Uncategorized

By: Snaliah Mahal

 

Small Island Developing States (SIDS) like Saint Lucia face a myriad of environmental challenges. At the United Nations Framework Convention on Climate Change (UNFCCC) 21st Conference of Parties (COP21)  held in Paris last year, the plight of SIDS and their vulnerability to the impacts of climate change were at the forefront of negotiations as climate changes poses an existential threat to countries like ours. Climate change and other environmental changes are set to have detrimental effects on struggling states, affecting all industries: from fisheries, to agriculture, to manufacturing and of course tourism. In the face of climate change and economic uncertainty, developing countries continuously have to balance development and environmental protection.
Prior to, during and after the COP21, Saint Lucia was inundated with climate change information and what the impacts of climate change meant for the future of this country, the importance of our natural environment and the need to conserve what little resource we have. On Earth Day (April 22^nd) Saint Lucia became one of the first countries to both ratify and sign the agreement emanating from COP21 (Paris Agreement).
With this as a backdrop, what have Saint Lucians across the different sectors of society learnt? Who is responsible for ensuring that future generations continue to enjoy the quality of life that we currently enjoy?
Most, if not everyone agrees that government has the major role to play with regards to the care of the environment. There is often talk of environmental governance.  Although environmental governance is not solely the responsibility of governments, they however possess the policy-making and enforcement roles with regards to overall sustainable development.
Environmental governance is not usually seen as the purview of businesses. However, in business terms, the concept of ‘environmental responsibility’ is used to describe “the duty that a company has to operate in a way that protects the environment” (Cambridge Dictionary).
Businesses are undoubtedly some of the biggest users of a country’s natural resources. Do they hence have a role to play along with governments, in ensuring a sustainable future for all? Considering that what drives a business is its ability to make profits and generate surpluses, one may ask whether a link exists between productivity and competitiveness of businesses and their natural environment.
Competitiveness is the “ability of a firm or a nation to offer products and services that meet the quality standards of the local and world markets at prices that are competitive and provide adequate returns on the resources employed or consumed in producing them” (Business Dictionary) while productivity is “ the rate at which a company or country makes goods, usually judged in connection with the number of people and the amount of materials necessary to produce the goods” (Cambridge Dictionary).
Are businesses able to operate efficiently and be environmentally responsible? In some parts of the world, profits and greed reign supreme at the cost of environmental protection. Companies have shareholders to report to, who may not consider the damage, some irreversible that said companies are inflicting on the environment.
In the developed world strict environmental compliance and or responsibility may give businesses the competitive advantage over their rivals. Companies’ bottom lines may suffer greatly by any actions real or perceived which may be to the detriment to the environment. Organisations such as Greenpeace for example, speak out vociferously against threats to the environment. However in a country such as Saint Lucia when sometimes there is only one company providing essential products and services to an entire population, environmental responsibility becomes a choice rather than a requirement for good business. Consumers are left with little to no choice in what products they buy and from whom. Additionally there is a lack of advocates for the environment which can force any real change in business practices which may be contrary to proper environmental practices.
Businesses may not see the role they play in caring for the environment and though lack of environmental responsibility may not affect competitiveness because of small market size, it has proven to affect productivity. During the Chikungunya outbreak in 2014 many businesses suffered with employees calling in sick and being out of work for extended periods of time and in so doing putting a strain on business operations and slowing down productivity and by extension affecting the bottom line.
The Chikungunya epidemic highlighted the importance of the private sector in taking an active role in environmental education of not only the general public, but similarly of their employees. Ensuring that our surroundings are kept clean and prove unfavorable to mosquito breeding, will in turn decrease the prevalence of vector borne diseases and minimise the amount of resources that Government dispenses through the Department of Environmental Health in educating the populace.
Working towards sustainable development and fighting climate change are considered one’s moral responsibility and a commitment to future generations. On an individual basis it has proven difficult for persons to change bad environmental practices. What then for a company which may not have Environmental Responsibility embedded in their Mission, Vision and Values?
Can Saint Lucia with its limited natural resources and limited land space sacrifice the small and vulnerable natural environment that it possesses for economic growth and development?
We all want access to clean air, water, uncontaminated rivers, seas and agricultural land but what role have we taken or businesses taken to ensure that the small space that we have been given to inhabit in the Caribbean Sea is clean for our use and for our children’s children?
Businesses in a country like Saint Lucia though not usually compelled to do so, need to start taking a vested interest in their natural as much as their economic environment. While it is easy to focus on just numbers, the fact remains that neglecting to protect the environment today can very well result in not having a market to sell products to tomorrow.
Article submitted by Guest Contributor Ms. Snaliah Mahal. Snaliah is an environmental activist and enthusiast, an active member of the Caribbean Youth Environment Network- Saint Lucia Chapter and an advocate for youth development.  She holds a Bachelor’s in IR and an MSc in Climate Change and International Development. She recently embarked on a micro-business venture where she repurposes everyday items and creates magical pieces. She was also the recipient of this year’s Esteemed Award in Youth Development in the 2015 National Youth Awards. To connect with the author follow her on Instagram @katharsis_7Ks, on Twitter @snalsm and like her on Facebook, www.facebook.com/7ks.

