If cars need petrol, the software industry needs trained skilled manpower. So at the cusp of the new decade, when industry talked of new software export vision of $375 billion for the year 2020, it tagged on a caveat: India's dominance in software outsourcing would hinge largely on the availability of a trained pool of manpower, among other factors. It had reason to worry: After all, employability of engineering graduates for technology services is only 26 per cent. But things seem to be changing on the ground now. For the first time, large companies such as Cognizant and Infosys are acknowledging an improvement in the quality of engineering graduates. Much of this is because of interventions in educational institutions by the industry. Over the last few years, the industry has collaborated with technical institutes not just for the curriculum. It has also been involved in train-the-trainer initiatives for universities, engaged in workshops and training modules and lent subject experts as guest lecturers to colleges. Also, where volumes are concerned, the industry can derive comfort from the spurt in the engineering enrolment at colleges — over a million at the last count. That will mean more hands on the production floors a few years from now.

That said, there can be no doubt that more needs to be done. Even today, IT sector invests $1.4 billion to convert ‘trainable talent' into ‘industry ready' professionals. And, because the education system does not make them “first day-first hour job ready'', freshers joining companies have to undergo months of training. Even then some do not make the cut in the end. Second, the growing chasm between the quality of output from leading colleges and those from smaller technical institutes needs to be bridged. The latter still suffer from old curriculum and unavailability of good faculty. The solution lies in adopting a radical approach and taking bold decisions because reforms in higher education are critical. Industry veterans are also talking about structural changes in education system, given the glaring disconnect between what is being taught in colleges and what the industry really needs. Citing the benefits accrued through privatisation in the healthcare and airline sectors, many argue that privatisation itself could be the panacea for all that ails the education system today. It will bring in the much-needed capital to attract the best-in-class faculty, overhaul outdated curriculum and ensure stronger industry linkages.

The Government needs to remind itself of Deng Xiaoping's working principle: As long as the cat catches the mice, its colour doesn't matter. Whether education is state- or privately- provided should be irrelevant. True, politics will be a factor in a country divided socially as India is, but that does not mean ownership of educational institutions should be the chosen instrument of either politics or social change. Indeed, privately-owned institutions are far more likely to achieve these ends because, to them, only merit would matter.

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