The last century saw tremendous innovations in the realm of technology. The last decade found us communicating with each other through internet, the most popular words being- 'www' and '.com'. The trend is very likely to continue as consumers demand more and faster technology. There is a burning desire in people to be free.
The internet has changed the way of dialogue not only at our homes but also in business circles. It has been overcome by some limitations though, like waiting time to download, problem with networks, downtime from broken communication lines, which has meant a turnoff for the users.
All this is about to change. If E-Commerce was a slow evolutionary process, the conversion from E-Commerce to M-Commerce would be rapid.
Mobile commerce, commonly referred to as m-commerce, is the new 'in' thing. A mobile phone can now do much more than just call someone. The small screen of mobile phone can provide a bewildering amount of information.
Third generation telephony would provide easy access to the web and all its components. It facilitates the carrying out of transactions like shopping and banking, air ticket reservation, payment of bills of utilities like electricity boards, phone companies and municipal corporations etc. using devices like mobile phones, personal digital assistants (PDAs), palmtops etc. Compared to the cost of transactions through a bank or an ATM, the cost of transaction through a mobile phone is less.
One service that m-commerce gives is the mobile search service.
One such company is PCCW of Hong Kong. PCCW utilizes an experienced and diverse management team, which features substantial experience in the fields of telecommunications and integrated communications businesses.
Smart Search is a service provided to cell phone subscribers of PCCW. Similar services are provided by DoCoMo's i-Mode in Japan. Some of the services of it are as follows.
The Shopping guide: Addresses and telephone numbers of the favorite shops in the major shopping malls in Hong Kong are provided with a supporting search engine.
Maps and Transport: Digital maps show detailed guides of local routes and stops of the major public transportation systems.
Ticketing: Movie tickets can be ordered online and the airline tickets can also be available at the press of a button wherever the subscribers are. Cellular phone replaces the credit card.
News and reports: Fast access to global news, local updated traffic conditions, the air pollution index, UV index and weather reports are provided continuously.
Gambling: You can legally gamble on horse racing in Hong Kong from any location through your mobile.
Personalized movie service: Updates on the latest movies with related information including movie category, casting, and show times. Also, subscribers can search for their own favorite movies by entering the name of the movie or the name of the movie theatre.
So such services given by PCCW help customers immensely. Moreover it goes much beyond that. Such service models through the mobile means that one no longer needs to be near a computer to send and receive information. If you have PDA or smartphone in hand, you have the whole world with you; you can connect with the internet to check stock prices, sports scores and variety of other activities even while you are on the move. A whole field called telematics involves placing wireless Internet-connected computers in the dashboards of cars and making more home appliances wireless so that they can be used anywhere in or near the home.
There is a lot of potential in m-commerce that can be tapped to change the way we do business. But the real revolution is yet to come. At the moment the technology used is not up to the mark. Advanced technologies like GPRS (Global Packet Radio Service) and 3G are still not in use as adequate bandwidth is not available. The cost involved is still high. Although airtime rates have been coming down, the biggest block for m-commerce to take off is high cost of handsets, palmtops and PDA's.Currently, m-commerce is being used in exchanging e-mails and messages rather than conducting serious business. The transition from e-commerce to m-commerce is in the making.
Thursday, July 26, 2007
Knowledge and Global Communication
The impact of communication is always determined by the amount of knowledge one has. And in global context the amount of knowledge plays a crucial role in having an effective communication. Communication by process is simply the exchange of information that creates knowledge, and information is generated through knowledge. When the terms like knowledge, information and communication are used in this text one should understand that these words are used in reference to human communication.
Before explaining why knowledge plays an important role in the process of communication, one should understand why communication takes place. The process of communication basically takes place when one person has an idea and wants to share the idea with another person. Communication is said to be effective when the meaning of the idea is also shared by the receiver, which the source reflects in the process. But generally this doesn't happen. For example, when one says the word 'pen', the person is actually referring to the idea of having something that can write. But the pen has many dimensions. The same word pen would be reflected differently to different persons. Some may regard pen as traditional ink filled pen and to some it may reflect the new gel filled writing pen. Suppose there is one shopkeeper who sells pens but doesn't know it is used for writing. Then the shopkeeper would define pen as the object that would bring him some fixed amount of money. The difference in accepting the same idea occurs because different people have different level of understanding or knowledge. The shopkeeper in the example doesn't have the knowledge that pen is used for writing apart from selling; shopkeeper would perceive the idea in a different manner.
