Blog

Sunday 12 June 2016

The Greatest Reform ?

As per report , Law Minister , Shri Sadananda Gowda , told Times of India on 08 June 2016 :

" The Prime Minister is very keen to hold elections to assemblies and Parliament together . A committee was set up a month-and-a-half ago and has been given a deadline of three months to complete its report "

Earlier , a committee of secretaries had studied the issue and proposed that polls to assemblies whose terms were expiring 6 months before the 2019 LS elections as well as those doing so 6 months later , be brought together

YEAR-WISE HISTORY of STATE ASSEMBLY ELECTIONS :

# 2013.................... 9 States

# 2014.................... 8 States

# 2015................. 2 States

# 2016................. 5 States

# 2017.................... 5 States

REASONS BEING ADVANCED IN SUPPORT OF SIMULTANEOUS ELECTIONS :

# Unending State elections impede governance as the Code of Conduct is brought into force which prevents announcements of policy decisions that could be seen to influence voters

# Political exercise is hugely distracting and there is a tendency to read the results as referendums on the Centre , even though the issues at stake are essentially local and State-specific

# Election Commission believes that the cost of conducting simultaneous elections , at estimated Rs 9,000 crore , could well be much less than the cumulative costs of holding State elections as an annual occurrence

MY TAKE :

Conducting simultaneous elections for ALL STATE ASSEMBLIES and LOK SABHA , is not only possible but it can be done on a SINGLE DAY , as per my following suggestion , sent to Shri Narendra Modiji on 06 Nov 2014 :

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VotesApp

( from my blog dated 18 Dec 2012 )

* An Android app which can be downloaded from Google Play / Android Zoom / GetJar and the official web site of Election Commission of India

* It will be pre-loaded on 220 million Aakash tablets which Govt of India plans to distribute to students

* It will also be pre-loaded on those Smart phones ( to be called, “ Dharati “ ? ), which Govt of India plans to distribute free to 400 million “ poor “ Indians , before 2014 National elections

* All tablet / smart phone manufacturers will be encouraged to pre-load VotesApp

* Using this app , a voter can register at Election Commission web site, where he will enter the same data which he has submitted for his Aadhar card, including Aadhar card number (Unique Identification No)

* All of these details will be verified by Aadhar database

* Obviously , those who have not obtained their Aadhar card , will not be able to use VotesApp . They will need to visit nearest polling booth

* Upon correct verification , Aadhar Database will permanently link the person’s Aadhar number with the mobile number from which registration is done, and issue a Password

* An under aged person will not be allowed to register

* A person will be able to vote only from that mobile number

* After login on first screen, user will be asked to select one option from,

# Panchayat Election

# Municipal Election

# State Assembly Election

# Lok-Sabha Election

* Upon selection, user will be presented with the list of candidates contesting , from which , he can select only one by ticking a check-box.

There will be also a choice , labeled “ None “ ( NOTA )

* A long press on a candidate’s name will display details of his declared assets as also his criminal record

* After ticking / selecting a candidate, voter will click on “ VOTE “ button, whereupon his vote gets registered and VotesApp gets de-activated

* Once a voter registers on Election Commission web site , he cannot go to a polling booth and vote physically

* In less than one year , Govt of India will recover the cost of 220 million Aakash tablets and 400 million” Dharati “ smart phones , through this customized / personalized / shrinking of EVMs ( Electronic Voting Machines ) to a hand-held device.

And imagine the millions of man-hours saved !

* And the beauty is , no one can capture this booth , or conduct exit polls !

* What next ? Election Commission “licensing “ this App to other countries ?

HOW WILL IT HELP ?

* No need for 930,000 polling booths / EVMs / Ink / Papers etc

Every voter's own mobile becomes a miniature EVM !

Any registered Voter can vote from anywhere in the World !

* Nor any need to deploy 1,100,000 people to conduct the polls

* No need for millions of Police / Military personnel

* No need for months of advance preparations, across entire country

* Voting can be completed in just ONE day - instead of over 6 weeks -
and results can be declared next day !

