Dodgy Dealings.---- Management

Just a few hours back came across a pertinent issue that comes up in every business. Be it a family or a public company the problems arise. Do not think I am talking in a roundabout manner, I want to strike the point with a vehemence.
A group working in a plantation alleged that the managerial staff are cheating the management by manipulating in the yield. The manager, the supervisor and the buyer adjust the tonnage weight and take equal share during every harvest. Their booty increases as the yield increase.
The previous manager was even more greedy. He took a big portion and his staff remained subservient to him. The man who exposed this manipulation has worked in the plantation for more than twenty years..he has broken away from the scheming group for reasons best known to him. When asked, why he did not complain earlier? His reply is vague and he mumbles saying that they asked commission from him. He paid them till now. Even now, he is willing to pay but they do not entertain him anymore. Perhaps they have found a person who would pay them more.
Having heard all these came to a conclusion, it is the money that plays the game. The more you give the more you can survive.
When would the world come out of this cursed  vicious circle? God only knows.

Act Quick At The Time Of Crisis

The windfall and turbulence would be found in business. The windfalls outnumber the turmoil.  The bad days are there for every venture. Good managers would be able to predict mishaps much earlier.

They should tide over the crisis with prudence. it is hard to come out unscathed. It is harder still to bring in profits during these stormy days. But it is the duty of the managers to diminish the difficulties by opting various methods and see which could be appropriate to minimise the losses.

That is in all the managerial skill, the business acumen that is much talked about. Anyone can sail in smooth waters. it requires special capacity and foresight to predict and sail the waters when it is in a fury. The same could be said of the managers.

When the markets are down and the production is more the stock would increase affecting the rotation. Money is needed to keep the business going. If it is stacked and is blocked then the business would suffer. The managers should rise up now, They should bring down the production by cutting one shift per day. Announce a lay off for workers.That way production cost could be saved. Market the manufactured goods quickly. Allow a discount. As goods that lie for days in the godown are akin to dead bodies in the mortuary. Sell the piled stock as soon as possible. make money at the earliest. Waiting is unpardonable. it is action, immediate action is the need. G ahead. You will succeed.

The Unknown Factors. That Affect business

With the family business well into the wings. it flies sky high, the members are happy. They earn rich dividends and satisfaction prevails. that be the concept of family business.

The members have to keep in mind the turns in a business.  Unknown issues and unprecedented incidents could disturb the results of the company. These factors are to be perceived with reasonable understanding. The members have to compromise to the situation. If the influence is for the better
then there would be no issue. if it is for the bad the affectation would bring in a turmoil. This should be averted as the incidents are beyond anyone's control.

The factors might be fluctuations in prices, rise in taxes, weather conditions, power  variations, cost rise, manufacturing issues so on and so forth.

To conclude, we have to weigh all these considerations

and pass a verdict. The management if it fails in spite of the favourable trends then has to be removed and replaced by competent persons to avoid further loss and further dent to the reputation.

Business Is For Profit ----- No Place For compassion.

A thorough analysis of Family Business has led one to believe that faith is the factor that holds the business together.

Suspicion should never enter the door and even a slightest trace would cause a havoc. Tread with caution and repose unlimited faith in the person who runs the business. Give him your support and never look at him with jaundiced eyes.

A check should be on the role. it should not strangle the flourish or thrive. A verification, to put it in a mild way should enhance growth. it should be a stimulant than an interruption.

The chief should have a mind to assimilate ideas, recommendations and take them in the right spirit. He should not feel that he is the be all and end all in the management. Mind you, he should never forget that he is on deputation. He holds the post by their will and has to perform with caution and tactfulness. His prime aim should be to accomplish the task with laurels. He should satisfy, even more, enthusiastically work for profits, more profits and make his family own and extended happy.

The family business, as heard and as seen, is an onerous task.To run it successfully one has to be street

smart, has to have integrity and also sincerity. If these three qualities are not found the business is bound to slip into losses.

Remember, business is always for-profit where compassion is not to be given place.

Unity Foremost In Business

We have seen the orientation, disorientation and the collapse of the family business.
 A business, generally relies on unity.If that element is lost then the edifice would collapse.This is what we find in all the disintegrated family businesses.

Unity is hard to find. If at all it is there, it is the bare minimum we can find. Siblings do not see eye to eye. Uncles and grandfathers differ. This has been the scenario now, where each and every word matters. A word that hurts spoils the show. A model that irks condemns the behaviour. A failure in the least disrupts the functioning. So on and so forth goes the unity, wherein we cannot trace growth and prosperity.

If that be the case, it is better for the family business to divide and diversify. Each family be allotted a venture and if possible let it overseen by a common patriarch, if not go your way and have no link with the central. That could be a better proposition in the run.

Not advising of a disintegration but a spell out of a proposal that would be feasible and workable in the smooth functioning of the business.

Professioals Inside Family Business.

The family oriented business is still found in many parts of the world. They are giving way to professional management slowly.
 The families which are into business for a long time and which managed the activities are now recruiting professionals to take care.

Professionalism is indeed the need of the hour. Their perception would be loaded with exposure and training. Not that they have the meticulous modus Operandi they too have not any attachments to the business. Sentiments do not take a role. It is profit. Nothing but profit.

The company should perform. Whatever action need be taken would be implemented as soon as possible.If they find a business outdated they would hive it off and deploy the funds into a more lucrative one. That way they do not keep the funds idle.A return is a must. Idling is condemned.

Many family businesses have their own members on board and slowly incorporate other directors in who are professionals. They are at the helm for a period. They have to show results.If they fail they would be removed and another appropriate person would be brought in.

A slow but steady change is taking place silently.

The Family Business --- An Example Of A Collapse

The family business takes me on a journey, Cited examples of the large business families around me, I thought I had completed my assignments.
Last night, while I was relaxing, another family of repute came into my mind. I felt I should add this to the subject too.

Well, this family has been into business for quite a long time.They had the business in many parts of the country and also in Burma, and Ceylon. They had paddy fields in Burma and involved in banking also. The Ceylon based business comprised of tea estates and real estates. This family became wealthy, in the course of time, as they supported the British raj. The Governor Generals had a special corner for them and they on the go assigned valuable lands in and around Madras to this family.

The family was also known for usurping the properties of their kin in the guise of caretakers. Rumours still run about them. That is all history now,

They set up a university with their own donations supplemented by the collected funds. The university did impart education but as years passed it became a money spinner for the family. For each appointment right from menial to ViceChancellor percentage of the commission was fixed. So did they in engineering and medical seats. Imagine a student paying millions to become a doctor. What would be his status in the medical profession deemed to be very noble and has a call of caution around.. The graduate from the University claims himself to be a doctor. How far can the people trust him? If money is the way to becoming a professional then I and you without studying could well wear the garb. The candidate who enters the college does not apply his mind to study. He knows that his family would make him a doctor by advancing money to get through. This university has produced so many doctors of this calibre.

Oh! I have gone astray from the main. The business I was talking about flourished. The family did not interfere in the activities. It was the paid managers who oversaw. They were not in any way professionals.As there was no competition the business thrived. The family wallowed in luxury.

it so happened that the family could not beget an heir to their wealth. So the two branches as per the community's practice, adopted sons. Those two came from a much unknown families. They could not cope up with the high profile  parents. The one chose a life of his own.  He sailed abroad. The other one stayed in and discreetly took the control of the companies, set aside the father, and became invincible in the course.

The adopted father feels helpless. With his money gone and his age not by his side is trying to pull himself

from his leviathan slumber. It is too late. Very late.

An example for the wrong side.