Vol. 08, Issue 04

April 2018

Wisdom Window A P u b l i c a t i o n of the Library

HBR March-April 2018

HOW SUCCESSFUL FREELANCERS MANAGE THE UNCERTAINTY

Approximately 150 million people in North

America and Western Europe now work as

independent contractors, most of them in

knowledge-intensive industries and creative

occupations. The authors studied 65 of them

in depth and learned that although they feel

a host of personal, social, and economic

anxieties without the cover and support of a

traditional employer, they also say they

chose independence and wouldn't give up

the benefits that come with it. Many of these

workers have created a "holding

environment" for themselves by establishing

four connections: (1) place, in the form of

idiosyncratic, dedicated workspaces that

allow easy access to the tools of their

owners' trade; (2) routines that streamline

workflow and incorporate personal care; (3)

purpose, to create a bridge between personal

interests and motivations and a need in the

world; and (4) people to whom they turn for

reassurance and encouragement. These

connections help independent workers

sustain productivity, endure their anxieties,

and even turn those feelings into sources of

creativity and growth.

Watch Your

Thoughts

* The Buddha *

INSIDE THE ISSUE

Thought Window

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News Window

- Page 3 - 8

Column Window

- Page 9-12

Article Window

- Page 13-14

Leading Journals Window

- Page 15-18

New Acquisitions Window

- Page 19

PIM Publication Window

- Page 20-21

E-Journals Window

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PIM Graduates of 2017 shines at’ Igniting the passion’

The Postgraduate Institute of Management (PIM), Nations Management Mentor, held its annual

convocation for the students who graduated in MBA, MPA MBA in Taxation and PhD progammes

along with PhD Batch at the BMICH on 02nd

December2017.

The convocation was followed up with a customary gala

dinner and a social at the Banquet Hall at the same venue

. The social event which was held to celebrate two years

of hard work and their success of students with wide

spectrum of entertainment in the evening to make the

post convocation event a memorable evening . The event

was organized by a team of volunteers comprising all the

students representing each category of study stream in

collaboration with PIM administration.

The event which was named as “igniting the

passion”stemming from PIM tagline” Ignite Human Imagination” . The key feature of this event was

the entire event was branded as Graduates of 2017 igniting the passion highlighting PIM umbrella

being the premier higher education organization in Sri Lanka.

As a tradition the event kicked off with the marching of the elite faculties from the parent University&

PIM . Professor Ajantha Dharmasiri. Director, PIM, welcomed the guests with a inspiring speech as

usual. Prof. Mohan de Silva, Chairman of the University Grants Commission and Prof. Sampath

Amaratunge, Vice- Chancellor of University of Sri Jayewardenepura together with other distinguished

invitees graced the occasion. Staff members of PIM were also present. Next was the combined

graduates organizing committee presenting a commemoration plaque to the Director as a remembrance

of their bond with PIM . …………………………

NHRDC conducts workshop to discuss public

sector training

The National Human Resources Development Council of Sri Lanka (NHRDC) conducted a half-day

workshop to develop a roadmap for implementing a common competency framework for promoting a

productive and ethical public service culture. The resource personnel for the workshop comprised

UOC Management Faculty Senior Lecturer Prof. W. P. G. De Alwis (Chairperson), PIM Management

Consultant Samantha Rathnayake, National Policies and Economic Affairs Ministry Additional

Secretary U. G. Ratnasiri, and NHRDC Director Dr. K. A. Lalithadheera.

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April 01,2018

April 09,2018

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Samantha Rathnayake addresses back to back

conferences at Goa Uni. on emerging trends in

management

Prof. Nikunj Dalal, DOMS, Indian

Institute of Science, Bengaluru Prof. K.B.

Akhilesh, and Vee Technologies,

Bengaluru Founder and CEO Chocko

Valliappa

Samantha Rathnayake, Management Consultant from the

Postgraduate Institute of Management, University of Sri

Jayewardenepura recently addressed two back to back international

conferences on Future Work Organisations: Perspectives, Issues

and Challenges organised by Sona School of Management, India

and emerging trends in management: Focus on service organised by the Goa University, India at the

department of management studies of university of Goa.

In addition to the above addresses, he chaired a couple of research and other parallel sessions in both

conferences.

Both conferences were driven in line with the changes and challenges of a leap from the linear to non-

linear world of organisations and from known to unknown by examining the areas such as principles

which are guiding the success of twenty first century work organisations. It was explored and

highlighted the fact that what truly binds in networked organisations; exploration of information

technology versus other options for meaningfulness; how work organisation make the shift from just

spreading information around a network to building new knowledge. ……………..

PIM taxation program attracts Indian

specialists

The first ever MBA taxation program in Asia offered

by the Postgraduate Institute of Management (PIM)

featured a specialised team on Transfer Pricing which

comprised Dr. Hasnain Shroff, Manish Baffna, Ms.

Deepa Suresh, Hardev Singh and A. Pradeep of KPMG

India in March.

The MBA in Taxation of PIM has been specially

designed to cater to the needs of the Department of

Inland Revenue. Transfer Pricing is an integral

component of this program. Emphasising its

importance, PIM sought the services of the world-

renowned resource persons of KPMG, India.

This will enhance the taxation capabilities of the

participants, which will in turn contribute to attune the

administration and increase performance in handling taxation for multinational companies.

Upon completion of this study program, the participants will be able to demonstrate critical awareness

of fundamental and advanced aspects of taxation and related functional disciplines, while applying the

relevant techniques in their roles as managerial professionals in contributing to the economic

wellbeing of the nation. …………..

