Technology for india's development

How could technology

be the Bramhastra for

India’s development?

102nd Indian Science Congress

Engineering Sciences Section

Platinum Jubilee Lecture

Anand DeshpandePersistent Systems Limited, Pune

[email protected]

Anu MadgavkarMcKinsey Global Institute, Mumbai

[email protected]

1

Anand DeshpandeFounder, CEO and Managing Director,

Persistent Systems

Pune, India | Computer Software http://www.linkedin.com/in/ananddeshpande

EXPERIENCE

Managing Director

Trustee

Member of Technical Staff

Persistent Systems

October 1990 – Present (24 years 4 months)

Computer History Museum

April 2012 – Present (2 years 10 months)

Hewlett-Packard Laboratories

April 1989 – October 1990 (1 year 7 months)

EDUCATION

Ph.D., Computer Science, Indiana University

B. Tech. (Hons.), IIT, Kharagpur

Campion School

Distinguished Alumni, School of Informatics

1984 – 1989

Computer Science Engineering, Distinguished Alumni (2012)

1979 – 1984

High School

1971 – 1979

Senior Fellow,McKinsey Global Institute

Anu Madgavkar

Mumbai, India http://www.mckinsey.com/insights/mgi

EXPERIENCE EDUCATION

Indian Institute of Management, AhmedabadPost-graduate Diploma in Management (PGDM)1989-1991

Senior Fellow, McKinsey Global Institute2011-2015

Partner, McKinsey & Company2007-2010

Consultant, McKinsey & Company1998-2007

Credit Analyst, ICRA1994-1998

Treasury Dealer, ANZ Grindlays Bank1991-1993

St. Xavier’s College, MumbaiBachelors degree in Economics & Statistics (with honours)1984-1989

Convent of Jesus & Mary, Fort, Mumbai1974-1984

3

This presentation is based on exhaustive research by

McKinsey Global Institute

June 2013

February 2014

December 2014

SOURCE: http://www.mckinsey.com/insights/mgi

4

Our population is growing!

@ 29 per minute

1,268,006,8201,268,006,8211,268,006,8221,268,006,8231,268,006,8241,268,006,8251,268,006,8261,268,006,8271,268,006,8281,268,006,829Currently …

5

… and will

exceed China’s

by 2030

6

Today, more than half our population is under the age of 25

Demographic dividend can

bring prosperity

8

Poor financial

inclusion

Poor distribution

of resources

However,

we have

wide disparity

in our income

distribution

9

WATER AIR

56% of our

population does not have

minimum acceptable

standard of living

That is almost

700 millionpeople

FOODSHELTER

10

Qualityhousing is not

accessible and affordable

11

A third of the rural poor consume

20-30% less calories than their need

Malnutrition is

widespread

12

59%of our rural

households do not

have clean fuels

13

30%of our energy

depends on imports,

this could go up to

50% by 2030

14

We have a crisis

of drinking

water

15

70%of rural households

do not have

access to proper

sanitation

16

Medical care is

not affordable

for most of the

population

17

Our labour

force is not

adequately

trained

18

Double challenge:

Not enough jobs and not enough skills

19SOURCE: McKinsey Global Institute’s From poverty to empowerment: India’s imperative for jobs, growth and effective basic services, 2014

Massive effort will be required to help people meet their

basic needs by 2025

>115 million new productive non-farm jobs1

Double the historical rate of agricultural productivity growth2

$1.5 trillion of infrastructure investment3

70% higher per capita spending on basic services4

Effectiveness of government spending up from 50% to 80%5

20

We need to

act now!

21

And we

need to

move

fast …

22

Must use technology as the

lever and our population

as the force multiplier to

our advantage to address

our challenges

“Give me a place to stand on,and I will move the Earth”

