Unlocking the potential to influence government skills policy: a case study of the UK construction industry

Despite a series of national policy initiatives aimed at addressing skills shortages in a number of sectors, little evidence of longer‐term change is apparent. This paper examines concerns expressed by small businesses that their local views are not sought or considered when national training policies and initiatives are either being developed or being implemented, and that the investment in skills development does not appear to adequately represent their skills needs. The research was carried out on the UK construction industry, which is characterized by a small number of large contractors who employ mainly managerial and professional staff, and a large number of small, micro‐ and self‐employed firms that provide, on a subcontract basis, the majority of the industry's demand for a skilled manual workforce. The identification and delivery of vocational education and training at an industry level rests firmly on addressing the skills needs of the small and micro‐type organizations and not those of the large construction firms, although it is the voice of the larger firms that appears to dominate the skills and training development agenda. The public policy model that articulates the requirements for training and skills development in the UK is based on sector‐specific skills councils. This model is examined in relation to the construction sector by drawing upon the experiences of the South Wales region as a case study. Findings indicate that the current construction skills framework, upon which public policy is formulated and delivered, fails to adequately reflect the structure, skills and training priorities of the industry. The tensions that exist in this system are highlighted and the implications for reform of public policy articulation with regard to sector skills councils are discussed.     

Learning and skills formation in the new economy: evidence from Greece

In today’s knowledge–driven economy, education and training are considered major factors affecting a society’s level of economic attainment and growth. Lack of information–related knowledge and skills, in particular, are among the prime factors likely to delay a country’s progress towards the information society. Experience, however, has shown that an educated labour force does not automatically translate into dynamic economic development and technological innovation. The human resource potential is not a simple outcome of the education system but it is a much more complex process that involves tacit knowledge, learning by doing and on–the–job training. This means that skills and knowledge acquired depend not only on the educational system but on firm organisation and culture as well as ties between organisations. The present study examines the relationship between skill supply, firm organisation and learning by means of interviews in 23 firms in Greece. It shows that a major problem faced by SMEs in peripheral European countries is the lack of in–house capabilities and knowledge which limits the amount and type of learning that takes place. Finally, the article argues that policy–makers should institute educational policies and training programmes that will compensate for the inability of Greek firms to provide a learning environment.     

A change‐recipient perspective on training during organizational change

In this paper, we examine skill‐related uncertainties among middle managers during organizational change. The question emerged from a qualitative study of two planned organizational change initiatives in the public sector where a group of middle managers were required to learn new skills because of changes in their work tasks and managerial roles. In both cases, we found that change recipients experienced two types of job‐related uncertainty in the post‐training phase: role ambiguity and operationalization uncertainty. Role ambiguity refers to challenges in understanding diverse expectations tied to the future work situation and necessary skills, whereas operationalization uncertainty refers to the challenges of putting new skills into practice. Although necessary and important, formal training was not sufficient to resolve these challenges. Rather, the change recipients engaged in informal and horizontal communication to resolve uncertainties related to new skill and role requirements.     

Reconciling Alternative Theories for the Safety of Owner–Operators

Motor carrier safety is an important concern of shippers, carriers, policy makers, consignees, insurance providers, and the motoring public. One aspect of carrier safety that has garnered substantial attention is whether carriers making greater use of owner–operators are more or less safe vis‐à‐vis carriers making greater use of employee drivers. Currently, conflicting theoretical predictions exist regarding the direction of this relationship. In this article, we offer a reconciliation of the alternative theoretical predictions by developing a coherent theory that merges sociological rational choice theory and theory regarding motor carrier safety. We subject our theory to empirical testing by fitting a series of seemingly unrelated regression models to a vector of safety measures tracked as part of the Federal Motor Carrier Safety Administration's Compliance, Safety, and Accountability program. Our results are consistent with our proposed theory of owner—operator safety and provide meaningful theoretical and managerial implications and directions for future research.     

