About the Council for Competitiveness & Innovation

Francis M. LewisVice Chairman, Council for Competitiveness and Innovation (CCI)Wednesday 14th November, 2012

Defining Competitiveness & Innovation

Competitiveness is the set of institutions, policies and regulations that support high levels of productivity and drive productivity growth and sustained increases in output.

Innovation is a process of generating, acquiring and applying knowledge for economically and socially beneficial purposes. (Marcelle, 2011)

About the CCI

The Council for Competitiveness & Innovation (CCI) was established by the GoRTT in 2011 as an Advisory body to the Ministry of Planning.

The CCI is charged with the responsibility to significantly improve T&T’s global competitiveness and foster innovation as key drivers of a diversified knowledge based economy.

Ministerial Council

Executive Director (Shared CCI & ECB)

Economic Development Board

Project Management & Implementation

New Business Design &

Development

Development of Growth

Poles

Research & Policy Unit

Support Staff (Outsourced Expertise, Secretary, Accounts , etc)

Council for Competitiveness & Innovation

Ministry of Planning & Sustainable Development

Economic DevelopmentBusiness Unit

Competitiveness & Innovation

Business Unit

Communications & Events

Research & Analyst

T&T’s GCI Ranking in relation to other Caribbean & Latin American countries

01 02 03 04 05 06 07 08 09 10 110

20

40

60

80

100

120

T&T B'ds J'caChile Costa Rica Brazil

GC

I Ran

king

T&T’s GCI ranking vs innovation driven economies

COUNTRY Per Capita GDP

(Current USD)

Per Capita Export (USD)

Ease of Doing

Business

Population (Millions)

STAGE OF DEVELOPMEN

T

Overall Competitive

Rank

Trinidad & Tobago $20,300./ 61 $12,700./18 68 1.32 Transition 2-3 84

Mauritius $15,000. / 84 $1,850. /62 23 1.29Efficiency Driven

(2) 54

Chile $16,100. / 74 $4,000./ 42 39 17.4 Transition 2-3 31

UAE $48,500. / 11 $37,200. /3 33 8.26Innovation driven

(3) 27

Canada $40,300. / 22 $9,430. / 24 13 34.83Innovation driven

(3) 12

USA $48,100. / 12 $3,375./ 46 4 313.72Innovation driven

(3) 5

Singapore $59,900./ 5 $45,302./ 2 1 5.18Innovation driven

(3) 2

New Zealand $27,900./48 $6,725./34 3 4.3Innovation driven

(3) 23

Israel 31,000./41 $7,060./30 34 7.3Innovation driven

(3) 22

CCI’s Work Programme 2012 - 14

1. Improve T&T’s Competitiveness Ranking by 20 points.

2. Double non-energy exports.

3. Increase RDI expenditure to 1% of GDP.

4. Raise national awareness of innovation.

5. Help existing firms become more competitive & export-ready.

6. Developing National Innovation Strategy & Policy [NIS/NIP] (assigned in October 2012)

Action Plan Objective Target Owners

• Increase economic growth 2% by 2013/14 GoRTT, Private sector

• Develop a National Innovation System

3rd Quarter, 2013

Ministry of Planning and Sustainable Development

• Identify additional strategic sectors for increased investment

Q3, 2012 EDB in collaboration with Business Sector Associations

• Increase expenditure in R&D 1% of GDP by 2014

GoRTT

• Improve ranking on the Global Competitiveness Index

20 points by 2014/2015

CCI in collaboration with Business Sector Associations

• Increase non – energy exports 100% by 2014 All stakeholders

• Increase resources to the Public Sector Investment Prgm (PSIP)

8% of GDP by 2014

GoRTT

The End Thank you for your attention!

Key Areas that T&T need to address?

11. Financial Market Development

10. Infrastructure

9. Technological Readiness

8. Higher Education and Training

7. Health and Primary Education

6. Institutions

5. Business Sophistication

4. Labour Market Efficiency

3. Goods Market Efficiency

2. Innovation

1. Market Size

0 20 40 60 80 100 120

43

45

53

61

61

68

73

82

89

94

108

So what is the CCI doing to achieve its deliverables?

1. A dramatic improvement in T&T’s global competitiveness rank

Identify area for priority action based on 2012 survey

For 2013 survey Continue program to sensitize and build awareness with

Private and Public sectors Develop a Communications Plan Execute the plan six (6) months prior to the survey

So what is the CCI doing to achieve its deliverables?

2. The doubling of non-energy exports. Undertaking a survey with 100 private sector firms - manufacturing and

services sectors.

This would assist in policy formulation in areas such as Innovation R&D Human capital development Standards and technical regulations Tax incentive regimes Ease of doing business Trade facilitation and promotion

So what is the CCI doing to achieve its deliverables?

3. Building national awareness of innovation

“i2i” competition

Invest in the creativity, potential and ingenuity of citizens to conceive new inventions and innovative projects.

Ideas can be generated through: Creation of new products,

services, a system designs or processes

Improvement of a new product, service, business process or system

New process of adding value to T&T sourced raw material

The local and/or export market

So what is the CCI doing to achieve its deliverables?

4. Making existing companies more competitive.

Education & Training Continuous staff training Improved staff performance

Technological Readiness Access & advanced blueprints Enhanced productivity

Innovation Design & develop cutting edge products & processes Increased R&D

Business Sophistication Increased production of goods & services Increased competitiveness

Benchmarking against top performers

Key characteristics of the top performers are: 1. High capacity for innovation

Quality scientific research institutions Company spending on R&D University / Industry collaboration in R&D Utility patents granted

2. Strong work ethic Pay and productivity Reliance on professional management

3. Safe and secure environment Low levels of crime and theft Efficiency

What is innovation? Renewal & enlargement of

range of products & services

New methods of production, supply & distribution

Changes in Management, organizations,

working conditions

Changes in skillsets of the work force

Deliverables

Dramatic improvement of GCI ranking by at least 20 points by 2014 - From 84 to between 50 – 60, in the next two years.

Significant expansion of non-energy exports i.e. double exports in the next two years.

Increase R & D expenditure to 1% of GDP by 2014. (T & T GDP is in 2014 will be TT$225 – 245 billion or US$35 – 37 billion). This means getting R & D spending to about TT$225 – TT$245 million in 2 years.

Raise awareness of competitiveness and innovation.

 Develop two separate but related national policies on Competitiveness and Innovation, by September 2012.

Aim is to catalyze transformation of the economy and reduce dependence on hydrocarbons, over the next 10 years.

Stakeholder Collaboration

CCI