Business Procurement and Contractual Practice Sample

 

Financial cost management with procurement

Introduction

Construction of large-scale dams has been the subject of intense controversy in recent decades, particularly when it comes to the socioeconomic ramifications of such undertakings. For years, India’s National River Linking Project (NRLP) (Tutu,2021), which is the world’s biggest water project now under development and entails the building of a significant number of dams, has been a major source of conflict due to its location on the country’s northern border with Pakistan. The project, which is now under development and entails the building of a significant number of dams, is the world’s biggest water project currently under construction. From the time of its conception some years ago, the project has been the topic of fierce controversy, and it is now in the process of being constructed (Ebekozien2021).

Background

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It is expected that the $168 billion project would link all of India’s rivers together in order to construct a large-scale water infrastructure. Building huge water infrastructure on the subcontinent has long been connected with ideals of development and national progress, as shown by Jawaharlal Nehru’s famous comment that big dams are “the temples of modern India (Toutounchian,2018).” For displaced populations to gain from dams, it is vital to first explore how they may benefit from dams in the first place, given that they are among the poorest people in India. With a focus on the first NRLP project, the Polavaram Project, we will assess the extent to which such imaginaries are still important in modern political discussion in order to establish whether or not they are still relevant today (Kakwezi,2021).

There are around 4,900 notable dams in India that have been constructed since the country’s independence in 1947, with an additional 300 dams now under construction or in the development phase (Naiola, 2016).

When a dam is built, it is often followed by the displacement of local populations who are forced to migrate as a result of the project’s execution (Kikavets,2022).

Case study

As estimated by the Internal Relocation Monitoring Centre and the Norwegian Refugee Council, between 21 and 65 million people have been forced to leave their homes in India since the country won independence in 1947. Because of the vastness of this movement, it is only appropriate to evaluate what these companies aim to do in terms of development, for whom they want to accomplish it, and with what consequences they intend to accomplish it. It is quite fine to express these kinds of reservations. The opposite is true: it is actively encouraged. In reality, as has been shown, this development model has resulted in discriminatory discourses and behaviours, with those who are already on the edges facing the brunt of the repercussions and getting the least advantages from these programmes (Mukashev,2021). Large-scale infrastructure projects in India have had a disproportionately detrimental impact on the country’s Adivasi group, which is a tribal minority and has suffered as a result. 2 According to the World Bank, members of India’s underprivileged groups account for at least 40% of those displaced by infrastructure development projects in the country, despite the fact that they make up just 8.6 percent of the country’s total population of 1.2 billion (cf. Fernandes 2007). The persistence of resistance organisations such as the Naxalite movement, which advocate for marginalised sections of the population, has, on the other hand, endured. Numerous issues have been raised about these projects, including a lack of adequate or non-existent relocation plans, which have an impact on them both in India and around the world (Canuel,2021).

IWMI It is possible to access these documents by visiting the website provided in the URL provided above. EPW, a peer-reviewed academic weekly that is read by members of the Indian academic community, particularly those working in the field of economics, has emerged as a valuable source of information about the NRLP’s social and ecological implications. The EPW has emerged as a valuable source of information about the NRLP’s social and ecological implications (see, for example, Iyer 2012 & 2014, Mishra 2012, Islam 2006). The information provided on these websites seems to indicate that current information on the scheme’s implementation status is readily accessible at this time, based on the information provided on these websites. This series of articles, in addition to expressing concerns about the plan’s technical feasibility, expresses concerns about the plan’s use and impact as well as its consequences, among other things. This series of articles also expresses concerns about the plan’s technical feasibility, among other things. The Polavaram Initiative has received some attention from the media in recent years, despite the fact that it has received just a small amount of attention from academics. The majority of procurement departments have made significant strides in recent years in terms of adding value to their respective organisations’ bottom lines. Because the “low hanging fruit” in terms of cost savings, leverage, and pricing has already been gathered to a great degree over the course of many years, this is mostly due to a lack of new opportunities to harvest the “low hanging fruit.” In order to play a more strategic role, procurement will need to be more flexible in identifying and capitalising on chances to add value. It will also need to ensure sufficient organisational investment in order to carry out this duty.

We noticed via our study that a company’s capacity to save money is highly tied to the maturity of its category management, strategic sourcing, and supply chain management methods. We believe this is true A bigger proportion of the savings was made possible by organisations that displayed “excellence” or “leading” maturity in these areas.

Proposed practice

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Taking a systematic approach to contract or service performance management is seen as a strategy for procurement in mature procurement departments, as it allows them to leverage the relationship and provide continual added value to both the top and bottom lines, for example. A recent study found that, with the exception of those in the manufacturing and consumer packaged goods sectors, only around half of all procurement departments are now tasked with overseeing their organization’s supply chain management process.

