There is a pattern, which sometimes happens by chance.
Ethical Fashion Forum finds a UK business that is close to collapse, ignores it and loudly promotes the competition from bad countries
Robbing in a hospital is one way to describe it.
Remploy
Ethical Fashion Forum promoted a firm like Remploy in Bangladesh but were silent about Remploy in the UK closing down. Ethical Fashion Forum had got their hands on money for training small business owners the year before, running seminars in Newham College, so they ought to have known what advice to give to business owners about where to get clothes made in the UK - including Remploy. Otherwise, I think the people who paid taxes via London Development Agency for the training seminars should get their money back.
Equity Shoes
Ethical Fashion Forum ran a public-funded set of training lectures about buying from Co-ops, but left-out Equity Shoes, the large hundred-year-old shoemaking co-op in Leicester that went bust the same year. Oddly enough, a Leicester MP was minister at the Department for Business at the time, which gave grants to overseas visitors to London Fashion Week and so can influence what goes on show. That year I think it was Terra Plana footwear made in China and shown in the Estethica room, which is meant to sound a bit like "ethical" I suppose. The MP signed-off the grant payments without knowing or caring. Oh and one of the speakers was Ben Ramsden of Pants to Poverty who's Pi Foundation claimed to promote worker-owned manufacturing.
JJ Blackledge
wallet manufacturers in Manchester. This firm that made flat goods for the corporate gift market went bust the same weekend that Ethical Fashion Forum spoke at a public-funded seminar called "Making it Ethically in China", which was held a mile or two away in Manchester.
James Grove Buttons
About the time this Birmingham factory went bust, and someone was trying to set-up a smaller company with the same tools called Grove Pattern Buttons (hornbuttons.co.uk), Ethical Fashion Forum advertised a member on their mailing list. That ethical claim of this "fellowship 500" member was that these are (1) "locally sourced buttons" from (2) "the poorest areas of the local Panama community". "Locally sourced" is a stylish bit of cheek as an ethical claim, a bit like "nutricious food" - something McDonalds claimed could mean anything but water. The buttons are sold by Miami company and sourced in Panama, according to Ethical Fashion Forum, but when emailed the suppliers say it might be Equador; they're not quite sure. They are sure that they're harvested by low-paid artizans, which follows if you buy from countries without a welfare state and pay as little as you can - even though Panama is a wealthy 100 year-old stable country quite capable of sorting-out poverty if their government wanted to. The third ethical claim - (3) is "100% eco-friendly and sustanable", but I guess that's before airmail. One final thing to say: the american buttons were something I'd rather wear, made out of large nuts, but maybe the machines are the same whatever the material.
One Ethical Fashion Forum founder member - Pants to Poverty - had a problem. If you googled their name and address, you get a list of pages about poverty in Tower Hamlets, within walking distance of their office. That's probably why they had to close; their customers among Guardian-reading Londoners noticed the contradiction. Pantstopoverty.org.uk is a new site that spells-out the argument and might sell UK-made pants in future. The landlord, Rich Mix, now publishes a list of tenants on its web site with no Futerra fashion-related agencies left at all, and mail is returned to senders "not known". Pants was one of the earlier departures, leaving a few days ahead of Tower Hamlets trading standards officers, chasing-up claims of non-delivered pants.
This set of posts looks nasty to some people; if you don't want to know the score, look away now. All it is is a bit of background nose-poking to find out what sort of people are drawn into Ethical Fashion Forum, Ethical Fashion Consultancy, Anti Apathy (company and charity) and Re-Fashion. There's no single piece of illegal dirt to find unfortunately - just a lot to distroy UK jobs and good things worldwide at UK taxpayers' expense in a mundane legal way. For example each of this cluster of companies had a postal address at Rich Mix, a multi-million pound removal of taxpayers' money from benefits and social services into a grant design in Shoreditch. Millions were spent converting a white-painted commercial building into a white-painted commercial building that had less commercial space.
Business support, like arts, is a low priority compared to health benefits and social care, but these little budgets were neither abolished nor spent wisely; they were raided too. Rich Mix is a monument to evil. One of the first controversies was to commission a mural on the walls of a white woman being raped by black people. Each of these companies is un-embarassed to have Rich Mix as a landlord, and the first used the postal address even before this scam was built.
Unfortunately nothing illegal happened. The government ministers who approved related schemes like Creative Connexions and London Fashion Week in the 2000s are now directing the BBC or seeking a new life in Australia. It is legal to believe in globalisation at all costs and spend taxpayers' money to promote it, even if this money is meant for the opposite purpose of promoting UK employment including manufacturing. It is legal to believe that there is some historical reason why people in the UK should encourage enterprise in Bangladesh, and it is legal to use public money meant for arts of business support to commission a mural of black people raping a white woman, but there are counter arguments in each case.
The regional government people who approved funding for the rape mural and Ethical Fashion Forum live in obscurity, and the generations who lost job prospects, human rights and dignity because of bad government get the blame as always.
What dirt has Ethical Fashion Forum got?
If you had tried to find-out what help was available from your nearest development agency during a recession, and found that the money went to a PR outfit trying to put your firm out of business, you'd be nosey too. For example if you hoped to retail shoes made by Equity Shoes, a hundred year-old worker co-op in Leicester making shoes, you went to a public-funded lecture on buying from co-operatives, and you found that the speakers all spoke about buying from the third world and knew nothing about Leicester. Equity shoes went bust that year. Or if you had found one of the last cheap wallet manufacturers in Manchester, JJ Blackledge, and found that the very weekend that they went bust, Ethical Fashion Forum were speaking at taxpayer-funded event called "making it ethically in China", hosted by Creative Connexions on another public grant, you'd be cross wouldn't you? If there were no adult education classes in using better e-commerce software for people who weren't concentrating too well, but you found that business advice grants had been diverted to a pro-globalisation lobby instead of training, wouldn't you be cross? Or if, all your life, you had coped with the effects of the 80s manufacturing recession on yourself and others, tried to promote the ethical advantages of UK products, and saw them actively discouraged as an ethical choice on the Ethical Fashion Forum web site? The quote is on a page called "The Issues" date, and has been on their site since 2009. The gang also includes a firm called Terra Plana, exhibited at London Fashion Week's Esthetica event under Ethical Fashion Forum's influence, which sold Chinese leather shoes. Why "China is arguably more democratic than the UK", they quote an employee as saying on their 2008 web site. In 2010 they published another "Issues" page, rejecting any kind of tariff barrier to protect a welfare state, and quoting an american pressure group in support of their case. As late as January 2011 the group still had a charmed existence borne I suppose of ministerial decisions.
