CII Communique - October, 2010

ContentsVolume 19 No. 10 October 201004 NEWSMAKERCII Mission to USA & CanadaThe CEOs mission to USA and Canada exemplifies ourdeep commitment to strengthening economic relations withNorth America.10 COVER STORYIndia’s Insurance Sector: Developing the Market,Improving Insurance PenetrationDespite tremendous growth over the past decade,India’s Insurance Sector is today at an inflexion point.CII’s 13th Insurance Summit debated the way forward inrecasting business models to align with sustainable growthobjectives.The 4th CII Health Insurance Summit deliberated on‘Collaborating to build a Foundation for Growth andSustainability.’19 SUSTAINABILITYDeveloping a Sustainability Framework for BusinessThe Business Leaders Programme emphasized thealignment of sustainable business with business strategy,to build both sustainability and business value.63 INDIA & THE WORLDEngaging with Latin AmericaAn 11- member multi-sectoral CII Business Delegation visitedLatin America to enhance ties with Brazil, Peru and Chile.23 PLUSAll our regular featuresWe welcome your feedback and suggestions. Do write to us atEdited, printed and published by Chandrajit Banerjee, Director General, CII, on behalf of Confederation of Indian Industry from The Mantosh Sondhi Centre,23, Institutional Area, Lodi Road, New Delhi-110003 Tel: 91-11-24629994-7 Fax: 91-11-24626149 Email: ciico@cii.in Website: www.cii.inPrinted at Lustra Print Process. B- 249 Naraina Industrial Area, Phase 1, New Delhi - 110 028 Registration No. 34541/79JOURNAL OF THE CONFEDERATION OF INDIAN INDUSTRYcommunique@cii.in2 | October 2010 Communiqué

newsmakerindia & the worldCII Mission toUSA & CanadaA HIGH-POWERED CII CEOsmission, led by Mr. Hari Bhartia,President, CII, and Co-Chairmanand Managing Director, JubilantOrganosys, accompanied Mr.Anand Sharma, Union Ministerof Commerce and Industry, India,on his official visit to USA andCanada, in September. The CEOsmet government and industryleaders in both countries to conveythe message of enhancing bilateraleconomic and trade relations.The delegation included Mr. Y CDeveshwar, Chairman, ITC Ltd;Ms. Preetha Reddy, ManagingDirector, Apollo Hospitals; Mr.Rajan Navani, ManagingDirector, Jetline Group;Mr. Phiroz Vandrewala,Executive Director andHead, Global CorporateAffairs, Tata ConsultancyServices; Mr. DeepKapuria, Chairman, Hi-Tech Gears; Mr K R LNarasimhan, ExecutiveVice President &Country Manager,Larsen & Toubro USA;Mr. H Sriram Iyer, Head,Anand Sharma, Minister of Commerce & Industry, IndiaHari S Bhartia, President, CII, and Co-Chairman and Managing Director, JubilantOrganosys, Marshall M Bouton, President, Chicago Council on Global Affairs,and Meera Shankar, Indian Ambassador to USANorth America Operations, ICICIBank Ltd.; Mr. Chandrajit Banerjee,Director General, CII; and MsKiran Pasricha, CEO, AspenInstitute India, and Deputy DirectorGeneral, CII.“The CEOs mission to USA andCanada exemplifies our deepcommitment to strengthening US-India and India-Canada economicrelations,” said Mr ChandrajitBanerjee, Director General, CII. “Themission underlines the importanceof the economic partnership Indiahas with both countries, which willcontribute to economic revival andjob growth.”USA20-22 September:Chicago andWashington DC.In Chicago, CII andthe Chicago Councilon Global Affairsjointly organized the‘2nd Annual US-IndiaBusiness OpportunitiesSummit’ which wasaddressed by MinisterSharma.Representative Jim McDermott, with Hari Bhartia, andChandrajit Banerjee, Director General, CIIRon Somers, President, USIBC, Steven Stewart, Director- PublicAffairs, Government Programmes, IBM, and Phiroz Vandrevala,Executive Director & Head, Global Corporate Affairs, TCS4 | October 2010 Communiqué

india & the worldThe CII delegation and Mr Sharma also interacted with selectUS business leaders over a private roundtable meeting todiscuss the course of US-India economic and trade relationsand specific areas of partnership and collaboration.In Washington DC, Mr. Hari Bhartia attended the US-India Private Sector Advisory Group meeting whichprovided industry inputs to the Indo-US Trade PolicyForum meeting, which was held between AmbassadorRon Kirk, United States Trade Representative, andMinister Sharma.The CII CEOs also attended the inaugural meet of theUS-India SME Forum, which was co-organised by CIIand the US India Business Council in Washington DCon 21 September.During their visit, they also held private discussionswith select officialsincluding Mr. LarrySummers, Assistant toPresident Obama forEconomic Policy andDirector of the NationalEconomic Council;Mr. Jim Steinberg,Deputy Secretary, USDepartment of State;Ms.Lael Brainard,Under Secretary forInternational Affairs, USDepartment of Treasury;Senator RichardLugar; RepresentativeEd Royce; andRepresentative JimMcDermott; to discussthe broad India-USbilateral strategic andeconomic relationship.Chandrajit Banerjee; Hari Bhartia; Senator Richard Lugar; and TT Ashok, Deputy Chairman, CII Southern Region andManaging Director, Taylor Rubber LtdHari Bhartia; Peter Van Loan, Minister for International Trade, Canada;Chandrajit Banerjee, and Stewart Beck, Canadian High Commissioner to IndiaAt the 3rd India-Canada CEOs Roundtable in OttawaCanada23-24 September: Toronto & OttawaIn Toronto, Minister Sharma and the CII CEOs delegationmet with Ms. Preeti Saran, the Indian Consul General,and also held discussions with the Canada IndiaBusiness Council, a strong voice for boosting India-Canada bilateral relations.In Ottawa, the CEOs delegation participated in the‘3rd India-Canada CEOs Roundtable’ jointly organizedby CII and the Canadian Council of Chief Executives(CCCE) which focused on the major areas of cooperationand future engagement between Indian and Canadianbusinesses, including innovation, education, financialservices, agriculture, research and development, andenergy, among others.The roundtable wasalso addressed byMr Anand Sharmaand Mr. Van Loan,Minister of InternationalTrade, Canada. TheMinisters highlightedthe major areas ofeconomic cooperationthat need attention inboth countries andsuggested the settingup of an institutionalizedIndia-Canada CEOsForum. They alsorevealed the Canada-India Joint StudyGroup Report thatstrongly recommendeda ComprehensiveEconomic Partnership(CEPA) between Indiaand Canada.Communiqué October 2010 | 5

india & the worldCII SME Delegation visits USACII Business Delegation with Greg Ballard, Mayor of Indianapolis, USAA CII BUSINESS and Trade delegationcomprising of Small and MediumEnterprises (SMEs) visited the UnitedStates from 20-24 September to exploretrade and business opportunitiesin the states of Illinois (Chicago),Washington DC, Indiana (Indianapolis)and Ohio (Cincinnati). During theirfive day visit, the delegation met withUS Government officials includingSenator Richard Lugar, Senate ForeignRelations Committee; Under SecretaryFrancisco Sanchez, US Department ofCommerce; Mr Greg Ballard, Mayor ofIndianapolis; Mr Todd Rokita, IndianaSecretary of State, and representativesfrom the US Commercial Service,as well as the Ohio Department ofCommerce.The CII delegation was organized as part of the ‘Indo-USSME Forum’ initiative, launched by CII and the US IndiaBusiness Council, keeping in tune with the agenda ofPrime Minister Manmohan Singh and President Obamato focus on SMEs. The five fold objective was to:Increase bilateral trade and investment with particularemphasis on SMEs, between India and USA.The CII delegation wasorganised as part of the‘Indo-US SME Forum’initiative, launched byCII and the US IndiaBusiness Council, intune with the agendaof Prime MinisterManmohan Singh andPresident Obama tofocus on SMEsSMEs, in the businesses they representvis-à-vis the scenario in USA business alliances with counterpartSMEs/ OEMs/ aftermarket suppliersin both and/or third countries links between India and USAFacilitate learning about Capacitybuilding and Innovation among theSMEs, in the US.SMEs form the backbone of both theIndian and the US economy. Theircontribution to overall economicgrowth has been increasing rapidly.Creating a facilitative business andpolicy environment remains crucial tostrengthening economic recovery, stimulating growth andcreating jobs in both countries, said Mr Hari Bhartia,President, CII, at the inaugural meeting of the US IndiaSME Forum, in Washington DC on 21 September.He outlined infrastructure, low cost manufacturing,agriculture, social services including education andhealth, as priority sectors for US industry to tap into,while exploring commercial opportunities in India.6 | October 2010 Communiqué

india & the worldCII SME Business Delegation in front of the White House, USAThe recently launched Indo-US SME Forum will engageCEOs from midsize companies in each country towork towards facilitating a policy enabling environmentfor SMEs, highlighting the concerns of SMEs in USAand India, leveraging technology and sourcing, findingopportunities for bilateral commercial engagement, andstrengthening the global supply chain managementsystems.It is evident that links between component / sub -systemmanufacturers in both the countries will be imperativeto take Indo-US SME co-operation forward. Also, thecontribution of SMEs in trade engagement as well ascross border M&A is increasing. Involving SMEs fromboth sides will help in achieving bilateral trade targets,said Mr T T Ashok, Leader of the CII delegation andDeputy Chairman, CII Southern Region. He added thatUS companies would find it useful to invest in the IndianSME sector, as there are many synergies between thetwo sides. Indian SMEs represent a good low-investmenthigh-return opportunity for US SMEs, who can sourceniche products from here. Indian SMEs are flexible,reliable, quality - conscious, and adaptable, he said,adding that Intellectual Property Rights are well-respectedin India, too.The next phase of growth in India-US bilateral economicrelations will come from the SME sector. The USDepartment of Commerce has initiated a Growth inEmerging Metropolitan Sectors (GEMS) programme toaccelerate business growth, and will form great marketsfor US and Indian businesses. With President Obama’sforthcoming visit to India, we want to take Indian andUS businesses to the next level of partnership, saidMr Chandrajit Banerjee, Director General, CII.He added that the SME Initiative presents a ‘winwin’opportunity for both sides and enriches theglobal value chain to mutual advantage, encouragingcompanies to explore beyond the well known metros.High-technology Indian firms involved in areas suchas nanotechnology, software and IT services, precisionengineering, design and research, etc. match wellwith US competencies. Conventional industries suchas auto components, chemicals, pharmaceuticals,textiles and apparel, food processing, etc. wherethe US enterprises have strong capabilities are alsosectors of high performance in India. Therefore, astrong partnership of the SME sectors of the twosides is natural, said Mr Banerjee.The 25 member CII delegation included entrepreneurswith interest in diverse sectors such as Energy –Power Generation and Distribution, Nuclear, as well asRenewable Energy, Cement, Mining, Steel, Metallurgy,Education & Training, Information Technology, Media,Entertainment, Manufacturing, Automotives, Engineering,Food Processing, Retail and Agri Business from acrossIndia. During their business-to-business meetings, thedelegates interacted with their counterpart organisationsfrom the US to explore opportunities for bilateral businesscooperation such as Joint Ventures, collaborations andtechnology transfers.The CII delegation was hosted by the Chicago Councilon Global Affairs, the US India Business Council,the World Resources Institute, the Indiana Chamberof Commerce, the Indiana Economic DevelopmentAuthority, the Cincinnati USA Regional Chamber, theOhio Department of Development, and the India USBusiness Alliance.8 | October 2010 Communiqué

cover storyinsuranceDeveloping theMarket, ImprovingInsurance PenetrationDespite tremendousgrowth over thepast decade,India’s InsuranceSector is today atan inflexion point.CII’s 13th InsuranceSummit debatedthe way forward inrecasting businessmodels to align withsustainable growthobjectivesT S Vijayan,Chairman, CII NationalCommittee on Insuranceand Pensions, andChairman, LICJ Hari Narayan,Chairman, InsuranceRegulatory andDevelopment AuthorityYogesh Agarwal,Chairman, PensionFund Regulatory andDevelopment AuthorityTHE INDIAN INSURANCE industry has progressed significantlysince it was opened up for the private sector in 2000. From fourand eight players in life and non-life insurance respectively in 2000,today India has 23 players in life and 24 in non-life insurance,with the industry estimated to reach one trillion dollars by 2030.With 17% of the branches of insurance companies in the semiurbanand rural sector, the industry is also working on financialinclusion. By channeling domestic savings into various segmentslike infrastructure, it creates strong advances for the nation overall.The challenge, despite these positive indicators, remains growth.The Insurance industry is a major contributor to the economy asa channel of long term funds towards infrastructure and capitalformation; almost 30% of household financial saving is in insuranceand pension funds. The industry had strong growth over the lastdecade with life insurance growing at a CAGR of 25.8% and non-lifeinsurance growing at 17%. Within the non-life segment, health and10 | October 2010 Communiqué

cover storyS B Mathur, Secretary General, Life Insurance Council, Gerry Grimstone, Chairman, Standard Life Plc., Ashvin Parekh, Partner, National Leader– Global Financial Services, E&Y, J Hari Narayan, T S Vijayan, and S L Mohan, Secretary General, General Insurance Council, releasing theCII-E&Y Report on the Indian Insurance Sectorauto insurance saw tremendous growth accounting for44% and 21% of the market respectively.India’s insurance penetration has also grown toapproximately 7.6 in 2009. However many concern areasremain. A lot more needs to be done to further increasethe penetration to the masses. It is believed that relaxingthe FDI limits from 26 to 49% will bring in much neededcapital to the capital-intensive industry as India is poisedto become one of the most dynamic insurance markets.While the Insurance sector has grown tremendouslyin the past 10 years, making a huge contribution tothe economy in terms of bringing in FDI, generatingemployment and channeling capital to capital marketsand infrastructure projects, the sector today is at aninflexion point with multitude of changes driving a rethinkof the way the business was conducted. The industryis today on the threshold of change, in the directiontowards sustaining the growth registered so far.CII’s 13th Insurance Summit, with the theme of‘Developing the Market: Improving InsurancePenetration,’ examined the issues facing the industryand debated the way forward in recasting the businessmodels to align with growth objectives. The Summitfocused on the following sub-themes: A panel of CEOs debated on the economic and socialimportance of the sector and the new challenges facingthe industry which would realign the growth trajectoryof the industry. The discussion revolved around the recent regulatorychanges and their expected impact on the growth ofthe industry, both in the near future, and in the longterm. The CEOs felt that low penetration and densitynotwithstanding, the market also needed to focuson financial inclusion with additional challenges ondistribution and the role of intermediaries. Given the recent changes in the regulatory landscape,this session discussed what needs to be changed toalign future strategy with the growth objective. Thesession also delved into how business could be recastin the near future, and sources of future growth.A CII-E&Y report on ‘Indian Insurance Sector: SteppingInto the next Decade of Growth’ was released byMr J Hari Narayan, Chairman, Insurance Regulatoryand Development Authority, while inaugurating theSummit.Delivering the inaugural keynote address, Mr HariNarayan stressed that “The consumer should be thefocus of the Indian insurance industry. If the industrywants to increase penetration, it has to be consumerfriendly and make products which will be helpful tothem. He gave the example of complex legal languageused even for simple policies. “If we make productssimpler and easier to understand, it will automaticallyincrease penetration.”He highlighted the various ways in which regulationworks, both to help consumers and insurance firms.“The primary focus of regulation is to ensure, enableand enforce the industry to make available products thatare robust and fair. That is the promise to the Indianinsurance consumer. Any product will be tested for theconcept of fairness and robustness and only then will itbe permitted into the market. This is the message thatshould be given to the consumer as well.”The Insurance Regulator further said that “to ensurethat the product should be safe and robust, we havebrought out surrender policies, ULIP guidelines. Wewill shortly come out with guidelines on universal lifeCommuniqué October 2010 | 11

cover storyproducts too, similar to ULIPguidelines.”He continued, “Coming tothe regulatory domain onthe health side, which isof great interest, there aretwo or three areas whereI think some work needsto be done and we aregetting close to that. Firstlywe should be allowingportability across products.Whatever is accredited to theextent of the cover alreadyextended, to that extent there is portability. But that willcast a burden on insurance companies on sharing clientinformation across companies when a client chooses toopt for a policy from another company.Sooner or laterin the health space, we will be moving in that direction.I hope it is sooner rather than later,” he said.Mr T S Vijayan, Chairman, CII National Committeeon Insurance and Pensions, and Chairman, LIC, saidthat, “Conditions in India provide both challenges andopportunities for the insurance sector. Indian insuranceis on the brink of an exciting journey. More than 70%Indians are uninsured and since more than two-thirdof India lives in rural areas, there’s a need for microinsurance to reach them.”The Indian insurance industry has progressed significantlysince it was opened up for the private sector in 2000.Yet, there are many concern areas that demand attention.Mr Gerry Grimstone, Chairman, Standard Life Plc., spokeabout one such issue – FDI in insurance. Talking aboutthe Insurance Bill that has been in Parliament for long,he said, “The Insurance Bill is not just about raisingequity of a foreign investment company from 26% to49% but also about allowing specialized insurers to domore work in the Indian insurance market. This will onlyhelp the insurance sector.”Praising the work of the regulator in ensuring strongerinsurance companies, he said, “Strong, well capitalizedcompanies that are listed on the stock market providewell designed products that are fair to the customerand create a flow of finances that contributes to theinfrastructure of the nation. The Insurance Sector canplay a full role in the emergence of India as one of thegreat economic powers.”“If you remove the people below poverty line, thereare still 600 million Indians who are uninsured,”pointed out Mr. S L Mohan, Secretary General, GeneralInsurance Council. “With astrong track record, robustregulatory framework andwell-set infrastructure, theIndian Insurance Industryhas the capability andfinancial strength to insurethem all. The challenge ishow to devise productswhich are market driven andinnovative, yet affordable. Itis also time to give equalimportance to distributionand after-sales service.”Mr Ashvin Parekh, Partner, National Leader – GlobalFinancial Services, Ernst & Young Ltd, reiterated theneed for consumer focus when he said, “For yearsthe insurance sector has been looking at grabbing themarket. It is time to think of consumer needs and ofservicing them satisfactorily.”The CII-E&Y Report released at the Summit said that theIndian Insurance industry is on the threshold of a majorparadigm shift in the way business was carried out. Thehigh growth rates seen in the last decade might plateauor even move to a new trajectory, but keeping in mindthe huge latent potential, the industry will see a sustainedgrowth rate. Distribution channels have widened over theyears, and are developing in line with the requirementsand growth of the industry. Financial products still remainpush driven and will require intermediaries to sell them,which might manifest in the emergence of IndependentFinancial Advisors (IFAs).The report also highlights the impact of the recent andforthcoming regulatory changes on the Indian Insuranceindustry and how these will change the insurers’ businessmodels over the next decade. The report feels that,despite the host of changes, the huge latent potential,exploring alternate distribution channels and increasedtransparency will sustain growth.“The inter-relationships of the banking, investment andinsurance sectors have generated important issues ofsystemic proportions that the regulators have to takecognizance of. The need of the hour hence is to agree onand evolve a common set of principles that must guide theregulation of the financial sector from a systemic point ofview,” said Mr. Yogesh Agarwal, Chairman, Pension FundRegulatory and Development Authority (PFRDA).Rooting for the inclusion of different types of financialservices rather than their exclusion, he said, “Differentproducts are required to cater to different financial12 | October 2010 Communiqué

cover storyneeds like basic banking, credit, insurance, investmentand pension. Though the market is the same, they arenot mutually exclusive. Unfortunately, our responseabout what to sell to whom is segmented or industryspecific,leading to a loss of investor focus andmis-selling. This may work in the short term, but isinherently unstable for the entire financial system inthe long term. There’s hence a need for a collectivesolution to this problem.”He added that, “Regulatory and supervisory oversightfaces major challenges in identifying the products,policies, practices and institutions that pose systemicrisks, and in devising methods to deal with these.”Mr. Sanjiv Bajaj, Managing Director, Bajaj Finserv Ltd.reminded the gathering that the fundamentals of insurancewill still ensure sustainability and long term profit. “In therush for short term profit, we forget vision. Growth in theabsence of a sound strategy would result in unprofitableand unsustainable business. It is hence sensible forcompanies to build a core focus for their business assuccess for most profitable companies has come fromfocusing on a few things. Remember always that capitalis precious, customer comes first, profit is paramount andtighter regulation is a reality. Strengthen reputation; intough times, a good reputation is one’s greatest strengths.Renew the trust of partners and consumers so they seeyou as long term partners,” he advised.Mr. Antony J Cherry, Partner, Beachcroft LLP, talked aboutthe processes that companies can employ to increaseprofitability and sustainability, “In place of duplication,substitute limited skill assessment at an early stage; doproactive case management. Instead of inefficient useof people and skill, try segmentation of processes andteams.” He talked about the dangers of businesses thatrely on people skills only, as they are inconsistent, andpointed out that systems and processes have a largerole to play in a complex market.Mr Ravi Trivedy, Executive Director, KPMG, reiteratedthat, “Though opportunity in the insurance sector willcontinue to grow, even in less dense markets, to takeadvantage of it, one will have to improve sales forceproductivity, provide better focused incentive models andcontinue to variabilize cost-to-premium ratio.”The Summit drew the participation of more than 500stakeholders and 26 CEOs from the Insurance Industry.Private Equity, legal and technology providers alsoexchanged their views on developing the market andimproving Insurance penetration in India.Communiqué October 2010 | 13