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April 26 ,2018

The Indian ‘Transfer pricing’ specialists with the Participants

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PIM’s Professional Manager pays tribute to an

irreplaceable icon

IPS Endowment Trust Fund Chairman Dr

Wickrema Weerasooriya handing over the

Special Issue of ‘Professional Manager’ on

the Late Dr Saman Kelegama to Eranthika

Sirimavo Kelegama at the Dr. Saman

Kelegama Auditorium of the Institute of

Policy Studies. IPS Executive Director Dr

Dushni Weerakoon and Chandana

Kelegama (R) also present – Pix by Shehan

Gunasekara

Taking a break from tradition, Professional Manager, the Postgraduate Institute of

Marketing’s (PIM) management journal publishes a special commemorative issue in

honour of eminent Economist, the late Dr. Saman Kelegama. This 14th edition of

Professional Manager is devoted to Dr. Kelegama and was launched at the Institute of

Policy Studies of Sri Lanka on Tuesday, with its first copy handed over to Sririmavo

Kelegama by the magazine’s Associate Editor, Dr. Wickrema Weerasooria.

Aptly titled ‘Insights on an Irreplaceable Icon’, this issue contains 25 articles dedicated to Dr.

Kelegama, devised by the likes of Dr. Razeen Sally, W.A. Wijewardena, Prof. Ajantha Dharmasiri, Dr.

Ganeshan Wignaraja, Sriyani Hulugalle, Deshal De Mel, Dr. Dushni Weerakoon and more. A stalwart

of the Sri Lanka Association of Economists and one of its Presidents, Dr. Saman Kelegama, was

Executive Director at the Institute of Policy Studies (IPS) from 1995 and a member of the Governing

Boards of the South Asia Centre for Policy Studies in Nepal and the Postgraduate Institute of

Management, University of Sri Jayewardenepura. In addition to numerous stints on government boards

and committees, Dr. Kelegama also served as Chairman of Singer Sri Lanka PLC before his untimely

demise in June last year.

In his appreciation, IPS Chairman Dr. Razeen Sally, states that the late Dr. Kelegama was Sri Lanka’s

leading home-based trade economist and recognised the former Executive Director’s passion to

nurture young scholars through the IPS fold, who now contribute with sterling work in government

service and the private sector. ………………………………….

Gayani de Alwis elected CILT Sri Lanka

Chairperson The Chartered Institute of Logistics and Transport (CILT) Sri Lanka held its 34th Annual General

Meeting (AGM) on 28 March, at the Victorian Hall of The Kingsbury Hotel, Colombo, attended by an august gathering of members.

Gayani De Alwis was elected uncontested as

the 21st Chairperson of CILT Sri Lanka. It is

the second time that CILT Sri Lanka elected

a female Chairperson in 27 years. The three

Vice Chairpersons elected were Dr. Namali

Sirisoma, Channaka De Alwis and Gihan

Jayasinghe. Dr. Lalith Edirisinghe and Upali Gunawardena were elected as the Secretary and

Treasurer respectively. De Alwis is an experienced supply chain professional, with over two decades of experience in the

profession, locally and overseas. She was the former Director of Customer Service of Unilever Sri

Lanka. She was the founding Chairperson of Women in Logistics and Transport (WiLAT) Sri Lanka

and had been an active Chartered member of CILT Sri Lanka Council since 2011. The AGM also

featured strong representation from the women’s forum of CILT Sri Lanka, WiLAT Sri Lanka, and the

Young Professionals’ Forum (YPF) Sri Lanka………………….

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April 05,2018

April 01,2018

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PIM trains Sri Lankan public administrators in Sydney

The Postgraduate Institute of

Management (PIM)

conducted another

international management

program jointly with the

University of Sydney,

Australia. This program

revolved around ‘Strategic

Management’, and was held

from 27 February to 7

March.The participants while

learning the conceptual aspects of Strategic Management in the lecture room sessions at the Business

School, were also brought into contact with public and private sector management experts in Australia.

They also had the opportunity to visit the New South Wales Transport, Rail Management Centre

where they were exposed to the role of the organisation in managing the rail transport system of

Sydney, and future infrastructure development plans of the network.

Further, they visited the National Australian Bank where senior officials of the bank presented the

bank’s future strategies and outlook in the light of the current geo-political outlook. The program was

in line with the PIM’s strategic partnership building initiated by PIM Director Prof. Ajantha

Dharmasiri. The entire coordination was done by Dilhan Goonetilleke, who is a Faculty Member and a

Management Consultant of PIM.

INSEE Cement’s culture of learning strengthens

its people!

Partners with PIM to

develop business leaders

INSEE Cement partnered with Postgraduate

Institute of Management (PIM),

Sri Lanka’s premier centre of

excellence in management

education, to successfully

complete the Executive

Leadership Development

Program (ELDP) for 2017/18.

INSEE Cement promotes a culture of learning within the organisation through its learning and

development arm INSEE Academy and implements best-in-class people development initiatives.

The objective of ELDP is to transform INSEE cement’s functional leaders into business leaders by

moving them from mastery in their own individual functional areas to broader multi-dimensional roles.

From over 40 self-driven middle managers who applied for the program, 24 were selected based on

their individual development needs. After going through a challenging eight months program, 23

participants successfully completed the program.

The ELDP course framework includes three types of skills that are essential for a successful

management process namely, Technical, Human and Conceptual skills development. The program is

designed to go beyond a standard ‘class room’ learning experience in which participants used learning

diaries, case study methods and a final project which was directly linked with specific organisational

objectives. ………………..

