Suren Kannangara, CEO of Affno, explains how the Internet has transformed
personal and professional lives. Brian Tissera reports.
Q: In what ways do you feel
that the Internet has affected people’s living and working
conditions?
A: I would say that the Internet has been a major
factor in widening horizons. Today, people can acquire new knowledge
– fast and without expense. Even formal distance-education
is a reality now. And it gets better by the day with the use of
a broader bandwidth with products such as Asynchronised Digital
Subscriber Line (ADSL), where the current speed of 56 kilobytes
per second could be increased to 512 kilobytes soon – even
eventually going up to two megabytes. This will serve as a cost-effective
alternative to the present system of using lease lines and satellite
connections, which is expensive. The Internet has also enabled people
separated by great distances to keep in touch.
Q: How has the Internet affected business transactions?
A: The Internet has helped businesses reach consumers
directly without having to go through a series of middlemen. This
has caused a drastic change in trading patterns. Manufacturing organisations
that use this method of direct selling have been found to be successful,
and to possess a marked advantage over those who use traditional
means of trading through agents and trading houses. The larger the
number of parties between the producer and the consumer, the higher
the cost.
Together with concepts such as supply chain management, the Internet
has also enabled businesses to reduce costs of inventories drastically
and also offer a much greater degree of customisation in a cost
effective manner. This is possible because the Internet enables
businesses to concurrently interact with a vast number of suppliers
and customers. The Internet is at the heart of many new revolutionary
business models hitherto unimaginable.
Q: Does trading via the Net entail certain dangers?
A: It must be clearly understood that the Internet
is only a channel of communication. As a buyer or a seller, one
must establish safeguards such as checking on the creditworthiness
and reputation of the supplier. Similarly, prospective clients part
with their money only if they know their supplier, and if an element
of trust has been built up between the two parties. The Internet
is not a foolproof method of trading – it is a new and speedy
means of communication.
Q: How could the Internet be used to improve trade,
and consequently boost economic growth?
A: In Sri Lanka, we have many industries that have
no relationship whatsoever with the end consumer. This is because
the manufacturers do not enjoy economies of scale to market their
produce and build brands internationally. To increase our national
wealth, we must aspire to obtaining the maximum price for our produce.
This can only be done by developing a relationship directly with
the end customer.
The Internet is ideal for acquiring and building relationships with
Business-to-Business (B2B) customers. Even in the case of mass consumers,
Sri Lankan companies have the opportunity to build international
brands in a cost-effective manner today.
However, this is easier said than done. First and foremost, our
products must be exceptional and offer a genuine differentiation.
We also need to keep to delivery dates and make names for ourselves
as reliable suppliers. It is no doubt a laborious and expensive
exercise, but it is more practicable at a national level.
Whether one trades via the Internet or not, one has to compete on
cost to survive in the global marketplace. Moreover, one has to
be able to streamline processes to bring in greater efficiencies.
Today, there are cost-effective solutions for businesses to manage
all their document and data in a foolproof and efficient manner.
Likewise, there are cost-effective solutions to enable people to
collaborate and work together. There are also solutions that can
enable the monitoring of progress – from the grass-roots level,
without upsetting the hierarchy – by simply getting the relevant
information on time and being able to respond instantly. Such measures
will help our businesses to get their houses in order, so as to
face global competition effectively.
Q: With instant information being available on
the Internet, will the print media be affected negatively?
A: Just as much as TV didn’t kill radio and
video didn’t kill cinema, I don’t think that the Internet
will kill the print media. The only thing that will happen is that
the print media will become more focused. Perhaps it may not enjoy
the same circulation figures, but it remains unmatched as a relaxing
read. This means that the quality of writing and presentation of
the print medium will improve, whilst the Internet’s main
focus will be on speed.
Q: How do you respond to the abuse of the Internet,
especially in the case on online pornography?
A: Real dangers of the Internet exist and cannot
be eliminated completely. The danger of pornography is very real,
and I believe it is the duty of parents to explain to their children
the danger of logging onto certain channels. It is better to prevent
such problems by explaining the dangers involved, rather than try
to block it by means of filtering or other technical devices –
because it cannot be done with total success.
