Multi-Year Expert Meeting on
Enterprise Development Policies
and Capacity-building in Science, Technology and Innovation
(Third session)
Geneva, 19-21 January 2011
Entrepreneurship in Singapore
by
Sim Choon Siong
Director, Entrepreneurship Development
SPRING Singapore
This view expressed are those of the author and do not necessarily reflect the views of UNCTAD.
Entrepreneurship in Singapore
Sim Choon SiongDirector, Entrepreneurship Development, SPRING SingaporeSecretariat to the Action Community for Entrepreneurship20 January 2011
1965 – 1978: Export Oriented Industrialisation
1986 – 1997:Capability Building andEconomic Diversification
1998 onwards:Transforming to
Knowledge-Based Economy
1979 – 1985: Industrial Restructuring
Journey of Entrepreneurship
Phases of Economic Development
2
Entrepreneurship as a Strategy
Crises 1997 – 2003
Entrepreneurship to be driver of Singapore’s economy
Appointed Minister in charge of Entrepreneurship
The Action Community for Entrepreneurship (ACE) – a public-private sector collaboration to enhance entrepreneurship landscape
SPRING Singapore is the government agency that promotes enterprise development
EntrepreneurialSingapore
3
Overview of ACE
4
Building a Pro-enterprise EnvironmentFacilitate Review of Rules and RegulationsPro-Enterprise Ranking of Government AgenciesFacilitate SME Financing
Facilitate Networking & LearningBlueSky Exchange / Festival
Building an Entrepreneurial CultureACE Speakers’ Circuit Enterprise DayGlobal Entrepreneurship Week
5
ACE is a private and public sector movement aimed at creating a
more entrepreneurial Singapore.
Action Community for Entrepreneurship
ChairmanMinister Lee Yi Shyan
Deputy ChairmanInderjit Singh, Entrepreneur
Action Crucibles
CultureMrs Kim Faulkner,
Mr Prakash Somosundram,Entrepreneurs
RulesMr Patrick Daniel,
Executive
InternationalisationMr Richard Eu,Entrepreneur
Supported by Secretariat(SPRING Singapore)
ResearchDr Antony Ng,Entrepreneur
ACE Structure
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• Ranked government agencies for their pro-enterprise orientation
• Changed 960 rules from 1750 public suggestions
• Worked with partners to roll out Deal Flow Connection, SME Loan Securitization and “Over the Counter” Capital (private capital exchange)
• Reached out to over 32,000 entrepreneurs and aspiring entrepreneurs through 7 annual BlueSky Festivals, 45 BlueSky Exchanges and 3 GEW.
• Reached out to 36,000 students through 165 talks to schools
• Catalysed S$25m Entrepreneurship Talent Development Fund for youth
• Mentored 6 companies for internationalisation
Some of ACE’s Contributions
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Overview of SPRING
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SPRING VisionGlobal Singapore Enterprises
SPRING MissionTo help Singapore enterprises grow and
To build trust in Singapore products and services
Enterprise Development
Quality & Standards
9
SPRING’s Mission and Vision
• Global Singapore Enterprises• Pool of Home-Grown Champions in
Key Sectors
Groom Growth-Oriented Enterprises
Seed and Nurture
Innovative Start-Ups
DevelopCompetitive
Clusters
Strengthen Environment Conducive for Enterprise DevelopmentMMoneyoney MMarketsarkets
MManagementanagement KKnownow--HowHow
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Enterprise Development Strategies
Key Initiatives
Access to Financing
Supporting Entrepreneurship
Access to Info & Capability Upgrading
Pro-Enterprise Rules and Regulations
ACE
Entrepass
YES! Schools
Govt Loans, LEFS, LIS, MicroLoan
OTC Network of 5 EDCs
EnterpriseOne Portals / Hotline
Innovation Voucher Scheme (IVS)
Pro-Enterprise Panel (PEP)
Ease of Doing Business (EoDB)
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Strengthen Environment for Enterprise Development
www.business.gov.sg
Business & Financial advisory & consultancy services
Enterprise Development Centres (EDCs)
Online business info and government e-services
EBIS@SBF
Market info resources & research services
Business Support Services: One Network for Enterprises
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Strengthen Environment for Enterprise Development
Key Initiatives
Build Manpower
Capabilities
Build Manpower
