India is the fastest-growing trillion-dollar economy in the world and endeavors to boost economic growth through strengthening the Gross Domestic Product (GDP). The current situation, however, is raising concerns about the economic growth scenario shortly.
This blog attempts to explain economic growth and the role of education at the Indira Institute of Management Pune (IIMP) in fortifying managerial skills to successfully charter outgrowth curves despite the turbulence.
In simplest terms, Economic growth refers to an increase in aggregate production in an economy. This is measured by the change in the Gross Domestic Product (GDP) of a country, a representation of the total output of goods and services for an economy. For example, if a country has a GDP rate of 5.5 percent for the year, it means the country’s economic growth rose by 5.5 percent from a year earlier. This indicates an increase in incomes, thus, inspiring consumers to open up their wallets and buy more, which means a higher standard of living.
There are ways and means to generate economic growth. In economics, growth is commonly exhibited as a function of natural resources, physical capital/infrastructure, human capital, labor force, and technology.
An increase in the number of physical capital goods in the economy tends to increase labor productivity. The profits of the firm will increase. The value of the marginal product of labor will increase. New, better, and more tools mean that employees/labor can produce more output per period. Similarly, Equally, Improved technology/ digitalization allows the workforce to produce more output with the same stock of capital goods, by combining them in novel ways that are more productive.
Post Graduate Diploma in Management (PGDM) course at Indira Institute of Management, Pune (IIMP) ensures a good blend of technology and practical utility in its teaching/learning pedagogy to ensure PGDM course students are industry-ready and geared up to contribute accordingly to the economic growth. Post this current disrupted scenario; digital technology is going to be a major enabler. IIMP PGDM course content, creation delivery, and assessment all are interwoven across technology platforms and ensure that our students get maximum hands-on in use of digital tools, a platform for learning, analysis, and presentation. Specialization specific trends and concepts are familiarized using a case study, industry professional experience, international summits, and overseas education tours.
Keeping in mind that the most important technique to generate economic growth is through developing Human Capital. Human capital and economic growth have a strong correlation. Human capital refers to the knowledge, skill sets, that workforce/employees have in an economy. The skills provide economic value since a knowledgeable workforce can lead to increased productivity.
When we look at today’s economic conditions, there are inherent challenges. To quote, nowadays, the biggest of all the factors that have badly affected the careers of millions of individuals or human capital is economic downsizing. The jobs are cut from the establishments, and the fittest of all employees survive. If employees continuously learn new and better skills, the chances are that economic conditions won’t hurt them that badly as compared to other individuals. Learning the skills and upgrading oneself continuously is required.
In this initiative, the PGDM course at Indira Institute of Management, Pune (IIMP), is intended with varied competencies to build upon the innovativeness in the human capital fostering cutting-edge thinking and nurturing the dynamic agents to contribute for economic growth. PGDM course emphasizes on developing agile business leaders of tomorrow.
According to Schumpeter, the cyclical process in the business/establishment is almost exclusively the result of innovation fostered through the human capital. In simple terms, Schumpeter termed its “creative destruction,” Thus, the risk-taking human capital is the driving force of economic progress. They are the dynamic agents of change nurturing economic growth.
The Indian economy we believe will soon after is poised for manifold growth, and a talented pool of manpower will be the same driving force.
Largely, the development of a mindset to cope up with the changing environment is the key to success. PGDM course at Indira Institute of Management, Pune (IIMP) provides a clear edge for the same and prepares the students for the current competitive and challenging environment.
To know more about our AICTE approved PGDM program, please visit https://indiraiimp.edu.in/pgdm-admission/