Download - The Indian Promise
2
Source: Zinnov Research and Analysis
USD 17 BillionEfficiency advantage
260KDirect Jobs
1MillionIndirect Jobs
906 MNCs have
an R&D presence in India
USD 26+ BillionRevenue Addition
229 of G500 R&D
spenders have centers in India
50 New MNCs have
set up centers in India since 2012
In the past decade, the MNC R&D ecosystem in India has grown exponentially and contributed
significantly in terms of operational and business impact to their HQ
Note: G500 refers to global 500 spenders
Making a Big Impact
3
Source: Zinnov Research and Analysis
1990 1995 2000 2005 2010 2014
16 47151
456
813906
Total number of MNC R&D companies with a presence in India
1158 ~176 MNCs have setup more than 1 R&D Center in India
MNC R&D Centers
Bangalore , Pune and Hyderabad, coined as the Deccan Triangle, have the largest concentration of R&D Centers Centers in the
Deccan Triangle
701
• One of China's biggest electronics companies that designs, develops, and sells smartphones, mobile apps, and consumer electronics
• A large enterprise resource planning software and retail solutions provider
• A large publicly traded international oil and gas company
MNCs expected to set up R&D Center in India in the near future
Global organizations continue to recognize India as a preferred destination for R&D with 50+
organizations setting up their R&D Centers in the last two years
4
Source: Zinnov Research and Analysis
A strong and vibrant ecosystem has enabled centers in India to identify synergies, collaborate and
develop solutions for both India and the globe
Vibrant Ecosystem
Innovation Fueled
• 277,000 strong installed talent
• 8% installed talent growth rate (CAGR)
• 300+ National Laboratories
• USD 26 Billion opportunity in FY2014-15 across different technology areas
• 350+ Service Providers
• 172K Installed Talent in Product
Engineering Services (PES) divisions of Service Providers
• Increase in Risk-Reward models for
higher levels of partner engagement
MNC R&D
Universities
• 4000+ technology startups
• 400 VCs & 2500 Angel Investors
• 150+ incubators
• Over US$ 100+ Bn total domestic IT Market by 2020
• Over 238 Mn internet users• Fastest growing smartphone
market in Asia
• 400+ Universities*
• ~960K Engineering Graduates
Start-ups
Vendors
Go
vern
me
nt
Market
*A university has multiple colleges under it
5
Source: Zinnov Research and Analysis
Breaking Barriers - Success Stories of India Centers
Some of the demonstrable wins by India centers include end to end product development, identification of
blue sky opportunities and establishment of technology competence
Building a Product End to End from India for Globe
• Human Body Model (HBM) – A mathematical model of real humans for simulation of road fatalities leading to safer car designs
Building a Product End to End from India for India
• The VNT DualBoostTurbo charger that helped in:
• Improved engine performance
• Fuel economy
• Responsiveness
• Low friction ball bearings
• Pedestal mounting
Owning P&L from India
• Adobe owns the complete P&L of a product
Innovation for India and Globe
• A cost effective next generation mobile wireless router that garnered customers from North America, Europe, Africa and Asia
Innovation through Incubation
• A dedicated team responsible for developing prototypes, patents out of the India Center and is sponsored by the CTO office
Building a CoE out of India
• Positioning for local markets & exploring emerging technology solutions with long range strategic targets
6
Source: Zinnov Research and Analysis
5.7% GDP Growth Apr-Jun - highest in nine quarters
Aim to lower fiscal deficit to 4.1% of GDP by Mar 2015
13% Rise in NCAER’s quarterly Business Confidence Index in June 2014
INR 7,060 crores allocated to build Smart Cities
1.5 crore bank accounts opened in 1 day
49% FDI limit in Defense and Insurance
14 IITs, IIMs and AIIMs to be setup
Modi’s 100-Day Impact
Digital India “IT( Information Technology) + IT ( Indian Talent) = IT (India of Tomorrow)”
India as the Innovation Hub“I am confident that India will become the world’s innovation hub in ICT”
Next Gen Infrastructure“Focus on infrastructure needs to shift from highways to "iways" and optical fibre networks”
Enhance Ease of Doing Business“Maximum governance and Minimum government”
Revive Manufacturing“We should become a Global Manufacturing Hub”
5India’s
Growth LeversAs identified by Modi
The Indian ecosystem is expected to be further bolstered by a new government and it’s vision to
accelerate the country’s economic growth
7
Source: Zinnov Research and Analysis
Strong Government
SupportLocal Supplier
Ecosystem
Contribution of Indian industries in
realizing a variety of hardware,
components, sub systems and
systems
Research Funding
Autonomous operations conducted
by ISRO leading to no bureaucratic
interference
Availability of
Expert Talent
Specialized talent from institutions
like IISc, IIST etc
Scientists with Phds from tier-1
institutes driving programs
Ecosystem Connect
Tie up with 52 academic institutions
(Tier-1 & Tier-2 institutions)
Connect with other space agencies
world-wide like NASA, SANSA
Enab
led
By
More Funds for Applied & Basic Research
Increased talent in the fieldMore PhDs aspiring to work in the research domain
A case in point being Mangalyaan – India making history in maiden attempt with the Mars Orbitor Mission
INR 450 Crores1/10th of the cost of a similar US mission
India’s first Interplanetary Mission4th in the world to succeed
1/4th of the time taken by NASA for a similar mission
As small as TATA NANO car1350 kgs- equal to the weight of a mid sized car
Impact on the Local Ecosystem
For smaller organizations involved with the programmePotential for export orders in areas of defence, aeronautics etc.
