In an exclusive interaction with DQ Channels, Partha Deka – Senior Vice President – of NTT Data shared his insights on the changing dynamics of the IT and BPO Industry, transformation through GenAI, and the Global innovation challenge by NTT data and more.
1. With over 25 years of experience, What changes have you observed in the IT and BPO industry?
Through my 20+ years of experience, I've observed notable changes in the IT and BPO industry. The most rapid shift is the increased focus emphasis on innovation and technology with faster adoption of innovative solutions and tools. At NTT DATA, we have been at the forefront of this change with substantial investments, boasting $3.6 billion in R&D, a team of 5000 R&D professionals, and an impressive portfolio of 18,000 patents and 1300 technical papers.
The industry has undergone a transformative journey towards automation and digitalization. In my experience across global digital operations, spanning applications, BPO, infrastructure, and dynamic workplace services, I've seen a growing reliance on automation technologies to enhance efficiency and streamline processes.
Additionally, there has been a noteworthy evolution in client expectations. Businesses are now seeking comprehensive solutions that not only meet their immediate needs but also tie into the strategic organizational and stakeholder goals. This shift has led to a more collaborative and consultative approach to delivering IT and BPO services.
Furthermore, the landscape has been shaped by emerging technologies. The industry is continuously adapting to advancements such as artificial intelligence, machine learning, and data analytics. The most notable of late is the pace at which the industry is exploring the possibilities of Generative AI. These technologies are not only optimizing existing processes but also opening new possibilities for innovation and growth.
2. How Generative AI is transforming industries all over the world? How is NTT data optimizing its resources through the GenAI?
Generative AI has emerged as a transformative force, democratizing access to AI capabilities across industries worldwide. This phenomenon parallels the impact of browsers on internet accessibility, ushering in a new era of innovation while posing challenges in areas such as copyright, privacy, ethics, security, and biases. NTT DATA recognizes the significance of addressing these challenges and has strategically implemented governance policies focused on information security, privacy, and compliance.
The mass adoption of AI will create a dynamic landscape where businesses, institutions, and individuals can collaboratively harness its potential. This widespread use, however, brings forth challenges that will necessitate clear governance, data security, and compliance structures. NTT DATA acknowledges the ethical considerations inherent in AI adoption and actively contributes to defining regulations that strike a delicate balance between fostering innovation and safeguarding against misuse.
Our commitment to responsible AI is evident in the frameworks guiding applications like image recognition, which encompasses tasks such as counting items, identifying object characteristics, and verifying compliance with safety measures like wearing masks or hard hats (PPE). These frameworks prioritize ethical and secure AI use, aligning with the evolving nature of AI regulations.
It is crucial to acknowledge that AI adoption can outpace regulatory frameworks if these are not put in place at a quicker pace. In that event, the industry can be faced with the dangers of AI. We are seeing some of these impacts happening today. NTT DATA advocates for a collaborative approach, emphasizing the need for businesses and international governments to work together in shaping regulations. This collaboration is essential for ensuring responsible AI use that maximizes its potential while upholding ethical standards and safeguarding societal well-being.
3. How does NTT DATA's sustained emphasis on innovation and emerging technologies influence the company's approach to delivering applications to clients, and what role does it play in shaping the business landscape?
Innovation is at the heart of NTT DATA's strategy, and it profoundly influences how we approach delivering applications to clients, thereby shaping the business landscape. Our commitment to innovation, encapsulated in the Calculus of Innovation, has been a driving force behind our sustained business growth.
The Calculus of Innovation is a unique formula that intertwines knowledge, applied innovation, productivity, and overall organizational development. It emphasizes the continuous investment in innovation, a principle exemplified by the success of our Global Innovation Challenge. Through this initiative, we gain key insights into proactive innovation to meet evolving customer needs and strike a healthy equilibrium between innovation and operational efficiency.
One of the crucial aspects is recognizing the interconnectedness of efficiency and effectiveness. We view innovation not only as a means of introducing groundbreaking ideas but also as a catalyst for operational improvements. It's about delivering applications that are not just innovative but also enhance the overall efficiency and effectiveness of our operational processes.
Importantly, we see innovation as a collective goal involving the entire organization. This inclusive approach ensures that every part of NTT DATA is actively engaged in contributing to and benefiting from the innovation process, fostering a culture of creativity and collaboration.
