Innovations
in
Developing Markets
Key Note Presentation
By
NK Goyal, President CMAI
Chairman Emeritus, TEMA
Vice Chairman ITU APT
Chairman, ITPS Dubai
Member, Governing Board Telecom Equipment and Services Export Promotion
Council (Govt. of India)
18th World Electronics Forum, 2013
Vietnam, May 14th 2013
www.cmai.asia, www.cmaievents.com
What is innovation?
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Innovation is a word with many definitions, many applications,
many promises and challenges. It is generally accepted that
innovation is a force for good, an essential driver of social,
economic, cultural and ultimately human development.
Innovations in ICT have changed the way we live from the
widespread adoption of mobile banking to social networking,
distance learning, online shopping and video conferencing.
Millions of applications across multiple platforms offer new
services and products around the globe at a dizzying pace and
with a deep-rooted, at times unpredictable, impact upon society
and business.
Innovations can produce an annual GDP output of more than
$50b. Big enough to eradicate the poverty and hunger problems
of several Countries of world. (World Bank)
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Changing Dynamics of Innovations
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The needs and technologies of present times have changed and
are new to our generation. Meanings, dynamics, expectations
are changing. Everybody wants everything. Hunger for more
and more speed, data, volume
Hence need for new approach for innovations.
Earlier innovations was primarily coming from developed
Countries, Microsoft, Apple’s iPHONE, I Pad, Touch screen Cell
Goggle, Web, Internet and several others
Now in global seamless world, the need for innovations is more
felt in developing Countries and they have joined the race.
Innovation not a one time invention ..….Rather continuous and
constantly evolving….2G, 3G, 4G and so on, higher and higher
speed 1 Gbps by Samsung
Why innovate?
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Innovation- an important source of competitive advantage:
Nokia, Intel, Sony, Seiko, Corning & Motorola, Converges, 3M,
have all generated sustained competitive advantage. These
firms have generated about 50% of their revenue through new
products.
Slowly by passage of time, the core competency of companies
without innovation become core rigidities
Innovation need:
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Strong leadership desire to promote and encourage
innovations, which may appear to be absurd or out of box
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Making innovations a part of Company philosphy
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Recognition and incentives for suitable successful
innovations
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Managing creativity and risks
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India China Asian Countries
leading Innovation markets
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Developing Countries like India, China, South Africa have come
up with several Innovative ideas and have immense manpower
waiting to be harnessed and capitalized.
Asia….the engine for growth, also known as BRIC
India, China…the two largest populated Countries with similar
characteristics of large demand and cost sensitive.
Emerging markets BRIC India Brazil China Russia are the new
mass markets of the world. They now generate half of global
GDP and more than 40% of world exports. Yet, the customers
in these new mass markets are fundamentally different from
those in developed markets. Contrast the average per capita
income in the U.S. $44,000 vs India $1,000
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India Government promotes Innovations
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2010-2020 declared as Decade of Innovation-focus on
inclusive growth to cover Governance, Service Delivery,
Environment, Land, Education, S&T, Health, Finance etc.
A National Innovation Council with State Innovation Councils
and Sector Innovation Councils.
State Councils to create a cross-cutting system to boost
innovation performance in the entire country, to promote
Innovations by State Govt., encourage young talent, local
Universities, MSME, R&D Institutes, identify and reward talent,
Organize risk capital
Sector Specific Councils focused for each Industry sector to
drive innovative strategies in key sectors and create multiple
roadmaps
National Innovation Council
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National Council headed by Advisor to Prime Minister
To discuss, analyse and help implement strategies for inclusive
innovation in India and prepare a Roadmap for Innovation 2010-2020.
To create a framework for
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Evolving an Indian model of innovation, with focus on inclusive growth
Delineating policy initiatives within the Government, required to spur innovation
Developing and championing innovation attitudes and approaches
Creating appropriate eco-systems and environment to foster inclusive innovation
Exploring new strategies and alternatives for innovations and collaborations
Identifying ways and means to scale and sustain innovations
Encouraging Central and State Governments to innovate
Encouraging universities and R&D institutions to innovate
Facilitating innovations by SMEs
Encouraging all important sectors of the economy to innovate
Encouraging innovation in public service delivery
Encouraging multi-disciplinary and globally competitive approaches for innovations
Innovations in Education
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National Innovation Scholarships to identify talented children at the
school level who think creatively, laterally and innovatively on issues that
they perceive as important in their local environment. To have a
multiplier effect of valuing creativity and innovation by parents and
teachers and the learning system.
Innovation Centre in each District Institute of Education and
Training to enhance teacher training and enable them to become
facilitators of creativity and innovative thinking.
Mapping of Local History, Ecology and Cultural Heritage by each
High School in the Country to create critical thinking on their local
environment by students.
National Innovation Promotion Service to use college students to
identify local innovations.
Meta University, where a network of institutions riding on the National
Knowledge Network come together to offer students a collaborative and
multidisciplinary learning experience.
