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Section I
Ans 1: Regulatory state, a state pursuing an economic policy privileging the regulation of
market exchanges over direct intervention.
The notion of the regulatory state suggests that the role of the state in both the economy and
society is shifting from positive intervention to arms-length regulation and arbitration,
particularly in advanced industrial economies. The supposed rise of the regulatory state has thus
both a policy and an institutional dimension. It signals a formal end of Keynesian demand
management as the dominant economic policy paradigm and highlights the creation of new
administrative tools to steer market dynamics.
At the beginning of the 21st century, across the advanced economies, governments were relying
less on direct economic intervention through fiscal and monetary tools and increasingly on
arms-length regulation to stimulate competition and ensure the provision of social goods.
Likewise, they had withdrawn from directly running companies in fields such as transportation,
telecommunications, and utilities. In these newly liberalized sectors, the role of government
became one of a neutral watchdog that ensures competition and, where necessary, social
protection. What happened was not a sweeping deregulation but rather a complex reregulation
associated with a redefinition of the states role in the economy.
The process of delegating regulatory authority gained widespread appeal with the New Deal
(193339) in the United States, and it picked up considerable speed in the 1980s and 90s. In
constructing the regulatory state, governments developed a set of agencies, commissions, and
special courts that develop, monitor, and enforce market rules and that increasingly shape policy
at home and abroad. Regulatory agencies could set the policy agenda, specify regulatory statutes,
and punish noncompliance. The formal and informal resources delegated and available to these
institutions affected the states capacity to shape political outcomes. Increasingly, these
institutions took advantage of their domestic autonomy to work with their foreign counterparts,
spearheading a new form of global governance rooted in trans-governmental networks.
Although the regulatory state was often heralded as a fast and flexible alternative to the
cumbersome and overly bureaucratic strategies of a previous era, its emergence raised several
important questions about democratic governance and accountability. Unlike Keynesian policies
that were generally proposed and adopted by elected executives and legislatures, market rules
were increasingly developed and implemented by unelected technocrats. To advocates, this mode
of economic governance took the politics out of market regulation, and, to skeptics, this is
precisely the problem. Whereas the independence granted to new regulatory institutions was
supposed to buffer them from capture by political and business interests, it also threatened to
isolate them from direct democratic control. This dynamic was most pronounced at the
international level, where projects suffered from a legitimacy deficit that many analysts
attributed to the democratic deficit of arms-length regulatory institutions.

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Ans 4: Governance is the concept of recent exposure to designate the efficiency, quality and
good guidance of the intervention of the State. It defines a new form of government in the
globalization. I have defined some of the Important types of governance which are as below.

Democratic Governance
Democratic governance beyond the issues of institutions and forms of government. It covers the
social coordination mechanisms involved in political action and therefore relies on two
assumptions.
On the one hand, governance is not a set of rules or an activity but a process. It refers to the
decision making process within all groups in the social, political, economic or private.
Governance aims, secondly, to facilitate participation in the definition of public policies, their
implementation by multiple players who have neither the same interests nor the same modes of
regulation: States, devolved administrations, enterprises, associations of people.
This approach to democratic governance is a proposal to rebuild the state and its relations with
society.
Economic And Financial Governance
The economic and financial governance is an essential prerequisite for promoting economic
growth and reduce poverty.
The main objectives of economic and financial governance are:
Promote macroeconomic policies that contribute to sustainable development;
Implement economic policies are transparent, predictable and credible;
Promote sound financial management;
Fight against corruption and money laundering;
Accelerate regional integration by promoting the harmonization of monetary, trade and
investment between states.
e-Governance Services
The e-governance and e-governance services is a holistic concept that defines and assesses the
impact that information technology and communication have on government practices and

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relations between government and society as a whole. The e-governance not only supports
improved access to information and political processes but also an approach called participatory
fundamentally change the relationship between government and society.
The concept of e-governance can be understood in a broad sense as a kind of superstructure,
which covers the use of electronic technologies in three key areas of public action:
Relations between government and civil society;
The functioning of public authorities at all levels of planning;
The provision of public services.
E-governance has an indirect influence on relations between governments and their citizens,
strengthening the participation and involvement of citizens in political choices so that their rights
and duties are better understood and respected.
Corporate Governance
Corporate governance relates to moral principles, values and practices that facilitate the balance
between economic and social goals and between individual and common goals. It aims to
coordinate the interests of individuals, businesses and society as a governance structure
emphasizing the common interest as much as possible.
Environmental Governance and Natural Resources
Environmental governance refers to all processes, rules, practices and institutions that contribute
to the protection, management, conservation and exploitation of biodiversity, ecosystem and
mineral resources in their various modalities in perspective reconciling sustainable development
and poverty reduction. It also refers to the mechanisms and institutions, both formal and
informal, encompassing the norms and values, behaviors and conditions around which
organizing citizens, organizations, social movements and the various interest groups defending
their differences and exercise their rights to access and exploit natural resources.
Ans 5: The budget process in India, like in most other countries, comprises four distinct phases.
Budget formulation: the preparation of estimates of expenditure and receipts for the ensuing
financial year;
Budget enactment: approval of the proposed Budget by the Legislature through the enactment
of Finance Bill and Appropriation Bill;

