Could Help Desk Software Help Your Business?

Do you want to help your business in every way possible? Of course you do, and help desk software is one way you can attain more productivity when selling your products or services. With help desk software, you have access to many features that can increase your client base by providing customers with the best support and information. Read on to learn of just some of the features that can be found through help desk software.

Knowledge Base

• Help desk software allows you to maintain a central base that will have all of the information your employees need to work more efficiently. Support can be given to your clients much more quickly, providing them with technical information, answers to questions and solutions to problems either through a representative or through finding information on their own. This feature can save a good deal of your employees' time as clients may locate the answers they seek without the need for contacting a representative of your company. If a representative is required, faster support can be provided by using this software.

Customization

• The software is customizable so that you will be able to fine-tune it to meet your specific business needs. There will be no worry about having features that will be of no use to you or doing without features that your particular business could definitely use.

Availability of Languages

• Help desk software can display multiple languages, ensuring that you can increase the efficiency of your business by catering to the needs of clients in different parts of the world.

Web-Based Interface

• A web-based interface will create a user-friendly environment that will make it easy for clients to get information on products or services and find support. Your employees will also have an easier time finding the information that they need in order to satisfactorily help your clients.

Ability to Vote

• Clients will have the opportunity to vote on various aspects of your website, such as support help. This feature gives you a chance to gain valuable feedback on how your business is faring on the Internet and where some upgrades or improvements might be needed.

Sign On Authorization

• Individuals logging onto the website of your business will also be automatically logged onto the help desk software. This feature will help to avoid confusion when a certain area of the site needs to be accessed, as the help desk will be readily available.

Useful Search Tools

• When trying to find an answer to a question, search tools will allow multiple areas on your site to be accessed, providing an easier and quicker way to find the appropriate information. Your clients will not become impatient with long waits and much searching in order to acquire the data that they need.

If you deal with customer queries on a daily basis, the productivity of your company will increase through the use of help desk software. Your clients will have a much better experience when they have questions or need support of some type. Your employees will also have an easier time providing clients with the information that is needed to keep them well informed and satisfied.

This is a guest post from Sarah Peterson, writer for a help desk software review website that aims to help small business owners find the right solution for their business needs.

How To Make Money Recycling Cell Phones

Author: Hunter Crowell

Cell phones are quickly becoming an environmental problem, old and broken phones are discarded and thrown away that contain very hazardous materials that could harm our health and even the environment. In line with this there has been a new and rising business today. Buying and selling of old and damaged cell phones. A trend continues today as the average U.S. consumer replaces their cell phone every 18 months. Americans retire an estimated 130 million cell phones each year, only a fraction of which are reused or recycled. which means there is an accumulation of unused and old cell phones in garbage dump sites and land fills.

Awareness to the hazardous contents of these cell phones is now very widespread that is why conservation of the environment and the recycling of these waste products are now on the rise. Businesses around these products are also on the rise, as many companies today are willing to buy your old cell phones, even those that are already damaged and broken. They clear up all the info in your cell phones and fix it all up then repackage and sell them again. Cell phones that were unable to be refurbished are dismantled and recycled for some metals that are found in them namely, Gold and Silver from circuit boards, copper wiring from phone chargers, nickel, iron, cadmium and lead from battery packs and plastics form cases and phone accessories.

You too can start out and make money from this growing industry. Start out with an old or used cell phone collection drive. Or buy them from your neighbors and friends for a cheap price and sell them to the companies that recycle them. Many websites are now popping up to buy your cell phones, use these programs to earn extra money. Many of these programs even send out free shipping envelopes so you could send them your cell phones at absolutely free of charge. This is the type of business that can be both profitable and good for the environment.

