China's first population fall in six decades.

China’s population fell last year for the first time in six decades, a historic turn that is expected to mark the start of a long period of decline in its citizen numbers with profound implications for its economy and the world.

The country’s National Bureau of Statistics reported a drop of roughly 850,000 people.

China’s birth rate has been declining for years, prompting a slew of policies to try to slow the trend.

But seven years after scrapping the one-child policy, it has entered what one official described as an “era of negative population growth”.

The air travel sector is going to see a sea change in India

Airlines in India are going to have a tough time in the next few years. The airlines will likely face a large population, who will likely prefer air transport in the future. This trend has been going on for the last few years. This has resulted in profits at a consistent pace or the last few years also.

But the trend is going to increase a lot as people have started to prefer air transport more. The pandemic also assisted this trend, as air transport was more secure and well-regulated.

As a result, there is also speculation that there will be an increase in aircraft acquirement by the airlines every year. The speed of acquiring will be around 100 on average. Several of these aircraft will most probably be a replacement for the existing ones.

On the other hand, there is also speculation that Air India is going to place an order for 500 aircraft. This order will likely improve the service and most importantly the quality of travel for the passengers.

The number of aircraft will likely grow at a fast pace. In the last decade, the number of aircraft increased from 300 in 2013 to 700 in 2020. The number of aircraft is likely to be around 1000 in the year 2027. There is also an assumption that the number of passengers, who will use air travel, will be around 350 million this year. Or the next year the number will increase to around 400 million.

https://unsplash.com/photos/xDjcU1Pglro

To support all this rush, airports are also getting some facelifts. The number of airports is also increasing in numbers all over the country. The Airports Authority of India is also putting in an effort that the number of airports is sufficient in the country to cater to the increase in passengers. The number of airports was 74 in 2014 and it is around 141 in 2022.

The airports are also making it possible for a large population to access different parts of the country. The central government is also putting in efforts in terms of made-in-India aircraft, which will reduce the cost expenses which airlines bear while maintaining an aircraft.

The introduction of various new airlines is also increasing the options for passengers. This is creating a competitive market for the airlines which are local and have been providing service to the people. The increasing competition is also pushing the airlines to provide even better service. It will ensure that people have the best options on offer and can enjoy their travel at a competitive price.

These points are hinting the progress that the air travel sector is going to experience in India. The increasing spending capability of the people is also making it possible for the general population to travel to their destination by air. But increasing rush in a sector also hints at the points like the maintenance that the airlines authorities, as well as the airport authorities, will have to be up to the mark all the time. So, it will be a challenge for everyone involved in this industry.

India’s top 1 percent richest own 40 percent of total wealth.

The richest one per cent in India now own more than 40 per cent of the country’s total wealth, while the bottom half of the population together share just 3 per cent of wealth, a new study showed on 16th january.

Releasing the India supplement of its annual inequality report on the first day of the World Economic Forum Annual Meeting here, rights group Oxfam International said that taxing India’s ten-richest at 5 per cent can fetch entire money to bring children back to school.

On gender inequality, the report said that female workers earned only 63 paise for every 1 rupee a male worker earned. For Scheduled Castes and rural workers, the difference is even starker—the former earned 55 per cent of what the advantaged social groups earned, and the latter earned only half of the urban earnings between 2018 and 2019.

India's top 1 percent richest own 40 percent of total wealth.

Enterpreneurship

risks with the hope of making a profit.

But as a basic definition, that one is a bit limiting. The more modern entrepreneurship definition is also about transforming the world by solving big problems like bringing about social change or creating an innovative product that challenges the status quo of how we live our lives on a daily basis.

Entrepreneurship is what people do to take their career into their hands and lead it in the direction they want.

It’s about building a life on your own terms. No bosses. No restricting schedules. And no one holding you back. Entrepreneurs are able to take the first step into making the world a better place—for everyone in it, including themselves.

Management By Objectives (MBO) – Peter Drucker MBO

The Concept Of Management By Objectives (MBO)

The concept of MBO is closely connected with the concept of planning. The process of planning implies the existence of objectives and is used as a tool/technique for achieving the objectives. Modern managements are rightly described as ‘Management by Objectives’ (MBO). This MBO concept was popularized by Peter Drucker. It suggests that objectives should not be imposed on subordinates but should be decided collectively by a concerned with the management. This gives popular support to them and the achievement of such objectives becomes easy and quick.

Management by Objectives (MBO) is the most widely accepted philosophy of management today. It is a demanding and rewarding style of management. It concentrates attention on the accomplishment of objectives through participation of all concerned persons, i.e., through team spirit. MBO is based on the assumption that people perform better when they know what is expected of them and can relate their personal goals to organizational objectives. Superior subordinate participation, joint goal setting and support and encouragement from superior to subordinates are the basic features of MBO. It is a result-oriented philosophy and offers many advantages such as employee motivation, high morale, effective and purposeful leadership and clear objectives before all concerned per-sons.

MBO is a participative and democratic style of management. Here, ample a scope is given to subordinates and is given higher status and positive/participative role. In short, MBO is both a philosophy and approach to management. MBO concept is different from MBC (Management by Control) and is also superior in many respects. According to the classical theory of management, top management is concerned with objectives setting, directing and coordinating the efforts of middle level managers and lower level staff. However, achievement of organizational objectives is possible not by giving orders and instructions but by securing cooperation and participation of all persons. For this, they should be associated with the management process. This is possible in the case of MBO and hence MBO is different from MBC and also superior to MBC.

MBO is an approach (to planning) that helps to overcome these barriers. MBO involves the establishment of goals by managers and their subordinates acting together, specifying responsibilities and assigning authority for achieving the goals and finally constant monitoring of performance. The genesis of MBO is attributed to Peter Drucker who has explained it in his book ‘The Practice of Management’.

Definitions Of Management By Objectives MBO :-

According to George Odiome, MBO is “a process whereby superior and subordinate managers of an Organisation jointly define its common goals, define each individual’s major areas of responsibility in terms Of results expected of him and use these measures as guides for operating the unit and assessing the contribution of each of its members.”
According to John Humble, MBO is “a dynamic system which seeks to integrate the company’s needs to clarify and achieve its profits and growth goals with the manager’s need to contribute and develop himself. It is a demanding and rewarding style of managing a business.”

