Digital technologies
have become the cornerstone of disruption, innovation and wide-ranging
transformations globally, while at the same time drastically altering the
social, economic and business landscape in every nation. Without a doubt,
technology will continue to shape and reshape the world and be at the core of
what defines a modern economy.
Last year proved to be
a banner year for India, coming up as the sixth-largest economy in terms of
GDP, after the United States, China, Japan, Germany and France. Although the
global economic forecast is bleak, according to the International Monetary Fund
(IMF), India has remained ahead of China, growing at 7.5 percent, and emerged
as the fastest growing major economy in 2016-17.
The Indian government
is focused on developing a 'Digital India' - an enabler for a
digital economy. In fact, the announcements by the Finance Mininster in the
recently presented Union Budget, clearly indicate the government's thrust
towards India's massive digital revolution – one that will help eradicate
corruption and black money and galvanise the economy. The BHIM app launched by
the government, for instance, will unleash the power of mobile phones for
digital payments and enable financial inclusion. Aadhaar Pay, a merchant
version of the Aadhaar Enabled Payment System is also expected to be launched
shortly. Several announcements made by the Government have only reiterated
their resolve to make India 'Digital'.
While there is no
blueprint to become a digital nation, the core of any digital economy is the
Information and Communications Technology (ICT) sector. India has a strong ICT
sector and a substantial number of qualified ICT workers. A key aspect for
these highly skilled personnel, is to keep ahead of the learning curve, when it
comes to honing their digital skills, so as to ably grapple with rapidly
advancing technologies. Hence, for India to achieve the ambitious goals laid
out in the Digital India programme, development of digital skills needs to take
centre stage.
Then again, for India
to achieve its goal of becoming a digital nation, infrastructure and
connectivity issues need to be overcome. Today, a gaping digital divide is
visible, with many having limited access to new technologies and therefore
lagging behind with respect to digital adoption. Last mile connectivity is an
issue in remote areas and over 55,000 villages still lack mobile connectivity.
Improving Digital
Skills across Workplaces
Global spending on
digital transformation technologies is expected to cross $2.1 billion by 2019.
According to industry experts, digitally transformed organisations are 26 per
cent more profitable than their industry competitors. Enterprises, for the most
part have stayed on top of digital technologies, embracing them in order to
stay competitive in the global marketplace. Yet, of the more than 42,000
employers surveyed globally, 40 percent are experiencing difficulties filling
roles. In India, 48 percent of the employers reported that finding replacements
for job vacancies is becoming more difficult due to talent shortage.
The challenge lies not
only with regard to fresh skilling and reskilling. The need is digital skills
for all Indians, not just those encompassing the IT and ITES industry. If India
is to be the most sought after digital marketplace, effective Small and Medium
Enterprises (SME) participation is an absolute must. However, SMEs today, are
already under immense strain to invest in new ICT technologies to stay ahead.
This holds true for start-ups as well. Larger organisations also need to invest
heavily in digital upskilling.
A whole lot more focus
is required on ensuring that digital skills meet global quality standards, so
that India remains competitive. High skilled jobs in the areas of big data,
analytics, cloud computing, Internet of Things (IoT) and Artificial
Intelligence (AI), will be the next big wave. This means that while
digitisation will remain central for businesses to outperform, skill needs are
changing rapidly. Job holders and job seekers need to constantly be upping
their skill sets.
Tackling the Digital
Skills Divide
Digital disruption has
been a focal point at the World Economic Forum (WEF) too. Coupled with IoT, the
digital revolution will have a significant impact on everyday life. In fact,
according to the WEF, in their report, the combined value of digitisation to
society and industry is pegged at over USD 100 million over the next
decade.
The questions to be
asked are: Is there a mismatch in terms of digital skills required and what is
available today? Where does digital competence feature in business enterprises?
At what level does the digital literacy of a company's supervisory and
executive board stand? After all, these are the very skills that will drive
companies to leapfrog and connect with the world of tomorrow.
For India to become
the powerhouse of digital innovation, we need to:
- Foster a strong youth talent pipeline: With rapid technology advancements, India needs a workforce
that is innovative, skilled and adaptable. Tomorrow's talent must be
nurtured today. Our solutions, Diginxt and Training.com, for instance,
enables companies to hire people with skills in digital technologies.
- Encourage workforce upskilling to enhance digital
adoption: For companies to stay ahead,
it is essential that they continually invest in upskilling their
workforce. However, for SMEs, taking on the cost of training is a huge
task. We are committed to working with companies through our StackRoute
solution, helping them transition to becoming digital businesses by
offering state-of-the-art new programs in social, mobile, analytics, cloud
computing, as well as special programs specifically designed to support
the unique workforce needs of the growing start-up community.
- Build on digital literacy and digital skills: Alongside promoting the adoption of technologies
by businesses, it is also imperative that workers using these technologies
have the skills to leverage its benefits to the maximum. Armed with the
right digital skills, digital adoption increases, thereby impacting
productivity positively and driving economic growth.
- Cultivate digital entrepreneurship: Adoption of technical skills is an integral part
for the success of entrepreneurs.
By implementing these strategies on ground,
more Indians can be a part of the digital transformation that is sweeping
across our nation today. Collectively honing our digital prowess will allow for
a fast-evolving, successful, global economy; where the youth, in particular,
will be well prepared to tackle what lies ahead.
Authored by Rahul Patwardhan, Chief Executive Officer, NIIT Ltd.