A new relationship with Europe. The Prospect for Languages?

1. A new relationship with Europe.The Prospect for Languages? Angela Byrne, Enterprise Ireland German in Europe – Taking Stock Association of Third-Level Teachers of German in Ireland Conference 13th November 2010

2. What does Enterprise Ireland DO anyway?

3. PROACTIVELY help CAPABLE and COMMITTED Irish companies to grow their business in international markets • Leading to increased export sales of the products and services of INDIGENOUS IRISH COMPANIES • Through a network of 10 offices in Ireland and 32 INTERNATIONAL OFFICES staffed by 130 specialist market advisors

4. German trade surplus widens Full employment a viable target: Merkel German unemployment falls to below 3 million…. 2010 growth forecast Revised up to 3.4% GERMANY in the news

5. Ireland losing its sovereignty to Europe The new Celtic Reich Ireland paralysed in a Teutonic straight-jacket GERMANY in the news

6. GERMANY positioned in a global business context • Germany is Europe’s largest economy and fifth largest economy in the world. The economy is booming with revised growth forecasts for 2010 at 3.5%. • German GDP in CY2009 is estimated at USD3.3 trillion (DACH GDP is at USD4.5 trillion) • Germany is not only made up of industrial giants but also from the Mittelstand - over three million SMEs employ 80 percent of the labour force. • IMD’s World Competitiveness rankings 2010: • Germany (#16) leads the larger “traditional” economies with the UK (#22), France (#24) and Japan (#27) • German is an official language in seven European countries: Germany, Austria, Switzerland, Liechtenstein, Luxembourg, Belgium and Italy. • It is also the native language of a significant portion of the population in many other European countries (France, Poland, Czech Republic, Hungary, Romania and Russia)

7. Germany and Ireland: Opportunities Flow in Both Directions • The German-Irish Chamber of Industry and Commerce recently conducted a survey amongst its members in Ireland, to examine current economic trends and overall business confidence • When asked in the survey what sectors offer most opportunities for Irish companies trading with Germany, 57% of respondents referred to the food industry, 41% to information technology, 40% to services, 35% to pharmaceuticals and 30% to medical technology. • Respondents were also asked what sectors offered the greatest opportunities for German companies in Ireland, 68% mentioned renewable energy, 59% energy efficiency, 35% medical technology, 29% pharmaceuticals, 22% biotechnology and 20% food industry • Ralf Lissek, chief executive of the German-Irish Chamber of Commerce also said that two thirds of those surveyed were concerned there wasn’t enough being done to encourage the teaching of foreign languages in Irish schools and third level institutions. • These survey results are highly significant, as Germany is the third-largest provider of foreign direct investment in Ireland. German companies employ an estimated 20,000+ people in Ireland.

8. Dispelling the Myths • The German Economy is self-sustaining ! • Germany's rapidly aging population is forecast to decline by 20% to around 65 million by 2060 (source: Bundesstatistikamt 2010) • The precipitous drop will be accompanied by a dramatic shift in the amount of elderly people in Germany. Of the country's current 82 million inhabitants, some 20 percent are now aged 65+. But in 2060, that percentage will increase to 33 percent. • But the population of working age people is expected to drop by as much as 34 percent by 2060, forcing greater immigration in order to support Germany’s continuing economic development (and the welfare system for elderly Germans). • Germany needs the inward flow of skilled labour and professional services An opportunity for Ireland to exploit !

9. Dispelling the Myths • I do not have to learn German, because all Germans speak English ! • Well, yes, everybody you talked with spoke English, because those were the only ones you could talk to! • The fact is that not all Germans speak English. • A recent EuroSTAT survey showed that 21% of Germans assessed their standard of English as proficient. 60% claim basic or no command of English. • In a business context, there is a very high danger that real issues never get transmitted and the key contacts remain superficial when conducted through English. An opportunity for Ireland to exploit !

10. The government talks the talk.... “Although we have an advantage arising out of the status of English as an international business language, this should not blind us to the importance of mastering the languages of our major trading partners. In the case of German, some 100 million Europeans speak it as their mother tongue and, although Germans are renowned for their command of English, any Irish company seeking to develop a serious presence in the German market is likely to benefit considerably from having Irish employees who are familiar with German.” Address by an Taoiseach, Brian Cowen, T.D., to the German-Irish Chamber of Industry and Commerce, in O’Reilly Hall, University College Dublin October 1st 2010 .....but we have to walk the walk !

