All this means greater and greater emphasis on design, Rigorous review of production systems even before hardware Is procured, severe control of standards and specifications of Inputs to production, continuous monitoring and testing of processes, and various tests and checks on products. Thus the modern demands on technical consultancy, testing, calibration, and certification of processes as well as various management consultancies required ti handle these complexities, are ever on the increase.
Skills demanded for such tasks range from technical knowledge to data entry to meticulous a.n.a.lysis of data, to having good managerial systems. India has a whole set of capabilities in all these areas thanks to its human resources base. This whole area of services can emerge as a major source of employment and wealth generation. Indians not only to the Indian industry but can become a can offer such services global platform for providing services in various aspects of testing, calibration and technical consultancy. In order to realize this natural potential, we need to provide allround avenues for our people to upgrade their knowledge base and skills. Information technology provides just one element in the whole chain of sills and infrastructures requirements.
Some of there projects can be seen in tables 8.3 and 8.4 160.
TABLE 8.3.
Consultancy: Technical and management Strategies and Priorities for the Future _______________________________________________________.
Serial scenario Likely Timeframe No (in years) 1 with the increasing level of specialized Knowledge, organizations will seek 510.
More and more a.s.sistance from external Sources (technical consultants) rather than Depending only on "inhouse" capabilities, Retraining, redevelopment, reengineering
2.
Technical consultancy functions will Be greatly supported by information"s 1015 Collated from specialized database creation And marketing of database as a lucrative Business
3.
The focus will shift from pedagogy to More specific and specialized training Right from undergraduate levels in Education and in management education 510
4.
The key sectors like infrastructure (power, Ports, water management, telecom, housing Etc.), natural, resources (mining, oil and gas Exploration, water resources, etc.) And services Will record high growth and call for 510 Technical consultancy support Serial Scenario Likely Timeframe No (in years) 5. Technical consultancy will be sought 1015.
For applicationoriented new materials Development suitable for high temperature, Corrosion, erosion and wear resistance 6. Consultancy related to computer technologies 510.
Will be increasingly related to systems integration And applicationspecific package development With the involvement of area experts 7. Safety, health and environment will emerge 510 As important areas for consultancy inputs 161.
8. The technical consultancy sector may be 510 Accorded industry status in view of financial a.s.sistance etc and promoted with adequate Fiscal incentives 9. An efficient and unified coding and 510 Cla.s.sification system will have to be Evolved for an effective a.s.similation of the Vast knowledge base Source: TIFAC Technology Vision 2020: Services TABLE 8.4.
Management Consultancy :.
Strategies and Priories for the Future Serial Activates Likely Timeframe No (in years) 1. Consultancy for retraining, redeployment 510 And business process reengineering Of client organization Services as People"s Wealth Serial Activities Likely Timeframe No (in years) _______________________________________________________________________.
2. Consultancy for diversification, joint 510 Ventures and business alliances for client Organizations 3. Consultancy, in mergers and acquisitions, 1015 Divestments, downsizing of client Organizations 4. Consultancy in outsourcing, franchising, 510 Strategic business unit concept for client Client organizations 5. Use of proprietary and public domain 510.
Databases by the consultants 6. Increased application of modeling and 510 Simulation techniques in problem solving By the consultants 7. A shift from pedagogy to practical problem 510 Solving and experience sharing in 162.
Management education 8. International business, strategic 515 Management technology and R&D Management, quality management, Environmental management will Be future thrust areas in consultancy 9. Training and skills development based on 510 Selftraining system, multimedia devices For client organizations 10. Agribusiness, biotech applications, consumer 510 Products, infrastructure (power, telecom, Roads, transportartion, ports etc), IT strategy Will dominate the consultancy business in Future Source: TIFAC, Technology Vision 2020: Services Testing, certification and calibration services: Strategies and priorities for the future These are very important areas with rapid technological growth.
They are vital in international transactions as well. The Projections are as in table8.5 TABLE 8.5.
Priorities for the future Serial Activities Timeframe No for completion (In years) 1. Accreditation bodies for qualifying various 5 Calibration/testing agencies to conform to International norms themselves 2. Accreditation systems to be initiated for 57 Inspection/certification agencies 3. Financial incentives and infrastructural 58 Support to quality a.s.surance, testing and Certification as an important business ent.i.ty for its fast proliferation across the country 4. Facilitation of technical cooperation 58 And Mouse between India and International accrediting agencies for 163.
