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Governments don’t rule the world; Goldman Sachs do…

September 27, 2011 by admin

[youtube=http://www.youtube.com/watch?v=kpg76VjTa58]

Unexpected candour on the BBC from this stockmarket trader….

Gordon Gecko is alive and well.  Or have The Yes Men struck again?

And, worryingly, does it matter….

Filed Under: enterprise Tagged With: Economy, LEP

The Leeds LEP Summit…

September 12, 2011 by admin

Last Friday, 700 people descended on Saviles Rooms in Clarence Dock, Leeds to attend the Local Enterprise Partnership’s Summit on Realising the Potential.

I wish I could say it was a day full of surprises.  Of innovative and critical thinking.  Of real insights about how enterprise works in the region and beyond and what can be done to make it work better.  I wish I could say that we were listened to, engaged, given the chance to shape, not only ‘The Plan’ but also how it might be put into action.  But I can say none of these things.

It was the usual formula of a stage sequentially inhabited by a series of be-suited folk advocating their politics, or their research, or in some cases their business interests.  But generally, far too much politics and macro-economics, a sprinkling of economic development orthodoxy (clusters, sectors, high growth) and hardly any enterprise at all.  And where differences in ideology or strategy were clearly apparent there was no attempt at analysis or synthesis. It just came down to ‘we’re in charge now – so we’ll do it our way’.

The importance of SMEs was mentioned several times, but they were talking about 10+employee, high growth startups willing to put together funding bids and set up KTPs (knowledge transfer partnerships) with universities.  The kind of startup that allies itself with the economic development infrastucture and pursues every penny of public funding that it can.  There was little to no indication that anyone had given any thought to the potential of the regions enormous number of micro-enterprises and the fact that these are the hot bed from which the higher growth businesses will over time emerge.  We are back to what Drucker called ‘wanting the top of the mountain without the mountain’.

The implicit assumption was the regional economy would remain one based on traditional models of ’employment’, a white and blue collar region rather than a region where large numbers of self organising free agents contributed significantly.  What kind of employer skills board is going to define the skills and attitudes needed to escape employment by others but actually shape your own portfolio of work?  No, as per usual there was much discussion of what ’employers’ are looking for and the importance of that Holy Grail of employability.  As I said on the day, I don’t want the net result of 2 decades of education for my daughters for them to be merely ’employable’.  I want much more from the system than that, thank you very much.

It was also assumed that growth in the economy IS the only future.  And we seem to have the choice of whether we measure it using GVA or GDP.  No mention of the possibility, never mind the desirability, of a steady state economy.  Or perhaps measuring progress in terms other than purely financial expansion.  In fact nothing that wasn’t about mainstream economic development policy.  Nothing that we were not discussing in Mandelson’s White Papers on Building the Knowledge Economy at the fag-end of the last century.  Those of us with alternative ideas about to make the world a better place need to take a long hard look at ourselves – because our messages are just not getting through.

Somehow we were soon well behind the clock and time for questions from the floor was cut.  Not that it would have mattered.  If you really want to listen, you do not dominate proceedings from a stage and  give 700 people in the audience a couple of roaming mics.  You take the challenges of helping people to find their voice and express themselves a little more seriously than that, you build it into the process. If you really want to listen.

I had tried to encourage a few small business people to attend and others with an interest in ‘the economy’ who do not see themselves as ‘in business’, because the future of our economy should not be left to a partnership between business folk and politicians!  Sadly most had left within the first couple of hours as they heard nothing that spoke to them of their goals, the contexts they are working in, or their aspirations and they felt the dice had already been thrown, and that the strategy had been set for yet more capital investment and a preoccupation with high growth companies in high growth sectors.  All I could do was mouth my apologies as they picked their way out of the hall while speaker after speaker talked of engagement with ‘the business community’.

At least we had the back channel of twitter to contribute some different views.  Not that the screen displaying the twitter stream was legible and it took until lunchtime for the inimitable @johnpopham to explain that if they used twitterfall they would not need to keep hitting refresh……  I can’t help but think that something so apparently trivial as understanding twitter may hold the seeds of something important for the LEP in recognising that tomorrows economy will not be the same as yesterdays, only bigger.

So, we were late into our breakout groups.  The one I attended was like a fractal of the main hall.  A stage, a panel, an audience and not enough time to do the subject justice.  But this time there were some women too!  At least one of the panel members talked passionately of the LEP needing to speak the language of micro-enterprise!

Lunch was good.  Soggy sandwiches.  Fruit so cold it hurt.  But at least WE got a chance to talk…..

After lunch it was back into the main hall to listen to more clever and/or opinionated men (I would have been at home on at least one of those counts).  One of these had some thing to say about the drivers of regional growth in OECD countries and how some ‘basket case economies’ had managed to turn things around.  I can’t think why he would choose to provide data on basket case turnarounds in our region, can you?  Sadly the slides he presented were unreadable and I could not follow the plot.  I was so angry!  We jet in a researcher from lord knows where, presumably at great expense to the sponsors and then we don’t make sure that his slides will be legible to any but the front rows?  So I bailed out to the LEP Conversation Corner which was deserted to begin with, but which did eventually yield some fascinating conversations!

