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India's Software Industry: State Policy, Liberalisation and Industrial Development
Abstract
From the Publisher:Richard Heeks provides the first critical analysis of the development of India's software industry and the impact on it of the recent policy of liberalisation in the areas of trade, state intervention and foreign investment. The study is located at the intersection of three major trends witnessed in the ninetiesthe increasing importance of computer software in all aspects of business; the mounting global search for outsourcing services and manufacture on the part of multinational companies; and the growing dominance of neo-liberal policy models inspired by the World Bank and the IMF. The author starts with a detailed history of the government's role in India's industrial development. Dr Heeks then examines important issues concerning the software industry such as the division of labour within exports, the relation between export and domestic markets, the role of multinationals, and the impact of imports. Finally, he also studies the development of India's computer industry because of the intimate connection between software and hardware. Basing his arguments on a wealth of facts and figures and probing many misconceptions, Dr Heeks concludes that liberalisation has brought in only limited benefits, and argues that a successful software industry requires essential state interventions of a promotional nature. To this end, he makes recommendations for the future growth of this industry both in India and in other developing countries. Besides being of considerable interest to academics and professionals in the areas of business finance, management, information systems, economics, industrial development and computers, this book will be essential reading for all computer manufacturers, software companies, bureaucrats and those engaged in framing economic and industrial policies.
... In the Indian context, both the government and researchers recognize software and services exports as a core segment in enhancing the overall export since the early eighties. Consequently, a number of fiscal incentives, like tax cuts on income from software and service exports, export subsidies and tax-free import of computer hardware used for export purposes, have been introduced by the government of India to boost software exports (Heeks, 1996). The most common measure of openness called openness index [8] has been used to capture the impact of openness on software and services exports. ...
... The estimated coefficient is 2.20 and statistically significant, which implies that 1% change in openness index leads to 2.20% change in software exports. This finding is consistent with the findings of Heeks (1996) and Kumar (2009). After the economic reforms, Indian software and service exports spread to other countries like Canada and Europe, apart from the United States (the top software export destination of India) whose share has come down during the late twenties (NASSCOM, 2012). ...
... The openness of the economy had a substantial significant effect on IT software and service exports, especially after the adoption of economic reforms policy. This result was consistent with the findings of Heeks (1996) and Kumar (2009). The country's software and service exports have spread to other countries, like Canada and Europe, apart from the United States, whose share is coming down over the late twenties (NASSCOM, 2015). ...
Purpose
The aims of the paper are to investigate IT software and service export function for India. First, cointegration tests have been used to investigate the long-run equilibrium relationship of the given variables. Second, long-run coefficients and associated error correction mechanism are estimated.
Design/methodology/approach
Annual time series data on IT software and service exports, human capital, exchange rate, investment in IT, external demand and openness index have been used for the present study during the period 1980–2017. The data are collected from the National Association of Software and Service Companies (NASSCOM), Planning Commission of India, University Grants Commission (UGC) of India, real effective exchange rate (REER) database and World Bank development indicators. Auto regressive distributed lag (ARDL) model is used to analyze both short-run and long-run dynamic behaviour of economic variables with appropriate asymptotic inferences.
Findings
Results of the analysis show the stable long-run equilibrium relationship among the given variables. It is found that external demand, exchange rate, human capital and openness index have a substantial long-run impact on the IT software and service exports. We also found that the coefficient of error correction term is negative and significant at 1% of the level of significance, which confirms the existence of stable long-run relationship which means adjustment will take place when there is a short-run deviation to its long-run equilibrium after a shock.
Research limitations/implications
There may be other determinants of software and service exports apart from those considered by the present study. Due to the non-availability of data, the study considers only important determinants that determine the software and service exports in India. The IT exports are an emerging and dynamic field of economic activity and the rate of change is so rapid that the relevance of individual factors may change over time. The study period is also limited to available data.
Practical implications
The paper has implications for achieving sustainability in IT software and service exports growth. It is recommended that policies directed at improving the performance of IT software and service exports should largely consider the long-run behaviour of these variables.
Originality/value
This paper focuses on originality in the analysis of the relationship among the given variables including IT software and service exports, human capital, exchange rate, investment in IT, external demand and openness index in India. All the work has been done in original by the authors, and the work used has been acknowledged properly.
... A catalyst for outsourcing activity to developing countries has been the improvements in satellite communications in countries where labour is cheap. The size of such outsourced software development work which is sometimes labelled as `foreign opportunity' is growing very rapidly (Heeks, 1996). ...
... These contracts, representing 70± 80% of the industry's export revenue, were generally short-term, low in risk and investment and low in value added in terms of revenue and skills. This window of advantage is, however, narrowing gradually as other countries such as China, Bangladesh, Sri Lanka and the Philippines are offering cheaper labour (Heeks, 1996). Moreover, the automation of software development is resulting in a reduction in the labour intensity of this activity while at the same time making the quality of skilled manpower more important than ever before. ...
... A few analytical studies on the Indian software industry have been carried out. One view put forward by Heeks (1996) is that the rapid growth of software exports sti¯es the domestic market. Heeks (1996) presumed supply constraints ± that the domestic software demand could not be met because it was more attractive to deploy scarce programming resources for higher earning export projects. ...
Over the last decade, India has made a conscious effort to participate in the global software industry by providing software development services to client companies in the West. We see the Indian software industry as sustaining its competitive advantage and having reasonable growth prospects. In some ways this is a counter-point from many of the earlier predictions in the literature that suggested that the growth of the software industry in India was a temporary phenomenon which exploited an existing opportunity of shortage of software engineers in Western countries and benefited from the consequent moves towards outsourcing.
... In the 1980s, as the government undertook limited computerisation of its activities, it encouraged the use of Unix as the operating system of choice. This led local firms to modify the Unix source code to run on hardware they designed (Heeks, 1996). It is impossible to overemphasise the importance of familiarity with Unix. ...
... 5 The practice had its advantages and limitations. On one hand, it meant 'input-less exports', requiring only a contact overseas, a little finance, and the names of local programmers who could be hired and sent on-site (Heeks, 1996). On the other hand, it underutilised the skills of well-trained engineers, many of whom quit to seek more challenging and better-paying jobs once sent overseas. ...
To shed light on the future of Indian ICT services, this chapter will examine economist Robert Schware’s ‘walking on two legs’ proposition, that the experience gained from a strong domestic market is critical to export success in the industry. India’s emergence as the world’s largest exporter of a range of ICT services, including software, with considerably smaller production for the domestic market, challenges the proposition. Recently, however, the domestic market in India has become significant, that is, much after exports gained prominence. Since Schware does not offer an explanation for this apparent anomaly, this chapter will provide one by emphasising how the socioeconomic value of ICTs comes from abstracting and encoding practices in various domains of human activity. While the process of abstracting requires proximity to the activity, encoding with technology can take place at a distance as code can be electronically transmitted without loss of quality. India’s exports grew on the basis of labour-intensive services, by relying on customers for domain knowledge. More recently, however, growth has involved pursuing a potentially large domestic market among underprivileged populations who have been served with little or no technology thus far. This chapter will also describe how serving this population requires significant effort, such as building new organisational alliances, to understand their needs before deploying any technology. Thus, instead of a unique trajectory, in which export growth draws on the experience of the domestic market, the Indian software services industry is defined by at least two different trajectories, each with its distinct source of knowledge. The chapter argues that these two trajectories will continue to characterise the future of Indian ICT services.
... We see companies that have used outsourcing for their development, cost reduction, risk diversification or quality improvement [7][8][9][10]. There are only a few effective instances of off shoring, which has brought cost savings, innovation, quality improvement or other advantages, and these are mostly among big, globally engaged companies [11].Outsourcing should be seen as an instrument that enables the company tofocus on its k ey business.Based on the current growth in outsourcing (and also off shoring), backed by globalization, deregulation, the development of IT and communication techniques, advance deducation with specialization, we look forward to outsourcing to grow more height. [7][8][9][10][11][12][13]. ...
