Indian IT industry in 2014: Expectations and Hopes


Indian IT sector have outperformed itself on most occasions. Ever since the wave of globalization hit Indian shores, the country’s IT and service sector has been its economic mainstay, contributing a lot to its annual GDP. Amidst a reviving economy, let us see how this sector would fare in 2014.
The IT industry’s performance was one of the best in 2013, when compared with other sectors. According to NASSCOM, the industry has shown amazing resilience and agility in 2013. Owing to technology’s growing role across all sectors, IT industry has emerged as a strategic partner to its customers.
The industry has worked well to improve efficiency over the last few years. Given the increasing costs, the companies are paying attention to issues such as reducing the bench strength, optimum utilization of resources and IP leveraged services. Besides the established players, startups are coming up in a big way. Cities like Bangalore, Pune, Hyderabad and Gurgaon, which have a huge talent base, are the breeding ground for these startups, providing an impetus to IT employment in the country.
Despite the global market throwing up a number of challenges, IT industry was able to clock export revenue to the tune of USD 75.8 billion. This figure represents an Year-on-Year growth rate of 10.2 per cent. The IT sector continues to dominate hiring space by being one of the largest employers in the country providing direct employment to more than 3 million professionals and indirectly affecting the earnings of millions more. In the year 2013 alone, the industry added around 180,000 new employees which are expected to increase this year to a bigger number.
The recently concluded year also saw a growth of 33 percent in hiring in BPO year-on-year as per the data provided by Naukri.com, the leading recruitment site of India. The Naukri Job Speak Index for IT is growing at a rate of 5 per cent in the past three months.  Thus, the hiring landscape is poised to improve this year, all thanks to the strong IT and ITeS sectors.
Outlook for 2014
The optimism from the passing year has certainly rubbed off some of its charm onto the New Year. Worldwide economy is showing signs of recovery and that is a positive signal for Indian IT industry. In cities like Pune, specifically the flurry of activity in the startup space is adding a new dimension to the industry. Owing to this phenomenon, Pune is already being called the new Silicon Valley of India. New startups will inevitably give rise to new jobs in the region. Whether it is the database jobs or software development roles like Java jobs in Pune, new college graduates can expect to get a diverse choice for starting their career in this season.
Improved business models, and greater solutions for emerging market will help India retain its position as the global sourcing leader. Increased technology spending and adoption of innovative technologies will surely provide a jump to growth. According to estimates provided by the IT regulatory body NASSCOM, the IT exports are going to increase to a figure of USD 84-87 billion, which translates to a growth rate of 12-14 per cent. Domestic revenues will also witness a growth of 13 to 15 per cent, expected to reach about INR 1180-1200 billion.
Key growth drivers
The important growth drivers include new technologies like smart computing, and SMAC, (Social Media, Mobility, Analytics, and Cloud). These emerging technologies are expected to also remain the key employment driver in the IT sector, leading the hiring activities. Candidates having skills in these technologies will remain in demand. Since these are highly specialized skills, learning them will require a healthy mix of training and hands on experience.
Other trends
Hiring activities in the IT sector will witness a shift from the usual mass hiring to newer concepts like just-in-time hiring and cross-industry hiring. These practices will enable companies to address their specific talent requirements, whenever they want it. Owing to a cautious approach Cost-cutting, optimum resource utilization and austerity drive will remain prominent throughout the top management of IT companies.
Author bio:
Saurabh Tyagi is an expert author who has been lending her expertise to various job related websites. Her articles and blog posts related to career enhancements are published on leading online blogs and websites.


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