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Chapter I

Introduction


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1.1 Overview of Industry

India's services sector contributes to about 60 per cent of the countrys gross domestic

product (GDP), 35 per cent of employment, a quarter of the total trade, and over half

of the foreign investment inflows.

The services industry is one of the largest and fastest-growing sectors in the global

market. Its contribution to the Indian economy is particularly significant, with regard

to employment potential and impact on national income. This sector covers a wide

range of activities, such as transportation, communication, trading, finances, real

estate and health, among others.

The services industry provides massive business prospects to investors. Without the

sectors capacity to generate revenue, it wouldbe difficult for the Indian economy to

acquire the healthy place it currently enjoys on the global platform.

Key Statistics:

The services sector received foreign direct investment (FDI) equity inflows worth

Rs 179,150.49 crore (US$ 28.78 billion) in the period April 2000August 2013,

according to Department of Industrial Policy and Promotion (DIPP).

About 80 per cent of India's total exports are dominated by high-skilled services,

such as software business services, financial services and communication services.

The expenditure of Indian banking and securities companies on IT products and

services is expected to be around US$ 422 billion in 2013, a 13 per cent increase

from 2012.

Recent Investments/ Developments:

For the fourth consecutive year, Wipro has been ranked as the number one

organization in the global R&D service provider survey conducted by leading

management and advisory firm, Zinnov Management Consulting. The survey was

based on companies belonging to the following seven industries:

telecommunications, semiconductors, computing peripherals and storage,

consumer electronics, automotive, enterprise software, and consumer software.


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Mr Mukesh Ambani-controlled Reliance Industries Ltd (RIL) is looking to open

an exclusive chicken restaurant chain in India in collaboration with 2 Sisters Food

Group (2SFG), a UK-based company. RIL sees potential in the quick service

restaurant (QSR) industry, which is projected to grow at 30 per cent annually. The

chain, which will be known as Chicken Came First (CCF), will directly compete

in India with the world's most popular chicken restaurant chain, Kentucky Fried

Chicken (KFC).

Hardcastle Restaurants Pvt Ltd (HRPL), the master franchisee of the operations of

McDonalds restaurants in west and south India, is bringing its coffee retail format

McCaf to the country. McCaf will be launched within the existing McDonalds

restaurants, with the first opening slated to be at So Bo Central outlet in Mumbai.

Over 150 McCafs are expected to be set up over the next five years. Investment

of Rs 3.5 million (US$ 56,234) is allocated for each McCaf format.

Tech Mahindra Ltd has bagged an outsourcing deal from Australian financial

services firm, Perpetual, to deliver registry services. As part of the deal, the Indian

company will give technology support for various superannuation and pension

products of Perpetual. We are looking to see a complete refresh of registry IT

infrastructure and applications which will allow us to focus on our core strengths,

said Paul Statham, acting Group Executive of Perpetual Investments. The

arrangement is believed to be a multi-million dollar deal.

Alvarez & Marsal (A&M), a global professional services organisation focusing on

performance improvement and turnaround management, is seeking to expand its

business in the country with the inception of a dedicated transaction advisory

practice.

Government Initiatives

The government will set up a joint task force together with the services industry to

prepare an action plan for the development of the services sector and increase services

exports, according to Commerce and Industry Minister, Mr Anand Sharma. The

majority of services sector exports are from verticals such as IT, ITES and BPO

sectors. However, there is a wide scope for segments such as animation, legal

servicing, architecture, media and entertainment, healthcare, and tourism, among

others.


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Mr Manohar Parrikar, Chief Minister of Goa, has announced the establishment of a

Special Logistics Group to prepare a roadmap for the government to take up logistics

development on a priority basis.

Mr Oscar Fernandes, Minister for Transport, Road and Highways, recently launched

the countrys first integrated National Transport Portal www.busindia.com. The

portal, which is now the largest online bus ticketing system in the world, will give

commuters the opportunity to comfortably plan their bus travel, including stopovers,

changing routes, multi- and round-trips, etc. The ratio of bus users to train users in

India is 6:1, highlighting the potential of connectivity bus services in India. Enterprise

solutions provider SAP has launched three new applications in an effort to help

government bodies improve their delivery mechanism. Rakshak, TracOHealth and

The 'Milk Co-operative' Experience will enable better responsiveness and service

delivery, and enhance preparedness, prevention, safety and security results in real-

time.

Road Ahead

Commerce and Industry Minister, Mr Anand Sharma, has proposed establishing a

Services Competitiveness Council, on a similar framework to the National

Manufacturing Competitiveness Council (NMCC). The minister has highlighted

services trade as an important element to economic growth, sustainable development

and employment generation.

Also, the government is planning an annual survey for the services sector, which will

give data on the industrys detailed performance.

The Indian food service industry is expected to grow to Rs 408,040 (US$ 65.56

billion) crore by 2018 at a compound annual growth rate (CAGR) of 11 per cent, as

per a survey commissioned by Technopak for National Restaurant Association of

India (NRAI). The QSR market will double to around Rs 70 billion (US$ 1.12 billion)

in FY 201516 from Rs 34 billion (US$ 546.09 million) in FY 201213, on the back

of new store additions.

Industry body CII projects the growth rate for Indias insurance industry in FY 2013

14 to be around 5 per cent, with around 60 per cent of non-life insurance companies

recording an average growth of more than 10 per cent. The Indian Information

Technology (IT) and Information Technology enabled Services (ITeS) sectors go


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hand-in-hand in every aspect. The industry has not only transformed Indias image on

the global platform, but also fuelled economic growth by energising higher education

sector (especially in engineering and computer science). The industry has employed

almost 10 million Indians and hence, has contributed a lot to social transformation in

the country. Furthermore, Indian firms, across all other sectors, largely depend on the

IT & ITeS service providers to make their business processes efficient and

streamlined. Indian manufacturing sector has the highest IT spending followed by

automotive, chemicals and consumer products industries. Indian organisations are

turning to IT to help them grow business in the current economic environment. IT is

seen as a change enabler and a source of business value for organisations.

Market Size

India's IT-business process outsourcing (BPO) industry revenue is expected to cross

US$ 225 billion mark by 2020, according to a Confederation of Indian Industry (CII)

report, titled 'The SMAC Code-Embracing New Technologies for Future Business'.

India is expected to become world's second-largest online community after China

with 213 million internet users by December 2013 and 243 million by June 2014,

according to a report by Internet and Mobile Association of India (IAMAI) and IMRB

International. Technology firms in India are expected to reap the benefits of Internet

of Things (IoT) data, considered to be a US$ 18 billion opportunity, to help clients

improve productivity and asset utilisation as well as to enhance end-customer

experience, as per networking firm Cisco.

Indias total IT industrys (including hardware) share in the global market stands at 7

per cent; in the IT segment the share is 4 per cent while in the ITeS space the share is

2 per cent. India's IT and BPO sector exports are expected to grow by 12-14 per cent

in FY14 to touch US$ 84 billion - US$ 87 billion, according to Nasscom. Moreover,

India plans to spend around US$ 3.9 billion on cloud services during 2013-2017, of

which US$ 1.7 billion will be spent on software-as-a-service (SaaS), according the

latest outlook of IT research and advisory company, Gartner Inc. The enterprise

software market in India is expected to reach US$ 3.92 billion in 2013, registering a

growth of 13.9 per cent over 2012 revenue of US$ 3.45 billion, according to Gartner.

Mumbai with 12 million internet users has emerged as the top most city in the country

with highest penetration of internet users, followed by Delhi (8.1 million) and

Hyderabad (4.7 million), according to the data released by Internet & Mobile


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Association of India (IAMAI). Indian IT's core competencies and strengths have

placed it on the international canvas, attracting investments from major countries.

According to data released by the Department of Industrial Policy and Promotion

(DIPP), the computer software and hardware sector has attracted foreign direct

investment (FDI) worth Rs 54,347.88 crore (US$ 8.77 billion) between April 2000

and September 2013.