Since its establishment, the National Competitiveness and Productivity Council (NCPC) has been committed to enhancing both productivity and competitiveness of Saint Lucia and as such closely follows benchmarks set by regional and international agencies.  One such benchmarks would be the ten (10) principles of competitiveness adopted by the Americas Competitiveness Network (RIAC) and the World Economic Forum 12 pillars of competitiveness.
The Establishment of the National Competitiveness and Productivity Council with an Accompanying Technical Secretariat
The Government of Saint Lucia established the National Competitiveness and Productivity Council (NCPC) with its accompanying Technical Secretariat on 5 August 2013.  The establishment of the Council was made possible with funding assistance provided by the Compete Caribbean Programme in the form of a Technical Assistance Grant for the Project entitled: “Strengthening Public-Private Dialogue in Saint Lucia”.  Membership of the Council include officials from the private and public sectors, civil society and trade unions.
The objectives of the Council are:

• To raise awareness and understanding of the importance of competitiveness and productivity to economic well-being.
• To monitor all aspects of productivity growth and competitiveness in Saint Lucia vis-à-vis other countries.
• To monitor all aspects of productivity in the various sectors of the economy.
• To provide advice to the Government on actions to promote productivity growth and competitiveness in Saint Lucia.
• To monitor and reporting on the progress made in the implementation of solutions to actions designed to boost competitiveness and productivity in Saint Lucia.
• To assess specific competitiveness and productivity topics in greater detail.
• To advocate on actions to promote productivity and competitiveness.

The Council has begun its work and has focused heavily on building the awareness around the issues of Productivity and Competitiveness.  Some of the work of the Council include:

1. Inaugural National Productivity Assessment for Saint Lucia

To effectively carry out its mandate, the Council first sought to assess current levels of productivity in Saint Lucia as well as engage key stakeholders to understand current challenges and possible solutions in raising productivity in various sectors.    As a consequence, the Council undertook a the following studies and activities::

• Estimating overall productivity levels for Saint Lucia for the period 2000 to 2013
• Estimate unit cost of labor from 2000 to 2013
• Estimate productivity levels for six sectors of the economy including: manufacturing, agriculture, construction, wholesale and retail, financial, tourism. 
• Assessment of four (4) pilot agencies of Government (Inland Revenue Department, Customs Department, Physical Planning Section/Development Control Authority and Transport Department). 
• Benchmarking Saint Lucia’s productivity levels with countries where data was available.

National consultations were held with key sectors of the economy including the Health, education and the youth.  In addition, discussions were also held at the community levels.  The objective of those consultations was to discuss the issues affecting productivity in Saint Lucia and to solicit ideas from the participants on ways that productivity can be improved nationally.
The Council continues to measure the level of productivity in the economy.
2. Instituted the Annual Observance of “Productivity Awareness Week”
 In its first year (2014), the NCPC focused its attention on bringing greater awareness to the issues of productivity and competitiveness in Saint Lucia and instituted the annual observance of “Productivity Awareness Week” highlighting the very apt theme “Enhancing Productivity is OUR Responsibility”.   The outcome for the week resulted in cultivating and promoting productivity awareness among individuals, enterprises and the nation – stirring, motivating and encouraging them to act in the interest of higher productivity.  Some of the activities include private and public sectors forums, debating and essay competitions involving the secondary schools as well as Sir Arthur Lewis Community College.
The observance also continued in 2015 and focused on providing training and tools to entrepreneurs in an effort to assist them in becoming more competitive in the current economic environment.   The Week in 2015 included seminars for young entrepreneurs and bus drivers, secondary school productivity tour and a primary school fair, showcasing initiatives from the public sector that impact productivity.
The Council is in the process of planning its third observance of Productivity Awareness Week for 2016.
3. Design of the National Competitiveness and Productivity Fund – PROCOM Challenge
The Council has advocated for the setting up of a National Competitiveness and Productivity Fund.  This fund is expected to assist the private and public sector to finance innovative projects that is geared towards the enhancement of productivity and competitiveness.  The Fund was launched and branded as the PROCOM Challenge on 18 April 2016.
4. NCPC Public Sector Outreach Program on Productivity
In continuing the drive to heighten the awareness of the importance of productivity and competitiveness to economic well-being, the NCPC engaged over seventeen (17) public sector agencies for an opportunity to inform of the roles and functions of the NCPC as well as to dialogue on the way forward regarding joint collaborations between the NCPC and public sector agencies in productivity and competitiveness related initiatives.
The sessions were quite interactive and offered the opportunity to dialogue on issues affecting the various Government Ministry’s productivity levels. This initiative occurred during the period June- September 2015. A questionnaire was administered at each ministry which was consulted. The results of the questionnaires were collated and will inform the work of the Council in the future with respect to enhancing public sector productivity.
5. Design and Establishment of the Commercial Division of the Court – A Business and Competitiveness Reform
As part of the technical assistance project with Compete Caribbean for the NCPC, The Commercial Division of the High Court, was identified as a high priority reform project to enhance the business environment and the Saint Lucia’s general competitiveness.  The NCPC was given the mandate to coordinate this project and was done in collaboration with the Eastern Caribbean Supreme Court and the Ministry of Legal Affairs.  The Division is expected to deliver an expeditious and cost effective mode of resolving disputes that directly affect the commercial and financial sectors in Saint Lucia.  The Project was officially in January 2016. 
The Council will continue to monitor the performance of the Commercial Division with respect to its efficiency to settling commercial disputes.
6. Active Research Agenda on Competitiveness and Productivity

• Comprehensive Entrepreneurship Program & Apprenticeship Program for Saint Lucia.

The principles of competitiveness speak to having high impact entrepreneurship to foster growth as well as pertinent education as a key element to drive competitiveness.
For the period 2015, the Research Team focused on two topics namely:

• Design of a comprehensive entrepreneurship program for Saint Lucia – looking at what exists and lessons learnt. The research is now completed and was presented to the Council members.  The Research piece will be presented to the Ministry of Commerce for consideration.