The effectiveness of communication process is determined by the degree of knowledge that the source and the receiver have. More knowledge the two parties share, more effective is the communication. The medium of communication is called language. So, to have communication one should have enough knowledge about the language.
Language can be of two types: verbal and non verbal. Both forms of language are used simultaneously in the process of communication. The exchange of idea takes place effectively when both parties share the knowledge about language. For example, in a small community all the members of the community share the same language in all forms, so communication is effective. Two physics' professors would share some amount of knowledge. To them the word “force” would mean more or less the same. But when one physics professor communicates the word “force” to a wrestler, the two may understand the word differently.
The success of the communication depends upon the three factors. Apart from knowledge, other two factors are motivation and skills. Communication is said to be successful when the receiver understands the idea reflected by source and desired outcome is achieved. "Motivation is the extent to which a communicator is drawn toward or pushed away from communicating competently in a given context." (Morreale, Spitzberg & Barge, 2001). Skills refer to repeated goal oriented behaviors reflected by an individual. Knowledge consists of the "content of what to say and do, and the procedures by which this content can be performed." (Morreale, Spitzberg & Barge, 2001).
Understanding the components of communication is very important while communicating in global context. Diversity is the beauty of the world. Everything in this world is diverse. Having communication in such a diversified context requires great deal of knowledge.
Today we live in a global world. Globalization is simply the integration of the diversities existing in the world: diversity in the sense of people, their ideas, values, cultures, the power, politics and many more. Such differences result in the difference in perception. Same word or expression is understood differently in different cultures or geographic locations. So, to have an efficient communication in the different diversified context, one need to have adequate knowledge of such variability.
Technological advancement has accelerated the process of globalization. There are more things that the whole world shares. Today's population has been experiencing more and more integration in their culture and ideas. People are communicating across their community, the ideas are shared globally, the cultures are shared, and products are shared. So the ambiguity in the process in communication has also increased. This ambiguity in the communication process has demanded more degree of knowledge for the communication to be meaningful.
The corporate have expanded their operations across the borders. It requires more understanding of the self and other to have a good relationship in the different environments. The opportunities that the process of globalization has offered have motivated the people to communicate across borders. But without having adequate knowledge and right skills, the success of this process cannot be experienced. So to have an effective communication in the global context, one should be knowledgeable and must posses right skills.
Before explaining why knowledge plays an important role in the process of communication, one should understand why communication takes place. The process of communication basically takes place when one person has an idea and wants to share the idea with another person. Communication is said to be effective when the meaning of the idea is also shared by the receiver, which the source reflects in the process. But generally this doesn't happen. For example, when one says the word 'pen', the person is actually referring to the idea of having something that can write. But the pen has many dimensions. The same word pen would be reflected differently to different persons. Some may regard pen as traditional ink filled pen and to some it may reflect the new gel filled writing pen. Suppose there is one shopkeeper who sells pens but doesn't know it is used for writing. Then the shopkeeper would define pen as the object that would bring him some fixed amount of money. The difference in accepting the same idea occurs because different people have different level of understanding or knowledge. The shopkeeper in the example doesn't have the knowledge that pen is used for writing apart from selling; shopkeeper would perceive the idea in a different manner.
The effectiveness of communication process is determined by the degree of knowledge that the source and the receiver have. More knowledge the two parties share, more effective is the communication. The medium of communication is called language. So, to have communication one should have enough knowledge about the language.
Language can be of two types: verbal and non verbal. Both forms of language are used simultaneously in the process of communication. The exchange of idea takes place effectively when both parties share the knowledge about language. For example, in a small community all the members of the community share the same language in all forms, so communication is effective. Two physics' professors would share some amount of knowledge. To them the word “force” would mean more or less the same. But when one physics professor communicates the word “force” to a wrestler, the two may understand the word differently.
The success of the communication depends upon the three factors. Apart from knowledge, other two factors are motivation and skills. Communication is said to be successful when the receiver understands the idea reflected by source and desired outcome is achieved. "Motivation is the extent to which a communicator is drawn toward or pushed away from communicating competently in a given context." (Morreale, Spitzberg & Barge, 2001). Skills refer to repeated goal oriented behaviors reflected by an individual. Knowledge consists of the "content of what to say and do, and the procedures by which this content can be performed." (Morreale, Spitzberg & Barge, 2001).
Understanding the components of communication is very important while communicating in global context. Diversity is the beauty of the world. Everything in this world is diverse. Having communication in such a diversified context requires great deal of knowledge.
