sampling method for data collection. Researcher has referred books, journals,

national and international publications and internet for the purpose of analysis. Through web

links official sites of IMF, World Bank and Government of India are referred.

Analysis of Data:

Inclusive Sustainability is more challenging for Pune city. City is growing but without

considering infrastructure and environmental precaution.

1.1 Chart: Awareness of Sustainable Economic Development Model of Pune city.

Awareness of sustainable economic development model

of Pune city.

Yes

No






Source: primary data

In the city of Pune 50% people are not aware about sustainable economic development

model. Pune Municipal Corporation has to take initiative to disseminate sustainability to localize.

Similarly policymakers, corporate citizens, students, NGO‘s bureaucrats have to involve in

campaign of awareness and precaution, preservation of environmental pollution and cleanliness

of the city.

1.2Chart: Status of Environmental and Infrastructure problems face by

Puneities


The biggest problem faced by Puneites is road transportation. The 63% respondents said

that roads are essential for the sustainability of the city. Move-ability is crucial for the economic

development of the city. Pune city has density of narrow roads. Road transportation has lead to

intensify the problem of air pollution and noise pollution within and around city. Road

transportation leads to multiple problems air pollution, noise pollution, accidents, trespasser

drivers creating many problems. In the city respondents experienced 22.3% air and 7.1% noise

pollution. Automatically living standards has got affected of Puneites. In general longevity of the

citizens is severely affected in the long term.

.







Researcher has studied the status of garbage collection from Pune Municipal Corporation

(PMC). Garbage collection is satisfactorily collected by the urban local body. Almost 51.8%

respondents are satisfied with the collection of garbage. Similarly 16.1% respondents have

experienced good service provided by PMC for garbage collection. But almost 25.9%

respondents said that it is not good. It means that still over cleanliness and garbage collection

needs improvement in the outskirts of the city.

Presently, dry waste and wet waste classification is done by citizens of Pune. This is a

good practice implemented by PMC; to create awareness about waste management. Urali-

kanchan garbage dumping station has created air pollution through smoke, dirty smell,

surrounding location is severely affected. Government organisational bodies like PMC, state

government has to find out permanent solution to this problem.

―Ek Kadam Swachhata ki Aur‖ means ―One step towards cleanliness‖ is the popular

slogan of Swachh Bharat Abhiyan. From this point of view, citizens and government need to go

miles. Sustainability is an essential component of hygiene and regular garbage collection is a

must for the development of Pune city.


Chart 1.4 investigates the rainfall status of the city. In 2018 48.5% respondents have expressed

rainfall around 500 to 700 mm. Pune city on an average gets normal monsoon. Rainfall is

imperative for city because rainfall ratio will decide how many days water supply will be

sufficient for the people.

1.1 Table: Water supply, conservation, irrigation facilities of Pune.

Water

supply

Water conservation Irrigation

facilities

24 hours 46.80% Satisfactory 51.40% Yes 60.90%






1 to 2 hours 18.30% Good 25.2% No 39.10%

2 to 4 hours 19.30% Not Good 14.40%

More than 4

hours 15.60%


Similarly, they have been getting 24 hrs regular water supply. Everyday respondents have

received 2 to 4 hrs water supply. Water supply depends upon the rainfall and water conservation

system adopted by PMC. The researcher asked respondents about water conservation system of

the city. Respondents articulated that the water conservation system was satisfactory and were

happy with water conservation system.

Water supply conservation maintenance is essential for the growing industrial and education hub

in the most fundamental aspects leading to drinkable water for everyone living in the city.

Researcher revealed that core area of Pune city received 24 hrs water supply. The city outskirts

area is having scanty water supply. The status of irrigation facilities are mentioned good for the

city by 60.9% respondents. In contrast 39.1% people are not happy with present irrigation

facilities.

Vehicle 66.70% 10.80% 22.50%

Mixture of all seasons 59.50% 22.50% 10.80% 7.20%

climate change 96.40% 4%

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%

120.00%

Axi

s Ti

tle

1.5 chart:Vehicle ,mixture of all season, climate change of Pune


In the city 78% people own vehicles. Especially two wheelers are more in number. Near about

66.7% respondents possess their own vehicles. It means that public transportation plays a

significant role in the economic development of the city.10.8% respondents possessed four

wheeler vehicles. The numbers of vehicles have increased. It produces air and noise pollution.

Before pre reform period Pune was known as cycle and retired citizen‘s city but after 1991

onwards, Pune has undergone drastic change of transformation into IT hub, Industrial hub, and

educational hub.

The household survey of Maharashtra state shows 48.8% percentage of two-wheelers in

Pune. This shows the lack of sound and vibrant public transportation system. The city

environmental issues need to be kept under control for a better public transport system of the

city. Automatically sustainable economic development can be achieved smoothly without

hampering the environment.






The most crucial finding of this research paper is respondents mentioned 96.4% experienced

climate change in Pune city. 59.5% people experienced mixture of all seasons although 22.5%

felt hotter summer season. The climate change is due to globalisation that has adversely affected

the globe.

Pune city land area is rapidly growing. Respondents explained that 68.5% area of city has

expanded. Therefore infrastructure demand will automatically rise. This has reflected on the hike

in the real estate sector. Real estate sector related people have more golden opportunity to grow

their business. The rising population is demanding for real estate. Real estate sector is the

backbone of the city. Builders, developers, workers, artisans, engineers from different industries

like steel, cement, bricks, machinery have huge demand in the city, but precaution needs to be

taken about the norms of real estate laid by PMC and RERA (Real Estate Regulation Act)2016.

To prevent the environmental degradation one has to focus on the real estate industry. Petrol and

diesel demand is on rise in Pune. It is obvious that 78% people possessed vehicles.51.8%

respondents need petrol and diesel energy sources.

Findings: The most crucial finding of this research paper is respondents mentioned 96.4%

experienced climate change in Pune city. 59.5% people experienced mixture of all seasons

although 22.5% felt hotter summer season. The climate change is the outcome of globalisation

that is adversely affecting the globe.

35.4% found the living conditions of Pune city satisfactory, 37.2% people mentioned good

condition and 23.2% respondents expressed excellent. 96% found the overall living conditions

positive.

Conclusion:

Environmental Sustainability is the biggest challenge in front of the International

government agency and community as a whole. Global-warming issue is most imperative to

handle on this planet for survival of all. Similarly each continental and respective countries

action towards control of carbon dioxide; air pollution is most crucial, especially United States

America (USA) and China. Sustainable economic development is not solid in the study area.

Although Infrastructure development is requires urgent reform and preservation of natural

resources such as water, land, air, and trees of Pune city. Climate change is depending upon us of

how to utilize natural resources and make more environment friendly production for betterment

of human beings. The study area has surveyed air pollution, noise pollution, and congested road,

spread out real estate sector, pressure huge demand of public amenities on Urban Local Bodies

(ULB), climatically changes, abundant vehicles especially two-wheelers. Therefore sustainable

economic module for Pune city must be compulsory for achievable targets laid down by

International and National government, State and local bodies. At last every citizen will be

expecting in their mind clean, safe, greener, drivable Pune to live in for them and acknowledge at

the global level.

References:

1. CNN,2017,http://edition.cnn.com/2017/04/24/asia/india-heat-

wavedeaths/index.htmlAccu Weather, 2016,

2. https://www.accuweather.com/en/weather-news/flooding-downpours-threaten-

sr/57437771 The Quint,2016, https://www.thequint.com/news/environment/world-

meteorological-organisation-2016-global-climatechange-effects-in-india

3. Environment status report (ESR) (2017-18); Pune Municipal Corporation

www.pmc.gov.in .

https://www.thequint.com/news/environment/world-meteorological-organisation-2016-global-climatechange-effects-in-india

https://www.thequint.com/news/environment/world-meteorological-organisation-2016-global-climatechange-effects-in-india

http://www.pmc.gov.in/






A Case Study of JSBL for Mitigating Cyber Threats for Sustainable Business

Practices

*Mrs. Padma Nene & **Dr. Anita Bhave

Assistant Professor

M.E.S. Garware College of Commerce, Pune (Maharashtra)

* [email protected] , **[email protected]

Abstract:

The present study is an attempt to understand the current scenario of JanataSahkari

bank Ltd. (JSBL) in Pune region in the purview of mitigating cyber threats.

The threat and impact of cyber-attacks on the urban co-operative banking sector is

increasing day by day. Cyber-related crimes present a high risk to the banking industry. What

types of cybercrimes are risk specific to the banking industry and what can be done to mitigate

them? To deal with such types of situations, this paper will document how JSBL is taking

precautions in order to curtail cyber threats using RBI guidelines. As well as how the bank is

safeguarding their Data against cybercrimes. In this paper, the researchers will look at whether

the operations of JSBL are sustainable in view of security threats in current times, and what is

the level of preparedness by the bank to handle them.

Keywords – Janata Sahkari bank Limited, threats, security, sustainability, etc.

Introduction :

Sustainability of every organisation is significant for the development of the country. To

achieve sustainable development, it is equally essential to secure the organisational structure.

In today‘s modern world, daily changes in technology and its protection becomes essential.

Through cyber-attacks, hackers may disrupt business organisation or gain access to, or

manipulate sensitive or confidential data or may simply steal important information.

The organisation should take precautions to detect, classify and manage security

incidence. Attacks can be Denial of service attack, Distributed Denial of service attack,

Ransomware, Malware, Phishing, Whaling, Vishing, Drive-by downloads, Browser Gateway

frauds, Ghost Administrator Exploit etc. In order to prevent such types of attacks, a number of

counter masseuses can be set up at the organisation level.


a. Research Design: - This research paper is descriptive and exploratory in nature.

b.Sources of Data:- Secondary sources of data is used. In this paper, the RBI Guidelines are

referred.

Objective:-

To identify the initiatives taken by JSBL for mitigating cyber threats for safe and sustainable

business practices.

Hypothesis:-

JSBL is taking precautionary measures for mitigating cyber threats as per the RBI guidelines.

In the world scenario, there are different organisations for different purposes but

financial institutes are the most vibrant and economically important organisations. They directly






deal with cash transactions, online transactions, as well as securities, commodities, derivatives,

investment banks, hedge, pension, Mutual Fund, insurance companies etc. which can occur in

just one click. From the safety point of view, they need to take more precautions.

Nowadays all the financial organisations use different tools. To do such type of

transactions they mostly use online transaction tools such as interactive websites, mobile apps,

ATM machines ( for cash withdrawal and deposit), all purposes machines, etc. Such machines

or websites are the soft targets for any cyber-attack, so it is essential to protect them from any

type of Cyber-attack.

As far as India is concerned, in order to mitigate these cyber threats Reserve Bank Of

India (RBI) as a central bank laid down certain policies for Urban cooperative banks. *

As per the RBI guidelines, use of information technology in banks has grown rapidly and

is now an important part of the operational strategy of banks. The number, frequency, and

impact of Cyber incidents/ attacks have increased manifold in the recent past, more so in the

case of the financial sector including banks. There is an urgent need to put in place a robust

cybersecurity/ resilience framework at UCBs to ensure adequate security of their assets on a

continuous basis. It has, therefore, become essential to enhance the security of the UCB, from

cyber threats by improving the current Defence in addressing cyber risks. It is observed that the

level of Technology adoption is also different.

RBI has issued guidelines to safeguard all the UCB under one platform which will be

used all over India.

In this research paper, researchers tried to discover, a case study of Janata Sahakari Bank

Limited which is one of the leading cooperative Bank in Pune region. we have tried to compare

policy formulated by Janata Sahakari Bank Limited with RBI policy. Accordingly, Researchers

forwarded the questionnaire based on RBI policy guidelines. The answers given by the bank are

disclosed in the tabular format.

Researchers visited Janata Sahakari bank and ask a few questions regarding their customer

database and all.

Information about JSBL

Total Turnover 14,000+ (figures in crores)

Customer base 13,70,000

Total Number of Branches 71

Total Number of ATM (onsite and offsite) 69

As per RBI guidelines following details have been collected about JSBL

Sr.

No

Questionnaire as per RBI guidelines Answers by JSBL

1 Whether Net Banking and / or Mobile Banking is

available with the bank?

Both

2 How many customers are using Net Banking 34500

3 How many customers are using Mobile Banking. 21800

4 How many customers are using Net Banking and

Mobile Banking

56300

5 Does bank have CBS and Data Centre? Both

6 What is the capacity of Data Centre? 25 Lakhs Customers

7 What measures you have taken to safeguard Net Firewall






Banking & Mobile Banking? Implemented SSL

TLS to secure links

Dual Authentication

8 How do you educate your customers? E-Mail

SMS

Customer Meet

Training

9 Do you have Cyber Insurance? Yes

10 Do the bank have Cyber Security Policy as per RBI

guidelines?

Yes

11 Do you have Cyber Crisis Management Plan? Yes

12 How do you ensure protection of customer

information? VAPT Audit

Information System Audit

Red Team Exercise

13 Do you conduct Vulnerability Assessment and

Penetration Testing Services (VAPT) audit?

Yes

14 Do you conduct Information System Audit? Yes

15 What is the frequency of Information System

Audit?

Yearly

16 Do you conduct Red Team Exercise? Yes

17 What is the frequency of Red Team Exercise? Yearly

18 Do you submit supervisory report to Department of

Co-Op Bank Supervision, Central Office, C-9, 1st

Floor, BKC, Mumbai 400051 on quarterly basis?

Yes

19 Do you have separate network controls for different

facilities like RTGS, SWIFT, CBS, ATM etc?

Yes

20 Has the bank faced any kind of cyber threat so far?

what action was taken?

NO

As per the above data, we can conclude that JSBL is following RBI guidelines

meticulously for the safety and security of customers data and information. JSBL has Cyber

insurance for the bank, Cyber Security Policy, Cyber Crisis Management Plan. This will

safeguard Online Transactions, ATM transactions, and Fund Transfer, etc.

Conclusion:

JSBL as one of the major UCB in Pune region is adhering the RBI guidelines regarding

mitigating cyber threats for sustainable business operations. It is done in order to safeguard the

database of the bank and customers. From the above case study, Researchers conclude that it is

essential for all the banks to follow RBI guidelines for Mitigating cyber threats for sustainable

business practices.

Bibliography:

1. www.rbi.org

2. www.google.com

3. RBI policy letter no – RBI/2018-19/63 ,DCBS.CO.PCB.Cir.No. 1/18.01.000/2018-19.

4. http:// www.usatoday.com

5. http://www.cert-in.org.in

http://www.rbi.org/

http://www.google.com/

http://www.usatoday.com/






Challenges before Sustainable Banking in India

*Avinash Salve & **Prashant Salve Assistant Professor

M.E.S Garware College of Commerce,

Karve Road, Pune (Maharashtra)

*[email protected]

**[email protected]

Abstract:

Today is the era of globalisation, international demand and extreme market competition.

This competition demands quality products and services from every business which could

compete with any rivals throughout the world. Business houses wish to earn maximum revenues

through maximum production, which demands funds from financial intermediaries. Capital and

finance provided by financial intermediaries are blood for every business organisation to

produce quality goods and services.

Banks are the driving force for development of any economy. When a bank before lending

to any business, expects sustainable and socially responsible practices from that business house,

this activity is called as sustainable investment or sustainable banking. Banks directly or

indirectly creates a capital base for the business houses in an economy. If banks plan for

sustainable development of an economy, if they practice sustainable banking, most of the

organisations in the economy would have to go green.

India being a developing nation, and eager to be declared as a developed nation as early

as possible, it becomes more challenging to keep the environment protected. India is full of non-

conventional resources but the technology to use these resources is scarce. The use of green

technologies demand high cost at initial stage. All the stake holders of the society should have

the desire to protect the environment and should be ready to bare the economic, social and

financial burden for the same. The rising Non Performing Assets (NPA‟s) are creating a

pressure on the banks to make profitable investments. Large number of population still practices

traditional banking leading to wastage of papers. Thus, there are various economic, social and

political challenges before sustainable banking in India.

Keywords: Sustainable banking, Investment, Finance, NPA,Sustainable development.

Introduction:

India being a nation on the verge of development, it is in a state of competition with

various nations for being called as an advanced or developed country. Such a high paced

development demands infrastructural growth, large scale production of goods and services,

technical advancement, better standard of living for citizens, advanced and quality education,

better medical facilities, skill development, cleanliness, etc.

Globalisation has contributed towards better life for the common people, but it has also

created an intense competition between the industries for generating revenues. Wide open

markets create an equal opportunity for all to produce goods and services. Further these goods

and services have to be at a competitive price so as to attract more customers.

In a pursuit to produce more and generate revenues, the nation as a whole is becoming

hungrier for the resources. India is a nation having rich sources of natural resources and thus it






has a greater responsibility to conserve these resources. It is not just the responsibility of the

industries and the government to conserve the environment. Every single element of the society

has to play its own crucial role and contribute towards a better tomorrow. India as a nation

should be known as a super power in the world which is rich in its ecosystem and gives equal

importance towards maintaining its natural environment.

Less than 5% of retail investors have a habit of investing in Indian equity market. Thus

the industries are heavily dependent upon the banking sector for its capital requirements. The

banks can collectively enforce sustainable business practices upon the industries. Banks could

make sustainable business practices as a criteria for providing credit to business houses. If banks

make a habit of investing more funds in green businesses and less in other businesses, it could

motivate the industries to practice green business.

If banks could substantially increase its dependence on non-conventional sources of

energy for its branches and ATM‘s, it could have a big impact on environment in a long run. As

of June 2018, the total number of functioning offices of commercial banks in India was 1,49,891.

If all this branches increase their use of non-conventional sources of energy, it could make a

huge positive impact on environment.

―We want to have one mission and target: Take the nation forward – Digitally, and

Economically.‖ -Shri NarendraModi.

As of March 2017, the total number of current and savings bank account in India were

157.1 crore. Around 36% of account holders in India, make use of digital payments mechanism.

Online transactions helps save papers as well as it saves traveling convenience of the customers.

Digital banking habits among general population could be the best contribution of masses

towards environmental sustainability.

Banks have a potential to bring about a greater change in the resources consumption

patterns in India. Indian banks could indirectly influence industries to accept eco-friendly

methodologies for doing business. But ultimately it is the responsibility of all the elements of the

society to optimistically utilise the resources available and conserve the environment.


This research is descriptive in nature. Secondary data was used for the study. The data

was collected from various reference books related to banking and finance. The secondary data

was also collected from various journals and articles. For the research literature was collected

from libraries. Secondary data was also collected from various websites.

Objectives of Study:

1. To study sustainability in banking business.

2. To understand the concept of Sustainable Investment.

3. To study challenges towards sustainable banking.

Sustainable Development:

―Development which meets the needs of the present without compromising the ability of

future generations to meet their own needs‖.

- Our Common Future.

Economic development is the need of mankind, and exploitation of resources is the need

of development. Economic resources like land, labour, capital and enterprise, and natural






resources like sunlight, water, fossil fuels, minerals, vegetation, etc. are used for the production

and development purpose. Development and exploitation of resources are directly related with

each other. Higher the intensity of development in an economy, higher would be the

consumption of resources in an economy.

Sustainable development refers to utilisation of minimum amount of resources for

maximum level of productivity and development. The resources have to be conserved so that the

next generations could use them effectively for their own needs of development. The

development should satisfy the needs of humans as well as it should maintain the biotic system

of the nature that satisfies the needs of other life forms on the earth.

Sustainable Banking:

Banks act as the custodian as well as resource provider for an economy. Banks form a

financial base for the production houses. These institutions make provision of required capital for

the borrowers and thus contribute towards the national development. Sustainable bank means a

bank that is concerned about environmental and social impact of its business.A bank could be

called as a sustainable bank when it follows socially responsible practices. Its impact of

ecosystem is as minimum as possible. These banks make an impact on borrowing business

houses and motivate them to use green technologies and practice sustainable business. These

banks use paperless technologies for doing business with the customers.

Sustainable Investment:

Businesses need long-term and short-term funds for producing goods and services.

Businesses meet their capital requirements through various investors. The combination of funds

raised from these investors forms the capital structure of the business houses. Banks are one of

the crucial funds providers for the business houses. When banks invest funds to sustainable

business houses, such investment is known as sustainable investment. Banks can make an impact

on the business houses and urge the businesses to practice sustainable production. Banks are

important investors for the industries. Banks can practice an investment habit of investing more

in sustainable industries and less in non-sustainable ones. And thus could indirectly influence all

the industries in an economy to go eco-friendly. Such an investment habit could create a win-win

situation for the banks, depositors, borrowers, environment and the society at large in a long run.

Sustainable Banking Challenges in India:

Pace of Growth: Since 1991, India has been growing at an average 6-7% GDP annually. Even

though India is facing serious challenges like high population, poverty, illiteracy and sanitation,

since 2014 (2017 being exception), India is world‘s fastest growing economy. India is in a state

of high paced growth, which requires huge production of goods and services and thus greater

consumption of resources. As per a report of India Today, the percentage of highly polluting

industries non-compliant with environmental standards has gone up from 10% to 17% between

2010 and 2014. So it becomes very challenging for the banks to make sustainable investments.

Technological Constraints:India has loads of non-conventional sources of energy.

TheTharDesert has huge potential of producing solar energy. India being known for its rivers,

has a potential to explore its hydro energy sources. States of Gujarat, Tamil Nadu and

Maharashtra could contribute more towards generating wind energy. With a coast line of about

7500 kms, India has a potential of generating huge amount of tidal energy. India has good

sources of geothermal and biomass energy too. But the research and development on these






energy resources has been not up to the mark. The technology to explore such resources is

lagging behind. Moreover, the skilled manpower to effectively utilise such resources is a grey

area. Thus banks have to be heavily dependent upon other conventional sources of energy for its

daily activities.

Cost of Green Technologies: India is a nation with huge population and low per capita income.

The end consumers expect to goods to be less expensive. Due to poverty and low standards of

living, the consumers could not pay higher amounts for eco-friendly products. The cost of initial

installation of green technologies is high for the industries, which could be further passed on to

the end consumers. The consumers won‘t be ready to pay the high prices. So it becomes difficult

for the banks to influence the industries for adopting green technologies.

Pressure of Investments: Indian banks, especially public sector banks are facing issues relating

to NPA‘s since 2008. And the problem of NPA‘s has been rising year after year. The banks are

more focused of profitable investments for its survival rather than environment friendly

investments.

Traditional Banking Habits: With the development of internet and technology, various new

electronic payments mechanisms are available now-a-days. The government is also trying to

infuse digital banking habits among common masses. But still around 64% of account holders in

India practice traditional banking. Traditional banking creates an issue of paper usage, as well as

the customers have to travel to the bank branch and back home, for using its services. Thus the

customers waste papers as well as they utilise fossil fuels for travelling purpose.

Ethos of Common people: The cost of initial installation of green technologies is usually high,

which could increase the market price for the products.Reason being poverty, Indian common

man cannot afford high priced products. If a common person has an option of buying high priced

eco-friendly product and a low priced ordinary product, that person will most probably go for the

low priced good. Thus Indian customers prefer cheap goods rather than high priced eco-friendly

goods. Moreover Indians love physical assets which makes them prefer traditional banking over

paperless banking.

Conclusion:

Sustainable development has become basic need for all the economies throughout the

world. All the socio-economic elements have to strive hard towards creating a better and

sustainable society. The banks have a potential to directly or indirectly influence industries and

society in an economy towards sustainability.

Sustainability goals are very difficult to achieve if only few are making huge contributions. But it

could be relative easier to achieve sustainable development if whole society makes small

contributions.






Challenges to Sustainable Development in India : an Analysis

Dharmaraj Hazarika

Research Scholar,

Prof. Ramkrishna More Arts, Commerce and Science college,

Akurdi, Pune (Maharashtra)

e-mail: [email protected]

Abstract:

In recent times the developing countries like India are facing a critical dilemma

regarding choice between economic growth and sustainable development. Both of these are

equally important in present day situation. As a developing country, India‟s first priority remains

economic growth. But at the same time the goal of sustainable development cannot be denied.

Thus, while proceeding with both the objectives of economic growth and sustainable

development India is facing some challenges regarding achieving the goal of sustainable

development. The present study is an attempt to analyze the various challenges facing by India in

achieving the goals of sustainable development.

Introduction:

Simply sustainable development is the economic development process that is conducted

without depletion of natural resource. The modern concept of sustainable development becomes

popular basically after the Brundtland Commission (formerly known as the World Commission

on Environment and development) report, 1987. It defined sustainable development as the

development that meets the needs of the present generation without compromising the ability of

future generation to meet their own needs. Thus, it directly mean about the development with

environmental concern. For a balance development in future the concept of sustainable

development is utmost necessary. But, in recent times the developing countries like India are

facing dilemma regarding the choice between economic growth and sustainable development.

Both of these are equally important in present day situation.

After the independence the Indian economy witnessed a great transformation from

traditional rural based economy to modern urban based economy. Basically after adoption of

new economic policy, 1991, India‘s economic scenario has been changed a lot. At present the

main characteristics observed in Indian economy are increase in the rate of industrialization,

adoption of modernize agricultural system, rapid urbanization, high energy consumption,

increase in the use of vehicle,more use of capital intensive techniques in both agricultural and

industrial sector, etc. All of these are said to be positive signs for the economy as these indicate

improvement in both the economy and society.But, at the same time these implies environmental

degradation also. Because all of the above factors directly affect on the environment and thus the

goal of sustainable development. Therefore, India is facing dilemma regarding the choice

between economic growth and sustainable development. As a developing country, India‘s first

priority remains economic growth. But, at the same time the goal of sustainable development

cannot be denied. Thus, while proceeding with both the objectives of economic growth and

sustainable development India is facing some challenges regarding achieving the goal of

sustainable development.






Objective:

The main objective of the paper is to analyze the challenges faced by Indian economy in

achieving the goal of sustainable development.

Methodology:

The paper is of descriptive type and is based only on secondary data. While preparing the

paper various journals, books, research papers, government reports are used as the sources of

secondary data.

Results and Discussions:

The major challenges faced by Indian economy regarding achieving the goal of

sustainable development are as follows.

(1) Rapid population growth:

Rapid population growth is an important challenge to sustainable development in India.

At present India is the second largest populated country in the world having one fifth of world‘s

population. A scenario of India‘s population growth during last 5 decades is depicted in the

following figure.

Figure 1: India‘s Population growth during last 5 decades

Source: Census data.

From the figure it is observed that India‘s population is increasing at alarming rate. At

present India is the second position regarding population size. On the contrary to population size,

India occupies only 2.4% of the total geographical area of the world. It means within the whole

world only 2.4% geographical area is bearing the burden of about 20% (one fifth) of whole

population in the world. Due to this increased population,Demand for goods and services are

goes on increasing, which in turn results in more productive activities and thereby more

exploitation of natural resources.

(2) Mass poverty:

Poverty is an another challenge to sustainable development in India. Different

committees or reports estimated poverty in different times. According to Tendulkar Committee






report, the population below poverty line in India during 2010-11 was 269 million, which was

about 21.9% of the total population in India. Similarly, Rangarajam Committee estimated that

India‘s population below poverty line during the year 2011-12 was 363 million, which is about

29.5% of the total population. This huge amount of population cannot think about environment

while finding their livelihood. The major concern of these people is to removing their

requirement in any ways. Thus, for these people the environmental concern is the secondary

matter. Therefore, in the presence of such poverty, attempt to approaching towards sustainable

development is said to be only paradox one.

(3) Urbanization:

In recent times urbanization rate in India is growing fast as compared to earlier. The main

reasons behind increased urbanization are increase in government services, industrialization,

growth of private sectors, growth of employment in cities, infrastructural facilities in urban areas

etc. The urbanization rate in India increased to 31.16% according to 2011 census from 27.81%

percent in 2001. The trend of urbanization in India is shown in the following figure-

Figure: Urbanization trend in India since 1961

Source: Census data.

This increased urbanization leads to deforestation, more use of automobiles and

machineries, industrialization etc. which in turn degrade environment in different ways.

(4) Energy consumption:

Pattern of energy use is another challenge to sustainable development in India. In India it is

observed that the renewable sources of energy are not popularized yet. The energy consumption

pattern in India is depicted in the following figure-

Figure: Energy consumption pattern in India, 2017






Source: en.m.wikipedia.org

From the table it is observed that India‘s primary energy consumption is basically non-

renewable based. More than 90% of energy sources in India are non-renewable. This is not

appreciable regarding achieving the goal of sustainable development in India. This heavy

consumption of non-renewable resource will be a threat to sustainable development in India in

future. Because, this heavy use of non-renewable resources will reduce the stock of the same. It

will create shortage of resources in future for next generation.

(5) Industrialization:

India‘s industrialization rate is growing faster as compared to other developing countries.

This is a positive sign for the country in global perspective. But the tragedy is that the

industrialization of the country is going on with such technologies which are not environment

friendly. Due to lack of sufficient resources India still cannot use modern technology which has

no negative impacts on environment.

(6) Employment Pattern:

Regarding employment pattern in India, it is observed that among the total workforce a

small number of workers are engaged in organized sector.As per the result of labour force survey

on employment and unemployment conducted in 2011-12 by National Sample Survey Office

(NSSO), Ministry of Statistics and Programme Implementation, the number of estimated

employed persons in 2011-12 on usual status basis were 47.41 crore, of which 82.7% of

workforce (39.14 crore persons) was in unorganized sector. Remaining only 17.3% of

workforces are engaged in organized sector (Press Information Bureau, Government of India,

Ministry of Labour and Employment, 25th

July, 2011). On the other hand, most of the population

belong to this unorganized sector directly and indirectly depends on nature for their livelihood.

They survive their livelihood by using various resources from nature or environment and they

use the resources in an unsustainable manner.

(7) Modernized agricultural system:

In India, after introduction of green revolution, agricultural sector get boost. The

agricultural system is modernized by different ways, such as use of new HYV seeds, multi

cropping in a year etc. All of these are done by using huge amount of chemical fertilizers,






pesticides etc. These results in degradation of soil quality (or destroy the natural fertility power

of soil), air quality, water quality in many ways.

Thus, these are the major challenges faced by Indian economy in the path of sustainable

development.

Strategies for sustainable development:

The following strategies will be effective to maintain sustainable development-

The 3 R approach:

The 3 R approach, i.e., reduce, recycle and reuse should be adopted as much as possible

in every possible sector. The 3 R approach advocates three aspects of resource use- reduction in

resource uses; using the resources again and again instead of passing it to the waste stream; and

recycling the resources. Practical use of this approach reduces pressure on resources, reduces

waste and reduces pollution.

Energy consumption pattern:

Energy consumption pattern should be changed. Renewable resources should be

popularized. It will prevent the reduction of stock of non-renewable resource.

Adoption of compulsory environmental education and awareness:

Environmental education should be compulsorily included in the curriculums of each

level of education. It will help in changing the thinking pattern and attitude of people towards

environmental protection from early stages of life.

Resource use:

Renewable resources should be used in such a way that resource exploitation rate is

smaller than resource regeneration rate. It will maintain a positive growth rate of renewable

resource. Otherwise, the stock of renewable resources will exhaust.

Reduction in population:

Size of population should maintain to a stable level. Increase in population creates

pressure on environment and which in turn results in over exploitation of resources,

environmental degradation, more pollution etc.

Organic farming:

Organic farming is the farming with no negative environmental impact. In other words, it

is the farming system which is done by using natural components of farming. It helps in

maintaining the natural fertility power of land for a long period.

Conclusion:

In recent time the sustainable development become need of hour. It is utmost necessary

for future generation. At if the concept of sustainable development is not followed, the evils

of development process have to be faced by the future generation. Though, as a developing

country India‘s first priority is economic development, the goal of sustainable development

cannot be denied. Along with the goal of economic development, sustainable development goal

should also be equalized. A balance should be maintained between these two goals. The

economic development process should be adopted in such a way that it creates least pressure

onenvironment as well as resources.






References:

1. Dhankar, V. (2016): ―India and Sustainable Development‖, International Journal of

Computing and Corporate Research, Vol-6, Issue-2.

2. Patil, J.S. (2014): ―Sustainable Development in Indian Economic Perspective‖, Journal of

Economic an Sustainable Development, Vol-5, No.19.

3. Bahadure, P. &Bahadure S.(2012): ―Sustainable Urban Development in India: Challenges

& Approaches‖, Conference Paper, International Conference on Advances in

Architecture & Civil Engeneering, June, 2012.

4. Bhat, B.J. (2015): ―Sustainable Development Effort in India‖, Proceeding of International

Conference on Global Business, Economics Finance and Social Sciences, February,

2015.

5. www.iynf.org

6. ―India and Sustainable Development Goals: The Way Forward (2016)‖, published by

Research and Information Systems for Developing countries, New Delhi, India.

7. Gupta, K. K. &Chirayath, S (2013): ―Sustainable Development in India- Perspectives‖,

GALAXY International Interdisciplinary Research Journal, Vol-1, No. 2

8. Mandal, P. : ―Sustainable Development in India‖, yourarticlelibrary.com.

http://www.iynf.org/






Sustainable Financial Planning is the Key for Success in Investments

Dr Sunil Zagade*, CA Karishma Ghundiyal**

*Research Guide,

Garware College of Commerce, Pune, Maharashtra.

[email protected]

**Academician, MES Garware College of Commerce, Pune, Maharashtra.

[email protected]

Abstract:

Warren Buffet quotes: “Do not save what is left, but spend what is left after saving.” The

research paper is about how the sustainable financial planning can be made with Systematic

Investment Plan (SIP), Systematic Transfer Plan(STP) and Systematic Withdrawal Plan (SWP)

in mutual funds, explaining about the concepts of SIP, STP and SWP, how the model works

including the advantages and disadvantages. It explains the differences between SIP and lump

sum investment in mutual funds. And difference between SIP and Recurring Deposit. A brief

explanation of how to build a financial plan is given considering the investment objectives and

risk considerations. Mutual funds are also subject to market risk and hence careful consideration

is must. A paragraph also explains what the best date is for SIP in mutual funds. The paper also

contains that how the fund manage the cost i.e. explaining the term total expense ratio. Because

someone else i.e. the fund manager who is a qualified professional manages the portfolio and

take decisions according to the scheme objective. Emphasis is also given whether it is a direct

plan or a regular plan. And the most important aspects about how the SIP returns are

calculated. Investors do consider the return being generated by the fund manager as compared

to the returns being generated by the benchmark of the mutual fund.

Key words: Financial Planning, Systematic Investment Plan (SIP), Systematic Transfer Plan

(STP), Systematic Withdrawal Plan (SWP).

Objectives:

1. To understanding the concepts of SIP, STP and SWP

2. To understanding how the model works of SIP, STP and SWP.

3. To understand on how to make a financial plan or model considering the investments risk

and objectives.


This research paper is purely based on secondary data. The references are taken from

financial portals, mutual fund companies and asset management companies. Also references are

being taken from various blogs related to investment planning and mutual funds. Articles from

Economic Times Wealth and journals are conceptualised. The primary method adopted is

observation as the author is himself a investor and thus analysis and understanding is adopted by

practical experience.

Scope:

The scope of the research paper is restricted to concepts relating to mutual funds only.

The research paper is not a report of any mutual fund and its performance. The research paper

covers the broad aspect about how investment can be made in mutual funds through options like

SIP and how the financial planning can be made using the tools like SIP, STP and SWP.

Also it does not comment on any specific mutual fund house or fund manager or its performance.

Mutual Funds do invest in stocks, bonds and debentures according to the scheme objective and








thus the paper does not comment on any stock or bonds in equity market, debt market or money

market.

Content:

Concept of Systematic Investment Plan (SIP)

A systematic investment plan or SIP is a more of regular investments in mutual funds.

SIP allows us to invest a certain predetermined amount at a regular interval (weekly, monthly,

quarterly, etc.) One of the best ways of entering equity market is through Systematic Investment

Plan (SIP) in equity mutual funds, as it brings in an investment discipline for your future cash

flows and helps in rupee cost averaging.

Features of investment through SIP

A SIP is a flexible and easy investment plan. The money is auto debited from the bank

account and invested in to a specific mutual fund scheme.

The investors are allocated certain number of units of mutual fund based on the ongoing

market rate called NAV (net asset value) for the day of SIP. Every time when a investor invest

money, additional units of the scheme are purchased at the market rate and added to account

hence units are bought at different rates and investors benefit from rupee cost averaging which

means one get more units when market is low and fewer units when market is high and hence

market averaging happens.

SIPs are done only in open ended funds in which the investors can invest and take out the

money anytime.

There is no fixed tenure for running SIP. Even if one selectsSIP tenure, if one wishesone

can stop it in between or one could continue it even after the tenure ends by placing a request

with respective mutual fund company. One can also do a perpetual SIP.

Full and partial withdrawal is possible during or after the SIP tenure is over.

SIP is an ideal tool of mutual fund investment for investors owning regular monthly income.

SIP is a method of investment in mutual fund and hence its risk profile is equivalent to the time

to the type of asset you invest in.

Chart:

Reference: Reference: https://www.principalindia.com/learn-mutual-funds/regular-investor-basics/sip-stp-

rwp-triggers

Why should one invest through SIP method?

Pros and Cons

SIP instils a habit of savings –Through SIP an investor saves a part of his income first

and then manages the expenses from what is left over. This habit of savings alone makes SIP

method a winner among all.






Reduces overall ways of investment - With SIP, one avoids the timing the stock market

investment. Investment is made in each stage of market i.e. the highs and lows of the market

which results in steady capital appreciation.

Power of compounding - SIPs helps in an early start of investment as it can start small.

Also SIPs are mostly done for long term financial goals. These two factors of early start and

long-term investment help to multiply returns due to power of compounding.

Convenience - Investor can send a one-time instruction to his bank to allow auto debit of

the investment amount each month from his savings bank account allowing systematic

investment without worrying about missing out on any monthly investment.

Concept of Systematic Transfer Plan (STP)

STP stands for systematic transfer plan. STP gives a facility to investor by which the

investor can transfer a fixed or variable amount or units of funds from one scheme to other at

regular intervals (weekly, monthly or quarterly).

STP is majorly used to transfer money from debt fund scheme to equity schemes as

during volatile markets one may not feel confident to invest a lump sum amount in equities. So,

in that case good strategy is to invest the lump sum in debt and start an STP to equity, which

spread your investment in selected time frame. This may be a good risk mitigation strategy.

An STP can also be used to transfer funds from an equity fund to debt, when a goal for

which one have been investing for a long term has come within 3 years when one would require

the amount. This way investor can protect corpus from possible market fluctuations.

Key considerations in using STP

STP is a facility for convenience, when transfer happens from one mutual fund scheme to

another it is still considered as selling of the first scheme and then buying another one, so tax

rules apply in the same way.

STP can be done from one scheme to other of the same fund house and hence at initial

investing stage, fund house should be selected based on equity scheme you want to invest in.

For example - one cannot start an STP from HDFC liquid fund to Axis equity fund but an

STP from HDFC liquid fund to HDFC equity fund can be done.

STPs can be done only among open ended Mutual fund schemes.

Chart:

Reference: https://www.principalindia.com/learn-mutual-funds/regular-investor-basics/sip-stp-

rwp-triggers






Concept of Systematic Withdrawal Plan (SWP)

SWP stands for Systematic Withdrawal Plan. In principal, it is the reverse of SIP concept.

In SIP, one looks at accumulating corpus by making regular investments into a mutual fund; in

SWP, one regularly withdraws a fixed amount of money from the fund. The fund‘s value and

number of units will reduce to the extent of each withdrawal. The amount to be withdrawn and

the frequency – monthly, half yearly, or annually – are set by the investor.

For Example: Mr XYZee has 5000 units in a mutual fund scheme and he wants to

withdraw Rs 4000 every month as SWP:

On January 1, the NAV of the scheme is Rs 10 hence 4000/10=400 units will be

redeemed in the first month giving him Rs 4000.

At this stage, remaining units will become 5000-400 = 4600

On February 1, let us say NAV of the scheme becomes Rs 20, hence 4000/20 = 200 units

will be redeemed in second month to him giving Rs 4000.

This process can go on till all the units get exhausted.

Chart:

Reference: https://www.principalindia.com/learn-mutual-funds/regular-investor-basics/sip-stp-

rwp-triggers

Key considerations in SWP

SWP is a method where investor is assured of getting a fixed amount at the pre-

determined frequency. The problem with other regular money options like a monthly income

plans, which pay dividends, is that the amount and the frequency of payouts is not fixed.

Withdrawals in SWP are treated as normal withdrawals. So, exit load of the fund should

be checked before starting an SWP.

Since each withdrawal is essentially a sale of units, one should remember to check the tax

implications on the redemption. One should start SWP only after remaining invested for at least a

year in equity funds and 3 years in Debt funds to reduce tax implications to the lowest.

Investor cannot run a SIP and SWP in the same fund.

The number of withdrawal one can make from the fund corpus depends on the amount of

withdrawal, size of corpus and the rate of return of the fund.

When to use SWP

SWP should be used when one want a fixed periodic income in retirement years, when

one does have any other income.






Investoris giving a fixed monthly expense to his child for hostel out of his Education

corpus.

One is planning for sabbatical leave and wants to take care of your expenses from

accumulated investments.

Difference between SIP and lump sum investment.

SIP and lump sum investment are two different methodologies of investment, one for an

investor who has regular future income and another for an investor who has money at hand,

respectively. So, putting it simply, if onehas money at hand or irregular income one should invest

in lumpsum and if one has regular salary income, one can opt for SIP. But things are not so

simple always, the difference is as follows:

Basis SIP Lumpsum Investment

Mode of

investment

Investing the amount in

systematic way i.e. investing a

fixed amount periodically

Investing the amount at once in a mutual

fund.

Risk Comparatively lesser risk as the

investment gets spread over a

period and hence absorbs some

volatility of the market.

Higher risks as markets can move either

way post investment.

Key Benefit Discipline: The biggest benefit of

SIP is that it creates a discipline

of saving and investment every

month.

Can time the market and can also transfer

money systematically. If one thinks markets

are at all-time low, lumpsum investments

can fetch better returns. Also, ifone thinks

market is volatile, still one does have an

option of STP to enter the market

systematically rather than through lump

sum investment.

SIP VS Recurring Deposit (RD)

If one wishes to invest small amounts of money on a regular basis each month, in the hope of

gathering a large corpus after a few years‘ time, one can choose to go either the SIP or RD. Let‘s

see the comparison:

Basis SIP RD

Investment Through SIP, one may invest in equity,

hybrid or debt mutual funds

Through RD, one invest in fixed

deposit schemes of a bank

Frequency of

investment

One can do SIP with frequency daily,

weekly, monthly or quarterly as per

your choice.

Frequency is mostly monthly.

Returns The returns obtained are dependent on

the equity or debt market as per the

scheme chosen by the investor. Over

long run, better performing mutual

funds have given double digit returns

Rate of return is fixed in RD and is

known at the time of the start of RD

account. Currently RD interest rates

between 6 to 7.5%.

Risk Returns in SIP are variable and there

can be a risk returns and capitals as per

markets

RD is very safe investment and the

risk is negligible as money is

deposited into a bank.

Liquidity You can close the SIP anytime and

redeem your investment subject to Exit

load policy of the fund.

With RD, premature withdrawal or

closure will attract penalty charges.






Taxation SIP, of course are more tax efficient as

they invest in mutual funds eg. Tax

savings funds and Equity Linked

Savings Schemes.

The interest earned on RDs is

usually taxed as per one‘s income

tax slab on accrual basis every year.

Best Date for SIP in mutual funds.

The day after getting salary is the best day for SIP. SIP is less of investing strategy more

of a savings approach. There is no single best date day to run SIP.

Various theories are available, which may give preference towards different dates, but

difference is minor and may not hold in future. So, important is to invest as soon as possible.

Risk in SIP investments? Can there be loss in SIP?

Yes it is an investment methodology where oneinvests in mutual fund periodically. So,

risk factors associated with SIP are same as that of the fund itself, irrespective of the way one

invests.

If SIP is started in an Equity Mutual Fund, then the investment would be prone to high

risk, as the instrument is company shares and if one starts an SIP in debt fund then it would be

prone to low or medium risk as the instruments are government securities and corporate bonds,

etc.

We must know due to structure of SIP i.e. regular investment for long-term, the market

risk reduces by certain level asit invests in both ups and downs of the market. Therefore, one gets

returns which represents overall economy and market direction for the long term which is mostly

positive.

Hence SIP is the best way to invest in volatile equity markets.

Can there be negative returns from SIP?

Of course, yes, there can be negative returns and there is higher chance in short term for

equity funds. SIP returns in Equity are directly linked to stock markets and if they sustain

consistent losses which can be a possibility in the short term due to volatile nature of the stock

market,SIPs will also give negative returns.

SIP works on the principle of regular investments and brings the power of compounding

to forth.It removes tensions and uncertainty from investment plan by making it a mechanical

regular process.It inculcates the habit of regular savings and does not encourage timing and

speculation in the markets. But, remember that SIP is just another method of investing; it is a

vehicle not the destination.

SIP returns calculations

An SIP investment takes place on a particular date at regular intervals. When the

investment is made, one will get a fixed number of units depending on the prevailing NAV of the

scheme at that time.

Over a period of time, you would accumulate a large number of units. That is why it

becomes difficult to find out the total returns you have earned over a period. This is because

every SIP instalment may have fared differently and has a different time period of investment.

XIRR is a function in excel for calculating internal rate of return or annualized yield for

an array of cash flows occurring at irregular intervals.

To calculate XIRR what is needed:

SIP Amount






Dates of SIP investments

Date of redemption (if you haven‘t redeemed the money but just want to check returns as

of today, then put today‘s date)

Maturity (redemption) amount (if you haven‘t redeemed the money but just to check

returns as of today, then put Today‘s value of investment)

1. Illustration for calculation of SIP returns.

SIP of Rs 5,000 a month with redemption amount of Rs 31,000 Starting date of SIP:

01.01.2018, last SIP date: 01.06.2018. Redemption date of Sip: 01.07.2018

Then CAGR (compounded annual growth rate) will be 11.92%,. Here is the calculation

screenshot

Cost involved – Expense Ratio.

To manage the money, a mutual fund house/Asset Management company incurs some

expenses such as fund management fee, agent commissions, registrar fees, auditor fees,

advertising expenses,etc.

Expense ratio states how much one pays a fund in percentage terms every year to

manageinvestors‘ money.

Example: If you invest Rs. 20,000 in a fund that has an expense ratio of 2%, you have to

pay Rs 400 for managing your money. So basically, if a fund earns 10% and has a 2% expense

ratio, it would mean an 8% return for you.

Always remember, irrespective of whether a fund generates positive or negative returns

expenses are always incurred.

Also, a lower expense ratio does not always mean that it is a better-managed fund or will

give better returns. A good fund is one that delivers good returns with minimal expenses.

It matters where two funds look similar in almost all aspects, but have a sizable

difference in their expense ratio.

Note: all the returns and NAV we see on various mutual fund websites are mentioned are

expense ratio adjusted.






Direct Plans in mutual funds.

Direct plan schemes are schemes in which the investor invests directly with a mutual

fund house. In such plans, there are no intermediaries or distributors or brokers involved and

therefore expense ratio of these plans are lower than the regular ones as AMC sales and

distribution cost. Thus savings 0.2 to 1% in expense ratio.

However remember the investment objective, investment makes and everything else

accept expense ratio and NAV of the scheme portfolio will be same as regular plans.

The scheme would denote ―Direct‖ in its description at the end of such direct plans.

Example:This is how we will see the name of direct and regular plan when we will

invest: Franklin India Small Cap Fund - Direct plan and Franklin India Small Cap Fund -

Regular plan

Regular plan in mutual funds.

Under regular plans, investor invests through a distributor or an intermediary, whereas in

direct plans investor invests directly with AMC.

Thus, cost (expense ratio) is higher for regular plans. Remember investor does not pay anything

directly to the distributor or any intermediary, AMC does and that results in higher cost i.e.

expense ratio.

Direct or regular plan which one to choose?

Direct plan seem to be a natural answer, as it always give higher returns than the regular

plan which when compounded becomes a good amount after few years.However the answer is

not so simple. It is same as taking a self-medication and not consulting a doctor or filing tax

returns of your own to save CA course.It may work for some and can have adverse impact for

others.

Conclusion:

SIP is the best mode of investment in mutual funds as above all it instils a saving and

investment discipline in you. SIPs are not a commitment but a discipline drive and this discipline

alone can make one a successful investor.

Using SIP and STP, it is important to understand that the more time the investor gives to

an investment, higher would be the amount accumulated since the power of compounding

increased as the time goes by. Investor must understand the relation between the amount

invested, the time invested and the rate of return earned.

Portfolio should be reviewed periodically. Short term bad performance does not mean it is a bad

bet.

One should stay invested for a longer term, unless there is something really wrong with

the fund or you need liquidity.

Bibliography:

News website-

1. Economictimes.indiatimes.com

2. www.financialexpress.com

3. www.businesstoday.in

4. www.hindubusinessline.com

5. www.business-standard.com

6. www.livemint.com

7. timesofindia.indiatimes.com

http://www.financialexpress.com/

http://www.businesstoday.in/

http://www.hindubusinessline.com/

http://www.business-standard.com/

http://www.livemint.com/






Financial Portals

1. Valueresearchonline.com

2. Moneycontrol.com

3. www.bankbazar.com

4. www.morningstar.com

5. www.bigdecisions.com

6. www.amfindia.com

7. www.investopedia.com

8. www.paisabazaar.com

9. www.morningstar.in

10. www.amfindia.com

11. www.karvy.com

Mutual funds companies websites

1. www.icicipruamc.com

2. www.hdfcfund.com

3. www.idfcmf.com

4. Assetmanagement.kotak.com

5. www.utimf.com

Blogs

1. www.quora.com

2. www.jagoinvestor.com

3. cafemutualfund.com

4. www.arthayantra.com/blogs

5. Youtube.com/Invest Yadnya

http://www.bankbazar.com/

http://www.morningstar.com/

http://www.bigdecisions.com/

http://www.amfindia.com/

http://www.investopedia.com/

http://www.paisabazaar.com/

http://www.morningstar.in/

http://www.amfindia.com/

http://www.icicipruamc.com/

http://www.hdfcfund.com/

http://www.idfcmf.com/

http://www.quora.com/

http://www.jagoinvestor.com/

http://www.arthayantra.com/blogs






A Study of Logistics Integration in Sustainable Food Supply : A Case of

„Samvad Social Technologies‟

*Sushmita Nande & ** Sandeep Rathod Assistant Professor,

MES. Garware College of Commerce, Pune, Maharashtra.

*[email protected]

**[email protected]

Abstract:

Organizations all over the world are continuously trying to reduce the cost of their

operations. On the other hand, there are millions of people facing hunger. The biggest evil is

wastage, as known in the Japanese concept as „Muda‟. Food wastage is one of an economic,

social and an environmental problem that is faced by the restaurants and hotels all over the

world. Therefore, sustainability is only the answer to this problem. In order to reduce food

wastages and also to add a social contribution, green supply chain concept can be used to solve

this problem by integrating customers, restaurants, NGOs and service providers. The

researchers have studied a Service provider, „Samvad Social Technologies‟, promoting zero food

wastage and how green logistics can be usedin sustainable food supply chains.

Keywords: Food wastage, Sustainability, green supply chain, restaurants, service providers and

integration etc.

Introduction:

Sustainability follows a triangular approach of integrating economic, environmental and

social factors. The importance of sustainability is rising due to a growing concern for the

environment that has forced climate change and other ecological issues. Apart from this factor,

there is a concern about the scarcity of resources, which is the basis for survival of the fittest.

Food wastage in general is a main economic, social and an environmental problem faced

by a country. An estimated 1.3 Billion tons of food is wasted globally (FAO, 2013). In Pune city

alone, around 140 tonne of edible food is wasted every day. The restaurants, eateries, hotels,

households, catering services, etc. contribute to this alarming problem. Waste, also known as

‗Muda‘ in Japanese hampers productivity and lowers the profitability of any business enterprise.

The other challenges are hunger, malnutrition, child stunting which are faced by governments all

over the world. Thus, sustainability is the only key to solve such socio-economic issues.

Logistics integration between efficient participants in the supply chain can be a promising

solution to such problems.

