Ritesh is not afraid

Ritesh Agarwal [ ritesh@oyorooms.com ] ,

is not afraid to be ridiculed

He just launched OYO Living, as per following report :

Oyo enters long-term housing rentals space 

Extract :

Budget hospitality firm OYO on Monday announced its entry into ‘OYO Living’ a long term fully managed housing rentals. Starting with ₹ 7999, per bed, per month, OYO Living will help residents save on brokerage, lock-in periods, and the hassle of searching house helps and support services involved while moving to a new residence.

OYO Living will have around 35 live properties with over 2000 beds in Noida, Gurugram, Bengaluru and Pune at the time of launch. OYO Living will aim to expand to the top 10 metros by the end of 2019 and will offer over 50,000 beds, said the official statement.

A smart move , considering that Mumbai Metropolitan Region alone has an unsold inventory of nearly 3.5 lakh flats

[ https://indianexpress.com/article/india/3-5-lakh-flats-unsold-in-mumbai-metropolitan-region-report-4929533/  ]

I suppose , all over India , there must be millions of such “ Un-utilized Assets “ where investments worth lakhs of crore of rupees is lying idle / unproductive

For Mumbai Region alone , I had estimated such “ Idle Assets “ at Rs 20 lakh*crore !

Which made me suggest following solution :

Ready to be Ridiculed  [  23  Aug 2017  ]

Ritesh,

By your innovative business idea, you will disrupt the “ Rental Housing “ market by turning it into a formal / organized sector and , in the process , solving a major hurdle for cross-country migration of professionals

How about :

·         examining my suggestion to disrupt the BPO market ?

·         finding some commercially profitable use for some 1.3 million schools in the country which are utilized only for ( max ) 10 hours per day ?

Can you think of some way to utilize those billions of square feet of space which remains idle for 14 hours in a day ?

03  Nov  2018

www.hemenparekh.in / blogs  

Better Late than Never !

Supreme Court orders seizure of 15 year old petrol vehicles , 10 year old diesel variants in Delhi

Apex court kills the ignition of nearly a third of NCR’s vehicles

VEHICLE  POPULATION of  Delhi  :

Vehicles facing impounding            =    37,91,917

Petrol Vehicles less than 15  years  =    67,67,897

Diesel Vehicles less than 10 years   =      5,24,487

Total  Vehicles                               =    1,10,84301 

In 2016 alone , some 10 lakh new vehicles got added . Assume 11 lakhs in 2017 and 12 lakhs in 2018

May be some 4 lakh vehicles are becoming older than 15 years of age , year after year and will need to be scrapped

   

PAST  INTERVENTIONS :

In 2015, The National Green Tribunal had banned such vehicles

In 2016 , NGT had asked the authorities ( RTO ? ) to de-register all 10 year old diesel vehicles in the capital . In an appeal against this , SC refused to annul NGT order

CURRENT  ORDERS :

#     To Central Pollution Control Board  [  CPCB  ]

       Immediately create a Social Media web site or account where people could complain

       about air pollution

     

#    To the Government ( State Government ? )

       Impound all OLD vehicles in the NCR

#    To  Transport  Department

      Publish a list of such vehicles on your web site and also impound them if found on the

      Road. Also publish the list in newspapers. Prevent such vehicles from entering Delhi

    

   

In the meantime , for the next 10 days , EPCA ( Environment Pollution – Prevention and Control – Authority ), has issued following orders :

#     Stop all stone crushers and hot mix plants

#    Stop working of all industries using coal and biomass as fuel

#    Stop all diesel generators ( DG sets )

#    Shut down brick kilns in Haryana, Rajasthan and UP

#    Close down the industrial area of Mundka

#    All Chief Secretaries of the states involved to set up teams to patrol and impose fines

      on violators for garbage burning , industrial air pollution , dust mismanagement and

      visibly polluting vehicles

     

  

QUESTIONS  :

#     Ownership of old vehicles

·         Do current owners of the impounded vehicles still continue to remain as “ owners “ ?

·         If not , ownership passes on to whom ?  To Central / State Govt ?  Municipality  ?

#    Storage of old vehicles

·         Assume each vehicle needs 12 feet x 8 feet = 100 sq ft of storage area

On that basis , 38 lakh vehicles will need 3,530 Hectares of storage yard area

I believe , currently even for its disposal of 10,000 tons of daily garbage , Delhi needs 800 hectares , which it does not have !

