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 Siong

Director, Entrepreneurship Development, SPRING Singapore
Secretariat to the Action Community for Entrepreneurship
20 January 2011
 Journey of Entrepreneurship

Phases of Economic Development

1965 – 1978: 1979 – 1985:

Export Oriented Industrial Restructuring
Industrialisation

1998 onwards: 1986 – 1997:

Transforming to Capability Building and
Knowledge-Based Economic Diversification
Economy

2
 Entrepreneurship as a Strategy

ƒ Crises 1997 – 2003

ƒ Entrepreneurship to be driver of Singapore’s economy
ƒ Appointed Minister in charge of Entrepreneurship
ƒ The Action Community for Entrepreneurship (ACE) – a public-private
sector collaboration to enhance entrepreneurship landscape
ƒ SPRING Singapore is the government agency that promotes enterprise
development

Entrepreneurial
Singapore

3
Overview of ACE

4
Action Community for Entrepreneurship

ACE is a private and public sector

movement aimed at creating a
more entrepreneurial Singapore.

ƒ Building a Pro-enterprise Environment

Facilitate Review of Rules and Regulations
Pro-Enterprise Ranking of Government Agencies
Facilitate SME Financing

ƒ Facilitate Networking & Learning

BlueSky Exchange / Festival

ƒ Building an Entrepreneurial Culture

ACE Speakers’ Circuit
Enterprise Day
Global Entrepreneurship Week
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 ACE Structure

Chairman
Minister Lee Yi Shyan

Deputy Chairman
Inderjit Singh, Entrepreneur

Action Crucibles

Culture Research Internationalisation Rules

Mrs Kim Faulkner, Dr Antony Ng, Mr Richard Eu, Mr Patrick Daniel,
Mr Prakash Somosundram, Entrepreneur Entrepreneur Executive
Entrepreneurs

Supported by Secretariat
(SPRING Singapore)

6
 Some of ACE’s Contributions

• 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

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Overview of SPRING

8
 SPRING’s Mission and Vision

SPRING Vision
Global Singapore Enterprises
SPRING Mission
To help Singapore enterprises grow and
To build trust in Singapore products and services

Enterprise Quality &

Development Standards

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 Enterprise Development Strategies

• Global Singapore Enterprises

• Pool of Home-Grown Champions in
Key Sectors

[ Groom Growth-
Oriented Enterprises

Z
Seed and Y
Develop
Nurture
Competitive
Innovative
Management Clusters Know-How
Start-Ups

X Strengthen Environment Conducive for

Money Enterprise Development Markets

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 Strengthen Environment for Enterprise Development

Key Initiatives
Pro-Enterprise Rules and
Regulations
Supporting Entrepreneurship
ƒ Pro-Enterprise Panel (PEP)
ƒ ACE ƒ Ease of Doing Business (EoDB)
ƒ Entrepass
ƒ YES! Schools

Access to Info &

Access to Financing
Capability Upgrading
ƒ Govt Loans, LEFS, LIS, MicroLoan
ƒ OTC ƒ Network of 5 EDCs
ƒ EnterpriseOne Portals / Hotline
ƒ Innovation Voucher Scheme (IVS)

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 Strengthen Environment for Enterprise Development

www.business.gov.sg
ƒ Online business info and government e-services

Business Support Services: One Network for Enterprises

Enterprise Development Centres (EDCs) EBIS@SBF

ƒ Business & Financial advisory & consultancy services ƒ Market info resources & research services

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 Develop Competitive Clusters

Key Initiatives

Drive
Drive
Build
Build Enhance
Enhance
Capability
Capability Grow
Grow New
New
Manpower
Manpower Productivity
Productivity
Upgrading
Upgrading & & Markets
Markets
Capabilities
Capabilities and
and Service
Service
Innovation
Innovation

Partnership with Trade Associations & Chambers (TACs)

through LEAD Programme

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 Seed and Nurture Innovative Startups

Key Initiatives

IHLs
Idea Proof of Concept/ Go to
Generator Commercialisation Market
RIs

Individuals
ƒ YES! Schools ƒ YES! Start-Ups ƒ SPRING SEEDS
ƒ Business Plan ƒ Technology ƒ Business Angels
Competitions Enterprise ƒ Venture Capitalists
Commercialisation
Scheme (TECS)

ƒ Incubator Development Programme

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 Grooming Growth-Oriented Enterprises

Key Initiatives
Market
Facilitate Access to Global Markets,
Link SMEs to MNCs & Foreign SMEs

Management
Advanced Management Programme;
Management Development & Executive
Development Scholarships; Business
Advisory Programme; Executive Training
Programme & HR Capability Programme

Know-How
Technology Innovation; Branding;
IP Management; Business Excellence; Design

Money
Private Sector (OTC Capital, Catalist, etc)

Supported by TACs
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 Some Achievements for Singapore
#1 (2007-2011)
in pro-enterprise environment
World Bank Doing Business Report
#3 (2010-2011)
in world competitiveness ranking
World Economic Forum
Global Competitiveness Report
#1 (2008)
in government policies &
corporate performance most
encouraging to innovation
BCG Global Innovation Index / NAM /
MI International Innovation Index
#4 (2009)
in access to capital
US Milken Institute Capital Access Index
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Entrepreneurship Education