Another option is to invest in various recycling bins that can be placed at various locations across your town or city. Some locations would be in malls, colleges and universities. Downtown locations close to a large population of office workers could also be a prime location for cell phone recycling bins. Once these bins are in place a marketing campaign educating people about the benefits of recycling their cell phones would help get people using them. Partnering with a charity could also help attract users, you could give a percentages of the profits to the charity.
Article Source: http://www.articlesbase.com/business-opportunities-articles/how-to-make-money-recycling-cell-phones-364936.html
About the Author

Hunter Crowell is a researcher, avid money maker, and creator of Cell Phone Recycling Business, a web page setup to help recyclers earn cash. http://www.make-money-explained.info/cellphonerecycling.html

Doctor's Salary—How Much Does A Doctor Get Paid?

Author: kimberly valerio

If people were to be honest about it, we could easily see how many of us wonder how much their doctor gets paid, especially after they shell out hundreds of dollars for a session with them. Now, not all doctors get paid as in a salary format—they take fees from their clients—but still the meaning is the same. When doctors work with bigger organizations, they do get their salaries, while those in private practice seek fees. Whatever be the case, we know that the figure is stupendous. So, what does a normal doctor's salary or, rather, doctor's income look like?

The typical doctor's earnings depend on the kind of specialization they are in. If the doctor deals with a more sophisticated part of the body or bodily system, then they make more money. But, even a general physician, which most people consider is the easiest of all doctor professions, makes a significant amount of money.

The general physician, who is usually called as a family doctor, may earn in the vicinity of $150,000 a year. On the distaff side, there's the doctor who deals with something more sophisticated—the cancer specialist, also known as oncologist. Understandably, the oncologist makes a huge income, which is around $270,000 a year. You could consider that these are the lowest and highest doctor's salaries. All other doctors make somewhere within this range.

Doctors who dispense internal medicine earn somewhat higher than the family doctor, around $160,000. An endocrinologist, who looks into hormonal problems, earns a little higher than this too, around $170,000. Next in line is a neurologist who earns about $200,000. However, there are many other kinds of doctors who earn somewhere around these ballpark figures.

Then there are doctors who look at specific types of people. A doctor specializing in children's ailments, i.e. a pediatrician would earn around $165,000 a year, while a gynecologist could earn around $175,000. This is also the usual salary of a doctor who deals with geriatric problems. Rheumatologists also fall in the same line.

Some specialized doctors make better incomes than these. A pulmonary specialist, i.e. a doctor who deals with lung and respiratory problems earns around $220,000.

However, these doctor's salaries are mostly indicative figure and not specific. There are many factors that can influence a doctor's salary. The time that a doctor puts in working is an important factor. The figures mentioned here assume that the doctor works for 80 hours a week. For a doctor who is into private practice, the number of hours put in won't really matter. What becomes more important there is the number of patients that the doctor is able to attend to in a day.

The doctor's qualification and experience are also of significance. If the doctor has better qualifications and has been working for a long number of years, people trust them more and they can also demand better payment from their patients. In some cases, the methods that the doctor uses also influence their salary. For instance, an eye doctor who uses traditional methods of eye surgery will make lesser money than a doctor who uses new laser techniques for painless treatment.
Article Source: http://www.articlesbase.com/business-opportunities-articles/doctor039s-salaryhow-much-does-a-doctor-get-paid-1923112.html
About the Author

Oliver Kwok is the author of http://www.nurse-practitioner-programs.net and also writes about Nurse Practitioner Programs

Understanding Chinese Tier Cities for Business

Author: Desmond Wang

Years of economic reform ranged from the political relaxation of foreign direct investments to the promotion of entrepreneurship, China has emerged as one of the world's top economies. As such, Beijing Olympics 2008 serves as a new chapter milestone that signifies the beginning of China's third wave of economic growth – Industrial consolidation.

As such, it is a good time to examine how the Chinese cities have developed according to the traditional tiered city system. If you highlight all the first and second tiered cities in China, you will understand how the Chinese government plans to develop China into the world's largest economy.