Cont….Innovations in Education
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Design Innovation Centres co-located in institutes of
national importance.
University Innovation Clusters where innovation would be
seeded through Cluster Innovation Centres. The CIC will
provide a platform for the university and its partners to forge
linkages between various stakeholders from industry and
academia, initiate and assist innovation activities, encourage
innovations in curricula and act as a catalyst and facilitator. It
will also work closely with other industry clusters in its region.
Tod Fod Job (TFJ) in Schools and Colleges to foster Innovation
at an early stage and to create an innovative mindset in the
youth.
Tod Fod Job-To Inspire Children to
Discover, Experiment, Innovate
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Start early towards building a nation of creators not
just consumers of products
Tinkering, Discovery, Experimentation are strong
forms of learning
Establish Indian oriented model of Hands-on
discovery and learning for 5th-8th class students
To over come of problems of most Schools &
Colleges that focus on
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Remembering & Understanding
Not Applying & Creating
Not hands-on discovery with what students consume everyday
Industry Innovation Clusters
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The Innovation Clusters to bring out the needs of both industry and
academia and provide a means of addressing the needs through proactive regional ecosystems of collaboration.
To act as a networking hub/arm of the cluster, forge linkages between
various stakeholders, initiate and assist innovation activities acting as
catalysts and facilitators.
To aid the cluster and its ecosystem in connecting with each other,
provide guidance to various stakeholders when needed, organize
initiatives to promote growth, channel various incentives that benefit
the cluster and act as an incubating body managing the growth of
innovation in the cluster.
Actively engaging with everyone associated with the cluster and by
being a universal well-wisher constantly seeking improvement to the
next-level, the cluster to imbibes and sustains an innovation culture.
India Inclusive Innovation Fund
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US$ 1Bn. Fund to drive and catalyse the creation of an ecosystem of
enterprise, entrepreneurship, and venture capital, targeted at
innovative solutions, technologies aimed at enhancing the quality of life
at the bottom of the pyramid.
To invest in a new generation of entrepreneurs who will build – and are
in the process of building – world class enterprises that focus on the
problems of the poor, without compromising on economic success.
To create a new Indian model of innovation: one that bridges growth
and equitability.
To support at different stages of the enterprise development cycle –
from early stages, through later phases of scaling-up of potentially
successful solutions and business models.
Investing in a new generation of entrepreneurial talent, capable of
innovating in products, processes, and business models: successfully
combining profitability and business excellence, with transformational
socioeconomic impact.
Science, Technology & Innovation Policy
2013
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Creating a robust National Innovation System.
Enhancing skills for applications of science among the young from all
social sectors.
Making careers in science, research and innovation attractive enough
for talented and bright minds.
Linking contributions of Science Research and innovation system with
the inclusive economic growth agenda and combining priorities of
excellence and relevance.
Seeking S&T based high risk innovation through new mechanisms.
Fostering resource optimized cost-effective innovation across size and
technology domains.
Triggering in the mindset & value systems to recognize respect and
reward performances which create wealth from S&T derived knowledge
Indian Innovation Initiatives in
Governance
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Right to Information and Right to Education
Mid Day Meal
NREGA
Sarv Shiksha Abhiyan-Education at Grass roots
National Knowledge Commission and Network
Electronic Service Delivery System
$ 10 Bn. first of its kind project in the worldUnique Identification Authority of India (UIDAI).
India…..Known for Innovations
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Earlier:
Number System Zero in 100 BC, Ayurveda Medicine system
2,500 years before, Yoga, rotation and correct sped of earth in
499 AD, art of navigation 6000 years before, value of pie etc.
In recent times
 Tata Nano Car 2,000 USD. Tata Europa for world market
 Akash Tablet 35-40 USD
 Cheapest 100 cc Bike: Rock-100 at USD 365 & mileage of 100 kmpl
 World's cheapest electric car 8500 Euro Mahendra Reva E 20
 Prosthetics Jaipur foot: Affordable prosthetics @ US$28.
 Hepatitis Vaccine
Indian Jugaad Technology
- the need of the hour
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Definition: The most innovative, economical and quality method
to accomplish the desired task by unusual / unimaginable
means and ways.
Indian Jugaad is Most Happening Technology
On the plurality of knowledge and the autonomy of different
forms of Science and Technology, and the scope to do ground
breaking innovations is immense
Example: A washing-cum-exercise machine, hand operated
water lifting device, portable smokeless stove, automatic food
making machine, solar mosquito killer, shock proof converter, a
floating toilet soap
India : Big Consumer Market
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India Average household incomes to triple over next two decades and it
will become the world’s 5th-largest Consumer Economy by 2025
(McKinsey Global Institute)
India’s Consumer spending to grow four fold over the next 8 years to
$3.6 Trillion. Total disposable income ranges from $800 billion to $1.6
trillion
Number of Indian wealthy grew by 35% between 2008 and 2012 to
about 1,70,000 and that number to increase to 4,50,000 by 2015
Global luxury brands are increasing their presence in large and well
established malls across India. Such as Louis Vuitton, Swiss watch maker
Richemont, Gucci, Britain’s Burberry and Hermes, Watchmaker Tag
Heuer , Jimmy Choo , Volvo, German Audi, BMW, Ford etc.