About Sustainability:

Sustainability is the capability to maintain at a certain level. It is the process of

maintaining change in a fashion that is balanced, exploitation of resources, the investments

directions, the orientation of technological development and institutional change are all in

harmony and enhance both current and future potential to meet human aspirations and wants. For

many in the field, sustainability is defined through the following interconnected pillars:

environment, economic and social. Sub-pillars of sustainable development have been considered

also: cultural, technological and political. Sustainabledevelopment maybe the organizing






principle for sustainability for some, but for others, the two terms are paradoxical. Sustainable

development is the development that meets the needs of the present without compromising the

ability of future generations to satisfy their own needs and wants.

About Integrated Logistics:

Logistics Integration play a vital role in coordination and integration within a supply

chain in order to have collaborative networks not just within the organization but also with the

suppliers upstream and downstream with distributors and customers. Collaboration means many

different things, but basically it refers to joint planning, joint product development, mutual

exchange of information and integrated information systems, cross coordination on several levels

in the companies on the network, long term cooperation, fair sharing of risks and benefits, etc.

One enormous advantage of an integrated logistics is the reduction of the wastages (In Japanese,

‗Muda‘),increase in productivity, improving delivery and customer service. However, as the

process becomes more integrated within a supply chain, the complexity of the logistics decisions

also increases. There are two main aspects involved in the integration of logistics decisions. The

first of these are the information systems. Without integration of information systems between

the different players, there can be no translation or sharing of information, which is the basis for

any possible integration between departments or firms. With today‘s technology, the integration

of information systems is possible and has been implemented by many firms. The second aspect

is the use of optimization systems to achieve an integrated management of the logistics activities.

As more and more industries decide to integrate their information systems, the need for

sophisticated tools to help the decision makers to evaluate possible alternatives, decisions and

their impact in the whole supply chain also increases.

About Samvad Social :

Samvad social is an IT organization which has taken a prudent and altruistic initiative to

get rid of the food wastage through integrating the restaurants, customers and NGOs through

information technology. The main goal was of involving people, by attracting them to take up

this initiative of zero wastage. It is a known fact that there are huge amount of wastages due to

unfinished portions of food by customers worldwide.

The approach to grant incentives to customers when they return the left-over or

untouched food is implemented. Whatever food is left is given back to the NGOs through

integrating them via an IT platform, an application ‗FoodDosti‘ precisely. In the initial stage, the

organization conducted a pilot study to test the same application, and it intends to re-launch in

December. This entire idea was justified by Mr. Sanjay Neve, the CEO, as his ‗Dream‘.

Literature Review:

Petri Helo and Hanne Ala-Harja (2018) Environmental impacts, such as Green House gas

emissions, have been introduced to supply chain management as an additional parameter to

traditional key performance indicators such as cost, lead-time and on-time delivery. This paper

analyses a case example from the food industry on how CO2 emissions are structured in a value

chain. The focus of the analysis covers food factory order-picking operations, transportation and

warehousing and distribution aspects. The paper aims to demonstrate greening and CO2 saving

potential areas of development for thermo-controlled food logistics.

Francesco Zecca and Natalia Rastorgueva (2014) This paper describes conceptual

framework of the contemporary agricultural supply chain processes; examines different






influencing factors; considers issues of the supply chain sustainability according Triple Bottom

Line concept. Great attention in the article payed to logistics as the most important part of supply

chain. Logistic processes directly related to the three pillars of sustainability. Therefore

sustainable logistics has economic, social and environmental impact (PDF) Supply Chain

Management and Sustainability in Agri-Food System.

Techane Bosona (2013) Logistics related constraints in local food systems could be

tackled through clustering, coordination, integration, and optimisation techniques. The

integration of logistics network in local food supply chains could increase the performance of the

entire chain by reducing overstock, delivery delay, final product price, and by increasing product

value, quality and safety as well as customer satisfaction.

Ingrid Nordmark, David Ljungberg, Girma Gebresenbet, Techane Bosona and Rein

Jüriado (2012) The main objective of this paper was to assess the e-trade integrated logistics

systems, economic benefits and environmental impact of integrated logistics systems, based on

route optimisation analyses and producer data collected using questionnaires. The study revealed

that the introduction of IT-systems for electronic trade had positive and negative economic

effects. Internet-based cloud services designed for electronic business to business trading and

coordinated transport with a common collection centre (CC) were important steps in the process

of integration.

Yan Xiao-hui and Ma Jun (2012) In food companies, the supply chain manager has a

pivotal role in the process from procurement through to managing the reverse logistics, which

can be described as the process of moving goods back through the system with the purpose of

finding another use for the products, or for proper disposal. This requests that food enterprises

develop a sustainable supply chain to realize this process. This paper addresses the concept of the

sustainable food supply chain and the methods and steps to achieve this goal for food industry.


The researchers have used a case study and survey method to conduct the research.

Following are the details of research methods adopted and implemented by the researchers for

the completion of the research work.

Objectives:

1. To understand the food wastages happening in hotels and restaurants

2. To know the awareness of food recycling concept in hotels and restaurants

3. To know the use of Information Technology integration in food wastage control

4. To know the awareness among consumer in Pune city about food wastages

Sampling Method:

Researcher had three different sets of questionnaire.

1. The first set of questionnaire was designed for Samvad Social Technologies. It was a

formal interview with the director of the company. The interview was recorded by the

researchers in which pre decided questions were asked. Sampling method was selective

sampling.

2. Second set of questionnaire was designed for the consumers in Pune City to collect the

primary data.






3. Third set of questionnaire was designed for the hotels in Pune city. Researcher had

visited these hotels to collect the primary data. Convenient sampling method was used.

4. Forth set of questionnaire was designed for the NGOs in Pune. Researcher had visited

these hotels to collect the primary data. Convenient sampling method was used.

Sample Size: The sample size for the consumer‘s data was 200 respondents, Hotels and

Restaurants were 20, couple of NGOs and an IT organisation which works on food wastage

solution was taken for the primary data collection.

Universe: For first set of questionnaire i.e. for the consumer the population of Pune was taken as

a universe, all Hotels and restaurants, NGOs and IT organisation which works on food wastage

solutions in Pune were the universe for other sets set of questionnaire.

Data Collection:

Primary Data: The primary data was collected trough Google forms for consumers and a

structured questionnaire was used for interviewing the hotels and restaurants, NGOs and IT

Organisation.

Secondary Data: It was collected through different published research papers, Reference books,

websites etc.

Data Collection tool: Google form and open ended structured questions in an interview method.

Data Analysis and Interpretation:

Frequency to dine out:

Figure: Dine out frequency

Interpretation:

After analysing the data, it is interpreted that maximum respondents dine out once in a

week. The percentage was 32 and 10 percent f the respondents said that they go out for dine

twice in a week. In all 22% respondents reported that the frequency to dine out is once a month.

21 % respondents reported that the dine out frequency is twice a month and 15 percent

respondents said that the frequency is very high.






Guest leaves unfinished food on table:

Figure: People leave unfinished food.

Interpretation:

In all 48 percent of people leave the food, which is includes 33% of people leave food

AND 15 % responded leave food occasionally.

Figure: What customer does with unfinished food?

Interpretation:

Maximum customer take parcel of the food with them but not sue they have it later or

not, so not sure whether it is been consumed or goes waste. But still there are people who leave

the unfinished portion of the food, which eventually goes waste.

Approach towards donating the food:






Figure: Mindset towards donating the food

Interpretation:

The mindset towards donating the food is negative. People do not prefer to donate t food.

In all 88.9% respondents are not willing to donate the food and only 11.1% of the respondents

have positive approach toward the concept of donating the food.

Awareness about food wastage of food:

Figure: Impact of food wastage

Interpretation: In all 60 % respondents are aware of impact of wastage of food on economy,

society and environment and 10% respondents are not aware of the impact.

Awareness of Application like FoodDosti:






Figure: Awareness of Application like FoodDosti

Interpretation:

In all 78 % of the respondents area aware of the application like FoodDosti which works for

sustainability of restaurants and 22 % of the respondents are still unaware, which states that there

is still the scope for the study to create the awareness.

Findings:

Average of 200 – 400 guests visit the restaurants on weekdays, and 500 – 700 on

weekends. 2 – 5 percent of food is wasted on a daily basis, and the wasted food is worth Rs. 500

– Rs. 2000. Measures taken to reduce food wastage involve suggesting the portions of food to

order, while serving in bulk, cooking less food and in case more food is required then it is

cooked in a very less time.

94% of the restaurants use software to manage the restaurant. It helps the staff to function

with ease and keep a record of every day‘s transactions. Some of the softwares used are Captain

Pan, Hoteline PMS, MMI HOT In, ICC, etc.

In all 35% of the restaurants surveyed by the researchers are in collaboration with

FoodDosti, but the remaining 65% are not aware about FoodDosti or any other similar

applications. The collaboration helps guests in ordering food in half portions, and the untouched

food can be returned back to the kitchen for reward points, which can later be redeemed to buy

food at FoodDosti restaurants. The wasted food which is edible can be sent to an NGO named

‗Robin Hood Army‘, once the NGO is informed, they send a team to collect the food from the

restaurants. An average wastage of Rs. 500 – Rs. 700 worth of food was reduced after the

collaboration, and the zero food wastage initiative taken by the restaurants. More than half of the

remaining 65% non-collaborated restaurants are willing to be connected with such platforms like

FoodDosti, and take up the initiative to reduce the food wastage.

In all 88% of restaurants believe that in today‘s world, information systems, applications

or web existence plays a crucial role in integrating guests with the restaurants. This was not the

case a few years back, now a person can make anything happen right at his fingertips using a






computing device or a mobile device. And availability of internet services at a substantially

lower price makes it easier for the people to function in this world.

For now, 17% of restaurants are connected with an NGO named ‗Robin Hood Army‘.

The restaurateurs believe that the awareness or motivation of wasting less food should start from

the home itself. Elders should teach the youngsters to only eat the food they can have, leading in

less wastage. On the restaurants‘ side, guests shall allow the restaurant staff to suggest the apt

portions of food sufficient for them, and even if guests do not ask about this, restaurant staff

should suggest the portions of sufficient food. On the guests‘ side, this suggestion of food

portions by the restaurant staff should not offend or upset them, because they are striving to save

food by suggesting the guests enough food. Many restaurants find the FoodDosti application

tedious and less user-friendly.

Certain tax concessions can be availed by the restaurants collaborated with FoodDosti,

but the process for enrolling for such tax concessions is tedious and time-taking.

Suggestions:

1. Restaurants should adopt more sustainable solutions to curb food wastage by use of

integrated logistics that has IT based systems.

2. Restaurants should use efficient inventory management practices to cut down on food

wastages.

3. Consumers should be made aware about the undesirable effects of food wastage and also

should be motivated to use such food wastage solution platform.

4. NGOs in Pune city generally lack logistics network and IT system to connect with food

supply sources and customers. If they use integrated logistics they could supply food to

homeless and needy people in the city which is one of the sustainable goals.

5. Government should provide incentives, property tax concessions and green tax benefits to

the organisations who connect with such food wastage solutions provider.

Limitations;

1. The study is limited to hotels and restaurants only. The same study can be carried out for

other eateries, caterers, canteens and household food waste etc.

2. The study is limited to geographical area of Pune city; it can be conducted for other cities

as well.

3. The study is exclusively focusing on only supply chain integration but other aspects of

logistics integration in Sustainable food supply chain can be considered for the study.

4. The study was limited to only 200 respondents. The number of respondents can be

increased.

5. The study was limited for the period of three months only. The period of the study can be

increased to reach to maximum hotels, restaurants and NGOs in Pune city.

Conclusion:

It organisation should take initiative like Sanwad Social Technologies to integrate food

supply chains and work towards sustainable goals. Restaurants should work towards sustainable

food supply by taking help of integrated logistics concepts and also earn more goodwill from

customers and the needy people. Customers should take social responsibility towards reduction

of food wastage and contribute towards society. After data analysis and interpretation it is

concluded that that there is a huge potential for research to study sustainable food supply that






aims to cut down wastage food wastage and find various innovative solutions with the help of IT

organisations and other service providers.

Reference:

1. Petri Helo and Hanne Ala-Harja, Green logistics in food distribution – a case study,

Journal, International Journal of Logistics Research and Applications , A Leading Journal

of Supply Chain Management, Volume 21, 2018 - Issue 4, Pages 464

2. Francesco Zecca and Natalia Rastorgueva, Supply Chain Management ans Sustainability

in Agree Food System: Italian Evidence, Juornal of Nutritional Economy and food

research, Volume 2, Page 20, 2014.

3. Techane Bosona, Integration of Logistics Network in Local Food Supply Chains,

Doctoral Thesis Swedish University of Agricultural Sciences, Uppsala, Acta Universitatis

agriculturae Sueciae, 2013

4. Ingrid Nordmark, David Ljungberg, Girma Gebresenbet, Techane Bosona and Rein

Jüriado, Integrated Logistics Network for the Supply Chain of Locally Produced Food,

Part II: Assessment of E-Trade, Economic Benefit and Environmental Impact, Journal of

Service Science and Management, 5, 249-262, 2012.

5. Yan Xiao-hui and Ma Jun, Development of Sustainable Food Supply Chain, IACSIT

International Journal of Engineering and Technology, Vol. 4, No. 2, April 2012.

6. Bowersox and Closs, Logistics Management,






Sustainable Development through Planned Agriculture Marketing

Dr. Smita Pakdhane* & Dr.Karuna Kushare**

*Assistant Professor,.

K.S.K.W. Arts Science and Commerce College, Nasik, Maharashtra

[email protected]

**Associate Professor,.

L.B.R.D. Women‘s College, Nasik, Maharashtra.

[email protected]

Abstract:

Dr. Philip Kotlerthe father of marketing says that the marketing is not only science but

also the art of exploring, creating, and delivering value to satisfy the needs of a target market

that is customer at a profit. Marketing identifies unfulfilled 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.

Marketing in AGRICULTURE SECTOR means all the activities which are involved in the

flow of the agricultural produce from the production point start from the stage of harvest to the

ultimate customers which includes grading, processing, storage, transport, channel of

distribution all other functions which are necessary for the completion of production process.

Agriculture marketing is mainly related with marketing of agriculture produce. Agriculture is

performed to satisfy basic food needs of human being so earlier there is no need of marketing for

agriculture produce but when the other professions developed post industrial revolution and

agriculture got commercialized with surplus production for sale by the farmers, agriculture

marketing became a necessity.

In India and in Maharashtra, the present condition of agriculture is in almost worst.

After 70 years of independence the 70 percent farmers are marginal and totally depend on others

for each and every activity of agriculture in spite of all these 90 percent of working population is

directly or indirectly depend on the agriculture but the contribution of agriculture in GDP is less

than 15 percent. Thus there are tremendous opportunities in development and especially in

agriculture marketing sector so that the development will possible and farmers also get the

reasonable return for his produce.

Key words: Agriculture, agricultural marketing activities, research work, human resource

development, changing environment, marketing agencies, middleman, channel of distribution,

Sustainable Development through Planned Agriculture Marketing(with special Reference to

North Maharashtra)

Introduction:

Today Indian agriculture sector is facing multitude of problems. Significant proportion of

these problems is related to the marketing of agricultural commodities. There is no proper system

for marketing of agriculture products and giving assurance to the farmer for the sale of product

and provide them with a reasonable price. Biggest issue is orderly and organized marketing

functions are not followed in most of the agriculture marketing activities. Another problem is








losing goods in warehouse and in transit. It is estimated that 7 percent of grains, 10 percent of

vegetables and 30 percent of fruits are lost in transit while moving the goods from the farm to the

market and this is due to non-availability of cold chainsand lack of an efficient goods transport

system. Cold chains, including pre – cooling facilities, cold storages, refrigerated warehousing

etc are not available or available with bad quality services.1

Agricultural marketing includes all activities which are necessary for the supply of farm

inputs to the farmers and movement of agricultural products from the farm to consumers. They

are:

Buying and assembling

Selling

Transportation

Storage/ warehousing.

Cleaning, Standardization and Grading

Branding, packaging and labeling

Insurance

Financing

Market information, Market Risk and Market Research

Collection of all surplus items from the farmers.

Making necessary arrangement for transport to the market.

Processing whenever needed.

Negotiate with consumer

Exchange of goods with the ultimate customers.

Making an assessment of the disposable surpluses of agricultural production.

Finding the markets to dispose of the surpluses.

Supply chain management2

The Indian council of Agricultural Research defined, ―Agriculture Marketing involves

the three important functions, namely (a) assembling (concentration) (b) preparation for

consumption (processing) and (c) distribution.‖ 3

Objectives of Study:

1. To identify the importance and contribution of agriculture marketing and related services

in agriculture development.

2. To evaluate the current status of agricultural marketing in North Maharashtra.

3. To understand a holistic approach and concept to improve agriculture marketing system

for sustainable development.


This is a descriptive and conceptual paper based on primary and secondary data. The

primary data is collect from the farmers of Nasik, Jalgaon, Dhuliaand Nandurbar districts by

taking personal interviews.The secondary data is collected from various published newspapers,

journals, books and various government‘s websites on different perspectives.

Scope of the study:

The study is planned for the general working of agriculture marketing for discuss the

issues involved in agriculture marketing and the difficulties faced by the farmers while selling

their produce in regulated market (APMC).






Limitations of Study:

The scope of study is clearly limited up to agriculture marketing from Nasik,, Jalgaon,

Dhulia and Nandurbar districtsAPMC. The findings and conclusion may be relevant to the

selected area.

Government participation in Agriculture Marketing

Indian ministry of agriculture runs 3 main departments that are linked to various public,

private and cooperative agencies. DAC (Department of Agriculture and Cooperation), DARE

(Department of agriculture Research and Education) and DADF (Department of Animal

Husbandry, Dairies and Fisheries) are the 3 main departments through which all the work is

carried out. In addition various other organizations have been set up in the following categories

cooperatives, research, financial, warehousing and exports to provide special attention to these

areas.

At the state level Maharashtra government has organized the Department of Agriculture

under 3 main divisions i.e. Agriculture & marketing, Horticulture and resource management

mainly water (Irrigation facilities).These 3 divisions are then sub-divided into another 6

categories for agriculture sector. These 6 sectors look after 8 zones in the state that are

responsible for the districts within their zone. District level officers are responsible for collecting

the tahsils and rural data and statistics within their districts.

Govt. Organization involved in Agriculture sector At State Level- (2018):

MSAMB (Maharashtra State Agricultural Marketing Board)

A.P.M.C.(Agriculture Produce Marketing committee)

NIPHT(National Institute for Post-Harvest Technology)

MSWC (Maharashtra State warehousing Corporation)

NAFED (National Agricultural Cooperative Marketing Federation of India)

APEDA (The Agricultural and processed food products export development Authority)

NABARD (National bank for agriculture and rural development)

FCI (Food Corporation of India)

CWC (Central Warehousing Corporation)

Various Agriculture Autonomous Agencies

DMI (Directorate of Marketing and Inspection)

NIAM (National Institute of Agricultural Marketing)

SFAC (Small Farmers Agri-business Consortium)

AGMARKNET and other online portals

Literature Review:

Dr.Smita Diwase:A professor in the Agribusiness Management Institute, Pune, writes a book

on, ―Indian Agriculture and agribusiness management‖. In this book the author discuss on the

various topics related with the agriculture and agribusiness. In this book she explained and

discuss about the various factors related with the agribusiness and how they affect the

agribusiness environment. She also explain about the various management activities necessary

for the successful agribusiness.

Dr. Atul Bansal: Principal ofC.Z. Patel College of Business and

managementVallabhVidyanagar, wrote an article on ―Agribusiness in India – vision 2020‖ in






ZENITH International Journal of Multidisciplinary Research Vol.1 Issue 2, June 2011, ISSN

2231 5780 (www.zenithresearch.org.in). He discussed regarding the position of agribusiness of

India in the year 2020. As India has 60% youth population, to avoid unemployment among

population it is necessary to develop the entrepreneurial skill in youth and proper utilization of

the natural resources.

Nilabja Ghosh, (2013) ―India‘s Agricultural Marketing, market reforms and emergence of new

channels‖, the writer evaluate the present agricultural marketing system of India and discuss

about the necessity of reforms in the agriculture marketing. She also discuss on the hot topic of

the elimination of middleman, which is really impossible. Before considering or discussing on

the Indian Agriculture marketing, the writer collect and analyses the information of world

agriculture marketing specially of develop countries.

Dr. Satish Bongane, (2009) A Ph. D thesis on ‗A study of Fruit cultivation and its Marketing

Cost in West Maharashtra with special reference to Pune District‘ due to the Employment

guarantee scheme connected with Horticulture programme there is lot of fruit cultivation in the

Pune district. Out of total fruit cultivators 88.77 percent are educated. The author studied their

marketing problems then he found that 86.05 percent cultivators feel the commission of agents is

too high, unauthorized deduction is also one problem in the marketing, 79.25 percent cultivations

found labour problems, there is uncertainty about the availability of the labour at proper time, 63

percent cultivator are not found expert labour for fruit farm, 49.32 percent cultivators says that

the packing material cost is very high and 20.75 respondent feel that payment of fruits not

received in time, its take some time or delayed payment from commission agents. Such types of

marketing problems are faced by fruit farmers in the Pune district.

Importance of agriculture marketing in agriculture development:

Agricultural marketing as a whole can be categorized into three different Categories; the

Functional Category where marketing process can be broken down into functions such as

Exchange Function (buying, selling, pricing, anticipating demands and supply, decision making

planning on marketing channels, packaging, advertising , promotions ); Physical Function (

handling, movement, storage, transport, processing e.g. wheat into bread, processing adds value

to the original commodity) and Facilities function ( financing, insurance, market information

data, risk management, regulations, standardization ). Second category is the Institutional

Infrastructure category which deals with various agencies and the business facilities that perform

marketing activities, these agencies include wholesalers, retailers, and agents/brokers,

speculators, facilitating organizations (banks, research agencies, standardization agencies,

machinery agents, and trade associations). Last category is the Advantage Decision making or

the Behaviors category where the players in marketing activities such as farmers, middleman,

transporter, processor, retailer, consumers all make day-to-day profit based decisions in order to

strengthen its own market position and achieve the economic targets. Various parties also

establish effective communication linkages in the marketing chain from producer to consumer

creating a network of all participants with a strategic goal of adapting to new market trends and

practices.

Agricultural marketing helps to use the optimum natural resources and contribute in the

market surplus.

http://www.zenithresearch.org.in/






Efficient marketing system ensures to increase the income and provide employment

along with reduce the wastage.

It helps in the development of agro base industry.

The efficient marketing system helps the farmers in planning of the production according

to the needs of the economy.

The effective Agricultural marketing helps to adopt the new technology due to the

assurance of remunerative prices.

It helps to earn foreign exchange and improve standard of living and increase

employment and develops process industry.

Features of Indian Agriculture

The land holdings of majority farmers are small and marginal, which is the main reason

for reduces the average farm size along with the productivity then the requirements of

getting maximum output from these small land holdings.

Another feature of Indian agriculture is large number of farmers reside in a remote areas

that are not adequately connected with markets resulting in lack of proper services and

infrastructure.

There is no system as of today for the major number of farmers in India to study or get

an idea of domestic and international consumption of commodities, even though they are

competing both with local and international producers for better prices and quality of

products.

Considering the changing nature of agriculture and the evolving challenges, producers

currently need a wider range of support, including organizational, marketing,

technological, financial, entrepreneurial, training and guidance.

To be a successful entrepreneur in agriculture sector, farmers require a wide range of

knowledge from different sources and support to integrate these different bits of

knowledge in their production context.

Current status of agricultural Marketingin North Maharashtra:

Age of Farmers






It is observed that very few farmers i.e. 3.57% are belonging to 20-30 years age group. It

means that very few young stars are into the farming from Nasik, Dhule, Jalgaon and

Nandurbar District.

Area of Land Holding (in acers)

From the above graph, it can be said that majority of famers are holding 0-5 acers of land from

Nasik, Dhule, Jalgaon and Nandurbar District.

Various difficulties faced by farmer during the marketing of crops

Researcher has interacted with farmers to understand various difficulties faced by farmer

during the marketing of crops. Following are the some major responses from the farmers about

difficulties faced during the marketing of crops

―Finance‖

―Skilled Labour‖

―No guarantee of product sale and reasonable selling price‖

Non availability of Market and weather information

Facilities expect from Agricultural Produce Market Committee (A.P.M.C)

Researcher has interacted with farmers to knowthe expectation from APMC especially

regarding Facilities from Agricultural Produce Market Committee (A.P.M.C). Following are the

responses from farmers

Grading facility

Guidance Facility

Change in sales method ( any method which is beneficial to farmers)

Cold Storage Facility

Expect any other marketing method for agriculture products

Researcher has interacted with farmers to know the farmers expectation about marketing

method for agriculture products. All the farmers have responded that ―Direct Selling to

customer‖ is expected by farmers for the marketing.






After considering the above bottlenecks, the researcher has developed a planned

agriculture marketing strategy so that maximum problems would be solved and the farmers

would also get the reasonable price for his produce and his dependency on the others will be

reduce. Moreover integration of transportation means and provision of necessary marketing

platforms and instruments would add to effective marketing and distribution.

Future Concept of Agricultural Marketing (All stakeholders planned

farming):

Highlights of proposed Agriculture Marketing strategy:






Aim is to extend and improvise existing system of agriculture commodities marketing

and related processes in an attempt to find solution to the various problems highlighted in the

beginning of this research work.

Can be used and implemented in the field either on a small scale or a larger scale as the

case may be in real practical physical world.

Main player is the formation of a new organization called AEKG (Agro Expert

Knowledge Group) in a joint venture with the existing state level APMC‘s and Agri-Universities

and Colleges (a public-private firm) consisting of highly qualified professionals with a clearly

defined functions of forecasting domestic Agri-commodity demands taking into account various

economic and generic factors such as geographic population census data, population food habits,

age groups of people, past agricultural goods trade data on buying, selling and exports; previous

agriculture market activity data, agriculture yield growth for the area, income projections in the

area, import- export of Agri-commodities and other socio-economic factors.

AEKG‘s three main functions would be

1. To forecast crop-wise domestic demands;

2. To generate Yearly Crop Plans for its clients and

3. To support implementation of these Crop Plans.

AEKGs should be setup at tahsils level comprising of group of tahsils in one AEKG firm.

Farmer population in area should be governing factor in deciding how many tahsils should come

under one AEKG. Grouping or aggregation of farmer-producers under one umbrella to bring the

total cultivation unit size to around 500 to 1000 acres and help bulk quality production, I have

named this group as Farmer-Producer-Group or FPG (a private enterprise-membership fees

applicable)

Each FPG would be provided its own independent plan for crop production by AEKG.

Each FPG is responsible for its plan implementation by carrying out input procurements, field

production work and selling goods in markets.

I want also establish a LAM (Local Area Market) in local geographic area at a distance

of every 15 to 25 km circle; A LAM could be made of an APMC type infrastructure, a rural basic

market, a Collection center or a private market. I would allow the flexibility on market

implementation to the local agricultural authorities working with existing APMC s in the state.

Close proximity of LAM to farmers would require less transportation time on the

producers side which in turn reduces the cost of production.

LAM should allow for buying or selling of agricultural commodities with a pricing

system based on MSP (Minimum Support Price) system as the guideline or some other

benchmark system. Price could be built on these benchmarks with a computerized system

algorithm that takes into account various factors such as historic price data, market volatility,

crop yield growth numbers, weather and several such relevant parameters.

LAM should use a computerized system to record transaction data in a data repository

with all the participating member details.

LAM must provide category based storage facility for perishable and nonperishable

products. (The size, scale and capacity must be decided on commodity dealing volumes)

Post production and marketing function, data obtained on the production such as crop

quality, quantity, market prices, issues or risks faced and mitigated during production phase etc

could be fed back to AEKG systems in order to fine tune the forecasting and planning functions






for next year.

I suggest to control and only produce need-based and soil suitable crops and commodities

aims to facilitate higher Agri-commodity prices for farmers along with faster, efficient and

reduced wastage production and marketing of goods.

The whole setup of AEKG, FPGs, LAMs and inter-connectivity makes a smooth

operational chain for all participants in the agriculture sector and allows for traceability of goods

and faster issue resolution as at every step a record is being maintained in the automated systems.

The focus of this model has been to get active participation of APMC, fair prices to

farmers, reduction in wastage of perishable goods, more connectivity, deeper level of automation

of functions, generate employment, develop processing industry and optimum utilization of

resources, stake holders such as farmers, Producers, Consumers, Commission agents, Traders

(buyer, sellers), Processors, Research Institutes, Exporters, Commodity Boards, Various

Government Departments, Private sector firms, Agri-experts active participation for

development and progress, value for money of end user products and fair, transparent operations

to generate public trust.

Conclusion:

After analyzing the above information, it is observed that in practice a professional way

of production and marketing is not applied and the APMC (Agriculture Produce Marketing

Committee) also not properly implemented the marketing functions for the farmers, not

achieving or fulfilling the objective of establishment. Thus after considering all the points, the

researcher would like to suggest the professional and planned system for agriculture production

and marketing which will definitely help to solve the various problems of this sector. The

following are few highlights of the new process plan:

This plan would effectively increase the productivity of agriculture and thus optimum utilization

of natural resources should be possible.

1. This plan would definitely contribute towards reducing the percentage of farmer‘s

suicides.

2. It will effectively increase the economic development pace of country.

3. It should provide the proper and systematic method of marketing for agriculture produce.

4. It should reduce the unemployment and improve the standard of living at rural level and

possible to develop irrigation facilities to maximum agriculture area.

References:

1. Mr. Y.H. Gharpure, Agriculture can boost India‘s GDP: Gujarat Shows the way,

Anarticle in sampada, Feb. 2012.

2. Philip Kotler, 2007, Marketing Management, XI edition, Prentice Hall of India (Pvt) Ltd.,

New Delhi.

3. Agricultural Marketing in India, 2009, Fourth Edition, S. S. Acharya and N. L. Agarwal,

Oxford and IBH Publishing Co. Pvt. Ltd. New Delhi.

4. Dr. Diwase Smita, 2014 ―Indian Agriculture and Agri-business Management‖ 2nd

edition, Scientific Publishers (India) Jodhpur ISBN No. 978-81-7233-870-1.

5. Dr. Atul Bansal, ―Agribusiness in India- vision 2020 ZENITH International Journal of

Multidisciplinary Research Vol.1 Issue 2, June 2011, ISSN 2231 5780






6. Nilabja Ghosh, India‘s Agricultural Marketing, Market reforms and emergence of new

channels, Agricultural economics Research Unit, Institute of Economic Growth, New

Delhi, India. ISBN 978 - 81 – 322 -1572 -1(e- book), Springer India, New Delhi, 2013.

7. Ph.D. thesis, University of Pune, 2009 by Dr. Satish Bongane on ‗A study of Fruit

cultivation and its Marketing Cost in West Maharashtra with special reference to Pune

District‘ .

Websites:

1. www.mrunal.org

2. http://agmarknet.gov.in/

3. www.agriexchange.apeda-gov.in

4. http:// apeda.gov.in

5. http://Farmer.gov.in Portal

6. www.indiancommodities,com/Agri Commodities in India

7. http:// indiaagronet.com/India Agro Net

8. http://fmc.gov.in/Forward Markets Commission

9. http://agropedia.iitk.ac.in/content/list-indian-agricultural-portal

10. http://www.enam.gov.in/NAM/home/about_nam.html#

11. http://apeda.gov.in/apedawebsite/about_apeda/About_apeda.htm

12. www.msmb.in/ Profiles of APMC:

13. http://agmarknet.nic.in/

14. http://www.krishisewa.com/

15. www.wikipedia.org/wiki/History_of_agriculture

http://www.krishisewa.com/






Green Marketing : Green Channel Counter (GCC)

An Initiative by State Bank of India

Shailendraprasad Totare

Research Student

Sant Ramanand Tirth Marathwada University,

Nanded, Maharashtra. [email protected]

Abstract:

The Bank launched its „Green Channel Counter‟ on the 1st July 2010, at select branches

across the country. This is an innovative step taken by the Bank towards changing the traditional

paper based banking to the card based „Green Banking‟ focusing on reduction in paper usage as

well as saving of transaction time. The Bank is attempting to change the behaviour of customers

from voucher based banking to card based transactions. This facility, an innovative initiative,

was introduced to make paperless transactions like deposits, withdrawal and remittance.

Apart from the three main transactions – cash deposit, withdrawal and fund transfer – a

customer can withdraw more cash here than an ATM. Also, unlike the ATM, here he/she can

choose the denomination of notes, something that is not available to ATM customers in the state.

Similarly, customers can deposit cash using the cash deposit option. How does it work? A POS

machine has been placed at Single Window Operators (SWO) desks. When a customer walks in

to a branch, he/she swipes the debit card and is offered three choices: cash withdrawal, cash

deposit and funds transfer. After the customer selects the type of transaction, a message “enter

the amount”, displays. Here the customer is asked to confirm the transaction amount followed by

“please enter your pin”. After the required inputs are fed manually by the customer, the SWO

with this transferred information at the terminal then enter the denomination of the cash to be

paid, received, pays, receives and the transaction is over. Normal banking charges is applicable.

GCC per transaction limit is up to Rs. 40,000 and daily withdrawal limit is a part of ATM

withdrawal limit (card variant wise).

Green Remit Card (GRC) SBI Green Remit Card is a deposit card through which an

individual can remit money in a specified account of SBI. This is especially useful for the

migrant depositors. Money can be deposited using GRC through GCC, CDMs and Recyclers.

The per transaction limit is of Rs. 25,000/ with a monthly cap of Rs. 1 lakh per remitter. On a

daily average, over 1.50 lakh transactions are being routed through GRC.

GCC aims at providing Customers with a simple, secure and quick way of executing daily

Banking transactions. It enhances Customer ease as there is no need to remember the 11 digit

account number or carry passbook, fill in pay in slips / withdrawal forms, etc. Only the ATM

cum Debit Card and PIN is needed to identify a Customer and his / her Bank Account.

Such innovative and customer friendly service of GCC has huge implications to make

normal banking services easy to all type of customers. On an average 9.35 lakh transactions are

being routed through GCC per day. With no paperwork the banks as well as customers are

content with the GCC service which is an environ-friendly win-win situation for both.

Other Green Banking Initiatives:

As part of the Bank's on going 'Green Banking' initiatives, windmill project has been

successfully commissioned and power thus generated is being consumed by our branches/offices

in the States of Maharashtra, Gujarat and Tamilnadu. This reduces dependence on polluting

thermal power to the extent of renewable power generated by the Bank's windmills.






The imperatives of sustainable usage of resources, including energy and efficient disposal

of wastes have been effectively propagated amongst the stakeholders, in the form of adopting

energy efficiency measures, efficient usage of paper and water, installation of Solar ATMs,

introduction of Green Channel Banking (Paperless Banking).

The Bank has been encouraging customers by extending project loans on concessionary

interest rates to reduce Green House gases (GHGs) emissions; by adopting efficient

manufacturing practices through acquisition of latest technology. The Bank also arranges

consultancy services by roping in the services of empanelled CDM consultants in CDM (Clean

Development Mechanism) registration process. The Bank has also launched a loan product to

facilitate upfront finance to the project developers by way of securitisation of Carbon Emission

Reduction (CER) receivables.

The Bank has initiated a pilot project to determine its Carbon footprint levels, which will

help in determining the Bank's resource consumption pattern and enable the Bank to take

effective steps to implement various measures for sustainable usage in a cost effective way.

Special drive for fruit bearing tree plantation during monsoons was taken up across all

Circles, which has been very successful and sustained efforts are being made to ensure the

survival of the plants as well.

The Marketing & Communications (M&C) department developed and rolled out ‗The

Green Marathon‘ in collaboration with Bank‘s sustainability department. This initiative will raise

consciousness among the Bank‘s staff and public at large. This activity was conducted in six

cities in two months.

Environment And Sustainability:

Bank is committed to environment protection and contributes positively to reduce the

carbon footprint. Responsible interaction with environment to avoid depletion and degeneration

of natural resources and maintain long term quality of the environment is a priority for Bank.

Bank has contributed Rs. 2.05 crore towards the following:

• Acquiring solar power plant, solar water heater and solar street lamps

• Tree plantations

• Maintenance of parks and gardens

• Donating battery operated vehicles

Bank has shown its commitment in the renewable energy space not only by taking up

renewable financing but also by building its own captive renewable capacity through wind

energy and solar roof tops. Bank has so far installed 151 solar roof top sites with a capacity of

6.23 MW.

Awards And Recognitions For Green Initiatives:

Best IT Implementation Awards 2010 by PC Quest: SBI‘s Project ‗Green IT @ SBI‘ was

rated as the Best Green IT Project for its GREEN ATM installation.

The Banker – Innovation in Banking Technology Awards 2010 – State Bank of India was

declared Winner in ‗Innovation in Eco-IT‘ category for its GREEN ATM installation.

Objective Of The Research The research objectives to be studied in this research are as follows:

1. To study status of the daily transactions routed through GCC out of total transactions at

the target branch (SBI Unkal) and the District (Dharwad, State Karnataka)

2. To study customer‘s response about the GCC facility at the target branch.

3. To study the USP (Unique Selling Points) to market the GCC facility and limitations

also.

4. To present the findings/conclusion and suggestions.






Green Marketing and Consumer Accountability

Ms. Shama Mulla,

Research scholar, S.B.P.M. College, Pune (Maharashtra)

[email protected]

Abstract:

Nowadays green is a new evolving concept to furnish marketing with image branding and

marketing spin. If we look beyond, we found how ethical or green it is (product/services). This is

real/true rather than rational. After stripping, we explore the product; who made or grew- this

information or using this, we can develop our ideas to connect with people. Originality of brand

(branding) comes with image marketing to create sustainable brands (John Grant). This looks

like a challenge for today‟s generation, how they tackle the problem of consumer accountability

w. r. t. green marketing. This is a huge challenge, but isn‟t it giving a life a meaning? And we

really don‟t have plan B (perform or perish situation). In this paper, we explore the facets of

green marketing with consumer accountability.

Introduction:

Let us first understand about consumer accountability and its process.

Consumer Accountability:

Consumer accountability is the current state of account of happy (satisfied) consumers with

organization‘s product or service.

Organizations should consider policies before serving consumers:

CSR

Corporate Social Responsibility is a combination of economic responsibility (consumer

buying behavior and reasonable profit), Legal responsibility (follow laws and regulations),

Ethical responsibility (right decision making and follow the rules) and Philanthropic

responsibility (voluntary participation in societal programs/activities). (Carroll, 1991)

Figure: Consumer Accountability

Source: Author







Environmental Issues

Organizations should understand the importance of green practices to lessen the burden

of climate change or global warming. From making till disposal each process should get revised

to avoid further consequences of impact on environment.

Quality, Quantity and Price

Quality plays an important role to maintain long term relationship and sustain in the cut

throat competition. An affordable price with quantity (justified amount of product) can lead to

faith on brand followed by loyalty.

Loyalty, Brand and Relationship

These factors are only visible when customer is happy with what you are offering

continuously without hampering quality. That bond making brings sustainable association and

growth with hard core relationship with consumers and brand.

Genuineness / transparency

Genuineness is the only key if organization wants to sustain in competition. People take

time to faith on but when they got assured then they will never ever leave organization in any

crisis situation. That is the beauty of transparency with public.

Consumer satisfaction and Consumer Purchase activity

Organizations earned the faith of public by implementing policies which are in favor of

society. The bond / association become stronger day by day and results in purchase (regular

mode).

Development of trust with organization after purchase

After purchase if organization fails to perform (false commitment) consumers refuse to

return to the same brand and search for the suitable alternative. That means the only selling and

earning profit once is not the mission for organizations. The vision is to get modified or revised

with societal benefit flowed by organizations growth with sustainable relationship.

This above mentioned process of consumer accountability is applicable to any business.

All traditional businesses can follow all policies depending upon their capacity. That means all

policies are not structured when they designed vision and mission. Their ultimate aim is to earn

profit. So if scenario is only earning the profit then who will take care of consequences on earth.

Who will think about proper disposal of product and not just only disposal it has to be in less

detrimental to earth. Only green businesses have those strategies to take environmental

dimension on priority. So let‘s understand the concept of green marketing.

Green Marketing:

It is the study of all efforts to consume, produce, distribute, promote, package and reclaim

products in a manner that is sensitive or responsive to ecological concerns. (Robert Dahlstrom,

2010)

A firm has to make efforts to pursue green marketing and focus on sustainability as

development that meets the needs of the present without compromising the ability of future

generations to meet their own needs. Firms can pursue green marketing via triple bottom line

perspective focused on achieving economic, relational and ecological outcomes (Robert

Dahlstrom, 2010)






Why Study Green Marketing:

Beyond the environmental benefits that can accrue from green marketing, several sectors

of the global economy benefit from green marketing. Emerging economy have potential to curb

hunger and poverty by engaging in green marketing. Incorporating with green marketing can

result into consumer welfare and enhancement in corporate strategy.

There is need for consumers and government to understand green marketing but some firms

should understand green marketing to retain their environmental reputations and brand exposure

like always.

Green Consumer:

Several analyst of green marketing defines the psychographic segmentation of consumers

to distinguish them on the basis of consumption pattern.

True Blues: Consumers (politically active) with strong environmental values that seek to bring

about positive change and avoid products which are detrimental to environment.

Greenback greens: Consumers (politically inactive) concerns the sustainability and more

willing to purchase environmentally friendly products than average consumers.

Sprouts: Consumers appreciate the merits of environmental causes but they are making

purchase of regular products; to avoid burden on pocket (not ready to pay more for green

products).

Grousers: Consumers tend to be cynical and uneducated about ecological concerns. They prefer

traditional product over green (they might thought green products are expensive and less

effective).

Apathetics: Consumers do not concern with sustainability and green marketing practices.

It is interesting to know that the preferences of Pune consumers have shifted over the time. The

number of greenback and sprouts are constant while true blue shows the increase and the result

of these shows that grousers and apathetics are reducing day by day.

Let‘s jump into the actual methodology to grab the knowledge about what consumers are up to

with green products.

Objectives:

1. To understand consumer awareness of green marketing

2. To study the impact of demographic and psychographic factors on green marketing

3. To study the market for green products

4. To investigate the factors considerations for green products

5. To understand the satisfaction with the quality of green product


A close and open ended questionnaire was made to explore the relationship between

demographic (age, income, employment, education, gender, children) and psychographic factors

(environmental Consciousness, healthy, price, safety, quality, ingredient and label) with

awareness of green marketing in FMCG personal care products; leads to prospective business in

coming future. The consumer accountability is there but required to have more adhesive bond to

get sustainable relationship and profit. All issues were discussed like price, promotion, brand,

labeling, environmental concern and many more to derive the actual relationship with

consumers.






The respondents were selected from one of the major corporations in Pune (PMC). A

questionnaire filled by 361 responses and data were collected. The duration for the data was

July-Sept 2018.

Questionnaire includes age, gender, education, employment status, income, gender,

marital status, children to understand demographic profile of respondents. Then, the questions

related to use of organic product category, green awareness level, benefits of green products

towards environment, health, certifications and various brands of green products. Other than this

we directly asked them about which green product they are using, cost is high compared to

traditional, what characteristics should be there in green product if it launched, etc. There were

many questions which gave us psychographic approach of respondents.

We have collected the data and some important data present it in graphical form for better

understanding.

Data Analysis

Figure 1 Figure 2

Figure 3 Figure 4

Figure 5 Figure 6






Figure 7 Figure 8

Figure 9 Figure 10

Figure 11 Figure 12






Figure 13

Figure 14 Figure 15

Findings

Data collected and analyze questions which are directly focus on green marketing is

illustrated in the graphical form. Figure1 shows that 56% respondents are using cosmetics /

personal care products, followed by 33% from organic food, 8% from organic cloths and only

3% are from electrical appliances.






Figure 2 concludes 56% of people are having average awareness about green product and 28%

and 12% people are from low and high level of awareness respectively. Only 4% people are from

very low category.

Figure 3 focused on overall awareness of green product like health benefits of green product –

40% are aware, environmental benefits 31%, various brands of green products 23% and

awareness of symbols or certifications of green product is only 6%.

Figure 4 explained category wise use of green product. Personal hygiene and cosmetics are 47%

and 38% respectively. Only 14% people are using medicine and 1% using other form of green

product.

Figure 5 explained whether the people feel that the cost of green product is high or not. 59%

people supports green products are costly and 38% feels green products are not costly and 3%

are not sure about it so they have chosen may be.

Figure 6 explained about satisfaction with the quality of green product. 68% people are happy

whereas 10% are unhappy and 22% people don‘t know whether they are satisfied or not.

Figure 7 focused on performance of green products when compared with traditional products.

57% says that green products are not inferior whereas 32% supports may be and 11% supports

that green products are inferior.

Figure 8 is all about how offers, promotions plays important role in everybody‘s life. 53%

people are not lure towards offer but 42% says they are happy with offers and 5% people

sometimes happy and sometimes they don‘t so chosen may be category.

Figure 9 focused on which is the powerful medium to reach to the people about green products.

TV is on top with 37% followed by newspaper with 30% and 11% people are aware because of

exhibition and 5% people from advertisement and 17% people are aware from other sources.

Figure 10 explained about is there market for new brand of green product or not. So 97% are

ready to accept if new brand is launched and only 3% refused to show interest in new brand of

green product.

Figure 11 explained about the considerations or insight of new brands of green product.

55%people want quality, 28% wants affordable price, 7% wants promotional offers and 10%

wants other things.

Figure 12 focused on how many people read labels of product for natural content understanding.

Only 10% read the labels on every time basis, 26% people never read the label and 32% people

are from sometime and rarely basis.

Figure 13 explained what is important in product. Health (75%) and price (56%) are very

important followed by Environmental safety (47%), brand (51%) and design and label (54%).

Figure 14 focused on green products marketed in India or not. 98% people said yes and only 2%

are not in favor of.

Figure 15 demonstrated that Indian people are aware of green products or not. 94% people think

that people are not aware of green product whereas only 6% people said that Indian people are

aware of green product.

Results

1. Consumers are using green products in terms of cosmetics and personal care as people

are aware about benefits of it.

2. As half of the population knows importance of green products for the health, environment

as well as their various types and symbols to pick the green one.






3. Maximum consumers are happy with the price, quality and performance of green product

so they are not lure to offers by brand.

4. Print media and electronic media plays important role to generate awareness and so that

consumers can accept new brand of green product with quality and affordable price.

5. Some certifications or logo should be only for green product identification to avoid label

content reading (no knowledge about contents).

6. Consumers are very sure that there is a need for awareness in India about green product

(proper understanding) (avoid situation of green myopia)

7. Consumers are happy to accept the more green products but it should be healthy and with

affordable price.

Conclusion:

Consumers are aware (not 100%) of green products but firms should have to generate

awareness among people through print and electronic media. Consumers are accepts the green

product as they are health and price conscious but firm should revised their vision to get

sustainable growth as if they are running green practices in long run. And lastly, people know

everything about green product, even they are happy with quality so, what is bothering is firms

continuous efforts to have bond with consumers by their visibility and character; comes with

brand (consumer accountability in true sense).

References

1. Bhatia, M. and Jain, A. (2013) Green Marketing: A Study of Consumer Perception and

Preferences in India. Electronic Green Journal, 1, 1-19.

2. Bhattacharya, S. (2011) Consumer Attitude towards Green Marketing in India. The IUP

Journal of Marketing Management, X, 62-70.

3. Braimah, M. and Tweneboah-Koduah, E.H. (2011) An Exploratory Study of the Impact

of Green Brand Awareness on Consumer Purchase Decision in Ghana. Journal of

Marketing Development and Competitiveness, 5, 11-18.

4. Carroll, A. (1991) The Pyramid of Corporate Social Responsibility: Toward the Moral

Management of Organizational Stakeholders. Business Horizons, 34, 39-48.

http://dx.doi.org/10.1016/0007-6813(91)90005-G

5. Chamorro, A., Rubio, S. and Miranda, F.J. (2009) Characteristics of Research on Green

Marketing. Business Strategy and the Environment, 18, 223-239.

http://dx.doi.org/10.1002/bse.571

6. "Consumer Responses to Green Marketing in Cambodia"

written by Leaksmy Chhay, Md Manik Mian, Rathny Suy,

published by Open Journal of Social Sciences, Vol.3 No.10, 2015

7. Dahlsrom,R. (2011) Green Marketing Management. South-Western Cengage Learning

8. Grant, J. (2007) Green Marketing Manifesto. John Wiley & Sons Ltd.

9. Laroche, M., Bergeron, J. and Babaro-Forleo, G. (2001) Targeting Consumers Who Are

Willing to Pay More for Environmentally Friendly Products. Journal of Consumer

Marketing, 18, 503-520. http://dx.doi.org/10.1108/EUM0000000006155

10. Ottman, J.A. (1993) Green Marketing: Challenges and Opportunities. NTC Business

Books, Chicago.

11. Polonsky, M.J. (1994) An Introduction to Green Marketing. Electronic Green Journal, 1,

2-3.

12. Polonsky, M.J. (2011) Transformative Green Marketing: Impediments and Opportunities.

Journal of Business Research, 64, 1311-1319.

http://dx.doi.org/10.1016/j.jbusres.2011.01.016






An Analysis of Impact of Green Marketing on Consumer Behavior

Dr. Major Ashok Giri* & Komal Bodhwani**

* Research Guide,

MES Garware College of Commercre,

Pune, Maharashtra.

[email protected]

**Research Scholar,

Swami Hansmuni Maharaj Degree College of Commerce,

Pune, Maharashtra.

[email protected]

Abstract:

Green marketing is the marketing of products that are assumed to be environmentally

safe. Thus green marketing incorporates a broad range of activities, including product

modification, changes to the production process, packaging changes, as well as modifying

advertising. The influence of the green consumer will grow as environmental awareness among

consumers spread and improvements are made to the environmental information available

through eco-labeling schemes, consumer groups and consumer guides (Peattie, 1995) still

explaining the concept or defining green marketing is not a simple task where several meanings

intersect and contradict each other; example of this will be the existence of varying social,

environmental and retail definitions attached to this term. Other similar terms used are

Environmental Marketing and Ecological Marketing. Green marketing refers to the process of

selling products and/or services based on their environmental benefits. Such a product or service

may be environmentally friendly in it or produced and/or packaged in an environmentally

friendly way. The assumption of green marketing is that potential consumers will view a product

or service's "greenness" as a benefit and base their buying decision accordingly. The not-so-

obvious assumption of green marketing is that consumers will be willing to pay more for green

products than they would for a less-green comparable alternative product - an assumption that

has not been proven conclusively. This paper focuses on “Impact of Green marketing on

consumer buying behavior”

Keywords: Consumer Behavior, Green marketing, environment issues, Green products, Green-

price, Social-responsibility.

Introduction:

In recent years, concern about the environment has been highlighted in many areas of

life. Our limited resources are damaged, the future of human life disturbs this planet, thus leaders

and thinkers have to create a solution. While globalization process continues in its full speed

across the world, this process has also brought some problems with it. Leading one of these

problems is environmental problems that affect all living beings negatively. These

aforementioned environmental problems have started to come to the agenda more and more in

the recent years and people have started to talk these negativities. Consumers now have worries

about the future of the world and as results of this mostly prefer environment-friendly products.

In return to these attitudes of the consumers, companies have started to form their marketing

strategies so as to appeal increasing awareness of this environment-friendliness. These marketing








strategies, named as green marketing, have caused companies to adopt green policies in their

pricing, promotion, product features and distribution activities. Taking into consideration that

companies are socio-economic entities, it can‘t be expected that they remain unresponsive to the

―Environmental Awareness‖ that may direct consumer behaviors. Particularly marketing

managers encounter with consumers sensible to environmental issues. The old perception on

how businesses are establishments with no other objective but to profit leaves its place rapidly to

a new perception which defines companies as establishments that are sensible to social problems.

Consumers encounter with terms such as ozone-friendly, environment-friendly and recyclable

products in green marketing. However, green marketing isn‘t limited to these terms but is a

much wider concept of marketing activity which can be applied to consumer goods, industrial

goods and even to services (Erbaslar, 2010). Green marketing term was first discussed in a

seminar on ―ecological marketing‖ organized by American Marketing Association (AMA) in

1975 and took its place in the literature. In this seminar where the impact of marketing on natural

environment was analyzed with the contribution of academicians, bureaucrats and other

participants, ecological marketing concept was defined as follows: Studies regarding adverse or

positive impacts on environmental pollution, energy consumption and consumption of other

resources as result of marketing (Cevreorman, 2010). Green marketing serves two purposes:

(Uydacı, 2002: 85)

Definition:

1. Green marketing refers to the process of selling products and/or services based on their

environmental benefits. Such a product or service may be environmentally friendly in it

or produced in an environmentally friendly way, such as: Being manufactured in a

sustainable fashion.

