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SMBs need to focus on ICTs

Shanthi Kannan

Auto component units should strive for innovation

CHENNAI: Small and medium businesses (SMBs) in India will have to give importance for information, communication and telecommunications (ICTs) in their businesses, if they need to survive in the global arena, according to John A. McClure, (Director-Marketing), Intel South Asia, Intel Technology India Pvt. Ltd.

If SMBs were to attract clients and sustain in the global market, they would have to understand the benefits of ICTs in the workplace, he said. Most car companies today used ICTs as their backbone for growth path, especially in areas of supply chain, design and customer satisfaction, he added.

In the current competitive world, if SMBs did not invest in technology and utilise the power of ICTs, it would be difficult for them to survive. And those who did not invest, would eventually get consolidated with bigger ones, Mr. McClure said in an interview to The Hindu here recently.

He said though the number of Indian SMBs using technology in their businesses was on a par with those in China, the investment made by the Chinese companies in ICTs were eight times than those of the Indian companies. The density of personal computer (PC) usage in China was more than in India. The PC usage in Indian SMBs was very low compared to their Chinese counterparts, he added.

The main reason for high-density usage of computers in China was the stick-and-carrot method adopted by the government to implement ICTs in SMBs. This created a technology awareness and technology-friendly atmosphere, he said.

Today, India was looked upon as an important destination by both manufacturing and service sectors. Mr. McClure said many of these companies had realised this and had started investing in ICTs.

The auto component industry, which was rapidly growing, needed to follow the breakthroughs and innovations made in the ICTs to attract customers.

On Intel’s role in the Indian market, he said the company had divided its business strategy into three categories. The first one was to improve the sales and marketing of Intel products. Secondly, it was keen to increase PC penetration and awareness through educational programmes. Finally, it planned to create India as an important design centre for its global operation.

Intel India’s workforce had grown from 100 employees in 2000 to about 3,000 in 2006. Its investments to date had been over $1.7 billion.

Intel proposed to diversify its business of making microprocessor for PCs to mobile phones. It planned to introduce Intel ultra mobile platform 2007 for mobile Internet devices and ultra mobile PCs and this would be launched by the end of the year.

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