... There are only a few effective instances of off shoring, which has brought cost savings, innovation, quality improvement or other advantages, and these are mostly among big, globally engaged companies [11].Outsourcing should be seen as an instrument that enables the company tofocus on its k ey business.Based on the current growth in outsourcing (and also off shoring), backed by globalization, deregulation, the development of IT and communication techniques, advance deducation with specialization, we look forward to outsourcing to grow more height. [7][8][9][10][11][12][13]. ...
Infosys Limited is an Indian multinational IT company, located its headquarters in Bengaluru, Karnataka, and established in the year 1981, which offers information technology, Business consulting and outsourcing services. It was founded by seven engineers with an investment of 250 dollars in India. In 2018-19, Infosys secured fifth rank Globally for IT services. Its brand value increased by 8% to $6.5 billion. N. R. Narayanamurthy(CEO) was leading the company since its establishment till 2014, for 21 years. Its market cap amounted to 46.52 billion dollars on March 29, 2019.In 2019, it has 228,123 employees working at different roles and campus, all over the world. Infosys offers development of software, repairs, and autonomous support services to economics, insurance, production, and businesses. Infosys planned to reduce the amount of work done on site by their manpower travelling visas in the United States by shipping more work overseas. By this way, Infosys aims to protect and improve margin benefits. The charges for onsite projects are 3-4 times more than those delivered out of India. Infosys has nearly 25% work performed onsite and remaining from India. Forrester research has used Forrester wave methodology to classify Infosys as a leader in easy offshore capacities. The study also reviewed that Infosys, using a low-cost GDM or offshore delivery model, is the biggest of the six in terms of income for application-related services. This case study focused on various goals— business vs. operational metrics, profit vs. saving cost, and decreased service needs vs. better customer service. This Case study also helps to explore the strategies and advantages of providing IT services in terms of economic development and client demand.
... The emergence of the Indian software industry is an outcome not only of an explosion in global demand for high-skill and low wage software professionals, but also of the changing role of the Indian state (Parthasarathy, 2004). Nollen (2007) for instance, argues that from its very early years the government was very active in promoting the software industry by first being a regulator and producer and later taking on the role of a promoter and supporter (Aggarwal, 2013;Heeks, 1996). Besides this, the genesis of Bengaluru's (formerly known as Bangalore) emergence in the 1990s as a hub in the global knowledge economy may be traced back to Nehru's decision in the 1950s to locate the strategic public sector defence and electronics industry in the city (Parthasarathy, 2004). ...
... Thus, until the 1980s, the IT industry was guided by a protectionist strategy. However, since then the government has slowly begun to roll back these policies to make the software industry better prepared for international competition (Aggarwal, 2013), with a focus on promotion and support of the industry rather than control and ownership (Heeks, 1996). Alongside this change to a more liberalised economic environment, there was also a shift in the approach to policy making where inputs from the employers' bodythe National Association of Software and Services Companies (NASSCOM), founded in 1988began to play an important role. ...
https://www.ipe-berlin.org/fileadmin/institut-ipe/Dokumente/Working_Papers/ipe_working_paper_134.pdf
... This time difference along with benefits of the STP scheme had given the opportunity to support offshore development of software maintenance, creating a 24 hour round the clock support with lower manpower costs. Time difference provides firms the opportunity to mobilize manpower with the development of a repository of knowledge that would help in bidding for future projects (Heeks, 1996). The advantage of offshore development is also visible in revenue generation from both on-site and offshore services between 1990 and 2018( Table 6). ...
... In this phase, the firms have started to shift from CBDs, towards the south side of the city where the electronic city was set up with an area covering 3.2 sq.km. Initially recognized under the STPI scheme with satellite link earth station facility for the high-speed data connection (Heeks, 1996;Figure 6). During this phase, various MNC's have setup different sizes of Indian operations based upon the demand from its headquarters in the US and Europe. ...
“Location”, “Location”, “Location” determine the policy dynamics of industrial development in today's globalised world. These words also define a spatial unit with resources, labour, and proximity to the consumer base. The advent of information and communication technologies (ICTs) and transportation networks have increasedthe concentration of industries at a particular location in this globalised world. This paper discusses two aspects of regional development, firstly the apprehensions in understanding location policy for industrial development. Secondly, the choice of location of India in providing the skilled labour force for knowledge‐based software services industry and the consequent urban regional dynamics in the spatial growth of the Bangalore metropolitan region (BMR).
... The Indian software industry is mainly export oriented because, in spite of having skills and English-speaking fluency comparable to their counterparts in developed countries like the US and Europe (Heeks 1996), Indian software professionals receives a salary four to five times less than that of their foreign equivalents. Government policies also support ' high export orientation" (Heeks 1996). ...
... The Indian software industry is mainly export oriented because, in spite of having skills and English-speaking fluency comparable to their counterparts in developed countries like the US and Europe (Heeks 1996), Indian software professionals receives a salary four to five times less than that of their foreign equivalents. Government policies also support ' high export orientation" (Heeks 1996). Moreover, out of the top 300 companies, more than 216 have already acquired ISO 9000 certification. ...
... The industry shifted to software product development as a means of maintaining its comparative advantage, increasing exports and moving up the value chain (Ojha and Krishna, 2004).Yet, the high development costs, piracy and preference for imported products made firms wary of squandering their low labor cost advantages (Correa, 1996). Eventually, firms ventured into creating packaged softwares by following strategies like leveraging their skills and experience, product user feedback and product track records (Heeks, 1996). In fact, Tessler et al. (2003) advocated using the domestic market as a testing ground for new product development, product testing, user reviews and implementing improvements before venturing into global exports. ...
... Contemporary research on the IT industry has focused almost exclusively on the industry as a single entity while studying the different phenomena. In particular, there is an implicit assumption that IT products and IT services are the same due to their similar work activities (Ilavarasan and Sharma, 2003;Heeks, 1996). However, this stems from a lack of in-depth understanding of the software industry (Glass, 2001). ...
Purpose
This study is a comparative organizational analysis of the four subsectors of the Indian information technology (IT) industry, namely, IT service (ITS), business process outsourcing (BPO), software products services (SPS) and engineering and R&D (ER&D). The purpose of this paper is to empirically identify the cross-sectorial attributes, organizational characteristics and the talent best suited to it.
Design/methodology/approach
Data were collected using a qualitative research design with semi-structured interviews of 17 industry experts.
Findings
Findings suggest there are differences in the internal organization of each subsector and this influences the talent attracted toward it. ITS and BPO are perceived as customer driven sectors where technology is an enabler to facilitate smooth functioning of customer operations. Conversely, technology is the core factor that drives SPS and ER&D. Similar observations and differences in the design, environment, individual motives and competencies are identified. The study also identified the inter-relationships between organizational characteristics, task and social structures in the IT industry using Perrow’s organizational theory.
Research limitations/implications
The findings identify contextual dimensions and shared patterns that exist between the subsectors. At the same time, it distinguishes each subsector in terms of observable and objective characteristics. Significantly, the study highlights the inter-relationships between technology, task, raw material, goal and social interactions. However, the authors stop short of framing hypotheses to test the relationships identified here.
Originality/value
This cross-sectorial study delineates between the four subsectors and provides a foundation for pursuing future investigations in the right direction. This attempt to systematically analyze and compare all the subsectors of the IT industry simultaneously is a distinctive approach. The sectorial diversity suggests a need for talent management practices that will fit the unique characteristics of each subsector.
... Over the years, software development has changed significantly, from being vertically integrated with hardware to a decentralized system based on object-oriented programming 2 and distributed programming 3 . This has enabled the highly skilled work of software development to be broken into a series of relatively standardized production steps, starting with the analysis of the problem, design, coding, testing, delivery and installation and finally maintenance of the software (Heeks 1996). The early stages of conceptualization and design involve heterogeneity and innovative work, which decline at the stages of testing and implementation (Rothboeck et al. 2001;Sahay et al. 2003). ...