Enhanced Visibility
Technology Knowledge TransferISRO offers the know-how of their technology to entrepreneurs and R&D Centers in India
Boost to the local manufacturing and supplier ecosystem
8
Source: Zinnov Research and Analysis
Increase in number of products teams in Product Leadership stage in India by
2016
1
2
3
Maturity20132010Maturity Assessment
0%
50%
100%
2016 E
Engineering Support Module Leadership Engineering Leadership Product Leadership
Maturity HighLowGlobal Roles
Innovation
INDIA: Propelling R&D
Centers to greater
heights
~2xIncrease in Global Roles in India by 201630%
Product teams in India are high in maturity and are
building products for India and global markets
1/3rd
70% Global Roles in India are primarily in Engineering teams
• Accelerators
• Industry Associations
Examples of Global Roles in India
The future looks promising for India with MNC R&D Centers taking big bold bets, institutionalizing more
global leadership roles and moving to higher states of maturity
7K Start-ups in India by 2016
Deepak VVP & MD- NetApp
India Pvt. Ltd
Suresh VHead - Global
Operations, Honeywell, India
Dr Mahesh Mehendale
CTO – MCU, Texas Instruments India
Nagesh BiligiriDirector, eBay. Inc, Head
of APAC Technology Talent Acquisition
The Future
Higher maturity
9
Source: Zinnov Research and Analysis
Big Data
UI/UX
Machine Learning
Software Defined Networking
Analytics
Mobility
8% YoY Talent Growth Rate
3rd Largest Talent Pool Globally
*
6% YoY Talent Growth Rate
3rd Largest Talent Pool Globally
*
31% YoY Talent Growth Rate
5th Largest Talent Pool Globally
*
9% YoY Talent Growth Rate
2nd Largest Talent Pool Globally
*
7% YoY Talent Growth Rate
3rd Largest Talent Pool Globally
*
34% YoY Talent Growth Rate
2nd Largest Talent Pool Globally
*
HOT SKILLSIndia will be the largest
exporter of talent
““
Narendra ModiMadison Square, USA
-
…With a large pool of technical talent acting as a catalyst for this growth and establishing India’s
dominance in the technology industry
*Country ranking based on skill-set availability
HOT SKILLS
Bangalore 69 "Prathiba Complex",4th 'A' Cross, Koramangala 5th Block,Bangalore-560 095.Phone: +91-80-41127925/6
Gurgaon Office:First Floor,Plot no. 131, Sector 44,Gurgaon-122002,Phone: +91 124 4420100
SingaporeLevel 42, Suntec Tower Three8 Temasek BoulevardSingapore 038988Phone:+65 6829 2123
California Office3080 Olcott StreetSuite A125,Santa Clara, CA 95054Phone: +408-716-8432
Texas21, Waterway AveSuite 300The WoodlandsTX-77380 USAPhone:+1-281-362-2773
BeijingMeilifang Tower 4, Entrance 4, 10/F #1003,11 Beiyuan Shuangying Road,Chaoyang District, BeijingChina 100012
Thank You