Useful Information


Information is valuable only if it is useful. You can have a  never-ending supply of interesting, amusing, and even shocking information, but if it is not useful, it won’t help you manage better. And for information to be useful, it must meet five criteria:

  1. It must be accurate. Just how accurate information needs to be depends on the situation.
  2. It must be timely. Any manager will tell you that decisions must be made, with or without “necessary” information.
  3. It must be complete. A manager facing a decision needs information that covers all areas affecting that decision.
  4. It must be relevant. One of the most difficult aspects of information management is deciding what is relevant, deciding what isn’t, and then providing the relevant information only.
  5. It must be concise. Information must be in a form that is efficient for the decision maker to use.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Advertisements

Inflation and Disinflation


Fiscal policy is related to inflation, which occurs when the prices of goods and services rise steadily throughout the economy. Although many factors (such as increases in the prices of imported goods) contribute to inflation, government borrowing is major factor. When the government borrows great sums of money to bolster the economy, the total amount of money circulating tends to increase. With more money chasing the same quantity of goods and services, inflation increases too.

Theoretically, the government is supposed to pay back its debt during inflationary times, thereby taking some of the excess money out of the economy and slowing inflation to moderate level. This system worked throughout 1950s and 1960s, but during the 1970s, inflation kept building. By the end of the decade, prices were increasing by almost 14 percent a year.

Inflation of this magnitude brings an unproductive mind-set. People become motivated to buy “before the prices goes up,” even if they have to borrow money to do it. With greater competition for available money, interest rates increase to a level that makes business borrowing riskier and business expansion slower. Businesses and individuals alike begin spending on short-term items instead of investing in things like new factories and children’s education, which are more valuable to the nation’s economy in the long run.

Because of the peculiar psychology that accompanies high inflation, slowing it has always been difficult. In addition, the causes of inflation are complex, and the remedies can be painful. Nevertheless, several factors conspired to bring about a period of disinflation, a moderation in the inflation rate, during the 1980s.

Whether inflation will remain under control is debatable. The country is still vulnerable to outside shock. Bad weather could jack up food prices, and political upheavals could limit the supply and boost the price of vital raw materials. Also, government efforts to stimulate the economy could rekindle inflation. When the economy slumps, the government is inclined to increase the money supply, which tends to drive prices up.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Learn the Language


If you are going to spend a year or more in a country—definitely, absolutely, do your utmost to learn the language. It will make a tremendous difference to your state of mind. Ability to understand the local language seems to play a major role in adjustment to culture shock and personal success in a foreign world.

It is not clear why speaking the language makes such a big difference, but it does. Obviously it makes getting around a lot easier. In hundreds of moments of struggling to get something done, from shopping to household repairs to getting directions, just knowing some of the language removes huge portions of aggravation and helps you gain a sense of safety and self-assurance. When people around you are babbling away in a foreign language, you become vaguely insecure and feel isolated. Knowing the language gives you a sense of mastery in situations where you may feel vulnerable.

The more process of learning the language gets you more in tune with the culture, and breaks the ice, putting you in the right frame of mind to adjust. In some places, speaking a second language is important to enhance your image as a well-bred, educated person—you may be somewhat better off if the language you learn is not the language spoken in the country.

The frequent traveler should think about learning languages too, of course, depending on the amount of travel and bilingualism of the business community. Speaking a language fluently can permit you to attain levels of relationship and business advantage unattainably by someone who doesn’t.

Fluency in the language will allow the traveler into otherwise exclusive realms of local business. The process of negotiation often depends on behind-the-scenes information flow.

Learning the language is no substitute for learning the culture and appropriate behavior. People who are fluent in a language but not sensitive to the culture can make worse mistakes, perhaps because the local experts more of them. And there are dangers in speaking a language if you are not competent in it. Not knowing the nuances of words or being careless with intonations, you might say things you don’t mean. In most languages, some common words have extremely vulgar meanings if pronounced incorrectly. Or you may hear unintended meanings.

If you don’t speak the language well, it is best to reveal that you have made the effort to learn—but then rely on English or an interpreter. Experts advise that is generally best to speak the language for socializing and daily activities, but not when transacting business. As a rule of thumb, if you are not fluent and your foreign counterpart does not speak fluent English, always transact business with an interpreter. Traders who meet frequently with foreigners say that while English is the business language around the world, buyers are far more comfortable talking in their native language, and even if they can speak English, it is often better to have an interpreter. They don’t have to struggle so hard, and it puts them at ease.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

The Japanese Philosophy


Everyone is aware, to some degree, of the major inroads the Japanese have made and are continuing to make in US markets, including automobiles, electronics, cameras, computer hardware, machine tools, and aerospace. In automobiles, the United States has fought back strongly.

There are many examples where the Japanese have taken over an American plant, kept the same workers, laid off half of management, and doubled productivity! Some of the elements of Japanese philosophy include:

  1. 1. Worker Flexibility: Rather than being specialized, workers are trained to do many different tasks, making for a flexible process and reduced WIP.
  2. 2. Jidoka Quality at the Source: If a bad unit is made, it is not set aside. The entire process is stopped, and everyone looks to find the problem. This again reduces WIP and does not allow continued production a bad goods.
  3. 3. Just-in-Time Production: An item is produced exactly when it is needed. This works best for repetitive manufacturing, so all processes are designed to be repetitive manufacturing. Kanban control systems were developed for this situation.
  4. 4. Uniform Plant Loading: Confusion and shock waves from changing things are avoided by having exactly the same thing made every day. One way to do this is to establish a standard mix of products to be made every day.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight

What will other people think?


Everyone wants the approval of other people. This is a basic need of human nature. Before doing anything—deciding what to wear, decorating the home, buying a car, or accepting a job—many people ask theselves, “what will my friends say?” “Will they approve?” Most people fear doing anything they feel may shock, offend or upset others.

 

The easy way to deal with the will-other-people-approvre? Fear is to adhere to strict conformity. But living your life to conform to other people’s likes, dislikes, and prejudices stunts your development. Conformists deny themselves individuality, and ingredient you must have to enjoy success.

 

Here are two suggestions to beat the do-other-people-approve? fear:

  1. If what you want to do meets moral and legal standards, do it! Your life is your life. Friends who criticize what you do aren’t really friends. Chances are the people who think your behavior should always meet their standards won’t be there when you need money, a job, or help. And the folks who want you to think and act the way they do would delight in seeing you fail or get into some kind of trouble. Remember this: People who expect you to conform to their way of viewing things are themselves very insecure.
  2. Seek the approval of people you admire most. Select a mentor. Instead of asking, “what will other people think?” ask, Would the most successful person I know approve of what I have in mind?” Think and do as successful people think and do.

 

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, Line of Sight

Reproduction of Change Agents


A large force of change agents can quickly bring in not only many innovations but also a culture of innovation. A number of companies that successfully attempted turnaround from sickness showed how this can be done.

 

One strategy for creating numerous change agents is to identify those with fire in their belly, give them training and exposure, and empower them to innovate. Another strategy is to shock the stolid into the recognition of the need for innovations and changes, provide them with a vision of change, and provide opportunities to them to contribute innovative ideas and actions. When orchestrated, the two strategies may give excellent results in terms of yielding not only numerous innovations but also an innovationist organizational culture.

 

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please contact www.asifjmir.com, Line of Sight