EDU 104.20 UNDERSTANDING THE DISCIPLINE OF COMMERCE EDUCATION
Marks: external 50+ internal 10; Duration
2hrs
MODULE 1
HISTORICAL BACKGROUND OF COMMERCE
1.1 Historical advancement of commerce education
1.2 Branches of commerce- Banking, marketing,
finance, cost accounting
1.3 Contributions of commerce thinkers- Luca
Pacioli, Philip Cotler, Marry parker Follet and Henry Fayol
Commerce: According to Dr. Evelyn Thomas, “commerce is a term
that embraces all those functions involved in the making, buying, selling, and
transport of good.”
Commerce Education: For Chessman A. Herick, Commerce education
is, “that form of instruction that directly and indirectly prepares the businessman
for his calling.”
1.1 Historical advancement of commerce
education (The development of Commerce Education in India-A historical
overview)
While discussing the characteristics, scope
and functions of Commerce, with special reference to the contemporary scenario,
it was indicated that it has already developed into a social science with
serious implications in all domains of human, animal and plant life. Because of
this importance of the role played by this discipline, in shaping the economic
life of international society, commerce education has gained momentum at all
levels of education - School, College and University. This is so in India too.
But the present status has not emerged all on a sudden. It is the result of
gradual growth from a very humble beginning. It will be helpful for a teacher
to appreciate the present status and to guide his students, if he can gather a
historical perspective of that gradual growth and development of Commerce as a
subject of study, culminating in a knowledge of the present status enjoyed by
the discipline. This is attempted below:
It can be seen that commerce came to be
seriously considered for inclusion in courses of study from the first quarter
of the 18th century. This so happened as a consequence of the rapid growth of
business and industrial concern during the period, following advancement in the
fields of science and technology. Establishment of large-scale business
concerns necessitated qualified persons in business studies which in turn
resulted in the flourishing of commerce education. Even then the growth was
slow and gradual, and concentrated on specific topics and aspects, depending
upon felt needs. A few developments that took place are given below, in the chronological
order:
1886 - First Commercial Institute was
established in Madras by the trustees of Pachyappa Charities.
1895 - The Government of India made
arrangements for the teaching of Book keeping in the schools of Commerce at
Calcutta.
1903 - The Presidency College of Calcutta
started Book keeping classes. 1912 - The Commercial Institute was started at
Mumbai.
1913 Book keeping and Accountancy classes
were started at the Sydenham College of Commerce at Mumbai.
1926 Indian Institute of Bankers included
Book keeping and Accountancy as one of the subjects.
1935 The Central Advisory Board of Education
recommended the inclusion of Book keeping and Accountancy at secondary level.
1939 The Sargent Committee recommended the establishment
of Academic and Technical high schools and also recommended to include Book
keeping as a subject in these schools.
1944 - The Institute of Costs Works and
Accountants of India was established.
1945 _The Delhi Polytechnic introduced
Commerce Education including Book keeping and Accountancy.
1949 The Institute of Chartered Accountants
was established in New Delhi through an Act of Parliament.
1952. Secondary Education Commission
recommended to include Commerce as 19 One of the streams at secondary school
level.
1957 The Central Advisory Board of Education
recommended that the teachers training colleges should provide training for
teaching of Book keeping and Accountancy.
1961 - V.K. RV. Rao Committee recommended to
include Commerce including Book keeping and Commercial Geography from standard
eleven.
1964 Teaching of Commerce was introduced in
the Regional Colleges of Education,
Gaining inspiration from these developments,
Kerala too started similar courses especially at higher levels of education
beginning from the pre-degree and in institutes specially related to business
and commerce. Now, commerce education is being provided on many Higher
Secondary schools to those who select it as an optional subject of study.
(History of commerce:
The history of commerce is, in many ways, a history of the world. Commerce and
international trade shaped — and were shaped by — geography, climate,
politics, peace, war, fashions, gastronomic taste, language, and so much more. From
the Silk Road, which connected China and the Far East with the Middle East and
Europe, to the advent of ecommerce, the act of exchanging one thing of value
for another has had an incredible impact on the world — and vice versa.)
1.2 Branches of commerce- Banking, marketing,
finance, cost accounting
The 8 Branches of Commerce
Commerce is, in essence, the act of exchanging
goods and services — but that exchange is really just one
piece of the puzzle. How goods are transported from origin to destination,
where they’re stored, processes for distribution, and more, are all
important aspects of commerce.
1. Trade.
Trade
refers to the actual trading of goods and services for something of value.
Today, that “something of value” is typically currency, but in bartering
societies it would have been another good or service of value.
2. Transport.
There
is often great distance between a product’s supply and its demand. From
the earliest days of trade, merchants understood the value of moving products
from one place to another. Transport is the process of how those goods are
moved — whether it be raw materials going to a manufacturer or the
finished product.
3. Storage and warehousing.
When
there is a gap in time between when a product is manufactured and when it is
sold, it must be stored somewhere in the interim. This is where warehousing comes
in. Depending on the product and quantity of inventory, there can be a
significant storage requirement.
4. Distribution.
Distribution
is where retailers come in (or brands themselves, if they’re following a DTC
model). The traditional distribution process — which is evolving faster
than ever thanks to advances in technology and ecommerce — goes something
like this:
- Manufacturers
sell to wholesalers,
- Wholesalers
sell to retailers, and then
- Retailers
sell to consumers.
5. Advertisement.
Advertising
and marketing are the functions by which sellers make customers aware
of their products and convince them to buy.
6. Insurance.
Insurance
helps to alleviate some of the risks involved across all the branches of
commerce. The whole trade process is inherently risky. Even today, as
transportation is more reliable than ever, instant communication is almost
always possible, and security is prioritized, dangers like theft and fire are
still common concerns. Insurance helps ensure that, for example, a loss of
product doesn’t mean the whole business goes under.
7. Communication.
Communication
connects buyers and sellers. This can refer to face-to-face communication
within a brick-and-mortar storefront, phone calls or emails. There are
more methods of communication today than ever
8. Banking.
Especially
in a business’ earliest days, the issue of financing can be a challenge.
Banking provides the financial support that merchants need to get — and
keep — their businesses running, and to bridge the gap between the time that
something is produced and when it is purchased.
MAJOR AREAS OF COMMERCE AND THEIR RECENT
DEVELOPMENT
Banking, marketing, insurance, communication,
trade, etc. can be considered as the major areas of commerce. These are the
fast-developing areas as far as commerce is concerned. Now let us see the
recent developments that takes place in these domains of commercial activity.
1. Banking:
With the advent of computers, banks can now offer to their customers a variety
of new services such as (i) Electronic Funds Transfer System (EFTS) (ii)
Automated Teller Machines (ATMs) (iii) Debit Card (iv) Credit Card, and (v)
Core Banking. Other most modern facilities offered by banks are Tele Banking,
and Internet Banking. In the former, banking is carried on over telephone. In
the latter, Internet facility is made use of.
2. Marketing:
In this age of information explosion, the computer and communication technology
play a vital role in marketing. E-commerce is the practice of buying and
selling products and services over the internet, utilizing web, electronic data
interchange, electronic fund transfers and smart cards. E-commerce enables us
the online marketing and network marketing.
3.Insurance: Insurance is a method of
averaging risks. This is an agreement between the insurer and the insured.
Entry of private companies is noted as the major Advancement in the field of
insurance.
4. Communication:
The fruits of fast changing technology are enjoyed by communication. This is
evidenced by the successful application of a number of efficient devices of
communication. Spectacular developments in this area are fax, internet, email,
extranet, video conferencing, and teleconferencing.
5. Trade:
Trade involves buying and selling of goods and services. Trade can be of two
types —internal and external. Internal trade indicates transfer or exchange of
goods and services within a country and external trade indicates trade among
nations. Online trading is a recent development in the field of trade.
Business activities are fast changing in this
dynamic world. During the 1990's a concept has evolved in the area of commerce
called Business Process Outsourcing (BPO). BPO is a system of getting a
business task done through an outside agency.
1.3 Contributions of Commerce Thinkers- Luca
Pacioli, Philip Cotler, Marry Parker Follet and Henry Fayol
1. Luca Pacioli (c.1447 – 1517) was the first person to publish detailed
material on the double-entry system of accounting. He was an Italian
mathematician and Franciscan friar. It is said that Luca Pacioli published works for
the double entry accounting system based on procedures in use by Venetian
merchants during the Italian Renaissance. Most of the accounting principles and
cycles described by Luca are still in use to this very day. His documentation
includes journals, ledgers, year-end closing dates, trial balances, cost
accounting, accounting ethics, Rule 72 (developed 100 years earlier than Napier
and Briggs), and extensive work on the double entry accounting system.
The contribution of Luca Pacioli in accounting
was honoured by accountants around the world to his book published on
double-entry accounting. The first accounting book which was published in 1494
was based on five sections in his mathematical book title in which he showed
‘Everything about Arithmetic, Geometry and Proportions’.
Until the 16th century, this book written on
accounting served as the only textbook on accounting around the world and due
to this significant contribution, Luca Pacioli, was no doubt the father of
accounting. He did not invent the system but he described the method which was
used by merchants in Venice during the period of Italian Renaissance. The
system he introduced in his book of accounting was mostly the accounting cycle
which is well-known in the modern world of accounting.
