Enhancing Business Competitiveness Minister of

Transcript:Enhancing Business Competitiveness Minister of:
Enhancing Business Competitiveness Minister of Planning, Economic and Social Restructuring and Gender Affairs Senator the Honourable Dr. Bhoendradatt Tewarie Business and Banking Conference Hilton Trinidad Hotel and Conference Centre June 22, 2011 competitiveness is an imperative To improve the quality of life and the standard of living of our citizens, we have to become an active player in the (non-energy) global economy Global thinking must be the basis on which we act locally Countries worldwide and particularly regions within the large countries (Shanghai, Bangalore) are rapidly expanding their capabilities to engage in value added activities and compete in the global market place Competitive businesses are those which are able to sustain high levels of productivity which has positive consequences for economic and social prosperity How is the World Changing? The Global Economy is being transformed by a new wave of globalisation and technological change improvements in communications, advances in IT, declining transport costs, accelerated technical and scientific progress, greater economic integration The convergence of these factors has put growing pressure on countries to restructure their economic base and rethink and refocus human capital development The Global Economy is now being driven by ideas which are the primary catalyst for economic growth In this environment, the key to prosperity is increasing productivity and the basis for increasing productivity is innovation The assumption is that efficiency, effectiveness and responsiveness are the minimum standards required How must our strategy change? Drivers of Economic Prosperity All Interconnected New Basis for Global Competitiveness How must our strategy change? The emphasis now must be on nurturing the talent and creativity of citizens and providing the conditions conducive to innovation and entrepreneurial growth The education and training system must be re-oriented to provide the knowledge and skills set required by the new economy Routine work and mass production must give way to creative work and mass customisation Firms must be a source of ideas that drive innovation in the global market place We must also look at the potential for creating an innovation region with our Caribbean neighbours for the purpose of mutual gain The new economy Industrial Economy Ideas Economy RAW MATERIALS Natural Resources Ideas Labour Capital CUSTOMER FOCUS Mass Production Mass Customisation based on IT and Product Design ORGANISATION Large Corporations Entrepreneurs, Networks, Economies of Scale Small Scale SUCCESS FACTORS Labour, Quality Talent, Speed, Innovation, Low Cost, Stability, Flexibility, Customisation Control Source: Collaborative Economics, Joint