Future of Development Begins Small by mirit35


									 Sunday 24/2-1/3/2008                                                                  13 North Africa Times                                                                                       Business

Incubators of Creativity
Future of Development Begins Small
By Mohamed Ahmed Al-Aswad                             international and local comparison and quality       tile industries to halt. By eighties, the concept of   prises (SMEs) make the majority of the industrial
                                                      measures. This can be clearly seen in the emer-      incubators was spread throughout Western Eu-           establishment in most of the countries worldwide

S      mall and Medium Enterprises (SMEs) are
       the main driver of economy and growth in
       most world countries especially in Libya
where SMEs which enjoy unique characteristics
like flexibly, ability to rapid change and ability
                                                      gence of global standardization systems in the
                                                      form of unified academic scientific certificates
                                                      including the MBA, Quality Management Sys-
                                                      tems QMS ISO 9000, Environment Management
                                                                                                           rope and East Asia. The incubators’ names var-
                                                                                                           ied according to each country until they reached
                                                                                                           4300 incubators. At the mid of nineties, incuba-
                                                                                                           tors started to emerge in Arab countries with the
                                                                                                                                                                  and that they are the main pillar for industrial
                                                                                                                                                                  development. Meanwhile, most of the develop-
                                                                                                                                                                  ments have a direct impact on the development
                                                                                                                                                                  of SMEs. In addition, globalization pushes these
                                                      Systems EMS ISO 14000, systems of granting           cooperation of European Union and World Bank.          enterprises forward due to the increasing com-
to create and develop. They are the main ab-          conformity certificates for products, services and    Meanwhile, United Nations for Industrial Devel-        petition. Logically, theses policies and programs
sorber of labour and real driver of investment,       individuals Guide 65 ISO, systems of granting        opment has played crucial role especially in the       that are meant to enhance the role of these en-
economic growth and competition. The support          approval certificates ISO 17000 and systems of        third-world countries and Eastern Europe after         terprises shall be according to local conditions,
of SMEs will have a positive impact on the over-      granting health and occupational safety certifi-      the collapse of Soviet Union.                          resources and skills, especially those skills of the
all national economic infrastructure, emergence       cates ISO 18000.                                                                                            contractor of each country taking into consid-
of promising institutions able to secure jobs for         These factors also include the expansion of      Financing Incubators                                   eration the priorities of business enterprises and
young people. Enhanced sustainable develop-           education, private training and access to infor-          According to reports and statistics, 70% of       the problems they might encounter. Any devel-
ment relies on the support of young job seekers       mation through distance education and training       the incubators are governmentally financed,             opmental program shall take into consideration,
in collaboration with different institutions in or-   as well as open universities. Number of uni-         whereas 30% are financed by profit or private or-        while offering support and assistance and exam-
der to create a suitable climate for SMEs. This       versities and training centers has reached more      ganizations or self financed enterprises. Incuba-       ining the targeted group, the quantity and variety
will be accomplished through:                         than 56000 institutions. Also, the promotion of      tors provide youth with the chances of success,        of individual enterprises. Therefore, SMEs will
    -Seeking a clear vision on SMEs through           the role played by mega economic institutions        promote confidence, improve skills, establish           be uniquely the best solution for developing the
wealth contribution programs and various lend-        in establishing knowledge institutions through       connections with various customers, facilitates        Libyan economy.
ing policies.                                         integrated development programs such as No-          communication, provide information as well as              This project aims at creating job opportuni-
    -Wealth distribution programs and various         kia, Honda, and Microsoft … etc. Besides the         simple equipment and place needed for work.            ties, achieving wealth by means of possible
policies of lending.                                  reliance on human resources is one of the most           As for the state, incubators contribute in en-     knowledge networks through initiation, inven-
    -Reconsideration of legislations and arrange-     important components for the national economy        hancing the State’s income growth, promote             tion and business incubators in order to trans-
ments in order to create an appropriate and en-       development and sustainability.                      sustainable development programs and help in           form the inventions into SMEs that enhance the
couraging climate for the operation of such in-           This is attributed to the fact that the human    avoiding market failure and stagnation. They also      contribution of Libyan work force in the national
stitutions in Libya. Such climate shall ensure the    mind has longevity and is more capable of in-        help in promoting for development and regional         income. The project also aims at enhancing the
employment of the largest possible number of          creasing production whenever its creations in-       development, creating job opportunities and add        requirements of sustainable development in Lib-
job seekers.                                          crease and more methods are rendered available       corporate tax as well as upgraded enterprises          ya and providing new job opportunities through
    -Supporting and developing service network        to it. Consequently, organizations, foundations      taxes; thus, the existence of incubators indicates     developing the current work force.
