omagaziya

Wednesday, April 26, 2006

150 years of lethargy

Why is that people prefer Road transport to Railways ?
Why is that Road network is so vast but not the Rail network ?
Why is that we are able to buy bus tickets instantaneously but not the Rail tickets ?
Why is that Rail tickets cost more when compared with bus tickets ?
Why is that still Trucks carry most of the goods compared to Railways ?
Why is that there is no sync between the diff. modes of transport ?

You would have got a lot of answers for these questions by now ! The answer is simple ! Lack of competition.

If we have privatised Railways and increased competition, we could have very much saved our forex against Oil bills. Though Rail network is as important as Road and has its inherent advantages, we hardly try to improve them. We have NHAI. But do we have NRAI ?

Thursday, April 20, 2006

Let's be a Communist !

We are all programmed to be born as Communists. But then we are tuned to act as Capitalists. Communism is the survival of the weakest and Capitalism the survival of fittest.

We still practice Communism within the four walls of our home. Out of home, we become Capitalists. Parents care the most for the youngest child (or) a new born baby. The weakest survives. So, Capitalism makes no sense within the same family.

So the problem is that we are looking ONLY at our home as home. Once we start looking at the entire world as our own home, then Capitalism will make no sense as a whole and Communism will do its best for the survival and betterment of the weakest.

Thursday, April 06, 2006

The Indian WalMart

The Indian Walmart, PDS(as we call it) is really doing a good job in guzzling the indian Tax payers money. The only similarity it HAD with the Walmart WAS the price of the products. But the price reduction at Walmart is due to increase in their efficiency and the price reduction at our Indian counterpart is due to increase in the subsidy.

Walmart has its own supply chain right from the farm, if not it goes for the best of the best products in the international market while the Indian Walmart is very much dependent on its sole supplier FCI ( an other guzzler ) which stocks its products atleast for a year before delivering it to the market.

In PDS, the diversions and leakages alone account for 36% & 20 % respectively. The only good job its doing is diverting the well to do people out of its customer list. With more private players coming into retail chain, its time for PDS and FCI to re-invent themselves.

If the inefficiencies can be plugged, PDS could prove to be a role model for the world (atleast the African countries) to follow. Its pitty none of the IIM graduates take up challenging jobs like this.