2. According to Business Dictionary, Promotional activities aimed at taking advantage of

the changing consumer attitudes toward a brand.These changes are increasingly being

influenced by a firm's policies and practices that affect the quality of the environment,

and reflect the level of its concern for the community.

Review of Literature:

This marketing approach concerning Ottman, Stafford and Hartman (2006) perspective,

has a huge impact both on society and companies as green products promote health and safety,

cost effectiveness and efficiency, and also performance, symbolism and reputation and

convenience. According to what was mentioned, many green products have energy saving

potential. For instance, there‘s been an increase in the demand for electric cars not only due to

government incentives but also because of long-term savings. Nowadays, we‘ve been consuming

everyday products which contain countless chemicals, hormones or other drugs. However, the

consuming patterns have been changing and the importance given to health and safety products

as become more relevant with the increase of sales of organic foods, for instance, as people tend

to be concerned with their own well-being and with the future generations. In terms of

performance, people still think green products do not perform as good and as efficiently as other

products. Nevertheless, in many cases green products are design to perform better than other

products. We can take the example of clothing washer, which cleans better and are gentler to

clothes than the older washers. Many organizations are trying to establish a ―green chic‖ appeal

to their products, so using celebrities to publicize them in order to determine trends and reach






and expand targets. Green products are not only efficient, they can provide other benefits. LED

lightening, is an example, which is the most power saving alternative when compared to the

traditional bulbs and also have no toxic chemicals in the composition, and last longer.

In general, green products can have some of the following characteristics: being made from

recycled materials, products which can be recycled or reused, organic products, products which

meet environmental responsible packaging or other environmental criteria.

Green marketing doesn‘t only refer to the promotion or advertising of products with

environmental characteristics. We tend to associate this concept to terms such as: recycling,

environmentally friendly, or for example refillable. However, regarding Henion and Kinnear

(1976) this concept is wider, as it also involves product modification, changes in the production

process, brand adaptation (e.g. logo, packaging), and alteration and improvement of the

advertising approaches. It also implies the consequences marketing activities have on pollution,

environment degradation and on energy consumption. It provides a different perspective of the

general concept of marketing, as it is no longer focused on particular societies concerns, but in

global ones. It consists of being able to satisfy customers‘ needs having the minimum impact and

harm in the environment.

Regarding Ottman (2011), nowadays, companies focus on product development and ways

to align it with sustainability. Actions in producing, distributing, usage and recycle processes

must have the minimal impact on the environment. It‘s important to consider the resources

involved in each process, which resources are required during the product lifetime and whether

the practices used are ethical. The companies‘ role in society has more duties and consequently is

becoming more important with their active participation (Keller 1987, Shearer 1990). They

believe they have moral obligation (Davis 1992) in their policies and practices to have a positive

impact on the environment (Azzone, Giovanni and Manzini 1994). So companies using green

marketing approaches are gaining competitive advantage over companies which don‘t engage in

responsible practices. This current trend emerges in order to better satisfy customers‘ needs

(Polonsky 1994)

Objectives of the Study:

1. To Study the concept of Green marketing

2. To Study the influence of Green marketing on buying behavior of consumer

3. To understand how green marketing affects customers‘ attitudes when acquiring eco-products.

4. To suggest the measures for improvement on Green marketing.

een Consumer

Green Consumer:

The green consumer is generally defined as one who adopts environmentally-friendly

behaviors and/or who purchases green products over the standard alternatives. Green consumers

are more internally-controlled as they believe that an individual consumer can be effective in

environmental protection. Thus, they feel that the job of environmental protection should not be

left to the government, business, environmentalists and scientists only; they as consumers can

also play a part. They are also less dogmatic and more open-minded or tolerant toward new

products and ideas. Their open-mindedness helps them to accept green products and behaviors,

more readily (Shamdasani at al. 1993:491).According to the consumption report of the EU

(Consumers in Europe), it is found that ten percent of the consumers recognize the ecological






product labels or green energy labels on the products sold in the supermarkets. Although the

companies in our country progress with significant speed in terms of the environment, it is not

possible yet for us to say that they have reached the same level regarding consumer sensitivity.

In Western implementations, environmental awareness and the ―green policy‖ in business

organizations are reflected in the business as result of the environmental awareness of the

consumers. The most recent and classical example regarding this subject is airline transportation

industry. In airline transportation, large amount of carbon emission released by the planes into

the environment is a matter in question. British Airway offers the following ―relieving‖ solution

to people who have to travel by plane but feel disturbed due to the carbon emission: to give

financial support to a fund providing researches intended to reduce carbon emission. The carbon

emission, released during the distance covered is calculated and a contribution of 12.08 Euro per

ton can be paid per person. Carbon dioxide emission per one passenger during an Istanbul-

London flight reaches 29 kilograms, and with this fund, which was established on a voluntary

basis, environmentally conscious passengers can donate 3.25 Euro and feel relaxed. On the other

hand, Turkish Airlines has stated ―we achieved fuel savings and this saving reduced carbon

emission‖ in a statement they made in October, demonstrating that the firm has a more low

profile ―temporary‖ approach (Naturalhaber, 2010).

Impact of Green marketing:

Convenience: It is very much convenient to women to go through online ads, surf on Face book,

snap chat and place the order.The incredible convenience of green marketing online is one of the

biggest advantages of internet marketing. The internet has extremely easy accessibility with

consumers using the internet and reaching markets anywhere in the world. Because of this,

purchasing goods from across borders now reduces the cost of transportation.

Quick information: The information is readily available in hand. All u need is internet to access

the same. Advantages of Internet Marketing make such diversification quite easier as if you wish

to use SEO & SMO, you can easily do it through different channels like-

PPC search engine or Social Media Marketing.

SEO campaigns by outsourcing an SEO techie who can optimize your website and ensure

more traffic

Few hassles: Various apps like myntra, quickr, olx have fewer hassles in their job.With Green

marketing, you do not need to hold up weeks to see a noticeable boost in your business. With a

paid digital marketing effort, you can see real-time results that empower you to adjust your

marketing campaign to accomplish the result you always wanted.

Relationship building: Green marketing helps to build personal relation with the customers by

writing on the walls and sending personalized messages.With the advantages of internet

marketing, everything can be followed and tracked through detailed diagrams. These diagrams

delineate activity development, traffic growth, lead and deals transformations from your specific

search marketing efforts. Utilizing free analytics tools like Google Analytics will help you

measure the success of your internet marketing campaigns.

Lower cost: A study by Hubspot found that inbound leads – leads generated online through

sources such as blogging, social media, and search engine optimization – cost 61% less than

traditional outbound leads. It‘s not hard to see why. With online marketing, there are no travel






costs, and you don‘t have to pay for printing to distribute materials. Server costs, by contrast, are

relatively low. As compare to television advertising, online marketing is economical and

effective.

1. Aids to refine your strategy and Target Marketing campaigns:

To reach influencers and “invisible” prospects:

There are many people who influence the selection process, even if they might not be the

final decision-makers. Some of these individuals may be professionals within your target firms,

while others may be well-respected industry figures. By the same token, you may have

unrecognized or ―invisible‖ prospects out there of whom you‘re simply not aware. You likely

know that certain firms would be good matches for your service, but there are usually others who

are equally promising matches

2. Firms that generate leads online achieve greater profits:






Until about twenty percent of leads are generated online, profitability stays more or less

the same. But after twenty percent, profitability begins to rise steadily along with the percentage

of leads generated online.

Analysis of data:

From above diagram, it is clear that only 8% has impact of Green marketing. Although marketers

try different strategies to attract women customers, but they fail as women tend to personal see

and verify the quality of apparel then only buy. It is also due to lack of trust among women

buyers to verify online. Most of the time, they are unaware of payback or return procedures.

Conclusion:

Green marketing is a tool for protecting the environment for the future generation. it has a

positive impact on environmental safety. Because of the growing concern of environmental

protection, there is an emergence of a new market which is the green market. For companies to

survive in this market, they need to go green in all aspect of their business. Consumers want to

identify themselves with companies that are green compliant and are willing to pay a premium

for a greener life style. As such, green marketing is not just an environmental protection tool but

also, a marketing strategy. The aim of this study, by analyzing the impact of environmental

awareness, green product features, green product prices, green product advertisement and

demographical features of consumers on purchasing behaviors of consumers, is to determine

whether there is a significant relationship between them and if there is, to reveal direction and

level of this relationship and hence to give advices to companies producing environment-friendly

products.

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491 -504.






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Why






New Challenges in Retail Human Resource Mangement

Dr. Major Ashok Giri* & Kajal Chheda**

*Research Guide,

MES Garware College of Commerce, Pune, Maharashtra

[email protected]

** Assistant Professor,

Gurukul College of Commerce, Ghatkopar, Mumbai, Maharashtra.

[email protected]

Abstract-

Terms such as globalization, process management, and value-based management

dominate the current discussion of management in retail companies. There has been an

increasing realization that people are one of a company‟s key assets. Retail means working and

serving customers in a direct, personal way. This calls for special actions from retail companies

to fulfill the demands of an increasing number of well-informed and sophisticated consumers. In

view of all the changes in both national and international contexts, it is absolutely essential to

get the right people if a business is to be successful and sustainable. Retailing is a major labor-

intensive industry sector. Therefore, companies are continually challenged to re-organize and

adapt their structures to become more efficient. The necessity for part-time workers, because of

long store opening hours and peaks in the trading day/week, requires a flexible framework to

optimize labor processes. Emotionally, the workforce needs orientation and vision in changing

times. Human resource management (HRM) has to provide a “coach,” not only to organize, but

also to support employees and management mentally and professionally in fulfilling their tasks

in terms of future company goals. People are the driving force behind all transactions that occur

in retailing outlets. In the future world of retailing, there will be an increasing need to adapt and

change towards a more formative and proactive style of HR.

Keywords: Retail, Labor Intensive, Optimize, Coach, Proactive, Emotionally, HRM.

Introduction-

Retail is one of the fastest growing industries across the globe and offers livelihood to

millions. Human resources occupy a significant place in the growth of the retail industry. In spite

of this fact, both organized and unorganized retail sectors are struggling against various human

resource issues that require immediate attention. Though both these sectors may differ in their

scale and method of operations, the human resource challenges are almost the same.

Human resources involve the strategic planning and management of employees to create a

productive and motivated workforce. The retail industry poses particular HR challenges because

employees deal directly with customers.

Objectives of the study-

1. To study the current status of Indian retail industry.

2. To analyze the Human Resource Management practices implemented in the organized

retail industry in India.

3. To study the HR challenges faced by the organized retailers while implementing such

practices.








4. And finally to come out with the conclusion and suggestions.

Indian Retail Industry-An Overview -

Retailing is one of the pillars of economy. It consists of all activities that result in the

offering for sale of merchandise to consumers for their own use and is the final step in bringing

goods to the end-users. According to US consulting group AT Kearney‘s report published in

June, 2010, India is the third most attractive retail market for global retailers among the thirty

largest emerging markets. The Indian retail industry has expended by 10.6 percent between 2010

and 1012 and is expected to increase to US$ 750-850 billion by 2015. The greater availability of

personal credit and a growing vehicle population providing improved mobility contributed

towards annual retail sales growth of 12.2 percent. Though the Indian retail sector is dominated

by unorganized sector with 90 percent share, it is providing immense opportunities for large

scale retailers to set up their operations. The organized retailing sector is steadily increasing with

the entry and operations of departmental stores, hypermarkets, supermarkets and specialty stores

which are replacing traditional formats dramatically altering the retailing landscape in India.

Organized and Unorganized Retailing-

The Indian retail industry is generally divided into organized and unorganized retailing.

Study shows that India constitutes only 8 percent of organized retail and remaining 92 percent is

left unorganized and within the organized sector, apparel is the largest segment while food and

grocery and mobile and telecom are the other major contributors to this segment.

Organized Retailing in India-

Retailing in India has been achieving a noticeable growth in the organized sector since

the liberalization of our country‘s economy that began in the early nineties. The retail market in

India is said to be fragmented with only around 8% of the sector organized, which means that

only 8% of the retailers are registered under the regulations and licenses. The remaining part of

the sector is unorganized. It is hence viewed as a big opportunity for the future for the organized

retail firms to evolve and grow in India.

Human Resource Management in organized retail-

Recruitment: Depending on the size of the number of vacancies or if it‘s a new store then

campus recruitment is done or recruitment is done through recruiters and consultants. For shop

floor sales requirement advertisement is put up in the local newspapers.

Selection: Selections are based on group discussions & interviews. Some retailers take an

entrance test followed by group discussion and personal interview.

Performance Appraisal: It is one of the most controversial systems within human

resource. No one in any organization is ever happy with the system because it explores the bitter

truth of an employee. It is inherently conflict based because it is subjective and differs from

person to person.

Training and development: Retail industry has finally taken shape in India, and is

experiencing a rapid growth. Since organized retail is growing tremendously procuring trained

human resource for retail is a big challenge. The talent base is limited and with the entry of big

retailers in the market there is a huge demand of trained and skilled professionals in this sector.

This has led

Many retailers to introduce Learning and Development department within the organization.






Compensation: Compensation is payment for services rendered to an organization by an

employee. Compensation may me direct or indirect compensation & is a motivator for

employees at all levels.

Rewards, Incentives and Recognition: Every retailer is looking at various ways to

motivate their employees and reduce attrition rate. Introduction of rewards, incentives and

recognition of employee is increasingly becoming popular within the industry. Retailers like

PRIL have launched PERK Performance Enhancement Reward Kit and star performer of the

month in their stores. They are used to reward performance at the individual, team and

organizational level.

Employee Discipline: It is a management tool to correct employee behavior.

HR challenges in organised retail-

High Turnover-

Retail is notorious for having a high rate of employee turnover. This means employees

routinely come and go, which poses several challenges. Training and developing are difficult,

time consuming and constant if you constantly have to recruit and hire new people. It's also more

difficult to build customer loyalty if customers keep seeing a new face every time they enter your

store. To address these problemsrecruit the right people and build rapport with employees. When

interviewing people, make sure specific questions are asked that relate to the type of work

employees do. Informal social outings and fun games at work can help build rapport.

Diversity-

A diverse workforce is typically regarded as a good thing. It helps a retailer better

connect with its marketplace and usually leads to more and better ideas and results. However, a

staff of people from widely varying demographic backgrounds might have trouble developing

cohesiveness. From an HR vantage point, challenge is to manage diversity to avoid major

conflicts and promote a spirit of tolerance, teamwork and collaboration. Include diversity

discussions in store meetings and encourage employees to discuss their differences. These

techniques can go a long way toward building a more cohesive team.

Misconceptions-

To build a staffof competent, committed and motivated employees, retailers must

overcome a number of common challenges and misconceptions about the work environment.

Common concerns include long hours, no full-time jobs or benefits, low pay and no growth

opportunities. One can overcome these challenges by going against the industry grain. Offer

regular eight-hour work shifts at retail business. Provide competitive pay and benefits to full-

time employees. Even if starting pay is modest, do best to offer fast tracks to higher salaries and

management positions when an employee has established a good track record with business.

Seasonal Demand-

Retailers often experience seasonal demand fluctuations. The holiday buying season,

from "Black Friday" through Christmas, is well-known as the busiest shopping season of the

year. Retailers often try to add temporary staff during these times. They often wind up with

fewer skilled and trained workers who might not have the tools to best serve your customers.

These workers can also alienate regular staff that must pick up the slack. Develop a plan to

assimilate temporary workers during these seasonal periods. A store meeting at the start of the






busy season is a good way to help temporary workers learn the system and get to know the

regular staff.

Talent crunch at middle and senior level managements-

The retail industry is facing serious talent crunch especially at the middle level

management. Though unskilled labor is easily available for the sector at entry levels, it is very

difficult to retain the talented manpower to succeed the current leaders. This is because of high

attrition rates which hamper the development of leadership pipeline in the retail industry. The

unorganized sector of the retail industry employs large temporary workforce in addition to the

permanent employees to serve at lower levels. These include students, fresh graduates, and

cyclical workers etc. who quit as soon as they find better opportunities elsewhere.

Lack of professionally educated workforce-

An important problem in the retail industry is lack of professionally educated staff. Retail

as an academic option at Masters Level is relatively new concept and till last decade, only few

universities were offering professional degrees in retail. This has created a gap in the demand

and supply of talent into this industry. Traditionally, retail has been a career choice for less

educated and young people who take this profession either to finance their education or to

support their families and end up in the unorganized sector. But they cannot be expected to be

experts of customer relationship management and supply chain management.

Lack of bargaining power--

Another problem is that such low skilled workforce usually agrees to work at low salaries

giving the power of negotiations in the hands of bosses. This results in low job security which is

yet another major challenge in the retail industry. The unskilled workforce is so easily available

to retailers that if the employees deny following any orders like working on holidays or till late

hours, or they ask for a hike in salary, they are simply replaced by newer and cheaper staff.

Employee poaching in the retail industry-

Employee poaching is also very high in the retail industry. Skilled manpower is scarce in

this industry and as such attracting the employees of competitors by offering them better salaries

and perks is a rather easy option. However, the people having an experience in retail are not only

occupied by competitive retail firms but also by telecom, finance and IT companies.

Problems of work life balance-

Maintaining work life balance is one of the biggest challenges in the retail sector today.

The retail sector does not work on standard format and the employees are often required to work

for long hours and even on holidays and festivals. This somehow creates lot of problems in the

personal lives of employees as they don‘t get much time to spend at home. The conflicts at home

have further influences on the work life also. The employees lack motivation, their stress levels

get high, absenteeism and turnover increases, organizational conflicts become a regular scene

and the and the overall work environment gets negatively affected.

Conclusion-

However, with time the global retail industry is taking a new shape and the retailers are

now looking for employees possessing analytic skills, understanding of global consumers,

knowledge of latest retail concepts, and leadership skills. HRM is now a priority area. Employers






are focusing these days on correct staffing and proper training along with the initiatives like

employee wellness programs, spouse employment, and employee stock option plans etc. to solve

these HR related challenges.

The Human Resource Management practices are vital for the growth and development of

and business or sector. These practices have significantly evolved in the retailing sector also. The

retailers especially organized retailers are nowadays placing a greater emphasis on the HRM

practices which includes recruitment, selection, performance appraisal, training and

development, compensation, career planning, etc. Apart from this the sector is facing some

problems relating to its human resource like lack of skill, lack of formal education in retailing,

workforce attrition, threat of poaching and complicated human resource environment. It means

that the HRM practices in the organized retail industry needs greater attention in the near future

to make it more competitive.

Suggestions-

Indian retailers need creative HR practices to manage a huge workforce in a competitive

environment enhance the competency and retention of their employees.

There are too many companies chasing too little talent. The retailers should maintain their

goodwill in the overall employment market by communicating its attributes in a way that

distinguishes the company from the competitors.

Find the right talent that is willing to commit over the long-term.

Attractive compensation package should be provided to the employees which includes

both direct (salaries, commission and bonuses) as well as indirect payments (paid

vacations, health and life insurance and retirement plans).

The problem of attrition is very common nowadays. Retaining is more challenging than

hiring. Hence, retailers must examine different strategies which they can use to reduce

turnover and boost the morale of their employees.

References-

1. ―Retail giants adopt various methods to prevent attrition.‖ (October 8, 2007). Retrieved

from: http://www.moneycontrol.com/news/business/retail-giants-adopt-various-methods-

to-prevent-attrition_306920.html.

2. ―Retail sector in India growing at phenomenal pace.‖ (June 25, 2012). The Times of

India. from: http://articles.timesofindia.indiatimes.com/2012-06-

25/news/32408603_1_retail-sector-retail-industry-global-retail-development-index.

3. Reddy, D.M., & Chandra, S. (December, 2011). Human Resource Management Practices

in Organized Retailing: A Study of Select Retailers. International Journal of

Multidisciplinary Research, 1(8), 523-534.

4. Bhaskar, N. (June, 2012). Human Resource Management Practices in Organized

Retailing: A Study of Select Retailers in Warangal District. Asian Journal of Research in

Business Economics and Management, 2(6), 77-89.

5. Mehta, A.P., & Mehta, R. (May, 2013). Managing Human Resource in Retail Sector- An

Upcoming Challenge. International Journal of Scientific Research, 2(5), 374-376.

http://www.moneycontrol.com/news/business/retail-giants-adopt-various-methods-to-prevent-attrition_306920.html

http://www.moneycontrol.com/news/business/retail-giants-adopt-various-methods-to-prevent-attrition_306920.html

http://articles.timesofindia.indiatimes.com/2012-06-25/news/32408603_1_retail-sector-retail-industry-global-retail-development-index

http://articles.timesofindia.indiatimes.com/2012-06-25/news/32408603_1_retail-sector-retail-industry-global-retail-development-index






Human Resource Management for Sustainability

Amit Deokule

Executive leadership coach, Pune, Maharashtra.

[email protected], [email protected]

Abstract:

Now a days managing ourselves and others has become an extraordinary task in our

personal or even professional life. As a life balance coach and executive leadership coach, when

I was coaching in one small organization dealing in automobile sector for employee

development and business owner‟s vision enhancement, I got to know that sustainability can‟t

just be the word for the sake of implementing it as a normal concept because its meaning is

construed as sustaining for meeting both ends. Sustainability has one hidden concept and i.e.

continuous growth and value enhancement of the entity. So I started observing people from the

same perspective and then I surveyed things while coaching people and drew the conclusion that

people are sustaining not for something innovative or for the better growth but they are

becoming sustainable because they want to meet both ends irrespective of the growth. They want

to be sustainable because they can‟t hop from one company to other. They want to continue

because they need sound sleep at the end of the day where even the organic financial security

can be considered as something greater in value. In small organizations there is no problem of

attrition because of this. The scenario is reverse in bigger companies because stakeholders have

an outlook from growth perspective and the problems existing in such organizations are of

different nature. So as a coach I had to change my perspective in individual coaching and even

group coaching in small organizations and everywhere the bottom line became

“SUSTAINABILITY” HR departments have sure challenges in bigger organizations and in small

organizations business owners or entrepreneurs themselves will require to change to a

phenomenal extent. Psychological state and its sustainability matters a lot for every entity .

Key Words- Small Organizations, Sustainability, Entrepreneur, Meeting both ends, growth

The Researcher is a Life Balance Coach and Master Spirit Life Coach having an

affiliation with Certified Coach Alliance Group, Canada. He is also an Executive Leadership

Coach at Marshall Goldsmith Stakeholders Centered Coaching. He has seven and half years of

experience in the field of coaching where he has handled variety of coaching assignments for

Individuals (Students, Business Owners, Professionals, Housewives) , Organizations and

Institutions. He is the recipient of five awards in the field of education as a coach. He is having

more than 22 years of experience in the field of music being a composer, singer, poet and table

player.

The researcher generally conducts 3 months‘, 6 months‘ or even a yearly program of

coaching in organizations. Likewise he had entered into an agreement with one company dealing

in car services on an annual contractual basis for the employee development and business

owner‘s coaching. While handling the said assignment he was also indulging himself in one

activity for the benefit of the students along with that and it was pertaining to personality

development & leadership. Both the assignments were entirely portraying sustainability issues.

The former was related to employee sustainability and business owner‘s sustainability being an

entrepreneur with a well equipped approach. The latter was related to students‘ ability to make








them sustain in the industrial world and to make them so; the activity was emphasizing

development of personality and leadership. While working on these projects or even from his

earlier projects, the researcher had different real time experiences about sustainability and they

were portrayed as-

1. Sustainability in organizations is; being sustainable for the sake of doing it. The real

meaning of sustainability was not known

2. For students, the sustainability is; being sustainable to earn enough so that they can spend

lavishly. The cause and effect of sustainability was not the real reason to understand as a

concept

3. In case of business owners, the meaning of it is just to focus on one stronger ability of

them being an entrepreneur. Rest everything has to be managed by the stakeholders of the

organization since they get the salary in return.

The above scenarios and views were found to be ambiguous by the researcher as they

were lacking real time productive essence when we talk about Sustainability where continuous

growth and value enhancement also come in the picture! The above scenarios were showing

unawareness about the professional approach by employees, executable steps of the same

because of getting pressure due to high competition and comparison or even may be because of

reluctance for prioritizing and identifying responsibilities at the right time. The another aspect

was lack of interest in developing oneself with 360 degree angle being an entrepreneur which

was noticed in business owners predominantly.

Because of above observations, researcher‘s job being a coach was little more crucial and

challenging in both the projects. Mainly sustainability depends upon one‘s psychological

conditions rather than usual statistical calculations organizations always look for. Sustainability

is an art to lead oneself! If we will look at it as if it is a management concept then it will not be

nurtured by actually working on the root cause of the same. Hence considering it as an art will

definitely create space of its own. Researcher thought that sustainability ushers tenacity to tackle

critical issues which crop up in personal or professional life. The researcher was of the opinion

that sustainability cannot be worked upon only in professional streams but it can be targeted in

one‘s personal life as well.

Sustainability-

An Ability to SUSTAIN! – Each letter of the word makes lot of sense where S stands for

Service…U stands for ushering uniqueness…S stands for Seldom/Seamless…T stands for

Tender/Tangible….A stands for Alignment/Aim….I stands for Illustrious/Identity….N stands for

Nectar The above extensions should justify sustainability like this now a days and in the

common parlance it should be digested like the same, right?

When the researcher was working on the above mentioned projects he experienced exactly

opposite to what has been figured out. When he worked for the organization as mentioned, he

observed following things while working on Sustainability issues-

The employees of the organization said that they were not knowing that to increase

efficiency to work, coaching is always a necessity. They also proclaimed at one point that they

just want to continue in the said organization because their survival cannot be questioned and put

to test at any point of time and they want to sustain for the sake of sustaining it due to lack of

availability of jobs elsewhere. In reality their experience was not up to the mark and hence they






wanted to just sustain till the time they can. Because of this attitude at one point they became

restless due to inefficient approach towards effective coaching and their overall performance.

They found themselves in confusion.

A. After working with almost 1500 students in a year, the researcher strongly realized that

students‘ abilities are fascinating and absolutely well deserved but in their case almost

75% students were questioning their ability to sustain smoothly in the industrial world

although their passion to achieve their aim was not at all plummeted. Their desire to

attain everything in life or running after luxuries was a worrisome matter as far as

sustainability was taken into consideration. In Rural area the problem related to

sustainability was different and that was about staying away from the competitive world

because of lack of facilities in their area at an early stage and hence even keeping aim on

a lower level; was remarkably high at times.

B. In case of business owner the problem was severe because as an entrepreneur he was not

at all ready to accept that he should be an all rounder in terms of handling the business

unit as a whole. He had enumerated a serious fact that he just wanted to work for

promoting his services and marketing them so that revenue will surely get generated but

building a brand and establishing it should have been the right of those people whom he

has recruited as per his conviction. It was like relinquishing the responsibility and getting

on to those people who are working there as stakeholders in the organization. This also

showed that he did not want to accept sustainability issues diligently. At one point, he

also said that he is working in the industry almost for a decade but he was unaware of the

fact that coaching can help his organization as a whole to sustain well where next level of

growth can be within the sight.

The above facts seemed very impervious as far as sustainability is concerned. Because of

this researcher had one tough challenge to make that one percent of change in the approach of

these people. The reason behind quoting example of students in schools/colleges was just to

compare the scenario which he observed in the organization he had entered into contract with!

The best example researcher could think of while thinking about sustainability is one example

from our spiritual scripture and i.e. Ramayana. The Lord Rama when he was banished from the

kingdom for 14 years in the jungle and the way he could sustain himself even after confronting

various calamities like abduction of Sita, his wife by Ravana . Although such and other

calamities were existing, he could sustain himself to such a level in the jungle that at one point

the whole troops of monkeys could extend their immense support to escape Sita from Ravana‘s

kingdom. This example could prove that sustainability with integrity results in some rationally

precious outcome. On the contrary in the present conditions whatever we are able to experience

in case of companies like Kingfisher, Flipkart, Infosys are the best examples where how because

of some top end executives and their confrontations because of their wrongdoings could take the

respective organizations in such a state where sustainability was an issue at some point.

Kingfisher came to a liquidated stage because of several reasons, Flipkart was an appropriate

example in the startup category where their situation was at stake but because of merger and

acquisition with Walmart they could sustain themselves. Infosys was sustained due to strong

principles of the chairman, Mr. N. R. Narayana Murthy. I think in such companies the whole

burden falls on HR departments also when sustainability questions itself because after all human

resource is an asset for every organization.






In small organizations, business owners themselves have to shoulder the responsibility of HR

department because of non-capacity of recruiting people exclusively for the same. The researcher

could observe in the said organization; specified by him such scenario where business owner

himself was shouldering the responsibility but he was not able to sustain because of inability and

lack of sufficient knowledge to handle human resource. However because of researcher‘s

coaching the said challenge was overcome by not replacing the employees but in return training

them and making them sustainable by levying some rules, processes gradually due to which at

least stakeholders could cognize the importance of being efficient and then being sustainable

respectively. Even the business owner took over the charge with full force for sustaining his

organization with proper changes to be made supporting the sustainability.

To make this possible the researcher could take following steps-

1. One to one coaching with the stakeholders of the organization and after specific interval

conducting group coaching to sense the environment of the organization with impact

2. Having continuous coaching with business owner to change his perception to look at his

organizational vision by doing some refurbishment in the conviction

3. Quoting different stories in real time to include in sessions so that the stakeholders will

realize the value of sustainability by adopting proper means of working

4. Provoking the senior manager/administrator or even business owner with motivation in

such a fashion so that they will be forced naturally to make certain viable changes in the

organization like branding, promotion, making rewarding policies for the stakeholders to

channelize them, giving them targets and asking them to work by changing their style or

method of working or such similar change which will support their ability etc.

5. Bringing various subjects and issues on the table to make them think about different

things in a unique manner where at one point it was business owner‘s response that why

the coaching was not hired as a service long back when there was one opportunity to take

the organization to the next level of growth!!!

6. Extending leadership coaching where managing oneself and then managing others was

discussed and worked upon.

7. Sustainability and allied tools establish the culture of the organization and culture

depends upon human resources and hence there were sessions talking about the culture

and strategies.

Conclusion-

The researcher could strongly realize that Human Resource management plays a vital role

in sustainability issues starting from grooming students till the stage of they becoming

stakeholders of their own career with the art of prioritizing and taking the responsibility of

whatever they choose to do.

The definition of sustainability has become the need to look into at this stage because of

some wrong perspective people have with this terminology. One should not forget that

sustainability is an art but not a process of revelation while working in an organization. To

sustain; has a greater meaning and one will require to perceive that diligently. Human resource is

the most integral part of every unit on this earth wherever business is being done. An

entrepreneur has to be well equipped with every piece of knowledge to sustain properly. Students

of this generation will need to be inculcated with a fact that competitive edge will demand






sustainability but not just mere passion that will help them to survive. Stakeholders will require

to be upgraded with every information which will concretely support them to sustain with full

strength and ability/potential they have. At the outset the researcher just wants to say that

―Oh Sustainability you are the creator of reviving patience in the present world….

Do the professional want some extraordinary supreme power to sustain with credence in

innovator‘s herd….??? ‖

Reference-

1. Goldsmith Marshall (2015), Triggers, Profile Books Ltd (Great Britain)

2. Misner Dr. Ivan (2017), Giver‘s Gain The BNI Story, BNI Global LLC (USA)

3. Pattanaik Devdutt (2006), Myth=Mithya, Penguin Random House (India)

4. Theil Peter (2014), Zero to One, Penguin Random House (UK)






Work Life Integration and Career Pathing of Mid-Career Women and its

Relevance to Sustainable HRM in India

Nirupama Patwardhan Research Scholar,

Symbiosis International (Deemed University), Pune, Maharashtra

[email protected]

Abstract:

For a long time corporate India has been struggling with recruiting and retaining talent.

One of the major areas of concern has been ensuring greater numbers of women not only remain

in the workforce but make it to the higher echelons of organisations. Sustainable HRM which is

more commonly defined in business literature through the concept of the „Triple bottom line‟

(TBL) where companies focus beyond profits and also take account of social and environmental

issues has gained tremendous importance over the years. The aim of this paper is to advance

discussion on the importance of understanding women‟s career related problems at the critical

mid-career phase with the aim of ensuring they remain in the workforce. Consequently with

more women at the higher levels of organisations extant literature already proves TBL gets

positively impacted in most organisations. The paper also aims to develop a theoretical

framework within the Indian context between these key concepts and sustainable HRM.

Key words: Work Life Integration, Career Pathing, Mid-Career women, Indian Industry,

Sustainable HRM.

Introduction

Sustainable development and sustainability are two terms that have become increasingly

important globally and more so in the business world over the last two decades. Companies are

feeling the need to create and establish better business models with sustainability at the core. One

of the key functions in this process is Human Resources Management.

Historically there have been three main ‗Influencers‘ to the development and

understanding of sustainability theory and consequently practice, namely, the United Nation‘s

World Commission on Environment and Development (WCED, 1987), also known as ―The

Brundtland Commission‘, environmentalists and business strategists.

In 1997 Elkinkton proposed the term ―Triple Bottom Line‖ (TBL) which is essential to

the understanding of sustainability in the business context (Savitz and Weber, 2006) thus TBL

says that a company‘s success should not only be measured by the conventional financial bottom

line but should comprise of ‗Profit, Planet and People‘ that is be profitable without ignoring

Environmental and social/ethical performance.

For a long time human resource management (HRM) has been facing a double challenge

of not only attracting highly skilled employees but also managing, retaining and motivating the

diverse resources they already possess which include older employees, employees from varied

cultural and social backgrounds, women, single parents, the physically challenged and to further

add to this melting pot these resources will be at different career and life stages(Darcy,

McCarthy, Hill, and Grady. 2012). Furthermore as extant literature spells out, for any

organisation its human resources can act as a potential source of sustained competitive advantage

(Barney, 1991; Grant, 1991;Moroko and Uncles, 2008), therefore it is imperative that







understanding these various groups and their potential contribution is essential to ensure this

competitive advantage and also promote a better level of sustainability.

This paper seeks to understand one such group of resources mainly women in the mid-

career and mid-life stages and how understanding their Work Life balance and career pathing

issues would help in retaining such women and ultimately how this would effect sustainability in

Indian organisations.

Literature review:

Sustainable HRM:

De Prins‟ model of Sustainable HRM:

De Prins (2011) says that Sustainable HRM concentrates on ―optimally utilizing

andrespecting human workforces within the organization‖, where a clearlong-term relationship is

builtbetween an organization‘s policies and its environment. She make a distinctionbetween

fourapproaches to the concept viz, the sociological approach, the psychological approach,

strategic HRM approach and fourthly the concept of ‗Green HRM‘.

The sociological approach looks at the relationship between the interests of the employer,

the employee and society, thus within HRM its scope translates into such issues as, promoting

diversity in the workforce, health and engagement policies and family friendly strategies.

The psychological approach concentrates on what individuals within the organisation find

important. According to Graton (as mentioned in De Prins, 2011) ―People are completely

different from financial of technological capital because they function in time, look for purpose

and have a soul‖. Since these resources are considered to be a crucial part of an organisations

competitive advantage, it makes sense that organisations typically try harder to understand their

human resources and their problems.This third approach looks at the relationship between

Strategic and Sustainable HRM and how issues such as intake, employee turnover, training and

appraisal impact organizational goal achievement.

The fourth approach is termed as ―green HRM‖; or the ‗planet‘ component of the triple

bottom line. This means looking at what aspects of HRM would help achieve the ‗green

initiatives such as green behaviour as a competence, training in sustainability awareness,

stimulating environmentally conscious behaviours and green employer branding.

The concepts of Mid-career and Women in mid-life.

Mid-career

‗Mid-career‘ can be defined as a ―transition period of intra-career role adjustment‖ (Schneer and

Reitman, 1995). It is also referred to as mid-life or middle adulthood, and is defined as the age

between 35 and 45 years (O‘Neil and Bilimoria, 2005) over 40 (Wortley and Amatea, 1982) or

40 to 55 (Wahrendorf, Blane, Bartley, Dragano and Siegrist, 2013).

Women in mid life:

Amos-Wilson, (1996) state that at the age of 40 a significant transition takes place, which

emphases attention on the re-evaluation of attainment. Hall, (1986) further adds that at this mid-

career stage there is a contemplativeassessment of personal interests and values and for many, a

reconsideration of individual needs and hopes (Emslie and Hunt, 2008).

For women,Marcinkus et al., (2007) state, that balancing work and family is a critical issue

which also comes at a time when there may be discordantstrains on the career front, childcare

and other individual level issues. Auster, (2001) further puts forth that many women face trying






compromises with respect to performance related organisational expectations and the needs of

their children as they move higher up their career ladders.

According to Knight(1994) many women who cope with both career pressures and child

care responsibilities reach a stage where they feel a compulsion to understand what gives actual

meaning to their lives, in fact for some it means reassessing their basic identity, purpose and

values. Knight, (1994) and Campbell Clark, (2002) further state that for some womenresearch

shows that there can be agreaterfeeling of fulfilment and accomplishmentderived from the

satisfaction of having effectively managed these two important aspects of their lives.

Mid-career women, organisational concerns and sustainability.

According to Auster, (2001), flexibility or flexible working becomes a key

organisational-level factor that affects the level of career satisfaction for women at mid-career,

Furthering this Marcinkus et al., (2007) report that job satisfaction, organisational commitment

and career accomplishment is positively linked to organisational support. Sustainability literature

further tells us that under the psychological approach if employees are the core of a sustainable

competitive advantage, then ―the knowledge and fostering of what drives and characterizes them

is of utmost importance‖ De Prins (2011). Some of the critical themes identified by De Prins

(2011) in this approach are issues such as work-life balance, self-sufficiency or autonomy at

work, opportunities for self-development, employability concerns and open dialogue systems or

communication channels.

Under the banner of work life balance many companies offer flexitime and home working

provisions and although this can lead to higher autonomy andflexibility, research also indicates

that it maylead employees to spend more time working, at times including eveningsandweekends

thereby defeating the purpose. This typically causes the borders between workandhome to

become indistinct which can become highly stressful for employees especially if children also

have to be taken care of.

In some other studies, for example it has been reported that in reality there are not very

many employees who actually take advantage of these policies (O'Connell and Russell, 2005)

and that even when organisations inculcated policies for flexi-working, employees seemed to

feel a stigma in availing of them and that in some cases the general perception among managers

regarding women who opted for these policies was that they lacked commitment and were not

serious about their careers.(Hochschild, 1997; Auster, 2001; Drew and Murtagh, 2005).

On another track, researchers such as O‘Connor, (2001) put forth that though there may

be certain women who aspire for top management jobs, and in such cases they should be

encouraged and given the opportunities to advance however the researchers further state that

there are some women who have different needs and do not wish to take on higher

responsibilities. Chusmir, (1982) similarly reports that many women have lowered expectations

regarding promotions because they are aware of their childcare and other family responsibilities.

Lewis and Humbert, (2010) report that in spite of a commitment to flexibility and ―work-life

balance‖ by organisations, the gendered idea of the ideal worker and ideas of competence

combined with a dominating influence of masculinity and the ―good mother‟ ideology, works to

undermine both gender equity and workplace effectiveness, they also highlight the gap between

the discussion of supporting women and the reality of cultural and structural barriers. Schein,






(2007) also reports that male attitudes and perceptions that men are more suitable for

management roles also act as a hindrance for women striving for higher positions.

The conclusion of these studies is that profound and extensive changes are required in policies,

practices and mindsets at all levels. And organisations need to develop and offer options such

that women should never have to feel that it boils down to a choice between family and career.

The Melting Pot Analogy and its significance to Sustainable HRM

Mid-life/Mid-career is a melting pot of influences; one major ingredient is Work life

Balance/Integration and its sub factors. It remains to be seen what would be the outcome related

to career pathing when all these influences and factors mix i.e. not all women will have similar

pathing choices, it would predominantly depend on the mix of ‗ingredients‘ that ‗went in‘. Each

work-life factor would effect a woman in a different way and consequently her career path and

choices could be affected.

The Mid Career Melting Pot and Sustainability

Fig. 1 Source: Author

If organisations can identify typical ‗mixes‘ of influences it would be easier to develop

female friendly policies/practices to help retain female talent and ensure more women cross this

critical mid-career phase and reach top management positions. It would also help in

understanding what women want from their careers and what roles organisations can play so that

these goals can be achieved and integrated.

One of the most prominent goals of Sustainable HRM is to promote diversity in the

workforce, in India many organisations will now find that they employ if not a large but a

significant percentage of women who are in the mid-career stage. An enhanced perception and

understanding of these women, their careers, career choices and paths in addition to associated

factors like work life integration and how such factors affect the decisions that women take

regarding their work, life and career can aid organisations in making positive efforts so that these

critical female resources can be retained.

Conclusion

Mid-career women and their Significance to Indian Industry - A business case

In Indiasince the mid-nineties significant numbers of women specifically those with a

professional and/ or higher education have been entering the labour market as compared to the

Positive Career Pathing

outcomes will lead to

greater number of

women at higher levels

of management

Work-life Balance/

Integration factors:

Family, Work,

Organizational factors,

Socio-Cultural factors,

Personal/psychological

factors, Technological

factors etc

Mid-Career melting

potAssessment of career

goals, skills, knowledge,

experience, personal

characteristics

Sustainability goal of

gender diversity at higher

levels is reached






previous decades (Rajan, 2010). Furthermore, in today‘s knowledge economy a crucial source of

competitive advantage for organisations is the human resources that they employ, therefore

inducting and keeping quality talent is a critical concern (Bartlett and Ghoshal, 2002), in addition

as labour shortages become more intense the race for retaining competent talent is becoming

fiercer by the day (Frank and Taylor, 2004). Paradoxically, even as the requirement to retain

resources is escalating, organisations seem to be unable to retain many of the highly educated

female employees who work for them.

In 2009 a study titled ―Understanding the Levels of Empowerment of Women in the

Workplace in India‖ was released by The Confederation of Indian Industry, the findings reported

that at junior management levels women made up 16 percent of the workforce, at middle and

senior levels it fell to 4 percent each and in the highest leadership positions (CEO‘s etc) the

figure stood at only 1 percent. The study which was conducted in a mix of 149 medium and large

size organisations is a clear indicator that either women‘s careers are stunted at particular phases

or they are opting out of the workforce which reflects in their abysmal participation rates in

management.

Studies conducted by McKinsey & Company (2007, 2010), Credit Suisse Research

Institute (2015) all report that the better-performing firms tend to have more women on their

boards, In fact a Catalyst (2008) survey states that:

Catalyst research on Fortune 500 companies has demonstrated that gender diversity in

corporate officer ranks was associated with better financial performance. Organizations

with the greatest gender diversity in their corporate officer ranks significantly

outperformed companies with proportionally fewer women at the top. Return on equity

was 35.1 percent higher in the most gender diverse companies, and total return to

shareholders was 34 percent higher.

This is a compelling argument for companies in India to go the extra mile to retain

women employees, specifically at higher levels of management.

Researchers such as Brown, Brown and Anastasopoulos, (2002), Arfken, Bellar and

Helms (2004), Flynn and Adams (2004) suggest that women appointees on boards and generally

at higher levels of management promotes and generally raises the confidence of investors the

reason for which being that women are viewed as more inclined to be transparent, moral and

promoters of greater accountability. Further Brown and Brown (2001) state that 86 percent of

boards where there is higher female representation ensure that codes of ethical conduct are

enforced compared to 66 percent that had all male boards. Another documented perception is

that boards where women representation is again higher ensures that investments are not in

conflict with managerial misappropriation Brown and Brown (2001), Flynn and Adams (2004)

Thus the business case for Sustainable HRM is a clear one and should work at two levels firstly

to understand women employees as prescribed by the psychological approach to Sustainable

HRM and secondly after ensuring women are retained and reach higher levels of management or

board levels the positive impact that women create on shareholders and company boards cannot

be ignored.

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Sustainable HR Practices in Small Manufacturing Companies

Mridul Kanti Nath Research Scholar,

Symbiosis International (Deemed University), Pune, Maharashtra.

[email protected]

Abstract:

Purpose: Small manufacturing firms form the foundation of Indian economy. They

employ millions. Indian government supports entrepreneurship by setting up specialised MIDC

zones to promote manufacturing. The study is aimed at understanding how human resource

assets are treated and managed in such firms. The purpose is to understand if there is a

sustainable environment for retention and development of talent which leads to sustainable

business practices.

Design: Secondary research was conducted to identify aspects that contribute to

sustainable human resource intervention. Primary research was initiated to substantiate the

findings of secondary research. Visits to 109 small manufacturing units in Pune and

administration of the questionnaire resulted in gaining firsthand knowledge of role of HR, HR

functioning and understand its sustainability.

Findings: Small manufacturing firms employ teams of 11-50 employees. HR

administration forms an important part of day to day activities. The impact of such activities is

limited to ensure availability of a pair of skilled hands behind the machine which is the

fundamental requirement of business. The vicious cycle of resource poverty and the parochial

view of the owner limit the design and execution of sustainable HR practices. Study does reveal

some impactful HR practices in pockets which give an impression to the author that the future

for small manufacturing firms needs sustained focus from the large companies and the

government.

Keywords: MSME, Small firms, small manufacturing firms, HR practices, Sustainable HR

practices

Introduction – Small firms and their relevance

MSME – Micro Small and Medium Enterprises constitute a large part of an economy.

They form the foundation and are responsible for providing large scale employment. MSMEs are

present in large numbers across the developed and developing economies ensuring balanced

social and economic sustainability (Rahman, Yaacob, Busneti & Tambunan, 2015). In

developing economies, mergers between large firms and increased focus on automation lead to

redundancy of jobs which is responsible for rising unemployment. Local governments realise

that focussing on MSMEs is an alternative to create employment and give the necessary fillip to

the economy. Most of these firms are labour intensive and hence serve as the engine for growth

(Kishore, Majumdar & Kiran, 2012).

MSMEs contribute to 28.77% of the GDP in India. They constitute more than 6.38

million entities. These firms exist across rural and urban India employing 110 million people

(Annual Report MSME, 2018).







Small manufacturing firms in India are defined under the MSME Act 2006, as firms whose

investment is between Rupees 50 Lakhs to 5 Crores. From an employee head count perspective,

small firms are those that employ 10-49 employees (Hill & Stewart 1999).

Small firms produce goods which are either consumed by the end customer in a B2C

format or they end up being suppliers to medium and large firms in a B2B format. Multiple large

firms create an ecosystem where small firms are present in close vicinity providing them

ancillary parts used for creating larger products (Kaplan and Hurd, 2002).

Owners of small firms face multiple challenges. Access to finances and skilled labour are

two of them. At the initial stage of setting up a firm, finding new customers and executing

projects play an important part. As the firm grow in employee headcount; people issues come to

the forefront. Expansion in employee base ensures more people are recruited externally and there

is a need to formulate standardised HR policies that focus on scientific selection, training and

devise ways to enhance engagement (Krishnan & Scullion, 2014; Mazzarol, 2003, Welsh &

White, 1981).

Purpose of Study

Small scale manufacturing firms generate mass employment; however is one of the areas which

have not got the attention of modern day research (Kapurubandara & Lawson, 2006; Mankelow,

2008). This study conducted in the city of Pune in Maharashtra, attempts to find answers to:

(a) What are the prevalent HR practices in small manufacturing firms?

(b) Do these small organisations have sustainable HR practices?

Literature Review

3.1 Relevance of HRM in small firms

Human Resource Management has always been considered to be important for an

organisation (Hodgetts & Kuratko, 1995). Irrespective of the size of a business, the importance

of people and their talent forms a competitive advantage (Baumback, Lawyer & Kelley, 1973;

Scarborough & Zimmerer 2006). Small businesses are distinctly different from large firms.

Larger firms possess financial and managerial talent. Retaining and continuously investing in

them remains a challenge. Small firms constantly face shortage of resources and employing a full

time resource to manage their employees would be expensive and also not practical. Attracting

skilled manpower and providing competitive wages occupies a large bandwidth of the owner

(Birley and Westhead 1994; Greening, Barringer and Macy, 1996; Longenecker, Moore and

Petty, 1994; Welsh & White, 1981; Williams and Dreher, 1992). Small businesses derive

strength from the close proximity between owner and the employees and the bonding between

the small sized teams. The culture of the firm and its day to day functioning is driven by the

personality of the owner. The owner dons multiple hats to ensure there is focus on business,

customers, employees and corporate social responsibility activities (Jenkins 2004; Southwell,

2004).

Small firms employing lesser number of employees are susceptible to incompetent

resources and loss of every single skilled employee (Barone & Share, 2008). As a firm expands,

the owners need to delegate by creating a supervisory layer. This often forms the most crucial

part of sustaining the growth of the firm (Dunn, Short & Liang 2008).

Numerous studies have indicated the lack of formal practices in human resource

management in small firms. Formal and documented policies lead to sustainable HR practices.






Studies across Europe, Australia and India have shown medium and large firms having

sustainable HR practices. A few small firms have implemented HR policies but this practice is

not widespread (Bartram 2005; de Kok, Jan, Uhlaner and Thurik, 2003; Pingle, 2014).

Informality ensures there is little or no written documentation of policies. Small firms work a lot

on trust, innovate under multiple constraints, take intuitive decisions and have a culture based on

the owner‘s value systems (Kotey and Slade, 2005).

3.2 Sustainable HRM

As firms plan for sustainability, they also realise that focussing only on economic

performance is not a viable option. If a firm has to sustain in terms of performance; business

practices will have to be managed differently along with people (Bauer, Erdogan & Taylor,

2012; Isabel & Tony, 2010). Sustainable HR practices focus on implementing practices which

yield results for a longer duration (Ehnert & Wes, 2012; Rauch, Frese, & Utsch, 2005). Creating

and implementing a set of organisational values fits into the overall strategy of sustainability

(Cohen, Taylor & Muller-Carmen, 2015). Absence of an HR policy creates disruption amongst

employees leading to poor relationship between owner and the team (Sundar and Kumar, 2012).

A few small firms implemented high performance work practices which had a positive

impact on business outcomes (King-Kauanui, Ngoc & Ashly-Cotleur, 2006). Studies have shown

that firms that have been slow to adopt sustainable HR practices have had concerns in managing

their employees. There is a tendency to de-prioritise HR as compared to other business functions

like business planning, business finance and marketing (Liang & Dunn, 2005). Employees

believe that good firms possess good HR practices, which in the long run leads to sustainable

business (Jackson, Renwick, Jabbour & Muller-Camen, 2011). HR aspects relating to fair wages,

availability of skilled labour, functional training and scientific selection were critical to business

(Rowden, 2005; Bartram, 2005). Studies have also suggested small firms use advanced HR

practices like organisation citizenship behaviour, workforce diversity, empowerment, job

security, knowledge management, inclusion and diversity and high performance work systems to

stay competitive (Aust, Brandl, & Keegan, 2015; Ehnert, 2014; Earley & Ang, 2003; Huselid,

1995; Kishore, Majumdar & Kiran, 2012; Peccei, 2004; Vennix, 1999; Kirton & Greene, 2016).

Sustainable firms prioritise three factors that impact the bottom line; economic, social and

environment. Sustainable HRM is the use of practices to help achieve the bottom line leading to

sustainability (Cohen et al., 2010; Ehnert & Wes, 2012).


4.1 Primary data: Data was collected using a questionnaire. This was designed based on

previous study (Bauer, Erdogan & Taylor, 2012; Deshpande and Golhar; 1994; Pingle, 2014).

The questionnaire consisted of questions on multiple HR practices, tenure of employees and

functioning of an HR department. The draft questionnaire was designed post taking views from

two groups. A few academicians were contacted to receive their inputs and a group of HR

consultants, who engage with small firms on consulting assignments, were consulted.

4.2 Sampling: Non-probabilistic sampling method was put to practice. Multiple visits to 109

entrepreneurs of small firms entailed interactions and administration of the questionnaire. In

most cases, the researcher got an interaction time of 30 minutes. In a couple of cases, some of the

visit lasted for more than an hour. These occasions were used by the researcher to understand the

nuances of small firms. These firms were present in MIDC – Maharashtra Industrial






Development Corporation. Everyone participated in the exercise except for 6 owners who were

busy with contingencies at workplace. Analysis was conducted on 103 respondents.

