Business and Education working in partnership

A speech for Arts Colleges – 12th April 2002

 

Slide 1 – title slide

 

Let me start by thanking you for inviting me here today to speak at your first conference for Arts Colleges.    I’m really pleased (and not a little apprehensive)  to be here –for two reasons.   

 

Firstly, because of the issues we’re facing today.

Slide 2 – today’s discussion

 

·        I want to begin by looking at four key revolutions of change we are all facing.

·        I then want to examine how those revolutions are affecting the businesses that will employ the young people with whom you work when they leave school.

·        Finally, I want then to question how schools and employers might work in partnership to tackle the effects of those revolutions

 

What I’m going to say will often be anecdotal and I don’t pretend to have any marvellous answers – other than BGOs – blinding glimpses of the obvious.   But I hope the issues I’m going to explore will excite some interest.

 

And that brings me to the second reason for my delight at being here. I am a former headteacher – a primary one.   I know two things about groups of headteachers.   The first is that within them they now hold the keys to change and regeneration in their own communities – in the same way that the Church did over a century ago.    The second is that, as a group, headteachers make the most challenging and demanding audience any speaker is likely to face.  (or so said Barbara Castle in her autobiography.)   So I’m excited to be speaking to you – but I do feel a bit like someone who’s just about to be fed to the lions.

 

 

Slide 3       Setting some context

 

Let me set a context for what I’m going to talk about with a quick introduction to my own organisation.   Twenty years ago, almost to the month, if you’d been a visitor to Toxteth or Brixton, or St Pauls in Bristol, you would have encountered communities in turmoil.    You would have found mistrust of local services, a growing frustration with the way in which those with money had turned their back on those living within those communities, a seething rage, often racially polarised.   This mistrust, frustration and rage finally boiled over into the riots that took hold of a number of inner city areas of our country.    You will remember the news pictures of street fights, looting, burnt out cars and CS gas.  

 

What you may not remember is the fact that, in all three communities, amongst the destruction and anger, one particular chain of stores remained unscathed.   And that was Marks and Spencers.    No-one broke their windows, despite the fact that they had a strong presence in each of the riot torn areas.     People, business people particularly, asked why – and it became apparent from interviews with local community leaders, that people had left M&S alone because it was trusted within the communities it served.    It supported where others ignored.  

 

And from this discovery, Business in the Community was born.    Chief Executives of other companies, stunned by what they saw on visits to the communities that had been torn apart by the riots, felt that ‘something should be done’ and that they should follow M&S’s example.    From that inauspicious beginning, BITC has grown to become a unique organisation of over 750 companies in the UK (the largest of its sort in the world) committed to doing business in a better way – by working to improve environmental performance, developing truly diverse employment policy, trading ethically and, still, by putting time, talent and a percentage of profit, back into the community.   We continue to believe that a healthy back street makes a healthy high street.

 

Slide 4 – Four revolutions

 

So on to the exploration ;    

There is an old Chinese saying that “forecasting is difficult – especially about the future!”

One thing we can say without any difficulty is that we are already living in a time of profound change – and the speed and extent of this change is going to intensify.

 

Just reflect that only 12 years ago, the Berlin Wall was still place; Communist regimes ruled in Eastern and Central Europe; and the apartheid regime in South Africa still held Nelson Mandela in jail.

 

12 years, the time it’ll take a child who joined the Reception class in September, to work through the school system to reach current statutory school leaving age.

 

·        A year’s worth of growth in the US economy in 1830 happens in a single day today. 

·        All of world trade in the whole of 1949 happens in a single day today. 

·        The equivalent of all the science done in 1960 happens in one day today. 

·        All of the foreign exchange dealings around the world in 1979 happens in a day today. 

·        All the telephone calls made around the world in 1984 happens in one day today. 

·        The equivalent of all the e-mails sent around the world in 1989 happens in one day now.

 

That is the reality of the speed and extent of change through which we are all now living. 

I believe we’re living through 4 revolutions of change – and that these will have a major effect on our education and business systems.