Some of the major investments in Indian IT and ITeS sector:

Wipro plans to acquire US-based mortgage due diligence and risk management

service provider Opus Capital Markets Consultants (Opus CMC) for Rs 465

crore (US$ 75.07 million). Opus CMC provides comprehensive risk

management solutions to the mortgage industry in the US.

Infosys has opened a new centre in Sydney, Australia. This is its fourth

development centre in Australia and has a capacity to seat 140 employees.

Further, the company plans to hire 85 people in the region.

Hitachi has acquired a foothold in India's payment space with the acquisition of

Prizm Payment Services. The firm has entered into share transfer agreements

with Prizm shareholders, including Winvest Holdings (India), Sequoia Capital

and Axis Bank.

Dell has opened its India design centre for its storage technologies and has

realigned its domestic research and development (R&D) unit. The facility will

focus on developing software, integrating aspects involving back-up of emails

and related storage.

Tata Consultancy Services (TCS) has launched a software development facility

in Ahmedabad, Gujarat. The facility will serve global customers across industry

segments.

Cognizant Technology Solutions has acquired ValueSource, a subsidiary of

KBC Group, a Belgium-based multi-channel bank insurance group.

Schneider Electric has commissioned a services bureau in Bengaluru as a nerve

centre and a support facility for data centres in India and the Asia-Pacific region.

Government Initiatives

IT spending by the Government of India is projected to reach US$ 6.4 billion in 2013,

a growth of 7 per cent year-on-year, according to a report by Gartner.


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Some of the major initiatives taken by the Government to promote IT and ITeS sector

in India are:

After a successful first-ever international delegation to Dubai, Gujarat-based

small and medium enterprises (SMEs) in the IT sector plan to send similar

business delegations to European and South East Asian countries.

The Government of Karnataka plans to announce a new information technology

(IT) policy to boost investments in states tier-II and tier-III cities. The policy

would enable the sector to employ about two million people in the state directly

by 2020.

The Government of India has fast tracked the process of setting up of centres of

National Institute of Electronics and Information Technology (NIELIT) in

Northeast India.

The Government of Brazil has liberalised the issue of short term work visas, a

move which will make it easier for Indian IT professionals to take up

assignments in Brazil.

India and Vietnam have signed two memorandums of understanding (MoU) for

partnership in the field of information, communications and technology (ICT).

Globalisation has a profound impact in shaping the Indian IT industry over the years

with India capturing a sizeable chunk of the global market for technology sourcing

and business services. Over the years the growth drivers for this sector have been the

verticals of manufacturing, telecommunication, insurance, banking, finance and of

late the fledgling retail revolution. As the new scenario unfolds it is getting clear that

the future growth of IT and ITeS will be fuelled by the verticals of climate change,

mobile applications, healthcare, energy efficiency and sustainable energy. Traditional

business strongholds would make way for new geographies, there would be new

customers and more and more of SMEs will go for IT application and services.

Demand from emerging countries is expected to show strong growth going forward.

Tax holidays are also extended to IT sector for software technology parks of India

(STPI) and special economic zones (SEZs). Further, the country is providing

procedural ease and single window clearance for setting up facilities. The countrys

cost competitiveness in providing IT services, which is approximately 3-4 times


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cheaper than the US continues to be its USP in the global sourcing market. The IT &

ITes sector includes IT services, engineering design and R&D services, ITES (IT-

enabled services) or BPO and hardware.

Today IT and ITeS sectors lead the economic growth in terms of employment, export

promotion, revenue generation and standards of living. As per NASSCOM estimates,

IT/ITeS sector (excluding hardware) revenues are estimated at USD 87.6 billion in

FY 2011-12; and the industry is expected to grow by 19 per cent during FY 2012-13.

The IT/ITeS sector has led to employment opportunities, both direct and indirect, of

nearly 2.8 million and around 8.9 million respectively. This growth is expected to

increase to more than 14 million (direct and indirect) by 2015 and to around 30

million by 2030. The market size of the industry is expected to rise to USD 225

billion by 2020 considering India's competitive position, growing demand for exports,

Government policy support, and increasing global footprint.

IT/ITeS industry has led India's economic growth and this sector's contribution to the

national GDP has risen from 1.2 per cent in 1997-98 to an estimated 7.5 per cent in

2011-12. IT/ITES industries are highly localized and clustered in seven cities as of

today. These are: Bangalore, Hyderabad, Chennai, Gurgaon/Noida/New Delhi,

Kolkata, Mumbai and Pune. Infrastructure limits and scarcity of land has recently led

to expansion to newer places like Ahmedabad, Bhubaneshwar, Chandigarh,

Coimbatore, Jaipur, Kochi, Madurai, Mangalore, Mysore and Trivandrum.

Information Technology (IT) is defined as the design, development, implementation

and management of computer-based information systems, particularly software

applications and computer hardware. Today, it has grown to cover most aspects of

computing and technology. The largest firms globally include IBM, HP, Dell and

Microsoft.

The Information Technology-Enabled Services (ITES) industry provides services that

are delivered over telecom or data network to a range of external business areas.

Examples of such business process outsourcing (BPO) include customer service, web-

content development, back office management and network consultancy etc.

Factors leading to growth in the IT/ITes sector are:

Low operating costs and tax advantage.

Favourable government policies.

Technically qualified personnel easily available in the country.


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Rapid adoption of IT technologies in major sectors as Telecom, Manufacturing

and BFSI.

Strong growth in export demand from new verticals and non-traditional sectors as

public sector, media and utilities. Use of new and emerging technologies such as cloud computing.

SEZ as growth drivers; as more of SEZs are now being set up in Tier II cities and

about 43 new tier II/III cities are emerging as IT delivery locations.

All these factors have given IT/ITES industry in India a strong competitive position

with high market share. As per the Economic Survey 2011-12, the IT/ITeS industries

has added 7.96 lakh jobs in one year, in the period ending September 2011. According

to NASSCOM, employee base in the rural areas is expected to increase by over 10

times by 2013-14, compared to 5000 in 2009-10. According to a customer poll

conducted by Booz and Co, India is the most preferred destination for engineering

offshoring, which are encouraging foreign companies to offshore complete product

responsibility to Indian ITeS companies. Hyderabad is fast becoming the IT/ITes hub

of India with new players hankering to get a foothold here, and existing players

continuing to hire aggressively. Large companies such as Infosys, TCS, Genpact,

Deloitte, Facebook, Bank of America, Thomson Reuters, Amazon, Google,

Cognizant, Franklin Templeton among others, are growing their presence in the state.

According to Andhra Pradesh Government's estimates, the total IT/ITeS sector hiring

for 2012-13 could be at about 50,000 professionals.

More recently, online retailing, cloud computing and e-commerce are leading to rapid

growth in the IT industry. Online shopping is fast gaining popularity with the

emergence of internet retailing and e-commerce. According to the Internet and Mobile

Association of India (IAMAI) the number of Internet users in the country is more than

121 million, out of which 17 million are online shoppers. Increasing internet

penetration and affordability for personal computers has led to this rapid numbers,

and these are expected to triple by 2015.

The Indian IT sector took 15 years to reach the $100-billion mark and now the

improvement seen in global economy, industry consolidation led by M&A and new

technology platforms can propel the industry to $200 billion in the next five years. IT

& ITES was one of the top performing sectors of the calendar year 2013. Currency

fluctuation and marginal improvement in global economy have made the sector worth


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more than USD 100 billion as of today. The year 2014 is expected to be better for the

IT industry due to its diversification in analytics, mobility, cloud, social media and

emerging verticals such as healthcare and medical services, said Tushar Pendharkar,

Equity Strategist, Right Horizons Financial Services. As per NASSCOM estimates,

while Indian IT exports are likely to grow in a range of 13-15 per cent per annum, the

domestic market is expected to rise by a modest 9-12 per cent due to election impact.

However, "over the next couple of years, the growth will remain better, in our view,

due to expected recovery in the west, especially in the US, and expectation of stable

government at home," said Nitin Prakash Daga, Vice President - Research

at Microsec capital Ltd. "With these factors expected to prevail, we expect the Indian

IT sector to grow at a CAGR of 13.2-15.2% over the next five years," he added.