Today we live in a global world. Globalization is simply the integration of the diversities existing in the world: diversity in the sense of people, their ideas, values, cultures, the power, politics and many more. Such differences result in the difference in perception. Same word or expression is understood differently in different cultures or geographic locations. So, to have an efficient communication in the different diversified context, one need to have adequate knowledge of such variability.
Technological advancement has accelerated the process of globalization. There are more things that the whole world shares. Today's population has been experiencing more and more integration in their culture and ideas. People are communicating across their community, the ideas are shared globally, the cultures are shared, and products are shared. So the ambiguity in the process in communication has also increased. This ambiguity in the communication process has demanded more degree of knowledge for the communication to be meaningful.
The corporate have expanded their operations across the borders. It requires more understanding of the self and other to have a good relationship in the different environments. The opportunities that the process of globalization has offered have motivated the people to communicate across borders. But without having adequate knowledge and right skills, the success of this process cannot be experienced. So to have an effective communication in the global context, one should be knowledgeable and must posses right skills.
Is employee satisfaction all about money?
Employee satisfaction has become an important ingredient for success of every organization. Knowing what the employees actually want in addition to the facilities and perks offered by the employers, can be an interesting exercise, and help both the employee and the employer in creating a high-performance workplace. Employees with higher job satisfaction believe that the organization will satisfy them in the long run, care about the quality of their work, are more committed to the organization, have higher retention rates, and are more productive.
There are various factors that lead to employee satisfaction such as competitive salary, opportunity for growth, fair rewards, adequate authority, interesting and challenging job, appreciation of work, good working conditions, job security, benefits and perks etc. But the organizations need to identify the most essential ones and take actions accordingly.
A research conducted in two of the leading banks in Kathmandu showed some interesting facts and figures. The study revealed that career development opportunity (28%) is the most important factor contributing to employee satisfaction, followed by competitive salary (21%), good working environment and adequate facilities (20%), challenging job (17%), and adequate authority (14%). Employees are more satisfied when they have challenging opportunities at work. This includes chances to participate in interesting projects, team leadership, special assignments as well as promotions. The study also revealed that 62% of the employees were moderately satisfied.
Human Resource is an integral part of any organization and one of its functions is to see the overall satisfaction of the employees. The research revealed that the employees are moderately satisfied, but had the HR department been efficient, the level of satisfaction would have been even higher. 85% of the employees said that job satisfaction survey was not done on a regular basis. Thus, organization should conduct job-satisfaction surveys from time to time to know the general attitude of employees toward their job. Information collected from the survey should be communicated to managers through survey feedback using both comparative data and employee comments. When corrective action is taken; details of what was done, and what the management is doing should be shared with the employees as soon as possible. In this way, managers can improve the performance of their employees, which further improves overall performance in an organization.
Organizations must keep in mind that although money is important to every employee, but there are things beyond money like respect, professional growth, reward and recognition, and open communication that can ensure employee loyalty and satisfaction. They should not only stress on standardizing human resource policies, but also aim at creating options that allow for customizing to individual needs. Organizations need to go beyond salary and perks to improve workplace for meeting employee expectations.
Satisfaction is what everyone aspires for. Thus, in order to increase the level of satisfaction, the organization especially the HR department should look into matters such as improvement in the working conditions, fair appraisal system, career development opportunities, employee relation programs and regular trainings to enhance their skills and capabilities.
There are various factors that lead to employee satisfaction such as competitive salary, opportunity for growth, fair rewards, adequate authority, interesting and challenging job, appreciation of work, good working conditions, job security, benefits and perks etc. But the organizations need to identify the most essential ones and take actions accordingly.
A research conducted in two of the leading banks in Kathmandu showed some interesting facts and figures. The study revealed that career development opportunity (28%) is the most important factor contributing to employee satisfaction, followed by competitive salary (21%), good working environment and adequate facilities (20%), challenging job (17%), and adequate authority (14%). Employees are more satisfied when they have challenging opportunities at work. This includes chances to participate in interesting projects, team leadership, special assignments as well as promotions. The study also revealed that 62% of the employees were moderately satisfied.
Human Resource is an integral part of any organization and one of its functions is to see the overall satisfaction of the employees. The research revealed that the employees are moderately satisfied, but had the HR department been efficient, the level of satisfaction would have been even higher. 85% of the employees said that job satisfaction survey was not done on a regular basis. Thus, organization should conduct job-satisfaction surveys from time to time to know the general attitude of employees toward their job. Information collected from the survey should be communicated to managers through survey feedback using both comparative data and employee comments. When corrective action is taken; details of what was done, and what the management is doing should be shared with the employees as soon as possible. In this way, managers can improve the performance of their employees, which further improves overall performance in an organization.
