Women and Entrepreneurship
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SUCCESSFUL WOMEN ENTREPRENEURS contd...
Products were marketed on an area wise basis. Each branch was individually
responsible for marketing its products in the area allotted to it. SMGULP's
wide network of dealers and the goodwill it enjoyed made the marketing of
products easy. No supplier was asked for credit and none was extended. The
papads, produced everyday, were taken to SMGULP's depots. The distributors
and exporters picked up their respective stock of products daily against
immediate payment. To ensure consistent quality, the head office supplied
the most important raw materials to all its branches. Apart from supplying
the raw materials, the head office did not involve itself with the different
branches.
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SMGULP's products were advertised in print (vernacular
newspapers) and electronic media. The cooperative also sponsored some TV
programs and gave gifts to winners of certain shows. The cost of
advertising was borne by all the branches and divisions of SMGULP
through an ingenious method. The money for advertisements was spent by
the Polypropylene Division, which recovered the same by increasing the
price of the bags that it supplied to all the branches and divisions of
SMGULP throughout India. Thus all of them shared the cost of
advertisements in an equitable manner, according to their individual
production capacity. |
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SMGULP had a managing committee (which had the highest
decision-making powers) consisting of 21 members, a president, a vice
president, two secretaries and two treasurers. They were chosen by the
sisters (from among the member-sisters) once every three years. Any
member-sister could become a managing committee member through a selection
process.
The members of each branch could elect a branch committee, consisting of
eleven sisters. The managing committee could unilaterally terminate or
appoint any member in the branch committee. Its decisions could even
supersede those of the branch committee. The various branches situated all
over the country were managed in a decentralized manner. The Sanchalikas or
directors of the branches were selected by the members of the concerned
branch every three years. They were responsible for managing the
day-today-activities of a particular branch or division. They could be
transferred to other branches also. Meetings were also held at regular
intervals on a branch, area and countrywide basis. Open meetings were also
held at the head office regularly, to encourage participation by all
members.
As all the members were equal owners and shared profits equally at the end
of the year, they were directly responsible for the profitable functioning
of the branch they worked in. Mismanagement or loss due to negligence would
lead to the dismissal of the concerned Sanchalika or other member-sisters
from SMGULP. In one particular case where losses were reported due to a fall
in quality standards, the member-sisters lowered their daily wages by Re. 1
per kilogram of papads, to compensate for the loss. When a particular branch
performed well financially, the member-sisters increased their wages and
also gave themselves additional incentives. Irene Almeida, spokesperson of
SMGULP, said “The system is self sustaining. Each member works to improve
efficiency and reduce wastage. They know that profits and losses have to be
borne by them.”[25]
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ENTREPRENEURIAL STYLE
QUESTIONS FOR DISCUSSION
ADDITIONAL READINGS & REFERENCES
[25] Business Today, January 19,
2003.
2010, ICMR (IBS Center for Management Research).All rights reserved. No part of this publication may be
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