* Voting could be 95 % or more !

* No worry for booth-capture

* No bogus voting ( Bio-metric ID from built-in camera )

* No duplicate voting ( Self-destruct after single usage )

* No worry for any terrorist attacks

* Enormous saving of time for Voters

* No need to declare a public holiday - costing thousands of crores
worth of production

* Central Government will save, at least , Rs 2,000 Crores .

* For the Central Government , a potential to earn Rs 20,000 crores , by

enabling 15 million Indian businesses to advertise to 814 million voters

thru this mobile VotesApp , sharply targeting by Gender / Age / Marital

Status / City / Street / Education / Income Tax paid / Employed or

Jobless ..etc

* No need for Central Government to stop taking even routine decisions

( due to Model Code of Conduct )

If a tiny country like Estonia ( population 1.6 million ) can elect its Members of Parliament thru a VotesApp type mobile App , why can't we ?

Already 900+ million Indians have mobiles - all of which , will soon become Smart Phones

As far as designing / developing of VotesApp is concerned , it is NOT a Rocket Science

Any IT / E-Comm Start Up , should be able to develop VotesApp in 3 months

Can you think of a better way for " E-delivery of Service " ?

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13 June 2016

www.hemenparekh.in / blogs

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Make Yourself Heard

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Saturday 11 June 2016

Level Playing Field ?

It just does not exist - so forget about it and make the most of what you have !

For Corporate , it is absurd to demand and for a Government , it is futile to attempt to provide a Level Playing Field

There are no two countries where ALL the resources and the ENTIRE industrial Eco-system , is identical or even closely similar

Inputs for any industry are :

# MANPOWER

* Ave age / Education Level / Skills / Work Ethics / Productivity / Working
Hours / Holidays / Salaries

# RAW MATERIALS / COMPONENTS AVAILABILITY

* Local vs Imported / Supply Chain / Logistics / Duties & Taxes / Quality

# FINANCE / BANK INTEREST RATES

* Equity / Loans / Interest Rates / Collateral / Duration / Terms

# LAND / LOCATION ( of manufacturing unit )

* Availability / Prices / Transport / Availability of Skilled Manpower

# INDUSTRIAL POLICY ( Central and State Governments )

* Exemptions / Incentives / Restrictions / Inspections / Permissions /
Compliance

# MARKET

* Domestic / Overseas

# TECHNOLOGY

* IPR / Patents Regime / Copy-Rights / Home-Grown / Licensing / Royalty

# TAXATION

* High / Low Corporate Income Tax / Capital Gains Tax

# INFRASTRUCTURE

* Internal ( Road-Rail Network / Air-Sea connectivity ) / Warehouses

# COMPETITION

Monopoly / Oligopoly / Cartels / Fierce & Free competition of many

Now , Industrialists / Businessmen , all over the World , will continue to compare the INDUSTRIAL INPUTS existing in their own country with the following BENCHMARKS :

# Most Business Friendly ................................... Ireland

# Lowest Corporate Tax...................................... Kuwait ( 0 % )

# Lowest Hourly Wages ( PPP basis ).................... Bangladesh ( $ 0.25/hr )

# Highest Working Hours.................................... Mexico ( 42.5 / week )

# Least Govt mandated paid holidays................... USA ( Nil )

# Highest Manpower Productivity......................... Switzerland

# Lowest Bank Interest Rates............................. Denmark ( 0.05 % )

# Demographic Advantage of a Young Population....India

# Ease of Introducing unpopular reforms.............. China ( Dictatorship )

There is , quite likely , some parameter on which a Country can claim to have distinct advantage over all the other countries

It could have something to do with its Geographical situation / Historical evolution / Political System / Legal Frame-work / Societal Norms etc

It is not possible to replicate advantages of all of these Benchmark Countries , into any one single country

At the same time , it is very important to keep studying these Benchmarks and ask ourselves :

" How have these countries managed to reach , where they are ?

