“Follow your heart, do what you enjoy doing, give it your best.” That's the success mantra of Kiran Karnik, India's IT revolutionary and former president of NASSCOM (National Association of Software and Services Companies), who was felicitated along with six other luminaries by The Limca Book of Records in the Capital recently for his contributions to the nation in the field of IT and communications.
Talking about the Indian IT industry, Karnik said, “Eighty per cent of the new businesses will come from the emerging markets, BRIC countries like India and other developing continents. The scope for cooperation is changing in the IT industry in new markets. The two words that will matter in the future are competition and cooperation in business terrains like South Asia, having unexplored geography and huge growing markets.” He said the focus in new markets is on innovation. Big companies will enter into partnerships with smaller companies that have niche expertise.
Emphasising the need for innovation, Karnik said the Indian IT sector requires a better innovation eco-system that could encourage companies to think out of the box, and more seed funding. Further, the ecosystem should be complemented by a compatible regulation policy. “We need a regulation policy that encourages entrepreneurs. The government can write off tax for people who are in venture funding (seed funding) and should initiate steps on patenting to ensure that what we invent today is not taken by another country tomorrow,” he elaborated.
He added that like the CEO and COO, companies should also have CCOs (Chief Creative Officer), who could churn out new ideas and make the most interesting things happen. “Innovations take place when two different disciplines meet. The CCO must amalgamate ideas and events to create something totally new,” he said.
Referring to the Satyam controversy, the former chairman of the government-appointed Satyam Board said the organisational structure of a company can help prevent frauds. “Companies cannot do without a whistleblowers' policy anymore. Organisations should draw a policy that will allow someone to speak up when something goes wrong. If possible, they should have organisation audits on a regular basis to prevent frauds.”
Special emphasis should also be laid on teaching ethics on a priority basis in management education to stop corporate frauds, according to Karnik, who feels major reforms are needed in the education system of business schools. “Globalisation has given rise to new inter-cultural situations in the country. Today managers are working in multi-lingual, multicultural environments. But sensitivity to people's culture, feelings and gender concerns are not being stressed in Indian Management studies,” he opined.
According to him, B-schools should offer foreign languages as a study option to facilitate better understanding of global business, and should also evolve ‘culture study modules' to help students familiarise with the alien cultural environments and psyches of culturally sensitive nations.
“When I go to the U.S., my American partners literally throw their business cards on me. It is common practice there. But in Japan or China, you exchange cards with both hands, bowing your head in acknowledgement. If you throw your business card on a Japanese, he would be highly offended and would either walk out or refuse to deal with you,” exclaimed Karnik. “Such education is becoming imperative in modern management studies.” Aye, aye, sir!
