Forum Views - July 2023
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BOMBAY STOCK EXCHANGE BROKERS' FORUM (BBF) | MUMBAI, INDIA
JULY 2023 | VOLUME: 12 • ISSUE NO. 4 •
DR. ROGER
MOSER
ALEXANDER
BRUNNER
SEGUN
COLE
AVNEET
KOHLI
RICHA
PATIL
TARUNA
AGGARWAL
AVINASH
SHERE
DEVEN
PADHYA
DR. PRASAD
KAPRE
PRAGGATTI
RAO
NISHA
ANAND
SONIA
PARDESI
•
•
• AI and Skill Development in India • The Impact of Learning (& Unlearning) on your Organization’s Growth?
• Principles for Optimal Hydration
Cyber Liability for Stockbrokers • SEBI Informal Guidance Scheme Importance of Credit Score in the Indian Lending Industry
&more
INSIDE
• Decision Intelligence Cube
• Pioneering Swiss Digital Asset
Custody • Rise of African Unicorns
• Unleashing the Economic Potential of Women
in Business • World of Augmented Reality (AR) and
Virtual Reality (VR) • Well-being Coaching • CUSPA
Transactions by TM / CM • Retirement Fund
Management • Diamond World • Psychology of
Errors in our Thinking • Inspiring Greatness
through Empathy and Collaboration
• Emotionally Intelligent or
Intelligently Emotional?
FORUM VIEWS - JULY 2023
EXECUTIVE COMMITTEE
GOVERNING BOARD MEMBERS
BOMBAY STOCK EXCHANGE BROKERS’ FORUM (BBF)
GOVERNING BOARD 2022 - 23
Anup Gupta
Sykes & Ray
Equities India Ltd.
Cyrus Khambata
Paytm
Money Ltd.
Madhavi Vora
ULJK Securities
Pvt. Ltd.
Naresh Rana
Vishwas Fincap
Services Pvt. Ltd.
Neeraj Choksi
NJ India
Invest Pvt. Ltd.
Nirav Gandhi
JM Financial
Services Ltd.
Nithin Kamath
Zerodha
Securities Pvt. Ltd.
Ajit Sanghvi
MSS Securities
Pvt. Ltd.
Parth Nyati
Swastika
Investmart Ltd.
S. P. Toshniwal
Sunlight
Broking LLP
HEMANT MAJETHIA
Vice Chairman | BBF
Ventura
Securities Ltd.
LALIT MUNDRA
Chairman | BBF
Suresh Rathi
Securities Pvt. Ltd.
HARIN MEHTA
Treasurer | BBF
M/S. V. C.
Mehta
KUSHAL A. SHAH
Jt. Secretary | BBF
Ratnakar
Securities Pvt. Ltd.
KISHOR KANSAGRA
Secretary | BBF
Pragya
Securities Pvt. Ltd.
Anurag Bansal
SMC Global
Securities Ltd.
Ashish Rathi
HDFC
Securities Ltd.
Dr. Pravin Bathe
Angel One Ltd.
Purav Fozdar
Axiom Share
Broking Pvt. Ltd.
Vivek Gupta
GEPL Capital
Pvt. Ltd.
Virender Mansukhani
Mansukh Securities
and Finance Ltd.
Uttam Bagri
BCB Brokerage
Pvt. Ltd.
Tejas Khoday
Fyers Securities
Pvt. Ltd.
Saurabh Jain
SSJ Finance &
Securities Pvt. Ltd.
Roopkishor Bhootra
Anand Rathi Shares &
Stock Brokers Ltd.
Santosh Jayaram
GROWW
FORUM VIEWS - JULY 2023
Dr. Vispi Rusi Bhathena, PhD (h.c.)
Chief Executive Officer
Dr. V. Aditya Srinivas
Chief Operating Officer
and Chief Economist
FORUM VIEWS, JULY 2023 edition
Indian economy emerging strong on all fronts
The Indian macro-economic data seems to be becoming stronger. The GDP which has come to 6.1%
for Q4 which was 4.4% in Q3 has been a quite cheer; and the whole year GDP is at 7.2% which was
much better than expected. This means that the broad economy is on the path to recovery and
becoming stronger.
