Latest news with #ITES
Time of India
12 hours ago
- Business
- Time of India
India Inc's AI reality check: Why 92% still struggle to scale AI
Only BFSI (71%) and ITES (80%) show signs of AI maturity — but even they face integration and governance and retail sectors have >60% AI experimentation, but governance, ethics, and backend integration stall AI being a boardroom buzzword, only 8% of enterprises have realized business-scale AI value. AI might be the star of corporate town halls and keynote speeches, but behind the curtains of glossy brochures and tech summits lies an inconvenient truth: the vast majority of Indian enterprises are nowhere close to AI maturity. According to the ETCIO Intelligence Report AI Playbook – GPUs, Strategies & Readiness Index 2025, a staggering 92% of organizations remain stuck in pilot or exploratory phases. Only a slim 8% have fully implemented AI initiatives. This discrepancy reveals a telling reality—while boardrooms are bullish about AI's potential, operationalizing it at scale remains an uphill task. For a quarter of surveyed firms, AI remains an abstract concept—a buzzword to explore rather than a tool to deploy. Pilot paralysis: From proof of concept to proof of value What's keeping India Inc from achieving AI lift-off? At the heart of the issue lies an ROI dilemma. AI pilots, often built around automation or chatbots, fail to deliver tangible business impact. 'Boards demand measurable business value,' the report notes, 'but most AI efforts focus on narrow use cases with limited bottom-line value.' In response, many CIOs are shifting their KPIs from 'proof of concept' to 'proof of value,' with a sharper focus on metrics like Return on Employee (RoE). 'AI has moved beyond proof of concept - it's now about proof of value. With data at its core, the true success metric is ROE: Return on Employee, where enhanced productivity and smarter efficiency reveals AI's real impact,' says Rakesh Bhardwaj, Group Chief Information Officer, Lupin. The infrastructure conundrum: Legacy systems as a bottleneck India's digital backbone—comprising legacy ERP, SCADA, MES, and siloed data systems—is not AI-ready. In manufacturing, for instance, only 57% of firms report any form of AI adoption. Even among these, most remain confined to pilot projects, thanks to fragmented operational technology and poor data standardization. The BFSI sector leads India's AI journey in terms of adoption maturity. Banks and insurers are embedding AI into fraud detection, underwriting, and customer service. But deeper integration is still constrained by legacy systems and high implementation costs. 'AI adoption in BFSI is not just about improving efficiency. It is redefining resilience, security, compliance and customer experience at scale,' says Sampath Manickam , Chief Technology Officer, National Stock Exchange of India. 'As we integrate AI-driven solutions, the emphasis must remain on ethical innovation, regulatory compliance and long-term value creation.' In retail and consumer goods, the maturity is mixed. While digital-native firms and FMCG giants leverage AI for personalization and supply chain visibility, traditional retailers are still stuck on basic digital transformation journeys. Data privacy and ERP integration issues loom large. In healthcare and pharma, AI use cases are growing—from diagnostics and imaging to drug discovery. However, full-scale adoption is rare, and ethical concerns around bias and explainability are front and center. ITES players show relative maturity. Roughly 60% have implemented AI for customer service automation, IT ops, or HR analytics. But only 8% have embedded AI into core functions. The rest remain tactical, often boxed into non-core deployments due to legacy constraints and unclear ROI. Talent deficit vs tool overload Another major hurdle? – People. Despite the explosion of AI platforms and APIs, there is a severe shortage of skilled professionals—particularly AI engineers, data scientists, and MLOps experts. 'There is a huge shortage of skilled talent because modern education is unable to keep up with the speed of change,' says Priya Dar, CIO, Valvoline Cummins . 'We are not experimenting enough and limitations of industry-specific tools lead to customizations that need skills, time, and money. What we are doing is simple—upskilling, leaning on open source, and outsourcing some innovation to smaller partners working on specific use cases.' Organizations are responding with hybrid strategies: reskilling programs, partnerships with academic institutions, and tapping global talent pools via remote work. 