PREMIUM SEARCH Search by job title, geography and build a list of executive contacts
Nandan M. Nilekani, president, CEO, and managing director of Infosys Technologies, India, had a "good" Davos experience. Nilekani was one of the youngest entrepreneurs asked to join 20 global leaders at the prestigious World Economic Forum (WEF) foundation board. Individuals with special leadership experience -- from business, politics, academia, and civil society -- participate in the board's activities, basically governing the organization, for three years.
Nilekani's co-attendees include Rajat Gupta, senior partner, worldwide, McKinsey & Company, Michell Dell, chairman of Dell (DELL), and Peter Sutherland, chairman of Goldman Sachs International (GS). In addition to the WEF honor, Mr. Nilekani just received the prestigious Padmabhushan award in India.
CHINA AND INDIA. Infosys, of course, is the 50,000-person business-process consulting firm that delivers IT-enabled solutions to dozens of U.S., European, and other companies around the world. It maintains a highly visible presence in Davos every year, throwing one of the biggest and most popular parties.
Infosys stood out even more this year, since India had a huge presence in Davos, with more than 100 top business and government officials attending (see BW Online, "Selling India Inc. at Davos").
In the past, Davos (as the WEF is often referred to, because it takes place in Davos, Switzerland) has focused on China and outsourcing. But this year, innovation and India distinguished themselves as dominant themes.
A new conservation began within the global business community, contrasting India and China in terms of economic attractiveness. For the first time, India's open, democratic market system began to draw public applause in Davos, in contrast to China's more authoritarian government. Google's censorship of its search engine in China was a big topic of discussion.
Assistant Managing Editor Bruce Nussbaum, who guides Business Week's efforts in innovation, creativity, and design strategy, talked with Nilekani at the Conference Center in Davos.
Innovation is one of the major themes of Davos this year. There are more than 20 sessions on the topic, and hundreds of CEOs attended. What does innovation really require in a business context? You need two things to create an innovative culture. Innovation requires diversity. You need to bring together different kinds of people to get new ideas. Innovation also requires borderless thinking. A censored society always focuses on borders and what you cannot do. A society that promotes borderless thinking focuses on new possibilities and opportunities. It is better at innovation.
How much of innovation can and should be outsourced? The hardest part of the innovation process -- and the most important -- is anticipating client needs.
This is very cultural. Customer intimacy is very important. You have to be close to your customers. That is what companies need to do. They do not want to outsource that, and they shouldn't. But everything else can be outsourced.
We can take a raw idea and put together all the pieces to create the right value proposition for a company: the form factor, designing for manufacturing, production. Outsourcing this innovation is very practical. Everything inside the iPod is outsourced, but the design and connection to the customer is not. That is Apple's (AAPL) secret to keep.
What is the biggest challenge in innovation? Services. We are better at maximizing existing things. Services are different. There is more opportunity there in services as well.
What is the biggest danger to outsourcing companies such as Infosys and Wipro? You can't be in the business of competing with your own customers. Outsourcing companies can't cross that line. We won't do it.
Printer-Friendly Version