Findings

5.1 Attitude of management

Across the firms surveyed, one of the unique observations was that small manufacturing firms

employed staffs who were working for more than a decade and in some cases for more than two

decades. All the entrepreneurs admitted that people were their key resource and they were taking

significant steps to engage and retain staff. 22 of the firms surveyed confirmed the presence of

multiple HR practices having moderate effect on their staff. However, majority of the firms (79%

of those surveyed) were found implementing only the very basic HR administrative practices.

Table 1: Intent of the management towards human resources

Characteristics Sample

Size Mean

My people are well managed 103 4.47

My people add value to my business 103 4.43

My business has the right people 103 4.32

We want to invest in building our talent 103 4.23

We empower our people 103 4.21

5.2 Prevalent HR practices

Table 2: HR practices in small firms

Characteristics Sample Size %

Firms implementing less than 3 HR practices 103 28%

Firms implementing 3 or more HR practices 103 78%

All the entrepreneurs of the small manufacturing firms were willing to invest 1-3% of their

revenue in creating HR systems. This however was significantly lower than how small firm

owners in the services industries were looking to commit.

Recruitment practices consist of sourcing channels that include referrals, advertisements

and consultants. Selection was primarily done using interviews and practical tests. These tests

were carried out over 1-3 days where candidates were provided raw materials and were asked to

use relevant machines to produce the output. The candidates were paid for the duration of the

assessment. This was a very scientific way of selection that ensured assessment of technical

skills. All the small firm owners were happy with their individual selection process. This could

possibly be due to the fact that they were designing and implementing these processes on their

own. It was also possible that they might not be aware of any other contemporary practices in

this field.

Training was another common practice seen in small firms. Focus was on induction

training where skilled workmen were recruited and trained on specific machines and customer

requirements. Soft skill training was limited to the owner of the firm and no evidence was seen

of any other employee being sent for managerial or interpersonal training. Training was






instrumental in also learning to operate complex machines. Most of the training initiatives were

limited to peer-to-peer interaction. Automation is the buzz word in the manufacturing circles and

small firms have been quick to adopt the technology. Interaction with the firms led the researcher

to believe that as these small firms scale up; focus is on acquiring niche skilled workers and

automate the production.

Compensation practices in small firms were dictated more by statutory provisions. For

skilled workers, owners used their knowledge of the market and offered suitable compensation.

No formal market survey was conducted. Small firms that were surveyed did not have a union

and hence no collective bargaining process was seen. Most owners used psychological contract

as an effective way to cement their relationship with the staff.

Reward program existed in all small firms. Employees were evaluated on performance

parameters and rewarded. Most of the rewards were bi-annual in frequency and were handed out

in front of family members during social events. Cash rewards were prominent. All rewards were

promoting individual contribution and not other aspects including team involvement or

innovative thinking.

Performance Management system existed in all the small firms. With size being small,

the owner could easily gauge the performance of the individual. Performance card was

implemented in most firms where a document highlighted the expected performance on a weekly

and monthly basis. Supervisors present kept a close watch on daily targets. In some firms

implementing batch performance, daily or weekly performance was not a relevant performance

criterion. Successful batch production which met timelines and quality parameters were critical

to success.

Discussions with owners indicated the presence of fundamental HR practices. Sourcing,

selection, training, compensation and reward forms the foundation of people practices and are

found bundled together in most small firms as indicated in previous studies (Bhattacharjee &

Sinha, 2015; Chaudhary & Singh, 2014). However, the study showed no presence of career

progression discussion or policies on diversity and inclusion, or the use of knowledge

management to retain important organisational learning. High performing work teams were seen

in isolation in some firms.

5.3 Sustainability of HR Practices

Two characteristics were observed in the study. First, only some of the firms had

documented their HR policies while many could not show any evidence of documented policies.

The owner of these firms had scripted thoughts in his mind which were implemented in the firm.

Second, only in a handful of companies, there was a person who was responsible for driving HR

processes. In all these cases, the person was also responsible from multiple administrative

functions. With small firms facing a resource crunch and presence of small teams did not require

an exclusive resource. Not a single small manufacturing firm showed the presence of a HR

department being managed by professionals. This also gives an indication that HR practices were

not complex and hence did not need professional expertise. Keeping the scale of the employees

in mind, this seemed a logical step.

Table 3: Sustainability of HR practices and the function

Characteristics Sample Size Yes No

HR Policies documented 103 35% 65%






HR policies driven by a dedicated person 103 13% 87%

HR policies driven by professional HR department 103 0% 100%

Practical Implementation:

Discussions on sustainability lead to engaging businesses for long term gains.

Organisations are adapting and aligning to sustainable HR practices. Connectivity, commitment,

culture and capabilities need to be synchronised to ensure sustenance (Colbert, Kurucz &

Wheeler, 2007).

Any business of any size would need to grow and deliver profits. A productive workforce

is built over a period of time by hiring skilled talent, investment in training, setting up of an

ergonomic work environment and rewarding high performers. It is also important to

systematically let go of non performers after efforts to improve them have failed (Jackson et al.,

2011; Krishnan & Scullion, 2014).

Majority of the respondents in the study understood the importance of human resources.

This study brought out the fact that HR practices in small firms exist. These practices are

informal in nature. In most cases, they are neither written down nor administered by any other

person other than the owner and this concurs with previous study (Bhattacharjee & Sinha, 2015;

Yordanova, 2011). This is different compared to other firms. Most large and medium businesses

have detailed policies which are written down and implemented using a distinct professional HR

team (Dunn, Short & Liang 2008).

Informality is a characteristic of small firms. The author does agree with earlier studies

(Baron and Kreps, 1999) which clearly indicate that informality does not mean absence of HR

practices. One should also not confuse formality with conformity. Small firms do what is

necessary for them and the owner wears multiple hats to manage the daily deliverable of the

organisation.

Conclusion

Small firm owners do not follow the implementation of HRM as mentioned in a text

book. They believe that they have the advantage of a small team and their personal intervention

is sufficient to manage their people assets. They also understand that they need skilled staff to

stay competitive. This is corroborated in other studies (Dunn, Short & Liang 2008; Hung, Cant &

Wiid, 2018). Fundamental HR practices exist and informality is a part of their culture. As small

firms expand to become medium and large firms, they invest in documenting their policies and

ensuring professional HR teams drive and improve these HR practices leading to a sustainable

competitive work environment.

Limitation

1. The sample size is limited (n=103) and hence gives a limited indication of the state of

human resources.

2. The study has been conducted only in the city of Pune in Maharashtra. Findings cannot

be generalised.

3. Small firm entrepreneurs are not used to taking part in surveys. They might use this to

highlight only the positives and thereby not declare hidden challenges.






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A Study on Sustainable Human Resource Practices for

Organizational Performance

*Ms. Srimati Naik & **Ms. Vidhya Halarnkar

*&**Assistant Professor,

Department of Commerce,

Government College of Arts, Science and Commerce,

Khandola- Marcela Goa

*[email protected]

Abstract:

Sustainability is considered as new strategy for improving the environment and human

activities.Organizations had to face massive competition and sustainability has become utmost

important and key integral aspect of doing business in any sector or Industry - the sustainability

on optimizing and balancing the social, financial and environmental concerns. To achieve this,

sustainability should be important part of the business. Organizational culture plays a crucial

role in today‟s world to sustainin business. It makes or breaks an organization's policies and

programs. It represents the organization's values, beliefs, and processes that echo„s what the

leadership team and the employees perceive about issues on environmental sustainability. One of

the critical roles of Human Resources Management is to lead the organization towards

achieving a sustainability strategy by building and developing skills in people, motivate them,

generate a value system and create an environment of trust so as to accomplish a bottom line

that is threefold. This will bring about healthy and sustainable organizational practices

promoting both the internal and external stakeholders of the organization. This highlights the

increasing need of integrating human resource management and business sustainability.

Keyword: Reward, Employee maintenance, Sustainable HRM, Organizational performance.

Introduction

Sustainable business environment is one in which a business endeavours to meet the

organizational goals without compromisingon environmental, societal or economic aspects. The

role of HRM in developing sustainable business organizations is increasingly attracting attention

.It has been observed that sustainability has a positive impact on its people and on the image of

the company as a whole. In this competitive advanced business environment, sustainability

benefits in gaining animportant advantage over the others as that customers prefer products and

services of companies which follows a sustainable business model.

Sustainability can be used as a principle for HRM itself and the tasks of Sustainable

HRM are twofold. On the one hand it fosters the conditions for individual employee

sustainability and develops the ability of HRM systems to continuously attract, regenerate and

develop motivated and engaged employees by making the HRM system itself sustainable. On the

other hand Sustainable HRM contributes to the sustainability of the business

organizations through cooperation with the top management, key stakeholders and NGOs and by

realising economic, ecological, social and human sustainability goals. So sustainable practices

should start from the people hence organizations need to implement sustainable human resources

policies. It is in this aspect this paper aims to study various aspects of sustainability in human

resources and its impact on organizational performance in Goa.

mailto:*[email protected]






Literature Reviews

Jacob Cherian &Sherine Farouk (2017), in their paper titled., ―Impact of Sustainable

Human Resource Practices On Organizational Performance‖, writes that Sustainability is

unarguably one of the most important pillars on which a business has to be built. Study made an

attempt to understand the role of sustainability in human resource management and to investigate

the impact of sustainable human resource practices on organizational performance. The effect of

sustainable practices in various dimensions of human resources like recruitment and retention,

training and development, performance management and motivation and environmental

awareness was studied. The study was based on primary data and Cronbach‘s alpha was used to

determine the reliability of the questions and multiple linear regression was used to understand

the effect of sustainable human resources on organizational performance. The study showed that

the sustainable human resource practices had a positive and significant influence on the

organizational performance.

Saleh Md. Arman (2017) conducted a study on ―Impact of Sustainable Human Resource

Management in Organizational Performance: A Study on Bangladeshi HR Professionals‖. The

objective of this research paper was to assess how the various instruments of sustainable HRM

create an impact on the organizational performance in different organizations operating in

Bangladesh. The study was based on 100 HR professionals and it collected data by administering

a questionnaire consisting of 27 items under 7 sustainable HRM instruments. Quantitative

analysis was used to find out the impact of the above mentioned factors on the overall

organizational performance. The study concluded that, human resource recruitment and selection

and human resource marketing have a positive influence on the organizational performance of

Bangladesh

Keri Spooner and Sarah Kaine (2010), in their paper titled,―Defining Sustainability And

Human Resource Management‖ A great deal of contemporary attention, including the scholarly,

is focused upon issues of sustainability and while much of this is specifically directed to

environmental matters, the literature demonstrates a considerable and growing interest in human

resource sustainability. The paper aims to develop a coherent theoretical framework for

examining HRM and sustainability. In this paper, the meaning of sustainability within the

context of the employment relationship is examined and an analytical framework is suggested. It

is argued that the key distinguishing variables which define sustainability in the employment

relationship lie in the human resource management (HRM) domain and the task domain of the

employment relationship. Extant literature on HRM and sustainability pays little attention to the

impact of both of these domains on the individual worker rather focusing on organisational

sustainability. This paper attempts to fill this gap by including the individual worker into a

proposed framework for future research into HRM and sustainability.

Nyameh Jerome (2013), conducted a study on ―Impact of Sustainable Human Resource

Management and Organizational Performance‖. The paper suggests and recommends that

sustainable human resource management can be carryout in all field of human endeavour. It is

based on the foregoing that the paper discussed the impact of sustainable human resource

management on the organizational performance, and the interplay that exist between the two

construct, it also ensure leadership's responsibility to the frame of sustainability, as the business

issue, employees need to understand the strategic for pursuing sustainability as means of






achieving management of objectives, the threats associated with ignoring sustainability, and the

opportunities it presents for business improvements, that made it paramount and worth adopting.

Identification of the Research Problem

From the literature surveyed during the study, it was understood that there are research

studies which are conducted with respect to Human resource Management for sustainability of

organisation. It was found that there are very less number of studies which are conducted in the

state of Goa and very few have highlighted factors responsible for sustainable Human Resources

Management. This paves a way for the present study.

Objectives of the Study

1. To provide the conceptual framework of Human Resources Management and sustainability.

2. To study the factors responsible for sustainable Human Resources Management


With respect to the above research objectives, the following research methodology has been

adopted and executed.

Universe and Sample Size Selection: For the purpose of objective number 2, entire State of Goa

has been considered as universe and a sample comprising of 35 companies have been selected

from the state and studied.

Sources of Data Collection: The relevant and required data has been collected by way of

Primary as well as Secondary Sources. A questionnaire was constructed and response was

collected using five point Likert Scale from the selected sample under study. Information also

has been collected from, journals and electronic media that form the sources of secondary data.

Period of study: The survey has been conducted from November 2018 to December 2018.

Statistical tools used: The primary data has been collected in a manner which can be used to test

the following hypothesis using Regression Analysis in Gretl software of Econometrics.

1. H1: There is dependency of selection, recruitment,rewards, participation,training and

employee maintenance on Sustainable HRM

2. H1: There is dependency ofSustainable HRM on Organizational Performance

Human Resource Management

Human Resource Management is the process of recruiting, selecting, inducting

employees, providing orientation, imparting training and development, appraising the

performance of employees, deciding compensation and providing benefits, motivating

employees, maintaining proper relations with employees and their trade unions, ensuring

employees safety, welfare and healthy measures in compliance with labour laws of the land.

Human Resource Management involves management functions like planning, organizing,

directing and controlling.

It involves procurement, development, maintenance of human resource

It helps to achieve individual, organizational and social objectives

Human Resource Management is a multidisciplinary subject. It includes the study of

management, psychology, communication, economics and sociology.

It involves team spirit and team work.

Importance of Human Resource

Behind production of every product or service there is a human mind, effort and man

hours (working hours). No product or service can be produced without help of human being.

Human being is fundamental resource for making or construction of anything. Every






organization‘s desire is to have skilled and competent people to make their organization

competent and best.

Among the five M‘s of management, i.e., men, money, machines, materials, and

methods, HRM deals about the first M, which is men. It is believed that in the five Ms, "men"

is not so easy to manage. "every man is different from other" and they are totally different from

the other M‘s in the sense that men possess the power to manipulate the other Ms. Whereas, the

other M‘s are either lifeless or abstract and as such, do not have the power to think and decide

what is good for them.

Human: refers to the skilled workforce in an organization.

Resource: refers to limited availability or scarce.

Management: refers how to optimize and make best use of such limited or scarce resource so as

to meet the organization goals and objectives.

Therefore, human resource management is meant for proper utilisation of available skilled

workforce and also to make efficient use of existing human resource in the organisation.

Sustainability:

Sustainability focuses on meeting the needs of the present without compromising the

ability of future generations to meet their needs. The concept of sustainability is composed of

three pillars: economic, environmental and social - also known informally as profits, planet and

people. The importance of sustainability in HRM practices can be considered from two separate

aspects: the importance of managing people and the notion of sustainability.

So sustainable HRM is about creating competitive advantage for companies, sustainable

employability for employees, shareholder value (based on future cash flow) for the

shareholders, etc.

A sustainable organization meets the expectations of diverse stakeholders. A true

sustainable organization is able to generate long term benefits by creating virtuous cycle between

economic, social and environmental considerations. Such organizations are successfully able and

communities to meet expectations of both internal and external stakeholders such as

shareholders, customers, government, employees to ensure long-term gains for all.

Human Resource can help organizations succeed in implementing sustainable business practices.

Although many organizations make a commitment and form a sustainability strategy, its

implementation, measurement and integration often becomes difficult.

The HR function will need to play a key role in addressing the critical success factors for

implementing sustainable business practices

Hypothesis testing

In order to find out dependency of dependent variable on independent variable the

following Regression Analysis is carried out in the Gretl Software and the following hypothesis

is tested.

Hypothesis 1.

H1: There is dependency of Selection, Recruitment, Rewards, Participation, Training and

Employee Maintenance on Sustainable HRM

OLS model, using observations 1-35

Dependent variable: SustainableHRM






Coefficient Std. Error t-ratio p-value

Const 2744.68 264.67 1.0390 0. 004 ***

Rewards 238.654 451.728 −0.5283 0. 008 ***

Recruitment 522.113 268.23 0.1964 0.055 ***

Selection 0.194744 0.0648867 −3.0013 0.0051 **

Participation 1.71144 0.231364 7.3972 <0.0001 ***

Employeemaint 0.116415 0.0595703 1.9543 0.0592 **

Training 1.15523 1.80264 −0.6409 0.0260 ***

Mean dependent var 1933.175 S.D. dependent var 231.757

Sum squared resid 18213267 S.E. of regression 92.9113

R-squared 0.921026 Adjusted R-squared 0.906667

F(6, 28) 64.14338 P-value(F) 8.92e-17

Log-likelihood 317.3332 Akaike criterion 68.6663

Schwarz criterion 660.4885 Hannan-Quinn 52.9409

A survey comprising of 35 companies has been selected and studied as per the response

received from the companies in regards to total 6 variables. The hypothesis tries to test the fact

that whether the above factors contributes towards sustainable HRM. The data has been collected

and confined to the State of Goa because of time and geographical limitation. An OLS model has

been designed and the hypothesis has been accepted.

The above OLS model has explained the dependency factor at 90 percent as the adjusted

R-Square appears to be 0.906667, andthe overall p. value being 8.92e-17. All the independent

factors are found to be significant either at 95 percent or 99 percent significance level. Thus the

alternate hypothesis can be accepted which states:

H1: There is dependency of Selection, Recruitment, Rewards, Participation, Training and

Employee Maintenance on Sustainable HRM

Hypothesis 2

H1: There is dependency of Sustainable HRM on Organizational Performance

OLS, using observations 1-35

Dependent variable: OrganizationalPerformance

Coefficient Std. Error t-ratio p-value

Const 2.47901 0.478110 5.185 <0.0001 ***

SustainableHRM 0.498092 0.118787 4.193 0.0002 ***

Mean dependent var 4.457143 S.D. dependent var 0.560612

Sum squared resid 6.971374 S.E. of regression 0.459623

R-squared 0.647599 Adjusted R-squared 0.627829

F(1, 33) 17.58236 P-value(F) 0.000194

Log-likelihood −21.42597 Akaike criterion 46.85195

Schwarz criterion 49.96264 Hannan-Quinn 47.92576

The above OLS model has explained the dependency factor at 62 percent as the adjusted

R-Square appears to be 0.627829, andthe overall p. value being0.000194. The independent

factor is found to be significant either at 99 percent significance level. Thus the alternate

hypothesis can be accepted which states:






H1: There is dependency of Sustainable HRM on Organizational Performance

Conclusion

This study was conducted to identify human resource practices which would lead to

sustainable HRM and investigate if sustainable human resource management have an impact on

organizational performance. Extensive review of various papers, journals and articles related to

sustainable human resource and its impact on organizational performance was reviewed and

studied. The data was collected with the help of a structured questionnaire that was distributed

to 35 units in Goan based organization. From the data analysis and the interpretation, it is

revealed that Selection, Recruitment, Rewards, Participation, Training and Employee

Maintenance results in Sustainable HRM which helps to achieve employee motivation, loyalty

involvement and satisfaction. Also it can be clearly observed that Sustainable HRM has a

positive and significant impact on organizational performance. Implementing sustainable

practices in selection, recruitment, rewards, participation, training and development, and

retention helps in managing the employees in a productive way. From the literature review it is

observed that employees also had a positive attitude towards the organization and worked better.

One another key area was to implement environmental awareness activities in organization and

to involving employees in it. This showed a positive impact as employees were found to have a

deep connection with the companies that had a sustainable business model that involved the

betterment of the people, environment and the economy.

Sustainability has to be implemented in human resource management as people are the

most valuable assets of any company. And in order to implement sustainability in to all areas in a

company, it has to start from the people as they are the brain and heart of any organization.

References

1. Saleh Md. Arman 2017 ,Impact of Sustainable Human Resource Management in

Organizational Performance: A Study on Bangladeshi HR Professionals, Proceedings of

15thAsian Business Research Conference 22-23 December 2017, BIAM Foundation, 63

Eskaton, Dhaka, Bangladesh

2. Jacob Cherian and Sherine Farouk 2017,―Impact of Sustainable Human Resource

Practices on Organizational Performance‖ , International Journal of Management and

Applied Science, ISSN: 2394-7926 Volume-3, Issue-8, Aug.-2017

3. Nyameh Jerome 2013, ―Impact of Sustainable Human Resource Management and

Organizational Performance‖ International Journal of Asian Social Science, 2013,

3(6):1287-1292.

4. Keri Spooner and Sarah Kaine 2010, Defining Sustainability and Human Resource

Management , University of Technology Sydney. International Employment Relations

Review

5. http://www.whatishumanresource.com/human-resource-management

6. https://www.springer.com/in/book/9783642375231

7. https://www.sciencedirect.com/science/article/pii/S0921344918303719

http://www.whatishumanresource.com/human-resource-management

https://www.springer.com/in/book/9783642375231






Innovative Business Practices for Sustainable Entrepreneurship

Dr. Pradip Joshi


Moolji Jaitha College, Jalgaon, Maharashtra.

[email protected]

Abstract:

Dream of every businessmen to become a successful Entrepreneur. When the

businessman is moving on the path of dream, faced various challenges. Such challenges arise

due to business environment such as economical environment, political environment, natural

environment, government policies, etc. To break the circle of challenges and sustain the

business, entrepreneur wants to implement some strategy and innovative business practices.

This paper discusses the common challenges faced by today‟s entrepreneurs. There are various

traditional business practices for sustain the business, but apart from it, this paper focused on

new business practices and strategies for sustain the entrepreneurship. This business practices

is coming up from the day to day business activities. Suggested business practices and strategies

are easily approachable for entrepreneurs. Thus it is convenient for each entrepreneur to sustain

their business.

Keywords: Entrepreneur, challenges, strategy, sustainable, environment.

Introduction

Now a day‘s peoples prefers secured job for livelihood. Before 2-3 decades the picture

had been different. Business was the powerful source of income. Everyone was interested to

developed self business and became a successful entrepreneur.

To become successful entrepreneurs is a dream of every businessman. When

businessman moving further to achieving his goal must be crossed the obstacles arises on the

way of success. There are regular changes made in business environment, like changes in

business cycle, political environment, legal environment, natural environment, economical

entrainment etc. Thus all this changes creates new challenges every time in front of the

entrepreneurs.

After facing all such challenges, entrepreneurs can‘t sustain their business. Growth rate

of such business now is moving downwards day by day. To sustain in this environment they

must be face such challenges.

This paper focused on common challenges arises to entrepreneurs for sustain their business.

It not only discussed the changes but also suggest some new techniques, polices and some

innovative business practices. Such suggestion is helpful to entrepreneurs for sustaining their

business.

Research Objectives

The following of the research objective –

To analyses the problem faces by the entrepreneurs

To criticize the challenges of entrepreneurs

To Provides the remedies and innovative business practices to face such challenges.







Data Collection- This research study is descriptive in nature. Qualitative data is the base of the

research study. Research collect the data through the e-learning sources, as well visit to

government organization like MCED, MIDC, DIC, etc., for the collection of government

schemes for entrepreneurs. Apart from it major part of this paper is secondary data. The publish

information of business entrepreneurs in new papers, magazines, Internet, published articles,

journals are used for it.

Scope of Study- Entrepreneurs faces too many challenges in day to day life for sustaining

their business. Some of them are regular and reoccurring in nature. Thus entrepreneurs have

habit to face it. But few of them are dangerous for sustaining the business practices. They are

very adversely affected on business practices. Thus researcher find out ten challenges criticized

it and taken into study.

Challenges of Entrepreneurs :

In today‘s mega-competitive business world Entrepreneurs face many challenges.

Unfortunately, such challenges lay down the growth graph of entrepreneurs. Face such

challenges first entrepreneurs must be analyze the challenges and the criticized it. Given below

the list of some of the common challenges faced by today‘s entrepreneurs for their sustainability

For sustaining the business entrepreneurs faces various challenges, the following lists the ―Top

10‖ challenges is criticized and which having large brunt of entrepreneurs. Each problem

defines with the reason why it exists and offers solutions. Applicability of it helps to

entrepreneurs for an efficient and successful business.

Challenges of Globalization:

The Challenge: Globalization is the biggest challenges for Entrepreneurs. Due to globalization

and entrepreneurs faces the challenges heightened customer expectations, High cost, Cultural

Rights, Money power, efficient teams of experienced employees, etc.

The Solution- Globalization is need of creative environment. For sustaining the business, it

must be positively accepted by entrepreneurs.

To survive this competitive era of globalization, Indian entrepreneurs need of research.

Entrepreneurs must prepare new and better business policies. By using business tactics

and skills develop own innovative business practices.

Indian entrepreneurs must organize themselves with novel, better and innovative business

tactics and skills. They must accept this global challenge willingly and try their best to

look for business opportunities to establish their prevailing place in this ever-changing

and always challenging open market.

India is developing country, thus entrepreneurs will get new technological advantages

with globalization. New technology improves quality of product and services save cost

and time.

Indian entrepreneurs also take Regional Trading Opportunities.

Balancing Economic and Social Objectives

The Challenge: This is really a big challenge for Indian entrepreneurs. Every entrepreneur must

balance between earning high profit and doing social-welfare activities. Due to competition






profit margin is decreases day by day. By maintaining quality of product and services with in

smaller amount of profit they have to pay of social objective.

The Solution- Balancing economic and social objectives is adversely related with each other.

To grasp one another put down.

Use of Eco friendly inputs of production or input which less harmful for environment and

society.

Entrepreneurs be gauged by looking at the empirical practice of corporate social

responsibility (CSR) reporting.

Entrepreneurs must be adopted Environmental Accounting. It is the business process

which emphasizes the commercial value-added, offering management of financial capital

in combination with natural capital. Practicing environmental accounting assists to

entrepreneurs to identify inefficiencies due to excessive waste discharge and poor use of

inputs within the value chain.

Being the Visionary-

The Challenge: Indian entrepreneurs‘ vision is limited up to own organization goals. This

narrow vision of entrepreneurs could not cover the problem arises due to competition,

globalization etc. Thus they unable to sustain their business practices.

The Solution- Vision of organization is the living path for organization. To move further

smoothly on the success path vision of entrepreneurs must be spacious.

Open minded entrepreneurs should be spacious visional. Entrepreneurs must be aware

with current changes in market and economy. It shows him not only the challenges but

also the opportunities.

Need to create a mindset for accepting new changes. And also have creativity of new

changes must be mixed with old without harming any one.

Researcher angle of entrepreneurs suggest innovative business practices in global

challenges.

Visionary of entrepreneurs must be reached to problems arises in future due to

competition, globalization etc. and made plant for overcome it.

Managing Finance of Business

The challenge: Capital is burning issue for every entrepreneur. For starting new a business or to

achieve the growth of business capital is always doing major role. Strong financial system made

strong organization. sound financial position encouraged to entrepreneurs for taking dynamic

decisions.

The solution: Finance is the heart of every entrepreneur. This problem have no end, it boom

differently with new day.

With traditional ways to earn funding, from traditional bank loans to family and friends

entrepreneur can choose the routes self-funded growth model in which fund are available

from own business activities. Some of the self funded sources are constructive cash

budge, possession of best financial leverage, etc.

Encouraged the employee for invest their saving. Provide them some facilities for the

cost of their investment. Along with the smaller interest rate, provide some facilities like

interest free loan for education of children, marriages of children, housing loan, providing

funds for funeral function, etc.






Use various schemes of central or state government. State or central government

provides various facilities and subsidies for small and large scale business. By fulfillment

of necessary documents such funds are available for the development of business. Some

of the schemes are Multiplier Grants Scheme (MGS), Electronic Development Fund

(EDF) Policy, Market Development Assistance, Rejuvenation, Modernization and

Technology Up gradation of Coir Industry (REMOT), Skill Up gradation & Quality

Improvement And 19 Mahila Coir Yojana, etc.

Change in Workforce Challenges-

The challenge: Today Indian workforce is change. Women workforce is increase now days.

To handle women‘s workforce related problems is the challenges for entrepreneurs. Currently

another one is finding a prospective candidate from the interview is creates a challenge due to

demand of high salary package. Handling of potential employees is the challenge for the

entrepreneurs. Experienced and potential employees demand for high salary. They also compare

the facilities available to them. Participation in management is preferred demand of employee is

another one challenge faced by entrepreneurs.

The solution: Entrepreneurs must know the special Labour Laws for women. They must

provide better working conditions, safe environment and other related essential facilities for

women staff.

Be exclusive. Demand of high salary package offered to multitasking personality

employee. Multitasking employee is capable to handling various types of jobs at same

time. He always self motivated fort job rotations. Provides the various facility to

employee like work life balance, etc.

Regular work for long hours work creates health issues to employees. To overcome it a

healthy work-life balance is essential, and people need to know that management

understands its importance. Encourage and motivate staff to take vacation time, and if

late nights are necessary to cover a project, offer those late arrivals or an extra day off to

compensate and increase job satisfaction.

Adoption of technology change is requirement of competitive world. Every new

technology should be set up for success from the very start, from the first day of work to

the first week and beyond. The job  orientation is just one component of on boarding,

which helps worker and buildup confidence also encouraged them to accept it. Before

changes in technology if worker are familiar with new technology they learn about the

job and how they can contribute and flourish, with ongoing discussions, goals and

opportunities to address questions and issues as they arrive.

Utilization of recognition and rewards systems motivate and encouraged the employee.

Achieve the organizations goal by arranging some cultural activity. Goals and mission of

the organization is passes through the cultural activity of employees. Reward them for

better performance. Also shared with him negative points with them for improvement.

Proper process of Communication and feedback improve the relationship of employee

and employer. Keeping open lines of communication is crucial for employee retention.

Direct communication should feel that management is always with employee for

developing ideas, questions and concerns, and likewise. Transparency of communication

stimulate them






Cost Cutting-

The Challenge - Cost cutting is one of the weapons of entrepreneurs‘ crates a challenge for

them. Cost cutting affects the quality of work, culture of organizations, restricted the freedom of

activity of the organization. To achieve the target of cost cutting creates the limitations of

various task of the organization.

The Solution: Cost cutting is the activity that directly effects the quality of product and

services. Thus entrepreneurs must be handle it skillfully.

Outsourcing the activity is the one of the best solution for cost cutting. Some activities

run in organization is very costly due to maintain proper staff, machinery and so on, such

activity is outsource then it is very cheap, hence minimize the cost of activity. By paying

small cost to such activity organization can focus on their core functions.

Recycle and reissue is the one of the best solution for cost cutting. Any wastage of

industries is recycling it and use this recycle material as a raw material its helps to

minimize the cost of production. Not only the material but other waste of organization is

also try to reused it or recycle it by various ways reused it for different purposes.

Make or buy decision is useful for cost cutting. Some part of production is costly for

production as compare to purchase it from outsider, in such case purchase it from

outsider according to standard required.

Allowing employees to work from home, any convenient place and away from the office

can save costs in many ways. All is need to ensure is get the job done on time and

maintain the proper security. The strategy is to employees work longer hours but fewer

days at the office.

Fully utilization of all the sources is also helps to reduce the cost. Use of both side of

papers. Generally one side used paper is not use in next time. But such one side usable

paper can be use another time by using the back blank side. Its helps to minimize the

cost.

Use of solar energy electricity. Solar electricity is free of cost. only one time investment

is required. Now a day‘s government gives subsidies on solar electricity production. It

helps to minimize the cost of production.

Waste Management

The Challenge: Wastage of materials and other things is unable to control by the entrepreneurs.

Every entrepreneurs faces the problems of waste of materials. It faces not only the waste

material but also waste of other useable things like paper, electricity, etc. In big industries apart

from the material the other things like waste of electricity is also the major waste issue.

The Solution: Waste creates the good test. Proper waste management creates a good test for

entrepreneur. By observing and following some strict rules controls on all types of waste.

Recycle of waste material is goods source of raw materials. Recycle material maintain

the proper as well content of various sub raw materials, standard thus its helps to improve

the quality of product.

Some waste other than materials is also the big challenge for todays entrepreneur. Paper,

files, stationary, boxes, etc, such types of waste is also need to control. One side used

paper is also reused by way of using of back side. Less important part can be or less

valuable data can be print on one side printed page. It‘s helps to reduce cost and reused of

waste.






Use green technology for waste management. Most of the thing we can manage without

any proper things only by way of electronic media like email, social networking, internet

etc.

Minimize the waste of electricity. Most of companies required huge power for

production purpose. The cost of electricity of such company is very high. To control on

it first step is to minimize the waste of electricity. Implement a Switch-off Campaign. A

switch-off campaign at the workplace is a good technique to raise awareness among

employees. Provide information to employees such as switching off lights and energy

consuming appliances before leaving the workplace or when otherwise not necessary.

Use of LED lights in proper direction which gives proper reflection of light.

Government Policies-

The Challenge: Governments forms new rules and regulation for the development of economy.

A new rule, regulations, acts creates challenges to entrepreneurs. Every new act, amendment in

old act is affected on transaction system. Thus it creates limitations on entrepreneurs. Adoption

of new act is not always feasible for entrepreneurs.

The Solution: Formation of new act or amendment of act is made by Government for

developing of new policies and increase the growth of economy. This change some time

affected favorably or sometimes adversely on entrepreneurs.

The Government of India has undertaken several policy s to foster a culture of innovation

and entrepreneurship for Indian Entrepreneurs. With a significant and unique

demographic advantage, India, Government create jobs for the benefit of the country.

The idea of Entrepreneurial ecosystems is booming entrepreneurs. Entrepreneurial

ecosystems business practices deliver two main services: first, they facilitate and support

the kinds of innovative and growth-oriented new firms described above, and second, they

help to identify which ventures work and which don‘t through trial-and-error allocation

of resources. The ultimate result of this business practices is enhanced productivity of the

entire ecosystem.

Develop the business policy or activity which broadly focused and covered Government

policy.

After taking the deep knowledge of new act or new government policy developed the

new policy and business practices for sustain the business.

Marketing Strategy-

The Challenge: Finding right marketing channels is one of the common challenges faced by

every Entrepreneur at least once. There are too many channels are available in market that

confused, which is the most reliable, which will give you more benefits, which will provide

product with target crowd. Loss of creative methods for marketing is another marketing

challenges faced by Entrepreneur. Entrepreneurs are promoting their companies in the traditional

way.

The Solution: Marketing is related to the customers i.e. king of the market. Thus whatever is

decision about the marketing should be taken systematically by the entrepreneur.

Every entrepreneur need core marketing plan. To adopt creating marketing plans and

placing ads, is ads idea of marketing strategy. Thus, Outsource of marketing strategy is

one of the best idea. According to budget, product, target people etc. commercial

organization craft plan that efficiently uses that budget to produce profit.

Selecting only one channel for marketing is oldest method of marketing strategies. Now

a day‘s entrepreneurs should adopt multiple channel strategy for marketing. Customers

demand and preferences are change due to change is dynamic environment.

According to product and target people select one of the following marketing channel for

best business practices Ser Engine Optimization (SEO), Speaking Engagement, Utility






Marketing, Social Media Marketing, Community Building, Digital Marketing, Blogging

and other content marketing channel, etc.

Pay per Click, Pay per sales, Youtube, secretive wholesale, etc are various new

techniques should be adopted by entrepreneurs for sustention.

Time Management

The Challenge: Time management might be the biggest problem faced by entrepreneurs, time is

crucial factor. Once a time pass away never get back. To catch the proper time for proper

activity is the biggest challenge for the entrepreneur.

The Solution: Make time. Like money, time doesn‘t grow on trees, thus everyone take

precaution for doing time management. So need to do smart work for time management.

Create goal lists or to do list. To do list and goal list of lifetime goals is an important part

of time management. Annual goals, of organization are broken down into small goals. It

is broken down into monthly goals, and then broken down into weekly goals and daily

goals. This daily goals, then will be broken down into specific task.

Some time every tasks do not mesh with predefined goals, such mismatch goals eliminate

or delegate them

It is not possible to complete the entire task absolutely. If any tasks do not absolutely

have to be complete, delegate them

Every person should be consistently asked ourselves: ―Is what I‘m doing right now the

absolute best use of my time?‖

Conclusion-

An approach of the entrepreneurs delivers reaps. Negative approach gives negative reaps and

vice versa. Challenges have never ends. It arises one by one. Negative approach regarding the

challenges, entrepreneurs gets negative feedback. It creates limitations on business practices,

creates insecurity about sustaining of the business. Positive approach of accepting challenges

gives positive feedback to entrepreneurs. Every challenge open new business strategy for

entrepreneur, challenges push up entrepreneurs towards new business practices, it increases the

working ability of entrepreneurs, imparting alertness and also provides security for future

dilemma.

References-

1. Agarwal S. P (2006 b); An Innovative Policy Framework for Technology Capacity

Building of SMEs; UNESCAP SIS Workshop Beijing China October.

2. Munshi Porus, "Making Breakthrough Innovation Happen, How Eleven Indians Pulled

off the Impossible", Harpers Collins Publishers, Thomson Press (India) Ltd; New Delhi,

2013.

3. Report of the Working Group on MSME Growth for 12th Five Year Plan (2012- 17)

Ministry of MSME Government of India.

4. Srinivas K T (2013): International Journal of Engineering and Management Research.3

(4) August 2013 ISSN No.: 2250-0758.

5. https://www.thebalancesmb.com/top-business-sustainability-trends-4121259

6. https://www.thebalancesmb.com/29-cost-saving-sustainability-ideas-for-businesses-

4097466

7. https://www.thebalancesmb.com/achieve-zero-waste-in-business-4117249

8. https://www.imperial.ac.uk/business-school/knowledge/finance/how-can-government-

support-entrepreneurs/

9. https://yourbusiness.azcentral.com/globalization-challenges-businesses-22245.html

https://www.thebalancesmb.com/top-business-sustainability-trends-4121259

https://www.thebalancesmb.com/29-cost-saving-sustainability-ideas-for-businesses-4097466

https://www.thebalancesmb.com/29-cost-saving-sustainability-ideas-for-businesses-4097466

https://www.thebalancesmb.com/achieve-zero-waste-in-business-4117249

https://www.imperial.ac.uk/business-school/knowledge/finance/how-can-government-support-entrepreneurs/

https://www.imperial.ac.uk/business-school/knowledge/finance/how-can-government-support-entrepreneurs/

https://yourbusiness.azcentral.com/globalization-challenges-businesses-22245.html






Innovative Entrepreneurship for Sustainable Business Practices

* Dr. Sunil Zagade & ** Ms. Manisha R. Shedge

*Research Guide,

MES Garware College of Commerce, Pune (Maharashtra)

[email protected]

**Research Scholars

MIT-WPU, Pune (Maharashtra)

[email protected]

Abstract :

Every society has experienced many forms of business. As per the need there are

emergence of new business models. Every business model has gone through the life cycle i.e.

introduction, development, growth, maturity & decline, this shows no single business model is

permanent or suitable for long period. As there is change in social structure there are need of

new business models which suits the requirements of the society. In the dynamic environment the

permanent thing is only change. In this background entrepreneurship can be treated as

innovative & creative aspect which recognizes the requirement of the ever changing structure,

triggers & extracts an economic juncture.

An economy experiences entrepreneurship as a tool to reduce unemployment & poverty

which are the biggest hurdles in the development. Every business & society is interdependent for

survival & growth. Nothing can be alive in vacuum so business models should be incorporated

which will lead to sustainable development.

Changing structure of society leads to many problems major reasons are nuclear

families, migration of working population to cities, increasing need of old age homes. Working

women face problems in maintaining balance in their career & family. At early motherhood

many working women unwillingly take break in their career which is loss for the economy. Old

age homes are increasing but they are fail in providing emotional support at last period of lives.

Working population is migrated to cities. Educated population is more interested in the white-

collar jobs than the farming activity. Very few people see farming as their career but truth is that

farming can not be neglected as it fulfill the first basic need of food. This research paper will try

to discuss some business models which can be solution to these problems.

Keywords : Dynamic, entrepreneurship,agrochemicals,nuclear family, motherhood, working

population

Introduction : The fundamental questions are raised whenever to concept entrepreneurship is

discussed i.e. what is the meaning of entrepreneurship? To whom we can call entrepreneur?

Objectives :

This research paper try to focus the effects of nuclear families, migration of working

population to cities, increasing need of old age homes. Through this research papers some

innovative ideas are discussed for sustainable business practices.

Hypothesis/Research Problem:

Changing structure of society leads to many problems

Innovative entrepreneurship can provide sustainable business practices.









Data is collected through primary & secondary sources. In primary source interviews are

conducted of 50 working women who took bleak in their carrier in motherhood. Interviews

young 50 men & women are conducted who are migrated from villages to the cities. Interviews

of 50 senior citizens staying in old age homes are conducted. Interviews of 50 farmers staying in

different villages of Maharashtra are conducted Observation method: researcher observed

innovative business practices for sustainable development in Singapore. In secondary source

literature is reviewed. Various research papers, books, journals, news papers& films are

reviewed.

Findings/Observations:

Effects of migration of working population to cities & agriculture:

Due to socio economic , political, environmental factors people migrate for better

opportunities. Migration can be treated as natural process of human beings. In the first census of

1881 migration was recorded based on the birth place of citizen. The major reasons of migration

are urbanization & employment. Increasing rate of urbanization resulted into vast difference in

the wage rates of urban area & rural area. Increased wage rates in cities attracted rural youth in

the cities. The failure of rural part in providing employment opportunities is again the major

reason behind migration to cities. All this resulted into the decrease in the working population in

the villages. Due to this agriculture is facing a serious problem of less labor supply. The

maximum number of farmers are not taking the formal education of agriculture. To meet the

demand of market chemicals, fertilizer, pesticides are used without taking complete knowledge

of it. This inappropriate application has started showing adverse effects on human body &

environment. Due to excessive use of agrochemicals water is contaminated at few places.

To avoid these ill effects agriculture has to be given equal status of corporates. Motivation for

chemical free farming can be effective tool. In cities societies can start group farming or

community farming through this societies can recycle their waste in their own society. The farm

produced can sold. Group Farming can help to solve problem by managing waste, supply of

chemical free farm produce. In Singapore Eco-Community Garden is working at Tampines. This

community produce organic vegetables & sale it at reasonable rate. This type activities can have

sustainable development by applying commercial angle.

Increasing need of old age homes :

Demand of old age homes are increasing because of reasons like migration of children,

misbehavior of children etc. It is observed that people are saving for their old age, they are

financially sound but they are dependent after certain age. As the children are not staying with

them they need to choose old age homes for the last part of their lives. Now a days old age

homes are providing the required facilities but they fail to provide emotional support at this age.

The solution to this can be relatives can start small companies or joint ventures for running old

age homes. Here relatives will be staying at their old age. Since the beneficiaries are known to

each other they will be sharing emotional bonds. We can refer the community living of Israel,

where people were living for helping each other, importance was given to the group. This

concept can be modified in the commercial way. If the persons living at old age homes are close

relatives it will be a joyous stay. Children who are not able to stay with their parents due to any

reason can create a company, use proper management skill can make it happen. This will be win-






win situation for parents as well as for children. Both will be happy. Young generation will treat

this as sustainable business practice through which emotional support can be provided to parents.

The current study revealed poor awareness regarding the harmful effects of agrochemicals

among the farmers. The practice of storing, mixing and applying agrochemicals without

personal protection and unsafe disposal of pesticide containers appears to be widely prevalent

in the study villages. The farmers mainly depend on the information from the shop owner

regarding the type and amount of agrochemicals to be used. The current study revealed poor

awareness regarding the harmful effects of agrochemicals among the farmers. The practice of

storing, mixing and applying agrochemicals without personal protection and unsafe

disposal of pesticide containers appears to be widely prevalent in the study villages. The farmers

mainly depend on the information from the shop owner regarding the type and amount of

agrochemicals to be used. The current study revealed poor awareness regarding the harmful

effects of agrochemicals among the farmers. The practice of storing, mixing and applying

agrochemicals without personal protection and unsafe disposal of pesticide containers appears

to be widely prevalent in the study villages. The farmers mainly depend on the information from

the shop owner regarding the type and amount of agrochemicals to be used.

Imbalance between career & family of working women:

Education increases the confidence as well as expectations of a person. Women are

showing their existence at respectable positions,powerful corporates as well as at small

designations. This has given financial independence & increase in the national income. This is a

very beautiful journey but some of the times the speed breakers changes the destinations. It is

been seen that 25-30% of the working women unwillingly have to quit their carriersto take the

responsibilities of motherhood. The major reasons behind this are nuclear families, absence of

motherhood friendly policies of corporates. Due to nuclear family structure the major problem

faced is who will take care of child? Absence of affordable, hygienic &good quality of day care

centers is again the biggest concern for the parents.

Women working in the agriculture & unorganized sectors are facing same problems but

sue to weak financial conditions they have to fight with situation very tuff. Almost

Women working in the unorganized sectors such as agriculture and labour remain even

further aloof from maternity healthcare or employment benefits. Almost 70 percent of the

farmers in India are women though they receive no employment benefits from ―farmers‘

schemes‖ that the government launches for the betterment of those employed by the agricultural

sector.

If the educated women are quitting their jobs it is a huge loss to the nation. To avoid this

new business idea has to be implemented. A company who is providing child care facilities at the

work place has to be formed.

Special Small Help Groups should be formed who can provide day care facilities to unorganized

labours& women working in the agriculture sector.

Well, moms at KSP feel that becoming a mother is not the only reason why a growing

number of educated urban women are opting out of their professional lives to become a full time

mom. It has to do instead with a severe lack of mother and child-friendly policies by corporates,

a regressive mindset by society that makes a back to office transition difficult, and a failure to aid

an achievable work- life balance for new moms.

https://www.news18.com/news/immersive/women-farmers-of-india.html

http://www.kidsstoppress.com/article-individual/9701/






Why do we feel so?

For new moms:

Current maternity leave structure followed by Indian companies allows 12 weeks of paid

leave, which can be extended to another 4 weeks in case of any complications. But in the bargain

in order to spend more time with her baby after the birth, mothers end up working till the last

week of their due dates placing a lot of stress on a new mom.

Even if a maternity leave period starts after the child is born, 16 weeks is hardly enough

for a new mom to join work. Doctors advise that a baby needs to be completely breastfed during

the first 6 months of their lives, a new mom getting back to work often finds it difficult to pump,

store and transport milk from her office to her baby which leads moms to wean babies off much

earlier than they would like to. Read our Guide to feeding & storing breast milk for working

moms in India to know how moms can continue to breastfeed the baby even when they go back

to work.

The biggest concern for women in nuclear families is who will take care of the baby

when the mother goes back to work? Lack of good quality and affordable day care facilities in

India is a huge setback. In fact, most families can't even begin to afford the exorbitant prices

demanded by existing day care facilities.

Similarly, very few employers provide flexible working hours or crèche facilities, so

many working mums end up quitting their jobs just to take care of their children.

For Moms Coming Back Post Maternity Leave: Most moms who get back to work feel that

their responsibilities and their job role has considerably diminished, since their is a popular

notion that she is either preoccupied or can't work long hours.

As Indian women we are well aware that society places a much higher emphasis on men being

the traditional breadwinners. A woman's job is to bring up children and handle stress associated

only within the home. When this attitude is changing world over, KSP asks why not in India?

Image Source: memegenerator.net

Another emerging statistic from the 2013 World Bank study, shows that only 27% of the

female population aged over 15 is working in India. We rank as the country with the lowest

participation of women in the workforce compared to Brazil, Russia, China and South Africa.

What Can Moms-to-be Expect From India Inc?

International corporations like Apple and Facebook have taken aggressive steps towards

retaining women in their workforce by paying for egg freezing options.

Some Indian companies too have proactively taken measures to retain their female workforce by

launching various initiatives that will help moms- to- be pursue their career goals while raising a

family. Here are some initatives we really appreciate!

The woman workforce in India has experienced a decline in the past decade. According

to a Bloomberg report, the women in the workforce have reduced from 36 percent in the last

decade to 24 percent. In 2017, World Bank ranked India among the worst countries in terms of

employing women. Indian ranked 120th among 131 countries, closely followed by Saudi Arabia.

According to 2015 findings by management consultant firm McKinsey and Co., an increase in

women in the work force can add up to Rs 700,000 crore to India' GDP. In 2017, an Indiaspend

study found that only 27 percent of the women in Indian were employed.

Women working in the unorganized sectors such as agriculture and labour remain even further



http://www.kidsstoppress.com/2012/06/guide-to-feeding-storing-breast-milk-for-working-moms-in-india

http://www.kidsstoppress.com/2012/06/guide-to-feeding-storing-breast-milk-for-working-moms-in-india



https://www.bloomberg.com/news/articles/2018-06-26/india-s-maternity-law-may-cost-1-8-million-women-their-jobs

http://www.indiaspend.com/cover-story/how-to-get-indias-women-working-first-let-them-out-of-the-house-74364

http://www.indiaspend.com/cover-story/how-to-get-indias-women-working-first-let-them-out-of-the-house-74364






aloof from maternity healthcare or employment benefits. Almost 70 percent of the farmers in

India are women though they receive no employment benefits from ―farmers‘ schemes‖ that the

government launches for the betterment of those employed by the agricultural sector.

A Helping hand

Maternity Benefit (Amendment) Act, notified by the President‘s consent last month, has

been hailed for making it easier for women to continue working after becoming a mother

Who pays for the maternity leave

France, Australia, Canada and Scandinavian countries use public funds to pay for

maternity leave.

UK and Singapore, both the employer and public funds pay for the maternity leave.

Employees contribute to the maternity leave in South Africa and Brazil.

Like in China, Indian companies will have to bear the cost of the salary during the maternity

leave

Changes to Indian Maternity Act

Leave period increased from 12 to 26 weeks for the first two children. After two children, the

period is 12 weeks

12 weeks leave to be available to mothers adopting a child below the age of three months

Crèche facilities in places with more than 50 employees

Options to work from home to be extended

Majority of the old age home residents were aged between 60-69 years which is similar to the

Conclusions:

Right entrepreneurship skills are required to meet the ever increasing wants of consumers

& ever changing lifestyles as well as social structure. Consumer demands can not be fulfilled

completely without invention & innovation in the business.

The current study revealed poor awareness regarding the harmful effects of agrochemicals

among the farmers. The practice of storing, mixing and applying agrochemicals without

personal protection and unsafe disposal of pesticide containers appears to be widely prevalent

in the study villages. The farmers mainly depend on the information from the shop owner

https://www.news18.com/news/immersive/women-farmers-of-india.html






regarding the type and amount of agrochemicals to be used.The current study revealed poor

awareness regarding the harmful effects of agrochemicals among the farmers. The practice of

storing, mixing and applying agrochemicals without personal protection and unsafe

disposal of pesticide containers appears to be widely prevalent in the study villages. The farmers

mainly depend on the information from the shop owner regarding the type and amount of

agrochemicals to be used.

References & Notes:

1. Socio Economic Effects of migration in India : International Journal of Humanities and

Social Science Invention

2. https://www.news18.com/news/business/mandatory-maternity-benefits-may-cost-1-8-

million-women-in-india-their-jobs-1792487.html

3. https://www.hindustantimes.com/india-news/for-women-corporates-return-is-tough-after-

long-maternity-break/story-Qz3rfhUQpeQ28bwsKXUerN.html

4. timesofindia

5. Health and Environment Linkage Initiative, WHO. Toxic hazards.[Internet] 2012

[cited on 2012 April 26]. Available from:

6. http://www.who.int/heli/risks/toxics/chemicals/en

7. Health and Environment Linkage Initiative, WHO. Toxic hazards.[Internet] 2012

[cited on 2012 April 26]. Available from:

8. http://www.who.int/heli/risks/toxics/chemicals/en

9. Agrawal A, Pandey RS, Sharma B (2010) Water pollution with special reference to

pesticide con-

10. tamination in India. J Water Res Prot 2(5):432–448

11. Aktar W, Sengupta D, Chowdhury A (2009) Impact of pesticides use in agriculture: their

benefits

12. and hazards. InterdisciplToxicol 2:1–12

13. Anon (1993) The environmental effects of pesticide drift, Peterborough: English Nature.

9–17.

