Sonu Iyer: Welcome to another episode of EY India Insights podcast series celebrating exceptional women. I am Sonu Iyer, Partner and Executive Sponsor of Diversity Equity Inclusiveness at EY India. It is my privilege to host Radha Basu, founder and CEO of I-Merit, a global, technology-led, gender-diverse AI solutions company.
I-Merit is a leader in data enrichment and annotation services. We will learn more about I-Merit as we speak with Radha. Prior to I-Merit, Radha successfully grew Hewlett Packard Electronics Software division into a $1.2 billion business in India. She is also the chairman and CEO of support.com, which she took public with an IPO on the NASDAQ. A truly remarkable woman featured in our podcast series today.
Apart from her corporate achievements, Radha is known for her advocacy for diversity and inclusion in the tech industry. She is a strong supporter of gender equality and has actively backed initiatives to enhance the presence of women in tech.
Radha and her husband co-founded the Anudip Foundation, a nonprofit dedicated to providing IT training and job opportunities for disadvantaged youth and women. Tune in to hear Radha's inspiring journey of innovation, inclusion, and impact.
Radha, welcome to EY India Insights podcast series.
Radha Ramaswamy Basu: Thank you, Sonu. So delighted to be speaking with you.
Sonu Iyer: okay, let us get started.
Radha, please share with our listeners what really sparked the idea of I-Merit and how have you seen this impact unfold in the tech industry?
Radha Ramaswamy Basu: Yes, let me go back several years. There was a time, which most people today do not realize when there was no IT industry in India. In the late 1980s, nobody believed that IT could thrive in India. However, the IT industry sparked an economic revolution in India, transforming the country.
I was very involved in this transformation, Sonu, because I started Hewlett Packard in India. HP was one of the first international tech companies to set up a software center in Bangalore in the late 1980s, a then sleepy town. This revolution created a thriving middle class and positively impacted many young people in metropolitan areas. However, it also left behind many young people from underserved and under-resourced backgrounds, particularly young women and youth.
We examined how to bring wealth creation to these hundreds of millions of young people. We conducted a comprehensive study on the potential of digital jobs for young people from these backgrounds. This was the genesis of the Anudip Foundation. At that time, I had taken a company public on Nasdaq and sold its enterprise software division. My husband, who was at Cisco, and I decided to pursue this initiative.
Later, I had the opportunity to work with Peter, a BTR founder of eBay, and discussed the future of work with him. This conversation inspired us to demonstrate how digital jobs could transform the lives of young people from under-resourced backgrounds. This led to the creation of I-Merit, a unique for-profit technology enterprise focused on entrepreneurship and social impact. We were fortunate to be at the forefront of the AI revolution as it began to unfold, which helped shape I-Merit.
We started with 38 people ten years ago and recently celebrated our 10th anniversary. The creation of I-Merit was driven by the goal of building a global technology company with an inclusive workforce. This is the fundamental belief and DNA of I-Merit and how to bring more people into the workforce and trust in the potential of these young individuals.
Sonu Iyer: Yes, and it is a great story. I was just thinking, as you were talking about how decades ago, Bangalore was a sleepy town. It is no longer sleepy, especially with you being at the cusp of the AI revolution. The creation of a unique entrepreneurial venture that is both for profit and impactful, while also being conscious of its social purpose and mission, is truly remarkable.
Many congratulations to you and your husband for your thinking through this.
Radha Ramaswamy Basu: Thank you, Sonu.
Sonu Iyer: Radha, I did my research on I-Merit in preparation for this podcast. What stands out to me about I-Merit is how inclusive the organization is. Almost 80% of employees come from marginalized backgrounds, and 52% of the workforce is women. You've clearly got your approach right, with some mantra, strategy, or perhaps multiple strategies that you employed to achieve your current success at I-Merit. Could you share some of the strategies you used to build such a successful business while staying true to the vision, mission, and purpose of the organization?
