Re-Skilling, Need Of The Hour For IT Industry: NASSCOM
Focusing on the need to re-skill in the IT industry, to keep up with the rapid technologies, National Association of Software and Services Companies (NASSCOM) kick-started the 13th edition of HR Summit 2016 at ITC Grand Chola, in Chennai. With the theme “Navigating Uncertain Waters”, the summit aimed at providing a platform for participants across sectors to come together and discuss the different facets of how digital technologies are reshaping HR and the proactive role it will need to play while technology leads to new job avenues. On the sideline of the summit, NASSCOM also showcased the findings of its report titled “Technology Shifts and Workforce Priorities” to highlight the changes in the ecosystem and how companies and employees need to evolve.
The Indian IT – BPM industry currently employs 3.7 million employees, India continues to maintain its leadership in the global technology arena; with over 2 lakh net additions and 3.5 lakh digitally skilled employees. To continue this momentum of growth the report suggest that the industry will require 1.2 – 2 million employees to meet the revenue of USD 100 billion by 2025. Further the report iterates the five forces that are changing the world at an unprecedented pace and scale: Rise of emerging markets, ageing of the global population, power of disruptive technologies, integrating world and return of (geo) politics
The report also highlights the growth of digital technology over traditional technology from 5 per cent to 38 per cent over the next decade. Due to changing technology and skill sets in demand, there will be a gradual shift of the industry towards automation and around 5 to 10 per cent of existing jobs may be automated in the next 10 years; significantly changing existing skills across job functions. While Technology will displace some jobs, it will also lead to creation of some new jobs – biotech, nanotech, smart technologies to name a few. The report estimates that 60-70 per cent of the existing workforce needs to be re-skilled in technology, domain, social and thinking.
“Domain specialization and greater need for soft skills have become the new patterns that we are witnessing throughout the sector. In this new world order, technology and automation have taken the centre stage, and companies are deploying them at a rapid pace to enhance productivity. This trend will bring in a sea change in talent re-structuring and deployment, creating healthy competition and re-skilling opportunities,” commented R Chandrashekhar, President, NASSCOM while talking about key trends that are the driving the HR domain.
The IT – BPM industry is also witnessing a major shift in the working style as work cultures have become more flexible and updated performance evaluation techniques and incentives have increased talent stickiness in companies. Organizations are deploying internal social platforms for enhance their conversations with their employees, bringing in greater transparency in functioning. To keep pace with the new skills requirements, companies are heavily investing on training via e-learning including digital skills and just-in-time training.
NASSCOM also announced the annual rankings of Top 20 IT-BPM employers in India, for fiscal year 2015. Tata Consultancy Services is the largest employer, followed by Cognizant Technology Solutions at second position and Infosys at the third.