In the 1980s, instead of opening up the whole of China, China, as part of an economic risk reduction strategy decided to develop special economic zones and open up cities near the coast for foreign investments. Coastal cities aid imports and exports. In addition, agglomerating the "test" cities can develop economies of scale relating to transportation infrastructure. Furthermore, resources from western China were drawn and consolidated to support these strategically positioned coastal cities prominently for Beijing in the north, Shanghai in the midst, and Guangzhou in the south, with Shenzhen acting as a gateway from Hong Kong.
As a result of shorter and improved transportation and communication infrastructure, economic development proliferates to the nearby cities, gradually moving westwards into China. Concurrently, the Chinese government also developed pockets of economic drivers especially in different provincial capitals in order to timely introduce economic growth at different regions. As such, cities begin their economic reform at different stages and thus with time, this became known as the Chinese tiered city system with cities given the connotation as first, second, third or fourth tier cities.

The Chinese tiered city system is characterized by the city's population size with Shanghai topping the China's city population chart at 20 million, followed by Beijing and Guangzhou with 17 million and 12 million respectively. These large cities, fuelled by own domestic demand and consumption provided the platform for improved living standards, better business and job opportunities and an international showcase to the rest of the world. However, these cities now faced a population ceiling challenge with stiff business competition which may reduce high exponential growth that was seen in the past.

The third wave will see more of the second tier cities in action. With over 20 cities in this category, China is set to develop these cities as the backbone of China's future economy. It is important to note that China will not remain as a low cost sweat shop and is definitely set to move up the value chain, focusing its efforts on high end industries and at the same time eliminating or pushing low-medium end industries into its lower tiered cities particularly with the third and fourth tier cities.

Already armed with a relatively medium to high disposable incomes and an average GDP per capita of RMB30000, these second tiered cities provide a lucrative option for firms to apply blue ocean strategy on Chinese domestic markets. Due to the Chinese emphasis on "Mian Zi" or "face" plus the lack of variety for luxury and branded goods in their cities, the rich and affluent from lower tiered cities often make short trips to Beijing and Shanghai for their luxury shopping. Therefore, having your presence in the second tier cities can provide greater proximity and convenience for these target groups.

China in the past 20 years is akin to a baby dragon playing around its nest, testing and trying out new ways of doing things, showing the world her head and wings. Now it is ready to emerge more of her to the world – the backbone akin the second tiered cities.
Article Source: http://www.articlesbase.com/business-opportunities-articles/understanding-chinese-tier-cities-for-business-469861.html
About the Author

Desmond Wang is a consultant of Starmass International. Starmass provides professional consulting services to assist foreign companies in China market entry, China market research, competitor study and China market analysis till export to China. Visit more business resources at: www.starmass.com

Selling Blood is Big Business

Author: Flor Ayag

RED GOLD! As the nickname implies, this is one highly valued substance. It is a precious fluid, a crucial natural resource that has been compared not only to gold but also to oil and coal. However, red gold is not mined from veins in the rocks with drills and dynamite. It is mined from the veins of people by much subtler means.

Please, my little girl needs blood, implores a billboard that looms over a busy avenue in New York City. Other advertisements urge: If you’re a donor, you’re the type this world can’t live without. Your blood counts. Lend an arm.

People who want to help others evidently do get the message. They line up in droves, worldwide. No doubt most of them, as well as the people collecting the blood and the people transfusing the blood, sincerely want to help the afflicted and believe that they are doing so.

But after blood is donated and before it is transfused, it passes through more hands and undergoes more procedures than most of us realize. Like gold, blood inspires greed. It may be sold at a profit and then resold at a larger profit. Some people fight over the rights to collect blood, they sell it at exorbitant prices, they make fortunes from it, and they even smuggle it from one country to another. The world over, selling blood is big business.

In the United States, donors were once paid outright for their blood. But in 1971 British author Richard Titmuss charged that by thus luring the poor and sick to donate blood for the sake of a few dollars, the American system was unsafe. He also argued that it was immoral for people to profit from giving their blood to help others. His attack prompted an end to the paying of whole-blood donors in the United States (although the system still thrives in some lands). Yet, that did not make the blood market any less profitable. Why?

