Categories
Sales

10 Ways to Reduce Lead Time, Increase Customer Satisfaction, and Improve Cash Flow

Reduce Lead Time, Increase Customer Satisfaction, and Improve Cash Flow
Reduce Lead Time, Increase Customer Satisfaction, and Improve Cash Flow.

Transformation in the retail business of buying or selling has transformed the business operation. Today, companies are fulfilling customer needs and demands via prompt delivery options, delivery of excellent services and more.

The success of the business is determined by many factors, however lead time, increased customer satisfaction and improved cash flow are the primary key factors in the process.

In this article, we will discuss the ways to reduce lead time, increase customer satisfaction and improve cash flow simultaneously in the business.

Your lead time is important and reducing it can have a major impact on your business

Different Ways To Reduce Lead Time, Increase Customer Satisfaction & Improve Cash Flow

  • Found Diversified and Remove Unreliable Supplier:
    Diversified suppliers help maintain quality supply practices to achieve better performance in quality, flexibility, reliability, cost and design. The materials not only can be sourced from international suppliers, but also many raw materials can come from domestic suppliers.  It helps in quickly reducing the lead time.
    Pro Tip: If you are looking to change your product, always ensure to be stocked with enough inventory to get through the changeover period. This will reduce the chances of inventory deficits and help to run to the new supplier more quickly.
  • Choose Close-By Vendors:
    In the global marketplace, access to more than one vendor has become an easy task however, while chasing the best price from the suppliers across the globe, it leads to waiting for weeks for products to be shipped overseas. This increases the lead time and also complicates the process of returning faulty or unwanted products. One of the easiest lead time reduction strategies for suppliers is to give property to the vendors located nearby to your warehouse or manufacturing plant.
    Tip: If you are unable to find a local supplier that can compete on price, consider placing larger orders but frequently from international vendors and keeping a large inventory in hand.
  • Share Demand Forecasts With Suppliers:
    In an industry that naturally fluctuates its orders monthly, the suppliers must prepare for larger-than-normal orders. It helps in understanding the expectation of increasing demands of products as early as possible. As a result, it gives a message to the buyer that suppliers are not only prepared to handle an exceedingly larger order but also prepared for a quick delivery order.
  • Make In-house External Processes:
    External processes increase efficiency, reduce costs and gain more control over business operations. Setting up the In-house external processes ensures all facilities are under one roof and decreases outsourcing the products from third-party suppliers. This requires a significant investment upfront but the long-term saving makes the financially feasible. So, by keeping everything in-house, you can ensure that your team is trained to handle every aspect of your business with precision & expertise, infrastructure for growth allows you to scale with profits.
  • Automate Orders Increase Workflow:
    Having a raw material gives a kickstart to start the production process, however, poor performance leads to suffering in lead time. Before setting up the production house, consider these pointers:

    • How much time it takes you to get customer purchase orders in the system?
    • How much time does it take you to move engineering change of orders from production and QA?
    • How often has the process stopped as a result of internal miscommunication?
    • How many times do the orders get lost entirely?
  • Multitasking of Things:
    For better results, certain processes have to be completed before others can be started and there will be no way around it. Therefore, identifying processes where individuals can complete tasks at the same time. It increases productivity and reduces the lead time even further.
  • Enhance Internal Communication:
    Communication and order processing is an “all hands on deck” process, however, not collaborating well internally will create unnecessary delays in the production process. Using order entries as an instance, if your process involves multiple steps that require input from several people. This will increase the chance of wasting time, especially if you’re using paper documents that are difficult to track. Keeping paper-based projects sitting on someone’s desk can increase lead time and the likelihood of losing important documents.
    Poor communication is a significant challenge, often a symptom of deeper issues, but manufacturers have several options to eliminate bottlenecks. One solution is implementing a workflow system that immediately routes order-related documents from one department or user to the next. It notifies users that a project needs their attention.
  • Improve Communication With the Customers:
    As per the studies, communication is the primary key to increasing customer satisfaction and loyalty however, it reduces the lead time. Keeping the customer up-to-date about the orders, increases their trust and loyalty towards the supplier. Sending order notifications with the automation of technology decreases the efforts and increases satisfaction.
  • Eliminate Bottlenecks:
    Improving efficiency and accountability can reduce lead time and increase customer satisfaction. Bottlenecks such as running processes in series, multiple hand-offs between departments, machine breakdown or changeover should be eliminated for better results. Running processes in parallel, consolidating tasks in one department, performing schedule maintenance and more should be implemented instead of bottlenecks.
  • Improve Cash Flow and Liquidity:
    By analyzing sales data across multiple channels and taking into account current market conditions, you can improve the accuracy of your demand forecasts. This, in turn, can help you plan your inventory requirements more effectively for future sales. By avoiding overstocking, you can operate with less capital tied up in unsold inventory sitting around in the warehouse.

