Wednesday, January 18, 2012

Stemming the Rot in Government

These days inefficiency of government officials is also being called out as scam.  That a government official did not negotiate well enough and hence caused loss to the nation exchequer, or some babu bought some substandard equipment when a better and cheaper alternative was available, may not necessarily have "lining of pockets" as the only motive, it could actually be the incompetency of the official. I am not defending babus, but it is important to understand the difference between corruption and incompetence. If we do not understand the true problem, we won't get to the right solution.

Today, everything gets bucketed under corruption. That is not the whole truth.

In lot of  cases, it is the incompetency of the officials that is the reasons for delays, wrong decisions, wasteful expenditure and in general government paralysis.

The reasons why the government is generally perceived to be / or it actually is incompetent are not difficult to find or comprehend. In fact three things that any organization needs to do to keep a vibrant and healthy culture are missing in government  - First  - Induction - The way people get hired in government is messed up.  Selection is based on quotas, cast and creed vs merit. Selections are heavily influenced, money changes hands. Selection techniques are outdated and out of sync with the reality. For example, induction process in police lays more emphasis on the physique of the candidate vs ways to figure out the psychological makeup of the candidate. Do we expect and want policemen to go and beat up mafia dons in their dens, a la "Zanjeer" or do we expect policemen to be able to resist temptation to take part of the loot and let the culprit go scot-free?
Second - The  rise in government is not linked to performance and good work. The process does not reward good performers. Worse still, there is no disincentive not to work. People have figured it out. Now it has degenerated to an extent where, forget about government folks going beyond the call of duty, to get something done, it is a pleasant surprise if they do what is their primary job! Even for doing that they want favors!
Weeding out - You get in you stay in. Incompetent people are happy to have more incompetent people around them. Makes it a very cozy bunch.
In short, government gets incompetent people in, it disincentivizes the competent, till they also become like majority, and it keeps the incompetent people for life!

To make the situation worse, as the government is expected to focus more on policies, procedures, governance and less on operations,  the incompetency of the government apparatus is becoming painfully visible and excruciatingly difficult to deal with.

To draw a parallel, imagine a corporate where top decision makers and executives are a bunch of incompetent people. Irrespective of how hardworking or capable the employees may be, the corporate is doomed.  No organization survives when the next person it higher is worse then the previous. It is a downward death spiral.

While we must work to stem the rot of corruption, we must not lose sight of the fact that we need to fix the basics, the basics of building an organization, in this case a very important organization - our government.

Thursday, January 12, 2012

Thank You Raja for the 2G Scam!

Do I hear CBI knocking on my door to unearth the ill gotten benefits! Yes, I have benefited. I have benefited and so have many millions like me.  I pay a lower per minute rate for my phone usage.

As per CAG's estimates, if 2G spectrum were to be auctioned, the govt would have mopped up additional Rs1.76 trillion! There is no prize for guessing this right - From where would have the telecom companies recovered this amount -  from you and me of course, by pricing their services higher! or even charging for the incoming calls.

The sabzivalas, rikshavalas, carpenter, masons, would not have been able to afford the cells. New model for doing business would have not have emerged. It would have been akin to killing a golden egg laying goose.

Have we not seen what is happening with 3G. The spectrum was sold thru' auction, the companies went crazy with the amount that they paid. The price for the 3G service for the end users remains high. There are a few users on 3G, there is no compelling reason for anyone to create content that could be consumed on 3G networks. It remains a  high prized, no real value game!

I don't think the method of allocation of 2G spectrum was wrong. Government does offer land at subsidized rates or other incentives to the industry to setup manufacturing plants etc, however, that the minister used the spectrum as his personal property to get a cut for himself and his family is what messed it all up! Mr Raja you lost me there. I am glad you were caught and are cooling your heels behind bars for the wrong that you did. However, to get some comfort from all that has happened, Mr Raja you  want to look at this as having sacrificed yourself to make communication affordable for the teaming millions. Unfortunately you will be remembered for all the wrong reasons.

Folks, I had like to hear from you what you think. Do let me know. Hey, don't give me a missed call. Calling and staying on the phone is not that expensive either, thanks to Mr Raja!

Cheers!