FROM
THE
BBF SECRETARIAT
Inflation CPI data is at 4.70% which earlier was at 5.66%. This is below the RBI mark of 6% which has
given RBI room to put the Repo Rate hike at pause. RBI for the second consecutive time has kept the
Repo rate constant at 6.5%, but has cautioned that it needs to watch the monsoon since El Nino may
cause less rainfall.
The Foreign Institutional Investors (FIIs) have been steadily putting money into the markets and have
invested Rs. 42,684 crores till date in 2023 and the Mutual Funds have invested Rs. 55000 crores. The
return of FIIs have ensured that the markets are slowly rising to the all-time high levels and the mutual
fund SIP flows of Rs. 14,000 crores show the confidence of the retail investors in the Indian economy and
growth story.
The global economies are also taking time to adjust to the high interest rate scenario as the interest
rates in US, Europe and UK have reached the terminal level. The inflation in the developed economies
once starts coming down then the rate cut cycle may also start sooner or later this year.
From
to You...
BBF
FORUM VIEWS - JULY 2023
BBF conducted OVER 30 SEMINARS towards investor education and awareness
initiatives which were attended by MORE THAN 1600 participants.
BBF presence at the SEBI@35: Reflect, Review & Renew meeting held on Wednesday, 31-May 2023 at SEBI, Mumbai
FORUM VIEWS - JULY 2023
Disclaimer: This magazine is meant for information purposes only and does not constitute any opinion or guidelines or recommendation on any course of action to be followed by the reader(s). It is not intended to be used as trading or
investment advice by anybody and should not in any way be treated as a recommendation. The information contained in this magazine does not constitute or form part of and should not be construed as, any offer for purchase or sale of
any product or service. While the information in the magazine has been compiled from sources believed to be reliable and in good faith, readers may note that the contents thereof including text, graphics, links or other items are
provided without warranties of any kind. Bombay Stock Exchange Brokers' Forum (BBF) expressly disclaims any warranty as to the accuracy, correctness, reliability, timeliness, merchantability or fitness for any particular purpose, of
this magazine. Bombay Stock Exchange Brokers' Forum (BBF) shall also not be liable for any damage or loss of any kind, howsoever caused as a result (direct or indirect) of the use of the information or data contained in this magazine.
Any alteration, transmission, photocopied distribution in part or in whole or reproduction of any form of this magazine or any part thereof without prior consent of Bombay Stock Exchange Brokers' Forum (BBF) is prohibited.
Concept, production and editorial: Dr. VISPI RUSI BHATHENA, PhD (h.c.)
Editor: Dr. V. ADITYA SRINIVAS
Design & Layout: HARSHAD GAJERA
Printer: KSHITIJ PRINTERS, 49, Parsi Panchayat Road, Ashok Ind. Estate, 1st Floor,
Andheri (East), Mumbai - 400 069
Write to us: We would be happy to hear from you! Do send in your suggestions, feedback and comments
via email to team@brokersforumofindia.com | Visit us: www.brokersforumofindia.com
BBF Steering Committee
(Chairman)
(Vice-Chairman)
(Secretary)
(Treasurer)
(Jt. Secretary)
Lalit Mundra
Hemant Majethia
Kishor Kansagra
Harin Mehta
Kushal A. Shah
Follow us on:
@bbfindia
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/bbfindia
FORUM VIEWS - JULY 2023
08
Global
Insights
BETTER PERFORMANCE WITH THE
DECISION INTELLIGENCE CUBE
25
Your
Questions
Answered
CUSPA TRANSACTIONS BY TM / CM
PIONEERING SWISS DIGITAL
ASSET CUSTODY
THE RISE OF AFRICAN UNICORNS:
EXPLORING AFRICA'S THRIVING
STARTUP ECOSYSTEM AND ITS
GLOBAL IMPACT
UNLEASHING THE ECONOMIC
POTENTIAL OF WOMEN IN
BUSINESS: A PATH TO
PROFITABILITY
AN EXPLAINER ON APPLE
VISION PRO: COST-BENEFIT
ANALYSIS AND THE FUTURE OF VR
WELL-BEING COACHING: THE KEY
TO AN EFFECTIVE WORKFORCE
THE IMPACT OF LEARNING
(& UNLEARNING) ON YOUR
ORGANIZATION’S GROWTH?