How Blood Remained Profitable

In the 1940’s, scientists began to separate blood into its components. The process, now called fractionation, makes blood an even more lucrative business. How? Well, consider: When dismantled and its parts sold, a late-model car may be worth up to five times its value when intact. Similarly, blood is worth much more when it is divided up and its components are sold separately.

Plasma, which makes up about half of the blood’s total volume, is an especially profitable blood component. Since plasma has none of the cellular blood parts—red cells, white cells, and platelets—it can be dried and stored. Furthermore, a donor is allowed to give whole blood only five times a year, but he can give plasma up to twice a week by undergoing plasmapheresis. In this process, whole blood is extracted, the plasma separated, and then the cellular components are reinfused into the donor.

The United States still allows donors to be paid for their plasma. Moreover, that country permits donors to give about four times more plasma annually than the World Health Organization recommends! Little wonder, then, that the United States collects over 60 percent of the world’s plasma supply. All that plasma in itself is worth about $450 million, but it fetches much more on the market because plasma too can be separated into various ingredients. Worldwide, plasma is the basis for a $2,000,000,000-a-year industry!

Japan, according to the newspaper Mainichi Shimbun, consumes about a third of the world’s plasma. That country imports 96 percent of this blood component, most of it from the United States. Critics within Japan have called that country the vampire of the world, and the Japanese Health and Welfare Ministry has tried to clamp down on the trade, saying that it is unreasonable to profit from blood. In fact, the Ministry charges that medical institutions in Japan make some $200,000,000 in profits each year from just one plasma component, albumin.

The Federal Republic of Germany consumes more blood products than the rest of Europe combined, more per person than any country in the world. The book Zum Beispiel Blut (For Instance, Blood) says of blood products: Over half is imported, mainly from the U.S.A., but also from the Third World. In any case from the poor, who want to improve their income by donating plasma. Some of these poor people sell so much of their blood that they die from blood loss.

Many commercial plasma-centers are strategically located in low-income areas or along the borders of poorer countries. They draw the impoverished and the derelicts, who are all too willing to trade plasma for money and have ample reason to give more than they should or to conceal any illnesses they might harbor. Such plasma traffic has arisen in 25 countries around the world. As soon as it is stopped in one country, it springs up in another. Bribery of officials as well as smuggling is not uncommon.

Profit in the Nonprofit Realm

But nonprofit blood banks have also come under harsh criticism lately. In 1986 reporter Andrea Rock charged in Money magazine that a unit of blood costs the blood banks $57.50 to collect from donors, that it costs the hospitals $88.00 to buy it from the blood banks, and that it costs patients from $375 to $600 to receive it in a transfusion.

Has the situation changed since then? In September 1989 reporter Gilbert M. Gaul of The Philadelphia Inquirer wrote a series of newspaper articles on the U.S. blood-banking system. After a yearlong investigation, he reported that some blood banks beg people to donate blood and then turn around and sell as much as half of that blood to other blood centers, at a considerable profit. Gaul estimated that blood banks trade about a million pints [half a million liters] of blood every year in this way, in a shadowy $50,000,000-a-year market that functions somewhat like a stock exchange.

A key difference, though: This blood exchange is not monitored by the government. No one can measure the exact extent of it, let alone regulate its prices. And many blood donors know nothing about it. People are being fooled, one retired blood banker told The Philadelphia Inquirer. Nobody is telling them that their blood is going to us. They would be furious if they knew about it. A Red Cross official put it succinctly: Blood bankers have for years fooled the American public.

In the United States alone, blood banks collect some 13.5 million pints [6.5 million L] of blood every year, and they sell over 30 million units of blood products for about a thousand million dollars. This is a tremendous amount of money. Blood banks don’t use the term profit. They prefer the phrase excesses over expenses. The Red Cross, for instance, made $300 million in excesses over expenses from 1980 to 1987.