One of our biggest accomplishments has been setting up real-time inventory tracking systems, which enable us to track inventory levels accurately. “This approach reduces the chances of running out of stock or experiencing an overstock situation”- Priyanka Swamy of Perfect Locks. 

In conclusion, reducing lead time, increasing customer satisfaction, and improving cash flow are crucial factors for the success of any business. By implementing the strategies discussed above, such as diversifying suppliers, choosing local vendors, sharing demand forecasts, setting up in-house external processes, automating orders, multitasking, enhancing internal communication, and improving communication with customers, businesses can achieve these goals simultaneously.

These strategies require some upfront investment, but they can lead to significant long-term savings and increased profitability. By focusing on these key factors, businesses can stay competitive in the ever-changing retail industry and continue to meet the evolving needs and demands of their customers.

You can read this story in Hindi on our Hindi news. – कैश फ्लो में सुधार लाने के 10 तरीके

leadership funnel program by vivek bindra

Categories
Strategy

What is the BHAG (Big Hairy Audacious Goal) Goals Framework in Business?

BHAG Big Hairy Audacious Goal
BHAG Full form is Big Hairy Audacious Goal.

The Big Hairy Audacious Goal (BHAG) framework is a long-term goal-setting framework introduced in the book “Built To Last Successful Habits of Visionary Companies” by Collins and Porras. This framework aims to create ambitious, inspiring, and challenging goals that can drive a company’s growth and success for 12-15 years.

BHAG goals are categorized into four different types, including target-oriented BHAG, competitive-oriented BHAG, role model BHAG, and internal transformation BHAG.

In this article, we will understand the categories of BHAG Goals in Business:

Categories of BHAG Goals:

 

  • Target Oriented BHAG:
    In this category, the goal is to achieve predetermined targets such as reaching a $1 billion valuation of a company in 5 years and becoming a unicorn company. It varies from organization to organization. Achieving a specific goal within a certain timeframe ensures better time management and good results. For example, ‘Microsoft’ target was to ‘A computer on every desk and in every home,’ and ‘Walmart aimed to reach $125 billion in sales by 2000.
  • Competitive Oriented BHAG:
    This category involves overtaking top competitors, where the organization faces competition with larger organizations. For example, in 1960, Nike’s original goal was to surpass Adidas, and NASA’s goal in 1970 was to reach the moon, competing with the USSR. Notably, individuals like Sir Richard Branson, Jeff Bezos, and Elon Musk competed to become space astronauts. Sir Richard Branson reached space before Jeff Bezos on July 11, but Jeff Bezos, being competitive-oriented, broke the Guinness world record in 2021.
  • Role Model BHAG:
    In this category, the goal is to become a role model. For example, Harvard University is much older than Stanford University, however, both universities hold the same position in the market.
  • Internal Transformation BHAG:
    To remain competitive, internal transformation is crucial for businesses. It creates positive change in the business model. For example, Netflix transitioned from DVD mailing to an OTT platform. Another example is Google, which underwent a small transformation to become the top browser in the world.

