Pembrokeshire Chamber of Commerce

ENTREPRENEURSHIP ACTION PLAN (EAP) FOR WALES
Workshop – Thursday 30 September 1999 – Halliwell Centre, Carmarthen

Attended on behalf of the Pembrokeshire Chamber of Commerce by:

Sue Leonard

Andy Middleton

INTRODUCTION (Vincent Kane)

entrepreneurship may be defined as the spirit to become a wealth creator

EAP being developed by Steering Group which was set up following the Pathway to Prosperity document

with the setting up of the National Assembly, there is a new confidence in Wales which could be used to develop a model for entrepreneurship in small countries

venture capital is a significant problem for the development of entrepreneurs

London Business School has developed 10 propositions for the EAP, drawn up after research into countries and regions with good track records in entrepreneurship. Extensive consultation is taking place through a series of workshops across Wales to refine these propositions, which will become the underpinning principles for the development of the EAP

EAP progress report (Meirion Thomas, Managing Director, CM International)

Basic principles of EAP must be to:

change the culture over the long term ie no quick wins

unblock latent potential

benefit Wales as a whole

recognise diversity

avoid re-inventing the wheel

improve accessibility and co-ordination

CONSULTATION

The main group split into four working parties to discuss each proposition in turn, with a plenary session for workshop facilitators to report back on points raised. Prior to the workshop sessions, votes were taken on the validity of the 10 propositions as drawn. All discussion was recorded, for use in the consultation process.

KEY PROPOSITIONS FOR CONSIDERATION
Proposition 1

It is essential that the Entrepreneurship Action Plan forms an integral element of the National Assembly’s commitment to improving the economic well being of Wales

Feedback
EAP should contribute to the social, as well as the economic, well being of Wales. There is a need to build on community entrepreneurship, following on from existing community development programmes
Proposition 2

The specific policies and programmes adopted by the National Assembly which are targeted specifically at entrepreneurship will have a more significant, direct impact than programmes which are simply aimed at improving the national business context

Feedback
It was felt that this was not an either/or situation and that both types of programmes were needed to improve the national business context
Proposition 3

To be effective any programme designed to encourage and support entrepreneurial activity in Wales must be carefully co-ordinated and harmonised so as to avoid confusion and to enhance their utilisation by those for whom the programmes have been designed

Feedback
This proposition was unanimously endorsed! It was felt by many that the current bureaucracy of "support programmes" stifled entrepreneurial activity. Co-ordination was a critical issue – the present position was much too complicated and resulted in discouraging entrepreneurs from accessing support. Essential to have a "one stop shop" for business support, including easy access to venture capital for SMEs
Proposition 4

To increase the entrepreneurial activity of Wales there will be a need to raise the participation level of those outside the most active age group of 25 – 44 years old

Feedback

This was agreed – it was felt there was a waste of talent particularly amongst the over-44 age group with the increasing number of early retirements and redundancies

Proposition 5

For Wales to gain from a rapid increase in start-ups there will be a need to increase the participation of women in the entrepreneurial process

Feedback
This proposition generated considerable debate. Generally it was agreed that the EAP would need to be inclusive and that other "minority" groups may need to be targeted for rapid increase in start-ups depending on the region involved. It was felt that in many areas disaffected youths would be the main target group. It was also pointed out that entrepreneurial activity should not be synonymous with business start-up or self-employment – it was possible for employees to be entrepreneurial, even within the public sector
Proposition 6

For Wales to achieve long term, sustained level of entrepreneurial activity there has to be a substantial commitment and investment in education at post-secondary level (colleges, universities and graduate programmes)

Feedback
This proposition should be expanded to include education at pre-secondary level – including primary school education. It was felt that this proposition should be integrated with proposition 7, and that the current separation of propositions suggested that there should be no commitment to or investment in pre-secondary levels of education which is clearly unacceptable
Proposition 7

It is essential that all the skills and capabilities required to start business is integrated into specific educational and vocational training programmes at all educational levels

Feedback
Subject to the above, this was agreed. It was also felt that parents had a responsibility to develop entrepreneurship skills in their children – often parents had low expectations for their children and adopted a "play safe" attitude in their career development. It was absolutely essential that all opinion leaders (including teachers, parents and other role models) should encourage entrepreneurship

It was pointed out that First Secretary, Alun Michael had the authority to set the National Curriculum for Wales and that pressure should be brought to bear on the National Assembly to include Entrepreneurship Studies from an early age. Business people should be prepared to work with schools to develop this curriculum

Again, it was pointed out that "to start business" is not the same as to develop an entrepreneurial spirit and that the proposition should be changed to make this clear
Proposition 8

Regardless of a person’s educational level, emphasis must be placed on developing the individual’s capacity to recognise and pursue new opportunities

Feedback
This was agreed – many contributors to the discussion felt that lack of formal qualifications often denied people "traditional" employment routes and forced them to "live on their wits". Again, the point was raised that everyone should be encouraged to develop an entrepreneurial spirit, whether employed, unemployed or self-employed
Proposition 9

It is essential that Welsh society develops an acceptance that business failure is an acceptable part of the learning process

Feedback
Although this was slightly contentious, it was agreed that failure should be considered as acceptable (particularly by banks), although not to be encouraged! It was suggested that the word "failure" be removed and that it should be stressed that all "outcomes" of entrepreneurial activity should simply be considered as part of the learning process. Working on the basis that people would seldom make the same mistakes twice, it was felt that entrepreneurs who had "failed" would be unlikely to do so again
Proposition 10

All individuals, public policy officials and opinion leaders from all spheres of Welsh life have a key role to play in creating the culture that validates and promotes entrepreneurship throughout Welsh society

Feedback
It was felt that this proposition should be changed omit direct reference to "public policy officials and opinion leaders". It was also agreed that the word "promotes" should be changed to "celebrates" – examples of good practice needed to be highlighted and celebrated!

FUTURE ACTION

Once the initial round of consultation is completed, all the findings will be considered by the Steering Group, prior to further consultation meetings later in the year to discuss the type of programmes which should be implemented under the EAP. A final report of findings will be presented to the National Assembly in the New Year.

Please e-mail me with any comments or ideas - let me know if you would like to get involved in further consultation.

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