• Design of a comprehensive apprenticeship program for Saint Lucia and its implications to policy – This research piece is also completed and has been presented to the Council.

It is expected that the research findings will lead to policy changes that can impact on productivity and the growth of the economy.  For the period 2016/2017, the Council is exploring research in the area of labor market efficiencies.
7. Providing Training and Technical Assistance in Productivity Matters
The NCPC has been called upon to provide training and seminars on improving productivity in the work place as well as providing general motivation to staff members.  This training is usually conducted by the staff from the Secretariat and some Council members.  It is hoped that this arm of the NCPC can be enhanced to meet the increasing demands from both the public and private sectors.
The Council is designing assessment tools that can be used for both the private and public sectors.
8. National Outreach and Public Relations on Issues of Productivity and Competitiveness
A very important mandate of the NCPC is to promote the awareness and understanding of competitiveness and productivity to economic well-being.  Therefore as part of its continued promotion of the awareness of productivity issues the Council has maintain a presence in the general public through a number of public relation initiatives.  These include:

• Production of a Television Documentary series entitled “Productivity Matters” which currently airs on DBS, HTS, Calabash TV and NTN;
• An active presence on Facebook, Twitter and also on Pintrest and YouTube;
• Television interviews conducted with Choice, Calabash, TCT, GIS, DBS, HTS and other national stations for inclusion within their nightly news programs.  Radio appearances were also made on Radio Saint Lucia (Inside Government and 90 Minutes), Kairi FM, WVent, RCI and Helen 100 FM;
• Print and video editions of the NCPC Productivity Tips (10 in all) were circulated within the Government (GOSL Notices), via our social media pages, on radio and on television;
• Two NCPC television commercials were commissioned and produced especially during the Productivity Awareness Week.  As part of the public relations for Week, two jingles were produced in English and Kweyol;
• Weekly news articles were published in The Voice newspaper within our column ‘NCPC Perspective’. Press releases were circulated weekly to the various media houses.

9. Formulation of the Public-Private Partnership for Saint Lucia
The NCPC coordinated the formulation of the Public-Private Partnership policy for Saint Lucia.  Technical assistance for this project was provided by the World Bank.  The policy was approved by Cabinet. The Technical Secretariat was instrumental in formulating a PPP Core Team and Steering Committee who will be responsible for making the necessary institutional arrangements to oversee the effective implementation of PPPs in Saint Lucia.
10. Reporting to the Network of the Competitiveness of the Americas (RIAC)/Signs of Competitiveness of the Americas – Part of the Global Network
The Council actively monitors projects/initiatives within the public and private sectors that boost both competitiveness and productivity.  The Council provides information on initiatives to the Network of the Competitiveness of the Americas (RIAC) to be included in the annual “Signs of Competitiveness Report for the Americas”. The Technical Secretariat has contributed to this report from the period 2013 – 2015. 
11. Other Work in Progress includes:
The Council is currently in the process of formulating a 5-year strategy and action plan for enhancing overall productivity and competitiveness.  It will be working with public sector agencies as well as the private sector in developing tools that will assist in measuring productivity at the unit level and recommendation solutions at the micro level in addressing issues related to productivity and competitiveness.  This will allow the Council to work directly with agencies in resolving those issues.
Click here to download the document, NCPC Strides Towards Enhancing Productivity and Competitiveness.
Don’t forget that we are also ‪#‎social‬. If you aren’t already following us, please check us out on:
 

Facebook: www.facebook.com/stluciancpc

Twitter: @stluciancpc
WordPress:ncpcstlucia.wordpress.com
Pinterest: https://www.pinterest.com/stluciancpc/
Google+: http://bit.ly/1O1NIy1
Youtube: http://bit.ly/1QGfLCP

 Visit our website www.stluciancpc.org for regular updates on the work of the NCPC and other ‪#‎productivity and ‪#‎competitiveness related‪ #‎matters.

Have Less, Do More!