14. Benefits of pesticides and crop protection chemicals. In: Crop life America. Available

from

15. http://www.croplifeamerica.org/crop-protection/benefi

16. Pesticides. In: GRACE Communications Foundation. Available from

17. http://www.sustainabletable.

18. org/263/pesticides .

19. Tables, figure captions and figures (if any)

20. The current study revealed poor awareness regarding the harmful effects of

agrochemicals among the

21. farmers. The practice of storing, mixing and applying agrochemicals without

personal protection and unsafe

22. disposal of pesticide containers appears to be widely prevalent in the study villages. The

farmers mainly depend

23. on the information from the shop owner regarding the type and amount of agrochemicals

to be used.

https://www.news18.com/news/business/mandatory-maternity-benefits-may-cost-1-8-million-women-in-india-their-jobs-1792487.html

https://www.news18.com/news/business/mandatory-maternity-benefits-may-cost-1-8-million-women-in-india-their-jobs-1792487.html

https://www.hindustantimes.com/india-news/for-women-corporates-return-is-tough-after-long-maternity-break/story-Qz3rfhUQpeQ28bwsKXUerN.html

https://www.hindustantimes.com/india-news/for-women-corporates-return-is-tough-after-long-maternity-break/story-Qz3rfhUQpeQ28bwsKXUerN.html






Innovative Entrepreneurship for Sustainable Business Practices for

Development of Eco-Friendly Market for Electric Vehicle (EV) in India

Surojit Saha

Research Scholar,

MES Garware College of Commerce, Pune (Maharashtra)

[email protected]

Abstract:

The capability to rapidly and successfully move into new business models is an important

source of sustainable competitive advantage and a key leverage to improve the sustainability

performance of organizations.

In recent decades we can see around the business that the things are changing like never

before due to technological advancement, change in economy and political influences. It has

been also observed in two decades that there is a major shift in consumers taste and preferences.

In current market scenario the studies show that consumers are now health and environment

conscious. Perhaps this is the reason, that the concept of green product and green marketing are

taking place slowly and steadily in the market. It can be also as an opportunity for those

companies, who believe in innovation and redesigning their products and services in ecological

manner.

With the advancement in 21st Century, there has been increase in usage of Oil and Gas

leading to problems like Global Warming, climate change, shortage of crude oil, etc. Due to

these reasons Automobile Companies have started doing research for making Hybrid

Technology usable into the daily life. The Paper will discuss the technologies used in the making

of eco-friendly electric vehicles (EV) and development of EV market. Our Paper is based on the

explanation of such technologies, their function, drawback of this technology, efficiency of EV

and the fuels and raw materials used in the electric vehicles. Paper concludes on the advantages

and dis-advantages of development of EV market and how this technology will take over the

world in future and would become the alternative for Petrol and Diesel Cars.

Introduction:

Change is a very common phenomenon which can be seen anywhere whether it is

business, economics or anything. It occurs some times in cyclic way or may be in a random

order. In the same way, when we take a look towards consumers, we find that their needs, wants,

demands, test and preferences are also changing. This change is not specific to a particular

product category but it is in every product segment. There may be several reasons for that such

as increasing consumer household income, change in life style and increasing consumer

awareness etc. Among these changes market also need to adopt some changes for its survival

and for that there is a need of new product development concept, product redesign, process

design, changes in marketing policies etc. A successful business organization always focuses on

these changes and implements it into its operations within time. Changing consumer behavior in

the market generates a new market which may be seen as a challenge and opportunity both

by many organizations. Those organizations that are capable enough to adopt changes and can

fulfill the desire of their customers, they take it as an opportunity but there are several

organizations who failed to adopt these changes many times. In recent scenario it has been seen

that the consumer behavior is taking a shift towards the eco-friendly product.







Driven by powerful environmental, macroeconomic and technological factors, the global

transportation sector is undergoing a historical period of transition. New business models like

Mobility as a Service and the increasing economic viability of technologies like Electric

Vehicles (EVs) will soon reshape how we travel.

According to research by the International Energy Agency (IEA), the global EV has

increased from just five thousand vehicles in 2008 to more than two million by 2016. This has

been driven by key underlying trends including mounting environmental concerns, decreasing

Lithium-ion battery prices and increasing availability of charging infrastructure. All this has led

experts to predict a rapid growth in EV adoption in the next decade – current year on year growth

projections range from 27% to 33% until 2030. By many metrics, China is leading the world‘s

EV revolution. China‘s share of the global EV grew to 32% in 2016, overtaking the US for the

first time. Its share was only 11% in 2011. Private investment is pouring into China from major

auto manufacturers like Daimler, BYD, Honda, Toyota and Ford, all of whom are actively

exploring how to capitalize on China‘s expanding market. Several lessons can be drawn from the

China story, including its recent transition away from subsidies towards a dual-credit scheme that

is expected to be launched in 2019.

In contrast, the India EV story has been underwhelming so far. Absence of charging

infrastructure, inconsistent government support and early product failures have all resulted in

stagnant growth in recent years. However, 2017 may have marked a turning point in India‘s EV

journey - a clear and ambitious goal of 100% EV adoption by 2030 has been laid out by the

government, and the country‘s leading government think tank, NITI Aayog, has set the contours

for a comprehensive, long-term mobility strategy. This has already led to concrete steps being

taken to help spur EV growth. Energy Efficiency Services Limited (EESL) launched a tender for

10,000 4-wheeler EVs in 2017, the world‘s largest single EV procurement to date. In the 3-

wheeler and bus segments, the government is looking to introduce battery swapping to decouple

battery costs from vehicle costs and ease the re-charging process. Standards for the first

generation of public EV chargers have been set, and a second generation is in the pipeline. The






strategy for EV growth in India revolves around two core assumptions – that demand

aggregation from the likes of EESL can help quickly grow scale, and that the battery swapping

model can help reduce upfront EV costs and improve the charging experience.

The paper is trying to focus on how emerging eco-friendly EV markets are an opportunity

for green entrepreneur and sustainable development in India. The paper is segmented in various

parts such as theoretical background of the study i.e. literature review, identification of various

parameters on the basis of the literature review, methodology, development of the conceptual

model, discussion and findings, managerial implication, conclusion, contribution of the study,

limitations and future research scope.

indian ev market and key trends :

India has emerged as one of the key automotive markets globally with a dominant

position across several vehicle segments. The country is actively exploring cost-effective and

viable solutions to the problem of poor air quality in a number of its cities as well as reducing its

excessive dependence on oil imports. The EV industry is at a nascent stage in India and is

dominated by e-rickshaws and two-wheelers (2Ws). However, the market has the potential to

grow significantly in the coming years. A varied pace of electrification is expected across

different vehicle segments driven by specific user groups in India. The growth will depend on

multiple factors that will be crucial in making the market ready for electrification of mobility in

India. 2Ws is the largest segment of the Indian automotive industry representing ~80% of Indian

automotive sales in FY17 (17.6 million units). Owing to the vastness of this segment, it has a

huge potential to promote emission-free mobility in the country. The e2W segment has already

demonstrated its potential in 2011–12, when e2Ws clocked sales of 90,000 units. However, the

sales saw a dip in the following years with a withdrawal of subsidies by the Ministry of New &

Renewable Energy (MNRE), with sales of only 25,000 units in 2016. However, development of

an end-to-end ecosystem (right from in-house manufacturing to setting up the charging

infrastructure) by emerging start-ups is likely to accelerate the adoption of e2Ws.

India has emerged as one of the biggest 3W markets, with total sales of 0.6 million units

in FY17. 3Ws are widely used in India as an affordable means of public and goods transportation

over short to medium distances. The segment is also witnessing an influx of e-rickshaws, with

some estimates putting their numbers around 1 million. India is the fifth largest car market in the

world with over 3.0 million cars sold in FY17. The market offers a significant growth potential

given the car density stands at 34 cars per 1,000 individuals. Car sharing and a shift from vehicle

ownership to access are likely to significantly push EV penetration, as utilization of a shared

vehicle is estimated at 25%—30% as compared to only 4%—5% of a private use vehicle.

Ev Manufacturing Facility In India:

Few EV component manufacturers who are involved in the manufacture of chargers and

controllers for electric vehicles were interviewed. They are also working on developing

specialized battery packs and storage solutions based on the end usage of the vehicle. For

instance they have separate battery recommendations for passenger rickshaws and small load

autos, cabs vs private cars etc.

They mentioned that today almost all the electrical modules, motors, controllers and

batteries are imported from China, while the structural components connected to the chassis such

as steering, brakes, suspension, air conditioning are generally sourced locally by the auto makers.






The primary reason for this is because there is an indigenous supply chain of conventional auto

component makers who can supply structural components for EV at competitive prices. On the

other hand technical competency is lacking among Indian manufacturers for production of

Lithium ion batteries and other electronic and electrical componentsin India. Chinese suppliers

are at least 5 years ahead in technology, and offer products at a predatory price. Further they are

incentivised by the Chinese government with tax breaks and subsidies on exports. Unless there is

a huge demand, new entrants cannot achieve the economies of scale that would be required to

compete against the more established Chinese players. Further, there are no major entry barriers

on import and trading of these components,so it is cheaper to import from China than to

manufacture them in India. All these factors make it unattractive for the Indian auto component

manufacturers to invest in domestic manufacturing, when they can actually import goods at a

reasonable cost to meet the current market demand.

Take for instance the specific case of energy storage batteries used in EVs. The transition

to EVs would require a battery capacity of about 400 GWh (gigawatt hours) each year, which, as

per research conducted by Council on Energy, Environment and Water (CEEW), is equivalent to

increasing the current global EV battery production by a factor of four, just to cater to the Indian

EV market. Currently China is in the lead position followed by the US with installed capacities

of 125 GWh and 35 GWh respectively. Germany is leading the EU nations and plans to have 34

GWh capacity by 2019. [8] Currently 100% of Li-ion batteries are imported. It was for the first

time in 2016 that Central Electrochemical Research Institute (CECRI), Karaikudi in Tamil Nadu,

set up the first indigenous Li-ion fabrication facility that has applications in defence, solar

powered devices, railways and other high end usages. EVs will create a huge demand for Li-ion

batteries, and this is an ideal opportunity for the domestic auto component manufacturing

industry to transition into.

Manufacture of lithium-ion batteries, which are the primary source of energy used to

propel electric vehicles require critical minerals such as lithium, cobalt, graphite and phosphate.

The resource endowment of the most critical component i.e. Lithium, is limited to only nine

countries and 95% of global lithium production comes from Argentina, Australia, Chile and

China. The recent demand surge in the electric mobility market has already resulted in a twofold

increase in lithium prices from $4,390 per tonne (in 2013) to $9,100 per tonne currently. It is

estimated that India would require about 40,000 tonnes of lithium to manufacture EV batteries in

2030, considerably higher than the current annual global lithium production of 32,000 tonnes. To

meet India‘s demands amid a global surge in electric vehicle demand, the entire mineral supply

chain needs to be overhauled and expanded. However, India has missed many such opportunities

to be integrated in the global value chain in the past. During the early waxing phase of solar PV

and electronics industries, there was a lack of suitable policy support by the government for solar

cells and wafers and electronics manufacturing. This led to an ever-increasing import bill for

electronics products, currently the highest after oil and gold. The annual EV battery market is

expected to be around $30-55 billion and India cannot afford to fulfil the demand solely through

imports. Hence there is a need to formulate policies incentivising domestic manufacturing

companies to create a vibrant battery manufacturing, research and development ecosystem, and

mining companies to simultaneously invest in overseas lithium mining assets.

The same view was also reflected in a recent article published in Auto News magazine,

by the president of Automotive Component Manufacturers Association of India (ACMA), Mr.






Rattan Kapur. He expressed cautious optimism over the government‘s plans to switch over from

ICE vehicles to EV by 2030. Unless government policies and regulations create a conducive

environment, it would be difficult for the component manufacturers to face the dual challenges

of graduating from B-IV to B-VI and gear up for supporting the electric mobility wave in India.

Component manufacturers also highlighted that lack of industrial standards was also

compromising public safety and leading to poorly built and unstable / unfit vehicles plying the

road. Last year, the GOI exempted E-rickshaws and E-carts from the regulatory process

governing other motor vehicles, thereby allowing them to ply on roads anywhere in the nation .

Lack of standards leads to poor construction quality and substandard vehicles which are cheap,

but at the same time is a safety hazard. According to a recent news article there were 380 deaths

due to e-rickshaws, with maximum 71 deaths reported from Telangana, followed by 66 in UP, 56

in Haryana, 47 in Maharashtra and 20 in Delhi.

Charging Infrastructure:

The growth dependency of EV adoption and charging stations is often described as the

chicken and egg problem, i.e., the need for ample EV penetration as a prerequisite for EV

charging infrastructure deployment vs. the need for abundant EV charging infrastructure as a

prerequisite for EV adoption. However, recent studies confirm that availability and accessibility

of reliable public charging infrastructure must precede dense EV penetration. In the absence of a

robust charging infrastructure, EV fleet growth will also be difficult to sustain, as can be seen in

the example of California. The region of California leads the US EV adoption, with 269,000

sales during 2011–16, representing nearly 48% of total EVs across the US. However, charging

infrastructure has not kept pace with the EV growth, with only 12,000 public chargers available

in California

We are already witnessing a divergence of business models for operators of charging

infrastructure aimed at the users of private EVs. As of now, India has about 222 charging stations

(353 charger units). Recently, EESL floated a tender for 4,500 chargers for installation in Delhi

NCR. However, many installations are taking place in the country at a pilot level, offering free

charging services to consumers.

Over the last year, the Indian Government has held extensive discussions with many

companies, both domestic and foreign, for setting up a charging infrastructure. EESL has floated

a tender of 2,000 electric vehicle chargers for the second phase of its EV programme and is

looking to float additional tenders during the course of the year.

Despite the progress, the lack of standardization remains a key challenge. Going forward,

in order to meet the rising demand of charging stations the Government will have to quickly

facilitate standardization of charging infrastructure and incentivize R&D for advanced charging

technologies.

Battery Storage Technology:

As EVs gain traction, there is an increased focus on finding and adopting an optimal

battery solution that provides the highest energy density for maximum range. Lithium-ion

batteries are currently used in most of today‘s electric cars, and it is likely that they will remain

dominant in the coming future. The growth in the production capacity is likely to be led by

China, with 62% of the Li-ion mass production set to be in China by 2020. EVs are likely to

account for around 40% of the total battery production (in GWh) in 2020, and the requirement is






expected to further grow up to almost 60% by 2024. According to BNEF, the annual demand for

Li-ion batteries from EVs is expected to reach around 1,293 GWh in 2030, representing an

annual growth of 32.49% from the 2015 levels.

In order to achieve significant electrification of automobiles by 2030 and beyond, India

needs a robust and competitive battery manufacturing supply chain. As per a report by NITI

Aayog and Rocky Mountain Institute, India would require to set up a minimum of 20

Gigafactories to produce batteries at an investment of US$100 billion for meeting India‘s EV

targets. However, lack of clear long-term policies, technology uncertainty, low mineral reserves

and absence of major EV battery producers are preventing investments in battery storage

technologies in India. As EVs gain traction in India, OEMs are looking to secure access to Li-ion

reserves and R&D capabilities to manufacture batteries indigenously. Going forward, a number

of foreign collaborations, partnerships and consortiums between OEMs, battery producers and

suppliers could be expected. While the policy and regulatory framework for battery storage

system does not exist at the Central Government level; however, State Governments of Uttar

Pradesh, Karnataka and Telangana have, in particular, proposed some policies for battery storage

in their EV policy draft.

Conclusion and Recommendation:

On the basis of various explanations in this paper we can understand various

opportunities for the eco-friendly entrepreneurs due to emergence of eco-friendly market.

Changing consumer behavior towards eco-friendly market is another significant and positive

indicator for the entrepreneurs. The entrepreneurs are not only important just for the fulfilling the

need of consumers but they mean more than it. The entrepreneurs have the responsibility towards

achievements of social objectives, economic objectives, environmental objective and sustainable

objectives. The concept of eco-friendly entrepreneurs is not different, the one who more innovate

green product or services more he become a successful eco-friendly entrepreneurs. Although it is

difficult to innovate eco-friendly products many times as it is difficult to provide substitutes for

various raw materials, this is a kind of challenge which a Eco-friendly entrepreneur can handle.

Our analysis leads us to 3 major conclusions about the future of EV adoption and development of

EV market in India.

1. If both swapping and demand aggregation work as per plan, India may reach an EV sales

volume of more than 1.6 Million vehicles in FY23.

2. 2. The target set by the government is ambitious and expected to be missed due to the

industry and the consumer not being ready to adopt rapidly, given the relative economics

of EV vs. ICE

3. If the government‘s 2030 objectives are met, India could save INR 8 lakh Cr (a 20%

saving relative to a BAU scenario) in imports of petrol and diesel for the automotive

industry over the period, after considering some level of domestic manufacturing of

batteries. Thus, shifting to EVs will not necessarily reduce our import dependency.

However, the impact on the environment will be significant.

References:

1. WHO, ―WHO Global Urban Ambient Air Pollution Database (update 2016),‖ WHO,

[Online]. Available:

2. http://www.who.int/phe/health_topics/outdoorair/databases/cities/en.






3. S. K. G. R. &. P. P. Guttikunda, ―Nature of air pollution, emission sources, and

management in the Indian cities.,‖ Atmospheric Environment, vol. 95, no. 0, pp. 501-

510, 2014.

4. S. Dhar and M. a. S. P. Pathak, ―Electric vehicles and India's low carbon passenger

transport: a long-term co-benefits assessment.,‖ Journal of Cleaner Production, 2016.

5. PTI, ―India aims to become 100% e-vehicle nation by 2030: Piyush Goyal,‖ Economic

6. Times, 16 March 2016. [Online]. Available:

7. http://economictimes.indiatimes.com/articleshow/51551706.cms?utm_source=conten

8. tofinterest&utm_medium=text&utm_campaign=cppst.

9. S. D. Charles O. P. Marpaung, ―Market Mapping – An Introduction,‖ in Second Capacity

10. Building Workshop – Asia and CIS, Bangkok, Thailand.






Green Industry for Sustainable Development

Prof. Mrs. Lata Vitkar


Sangmeshwar College, Solapur, Maharashtra

[email protected]

Abstract:-

Green Industrial policy is strategic government policy that attempts to accelerate the

development & growth of green industries to transition towards a low- carbon economy. It

strives for more sustainable pathway of growth, by undertaking green public investment. Green

industry initiative creates awareness, knowledge & capacities. Green Industry is becoming

increasingly evident for effective & efficient use of modes of production & more efficient use of

resources. This is especially so in the developing world ,which has the unique opportunity of

avoiding the environmental pitfalls that the developed world has fallen into in the course of its

industrials development .it can use past experience to build a Green Industrial infrastructure at

the very outset.

The concept of Green Industry include the things like sustainably produced inputs,

minimal use of virgin raw materials, Production process that minimse the use of water, energy &

materials ,production processes free from harmful toxins reuse& recycling of solid waste

streams ,substantial reductions in emissions or effluents of harmful greenhouse gases &

pollutants & product that are built for durability .

This paper helps to enhance the knowledge regarding Green Industry for Sustainable

Development.

Key words-Green Industry, sustainable development, energy, infrastructure

Introduction-:

While the concept of SD has been ensconced in policy circles for decades now,

operationalizing this concept has proven to be a challenging task. The recent emergence of

concepts such as Green Economy, Green Industry and Green Growth are reflective of the need

for strategies or roadmaps to help achieve SD and shift current consumption and production

patterns on to paths that are more sustainable in the long run, while keeping resource constraints

and carrying capacity limits in mind.

India, one of the mega diverse countries in terms of its biodiversity, is under threat today. With

only 2.4 percent of the world‘s land area, India

accounts for 7-8 per cent of the world‘s plant and

animals spices, ecosystem and genetic resource and

links traditional conversion to sustainable future.

Today‘s conventional agriculture system may give

short gain in production, but in most cases it is not

sustainable in long term,nor does it guarantee safe

food. In particular, conventional production

methods are inadequate for disadvantage forming

communities and are thus not a sustainable solution

for many of those who face a food shortage. Organic/green product has the potential to produce







sufficient food of high quality. Green marketing is also deals closely with issue of industrial

ecology and environment sustainable such as extended producers of liability, life-cycle analysis,

material use, resource flows, and eco efficiency. Generally terms like phosphate free, recyclable,

ozone friendly and environmental friendly are some of the concepts that the consumers most

often are associate with green product or organic product.

Objectives Of The Research Study:

The major objectives of the present research study are as follows.

1. To study the theoretical issues relating to the concept of a green industry.

2. To examine the nature and extent of a green industry achieved by the India;

3. To suggest the appropriate suggestions for attaining green industry in respect to India.

Methodology

a) Source of data

This study is based on secondary data.

b) Collection of data

The data has been collected from various published books, magazines, articles

and websites.

.c) Period of study

This study is conducted in the financial year 2000 - 2016

e) Statistical tools

Descriptive analysis has been used to describe the collected data.

Hypothesis Of The Research Study

The hypothesis of the present research study is as follows:

1. India is not rigorous and honest in achieving a green industry. (H0)

Concept Of Green Industry And Research Problem

Today we use the conventional macro economics indicators of GDP to understanding overall

economic position of a country, but GDP does not properly account for social and environmental

cost and benefit. It is also difficult to achieve sustainable decision-making. Therefore, the Green

Industry is a new approach arose fromsummit of Rio de Janeiro, 2012 (Rio+20) to celebrate the

20th anniversary of the first Rio Earth Summit in 1992.The UNEP defines a green economy as

one that results in ―improved human well-being and social equity, whilesignificantly reducing

environmental risks and ecological scarcities‖ (UNEP, 2011, P-16). In its simplestexpression, a

green economy is low carbon, resource efficient and socially inclusive industry. In a

greenindustry, growth in income and employment should be driven by public and private

investments, that reducecarbon emissions and pollution, enhance energy and resource efficiency

and prevent the loss of biodiversity andecosystem services. The green industry approach is an

effort to focus sustainable development and povertyreduction effort on transforming economic

activities and economies.India can make green growth a reality by putting in place strategies to

reduce environmental degradationat the minimal cost of 0.03% to 0.05% of average annual GDP

growth rate. According to a New World Bank Report, 2016, this will allow India to maintain a

high pace of economic growth without jeopardizing futureenvironmental sustainability. The

annual cost of environmental degradation in India, amounts to about Rs. 4.75trillion ($ 80

billion) equivalent to 6.7% of GDP. It focuses on particle pollution from the burning of fossil






fuels, which has serious health consequences amounting to up to 4% of India‟s GDP along with

losses due to lack of access to clean water supply, sanitation and hygiene and natural resource

depletion. Of this, the impacts of outdoor air pollution account for the highest share at 1.7%

followed by cost of indoor air pollution at 1.3%. The higher costs for outdoor/indoor air

pollution are primarily driven by an elevated exposure of the young and productive urban

population to particulate matter pollution, that results in a substantial cardio pulmonary

andchronic obstructive pulmonary disease mortality load among adults. Further a significant

portion of diseases caused by poor water supply, sanitation and hygiene is borne by children

under 5. Above 23% of child mortality in the country could be attributed to environmental

degradation. Also according to World Bank Report, 2016 ―Diagnostic Assessment of select

Environmental Challenges in India‖ is green growth affordable to India, 10 % particulate

emission reduction by 2030 will lower GDP modestly, representing a loss of merely 0.3% to the

GDP compared to business as usual, on the other hand, a 30% particulate emission reduction

lowers GDP about $ 97 billion, or 0.7% with very little impact on the growth rate. There are

significant health benefits, the savings from reduced health damage range from $ 105 billion in

the 30% case to $ 24 billion with a 10% reduction. This, to a large extent, compensates for the

projected GDP loss. The report also emphasized that green growth is measurable and important

as India is a hotspot of unique biodiversity and ecosystems. The study undertook a first ever

comprehensive assessment of value of ecosystem services from various biomes across India.

Based onconservative estimates, it amounts to about 3.0% to 5.0% of GDP. Conventional

measures of growth do not adequately capture the environmental cost, which have been found to

be particularly severe at the current rapid growth rate (World Bank, 2016, p.24). In this

backdrop, it is essential to evaluate the state of the green industry of India. Therefore, the present

study tries to examine the state consisting of nature and extent of the green industry with

reference to India through empirical analysis by using appropriate indicators of green industry

for the latest study period.

Environmental Issues In India:

The environmental issues in India become more serious every day like that lack of

environmental education, falling fertility of agricultural land, declining water level in earth, mass

deforestation, land degradation, excess use of fertilizers and chemical in food production and

river contamination and pollution. a true about India, ours whopping 65 percent of the land is

degraded in some way like nature or size and the infinite government policies do little to curb the

damage. In reality, there is no shortage at all of government legislation protecting the

environment and other resources but sorry to say that it is never enforced due to flagrant abuse of

power, corruption, lack of resources, lengthy process of policy preparation and its

implementation. We discussed here, some essential burning issues exist in Indian economy and

whether or environment. First, Drought is very dangerous calamity stood in front of India

because most of area covered by natural calamity of drought due to inadequate or lack of access

to vital fresh water resources to common people of country. Furthermore Indian economy in

large scale depends on agriculture and allied sector. Therefore, economy is directly influenced by

impact of drought. Similarly, our 67 per cent agriculture land directly depends on rainfall or

monsoon. Consequently, one of the most important proverbs has applied to Indian agriculture,

―Indian Agriculture is gamble on monsoon‖.






Areas Of Green Industry-

This research study highlights three principal areas of a green industry and their

indicators and the key challenges to developing a framework for metrics for a green economy.

Metrics framework of a green economy given by the UNEP with identified three principal areas

and the number of indicators of a green industry , within these areas are given below.

1.Indicators of Economic Transformation

A green industry is first and foremost about transforming the way economies grow

currently. Growth is typically generated from investments in high emission, heavily polluting,

waste generating, resource intensive and ecosystem damaging activities. A green economy

requires investment to shift towards low carbon, clean energy, waste minimizing, resource

efficient and ecosystem enhancing activities. The key indicators of economic transformation,

therefore, include the shift in investment over time, the consequent growth of environment

friendly or environmentally enhancing goods and services and related jobs.

2.Indicators of Resource Efficiency

Principal indicators of this area include those on the use of materials, energy, water, land,

changes to ecosystems, generation of waste and emissions of hazardous substances related to

economic activities.

3.Indicators of Progress and Well-being

A green economy can contribute to societal progress and human well-being in two ways

is, Firstly, by redirecting investments towards green goods and services and secondly by

redirecting investments towards the strengthening of human and social capital. Some of the

indicators of progress and well-being area include the extent to which basic human needs are

fulfilled, the level of education achieved, health status of the population and the availability of,

and access by the poor to social safety nets, conventional indicators of GDP, also covers

calories per capita, population below poverty (USD day), Human Development Index (HDI) and

employment generation from each sector.

Researchers have used the following actual and appropriate indicators of a green economy from

its areas, which are nearer to the original indicators

Principal Area‟s &

Actual Used

Data Results And Analysis

Researcher has selected six dummy or alternative but appropriate indicators for accounting of

green performance of India. For each area two indicators are chosen.

Table No. Indicators of Resource Efficiency

Total Renewable Electricity Generation

Sr.

No

Year In Billion

Kilowatt

Hours

(000,000,000)

Annual

%

Change

Indian

Population

In Crore

(00,00,000)

Annual

%

Change

Per Capita

Renewable

Electr.

Generation

(Khr.)

1 2000-01 77 0.00 101.4 0.00 76

2 2001-02 77 0.00 102.9 2.00 75

3 2002-03 68 -12 104.6 2.00 65






4 2003-04 80 18 105.1 0.37 76

5 2004-05 90 13 106.6 1.00 85

6 2005-06 109 21 108.1 1.00 101

7 2006-07 123 8.00 109.6 1.00 112

8 2007-08 133 -6.00 113.1 3.00 118

9 2008-09 125 -2.00 114.8 2.00 109

10 2009-10 123 10 116.7 2.00 105

11 2010-11 135 19 117.3 1.00 115

12 2011-12 160 0.00 119.1 1.00 135

13 2012-13 160 4.00 121.1 1.00 133

14 2012-14 166 5.00 122.1 1.00 136

15 2014-15 174 5.00 123.7 1.00 141

16 2015-16 182 5.00 130.1 5.00 140

C.G.R 7.00% 2.00% 5.00%

MEAN 124 113.5 108

C.V 30% 7.00% 24%

(Source: 1-U.S Energy information administration -http://www.eia.gov or World

development Indicators-last updated: 28/07/2016)

World Walk and run through energy, therefore all countries has been engaging in energy

and electricity generation help of natural resources like coal, oil, gas, timber etc,. But this

conventional energy is harmful to environment and ecosystem services of respective country.

Hence, today there is need to be generated the clean or healthy energy for sustainable

development of the World. Above table revealed the data about total renewable electricity

generation in India. It shows that until 2002 and excepting 2008, 09 & 2012; renewable

electricity generation status has been good, even their compound growth rate was at positive 7

per cent and averagely generated 124 Billion Kilowatt Hours. But coefficient of variation

indicates renewable electricity generating process is inconsistent therefore C.V is at 30 per cent.

Besides, if we compare the renewable electricity generation with growing population then we

come over the growth of renewable electricity is higher than growth of Indian

Population therefore; per capita electricity has been showing a continuous increase. It

increased from 77 Khr in 2000 to 140 Khr in 2015 due to technological and industrial

development in India. Averagely, 108 Khr per capita renewable energy has increased. But only

at 5 per cent compound growth rate is found in respect to per capita renewable electricity

generation in India. In conclusion, performance of renewable electricity generation of India has

been improving year by year. For that, we should hard work for increasing share of renewable

energy in total electricity generation in India.

Table No.Adjusted Saving: Natural Resources Depletion

Adjusted Saving: Natural Resources Depletion

Sr.

No

Year % of GNI Net Annual Percentage

Change (%)






1 2000-01 2.83 0.00

2 2001-02 2.72 -0.11

3 2002-03 2.69 -0.03

4 2003-04 2.73 0.04

5 2004-05 2.86 0.13

6 2005-06 3.02 0.16

7 2006-07 3.62 0.6

8 2007-08 4.04 0.42

9 2008-09 5.55 1.51

10 2009-10 3.01 -2.54

11 2010-11 4.19 1.18

12 2011-12 4.26 0.07

13 2012-13 3.23 -1.03

14 2012-14 3.14 -0.09

15 2014-15 4.12 0.98

16 2015-16 4.22 0.10

C.G.R 3.00%

MEAN 3.51

C.V 23%

(Source:World Bank staff estimates based on sources and methods in World Bank's "The

Changing Wealth of Nations)

Resource depletion means the consumption of a resource faster than it can be replenished.

Natural resources are commonly divided between renewable resources and non-renewable

resources. Here, we want the meaning of Natural resource depletion is the sum of net forest

depletion, energy depletion, and mineral depletion. Net forest depletion is unit resource rents

times the excess of round wood harvest over natural growth. Energy depletion is the ratio of the

value of the stock of energy resources to the remaining reserve lifetime (capped at 25 years). It

covers coal, crude oil, and natural gas. Mineral depletion is the ratio of the value of the stock of

mineral resources to the remaining reserve lifetime (capped at 25 years). It covers tin, gold, lead,

zinc, iron, copper, nickel, silver, bauxite, and phosphate.

Above table shows that percentage of natural resource depletion in India. In 2000, natural

resources deplete at 2.83 percent of GNI and then this depletion rate has been gradually

increasing until 2008 then it goes done in the year of 2009, 2012 and 2013. Excepting these

years, slowly depletion rate has increasing still now. Right column of table shows that annual

percentage change of resources depletion in India. We may see that most of positive percentage

changes found in years 2008 & 2010 and negative percentage changes found in 2001, 2002,

2009, 2012 & 2013. But we should keep in mind, positive percentage changes shows that more

resources exploitation by citizen vice versa negative percentage changes showing that improved

the condition of natural resource, means lower deplete of natural resource in respective years.

Overall picture of Natural resources repletion is showing that compound growth rate of 3 per

cent. Similarly, natural resource depletion has been 3.51

average percentage of GNI. This means 23 percent of coefficient of variation is found in given

period of study.






Hypothesis Testing

The researcher has used the one sample (Two tailed) t-test for hypothesis testing. This test has

applied to each indicator of different principal area of green economy for evaluating the role of a

particular parameter in attaining the green economy in India.

One sample t-test (Two tailed test) at 0.05 Percent Significance Level

Sr.

No

Hypothesis-H0 Degree

of

Freedom

T –value

Calculated

T-

Table

Value

Mean

Difference

P-

Value

Decision

(Accept

or

Reject)

Economic Transformation

1 H0-There is

no

significant

contribution

by renewable

energy to

green

economy in

India

15

4.976

2.731

46.875

.000

(P<0.05)

H0-

Reject

Ha-

Renewable

energy

has

significantly

contributed

to green

economy in

India.

Ha-

Accept

2. H0-No

significant

depletion in

natural

resources has

taken

place in

India.

15

3.378

2.731

0.68437

.004

(P<0.05)

H0-

Reject

Ha-A

significant

depletion in

natural

resources has

taken

place in

India.

Ha-

Accept

E9conAbove Table revealed very essential statistical data about the formulated Null hypothesis

either to accept or reject.omic






Conclusions

The thorough discussion of some indicators from their principal area of green economy

with reference to India reveals that some indicators show positive trend useful for green

economy except the indicator health. This adequately proves that India had adopted the strategy

of green economy; hence it is endeavoring in that direction. But there is urgent need to improve

the health sector and its positive results. The necessary provision for health in government

budget with honesty and rigorous in spending and implementation will help us a lot.Tra

References-

1) Books and magazines

2) Internet

3) Clark at Albans (2009).‖Design for Sustainability :Current Trends development.‖






Pune Metro : A Sustainable Public Transport Option for Pune

Dr. Pradnya Vhankate


Ness Wadia College of Commerce, Pune, (Maharashtra)

[email protected]

An Abstract:

Adequate, efficient and effective public transport can be considered as a lifeline of the

city having high density of population. The big cities like New Delhi, Mumbai etc. have

multimodal transport options available to the commuters. But in the city like Pune, considering

rising population, there is hardly any increase in the public transport options.Up till now, Pune

MahanagarParivahanMahamandal Limited (PMPML) has been only public transport option for

Pune. This has not only increased personalised vehicles but also created lot of issues such as

traffic congestion, road accidents, rise in pollution, vehicle parking etc.

Pune Metro can definitely be considered as boon on the given background. Since many of

the issues may be reduced to the greatest extent due to it, Pune Metro can be considered as a

Sustainable Public Transportation Option for the citizens of Pune.

The present article is an attempt to understand the utility of Pune Metro from different

perspectives and to understand whether really Pune Metro is going to be a Sustainable Solution

to Public Transportation.

Key Words : Pune Metro; Sustainable Public Transport; PMPML.

Introduction:

There is a huge gap between demand of public transport of Pune city and supply of the

same. It has resulted in uncontrolled rise of personalised vehicles. It has created other number

issues related to Pune‘s traffic. However, with the launch of Pune metro work, now there is hope

that there could be sustainable solution to the public transport of Pune city. Current

researcharticle attempts to throw light on the same.

Objectives:

The broad objectives of the research are:

1. To study various issues related to public transportation in Pune.

2. To understand the views of commuters in Pune about the Pune Metro.

3. To understand whether Pune Metro would be a sustainable Public transportation option to

Pune Commuters.


The present article has been prepared by using both primary as well as secondary data.

1. Primary Data- It has been collected with the help of questionnaire. The questionnaire

with multiple choices was prepared. It was converted in the google doc and circulated to

around 300 respondents. Only 80 respondents replied to it. Hence the research article is

based on the perceptions of those many respondents only.

2. Secondary Data- Various websites, articles and journals have been utilised in order to

collect the secondary data. The detailed list has been provided at the end of the article by

way of bibliography.







Literature review:

1. Poor service Quality: The service quality of current transport system is quiet poor in terms of

frequency ,Available and reliable schedules, Travel time taken, long Waiting time, routes,

safety, poor maintenance of buses (like seating arrangement and cleanliness in the buses,

broken or non functioning windows,), bus stop maintenance, complaints solving / redressal

system, drivers and conductors behaviour, Change issues, safety measures against crime on

buses, display system, handicapped and visually impaired and aged seating arrangements are

not sufficient (MeghnaVerma,AshishVerma,,p98,2014)

2. Traffic jams and congestion: the current public transport faces lots of traffic jams and

congestion especially during peak hours. Due to large number of personalized vehicles and

other means of road transport has lead to traffic jams. The constantly increasing buying

pattern of two-wheeler and four-wheeler resulting congestion on the roads (Ayesha

Bangi.p65, 2004) (T.Virupaksha.p575, 2002).

3. Air Pollution/Emission of hazardous gases The pollution issues are causing serious health

issues to public as well as environment(Sara K.Guttikunda,RahulGoel,Pallavi

Pant.p501.2014)Road vehicles are the main contributions to urban air pollution in all big

cities around the world.

4. Increased travel time: Due to traffic jams, on overflowing roads with vehicles have slowed

down the speed of public transport especially long travels which leads to increase travel time.

Causing the burden of more fuel consumption.(Document – p57,2008)

5. Fuel consumption/wastage: Fuel consumption/wastage is increasing due to traffic congestion

and narrow roads. Therefore the cost of losses is increasing year after year. The cost of

import of petrol and diesel is another financial burden to the nation.(K.l.Thukral and

M.Absar Alam.p293,2013)(S.Rama Krishna and Ravikumar Reddy.610,2002)

6. Infrastructure and related issues such as narrow roads, insufficient bus stops, etc. cause a lot

of inconvenience,

7. Provision of Insufficient services due to reasons such as shortage of buses, lack of timely

maintenance due to insufficient funds or technology, breakdown of buses on roads,

overcrowding etc.(B.I.Singhal and Y.P.Sachadeva.p17,2003)

Thus, rapid urbanization is creating serious challenges for infrastructure like housing facilities,

water, medical, education, transport, etc. India needs not only smart cities but also smart urban

solutions for sustainable development. Pune is a fast growing metropolitan cityand is in the

process of becoming a smart city. But it is facing variety of challenges and issues. One of critical

issues is current public transport system. Pune requires a smart multi modal transport solution to

cater to the needs of commuters belonging to various strata of the society. The cost and benefit

analysis of proposed metro rail project clearly states that it will become one of the important

sustainable travel option to the commuters in terms of saving fuel cost, travel time as well as

reduce pollution. Separate tracks will enhance frequency and speed of commuting (parisar.p8,

2011)

Analysis and Interpretation of Primary Data:

The questionnaire was divided in to two parts, the first part was about the profile of the

respondents whereas the second one was devote to the perception related the metro. The analysis

and interpretation of the same has been done as mentioned below:

Part-A

1. Gender:






In order to collect the input from the commuters, based on the questionnaire, the scholar

collected duly filled in questionnaire through Google doc. In response to the questionnaire, 54

males with 67.50% and 26 females having 32.5% responded to the questionnaire. It indicates

that, the conclusions drawn from the data analysis will be having more weightage of male

respondents‘ opinion.

2. Qualification:

0

100

EducationGraduation Post Graduation Professional

All the respondents are well qualified, hence it can be expected that each question in the

questionnaire has been understood correctly by the respondents and he has replied. Since

majority that is around 70% respondents are graduate respondents, their views can be reflected in

the research.

3. Profession:

Around 47% of the respondents are students, thereafter by the service personnel with

30.40%, it is followed by the professionals with 15.2%, and rest constitute around 8%so the first

three categories comprises of more than 90%. Hence these three categories would be decisive in

making overall impression in research.

3. Age:

Gender Responses %

Male 54 67.5

Female 26 32.5

Educational Responses %

Graduation 54 69.2

Post-

Graduation 14 19.2

Professional 9 11.5

Profession Responses %

Student 37 46.8

Service 23 30.4

Professional 12 15.2

Retired 2 2.5

Home

Maker 4 5.1






Majority of the respondents with 57% belong to less than 25 years of age, thus the opinions of

the respondents of this category would be vital in the research.

Part-B

The scholar asked following questions to the respondents to know their views about the

metro. The detailed analysis has been done as follows:

Part B Responses

Questions Related to Metro and

Sustainability Strongly

Agree

Agree Can‘t

Say

Disagree Strongly

Disagree

Since Metro will be using electricity/

clean/ green energy for its operations,

it will reduce air pollution to the

greater extent.

40 34 4 1 1

% 50 42.5 5 1.25 1.25

Commuters may prefer Metro over

personal vehicles as it will be more

economical and accessible.

27 28 18 5 2

% 33.75 35 22.5 6.25 2.5

Due to exclusive tracks, Metro will be

free from traffic congestion; it will

run on time, providing punctual

services to the commuters.

37 37 5 0 1

% 46.25 46.25 6.25 0 1.25

Metro will help in reducing road

accidents to the greater extent, as

many commuters may avoid using

personalized vehicles to avail various

benefits such as saving fuel , saving

time, energy, parking issues, etc.

40 29 9 1 1

% 50 36.25 11.25 1.25 1.25

Age in

Years Responses %

Upto 25

Yrs 45 57

26 to 35

Yrs 15 19

36 to 45

Yrs 14 17.7

46 to 55

Yrs 2 2.5

More than

55 Yrs 3 3.8






Due to large coverage of area, it

would be convenient to commute

from one part of the city to another

without much traffic problems.

38 35 4 2 1

% 47.5 43.75 5 2.5 1.25

Since Metro would be one of the

important transport infrastructures, it

would boost business and related

activities in the city.

31 34 11 2 2

% 38.75 42.5 13.75 2.5 2.5

Metro would help for overall social

and economic benefit of the Pune

City. (Enhance standard of living.)

35 33 10 1 1

% 43.75 41.25 12.5 1.25 1.25

Since Metro would be beneficial from

various aspects/ angels, it could be

considered as one of the best

sustainable transport option for the

City.

36 32 11 0 1

% 45 40 13.75 0 1.25

1. 50% respondents have responded as strongly agree and 42.5% as agree. If both of these

clubbed together, it is totalledto 92.50% .Thus we can interpret that significant number of

respondents do agree with the statement. Hence, we can say that the statement holds true.

2. In response to the statement 33.75% respondents say strongly agree 35% responds as

agree.Thus the favourable responses go up to 68.75%. The negative responses are very

negligible up to 9%. However, the surprising element can be seen in the third category of

responses where, 22.5% it means almost ¼ respondents have responded as can‘t say.

But since, majority i.e.68.75% respondents have responded favourably, it can be said that

the statement is valid.






3. Pune is facing huge traffic congestion all the time in almost all the part of the city. Hence,

many of the citizens are looking metro as a long term solution to such congestion. In this

context, it would very interesting to know the responses to this statement . The responses

show that 46.25% do strongly agree, whereas equal percentage i.e.46.25% say as agree to

the statement. If both the percentages are added together, it reaches up to 93.50%.Thus

huge percentage of respondents do go with the statement. Therefore, we can very well say

that, Metro would certainly help in reducing the traffic congestion in the city.

4. Pune is witnessing number of social accidents and other such mishaps due to traffic

congestion and narrow roads in almost all parts of the city. But due to the entry of metro, it

is expected that many commuters would avoid their personalised vehicles and they may






prefer to commute by metro. It may help not only in reducing the congestion, but also the

road accidents.

As many as 50% of the respondents reply as strongly agree, 36.25% as agree, 11.25% as

can‘t say and 1.25% each say as disagree and strongly disagree. Thus huge positive

response with 86.25% can be seen in favour of the statement, Where as only 2.50%,

resistance, by responding negatively .Therefore we can say that, Metro would be helping in

reducing the road accidents.

5.Commuting from part of the city to another part has become an issue due to various

traffic relatedissues. Due to Metro it is expected that it would be sorted out and commuter may

enjoy and travel comfortably from one place to another, once metro is functioned.

47.5% of the respondents reply as strongly agree and 43.75% say as agree. Hardly 4% have

responded as strongly disagree and disagree respectively. If both the responses clubbed

together, It reaches to 91.25%, which is significant one. Hence, it can be understood that

commuting could be comfortable in case of Metro.

6. It is said that transport is one of the important tool of economy. But in Pune, transport has

become an issue. However, it is expected that, due to metro it may be reviewed and may

help boost the economy.

The perception of the respondents in this point can be seen as 38.75% say strongly agree,

42.50% as agree and 2.5% each say strongly disagree and disagree respectively.

Theseresponse also show that, they go with the statement and it means that, it would

definitelybe helpful in boosting the economic activities in that area.






7. It is expected that metro would be beneficial not only to the commuters, but also to

overall citizens of Pune, it would be helpful in increasing standard of living of the people.

In response to this view, 43.75% and 41.25% respondents respond as strongly agree and

agreerespectively, whereas, 1.25% each say disagree and strongly disagree. Thus95% of

the respondents believe that Metro would definitely be useful in boosting the economic

development in that locality.

8. In response to the above statement, 45% of respondents say as strongly agree, 40% as

agree and 1.25% as disagree. The positive responses come to 85% where as negative with

1.25%. Since significant percentage of commuters are strongly in favour of the statement,

it can definitely be estimated that Metro is going to be a sustainable option for the Pune

city for public transportation.

Conclusion:

Pune‘s traffic and public transport issue has taken really a bad shape. It‘s already too late

to provide affordable public transport solution to Pune. There has been a long pending discussion

and debate on various options such as metro. However, off late the options can be seen now

round the corner as already the metro work has begun.

The perception of common man also show that the though metro is not an ultimate

solution to all the issues pertaining to public transport, it is one of the promising sustainable

option to the public transport of Pune.

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http://www.doleta.gov/brg/pdf/transportation/20Report_final.pdf

http://nagrikchetna.com/cdp%20-%203public%20transfer

http://punetrafficpolice.gov.in/index.php/en/statistics/accident-statistics.html

http://en.wikipedia.org/wiki/public_transport_bus_service






Innovativeness in Karnali Based Microenterprises for Sustainable Growth

Rishi Khanal


Mid-Western Univeristy, Surkhet, Nepal

[email protected]

Abstract:

Sustainability of microenterprises, together with scalability and competitiveness, is a

critical for their contribution to local economy. Thisstudyexplores orientation of Karnali based

micro-entrepreneurs towards innovation in multiple areas of businesses along with challenges

they experience. It provides guidelines to the entrepreneurs and other stakeholders to identify the

suitable entrepreneurial approach, business model and functional dimensions to prioritize for

increased competitiveness and growth. The study was interview based qualitative field survey in

three districts of Karnali Province to identify innovative approach to entrepreneurship in

different business segments operating locally. The samples were twenty micro-entrepreneurs

from different business areas in Surkhet, Dailekh and Jajarkot. The study finds that the

entrepreneurs have good understanding of product, process and market based innovation. It also

discovered that agro based small businesses, if develop innovative market network, can be highly

benefitted. There were several barriers to innovation such as limited market access, structural

disadvantages of industries, resource limitation, knowledge and skills deficiencies and

technological gap. It facilitates rural entrepreneurs and supporting agencies to locate the gap in

sustained business growth both at micro and macro levels.

Key words: innovation, competitiveness, business growth, value addition, sustainability, market

network

Introduction

In Nepal microenterprises predominantly underlie development of national economy.

They are playing important role in livelihood and poverty alleviation. Microenterprises are very

small or tiny enterprises and operated by a few number of people including the owner with a

little amount of capital in local area where raw materials, resources, and skills are available

(Karki, 2017). Micro enterprises are usually owned and operated by one individual or household

and seldom engage in formal contractual agreements with stakeholders (Roy and Wheeler,

2006). They are the starting point of development in the economies towards industrialization.

They have their significant effect on the income distribution, tax revenue, and employment,

efficient utilization of resources and stability of family income (Ghimire, 2011). Harvey (2003)

mentions in the context of East Asia that micro-enterprises account for more than 60 percent of

all regional enterprises and up to 50 percent of paid employment. Their presence includes both

urban and rural areas and a greater number of women depend on micro-enterprises in the

informal sector for survival (Harvey, 2003).

But the more important factors are sustainability, competitiveness and continuous growth.

Such enterprises must be continuously infused with innovative disposition for increased

competitive growth, sustainability and profitability (Tu and Hwang, 2014). The global

competitiveness of any organization depends upon its success in creating innovation (Tesfaye

and Kitaw, 2018)). There is a strong empirical evidence to support the claim that entrepreneurs,







particularly those successful at growing an enterprise, are more innovative than non-

entrepreneurs (Mueler and Thomas, 2001). Continuous innovation in microenterprises has

multifold benefits to local economy. Oppositely, low innovation capability hinders the

entrepreneur activities (Tu at al. 2014) possibly leading to ultimate failure.

In the federal structure of Nepal, Karnali stands as the largest province. It occupies

approximately 17 percent area of the country with 1.2 million population (Khanal, 2018).

According to Khanal, the Province includes economically poorest segment of the country where

significant proportion of people are living in miserable poverty. Despite high potential for

tourism, the major economic activities of the region are mostly limited to trading and

agriculture.The remote areas cover about 80 percent of the province with lowest poverty line and

population density of 47 people per square kilometer with gloomy culture of

entrepreneurship(SCCI, 2017).Reliable statistics about number, types and performance of

microenterprise in the province are difficult to find. Lack of entrepreneurial vision and

insufficient technical assistance in existing microenterprises are major setback of economic

growth, as the resources locally grown and harvested are mostly exported in natural state with

little value addition.

In this background, this research intends to explore the innovativeness in managing micro

enterprises in Karnali Province. This research fundamentally uncovers innovativeness in the

micro-entrepreneurs based on their conceptualization of innovation in their industries so as to

ensure sustainability and competitiveness of their firms and their knowledge about factors

influencing innovation. It investigates the challenges they experience in innovating one or more

aspects of their businesses. The study, therefore, examines their perspectives on how they can

introduce innovation in the existing businesses for best contribution to local economy.

Literature Review

Innovation is the basis of growth of enterprise. Authors have defined innovation in

multiple ways. Innovation is generation of new ideas or practice adopted for a process or an

entire sector of an organization (Galuk, Zen, Bittencourt, Mattos & Menezes, 2016). It is a

process that turns an invention into marketable process. Another definition given by Hayami and

Ruttan (1985, as cited in Cristina, 2017) considers innovation as the overall process of

technological and commercial creativity, the transfer of a new idea or concept to the final stage

of a new product or process accepted by the market. Innovation in the broadest sense is practical

application of new ideas (Millson and Wilemon, 2008). According to Edwards and Gordon

(1984, as cited in Ehrenberger, Koudelková and Strielkowsk, 2015) defines innovation as a

process that begins with an invention, proceeds with the development of invention, and results in

the introduction of the new product, process or service to the marketplace. This definition

highlights on technical approach to innovation. But many of innovations are not the results of

invention but merely forms of improvement.

Joseph Schumpeter(1942) gave pioneering emphasis on the significance of innovation in

economy. According to him, entrepreneurs create value through innovation process by disrupting

the existing market structure with new goods and services resulting in shift of resources from

existing firms to the new ones. Schumpeter connects word innovation with entrepreneurs

realizing it as a dynamic force for economic growth of any society. It is understood therefore that






innovation encompasses internal processes of firms that depend on the nature of their products,

their competitive strategies and their internal competencies (Virkkala, 2007).

Contextually, it is imperative to discuss what causes innovation in microenterprises.

Since the majority of factors leading to innovation are within the firm itself, it is desirable,

therefore, to focus on internal factors (Ehrenberger et al. 2015, p.81). They argue that

competition and investment level have positive impact on innovation, as it forces firms to be

more innovative. Lukes(2013) states that an entrepreneur, if implements simple research activity

like asking others, especially those working with him or her, tends to be more innovative than

another without subordinates. In fostering innovation, information from customers is

significantly important because they are the recipients of the products introduced to the market

(Hutter, Hautz, Repke, and Matzler, 2013). Innovation is driven by the ability to see connections,

to spot opportunities and to take advantage of them (Tidd, Bessant, and Pavit, 2005).