Features Of Management By Objectives MBO :-

Superior-subordinate participation: MBO requires the superior and the subordinate to recognize that the development of objectives is a joint project/activity. They must be jointly agree and write out their duties and areas of responsibility in their respective jobs.
Joint goal-setting: MBO emphasizes joint goal-setting that are tangible, verifiable and measurable. The subordinate in consultation with his superior sets his own short-term goals. However, it is examined both by the superior and the subordinate that goals are realistic and attainable. In brief, the goals are to be decided jointly through the participation of all.
Joint decision on methodology: MBO focuses special attention on what must be accomplished (goals) rather than how it is to be accomplished (methods). The superior and the subordinate mutually devise methodology to be followed in the attainment of objectives. They also mutually set standards and establish norms for evaluating performance.
Makes way to attain maximum result: MBO is a systematic and rational technique that allows management to attain maximum results from available resources by focussing on attainable goals. It permits lot of freedom to subordinate to make creative decisions on his own. This motivates subordinates and ensures good performance from them.
Support from superior: When the subordinate makes efforts to achieve his goals, superior’s helping hand is always available. The superior acts as a coach and provides his valuable advice and guidance to the subordinate. This is how MBO facilitates effective communication between superior and subordinates for achieving the objectives/targets set.

Steps In Management By Objectives Planning :-

Goal setting: The first phase in the MBO process is to define the organizational objectives. These are determined by the top management and usually in consultation with other managers. Once these goals are established, they should be made known to all the members. In setting objectives, it is necessary to identify “Key-Result Areas’ (KRA).
Manager-Subordinate involvement: After the organizational goals are defined, the subordinates work with the managers to determine their individual goals. In this way, everyone gets involved in the goal setting.
Matching goals and resources: Management must ensure that the subordinates are provided with necessary tools and materials to achieve these goals. Allocation of resources should also be done in consultation with the subordinates.
Implementation of plan: After objectives are established and resources are allocated, the subordinates can implement the plan. If any guidance or clarification is required, they can contact their superiors.
Review and appraisal of performance: This step involves periodic review of progress between manager and the subordinates. Such reviews would determine if the progress is satisfactory or the subordinate is facing some problems. Performance appraisal at these reviews should be conducted, based on fair and measurable standards.

Advantages of Management By Objectives MBO :-

Develops result-oriented philosophy: MBO is a result-oriented philosophy. It does not favor management by crisis. Managers are expected to develop specific individual and group goals, develop appropriate action plans, properly allocate resources and establish control standards. It provides opportunities and motivation to staff to develop and make positive contribution in achieving the goals of an Organisation.
Formulation of dearer goals: Goal-setting is typically an annual feature. MBO produces goals that identify desired/expected results. Goals are made verifiable and measurable which encourage high level of performance. They highlight problem areas and are limited in number. The meeting is of minds between the superior and the subordinates. Participation encourages commitment. This facilitates rapid progress of an Organisation. In brief, formulation of realistic objectives is me benefit of M[BO.
Facilitates objective appraisal: NIBO provides a basis for evaluating a person’s performance since goals are jointly set by superior and subordinates. The individual is given adequate freedom to appraise his own activities. Individuals are trained to exercise discipline and self control. Management by self-control replaces management by domination in the MBO process. Appraisal becomes more objective and impartial.
Raises employee morale: Participative decision-making and two-way communication encourage the subordinate to communicate freely and honestly. Participation, clearer goals and improved communication will go a long way in improving morale of employees.
Facilitates effective planning: MBO programmes sharpen the planning process in an Organisation. It compels managers to think of planning by results. Developing action plans, providing resources for goal attainment and discussing and removing obstacles demand careful planning. In brief, MBO provides better management and better results.
Acts as motivational force: MBO gives an individual or group, opportunity to use imagination and creativity to accomplish the mission. Managers devote time for planning results. Both appraiser and appraise are committed to the same objective. Since MBO aims at providing clear targets and their order of priority, employees are motivated.
Facilitates effective control: Continuous monitoring is an essential feature of MBO. This is useful for achieving better results. Actual performance can be measured against the standards laid down for measurement of performance and deviations are corrected in time. A clear set of verifiable goals provides an outstanding guarantee for exercising better control.
Facilitates personal leadership: MBO helps individual manager to develop personal leadership and skills useful for efficient management of activities of a business unit. Such a manager enjoys better chances to climb promotional ladder than a non-MBO type.

Limitations of Management By Objectives MBO :-

Time-consuming: MBO is time-consuming process. Objectives, at all levels of the Organisation, are set carefully after considering pros and cons which consumes lot of time. The superiors are required to hold frequent meetings in order to acquaint subordinates with the new system. The formal, periodic progress and final review sessions also consume time.
Reward-punishment approach: MBO is pressure-oriented programme. It is based on reward-punishment psychology. It tries to indiscriminately force improvement on all employees. At times, it may penalize the people whose performance remains below the goal. This puts mental pressure on staff. Reward is provided only for superior performance.
Increases paper-work: MBO programmes introduce ocean of paper-work such as training manuals, newsletters, instruction booklets, questionnaires, performance data and report into the Organisation. Managers need information feedback, in order to know what is exactly going on in the Organisation. The employees are expected to fill in a number of forms thus increasing paper-work. In the words of Howell, “MBO effectiveness is inversely related to the number of MBO forms.
Creates organizational problems: MBO is far from a panacea for all organizational problems. Often MBO creates more problems than it can solve. An incident of tug-of-war is not uncommon. The subordinates try to set the lowest possible targets and superior the highest. When objectives cannot be restricted in number, it leads to obscure priorities and creates a sense of fear among subordinates. Added to this, the programme is used as a ‘whip’ to control employee performance.
Develops conflicting objectives: Sometimes, an individual’s goal may come in conflict with those of another e.g., marketing manager’s goal for high sales turnover may find no support from the production manager’s goal for production with least cost. Under such circumstances, individuals follow paths that are best in their own interest but which are detrimental to the company.
Problem of co-ordination: Considerable difficulties may be encountered while coordinating objectives of the Organisation with those of the individual and the department. Managers may face problems of measuring objectives when the objectives are not clear and realistic.
Lacks durability: The first few go-around of MBO are motivating. Later it tends to become old hat. The marginal benefits often decrease with each cycle. Moreover, the programme is deceptively simple. New opportunities are lost because individuals adhere too rigidly to established goals.
Problems related to goal-setting: MBO can function successfully provided measurable objectives are jointly set and it is agreed upon by all. Problems arise when: (a) verifiable goals are difficult to set (b) goals are inflexible and rigid (c) goals tend to take precedence over the people who use it (d) greater emphasis on quantifiable and easily measurable results instead of important results and (e) over-emphasis on short-term goals at the cost of long-term goals.
Lack of appreciation: Lack of appreciation of MBO is observed at different levels of the Organisation. This may be due to the failure of the top management to communicate the philosophy of MBO to entire staff and all departments. Similarly, managers may not delegate adequately to their subordinates or managers may not motivate their subordinates properly. This creates new difficulties in the execution of MBO programme.

