'IT industry raised India's international image'

'IT industry raised India's international image'

By SiliconIndia   |   Friday, 28 November 2008, 05:19 Hrs   |    8 Comments
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Bangalore: The emergence of the software industry in India heralded a new confidence, a new mindset and a new paradigm in the Indian business, says Infosys Chief Mentor N R Narayana Murthy.

In an article published in The Economic Times, he says that for the first time in the history of this country in 300 years, the country felt that it had arrived on the international business scene.

He pointed out that the software industry has raised the international image of the country like no other sector. Wherever you go in the developed world, there is a new-found respect for India, thanks to the software industry.

India has gained reputation as the software development center of the world, much like China's reputation as the factory of the world.

Most of the top companies in this industry have followed the finest principles of corporate governance by running their companies with transparency and accountability. Many are listed on international exchanges like NASDAQ and NYSE, and embraced the changes on these exchanges as front runners and brought recognition to India.

During the nineties, a popular saying among the industry leaders was, "If you see a Mercedes Benz car in front of a house, you can be sure it belongs to the CEO of a failed traditional sector company; If you see a ramshackle ambassador in front of house, you can be sure it belongs to the CEO of a hugely successful software company". This sentence says a lot about the majority of the leaders in our industry.

The software industry has replaced the public sector as the largest creator of jobs. Today, TCS, Infosys and Wipro add more high quality, high disposable income jobs a year than any other company has done in the last hundred years. Such jobs have stimulated the economy in a significant manner.

Our youngsters buy vehicles, buy homes, go on vacation, shop in supermarkets and go to restaurants. When the industry is in top gear, which it has been for most of the last 15 years, there is joy on the main street, an air of confidence among shop owners, and a sense of pride among the families of the professionals. In other words, this industry has been the creator of a positive spiral in our economy.

"This industry has been the shining example of all the good that came out of liberalization and the economic reforms since 1991. As against just 8 percent of the Indian engineering industry output going to exports during the nineties, the contribution to exports from this industry has been between 80 percent and 90 percent of revenues," he said.

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Reader's comments(8)
1: Software has brought prosperity to those working in IT but has brought misery to people working in non-IT sectors as they cannot match the salaries paid by IT sectors. Inflation has sky rocketed & Bangalore has become hell for locals.

This also should be highlighted Mr.Narayanamurthy.
Posted by:Arkalgud Seshadri - 28 Nov, 2008
2: I think you should dosomething about the distorted photos of Mr. Narayana Murthy
Posted by:R R Dasgupta - 27 Nov, 2008
3: Today india has its own IT image. It makes to feel good.
Posted by:Rama - 26 Nov, 2008
4: Totally agree with Mr. Murthy. Its fact.
Posted by:Neeraj - 26 Nov, 2008
5: Unfortunately, IT companies in India have not been able to contribute to the IT development in India. While part of the reason could be attributed to the politics and the bureacracy, the other part should be attributed to the "Dollar Love" that the IT CEOs and CFOs have.

Could be hard to beleieve for those in non-IT, but the 2 secret strategy behind local IT projects taken by any of the IT companies in India are

1. To develop competencies of the large number of trainees who have joined them
2. To overcome difficult times such as now, so that at least the cost can be recovered, if not profit.

Cant blame the IT companies as most CEOs of the corporate world have the first responsibility to his investors. Social responsibility comes last.

I think it is important that government wakes up and provide tax cuts to those companies who are dedicated to help improve IT awareness in rural areas.

A big cheers to Reliance as being the first company to focus on introducing IT into rural areas.
Posted by:critic - 26 Nov, 2008
6: umm I have serious doubts on the issue. Now if you ask any genuine employer in USA to hire an Indian he would probably check thirty times if the guy is getting hired on the basis of genuine experience. Everybody now knows in USA that if you are hiring someone from an Indian consultancy firm, he is ought to have atleast five years of fake experience. Dont want to sound racist, but IT enterprenurs hailing from a particular region in India are adopting all kinds of mulpractices to bring bad name for the country. They torture new grads after hiring, put them in living conditions equivalent to hell, totally screw some one coming on their h1 from India, put fake experience of years, fake paystubs, fake medical leaves,fake this fake that everything fake. Its high time that Indian commuinty abroad do some self inspection. Else brand India would suffer seriously in IT.
Posted by:Pranav Mandloi - 26 Nov, 2008
7: Mr. Murthy is so right in his observation. The software sector has had transformational impact on the Indian psyche and the world’s impression of India and Indians. When I went to Australia in 1969, local people used to ask me if I was a student. When I told them I taught, they would ask if I taught religion, Hinduism, or philosophy. When I told them that I taught mechanical engineering, they would ask if I taught the Asian students at the university. My neighbors were not offensive but the knowledge of India was in such a state then. Since the beginning of this millennium, as Mr. Murthy points out, Indians have gained enormous respect in software, IT, and of course, in a number of areas. But the software thrust has been disruptive of the world opinion. Kudos to the leaders who accomplished it!
Posted by:Som Karamchetty, PHD - 26 Nov, 2008
8: really... well everywhere indians are making news so why only this sector..
Posted by:pallav - 26 Nov, 2008