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Indian IT in 2013: Challenges ahead

<img alt=”” width=”150″ height=”150″ title=”tech1″ class=”alignleft size-full wp-image-57″ src=”” /> Business and IT leaders in India foresee an interesting year for information technology in the country, according to this article on The Times of India. However, with uncertainty on the horizon, IT leaders have an opportunity to harness competitiveness and investigate more optimized strategy. While IT companies will try to expand delivery capability beyond India and improve the talent pool found within the country, they can likewise expect to experience a slow down on export growth (down to 11 percent from 16 percent last year). As Ramesh Loganathan of Progress Software India explains, the modest growth should not deter Indian IT from making moves to expand its abilities and secure its value chain: “Initiatives triggered by the start of recession in 2009 are now continuing to be relevant with pricing pressures and reducing cost arbitrage with wage increases and reduced growth. “The modest 11 per cent growth projected by Nasscom notwithstanding, the efforts to improve profitability and to increase high value services and IP creation are actively underway, especially in Hyderabad,” he said. Longanathan's opinion is a good one: a weaker-than-expected growth rate should never be an excuse to stop working on improving profitability and services provided to customers. With hopes for government programs to encourage start ups, and  an increased electricity infrastructure, IT can position itself to expand much more rapidly than industries that are simply trying to survive the downturn. However, it's important to note that growing for the sake of growth is not necessarily a good idea – being aware of economic climate (and letting that awareness decide your IT organization's course of action) is just as important as making sure that IT stays strategic and relevant.

About Matthew Kabik

Matthew Kabik is the former Editor of Computer Aid's Accelerating IT Success. He worked at Computer Aid, Inc. from 2008 to 2014 in the Harrisburg offices, where he was a copywriter, swordsman, social media consultant, and trainer before moving into editorial.

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