This document presents on the topic of the Human Development Index (HDI). It defines human development as the overall growth and quality of life for people in a country, as measured by the HDI. The HDI is a statistic composite index that considers life expectancy, education, and income to rank countries into four tiers of human development. The document discusses the pillars of human development, how the HDI is calculated, India's ranking in the HDI, advantages of using the HDI, and how the HDI relates to sustainability.

1. PRESENTATION ON THE TOPIC- HUMAN DEVELOPMENT INDEX
(HDI)
SUBJECT- MANAGING FOR SUSTAINABILITY
SUBMITTEDTO-
DR.AJAI PRAKASH SIR
PRESENTED BY-
PRIYANSHI SRIVASTAVA
ROLL NO- 200012135198
MBA(FINANCE)
SEMESTER-4TH
DEPARTMENT OF BUSINESS ADMINISTRATION (LUMBA)
UNIVERSITY OF LUCKNOW

2. HUMAN DEVELOPMENT
• Refers to overall growth of the people in a country.
• The quality of life people enjoy in a country, the opportunities and
freedom they have are important aspects of human development.
• Dr. Haq described it as a development that enlarges people’s choices
and improves their lives.
• Is measured by the human development index(HDI) formulated by the
UNDP.
• Human Development Report is an annual human development
index report published by the United Nations Development
Programme (UNDP).

3. PILLARS OF HUMAN DEVELOPMENT
• Six pillars of human development include-
1. Equity
2. Sustainability
3. Productivity
4. Empowerment
5. Cooperation
6. Security

4. HUMAN DEVELOPMENT INDEX
• Devised and launched by Pakistani economist Mahbub ul Haq.
• Human development index was created to emphasize that people
and their capabilities should be the ultimate criteria for assessing
the development.
• It is a statistic composite index of life expectancy, education and per
capita income.
• It is used to rank countries into four tiers of human development.
• Origins of the HDI are found in the annual Human Development
Reports produced by the Human Development Report Office of
the United Nations Development Programme.

5. CALCULATION OF HDI
New method of
calculating HDI
Where,
LE: Life expectancy at birth
MYS: Mean years of schooling (i.e.
years that a person aged 25 or older
has spent in formal education)
EYS: Expected years of schooling
(i.e. total expected years of
schooling for children under 18 years
of age)
GNIpc: Gross national income at
purchasing power parity per capita
LEI is 1 when Life
expectancy at birth is 85
and 0 when Life
expectancy at birth is 20.

6. INDIA’S RANK IN HDI
• India ranked at 131st position out of 189 countries in the index.
• Felling in the medium human development category with an HDI
value of 0.645.
• In the year 2019, India ranked at 129th position.
• Between 1990 and 2019, India’s HDI value increased from 0.429 to
0.645, an increase of 50.3%.

7. ADVANTAGES OF USING HDI
• It is an accurate measure.
• Uses a broad range of information.
• Is considered very effective in measuring the performance of a country.
• HDI can enable policymakers in the country to easily adjust and implement
economic policies.
• Looks at other areas to measure human development.
• Leads to an improvement in the country’s infrastructure.
• Acts as a reliable indicator of the development of the nations.

8. HDI AND SUSTAINABILITY
• The human development approach and sustainable development goals are two different
things.
• The Sustainable Development Goals(SDGs) are a globally agreed tool for assessing
development progress.
• Whereas, Human development is a philosophy for considering almost any development
issue one can think of.
• Without sustainability, human development is not true human development.
• HDI can be linked with measures of both weak and strong sustainability.
• Countries with high HDI performance appear to be strongly unsustainable.
• In other words, the SDGs provide a development destination. Human development allows
one to design the route to get there.

9. Conclusion
• The Human Development Index as a measure of countries’ development consists
of both, strengths and weaknesses.
• On the one hand, this index is a great way for measuring development as it is not
solely based on economic growth.
• It consists of an economic variable as well as life expectancy and educational
attainment.
• But on the other hand it does not incorporate other dimensions that are also
important for country’s development.

10. THANK YOU