Month: October 2014

Internet of Things ( IoT )

Shabbir Chunawalla

Internet of Things is the next wave of the internet. Here billions of objects detect one another, communicate and co-operate with one another over the internet. One can make these objects perform a physical task e.g. opening a door, turning on a conveyor belt or opening/closing valves in a hydro-electric turbine in response to command that comes across the internet. IoT is a catchy name for a loose category of applications that involve identifiers, sensors and actuators working with one another and the IT systems. Previously the idea evolved over different names—object internet and machine-to-machine ( M2M ). In the 1990s, the radio-frequency-identification ( RFID ) was more common. There was realisation that if objects were to have their unique internet address, the standard IPV4 would be inadequate. A new standard IPV6 was developed to expand the available number of internet addresses. There were smart meters called advanced metering infrastructure ( AMI ) in the utility industries. Motes or smart dust are small, self-contained chips that can be scattered across a wide area, and integrate one or more sensors with radio and battery. They establish communication among themselves to create an ad hoc network. They can monitor the environment and raise an alarm when they detect an abnormal condition. IoT as a concept has evolved technologically across the applications quoted above. It is not a single technology which can be lifted off the shelf.

In order that IoT succeeds and becomes a reality, we have to focus on the following factors.

Accelerated innovation in hardware capabilities, issues of size, weight and power ( SWaP ), memory and battery life.

Design challenges as the devices are always on, issues of mixed signal, low power, SIP or system-in-package.

Standardisation as there is a lack of standards governing IoT. This will improve inter-connectivity, and simplify product development.

Cost and turn-around time which are critical for success. Cost management should be done by frugal engineering. The system should be set up in the shortest time.

Eco-system collaboration with eco-system partners to develop practical and reliable solutions in a reasonable time frame. There should be collaboration among semiconductor designers, vendors, IP providers, foundries and other players.

Modelling and Ageing

Shabbir Chunawalla

In fashion,  modelling, and glamour industry, women were judged ruthlessly beyond the age of 25. China Machado, however, is changing all this stereotyping. She is now 82 ( 2012 ). She became muse of the well-known photographer Richard Avedon in the 1950s—1960s. She shows her wrinkles to the world with elan. She appeared in HBO documentary About Face. In this documentary, the other supermodels and actresses featured are Jerry Hall, Cheryl Tiegs, Beverly Johnson, Isabella Rosellini, Christy Turlington and Carl Alt. China Machado currently works on print assignments. According to her, one should learn what to wear to look good at any age. She is the first non-Caucasian woman ever to appear in a major American fashion magazine in 1958. She says that what is more important is feeling beautiful rather than looking beautiful. She attributes her strength to the gift of laughter which she has inherited from her mother’s side. A model has to reinvent herself to keep pace with the times.

Duster : Consumer Psychology

Shabbir Chunawalla

Cars are aspirational products bought more for their image than only for their functionality. This is more so for an SUV. An SUV may not be the right choice for a rational customer doing cost-benefit analysis. SUVs are big, unwieldy and difficult to manoeuvre in cities. They are high on maintenance and low on fuel efficiency. It is psychology and not economics that drives SUV buying. There are functional benefits of SUVs—more space, off-roading capabilities, more power and flexibility of use. However, many customers never go off road, Renault understands this consumers psychology. Duster has flared wheel arches, muscular body, roof rails, raised suspension and big tyres—all these create the right image. Being small, it removes limitations of a large SUV. Duster delivers value-for-money of price, convenient handling and mileage. It has opened a new category..

Use of Focus Group by Product Development

Renault designed Duster by relying on Focus Group of around 200 people whose profile matched the potential buyer of Duster. It then short-listed 30 families from this focus group across five Indian cities for an ethnographic study spread over two months. The product development team during this period, lived with their target customers to understand their needs and lives. They also assessed their likes and dislikes about their vehicles.