... Given that the work outsourced is low-end and low cost, the Indian state has had to strongly embed private capital in the local economy as alternative locations like the Philippines are widely available (Noronha and D'Cruz 2016b). Clearly, from the very beginning, the Indian government has been actively nurturing the software industry by, first, being a regulator and producer, and later, taking on the role of a promoter and supporter (Heeks 1996;Nollen 2007). As a regulator, the Indian state protected the IT industry from competition by placing import controls on hardware, imposing a 100% import tariff on software and refusing to allow any overseas sales offices until 1979 (Aggarwal 2013). ...
In this article, we shift the usual analytical attention of the GPN framework from lead firms to suppliers in the network and from production to IT services. Our focus is on how Indian IT suppliers embed in the Netherlands along the threefold characterization of societal, territorial and network embeddedness. We argue that Indian IT suppliers attempt to display societal embeddedness when they move to The Netherlands. Our findings reveal that the endeavour by Indian IT suppliers to territorially dis-embed from the Dutch context is reinforced by their peripheral position in the network and their ability to offshore work in a bid to contain costs, in addition to the influence of client domination. Therefore, territorial embeddedness is considered to be secondary to societal embeddedness which is intertwined with client interest while neglecting the interest of other network members. Nonetheless, the inter-firm relationship is complex, given the tension between societal, territorial and network embeddedness. While preferring Indian IT suppliers because of their low pricing, Dutch clients also insist on compliance with the institutional context of the Netherlands especially when it comes to Dutch employees. This results in hybridization which means that Indian IT suppliers find ways to adhere to the institutional framework for Dutch nationals while simultaneously insulating Indian employees from the same. Consequently, a highly unfair segmented internal labour market develops, with Dutch nationals being treated more favourably as compared to Indian nationals. Nonetheless, to address these violations, Indian employees prefer individual strategies of resilience and rework rather than a collectivization response.
Read full article here https://rdcu.be/bbLFP
... A disponibilidade de mão-de-obra qualificada a baixo custo e de língua inglesa (Heeks, 1996) foi o fator determinante para a entrada da Índia como um player competitivo no mercado internacional de software, no contexto da crescente demanda mundial provocada pelo processo de outsourcing norte-americano. Desta maneira, destacam-se como agentes fundamentais no desenvolvimento do software na Índia os profissionais de TI, entre engenheiros, programadores e técnicos. ...
... Desta maneira, destacam-se como agentes fundamentais no desenvolvimento do software na Índia os profissionais de TI, entre engenheiros, programadores e técnicos. Esta força de trabalho foi fruto de extensas políticas educacionais adotadas pelo governo a partir dos anos 1970, em particular na criação de institutos técnicos e carreiras terciárias orientadas ao desenvolvimento do setor (Heeks, 1996;Joseph, 2009). Por exemplo, para aumentar a qualidade e nivelar os cursos oferecidos nas áreas de TI, o DOE passou a oferecer também certificações e a padronizá-los. ...
... In comparison with the USA, UK or other developed nations, organizations in Finland tend to place less importance on the cost-saving benefit [Apte et al. (1997)]. On the other hand, India, Nepal, Russia and Hungary seem to have built their IT industry on cost and quality advantages [Heeks (1996a); Rajkumar and Mani (2001); Ravichandran and Ahmed (1993)]. However, the overriding effect of required IT skills facilitates this particular arrangement, as illustrated by the commentary below: "Our expertise in cutting-edge technologies is superb, and we possess up-to-date skills in IT/IS project development and management that is in high demand everywhere." ...
Various important benefits can be achieved through the successful management of offshore outsourcing. Numerous studies exist on outsourcing in general, yet the vast majority of extant literature on offshore outsourcing has dealt with information technology (IT) outsourcing from the client's perspective. Several frameworks, focusing on guiding information systems managers in relation to IT outsourcing, have been developed. However, none of these frameworks attempted to provide a holistic guideline to manage the entire process of offshore outsourcing of software production. There is a significant lack of studies dealing with the management of offshore outsourcing of software production from both the vendor's and client's perspectives. Thus, there is a great need to study such a multifaceted and complex phenomenon more deeply for both scenarios to find out the best practices for managing the unified process. In this study, we utilize the conceptual framework of The ICT-supported Unified Process Model of Offshore Software Production Outsourcing as our research model. We then validate this model by reviewing the vast extant literature, and by conducting multiple case studies from both the vendor's and client's viewpoints, where professionals with extensive experience in managing offshore outsourcing of software production are interviewed. The implications of the findings are discussed for both practical and research purposes.
... The role of the Indian state (both at the centre and the state level) has been categorised from being soft (Parthasarathy 2004;Chandrasekhar 2003) and benign on regulations (Kattuman and Iyer 2001) to complacent and even fostering (Balakrishnan 2006;D'Costa 2011). Direct incentives from governments took the form of land, tax reliefs, electricity, infrastructure, and export zones (D'Costa 2011;Heeks 1996;Joseph and Harilal 2001). The ince ntives crucially covered the industry's labour requirements (Balakrishnan 2006). ...
... The role of the Indian state (both at the centre and the state level) has been categorised from being soft (Parthasarathy 2004;Chandrasekhar 2003) and benign on regulations (Kattuman and Iyer 2001) to complacent and even fostering (Balakrishnan 2006;D'Costa 2011). Direct incentives from governments took the form of land, tax reliefs, electricity, infrastructure, and export zones (D'Costa 2011;Heeks 1996;Joseph and Harilal 2001). The ince ntives crucially covered the industry's labour requirements (Balakrishnan 2006). ...
... Sektörde bir bütün olarak sıkı uygulanan fikri mülkiyet hakları, yasadışı yazılım kopyalama için bir önlem olsa da gelişmekte olan ülkelerdeki yazılım sektörünü olumsuz etkileme potansiyeline sahiptir. Heeks (1996), bu konuda, gelişmekte olan ülkeler yazılım üzerindeki fikri mülkiyet haklarına çok fazla odaklanması gerektiğini ifade etmiştir. Gelişmekte olan ülkelerdeki kullanıcıların büyük bir kısmı, yazılımların telif haklarından doğan piyasa maliyetini karşılayamadıklarını belirtmiştir. ...
Teknoloji, uluslararası ilişkilerde asli belirleyici bir role sahiptir. Dönüştürücü süreçler bütünü olarak teknolojik gelişim; sosyal, kültürel, ekonomik ve politik alanın yanı sıra ülkeler ve bölgeler arası ilişkileri derinden etkiler. Uluslararası ilişkilerde en iyi ve en verimli gelişmeleri teknoloji belirlemiştir. Ne yazık ki en kötü ve en yıkıcı olanları da... Üretimi, iletişimi ve dayanışmayı teknoloji yükseltmiştir, ne yazık ki savaşları ve kirliliği de... Teknolojik gelişmişliğin veya teknolojiye erişimin düzeyi, uluslararası ilişkilerin doğasını ve uluslararası sistemin hiyerarşik yapısını şekillendirir. Teknoloji ile uluslararası ilişkilerin koşutluğu ve birlikteliği tam da bu noktada insanoğlunun günlük hayatına, üretim ve mübadele ilişkilerine, tüketim alışkanlıklarına, kültürel alanına, iletişimine, güvenliğine ve geleceğine, diğer bir deyişle zaman ve mekan boyutuyla tüm varoluşuna nüfuz eder. Devletler arası veya toplumlar arası, insanoğluna dair ve insanoğlunun eylemiyle şekillenen her türlü meta, yapı, ilişki ve organizasyon, işte bu etkileşimin ürünüdür. Teknoloji ile uluslararası ilişkiler dünyasının etkileşimini yansıtan bu temel dinamikler, bilim insanlarınca tespit edilir ve tartışılır. Uluslararası ilişkiler ile teknolojinin buluştuğu bu dönüştürücü, dinamik ve disiplinlerarası boyut, çalışmamıza esin kaynağı olmuştur. Yeni teknolojik gelişmelerin uluslararası ilişkilere, uluslararası ilişkilerin de teknoloji ve yenilik süreçlerine etkilerini takip edebilmek, mevcut sorunları tartışabilmek, geleceği öngörebilmek ve bunları akademik bir süzgecin içinden geçirip tarihe not düşebilmek adına hazırladığımız “Teknoloji ve Uluslararası İlişkiler” başlıklı kitap projemiz, teknolojik değişim ile uluslararası ilişkiler/uluslararası politika arasındaki etkileşim üzerinden literatüre nitelikli bir katkı sunmayı hedefler. Kitabın yayın dili Türkçe’dir çünkü öncelikle Türkçe literatüre katkı sunmak amaçlanmıştır. Projemiz disiplinlerarasıdır çünkü Uluslararası İlişkiler, Avrupa Çalışmaları, Siyaset Bilimi, Kamu Yönetimi, Yönetim Bilişim Sistemleri, İktisat, İşletme, Maliye, Çalışma Ekonomisi ve Endüstri İlişkileri, Uluslararası Ticaret, Finans ve Hukuk gibi sosyal alanlar ile Bilgisayar ve Bilişim Mühendisliği gibi teknik alanların sentezlendiği, farklı bilim dallarından gelen bilim insanlarının emeğini yansıtan birbirinden değerli teorik ve ampirik çalışmaları bünyesinde toplamıştır.
