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By: Avinash RaghavaRegional Manager – Northern RegionNASSCOMemerge(a)nasscom.in

30th September 2008

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Indian IT-BPO SME’s : Background

• India has more than 4000 IT-BPO SME’s (includes small, medium, micro and startups)

• Entrepreneur driven – started by bright young high achievers of the IT-BPO industry

• Grew 43% in 2005-07; faster than industry

• Contribute 28% to India’s software exports

• Last 3 years saw 600 new IT-SME startup’s

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Indian IT SME’s moving into niche areas

According to recent Duke Offshoring survey - • IT-SME’s are in best position to attract the specialized talent

required for knowledge and R & D oriented processes• Large IT companies will focus on scalable, end to end, high

volume services leaving non-scalable, specialized core activities to IT-SME’s

• We already have visible trends in India. Out of 773 IT-SME members, more than 400 are focused –

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NASSCOM SME Membership Profile

Spread Size

Number of SME Members

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NASSCOM’s Initiatives for IT-SME’s

• An all round approach

– Developing capabilities through collaboration– Mentoring– Creating business opportunities– Brand building

We have engaged actively over 500 members through our activities in the last 2-3 years.

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Developing Capabilities through Collaboration

• 150 best practices sessions annually covering more than 45% of membership

• Sessions also serve as a networking opportunity• Blogs after each session to enable more

members to contribute and learn – More than 211 blog posts,374 comments, 24 categories

• Online community where members discuss solutions to each other’s problems – “Setting up an online sales operation” and more than 50 such trails – Most Popular topics

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Mentoring

• Unique opportunity for SME’s to get their growth plans and performance reviewed by experienced industry leaders

• Periodic reviews to gauge progress and effectiveness of the exercise

• 15 companies mentored and 8 undergoing mentoring

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Creating Business Opportunities

• Every year, more than 100 SME’s benefit from inward and outward delegations

• Many partnerships getting triggered. Eg. –– A member in IT training space created a USD 10 Mn

JV with a Chinese company– A member in the anti-spam products space signed a

technology sharing MOU with an Australian partner

• 100 trade leads on NASSCOM website annually

• Online member directory – 50k page views p.a.

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Brand Building Opportunities

Awards & Recognition

• Exciting emerging companies to work for – 15 companies showcased every year

• Innovation awards – more than 40% are SME’s

• 100 IT Innovators – more than 80% are SME’s

Promotion

• EMERGE newsletter: > 30 SME’s featured p.a.

• NASSCOM website: >30 SME’s featured p.a.

• Media Coverage: >20 SME’s p.a.

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The way forward….

• Help SME’s to further refine their value proposition

• Facilitate B2B collaboration between emerging companies and global SME’s

• Strategies to further penetrate the domestic market

• Continuation of STPI benefits; much simpler for SME’s than shifting to SEZ’s

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Thank you.

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