Evaluating Enterprise Policy Interventions in Africa: A Critical Review of Ghanaian Small Business Support Services

Enterprise policies play a central role in economic development across Africa, but more effective, evidence‐based policy evaluation is required to inform future interventions. The paper makes two contributions: (1) to filling this gap in our understanding and (2) to developing more rigorous and appropriate evaluation methodologies. The issues are examined through an empirical study into nonuse of small business support services in Ghana. Survey evidence from 253 owner–managers is complemented by interviews with owner–managers and service providers. The paper concludes that policy evaluation in Sub‐Saharan Africa would benefit from multimethod approaches to address limitations in official data sets and to facilitate more in‐depth understanding.     

An empirical analysis of risk mitigation in the pharmaceutical industry supply chain: A developing‐country perspective

Global pharmaceutical supply‐chain risk mitigation has become an important issue in the corporate boardroom. This article reports on the empirical findings of the quantification of risks that decision makers consider most important when deciding on a risk portfolio to mitigate and the manner in which risks are prioritized according to their importance. The empirical findings suggest that decision makers attached great importance to counterfeit, Food and Drugs Board, and exchange‐rate fluctuations. With respect to risk‐mitigation strategies, risk reduction is considered most important, followed by risk avoidance. Dynamic sensitivity analysis with respect to a change (increase) in the Food and Drugs Board did not result in any change in the ranking of risk policy options, while a change (increase) in counterfeit resulted in a change in the ranking between risk reduction and risk avoidance. Risk avoidance ranked number one, followed by risk reduction. Implications distilled from this article are far‐reaching for the Ghanaian pharmaceutical firms' managers. © 2010 Wiley Periodicals, Inc.     

International briefing 34: training and development in Spain

This article locates training and development in Spain within the country's socio‐economic context. It maps the major changes which have been introduced into the training and development system since the briefing by Escardíbul and Llinas‐Audet published in this journal in 2010. It relates those changes to the ongoing economic crisis which began in 2009 and the growing emphasis on employers’ demands in the design of the training system. Finally, it identifies the challenges presented to Spanish policy‐makers by a number of weaknesses in the current system. The Spanish experience is particularly relevant for countries in which social partner involvement and a significant small and medium‐sized enterprise (SME) presence are important issues in the development of their training system. It is also particularly useful for those countries in Latin America whose training systems have been influenced by the Spanish model.     

Small firms and the failure of national skills policies: adopting an institutional perspective

Both skills and small firms have been increasingly prominent in policy agendas across the world in recent years. Skills are now seen as being crucial to economic prosperity, yet evidence consistently shows much lower levels of training, on average, in small firms than in larger businesses. Policy makers in various countries have sought to address this perceived problem and to stimulate skills development in small firms, but have attempted to do so in different ways and with varying degrees of success. It is this divergence in national skills policies, as well as its causes and implications for skill formation in small firms, that this paper seeks to illuminate. In doing so, it adopts an ‘institutional’ perspective that advances current understanding of how and why skills policies adopted in different countries appear to have varying effects on small firms. Through employing this institutional analysis, the paper promotes an awareness of how historical, social and economic forces in the ‘corporatist’ systems, found for example in Germany and Scandinavia, tend to provide a more supportive context for skills development in small firms than the liberal free market systems found elsewhere in the world, such as in the USA, Canada and the UK – which is highlighted as an illustrative case in this paper.     

Comparing Business Intelligence and Big Data Skills

While many studies on big data analytics describe the data deluge and potential applications for such analytics, the required skill set for dealing with big data has not yet been studied empirically. The difference between big data (BD) and traditional business intelligence (BI) is also heavily discussed among practitioners and scholars. We conduct a latent semantic analysis (LSA) on job advertisements harvested from the online employment platform monster.com to extract information about the knowledge and skill requirements for BD and BI professionals. By analyzing and interpreting the statistical results of the LSA, we develop a competency taxonomy for big data and business intelligence. Our major findings are that (1) business knowledge is as important as technical skills for working successfully on BI and BD initiatives; (2) BI competency is characterized by skills related to commercial products of large software vendors, whereas BD jobs ask for strong software development and statistical skills; (3) the demand for BI competencies is still far bigger than the demand for BD competencies; and (4) BD initiatives are currently much more human-capital-intensive than BI projects are. Our findings can guide individual professionals, organizations, and academic institutions in assessing and advancing their BD and BI competencies.     