cover storyhealth insuranceof CII has been spearheadingthe addressing of issues ofHealth Insurance. It playeda prominent role in resolvingthe recent ‘Cashless Issue’tussle between the payersand the providers, related tothe disbanding of cashlesstreatment by the four publicsector general insurancecompanies. CII brought allthe stakeholders togetherand facilitated the industryin carving out a reliable andconsistent future roadmap forHealth Insurance.4th International Health Insurance SummitBuilding a Foundation forGrowth and SustainabilityMontek Singh Ahluwalia,Deputy Chairman,Planning Commissionof IndiaThe 4th international editionof the CII Health Insurance Summit with the theme,‘Health Insurance: Collaborating to build a Foundationfor Growth and Sustainability,’ was held on 9 -10September in New Delhi. The Summit fostered debate onindustry issues and disseminated best practices from allover the globe, to strengthen the spirit of collaborationand dialogue that is developing in the Indian healthinsurance industry. It was also an opportunity to presentthe work completed by the two CII Working Groups onHealth Insurance, namely, ‘Policy and Standards’ and‘Communication and Awareness.’Spread across two days in nine robust plenary sessions,including six technical ones, the Summit drew 500+stakeholders, including speakers, from the United States,J Hari Narayan,Chairman,Insurance Regulatory andDevelopment AuthorityLondon, Singapore, MiddleEast, Singapore and Indonesia,as well as different parts of thecountry. The key findings andrecommendations will be takenforward in representations tothe government.The government is keen toincrease its contribution tohealth from 1% of GDP to2-3%, said Mr. Montek SinghAhluwalia, Deputy Chairman,Planning Commission of India,who was the Chief Guest at theInaugural Session. He askedCII to present its views onwhether the government shouldcontribute by providing facilitiesor supporting market-driven health insurance. He also feltthat employers should mandatorily provide group healthinsurance to employees.Mr. J Hari Narayan, Chairman, Insurance Regulatoryand Development Authority (IRDA), who was the Guestof Honour, spoke of the need to improve underwritingpractices, standardize forms and definitions, andbuild a common database across the country. Hefelt it was important to encourage cashless claimsover reimbursement, making segmentation of marketsessential. He also proposed that portability of insuranceand removal of exit ages should be incorporated.Mr. Analjit Singh, Chairman, Max India Ltd. calledfor two-way dialogues between regulators and otherDr. Pervez Ahmed, CEO & MD, Max Hospitals; Shivinder Mohan Singh, MD, Fortis Healthcare Ltd.; Dr. Naresh Trehan, Chairman, CII NationalCommittee on Healthcare, and Chairman, Medanta – The Medicity; A Vaidheesh, Summit Chairman, and MD, Johnson & Johnson Medical,India; M. Ramadoss, CMD, The New India Assurance Company Ltd.; and G. Srinivasan, CMD, The United India Insurance Company Ltd.14 | October 2010 Communiqué

cover storyA Vaidheesh; Dr. Naresh Trehan, J Hari Narayan, Montek Singh Ahluwalia; Dr. Prathap C Reddy, Chairman, CII, National Council on Healthcareand Chairman; Apollo Hospitals Group; Analjit Singh, Chairman, Max India Ltd.; and Bhargav Dasgupta, Summit Co–Chairman, andMD & CEO, ICICI Lombard General Insurance Co. Ltd.stakeholders. Dr. Naresh Trehan, Chairman, CII NationalCommittee on Healthcare and Chairman, Medanta,stressed the importance of containing rising costs bymaking systems efficient. He also wanted decisionmakingprocedures to be transparent. Dr. Prathap CReddy, Chairman, CII Health Council, and Chairman,Apollo Hospitals Group, suggested forming a committeeto tackle the issue of spreading awareness about healthinsurance. He also felt there was a need of funding tobridge the supply/ demand gap in hospital facilities.Earlier, Mr. Annaswamy Vaidheesh, Summit Chairman,and Chairman, CII Sub Committee on Accessibility andHealth Insurance, and Managing Director, Johnson &Johnson Medical, opened the proceedings by stressingthe need to improve communication and awarenessbetween various stakeholders, and the adoption of‘standard definitions’ for commonly used terms.In his theme address, Mr. Bhargav Dasgupta, SummitCo-Chairman, and Managing Director & Chief ExecutiveOfficer, ICICI Lombard General Insurance Co. Ltd., notedthat India still lagged behind in infant mortality and lifeexpectancy rates, while calling for collaboration andcooperation between stakeholders.Later, in the session on ‘Dissemination of the Report,’prepared by the CII Working Groups, Mr. Dasgupta madea detailed presentation on ‘Policy & Standards.’ Mr. S LMohan, Mentor of the Groups, and Secretary General,General Insurance Council, pointed out that long-termmarket expansion, business development and consumerprotection can only be possible by strengthening thefinancial stability of the insurer. Mr. S B Mathur, Mentorof the Groups, and Secretary General, Life InsuranceCouncil, felt that data analysis is very important, asproviders are scattered across the country. Industry datawill also help in pricing and product design, he said.In the technical session on ‘International experiencein medical insurance,’ speakers from across the worldshared how healthcare is financed, provided andconsumed in their countries, and the role of privateand public sectors in different countries. Dr. DamienMarmion, Chief Executive Officer, Max Bupa HealthInsurance Company Ltd. and Session Chairman, saidthat irrespective of health spending in different parts ofthe world, deficiencies in healthcare exist. He called forpublic private partnerships, chronic disease managementand increasing education of the masses. Dr. David Muiry,Managing Director (Life & Health), Swiss Re ServicesLtd, London, summarized the main features of healthcaresystems in different parts of the world.Dr. Jonathan Kolstad, The Wharton School, USA, identifieda few flaws in the US health insurance system and felt thatthe cost and quality of insurance still needed to be tackled.Noting that India could learn from the US experience, heused the State of Massachusetts as an example to describea successful health insurance system. Mr. Alan Watts,Vice President – Health Insurance, Reinsurance Group ofAmerica, felt that, around the world, large groups were themain cause for group insurance losses. He also cautionedthat brokers generally present their viewpoint, which maynot necessarily be beneficial for the clients. Mr. KennethGeorge Neale from Australian Health summarized thekey points of the health insurance system in his country,such as community rated system, same premiums for all,irrespective of age, loading on premiums for enrollers afterage 30 and lifetime health cover.The session on ‘Improving the penetration of retailhealth insurance,’ explored how insurers can reach outto the self-employed or the unorganized sector, suchas product suitability, customer affordability and costof acquisition. Dr. R K Kaul, Chairman and ManagingDirector, Oriental Insurance Company Ltd. and SessionChairman, highlighted the higher hospitalization cost andlower insurance penetration in India. Mr. Peter Akers,Chief Executive Officer, Munich Reinsurance Company,felt that products matter for certain segments but notCommuniqué October 2010 | 15

cover storyG. Srinivasan, K Sujatha Rao, Secretary - Health, Ministry of Health and Family Welfare; Manvi Dhillon, Resident Editor, NDTV, A Vaidheesh;Bhavdeep Singh, CEO, Fortis Hospitals Ltd.; Antony Jacob, CEO, Apollo Munich Health Insurance Co. Ltd.; and Dr. David Muiry,MD (Life & Health), Swiss Re Services Ltd, Londonfor the retail segment.In the session on ‘Social Insurance Schemes’ a detailedpresentation was made by the Session Chairman, Mr.Jerry La Forgia, Lead Health Specialist, The World Bank.Mr. G. Kumar Niak, Chief Executive Officer, VajpayeeArogyashri, Karnataka emphasized the need to strengthenthe public health system. He observed that sustainabilitycan be maintained with reworking prices.On Day 2, the Session on ‘Reforming group healthinsurance’ discussed group cover pricing and other bestpractices. Mr. G Srinivasan, Chairman and ManagingDirector, The United India Insurance Company Ltd, whochaired the session, pointed out that health Insuranceaccounts for 22% of total general insurance (Rs. 8,300crores) in India. Almost 50% of health insurance is ingroup business and there has been about 40% growthin health insurance premiums this year, he added.Mr. Krishnan Ramachandaran, Chief Operating Officer,ApolloMunich Health Insurance Company Ltd. made anelaborate presentation on the Group Pricing documentprepared by the CII Working Groups.The session on ‘Increasing Confidence in HealthInsurance’ looked at mechanisms to strengthen theinteraction between individual insurers and consumers,highlighting consumer building measures, standardaccountability, iformation sharing and robust redressalsystem. Mr. M Ramadoss, Chairman and ManagingDirector, The New India Assurance Company Ltd. chairedthe session.The highlight of the day was the ‘Discussion on CashlessIssue’, chaired by Mr. Vaidheesh. Mr. Ramadoss, and Mr.Srinivasan, participated from the PSU companies, whilethe provider side was represented by Dr. Naresh Trehan,Mr. Shivinder Mohan Singh, Managing Director, FortisHealthcare Ltd and Dr. Pervez Ahmed, Chief ExecutiveOfficer and Managing Director, Max Hospitals.It may be recalled that the cashless medical facility wassuspended by four PSU insurers—New India Assurance,United India Insurance, National Insurance and OrientalInsurance—from 1 July, after they alleged over-billing bycertain private hospitals. Dr. Trehan felt there should bestandardisation of rates for all hospitals. He noted thatthe occupancy rates at hospitals have not been adverselyaffected by the withdrawal of cashless treatment facilityby the PSUs but “it is the patients who are suffering.” Mr.Singh observed that “This is the opportunity to do theright thing. Most of the people don’t take insurance to goto nursing homes.” The hospitals have given us their ownversion of rates based on which we are working towardsarriving at a uniform rate structure, said Mr. Ramadoss.Categorisation of hospitals was suggested on the basison infrastructure facilities and other parameters, whichwould eventually lead to higher premiums for treatmentin super-specialty medical centers.The session on ‘Role of Enablers’ discussed the role ofvarious industry enablers ranging from data publicationsto transactional platforms to standards and legislativepolicies. Mr A. Reddy, Managing Director, FHPL, whowas Chaired the session, opined that IRDA is thebiggest enabler to promote health insurance. Mr. SheerajDeshpande of Future Generali General Insurance Co.Ltd, expressed concern that there was no penalty incase of fraudulent claims or malpractice by providers,apart from rejecting the claim. He wanted accountabilityfor every stakeholder.Summarizing the key outcomes in the concluding sessionon ‘The Way Forward’, Mr. Vaidheesh stated that theindustry had taken the following significant steps: from the General and Life Insurance Councils to health insurance dataMs. Sujatha Rao, Secretary Health, Ministry of Health andFamily Welfare, felt that costs of care in the industry weretoo high. She also wanted standards to be incorporatedin the industry, and public hospitals to be improved,while hoping that public insurance companies wouldcontinue to keep the insurance premium low, to beaffordable for the poor.16 | October 2010 Communiqué

featuresustainabilityDeveloping a SustainabilityFramework for BusinessThe Business Leaders Programme emphasized the alignmentof sustainable business with business strategy, to build bothsustainability and business valueY C Deveshwar,Past President, CII,Chairman, CII-ITC CESDAdvisory Council andChairman, ITC LtdProf. Stuart L Hart,Cornell University,USATarun Das,President,Aspen Institute IndiaRatan N Tata,Chairman,Tata Sons LtdTHE SUSTAINABLE WAY of doing businessis fast becoming business-as-usual.Companies that act fast get the competitiveadvantage, and those that do not arethreatened by the rapidly changingmarket dynamics, business trends andregulatory landscape. Sustainabilitychallenges are the biggest opportunities on offerand companies need to reflect this in their businessstrategies. These challenges demand a radical shiftin corporate roles and responsibilities.Over 45 business people, mainly senior executives fromdiverse sectors, got together for the fourth edition ofa 3-day residential ‘Business Leaders Programme’organised by the CII-ITC Centre of Excellence forSustainable Development in association with the JohnsonSchool Centre for Sustainable Enterprise at CornellUniversity, USA, on 11-14 September in New Delhi.The objective of the programme was to emphasizethe alignment of sustainable business with businessstrategy, and help the participants define priorities,integrate sustainability throughout business, and buildboth sustainability and business value.Representatives from companies like Larsen& Toubro, ITC, Tata Consultancy, Infosys, TataPower, JUSCO, Jubilant Organosys, ONGC,NTPC, Microsoft, Philips Electronics, TataChemicals, Volkswagen, JCB, KirloskarBrothers, Suzlon Energy, Wartsila,SABMiler and many more participated inthe programme this year.The programme was led by the internationally respectedProf. Stuart L. Hart, Samuel C Johnson Chair inSustainable Global Enterprise, Cornell Unversity USA.One of the world’s top authorities on the implications ofenvironment and poverty for business strategy, Prof Harthas published over 70 papers and authored or editedseven books. With Dr. C.K. Prahalad, he also wrote thepath breaking 2002 article ‘The Fortune at the Bottom ofthe Pyramid’ (BoP) which provided the first articulationof how business could profitably serve the needs of thefour billion poor in the developing world. His best-sellingbook, ‘Capitalism at the Crossroads,’ published in 2005,was selected by Cambridge University as one of the 50top books on sustainability of all-time; the third editionof the book was published in 2010.Communiqué October 2010 | 19

featureThe co-faculty for the programme were Mr. Y CDeveshwar, Past President, CII, Chairman, CII-ITC Centreof Excellence for Sustainable Development AdvisoryCouncil and Chairman, ITC Ltd. and Mr. Ratan N Tata,Chairman, Tata Sons Ltd, Mr. Deveshwar brought tothe fore ITC’s laudable initiatives in the social domain,while Mr. Tata conversed about the much-discussed TataNano case, which helped participants in understandingthe concept of disruptive innovation.The participants worked with Prof. Hart to identifythe key sustainability strategies that are required toachieve long-term business success. The group learnedabout the latest sustainability tools including productstewardship, stakeholder engagement, green leap,embedded innovation and blended rigorous strategiclogic with the ‘view from sustainability lens’.The group of business people was challenged tolook beyond low hanging fruits - environment-friendlyprocesses, community relations, and supply chainmanagement – to identify markets in clean technologyand at the bottom-of-pyramid. At the end of theprogramme, they were able to develop a sustainablevalue portfolio for their businesses.The programme started with a moderated discussion onthe role of corporations in our lives and how businesscan help in creating stakeholder (societal) value. Thegroup discussed the evolution of sustainable enterprisesof the century, and Prof Hart elucidated the concept of‘Triple Bottom Line’.It was emphasised that, for corporates to succeed,it is crucial to develop a vision not only for what thecompany is trying to address and how they relate it tosustainability, but also for where the most appropriatemarkets can be found. The unmet needs of those atthe base of the economic pyramid may present the bestopportunity for firms to define a compelling trajectoryfor future growth.‘The Great Convergence’ conceptexplained by Prof Hart recognisesthat successful BoP strategiesmust be environmentallysustainable to avoid taking allof humanity over the proverbialenvironmental cliff.The most revealing were thediscussions and debates that tookplace during the four ‘learningteam’ sessions. In learning teams,the participants mapped and putdown the sustainability portfolios of their own businesses,identified the gaps, and designed strategic initiatives,which were presented on the final day.With the help of facilitators, the teams tried connectingthe dots and viewing the sustainability framework throughthe business lens. The value portfolio of sectors likeconstruction, energy, chemicals, IT services, infrastructureand mining were presented by the learning teams. Theteams also discussed and analysed a case study of TataMotors on the Sustainable Value Framework.From the experience of different participants in thelearning teams, it seemed that it was easier for someto find complementary conceptual linkages betweentheir renewed vision, existing capabilities, and strategicinitiatives. Each participant had a clearly defined area ofexpertise, which made it easier to define the ‘“businesscase’ for sustainability, and their Sustainable ValuePortfolio.The Business Leaders Programme equipped the groupwith practical knowledge along with modern-day toolsand frameworks to turn strategic ideas into actions forcreating sustainable business. In order to examine thebest practices of some of the world’s most sustainablecompanies and to identify the important elementsof winning strategies, a few sessions drew in guestfaculty.The lectures, discussions, case studies, and role plays,during the intensive three days proved to be a productiveprocess to build capacity of the participants for creatingsustainable businesses and improving strategic thinking,with a focus on sustainability actions. It also helped indeveloping strategies to gain competitive advantagethrough sustainability practices, including productand process innovation, and sustainable supply chainmanagement; as well as learning frameworks to strike abalance between business and sustainability objectiveswhile managing complex stakeholder relationships.Participants at the Business Leaders Programme20 | October 2010 Communiqué

accounting standardscorporate indiaThe Challenges of the DynamicBusiness EnvironmentA CONFERENCE ON‘The Challenges ofthe Dynamic BusinessEnvironment’ in NewDelhi on 7 Septemberfocused on theemerging challenges inthe accounting domain,such as IFRS and XBRL.While IFRS refers toInternational FinancialReporting Standards,XBRL or eXtensibleBusiness ReportingLanguage is a language for electronic communicationof business and financial data which is revolutionisingthe creation, transmission, use or analysis of businessreporting around the world. The conference alsodeliberated on the proposed regulatory changes to theTakeover Code.Mr R Bandyopadhyay, Secretary, Ministry of CorporateAffairs, who was the Chief Guest, said the governmentis keen to implement IFRS in India, and this is purelyin the interest of Indian companies. Convergence withIFRS would bring Indian companies at par with otherdeveloped countries. He also urged Indian corporatesto voluntarily come forward to implement IFRS.Mr. Bandyopadhyay also announced that the governmentis examining the feasibility of adopting XBRL, the newtool for financial reporting. He said the Government isexamining the additional cost that would have to borne byIndian companies, since itwould not like to burdenCorporate India with aheavy cost burden.Mr. Sunil Verma, DeputyComptroller & AuditorGeneral and Chairman,Audit Board, highlightedthe need to implementXBRL for standardizingfinancial reporting.T N Manoharan, Chairman, CII National Committee on Accounting Standards,Suresh Senapaty, Executive Director & CFO, Wipro Ltd; Sunil Verma,Dy Comptroller & Auditor General, and Chairman, Audit Board; andR Bandyopadhyay, Secretary, Union Ministry of Corporate AffairsC Achuthan, Chairman, Takeover Regulations Advisory Committee, SEBI;Girish Vanvari, Executive Director (M&A), KPMG, and Neelam Bhardwaj,General Manager, SEBIOther eminent speakersat the Inaugural Sessionincluded Mr. Mr. T NManoharan, Chairman,CII National Committeeon AccountingStandards, and Mr.Suresh Senapaty,Executive Director andChief Financial Officer,Wipro Ltd.Mr. C Achuthan,Chairman of theTakeover RegulationsAdvisory Committee constituted by SEBI, presentedthe highlights of the Committee’s report. He assuagedindustry’s concerns on financing of 100% open offer,threshold limit, definition of control, etc and reiteratedthat the proposed takeover provisions would safeguardthe interests of the small investors.Ms Renuka Kumar, Joint Secretary, Ministry of CorporateAffairs, enumerated the benefits that Indian companieswould derive from adopting the new XBLR tool.The plenary sessions at the Conference revolved aroundthe roadmap for IFRS implementation and XBRL adoptionin India, and the realm of opportunities they bring. Thekey speakers included Ms Neelam Bhardwaj, GeneralManager, SEBI; Mr Tushar Das, Assistant Adviser,Division of Banking Studies, Reserve Bank of India; Mr SSanthanakrishnan, Vice Chairman, Accounting StandardsBoard, ICAI; Mr. RajendraPrasad, President & ChiefFinancial Officer, SRF Ltd;Mr K Sridharan, ChiefFinancial Officer, AshokLeyland; Mr Jamil Khatri,Executive Director, KPMG;Mr S Swaminathan,Chief Executive andFounder, IRIS, and Mr.Girish Vanvari, ExecutiveDirector, KPMG.Communiqué October 2010 | 23

agriculture & food processing industriessectoral synergiesTHE CII AGRICULTURE Council members,led by Mr. Rakesh Bharti Mittal, Chairman,CII National Council on Agriculture andVice Chairman and Managing Director,Bharti Enterprises Ltd, presented the ‘Ideato Rejuvenate the Indian Agriculture:Issues & Recommendations' toMr Montek Singh Ahluwalia, DeputyChairman, Planning Commission on14 September in New Delhi.Agenda for AgricultureThe key focus of the meeting was onissues related to land leasing, APMCAct, Supply Chain Management, hybridand GM seeds, research and extension,rationalizing subsidies, and the efficiency of Governmentschemes.The other members of the delegation were Mr. VivekBharati, Chairman, CII Task Force on Food RegulatoryAffairs, and Executive Director, Pepsico India Holdings PLtd., Mr Sanjeev Asthana, Chairman, CII National TaskMontek Singh Ahluwalia, Deputy Chairman, Planning Commission, with CII AgricultureCouncil MembersForce on Horticulture, and Founder & Director, IfarmVentures, Gokul Patnaik, Chairman, CII Task Force on AgriMarketing, and Chairman, Global Agrisystems P Ltd., andMr Hardeep Singh, Chairman, Amalgamated PlantationsP. Ltd. The meeting was also attended by a number ofGovernment officials from different ministries.NZ Apple Trade DelegationA NEW ZEALAND Pipfruit Trade Delegation, led by MrPeter Beaven, Chief Executive Officer, Pipfruit NZ, metthe members of CII National Task Force on Horticulture,on 16 September in New Delhi. Mr Cliff Fuller, TradeCommissioner for New Zealand in India, was alsopresent at the meeting.The discussions mainly focused on how India and NewZealand can work together to build up the apple industryin the two countries by exchange of technologies andbetter germplasm, enhanced trade, and capacity buildingof the Indian farmers. The meeting saw the participationof different stakeholders in the apple industry, includingmembers of farmers associations from Himachal Pradesh,retail operators and industry members.The New Zealand Apple Industry Delegation with members of theCII Task Force on HorticultureCII-NIFTEM SeminarCII, IN COOPERATION with the National Institute ofFood Technology Entrepreneurship and Management(NIFTEM), is organising a series of seminars on‘Opportunities in the Food Processing Sector.’Addressing the Seminar-cum-Workshop in Bhopal on 23September, Mr Uttam Ganguly, Chairman, CII MadhyaPradesh State Council said NIFTEM, being set up by theUnion Ministry of Food Processing Industry, will cater tothe needs of all the stakeholders such as entrepreneurs,industry, exporters, policy makers, government and otherresearch institutions.Mr Anil Shrivastava, Managing Director, MP State AgroIndustries Development Corporation Ltd, said the StateGovernment considers food processing a thrust sector,and is focusing on development of infrastructure in termsof food parks, cold storage, and perishable goods cargohubs at Indore and Bhopal. It is also planning a multimodallogistics hub to support this sector, he added.The workshop had three technical sessions: NIFTEM indevelopment of future food technologies, entrepreneurshipand management; Food Processing – Sunrise Sectorin Madhya Pradesh, and Orientation for incumbententrepreneurs.Communiqué October 2010 | 25

