World-Class Companies to drive India to a $5 Trillion Economy
India needs world-class companies and modern infrastructure to drive it to $5 trillion economies in the next five years. Focus on creating world-class corporations is a must to achieve the goal. No doubt, India has been achieving a fantastic growth rate of about seven percent for the last 20 or 25 years. This is the only major economy to do so besides China. India has crossed a long way in the last 25 years octupling its GDP from 333 billion in 1994 to about 2.8 trillion or 2800 billion in 2918-19. Some of the world-class companies have contributed a lot to achieve this GDP levels.
Big corporations account for billions of dollars’ turnover. Hence, these companies contribute significantly to GDP data of a country. The scene is no different in India and several big and world-class companies are driving India to a $5 Trillion Economy. However, Indian companies are much smaller in size compared to the US, China or Japan. Reliance Industries, the number one company in India has ranked 57 in the world according to the Forbes list. Only a few other companies could manage their place in Global 500. Looking into the scenario, India has to put many efforts to increase the number of these world-class big companies and also to increase their sizes. Also, a World-Class Infrastructure is required to support these industries. A holistic approach can drive India to a $5 trillion economy.
Ten biggest World-Class Companies in India
Presently, Indian Oil Corporation, a PSU is the No.1 company in India with a revenue of $66 billion. It is an Oil and Gas sector company that employs 35000 people. There are three more companies, all public sector units, in the Oil and Gas sector, in the top ten list. Bharat Petroleum Corporation Limited, No. 6 in the list has an annual revenue of $29 billion and 13,000 employees in its role. Number 7 is Hindustan Petroleum Corporation Limited with revenue of $27 billion employing more than 10,000 people. Oil and Natural Gas Corporation Limited is in 8th position in the list having revenue of 19 billion whereas the number of employees is about 34 thousand.
Number three in the list is State Bank of India, again a PSU, having a revenue of $48 billion and employing 264 thousand people in its list. As the name suggests it is in the business of banking and finance. This is the largest public sector bank in India. Government-owned Coal India Limited working for coal mining stands 9th having 17 billion revenue. However, it stands second in the number of employees with more than 313 thousand in its role. This is the story of government-owned or public sector units. As of now, India has a mixed economy and role of PSUs cannot be ignored in the economy. These companies have been contributing to the economy, and certainly, driving India to a $5 trillion GDP.
Private sector companies in the top ten list
Reliance Industries Limited, A Mukesh Ambani group, stands No. 2 with a $62 billion revenue and 188 thousand employees. Two of the Tata group companies managed their positions in the top ten list of industries in India. Tata Motors is number 4 that has a revenue of 46 billion. It is in the Motor Vehicles and Parts industry and employs 81000. Second, of the group, Tata Consultancy Services is in Information technology, stands at No. 10. It has a revenue of $17 billion. However, it employs the highest number of staff and has 372 thousand people in its role. Recently, TCS has beaten renowned IBM to grab the second position in the global market cap among tech companies. Congratulations on the great achievement.
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Rajesh Exports Limited, another private sector company holds the 5th position in the top 10 list. It is in gold refining business with $34 billion in revenue. The number of employees is significant low, only 350. However, the role of these private sector world-class companies cannot be ignored in scaling up Indian GDP to $5 trillion.
These top ten world-class companies, together, are responsible for generating revenue of 365 billion (2018). This is about 13 percent of the total GDP of India in the corresponding year. However, these top ten companies in India, together, are employing only 1.3 million people.
Video: How to make a world-class company
World-Class Infrastructure to drive India to a $5 Trillion Economy
India was lagging far behind in infrastructure even in the recent past. Atal Behari Bajpayee, Prime Minister of India has started developing road infrastructure (1994-2004) and joined four major metropolitan cities with his golden quadrilateral project. Later on, Nitin Gadkari, in Modi 1.0 has doubled the speed of road construction. Prime Minister Modi gave a slogan of developing Highways and iWays. Now, BJP has promised of investing 100 lakh crore or Rs 100 trillion in infrastructure in its election manifesto 2019. BJP has a triumphing majority in the Loksabha election 2019 and we are hoping for speedy implementation of infrastructural projects. Happen this, India will have a world-class infrastructure that will, in turn, lead to many more world-class companies. We can, as a result, see a $5 trillion economy India by 2024.
Mckinsey Report on Outperformer Economies and Companies
“Some emerging economies have grown much faster and more consistently than others. Underlying these success stories is a pro-growth policy agenda and the standout role of large companies,” says Mckinsey Report in “Outperformers: High-growth emerging economies and the companies that propel them“.
Additionally, Mckinsey thrusts on creating large corporations among growing economies like India. These large World-Class companies boost GDP as these companies have lion’s share in the economies. The role of productive companies is a key characteristic of outperforming economies, according to the report.
Mckinsey lists India among eleven outperformer countries with the constant GDP growth of 5 or more percent for the last twenty years. It is worth noted that India is the only major economy in these eleven.
Vardhaman Infotech Pledges to be a World-Class Company in India
Vardhaman Infotech is a tech company in India involved in various information technology related developments. The company develops world-class mobile applications, websites and eCommerce portals using state of the art technologies. Moreover, blockchain technology is the new niche of the company. The company has established its footmarks in the global tech scenario in its early years of inception while developing the world’s first KALQ keyboard app in 2013.
Vardhaman Infotech not only employs talents for its technical jobs done but also uses most modernized management methods using the latest software. It is the only remote working company in Jaipur, the Pink city in India. Remote hiring provides the tech company the flexibility and edges over others needed to be a world-class company in its management and hiring process. No doubt, it’s a small company to date. However, our commitment, hiring talents, and modern methods are continually pushing us to bigger and bigger.
The tech company stands with the vision of the Indian government and, surely, will contribute to driving India to a $5 trillion economy by 2024.