Internal transformation should be:

  • C- Compelling and Exciting
  • A- Action-oriented
  • D- Decade (minimum 10 years plan)
  • I- Innovative

In conclusion, the BHAG framework is an effective tool for businesses to set and achieve long-term goals that drive growth and success. By categorizing BHAG goals into different types, companies can tailor their approach to goal-setting based on their specific needs and objectives. Whether it’s achieving a specific target, outpacing competitors, becoming a role model in the industry, or transforming their internal operations, the BHAG framework can help businesses achieve their goals in a compelling, exciting, and innovative way.

lfp event by vivek bindra and bada business

Categories
Startup

10 Ways to Raise Funds for Startups in India

10 Ways to Raise Funds for Startups in India
10 Ways to Raise Funds for Startups in India

Money is the bloodline of business and funds are like the vein. However, lack of funds is one of the common reasons for the downfall of any business. This long meticulous yet thrilling journey from the idea to revenue-generating business needs a fuel named “Capital”. Therefore, at every stage of the business cycle, entrepreneurs ask one major question- “How to Finance business” However, the answer remains the same, where to find it?

In this blog, we will share 10 ways to raise funds for startups in India.

Ways to Raise Funds for Startups in India:

 

  1. Bootstrapping:
    Bootstrapping, also known as “Self-funding” is considered to be one of the risk-free ways to kickstart any business. The initial problem for any business is arranging funds while some arrange it from their savings or take it from daily. This step will grant complete control to the founders and could limit the growth of the business.
  2. Crowdfunding:
    Crowdfunding is one of the easiest and newest methods to collect funds from multiple investors through social media sites or web-based platforms. These funds are raised for various purposes like social causes, charities, ideas, disaster relief, events and more. This idea of raising funds for business promotes social and cultural causes.
  3. Business Incubator:
    Business Incubators are the early-stage option for raising funds for business. They are like the parents of the business that nurture it by providing shelter tools, training and networking businesses. Helping to assist nurtures a business to walk, this program normally runs for 4-8 hours and requires a time commitment for business owners.
  4. Venture Capitalists:
    VCs (Venture Capitalists) play a pivotal role in an organization’s ecosystem. They fund early-stage companies with high growth potential and better success. Drawn to make clear and ambitious long-term goals, resilient business model, demonstrating a robust and making strong and competent team, VCS invested in startups expects to secure high returns in future.
    Note: VCs avoid investing in a startup’s initial or later stages when the competition is igh in business.
  5. Peer-to-Peer Lending:
    Peer-to-peer lending is a form of money borrowing with no intermediate involved in the process. In this, the lenders lend money to borrowers for their investment purposes and borrowers get money at their disposal to invest in the business. This way, the lenders earn from the borrowers because the interest rate is higher as compared to banks, NBFCS and MFIs.
    This lending is regulated by RBI to avoid miscommunication between borrowers and lenders.
  6. Strategic partnerships:
    Partnerships with the companies can benefits to infuse funds and resources for startups. They open up the door to new markets and technologies, however, aligning a goal and maintaining a balance between partners can be challenging and also require careful negotiation.
  7. Credit Cards:
    Credit cards are the easiest source of raising funds in business. Easily available after completing few steps, this card can be a course of quick money. However, interest rates and costs on the cards increase quickly and carrying that debt can be detrimental to a business owner’s credit.
  8. Angel Investor:
    Angel investors are individuals who have surplus cash and are interested in investing in new start-ups in India & worldwide. However, the risk involved in this is more as compared to loans offered by financial institutions. These investors invest higher returns for profit.
  9. Business Loan (Private/Public Sector):
    Banks are considered to be the source of raising funds for start-up enterprises with reliability and better conveniences of getting good amounts. They provide funds to the business in two forms, loan and working capital loan. The majority of the banks offer loans to both public and private sectors, however, they vary in interest rates, loan payment, repayment tenure and more.
  10. Government Loan Schemes:
    The government launches various schemes to help start-ups, SMEs, and MSMEs as well as promote the socio-economic growth of rural India, women entrepreneurs, educated youth, individuals from SC/ST category and more. The initiative by the Goverment of India to help start-up enterprises includes the MUDRA Loan Scheme under Pradhan Mantri Mudra Yojana, Start-up India, PSB Loans in 59 minutes, Credit Guara Fund Trust for Micro and Small Enterprises (CGTMSE), Atal Innovation Mission, Make in India, etc.