... 3 Fortunately, both the public authorities as well as the private sector are aware that the peso devaluation by itself is not enough to foster a sustained process of exports growth, which requires the solution of the structural weaknesses inherited from the past. 4 See, among other studies, Weber et al. (2000) for Brazil, Zhang (2000) for Asian developing countries, Teubal et al. (2000) for Israel, Tallon and Kraemer (2000) and Coe (1999) for Ireland and Arora et al. (1999), D'Costa (2000 and Heeks (1996) for India. 5 In the case of India, for example, import substitution policies helped to establish a huge human resources base from the state-sponsored tertiary technical education system. ...
This volume takes a broad look at the new economy both theoretically
and empirically to understand the development possibilities and the
attendant challenges associated with ICT. As services comprise a significant
sector in the new economy, the book begins with some conceptual
issues pertaining to the measurement and performance of services.
Andersen and Corley (Chapter 2) argue that the ‘productivity paradox’
associated with ICT exists not because of a lack of productivity growth
but rather due to flaws associated with the measurement of total factor productivity (TFP). As services are intertwined with new technologies
such as telecommunications and the Internet, they are not only difficult
to measure but they require new global rules of engagement because of
their network characteristics. Consequently, whether developing countries
can work effectively with the changing global regime, how they
might utilise the open access to knowledge and information, and how
they can adopt best practices (such as telemedicine, distance learning
and e-government) are significant questions for development.
... India's entry into the global economy came through the very simple stratagem initiated by United States computer firm, Burroughs Corporation, which suggested to its Indian affiliate, Tata Consultancy Services, that it transfer some Indian software engineers to the United States to install software. This was the genesis of 'body shopping' (Heeks 1996). Gradually, these Indian firms shifted to an offshore model where they would do the coding in India. ...
... However, Ben Ben Mim et al. (2022), Singh (1997) and Udoh and Ogbuagu (2012) stressed the negative impact of financial liberalization on industrial development in emerging economies. Yet, He et al. (2017) reported moderate effect of financial development on industrial specialization in China, while Heeks (1996) emphasized limited benefits of financial liberalization on the growth of the Software Industry in India. Moreover, Azolibe (2022) reported mixed effects of financial development on industrial growth for different country-income groups. ...
Despite the importance of the financial system and quality of institutions to the attainment of economic development goals, the mediating role of institutions in how finance influences the development of the industrial sector across countries has not been given adequate attention in the literature. Therefore, this study assessed the moderating role of institutions in the relationship between finance and industrial development of South Africa for the period 1984–2021. To evaluate the long-run relationship among the variables, the combined cointegration test of Bayer and Hanck was used, while fully modified least squares, dynamic least squares and canonical cointegrating regression were employed to estimate elasticity relationships. The findings of the study revealed that finance impacts industrial development positively in South Africa, but this positive impact is diminished by the quality of institutions in the country. Therefore, the financial system in South Africa needs to be rooted in a high-quality institutional structure for its beneficial impact on the industrial sector to be reinforced for sustainable development. Moreover, there is a need for more reforms in the financial system to promote efficiency that would translate growth in finance into more inclusive growth gains in the industrial sector.
... The 1990s were a inflection point for Bangalore with the establishment of the first Indian Software Technology Park (STP) in Electronic City, which provided space, satellite communications, and assured an uninterrupted power supply to software companies (PARTHASARATHY, 2000;RAJARAMAN, 2012). The STPs model was replicated all over India, pre-signaling a main feature of the 1990s development of the Indian software industry: the "super export orientation" (HEEKS, 1996). In fact, Indian software exports grew between 1987 and 1992 in a linear trend, but since 1992 exports grew exponentially. ...
Bangalore's IT entrepreneurial ecosystem boomed in the 2010s. However, its recent development is the result of an accumulative process of capacities building. The objective of this article is to analyze this process from systemic and evolutionary perspective, inspired by some Latin American contributions. This study adopted a single in-depth case study design based on more than 20 semi-structured interviews with key actors of Bangalore's IT entrepreneurial ecosystem. This approach allows us to identify and reflect on the different long-term, multi-level and context specific processes, events and actors that influenced the configuration of Bangalore's IT entrepreneurial ecosystem, pointing out some systemic and structural constraints that may hinder its further development. The idea of structural heterogeneity is introduced in the entrepreneurship literature to denote the coexistence of a vibrant nucleus of entrepreneurial activity surrounded by certain underdeveloped systemic conditions. Finally, by introducing several Indian contributions, this study helps to deepen the dialogue between Asian and Latin American scholars to develop a research agenda on innovation and entrepreneurial systems giving account of the Global South development challenges.
... Sektörde bir bütün olarak sıkı uygulanan fikri mülkiyet hakları, yasadışı yazılım kopyalama için bir önlem olsa da gelişmekte olan ülkelerdeki yazılım sektörünü olumsuz etkileme potansiyeline sahiptir. Heeks (1996), bu konuda, gelişmekte olan ülkeler yazılım üzerindeki fikri mülkiyet haklarına çok fazla odaklanması gerektiğini ifade etmiştir. Gelişmekte olan ülkelerdeki kullanıcıların büyük bir kısmı, yazılımların telif haklarından doğan piyasa maliyetini karşılayamadıklarını belirtmiştir. ...
Yazılım sektörü, gelişmekte olan ülkelere yeni fırsat yaratma ve katma değer sağlama konusunda önde gelen sektörler arasındadır. Türkiye gibi genç ve dinamik nüfusa sahip ülkeler bu potansiyeli yakalamak açısından önemli bir avantaja sahiptir. Bu noktada, bilişim sektöründe başarılı olmuş, sektördeki başarılı stratejiler oluşturmuş, başarılı uygulama örnekleri ve hikâyeleri diğer ülkelere örnek ve ilham kaynağı olmuş pek çok ülke vardır (Arora ve Athreye, 2002; Riain, 1997; Kapur, 2006; Cochran, 2001). Hindistan, İrlanda ve İsrail gibi ülkeler, bu sektöre 1970 ve 1980’lerde başlayan ilgilerini, 1990’larda yazılım ihracatçında yakaladıkları başarı ile taçlandırmışlar, aynı dönemde Brezilya ve Çin gibi ülkeler, büyük ölçüde iç pazara dayanan yazılım sektörlerini geliştirmeye çaba göstermişlerdir (Arora ve Athreye, 2002, s.2-3). Avrupa Komisyonu (2002), Avrupa’daki yazılım sektöründe faaliyet gösteren teknoloji tabanlı firmaların istihdam yaratma, üretkenlik ve ekonomik büyümede oluşturdukları katkının farkına varmış ve bu firmaların finansmanı konusunda önemli çalışmalar yapmıştır. Genellikle küçük ve orta ölçekli firmaların girişimi olarak ortaya çıkan bu tür işletmeler, başlangıçta büyüme ve gelişme yeteneklerini engelleyebilecek finansman kısıtlamaları yaşayabilmektedir. Hogan ve Hutson (2005, s.384) bu tür firmalara ilişkin finansal verilerin geniş çapta mevcut olmamasının küçük ve orta ölçekli firmalar için gerçekleştirilecek sistemli çalışmaları engellediğini ifade etmiştir. Örneğin, Avrupa’nın yazılım üssü olarak ifade edebileceğimiz İrlanda gibi bir ülkede durum bu şekilde gelişmiştir. Bu noktada ulusal düzeyde karar vericiler, sivil toplum örgütleri ve meslek odaları daha fazla sorumluluk almalı, bilgi ve iletişim sektörü konusunda faaliyet gösteren firmalardan geribildirimleri toplayarak, sektörün nabzını tutmayı sağlayacak önemli bilgilerin akışını sistemli bir şekilde raporlamalı, yapıcı ve sistemli politikaların ve stratejilerin belirlenmesinde rol almalıdır.