The European Duster, according to this study, required 41 modifications. The critical purchasing factor, they understood, of a car in India is the exterior design. People love an SUV with a rugged look that stands out in a crowd. At the same time, it should function operationally like a sedan — easy to drive, and giving good fuel efficiency. The Indian consumers prefer lot of chrome on their cars. They like body-coloured bumpers. Inside they like a dual-tone interior. The power-window switches should be on the door rather than on the central  console. The rear seat need better treatment. There should be inclined seats for comfort. Rear air-conditioning was critical. There should be arm-rests, a mobile charger and a reading light. Some storage space is welcome.

The car was modified to suit Indian conditions. The suspension was reinforced to tackle tough Indian roads. More brackets were added to the doors as they were handled roughly. The engine was tuned to meet the quality of fuel in India and deliver a high efficiency of at least 20 kms per litre.

A customer clinic was organised after initiating the changes. The feedback was sought. It showed that the company is on the right track.

Lupin Uses IT in Sales

Shabbir Chunawalla

Out of its 15000 employees at Lupin a third are on the field.The idea is to have a doctor call reporting systems, chemist reporting, leave, expense and even performance appraisals through tablets. Lupin has eliminated paper work by using a doctor call reporting system instead of paper reports field staff use now. The reporting software to send virtual reports that includes doctors’ feedback on new drugs is being used by Lupin. It has also introduced an SMS-based anti-counterfeit solution. The  medicines from Lupin display a code which can be texted to Lupin to authenticate it.

Digital Marketing Trends

Shabbir Chunawalla

These can be divided into macro and micro trends. Peter Kim, the chief digital officer of Cheil Worldwide identifies these trends. He speaks about three macro trends.

# there will be participation, rather than just interaction

#from too much data and information, people ask for meaning

# marketing has become real time

He has identified five micro trends.

#Instead of consumers, the brands are in the driver’s seat

#Everything is shoppable

# Data leads to mass personalization

# Interconnectedness of things and eco-system

# Sharing economy

  Camel Milk

Shabbir Chunawalla

Camel milk is sold in the Gulf countries as health drink. It is flavoured. Camel milk is shown to reduce the blood sugar level. It has three time more Vitamin C and ten times more iron than the cow milk. It is rich in unsaturated fatty acids and Vitamin B. It is as nutritious as human breast milk. Camel milk is also sold in the African countries as a health food. In 2013, the European union permitted the import of the camel milk from the Emirates.

In India, camel milk has been used for generations by the desert nomads. It is privately sold in Udaipur and Bhilwara districts of Rajasthan. It is popular among foreign tourists. The League for Pastoral Peoples under its aegis runs Lokhit Pashu Palak Sansthan ( LPPS ) in Rajasthan. It aims to revive the fortunes of camel breeders of Rajasthan. They developed and tried to market a range of camel milk products—fresh milk, pasteurised milk, ice cream and curd—in Jaisalmer district but they could not scale up.

The state of Rajasthan has passed Camel Bill, 2014 to discourage sale of camels for meat and trade across borders. But camels can be saved only if the camel breeders have a decent income. To have such an income, camel dairying is the only option.

Meanwhile, LPPS is making camel milk soaps which are very popular at fairs, such as the Pushkar fair and at Nature Bazar in Delhi. They have the ice cream making facility on their campus at Sadri.

The GCMMF which markets Amul is ready to process 5000 litres of camel milk at its Kutch project. The product will be first launched in Ahmedabad, and then the rest of Gujarat. At the initial stage, they will source milk from camel breeders in Kutch and Bhuj and later from Rajasthan. In theory, Rajasthan could produce about 1 lac litres of camel milk per day. If we add up Gujarat, it comes to about 1.5 lac litres.

The Food Safety Standards Authority of India ( FSSAI ) has to set the standards for camel milk. In 2000, the SC has ruled that camel milk is fit for human consumption. The Milk and Milk products order still recognises milk only from cows, buffaloes, sheep, goats and combination thereof.

Camel milk is beneficial in curing life style diseases.