To maintain a continuous focus on innovation, we follow strategic guidelines, including fostering a culture of creativity, investing in R&D talent and resources, encouraging cross-functional collaboration, implementing structured innovation programs, embracing flexibility, listening to customer feedback, and measuring and celebrating success. These strategies ensure that innovation is not just a buzzword but an integral and ongoing part of our organizational DNA, contributing to our growth and success in the dynamic landscape of the IT industry.
As we look ahead to the next stage of the Global Ideation Challenge, exploring ideas from Generative AI to Automation and Green Goals, our commitment to furthering innovation remains unwavering. We aim to deliver applications that are not only technologically advanced but also aligned with the latest industry trends and the evolving expectations of our clients.
4. Could you elaborate on the significance of NTT DATA's Global Innovation Challenge? How does this platform contribute to identifying futuristic and original ideas, and in what ways do these ideas have the potential to enhance productivity for both the company and its clients?
The significance of NTT DATA's Global Innovation Challenge lies in its distinctive approach to fostering open innovation and addressing real-world problems faced by our diverse customer base across 45 countries. Unlike other industry programs, this international contest stands out by inviting creative minds from around the world to explore novel solutions and revolutionize problem-solving approaches.
The primary objective of the challenge is to uncover innovative solutions to genuine issues faced by our customers, emphasizing a 'win-win' situation through open innovation. NTT DATA values collaboration with a wide range of technology partners, including start-ups that may be overlooked for opportunities, recognizing that this collaboration is essential for creating new business opportunities.
The challenge encompasses 26 categories, with a diverse range of themes such as Generative AI, Automation, Productivity Accelerator, Digital Transformation, Revenue Generation, and Sustainability. Notably, Generative AI emerged as a leading category in terms of participation, reflecting the global interest and engagement in this transformative technology.
The diversity of categories underscores the broad spectrum of innovative ideas and solutions that the Global Innovation Challenge attracts from across the globe. This inclusivity ensures that the program captures a wide array of perspectives and approaches, fostering a rich pool of ideas.
In terms of participation, India notably secured the top spot in idea submissions, accounting for almost 50% of the total. This highlights the active engagement and innovative spirit within the Indian tech community. Other actively participating nations include the United States, United Kingdom, Mexico, Ireland, Philippines among others, creating a truly global and collaborative environment.
The potential of the ideas generated through the Global Innovation Challenge is immense. By tapping into the collective creativity of participants worldwide, NTT DATA aims to identify futuristic and original solutions that have the power to enhance productivity for both the company and its clients. These ideas, spanning diverse categories, contribute to the ongoing evolution of technology, ensuring that NTT DATA remains at the forefront of innovation in the global IT landscape.
5. In the context of NTT DATA's commitment to innovation, can you share examples of how the company has successfully implemented ideas originating from the Global Innovation Challenge to bring about positive changes in productivity or business operations?
NTT DATA's commitment to innovation is exemplified by the successful implementation of ideas originating from the Global Innovation Challenge, with a particular emphasis on the Generative AI category. This focus underscores the company's recognition of the importance of applied innovation for sustained growth, aligning with the Calculus of Innovation.
The selection criteria for ideas from the Global Innovation Challenge were meticulous, emphasizing key factors such as a strong technological component, substantial productivity improvement, a feasible 3-4 month implementation timeline, and suitability for implementation within NTT DATA’s context. The rigorous evaluation process aimed to identify ideas that not only demonstrated innovation but also held the potential for practical and impactful application.
Having evaluated 530 ideas from 13 countries, the process revealed a dynamic understanding of ever-evolving global customer needs. This insight aligns with NTT DATA's commitment to innovation, emphasizing the importance of adapting to changing client expectations and industry dynamics.
While specific examples of implemented ideas may vary, the overarching focus is on balancing innovation with productivity enhancement, efficiency improvement, and business transformations through sustainable solutions. The ideas span from simple functional or process improvements to high-value business impact ideas that can lead to an impactful gain in market share for our clients. The success stories arising from the implementation of ideas originating from the Global Innovation Challenge serve as concrete examples of NTT DATA's commitment to staying at the forefront of technological advancements and leveraging innovation for positive changes in business operations.
By actively engaging with and implementing ideas from the Global Innovation Challenge, NTT DATA not only demonstrates its dedication to applied innovation but also showcases its agility in responding to evolving customer needs. These real-world examples highlight how the company translates innovative concepts into tangible solutions that drive positive changes in its business operations.