Luca Pacioli introduced the use of journals and
ledgers in accounting systems and warned that the accountant must not sleep
until the debits are equalled to credits. The ledgers he introduced were based
on assets receivables and inventories, liabilities, capital, expenditure and
income accounts.
Friar Luca also demonstrated the entries which
the companies can use for their year end and he proposed the entry of trial
balance for a balanced ledger.
He also introduced wide range of topics ranging
from accounting ethics to cost accounting. His proposed accounting entries and
year end closing entries became so famous that they were widely used in
industrial and financial organizations in the modern world. Today, no organization
can ignore his proposed journal and ledger accounting system and then showing
the balance of debits and credits to get the desired results for the
organizations.
When he
published his book on accounting, he was 49 years old in the year 1494, returned
to Venice for the famous publication of his fifth book on Geometria, Summa
de Arthmetica, Proportioni et Proportionalita. This book was written on
Geometry, Everything about Arithmetic and Proportions. In this book, he
presented the guide to the already written mathematical knowledge and book keeping
was one of the most important accounting topics covered in this book. He
presented 36 short written chapters on book keeping in which he gave the
necessary instructions in the conduct of business and given the traders precious
information on accounting without any delay as to his assets and liabilities.
Luca Pacioli also introduced numerous details
about bookkeeping techniques which were followed in texts and in professions
for the next four centuries. Then the accounting historian Henry Rand Hatfield
argued that Pacioli’s work was potentially significant even at the time of
publication when it was first printed in November 10, 1494. Now his underlined
accounting principles are used by various accounting practitioners in industrial
accounting, public accounting, and accounting services for non-profit
organizations.
Accounting techniques were proved to be very
effective for investors, business firms, lending institutions, and all the
entire users of financial information are indebted to Luca Pacioli for his
unbelievable and monumental role in the development of accounting.
2. Philip Kotler (born May 27, 1931) is an American marketing author, consultant,
and professor; the S. C. Johnson & Son Distinguished Professor of
International Marketing at the Kellogg School of Management at North-western
University (1962–2018). He is known for popularizing the definition of
marketing mix. He is the author of over 80 books, including Marketing
Management, Principles of Marketing.
Kotler helped create the field of social
marketing that focuses on helping individuals and groups modify their behaviours
toward healthier and safer living styles. He also created the concept of
"demarketing" to aid in the task of reducing the level of demand. He
also developed the concepts of "prosumers," "atmospherics,"
and "societal marketing." He is regarded as, "The Father of
Modern Marketing" by many scholars.
Kotler started teaching marketing in 1962 at the
Kellogg School of Management, North-western University. He believed marketing
was an essential part of economics and saw demand as influenced not only by
price but also by advertising, sales promotions, sales forces, direct mail, and
various middlemen (agents, retailers, wholesalers, etc.) operating as sales and
distribution channels.
Kotler's three major contributions to marketing
and to management: First, he
has done more than any other writer or scholar to promote the importance of
marketing, transforming it from a peripheral activity, bolted on to the more
"important" work of production.
Second, he continued a trend started by Peter
Drucker, shifting emphasis away from price and distribution to a greater focus
on meeting customers' needs and on the benefits received from a product or
service.
Third, he has broadened the concept of
marketing from more selling to a general process of communication and exchange,
and has shown how marketing can be extended and applied to charities, museums,
performing arts organizations, political parties and many other non-commercial
situations.
Kotler argued for "broadening the field of
marketing" to cover not only commercial operations but also the operations
of non-profit organizations and government agencies. He held that marketing can
be applied not only to products, services, and experiences, but also to causes,
ideas, persons, and places. Thus, a museum needs the marketing skills of
Product, Price, Place, and Promotion (the 4P's) if it is to be successful in
attracting visitors, donors, staff members, and public support.
Kotler
and Gerald Zaltman created the field of social marketing, which applies
marketing theory to influence behavior change that would benefit consumers,
their peers, and society as a whole. Kotler and Sidney Levy developed the idea
of demarketing, which organizations must employ to reduce overall or selective
demand when demand is too high. Thus, when water is in short supply, the
government needs to persuade various water consumers to reduce water usage so
that enough water will be available for essential uses.
In 2018, Christian Sarkar and Kotler began
promoting brand activism, the idea that businesses must go beyond Corporate
Social Responsibility to tackle the world's most urgent problems.
MODULE 2
CONCEPTUAL BACKGROUND OF C0MMERCE EDUCATION
2.1 Meaning-Definition-scope of commerce
education
2.2 Nature of commerce education as a
discipline
2.3 Role of commerce education in the
technological era
2.4 scope of commerce education in the 21st
Century
2.1 Meaning-Definition-Scope of Commerce
Education
The education specially intended to
prepare a person for competently taking up the duties and responsibilities of
the business world-the world of industry, trade and allied tasks can be termed
as commerce education.
Levert S.Lyon defined Commerce Education as,
“Any education which a businessman has and which makes him a better
businessman, is for him a business education, no matter whether it was obtained
within the walls of a school or not”.
To Chessman A. Herick, Commerce Education is,
“That form of instruction that directly and indirectly prepares the businessman
for his calling”.
This means that Commerce Education may be
formal or nonformal. However, in the context of our discussion here, commerce
education generally means the formal education of the subject conducted in
schools, especially in higher secondary schools. While examined in the context
of teacher education, ‘commerce education’ has a still different meaning and
scope. In the case of commerce education at school, it is transmitted on the
basis of a prescribed curriculum using psychological strategies and techniques
of instruction. As such, for the teachers and prospective teacher’s commerce
education provides understandings and skills for effectively transacting the
curriculum. It also helps the teachers to analyse the curriculum thoroughly and
systematically (pedagogic analysis) for the purpose of effective transaction. Thus,
commerce education would mean differently for different persons, goals and
contexts.
SCOPE OF COMMERCE EDUCATION
Commerce is considered as one of the most
popular career options in India. Commerce education is the backbone of the
business and serial development of the nation. This education stresses on
developing the people and making effective use of available resources.
Commerce education develops the relationship of
people with one another. Commerce education covers wide area of business and
society. Commerce education provides to the business and society that how to
use it for the betterment of self and oneself. Commerce education gives to the
people for democratic living, good citizenship and proper utilization of
resources. It provides skill-oriented education to students and society.
The scope of commerce education is spread in
large circle with varied opportunities. At the undergraduate level, Bachelor of
Commerce, a three-year full-time course and Master of Commerce at the
postgraduate level. After completing course in the field of Commerce, a student
can join any private institute or government organization as a specialist in
any of the Commerce stream and they can also pursue professional courses euch
as Company Secretary, Chartered Accountant, and ICWA. A graduate in Commerce
can also opt careers in financial services as a Financial Consultants, Stock
Brokers, Merchant Bankers, Budget Consultant, Financial Portfolio Manager,
Project Formulation Manager, Tax Consultants. Careers in Management are also
available in the field of Personnel Management, Production Management,
Financial Management, Marketing Management, and Material Management, other
areas of Management such as Hotel Management, Hospital Management, Tourism
Management, Event Management, Office Management, Export and Import Management.
In the Bank, call for Commerce graduates and
post graduates with specialization of Banking. Insurance Companies can also
call for Commerce graduates and post graduates with specialization of
Insurance. Industrial segment are also call for Commerce graduates and post
graduates with specialization of accounting skill including Computer
Technology.
With a growing emphasis on information, global
economy, Higher Education was viewed as increasingly essential for the world’s
population. Information Technology and Mobile Technology is now forcing
education sector to change according to the need of the time. The most emerging
dimension of the Business and Commerce education in the 21st century is the
need for Business School to use technology and make it integral part of course
contents. Education now becomes an industry, there is explosion of technologies
and knowledge in all sphere. The quality of Commerce Education has become a
major marketing issue in the changing environment. As per specialization, a
practical training should be provided to the students. By making relevant and
practical oriented Commerce Education, we may impact global competitiveness to
our students. As a part of the society the social awareness among Commerce
students is the emerging need of present tine.
Commerce should plays pivotal role in equipping
our future dynamic managers With the emerging trends of Commerce skills to face
the challenges of dynamic business world, Globalization and liberalization of
our economy with privatization and technological revolution have posed the most
unprecedented challenges before the Commerce education, With trade and commerce
assuming innovative dimensions in the context of growing international
business, the curricula for Commerce faculty should be adapted and
re-structured to meet the future challenges of the economic, manufacturing and
service sectors. The syllabus of commerce education must Contain knowledge
component skill component of practice component. Placement is the ultimate goal
of any business education. To place the students in industries, colleges can
arrange campus recruitment & placement. The educational policy makers need
to think about this matter seriously.
2.2 Nature & Characteristics of Commerce
Education As A Discipline
From
the above conceptual analysis regarding the meaning conveyed by the term, the
nature and characteristics of the subject can be enumerated as follows.
1. Adoption of the scientific method of
study: Because of the lack of fixity in the characteristics of the
variables involved, Commerce cannot be considered as an exact science as the
physical science; but in the contemporary scenario of the modern world,
Commerce also adopts scientific methods in studying and organising programmes,
and drawing conclusions on the basis of vast data gathered. As such it
satisfies the characteristics of a science - rather a ‘social science’.