As the global business climate becomes more competitive and complex, more organisations are rethinking their procurement operating models in order to generate more value and improve operational performance.

Despite this, only a small number of organisations periodically evaluate their operating models and make the required modifications to ensure that procurement is completely integrated into the organisation and continually delivers growing amounts of value over time.

We discovered that the vast majority of organisations around the world have adopted a centralised operating model (figure 10), which allows businesses to leverage their global purchasing power, gain better control over their spending, and develop core standard business processes in order to obtain more consistency and value from their procurement activities.

Researchers used a mixed-method approach to investigate these issues in order to get to the core of the situation and discover a solution, according to the researchers’ findings. It is critical to identify and evaluate the substance of articles from newspapers and journals as a starting point in order to monitor the evolution of political ideas across time

. Since Andhra Pradesh’s English-language media has already reported extensively on the Polavaram Project, a decision was reached that information on the project would no longer be carried in the state’s Telugu-language media in the future months. In order to ensure that materials for the National Rural Land Program (NRLP), which is a state-wide initiative, were procured in a timely manner, this was taken into consideration while choosing suppliers to furnish materials for the NRLP. The number of visitors to each magazine’s website was one of the factors considered in the production of this year’s ranking, which was only one of the many factors taken into account (see Media Research Users Council, 2014). Down to Earth has just been included on a list of well-known and respected environmental magazines, which was released by the Environmental Defense Fund. Down to Earth has established itself as one of the country’s most well-known and recognised environmental journals. This quarterly magazine, which is available in both print and online versions, is published by the nonprofit organisation Down to Earth. The National River and Lake Program, which promotes the conservation and development of rivers and lakes across the United States, is funding a component of this project. It is a component of the National Rivers and Lakes Program, which promotes the conservation of rivers and lakes across the United States of America. The Polavaram Project, which is a component of the Peninsular River Development Scheme, is included in the National Rivers and Lakes Program, which promotes the conservation of rivers and lakes across the country. Additionally, it has been noted that one of the most important advantages of living in a water-rich location is that it has the potential to be utilised for irrigation reasons, in addition to being able to provide water to big towns and commercial enterprises. After being joined for the first time in history by a canal project that was completed in 2015 and which provides irrigation to the surrounding region as it travels through the project area, India’s Godavari and Krishna rivers have now been joined for the first time in history by a canal project that was completed in 2015. The canal project was completed in 2015 and provided irrigation to the surrounding region as it travelled through the project area. The canal project was finished in 2015, and as it travelled through the project area, it offered irrigation to the surrounding area. According to the firm, the planning and building of the dam site, which will comprise a dam wall with a height of 46 metres and a second canal that would carry water to Visakhapatnam, are still in the early phases of design and development.

According to official estimates, the project is expected to sink 276 vil lages over the course of many years. Environmental activists think that the floods have the ability to completely submerge up to 323 communities, according to their estimates. According to the plan, at least 38,000 hectares of land will be impacted, with forest land accounting for the majority of that number (4,000 ha), according to the project’s proponents. According to estimates, a total of between 200,000 and 400,000 people are expected to be moved as a consequence of this project (cf. Down to Earth 2011).

During the 2013 reorganisation of the states of Andhra Pradesh and Telangana, the Polavaram Project played an important part in both the arguments for and against the restructuring. In 2014, it did it yet more time. According to the state of Andhra Pradesh, the adoption of the Polavaram Project by the state of Telangana was a requirement for the commencement of discussions with the other government. Meanwhile, it became clear that the Polavaram Effort was a national initiative, making it eligible for financing from the United States Department of Agriculture. This was revealed while the process was still in progress. At this time (May 2017), the project seems to be still in the hands of the state of Andhra Pradesh, with the federal government’s role being restricted to providing financial support to the state.

According to J.S. Jagan Mohan Reddy, the leader of the opposition party, the Polavaram Project, which is essential to the state’s economy, was sacrificed in order to go on with the Pattiseema lift irrigation plan, which is a major source of revenue for the state. Since its inclusion, Naidu’s language and associated imaginaries have been elevated from a subjective to an objective status; Naidu and his government have thus been successful in having their language automatically associated with the project and, as a result, in influencing the public discourse surrounding the project. Furthermore, the fact that opponents of the project have used similar terminology in their critique of the project itself is still another piece of evidence supporting this claim. According to an article published in The Indian Express in December 2016, the Polavaram Project is a lifeline for the people of the state, however tribals who have lost their land and livelihood should be compensated adequately for their losses. It is the head of the party, Yuvajana Shramika Rythu, who asserts that the Polavaram Project is a lifeline for those living in the state. Because of this, the term “lifeline” has never been put into doubt previously, according to The Times of India (2016). ‘It [the Polavaram Project] is the lifeblood of Andhra Pradesh,’ says Venkaiah Naidu, the Central Union Minister, according to the official government website. Naidu is also credited with coining the term.

