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Who cares? Who dares?
Providing the skills or an
innovative and sustainable Europe
Backgroundr
eportprepar
edforthe
EuropeanBus
inessSummit
2009
2
INSEAD - Who cares? Who dares?
Contents

Foreword........................................................................ 3 Executive summary...................................................... 4 Skills in Europe: rom bad to worse?........................... 6 The skills required by a sustainable Europe............. 8

Skills are key to growth, competitiveness and sustainability............8
Skills priorities in Europe...................................................10
Can Europe generate, acquire
and keep the relevant skills?...................................... 16

Skills demand and supply in Europe: bottlenecks and promises....16 Literacy and basic skills.....................................................18 Occupational skills...........................................................19 Global knowledge economy talents......................................20

An agenda or Europe’s active orces................. 22
Calling or a European Skills Pact (ESP)...............................22
Annexes.................................................................. 26
Reerences/bibliography..................................... 30
INSEAD - Who cares? Who dares?
3
Foreword

Times o crises tend to
separate the ambitious rom
the timid, and the visionaries

rom the conservatives.
In today’s Europe, where are
the active orces o change?

For Europe, the XXIst century started with a marked acceleration in the attention devoted by policy makers to the so-called ‘knowledge economy’. This new ambition, incarnated in the so-called ‘Lisbon Strategy’ was just starting to bear ruit when the inancial crisis hit. As many European companies are now engaged in a painul revision o their respective strategic objectives and levels o activity or the months and years to come, they stand to lose much more than necessary i they discard the Lisbon objectives, or even put them on hold.

Skills are the critical success actor or competing in the knowledge economy. Without skills, investments in other resources, such as new technologies and inrastructure, collapse. Europe’s supply o skills was already under threat beore the inancial crisis plagued the region. Now, as governments and businesses scramble to cut costs, skills are under even greater threat. Without prompt and signiicant action to generate the required skills, much o Europe’s stimulus packages and past investment could be wasted.

Whose responsibility’s is this? What are the priority issues (skills gaps) to be addressed? What should European business and European governments do? How and where can they best combine orces to have a real impact?

The purpose of the present report
“Who Cares? Who Dares?” is two-fold:

1. to call the attention o Europe’s government
and business leaders to the vital importance
o strengthening Europe’s skills; and

2. to recommend a set o practical actions,
organized around the theme o a ‘European
Skills Pact’ (ESP).

We believe that such a proposal is not only timely, but necessary. I implemented with the right level o commitment and engagement rom all stakeholders, it will play a vital role in making turning the current crisis into an agent o positive change, while mitigating its impact on the more vulnerable.

Although the present times are trying times or the cohesion o Europe, Europe’s ideals and vision are resilient. With leadership, ocus and vision, Europe can emerge revitalized and stronger rom the crisis. Leaders rom the private and pubic sectors can play a central role in keeping Europe’s ideals alive, its ambition relevant, and its principle ‘competitiveness cum inclusion’ a model reerence or other parts o the world. More than ever, Europe has the opportunity to show the world what ‘daring and caring’ means, and how it can help all o us make our world a better one.

Where are the sources o innovative thinking that may help Europe ‘hit the road running’ when the current crisis has taken its toll, and new leaders start to emerge? Who, in today’s Europe, dares to think positively about the uture? Who is listening to them, and providing them with the support, attention and environment they need to gather around them a critical mass o Euro-enthusiasts and Euro-audacious?

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