Ckm Termpaper Chai

7/28/2019 Ckm Termpaper Chai

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PES Institute of Technology, Bangalore

(Department Of MBA)

CHANGE AND KNOWLEDGE MANAGEMENT

Term Paper

SHAREKHAN LTD

Submitted by:

CHAITHRA.G

1PI11MBA39

4th Semester, A Sec

To

Prof. MURALI MURTI

Faculty


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TABLE OF CONTENTS

SL. NO PARTICULARS

SHAREKHAN LTDINTRODUCTION

MODULE 1 MANAGING CHANGEINTRODUCTION

MODULE 2 ORGANIZATIONAL CHANGE

MODULE 3 ORGANIZATIONAL CULTURE AND CHANGE

MODULE 4 CREATIVITY AND INNOVATION

MODULE 5 KNOWLEDGE MANAGEMENTINTRODCUTION

MODULE 6 ESSENTIALS OF KNOWLEDGE MANAGEMENT

MODULE 7 KNOWLEDGE MANAGEMENT SYSTEM LIFE CYLE

MODULE 8 FUTURISTIC KNOWLEDGE MANAGEMENT

CONCLUSION


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INTRODUCTION

Share Khan ltd. is a retail broking arm of S.S KantilalIshwarlal Investors Services Pvt Ltd, an

organization with more than 8 decades of trust and credibility in the stock market. Share

Khan Ltd (Formally SSKI Investors Services Pvt Ltd) was promoted by

Mr.Shripal.SMorakhia and Mr.Shreyas.SMorakhia. It is currently Indias largest broking

house. It is a member of the stock exchange, Mumbai. It is a depository participant of the

NSDL and CDSL. Its business includes stock broking, depository services, portfolio

management and derivatives.

SSKI group also comprises institutional broking and corporate finance. While the

institutional broking division caters to the largest domestic and foreign institutional investors.

The corporate finance division focuses on niche areas such as infrastructure, Telecom and

media. SSKI holds a sizeable portion of the market in each of these segments.

As the forerunner of investment research in the India market, we provide the best research

coverage amongst broking houses in India. Our research team is rated as one of the best in the

country. Voted four times as the top domestic brokerage house by Asia money survey. SSKI

is consistently ranked almagest the top domestic brokerage houses in India.

Share Khan is the retail broking arm of SSKI securities Pvt ltd. SSKI owns 56% in Share

Khan, balance ownership is HSBC and Intel pacific.

Pioneers of online trading in India- Share Khan.com was launched in 2000 and is now the

second most visited broking site in India.


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NATURE OF BUSINESS CARRIED

Share Khan is a stock broking company. The company offers a complete range of pre trade,

trade and post trade service on the BSE (Bombay stock exchange) and the NSE (National

stock exchange).

Whether the client come in to the companys conventionally located offices and trade in a

dedicated environment or issue instructions over the phone, the highly trained team and

sophisticated equipment ensure smooth transactions and prompt service.

Investment Advisory service Facilitation services to Retail Investors, Corporate. Depository services

Investment options include:

Online trading (Includes equity, derivatives) Commodities trading Mutual funds Portfolio management service

Operations:

Institutional broking Investment Banking Retail Broking

Through trading and settlement process the investor converted into the final product.

The clearing house of exchange may act as legal counter party to all dealers for all deals in

equity derivatives instruments on exchanges. Thus the both the parties to an equity

derivatives met either by the party itself or in the event of default on the part of the party, by

clearing corporation.


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A client can trade only through a trading member of the exchange. A clearing member can

act as trading member. The process of trading is similar to screen based trading in securities

like shares on an exchange. The exchange introduced standardized contract where settlement

date, is specified by stock exchange and the client can enter into contracts with different

contract/ strike price.

In order to minimize the risk of failure parties to contract in full filling their respective

obligation under the contract, the Clearing Corporation/trading members. Margins are

required to be paid by clearing/trading members who in turn, collect margin from their

respective clients.