 

Categories
News

New Rules Come into effect in India from 1 April 2024

new rules came from 1 April 2024
New rules implemented from April 1st 2024 in India, know what will be the effect on you?

The 1st of April, every year marks the beginning of a new financial year. However, this year no major changes have been announced by Finance Minister Nirmala Sitharaman in the Income tax slab rate in interim budget 2024 in February other than the income tax slab.

The changes in the new tax regime were announced in last year’s Budget (2023) which is applicable in the current financial year (2024-2025). However, the new tax regime is now the default option for taxpayers but the option of choosing the old regime is still intact. This has made the new tax regime attractive for individual taxpayers.

New Tax Regime Table:

Income Tax Slabs Income Tax Rate%
From 0 to 3,00,000: 0
From 3,00,001 to 6,00,000: 5%(Tax Rebate under 87A)
From 6,00,001 to 9,00,000: 10% (Tax Rebate under 87A till 7 Lakh)
From 9,00,001 to 12,00,000: 15%
From 12,00,001 to 15,00,000: 20%
From 15,00,001 to above 30%

New Rules Came Into Effect From 1st April:

  • The basic exemption limit increased from 2.5 Lakh to 3 Lakh in the new tax regime. 
  • The standard deduction of Rs 50,000 which was earlier applicable in the old tax regime, has now been introduced in the new tax regime for salaried and pensioners. This helps in reducing taxable income under the new system. 
  • The Rebate under Section 87A has increased the taxable income by Rs 7 lakh which provides a rebate of Rs 25,000 from 5 lakh which provides a tax rebate of 12,500. This shows the individual opting for a new tax regime and having a taxable income of up to Rs 7 lakh will not pay any taxes. 
  • Under the new tax regime, the highest surcharge rate on income 5 cr or above has been reduced from 37% to 25%. 
  • This new regime has reduced the number of income tax slabs from six to five. 
  • Family pensioners can claim a standard deduction of Rs 15,000 in the new tax regime. 
  • The maturity income from life Insurance Policies (issued on or after 1st April 2023) and total premium exceeding Rs 5 lakh will be subject to taxation. 
  • The leave encashment tax for non-government employees has now increased to 25 lakh from 3 lakh.

1st April Brings New Changes:

  • The minimum contribution to NPS (National Pension System) has increased from Rs 500 to Rs 2000 and this change will apply to the age group of 18-25 years. 
  • KYC is mandatory to use Fastag. 
  • SBI has increased the annual fees on Debit Cards
  • The annual maintenance fee of the Pride Premium Business Debit Card will be Rs 425 including GST. 
  • LIC has introduced the Protection of Policyholder Interest Regulation. The changes include new guaranteed surrender value, premium payment options, and more.
Categories
News

Changing the E-commerce landscape via digitalization in FMCG

Changing the E-commerce landscape via digitalization in FMCG
Changing the E-commerce landscape via digitalization in FMCG.

India is the fourth-largest sector in Fast Moving Consumer Goods (FMCG). With the need for access to affordable services in today’s dynamic world, innovation proves to be a turning point for growth. However, Digital transformation turns out to be a game changer to align the requirements of both suppliers and consumers. 

Digitalization paves the way for a dramatic change in the process of running of FMCG company. Although many people link digital transformation with software to manage production, it not only affects the FMCG industry but also incorporates managing systems, efficient data collections, retailers’ profits, and consumer experience. 

Digital Conversion: Better Globalization and Reach

The better use of digitalization has made FMCG products reach beyond geographical boundaries. As per the reports of the Department of Applied Economics, University of Lucknow, the FMCG sector will grow by 13-14% over the next five to ten years, expected to reach a value of $220-240 billion by 2025 only through digitization.

Moreover, the rise of the E-commerce industry has broken down the chain of physical appearance of the seller and the consumer. This contributes to pulling more customers worldwide with good profit and earnings.

Ease Down The User-Friendly Interface With Better Customer Engagement

Digitalization has proven to be one of the pivotal factors for the success of consumers. With the new technological innovations of AI, the gathering, and analysis of data on consumer behavior, history, market trends, customer customer-friendly interfaces have made it easy to set the demands of consumers. This user-friendly interface aids with the necessary changes such as approaches to campaigns, customer engagements and services. Similarly, the appearance of E-commerce services has made the comparison of products available in the market along with the prices and the friendly interface acts as cheery on the cake for better customer engagement.

