Speech by Her Excellency the President of India, Shrimati Pratibha Devisingh Patil, at the Presentation of "Lakshmipat Singhania - Iim, Lucknow National Leadership Awards 2007"

Ladies and Gentlemen,

It is a great pleasure to participate in the Lakshmipat Singhania - IIM, Lucknow National Leadership Awards. I congratulate the award winners Shri Sunil Bharti Mittal, Dr. Anil Kakodkar and Smt. Aruna Dalmia for the leadership qualities that they have shown in their respective fields for which they richly deserve the awards. I would also like to congratulate Shri R. Subramanian Dr. Atish Dabholkar and Shri Dipendra Manocha who have been conferred the Young Leader Awards. I wish them luck and am confident that they would continue to achieve success in their work.

I have noted that Lakshmipat Singhania - IIM Lucknow National Leadership Awards have been given in three fields - business; Science and Technology, community services and social upliftment. All three are important aspects of the corporate world - all are interconnected and represent a holistic approach. While, undoubtedly, carrying out business is the basic function of industry, there is a constant need to use better methods of production and innovative technologies to improve productivity. In fact, the world is now technology driven which makes research and development a critical input for growth. Industry should extend support to scientific and research institutions to retain the cutting edge. Similarly, the entire purpose of a business should not be to just make profits but also to give back to society, in whose well-being they must invest. They have a social duty to perform and those who do so deserve recognition so that others are motivated.

Indian industry is growing fast and is making rapid strides. Manufacturing, Communications, Business Process Outsourcing, knowledge based industries especially information technology, biotechnology and pharmaceuticals have demonstrated their strength and sustainability. Indian industry is also expanding globally and has production units and service centres in many parts of the world. Businesspersons have the responsibility to ensure that their products and services are of a quality that satisfies consumers both in the domestic and the international markets. The "Made in India" brand should be associated world over with quality, efficiency and assured services. This would result in a higher growth rate for industry and a better image for India.

As industry grows, it needs to reflect on its responsibilities. Questions regarding good corporate governance and corporate responsibility have assumed centre-stage position. Corporate governance is about working ethically and finding a balance between economic and social goals. It includes the ability to function profitably while obeying laws, rules and regulations. A set of principles voluntarily agreed to by the business world and corporate houses in India could be developed into a self-imposed code of conduct. I have often spoken about corruption as a menace in our country that needs to be uprooted. The business world can play an important role in this endeavour.

Industrial houses have a nationwide network of distributors, retailers and service centres. Companies are selling their goods and services to people all across the country. You need to think about how to use this network and your business interaction with the public for a national cause. When I speak about improving the lives of the disadvantaged sections of society, one of the bottlenecks is that people are not aware of the policies and schemes designed for their welfare. It would be good if the corporate sector can look at creating awareness about welfare schemes. Along with their product they can also give a message to their customer. For example if companies, particularly in the communication sector, were to tell all its customers about the need for getting children immunized, prevent child marriages and female foeticide or reminding them the due date for payment of their taxes it would do a great service. Similarly, in rural areas and remote regions, the corporate network could convey information about weather, prices of commodities as well as the newly introduced special schemes for the weaker sections.

Industry generates employment and its location in a particular area gives livelihood to the people and can also change the profile of the area. Some companies set up schools, medical and training facilities where their factories are located. I would encourage all business houses to follow this as a regular practice.

As India grows, we would need more energy and we would need to use it efficiently. Industrial houses can take action for the conservation of energy by using energy efficient methods and equipment and wherever possible, promote the use of renewable energy. Through such measures, the corporate houses will be contributing to reducing environmental pollution and the dangers of climate change.

I note that the Lakshmipat Singhania - IIM, Lucknow National Leadership Awards are a joint endeavour of an industrialist and a Management Institute. This is reflective of the need for the corporate world to work closely with management institutes who train and prepare the youth for assuming future responsibilities in the field of business management. The corporate houses have a deep interest in getting a talented work force as their growth and strength depends on them. Indian professionals have demonstrated their excellence and today, many of them are heading major multi-national corporations, which is a positive reflection of the highly competent human resource capital of our country. In today's highly competitive and globalized world, recruiting the right people with the right skills is very important. There is a large growth in financial services, BPOs and in other service sectors in India. The companies in these sectors are looking for business "soft skills" such as teamwork, client relationship management, customer services and various problem-solving skills which are essential for success in today's global competition. It is a constant challenge for management institutes to train and equip their graduates with the skill-sets required in a dynamic market place. The competitive edge of Indian companies will depend on this.

The Indian economy is growing fast but not fast enough to generate the employment levels required in the country. People will have to be encouraged to become entrepreneurs. Indian Institute of Managements should focus on promoting entrepreneurship and related skills that can make medium and small enterprises successful and also provide such enterprises various support services particularly business development services. The major industrial houses together with management education institutions can develop such models for providing viable support services for those enterprises so that more jobs are created in the country.

Management graduates from Indian Institutes of Management are amongst the most sought after entrants into the business world. The students who pass out from these institutes have a bright future awaiting them. I am confident that in their careers there will be great success, but I would like them to remember that business is not only about profits and professionalism, it is not only about self-advancement. There are multiple responsibilities that they have - towards their jobs, towards the projects that they will be executing; towards other team members, particularly those who are junior and will look up to them for leadership and guidance. It is important to follow a value system rooted in tolerance and respect for fellow human beings. Most importantly, they should fulfill their duty towards those who have less, those who are disadvantaged and those who have been inadvertently left behind in the race for development.

I conclude by recalling what Gandhiji had espoused many years ago - with corporate profit should also come a proportionate philosophy of giving back to society. Some of the greatest businesspersons of our generation have already shown the way. Corporate entities cannot for long remain aloof from the society in which they operate. They need to set up mechanisms to ensure that they give back to society by transforming the quality of life around them. It is only when you give back, in the form of educational institutions, healthcare, social service or environmental protection that you will have shown visionary leadership and also have truly earned the real profit, that is the goodwill of society.

Thank You, and congratulations to all those who have received the awards today.

JAI HIND !