By: Kayra Williams

The less time you have, the more it seems you’re able to do. This article represents my thoughts on productivity and it’s far reaching impact in our day to day living as well as our socio-economic development. Of course productivity must begin on a personal level to have any influence on society whatsoever. To have an impact in the work place, in a country or globally… it has to start somewhere.
I took my thoughts back to my own journey of finding my most productive self, starting in 2014 with the desire to vivify my passion for writing in a way that illuminated purpose, and imparted complete self-fulfillment. After moving on from a media related post in St Lucia I’d faced a major road block. My dilemma? I wanted to chase that which ignited my existence, a quest that would lead to me spending most of my time writing books. Though now I was on a path of creative exploration, I needed to make a living. I could not ignore financial obligations chasing a dream, but I knew I had to make it work somehow. In the space of wanting something more than I have ever wanted anything before in my life, I discovered the truth to productivity, one that is directly linked to creativity, and vulnerability. But I will expound on this later.
 On the journey to finding out all these things, all the while writing furiously in my two hours of spare time every night, I stumbled upon an interview with Ashton Kutcher where he said something along the lines of “opportunity looks a lot like work.” More accurate words had never been spoken. I wondered how many other people could relate. I understood him to be saying the way to be most productive on an individual or collective level was to accept that hard work paid off. Simply put, the moment where you are expected to be most productive is directly related to one’s next manifestation of favour, good fortune, and success.
I completed my first novel in the space of a year, and the second, in about 40 hours. By the time I was onto the second I realized the best version of productivity could only be achieved by time management. Once the blueprint was set in stone, it was less about the little details and more about getting it done, and once it was done, it was all about the little details, crossing t’s, and dotting i’s. After all, productivity embodies ensuring that your time is well spent, and for this maximum effort, you will reap the same or even more of a return, something that is worth your investment in the first place.
Now back to creativity and vulnerability. Where do those fit into productivity in the first place? I had no way of knowing until one afternoon, bored out of my mind with my own company, and four days into a writing marathon, I tuned into a Brene Brown TED Talk. The Qualitative Researcher stated simply: “If you can’t measure it, it doesn’t exist.” The same words had once been spoken to her by a research professor back when she was a doctoral student getting her Ph.D in Social Work. The shared theory was the spark plug to the inspiration I had been searching for. In a 20 minute presentation she explained that those words had been her life’s mantra as she’d fought hard against vulnerability, choosing instead a life marked with controlling and predicting. She explained how she’d gone about changing her life through intensive research into the lives of other people, through pinpointing the things that created barriers related to connection, recognizing the importance of vulnerability, and ultimately the meaning of living wholeheartedly.
I had been searching for some magical aspect that would lead to unbounded innovation, and here was Brene talking about vulnerability being the root of inspiration and creativity, and by extension, productivity. On an individual level, she said vulnerability was the birthplace of creativity and inspiration. Added to that, recognizing the need for human vulnerability was the beginning of understanding life itself, and as such, connections with others. Connections that are also integral in thriving past the point of individual productivity, into the wider economical plane.
I watched her presentation to the end convinced of the underlying accuracy in the trend of thought that suggested that numbing vulnerability paralyzed creativity, drive and all the things necessary for the realization of true productive power. There was much to be explored with the simple concept of vulnerability in the sense of being more open to change and fresh ideas, accepting not knowing, then finding out, discovering new ways of thinking and doing, and not being afraid to be in that space of transition, all for the greater good. Creativity and productivity can both be found where and when they are least expected, but from there, it is always up to us to maintain and utilize the best measures for success.
 Connect with the author on twitter: @camikayne

Competitiveness guru Michael Porter stated that “A strategy delineates a territory in which a company seeks to be unique.” Within our local context, most of the key sectors operate within open markets. This means that there are no barriers to entry and as such businesses can enter the market without any restrictions. Therefore in any given sector, there are several competitors. One district may have more than one restaurant, barber, clothing store etc.  Running a successful and competitive business involves being strategic about everything including the choice of employees to your accounting practices.
 The following are out of the box ideas that these global business tigers have instituted within their respective businesses. Richard Branson founder of Virgin Atlantic, is one of Britain’s and the world’s most successful entrepreneurs. His maverick style has taken him to extremes, not only in business but also in pleasure, making him a global brand.  In competing in business, he stated the following:
“It’s not unusual for an entrepreneur to become overly preoccupied with what his competitors are up to. By doing market research on your competitors, you can work out exactly how to provide a product or service that is superior. This is the reason that I sometimes fly on other airlines – often, great ideas are sparked when you notice a problem that a competitor faces and try to find a good solution yourself.”
He believes that businesses should keep an eye on their competition while remaining focused on their team, products and services. Companies that do not practice this, will always be a step behind, and this can foster a culture that is, at its core reactionary. He maintains that businesses that are reactionary forgo innovation and can quickly become irrelevant to consumers. It becomes pointless to purchase a product/ service that another company has already done better. He further adds that companies should show ambition and put effort into creativity and focus on the next big thing which will allow the company to emerge as the one that other businesses want to copy.
The late Steve Jobs creative entrepreneur and pioneer of the microcomputer revolution gave this advice in marketing a business:
“One of the greatest jobs of marketing that the universe has ever seen is Nike. Remember, Nike sells a commodity. They sell shoes! And yet, when you think of Nike you feel something different than a shoe company. In their ads, as you know, they don’t ever talk about the product. They don’t ever tell you about their air soles and why they are better than Reebok’s air soles. They honor great athletes. And they honor great athletics. That’s who they are, that’s what they are about!”
And so, in working on Apple’s marketing strategy they focused on what their customers want to know about them, what they stand for and where do they fit in this world. Therefore, the marketing strategy focused on Apple’s core value- people with passion can change the world for the better. The company has had an opportunity to work with people who have this passion for example software developers, with customers, who have done it in some big, and some small ways.  Apple has the philosophy that, in this world, people can change it for the better. And that those people who are crazy enough to think that they can change the world are the ones that actually do. And so, their first brand marketing campaign focused on getting back to this core value.
Tony Hsieh the entrepreneur and mastermind behind the $1.2 Billion powerhouse online shoe company Zappos stated “Great things will happen if you make employees happy. It’s like a playground at the Zappos headquarters.” Tony said his employees are a little fun and very creative. One of the company’s core values is to create fun and stimulate creativity. They really recognize and celebrate each person’s individuality and they want for their true personality to shine in the work place. “This is one of the keys to how to run a successful business.”
Tony was approached to sell shoes online. He thought “it sounded like the poster child of bad internet ideas.” But it was the most exciting business from a growth perspective and he really liked the people. So he jumped on board as CEO, and run the company differently in order to ensure that the company’s culture did not go downhill.   He said if he had to go into an office, it would be with people he would choose to be around, not just for business purposes.
Tony ensured that his employees were happy by offering free lunch in the cafeteria, covering all medical benefits and even supplying a life coach to help employees reach their goals. Fortune magazine named Zappos as one of the top 10 companies to work for. Tony said “It is really more than a place to work. It is a lifestyle. The employees hangout with each other after work not because they are forced to but because they actually choose to.”
In conclusion, it is important that our local businesses understand how to strategize to build better businesses. The complacent business that has enjoyed advantages in the past may very soon find that it is overtaken by hungrier, fast-moving competitors. Businesses will need to implement strategies to enable them to be more competitive. They should strive for excellence in order to face fierce competition and more importantly for survival. This effort to outperform their competitors supports productivity and competitiveness which contributes to overall economic growth.

