The developments in medical sciences—the lowering of mortality rates and the increase in life expectancy—have ironically led to a situation where there are increasingly
The developments in medical sciences—the lowering of mortality rates and the increase in life expectancy—have ironically led to a situation where there are increasingly
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Business Strategy Management
CASE – 1
HELPAGE INDIA
The
developments in medical sciences—the lowering of mortality rates and the
increase in life expectancy—have ironically led to a situation where there are
increasingly, a larger number of aged people in the society. The situation in
most countries of the world is that the number of ageing people is increasing.
India too, like other developing countries, experiences a rapid ageing of the
population, with an estimated 80 million aged people. Almost eight out of ten
of these aged people live in rural areas.
The
challenges that the elderly people in the society face are many. For instance,
a report in the Indian context indicates the following challenges:
·
90% of senior citizens receive no social
security or medical cared.
·
73% of senior citizens are illiterate and can
only earn a livelihood through physical labour, which is possible only if they
are healthy in their old age.
·
80% of senior citizens live in rural areas with
inadequate or inaccessible medical facilities; many are unable to access the
medical facilities because of reduced mobility in the old age.
·
55% of women over the age of 60 are widows with
no means of support.
The
elderly people, or senior citizens, are the fastest growing segment of the
Indian society. By 2025, the population of the elderly is expected to reach 177
million.
Unlike many developed countries, India does not
have an effective security net for the elderly people. There have been sporadic
attempts by governments at the central and state levels to pay old-age
pensions, but like most government schemes, there is a lot of leakage of funds
and inefficiency. There is also a lack of post-retirement avenues for
re-employment.
Socio-economic developments such as
urbanisation, modernisation, and globalisation have impacted the economic
structure and led to an erosion of societal values and the weakening of social
institutions such as the joint family. The changing modes of society have
created a chasm between generations. The intergenerational differences have
created a situation where the younger people are involved in education, career
building and establishing themselves in life, ending up ignoring the needs of
the elderly among them. The older generation is caught between a society which
cares little for them and the absence of social security, leading them to a
situation where they are left to fend for themselves. It is in this context
that institutions such as HelpAge India play a positive role in society.
HelpAge India, established in 1978, is a secular,
not-for-profit, non-governmental organisation, registered under the Societies
Registration Act of 1860. Its mission is stated as: ‘to work for the cause and
care of the disadvantaged older persons and to improve the quality of life’.
The three core values that guide HelpAge India’s work are rights, relief and
resources. HelpAge India is one of the founder-members of HelpAge
International, a body of 51 nations representing the cause of the elderly at
the United Nations. It is also a member of the International Federation on
Ageing.
The organisation of HelpAge India consists of a
head office at New Delhi, with four regional and thirty-three area offices
situated all over India. The governing body of the organisation consists of ten
distinguished people from different walks of life. Besides the governing body,
there are three committees: the operations committee, the business development
committee, and the audit committee. The CEO, Mr Mathew Cherian oversees the
planning and implementation of policies and programmes, with the support of
five directors. The regional directors are responsible for their own regions.
The program division at the head office chooses the partner agencies to provide
the services to the elderly people.
HelpAge India raises resources to perform three
types of functions:
·
Advocacy about policies for the elderly persons
with the national and local governments
·
Creating awareness in society about the concerns
of the aged and promote better understanding of ageing issues
·
Help the elderly persons become aware of their
own rights so that they get their due and are able to play an active role in
society
The
major programmes undertaken by HelpAge India include mobile medicare units,
ophthalmic care for performing cataract surgeries, Adopt-a-Gran, support to
old-age homes, day care centres, income generation and disaster relief.
The business model of HelpAge India is based on
revenue generation through grants and donations from International and national
sources. Nearly half of the donations come from International donors. About a
fifth of the donors are individuals. The sources of contributions come from
fund-raising activities that include direct mail, school fund-raising,
corporate fund-raising, sale of greeting cards, acting as corporate agent for
insurance, organising events and establishing a shop-for-a-cause that sells
gifts made by disadvantage people.
A review on the activities of HelpAge India
enumerates its strong points as below:
·
Wide Reach and Impact HelpAge India has been able to impact the
lives of a large number of elderly people and their families by adopting a
holistic approach that provides immediate relief as well as long-term
sustainable improvement.
·
Effective Partnerships in Development HelpAge India has evolved as a development
support agency through creating partner agencies, that is funded to implement
the projects.
·
High Degree of Charitable Commitment Typically non-profit organisations spend a
lot of on overhead and administrative costs. But HelpAge India is able to put
nearly eighty-five per cent of the funds towards actual project implementation.