11. European day of Languages – EuroSTAT Report • We are bottom of the league table for studying a foreign language at Primary Level with only 3% participation • At Second Level our showing improves with 58% of students studying one foreign language (main French) and 17% studying a second foreign language (mainly German). • According to the Central Statistics Office of Ireland we export nearly three times what we import from other EU countries (excluding UK and N. Ire) • We must realise that key language skills play a key role in our economic strategy and are right up there with Cost of Production, Broadband Connectivity, Entrepreneurial Drive and all the other factors spoken of on a daily basis. • We are an island economy who must engage with the rest of the world if we are to resume sustained economic growth.

12. Enterprise Ireland Eurozone Strategy • Acute concern over UK and US market dependency - problematic on two fronts – market downturn and currency issues • Eurozone market team focused on delivering sales contracts with key clients in key markets of Germany, France, Benelux, Nordics, Eastern Europe, Spain and Italy • Gaps in international sales capability of Irish companies being addressed

13. Growing Exports to Eurozone Markets– is this the make or break business challenge to the future of Irish companies?Unrealised Potential = Your Opportunity

14. 1995 – 2008…… Some kind of BLIP? • Celtic Tiger was bad for business • First gradual then almost complete fall off in demand for business and language degree courses • Let’s hope that sanity has returned • There is such a thing as POSITIVE EMIGRATION

15. Reasons to be cheerful • Surge in EI client engagements and deals being closed with German customers • Germany‘s skills deficit is Ireland‘s opportunity • Germany is a fantastic place to live and work! • Internationalisation Capability will be a foremost concern for EI strategy to grow export sales of Irish companies • Enterprise Ireland will play a lead role in mobilising Salesforce Ireland

16. Some Inspirational Career RoadmapsNiall Worn, DBS Hotel Mgt, DIT Cathal Brugha St 1979 Frances Kelly, BA Intl Marketing Languages NIHE 1986 Philip Walsh, BSc Mgt, DIT 1992, Dip Mktg Practice UCD 1993 Declan Supple, B.Comm Intl (German) UCD 1992 Lisa Shannon, BA Marketing French German DCU 1997

17. Niall Worn: Then……………..Graduated 1979 DBS Hotel Mgt DIT1983-1985 Marketing Asst, McHenry Ddorf1985-2000 ISA International IT Distribution2000-2003 – HR Director adimp Switz.2003-2006 Bergerworn international consulting2006-2009 Sales Director IDS Imaging GmbHAnd now………………….. Premier Farnell plc Chicago, United States

18. Frances Kelly: Then…………………….. Graduated DCU 1986 BA Intl Marketing and Languages (Fr/Ger) IIRS 2 years Joined Signium as a researcher in Germany in 1990 …and Now……………………………… Partner with Signium International (Germany) Multi market senior exec search assignments 40 people, 3 offices in Germany, 20 million fee revenue in 2007 Recently ranked in the top 100 leading executive search executives in Germany !

19. Philip Walsh: Then …………… Graduated DIT (COMAD) 1992 BSc Mgt/ Adv Dip Marketing Techniques Postgrad Dip Marketing Practice @ Smurfit EOP in Germany 1995/1996 (no German) Sales and Business Planning Director EMEAToshiba EUROPE GmbH (Budget responsibility €450 million) And now…………………… Back in Ireland, founded KlarText: a business advisory practice specialised in supporting ambitious companies to plan and execute export sales growth

20. Declan Supple: Then …………… Graduated B.Comm Intl 1992 Joined Andersen Consulting - Graduate Programme in Frankfurt (one of 3 in the class offered a job – brilliant German) And Now……………………… “I’m a Partner now at Accenture in Germany. Responsible for our Supply Chain Management Consulting practice for “Resources” industries (Chemicals, Metals, Mining, Energy etc.) in Austria, Switzerland, Germany”

21. Lisa Shannon: Then …………… Graduated DCU 1997 BA Intl Market Languages (Fr/Ger) Enterprise Ireland Internship Germany 1997-1999 Wal-mart Germany 1999-2006 1 year as Business Analyst, 5 years As International Buyer And now ……………………………….. Buying Controller Footwear Primark Group HQ Key buying decision maker and advisor in Primark international expansion

22. Mobilising Salesforce Ireland • 2011 International Sales Capability Programme • Focus on Business and Language Graduates • Eurozone growth must be Ireland‘s top priority • Europe is Germany-centric – THINK BIG!

23. GERMANY is the OPPORTUNITY ............. .....ARE WE THERE YET ?? • Angela Byrne, Enterprise Ireland angela.byrne@enterprise-ireland.com