aerospacesectoral synergiesOverview of Indian Space SectorA JOINT CII-ANTRIX-DELOITTE Report on ‘Overviewof Indian Space Sector 2010’ was released during theBengaluru Space Expo (BSX) 2010. The report is thefirst-ever endeavour to give an overview of the Indianspace sector, with glimpses of the international andIndian space scenario, trends of future development,the present state of Indian industry and the businesspotential for the industry.India ranks among the top six space-faring nations of theworld in terms of budget and technological capabilities.The country has already been collaborating and wouldfurther its engagement with developed as well asdeveloping countries. The Indian space budget amountsto Rs 57.78 billion ($1.26 billion) for 2010, an increaseof about 22% from the previous year. The total spacebudget amounts to 0.14% of the total GDP. From 2003to 2010, funding has increased 144% from Rs 23.68billion ($ 0.51 billion).The Study indicates that space spending is expected toincrease further by an average of 14.8% annually overthe next four years and is estimated to reach Rs 100Budgeted Space Expenditure ForecastSpace Expenditure as percentage of Indian GDPbillion ($2.17 billion) by 2014.The report comprehensively covers the nuances andstage-wise development of the Indian space programme.In addition to scientific and commercial aspects,the socio-economic contribution of the Indian spaceagencies has been remarkable.Space has emerged as a crucial dimensionfor defence and also has a numberof applications in homeland security.It has relevance in remote sensing,geo-stationary imagery, meteorologicalapplications, agriculture, disastermanagement and tele-communicationand tele-medicine.The report envisages a greater role forthe private sector in the space industry.With the expansion of the Indian spaceprogramme and capabilities, the sectoris going to grow even faster. As of now,about 500 small, medium and large scaleindustries are contributing to variousspace activities. These numbers arelikely to grow.Releasing the report Mr K. R. SridharaMurthi, Managing Director, AntrixCorporation Ltd said that “With 22% growthin the space budget this year, India is wellpositioned to become a global leadersupplying advanced technology at a fairprice to established US and Europeanspace industry companies.”According to Mr Gurpal Singh, DeputyDirector General and Head of Defence& Aerospace at CII, “India’s spaceindustry is different from its defenceindustry, which purchases much ofits equipment from foreign suppliers.Indigenous suppliers provide anestimated 70% of the technologycontent, providing a solid foundationto provide technology innovationthroughout the spaceindustry valuechain on a globalbasis.”Communiqué October 2010 | 27

sectoral synergiesdefence3rd International Seminar & Exhibition on Battlefield Management SystemsThe Power to the Edge hasbenefited the armed forcestremendously. It facilitatesbetter designing, simulation andmodelling of systems, morepower for battlefield managementand enhanced effectiveness ofweapons. Increased transparencyof the battlefield, due to highlylethal precision, timely responsecapabilities, enhanced mobilityand range have changed battlefieldrequirements. Today, technologicaladvancement is required toenhance the war fighting potentialat strategic, operational andtactical levels.Battlefield Management Systems(BMS) give commandersreal-time accurate informationwhich enables them to make the right decision at theright time. However, the complexity of developing BMSfor the Indian Army also involves linking the very basicunit i.e. foot soldier with the network. The Indian Armyis 1.1 million strong and expected to grow.While developing BMS, one has to keep in mind factorslike diversity in terms of composition / solider profile /size of the Indian army, terrains and most importantlyour concept of operations. This requires indigenoussolutions, stressed the 3rd International Seminar &Exhibition on Battlefield Management Systems, ‘ThePower to the Edge’ held on 21-22 September in NewMM Pallam Raju, Minister of State for Defence, inugurating the BMS Exhibition.Also seen (L-R) Gurpal Singh, Deputy Director General, CII; Gen. VK Singh, PVSM, AVSM, YSM,ADC, Chief of the Army Staff; Satish K Kaura, Co Chairman, CII Defence Council; andLt Gen PC Bhardwaj, Vice Chief of Army StaffDelhi. The participants pointed out that Indian industryis mature, financially strong has global reach and aboveall is committed to support the Indian defence forcesto whatever extent possible.The programme, a joint endeavour of CII and theDirectorate General of Information Systems (DGIS),Integrated Headquarters of MoD (Army), provided allthe stakeholders enough space and opportunity tointeract with each other. Mr MM Pallam Raju, UnionMinister of State for Defence, and Gen. VK Singh, PVSM,AVSM, YSM, ADC, Chief of Army Staff, participated inthe event.Phasing out Ozone Depleting SubstancesISSUES OF GLOBAL environmental concern like thedepleting ozone layer have potential implications forall, and the defence forces are no exception. Indiais a signatory to the Montreal Protocol to phase outproduction and usage of Ozone Depleting Substances(ODS). At the same time, our armed forces do needsome ODS for mission critical preparedness, at leasttill new alternatives are found.Switching to new technologies or phasing out ODS isa costly and time consuming affair. As a developingcountry, as per the Montreal Protocol, India has 10years’ grace period and is also eligible for financial andtechnical support from the Montreal Protocol MultilateralFund to phase-out production and consumption of ODS.The Government of India has performed really well tolive up to the expectations of the world community.However issues like ‘Halon Banking’ and ‘Alternativesof Halons’ are still lingering.Making use of the platform provided by the seminar on16 September in New Delhi, industry and the defence28 | October 2010 Communiqué

defenceRahul Chaudhary, Convenor, CII Defence Sub-Committee on R&D, Technology & Indigenisation, and CEO, Tata Power Strategic ElectronicsLtd,; Lt Gen AKS Chandele, PVSM, AVSM, ADC DGEME & Sr Col Comdt, Integrated Hqrs of MoD (Army); Lt Gen PC Bhardwaj, PVSM, AVSM,VrC, SC, VSM, Vice Chief of Army Staff, Integrated Hqrs of MoD (Army); Prof SC Saxena, Director, IIT, Rourkee; andD Sundaresh, Chief Controller, R&D (ACE), DRDOforces shared their requirements and capabilities.Industry also got to know what kind of products,particularly in refrigeration and air conditioning, fireextinguishers and chemical solvents, the armed forceswould be looking at in the coming years. Industry alsoshowcased what it can offer at present and what it isplanning to manufacture/produce in the future. Researchand Development organisations like DRDO also sharedtheir ongoing research to replace Ozone DepletingSubstances.‘Make’ and ‘Buy & Make (Indian)’DESPITE THE FACT that the Defence Sector hasbeen opened up for the private industry, defenceprocurement procedures are still very complicated andtime consuming. In order to encourage industry toactively participate in defence procurements, a workshopon Make and Buy & Make (Indian) was organised byCII and HQ Integrated Defence Staff PP & FD (WSOI)Division on 30 August in New Delhi.As a result of the consistent efforts of the CII and others,the Ministry of Defence, in 2009, created the provision of‘Buy & Make (Indian)’ in addition to the already existingthree main categories, namely ‘Buy,’ ‘Buy and Make’ and‘Make,’ to provide more and exclusive opportunities todomestic private industry.Under the ‘Buy & Make (Indian)’ category, a supplyorder will be placed only on capable Indian companieswho in turn will have to negotiate with interestedforeign companies for technical and other productionarrangements. The Ministry of Defence has also agreedto publicise the long term technical and equipmentrequirements of the armed forces. This has providedmore time and space to Indian companies to enhancetheir in-house R&D and production capabilities.Form the deliberations, the message that came loudand clear is that Indian industry is keen to contribute tothe country’s defence modernisation plans. Participationof the Indian private sector is not only important tosave foreign currency reserves that can be channelisedinto the equally important social sector but also tobuild up indigenised defence capabilities. India cannotafford to continue to rely on foreign companies as faras its critical and long term defence requirements areconcerned.Indian companies have created a niche in severalsectors, notably IT. Industry and defence forces personnelunanimously agree that the encouragement to the privatesector does not mean ignoring the capabilities andachievements of the PSUs and OFBs. There exists amplespace for both private and public sector companies toflourish in a healthy competitive environment.Cdr HS Jhajj, JDNP (Acqn); Chandrika Kaushik, AD (DISB) ; Cdre S Govind; Vice Admiral (Retd) Raman Puri, PVSM, AVSM, VSM;Brig Bishamber Dayal, VSM, DDG WE-1; and Col (Retd) RS Bhatia, Executive Vice President, CEO Bharat Forge LtdCommuniqué October 2010 | 29

energysectoral synergiesFinancing of Solar Power ProjectsTHE SUCCESSof the JawaharlalNehru National SolarMission, launched bythe Government ofIndia, requires theactive participationof the financingcommunity topackage the financingdeals innovatively inorder to managerisks for the investorsand secure financing at a competitive rate.CII, in partnership with the Ministry of New & RenewableEnergy, the Ministry of Power and the Indian RenewableEnergy Development Agency (IREDA), organized aRound Table on ‘Financing Issues relating to SolarProjects in India’ on 21 September in New Delhi.Mr Devender Singh, Joint Secretary, Power, highlightedthe key features of the Jawaharlal Nehru National SolarMission (JNNSM) and encouraged bankers to play akey role in achieving the solar power goals set out bythe Government.Mr A K Goyal, Chief Executive Officer, NTPC VidyutVyapar Nigam, (NVVN) made a presentation on PowerPurchase Agreements (PPA) and Power Sales Agreements(PSA) for the sale ofbundled power fromsolar PV and solarthermal projectsunder JNNSM.Mr DebashishMajumdar, Chairman& Managing Director,IREDA; Mr MukulModi, Vice President,SBI Capital MarketsLtd; Mr Ajay Gupta,General Manager(Project Finance), ICICI Bank Ltd; Mr James Abraham,Chief Executive Officer, Sunborne Energy; Dr J M Phatak,Chairman & Managing Director, Rural ElectrificationCorporation; and Mr Rajeev Sharma, Director (Projects),Power Finance Corporation, participated in a paneldiscussion.Devender Singh, Jt Secretary, Power; Dr J M Phatak, CMD, REC; Gauri Singh,Jt Secretary, New & Renewable Energy; and Debashish Majumdar, CMD, IREDAThey discussed key issues such as fine–tuning thepayment security mechanism, technology evaluationand the need for project developers to work closely withbankers for project evaluation and due diligence.Ms Gauri Singh, Joint Secretary, New and RenewableEnergy, said the Government is aware of industry’srequest for budgetary support and is evaluating a fewproposals.Tax Issues in the Hydrocarbon SectorCURRENTLY, THE HYDROCARBON Industry in Indiais facing several tax-related concerns which need tobe addressed on an urgent basis, to make the Oiland Gas Sector in India truly globally competitive.The inclusion of petroleum products under the GSTambit, and the issues related to Indirect/ Direct Taxare key concerns.CII organized an interaction with Mr Ashok Chawla,Finance Secretary, Government of India, for membersof the CII National Committee on Hydrocarbons on 27September in New Delhi. The members made a requestfor bringing in all petroleum products under the GSTambit, so that they can avail of inputtax credit on them. The CII memberspointed out that if these products arekept out of the scope of GST, the oilcompanies would incur huge losses.CII also made recommendations on issues relatedto Service Tax on input services rendered by Oil andGas field services and exploration and productioncompanies which are generally liable to service tax, andthe taxability of call money received by lead operatorswhen commencing operations at the respective oil orgas block.Communiqué October 2010 | 31

competitivenesstowards excellenceCII-L M Thapar Centre for Competitiveness for SMEs7 QC ToolsThe CII-LM Thapar Centre for Competitiveness for SMEsorganized a training programme on ‘7 QC Tools- A Wayto Problem Solving’ on 24-September in New Delhi. Theseven QC tools are being used by quality consciouscompanies throughout the world to improve the qualityof products and processes. They form the fundamentalfoundation for all problem-solving and quality controlactivities and are also an important element of LeanManufacturing. These tools use statistical techniques andknowledge to accumulate and analyze data, and havebecome essential to improve the internal competitivenessof organizations.Energy Management & Competitivenesson 16 September in Hyderabad shared insights intothe potential of these tools and their application fordeveloping future products. Mr. M Jayadev, President,AP Plastic Manufacture Association, inaugurated theseminar, which drew more than 110 participants from40 leading companies.Employee Enhancement through ‘Onboarding’Large sums of money are being spent on technologyupgradation, but the real backbone of any organization isits people. The importance of retaining good employeesis reflected from the rule of thumb that "technologymakes up 10 percent of a business, while businessprocesses, employees and culture make up 90 percent."The programme on ‘Employee Enhancement andRetention thru Onboarding ’ on 27 September in NewDelhi discussed how to develop the vital link betweenthe Employee and the Organization through the systembasedOnboarding process.Learning Delegation to JapanEnergy Management Training Programme in NoidaEnergy Conservation offers an excellent opportunityto reduce operating energy costs. To make Industryaware of the latest trends in reducing energy costs,to be globally competitive, a programme on ‘EnergyManagement - A Road to Energy Efficiency’ was heldon 23 September in Noida.New Product Development ToolsSession on New Product Development Tools in HyderabadNew Product Development tools such as CAD-CAM-RP-CAE are gaining increasing importance for theSMEs to sustain competitiveness. A national seminarcum exposition on New Product DevelopmentDelegation in JapanThe Bureau of Energy Efficiency (BEE), Union Ministry ofPower, organized a ten-member delegationto Japan from 26-30 September toparticipate in training on Total EnergyManagement and Small Group Activitiesand their benefit to the SME sector. Thisprogramme was conducted by the EnergyConservation Centre, Japan and involvedbrain storming sessions facilitated byeminent resource persons and also visitsto plants to see and study their best practices.CII was a part of the delegation, led by Ms. AbhaShukla, Secretary, BEE.Communiqué October 2010 | 33

green businesstowards excellenceCII-Godrej Green Business CentreEnergy Efficiency SummitThe 9th edition of the Energy Efficiency Summit 2010was held from 1-4 September in Chennai, to initiate anational energy conservation movement.The Summit provided a platform for informationdissemination on the latest technologies, andcatalysed business opportunities for energy equipmentmanufacturers and suppliers.The four-day event was marked by the followingsessions Management-2010 The 11th National Award for Excellence in EnergyManagement was organised on 1- 2 September, as partof the Energy Efficiency Summit. The Award recognizesexcellencein EnergyManagementin industriesand facilitatesthe sharingof informationby excellentenergy efficientcompanies.Dr Naushad Forbes, Chairman, EnergySummit, Dr Ajay Mathur, Director General,BEE, and L S Ganapati, Chairman, NationalAward for Excellence in Energy ManagementDr Ajay Mathur,Director General, Bureau of Energy Efficiency, (BEE)presented the 20 top industrial units with the Awardon 2 September.Earlier, out of the numerous entries to the Award, 38companies were shortlisted. These companies haveachieved an annual recurring saving of Rs. 914 croresin the past three years, which is equivalent to 96 MWsavings. These savings were achieved by implementing2467 projects.On 2 September, a CD containing Case Studies onEnergy Efficiency compiled from the CII-National Awardfor Excellence in Energy Management conducted in2007, 2008 and 2009 was released.A Manual onBest Practices inThermal Systemswas released on3 September. TheManual containsmore than a dozenbest practices whichwould lead to a 10-15% savings in energyconsumption.MoU on Water ManagementThe CII Water Instituteinked a MoU with theWater Industry Allianceof South Australia on6 September in Chennai.The MoU will facilitateboth organizations towork together in theareas recycling, transferof technology and sharingof best practices.T T Ashok, Dy Chairman, CII (SR);Dr Ajay Mathur, and Rajeev Ranjan,Principal Secretary, Industries,Tamil NaduSigning of MoU on WaterManagementEnterprise Risk ManagementA seminar on Enterprise Risk Management was organisedby the CII-Total Cost Management Division (TCM) on17 September in Bangalore.The seminar explored the risk management challengesfacing global organizations, discussed leading practicesand shared the perspectives of board members,investors, and corporate executives on building a riskresilient company.World Green Building WeekThe Indian Green Building Council (IGBC), a FoundingMember of the World GBC celebrated World Green BuildingWeek from 20-26 September. IGBC local chapters, certifiedprojects and registered projects and other stakeholdersalso celebrated the Week across the country.As part of the celebrations, the Centre invited schooland college students to the building and briefed themon its green features.Communiqué October 2010 | 35

leadershiptowards excellenceCII-Suresh Neotia Centre ofExcellence for LeadershipLeadership through Manufacturing ExcellenceAchieving manufacturing excellence is a survivalprerequisite for all organizations to remain competitiveand sustain growth. For world-class manufacturers,minimal performance requirements include predictableyear-over-year actual per unit cost reductions, reducingvariation, improved product quality and excellence incustomer service.The National Seminar on ‘Leadership throughManufacturing Excellence’ on 2 – 3 September sought tointegrate all the key drivers of manufacturing excellence.It focused on understanding the inter-relationships of howmanufacturing companies are making substantial effortsto implement new technologies as well as introduce newproducts, designs and services. The seminar assistedcompanies to benchmark international best practices,recognize crucial success features for manufacturingin today’s global economy, create benchmarks, andunderstand and adopt new manufacturing processesto increase productive performance.Value Analysis and PricingPricing is a key lever for increasing profitability. Theimpact of any change in Price on the bottom lineis much more than with similar changes in Salesor Costs. Pricing decisions, though influenced bycost and competition, must ultimately be based onthe customers’ perception of value delivered by theproducts and services. Knowledge and implementationof strategic pricing tools is the key to long termprofitability of the business.The workshop on ‘Value Analysis and Pricing,’ held on15 September, discussed the tools and techniques toanalyze the value of a product and then deliver it tothe customers at the right price. The workshop alsoenabled the participants to have a better understandingof pricing through various pricing concepts, case studiesand exercises.Mastering Entrepreneurship SeriesThe ‘Mastering Entrepreneurship Series,’ which looksat the four primary aspects of running a successfulbusiness, started with a session on Strategic Planningon 28 August. The series continued with a workshopon 4 September on Financing a New Venture. It talkedabout Sourcing Finance through traditional routes as wellas through venture capital and IPOs. Risk managementand Statutory Compliances were also discussed.In a competitive market the future of a venture is integrallyconnected with the product being offered. Knowinghow to create a differentiator and build a brand out ofit is what the third session on 11 September was allabout. The basics of marketing and brand building wereexemplified through case studies.The series was wrapped up on 18 September with a lookat Production and Operations Management. This includedsupply chain management and vendor development. Adiscussion on HR issues concerning labour and tradeunions completed the Entrepreneurship Series.Understanding Financial StatementsManagers in any business must understand the impactof their decisions on the financials of the company.The workshop on Understanding Financial Statements,conducted on 23 September, provided the tools requiredto read financial statements through practical exercises. ItCommuniqué October 2010 | 37

leadershipalso lookedat analyzingbalancesheets, profitand loss, andcash flowstatements,as well asthe connection between them. The workshop providedan introduction to IFRS and the changes in financialreporting requirements.Ethical Hacking and Computer SecurityWith the rapidexpansion ofIT, networkshave becomethe vascularsystem ofm o d e r norganizations.They provide the passageway for information to flowthroughout the organization. Susceptibility to cybercrime, however, increases with the use of IT. Withinminutes, cyber attackers can not only extract informationabout a company assets, but also cripple its applicationsand digital systems.The seminar on ‘Ethical Hacking and Computer Security,’conducted by Mr. Ankit Fadia, on 25 September,discussed ways to preempt such cyber invasions. Itexamined the threats we are exposed to and defensemechanisms to eliminate them.HRM at the Plant LevelIn thecurrent dayscenario, goodmanagementpractices gohand in handwith good tradeunionism. TheWorkshopon ‘HumanResource Management’ at the Plant Level, held on28-29 September, analyzed the current trends andpractices in the Indian industrial relations scenario and thedevelopments in the statutory environment which governindustrial relations. It deliberated upon the role of tradeunion leadership and the practices on contract labour withregard to motivation and commitment, skills developmentand training as well as absorption of contract labour.Largely based on experience sharing, the workshopsought to draw upon the experiences of veterans fromthe government, industry and also the trade unions toprovide a 360-degree perception on the subject.Advertise in CII Communique, to reach the top management ofIndian industry every monthMechanical Details & TariffFULL PAGE ( 4 COLOR) Charges per release: BACK COVER (4 COLOR) Charges per release:Size: 23 cms (height) by17 cms (width)Left hand position Rs 15,000/US $ 450Right hand position Rs 20,000/US $ 575Size: 23 cms (height) by 17 cms (width) Rs 28,000 /US$775FRONT/BACK INSIDE COVER/PAGE 1(4 COLOR)DOUBLE SPREAD (4 COLOR) Size: 23 cms (height) by 17 cms (width) Rs 23,000 /US$650Size 23 cms (Height) by 36 cms (Width) Rs 35,000 /US$ 1000Half page advertisement size 11 cms(height) by 17 cms (width)Rs 8,00038 | October 2010 Communiqué