Essential Conditions for Successful Execution / Implementation of MBO Or…

Q.How To Make MBO Effective?

Support from all: In order that MBO succeeds, it should get support and co-operation from the management. MBO must be tailored to the executive’s style of managing. No MBO programme can succeed unless it is fully accepted by the managers. The subordinates should also clearly understand that MBO is the policy of the Organisation and they have to offer cooperation to make it successful. It should be a programme of all and not a programme imposed on them.
Acceptance of MBO programme by managers: In order to make MBO programme successful, it is fundamentally important that the managers themselves must mentally accept it as a good or promising programme. Such acceptances will bring about deep involvement of managers. If manages are forced to accept NIBO programme, their involvement will remain superfluous at every stage. The employees will be at the receiving-end. They would mostly accept the lines of action initiated by the managers.
Training of managers: Before the introduction of MBO programme, the managers should be given adequate training in MBO philosophy. They must be in a position to integrate the technique with the basic philosophy of the company. It is but important to arrange practice sessions where performance objectives are evaluated and deviations are checked. The managers and subordinates are taught to set realistic goals, because they are going to be held responsible for the results.
Organizational commitment: MBO should not be used as a decorative piece. It should be based on active support, involvement and commitment of managers. MBO presents a challenging task to managers. They must shift their capabilities from planning for work to planning for accomplishment of specific goals. Koontz rightly observes, “An effective programme of managing by objective must be woven into an entire pattern and style of managing. It cannot work as a separate technique standing alone.”
Allocation of adequate time and resources: A well-conceived MBO programme requires three to five years of operation before it provides fruitful results. Managers and subordinates should be so oriented that they do not look forward to MBO for instant solutions. Proper time and resources should be allocated and persons are properly trained in the philosophy of MBO.
Provision of uninterrupted information feedback: Superiors and subordinates should have regular information available to them as to how well subordinate’s goal performance is progressing. Over and above, regular performance appraisal sessions, counseling and encouragement to subordinates should be given. Superiors who compliment and encourage subordinates with pay rise and promotions provide enough motivation for peak performance.

Fiscal Policy Meaning – Its Main Objectives In India – Conclusion

Meaning of Fiscal Policy ↓

The fiscal policy is concerned with the raising of government revenue and incurring of government expenditure. To generate revenue and to incur expenditure, the government frames a policy called budgetary policy or fiscal policy. So, the fiscal policy is concerned with government expenditure and government revenue.

Image Credits © Center for American Progress.

Fiscal policy has to decide on the size and pattern of flow of expenditure from the government to the economy and from the economy back to the government. So, in broad term fiscal policy refers to “that segment of national economic policy which is primarily concerned with the receipts and expenditure of central government.” In other words, fiscal policy refers to the policy of the government with regard to taxation, public expenditure and public borrowings.

The importance of fiscal policy is high in underdeveloped countries. The state has to play active and important role. In a democratic society direct methods are not approved. So, the government has to depend on indirect methods of regulations. In this way, fiscal policy is a powerful weapon in the hands of government by means of which it can achieve the objectives of development.

Main Objectives of Fiscal Policy In India ↓

The fiscal policy is designed to achive certain objectives as follows :-

1. Development by effective Mobilisation of Resources

The principal objective of fiscal policy is to ensure rapid economic growth and development. This objective of economic growth and development can be achieved by Mobilisation of Financial Resources.

The central and the state governments in India have used fiscal policy to mobilise resources.

The financial resources can be mobilised by :-Taxation : Through effective fiscal policies, the government aims to mobilise resources by way of direct taxes as well as indirect taxes because most important source of resource mobilisation in India is taxation.

Public Savings : The resources can be mobilised through public savings by reducing government expenditure and increasing surpluses of public sector enterprises.

Private Savings : Through effective fiscal measures such as tax benefits, the government can raise resources from private sector and households. Resources can be mobilised through government borrowings by ways of treasury bills, issue of government bonds, etc., loans from domestic and foreign parties and by deficit financing.

2. Efficient allocation of Financial Resources

The central and state governments have tried to make efficient allocation of financial resources. These resources are allocated for Development Activities which includes expenditure on railways, infrastructure, etc. While Non-development Activities includes expenditure on defence, interest payments, subsidies, etc.

But generally the fiscal policy should ensure that the resources are allocated for generation of goods and services which are socially desirable. Therefore, India’s fiscal policy is designed in such a manner so as to encourage production of desirable goods and discourage those goods which are socially undesirable.

3. Reduction in inequalities of Income and Wealth

Fiscal policy aims at achieving equity or social justice by reducing income inequalities among different sections of the society. The direct taxes such as income tax are charged more on the rich people as compared to lower income groups. Indirect taxes are also more in the case of semi-luxury and luxury items, which are mostly consumed by the upper middle class and the upper class. The government invests a significant proportion of its tax revenue in the implementation of Poverty Alleviation Programmes to improve the conditions of poor people in society.