Consequently, the industry size may expand to around $219-239 bn by FY2019 from

$118 bn projected by NASSCOM for FY2014, says Daga. Indian IT companies are

now well recognised for delivering quality and have proved their capabilities of

timely execution of projects and are best positioned to ride global recovery. The

currency movement would also be a key trigger for the sector. Despite strong

appreciation seen in the rupee, the IT sector is one of the best trades and the best of IT

is ahead of us, says Raamdeo Agrawal, Joint MD & Co-Founder, Motilal Oswal

Financial Services Ltd.

"It took 15 years for the Indian IT to become worth $100 billion and now it will take

only five years to go from 100 billion to 200 billion," he added. Tech

Mahindra, Infosys, TCS and Wipro are his top bets in the sector. Given the large size

of the companies attained, the sector would continue to grow at a CAGR of 10-15%

annually. Industry consolidation led by mergers and acquisitions could add another

dimension to growth, say experts. Social, mobile, analytics and cloud (SMAC) may

remain a key driver for this growth, they say. "I believe that the year 2014 would be

much more promising and social, mobile, analytics and cloud (SMAC) is considered

as a huge future opportunity with new technology and platform," said Tushar

Pendharkar, Equity Strategist, Right Horizons Financial Services. "In addition,

Infosys, TCS and HCL Technologies has 'xash & equivalents' of over INR 260

billion, INR 65 billion and INR 60 billion respectively, which could be used for M&A

across the globe. In that way, it would take next five years for the industry to reach

the USD 200-billion mark," he added.


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Shashank Khade, Director and Chief Equity Advisor, Entrust Family Office

Investment Advisors, also feels that the industry consolidation led by mergers and

acquisitions could add another dimension to growth. The large IT services companies,

which contributed the most to the milestone of $100 billion, succeeded in building

huge scale in their organisations during this period, he added. Given all the optimism,

analysts do not rule out downsiderisk to the current assumption. They see the US Fed

tapering, rupee appreciation, rising competition, Immigration Bill and new technology

putting brakes on the growth story of the India IT sector. Daga of Microsec Capital is

of the view that some downside risks to these estimates prevail in the forms of

immigration bill, tapering impact and less stable government in India, but fast

growing technologies and businesses such as e-commerce, mobile applications, and

wearable gadgets may help the industry perform better than expected. Dr. Vikas

Gupta, Eexecutive Vice President, Arthveda Fund Management Pvt Ltd, is of the

view that India will attract more global companies outsourcing to us and the existing

ones are more likely to increase their share of volumes. "The rupee might depreciate

further, which will help the IT sector to better its margins, and the pricing power of

the Indian IT companies is likely to improve going forward," he added.

Most analysts expect frontline IT companies to take the charge in growing the sector

from the current levels. From the large-cap space, most analysts prefer TCS, Tech

Mahidra and HCL Technologies. Daga of Microec Capital says, taking into

consideration the future growth opportunities in the industry, current performance of

Indian IT players, and their respective business strengths, TCS remains their top pick

in the sector, led by its strategic focus and execution on digital front. "Tech Mahindra

with its initiatives to grow inorganically in SMAC related areas and HCL Tech's

continued outperformance keep us positive on these stocks as well," he added. Mostanalysts see Tech Mahindra performing better than large cap stocks. "The stock can

give upside of over 50 per cent from current levels," say experts.

Tech Mahindra and HCL Technologies are performing significantly well and also

trading at a discounted valuation, said Tushar Pendharkar, Equity Strategist, Right

Horizons Financial Services. "Tech Mahindra has reported stellar performance in the

past three quarters and is expected to report significantly better numbers in Q4-FY14.
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Tech Mahindra is currently trading at the P/E of 15x, which is significantly lower than

the industry P/E of 20x," he added. Pendharkar is of the view that Tech Mahindra has

the potential to provide 50 per cent upside from current market price. Khade of

Entrust Family Office Investment Advisors likes TCS, Infosys, Wipro, and Persistent

Systems as his top bets in the sector.

Software development companies in India have grown largely over the past couple of

years with major IT giants establishing their base. There was a time when the word IT

was alien and everybody looked at the IT industry in awe. But today, the number of

software development companies in India has increased to a number no one could

have ever imagined. Software companies in India are providing all kinds of IT

solutions under one roof apart from outsourcing their services globally. The demand

for Indian companies is rising because of the incredibly good quality and low cost

services that are being provided. Indian software development companies have

already created a strong foothold for themselves in the industry. Today nobody else

can think of over taking the IT boom in India. But with the growth of software

development companies in India, the challenges are growing as well.

This growth has led to a huge competition between software development companies.

Every company is working to outdo each other to climb the ladder of success. This

has increased the demand for software developers. Skilled developers are being paid

highly by multinationals. The key is to possess good IT knowledge and skills. One

should learn as many languages as possible. Good command over the English

language and communication skills are an added advantage. Apart from good

manpower, the right balance between quality and cost, a software development

company needs to pay attention to the budget planning and project management.

Technical skills and business skills are also equally important. Attention also has to be

paid to services in terms of innovation, skills, cost, time and quality. Knowledge

management and team management are of equal importance.

There are a lot of factors that need to be kept in mind for growth in the industry today.

IT finds itself as one of the top five prioritized sectors in Indian business. Support can

be taken from the Indian government to maintain stability in the IT market. Software

development is a growing sector and with the right skills, one can reach out for the

stars. Gartner Inc., a US-based information technology research and advisory


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company, forecasts that Indias Information Technology market, the third largest

among the emerging economies, will grow by 5.9 percent to $71.3 billion by next

year. About 7 percent year-on-year growth is expected, with the government itself

investing over $6.4 billion by 2014. Overall expansion of different sectors like

hardware, software, external IT services and telecommunications is expected. Among

the various sectors that are expect to continue booming, telecommunication is

expected to be the best performer. Indian device market is forecasted to expand and

the growth is likely to be driven by the sale of mobile phones.

With the innovation driven market products like tablets and ultra-mobile PCs will

represent more than 80 percent of device spending. The digital world is here and this

result in every budget being an IT budget. This is resulting in the beginning of an era:

the Digital Industrial Economy. The Digital Industrial Economy will be built on the

foundations of the Nexus of Forces (which includes a confluence and integration of

cloud, social collaboration, mobile and information) and the Internet of Everything by

combining the physical world and the virtual, Peter Sondergard, senior vice president

at Gartner and global head of Research said in a statement. The IT services sectors are

likely to project the fastest growth among the various segments with 13 percent

growth to reach $11.2 billion by next year. $4.1 billion is hoped to generate throughSoftware. IT services, which include consulting, implementation, IT outsourcing

and business process outsourcing, will be the largest overall spending category

throughout 2017 in country within the government sector, said Anurag Gupta,

research director at Gartner. Several top Indian Information and Communications

Technology (ICT) companies are targeting the ICT markets after exporting IT

outsourcing and business process outsourcing (BPO) expertise across the globe for

several years. The Indian government is also developing a cloud policy, namely the

GI cloud (or Meghraj) which will see more clarity in the near future. Wide

proliferation of affordable broadband connectivity (and mobile phones alongside) is

expected to provide further opportunities in eGovernance and mobility solutions.

Alongside central government projects such as excise, income tax, and post office;

other state governments will also undertake initiatives in municipalities, land records

and other joint initiatives like digital court rooms and common service centres, added

Gupta.


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Business Process Outsourcing, whether viewed through the eyes of the

vendor/provider or the corporate business owner, has historically been viewed

myopically as a means for corporate entities to strip out cost and increase profitability

through labor arbitrage as it applies to siloed business functions such as IT or finance

and accounting. This business model led to the rapid expansion of specialized service

providers and function specific, corporate captive centers. While these models have

proven to be fundamentally and fiscally sound throughout the past two decades, the

role of the discrete service provider is coming to an end. The end will be ushered in

by traditional market drivers such as increased competition and emerging technology,

but more importantly, the fate of individual IT-BPO service providers will be

determined by the overall scope and value of the services provided across the clients

enterprise. Those who fail to adapt to customer demand will see their market share

evaporate or find themselves the target of acquisition. The focus for the future must

be the customer.