2.3VISION, MISSION, OBJECTIVES AND QUALITY POLICY

VISION:

To be the best retail broking brand in the Indian equities market

MISSION:

To educate and empower the individual investor to make better investment decisions

through quality advice and superior service

OBJECTIVES:

To ensure satisfaction through teamwork and professional management To provide good quality of services on a continuous basis to the satisfaction of clients.

To extend effective guidance to brokers, to clearing house Corporation, companiesand investor in E-Stock Trading.

To eliminate paper work and bring in front of electronic stock market in India.

QUALITY POLICY

User friendly online trading facility


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MODULE 1: MANAGING CHANGE

Personal change:

Limited choice: the topic to be studied was given by the company and hence therewas no flexibility or more choice of selecting the topic of our area of interest.

Stress:had to make cal to existing customers everyday to find out their reason for noybeing so active and decreasing interest . meeting customers and obtaining required

information according to our necessity was a stressful job as they were engaged in

their business activities.

Physical illness: It was not much experienced as I was working in the office.The atmosphere

at the office was very good and the place was maintained very neatly.

Anxiety- It was a new environment to work and get exposure to the real corporateworld.

Happiness- there was a partial induction been carried as it gave recognition and knowthe management of the company. There were various tasks been given which was

challenging and a sense of belongingness was established.

Fear- there was a fear as to whether the tasks will be accomplished within the timeframe and meeting the goals .


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Threat: The threat was whether the customers/active investors will provide anaccurate data which is important for the study. Any inaccurate data provided will

result in false interpretation of results.

Depression- as I dint have much knowledge about derivative market and otherproducts of sharekhan in the beginning I was depressed if I could really carry out the

project.

Acceptance- the other alternative were found and accepted to continue with the studywith personal change.

MODULE 2: ORGANIZATIONAL CHANGE

Reward and appraisal System- Compensation for the employees squarely linked toperformance with fixed and variable components for all levels (the fixed to variable

ratio varies for each level). Performance is regularly monitored through sharekhan

Performance Review and Development Plan (PRDP), which is applicable for all

levels. This unique tool tracks performance on various competencies and

developmental milestones. The Circle of Champions has been specifically created to

provide employees with a continuous platform to pursue higher and higher levels of

excellence. It has had a considerable impact on employee retention .Special unique

identification has been designed for each level along with training and learning

opportunities to enhance performance and growth. The Circle of Champions helps

employees put their careers on the fast track and lets them bring their aspirations and

dreams to fruition.

Managerial options for managing change

The company promotes democratic leadership style which emphasizes on sharing ofresponsibility; delegation of tasks to other employees and subordinates along with full

responsibility makes them accountable for their actions and tasks. The manager or

leader in-charge is always open to feedback (initiatives and otherwise) and it forms

the basis of future assignments. There is Encouragement by the leader to inspire the

employees to become leaders and develop in their respective areas. The manager

seeks consultation on all issues and decisions but remains the final authority on which


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ones to be put into use. Every day a teleconference takes place between the head from

main office and the heads from all branches of sharekhan.

A positive work environment is created. This means that a culture of junior workersgetting a fair amount of responsibility and challenges is encouraged. When there are

the right vibes among employees, work becomes more pleasurable. Office politics

that can threaten the growth and development of a working environment can be

reduced with the help of a democratic style of leadership. All the people involved use

their skills together for the completion of a certain task and hence, almost all ideas are

taken into consideration and carefully debated and importantly the communication

gap is reduced.

Sharekhan had a major IT initiative to network all branches and move them to a

single software platform. Sharekhan chose Flexcube from Oracle Financial Services

Software as the application. The company entered into an agreement with IBM for

rolling out flexcube to over 1000 branches as part of Phase I. Over 22 million

customers are benefiting from this initiative..

Information Technology (IT) continues to be the single largest facilitating force

behind the successful transformation of transactions and analytical processing of trading

business in the country. Developments which have taken place during the last few yearsall have IT as the pivotal centre-point.