CYBER LIABILITY
FOR STOCKBROKERS
GUIDING THROUGH UNCERTAINTY:
SEBI INFORMAL GUIDENCE SCHEME
IFSC FUND (SERIES 12)
32 Insights
THE IMPORTANCE OF
CREDIT SCORE IN THE
INDIAN LENDING INDUSTRY
FROM PASSIVE TO ACTIVE:
THE NEED OF THE HOUR
IN RETIREMENT
FUND MANAGEMENT
COMPLIANCE CALENDAR
47
Regulatory
Compliance
THE PROBLEM WITH OUR THINKING - THE PSYCHOLOGY
OF ERRORS IN OUR THINKING
HUMBLE LEADERSHIP: INSPIRING GREATNESS THROUGH
EMPATHY AND COLLABORATION
ARE YOU EMOTIONALLY INTELLIGENT
OR INTELLIGENTLY EMOTIONAL?
ENHANCING WELL-BEING AND PERFORMANCE:
AYURVEDIC PRINCIPLES FOR OPTIMAL HYDRATION
SPIRULINA - THE GREEN MARVEL
Leadership,
Empowerment & Lifestyle
48
60
Living
Health
Matters
DEEP BRAIN STIMULATION (DBS)
IMPROVES SYMPTOMS OF ADVANCED
PARKINSON’S DISEASE - HELPS PATIENTS
REGAIN QUALITY OF LIFE
36 Feature
ROCKS THAT’S ROCKING
THE DIAMOND WORLD!
AI AND SKILL DEVELOPMENT
IN INDIA: AN OVERVIEW
CONTRACT OF PLEDGE
UNDER INDIAN CONTRACT ACT
FORUM VIEWS - JULY 2023
Global
FORUM VIEWS - JULY 2023
Decisions: The obvious yet mostly neglected performance
indicator
In today's fast-paced und often highly uncertain business
environment, making effective decisions is crucial for leaders
and their companies to stay competitive. More than a decade
ago, a study by Bain among 800 international companies
showed that the quality of decisions of executives and their
companies' financial results correlate at a 95per cent
confidence level for every country, industry and company size
they studied. What is interesting for any investor is that the
top-quintile companies with respect to the quality of their
decision-making generated on average total shareholder
returns nearly 6 percentage points higher than those of other
companies.
Consequently, financial investors are well-advised that when
they analyze the reorganization plans of CEOs and their
companies, they put much more focus on whether these plans
enable optimal decision-making processes rather than their
impact on classic organizational structures along products or
markets. Since Bain’s original study, more research has
confirmed that any organizational structure or reorganization
can be completely dysfunctional if it is not aligned with the
required decision-making processes on operational, tactical
and strategic levels. But how can you assess a company’s
professional approach to decision-making?
Solid decision-making is a complex process influenced by
various factors, including high-quality information, human
biases, different opinions, and the need for consensus among
decision-makers. Organizations are increasingly turning to the
concept of Decision Intelligence (DI) to navigate these
challenges and improve decision outcomes.
In short, Decision Intelligence is a holistic approach to
decision-making that combines human judgment, big data
analysis, and technological advancements. Companies like
Google, IBM, Deloitte, Cognizant or SatSure recognize the
significance of DI and have incorporated it into their operations
and the solutions for their clients. SatSure, for example,
leverages ‘Decision Intelligence from Space’ to support banks
in India along the entire agriculture loan cycle for farmers or the
planning and financing of infrastructure projects.