Quality business 5. Improved awareness for insurance 810 Companies towards calculation of Premium, etc.based on product quality, Safety norms, preservation needs and Other environmental regulations Serial Activities Timeframe No for completion (In years) 6. Testing and certification for gems and 510 Jeweler for the international market 7. Establishment of voluntary, nonprofit 510.
Organizations for accreditation in various Areas for specialization 8. Privatization and autonomy in maintaining 1520 Calibration facilities, test houses, inspection Agencies and accreditation authorities Governed by the market economy Source: TIFAC, Technology Vision 2020: Services Government administration Traditionally the role of the government administration was confined to certain essential services like defense, law and order, etc. With independence, the Indian government has Launched a process of planned economic and social development towards improvement of living standards. In this process private sector activities in a large number of areas were Regulated, and the government itself became one of the economic agents by establishing many commercial and industrial enterprises. Such activities widened the scope of government administration for policy formulation, framing of rules and regulations and implementation of policy. The proliferation of government agencies has meant a rising cost of administration. This enormous strain on the system and the change in the global economic environment has led to economic reforms.
The economic policy reforms aimed at redefining the role of government administration through dismantling the regulatory framework in many economic sectors.
The purpose is to integrate the Indian economy with the global economy for efficient use 164.
of available natural and human resources. The Panchayati Raja systems offer a new dimension. The strategies to be adopted are shown in table 8.
TABLE 8.
Strategies and Priorities for the Future Serial Scenario Likely Timeframe No (in years) 1. Government administration to 1015 Undergo a radical change towards service Orientation for "facilitation", from action As "administrators" to "managers" and "Team players"
2. Instead of exercising controls and curbs, 515 The government will function by regulation And adopt a promotional role 3. There will be a greater transparency in 510 Government functioning 4. The government will need improved 515 Access to information for an effective decision Making process 5. The decision making and planning processes 510 In the government to involve more and More area specialists inducted from major Segments of society like R&D, industry, Consultancy, academia, NGOs, sociologists And others 6. Towards an effective integration of the 510 Indian economy with the global one, the Government has to keep abreast with International developments and reorient its Policies and practices Serial Scenario Likely Timeframe No (in years) 7. In tandem with the developments and 1015.
Demands in the international area, the Government has to forge close and cohesive 165.
Linkages in the decision making process From federal to state and gra.s.sroots level Aspirations 8. International trade practices like IPR, 510 Pesticides residue, product quality, etc. and Other crucial issues like employment of child Labor, violation of human rights, etc. would Have significant influence on government Policies and the planning process 9. Keeping in view the single most important 515 Agenda of the Indian economic reforms and A better quality of life, the government has to Accord top priority to infrastructure (port, Roads, power, telecom, etc.) Development 10. The radical changes in the government 515 Functioning will warrant specialized Training, retraining and skills development Of the personnel employed Source: TIFAC Technology Vision 2020:Services Security services Security services cover national internal security, internal security of commerce and industry and security of the civil sector. Traditionally, national security used intensive manpower rather than technology. But it is currently essential that security services acquire stateoftheart technology and all R&D efforts must be pursued to effect the change. Also technically trained personnel should be recruited in large numbers.
Internal security"s main role lies in protecting the people against attacks by terrorists and criminals. The security forces need sophisticated instruments for early detection and neutralization of bombs. Electronics, computers, databases, hectare essential for tracing criminals, the detection of white collar crime, prevention of industrial espionage, etc. To face all these new challenges, security services have to be modernized Through largescale adoption of science and technology.
The implementation in various areas except defense are shown in 166.