Calvin and Hobbes

Shabbir Chunawalla

Calvin and Hobbes is acknowledged as one of the greatest comic strips of all times.Its creator is Bill Watterson. The last strip was published on New Year’s Eve, 1995. The strip was ended because Watterson was frustrated by the compromises he had to make as a result of the comic’s syndication. Joel Schroder is making a documentary called ‘ Dear Mr. Watterson’. It discusses the influence of the strip on other artists.

Sales Career : Difficulties

Shabbir Chunawalla

A group of 6690 job seekers was considered for a research to know their preferences for various jobs. The preference for a sales job was 10 per cent only. It was as low as 5 per cent among women.

Depending upon the industry, the attrition rate amongst the first-level sales personnel ranges from 50 per cent to 150 per cent.

What makes a sales job unattractive ? The answer lies in the rejection that a sales person encounters on a daily basis. In door-to-door sales, the doors are slammed on his face. In channel selling, the dealer or shopkeeper shows the unsold inventory, and complains about the incentives and schemes offered. The organisation wants to keep the credit period down. It weighs on the young person. The HQ pressurises a follow-up for the recovery of the amount.

Most meetings are at street corners or there is a stand up meeting in congested space. In this meeting, there is a talk of the missed targets and shortfalls in the numbers to be achieved periodically. It is a tension-filled engagement. The anxious boss spoils the dinner and sleep. Each day is a reminder to the sales person of the inadequacies. Less than 30 per cent salespeople have a happy evening.

Sales supervisors should do ‘joint selling’ but that is very rare. They do not focus on ‘how’ to achieve the targets. They are just pushy. B Schools graduates from the top schools do not accept the selling jobs.

As compared to their office counterparts, the salespeople are at a greater risk of being fired in the first two years.

The variable pay is as high as 50-70 per cent.

Organisations must do a rethink on their attitude to the sales jobs. They should be given time to learn the ropes. If they continue for a couple of years, they will be able to build referrals from captive customers and become productive.There should be patience while building up the sales force.There should be on-the-job-training, especially joint selling. Hand-holding inspires confidence and encourages competence.

The physical environment of selling cannot be changed, but sure, we can change the emotional and support environment.

New Age Marketing

Shabbir Chunawalla

How we understood a consumer has changed in the last quarter of a century. In the past, marketing was dominated by psychology, which is still relevant. But we understand the consumer now in terms of data. The management and analysis of data is now an important component of marketing. A statistician studied consumers by sampling, mostly a small number of say 100 people. Marketers now observe millions of consumers to draw their conclusions. They require computer science skills. Marketing is influenced by psychology, statistics and economics. Beyond that, it is also influenced by OR and computer science. One more area has acquired importance – sociology. There are groups of customers on Facebook. It is group behaviour and society behaviour which are important

Aston Martin Cars

Shabbir Chunawalla

These cars are immortalised by James Bond films. They are made in Warwickshire, England. Mahindra and Mahindra is bidding along with an Indian firm to own a piece of iconic  brand. Lionel Martin and Robert Bamford founded the company at Gaydon, England in 1913. Martin in Aston Martin comes from his name. The company was closed in 1928 owing to financial troubles, but was revived in 1926 by a group of investors. In 1939, Aston Martin  Atom was released. David Brawn acquired the company in 1947, and DB2 model was introduced in the same year. DB5  was launched in 1963. It debuts as Bond’s favourite machine in Goldfinger. The relationship contributes in 11 Bond films thereafter. In 1965, DBS was used in Thunderball. In 1969, it appears in  Oh Her Majesty’s Service.  In 1972, the ownership of the company changes. In 1975, the company was rescued by a consortium. The owners changed again in the 1980. In 1987, Ford acquires 75 percent stake in Aston Martin. The car appears in Die Another Day. In Casino Royale, it was seen. In Skyfall, DBS returns for its sixth appearance. In 2007, the company has been sold to a consortium of investors—Dar and Adeem. In 2011, 4200 Aston Martin cars have been delivered worldwide.