for the existing and emerging institutions to         and institutions were emerged to nurture inno-       the State’s commitment to help. Regarding uni-             This shall be achieved by integrating them
serve to the needs of each of these institutions.     vators and linking such bodies to the supporting     versities and scientific research centers, incuba-      in SMEs; increasing their productivity; reduc-
This process shall include institutions of higher     systems, organizations and foundations and in-       tors create a kind of communication among these        ing work force working in administrative bod-
education and advanced training, research cent-       cubation of nascent projects as well as small and    universities, training centers, scientific research     ies; helping job seekers to form SMEs; offering
ers, various productive and service sectors and       medium enterprises, which are known as busi-         centers and various economic activities, a thing       them support and technical and administrative
financing sources.                                     ness, technical and technical innovation incuba-     which helps marketing inventions to investors as       assistance; supporting inventors of the gradu-
    -Promoting labor force contribution in the        tors.                                                well as enabling post graduates and researchers        ates from various education and training institu-
development of the national economy through                                                                to best use their efficiency and capabilities and       tions in order to materialize their thoughts into
the adoption of the innovators’ thoughts as well      Business and Technical Innovation Incubators:        encouraging their initiatives.                         SMEs; promoting sustainable development pro-
as assisting them in converting such ideas into          The incubator is the place where thoughts             Concerning businesses and activities, incuba-      grams; improving the citizens’ living conditions
promising economic projects.                          are adopted to produce new products or develop       tors work on increasing invention opportunities,       in Libya; strengthening intellectual property pro-
    -Spreading of creativity culture and sustain-     existing industries through the establishment of     create serial management according to social           grams; increasing Libyan knowledge capability
ing trust through developing personal capabili-       SMEs. Such incubators present to these innova-       responsibilities and develop knowledge and in-         involvement in the national and global economy
ties and technical skills of the individuals.         tors sufficient information and the studies needed    tellectual property economy. As for international      and connecting education, training, production
    -Promoting the intellectual property programs     for work plans and project feasibility studies.      community, incubators create the opportunity of        and service sectors in a comprehensive relation.
as well as the awareness competition.                 They also contribute to marketing their products     technical transfer and marketing among corpo-          These projects also aim at increasing per capita
    -Transferring technology amidst the swift de-     as well as maintaining their growth in addition      rate customers and their respective incubators.        income, promoting national income, reduc-
velopment of science and knowledge.                   to introducing comprehensive services such as        They also establish a wider understanding of           ing monetary loss and upgrading the programs
    -Use and development of new technologies.         providing a location for the projects, services,     business and activities culture and facilitate the     of approving professions according to global
                                                      communications along with providing some in-         process of expertise exchange whether through          standards. The importance of incubators lies in
Knowledge Capital                                     puts and equipment. Furthermore, the incubator       partnerships, alliance or exchange.                    creating an atmosphere that helps establishing
    The capital knowledge is the yield of the hu-     assists in establishing a connection with financ-         In order to succeed and establish successful       new companies, increasing job opportunities,
man mind or in a broader sense is the scientific       ing sources, laboratories, factories… etc., which    enterprises, incubators shall have external factors    making use of available human and material
yield and capability that could be taken from         helps projects to be successful ones.                that enjoy the culture of creativity and desire for    potentials represented in the factories, universi-
human beings, while it is not a human capital.           Business incubators are developmental and         regional development, sector integration among         ties, higher institutes as well as research centers,
Therefore, countries surpassing us have made it       economical institutions aim at supporting and        the different sectors of training education, pro-      which would help in providing large portion of
by devoting great effort to develop the knowl-        parenting innovators and inventors to establish      duction and service activities as well as needed       needed material or intellectual potentials. How-
edge capital of their citizens. Such countries con-   SMEs. It also aims at creating jobs, sites and in-   financing. This is in addition to the political,        ever, in the light of the unavailability of clear de-
sidered the human resources as the main source        creasing the national income through developing      economical, financial and social support, work          velopmental programs, issuance of decisions to
of the national economy and have achieved this        knowledge capital, utilizing skilful workforce       monitoring and helping it to succeed and the con-      shift to production and ownership of industrial
through several factors, which are known as the       and achieving sustainable development through:       tinuous assistance inside the incubator until the      properties, increasing rate of unemployment and
factors of knowledge capital formation.               -Developing specific areas.                           birth of a result-guaranteed enterprise.               the growing disguised unemployment, there has
    Knowledge management is a new measure             -Developing the priorities of a specific technol-         On the other hand, in order to set up an in-       been a dire need of this project.
