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12th Issue - March 2007
Involving People

In 2006-07, the industry added 380,000 new jobs in the IT and ITES/BPO sector. Of concern is the high cost of training for new entrants. One company is spending US $5,000 per head for 3-month training program and perhaps this is representative of many companies. And the attrition rate during the first year is 30%. Industry veterans are concerned about rising costs, decline in productivity and heightened competition from countries such as China. It is time that we take notice and involve all stake holders to overcome some of the issues. We also plan to ramp up our student activities.

The just announced annual budget of Government of India has disappointed the IT/ITES industry (and perhaps many sectors). Lingering doubts about continuation of STP scheme, the Minimum Alternate Tax (MAT), tax on ESOPs are some examples the industry is unhappy about.

HYSEA organized a seminar on 12th March on the impact of budget on the industry and it was well attended. We will be giving our feedback to the government through various channels.

HYSEA ’s own annual events are around the corner. The Technology day is scheduled for March 28th and Ramam is working hard to make it useful and relevant as well as bring in new features. The Annual day has been postponed to April/May due to reasons beyond our control. We are delighted to see increased level of participation for Product Awards. Also of interest are new product announcements from our member companies.

We started the Leadership workshop series again and we are glad to see increased levels of participation. The program is being enhanced with new ideas as well.

SME Survey was completed and results will be shared with the members. We are in the process of finalizing the action plans.

We had a tête-à-tête with AGK, (AG Krishnamurthy, author of the book The Invisible CEO). AGK has reminded both HYSEA and SME members to stay focused on few key areas of what they should be doing.

We are glad to receive positive feedback from some of our members on HYSEA activities. I look forward to more active participation in the forums and in all HYSEA activities. Please send your inputs, suggestions, feedback, and constructive criticism to make HYSEA a dynamic and vibrant organization.

Yours,

Dr. Anil K. Jampala
President

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