In January 2011, The Victoria and Albert Museum published a long
uncritical interview with an Ethical Fashion Forum pundit after
publicising the group with an exhibition. There's also a relationship with members to publicise un-critical training notes in the style of Centre for Sustainability in Fashion like the the ones at the bottom of this page headed "case study: Monsoon"
Personally, I would be happy to see the ring leaders in prison but doubt they have broken any law so I can't wish it. An explanation and apology would be nice. This bit of detective work is a kind of mundain account and no explanation of motive. It lists the people involved as directors at the cluster of organisations that share an address at Rich Mix Foundation in London, itself a near-criminal waste of public money by people who cannot be prosecuted for the harm their waste did to council social services and allied charities by taking so much cash. There is more than a landlord-tenant relationship between Rich Mix and Ethical Fashion Forum. Ethical Fashion Forum had a postal address at Rich Mix while it was still a building site, even as it first registered as a limited company. There was also a connection with cross-ministry funding. The Hospital Club, a hangout for ministerial advisers, hosted an ethical fashion show. The London College of Fashion published a subsidised "book" published online, quoting Ethical Fashion Forum founders' antics before they had founded Ethical Fashion Forum, to use as examples for a new course to be promoted at the UK's fashion colleges
Any nosey person would check the directors of a company, just digging. The mundane thing I discover in public records is that Ethical Fashion Forum are not "the industry body for ethical fashion"; next to none are in the rag trade; most are consultants in how to look ethical. An exception I found was someone who has a shop and teaches at St Martin's college. Another - Cyndi Rhodes - recycles. A third has opened a shirt shop alongside her consultancy work, selling £80 shirts made in the far east. I wish I could dig more dirt but public records are mundain.
Other people have been nosey too. Assembly members at the Greater London Authority managed to get a forensic accountants' report done into how the then London Development Agency spent billions of pounds, and the next mayoral regime commissioned another one. Both found few examples of corruption but lots of examples of stuff that's just puzzling wierd and naff: - temporary staff at the London Development Agency trying to hold meetings with ministerial advisors sitting-in; projects and agencies to deliver these projects chosen on political whim with outcomes measured as a box-ticking excercise. The second report quoted Westfield Shopping Centre being subsidised by taxpayers, without comment. I think that's so obviously opposite to the purpose of the agency that it's probably a sign of corruption, but the accountants said nothing. Nearby, unemployed youth were kept busy with a scheme that signed a receipt for "youth related activities" in order to spend the full budget up to the end of the year. The accountants noticed that in a wry way. I have not seen an exposure central government at the time, which was used to interfering in regional London government after running the London Residuary Body before the Greater London Authority was invented, as well as running budgets like the Higher Education Funding Council grant for Creative Connexions, set-up to promote globalisation at the expense of UK tax payers and I guess signed by a current BBC director who was then a minister called Charles Parnell.
I expect directors were unpaid and drawn-in, as I was, in hope that a
vague forum would
include something to like. There was a call for members on the Anti
Apathy mailing list in about 2005. I replied saying I was keen on things
like the
Maker Spaces that have appeared anyway. I discovered from a successful
applicant, minding a stall at London Fashion Week, that my application
had been rejected. Oddly enough this person wasn't in the rag trade
except to promote saris from a war zone at a few competitions. Later,
the job was advertised again with a specification: applicants needed to
bring consultancy work to the organisation.
Not The Industry Body for Ethical Fashion
You can check this yourself by getting director names and looking online for their CVs if you can find them, and going-on as long as you want until you form an impression. If the issue effects your business and the bunch seem to be on a public grant, then you dig further as I did in the mid 2000s. The trend in the past few years is away from public funding and towards people with fewer directorships. Either way, people who were the "Industry Body for Ethical Fashion" would show plenty of cobblers stitchers and rag traders; these lists do not.
Overlapping directorships with an add agency - Futerra Sustainability Communications - that was a big government contractor to DEFRA at one time. A freedom of information request to Defra asked whether any government advertising could have leaked into overlapping projects by Futerra, and the answer was that surviving documents don't say.
This one is best in summery because I have dug a lot. The evidence belongs in an archive somewhere.
There is an operatic sense of truth about her history, landing in grand newspaper PR in 2005 as a former "award winning architect" or even a qualified one, and as having traded as an ethical fashion business called "Juste". Have you heard of it? Me neither, nor can consumers confirm her architecture qualification to practice, but the PR was on a grand scale including public exhibitions at The Crafts Council and the V&A of products seldom if ever produced. There are multiple joint appearances with Junky Styling, Terra Plana, Sari Dress Project and other clients - I guess without evidence - of Futerra Communications the PR agency.
A domain name for Juste, samples produced by volunteers out of muslin made by a firm like Remploy in Bangladesh, and some photos do exist and quotes given in support of a degree state that she hopes to sell via a Greater London Enterprise Agency shop that briefly existed for new designers in Covent Garden. There is also a long account of a trip to Bangladesh at Dfid expense to obtain these fabric samples, appearing in the same subsidised textbook at Elizabeth Laskar's Sari Dress project, which was a temporary project selling Saris out of a war zone (if Sri Lank ever gets a freedom of information act I'll try to find out whether their government funded this). There is no evidence of Ethical Fashion Forum ever promoting Remploy before it went bust. Obviously, I think that Bangladeshi taxpayers should help set-up a welfare state in Bangladesh and promote a firm like Remploy; I think that UK taxpayers should help set-up a welfare state in the UK and should have helped promote a firm like Remploy or any successors.
There is a Lejeune degree in international development from Brookes Uni, based in large part on a long project describing the work done running Juste, which didn't run, and Ethical Fashion Forum, which did. There are convincing accounts is an interest in architecture and doing some live-in volunteer jobs around the world for development agencies. There is a long association with the Rich Mix address in Shoreditch, started even before the current building was built on Greater London Authority subsidy which was much reported as being mad. There is some loose association with the Estethica room at London Fashion Week. There is, I'm assured by Tamsin Lejeune, no public subsidy of Ethical Fashion Forum at the time of my phone call which was mid 2014; she has also been absolutely open in showing scans of grant proposals for at least one small grant obtained when the agency was in fashion at the Greater London Authority and Defra around 2005. It is a Development Awareness Grant. Another grant is given under the heading of training for small businesses and delivered in some form for a single year at Newham College in East London. There is evidence of Tamsin Lejeune doing a job for Labour Behind the Label, and then doing something I admire as an ex voluntary-sector worker: she got some small grants for her own project. We also have name changes in common; I used to be called David Robertson. If I could have used that to pretend a degree in one subject in order to qualify for a funded second degree in another subject, I might have done so but I can say that I have no architecture qualification and am not an award-winning architect.