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Budget execution: enforcement of the provisions in the Finance Act and Appropriation Act by
the governmentcollection of receipts and making disbursements for various services as
approved by the Legislature; and
Legislative review of budget implementation: audits of governments financial operations on
behalf of the Legislature.
Process starts August-September
In the Union government, there is a budget division in the department of economic affairs under
the Ministry of Finance. This division starts the process of formulation of the next financial
years Union budget in the months of AugustSeptember every year.
To start the process, the budget division issues an annual budget circular around the last week of
August or the first fortnight of September every year. This annual budget circular contains
detailed instructions for the Union government ministries/departments relating to the form and
content of the statement of budget estimates to be prepared by them.
Estimates, revised estimates and actuals
It must be noted that the ministries are required to provide three different kinds of figures
relating to their expenditures and receipts during this process of budget preparation. These are:
budget estimates, revised estimates and actuals. Let us consider, for instance, the case of budget
preparation in the second half of the calendar year 2011. The Union government would prepare
the budget for 2012-13 during the time period of September 2011 to February 2012. In this case,
the approval of Parliament would be sought for the estimated receipts/expenditures for 2012-13,
which would be called budget estimates.
At the same time, the Union government, in its budget for 2012-13, would also present revised
estimates for the ongoing financial year 2011-12. We may note here that the government would
not seek approval from Parliament of revised estimates of 2011-12; but, these revised estimates
would allow the government to reallocate its funds among various ministries based on the
implementation of the budget for 2011-12 during the first six months of financial year 2011-12.
Finally, ministries would also be reporting their actual receipts and expenditures for the previous
financial year 2010-11. Hence, the Union budget for 2012-13 would consist of budget estimates
for 2012-13, revised estimates for 2011-12, and actual expenditures and receipts of 2010-11.
Call to reduce deficit
In the past few years, the finance ministry has been vociferously arguing for reduction of fiscal
deficit and revenue deficit of the Union government, citing the targets set by the Fiscal
Responsibility and Budget Management Act and its rules. Hence, presently, the aspirations of the
Planning Commission and Union government ministries with regard to spending face the legal
hurdle of this Act, which has made it mandatory for the Union government to show the revenue
deficit as nil (total revenue expenditure not exceeding total revenue receipts by even a single
rupee) and the fiscal deficit as less than 3 per cent of GDP. This means new borrowing of the
government in a financial year cannot exceed 3 per cent of the countrys GDP for that year.

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Final stages
In the final stage of budget preparation, the finance minister examines the budget proposals
prepared by the ministry and makes changes in them, if required. The finance minister consults
the prime minister, and also briefs the Union Cabinet, about the budget at this stage. If there is
any conflict between any ministry and the finance ministry with regard to the budget, the matter
is supposed to be resolved by the Cabinet.
In the final stage, the budget division in the finance ministry consolidates all figures to be
presented in the budget and prepares the final budget documents. The National Informatics
Centre (NIC) helps the budget division in the process of consolidation of the budget data, which
has been fully computerised. At the end of this process, the finance minister takes the permission
of the president of India for presenting the Union budget to Parliament.
As per the Constitution, the Union budget is to be presented in the Lok Sabha on such a day as
the president may direct. By convention, Union budget has been presented in Lok Sabha by the
finance minister on the last working day of the month of February every year.
The finance minister, by convention, makes a speech while introducing the budget. The annual
financial statement is laid on the table of Rajya Sabha only after the finance minister concludes
his budget speech in Lok Sabha. The budget documents are made available to the members of
Parliament after the finance bill has been introduced in Lok Sabha, and the House has been
adjourned for the day.
It may be noted that the budget process in India lacks transparency in one aspect: while
enactment of the Budget by the legislature and the review of its implementation are reasonably
transparent, the process of budget preparation by the government is carried out behind closed
doors.
Section II
Ans 6: The systems development life cycle (SDLC), also referred to as the application
development life-cycle, is a term used in systems engineering, information systems and software
engineering to describe a process for planning, creating, testing, and deploying an information
system. The systems development life-cycle concept applies to a range of hardware and software
configurations, as a system can be composed of hardware only, software only, or a combination
of both.