'Our leadership emphasizes innovation, operational excellence, and customer-centricity as core pillars of our growth strategy,' adds Kavita Bijlani, Head of IT & RAD, Bausch + Lomb. 'We are up-skilling and re-skilling our employees by rolling out training programs on AI/ML through virtual platforms. To overcome local shortages, we are tapping into global and regional talent pools.' Integration complexity: The silent killer Even when talent and tools are available, most AI projects flounder during integration. ETCIO Intelligence survey revealed that poor post-deployment support and a lack of plug-and-play capabilities remain key friction points—particularly in sectors like BFSI and healthcare, where compliance demands are non-negotiable. As Anand Sinha, CIO, Birlasoft, explains: 'Organizations address the shortage by upskilling existing staff, recruiting from diverse backgrounds, and using global remote talent… Automation and low-code AI tools are adopted to reduce reliance on specialists.' Who's Winning and Who's Lagging? A Sectoral Snapshot ITES (80%) and BFSI (71%) lead due to digital maturity and strong risk/compliance needs. Healthcare (70%) is gaining traction in diagnostics and drug discovery, but lags in AI governance. Retail (61%) shines in front-end CX but falters on backend integrations. Manufacturing (57%) struggles with data quality and fragmented tech environments. From projects to platforms: Global lessons for India Inc The report emphasizes that successful AI transformation isn't about isolated pilots—it's about 'platformization'. Giants like JPMorgan (COIN platform) and Siemens (AI-augmented digital twins) show the way. Indian firms must follow suit by institutionalizing AI Centers of Excellence, building explainable AI systems, and investing in scalable data infrastructure. To paraphrase Rucha Nanavati of Mahindra & Mahindra: 'AI has moved from curiosity to boardroom mandate. The challenge now is not in adopting AI—but in delivering on its promise.' The next 24 months represent a defining window. For India Inc., this is the moment to evolve from pilot purgatory to platform-powered performance. The age of AI has begun—now it's time to make it real. The AI Playbook | ET CIO
Time of India
14 hours ago
- Business
- Time of India
Cognizant to set up Rs 1,582 crore IT campus, create 8,000 jobs; Andhra Pradesh govt allots land at 99 paise in Visakhapatnam
Cognizant Technology Solutions is set to establish a state-of-the-art IT and ITES campus in Visakhapatnam, Andhra Pradesh, investing Rs 1,582.98 crore VISAKHAPATNAM: In a major boost to Andhra Pradesh's IT ecosystem, Cognizant Technology Solutions has announced plans to set up a world-class IT and ITES campus in Visakhapatnam, with an investment of Rs 1,582.98 crore. The project is expected to generate around 8,000 jobs over the next few years. Cognizant has requested 21.31 acres of land at Kapulauppada under the Visakhapatnam Metropolitan Region Development Authority (VMRDA), and the state government has allotted the land at a nominal rate of just 99 paise. The company aims to begin commercial operations by March 2029. The entire project will be 100% self-funded, reflecting Cognizant's strong long-term commitment to Andhra Pradesh. Officials noted that this significant investment further strengthens the state's position as an emerging IT hub.
Time of India
15 hours ago
- Business
- Time of India
Cognizant to invest Rs 1,583 crore in Visakhapatnam on IT campus, create 8,000 jobs
The IT company, Cognizant, is set to establish a world-class IT and ITES campus in Visakhapatnam at an investment of Rs 1,583 crore to generate 8,000 jobs in the next few years, ruling TDP party said. The state government will allot land to Cognizant at the nominal rate of Rs 99 paisa, said the press release. "In a major boost to Andhra Pradesh's IT ecosystem, Cognizant Technology Solutions is all set to establish a world-class IT/ITES campus in Visakhapatnam with an investment of Rs 1,582.98 crore," said the press release. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Play War Thunder now for free War Thunder Play Now Undo Incidentally, Cognizant sought 21.31 acres of land at Kapulauppada under the Visakhapatnam Metropolitan Region Development Authority (VMRDA) for the new IT campus. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories The company has set a target of March 2029 for the commencement of operations, the press release added.