The blood banks protest that they are nonprofit organizations. They claim that unlike big corporations on Wall Street, their money does not go to stockholders. But if the Red Cross did have shareholders, it would be ranked among the most profitable corporations in the United States, such as General Motors. And blood-bank officials do have handsome salaries. Of officials in 62 blood banks surveyed by The Philadelphia Inquirer, 25 percent made over $100,000 a year. Some made more than twice that much.

Blood bankers also claim that they do not sell the blood they collect—they only charge processing fees. One blood banker retorts to that claim: It drives me crazy when the Red Cross says it doesn’t sell blood. That’s like the supermarket saying they’re only charging you for the carton, not the milk.
Article Source: http://www.articlesbase.com/business-opportunities-articles/selling-blood-is-big-business-713104.html
About the Author

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How To Make Money Taking Pictures

Author: Hunter Crowell

When you first get a digital camera, the excitement is something akin to when you saw your first printed photograph. Right there in your hands, a little piece of time destined for immortality. The better Digital cameras have a lot over the film cameras, too - if you have a preview window, you're able to instantly see the quality of your shot. No more wasted money on prints that you know will end up in the trash.

The good news is that your passion can earn you a bit of extra money - you can put all your practice and the goodies you've spent on to work for you. From magazines to stock photography sites to postcard printers, there are a lot of people out there willing to pay you for your hobby. All you have to do is make sure you know how to sell - and make sure you're sending in quality photos. Magazines should be the main place you try to get your photos sold to, because they will pay you the highest rates and are the most likely to buy from a freelance or hobbyist photographer.

To begin selling to magazines, hit your grocery store and pick up 3-5 magazines that you enjoy the look of. Then, sit down and really study the photos that they include with their articles. Pinpoint the style of photography that the magazine uses most often - and honestly decide whether your style matches that, or if you could easily match it.

When you have found a magazine that fits well with your photography, send a few samples of your photography (make sure to keep originals or digital copies on your computer!) and a self-addressed stamped envelope (SASE) to the photo editor. Then, sit back and wait ... do not send those same photos to another magazine until you've heard back from the first. It's tempting, but if the first magazine accepts them, you'll have a whole mess of trouble to deal with.

Another option is to work with a stock photography company (or two). There are currently several very successful stock photography websites online that allow photographers to sign up for free and upload their photos for sell. If this is the option you choose, make sure that your photos are the highest resolution possible, and consider creating several resolutions. Your work will have serious competition, so also be sure that you're showcasing the most creative work you have. Finally, seriously consider the keywords you use. Stock photo websites work off of keywords - potential customers will search for a concept, a phrase, or a type of photo and you want to pull up in relevant results.
Article Source: http://www.articlesbase.com/business-opportunities-articles/how-to-make-money-taking-pictures-263824.html
About the Author

Hunter Crowell is a researcher, avid money maker, and creator of How To Make Money With Your Digital Camera, a web page setup to help digital camera owners. http://www.make-money-explained.info/digitalcamera.html

Shipbuilding Industry in India

Author: Charanya Krishnan

SHIPBUILDING INDUSTRY IN INDIA – AN OVERVEIW

- by Charanya Krishnan

Background:
Shipbuilding (encompassing shipyards, the marine equipment manufacturers and a large number of service and knowledge providers) is an important and strategic industry in a number of countries around the world. This importance stems from the fact a nation's need to manufacture and repair its own Navy and vessels that support its primary industries.
This paper presents a brief overview of the shipbuilding industry in India and the possible challenges and opportunities that Indian companies could enjoy in the future.

The Uniqueness of Shipbuilding sector:

§ The shipbuilding industry has its own distinctive feature as compared to other industries in the country. It is unique in a way that it has to sell first and construct later, unlike the auto industry or others, where one manufactures first and sells later.
§ Further shipyards get orders only if they are credible (deliver quality ships on time) and it can be credible only after successfully executing consistently under international competition.
§ Further, subjoined, it has to be globally competitive against the best yards in the world. Unfortunately, the shipyards are faced with very stiff taxes, tariff, duties, and financing charges as compared to foreign yards.
§ The deliverables of the sector involves long gestation periods and requires high cost finances over a long period.