Decision Intelligence: The new boy/girl in town
Insights
BETTER PERFORMANCE
WITH THE DECISION INTELLIGENCE CUBE
Dr. Roger Moser
Chairman,
SatSure
Senior Lecturer
Macquarie University
In addition, Gartner Group has recently identified Decision
Intelligence to be at the Innovation Trigger of the Hype Cycle
for Emerging Technologies in Finance. For Gartner, DI is a
practical discipline used to improve decision-making by
explicitly understanding and engineering how decisions are
made, and how outcomes are evaluated, managed and
improved via feedback.
The Decision Intelligence Cube (DI-Cube) is a work-in-progress
concept that we at SatSure have developed when helping
executives and companies to analyze their decision-making
behaviour, attitude, and structures (Exhibit 1). The DI-Cube
consists of three dimensions to understand a company’s
decision-making from a holistic view:
Understanding the decision-making approach of a
company from a holistic perspective: The Decision
Intelligence Cube
Solid decision-making is a complex
process influenced by various factors,
including high-quality information,
human biases, different opinions, and
the need for consensus among
decision-makers. Organizations are
increasingly turning to the concept of
Decision Intelligence (DI) to navigate
these challenges and improve decision
outcomes.
(Sydney, New South Wales, Australia)
FORUM VIEWS - JULY 2023
The y-axis of the DI-CUBE is probably the most
underestimated aspect of successful decision-making. Based
on my experience working with executives and several
research projects, I believe that this aspect is currently the
most underrated factor of good decision-making at companies
because you can neither just buy a piece of software and
automate it nor do executives often invest the time it requires
to deal with it.
• Are structures & processes in place that allow for
identifying dissent among stakeholders regarding relevant
facts and assumptions / the interpretation of the
intelligence gathered? Are they effective?
• Are structures & processes in place to deal with dissent
and increase the level of consensus among the relevant
stakeholders of a decision? Are they effective?
• Are principles established that help decision-makers to
decide when to ‘ignore’ disagreement among the
stakeholders of a decision? Are they accepted?
Finally, the z-axis is probably the most difficult to evaluate and
change. It covers assessing how executives or organizations
prioritize the relevant facts and essential assumptions to base
their decisions on and how they deal with dissent within or
outside the organization.
What does this mean? Well, there are some decisions where
you don't require any dissent assessment because the
required facts & figures or assumptions that matter are well
accepted by all major stakeholders (e.g., criteria to evaluate a
customer along a KYC process etc.). These kinds of decisions
can be made based on rational assessments with no cognitive
preferences (biases).
Possible Assessment Questions:
Z-Axis (PREFERENCE Dimension):
Exhibit 1: Decision Intelligence CUBE
X-Axis (INTELLIGENCE Dimension):
Possible Assessment Questions:
Y-Axis (DISSENT Dimension):
When analyzing an executive's or an organization's decision-
making behaviour and structures, we first assess how facts
are gathered, assumptions are developed, and uncertainty is
dealt with. In our experience, many companies are today well
organized to gather facts & figures but have no consistent
approach to develop and test assumptions, let alone
established intelligence acquisition processes when dealing
with uncertainty. Based on this assessment, we then identify
opportunities to improve a company's intelligence-gathering
processes when preparing decisions.
• Are our decision-makers framework-proficient enough to
select the right frameworks and models?
• Do we invest in the right technologies to gather and
process intelligence?
• How do we develop assumptions about future
developments, and can we identify those developments
that genuinely affect our company's business model?
• Are we able to think in alternative business context
scenarios?
• Do we have principles in place when we face true
uncertainty?
Once we understand how executives or organizations gather
the intelligence they need, the next important dimension is
how they deal with DISSENT among executives along the
decision-making process. Dissent can happen with respect to
different conclusions from the intelligence gathered or what
kind of facts or assumptions are essential to decide in the first
place.
Source: Roger Moser
10
FORUM VIEWS - JULY 2023
Then there are many decisions where executives are actually
paid well to bring their interpretation of facts or conclusions
from assumptions to the table to finally make a call. These
kinds of decisions are based on the expertise, experience and
human creativity of executives (i.e., their cognitive diversity).