The introduction of Technology to the Sharekhan implied the commencement of a

gradual shift away from traditional paper based transaction flows to the computer technology

based banking system The introduction of online trading has resulted - as a natural offshoot -

in the computerization and networking of branches of stock broking companies in a larger

scale since these are essential pre-requisites for the implementation of online trading.

Employees' Response to the Changes

The changes themselves do not matter; what matters is the human response to these changes.

The salient findings found by Sharekhan in implementing the change / transformation from

manual system to computerized system is listed here:

Employees did not respond to changes as individuals; they responded as members of a

group. This phenomenon is perhaps peculiar to the industry where most of the employees aremembers of one organized group or another.


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Perceptions of change, as an impediment to or a facilitator of efficient customer service,

directly influenced the performance of the individual and that of the department. The

performance, in this context, was measured in terms of speedy and accurate completion of

day-to-day work. Branches where employees perceived the introduction of computerization

as an impediment to efficient customer service and smooth running of the department, the

performance was adversely affected.

The new information-based technology has changed the meaning of work, level of

satisfaction, and extent of involvement.

MODULE 3: ORGANIZATIONAL CULTURE and CHANGE

NATURE OF CULTURE IN SHAREKHAN

Attention to detail : Since it's a stock market based company, the employees are verycareful when they enter the data in books of accounts. Every minute detail is given

importance.

Team Orientation : They always work as a team and believe that working as a teamwill achieve them better results.

Supportive : All employees support one and when problems arise or when a colleagueis facing any difficulty in doing his work.

COMPONENTS OF CULTURE

Observed BehaviorCommon language, terminology when they interact. Most ofthe employees in sharekhan interacted with another in common languages like

hindi,kannada and english .


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Dominant values - The dominant values of share khan employees are honesty,sincere, truthful and helpful.

Rules - The guideline which every employees follow..Employees had to come to theorganization before 9 as the stock market begins from 9 A.M

Organizational climate - The organizational climate in Sharekhan was friendly andsupportive as there were few employees in the branch I worked.

ORGANIZATION CULTURE AT SHAREKHAN

Work culture where family concept is practiced among the employees. Receptivity to new ideas. Facilities which supports growth. Record cordial Industrial Relations.

Culture at sharekhan is mechanistic, dominant, strong and participative.

MODULE 4:CREATIVITY AND INNOVATION

CREATIVITY

Creativity is defined as the tendency to generate or recognize ideas, alternatives, or

possibilities that may be useful in solving problems, communicating with others, and

entertaining ourselves and others.

need for novel, varied, and complex stimulation need to communicate ideas and values need to solve problems

At sharekhan the scope for creativity is mediocre. The bank was one among the stock broking

companies who adopted automation with ease.


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Sharekhan is a company with a progressive technology vision. They have long recognized the

vital role innovation plays in bringing safer, better and increasingly valuable technologies to

benefit our customers. They believe in Open Innovation where new technologies, ideas and

products from within and outside are constantly explored, evaluated and wherever found

suitable, adopted and implemented. The Not Invented Here syndrome is unknown to us!

They believe that the best ideas can come from anywhere and the challenge is in developing

value-creating and mutually rewarding partnerships to bring the innovations to the market.

These attributes have helped the company earn the trust of partners and investors over many

years of continuous and growing relationships. They bring solid market knowledge and

entrepreneurial zeal to take innovative technologies to market and have globally admired

knowledge training programs to disseminate the benefits of such innovative technologies

across the investors.These unique attributes helped sharekhan achieve the coveted MAKE

(Most Admired Knowledge Enterprise) award for several years in a row.

Share Khan, the retail broking arm of SSKI Group and one of the largest stock brokinghouses in the country, has won the prestigious Awaaz Consumer Vote Awards 2005 for the

Most Preferred Stock Broking Brand in India, in the Investment Advisors category. This was

Indias largest Customer Study initiated by CNBC Awaaz and conducted by AC Nielson

covering 7000 respondents, 21 products and services across 21 major cities.