·
Focus on Efficiency and Transparency The partner agencies are chosen carefully
and monitored thoroughly. This results in increased efficiency and low
overheads. Project implementation through partnerships increases efficiency and
cuts down on overhead costs.
·
Quality of Management The management quality of HelpAge India is
good and there are a lot of committed people. new employees are also trained to
be sensitive to the mission of the organisation.
With a wide spread of activities and being a
non-governmental organisation have limited funding, HelpAge India has adopted
modern means of information technology and networking. Most of the HelpAge executives
work in the field and have no direct access to the office network. They have to
use e-mail in order to maintain contact with their regional or area offices.
They use cyber-cafés or handheld devices for sending and receiving e-mails.
HelpAge has installed a secure connection at an initial cost of Rs. 4 lakh and
annual upgradation cost of Rs. 75,000 to access e-mail from anywhere, with a
high level of security and protection of data and contents.
The nature of non-profit organisations demands
certain requirements. Among these, transparency of operations and funds
management is a major one. There are many NGOs that are accused or suspected of
misappropriating funds for personal benefit. HelpAge India is conscious of this
fact and gives high priority to information disclosure. The audited financial
statements and the annual report are available on its website. The financial
statements give a detailed account of the expenditure on individual projects.
The expenses on travel and salaries of its employees and CEO are also
mentioned. The individual donors are provided information regarding the use of
the funds donated by them.
The
functional approach at HelpAge India consists of developing projects based on
the assessment of the needs of its target community rather than on implementing
them directly. The implementation takes place through the partner agencies.
Rather than outright grants, it supports income generation projects for the
elderly people. The success of implementation critically depends on the identification
and appointment of partner agencies. The officers of HelpAge India physically
inspect the proposed agencies and check on their management to ensure that they
are not family-run-set-ups established for personal gains. HelpAge India works
presently, for instance, about 150 charitable eye hospitals that act as partner
agencies for the ophthalmic care programme.
HelpAge India with its slogan of ‘fighting
isolation, poverty and neglect’ moves on its mission of providing ‘equal
rights, dignity for elders’. It foresees its future activities in the area of
rights based advocacy for a better life for the elderly people by bringing them
into the mainstream of society rather than being marginalised to the fringes.
 |
| The developments in medical sciences—the lowering of mortality rates and the increase in life expectancy—have ironically led to a situation where there are increasingly |
Questions:
1. In
your opinion, what is the distinctive competence of HelpAge India? The
distinctive competence of HelpAge India are:
2. Prepare a strategic advantage profile
for HelpAge India.
CASE
– 2
INCORPORATING
CORPORATE SOCIAL RESPONSIBILITY INTO STRATEGY AT THE TATA GROUP
Questions:
1.
Collect evidence from the case to support the
argument that social responsiveness at the Tata group is closely aligned with
its strategic management.
2.
How would you respond to critic who says that
the Tata group engages in CSR activities to enhance the reputation of the Tata
brand and thereby, benefit economically from its social responsibility
initiatives?
CASE
– 3
A PEEP INTO FUNCTIONAL AND OPERATIONAL
IMPLEMENTATION AT KRIBHCO
Questions:
1.
Keeping in view the status of KRIBHCO as an
organisation in the governmental cooperative sector, comment on the adequacy of
the functional policies in the light of what you have studied in this chapter.
2.
Suggest directions for KRIBHCO’s top management
regarding functional policies, in view of its ambitious future plans.
CASE
– 4
CORPORATE
RESTRUCTURING OF THE INDIAN RAILWAYS
Questions:
1.
Comment on the steps taken to reduce the extent
of vertical integration at the Indian Railways. Suggest a few more measures
that could be taken.
2.
Discuss the measures taken for corporate
restructuring of the Indian Railways. In your opinion, are these adequate for
dealing with the problems faced? Why?
3.
Propose the basic elements of a corporate
turnaround for the Indian Railways.
CASE:
5 EXERCISING STRATEGIC AND OPERATIONAL
CONTROLS AT iGATE GLOBAL SOLUTIONS
Questions:
1.
Analyse the iGATE case to highlight how it could
apply some of the strategic controls such as premise control, implementation
control, strategic surveillance and special alert control.
2.
Analyse and describe the process of setting of
standards at iGATE.
3.
Give your opinion on the effectiveness of the
role of reward system in exercising HR performance management at iGATE and
suggest what improvements are possible, given the environmental conditions in
the IT/ITES industry in India at present.
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