Tier 2 and 3 cities in India to contribute 50% of the additional talent requirement in IT sector
NASSCOM, the trade body and ‘voice’ of the Indian IT-BPO industry, along with A.T Kearney, today released the findings of a first of its kind report on the assessment of 50 locations in India suitable for the IT - BPO industry titled ‘Roadmap ‘Location Roadmap For IT- BPO Growth: Assessment Of 50 Leading Cities’. This study provides a detailed gap analysis along with advantages and shortcomings of these 50 locations, the available opportunity for attracting investment from this sector with a deeper objective of showcasing a roadmap to achieve uniform economic development in India. It sets the stage for the next wave of the industry’s growth beyond the top 7 cities.
The study was conducted by collecting and analyzing data from 50 locations on over 100 metrics broken down in to key parameters such as the following:
* Knowledge pool and skill-set availability
* Infrastructure
* Social and Living environment
* Enabling business environment
* Government support
* Operating cost
Apart from secondary research, a key aspect of the study was significant primary interactions with companies, educational institutions, Government authorities, etc in each of the 50 locations.
The analysis indicates that based on their stage of development for IT-BPO, the locations can be categorized into 4 groups, viz. Leader, Challenger, Follower and Aspirants.
Leaders: Bangalore, Chennai, Hyderabad, Kolkata, Mumbai, NCR and Pune.
Challengers: Ahmedabad, Bhubaneshwar, Chandigarh, Coimbatore, Indore, Jaipur, Kochi, Lucknow, Madurai, Mangalore, Nagpur, Thiruvananthapuram, Tiruchirapalli, Vadodara and Visakhapatnam.
Followers: Aurangabad, Bhopal, Goa, Gwalior, Hubli-Dharwad, Kanpur, Mysore, Nashik, Pondicherry, Salem, Surat and Vijayawada.
From a talent perspective, while the number of people required to capture a five-fold growth are available, there maybe a requirement of employable talent, of which approximately 50 per cent of the additional talent requirements will have to be met from Tier 2 and 3 cities in India, necessitating the creation of physical and social infrastructure in these cities.
