Education System and
Software Development in India
were 251 universities and 11,553 colleges in India in 1998. Still, as of 1996,
only 8% of the eligible population attended any college or university. Further,
the interaction between university and the IT industry is minimal. There are
several academia-industry research partnerships as well as few consultancy assignments for faculty from industry .Very little amount of independent research
is done, partly because until recently, faculty (even at the IITs, countries
most prestigious institutions) have not been expected to do research. The
average number of citations over a 5-year period for the average faculty member
at the Indian Institutes of Technology (IIT) is not more than 3.
compares with 47 per faculty member at MIT and 54 per faculty member at
Stanford University. The country produces only 300 master’s degree graduate
professionals and just 27 Ph.D.’s in computer sciences(CS) every year (despite
excess capacity), compared with U.S. numbers of 10,000 and 800 respectively.
entry barriers are bit low, countries searching to develop software businesses
are constrained by the following internal factors:
small domestic and local
small company size
lack of quality standards
weak protection of property
poor quality labour
workforce and infrastructure and lower level marketing skills
And relatively low
importance of labour cost savings (for packaged software).
well as the following external factors:
English language speaking barriers
advantages that favour Indian-based software development are dwarfed by a problem
that undermines growth policies in all developing countries which includes
India: the problem of the brain drain. We believe that lots of programming
activities will continue to leave the U.S. to some extent. All These activities
are very much likely to emphasize maintenance rather than basic software design
did the industry withstand these problems? The solution found by domestic and
local firms was to stay with programming for services, initially by exporting programmers
and later by developing customized software solutions and programs in India.
This type of work did not have to encounter threats such as small domestic
markets, weak IP protection and lack of R&D in universities and university-industry
linkages. Some challenges and issues, such as the lack of venture capital and
shortage of project management skills, did not cause failure but took the
industry towards a more stable structure of domination by large,
well-capitalized, well-managed conglomerates that diversified from existing
businesses into customized software development.
reforms in the 1995s and 2002 reduced import tariffs to near zero and standardized
foreign ownership, intellectual property protection, venture capital, stock market
listing and telecommunications policies to global best practices. Thus, most of
the weaknesses and challenges described above are likely to reduce in importance.
In addition, may technological changes during this period, especially the
Internet, led to a sharp decline in data storage and transmission
costs. These changes induced a new round of entry of MNCs and start-ups and
opened new opportunities for existing firms in remote software services, such
as email management and remote software maintenance.