EDUCATION

EDUCATION

The process of learning the skills that can give you benefit and can give you the unique set of characteristics is known as education. The Education cannot be limited to the study of science or arts only but in fact education is the process of learning the various set of behaviors, the various set of skills and the various aspects of life. It is very difficult to define the term “education” properly because it is an intangible concept. There are various indirect links of education or in other words this process can lead to some other processes as well like wisdom, intelligence, and the knowledge development.

Importance Of Education

In each individual in the universe there are some of the inner hidden characteristics which can lead man to the heights of sky. The only thing required to get this aim is to expose your inner talent by searching yourself. An individual is like gold which is nothing without molding. As mentioned above the term education is not limited to a specific field but it is general term alternative to education.

Stages Of Education

There are various ways through which a person gets the knowledge like early childhood education, which is also known as schooling. In this skills development program at the age of four or five years a small child is given the learning related to various subjects step by step and then the child is also trained about the religion from which he or she belongs. The moral values of the child are also shaped at each step of schooling. After this the late childhood development comes which is also a part of schooling. Finally there is adult education in which the complete set of subjects is taught to shape the character of the person and also to increase the thinking of the person. At this level the person gets able to understand what is right and what is wrong and is more motivated towards the career building. Sex education is on the other hand is the information and the guidelines that are given to the individuals to improve their sexual lives. In fact every individual wants to live a contended life and it is not possible unless the sexual life is not fully satisfied. Previously people were unaware of the importance of the sexual education but today they are more aware and conscious of its importance.

Facts About Education

To increase the spread of knowledge in the society the education grants are given to the people who are usually unable to afford it. There are various developed economies which are giving these grants to the under developed countries like Japanese need based scholarships are provided to most of the cities in Asia. Education loans are given at the higher level when an individual is mature enough to build his career and need loans for the completion of studies. He is responsible to pay back the loans after completing his education. The loans are given by various institutions like banks, and the institutes themselves. All of these acts as the drivers of education, as these factors directly promote the spread of knowledge. Another major driver of education is the online education, in which you are given the direct access to get the knowledge over the Internet, which is one of the fastest media nowadays. There are various units which are although dealing with the professional services but with their own department of education. Like some of the hospitals also provide the education of medical and some business companies also provide the business education programs. The landmark of education is the development of the individual not only at mental level but also reshapes his or her personality.

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INFLATION

Definition of 'Inflation'

The rate at which the general level of prices for goods and services is rising, and, subsequently, purchasing power is falling. Central banks attempt to stop severe inflation, along with severe deflation, in an attempt to keep the excessive growth of prices to a minimum.

In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.[1] When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation reflects a reduction in the purchasing power per unit of money – a loss of real value in the medium of exchange and unit of account within the economy.[2][3] A chief measure of price inflation is the inflation rate, the annualized percentage change in a general price index (normally the consumer price index) over time.[4]

Inflation's effects on an economy are various and can be simultaneously positive and negative. Negative effects of inflation include an increase in the opportunity cost of holding money, uncertainty over future inflation which may discourage investment and savings, and if inflation is rapid enough, shortages of goods as consumers begin hoarding out of concern that prices will increase in the future. Positive effects include ensuring that central banks can adjust real interest rates (intended to mitigate recessions),[5] and encouraging investment in non-monetary capital projects.

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Money And Credit

MONEY AND CREDIT

Credit theories of money, also called debt theories of money are concerned with the relationship between credit and money. Proponents of these theories, such as Alfred Mitchell-Innes, will sometimes emphasize that credit and debt are the same thing, seen from different points of view.[1] Proponents assert that the essential nature of money is credit (debt), at least in eras where money is not backed by a commodity such as gold. Two common strands of thought within these theories are the idea that money originated as a unit of account for debt, and the position that money creation involves the simultaneous creation of money and debt. Some proponents of credit theories of money argue that money is best understood as debt even in systems often understood as using commodity money. Others hold that money equates to credit only in a system based on fiat money, where they argue that all forms of money including cash can be considered as forms of credit money.

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FISCAL DEVELOPMENT

FISCAL DEVELOPMENT

The process to improve the health of Fiscal Policy(Reducing the fiscal deficit) and making it sound enough to achieve macro-economic stability us called Fiscal Development.

As sound fiscal position is an essential pre-requisite for achieving macro-economic stability and such stability in return is helpful in promoting a strong and sustained economic growth and lasting poverty reduction.

