Monday, June 26, 2006

Prince and the Coach.

After watching the Portugal Vs Holland 'Boxing' match (Sorry football) I can understand how difficult is to manage a Pro.

In the carribeans, India was winding up a tour frought with lot of missed opportunities and lots of lessons learnt. Could things be different had the "Prince" were part of the India team and had he Captained it. Was there any opportunity costs of Losing the 'Most Successful' captain of India.

There is no definite answer to such a question. But could something had been done different to Manage and vex out any issues between the Coach and the Prince.

The whole episode forgotten and laid to rest is springing back again. Not only this but also Rise of Sania a.k.a a New product launch and trickle of wisdom from football, hockey etc.

Where else. If all goes as planned (Which Indians are very poor at. Chinese are much more action oriented and follow a plan with a result oriented action. e.g. Golden Quad, privitization of PSUs, Upgradation of Airport, Bangalore International Airport, the list goes on)

the first batch of Pgpx will Have the honour to listen to Mr & Mrs Harsha Bhogle in person as a part of the 'Leadership Module'.

Ahoy Mr Ganguly Ahoy Mr Chappel.

Sunday, June 25, 2006

Sixer from Saudalpur

After 5 months of pursuing, the man from Saudalpur has hit a big sixer.

The ball has been discovered in the boardroom at Arcelor HQ.

Bloomberg reports that Arcelor has agreed for the takeover (for 40.37 EPS)of the company by Mittal Steel and the combined entity will be called 'Arcelor Mittal'

I saw a direct advt in HBR from Mittal Steel directed towards Arcelor's share holder. Talk of effective communication. Nothing better than this. Reactions from the big shareholders and late realization from Lux govt about the issues wrt to severstal have contributed to this turnaround.

Its heartening to see the victory of 'Business Sense' over the parochialistic economic regionalism.

Monkey Money is not Monkey Money at all.

Wednesday, May 31, 2006

Zoo returns to fore

Apologies for the long gap (Dont remember how long, it seems like ages here)

Blogging had taken sidestep to academic concerns. Now that I know where things stand, its time I continue to ramble something or other.

Term 1 is about to end in a few days. (20% of MBA would have been done by then)

I have started to appreciate few learnings from the class, like usage of Stats in understanding the roller coaster Sensex, etc etc.

One can get drowned academically here. The place is competitive, culture is performance oriented and mercenary.

Its very difficult to keep the big picture in mind without getting drowned at the same time mastering the art of swimming. All dimensions are equally required.

I am really intrigued by the Arcelor Mittal affair. There is so much learning here. Game Theory, Strategy, BATNA, Poison Pills, Ethics, Free Markets, Synergy, Volume Vs Variety Strategy, Marketing Strategy in a Matured Market, M&A, Corporate Governance and the list goes on.

Last heard, Arcelor merges with Severstal of Russia. Much more interesting is what happened before a couple of weeks. Arcelor created a "S Cube" - Strategic Steel Stitching in Netherlands, transferred ownership of Dofasco to it. In Eventual Mittal takeover, Mittal may not be able to sell Dofasco to ThyssenKrupp as it cannot control the S3 Board. Hence Mittal may have to sell alternative source to honor its own agreement with Thyssenkrupp.

Also Reuters says that Arcelor may face possibel shareholder revolt over severstal deal..

Thursday, April 27, 2006

Richard Daly Effect, Diversification as Comp Adv

First problem definition using Xlogics (More than 1 exist)

Xchaas = Luchaas*Mvar + Muggos*Lvar (Pls refer Motley's detailed definition about Luchaas and Muggos)

Lvar = Conversion rate at which Luchaas can convert to Muggos
Mvar = Muchaas can convert to Luchaas

Lvar < Mvar
2. CI and Richard Daley Effect. As the no of 'Alleged contribution from Richard Daly' increases the CI decreases. At one point in X axis the CI reaches 0. Richard Daly's contribution to English Language might have benefitted him. But we the Luchaas are being bludgeoned by it. We were shot through our heart for atleast 6 consecutive times. For the more inquisitve mind, here is the link,

When some one told me WIMWI was tough sometime back, I thought it was an 'Arbit' Comment. Now I realize how true he was.

