My Digital CV

ORGANIZATION STRUCTURE EXPLAINED BY NAVRANG CUBE

This time Prof Prasad came up with yet another novel concept of the NAVRANG Cube to explain the organizational Structure. Organizational structure has to be well defined so that the organization can achieve excellence by coordinating the efforts of all employees towards the common objective of the organization. The solving of NAVRANG cube is somewhat like solving the problems of Organization Management and structure in organization.

What is a NAVRANG Cube?

The NAVRANG Cube is actually a large cube formed by assembling 27 small cubes. The small cubes are of 9 different colors such that there are 3 cubes for each color. The NAVRANG cube is so formed that each face of the large cube shows 9 different colors and no color appears twice on the face of the large NAVRANG cube. The task of forming the large cube was given to us by Prof Prasad. However, surprisingly, none of the 80 engineers sitting in the class could complete the task at the first go. Prof Prasad then taught us the technique to do it, which, I think, as engineers, should have been invented by us. Excellence is achieved through Innovative thinking.

Learning from NAVRANG Cube 

• Multidimensional diversity exists at the same level / strata in an organization
• As the cubes of same color do not appear at the same strata so should not be the people or resources of same skills and characters else there may be ego clashes or skill deficiency
• It is important that we have diversity within the organization so that different ideas and views come up and a broader vision and perspective gets established. The organization then becomes holistic and multidimensional
• Different views are channelized towards a common goal – the growth of organization. It is important to have unity of direction to met the set goals otherwise it will result in organizational failure

THE ORGANIZATION AS A MAGNET

Magnet as an Orgnization

A magnet is something that has always fascinated me since my childhood. The sight of metals getting attracted towards the magnet looked nothing short of a miracle. However, it was only in higher secondary school that I came to know about the phenomenon at play inside a magnet through our physics subject.

The same analytical process regarding magnets was again stimulated in our minds after a gap of nearly 7-8 years when Prof Prasad brought along a magnet in the POM class. However, this time we could relate it with a real organizational structure. Talking about the characteristics of a magnet, it consists of two ends – the North Pole and the South Pole. Inside the magnet are dipoles which are aligned in the North-South direction and provide the basic feature to the magnet which is to attract any metal towards it. These dipoles are also responsible for creating a magnetic field which can align iron files kept near a magnet in a particular shape and direction.

Employees are like Dipoles that need to
be aligned with objectives of Organization

If we compare the magnet with an organization, we find that the north-south direction of the magnet is like the goal or mission of the organization. Every activity of the organization is aligned towards this mission just like every dipole is aligned in the N-S direction. The different dipoles are like the different departments of the organization. These departments have to work in synchronization with each other to achieve the mission or objectives of the organization. They are aligned in the same direction i.e. they work with the same motive of achieving excellence in organizational objectives. The magnetic field of the magnet can be compared with the influence the mission can have on the employees. Just like iron filings kept near a magnet get influenced by the magnetic field, the employees get influenced by the 

culture prevailing in the organization and their activities are coordinated 

in the same direction for achieving the goals of the organization.

Influence of an Organization can be
like the magnetic effect of a Magnet

A thing as simple as a magnet can also present a great learning about organization. It is necessary that we work as efficiently and effectively as possible in order to achieve our tasks. A magnet teaches us that only when the individual objectives coincide with the objectives of the organization can excellence be achieved. 

Excellence through Grameen Bank

Every other day we hear about the government’s initiatives for upliftment of the rural poor. How much these proposals materialize is a different issue. But hardly do we see individuals coming up with something on their own with the sole intent of helping the rural poor and empowering them financially and socially. It is this excellence in microfinance that has made Muhammad Yunus and the Grameen Bank so popular and relevant in today’s times.

The origin of Grameen Bank can be traced back to 1976 when Professor Muhammad Yunus, Head of the Rural Economics Program at the University  of Chittagong, launched an action research project to examine the possibility of designing a credit delivery system to provide banking services targeted at the rural poor. 

OBJECTIVES 

The Grameen Bank Project (Grameen means "rural" or "village" in Bangla language) came into operation with the following objectives:

• Extend banking facilities to poor men and women
• Eliminate the exploitation of the poor by money lenders
• Create opportunities for self-employment for the vast multitude of unemployed people in rural Bangladesh
• Bring the disadvantaged, mostly the women from the poorest households, within the fold of an organizational format which they can understand and manage by themselves
• Reverse the age-old vicious circle of "low income, low saving & low investment", into virtuous circle of "low income, injection of credit, investment, more income, more savings, more investment, more income"

METHODS EMPLOYED TO ACHIEVED EXCELLENCE

The Grameen Bank's Method of action can be illustrated by the following principles:

1)    Start with the problem rather than the solution: a credit system must be based on a survey of the  social background rather than on a pre-established banking technique.

2)    Adopt a progressive attitude: development is a long-term process which depends on the aspirations and committment of the economic operators.

3)      Make sure that the credit system serves the poor, and not vice-versa: credit officers visit the villages, enabling them to get to know the borrowers.

4)   Establish priorities for action vis-a-vis to the the target population: serve the most poverty-stricken people needing investment resources, who have no access to credit.

5)   At the beginning, restrict credit to income-generating production operations, freely selected by the borrower. Make it possible for the borrower to be able to repay the loan.

6)    Lean on solidarity groups: small informal groups consisting of co-opted members coming from the same background and trusting each other.

7)      Associate savings with credit without it being necessarily a prerequisite. 

8)  Combine close monitoring of borrowers with procedures which are simple and standardised as possible.

9)     Do everything possible to ensure the system's financial balance. 

10) Invest in human resources: training leaders will provide them with real development ethics based on rigour, creativity, understanding and respect for the rural environment.

All these efforts of Muhammad Yunus through the Grameen Bank have helped in upliftment of lacs of people in Bangladesh. With the success of the Grameen Bank, the concept of microfinance has been adopted by many other countries. So much has been the success of the Grameen Bank that it is being supported by economic institutions the world over like the IMF, World Bank, etc.

Excellence in the thoughts and efforts put in by Muhammad Yunus has been the key in bringing about significant changes in the lives of lacs of people. Excellence can be achieved only when due thought has been given towards the steps necessary for attaining efficiency and effectiveness.