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April 17,2018

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CPM 10th Evening for Managers program on

24 April

Event to focus on ‘Innovative Practices in Tough Business Decisions and Actions’

The Institute of Certified Professional Managers (CPM), the premier professional management body

in Sri Lanka, will talk about the need for professional managers to explore new avenues for business

growth in order to remain competitive in changing business society and also the need to understand the

challenges that such actions will entail.

The 10th presentation of the CPM Evening for Managers (EFM) series analyses various timely topics

relevant to the modern manager.

The event will take place on 24 April from 5.00 p.m. to 7.30 p.m. at the Kingsbury Hotel, Colombo.

Siam City Cement (Lanka) Ltd. Chief Financial Officer Bruno Pitziniill will delivered the keynote

presentation under the theme ‘Innovative Practices in Tough Business Decisions and Actions’

followed by a panel discussion comprising two learned panellists who are fellow members of CPM.

The panel discussion will be moderated by Management Consultant of PIM, Fellow Member and

Governing Council Member of CPM, Samantha Rathnayake, as the Session Facilitator.

The panel consists of Oasis Hospital Ltd. Corporate Affairs Director Adrian Perera and SEJAYA

Micro Credit CEO and Founding Director Renuka Rathnahewage, who will give an in-depth overview

of the theme. …………………..

PIM MBA inaugurated in Kuwait

Kandeepan Balasubramaniam, the Sri

Lankan Ambassador to Kuwait, Prof.

Ajantha Dharmasir, Director, PIM and other

officials in at the event.

The Postgraduate Institute of Management

(PIM), witnessed the commencement of its

first ever MBA batch in Kuwait.It is the

fourth overseas MBA study group of PIM,

in addition to those present in Dubai, UAE,

Doha, Qatar and Muscat, Oman.

Kandeepan Balasubramaniam, the Ambassador of Sri Lanka in Kuwait, was the chief guest and spoke

eloquently about the support provided by PIM’s premier MBA towards uplifting the image of Sri

Lankans among the Kuwait nationals.

Prof. Ajantha Dharmasiri, the Director of PIM stressed the importance of building professional skills

in producing holistic leaders. He further added that PIM’s MBA emphasizes the need to put “Mind

Before Action (MBA)” in becoming thinking performers.

Asoka Rupasinghe, a veteran banker representing the Sri Lankan community and Riyaz Jamaldeen

representing the Kuwait Chapter of Chartered Accountants Sri Lanka also participated as invitees.

Deeptha Wimalasena, a Chartered Accountant played a key role in putting the event together.

………….

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NHRC 2018 on June 6 and 7 The National HR Conference

(NHRC) 2018 which is due to be

held on June 6 and 7 at the

BMICH in Colombo aims at

transforming the mindset of HR

practitioners, enabling them to

excel in an agile, digitally

empowered operating environment embracing the brave new digital

world whilst staying vigilant and receptive to the workplace

challenges of tomorrow. ……………………….

IPM fully geared for transformation of HR

in Digital World

IPM Sri Lanka – the nation’s leader in human resources

management – on Wednesday, April 4, announced that the much

sought-after event – The IPM National Human Resources

Conference 2018 will be held on June 6 and 7 at the BMICH in

Colombo under the theme ‘Transformation of HR in the Digital

World’.IPM’s NHRC is the largest HR conference in South Asia

and the conference is expected to attract around 1,000 local and foreign participants. The Chief Guest

at the IPM NHRC 2018 will be Harin Fernando, Minister of Telecommunication & Digital

Infrastructure of Sri Lanka.

IPM geared up for largest HR conference in

South Asia The nation’s

leader in human

resources

management, IPM

Sri Lanka, last

week that the

much sought-after event, the IPM National Human

Resources Conference (NHRC) 2018, will be held on 6 and 7 June at the BMICH in Colombo. The

theme will be ‘Transformation of HR in the Digital World’.

IPM Sri Lanka to showcase winning HR

practices at NHRC 2018 IPM Sri Lanka – the nation’s leader in human resource management, will

be showcasing winning corporate HR practices at its popular "IPM Great

HR Practices" for the 2nd consecutive year at the IPM National HR

Conference 2018 which is being held on 6th and 7th June at the BMICH

in Colombo. The IPM Great HR Practices which was held for the first

time in 2017 is considered by the HR fraternity as vastly successful. IPM

Great HR Practices is a platform for both public and private sector organizations to showcase their

great HR practices which address a crucial HR issue and is considered as a game changer in the

ongoing success of the organization. …………………

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April 08,2018

April 19,2018

April 20,2018

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PIM MBA in Kuwait: A Sri Lankan pride

It was indeed memorable to organise an

inauguration of a brand new MBA batch at the

Postgraduate Institute of Management (PIM) in

Kuwait City, Kuwait. It was encouraging to see

the spirit of Sri Lankans in Kuwait who

actively supported our endeavour in bringing in

the management learning to Kuwait City with

what we call, “global reach with local roots”. It

is indeed a Sri Lankan pride as we add the

fourth middle-east destination to a master’s lever study program offered by a premier local

postgraduate entity. Today’s article is all about it.

Overview

The obvious reason for Sri Lankans to go to the Middle East including Dubai, Doha, Muscat and

Kuwait City is to earn. We had to shift that paradigm. It is not only to earn, but to learn. I in fact

suggested to them, that it should be earn, learn and return. That’s where PIM MBA will be handy.

