India’s healthcare sector growing fast

Healthcare has become one of India’s largest sectors both in terms of revenue and employment.

During 2008-22, the market is expected to record a CAGR of 16.28 per cent.

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The total industry size is expected to touch US$ 160 billion by 2017 and US$ 372 billion by 2022.

Indian companies are entering into merger and acquisitions with domestic and foreign companies to drive growth and gain new markets.

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The hospital industry in India stood at US$ 61.79 billion in 2017 and is expected to increase at a Compound Annual Growth Rate (CAGR) of 16-17 per cent to reach US$ 132.84 billion by 2023.

Engagement through regular visits and providing innovation should prove to be fruitful in this growth economy.

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Handling the two big cultural divides between India and the west

People often ask me “what are the main cultural differences between India and the west?”  That is, the differences that lead to misunderstanding and failure to do long term business.

For me, there are two major causes leading to a breakdown in trade and business discussions.

The first is what the researchers call Universalism vs Particularism. Universalism exists in the west – people believe you can discover what is true and good and can apply it as a general rule. Particularism is the culture of India – relationships are more important and unique situations more important, so each situation is considered on its merits.multicult

This difference is sometimes referred to as the “absolutism” of the west (things are absolutely good or bad, right or wrong etc) compared to the “relativism” of India (things are never wholly good or bad, it depends, relationship is more central).

Universalism is the culture of USA, England, Australia and Particularism is the culture of India, China and Thailand.

When it comes to agreements and contracts you can see this difference cause divisions – the west believes what is written down is permanent, fixed, never to be changed, while India and China realise that life is constantly changing, and variations might be needed.

Never give up

The second major cause of breakdown is that India is a “collective” culture, while the west is increasingly individual.

You will find in most Indian companies that decision making is a collective operation, even at Director level. Whereas in the west, a Director or Manager of a division has their yearly budget and puts a program to the board, and then gets on with it largely uninterrupted, your Indian counterpart involves the collective in almost every decision – even where the yearly budget and program are already set.

This also shows up in work styles – a western manager will set the task and assist, then largely stay out of things – whereas both sides in India will want moment by moment contact. For companies involved in the west and east, the western managers find this demand for constant feedback and contact very challenging.

Individualism is the culture in the USA, Canada and Australia while Collectivism is the culture of India, Japan and China.

I am not suggesting that one culture is “better” than the other – they are simply different, and it is important we know the difference. That way, we can adapt our behavior and succeed across cultures. Given that India has around 600 million people below the age of 25 (what a market!) we will all be better off if we can adapt and succeed together.

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India continues to lead the world in Business Process Management services

India continues to be the largest BPM (business process management) base in the world, generating close to USD 32.5 billion in revenue with an employee strength of 1.2 million.

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The Indian BPM industry is estimated to now account for over 37 per cent share in global sourcing and is witnessing a 1.7X revenue growth. Global BPM revenue is set to grow from USD 154 billion to a projected USD 167 billion in FY18, an increase of almost 8 per cent.

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Upskilling for digital, acquiring competencies through acquisitions or partnerships, building platforms and products, and leveraging centers of excellence in new technologies are some of the key priorities of Indian companies in the BPM industry.

The industry is taking advantage of emerging technologies such as Robotic process automation (RPA), artificial intelligence (AI), digital communications, Internet of Things (IoT), cognitive computing and more, to improve profitability, collaboration and competitiveness.

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India targets 40% of energy from solar and wind by 2030

To see how fast the world is turning away from coal and gas take a look at China and India – big things happening.

India is targeting 40 per cent of electricity generation from non-fossil fuel-based resources by 2030 as it looks to tap vast solar and wind potential to replace reliance on polluting coal to meet its energy needs, Prime Minister Narendra Modi said Tuesday.ModiXi

Modi said he saw the 121-country International Solar Alliance as the future OPEC for meeting energy needs of the world.

Speaking at the first Assembly of the ISA here, he said solar power will play the same role that oil wells have played over the past few decades in meeting global energy needs.

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Humans have in the last 150-200 years relied on resources trapped below the earth’s surface for meeting energy needs. But for a secure future, resources available above the ground like solar and wind energy need to be harnessed, he said.

