Workshop on the Small Business Act Human Capital Principle 8.1 Israel May 22, 2013 Olena Bekh

ETF – focus on Human Capital indicators Adoption of the European Key Competences (2005) – Sense of initiative and entrepreneurship (№ 7) Education and Training 2020 (2009): entrepreneurship at all levels of education and training a strategic objective EU2020 (2010): small businesses play key role in flagship initiatives Political Guidelines of the New European Commission: entrepreneurship culture and contribution of education The report of the Wise Men: EU 2030 – necessity to create culture of risk taking and entrepreneurship Review of the «Small Business Act» for Europe: alignment of SBA with Europe entrepreneurship in innovation, female entrepreneurship, best practice Employment Guidelines, 2010 – 2014 Bruges Communiqué, 2010: entrepreneurship key competence Eurostat’s “Entrepreneurship determinants: culture and capabilities” (2012)

Concerns about employment and competitiveness in EU (Lisbon Agenda, 2000) Oslo Agenda: policy guidelines for lifelong entrepreneurial learning (2006) – the domino effect, multistakeholder groups Entrepreneurship as a key competence (EU, 2006): mindset, cognitive and behavioural characteristics of an entrepreneur European Charter for Small Enterprise (2004), Euro-Mediterranean Enterprise Charter (2007) - LLEL & indicators European Small Business Act (2008): shifting focus of employment policies from large industry to SMEs, 10 key policy lines EU 2013 Entrepreneurship Action Plan The EU policy response: a brief chronology

What is this all about?

Entrepreneurial learning ‘All forms of education and training, both formal and non-formal, which contribute to an entrepreneurial spirit and entrepreneurial behaviour with or without a commercial objective.’ (ETF, 2009) Entrepreneur ‘An entrepreneur is someone who seeks out opportunities, takes initiatives often based on risk and through new ventures decides how resources can be most effectively applied. Driven by the need for achievement, the entrepreneur may not necessarily be motivated by profit but use it as a measure of success.’ (ETF, 2009) Let’s get the terms clear!

 Entrepreneurship in national and global agenda  Engagement and empowerment: policy interest, ownership and accountability: ‘no hiding’, impetus for reform  Dual function: multi-country bench-marking tool and a national policy development instrument  Good practice: countries keen to know why and how others perform better – exchange and cooperation, structured networks  Scale: Cross-regional applications, cooperation with other partners  Donor interest: assessment, improvement points, next steps leading to project design Value of the indicators and methodology

7 Small Business Act policy assessment Principles 1. Entrepreneurship education and training 2. Second chance 3. Rules for ‘Think Small First’ 4. Responsive public administration 5. SMEs and public procurement 6. Access to finance 7. SME opportunities & EU Single Market 8. Skills & innovation 9. SMEs and environmental concerns 10. SMEs in growth markets Indicators (8 indicators) Lifelong entrepreneurial learning policy Secondary and tertiary education Good practice University-enterprise cooperation Non-formal entrepreneurial learning Indicators (9 indicators) Training Needs Analysis (TNA) Availability of training Start-ups, Enterprise training Enterprise growth Access to international markets Quality assurance Women’s entrepreneurship Skills for sustainable eneterprise develoment Data & Indicators Meeting, 11 December 2012

8 - Level 1Level 5Level 4Level 3Level 2 Each indicator  5 level scale  cumulative  max 3-4 years No system Ad hoc activities Dialogue, planning Break even point Implementation M&E Review Improvement Logic of each indicator

Imagine: SBA assessment 2013 completed… “GAME OVER”? 9

SBA PRINCIPLE 8.1 ASSESSMENT RESULTS – A CLOSER LOOK…

Principle 8.I: Enterprise Skills – scores’ dynamics Total - 9 indicators in Principle 8.1 in 2013 Included 4 new indicators – Training Needs’ Analysis (8.1), Quality Assurance (8.7 ), Women’s Entrepreneurship (8.8 ) and Skills for Sustainable Enterprise Development (8.8 ) (thus, no baseline for these indicators) Israel maintained excellent level on the Access to International Markets (8.6) – TOP performance (level 5) Lowest results - Women’s Entrepreneurship (new) – 1,0 Progress (within the same score - 3) on Enterprise Training (8.4) - from 10% in 2008 to 20% in Stable performance on Start-up training (level 2). Indicators on Availability of training, as well as Enterprise Growth – data is not yet sufficient to confirm the previously achieved scores (both scored high in ,5, the latter – score 3,0). Entry levels on new indicators – Quality Assurance and Skills for Sustainable Development – 2 and 2,5 respectively - could become potential areas of application of extra efforts. *the indicator numbers are different in 2008 and

Israel – strengths… Strong system of enterprise training provision offered by both public and private providers Well developed training provider network offers training to various types of enterprises and covers business start-up and enterprise growth training programmes Information about training opportunities is widely disseminated through multiple online resources and databases All kinds of support and advisory services are offered for new businesses For discussion - needs? Comprehensive, strategic long-term view planning Structured partnership - to ensure that the system provides effective support to skills’ development of existing and potential entrepreneurs Systemic training needs analysis (TNA) of enterprises - system Ensure that ALL “start-ups” (not only technology (hi-tech) enterprises) have equal support Targeted Gvt support to newly- established and existing and high- growth enterprises – to increase effectiveness, efficiency of government’s support and improve quality. Quality assurance system Women’s entrepreneurship – an economic issue 12 Key findings of the assessment: Principle 8.I Enterprise Skills

There are excellent ad hoc examples of training services with dedicated women’s entrepreneurship training and support programmes (public events, training courses, etc.). Many projects help women from disadvantaged or minority groups to achieve economic independence and develop small businesses due to acquiring new skills and abilities. Women entrepreneurship training and support programs are implemented in partnerships between civic interest groups, women business associations, training providers, MATIs and other partners. There are also examples of Government programs which promote enabling measures for increasing women’s (self-) employment and engagement in business activity. Issues for discussion… Women’s entrepreneurship policies are not coordinated or monitored by the national, cross-stakeholder working group to review options for systemic inclusion of WE issues across the national policies. Importance of a structured dialogue and partnership at the national level, policy reflection, regular feedback by social partners for improvement of policy measures. Apart from project-based developments, there is no system approach to defining and monitoring training needs of women entrepreneurs (TNA). Adoption of targeted national policies for WE and specific programmes to support entrepreneurial activities of women. Awareness in the society, role models. Research and quality data on training and support needs (data production, access, dissemination and use for policy monitoring). 13 Key findings of the assessment: Principle 8.I Women’s Entrepreneurship (WE) – NEW!

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 1: Training Needs Analysis (TNA)

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 2: Availability of Training

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 3: Start-ups

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 4: Enterprise Training

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 5: Enterprise Growth

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 6: Access to International Markets

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 7: Quality Assurance

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 8: Women’s Entrepreneurship Development

SBA Principle VIII: Promote the upgrading of skills and all forms of innovation Indicator 9: Skills for Sustainable Enterprise Development (SSED)

Thank you! ETF Enterprising People Questions to: Name: Olena Bekh Name: Eva Jimeno Sicilia Name: Sabina Nari Telephone: Website:

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 1: Policy

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 2: Good Practice

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 3: Non-Formal Learning

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 4: Lower Secondary Education (ISCED 2)

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 5: Upper Secondary Education (ISCED 3)

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 6: National Higher Education Policy on Entrepreneurial Learning - NEW!

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 7: Good Practice in Higher Education - NEW!

SBA Principle I: Create an environment in which entrepreneurs and family business can thrive entrepreneurship is rewarded Indicator 8: Higher Education cooperation with the world of business - NEW!