Market requires skilled managers to meet the emerging challenges
Across the world lot of transformations are taking place in the management sector. In tune with these transformations, management education is acquiring momentum across the World. In the era of globalisation, privatisation, liberalisation, entrepreneurship and skill development management education assumes more significance. Recent economic review suggests that growth in tertiary sector, say the services sector supersedes primary agriculture and secondary industrial sectors. Growth in services sector is more than 10 percent of annual GDP in the country. More than 65 percent employment opportunities are existing in services sector, of which management graduates can work in 80 percent of different services sectors. Primary sector agriculture started moving towards tertiary sector as agribusiness. There has been an increase of 40 percent of Foreign Direct Investment in the food processing sector during 2016-17.
Of the total agriculture products only 10 percent is processed in India leading to wastage of agriculture products and middle men cheating and farmer’s distress. Sustainability of the sector depends on diversification towards food processing sector. It has been forecasted that India’s retail sector will show a growth of 1.3 trillion US dollar growth from 600 billion US dollar over the next three years; of which 70 percent will be from food market. Compared to traditional management specialisations like marketing, HR and Finance, lot of customised management programmes like retail, banking, supply chain, agribusiness, logistics, airline, hospitality, innovation, entrepreneurship management programmes are emerging across the globe either as dual, joint or specialised management programmes.
With the implementation of GST spectacular employment opportunities will be available in the country. It has been forecasted that by 2018 July GST will create 1.3 million jobs. There will be huge opportunities for Management professionals, accountants, management consultants, e commerce professionals, etc. accounting/ finance courses will position management graduates to get better positions to work in GST related sectors.
Banking, finance, insurance and taxation sectors will provide more employment opportunities to the Management professionals. FMCG, consumer goods, pharmaceuticals, real estate and automobile industry will exhibit increased hiring rate. Major Government of India initiatives like Make in India, Skill India, Ease of doing Business, Start-up India-Stand up India, Digital India and Smart Cities will provide umpteen job opportunities. National dream is clean air, clean water and clean India. India ranks 69 in the world in gross development index. Sectors like manufacturing, FMCG, e-commerce, telecom, automotive and media will be major ones to benefit and will generate more jobs.
India is emerging as a global destination for Innovation, Incubation and Start-ups and provides great opportunities. Management professionals can implement appropriate start-ups based on feasibility. Government of India has come up with exciting programmes to support appropriate type of ecosystem and to nurture innovations and launched the Start-up India action Plan for bringing in policies and frameworks that can support and nurture the start-up eco-system. India ranks third in Start-up ecosystem after United States and UK and is emerging as a hub for innovation and has a large population of youth with untapped ideas. Innovations can trigger social change and solve problems faced by contemporary India. Bangalore ranks first in innovation and start-up destination in the Country. International trading system, economic impact, policies, technology solutions and digital innovations are the major areas which facilitates Start-ups in the country.
Incubators are breakthrough simulation game that helps disruptive entrepreneurs to create break through innovations, develop stronger business models and entrepreneurial strategies. The presence of vibrant entrepreneur ecosystem is one of the key features of developed nation and a critical enabler for finding solutions to the regional problems of a developing nation. While thinking of innovation we should keep in mind why we need to innovate? More than 52 percent companies among the fortune 500 companies disappear because of poor sustainability. Need of the hour is to identify technologies which can be scaled up across the growing population. Internet of things, Sensors, solutions, transaction, transportation, online platform and social entrepreneurship are gaining momentum across the world.
Today youth is emerging as job creators rather than job seekers. There are ample opportunities for innovation in information technology and Biotechnology. Now there are no services available in India without ICT or online. The number of internet users in India is likely to more than double to 730 million by 2020 of which more than 75 percent of new users would come from rural areas. Interestingly 75 percent of new users are expected to consume data in local languages.
The e-commerce market in India is expected to double to 34 billion US dollars by 2020.The number of online shoppers is likely to more than triple to 175 million from current 50 million. By 2020 India will have an estimated 702 million smart phones in use and mobile phones will emerge as the preferred device for shopping, accounting for 70 percent of total online shopping. Two Billion people in the world are using internet. One Billion people are regularly browsing Face book. Power of innovation is changing day by day. Future business is going to through social media. We will have to think of next generation IT solution for 2020. By 2020 consumer, expectations and innovations will change.
In India basic challenge is between automation and skilled labour, documenting Vs knowing and advanced manufacturing vs. jugaad. There lies huge gap between available and required skill in the country. Capacity building will create talent pool. Innovation needs to be linked to market need. Learn and experimentation is more important. Innovation has volatility, uncertainty, ambiguity and complexity. It is the process of dreaming and doing. How fast we are implementing the dream is more important in innovation decision making process. Cloud, mobile, data, design and flat world are part of innovation. Cloud involves architecture changes, open source and new business models.
It has been envisaged that by 2030 number of students in the higher education sector will increase from 30 million to 70 million with the GER of 50 percent. It has been forecasted that 23 Universities will reach the top 200 of the World by 2030 and the country will have at least six new Nobel laureates. The coming years will witness spectacular employment opportunities in E commerce, Innovation, communication, new media, Business analytics, Entrepreneurship, cloud services, biosciences, Retail industry, Agribusiness and Food processing sectors. India needs to create 1.5 Crore jobs per year for the next ten years to provide employment to youngsters. India is second largest smart phone market in the World and third largest country for downloads in 2015 within the Google Play Store. 66 Apps installed per user, 23 used daily.
Mobile, the low cost technology with hi speed self-service and fastest growth is emerging as the Flat world platform for distribution and monetization. There are huge opportunities for digital led innovations in marketing. It can be ICT based or smart phone based. Digital led deliverables are required for knowledge, production and marketing. Knowledge is production. In the era of globalisation, skill development and services, taking in to account the changing trends in the education, career and entrepreneurship sector across the globe, management graduates need to position their role as skilled managers or entrepreneurs to succeed in their life.