4. Price Stability and Control of Inflation

One of the main objective of fiscal policy is to control inflation and stabilize price. Therefore, the government always aims to control the inflation by Reducing fiscal deficits, introducing tax savings schemes, Productive use of financial resources, etc.

5. Employment Generation

The government is making every possible effort to increase employment in the country through effective fiscal measure. Investment in infrastructure has resulted in direct and indirect employment. Lower taxes and duties on small-scale industrial (SSI) units encourage more investment and consequently generates more employment. Various rural employment programmes have been undertaken by the Government of India to solve problems in rural areas. Similarly, self employment scheme is taken to provide employment to technically qualified persons in the urban areas.

6. Balanced Regional Development

Another main objective of the fiscal policy is to bring about a balanced regional development. There are various incentives from the government for setting up projects in backward areas such as Cash subsidy, Concession in taxes and duties in the form of tax holidays, Finance at concessional interest rates, etc.

7. Reducing the Deficit in the Balance of Payment

Fiscal policy attempts to encourage more exports by way of fiscal measures like Exemption of income tax on export earnings, Exemption of central excise duties and customs, Exemption of sales tax and octroi, etc.

The foreign exchange is also conserved by Providing fiscal benefits to import substitute industries, Imposing customs duties on imports, etc.

The foreign exchange earned by way of exports and saved by way of import substitutes helps to solve balance of payments problem. In this way adverse balance of payment can be corrected either by imposing duties on imports or by giving subsidies to export.

8. Capital Formation

The objective of fiscal policy in India is also to increase the rate of capital formation so as to accelerate the rate of economic growth. An underdeveloped country is trapped in vicious (danger) circle of poverty mainly on account of capital deficiency. In order to increase the rate of capital formation, the fiscal policy must be efficiently designed to encourage savings and discourage and reduce spending.

9. Increasing National Income

The fiscal policy aims to increase the national income of a country. This is because fiscal policy facilitates the capital formation. This results in economic growth, which in turn increases the GDP, per capita income and national income of the country.

10. Development of Infrastructure

Government has placed emphasis on the infrastructure development for the purpose of achieving economic growth. The fiscal policy measure such as taxation generates revenue to the government. A part of the government’s revenue is invested in the infrastructure development. Due to this, all sectors of the economy get a boost.

11. Foreign Exchange Earnings

Fiscal policy attempts to encourage more exports by way of Fiscal Measures like, exemption of income tax on export earnings, exemption of sales tax and octroi, etc. Foreign exchange provides fiscal benefits to import substitute industries. The foreign exchange earned by way of exports and saved by way of import substitutes helps to solve balance of payments problem.

Conclusion On Fiscal Policy ↓

The objectives of fiscal policy such as economic development, price stability, social justice, etc. can be achieved only if the tools of policy like Public Expenditure, Taxation, Borrowing and deficit financing are effectively used.

Though there are gaps in India’s fiscal policy, there is also an urgent need for making India’s fiscal policy a rationalised and growth oriented one.

The success of fiscal policy depends upon taking timely measures and their effective administration during implementation.

Difference between primary and secondary data

Following points distinguish primary and secondary data:

Image credits © Gaurav Akrani.Meaning, example, and definition,

Data’s originality,

Need of adjustment,

Data sources,

Type of data,

Methods used to collect data,

Obtained data’s reliability,

The time consumed,

Need of investigator,

Cost effectiveness,

When are the data collected?

Capability to solve a problem,

Suitability to meet the requirement,

Bias or personal prejudice,

Who collects the data? And

Precaution before using the data.

Now let’s compare primary and secondary data on the above sixteen points.

1. Meaning, example, and definition

Primary data are fresh (new) information collected for the first time by a researcher himself for a particular purpose. It is a unique, first-hand and qualitative information not published before. It is collected systematically from its place or source of origin by the researcher himself or his appointed agents. It is obtained initially as a result of research efforts taken by a researcher (and his team) with some objective in mind. It helps to solve certain problems concerned with any domain of choice or sphere of interest. Once it is used up for any required purpose, its original character is lost, and it turns into secondary data.

One must note that, even if the data is originally collected by somebody else from its source for his study, but never used then the collected data is called primary data. However, once used it turns into secondary data.

Imagine, you are visiting an unexplored cave to investigate and later recording its minute details to publish, is an example of primary data collection.

Wessel’s definition of primary data,

“Data originally collected in the process of investigation are known as primary data.”

Secondary data, on the other hand, are information already collected by others or somebody else and later used by a researcher (or investigator) to answer their questions in hand. Hence, it is also called second-hand data. It is a ready-made, quantitative information obtained mostly from different published sources like companies’ reports, statistics published by government, etc. Here the required information is extracted from already known works of others (e.g. Published by a subject scholar or an organization, government agency, etc.). It is readily available to a researcher at his desk or place of work.

Assume, you are preparing a brief report on your country’s population for which you take reference of the census published by government, is an example of secondary data collection.

Sir Wessel, defined secondary data in simple words as,

“Data collected by other persons are called secondary data.”

Another definition of secondary data in words of M. M. Blair,

“Secondary data are those which are already in existence and collected for some other purpose than the answering of the question in hand.”

2. Data’s originality

Primary data are collected by a researcher (or investigator) at the place or source of its origin. These are original or unique information.

A researcher (or investigator) does the collection of secondary data from already existing works of others. These are neither originals nor unique information.

3. Need of adjustment

The primary data collection is done to accomplish some fixed objective, and obtained with some focus in mind. Hence, it doesn’t need any prior adjustment before getting used to satisfy the purpose of an inquiry.

Secondary data collected are truly the work of someone else done for some other purposes. It is not focused to meet the objective of the researcher. As a result, it needs to be properly adjusted and arranged before making its actual use. Only after proper adjustment, it can be accustomed to some extend for achieving the aim of a researcher.