When addressing the future it is paramount to note that the market landscape is still

bright. The future of Indian IT-BPO industry looks promising for both domestic and

export revenue. The size of global sourcing market has grown from $37 million in FY

2005 to $106 million in FY 2010. Indias share in global market is 55 percent in FY

2010 compare to 49 percent in FY 2005. Of this the Indias market share from BPO

market is 34 percent in FY 2010 compare to 45 percent in FY 2005. Revenue from

global BPO exports has increased from $12 million in FY 2005 to $42 million in FY

2010. While financial statistics and generous forecasts are encouraging, the IT-BPO

market is not immune to the boom and bust cycles that have affected mature global

industries such as construction, manufacturing and retail. Although IT and BPO

service providers have traditionally benefited from such market cycles, acting as a

stabilizing agent for their clients, it is imperative to remain vigilant and understand

that continued market share is not a given for Indian BPO and ITO organizations. To

rest on past success by assuming that current competitive advantages such as cost,

education levels and management expertise, will not erode can be fiscally fatal.

Pressure from other BRICs members will continually increase and the impact of their

continued assertiveness is difficult to predict. Competition from outside Indias

borders is a given and well covered by the business media. In of itself, competition is

not the chief threat to our outsourcing leadership position; it is merely a contributing


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and ever present factor. Market share will continually remain in flux based on price

pressures, regulatory shifts and trends largely out of our control. Business plans

account for such variability and allow nimble service providers to react accordingly.

However, as alluded to before, the chief threat is the infiltration of an overconfident

and relaxed perception that the provision of largely commoditized services can be

maintained. Relevancy will be determined by customer value and not solely on line of

business expertise.

During offshorings emergence in the 1990s, labor arbitrage and technical proficiency

drove customer demand, but what made outsourcing sticky was the notion that the

customer was king. BPO and ITO businesses were built on relationship nurturing

allowing service providers to intertwine their solution sets seamlessly within the

customer environment. As new service providers enter the market and strive for

differentiation, they are more likely to build business models around buzzwords or

trendy marketing practices at the cost of sacrificing customer centric service delivery.

For example, the industry is well aware that cloud computing and data virtualization

has the power to transform not only the ITO industry but the BPO and KPO markets

as well. This being understood, a provider should question whether the short term

gain of adopting such a practice, measured in terms of acquiring new prospectivecustomers, solely on the basis of new product positioning is worth a shift in resources

from current customers and core service offerings. Are you simply chasing a fad and

repackaging existing ASP based solutions as cloud applications for the sake of

capturing buzz? Is this what the customer truly needs? As with all emerging

technology, it is important to provide a sound evaluation and incorporate relevant

aspects into a solution delivery model, but the key is still value.

For the client, realizing a significant ROI from current solution engagements is

paramount to the formulation of future business cases for additional services. While

new products and ideas are intriguing, such initiatives more than likely fall out of

scope within the framework of current outsourcing strategies. A customer may

become infatuated with the notion of cloud computing as they become more

inundated by the concept within the media and their professional circles. The reality is

that such a solution requires resource intensive integration and administration within

their existing infrastructure. A service provider must listen in order to differentiatebetween what the customer is asking for and what the customer needs. In this


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instance, an end-user is looking for the provider to help them navigate these new

waters and integrate them into their current processes when it makes good business

sense. By maintaining an open dialogue at all times with the client and focusing on

the overall value of the partnership, a service provider is likely to avoid such pitfalls

and find themselves rewarded with new business from satisfied, current customers.

While investment in new products and markets cannot be shelved, a move that would

ultimately sacrifice future market relevance, the core attribute of our success must

remain a vigorous investment in the customer relationship. Otherwise, without a keen

understanding of each and every customers unique business needs, innovation and

product development is rendered meaningless. To quote a colleague, N.R. Narayana

Murthy, chairman of Infosys, Unless our researchers realize what the outside world

is and what is happening in the trenches, their innovations will have no value for the

customer.

A recent article published in a daily newspaper with supporting data from the Indian

arms of Everest Research and Gartner, highlighted how customers are increasingly

looking to renegotiate current vendor contracts to derive additional value from current

agreements. The author draws attention to one key aspect of the on-going

renegotiations, changing the way services are billed. Instead of pricing services based

on FTE count, customers are looking for KPI or SLA based price models. They are

looking for more concrete ways to define the success of an outsourcing agreement and

making payment contingent upon proof of such. This model will require the service

provider to not only be more innovative in the way they build and deliver services, but

in how they report the achievement of critical success factors.

Those who understand these concepts will succeed. They will understand their

customers internal corporate culture and will be able to deliver value across the

enterprise. End-to-end solution providers will continue to displace specialized,

commodity driver vendors as they are better equipped to leverage their service

offerings and expertise to meet the strategic business goals of customers. To survive,

IT-BPO providers must divert more resources to the customer relationship and their

overall experience. Complacency in regards to customer value will be fatal to those

who fall behind. In India, Business Process Outsourcing (BPO) is the fastest growingsegment of the ITES (Information Technology Enabled Services) industry. Factors


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such as economy of scale, business risk mitigation, cost advantage, utilization

improvement and superior competency have all lead to the growth of the Indian BPO

industry. Business process outsourcing in India, which started around the mid-90s, has

now grown by leaps and bounds. India is now the world's favored market for BPO

companies, among other competitors, such as, Australia, China, Philippines and

Ireland. The BPO boom in India is credited to cheap labor costs and India's huge

talent pool of skilled, English-speaking professionals. Research by the National

Association of Software Services and Companies (NASSCOM) has revealed that

quality orientation among leading BPO companies, 24/7 services, India's unique

geographic location and the investor friendly tax structure in India have all made the

BPO industry in India very popular.

The term Business Process Outsourcing or BPO as it is popularly known, refers to

outsourcing in all fields. A BPO service provider usually administers and manages a

particular business process for another company. BPOs either use new technology or

apply an existing technology in a new way to improve a particular business process.

India is currently the number one destination for business process outsourcing, as

most companies in the US and UK outsource IT-related business processes to Indian

service providers.

Services offered by Indian BPO companies

Indian BPO companies offer varied services, such as, customer support, technical

support, telemarketing, insurance processing, data processing, forms processing,

bookkeeping and internet / online / web research.

Customer support services: 24/7 inbound / outbound call center services that

address customer queries and concerns through phone, email and live chat.

Technical support services: Installation, product support, running support,

troubleshooting, usage support and problem resolution for computer software,

hardware, peripherals and internet infrastructure.

Telemarketing services: Interacting with potential customers and creating

interest for the customer's services/ products. Up-selling, promoting and cross

selling to existing customers and completing online sales processes.


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IT help desk services: Level 1 and 2 multi-channel support, system problem

resolutions, technical problem resolution, office productivity tools support,

answering product usage queries and performing remote diagnostics.

Insurance processing: New business acquisition and promotion, claimsprocessing, policy maintenance and policy management.

Data entry and data processing: Data entry from paper, books, images, e-books,

yellow pages, web sites, business cards, printed documents, software

applications, receipts, bills, catalogs and mailing lists.

Data conversion services: Data conversion for databases, word processors,

spreadsheets and software applications. Data conversion of raw data into PDF,

HTML, Word or Acrobat formats.

Bookkeeping and accounting services: Maintenance of the customer's general

ledger, accounts receivables, accounts payables, financial statements, bank

reconciliations and assets / equipment ledgers.

Form processing services: Online form processing, payroll processing, medical

billing, insurance claim forms processing and medical forms processing.

Online research: Internet search, product research, market research, surveys,

analysis, web research and mailing list research.