Innovation can come from anywhere. Some of the greatest ideas and inventions were developed when entrepreneurs decided to push themselves beyond their comfort zones.
In Saint Lucia, micro, small and medium enterprises (MSMEs) are often confronted with constraints in accessing commercial funding for their projects. The PROCOM Challenge was conceptualized in an attempt to provide co-financing to local MSMEs with innovative solutions which seek to enhance productivity and competitiveness. Winning proposals may receive co-financing of up to EC$100,000 for project implementation.
While the PROCOM Challenge encourages businesses to think outside of the box, not all business ideas will necessarily be a good fit for The PROCOM Challenge.
The following piece is intended to help prospective applicants understand the PROCOM Challenge and requirements before deciding whether or not to apply.
APPLYING FOR THE PROCOM CHALLENGE
The PROCOM Challenge welcomes proposals from registered Saint Lucian MSMEs in all sectors that address productivity and competitiveness challenges.  Project/idea proposals must fall within one of the following categories:

• Delivery of methods and or technologies to reduce energy costs for businesses
• Compliance solutions to meet domestic, regional and international quality standards
• Development of new or the adaptation of current technology to reduce operational costs and improve efficiency
• Projects or solutions to improve business processes for greater efficiency and productivity

All applications will be assessed by an Investment Panel through rigorous criteria which will take into consideration a number of factors including:

• Innovation

How will your particular idea/solution tackle productivity and/or competitiveness?

• Impact/Potential

While firm specific solutions will be accepted, preference will be given to ideas and solutions that have a potential to scale and are backed by substantial evidence.

• Sharing of Successes and Lessons Learned

The sharing of lessons learned is a very important part of the PROCOM Challenge as it will provide invaluable insight on future iterations of the Challenge. The Challenge therefore welcomes ideas/solutions from  businesses that are committed to evaluating their own success and are also open to sharing the relevant lessons learned with the NCPC team and external partners, particularly where this may be necessary to foster scale.
If you are interested in applying to the PROCOM Challenge, please follow these simple steps:
STEP 1:      Before you start an application, carefully review the eligibility criteria and selection guidelines to ensure that you are the right fit for the Challenge. This information can be found in the PROCOM Challenge Brochure and Manual which may be downloaded from the NCPC Website; www.stluciancpc.org or blog; www.ncpcstlucia.wordpress.com. You may also call 468-5576/468-5571 with any questions/queries on the Challenge.
 STEP 2: If you think your idea/solution meets the necessary requirements, submit your application using the prescribed forms and supporting documents to the NCPC; stluciancpc@gmail.com no later than 11:59pm on Thursday, June 30^th, 2016.
 STEP 3: Wait for confirmation from the NCPC. If your initial application has been shortlisted, you will be invited to a Business Plan Training Session where you will receive guidance on the preparation of your business plan for submission to the investment panel. (N.B Only successfully shortlisted applicants will be contacted by the NCPC)
STEP 4:  Completed Business Plans must be submitted to the NCPC no later than four (4) weeks after the Business Plan Training Session.
STEP 5: The Business Plans will be reviewed by the Investment Panel and short-listed applicants will be required to pitch their idea to the panel for final judging. Once approval has been given, the funds will be disbursed after signing of the grant agreement and project work will commence.
If you think your idea or solution is a good fit for the PROCOM Challenge, please visit the NCPC website: www.stluciancpc.org, Send an e-mail to stluciancpc@gmail.com or call us at 468-5576/468-5571.
 

By Mr. Cecil Charles, Research Officer in the Division of Public Sector Modernisation,   Ministry of Public Service, Information and Broadcasting

