Dr. APJ Abdul Kalam in the 23rd anniversary of Geojit BNP Paribas

 

Dr. APJ Abdul Kalam Address to the Employees of Geojit BNP Paribas Financial Services
09/Jan/2010 : Bangalore
Social Responsibility of institutions       Do well by doing good

 

I am delighted to participate in the 23rd Annual Day Celebration of Geojit BNP Paribas Financial Services. I studied about the company and found that the company is working to bring in the experience of global financial institutions coupled with the local innovative spirit. This confluence has the potential to bring in more resources and clients to the company. I would like to talk on the topic “Social Responsibility of Institutions”. Let me first talk about the current ambience in India in a global environment of economic turbulence.
Current Ambience       Indian economy was growing at an average of 9% per annum till the last year. Now this year, Indian economy has got affected due to global economic turbulence, nevertheless it will grow at 6.5% in 2009 as expected by the Reserve Bank of India. I was asking myself, what type of innovation is needed to enrich the Indian economy and other world economies in the present circumstances. I had discussions, on this subject,with many experts. It came to light that the Indian economy will be less affected due to the world financial crisis. This is due to (i) The liberalization process in India has its checks and balances consistent with the unique social requirements of the country. (ii) The Indian banking system has always been conservative which has prevented the crisis (iii) The Indian psyche is generally savings oriented and living within means is part of the mind set. These three causes have reduced the effect of global turbulence in the Indian economy. However, there is reduction in export and reduction in outsourcing. The drop in annual growth rate of GDP is around 2.5%. In fact, as we approach 2010, the Indian economy is once again showing strong signals. CII recently has reported that the industrial production has risen considerably with increase in business confidence, along with the return of stabilized financial markets and capital inflows, all indicative of upside prospects. The industry grew 9.1% in September 2009. Sectors like automobile, cement and financial services are all posting significant recoveries since the second quarter of 2009. This is the time innovation has to be encouraged in our thinking to rejuvenate in particular agricultural and rural sector through value addition, the small and medium scale industries and enterprises for making higher levels of contribution to the GDP. I foresee possibilities of creating new markets through rural potential and employment, giving rise to interesting possibilities of Public-Private-citizen partnerships and international partnerships. Right type of financial institution will become an accelerator of economic development. India’s performance in IT sector, Pharma, small scale industries and the infrastructure has brought a new dimension to the Indian economy. With its credible legal framework in place, robust banking system, dynamic financial system, its skilled manpower and dynamic 540 million youth force India has become an attractive proposition for the world order. At the domestic level, India is focusing on bringing sustainable development through rural and urban infrastructure, quality education, healthcare, environmental up-gradation, bringing vibrancy in the public institutions for better and enhanced delivery of essential public services on time, reforming the financial system for better global integration and a proactive regulatory system. It is critical to the success of India becoming a Global player. Six decades of democratic vibrancy in providing leadership to the nation gives confidence to manage the socio-economic turbulences and providing the leadership to the one billion people in a democratic, multicultural, multi-linguistic and multi-religious environment. Dear friends, let me first discuss about the knowledge society in 21st century.
The knowledge society in 21st century       The world in the 21st century will be a knowledge based society with multiple opportunities. I was reading a book, “Empires of the Mind” by Denis Waitley. This book gives, what type of the new world which we are facing now? What was yesterday and what is today. I have modified certain points of the author to suit our conditions. I have also added a third line which relates to action of university. It specially says that “what worked yesterday, won’t work today”. Yesterday – natural resources defined power Today - knowledge is power Corporate will nurture and invest in ideas 2. Yesterday - Hierarchy was the model Today- synergy is the mandate Corporate will be enabler of intersection of multiple faculties towards mission goals 3. Yesterday – leaders commanded and controlled Today – leaders empower and coach Potential Business Leaders will be empowered through exposure to the needs of sustainable development 4. Yesterday - shareholders came first Today – customers come first Corporate should inculcate sensitivity to “customer” needs 5. Yesterday - employees took order Today – teams make decision Corporate will promote team spirit and empower them to make decisions 6. Yesterday - seniority signified status Today – creativity drive status Corporate will evolve as the breeding environment for creativity in business models 7. Yesterday – production determined availability Today – Competitiveness is the key Corporate will constantly evolve methods of continuous improvements through value added services and product revisions 8. Yesterday - value was extra Today – value is everything Objective Value Addition to be introduced as a key success parameter for performance evaluation of each employee 9. Yesterday – everyone was a competitor Today – everyone is a customer Corporate will be aware and work towards fulfilling its social responsibility to the customers, people and the nation 10. Yesterday - profits were earned through expediency Today – Work with integrity and succeed with integrity. Corporate will work and succeed with integrity and propagate the philosophy in all its employees Friends, the knowledge society of the 21st century will mobilize India towards a developed country in another ten years. Now, let me give my visualization of India during the year 2020.