qualitytowards excellenceQuality in HealthcareTHE HEALTHCAREindustry needs toredefine quality alignedwith the expectationsof today’s customerswho are intelligentand technologicallywell equipped” saidMs Suneeta Reddy,Executive Director(Finance), ApolloHospitals Group in her keynote address at the NationalConference on Quality in Healthcare, ‘India@75: Qualityand Affordable Healthcare for All’ organized by the CIIInstitute of Quality on 24-25 September in Chennai.Gujarat; Dr Lloyd Nazareth, COO, Fortis Hospitals; Dr V K Singh, Director,Healthcare, Asia, Simpler Consulting; Chris Lloyd, Vice President, Healthcare,Simpler Consulting, Suneeta Reddy, Executive Director, Apollo Hospitals; andVinoy Singh, Head, Health Informatics, Srishtisoft“Today, customers expect a Quality clinical outcome.Scaling up medical services and also reaching out topeople in their locality would enable healthcare serviceaffordable to the masses,” she said. Highlighting that“we have 60 million cardio-vascular cases and 57 milliondiabetic cases,” and that around 9.2 million man hourshave been lost in our country due to lack of preventivehealthcare she underlined the need for preventive care.Ms Reddy observed that technology and innovationwould play a key role in accessing quality and costeffective healthcare services.Dr. Nandakumar Jairam, Chairman, CII-IQ HealthcareQuality Task Force, and Chairman, Columbia AsiaHospitals, in his theme address, noted that the healthcarescenario in India has changed both demographically andeconomically in the past two decades. The Healthcareindustry should focus on developing affordable,accessible and accountable basic services with Qualityand sustainability as the key drivers, he said. The gapbetween the rural and urban healthcare facilities needto be bridged in order to achieve ‘healthcare for all’,he observed.This year’s National Conference attracted over 110delegates from 30 organizations to further promote theCII Institute of Quality’s initiative to promote quality andaffordable healthcare for all.In a special plenary session on ‘Affordable Healthcarefor All,’ Dr K M Cherian, Chairman and Chief ExecutiveOfficer, InternationalCentre for CardioThoracic and VascularDisease, touchedupon organizationalexcellence, excellencein patient-care andleadership excellencein Healthcare. Mr.R Basil, ExecutivePresident, Healthcare,Apollo Hospitals, noted that emotional issues play apivotal role in leadership in healthcare organisations.In the session on ‘Standardisation and Accreditation,’Dr Girdhar Gyani, Secretary General, QCI, pointed thatthe cost incurred on standardization and accreditationultimately leads to an overall reduction in cost byremoving non value-added processes. Accreditationis a risk reduction strategy to improve patient safetyand reduce errors, agreed Dr Ashraf Ismail, ManagingDirector, JCI Middle East.The session on ‘Quality beyond Compliance’ introducedthe concept of the Healthcare Excellence Model, basedon the EFQM Model, soon to be launched by the CIIInstitute of Quality. The model shall also form the basisfor the CII Healthcare Excellence Award which wouldbe operational from 2011.Day 2 opened with a topic of utmost concern for theHealthcare industry: ‘Outreaching Healthcare Services toMasses.’ where it is needed the most. Dr T Sundaraman,Executive Director, National Health Systems ResourceCentre (NHSRC) spoke about the various initiativesand steps taken in the field of public health by theCentre.Other sessions discussed the ‘Role of MedicalTechnologies and IT in Healthcare’ ‘Financing’ and theneed for skilled manpower in the healthcare industry.Dr Satish Gupta, Senior Consultant (Cardiologist), JVVMGlobal Hospital & Research Centre, in his valedictoryaddress, spoke about the ‘3-Dimensional Approach toTotal Wellness.’ He explained how modifying our lifestyle,food habits and thought processes can reduce the riskof various chronic diseases.Communiqué October 2010 | 39

qualityNeed for aHealthcare Excellence ModelTHE HEALTHCARE SECTOR in India has registereda growth of 9.3 per cent between 2000-2009,comparable to the sectoral growth rate of otheremerging economies such as China, Brazil andMexico. The growth in the sector would be drivenby healthcare facilities, private and public sectors,medical diagnostic and pathological labs andthe medical insurance sector. It is expected thatdiagnostics would contribute US$ 2.5 billion to thehealthcare industry by 2012.According to reports, the Indian healthcare market isexpected to continue growing at projected rates of 10to 12 per cent per annum. With average householdconsumption expected to increase by more than 7 percent per annum, the annual healthcare expenditureis projected to grow at 10 per cent annually.Medical tourism in India has emerged as the fastestgrowing segment of the tourism industry despitethe global economic downturn. High costs andlong waiting periods in the developed countries,and the lack of availability of specialised treatmentin developing countries has been forcing patientsfrom such regions to look for alternative and costeffectivedestinations for treatment. The Indianmedical tourism industry is at present at a nascentstage, but has enormous potential for future growthand development.To take up this challenge, every healthcare providerneeds to imbibe the concepts of quality care tothe patients. Although quality consciousness inthe healthcare industry is relatively new to India,it is taking root. We now have many ISO certifiedhospitals. To attract overseas patients, a few hospitalshave even got JCI Accreditation. NABH has alsolaunched national accreditation systems.Every country has its own system of ensuringqualitative health care offerings. Lately, private andgovernment healthcare providers are increasinglygetting conscious of the need to provide qualityhealthcare to meet community aspirations.Quality is beyond accreditation. Continuous qualityimprovement should be an integral constituent of themanagement system to provide quality healthcare atan affordable cost to the patients.The CII Institute of Quality (CII- IQ) has taken initiativesto develop a healthcare excellence model to driveproductivity, effectiveness and progress towardsstrategic goals in a healthcare organisation. Themodel, based on the EFQM model of excellence, isthe first initiative in India to meet the specific needsof the sector. The model is being launched to forma basis for the Healthcare Excellence Award, to beoperational in 2011.40 | October 2010 Communiqué

qualityFuture personal transport system at the Toyota MuseumTHE CII INSTITUTE OF QUALITY’S Lean ManagementDivision organised its first Lean Manufacturing StudyMission to Japan from 23-27 August.Twenty – six participants from 15 leading Indiancompanies visited Japan to understand the trend-settingmethodologies practiced by leading Japanese companiesin Manufacturing, many of which have developed theirown specialized production system like the ToyotaProduction, Nissan Production Way, Denso ManufacturingWay-Monodzukuri, Nippon Production System, et al. Thevisit exposed the participants to live demonstrations onvarious techniques, tools and concepts of the differentproduction systems being practiced successfully. Theintegration of the management philosophies in effectingday-to-day improvement activities was the key learningfor the participants.Besides the plant visits, the mission members alsoattended a seminar on Lean Production Systemconducted by JMA Consultants Inc., Japan.1st LeanManufacturingStudy Missionto JapanView of Denso GalleryMission members at Toyota Motor Corporation, Motomachi Plant, JapanCommuniqué October 2010 | 41

qualityKEY LEARNINGS – Never-ending synchronization of manufacturing withcustomer needs– Never-ending quest to identify problems and put in Toyota Museumplace solutions suppliers, and firm 4 days of order. The ProductionPromotion Centre (PPC) plans the production based onfixed order books from the dealers, possible unknowncustomers and on market analysis. Denso Corporation - Takatana Plantand delivery of parts takes placeevery 4 hours as per Kanban. of the work is executed byrobots. Loading and unloadingis automated. shift's target output, indicatingView of Denso Gallerywhich line has stopped or isrunning slowly, and which line is operating according toschedule. Kaizens are recognised and appreciated. Eco Processes, Eco Products and Eco Solutions. re-utilization of resources and waste management andenvironmental conservation are given primary focus. 100% conversion takes place i.e. 20%-coke, 40%-cokeoven gas, 40%-hydrocarbon oil. These re-born cokeand coke gases are directly utilized in the steel plant. weight) and heavy materials. Toyota Motor Corporation Andon for identifying problems in the production line,are the unique features of this plant. Production System, its robustness and real-timeimplementation was a good take-away. the Champions’ – a series of skill tests timed againstplant workers via video recording. The champions (plantworkers) remained unbeaten!The Toyota Museum is a huge learning centre on theToyota Production System. Video presentations andmodels of the productions explain the way Toyota works.They also show the history of Toyota’s culture, productsand the emerging technological vehicles. ‘Denso manufacturing way,Monodzukuri’ which is basedon both technology andhuman skill development. TheirProduction Promotion Centregave a presentation on theirMonodzukuri way of operations– the DNA to establish the skillsrequired for manufacturing, and how to use this conceptto improve the overall quality of the products. process and other shopfloor activities, offers a clearunderstanding of the Monodzukuri. in its rightful place along with proper markings, despitehectic machine operations happening all around. reduction efforts. It is striving to achieve zero-landfilldisposals and voluntary reductions in the use of chemicalsubstances and conserving energy.Management Innovation Center, Nagoya (MIC)MIC is a leading training and consulting companyunder the Toyota group, providing tailored solutionsin manufacturing management and performanceimprovement through TPS. As of 2009, over 26000overseas trainees have completed the training at MIC.The MIC works on two business areas:(1) Training: Education, shopfloor training(2) Consulting: Support for practicing.The delegatess were exposed to the training methodologiesprovided by MIC on TPS through a very interactive sessionat a well equipped simulation room in their campus.44 | October 2010 Communiqué

qualityGifu Autobody Company Ltd, Nagoya enabled the visitors to see each workstation in operation,the Kanban pooling system between the factories and theirsuppliers with respect to the material supply system, theAndon system, and the Hijunka box- a visual schedulingtool for level production. items produced in the shopfloor. These defective partsare exhibited and then used for a detailed analysis soas not to produce such defects again.Seminar on Lean Production SystemThe mission members were exposed to the Japanese wayof production and how Lean Production is implementedin the companies. Mr. Takashi Asano President, JMAConsulting Inc, Japan, gave a brief on JMAC and theLean philosophy. He explained how to develop a lean“mind-to-waste” to reduce life time loss, and stressedthe importance of trusting/respecting people. He alsodiscussed the Go & See ‘Gemba-ism’ for making anyimprovement, and the role of team work towards attaininga common vision.Mr Kenji Mitsumoto, in the session on World ClassManufacturing through Lean Production and Monodzukuri- a Japanese production way, gave in - depth informationon Jidoka and other lean concepts, and in-buildingquality in the manufacturing process.The essential points for successful implementation of LeanProduction system, he said, are to have a clear road map,start from an easily visible area where everybody canvisualize before and after, and involve people. Managersshould be role models in following the systems, he said.Members were also exposed to the power of Monodzukuriinnovation and how it spreads throughout the manufacturingfrom development to production and distribution. The 4key elements of Monodzukuri Innovation, which buildscompetitiveness of companies, are:1. Higher cost effectiveness for implementation:Orientation towards low cost, flexible automation,workerless shopfloor2. Increasing quality strength: Quality initiatives andhigher quality for customer delight features3. Higher product development capability: Form aproduct development perspective and creation ofuniqueness through products, giving a high contributionto turnover and income4. Higher HR capability: Human ResourceDevelopmentFEEDBACKSeiji Honda, General Manager, Nissan Oppama plant, addressingCII mission membersThe visit to Nippon Steel gave a good insight into theirmanufacturing practices. The new learning was theMonozukuri concept. The visit to the Toyota shop floorwas great to learn and see the actual implementationof the Toyota Production System.Ganesh Iyer, Director, Six Sigma Alchemy (P) LtdThe emphasis of Toyota’s ‘Customer First’ and itsevolving HR practices,the Global Training & IntegrationProgramme of Denso and the low cost yet effectiveassembly line of Gifu Auto were the salient takeawaysof the Study Mission. The selection of companiescovering different aspects of manufacturing was verygood for learning.G Sundararaman, AVP Quality, JCB India LtdLessons in Kanban, Kaizan, Automation and WasteElimination were further assimilated during thisMission. The Plant visit to GIFU Auto was veryinteresting.D Y Leo Michael, Manager - New Projects & Development, TitanIndustries Ltd. (Jewellery Division)The Mission gave an opportunity to observe theJapanese work culture and standardization of workby breaking them into small work elements. We alsosaw waste elimination in a different light, especiallyin Nippon Steel.Mandar Puranik, AGM - Plant Logistics Group, Tata Motors LtdWe were able to see world class manufacturingfacilities and the latest techniques adopted forimprovements, visual communication, training methodsand eco friendly approach in Manufacturing. The useof the Monozukuri concept to build manufacturingexcellence was particularly interesting.Umesh Kumar Handa,GM Co-ordinator / MR, Orient Faishons Export India Pvt. Ltd.Communiqué October 2010 | 45

qualityCII-IQ contributes to NIFTEMIN ORDER TO harness the full potential of the IndianFood Processing Industry, the Ministry of Food ProcessingIndustries (MoFPI) has taken a pathbreaking initiativeto set up the National Institute of Food TechnologyEntrepreneurship and Management (NIFTEM) at Kundli inSonepat, Haryana. As an apex world class institute, thisinstitute will cater to the needs of various stakeholders,including exporters, entrepreneurs and policy makers.The institute is slated to provide a major thrust to thefood processing sector in the country.NIFTEM would delve beyond traditional food technologyand adopt a more holistic approach to food sciences byencompassing agri-business management, organizationbehavior, accountancy, macro and micro economics, foodmicrobiology, food safety, sensory evaluation, food projectplanning and entrepreneurship and business developmentplan etc. A unique feature planned is ‘Village Adoption’by students for a short period during each semester.CII-IQ has been involved in three initiatives of NIFTEM: of B. Tech degree programme Laboratories Consultancy in the Food Processing Sector.For the B. Tech degree programme, CII-IQ contributedtowards the development of course content in the areasof food microbiology and food safety, food additives,ingredients and contaminants, food plant utilities andsanitation, IPR and patents, food laws, standards andregulations and sensory evaluation of food.Similarly, for the Infrastructural Development of Laboratories,the team identified various tests, equipment and apparatusrequired and tentative budgets for the same.During the Interactive Workshop on Skill Developmentand Consultancy in the Food Processing Sector, the teamidentified various skill gaps in the area of Food Safetyand Quality e.g. basic hygiene, cleaning and sanitation,sensory evaluation, pest management, packagingand labelling and waste management. The team alsosuggested a roadmap for each skill gap.JIPM TPM AwardsTHE JIPM TPM awards International Assessment AgencyForum meeting was held on 16 September in Taiwan.Agencies from UK (SMMT), Thailand (TPA), Taiwan(CSD) and India (CII) participated in this meeting alongwith JIPM, Japan, to discuss the way forward on theTPM awards and on how to develop and promote TPMacross the world.To mark its 20th Anniversary, Corporate SynergyDevelopment (CSD), the TPM International AssessmentAgency from Taiwan, organised a TPM Conference on17 September. The other assessment agencies sharedtheir experience on how TPM was developed in theircountries and how industries have taken it forward.Ms Wei-Ji Can, Secretary General, Industrial DevelopmentBureau, Ministry of Economic Affairs, Taiwan, was theChief Guest and delivered the inaugural address.The team from CII visited Wrigley Taiwan Ltd tounderstand how TPM was implemented. The Wrigleyteam, led by Mr CT Lu, Production Manager, explainedhow TPM helped them in addressing their potentialreduction in market share with competitors enteringthe market, increasing customer demands, cost rise,insufficient factory space, frequent changeovers inproduction line etc. Some of the intense TPM activitiesat their factory resulted in a saving of USD 2.6 millionsince the inception of TPM in 2004. Cumulatively,one million work hours without loss of working days,along with an increase in market share from 85% to90% which is a phenomenal achievement, throughTPM practices.Tien, Kuei-Fen, GSK Corp, Taiwan, Yang, Kuo-Lin, Yieh Phui Enterprise Co., Ltd., Taiwan, Takenori Akimoto, Japan Institute of Plant Maintenance,Japan, Arthur David, SMMT Industry Forum, UK, Su Chin-ho, Corporate Synergy Development Center, Taiwan, Rajesh Parim, CII, India,Pornchai Yongwattanasoontorn, Technology Promotion Association, Thailand and Sam Hsu, Victor Taichung Machinery Works Co., Ltd., TaiwanCommuniqué October 2010 | 47

India Innovation Initiative –i3 Regional FairsWith the mission of harnessing innovations for wealthgeneration and societal benefit, the regional fairs showcasedinnovations in various technology domains18 TO 81 YEARS – there is no agebar for Innovations. This was amplyproved by the 186 innovationsshort-listed at the i3 regional fairsin Mumbai, Durgapur, and Chennai,organised by CII, the Departmentof Science and Technology (DST)and Agilent Technologies under theIndia Innovation Initiative – i3 2010Campaign.Addressing the need to create aninnovation ecosystem in the country,the India Innovation Initiative -i3 waslaunched as a nation-wide innovationcompetition for innovators above 18years, in April 2009, to sensitize,encourage and promote innovators,and facilitate the commercializationof innovations.At the regional fairs, high profilejury members from banking, CSIRinstitutes and industry scrutinisedall the contributions to shortlist thebest innovations, based on theirtechnical feasibility, market potentialand impact on industry, society andthe environment, to compete withselected innovations from otherregions for the i3 National Fair.Around 890 projects were receivedin all from across the country, inthe broad categories of (Mechanical/Automobile etc).The focus areas were Water,Transportation, Energy,Environment, Healthcare, Agro/Food, Assistive Technology,Infrastructure, Internal SecurityApplications, Education andSpace.i3 not only recognizes the bestinnovations but also assiststhe innovators with incubationsupport, making business plansand help them commercialize theirtechnologies with the support of itsknowledge partners: Young Indians(Yi), the Center for Innovation,Incubation and Entrepreneurship(CIIE), the Society for Innovationand Entrepreneurship (SINE) ofIIT Bombay, and the e-Cell ofIIT Bombay. CII’s TechnologyDevelopment and PromotionCentres in Andhra Pradesh andTamil Nadu (APTDC and TNTDPC)carried out the initial level screeningof the projects. Additionally, SINEand the e-Cell of IIT Bombay willprovide mentoring services to theawardees at the national level. SINEis one of the largest incubators inIndia and been adjudged the bestincubator for 2009.Around 50 innovations in varioustechnology domains were48 | October 2010 Communiqué

knowledge & innovation initiativesshowcased and competed witheach other in the Western Regioni3 Regional Fair at IIT Bombay on24 September. The best 15 wereshort-listed, including one from an81 year old innovator!Mr. G. Sunderraman, VicePresident - Innovation, Godrej &Boyce Mfg Co Ltd, in his welcomeremarks, described the Fair as acatchment area to get more andmore Innovations. Prof. ShashikantSuryanarayanan, Founder,Sedemac Mechatronics, Mumbai,spoke about the challengesof converting an idea into abusiness.About 73 innovations were selectedto be displayed at the SouthernRegional Fair in Chennai on29 and 30 September. Mr. HariBhaskaran, Key Mentor, MemberStrategic Committee – Chennai Cluster, Mr M Ponnavaiko,Provost, SRM University and Mr S Sivagnanam,Director,MME – DI, Union Ministry of Small Scale Industries,were present at the inauguration.The innovators showcased innovations in prototypes,posters and video demonstrations.Twenty-two innovations were shortlistedfor the National Fair from theSouthern Region.Around 40 innovations in varioustechnology domains wereshowcased and competed witheach other in the Eastern Regionali3 Fair on 30 September in NITDurgapur. Significantly, most of theinnovators were ready with theirprototypes and proof of concept.The best 15 were short-listed forthe i3 National Fair.The i3 Eastern Regional Fairwas inaugurated by Prof.Swapan Bhattacharya, Director,NIT. Mr. Sanjay Bansal, ChiefExecutive Officer, Asansol DistrictDevelopment Authority (ADDA),Durgapur, was the chief guest.Some of the short-listed innovationsincluded simple products with immense potential forproblem-solving, such as an intelligent fan regulator, alift operating on potential energy, a grabbing bucket, anew kind of innovation on cancer research, a patentedproduct on hollow clay brick etc.India-US Innovation Exchange ForumThere is a robust desire to create partnerships ontechnology and innovation in both India and theUnited States. The goal is to create private-sectorcollaborations from the ‘bottom-up’ with governmentplaying a supportive role. The US-India InnovationExchange Forum has been conceived with this inmind.A high level US Innovation Delegation, led by MrAneesh Chopra, Chief Technology Officer, WhiteHouse, recently visited India to identify concreteprojects. Keen to get hands-on feel of the key issues,the US team visited a number of places in Delhi andRajasthan to interact with various stakeholders. Theirmeetings included an interaction with Mr NandanNilekani, architects involved in green buildings andyoung parliamentarians.Based on their interactions and experiences, an‘Innovation Roundtable’ was organized as a ‘wayforward meeting,’ jointly by the Department of Science& Technology, CII, and the US Embassy in India on14 September, in New Delhi. The delegation spelt outtheir experiences and discussed possible outcomeswith Mr. Sam Pitroda, Advisor to the Prime Ministeron Public Information Infrastructure & Innovations, DrT Ramasami, Secretary, Science & Technology, India,and CII.The discussions showed that while some projectscan be immediately started without any new budgetsand regulations, certain long term projects mayrequire greater governmental intervention, and hencethe projects need would be classified accordingly.Some areas of cooperation that have been identifiedfor immediate closer interaction between the twogovernments are cooperation with the NIC for thee-governance project, and projects in public health andin education to train a million teachers on the use ofIT as a leveraging tool. Some areas where the privatesector could possibly collaborate immediately are inCommuniqué October 2010 | 49

knowledge & innovation initiativesChandrajit Banerjee, Director General, CII; Sam Pitroda, Advisor to the Prime Minister on Public Information Infrastructure & Innovations;clean affordable energy and waste management. Thefocus should be to leverage technology to suit theIndian markets at lowest cost and then leverage thatto storm the global markets.Based on the interaction, ‘Institutionalization’ of thisIndo-US Innovation Exchange Forum, would be lookedat, to ensure that this partnership does not end witha couple of reciprocal visits. While the Forum couldwork under the aegis of the DST from the Indianside, it should also have close links with the NationalInnovation Council. The US side too has to work outwhich agency within the Government should steerthe Forum.Mr. Alec Ross, Advisor on Innovation to the Secretary ofState, USA, would collate and forward a definite actionplan on various possible areas of collaboration.Life SciencesTraining Course on Good Laboratory PracticesCII, in association with the National Good LaboratoryPractice (GLP) Compliance Monitoring Authority(NGCMA), Department of Science and Technology(DST), Government of India, organized the ThirdTraining Course for GLP Inspectors from 3-9 Octoberin Gurgaon.NGCMA is the apex body in the country responsibleto ensure that the National GLP Programme functionsas per Organisation for Economic Co-operation andDevelopment (OECD) norms and principles.Thirty –two scientists participated in the trainingprogramme, representing major national research andacademic organizations. Faculty from the UK, Germany,and South Africa, who are senior members of theOECD Working Group on GLP and also head the GLPCompliance Monitoring Authority in their respectivecountries, conducted a major part of the course, joiningfaculty from NGCMA and the industry.Participants at the CII-DST Third Training Course for Good Laboratory Practice (GLP) Inspectors in Gurgaon50 | October 2010 Communiqué