Organizations must keep in mind that although money is important to every employee, but there are things beyond money like respect, professional growth, reward and recognition, and open communication that can ensure employee loyalty and satisfaction. They should not only stress on standardizing human resource policies, but also aim at creating options that allow for customizing to individual needs. Organizations need to go beyond salary and perks to improve workplace for meeting employee expectations.
Satisfaction is what everyone aspires for. Thus, in order to increase the level of satisfaction, the organization especially the HR department should look into matters such as improvement in the working conditions, fair appraisal system, career development opportunities, employee relation programs and regular trainings to enhance their skills and capabilities.
Humour in Advertising (Mind Your Language Please)
"Doing business without advertising is same as winking at a girl in the dark, you know what are you doing but no one sees". So “advertising is tool for effective means of giving information to prospective, target consumers or customers”. But we should be careful in using appropriate language otherwise instead of promoting products, it will lead to disaster.
Many of the most memorable ad campaigns tend to be funny. Advertisers use this strategy to attract customers to their products. Audiences like to be entertained, but not pitched. People will pay more attention to a humorous commercial than a factual or serious one, opening themselves up to be influenced. The key to funny advertising is assuring that the humour is appropriate to both product and customer. The balance between funny and obnoxious can often be delicate; and a marketer must be certain before an advertisement is introduced.
The best products to use humorous ads tend to be those for which consumers have to think the least about. Products that are relatively inexpensive, and often consumable, can be represented without providing a lot of facts, and that's where there's room for humor. Candy, food, beverage, tobacco and toys/entertainment related products have proven to benefit the most from humour in their campaigns. One of the most important things to keep in mind is relevance to the product. An example of an extremely successful humorous campaign now being shown in Indian Television is Dabur Hajmola featuring Amitabh Bachchan, a big icon of Indian cinema.
Another point to use humor in advertising is that different things are funny to different people. A commercial that may leave one person gripping their sides from laughter may leave a bad taste in another's mouth. The target market must always be considered. What's funny in a client presentation may not be funny in society. An example a language or a world that may be popular and funny in yound generation may be considered as foul or obscene in elder society. Definitely it will catch attention of viewers the language will be taken as obnoxious and totally unacceptable in a decent family circle. Its bad impact falls on the young minds of children who quick in imitating adults.
Humour in advertising tends to improve brand recognition, but does not improve product recall, message credibility, or buying intentions. In other words, consumers may be familiar with and have good feelings towards the product, but their purchasing decisions will probably not be affected. One of the major keys to a successful humorous campaign is variety. Once a commercial starts to wear out, there's no saving it without some variation on the concept. Humorous campaigns are often expensive because they have to be constantly changed. Advertisers must remember that while making the customers laugh, they have to keep things interesting, because old jokes die along with their products.
Many of the most memorable ad campaigns tend to be funny. Advertisers use this strategy to attract customers to their products. Audiences like to be entertained, but not pitched. People will pay more attention to a humorous commercial than a factual or serious one, opening themselves up to be influenced. The key to funny advertising is assuring that the humour is appropriate to both product and customer. The balance between funny and obnoxious can often be delicate; and a marketer must be certain before an advertisement is introduced.
The best products to use humorous ads tend to be those for which consumers have to think the least about. Products that are relatively inexpensive, and often consumable, can be represented without providing a lot of facts, and that's where there's room for humor. Candy, food, beverage, tobacco and toys/entertainment related products have proven to benefit the most from humour in their campaigns. One of the most important things to keep in mind is relevance to the product. An example of an extremely successful humorous campaign now being shown in Indian Television is Dabur Hajmola featuring Amitabh Bachchan, a big icon of Indian cinema.
Another point to use humor in advertising is that different things are funny to different people. A commercial that may leave one person gripping their sides from laughter may leave a bad taste in another's mouth. The target market must always be considered. What's funny in a client presentation may not be funny in society. An example a language or a world that may be popular and funny in yound generation may be considered as foul or obscene in elder society. Definitely it will catch attention of viewers the language will be taken as obnoxious and totally unacceptable in a decent family circle. Its bad impact falls on the young minds of children who quick in imitating adults.