What did surprise me was the number of attendees who seemed to think that the gig was OK.  That it had ‘gone well’.  That any dissenting or challenging perspectives on twitter were just negativity rather than the result of any critical thinking, or different perspectives that may be worth exploring.

I found it genuinely puzzling until I realised that this was the congregation of the church of orthodox economic development – at prayer.  Where GDP is all that matters, and green/culture/tech/creative is only good IF it will create yet more economic growth.  This was the economic development supply chain in the room.  Hardly likely to be open to the possibility of radical innovation when they have so much vested in the status quo.

Filed Under: enterprise Tagged With: economy, Economy, employment, enterprise, entrepreneurship, LEP, micro-enterprise, skills

The business of human endeavour…

August 3, 2011 by admin

For a long time now I have had real concerns about the focus of policy makers, and the projects that they spawn, on ‘enterprise’ and ‘entrepreneurship’ as being just too business oriented.  It is as if the only fields of human endeavour that matter are commerce of some kind.  Making money or fixing societies ills.

This is especially un-nerving when you see it played out in our primary schools as 6 year olds are encouraged to wear badges that proclaim them be a ‘Sales Director’, an ‘Operations Manager’ or a ‘Brand Executive’. Yuk!

What about all of those other great fields of human endeavour?

Climbing mountains, making art, having fun, playing sport, writing, cooking and so on.

What if we encouraged our 6 year olds to wear badges that proclaimed them to be ‘Footballer in Training’, ‘Ballet Dancer under Construction’, ‘Surgeon to Be’ or ‘The Next Michael McIntyre’?  OK, so perhaps we don’t need another Michael McIntyre…. but you get my point?

Because what really matters is not exposing more people to the world of business and entrepreneurship.  It is to get them imagining possible futures, and learning how best to navigate towards them.  It is about developing people with a sense of agency and influence over their own futures.  It is about building a generation with both power and compassion. And a generation who really understand how to use the tools of collaboration, association and cooperation in pursuit of mutual progress.

Does it really only matter if their chosen endeavour contributes to GVA?  Or is there more to our humanity that we need to recognise and encourage through both our policy and practice?

And this is not just an issue in schools.  It runs like a plague through our communities from cradle to grave.

I think this is important because we lose so many who are completely turned off by the thought of a world of commerce (and let’s face it we don’t all want to dive headlong into a world of Dragon’s Den and The Apprentice).

So what about if instead of focussing on enterprise and entrepreneurship we attempted to throw our net wider and to encourage and support people to build their power and compassion in whatever they choose to be their particular fields of human endeavour?

Filed Under: enterprise, entrepreneurship Tagged With: community, community development, community engagement, development, enterprise, enterprise education, enterprise journeys, entrepreneurship, inspiration, operations, power, professional development, self interest, strategy, transformation

A Compass for LEPs…

July 21, 2011 by admin

LEPs are of course Local ENTERPRISE Partnerships.

But enterprise cannot be developed without full attention being paid to its wider impact on nature, society and personal health and well-being.  David Cameron has talked more than once about economic progress needing to be balanced with progress in well-being.  Pursuing the growth of GDP outside of this wider social context would seem to be a fool’s errand.

An enterprise policy that grows GDP, but increases illness or is not environmentally sustainable or increases inequality in our society may not be a good thing.

So, how about developing a simple compass that can form the basis of a practical evaluation for new enterprise proposals?  I was very taken by this simple framework that Danone use when evaluating their innovation projects…

N = Nature – will the development respect natural limits?  Is it environmentally sustainable?

S = Social – will the development lead to improvements in society?  Fair wages, good governance, increased equality, better access to finance to all  etc.  Will the goods and services produced enhance life in our communities?

E= Economic – will the project work economically? What payback periods are we looking at here?  How can we encourage doing the right thing even when payback periods may take longer than usual business conventions would allow?

W= Wellbeing or health – the Danone mission is to improve health for the greatest number of people through food.  If the project does not fit the mission then it will not move forward.

Filed Under: enterprise Tagged With: economy, Economy, entrepreneurship, Ethics, idea, LEP, Policy

Smart Lord Sugar…

July 18, 2011 by admin

Nice move by Lord Sugar to choose Tom Pellereau as his business partner.  Seriously nice move because Tom’s skills complement those of the Lord Sugar rather than replicate them.

So many people go into business with people who share similar skills, values and attitudes leading to a very lop-sided business indeed.  Perhaps half a dozen people who understand the product or service, but NONE who really love marketing, sales, financial management, compliance or governance.

And I don’t think that Lord Sugar is a product man.  At least not any more.  He is now a ‘sales and marketing man’ a distribution expert. Someone who can get products into the hands of the masses.

I just hope that poor old Tom is given the chance to develop products that not only make him wealthy, but also make him proud and enhance the lives of the people who buy them.

This would indeed be progress.

Filed Under: enterprise, entrepreneurship Tagged With: enterprise, entrepreneurship, operations

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