Capabilities
Partnership with Trade Associations & Chambers (TACs) through LEAD Programme
Drive Capability
Upgrading & Innovation
Drive Capability
Upgrading & Innovation
Enhance Productivity and Service
Enhance Productivity and Service
Grow New Markets
Grow New Markets
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Develop Competitive Clusters
Key Initiatives
YES! Schools
Business Plan Competitions
YES! Start-Ups
Technology Enterprise Commercialisation Scheme (TECS)
SPRING SEEDS
Business AngelsVenture Capitalists
Incubator Development Programme
IdeaGenerator
Proof of Concept/Commercialisation
Go to Market
IHLs
RIs
Individuals
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Seed and Nurture Innovative Startups
Key Initiatives
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Market Facilitate Access to Global Markets,
Link SMEs to MNCs & Foreign SMEs
ManagementAdvanced Management Programme;
Management Development & Executive Development Scholarships; Business
Advisory Programme; Executive Training Programme & HR Capability Programme
Know-HowTechnology Innovation; Branding;
IP Management; Business Excellence; Design
MoneyPrivate Sector (OTC Capital, Catalist, etc)
Supported by TACs
Grooming Growth-Oriented Enterprises
Some Achievements for Singapore
#1 (2007-2011)
in pro-enterprise environmentWorld Bank Doing Business Report
#1 (2008)
in government policies & corporate performance most
encouraging to innovationBCG Global Innovation Index / NAM /
MI International Innovation Index
#3 (2010-2011)
in world competitiveness rankingWorld Economic ForumGlobal Competitiveness Report
#4 (2009)
in access to capitalUS Milken Institute Capital Access Index
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Entrepreneurship Education
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Learning by Doing
Encourage Experimentation,
Innovation & Enterprise Learning
CompetitionExperience
Startup Immersion Experience
Awards & Recognition
A Vibrant Youth Entrepreneurship Scene
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Innovation and Enterprise LearningTeach Less Learn MoreACE Speakers’ CircuitJunior Achievement (JA) / FedEx International Trade ChallengeSpirit of Enterprise$22m University Innovation FundDiplomas, Degree (Minor) in EntrepreneurshipMSc Technopreneurship & Innovation Programme
A Vibrant Youth Entrepreneurship Scene
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Encourage ExperimentationDesign CompetitionsTan Kah Kee Young Inventor AwardYESCOMNational Pushcart ChallengeLee Kuan Yew Global Business Plan CompetitionStart-up@Singapore Business Plan Competition
A Vibrant Youth Entrepreneurship Scene
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Startup Immersion ExperienceInternships with Singapore-based startups (e.g. Innovative Local Enterprise Achievement Development or iLEAD)
Internship with overseas startups via NTU Technopreneurship and Innovation Programme and NUS Overseas College Programme (NOC), e.g. in Silicon Valley, Bio Valley, Shanghai, Stockholm, Bangalore, Beijing
A Vibrant Youth Entrepreneurship Scene
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Award & Recognition Shell LiveWIRESpirit of Enterprise (SOE) AwardSingapore Youth Award for Entrepreneurship
A Vibrant Youth Entrepreneurship Scene
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support schools entrepreneurial learning activities
support idea/project development
support student ventures
Initiation to Entrepreneurship
Developmentof ideas
Commercialisationof ideas
$25M Entrepreneurship Talent Development Fund (ETDF) to seed youth business ventures, and encourage entrepreneurship through “learning by doing”
Strategy for Youth Entrepreneurship
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Grant for schools to promote entrepreneurship among students and nurture budding young entrepreneurs through “learning by doing”
EvaluationCriteria
Hands-on Learning
Reach
Entrepreneurship & Innovation
Holistic
Entrepreneur Mentor
2008: Launch2009: 31 schools, 6,000 students2010: 41 schools, 8,000 students
YES! Schools
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Zhonghua Secondary School
- Combines D&T with Entrepreneurship for 14 year-olds.