No Barrier or Middleman means No Chain!

The E-commerce platform has developed with an innovation of the B2C model that indicates a direct connection between the company and the customers. This eradicates all the middlemen and retailers. Similarly, digitization acts as a supportive bridge for FMCG to directly coordinate with customers to collect relevant data and reviews.

This creates a safe sphere for the brands to control their product services, consignment money, and command over their brand reputation which often gets deferred by the middleman. 

An AI Intervention in the Digitalization of Data

As per the reports of Statista.com, 33% of consumers prefer express delivery options, however, AI has changed the traditional shopping experience of customers by quickly and accurately analyzing data and revolutionizing the online purchase of products. FMCG has easily produced a personalized experience model for consumers. 

AI in online shopping not only serve the best customer experience but also helps in making important decisions by predicting future trends and market needs. The data systems can also look through lots of data to find patterns and understand what customers do. 

Enhance Inventory: Organized Data and Less Management

Technology is the way to open a business efficiently, especially in the FMCG industry, it has been useful in every sector of the business such as the supply chain, stock management and more. Thus, using digital tools and technology will help the other parts of the business work better like keeping track of money and smoothen the places where things aren’t working smoothly.

Categories
Technology

Johnson & Johnson and Nvidia Join Hands to Develop New AI Applications for Surgery

New AI Applications for Surgery
Johnson & Johnson and Nvidia Join Hands to Develop New AI Applications for Surgery.

On 18 March, Johnson & Johnson announced their collaboration with Nvidia to integrate new AI devices and platforms for pre- operation to post- operation. These new-scale artificial intelligence devices help surgeons to have all the information under one roof, said Kimberly Powell, Nvidia’s vice president of health care. 

Many companies have been using AI to analyze surgical videos and are helping in the automation of time-consuming documentation after a procedure. However, combining artificial intelligence with machines will make the task easier. “Nvidia has been working in medical devices and imaging for more than a decade”, said Powell.

The MedTech unit at Johnson & Johnson creates tools and solutions for major conditions that are commonly spreading within people such as kidney failure, heart failure, and stroke. 

Their technology has been used in more than 75 million cases every year. Moreover, Shan Jegatheeswaran, Vice President & Global Head of Digital at Johnson & Johnson MedTech, said “One minute of surgical video is equivalent to 25CT scans. So, having computer power and infrastructure will help to annotate and share video widely to the surgeons.”

Powell further states in an interview, “There’s an ability to use all the sources of data inside an operating room, whether it’s your voice, or whether it’s the video coming from a camera inside the body, or elsewhere, to take advantage of the generative AI moment that we’re in.”

In the shorter term, de-identifying and enhancing the videos will help in the education and training of surgeons whereas in the longer term, analytics will be layered on top of video for real-time decision support.

The more accessible surgical video ensures less dependency of the residents on the insights and availability of more experienced physicians at their institution. Jegantheeswaran in continuation said, “Think about athletes. They look at game tape, and they get better over time as they look at themselves, That’s sort of the starting point. That’s the holy grail in the short term.”

Powell further states, “The collaboration is in the “early innings” and many applications are in the process for fine-tuning and safety implementation”, However, nondiagnostic cases such as automating paperwork will reduce the surgeon’s time and make a difference “right out of the gate.”

Powell concluded with, “I think all of us as patients should get excited about the fact that this kind of technology is going to be able to enter in and be within reach of all the clinicians and all the hardworking nurses and all the health-care staff, They’re going to have the very best tools and information at their disposal.”

Bounce back delhi by vivek bindra

Categories
Strategy

How to Write a Business Plan in 2024?

Business Plan
How to write a Business Plan in 2024.

India has emerged as the 3rd largest ecosystem of startups globally across 763 districts of the country by 2023. However, taking business to the heights of the mountains required a roadmap, formally known as a Business Plan.

