Concepts of Throughput Accounting and Theory of Constraints

Financial Management

Kaizen – Understanding the Japanese Business Philosophy of Continuous Improvement

Operations Management

Role of Leaders in Shaping Organizational Culture

Management Principles

Organizational Culture – Development and Importance

Management Principles

Five Important Organizational Cultural Models

Management Principles

Mutual Funds in India

The Mutual Fund industry started with the setting up of Unit Trust of India. The money market mutual fund segment has a total corpus of $1.48 trillion in the USA against a corpus of $100 million in India. The entry of private sector and foreign institutions in 1993 provided a boost to the Indian mutual fund industry in the form of different schemes launched. The Government of India took the initiative of developing mutual fund industry by offering various tax soaps in the budget and enabling it to play an important role in mobilization of savings and in the development of the financial market. Till 1960s, the Indian mutual fund industry was not in existence. In 1963, the Government of India took the initiative by passing the UTI Act, under which the Unit Trust of India was set-up as a statutory body. The designated role of UTI was to act Continue reading

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Out-shopper Analysis in Retail Management

It is very clear that not all the consumers who are within the trading area shop exclusively from that area. A group of consumers known as “out-shoppers” frequently and regularly shop outside their local trading area. These consumers spend a considerable amount of time, money and effort making inter-trading area shopping trips. Some out-shoppers look for economic gains arising from lover prices in larger trading  centers  where assortments are better and the level of competition is more intense. Some shoppers simply seek the diversity of unfamiliar or more stimulating surroundings. Demographically  out-shoppers  are younger and are relatively well educated and their relative income is high; psychologically,  out-shoppers  are active and are on the “go”, urban-oriented who are neither time conscious nor store loyal shoppers. They tend to manifest a distaste for local shopping and, hence, a strong preference for out of town shopping areas. To obtain an accurate estimate of Continue reading

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Organisational Values – Definition, Sources, Advantages and Disadvantages

An organisation is an artifact, social entity, has structured activities, nominal boundaries and it is goal directed. Values can be explained in few perspectives according to various sources. In ethics, value represents importance of physical and abstract objects which is ideal accepted by individual or group. It can be also defined as qualities that are considered worthwhile that represent an individual’s highest priorities and deeply held driving forces. Values are often admixture with knowledge, norms and beliefs. Beliefs can be proven right or wrong by one but not values. Beliefs may vary by cohort, time, geographical differences but values are universal, true for anybody at any time, whenever an individual is. Organisational values are ethical codes that guide behavior by putting assumptions into practice. It also serves as qualities that an organisation appreciates and would require members of the organisation to chase after. Organisational values are ideology of an organisation Continue reading

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Advantages and disadvantages of the Depository System

Advantages of the Depository System The advantages of dematerialization of securities are as follows: Share certificates, on dematerialization, are cancelled and the same will not be sent back to the investor. The shares, represented by dematerialized share certificates are fungible and, therefore, certificate numbers and distinctive numbers are cancelled and become non-operative. It enables processing of share trading and transfers electronically without involving share certificates and transfer deeds, thus eliminating the paper work involved in scrip-based trading and share transfer system. Transfer of dematerialized securities is immediate and unlike in the case of physical transfer where the change of ownership has to be informed to the company in order to be registered as such, in case of transfer in dematerialized form, beneficial ownership will be transferred as soon as the shares are transferred from one account to another. The investor is also relieved of problems like bad delivery, fake certificates, Continue reading

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Introduction to International Financial Reporting Standards (IFRS)

Background of  International Financial Reporting Standards (IFRS) Users of financial statements have always demanded transparency in financial reporting and disclosures. However, the willingness and need for better disclosure practices have intensified only in recent times. Globalization has helped Indian Companies raise funds from offshore capital markets. This has required Indian companies, desirous of raising funds, to follow the Generally Accepted Accounting Principles (GAAP) of the investing country. The different disclosure requirements for listing purposes have hindered the free flow of capital. This has also made comparison of financial statements across the globe impossible. An International body called International Organization of Securities Commissions (IOSCO), to harmonize diverse disclosure practices followed in different countries initiated a movement. The capital market regulators have now agreed to accept IFRS (International Financial Reporting Standards) compliant financial statements as admissible for raising capital. This would ease free flow of capital and reduce costs of raising capital Continue reading

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Logistics – Definition and Meaning

According to Council of logistics management: “Logistics is the process of planning, implementing and controlling the efficient, effective flow and storage of goods, services and related information from point of origin to point of consumption for the purpose of conforming the customer requirement”. This definition clearly points out the inherent nature of logistics and it conveys that Logistics is concerned with getting products and services where they are needed whenever they are desired. In trade Logistics has been performed since the beginning of civilization: it’s hardly new. However implementing best practice of logistics has become one of the most exciting and challenging operational areas of business and public sector management. Logistics is unique, it never stops! Logistics is happening around the globe 24 hours a day’s Seven days a week during fifty-two weeks a year. Few areas of business involve the complexity or span the geography typical of logistics. Word, Continue reading

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