Bangalore: India with its "innovative and resourceful manpower" can easily beat China in the game and easily notch up the Number 2 place "next only to the United States", a renowned Human Resources expert said.

Constant improvement in Human Resource management practices and innovation in technology are the drivers to the growth of an emerging economy like India, Dr John Sullivan, an internationally known HR expert and advisor to Fortune 500 Companies told reporters in Bangalore today (Oct 24, 2004).

The key to India's success will lie not in low-cost outsourcing but "high value market innovation in areas like branding and product development", Sullivan, who has served as Chief Talent Officer for Agilent Technologies.

Indian Companies must ensure that they hire the "best talent in the world" for key jobs and constantly push them to innovate and give the best while "bad performers must be shown the door", he said.

One must reward innovation and salaries must commensurate with the performance of the individual, which should be reviewed every month, he stressed.

While investment in education is needed for better HR, "but that is not enough, it is a constant learning process which goes beyond the university", Sullivan said.

Complacency must never be allowed to creep in and "you must settle for nothing but the best through innovative practices", he said.

"Innovation and best HR management practices is what makes the United States stand out from the rest", he said.

Sullivan, who is visiting India for the first time, described it as the "best outsourcing place in the world" and said he was "very impressed with the innovative and inquisitive spirit of Bangaloreans".

An HR Guru, Sullivan has carved a niche for himself with his book "Rethinking Strategic HR- HR's Role in Building a Performance Culture".