4. Data sources

Primary data are collected systematically through following activities:By conducting surveys,

Taking in-depth interviews of respondents (These are individuals who give necessary information to the interviewer),

Through experimentation,

By direct observations,

Ethnographic research (It primarily involves the study of an ethnic group of people and their respective culture),

Focus groups,

Participatory research, etc.

The collection of secondary data is from internal and external published sources.

Internal sources of secondary data are:Company’s accounts,

Sales figures,

Reports and records,

Promotional campaigns’ data,

Customers’ feedback,

Cost information,

Marketing activities, so on.

External sources of secondary data include:Data published by country’s central, state and local governments,

Data even published by foreign governments,

Publications released by international organizations (like the IMF, WHO, ILO, UNO, WWF, etc.) and their subsidiary bodies,

Reports prepared by various commissions and other appointed committees,

Results of research work published by research institutions, universities, subject scholars, economists, etc.,

Books, newspapers, and magazines,

Reports and journals of trade unions, industries, and business associations,

Information released by a central bank, stock exchanges, etc.,

Public libraries,

Archives, Directories, Databases, and Indexes,

Old historical records,

Online websites, blogs, and forums.

Note: Sometimes, though rarely, even unpublished information still available in office records can also be used for secondary data.

5. Type of data

Primary data provide qualitative data. It means it gives information on subjective quality-related features like look, feel, taste, lightness, heaviness, etc., of any object or phenomenon under research or inquiry.

On the contrary, secondary data, provide quantitative data. In other words, it gives information about an object or event in a numerical, statistical and tabulated form like in percentages, lists, tables, etc.

6. Methods used to collect data

Methods used to collect primary data are as follows:Observation, experimentation and interview method,

The direct personal investigation,

The indirect oral-investigation,

Information collected through schedules and questionnaires (sets of questions) via enumerator’s (a survey personnel involved in counting and listing) method and mailing method,

Information obtained from correspondents or local sources,

Some other minor methods:The analysis of the content,

Consumer panels,

Use of mechanical devices,

Pantry audits,

Distributor or store audits,

Projective Techniques (PT),

Warranty cards, etc.

The main methods used to collect secondary data are:Desk research methods,

Search on the Internet,

Going through media generated by consumers and their groups, so on.

7. Obtained data’s reliability

Primary data are more reliable than secondary data. It is because primary data are collected by doing original research and not through secondary sources that may subject to some errors or discrepancies and may even contain out-dated information.

Secondary data are less reliable than primary data. It is so, since, based on research work done by others and not by the researcher himself. Here, verification of published information cannot be always confirmed accurately as all references used may not be available or mentioned in detail.

8. The time consumed

Reliability of primary data comes at the expense of time it consumes. It is because its collection goes through the following steps:First, the researcher makes a sample (i.e. List of respondents to approach).

Then he prepares a questionnaire (i.e. Containing a set of questions to be asked to respondents).

Later, he appoints and trains a team of field interviewers who are supposed to interview the respondents.

Finally, the researcher has to analyze the collected data by interviewers and draw a conclusion from it.

Accomplishment of the above procedure is not a quick task, is a time-consuming one.

On the contrary, collection of secondary data consumes less time compared to primary data. It is because secondary data collection is mostly made without interviews as follows:Here, a researcher relies heavily on ready-made data and collects it from internal and external published sources (see the point no.4).

He depends on already analyzed and concluded data by someone else to get an understanding of his subject topic or research interest.

He doesn’t waste time appointing field interviewers and waiting for their data.

He saves his precious work hours, and, as a result, it takes him less time to collect secondary data.

9. Need of investigator

Collection of primary data needs availability of trained researchers or investigators. Further, they also need to be adequately supervised and controlled.

If the availability of trained investigators and cost involved in hiring them is a problem, then in such a case, secondary methods of data collection are recommended. Its data collection doesn’t need to hire them.

10. Cost effectiveness

Primary data collection needs the appointment of a team that mainly comprises of researchers, field interviewers, data analysts, so on. Hiring of these experts and other additional costs, demands more funds to be allocated to complete research work on time. For this reason, it is a costly affair.

The secondary data collection doesn’t require the appointment of such a team. Here, since no experts hired, cost is minimized. As a result, it is very economical.

11. When are the data collected?

Collection of primary data starts when secondary data seems insufficient to solve problems associated with the research. The researcher first uses secondary data, if he finds that collected information from secondary sources, is inadequate, only then decides to collect primary data.

The secondary data collection is the priority and economical choice for most researchers to solve an identified problem or answer objects of inquiry. Here, most information extraction is done and if some information is unavailable only then a decision to conduct primary research is taken.

12. Capability to solve a problem

Primary data are fresh (new), original (unique), more accurate (almost correct), verified (confirmed), satisfies a requirement (as needed), up-to-date and current (latest). It gives the required information. For this reason, it is more capable of solving a problem.

Secondary data, on the other hand, may be less accurate or riddled with errors or discrepancies, not directly related (inconsistent) and even outdated (not latest). It gives only supporting and not the required information. As a result, it is less capable of solving a problem.

13. Suitability to meet the requirement

Primary data are suitable to meet the objects of inquiry because these are collected using systematic methods.

Collection of secondary data may or may not fulfill the actual requirement of a researcher.

14. Bias or personal prejudice

There is a possibility of personal prejudice or bias creeping in while collecting primary data because of the direct involvement of an investigator.

The possibility of prejudice is absent in secondary data because the information is not collected at first hand and, for this reason, is not subjected to any bias.

15. Who collects the data?

A researcher (an investigator) or his appointed agents collect the primary data.

Anyone, other than those who gather primary data collects secondary data.

16. Precaution before using the data

The primary data collection is done systematically by a researcher himself or his agents as instructed with great care, requirement, planning, organization and followed by verification of the obtained information. It is less likely that such a well-processed data is subject to errors.

For this reason, no extra precautions are necessary while using primary data.

On the other hand, secondary data, since collected by others for different purposes may be inconsistent (not as required), outdated, unverified, subjected to any errors or mistakes, etc. As a result, immense care must be taken while one is considering using it. If used without precaution, it may have an adverse impact on the quality of one’s research and affect its credibility to a great extent.