Humour in advertising tends to improve brand recognition, but does not improve product recall, message credibility, or buying intentions. In other words, consumers may be familiar with and have good feelings towards the product, but their purchasing decisions will probably not be affected. One of the major keys to a successful humorous campaign is variety. Once a commercial starts to wear out, there's no saving it without some variation on the concept. Humorous campaigns are often expensive because they have to be constantly changed. Advertisers must remember that while making the customers laugh, they have to keep things interesting, because old jokes die along with their products.
Good Marketing Pays for Itself
Most companies ask themselves this question: "How much will this advertising cost us?" when they should actually be asking themselves: "How much will it cost not to do this advertising?"
If your company spends $1000 per week on marketing then you could save $1000 per week by not doing any marketing. That is true but it is the simple and shortsighted view of the situation. However, if the revenue generated from that marketing is $1010 you have actually just lost $10 by not doing it. Most times the margin is not that slim. We generally bring in around 10 times what we spend in any given week. That means for every $1000 we spend on marketing we bring in $10,000. If we decided that we were only going to spend half of what we were normally spending we would automatically save half of our budget. That is great but we would likely lose up to half of our weekly sales income. In trying to save half our budget, we actually lost 9 times that amount.
It all comes back to your return on investment (ROI). The money that you spend on your marketing is your investment. The money you bring in on sales is the ROI. That is why your ROI is the most important statistic to consider when trying dividing up your marketing budget. Putting more money into a marketing strategy that has a higher ROI doesn't cost you more money, it makes you more money. Unfortunately many businesses cut their marketing budget first when trying to stay afloat during slow periods. They are actually hastening their downfall.
You have heard it time and time again, "It takes money to make money." It is as true today as it ever has been. You have a good product or service, you run your business well, the only thing that you need is good marketing and that will eventually pay.
Maybe you are still stopped by the big question, "How?" What do you really need to know and how can you actually make it work? Let's start with the "Basic Principles" of promotion.
What is Promotion?
Anything as advertising, public appearances, etc., done to publicize (get the attention or interest of the public) a person, product, event etc.
Why to promote?
The purpose of promotion is to bring in more business and enlarge your customer base. Always try to bring in as much business as you can. It sounds like an obvious thing to say but many people still don't follow this rule. Don't assume any number of new customers will be too much for you to handle. If you have that much business you can always bring on temporary or temp-to-permanent staff to handle the work load.
How do you promote?
There are more ways than you would ever think. Have you ever heard someone say, "I never promote and I am always busy" or "I don't have to promote, all my business comes from word-of-mouth"? They may not be aware of how they're doing it, but I promise you they are promoting somewhere. Maybe they just go around telling everyone they talk to, that they don't promote. (Sounds funny? It's still promoting.) Well here are some ideas you can do "knowingly" to drive in the business. Every action that every member of your staff engages in is promotion. Whether good or bad every action is giving someone an impression of how your company is or does business. Here are a few examples.
If your company spends $1000 per week on marketing then you could save $1000 per week by not doing any marketing. That is true but it is the simple and shortsighted view of the situation. However, if the revenue generated from that marketing is $1010 you have actually just lost $10 by not doing it. Most times the margin is not that slim. We generally bring in around 10 times what we spend in any given week. That means for every $1000 we spend on marketing we bring in $10,000. If we decided that we were only going to spend half of what we were normally spending we would automatically save half of our budget. That is great but we would likely lose up to half of our weekly sales income. In trying to save half our budget, we actually lost 9 times that amount.
It all comes back to your return on investment (ROI). The money that you spend on your marketing is your investment. The money you bring in on sales is the ROI. That is why your ROI is the most important statistic to consider when trying dividing up your marketing budget. Putting more money into a marketing strategy that has a higher ROI doesn't cost you more money, it makes you more money. Unfortunately many businesses cut their marketing budget first when trying to stay afloat during slow periods. They are actually hastening their downfall.
You have heard it time and time again, "It takes money to make money." It is as true today as it ever has been. You have a good product or service, you run your business well, the only thing that you need is good marketing and that will eventually pay.
Maybe you are still stopped by the big question, "How?" What do you really need to know and how can you actually make it work? Let's start with the "Basic Principles" of promotion.
What is Promotion?
Anything as advertising, public appearances, etc., done to publicize (get the attention or interest of the public) a person, product, event etc.
Why to promote?
The purpose of promotion is to bring in more business and enlarge your customer base. Always try to bring in as much business as you can. It sounds like an obvious thing to say but many people still don't follow this rule. Don't assume any number of new customers will be too much for you to handle. If you have that much business you can always bring on temporary or temp-to-permanent staff to handle the work load.
How do you promote?
