Indian Environment: the Changing Scenario
UNIT 1 INDIAN ENVIRONMENT: THE CHANGING SCENARIO
Objectives From this unit you can understand • • the evolution of Indian environment from historical perspective to present scenario appreciate the paradigm shift of the Indian business
Indian Environment: The Changing Scenario
Structure 1.1 1.2 1.3 Introduction Historical Perspective The Dual History of India
1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 Pace of Change Liberalisation, Privatisation and Globalisation (LPG) Downsizing Outsourcing Information Technology
1.4
Challenges for Organisations
1.4.1 1.4.2 1.4.3 1.4.4 1.4.5 Global Standards Life Cycle of Organisation Price led Strategy Decision Response Time Knowledge Capital
1.5 1.6 1.7
Summary Self-Assessment Questions Further Readings
1.1
INTRODUCTION
The Indian social environment is seen in various terms depending on the position of the viewer. The diverse views that exist however seem to create a debate on whether the social processes of the country are "good or bad". There exists a long tradition of seeing it from the eyes inherited from the British Colonial perspective in which Indian social processes are seen as passive, non-vibrant, indigent and lazy. There are other points of view which seem to find redeeming features in Indian social processes that are seen as potentially strong and capable of being energetic and productive. The post liberalisation era of the last decade has witnessed unprecedented pace of change in volume, scale, speed, complexity, discontinuity and increased turbulence in the business environment. The emergence of global economic order has made it imperative for organizations to achieve global standards of performance, to gain and maintain competitive advantage. The hyper competitive scenario has necessitated a fundamental transformation in the conduct of business. With pressure to do more and more with less and less resources, coupled with service orientation and customer relations management, organizations are left
Objectives From this unit you can understand • • the evolution of Indian environment from historical perspective to present scenario appreciate the paradigm shift of the Indian business
Indian Environment: The Changing Scenario
Structure 1.1 1.2 1.3 Introduction Historical Perspective The Dual History of India
1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 Pace of Change Liberalisation, Privatisation and Globalisation (LPG) Downsizing Outsourcing Information Technology
1.4
Challenges for Organisations
1.4.1 1.4.2 1.4.3 1.4.4 1.4.5 Global Standards Life Cycle of Organisation Price led Strategy Decision Response Time Knowledge Capital
1.5 1.6 1.7
Summary Self-Assessment Questions Further Readings
1.1
INTRODUCTION
The Indian social environment is seen in various terms depending on the position of the viewer. The diverse views that exist however seem to create a debate on whether the social processes of the country are "good or bad". There exists a long tradition of seeing it from the eyes inherited from the British Colonial perspective in which Indian social processes are seen as passive, non-vibrant, indigent and lazy. There are other points of view which seem to find redeeming features in Indian social processes that are seen as potentially strong and capable of being energetic and productive. The post liberalisation era of the last decade has witnessed unprecedented pace of change in volume, scale, speed, complexity, discontinuity and increased turbulence in the business environment. The emergence of global economic order has made it imperative for organizations to achieve global standards of performance, to gain and maintain competitive advantage. The hyper competitive scenario has necessitated a fundamental transformation in the conduct of business. With pressure to do more and more with less and less resources, coupled with service orientation and customer relations management, organizations are left