– Durga Chudal
Economic growth is the most important means of raising people’s incomes and reducing poverty in Nepal. Business organizations in Nepal make possible for the economic growth through converting the ideal resources into valuable products. The quality of product relies on the feature of input and the methods of processing. Better inputs and knowledge create the best productivity. The business with excellent productivity plays vital role for the development of any particular place and economy. The productivity is highly depended on the level of resources which are used in production which can fulfill the desire of targeted end users with satisfactory level. The most valuable factors of productions are human resource, technology, land, capital and business environment, among them human resource is the most important factor of production, because all the resources are mobilized by the human resources. Without efficient human resource, no higher productivity is desired. It can be realized through the development of skilled human resource and business organization, which operates only within the boundary of business ethics. Business organization plays the crucial part for development of human resources as well the growth of the Nepalese economy. Business and human resources are known as major pillars of the economy. Business in Nepal creates jobs and opportunities for poor people to support their families and build more stable futures of Nepalese people and economy. Similarly human resources are the backbone of every business organization. Business in Nepal always seeks for the innovation through the use of superior technology as possible. Nepal face particular challenges that make it difficult for them to stimulate and sustain economic growth. These challenges include weak business institutions, high unemployment, and poor infrastructure, a lack of access to financial services and unsuitable laws and regulations regarding business. Millions of people do not own business, even maximum individuals in Nepal perceive the importance of business for their growth of living standard as well nation wealth. By the error of destiny maximum people who are interested for entrepreneurship in Nepal but they don’t have formal rights to the land they live and work in Nepal. The risk of losing land and property can deter people from investing, for example in irrigation for their land. It can also make it difficult for people to borrow fund for the purpose of investments. This makes it difficult to start business in Nepal. Due to globalization, another major problem is seen diversified in human resource in Nepal. Qualified and skills manpower can’t be deserved by the Nepalese business organization because of diversity in human resource management as well.
Nepalese society expects to create new approaches in business that generates profits with a strong developmental impact towards Nepalese society. The willingness of investment in Nepali business is determined by the Nepalese business environment in Nepal – the extent to which the laws, regulations and infrastructure within a country support or limit enterprising activities. Businesses in Nepal need a degree of certainty and an acceptable level of risk. To achieve this, Nepalese business organization need; strong rule of law, enforceable property and land rights, better regulations, reduced trade barriers, proper infrastructure, a functioning tax system, transparency in subsidy. Strong, predictable and transparent commercial legal environments are critical to stimulate domestic and foreign investment in Nepal. To operate and grow, Nepalese businesses need clear rules and the ability to enter into agreements and resolve disputes quickly and affordably. Nepalese business should be encouraged to adopt inclusive business models. An inclusive business is a commercially sustainable business model that benefits poor people as consumers or producer. This may involve them employing more poor people or involving more Nepalese enterprises in their supply chains.
Technology is a second major factor of production. It is proved that innovations in technology have improved operations at Nepalese business organizations of all sizes. Technology helps to turn small homegrown businesses into global business institutions with popular brand image. Business organizations in Nepal can adopt superior technology it may in the form of knowledge or idea, which reduces cost per unit and increase the volume of production. It requires commitment from the side of business itself and other member of society. Also involves capacity for adopting latest technology and capable human resource with readiness to change. It enables for the business process reengineering along with competences to the world. It results, business organization in Nepal able to compete with the global market easily. Nepalese businesses need to wring every ounce of productivity out of their operations and technology tools help employees get tasks done more quickly. Technology brings businesses closer to customers. Technology is powerful, but keeps the people element in mind and don’t skimp on training employees in effective customer service techniques and the proper use of the technology in Nepal.
(Mr. Chudal is Senior Sales Manager of Maruti Cement Limited)