I have had about a couple of phone conversations or email exchanges with Tamsin Lejeune and get an impression that impression and people are what she is good at, rather than whether what she says is contradicted by words on her web site. She suggested I be unpaid "ambassador" for UK manufacturing at Ethical Fashion Forum while retaining her warnings against buying UK products on her website. That's thinking of the "Issues" page in which she urges people not to buy British goods on ethical grounds. Someone introduces her in a video trade show and seminar as "Tamsin - good at getting people together". https://companycheck.co.uk/director/911483913/MS-ELIZABETH-ALVINA-AUTUMN-LASKAR/companies
Open Contracting Partnership, Consultant: Providing focused advocacy
support to secure a robust commitment to open contracting in the UK's
open government plan and anti corruption strategy.
Founder, A Lotus Rises. A Community of Women who inspire, and are inspired by, a love of open water.
Global eHealth Foundation, Chaired by Archbishop Desmond Tutu, Partnerships and Communications Consultant.
Institute for Strategic Dialogue, Senior Fellow: Leading ISD's research
on digital technology on the future of economic and social development
in Europe. Author of 'Europe's Got Talent: Learning, Creating and
Growing in our Digital World'-Commissioned by the Vodafone Institute for
Society and Communications as part of the Vodafone Digitising Europe
Summit, opened by German Federal Chancellor Angela Merkel.
Thomson Reuters Practical Law China, Consultant: Developed a legal news
column for General Counsel working on China-related matters, and their
advisers. Topics include IPRs, labour unrest, and environmental
regulation; Feature articles re: due diligence; impact of anti
corruption legislation on business operations; and working with SOEs.
The Economist Intelligence Unit: Research for the Access China Service
Upmysport: Community Engagement
China Business Law Journal. Feature articles re:Chinese investment in
CEE; role of women in the Chinese legal system;national security review,
anti-monopoly law;VIEs.
CottonConnect: scoping study on China re the cotton and textiles
industry and wider macro environment. The basis of CottonConnect's
decision to enter China in 2011.
Civil Initiatives for Development and Peace, CIVIDEP, (NGO Bangalore,
part of OECD Watch): Author 'Business Law and Human Rights in India'
cited in the CIVIDEP manual 'Workers’ Rights and Corporate
Accountability’, published in July 2011.
Publicly listed mobile telecommunications manufacturer (UK and China) -
Conducted an evaluation of the Company's product transfer from the UK to
China.
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This
one had work experience on the Ethical Fashion Forum board and choosing
people for public subsidy, sitting on a selection panel for Estethica
at London Fashion Week. She helped choose how more public subsidy should be spent via the Defra Clothing Roadmap.
She went-on to work for clothes importers rather
than regional development Choosing who got government subsidy was this person's first
volunteer job after college in 2009. And 2010. And 2011. I get these
names from http://opencorporates.com/companies/gb/05916585
in hope of finding an "industry body" but the names so far are an
overflow of consultants from Ethical Fashion Consultancy Ltd of the same
address.
The
last director of Ethical Fashion Forum to quote is a consultant with
experience in rug import, large company supply chains including Nike,
and now Indian shirt import for nearly £80 including VAT. She was the
one who told New Internationalist something
like "you're just as likely to find a bad factory down the road in
London where I work than in China", missing the point that UK factories
like pay towards the democratic welfare state that she uses
and has no equivalent in China. Nor Bangalore where the £80 shirts are
made for her import business. https://companycheck.co.uk/director/914191354/MR-CHRISTIAN-BENIGNI/companies
The other company is called "RG Sourcing". This one was "interim MD" at ethical fashion forum when a lot of directors changed in 2014. He has experience at M&S and running a clothing import and sales business.
Training, social work, and "low carbon skills consulting ltd"
I'm not sure if anyone reads down this far, but my impression from trying to research directors of Ethical Fashion Forum and Ethical Fashion Consultancy is that they are mainly consultants. I think the only UK stitchers when I first looked were clothes recyclers - Junky Styling and Worn Again. The new team of directors includes a wholesale clothes importer and someone from high fashion.
Some people have attempted to join the rag trade, more or less. Tamsin Lejeune nearly set-up Juste; the person from Futerra Communications does "Swishing", and a consultant who did some Corporate Social Responsibility work for Nike has opened the Arthur and Henry shirt business in Harringay. There are shirt factories within walking distance, but these people prefer to import from countries without a welfare state.
Someone's ex-teacher from St Martin's College is on the list. She also runs a small shop called Ciel that sometimes sells clothes, so that's someone in the rag trade if not the stitching trade. Another one imports pants from India. Even if you count all the stitchers and rag traders together, they're a small minority compared to consultants.
http://opencorporates.com/companies/gb/05352621
Still curious as to why a bunch of people got together to sell Chinese
shoes in 2005 and got so much public sector backing, I clicked on the
directors' links for Anti-Apathy, a charity at the same address which
mushroomed-up in the same year. Most directors give their jobs as
"freelance consultant", and one as "water". Someone from the New
Economics Foundation served his time, as did a Mr Ed Gillespie and Ms
Lucy Shea of Futerra Communications who are mentioned further down this
facebook page. Futerra aim to provide "social proof" of causes,
according to an interview by Mr Gellespie. [no relation to the US
politician]
The
gist of it is that Futerra Communications helped use the term "ethical
fashion" to share PR amongst a whole vague range of shops, just as the ad Agency J Walter Thomson invented the Cheese Bureau and the Ploughman's Lunch some time
in the 1950s to share among a long list of national cheese marketing boards.
Somehow, ethical fashion
pundits got state backing from UK Trade and Investment, Greater London
Authority / London Development Agency, and a bundle of other
taxpayer-funded offices that had just been set-up to try and put
taxpayers out of work, promoting imported competition and implying that
it was more relevant or more ethical. http://web.archive.org/web/20030402234930/http://www.antiapathy.org/story/story.html
The organisation has company-style accounts that don't say where the money comes from or goes but there was about £60,000 going through the books at one point. The name seems to have started as an event. There also registered as charity 119887"to advance the education of the public in the subjects of social justice and environmental progress" and obtained funding for a an apathy-reducing website called TheNag.net from Esmeefairbairn.org.uk and the Tedworth Trust.
