Prioritising factors for manufacturing growth in India: an analytic network process approach

Abstract

The purpose of the paper has been to analyse the role, the impact and setting up right priorities of the 13 growth factors involved in accelerating India's manufacturing sector growth. An analytic network process (ANP) framework has been developed with a goal of accelerating Indian manufacturing growth which is influenced by eight key-drivers and five manufacturing industry-segments. In order to find the comparative weights of the factors, a questionnaire-based survey was carried out on 42 experts from the top-management of industry, consultancy and academia. In the current low manufacturing growth rate environment, the Indian manufacturing industry segments needing high priority are: resource-intensive, global technology and innovation and global innovation for local-market. The vital-few five key-drivers for fast-tracking manufacturing growth are: good-governance, technology-deployment, core-infrastructure, investment and financing and worker-skill. The application of ANP approach has provided some useful insights to the policy-makers on setting the priorities for the Indian manufacturing strategy.