Don't be too hasty

The government's move to give the management of the two ailing state owned banks-Nepal Banijya Bank (NBB) and Nepal Bank Limited (NBL)-on contract has generated more than expected applications from consultant and management firms. These banks are apparently on the verge of collapse. So, the government is making it out that there is no other option and that this is a step in the right direction to reform the banking sector. However, is this really the case? True, the banks are really in dire straits. Still the rationale behind the move to award the management of these two banks to private parties must be questioned. Is the move an admission of the government's inability to manage the banks on its own? Apart from this, there are other unanswered questions such as whether the government will maintain transparency while awarding the two year management contract and whether the reform process will really make any headway.

With support of the World Bank (WB), the Nepal Rastra Bank (NRB) invited applications for management of NBB and NBL last September. This was done after the two banks had made a combined loss of over 25 billion rupees. The loss amounted to 4.5 to 8.5 percent of the country's GDP and 24 to 45 percent of the annual budget of 1999. This prompted the government to take immediate measures to prevent further financial meltdown in the country. Following an investigation conducted by WB consultant KPMG Barnet Group, the government decided to hand over the management of the banks to restore financial health and stabilize the banks' operation.

The KPMG Barnet report declared "the two banks are technically insolvent" since they have developed deep-rooted systematic flaws. Here, two factors stand out as responsible for the state of these two banks. First and foremost is the frequent "political intervention to pressurize the banks to grant loans to friends and relatives of politicians". Over the years, this has drained the banks' finances. Another factor has been the "highly politicised and disruptive union activities" which have taken their toll of the banks' efficiency. Due to these, the banks, with over 400 branches spread across the country, have been pushed into deep financial crisis. What made things worse is failure on their part to recover bad loans.

The government has failed to restore the financial health of these banks and to stabilize their operations even though it had knowledge of their impending bankruptcy. If it had taken action against those who were involved in shady deals, things would not have become so bad. Now, although the World Bank seems to be supporting the government move to award the management of the banks, the government must act keeping in mind the interest of the country. It is indeed difficult to believe that Nepali managers are really so bad that they cannot even manage two banks. The truth is that these banks can set their houses in order, provided the banks get the right people to manage and political interference, which obviously leads to corruption, is stopped. The government must also punish corrupt officials and try to recover the unpaid loans. It will no doubt always be in the best interest if the government tries to do these things first instead of jumping to award contracts.

Green productivity

By Dron Pun

In simple terms, productivity is the ratio of output to input. More production does not mean higher productivity. In any kind of manufacturing process, all the inputs are not fully exploited. Even nature does not use cent percent inputs. In other words considerable amount is wasted. Every enterprise has to be keen about productivity improvement. If an enterprise has higher productivity trend over the years, it will obviously be in a better position to compete in the market. The Japanese experience shows that benefits of productivity are not achieved by deploying more staff at the quality control section at the end of the assembly line, but through active staff participation in the drive for productivity and quality excellence. Qualitative productivity measurement of any enterprise can be done through different approaches such as labour productivity, capital productivity, etc which is termed as factor productivity and multi-factor productivity which measures overall efficiency of inputs used for output generation. Explicitly, it is true that there is nothing like a 100 percent conversion of inputs into output. Therefore, productivity improvement in this area is possible through application of different tools like quality circle, total quality control total productive maintenance. The 5S are taken into consideration for improvement. 5S is a good house keeping system, it does not require additional investment to implement it in the shop floor. 5S is a set of five Japanese words. Each words start with a sound for Se or Shie, Seri, Seiton, Seiso, Seiketsu and Shitsuke.

Seri is the sorting out and discarding of unnecessary items in the workplace. Seito is the arrangement of necessary items in order so that they can be easily selected for use. Seiso is cleaning up one's workplace completely so that there is no dust on shop floors, machine and equipment, etc. Seiketsu is the maintaining one's workplace so that it is productive and comfortable. Shitsuke represents training people to follow good work habits and the strict observance of workplace rules.

In Nepalese firms, there might be different types of work places. Whatever the type of workplace, the aforementioned good house keeping system can be introduced. Generally, the workplace can be categorised into three groups the third class workplace where people make a mess and no one cleans up; the second class workplace which has people who make a mess and another group of people clean it up; and the first class workplace where people do not make a mess and every one cleans up. The standard for 5S is that neither dirt nor stains in workplace and machine can be seen with the naked eye or felt. If the workplace is free of dirt and stain, that is a symbol of quality control. Therefore, 5S is a basic driving force for productivity improvement. On the other hand, firms should also take care of the external factors like consumers awareness towards environment. If you have gained good performance in productivity improvement and have produced quality products, but if you have not considered the environmental aspects in the course of production, then the question arises whether your product is suitable for selling in the environmentally conscious market or not. In departmental stores, if only eco- friendly products are allowed, then for the sake of this, products have to be green. Therefore Green Productivity concept links productivity improvement and environment protection.

