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Offshore Outsourcing World: Stopping India's skills shortage
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Friday June 10, 2005 at 6:10AM - Offshore Outsourcing World Staff

Stopping India's skills shortage

In an attempt to stem concerns that India’s manpower resources are fast running out, development of a system to test the country’s 3 million university graduates has been set in motion.

Kiran Karnik, president of the National Association of Software and Services Companies (Nasscom) points out, "The test is designed for entry-level candidates. It will gauge the skills necessary for call center and transaction processing jobs . . . Most of the graduates ... currently are not employable. "

This is crucial to keeping India’s software and services industry up to par with world standards. With $US 22billion earnings for the fiscal year that ended March, and more growth expected at 32% this year, much is at stake. Involved in employing 1 million employees in the previous fiscal year are outsourced services such as software programs, billing, customer management, and accounting for companies in developed countries.

Deterrent to efforts to speed up improvements in the industry is the government’s inability to provide tools needed – such as electricity and an updated education system. Mr. Karnik adds, "This will enable the industry to come out with a certain amount of standards. The pilot project is expected to begin in a couple of weeks."

"The whole purpose is to create an employable talent pool and to enhance the size and quality of the" workforce," Mr. Karnik says.

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