Interesting facts about the Indian BPO industry:

The BPO sector in India is estimated to have reached a 54 per cent growth in

revenue

The demand for Indian BPO services has been growing at an annual growth

rate of 50%

The BPO industry in India has provided jobs for over 74,400 Indians. This

number is continuing to grow on a yearly basis. The Indian BPO sector is soon

to employ over 1.1 million Indians

70% of India's BPO industry's revenue is from contact centers, 20% from data

entry work and the remaining 10% from information technology related work

Indian BPOs handle 56% of the world's business process outsourcing

NASSCOM recently conducted a survey and evaluated the leading BPO service

providers across India. The top fifteen business process outsourcing companies inIndia are:


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WNS Group

Wipro Spectramind

Daksh e-Services

Convergys HCL Technologiess

Zenta

ICICI Onesource

MphasiS

EXL

Tracmail

GTL Ltd

vCustomer

HTMT

24/7 Customer

Sutherland Technologies

Shrugging off concerns about being beaten by cheaper rivals from China and the

Philippines, major pure-play BPO companies led by Genpact, EXL, WNS and EXL,

listed in the US but with their operations in India, have swapped low-end voice work

at call centres for services that involve industry expertise, which requires for higher

skills and results in increased profit margins in the back-office service business. We

see strong demand in finance and accounting, insurance and analytics, said Rohit

Kapoor, CEO of Noida-centred EXL Service. Social media, legal and healthcare

services are among other areas that Indian firms are specialising in.

New jobs are created mostly in highly specialised domains. About 5% of todays

BPO workforce is doctors while 15% are chartered accountants or certified public

accountants, said Keshav Murugesh, CEO of WNS who heads industry association

Nasscoms business process management council. He expects mid-teen growth for

BPO firms. BPO, now a shorthand for a broad category of IT-enabled services, grew

12% to $18 billionaccounting for 17% of Indias $108 billion IT-BPO exports in

2012-13, while accounting for 920,000 jobs (or 30%) of its 3 million staff. While

revenue per employee is lower, the growth is higher in BPO. Understandably, BPO

company shares have done well in the past year. Stocks of NYSE-listed WNS doubled


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over the past year, while Genpact and Syntel rose 20-22% growth and EXL moved up

13%. In April-June quarter WNS and Syntel reported an identical 13% year-on-year

growth in revenue at $119 million ( Rs. 719 crore) and $ 202.5 million ( Rs. 1,224

crore) while EXL posted a 7% topline growth at $ 116 million (R701 crore).

Growth of BPO Sector in India during the first half of 2007 was showing a moderate

trend of growth which is registered at 14%. Five years ago, the growth in this sector

was quite low due to less contracts but the situation is worse now. However, the

growth of the BPO sector is expected to improve. The BPO and KPO sectors in India

have been showing some positive signs with demands from western countries

increasing manifold due to the availability of cost-effective labor in India, which is

highly skilled and also fluent in English. The BPOs in India are focused on increasing

the growth through change in pricing techniques. Pricing in a BPO is supposed to be

based on the value added to the business. So a remarkable change is in store as the

BPOs in India work towards their full potential.

Of course, the big boom in the BPO industry in 2003 had generated a lot of

employment opportunities and continues even today. Nevertheless, Indian BPO sector

is facing competition from countries like Philippines, Mexico, Malaysia, China, and

Canada. The expected growth of this sector in 2003 was 25%. Nations like the United

States and Europe are showing great interest in increasing their investments in the

Indian BPO sector. India has an edge over other countries as we consider the

following:

Tech savvy professionals

Cost effectiveness

Superior competency

Business risk mitigation

24 hour service

Economy of scale

The growth in the BPO sector of India in 2004 was mainly due to the demands from

the two segmentsBFSI and telecommunications. There were low telecom costs for

the leased lines and 400 companies were part of the BPO sector of India. The

companies that were involved included third parties, Indian companies, and


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1.2 Women in India

The status of women in India has been subject to many great changes over the past

few millennia. From equal status with men in ancient times through the low points of

the medieval period, to the promotion of equal rights by many reformers, the history

of women in India has been eventful. In modern India, women have held high offices

in India including that of the President, Prime Minister, Speaker of the Lok

Sabha and Leader of the Opposition.

As of 2011, the Speaker of the Lok Sabha and the Leader of the Opposition in the Lok

Sabha (Lower House of the parliament) were women. However, women in India

continue to face atrocities such as rape, acid throwing, dowry killings, and the forced

prostitution of young girls. According to a global poll conducted by Thomson

Reuters, India is the "fourth most dangerous country" in the world for women, and the

worst country for women among the G20countries. In India a dangerous environment

has been created for working urban women. While theyre still expected to dispense

their traditional duties of being a wife, mother, daughter-in-law or mother-in-law, now

working women are also expected to bring in the bread. Theyre expected to keep the

house clean, cook and dispense other wifely duties while navigating the complex

corporate structure. And all this is taking a toll on their health. And given most

middle-aged men have grown up in an era where they grew up seeing their mothers

do all the household work, the concept of giving a helping hand isnt really there in

most middle-class Indian families.

Three out of four working women in India suffer from lifestyle, chronic or acute

ailments due to the pressure from trying to balance their personal and professional

lives, according to an Assocham survey. The survey findings, released ahead ofInternational Womens Day on March 8, reveals that 42 per cent of working women

suffer from lifestyle diseases like backache, obesity, depression, diabetes, hyper-

tension and heart ailments. Besides, twenty-two per cent of women surveyed suffered

from chronic diseases while 14 per cent had acute ailments. Working women have to

double up as valued employees at their work place and home-makers after office

hours. This takes a toll on their health, Assocham Secretary General D S Rawat said.

The survey was conducted on 2,800 working women aged between 32-58 years from

120 companies across 11 sectors of the economy in 10 cities - Ahmedabad,


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Bangalore, Chennai, Delhi-NCR, Hyderabad, Jaipur, Kolkata, Lucknow, Mumbai and

Pune.

Marriage marks a palpable shift not only in the life of women, but also in the way

they view their priorities. One of the examples is her career that moves down from

first to fourth place after becoming a daughter-in-law, says a survey conducted by one

of the leading matrimonial sites. On the occasion of International Womens Day on

March 8, Jeevansathi.com has done a survey to understand womans priorities in life

before and after marriage. The survey was conducted on more than 1,500 women,

who were asked to rank their priorities in life before matrimony and post wedding.

Career and job were given number one spot with 53 percent of women putting it as

their number one concern. The tables turned post the walk down the aisle with women

ranking career as number four priority. So when asked about priorities after marriage,

51 percent of women indicated their future partner as their number one priority, said a

statement.

The survey clearly shows a tangible shift in womens priorities before and after

marriage and also throws light on the outlook of women towards their lives. Indian

women have pristine clarity towards what they value most in life with career and

husband becoming their top priorities before and after marriage, said Prakash

Sangam, business head, Jeevansathi.com. Also, 25 percent of women ranked their

parents as the number two priority in their lives before marriage. But an equal number

of women ranked their parents as number three priority after marriage since their own

children take up the second place in the priority list. Money featured on number three

in their priority list before marriage, while post marriage it is filial duties that take

precedence over monetary concerns. The survey also says that post marriage, Indian

women hardly spend time on their hobbies and travelling. It's proved.

Working women in India are the most ambitious. Their ambition is double that of

their counterparts from the US for that matter. They fare remarkably well in the

difficult act of balancing their household and walking up the career ladder, a study has

found. When family-rooted pulls get too strong, they get off the ramp. This could be a

familiar story everywhere, but the twist lies here. Unlike their counterparts in other

countries like the US, Germany and Japan, almost all these Indian working women

succeed in getting back to work in the shortest time, the study revealed.