Where is Authority going to find 3,530 hectares ? – even if , each year , incoming 3 lakh old vehicles gets balanced out by outgoing ( being scrapped ) 3 lakh vehicles

#    Cost of towing away and storage

·         For towing away each old vehicle , contractor will charge at least Rs 300

Multiply this with 38 Lakh vehicles  !

Annual storage cost will be another Rs 500 per vehicle ( guards / lighting etc )

As per the latest draft manual on municipal solid waste management prepared by the Union Ministry of Urban Development, three million tonnes of waste can be accommodated on 40 ha of land ( keeping in mind that the life of a landfill is 20 years).

Delhi needs 800 ha of land for its garbage dumps alone , which would cost Rs 80,000 crore going by the present circle rate !

How much money will be required for 3,530 hectares ? To be raised by taxes ?

#    Disposal

·         If ownership still vests with the current owners then do authorities have any right to dispose off the vehicles ( ie : sell to scrap dealers ? )

·         If yes , do authorities have to credit current owners’ account with the sale-proceeds ?

·         If ownership gets automatically transferred to the “ Authorities “ , how is it supposed to dispose off these vehicles so that these do nor “ re-appear “ on the roads after a few weeks ?

#     Why scrap entire vehicle  ?  Why not retrofit  ?

·         In an OLD vehicle,

Only “ Polluting Sub Assembly “ is the ENGINE

Other “ Non-Polluting Sub Assemblies “ are :

 Body – Chasis – Transmission – Tyres etc

So , why SCRAP those non-polluting parts ?

Why not just scrap the old engine and retro-fit the vehicle with a brand NEW engine ( BS VI compliant )  ?

That will mean re-utilizing some 80 % of the asset and , at the same time getting rid of the air pollution !

·         If the SC insists that the entire OLD vehicle must be scrapped , then the questions are :

#   How many years will it take them to finish this mammoth job ?

#   Scrapping will use Oxy-Acetylene torches for cutting the vehicles . Will that not

     Add tremendously to Delhi’s air pollution ?

#      Impact on Employment

·         Even if we assume that some 28 lakh ( out of these 38 lakh old ) vehicles are “ Owner Driven “ , then the remaining 10 lakh must be driven by employed drivers

From today , they will be without a job !

#      Supreme Court of New Delhi  ?

        In one of my earlier blog ( dt 11 May 2016 ) , I wrote :

·         Is air pollution only affecting the people of Delhi ?

·         Is it not as bad in cities like Mumbai / Kolkata / Chennai / Bangalore etc ?

·         Why are MLAs of these States not enacting laws to control pollution ?

·         Why is Supreme Court passing orders ( diesel vehicles / taxies ) only for Delhi ?

·         Does Supreme Court think that citizens of these other cities are immune to the ill

          effects of pollution caused by diesel vehicles ?

·         Why are State Legislatures happy to " pass the buck " to Supreme Court ?

       That is " Abdication of Responsibility " !

References :

PIYUSH PLAN  ?   ………………………………………… [  27  March  2016  ]

Retiring Old Vehicles - Gadkari Style ? ………. [  30  May   2016   ]

Young or Old ?  ………………………………………………[  27  Aug  2016    ]

From OLD to NEW ?  No , go NEWER !  ……….[  22  Sept   2016   ]

Building Castles in the Air ?   ………………………..[  12  March  2017  ]

Best out of a Bad Bargain ?  ………………………….[  29  March  2017  ]

Car Grave-Yard of World ?  ……………………………[    14  Feb  2018    ]

One door closes  ;  Another opens   ……………..[   27  Feb  2018     ]

Mahindra Accelo : Saluting a pioneer  …………..[  19  June  2018    ]

 

Scrapping Old Vehicles : Swiss Challenge Solution  [  24  July  2018  ]

01    Nov  2018

www.hemenparekh.in / blogs    

  

Re-defining Retail : Maini and Mukesh

If you spot the similarities in the following , you will appreciate how Chetan Maini and Mukesh Ambani are busy re-writing the rules of the  RETAIL  GAME

 

[ Source :   Second Coming   /   Eco Times Magazine /  Oct 28  2018 ]

This intelligence is what Maini hopes would give Sun Mobility an advantage.

The company would ,

·         know the state of every battery in real time

·         what the users did with it

·         whether they were used properly or not

·         If they dropped the battery, the network would sense it

·         If the performance declined due to high temperature, the network would sense that, too

·         All the batteries and the entire distribution infrastructure, will be smart, relaying back business-sensitive information to a central grid.

