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Institute for Development Policy and Management
Part of the School of Environment and Development (SED)

IDPM Working papers

This Working Paper is part of the Development Informatics series

Human Resource Development Policy in the Context of Software Exports: Case Evidence from Costa Rica

Brian Nicholson & Sundeep Sahay

Abstract

Software industry development is acknowledged as an important engine of economic growth for many developing countries. The role of national policy has been identified as a catalyst to software industry development and, more specifically, to software export development. Software development is a service that is both labour- and skill-intensive. Thus an important aspect of related policy is concerned with provision of appropriately educated and trained human resources (HR) in sufficient quantity. This paper provides an analysis of human resource issues facing policymakers in developing countries engaged in software export policy formulation. The complexities are highlighted through the case study of Costa Rica where there is an ongoing strategic planning effort to increase software exports. Action research work in Costa Rica based on a model of developing both "high spectrum" and "low spectrum" software skills shows there are constraints to both HR quantity and quality. Some ways forward for early-stage software exporters like Costa Rica are relatively easy to prescribe and implement. Others, though, will be harder to achieve since they are contextually constrained by both formal and informal institutions.

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