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The study, conducted by the Center for Talent Innovation (CTI), a non profit think-

tank based in New York, says India's super women are on par with many developed

countries in many respects. Except that their rise in the career ladder is stalled. Sylvia

Ann Hewlett, CEO of CTI, who is known for her works in gender policies, was in

town to release the study. The study reveals a phenomenon that is absent in many

other countries - the daughterly guilt. There are more women who quit their jobs for

their parents' sake (80%) than for their children (75%). The daughterly guilt is as low

as 30% in the US and 18% in Germany. "Indians are reluctant about sending their

elders to assistant homes. This is a culture that one finds only in India. This is one of

the reasons why women with higher experiences quit," Sylvia points out. "After a

certain age, when we are done with our responsibilities with our children, our

priorities also change. We begin to look around for betterment of society. You realize

that your parents have done so much for you. As a daughter, you have moved away

from them. You tend to feel a lot of compassion and wants to look after them," said

Meera Rao (name changed), a journalist for over 20 years who quit her job.

Thanks to our perception that stay-at-home moms are better mothers, women tend to

abandon their careers after they have a baby. Interestingly, 63% of women surveyed

say that difficulty in finding a domestic help is the reason why they had to stay off theramp. "There were two reasons. One was health. The other was that I felt that I was

not giving as much time to my son as much as my mother did for me. I believe that

the baby should get mother's love at least in the first two years," said Poornima Rajiv

who worked as a legal consultant for four years.

WORKPLACE CHALLENGES

Ask Sylvia Ann Hewlett how a woman can sustain her ambition, she would say: "It's

very important to have role models of women leaders you admire. Make it look real

for yourself. Women CEOs account for 11% in the 250-odd Indian companies. We

need more of those stories. Chanda Kochchar of ICICI bank and Kahu Nakhate can be

good role models."

The 60-plus work hours that they have to put in and the work place bias also put

women off. "The interesting part is even men acknowledge that there is a bias. In

other countries, they are in denial," Sylvia said. The study states that even appearanceis a critical element in up-ramping. In India, weightage is given to physical


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attractiveness and looks, including a youthful appearance as well as being slim and

tall, the study says.Another hindrance, that their counterparts in other parts of the

world do not have to face, is that of sexual harassment while commuting. There are

also differences in working in Indian companies and MNCs. The working hours are

more in MNCs, but promotion prospects too are high.

"Women are very serious about their career in that there is a steady growth in the

number of women who want to remain single. There is another group who do not

want to have children for the same reason," she said.

It's an exciting time for well qualified Indian women. They are doing unusually well.

Women in India are eloquent, ambitious and forceful people who are exhilarated

about being part of the transfusion of the country. They understand the opportunities

and I am impressed by the commitment of the private sector, though not across the

board, to get women on ramp.

Women who consider themselves ambitious:

India Japan US Germany

28-40yrs 64% 9% 40% 34%

Over 41 yrs 60% 6% 32% 29%

At its third annual IT Women Leadership Summit held recently in Bangalore, India's

premier trade body NASSCOM declared that workplace diversity and gender

inclusion is a business imperative today. In tandem with this economic change,

enormous social transformations are taking place. We are moving into a future of

labour shortages, skills gaps and a world in which the educational and economicempowerment of women will become increasingly significant. These major upheavals

challenging society, and the widely perceived need to tap the creativity and skills of

women, were addressed by NASSCOM, premier trade body and the "voice" of the

Indian IT industry, in its third annual IT Women Leadership Summit in Bangalore.

Som Mittal, President, NASSCOM, holds that gender inclusivity is a must for the

long-term success of industry. "India will play a key role in future transformation.


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Women are a key and vital part of our workforce, and industry will continue to work

towards creating a conducive environment and attract more women employees and

leaders." Workplace diversity in industry gives it a leading edge in the marketplace,

and is therefore of even greater importance in these times of economic recession and

slowdown. Gender inclusivity is no longer corporate social responsibility but a

business imperative. Placing this huge pool of talented women in leadership roles will

improve the return of investor capital, the quality of the end product, and the

corporate bottom line. Harnessing the power of talented women "will pave the way

for future generations". N Krishnakumar, CEO, MindTree Ltd, believes that "building

business is not just a man's job. Women helped build up MindTree" as a force to

reckon with globally. It is wrong to think that transformation can be effected by men

alone. He cites the case of Xerox, where an all-women top management team recently

collaborated to transform the company.

Ambitions are changing in today's world. Educated women are now coming in larger

numbers from tier II cities and smaller towns across India. These women, with their

personal drive, integrity and capacity to manage conflict positively, can build value

for stakeholders in a business enterprise. Employing women, in the words of N

Krishnakumar, is a "smart business decision". Women should not expect concessions

but demand their rights as valuable contributors to enterprise, he feels. Shankar

Annaswamy, Managing Director, IBM India, believes that business innovations will

make the key difference in surviving the impending financial tsunami. "We are way

behind the rest of the world," says Pramod Bhasin, President and CEO, Genpact. The

talent pool of qualified women professionals must be effectively tapped to strengthen

industry and the economy. In India, only about 25% of the business leadership is

comprised of women. In China, on the other hand, women comprise nearly 60% ofthe business leadership. "The glass ceiling exists. We have to break it visibly and rock

the boat to make things change."

Women as innovators bring value to enterprise in a rapidly changing world. "True

innovation is not about commanding, but getting people to feel comfortable about

change," says Sharad Sharma, CEO (R&D) Yahoo India. Today, metaphors for

leadership are changing. With more information available than ever before, today's

business leaders can no longer claim access to privileged information. Today's


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business leader is like a masterful coach coaxing the best performance from an

average team. The role of an enlightened parent may perhaps be the future metaphor

for leadership. The leader should not instruct, but engage the hearts and minds of the

team; draw out their passion and leverage their strengths. Women have a natural

adaptability and capacity for change. Today, talent is only a good starting point. You

need to make something out of that talent. It takes study and persistence to build skills

and then become an expert and adaptive change agent. Women may have this natural

ability but they need to be motivated and build a positive self-image, says Sharma.

"Faith in oneself is a major turning point for innovation and change."

Nancy Thomas, Vice-President, IBM Global Business Services, holds that diversity of

background and ideas are key drivers of innovation. Stereotypes such as the glass

ceiling are barriers to innovation. In today's business environment, innovation is of

great importance and is much more than a product offering. Today, the rest of the

world, and mature markets, are eager to hear about growth countries such as India and

of the innovations that drive this growth. Acknowledging the value and potential of

women as innovators, IBM encourages more women to earn patents on processes they

have formulated. Women are traditionally stereotyped as collaborative consensus-

builders ready to take the backseat. Nancy Thomas urges women to "learn when to

stop consensus-building and make decisions for the team. Building credibility and

authority is vital for leadership. Cultural factors do restrain women. But the real glass

ceiling is the one we put upon ourselves. We women are our own barriers. Women

must hone their capacity to handle opportunities and embrace them".

Accenture undertook research for One Step Ahead of 2011: A New Horizon for

Working Women to gain a better understanding of how prepared women and men feel

to meet the challenges of the multi-polar world, a phenomenon in which traditional

centres of economic power are being dispersed more widely around the globe. For this

study, 4,100 business professionals from medium to large organisations in 17

countries were surveyed online between December 2007 and January 2008. The study

found some striking differences among individual countries. Professionals of both

genders in several key emerging markets were more likely to say they felt equipped

than were their counterparts in developed markets. The majority of respondents in


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India, China and Brazil -- 70%, 68% and 58% respectively -- said they felt equipped

to succeed in the global business world of 2011.

On the other hand, respondents in the UK and France were least likely to say they felt

equipped (29% and 24% respectively). This would imply that employees in the

traditional powerhouse economies will have to contend with significant gaps in skills

readiness if they are to match the confident outlook of their peers in up-and-coming

economies. This study also found that overall, women ascribe greater importance to

and indicate greater readiness for a number of key skill areas than men do.

Specifically, they express a heightened propensity to cultivate skills related to

inclusion and diversity, social responsibility and global skills. According to the report,

technology is the skill that women overall deem most important to success in the

future, and the one they are most willing to embrace as an enabler of new business

models. "The current economic crisis shows how interconnected we are," says Rekha

M Menon, Executive Vice-President, Accenture India. "Innovation can come from

anywhere. Our study shows that women in emerging markets report better readiness

to face the future." Gender diversity influences organisational effectiveness.