Table 8.7 Security Services Serial Area Technological Implications No 1. Border security 1. Sensors of all types: seismic, Thermal, infrared and Electronic are needed 2. Optical equipment for long Range surveillance 3. Satellite surveillance 4. Tamperproof doc.u.mentation, Infrared, ultraviolet and Radiography examination of Pa.s.sports and visas 5. Computerized access control Systems including portable Radio computer terminal 2. Prevention of entry of 1. Metal detectors Harmful substances into 2. Explosive detectors The country 3. Drug detectors 4. Poison, gas, etc. detectors 3. Explosive detection and 1. Explosive detectors Neutralization 2. Explosive neutralization/ Disruption detection equipment 4. Prevention of sabotage 1. Access control systems 2. Detectors of various types 3. Arson control systems 5. Prevention of industrial 1. Data protection equipment Espionage 2. Sophisticated access control systems 3. Behavioral science capabilities to detect "moles"
and "unfaithful"
4. Antieavesdropping devices to prevent bugging, telephone tapping, fax interception, etc.
5. Sweeping devices and direction finders 167.
6. Prevention of whitecollar crime 1. Tamper proof systems 2. Builtin safeguards in credit cards, account Transfers etc.
3. Technical inspection to detect malfunctioning of mechanical devices dealing with money 7. Protection of common people and VIP"s 1. Alarm systems 2. Electronic fence systems 3. Bulletproof cars 4. Systems to neutralize electronically and radio controlled devices 5. Detection of incendiary devices ________________________________________________________________________.
__________.
Source: TIFAC, Technology Vision 2020:Services Other services We have seen only a few major possibilities in the above Descriptions. This is an area, which can grow depending on the imagination and enterprise of our people. For example by 2010, India will have a large number of old persons, who are well to do and staying alone because their children may be in different parts of India and the world. The whole set of services required for them will be an essential social concern. It can also be a good business.
The services sector can also be used to earn considerable foreign exchange. In all these there are a number of enabling technology, which play a key role. We need to master them.
Role of IT in services sector As an example of role of IT in the services sector, we give the following table: 168.
TABLE 8.8.
IT Applications in the Services Sector: Future Scenario for India Serial Future Technologies Likely Timeframe No of Introduction(in years ) 1 Network Automatic Teller Machine (ATMS) 510 2 Smart phones for home banking operations 1015 3 "Virtual" branches of bank operating from 1015 Customer Activated Terminals (CAT) or a kiosk 4 Debit cards for Electronic Fund Transfer 1015 At Point of Sale (EFTPOS) 5.Smart cards with built in microchips for 510 Electronic cash, pay phones etc 6 Electronic Data Interchange (EDI) for 510 Paperless banking transactions 7 Image processing 510 8 Expert system and neural networks for credit 1015 Risk appraisal, monitoring/ prediction of Stock price movement, detection of credit Card fraud 9 Business process reengineering, training and skills 515 Development for absorption of new technologies 10 Information security for confidentiality, prevention 510 Of data corruption and fraudulent practices 11 Legal aspects for paperless and electronic 510 Financial transactions 12 Single optical fiber connection to homes to 1015 Blur the differences between communications And infotainment cables offering a whole range Of services like home shopping, music and movies On demand, interactive TV 13 Telemarketing and visual shopping will be in 510 Great demand 14 Online electronic newspapers and magazines 510 Will dominate the print media 15 Multimedia technology and virtual reality to 510 Emerge as the major medium of advertis.e.m.e.nt 16 Availability of interactive television and user 10`15 Controlled on demand interactive advertising 17 Direct broadcast satellites, PCs for reading 510 169.
Electronic books, digital cameras for storing, Viewing and editing still photographs on discs To be available
18.
Barcoding to emerge as an important device for payment Processing, accounting and inventory management. 510
19.
Decentralized warehouses to act as hubs for rural Distribution to be networked to manufactures, material 1015 Suppliers, etc
20.
Complete networking of supply chain viz. retailers, Distributors, warehouses, transporters, Distributors, 1015 Manufactures, material suppliers etc.
21.
Use of demographic database for age and s.e.x composition, Income levels and distribution, regional disparities, fertility And mortality rates, incidence of diseases, life expectancy, 1015 Etc. will come in handy for designing new insurance Products and services.
_______________________________________________________________________.
Courtesy S. Bissau Source: Information Today & Tomorrow, Vol.16, No 3,1997 As a country of one billion, we should gear ourselves to take up the opportunities Offered by the services sector in our march towards an India where every Indian will have wealth and wellbeing.
170.
Chapter 9.
