Help to innovate
Surrey Business School (SBS)’s Enterprise team is delighted to announce a series of thought leadership articles and today, the series launches with a discussion on improving productivity and addressing current challenges.
Improving productivity has long been a key challenge for the economy in the United Kingdom and is a driver for economic growth. Since the Great Recession in 2008, productivity growth has slowed from 2% per annum to approximately 0.7% as measured by output per hour. This corresponds with a drop in the economic growth rate from approximately 2.5% per annum to 1.0% per annum with most of the growth coming from increasing numbers in the workforce (The Productivity Institute).
If we look at the drivers of productivity, they relate to a long-term decline in investment and in training, inadequate diffusion of practice and an absence of joined-up policymaking. Part of this is down to government austerity measures since 2008, but low private sector investment in developing skills has also been a factor while private sector investment tends to be narrowly focused on a few companies.
For small companies, this is a particularly acute problem because they lack the means of larger companies to invest in innovation yet must adapt to the fast-changing Digital Economy. This is an area where government policy can make a difference.
Developing professional skills
Collaboration through programmes such as Help to Grow: Management is a great way that small businesses can support innovation. The programme launched in 2014 supports growth for small and medium-size enterprises (SMEs) and is 90% government funded.
Run through accredited business schools, the programme is designed to support managers develop growth action plans tailor-made for their individual business needs. In addition to building skills for the future, the programme builds an alumni network which managers can tap for expertise and business contacts.
The feedback from small businesses has been overwhelming: "92% of alumni would recommend this course to another business leader" (Small Business Charter).
Collaboration supports innovation and leads to improved productivity and stronger growth. To find out more, please click here.
Related sustainable development goals