This is where we want informed opinions to avoid undesired
cognitive biases.
• What kind of structures & processes are in place to prevent
unwanted cognitive biases?
• Does the leadership have specific values or beliefs that
prevent selected decisions from being questioned by
stakeholders? Are these decisions likely to affect the
performance of the company?
Obviously, each of these three dimensions requires a much
more detailed assessment than what I have been able to offer
here, but my experience shows that these three dimensions
cover about 80% of what can go wrong along a well-designed
decision process - at the individual or organizational level.
Most importantly, the DI-Cube highlights that it is not only the
(big) data perspective (INTELLIGENCE dimension) that
matters (and where most of the current management or
investor attention goes to) but also how executives deal with
DISSENT, how they reflect on their IDEOLOGIES and how these
dimensions affect the quality of their decision processes.
In sum, Decision Intelligence as an approach and the DI-Cube
as a framework offer organizations a structured approach to
better decision-making, considering various factors such as
advanced technologies when gathering intelligence,
organizational behaviour when dealing with dissent, and
insights from neuroscience when fighting cognitive biases.
While data-driven approaches have been in focus for a while
and cognitive biases are often discussed in the context of
diversity & inclusion, investors and executives should pay
more attention to how organizations create consensus and
embrace dissent along the decision process. It empowers
organizations to navigate complexity, reduce biases, and
make more informed decisions contributing to their long-term
growth and financial prosperity.
Good decision-making isn't only about data. It's about
dealing with dissent and cognitive biases
Finally, some decisions are neither based on rational
assessments nor informed opinions but on different levels of
ideology. This kind of decision-making is very difficult to
change because it is strongly connected to the beliefs and
(cultural/personal) values of decision-makers. Such an
approach can be part of an organization's DNA (e.g., the
Catholic church) or the mission statement of a company (e.g.,
there is a large retailer in Switzerland which doesn't sell
alcohol in their shops based on the founder's 'mission
statement' - although it would be very profitable, and all
competitors are doing it). However, too much ideology can
negatively affect an organization's efforts to invest in the
gathering of facts or the development of reasonable and solid
assumptions as a basis for decision-making (i.e.,it negatively
affects the INTELLIGENCE dimension). The same logic applies
to such an organization's ability to deal with dissent (i.e.,it
negatively affects the DISSENT dimension).
• Is the leadership clear about what level and kind of biases
are acceptable to influence their organization’s decision-
making?
Possible Assessment Questions:
Dr. Roger Moser, a Swiss national living in Australia, serves as faculty at
Macquarie University, Australia, University of St.Gallen, Switzerland, and the
Indian Institute of Management in Udaipur. Dr. Moser also serves as Chairman of
the Board of Directors of SatSure AG - a Decision Intelligence from Space
Providerheadquartered in Bangalore. SatSure leverage advances in satellite
remote sensing, machine learning, big data analytics and cloud computing to
create products and solutions which help enterprises, including Indian banks and
infrastructure companies, and their people to make smarter decisions.
He is also a thought leader in Decision Intelligence and coaches executives in
improving their impact and performance through a combination of the latest
insights from managerial, social, natural and neuro-science. In the past, Dr.
Moser established the BMW-Endowed Chair at China-Europe International
Business School in Shanghai, China, and the Airbus-Endowed Chair at IIM
Bangalore. He also supported other MNCs such as Daimler Trucks in developing
their future business models in new market and technology developments.
Besides numerous academic publications, he is regularly publishing about
Decision Intelligence in his LinkedIn newsletter “Decision Model Innovation”.
1. https://www.bain.com/insights/decision-insights-1-score-your-organization/
2. https://www.gartner.com/en/newsroom/press-releases/2022-11-28-gartner-
releases-first-hype-cycle-for-emerging-technologies-in-finance
Decision Intelligence as an
approach and the DI-Cube as
a framework offer
organizations a structured
approach to better decision-
making, considering various
factors such as advanced
technologies when gathering
intelligence, organizational
behaviour when dealing with
dissent, and insights from
neuroscience when fighting
cognitive biases.
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