_______________________________________.
Strategic Industries Strength respects strength A.P.J. Abdul Kalama Strategy means generalship or the art of conducting a campaign and maneuvering an army or execution of a plan of action in business or politics. In modern usage, however it has come to denote the means used to gain a position of decisive advantage.
The word strategy is also used when speaking of planning for the long term that which is done on a shortterm basis becomes "tactial". Thus, when we use the term strategic industries, we are thinking in the context of industries give India a decisive advantage over a broad range of areas, and not merely in military terms. In the period following the Second World War, as nations have focused on the development of their economics, security has come to mean more than just protecting borders with military forces. Other forms of security have come to be of as much importance.
Food security The availability of food s a critical factor in the wellbeing of any nation, one that Even developed countries cannot afford to ignore .For a country like India with a Large population the task of maintaining a regular supply of food in a stable, consistent And a viable manner to its people, irrespective of the vagaries of the weather and other natural calamities, is itself a stupendous task. Measures aimed at ensuring such unhindered supply fall under steps aimed towards "food security".
Economic security Economic security or, simply stated, the security of a steady rate of economic growth along with a continual spread of benefits to the people is becoming important. It is a complex phenomenon, which not merely concerns the fiscal policy or behaviors of financial inst.i.tutions but also touches upon the very structure of the economy and polity.
In the search for economic growth, seek to continuously expand the market for their 171.
products. Developed countries achieve this by expanding their activities in several parts of the globe through multinational or transnational companies. They also form visible or invisible cartels to have preferred access to many markets. In addition, they also continually improve their technological strengths and provide machinery and know how to others at very high price. Their knowledgeintensive and technologyintensive activities are called "high valueadded products". Much of the more routine activities are transferred by these multinationals to developing countries in order to derive the advantage of their locations, cheap labor and various other tax incentives. But whenever developing countries have to import technology and know how from the developed countries, they often have to pay a huge sum because of the value addition to the already exploited knowledge. There is no easy method of working out this value addition because often data on how this is calculated, or how various costs are apportioned by different multinational companies is confidential.
Thus, developing countries often pay a very high price for old technological inputs and in return have to sell much more goods and services to balance the high price of technology imports. This exerts a continuous pressure to export bills are constantly rising because of the continual input of technological up gradations flowing from the developed countries. This is what is generally called an exportled economy. Some of the foreign exchange required to maintain this importexport balance comes through foreign investors who invest in physical a.s.sets in the country such as factories, plants, offices and laboratories, or through investments in stocks and companies. There are also special developmental "loans given by bodies like the World Bank or the International Monetary Fund. If for some period the imports greatly exceed the exports or if during the period some withdrawals of foreign investment take place, fear of a currency crisis ensues. In other words, most developing countries, which are basing their strategy of growth on an exportled economy often, find strategy of maintaining a precarious economic balance.
We are witnessing this in Far Eastern countries, where recent events show how a single developed nation, which has tremendous investment and business in a developing country, can cause its economy to collapse in a matter of weeks.
If transactions were conducted purely on economic and market considerations, even such a tightrope walk might be possible. One would learn to cope with the rapid 172.
changes that such a situation creates. But the reality is far more complicated. There are various commercial pressures and interests, geopolitical considerations besides other disturbances over and above the inherent instabilities of such a situation. A crucial stabilizing factor to tackle such situations is for a country to possess the necessary technological strengths. That is the main insurance against global pressures. Real economic security is a.s.sured through technology strengths in areas, which are important to the economy.
Critical technologies for India A country takes a long time to develop technological strengths. What is important is that it concentrates on a few crucial or critical technologies, which can give it a described advantage in meeting the kind of economic instability, described above? It is interesting to note the list of critical technologies in the report of the Gas"s National Critical Technologies Panel in March 1991. The criteria used for the selection are given in table 9.1.
Table 9.1 NATIONAL NEEDS.
Criteria Description Industrial compet.i.tiveness Technologies that improve US Compet.i.tiveness in world markets through new Products, introduction and improvements in The cost, quality and performance of existing Products National Defense Technologies that have an important impact On US National defense through Improvements in performance, needs cost, Reliability or reducibility of defense systems.
National Security Technologies that reduce dependence on Foreign Sources, lower energy costs, or Improve energy Efficiency.
IMPORTANCE/CRITICALITY.