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The software industry is among the leading industries in creating new opportunities and providing added value to developing countries. Countries with young and dynamic populations such as Turkey have an important advantage in terms of capturing this potential. At this point, there are many countries that have been successful in the informatics sector, have created successful strategies in the sector, and their successful application examples and stories have been an example and source of inspiration for other countries (Arora and Athreye, 2002; Riain, 1997; Kapur, 2006; Cochran, 2001). Countries such as India, Ireland and Israel crowned their interest in this sector, which started in the 1970s and 1980s, with the success they achieved in software exporters in the 1990s, while countries such as Brazil and China made efforts to develop their software sectors, which are largely based on the domestic market (Arora and Athreye). , 2002, p.2-3). The European Commission (2002) realized the contribution of technology-based companies operating in the software sector in Europe to employment creation, productivity and economic growth, and made important studies on the financing of these companies. Such enterprises, which usually emerge as the initiative of small and medium-sized firms, may experience financing constraints that may hinder their ability to initially grow and develop. Hogan and Hutson (2005, p.384) stated that the widespread lack of financial data on such firms hinders the systematic work to be carried out for small and medium-sized firms. For example, in a country like Ireland, which we can describe as the software base of Europe, the situation has developed in this way. At this point, national decision makers, non-governmental organizations and professional chambers should take more responsibility, collect feedback from companies operating in the information and communication sector, systematically report the flow of important information that will keep the pulse of the sector, and take a role in determining constructive and systematic policies and strategies.
... After having detailed review of literature pertinent to financial restructuring in emerging nations, situation of Governance and macroeconomic atmosphere, the current study puts an effort to formulate significant structure to assess different determinants of Industrial Development and examines predominantly less investigated and inconclusive determinants based on literature review. Therefore, in present research predominant independent variables includes Capital account Openness, Trade Openness and Equity Openness (recommended by Bahmani-Oskooee 1993;Prasad et al. 2005;Heeks 1996;Singh 1997;Bekaert et al. 2011) Governance (recommended by Chinn and Ito 2006;Galindo et al. 2007 Blomström and Kokko 1996;Alfaro et al. 2003;Haddad and Harrison 1993;Singh 1992) and Inflation (recommended by Mamo 2012;Sidrauski 1967;Fischer 1993;Paul et al. 1997;Barro 1999) as determinants of industrial development. ...
... The Indian export promotion board was also facilitating subsidized telecom pricing and radio links in offering the last mile connectivity to software companies in addressing the Y2K Problem (Sharma, 2009 the export market like the US has provided immense opportunity for offshore development, creating a 24-hour work environment. During the early years, the mobility of workforce requirement based on the demand has helped in the repository development to bid for future project requirements (Heeks, 1996). ...
Skill and talent are the vital requirements in the success of the knowledge-based service industry and gaining worldwide recognition. Independent India’s institutions and organizations facilitated appropriate policies during the 1980s in recognising India’s role in this industry at the global arena. Development of knowledge-based industry after economic liberalization in India and China has augmented international investments by foreign firms. The main aim of this paper is to analyse the attraction of India’s talented, skilled workforce serving global firms from low-cost maintenance services to innovation-based R&D services fuelling regional growth. The role of institutions and organisations affected the growth of firms and markets.
... India has been the most successful among developing countries in establishing a major domestic computer software industry (Heeks, 1996;Bhatnagar and Madon, 1997). The Indian computer software industry has grown rapidly, in terms of its computer software and services trade. ...
In recent years, software development in the Kyrgyz Republic demonstrated 60-70% growth rate. Kyrgyz software products are exported to Central Asian neighbors and to the Western countries such as Italy, Australia and Holland. With the highest Internet penetration in the region and pool of qualified staff Kyrgyzstan has real chances to sustain the growth rate of the industry. Moreover, the cheap labor creates comparative advantage for local software producers. The break-up the Soviet Union lead to bankruptcies of traditional industries in the Kyrgyz Republic and thousands of highly qualified engineers were left unemployed. Simultaneously since independence Kyrgyz government implemented number of reforms to encourage development of Information and Communication Technologies which lead to the establishment of ICT infrastructure in the region. The paper analyzes the development trend of the software production industry in the Kyrgyz Republic. We will also overview international experience as in the leading software producers as well as in neighboring countries. The study also builds projections for the next decade and draw on certain policy implications. In addition the paper will provide policy recommendations. The data used is from by the Association on IT companies, questionnaires, National Statistics Committee, Word Bank and Asian Development Bank.
... However, [14] and [15] found employment opportunities created by IT industry compared to the total work force is not significant i.e. only 0.08% of the aggregate workforce. ...
ABSTRACT:
Information Communication Technology (ICT) has changed all the ways people think, behave, communicate, and work. As a result, digital literacy, become an essential skill for professional development, skill learning, freedom of expression and social inclusion, is now one of the most important issues faced by women today. This chapter investigates stories of the professional women who are working in the information and communications technology (ICT) sector and their Prospects and Future Perceptions through the development of a theoretical and methodological stance. Given concerns about the future of the ICT sector in terms of skills shortages and gender imbalances, an understanding of how women ICT professionals view this future is vital. Notwithstanding the multifaceted suffering Kashmiri women are going through, a positive trend has been witnessed regarding their participation in ICT. This chapter studies the prospects and perceptions regarding future of ICT in Kashmir vis-à-vis Kashmiri women
... The role of the Indian state as a 'facilitator' or 'catalyst' and the circumstances or factors under which the sector developed have been extensively explored (cf. Heeks 1996;Joseph and Harilal 2001). However, aspects of work and employment that shaped the industry are relatively underresearched (Penfold 2009); inquiries into which, particularly regarding employment regulation, present a more complicated picture (Noronha and D'Cruz 2009, 45). ...
This chapter examines the nature of employment relations in the Indian Information Technology (IT) industry. A detailed review of the regulatory foundations of employment in the industry is combined with insights into the evolving and often tenuous nature of employment-related flexibilities of both IT workers and IT firms. Recent trends in unionization and collectivization in the industry are examined in relation to labour market uncertainties. These are done by drawing linkages between labour regulation and an analysis of aspects of employment relationships in IT work, drawn from empirical field research conducted amongst IT workers in Bengaluru, Karnataka.
... The rapid growth of India's GDP may be attributed mainly to the services sector, with the information technology revolution associated with globalisation leading to considerable investment in local development and service centres and to the training of millions of Indian workers in the field of software services (Heeks, 1996;Kobitzsch, Rombach, & Feldmann, 2001;Zorpette, 1994). ...
... The second important CSF according to the frequency in table 2 was Human Resource Management and Employee Empowerment. A healthy relationship between TQM and Human Resource Management has been reported in many studies such as [29,30]. It seems possible that this result is because particular tacit would improve quality more than TGM tools and techniques [31]. ...
Due to the considerable competition and fast growth in the software industry, software development has become essential. Thus, software quality is a vital instrument in software development field as well as in the determination of the most important Critical Success Factors (CSFs) in software development. The theory of Total Quality Management (TQM) adopted by organizations to achieve quality and improved organizations' performance while meeting and exceeding customers' expectations. This paper discusses the CSFs that can be applied to software development to implement the TQM for the software development field. The result presented the impact of the progress in time and technology on the rank of the essential CSFs while discovering the new CSFs that did not exist before.
