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April 30, 1999

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The Rediff Business Special/Mukesh Ambani

Where strengths become weaknesses

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The years ahead

Mukesh Ambani, V-C & MD, Reliance Ind Ltd Today, of the six billion people on earth, 1.2 billion or nearly 20 per cent of people, own 80 per cent of the world's gross income. This phenomenon of inequity is seen in a majority of countries where the poorest ten per cent have less than one per cent of income. Inequity is prevalent in all parts of our society -- developed world and developing world, rich and poor, men and women, urban and rural, skilled and unskilled. It is clear that, at the societal level, our goal has to be to reduce disparities across and within all strata of society to bring more and more people into economic mainstream and to promote equitable access of benefits of development.

Dump India-denigration, cynicism and pessimism

As we prepare ourselves to grapple with the challenges of the new millennium successfully, the crucial starting point is to set ourselves in a mode of confidence and optimism. There is too much self-denigration in our country. Too much cynicism and pessimism.

Yes, there are too many reasons from us to feel unhappy. Too many stumbling blocks that cause frustration. I would submit these are not inherent in the Indian ethos of society. These distortions have arisen during the period of colonial rule that sucked the enterprising energies of our people, undermined the spirit of productivity and injected an attitude of parasitism.

The colonial structures, policies and procedures sucked the spirit of adventure and advancement, and imposed debilitating attitude of inertia and helplessness. It instilled a mindset that destroyed the environment in which people trust each other. It created a culture in which every Indian was a suspect and untrustworthy.

Unfortunately, though we gained independence from colonial rule 50 years ago, the institutions, the attitudes and the policies were not changed in a fundamental sense. The deprivation, crises, sluggishness and frustration that we witness today is largely a result of the failure to bring about fundamental changes in processes.

It is such radical and profound changes in our processes that are required to unleash the energies of the Indian people and enable them to realise their full potential.

Education -- a tool for economic enterprise

Education is crucial for economic enterprise Take education. There are over 250 universities and 9,000 colleges. We have talented youth and gifted teachers. It is not enough to produce certificate and degree-holders. We must visualise education as a means for liberating the minds of our young people from the stranglehold of inertia. It should be made an effective tool for promoting social equity and economic enterprise. For this, we have to revamp our age-old education delivery processes. We have to attract the best of people to build one of the most competitive talent and skill-base in the next millennium.

Look at healthcare -- India has 4,235 government hospitals, 200,000 primary health centres and 9,457 private sector hospitals. We have excellent doctors, nurses and paramedical staff. Given a comprehensive and fundamental change in our heathcare delivery system, this huge resource could be harnessed to develop and sustain a competitive society.

Our healthcare processes in diagnosis, treatment and care must be raised to world standard.

Science and technology can create lasting infrastructure Turn to science and technology. There is no future for nations which are merely adaptive. Indian science and technology must chart an innovative and path-breaking course. This is eminently possible. There are 40 national research laboratories under the Council of Scientific and Industrial Research, 26 research centres under the Indian Council of Medical Research, four regional stations under the Indian Council of Agricultural Research, 200 agricultural universities and numerous such organisations.

We have an excellent pool of scientists. Let us give them an inspiring goal, set before them specific challenges and discard processes that stifle initiative and curb creativity. Our institutions and our scientists with reengineered processes will, I have no doubt, work wonders.

Democracy and all that

What about democracy? We are the largest democracy. There are over 40 recognised parties and one million bureaucrats. We have capable administrators. Presence of 40 recognised political parties could give to all sections a sense of participation in the political process and thereby cement a sense of unity.

Do our political processes today attract the best to serve the country? We need a radical change. Our 11 million bureaucrats can be a vast army of facilitators. Under the influence of negativism and cynicism, these could become 11 million road-blocks. In the absence of a national vision and sound new age processes in governance, Indian democracy will continue to drift like a rudderless ship in a turbulent ocean.

We claim that we are a lawful society, not a law-abiding one. We have exemplary judges and competent lawyers. But, there are 1,500 legislations enacted, 1,300 of which are obsolete. In this information age, we are still governed by the Post & Telegraphic Act of late 1800s. Legal processes inject fear and no respect for law. We must change our legal processes to bring about fair and speedy justice and uniform applicability of law for all classes of society.

If you look at every single area in our society and economy, you will find the same disturbing scenario. Whether it is law and order, public institutions, media, public sector, private organisations, non-government organisations, etc. Either there is a lack of vision, or, where there is a vision, there is no implementation game-plan. (Continued)

Attempts to be world class

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