Speech by Her Excellency the President of India, Shrimati Pratibha Devisingh Patil at the Inauguration of the 37th National Management Convention

Ladies and Gentlemen,

I am delighted to inaugurate the 37th National Management Convention of the All India Management Association - AIMA. As the national apex body of the management profession, it has in the last many years contributed immensely to the enhancement of this profession in the country. Apart from conducting India's most widely accepted management admission test called Management Aptitude Test, I am informed that it imparts management education through distance learning and e-learning modes. I was also glad to learn that AIMA provides insightful perceptions on many national economic issues, by bringing into discussions and policy-making, the viewpoint of professional managers.

We live in a dynamic world where change is constant. The agility with which we respond to new circumstances is a measure of our resilience and preparedness for taking advantage of evolving situations. Numerous factors affect the environment in which the world of business operates in today's integrated world. Globalisation, corporate social responsibility, good governance and sustainability are issues that are at the forefront. The global economic crises had, in fact, profiled these. It even demonstrated the fallout that a lack of oversight of financial institutions can have on economies, resulting eventually in heavy human costs. Issues of financial prudence and accountability continue to remain key themes for Governments, multilateral institutions, financial bodies as well as the corporate world.

Ladies and Gentlemen,

Even in the face of a global downturn, India registered growth. As the impact of the meltdown is wearing off, our economy is showing a healthy 8.5 percent rate, with the promise of a double digit rate. The nation is at an important juncture where the rate, speed and the sustainability of our economic growth will depend on how we are able to overcome challenges, avail of opportunities and ensure that the growth flight has a payload capacity that can carry all onboard. I appreciate that AIMA has chosen a theme in which issues relating to contemporary challenges and opportunities in the context of managing India's future growth will be discussed. India's objectives are clear. It is to work for development that is sustainable; build the capacity and skills of our people; create a fair opportunity for every Indian to accomplish one's full potential; and push forward the frontiers of knowledge for innovations and creativity. In the emerging world, ideas and intellectual capital will have a premium. With all this, most importantly, we need a system that respects the values of honesty and hard-work as also our rich cultural heritage.

All stakeholders would need to put in concerted efforts. In many ways, it is ultimately up to us - as a government, as managers of the public sector, as executives of the private sector, as members of educational institutions and as individuals - to shape the changing environment around us towards a truly sustainable and inclusive nation.

All of you present here, being associated with the corporate and the professional management world, would be aware that the world's most successful organizations, as also the most admired ones are those which have a commitment not only towards the shareholders of their company, but to a wider body of stakeholders. By this I mean employees, customers and, indeed, society at large. Our responsibility requires that we look at the impact that we and our organizations have on the people around us. Employment generation, quality education and healthcare, bridging the rural-urban divide, financial inclusion for every Indian- in each of these areas, there is work to be done. Inclusive growth demands significant contribution from the private sector, including by way of Public Private Partnerships - PPPs. Many infrastructure projects - new roads, highways and airports have come up through this route. The viability of PPPs and their potential can be explored further in the development of the physical and social infrastructure that India needs today. The public and the private sector should put their expertise and resources towards a joint agenda for the nation's future growth.

India has a unique demographic advantage - an advantage that will only increase in the coming years. The UN predicts that India's population will grow by 300 million working-age persons over the next 40 years. Their energy and the enthusiasm must be guided into productive work. Their ideas and innovations tapped for the betterment of society. The Government of India, over the past year, has taken significant initiatives to enhance education and skill development in the country. The Right to Education Bill and the Sarva Shiksha Abhiyan will ensure that children in the age group 6 to 14 years receive free and compulsory education. We have also formed the National Skill Development Corporation. However, it is important that focus should be on skills that are in demand, so that people after their training can get employment.

India's capacity and necessity to increase agricultural growth which is the backbone of the Indian economy must be discussed in your Convention. Indeed, the development and modernization of rural India is a must to ensure India's rapid yet inclusive growth. About two-thirds of our population lives in rural areas and shares less than one-third of the country's GDP. It is for this reason that I firmly believe that our rural economy must be integrated into the mainstream with other sectors of the economy. I also believe that agriculture in India needs a fresh approach to enhance its productivity and profitability. Increased corporate investment in this key sector of our economy, can offer a new frontier of growth in rural areas across a myriad areas. Some of them are economies of scale through advanced models of farming, effective distribution systems reducing the gap between the farmer and the end customer and food security. Industry partnering with agriculture, particularly in rainfed areas, can be a win-win option. Moreover, financial inclusion is an area where I would encourage India's credit institutions and regulatory authorities, to put forth a synergized effort.

Beyond the internal dynamics, globalisation has become a critical lever for the Indian economy. I am pleased that many Indian companies have gone global in the past few years and are able to compete both at home and abroad. I would urge that Indian organizations focus on effectively leveraging technology and innovation as key levers for future growth for India.

Even as India reaches new milestones in its economic growth that ensures sustainable development, we need to address challenges such as climate change, carbon emissions and our depleting natural resources. There should be focus on the use of alternative energy sources that produce fewer emissions. Also, investing in alternative natural sources of energy such as wind, water and sun, is a huge opportunity waiting to be harnessed.

Finally, I would like to mention that business is for profit but it cannot be divorced from ethics. This basic principle should be the guiding principle for business houses and their management. For corporate India to become a credible partner in India's progress, a trust based relationship between - government, organizations and society at large, is a must.

Once again, I appreciate AIMA's efforts towards the promotion and strengthening of the management fraternity and I wish AIMA success in its future endeavours.

Thank you,

Jai Hind.