Kozubikova and Zoubkova (2016) in their studies found that in Czech majority (58 percent) of

microenterprises developed new products in order to maintain the pace that come with today‘s

dynamic and global economic world. Although R&D and market orientation are key drivers of

the innovation process, the role of entrepreneur for innovation in small food firms cannot be

ignored. The characteristics of the entrepreneur are related to background and skills and are

thought to have a considerable impact on innovation (Avermaetea, Viaenea and Morganb,2004)

Scholars have divided innovation into several categories on different grounds. The

innovation literature is characterized by highly diverse research methodologies, data-set features

and variables selected (Montoya-Weiss & Calantone, 1994). Variations in approach to study

innovation is one of the main reasons why authors have come to apparently contradictory results

and is important to note when interpreting the outcomes of empirical studies (Avermaetea etal.,

2004). This study, however, is based on innovation model as identified by Hall (2009) subject to

the OECD guidelines. According to him innovation appears in five different categories namely-

product, process, service, management and marketing innovations. Tidd et al. mention that

product innovation occurs when a firm introduces a new product in the market. A service

innovation is a new service or such a renewal of an existing service (Toivonen and Tuominen,

2006).

Process innovation is said to be the execution of a novel or improved production and/or

delivery method such as changes in technique, equipment or even software (Cooper, 2009).

Process innovation fundamentally means improvement of the techniques, process or systems.

Hjalagar (2010) identifies process innovation as a means for enhancing efficiency and

productivity that takes place behind the scene. Avermaete et al. (200) highlights the key role of

employee‘s skills in process innovation.

Another aspect is market innovation. Camison and Monfort-Mir (2012) identifies

marketing innovation as introduction of new marketing methods in product design, promotion

and pricing. This also includes expansion of marketing network with external stakeholders like

regulatory bodies and customer segments (Sundbo, 1998). Finally, changing organizational

culture and structure, and new ways of directing and empowering staffs, compensation and other

relevant policies are another form of innovation , called management innovation (Hall 2009,

Hjalagar, 2010; Ottenbacher and Gnoth 2005) . Location of the organization (Meira 2013), and

the internal alignment of the organization and its long term vision (Ferriera,David, Sousa, and






Santos, 2008 as cited in Galuk et al., 2016) are important for strategic management of

innovation.

Hutter et al. (2013) identified problems of lack of time and complementary assets,

constraints in distributionand sales, lack of multi-disciplinary knowledge, limited financial

resources, high bureaucracy and risk avoidance.One way to conceptualize barriers of innovation

is to scope based classification - as external to the firm or exogenous and internal or endogenous

ones (Piatier, 1984). External barriers include supply, demand and environmental related factors

whereas the internal barriers can be further subdivided into resource related, systems related, and

human nature related (Nassar and Faloye, 2015)). Many researchers have specifically identified,

but similar, barriers.Vieira (2007, as cited in Nassar et al., 2015 ), in a study with Portuguese

business community, identified high economic cost and risk associated with innovation, lack of

funding, organizational rigidity, lack of skilled manpower, lack of market information and

technology, government regulation and weak capacity to approach the clients as well as lack of

connection with learning centers. Sometimes, small businesses face inability to protect their new

ideas and innovations as barriers (Oke, 2004). Pachouri and Sharma (2016) classify barriers to

innovation in small and medium sized enterprises in six categories: people, financial,

information, government policy, infrastructure, andmarket constraints.

Methods

This study follows exploratory qualitative research design with fundamental

concentration into participants‘ perspectives on innovation for business sustainability, growth

and competitiveness. There is little empirical evidence of similar research in selected geographic

area. The study is thus based on exploratory research for getting insight into research topic.

Qualitative methods answer questions about experience, meaning and perspective, most often

from the standpoint of the participant (Hammarberg, Kirkman and Lacey, 2016). Here theoretical

considerations are important (Glaser and Strauss,1967, as cited in Hutter et al.). The study

involved semi-structured interview with 20 micro-entrepreneurs on Karnlai Province. For the

purpose, I selected the judgmental sampling in order that participation is representative from

across the different industries. There were altogether 20 participants – 10 from Surkhet, 7 from

Dailekh and 3 from Jajarkot. Among them, 5 participants represent agribusiness sector, 3 leather

shoes, 3 from forest based industry, 3 from semiprecious stone, 4 from handicraft industry and 2

participants are from metalwork sector. Fifty percent of firms are run by family members where

the others employed 2 to 5 workers during full fledge operations.All the participants were

notified earlier and approached with appointment.

A standard interview guideline was prepared based on theoretical findings. The guideline

addresses five categories of innovation as identified by Hall (2009). Accordingly, the study

examined the participant‘s conceptualization of innovation on product, service process,

marketing and management dimensions and used the operational guideline as prescribed by

Rabionet (2011). Rationality of this approach was based on discussion with the experienced

researchers in the field and thorough review of literature. The following step was the formation

of broad guideline and crafting interview protocol based on guideline of Castillo-Montoya

(2016.) This step was more cumbersome and sensitive because it covers the major questions

pertaining to research objectives. The total standard questions were limited of six that served as






representative ones during actual interview. These standard questions were drafted in Nepali

language.

The actual interview was in local (Nepali) language and recorded in personal mobile set

of the interviewer. Average interview period with each participant was 40minutes. Due to limited

theoretical knowledge of participants on constructs and variables under study, questions were

highly elaborated and simplified as necessary. Finally, the qualitative data was transcribed and

thematically analyzed in multiple steps based on the guidelines as followed by Hutter et al

(2013).The first phase of thematic analysis included careful study of data and developing broad

categories in connection with each research question. The second round of content analysis

developed some insight categories that were coded adequately. In the third round the coded data

were revisited, eliminated,summarized and refinedas necessary for meaningful themes.In order

to eliminate the potential bias in interpreting result, content analysis of two of the sample

interviews was done by an independent expert.

Result

The participants explained that the business can follow a number of approaches to

innovation. Agro based entrepreneurs described that the businesses can be sustainable and

competitive when the firms develops ability to satisfy the existing customers through secured

supply with much stable price levels and this is possible when they have broader outlook at

entire value chain rather than having only inward perspectives. They claimed that just buying

new machines and offering pure and fresh products is not sufficient but they have to

institutionalize entire supply chain to secure their market opportunities. All of the interviewees

involved in agro-based and dairy businesses opined much similar views:

Interviewee 1: ……but our market network is not stable and broad. We face problems of

supply as farmers are not organized and do have mechanism of professional business. They do

not find good wholesalers who guarantee stable pricing for their products…… and nobody is

encouraging assuring them to continue farming profession.

Interview 2: we collect products from farmers and sent them to market but we do not have

capacity to buy in bulk because we do not have access to storage for off season sales. If we have

another participant in market for storage relative value addition would be increased through

sustained market service…..

Interview 4: …. Speedy service, efficient supply and technical advices from specialized

institutions can guarantee innovation.

The interviewees who belonged to non- agribusiness sector, however, referred what innovation

means for them to product and production side. They felt the need of capital, excellent product

design and efficient technology.

Interviewee 9:: I know how to make our product better to make customers feel new experience,

but for this we need new machines, they are expensive and not available in our country.

Interviewee 12:our product is relatively expensive among local industries, so we need fine

machines and good design.

Interview 19: Yes, we can offer better products, we have all but good workers …. They work for

some months and leave their firm; i have tension of finding people to work for me……

With regard to their approaches to innovation, the interviewees are asked ―how

entrepreneurs like you effectively generate cost effective innovation in your sector?‘ Here, they






showed having mixed orientation. The agribusiness micro-entrepreneurs highlighted on external

innovation i.e. role of regulators and cooperatives in local level. Rather than physical aspects,

concern should be with organizing production and streamlining supply with coordinated efforts

of producers and traders. They were found to have focused on market institutionalization across

the value chain. But, those associated with handicrafts and precious stones claimed that

innovation is possible with importing new machines, ensuring market access and providing

skilled based training to workers. However, they are following economic measures for

innovative for survival and market competition.

Interview 4 and 5: we must have well managed and systematic market network- that

consists of producers and wholesalers and also our customers …..

Interviewee 7: We work with limited skills and traditional system …….. we need new skills and

machines too. We do not have enough capital to buy all new equipment ….relevant education is

important.

Interview: 8 ……. Ultimately we need market…… our local market is small but is not

possible to work manually as it becomes expensive and also people do have skills if we work for

large market.

The important point is – since the participants of interview operate locally in small

markets- do not expect high investment in innovating their business and believe incremental

improvement, which is clear for their remarks:

Interviewee 3: Although I can manage capital, I do not install big machine because time has not

come yet.

Interviewee 14: Over investment in present time means your do not stay in business for

the long time ….

Interviewee 16: Out intention is how we can improve with what ever have, with more

investment and it is possible ……

Interviewee 8: Technology is important for us, but at the same time we need larger

market. For local market it is not wise decision to invest.

Interviews were also asked ‗what they must do in order to make microenterprises

sustainable locally‘. They identified competitiveness and need for continuous development in all

dimensions of their businesses for improved quality of products, better customer services and

growth of market.

Interviewee 11: You have to give good product to customer and keep on improving for survival.

Interviewee 13: I must find new market …… there will be more competition in the existing one.

Interviewee:17 …. No problem if your product is durable and unique.. …. Create better

design…. Use better materials…..

The study also covered possibility of innovativeness in micro-entrepreneurs for benefits to local

economy. The participants believed that it can have huge impact because they are making good

earning which can escalate with support from stakeholders.

Interviewee3: We see good possibility but we need improve industry structure, support for

market access, technical training and new information for innovation.

Interview 15: ….. I can scale up my business but I should technical supports and institutional

linkages for product awareness and market access.

Interviewee 20: Its attraction is increasing day by day but new additions in varieties and design

are important ……..






Finally the research attempted to identify the possible barriers to innovation.

Accordingly, limited knowledge and lack of learning culture were found to negatively impact

innovation and resource limitations, skills deficiencies, adequate institutional supports and

market limitations are among the other barriers to innovation as revealed in the following

expressions:

Interview 2: ….. more important are institutional support and market collaborations….

Interviewee 10: if we get financial resource, we can buy machines and introduce new designs

and go to new market……

Interview 13: ….. knowing what market demands is important for giving new items in

market….. in fact, we do business without must knowledge about it……

Interviewee 17: There must be skill development centre for continuously learning new skills for

developing new items

Discussion and Conclusion

Even though the sample participants did not have advanced education in business and

sufficient training opportunities, they were found to have a considerably good knowledge about

innovation and innovative tendencies to manage microenterprises. They identified innovation

imperative for value addition and sustainability. As confirmed by the empirical study of Hutter

et. al. (2013), the micro firms operators understood the need of innovation for survival, growth

and competitiveness and realized innovativeness needs addressing wider dimensions of business

i.e. the factors lying outside the scope of their businesses. The participants of interview could not

thematically understand the issues and elements of innovation; they, however, were familiar with

how their firms can innovate. In this study innovation has been accepted as any process or

initiative within or outside the firm resulting change and improvement in terms of efficiency,

quality and overall performance improvement of firms as adapted by Peljko et al. (2016), The

result was very positive with respect to conceptualization and initiation of innovation. The

participants viewed innovation is possible through product and process improvement and market

network development. Particularly, they felt need of product and service design, new technology,

creativity, skills, organized external institutions, marketing knowledge and information

mechanism for innovation thus creating cross-functional dimension of innovation. The

agribusiness entrepreneurs were more focused on market structure based innovation whereas the

other types of entrepreneurs stressed on technology and design based innovation. They also

believed that, especially in the context of Karnali Province, cost effective innovation is suitable

due to small market and difficult in access to new market. The micro-entrepreneurs were making

efforts innovation and also expecting external support for it as many of dimensions of innovation

were beyond their capabilities such as market management, skill development, technical

assistance, information supply and resource management. This study identified a number of

barriers to innovation. Among the important were limited market access, structural disadvantages

of industries, resource limitation, knowledge and skills deficiencies and technological gap. The

barriers are, very commonly, similar to those identified by Hutter at al. (2013) and Lee,

Sardeshmukh and Hallak (2014).

Implications and Future Directions

Little is known in scholarly literature about the issue in question; thus this research can

play an important role. Micro-entrepreneurs were found to have sound knowledge on innovation






concept and they have a remarkable level of innovative mindset. The research undoubtedly

suffers from many limitations. Exploratory nature of the study, limited samples, subjectivity in

data collection methods and limited expertise in data analysis and limited time span are major

limitations. However, this work has manifold applications. First, it pursues innovativeness in

business concept and operations in the local context together with the problems faced by local

microenterprise and presents suggestions to policy makers calling for rational priorities for

uplifting local economy. Second, this helps to identify gap in entrepreneurial innovativeness for

better results. Third, the study can help as foundation for comparative study on innovativeness in

national and international levels. Fourth, it opens new avenues for further specialized researches

in the area. Fifth, as the problems outlined are similar in global perspectives, it will be easier to

trace out the solutions as followed in other countries. This can serve as the foundation for

theoretical model of innovation in microenterprises operating in a poor economy. The study

recommends the further - more detailed - study to be more specific in terms of business type,

territory, microenterprise category and problems.

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The Challenge of Women Employment and

Sustainable Development Goal (SDG)

Dr. Marcelle Samuel

Associate Professor,

Symbiosis College of Arts and Commerce, Pune, Maharashtra.

[email protected]

Abstract:

Sustainable development pivots around human capital and resilient societies. The path

to equitable and sustainable development must address equitable employment and more

particularly the participation of women in the workforce This paper attempts to study the

importance of participation of women in the workforce, and achieving SDG 8: „Promote

sustained, inclusive and sustainable economic growth, full and productive employment and

decent work for all‟. The scope of the paper includes a review, at the global and all India level,

of the prevalence of gender disparities in the employment of women, across the parameters of

Workforce Participation Rate (WPR) and wage differentials, amongst others, which come to be

hurdles in the path of sustainability. At the micro level, the paper focuses on a case study of

„GRIHINI‟, an all-women co-operative society functioning under the parent company – TATA

Motors, in Pune. It reveals the important role industry can play in achieving the dual objectives

of providing gainful employment to disadvantaged women and simultaneously achieving

sustainable business practices.

“Leave no one behind....”- the promise for Sustainable Development by 2030!

We live in a complex era of globalization, where we as nations are interlinked through

various issues social, economic and environmental. The principle agenda for global development

is „sustainable development‟ across borders. The major challenges to sustainable development

range from issues of poverty, hunger, health and education to environment, urbanization, job

creation, exclusion and the many faces of inequality, to mention a few. As stated in the

Sustainable Development Goals Report 2018, the 2030 agenda of 17 Sustainable Development

Goals (SDGs) provide a worldwide blueprint for dignity, peace and prosperity, for now and the

future.

The 17 SDGs though enlisted separately cannot be compartmentalized, as an

interconnection between goals exists. This paper attempts to study the challenge of women

employment – the importance of participation of women in the workforce, with reference to

achieving SDG 8, namely, „Promote sustained, inclusive and sustainable economic growth, full

and productive employment and decent work for all‟. Sustainable development pivots around

human capital and resilient societies. The path to equitable and sustainable development must

address equitable employment and more particularly the participation of women in the

workforce.

Scope of the Paper:

The scope of the paper includes a review, of the prevalence of gender disparities in

employment of women, across the parameters of Workforce Participation Rate (WPR) and wage

differentials, amongst others, which come to be hurdles in the path of sustainability both at the

global and all-India level (India SDG Global rank 112 of 156, 2018).







At the micro level, the paper focuses on a case study of ‗GRIHINI‘, an all-women co-

operative society functioning under the parent company – TATA Motors, in Pune. It provides

the socio-economic profile of women beneficiaries and describes the desired work environment

for enhancing gender equity and inclusivity in employment. The paper reveals the important role

industry can play in achieving the dual objectives of providing gainful employment to

disadvantaged women and simultaneously achieving sustainable business practices

Objective and Research Questions:

The primary objectives of this paper are:

To explore the impediments in the path to attain SDG 8

To investigate the role of industry in imbibing gender equality and inclusivity of

disadvantaged women in employment.

The paper attempts to answer the research question:

What role can industry play in providing a conducive work environment to

women for sustainable and inclusive employment?

Data Sources and Methodology:

The paper uses both primary and secondary data. Primary data (2016) is obtained from

‗GRIHINI‘ – through structured questionnaires circulated amongst 80 women, unstructured

interviews with management, site visits and analyses of artefacts. Secondary data is obtained

from various sources in the public domain.

The Impediments:

Three years into the agenda and with only 12 years left to achieve SDGs by 2030, the

world is still in the throes of gender inequality in employment. Definitive action and reforms are

the need of the hour. While SDG 8 and the 17 interlinked SDGs speak of equality, inclusivity

and provision of basic human rights for survival, data reveals that gender inequality in

employment remains a major impediment.

Labour Force Participation Rate:

The ability of women to participate in the labour force enables improved investment in

well being and long term economic growth.

The Gender Inequality Index1, which takes into account the Labour Force Participation

Rate (LFPR) (SDG 9.2), indicates that the Female Labour Force Participation Rate (FLPR) for

women was only 48.7 percent while for males it read 75.3 percent (ages 15 and older) in the

world in 2017 (UNDP Report, 2018).

A decline in FLFPR, particularly in South Asia, is often attributed to increasing

participation of women in education. While this may be partly responsible, there are numerous

other factors, such as lack of decent work opportunities leading to the ‗discouraged worker

effect‘, mechanization of agriculture, lack of rights over land, discriminatory social norms,

gender stereotypes regarding ‗appropriate work‘ for women and the disproportionate share of

unpaid care and domestic work women undertake,

1 Gender Inequality Index: : A composite measure reflecting inequality in achievement

between women and men in three dimensions: reproductive health, empowerment and the labour

market. (Human Development Indices and Indicators – 2018 Statistical Update)






Empirical studies, on female employment trends in India, have shown that the

participation of women in the workforce is remarkably low as compared to the participation by

men (Ghosh & Mukhopadhyay, 1984), and also that though most women work in India their

participation does not get recorded in official statistics (Dunlop & Velkoff, 1999).

On examining the ‗‗U shape‖ FLFPR studies find that it has been declining. It is

observed that FLFPR reaches a minimum and then starts moving upward as women acquire

appropriate skills and return to the labour force at an advanced stage of development to

participate in non-agricultural jobs. India, undergoing structural transformation from a low-

income to middle-income country status, has experienced falling FLFPR because of income and

substitution effects. However, the FLFPR in India stood at a meagre 27.2, (way below the world

FLFPR of 48.7) while it was 78.8 for males, in 2017.

Fig. 1: Labour Force Participation Rates – World and India - 2017

Source: Compiled from UNDP Report, 2018

Further, as shown in Fig. 2 below, women participation rates in employment are almost

half as compared to men over the period 1987-88 to 2011-12, in India, reflecting gender inequity

in employment.

Fig. 2: Gender Inequity in Employment

Source: Employment and Unemployment Surveys of NSS

Gender Pay Gap:

The extent to which work rewards are distributed equally between women and men is

critical for sustainable development. Although the global scenario, for 2017, reveals an increase






in labour productivity2 accompanied by a decrease in the unemployment rate,

3 on the flip side,

much needs to be done on labour market inequality, particularly in terms of the gender pay gap.

A majority of 40, or 89 percent, of the 45 countries studied for achieving SDGs, reveal

that gender inequality is still persistent. As shown in Fig. 3 below the hourly wages of men, on

an average, are 12.5 percent higher than those of women. Further, it was found that gender wage

gaps are sensitive to wage distribution. The gaps are largest at the top of the wage distribution for

highly skilled women workers and also at the bottom for women working in low paid low-status

jobs. Another finding was that countries with greater inequality in the distribution of wages tend

to have larger gender wage gaps.

Fig. 3: Earning Inequalities - 2017

Source: Sustainable Development Goals Report, 2018

In India too, it was found, women earn 20 percent less than men. (Monster Salary Index,

MSI 2017). According to this report, men earned a median gross hourly salary of Rs. 231,

while women earned only Rs. 184.8 in 2017 and the gender pay gap widens with an increase in

work experience.

Unemployment:

The other major hurdle in working towards ‗full and productive employment and decent

work for all‘ is the problem of unemployment. From 2010 to 2017, both, the Total

Unemployment Rate- Female to Male Ratio –World4 and the Youth Unemployment Rate –

2 Labour productivity at the global level, measured as output produced per employed person in

constant 2005 US dollars, grew by 2.1 per cent in 2017. This is the fastest growth registered

since 2010. (The Sustainable Development Goals Report, 2018) 3 The global unemployment rate in 2017 was 5.6 per cent, down from 6.4 per cent in 2000. The

decline has slowed since 2009, when it hit 5.9 per cent. (The Sustainable Development Goals

Report, 2018) 4 Total unemployment rate, female to male ratio: Ratio of the percentage of the female labour

force population ages 15 and older that is not in paid employment or self-employed but is

available for work and is actively seeking paid employment or self-employment to the

percentage of the male labour force population ages 15 and older that is not in paid employment

or self-employed but is available for work and is actively seeking paid employment or self-

employment. . (Human Development Indices and Indicators – 2018 Statistical Update)






Female to Male Ratio – World5 (SDG 8.5) was 1.24 and 1.05 respectively showing a bias against

women.

A similar trend is witnessed in India between 2010 and 2017, for the Total

Unemployment Rate- Female to Male Ratio and the Youth Unemployment Rate – Female to

Male Ratio, reading 1.27 and 1.02 respectively.

Successive rounds of National Sample Survey (NSSO) show that the rate of

unemployment6 is higher amongst females as compared to males across education levels, age

groups as well as urban-rural areas as given in Table No. 1 and 2 below.

Table 1: Education-Level Specific Usual Status (Adjusted) Unemployment Rate

for Persons of Age 15-29 Years (Youth) During 2011-12

(All India)

Sr.No. General Education Level

Unemployment Rate

Rural Urban

Male Female Male Female

(1) (2) (3) (4) (5)

1. Not Literate 23 8 25 16

2. Literate and up to Primary 32 6 48 43

3. Middle School 42 46 51 58

4. Secondary 46 86 55 151

5. Higher Secondary 65 138 120 146

6. Diploma/Certificate 59 300 125 173

7. Graduate and above 91 296 163 234

8. Secondary and above 81 155 117 198

9. All 50 48 81 131

Source: NSSO 2014, 68th

Round, (2011-12)

Table 2: Education-Level Specific Usual Status (Adjusted) Unemployment Rate

for Persons of Age 15- 59 Years during 2011-12.

(All India)

S.No. General Education Level

Unemployment Rate

Rural Urban

Male Female Male Female

(1) (2) (3) (4) (5)

1. Not Literate 5 2 9 7

5 Youth unemployment rate, female to male ratio: Ratio of the percentage of the female

labour force population ages 15–24 that is not in paid employment or self-employed but is

available for work and is actively seeking paid employment or self-employment to the

percentage of the male

labour force population ages 15–24 that is not in paid employment or self-employed but is

available for work and is actively seeking paid employment or self-employment. 6 Principal Status (PS) – the activity status on which a person spent relatively longer time

during the 365 days preceding the date of the survey

„Subsidiary Status‟ (SS) ―if he is engaged in any activity for only a part of the year

If a person is working either under PS or SS, he is said to be counted under „Usual Status

or Usual Principal Subsidiary Status (i.e., both combined)






2. Literate and up to Primary 12 3 19 16

3. Middle School 19 25 22 35

4. Secondary 20 60 23 64

5. Higher Secondary 33 88 46 91

6. Diploma/Certificate 85 197 52 102

7. Graduate and above 75 189 53 128

8. Secondary and above 38 101 42 104

9. All 19 17 31 55

Source: NSSO 2014, 68th

Round, (2011-12)

It is observed:

As level of education increases the unemployment rate also increases for males

and females in the 15-29 years age group (youth) as well as the 15-59 years

group.

However, in both age groups the unemployment rate for females is higher than

that of males for education levels of Middle School and beyond.

The unemployment rates are higher for females than males in both urban and rural

areas.

However, the unemployment rates are comparatively higher for females in urban

areas than females in rural areas.

Share in Employment in Non Agriculture:

The impediment of poor accessibility to the labour market, is accentuated with women

more likely to be concentrated in ‗feminized‘ sectors, with low wages and insecure working

conditions. Share in Employment in Non Agriculture, Female – (percent of total employment in

non agriculture)7 - World, stood at 38.6, while in India it was a meagre 18.6 implying more

progress is needed in achieving SDG 8.3 (UNDP Report, 2018).

In a study by Srivastava and Srivastava it was found that female workers in rural India,

are principally engaged in agricultural work as self employed or casual labour.

However, with the process of structural transformation in India a large number of

females are pushed out of agriculture. As revealed in data on the sectoral share of employment

in India, (NSSO 68th Round) the share of agriculture has declined continuously from 59.9

percent in 1999-00 to 48.9 percent in 2011-12, thus aggravating the employment problem.

Further, the growing mechanization in agriculture and rising capital intensity in manufacturing

sectors together have limited the opportunity for females because of low levels of education,

skills and other cultural constraints. In addition, it was found that the rise in real wages in rural

areas and the consequent improvement in the standard of living has produced a strong negative

income effect which outweighs the positive substitution effect and as a result FLFPR has

declined substantially (Mehrotra and Parida, 2017).

Further, in a study related to urban female employment at the all India level it was

observed that there has been a decline in the casual employment of urban females but an

increase in self and regular employment (Chandrashekhar & Ghosh, 2007). ‗The Future of Jobs

Survey‘(World Economic Forum, 2016) states that ―across all industries, unconscious bias

7 Share of employment in non agriculture, female: Share of women in employment in the

nonagricultural sector, which comprises industry and services activities.






among managers and lack of work-life balance, are the two top barriers‖ ( with 44 percent each)

to women‘s workforce integration over the period 2015–2020.

In this context, it thus becomes essential to elaborate upon the important role industry

plays in improving the employment potentialities of disadvantaged women through sustainable

employment and skill development, improving gender equity and inclusivity.

Grihini:

On this macro level backdrop, a study at the micro level of a collective, socio-commercial

enterprise, a unique ‗all-women‘ co-operative society under the parent company of TATA

Motors is undertaken. It brings forth the role of industry in providing women with sustainable

employment, especially from the economically weaker sections, thus achieving the twin goals of

gender equality and inclusivity with sustainable development.

Sponsored by the automobile giant, TATA Motors, with a revenue of more than Rs. 10

crore, the distinguishing feature of GRIHINI is that it imparts employment and training to

approximately 150 women from the local community (which initially was to only relatives of

TATA employees) for sustainable livelihood and economic independence. It empowers women

by providing gainful employment with sustainable livelihood.

GRIHINI founded by Mrs. Leelatai Moolgaonkar (wife of Sumant Moolgaokar, former

Chairman of TELCO, now Tata Motors Limited) was established in 1973 with seven women.

The society grew in strength and today it comprises of four units, all of which were registered in

1979. Headed by the wife of a senior executive of TATA Motors, appointed by the company, it

operates on a sprawling campus with 4 units8 operating from 64, 1 BHK flats.

9The expansive

campus also hosts an English medium school, Vidyaniketan, a playground for the school, a

training division hostel, a senior officers colony and provides housing facility for employees on

rent.

Launched initially as a Masala and Home Products unit with women preparing different

spices, pickles and an array of snack items for prestigious customers like Marriott, Taj Blue

Diamond, Sayaji Hotels , it later expanded to include units for Tailoring, which stitch uniforms

and hand gloves for TATA and 45 varied items ranging from pillow covers to hand bags.

Breaking gender stereo types in the Cable Harness and Electronics units women are trained to

assemble harnesses and products which range from main cables, tail cables, engine cables,

complex and intricate wiring and hi-tech automotive electronic products. Similarly, in the

Electronics unit women assemble 69 different electronic components used in vehicles which are

supplied to TATA Motors.

Grihini and Women Employment

GRIHINI provides sustainable employment and inclusivity to women through its flexible

and accommodating employment process. GRIHINI opens its doors to all women in the

neighbourhood, seeking employment, below the age of 58 years. The only exception being the

the Cable Harness Unit wherein the upper age limit is 30 years. There is no minimum education

8 Electronics, Cable Harness, Shivankala and Vividh Karyakari

964 One BHK flats are taken on rent from Tata Motors at a nominal rent of Rs. 275/- per month

per flat.






qualification required for women seeking employment in the Masala and the Tailoring Units.

The only requirement for women for the Tailoring Unit, is the knowledge of operating a sewing

machine. The minimum educational qualification for the Cable Harness unit is completion of

10th Standard –necessary to understand the Wire Colour Coding System. In order to comprehend

the Assembly System in the Electronics Unit completion of 12th standard is desired.

Keeping in mind the necessity to offer employment to tap one‘s potential and area of

interest, while simultaneously maintaining work-life balance, women may choose their preferred

area of work and convenient work-shifts, either between 8 a.m. to 1 p.m. or between 2 p.m. to 7

p.m.. Women in the tailoring unit, also enjoy the option of working from home.

The training/skilling follows the principle of ‗learning while doing‘. There is no rigid

time frame regarding duration of training, which may range anywhere between one day to three

months. A majority of the women employed come from the surrounding belts of Pimpri and

Chinchwad in Pune, making accessibility to the work place easier. Importance is given to

communication in the local language - both Marathi and Hindi in GRIHINI.

Table No. 3: Socio-Economic Profile - GRIHINI

Attributes Categories Percent

Age (years)

Below 30 8.6

30-40 20.0

41-50 50.0

Above 50 21.4

Marital status Single 5.0

Married 95.0

Education With Higher Formal Education 17.5

Without Higher Formal Education 82.5

Family size

(no. of

members

in family)

Up to 3 55.3

4-6 42.1

7-8 2.6

8 0

Monthly

Household

Income10

(Rs.)

<=8334 46.8

8335-25000 51.1

>25000-50000 2.1

Source: Survey by author

The socio-economic profile as seen in Table No. 3 reveals that a majority 91.5 percent

respondents are above 30 years of age and 95 percent are married.

With regard to providing sustainable livelihood to the marginalized in society it is seen

that 82.5 percent of the women employed have no formal education beyond class 12.

The data on family size reveal that a majority, 55.3 percent, come from a family

comprising of up to 3 members, and only 2.6 percent from families with 7 to 8 members.

10

Monthly Household Income Classification as per Pradhan Mantri Awas Yojana






The important role played by TATA Motors through GRIHINI in providing sustainable

livelihood and employment is seen from the fact that 100 percent of the respondents stated the

major benefit was ‗getting a job‘ and 28.8 percent cited ‗flexibility in timing‘.

According to the Pradhan Mantri Awas Yojana (PMAY) classificatory criterion, it was

observed that a very large chunk, 97.9 percent of the women, belonged to Economically Weaker

Section (EWS) households having annual family income up to Rs. 3 lakh per annum (up to Rs.

25,000/- per month) while only 2.1 percent belonged to the Lower Income Group (LIG)

households having an annual income between Rs. 3 lakh and Rs. 6 lakh per annum (between Rs.

25,001/- to Rs. 50,000/- per month). Further a 46.8 percent have an annual family income of less

than Rs. 1 lakh per annum (Rs. 8334/- per month).

With GRIHINI paying the prevailing Government Minimum Wage (Rs. 250/- per day,

2016) and with other benefits like provident fund, leave, bonus, gratuity, etc., it takes the lead in

economically empowering marginalized women.

Observations:

From data on employment at the macro level, it is observed that the major impediments

in achieving SDG 8 are poor FLFPR, wide gender pay gaps, unfavourable Total Unemployment

Rate( Female to Male Ratio) and Youth Unemployment Rate ( Female to Male Ratio), a higher

rate of unemployment amongst women as compared to men across education levels, age groups

as well as urban-rural areas, women employment concentrated in ‗feminized‘ sectors, low

wages, insecure working conditions and a smaller share in employment in non agriculture

occupations. Similar impediments, some more accentuated, are found in India which act as

hurdles in achieving SDG 8 and decent work for all.

Based on data collected at the micro level, the study answers the research question in the

affirmative – ―Industry does have an important role to play in providing a conducive work

environment to women for sustainable and inclusive employment‖. The capacity of industry to

invest in employing women, who have no financial capacity of their own, to make large

investments as entrepreneurs, plays a pivotal role in promoting sustained, inclusive and

sustainable economic growth.

A conducive work environment is provided through ‗work-life balance‘, ‗flexible

timings‘, ‗convenient shifts‘, option of ‗working from home‘, ‗communication in the local

language‘ and ‗a fixed sustainable income‘.

Additional vital features, include facilities of affordable housing, hostel facilities, schools

and playgrounds for children. Innumerable healthy practices which spell welfare and celebrate

life such as provision of uniforms and aprons, breakfast and lunch, blood donation camps, tree

plantation programmes, Women‘s Day celebrations, cultural programmes and regular donations

to charity, all contribute to a woman-conducive work environment.

Suggestions and Conclusions:

From a policy perspective, the challenge of women employment may be considered from

the demand side with labour market discrimination and the supply side with a patriarchal

attitude. The labour market discrimination from the demand side may be partially resolved

through legislation. However, enforcement faces constraints, as stringent laws are often

intrusive, discriminatory, evasive, and hence ineffective. It is here that industry may take the






lead through voluntarily pursuing transparent employment policies, equitable pay structures and

appointment of responsive and functional ombudsmen.

On the supply side, the human capital model that focuses on patriarchal attitudes, which

influence gender differences in skills, education and experience, need a change of mindset.

Women dropping out of the labour force when family incomes are comfortable, bearing the

primary household and parenthood burden, all influence hiring decisions, resulting in women

being seen as less reliable employees. Introduction of parental leave rather than maternal leave

would help bring about a change in societal perception and attitudes.

In conclusion, the issue of women employment may be addressed on multiple fronts,

ranging from greater formalization of the workforce to creating better job opportunities.

Incentivising industry to introduce new flexible and supportive work patterns for improving

employment of women from different socio-economic strata through tax breaks, setting up of

individual training units by the parent industry and other interventions, would go a long way.

These would serve a two-fold purpose of providing gainful employment to women while

simultaneously providing economic viability, all signposts on the arduous road ahead.

Key Terms: Women Employment, SDG 8, Gender equality and inclusivity in employment,

Industry and sustainable employment, Supportive work pattern and environment

Research Paper on ‗The Challenge of Women Employment and Sustainable Development

Goal (SDG) 8‘ submitted for Interdisciplinary International Research Conference on

‗Sustainability: Aspects, Challenges and Prospects in the Global Perspective‘ organized by

Garware College of Commerce in association with SPPU and James Cook University, Singapore

on 17th

and 18th

January, 2019 at YASHADA.

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Website : http://www.tatamotorsgrihini.org

Appendix I

Questionnaire - GRIHINI

The information provided will be kept confidential and used for academic research only.

(I) Personal Details:

Q1. Name:

Q2. Gender:

Q3. Date of Birth(dd/mm/yy)

Q4. Marital Status: Single Married Divorced

Widow/Widower

Q5. Languages spoken by the respondent:

Family Background:

Q6. No. of members in family (excluding self):

Q7. Number of siblings: Brothers( ) Sisters( )

Q8. Language spoken at home:

Q9. Highest level of education attained by the father:

Q10. Highest level of education attained by the mother:

Q12. Main occupation of father:

Q13. Main occupation of mother:

Q.15. What is your gross monthly family income : Rs. _____/month

Formal Education: Q.16. Have you at any time registered for or completed any course in higher Formal

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complete the information asked below:

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b)Duration of the course:

c)Name of Institution:

d)Year of Registration:

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f)Year when you will complete the course:_______ / year when you completed the

course:________

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A Glimpse in to Sustainable Urban Development and

Sustainable Urban Transport

Dr. Sheena Mathews Associate Professor,

Symbiosis College of Arts and Commerce, Pune, Maharashtra.

[email protected]

Abstract:

Sustainable Urban Development is a significant, immense and challenging aspect in

today‘s context. The adaptation of it from eight MDGs with 18 targets and 48 indicators, to

proposals for 17 SDGs with over 100 indicators, demonstrates its importance, outreach and

significance of it over different countries, economies and sectors. Urban sustainability aims at

bettering the life of individuals in cities with no intention of endangering the limited resources. It

intends to provide livability. Sustainable urban development is securing the safety of the future

with measures undertaken at present. It is a continuous journey of evolving. The essence of

sustainable development is to enable livable communities, while undertaking safety of the

historical, environmental resources. Transport is the lifeline of an economy. Urban transport

faces a number of challenges in usage , operation, feasibility and integration . Challenges of

urban transport ranges from Excessive Motorization, Urban Pollution, Road Accidents, Mobility

Challenges of the Poor, Disabled and Senior Citizens to name a few. The urban transport faces a

number of challenges. In order to establish a sustainable urban transport system it is essential to

have an all-inclusive and integrated approach to policymaking and decision making, where in all

stake holders are equally involved. The aim of sustainable urban transport system is to develop

affordable, people centered and environment friendly transport systems.The solutions are an

integration of various segments of the transport, government, people. The solutions are not water

tight system based. It involves the acceptance and willingness of people to comprehend the

problem and to follow the solutions Sustainable urban transport emphasizes the use of public

transport ,non-motorized transport( bicycles and walking) and discourages the use of

personalized modes of transport. Also promoting use of appropriate technology, integrated land

use mix, urban development plans and institutional support. The essence of the study is

understand the challenges of urban transport and to provide comprehensive solutions which are

sustainable.

Key Words: Sustainable Urban Transport, Motorization Road diet

Introduction:

Sustainable Urban Development is a significant, immense and challenging aspect in

today‘s context. The adaptation of it from eight MDGs with 18 targets and 48 indicators, to

proposalsfor 17 SDGs with over 100 indicators, demonstrates its importance, outreach and

significance of it over different countries, economies and sectors.

Sustainable Development

Sustainable development would encompass the coexistence of nature and homosapiens.

Sustainable development is a multidimensional phenomenon which engage both developed and

developing countries. Sustainable development visions to develop a quality life both in the

present and in the future. The quality would include at the social, economic and environment







front. There is a need for co-existence of man with nature which enables development and

secures the future. Sustainability Urban Development(SUD) is a powerful framework to develop

solutions that would improve the quality of life, involvingdifferent variables of sustainability that

enables operationalization, implementation/execution of activities by different agencies at local,

regional and international levels. There is an interlinking of policies and practices at cultural,

political and economic front.

Statement Of The Problem, Study Justification

Sustainable urban development is the bigger picture. Sustainable urban transport is one of

the spoke in the wheel of sustainable urban development which is essential for the wellness of

the city. Thus both are interlinked. The study is essential since only movement of people can

bring about major development.

Evolving Definition of Sustainable Development

‗Sustainable Development is development that meets the needs of the present

compromising the ability of the future generations to meet their own needs‘

Our Common Future, Report of the World Commission on Environment and Development 1987,

United Nations

‗ The Rio Conference or Earth Summit was a major success in raising public awareness

on the need to integrate environment and development

The Rio Deceleration in Principle 7, stated that ‗States shall cooperate in a spirit of global

partnership to conserve, protect, and restore the health and integrity of the Earth‘s ecosystem. In

view of the different contributions to global environmental degradation, States have common but

differentiated responsibilities. The developed countries acknowledge the responsibility that they

bear in the international pursuit to sustainable development in view of the pressures their

societies place on the global environment and of the technologies and financial resources they

command

United Nations Conference on Environment and Development,1992

‗Poverty eradication, changing consumption and production patterns , and protecting and

managing the natural resource base for economic and social development are over arching

objectives of, and essential requirements for sustainable development‘

The Johannesburg Declaration on Sustainable Development- Political Declaration, World

Summit for Sustainable Development, 2002

The conceptual framework……emphasis the challenges of understanding and exploring

avenues for human development with Earth system boundaries. The fundamental , holistic

,understanding is the basis for developing transformative pathways and solutions for global

sustainability‘

Future Earth(2013) Future Earth Initial Design: Report of the Transition Team.Paris:

International Council for Science(ICSU)

Sustainable development calls for robust economic development and a long term

convergence in living standards between rich and poor countries in ways that are socially

equitable and respect planetary boundaries‘

Sustainable Development Network, United Nations, at the launch of ‗The World in 2050:

Pathways towards a sustainable future‘, March 2015

Source: Sanwal,M ( 2015), pg.167






Objectives Of The Study

The study is an exploratory study and it examines:

An insight into the concept of Sustainable Urban Development

To comprehend the linkage between sustainable urban development and urban transport

To understand the issues and challenges of urban transport. There is a specific case study

of Vishrantwadi area, Pune is taken to understand area specific challenges

To provide a comprehensive solution for making sustainable urban transport possible

Research Question

Is sustainable urban transport an apt solution to an area where people are vying for place

among large number of vehicles?

Limitations Of The Study

The study is based on secondary data. The linkage is always a challenge both in theory and

practice.

An Insight Into Sustainable Urban Development:

Sustainable urban development may be defined as a process of synergetic integration and

co-evolution among the great subsystems making up a city (economic, social, physical and

environmental), which guarantees the local population a non-decreasing level of wellbeing in the

long term, without compromising the possibilities of development of surrounding areas and

contributing by this towards reducing the harmful effects of development on the

biosphere.(Camagni, R, 1998). The sustainable urban development is integrating the urban

spaces, with green belt, incorporating travel which is non-motorized and mix land use.

In his book Target 3billionDr. A.P.J. Abdul Kalam explained the constituents of sustainability as

consisting of:

Economic sustainability: This implies that the model is sound and robust and considers

the core competency of the area in order to achieve financial stability over a period of time

Technological sustainability: It implies better and fast operations, lower wastages, higher grade

products and services , at lesser cost

Social sustainability: It intends for societal up liftment working with local community

for building capacities and living standards

Environment sustainability: It aims at reducing emission, pollutions, protecting biodiversity,

waste recycling, awareness of ecology and accountability on environment

Value sustainability: It aims at creation of a value based society that lead to evolution of

enlightened citizens are powered by knowledge, skills and guided by moral values

Learning Adaptability: It aims at continuous learning and evolution to bring innovations

and enhance capacity to bring down cost and to add value.

The urbanization process engulfs the entire demography. The urbanization process brings

about not only shift of people from rural to urban areas but also has an impact on the movement

of people within the city. Cities are the centre of growth. Cities see a lot of movement of people

to them. Thus there is a strong need to develop the concept or urban sustainability. Urban

sustainability aims at bettering the life of individuals in cities with no intention of endangering

the limited resources. It intends to provide livability. Sustainable urban development is securing

the safety of the future with measures undertaken at present. It is a continuous journey of






evolving.The essence of sustainable development is to enable livable communities, while

undertaking safety of the historical, environmental resources.

Source: Porta, S. (2001)

For the development of a city or of a nation infrastructure is an essential element. The 14

letter word infrastructure encompasses definition by the World Bank. Infrastructure refers to

―long lived engineered structures, equipment, facilities, and services that are used in economic

production and by households which enhance residential and non-residential consumption and

production. Infrastructure includes: water systems, solid waste management, drainage and flood

protection, roads, mass transit, energy installations, and telecommunications, schools and

medical facilities, among other systems‖ (World Bank 1994).

Sustainable Urban Transport:

Sustainable Urban Transport is an integrated system which optimally satisfies

accessibility expectations of all concerned stakeholders on a continual and equitable basis in a

manner which isdynamic, eco-friendly, energy efficient, safe, affordable and operationally

viable.

attributes

Dynamic: This would refer to transport system which is changing with the requirements

of the consumers. It involves incorporating vehicle technology, information systems,

transport engineering etc.

Eco-friendly: This would refer to accepting transport system which is eco-friendly. It

would mean greater emphasis to pedestrians, bicycles, cycl-rickshaws, battery operated

busses, local trains, Compressed natural gas(CNG), Hybrid fuel vehicles






Energy Efficient: This would be possible only if the emphasis is on large scale

transportation of people through public transport either through road or rail.

Safe: The social and economic costs of accidents is very high. The paper throws a

glimpse on the issues of road accidents.

Affordable: Affordability of public transport for all is essential for the sustainable

transport to be successful. If not affordable then people would use either personalized

transport or outdated modes of transport to reduce expenses of travel

Operationally Viable: The viability of the transport system would depend upon land use

characteristics and the transport system in operation

Stakeholders Of Urban Transport

A city of any magnitude would have many stakeholders which make the urban transport

possible. The working of all the stakeholders are interlnked.

Challenges Of Urban Transport

In order to establish a sustainable urban transport system it is essential to have an all-

inclusive and integrated approach to policymaking and decision making, where in all stake

holders are equally involved. The aim of sustainable urban transport system is to develop

affordable, people centered and environment friendly transport systems. The paper looks at the

challenges facing urban transport.

Excessive Motorization

With increasing growth of cities both in density and in parameter there has been

excessive motorization. This phenomena is visible in both developed and developing countries.

Table shows that the developed countries have a high count of car per 1000 persons, indicating

high car usage. USA has the highest count of a car oriented system followed by Australia and the

European Cities. Due to high auto dependence in America and Australia/New Zealand (ANZ)

cities, there is higher trip making rates. This is reflected in terms of high total trips by motorised

private modes. Transport is interrelated with the urban form. American, Australian and Western






European cities are less densely populated consequently auto dominance is reflected. The

developing countries has a mix of transport modes and there is greater dependence on two-

wheelers.

Table 1: Transport Indicators in City Clusters

Indicators Australia/NZ High

Income

Asia

Latin

America

Low

Income

Asia

USA Western

Europe

Passenger Cars per

1000

persons(units/1000

persons)

575.4 210.3 202.3 105.4 587.1 413.7

Two-wheeler per

1000

persons(units/1000

persons)

13.4 87.7 14.3 127.3 13.1 32

Source: Kenworthy, 2011

Increased motorization does have negative externalities in terms of pollution both noise

and air and increased congestion issues. The developing countries are yet to comprehend the

enormity of the problem. In order to have greater mobility, more roads and flyovers are being

built. This only solves the problem to some extent and to some time. Since with more roads

come more vehicles and the congestion issue continues post some time.

The vicious cycle of motorized transport usage is shown in the diagram below:

Urban Pollution

The increased usage of vehicles causes excessive damage to the health. Increasing

pollutants and high level of carbon monoxide andhydrocarbons causes respiratory and

cardiovascular illnesses.






Table 2: Transport Indicators in City Clusters

Indicators City Clusters

Australia/NZ High

Income

Asia

Latin

America

Low

Income

Asia

USA Western

Europe

Private Passenger

Transport Energy

Use per

capita(MJ/person)

29610 9556 7283 5523 60034 15675

Public Transport

Energy Use per

capita(MJ/person)

795 1423 2158 1112 809 1118

Source: Kenworthy, 2011

Road Safety

Global status report on road safety states that about 1.3 million people die each year on

the world's roads and between 20 and 50 million sustain non-fatal injuries. Road traffic injuries

are the leading cause of death among young people, aged between 15 and 29.This is the first

broad assessment of the road safety situation in 178 countries.Over 90% of the deaths on the

roads occur in low-income and middle-income countries, which have only 48% of the world‘s

registered vehicles. Pedestrians, cyclists, and riders of motorized two-wheelers and their

passengers (who are collectively known as "vulnerable road users") account for around 46% of

global road traffic deaths. This proportion is greater in lowincome countries than in high-income

countries.One serious road accident in the country occurs every minute and 16 die on Indian

roads every hour.1214 road crashes occur every day in India.Two wheelers account for 25% of

total road crash deaths.

Top 10 Cities with the highest number of Road Crash Deaths (Rank –Wise):

1. Delhi (City)

2. Chennai

3. Jaipur

4. Bengaluru

5. Mumbai

6. Kanpur

7. Lucknow

8. Agra

9. Hyderabad

10. Pune

Source of Information:

National Crime Records Bureau, Ministry of Road Transport & Highway, Law

commission of India, Global status report on road safety 2013

Table 3 shows the personal vehicle ownership and official road traffic fatality rates per 100000

population for some countries including India (W.H.O. 2015). This study indicates that there are

countries with much higher vehicle ownership rates than India but lower road traffic injuries(

RTI) fatality rates. The data reflects that it is not necessary that increases in vehicle ownership

rates always result in increases in road traffic injuries fatality rates.

Table 3: Personal vehicle ownership and official road traffic fatality rates






Country MTW(Motorized Two-

wheeler) + light 4- wheelers

per 100 persons

Official fatality rate per

100,000 population

Australia 71 5.1

Canada 61 6

Japan 69 4.5

United Kingdom 54 2.8

India 9 12

Source: W.H.O, 2015

Mobility Needs of the Urban Poor

In most cases it is observed that the urban poor are forced to stay away from the Central

Business District(CBD). The reasons would vary from expensive housing to high standard of

living expenses. The urban poor tend to stay at the periphery and spend a lot of time and money

in commuting. Often the far away places are poorly connected by mass transit. Even if it is

connected by public transport, the poor have to spend a major part of their earnings on travel.

Also the roads at the outskirts are poorly maintained or do not exist. The poor mans mode of

transport i.e. the bicycle is worn out due to the non- existence or the poor quality of road . Also

the other alternative is the non-motorized transport(walking). The poor tend to walk to save on

mobility expense. But in the process have to spend longer time commuting and have to bear the

noise and air pollution. Besides they also are subjected to road accidents and fatalities(World

Bank 2002,UNDESA,2012 )

Mobility Needs of the Disabled and Senior Citizens

The disabled and senior citizens constitute an important segment of the socially

challenged group. Their travel concerns are different and difficult. Often planners do not

consider their challenges while providing transport facilities.

People with disabilityhave to not only overcome transport challenges but also have to

use transport mobility to find opportunities for education, employment, medical, and social

concerns of their life. Transport is not only a concern about also a tool which helps it open up a

lot of avenues of their life .

Case Specific - Vishrantwadi, Pune

Vishrantwadi is located in the north of Pune cityMaharashtra, India. It is a suburb of Pune

City which is of historical significance.Vishrantwadi used to be a resting place for the thousands

of Varkaris who made the annual pilgrimage from Alandi to Pandharpur(located south of

Maharashtra) by foot. Vishrant in Marathi means rest and vadi means town. Even today the

pilgrimage passes through vishrantwadi even today but now the pilgrims do not rest here.

Vishrantwadi is mainly connected by the public transportPune Mahanagar Parivahan

Mahamandal Ltd ( PMPML) to near and far areas. PMPML runs on regular and BRTS routes .

Despite the fact that public transport is a good sustainable transport. There are problems which

are specific to it. The problems specifically faced by people of Vishrantwadi are:

Duplication of Services:

The bus services provided by PMPML plies on both regular and BRTS route. In

Vishrantwadi the people are not sure which bus would come and to which bus stop. This means






that people are crossing roads and in the process endanger themselves and others.( as seen in the

picture)

Crossing by Pedestrians: Often pedestrians are crossing when the signal is green for

vehicle. Despite the fact that there is an overhead bridge built for the safety of

pedestrians. (Overhead bridge is seen in the picture)






Tank Road: The road is built for tanks of the Army to ply. Often this road is used for

parking, which means that when the tanks come there is quite a traffic confusion before

the vehicle is removed and the tanks are allowed to pass. Also the tank roads cause quite

a wear and tear to vehicles forced to ply on the roads.

Footpath Invasion : The invasion happens either by vendors, or personalized parking of

vehicles. This causes the pedestrians to walk on roads and in the process endanger their

lives

Other Problems: The other challenges like accidents, pollution, unsafe travel, health

challenges, expensive travel, poor public transport, poor integration of land-use and

transportdo exist.

Solutions For Sustainable Urban Transport Development

Thesolutions are an integration of various segments of the transport, government, people.

The solutions are not water tight system. It involves the acceptance and willingness of people to

comprehend the problem and to follow the solutions.Sustainable urban transport emphasizes the

use of public transport,non-motorized transport( bicycles and walking) and discourages the use

of personalized modes of transport. Also promoting use of appropriate technology, integrated

land use mix, urban development plans and institutional support.

Educating and Enforcing :

There is a very strong need to promote, and regulate the users of personalized transport.

Often people are unaware of traffic rules and regulations despite having received a driving

licence.

Public Transport and Bus Rapid Transit System(BRTS):

The need to enhance the usage of public transport both in terms of financial viability and

usage. The need to have a separate lane (BRTS lane) for busses would enable fast travel, less

congestion and greater use of busses by people.

Travel Information:

Advancement of technology is to be used in making travel comfortable. Technology can

be used for informing commuters about arrival and departure of busses, the extent of congestion

on roads, ticketing of busses and rail, payment of tolls, availability of parking space are different

avenues for application of technology.

Fare :

Single payment of fare to enable multiple vehicle usage. The commuter has the choice of

hopping from bus to train to cab and also clear toll payment and payment for parking through a

predesigned card payment.