Global Scenario:

Globally shipbuilding is a USD 20 billion industry. The global shipbuilidng order book recorded a 29% CAGR over the period of 2003 – 06. An upward trend has been witnessed in the world order book as a percentage of worldfleet indicating a strong demand outlook.

Fortunes of shipping and shipbuilding industries seem to be linked to each other or at least move in tandem. For nearly three decades in the post World War II era, both the industries were dominated by European nations and United States. Historically, shipbuilding industry suffered from the absence of global rules and a tendency of over-investment due to the fact that shipyards offer a wide range of technologies, employ a significant number of workers and generate foreign currency income (as the shipbuilding market is dollar-based and a global one).

However, high labour costs in the yards of Europe and USA, one of the major determinants in this cost competitive industry, has led to a gradual shift of the center of shipbuilding to these Asian nations over the last two decades.

Today shipbuilding has become an attractive industry for developing nations. Japan used shipbuilding in the 1950s and 1960s to rebuild its industrial structure, Korea made shipbuilding a strategic industry in the 1970s and China is now in the process to repeat these models with large state-supported investments in this industry.

The tidal shift in shipbuilding activities, from Europe to Asia, has opened up huge opportunities for Indian yards, and both public and private ship-builders are capitalizing on them

Indian Scenario:

With global shipping industry pitching for an unprecedented demand for new shipbuilding , a
window of opportunity which was not available earlier, has been created for the Indian shipbuilding industry.

The Indian shipbuilding industry had always been dogged by low capacity, poor productivity and lack of modernisation. Thanks to the gradual shift of shipbuilding from Europe to Asia, today contrary to expectations the Indian Shipbuilidng order books stand at 1.3 million DWT. This has been possible on account of the shipbuilding boom and both foreign/Indian Shipping Companies are coming forward to place new building orders on Indian Yards. This has enabled the industry's order books to grow from Rs 1500 crs in 2002 to Rs 14,000 crs (roughly 3060 m $) in 2006


The Indian shipbuilding industry is on a high growth trajectory and is expected to grow at a compounded growth of 30%. Though India has not yet become a significant player in the global shipbuilding business, it has gained a strong foothold in the niche offshore segment.

India's share in the world market has gone from an insignificant low of 0.1% in the beginning of 10th Plan to 1.3% in 2006. Hence from an an inward looking industry dependent on government orders, the Indian shipbuilding industry is emerging as internationally competitive export led industry.

Nevertheless, the industry is still in its nascent stage and dependent on government support for subsidy. The industry is expected to become self sufficient in 10 years time and will no longer require subsidy thereafter. It is clear from the above that India can grow in the shipbuilding sector
in a healthy manner if shipbuilding is recognized as a strategic industry and if it can enjoy simple taxation policies with a fully empowered regulating body for quick decision-making .

Tracking India's performance:

India has 23 shipyards, of which 7 are under administrative control of the central government, 2 with state governments, and the rest in the private sector.

The current shipbuilding capacity of India is only 2,81,000 DWT, which is quite undersized according to global shipbuilding standards, and inadequate given the country's requirements. A comparison of productivity shows that while China may be well ahead of India in total ship building, it's productivity is almost the same as India and this is one area that India can take a lead on the strength of its IT industry and setting up new modern shipyards.

Country Completions M DWT Employees Productivity DWT Person
Japan (2004) 23.2 80,000 290
Korea (2004) 23 71,800 320
China (2004) 8.8 158,000 56
India (2006) 0.6 12,000 50

Comparing India and China:

A comparison of productivity between India and china shows that while China may be well ahead of India in total ship building, it's productivity is almost the same as India and this is one area that India can take a lead on the strength of its IT industry and setting up new modern shipyards.

