June 2011

“We are helping government to improve Governance”

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You have been pivotal in bringing Tally to this level. How has been your journey?

We have been in the business for more than 26 years now. We started this more  as a requirement for our in-house business. After starting, we realised that  many businesses are struggling with the same issues and problems. And that is where the thought got seeded of taking it to the market rather than an in-house  product. Today, we are addressing much larger scope of the typical business  faces. In the initial stages there were some versions and then elementary got  added, then some newer versions came with new features. In 2005-06 VAT  regime came in and statuary compliance became very important. That was the  time when we got compliance as part of the integrated product. It was a  challenge. Each state has their own format. Government industries were  learning and we were facing challenge in developing our product. This was the  when chances of your return get refused and you can’t take that.

Please shed  light on your key projects of Tally and its relevance in Indian context?

We are  focussing on small and medium enterprises (SMEs). In any developing economy SMEs fuel the growth. They are the biggest employers in any country. India is home to over 80-lakh SMEs, which contribute almost 40 percent to  industrial output. These are the potential customers we are targeting for our growth. We are looking at almost doubling our turnover in this fiscal. The main  drivers of our growth would be the growing SMEs, large mobile subscriber base  and an emerging retail sector. The company is expecting a 300 percent YoY  growth.

Having said that this doesn’t mean that large organisations don’t use Tally. I am  sure large enterprises are already using Tally accounting solutions but want  them to migrate to our enterprise versions. We are very confident about  bagging a huge chunk of marketshare even among the large enterprises and  government customers. A lot of government departments have started to use  Tally without any hesitation. Our pricing strategy is such that it should be  affordable and available to the common man.

Within the company, we have the  belief thatif the customers buy our software, they should be able to operate it  without any training. The person who is using my software should find it easy to  use. He need not to have any business training to use the software and this  goes for the government sector also. Software must be flexible enough to  imbibe what the government departments require. In the last couple of years, governance has become much more effective with the use of such softwares.

What benefits Tally.ERP 9 offers over other solutions?

Tally, the Indian business accounting and inventory management software,  popular with small and medium corporates, is growing beyond national  boundaries into neighboring geographies. This initiative has created a talent  pool of business software professionals with expertise in Tally.ERP 9, not just in  India but across the Middle- East, Africa, China & Asia- Pacific. This software  helps companies access information remotely either through the Internet or a  mobile phone even as it seeks to minimise maintenance costs. The product is  more efficient and easy to access. Here we need to type our query and SMS to  the required centre, which will revert with all details.

It is estimated that India  alone needs some 1.3 million business software trained manpower annually to  serve over 8 million IT–fuelled SMB units. The tremendous potential that Tally products have generated across industries has helped to empoweran upwardly- mobile SMB segment with aptly-skilled manpower.

It has lead to creation of highly-skilled and comprehensive business software  professionals for the SMB sectors in India and overseas.

Government organisations have adopted Tally.ERP 9 in flagship   programmes like NRHM and Sarva Shiksha Abhiyan and more, what has been your experience with them?

In National Rural Health Mission (NRHM) they had already solutions, but it was  not working. They get fund but the money was unutilised and underutilised. The  problem was compounded by untrained work force, poor infrastructure  and electricity. We have worked with district, block and PHC level. We are  progressing layer by layer. We are proud to say that NRHM is most effective run department in India.

Please share your solutions for diversified stake holders like government and educational institute?

Over a period of time, we have identified that, there are three niche areas where  we need to work, they are money, material and men. Funding is related  to money. A lot of inventry is to be handled i.e. material part. We should  contribute towards improving governance capability of the nation. We  approach them as a solution provider. We are helping government to improve the governance. In return, it gives to understand the behaviour of the  government. Second is skill development. Last year, we trained 50, 000 students.

There is huge requirement of Tally-trained people in the country. We  have 20,000 partners. There is another in-house demand which requires  trained people. India is one of the youngest countries, so we need to repair and prepare.

What are your future plans?

We have the youngest population; it can be boon or bane. If it is skilled they are  asset, if not they become a huge liability. In India, Below Poverty Line (BPL)  family are huge. Today, we’ll built capacity with the help of product partners, service partners, and education partners. In totality there are 20,000 partners  with Tally. They help in government requirement and industry requirements.

The company is banking on repeating the success it had with Tally ERP Gold in  the SME segment. As we have our legacy solutions, we understanding what an  Indian enterprise needs and so shall integrate CRM, SCM into our future Tally  ERP software editions.

What are the challenges you have been facing while bridging
the digital divide?

We don’t look challenges as challenges. We look it as opportunities. We feel that  we have still long way to go. India is huge place to operate. Last year, we  worked in north east with ministry of skill development. It’s like learning and delivering at the same time. Technology penetration and net access is  improving. We have long way to go in terms of infrastructure.

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