Car-Bike Sharing:

There is a system of sharing the car and bike in a planned manner. This refers to plan and

pool a ride with your coworkers or friends. Companies also provide parking to those who have

used car pool for travel.

Road Diet:

Despite the challenges there is a new approach that is being followed. There is policy of

―road diet‖ being followed where in space for cars is reduced and re-allocated for public






transport and non-motorized transport. Also the approach is of having ―complete streets‖. It is

designed and operated to enable safe access for all users. People of all ages using different

modes of transport are given space, importance and their needs are catered to .

Cycle Sharing

:Self-locking bicycles are distributed around the city, and would be unlocked by calling

a phone number and entering a code. The payment is done through the mobile.Customers are

charged by the minute, the day, or the week. Customers can also use their cellphones to locate

the nearest bikes.This has been used in Pune in municipal corporation area.

Inclusive Housing:

This refers to housing structure which is all inclusive . This means that the area is

complete in all aspects which means that there is no need to travel outside the periphery.

Walking Zone:

There are certain segments of the road that can be closed on weekends so that it can be

used as walking plaza.

Congestion Pricing:

Tax to be levied on use of personalised vehicles on certain routes at certain time of the

day. London was the first country to successfully impose the tax.

Traffic Enforcement:

Traffic laws are followed only when a traffic personnel is available to supervise and

control. The electronic enforcement helps in speedy supervision. Switching to camera-based

enforcement enables supervision of speed limits, jumping of signals and other traffic laws.

Afterdetecting violations, the systems use license plate recognition to identify the defaulters and

to send them the violations fees.

Conclusion

Urban sustainability aims at bettering the life of individuals in cities with no intention of

endangering the limited resources. It intends to provide livability. Sustainable urban

development is securing the safety of the future with measures undertaken at present. It is a

continuous journey of evolving. Sustainable urban transport intends to coexist and make the goal

of sustainable urban development possible. To establish a sustainable urban transport system it

is essential to have an all-inclusive and integrated approach to policymaking and decision

making, where in all stake holders are equally involved. The essence of integrating sustainable

transport in the SDG goals is made possible only if the five E‘s are observed:

Evaluation of the travel situation prevalent

Engineer solutions that suite the city requirement

Educate

Encourage people to follow the different measures and

Enforce the measures.

Bibliography

1. ADB( 2007). Study On Sustainable Urbanization In Metropolitan Regions Halcrow

Group Limited in association with Tsinghua University, PRC and the UCL

Development






2. Annez, P.C and Buckley,R.M. (2010). Urbanization and Growth: Setting the Context In

Michael Spence, Patricia Clarke Annez,and Robert M. Buckley. Editor, Urbanization and

Growth. (pp.1- 45). Rawat Publications.

3. Baker, J.L( 2008).Urban Poverty: A Global View, World Bank, Urban Sector Board

4. Camagni, R. Sustainable urban development: Definition and reasons for a Research

Programme, International Journal of Environment and Pollution [Int. J. Environ. Pollut.],

vol. 10, no. 1, pp. 6-27, 1998.

5. Heberle,L.C& Opp,S.M(2008). Local Sustainable Urban Developmentin Globalized

World. ISBN 978-0-7546-4994-6. Ashgate Publishing Ltd, England.

6. Mohan,D. Tiwari,G. Bhalla,K.(2017)Road Safety in India: Status Report 2016 Dinesh

Mohan Geetam Tiwari Kavi Bhalla Transportation Research & Injury Prevention

Programme Indian Institute of Technology Delhi 2017

7. Moreno,M and Ruiz,J.P.( 2008). Sustainability of Urban Transport: Common Strategies

and Individual Actions in Local Sustainable Urban Development in Globalized

World.Heberle,L.C& Opp,S.M(2008). ISBN 978-0-7546-4994-6. Ashgate Publishing

Ltd, England.

8. Pardo,C.F(Sustainable Urban Transport in Shanghai Manual – A Guide for Sustainable

Urban Development in the 21st Century

9. Porta, S. (2001). Formal indicators: Quantifying the contribution ofform to urban (social)

sustainability. Australia: Walking the 21stcentury, pp. 67–79.

10. Rosenbloom, S.(2007).Transportation Patterns and Problems of People with Disabilities

retrieved from https://www.ncbi.nlm.nih.gov/books/NBK11420/

11. Sanwal,M .( 2015).The World‘s Search for Sustainable Development, A Perspective from

the Global South. Cambridge University Press. ISBN 978-1-107-12266-6

12. Simin Davoudi, S.(2005) .Urban Planning in Sustainable Urban Development Volume 1

The Framework and Protocols for Environmental Assessment Steven Curwell, Mark

Deakin and Martin Symes (eds) ISBN 0-203-35108-8 ( pg36-58) Taylor & Francis e-

Library

13. W.H.O (2017). 10 Facts on Global Road Safety.

14. World Bank .(2002). Cities on the Move: A World Bank Urban Transport Strategy

15. Review. Washington

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21st Century, United Nations Department of Economic and Social Affairs

17. http://www.who.int/features/factfiles/roadsafety/en/

http://www.who.int/features/factfiles/roadsafety/en/






Corporate Sustainability Policies and Stock Market Performance

Varsha Kshirsagar (Bhujbal) Research Scholar,

Ness Wadia College of Commerce, Pune, (Maharashtra)

[email protected]

Abstract:

Adequate financial resources are required for starting new entrepreneurial activity. All

entrepreneurial ventures must have resources such as capital, talent, accounting and finance,

operations, management, equipment and facilities.Funding can come from a variety of sources

including personal savings, credit lines of entrepreneurs, family members, friends, and other

sources and capital subscription from the public by issuing shares. Capital subscription is most

important as it is directly related to stock market performance during lifetime of the company.

After settlement of business company needs to pursue sustainability programmes.

Academic researchers have conducted several meta-analyses to know the correlation

between corporate Sustainability Policies and Stock Market Performance. They found that

corporate sustainability helps to lower a business‟s cost of capital and boosts a company‟s

operating performance. In addition, 80% of studies showed a “positive correlation” between

sustainability and stock market performance. Environmental, social and governance (ESG)

policies have more impact on Stock price.

This research paper explains how sustainability policies help to boost share prices by

finding correlation between Corporate Sustainability Policies and Stock Market Performance.

ESG policy analysis will show the how sustainability improves share value.

Keywords: Sustainability, Sock Market Performance, ESG, Sustainability policies, Stock price

1.0 Introduction:

In recent years the term ―Corporate Sustainability‖ is getting very popular. This term is

often used as a synonym for, other terms such as ―sustainable development‖ and ―corporate

social responsibility.‖ The phrase is derived from the concept of "sustainable development" and

the "triple bottom line." The Brundtland Commission's Report, Our Common Future, described

sustainable development as, "development that meets the needs of the present without

compromising the ability of future generations to meet their own needs."

Corporate sustainability is an approach aiming to create long-term stakeholder value

through the implementation of a business strategy that focuses on the ethical, social,

environmental, cultural, and economic dimensions of doing business. The strategies created are

intended to foster longevity, transparency, and proper employee development within business

organizations.

Elkington (1997) developed the concept of the Triple Bottom Line According to him it

means that business goals were inseparable from the societies and environments within which

they operate. Corporate sustainability is an alternative to the traditional growth and profit-

maximization model.

1.1 Objectives

1. To understand the concepts of corporate sustainability.


https://en.wikipedia.org/wiki/Brundtland_Commission

https://en.wikipedia.org/wiki/Our_Common_Future

https://en.wikipedia.org/wiki/Corporate_transparency

https://en.wikipedia.org/wiki/Triple_Bottom_Line






2. To know the relation between corporate sustainability and stock market performance.

3. To conduct case study of Tata Chemicals ltd.which is the top most of sustainable

companies to find the relation of corporate sustainability and stock market performance?

1.2 Hypothesis

1. There is a positive relationship between Corporate Sustainability and Stock market

performance.

1.3 Research Methodology

Data is collected from various websites like Tata Chemicals moneycontrol.com, NDTV

Profit,CSR box and some other reports of Tata Chemicals ltd. to know financial performance

and Stock market performance of Tata Chemicals Ltd.

1.4 Concepts of Corporate Sustainability:

There are four established concepts which contributes to Corporate sustainability. They are

discussed as follows:

1. Sustainable Development:

As per the book published by the World Commission for Environment and Development

(WCED). Sustainable development means ―a process of change in which the exploitation of

resources, the direction of investments, the orientation of technological development, and

institutional change are all in harmony and enhance both current and future potential to meet

human needs and aspirations.‖ Sustainable development combines economics, social justice,

environmental science and management, business management, politics and law.

2) Corporate social responsibility:

Corporate social Responsibility is also called corporate conscience, corporate citizenship,

social performance, or sustainable business.It is the integration of socially beneficial programs

and practices into a corporation's business model and culture. CSR aims to increase long-term

profits for online and offline businesses by enabling them to become more efficient and attract

positive attention for their efforts.

3) Stakeholder theory

Stakeholder theory was first popularized by R. Edward Freeman in his 1984

book Strategic Management: A Stakeholder Approach (Pitman Books, Boston, Mass, 1984).

Freeman defined a stakeholder as ―any group or individual who can affect or is affected by the

achievement of the organization‘s objectives.‖ The basic premise of stakeholder theory is that the

stronger your relationships are with other external parties, the easier it will be to meet your

corporate business objectives; the worse your relationships, the harder it will be. Strong

relationships with stakeholders are those based on trust, respect, and cooperation.

4) Corporate Accountability

The fourth and final concept underlying corporate sustainability is corporate accountability.

Accountability is the legal or ethical responsibility to provide an account or reckoning of the

actions for which one is held responsible.






Corporate Sustainability and Stock market Performance

India‘s Top most company Tata Chemicals is selected for sustainability on the basis of

Responsible business ranking 2018 done by Indian Institute of Management (IIMU)for studying

relationship between Corporate Sustainability and Stock market performance. Following are the

top 10 companies for sustainability.

Sr. No. Name of the Company Sr.No. Name of the Company

1. Tata Chemicals 6. Tata Power Company Ltd.

2. Ambuja Cement 7. Bharat Petroleum Corporation

3. Infosys Ltd. 8. ITC Ltd.

4. Mahindra and Mahindra Ltd. 9. Hindustan Zinc Ltd.

5. Tata Motors Ltd. 10. Indian Oil Corporation

1.6Summary of sustainability practices of Tata Chemicals

Case Study – Tata Chemicals

Details of the

Company

Tata Chemicals started their business in Mithapur, Gujarat, in western India in 1939 with

a small plant that would raise a wealth of marine chemicals from the ocean .A part of the

over $100 billion Tata Group, Tata Chemicals Limited is a global company with

interestsin businesses that focus on essentials for LIFE: Living, Industry and Farm

Essentials.

Tata Chemicals operates in the sectors of consumer products, industry chemicals,

agrosolutions and nutraceuticals

The company‘s Basic Chemistry product range provides key ingredients to some of the

world‘s largest manufacturers of glass, detergents and other industrial products.

Tata Chemicals currently is the world‘s third largest producer of soda ash with

manufacturing facilities in Asia, Europe, Africa and North America. The company

through its subsidiary Rallis has a strong position in the crop protection business. The

Tata Chemicals Innovation Centre is home to world class R&D capabilities in the

emerging areas of food sciences, nanotechnology and biotechnology.

Certifications

ISO 9001: 2015, KOSHER CERTIFICATION, IFANCA HALAL PRODUCT

CERTIFICATE,NSF CERTIFICATE

Commitment to

sustainable

practices

1. 1. Saving Energy

Tata Chemicals has implemented several schemes to save energy across its plants,

including the commissioning of a solar photo-voltaic plant

2. 2. Save the Shark Project

TCL teamed up with the Wildlife Trust of India and the Gujarat State Forest Department

to launch the ‗Save the Whale Shark Campaign‘ which has resulted in the rescue and

release of 585 whale sharks

3. 3. Aspire

With a view to take its commitment towards social responsibility a notch higher, TCL

reaches out to the needy through its plethora of CSR initiatives, offering them

opportunities for learning and education






Case Study – Tata Chemicals

Impact to

business

TCL‘s Corporate Social Responsibility team won the Best Practice Award on Sustainable

Development Goals of UN Global Compact Network India in 2017-18

For the company's business, build your image around sustainability has great potential to

add value to their products reduce risk of corporate image in case of accidents with

impacts on the environment and society.

Stock Market

Performance

Consolidated Net Profit from continuing operations stood at Rs. 409 Cr, up 17 percent

Standalone Profit from continuing operations stood at Rs.295 Cr, up 109 percent

PE Ratios : 10.22

EPS (Rs.)- :69.34

Sales (Rs. Cr)- :1,013.61

Face Value (Rs.) :10

Net ProfitMargin (%) :50.97

Last Dividend(%) :110

Return on Average Equity :15.

1.7Analytical study of Tata Chemical‟s 5 Years Financial Summary and stock Market

Performance: (Source:NDTV Profit)

Interpretation:

Above table shows the financial performance of Tata Chemicals ltd. For five years from 2013-14

to 2017-18 profit after tax, Earnings per share and Book value per share is increasing from last

five years. It shows overall growth in stock market performance.

1.8Analytical Study of Tata Chemical‟s 5 Years Financial Ratio( Source : NDTV Profit)

Parameters MAR'18

(₹ Cr.)

MAR'17

(₹ Cr.)

MAR'16

(₹ Cr.)

MAR'15

(₹ Cr.)

MAR'14

(₹ Cr.)

PAT 1,766.96 692.71 666.20 637.97 436.07

Earnings Per

Share (in ₹) 69.36 27.19 26.15 25.04 17.12

Book Value (in

₹) 444.50 347.60 317.40 236.78 223.15

Parameters MAR'18

(₹ Cr.)

MAR'17

(₹ Cr.)

MAR'16

(₹ Cr.)

MAR'15

(₹ Cr.)

MAR'14

(₹ Cr.)

ROA(%) 13.10 5.35 5.13 5.31 3.92

ROE(%) 17.51 8.18 9.44 10.89 7.94

ROCE(%) 23.20 10.39 10.76 11.92 8.50

Operating

Profit Growth 21.70 3.49 4.92 9.09 -19.91

Net Profit

Growth 155.08 3.98 4.42 46.30 -32.22

EPS

Growth(%) 155.08 3.98 4.42 46.30 -32.22






1.9 Details of Share Price at BSE as on 31st Dec. every year ( Source : NDTV Profit)

Year Share Price

2013 274.90

2014 434.30

2015 408.80

2016 501.60

2017 726.05

2018 760.00

Interpretation

Above table shows share price details from 2013 to 2018. It shows rise in Share price . It

is an Indicator of good share market performance.

1.10Sustainability Practices and CSR Financial Details (CSR BOX CSR in India)

Year 2016-2017 2015-2016 2014-2015

Actual CSR 15.00 Cr 13.97 Cr 10.20 Cr

Prescribed CSR 13.92 Cr 12.34 Cr 11.66 Cr

Interpretation of CSR Details:

Above table shows CSR expenditure details of Tata chemicals ltd. For last 3 years. It shows

every year company has contributed more towards sustainability programme.

1.11Implementing Partners of Sustainability Practices

Tata Chemicals Society for Rural Development

Tata Chemicals Golden Jubilee Trust

OKHAI

Uday Foundation

Thematic Areas

Eradication Hunger, Poverty, Malnutrition

Preventive Healthcare, Water and Sanitation

Education, Employability and Livelihoods Enhancement

Environmental Sustainability

Rural Development

Contribution to Central Government Fund

1.12 Highlights of IIMU Report- Responsible business Ranking 2018

Tata group companies occupy the prime position. Of the top five companies, three are from

the Tata stable (as compared to four in the previous year).

Ambuja Cement has moved up to the second position. Infosys, Bharat Petroleum

Corporation Ltd, Hindustan Zinc and Indian Oil Corporation Ltd joined the top ten list.

Two public sector companies have entered the top 10 list – Bharat Petroleum Corporation

Ltd and Indian Oil Corporation Ltd.

Like the previous years, this year too there is no foreign company in the top ten list.

1.13 Conclusion

A part of the over $100 billion Tata Group, Tata Chemicals Limited is a global company

with interests in businesses that focus on essentials for LIFE: Living, Industry and Farm

Essentials.






On the basis of case study and analysis of sustainability and stock market performance

done in this research paper it is concluded that there is a positive relationship between Corporate

sustainability and Stock market performance.

References:

1. https://iveybusinessjournal.com/publication/corporate-sustainability-what-is-it-and-

where-does-it-come-from/

2. https://www.futurescape.in/responsible-business-rankings/responsible-business-

performance/

3. https://kb.osu.edu/bitstream/handle/1811/80687/4/Yilin_Zhang_Thesis.pdf

4. https://file.scirp.org/pdf/ME20110500009_57182350.pdf

5. http://www.scielo.br/scielo.php?pid=S0104-

530X2017000300514&script=sci_arttext&tlng=en

6. http://www.tatachemicals.com/about-us/Company-profile

7. http://www.tatachemicals.com/upload/content_pdf/press-release-financial-results-quarter-

ended-september-30-2018.pdf

8. https://money.rediff.com/companies/Tata-Chemicals-Ltd/12090010

9. https://youtu.be/g824uNLbieo

10. https://www.ndtv.com/business/stock/tata-chemicals-ltd_tatachem/financials-historical-

ratio

11. http://www.tatachemicals.com/upload/pdf/ISOCertGRW.pdf

https://iveybusinessjournal.com/publication/corporate-sustainability-what-is-it-and-where-does-it-come-from/

https://iveybusinessjournal.com/publication/corporate-sustainability-what-is-it-and-where-does-it-come-from/

https://kb.osu.edu/bitstream/handle/1811/80687/4/Yilin_Zhang_Thesis.pdf

https://file.scirp.org/pdf/ME20110500009_57182350.pdf

http://www.tatachemicals.com/about-us/Company-profile

http://www.tatachemicals.com/upload/content_pdf/press-release-financial-results-quarter-ended-september-30-2018.pdf

http://www.tatachemicals.com/upload/content_pdf/press-release-financial-results-quarter-ended-september-30-2018.pdf

https://money.rediff.com/companies/Tata-Chemicals-Ltd/12090010

https://www.ndtv.com/business/stock/tata-chemicals-ltd_tatachem/financials-historical-ratio

https://www.ndtv.com/business/stock/tata-chemicals-ltd_tatachem/financials-historical-ratio






Sustainable Job Creation through Plastic Waste Management

Abdul Kadir Nasir Hussain Arsiwala


Moolji Jaitha College, Jalgaon, Maharashtra

[email protected]

Abstract:

Plastic is an invention that turned into Frankenstein‟s monster. Plastic has multiple uses

and the physical and chemical properties that have lead to its commercial success. However

indiscriminate disposal of plastic has become major threat to environment. India generates

about 15,722 tonnes of plastic waste per day and contributes to 8 per cent of the total solid waste

generation. Only around 9200 tonnes of plastic is recycled daily. This constitutes around 60% of

total plastic waste generated daily. Around 6000 tonnes of plastic is either burned in unsafe

ways or discarded in local surroundings. Government has introduced Plastic waste management

rules 2016 which specify Extended Producer Responsibility (EPR). EPR is a practice and policy

approach in which producers are made responsible for collecting and processing their

manufactured products upon end of their lifetime. Responsibility may be fiscal, physical or a

combination of both. The current paper discusses the working model of Producer Responsibility

Organisations (PROs) who take back waste from open market, recycle or process, and file

compliance of EPR on behalf of producers. The paper also discusses on how these PROs can be

a source of sustainable employment and job creation means for the economy.

Keywords: Job Creation, EPR, PRO, Waste Management, Plastic Waste recycling.

1. Introduction

Plastic is an invention that turned into Frankenstein‘s monster. It has multiple uses and

the physical and chemical properties that have lead to its commercial success. However

indiscriminate disposal of plastic waste has become major threat to environment. Biggest

contributors to plastic waste are plastic bags. Every year millions of plastic bags end up in to the

environment in soil, water bodies, water courses, etc. It takes an average of one thousand years

for plastic waste to decompose completely.

Benefits of plastics are no doubt undeniable; they are durable, portable and economical.

But extended durability of plastic has now become its greatest disadvantage. India generates

about 15,722 tonnes of plastic waste per day and contributes to 8 per cent of the total solid waste

generation. This is not the main problem. The problem is the fact that only 60 per cent of it is

processed and the remaining 6,000 tonnes of un-segregated and littered waste remain scattered in

our neighbourhoods and landfills, clogging drains, creating unpleasant sights and releasing

greenhouse gases like methane.

In spite of a scarcity of reliable data on the volume and mix of plastic waste in

rural areas, it is becoming increasingly clear that plastics are posing significant

environmental and health challenges in rural communities. In Macro form, plastics act as

physical barriers, degrade soil quality, and get ingested by livestock and also other fauna, lead to

blockages in drains and streams. In Micro form Plastics are disturbing

local ecological balances and show up in water and land as micro-plastics.







Plastic waste disposal methods in rural India are often basic and unapprised and

further aggravate the challenge. The open burning of plastics generates toxic

emissions such as carbon monoxide, dioxins, and nitrides. Low-quality plastics,

common in rural India, also leach out toxic additives.

Government has introduced policies on Proper waste management of plastic since last

two decades. Most policy measures have focused on segregation, collection, and

in certain cases banning the use of certain categories of plastics altogether. Many States and local

bodies have made guidelines which are compliant with these policy measures, but major

challenges lie in the acceptance and implementation of these policies at ground level.

The lack of segregation of plastics waste, the absence of organized systems of

collection and efficient aggregation, poor economic value in low-grade (thin)

plastics, and the livelihoods associated with plastics production have been the

key categories of challenges.

2. Objectives to process plastic waste

Plastic waste is not homogenous. Different types of plastics demand different type of

attention from a waste management point of view.

Most commonly found plastics in rural areas (polythene bags, bottles, etc.) are

thermoplastics. They are relatively easy to recycle but difficult to collect viably at scale

given the low density in rural areas.

Plastics found in electrical and cooking appliances are mixture of thermos/thermosetting

plastics. They are technically challenging to recycle at scale, but also not very common in

rural areas.

Plastics in India are produced by over 30,000 units, 90-95% of them being small-scale

informal entities. This proves it challenging to enforce quality standards and recycling

processes.

60% of all plastics produced in India are currently recycled. PET bottles have a recycling

rate of 90%. There is a strong network of informal scrap dealers who recycle plastics but

they are susceptible to macroeconomic shocks and taxation policies.

Plastics continue to threaten the quality of our land, water and air. Unsafe disposal of

plastics in rural areas is becoming prevalent and will come at massive costs to the rural

ecology and economy.

Some kinds of plastic do not decompose at all; others could take up to 450 years to break

down, leaving a vexing problem to address.

There are several types of plastics in circulation across India, found in a variety of

consumer products and they vary on whether they can be recycled and if so, is the recycling

process economically feasible.

Plastics that are not recyclable from a technical standpoint: These are plastics found

in electrical and cooking appliances for instance; laminate packaging such as Chips and

Biscuit packaging and PVC pipes etc.

Plastics that are recyclable but the recycling process is not economically viable: Low

quality plastic bags that are technically easy to recycle but are far too scattered to be

collected efficiently fall within this category; polyester clothing along with bags and foot

wear made from plastic are not economically recyclable.

Plastics that can be recycled in economically viable ways: Plastics such as PET bottles

that are both technically recyclable and also viably collected fall within this category.

Technically, plastics get divided into two categories:






Thermoplastics are those that do not undergo changes in their chemical composition

when exposed to heat, and thus can be moulded repeatedly.

Thermosetting plastics can melt and only be shaped once. They are challenging to

recycle at scale given existing technologies.

3. Production of Plastics

There are around 30,000 factories producing plastic materials across the country. The

industry employs estimated 40 Lakh people. Approximately 90% of these units are small and

medium-sized enterprises, often producing low-grade plastics in unorganized and informal

sector. It is particularly difficult to monitor and regulate production of plastics in these

enterprises. Indian packaging industry is valued at over USD 32 Billion and offers employment

to more than 10 lakh people across the country through approximately 10,000 firms

35% of plastic consumption is in packaging, and 23% is in building and construction.

Other relevant categories are transport (8%), electronics (8%) and agriculture (7%).

Consumption of plastics in consumer goods is growing at an alarming rate, and much of this

growth is likely to be rooted in rural areas.

4. Disposal and treatment of Plastic

Only around 9200 tonnes of plastic is recycled daily. This constitutes around 60% of total

plastic waste generated daily. Around 6000 tonnes of plastic is either burned in unsafe ways or

discarded in local surroundings.

A thriving informal market has emerged in India for recycling of plastic waste. Most of

the business is in PET bottles. PET bottles are collected by scrap dealers for Rs 14-15 per Kg.

almost 90% of all the PET bottles manufactured are recycled. These bottles are collected,

shredded, washed and sold as flakes. These flakes are sold as raw materials to various big

manufacturers at Rs 45-50 per Kg. the recycling business for PET bottles alone is estimated to be

around 3000 – 4000 crores business annually. However informal Industry of plastic scrap dealers

is susceptible to economic fluctuations. Last year scrap dealers have seen price of their products

fall substantially owning to taxation and drops in oil prices. Earlier plastic scrap was taxed at 12-

18% under GST which was dropped to 5% in October 2017. This led to drastic fall in circulation

of plastic scrap in market. Additionally drop in crude oil prices have resulted in making virgin

plastic available at more affordable rates. This has further impacted the business of plastic scrap

dealers.

5. Emergence of Producer Responsibility Organisations

To introduce and promote scientific plastic waste management, the Plastic Waste

(Management and Handling) Rules, 2011 were notified in 2011, which included plastic waste

management. The Government has notified the Plastic Waste Management Rules, 2016, in

suppression of the earlier Plastic Waste (Management and Handling) Rules, 2011.

Plastic waste management rules 2016 specify the following

Rural areas have been brought in ambit of these Rules since plastic has reached to rural

areas also. Responsibility for implementation of the rules in rural areas has been given to

Gram Panchayat.

Responsibility of waste generators is being introduced for the first time. Individual and

bulk generators like offices, commercial establishments, industries are to segregate the

plastic waste at source, handover segregated waste, pay user fee as per bye-laws of the

local bodies.






Plastic products are left littered after the public events (marriage functions, religious

gatherings, public meetings etc) held in open spaces. To prevent this, persons organizing

such events have been made responsible for management of waste generated from these

events.

Use of plastic sheet for packaging, wrapping the commodity except those plastic sheet‘s

thickness, which will impair the functionality of the product are brought under the ambit

of these rules. A large number of commodities are being packed/wrapped in to plastic

sheets and thereafter such sheets are left littered. Provisions have been introduced to

ensure their collection and channelization to authorized recycling facilities.

Extended Producer Responsibility: Earlier, EPR was left to the discretion of the local

bodies. Now the producers (i.e persons engaged in manufacture, or import of carry bags,

multi-layered packaging and sheets or like and the persons using these for packaging or

wrapping their products) and brand owners have been made responsible for collecting

waste generated from their products. They have to approach local bodies for formulation

of plan/system for the plastic waste management within the prescribed timeframe.

State Pollution Control Board (SPCBs) will not grant/renew registration of plastic bags,

or multi-layered packaging unless the producer proposes the action plan endorsed by the

concerned State Development Department.

The entry points of plastic bags/plastic sheets/multi-layered packaging in to commodity

supply chain are primarily the retailers and street vendors. They have been assigned the

responsibility of not to provide the commodities in plastic bags/plastic sheets/multi-

layered packaging which do not conform to these rules. Otherwise, they will have to pay

the fine.

Plastic carry bag will be available only with shopkeepers/street vendors pre-registered

with local bodies on payment of certain registration fee. The amount collected as

registration fee by local bodies is to be used for waste management.

Central Pollution Control Board (CPCB) has been mandated to formulate the guidelines

for thermoset plastic. In the earlier Rules, there was no specific provision for such type of

plastic.

Manufacturing and use of non-recyclable multi-layered plastic to be phased in two years.

EPR is a policy approach in which producers are made responsible for collecting and processing

their manufactured products upon end of their lifetime. Responsibility may be fiscal, physical or

a combination of both.

EPR is a blend of following factors

Economic (shift responsibility of cost of disposal to producer),

Environmental (design recyclable products and discourage use of toxic components)

Social factors (meet increasing consumer demand for environment-friendly products or

those manufactured using recycled content).

So far, its implementation in India is unsatisfactory, except some producers, who have

been voluntarily collecting and recycling the waste generated by their products. But with no

appropriate systems in place, take-back of products has become a challenge.

However, there is a shift in wave with numerous Producer Responsibility Organisations

(PROs) now coming into the picture. A PRO is a third-party organisation that facilitates the

responsibility of producers to take back waste from open market, recycle or process, and file






compliance. With a PRO, producers do not physically take back the product, but instead support

the process financially.

Manufacturers pay service fees to PROs for enabling EPR compliance. The fee consists of:

1. Cost of reverse logistics

2. Cost of compliance

The cost of reverse logistics and compliance are high for an individual producer and

creates an opportunity for PROs to work with multiple producers.

PROs source waste from self-owned collection centers through the informal sector.

Additionally, they also operate through franchisee-driven sourcing centers, which reduce

transaction costs. In general, the obligation to recycle is transferred to a certified recycler. In few

instances, these recyclers also operate as PROs by instituting their own collection channels.

Companies are warming up to the idea of PROs to deal with plastic waste. Recently,

PepsiCo India committed to work toward collecting and recycling PET plastic waste generated in

Maharashtra. It has forged a partnership with Gem Enviro (PRO) to set up infrastructure for

collection and recycling. The PET bottles would be recycled to manufacture thermal wear,

furnishing fabrics and carpets.

PET waste will be sourced through developed network of scrap dealers and contractors,

who, in turn, work through informal ragpickers. Gem Enviro is known for following a

technically advanced process of reverse logistics and sourcing PET waste through automated

reverse vending machines. The quality of waste sourced through this chain is also known to be of

high quality. In addition, Gem Enviro associated with Ganesha Ecosphere Ltd (GESL) as the

collection and recycling partner. GESL sources raw material through a pan-India network of

more than 20 collection centres. PET waste at collection centres are further sent for processing.

This established network enables collection of about 225 tonnes of PET waste daily.

6. Waste Collection Model of PRO:

Saahas Zero Waste (SZW) another major player in field of reverse logistics, collecting

plastics through extensive network of informal sector in Bengaluru, Gurugram, Chennai,

Hyderabad, Surat, Bellary and Hubli, has a strong collection model involving scrap dealers and

informal sector of waste collectors who ensure collection of large quantity of tetra packs.

Material recovery facilities (MRF) are the secondary aggregation and segregation point.

Secondary segregation of paper, glass, metal and plastic is done at the MRF. Plastic is further

segregated into 16 categories to increase sale value. SZW acts only as a collection partner and

forwards the materials to Tetra Pak on reaching threshold (holding capacity of MRF). This

model is a perfect example of strengthening existing value chain to ensure efficient sourcing of

waste.

Waste Venture is a PRO operating from Hyderabad and offers PRO solutions for a

leading FMCG. The collection chain is driven by web app and on-call demand-based collection

from residential and commercial establishments. This is further supported by nearly 30,000

informal waste collectors associated with the PRO. Waste Ventures created a database of these

waste pickers, provided social identity, infrastructure and training on safe and hygienic way of

handling waste. This ensured supply of quality raw material from these informal waste collectors

at lower rates compared to an aggregator.

7. Sustainable Job Creation through Plastic Waste Management:

Waste recycling is a Rs 5 lakh crore opportunity that can boost employment opportunities

in the country. The waste recycling policy can help in transforming the country‘s economy,

Nitin Gadkari said at NITI Aayog‘s International Conference on ―Sustainable Growth through

Material Recycling: Policy Prescriptions.‖ There is a huge opportunity to convert waste into






wealth, Ministry said in a release citing Road Transport, Highways, Shipping, Water Resources,

River Development and Ganga Rejuvenation Minister.

In China, the recycling industry created 1.5 million direct jobs and about 10 million

indirect jobs. In India, the metal recycling sector currently employs nearly 1.75 million people

and contributes around 2 per cent to GDP. For India, recycling has the potential to create six

times more jobs and generate around ₹14-lakh crore of additional cost savings by 2030, which is

approximately 11 per cent of our annual GDP.

While source segregation has to be actively promoted through behavioral shifts, the four

million rag-pickers and kabadiwalas should be substantially incentivized and trained to

efficiently transfer sorted waste to the recyclers. A key policy thrust should be to achieve a

systematic formalization of this sector. The rag-pickers should be given an official identity,

trained on environmentally safe scrap-handling practices and supported with a minimum wage.

At Institutional level, Government can set up more Institutions that provide trainings to

pursue a job in plastics industry. The Central Institute of Plastics Engineering & Technology

(CIPET) is playing a key role in creating Plastic Engineers, these engineers will play a vital role

in recycling and reuse of plastics. Currently there are 39 CIPETs in India and Government plans

to take the figure to 50 CIPETs in few years.

In 2014, there were 40,000 engineers and technicians in the country even though there is

a demand for an estimated 8 lakh plastic engineers required in the country. CIPETs provide

degree programs in Plastics Technology services the fields of Design, Tool Room, Processing,

Testing, Inspection and Plastics Waste Recycling services the Polymer & allied Industries.

8. Conclusion:

From the above we can conclude that Recycling of Plastic waste has a vast potential for

job opportunities in future. The Government will have to play key role in bringing currently

informal sector of Plastic scrap business into a mainstream formal sector and implementing

policies to standardize the workings and wages in this sector.

References:

i. Https://Economictimes.Indiatimes.Com/Industry/Indl-Goods/Svs/Paper-/-Wood-/-Glass/-

Plastic/-Marbles/India-WantsTo-Double-Consumption-Of-Cheap-Material-In-5-Yrs-

What-About-Its-Plastic-Waste/Articleshow/59301057.Cms

ii. HTTP://FICCI.IN/SPDOCUMENT/20690/PLASTIC-PACKAGING-REPORT.PDF

iii. AIPMA, Plastindia, TATA Strategic Analysis; 2017

iv. CPCB 2013 report

v. CSIR NCLI resources (www.petrecycling.in)

vi. Technical Note for Solid and Liquid Waste Management in Rural India, Ministry of

Rural Development, Department of Drinking Water and Sanitation, and UNICEF – 2010

vii. https://www.downtoearth.org.in/news/waste/how-plastic-producing-companies-can-

make-waste-recycling-viable-61272

viii. https://economictimes.indiatimes.com/news/politics-and-nation/experts-believe-

recycling-plastic-waste-can-create-more-jobs-in-india/articleshow/64418179.cms

ix. http://vikaspedia.in/energy/environment/waste-management/plastic-waste-management-

rules-2016

x. https://www.dailypioneer.com/2018/india/plastic-industry-could-be-major-job-creator-

ananth-kumar.html

xi. https://www.financialexpress.com/economy/waste-recycling-can-boost-modis-job-

creation-dream-union-minister-tells-how-niti-aayog-can-help/1273391/

https://economictimes.indiatimes.com/Industry/Indl-Goods/Svs/Paper-/-Wood-/-Glass/-Plastic/-Marbles/India-WantsTo-Double-Consumption-Of-Cheap-Material-In-5-Yrs-What-About-Its-Plastic-Waste/Articleshow/59301057.Cms



http://ficci.in/SPDOCUMENT/20690/PLASTIC-PACKAGING-REPORT.PDF

http://www.petrecycling.in/

https://www.downtoearth.org.in/news/waste/how-plastic-producing-companies-can-make-waste-recycling-viable-61272

https://www.downtoearth.org.in/news/waste/how-plastic-producing-companies-can-make-waste-recycling-viable-61272

https://economictimes.indiatimes.com/news/politics-and-nation/experts-believe-recycling-plastic-waste-can-create-more-jobs-in-india/articleshow/64418179.cms

https://economictimes.indiatimes.com/news/politics-and-nation/experts-believe-recycling-plastic-waste-can-create-more-jobs-in-india/articleshow/64418179.cms

http://vikaspedia.in/energy/environment/waste-management/plastic-waste-management-rules-2016

http://vikaspedia.in/energy/environment/waste-management/plastic-waste-management-rules-2016

https://www.dailypioneer.com/2018/india/plastic-industry-could-be-major-job-creator-ananth-kumar.html

https://www.dailypioneer.com/2018/india/plastic-industry-could-be-major-job-creator-ananth-kumar.html

https://www.financialexpress.com/economy/waste-recycling-can-boost-modis-job-creation-dream-union-minister-tells-how-niti-aayog-can-help/1273391/

https://www.financialexpress.com/economy/waste-recycling-can-boost-modis-job-creation-dream-union-minister-tells-how-niti-aayog-can-help/1273391/






Green Marketing and Customer Accountability

Shraddha Rahane

Research Scholar,

MES. Garware College of Commerce, Pune, (Maharashtra)

[email protected], [email protected]

Abstract

Green marketing is the marketing of goodswhich are friendly to the environment. People

are more conscious about the environmental issues which are increasing day by day, and they

look forward to purchasing goods which are not harmful to the surroundings. There are

basically two types of customers, one who issensible about the environment and second who is

not sensible about the environment. The sensiblecustomers might compromise in quality,

appearance, packaging, and other features over the environmental friendliness of the goods but

other insensiblecustomersmight not be ready to compromise. The business organization needs to

satisfy customer needs and have to provide the best goods to position themselves in the market

competition. Business organizations are bound to provide satisfactory goods to their customers.

The study here is related to whether a business organization is able to provide satisfactory goods

by using eco-friendly material and contents for the goods and service. Sometimes performance of

the environment friendly material and contents is of good quality but sometimes it is

comparatively not. If it is not as good as other non-ecofriendly material then it is challenging to

the business organization to provide accountable goods and service to the customers. Goods

include its contents, features, packaging, container, delivery etc. Green marketing is nothing but

the eco-friendly practices in all mention above. This kind of marketing may not be cost effective

but it can be profitable due to the increasing demand. Now a day people prefer eco-friendly

goods so a business organization can take advantage of it and increase sales. While providing

value to the customer it has to be considered that whether eco-friendly goods really satisfy to the

entire customer group or not. Business organizations have to use different ways to satisfy

customers in practicing green marketing.

Introduction

Marketing itself is the efforts taken by the business organization to satisfy customers,

Green Marketing is the part of marketing and objective of the both is the same which is to satisfy

customers for the profit motive. Green marketing is environmental friendly marketing so the

contents of goods, packaging, delivery, containers include eco-friendly material only. The basic

thing in green marketing is protecting the atmosphere but with this business, organization have to

think about customer satisfaction too. The response from customers to eco-friendly practices is

good only from customers who are conscious about the atmosphere but not from others. The

good response means these customers give more importance to the safety of the environment and

not satisfaction from goods. An increasing number of environmentally conscious customers is an

opportunity for a business organization. But the satisfaction of other customer group is

challenging for the organization which has the organization have to take care of.

Importance

There are different environmental issues like uncertain climate change, pollution, scarcity

of natural resources etc., are increasing day by day. Green marketing is a step towards saving of

atmospherewhich business organization should need to take and people need to respond to the








eco-friendly practices of the organization. Now it‘s a need of time to save the surroundings by

doing this green marketing practice because ultimately it is good itself to the people who are

living in the society. Green marketing is considered as societal marketing too because ultimately

it is advantageous to society.Customer accountability is also very important because while doing

green marketing practice business organization has to take care of both customer group‘s

basically environmental conscious and unconscious. Because as discussed above conscious

customers may compromise with product satisfaction but unconscious customers are not. So that

business organization at the same time has to take efforts to satisfy all the customers by doing

green marketing practices.

Conceptual Framework

Green Marketing

Green marketing talks about the practice of promoting and selling goods as well as

services created on their environmental and eco-friendly benefits. Thesegoods or service may be

environment friendly in its own or produced in an eco-friendly way. Green marketing is subject

to sustainable environmental development due to its long-term benefits to the atmosphere. Green

marketing goods that are accepted to be environment friendly have beenintegrated in a broad

range of activities including product modification, changes to the production process, sustainable

packaging, as well as changing advertising.

Statement of Hypothesis

H O: Green marketing practices not accomplishes the accountability with customers.

H 1: Green Marketing Practicesaccomplishes the accountability with customers.

H O: Due to mentality of customers green marketing practices are not effective.

H 1: Due to mentality of customers green marketing practices are effective.

Research Problem

Green marketing practices are not effective and accepted amongst the customer groups

despite of increasing environmental problem. The reason behind the same may be related with

accountability of customers with green marketing practices or mentality of customers of not

accepting or consuming green marketing practices or product.


The data has been collected from the secondary source. All the data related to petroleum

goods and green marketing practices are collected from a secondary source. The information

related to green marketing practices has been gathered from valid websites and sources.

Green marketing practices result in sustainable environmental development

Green marketing is a part of marketing. The objective behind both is the same is to exchange

goods to satisfy customers for a profit motive. Green marketing is the efforts taken by a business

organization to protect the atmosphere by providing environmentally friendly goods and doing

eco-friendly practices in the business. Green marketing includes all marketing mix, means eco-

friendly practices related to the product, price, promotion, and physical distribution. Green

marketing is toward sustainable environmental development the marketing is just exchanging

goods but green marketing practices are towards long term sustainability of the environment. As

discussed many companies taking initiative in doing green marketing practices to save the

atmosphere. These green marketing practices result in minimization of long term environmental

losses and problems. Green marketing is a great step taken towards the safety of the atmosphere






by different companies and these efforts help in reducing future problems due to unhealthy

environmental practices.

Current Green marketing efforts are helping to save many natural resources for the long

term. Many efforts reduce the environmental losses like shortage of natural resources, water and

soil, air pollution, and issues caused by pollution for the long term. Today‘s Conservation of

petroleum, electricity, water and other natural resources cause to save future scarcity of all.

Examples

Eco-friendly alternatives for petroleum goods for sustainable environmental development

The petroleum and natural gasministry has initiateda generation of biofuel and ethanol as an

alternative for petroleum goods. As petroleum goods are of rare nature and demand for the same

is growing day after day. It is a need of time to save petroleum goods for the next generation.

India imports around 80% of crude oil from other nations. The production of alternatives is

important in order to minimize the losses from imports. Alternatives for petroleum goods are

produced in our country itself so it woulddiminish the future scarcity of petroleum goods.

Generation of alternatives goods would result into a reductionof scarcity for petroleum goods.

All the alternatives like CNG,LPG, biofuel, ethanol, etc. are eco-friendly and they have been

made from farming waste and the small and big plants which are of no use for human life. CNG

is a natural gas. LPG is produced from liquefied petroleum gas. A biofuel is produced through

contemporary biological processes of agriculture and anaerobic digestion. Biofuel is collected

from plants, farming related activities and industrial wastes. There is also a bioethanol which is

driven from an alcohol made by fermenting of a carbohydrates produced in sugar or starch crops

such as sugarcane and sweet sorghum. The development of the above alternatives will surely

reduce a future scarcity for petroleum goodsand its reserve for the next generation. If one wants

to reduce the use of petroleum then alternative creation is the only way to minimize the

petroleum use.

Alternatives for petroleum goods and customer accountability

There is a different kind of alternatives which has developed by the ministry of petroleum and

natural gas. The environmentally conscious customers positively accept the alternatives but

others non-conscious customers are giving more importance to the satisfaction in terms of

mileage, performance, convenience (availability of filling stations), speed, expenditure etc. of the

vehicle. The Indian Oil Corporation Ltd. is mixing 10% ethanol in the petrol, some customers

accepting it positively but some care about the average, and engine life of the vehicle due to

ethanol. In an actual sense there is no adverse effect of ethanol on an engine of a vehicle and

average of the vehicle but initially, people worried about it and prefer pure petrol instead of

ethanol. Here people are not satisfied with the eco-friendly goods but they matter their

accountability first. But other conscious customers not much think about all mentioned above but

they all compromise with the performance of the product if any.

Customer Accountability

Accountability in customer service is our ability to account for our business actions and

decisions. It is our willingness to show our customers that we really do care about them, and

carry with this an unspoken pledge to respond to a customer's request for information or help.

Green marketing practices it is a part of customer accountability

The customers who are conscious about the atmosphere those wants product which are

eco-friendly. Their satisfaction is in the eco-friendly goods. Their tendency is they may

https://en.wikipedia.org/wiki/Alcohol






compromises with unsatisfactory quality, packaging, material, performance of product if any but

not compromises with non-eco-friendly goods. These customers themselves prefer eco-friendly

goods and they desire to buy the same. These customers take initiative in demanding eco-

friendly product it means if they demand eco-friendly product and service they expect the

business organization to be accountable with them in providing eco-friendly goods & services.

Green marketing practices

Our environment is getting badly affected because of the non-environmental goods and services.

Environmentalists are raising their concerns over the repercussions on the atmosphere due to the

rapid progress in the field of industrialization. Increase usage of harmful chemicals, dangerous

gases and their being left away in the air, drainage systems, reveres and sea is badly affecting the

environment and its natural rhythm. It is required that the companies should be more aware of

the ways in which their factories often affect the environmental ecosystem. They must improve

their ways in terms of industrial waste. Some are those green companies in India which has

improved trusts, and have showcase a path of sustainability to others.

There are certain examples of the companies in our country who have started offering eco

friendly goods. One of the example is LG India who is making electronic goods and appliances

that are ecofriendly. They have recently came up with a LED bulb of E60 and E90 series which

provide minimum Co2 emission and reduce electricity consumption by many folds. Their USP

consumes 40% less energy than conventional LED monitors. Also, they hardly used any mercury

or halogen, and always trying to reduce the use of harmful materials in their goods.HCL is

another example who has introduced an ecofriendly goods in the market. They have recently

launched the HCL ME 40 notebooks. These notebooks do not use any polyvinyl chloride

material or other harmful chemicals and the Bureau of Energy Efficiency has already given them

a five-star rating for their notebooks. Haier is more examples in the category of producing

ecofriendly goods. As per their new green initiative, they have launched the Eco Life Series.

They have enhanced washing machines, semi-automatic and automatic refrigerators, split and

window air conditioners which are quite eco friendly goods. Samsung India has got a thriving

range of LED TV screens and now they have introduced ecofriendly LED backlights. They use

40% less electricity and has no harmful chemicals like mercury and lead. Tata Consultancy

Services has been globally recognized for sustainable ecofriendly practices. They have topped

the Newsweek‘s top World‘s Greenest Company title. They also have achieved a global green

score of 80.4% and this has mainly happened due to their initiative of creating atmosphere

friendly technology for agricultural and community benefits. Indus Ind Bank is one of the first

banks in India to discourage the use of paper for the counterfoils in ATMs, and sending

electronic messages. This initiative has contributed a lot towards saving paper and reduce the

deforestation. Wipro has got its headquarters in Pune which is the most eco-friendly building in

concern sector all over India.MRF tires have launched the ZSLK series which creates eco-

friendly tubeless tire‘s made from unique silica-based rubber with extra fuel efficiency in

vehicles. With all the above examples we come to know that India is now on its way to become

an eco-friendly nations by creating best alternatives to petroleum, efficient energy saving

appliances, low Co2 emission bulbs, low mercury or halogen based monitors, polyvinyl chloride

less notebooks, mercury and lead less LED backlights, Paperless ATMs, eco-friendly building,

tubeless tire‘s made from unique silica-based rubber with extra fuel efficiency etc.






Challenges before green marketing practices

Profit: The main objective of Business organizations is to earn profit. In some cases,

profit may be compromised because of issues with customer accountability. Sometimes business

organizationsare not able to fulfil all the commitments and not accomplish all demanded and

expected things to the buyer. It results in a reduction in a number of buyers and ultimately

reduction in profit.

Cost of production: To produce atmosphere friendly product, different material is

required which is not harmful to the surroundings. The cost of environment friendly material is

high; and due to the high cost, the cost of production could be increased. The high cost of

production results in lower profit. A business organization should need to compromise the profit

due to the high cost of production.

Quality of goods: the Business organization may not be able to provide high-quality

goods. The packaging, contents, performance, the material may not give that much high quality

appearance always. The eco-friendly raw material used for packaging of final goods may not

give a high quality to the product. Due to this a business organization may not challenge

customers in quality and may not be able to influence them on the base of quality. Quality of the

product is one of the important determinants in buying decision of the customer. The business

organization may not be able to take advantage of that determinant or factors to influence the

customer and to satisfy them on the basis of quality.

Customer satisfaction: All customers may not be satisfied with eco-friendly goods. The

main motive of the business organization is to make customershappy by providing quality goods.

If all eco-friendly goods may not give satisfaction to all the buyers then it will be a big challenge

to the business organization to satisfy them.

Difficulty tosegment the market: It is very much difficult to the business organization to identify

the market for green goods. Due to varying preferences and scattered customers it is quite

difficult to reach up to the environmentally aware customers. It is also difficult to find out the

market area having educatedcustomers.

Conclusion

It is concluded that nowadays the customers are more conscious about the environment

so they demand eco-friendly goods themselves. The business organization are able to take

competitive advantage by generating eco-friendly goods and providing eco-friendly services.

Sometimes Business organization also compromises with more cost of production for eco-

friendly material and customers also compromises with satisfaction from goods. Eco-friendly

goods are saleable in the market but there is a problem with insensiblecustomers who do not

accept eco-friendly goods with less satisfaction. By taking an opportunity of increasing demand

from sensiblecustomers, a business organization can focus on only those who prefer eco-friendly

goods and try to influence those who do not prefer. The marketer should also try to give

maximum satisfaction to the customers so that all will be interested in the eco-friendly goods and

services.

Green marketing practices are not effective because insensible people are habitual of

using goods and services which are dangerous to the atmosphere. People more think about their

comfort but not about long term bad effects of these non-eco-friendly goods. So the reason

behind un-effectiveness of green marketing practices is related to insensiblecustomer groups and

their mentality of not using eco-friendly goods.It is suggested that to save the environment,






business organization also need to take initiative and try to inspire people to use eco-friendly

goods.

References:

The New Rules of Green Marketing: Strategies, Tools, and Inspiration for Sustainable Branding

by Jacquelyn A. Ottman

The green marketing manifesto by John Grant

Greener Goods: The Making and Marketing of Sustainable Brands, Second Edition

Green Marketing Management by Robert Dahlstrom

Green Marketing: Theory, Practice, and Strategies by P. Kishore Kumar , Byram

Anand

Opportunities for green marketing: young customers by Kaman Lee

www.shopify.in/encyclopedia/green-marketing

www.thebalancesmb.com/green-marketing-2948347

www.investopedia.com/terms/g/green-marketing.asp

https://www.goodreads.com/author/show/221178.Robert_Dahlstrom

http://indianjournalofmarketing.com/index.php/ijom/search/authors/view?firstName=P.&middleName=&lastName=Kishore%20Kumar&affiliation=Research%20Scholar%20(Part-Time),%20Pondicherry%20University,%20Karaikal%20Campus,%20KaraikalPuducherry-609605&country=IN

https://www.emeraldinsight.com/author/Lee%2C+Kaman

http://www.shopify.in/encyclopedia/green-marketing






Migration, the Catalyst for Sustainable Development Goals

Jyoti Saha

Research Scholar,

Gokhale Institute of Politics and Economics, Pune, (Maharashtra)

[email protected]

Abstract

The 2030 agenda for Sustainable Development goals is an initiative by United Nations

and embraced by all its Member States formulated in the year 2015. It provides a map for plan

of action for present and into the coming future for peace and prosperity of people and the

planet. It has 17 goals sub divided into 169 targets to be achieved by 2030, which requires

immediate call of action by all its member states in a worldwide association. They have pointed

that putting end to poverty, improving health and education, reducing inequality and spur

economic growth as its major concerns which should be solved along with addressing climate

change and preserving our oceans and forests.

This agenda is plan of action for the people, planet and prosperity. It was aim to

strengthened the peace of the universe. The serious global challenge of today‟s world is poverty

in all its form. Hence eradicating poverty is utmost important for sustainable development. The

three aspect of sustainable development can be stated as: economic, social and environment,

which is closely integrated to each other.

Migration has been seen as an indivisible part of economic development process. Hence

the 2030 agenda of SDGs recognize the positive contribution of migration for inclusive growth

and sustainable development.

If the policies are rightly placed, migration can bring vital development in both

origin and destination countries. In one side migrants remit substantial amounts to

developing countries in the origin, on the other side they promote trade and investment, and

convey innovation, skill and knowledge to their countries of destination.

