www.georgeebymathew .com

Infosys Global Education Centre,

Mysore, India

India’s Innovation story is uniquely for its own needs, and for wealth creation

bridging disparities, grassroots innovation

global leadership & sustenance of the economy’s growth engines

A 100 year journey … not an overnight magic

1947

1977

2007

2047

1997

1987

1957

1967

2037

2027

2017

1991

2009

“The full freedom to dream the way you like came in 1991, not 1947”

P.V.Narasimha Rao, Former Indian Prime Minister

"A moment comes, which comes but rarely in history, when an age ends and when the soul of a nation, long suppressed, finds utterance."

Jawaharlal Nehru, India’s First Prime Minister

1947

“The next decade will be a decade for innovation and infrastructure”

Dr. Manmohan Singh,Current Prime Minister

The first 44 years: profit motive was greed. efficiency was anti-socialistic, improvement in lifestyles was hedonistic.

Key achievements •Food security through green revolution•Focus on science and technology

•Labs & Research Institutions•A Space Program •Atomic Research program

Outcome – solid foundation for innovation•6th Largest scientific and technical pool•7000 PhDs, 600 + R&D centers, 250 universities,

•3 million graduates, 700,000 post-graduates and 1,500 PhDs qualify in the scientific stream each year in India.

Laggards •Growth engines for the economy •Failed public sector •Disintivised Entrepreneurship and Wealth creation•Brain Drain

Key Achievements•Three high growth globally competent industries

•By 2003, there were 80 CMM Level 5 software centers in the world, 60 were in India

•GDP $ 3.2 trillion - top ten largest economy •300 million strong middle class•Per capita income has doubled in the last 7 years to $ 2900.•Reverse brain drain - approx 10,000 - 15000 professionals return per year

•IIT graduates migrating to the US - 70 % (1995 )•Less than 20 % today

•Indian companies bought 143 US companies in the last two years

Outcome

•Local infusion of capital, resources, entrepreneurship

•Technology and process infusion

•Access to investors, markets

•New Generation of capitalists entering the workforce

Laggard

•Infrastructure

•Rural GDP

•Rural Migration

The next 18 years led by Globalization

The next 38 years led by Innovation Forecasts•More patents than the US in next 25 years. •In 10 years India's economy will be larger than Italy's •By 2018 will have overtaken Britain's economy•By 2040 India will be the world's third largest economy •By 2050 India will be 5 times Japan's and its per capita income will have risen to 35 times current levels

Expected Outcomes•Curb rural and overseas migration•Infrastructure & social security •Education, health, and employment for all •Sustainable growth

Risks •Terrorism•Geo-political stability • Weak Leadership

In 2009 •National ID program to curtail corruption•Reform in the Education System•Doubled R&D investments – 2 % GDP •New law for National Innovation

Understanding Rural India: not an even distribution

Human Development Index Percentage of the Poor

Leading India India in Transition Rural Poor

•30 %•340 mn•< $ 1 a day

•40 %•480 mn

• 30 %• 375 mn

Understanding India: Drivers, challenges, opportunities, threats vary widely…

India has a work force of 484 million people, of which 273 million work in rural areas, 61 million in manufacturing and about 150 million in services

Source: Boston Consulting Group, Survey of India’s services sector

• Health Care • Employment • Education , Skills & Training • Infrastructure• Rural Innovation & Entrepreneurship• Rural GDP growth opportunities

• Global Competitiveness • Funding for Research &

Development • Talent & Human

Resources • Energy & Environment

Global Competitiveness

Nationalgrowth Engines

RuralGDP

• Rural Innovation networks • Rural entrepreneurship Programs• Wealth Creation infrastructure • Catering to the bottom of the pyramid

• Private Entrepreneurship•New Products - Food processing industries•New Services - Rural BPO •New Markets - Nano

•Best in Class R&D centers•National R&D programs - Space Research, bio technology, smart materials•Finest Global Talent

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Leading India India in Transition Rural India

A Balanced Portfolio for rural wealth

creation

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Leading India India in Transition Rural Poor

Education Service Industry Cutting Edge

Research

New Markets Domestic

Consumption

Infrastructure Health Care Productivity

Enablement

Is India’s R&D sustainable?

India is granted between 1 and 2 patents a day. Only Malaysia has a higher rate of growth in patents awarded at 25% per year

Patents Granted by Competitive nations (excluding US) and BRIC Countries Source: US PTO, 2009, WEF Global Competitive Indices.

Primary Level Enrollment

Quality of Tertiary Education

Phds

Researchers

Academicians

Indian

Diaspora

Access to Primary Health Care

Combating Killer Diseases

Managing Life Expectancy

Social

Security

Rural Employment Guarantee

Rural

Entrepreneurship

Employment

Opportunities

For All

Social

Security

Clean Air

Water

Sanitation

Roads

Telecommunication

Information Network

Airports

Ports

Banks

Financial Institutions

Research Institutions

Research Labs

National Innovation

System

IP Protection

Supporting a National Innovation Agenda

Infrastructure

Health

Education

Employment& Wealth Creation

Case Study: NREGS & NREGA - to boost rural income, stabilize agricultural production and reduce the population pressure on urban areas.

•Act passed in Parliament on August

•Right to work

•Work that bring either social equity, or create permanent assets

•Wages to be paid into an account – bank or a post office

•If more than 20 women are employed on a worksite, child-minding to be provided

•A contribution to welfare schemes such as health insurance, accident insurance, survivor benefits, maternity benefits and social security schemes.

•More than 50 million families in rural India

•One person, one job card, one bank account

•Realization of the right to work, enhances the bargaining power, and raises minimum wages

•Women’s enrollment up from 40 per cent in the first year of implementation to 50 per cent.

•Important entry point for participation in the economy and society.

•National ID project and NREGA will intersect to root out corruption

2004 2009

•Largest democracy •Rule of law •Sound Legal & financial system•Scientific manpower •English language •The world’s second largest free market economy

•Low Rural GDP•Child labor

•Infant mortality •AIDS epidemic

•Malaria, Tuberculosis•Sectarianism

•Insurgency•Gender inequality

Rural Innovation & Wealth

Creation

Development, Sustenance & Growth

Thank You

eby2006@gmail.com

www.georgeebymathew.com

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