AAAAAAAAAAAAAAAAAAAAAAAAAAA

NT Bureau
Chennai, Sept 18:

        Creating clusters of large organisations based on knowledge and intellectual property rights (IPR) that would encourage pre-competitive collaboration and increase resource availability is key for sustainable growth, observed R Seshasayee, former CII chief and managing director, Ashok Leyland Ltd.

        In his address at the session on 'Clustering for Sustainable Growth' at Connect 2007, India's premier event on ICT industry, organised with the theme, 'ICT: Innovation through integration, building an inclusive ecosystem,' by CII Seshasayee said that there is enough evidence to prove that working in a cluster gives a competitive advantage for industries. He emphasised the need to have knowledge-based organisations.

        'Intensity of research knowledge must translate into the creation of large organisations that are leaders in their respective sectors,' he said adding that evolving a strategic vision for each industry, identifying and promoting select sectors and building large enterprises based on knowledge and IPR are key to create an inclusive and sustainable eco-system. There is a need to evolve a strategic vision at the State level, even if there are many countries, societies and private enterprises that had grown in the past without a formal strategic vision.

        There is a merit in organised thinking. In the case of Singapore, it had a strategic vision of creating an intelligent island, by taking advantage of its geographical location and focusing on developing high levels of competitive infrastructure.

        Seshasayee said that States enjoy competitive advantage in select sectors. Therefore, it is important for the industry and government to be selective in promoting industries. He pointed out that since automobile and information technology are key drivers of the Tamilnadu's economy, there is a possibility for the State to combine the strengths of both the sectors and emerge as a leader possibly, in offering design services.

        Arun Maira, chairman, The Boston Consulting Group, said that more inclusive development, sustainability and innovation to ensure development that is inclusive and sustainable should form the focus areas for creating an eco-system.

        In his address Lakshmi Narayanan, vice chairman, Cognizant, said that though commodity and capital are freely available, there is a battle for talent. The returns on knowledge are far more than that of capital and hence organisations are increasingly focusing on the parameter of profit per employee to have a sustainable competitive advantage. He urged the industry to focus on creating IPR and entrepreneurship in the state to take the growth to the next level.

        He pointed out that there are thousands of Indian students who are going abroad to pursue higher education. The industry must know how to leverage this powerful force.

        Gopal Srinivasan, chairman, CII - Tamilnadu State Council and director, TVS Electronics Limited, said that Connect 2006 had made seven key recommendations out of which the recommendations on tier II development and eGovernance had been already taken up for implementation. The government is planning to create finishing schools in select institutions for students belonging to less privileged communities. The government is all set to create 10,000 community service centres in Tamilnadu.