- Students organised a Piece-it-Up: eco design @ Zhonghua Exhibition with advice and support from IKEA Singapore, PICO Arts Pte Ltd and Design Rete to showcase their products created.
Raffles Institution
- Nine-month structured programme to instil entrepreneurship.- 2 14-year old students designed a circular fridge to make retrieving items easier. Combines Lazy Susan and sliding door.- Approached Bosch to validate design.
YES! Schools
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Learn Entrepreneurship
DevelopIdeas
CommercialiseIdeas
Probably the world’s first business plan competition where youth participants start off with an idea and end with an innovative enterprise
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27
In Vitro
GIVE.sg
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(i) The Applicant• Singaporean/PR, below 26• First time entrepreneur• Key driver in the company.
Eligibility
Grant for youths to start their first innovative venture and learn entrepreneurship through “learning by doing”
(ii) The Startup• A new company• Business activities based in Singapore• Engage in value-add/high growth activities
EvaluationCriteria
Innovativeness of business idea
Potential market
Management team
Commercial feasibility
2008: Launch2009: 41 startups, 65 youths2010: 31 startups, 38 youths
First “scholarship” for young entrepreneurs to start their first innovative business.
YES! Startups
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FlickEvents is a one-stop e-platform for easy event management and effective community engagement, providing a full suite of event management tools.
Zimplistic designs home appliances and is currently developing a chapatti-making appliance, which it intends to patent and license to major consumer electronics companies.
Emeeto is a rich media service provider developed by Eme Tech, to facilitate online collaboration including communication, conference, coordination, knowledge-sharing and entertainment.
YES! Startups
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YES! Startups
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YES! Startups
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Year 2005 2006 2007 2008 2009
Company 19,501 21,491 25,904 24,988 24,341
Business 23,494 24,090 23,861 24,570 26,671
Total 42,995 45,581 49,765 49,558 51,012
Formation of New Companies and Businesses
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99% of all enterprises in Singapore are SMEs
… they employ 6 in 10 workers … and contribute about half oftotal value-add
168,000
Large Enterprises(1%)
SMEs(99%)
Number of Enterprises
Large Enterprises(49%)
Last updated: 10 March 2010 Source : DOS & SPRING
Large Enterprises(43%)
SMEs(57%)
Number of Workers
1.6 million
SMEs(51%)
Value-Add** Refers to value added at 2000 market prices
$113 billion
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SMEs in the Singapore economy
LargeCompanies
(~1,400)
$100m
Micro-Enterprises(~110,000)
Small & Medium Enterprises(~30,000)
$1m
Notes: The MSM Enterprises figures are SPRING’s estimates based on DOS 2007 figure Includes both local and foreign enterprises
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Enterprise Landscape in Singapore
Learning Outcomes
A set of key entrepreneurship attributes, with corresponding skill sets and outcomes.
Provides a guide to progressively expose students to entrepreneurship, in accordance with their age and aptitude
Three age groups – 9 to 12 yrs old, 13 – 16 yrs old & 17 yrs old and above
Life Skills Attributes of Entrepreneurs
Entrepreneurship Mindset
Understanding Value, Recognising Opportunity, Envisioning & Innovation
Character Development
Ethics & Passion / Perseverance
Relationship Management
Leadership / Teamwork, Customer Perspectives / Marketing & Communications
Business Skills & Technical
Financial Acumen, Competitive Advantage & Risk Taking
Learning Outcomes
9 – 12 yrs old 13 -16 yrs old 17 yrs old & above
Understanding Value
Understand entrepreneurship as value creation
Understand entrepreneurship as value creation / Understand different business models
Understand entrepreneurship as value creation / Ability to formulate an appropriate business model
Competitive Advantage
Understand concept of competition / Ability to identify substitutes
Understand concept of competitive advantage / Ability to identify substitutes & build on strength
Understand barriers to entry and business differentiation