“后危机”时代中国银行业的竞争政策

对银行特殊性的认识导致人们对银行业竞争政策产生了一些误解。中国银行业的竞争政策建设还十分薄弱,在＂后危机＂时代,尤其需要加强对银行业竞争政策的建设。银行业的竞争政策可分为供给边的竞争政策和需求边的竞争政策,对需求边的竞争政策,中国目前急需加强消费者保护政策和降低消费者转换成本的政策;对供给边的竞争政策,中国目前急需加强确保可竞争性市场的进入与退出规则的建设和利率市场化改革建设。     

统筹城乡发展中的农村公共产品供给研究

近年来农村公共产品供给规模和结构有明显改善,但仍滞后于农民的现实需求,城乡之间供给水平还存在一定的差距,农村公共产品长期供给不足和滞后,已经在一定程度上动摇了农村进一步发展的基础。构建和谐社会,首先要实现社会公平,协调好城乡关系。解决农民减负增收的问题,关键在于实行城乡平等的公共政策,统筹城乡公共资源分配,改善农村公共产品的供给,为此,需要在界定供给主体的基础上对农村公共产品供给制度进行改革创新。     

International briefing 24: training and development in Bangladesh

Training and development activities in Bangladesh have yet to be systematic and able to fulfil the needs of the economy and industry. The national educational and training system failed to provide adequate knowledge and skills to the workforce. However, private sector organizations are undertaking different initiatives to cope with the industry skill requirements and are trying to develop their own employees. Recent government initiatives seem to be encouraging for future training and development activities in Bangladesh.     

Trustworthiness and interest rates: an empirical study of Italian SMEs

Trust is expected to reduce transaction costs and agency costs and thus influence the cost of credit for small businesses. Assessments of trustworthiness are based on the ability, benevolence and integrity of the owner manager. The study examines whether lending managers’ assessments of the trustworthiness of small and medium-sized enterprise (SME) owner managers are associated with the interest rate charged. Data were obtained from a survey of lending managers from small banks in North East Italy. Control variables and a vector of trustworthiness factors were collected on a random sample of customers, resulting in data for 365 small firms (74% response rate). Multivariate regression analyses provided evidence of a negative association between trustworthiness and interest rates. Banks, owner managers, policy makers and researchers should recognise the potential of trust to influence lending decisions and behaviour.     

Explaining differing perceptions of employees’ skill needs: the case of garment workers in Ethiopia

The Ethiopian economy has grown significantly and the government has prioritized industrial skills development and expanded technical and vocational education and training (TVET). However, mismatches between the skills available and the skills required are widespread and the unemployment rate for TVET graduates is high. Little scholarly effort has been made to empirically identify the exact types and domains of skills in which these supply–demand mismatches happen. The present study relies on interviews with 30 vocational trainers, 19 employees, 13 factory managers and 3 garment industry experts. To measure the perception gaps between the supply and demand sides of worker skills and explain why mismatches occur, we conducted an assessment in which assessors from among the factory managers and vocational trainers along with the three industry experts concurrently graded the garment‐manufacturing vocational skills of the same workers. For this purpose, we developed a unique instrument that captures the knowledge and skills of workers in real work environments. The analysis reveals that TVET trainers expect students to have comprehensive skills and grade the skills of workers more generously, whereas factory managers expect not variety but quality, and score workers’ performance more critically. Differences in the educational backgrounds and practical experience of assessors contribute to these gaps. The evidence from this study suggests that the vocational skills assessment instrument we have developed for our research is valid and can serve as a basis for future large‐scale performance assessments.     