Hence in my paper I would like to show how Migration is an important element for Sustainable

Development and its linkage to Sustainable Development Goals in the Indian context. The work

will include the migration trend of India, the push and pull factors of migrants and where can we

place India when talking about Sustainable Development.

Keywords : Sustainable Development Goals, Migration, Migration policies.

Introduction

Sustainable Development Goals (SDGs) was formulated to construct a world in which

every nation can enjoy sustained economic growth along with decent work for all. World within

which production and consumption patterns uses the natural resources keeping sustainability as

priority. One within which democratic governance at the national and international level comes

with environment protection and eradication of poverty in mind. One within which development

with the help of technology are climate- sensitive which would respect biodiversity. One within

which humanity lives in harmony with nature. Last but not the least within which life and







alternative living species are protected.(Transforming our world: the 2030 Agenda for

Sustainable Development (A/RES/70/1 ), 2015)

It is internationally recognized that migrants are drivers and enablers of development.

Migrants contributed to efforts to realize the Millennium Development Goals by boosting family

household income, leading to improved health and greater school enrolment. At the national

level, remittances to developing countries account for a big proportion of the gross domestic

product and they are a very important supply of foreign currency earnings, supporting national

income and permitting countries to pay for vital imports, gain access to capital markets and pay

lower interest rates on sovereign debt. Migrants increase domestic demand for goods and

services that successively will increase total economic output there by creating jobs with in the

country of destination. At the regional and global levels, migration addresses global talent and

labor shortages.

In 2015, there were an estimated 244 million international migrants globally (3.3% of the

world‘s population) - an increase from an estimated 155 million people in 2000 (2.8% of the

world‘s population). Internal migration is even more prevalent, with the most recent global

estimate indicating that more than 740 million people had migrated within their own country of

birth.(Migration and migrants: A global overview, 2018).

Migrants have been facing problems which includes exploitation, lack of fare livelihood,

right to quality education, trafficking and many more which is not been heard and given enough

attention although they are considerable number in the global population. SDGs which aim for

development of all will include migrants in large number, so development of this large number

would act as catalyst for overall development.

Hence due to increasing internal and international migrants the targets of SDGs is

sensitive to and inclusive of migration, focusing not only on citizens but also on migrants,

thereby recognizing their human rights, contribution to development and need to be explicitly

recognized as legal persons and as drivers of development.

Objective and Structuring of the Paper

Mainstreaming migration consideration into national and local policy planning can help

India in archiving the Sustainable Development Goals.

The first section of the paper explains the structure of SDGs as proposed in the report of

the Open Working Group of the General Assembly on Sustainable Development Goals (2014).

The second section states the migration specific SDGs. The third section talks about the

Migration trends in India. The fourth section states the existing migration policies in India. Last

but not the least the fifth section concludes the paper giving the insights of current situation of

India while talking about SDGs.


The report is essentially based on a review of secondary literature such as scholarly and

academic studies, reports of various international organizations, government reports and

documents on trends and political situations, including policies on migration, and reports and

writings emanating from various non-governmental and human rights organizations. A part of

paper uses data from Census of India, which gives information about the volume of migrants and

the migration flows in the decadal intervals. This data set typically reflects mobility of the

population and not necessarily of workers and their reasons.






The structure of SDGs

The framework is based on the SDGs as proposed in the (Report of the Open Working

Group of the General Assembly(A/68/970), 2014). It comprises of three levels, to which we

assign goals based on their planned outcomes. This is illustrated in Figure 1

Figure 1: The SDGs as proposed in the Report of the Open Working Group of the General

Assembly on Sustainable Development Goals

The inner level, Well-Being, includes ‗people-centred‘ goals that aim to deliver individual and

collective outcomes, such as health, education, and nutrition, which directly pertain to welfare

and well-being and their equitable distribution within and between individuals and countries.

The middle level, Infrastructure, includes goals that pertain to different kinds of networks

and system for the production, distribution, and delivery of goods and services, including food,

energy, clean water, and waste and sanitation services in cities and human settlements. They are

presumed to contribute to growth in welfare while at the same time reducing potency of resource

use, pollution, and adverse impacts on the environment.






The outer level, Environment, groups together those goals that relate primarily to the

management of global resources, underlying support systems and global public goods such as

land, ocean, air, natural resources, biodiversity, and the management of climate change. These

goals typically require international and transnational cooperation for their realization.

Goal 17 is relating to revitalizing the global partnership for sustainable development, outside the

three levels because it is a cross-cutting goal relating to goals in all levels.

The challenge of the SDGs as a global partnership framework is the complexity of the

interconnectedness between goals at different levels. There is no such existence of mechanism,

structure or institution for governing these types of interconnectedness, particularly where

conflicts may involve. This creates substantial and important governance challenges for the

SDGs.

The migration specific SDGs

Migration has been recognized as a core development consideration by Sustainable

Development goal which can act as catalyst in implementation of various government policies.

SDGs does recognize the vulnerabilities of migrants which it aims to address and hence

eliminate them to empower the migrants to fulfill their own development potential which in turn

contribute to develop the communities which they belong to. Number of targets in SDGs

mention‘s migration specifically, but in fact it is relevant to all seventeen goals and one sixty

nine targets in the agenda. Due to complexity of interaction of different, at the same time

interrelated targets of the agenda there is the need for enhanced policy coherence with a sound

framework at the national, regional and international levels.

Migrants will positively contribute to reinforced sustainable development goals if all the

relevant provisions are implemented. In the process it will address many of the root causes of

forced displacement which will help to create more favorable condition in countries of origin.

Specific migration-related targets in the 2030 SDG Agenda includes:

GOALS TARGET PARTICULARS

8

(Migration

specific)

8.8 Aims to protect labour rights and promote safe and secure working

environment for all workers including migrant workers, in particular

women migrants, and those in precarious employment.

5

(Migration

specific)

5.2 Eliminates all forms of violence against all women and girls in the

public and private spheres, including trafficking and sexual and other

types of exploitation.

1

(Indirect)

1.3 Implement nationally appropriate social protection systems and

measures for all, including floors, and by 2030 achieve substantial

coverage of the poor and the vulnerable

4

(Indirect)

4.1 By 2030, ensure that all girls and boys complete free, equitable and

quality primary and secondary education leading to relevant and

effective learning outcomes

4.3 By 2030, ensure equal access for all women and men to affordable and

quality technical, vocational and tertiary education, including

university






3

(Indirect)

3.8 Achieve universal health coverage, including financial risk protection,

access to quality essential health-care services and access to safe,

effective, quality and affordable essential medicines and vaccines for

all.

10

(Indirect)

10.2 By 2030, empower and promote the social, economic and political

inclusion of all, irrespective of age, sex, disability, race, ethnicity,

origin, religion or economic or other status

16

(Indirect)

16. b Promote and enforce non-discriminatory laws and policies for

sustainable

Development

(Report of the Open Working Group of the General Assembly(A/68/970), 2014)

Hence migration can play an important role as enablers, subjects and drivers of

development, which in turn will contribute positively to programmers of governments, other

stakeholders for regional and global processes. Developing the knowledge base on the links

between migration and development is important for giving formal recognition of the links

between SDGs and New York Declaration.(Human Rights of migrants)

Migration trends in India

The two main secondary sources of data on population mobility in India are the Census

and the National Sample Survey (NSS). These surveys may underestimate some migration flows,

such as temporary, seasonal and circulatory migration, both due to empirical and conceptual

difficulties. Since such migration and commuting is predominantly employment oriented, the

data underestimate the extent of labour mobility.

It is observed that from 1991 to 2001 census the flow of migration has increased but the

pattern of migration has more or less remained same. The flow of migration shows U.P, Bihar,

M.P, Rajasthan are the main places for out-migration, whereas, Delhi, Maharashtra, Haryana,

Punjab and Gujarat are the main places of destination.

It is observed from Census of India that migration has shown decadal increases from

30.6% to 37.5% increase in migration majorly for female, but that is mainly due to marriage as

seen in Table 1.

Census of India identifies reasons of migration as: Employment, Marriage, Business,

Education, Moved after birth, Moved with household and Others. Employment has shown 31%

increase in 2011 census since 2001census. Marriage has shown 21% increase in 2011 census

since 2001census, female contributing the maximum. Businesshas shown 30% increase in 2011

census since 2001census. Education has shown 102% increase in 2011 census since 2011, which

is phenomenal.

Table 1: Computed from Census of India

Year Percentage of migrants to total population

Persons Male Female

1971 30.6 19 43.1

1981 30.3 17.6 43.9

1991 27.4 14.6 41.2

2001 30.6 17.5 44.6

2011 37.5 22.6 53.2






Migration in India is predominantly short distance, with around 60% of migrants

changing their residence within the district of enumeration and over 20% within the state of

enumeration while the rest move across the state boundaries. A significant proportion of women

migrate over short distances, mainly following marriage.

Indian economy is highly dependent on natural resources and the climate sensitive sectors, global

warming and natural disasters like drought, flood, severe change in weather etc. may influence

climate-induced internal migration. Evidence showed that people migrate because of climate-

induced events such as natural disasters, droughts, rising sea levels, lack of sufficient rainfall for

agriculture, and the like.

We can study the trends and patterns of migration in detail in India during 1999-2000 to

2007-2008 using data from NSS 64th round.

During 2007-08, more than 2 million migrants have fallen under the category of forced

migration. Among these forced migrants, the numbers of people who become migrants due to

natural disaster come around 537,336 in 2007-08. During this period, social and political

problems have emerged as the most dominant reasons for forced migration (1.44% of total

migration) followed by the reasons related to natural disasters (0.59%).It can be seen that non-

economic migrants are more in number where 7.55% people migrates for studies followed by

3.99% migrated for the acquisition of own house/flat and 2.44% people migrated due to reasons

related to housing problems. Health care related migration has accounted for 0.7%. Among

economic reasons of migration, in search for better employment (9.40) and to take up

employment/better employment (7.94) have been found to be the most important reasons for

migration in India in 2007-08.(Ghatak, 2017)

Poorer migrant workers, crowded into the lower ends of the labour market, have few

entitlements vis a vis their employers or the public authorities in the destination areas. They have

meagre personal assets and suffer a range of deprivations in the destination areas. In the source

areas, migration has both negative and positive consequences for migrants and their

families.Migrant labourers, whether agricultural or non-agricultural, live in deplorable

conditions. There is no provision of safe drinking water or hygienic sanitation. Labourers

working in harsh circumstances and living in unhygienic conditions suffer from serious

occupational health problems and are vulnerable to disease. Those working in quarries,

construction sites and mines suffer from various health hazards, mostly lung diseases. For

women workers, there is no provision of maternity leave, forcing them to resume work almost

immediately after childbirth. As there are no crèche facilities, children often accompany their

families to the workplace to be exposed to health hazards. They are also deprived of education:

the schooling system at home does not take into account their migration pattern and their

temporary status in the destination areas does not make them eligible for

schooling.(S.K.Sasikumar, June 2003)

Migration policies in India

Internal migration

The Ministry of Labour and the Departments of Labour, at state levels, are responsible

for formulating and implementing measures to protect migrant workers.The important ones are:

the Inter State Migrant Workmen (Regulation and Conditions of Service) Act, 1979; the

Minimum Wages Act, 1948; the Contract Labour (Regulation and Abolition) Act, 1970; the






Equal Remuneration Act, 1976; and the Building and Other Construction Workers (Regulation

of Employment and Conditions of Service) Act, 1996. At the central level, the key agency is the

office of the Chief Labour Commissioner and its field offices. However, the Directorate General

of Labour Welfare and the WelfareCommissioners also deal with certain welfare

provisionsemanating from some of these enactments. In the states, the offices of the Labour

Commissioners and their field offices are responsible for enforcing these laws. Concerns of

migrant laborers are also the responsibility of the relevant Social Sector Ministries (Health and

Family Welfare,

Human Resource Development, Food and Consumer Affairs, Urban Affairs, Social

Justice). However, there are no separate departments in these ministries dealing exclusively with

migrant labour.

International migration

India regulates external labour migration flows, for which the 1983 Emigration Act

provides the necessary legal framework. The office of the Protector of Emigrants, Ministry of

Labour& Employment, is empowered by law to regulate the deployment of Indian nationals

seeking foreign employment. This is achieved mainly by setting minimum employment

standards and verifying employment contracts; regulating recruitment through licensing the

agents; issuing emigration clearances for certain categories of emigrants, especially those

considered less able to protect their own interests; and handling public grievances related to

violation of employment contracts and recruitment abuses. Two other ministries concerned with

the emigration of Indian workers are the Ministry of External Affairs (MEA) and Ministry of

Home Affairs.

Conclusion

We recognize the significant role that the millions of migrants play as enablers and

subjects of development, whose human rights should be respected, protected and fulfilled.

Migration affects the realization of a number of development goals at the national, regional and

global levels and at the same time migrants are affected by them and thus needs to be taken into

account when formulating development strategies at all levels.

In line with SDG commitments and recognizing the cross-cutting impact of migration

across policy sectors, identifying policy priorities, and developing specific implementation plans

related to development and the governance of migration in the priority sectors relevant to the

Indian context e.g. climate change and disaster risk reduction, poverty reduction, national

employment policy, trade and investment, and social protection and rights is needed as the

present policies of migration in India does not adhere to the problems to the core.

Hence, mainstreaming migration consideration into national and local policy planning

can help India in archiving the Sustainable Development Goals.

References

Ghatak, S. (2017, 8th January). An analysis of climate change related vulnerability

among the forced migrants in India. https://ssrn.com/abstract=2992218.

(2017). Global Compact Thematic Paper. International Organization for Migration

(IOM).

(2014). Human rights of migrants (A/69/302). United Nations .






(2018). Migration and migrants: A global overview. Geneva: World Migration Report,

IOM.

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(A/RES/70/1 ). United Nations.

Waage, J. Y. (2015). Governing Sustainable Development Goals: interactions,

infrastructures, and institutions. In Thinking Beyond Sectors for Sustainable

Development. (pp. 79–88). London: Ubiquity Press.






Human Resource Management Techniques and

Employee Performance for Business Sustainability

Prof. Shruti Mangalpalli


Sangmeshwar College, Solapur, (Maharashtra)

[email protected]

Abstract-

Sustainable Human Resource Management proves to be an effective tool for sustaining

employee dignity in times of staff lay off and assure them employment in the job market. In this

uncertain corporate world it is not only essential for the business concern to survive in the

market but for gaining competitive advantages towards the need of sustainability of

organisation. With this intention to catch efficientstaff , human resource management is must.

HRM practices should be applied in such a way which ensures the sustainable business

development. In this regard, Human Resource Management plays vital role as it is only most

significant resource of an enterprise which have a maximum capacity to utilize the other

business resources upto their full extent.

This research paper throws light on the important issues on Human Resource Management

for the businesssustainability .

Key Words – Sustainable, Human Resource, Development, Business, Bold.

Introduction –

Human Resource is a very important factor for any organization. The survival, growth

and progress, success of any corporation depends on proper utilization of this resource. The firm

should arrange Human Resource techniques in such a way which enhances their knowledge,

skills for the betterment of the business. The development of work force automatically ensures

the man power retention and success of the company.

India is a country of large population but to convert these large scale populations into

resources it is essential to train them in a proper way so the objective of business sustainability is

possible. For this purpose the training methods should include the things which help to enhance

the skills of human beings. After the acquisition of these skills through training these human

beings will convert into human resources and this resource is a dominant part of the business

which is having the power to utilize other resources of business in a most profitable manner. In







this way Human Resource Management plays significant role in the fulfilment of sustainability

object of the business.

Terms–

1) Personnel Management : Personnel Management are those who are employed in the work

place. Personnel management is an administrative function which exists in an organization to

ensure right personnel at right organizational activity. It is a traditional approach of managing

hired hands which focuses on adherence to proposed actions and rules of organizations.

Personnel management is concerned with planning, job analysis. Personal management also

focuses on managing labour relationship by handling employee grievances.

2)Human Resource Management: HRM is the strategic approach to the effective management

of organization workers so that they help the business to gain competitive advantage. It is

designed to maximise employee performance in service of and employers strategic objective.

3) Sustainability : Sustainability is the process of maintaining change in a balanced fashion in

which the exploitation of resources, the direction of investment, the orientation of technological

development and institutional change are all in harmony and enhance both current and future

potential to meet human needs and aspirations.

Objective of the study : It is in direction towards the study which examines the major factors

associated with business unit for moving towards greater sustainability and role of human

resources in that overall process. Human Resource Professionals have a key role to play, to help

a company to achieve its sustainability object. The sustainable HRM road map will help HR

managers to understand and leverage this opportunity, hence, this study has its focus to

understand the role of HRM come what with various methods of preparations.

Statement of the problems: Even after great changes in management and technologies many

companies are unhabituated about the use of modern HRM implementations. Low interest of

wage earnersbehind it, is the main reason along with lacking knowledge regarding HRM

executions. Within context towards business sustainability it entails to review applications of

HRM techniques in commerce as well as industries along with its influence on productivity and

efficiency of work force. The researcher is intended to come up with the latest technologies and

its uses in industries.

Significance of the study : As we know a number of methods of HRM practices which can be

used by industries. Most of the business organizations from urban areas are in the early phase of

knowing about modern HRM techniques but no profound improvements in implementation of

these HRM enactments. Main problem of this research is exploring different aspects and scope

of using HRM techniques. To find out solution regarding with effective application of

manpower retention and maintaining techniques on the basis of best HRM operations isin

proceedings.

Objective of the paper :

* To be aware of variousHRM methods/techniques .

* To compare effectiveness of HRM methods with that conventional methods.

* To study application of HRM techniques forbusinesssustainability .

Hypothesis :

Problem: To cheque an impact of HRM techniques on performance and efficiency of

workforce.






The following null and alternative hypothesis is framed in this study.

HO- HRM techniques andemployees performance are not affected on each other.

H1 – HRM techniques andemployees performance affects on each other.

Methodology :1.Research Method- In this paper primary data as well as secondary data is used

for Data Collection.

2.Population and Sample-(80 Respondents from4 different industries)

Four different industries from Solapur city were purposely selected for this study. In which one

is from service sector industry, one is from co-operative sector, one is from textile business and

one is from educational institution. 20 employees from each sector i.e. total 80 samples were

purposively selected. 40 employees are adopting conventional methods remaining 40 are

working with new technologies then there achievement was tested with the aspect of these

threecomponents.

3.Statistical Techniques-Mean value, Standard Deviation Value, t-value techniques are used.

Application of HRM techniques and business sustainability in connection with employee

performance.

1) On job training: On the job training is efficacious for member of staff inducement to start the

job immediately with full confidence. It helps develop the career of individual and organisations

prosperity . On the job training is a form of training provided at workplace.

2) Technology based learning: The form of training with technology is a upcoming HRM

technique to train the hired help for increasingemployee efficiency as well asperformance.

3) Simulators : Simulators are used to imitate real work experiences. It helps to build up the

confidence among employees to accept new challenges of business organizations.

4) Mentoring : Mentoring gives breadwinners a best chance to receive training one on one from

an experienced professional. It also gives a positive view towards the problem. So this HRM

technique proves to be very fruitful for improving efficiency and performance of these mentored

one‘s.

5) Loyalty Interviews: With the use of loyalty interviews organizations are checking about the

organization‘s decisions and the trust of hirelings towards these decisions. This helps for greater

performance of employees and ultimately for thebusiness sustainability.

6) Communication: This is the one greatestHRM techniquewhich produces beneficial results on

member of staff‘s performance. Businesssustainability can be fulfilled out of hired man‘s job

satisfaction and for same purpose communication is very important as it solves difficult

problems in easy way.

7) Recruit and Retain: When the confederationsrecruit the employees in business by treating

them as a resource HRM guidelines helps the concerns for retaining them. This would helps the

organization in saving such expenses on repetition of talent searching and choosing qualified

together with capable menials.

8) Growth and Development : With this HRM technique, large groups now a day providing job

rotation opportunities to help in improving employee performance gripping with broaderbusiness

understanding which ultimately helps for business sustainability. Finally all above HRM

techniques works miracally in improving employeesefficiency,performance ,job satisfaction and

no doubt for the sustainability of the business.

Problems in applying the above HRM methods/techniques :

1) Low interest among employees creates problem in applying HRM techniques.






2) In large scale concerns it is very difficult to communicate concerned staff‘s immediately

within the time limit.

3) Lacking mastery regarding the techniques is also one of the problem in applying HRM

techniques.

Difference between Personnel Management and Human Resource Management

Basis of

difference

Personnel Management Human Resource Management

Meaning It is the traditional approach of

managing people at work place and

is concern of personnel department

It is modern approach of managing

people at work place and is concern of

managers of all levels (from top to

bottom)

Nature It is routine function It is a strategic function

Focus Efficient Management is given

priority

Human Values and Individual needs are

given priority

Function Personnel administration, labour

relation and employee welfare are

major functions of personnel

management

Acquisition, Development Utilization

and Maintenance of Human Resource

are major functions of Human Resource

Management.

Objective It manages people in accordance

with organization role

It determines Human Resource needs

and formulate policies by matching

individual needs with organization

needs.

Perspective It regards people as basic input to

make desired output

It regards people as strategic and

valuable resource to make desired

output.

Job Design Jobs are designed on the basis of

division of labour

Jobs are designed on the basis of team

work

Interest Organizations interest is valued the

most

Interest of organization and interest of

employee is harmonized.

Adaptation It is regulation, direction and

control adapted.

It is development adapted. It provides

space for employee involvement,

performance and growth

Communication Communication is limited or even

restricted

Communication is open.

Emphasis It emphasizes on adherence of

rules and regulations and their

implementation

It emphasizes combination of human

energies and competences.

Benefits i) Disciplined employees.

ii) Increased production

i) Committed human resource

ii) Readiness to change

iii) Increased Production

iv) Increased Profits

v) Quality of work life






Result Organizational Goal is achieved

and employers are satisfied

Organizational Goal is achieved and

both employers and employees are

satisfied.

Primary Data Analysis :

The primary data collected through sample of 80 employee respondents. One group of 40

employees from two sectors that have conventional techniques is treated as control group.

Another group of 40 employees having new HRM techniques is known as experimental group

and they were tested. The data is analysed in the following table.

Table No.1

Primary data analysis of performance.

Mean value

Aspect Control Group Experimental Group

Pre-Test Post-Test Pre-Test Post-Test

Efficiency 4.4 5.9 4.3 8.3

Performance 2.1 3.1 2.3 4.6

Job Satisfaction 2.3 3.3 2.4 6.2

Source- Data analysis by using sigma XL software

The above table shows the mean value of 40 respondents of control group and 40 respondents

experimental group after tested. The standard deviation value is calculated by using sigma XL

software and presented in the following table 2.

Table No.2

Primary data analysis of performance.

Standard Deviation Value

Aspect Control Group Experimental Group

Pre-Test Post-Test Pre-Test Post-Test

Efficiency 0.61 0.77 0.55 0.73

Performance 0.91 0.81 1.3 1.7

Job Satisfaction 1.4 1.8 1.7 1.6






Testing ofHypothesis : The null and hypothesis framed in this study are tested by analysing the

data and calculating t-Value in the following table 3

Table No.3

Testing ofHypothesis

Aspect t- Value

Pre-Test Post-Test

Efficiency 0.90 15.92

Performance 0.93 5.2

Job

Satisfaction

0.32 7.2

by calculating t-value

Aspect Significant difference

Pre-Test Post-Test

Efficiency No significant difference Significant difference

Performance No significant difference Significant difference

Job Satisfaction No significant difference Significant difference






Conclusion : So the first alternative hypothesis entitled ‗HRM techniques and performance of

employees does not affect to each other is not proved and rejected‘ whereas the second

alternative hypothesis entitled ‗HRM techniques and performance of employees affects on each

other is proved and accepted‘.

Application of HRM techniques prove advantageous for business sustainability.

References :

1) Edward E Lawler Lii, Jhon W. Boudreaue (2009) ‗achieving excellence in human resource

management : An Assessment Of Human Resource Functions‘

2) Edward E Lawler Lii, Jhon W. Boudreaue (2012) ‗effective resource management : A Global

Analysis

3) Ken N. Kamoche (2001) ―Understanding Human Resource Management‖

4)Human Resource Management by Dr. Anjali Ghanekar

5)Human Resource Management and Human Relations by Dr. V.P. Michael

6)https://en.m.wikipedia.org

7)www.quora.com

8)www.businesstopia.net

9)www.researchgate.net

10)www.hr.com

11)study.com

https://en.m.wikipedia.org/

http://www.quora.com/

http://www.businesstopia.net/

http://www.researchgate.net/

http://www.hr.com/






Sustainable Event Management

Dr. Sulbha Patole*, & Rekha Kankariya**

*Research Guide,

MES Garware College of Commerece, Punr, (Maharashtra0

[email protected]

**Assistant Professor,

St. Mira‘s College for Girls, Pune, (Maharashtra)

[email protected]

Abstract

Sustainable Event Management is the process of integrating environmental and social

accountabilityconcerns into event planning. It calls for considering the needs and values of

different participants with the help of green meeting ideas and green policies to further a

sustainable reach in a cost effective manner.

The Indian Event Management Industry needs to be encouragedto adopt green measures

in hosting and organizing events. This is because events take a huge toll on our resources,

society and the environment. Adopting Event Greening has minimum negative impact on the

environment and the local economy as it avoids depletion of natural resources.

This paper is descriptive and historical in nature. It will trace the international practices

in Event Greening and seek to understand its benefits. The researcher will also use the case

study method to examine the current situation prevalent in India. The paper will bring out some

of the ideas that can be implemented by the Event Planners.

In carrying out this research, a sample of 20 Event Management Companies situated in

Pune city is considered. Data is collected with the help of a questionnaire. Secondary data

iscollected from published sources viz. books, journals, websites and articles.

Keywords: Event Greening, Sustainable Events, Green initiatives, Green Event, Green Festivals.

Objectives:

To trace some of the International Practices in Event Greening

To judge the level of sustainable actions by the Indian Event Management Companies

To gauge the understanding of Sustainability in the Indian Context

Methodology:

This paper is an attempt to provide an understanding of the concept of Event Greening. It

is descriptive and historical in nature and based on primary as well as secondary data.Primary

Data has been collected with the help of a Questionnaire from the Event Management

Companies. About 40 companies operating in and around Pune were targeted, but response was

elicited from 20 companies. No statistical tools have been employed for analyzing the data.

Secondary data has been gathered from various published sources viz. books, journals, websites

and articles relevant to the study.

Limitations of the Study:

Time Factor

Ignorance about the concept in the Indian market

Low Response Level

Lack of Interest by the Event Management Companies

Non-use of statistical tools for analyzing data








Introduction

Events have been with us since time immemorial and they have taken a substantial space

in the world today. The Event Industry in India is witnessing a mushrooming growth and is

expected to grow by leaps and bounds. But, Events alsotake a substantial toll on our resources,

society and the environment. They generate considerable waste and are a strain on the natural

resources. According to meetgreen.com the typical conference waste attendee produces 1.89 kg

of waste per day.If we calculate that number for 1000 attendees over 3 days we get 5670 kg of

waste, the equivalent of 4 compact cars.

Sustainable Event Management is the process used to make an event with certain

concerns for environmental, economic and social issues. It integrates socially and

environmentally responsible decision making into the planning, organization and execution of an

Event. It aims at hosting events in a responsible way. It should start at the very initial stage of

planning an event and involve major elements like clients, organizers, venues, sub-contractors,

suppliers etc. If the event organizer takes into consideration the environmental and social factors,

then the event can be called as a sustainable event.

Sustainable events are one of the topmost choices for Event Managers. It is the need of

the hour to brainstorm and find out the ways which can make events environmentally

friendly.Being sustainable means to make changes to avoid exhaustion of natural resources. It

makes a responsible event planner.It can be done by: going paperless, saying ‗NO‘ to plastic,

delivering zero-waste, using renewable energy sources, pollution control checks for vehicles etc.

It can be adopted in the areas of transportation, selecting location, production, purchasing,

catering etc.

The obvious question to be answered is ―Why become sustainable?‖ The answer lies in

knowing the footprint we are leaving on the environment. The world is moving towards a

common agreement that doing nothing about sustainability issues is no longer an option and the

need to adapt our societies and economies to sustainable patterns of consumption is a pressing

one (Purt 2011). Sustainability is important because all our present actions will have an impact

on our future. This impact falls into the category of CO2 emissions (from transport and power

usage), waste generation (containers, food scraps, water and sewage), consumption of non-

renewable resources and possible damage to the site from foot and vehicle traffic.

Few Sustainable Practices outside India

Coachella‘s energy playground, US uses brightly colored bins designed to increase

recycling throughout the festival site, an energy playground to power their energy sources, VIP

ticket competitions for those who car share on the way to the festival.

UK‘s Glastonbury music festival uses bio-diesel generators since 2014 to ensure the use of

renewable energy, provides 100% stainless steel water bottles for visitors and multiple water

refill points, encourages volunteers to help pick up rubbish and recyclable materials to return the

site to its normal state as a working farm.

Glasgow, 2014 were the first games to secure ISO 20121 sustainability standard ensuring

that the event leaves behind a ―positive legacy‖. They ensured that all the competition venues

were car-free, a modern and locally based company provided clean and efficient energy and

ensured that the games HQ was on a Green Tariff energy supply.

ICCA congress in Malaysia 2016, the speakers were handed out a charity donation

instead of the usual plastic or other non-biodegradable material speaker gifts.






The MLB (Major League Baseball) All-Star Games, is the first professional sports league

to ensure that its members are part of the Green Sports Alliance. It provides environmentally

sustainable guidelines for the games. Green teams collect recyclables throughout the game, solar

panel installations and red carpets are ―green carpets‖ using recycled content, left over untouched

food is donated to the needy.

A brief history of the emergence of the concept „Sustainability‟at the International Level

Event Green Initiatives

1992 Albertville Winter Olympics, France Environmental concerns were raised by the

public

1994 Lilehammer Olympics, Norway First ‗Green Games‘

1994, The Centennial Olympic Congress,

Congress of Unity, Paris

Promoted sustainable development and

regarded environment as the third dimension of

Olympism, alongside sports and culture.

2000, Sydney Olympic Games Facilities constructed in a more

environmentally friendly manner. Organizers

were honored the Global 500 Award in 2001

for organizing the greenest games ever.

2006 FIFA World CupTM, Germany Green Goal was launched

2010 FIFA World CupTM, Cape Town, South

Africa

Green Goal further implemented, awarded the

International Olympic Committee (IOC) Sport

and Environment Award.

Efforts of this event aimed at mitigating

negative environmental impacts of the FIFA

World Cup and to maximize a positive

environmental and social legacy

2002, World Summit on Sustainable

Development (WSSD), Johannesburg

Discussions about sustainable developments by

the United Nations. The Johannesburg

Declaration was the main outcome of the

Summit. It was agreed to restore the world‘s

depleted fisheries for 2015.

UNFCCC – United Nations Framework

Convention on Climate change

UNCCC (United Nations Climate Change

Conferences) – yearly conferences.

To assess the progress in dealing with climate

change.

Sustainability in the Indian Context

A Delhi based entrepreneur Tamanna Sharma follows the principles of a circular

economy and entails locally sourced, socially inclusive and environmental-friendly solutions for

all the event requirements. She has come up with a sustainable model of handling waste that

envisions events with zero waste contribution to the environment. Her company Earthling First

Pvt. Ltd. is a sustainable events and event waste management service provider. The company has

been part of Maruti Suzuki Devils Circuit and Border Security Force (BSF) events and has been

able to successfully divert 75-90% of the waste generated by the clients for recycling. Careful

waste assessment is done during the planning stage to bringing on board catering partners who

https://en.wikipedia.org/wiki/World_Summit_on_Sustainable_Development

https://en.wikipedia.org/wiki/World_Summit_on_Sustainable_Development

https://en.wikipedia.org/wiki/Johannesburg

https://en.wikipedia.org/wiki/COP15

https://en.wikipedia.org/wiki/COP15






offer biodegradable alternatives. The housekeeping staff is also carefully selected and trained for

the event. They separate and categorize waste at the venue itself before transporting it to various

composting/recycling units. The company also strongly advocates the social justice policy under

which the staff is ensured a dignified and safe work environment. The staff wellbeing is kept in

mind and they are made to feel respected.

Bengaluru, the IT city‘s cultural festivals have successful public campaigns around water

scarcity, solid waste management, green cover and it is encouraging the city‘s community of

artists and event organizers to be eco-friendly and minimize wastage. The International Arts

Festival that was held in Oct 2018 hosts around 1500 artists from across the world, ensures that

artists are part of the green drive that involves planting over 200 saplings. They also aim at

reducing plastic usage and every guest is offered a sapling as a memento. The saplings are

procured from the state forest department and ensuring a healthy survival rate for the plants.

According to RoshanNetalkar, director of the music festival Echoes of Earth ―A sustainable

event is often double the cost. Conventional options are always cheaper, but the point is to not

plug and play, and be less destructive.‖Visitor camps, stage and stalls were made of bamboo, log

wood, tyres and bottles sourced from scrap yards.

Vani Murthy, founder member, Solid Waste Management Round Table (SWMRT),

opines ―Cultural Events have the potential to make people ecologically-aware. When something

is unconventional, it gets noticed. People are gradually realizing the importance of going back to

basics, which is also leading to trends like green weddings and green marathons.‖

ISO 20121 – Event Sustainability Management System

ISO 20121 was published on 15th

June 2012. It is a management system standard that has

been intended to help organizations in the events industry improve the sustainability of their

event related activities, products and services. It is based on the earlier British Standard called

BS 8901 Specification for a Sustainability Management System for Events‘ which was first

developed in 2007. It is a practical tool for organizing and managing events so that the events

contribute to the three dimensions of sustainability – economic, environmental and social. ISO

20121 helps the event related organization to continue to be financially successful, become more

socially responsible as well as reduce its environmental footprint. It applies to all types and sizes

of organizations from caterers, lighting, sound engineers, security companies, venues etc.

Sample

Primary data was collected with the help of a questionnaire to know about the awareness

level and actions taken by Event Management Companies for having Sustainable Events.

Questionnaire was sent through online resources, watsapp and emails. Response level being low,

personal calls were made and the survey was completed with a sample size of 20 Event

Management Companies operating mainly in Pune city. The criteria for selection of the

companies was the rating given by the customers and the popularity of the company. The

Companies which were surveyed: Pros, Finer moments, J & R Events, AnandUdaye, Lifetym

Creations, Make magic events, Amazing Eventz, Pratisad Event Management, Perfect Events,

Prism Events, Fovero Events, Zeal biz media, The Grand Feast, Mulberry Media, Jayas Events,

Silver Bells, Sanskruti Events, Urban Events, Sarika Events and Freedon Events.

Findings

The sample size consisted of Event Management Companies mainly into Personal Events

and Corporate Events. 30% of the Companies have been in operation for less than 5 years, 25%

in 5 to 8 years category and 45% have been in operation for more than 8 years.






Interestingly 55% of the companies said that they have heard about the concept sustainability and

40% were not aware about the concept, 5% skipped this question.

20% of the companies said that they always used sustainable considerations while

planning their events, another 20% also said they used it sometimes.

However, 30% of the companies said they never used sustainable considerations due to

the cost and unclear idea about the concept. While 30% of the companies were in the ‗usually‘

and ‗rarely‘ response category. Cost factor accounted as the reason for 30% of the companies to

not being able to use sustainable considerations in planning, unclear ideas was the cause for 40%

companies, lack of time and other reasons were for 30% of the companies.

Surprisingly, only 55% of the companies were of the view that sustainable events will

gather enough attention in future, 15% of the respondents felt otherwise and30% of the

respondents were not sure about the future for sustainable events.

Of the companies who have been in event business for more than 8 years, 75% of them are

always using sustainable considerations in their events






Conclusion:

In the present day, where environment is a serious concern and the number of threats are

looming large over the Indian economy, sustainability is the required tool that will salvage the

future and not compromise on the well-being of the future generation and the society at large.

The Event Industry should do its part and contribute to the efforts being made by other sectors of

the economy in this direction. There needs to be more awareness among the Event Management

Companies about this issue and they need to be made sensitive towards the same. While 55% of

the companies felt that sustainable events will gather enough attention in future, only 20% of the

companies are actually using these considerations in their events. Companies who have been in

operation for more than 8 years i.e. a long time period are able to think and make efforts for

Event Sustainability. The efforts by the Indian Event Management Companies are seen mainly

towards waste management and non-use of plastic.Another major factor in not using sustainable

considerations by the companies is the lack of interest as the Events Industry is glamorous in

nature and the cost is ultimately borne by the Client. The Event Organizer has a minor role as the

requirements are given by the Clients.

References:

1) A network perspective on managing stakeholders for sustainable urban

tourismhttps://www.emeraldinsight.com/doi/abs/10.1108/09596110810873543

2) Meegan Lesley Jones – Sustainable Event Management-A Practical Guide

https://www.taylorfrancis.com/books/9781315439723

3) Sustainability handbook for Event Organisers

http://inside.fei.org/system/system/files.FEI_Sustainability_Handbook_for_Event_Organi

sers.pdf

4) Gallagher, Anthony, Pike, Kate Journal of Coastal Research Sustainable Management for

Maritime Events and Festivals.

5) Tchobanoglous, George, Karagiannidis, Avraam, Leverenz, Harold, Cadji, Max,

Antonopoulos, loannis-Sofocles Sustainable Waste Management at Special Events using

Reusable Dish ware: The example of while earth festival at the University of California,

Davis.

6) WaldemarCudnyNomosVerlagsgesellschaftmbH The Phenomenon of Festivals: Their

Origins, Evolution and Classifications

7) Yi-De Liu Springer Socio-Cultural Impacts of Major Events: Evidence From 2008

European Capital of Culture, Liverpool

8) Shawna Mckinley New Sustainable Event Management (2018 Edition): A Free Guide to

Better Green

Meetings.https://www.google.com/amp/s/www.eventmanagerblog.com/sustainable-

event-management/amp/

9) https://www.google.com/amp/s/www.thebetterindia.com/121225/want-to-have-a-green-

and-clean-event-heres-a-delhi-woman-who-can-make-that-happen/amp/

10) https://www.insightssuccess.in/event-management-trends-that-aims-to-change-the-

industry-in-india/

https://www.emeraldinsight.com/doi/abs/10.1108/09596110810873543

https://www.taylorfrancis.com/books/9781315439723

http://inside.fei.org/system/system/files.FEI_Sustainability_Handbook_for_Event_Organisers.pdf

http://inside.fei.org/system/system/files.FEI_Sustainability_Handbook_for_Event_Organisers.pdf

https://www.google.com/amp/s/www.eventmanagerblog.com/sustainable-event-management/amp/

https://www.google.com/amp/s/www.eventmanagerblog.com/sustainable-event-management/amp/

https://www.google.com/amp/s/www.thebetterindia.com/121225/want-to-have-a-green-and-clean-event-heres-a-delhi-woman-who-can-make-that-happen/amp/

https://www.google.com/amp/s/www.thebetterindia.com/121225/want-to-have-a-green-and-clean-event-heres-a-delhi-woman-who-can-make-that-happen/amp/

https://www.insightssuccess.in/event-management-trends-that-aims-to-change-the-industry-in-india/

https://www.insightssuccess.in/event-management-trends-that-aims-to-change-the-industry-in-india/






Sustainable Tourism through Music

Dr. Sulabha Patole*, Kedar Joshi** *Research Guide, Garware College of Commerce, Pune, Maharashtra. [email protected]

**Research Scholar, Garware College of Commerce, Pune, Maharashtra.

[email protected]

Abstract:

Sustainability is based on three basic pillars: Environmental, Social and Economic. Art-

Culture and Tourism are both important facets of the Socio-Economic scheme for sustainability.

Musical Tourism is a subset of this aspect. For sustainability, peaceful coexistence is a must. The

overall wellbeing and feel good factor is generated by having a very peaceful mental state. These

can be achieved through practice and enjoyment of music. Musical tourism covers several social

aspects. It brings together people from different walks of life representing different communities,

regions, countries etc. However, the basics and sensitivities are common ensuring a Unity in

diversity. It also increases collaboration and sharing. On the economic front, it provides an

income source. It creates new avenues for business. It creates brand value for the country, its

culture to the individuals involved in it. It can also generate forex and can provide the economic

advantages that the industry provides. Musical Tourism, thus, helps in a great way to ensure

sustainability.

Introduction

Musicians form a very important part of society from the point of view of establishing a

cultural landscape and also contributing in enhancing the economy in general. They range from

individual performers to performers in large group. The music has taken many different forms

like vocal, instrumental. They are also many genres like classical, jazz, rock. However in all this

diversity we see a common element that represents the culture and heritage.It also contributes in

preserving the cultural values and history. Music is also used as an accompaniment or a

supplementary value addition in dance performance to theatre and cinema. The music forms an

inevitable component of these art forms and is thus a source of inspiration as well as

entertainment. Music is at the very base of culture as it is one of the forms to connect to divine

power. It forms a very important part in temples, gurudwaras, mosques, churches and religious

places. Folk music is the music of the masses and is very popular among different section of any

society.

Music thus represents the culture, provides entertainment and also leads to spiritual

upliftment. Taking into consideration all these aspect it can be said that music can provide

sustainable tourism. The tourists will find all the aspects mentioned earlier interesting and just as

they like sightseeing, they would love to understand the music journey to know more about the

cultural make-up and diversity of the countries visited by them.

Research Methodology :

Research problem : Examine sustainability by musical tourism:

Musical Tourism is a comparatively new concept. However music had been there since ancient

times and represents culture and heritage. The relationship of musical tourism and sustainability

needs to be studied to understand how sustainability can be achieved by musical tourism








Objectives To study sustainable tourism, its properties and advantages

To study the various social aspects of musical tourism

To study the various economic aspects of musical tourism

To study the relationship between musical tourism and sustainability

Important Concepts Sustainability

iis the process of maintaining change in a balanced fashion, in which the

exploitation of resources, the direction of investments, the orientation of technological

development and institutional change are all in harmony and enhance both current and

future potential to meet human needs and aspirations. For many in the field, sustainability

is defined through the following interconnected domains or pillars: environment,

economic and social. Sub-domains of sustainable development have been considered

also: cultural, technological and political

The three pillars of sustainability

Tourism:

Tourism is a method using which people travel to different areas of the globe.

During this journey they can study new living styles, experience the natural beauty and

culture. This experience gives them an outlook into other aspects that they do not

experience in their homeland. Tourism is recognized for its impact on the socio-political

and environmental landscapes which form the pillars of sustainability. This happens as

tourism is practiced by a huge number of people around the globe.

Sustainable tourism:

There exist, within the realm of tourism, more sustainable practices and ideals that

are aligned with the idea of cultural sustainability.11

11

Cultural_sustainability. (2017, June 28). Retrieved from en.wikipedia.org:

https://en.wikipedia.org/w/index.php?title=Cultural_sustainability






Sustainability is central to underpinning feelings of authenticity in

tourism.Experiences can be enhanced when substituting the contrived for the genuine,

and at the same time inspire a potentially deleterious appetite for follow-up visits to the

real thing: objectively authentic sites untouched by repair or rejuvenation. Feelings of

authenticity at a tourist site are thus implicitly linked to sustainable tourism; as the

maximization of existential "felt" authenticity at sites of limited historical provenance

increases the likelihood of return visits.

Musical Tourism:

Music tourism is the act of visiting a city or town, to see a music festival or other

music performances12

.

Musical Tourism and sustainability:

There is a relation between musical tourism and sustainability.

Economic considerations and cultural aspects in isolation in isolation cannot ensure

sustainability. However, when balanced these can give lasting development.

Type of Research Descriptive. This particular paper is based on descriptive research as it explains the

concept of musical tourism and its various aspects as described in available literature.

Scope The paper covers the aspects like examining and understanding musical tourism and

sustainability interrelationship internationally through available literature

Sources of data This paper is based on the following sources of secondary data, Books, research papers,

websites

Limitations of the study and future scope of study The study is limited to the aspects mentioned earlier.

The study is based on available literature. There is still scope to investigate using

instruments like survey and interviews. This will give the human perspective and interactive

methods will give more fresh data and outlooks.

The artists and contributors to the music industry and the intangible and tangible impacts

of the concept of sustainable music tourism on their lives can be studied.

Musical Tourism: Global perspective Musical tourism is a phenomena that is present worldwide. Some countries, including

developing countries, have used this phenomena very effectively.

Birgitte Anderson13

and others observe that some countries have been unable to

successfully commercialize their own music and hence cannot reap benefit from this important

12

Music_tourism. (2017, February 20). Retrieved from wikipedia:

https://en.wikipedia.org/wiki/Music_tourism

13

Anderson Birgitte, ZeljkaKazul-Wright &RechardKazuls Wright – Copyrights Competition

and Development – A case of the Music Industry (2000), www.unctad. United Nations

Conference on Trade and Development as published in Music Industry – Imerging Paradigm

edVandanaShajan-Icfai (2007)

http://www.unctad/






indigenous resource. Developing countries like Brazil have gained competitive advantage by

generating music based on fusion of traditional music with western musical traditions.

The authors further observe that cultural industries such as music offer excellent growth

and export potential to developing countries. Building competitive industry in a developing

country suffers from problems like weak institutional and political support, low levels of

entrepreneurial capability, low value added, massive copyright infringement, etc.

This sort of tourism is particularly important to small villages such as Glastonbury, as

well as large cities like Glasgow. The fairly recent jam band phenomenon is a contemporary

example that encourages music tourism. Music festivals are visited by many tourists annually.

According to these researchers, creating a successful music industry is as much related to

institutional capabilities as to music potential or talent. Adapting copyright legislation to local

conditions should be the focus of policy makers in developing countries looking to strengthen

their cultural industries. Without this, they will be unable to fully realize the benefits from

creativity and talents of people in the audio-visual sector.

Musical Tourism: Example of Sweden

Wallis14

(2001) has given the example of Sweden to justify how a small country could

develop music as a resource to generate business wealth and foreign exchange. It achieved a

positive trade balance in specific music industry revenue flows. Wallis further explains the social

and cultural policies of the government around 1980 which have contributed to the success of the

music industry –

School children to gain proficiency in vocal or in atleast one musical instrument through

the music educational programme.

Social programmes at local level providing rehearsal venues to music groups.

Encouragement to local entrepreneurs to set up recording studios, record production and

publishing firms, etc.

Easy access to good quality technology and technological expertise at reasonable cost.

Social policies to encourage municipal authorities to provide venues where creativity and

cultural expression can be encouraged among the youth, e.g. converting empty

warehouses into meeting places and rehearsal halls.

Encouragement to form societies to protect and regulate the rights of artists and

composers, music publishers, e.g. copyright society is owned jointly by composers‘

association and music publishers and it has state representatives on the board. The value

of such functioning bodies lies with the principles of reciprocity and solidarity.

Music Tourism in Trinidad and Tobago:

Henry Ralph15

and others have tried to assess the contribution of music industry in the

national development of Trinidad and Tobago. The music industry in this region is characterized

14

Wallis Dr Roger (2001) Best Practice Cases in the Music Industry and their Relevance for

Government Policies in Developing Countries, UNCTAD (Pg 36-42)

15

Henry Ralph, Daniell Alvin and Trotman Stein – Music Industry in Trinidad and Tobago – As

in Music Industry – Emerging Paradigm Ed. ShajanVandana






by a wide variety of firms and organizations. In Trinidad and Tobago the music of the highest

quality was generated by converted oil drums. This instrument, pan, has the emotional value and

remains a novelty factor. The festivals, carnivals and party times were associated with music

from pan. A clear understanding of the value process and the degree to which characteristics of

music products can be manipulated have played key role in promotion of cultural products of

Trinidad and Tobago. Both Trinidad and Tobago have the highest number of visitors during

carnivals and other festivals that have become popular. Music industry gets tremendous boost

during this period. It is a major income earner not only for artists, instrument players, singers and

other participants of music industry, but also for a variety of other services like transport,

restaurants, hotels, retailers and many others. Though music industry has tremendous scope,

there is lack of institutions that would train the budding artists in traditional folk form. The

distinctiveness and creativity of instruments like pan, calypso, soca, chutney and parang needs to

be enhanced for acceptance in international markets.

Musical tourism in India and recent trends Musical Tourism is now a growing and popular concept in India. Some time back it was

just picking up speed and was not a very widely practices in India.

India is very rich in its history, cultural heritage and also natural beauty.

In the coming years Musical Tourism is set to become the buzzwors of the Tourism industry in

India.

There are already many examples of Musical Tourism in India which are already huge

success stories.

Musical Tourism is not merely limited to Music Concerts and festivals. They do form the

backbone but there are so many individual performance experiences, thematic experiences,

climate based music experiences and festival based musical experiences that are enjoyed by

tourists.

The tourists enjoy the whole journey of living the musical experience along with other

aspects of sightseeing and tourism. Winter desert camping festival in Rajathan is one such example.

It was held in Jaisalmer, Rajasthan from February 23 to 25, 2018. It was Asia's first

desert camping festival and was held in the Thar Desert full of desert dunes.

It featured artists from around Rajasthan. The Rajasthan folk music and traditional music

was the hero of the event and provided a great insight into the rich culture of Rajasthan.

Commenting on the trend of music tourism, Varun Gupta, CEO Goomo16

, said, "A

number of events boasting famous international artists have debuted in India over the past few

years, producing a year-long packed schedule of music festivals across the country. With more

and more state governments looking to boost tourism through musical and cultural events, we

have witnessed people from all over the country travelling to various places just to attend these

16

what-will-inspire-your-next-vacation-music-tourism-to-be-2018s-top-travel-trend. (2018,

February 13). Retrieved from economictimes.indiatimes.com:

https://economictimes.indiatimes.com/magazines/panache/what-will-inspire-your-next-vacation-

music-tourism-to-be-2018s-top-travel-

trend/articleshow/62893900.cms?utm_source=contentofinterest&utm_medium=text&utm_camp

aign=cppst






SawaiGandharvaSangeetMahotsav17

(music festival) which is held in Pune, Maharashtra, India,

has now become a Sawai Brand. It was started with the concept of devoting the art of music at

the feet of the Guru (teacher). Pt. Bhimsen Joshi and Nanasaheb Deshpande initiated the festival

to keep the memory of Late Pt. SawaiGandharvaRambhauKundgolkar in 1952. Since then it has

been attracting well known artists as well as music lovers, not only in India, but also from

countries round the globe. The growing international audience is appraised about the

accomplishments of the presenter artist, the Raga, its peculiarities and the bandish. This practice

gives necessary knowledge to the listeners and also makes them experience the trends in the field

of classical music.

Findings:

1. Musical Tourism is a comparatively new phenomenon.

2. Musical tourism is observed to be used both, the developed as well as the developing

countries

3. The music festivals in different countries are becoming popular among tourists. The

tourists have developed a habit to visit such events regularly.

4. Attracting regular flow of tourists through music events ensures sustained development

by creating business opportunities.

5. There is lack of supportive agencies for growth of music tourism in developing countries.

Recommendations: 1. Considering the scope for sustaining growth through musical tourismthe following

avenues are suggested

Musical Tourism linked with medical tourism though music therapy.

Temple traditions and music. Devotional music like Navaratri celebrations

dandiya, garba

Folk art and folk music – tribal art and music like Kala Ghoda Festival in

Mumbai.

Special musical tours for drama enthusiasts –Dramam music an important part of

cultural heritage.

Instrument based tourism – Dholtasha attracts tourists across the globe during

Ganesh festival

Visits to Gurukul.

2. The government and the music promotion institutions should develop supportive systems

to facilitate music tourism

E.g. Arrangement for tourists at venues, advanced intimation of programs and festivals,

online booking facilities etc.

17

Kulkarni Vidyadhar – AbhijatSangeetalnadhyePunyachaSavai Brand, Loksatta (Pune), 8 Dec

2016, Pg 5






Conclusion:

For sustaining progress of any nation, peaceful coexistence is the basic factor. Musical

tourism makes people understand the interwoven aspects of culture, and thus ensure mutual

understanding and respect leading to peaceful coexistence.

Human beings strive for inner satisfaction and peace. Music and its meditative values lead to

satisfaction of human aspirations. This in turn can result in devoted efforts for better living,

which is a prerequisite for sustainable development.

Sustainability. (2018, Nov 6). Retrieved from wikipedia:

https://en.wikipedia.org/wiki/Sustainability






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