We stay in a rare period. By no means earlier than was the competitors so intense, alternatives so large and challenges so daunting. It’s due to one vital phenomenon: globalization.
To me, globalization is sourcing capital from the place it’s most cost-effective, sourcing expertise from the place it’s best obtainable, producing the place it’s most cost-effective and promoting the place it’s most worthwhile — without being constrained by nationwide boundaries.
On this globalized or flat world, each nation that has one thing to contribute to the worldwide bazaar can enhance the lives of not simply its folks however folks all through the globe — the wealthy and the poor, the city and the agricultural, the highly effective and the weak, the educated and the not-so-well-educated.
By no means earlier than within the final 200 years did the creating nations have a possibility to take their share of the limelight as they do at present and it’s all due to globalization. Presently, greater than half of the world’s GDP (measured in buying energy parity) is accounted for by the creating nations.
The globalized world is actually about how briskly you’ll be able to innovate and develop new concepts, implement them and achieve an aggressive benefit within the market as a way to create a greater firm, society, nation, and world. Thus, hardworking and well-educated individuals are an important thing differentiators for a nation in this flat world.
It’s fairly pure for folks to wonder if know-how, on the whole, and software program know-how, specifically, have any main function in serving the poor in such a world. They do and let me elaborate. Know-how makes the life of human beings extra productive and extra comfy by lowering value, enhancing productiveness, saving time and enhancing consolation.
Let me provide you with just a few examples, for example, the facility of IT for the poor. Fishermen in Pondicherry use wave sample knowledge on the excessive seas broadcast by the US Navy to enhance their yield by as a lot as 40 p.c. NASSCOM of India used IP-based video conferencing to carry pleasure and aid to a taxi driver and his household at Mumbai by connecting him with his household in a distant village in Uttar Pradesh. A steadiness inquiry at a manned financial institution counter prices Rs 40. The identical transaction prices Rs eight at an automatic teller machine whereas the web brings the fee down to only Rs 2.
Know-how is a good leveler. It doesn’t distinguish between the wealthy and the poor. The usage of the e-governance paradigm for deployment of cheap, environment-friendly, fast and corruption-free neighborhood providers is one other working example. Info know-how enhances transparency in choice-making and, thus, improves the boldness of individuals within the authorities.
Now, let me come to a necessary purpose why Bangladesh with its giant educated inhabitants ought to embrace international software program alternatives. Right at this moment, we stay in a worldwide village. No nation can afford to isolate itself from the worldwide market.
Even nations that did so for just a few a long time realized their mistake and obtained again to the worldwide bazaar and have succeeded in enhancing their prosperity by enhancing the share of exports of their GDP. We’ve got to give attention to an export orientation for several causes.
First, each nation leverages its aggressive benefits to commerce within the international bazaar services that leverage these benefits. That is the easiest way to create jobs in Bangladesh.
Second, it’s important to preserve a sure wholesome proportion of exports and home revenues to make sure balanced and de-risked development within the financial system.
Third, an export orientation helps Bangladeshi enterprises benchmark their services on a worldwide scale. In the event you succeed within the highly-competitive international market, you’re possible to supply high-quality merchandise at the very best costs even within the home market.
Now, let me come to what areas of software program export Bangladesh can give attention to. Given its large inhabitants and its giant educated workforce, the export of providers based mostly on distant software improvement and upkeep (ADM) and enterprise course of outsourcing could be viable Bangladesh for a very long time. This mannequin would succeed so long as the chance for the outsourcing of software program improvement and upkeep remained.
The chance for outsourcing would stay so long as the Bangladeshi software program providers firms introduce new IT service areas using innovation.
It is very important do not forget that these new providers require the appliance improvement and upkeep expertise although they could use completely different languages, working methods, databases, object orientation and a bunch of different new instruments and paradigms.
The Bangladeshi software program providers firms should make investment sources to proceed to discover new alternatives in providers by innovating new concepts and construct what they’ve already carried out.
They must give attention to attracting, enabling, empowering and retaining the very best and the brightest. This will occur using hygiene components like aggressive compensation, good profession planning, defending the dignity of the professionals in addition to enabling components like 24 week-long entry-level and week-long steady coaching and certification applications.
It’s important to put money into the most recent know-how and instrument infrastructure, in new strategies of requirement elicitation, evaluation, design, and software program improvement and in new strategies of enhancing high quality and productiveness.
It’s important to practice your kids in understanding the distinction between worth (what the purchasers receive out of your firm) and worth (what your organization will get out of your clients). Your problem is to boost worth leverage or the ratio of worth to cost.
A giant benefit of Bangladesh is its pool of well-educated, high-quality, English-speaking folks. Within the software program providers business, scalability is of paramount significance and analytical reasoning is vital.
Due to this fact, your expertise pool is a singular asset. Your kids will succeed if they’re keen to unlearn outdated concepts, study new concepts, apply them and transfer from “reactive drawback fixing” to “proactive drawback identification and resolution” on your clients.
The majority of software program providers alternative is within the US. The 10 to 13 hours distinction in time zones between Bangladesh and the US facilitates environment-friendly challenge execution with compressed timeframes and thru seamlessly-integrated cross-border groups. The ensuing 24-hour digital workday allows Bangladeshi software program providers firms and their shoppers to leverage the advantages of globalization.
High quality is a hygiene issue for software program providers firms. High-quality fashions just like the ISO 9000 and Functionality Maturity Mannequin (CMM) of the Software program Engineering Institute type the method high-quality benchmarks for the Bangladeshi software program business.
Bangladesh should present easy accessibility to the most recent and software program applied sciences from superior nations. Additional, consultancy providers in software program improvement, advertising and marketing, branding, high quality and productivity-related areas from developed nations have to be made obtainable to Bangladeshi firms.
Broadband communications infrastructure will assist Bangladeshi firms to implement the worldwide supply mannequin and use native expertise to service clients throughout the globe.
Bangladesh might wish to introduce financial reforms to abolish industrial licensing, rationalize taxes, create a robust thrust on exports, cut back import tariffs, simplify overseas change regulation, introduce free pricing of IPOs, encourage overseas participation in your capital markets and to create a regulatory framework that allows worker inventory choice plans.
Enterprise capital must be obtainable in lots of entrepreneurs. Additional, debt finance must be obtainable from banks in addition to from state-owned establishments even for firms that should not have giant bodily property.
Bangladesh should present a minimum of restricted convertibility on the capital account to Bangladeshi international software program companies.
Acquisition tips should permit confirmed Bangladeshi software program firms to amass software program firms within the developed world.
Bangladesh should invite main software program firms from throughout the globe to arrange captive software program improvement actions there.
Bangladeshi software program firms should enhance their model picture to maneuver up to their worth factors.
If Bangladesh implements a lot of the strategies, I don’t doubt that Bangladesh will change into a vibrant participant within the international software program providers market.
The writer is the founding father of Infosys Ltd. That is an abridged model of the keynote speech he delivered on the 18th DHL-The Day by day Star Bangladesh Enterprise Awards ceremony in Dhaka on Friday.