North East - Arunachal PradeshNorth-East Expo ItanagarCII, with the support of the Ministry ofDevelopment of North Eastern Region(DONER) and the Government ofArunachal Pradesh organized the North-East Expo Itanagar from 29 Septemberto 1 October at Itanagar, ArunachalPradesh. The exposition focused on theemerging opportunities in the areas ofTourism, Handlooms and Handicrafts,Organic Farming and Horticulture. Inan attempt to identify potential businessexchanges in the region, the initiativecreated a unique forum to project thecapabilities of Arunachal Pradesh.Mr Setong Sena, Minister for Finance, Trade &Commerce, Arunachal Pradesh, while inaugurating theExpo, said “in order to improve the economic well beingof the people of Arunachal Pradesh, it is necessary toharness the agricultural, forestry, floriculture and humanresource potential available in the state.” He highlightedthe importance of developing the micro small sectorfirst, to build confidence among the people, beforeundertaking bigger projects.Alongside, a conference on ‘Sustainable Developmentof Arunachal Pradesh’ updated budding, youngentrepreneurs aware about the schemes and opportunitiesavailable for setting up enterprises of various types.Institutions like NEDFi, NSIC, NABARD, and NERAMACwere among the participants at the Expo.Setong Sena, Minister for Finance, Trade & Commerce, Arunachal Pradesh, inauguratingthe North East Expo in ItanagarSetong SenaM Pertin, Commissioner,Industries, Trade & Commerce,Arunachal PradeshAssamCSR ConclaveCII organized a conclave on Corporate Social Sustainable Inclusiveness, on 23 September inGuwahati. The objective of the conclave was to sensitizeand mainstream the CSR agenda, and align governmentaldevelopmental priorities with corporate response.The conference looked at concretizing action plansfor corporates to take on social responsibility, sharegood practices and sensitize the society at large.Dipankar Chatterji, Chairman, CII NE Council & Sr Partner, LB Jha& Co., Naba Kumar Das, Chief Secretary, Assam, Dr Bhupati K Das,Ltd., and Atreyee B. Thekedath, Chairperson, Yi, Guwahati &Director, Web.Com (India) Pvt. Ltd., releasing the CSR CompendiumCommuniqué October 2010 | 51

development initiativesIt provided a platformto Industry, NGOs, civilsociety and Governmentto sensitize and createawareness on the newand emerging scenario ofCSR. Since the conceptof CSR has undergonea tremendous change ofgoing beyond charity andphilanthropy, businesshouses and the corporates need to integrate thesocial environment and ethical concerns into thecompany’s business processes, and gradually realizestability and sustainability.Inaugurating the Conclave, Mr N.K. Das, ChiefSecretary, Assam, said the corporate sector could helpView of the exhibition during the CSR Conclave in Guwahaticreate the right kind of atmosphere and developmentin the state, especially in the areas of education,skill development, healthcare, sanitation and womenempowerment.Skill Development in the Oil & Gas SectorManoj Jalan, Chairman, CII Upper Assam Zonal Council, and MD, Purvi Discovery Ltd, J K Singh Teotia, MD, Brahmaputra Crackers andPolymers Ltd, Dr Bhupati K Das, Bhupen Barpatra Gohain, MD, Assam Gas Company Ltd and Samrat Deka, Director, SRD Nutrients Pvt LtdThe industrial landscape of Assam is going through agraduation transformation heralding new investmentsin existing, new and emerging sectors, spurring greatdemand for skilled manpower.CII, in partnership with the Government of Assam, hasundertaken various initiatives for skill development inthe State. Recognizing the increasing demand of skilledmanpower in the Oil and Gas Sector, CII, with the supportof the Directorate of Labour & Employment, organized aStakeholders Roundtable on Skill Development in the Oil& Gas Sector on 6 September in Dibrugarh, Assam.Dr Bhupati K Das, Chairman, CII Assam State Council,and Managing Director, Numaligarh Refinery Ltd inhis keynote address, highlighted the urgent need todevelop skill sets outside the contours of universityeducation to meet the increasing demand in the Oiland Gas sector. Mr J K Singh Teotia, Managing Director,Brahmaputra Crackers Polymers Ltd (BCPL) said thatthe upcoming Rs 6000 crore project would raise a hugemanpower requirement within the projects, and wouldalso spur indirect demand for plastic processing tocater to the downstream industries expected to comeup subsequent to the commissioning of BCPL.Representatives of public sector undertakings like OIL,NRL, GAIL, BCPL, IOC(AOD), NEEPCO and the privatesector participated in the deliberations, which focused onbridging the gap between the demand and supply ofskilled manpower.52 | October 2010 Communiqué

Chapter UpdatesBangaloreA ‘Workshop on Corporate Wellness’ was held on10 September to create a healthy, happy and moreproductive work force. Dr. Narayan Murthy, SeniorCardiologist, BGS Global Hospitals, Dr. MahendraP Sharma, Associate Professor, NIMHANS, Dr. AjayPatwardhan, Director, India Medical Services, GE IndiaTechnology Center Pvt Ltd and Dr. Sudha, SeniorPhysician, Soukya International Holistic Health Center,shared simple doable ways to be fit.ChandigarhA Health Campaignfrom 21 - 25September invarious locationsof the city, spreadawareness onhealth issues likeheart problems,diabetes, etc. YiBlood donation camp in Chandigarhorganised a blooddonation camp, deworming drives, health check-upcamp, eye check-up camp, session on cardiac careand diabetes, as part of the campaign, impacting 500people across the city.ChennaiOn 24 September, Mr. Aman Mustafa, Vice President& Country Manager, ACS Global Operation Support –A Xerox Company, spoke on the topic ‘Starting fromScratch – My Experiences.’CoimbatoreYi Coimbatore hosted many activities in September. On 14September, a session on ‘Business Leadership ThroughEmotional Intelligence Techniques & Martial Arts’, by Mr.Paul Mracek JP, Speaker, Author, Trainer, Consultant andCEO Kotan, Australia, discussed ancient martial arts andtheir use in beating day to day stress.On 21 September, a session was organised on‘Enhancing Creative Business Leadership throughSpiritual Intelligence’ with Prof. S A R PrasannaVenkatachariar Chaturvedi Swami, Speaker, Author,Management Guru and Head, Sri Sudarshana Peetam,and Founder and Managing Trustee, Sri RamanujaMission, and Founder-Director, Forum of Scientistsaiming at Peace and Harmony.On 24 September, Yi Coimbatore organised a sessionwith the Mumbai Dabbawalas. The session wasaddressed by Dr. Pawan G Agrawal, Chief ExecutiveOfficer, Mumbai Dabbawalas’ Association, President,Kamlabai Educational & Charitable Trust & President,Agrawal Institute of Management & Technology.Finally on 26 September, Padma ShriShekhar Kapur, academy award winningfilm director and producer, shared hislove for cinema and film making; andhis commitment to take India to theworld stage, in an interaction with Yimembers.DelhiTo sensitise students about the multi-faceted ecologicalmovement and eco–responsible practices, Yi Delhi,along with the CII Delhi State Council, organised a visitto the ITC Green Centre in Gurgaon for a group of 25students of Vasant Valley School on 24 September. Thevisit introduced the students to new affordable toolsof water, energy and waste management and to newtechnologies used in Green Buildings.Students at the ITC Green Centre in GurgaonShekhar Kapur,Film Directorand ProducerErodeOn 2 September, Mr. E. Sarath Babu, Founder and ChiefExecutive Officer, Food King Catering Services, sharedhis life experiences and mantra of success with morethan 1350 students.E. Sarath Babu, Founder & CEO, Food King Catering Services,addressing students in ErodeCommuniqué October 2010 | 53

yiOn 25 September, Yi Erode organised an interestingsession with the Mumbai Dabbawalas.GoaStudents at the All-Goa Drawing Competition on EnvironmentOn 28 August, Yi Goa organised an ‘All Goa DrawingCompetition on Environment’ as a part of the ‘Yi NationalHeritage Week’ celebrations, to create awareness onmaintaining a sustainable environment. Around 100 studentsfrom various schools came up with original ideas and theiraspirations for a clean and healthy environment.On 1 September, in a special interaction, Mr. SanjitRodrigues, Managing Director, Goa State IndustrialDevelopment Corporation and OSD to the ChiefMinister of Goa, discussed the various issues relatedto governance in Goa.Yi Goa in association with the Village Panchayat of Queladistributed 220 fruit- bearing tree saplings in Marcaimconstituency of Ponda taluka on 3 September.HyderabadOn 24 September, Mr. M K Patodia, Chairman andManaging Director, GTN Industries, shared his strugglesand experiences to make GTN textiles one of the toptextile companies in India. GTN industries have beenwinning the Best Exporter Award from the Governmentof India continuously for 18 years.On the same day YiHyderabad Chapter’sOngole Net studentsorganised a blooddonation camp, where163 units of blood werecollected. Mr. KanthilaalDhandai, Ongole DstrictBlood Donation Camp in OngoleCollector, attended thiscamp.IndoreYi Indore organised a seminar on ‘Hemoglobin-Significance & Measures to increase it’ at the KasturbaGram Rural Institute on 5 September.On 19 September, a computer literacy workshop washeld to equip senior citizens with general IT skills likee-mail creation, LIC policy online booking, online railwayticket reservations, etc.KochiYi Kochi organized a learning session on the ‘Power ofBranding’ on 6 September, conducted by Mr. AjayanGopinathan and Mr. Rajan Krishnan of The Philosopher’sStone.KolkataIn a learning event on 17 September, Mr. Paul Jackson,Head of the Department of Strategic and Allied Management,Coventry University, UK, spoke about the different stagesof his career, and discussed the economies and trade ofvarious countries including UK and China.Yi Kolkata also organised an interactive session on 17September with Master Craftsperson Ms. Anuradha Sahu,Member Expert, Planning Commission, and Nationalaward Winner in 2005.MaduraiTraining camp on World First-Aid Day in MaduraiYi Madurai organised a training camp on World First AidDay on 14 September, at the Devadoss multi-specialtyhospital to create awareness on first aid practices andhandling of emergency situations for 700 auto drivers,students and citizens.PuneYi Pune had an active month. On 7 September, aninteractive session on ‘Wildlife and Environment’ gave thestudents of St. Joseph School insights on environmentalconservation.On 8 and 12 September, orientation programmes wereheld for the students of the I2 IT College and theSymbiosis College student nets respectively.A fundraiser Golf Tournament during the ‘Joy of Giving’Week on 30 September was well attended and enjoyed byall participants. The funds raised would be utilised underthe education and environmental verticals of Yi Pune.RaipurOn 18 September, Yi Raipur, in association with theAmbedkar Hospital Model Blood Bank, organised aBlood Donation Camp at Vandana Global Ltd. This wasthe ninth blood donation camp organised by Yi Raipurso far this year.54 | October 2010 Communiqué

AsiaChinaCII participates in Summer DavosMr Hari S Bhartia, President, CII, and Co-Chairmanand Managing Director, Jubilant Organosys led alarge delegation of Indian industry to the AnnualMeeting, ‘Summer Davos’, in Tianjin, China from13-15 September. Mr Kapil Sibal, Minister of HumanResource Development, India, andMr BS Yeddyurappa, Chief Minister ofKarnataka, addressed the meeting.Mr Bhartia, as one of the mentors atthe meeting, shared his views on howto translate a country’s innovationchallenges into commercially viablebusiness opportunities, in the sessionon ‘Building Innovation Capacity.’ He also spokeat the plenary session on ‘Driving Growth throughSustainability.’Mr S Gopalakrishnan, Chairman, CII Southern Region,and Chief Executive Officer & Managing Director,Infosys Technologies Ltd, spoke on how to scaleup systems throughout an organization to managerapid growth.Interactive session with Narayana MurthyCII, in association with Infosys(China), organised an interactivesession on ‘Corporate Governanceand Leadership,’ in Shanghai on18 September. Mr N R NarayanaMurthy, Founder Chairman of InfosysTechnologies, said that corporategovernance and leadership plays animportant role in building trust andtransparency. He stressed on theN R Narayana Murthy,Founder Chairman,Infosys Technologiesneed for extending values in public governance andpolicy making.Ms Riva Ganguly Das, Consul General of India in Shanghai,and over 150 representatives of Indian and Chinesecompanies and MNCs, also attended the session.ACFIC visits CIIA 21-member delegation of the All China Federationof Industry and Commerce (ACFIC), led by first VicePresident Mr Quan Zhezhu visited CII in New Delhi on14 September, for an interactive meeting with CII officialsand industry members.Meeting with Yunnan DelegationYunnan delegation in KolkataMembers of CII Eastern Region met with a 12-memberdelegation led by Mr. Mi Dongsheng, Director-General,Development and Reform Commission of Yunnanprovince of China, on 17 September in Kolkata. MrKurush Grant, Chairman, CII Eastern Region, and MrViresh Oberoi, Chairman, International Trade Task Force,CII Eastern Region, called for cooperation between Indiaand Yunnan, and asked the delegation to participate invarious engineering, manufacturing and tourism showsheld in this part of the country. Mr. Mi Dongshengspoke about strengthening India – China trade andbilateral ties.Suzlon Plans ExpansionSuzlon Energy Ltd, India’s biggest maker of windturbines, plans to expand capacity at its plant in China.It would make turbines with a combined electricitygenerating capacity of 1,000 megawatts each year atits China plant by 2013, 67% more than the currentcapacity of 600 megawatts.India-China Financial DialogueChina and India, during the fourth round of their financialdialogue on 2 September, agreed that maintainingcontinuity and stability in economic policy is important forCommuniqué October 2010 | 55

eportglobal economic recovery. The dialogue was co-chairedby Chinese Vice Finance Minister Zhu Guangyao andIndian Finance Secretary Ashok Chawla. Both sidesvowed to further promote bilateral economic cooperation.The previous three rounds of the dialogue were held inApril 2006, December 2007 and January 2009.Huawei Investment in IndiaHuawei has confirmed plans to invest at least $500 millionin a manufacturing plant in India, with the first phase ofthe facility opening this year near Sriperumbudur. Theinvestment will be staggered over the next 5 years.Huawei already has an R&D centre in India, its biggestoutside China, employing around 2,000 people.India-China Bilateral Trade (Jan-August 2010)Trade August 2010 Jan-August 2010Indian exports to China $1.29 bn, up $14.60 bn,61.78% up 73.9%Indian imports fromChinaTotal tradeIndia’s trade deficit$3.59 bn,33.57%$4.88 bn, up40%$2.31 bn, up22.3%$25.73 bn,up 39.2%$40.34 bn,up 50%$11.13 bn,up 10.19%Foreign Trade (January-August 2010)Trade August 2010 Jan-Aug 2010 Exports $139.3 bn +34.4% $989.74 bn +35.5%Imports $119.27 bn +35.2% $855.84 bn +45.5%Total trade $258.57 bn +34.7% $18875.58 bn +40%Surplus $20.03 bn -30.4% $103.9 bn -14.6%http://www.customs.gov.cn/publish/portal0/tab1/info238258.htmTrain Speed RecordA high-speed train running on the Shanghai-Hangzhou(capital of Zhejiang province) railway set a new speedrecord of 416.6 kilometers an hour on 28 September.1.13 Billion Phone UsersChina's phone subscribers rose to 1.13 billion by theend of August. China's internet users reached 420 millionby the end of June, with the internet penetration ratehitting 31.8%.Urbanization RateChina's urbanization rate reached 45.7% by the endof 2008 – up from 10.6% in 1949. China has formed amulti-level urban system with metropolises at the center,small and mid-sized cities forming the backbone, andsmall towns as the base.Tibet Railway ExtensionChina on 26 September began construction on anextension to the world's highest rail link, the Qinghai-Tibet Railway, to connect the Tibetan capital of Lhasato Xigaze, Tibet's second largest city. The extension willcreate a 253 km railway line and would be completedin four years, with a budget of $1.98 billion. This isthe first extension of the Qinghai-Tibet Railway, whichopened in July 2006.Aid to PakistanChina has pledged to give an additional assistance of$200 million to flooded Pakistan, totaling its aid to $250million, its largest-ever humanitarian aid to a foreigncountry. China sent two international search and rescueteams to the worst-hit Thatta district in southern Sindh/The Chinese army sent a 68-member medical team toSehwan, in Sindh, and a 64-member rescue team withfour helicopters to Hyderabad.Power GenerationChina's installed power generation capacity exceeded900 million kilowatts on 20 September, after a reactorwith the second phase of the Ling'ao Nuclear PowerPlant began operation in Guangdong Province.JapanJapan, India reach FTAJapan and India reached a bilateral free trade agreementin Tokyo on 9 September. The pact will eliminate importtariffs on most products traded between the two countrieswithin 10 years. Mr Yoichi Otabe, Deputy Foreign Ministerfor Economic Affairs, led the Japanese negotiating team,while Mr Rahul Khullar, Commerce Secretary, headedthe Indian delegation. The two countries are expected tosign the Japan-India Economic Partnership Agreementduring Indian Prime Minister Manmohan Singh's visit toTokyo in October 2010.Economic Growth UpJapan's economy expanded an annualized real 1.5% inthe April - June quarter, more than the initially reported0.4%, as data for corporate capital investment has beenrevised upward. The growth corresponds to an expansionof 0.4% from the previous quarter through March.Current Account SurplusJapan’s current account surplus widened more thanforecast in July as export gains outpaced imports,suggesting that companies are so far withstanding theCommuniqué October 2010 | 57

eportimpact of the nation’s appreciating currency. The gapexpanded 26% from a year earlier to $20 billion.Interest Rate SteadyThe Bank of Japan voted to keep interest rates at 0.1%,holding off on further measures to tackle a strong yenthat is undermining the country's fragile economicrecovery. The Central Bank has not changed theovernight call rate since December 2008. Prime MinisterKan has proposed a $920 billion ($10.9 billion) jobsfocusedstimulus package.FY 2011 BudgetJapan's general account budget for fiscal 2011 ona request basis reached a record-high 96.75 trillionyen due to swelling debt servicing and social securitycosts. The amount eclipsed the previous high of 95.04trillion yen sought for fiscal 2010, giving the governmentthe daunting task of trimming the bloated requests inthe course of drafting the budget under severe fiscalconstraints.Cabinet ReshufflePrime Minister Naoto Kan, after winning the trust vote,reshuffled his 3-month-old Cabinet on 17 September,replacing 10 of the 17 Cabinet ministers.Aging ProblemCurrently, the ratio of retirees to working-age Japanese is35.5%. In just 10 years time, retirees will make up 48%.By 2050, the ratio of retirees to working-age populationwill reach 76.4%.Slow Export GrowthJapanese exports grew at their slowest pace this yearin August as the impact of a strong yen and softeningoverseas demand illustrated the risks threatening afragile recovery. Strong Asian demand for cars, hightechproducts and factory parts have, in recent months,helped offset a weak domestic picture and enabled atentative economic recovery. While demand for steeland automobile related products saw Japan's exportsjump 15.8% to 5.22 trillion yen year-on-year in August,this was below July's 23.5% rise and the slowest pacesince December 2009.Health, Education AidPrime Minister Naoto Kan, at the Summit on the UNMillennium Development Goals on poverty reductionin New York, pledged that Tokyo will offer a total of$8.5 billion over five years from 2011 to help improvethe health of mothers and babies as well as educationservices in poor countries.Interventions in Currency MarketJapan intervened in the currency market on 15 Septemberfor the first time in six years to weaken the yen, whichhad spiked to 15-year highs against the dollar, batteringthe country's vital exporters. The dollar bounced up to84.52 yen from a low of 82.87 yen earlier after Japan'scentral bank stepped into the market to sell yen andbuy dollars.Laos and CambodiaA 44-memberindustry delegationcoordinated byCII, comprisingmembers fromIndia’s leadingindustry chambers,accompanied MrsPratibha DevisinghSandipan Chakravortty, leader of the CIIPatil, President of delegation, and Habib Md Chowdhury,President, Indian Chamber of Commerce,India on her officialin Laosvisit to Laos andCambodia from 12-15 September.The delegation, led by Mr Sandipan Chakravortty,Managing Director, Tata Steel Processing and DistributionLtd, included representatives of major Indian corporateslike TVS, Tata Steel, Jaguar Overseas, Kirloskar, Wapcos,Cosmos, Ruchi Soya, Amira Foods, Lucky Exports,Hallmark Infrastructure, Union Batteries etc.In both countries, the delegation met and interactedwith key miisters and senior mnistry officials. In Laos,the delegation had extensive discussions with DrNam Viyaketh, Minister of Trade and Commerce; DrSilavong Khoutphaythoune, Minister of Planning &Investment and Dr Soulivong Dalavong, Minister ofEnergy & Mines.In Cambodia, Dr Cham Prasidh, Senior Minister andMinister of Commerce, made a presentation to thedelegation on Cambodia’s economic, industrial andcommercial development. The delegation also metMr Sok Chenda Sophea, Minister attached to thePrime Minister, and Secretary General, Council for theDevelopment of Cambodia.The business programme in each location kicked offwith the delegation members meeting the Presidentof India to apprise her of the existing nature andlevel of investments by Indian companies in thecountry, issues faced and opportunities that couldbe explored.58 | October 2010 Communiqué