2. Attempt at making predictions: The input variables, process variables and
output variables involved in commercial endeavours are not precisely
standardised and are subject to variations resulting from fluctuations in
climate, political relations, economic catastrophies, changes in life styles,
etc. Yet by adopting scientific ways of analysis and synthesis, modern Commerce
aspires to make reliable predictions with a view to show guidelines for
planning the styles of action of commercial concerns and organisations. Efforts
to make valid and reliable predictions about expected results and thus to shape
one’s action in the field is a characteristic of the subject in the modern
settings. This has to be taken care of in its instruction also.
3. Correlation with a variety of subjects: Because of the wide range of activities
related to the innumerable tasks involved in commercial activities that are
bound to depend upon a variety of other disciplines also. The concepts,
principles, theories processes, skills, etc. of Commerce are shaped in tune
with the continuous change happening in all these disciplines. The importance
given to such correlation is a very salient feature of Commerce that warrants
correlated learning also.
4. Insistance on social relevance: Since Commerce is involved in the management
of programmes and organisations affecting the very existence and survival of humanity,
it has a very high social significance. Hence, one who learns this subject has
to develop positive attitudes and noble values that are demanded by this social
significance. This characteristic has to be reflected in all aspects of
commerce education.
5. Qualities of an applied science: Commerce is essentially an ‘applied social
science’. The concepts, principles, theories, etc. enunciated by experts and
researchers in Commerce are always meant for evolving more efficient strategies
and practices related to socially significant and practical activities in the
various domains of commercial life. As such, purely theoretical studies do not
have much significance in this discipline. This affinity to practical
implications is another feature of Commerce, which has to be reflected in its
teaching and learning alike.
2.3 Role of commerce education in the
technological era (Impact on commerce on society)
Commerce
has a significant role to play in the development of society as a whole. It
ensures the smooth functioning of the society. The impact of commerce on
society can be enumerated as below.
1. Provides employment opportunities
2. Raises standard of living
3. Adds to national income
4. Provides access to goods, services and
information
5. Supplies according to requirement of goods
and services
6. Transfers technological developments to
societal purpose
7. Protects the local resources
8. Changes the society in accordance with the rapid
growth of Information Technology
9.
Promotes national integration and international understanding
2.4 SCOPE OF COMMERCE EDUCATION IN THE 21ST
CENTURY
2.1 + Professional scope of Commerce Education
1. Chartered Accountant (CA): Chartered
Accountants were the first accountants to form a professional Accounting body
initially established in Scotland in 1854. CA works in all fields of business
and finance, including audit, taxation, financial and general management. Some
are engaged in public practice work, others work in private sector and some are
employed by government bodies. In India, CAs is regulated by the Institute of
Chartered Accountants (ICAI) of India, which was established by the Chartered
Accounts Act 1949.
2. Management Aptitude Test (MAT)
Management Aptitude Test (MAT) is and entrance
test for admissions into MBA programs in various top B — schools and other
institutes across the India. It is conducted by AIMA (All India Management
Association) New Delhi, 4 times (every trimester) in a year.
3. Institute of Cost and Works Accountants Of
India (ICWAI)
The Institute of Cost Accountants of India
(ICAI) [previously known as the Institute of Cost & Works Accountants of
India (ICWAI)] is a premier statutory professional accountancy body in India
with the objects of promoting, regulating and developing the profession of Cost
Accountancy. It is the only licensing cum regulating body of Cost &
Management Accountancy profession in India. It recommends the Cost Accounting
Standards to be followed by companies in India to which statutory maintenance
of cost records applicable. ICAI is solely responsible for setting the auditing
and assurance standards for statutory Cost Audit to be followed in the Audit of
Cost statements in India. It also issues other technical guidelines on several
aspects like Internal Audit, Management Accounting etc. to be followed by
practicing Cost Accountants while discharging their services. It works closely
with the industries, various departments of Government of India, State
governments in India and other regulating authorities in India (RBI, SEBI etc)
4. Cost & Management Accountants (CMAS)
This is the primary qualification of the ICAI
and following completion of up to three levels (Foundation, Intermediate and
Final) examination and three years of practical training in areas like Management
Accounting, Cost Accounting, Financial Accounting, Taxation, Audits, Corporate
Laws etc. enables an individual to become a Cost & Management Accountant.
5. Company Secretary (CS): A company
secretary is a senior position in a private sector company or public sector
organisation, normally in the form of a managerial position or above. American
and Canadian publicly listed corporations, a company secretary is typically
named a corporate secretary or Secretary.
Main functions of the company secretary in
India:
(a) To
report to the Board about compliance applicable to the company.
(b) to ensure that the company complies with
the applicable standards
(C) to discharge such other duties as may
require.
Institute of Company Secretaries of India
(ICSI) is the sole body in India, which provides company secretary ship course.
MODULE 3
INTER AND INTRA DISCIPLINARY NATURE OF COMMERCE
3.1 Correlation with life
1. Commerce satisfies the increasing human
wants
2. It makes distribution of goods from one part
to the other part of the world
3. It helps to improve our standard of living
4. Commerce links producers to consumers
5. It generates employment opportunities
6. It increases our national income and wealth
7. It helps in expansion of aids to trade
(banking, insurance, transport, communication…)
8. It helps in growth of industrial development
9. It encourages international trade and
globalization
10. Commerce helps during emergencies like
floods, wars, earthquakes in the form of foodstuff, medicines, and relief
measures.
3.2 Interdisciplinary approach- Relation of
commerce with other subjects- Economics, geography, mathematics, statistics,
international relations- management information system-management-technology
3.2 Inter disciplinary approach
One of the important aims of the educative
process is to achieve a unification of knowledge pertaining to the various
branches of learning. Students are interested 1, learn things, which are
relevant to their life experiences. They cannot continue ty learn commerce in
isolation as a compartmentalised discipline that have little relating, with
other disciplines. Hence various subjects and different topics of the same sub
should be taught at school level aiming at a meaningful integration of
knowledge, related items. But in the present context, all the different
subjects cannot be taught as an integrated whole by a single teacher at the
higher secondary school level. This is because; in this age of rapid knowledge
explosion one teacher cannot become specialised in all branches of knowledge.
Thus, the need for division arises which leads to what we call the disciplinary
approach. Even when we adopt such a disciplinary approach of teaching, the goal
of integration of all knowledge can be realised by following an Inter
disciplinary approach by which the various disciplines are meaningfully
correlated.
Correlation implies the reciprocal relationship
among various subjects in the curriculum. This approach will help students of
commerce obtain a coherent view of the subject by establishing numerous links
between the various items. Correlation of different subjects is essential for
checking artificiality of treatment and for achieving unity of knowledge. It
makes learning easier, more interesting and natural and practically significant
to life.
The concept of correlation is not at all new in
the field of education. Comenius (1592-1671) emphasised the importance of
correlation in teaching. He was of the opinion that nothing could be taught in
isolation. Herbart also advocated interdisciplinary approach of teaching.
Pupils should get the impression that each subject supplement and complements
others. They should also feel that the subject taught in schools have something
to do with day-to-day life. In the Basic Education Scheme by Gandhiji, correlation
of various areas of knowledge and correlation of all these with life was the
pivotal concept highlighted. It was not the study of a craft that made such
institutions ‘basic’, as conceived by many. On the other hand, it was correlated
learning of the various subjects by linking it with the craft and with life
that made the programme really ‘Basic’.
3.2.2 Correlation of Commerce with other
subjects
The close linkage and correlation of Commerce
with a number of subjects have been highlighted in Chapter I. It has been
pointed out there that the scope of Commerce is very vast and it includes all
aspects of modern life. It involves a study of many related disciplines apart
from its own specialised branches. At the same time the correlation of Commerce
with three subjects namely Economics, Geography and Mathematics are specially
significant. Hence these are discussed below.
a. Commerce and Economics
Economics is divided into four parts namely,
Production, Exchange, Distribution, and Consumption. Of these sub-divisions of
Economics, Commerce is connected with the whole of exchange and a part of
production. Commerce includes all those activities that take place in the flow
of goods between producers and consumers. In Economics this aspect is known as
‘exchange’. The exchange part of Economics is exclusively the contribution of
Commerce. Many specialised subdivisions of Commerce provide us with the
theoretical basis and practical suggestions helpful to facilitate the exchange
of goods and services. These ideas are profusely used by economists to make
exchange a scientific endeavour.