China India
Shipbuilding & Repair Yards 492 28
Manufacture of Equipment 148 Not Known
No of Employees 2,87,702 (total industry) 12,000
Orderbook 40 m DWT 1.3m DWT
Global share 19 - 20% 1%

China has been gaining almost 2% of the world's share every year. India has a lot of catching up to do.

The growth of Chinese shipbuilding industry is now becoming a threat to almost all major shipbuilding nations as China is planning to become the leading shipbuilding nation with an aim to corner more than 30% global share by 2015. India is probably the only country that will be able to match the Chinese prices with its relatively low labour costs and industrial base for manufacture of equipment.

The fact however remains that India's contribution is tending towards being a significant component in the global shipbuilding industry and that we need to get our act together to use this very promising window of opportunity. With the exponential growth in the number of ships calling on Indian ports, providing ship-repair facilities is becoming an increasingly attractive opportunity. Not only does ship-repair and building activity help generate substantial local jobs, it also builds the capacity of local industry.

Stakeholders in Indian Shipbuilding sector:

Government:
§ FDI: the government has permitted 100% FDI in shipbuilding and ship repair activity
§ Investments: the government has proposed to invest INR 71.95 billion in the shipbuilding industry, towards the modernization of infrastructure and development of a research design base
§ XI plan outlay:
Name of shipyards/schemes Government Budgetary Support (INR million) Internal and External Budgetary Support Total
Cochin Shipyards 400 5,500 5900
Setting up of two International size Shipyards 15,000 15,000 30,000
R&D schemes in Shipbuilding 2,018 NA 2,018
Conducing Studies 190 NA 190
Total 20,608 23,520 44,128
Private Players:
Indian corporates and shipyards plan to invest over 170 billion INR over the next 5-7 years that has the potential to take india's share to over 3% to 5% of global shipbuilding.
Indian business is convinced that India has a major comparative advantage in ship-building that has been masked all these years by an inefficient public sector notorious for high costs and time overruns. The labour cost per worker in India is estimated at $1,192 per year, against $10,743 and $21,317 per worker in leading shipbuilding countries like South Korea and Singapore. Apart from skilled welders and fitters, India has world-class naval engineers and architects. These, along with top-class management,
can make India a global power.

Watching the Indian Shipbuilding Market:
Key players:

Key issues and challenges:


The Indian Government has been trying various promotional and subsidy measures since the 70's which managed to keep the industry alive at a time when the global industry was passing through a deep recession after the boom of the 70's which, the country missed due to lack of industrial growth.

The shipbuilding industry is now witnessing a growth phase after a gap of almost 25 years. This is an opportunity for India to revive its shipping industry and bring it at par with the rest of the world.
It is essential for India to put together strategies, which could lead to optimal and effective contribution towards the global shipbuilding industry. Infact the time is just ripe for India to carve a niche in this sector. However in order to achieve this objective, it would be imperative to address concern areas which could be detrimental to the future progress of the sector:

Procedure governing subsidy support: with Indian shipyards suffering systemic and scale disadvantages, the policy of GOI to extend subsidy support to Indian shipbuilders enabled them to effectively compete in the global market. However, after expiry of the subsidy scheme, even as its renewal is under construction, there is a need to ensure that that prescriptive procedures governing eligibility to receive subsidy are removed. These include necessity to win an order through international bidding or certification from the ship owner that the bid process had been followed before selecting the Indian shipyard, which effectively ensure that the benefits of the subsidy scheme are not realized by the private ship-owners as most of their ship building orders are through negotiations

Deficient infrastructure: Indian yards lack the capability to build large and modern ships. Presently, the Cochin shipyard is the only one that has the capability to build large and modern ships. While the government has provided subsidies to shipyards but it has to ensure that the benefits reach the private players as well

Disadvantages accruing from small scale of operations: the shipbuilding sector in China and South Korea have received government fiscal and policy support, enabling them to develop scale as well as a cluster of ancillaries. These advantages of scale are not available to Indian shipbuilding industry, which imports most of its input materials and is therefore unable to leverage advantages offered by bulk purchases and Just in Time supplies. As a result there is significant cost disadvantages on account of import dependence which eat into low labor cost advantages of Indian shipbuilders.