India - vast market for aviation sector-Helicopters and Choppers, high
cost large screen LCD and LED TVs, Canon cameras and printers,
Samsung Smart Phones, Blackberry, LG refrigerators and TVs.
100 pieces of World’s largest LCD TV costing 1 Mn USD were bought by
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India
Unleashing Indian Telecom Innovations
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World’s highest monthly addition, second largest base in world,
$ 110 Bn. investments needed in Telecom sector during 20122017
$ 40 Bn. for Pan-India Broadband rollout and augmenting
transmission network.
New innovative ways of doing business
First to introduce Managed Services and Infrastructure sharing
Lowest acquisition cost for new connection ..half dollar for life
time.
Missed call, Caller Back Ring Tone, Dynamic discounting, Battery
life, World’s smallest recharge and lowest cost cell phone
SMS based earnings due to TV games, greetings, jokes, social
networks, VAS contents
Sachet VAS pricing, 0.018 USD (INR 1) per day use etc
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Gen I ….Indian Hot Market
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Gen I’ers are increasingly becoming the public face of
the new India—emblems of national optimism,
energy, and growth.
Members of Gen I believe in living in the present and
indulging themselves more than their parents do.
Beauty and personal-care market has grown 20 times
over the past 20 years.
Are also worldlier, with greater exposure to global
events and trends, making them much more
demanding.
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India….as a Centre for Innovations
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India has a vast pool of innovative and talented human
resource. India produces over 200,000 engineers every year.
The Government proposes to enhance the number of post
graduates and PHd. in electronics, so that abundant manpower
is available for electronics industry to grow and flourish.
Estimated production of electronic in India is expected to reach
USD 104 Bn. by the year 2020, creating a gap of USD 296 Bn. in
demand and production. This creates a unique opportunity for
companies in the Electronic System Design & Manufacturing
sector
India can be source of Innovations to grow and market in big
way
Time to look at India to set up Innovation Centers,
manufacturing units and explore opportunities in electronics by
joining hands with local entrepreneurs.
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CES promoting Innovations
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CEA has been at forefront for Innovations in world. Mr Gary is
now known as Innovation Wizard. CES is world’s largest
consumer show promoting Innovations.
Developing Countries present big market. India has been the
epicenter of consumer demand for electronics, telecom, IT.
While demand increased across all sectors, demand for high
technology products, specifically electronic products has
registered significant growth and going by current estimates,
the demand for electronics hardware in the Country is projected
to increase from USD 45 Bn. in 2009 to USD 400 Bn. by 2020
It will help big way to promote innovations, if Consumer show
like CES is organized in India to cater to Developing Countries.
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Suggestions
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We owe to our future generations for a better world
Need for free flow of available knowledge and instruments, so that
these innovations can reach the masses globally and become
affordable.
Developing Countries have different kinds of necessity—starting from
mobile phones to efficient billing of electricity, water, and gas, or for
disbursal of food grains or cash transfer for the poor. Electronics has
an important role to play, not only to reduce the paper work, but also
to ensure that food and money reach the designated beneficiary.
There are several Premier Institutions across globe playing important
role for innovations, for example in India- Indian Institute of
Technology, Regional Engineering Colleges, Birla Institute of
Technology etc.
Cooperation between Industry-Industry, Research Institutes-Research
Institutes, Association-Association
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About CMAI
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CMAI prime Integrated Association of India representing all
verticals of ICE, telecom sector of India in India having 48.500
members and more than 54 MOUs with International
organizations with branch offices in USA, UK, Japan, Korea,
Singapore, Taiwan, China and Malaysia.
It offers one window service for information dissemination,
guidance on setting up businesses in India.
It connects to Industries, Government, Trade and Business
It is involved in policy formulations with Government and other
stake holders or Technology Innovations, Indigenous
manufacturing
It assists manufacturers to maximize competitiveness in the
domestic and international markets.
It also offers consultancy services on turn key basis through its
member companies
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About TEMA
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Established on 1st June, 1990, TEMA is recognized by the
Government of India as the National Apex body to represent
telecom Technology Providers, Global and Indian, Private and
Government owned companies.
Being the official mouthpiece of telecom manufacturing
industry, TEMA plays the critical role of:
Advising the government and influencing decisions relating to
telecom industry.
Nominating names of technical experts from the industry to
various telecom committees of the Government of India and
major national industry associations.
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Thanks get Connected nkgoyals@yahoo.co.in
Ph No. - +91 98111 29879
Presentation available at www.cmai.asia home page