The goods produced should reach the hands of consumers
to satisfy their wants. For this, their possession and ownership must be
transferred from the producers to the consumers. The commercial activities
involved in this transfer include the activities of various middlemen involved
in the exchange. These commercial activities complete the full cycle of
economic activities. In short, we can say that ‘Economics is the mother of
Commerce’, As such studies in Commerce have to make use of ideas from
Economics. In turn, the modern developments in Commerce helps to enrich the
theory and practice of Economics. Thus, they supplement and complement each
other.
b. Commerce and Geography
Geography studies about the earth, and it's climate,
soil, land scape, etc. The producers are producing agricultural goods and mineral
products in tune with the climatic conditions of the region they inhabit. It is
not possible to produce all the commodities necessary for human living at the
same place. The raw materials required for any commercially significant
commodity have to be collected from various places and made available in the
centre of production. The availability of such materials is always based upon
the geographical conditions. For example, a flood or a drought can fail even
the functioning of a commercial endeavour. From these aspects it is clear that,
there is very close relationship between Commerce and Geography.
c. Commerce and Mathematics
Commerce means all the activities that takes
place in the exchange of goods from the producer to the consumer. A business concern
keenly observes these activities and records them in the books of accounts. A
skilful accountant prepares accounts in such a way as to show up all the
deficiencies and strong points of the firm concerned. An accountant applies the
fundamental arithmetical processes in preparing the accounts. Further in the
field of sale tax, income tax, etc. knowledge of Mathematics is essential.
Statistical techniques are profusely used for interpretation of data and for
making predictions. All these make the relation between Commerce and
Mathematics evident.
d. Commerce and Statistics
Management of a business these days is a very
complex problem. Any wrong decision in management can result in big financial
loss. Statistics, as a science, has been doing innumerable services to the
modern business world, commerce and industry. It is very difficult to imagine
the business activities without the help of Statistics. Some statistical
techniques and designs have been developed recently, exclusively for business
purpose. These include Statistical Quality Control, the Inventory Control,
Input-Output Analysis, Market Research, Business Forecast, etc. These
techniques and designs have revolutionised the business world. Statistical
techniques have application also in evaluating the results of sales, precisely
assessing the company’s achievements, comparing the effectiveness of different
modes of advertisement, analysing the influence of the seasonal variations,
etc. Moreover, statistics is used to estimate the income and expenditure,
prepare balance sheets, analyse accounting ratios, etc. Various statistical
techniques are used also to analyse the trading activities in a share market.
Moreover, these days computer based statistical analysis and research are
applied in each and every aspect of production and distribution of goods. From
the above discussion it is very clear that statistics and commerce are
developing together hand in hand.
e. Commerce and International Relations
International relations include a wide variety
of relations. It embraces relations between countries, peoples, cultures, etc.
It is a discipline, which ts concerned with many factors and activities, that
affect the external policies and power of a nation. Commerce is an inevitable
aspect in keeping the international relations in a better way. The availability
of resources like minerals, water, labour, capital, technological capabilities,
human resources, etc. in a country may help them to produce more efficiently.
But all the countries in the world are not blessed with all suck resources.
What is feasible for a country in such a circumstance is to produce those goods
for which they have more resources and export these to other countries. In
return they can import those goods, in the case of which purchasing will be
advantageous than producing This is the basis of external trade. Many business organisations
are engaged in external trade. This would promote healthy international relations
between nations. Moreover, the business conferences represented by different
nations promote better understanding. In our modern era the E-Commerce help to
enhances cordial relations among the countries. This can be Business to
Business (B2B), Business to Consumer (B2C) and Consumer to Consumer (C2C)
transaction, which would help to maintain unlimited relation among nations.
Such relations among countries will help to enhance future business
opportunities also.
F. Commerce and Management
The word management when used as a collective
noun, refers to all those who manage activities within an organisation.
Management brings together all the factors of productions related to the
endeavour and acts as a coordinating work force. In the words of John F. Mee,
“Management may be defined as the art of securing maximum results within a
minimum of effort, so as to secure maximum prosperity and happiness for both
employer and employee and give the public the best possible services”, Industry
produces goods, which are meant for consumers. This means that consumer must
beneficially enjoy the fruits of production. All activities ensuring the free
flow of goods from the producer to the consumer are considered as elements of
commerce. These include transportation, insurance, advertising, banking,
warehousing, etc. Each of these elements demand effective management. The
future of any business that involves production and sale of goods and services
depends on efficient management. So, it may be said that there is an inseparable
relation between commerce and management.
G. Commerce with Technology
Commerce is always related with technology as
it is emerged from the development of e-commerce. It is due to the higher
consumer interest, participation, and incremented demand. As the technology
transmuting the transactions between the business and consumer, the consumer is
accessing sundry implements to estimate prices, find alternatives, stores and
obtain coupons. The incrimination in e-commerce websites availed people a lot.
Without peregrinating anywhere, they relish buying online and they are
additionally benefitted by getting sundry offers and discounts.
The most popular thing about E-commerce
industry is its mode of payments. Most of the cases. the payment is done
digitally here. Artificial Perspicacity will find an astronomically immense
transformation in B2B e-commerce. It is different from B2C e-commerce as there
are immensely colossal numbers of users and use-cases. But B2B e-commerce will
have fewer numbers of users; those do immensely colossal ticket transactions
under restricted use cases. In these cases, B2B e-commerce will apply all and
adopt it eagerly as it is very uncomplicated and puissant. Businesses get
efficient by doing efficacious decision making at purchases, computerization of
several routine tasks, offer paramount insights, and relinquish several man
hours behind procurement and doing business purchases clear and low cost. Today
technology's role in e-commerce is ineluctable and faultless. The prosperity of
E-commerce is predicated on it right from its beginning to each and every
progress transpiring every time in the industry.
h. Commerce with Management Information System
(MIS)
Management Information System is prevalently
denoted as the Information System, the Information and Decision System, the
Computer-predicated Information System. The role of MIS is an organization that
can be compared to the role of heart in the body. The system ascertains that a
congruous data in a commercial/ business undertaking is amassed from sundry
sources processed, and then further sent to individuals, group of individuals
or the management functionaries: the managers and the top management. It
gratifies diverse needs through a variety of systems such as Query Systems,
Analysis Systems, Modelling Systems and Decision Support System.
MIS contributes to Strategic Orchestrating,
Management Control, Operational Control and Transaction Processing. It avails
Clerical personnel in the transaction processing and answers the queries on the
data pertaining to the transaction, the status of a particular record and
references on a variety of documents. It avails junior management personnel by
providing the operational data for orchestrating, scheduling and control, and
avails in decision making at an operational level to rectify an out of control
situation. It avails Middle-Level management in short term orchestrating,
target setting and controlling the business functions. It avails Top management
in goal setting, strategic orchestrating and evolving the business plans and
their implementation. It plays a paramount role in information generation,
communication, quandary identification and avails in the process of decision
making. Thus, MIS plays a vital role in the management, administration and
commercial operations of an organization.
MODULE 4
AIMS AND VALUES OF TEACHING COMMERCE
4.1 Aims and objectives- meaning and
distinction
4.2 Values of teaching commerce, - social,
utilitarian, disciplinary, Vocational
4.3 Objectives of teaching commerce at higher
secondary level-Accountancy and Business studies
4.4 Entrepreneurship education
4.1 Aims and objectives of Commerce Education
Aims and objectives are quite often used as
synonyms, both being goals. But from the point of view of education these have
to understood as different for operational purposes. One can say that commerce
education aims at developing commercially efficient citizens. It may also be
said that commerce education aims at bringing about economic stability for a nation.
Also, it may be considered to aim at building up of a sound system of trade for
the nation. All these aims are valuable goals. A close examination of these
will show that these are so broad, general and distant that these cannot be
realised fully by a system of education. Neither can they be realised within a
limited time by any formal education. At the same time, they are valuable as
ultimate goals of commerce education, to be aspired for. We can progress
towards it by imparting commerce education. Such distant, broad and general
goals that cannot be fully realised within a reasonable time at the disposal of
the teacher is considered in the educational scenario as aims.
At the same time consider the following
goals:
i. The learner develops understanding of the
concept of ‘balance sheet’,
ii The pupil develops the ability to apply
the principles of preparing a balance sheet for the given business enterprises.
iii, The student develops skills for storing
commodities, safely and conveniently in a warehouse.
These goals are much more specific than the
broad aims discussed earlier. These are immediate, definite and could be
achieved fully by thorough appropriate learning within a limited time span.
Such a goal is considered in education as an educational objective.
It goes without saying that such objectives
are more relevant for the practising teacher. This does not mean that a teacher
need not think of broader aims. Really realisation of the educational
objectives paves the way leading towards the distant aims.
Considering the importance of educational
objectives, the major objectives of commerce education are listed below:
Educational Objectives of Commerce: The learner:
1. understands the
concepts, principles, etc. related to commercial dealings.
2. develops
the ability to apply principles, processes, etc. related to commercial tasks in
new situations.
3. analyses
complex situations related to Commerce into the meaningful aspects involved.
4. synthesises
components to form meaningful wholes in the form of principles, processes,
systems, etc. related to Commerce.
5. evaluates
procedures, strategies, conclusions, predictions, etc. related to commercial
dealings on the basis of accepted norms, theories, principles and processes.
6. develops
desirable interests in ideas and tasks related to commercial activities.
7. develops
healthy attitude towards desirable trends, practices and ideas in Commerce.
8. appreciates
systematic, fair and socially oriented commercial dealings.
9.
internalises values and value system associated with commercial dealings.
10. establishes
healthy linkages with commercially relevant organisations and institutions.
11. develops
skills for performing intellectual and physical activities related to
commercial tasks.
4.2 Values of Commerce Education
Commerce education is introduced as a subject
of study for the higher secondary courses because it has certain values that
makes it relevant in education. The valuable services it can render to the
individual as well as the society form the basis for the educational values.
