Thursday, July 24, 2008

Infosys turns informer


While ITC is said to have helped the Indian farmers, it is Infosys which is actually empowering them technologically

Infosys Technologies
After representing the Indian IT industry in the global technology services corridors, Infosys Technologies Ltd., India’s second largest software exporter, is working to deliver the benefits of technology at the grass root level in India. Infosys is creating an information and communication technology application aimed at streamlining supply chain management with an intention to bring fruit and vegetable growers and buyers together via hand-held devices that use GPRS or CDMA or through internet-enabled personal computers.

The effort to improve framing technology at an overall level will cost $6.3 million and is funded by the US Agency for International Development and is currently being run on a pilot basis with approximately 1700 farmers at Nandani Fruit and Vegetable Growers Society in Maharashtra. However, an Infosys representative revealed that over the next five-eight years the usage of technology is expected to increase to a million farmers.”

Besides addressing information gaps that could constrain farmers, all participants can monitor and control the back-end and front-end supply chain functions. What this means is that all intermediaries, such as the ubiquitous wholesaler and retailer, can optimise costs by enabling large procurement, optimal logistics and intelligent crop production management that matches demand patterns.

Commenting on the application, Binod H.R., Sr. VP & Head - India Business Unit, Infosys Technologies Ltd. said, “Maintaining on-time, programmed delivery of fresh produce from a large and scattered production base is a complex and critical operation. This solution gives the organised retail sector access to a reliable small holder production base. It thereby decreases farm-to-market losses, currently estimated at 30% to 40% on certain products.”

Infosys’ solution will allow farmers invaluable access to agricultural experts and technical information such as database searches for data and images, crop planning, scheduling, tracking and forecasting, access to region-specific weather updates and market information on demand, i.e., daily sales volumes and average prices. By doing so, Infosys can bridge the urban-rural agricultural divide, but there is a grander plan in place. Traditionally, fruit and vegetables fall prey to several pests and diseases, and by providing their services, the Infosys application hopes to act as a catalyst in the alleviation of rural poverty.

The obvious observation is that there are easy comparisons to be drawn with ITC’s own initiative, e-Choupal, but officials have been quick to derail this train of thought by pointing out the differences between the focus of ITC’s program, where the company is helping the farmers grow field crops and assist them in all possible ways, as opposed to a well laid emphasis on technology to help fruit and vegetable farmers by Infosys.

Arguments on commonality aside, Infosys is playing a pivotal role in giving back to one of the poorest sections of Indian society by joining the scattered production base of small farmers with the organised retail sector. Infosys’ philanthropy might well have competitors green with envy, but for the most common denomination of rural India, they are nothing less than blue-eyed boys.


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Source : IIPM Editorial, 2008

An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).


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