Radha Ramaswamy Basu: Yes, this has been our approach from the beginning. If you speak with people about I-Merit, you’ll hear that it is a company of very young individuals. The average age is 24.8, which might be surprising given my appearance. But it is true—24.8. When asked about the guiding principle at the core of I-Merit, we don’t talk in those terms. Instead, we follow a mantra: having two feet firmly planted on the ground. One foot represents a maniacal focus on clients and building the business, aiming for global competitiveness in AI. The other foot is equally important, symbolizing the creation of a global business with an inclusive workforce tied together through strong investments in technology, platforms, and products. This philosophy is the essence of I-Merit from day one.
We don’t question how to achieve diversity and inclusion; it is ingrained in the company’s DNA and is a daily decision. Just as you wouldn’t question which leg is more important, business success drives inclusion, and an inclusive workforce drives business success. This approach is reflected in our retention rates—92% overall, and even higher among women—exceptional in the technology sector, especially considering the challenges of the Great Resignation and Covid.
Additionally, we aim for an inclusive employee base that participates in the company’s equity. When I founded the company, we allocated 26% of my equity into a trust for the inclusive employee base, many of whom had never had equity participation before. During our B round, we did a small secondary sale, and the first part of that sale went into the trust, where shares were exchanged for cash, recognizing and reinforcing the value of inclusion.
At I-Merit, there is a culture of equality and mutual respect, devoid of hierarchy. Employees address me as "Di," which means older sister in Tamil, showing a familial respect rather than a hierarchical one. I’ll share a touching anecdote: A young lady, who advanced to team lead in autonomous vehicles and LIDAR work, sent me a G-chat from the delivery room after having her baby. She said, "Di, here is a picture of my precious baby. You and my mother are the first to see this." This gesture deeply moved me, not because it is part of our culture to do such things, but because it exemplifies the respect and equality we foster, valuing people for their abilities rather than their pedigrees and degrees.
This connection with our people is the most precious aspect of our culture.
Sonu Iyer: Thank you, Radha, for the wonderful tips for those interested. The importance of reward, recognition, and making employees part of your equity base, along with fostering a culture of mutual respect and a lack of hierarchy, are key points. The story and anecdote you shared clearly exemplify the culture of your organization. You are truly walking the talk, embodying the role of Akka or Di, as we say in India. Very impressive.
Radha, I want to know more about the 52% of your workforce being women, which is quite unusual. You also mentioned that the attrition rate for women in your organization is less than 10%. What initiatives are you implementing to drive innovation and growth specifically for women in I-Merit, particularly in tech-related roles? Could you share some specific initiatives that have helped women in I-Merit thrive, succeed, and stay with the organization?
Radha Ramaswamy Basu: Sure. If you're okay with it, let me start by giving a broader context of our inclusive workforce, and then I'll focus on women. Our mission and growth pathway are integral to this discussion. We have just over 5,000 employees globally, whom we call I-Meriters, with ten centers worldwide: eight in India, one in Bhutan, and one in New Orleans, USA, with plans for another center in the US, likely Pittsburgh. Notably, 52% of our workforce is women, and around 70%—sometimes as high as 80%—are from tier two or three towns in India and the US. This creates a workforce that is authentic, grounded, inclusive, and eager to learn.
People often ask how we achieve a 50-50 gender balance in tech. My answer is simple: the world is 50-50, so why shouldn’t the tech industry reflect that? Inclusivity is not just a concept for us; it is fundamental to crafting responsible AI solutions that address global challenges.
Let me share an example of our work with women. We have an all-women center in Metiabruz, eastern India, about two hours from Calcutta. Initially, we partnered with Anudip to provide young women with skills to secure jobs without leaving their community. This began about ten years ago. We brought digital jobs to them, found them eager to learn, and exceptionally capable. With training from Microsoft, they excelled in computer vision and became a certified global center of excellence, working on advanced projects like multi-sensor fusion, 3D LiDAR, and surgical robots.