“This is the right time to invest in solar manufacturing,” he said adding he saw an investment potential of USD 70-80 billion in solar manufacturing.

How can Australian investors and superannuation funds best access investment into solar and wind in China and India?

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The Himalayas can show us a key difference between India and the west

Do Indians have a different world view and culture to the west? Of course, each country or region of the world has their own culture and differences exist – understanding and adapting to difference is one key to succeeding across cultures.

This simple statement about the Himalayas might help you see the difference.

If the Himalayas were located in the west, people would flock there for bungy jumping, extreme ski sessions, jumping out of planes and other extreme sports. For India, the Himalayas have been a location of contemplation, monasteries, thought and mindfulness.

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I saw a similar point made using the example of Alexander the Great. The west admires Alexander as a person of action, conquest, growth and acquisition – while a hero in India could be a guru sitting in contemplation under a tree.himalayaMy point is simple – when we understand cultural differences we can then adapt our behavior and communication while remaining true to our own culture.

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Cultural generalisations can be helpful but remember they are just generalisations – there will be exceptions and culture is riddled with paradox. Many westerners are great contemplatives, while Indian history has many action heroes.

7 tips – how Indians can communicate better with Americans and Aussies

Communicating across cultures is the key to future success as the world gets smaller. The trouble is – people from different countries who speak English imagine that they all think the same. They do not. Americans speak English but think American. Australians speak English but think Australian.

Here is how to prepare for better communication with Americans (and many Aussies):

Pitch

What’s the point— In America time is money and everyone is in a hurry. India’s “indirect” style of communication does not work well, it is too slow for them. You have to be good at PITCHING, using around 75 words which really grab their attention (or as Americans would say, “cut to the chase”).

Sports speak is the way to go— Americans and Aussies love sport (different ones). This shows up in their language and you should follow too – observe how they use “home run”, “slam dunk”. “stepping up to the plate” and many more – then use these yourself to make better connections.

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Be much more informal— Americans and Aussies tend to be informal, and everyone can have a say regardless of status. This is generally not the case in India. Just because Americans and Aussies might dress casually or sound informal and relaxed, don’t think they are not deadly serious about doing business. It is not easy for most Indians but using first names soon after meeting is the norm (and not adding “Sir”).

You will be interrupted— Americans and Aussies love fast paced rapid fire conversations, with everyone jumping in to have a say – both are egalitarian cultures and even very junior people are encouraged to speak up. Interruptions are not seen as rude, rather they can see this as signs that things are going well. Silence on the other hand is never a good sign.

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Present actively and immediately— Start with the finish – presentations that build slowly to a conclusion drive Americans mad.  Americans and Aussies want to be engaged and entertained. Dry powerpoint presentations about your company will not make connection. An active presentation that shows how you can solve a problem, add value or team up will attract and keep attention.

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Make your presentations even faster— you can quickly bore Americans and Aussies – especially in America business is done at great speed. People feel time poor, stretched and become impatient. So – cut your message to the absolute essence, and you will succeed.

Silence is a warning sign— America does everything loud, and the Aussies are following. There is sound everywhere, TV’s are on, radio, computers, music all happening at once. Americans feel uncomfortable in silences and long pauses.

We’ve helped many Indian organisations communicate better with the west – and in every case it has been turn the presentation around, start with the problem and how you can add value. Any presentation beginning with “Let me outline the history of our company” is a recipe for failure in the west.

 

 

5 essentials to building business with India

There are 5 steps we should take to grow our trade ties with India.

Adopt a patient long term view

Focus on relationships

See beyond the politeness

Adapt to indirect communications

Realise that language and thinking are different

If we can adopt a caring, humble and inquisitive approach – learning cultural dexterity – we will build the relationships which are the key to success.

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10 things to know about modern India

  1. Successful and confident

Economic success has restored Indian confidence. Indian entrepreneurs are now recognized around the world and there is a national expectation that the next Bill Gates will be an Indian. This entrepreneurial spirit permeates the nation (most dream of becoming entrepreneurs) which is now confident.

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  1. Never forget rural people

Indian business and political leaders may live the urban lifestyles, but they do not forget the small towns and villages at the centre of rural life – and it’s not just the politicians with an eye for votes, with major corporates such as Infosys pouring resources and funding into village developments.