 


Slide 5       Revolution 1 – TECHNOLOGY

 

The most  dramatic changes are coming from the growth in the power of computing and telecommunications.

 

Our ability to access and transmit information is increasing dramatically with the phenomenal increase in computing power and telecommunications capacity and reduction in cost.

 

·        Computer power is 8000 times cheaper than it was 30 years ago.

 

·        If there was a similar rate of progress in the automobile industry, today you would buy a Jaguar car for $2, it would travel at the speed of sound and travel 1000 miles on a thimble of fuel

 

This transforms work: what work is done, where it is done, when it is done and by whom:

·        As many people now work in the IT industry in Barbados as work in growing sugar there.

 

And what we know is that higher levels of skills – regularly renewed throughout one’s life – will be essential for finding and keeping a good job.

 

Slide 6       Revolution 2 - REVOLUTION OF MARKETS

 

The technology revolution is driving and is driven by the second revolution: of markets.

 

Since the collapse of Communism and the fall of the Berlin Wall, there has been a rapid process of liberalisation, privatisation and globalisation.

 

Three billion new consumers have entered the world economy in the past decade.

 

We now have powerful transnational companies with global brands.

 

From Cape Town to Buenos Aires; from Sydney to New York; from Los Angeles to Moscow: you will find the same global brands – especially in popular music; in fashion; in fast-food.

 

Think of the Nike swish and “Just do it” – the golden arches of McDonalds; the ubiquitous Levis.

 

Some see this as the CNN world – that we have been coca-colonised!

 

The youth culture is global – and the Internet and other new global media will intensify this.

 

I was in Uganda just a couple of months ago. When I was travelling around the South East, it was fascinating to watch the teenage taxi driver who was ferrying me around, appear each morning, wearing a different, designer-label T-shirt and listening to the same pop music that was playing in London.

 

But less than half an hour’s drive from the capital city: Kampala – there were villages which did not seem to have changed in a thousand years.

 

Some suggest there is a conflict here: global cosmopolitans or locals. I think the two can co-incide, and our business and education systems can help them to do so:

 


Slide 7 - Revolution 3 - REVOLUTION OF DEMOGRAPHICS

 

After 3.85 billion years of evolution, world population had risen to 2.5 billion by 1950 and has doubled over the last 50 years to 5.9 billion, and is set to double over the next 50 years to 9.5 billion. Source: Business in the Environment. 

 

85 million more people are added to the world’s population every single year.   Around November 10th this year, somewhere on this planet, a baby will be born who will tip the world’s population over six billion.

 

The other key feature of this revolution of demographics is that we are getting older!

 

We’ve got to think more carefully about how we can use the skills of everyone.

 


Slide 8  - Revolution 4 - REVOLUTION OF VALUES

 

The fourth revolution I want to highlight is that of Values.

 

Across the world, there is the phenomenon of the decline of deference to the established sources of authority – intensified by the wider availability of information and knowledge which means that “experts” are no longer so much in control.

 

This has had an enormous effect on the way that young people view adults.   In business, We are becoming more aware of and open to our different stakeholders.

 

Tom Delfgaauw at Shell describes this  changing attitude as: from:

  “Trust me -- Tell me -- Show me” (and query increasingly: -- Include me)

 

Organisations in all three sectors are being moved along from top to bottom

Slide 9 – model of engagement

 

ignore -- listen -- listen+ act -- involve --include

 

Slide 10 – growing expectations on business

 

 

Obviously the pace of change in society that I’ve already spoken about affects business as much as it affects young people.   We see that in the way companies fall in and out of the FTSE much more often than ever before.

 

But change isn’t the only pressure on business.

 

I asked one Chief Exec recently what kept him awake at night.

 

He reeled off the following list:

“diminishing role of government

regulatory pressures – you can tell he worked in the telecom industry!

Media scrutiny

Society’s expectations of his company

The need to attract and retain the best staff

Returns on investment

The transparency that is now required about product information

Adherence to standards

The pressures of globalisation

Corporate governance”

 

… and I thought the pressures of the Key Stage 2 SATS had been bad enough when I was a headteacher!