The amount of learning that is happening here is outstanding. I have learned so much in 25 days what I would not have done had I not decided to become a 'Xchaa'. Opportunity Benefits far outweigh Opportunity costs.

Shifting to a different plane.

What causes a Firm to diversify. From my Eco Learning I derive that 'Managerial Decision' -like Managers may simply want to run a large firm, Eco of Scope etc can cause the Firm to Diversify.
At the same time I was also looking for some Oout of Box Factor that can cause a Firm to diversify/attempt to diversify.

I stumped upon the argument by Ramachandran in Hindu about Mittal Vs Arcelor

The fact that the hostile bid may result in favor of Mittal or Arcelor is unimportant, important thing is in the process what has Mittal done to Arcelor.

Mittal and Arcelor - No 1 and 2 Companies in terms of Volume and Profits vice versa globally.

1. Mittal dampened Arcelor's spectacular growth figures by announcing the bid before Arcelor's Shareholder's conf.
2. Arcelor spend(ing) huge amount of money/efforts to hold its fort
3. Arcelor is taking a 4Billion USD loans from European Banks to manage the new dividend payouts and other activities that have arised after the hostile bid. (Apr 26 Eco Times)

So in effect without tasting the blood, Mittal in its attempt to diversify by acquiring Arcelor, has managed to setback few gains of Arcelor.

In net I believe 'Diversification' has been used as a Competitive Weapon in this case.

Lets see how the game proceeds.

Sunday, April 16, 2006

Advance Ski range and a Novice

Much water has flown over the last 10 days. IIMA is a demanding place. Shifting to 4th gear after years of lazying around in neutral gear has not been a easy task.

All said and done, I see a difference in myself.

Multi dimensional thinking - thats what teachings in an MBA class equip you with.

When u see a person shopping, I become curious to observe

why he is shopping, how he is shopping,
Is he getting what he wants,
how does the customer service rep treats him/her,
What is the probability he will choose one brand over other,
How does the shopping mall keeps a supply of 'Kellogg's Mango Puree'. I find it everytime when I search for it in the aisle,
How much amount the mall is making on a single 'Kellogg's Mango Puree'.

and the list goes on.

Arguably there is no other professional program that can make you think in so many angles.

After a couple of bouncers, I am still trying to find my feet here. Hope I shall find them soon. :)

On an interesting note - Arcelor started their first production facility in India couple of days ago. Let the world learn the free market fundas from India.

Sunday, April 02, 2006

Pgpx Kicked Off

Today morning the IIMA Pgpx Program was kicked off by the Chairman of Board of Governors, IIMA Mr. Narayana Murthy.

It was a historic day for all 61 of us dressed in Pgpx T shirts and accompanied by Friends and Families.

We had our classes and after 7 (Short?, Avg W.E - 9 Years) years I sat in a formal class room setting.

My 5 mths Kid was appreciative of the Kick Off Ceremony and held her nerves till the lighting of lamp.

Group Profile, IIMA Pedagogy, Professors, Facilities are excellent.

2Morrow I have my First Case discussion. Trying hard to get those dusty brain cells to be active again.

Tail Ender:-

I loved the 'Brickly Beauty' a.k.a IIMA Old Campus. Louis Kahn smiles thru the open places, geometric shapes and hidden alleys.

Thursday, March 23, 2006

Leadership is a Noble Calling

IIMA beckons 63 of us in a short while. Looks like there are 4 droputs from the proposed 67 batch of First Pgpx Class.

My sincere apologies to friends and readers of my blog for being out of action for a long time.

Over the last 45 days I spend quality time with my family. Since last 10 years I have visited my parents only in short stints. Thanks to Pgpx I could spend time with them at the behest of Pre MBA relaxation :).

Oh Mighty Lords of heaven and Rulers of dark worlds let the force be with all the '63' of us.

Congragulations and all the best to fellow Pgpxians @ IIMA.

Leadership is indeed a Noble Calling.