Corporates with more women in top leadership clearly can face changes and innovate,

and therefore perform better. Yet, women are clearly behind in certain key areas of

effectiveness at the workplace. Accenture globally encourages women to hold patents

for their innovations, Menon adds, as one of the many ways to encourage and nurture

the talents of women.

There is a talent leakage in middle management levels among women in their thirties.

Marriage, family, children, relocation and other personal reasons diminish women's

ability to reach the top. Support systems are required for women at work. Current

measures such as crches, flexi-time, refresher programmes, orientation on companypolicies only scratch the surface of the real problems. However, there is increased

awareness of the contribution of women and the need to nurture their talent at the

workplace. Leadership paradigms are changing in the 21st century. The full report

will be released in December 2008. Organisations, while they track numbers, should

also try to discover the root of the problem. Formal mentoring is required at every

level and future champions need to be identified and nurtured. Women need to strike

a balance between their family and work life. There is a greater need for society and

the family to accept and tolerate the successes and careers of women.


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Women are the first to dwell on their own failures, says Padma Ravichander. She

advises women not to hold back but to take a look at the situation with a fresh

perspective. Women must not regress and give up. Women, post-motherhood, have

tremendous insecurity when they return to the workforce. They constantly wonder

whether they will be able to cope with the changes that have taken place during their

absence. Coaching and mentoring can be of great help. Companies like Infosys

encourage employees to take on external mentors, a measure that can further broaden

the horizons of the mentee. Corporates can address the issue of equity and fairness

among employees by targeting numerous forms of care -- childcare centres, family

childcare, school-age and backup programmes, and eldercare services. Employers can

ensure that programmes meet the dual needs of employers and communities by

building on the existing dependent care infrastructure. Today's business leaders

should take more interest in the probable outcome of current policies a few years

down the line. They should recognise what impacts the future, and plan ahead

accordingly.

"Each individual is the key to making policy changes happen. Within our own

company, we stress upon teamwork, and tailor training and mentoring programmes to

the needs of each individual." In Broadridge every associate is encouraged to look at

the company's global vision and understand his contribution to the greater whole.

Transparency, openness and constructive feedback are important for the senior

management. Leaders must consciously balance business results with the 'soft' side.

Pratik Kumar, Corporate Vice-President, Human Resources, Wipro, stresses the need

to work on the corporate culture and mindset of leaders. Wipro recruited nearly

14,000 new employees this year, of which almost 50% were women. Larger

companies should work on making employees feel secure not just physically butwithin the corporate culture. Employees need to believe in their company, and women

must feel valued. This healthy balance coming from proper company policies will

undoubtedly translate to a healthier balance sheet. Building social infrastructure is

vital. "Are leaders looking at changing the social system beyond corporate walls?"

asks Pramod Bhasin. Subtle barriers have not yet been broken. Managers must accept

that women can return to active professional life after a break for personal reasons.

They must see to it that provisions like crches and flexi-time are used positively.

"Employers can empower women," adds Cleo Thompson. Having a job can help


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women remove themselves from a negative environment and add to their economic

freedom and independence. To conclude, in the words of Som Mittal, India's IT

industry needs to be a torchbearer of concentric circles of social change. The industry

must reach out and positively influence society and government.

The worth of a civilization can be judged by the place given to women in the society.

One of several factors that justify the greatness of India's ancient culture is the

honorable place granted to women. The Muslim influence on India caused

considerable deterioration in the status of women. They were deprived of their rights

of equality with men. Raja Ram Mohan Roy started a movement against this

inequality and subjugation. The contact of Indian culture with that of the British also

brought improvement in the status of women. The third factor in the revival of

women's position was the influence of Mahatma Gandhi who induced women to

participate in the Freedom Movement. As a result of this retrieval of freedom, women

in Indian have distinguished themselves as teachers, nurses, air-hostesses, booking

clerks, receptionists, and doctors. They are also participating in politics and

administration. But in spite of this amelioration in the status of women, the evils of

illiteracy, dowry, ignorance, and economic slavery would have to be fully removed in

order to give them their rightful place in Indian society.

The worth of a civilization can be judged from the position that it gives to women. Of

the several factors that justify the greatness of India's ancient culture, one of the

greatest is the honoured place ascribed to women. Manu, the great law-giver, said

long ago, 'where women are honoured there reside the gods'. According to ancient

Hindu scriptures no religious rite can be performed with perfection by a man without

the participation of his wife. Wife's participation is essential to any religious rite.

Married men along with their wives are allowed to perform sacred rites on the

occasion of various important festivals. Wives are thus befittingly called 'Ardhangani'

(betterhalf). They are given not only important but equal position with men. But in the

later period the position of women went on deteriorating due to Muslim influence.

During the Muslim period of history they were deprived of their rights of equality

with men. They were compelled to keep themselves within the four walls of their

houses with a long veil on their faces. This was definitely due to Islamic influence.

Even today in some Islamic countries women are not allowed to go out freely. The


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conservative regimes of Iran and Pakistan, for example, have withdrawn the liberties

given to women folk by the previous liberal governments.

Even in India the Muslim women are far more backward than their Hindu, Christian

and Sikh counterparts. The sight of Muslim women walking with long 'Burkas' (veils)

on their person is not very rare. The women are, as a matter of fact, regarded as

captive and saleable commodities in Muslim families. One man is allowed to have so

many wives with the easiest provision of divorce. The husband can divorce a wife just

by saying 'I divorce you' under the provision of Muslim laws. This is what the

emperors did hundred years back and the men are doing it even now in almost all

Islamic countries. Even in this last phase of the twentieth century rich and prosperous

men of Islamic countries keep scores of wives in their harems. It was natural outcome

of the Muslim subjugation of India that woman was relegated to a plaything of man,

an ornament to decorate the drawing room. Serving, knitting, painting and music were

her pastimes and cooking and cleaning her business.

In the wake of Raja Ram Mohan Roy's movement against women's subjugation to

men and British influence on Indian culture and civilization the position of women

had once again undergone a change. However, it was only under the enlightened

leadership of Mahatma Gandhi that they re-asserted their equality with men. In

response to the call of Gandhi they discarded their veil and came out of the four walls

of their houses to fight the battle of freedom shoulder to shoulder with their brothers.

The result is that the Indian Constitution today has given to women the equal status

with men. There is no discrimination between men and women. All professions are

open to both of them with merit as the only criterion of selection. As a result of their

newly gained freedom Indian woman have distinguished themselves in various

spheres of life as politicians, orators, lawyers, doctors, administrators and diplomats.

They are not only entrusted with work of responsibility but also they perform their

duties very honestly and sincerely. There is hardly any sphere of life in which Indian

women have not taken part and shown their worth. Women exercise their right to

vote, contest for Parliament and Assembly, seek appointment in public office and

compete in other spheres of life with men. This shows that women in India enjoy

today more liberty and equality than before. They have acquired more liberty to

participate in the affairs of the country. They have been given equality with men in


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shaping their future and sharing responsibilities for themselves, their family and their

country.

It is a fact that women are intelligent, hard-working and efficient in work. They put

heart and soul together in whatever they undertake. As typists and clerks they are now

competing successfully with men. There are many women working in the Central

Secretariat. They are striving very hard to reach highest efficiency and perfection in

the administrative work. Their integrity of character is probably better than men.

Generally it was found that women are less susceptible to corruption in form of

bribery and favouritism. They are not only sweet tongued but also honest, efficient

and punctual in their jobs as receptionists, air-hostesses and booking clerks at railway

reservation counters. As a matter of fact they are gradually monopolising the jobs of

receptionists and air-hostesses. Another job in which Indian women are doing so well

is that of teachers. In country like India where millions are groping in the darkness of

illiteracy and ignorance efficient teaching to the children is most urgently needed. By

virtue of their love and affection for the children the women have proved the best

teachers in the primary and kindergarten schools. They can better understand the

psychology of a child than the male teachers. Small children in the kindergarten

schools get motherly affection from the lady teachers. It is probably significant thatthe Montessori system of education is being conducted mostly by the women in this

country.