As per the report of the New England Journal of Entrepreneurship, 2021, the act of creating & writing a business plan is correlated with measures of growth and success. Therefore, a Business plan embraces the power of strategic planning and leads to the prosperity of any venture.

In this article, we will look into the process of writing an effective business plan and why it is required for the growth of a business.

What is a Business Plan?

A business plan is a pivotal document in the business that provides immense value for new and existing companies of all sizes. It includes an outline of the business, its key objectives, and upcoming plans and goals. Covering concepts such as market analysis, financial projections, and organizational structure, this plan becomes a source of help for financial institutions and investors.

Similarly, by jotting down the information that can be used to communicate strategic actions to the internal team or attract interest from potential partners and investors, business plans come into play. However, creating a business plan can take time and effort, including lengthy and involved processes.

How to Write a Business Plan?

Drafting a Strong Executive Summary

The section of a business plan should start with an executive summary. It should include 1-2 pages in length that help the potential financiers or partners to get an overview of the business. The business overview should cover the company’s name, location, mission statement, and planned products & services. Although this is the initial part of the business plan, it can be formulated at the end while creating a business plan.

A Detailed Company Description

The detailed company description opens the doors for the readers who might also include potential investors or partners which will provide a clear understanding of the company. This also allows communication of the unique attributes of the business and its offering to meet the current market.

Create Financial Plans

The best way to seek investors and funding is to present financial plans and financial forecasting. It is knowing about the next five years’ plans and their usage of it. It should include forest income statements, balance sheets, cash flow statements, and capital expenditures.

List the Products & Services

The products and services should be well-defined for the investors. The purpose of this section is to design a compelling case for the offering and its needs to meet the target market. The list of products and services should include the following:

  • Competitive advantage and customer benefit.
  • Price Strategy
  • Development stage of the product and offering
  • Life-cycle of product
  • Intellectual property such as patents, trademarks, or copyrights.

Marketing and Sales Strategy

Marketing and sales are an integral part of any business. It helps in the growth and success of the business shortly. Once deciding the customer persona, working on reaching them is the second step. The customer hangout on social media apps such as Facebook, Instagram, Pinterest, Twitter, or LinkedIn helps in understanding the customer and in formulating the sales strategy. This strategy includes:

  • Target market needs and motivation of customers. 
  • Position of Brand
  • Distribution channels
  • Outsourcing needs for the products
  • Secured market partnership
  • Customer relationship management

SWOT Analysis

SWOT (Strengths, weaknesses, opportunities, and threats) analysis works on the overall analysis of the customer. Jotting down all the parameters gives investors and partners confidence that it won’t bury their heads in the sand. This should include: 

  • Reputation
  • Technology
  • Location 
  • Experiences of customers
  • Staff and suppliers

Understanding Competitors Analysis

Understanding the competitor’s upcoming projects and analysing them ensures staying in the market for the long run. It includes:

  • Cost leadership by offering lower prices than the competitors.
  • Differentiation in services and products from the current cost leaders. 
  • Segmentation helps focus on a specific or niche, target market and aims to build traction with a smaller audience before moving on to a broader market.

Making Customer Retention Strategy

The business’s success relies heavily on the relationship with the customers. While making a customer retention strategy, consider the following pointers:

  • Business capacity to increase the number of repeat customers. 
  • Working on referral or loyalty programs.
  • Understanding the follow-up of post-purchase in place
  • Conducting surveys to track customer satisfaction
  • Ways to find and deliver outstanding customer service.
  • Jot down the way to continue adding and educating value to the customers.

Making an Exit Strategy

Exit strategy helps the financial stakeholders to take a return on investment. For example, adding pointers in the business plan when to sell the company at some point or going public. Similarly, outlining the succession plan ensures the business operates well in the future. Documenting all the details ensures that everyone is on the same page and that potential investors have this information upfront.

For better results and growth of the business, jotting down the information, planning, and executing the business plan is crucial. This ensures that all information and resources are at your fingertips and doesn’t create any pressure for last-minute hassle. A well-thought-out business plan can avoid generic information and ensure better growth.