eportBusiness Forums were also organized with the localChambers of Commerce in each country. The visitand meetings have helped delegation members get abetter understanding of the business opportunities inthese countries and would be helpful for planning theirexpansion activities in the ASEAN region and takinginvestment decisions.CII and the Indian Chamber of Commerce in Laos signeda Memorandum of Understanding in the presence of thePresident of India and the Lao Minister for Commerce andIndustry for cooperation in various areas like informationsharing on business opportunities, exchanging businessdelegations and encouraging business partnershipsbetween Indian and Lao companies.SingaporeTarun Das, Former Chief Mentor, CII, with Goh Chok Tong,Senior Minister of Singapore, in SingaporeSouth KoreaEconomic GrowthSouth Korea is expected to have the fifth fastest growthrate among G20 nations this year. It is estimated thatthe South Korean economy would grow by 6.1% thisyear, and will climb further to reach the fourth largesteconomic growth rate worldwide next year, at 4.5%.Seabed TunnelDaewoo Construction successfully linked the lastsection of the underwater tunnel for Geoga Bridge inthe city of Geoje, Gyeongsangnam-do in September.The project is a massive effort to build a direct roadwaybetween the cities of Geoje and Busan. Nearly 4km of the 8.2 km road lie under the sea. The entireGeoga Bridge project is expected to be completed byDecember this year.G20 Seoul SummitAccording to the Samsung Economic Research Institute,the total amount of both direct and indirect economiceffects of the G20 Seoul Summit, scheduled to takeplace in November, is estimated to exceed 24 trillionwon. The national brand of Korea is also expected toimprove due to the hosting such a major internationalevent.High Fiscal ReservesAccording to the International Monetary Fund, Koreahas one of the highest fiscal reserve levels amongdeveloped countries, an important indicator of abilityto normalize the economy during global financial crisis.Korea is one of few countries where the national debt iscontinuously decreasing, and the nation is expected tohave the second lowest national debt in 2015 followingAustralia. Korea's national debt as a percentage of GDPwas 32.6.South AsiaSri LankaA 15-member CII Business Leaders Missionvisited Sri Lanka from 26-29 Septemberto discover synergies and areas ofcooperation between India and Sri Lanka.The mission members, apart from lookingat market for their products and servicesin Sri Lanka, explored partnerships withSri Lanka companies in heathcare, IT,training, hospitality, education, infrastructuredevelopment and agriculture.The progamme started with a briefingmeeting with Mr Ashok K Kantha, HighCommissioner of India to Sri Lanka, whoCII Mission members with Basil Rajapaksa, Minister of Economic Development &Tourism, Sri Lanka (centre)Communiqué October 2010 | 59

eportgave an overall picture of Sri Lankan economy,Indo – Sri Lanka economic relations andopportunities for furthering economic cooperationbetween the two countries. The Government ofIndia has provided about US$ 1 billion line ofcredit for the infrastructure development projectsincluding railways and transmission lines in SriLanka.The CII delegates also had meetings with Mr BasilRajapaksa, Minister of Economic Development; DrSarath Amunugama, Deputy Minister of Financeand Planning; Mr Rishad Bathiudeen, Ministry ofIndustry and Commerce; Board of Investment ofSri Lanka; Dr. Sunil Jayantha Nawaratne, Secretary,Ministry of Higher Education and Dr P B Jayasundera,Secretary, Ministry of Finance and Planning. TheMinisters and Government officials reiterated thatthis was the right time to invest in Sri Lanka as thecountry has political stability, conducive environment,growth rate of 8.5 % which has doubled in the pastfive years, controlled inflation, and low unemployment.They highlighted infrastructure, tourism, IT/BPO, training,education, healthcare, renewable energy, shoppingmalls, agriculture/ poultry/ livestock etc as key areasfor co-operation.The Mission also met CII’s MoU partner, the CeylonCIS & RussiaKazakhstanCII organized an India Kazakh Business Forum on 23September in New Delhi, with a 20 member delegationfrom KAZNEX INVEST, the National Agency for Exportsand Investments, Republic of Kazakhstan, led by Mr.Meierzhan Maikenov, Deputy Chairman, of the Agency.The delegation comprised of representatives fromgovernment agencies, industry, trade and agriculturalsector of the Republic of Kazakhstan.The Forum was attended by about 60 industry membersfrom CII. The visitors made presentations on theopportunities in Kazakhstan for business. Individualcompany presentations were also made. Mr K KSinha, Head Investment Promotion and InternationalCooperation, DIPP, made a presentation on the investmentpolicies of India and invited Kazakh businessmen toinvest and seek joint ventures in India.Ambassador V B Soni, Chairman, Infrastructure AlliancesLtd, who chaired the meeting, emphasized on the variousavenues for cooperation to enhance bilateral trade andCII Mission members in Sri LankaChamber of Commerce (CCC), followed by B2B meetingswith leading Sri Lankan companies.CII suggested a 7-point agenda to the CCC, whichincludes Ajay Bisaria, Jt Secretary (ERS), Ministry of External Affairs, India;Amb. Doulat Kuanyshev, Kazakhstan Ambassador to India;M Maikenov, Dy Chairman, Kaznex Invest and Amb. V B Soni,Chairman, Overseas Infrastructure Alliances Private Ltdbusiness cooperation between India and Kazakhstan. Hepointed out the benefits of engaging with Kazakhstandue to its attractive investment and trade policies.Mr Ajay Bisaria, Joint Secretary (Eurasia), Ministry ofExternal Affairs, gave an overview of the Indo-Kazakhrelations, both economic and geopolitical, and spokeabout the government to government initiatives beingtaken to enhance and strengthen relations between thetwo countries.60 | October 2010 Communiqué

eportUzbekistanCII organised a meetingwith Mr I Khydarov, Ministerfor Light Industry, Republicof Uzbekistan, who visitedIndia accompanied by a5-member official delegationrepresenting the offices of thePrime Minister of Uzbekistan,Ministry of Foreign EconomicRelations and other investmentagencies. Mr Khydarov and histeam made a comprehensive presentation on the textileindustry of Uzbekistan, including opportunities and scalefor cooperation with India. He also shared 23 proposedprojects of the Uzbek Textile industry, where he invitedIndian Industry to participate.The Meeting, held on 27 September in New Delhi, wasUzbekistan to India; I Khaydarov, Minister of Light Industries, Uzbekistan; and T Kannan,Chairman, CII National Committee on Textileschaired by Mr. T. Kannan, Chairman CII Textile Committeewho gave a brief presentation on the textile sector inIndia. He also reiterated the tremendous potential thatexists for beneficial cooperation between the textilesectors of both countries. Specific presentations weremade by select Indian companies, which shared theircapabilities and strengths in the textile sector.Commonwealth NationsBuilding Commonwealth Business LinkagesMarket - driven economies,microfinance, frugal innovations,and similar market conditionsshared by Commonwealth countrieswill help these countries formtrade linkages more easily, saidMr. Gregor MacKinnon, ManagingDirector, Commonwealth BusinessCouncil, United Kingdom.Speaking at a CII session on‘Building Business Linkagesbetween India and CommonwealthCountries’ in New Delhi on5 October, Mr. MacKinnon added that multi-sectoral tradein sectors like healthcare, pharmaceuticals, education,skill development etc are where the broad opportunitieslie. Indian trade with Africa will be more private sectordriven.Low cost products, new business models and applicationof micro finance, which are India’s strengths, canbe applied to the developing market and help theCommonwealth countries achieve synergies. The keyareas which will forge business ties are infrastructure,manufacturing, logistics and industries with low carbonemission, added Mr. MacKinnon.Chris Parsons, Chairman - India Group, Herbert Smith; Ajay S Shriram, Chairman CII BusinessClub India and Chairman and Sr. MD, DCM Shriram Consolidated Ltd; Gregor MacKinnon, MD,Commonwealth Business Council, UK; and Roy Newey, Board Director, A4eMr. Chris Parsons, Partner, Herbert Smith, a law firm,said that they were so impressed by the Indian modelof outsourcing that they too were thinking of outsourcingsome of their work to India.India is a place to be in with a long - term strategysad Mr. Roy Newey, Board Director, A4e (Action foremployment).Mr. Ajay Shriram, Chairman CII Business Club,and Chairman and Senior Managing Director, DCMShriram Consolidated Ltd said businesses betweenCommonwealth countries ha ve to be linkages betweenpeople to people, as this will lead to stronger and morelong – lasting ties.Communiqué October 2010 | 61

eportEuropeGermanyPoliticsEnergy PlanFor the first time since 20 years an ‘Energy Plan’ hasbeen approved by the German government to generateenough renewable energy to meet 60% of Germany’senergy needs by 2050, extend the lives of Germany’s17 nuclear power plants by an average of 12 years,and enhance the national grid to transmit reliable andefficient the power from the off-shore wind parks to thesouth of Germany.With 40% of energy used to heat the 18m buildings inGermany, the Government plans to raise subsidies forinsulation, cutting energy used for heating homes andbuildings by 80% over the next 40 years.But many people are upset about longer lives fornuclear power plants. In Berlin, 100, 000 people wenton the streets to protest about changes to the ‘nuclearexit’ agreed by Social Democrats (SPD) and Greens adecade ago.Spending CutsThe Minister of Finance insisted on his plan to cutspending by € 80bn over the next four years in spiteof improving tax revenues this year. He announced thatthis year’s net borrowing requirement would fall to € 50-60bn, well below the € 65bn mentioned in the AugustReport. The Minister rejected fierce criticism that hisbudget cuts would hit the poorest in the country most.More than half of budget spending was still focusedon welfare, he said.Rail ProjectA new unexpected problem for the German governmenthas arisen in Stuttgart – home of Daimler, Porsche,Bosch and many famous ‘Mittelstand’ companies. Thecause is a contentious project to remove an old railterminus to make way for an underground throughstationfor high speed trains. Every day nearly 10,000people gather to protest against the project whose €4bn investment they consider too hefty for minutessaved in train travel.EconomyGermany’s economy will still grow by 3% in 2010 inspite of the fact that exports fell in July and August.Economists do not expect a double-dip back intorecession as German exports to Asia are expected toremain robust.But beyond exports, imports too rose faster over thepast year. In July imports were almost 25% higher thana year before.The steady recovery in the German economy resultedin a further decline in the unemployment figures to aseasonal adjusted level of 3,1m, the lowest since theearly 1990s.The IFO business climate index rose again in September,but only by 0,1 to 106.8 points from a level of 106,7points in August.BusinessesAutomotiveDomestic sales are still on a low level: registering-27% in comparison to last year’s figure. However,exports at +12% are still very good.BMW signed a contract with Saab Automobiles tosupply the next generation of vehicles with fuel-efficientpetrol engines.Electrical & Electronics IndustryThis industry has forecast an increase of 8% of itsannual production, which means € 160bn revenues. Itwas 20% lower last year.BanksThe German Government believes it could reorganizethe troubled publicly-owned Landesbanken. Two of thebiggest Landesbanken, Bayern LB and West LB, havestarted consolidation talks.Deutsche Bank has warned of risks to the economy ifbanks compete in a race to exceed new global capitalstandards according. to the Basel III requirements.CII Activities Under the leadership of Mr Hari S Bhartia, President, CII,a 7 member CII delegation participated in the BDI-Day2010 in Berlin. Mr Bhartia not only gave an excellentwelcome address at the BDI Evening on 27 Septemberbut also delivered the keynote speech at the BDI-Day.The CII participation in the panel discussion has alsobeen highly appreciated.A BDI-CII CEOs Roundtable was also held.It was proposed that CII, after more than two decades,establishes a full-fledged office in Germany in orderto match the importance of relations between botheconomies, with an offer to host this office in the BDIBuilding.62 | October 2010 Communiqué

eportLatin America & CaribbeanEngaging with Latin AmericaAn 11 member multi-sectoral CII Business Delegation visitedLatin America to enhance ties with Brazil, Peru and ChileEduardo Sampaio Marques, Director, Agribusiness International Promotion, Ministry of Agriculture, Livestock & Food Supply, Brazil; Shubhendu Amitabh,Co-Chairman, CII LAC Committee & Sr President, The Aditya Birla Group; Roberto Paranhos do Rio Branco, President, Brazil India Chamber of Commerce;Jyotiraditya Scindia, Minister of State for Commerce & Industry, India; Roberto Giannetti da Foneseca, Head Director, Trade & Foreign Affairs, Federationof Industries of the State of Sao Paulo (FIESP); Dr. Vinod Sachdeva, Charge de Affaires, Embassy of India, Brazil; Chaitanya Prasad, Jt Secretary, DIPP,Ministry of Commerce & Industry, India; and J K Tripathi, Consul General of India, Sao Paulo, BrazilCII India-Latin AmericaConclave, BrazilOver 200 Brazilianbusinessmen attended theCII India-Latin AmericaConclave in Sao Paulo on 2September. Joining Indian andBrazilian business leaders,the Government of Brazilwas represented by Mr. IvanRamalho, Deputy Minister ofDevelopment, Industry andInternational Trade; and Mr.Eduardo Sampaio Marques,Director, AgribusinessInternational Promotion,Ministry of Agriculture,Livestock and Food Supply.The event was organized byCII, in collaboration with theIndian Embassy in Brazil, theMinistry of Commerce andIndustry, Government of India,the Brazil India Chamber ofCommerce, and the Federationof the Industries of the Stateof Sao Paulo (FIESP).Mr Jyotiraditya Scindia,Minister of State for Commerceand Industry, India, inaugurated the CII India- LatinAmerica and Caribbean Conclave (Brazil). In a specialaddress on ‘India-Brazil: Unfolding Synergies’, MrIndia & Latin AmericaAggregate trade between India and LatinAmerica was $2.3 billion in 2003-04. In 2009-10,aggregate trade crossed $16.5 billion!India’s imports from Latin America grew by 14%even during the global trade slowdown in 2009-10, to cross the landmark of $10 billion. Similarly,exports too expanded in this period, although ata slower pace, and reached $6.2 billion.The Latin American region is very importantto India as an investment destination, as asource of inputs crucial to our growth process,and as a vibrant and growing market for ourgoods and services.The two sides have increased their trade at atime when global commodity prices are fallingand global trade has been very subdued. Indiahas reason to be immensely bullish on India LatinAmerica economic engagement in the future.The Indian government instituted the FocusLAC programme that offers incentives to Indianbusinesses to engage with Latin America.This includes support for hosting events,export incentives, and providing lines of credit.Commencing in 1997, this programme hasproduced excellent results as can be seen inthe increase in bilateral trade and investment.Scindia aptly captured thegrowing India- Brazil relationsand the vast similarities andcomplementarities that exist inthe two large democracies.Mr Scindia also met MrMiguel Jorge, Minister ofDevelopment, Industryand Foreign Trade, Brazil.Both Ministers expressedsatisfaction at the growingbilateral relations markedby regular exchange ofhigh level visits in the pastfew years. They discussedthe possibilities of furtherstrengthening commercialrelations and the prospectsof further investments andjoint ventures in key sectors ofmutual interest such as Oil andGas, Agriculture, Infrastructure,Sugar, IT, automobiles andrenewable energy. Mr Scindiadescribed the Focus- LatinAmerica and Caribbean (LAC)programme of India’s Ministryof Commerce to incentivize andencourage Indian exporters toenhance trade and investment in the LAC region. Bothsides expressed their hope to take India-Brazil bilateralrelations to greater heights.Communiqué October 2010 | 63

eportCII Delegates with Miguel Jorge, Minister of Development, Industry and Foreign Trade, BrazilMr. Scindia met CEOs of top Brazilian companies whoalready have interests in India as well as others who arekeen to enter the Indian market as investors. He invitedand encouraged the Brazilian industrial community tovisit India. The Minister also had fruitfulinteractions with leading Brazilianmedia in which he highlighted thatthe existing trade volumes are justthe tip of the iceberg, with hugepotential yet to be tapped. Over 250Brazilian companies participated inpre –arranged B2B interactions withthe Indian delegates.CII India-Peru Seminar andBusiness MeetFrom Brazil the CII delegationcontinued to Peru on 6 September.The CII India-Peru Seminar andBusiness Meet (B2B) was organisedin Lima in collaboration with IndianEmbassy in Peru and the LimaChamber of Commerce atLima. About 150 Peruviancompanies participated inB2B interactions with theIndian delegates to discussbusiness opportunities andjoint projects for both tradeand investments.India and Peru have muchto offer to each other. Peruhas a wide variety of oresand natural resources thatIndia needs for infrastructuredevelopment. Peru has also“In order to leverage bilateralcomplementarities, India andPeru can forge a much closereconomic partnership. Theglobal economic crisis, whoserepercussions are still evolving,has initiated a new paradigm incooperation between emergingeconomies. In this context,there are high aspirations setfor the private sectors of bothcountries to create and developcommercial and investmentlinkages that will strengthen thebilateral economic relationship.”Jyotiraditya Scindia, Minister of Statefor Commerce and Industry, IndiaCarlos Durand Chahud, President, Lima Chamber of Commerce,Jyotiraditya Scindia, Dr. Martín Pérez, Minister of Commerce andTourism, Peru, Appunni Ramesh, Ambassador of India to Peru andShubhendu Amitabh, in Limadone very well in agricultural products, capturing worldmarkets. India can benefit from exporting manufacturedgoods to Peru. India is also keen to invest in Peru aswell as develop joint ventures for common projects.Indian companies have alreadymade inroads into sectors such aspetroleum, pharmaceuticals, and ITeducation. They need to considerinvestments in mining, transport,and tourism, taking advantage ofPeru’s liberal investment climate. TheCII business meet highlighted theseopportunities.Located on opposite ends of theworld, India and Peru naturally facedifficulties in movement of goods.The lack of direct shipping routesand insufficient information deters thefull flowering of bilateral economicengagement. The lack of logisticsneeds to be tackled on a prioritybasis by creating a facilitativeclimate for shippers and businessesto build new supply lines.The information deficit canbe bridged by establishingregular contacts betweenIndian and Peruvianbusinesses. The visitorsurged the Peruvian businesscommunity to participatein India trade shows, andbring business missionsto India. The industryassociations of both sidescan together reinforcetrade ties by increasing64 | October 2010 Communiqué

eportthe frequency of such interactions,it was felt.It was recommended that bothsides set up a bilateral governmentindustrypanel to examine the tradepotential and to explore ways toincrease economic cooperation.CII signed a MoU with theLima Chamber of Commerce topromote economic and industrialco-operation between India andPeru with particular reference tothe private sector, and to cooperatein activities for industrialand technological advancement.CII India-Chile Seminar andBusiness MeetsThe Municipal Council of Valparaiso hosted theIndian delegation at Valparaiso, where they had anopportunity to interact with Mr. Jaime Varas Canessa,Acting Mayor of Valparaiso, Ms Marina HuertaRosales, Alderman, City Council – Valparaíso andMr. Maximo Silva Herrera, Alderman, City Council– Valparaiso. About 70 Chilean Business personnelattended B2B meetings which were organized byCamara Regional Del Comercio. Valparaiso, Chile.In Santiago, CII, in collaboration with the IndianEmbassy in Santiago, Chile and SOFOFA organisedthe CII India-Chile Seminar and Business Meets atSantiago on 8 September. The meeting brought forthmore than 150 Chilean participants to meet andengage with their Indian counterparts.India and Chile have shared a warm and cordialrelationship in the past, with several high-level visitsin both directions shaping and guiding the bilateralframework of interaction. The recent troubles in theglobal economy have reiterated the significanceof such bilateral relationships as economies reengineerto leverage emerging economic forces.The shift in the global engines of growth towardsemerging economies which was perceptible beforethe global economic crisis has now become a widelyacknowledged force.In 1991, economic reforms and liberalization commencedin India, similar to the way in which Chile itself embracedreforms and globalisation in the 1990s. While Chile wasquick to respond to the economic changes and couldachieve an average 8% GDP growth during the 1990s,Pedro Reus, International Manager, SOFOFA; Rajan Kapoor, CEO US Operations, Kohinoor FoodsUSA Inc.; Santosh K Kulkarni, General Manager, Kirloskar Brothers LLC; Rathna Kumar, MD,Jyotiraditya Scindia, Pradeep K. Kapur, Ambassador of India to Chile; and Antony Lobo Merio,Special Director- International Operations, Ashok Leyland Ltd.India attained a comparatively lower rate of 5-6% duringthese years.However, India’s trade with Chile has been a valuablecomponent of our overall trade with LAC. Chilewas our third largest export destination after Braziland Mexico in 2008-09. Unfortunately, in 2009-10,exports declined to below $300 million. However,Chile continues to be India’s third largest sourceof goods in LAC. There is need to examine furthercomplementarities in order to diversify the exportbasket and move up the value addition ladder beyondcommodity exchange.Strategic alliances between Indian and Chileancompanies are on the rise. Indian companies areinvesting in mining, software, pharma and automotivesmanufacturing sectors in Chile. Chilean companieswere invited to explore investment in India’s growingmarkets and bring their expertise in areas such asfood processing and agri-inputs to India. Partnershipsand joint ventures between companies of the twosides would help in tapping the strengths of bothsides. Issues such as language, divergent ways ofdoing business and complementary specialization canbe resolved through such combined ventures.At the governmental level, building on the success ofthe PTA and expanding into a more comprehensiveengagement was emphasised. The transport costsare already high enough to deter trade, inordinatetariffs could prove a major impediment. Both countriescan proactively lower tariffs on goods of interest tothe other side for mutual benefit, and mutually beprepared to be flexible in this regard.Communiqué October 2010 | 65

eportUnited States of AmericaRon Somers, President, USIBC, Judy Reinke, Commercial Counselor, US Embassy, Tarun Das, Chairman, CII India-US Council,Francisco Sanchez, US Under Secretary of Commerce for International Trade, Mohansingh Rajpal, Mayor of Pune and Kiran Pasricha,Deputy Director General, CIIUnder Secretary Sanchez’s Visit to IndiaCII, in partnership with the US India Business Council(USIBC) organized the inaugural ‘Growth in EmergingMetropolitan Sectors’ (GEMS) conference on 28September in Pune. The GEMS initiative, led by theUS Department of Commerce, aims to venture out toTier-II and Tier-III cities in India in an effort to identifyopportunities for Indo-US business collaboration. Pune,as a rapidly growing city, exemplifies the emerging SMEsector, necessary for the next level of economic growthand job creation.Mr Francisco Sanchez, Under Secretary of Commercefor International Trade, International Trade Administration,US Department of Commerce, underscored the need toidentify many cities in India, like Pune, where businessopportunities can be found across sectors like cleanenergy, education, manufacturing and more. The promiseof urbanization presents tremendous opportunity forbusiness to fulfill the needs gap in products, services,infrastructure, he said.The conference highlighted the need for new avenuesfor cooperation between the US and India in sectors likeclean energy, retail, science and technology, e-learningand tracking climate change.Mr Uday Kumar Varma, Secretary, Union Ministry ofMicro, Small and Medium Enterprises, India, outlinedspecific recommendations to provide a boost to theSME sector, such as creating an additional focusgroup for SMEs under the Indo-US Trade Policy Forum,and creating a CEOs Forum for SME as institutionalmechanisms for exchange of ideas and technology.The upcoming visit of US President Obama to Indiaexemplifies the US administration’s deep commitmentto strengthening relations with India. Business linkages,which lie at the center of bilateral relations, must growacross sizes, cities and sectors.In New Delhi, CII organized a closed door meetingwith Mr. Francisco Sanchez, on 29 September. Thediscussion revolved around SMEs collaboration, Energy,Agriculture, Manufacturing and the upcoming visit ofPresident Obama. The meeting was chaired by Mr TarunDas, Chairman, CII India-US Council.Interaction with Under Secretary Robert HormatsIndia is a natural partner to the US and the future of thetwo countries is intertwined, declared Mr. Robert Hormats,Under Secretary for Economics, Energy and AgricultureAffairs, US Department of State. Speaking at an interactivesession on ‘Indo-US bilateral economic relationship inthe context of changing Global economic architecture’,jointly organised by CII and the Aspen Institute India on15 September, in New Delhi, Mr. Hormats underlined theimportance of investment, energy, agriculture and globaleconomic cooperation towards deepening the cooperationbetween India and US.66 | October 2010 Communiqué