– Archimedes

23

Our challenges are weighing us down

Health-care

Financial services

Energy

Education & Skills

Agriculture

Infrastructure

24

The 5E fulcrum – the platform to stand …

Educate

Expand

Efficient

Empower

Environment

Educate to improve knowledge and awareness

Expand the reach of delivering basic services

Efficient delivery of goods, services and benefits

Empower for self-employment

Environment and natural resource conservation

25

The 5E Fulcrum

The 5EFulcrum5E

Educate

Expand

Efficient Empower

Environment5E

26

and leverage technology to our advantage

The 5EFulcrum5E

Technology as a lever

Mobile based Internet access

across the country

National cloud based infrastructure

Data infrastructure with open APIs

Verifiable digital identity

Intelligent Systems and

Automation across processes

Efficient Digital payments

Open source development

28

… and population as a force multiplier to

lift away our challenges

5EThe 5EFulcrum

Technology as a lever


across the country








Mobile based Internet access across the country

National

cloud based

infrastructure

Data

infrastructure

with open

APIs

Verifiable

digital

identity

34

Intelligent Systems &

Automationacross

processes

35

Efficient digital payments

36

Opensource

development

37

Examples of how technology can deliver 5E

Wider reach of basic services in Healthcare1

Effective delivery of Education2

Better targeting of benefits through improved eGovernance3

Higher efficiency and saving natural resources with SmartGrids4

More knowledge and awareness with TechEnabled Agriculture5

Extend Self-employment and entrepreneurship capacity6

38SOURCE: McKinsey Global Institute’s India’s technology opportunity: transforming work , empowering people, 2014

Wider reach of basic services: health care example

400 million with access to quality health care and >40 decision

support systems at a health centre

1

Community health worker with

tablet-based tools

Patient attended to in a tech-

enabled health centre

Remote doctor on call or through

video conference

Low-cost

point-of-care diagnostics

39

More effective delivery of basic services: Education

example

SOURCE: McKinsey Global Institute’s India’s technology opportunity: transforming work , empowering people, 2014

20-30% increase in teacher’s capacity and 30-100% improvement in

learning outcomes = 40-50 million workers with additional

qualifications by 2025

2

E-administration on a smartphone

Massive Open Online Courses

Teaching apps to script classroom

experience

Online assessments


Better targeting of benefits: Paperless government

payments example

$150 billion of government payments via electronic channels, 5-20%

saving through plugged leakage

3

Online checking of conditions for

receipt

UID database to identify

beneficiaries

Electronic disbursement of

benefits

Redemption of benefits via mobile

money


Higher efficiency and saving natural resources: Smart

grids example

70% reduction in transmission & distribution losses and 80-110 million

people with access to electricity

4

Efficient energy storage solutions

Renewables integrated with grid

Online reporting of usage and remote disconnection in case of failure of theft

Data analytics for operational improvement

123


More knowledge and awareness: Tech-enabled farming

example

90 million farmers with better information & 22 million with precision

agriculture: 15-60% increase in yield

5

Tech-enabled community farm extension workers

Real time information on mobile phones

Remote sensing and GIS for precision agriculture

Hybrid and GM seeds


Self-employment and entrepreneurship: Skills

marketplace example

Portal as clearing houses for certified, quality-assured service

providers seeking jobs

6

Reputation discovery by customer

Labour market information system

Digital payment and transaction

trail

“Sharing” approach to assets and

skills

44

By 2025, technology

can help India

achieve….

45

Affordable

healthcare

for 400

million

people

46

40-50 millionmore with higher educational qualifications and 2x the current number of skilled workers

47

80-110 million

people with

access to clean &

reliable energy

48

2x the

current

number of

financially

included

Indians

49

10-15%saving in travel

time and 30-50%

better road safety

50

90 million farmers with real

time market information and 22 million using

precision agriculture

51

Small, but critical interventions now can translate into big

impact in 2025

Accelerating high quality, low cost connectivity1

Addressing demand side barriers (digital literacy, picture/voice/video)2

Standards, policies and regulations3

Innovation ecosystem for tech entrepreneurs (start-up and scale-up)4

R&D – especially private sector and FDI5

52

To Summarize …

5EThe 5EFulcrum

53

The 5E fulcrum

Educate

Expand

Efficient

Empower

Environment

Educate to improve knowledge and awareness

Expand the reach of delivering basic services

Efficient delivery of goods, services and benefits

Empower for self-employment

Environment and natural resource conservation

Technology as a force multiplier


across the country








55

Large scale economic impact possible

The potential economic impact for India in 2025 is equivalent to …

20-30% of India’s incremental GDP from 2012 to 2025

$550-1,000 billion of annual economic impact in

2025 (50% from 6 focus sectors)

3-6 times the current economic value of the Indian IT

and IT enabled services sector

Equivalent in share of GDP in 2025 to the

Manufacturing sector today

How could technology

be the Bramhastra for

India’s development?

102nd Indian Science Congress

Engineering Sciences Section

Platinum Jubilee Lecture

Anand DeshpandePersistent Systems Limited, Pune

[email protected]

Anu MadgavkarMcKinsey Global Institute, Mumbai

[email protected]

Technology for india's development

Technology

Transcript of Technology for india's development