Every drop counts: Water and Development: Challenges and Opportunity
The business of water supply and demand permeates every aspect of economic activity. Entering the new millennium, uninterrupted access to clean water has emerged as a critical issue affecting economic activity, development and business around the world. It is increasingly clear that lack of access to clean water in many parts of the world is causing great suffering in humanitarian, social, environmental and economic terms and seriously undermines development goals.
Traditionally, India has been well-endowed with large freshwater reserves, but the increasing population and over exploitation of surface and groundwater over the past few decades has resulted in water scarcity in some regions. The report, Every drop counts: Water and Development: Challenges and Opportunity, released at the CII Water Conclave 2010, analyses how water is becoming an increasingly scarce commodity due to the confluence of population growth, industrialisation, urbanisation, and climate change in the Indian context.
The report addresses the three key conference themes:
- *Water stewardship by business communities
- *Urban water management by public infrastructure developers
- *Water as a future market for advance technology developers
The report discusses the various facets of Indian urban water management, the correlation between the growing challenges of climate change and scarcity of water resources, the policy perspectives and the innovative approaches in an integrated urban water management. It also attempts to address and understand the progression of the Indian water market and the advancements in the areas of improved technology in waste water monitoring and treatment, effluent treatment, energy efficiency in water management and integrated solutions in water management.
Risk management costs to escalate as banks enter next phase of recovery
Chief financial officers, chief risk officers and compliance officers around the world are in agreement that risk management costs will continue to escalate over the next 18 months and beyond, with some predicting “exponential” increases as regulatory requirements tighten.
Wahi & Company’s 2010 survey on risk governance, Recover, adapt, advance: back to business in an uncertain world, reveals that 80% of banking executives polled are bracing for significant increase in costs to manage heightened regulatory requirements and strengthen risk governance across their business.
Hank Prybylski, Ernst & Young’s Global Financial Services Risk Management leader, comments: “Our survey this year uncovered a tone of caution among the executives who remain concerned about the recession’s depth and pace of recovery. There seems to be unanimous sentiment that the uncertain market environment is making business planning and decision making — both short and long term — extremely difficult.”
The overwhelming issue facing banking executives — cited by 72% of respondents — is regulatory uncertainty. New regulations, designed at high level by the G20, International Monetary Fund and European level and being set at national level by local regulators, are expected to impose restrictions on capital, liquidity, risk management and compensation practices. However, for some countries it remains to be seen just how strict they will be and how soon they will take effect.
Global Manufacturing Competitiveness Index
A report issued today indicates that access to talented workers capable of supporting innovation is the key factor driving global competitiveness at manufacturing companies—well ahead of “classic” factors typically associated with competitive manufacturing, such as labor, materials, and energy. Further, difficulties accessing the right kind of talent are likely to contribute to the United States’ becoming less globally competitive in the next five years.
These are the findings of the 2010 Global Manufacturing Competitiveness Index, a research report from Deloitte’s Global Manufacturing Industry group and the U.S. Council on Competitiveness. The report is based on the responses of more than 400 chief executive officers and senior manufacturing executives worldwide to a survey conducted in late 2009 and early 2010. It also draws on select interviews with key manufacturing decision makers.
“At its broadest level, the study confirms that the global competitive landscape for manufacturing is undergoing a transformational shift that will reshape the drivers of economic growth, high-value job creation, national prosperity, and national security,” according to Deborah L. Wince-Smith, president and chief executive officer of the U.S. Council on Competitiveness.
Towards 2015: Sustaining Inclusive Growth - Evolving Business Models
The Indian Mutual fund industry has witnessed unprecedented growth riding on the back of a high savings and investment rate, favorable demographics and increased levels of retail participation over the past few years. There has been a significant expansion in the Assets under management, which has grown from Rs 231,862 crores in March 31, 2006 to Rs 613, 979 crores in March 31, 2010, reflecting a compounded growth of 27.6%. This bears testimony to the fact that the Indian mutual fund industry is robust enough to sustain a noteworthy growth rate, even amidst the ongoing financial crisis. Compared to the other Asian economies, India is a considerably mature market, and thereby serves as an attractive investment proposition.
The year gone by has been an interesting and challenging one with the markets in momentum and a number of regulatory changes. Fund houses no longer charging an upfront load, reduction in the commissions of distributors, have been some of the reasons which have urged the industry to revisit its business model. It remains to be seen how distributors, customers and the industry adapt themselves to this evolving framework. The pace of growth is being matched by the changing regulatory framework, which requires the industry to adhere to compliance norms. The regulator also aims to bring about a greater degree of transparency in the system, by improved governance structures.
Challenges that the industry is dealing with have been persistent for some time now, the most prominent among them being lack of investor awareness and low levels of penetration, the latter being a fall out of the former. Heavy dependence on corporate customers, inspite of the humongous prospects in the retail sector, along with spiraling costs and low penetration levels are some of the other burdens that the mutual fund industry is saddled with.
The roadmap towards achieving the vision for 2015, remains to be defined by the industry stakeholders ie the fund managers, the distributors, the regulators, the service providers, and most importantly investors. Hence, the theme “Towards 2015- Sustaining Inclusive Growth - evolving Business Models