Categories
Motivational

Mohammad Ali Shihad: Cracked UPSC Exam While Staying In Orphanage

Success-story-of Muhammad Ali Shihab
Success story of Muhammad Ali Shihab

In India, Millions of students participate in the UPSC exam each year where only a few applicants get an opportunity to fulfill their dreams. However, clearing this gigantic exam is not everyone’s cup of tea. Achieving success in the UPSC Civil Services Exam is a formidable challenge. Often, candidates encounter disappointment even after multiple challenges.

In this article, we will discuss one such man who sets a perfect example of overcoming hardships and clearing India’s toughest exam. 

Failing twice in the Civil Services Examination, a resident of Kerala creates history by passing the third attempt and becoming an IPS officer. However, his journey since his childhood was not easy. He spent 10 years of his life in an orphanage, despite hardships, he has come up as an inspiring person for those who are afraid of failures in life and are unable to fulfil their dreams. 

Rise From The Shadow of Darkness.

Despite being raised in unfavourable circumstances, Shihab kept moving forward. Born on March 15, 1980, his parents were Korot Ali and Fatima. To obtain the bare minimum for their livelihood, he used to sell betel (paan) and bamboo with his father, however, this continued for a while. 

He lost his father due to an illness in 1991 at a very young age. He was the youngest among a sister & brother and eldest among two sisters. After his father’s demise, the responsibility of the family fell on his mother’s shoulders. Managing the four children becomes a challenge for her which leads to financial constraints. This resulted in her sending all her children to an orphanage at a very young age. Shihab spent 10 years of his life in an orphanage. 

Cleared UPSC Exam In Third Attempt

Shihab was the brightest child since childhood. Understanding the situation of his family, he decided to dedicate all his time to studying and working on enhancing his skills and knowledge in an orphanage. He also worked as a peon, a clerk, and a government school teacher. 

With numerous obstacles and failing in the first two attempts at the UPSC Civil Services Examination, he cleared the UPSC exam on his third attempt in 2011 with an All-India Rank (AIR) 226. 

Before IPS, Shihab worked as a Jail Warden 

Shihab lived his 10 years of life in an orphanage and the initial years were not easy. His higher education and expenses made him study well and made him attempt numerous government agency exams which resulted in clearing 21 exams of an agency in a row. 

In 2004, he also worked in the Forest Department, Jail Warden in the Central Jail, and Railway ticket examiner in the Railway Department.

You can read this story in Hindi on our Hindi news. – कैसे अनाथालय में रहने वाले शिहाब UPSC निकाल बने स्टूडेंट्स की प्रेरणा

Bounce back delhi by vivek bindra

Categories
Legal

What is Minutes of Meeting (MOM), its Importance & Purpose

MOM stands for Minutes of Meeting
MOM stands for “Minutes of Meeting.”

Conducting meetings and planning for strategies act as fuel for the company’s growth, however, remembering all the important pointers while having meetings is not humanly possible.

Therefore, Minutes of Meetings come in place to make the information readily available to the members.

What is Minutes of Meetings (MOM)?

Minutes of Meetings (MOM) is jotting down the important details such as specific decisions, things and goals which were discussed in the meeting. These pointers are later emailed to all the people who are present in the meeting for their better understanding and remembering of the major points that were discussed in the meeting. This helps in working on future decisions and is used in all government and non-government sectors.

The Purpose of Minutes of Meetings:

Minutes of Meetings is the official record of meeting maintained at the time of meeting and it is also present in the court as the evidence. The purpose of the meeting is to provide correct information and facts about the decision taken and the approach on the futuristic decision. These records are maintained in the books as well as on emails.

Why Minutes of Meetings is important?

  • Thoughtfully and carefully jot down notes are legally valid, forged and unclear information are consider to be providing false information to the government as well as within the organization. 
  • The correct data and facts helps in understanding the specific of the meeting and the future goals. 

How to write Minutes of Meeting?

Before writing the Minutes of the Meeting, it is very important to understand what kind of data you want to record and then write things in a focused manner.

  • Title and topic of the meeting.
  • Time and date.
  • Names of participants in the meeting.
  • Organization name of all the members.
  • A summary of each special discussion.
  • Note all significant decisions.
  • Don’t forget to write down the date of the next meeting.