Quite soon the "re-fashion" side of the business started-up with all the usual names that are heard-of together and sometimes nowhere else. Accounts describe the relationship.
http://web.archive.org/web/20051023132108/http://www.antiapathy.org/lifelineissues/index.php http://www.neweconomics.org/issues/entry/jobs-industrial-strategy There's an overlap of directors with a thing called the New Economics Foundation and Anti Apathy, the event and charity that overlaps again with the folk who got lots of sudden subsidy to flog Chinese leather shoes and any other stuff they could find. I don't see an overlap of ideas; a page on the New Economics Foundation site about industrial strategy says that manufacturing and transport jobs are generally better than hospitality and retail; it acknowledges that UK manufacturing exists.
http://www.refashionawards.org/about/ethics
This account links fashion teaching to the sudden outbreak of crassness
in 2005. One example quoted in a Centre for Sustainability in Fashion
textbook is of a dress designer who contacted fairtrade-certified
suppliers in India because, for whatever reason, she didn't make dresses
herself. They all turned her down. So she went to Bangladesh, got the
dresses made, and used vaguer words to sell them. They were said to be "ethical" because they were woven by a firm like Remploy in Bangladesh, but the person's trade association, Ethical Fashion Forum, did zero to promote Remploy in the UK, which closed, so I don't think their idea of "ethical" was a good one.
Centre for Sustainability in Fashion
Centre for Sustainability in Fashion is a government quango paid-for by a grant from Nike and taxpayers' funding towards universities via the Higher Education Funding Council, although people in the UK have to pay to go to uni via the loan system; these people still get a grant and use offices from a landlord that has housed similar organisations - Own-it to promote use of IT law, Creative Connexions to promote Chinese factories to UK designers (yes, really), and a students union, language laboratory and photography teaching workshops. Those are the bits that students have to pay for via the student loan system. Centre for Sustainability in Fashion appears less crass than other projects funded the same way, but more crass in acting as "secretariat" to the "all party group for ethics and sustainability in fashion" in the House of Lords, led by someone that some government made a lord of course, which has no obvious funding but does have a treasurer.
The All Party Group for Ethics and Sustainability in Fashion began by crowding-out an existing all party group and one or two potential members or speakers, like Lord Sugar who tried to speak about better training for people in UK clothes manufacturing. It held a Westminster Hall Debate, based on the kinds of topics available in the House of Lords Library if you search "ethics" and "fashion". Then it started again with a second Westminster Hall debate, following the style and agenda of Futerra Communications
Futerra Communications
The technique is to use a phrase so vague that it begs a question, and then answer that question how you like. There is also a lot of vague language so mind-numbing that you are softened up for a real whopper of a lie that passes un-noticed. Their blurb says that people made their own clothes in the UK up until the 1950s. True? Of course not but amongst all the rubbish it slips-past.
Futerra agency got a lot of commercial business from the UK government, with £165,000 turnover that year from one ministry at DEFRA. That's the one that ought to have kept up to date with badger biology and flood defences, but was used as a PR budget by government instead: https://www.whatdotheyknow.com/request/funding_futerra_funding_refashio#comment-51088
So what is "ethical fashion"? Just
like fashion, the term means different things to different people, from
vintage clothing to paying a fair wage to cotton farmers. In
essence, ethical fashion represents an approach to the design, sourcing
and manufacture of clothing which is both socially and environmentally
sustainable. Our timeline explores the relationship between ethics and fashion.
1950s: Fashion for the elite
Couture
is king, and the burgeoning industry caters for the social elite by
producing unique and luxury items. Everyday folk follow fashion by
making their own clothes.
1960s - 1970s: Fashion for the people
With
the advent of mass production, fashion suddenly becomes accessible to
the public. Fashion houses and retailers set up production overseas to
the developing world where labour costs are lower.
1970s: World fashion movement
The
birth of the modern environmental movement combines hippy fashion and
values has a major effect on culture, creating an interest in "world"
fashion. Shops spring up around the UK, selling ethnic style
clothing and accessories sourced directly from producers around the
world. Traidcraft and Oxfam start selling clothing and crafts to support
communities. People purchase these for charitable reasons or because
they like the product, not necessarily to be fashionable. Pioneering brands such as Patagonia start to address environmental issues in textile production.
1980s - 1990s: Mass production and consumer backlash
Mass
production swiftly gathers speed, and the first global brands emerge.
By the mid 1990s stories of sweatshops hit the news headlines. No Logo by Naomi Klein is published in protest. Consumer
awareness of the plight of garment workers emerges, along with high
profile campaigns targeting high street brands. Gap and Nike develop and
publish ethical sourcing programmes. A handful of fashion
businesses, such as People Tree and Bishopston Trading, lead the way in
targeting an alternative, niche group of consumers. This new market is
not yet trend led.
1990s: The business of ethics
Corporate
attention turns to business ethics. Becoming a good corporate "citizen"
is the watchword and socially responsible sourcing rises up the
business agenda. Meanwhile, in the UK, environmental issues are formally
included in school and college curricula. In response, the first
mainstream brand to bring out an environmental range is Esprit with the
launch of it's Ecollection in 1992. Gossypium and Katherine Hamnett are
leading the way in researching and developing organic supply chains.
2000 - 2005: Ethical fashion takes off
By 2000, new fashion graduates are setting up labels with environmental and social goals. The
Millenium Development Goals on poverty, climate change, rapidly growing
public appetite for "green", and this new generation of designers lead
to the creation of the ethical fashion movement. In 2004, the Ethical Fashion Forum launches in London, while the Ethical Fashion Show presents ethical fashion labels to major buyers. And in 2005, Anti-Apathy
brings together a top notch line-up of speakers, including Katharine
Hamnett, live music and leading ethical fashion labels at London's first
high profile ethical fashion catwalk. Trends in consumer buying
habits show that the market for fashion is polarising into two groups -
low cost, "value" fashion and a growing group of consumers disillusioned
by mass manufactured brands looking to buy unique and individual
clothes and supporting creative new labels. High street retailers
respond by bringing out "designer" ranges, stocking smaller brands and
signing deals with designers and celebrities.