India internet World 2010 for the Best Finance site. Share Khans online trading and investment site www.Share Khan.com was launched in

2000. Share Khans ground network includes over 250 centers across 123 cities in India and

having around 120000 customers and an equal number of demat customers.

The reasons behind the preferences for brands were unveiled by examining thefollowing:

Tangible features of product / service Softer, intangible features like imagery, equity driving preference Tactical measures such as promotional / pricing schemes


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MODULE 5: KNOWLEDGE MANAGEMENT

INTRODUCTION

KM is Process of capturing and making use of a firms collective expertise anywhere in the

business. Companies rely on the knowledge gained by them over the years to enhance their

present and future. Stock market is one such industry where knowledge is of prime

importance. Companies rely on their years of experience with livestocks, with customers and

try to build on that.

Knowledge Management at sharekhan has evolved through the ages. With a history of so

many years of existence the company has involved itself in various knowledge management

activities. The company aims at maintaining a good knowledge base for all it functions and

activities.

Share Khan follows clearly well-defined knowledge system from the past years management

information system is identifying the problems in between the departments and managing the

problem with interrelated processes. It contributes to the organizations effectiveness and

efficiency in achieving its objectives.

The company is following high-tech system to measure the quality, all the departments are

computerized which facilitate interaction between different departments.

The system department provides the necessary technical supports for screen based trading and

the computerized functioning of all other departments. The various activities of system

department include.

Developments of various software needed for the functioning of the company. Maintenance of multiple software, which provides online trading with NSE and BSE.

The major back office system softwares used are NESS and BOSS for NSE and BSE trades

calculations respectively. This softwares are developed in house by Share Khan and these

softwares are used to maintain the entire records of all the trades that occur each day. It also

does all the required calculations for deductions and also creates all kinds of reports needed by

the brokers and their clients.


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A good & Specialized knowledge about the products of insurance High level of specialization in communication Ability to convert the person into customers.

MODULE 6: ESSENTIALS OF KNOWLEDGE MANAGEMENT

Knowledge management as we know is efficient utilization of the companys inherited dataand information. This information can be collected from customers, business research or any

other sources. Employees also act as a potential source of knowledge. Their experiences,

encounters/interaction with customers, meetings, and brainstorm sessions can all act as a

efficient knowledge source which can be stored as a repository can utilized by the fellow

team members.

.

Figure 1: Knowledge Creation Process


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Company has following practices for Knowledge Acquisition which are outcome of years of

experience:

1. Protocol Analysis: Experienced workers at sharekhan have identified the efficientmanagement system of trading .They have used their past experiences in identifying

the potential investors .

2. Trading is very delicate owing to the fact that a little error in pricing can spoil thewhole lot. Based on the day-to-day management, company is able to come up with a

standard set of procedures.

3. Employee recruitment and training is another important aspect in stock brokingcompanies because the work schedules will be hectic at certain times. Companys top

management has defined a set of job roles and communicated the same to the

employees.


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MODULE 7: KNOWLEDGE MANAGEMENT SYSTEM LIFE CYCLE

A Knowledge Management System is an application that collects, stores, and makes

information available among individuals in an organization.

KM system development life cycle is largely composed of 8 stages

Evaluate existing infrastructure Form the KM team Knowledge capture Design KM blueprint (master plan) Test the KM system Implement the KM system Manage change and reward structure Post-system evaluation

Knowledge workers are an asset to the organization. Their inputs, observations, keynotes act

as a source of guidance for the other employees.

They help in transforming business through capturing, assessing, applying, sharing, and

disseminating it within the organization to solve specific problems or to create value.

In sharekhan also, there were employees who could be considered as knowledge workers.

These were the employees who had years of experience in trading who were well versed with

the practices in trading in different markets. They had an attitude of sharing their knowledge

with others.