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 A Vibrant Youth Entrepreneurship Scene

Encourage
Competition
Experimentation,
Experience
Innovation &
Enterprise Learning

Learning by Doing

Awards & Recognition Startup Immersion

Experience

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 A Vibrant Youth Entrepreneurship Scene

ƒ Innovation and Enterprise Learning

ƒ Teach Less Learn More
ƒ ACE Speakers’ Circuit
ƒ Junior Achievement (JA) / FedEx International Trade Challenge
ƒ Spirit of Enterprise
ƒ $22m University Innovation Fund
ƒ Diplomas, Degree (Minor) in Entrepreneurship
ƒ MSc Technopreneurship & Innovation Programme

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 A Vibrant Youth Entrepreneurship Scene

ƒ Encourage Experimentation
ƒ Design Competitions
ƒ Tan Kah Kee Young Inventor Award
ƒ YESCOM
ƒ National Pushcart Challenge
ƒ Lee Kuan Yew Global Business Plan Competition
ƒ Start-up@Singapore Business Plan Competition

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 A Vibrant Youth Entrepreneurship Scene

ƒ Startup Immersion Experience

ƒ Internships with Singapore-based startups (e.g. Innovative Local
Enterprise Achievement Development or iLEAD)

ƒ 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

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 A Vibrant Youth Entrepreneurship Scene

ƒ Award & Recognition

ƒ Shell LiveWIRE
ƒ Spirit of Enterprise (SOE) Award
ƒ Singapore Youth Award for Entrepreneurship

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 Strategy for Youth Entrepreneurship

ƒ $25M Entrepreneurship Talent Development Fund (ETDF) to seed youth

business ventures, and encourage entrepreneurship through “learning by doing”

Initiation to Development Commercialisation

Entrepreneurship of ideas of ideas

support schools support idea/project support student

entrepreneurial development ventures
learning activities

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 YES! Schools

Grant for schools to promote entrepreneurship

among students and nurture budding young
entrepreneurs through “learning by doing”

Hands-on Learning

Evaluation
Holistic Reach
Criteria

Entrepreneurship & Innovation

Entrepreneur Mentor

2008: Launch
2009: 31 schools, 6,000 students
2010: 41 schools, 8,000 students
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 YES! Schools

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.

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Learn Develop Commercialise
Entrepreneurship Ideas Ideas

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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 YES! Startups

Grant for youths to start their first innovative venture and

learn entrepreneurship through “learning by doing”
Eligibility
(i) The Applicant (ii) The Startup
• Singaporean/PR, below 26 • A new company
• First time entrepreneur • Business activities based in Singapore
• Key driver in the company. • Engage in value-add/high growth activities

Innovativeness of business idea

Evaluation
Commercial feasibility Criteria Potential market

Management team
2008: Launch
2009: 41 startups, 65 youths First “scholarship” for young entrepreneurs
2010: 31 startups, 38 youths to start their first innovative business.
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 YES! Startups

FlickEvents is a one- Emeeto is a rich media service Zimplistic designs home

stop e-platform for easy provider developed by Eme appliances and is currently
event management and Tech, to facilitate online developing a chapatti-making
effective community collaboration including appliance, which it intends to
engagement, providing communication, conference, patent and license to major
a full suite of event coordination, knowledge- consumer electronics
management tools. sharing and entertainment. companies.
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YES! Startups

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YES! Startups

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sim_choon_siong@spring.gov.sg
www.spring.gov.sg
www.ace.sg

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 Formation of New Companies and Businesses

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
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 SMEs in the Singapore economy

99% of all enterprises in Singapore are SMEs

Large Enterprises
(1%)
SMEs
(99%)
168,000

Number of Enterprises

… they employ 6 in 10 workers … and contribute about half of

total value-add
SMEs Large Enterprises SMEs Large Enterprises
(57%) (43%) (51%) (49%)

1.6 million $113 billion

Number of Workers Value-Add*

* Refers to value added at 2000 market prices

Last updated: 10 March 2010 Source : DOS & SPRING 35

Enterprise Landscape in Singapore

Large
Companies
(~1,400)

$100m

Small & Medium Enterprises

(~30,000)

$1m
Micro-Enterprises
(~110,000)

Notes: The MSM Enterprises figures are SPRING’s estimates based on DOS 2007 figure
Includes both local and foreign enterprises
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 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 Understanding Value, Recognising Opportunity, Envisioning &
Mindset Innovation
Character Ethics & Passion / Perseverance
Development
Relationship Leadership / Teamwork, Customer Perspectives / Marketing &
Management Communications
Business Skills & Financial Acumen, Competitive Advantage & Risk Taking
Technical
 Learning Outcomes

9 – 12 yrs old 13 -16 yrs old 17 yrs old & above

Understanding Understand Understand Understand

Value entrepreneurship as entrepreneurship as entrepreneurship as
value creation value creation / value creation /
Understand different Ability to formulate
business models an appropriate
business model

Competitive Understand concept Understand concept Understand barriers

Advantage of competition / of competitive to entry and
Ability to identify advantage / Ability business
substitutes to identify differentiation
substitutes & build
on strength