2006-2008: Ethical fashion goes mainstream
Small
businesses started with the millenium are rapidly growing in size and
profile, including Howies, American Apparel, THTC, Kuyichi, Terra Plana,
and Ciel. Esthetica is launched at London Fashion Week in 2006 as the
first ethical fashion section in a mainstream international tradeshow. Big
name designers start to develop ethical collections including Katharine
Hamnett and Stella McCartney. Big retailers start to take the issue on
board more seriously. Gap launches product RED in 2006. H&M, Next,
Nike, Sainsbury's, Asda and M&S all stock organic/fairtrade ranges. And consumers get involved through Swishing - a term coined by Futerra to describe glamorous clothes recycling parties.
The fake words "ethical fashion" were invented in 2005.
At the same
time, government was pumping millions of pounds into Anglo-Chinese trade
in the creative industries. UK Trade and Investment had been given the
priority. The London Development Agency had an office in Beijing, for
reasons that were never clear. "Minister James Purnell" is quoted in the grant proposal. So is this a plot about secret agents,
funding PR efforts that would take words like "British", "jobs",
"Vegan", "Fair Trade", "Organic", "no fur", "Human Rights" and "Democracy" out of fashion? And replace them with phrases like "concious awareness" and "artisan" and "ethical fashion"?
Did the UK Ambassador to Peking stop raising questions about human rights
and say "that's a nice jacket - shall we go shopping?" instead?
Some of what government got-up to at the time is listed in this grant
proposal asking for 80% of the Higher Education Funding Council's
Innovation Fund, which was duly paid.
This is an unsympathetic transcript of University of the Arts
grant proposal. No words have been changed but tables and graphics in
the original may not convert. Basically there is no safeguard against
some creative accountant setting up a seminar called "making it
ethically in China", encouraging people to use Chinese manufacturers,
and taking tax money of UK manufacturers. The thing seems to be built on
a momentum of name dropping and hot air by people who believe nonsense
like "the knowledge economy" to justify the world they see rather than
look at the human rights record of the Chinese government or the
exchange rate manipulation of UK and Chinese governments against the
interests of people in the UK. The courtier-ship and grant-artistry
starts here.
HEIF 3 Competition Stage 2 Application Form Creative Capital – World City
Part A The case for the project
Creative Capital – World City will provide the specialist business,
economic, technical, creative and cultural expertise required to support
the UK creative industries expansion into key world markets. The
partner universities, which are leaders in these complementary fields,
together with the Centre for Creative Business, will deliver this
through the Creative Industries Observatory in London and 5
international business hubs in China and India.
“Our economic future lies in high-value, knowledge intensive industries. Put simply, to make the UK the world’s creative hub”
In keeping with UK Government priorities (most recently
expressed in the 2006 Budget) and regional policy for London, the
purpose of this innovative project is to increase the competitive
advantage of UK creative companies doing business, or wishing to do
business in India and China, thereby developing the world market for the
UK creative industries. Creative Capital – World City will directly
support UK companies in identifying and siezing new opportunities,
understanding the regional social, cultural, economic and business
contexts, preparing their business plans and strategies, and identifying
and successfully engaging in business development opportunities in
these countries.
Building on proven and successful research and HEIF knowledge
transfer (KT) activities e.g. Centre for Creative Business, Enterprise
Centre for the Creative Arts and Own IT (Creative London IP advisory
service), a new London based centre for expert knowledge in the creative
industries will be established. The project will also work with UK-wide
creative companies and key creative networks to research creative
activity / opportunities and succesfully penetrate and expand demand in
the target markets through dedicated staff at five Creative Business
Centres overseas. The essence of knowledge transfer in this
international context relies upon creating and supporting unique
partnerships and collaboration etc to enable particular projects (such
as fashion or design projects) to be accomplished. Staff at the Centres
will be a critical resource to assist creative companies in sustaining
key business relationships in India and China. The project will provide:
The Creative Industries Observatory (CIO), a facility for UK
creative businesses which will gather, interpret and deliver high
quality relevant intelligence on the target markets and Creative
Industry trends in the UK, China and India
5 internationally located business Creative Business Centres - hubs –
operated by dedicated business development specialists through which
opportunity/ creative business activity and market intelligence can be
channelled between Chinese, Indian and London/UK businesses
Networking opportunities in the emerging markets
Liaison with local knowledge and expertise in the target markets
New, carefully targeted, KT activities to assist international
development of creative businesses and, through structured training,
build their confidence to engage with Indian and Chinese businesses
Support to business in exploiting new creative business opportunities in these emerging markets
Additional direct foreign investment into London and the UK
Development of 3rd stream income from KT related to the creative
industries for a range of UK HEIs
(A i) Description of the Innovative nature of the project
The innovative nature of the project lies in
Its international ambition i.e. the distinctive UK - China - India
dimension which responds to ambitious UK government plans for the
creative industries
Its key role for the UK economy in establishing a Creative
Industries Observatory, the centre of expert knowledge for understanding
and supporting UK creative companies either already engaged in or
wishing to enter the emerging markets of China and India
The establishment of international Creative Industries benchmarks based on CIO data
The development of international business/knowledge transfer hubs, the Creative Business Centres
Combining leading edge technology, economic and international
studies and applied research with world class creative art and design
and business management
A strategic and innovative alliance with highly appropriate corporate partners, HEIs and their networks
The use of international HEI partners with established geographical
presence and contact networks in the target regions which will be of
immediate help to the project
The innovative use of existing KT networks in London/UK including Centres for Knowledge Exchange networks
Targeting of international KT for the creative industries, with a
specific focus on strategic areas of opportunity for UK plc such as
digital media and design e.g. Fashion, communications and product.
(A ii) Articulation of need
There are numerous statistics confirming the importance of the
creative industries to the UK economy and the need for them to
internationalise:
In 2001, creative industries accounted for 8.2% of UK GDP and
contributed £54.8 billion to UK Gross Value Added, £112 billion in
annual revenue and £11.5 billion in exports.
From 1997-2001 UK creative industries grew by an average of 8% per
annum, compared to an average of 2.6% for the whole of the economy.
Creative industries contribute £21 billion to London’s output, a
considerable amount juxtaposed with the City’s £35 billion. In terms of
jobs growth creative industries are London’s most important sector
From 1997-2002, employment in the UK’s creative industries grew at
three times the rate of the economy as a whole. In June 2003 creative
employment totalled 1.9m jobs.
The global market value of the creative industries has increased
from $831 billion in 2000 to $1.3 trillion in 2005; more than 7% of
global GDP
These are vital statistics that need to be kept up to date. The
Creative Industries Observatory will liaise with DCMS and other agencies
to design and develop an effective programme of ongoing statistical
data research.