According to Asian Productivity Organisation, the concept of Green Productivity is drawn from the integration of two important development strategies viz -- productivity improvement and environmental protection. Productivity provides a framework for continuous improvement while environmental protection provides the foundation for sustainable development. It is a strategy for enhancing productivity and environmental performance for overall socioeconomic development. It is the application of appropriate technology and management system to produce environmentally compatible goods and services.

If production process system is bound to have some wastage then, a holistic approach to ensure continuous productivity improvement in the productivity as well as in the level of environmental protection, a management system has to be developed much in line with the Environmental Management System of ISO 14000 series. It is pertinent because if you need energy for manufacturing goods, you burn coal, husk and use diesel in boiler. There are gaseous emissions from the stack as a by-product. All of these mean that emissions and waste products are sources of pollution, which on discharge, cause damage to the environment. A solution to mitigate such problems is the introduction of Green Productivity practices at the enterprise level.

Green Productivity is closely related to terms such as clean technology, waste minimization, cleaner production and pollution prevention. But when we talk about technologies that are clean but costly they do not lead to Green Productivity. Because to achieve the goal of GP, it must be possible to yield benefit from both point of views of environmental and economics for the sustainability of the enterprises. Pursuing the guiding principals of GP requires management's commitment and identification of concrete implementation programme in their respective fields.

In the 1960's environmental considerations were always secondary to economic decisions. But now a days, a new mode of thinking has emerged globally. Consequently, GP campaign also has been increasing fast in the Asia Pacific Region. A very interesting point is that GP is applicable not only to the manufacturing sector, but also to the community level of society.

A benefit of integrated element of both the green movement and productivity are immediate short payback period and long term implication depending upon the assessment of economic viability. Company benefits from lowering wastage and reducing pollution. These help to maintain compliance with regulations and enhances the life of the machine and equipment and improves the worker's quality of life. But, it requires management to change its thought, attitude and vision of sustainability in the market. It is transparent that GP is not a destination but a journey in achieving a truly sustainable economy and environment.

Even astrologers have their day

By Razen Manandhar

When I was a child, I used to parrot that I wanted to become a doctor or an engineer. My father used to tell me that doctors and engineers had power to change the whole country and at the same time, they earned much more than people from any other profession. Now, the reality is in front of me -- the super power lies in the hands of astrologers.

Obviously, if working days and holidays are dependant upon some handful of jyotishes, their "responsibility" towards society is less than those of rulers. I'm here talking about one particular responsibility of those pundits.

In the past, we had a set of pattern which guided us on which date a particular festival fell. After we were granted with this multi-coloured.. multi-party democracy, we realised we were totally blinded due to the abyss of freedom. Along with other political leaders, government officers, cops and merchants, astrologers too learned the pleasure of making other people feel their existence. Like others, they too started bringing twists in the festival patterns. In the past 11 years, we have hardly celebrated any Dashain and Tihar that ran normally.

I see no wrong in derailing festivals. If Prime Minister Girija Koirala can invite mid-term polls, why can't astrologers go for a mid-encounter during the festival days? And, the stars too can take their own speed -- either they fly slowly or fast, its their choice. We are the followers of the stars and we have no other way left other than to follow their weird movements. Who else knows what Maoists want other than Tuladhar and Deuba? Exactly in the same fashion, nobody but astrologers know the "exact" movements of the stars.

I can understand the stars can change their speed but I must wait till I grow grey hair to find out the reason behind the stars changing their moods only during Dashain and Tihar. Is it because the road around these festivals are as spoiled as those like Bhote Bahal? Next, I assume that all the astrologers read the same heavenly bodies and earthly books. Then how come two astrologers differ in their ideas on settling the date of a festival?

I wish all the best to the renowned astrologers of our country who can hold even the monarch under their thumb (at least during these two major festivals).

It's their day. Only an astrologer can enjoy the real pleasure of exercising power today. I know, after the so-called restoration of democracy, thousands of people have been learning to swim in the ocean of power but I bet, neither Palten Gurung nor Bal Bahadur KC have "used" the gift of exercising power as much as a common astrologer does today.

Drug abuse among youngsters in Nepal

By Dr Niranjan Prasad Upadhyay

Drug addiction is a serious problem in SAARC countries. But this problem is less in Nepal than in the West.

Drug abuse or dependence may occur at any age, but it seems to be more common during adolescence and teenage. In Nepal, older and younger generations use drugs to reduce anxiety and tension, escape from stressful situations, and mundane problems. The younger generation has also turned to drugs for pleasure. Thus, there has arisen a "value gap", or difference in value orientations among generations that complicate the problem of drug abuse and social control. Drugs are often used as a means of escaping the frustrations of life. Psychologists agree that chronic and excessive use of drugs is not so much a moral problem; rather a symptom of a severe emotional disorder. In certain respects, however, the problem of an individual drug addict is more serious than that of an alcoholic. The problem of drug abuse is a very serious psycho-social problem in Nepalese society. It is not an urban phenomenon only, but a rural problem as well.