Conclusion

We can conclude that any data remain data, whether termed as a primary or secondary. What classifies it from one another is the degree of detachment from its source and how it is being collected (whether as first-hand or second-hand) and used.

Any data become primary if it is first gathered by collecting agency, and the same data becomes secondary if it is used later by the rest of the world.

For example, data collected by an election commission are primary for it, and the same set of data is secondary for all except it.

Thus, Secrist lucidly describes this as follows,

“The distinction between primary and secondary data is one of the degrees. Data primary in the hands of one party may be secondary in the hands of others.”

References (10)

References used and suggested reading for deeper understanding:Research Methodology: Methods and Techniques; by C. R. Kothari.

Research Methodology: Data Presentation; by Dr. Y. K. Singh.

Research Methodology: by Dr. C. Rajendar Kumar.

Research Methodology and Statistical Analysis (for M. Com); by S.C. Aggarwal and S.K. Khurana.

Statistics for Economics and Indian economic development; For Class 11; by T. R. Jain and V. K. Ohri.

Statistics for Economics; Class 11; by Dr. D. P. Jain.

International Business; 4th Edition; by Les Dlabay, James Scott.

Marketing Research: An Applied Orientation; 5th Edition; By Naresh K. Malhotra and Satya Bhushan Dash.

Marketing Research: Methodological Foundations; 10th Edition; by Gilbert A. Churchill, Jr and Dawn Iacobucci.

Office Organization and Management; 2nd Edition; by S. P. Arora.

India’s trade deficit with China crosses $100 billion for the first time.

The trade between India and China has touched an all-time high of USD 135.98 billion in 2022 while New Delhi’s trade deficit with Beijing crossed for the first time a USD 100 billion mark despite frosty bilateral relations, according to data released by the Chinese customs on Friday.

The total India-China trade for 2022 has climbed to 135.98 billion, overtaking the USD 125 billion mark a year earlier by registering an 8.4 per cent increase, according to the annual Chinese customs data.

India's trade deficit with China crosses $100 billion for the first time.

What are the Main Advantages of Report Writing ?

1. Report gives consolidated & updated information

A report provides consolidated, factual and an up-to-date information about a particular matter or subject. Information in the report is well organized and can be used for future planning and decision making.

2. Report as a means of internal communication

A report acts as an effective means of communication within the organization. It provides feedback to employees. It is prepared for the information and guidance of others connected with the matter / problem.

3. Report facilitates decision making and planning

Report provide reliable data which can be used in the planning and decision making process. It acts as a treasure house of reliable information for long term planning and decision making.

4. Report discloses unknown information

Reports provide information, which may not be known previously. The committee members collect data, draw conclusions and provide information which will be new to all concerned parties. Even new business opportunities are visible through unknown information available in the reports.

5. Report gives Information to employees

Reports are available to managers and departments for internal use. They are widely used by the departments for guidance. Report provide a feedback to employees and are useful for their self-improvement.

6. Report gives reliable permanent information

The information provided by a report is a permanent addition to the information available to the office. We have census reports (prepared since last 100 years) which are used even today for reference purpose.

7. Report facilitates framing of personnel policies

Certain reports relating to employees are useful while preparing personnel policies such as promotion policy, training policy and welfare facilities to employees.

8. Report gives information to shareholders

Some company reports are prepared every year for the benefit of shareholders. Annual report for example, is prepared and sent to all shareholders before the AGM. It gives information about the progress of the company.

9. Report gives information to the Registrar

Annual report and annual accounts are sent to the Registrar every year for information. Such reports enable the government to keep supervision on the companies.

10. Report solves current problems

Reports are useful to managers while dealing with current problems faced by the company. They provide guidance while dealing with complicated problems.

11. Report helps directors to take prompt decisions

Company reports relate to internal working of the company and are extremely useful to directors in decision making and policy framing. Reports give reliable, updated and useful information in a compact form.

Planning First Primary Important Function Of Management

1. What is Planning?

A plan is a determined course of action for achieving a specific objective. An individual may prepare a plan for his journey or tour or for a family function. Similarly, a business unit may prepare a plan to achieve a particular objective. It is called a business plan which includes production plan, sales plan, and so on. A business unit prepares a master plan for the whole unit. Such master plan is again divided into departmental plans for actual execution. Planning is a process of thanking to action. It is a means to achieve well defined objectives. Business plan and business planning move together.

Planning is the primary function of management and occupies the first position in the management process. It is the starting point of the whole management process as other management functions are related to planning function. Planning, in simple words, means to decide the objectives clearly and to prepare a plan. Thereafter to take suitable steps for the execution of the plan. Planning function is performed by managers at all levels. It is deciding the objective to be achieved and taking suitable follow-up steps for achieving the same.

Planning is, now, universally accepted as a key/passport to success, progress and prosperity in business as well as in all other aspects of life. It acts as a base of all purposeful human activities. The concept of planning is old enough. Planning was advocated by Confucius almost 2500 years ago. He said “A man who does not think and plan long ahead will find trouble right at his door”. Thus, planning is the centre around which all business activities move.

In planning, various business problems are studied, decisions are taken regarding the future course of action and business activities are adjusted accordingly. Thus, planning means deciding in advance the objectives to be achieved and preparing plans/programmes for achieving them. In other words, planning is the process of foreseeing desired objectives – anticipating problems and developing solutions. It serves as a core of the whole management process.

Planning bridges the gap from where we are to where we want to go. In the absence of planning, events are left to chance. A plan is to-day’s projection for tomorrow’s activity.

2. Definitions of Planning

According to Koontz and O’Donnell, “Planning is deciding in advance what to do, how to do it, when to do it, and who is to do it. Planning bridges the gap between where we are and where we want to go. It makes it possible for things to occur which would not otherwise happen”.
According to George R Terry, “Planning is the selecting and relating of facts and the making and using of assumptions regarding the future in the visualization and formulation of purposed activities believed necessary to achieve desired results”.
According to Philip Kotler, “Planning is deciding in the present what to do in the future. It is the process whereby companies reconcile their resources with their objectives and opportunities”.

