PROMOTING ENTREPRENEURSHIP CULTURE IN SOUTH AFRICA AS A TOOL FOR SUSTAINABLE ENTERPRISE DEVELOPMENT, EMPLOYMENT CREATION AND ECONOMIC PROSPERIRTY By Ernest Boateng, Chief Operations Officer South African Institute for Entrepreneurship African Renaissance Conference May 2015 25 May 2015
Areas covered South African Socio Economic Challenges Dealing with the Challenges Entrepreneurship Ladder SAIE Approach 14 Critical Skill-sets of Entrepreneurship Discussion
South African Socio Economic Challenges Unemployment Resulting in higher levels of Crime Poverty Compounds Social Issues and Health Problems Inequality Which can only sustainably be addressed through Education
SA Socio-Economic Challenges 25% unemployment rate About 60% youth unemployment, critical in rural areas 60% Labour force employed by SMMEs About 33% households receive main income from welfare 40% GDP contribution by SMMEs
SA Socio-Economic Challenge
National Development Plan Eradicating poverty Reducing inequality Growing the economy by an average of 5.4% Reducing unemployment rate to 6% by 2030
Entrepreneurship ladder where are we? Necessity/Reluctant/Needs-Based Food on the table tonight Would take a job if can get one Idea Based: Small scale but committed entrepreneurs? Start-up Real Entrepreneurs? Vision Serial
Reasons for low entrepreneurial activity among the youth in South Education and training - Educational system is subject and marks driven and does not prepare learners for the entrepreneurship world Low capacity for entrepreneurship Fear of failure High drop-out rate Financial support Africa?
SA Institute for Entrepreneurship Focus To create a dynamic culture of entrepreneurship by: Promoting positive entrepreneurial mind set in youth and adults; Assisting in the eradication of poverty through the development of effective entrepreneurs and sustainable businesses.
What we do... Develop simulationbased innovative materials Facilitate economic development projects Provide entrepreneurship training Establish businesses Provide mentorship support
How we deliver value Simulation-based, experiential learning programs AgriBusiness Program School Entrepreneurship Program
How we deliver value Simulation-based, experiential learning programs Techno Enterprise Program Enterprise Development Program
Addressing the Entrepreneurship Challenge! We need a dynamic culture of entrepreneurship in South Africa that promotes entrepreneurial behaviour and the creation of self employment opportunities
SA Institute for Entrepreneurship Philosophy A true value delivery in job creation requires two vehicles to achieve the necessary success: Mastering business, economic, management and financial skills Entrepreneurship development change of mindset leading to change in behaviour, skills and attitudes
Value delivery... A pyramid will only survive if it is built off a sound base
What are these Entrepreneurial Drivers or Mind-set?
TAKING INITIATIVE & RISK
LOOKING OUT FOR OPPORTUNITIES
THINKING RESOURCEFULLY
TAPPING INTO INTERESTS
THINKING FLEXIBILITY
THINKING CREATIVELY
THINKING CRITICALLY
THINKING INDEPENDENTLY
A SENSE OF WONDER
A SENSE OF ADVENTURE
A SENSE OF DETERMINATION
WORKING WITH A TEAM
QUESTIONING
Entrepreneurial Drivers How many do you have? How many do your children have? How many does our university graduate have? How many does our FET graduate have? How many does our Matriculant have? How many does our Grade 9 drop out have?
Can the Entrepreneurial Drivers be Taught? Entrepreneurial Drivers = Teaching and Learning Methodologies
How do we achieve an entrepreneurial culture in SA Introduce entrepreneurship at the early school age of learner s education across all learning areas Curriculum-aligned materials with innovative teaching and learning techniques/tools Develop entrepreneurial skills and mind-sets in educators as well as learners. Assist to address the 21 st Century classroom challenges
EDUCATION AS IT IS CLASSROOM WORLD BIG ON ADMINISTRATION BIG ON ASSESSMENT BIG ON TALK AND CHALK TEACHING NOTHING OR LITTLE ON ENTREPRENEURSHIP RESULT: The classroom is unable to keep pace with the information revolution taking place in the world outside the educational system. Quality time for interacting with and developing learners is limited.
EDUCATION AS IT SHOULD BE REAL WORLD SOCIO-ECONOMIC CHANGES TECHNOLOGICAL CHANGES ENTREPRENEURSHIP LEARNER PERSONAL DEVELOPMENT
What we have learnt... Build entrepreneurship development ecosystem (collaboration and partnerships building) Build a business model that works for you Keep updating your model
Thank You! Ernest Boateng ernest@entrepreneurship.co.za 074 401 6247