Hindustan Times
25-05-2025
- Business
- Hindustan Times
NITI Aayog governing council meeting: Kataria bats for perks to attract investments in Chandigarh
Stressing on the need to establish reputed institutions in the city that prepare the youth for emerging job markets, Punjab governor and UT administrator Gulab Chand Kataria on Saturday urged the central government for the creation of a special incentive framework for Chandigarh, akin to the Gujarat International Finance Tec-City (GIFT City) model. The administrator participated in the 10th governing council meeting of NITI Aayog held at Bharat Mandapam, New Delhi, on Saturday. Chaired by Prime Minister Narendra Modi, the meeting was attended by chief ministers and lieutenant governors from 24 states and seven Union territories, under the theme 'Viksit Rajya for Viksit Bharat @ 2047'. During his speech, Kataria articulated Chandigarh's ambition to become a national skill hub, specialising in green technologies. Kataria stressed that Chandigarh's growth was deeply rooted in principles of green, inclusive and sustainable development. He pointed out that the city was transitioning from 'grey to green' across every sector—be it green mobility, energy-efficient buildings or adoption of clean energy solutions—reinforcing its identity as the City Beautiful. 'However, there are the limitations being faced by Chandigarh due to its UT status, which restricts its ability to offer financial incentives essential to attracting investments and fostering economic growth. The GIFT City model framework should encompass tax exemptions, subsidies, incentives for IT and ITES sectors, and exemptions under the Companies Act to make Chandigarh more competitive and attractive for green technology investments and skill development initiatives,' Kataria said. Kataria highlighted Chandigarh's remarkable transformation from a city originally designed for a population of 5 lakh to now housing over 12.43 lakh residents. With the recent inclusion of 13 villages into the municipal corporation and development in line with the Master Plan 2031, Chandigarh is experiencing rapid social, physical and economic development. Kataria also highlighted Chandigarh's significant achievements, including privatisation of electricity distribution—the first of its kind among UTs—the development of the Zirakpur Bypass, which will decongest key city areas, and the city's outstanding performance in education with the highest Gross Enrolment Ratio. He underscored the expansion of skill hubs aligned with the National Education Policy 2020, which aim to prepare the youth for future-ready careers. Further, he highlighted Chandigarh's ongoing efforts to promote innovation, especially among women entrepreneurs, to stimulate inclusive economic growth. Aligning with the Prime Minister's call to develop world-class tourist destinations, Kataria reaffirmed Chandigarh's commitment to enhancing its tourism infrastructure and smart city initiatives, which focus on sustainability, citizen-centric services and renewable energy integration. He also emphasised the need for reforms to enhance women's participation in the workforce and reiterated Chandigarh's dedication to creating an environment that supports women's empowerment and economic inclusion.
Hindustan Times
16-05-2025
- Business
- Hindustan Times
Delhi CM says global investors summit likely in Jan-Feb 26
Delhi chief minister Rekha Gupta on Thursday announced plans for a grand global investor summit to be held in January-February 2026, focusing on sectors like artificial intelligence (AI), information technology (IT), IT-enabled services (ITES), and banking, financial services, and insurance (BFSI). The summit aims to attract major international investment and position Delhi as a global business hub. After a meeting with industries minister Manjinder Singh Sirsa and senior officials, Gupta also said a new trader welfare board will be formed to resolve trade-related issues swiftly and represent the business community's concerns to policymakers. 'The board will support small, medium, and large-scale traders and implement welfare schemes while pushing for reforms to ease business operations,' her office said in a statement. She added that a new Industrial Policy and Warehouse Policy will be launched soon to promote industrial activity, boost logistics, and create a more investment-friendly climate in Delhi. These policies will especially benefit small and medium enterprises and encourage the use of modern technologies. The government also plans to develop a high-tech industrial hub in Ranikhera and roll out a dedicated policy for start-ups. Gupta announced the establishment of Delhi's first E-waste Eco Park on a 21-acre site in Holambi Kalan. The facility will promote safe disposal and recycling of electronic waste and include infrastructure for testing, training, and waste management. Officials said the park will serve as a model for sustainable industrial development in the city.