3. Need of Planning

The need of planning is universally accepted in the business as well as in other aspects of life. The following points justify the need of business planning/planning in business:

Planning is needed for survival and growth of a business unit in an orderly manner.
Planning is needed in order to face new problems/difficulties developed due to growth of markets, market competition, changes in consumer expectations and so on.
Planning is needed in order to face challenges created by changing environmental factors/forces.
Planning is needed as it acts as a pre-requisite to good management. It is needed as it is the core of the whole management process.
Planning is needed in order to achieve the objectives decided by the management. It is also needed as it ensures accuracy, economy and operational efficiency in busin6s management.

4. Importance of Planning in Business Management

The importance of planning as an element in the management process is universally accepted. It plays a positive role in the management of a business unit. Planning brings stability and prosperity to a business unit. It brings unity of purpose and diverts all efforts in one direction for the achievement of certain well defined objectives. Planning also improves the performance of a business unit. In fact, in the absence of planning there will be disorder, confusion, inefficiency, wastage of human efforts and material resources. Planning is rightly treated as the pre-requisite to efficient management. The fact that large majority of business units use planning as a tool of management indicates its utility and importance. Planning brings safety to business operations. It is the only way for survival in the competitive business world.

Planning is important as it is more than a mere theoretical exercise or paperwork. It has practical utility and creative value. Planning is also a rational and intelligent activity. It is, now, rightly treated as a highly professionalized aspect of business management.

Planning is important but planning alone is not adequate. It should be supplemented by suitable follow-up actions on the part of managers. Planning may not be able to solve all managerial problems, but it certainly helps the thoughtful managers in overcoming various managerial problems. A plan will remain on paper if suitable follow-up steps are not taken at different levels for its execution. Thus, planning is a means and not the end in itself

5. Advantages of Planning

Facilitates quick achievement of objectives: Planning facilitates quick achievement of business objectives. In the planning process, the objectives to be achieved are clearly decided / finalised and plans are prepared and executed for achieving such well defined objectives. Planning ensures achievement of objectives in an orderly and quick manner.
Brings unity of purpose and direction: Planning brings unity of purpose and direction before the entire organisation as it is for achieving certain well defined goals. Planning diverts all resources in one direction for achieving well defined objectives.
Ensures full utilisation of resources: Planning ensures effective/maximum utilisation of available human and material resources. It eliminates wastages of all kinds (of material resources and human efforts) and this ensures fuller utilisation of available resources.
Avoids inconsistency in efforts: Planning avoids inconsistency in efforts and also avoids possible frictions and duplications. It ensures economy in business operations.
Raises competitive capacity/strength: Planning raises competitive potentialities of a business unit. It enables a business unit to stand with confidence in a competitive market. It keeps ready solutions for possible problems and enables a business unit to function with confidence.
Promotes managerial efficiency: Planning promotes managerial efficiency. It covers all managerial functions and helps management to execute future programmes in a systematic manner. It makes managerial direction and control effective.
Avoids hasty decisions and actions: Due to planning, hasty decisions and haphazard actions by managers are avoided. It also encourages systematic thinking by the managers. Planning facilitates effective delegation of authority, removes communication gaps and thereby raises overall efficiency. It even encourages innovative thinking among managers.
Ensures effective control on the Organisation: Planning ensures effective control on the whole organisation. It fixes targets in clear terms and draws plans and programmes for achieving them. This facilitates effective control on the functioning of the business unit.
Acts as an insurance against future uncertainties: Planning acts as an insurance against future uncertainties. It takes care of all business uncertainties. In fact, in planning, future problems and situations are studied in advance and alternative solutions are kept ready. This enables management to face any type of critical situation with ease and confidence.
Facilitates other managerial functions: Planning facilitates other managerial functions. It is the basic managerial function and other managerial functions such as organising, etc. move as per the plans prepared. It acts as a motivating force behind other managerial functions.
Improves motivation: Planning facilitates participation of managers and workers in the normal functioning of an enterprise. It develops team spirit and raises morale and motivation of employees. Workers know what is expected from them. This ensures high degree of efficiency from them. Planning also provides training to managers. It serves as a tool for manpower development in an Organisation.
1. Planning ensures survival, stability and progress of a business unit.
2. Ensures uniform decision-making.
3. Acts as a key to solve problems and challenges faced by a business unit.
4. Sets performance standards for functional departments.
5. Planning enables a business unit to adjust itself with ever changing business environment.

6. Limitations of Planning

Time-consuming and costly: It is argued that planning is a lengthy process as it involves collection of data, forecast, research and analysis. Similarly, planning is essentially the job of highly paid experts. As a result, planning is a time-consuming and costly activity. Only large firms can undertake planning due to heavy cost and lengthy procedure involved in it.
Ineffective due to environmental changes: Business environment changes frequently and plans are required to be adjusted as per the changes in the situation through suitable modifications. However, such revision/modification creates a number of problems. Such adjustments in the operational plan are always costly, time-consuming.
Dangers of unreliable data: Planning needs accurate data from internal and external sources. The quality of planning depends on such accurate feedback. If the information supplied by various departments is unreliable, the planning process will be adversely affected. Planning based on incomplete information may prove to be even dangerous. In brief, plans based on unreliable data are not useful /effective. Securing reliable information is always difficult and this brings deficiencies in the entire planning process.
Encroachment on individual freedom and initiative: Planning is a centralized process. At the lower levels, plans are to be executed as per the directives issued. This affects individual freedom and initiative at the lower levels. Employees at the lower levels act as instruments for the execution of plan prepared by the top level managers. People are asked to become cogs in the machine with little scope for initiative or independent thinking.
Delays actions: Planning is a lengthy process. As a result, the actions to be taken for execution are delayed. Planning is not useful when quick decisions and actions are required.
Unsuitable to small firms: Small firms prefer to function without long term comprehensive planning as they find planning rather costly and time-consuming. They prefer to face the situations as they come. Similarly, quick decisions and prompt actions are necessary in the case of certain business activities. Here, long term planning is not suitable.
Limited practical value: It is argued that planning is too theoretical and has limited practical utility. Planning takes long time for preparation and the situation changes when such plans are ready for execution. Planning for example, is not suitable in the case of speculative business. It is also not useful for taking quick benefits of business opportunities. In brief, planning has limited practical value.
No guarantee of expected results: Planning is for achieving certain well defined objectives. However, there is no guarantee that the objectives will be achieved within the specific time limit by using planning as a tool. Actual performance may not be as per the expectation due to various reasons. Thus planning has an element of uncertainty. Planning leads to probable results and not the expected results. It gives benefits but may not be exactly as per the expectation. Thus, there is no guarantee that planning will give 100 per cent positive/expected results.
Generates frustration: At the lower levels, plans are imposed on the employees. No consideration is given to their difficulties, views and opinions. The targets may be too ambitious and the employees may not be able to achieve them in spite of best efforts. This leads to frustration among employees at lower levels.
Involves huge paper work: Planning involves huge paper work in the preparation of master plan and departmental plans.
Danger of overdoing: Sometimes, planners overload the work. Elaborate reports are prepared without practical utility.