These are:
1. Practical or Utilitarian Value: Commerce education has great significance
ip preparing individuals and the society in general for taking up and indulging
in commercial activities efficiently. This is the period of globally relevant
industrial activities and subsequent commercial activities involving various
aspects of trade. The economic stability of any nation depends upon how
scientifically and systematically these are organised. Commerce education provides
us with the understandings, insights, attitudes and skills for taking up such
activities. Also, it gives proper guidance for systematically extending
customer services, thus meeting the everyday requirements of peoples in terms
of various commodities essentially required for the very sustenance of life.
This may be considered as the practical value of commerce education.
2. Cultural value: Culture is evidenced by correct socially
desirable ways of thinking and doing. It is closely related with value-orientations.
Commerce education helps to transmit many cultural values like systematic
dealings, social and service - orientation, fair dealings with customers, good
salesmanship, honesty in commercial dealings, etc. This is the cultural value
of commerce education.
3. Social value: It has been mentioned above that commerce
education is directly connected with the everyday life of human beings.
Comfortable life in a society depends upon how efficiently and fairly the
dealings associated with commercial transactions like trade, distribution,
service, etc. related to goods take place in the society. Performing all these
dealings with a social commitment depends upon how well the members of the
society gets educated in these. Commerce education meets this social value
also.
4. Disciplinary value: Modern commercial theory and practice
applies scientific methods for analysing various components, planning various
tasks, gathering a variety of data, systematically processing and interpreting
them, etc. Commerce education reflects all these characteristics of scientific
thinking and hence helps the learners of the science to acquire systematic ways
of thinking and doing. This is the disciplinary value of commerce education.
5.Vocational value: The individual must be able to earn money
for leading 2 successful social life. Commerce education has a significant role
in providing employment opportunities for individuals in the society. This will
help a person to gain adequate monetary benefit to survive in the society. In
other words, commerce education can train the individual to become a
self-sufficient personality. This will also help to increase the production and
national wealth. But it is significant that the vocational aspects of commerce
education should not be restricted to income. It should also inculcate some
other qualities such as Job satisfaction, Social responsibility, Social ethics,
etc. Moreover, the commerce education should enhance the vocational competency
of an individual also.
Conclusion: It is very evident that a commerce teacher has to bear
in mind these values inherent in commerce education while engaging in any
aspect of the instructional activities.
4.3 Importance of teaching Commerce at higher
secondary level-Accountancy & Business studies
Commerce is a dynamic process that brings
together technology, natural resources and human initiative in a constantly
changing global environment. Hence, commerce education has undergone a
tremendous change in the wake of Liberalisation, Privatisation, and Globalisation.
Computerised systems are fast replacing other systems. E-commerce and other
related concepts, therefore, have been introduced as part of the higher
secondary curriculum. It helps students to appreciate that commerce is an
integral component of society and also to develop an understanding of many
social and ethical issues.
In tune with circumstance, commerce education
has carved out a place for itself at the higher secondary stage. Its curriculum
content should give students a firm foundation in basic accounting principles
and business studies to keep them abreast with the changes in its methodology
concerning particular aspects of the subject. This would help to develop among
students’ traits such as logical reasoning, careful analysis and considered
judgment, limited only to the initiation level of the subject.
Objectives of teaching Commerce
1. understands the concepts, principles, etc.
related to commercial dealings.
2. develops the ability to apply principles,
processes, etc. related to commercial tasks in new situations.
3. analyses complex situations related to
Commerce into the meaningful aspects involved.
4. synthesises components to form meaningful
wholes in the form of principles, processes, systems, etc. related to Commerce.
5. evaluates procedures, strategies,
conclusions, predictions, etc. related to commercial dealings on the basis of
accepted norms, theories, principles and processes.
6. develops desirable interests in ideas and
tasks related to commercial activities.
7. develops healthy attitude towards
desirable trends, practices and ideas in Commerce.
8. appreciates systematic, fair and socially
oriented commercial dealings.
9. internalises values and value system
associated with commercial dealings.
10. establishes healthy linkages with
commercially relevant organisations and institutions.
11. develops skills for performing
intellectual and physical activities related to commercial tasks.
4.4 Entrepreneurship Education
4.4.1
What is entrepreneurship?
Entrepreneurship
is an act of initiative, dri-2, commitment, diligence, perseverance, organized
efforts and achievement outlook, to undertake specific functions go performing
productive activities. Entrepreneurship is not exclusively pertinent to
institute enterprises but to people caught up in any endeavour. Encouraging a
more entrepreneurial attitude in pupil can results in greater benefits and this
will endow with them with social skills and outlooks that are necessary for the
success of any venture. Entrepreneurial qualities are to some extent present in
every individual but these can be developed further through properly
premeditated education. This king of education also encourages the development
of skills and attributes that employers are looking for such team work,
obligation and flexibility. It helps to develop in pupils a rational knowledge
and understanding of business and working life.
4.4.2. Significance of entrepreneurship
education
Entrepreneurs play an important role in
mounting and contributing to the economy of a nation. It is especially in a
developing world, where plenty of opportunities for innovations needed to
utilize the available resources and initiate entrepreneurial ventures. Commonly
we see more entrepreneurs in comparatively more developed areas. Another
paradox exists in terms of increasing number of unemployed populations, seeking
wage earners career and unaware of the wide opportunities for entrepreneurial
career. This is, by and large, because of lack of education about
entrepreneurship. In this situation entrepreneurship education assumes
significance, which plays a pivotal role for imbibing such qualities among
young generation to a greater extent. Also, this will equip them to build an
environment that nourishes innovation, capacity building, skill formation and
development of generic competencies, those are considered as the unique persona
enforced by young citizens of today.
The entrepreneur also called the emblematic
enterprising person, has become the focal point of interest in lots of nations
as a mastermind of social and economic change. The hunt is on for more and
better ways of creating and moulding enterprising people and specially for
developing competent entrepreneurs. For this context, the role of education and
training is highly very significant. Education is a strong influencing media
that sets values, develops attitudes and motivation and induce people to
acquire skills and competencies to achieve the desired goal.
The word ‘education’ can be linked to the
word ‘enterprise’ in three ways:
1. Education about enterprise in which the role of education is in raising
awareness of enterprise and entrepreneurship as a key change agent in economic
process
2. Education through enterprise in which the education process itself can be
enhanced by means of pedagogic styles which work in and make use of
enterprising situations including the student concerned and real-world project
driven approaches,
3. Education for enterprise, which is aimed at entrepreneurship
development and includes induction for existing entrepreneurs as well as for
the implementation of new ventures.
4.4.3 Entrepreneurial Skills and Education (Features
of Entrepreneurship Education)
Entrepreneurship, self-employment and
enterprise creation provide a solution to the crisis of both unemployment and
economic growth. Our present activity-based curriculum has given ample
opportunity for our coming generation to the development of various entrepreneurial
skills and competencies through the study of science, commerce, social science
etc, that have highly influential in forming the dominant methodologies to some
extent. Among such discipline, commerce is considered as an occupational
discipline that mainly spotlight on the development of such entrepreneurial
skills that imparts entrepreneurial culture, entrepreneurial traits,
entrepreneurial propensity etc. which are indispensable to the young generation
to enter the world of work and assuming the responsibility of adulthood.
The essential entrepreneurial skills required/acquired
by an individual after successful completion of his/her education, that
facilitates individuals or group for creating a new endeavour through the
effective utilization of human resources and innovative technologies and
thereby ensure the prosperity of our nation as follows:
1. Goal setting: Effectively setting goal. Strategies
for achieving goals. Proper utilization of all available resources for
achieving goals.
2. Planning and Research: Critical judgment
and selection. Effective Implementation and verification. Equip with knowledge
and skills to apply it in emerging issues and scenarios.
3. Organisation: organizing task
intelligently. Setting priorities and strategies for achieving them. Cultivate
managerial resourcefulness and independent thinking.
4. Team Building: Assembling and motivating a
team. Empowering team. Build teams sensitively to take challenges provide
opportunities.
5. Decision making: Judging alternative
course of action. Fixing the option with all precautions.
6. Record Keeping: systematically maintain
records. Creatively using the records. Ability to interpret the books of accounts
systematically.
7. Creative Thinking: Analyse the situation
divergently. Find creative ways to solve problem. Provide insights through
experiences
Importance of Entrepreneurship Education
Entrepreneurship education aids students from all socioeconomic
backgrounds to think outside the box and nurture unconventional talents and
skills. It creates opportunities, ensures social justice, instils confidence
and stimulates the economy. Entrepreneurship education is a lifelong learning
process, starting as early as elementary school and progressing through all
levels of education, including adult education.
Introducing students
to entrepreneurship develops their initiative and helps them to be more creative
and self-confident in whatever they undertake and to act in a socially
responsible way. There are many ways entrepreneurship lessons can be integrated
in the school curriculum.
Learning
a Business
Students can practice writing, interview questions and conduct
interviews with entrepreneurs. The information can then be compiled into a
directory of the types of goods and services, locations, and hours of the
businesses. Students can then discuss the location, advertisement and the
products involved in the business.