On Sunday April 17, 2016 a meeting of OPEC (Organisation of the Petroleum Exporting Countries) and non-OPEC countries failed to reach an agreement which would see oil production frozen at the January 2016 levels, in an effort to cease the global surplus of oil, thereby stimulating some increases in the price of the precious commodity. For the past 15 to 18 months prices of ‘brent oil’ have been uncharacteristically low, bottoming out at US $29 per barrel, which is almost unheard of in the present day oil markets. The oil industry has been historically characterized with seasons of price booms and busts, but the recent downturn in prices has been the most severe since the mid to late 1980. The main causes of the severe dip in oil prices are: the slowed economic activity globally, particularly in China, which has stifled global demand for the commodity; the significant increase in oil production by the United States of America as a result of the production of shale oil; and the persistence of the Saudi Arabians, who will not sacrifice market share to curb the falling prices of oil. The lifting of trade restrictions on Iran, and the general return of the trading of Iran’s oil in the global market, certainly has not helped the cause either.
In fact, the role of Iran on the global market was perhaps one of the main reasons an agreement was not reached on the freezing of production. Saudi Arabia, the world’s largest exporter of oil, was adamant that Iran should agree to freeze, if they (Saudi Arabia) were being asked to do the same. However, Iran which recently returned to the global oil trade was reluctant to hold back on its production levels, as it is attempting to carve out its own share of the market. With that being said it is very likely, that prices will remain somewhat subdued for the foreseeable future, and barring any global calamity oil prices should not be returning to the US$90 to US$100 per barrel which we have grown accustomed to.
Based on the above, it is therefore safe to assume that oil exporters are not benefiting from the present glut in the price of oil.  The questions must then be asked, “Who are the winners from the falling prices?” and “Where do oil importing countries like Saint Lucia, fit into the equation?”
The basic answer regarding the winners from falling oil prices, are the users of the commodity. This is almost everyone globally, as we need oil or one of its many derivatives to fuel our transportation, power our machinery and feed electricity companies which do not use renewable sources. It is estimated that for every 10% reduction in the price of oil, there is a 0.1% increase in economic output, for countries which are net importers of oil and its derivatives.  Obviously, this relationship will differ from one country to another, based on their energy mix and demand for energy. Notwithstanding differences, the inverse relationship exists between oil prices and economic output, for oil importing countries. For example Saint Lucia’s tourism, transportation and manufacturing sectors are all heavily dependent on oil and on oil prices. Saint Lucia boasts one of the most efficient electricity companies in the region, but this comes at a cost, as we also have one of the most expensive electrical utilities in the region. The high cost of electricity has made us inherently, less competitive and attractive to most of our near-by neighbours, especially to our nearby net exporter of oil in Trinidad & Tobago. Trinidad & Tobago enjoys the lowest energy, and one of the lowest fuel costs in the Caribbean.
The recent downturn in oil prices has certainly impacted on the Trinidadian economy, as their government was forced to introduce new and increased taxes, to cover the revenue shortfall, and to reduce its spending in the medium to short term. Certainly, this shift in prices has also shifted the scales and competitiveness balance between Saint Lucia, and Trinidad & Tobago, albeit but for a moment.
Therefore, one can deduce that countries who are net importers of oil are enjoying the present fall in prices, Saint Lucia included. This should have resulted in increased economic activity as individuals now have a higher purchasing power, once oil price reductions have been passed on to individuals; less expenditure of foreign reserves on purchasing fuel  and a lower cost of production. Prudent, policymakers will not be satisfied only with enjoying the lowered prices, but will seek to capitalize on these dwarfed prices.
It is important to note that the downward shift in oil prices should not allow us to shift our focus away from renewable energy and the related technology. We must be reminded that the price lull is like any other bubble, and is temporary, and the bubble will eventually burst. The low oil prices may make investments in renewables seem burdensome and unnecessary at the moment, but one conflict in the middle-east if severe enough, can cause oil prices to quickly shoot upwards. We must be reminded that as net importers of oils and fuels we have absolutely no control over the prices at which we purchases fuels. These are all determined by the forces of supply and demand. But, if we are to harness our renewable resource, we can take back and have some control over the cost of our energy. The lessened effects on the environment and energy security are also factors which should motivate Saint Lucia, as a country to continue to pursue the renewable energy agenda.
Nationally, governments should also see this as an opportunity to restructure their economy, making it more efficient, productive and competitive. Within the past decade oil prices averaged well over US 100.00 per barrel resulting in many countries placing subsidies on fuel, liquefied petroleum gas (cooking gas) and other oil based bi-products, to provide financial relief to their citizens and businesses. For those countries which have not already removed or adjusted subsidies, now may be the time to do so.  Lower oil prices provide some fiscal space for small states such as Saint Lucia, whereby any subsidies on oil based products can be removed or reduced, and directed to initiatives which can provide a more substantial return. Perhaps, there should be investments in technologies which will make some of our sectors more competitive, or attractive to foreign direct investment.
The global glut in oil prices may be hurting net exporters such as Nigeria, Iran and Venezuela; however, this provides a tremendous opportunity for small open economies such as Saint Lucia which are so heavily dependent on these products. The decisions made at this critical juncture should not only be in the best interest of persons in the short run, but should be considered investments which will propel our country and economy forward, thereby making us more competitive and attractive, not only regionally but globally.
Article submitted by Guest Contributor Mr. Cecil Charles, Research Officer in the Division of Public Sector Modernisation of the Ministry of Public Service, Information and Broadcasting. For more information about productivity, visit the National Competitiveness and Productivity Council (NCPC) Secretariat, 2nd floor, Financial Centre Building, Bridge Street, Castries, log on to the NCPC website; www.stluciancpc.org; www.facebook.com/stluciancpc, call 468-5571/5576 or send an e-mail to stluciancpc@gmail.com.

In today’s constantly evolving business climate, innovation makes all the difference when it comes to increasing competitiveness and improving productivity.
This was the thinking behind the PROCOM Challenge which was launched earlier this week by the National Competitiveness and Productivity Council (NCPC). The PROCOM Challenge, a collaboration between the NCPC, the Government of Saint Lucia and Compete Caribbean is intended to develop competitive businesses all while fueling innovation and productivity across Saint Lucia.
The PROCOM Challenge arrives at a time when enhancing productivity and competitiveness is attracting a significant amount of interest globally. Through this challenge micro, small and medium enterprises based in Saint Lucia are being invited to develop innovative solutions which will seek to address some of the productivity and competitiveness challenges facing the island. The PROCOM Challenge will provide co-financing of up to $100,000 XCD for the development and execution of winning proposals from businesses which focus on methods or technologies to reduce energy costs for business, compliance solutions to meet domestic, regional and international standards, technology to reduce operational costs and solutions to improve business processes.