What REFORMS can we introduce in our own system to catch-up ?

Are there any parameters in which we ourselves are a Benchmark to others ?

What should we do so that we do not slip-up where we are ourselves , some

kind of a Benchmark , to the rest of the World ?

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12 June 2016

www.hemenparekh.in / blogs

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It is time for YOU to speak up - and demand that YOU are heard

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Thursday 9 June 2016

A Question and an Answer ?

THE QUESTION :

Speaking at the launch of a book "World 2050" in Mumbai on 09 June 2016 , Reserve Bank Governor Raghuram Rajan said :

" The technological progress is making the middle class anxious about job security globally.

The emerging threat is it's not the guy in Bengaluru but the robot next door who's going to take your job

There's

* flexible manufacturing,

* big data,

* connectivity, and

* robotics

which are changing the entire landscape, wherein only professionals in the hi-tech sector or those lower down like security guards are feeling secure, while leaving the middle class anxious.

There's a sense that middle class jobs are disappearing either because of technology or globalization and as a result, something has to be done.

Nobody knows what, but the populists have the answer," he said, adding this results in attitudes like keeping out immigrants and also technology.

Increasingly, the debate is moving to emerging markets, where there is a worry, perhaps industrial countries will get right this time and perhaps won’t need us to produce stuff.

What happens if all these robots, flexible manufacturing, 3d printers... They no longer need mass production that was ladder to growth in emerging markets.... What happens to countries like Vietnam, India and Africa if the ladder for steady growth is removed ? ”

This is a QUESTION rather than a STATEMENT, something we have to think about when we are looking forward 35 years,” he added.

THE ANSWER ( but certainly , not " Populist ) :

My blog dt : 9 September 2015

" BACK FACTORY " OF THE WORLD ?

China is known as the " Factory " of the World

India is known as the " Back Office " of the World

Can India become the " Back Factory " of the World ?

Wrong question !

Right question is : WHEN can we become the " Back Factory " of the World ?

Answer is " hiding in plain sight " !

This week , an astronaut , sitting in a satellite 400 km above the earth and hurtling through space at 16,000 km per hour , operated a robot on the earth

Earlier , scientists sitting in NASA space centre or in Shri Harikota space centre , have operated Mars Rovers / MOM ( Mars Orbital Mission ) remotely

From a distance of millions of miles

And soon , astronauts will be sending emails to earthlings from millions of miles away , using " Space Internet " on their Mobile phones

Invariably , each such team of scientists , comprised Indians !

So , WHEN can our scientists - and software Start Ups - enable Indian workers , sitting in Hyderabad / Chennai etc , to operate / manipulate , machinery in factories of Europe / America / China ?

I believe this can become a reality by 2020 , if Central Government and State Governments , just get out of the way of our scientists / Start Ups and leave them alone !

Then tell them :

" You are our next generation of Freedom Fighters . Free our millions from

poverty / starvation / jobless depression / ignominy / suicides

Like war - ravaged people of North Africa , Indians cannot invade Europe / Australia / Canada , in search of jobs / better life

We depend upon you to bring the jobs to India - jobs such as ,

* Operating Machinery in Factories abroad

* Controlling Air Traffic at Airports around the World

* Operating upon patients in Hospitals , all over

* Teaching students in Schools , in remote Africa

* Any job that currently requires immediate presence of a worker

And , if you set up a " Back Factory " , you don't need to pay Corporate Income Tax for next 10 years !

Simply register on web site of Income Tax Department as a " Back Factory " owner and file annual " Zero Corporate Tax Return "

When this happens ,

> Millions of skilled Indian workers will operate factories around the World ,

sitting in , internet connected " Back Factories " in small Indian towns

> Foxcon will not need to replace its high-wage Chinese workers with one

million robots ( as officially announced sometime back )

At half the wages of those Chinese workers , Indians will operate Foxcon

factories , all over the World , remotely !

