Digitisation and Skill Development in Offset Projects

Digitization and Skill Development are intrinsically linked especially in context of large areas, wide spread sub-units, varied disciplines,  and target population coverage. 

 

Team Guru, www.team.guru,  aims to fill this need of the businesses.

‘Team Guru‘ creates interactive digital content utilizing explainer videos to make learning and information dissemination more effective. Guru has positioned itself as a ‘Content Digitization Company’  for various verticals with Web / Mobile platforms integrated with it, to facilitate sharing of the Content with target audience spread far and wide.

Svipja  Offset Practice and Skill Development in Defence and Aerospace Vertical utilizes services of Team Guru  for effective delivery and skill updation.

Mission of Our Defence and Aerospace Portals

It is to clarify that our effort is to aggregate Defence and Aerospace companies to create a credible database for use by the Industry for their supply chain management, and offsets.

We only endeavour to keep the Portal operational for use by the Industry/Units.

It is a Self-Service for the Companies/Units.

Brigadier Sukhwindar Singh(Retired) 
9350171232

Defence Offsets India Fund: A Way Forward

Offsets come in 'Cash and Kind'. Leakages in Offsets are  common.

It is prudent that we create Defence Offsets India Fund regulated by an Agency of the MoD on the Concept of Escrow Account to utilise it efficiently, and prevent any leakages. Each Offset Project could be assigned money from this Fund. All inflow /outgo from the Fund are properly accounted.

In such a concept Obligors and MoD (Buyers) work in close co-ordination.

Svipja 

Made in India, Make in India, FDI, Modern Technology Transfer in Defence and Offsets

Made in India; Make in India, FDI, and Modern Technology Transfer in Defence and Offsets

There have been wide ranging changes in policy on Defence Manufacturing in recent years including FDI support. FDI ultimately relates to Equity Holding in Indian Companies, sharing control with the Investor Partners. It would entail compromising ownership and related issues in our Defence Firms. Are we permitting such a condition?

Defence PSUs / Govt. Units, Vs, Private Sector Manufacturing is another issue. Farming Procurement Orders to the Private Sector is likely to remain in controversial discussions all the time...... a Major Policy Challenge! 

Presently most of the Defence Manufacturing and Control is with the Govt. Organisations. Its transition to the Private Sector has to be gradual. We must move to it Sub-System/System-based, and %-wise. Let us achieve 10% manufacturing of major systems for the Defence Forces in the Private Sector first in certain time frame on PPP Model, or some Other Model. Balance % of Systems selected for manufacturing in the Private Sector can be gradually assigned to them on seeing success of the first assignment. 

Made in India, Make in India then moves forward with FDI and Modern Technology coming from Abroad in certain cases.

We must retain our independence in all its facets in Defence.

Caution!

My Thoughts on Offset Management in the Indian Context Without Any Leakages

These Pts are listed on www.IndianDefenceIndustry.blogspot.com  Most of them have been addressed in DPP 20013 and 2016, but others , not yet done, need active consideration. Dates indicated are the Postings on my Blog; so being highlighted again.

03 Oct 2011

Please read below my Post on 'Defence Offsets India Fund' dt Jun 28, 2008.

We still feel that India should create a PE Fund to Develop Indian Defence Industry incl MSMEs for Inclusive Growth with Seed Funding by the MOD, & Cash out of Unabsorbed Offset Funds due from the Obligor(s). A difficult proposition, but must be discussed.

In addition, the following should be considered:

1. Banking of offsets beyond the present limit to 10 years and above in case of infrastructure,special and greenfield projects rendering value to the Indian Defence Industry.

2. FDI 26%, and extendable to 49% with approval. Anything beyond this has to be discouraged to retain our 'freedom'; commerce is not end all of everything.

3. Defence & Aerospace high-tech start-ups should get their rightful share of Offsets. Creation of long-term value addition should be seen in these companies.

These are some of the points that merit attention, especially in the backdrop that we may not get the desired technology thru the offset route.

04 May 2008


I feel that we should:

1. Permit offset banking. Will encourage Prime Contractors to invest in projects of relevance for India with long gestation period. And also Provide 'X Factor' of more than one in technologies relevant to India in short-term for credit.

2. Permit Indirect Offsets in Dual-Usage Sectors of strategic relevance to India.

3. ‘High-Tech, High-Worth, Knowledge-Based’ incubation are in Start-Ups & MSMEs. Would be more so in future. At least 40% of the offset funds be targeted for investment in such units. Large Enterprises tend to be ‘wasteful’. They must grow ‘organically’, or seek funds from the FIs.

4. ‘Defence Offsets India Fund’, if created, would help in better Control & Management ( of the Offset Fund).

5 . We must accept offsets both in ‘Cash & Kind'.

6. Prevent Leakages.

7. ‘Multi-Expertise’ Agency to manage Defence Offsets. 

8. See through 'lobbying'.

These thoughts could help.

We could fine-tune Indian Offset Policy as we gain experience ; at least every 2-3 years.

Brigadier (Retired) Sukhwindar Singh

MTech (IIT, Delhi), MSc (Defence Studies), PGDM/

MBA, Fellow IETE,  Member CII, IDSA, USI.

MD & CEO

Svipja Techno Consultants Pvt Ltd

B 19, Sector 60

Noida 201307

9350171232

www.svipja.com  

www.IndianDefenceIndustry.com / www.FreeMarketsDefence.com

Founder & Owner, an e-Hub of India Defence and Aerospace Ecosystem.