Working within the community was crucial. We created a safe, acceptable workplace for women, which was essential for their participation. An anecdote: as our female employees naturally grew , many stayed with us for eight to nine years. On our 10th anniversary, we recognized 142 out of 175 original employees, over 60% of whom were women. Many have since married and had children. In India, it is often difficult for married women to return to full-time jobs, especially in empowered roles where they earn 5-15 times their family income.
To support them, we introduced flexible work arrangements, including working from home. One popular initiative was "mother-in-law day," where employees could bring their mothers-in-law to work, strengthening family support. We also extended maternity leave up to six months. Remarkably, most women returned to work within two months.
During COVID, we ensured consistent pay and provided broadband connections to remote communities. We trained women to set up workstations and manage flexible hours, often working near their kitchens. Our continuous upskilling initiatives, like the GenAI Academy, are central to our mission, providing long-term career development.
The impact is profound. Women at I-Merit often say, "I have a voice." This empowerment transforms their lives, families, and communities, integrating them into a global workforce. I got very passionate and made it a very long answer, so please bear with me
Sonu Iyer: I love the passion, and I am completely aligned with it. I have a voice, and it is so simple yet so powerful. Thank you for discussing Mother-in-Law Day and how empowering it is for both mothers and mothers-in-law who support women to stay on course in their careers.
These are great stories, and I hope this message comes through loud and clear. I know we've been kind of drumming the tables and talking about the fact that demographically, 50% of the world's population is women, yet we are nowhere close to seeing that reflected in our workplaces. And the statistic that always gets my blood pressure going is the one that the World Economic Forum puts out about the number of years it will take for the gender gap to close. In the latest report, the 2023 World Economic Forum, if I recall correctly, said it would take 131 years for the gender gap to close if we continue at this pace.
Radha Ramaswamy Basu: So that is it. We cannot continue to do it in this space. Right, Sonu? Absolutely. You're right.
Sonu Iyer: And it is entrepreneurs like you are the ones making the difference, and thank you for that.
Radha Ramaswamy Basu: I tell you, it is the women. It is all our people in the company who are making the difference. If you see how sassy and on top of things they are, continuously learning? I'll tell you another thing. So yes, they put out statistics and things, and I'm a big fighter of this. I'm a fighter to say that we cannot talk about needing even.
And I'm sorry to say this because I know your role, but even saying that we need a diversity office, so we need to focus on equity. I believe companies should be designed to be 50-50, to be inclusive because that is the best way. If we did not do that, you would not get cell phones out to everybody, everywhere. It is ubiquitous, right?
People and AI to be ubiquitous and the only way AI is going to be ubiquitous is if we have AI applications that are in societal applications. If the people working in AI are equal, there is gender equity and there are young people from all kinds of backgrounds. So it is got to be the people who are working in it, the people it impacts, and the applications that impact all of these things make for inclusive and responsible AI, and that is how AI is going to become ubiquitous. And so to me, that makes the best business sense. And sometimes, like if you can have retention at 92% and 90%, and that is one of the things that every tech CEO talks about, how do I retain my people? Well, this is one of the ways.
Sonu Iyer: Radha, I think you would be reading my mind, if it is possible, sitting such a long distance away. But I was going to kind of get into AI. So this is a nice segway. You have already started to talk about artificial intelligence. So my question is as a trendsetter, as someone who saw it coming many years ago. So how do you see AI shaping up or the whole machine learning, shaping the landscape away from a particular focus that you have on employability of youth?
Because every time people have spoken about AI, they've talked about disruption and people losing jobs. So how is that going to change that whole employability landscape and any other, trends in the tech industry that you want to share? I'd love to hear that.