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The SDLC adheres to important phases that are essential for developers, such as planning,
analysis, design, and implementation, and are explained in the section below. It includes
evaluation of present system, information gathering, feasibility study and request approval. A
number of SDLC models have been created: waterfall, fountain, spiral, build and fix, rapid
prototyping, incremental, synchronize and stabilize. The oldest of these, and the best known, is
the waterfall model: a sequence of stages in which the output of each stage becomes the input for
the next. These stages can be characterized and divided up in different ways, including the
following:
Preliminary analysis: The objective of phase 1 is to conduct a preliminary analysis, propose
alternative solutions, describe costs and benefits and submit a preliminary plan with
recommendations.

Systems design: Describes desired features and operations in detail, including screen layouts,
business rules, process diagrams, pseudocode and other documentation.
Evaluation: Some companies do not view this as an official stage of the SDLC, while others
consider it to be an extension of the maintenance stage, and may be referred to in some circles as
post-implementation review. This is where the system that was developed, as well as the entire
process, is evaluated. Some of the questions that need to be answered include: does the newly
implemented system meet the initial business requirements and objectives? Is the system reliable
and fault-tolerant? Does the system function according to the approved functional requirements?
In addition to evaluating the software that was released, it is important to assess the effectiveness
of the development process. If there are any aspects of the entire process, or certain stages, that
management is not satisfied with, this is the time to improve. Evaluation and assessment is a
difficult issue. However, the company must reflect on the process and address weaknesses.
Disposal: In this phase, plans are developed for discarding system information, hardware and
software in making the transition to a new system. The purpose here is to properly move,
archive, discard or destroy information, hardware and software that is being replaced, in a
manner that prevents any possibility of unauthorized disclosure of sensitive data. The disposal
activities ensure proper migration to a new system. Particular emphasis is given to proper

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preservation and archival of data processed by the previous system. All of this should be done in
accordance with the organization's security requirements.
System investigation
The system investigates the IT proposal. During this step, we must consider all current priorities
that would be affected and how they should be handled. Before any system planning is done, a
feasibility study should be conducted to determine if creating a new or improved system is a
viable solution. This will help to determine the costs, benefits, resource requirements, and
specific user needs required for completion. The development process can only continue once
management approves of the recommendations from the feasibility study.
Following are different components of the feasibility study:
Operational feasibility
Economic feasibility
Technical feasibility
Human factors feasibility
Legal/Political feasibility
System analysis
The goal of system analysis is to determine where the problem is, in an attempt to fix the system.
This step involves breaking down the system in different pieces to analyze the situation,
analyzing project goals, breaking down what needs to be created and attempting to engage users
so that definite requirements can be defined.
Design
In systems design, the design functions and operations are described in detail, including screen
layouts, business rules, process diagrams and other documentation. The output of this stage will
describe the new system as a collection of modules or subsystems.
The design stage takes as its initial input the requirements identified in the approved
requirements document. For each requirement, a set of one or more design elements will be
produced as a result of interviews, workshops, and/or prototype efforts.
Operations and maintenance
The deployment of the system includes changes and enhancements before the decommissioning
or sunset of the system. Maintaining the system is an important aspect of SDLC. As key
personnel change positions in the organization, new changes will be implemented. There are two
approaches to system development; there is the traditional approach (structured) and object
oriented. Information Engineering includes the traditional system approach, which is also called

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the structured analysis and design technique. The object oriented approach views the information
system as a collection of objects that are integrated with each other to make a full and complete
information system.
Evaluation
The final phase of the SDLC is to measure the effectiveness of the system and evaluate potential
enhancements.
Ans 8: Attempts to measure work and to establish work standards have always resulted in
reactions, promoted criticism and generally have been the topic of considerable controversy
among the managements and work force/workers.
It gives feeling to the workers that standards may result in more effective control and they may
be required to do hard work for lesser wages. Management feels that the use of standards may
lead workers to work hard which may result in higher wage bills.
Application of techniques designed to establish the time for qualified operator/worker to carry
out a specified job at a defined level of performance is called the work measurement.
In other words, time study is the systematic study of work system with the purpose of:
(i) Developing the desired system and method usually the one with lowest cost.
(ii) Standardising the system and method.
(iii) Determining the time required by a qualified and properly trained worker working at a
normal pace to do a specific operation.
Objectives of Work Measurement:

The main objectives of work measurement are the followings:

(1) Target time for each job can be scientifically estimated, with this estimate realistic schedules
and manpower requirements can be prepared.
(2) Sound comparison of alternative methods is possible by comparing their basic times.
(3) Useful wage incentive schemes can be formulated on the basis of target times.
(4) In can lead to proper balancing of the work distribution.
(5) It can help to analyse the activities for performing a job with the view to eliminate or reduce
unnecessary or repetitive operations so that human effort can be minimized.

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(6) To standardise the efficient method of performing operations.
(7) To standardise conditions for efficient performance.
(8) To determine man and machines ratio for effective and efficient utilisation of both.
(9) To provide informations and basis for production planning and scheduling activities.