Implementation of the “Small Business Act” (SBA) for Europe in the Mediterranean Middle East and North Africa

Main messages for policy makers from the 2014 assessment: Entrepreneurial learning and Skills for enterprises

Mariavittoria Garlappi, Regional Coordinator for Entrepreneurship

23 September 2014, Paris

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Structure of the presentation

1. What is the ETF

2. The South Mediterranean labour market

3. Entrepreneurial learning and training for women entrepreneurs: Findings and way forward

4. Skills for SMEs: Findings and way forward

5. ETF methodology to assess good practices

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WHAT IS THE ETF?Agency of the European Union

MissionTo help transition and developing countries to harness the potential of their human capital through the reform of education, training and labour market systems in the context of the EU’s external relations policy. Special focus on competitiveness and social cohesion

Main activities

Support to policy analysis and policy making and capacity building

Areas: Northern Africa and the Middle East, Western Balkans and Turkey, Eastern Europe and Central Asia

The context: labour market

Weak (skilled) job creation in private sector and saturation of jobs in public sector - business environment not encouraging SME growth

Low employment and high unemployment rates: especially of (highly educated) youth and women (Graph 1-2)

Poor job-matching services: social networks are the main tool to find (good) jobs, less recruitment on merit-based competition

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Graph 1: Unemployment rates: total, female and youth (last available year)

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Graph 2. Unemployment rate of total population and higher educated by sex

Principle 1: Entrepreneurial learning

Main findings and way forward:

A wealth of good practices exists (mostly project driven) (All countries) –Need for scaling up to generate the systemic reform required to build the next entrepreneurial and enterprising generation

Upper and post secondary are more advanced (thanks to direct links to business) (MOR, TUN, EGY, PAL, LEB, IL)

A joined up policy framework to promote entrepreneurship in a LLL perspective remains a challenge - Real partnership is needed between education and industry ministries and with the business community and civil society

Limited leadership by Education ministries to entrepreneurial learning development

Training for women entrepreneurs

Main findings and way forward:

Similar picture to the above: wealth of training practices (All countries)– underdeveloped enabling environment (policy, support structures, dedicated financial support)

Need for stronger taylored advisory and mentoring services

Improve access for women (to education, credit, mentoring, coaching) and

Develop role models and carry out specific training needs analysis (focus on leadership, it skills ,….)

Principle 8.1: skills for enterprises Main findings and way forward:

Greater availability of training for SMEs exists (ALG, TUN, EGY, IL, JOR) - Greater flexibility in timing, content and quality of training is needed

Countries are investing in supporting internationalisation of businesses - Skills for trading within the region, EU and internationally are well developed (All, ALG to a less extent)

Little systematic data on enterprise training - Which hampers policy development

Policy response to support skills development for SMEs start ups and growth is weak

Government and businesses need to work on this together - Maybe focusing on sectors that are key to economies (ex. MOR) or more and better use of new technologies to improve access (ex. IL)

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Graph 3: Percentage of firms identifying skills as major constraint for business

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ETF Methodology to assess good practices

•Why, from good practices to standard practices, from practitioners to policy makers

•How: A good practice scorecard, levels and stars

•Key areas for critical review by fellow peers o Training needs analysiso Training designo Training environmento Monitoring, evaluation & improvemento Sharing of good practice & implications for policy development

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ETF Methodology to assess good practices

2014 good practitioner on Youth Entrepreneurship Training

Business Development Centre (Jordan)o Entrepreneurship key competence for unemployed graduateso Mentoring to support business ideas to business start-upo Access to finance: brokerage services for young entrepreneurs & bankso Creating scale: feeding project results back up to policy-making level