Why can't India be a World-Class Player in Manufacturing Industry as it is in IT & BPO Sectors?

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103 comments Page 7 of 11.

Soumya said:   1 decade ago
Before speaking on the topic, I want to tell you that primary sector (agriculture, fishing etc) , secondary sector (manufacturing) and tertiary sector (services) are the three phases of development of an economy. Generally developing economies are dominated by manufacturing sector, while tertiary sector is the predominant contribution to the development of developed economy. But In case of India, there is a mismatch, India being a developing country is characterized by tertiary sector growth. So it indicates India has skipped the second phase of growth.

From the beginning of nineteenth century up to independence, agriculture was the main livelihood of people and thereafter followed approximately three decades of five-year plan. In this period, growth was minimal. But suddenly after 1990s, and in the beginning of 2000s, IT/ITes/BPO sector developed, because.

- Higher education was in its peak, thus engineering students graduated (increase in manpower).

- Willing to work in less pay.

- Private sectors were true gainers, used Indian skill to transfer knowledge and job to their country, thus getting a support from their respective country.

- For a moment, government thought that it is true development without realizing that the growth comes from outside, and any unexpected circumstance in their country could affect its growth rate.

- Although government launched certain manufacturing policies for development of R&D sector, heavy industries like petroleum and mineral industries, agriculture-allied0industries, still the growth was very minimal due to corruption and lack of interest among the men in power.

But one fundamental theory of manufacturing sector is that, wages and machines that are used to manufacture goods will depreciate, but human assets have their value. Thus it is best time for India to invest in manufacturing now as it has a lot of advantages.

- Large number of skilled and semi-skilled workers available.

- Best brains of India that developed in India are returning to India.

- India is one of world's largest economy, so it does not have to wait for the world to support its investment.

- Many companies have the capacity to invest heavily.

Thus finally, I will conclude that India could not be a world class player in manufacturing sector, but by dedicated and coherent partnership by Govt, public sector and private sector can help India being one of the biggest player in manufacturing.
(74)

B.steinsen said:   1 decade ago
In India we have good speaking skills which leads to impress customers and convince them to take interest in the given field. Another reason is, In India we can get employees for BPO's/it's very easily and in very less pay-scale and its only because of unemployment in other different departments its so finally people have to start their earnings from such kind platform.

Manufacturing needs a big amount of investment initially and lots of paper also need to approved by our government. To get all things done we have to give pay bribe on each level this will definitely increase the corruption so its good in bpo/it at least they are private and thus far away from corruption.

Thank you.
(8)

Ansari said:   1 decade ago
My view over the topic "yes ofcourse India is not taking as much as effort in industry when compared to IT and BPO sectors.

The reason behind this "our education system".

Generally, our education system helps the person to develop and modify the existing things and use predefined one that why we shine in the field of IT and BPO's.

Then our syllabus framed only basis on theoritical knowledge not for pratical.

In future, we will implement the smart claass courses and modern technology. We will achieve the position quickly.
(18)

Vivek said:   1 decade ago
India can be the world class player in manufacturing industry but since it's a developing country where new technology, world class creativity and educated and well established people required which India is lacking, and to collect these things India is inviting foreign countries who are coming with their inferior works like BPO s and all, or India is investing in less risky business that is BPO, IT etc.

So India is in top in BPO or IT s because it has a developing economy, and I am sure having getting established and proper awareness India will become world-class player in manufacturing industry also.
(2)

Dennis said:   1 decade ago
India had a lopsided growth compared to other countries. Normally a growth in agriculture is followed by a growth in manufacturing industry which is succeeded by the service industry. But in India we shifted from the agriculture development to the services sector which catapulted our growth to one of the mainstays of the world economy.

Because of the huge growth of services, the manufacturing industry was shadowed and contributes hardly 22pc to the GDP which is decreasing further. India currently spends only 1pc to RnD. Also inspite of having a strong patent system, the govt has not encouraged soft loans for inventors to develop and market their product. Another reason as already stated is the huge flux of engineers moving to the more glamorous I. T. Industry thus leading to a mis allocation of skills and lack of skilled people in the core engineering sectors, which offer lesser pay and where jobs require more effort and energy.

