What a month! The US Presidential elections results, demonetization of 86% of India’s currency and finally the referendum results in Italy have sent shockwaves across three continents.
The world is dreading whether Donald Trump will actually do what he threatened to do during the campaigning phase. From an ITES perspective, if he cracks down on outsourcing, it will mean an immediate loss of business in the short term. American businesses that are saving by outsourcing, will see their profitability and even existence could come under threat. However, we are at a point where such a decision might actually give automation technologies just the fillip they need and actually replace low cost workers in developing countries with automated systems and robots. Not exactly what the POTUS elect had in mind!
Demonetization in India is in the same basket. While, the intentions are honorable, the results are not exactly what the Indian PM had in mind. Large scale money laundering in connivance with ‘bankers’ & ‘financial consultants’ have seen a large amount of money just going out of circulation causing a great loss to national productivity and a greater loss to the weaker sections of the society. On the upside, it will flush the existing counterfeit notes out of the system. However, unless follow up measures are taken to prevent the creation of ‘black money’ and harsh punishment to the guilty, we will be back to square one. The Rs. 2000/- currency note, certainly does not seem to be a step in the right direction!
The Italian referendum and the PM’s resignation has set tongues wagging about ‘Italeave’, on the lines of ‘Brexit’. If the concept of a common European market is threatened, the consequences could well have a global impact.
On the brighter side, USA might prosper in a pro American business environment, India, in its attempt to go cashless, will see a lot of penetration of technology and education and the Euro may emerge stronger. Galaxy will play its part in enabling its customers to automate processes and go cashless by providing technology solutions to achieve those ends.