Increasing the Education Impact of GEM

1. Increasing the Education Impact of GEM Michael Hay, London Business School Donna Kelley, Babson College GEM Planning Meeting, January 22, 2011

2. Agenda • Insights on entrepreneurship education around the world • Drawing from GEM Education & Training report • Example of an approach in action • Business Bridge • Your experiences

3. From the GEM Education & Training Report • Entrepreneurship education and training at the primary and secondary school level is the weakest entrepreneurship framework condition • Training was found to be associated with some positive attitudes in many economies • Association between training and activity is greater in more developed economies • Global report indicates lots of starts, but high stops and fewer relative established businesses in less developed economies

4. Implications for Entrepreneurship Education • Shape attitudes • Develop skills particular to entrepreneurship • Opportunity identification • Improve entrepreneurship-specific education in less developed economies • Equip entrepreneurs with mechanisms for overcoming obstacles

5. How? • Reach key population segments with accessible teaching channels • Deliver relevant content through effective pedagogies

6. Segments and Channels • Who needs to be trained? • Age: school age, college students, working population • Early-stage entrepreneurs (sustainability) • Income-levels: necessity vs. opportunity? • Women, ethnic groups, socially excluded • Who should do this? • Schools/universities • Private or government organizations • IT applications

7. Content and Pedagogy • Content: share knowledge about entrepreneurship around the world • GEM data • GEM network • Pedagogy: share educational practices for entrepreneurship education • Practical, experiential and multidisciplinary • Adopt and adapt ideas from other parts of the World

8. How can GEM increase the influence of education on successful entrepreneurship? • Increase understanding about the rate, qualities, and influencing factors of entrepreneurship around the world • Through GEM materials: reports, cases, etc. • Through the GEM Network: sharing and collaboration • Disseminate information about where there are gaps in the entrepreneurial population • Design programs for particular groups (older people, women, undereducated) • Identify skills needed to enhance certain outcomes • Growth, internationalization, sustainability

9. Introduction January 2011

10. Our Vision Provide open access to high-quality business education at low-cost on a global scale to historically disadvantaged individuals. Achieved by on-line learning, augmented by face-to-face tutoring by trained business school alumni, delivered through a network of physical hubs provided by our partners.

11. Education is the most powerful weapon which you can use to change the world. NELSON MANDELA Why Business Bridge?

12. The Challenge: Delivering high quality business education at low cost and on a global scale Demand Solution • Significant unmet demand for business education from: • Individuals • Employers • Society/Government Business Bridge • On-line self-paced learning • Delivered via our partners’ network of physical hubs • Augmented by face-to-face teaching from business school alumni working pro-bono Supply • Under-provision of business education reflects continuing challenges: • Access • Cost • Scalability 12

13. Our Approach Method Content Outcome • Blended learning • On-line • Face-to-face sessions • Group work • In-depth course follow-up • 8 week courses • On-line and paper assessment • High quality and action orientated • 4 Courses: • Sales • Marketing & Strategy • Finance • Making Things Happen1 • Full set of: • Knowledge • Relevant skills • Confidence to tackle business challenges • Successful participants leave with a recognised certificate Demanding Learning Commitment… Across Key Content Areas… Maximises Business Capabilities 13 Note: 1 This course comprises project management and HR material

14. Film

15. Q1 Q2 Q3 Q4 Achievements in 2010 Detailed Impact Assessment 60 Student South African Roll-out 1 Core Tutor Pools built in South Africa and Ghana Appointed South African Trustees 50 Student Ghana Pilot2 India Q1 2011 Agreement 15 Note: 1 With The Business Place, a South African NGO, who were also a key pilot partner; 2 Our pilot partners were Baobab Academy

16. Q1 Q2 Q3 Q4 Plans in 2011 100 Student Ghana Roll-Out4 600 Student South African Roll-out 3 50 Student India Pilot (Pune) 1 Scope Academic Impact Assessment Study Build Marketing Course 50 Student UK Pilot (Durham) 2 Build Finance Course End of Year Impact Assessment 16 Note: 1 With Project Dharma; 2 With South Durham Enterprise Agency;3 With 2-3 Channel Partners4 With Baobab Academy, our 2010 pilot partner

