34. Seeking Economic Growth Opportunities

It is difficult to change the state of affairs. Especially so, if it is a juggernaut like the government! This lethargic state is the root cause of continuing economic stalemate and poor growth numbers. Every government in the world, should strive to become highly reactive, potent and capable of change.

A highly intelligent and reactive constitutional framework (https://www.mayoan.com/grc/06.-more-on-the-fictional-iron-clad-constitution) along with meritocracy will change the potential to compete and win for good!

How should we look out for opportunities of growth?

The problem with lot of governments is that there is no single responsible (polymath) team that can intelligently identify potential for growth. In my opinion this crucial scanning the horizon activity should rest with the national planning commission and this government body should have its reach into other power-house organizations of the government possibly with a growth-plan and should be in a mandated position to move things. I completely understand the need for data driven analytics, market analysis, segmentation analysis, consideration of growth curve, competitive analysis etc., which are non-negotiable things that any economic endeavour should consider.

If the opportunity is strategic/ long-term then the government planning commission should lead. If the opportunity is operational or tactical, then the private organizations of the country should lead. Thus, the private organizations should have a no-holds access to the planning commission in order to explore the potential for converting an idea into a nationally important strategic project. Wherever there is an opportunity identified the private and government institutions should work in tandem like a well-oiled machinery so that maximum leverage and outcome can be achieved. Time is of essence too and hence not just that the idea-mills should turn faster in public and private sectors, the tapping potential in terms of existing infrastructures and capitalizing on public sentiment should happen at rapid pace. All opportunities may not yield results and appropriate loss thresholds should be accepted without much lamenting and before the loss becomes a major resistance factor for further investments.

The following things should happen if the economic engine should become turbo-boosted, all powerful and capable of lifting the standards/quality of living in a country.

1.      Involvement of planning commission BDOs (Block Development Officers) in networking the economy (https://www.mayoan.com/economy/28.-activity-networking-and-block-development-of-the-economy).

2.   Government investment in continually upgrading infrastructures and other nationally important institutions and strategic assets.

3.      Importance of government or public institutions in continually monitoring the public mood and converting ideas into leads and business opportunities. Besides the regular economic study and data analysis, - a viral media, or an international recognition, a new groundbreaking technology, black swan events, large catastrophes etc., should be validated as potential incoming opportunity – matched with existing investment pipelines, infrastructure harnesses and logistics/distribution capabilities). Lethargy has no place and all these should happen at lightning speed.

4.       If the government is not doing the heavy lifting of an opportunity, then the private parties should be invited to participate in harvesting an opportunity. For example, there may be many successful businesses investing in warehouses, transport sectors, shipping, marketing, sourcing etc., and the government may induce them with volume business promise and take up an endeavour keeping in mind the public interests. Or there may be public-private partnerships or other kinds of joins and amalgamations)

5.      For maximum efficiency and effectiveness, the communication channels of the below should work at lightning speed to convey ideas, processes, guidelines, frameworks, applicable laws and regulations, plans, market outreach mechanisms, logistics and distribution arrangements, retailing and financing plans etc.,

a.    Lean Communication within the Government channels/departments with pre-approved thresholds.

b.     Lean Tri-partite Communications between government, financial institutions and business houses with acceptable pre-approved thresholds

c.      Lean communications between startups and/or business houses, retail agents/brokers, and any significant buyers/investors

d.      Lean communication with businesses and channel integrators/retailers/bulk operators etc.,

e.    Adoption of a pre-conceived loss sharing mechanism or arrangement with appropriate insurances and government involvement.

f.      Keeping the existing channels of businesses/governments in a state of perennial readiness to tap new opportunities without much loss.

g.     Having runbooks at various stages in different organizations with pre-approved thresholds on adoption of new opportunities which also highlight how to cut down losses by failing fast and failing left and in exiting fast while being mindful about recovery and reuse.  

h.    Government policies can help shift any losses to the private partners with a promise of expanded business opportunities in coming years.

6.      As an example, if there is a cat-5 hurricane in the horizon, the government may do the following besides the emergency operations:

a.     Activate contracts/bidding for rebuilding and reconstruction with right participation from the insurance companies

b.   Intimate businesses to procure reconstruction materials at cheap costs without compromising on quality

c.      Check for changes to infrastructures like road networks/water storages etc that may prove to be beneficial in long term

d.     Consider redesigning of roads and colonies to help traffic flow, mass transportation etc.,

e.      Identify the priority of restoration activities and create plans.

f.      As part of lessons learned, identify the bottlenecks, failed states, lost opportunities etc., and be ready for the next time.

g.      Commission the BDOs to create pre and post plans for maximum gain and integration. BDOs should be knowledgeable about government policies and about the various concessions. They should be able to win in any negotiating table with business houses because of the range of operations and the control of essentials like policies,laws,land,water,power etc., If a single BSO is not able to conclude, he can refer to regional and central nodes and get enough concessions to the involved business houses to enable them to take the expected risks.