It was last Thursday that we had the MBA inauguration in Kuwait City. It was a response for a request

made by the Sri Lankan Chartered Accountants working in Kuwait. The PIM alumni (PIMA) chapters

of the UAE as well as Qatar supported our endeavour. The encouraging support given by Kandeepan

Balasubraminiam, the Sri Lankan Ambassador to Kuwait was indeed commendable. Asoka

Rupasinghe, a veteran banker representing the Sri Lankan community and Riyaz Jamaldeen

representing the Kuwait Chapter of CA Sri Lanka also participated as invitees. Deeptha Wimalasena, a

Chartered Accountant played a key role in putting the event together.

PIM bringing Sri Lankan pride

Kandeepan Balasubramaniam, the Ambassador of Sri Lanka in Kuwait, spoke eloquently about the

need to uplift the image of Sri Lankans among the Kuwait nationals. He was appreciative of the fact

that PIM MBA will uplift the professionalism of the Sri Lankans who are serving in Kuwait. In fact,

our “learning partners”, the term I prefer instead of “students” will surely add value to their current and

future organisations in translating knowledge into results. The thirst they demonstrated towards

enrolling in our MBA is a sure sign that they are keen in raising their profile in Kuwait society as

contributing professionals.

From the process point of view, outcomes and outputs are good only when the inputs are good. That’s

why I am happy that I sat, together with Jayantha Ranapura, our Senior Assistant Registrar, to conduct

interviews of candidates who passed the admission test to get selected for PIM’s MBA. The practice of

enrolling anyone who walks in is for “study shops” and definitely not for us. Being the pioneering

MBA in Sri Lanka and hailed as the best consistently, PIM has a challenge to continuously improve.

With rapid technological advancements, the need to have blended learning with the use of ICT tools is

on the rise. Also, greater flexibility from

the students as well the high standards

from the institutions need to be

maintained with proper balancing. We

have realised the need to ensure quality

and relevance at all times.

The increasingly competitive challenge

is to enhance our prosumers. As it was

clearly seen by the responses of our

MBA aspirants, the need for cutting-

edge knowledge with global presence and local pulse is what needs to be fulfilled. Having a monthly

presence by a Sri Lankan resource person in physically conducting lectures, supported by video

conferencing and other e-learning tools will be the way forward. ………………………..

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By Prof.Ajantha

Dharmasiri

‘The Ants’ as a ‘disruptive’ teledrama:

Managerial insights

I hardly watch teledramas, not

only because I value my time but

also because of their

questionable value. I must

confess that I watched all the

episodes of ‘Koombiyo’ (The

Ants) on the internet with

enthusiasm. Today’s column is

about this recently concluded

‘disruptive’ teledrama, which

became a talking point among

the masses, especially on social

media platforms.

Overview Koombiyo has drawn its title from a popular nursery rhyme in Sinhala (Payana Kaledi Re Daval

Mahansi Vee, Kanna De Reskaray Koombio). Like ants striving hard during the summer to gather

food, the way the central characters of this teledrama exploit the loopholes in the existing system to

make money is brilliantly depicted.

The Koombiyo series, telecast on the Independent Television Network (ITN), secured the top spot in

terms of ratings in the crime series category of the Internet Movie Database (IMDb).

According to IMDb sources, this is the first time that a Sri Lankan teledrama has clinched a top

international rating. A large number of people have watched the teledrama online and it has a

whopping 9.9 point rating, pushing the TV series ‘Breaking Bad’ and ‘The Wire’ into second and third

places respectively.

In perusing the more than 100 reviews posted on IMDb, it can be seen that the majority echo that

Koombiyo is the best teledrama that they have ever watched.

Disruption by Koombiyo

Koombiyo, directed by Lakmal Darmarathna and produced by Asanka Dodantenne with its script

written by Lakmal Darmarathna and Damitha Chandrasiri, is a fitting example of a ‘disruption’ in the

Sinhala teledrama scene.

Prof. Clayton Christensen of the Harvard Business School, who is widely regarded as the

initiator of the concept of disruption, says that disruption displaces an existing market,

industry or technology and produces something new and more efficient and worthwhile.

Whilst being disruptive on one hand, it is creative on the other.

Why do I call Koombiyo disruptive in the local teledrama scene? It clinched the highest

rating among viewers by being creative. It also appealed to a wider audience which saw

many parallels with existing social and political realities. It attracted many new non-

traditional viewers. It also showed a clear breakaway from the so-called ‘family’ or

‘teenage’ teledramas where the making or breaking of affairs with fantasy and fanfare is a

hacked theme.

It also raised the standards of quality and coherence, moving far beyond the low-

quality ‘imported’ teledramas dubbed in Sinhala that exploit the appeal for

variety among viewers. ………….

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April 23,2018

11

Success at issue of dollar notes should not be

a substitute for taking early measures to fix

economy

Issue of sovereign notes The Central Bank has brought $ 2.5 billion to the

country by issuing Sri Lanka Government Sovereign

but ‘Senior Unsecured Notes’ in the international

markets (available

at:https://www.cbsl.gov.lk/en/news/the-democratic-

socialist-republic-of-sri-lanka-us-dollars-2.5-billion-

international-sovereign-bond-offering ).

‘Senior’ means that in the event of a general default of

foreign loans by Sri Lanka, the investors concerned will get

priority over its other creditors. This is of course not materially significant since, if a country had made

a general default, any recovery would involve protracted international litigation similar to the recent

experiences in Argentina. Since a country does not have means of repayment, such litigations are

likely to lead nowhere. In most cases, behind the courts, the creditors are forced to reschedule or write

off the claims they have on their borrowers.