H.M. Government, via the DCMS and other departments/ agencies,
has targeted the creative industries as an important economic sector for
UK plc. The London Development Agency has taken a strong lead in
setting the regional economic agenda for London with respect to the
creative industries. Through its Creative London agency, it has
delivered crucial intervention and support to London-based creative
businesses.
At the London Business School in November 2005 Creative
Industries Minister James Purnell announced the Creative Economy
Programme. This seven-step programme will ensure that cultural
institutions, policy makers and funding organisations work together to
support the growth and productivity of the creative industries.
Concurrently the DCMS announced a new measure to promote UK creativity
globally. DCMS and UK Trade & Investment, with other partners in
government, are supporting the work of three industry led export groups
helping to develop the Government strategy for the export of goods and
services from the Creative Industries sector:
● Creative Exports Group (CEG) ● Performing Arts International Development (PAID) ● Design Partners
In February 2006 the Creative Industries Minister announced that
7 experts have been appointed to lead the Creative Economy Programme
and its drive to make Britain the world’s creative hub
Government recognises the tremendous growth in importance of
trade with India and China to the UK, e.g. UK-India Education and
Research Initiative (UKIERI) pump primed by £10M of UK government
funding which was announced by the Prime Minister in November 2005, the
agreement to grant 1,000 working visas a year for Chinese graduates to
gain work experience in the UK, the proposed Phase 2 of the Prime
Minister’s Initiative to support HEI international activities (April
2006) and the expansion of the Scholarships for Excellence programme -
aimed at building links between Chinese business community and UK HE –
to all of which University of the Arts London (UAL) will contribute.
A prime source of help for UK companies to improve their
international trade is the government agency UK Trade and Investment.
Following a recent announcement by Gordon Brown, ‘a revamped UK Trade
and Investment will set new targets for expanding trade with China and
India and other emerging economies’.
The issue for UK HEIs and for the creative industries, typified by
small business, is how do they engage with these international
opportunities in a realistic and effective way?
The Creative Capital – World City project has been designed to
give direct support to the Government’s Creative Economy Programme. It
will work with the DCMS/ UKTI and other agencies to deliver the
Government strategy for the export of goods and services from the
Creative Industries sector. Creative industries companies will benefit
through specialist KT support from universities with relevant expertise,
offered in liaison with UKTI support.
London/ UK creative businesses intending to begin trading in
India/China need help. There is a key need in China and India to ensure
their international developments are sustainably structured for the
long-term. They need market intelligence, local contacts, access to
Indian and Chinese business networks, showcasing, B2B introductions and
local knowledge. They also need assistance with understanding and
addressing cultural requirements and specific training in how to best
exploit international business opportunities. Partner HEIs need to seize
the opportunity for growing 3rd stream income for KT services involving
UK creative exports, the demand for which is high in India and China.
“The project looks exceptional and will make a major
contribution to the innovation challenge that the UK faces”. Jonathan
Kestenbaum CEO of NESTA
“This is a strategically important project for London which will
provide clear opportunities to work collaboratively in various ways
including staging international events showcasing UK creativity, e.g.
internationalising the London Design Festival and the London Film
Festival” Tom Campbell - Creative London - a committed delivery partner
that welcomes the alignment of the project objectives and intentions
with its own creative industries internationalisation programme.
Luke Johnson Chairman of C4 TV has given the project his
support. Andrew Summers chairman of Design Partners, the government body
(supported by UK Trade & Investment and DCMS) promoting
international trade and investment for UK design businesses supports the
project and is keen to work with it.
“British Design Innovation very much welcomes it and are keen to
loan any support we can and get directly involved where appropriate”.
Maxine Horn CEO of British Design Innovation, (which has 4,500
commercial design practices registered with it - representing 95% of the
UK commercial design market).
"Creative Capital - World City is an important and timely
initiative which is likely to provide invaluable support and
intelligence to creative companies looking to do business in China and
India”.
Frances Sorrell - The Sorrell Foundation"
The requested £5 million of HEIF 3 funding is crucial to the
project. Given their teaching, research and other third stream
commitments, the partner HEIs would not be able to undertake the
Creative Capital –World City project without this necessary additional
funding.
(A iii) Planned impact on UK’s economy and society
This project will not lead to British creativity fuelling
Indian/Chinese market ascendancy. It will enable UK companies to compete
effectively with other first world players by embedding London/UK
creative expertise in business development opportunities in India/China.
Leveraging the existing collaborative projects and established networks
of the partners, the project will:-
analyse markets in China and India, understand what London/UK
creative businesses can offer and through the 5 Creative Business
Centres, broker interactions between the market and companies
analyse the needs of UK creative businesses to develop specialist
‘toolkits’ which interpret and contextualise generic support materials
from for example, DTI/UKTI, and supplement these with targeted
research/trend analysis and training
assist creative businesses to ‘sell’ creativity and innovation,
including co-investment and co-development in what are crucial emerging
market places whilst safeguarding their IP value/assets
safeguard existing creative industry jobs and create new ones in London and the UK
grow third stream income for a wide range of HEIs in London/UK
through innovative KT including business internships, international
‘KTPs’, MA/MBA exchange and new course development, and
internationalised academic input
actively identify and feedback intelligence on international
business opportunities to London based creative industry companies and
key networks
improve knowledge of UK creative industries economic performance and
establish international Creative Industry benchmarks to measure
performance
(B i) Key Project Partners
The core partnership is strategically complementary and has a
track record of designing, managing and delivering on major publicly
funded projects including large--scale research projects and knowledge
transfer under HEIF 2. It brings together
University of the Arts London (the lead partner)
LBS
School of Oriental and African Studies (SOAS)
Kings College London
Centre for Creative Business (a UAL/ LBS joint venture)
The partnership features universities recognised as leading UK
institutions with 5/5*research grades, which through well established
networks are already very active internationally in student recruitment,
course delivery and knowledge transfer. The partners are well known to
each other, have very good working relationships and share the ‘big
picture’ with respect to their strategic international development.
Together they provide a highly competent force, equipped with creative
industry related art, design, technical, technological, political,
cultural, social, economic and business management expertise to assist
UK creative businesses to succeed in India and China. The high quality
knowledge transfer, dissemination and business support networks that the
partners are already engaged in will be leveraged to drive further
business involvement for ‘Creative Cities. These same networks are also
adept at monitoring and analysing user involvement to ensure that the
project delivers required outcomes. The project has the support of major
creative industry organisations, creative clusters and creative
companies in each target area.