Drug addiction has been considered a challenging problem by many countries. Growing in the form of an epidemic, drug addiction has been causing not only psycho- social problems but also hindering economic development across the globe. It is a social cancer that penetrates society and degrades growth potentialities of its members and thus create hindrances in the advancement of a nation.

The effect of any drug depends on the type of drug in use, the amount taken, the manner of taking drug, the user (age, sex, health, tolerance, mood etc) and the circumstances in which the drug is administered. If drugs, whether natural or synthetic, are administered to treat medical problems, it can correct the imbalances in body chemistry, protect against diseases and relieve tension and pain. But, if they are used excessively, they can cause physical, social, financial, psychological and legal complications. Continued use of drugs lead users to addiction. Psychologically, drug abuse is very complicated. Lack of good parenting creates stress on youngsters who eventually resort to drugs.

The consumption and injection of illicit drugs is increasing around the world. It involves about 20 million people in more than 120 countries. Many Asian countries began to experience this kind of epidemic in the late 1980s, and this trend is continuing across Asia.

Drug abuse in Nepal is not an indigenous problem. It was brought here by the "Hippies" during the early 1970s. Gradually, the problem began to spread. It is estimated that 50,000 people in Nepal are drug addicts and most of them are between 15 to 30 years. In a survey conducted by the Narcotic Drug Control Division of the Ministry of Home Affairs, the problem of HIV positive is very common among drug abusers and almost 40 percent drug abusers are infected. In Nepal, the majority of drug users start with Marijuana and Phensidyl from the age of fifteen. According to UNICEF report (2000), there are about 20,000 drug abusers who use injections. Generally, peer pressure, curiosity, frustration and uncertainty over job prospects are some major factors that drive youngsters, mostly males, towards drug abuse. Similarly, it also creates several multidimensional problems- crimes, illegal trade, corruption, prostitution and administrative instability, among others. Among those who contract HIV from drug injections are children of middle class families, students, street children, rickshaw pullers, boatmen and vegetable vendors.

Subedi K. et. al. (1994) have forwarded that prostitutes in Kathmandu valley are addicted to drugs such as hashish, cigarettes and alcohol. According to his report, they take drugs twice a day, in the morning and in the evening, and spend Rs 200 to 300 per day.

Geographically, SAARC countries are located between the world's two largest areas commonly known as the Golden Triangle and the Golden Crescent. Consequences of drug crimes in SAARC countries, where poverty is rampant, are very severe. Though there are numerous cause for the increase of drug abuse and trafficking, the main cause is the cross- border movement.

Especially, clinical psychologists and psychiatrists have mainly categorized drugs into five types viz Narcotics (heroin, opium, morphine, codeine, pethadeine), cannabis (marijuana, hashish), stimulants (cocaine, amphetamines), depressants (sedative hypnotics, tranquilizers, Bupreorphine, Alcohol) and Hallucinogens (LSD). Mood swings, low interest in sex, impaired memory and concentration, disease of the respiratory tract, mental illness, chronic sleep problems, poor appetite, high blood pressure, acute anxiety, impotence and mental illness are the basic psycho- physical symptoms of drug abusers.

There are major drug treatment centres in Nepal viz. life saving and life giving Nava Jivan Ashram of Drug Abuse Prevention Association, Nepal Sahara counselling centre. Department of Psychiatry under teaching Hospital of Tribhuvan University, Legal Advisory Forum for Helpless, International Nepal Fellowship, Naulo Ghumti, Nepal Association For Drug Abuse Prevention, UNESCO Banke, People Awareness Centre and Far Western social service and research committee. Most drug treatment centres provide educational counselling primary health care, research and public awareness about drug abuse. In all of the above mentioned approaches to the drug abuse treatment and prevention, psychologists have played a key role in developing behavioural medicine and psychotherapy techniques. Recent advances in health psychology are characterized by the emerging contributions made by psychologists collaborating with health professionals from other disciplines in the interdisciplinary field of behavioural medicine. Clinical application of behavioural medicine is gaining importance everyday in the total management of drug related health problems.

In Nepal, drug delinquency arises due to parent related causes, the absence of appropriate control reactive patterns of misbehaviour and a lack of interpersonal relationship and communication (Gafney T 1988). In order to avoid psychological terror in a family, effective and continuous guidance care and counselling should be provided to the family and people affected by the problem of drug abuse.

Especially, young Nepalese addicts come from different strata of society. Research findings show they come from upper income group. They are more seriously involved in drug addiction. There are primarily four ways of drug control: controlling consumption, production, processing and trafficking. Psychologically, the issue of drug control is very complex. It can be solved by a multiple approach with the effort of governmental organizations, NGOs and individuals.

On the whole, research has shown that any kind of drug treatment is effective when they are available to drug users at a time when he or she voluntarily seeks help.