There are more ways than you would ever think. Have you ever heard someone say, "I never promote and I am always busy" or "I don't have to promote, all my business comes from word-of-mouth"? They may not be aware of how they're doing it, but I promise you they are promoting somewhere. Maybe they just go around telling everyone they talk to, that they don't promote. (Sounds funny? It's still promoting.) Well here are some ideas you can do "knowingly" to drive in the business. Every action that every member of your staff engages in is promotion. Whether good or bad every action is giving someone an impression of how your company is or does business. Here are a few examples.
- Greeting your customers with a smile and professionally is a great way to start.
- Calling your customers after they have had a chance to use your product is a good way to promote that you care about their experiences with your organization. It can also create an opportunity to make more sales.
Foreign exchange of Nepal: A Brief History
Different currencies and the need to exchange them had existed since the Babylonians (who are credited with the first use of paper notes and receipts). Foreign exchange or foreign currency is the currency of an overseas country, which is purchased by a particular country in exchange for its own currency. The foreign exchange rate is the price of a country's currency in terms of another country's currency. The exchange rate is crucial in maintaining balance of receipts and payments between two trading countries. Understanding of the history of a countries exchange rate is important to formulate the country's exchange rate policy.
Commercial relationship between Nepal and India has existed more than five hundred years before Christian era. By first half of seventh century when the Lichhavis were ruling, Nepal had become the country of transit trade between India and Tibet. Barter system prevailed during those days. Nepal was divided into various small states, few states had there own metallic currencies. Exchange rates during that era were determined according to the market. Metals like gold and silver was mostly used as means of exchange. It was only after unification of Nepal did have a single currency. But minted coins came into use only after Jung Bahadur Rana set up a minting machine in Kathmandu.
Nepal has a rich history on foreign exchange. Evolution of Nepal's exchange rate policy begun only after unification of Nepal in 1769. We moved from having no defined exchange rate policy, but being market determined, to have clear exchange rate policy. Nepal's foreign exchange policies can be differentiated into six distinct periods. These periods are:
Floating exchange rate period
Prior to establishment of Nepal Rastra Bank, many currencies along with Nepalese currency were circulated in Nepal. The value between each currency was determined by market. Fluctuations in supply and demand of currencies were reflected in the floating rates. However, the currency was metallic and its value was based on metallic content. It existed up to 1956.
Dual currency period
Our country had dual currency from 1835 to 1934. Both Nepalese currency and Indian currency were used as currency of exchange in Nepal. Indian paper currency was acceptable for heavy transactions. Both Nepalese and Indian paper and metal currencies circulated. It lasted up to mid 20th century. In Kathmandu, Nepalese currency dominated whereas in Terai (near the border of India) Indian currency was heavily circulated but in hilly regions barter system still prevailed.
Pegged exchange rate period
1951 to 1955 was extremely volatile in respect to Nepalese currency-Indian currency exchange market. Changes occurred daily. Fluctuation in the value of Indian currency against value of Nepalese currency remained a source of unnecessary irritation and trouble for all walks of life until 1957 when the system of dual currency system was abolished under Nepal Currency Circulation and Expansion Act. Due to the volatile market of Nepalese currency and Indian currency and its adverse effect on confidence of Nepalese currency and economy of Nepal, the dual currency system was abolished and a single currency was fixed. Nepalese currency was pegged with Indian currency with unlimited convertibility at the fixed rate of 160NC to 100IC. Nepalese currency has been fixed with Indian currency for last 40 years with only 7 changes in the exchange rate so far.
Dual exchange rate period
After World War II, the foreign exchange market of the world became volatile. In order to bring economic order, United Nations Monetary Fund convened the Bretton Woods Accord. It established the policy of pegging currencies against the U.S. dollar so as to bring stability to a fractured and volatile global economic situation.
The first element of the Accord was to peg the U.S. dollar to the price of gold at $35.00 an ounce (The gold standard). With this benchmark anchoring the U.S. dollar, other major currencies were pegged to the greenback and allowed to fluctuate no more than 1% on either side of the pegged rate.
With accordance with the Bretton Woods system, Nepal Rastra Bank pegged 1 USD with 7.60 Nepalese currency. As Nepalese currency was already pegged with Indian currency, we adopted a Dual pegged system, i.e., one with USD (7.60=1USD) and second with Indian currency. This period extended from 1960 to 1973.
