India’s diverse geography and socio-economic fabric create a unique canvas of opportunity for the corporate sector. The rural and underrepresented population, despite forming the majority chunk, has limited access to leadership positions in the corporate sector.
The parallel rise of industries and digital connectivity demands that the uncapped underrepresented talent of India be nurtured to transform local economies and contribute to national growth. Employable individuals in underserved regions remain largely available. Rural female labor force participation alone rose by nearly 70%, from 24.6% in 2017-18 to 41.5% in 2022-23 (Ministry of Statistics and Programme Implementation & National Sample Survey Office, 2024). The same report suggests that urban areas witnessed only a modest rise from 20.4% to 25.4% in the same period.
This blog will outline the factors mandating an increase in leadership representation from urban areas and the organizational benefits of doing so.
The Concern of Uneven Leadership Development
Despite India’s rapid economic growth, some underrepresented regions in the Northeast and tribal belts fall behind in leadership opportunities. To address this, companies and governments alike have made significant efforts to provide professional training and mentorship in these regions to create a more equitable distribution of leadership roles across India.
The results have been positive. The unemployment rate in rural areas decreased from 8.4% in 2017 to 4.4% in 2023, while in urban areas, it decreased from 9.5% to 7.0% within the same period. However, challenges remain, as unemployment in underserved areas may be more extreme due to skill mismatches and a lack of opportunities.
Thus, there still exists an uneven distribution of leadership and employment opportunities in underrepresented regions. The underserved struggle to find representation in non-agriculture industries, further widening the gap of underserved markets.
The Solution: Corporate-Led Interventions
C-suite executives have a pivotal role in bridging these gaps. They can empower underserved regions by creating inclusive frameworks that identify and nurture leadership talent.
Actionable strategies include:
Localized Leadership Development Programs
Indian companies can establish leadership training centers in these regions. Partnering with local universities and skill development platforms can be lucrative.
For instance, collaborations like the India-U.S. Defense Acceleration Ecosystem (INDUS-X) provide a model for industry-academia partnerships to upskill local talent. This will improve the educational infrastructure in underserved regions while also creating corporate-ready employees ready to take on leadership roles.
2. Digital Transformation for Inclusion
Embracing digital tools can democratize access to leadership resources. Training modules, mentorship programs, and webinars tailored for remote audiences can significantly reduce geographical and cultural barriers.
One significant barrier to the spread of digital transformation in underserved areas is the lack of increased penetration. Companies should make active efforts to promote the regional proliferation of such programs by investing in the digital infrastructure of select areas and partnering with internet providers as part of their CSR activities.
3. Leveraging Diversity for Innovation
Diverse teams are more likely to outperform their homogenous peers. Investing in leadership from underrepresented regions aligns with the broader interests of an organization. With this evidence, championing the efforts for more inclusivity will gain more traction.
Being benefit-oriented and highlighting the upsides of hiring from underrepresented regions will encourage more commitment from the stakeholders. Such a mindset is important for securing entry into the corporate world for workers from underserved areas, the first step to achieving leadership positions.
A Call to Action
There is a vast wealth of talent curtailed behind regions with no access to the corporate world. One way to maneuver past this concerning development is to build future leaders from these areas.
With leaders championing inclusivity, investing in training, and creating mentorship opportunities, there is a big possibility that millions could be empowered as early as the next decade, becoming active participants in the national economy.
References
Ministry of Statistics and Programme Implementation & National Sample Survey Office. (2024). Annual Report, Periodic Labor Force Survey (PLFS), 2023-24. In Ministry of Statistics and Programme Implementation & National Sample Survey Office
An organization run by AI is not a futuristic concept. Such technology is already a part of many workplaces and will continue to shape the labor market and HR. Here's how employers and employees can successfully manage generative AI and other AI-powered systems.