"Necessity is the Mother of Invention and Innovation"

It was an old adage. But, I tweaked it to add "Innovation" and made it much more relevant to reflect the current time. I always wondered with it and asked myself - Was it really true saying? The answer was quite confusing and I used to have more opaqueness than clarity each time I revisited it.

I start with Europe. Most of the European countries were geographically small and lacked natural resources. When, industrialization started in England people started moving to cities and their urge to stay in city and be out of feudal system was their prime concern. In those days- there was 'necessity' to have dignified living. This was fueled by liberal religious thinking, which made the people to let their inquiring mind to work its fullest. Thus, started the birth of technological inventions.

The business modules which were created to accommodate these technological breakthroughs were fat -in a sense- less attention paid to getting MORE with Less. Colonies created to serve these business modules and it was fine till colonies were obedient. Over a period of time, they became unmanageable politically and turned uneconomical as a consequence of former. Thus, most of the colonies, by 1990's got their freedom.

These colonies, once rich in natural resources, were brought to pittance level. They were exploited to their root and left nothing. Most of these countries were now having more people to feed and less availability of people to work. Thus, they started thinking of doing MORE with less. Era of innovation has begun.

Time has taken full cycle. 'Necessity' is now more visible in these erstwhile colonial countries. This has started fueling more innovation than costly invention. Leaner business modules are created to serve the poor people. To add to this drive, these countries businesses come with no legacy. This legacy- I am speaking in terms of already created technology, organisational structure etc. For these countries canvas is quite white, of course, they can paint any picture they like.

With the recent financial crisis, and its impact on European countries, making me to feel that my hypothesis is correct- in most of the terms. 'Necessity' is present everywhere. But it is more forceful in India and China. Moreover, legacy of the European countries is not allowing them to innovate. Conversely, India and China are doing it-innovation- with more vengeance. So , they have lesser impact of the crisis.

I feel, India and China are going to get most of the benefit of this crisis. More European countries are going to loose political clout in world political sphere. Power is tilting towards India and China. Europe and America have to accommodate these new power houses.

Process driven industries, where economy of scale is at heart, are going to be in third world countries. India is acting both- as hub for process driven industries and base for knowledge creating industries- at the same time. However, I feel, western world can come back as a base for knowledge driven industries. Their strength lie in exporting knowledge to the world than anything else.

Still the picture is quite opaque and surrounded with thick cloud. Nothing can be said now. But one thing is sure- Now, my tweaked adage is becoming much more clearer to me. Hope you also feel the same!