... The rapid growth of India's GDP may be attributed mainly to the services sector, with the information technology revolution associated with globalisation leading to considerable investment in local development and service centres and to the training of millions of Indian workers in the field of software services (Heeks, 1996;Kobitzsch, Rombach, & Feldmann, 2001;Zorpette, 1994). ...
In both Israel and India the globalisation process of the 1990s led to the development of advanced domestic industry. This article sketches the socioeconomic impact of this development in the two countries. The analysis suggests that the unique comparative advantage of each of these countries underlies the differences in the form of development and its social impact. Where the relative advantage consisted of innovative-ness (Israel), globalisation led to development of an advanced industry focusing on research and development centres and local start-up companies. In contrast, where the relative advantage consisted of low labour costs (India), globalisation resulted in the development of an advanced industrial sector focusing on manufacturing and service centres.
... There are also some empirical studies that have used gross value of output as the output variable (Chen and Ali, 2004). The use of gross value output is further supported by another study emphasizing that gross value of output indeed is a better measure than the gross value added (Dogramaci and Adam 1981) Arora et al 2001;Kumar 2001;Heeks 1996) have made use of sales revenue and export revenue to examine the progress of Indian Software industry. Even studies focussing on other countries such as Ireland (Sands 2005;Brenznit 2005) and Brazil (Botheho, Stefanuto and Veloso 2005) have also measured the output of software industry in terms of sales revenue. ...
... After having detailed review of literature pertinent to financial restructuring in emerging nations, situation of Governance and macroeconomic atmosphere, the current study puts an effort to formulate significant structure to assess different determinants of Industrial Development and examines predominantly less investigated and inconclusive determinants based on literature review. Therefore, in present research predominant independent variables includes Capital account Openness, Trade Openness and Equity Openness (recommended by Bahmani-Oskooee 1993;Prasad et al. 2005;Heeks 1996;Singh 1997;Bekaert et al. 2011) Governance (recommended by Chinn and Ito 2006;Galindo et al. 2007 Blomström and Kokko 1996;Alfaro et al. 2003;Haddad and Harrison 1993;Singh 1992) and Inflation (recommended by Mamo 2012;Sidrauski 1967;Fischer 1993;Paul et al. 1997;Barro 1999) as determinants of industrial development. ...
A well performing industrial sector plays an important role in poverty mitigation, unemployment reduction, trade promotion, exchange of goods and services, increased per capital income and GDP growth etc. Numerous studies have investigated the institutional financial performance and their outcomes for emerging states predominantly in perspective of South Asian and African economies. Nonetheless, after global financial crisis and fall of Bretton wood system a new debate was generated to re-examine the issue after implementation of financial liberalization policies in these economies. Numerous studies conducted in this context recommended further re-examination in order to develop a sound financial and Institutional framework which could prove to be productive for the financial development but very limited studies investigated the problem in the context of industrial development. Therefore, the central theme of the current study is to investigate the industrial development relationship for a sample of South Asian Countries. The occurrence of operational, administrative, political and institutional uncertainties in the South Asian region makes it important to study the issue from a policy perspective. With this background in mind the present study aims to ascertain numerous determinants of industrial development in terms of capital account openness, trade openness, equity openness, governance, domestic credit available to the private sector, inflation and foreign direct investment (FDI) for a sample of South Asian economies i.e. Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka except Afghanistan (No data). To carry out empirical analysis, the study utilized Panel data set over the period 1996–2015 (Post liberalization period). For this purpose Industry Value Added has been used as a measure of Industrial Development; Chinn Ito Index (KAOPEN) as a measure of Capital Account Openness, ratio of the sum of imports and exports relative to GDP as measure of Trade Openness, Equity Openness has been measured by Market Capitalization to GDP Ratio, World Governance Indicator (WGI) has been used to measure Governance and Domestic Credit Available to Private Sector, FDI and Inflation have been measured in terms of percentage of GDP. The data has been majorly collected from international financial statistics, world development indicators, World Governance Indicator (WGI) and Journal of Development Economics. Furthermore, Granger’s Causality Test to identify the unidirectional and bidirectional relationship and Panel ARDL technique to determine significant predictors of industry development in SAARC economies has been applied. Findings reported Governance, Foreign direct Investment, Equity Openness and Inflation as significant contributing factor in industrial development of South Asian region economies. The study also discussed the models from policy perspective and provides recommendations for the policy makers to improve or redesign favorable policies based on findings.
software, which plays a key role in any kind of business. Irrespective of nature and size, every employer is showing interest in implementing suitable software to reduce the work burden and to make easy business transactions. There are so many companies that are working in developing software across the globe. Indian software companies have their own mark in producing capable employees. All companies always prefer skilled people to ensure its sustainability in this present competitive world. Now-a-days software industry is started focusing on the capabilities of an employee because of increased competition, new project scarcity and the availability of too many candidates. It is trying to filter the fake experience holders with the maximum possible ways. Employers are assigning project manager or team lead responsibilities to the person who has proven his capabilities, irrespective of his no of years of service. Clients are the customers to the software industry, if the employee is able to satisfy the client then only it is possible to get the project work from the client. Employees who are lack of capabilities are failing to configure the software as per the client's need, which is causing to loss the business opportunities for the employer.
The COVID-19 pandemic has resulted in a significant increase in the use of Information and Communication Technology (ICT) in all areas of the education sector, particularly in developed economies as well as developing countries, regardless of preparedness. This is because, under the new normal, ICT adoption has become ubiquitous and fast-moving, even in the face of impending challenges. In the case of education, in particular, the disruption caused by the pandemic has caused ICT to become an instantaneous apparatus that has sustained the teaching and learning sector during the global lockdown that ravaged the world between 2019 and 2020, with consequences that are still visible today. Once more, the pandemic's outbreak made it clear to world leaders in numerous developing nations that they had no option but to use an ICT tool that was accelerating the growth of their countries' national knowledge bases. Notwithstanding the apparent difficulties integrating ICT into teaching and learning, the COVID-19 pandemic's effects accelerated the spread of ICT, forcing teachers and students in Nigeria and, in fact, around the world, to work online despite their readiness in terms of knowledge, abilities, and resources. In today's globalized world, ICT has become indispensable in filling gaps in the education sector, but it is also important to recognize the role of green information technology. This study examined how ICT instantly filled in the educational gaps during a pandemic-related lockdown, as well as how Green IT impacts our ecology. In order to truly close the digital divide that existed in the education sector in today's carefree world, the research has supplied the essential information and details, as well as recommendations for how to best use ICT tools to secure the ecosystem. Keywords: ICT, Covid -19 Pandemic, Green IT, Digital Divide. Aims Research Journal Reference Format: Malasowe, B.O., Okpor, M.D. & Edim, B.E. (2024): Tackling Digital Degree in Education: Optimal Use of Green Information and Communication Technology (GICT). Advances in Multidisciplinary and Scientific Research Journal Vol. 10. No. 1. Pp 67-76. www.isteams.net/aimsjournal. dx.doi.org/10.22624/AIMS/V10N1P5
The present study tries to examine the critical analysis of Special Economic Zone (SEZs) and Rural Development in Maharashtra State with special reference to Konkan and
Marathwada Regions. The Special Economic Zones (SEZs) and socio- economic development in the selected regions in Konkan and Marathwada for overall social, cultural,
political, economic, and regional development, infrastructure development, technological development, overall development of stakeholders in project affected areas in
Konkan and Marathwada regions in the state of Maharashtra and their socio-economic development through implementation of SEZs. The main objective of the Socio�economic development of selected regions is to prepare demographic and growth profiles of all the villages under the focused areas; to assess socio-economic
characteristics of the people; to assess the nature of existing resources and means of livelihood; to examine possible impact of the project on local population due to their