Basket of currency period
After collapse of Bretton Woods System in 1971, Nepal adopted the basket of currency system from 1983 to 1992. On June 1st 1983, Nepalese currency was pegged with basket of currencies. Basket of currency includes number of currencies based on trade weights. The exact composition of basket of currencies had not been divulged by Nepal Rastra Bank. Indian currency was also included in basket of currency, so Nepalese currency-Indian currency rates also changed on daily basis during that period.
Floated exchange rate periodBasket of currency system was discarded in 1992 and Nepalese currency was floated according to the demand for and supply of the market. Nepalese currency-Indian currency was again pegged at 160 Nepalese currency for 100 Indian currency. Other currencies were floated under supervision of Nepal Rastra Bank, i.e., from 1992 onwards Nepal adopted a managed float system. The central bank intervenes with floating exchange rate using various policies to maintain the desired exchange rate. The Central Bank provides money if exchange rates are dropping to bring it up again. This is the present status of our foreign exchange policy.
Commercial relationship between Nepal and India has existed more than five hundred years before Christian era. By first half of seventh century when the Lichhavis were ruling, Nepal had become the country of transit trade between India and Tibet. Barter system prevailed during those days. Nepal was divided into various small states, few states had there own metallic currencies. Exchange rates during that era were determined according to the market. Metals like gold and silver was mostly used as means of exchange. It was only after unification of Nepal did have a single currency. But minted coins came into use only after Jung Bahadur Rana set up a minting machine in Kathmandu.
Nepal has a rich history on foreign exchange. Evolution of Nepal's exchange rate policy begun only after unification of Nepal in 1769. We moved from having no defined exchange rate policy, but being market determined, to have clear exchange rate policy. Nepal's foreign exchange policies can be differentiated into six distinct periods. These periods are:
Floating exchange rate period
Prior to establishment of Nepal Rastra Bank, many currencies along with Nepalese currency were circulated in Nepal. The value between each currency was determined by market. Fluctuations in supply and demand of currencies were reflected in the floating rates. However, the currency was metallic and its value was based on metallic content. It existed up to 1956.
Dual currency period
Our country had dual currency from 1835 to 1934. Both Nepalese currency and Indian currency were used as currency of exchange in Nepal. Indian paper currency was acceptable for heavy transactions. Both Nepalese and Indian paper and metal currencies circulated. It lasted up to mid 20th century. In Kathmandu, Nepalese currency dominated whereas in Terai (near the border of India) Indian currency was heavily circulated but in hilly regions barter system still prevailed.
Pegged exchange rate period
1951 to 1955 was extremely volatile in respect to Nepalese currency-Indian currency exchange market. Changes occurred daily. Fluctuation in the value of Indian currency against value of Nepalese currency remained a source of unnecessary irritation and trouble for all walks of life until 1957 when the system of dual currency system was abolished under Nepal Currency Circulation and Expansion Act. Due to the volatile market of Nepalese currency and Indian currency and its adverse effect on confidence of Nepalese currency and economy of Nepal, the dual currency system was abolished and a single currency was fixed. Nepalese currency was pegged with Indian currency with unlimited convertibility at the fixed rate of 160NC to 100IC. Nepalese currency has been fixed with Indian currency for last 40 years with only 7 changes in the exchange rate so far.
Dual exchange rate period
After World War II, the foreign exchange market of the world became volatile. In order to bring economic order, United Nations Monetary Fund convened the Bretton Woods Accord. It established the policy of pegging currencies against the U.S. dollar so as to bring stability to a fractured and volatile global economic situation.
The first element of the Accord was to peg the U.S. dollar to the price of gold at $35.00 an ounce (The gold standard). With this benchmark anchoring the U.S. dollar, other major currencies were pegged to the greenback and allowed to fluctuate no more than 1% on either side of the pegged rate.
With accordance with the Bretton Woods system, Nepal Rastra Bank pegged 1 USD with 7.60 Nepalese currency. As Nepalese currency was already pegged with Indian currency, we adopted a Dual pegged system, i.e., one with USD (7.60=1USD) and second with Indian currency. This period extended from 1960 to 1973.
Basket of currency period
After collapse of Bretton Woods System in 1971, Nepal adopted the basket of currency system from 1983 to 1992. On June 1st 1983, Nepalese currency was pegged with basket of currencies. Basket of currency includes number of currencies based on trade weights. The exact composition of basket of currencies had not been divulged by Nepal Rastra Bank. Indian currency was also included in basket of currency, so Nepalese currency-Indian currency rates also changed on daily basis during that period.