Addressing the gathering at the Official Launch of the PROCOM Challenge, NCPC Chairman, Mr. Rayneau Gajadhar, stressed on the NCPC’s commitment to improving the business climate in Saint Lucia through its mandate. He said: “We are here once again to deliver on our mandate, by launching the PROCOM Challenge. The Challenge was designed in response to the various barriers faced by the private sector in enhancing their productivity and competitiveness. The NCPC is not satisfied with only identifying problems, but also seek to formulate and be part of the solution.”
The PROCOM Challenge complements ongoing reforms by the Government of Saint Lucia to facilitate an enabling environment for business growth. Prime Minister, Dr. Kenny D. Anthony who delivered brief remarks at the activity, emphasized the direct relationship between innovation and economic growth.
“We understand that innovation projects are often expensive undertakings due to the associated risk. Therefore, as part of our commitment to supporting firms to be more productive and competitive, the Government of Saint Lucia through the NCPC will be financing the PROCOM Challenge. We have taken the first initiative by providing seed capital for this project. We are therefore looking forward to the success of the PROCOM Challenge and to build upon the success by partnering with the private sector especially the financial institutions and other key stakeholders for continued sustainability and growth of this initiative.”
The NCPC’s Executive Director, Fiona Hinkson highlighted the endless possibilities which exist with this new undertaking, “Having recently attended a very information and eye-opening exchange in Arizona and California at the Americas Competitiveness Exchange (ACE) on Entrepreneurship and Innovation, today shows that we are taking steps in the right direction. The best practice that is shown from the recent exchange is the partnerships between the government, the private sector and academia. These partnerships in the US have resulted in innovative products, processes and practices that we can adapt to our realities in Saint Lucia. I believe that the PROCOM Challenge provides us with an opportunity to do so.”
While firm-based solutions will be considered, the NCPC is encouraging solutions which can be applied across a multitude of organisations and/or sectors.
The PROCOM Challenge will run from April 18^th to May 27^th, 2016.
The  PROCOM Challenge Manual,  PROCOM Challenge Brochure  will help to determine whether your business meets the eligibility requirements and whether the challenge can help you.
MSMEs are encouraged to visit the NCPC website and Facebook pages www.stluciancpc.org, www.facebook.com/stluciancpc  for regular updates on the challenge or call 468-5571/468-5576 with any questions/queries.
If you meet the requirements and have an innovative idea which you believe can improve competitiveness and productivity in Saint Lucia, complete the PROCOM Challenge Application Form  and send us an  e-mail.
 
 

By Mr. Janai Leonce, Deputy Chief Economist, Research & Policy Unity, Ministry of Finance

Productivity refers to the efficiency at which inputs can be transformed into outputs.  The more productive a society or entity the better it can transform a given set of inputs into outputs. Within any society or entity many different factors can influence that efficiency. These factors range from work arrangements and systems to the level of technological adaptation and capital infrastructure used.   In this piece however we focus on the quality of the workforce which is a key input and factor of production. The quality of the workforce is important and speaks to the intrinsic and intangible aspect of workers including their drive, analytical skills, ingenuity and ability to innovate.  These traits, particularly the ability to innovate and be driven often results in the worker in conjunction with an open minded management team identifying new approaches to doing business which often redounds to the benefit of both the worker and work environment.
Despite the importance of these intangible traits its often difficult to speak about them in an objective and measured way given that there is little empirical ways to capture and measure them.  Consequently, other variables are often used to serve as a proxy for workforce quality.  The most used of those are the performance at various educational stages of the worker.  The thinking behind this is that success in those exams can be a rough proxy for drive and analytical skills.  The better an individual performs the more drive and skills he/she is assumed to have.  While this assessment is not without its flaws reasonable levels of data for St Lucia exist on the education system and as provides for an interesting case study.  How well are our students (and therefore soon to be workers) performing at various exams and does this say anything about the quality of persons entering the work force? Information on the average percentage pass rates for the CXC examinations and for the A’ Level Cambridge and CAPE exams will be our two references points in this piece.
 Over the last 10 years the average number of CXC subject entries, which is a function of the number who sat the exam multiplied by the number of subjects written, was 15,166 annually with an average pass rate of 68.7 per cent.  While there has been some volatility in both the subject entries and pass rate, in the main, both have been on an upward trend. The number of subject entries rose to 15,096 in 2014 from 12,817 in 2005 while the pass rate rose to 71.4 per cent in 2014 from 70.6 per cent in 2005.  An interesting dynamic of this performance can be found by assessing the distribution of said passes between the grades i.e. passes at grades 1 through to 6 with a grade one being the highest and a 6 the lowest.  Over the full period studied (10 years) the percentage of subject entries which were grades of one or two averaged 13.1 and 25.2 per cent respectively while the majority of entries (30.3 per cent) were grades three.  The distribution of exam performance across the remaining three classifications in sequential order were 18.3, 11.8 and 1.0 per cent respectively.  Taking a more recent view however there have been some positive developments with increased percentages of passes at both the grades one and two levels and reductions at the grade three and four. The percentage of students who received grade ones inched up to 14.8 per cent from 13.1 per cent while the increase was more nuanced on the grade two with an increase to 25.8 from 25.2 per cent.  Tempering this positive news concerning pass rates is the fact that the dropout rate at the secondary school level for males has averaged 1.9 per cent between 2004 to 2013 with a high of 2.4 per cent in 2011, seemingly on an upward trend and for females 1.0 per cent. 
Although there are many levels of tertiary education which we can assesses to gauge worker quality the most readily available series of data is the percentage pass rate at the Division of Arts Science and General Studies (DASGS).  As such we’ll briefly assess those results.  At the DASGS percentage pass rates rose to an average of 75.6 in 2014 from 73.8 per cent in 2007 and the percentage of passes between grades A to C rose to 41.5 per cent from 23.1 per cent in 2007.  Complementing these statistics is the fact that enrollment at the main divisions of the Sir Arthur Lewis Community College 2346 in 2013/14 from 1689 in 2006/07 and a fall in the dropout rate from a high of 5.9 per cent in 2008/09 to 3.4 per cent 2012/13.
In the previous paragraphs we’ve sought to assesses the percentage pass rates and distribution of grades receive at two education levels secondary and tertiary to provide a rough approximation of the quality of the workforce.  In both instances evidence suggest that our students are performing better but there are many caveats which need to be mentioned.  The first is that there appears to be an imbalance balance between the number of students doing science technology engineering and mathematics (STEM) subjects relative to humanities.  Estimates for the year 2014 put this at 39.0 per cent which is low given that Sir Arthur Lewis in his writing on economic development urged developing countries to increase this number as a prerequisite for a truly innovative workforce.  The second is the number of drop outs are high with more than one hundred dropping out annually.  The third is that only a few students pursue education post-secondary school leading to a worker force without higher order skills sets.  Soft skills which include communication skills and emotional intelligence are traits which even the most successful in the academic arena may lack and we need to build systems which engender these into our citizenry. 
While we may be tempted to laud/celebrate the academic achievements of those students who achieve pass grades in the CXC and CAPE exams, the stark reality remains that a significant percentage of students are completing basic schooling functionally illiterate. 
The morale of the piece is that while we may have a basic foundation with which to build on, there is much work which would need to be done to build a truly productive workforce. When all is said and done, a low-quality workforce threatens the level of productivity and competitiveness that we are trying to achieve.
Article submitted by Guest Contributor Mr. Janai Leonce, Deputy Chief Economist, Research and Policy Unit, Ministry of Finance and NCPC Council Member. For more information about productivity, visit the National Competitiveness and Productivity Council (NCPC) Secretariat, 2nd floor, Financial Centre Building, Bridge Street, Castries, log on to the NCPC website; www.stluciancpc.org; www.facebook.com/stluciancpc, call 468-5571/5576 or send an e-mail to stluciancpc@gmail.com.
 