The project is based at University of the Arts London, the UK
University most closely linked to those creative industries. UAL plays a
vital role in serving the knowledge transfer needs of the creative
industries in London and the UK, in the arts (visual and performing),
design and communications. It already provides a wide range of excellent
creative industry focused K T services to London/ UK including,
Innovation Centre, Design Laboratory, Centre for Fashion Enterprise,
Fashion Business Resource Studio, CoVE Retail, CoVE Fashion, Own It
Intellectual Property Advice Service (in partnership with Creative
London), Artquest, The Intelligent Media Initiative. Exchange - London’s
creative Centre for Knowledge Exchange, IP commercialisation (e.g.
licensing, start-up and spin-out companies – via UAL Ventures ltd),
consultancy and Knowledge Transfer Partnerships.
In collaboration with London Business School, University of the
Arts London operates a joint HEIF 2 funded venture - the Centre for
Creative Business tasked with driving innovative new forms of UK-based
creative business out of LBS and UAL MBA/ MA programmes through its New
Creative Ventures programme and assists existing creative businesses to
grow significantly through its Building the Creative Ventures programme.
CCB has been a major success story. It is often cited by the Creative
Industries Minister James Purnell as an excellent example of what can be
done when two leading HEIs with strongly complementary disciplines come
together.
(B ii) Indicative contribution from each HEFCE funded partner
Partner Relevant Expertise Contribution
King’s College London Evidence Network; School of Social Science and Public Policy; Cities Group;
School of Humanities;
Risk Management Centre Expertise in evidence based policy methodology
Economic impact techniques
London Centre for Arts and Cultural Enterprise (HEIF 2 funded project)
International, interdisciplinary research using spatial techniques to investigate cultural and economic development.
School of African & Asian Studies Centre for South Asian
Studies; Centre for Contemporary China Institute; SOAS Language Centre;
SOAS Interface Interdisciplinary approach to understanding the context
and dynamics of the target markets
Language and cultural programmes for business to develop skills in Chinese and South Asian languages
London Business School Aditya V Birla Centre
Innovation Centre
Digital Transformations
Mutually beneficial academic exchange between Indian business and the global business community
Macro and micro knowledge of the digital technology industry and access to businesses
Social and economic impact of information and communication technology at macro and micro levels
Centre for Creative Business Driving innovative new forms of
creative business; assisting existing creative businesses to grow
significantly. Management development programmes
- Potential internationalisation action.
Database of 5,000 creative businesses
Track record of delivering high profile events
Through the combination of its complementary skills and knowledge the partnership will provide:
Guidance on the data collection methodologies and interpretation methods for the Observatory (KCL)
Insights into the cultural, political, and economic dynamics of the
target countries and our Creative Business Centres within them (KCL/
SOAS)
Expertise in the delivery of specific aspects of activity such as
languages/learning advice, business strategy, investment appraisal and
risk appraisal (KCL/ SOAS)
Access to the best possible core data on UK creative businesses and routes for the project to communicate with them. (CCB)
First rate executive education specifically relevant to the creative industries in the UK and the target markets (LBS/ UAL)
Collection of and access to existing published and unpublished reports, and mapping exercises (UAL/ LBS/ CCB)
Each of the partners brings to the project considerable
experience in the management and successful delivery of major publicly
funded projects such as UAL’s £5m CETL and Screen Academy projects,
King’s London Centre for Arts and Cultural Enterprise and LBS Centre for
Scientific Enterprise Ltd.
(B iii) Project Management Arrangements
The University of the Arts London as the Lead Partner will be
the accountable body. A Project Director will be appointed to manage the
overall project and will travel to the five Creative Business Centres
to ensure that the deliverables are achieved. The job descriptions and
person specifications for both the Project and Observatory Director
posts will reflect the need for these staff to have demonstrable
experience in an international context. A Management Board will direct
the strategic management of the project. A leading representative of the
Creative Industries will chair the Board. It will have membership from
each of the partners, employers and the project team. Invited Observers
e.g. Mayor of London’s Office, UK Trade and Industry, OST, and liaison
with advisory bodies in the priority sub sectors will further ensure
full employer engagement.
Part C Detailed Business Plan
(C i) Activities 2006-08 and beyond
This innovative and necessary project has three inter-related
components: the Project Management Centre, the Creative Industries
Observatory and five Creative Business Centres in China and India.
This is not intended to be a short-term project. The initial
project lifespan funded by HEIF 3 will be extended into future years
with income generated through the provision of KT activities and
services both in London/UK but primarily in the target markets in China
and India. To lay an effective foundation for this project it is
anticipated that a pre-project preparation, consultation and staff
recruitment period will be required. We therefore suggest that the
official project start date/public launch might reasonably be deferred
to late 2006 as the project is phased in.
Working with the enthusiastic support of key local agencies
including Creative London and London First the project will establish
the Creative Industry Observatory in London and five international
business hubs (Creative Business Centres) located in China and India (a
timeline for the project appears below in Section C vi). The project
will work with Business Links for London, London Chamber of Commerce and
other creative industry business networks in London and the UK, to
reach the largest possible number of creative businesses. The project
also has the direct support of numerous delivery partner companies
including large corporates such as Deloitte that are already well
established and active in China and India. Through close liaison it
will complement and enhance the work of UKTI (noting the particular
emphasis that UKTI is now expected to apply to developing trade activity
with China and India), British Council, Creative London, the proposed
National Centre for Design and Creativity (Cox Report recommendation)
and the Mayor’s Office/Think London operation in Beijing. The operation
of these elements of the project will be coordinated through the Project
Management Centre at the University of the Arts London.
(C ii) Project Management Centre
The Project Management Centre will provide the financial and
administrative management for the project. The Project Director will
coordinate and manage the work of the Business Development Managers
(BDMs) in the UK and at the Creative Business Centres in China and India
and will liaise closely with the Director of the Creative Industries
Observatory. UK based BDMs will work with creative industry networks,
companies and agencies. Partner based BDMs will also be tasked with the
internal ‘selling’ of the project in order to ensure that partners
benefit fully from the project and contribute to the project in terms of
the international knowledge transfer opportunities through the Centres
and the provision of specialist consultancy services through the
Creative Industry Observatory.
(C iii) The Creative Industry Observatory
Based at UAL’s: London College of Communication, the Creative
Industry Observatory will be developed as an authoritative information,
observation and dissemination resource. Staffed by specialist
information managers, analysts and researchers the Observatory will:
Collect and provide datasets on e.g. London and UK Creative
Industries activity; creative businesses in UK China and India and new
creative business opportunities.
