Skip to main content

My Net-worth is in Millions Already!

WOULD YOU LIKE TO BE AMONG MILLIONAIRES? If you are in IT in India, perhaps you already are!

First, some bullet-points about the global and Indian IT industry that got me thinking:
  • Indian Software Industry is approx 66% of Worldwide Software Services
  • Top 6 Indian IT Companies makes of approx. 50% of total Indian IT Industry
  • In terms of sales among these top six (in descending order of reported figures for 2007 - TCS, Wipro, Infosys, Cognizant, Satyam, and HCL), the first three clocks almost 60%
Now, a Forrester Research forecast reports says that the total Global IT spend (IT industry potential) is projected to be at USD 1.55 trillion in 2007-08.

Wow! A quick back of an envelop analysis reveals some pretty interesting monetarily figures. (above: rather front of the envelop; the back was already taken by the groceries' list...) Enjoy:

Global IT industry at USD 1.55 tn (2007)
↓
66% of it is served by companies in India
↓
50% of which is with the top 6 players of India
i.e. 33% of global IT services business is with 6 Indian cos.
↓
About 7% of Global IT business is with Infosys
and
they have about 70k employee-base
↓
therefore, an Individual net-worth could be 7/70,000 = 0.00001%
↓
applying a multiplying factor* p @ p = 3.5
0.00001% x 3.5 = 0.000035%
↓
net-worth of 0.000035% of Global IT business
↓
my net-worth could be 0.000035% of USD 1.55 trillion
=> USD 1.55 tn x 0.00000035 = USD 5425000
=> approx USD 5.5 million

* To account for the disparity of "value-add" across various levels and roles in a given organization and in the industry at large, let me introduce a 'premium' factor p, which takes into account factors such as experience, longevity and loyalty, value-add-over-tradition, client-relationship-quotient, niche skills/domain knowledge, roles/management abilities, innovations/leadership demonstrations, reputation/recommendations/published papers/blogs etc., I-am-the-best-attitude, and alike.

As the base, a 'pure' and productive software engineer in Infosys would have her contributions to the industry measured at p = 1.

For my p factor, I have considered value 1 for 10 years of industry experience, 1 for effectively delivering in client-relationship and value creation (business development) roles, added 1 to it for venturing into and bringing back 'goodies' from unchartered territories (business development, and successful greenfield projects), and 0.5 for doing more than 3 years at Infosys (longevity and loyalty), which makes my p = 3.5.

And, in terms of the Global IT industry, that brings my current 'Professional' net-worth at USD 5.5 million!

Now, that 'Feels' good!

How much is your worth? Aren't you a millionaire yet!

[For relevant Forrester Research forecast for 2007-08, go here.]
[For the corresponding NASCOMM story of 2007, go here.]
[For Forbes.com report on Ambani's 'costliest home in the world', go here.]

Edit:
Go here for npr podcast putting "Value On Life" at USD 6.9 million in 2008, which is a depreciation of nearly 11% over past five years.
Labels:

Comments

Post a Comment

Popular posts from this blog

Change, Catch Words of Consulting II

Continuing from the previous post , following are a few more Catch Words of Consulting: Q x A = E : Q uality of Solution x A cceptance = E ffectiveness of Change. Q is good most of the time. The Key differentiator is Acceptance and Adaptability for a successful Change management. Passive Resistance: is nodding the head, but not actually going to participate in change; civil disobedience of a personal kind; dragging the feet with a smile. Planning vs Plans: D. Eisenhower once said, "In preparing for battle I have always found that plans are useless, but planning is indispensable." Planing is so important that PMBOK devotes the largest of its five process groups entirely on planning. See also: Related post: Change, and Catch Words of Consulting I
Post a Comment
Read more

The Pygmalion vs. The Golem Effect

There are two kinds of self-fulfilling prophecies. They are broadly defined by wiki as follows: The Pygmalion effect , or Rosenthal effect, is the phenomenon in which the greater the expectation placed upon people, the better they perform. On the other hand is the Golem effect , in which low expectations lead to a decrease in performance. In ancient Greek mythology, Pygmalion fell in love with one of his sculptures, which then came to life. The theme was in the main stray of many English literary works during the victorian era. One of which is George Bernard Shaw's play titled "Pygmalion" from which Rosenthal effect gets its name. In Shaw's play, the protagonist, a professor of phonetics Henry Higgins makes a bet that he can train a bedraggled Cockney flower girl, Eliza Doolittle, to pass for a duchess at an ambassador's garden party by teaching her to assume a veneer of gentility, the most important element of which, he believes, is impeccable speech. (The pl
3 comments
Read more

Clay Christensen: How Will You Measure Your Life?

A tribute to Clayton Christensen, the Harvard professor who  introduced "disruption" in his 1997 book  The Innovator's Dilemma , which, in turn, led  The Economist  to term him "the most influential management thinker of his time."  Even more influential  for some would be his 2012 co-authored book How Will You Measure Your Life? . [try here ]. Christensen  passed away in Boston on Jan 23, 2020.
Post a Comment
Read more