Q1 Results Reason

Folks

Its always fun the week of the first results announcements for a quarter when no analyst knows quite how to call it - will TCS and/or Infosys spring a positive surprise on the 12th for the IT sector ?

JP Morgan talks about both secular headwinds and cyclical forces combining to exert pressure on the industry but also states that is is difficult to guage how much of the current slowdown is cyclical and how much structural ! While discretionary spending is likely to be low and large financial institutions could be approaching saturation in their Application Development and Maintenance spend, they believe a wave of spending on regulatory compliance and risk management could be a powerful offsetting driver in the BFS space.

The lesson for all of us in the industry is to be watchful but optimistic. While head winds abound, there are enough opportunities as well !

Ganesh

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Industry outlook - June 2012

The week ends on an optimistic note - Europe is stable, America hasnt sounded any more outsourcing warnings, the Indian PM is on a roll with his positive announcements - IT industry results start rolling next week - hope all the surprises are good ones !

On a recent interview with CNBC, I had to stave off a series of alarmist questions ? Will the "Move jobs to USA" bill be the death knell of outsourcing ? Will the US Government's intention to ask all software companies to do the work only in America be a deterrent ? Will NASSCOM have to downgrade its growth outlook for the industry further ?

At this point, I said and I reiterate here, there are no really negative signals anywhere. The industry is healthy and is still the best place for competent and ambitious young people to build their careers. Its not going to be an easy next nine months but then fortune favours the bold !

Enjoy the ride

Ganesh

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We are passing through a critical phase in the global economy. The potential exit of Greece from the Eurozone and the cataclysmic fallouts this could have on the global financial system is already sending tremors through India with the rupee in free fall and an austerity drive announced by the FM.

In all this climate of uncertainty, what do we see on TV ? The unseemly fracas over Shah Rukh Khan and Sid Mallya in post IPL action, the walkout of Mamta Banerjee from a Reality TV show and of course the justifification of a 100 B USD valuation for Facebook. Nice bit of escapism but is anybody looking out for the Indian economy ?

I am off to the US for three weeks - more in June !

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Proud Indian proud of our Parliament

Proud of our country and its 60 years of successful Parliamentary democracy ! On the other hand our neighbour has a lot to worry about as a judge there said quoting Gibran " Pity the nation that achieves nationhood in the name of a religion but pays little heed to truth, righteousness and accountability, which are the essence of every religion.”

As a nation we must strive to be inclusive and ensure that no Indian is left behind. And as a responsible leader of the free world we should reach out to our neighbours and help them to overcome their own contradictions and be worthy partners in our progress !

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Leadership

Leadership in turbulent times was the topic of a symposium organised by the CII in Bengaluru this week. Excellent speakers including Ravi Venkatesan former Chairman of Cummins India and Microsoft and Sehasayee Executive Vice Chairman of Ashok Leyland delivered some gems

Leadership is all about have an ambition to to take a country or a business to the next level and having the courage to take necessary actions. As Ravi rightly said, if you dont have either, the best thing to do is to get out of the way

What do you all think ?

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