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MANUFACTURING

MANUFACTURING

Manufacturing is the production of goods for use or sale using labor and machines, tools, chemical and biological processing, or formulation. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale. Such finished goods may be used for manufacturing other, more complex products, such as aircraft, household appliances or automobiles, or sold to wholesalers, who in turn sell them to retailers, who then sell them to end users – the "consumers".

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GROWTH AND INVESTMENT

Definition of 'Economic Growth'

An increase in the capacity of an economy to produce goods and services, compared from one period of time to another. Economic growth can be measured in nominal terms, which include inflation, or in real terms, which are adjusted for inflation. For comparing one country's economic growth to another, GDP or GNP per capita should be used as these take into account population differences between countries. 

Investopedia explains 'Economic Growth'

Economic growth is usually associated with technological changes. An example is the large growth in the U.S. economy during the introduction of the Internet and the technology that it brought to U.S. industry as a whole. The growth of an economy is thought of not only as an increase in productive capacity but also as an improvement in the quality of life to the people of that economy. 

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NEGOTIATION AND LISTENING

NEGOTIATION AND LISTENING

The Use of Power

A person, who has power, particularly over the allocation and use of resources, must be willing and able to use that power to make decisions and take action. If they refuse, or are unable to do this, conflict will arise because processes that are essential to the running of the workplace do not take place. Don’t depend solely on your workplace power source or your personal power, develop strategies that achieve results. Use your communication skills to present your ideas without producing conflict.

Five-step approach to negotiation

Negotiating is a process in which two or more people (or parties) with common or conflict interests decide on a specific issue or business transaction. This may at times produce win-win, win-lose-lose-win or lose-lose outcome. The five-step approach is more suited to a situation where the issue is more important than the relationship: for example, it is appropriate for purchasing a car but not for resolving crises with your partner. These five stages of the negotiation process are shows in figure

Plan for Negotiation

Careful and thoughtful planning is essential before you negotiate. First, create a set of clear objectives to steer you towards the results you want. Prepared objectives allow you to progress through the five stages of negotiation. Think about how your objective can be achieved.

Gather information that helps you:

• Give the other party relevant information

• Make sure that this information is accurate and objective

• Develop and maintain good relationships with the other party

• Consider the other party’s point of view.

• Organize all the relevant information as this provides the ideal starting-point for your discussion. Plan your approach and the sequence of issues you wish to raise. 

• Assess the other party’s objectives. 

• Identify links and common ground. Anticipate the party’s probable response to each of your issues, and prepare answers.

Discuss

Set the communication climate by exchanging greetings; it aims to establish trust and confidence.  By being sociable you are able to establish a tension-free atmosphere.  Review proceedings leading up to the meeting.  Iron out any differences in ‘facts’ before you start to negotiate.  Confirm both parties’ broad objectives and feelings.  Listen carefully. Identify areas of agreement and try to establish some rapport with the other party.  Your intention is to establish common ground before moving into areas of difference.  

Propose

Define the issues and specify in detail what you wish to resolve. Link issues to the other party’s objectives and focus on interests rather than position. Detail with one issue at a time.  Try to keep to the point and avoid generalizing. Paraphrase their message to check that you understand it correctly. Summarize the content, ideas and feelings being communicated.  

Negotiate the Issue

Start by asking for what you want, but accept that your goals may have to be modified or compromised.  Communicate your intention with the other party to produce a solution that is satisfactory to both. Remember the phrase: ‘if… then….’ separates the people from the issue.  Try to generate as many options as possible – this gives both parties room to negotiate a solution.  Throughout the discussion keep summarizing the points to confirm understanding, particularly when complex issues are involved. Take the time to confirm what you have negotiated so far. Unless agreement is fully understood by both parties, the settlement may not last.  

Confirm

Once the agreement is concluded, confirm that each party is committed to it.   The five-step approach to negotiation will help you negotiate more effectively.  Good negotiation strategies enable you to solve the problem in such a way that both parties win. Clearly state your needs and goals as you negotiate and listen to those expressed by the other party.  Allow each party to evaluate the other’s needs and goals and the areas of common interest. People who negotiate honestly treat one another as equals. Another approach to negotiating is principled bargaining.   1. It should be a wise agreement, if possible. 2. It should be efficient.  

Principled Bargaining

Fisher and Ury (1991) developed a concept known as principled bargaining. This works well when a group of stakeholders have a common interest.  An acknowledgement to work together for mutual outcomes is the essence of the principled bargaining approach:  It acknowledges the Australian ethic of a ‘fair go’. Everyone is treated equitably. In Fisher and Ury’s view, each negotiated agreement should satisfy the following three criteria. 1. It should a wise agreement, if possible. 2 It should be efficient 3 It should improve, or at least not damage, relationship. The principled negotiation method takes time, energy and commitment.    

