And I think it is great to be greedy when the objective is greater
information technology usage. It already drives a lot of what we see. What a
change, in just a few years! Banking, booking tickets of any kind, paying bills,
taking exams and looking up results, even paying taxes...IT is at the center of it
all. But yet there are areas of yawning gaps. Take a look at how voter ID cards
are being made, and you wish there was more of IT there, not just as a laborious
data entry process, but a more intuitive, less time-consuming, and cheaper
solution. Like the voting process.
IT, as an industry, is a star for the nation but it is yet to get its real
due as an economic enabler. While the government recognizes its importance, it
is yet not an inherent tool in the economic policy. And while there is no active
discouragement, proactive enhancement is also not evident.
As an industry, the IT/BPO sector has done remarkably well. According to a
Nasscom-Deloitte survey, the sector's contribution to the country's GDP has
grown from 1.2% in 1998 to 5.2% in FY 2007-08. Export earnings grew 36% bringing
in $40 bn. By the end of this year, the direct employment is expected to be 2 mn.
The report indicates that the industry generates an additional four jobs for
every one direct job created. And nearly 75% of these indirect jobs go to people
who only have school-level certificates. The IT/BPO industry has positively
impacted other sectors of the economy, with an output multiplier of almost two,
through its non-wage operating expenses, capital expenditure, and consumption
spending by professionals.
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| Shyam Malhotra |
Great numbers. And they provide clear answers to the utility of information
technology questions. They demonstrate that there are real economic benefits to
fostering technology. And even these numbers do not tell the full tale because
they do not measure the ripple effect of using IT as a tool. Let's say you book
a car from Maruti in a small town in India. You probably don't even come to know
the workings of the IT-enabled supply chain management systems that have been
put in place to ensure that the right model, in the right color, with the right
fittings reaches you within the stipulated time. When the result of a critical
blood test of your father is made available online, you can ask your doctor
cousin in the US to take a look and give her opinion as well. When you are able
to tell a farmer in UP that bajra is selling at a market price of Rs 600 per
quintal in most markets of the state today, he is empowered to negotiate a far
better price with a buyer, than the pittance he has been selling it for. There
are endless such examples.
There is also an endless list of things not done yet. There are many islands
of automation and efficiency. And to grow the islands, sustained and systematic
IT promotion plan is needed. This has to span many areas like education, health,
governance, services, and more. It has to be visible and vigorous. It needs
policies that spread IT usage, digital innovation, digital literacy, tax breaks,
and laws that support the building of a digital society. In the last few years,
computers and the thrust on IT usage has merged into the background. It is
assumed that the momentum will be sustained on its own. That may be true. But
what we need is not maintenance but acceleration. The time for investments,
cheerleading, and evangilization is not yet over in my opinion.
There is a need to remain greedy, ambitious or even paranoid. The words do
not matter. Because this objective is worthy.
(The authour is editor-in-chief of the DQ Week)