‘Unsecured’ means that there is no specific collateral supporting these notes. Therefore, the investors

have to rely on Sri Lanka’s future economic potential, capacity to repay and size of the net foreign

exchange flows to assure the recovery of the money they have lent to the country. If all these things

become sour, so are the notes they hold.

Hence, in the international credit markets, it is the borrowers’ market and not that of lenders.

Risk premium is not unwarrantedly high

A half of those notes has been for five years, while the other half for 10 years. The bank had expected

the prospective investors to bid for these notes at a price guide of 6% for five-year notes and 7% for

10-year notes.

However, by the time of the close of the books in New York, there had been a good

interest by investors to compel the issue managers to cut the rates by 25 basis points or a

quarter of one percent. Accordingly, the coupon rate at which the investors would be

remunerated by Sri Lanka annually happened to be 5.75% for five-year notes and 6.75%

for 10-year notes.

Given an average London Interbank Offered Rate or LIBOR of 2.46% for the benchmark

six-month offshore dollars, Sri Lanka has agreed to pay a risk premium of 3.29% to

4.29% to investors. Sri Lanka’s credit rating has always been low – below investment

grade at B1 or B+ – indicating a high probability of sovereign loan default. Hence, the

above risk premia are not unduly high.

It is a note that has been issued

The present note issue differs from previous bond issues.

According to the Central Bank press release, they have not been and will not be,

registered under the US Securities Laws or under any such laws pertaining to different

US states. Since they are private placements done outside laws of the United States, there

has not been any prospectus issued by Sri Lanka to educate the prospective investors of

the borrowing in question. ……………………………

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April 17,2018

12

By W.A.Wijewardane

Designers of Sri Lanka’s Future: Episode I

Nihal Ranasinghe

To sustain economic growth, Sri Lanka needs a critical pool of daring people who would see things

differently and design a new future. The Austrian-American economist Joseph Schumpeter identified

four ground requirements for a country to attain sustained economic

growth: Invention, innovation, diffusion and imitation. Sri Lanka has

such people, but they are hidden from the limelight. In a new series,

we bring out the innovations they have made so that, as Schumpeter

expected, diffusion of knowledge would take place enabling others to

imitate them

Exception to general perception

Ask any Sri Lankan his opinion about public servants. The answer

invariably would be that they are apathetic, irresponsible,

domineering and dull if not stupid. This common perception may

have been ingrained in their minds by the disappointing experiences which they may have had with

them repeatedly.

Yet, there are many public servants who have defied that common perception. Nihal Ranasinghe,

presently the Controller General of Sri Lanka Immigration, is one of them.

An MPA student with innovative capability

I met Nihal at the Postgraduate Institute of Management, commonly known as PIM, when he read for a

Master’s Degree in Public Administration or MPA, there. He took three courses which I facilitated as a

visiting resource person.

The course director, Dr. Lloyd Fernando, had smartly designated us as facilitators and not lecturers,

because we were expected to facilitate learning by those experienced adult students who had joined the

programme. Lloyd’s reasoning was that the participants too were well-equipped with a repository of

knowledge and all what we had to do was to bring that out into open, formalise it and facilitate shared

learning by all.

The three courses which Nihal took with my facilitation were macroeconomics, fiscal policy and

cross-cutting issues in development. He was at the top of the class, well ahead of me, the facilitator,

when it came to critical thinking, foresight and innovative design. Everybody loved to listen to him

when he read out for the benefit of all other participants the weekly short papers they were expected to

write on various topics. I recall that they had all been rated at the highest by all the facilitators.

He completed MPA with flying colours earning a merit pass, the highest grade which PIM would give

to its postgraduate students.

Taking failures as stepping stone to success

But, Nihal’s life had not been so smooth and uneventful when he was at school compared to his later

day career success.

He was very poor in English when he was at school and got only an ‘F’ grade for English Language at

GCE (O/L) Examination. I asked him then how he could speak and write excellent English now.

His answer was very humble and should inspire anyone who would have given up learning that

language after failing in the first few attempts. “That was not an easy task, but something attained

through much painful labour, dedication and unwavering commitment,” he

said. …………………………

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April 23,2018

13

Cabinet size, the scientific approach

No administrative reforms

are possible without the

discipline and resolve of the

Government to implement a

‘scientifically’ determined

action plan

It has been reported that the new Cabinet of Ministers will be determined according to

“scientific principles”. Erstwhile colleagues and friends, who found my March 2014 article on

the same theme quite useful, have urged me to offer some fresh advice. I told them that I do

not like to become a joke, once again, offering unsolicited advice to politicians. Their plea,

however, was that I provide insights at least for the benefit of civil society, which is very

concerned about the current state of affairs.

Cabinet size and structure is very much linked to the role of government and style of

governance, particularly the scope of functions to which ministers must confine themselves.

They should be concerned with policy making and implementation and not arrogate to

themselves administrative functions which should be the responsibility of ministry secretaries

and their subordinate staff.

Too large a cabinet certainly adds to costs and also creates confusion. It makes coordination

ineffective. Fragmentation and duplication of functions among ministries exacerbate the

situation. According to the 19th Amendment to the Constitution the number should not exceed

30 ministers unless it is a national government, which though is not clearly defined.

Ideally, the cabinet structure must follow the principle of inter-sectoral and intra-sectoral

coordination. For instance, agriculture (crops), lands and irrigation policies and functions

must be coordinated by one minister. The plantation sector can stand on its own, in view of its

unique system of management and skills requirement. In most countries industry and trade are

together, in view of their linkages.

