France must leverage its potential to maintain a prominent position in today’s dynamic global economy, report finds
A report developed by INSEAD, the international business school, for a French think-tank suggests that France must improve its economic and investment conditions by increasing employment opportunities for people – especially its younger workers – and investing more in a portfolio of skills to increase its competitiveness on a global scale. The report was presented at the fifth annual convocation of Les Etats de la France, an assembly of 250 French corporate and government leaders held at the French Senat (Luxembourg Palace) in Paris on 16 December 2010.
‘We are honoured to be a knowledge partner of Les États de la France. INSEAD is a global school with presence across three continents,’ said J. Frank Brown, Dean of INSEAD, “but its roots are in France. And France, along with the rest of Europe, needs to ensure that the knowledge, skills and creativity of its workforce meet the highest standard in order to maintain its position as a global leader. INSEAD will continue to be a big part of these discussions to encourage leadership development and future growth in France and beyond.’
The report was developed by Nils Fonstad, Associate Director of the research center eLab, and Ludo Van der Heyden, the Mubadala Professor of Corporate Governance and Strategy at INSEAD. They conducted research to appraise the state of France using three complementary perspectives: economic, emotional and intelligence. The three dimensions were developed to determine their impact on France’s performance.
The first area of the report drew on macro-economic data from the World Bank to examine what France has accomplished over recent years (1990-2010) and assess its current position. For the emotional perspective, the professors surveyed more than 700 INSEAD MBA students and alumni on their opinions of France. Lastly, the intelligence perspective extended findings from the recently released 2010 INSEAD Skills eLab Report to highlight a portfolio of skills and competencies that France needs to transform into a leading player in the global marketplace.
“The idea of the conference this year was to document the challenges France is facing in 2010 and discuss scenarios for 2020,” said report author Ludo Ven Der Heyden, INSEAD Professor of Technology and Operations Management and Academic Director of INSEAD’s Corporate Governance Initiative.
“What was remarkable is that this may be the first time that a vision is formulated for France in the 21st century, finally moving to full acceptance of the challenges globalisation imposes on all countries. France would do better if it paid more attention to the development of its intellectual and social skills amongst key segments of its population (students, employees, and leaders). “
Highlights from the report include:
- Economic: France must increase its productivity, balance its finances and attract new investors from France and elsewhere. France is a key nation but it must leverage the greater potential inherent in its economy and attract more young people into the workforce by promoting autonomy, initiative and personal choice.
- Emotional: Survey respondents were proud of their nation but have greater faith in the future of Europe than of France. Americans continue to perceive France as a leading power although the reverse is true in Asia.
- Intelligence: France’s position on the skills market does not correlate with its leadership ambitions.
‘On the one hand, France should be applauded for only slightly reducing its supply of skills during the first three years of the economic crisis - especially given that competitors such as Germany, the U.K., and Korea fared worse,’ said co-author Nils Fonstad. ‘On the other hand, our findings show that barely maintaining the status quo is insufficient when competitors such as Singapore, China, and Czech Republic are rapidly strengthening their portfolio of skills.’
For more information or to access the full report, please contact [email protected]