Floated exchange rate periodBasket of currency system was discarded in 1992 and Nepalese currency was floated according to the demand for and supply of the market. Nepalese currency-Indian currency was again pegged at 160 Nepalese currency for 100 Indian currency. Other currencies were floated under supervision of Nepal Rastra Bank, i.e., from 1992 onwards Nepal adopted a managed float system. The central bank intervenes with floating exchange rate using various policies to maintain the desired exchange rate. The Central Bank provides money if exchange rates are dropping to bring it up again. This is the present status of our foreign exchange policy.
Document Management: Is Paperless the Way to Go For Your Organization?
We all need paper to do our work, but it accumulates quickly. Our files grow fatter and fatter, and then they grow some more. Folders and filing systems make it easier to find our documents. Records managers organize, archive and retrieve our information. But the amount of paper keeps growing. Paper files are often hard to find. Records may not be in their proper folder. Or they may be borrowed and then remain on somebody's desk. Studies show that professionals often lose up to 500 hours a year looking for documents. Those days are gone. Document management offers a better way to manage the records you rely on.
Document management and the way your organization handles the process, is becoming a big concern for businesses. Why is that?
- Is it the fact that knowledge not put in some type of retrievable form is lost when turnover occurs?
- Is it the fact that businesses do not have the luxury of being able to spend quality time with employees to ensure that procedures are followed as per the expectations of management?
- Are external processes constantly changing, and staff can't keep up with it? Could it even be simpler than all this, and businesses are trying to improve productivity time, and save some costs on storage and office space?
All of these are valid reasons why "Paperless Office" is becoming of interest to all types of organizations.
Documents in a business process are a means to measure, manage and improve processes. Workflow and routing help organizations move information on a timely basis. Knowledge and the sharing of information must come in the form of documentation, as organizations cannot afford turnover without a knowledge structure in place. People are creators of the facts and the documentation to manage the process. Processes define the organization's framework and count on the documentation for defining, auditing and startup. Change occurs in all organizations, and documents allow for change to take place. This facilitates the change by a documentation view. A paperless office might not be the completely correct terminology, but rather "Document Management" which is the computerized management of electronic as well as paper-based documents. Document management systems generally include the following components:
- an optical scanner and OCR (Optical Character Recognition) system or software to convert paper documents into an electronic form
- a database system to store documents in an organized manner
- a search mechanism to quickly find specific documents.
A successful organization needs to:
- have sharable, accessible, and locatable (electronically, if possible) documents
- be open to analysis and adjustments
- allow people to leverage processes
- have management documents with strategic direction and operational facts
- Have external documents to contain the market environment
New document management systems allow for scanning, archiving, searching on criteria sets, workflow and routing procedures, electronic record keeping, record retention maintenance, voice recordings of minutes for staff review, complete audit trails of all activities, security for those in the organization who should be able to see or perform updates, and creation within the infrastructure of the business. Productivity time is now down to seconds for finding documents, rather than hours.
Correspondence is performed right from the staff member's desk, rather than moving to and from fax machines, and copiers. Policy and procedures are reviewed and tested right at staff's PC workstations, keeping them up-to-date with changes and updates. Human Resource departments have all employee and potential employee information in one secure centralized data base for easy access and response. Insurance forms, legal issues, can be submitted directly from their desks, as well. The ideas of use really become endless, and systems must be flexible enough to accommodate your business needs.
With the ever-expanding application of computers into business areas as diverse as accounting, desktop publishing, billing, mail, and scheduling, it seemed in the early 2000s that the real paperless office was just around the corner. Ironically, just the opposite has transpired. The ease with which computers enable people to print all sorts of documents have created a flood of papers. Some analysts believe that the paperless office is still an achievable and laudable goal, but that certain key technologies such as optical character recognition (OCR) must be improved. Others, however, argue that the tangibility of paper documents yields certain benefits that will never disappear.
Dilbert's words of wisdom
I have compiled this funny words of wisdom from different sources. Please enjoy!
- I can please only one person per day. Today is not your day. Tomorrow's not looking good either.
- I love deadlines. I especially love the swooshing sound they make as they go flying by.
- Tell me what you need, and I'll tell you how to get along without it.
- Accept that some days you are the pigeon, and some days you are the statue
- Needing someone is like needing a parachute. If he is not there the first time you need him, chances are you won't be needing him again.
- I don't have an attitude problem. You have a perception problem.
- On the keyboard of life, always keep one finger on the escape key.
- I do not suffer from stress - I am the carrier.
- Everybody is somebody else's weirdo.
- Never argue with an idiot. They drag you down to their level then beat you with experience.
Subscribe to:
Posts (Atom)