Time and space do not permit a detailed discussion of portfolio distribution. The table

suggests a feasible arrangement, which is based on lessons learnt by the writer, in particular,

during his 11-year stint in charge of the National Planning Department and as Secretary of the

Committee of Development Secretaries chaired by the legendary G.V.P. Samarasinghe.

It would be noticed that there are two new ministries – the Ministry of Administrative

Reforms and the Ministry of Development Monitoring and Evaluation.

The Sri Lankan economy has reached an impasse blocked by structural problems. These

blockades could be effectively removed only by a vibrant public service. It is a popular cliché

that while the private sector is the engine of growth, the engine driver is the Government, in

which the public service is the foundation. This factor was recognised 30 years ago, when the

situation indeed was far better. It is why the national planning department took the initiative

of setting up the Wanasinghe Committee with the support of Ronnie de Mel who was able to

convince an unenthusiastic President Jayewardene of the need. ………………………….

Article Window i April 18,2018

14

PROFESSIONAL MANAGER

Decennial Issue on The Late Dr. Saman Kelegama

By K. A. I. Kalyanaratne

Professional Manager – Its Origin

The Professional Manager is a biannual publication of the

Postgraduate Institute of Management, the Nation’s

Management Mentor. It had its origin in 2008 and, to quote

from the editorial of its first issue, "Its ambitious, yet

compelling intent t is to disseminate cutting-edge know-what,

and importantly, do-how knowledge on best management

thinking and practices. It attempts to do so, because the PIM

believes that its central mission is to transform management

practitioners into thoroughbred management professionals.

Clearly, all practitioners of management are not professional

managers. One does not inevitably lead to the other." The

magazine’s first editor was none other than the late Prof.

Uditha Liyanage.

Professional Manager – Unique among similar publications

A perusal of the issues published thus far would impress

upon any diligent reader that its articles carry meticulously selected topics and captions, and that its

layout and overall production is carefully designed and executed. In view of these exceptional features,

the Professional Manager is almost unique among the gamut of such publications. The Professional

Manager, nevertheless, treads on a liberal path, providing much freedom - both in the selection of

subject matter and as well as the style of writing. The contributors of articles to this publication are at

liberty to select any subject, provided they carry substantial managerial inputs that will be of value to

the target readership. Findings of extensive research can also be presented in a simple style without

bringing much jargon. It has, therefore, become a handy publication much valued and sort after by

management practitioners.

Deserving Deviation

The Professional Manager, being a product of the PIM, the tradition followed thus far has been to

feature a distinguished PIM alumnus on its cover page followed by featuring an article based on an

interview with him. However, as aptly described by Prof. Ajantha S. Dharmasiri, Director, PIM, and

the magazine’s current editor, this issue "Comes as a commemorative issue in honour of the late Dr.

Saman Kelegama, who was an ardent supporter of the PIM in multiple ways, though not been an

alumnus of the PIM." Since 1995, for over 22 years he headed the Institute of Policy Studies as its

Executive Director. The second institution, he had served for over 20, years is the PIM, wherein he

served on the Board of Management.

"At the time of his passing away, he was also the Chairman of the PIM’s Audit and Management

Committee. Further, "Dr. Kelegama was committedly and caringly involved in grooming the future

leaders, by way of teaching Economics at the PIM as an esteemed visiting faculty." It is in this special

context that the current issue of the Professional Manager, in its entirety, is devoted to him. In fact, the

PIM management went further by issuing annually a special gold medal for the best student in the

Executive Master of Business Administration (EMBA) programme, in honour of this exemplary

personality. ………………………………

Article Window ii April 18,2018

15

Cumaratunga’s Social Philosophy and Lak Mini

Pahana Editorials

By. K. A. I. Kalyanaratne

The Lak Mini Pahana under Cumaratunga Munidasa

The Lak Mini Pahana, the Sinhala newspaper which had its first

appearance on September 11, 1862, came under the editorship of

Cumaratunga Munidasa on June 20, 1934. Realizing the impact a

well edited newspaper would have on the society, he brought it into

a recognizable newspaper with added features to attract a larger

readership, and enhance its circulation. In fact, he knew that

newspapers and the public are interdependent in getting as well as

giving information.

However, the first act of Cumaratunga since he took over its editorship was to correct its

title by changing it from ,la ñKs myK to ,la ñKs myk . myK is ‘stone’ or ‘rock’, while myk

is ‘lamp’, that sheds darkness and brings in light. This shows that he was a perfectionist

of the highest order.

Collections of Lak Mini Pahana Editorials

A collection of editorials written by Cumaratunga Munidasa since he became the editor of

Lak Mini Pahana was published by the Subanda Havula in 1984, under the title Pahan

Kathu Veki, on the eve of the completion of 50 years of Kumaratunga’s editorship of the

paper. This publication was edited by Professor Bandusena Gunasekara. The most recent

collection of the Lak Mini Pahana Editorials was published by the Cumaratunga Munidasa

Trust in 2006.

Cumaratunga’s Social Philosophy and Objectives of His Editorials

Social Philosophy can be defined as philosophical reflection on how best to arrange our

collective life – our political and social institutions and our social practices. It is, in fact,

the study of the relationship between individuals and society.

If social philosophy of a writer exposes his views on contemporary social problems,

especially those issues pertaining to social values, and the problems which the society

faces such as inequality, injustice, oppression, religious and communal disharmony,

deterioration of educational standards, degradation of the teaching profession and

teaching standards, these were the topics on which Cumaratunga wrote in his editorials.

Cumaratunga spelt out in the anniversary issue of the Lak Mini Pahana, the objectives for

which the Lak Mini Pahana stood.

