In our conversation with Subburathinam P, Chief Strategy Officer at TeamLease Services Limited, we explore the intricate dynamics shaping India’s manufacturing landscape. We focus on government initiatives, emerging technologies, talent development, and the transformative impact of Industry 4.0, gaining invaluable insights into the sector’s trajectory.
Could you elaborate on the specific governmental initiatives driving the transformation in the Indian manufacturing sector?
Government Initiatives:
Make in India (2014): Introduced in 2014, this flagship initiative aims to create a conducive environment for both domestic and foreign investments across 25 key sectors, including automobiles, electronics, textiles, and pharmaceuticals. “Make in India” has garnered significant international interest, attracting investments from global industry leaders across various sectors.
Production Linked Incentive (PLI) Scheme (2021): Rolled out in 2021, the PLI scheme covers 14 sectors such as telecommunications, white goods, textiles, medical devices, automobiles, speciality steel, food products, high-efficiency solar PV modules, advanced chemistry cell batteries, drones, and pharmaceuticals, with an allocation of Rs 1.97 lakh crore. As of November 2023, PLI schemes have attracted investments exceeding Rs 1.03 lakh crore, resulting in production/sales totalling Rs 8.61 lakh crore and generating over 6.78 lakh jobs.
Infrastructure Development:
Sagarmala Initiative (2016): This initiative focuses on enhancing port infrastructure, logistics, and coastal connectivity to bolster maritime trade and improve export competitiveness.
Bharatmala Project (2015): This ambitious project aims to establish a comprehensive network of highways, expressways, and logistical corridors to improve connectivity within India and with neighbouring nations.
Dedicated Freight Corridors (DFCs): These specialized railway lines aim to expedite freight transportation, thereby reducing costs and enhancing supply chain efficiency.
How do you envision the evolution of the job market within the manufacturing sector as it aims to increase its contribution to India’s GDP to 25% by 2025?
India’s manufacturing sector is poised for a transformative leap, aiming to elevate its GDP contribution to 25% by 2025. This ambition is expected to unlock numerous job opportunities, particularly in high-growth sectors such as automotive, electronics, and textiles, driven by both domestic demand and export potential. Technological advancements, including automation and AI, are anticipated to reshape the sector, necessitating a skilled workforce proficient in modern manufacturing practices. Government initiatives such as ‘Make in India’, PLI, in conjunction with the development of industrial corridors and smart cities, are set to enhance competitiveness and attract foreign investment. The emphasis on skill development through specialized government programs will be vital in preparing the workforce for this new era. As India strides towards becoming a global manufacturing hub, the job market is poised to reflect these dynamic changes, prioritizing technological proficiency and innovation.
Can you provide examples of emerging technologies like AI and robotics that are creating new job roles within the Indian manufacturing landscape?
With the advent of Industry 4.0, there is a surge in demand for skilled workers in the manufacturing sector, particularly those capable of operating and maintaining advanced machinery in smart factories. Additionally, there is a heightened need for professionals in technology-related roles, such as software developers, data analysts, and specialists in AI, ML, IoT, Blockchain, Cloud Computing, Robotics, and 3D manufacturing. This demand underscores the industry’s shift towards embracing and leveraging cutting-edge technologies to drive innovation and efficiency.
What are some of the key initiatives in place to nurture talent and foster skill development within the manufacturing workforce?
Several government skilling initiatives for the Manufacturing sector include:
Skill India Initiative (2015): This flagship program aims to cultivate a skilled workforce through vocational training and certification programs tailored to industry requirements.
Pradhan Mantri Kaushal Vikas Yojana (PMKVY) (2015): This scheme provides financial incentives to promote skill development initiatives across diverse sectors.
National Skill Development Mission (NSDM) (2015): This overarching mission aims to coordinate skill development endeavors across multiple ministries and states, fostering a standardized and efficient approach.
National Apprenticeship Promotion Scheme-2 (NAPS-2): This scheme aims to promote apprenticeship training by providing stipend support to apprentices engaged under the Apprentice Act, 1961, capacity building of the apprenticeship ecosystem, and advocacy assistance to stakeholders.
How are initiatives like the National Manufacturing Policy and the Production Linked Incentive (PLI) scheme shaping the adoption of Industry 4.0 in India?
The National Manufacturing Policy aims to elevate the manufacturing sector’s GDP share, aligning with the PLI scheme’s incentives for increased domestic production. These initiatives play a crucial role in modernizing India’s manufacturing infrastructure, promoting process digitization, and encouraging the integration of advanced technologies characteristic of Industry 4.0.
The PLI scheme, in particular, has spurred investment, prompting companies to enhance their manufacturing capabilities and adopt innovative technologies. This aligns with the global trend towards automation and smart manufacturing, emphasizing data exchange and interconnected systems. The financial incentives provided by the government under the PLI scheme are expected to significantly boost production levels in the coming years. Additionally, these initiatives support the development of a resilient supply chain, essential for minimizing disruptions and ensuring continuity in manufacturing. The focus on skill development is also crucial, preparing the workforce for the demands of a technologically advanced manufacturing sector. Together, these strategies are laying the groundwork for India to emerge as a competitive force in the global manufacturing landscape, aligned with the principles of the fourth industrial revolution.
What specific benefits are businesses experiencing as a result of embracing technologies such as artificial intelligence, IoT, and robotics in the manufacturing process?
The adoption of Industry 4.0 technologies has brought significant benefits to the manufacturing industry. This technological revolution, powered by advancements such as Artificial Intelligence (AI) and the Internet of Things (IoT), has greatly improved traditional manufacturing processes. By integrating cutting-edge technologies, Industry 4.0 has enhanced efficiency, productivity, and competitiveness within the manufacturing sector. This transformation has ushered in intelligent, adaptable, and digitally-driven production environments, elevating the industry to unprecedented levels of performance and innovation.