> " Contract Labour Act " will need to be replaced with " Back Factory " Act

> " Minimum Wages Act " will need to be scrapped !

> India will not need to fight with WTO on " Manpower / Service Exports "

> " Make in India " will morph into " Make from India "

I hope NDA Ministers and members of NITI Aayog will ask , Narayan Murthy / Sam Pitroda / Azim Premji / Sundar Pichai / Satya Nadela / Ray Kurzweil etc :

" How soon can this be done ? How can you help ? "

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10 June 2016

www.hemenparekh.in / blogs

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Wednesday 8 June 2016

Wealth of India ?

DNA ( 01 June 2016 ) carries a news snippet titled :

" India , a wealthy country but Indians quite poor : Survey "

It quotes figures of " Total Individual wealth-2015 " of top ten countries

as follows :

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Country / Total Individual Wealth ( $ Billion ) / Population ( Million ) / Per Capita Wealth ( $ )

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# USA / 48,700 / 322 / 151,242

# China / 17,300 / 1360 / 12,700

# Japan / 15,200 / 126 / 120,634

# Germany / 9400 / 82 / 114,634

# UK / 9200 / 64 / 143,750

# France / 7600 / 64 / 118,750

# India / 5200 / 1290 / 4,031

# Italy / 5000 / 61 / 81,967

# Canada / 4800 / 35 / 137,142

# Australia / 4500 / 23 / 195,652

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Seeing India's rank at 7th place , I got elated - just for a moment !

Then wondered :

" What would be our rank , if we were to figure out PER CAPITA wealth of these countries ? "

That made me add in above table , last 2 columns ( to the DNA figures )

This threw up following surprises :

* We would move down to the bottom of the heap on PER CAPITA basis !

* In terms of PER CAPITA wealth , Australia moves up from bottom to TOP !

* Australia's PER CAPITA wealth would be 48.5 times our per capita wealth !

That reminded me that , the Supreme Court appointed Special Investigation Team on black money has asked the Directorate of Revenue Intelligence (DRI) to verify whether USD 505 billion had flown out of the country during 2004-13, when Congress-led UPA was in power.

Now , assuming that this figure is true and that NDA government succeeds ( don't ask for a target date ! ) in bringing back , ALL of these USD 505,000 million , how much would our PER CAPITA wealth go up ?

505,000 Million / 1290 Million = $ 391 ( approx Rs 27,000 / - only )

In the meantime , following news appeared yesterday :

India's black money economy is estimated to be over Rs 30 lakh crore or about 20% of total GDP, a number that a new study says has been contracting gradually - still bigger than the overall economic size of countries like Thailand and Argentina.

So the BLACK MONEY generation works out to approx Rs 23,256 / - PER PERSON PER YEAR !

Year after Year !

QUESTION :

Should we be spending time on trying to bring back those Rs 27,000 per person , stashed abroad ( a ONETIME BENEFIT , if it ever materializes ! ),

Find a way to eliminate the generation of Rs 23,256 / - worth of BLACK MONEY per person, YEAR AFTER YEAR ?

ANSWER :

As repeatedly requested by me , let us focus on future by

# Replacing existing paper Currency Notes of Rs 500 / 1000 , by PLASTIC currency

notes , each embedded with RFID micro-sensors ( no need for demonetization )

# Assigning each NEW note with a UNIQUE, IP V 6.0 web address , linked to Serial

Number of each note ( in " Internet of Things - IoT " mode )

# Launch of mobile app " BLACK-MAIL ", for exclusive use of IT / ED etc, to track

accumulation of ( say ) , Rs ONE crore worth of notes in any ONE sq meter area !

# Generate automatically / dynamically , CURRENCY MAPS of INDIA , to track

money ( read my earlier blog for details )

I leave it to the Economists and Experts to figure out the amount by which our GDP will go up due to this SIMPLE INTERVENTION , which does not require passing of any law !

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08 June 2016

www.hemenparekh.in / blogs

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Make Yourself Heard

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