Radha Ramaswamy Basu: I believe this question is very important, not just a simple query. It is a strategy that requires attention, particularly regarding how machine learning and AI are shaping our landscape. Firstly, the applications of AI span all segments of society, from farms to space exploration, from border security to healthcare, from land rights to climate change mitigation. In terms of job creation, especially in the early stages of AI technology adoption, it is just the beginning, despite the hype surrounding it, especially with GenAI; corporate and enterprise AI are still in their infancy.
AI use cases are ubiquitous across various sectors. For instance, in precision agriculture, we collaborate with clients at the forefront, employing sensors and algorithms to detect crop diseases in small areas before they spread, thereby enhancing food security.
This highlights the importance of acquiring 21st-century skill sets such as critical thinking, curiosity, logical reasoning, and domain specialization. Those capable of translating domain problems into AI solutions will thrive. AI learning is different from traditional coding; it involves machines learning by example, emphasizing the fusion of robotic and human intelligence.
Indeed, AI is transforming jobs, eliminating some while creating new ones. Prompt engineering, where individuals prompt and provide feedback to intelligent systems, is crucial for reinforcement learning. The future of AI jobs lies in a trifecta of technology, talent, and technique, with human feedback being transformative.
These new AI jobs are not limited to elite institutions; they are open to a diverse pool of individuals who can be trained in AI skills. In India, this extends beyond metropolitan areas to embrace generalists from various backgrounds capable of navigating complex technological intersections.
Our GenAI Academy has trained over 1200 individuals, creating a diverse workforce of generalists, analysts, specialists, and experts. The potential of AI to create jobs in India is exciting, particularly with domain specialization and personalized applications. However, it requires significant effort in terms of upskilling and creating an inclusive workforce.
During the pandemic, we created over 2000 jobs, underscoring the potential of AI in job creation. I am incredibly excited about the possibilities.
Sonu Iyer: Wow, very, very inspirational. And I think maybe a lot of rethinking for the people who think that this is just a disruptor. I think the promise of opportunity seems much larger. And of course, people have to reskill and upskill and do the right thing to leverage the opportunity AI is going to create or is already creating.
Radha, I know, I'm conscious of time. I have you for some time, maybe a couple more questions?
Radha Ramaswamy Basu: Yeah, sure. I wanted to say one more thing. Sonu, I attended the Stanford AI Conclave about two weeks ago, and it was just really interesting to listen to. There were venture capitalists, of course, as well as tech company CEOs and CFOs. It was more of an enclave than a huge conference; it had a very nice dialog. There were many panels discussing AI in healthcare, the inclusivity of AI in healthcare, and how it can be used for different purposes. As we listened to practitioners, technologists, services companies, venture capitalists, and professors, it really came together in my mind that AI can create a lot of jobs, but inclusivity is also about AI in inclusive and societal applications. I think that is where responsible AI is exciting for India.
Sonu Iyer: Thank you, Radha. If you look back on your journey, what are you most proud of? I can think of hundreds of things, even based on this interaction, that I would be proud of you for. But when you think of your career journey and your life as such, what is it that makes you most proud?
Radha Ramaswamy Basu: Oh my gosh, what a question. What I am most proud of? Oh good grief. I got my masters and , I did engineer in Chennai. I came to the US to do my masters, all by myself. I did not know a single soul in the U.S and after that I joined HP labs and at that time, David Packard, David Packard and Bill Hewlett actually created Silicon Valley. Right?
And David Packard was still roaming the halls management side, wandering around, if you remember that, and he was the CEO and, I had I was going through a leadership, they, they put me to a leadership program and they said, well, you can pick whoever you or you want to have been your leadership leader, mentor.
And I think sometimes when you don't know how crazy you what you're asking for, it, and some of our young people are like that. I walked into David Packard's office. It was, open offices, and I said, David, I've been asked to do this, and I know you're very busy, but would you be my leadership mentor?
And he looked at me and he is like, he is at least a foot taller than me. He stood up and he said, I've never had anybody ask me this. And you just wandered in here and you asked me this. Great. I will be your mentor and had reason. I'm bringing this up is in his last general manager's meeting.