Women have been serving India admirably as doctors and nurses. Lady doctors have

been found to perform efficient surgery by virtue of their soft and accurate fingers.

They have monopolised as nurses in the hospitals and nursing homes. Very few men

have been able to compete with them in this sphere because the women have natural

tendency to serve and clean. It is thus natural tendency found in women which

motivated Florence Nightingale to make nursing popular among the women of the

upper classes in England and in Europe. She showed the way to women kind how

nobly they can serve humanity in the hours of sufferings and agonies.

Women's contributions in politics and social services have also been quite significant.

We cannot fail to mention the name of Indira Gandhi who shone so brilliantly and

radiantly in the firmament of India's politics. She ruled this country for more than a

decade and took India victorious out of Pakistan-war which resulted in the historic


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creation of a new country, Bangladesh. In the field of social service Indian women

have also done some excellent jobs. They have not only served the cause of the

suffering humanity but have also brought highest laurels for the country. The name of

Mother Teressa cannot but be mentioned. She brought the Nobel Prize for India by

her selfless services to the poor, destitute and suffering people of our country in

particular and the needy and handicapped people of the world in general. Today, we

need the services of the educated women who can tour throughout the country and

help in removing human sufferings. The Government is alarmed at the rapid growth

of population in the rural areas in particular. Women volunteers can more easily take

up the task of canvassing the advantages of family planning among the rural

womenfolk. They can, more easily than men, carry on propaganda against hazards of

unhygienic conditions under which the villagers live. In urban areas they can

efficiently take up the task of visiting and teaching the orphans and the helpless

widows in the orphanages and the widow welfare centres. They can train them in

sewing, knitting, embroidery and nursing in which women by nature excel. They can

also train them in the art of music and dancing. But all this should not lead us to

conclude that the women should look down upon domestic life. The main sphere of

action for them who have not taken up jobs outside should be essentially a happy

home which is their real kingdom and where their sweet manners and mature advices

as wife, mother, sister and daughter make tremendous effects on the male members of

the family. The progress of a nation depends upon the care and skill with which

mothers rear up their children. The first and foremost duty of Indian women should,

therefore, be to bring forth noble generations of patriots, warriors, scholars and

statesmen. Since child's education starts even in the womb and the impressions are

formed in the mind of a child while in mothers arms women have to play a role of

vital importance.

They have to feel and realise at every step of their life that they are builders of the fate

of our nation since children grow mainly in mothers arms. They should also

discourage their husbands and sons from indulging in bribery and other corrupt

practices. This they can do only when they learn the art of simple living by discarding

their natural desires for ornaments and a living of pomp and show. In many cases

families have been running in deficit due to the extravagance of the housewives in

maintaining a high standard of living. The result is that the earning male members of


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the family are forced to fill up the gap in the budget by corrupt practices. Corruption

has been so far the greatest impediment in way to India's progress. Minus corruption

India would have been one of the most developed nations of the world.

There is no denying the fact that women in India have made a considerable progress

in the last fifty years but yet they have to struggle against many handicaps and social

evils in the male dominated society. The Hindu Code Bill has given the daughter and

the son equal share of the property. The Marriage Act no longer regards woman as the

property of man. Marriage is now considered to be a personal affair and if a partner

feels dissatisfied she or he has the right of divorce. But passing of law is one thing and

its absorption in the collective thinking of society is quite a different matter. In order

to prove themselves equal to the dignity and status given to them in the Indian

Constitution they have to shake off the shackles of slavery and superstitions. They

should help the government and the society in eradicating the evils of dowry,

illiteracy and ignorance among the eves. The dowry problem has assumed a

dangerous form in this country. The parents of the girls have to pay thousands and

lacs to the bridegrooms and their greedy fathers and mothers. If promised articles are

not given by the parents of brides, the cruel and greedy members of the bridegrooms'

family take recourse to afflicting tortures on the married women. Some women aremurdered in such cases. The dowry deaths are really heinous and barbarous crimes

committed by the cruel and inhumane persons. The young girls should be bold enough

in not marrying the boys who demand dowry through their parents. The boys should

also refuse to marry if their parents demand dowry. But unfortunately the number of

such bold and conscientious boys is very few. Even the doctors, engineers, teachers

and the administrative officers do not hesitate in allowing themselves to be sold to the

wealthy fathers of shy and timid girls. Such persons have really brought disgrace to

their cadres in particular and society in general. The government should enact

stringent laws to afflict rigorous punishment on dowry seekers, women's murderers

and rapers.

Women in India, whether in farming communities or city centers, are backing out of

the kitchen and taking steps toward becoming fully integrated and valued members of

society. As a nation we are witnessing a shift in their status, with more and more

women working in the political, business and social arenas. But the question is this:


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when will women breakthrough in top positions and how will men respond? It is now

common to see women working in business or as lawyers, journalists, even as

entrepreneurs. And men increasingly want to marry working women to help pay the

bills or to prove a point socially that they are opengenuinely or notto the idea of a

woman being an individual with her own rights, wants and needs. State governments

are encouraging women to start their own businesses and corporations are taking

initiatives to weave in womens financial independence in their gender diversity

agendas. The question of why are there so few women at the top positions in India has

gone viral since the 2012 release of Randstad Indias Workmonitor survey, revealing

that 76 percent of respondents believe there are not enough women in top positions in

their organizations, even though 89 percent of women want to take up leadership role.

Only when women begin to accept and live their new-found identities, will they be

able to inspire a change. This lack of leadership roles is one of the reasons why Indian

women are leaving their paying jobs behind to branch out on their own. Many want to

do something related to their passions, or are bored by their jobs in the corporate

world. Others are choosing entrepreneurship because it allows them to continue to

work, while managing their families. It can boil down to a simple question but quite a

natural conundrum: Can one have an exciting, challenging and lucrative high flying

career and still be a good mother and wife?

For most Indian women, their frame of reference is their mother, who was perennially

involved in what it takes to care of a family. Shes a great cook, counsellor, tutor,

extended family interpersonal expert andlets not forget money saver. As modern

Indian women carve out a new identity, they face the discomfort of choosing to be

like their mothers or professionals who are okay with outsourcing it all, or something

in-between. This change in womens identify is in turn looking for a change in mensroles, which in Indias patriarchal society has been highly defined. Men mostly are

accepting and adapting to it and welcoming women working. The question is how

much they believe in these changing

roles and do they still hold on to the stereotypical duties of a woman?

Change has begun and the answer lies with women. Only when women begin to

accept and live their new-found identities, will they be able to inspire a change to

begin from the microcosm of the society their home and then the rest. It is a


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mindset and belief change for women to manage the best of both the professional, and

personal worlds, knowing when to choose one you and let go of another. There is no

right or wrong; it is just what feels right. This will not benefit only women, but India

as a whole. As the former President of India, Dr. Abdul Kalam, once said when

women are empowered, society with stability gets assure Women have already

walked the mile; all we need to do is look forward and keep going.

Four groups of women employees namely police professionals, bureaucrats, corporate

engineers and employees in the unorganized sector have both strong adaptive role

stress as well as psychological stress and strain. Bank employees and government

engineers have mild maladaptive role stress and psychological stress and strain. All

other groups namely doctors, nurses, administrative staff, school teachers, and college

teachers have both normal adaptive role stress and psychological stress and strain.

When their personal coping resources were examined, it was found that occupational

stress accordingly restricted and reduced their coping resources i.e., employees with

higher occupational stress have lower coping resources and vice versa. Results

relating to individual differences revealed that occupational stress was highest among

the employees below 30 years of age when their personal coping resources were very

limited.

With increasing age, personal coping resources increased and occupational stress

gradually decreased. With respect to motherhood, the results indicated that both

occupational role stress and psychological stress and strain increased for employees

having more children and their coping resources also decreased accordingly. With

regard to level of employment, both occupational stress and coping resources were

higher for the middle level employees. On the o

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