?Japan set to make huge, diversified investments?
CAPTAINS OF industry from across the country gathered here today to have a meaningful exchange of ideas and thoughts to help formulate a concrete roadmap for the country?s industrial development through good management and great enterprise. The occasion was the Indore Management Association (IMA)?s flagship event of National Management Convention, 2006.india Updated: Feb 18, 2006 14:03 IST
CAPTAINS OF industry from across the country gathered here today to have a meaningful exchange of ideas and thoughts to help formulate a concrete roadmap for the country’s industrial development through good management and great enterprise. The occasion was the Indore Management Association (IMA)’s flagship event of National Management Convention, 2006.
Consul General of Japan in India Hyosuke Yasui was the chief guest of the convention for which Japan was earlier chosen as the partner country. All India Management Association (AIIMA) president Sudhir Jalan and Indian Oil Corporation (IOC) Chairman Sarthak Behuria were the main speakers at the inaugural function of the two-day convention which got underway at Abhay Prashal here today.
Others speakers in different sessions of the convention today included Telecom Regulatory Authority of India (TRAI) Chairman Pradip Baijal, ENIL Managing Director AP Parigi, Professor Sharad Sairn of XLRI Jamshedpur, Executive Chairman of Ravathi Equipment Abhishek Dalmia, CEO of IDBI Bank Nageshwar Rao, Balco MD TL Palanikumar and IMA president Shiv Singh Mehta.
In his rather brief but informative address to the elegant and dignified delegates, who were housed in a unique round-table seating arrangement in the huge hall, Yasui said that the Japan investors’ perception about India is changing fast and they are all set to make a huge investment in the country in the coming days.
“Several articles regarding the success stories of Indian business houses are appearing in Japanese newspapers in the recent times which have changed the perceptions about India in Japan”, he said.
Without mincing words, Yasui said the Japanese investors were enamoured by the huge Chinese market and the investment in India was stagnant for the last several years.
The Japanese investment grew very slowly from 4 billion US dollar in 1998 to just 5 billion US dollar in the next few years which can be termed as stagnant. But, things are changing fast and there will be large Japanese investments in India in the coming years in diverse fields like pharmaceuticals, food processing, IT, telecommunication, insurance, textile and logistics.
So far, most of the Japan investments n India were in the automobile and petro-chemical sectors. Now the Japanese companies are interested in diversifying their area of investments, he said. Eulogising the Indian economy, the Japan Consul General said Indian GDP has already crossed the 8 per cent mark and it has the potential to achieve the 10 per cent mark in the coming days.
Indian economy’s strength can be gauged from the fact that the foreign exchange reserves of the country have reached 140 billion US dollars and the manufacturing sector is becoming more and more competitive in the world market, Yasui said.
In his long and thought-provoking speech on ‘dynamics of globalisation and challenges’, AIMA president Sudhir Jalan called upon the influential CEOs, top-notch business executives and entrepreneurs present in the convention to think positively and accept the realities of the present time.
“Now that the world has become really global, we have to accept the challenges that have been brought with it,” he said. Describing the sequence of transformation of the world from a brawn power in the 18th century to knowledge power in the present day, Jalan said till the year 1800, the world was controlled by brawn power and was a big one which over a period of time changed to a medium one.
The transformation started in the 1800s when multinational companies like East India Company transformed the world from medium to a small one with the invention of steam engines, rails, airways, telecom, etc. This era continued till around 1990 when real globalisation took place shrinking the world really into a tiny one. This era was not dominated by brawn or muscle power, but by knowledge power.
“Knowledge is today’s currency of management,” Jalan summed it up. Now that the world has shrunk into a tiny one, the entrepreneurs have to accept the challenges that have been brought with it. The real challenge for every entrepreneur is to know reality.
There was a time when people believed that death and taxes are constant. But things have changed and taxes have come down drastically during the last three years. “Now, it is death and change that are constant. There is no other option but to accept the reality of change,” he said.
Calling upon the entrepreneurs to think positively, Jalan said opportunities sometimes come in the form of disaster. Giving an example of last year’s earthquake in Kashmir, Jalan said it provided an opportunity for both the warring countries to work together for a cause. Pointing at the China market, Jalan asked the industries to look at the Chinese market as an opportunity.
Giving another example, he said once India’s curse - the rising population should be considered its biggest asset. “There is enormous power in our youth to steer the country to a new direction,” he said. Speaking on ‘creating great enterprises’, IOC Chairman S Behuria said business is getting more complex with each passing day and there is need to have good leaders in industries.
Human resource can play a vital role in transforming an industry as right people at right place is very important for the growth of an industry, he said.