• Their method  has four elements 

• People to separate the  people from the problem

• Interest to focus on interest rather than the position

• Option  to generate a range of possibilities before choosing one

• Criteria to ensure that  results are based on some objective standard

To implement the principled negotiation method you need to:

• State your case clearly and persuasively 

• Organize your facts well.

• Be aware of the timing and speed of the talks.

• Assess  others’ needs properly

• Be sensitive to those needs.

• Not be unduly worried by conflict.

• Be committed to a win-win philosophy. 

• Have patience.

• Sometime, you settle less than your goal.

BATNA stands for the ‘best alternative to a negotiated agreement.’ If the person you are negotiating with is your manager or supervisor you may have WATNA. 

WATNA    stand for ‘worst alternative to a negotiated agreement

 If the other person has the legitimate power, or if you want to the relationship to continue as it is, you may have to settle for less than your preferred outcome. You might have to modify your goal to maintain the relationship, especially if the other person is your boss. Sometimes your goal may be unrealistic and you have to modify it to make it more realistic. You may even decide not to negotiate if you feel that this will not achieve something better.

By identifying the BATNA and WATNA, you are exploring the alternatives available if negotiation is not possible. Rather than accept an unsatisfactory outcome you can say no to negotiation.

Problem solving by negotiating……………….

Problem solving by negotiation is dealt with by a team or group of people who already have a working relationship and want to solve a work-related problem. The six-step approach to problem solving by negotiation will succeed only if the relationship is important to both parties and if they have a genuine desire to solve the problem rather than to win (see This 8.4)

Negotiating methods………………….

In the negotiating process, the parties involved may choose one of five different negotiation methods. A skilful negotiator is able to identify them and recognize which one is being used by the other person.

1. Compromise

2. Collaboration

3. Competition

4. Accommodation

5. Withdrawal or avoidance

Compromise

Compromise means to settle differences through concessions made by one or both parties. A compromise usually produces win-win or win-lose results. When the settlement meets the needs and goals of both parties (win-win), both are satisfied with the outcome. When the solution meets the needs and goals of only one party (win-lose), the other party is dissatisfied with the outcome (see figure 8.5)

Collaboration

Collaboration involves people cooperating to produce a solution satisfactory to both parties (win-win). It improves personal relationships and allows the exploration of new ideas. Permanent solutions and commitment to them can be achieved this way. On the other hand, it is time-consuming and demands good negotiating skills on each side.

Competition

Competition often leads to one party gaining advantage over the other, if it can negotiate at the expense of the other’s needs. Since the competitive approach usually produces a win-lose result, it is bad for personal relationships. The solution is likely to be temporary as there is no commitment from the losing party, so the problem will occur again. It also leaves the losing side in a difficult situation.

Accommodation

Accommodation means that only one party is willing to oblige or adapt to meet the needs of the other. It produces a win-lose outcome. However, this method is useful for negotiating on minor matters. The result can go on e way or the other. It is suitable if the accommodating party does not really care about the loss. However, the negotiating parties may not bother to look for creative solutions. With this negotiations method, points of view are easily swayed.

Withdrawal or Avoidance

Withdrawal (avoidance) is a negotiation method that makes both parties lose, because one party retracts their point of view or backs away form the situation. Such dissatisfaction may lead to conflict in the future.

The choices you make are influenced by the context in which you negotiate and by your range of personal communication and negotiation skills.

Skills in Conflict Resolution and Negotiation

In your organization several negotiating styles and strategies are likely to be demonstrated. Some achieve acceptable responses, others hinder negotiation and conflict resolution. Some solutions may be simple and practical. Others may be complex and difficult and may even require attitude changes and commitment from each party.

Negotiation involves a range of positions by both parties. You might change the other party’s position, change your own position, or can reach at a compromise. Clearly define your own objectives as well as the other party’s. This places you in a better position to understand what is happening.

Figure 8.5 shows how each negotiation method affects relationships and the achievement of goals. It also matches each method with the most likely conflict resolution strategy. Once you understand them all you are in a position to decide which one is suited to a situation and your intended result.

Negotiation based on empathy for the other party establishes a climate where both parties can communicate easily. By contrast, confrontation leads to disputes and extreme positions. Check the full list of items to be negotiated.

Focus on the problem, not individual personalities. Ask questions to check that you understand the other side’s expectation and position. Avoid aggression. Use your assertive communication skills. Listen carefully to the other party.

Establish the criteria that will make a realistic solution acceptable to both parties. This may involve several options. Successful negotiation develops these options into a plan of action.

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