eportChandrajit Banerjee, Director General, CII, Robert Hormats,Under Secretary for Economics, Energy and Agriculture Affairs,US Department of State, and Tarun DasWhile welcoming Indian investments in US, Mr. Hormatsexpressed the need to restart negotiations on the BilateralInvestment Treaty (BIT) between the two countries. He alsosaid that the US welcomes Indian companies as providersof capital, know-how, American jobs, dynamic innovationand highly talented people. He urged the Government ofIndia to open up FDI limits in India in sectors such asinsurance and defence, infrastructure and retail. The USwill work even closer to strengthen the bilateral economicrelationship, which includes the re-launch of a high levelinvestment focus group under the US-India Trade PolicyForum in September 2010, he declared.Mr. Hormats also talked about the high potential of Indiato be a pioneer in alternative energy sources, greendevelopment and low-carbon growth and expressed thewillingness of his country to work with India towardssustainable and responsible economic growth.India and the US have launched the US-India AgricultureDialogue to usher a second Green Revolution in Indiaand address the challenge of hunger and malnutrition.He added that the US wants to share its expertiseand develop tools and resources to benefit the‘Aam Aadmi.’Spotlight: CII-India Business Forum MembersSBI TargetsIndia’s largest lender, the State Bank ofIndia (SBI), is targeting 20 per cent of itsnet income from international operationsin the next two-three years, a top officialof the bank said.L&T Financial ServicesRestructuring of financial services is the first priority forLarsen & Toubro Ltd, according to Mr Y. M. Deosthalee,its Chief Financial Officer. The mode and timing offinancial services (being offered under L&T Finance)restructuring would depend on many conditions includingthe market behaviour, he said.US Economy and Policy WatchAnti-Outsourcing Act fails to clear US SenateThe ‘Creating American Jobs and End Offshoring Act’introduced by Senate Democrats failed to clear the USSenate after some Democrats rallied with Republicansto oppose the proposed law. The Act sought to end taxdeductions for expenses incurred when companies inUSA move jobs overseas; impose a new tax on productsonce made in the United States but now manufacturedby foreign workers; and would have offered employersa two-year payroll tax holiday on jobs repatriated fromoverseas.Ohio bans Outsourcing Govt IT ProjectsThe US state of Ohio has banned outsourcing ofgovernment IT and back-office projects to offshorelocations. Ohio Governor Ted Strickland signed theexecutive order enforcing the ban, even though he hadpreviously actively wooed Indian companies settingup operations in the state. The Indian IT industry hasexpressed concern about the protectionist move andthe possibility of similar moves by other Americanstates in the face of persistently high unemploymentrates.President Obama Signs Small Business Jobs ActThe US President has signed the Small Business JobsAct, which gives small business owners tax breaks andbetter access to credit.US-India Bilateral UpdateIndia and IMF: International Monetary Fund headDominique Strauss-Kahn has said the Indian economy isrecovering well and New Delhi would get higher quota inthe IMF board, a review of which is currently underway,reflecting its enhanced economic standing.Nuclear Liability Law: The United States considersresolving its concerns regarding India’s nuclear liabilitylegislation an ‘important priority’, according to USAssistant Secretary for South and Central Asian AffairsRobert Blake.India-US Partnership: The promise of India-US partnership"looms bright and unmistakable" ahead of PresidentBarack Obama's historic India visit, says a senior USofficial praising Prime Minister Manmohan Singh for hisrole in forging the relationship. "As President Obamaprepares for an historic state visit to India later thisautumn, the promise of our partnership, built on strongbipartisan foundations in both our countries, loomsbright and unmistakable," said Under Secretary of StateWilliam Burns.Communiqué October 2010 | 67

oifcpartnersInvestment & InteractiveMeets in the USAThe United States of America is today hometo one of the largest Indian populations inthe world, comprising of a nearly 3 millionstrong Indian American community, specializinglargely in the fields of IT, healthcare, educationand services, as well as entrepreneurs and students.To strengthen the engagement of the resourceful Indian community in theUSA with ‘Opportunity India’, the Overseas Indian Facilitation Centre (OIFC),along with the Ministry of Overseas Indian Affairs (MOIA), the ConsulateGeneral of India, New York, and CII, hosted an Investment and InteractiveMeet, in New York, on 13 September. The Asia Society, a leading globaland pan Asian organization in the region, was the official partner of theMeet.The Meet was organized to apprise Indian Americans about the host ofengagement opportunities existing in India to tap their growing investmentand intellectual potential.A delegation from India, led by Dr A Didar Singh, Secretary, MOIA, andChairman, OIFC, invited the Global Indians to partner in India’s emerginggrowth story and connect with the country. The business delegation includedprominent players from Indian industry such as BNP Paribas (infrastructure),Kotak Mahindra Bank, and Everonn Education Ltd, among others.The Meet was attended by over 100 delegates comprising of professionals,HNIs, academicians and potential investors, of Indian origin, exploring thegrowing Indian market.In his opening remarks, Mr Prabhu Dayal, Consul General of India inNew York, appreciated the special initiatives of the OIFC and the MOIA toexpand diaspora inter linkages with India. He stressed on India’s growingeconomic achievements with a stable business environment and urged thediaspora to participate in India’s progress.Dr A Didar Singh described the various MOIA schemes to nurture andsustain the symbiotic relationship of the diaspora with India. Reiterating onIndia’s emergence as a favorable investment destination, he invited IndianAmericans to benefit from the opportunity that India provides.Ms Shefali Chaturvedi, CEO, OIFC, and Mr G. Gurucharan, CEO, theIndian Council of Overseas Employment (ICOE), described their respectiveorganisations’ objectives and programmes. Industry delegates from Indiapresented sector specific investment prospects.In general, the diaspora expressed interest in investment opportunities insectors such as infrastructure, manufacturing and servicesm, and in findingsuitable business partners for their potential ventures and outsourcingopportunities in India.The Meet in New York was followed by an interactive session with theIndian diaspora, held on 14 September, in Washington DC, by the IndianEmbassy in Washington.68 | October 2010 Communiqué

EastRegionDistribution of Books to Schools8 September; Patna, Raipur, KolkataPerformance Management Systems23 September, Jamshedpur25 September, BalasoreWorkshop on Performance Management Systems in Balasore in progressWorkshops on Performance Management Systemswere organized in Jamshedpur and Balasore, to helplocal industry increase efficiency, decrease cost andenhance quality.Distribution of Books to Schools in RaipurSince 2008, CII and The Asia Foundation have partneredin distributing more than 18,500 books to Indian schoolsand universities. As a part of this initiative, books werehanded over to the principals and the students ofschools in Patna, Kolkata and Raipur, to mark WorldLiteracy Day.Roundtables on Internal Security10 September, Ranchi16 September, Patna23 September, BhubaneswarRoundtable on Internal Security in BhubaneswarCII Eastern Region has constituted a Task Force onInternal Security, to provide a platform for industry todeliberate on Internal Security related issues, concernsand challenges faced in the region. A series of RoundTables on Preparedness in Internal Security were heldin Patna, Ranchi and Bhubaneswar.JharkhandLeadership through Emotional Intelligence15 September, JamshedpurEmotional competence is an important attribute ofleadership. In a bid to enhance emotional intelligence of itsmembers and ignite their creative genius, CII JamshedpurZonal Council organised a workshop on AchievingLeadership Excellence through Emotional Intelligence.Safety for You30 September, RanchiCII Eastern Region is organizing a series of Roundtableson Safety followed by membership interactions withthe Safety Help Desk in different locations to addressmembership concerns and queries on industrial safety.The the second roundtable of the series, held in Ranchi,had a special focus on MSMEs.Members’ Meet30 September, RanchiAt a Members’ Meet, Mr Kurush Grant, Chairman,CII Eastern Region briefed the members on the CIIinitiatives in the Region as well as the special initiativesin Jharkhand. Mr Ranaveer Sinha, Deputy Chairman, CIIEastern Region, also addressed the gathering.A press meet was organised with an objective to appraisethe media about the agenda, key initiatives and futureaction plan of CII.Communiqué October 2010 | 69

egionsWest BengalMinerals 2 Metals8 – 9 September, KolkataSandipan Chakravortty, Past Chairman, CII (ER); H M Nerurkar, MD,Tata Steel Ltd; Rana Som, CMD, NMDC; and Biswadip Gupta, Jt MDand CEO, JSW Bengal Steel LtdThe Steel and Iron-ore industry is on a growth trajectory.India produced 62 billion tons of steel last year whichis targeted to cross 100 billion in 2010. Mr Rana Som,Chairman and Managing Director, National MineralDevelopment Corporation (NMDC), and Mr H M Nerurkar,Managing Director, Tata Steel, participated in theinaugural session of the two-day Conference andExposition on ‘Minerals 2 Metals 2010. On this occasiona CII – E &Y Study Report: ‘Sun Rises in the East’ wasunveiled.10th Supervisory Skills Competition9 – 10 September, KharagpurThe Supervisory Skills Competition is an importantCII initiative for inspiring and motivating industrialsupervisors, by providing recognition for individualmerit and excellence in skills through an organisedcompetition. Around 100 participants took part in the10th edition of the competition.North23rd QC Competition15 September, New Delhi16 September, Jaipur21 September, Lucknow29 September, GurgaonThe preliminary rounds of the 23rd Quality CircleCompetition, an annual feature since 1986, took placeacross the Northern Region, with presentations byQuality Circle teams of CII member companies. The toptwo teams from each of the preliminary contests wouldcompete in the Regional Final in February 2011.Infrastructure Project Management9 September, New DelhiIf India doesn’t create good quality infrastructure in thetimes to come, it will actually result in lower standards ofManufacturing Mission to Chennai22 – 23 September, ChennaiCII Eastern Region organised a learning mission onmanufacturing to Chennai. The 10 member delegationvisited Saint Gobain Glass India Ltd, Hyundai MotorIndia Ltd and Rane (Madras) Ltd.Direct Tax Code25 September, KolkataThe much-awaited Direct Tax Code(DTC) Bill, which aims to replace theSunil Mitra,existing Income-Tax Act, 1961, has finallyRevenuebeen presented in the Parliament.Once Secretary, UnionMinistry ofapproved by both Houses, it will beFinanceenacted as a law, effective from 1 April2012. Mr Sunil Mitra, Revenue Secretary, Union Ministryof Finance, was the Chief Guest at a Seminar on theNew Direct Tax Code.Healthcare East28 September, KolkataMr Suryakanta Mishra,Minister of Health& Family Welfare,West Bengal, wasthe Chief Guest atHealthcare East 2010.Dr Prathap C Reddy,Chairman CII NationalHealth Council, andChairman, ApolloHospitals Group, wasalso present.Suryakanta Mishra, Minister of Health& Family Welfare, West Bengal,inaugurating Healthcare East 2010living amongst the populace, opined Mr. Amitabh Kant,Chief Executive Officer and Managing Director, DelhiMumbai Industrial Corridor Development Corporation, atthe conference on Infrastructure Project Management.The focus was on PPP arrangements for developinginfrastructure in the country.S. Sridhar, CMD,Central Bank ofIndiaFinance & Investment 201027 September, New DelhiThe conference reiterated the needto strengthen the regional bankingand financial environment withinnovative practices and governancemodels for inclusive growth. Mr. S.Sridhar, Conference Co-Chairman70 | October 2010 Communiqué

egionsand Chairman cum Managing Director, Central Bank ofIndia, presented his perspective of Public Sector Banksand Undertakings.ChandigarhInformation Security Awareness3 September, ChandigarhThe workshop was held to create information securityawareness amongst all the end users of internet in theregion and to protect them from the growing risks ininternet usage and online dangers, Mr Shekhar Kapoor,Finacle Consulting & Products Strategy (CAPS), InfosysTechnologies Ltd described various cyber threats that couldrisk business dealings and protective strategies to combatthem. using antivirus, antimalware & firewall, SPAM.HaryanaCII Manufacturing Excellence Mission9 September, Gurgaonownership, exemptions from all commercial levies andrepatriation of capital and profits.Himachal PradeshValue Stream Mapping13 September, ChandigarhThe workshop on Identifying and Decreasing Wastemapped out the activities in the manufacturing processwith cycle times, down times, in process inventory,material moves, information flow paths etc.Apne Lakshya Ki Prapti18 September, NalagarhThe workshop aimed to self-motivate workers to enhanceproductivity and work towards achieving organizationalgoals.Uninterrupted Power Supply28 September, BaddiThe session addressed the issue of power shortagefacing the Baddi, Barotiwala and Nalagarh industrialbelt of Himachal Pradesh. Tata Power Trading Companyand Himachal Pradesh State Electricity Board madelucid presentations on how to find a practical solutionfor the problem. It helped industries to create a roadmap for uninterrupted power supply to enhance theirproductivity and competitiveness.A 30 delegate mission visited Honda Motorcycle andScooter India Pvt. Ltd., Hero Honda MotorsLtd., JCB India Ltd. and Whirlpool India Ltd.to learn best practices in the manufacturingsector. The visit included meetingswith the top management, presentations,discussions and visits to key facilitiesfor environment-friendly technologies forperformance improvement, energy andwater conservation, optimum utilizationof natural resources and reduction inemissions.Ahmed SultanQassimi, SeniorCommercialFree ZoneManufacturing Excellence Mission membersDoing Business in UAE21 September, GurgaonThe secession highlighted the wide rangeof international business opportunitiesavailable for the SME sector at theHamriyah Free Zone, which providescompetitive incentives and uniqueopportunities to establish a businessin a tax-free environment, full companyPunjabSteel Mart 201010-11 September, ChandigarhBipin Kumar Vohra, CMD, SPS Group: J Mehra, Chairman, Steel Mart 2010 and &Director, Essar Group; Virbhadra Singh, Union Minister of Steel; R M Khanna, Chairman,CII NR) and J K Arora, President, All India Induction Furnace AssociationThe CII Steel Mart 2010 focussed on higher automation,focus on special products, high end products for bothdomestic and export markets and joint investments intechnical manpower, to bring back the growth trajectoryof the steel industry.Mr Virbhadra Singh, Union Minister of Steel, made astrong statement that only value added products shouldbe exported, and suggested a ban on iron ore exports.Communiqué October 2010 | 71

egionsThe Government will set up a special mechanism tolook after the interests of the secondary steel producers,he said.The conference also showcased state-of- the- arttechnologies on carbon and special steel, and its newuses in the steel industry.Supporting the CII relief and rehabilitation operations inLeh, the Essar Group and the SPS Group announcedsteel support for building houses in Leh.RajasthanKrishi Utsav 20107-8 September, Sri Ganganagar, RajasthanUttar PradeshIntellectual Property Rights17 September, KanpurUP; Capt R Vikram Singh, Municipal Commissioner, Kanpur, andAtul Mehra, MD, Tasty Dairy Specialties LtdThe session, which highlighted the importance ofintellectual property rights (IPR) such as copyrights,patents, trademarks, industrial designs, etc, wasinaugurated by Capt R Vikram Singh, MunicipalCommissioner, Kanpur.Bharat Singh, Minister for Rural Development & Panchayati Raj;Gurmeet Singh Kunnar, Minister of State for Agriculture Marketing;and Murari Lal Meena, Minister of State for Technical Education(Agriculture), Rajasthan, inaugurating the exhibitionKrishi Utsav 2010 shared new techniques and ideaswith the farmers through an exposition and the KrishiParamarsh Kendra. The event highlighted the increasingneed for sustainable and balanced development of theagriculture sector.Mr Bharat Singh, Minister for Rural Development &Panchayati Raj, Rajasthan, inaugurated the Utsav,which was well attended by around 11500 farmersfrom the Bikaner division; was addressed by over 40speakers.CII-BEE Workshops24 September, Pali28 September, JaipurPromoting Energy Efficiency and EnhancingCompetitiveness, the CII – BEE workshops continueat various industrial locations in the northern states.The focus sector in Pali was textiles, while in Jaipur,the sectors in focus were hotels, food processing,manufacturing, heavy power consumers and autocomponents.Construction & Design of Concrete Roads16-17 September, LucknowIn the two day training programme, professionals fromthe state government and road contractors involved inthe construction of concrete roads, learnt best practicesin road construction with special focus on jointed plainconcrete pavements, which are mostly used in India,and repair mechanisms of concrete roads.UttarakhandIndustry Institute Linkages in Energy16 September, DehradunCII and the University of Petroleum and Energy Studiessigned a MoU for building Industry-Institute linkages inUttarakhand. The areas of cooperation include researchand services to industry in energy efficiency, logistics,and supply chain.Rajiv Berry, Chairman, CII Uttarakhand; and Dr Parag Diwan,Vice Chancellor, UPES; signing the MoUCommuniqué October 2010 | 73

egionsSouthConnect 20108-9 September, ChennaiThe 10th edition of Connect 2010,with the theme ‘ICT 2020: SurgingAhead’ was broadly classified intothree spheres comprising domesticand international ‘out’sourcing,ecosystem, and innovation andentrepreneurship. The keynotepanel discussion on domesticand international ‘Out’sourcing,termed ‘Smart’sourcing, ideatedon developing sustainable growthmodels and identifying opportunities.The discussion on Ecosystem dealtwith a complex and interdependentset of technical, social and business relationships. Thepanel discussions on Innovation and Entrepreneurshipexplored the facilities, investment and the necessaryacademic skills to move up the value chain and developan agenda for the next ten years of growth in IT inIndia.Indo-Japan Cooperation28 September, ChennaiShekar Viswanathan, Chairman, Manufacturing Sub-Committee,CII (SR) and Dy MD (Commercial), Toyota Kirloskar Motor PvtLtd; Yosuke Yanagase, President, Global Alliance Network, Japan;Hirokazu Yamaoka, Director, Overseas Business Support Division,JETRO Tokyo; and Shinya Fujii, Director General, JETRO, ChennaiNandini R, Chairman, CII Tamil Nadu; PWC Davidar, Principal Secretary, IT, Tamil Nadu;S Mahalingam, Chairman, Connect 2010, Dr Jung-Chiou Hwang, Vice Minister, EconomicAffairs, Taiwan; V Narayanaswami, Union Minister of State for Planning & ParliamentaryAffairs; and S Gopalakrishnan, Chairman, CII (SR)The seminar promoted Japan as an investmentdestination for Indian makers of automobile parts.Besides an overview of the Japanese automotiveindustry, it also included a session on Nissan’s strategiesfor growth in India.Andhra PradeshIndustrial Growth in Andhra Pradesh3 September, HyderabadAt a Round Table session, the representatives ofvarious political parties in Andhra Pradesh discussedhow to develop a ‘Conducive Environment forIndustrial Growth in Andhra Pradesh’. They assuredtheir support for industrial growth in the state,irrespective of recent developments and partyideologies. They also urged Industry to play apro-active role in social development. The politiciansalso examined issues pertaining to industry like power,infrastructure, land allocation, skill development,promoting Tier II & Tier III cities, and natural gas,besides others.G Kishan Reddy, AP State President, BJP; Dr. Jayaprakash Narayan, President, Lok Satta; B V Raghavulu, AP State Secretary CPI (M);K Vidyadher Rao, Sr Party Leader, PRP; Y Harish Chandra Prasad, Immediate Past Chairman, CII Andhra Pradesh;. Shakti Sagar, Chairman,CII Andhra Pradesh;Dr. K Narayana, AP State Secretary, CPI; Dr. N Thulasi Reddy, Spokesperson, AP State Congress Committee;Y Rama Krishnudu, Sr Party Leader, TDP; B Vinod Kumar, Sr Party Leader, TRS; and Syed Jafri, MLC, AIMIM74 | October 2010 Communiqué