Lack of ship design and limited investment in R&D: Indian players need to work hard to meet the international players in ship automation and technology

Benchmarking it to international standards: The Indian shipbuilders must focus on benchmarking their own processes to international standards to improve the efficiency, delivery time, price and quality, which will in turn, will enhance the competitiveness of the shipbuilding sector. Measures such as performance incentives, PPP models, etc could be introduced to improve efficiency.

Supporting the growth of ancillary industries: Ancillaries need to develop along with the shipbuilding industry as they are the key competitive differentiator for establishing/relocating shipbuilding and shiprepair facilities. A cluster development approach for building ancillary capacity could be adopted.

Training and human skills issues: Development of training programs in various academies to produce high quality talent should be prime focus

No tariff protection from imports

Multiple clearances: As the industry Is dynamic and cyclical in nature these clearances result in procedural delays and hampers augmentation of capacity

(a) Presently there is no supervisory Authority/Apex body

(b) High customs and excise Duty on capital investment: The government levies 35% duty on all capital equipments such as cranes, plasma cutting machines, and other material handling equipment purchased for running a shipyard

(c) Duty on sale of ships to Indian Shipping Companies: The materials and parts imported for building ships are exempted from payment of custom duties but these ships once built are treated as imported ships and a custom duty of 5.0% is levied on them

(d) Onerous Tax Structure: Indian shipyards are subject to 19 different taxes/ duties. These taxes cumulatively put Indian shipyards at a disadvantage and diminish their cost competitive as compared to the international players

Growth Enablers:

The growth in overall trade, increase in offshore drilling activity, and demand from the naval force and coastal guards are the key growth drivers for the Indian shipbuilding industry.

Leveraging labor cost advantage: In India, labor cost per worker per year of USD 1,192 is very low, when compared with USD 10,743 and USD 21,317 in South Korea and Singapore respectively

Offshore segment: As the proven oil and gas reserves are likely to meet the global energy requirements only till 2030, there is increased exploration and production (E&P) activity, particularly in the offshore segment. This is expected to drive the demand for OSVs.



Indian shipyards have carved a niche in the construction of OSVs. Approximately 70.0 % of Bharti's and ABG's order book is directed towards the oil and gas sector. Globally India has one of the largest OSV order books. Industry leaders, Korea and Japan have limited OSV capacity, resulting in a shift towards India

Replacement Demand:
40% of the Indian owned fleet is more than 20 years old and Indian owners will need to spend about $ 4 billion to replace these in the next 5 years.
The International Maritime Organization (IMO) has mandated the phasing out of all single hull vessels by 2010. Single hull tankers constitute 15.8% of the total vessels

SWOT Analysis:

Recommendations:

§ Dedicated SEZ for integrated and clustered development of Shipbuilding sector in India.
§ Encourage Design capability and R&D through fiscal benefits as given to R&D investment in pharmaceutical sector.
§ Exemption of Service Tax on Shipbuilding and Ship Repair.
§ Constitution of an apex body to regulate the working of the sector.

Conclusion:

Worldwide the shipyards are full and the world is turning to India to meet its requirements. After all, China and India have the skills and cheap steel to make the best and cheapest ships.

The successful shipbuilding industrial development of Japan, Korea and China has not happened by chance but by a carefully crafted policy where the government has provided the core administrative guidance and support. Such an integrated policy initiative would be required for the revitalisation of the Indian ship repair industry as well so that conditions are created for the Indian firms to become technological leaders instead of followers, through promoting competition, cooperation and even acquisition and Joint Ventures with leading foreign yards.


Article Source: http://www.articlesbase.com/business-opportunities-articles/shipbuilding-industry-in-india-377611.html
About the Author

The author Ms Charanya Krishnan is an Economist by profession