Such workers had a clear understanding of the business and trained new employees. These

employees had a long standing relationship with the company and they were willing to

continue their services for long.

Listing the core competencies identified we find that such employees exhibited:

1. Thinking skillsunderstanding the companys business and refining it.2. Continuous learningleaning new skills as needed and applying them.


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3. Innovative teams and teamworktimely decisions, using experience for disastermanagement.

4. Innovation and creativitydreaming new ways to advance the firm and findingways to increase profitability of the company.

5. Culture of responsibility toward knowledgeloyalty and commitment to onesmanager or leader. Some employees have stayed with the company for more than 20

years. Such employeesare true example of loyalty.


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MODULE 8: FUTURISTIC KM

In todays global economy, capital moves speedily, technology spreads quickly and

goods can be made in low cost countries and shipped to developed markets. Managing

knowledge in such aphase of continuous change is an imperative function for smart

organizations. Amalgamation of different technologies is indispensable to carry out

various tasks of a learning organization, yet these technologies show inadequacy for

building knowledge networks and communities of practices within such organizations.

Knowledge Management for the future organizations has many implications and impacts

on the way our existing educational, socio-cultural, economical, religious, governmental

processes work. We need to work on the technologies of knowledge creation in addition

to managing it. Many connectivity, document management, concepts management,

project management, employees portals and so called knowledge management tools and

techniques are available. Ontology is another wonderful technique which is probably the

ultimate choice for managing knowledge in virtually all possible environments.

Community computing, community networking, collaborative work, digital meeting

places, electronic education, social informatics, spatial information processing, virtual

communities, visualization can be few typical means of managing knowledge in

organizations. But an effort to manage knowledge can only be successful if we can work

and rethink the ways by which knowledge is generated and created. This does not

necessarily means the classical knowledge engineering techniques that are described from

Artificial Intelligence standpoint. Strategic view of Knowledge Management considers

the synergy between technological and human issues necessary for organizational


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survival. This synergy is based on the distinction between the 'old world of business' and

the 'Global Knowledge Networking'. Technological infrastructures.

1. Technology for development: a good KM system can be developed at a lesser cost.This is because of the fall in price of software development. Large number of

companies is therefore adopting KM systems.

2. Technology for knowledge capture: Companies find that it is easier than ever tocapture knowledge from its employees and other sources. Hence, this is the major

factor for growing interest of companies towards KMS development. sharekhan also

finds that knowledge delivered by their experts has profound effects on present and

future operations.

3. Strategic view of KM: Synergy between technological and human issues necessaryfor organizational survival. Sharekhan has therefore tried to bank upon this approach

and will use the knowledge to expand its present and future business options.


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CONCLUSION

There have been tremendous growth and diversification in sharekhan s activities over the last

one-and-a half decades. Development of a sound and adequate information system has

become a necessity to meet the challenges of growth and diversification.

Online trading is changing the stock market trading practices and sharekhan in

particular and is having the major effects on trading. Investing in stocks or trading activities .

In true online trading, any inquiry or transaction is processed online without any reference to

the branch at any time.

Providing online trading is increasingly becoming a "need to have" than a "nice to have"

service. The online services, thus, now is more of a norm rather than an exception in many

developed countries due to the fact that it is the cheapest way of providing services.

In this digital age, companies depend upon the technologies to provide customer-centric

solutions by understanding well about their customers' behaviour and continuously improving

business process of the organization. Knowledge Management (KM) will enhance the

companies performance by providing collaborative tools to learn, create and share the

knowledge among the employees. The main intention of the KM is to enhance the employees'

knowledge with information that allows them to make decisions to achieve its organizational

strategies. However only twenty percent of data exist in structured form, majority of

companies knowledge is in unstructured or minds of its employees. Organizations are needed

to integrate KM with Knowledge which is discovered from data and information.

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Ckm Termpaper Chai