egionsCEOs Round Table on HRD8 September, HyderabadThe CEOs Round Table with Ms DPurandeswari, Union Minister of Statefor Human Resource Development,was organized on International LiteracyDay, to encourage industry leadersto actively participate in the adultliteracy initiative of Government of Indiapopularly known as Sakshaar Bharat.D Purandeswari,Union Minister ofState for HRDhailed the Public Private Partnerships in this sector inAndhra Pradesh, citing the examples of Aarogyasreeand Emergency services of 108 & 104.KarnatakaIndustrial Relations & Employee Contracts28 September, BangaloreEmerging Technologies in Food Processing17 September, HyderabadThe seminar on Emerging Technologies in FoodProcessing Industry. Discussed the policy initiatives andinterventions required to achieve a quantum increasein the growth of the food processing industry. It alsodeliberated on issues like infrastructure, finance, qualitycertification, packaging, Supply Chain Management andR & D technologies in food processing.Conference on Infrastructure Development25 September, HyderabadJayadev Galla, Vice Chairman, CII AP; D Lakshmi Parthasarathy,Principal Secretary, Transport, Roads & Buildings, AP; J P Nayak,Whole-time Director & President (Operations), L & T Ltd;Aruna Kumari Galla, Minister for Roads & Buildings, AP; andRajiv Yadav, Member (Admin), NHAIThe second edition of the Infrastructure Conferencefocussed on the Road Sector. It highlighted theimportance of PPPs in the sector along with the policyinitiatives and the impetus required to boost the sector.Mr. Rajiv Yadav, Member, National Highways Authority ofIndia, emphasized the need for making the Private Publicpartnership projects more acceptable to the public.Healthcare Reforms30 September, HyderabadDr. P V Ramesh, Principal Secretary, Health, AndhraPradesh, urged all the stakeholders to contribute in theform of ideas, actions, partnerships and educating public,to enhance the healthcare standards of the state.Dr. Varma Vegesna, Convenor, Healthcare Panel,CII Andhra Pradesh and Managing Director, LazaursHospitals, suggested that the Government combineall the healthcare regulations in a single window, tofacilitate more private investment in the sector. HeS N Murthy, Senior Advocate, Karnataka High Court;Soumitra Bhattacharya, Convener, CII Karnataka HR/IR Panel;Dr R Krishna Murthy, Director, Industrial Relations Institute of India;and Aroon Raman, Chairman, CII KarnatakaThe Conference on ‘Challenges of Industrial Relations& Enforcement of Employee Contracts in a GlobalisedIndian Economy’ discussed how to arrive at a win- winsituation between industries, Government, unions andassociates.Interaction on Environment16 September, HubliThe interaction with Mr R Shyamsundar, SeniorEnvironmental Officer, Karnataka State Pollution ControlBoard, enabled members to seek clarifications on issuesof concern.Environment Management System16-17 September, BangaloreFollowing the workshop held in the BommasandraIndustrial Area in June, the workshop in the PeenyaIndustrial Area was an excellent opportunity for industriesto interact with environment management experts.Corporate Wellness10 September, BangaloreThe aim of this programme was to create a healthy, happyand more productive work force. Dr Narayan Murthy,Senior Cardiologist, BGS Global Hospitals, Dr MahendraP Sharma, Associate Professor NIMHANS, Dr AjayPatwardhan, Director, India Medical Services, GE IndiaTechnology Center P Ltd and Dr Sudha, Senior Physian,Soukya International Holistic Health Center describedsimple and achievable ways towards a fit life.Transfer Pricing9 September, BangaloreThe seminar provided insights and perspectivesfrom consultants and industry experts on TransferCommuniqué October 2010 | 75

egionsPricing Litigation issues in India. It focused onfunctional analysis, economic analysis, selection ofmost appropriate method, documentation, selectionof tested party and financial transactions, nexusbetween transfer pricing and permanent establishmentissues, etc.Polish Indian Investment Forum6 September, BangaloreMr Donald Tusk, PrimeMinister of Poland,presented investmentopportunities in hiscountry to Indianentrepreneurs. An MoUwas signed betweenthe CII and the PolishInformation and ForeignInvestment Agency tofacilitate exchange ofprofessional experience,information about Aroon Raman, Chairman, CIIproducts and industrial Karnataka and Donald Tusk, PrimeMinister of the Republic of Polandprocesses, educationand vocational training, promote joint ventures, facilitategrowth of SMEs, organize joint seminars, missions andparticipate in trade fairs and exhibitions.CWG Queen’s Baton Relay3 September, BangaloreThe Organising Committee of the CommonwealthGames 2010 in partnership with CII organized a RoadShow. Mr Aroon Raman, Chairman, CII Karnataka,said that the objective of the Business Club Indiais to promote India as a business and investmentdestination. Ms Ashwini Nachappa, former IndianAthlete, urged industry to support Sports at thegrassroot level. Mr I R Perumal, Principal SecretaryYouth Services & Sports, Karnataka, felt that growthin the sports sector in very insignificant compared toother industries.KeralaManufacturing Study Mission17 September, MaduraiThe mission visited Sundram Fasteners Ltd: Hi-Tech AraiLtd to understand good manufacturing managementpractices and their impact on organisations.New Foreign Trade Policy and Procedures17 – 18 September, KochiThe programme covered the topics such as DEPB,zero duty EPCG scheme. It apprised participants aboutthe recent changes in the foreign trade policy and therelated changes in the customs and excise laws andRBI dispensations.Tamil NaduLeadership for Corporate Women6-7 September, ChennaiGayathri Sriram, MD, UCAL Auto Pvt. Ltd; Letika Saran, DirectorGeneral of Police, Tamil Nadu; Pradipta K Mohapatra, Chairman,Governing Board, Executive & Business Coaching India Ltd, andVijay Menon, Facilitator/ CoachThe session was organized to help women executivesreach their leadership potential through collectivelearning. The focus was on increased self-awarenessof natural leadership style and skills, personality andbehaviors, tools for effective career/life success, andsharing best practices.TN Water Summit 201021-22 September, ChennaiK Ranganath, Event Chairman, TN Water Summit 2010;Nandini Rangaswamy, Chairperson, CII Tamil Nadu andVincent H Pala, Union Minister of State of Water Resources,signing the Voluntary Water CodeMr Vincent H Pala, Union Minister of State for WaterResources, was the Chief Guest for the TN WaterSummit 2010 ‘Achieving Universal & SustainableAccess.’Representatives of the Public Utilities Board(PUB), Singapore, also addressed and participated inthe Summit.76 | October 2010 Communiqué

egionsThe Water Directory and the Voluntary Aqua Code werereleased at the event.‘One Manufacturer’23 September, ChennaiThe evening session on ‘One Manufacturer’ highlightedthe various strategies organizations can adopt to attainone modus of efficiency throughout all operations,for greater control and productivity. The session wasfollowed by a panel discussion on challenges and trendsin manufacturing.Cost Reduction through Value Engineering29 September, ChennaiThe workshop introduced members to a newapproach to cost reduction through value engineering,interactive technical sessions and industry case studypresentations.Puducherry2nd TQM Forum13 September, PuducherryThe TQM Forum discussed the concept “ProcessWindow Mapping” in detaili. The members were takenthrough a Study, Approach, Procedures, Machine settingparameter, Visual Inspection Mapping, MVDT StatusMapping, Coil Resistance Mapping, DPMO Formula,etc. to understand “Process Window Mapping” and itsusage at their workplace.Productivity and Quality Improvement15 September, PuducherryThe programme created awareness on 3M – 5S – 7Waste Elimination as the base for any improvementinitiative in Productivity & Quality. Successful industriesmade case study presentations on their expertise in3m-5s-7 waste elimination concepts.E-filing of Commercial Tax16 September, PuducherryMr M S Vijayarahavan, Chairman, CII Puducherry,called on Mr Raje Saker, Commissioner, CommercialTax, to discuss issues on online filing of C Form throthe internet.Update on Urban Mission to Europe17 September, PuducherryThe session was held to brief senior governmentofficials about the forth-coming mission’s objective,and opportunities available to meet leaders fromEurope and India in areas such as Urban Planning,Heritage Conservation, Real Estate Development, EnergyManagement, Sustainable Development and Mass RapidPublic Transport Systems.Investment Opportunities with JETRO23 September, PuducherryThe objective of the meeting was to understand theeconomy and industrial climate in Japan through JETRO(Japan External Trade Organization) and how to makeit viable with Industries and Trade in Puducherry.MSME Developmental Initiatives23 September, PuducherryThe meeting was held to understand the current statusof upcoming SEZ, labour related issues which affectthe growth of industries in Puducherry and MSMEdevelopmental programmes.Skills Development for Employability24 September, PuducherryMr V Vaithilingam, Chief Minister of Puducherry, chairedthe meeting to discuss modalities for providing trainingand employment opportunities to the local people. MrM Kandasamy, Minister for Labour and Employment,Puducherry, was the Vice Chairman for the meetingwhich was also attended by senior government officials,trade union leaders and representatives of other industryassociations. CII suggested bringing out governmentpolicy on skills development so that different stakeholders could understand their roles and responsibilitiesin this regard.Live Demo Session of Online Forms29 September, PuducherryThe session enabled member companies to familiarizethemselves with online issue of Form C & Form Fand to file Form C & F through the internet. Mr RajeSaker, Commissioner, Mr Sridhar, Dy. Commissioner,Commercial Tax, and Mr M S Vijayaraghavan, Chairman,CII Puducherry, were present.ZonesChennaiDoing Business with Japan21 September: ChennaiThe seminar highlighted how Mizuho Corporate Bank LtdCommuniqué October 2010 | 77

egionshas signed a MoU with Guidance Bureau of Tamil Nadu, toboost future economic interaction between Tamil Nadu andJapan. Mr Rajeev Ranjan, Principal Secretary, Industries,Tamil Nadu, and Mr Daisuke Yamada, General Manager,Mizuho Corporate Bank, addressed the seminar.CoimbatoreFINEXE 201024 September, CoimbatoreVisakhapatnam & VijayawadaSession on Environment4th September, VisakhapatnamDr. T. Subbarami Reddy, Member of Parliament (RajyaSabha) shared the steps taken by the Government ofIndia for promoting science and technology as wellas for protecting and conserving the environmentin the country. He also addressed queries on therecently passed Nuclear Liability Bill. CII Visakhapatnamsubmitted a memorandum to the MP seeking a WorldClass IT incubation centre in the city.Indo-US Co-operation for MSME Sector15 September, VijayawadaFINEXE 2010 in CoimbatoreFINEXE 2010 was organized in Coimbatore to enableMSMEs gain adequate access to financial schemedoffered by banks and financial meetings.ErodeHow to become a Successful Manager8 & 9 September, Erode and SalemThe programme presented 101 managerial concepts fororganizational Development. Many case studies and puzzleswere used to kindle the concept of lateral thinking.Understanding the Factories Act16 September, ErodeThe session with Mr Alagesan, Deputy Chief Inspector ofFactories, Erode District, helped members understand thenew amendments and enforcements to the Factories Act.Y V Krishna Mohan, Vice Chairman, CII Vijayawada;and J S R K Prasad, Chairman, CII VijayawadaMr. Syed Mujtaba Andrabi, Economic Officer, USConsulate, Hyderabad, emphasized that Indo-USrelations are expected to grow on a very promisingtrajectory both in the near future and over the longterm, with the focus on SME cooperation, bilateraltrade agreements, climate change, besides others. Hefelt that Indo US cooperation in the SME sector holdsgreat importance in the present recovery.WestDialogue on Turkey20 September, Pune21 September, Mumbai24 September, PanajiThe interactions were heldto share an overview ofopportunities availablefor Indian companies inTurkey and project Turkeyas the new growth hub inEurope. Mr Levent Bilman,Ambassador of Turkey to India, said that Turkey isalready the preferred alternate manufacturing hub forEuropean companies, mainly because customs unionGroup; Ralph De Sousa, Vice Chairman, CII Goa; Levent Bilman, Ambassador of Turkey to India;Naveen Kapoor, Chairman CII Goa; and Ahmet Yoruk, Consul General of Turkey in Mumbai,at the session in Panajiwith the EU enables duty-free trade between Turkeyand EU, and operating costs are less than one thirdof those in the EU.Communiqué October 2010 | 79

egionsIndo – UK Ties20 September, Vadodara27 September, AurangabadMr Peter Beckingham, British Deputy High Commissioner,addressed CII members on the wider issues of Indo-UKrelationship with a focus on increased cooperation ineducation, trade, security, and defense cooperation.GujaratPromoting Vibrant Gujarat Overseas20 August -1 September, Africa4-19 September, Eastern USA and Canada12-24 September, UK, Netherlands, Spain & Germany12-24 September, Western USA and CanadaEastern USA and Canada DelegationA delegation visited Africa to promote Vibrant Gujarat –2011 and ensure country participation in the event byway of business / government delegations. They visitedLagos and Abuja in Nigeria, Kampala in Uganda, andNairobi in Kenya.CII led a delegation of senior government and industryleaders from Gujarat to Eastern USA and Canada todisseminate information about investment opportunitiesin the State and mobilize interest and participation inthe Summit. A separate delegation traveled to WesternUSA and Canada.A delegation comprising of industry members, ledby Mr Guruprasad Mohapatra, Managing Director,GACL and Commissioner, Commercial Tax, also visitedUK, Netherlands, Spain and Germany. Road shows,seminars and meetings were conducted at all the fourcountries.Workshop on Labour Laws1 September, VadodaraThe workshop apprised the participants about variouschanges that have taken place in select labour legislationsthrough amendments, court rulings and departmentalcirculars and the implications and compliance proceduresas per the changes effected.Winning Tech-preneur Course4 and 25 September, VadodaraCII launched a special course on technoentrepreneurship conducted by entrepreneurs, whohave gone through the journey of entrepreneurshipand are willing to devote time to teach. An orientationsession was organized to brief the participants aboutthe details of the course.Contract Labour7 September, SuratThe session appraised industry about the various issuesinvolved in engaging Contract Labour.CII – TDD Programme7 September, HalolCII is a partner to the Tribal Development Departmentof the Government of Gujarat for making tribal youthsemployable. The CII-TDD Gainful Employment Programmewas been initiated in the tribal regions in February 2008.So far, more than 500 youth have benefited from thisprogramme through 19 batches at various places inNarmada and Navsari districts.CII launched the 20thbatch of 30 tribal youth at Halol centre in PanchmahalDistrict.Energy and Water Audits14 September, SuratThe Energy Audit Cluster appraised industry about asystematic approach to energy conservation and energyefficiency. A presentation on the need for water auditwas also made on the occasion.Industry Institute Interaction18 September, RajkotThe interaction helped management students of the KNVInstitute of Business Management to understand the skillsets required from industry perspective, and how theycan align to match up industries’ expectations.Interactive Meet23 September, BhavnagarMr A V Shah, Regional Officer, Gujarat Pollution ControlBoard, briefed industry members about new initiativestaken by the Gujarat Pollution Control Board.Developing Managerial Skills23 & 24 September, VadodaraThe workshop explored the changing role of businessmanagers in the current context.6th Techno-Entrepreneurship Network24 September, VadodaraThe speaker for this series, Dr Madhu Mehta, Chairman,Task- Force on Techno-Entrepreneurship, and Managing80 | October 2010 Communiqué

egionsDirector, Anjaleem Enterprises Pvt. Ltd, discussed thebook ‘Start-up Nation’- The story of Israel's EconomicMiracle.Interaction with Labour Commissioner28 September, VadodaraThe interaction with Mr K N Bhatt, Labour Commissioner,helped CII members understand the recent developmentsin Industry laws that would help them align their industrialwelfare strategies better.Madhya PradeshMembers Meet & Road Show4 September, JabalpurThe meet was held to discuss the issues being facedby the industry and also to promote CII membershipin the Mahakaushal zone.Meeting on Industry Issues7 September, BhopalKailash Vijayvargiya, Minister for Commerce & Industry, MadhyaPradesh, with Uttam Ganguly, Chairman, CII MP State Council andMD, Bend Joints Pvt Ltd, BhopalCII members met Mr Kailash Vijayvargiya, Minister forCommerce & Industry, Madhya Pradesh, to discussissues relating to the New State Industrial Policy,Development of Existing Industrial Areas, MSMEsDevelopment and Amendments in various Acts &Rules.Enhancing Memory14 September, IndoreMr David Thomas, Guinness World Record Holder, sharedtips and techniques on how to enhance memory.Dealing with HIV/AIDS15 September, IndoreThe conference on the ‘Challenges and Opportunitiesof the Business Response to HIV/AIDS’ showcased thepartnerships between business, government and civil societywhich have extended the reach of the programmes throughshared infrastructure and human resources.The conference also highlighted the expected rolesand responsibilities of different stakeholders, includingindustry, to help expand access to quality healthservices.Interactive Session on Taxes29 September, IndoreThe interaction with Mr Surendra Mishra, ChiefCommissioner – Income Tax and Mr G S Baghel,Additional Commissioner – Commercial Taxes, promotedgreater industry – government interface for the upliftmentof region both economically and socially. It also helpedto resolve issues facing industry. Various senior officialsfrom the Income Tax and Commercial Taxes departmentwere present during the session.Good Housekeeping Practices30 September, GwaliorThe training programme explained modern techniquesfor creating and maintaining Good Housekeeping atthe workplace, to keep it free of clutter, well-organizedand clean. These best practices can lead to less waste,better quality and faster lead times, making organizationsmore profitable and competitive.MaharashtraEnvironmental Guidelines for Maharashtra7 September, MumbaiCII Maharashtra and IGBC are partnering with the StateEnvironment Department in the project for developingEnvironmental Guidelines for Maharashtra. The first corecommittee meeting was chaired by Ms Valsa Nair Singh,Secretary, Environment, Maharashtra, and co-chaired byDr Naushad Forbes, Chairman, CII WR Climate Change& Sustainability Sub-Committee and Director, ForbesMarshall Pvt Ltd.Investment Opportunities in France1 September, PuneCII, in association with Invest in France Agency (IFA)organized a seminar on investment opportunities inFrance – ‘France, Expect More’ to highlight the latestreforms implemented by the French Government.Communiqué October 2010 | 81

egionsFocused Improvement13 -14 September, PuneThe seminar organsied by the TPM Club of Indiaaddressed issues like Loss-Cost, Profit Erosion,Economic Maintenance, Optimum Utilization of HumanResources, High Quality Low Cost Purchase, InventoryfreeOrganizations, and Effective Delivery System.Awareness Session on Malaria & Dengue14 September, MumbaiThe session disseminated information about vector bornediseases. Dr R L Sathe Assistant Director, Directorate ofHealth Services, Maharashtra, Dr Daksha Shah, AssistantHealth Officer, Epidemiology & MIS, and Dr Kishor (AHO(S), MCGM, updated members on the action taken bythe State Government, and expressed their keennessto associate with CII to spread awareness on Malariaand Dengue.Getting Ready for XBRL17 September, MumbaiThe XBRL (eXtensibleBusiness ReportingLanguage) systemenhances the usabilityand transparency offinancial informationreported under existingaccounting standards,simplifies disclosure, and allows users to communicatefinancial information more readily and accurately.Opportunities for Financial Services20 September, MumbaiS Swaminathan, CEO, Iris BusinessServices Ltd, and Henry Richard,Registrar of Companies, Mumbaiand omplianceissues, e-filingand newdevelopments inTDS. Membersraised queriesand concernson issues such Milon Nag, Chairman, CII Maharashtra,and CMD, K K Nag Ltd and A C Shukla,as deduction on Commissioner of Income Tax-TDS, Mumbaitax, deposit oftax, credit of TDS and rights of tax – payers.Building Global Business Capability23 September, MumbaiCII, in association with London Business School (LBS),organized this conference to celebrate the LBS - Indiaconnection and strengthen it. Leaders of Indian industry,LBS alumni, friends of the School and faculty memberscame together to explore the complexities facing both,business and society, as India steadily globalises.HR & IR Conclave 201024 September, PuneCII, in association with the Vishwakarma Institute ofManagement (VIM), organized the HR & IR Conclave 2010with the theme ‘Shaping Tomorrow Today’. The conclavefocused on contemporary HR concepts to pave the pathfor new ways, strategies and insights for the future.Roundtable on Investment Climate24 September, MumbaiHR & IR Conclave 2010 in PuneDr Subir Gokarn, Deputy Governor, RBI; Daniele Smadja,Ambassador and Head of Delegation of the European Union to Indiaand Russell Parera, CEO, KPMGThe discussion was held to raise awareness about Asia/India-EU relations in terms of financial services aheadof the Asia-Europe Business Forum (AEBF) in Brusselson 4 October.Seminar on TDS21 September, MumbaiThe seminar, held in association with the IncomeTax Department – TDS, focused on the proceduralDr Ajit Ranade, Group Chief Economist, Aditya Birla ManagementCorporation Pvt Ltd; Maheshwar Sahu, Principal Secretary, Industries& Mines, Gujarat; A M Khan, Principal Secretary, Industries,Maharashtra and Arun Nanda, Chairman, CII (WR) and Director,Mahindra & Mahindra LtdThe session deliberated upon the opportunities, policiesand challenges for Goa, Gujarat, Madhya Pradesh andMaharashtra.82 | October 2010 Communiqué

egionsRound Table on Supply Chain24 September, PuneAt the session on Supply Chain ManagementThe objective of this session was to make supply chainsmore resilient, to build more visibility in the supply chain,and to manage risks more efficiently.IT for MSMEs24 September, MumbaiThe seminar brought awareness of the latest changesin the IT sector, how IT can be leveraged to improveproductivity and competitiveness, the latest optionsavailable and the costs and returns.Business & Challenges Beyond 201024 September, MumbaiCII organized a session with a delegation of mid-careerprofessionals n from the Gordon Institute of BusinessScience (GIBS), South Africa, which is a part of theUniversity of Pretoria, South Africa. The Gordon Institutefocuses on building personal and organizational businesscompetitiveness for senior executives through its GlobalExecutive Development Programme (GEDP). One of thekey aims of GEDP is to build national competitivenessand to create greater interest among South Africanbusinesses in doing business with Indian partners.Conference for Office Administrators25 September, MumbaiThe Exclusive Conference for Secretaries, AdministrativeProfessionals and Executive Assistants was held toinspire them to perform their roles in effective andefficient ways and to create awareness to set goals fortheir personal development. Mr Naresh Mehta Director– Human Resources, Raymond Ltd, moderated thePallavi Jha, Executive Chairperson & MD, Walchand PeopleFirst Ltd;Pradeep Bhargava, MD, Cummins Generator Technologies India Ltd;and Anjali Raina, Executive Director, Harvard Business Schoolpanel discussion on the role of the secretary in theever-changing corporate world.Session with Amb. Blackwill27 September, MumbaiAspen InstituteIndia, incollaboration withCII, organizeda session withAmbassadorRobert Blackwillon ‘“Does Indiahave a Grand Amb. Robert Blackwill, Former USAmbassador to India and Pradeep Mallick,Strategy?’ ThePast Chairman, CII (WRsession was wellattended by representatives of Indian industry fromsectors such as education, environment, manufacturing,IT and ICT to name a few.Enterprise 201028 September, NashikBuyer – Seller Meet in NashikThis Buyer Seller Meet for Engineering, Automotive, AutoComponents & Electrical Industries, showcased the latesttrends in these sectors, and facilitated opportunities tosource products and services from world class OEMproducers and vendors. An exposition enabled SMEsto present their products, services and expertise,and conduct business, establish joint ventures andpartnerships with the best names in the industry.Warehouse & Inventory Management28 & 29 September, PuneThis generic training module provided a deeperunderstanding of the breadth of problems likely tobe encountered by modern warehouses and offeredpractical approaches to their solution. The participantsgot an overview of the key functions of Warehouses,Warehouse Management Systems, and WarehouseActivity Profiling and Zoning.Communiqué October 2010 | 83