"For the advancement of the nation, the language and the religion, the

national dignity, thoughts and ideas, and also for the eradication of

falsehood, hypocrisy, pusillanimity, thralldom and inaptitude."

In the backdrop of eroding standards resulting from (glorified) commercialism a close

analysis of the editorials of the Lak Mini Pahana during the editorship of Cumaratunga

Munidasa would reveal that he exalted the editorial writing to greater heights based on

his passion for communal integration………………

Article Window iii April 25,2018

16

Turn Strategy into Result

Strategy, at its heart, is about choice. Few companies succeed by making a single big bet.

Winning strategies, authors Donald Sull, Stefano Turconi, Charles Sull, and James Yoder

observe, are based on "a bundle of choices": which customers to serve, the scope of the

business, product offerings, and capabilities that interact with one another to help a company

make money. While describing a strategy favors complexity, executing strategy requires

simplicity, the authors explain, so that leaders at every level of the organization can

understand, communicate, and remember it.

The authors examined the SEC filings of 494 companies included in the 2014 Standard &

Poor's 500 Index and other communications to investors as a means of identifying their

strategic priorities. To set a strategic agenda and drive implementation effectively, they found

that strategic priorities need to balance guidance with flexibility, counterbalance the inertia of

business as usual, and unify disparate parts of the business. The article describes seven

characteristics of effective strategic priorities and offers practical diagnostics that managers

can use to assess their companies' strategic priorities.

1. Managers should limit the number of priorities to a handful. A small number (three to five)

is easier to remember and communicate throughout the organization.

2. Companies should focus on mid-term objectives (things that can be accomplished in three

to five years) as opposed to short- or long-term goals. Once the goals have been set, they

should discourage managers from revising them.

3. Managers should concentrate on things that will pull the company forward (as distinct

from what worked in the past). This might involve entering new markets or adding new

capabilities.

4. Managers need to be prepared to make "the hard calls." "The discipline of whittling down

priorities to a handful," they write, "can force a leadership team to surface, discuss, and

ultimately make a call on the most consequential trade-offs the company faces in the next

few years." Many companies try to avoid these decisions and pay a price.

5. Companies should address their "critical vulnerabilities" - the elements of the strategy "that

are

most important for success and most likely to fail in execution." They should understand

whether the risks are tied to external factors (such as new competitors) or internal factors

(such as culture).

6. The objectives should provide guidance to people within the organization on what to

prioritize.

Although revenue and profit goals are specific, companies don't always provide sufficient

guidance on how the company can reach them.

Finally, companies should develop agreement among top managers on the strategic priorities.

The authors found that, at many companies, senior executives either didn't know or couldn't

agree on the key priorities.

Sull Donald, Turconi Stefano, Sull Charles, Yoder James; Turn Strategy into Result; MIT Sloan

Management Review. Spring 2018, Vol.59 Num. 03, p.24-32

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The Hybrid Trap: Why Most Efforts to Bridge Old

and New Technology Miss the Mark

Technological transitions are challenging, particularly for companies in mature industries.

Incumbents are frequently blindsided by new technologies, thereby missing opportunities to

enter emerging markets early. While some established companies become early adopters of

new technologies, the authors argue that they typically lack the vision and the commitment to

become leaders. Too often, they cling to the familiar, developing "hybrid" products that

combine elements of the old and the new. This puts even the best incumbent companies in a

weak position when the market finally embraces the new technology, something the authors

call the "hybrid trap."

This article takes a close look at the auto industry's transition from internal combustion

engines to electric vehicles (EVs) and compares it to precedents in other industries. Several

incumbent automakers, such as General Motors Co. and Honda Motor Co. Ltd., entered the

EV market early, but they backed away from these projects in favor of continued emphasis on

established engine technology. Gradually, most of them focused on hybrid cars that combined

old and new technologies. This opened the door to new competitors, notably Tesla Inc., which

focused solely on the EV technology. By mid-2017, nearly every old-line engine producer

was playing catch-up on EV technology, working to release new electric models in the next

two to five years.

Although it is too early to know if Tesla will be successful in the long run, the Tesla example,

in the authors' view, points to a fundamental weakness in how incumbents respond to industry

transformations. In the 1960s, U.S. electronics companies responded to the introduction of

Japanese transistor radios by developing products that blended transistor technology with

traditional vacuum tubes. In the early 1990s, Kodak Ltd. tried to sell a "film-based digital

imaging" product, which merged film

photography and digital technology. And a decade ago, BlackBerry Ltd. tried to respond to

the challenge of the iPhone by releasing a phone that had both a touchscreen display (like the

iPhone) and a traditional keyboard (like earlier BlackBerry phones).

The answer for incumbents, the authors write, isn't to walk away from products based on the

old

technology and jump headlong into the new. But they need to take precautions so that the

company's legacy operations don't hamper their ability to pursue new technology. New

technologies can open opportunities that extend well beyond the scope of legacy products. But

such opportunities can be accessed only by companies that are willing to view the world

through the lens of the new technology

Suarez Fernando F., Utterback James, Gruben Paul Van, Kang Hye Young; The Hybrid Trap: Why Most

Efforts to Bridge Old and New Technology Miss the Mark; MIT Sloan Management Review. Spring

2018, Vol.59 Num. 03, p.52-57

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The Store Is Dead - Long Live the Store

At a time when many traditional retailers are closing their physical stores, digitally native

vertical brands such as Bonobos, which specializes in men's apparel, and Warby Parker,

which specializes in eyeglasses, are aggressively expanding into offline locations. In this

article, the authors explore two related trends:

(1) the expansion of online-first retailers into offline stores that "supercharge" customer value

and (2) the transformation of stores run by traditional, offline-first retailers from fulfillment-

dominant centers into experience-dominant centers.