 
 

From April 10th- 16th, 2016, fifty-one (51) high-level representatives from twenty-four (24) countries around the world will gather in the United States for the V Americas Competitiveness Exchange (ACE) on Innovation and Entrepreneurship.
For the past five (5) years, ACE has brought together together decision-makers to explore global and regional partnerships and economic development opportunities that will strengthen innovation and entrepreneurship. This year’s delegates will have the opportunity to meet with Innovation and Entrepreneurship Hubs throughout Arizona and Southern California.
Saint Lucia will be aptly represented by Honourable Emma Hippolyte, Minister for Commerce, Business Development, Investment and Consumer Affairs, Mrs. Fiona Hinkson, Executive Director of the National Competitiveness and Productivity Council and Mrs. Barbara Innocent- Charles, Director of the Small Business Development Centre (NCPC)
To find out more about the Americas Competiveness Exchange please visit www.riacnet.org.
Don’t forget to visit the NCPC Facebook page and website www.stluciancpc.org regularly for this and other news updates.
 

Attitude is everything where productivity is concerned. As organizations continue to invest resources in improving organizational productivity, it is critical that emphasis be placed on equipping employees with the necessary tools they need to succeed in an effort to foster a culture of productivity. Training continues to play a key role in not only sharpening employees’ core skills but also improving individual attitudes which will have a significant impact on output and performance.
With this in mind, the dynamic team of women who coordinate the day-to-day operations of the National Competitiveness and Productivity Council (NCPC) recently completed The 5 Choice to Extraordinary Productivity. This two-day extensive training workshop was presented by Celestial Learning Development Centre, a full-service Human Resource and Business Consultancy firm in Saint Lucia. The training exercise was facilitated by Afra Schimming-Chase, L.L.B., LLM, CFP, a well-known Certified Financial Consultant and Motivational Speaker of Franklin Covey Namibia.
Like many of the solutions offered by Franklin Covey, a major focus of the 5 Choices training exercise was performance. The training group consisted of approximately 30 management professionals from companies across the island, (including the NCPC Secretariat Team). After having completed the workshop the trainees were equipped with the tools to enhance both their professional and personal productivity.
Fiona Hinkson, Executive Director of the NCPC Secretariat stressed on the importance of training as a critical component of any organization’s long term strategy. “Training is essential to any organization’s success. Since productivity affects companies’ bottom line, understanding the productivity culture of an organization and ensuring that at least the management is properly trained in productivity techniques will go a long way in improving performance. Part of our mandate at the NCPC is  identifying issues related to productivity and competitiveness in Saint Lucia, providing the necessary advocacy and research to produce timely and effective recommendations to policymakers on these issues. The decision for my team to receive the 5 Choices Training was an easy one for me. As the national body focused on productivity and competitiveness, this training has given us a more intimate understanding and greater sensitivity to productivity related issues. What I loved most about the workshop was that in addition to the theoretical information shared, there were many opportunities for us to share stories and personal experiences and we also walked away with practical tools which will help to enhance productivity in our professional and personal lives.”
Since completing the workshop two-weeks ago employees at the NCPC Secretariat have noticed positive changes not just in the work place but also in their personal lives.
Sharma Mathurin, Economist at the NCPC Secretariat noted, “We have always been a very action-oriented team however the workshop has exposed us to practical tools and techniques which will allow us to become even more efficient at our jobs. The way in which we conduct our meetings has already changed. Additionally, the Secretariat has adopted practices from the training exercise which will continue to empower us to develop a culture of productivity within the team. We have also found that by constantly speaking the productivity language and always thinking in terms of the four quadrants, we have been better able to prioritize our work. This training is so much more than productivity training, the 5 Choices equips trainees with very essential tools for living a fuller life.”
Productivity affects and benefits everyone. The more organizations learn about productivity the more poised they will be to improve organizational performance.