David was clearing then, he was really slow. It was wonderful. I happened to be sitting next to him at lunch, and he was asked - David was whatever, 80 something. He had retired. So, David, what is the most what is the proudest moment in your illustrious career? And he looked up and he said, proudest moment. You think it is all behind me?
I've still mountains to climb in front of me. I'll never forget that. And so when you asked me which you. What are you most proud of? I don't know if I can answer it that way, but I can say this what I believe in and proud of. I believe in always giving 100% to whatever I'm involved in and never accepting no for an answer, especially if something has not been done before.
That is one of the most exciting big that I'm not. Well, let us go do it. And seeing the effect of these efforts on so many young people, I tell you that it is, I don't think it is the proudest moment, but it definitely is at being at that 10th anniversary and seeing all of these people in all these different centers.
This a global that is what technology does, was a global celebration in all these countries as well. And it really is just feeling that whatever it is I'm doing, give it to you 100%. And I was even asked this, somebody reminded me of that tie that the TiEcon biggest entrepreneurship conference. Just last week, I was sitting at a table when one lady who is a VC, well-known VC, came up to me and said, you wouldn't remember me. You may not, but in 2004, you gave a talk at her company was then Intel. She said that and we asked you the question about what is the magic of, you know, how do you, how do you work and how do you balance work and home? And you said every morning, every step I take, the balance has to be thought through.
And sometimes it is the most important time for my child and sometimes for, it is the most important thing for it is you are doing something for client and you have to balance it. And she said that really stuck with me forever. And I'm sharing that because when I come across young people, she is a very successful, VC now, I've been come across people who you've had, a relationship with and you see them blossoming. Oh my gosh, it is the most wonderful feeling.
Sonu Iyer: Thank you so much for Radha sharing that. Finally, based on your life, work experience, impactful personality, and interactions, what is that one piece of wisdom you would like to pass on to the next generation of social entrepreneurs?
Radha Ramaswamy Basu: Oh, Sonu, the questions you ask?
Sonu Iyer: So I promise this is the last one
Radha Ramaswamy Basu: No, that is not what I'm laughing at. Wisdom, crowds, and things like that aren't really my style. I believe we tend to think of it differently. Okay, I talked about giving 100%, never expecting nothing. And I think I would like to say to entrepreneurs, the companies of the future, the real companies, the long-term, sustainable, high-growth global companies of the future will combine technology, innovation, and impact.
These three will go together in everything we do. Whether the impact is through an inclusive workforce, societal applications, or ensuring all your technologies contribute to reducing carbon footprints. If you design for zero carbon footprints, it could be a variety of different things. But when you think of technology and building unicorns, the technology, the innovation, and the societal applications of it, to me, in the future, a unicorn, which, by the way, is not something that I don't think of unicorns as one-horned animals, but to me, it is about how can you have the most massive impact, along with having both feet planted firmly and, along with great business strength and growth.
So, I would say, design business success with societal impact from the beginning of a company, then I think all our technologies will be ubiquitous. We will create jobs and be very successful in building very successful long-term companies.
Sonu Iyer: Thank you. Radha, that was really great. I loved the time together. And for the listeners, I think that was very impressive, very passionate, super impactful, bold, and brave. And I can say that because I'm seeing her, the very beautiful Radha Basu, and I'm sure many, many people will be inspired by this conversation.
And as you progress through your career journey, you have ignited many sparks and kindled many careers, and many women have blossomed under your guidance and inspiration. And I am at a loss for words. What a personality! Thank you so much for making the time to be a part of this podcast, and I'm sure we'll meet again.
Radha Ramaswamy Basu: Thank you, and I look forward to meeting you in person to discuss technology. I hope to meet you in person sometime soon.
Sonu Iyer: And that is a wrap on yet another episode of EY India Insights podcast special series celebrating remarkable women. Hope you enjoyed the episode today. Stay tuned for more conversations that inspire. Thank you.