A California Conundrum: Tradeoffs Among Rates, Reliability and the Environment During California’s 2000–2001 Energy Crisis

The 2000–2001 California energy crisis was a public policy problem of huge complexity and scope. Once considered a national and international electric restructuring model, the California system veered far off course in 2000 and 2001 as demand increases, supply shortages, a poorly designed market and abuses of market power led to exorbitant wholesale electricity prices, ongoing threats of blackouts and threats to the environment. The purpose of the paper is to consider actions of policy makers that were undertaken in 2000 and early 2001 to address policy objectives of rates, reliability and the environment within the context of the unfolding energy crisis. The paper develops a theory of how these three objectives can be addressed in a crisis. The paper then examines the actual behavior of policy makers as they developed and implemented various programs to fix or limit the consequences of the electricity crisis. Finally, the paper compares theory to practice. The paper concludes that policy makers prioritized improved reliability over low rates and environmental improvement, and prioritized low rates over environmental improvement. Based on information and predictions available at the time, policy makers’ choices reflected the expected level of degradation of each objective: policy makers believed reliability would suffer more than rates might increase and more than the environment would degrade. However, policy makers’ choices increased taxpayer and ratepayer future costs by billions of dollars.     

Trade,Technical Change,and Labour Market Adjustment

This paper empirically examines three possible reasons for the high and rising unemployment of low‐skilled employees in Germany: (i) an upsurge in inter‐industry trade, (ii) a skill‐biased technical change, and (iii) a failure of labour market adjustment. The empirical analyses indicate that an exogenous wage‐setting process as well as a bundle of factors, including a skill‐biased technical and structural change, have contributed to the decline in relative demand for low‐skilled employees in Germany. Thus, economic policy in Germany should focus on improving the employability of workers in the lower segment of the labour market and on raising the adjustment flexibility, above all the flexibility of the wage structure, of the German labour market.     

Higher Level Skills Training: Meeting the Needs of Small Businesses

In order for businesses to remain competitive it is suggested that across industry there is a requirement for ‘higher and broader’ skills. Universities have an important role to play in satisfying the need for higher level skills training for businesses of all sizes. With respect to small firms, the training and development provided by universities has traditionally been founded upon an educational/large firm model. In order to make significant in-roads into the small firm training market it is argued that universities need to attend more closely to the specific needs of client organisations. One way in which the small firm higher level skills training market can be segmented is in terms of sector. The present study examines the higher level skills training needs of a sample of UK small firms from the perspective of sectoral variations. Differences between firms occupying different sectors were observed in terms of funding of training, responsibility for training and types of higher level skills training undertaken. Attitudes towards universities as training providers were generally favourable with little inter-sectoral variation. It is argued that these findings need to be taken into account if universities are to address the real, as opposed to perceived or presumed, needs of small businesses. A systematic-collaborative model of the customer-supplier relationship for the small firm training market is put forward.     

Expatriate selection: An empirical study identifying significant skill profiles

Effective selection procedures constitute an important factor in increasing expatriate success. However, research lacks findings regarding which skills to screen in international selection processes and whether to base expatriate selection on a culture‐specific or culture‐general skill profile. In an attempt to gather such evidence, an empirical study was conducted in the United States and Germany. Managers in both nations judge intercultural communication skills and intercultural sensitivity to be important intercultural competencies. Moreover, culture‐specific skills seem to be required when engaged in both a U.S. and German working context. Recommendations for complementing culture‐general and culture‐specific skill profiles are discussed. © 2004 Wiley Periodicals, Inc.     

The Impact of Collaboration Between Industry and Academia on SME Growth

One important aspect in the small firm sector is the increased provision of training available to encourage small businesses to expand and develop their knowledge base. In the belief that new small firms can generate a number of new jobs at a time of high unemployment, the UK government in the early 1980s developed public policy to encourage small firm formation and growth. Measures have been enacted to assist small firms in the UK in areas of taxation, education, funding and placement schemes. (Cross 1983). Although Curran (1986) describes this as a 'heading plunge' into a policy of discrimination in favour of the small enterprise, and is critical of the effectiveness of many of these actions, the measures are a clear indication that public policy and funds are firmly committed to support the small firm sector (Marlow 1992). Since then local support agencies, such as The Training and Enterprise Councils (TECs), and Local Enterprise Councils (LECs) in Scotland, funded by the Department of Trade and Industry and European Union offer professional consultancy advice and training to small firms and their owners. Such agencies offer help in the form of business start-up support and training, management skills and any aspect, which can aid growth in the small firm. However, the indications from the agency consultants have found that not enough owner/managers are utilising this enterprise network to assist business growth (Marlow 1992, Choueke and Armstrong 1998).