As authors David R. Bell, Santiago Gallino, and Antonio Moreno note, as digitally native

vertical brands have learned to build relationships with customers, traditional retailers have

been reducing their store sizes and inventories and are attempting to improve and elevate the

customer experience. "Showroom experiences:' they write, "create better customers:' When

customers are exposed to the brand in a showroom, "they are better able to resolve any

uncertainty about the nondigital attributes of the retailer's product." Similarly, the authors say,

"showrooms create better retailers: When customers are physically present in the retail

environment, observation of their behaviors can lead to meaningful insights."

The authors developed their early insights into what customers value while working

closely with Bonobos and Warby Parker. Through simulations, they saw that stores with

smaller footprints and a higher level of service led to better results economically - improved

margins, smoother logistics, and better control of inventory. They found that, rather than

being dead, physical retail stores were very much alive with a profound shift in focus - from

fulfillment to experience-oriented environments. The authors conclude that online-first

retailers and traditional retailers have something to learn from each other. Offline-first

retailers can benefit from copying the showroom concepts originated by online- first

retailers; online-first retailers can benefit by opening more traditional stores.

Bell David R., Gallina Santiago, Moreno Antonio; The Hybrid Trap: The Store Is Dead - Long Live the

Store; MIT Sloan Management Review. Spring 2018, Vol.59 Num. 03, p.59-66

19

Finding Applications for Technologies Beyond the Core Business

The technologies underlying a company's core businesses can have lucrative applications

beyond the ones they provide to current customers. However, many companies don't pursue

these opportunities, or do it halfheartedly. Typically, authors Erwin Danneels and Federico

Frattini observe, companies are more comfortable developing new products for the customers

they already serve than they are with applying their technologies in new markets (a process

they call "technology leveraging"). Only a small number of companies make a deliberate

effort to tap the potential for business outside their core markets.

Using examples from companies the authors have studied or advised, the article describes a

four-step process for leveraging technology that involves: (1) characterizing the technology,

(2) identifying potential applications, (3) choosing from among the identified applications,

and (4) selecting the best entry mode. The first step involves "de-linking" the technology

from the specific products in which it is currently used. To do this, the authors explain,

companies need to identify the functions the technology can perform. A good characterization

can broaden the scope of the potential opportunities and allow people to focus clearly on the

technology's abilities and limits. In many settings, this step requires extensive testing and

R&D investment. As they explain, "You can't look for new applications until you know what

your technology can do vis-a-vis what competing solutions do."

Once companies have specified what the technology is, they can begin exploring new

settings where it might be applied. Although the authors recommend starting with desk

research, the biggest benefits often come from getting out of the office and interacting with

people. Trade shows, they say, provide an excellent way to see firsthand where the

technology and its alternatives might be applied, and to hear about the pain points of the

existing technologies. Another approach is to tap into communities of problem-solvers who

might be able to provide suggestions.

Although identifying opportunities with the most promise may appear to be

straightforward, in practice, the authors note, it can be more involved. Companies often

underestimate the challenges of applying the technology, which may be revealed only by

building early prototypes. In bringing technology to new markets, the goal should be to find

new application areas where your technology performs better on existing performance

dimensions, introduces a new performance dimension, or delivers the desired outcome at a

lower cost.

The fourth and final step in leveraging technology involves determining the best way to

develop and commercialize the products that use the technology. In bringing technology to

market, companies need to decide whether to develop products themselves or work with a

third party. This decision can have significant implications in terms of capital requirements,

time to market, level of control, and required commitment. However, there are no universal

guidelines that apply in every situation

Danneels Erwin, Frattini Federico; Finding Applications for Technologies Beyond the Core Business;

MIT Sloan Management Review. Spring 2018, Vol.59 Num. 03, p.73-78

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Journal of Accounting & Organizational Change

Volume 14 Issue 1

Power relations in organizational change: an activity-theoretic perspective

Frank Schirmer , Silke Geithner

Entrepreneurial initiatives as a microfoundation of dynamic capabilities

Christian A. Mahringer , Birgit Renzl

Financing organizational changes from without: A valid instrument or a costly illusion

of strategic public policy?

Marta Lenartowicz

Journal of Investment Compliance

Volume 18 Issue 4

Nuts and bolts: securities arbitration

Sandra D. Grannum , Justin Ginter

The ABCs of fund finance: credit facilities for secondaries funds and funds of funds

Matthew K. Kerfoot , Jay R. Alicandri , Russel G. Perkins

SEC permits all issuers to submit confidential draft registration statements

Andrew Brady , Brian Breheny , Michelle Gasaway , Stacy Kanter , Michael Zeidel , Monika Zhou

FINRA releases new guidance regarding social media and digital communications

Russell Sacks , Jennifer Morton , Jenny Jordan , Steven Blau , Sean Kelly

Multinational Business Review

Volume 26 Issue 1 Geography of corporate innovation: Internationalization of innovative activities by

MNEs from developed and emerging markets

Irina Ervits

Top management team international experience and strategic decision-making

Akbar Azam, Cristina Boari, Fabiola Bertolotti

The value of internationalization: Disentangling the interrelationship between

regionalization strategies, firm-specific assets related to marketing and performance

Arkadiusz Ral-Trebacz, Stefan Eckert, Marcus Dittfeld