Having poor infrastructure has discouraged foreign manufacturers from investing in India. It has been calculated that we need $1 trillion to completely develop our entire infrastructure. Hence there's a lot of work to be done.

ALso some of the brightest minds from iits and nits prefer the huge pay packages in foreign countries which has affected our r&d sector.

All these factors have prevented India from being a strong player in the manufacturing industry.
(24)

Dennis said:   1 decade ago
India had a lopsided growth compared to other countries. Normally a growth in agriculture is followed by a growth in manufacturing industry which is succeeded by the service industry. But in India we shifted from the agriculture development to the services sector which catapulted our growth to one of the mainstays of the world economy.

Because of the huge growth of services, the manufacturing industry was shadowed and contributes hardly 22pc to the GDP which is decreasing further. India currently spends only 1pc to RnD. Also inspite of having a strong patent system, the govt has not encouraged soft loans for inventors to develop and market their product. Another reason as already stated is the huge flux of engineers moving to the more glamorous I. T. Industry thus leading to a mis allocation of skills and lack of skilled people in the core engineering sectors, which offer lesser pay and where jobs require more effort and energy.

Having poor infrastructure has discouraged foreign manufacturers from investing in India. It has been calculated that we need $1 trillion to completely develop our entire infrastructure. Hence there's a lot of work to be done.

ALso some of the brightest minds from iits and nits prefer the huge pay packages in foreign countries which has affected our r&d sector.

All these factors have prevented India from being a strong player in the manufacturing industry.
(4)

Akshay said:   1 decade ago
Civil engineers, Electronics engineers, Mechanical engineers, Telecomm engineers, and all other kinds of 'engineers' are turning towards IT to make the easy, quick buck. Why cant we stick to our own specializations, our vocations, our fortés and build our careers and this country? Sure, IT job offers come in great numbers, but it is YOU who choose to take them because "its the 'easy' way out"! I work in an IT company and as true as it may be, that infrastructure and basic setup require comparatively less amount of money, its utter rubbish that talent or skill is not a requirement! There's something called people skill that is required in addition to the technical know-how of one's job profile! Let's not deviate from the topic and condemn IT/BPO, instead of discussing how we may better the current scenario. We needn't forget how IT/BPO has blessed this country's huge unemployed populace with power to sustain their families, but all the same, we do need to work towards entrepreneur-friendly policies, less bureaucratic involvement in the setup process of manufacturing units, easier capital availability, etc.
(4)

Akashhp said:   1 decade ago
India have a service economy. People believe in having a good job and finally live a satisfied life and die. But they are not ready to accept the challenges and look into manufacturing arena. We really lack people having the entrepreneurial qualities and those who have it rarely make a good use of it. To become a global manufacturer people should dare to take calculated risks and should set up a business ventures rather than looking for a job. We should believe in Inventing a job rather than discovering any. Extensive research and making good use of the man-power can give us a very good result. We should sharpen the skills of the students in the professional courses and should have a practical approach and give up conventional method of working.
(38)

Harish said:   1 decade ago
The problem is placing a company in a known location is not easy, Because of the Government employees's mind to get some amount to do their alloted work. If the company get started also there is a probability of closing the company is very high. We cannot predict what will happen. However no one is interested in taking risk in this. Thus it can be happen only if the government take the necessary steps to the cover the Industrialist and make interest to the students that there will be a good future in INDIA itself. Our Indian Students are not much more interest in making money only in upgrading their skills in a correct place.
(5)

Ritesh yadav said:   1 decade ago
Hello friends, all your views are really what I want to convey as well.

It and bpo sectors are solely dependent on work exchange rather than producing or manufacturing something. Manufacturing has higher standards and sops than compared to bpo or IT job. Additionaly, in manufacturing sector there are strict norms and availability of resources, infrastructure, skilled manpower and efficient workers are hard to manage whereas in bpo sector and IT field resources are just a room and few computer systems and therotical knowledge is same as the practical knowledge so their skills are not of much importance, whereas in manufacturing sector you needs several requirements and also quality is an important criteion that has to be watched for. That is why manufacturing sector in India is not s good as the bpo sector. Thank you.
(4)


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