The completion of Polavaram, according to Naidu’s previous claims, would propel the state of Andhra Pradesh to the top of the national rankings. Rao (2016), for example, said that they were “quite confident in our abilities to accomplish this project with the support of the local people and irrigate lakhs of acres for the benefit of the farmers.” To put it another way, “history has already been written.” According to the Guinness Book of World Records, my administration will be recognised for completing the river-linkage project in fewer than 320 days, which will be featured in the book. My administration is the only one that have the passion and vision necessary to attain this goal. As a result, the Bhaskar Award winner for this year is referred to as “Bhaskar 2016.” (Bhaskar). A report in the Hindu newspaper said that the beginning of concrete construction on the dam site will be a “memorable moment” for Naidu’s government. To participate in the event, which is anticipated to gather at least 1,000 buses from throughout the state, farmers, Telugu Desam Party members, and other supporters of the party have been invited. […] Additional plans are being made to provide food for 50,000 people and to arrange other cultural events in the region, which will take time and effort.

Regarding the Polavaram Project, the next study will look at how well this guideline is being followed and whether or not it is successful in the long run.

A number of the Polavaram Project’s resettlement and rehabilitation strategies have been praised as some of the most effective in the nation, earning significant acclaim throughout the country (cf. The Hindu 2006). It provides a diverse variety of options for land and houses to consider when determining where to construct a structure. There are plans to provide new residences of equivalent value for Adivasis, while those who are not Adivasis would be reimbursed in cash for the value of their prior homes. In addition, as previously indicated, non-Adivasis are not entitled to own property in the region designated for submersion by the 1970s Act because the area planned for submersion is a Scheduled Region. This is because the area allocated for submersion is a Scheduled Region, as previously stated. As a starting point, it will be necessary to resolve the seeming contradiction between the fact that non-Adivasis hold such a big percentage of the region’s property rights and the fact that they are entitled to compensation for their losses. If you match the eligibility conditions for the package, it is conceivable that you may be given land compensation in the form of up to 6.5 acres of land as compensation (2.6 hectare). The individual landowners who possess more than 6.5 acres will be compensated in cash for the extra property they have acquired over the 6.5-acre threshold. Individual landowners who own less than 6.5 acres will not be compensated. A fair compensation should be provided to those who have been damaged; yet, the government does not have the requisite land to offer such compensation, which is a significant source of worry for the general population. It is common for individuals to be allocated enormous tracts of property that are geographically apart from one another when it comes to real estate allocation. Consequently, it is quite difficult to grow them all at the same time in the same region. In the United States, finding enough space to support an entire hamlet on a single piece of land is quite difficult to come by. In addition, new land is often less productive than older property, which is another factor to consider. It has been claimed by a number of sources that the land that the government makes available for development has already been developed by a third party in a number of instances. It seems that personal contacts and power networks have a significant influence on land allocation in developing nations, notably in Africa.

Based on the results of our media study, we came to the conclusion that the reality experienced by individuals who have been directly or indirectly impacted by Polavaram’s construction does not exist in the mainstream conversation about the project. The fact that this is communicated via the use of an imagined lifeline and the promise of a drought-free state, both of which assist to emphasise the positive advantages of the project on all of the state’s population, is especially relevant in the case of Andhra Pradesh Chief Minister Naidu. A well-developed mental creativity, as well as the concept of applying technical solutions to societal challenges, are shown in this case study, among other things. After considering the Polavaram Project in the context of actual lived experiences of individuals who have been impacted by it, it becomes obvious that a completely different reality emerges from the analysis.

Summary

In the afflicted areas, agricultural producers are forced to abandon both their principal source of income and the land on which they depend, in exchange for which they get only a paltry sum of money in compensation for their losses. Consequently, those who formerly lived a life of relative independence and relied only on subsistence agriculture to support their families have been driven into the day labour market as a direct result of this policy. In other cases, development promises may be beneficial to specific persons, such as those who reside in metropolitan areas who will have better access to water and farmers who would have more access to upgraded irrigation systems. The findings of this study, on the other hand, indicate that populations that are already marginalised are the ones that stand to gain the least from the programme. The goal of many development programmes, including those aimed at assisting disadvantaged people in improving their living situations, is not the case in this particular instance, despite the fact that this is often the goal of such programmes.

References

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Ebekozien, A., Samsurijan, M.S., Aigbavboa, C., Awe, E.O., Amadi, G.C. and Emuchay, F.E., 2022. Unravelling the encumbrances in procurement management of Nigeria’s infrastructure development: pitfalls and prospects of projects. Property Management.

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