 

Last year, The Financial Times and PriceWaterhouse Coopers asked the same question to 750 Chief Execs listed in their ‘Most respected Companies’ survey.

 

Slide 11 – Most important business challenges

 

One can begin to see why companies are getting more and more interested in education and what our education system turns out.    Why peddling products to young people seems rather less important than ensuring that young people are properly prepared for adult life.

 

In 1999, in fact, the McInsey War on Talent research showed that only 3% of companies believed they were recruiting enough talent to reach their business objectives in 5 years time.

 

And as for acting responsibly, last year’s Choosy Grads survey suggested that, all things being equal, today’s graduates choose socially responsible companies to go and work for.

 

If one then adds some other issues to the melting pot,

 

Slide 12 – Employees – the challenge

 

The argument for  business getting a stake in the education system becomes all the more strong.

 

Slide 13 – a company that

 

 

And that, as MORI have shown, if you’re going to recruit the right people, you’d better act in a responsible way.

 

Slide 14 – appropriate roles for all

 

 

So, Business wants to get a stake in education, but why should schools bother to interact with business?     I don’t believe the answer is about money.    Schools and businesses are parts of local communities – those communities will develop more effectively if the constituent parts of them work collaboratively.   

 

The big question for me is about the appropriateness of different roles.    And I think we have a long way to go before we get this right.   Look at the development over the past few years of the governance of schools.   In my view the rationale for altering the make up of governing bodies to include more community representation (including business) was a good one.   But no-one gave really effective thought to the time that people would have to give, the skills and expertise of the Headteacher and their staff, the scale of the challenge on finding so many effective people who could understand the difference between strategic thinking and operational meddling.    So we’ve struggled in finding a way for business and the rest of the community to get properly involved in governance – and we continue to struggle.

 

Similarly, and this brings me back to the very beginning of this exploration, business has, in the past, tried to impose itself on schools (through the curriculum or sponsorship with ties attached) without properly engaging in a discussion with headteachers and the educational establishment about what’s appropriate and what’s not.   This has led to mistrust – on both sides – and, in my view, in many places a potential for good in raising standards of achievement, going unrealised.

 

Schools haven’t understood business’s motivations for getting engaged with them.    Business hasn’t recognised educationalists’ aspirations for their young people.  

 

If only the two could understand each other, so much more could happen.  

 

Slide 15 – CSR

 

The challenge for business has been to explore just what acting responsibly really means.   We describe it as corporate social responsibility, the way in which a company’s business behaviour affects its marketplace, the environment, the workplace and the community.

 

And, as getting involved in the education agenda is concerned, we see the areas of workplace and community as being particularly important.

 

And what’s interesting to see is that, whilst education is not the only way that a company can demonstrate its corporate social responsibility, it is certainly the most popular amongst employees

 

Slide 16 – graph.

 

Last year, the DTI carried out some research with us to find out from companies just what benefits they felt they accrued from education business links.    The results of the survey tell us an extraordinary story –

 

As one human resource director commented to me as part of the research, “If you had said to me last year that you could offer me a training opportunity for staff that provided them with hands on experience of leading teams, improving communication skills, planning and organising, managing change, to name just a few, then I would have bitten your hand off in trying to get hold of it.”

 

The six big benefits to business are:

 


Slide 17 – staff development and learning

 

 

Just as we want young people to come out of school prepared for a life of uncertainty, so business needs to develop its current staff in the same way.

 

In fact…

 

Slide 18 – competencies

 

Here is a list of competencies that our research has shown can be developed through staff getting involved in running a project with their local school.   

 

I guess these are really BGO’s, but the trick is for us to sell the opportunity to companies.

 

Slide 19

 

This is the second benefit.    A small bakery in the North East decided that it would get involved with its local school.    As part of a Key Stage 3 project in design technology, the head of department and the MD of the company gave the students a project which was to design a new savoury product.    The young people got very excited, knowing that what they were designing would really be for sale in their local shops.    They came up with a savoury line which is still in the bakery’s top twenty sellers, out of 1400 products.   They sell 6000 a week.