Language
arts
Students can be challenged to come up with business ideas or products,
that they think others would be interested to buy. Students can then debate on
the potential audience for the product and how they can make modifications to
it, which will be more alluring to their audience. Students can also deliberate
on with what and whom this product will be competing with.
Thinking
skills
Teach students to think on, what’s positive or strong about their work
and let them ponder on their weaknesses to find the changes needed to make
their product more interesting. Let students to understand, passion and
satisfaction to come up with their own original ideas to persevere in the
project with what limited resources they have.
Imagining
Creativity dwells within imagination. Pass around common objects to
students and make them imagine that object in a different outlook, it will help
students to see the same object through a different perspective. It will make
students to see possibilities in a common object in a new way.
Research
skills
Have students to look through the yellow pages to spot businesses and
interesting names, and then categorise these results in superlative forms of adjectives,
foreign words, what the business produce or sells, geographic locations and
their functions.
ENTREPRENEURSHIP
EDUCATION IN INDIA
India has a pioneering status among developing countries for its early
start ong variety of entrepreneurship education programs. For the most part, entrepreneurship
education in post-independence India has been focused on measures designed te
encourage self-employment and founding of Small and Medium Enterprises (SMEs).
The Industrial Policy Resolution of 1956 has, for instance, a very strong
emphasis on the SME sector. As the economy transitioned from being primarily
agrarian into one that has significant contribution from other sectors, it was
felt that the most pressing requirement was education that would enable need-based
entrepreneurs to make forays into these emerging sectors. Consequently, in the
1960s and 70s, entrepreneurship education was almost exclusively delivered in
the form of tr. programs, offered by institutions under the aegis of State and
Central Governments, and by financial institutions receiving support from the
Government. Some of the institutions delivering such programs were:
1. Industrial
estates and in common service facilities (like tool rooms)
2. Training and
counselling institutions (NISIET, SISI, TCOs, EDI)
3. Financial institutions
like SBI, IDBI, TDICI, RCTC, etc.
4. Development
boards (STEPs, EDCs, TBIs)
In the 80s, entrepreneurship education continued to focus primarily on
entrepreneur training aimed at creating self-employment ventures. The 80s also
saw the entry of entrepreneurship education into technology and management
institutions. At the IIM Ahmedabad, for example, faculty members started
offering Achievement Motivation Training. Other management institutions also
began offering similar courses, driven mainly by faculty interest. However,
none of these institutions took on a pioneering role to emerge as a
thought-leader. Governmental effort oversaw the founding of an initiative to
set up Science and Technology Parks (STEPs) and incubation centres at a few
reputed technical institutions. With the advent of liberalization in the 90s,
the country saw the potential of entrepreneurship not only as an entry-level
employment generator, but also as a means of wealth creation. Success stories,
especially in the IT sector, were viewed by entrepreneurs as role models. The
country as a whole saw a growing interest in entrepreneurship, fuelled by
factors such as growth potential of economy, changing social and cultural
milieu, global success of several Indian firms, emerging opportunities in
different sectors and lower capital requirement in IT and service sectors.
The past two decades have witnessed the entry of industry associations,
NGOs, consultants and voluntary organizations into the entrepreneurship
education space. In general, this time period saw the strengthening of the
entrepreneurial ecosystem, with the establishment of modes of education that
were not training based. Examples of such modes include:
1. Mentoring pools like TiE, and networking events
2. Entrepreneurship Development Cells (NSTEDB, AICTE, UGC)
3. Incubators at various institutions such as: (i) Technology Business
Incubators (NSTEDB, at over 30 educational institutions) (ii) Engineering
colleges (IITs, NITs, leading private colleges) (iii) Management schools (ISB,
IIMs, leading private schools)
The latest surveys of the trends of entrepreneurship education in India
conducted in 2012 indicate that 44,500 students are currently enrolled in
entrepreneurship programs across the country. The present Indian Prime Minister
Mr. Narendra Modi take initiatives as ‘start-up’ there by creative
entrepreneurial spirits among young Indians through his ‘Skill India Projects’.
For this purpose, a lion shares of fund granted to new entrepreneurs through start-up
ventures to empower coming generation and increase employment opportunities,
economic viability and sustainable development.
Challenges faced by
entrepreneurship education in India
The present entrepreneurship education in India concentrates on courses
which are similar to the general business courses. There is a demand for
education programs specifically designed to expand students’ knowledge and
experience in entrepreneurship. Entrepreneurship education in India faces
cultural and financial constraints along with insufficient government capacity.
The significant challenges faced by entrepreneurship education in India are
given below:
1. Cultural
barriers: Entrepreneurship can develop only in a society in
which cultural norms permit variability in the choice of paths of life.
Unfortunately, the Indian culture consists of a network of benefits that in
many waysrun counter to entrepreneurship. For example, Indians believe that
being passive and content with the status quo is healthier for the inner soul
than striving to improve one's situation. They believe that peace of mind can
be achieved from spiritual calm rather than from materialism. People in India
are more sensitive to emotional affinity in the workplace than to work and
productivity. An entrepreneur needs to work around the clock and this has kept
some people away from their own start-ups. After all, compared with other
countries, family life in India is more important.
2. Difficulties
towards Start-ups: Starting a business in India is
costly in terms of the time required and the cost involved. While it takes just
five days to start a business in the United States and just two days in
Australia, in India it takes as long as 89 days. What really hurts is that even
in neighbours Pakistan, Nepal, and Bangladesh, it takes just 24, 21, and 35
days respectively to do so. The reason for such delay is bureaucratic - too
many rules and regulations, and too much paperwork. On an average, it would
cost an entrepreneur nearly half of his/her total income (49.5% of the gross
national income per capita) to set up a business, which is 100 times more than
what is needed to set up a business in the United States. The absence of an
appropriate entrepreneurial climate, the lack of required infrastructure
facilities, ang the lack of access to relevant technology hinder rapid
industrial development. Most of the time, the Indian entrepreneurs have to
tackle electricity, transportation, water, and licensing problems.
3. Incomplete Entrepreneurship Education:
Many people have the opportunity to change jobs or become an entrepreneur if
they are properly trained. The students in India are not confident with the
traditional education they receive in the university.
4. Lack of a standard
framework: Entrepreneurship education. is widely spread, has
diverse forms and has a large number of stakeholders. But the overall state of
affairs is a confused one, one that lacks broad vision, goals, and systematic
planning. The lack of a standard framework is a big challenge to the
development of entrepreneurship education in India.
5. Dependence on
government: Higher degree of dependence on government is
another challenge before entrepreneurship education in India. Insufficient
private sector participation and lack of sustainable business models in the
entrepreneurship education act as barriers to its development in India.
MODULE 5
EDUCATIONAL OBJECTIVES OF TEACHING COMMERCE
EDUCATION
5.1 Blooms taxonomy of educational
objectives, Revised Blooms taxonomy-conceptual overview
5.2 Objective based instruction-based on
Bloom’s taxonomy (Cognitive, affective, psychomotor domain)
5.3 Competence based instruction
5.4 Tripolar relation-objective, learning
experience, Evaluation
5.1 BLOOM’S TAXONOMY OF EDUCATIONAL OBJECTIVE
Bloom’s taxonomy of educational objectives is
a hierarchical ordering of skills in different domains whose primary use is to
help teachers teach and students learn effectively and efficiently. The meaning
of Bloom’s taxonomy can be understood by exploring its three learning
domains—cognitive, affective and psychomotor. Each of these domains further
consists of a hierarchy that denotes different levels of learning.
The fact that each domain is hierarchical
means that learners need to move through these domains one step at a time. They
cannot proceed to a new level without completing the previous one. This is an
important characteristic of Bloom’s taxonomy. It fits in with Bloom’s taxonomy
objectives in providing a systematic and gradual learning process.
A BRIEF HISTORY OF BLOOM’S TAXONOMY
Bloom’s taxonomy was originally devised by
Benjamin Bloom in 1965, published as a comprehensive classification of learning
objectives and outcomes. In 2001, Lorin Anderson and David Krathwohl (one of
Bloom’s original collaborators) revised Bloom’s initial framework to produce a
modified and updated version of Bloom’s taxonomy. This revision also involved
contributions from curriculum theorists, cognitive psychologists, instructional
researchers and testing and assessment specialists.
Dr.Benjamin
Bloom and his associates made an elaborate analysis of the educational
objectives and their specifications. They arrived at a taxonomy or
classification of educational objectives. This is but an analysis of the growth
of the mind. The mind as we know has three domains:
1)Cognitive domain (Knowing
field)
2)Affective domain
(Feeling field)
3)Psycho motor
domain (Doing field)
The term ‘Cognitive’ is used to include activities such as remembering,
and recalling knowledge, thinking and problem solving. ‘Affective’ is used
to include activities such as organizing, characterizing, appreciating,
developing proper attitudes, interest and values. ‘Psycho motor’ is used
to include any muscular activities with mental acts such as writing,
drawing and dissecting.
It may be noted that changes in the three domains are interrelated and
mutually dependent. Cognitive changes act as pre-requisite for affective
changes while both of these together act as pre-requisite for bringing about
changes in the psychomotor domain.
