1 Profiting from people management practices: an introduction
This chapter highlights the differences that exist between resources and competencies needed in an IT product development environment in the context of high-technology semiconductor market as compared to the IT software services market. Strategic management scholars have long highlighted the importance of industry structure and a firms internal capabilities, competencies and resources for achieving sustained firm growth and performance. The resource-based view highlights the importance of a firm's internal resources and capabilities. The knowledge-based view argues that firms need to invest in acquiring, developing, maintaining and renewing key knowledge that can potentially be a source of competitive advantage for firms. The chapter demonstrates through the author's extensive engagement within the PR&D sub-sector of the Indian IT industry, innovative human resource management and leadership designs relevant for exploring and exploiting human capital advantages in the Indian IT industry. Product development by design is a long and arduous process that goes through multiple changes before fruition.