The advantages of planning are more important/significant while its limitations are few and also not of serious nature. Moreover, these limitations can be minimized. The practical utility of planning is universally accepted. It is not fair to give up the concept of planning due to certain limitations. The better alternative is to make it more effective, purposeful and result oriented.

7. Steps in Planning Process

Planning is a lengthy process which moves gradually and step by step approach is usually adopted. These steps are like stations in the journey of planning process. Usual steps in the planning process are as briefly explained below:

Classifying the problems: The planning process starts with clear understanding and classifying business problems faced by a business unit. Identification of problems or opportunities by managers justifies the need for action. It is like the diagnosis of the health problem of a patient by his doctor. Planners have to understand the problems of the Organisation first and, then, prepare a plan to deal with the problems in the light of the prevailing business environment.
Determining the objectives: In this second stage in the planning process, the planners decide the overall objectives to be achieved. Planning is always for achieving certain well defined objectives and naturally objectives must be spelt out precisely. Objectives act as pillars of the entire planning process. Business objectives may be decided in terms of profit, sales, production or market reputation. Objectives may be defined in quantitative or qualitative terms.
Collecting complete information and data: The planners have to collect information relating to problems facing the business unit. Such information is necessary and useful for analyzing the problems in depth and also for accuracy in planning. Information can be collected from internal and external sources. Reliable, updated and adequate data make planning process result-oriented.
Analyzing and classifying the information: At this stage, the information collected is analyzed and interpreted systematically for drawing specific conclusions. This facilitates purposeful use of information, while preparing alternative plans. Irrelevant information can be discarded through such analysis.
Establishing planning premises: Planning premises are various assumptions and predictions about the future business situation. Such premises act as background for planning activities. The planning premises are expected to supply relevant facts, information and data on the basis of which forecasts are prepared and future trends are indicated. Planning premises reduce uncertainties in the planning process. Planning premises are three in number viz., (a) Controllable permises, (b) Semi-controllable permises, and (c) Uncontrollable premises.
Determining alternative plans: Here, the planners prepare and keep ready alternative plans suitable for use under different situations. The best among the available alternative plans is used for actual execution. The preparation of alternative plans is essential as one plan is normally not adequate under all types of situations. It is a type of stand-by arrangement useful for meeting any emergency situation.
Selecting operating plan and preparing derivative plans: After study of the business environment and the alternative plans available, the planners select the best plan for actual execution. This decision is a delicate one and must be made with proper care. After the selection of operating plan, the planners have to prepare derivative plans. Such plans are related to different departments/activities and constitute sub-sections of the operating plan. The division of overall plan into derivative plans is necessary for effective execution.
Arranging timing and sequence of operations: Timing involves fixation of starting and finishing time for each job or piece of work. Sequence of operations ensures proper flow of work. This step in planning process is important as it brings coordination in the activities of different departments. The timings and sequence of operations must be communicated to concerned departments, managers and staff for implementation of the plan.
Securing participation of employees: Planning needs willing participation of all employees and departments. For this, information regarding the operative plan should be given to employees well in advance. Here, the internal communication system should be used extensively. For such participation, employees should be associated with the planning process.
Follow-up of the proposed plan: The purpose of follow-up is to make periodical review of the execution process. It is useful for understanding actual progress and deficiencies in the process of execution of the plan. This also facilitates adoption of suitable remedial measures as and when required.

What is research methodology and examples?

To_The Second-Person-You

The Second-Person

You

For you; Always be you!

And if I say,

I’m there for you;

Indefinitely,

it is an add-on to be more you.

You check,you rely,you observe

and you test me too;

That is all I allow only for you!..

For you;I’m being for real as always I amuse to be!

I trust, i tease,

I tweet on your treat;

Infinitely it gonna be,

Hence,

you mean a lot to me since you met!…

From

Yours you

Note: Written and expressed by Ghufrana but neither only by her and nor only for specific one.

To_The Second-Person-You

The Second-Person

You

For you; Always be you!

And if I say,

I’m there for you;

Indefinitely,

it is an add-on to be more you.

You check,you rely,you observe

and you test me too;

That is all I allow only for you!..

For you;I’m being for real as always I amuse to be!

I trust, i tease,

I tweet on your treat;

Infinitely it gonna be,

Hence,

you mean a lot to me since you met!…

From

Yours you

Note: Written and expressed by Ghufrana but neither only by her and nor only for specific one.

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Enterpreneurship

risks with the hope of making a profit.

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The Concept Of Management By Objectives (MBO)

Definitions Of Management By Objectives MBO :-

Features Of Management By Objectives MBO :-

Steps In Management By Objectives Planning :-

Advantages of Management By Objectives MBO :-

Limitations of Management By Objectives MBO :-

Essential Conditions for Successful Execution / Implementation of MBO Or…

Q.How To Make MBO Effective?

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2. Definitions of Planning

3. Need of Planning

4. Importance of Planning in Business Management

5. Advantages of Planning

6. Limitations of Planning

7. Steps in Planning Process

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