1. Cognitive Domain: The cognitive domain represents the intellectual component of mental
life. It is the most primary and important aspect of education. This domain
includes those objectives which deal with knowing, thinking and problem
solving. Under this domain six major classes of objectives are arranged in
hierarchical order. The sequence is on the basis of complexity of tasks from
simple to complex.
Knowledge —
Comprehension — Application _ Analysis _ Synthesis — Evaluation
I. Knowledge: Remembering is the lowest level of intellectual structure. Knowledge
involves the recall or recognition of specifics, universal pattern, structure,
etc.
ii. Comprehension: It is intellectual activity of a higher level than knowledge. It
involves an understanding of the material being communicated. The individual is
expected to go beyond the level of recall and recognition by intellectually
processing the information. Translation, Interpretation and Extrapolation are
the three types of comprehensive behaviour.
iii. Application: The individual uses his knowledge and comprehension of concepts,
principles, ideas or procedure in a novel situation, for solving a specific
problem.
iv. Analysis: Analysis is the meaningful breakdown of a material or phenomenon into its
components. This helps in the detection of inter-relationship of the components
and an insight into the manner in which they are organised. Analysis of
elements, Analysis of relationships and Analysis of organisational principles
are the three levels.
v. Synthesis: It is a complex ability at a higher level of cognition. This involves
the ability of an individual to put together elements or parts so as to form a
meaningful whole or a new pattern. It involves the ability to give new shape or
structure to statements or procedures.
vi. Evaluation: This is the highest level of cognitive structure. It is also the most
complex ability which involves all the earlier abilities. It enables an
individual to judge a material, method, product or process against a standard
and to establish the worth of it. Judgments are both quantitative and
qualitative.
All these abilities in the cognitive domain are not mutually exclusive.
They are in a logical order. The objectives aimed at in one class are likely to
make use of and be built on the behaviour in the preceding classes maintaining
the sequence of the taxonomy. Application of knowledge is not possible without
comprehension.
2. Affective Domain: This is another important aspect of human nature which includes
feelings, interest, appreciation, attitudes and values. The affective domain is
divided into five major classes of objectives which are arranged along a
hierarchical continuum. These are the behavioural abilities which lead to the
realisation of any one of the five aspects given above. These are as follows.
i. Receiving: The ability of an individual to receive information. Awareness of the
sources of information and willingness to receive the information are the sub
levels of this category.
ii. Responding: Regularity in attention and motivation leads to responding. Only if
the learner responds actively to the situation received can the affective
changes be brought about.
iii. Valuing: Individuals set guidelines for controlling their own behaviour.
Acceptance of a value, preference for a value and finally the commitment to a
value are the steps towards it.
iv. Organisation: An individual's interest, appreciation, attitudes, etc. are not
ordinarily motivated by an isolated value. A system of values forms it. There
should be an organisation of values into a system.
v. Characterisation: It is the highest level in affective development. The values are
imbibed and the individual internalises a consistent philosophy of life.
3. Psychomotor Domain: Functions are performed by individuals as a result of neuromuscular
co-ordination. The stronger the co-ordination, the more rapid, speedy and
automatic the action becomes. The abilities for engaging in actions with skill
are classified under the Psychomotor domain. Five hierarchical stages have been
identified in the development of a skill.
i. Imitation: It is the lowest level of neuro-muscular activity. It starts as
impulse and may grow into an overt. act with the capacity to repeat the
performance.
ii. Manipulation: It involves differentiating among various movements and selecting the
proper one.
iii. Precision: Practice or repetition of performance will decrease the faults in
Performance. Precision is related with speed, accuracy, proportion and exactness
in Performance.
iv. Articulation: The individual will be able to handle many actions in unison. This
ability involves co-ordination in action. |
v. Naturalisation: Perfection in performance is the final level in Psychomotor skill. On
attaining perfection, actions become automatic.
Conclusion
Development of ability for psychomotor activities (or skills) related to
the discipline is a very important objective to be realised by commerce education. Teaching
is aimed at bringing about the desired change in any of these three areas.
But almost 98% of the teaching learning process and evaluation is done in the
first area (Cognitive domain). The last is the least cared area, the neglected
one. There is a hierarchical growth in the taxonomy of objectives. No
Understanding is possible with Knowledge. Likewise, application includes both
Knowledge and Understanding.
HOW BLOOM’S TAXONOMY HELPS TEACHERS AND
LEARNERS?
Bloom’s taxonomy of educational objectives is
meant to make learning easier and more enjoyable both for teachers and learners.
Here’s a list of ways in which Bloom’s taxonomy objectives facilitate the
process of learning for both stakeholders:
·
Helps
organize and collect information in a methodical manner
·
Incentivizes
teachers and learners to constantly upskill themselves
·
Builds
team spirit and promotes values that are required to work in a collective
environment
·
Through
its hierarchies, it sets up a series of goals that learners can aspire to
achieve
·
The
multiple domains categorize different elements of learning allowing teachers
and learners to prioritize domains where they might be lacking insight and
information
·
Involves
both theoretical knowledge and practical applications so that the learning
process is as holistic as possible.
·
Can be
used to create a wide variety of assessments and assignments, both personalized
and uniform
·
Can be
used to simplify and complicate an activity in order to track learning progress
more accurately
·
Can be
used to create digital applications that can be customized based on a learner’s
specific needs
·
Its
flexible design means it can be easily updated or revised in the future, taking
into account the changing needs of teachers and learners
·
The
nature of its domains means that it can be applied to almost anything that
requires a stage-by-stage system of learning.
REVISED BLOOMS TAXONOMY-CONCEPTUAL OVERVIEW
Bloom’s taxonomy was developed in the 1950’s
and is used today to categorize ways of learning and thinking in a hierarchical
structure. A revised model was developed by Anderson and Krathwohl in the
1990's to better fit educational practices of the 21* century. The revised
Bloom’s taxonomy helps to plan effective instruction and challenge students to
move from the most basic skills (remembering) to more complex learning which
leads to higher order thinking (creating). Revised Bloom's Taxonomy (RBT)
employs the use of 25 verbs that create collegial understanding of student
behavior and learning outcome.
The following chart makes a comparison
between Bloom’s taxonomy and its revised version; both are taxonomies of
cognition.
Taxonomies of the
Cognitive Domain
|
Blooms
Taxonomy 1956 |
Anderson
and Krathwohl’s Taxonomy 2001 |
|
|
1. Remembering: Recognizing or recalling
knowledge from memory. Remembering is when memory is used to produce or
retrieve definitions, facts, or lists, or to recite previously learned
information. |
|
2. Comprehension: The ability to grasp
or construct meaning from material. Examples of verbs that relate to this
function are: Restate, locate report recognize explain
Express, identify discuss describe
discuss review Infer. illustrate interpret draw
represent differentiate conclude |
2. Understanding: Constructing meaning
from different types of functions be they written or graphic messages or
activities like interpreting, exemplifying, classifying, summarizing,
inferring, comparing, or explaining. |
|
3. Application: The ability to use
learned material, or to implement material in new and concrete situations.
Examples of verbs that relate to this function are: Apply,
relate develop translate use operate Organize, employ restructure interpret
demonstrate illustrate Practice, calculate show exhibit
dramatize |
3. Applying: Carrying out or using a
procedure through executing, or implementing. Applying relates to or refers
to situations where learned material is used through products like models,
presentations, interviews or explaining |
|
4. Analysis: The ability to break down
or distinguish the parts of material into its components so that its organizational
structure may be better understood. Examples of verbs that relate to this
function are: Analyze,
compare probe inquire examine contrast categorize Differentiate, contrast investigate
detect survey classify deduce Experiment, scrutinize discover inspect
dissect discriminate separate |
4. Analyzing: Breaking materials or
concepts into parts, determining how the parts relate to one another or how
they interrelate, or how the parts relate to an overall structure or purpose.
Mental actions included in this function are differentiating, organizing, and
attributing, as well as being able to distinguish between the components or
parts. When one is analyzing, he/she can illustrate this mental function by
creating spreadsheets, surveys, charts, or diagrams, or graphic
representations. |
|
5. Synthesis: The ability to put parts
together to form a coherent or unique new whole. Examples of verbs that
relate to this function are: Compose, produce design assemble create
prepare predict modify tell Plan,
invent formulate collect set up generalize document combine relate Propose, develop arrange construct organize
originate derive write propose |
5. Evaluating: Making judgments based on
criteria and standards through checking and critiquing. Critiques,
recommendations, and reports are some of the products that can be created to
demonstrate the processes of evaluation. In the newer taxonomy, evaluating
comes before creating as it is often a necessary part of the precursory behavior
before one creates something. |
|
6. Evaluation: The ability to judge,
check, and even critique the value of material for a given purpose. Examples
of verbs that relate to this function are: Judge,
assess, compare, evaluate, conclude Argue, decide choose rate select
estimate Validate, consider appraise value
criticize infer |
6. Creating: Putting elements together
to form a coherent or functional whole; reorganizing elements into a new
pattern or structure through generating, planning, or producing. Creating
requires users to put parts together in a new way, or synthesize parts into
something new and different creating a new form or product. This process is
the most difficult mental function in the new taxonomy. |
The names of Six major categories were
changed from noun to verb forms. As the taxonomy reflects different forms of
thinking and thinking is an active process verb were used rather than nouns.