Distinctive profile of the nation       1. A Nation where the rural and urban divide has reduced to a thin line. 2. A Nation where there is an equitable distribution and adequate access to energy and quality water. 3. A Nation where agriculture, industry and service sector work together in symphony. 4. A Nation where education with value system is not denied to any meritorious candidates because of societal or economic discrimination. 5. A Nation which is the best destination for the most talented scholars, scientists, and investors. 6. A Nation where the best of health care is available to all. 7. A Nation where the governance is responsive, transparent. 8. A Nation where poverty has been totally eradicated, illiteracy removed and none in the society feels alienated. 9. A Nation that is prosperous, healthy, secure, devoid of terrorism, peaceful and happy and continues with a sustainable growth path. A Nation that is one of the best places to live in and is proud of its leadership. Friends, for realizing this distinctive profile of India by 2020 in the next ten years, the rising Indian Corporate Sector has a tremendous role to play. The corporate sector backed by its innovative thinking, creative employees and financial assets can take up each of these pillar of development as a mission towards fulfilling their Corporate Social Responsibility and evolve and execute financially sustainable and inclusive models towards achieving the goals. Let me now give some examples how financial institutions can become a partner in national development through the creation of PURA complexes.
PURA is dynamic tool for sustainable development of the nation       During my visits to different parts of the country and during my discussions with many citizens, the results of such integrated efforts have started becoming visible. One major mission is the development of infrastructure for bringing rural prosperity and bridging urban-rural divide is through implementation of Provision of Urban Amenities in Rural Areas (PURA) through creation of three connectivities namely physical, electronic, knowledge leading to economic connectivity. Each PURA complex will cover approximately 15 to 45 villages with a population of 15,000 to 100,000 people and improve the socio-economic condition of the local area. The number of PURA for the whole country is estimated to be 7000 covering 600,000 villages where 700 million people live. Government is planning to implement 2 PURA’s per district across 600 districts in the nation. There are a number of operational PURA in the country initiated by educational, healthcare institutions, industry, Government and non-Government agencies. PURA has become an important development activity for bridging the gap in GDP growth arising out of the present economic conditions. This is a possible solution for economic revival and increasing the GDP growth rate. This could be a trendsetter. PURA is an Economic Proposition: Innovative corporates should invest in the creation of such financially and environmentally sustainable PURAs which will also facilitate the company to get more clients with rural entrepreneurial assets leading to a larger contribution to the society. These PURAs should be the crucible where modern technology and management, traditional knowledge and resources and environmental sustainability and spirituality find confluence and work towards the economic and knowledge empowerment of the common in a long term sustainable manner. Each PURA will have to unique designed using flexible management which can be customized according to local resources, skills and needs – which will also be dynamic with time. Hence, the evolution of PURA complexes will require the coming together of knowledge, innovation and a spirit of entrepreneurial excellence – which will both be a challenge and opportunity for all institutions and corporates.
Conclusion       Friends, in conclusion, let me suggest all of you at Geojit BNP Paribas some thoughts which you should consider for realizing in next 3-4 years. The professionals present here should consider strategies for: • Evolving innovative business models which enhance the shareholder’s capital and bring the sustainable benefit to all its clients • Establishing the leadership in its sector through a philosophy of work with integrity and succeed with integrity • Pursuing innovative models to make the value added financial services more inclusive and friendly for the poor and marginalized sections of the society • Creating at least two PURAs in rural areas which are near to any of its 500 Geojit BNP Paribas workcenters across India As you are setting your goals for the next decade with the application of your minds, with your experience and with your dreams, I would like to share with you an inspiring message from Maharishi Patanjali in Yoga Sutra: "When you are inspired by some great purpose, some extraordinary project, all your thoughts break their bounds, your mind transcends limitations, your consciousness expands in every direction, you will find yourself in a new great and wonderful world. Dormant forces, faculties and talents become alive and you discover yourself to be a greater person by far than you ever dreamed yourself to be." My greetings and best wishes to all the members of Geojit BNP Paribas success in all their future endeavors. May God Bless you.