Some parts of the minutes of the meeting can be written in just one line, such as title, date and time. There are some things which have to be written in detail like the agenda of the meeting, decisions taken in the meeting. So, always jot down the information correctly.

Read this article in Hindi – मिनट्स ऑफ मीटिंग

Categories
Finance

How to Accurately Calculate the Cost of Starting a Business?

how to calculate Costs of Starting a Business
How to accurately calculate the cost of starting a business?

Starting a business is an exciting step that requires careful planning. One of the key elements in this planning process is understanding and calculating the costs associated with it.

Importance of cost calculation in business:

Calculating costs in business is extremely important for many reasons. First, it provides a comprehensive understanding of the financial implications associated with starting and maintaining an enterprise. Accurate cost estimates enable entrepreneurs to make informed decisions, allocate resources efficiently, and set realistic pricing strategies. Secondly, cost calculations contribute to the creation of a viable business plan, promoting strategic planning and goal-setting. Businesses can establish budgets, determine break-even points, and assess profitability by identifying fixed and variable costs. Additionally, cost calculations are helpful in risk management, helping businesses anticipate potential challenges and allocate funds for contingencies.

A careful approach to cost calculations is not just a financial exercise; It is a strategic imperative that underpins the sustainability, growth, and overall success of any business.

In this blog, we will talk about the steps required to accurately estimate the costs of starting a business.

Calculating the Costs of Starting a Business

  1. Create a Detailed Business Plan:
    Before diving into the financials, it’s crucial to have a well-thought-out business plan. Outline your business goals, target market, products or services, and the overall strategy. A solid business plan serves as the foundation for estimating costs and helps identify potential challenges.
  2. Identify Start-Up Costs:
    Start-up costs are the expenses incurred before your business is operational. These include legal and registration fees, licenses, permits, lease deposits, and initial inventory. Consider all the one-time expenses necessary to get your business off the ground.
  3. Estimate Fixed and Variable Costs:
    Differentiate between fixed and variable costs. Fixed costs remain constant regardless of your business’s level of activity, such as rent, utilities, and insurance. Variable costs fluctuate based on your business’s production or sales, such as raw materials, labor, and marketing expenses. Understanding these distinctions is essential for accurate financial planning.
  4. Labor Costs:
    Determine your labor costs, including salaries, wages, benefits, and payroll taxes. If your business requires skilled professionals, research industry standards to ensure competitive compensation. Factor in hiring costs, training expenses, and any temporary or freelance labor needed.
  5. Technology and Equipment:
    Consider the technology and equipment required for your business operations. This could include computers, software, machinery, or specialized tools. Research and obtain quotes for both purchasing and leasing options to make informed decisions.
  6. Marketing and Advertising:
    Investing in marketing and advertising is crucial for attracting customers. Allocate funds for website development, promotional materials, digital marketing campaigns, and any traditional advertising methods relevant to your target audience.
  7. Legal and Regulatory Compliance:
    Complying with legal and regulatory requirements is a non-negotiable aspect of starting a business. Budget for legal fees, permits, licenses, and any other compliance-related costs specific to your industry.
  8. Contingency Fund:
    No matter how detailed your calculations, unforeseen expenses may arise. Establish a contingency fund to cover unexpected costs or to navigate through challenging times. A buffer ensures that your business remains resilient in the face of uncertainties.
  9. Professional Advice:
    Consider seeking advice from financial advisors, accountants, or business consultants. Their expertise can provide valuable insights and ensure your financial calculations are thorough and accurate.
  10. Review and Revise:
    Periodically review and revise your cost estimates as your business evolves. Economic conditions, market trends, and internal changes can impact your financial projections. Regularly updating your estimates will help you make informed decisions and adapt to any unforeseen circumstances.

Calculating the costs of starting a business is a critical step that requires careful consideration and thorough research. By following these steps and maintaining a realistic approach, you can create a robust financial plan that sets your business up for success. Remember, the key to effective financial management is ongoing monitoring, adaptation, and a commitment to staying informed about the financial health of your business.