17. Our Social Impact To Date Methodology South Africa 2010 Ghana 2010 • Phase 1 (Complete): Benchmark data collection • Phase 2 (March 2011): Begin on-going longitudinal impact tracking • Phase 3 (Q4 2011): Roll-out data collection for18-month, formal PHD research at London Business School • 48% female; 70% aged 18-32 • 92% of participants running a small business • Employ 4 people on av • V high ratings for course relevance, applicability, value-for money. • 97% would recommend to a colleague • Average exam mark of 79% • 44% female; 60% aged 18-32 • 64% of participants running a small business • Employ 4 people on av • V high ratings for course relevance, applicability and value-for money. • 100% would recommend to a colleague • Average exam mark of 81% 17

18. Developing The Business Bridge Replicating the Model • Develop remaining course • Increase penetration of South African and Ghanaian market • Roll-Out in India and UK 2012-2015 18

19. Discussion How can GEM increase the influence of education on successful entrepreneurship?

20. Backup

21. The Business Bridge System Economic Exclusion Economic Inclusion Tutor-led classes On-line learning Pre-course Orientation Screening Test1 Assessment Attend Physical Hub Post-course • Follow-up sessions • On-line tutor discussion boards & social media • Networking events 21 Note: 1 Under development

22. Who is Business Bridge for? Current target segment Future target segment Aspiring Entrepreneurs • Corporates looking to up-skill entry-level staff • Early stage entrepreneurs • Typically aged 20-30 • Completed secondary education 22

23. Our Economic Model • BB adds a small margin to cover our operating costs and passes the licensing costs onto the CP Student • BB pays Imparta a license fee to buy a course license for each participant • Students pay a nominal course fee at CP discretion Imparta Business Bridge (BB) Channel Partner (CP) Government Agencies Philanthropic Donations 23

24. Our UK Team Richard Hytner Deputy ChairmanSaatchi & Saatchi Worldwide TRUSTEE Prof. Michael Hay London Business School TRUSTEE & PROJECT DIRECTOR David Gardner Former CEOAtari TRUSTEE Daniel Bamford The Business Bridge GLOBAL DEVELOPMENT OFFICER Delia Ndluvo Tax DirectorDeloitte Will SnellThe Business Bridge FUNDRAISING OFFICER 24

25. Our South African Board Prof. Michael Hay London Business School Dr. Thami Mazwai Director, Centre for Small Business Development University of Johannesburg Delia Ndluvo Tax DirectorDeloitte Rob Latham Head of Youth BankingStandard Bank Dr. Mike Herrington Director of Innovation & Entrepreneurship Centre, GSB, University of Cape Town Daniel Bamford Global Development OfficerThe Business Bridge 25

26. What the Students Said... “I really got so much from the course. It is meant for the man on the street and is very hands-on. You can take away everything you learn in any week and use it in your business straight away.” “This course is helping us run our businesses more efficiently and this feels very empowering. I now sit down and work out what my customers’ needs are and how I can help them.” “Business Bridge was an eye opener. We started our business three months ago but now we know how to approach things, how to approach our customers.” 2009 Cape Town student 2010 Johannesburgstudent 2009 Johannesburg student 26

27. Funding • £325,000 raised to date • Funding sourced from: • The David & Elaine Potter Foundation • Standard Bank • The Joel Joffe Foundation 27

28. Your Opportunity We have assisted over 150 entrepreneurs to date and have shown that we make a real difference to the people we work with. We are now ready to reach thousands more. With your support we can make it happen. 28

29. Supplementary Material 29

30. Course Preparation: Who does what? 30 Note: CP stands for channel partner; BB stands for Business Bridge

31. Course Recruitment: Who does what? 31 Note: CP stands for channel partner; BB stands for Business Bridge

32. Course Delivery: Who does what? 32 Note: CP stands for channel partner; BB stands for Business Bridge

33. Course Follow-up: Who does what? 33 Note: CP stands for channel partner; BB stands for Business Bridge

34. What the Stakeholders Say... “The concept is excellent, it is certainly much needed in Africa. In South Africa there is definitely a lack of reasonable business training outside of the normal business schools. I really believe that your programme will go a long way to helping build business literacy.” “At the start of the class, several of the delegates raved about the pilot modules they had taken so far. They said that they have found the courses so useful for their businesses” “This project certainly looks like something which could have a major world impact.” Kim ReyTutor, Johannesburg Mike HerringtonDirector, Innovation & Entrepreneurship Centre, Graduate School of BusinessUniversity of Cape Town Professor Juan ElegidoDean, Vice-Chancellor of  Pan-African University 34