The subcategories of the six major categories were also replaced by verbs and
some subcategories were re organized. The knowledge category was renamed.
Knowledge is an outcome or product of thinking not a form of thinking per se.
Consequently, the word knowledge was inappropriate to describe a category thinking
and was replaced with the word remembering instead. Comprehension and synthesis
were re titled to understanding and creating respectively.
5.2 Objective based instruction-based on Bloom’s
taxonomy (Cognitive, affective, psychomotor domain)
Objectives are immediate goals attainable through instructions. An
objective is a level of mental growth which the teacher expects the learner to
reach through learning activities. The child who has achieved objectives
will be different from the child who has not achieved them. It shows a
change in the behaviour of the child.
If
acquisition of the Knowledge was the objective of
the teacher in teaching a topic, the pupil attaining it will show specific
behavioural changes. They are able to Recall the
facts, terms, principles etc. in that topic. They may also be able to Recognize them.
Here recalling and recognition are the two observable and measurable
behavioural changes or specifications which indicates that the pupils have
attained the objective of acquiring Knowledge.
The
objectives are not directly measurable and observable. But the evidence of its
attainment is collected through their specifications or learning outcomes or
behavioural change. (It is from the level of the expansion of the mercury
column that we measure temperature, and not directly.)
When
the Knowledge becomes the parts and parcel of a child, we say that he has
understood it. Citing principles, Illustrating, Comparing, Generalizing,
Classifying, identifying relationships, Locating etc. are some of the
specifications of the objectives Understanding (Comprehension).
One may bear in
mind the following points while formulating educational objectives.
1)The objective
should be clear and specific.
2)It should state
one activity or skill at a time.
3) It should be
stated in terms of the learner.
4)It should be
stated in full sentence.
5)It should have
two parts: a) The Modification Part (type of change)
b) The Content Part
(The changed area). For example: Objective: The pupil develops understanding of
the new structure ‘passive voice’ and the new words’ rashness’ and ‘offer’.
Here ‘develops understanding’ is the modification part. And the structure and
the new words are the content part. The modification part describes the type of
change to be effected. The content part describes the area in which the change
is decided to be brought about.
5.3 COMPETENCY
BASED INSTRUCTION
The instructional programme, which is aimed at developing different
competencies among the learners, is known as competency-based instruction. This
approach focuses on defining in measurable terms what all things a student has
to learn and attain for the mastery of a task and on evaluating his performance
with respect to all these. With this end in view, the teacher designs
appropriate learning activities for the attainment of these define items and
the learners engage in these activities. Mastery of the task will have to be
evaluated by the teacher in terms of each competency involved ln the successful
performance of the task, in tune with a set of pre-determined standards. These
standards will be made known to the learners in advance, so that they aspire to
gain mastery accordingly. Also, the teacher assesses the level of each of the
learner's competencies before entering into the programme. Then after assigning
the tasks, the learner is made to perform the designed learning activities.
These instructional activities can be of different types based on the nature of
the competency lobe attained. Each student is evaluated at every stage on the
basis of the standard of performance and the level of mastery in the assigned
task. They are not compared with other learners.
The final goal is the mastery of the task as measured in tune with the
standard expected.
Features of competency-based
instruction
The features of competency-based instruction can be enumerated as
follows;
1. Competencies to
be developed among the learners are identified and selected before starting
instruction. These should be explained to the learners in advance.
2. The
instructional programme provides for the development of pre-determined
competencies by each individual learner and for the evaluation of each of these
competencies in terms of well-defined standards.
3. The details of
these competencies and the standards expected will be specified and let known
in advance.
4. Different types
of instructional activities, materials, etc. should be designed in advance in
tune, with the nature of the competencies and standards determined.
5. Assessment of
competency should cover the knowledge, attitudes, values expected of learners,
but the primary source of evidence will be the actual performance of the
learner exhibiting the competency in tune with the pre-determined standards.
6. The entry
behaviour of the learner is to be assessed in advance.
7. The learners
should be frequently observed and their performance analysed to gather feedback
and to provide appropriate remedial measures.
8. Competency based
instruction ultimately aims at mastery learning by all participants in all the
required competencies.
9. To achieve this,
enough time and appropriate environmental conditions should be provided.
Steps in competency-based
instruction
In order to adopt competency-based
instruction a teacher should follow the following steps.
i. Identifying the
competencies
ii. Analysing the
entering behaviour
iii. Explaining the
competencies
iv. Imparting
instruction
v. Conducting evaluation
in tune with pre-determined standard
Step 1: Identifying
the competencies: Initially the teacher identifies
the competencies to be achieved among the learners. In a commerce classroom
situation, teacher can identify the competencies like, ‘analyse the business
transactions’, journalise the business transactions’, ‘identify different bank
documents’, etc. In other words, teacher determines ‘What to teach?’
Step 2: Analysing
the entering behaviour: After identifying the competencies,
the teacher should analyse the entering behaviour of the learner by way of an
oral or written test. This will help him to determine ‘From which level to
start?’ Also, this will give clues for planning the learning activities to the
learner or learners concerned. Here the teacher determines ‘From where to
start?’ and ‘How to proceed?’
Step 3: Explaining
the competencies: The competencies to be acquired by
the leaner should be explained to him/her. This will help the learner to get a
clear idea regarding what they are going to learn. In certain cases, the
teacher may demonstrate the competencies to the learners. Here the teacher
gives clues to the learner regarding What to achieve?’
Step 4: Imparting
instruction: In this stage teacher should
provide adequate learning activities resulting in experience to the learner.
For this, teacher can select suitable curricular material, which include the
competencies concerned. AS far as commerce education is concerned mastery
learning strategy is preferred for imparting instruction.
Step 5: Evaluation: In order to analyse the attainment of competencies among the learners
an effective evaluation programme should be implemented. Oral test. written
test or practical test can be judiciously given at this stage. The evaluation
will help the leacher to collect the feedback and give remediation programme if
necessary.
Conclusion
The traditional concept of a classroom will be changed due to the
application of competency-based instruction. The accountability of students as
well as teachers will be increased. As the learners’ acquisition of knowledge
can be pre-specified, teaching and learning becomes oriented towards
pre-determined specific goals. This would help attainment of mastery of the
competencies anticipated.
5.4. TRI-POLAR RELATIONSHIP-
OBJECTIVE, LEARNING EXPERIENCE, EVALUATION
Learning as
Pupil Activity
The
Education is the sum total of all the experiences gained
by a child. The educational outcome, growth and development is the result of
gaining experiences which is but the result of action and reaction of the
individual with the environment. It is the duty of the teacher to provide
learning experiences which will result in the development of the ability for
adjustment or growth.
A good teacher should provide learning
experiences suitable for each pupil. The learning experience provided
should cater the needs of the average, below average and gifted. It should be within
the reach of the students. Learning experiences should be based on a well-defined
objectives or behavioural changes that are expected to be brought about. There
should be continuity in learning experiences because development of
certain behavioural changes requires constant practice and this should be
given through recurrence of similar experiences.
There
are as many ways of teaching as there are teachers. And therefore, to provide a
fixed prescription of learning experience should be unsound. Teaching is more
than an art. And a resourceful teacher will have many different approaches
while planning learning experiences, the general principles given are only
guidelines.
The
correct type of learning takes place only through appropriate experiences which
in turn depends very much up on situations and environment created by the teacher,
to which the learner acts and react. This interaction of the learner and
situation results in learning. Active participation on the part of the child is
a prerequisite here. The learner is exposed to a situation and his reaction to
it results in learning. The teacher can provide an educational experience
through setting up an environment and structuring the situations so as to
stimulate the desired type of interactions in the learner.
Steps involved in
Teaching
The teaching is split up into three steps: 1) Formulation of Objectives 2)
Providing learning Experiences and 3) Evaluation. They are interdependent and
measurable. This interdependence is generally represented in a triangle:
-
objectives
Δ
learning
experience
evaluation
From the triangle of inter relationship
we can know that ‘Learning’ is based on ‘objectives’, and ‘objective’ get
clarified by ‘learning’. ‘Evaluation’ is based on ‘objective’ and ‘objective’
is clarified by ‘evaluation’. ‘Evaluation’ gives evidence on ‘Learning’ and ‘learning’
gives hints to the nature of situation for ‘evaluation’.
Objective Based
Instruction
The
instruction which is aimed to attain the predetermined objectives is called
Objective based Instruction. An instructional objective is a specific and
immediate goal attainable as a result of instruction. Instructional objective serves
as a guide for both teaching and evaluation
Objective Based
Evaluation
The teacher has to make periodic assessment of the behavioural changes brought as a result of instruction. (As a doctor tests the effect of the medicine given). He has to test the effectiveness of the teaching. It helps for self-criticism, and enables the teacher to go on with or change his method. The teacher can see how far the teaching activities have been successful for the attainment of the predetermined objectives or goals. This process of judgment will help the teacher to improve his method of teaching as well as to see the practicability of attaining the objectives.
Conclusion
A good teacher always evaluates along with the teaching. Testing or
evaluation goes side by side with the teaching or learning experiences. The
evaluation is also based on objectives.
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