Trillion dollar “Sarkari” logos!

The Government of India has a virtual treasure chest in them. Not all may be aesthetically appealing but from a visual index, recognition and recall perspective these logos would be together worth trillions of dollars if not more. At least notionally. Any private enterprise will trade in an arm and a leg for such instant visual recognition and recall and will count it as its most important valuation component. There are ways even our government could extricate at least some real value out of this huge notional value. It would more than cover the costs of many an essential services I am sure !!!

I am compiling a list that I feel make up the top 15. These are all commercial ventures of the government with some B2C connect. They do not include logos of non-commercial enterprises like police, defense services, public services etc. and not even co-operatives like Amul etc.

 

1: Indian Railways

25 Million eyeballs a day! Phew!!

2: State Bank of India (SBI)

 Twenty thousand branches (including associate banks and over 1 Lakhs ATM’s. This logo MEANS a bank!

3: India Post

6 Lakh Villages 2 Lakh Post offices. Not to forget “Dakiya Daak Laaya” Still can rule in the era of email and mobile

4: Life Insurance Corporation (LIC)

1.5 million individual agents, 50 Crore policyholders, 3000 offices, how many eyeballs?

5: Air India

Global Flagship. The only logo touched repeatedly by designers and screwed up! I liked the Maharaja and the Unicorn. Hope they leave these brands alone now!

6:All India Radio (Akashvani)

The audio nemonic ruling the auditory since 1930!

7: Doordarshan

How can we forget. The original still rules C&S. In fact saner than many methinks. Both, the logo and the signature audio nemonic is iconic)

    

 

 

8:Indian Oil

Wish this was seen on global racetracks. F1, Moto GP.

9: Hindustan Machine Tools (HMT)

Sad! I wish they would sell it. But I know they wouldn't. (I wish I could buy it and I know I couldn’t)

10: ISRO (Indian Space Research Organization) 

Let us hear it for them ladies and gentlemen. The only Indian logo in space

 

11: ITI (Indian Telephone Industry)

God! Let it not go the HMT way. There is just so much that can be done

12: BSNL

13: Nirodh

The original family planning & Aids prevention pioneer from Hindustan Latex

14: OFB Ordinance factory

Can turn out to be a great brand in the current context. AK, Howitzer...?

15: FCIL (Fertiliser Corporation Of India)

City slickers may not recognize but a big logo for

rural India

Employees are assets but not in the balance sheet!

Isn’t it one of the most cliched statements that you’ve come across? “Employees are our biggest assets…” booms the speaker.  And the bombastic claim is broadcast from every corner of the business world. From glitzy AGM podiums to polished hickory boardrooms, from canteen town halls to annual incentive gigs. OK. So if they really are, then why aren’t they considered worthy of the balance sheet damn it? Under some “asset” class? Any asset class? Some teeny-weeny special category? After all there are many. Current, tangible, intangible…

Personally I find this statement icky and hypocritical. We term employees as “assets” profess to “invest” in them, come up with neologisms like human “capital” and routinely post pontificating quotes on social media that “rich dividends” will accrue from this capital if we get it right. Yet we never question why employees never make it to the balance sheet. We meekly agree to the finance departments “technical foul” argument without even questioning the logic. And what makes it even more irritatingly supercilious is the ease with which the “manpower account head” slithers into the P&L account. And that too on the expense side! Why?!

I thought of putting to accounting test this “employee an asset” claim in my own small company. I inquired of my CA if I could technically manifest this in our final accounts by capitalizing (at least in part) the manpower cost. I really wanted to. Just to test the principle if nothing else. Even accounting wise it seemed to make sense from a depreciation & interest point of view. Ludicrous looks aside, I was brusquely told that the gods of accounting had ruled on the matter & I’d better tow the line & not try anything funny lest I dared to invite the wrath of the IT authorities (On a lighter note; is the CA institute Chitragupt and IT department Yamraj in matters like these? Oops. Politically incorrect! Fingers crossed for next assessment year J)

But getting back. I asked a few of my CA friends for a logical explanation. I got replies but none the most convincing. Samplers:

·      “We are busy. The filing deadline just got over. Will revert”:  Okay I am smart. Dismissiveness I can sense

·      “That's the institute guideline. Period”: And thou shalt bow to thee

·      “It's a recurring expense”: So? Same applies to software licenses. And they are intangible assets

·      “Advertising gives long term results” (when I asked about advertising being capitalized partly): And employees? What do they give in the long-term?

·      “You require an invoice” (this was funny): So why not treat them as consultants and ask them to raise a service tax invoice? Even rids you of payroll hassles

·      “But assets depreciate over time”: Well so do humans. We all do 

·      “But you own assets & you can sell them. You don't own employees and you surely can't sell them” (this I found held at least some water): But then how do leagues clubs treat sportsmen? May be there is some best practice there?

But the point is not about technical hairsplitting. My problem is with the hypocrisy of it all. I don't have a problem if the statement was “Employees are our most important expense”!

And finally, the best was from a close accountant friend. “Don't you have anything better to do than to bug me? Let me buy you a drink”

But come on HR guys. Time for your fraternity to take up the cudgels on behalf of the employees and at least wave it at the finance chaps. Even if only for the principle of it all…