displacement, loss of land , and other means of livelihood etc.; and an last but not the least, to evolve preliminary suggestion and guidelines for an effective R&R of the
‘project affected persons (PASs). The Government of India introduced a Special Economic Zone (SEZ) Policy. The aim of the SEZ policy is to promote export oriented
industrial and economic development. Through SEZs it is expected that it should act as engines of high economic growth. But policymakers forget other side of the story
and the tragic story is that the common people in the affected areas are being alienated from land on which their traditional habitats have been located and on which their
traditional livelihoods depends. It is often not realized and recognized that while land ownership in rural areas is limited to a few families the fact is that the lives of several
more families depend upon that same land although they may not own it. The study focuses on the SEZs and Socio-Economic development in selected regions of
Maharashtra within the framework of rural development and address social justice to the marginalized sections of the society. This study is an account of the people's
struggle for their livelihood rights especially land, water, and forest and employment rights. It also describes the opposition of the affected people to the concept of Special
Economic Zone, which is, from the point of view of general public anti-poor, anti- labour, antifarmers, and anti-people in general, and various issues. Hence, the situation has
challenged the establishment of SEZs in Maharashtra and across the country.In recent years, the debate over government land acquisition for industrial projects and
development through Special Economic Zones (SEZ) has grown increasingly controversial. Throughout India, people have been resisting the forceful land acquisition for
development projects and related issues of displacement, loss of livelihood, employment insecurity, disrespect for local self-governance, and exclusion of marginalized
communities. Opposition to SEZs by affected communities has primarily taken two forms: whilst some have used violent methods to express resistance and others have
employed non-violent tactics of political activism to express their needs. The development of SEZs and change in land use will have a catalytic and transformative impact
on socio-economic, political, and cultural life of people /farmers the regions as a whole. The land use pattern will undergo a dramatic changes affecting peoples in the
above mention aspect. Therefore, it becomes a prerequisite to gauge the possible impact on the socio-economic status of the inhabitant of the area. It will help to address
the issue of rehabilitation and resettlement (R & R) systematically. Moreover, it will equip the development agent with pre-request skill, information and knowledge required
for the rehabilitation of the projected affect persons (PAPs), and development aspects of SEZs project.. Statement of the Problem The “Critical Analysis of Special
Economic Zones (SEZ) and Rural Development in Maharashtra State” With Special Reference to Konkan and Marathwada Region”, aim’s study the socio-Economic aspects
of Marathwada and Konkan region. The study is mainly focused on the various types of SEZs that are developed in the said regions. This study highlights on the problems
during the development of SEZ and land acquisition process, compensation process. It gives suitable suggestions to improve the performance. The researcher studied
Sustainable Operation of Special Economic Zones in Maharashtra: Critical analysis of Study of Marathwada and Konkan regions. In 2005, the Government of India (GoI)
introduced the Special Economic Zone (SEZ) Act, which changed the way India attracted foreign investors who wanted to utilize the country‘s natural and human capital.
Significance of the Study The State has adopted the Special Economic Zone (SEZ) Policy with effect from 10th February, 2006. Up to November 2009, in all 225 SEZ
proposals were received in the State, of which the Central Government (108 formal and 36 in-principle approvals)
approved 144 and 58 proposals were notified. Out of 144 approved SEZs, 59 are information technology/information technology enabled services, 57 are single-product, 16
are multi-product and 12 are multi services. The area wise proposals approved, land requirement, investments therein and likely employment generation through these
SEZs. The SEZ units highlights on the Maharashtra particularly in no. of units i.e. Konkan- 69, Western Maharashtra-50, Marathwada-15, Vidarbha-10, overall total no of
units at present are 144. With the above information for total Area acquired (Hec.) 45,392 and proposed total investment & employment (lack) show the area wise
Investment Rs. (crore) 1, 89,148. A total Employment of SEZs units in Maharashtra is 65.25 and in Marathwada region is 1.53 (lack). Objectives of the Study (1) To study the
Special economic zones (SEZs) and its impact on Socio-economic Development of Rural peoples in Konkan and Marathwada region. (2) To know the policy of Govt. behind
the Special Economic Zones (SEZs) and its effective implementation. (3) To analyse the Performance of Special economic zones (SEZ) in general and Konkan and
Marathwada region in particular. (4) To study the SEZs and Its impact on rural development. i.e. employment, entrepreneurship, Social, Economic, and overall industrial
development. (5) To know the Problems and prospects of Special economic zones (SEZs) and its impact on Konkan and Marathwada region Industrial area. The
Government of India passed Special Economic Zone Policy Act in the year 2005. As proposed, the Act is aimed at promoting export oriented industrial economic
development in India. As of now, 1064 SEZs have received approval for setting up industrial zones across the country to carry out the objectives laid out in the Act. These
SEZs are, on the one side, meant for promoting economic growth, and on the other hand, they have attracted pervasive discontent amongst farmers, workers and common
people. Due to enactment of SEZs policy, many of the affected people in and around SEZ area have to relocate their homes, loose land assets and thus lead a completely
disturbed life. Indeed, the SEZ Policy has raised subsidiary fundamental questions confronted by general public. Hence it is need of the hour to address the socio-economic
impact on the general public in Marathwada and Konkan regions.
The present study deals with the data analysis and interpretation of responses collected during the field survey based on the scheduled questionnaire. The data acquired
primarily focusses on livelihood patterns of affected people who lost their land assets and employment resources. This study uncovers the impact of the SEZ Act in
Marathwada and Konkan Region of Maharashtra. The analysis and interpretation is based on field survey undertaken in SEZs units in study area. For the purpose, over 200
respondents, 100 from each of the regions, including male and female workers, farmers, landowners, were selected who are directly and indirectly affected in SEZ units
operational in the regions. It has been observed that majority of the farmers and general public in Navi Mumbai, Raigad, Ratnagiri of Konkan region and Nanded, Latur, and
Aurangabad in Marathwada region staged protest against SEZ projects in the respective regions. The present study deals with important aspects of Special Economic Zone
(SEZs) and Rural Development. The government of India (GoI) introduced a Special Economic Zone (SEZ) Policy. The aim of the Policy is to promote export oriented
industrial and economic development for the proponents of rapid development of India. SEZs are considered as engines of high economic growth. Agriculture and allied
activities are largest sectors in Indian economy and employing about 60 % of the total population. It contributes about 25 % GDP and provides forward and backward
linkage to industry and service sectors. The main objectives of SEZs policy is to create employment opportunities for introducing better facility, to improve lifestyle of rural
area and develop industrial corridor of manufacturers and service sector, provide sustainable rural development in agriculture most particularly to farmers, poor people and
landless people, to get employment opportunities, to increase income sources directly and indirectly. Overall attitude towards the SEZs project is to develop import-export
services thereby attract foreign investors. The government provide such types of infrastructural facility for Special Economic Zone (SEZs) projects in order to start
manufacturing units, to develop industrial sector and increase foreign direct investment for sustainable economic development to the backward region and rural area and
thereby provide better facility through road, transportation, water, electricity, communication facility, health facility, education, and generation of employment opportunities.
The ―official‖ definition of sustainable development was developed for the first time in the Brundtland Report in 1987. Thus, it can be said that sustainable development is a way of organising society so that it can exist in the long-term. This means taking into account both the imperatives present and those of the future, such as the preservation of the environment and natural resources or social and economic equity (YouMatter, 2020, cited in Asemah, 2021). The overall goal of sustainable development (SD) as noted by Emma (2021), cited in Asemah (2021) is the long-term stability of the economy and environment. The goals of sustainable development are to promote the kind of development that minimises environmental problems and to meet the needs of the existing generation without compromising with the quality of the environment for future generations. Thus, sustainable development can only be achieved through the integration and acknowledgement of economic, environmental and social concerns throughout the decision-making process. The key principle of sustainable development underlying all others is the integration of environmental, social and economic concerns into all aspects of decision making (Dernbach, 2003; Stoddart, 2011, cited in Emas, 2021; JUS, 2021, cited in Asemah, 2021).