·         The data will eventually allow the company to PREDICT which kiosk will need battery refills , at what time , allowing for a seamless and glitch-free operation 

·          

[ Source : MA = DA x 4,000,000 ?  / 17  July  2018  ]

 

 

If you join Reliance Retail Eco System , here is what it will do for you ( - this is my guess ) :

======================================================

SALES :

All of your merchandize will be available for selection / ordering on our ONLINE web portal

This online presence of your merchandize will expand / extend your " reach " to thousands of consumers in your neighborhood

You will need to only focus on OFFLINE ( across-the-counter ) sales to consumers who walk into your store

For OFFLINE sales , we will install in your stores , all the necessary Computers / POS terminals / Routers / Internet Connections / Mobile Wallet Payment systems and an end-to-end , RETAIL MANAGEMENT software 

All of your OFFLINE sales data will get transferred to our Central Server

=========================================================

SUPPLY  :

We will deliver to your store , all merchandize on " Consignment " basis

This means , you do NOT need to pay us for what we deliver to you store !

Till sold , all goods in your store will be our " stock "

This way , you do NOT need any " Working Capital " as far as your stocks are concerned 

We will also tie-up with the manufacturers

You don't need to have any interaction / dealing with the manufacturers

=========================================================

INVENTORY  :

On a continuous basis , our web server will keep a track of each and every item of merchandize sold from your stores

Our Server will calculate , your " Stock Movement " 

Based on this data , our Server will compute / set for each item :

#   Minimum Stock Level

#   Alarm Stock Level

#   Stock Re-Order Level

#   Re-Order Quantity ( Minimum Batch Size ) 

Based on this logic , our Server will instruct the relevant " Merchandize Manufacturers " ( or their dealers / stockists ) , to deliver the stipulated " Re-Order Quantities " to your stores

A " Re-Order Instruction intimation " , will get delivered to your computer

Upon arrival , you will need to update the data

From time to time , our Software will also figure out your current stocks of " Extremely Slow Moving " and " Obsolete / Expired " items , and arrange for " Return Delivery " , which you will need to enter in your database

=========================================================

DELIVERY  :

Not only we will deliver the merchandize to your store , but we will also pick up " Ordered Items " ( for ONLINE orders only ) , from your store and deliver the same to your customers  !

Initially we will employ manual " Delivery Persons " for this but , before long , we will deploy a fleet of autonomous DRONES for this purpose 

This fleet will cover " Kirana Stores " and " Online Customers " , located in pre-designated areas , covering 4 sq km ( 2 km x 2 km )

We are in talk with www.What3Words.com , to enable precise delivery through your 10th floor window  !

These drones will get their " Delivery Instructions " directly from our Web Server , for all ONLINE orders

When these drones arrive at your Store to pick up the items ( to be delivered ) , they will transfer ( Blue Tooth / NFC ) and display on your Computer screen , following data :

#    Online Order Number / time / date

#    Items covered with description / value of each

#    Customer Name / Address 

#    Mode of Online Payment / Bank Details 

#    Your online account CREDIT details , giving,

     ( Sales Value ) - ( Purchase Price )  

    " Purchase Price " of goods in your stock will be

     based on FIFO method

=========================================================

FINANCE  :

As explained earlier , you will have a bare minimum need for " Working Capital " , since all of your stock will be on " Consignment " basis

We will collect the " ONLINE  PAYMENTS " directly from the customers and " Credit " the same to your " online sales account " with us

Against same account , we will " Debit " the " purchase price " ( price at which you purchase the merchandize from Reliance ) of the goods sold

Our server will also take care of all GST payments and filing of GST returns

As far as OFFLINE sales is concerned , all the data captured through POS terminal will get transferred to our Central Server


=========================================================

MARKETING  :

Not only will we carry out all marketing for your ONLINE sales , we will help you with your OFFLINE marketing , through introduction of the following technology-enhanced features :

#   Arranging a better display of merchandize on your shelves / re-arranging of shelves


#  Introducing Augmented Reality ( AR ) for clothes / fashion goods in " Trial Rooms " for giving the customers , an experience of " touch - feel - looks "

#   Introducing Robots to answer customer inquiries

#   Eliminating " Check Out Counters " , based on " Payments through Bio-metric Recognition " of customers

#   Embedding RFID sensors in each item of merchandize and RFID readers embedded in Shopping Carts

#   Improving your window display thru rotation

#   Introducing music

#  Eventually replacing " Physical " merchandize with " Holographic Display " of merchandize on your store shelves !

 

 

 

30  Oct  2018

www.hemenparekh.in / blogs