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Information Resources Management Association
Advancing the Concepts & Practices of Information Resources Management in Modern Organizations

Manufacturing vs. Services and the Role of Information Technology

Manufacturing vs. Services and the Role of Information Technology
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Author(s): Arnab Adhikari (Indian Institute of Management Ranchi, India) and Shromona Ganguly (Indian Institute of Management Calcutta, India & Reserve Bank of India, India)
Copyright: 2018
Pages: 14
Source title: Encyclopedia of Information Science and Technology, Fourth Edition
Source Author(s)/Editor(s): Mehdi Khosrow-Pour, D.B.A. (Information Resources Management Association, USA)
DOI: 10.4018/978-1-5225-2255-3.ch629


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The role of information technology is often debated in the context of economic development of the developing countries. In order to understand the role technology plays in the structural change of the economy, the chapter analyses the case of India, which, according to many researchers has experienced an “idiosyncratic” pattern of structural changes since its independence compared to many countries. This is evident from the fact that growth of Indian economy has been driven by the services sector rather than manufacturing which prompted many researches to conclude that India has leapfrogged the phase of industrialization. This chapter examines the impact of services-led growth and the role of Information Technology in India through a comparative analysis of manufacturing versus services in export performance and employment scenario. The study concludes that the India needs a more broad based policy of technology adoption, not only to sustain its services led growth but also to boost its manufacturing sector as well as make the economic development more inclusive.

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