Infosys Limited is an Indian multinational IT company, located its headquarters inBengaluru, Karnataka, and established in the year 1981, which offers information technology, Business consulting and outsourcing services. It was founded by sevenengineers with an investment of 250 dollars in India. In 2018-19, Infosys secured fifth rankGlobally for IT services. Its brand value increased by 8% to $6.5 billion. N. R.Narayanamurthy(CEO) was leading the company since its establishment till 2014, for 21years. Its market cap amounted to 46.52 billion dollars on March 29, 2019.In 2019, it has228,123 employees working at different roles and campus, all over the world. Infosys offersdevelopment of software, repairs, and autonomous support services to economics, insurance,production, and businesses. Infosys planned to reduce the amount of work done on site bytheir manpower travelling visas in the United States by shipping more work overseas. Bythis way, Infosys aims to protect and improve margin benefits. The charges for onsiteprojects are 3-4 times more than those delivered out of India. Infosys has nearly 25% workperformed onsite and remaining from India. Forrester research has used Forrester wavemethodology to classify Infosys as a leader in easy offshore capacities. The study alsoreviewed that Infosys, using a low-cost GDM or offshore delivery model, is the biggest ofthe six in terms of income for application-related services. This case study focused onvarious goals— business vs. operational metrics, profit vs. saving cost, and decreased serviceneeds vs. better customer service. This Case study also helps to explore the strategies andadvantages of providing IT services in terms of economic development and client demand.
It is argued that developing countries can now industrialise by inserting themselves into global production networks (GPNs), rather than by building their own value chains from scratch. The economic upgrading that would follow from such a move would result in social upgrading outcomes in terms of wages, benefits, freedom of association and collective bargaining would follow. Regarding the Indian IT/ITES industry, integration into the GPN has resulted in process upgrading and benefits to employees in terms of higher salaries, better working conditions and status mobility for employees; however, issues related to job security, social protection, working hours and work–life balance show shortcomings. Moreover, given that the work outsourced to India is at the lower end of the value chain, a highly educated workforce has been relegated to mundane and dead-end jobs in terms of employment. Thus, the gains from participation in the global economy do not seem to be effectively disseminated. Regarding enabling rights, the fear of reprisals by employers has made joining trade unions ineffective in practice. Further, global framework agreements relating to offshored work, commonly negotiated between unions and large corporations have been non-starters. Nonetheless, workers exercise their agency through their micro-level acts of resistance.
The “war for talent” is not limited to developed economies but has become a common feature in emerging economies such as India. From the sociocultural perspective, India represents one of the oldest cultural heritages with distinct cultural values. The cultural difference may contribute to explain organizational practices toward talent retention. In the present chapter, the authors focus on the institutional, legal, and cultural context and highlight their uniqueness with respect to the Indian context. Within the institutional context, the authors found that prior to liberalization (which happened in 1990s), the Indian business scene was dominated by public firms or a small enclave of private firms. For both types of organization, turnover hardly mattered, and turnover was indeed negligible. Employees saw firms as “employers for life”: in such a context, voluntary turnover was extremely rare. Further, in the early legal context, it was hard for any private firm to “fire” an employee. Therefore, involuntary turnover was close to nil as well. Things began to change post-liberalization when the Indian scene was dominated by an influx of private players. The Indian mind too accepted turnover to be a part of the corporate life. In the present chapter, the authors provide a snapshot of what, why, and how of employee turnover in the Indian context. The authors specifically focus on what motivates employees to remain with the organization or why do they leave the organization. The authors close the chapter with insights relevant to both academicians and practitioners.
The present study is an attempt to estimate both the long-run and the short-run relationship between (i) output of Information technology (IT) industry and export of IT industry and (ii) output of IT industry and Export of software services and also for the (i) growth of output of IT industry and growth of export of IT industry and (ii) growth of output of IT industry and growth of export of software services over the period 1991–2014. Also the present study tried to understand whether there exists any long-run convergence between output or growth of output of IT industry and export or growth of export of IT industry as well as output or growth of output of IT industry and export of software or growth of export of software services or not. Before doing the long-run analysis, unit root property of the different series has been checked by using Augmented Dickey-Fuller (ADF) Test and Phillips and Perron (PP) Test. The findings of the present study suggests that, there exists a significant long-run as well as short-run relationship between (i) output of IT sector and export of IT sector and (ii) output of IT industry and export of software services. Also there exists a long-run converging relationship between (i) output of IT industry and export of IT industry and (ii) output of IT industry and Export of software services. On the other hand, there exists no long-run and short-run relationship between (i) growth of output of IT industry and growth of export of IT industry and (ii) growth of output of IT industry and growth of export of software services.
Supporters of Aadhaar, the unique identification scheme that aims to use biometric information and a 12-digit number to catalogue every Indian resident, have often commented on the tremendous amount of “fraud” that this program has curtailed since its introduction nearly a decade ago. Four years before the first Aadhaar number was issued, this discourse of ensuring authenticity was similarly deployed by the Indian information technology (IT) industry’s employer association, NASSCOM, which inaugurated its own unique identification project to verify potential and current employees. Known as the National Skills Registry (NSR), this database utilizes biometric identification to create individual profiles of IT employees, each of whom is assigned a unique number called an ITPIN. In this paper, I draw on interview and observation data collected during nine months of fieldwork in Chennai’s IT industry, as well as a detailed analysis of industry reports and documents, to dissect employee and corporate narratives on the NSR. I interrogate the overarching discourse of employee “integrity” operating within the industry to deconstruct the myth-making, misconceptions and self-disciplining generated by the existence of this database. As a result, I provide a comparative framework through which to conceptualize Aadhaar’s implications for safeguarding individual privacy, while also commenting on the power of private players under neoliberal capitalism and the increasing ubiquity of surveillance strategies in the lives of Indian residents.
The plantation sector plays a key role in fostering inclusive development in India. This chapter aims at locating the spaces and processes of exclusion in the marketing of cardamom, a major plantation crop in Kerala, and the bearing that e-auctions have in addressing them. In locating the spaces of exclusion, the study uses conceptual categories of social exclusion envisioned by Amartya Sen, like passive, active, instrumental and constitutional exclusion, to evolve new ones like subordinated or unequal inclusion, illusive inclusion and sustained exclusion. In the conventional auction system, active exclusion prevailed on account of the practice of taking a fixed quantity as a sample from all the lots regardless of its size and delay in payment along with the absence of title deeds for a large number of growers. The existence of wide variation in the price realized by different size classes of holders has been articulated as a case of subordinated/unequal inclusion. It is shown that the e-auction has been successful in addressing the subordinated/unequal exclusion. However, harnessing ICT through e-auction could hardly address the active, passive and instrumental exclusion that has been sustained over the years. This tends to suggest that in the absence of appropriate institutional innovations, the issue of social exclusion cannot be addressed only by technological innovations.
The Indian IT industry has demonstrated an outstanding success story by its high-class delivery in providing software and infrastructure services to more than 60 countries. Two-thirds of Indian IT serving to the USA alone, spreading across half of all the Fortune 500 organisations. India has emerged as a world-class tech-savvy information technology country with a strong economic backbone. For decades, Indian industries performed exceptionally well and delivered top-notch solutions and services to its international partners in moving to a green IT globalisation hub. Despite its competitive performance and world recognised in-house talents, there is a point of saturation in jobs observed in the Indian IT industry. This study focuses on analysing the influential factors contributing significantly to the situation described above by interacting with leading industry experts.
Heterogeneity of workers and jobs results in imperfections such as information asymmetry in the labour market. Acquisition and evaluation of information by buyers and sellers to arrive at a decision is, therefore, both difficult and costly. Referrals in the labour market act as a conduit through which necessary information flows between prospective employers and job seekers, thereby reducing problems associated with information asymmetry. The information technology (IT) industry hires about a quarter of their workforce through referrals. We look at realised job search outcomes of IT workers some of whom have found jobs through informal methods of search deploying their social networks while others through formalised channels of recruitment. We examine social capital, human capital and firm-specific differences among those who found jobs through formal vis-a-vis informal methods of search. The empirical analysis is primarily descriptive and is based on a survey conducted among software workers in the IT industry in Bangalore. The results suggest that there are no significant differences in the human capital characteristics of workers between the two methods of job finding. However, certain social capital and firm-specific characteristics significantly differ among the methods of job finding.
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