In separate remarks, S. Ramadorai, chairman of Nasscom and CEO and managing director of Tata Consultancy Services Ltd., voiced similar views.The next step, he said, is to spend more on research and development. Although Indian companies must do this, Indian universities, funded by the Indian government must also do better, he said. Part of the challenge faced by Indian companies lies in India itself. "India needs a master plan," he said. Although India produces many graduates with bachelors degrees, its universities produce only 12,000 Ph.D. recipients each yearfar fewer than what he said were the 40,000 awarded in the United States. "We need to reform the Indian educational system. India needs fewer compliers and more skeptics," said Ramadorai. He added that Indian engineers need to combine their technical skills with other disciplines, such as business and medicine. Further, the current educational system is inadequate to produce the workers India needs, he said. India could be facing a shortfall of some 100,000 trained people in its IT and business processing outsourcing industries, he said. "We need to connect our population to our economic strengths. We need a national plan for distributed learning and greater broadband," said Ramadorai. He urged that India can and should become a destination for microprocessor manufacturing and the discovery of new pharmaceuticals. To read more about Oracles deals in India, click here. "There is no reason why IT success cant be transferred to other industries." B. Ramalinga Raju, vice chairman of Nasscom and CEO and managing director of Satyam Computer Services Ltd., echoed the view that Indian IT is at a turning point. "The last 15 years is the end of the beginning." He said the Indian IT industry has grown 200 percent in 15 years. "Ten to 15 years ago, it was about how many lines of code and at what cost. Now its no longer about technology, but about business value," said Raju. Next Page: Friedman keynotes.
"The cost advantage got our foot in the door. Then we added quality. Now we need innovation."