Thursday 9 August, 2007

Managing Politics

Management in politics has usually been considered as inefficient and based upon whims of top leaders. However, various management techniques are used and can be used in politics – some obvious, some not too obvious. Let us look at few of the domains in management that are/ can be used

Strategy – Vision, like in any other corporate entity, is important. It is usually the agenda of the party. Mission is to win elections to help achieve the vision. Apparently, vision is different from mission. But in practice, mission statement acts as a vision. Also SWOT analysis, Porter’s 5 forces model can help. In fact the election agenda can be classified in the BCG matrix, and appropriate action can be taken. Another notable fact is the almost defunct board of directors, usually all of whom aspire to be the central authority, and thus usually abysmal corporate governance. The power is usually concentrated at the central authority.

HR – It is quite obvious, and perhaps the most important field of management. Team dynamics is one of the most important areas to win an election. Recruitment and selection are important. Laterals are usually preferred. Criminal background helps. One of the most important factors influencing HR productivity is their appeasement. A lot of work is outsourced, which plays an important role in party’s success.

Operations – Internal operations are hardly efficient. A large chunk of time is spent in useless photo kheechna, garlands pehnana, chamchagiri etc. thus reducing employee productivity. ‘Lean’ principl,es are not at all possible, as inefficiency is a necessary condition for thriving. Supply chain includes suppliers like lobbyists, goons etc. Another notable feature is the sudden increase in efficiency during election times, but most of them is due to work outsourced to goons for activities like threatening people, booth capturing etc. Thus, strategic partnership/ strategic alliance help.

Systems-Barring few, most of the people are too traditional and too regressive in outlook and may frown upon anything related to computers or any gadget. So systems implementation first requires a change in mindset, and currently it is hardly applicable

Marketing-It is the most important part of strategy. A huge amount of resources in form of money, manpower, and time are needed. Firstly the market is properly segmented, usually on basis of caste and religion. The targeting is based upon 2 parameters – the size of the segment, and expected voter turnout from that market segment. Market research can be used to identify appropriate target segment. Politician’s USP is relatively irrelevant as long as proper caste/ religion are targeted. Advertising uses both print media as well as electronic media. But point of sales is important (again … it depends upon the local dealer … oops local goon!).

Finance- This has often been shrouded in controversy. Usually it is below the line financing. Sources of funds include corporate lobbyists, party funds, extortionists, dacoits, bribe, etc. Another interesting idea can be listing on the stock exchange. In case the party is in power. It can jack up the price and get funds. Also, once in power, it can siphon public funds in its own kitty and swelling it further.

Then there are many areas like mergers and acquisitions, party splits, customer relation management, etc. The list can be infinite. The above list includes just broad functional areas.

(Scared of strategic partners, I haven’t named any political party!)

2 comments:

Anonymous said...

Too much brilliant analeeeseeess r there! A Standard Text Book in the making? Perhaps even an PPO? Or a deaththreat from some 'Pappu' Yadav or some such?

Nikesh Rathi said...

Thank u thank u.

I think in long run, there is more money in consulting the politicians than writing a book ... Also, mostly in form of cash, so no problem of tracing it back!!

Also, once in power they may give me some shares ... Later on I can move from being just a consultant to other side of the table !!!