and science that contributed to emphasizing the       ogy.                                                 cubator, a number of major constituents shall be           The project started in June 2007 and will pro-
concept of global economic competitiveness.           -Developing markets and supply of new prod-          available such as markets, finance, connected           vide service, facilitated procedures and training
It has also divided the world among those who         ucts.                                                work plans besides clear vision represented in a       to start operation in a number of activities and
have knowledge and those who haven’t. This in         -Connecting education and training to the labor      common vision of the project’s tasks; such vision      positively contribute to economic development
turn rendered knowledge an important global           market.                                              requires youthful human resources. In addition,        through maximizing the possibilities of success
commodity that can be sold and purchased. It has      -Developing knowledge and natural resources.         an incubator to be established also needs social       and value-added jobs and services via establish-
moreover been limited to those who are able to        -Enhancing the State’s competitiveness.              support, infrastructure needed for the projects,       ing Libyan high-tech companies and contribut-
create and manage it.                                                                                      detailed work plan for each project in order to        ing to receiving internationally recognized cer-
    Other factors include: the dependence on high     There are different kinds of incubators that en-     support it, market and public or private financing      tificates especially professional ones “Guide 65
education, conducting distinguished occupation-       able each country to choose the most suitable        resources.                                             ISO and EMS ISO 14000 and other quality as-
al training for largest number of people, obtain-     economic and social systems. These incubators            The operation of the incubator requires a man-     surance and chemical treatment certificates.
ing of more efficient scientific and occupational       shall serve the interests of each country in en-     agement supported by efficient administrative               This makes us expect that the following re-
scope in order to increase competition among          hancing the national income, using work force        services besides supporting inventors through          sults will come out:
the increasing number of innovators, consider-        to the best, providing national market needs and     universities, training centers and scientific re-       ●Contribution to providing sustainable develop-
ing the students and employees of the universi-       boosting their global competition capability. The    search centers and connecting the project to the       ment,
ties and institutions as partners in creativity as    objectives of incubators include the following:      incubator. Such requirements need technical and        ●Development of national technological and in-
well as establishing the team work spirit among       -Dual-usage incubators (business – technology).      social approaches, monitoring, assessment and          formational economy,
themselves. The above-mentioned factors are           -Incubators for serving certain technical objec-     exploring outputs. This shall be summarized in         ●Direct contribution to creating sustainable job
main components in acquiring and developing           tives.                                               cost efficiency and performance, effective and          opportunities and increasing incomes,
knowledge.                                            -Incubators for community development.               noticeable revenues and sustainable develop-           ●Developing integral industries and support of
    This led to the emergence of new fields such       -Incubators for serving manufacturing compa-         ment.                                                  intellectual property programs,
as biological technologies, visual and simulation     nies.                                                    Then, why business and technical innovation        ●And reducing dependence on the public sector.
systems, genetic engineering, knowledge man-              The concept of incubators dates back to the      incubators have been selected as the most suc-             The project then will attract key partners from
agement, technology management, electronic            beginnings of fifties after the United States left    cessful way of work? They have been selected as        the specialized popular committees, the Libyan
management, medical engineering, mental plan-         the World War II where stagnation and unem-          such due to the strong administrative support and      national Organization for Youth, the National
ning and developing personal capabilities. There-     ployment increased and big traditional factories     simple cost, which was depended on the techni-         Organization for Standardization, universities,
fore, basic and applied sciences are no longer        stopped.                                             cal base.                                              research centers, advanced vocational centers,
separated from each other and the increasing              In 1973, with US assistance, the first English                                                           chambers of commerce union, the businessmen
scientific economic competitiveness based on           incubator has kicked off due to the industrial       The Importance of SMEs for Libyan Economy:             council, the Socioeconomic Development Fund,
knowledge, initiative, immediate response and         stagnation that caused the English steel and tex-      Studies show that Small and Medium Enter-            banks and scientific societies.

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