 

Successful busineses get ahead, and then stay ahead, through innovation.   Innovation in the markets they create and the processes, products and services they provide to the market.   Our research has found that partnerships with education are a powerful way of developing the competences needed by the firms of tomorrow, including innovation, creativity and personal initiative.

 

Slide 20 – culture

 

Just by getting involved in education shows that a company has a learning culture.    Employees report a stronger affection for the company, a growth in enthusiasm and a greater wish to work co-operatively with colleagues.

 

 


Slide 21 – staff recruitment and retention

 

The ability to recruit and retain quality staff comes from the image the company projects and the actions it takes.   Providing quality work experiences for young people can lead to easier recruitment later on.    Up in Grimsby, one employer told me, ‘It’s nice to see their faces when they come in.  They think they are going to see a nasty, slimy fish factory.  But when they see our state of the art technology it opens their eyes.  They think about us differently.    We have gained some seriously good apprentices as a result of this.”

 

Slide 22 gaining and retaining customers

 

I mentioned peddling product, but gaining and retaining customers tends to be more subtle than this.   

 

WHSmith

 


Slide 23 – reputation

 

Companies that work with schools report a gain in standing within the community, often at little or no cost to themselves.   

 

Boots

 

Slide 24 – cartoon

 

 

This sort of enlightened self interest is a long way away from the hard nosed unacceptable face of capitalism which many assume United Kingdom plc to portray.

 

But despite everything, comparatively few companies, particularly small ones, get heavily involved in supporting their local schools.

 

Much of this is down to  a natural reticence from companies who don’t want to be seen to be ‘interfering’ in education

 

But if companies and schools recognise the genuine benefits that can be accrued through partnership, that supporting education doesn’t mean peddling products but is more about ensuring the creation of the healthy backstreets that lead to healthy high streets, then the movement to support schools will grow.

 

 

Slide 25

 

 

So we have created a simple agenda for business involvement in education… an agenda where, if companies and schools are both open about the benefits they can accrue, and plan together to generate them, real progress can be made.   The agenda has been built following discussions with teacher unions, headteachers and students – as well as business leaders and HR directors

 

It’s a simple offer:

 

Basic skills

Volunteering

Raising pupil achievement

Employee motivation

Primary and transition

 

Employability

Work experience

1:1 mentoring

integrated curriculum for vocational training

enterprise

 

Leadership

School Governance

Partners in Leadership

 

Slide 26 – table

 

 

Last year we asked our member companies what they would be likely to concentrate on in the next few years.   Here’s the ranking order, compared with a similar survey we did with the Centre for Education and Industry five years before.

 

You’ll see that employee volunteering in all its guises is very high

 

Sponsorship of schools came 20th – the bottom of the list.

 

 

Slide 27 – hoffer quotation

 

So if there’s something to learn from all of this it’s this.

Young people deserve to be properly prepared for the unpredictable

Companies want to support schools in doing this, for reasons that are far from the most crass

There is a commitment from United Kingdom plc to support you in your work with local communities, particularly the most vulnerable ones, but that commitment is about investment of time and talent, not cash

Being transparent about one’s objectives leads to success.

 

And we can’t afford not to work in partnership, because today’s reception class child, experimenting with paint in the wet area, deserves the chance to grow up to be the next generation’s leading visual artist.

 

As Pablo Cassals wrote:

“We should say to each of them: do you know what you are?  You are a marvel.  You are unique.  In all the world there is no other child exactly like you.  In the millions of years that have passed, there has never been a child like you.   And look at your body – what a wonder it is.   Your legs, your arms, your cunning fingers, the way you move.  You may become a Shakespeare, a Michelangelo, A Beethoven.   And when you grow up, can you then harm another who is, like you, a marvel.  You must cherish one another.  You must work – we must all work – to make this world worthy of its children.”

 

Thank you.