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  1. Avoid pointing the finger

India is a land of great cultural diversity, many languages and countless opinions, but two things unite the nation – cricket and the World Trade Organisation. Indians become instantly passionate when challenged on their high tariffs, especially if the challenge comes from the west. The message is, point the finger at India and you can expect a robust response.

  1. Oceans of patience

Indians have oceans of patience which can drive westerners crazy, but it gives them a special strength in negotiations. This patience is derived from deeply held spiritual views such as impermanence – Indians are constantly reminded of the impermanence of this life, everything changes, and they can wait when often we cannot. Who has the advantage in this negotiation?

  1. Not just an IT miracle

Do not be fooled with the view that the Indian economic miracle is just driven by call centres and IT. Important as these are, look also at insurance, energy, retail, clean technology, manufacturing, pharmaceuticals and even agriculture as areas where efficiency is producing startling results.

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  1. Dragon and elephant can dance

The dragon (China) and the elephant (India) have discovered that they can dance, and now China is India’s major trading partner. Competitors are becoming collaborators and western business leaders need to be aware that the Indians coming to negotiating tables will be leaders who confidently see that this century belongs to the east.ModiXi

  1. Not especially “Asian”

While India feels great about the success of “Asia”, in many ways it does not feel particularly “Asian”. First and foremost, Indians feel Indian, and to them that is vastly more relevant than being geographically part of Asia.

  1. Remember the “Father of the Nation”

Whether dealing with the young or the old, in India never forget the “Father of the Nation”, Mahatma Gandhi.

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  1. Equity up there with democracy

Partly because of Gandhi, Indian leaders are more concerned with equity than with spreading democracy around the world – and cannot understand the enthusiasm of the USA and its allies to champion democracy in unlikely locations.

  1. No junior partner

While many in the west still see India as a “developing” country and therefore a future player on the world stage, India has no intention of being a junior partner or a bit player in the world. Invite India in and you can expect them to want to be at the head of the table, making the running. This is a country whose time has come – and the people you deal with are highly aware of this.

Wipro wins biggest ever deal

Indian firm Wipro has won a more than $1.5 billion deal spread over 10 years from Illinois-based Alight Solutions LLC, achieving its largest ever contract. 

With this, the Bengaluru-headquartered software services exporter joins larger peer Tata Consultancy Services (TCS) in winning larger deals at a time when the outsourcing services industry is seeing a slowdown owing to emergence of digital services.

TCS bagged three such multi-year large deals totalling more than $5 billion in revenue since September 2017.

This is a big deal for Wipro’s new boss, Abidali Neemuchwala, who took over in February 2016.

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“This deal will result in revenues of USD $1.5 to $1.6 billion for Wipro over the tenure (10 years). This is Wipro’s largest win to date. This engagement will enable the digital transformation of Alight’s offerings across health, wealth, HR and finance solutions,” said Wipro in a statement, adding that it would “enhance the employee experience of Alight’s clients by leveraging Wipro’s solutions in digital technologies, cognitive automation and data analytics.

“This is a testimony to the capabilities we have built through our strategic investments in Wipro Digital, cloud platforms and cognitive platform Wipro HOLMES. We will leverage this expertise to digitalize and modernize Alight’s core across platforms, technologies and operations,” Neemuchwala was quoted in the statement.

Wipro also said it has completed the transaction to acquire Alight HR Services India Pvt Ltd, the India arm of Alight Solutions.

Indian stock markets scale new highs

Indian stock markets extended their record run this week, with the Sensex and Nifty both scaling new peaks.

The Sensex gained over 244 points to touch 38,938 while the Nifty50 index hit 11,760 amid higher global markets.nse

Market heavyweight Reliance Industries (RIL) led the charge, with shares rising 2% to Rs 1,318.20.

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Metals, IT and auto stocks also had gains. The NSE metal index surged 1.8% amid a rebound in global commodity prices. Vedanta, Adani Ports, Maruti Suzuki, Axis Bank, Tata Steel and HDFC rose between 1% and 2%.

The NSE index, Nifty50, has had a record-setting run in the last two months, while the BSE has been Asia’s top performing index this year.

The new highs come as companies in India, the fastest growing major economy in the world, reported a 11.6% annual increase in profits for the June 2018 quarter, the strongest growth in five quarters.indiagate