Commission research to plug gaps in baseline creative industries subsectoral analysis/market analysis and regulatory frameworks
Produce publications/journal/information updates
Organise and present conferences/seminars/workshops
Carry out brokerage/introductions between creative industry companies through its events programme
Additionally the Observatory will also accept commissions from
agencies e.g. DCMS and DTI, to research, provide and maintain urgently
needed fresh creative industries data e.g. provide a London and national
creative industries subsectoral primary baseline data analysis/
tracking exercise. It is expected that this will aid project
sustainability.
(C iv) The International Creative Business Centres
The project will develop Creative Business Centres in:
China: · Beijing · Hong Kong · Shanghai India: · Mumbai · New Delhi
The five Centres will not be “cold starts”, but will be cost
effective arrangements that build on existing agency, university and
corporate partnerships and networks e.g. with the Beijing Design Centre
and Tsinghua University. This will enable an immediate project presence
in the target markets, supported locally through links with our partner
Universities in China and India, which will be ready to take advantage
of known business prospects. Activity at Centres in each location will
be quickly ramped up through these proven operational relationships.
Each of the Creative Business Centres will have a physical
presence, staffed by dedicated business development specialists and
co-located in prime positions typically within delivery partner
organisations. Business development staff at the Centres will
proactively seek, generate and orchestrate new business opportunity,
broker relationships between Chinese, Indian and UK companies and
provide technical, cultural and ‘trouble shooting’ support. The Centres
will provide a locus for further developing influential networks in the
target markets, for market research and data gathering, for channelling
market intelligence back to the UK. All Centres will be equipped with
appropriate technology to enable fast reliable continuous contact
including video conferencing between staff at each Centre, the Creative
Industries Observatory and the project management centre. Where local
partnerships are unable to provide suitable venues, appropriate
commercial premises will be hired for the staging of events. The volume
of KT and business activity driven by each Centre will be monitored and
should any of these be performing at a lower level than expected, a
virtual Centre established in agency premises may replace the physical
presence.
(C v) Key outcomes and deliverables of the project will be:
The establishment of the Creative Industry Observatory and its
subsequent operation as an exemplar of sector focused KT excellence; as a
source of specialist expert knowledge, leading to new joint ventures
and commercial agreements between London/UK companies and those in China
and India . It will provide valuable contextualised intelligence to and
from the Creative Business Centre, UKTI and other agencies, to UK
businesses via on-line and other media/events
The establishment of 5 International Creative Business Centre networks to support knowledge transfer activity in stated areas
Estimated £2.0m p.a. revenue potential from international knowledge transfer activities by July 2008
12-15 international business development staff appointed across the network
5 databases of international contacts
15 regionally focused (i.e. 3 per Centre) marketing and promotional events per year
1500 creative industries businesses briefed through 6 - 10 London
based strategic business opportunity seminars during the project
The Creative Capital – World City website
Regular specialist on-line e-briefings on India/China opportunities
On-line multi media/interactive specialist support for new business development
100 international business-to-business introductions brokered
10 international business opportunity focused ‘grow your creative
business’ events for London based creative industry companies and 10
similar events delivered locally for Indian and Chinese creative
companies which will showcase London/UK creativity
‘International Knowledge Transfer Partnerships’ and ‘mini-KTPs’
(will be developed based on experience of graduate placement in
international locations) that will be sponsored by Indian and Chinese
companies
(C vi) Independent Evaluation Arrangements
Evaluation will be a constant theme/presence throughout the
project. The individual contributions of each partner will be subject to
several levels of quality control and evaluation, the first line of
which will be the existing quality control procedures of each partner.
The project management team will internally evaluate each significant
project event and interaction in line with customer care best practice –
reporting biannually to the Board. Impact assessments will be made of
all operational aspects of the project.
Separate to these measures there will be external evaluation at
initiation, during and on completion of the project. This will be
carried out by independent external specialist evaluation consultants
who will be appointed to the project following a selection process. A
budget element has been earmarked for this, and potential sources, e.g.
University of Glasgow Cultural Policy Group and Innovation Partners Ltd,
have already been approached.
(C vii) Dissemination of Project Results
A comprehensive dissemination strategy will be agreed with the
Management Board. The principle means of dissemination – not only of
results but of process and progress – is intended to be the project
website and links to the websites of partners including London First and
Creative London. It is also intended that the project will also be
featured in creative industries publications and those of the Mayor’s
Office and LDA. The Observatory will launch the Creative Industries
Journal as the authoritative refereed commentary on the creative
industries in the UK, which will also disseminate data/findings from the
project. The importance of disseminating information about the project
and its impact, to business organisations, trade and professional
associations; the HE Sector; UK government agencies; knowledge transfer
networks other relevant CKEs in London and the UK and most importantly
of similar bodies in China and India is recognised. There will be
publications emanating from the project as well as targeted seminars and
events targeted both at specific creative sub-sectors, broader business
and the broad Creative Industries. Reference will be made to HEIF/HEFCE
and DTI-OST throughout the dissemination process.
(C viii) Exit Strategy and Sustainability
This is an ambitiuous venture, with sustainability as an
achievable objective. It is envisaged that significant income will be
generated from the proposed activities, but this may not be fully in
place within two years.
The initial project lifespan funded by HEIF 3 will be extended
into future years with income generated through the provision of high
quality knowledge transfer activities and services both in London/UK but
primarily in the target markets. The first two years will feature an
awareness raising campaign as the partnership builds the Creative
Business Centre brand recognition at the initial locations. It will also
further business partnerships and investment through which the brand
and thus the centres concept can be extended to more geographical areas.
The project will build a new self-sustaining business model, which will
continue to grow in line with the anticipated growth of the Chinese and
Indian markets for the creative industries.
It is expected that there will be significant opportunities for
co-investment with Chinese and Indian partners, which will defray a
large part of the direct operational costs to the partners in future
years. The business model also anticipates the possibility of
co-developing the Centres as collaborative businesses drawing in more UK
creative companies, as the market for creativity in China and India
extends to many other cities. This will give the partnership a much
wider engagement with the Chinese and Indian marketplace, greatly
increasing the potential returns to London/ UK creative businesses, to
associated Chinese and Indian companies, and to the HEI partners as the
demand for their knowledge transfer services grows. Revenue (in part
potentially royalty payments) from this will feed back to the project to
support the continued marketing and management of the business. The CIO
will also actively seek to generate income through commissions and
events. If insufficient progress towards some areas of self-sufficiency
has been made two years from the start date, the project could be scaled
back (e.g. some of the Creative Business Centres could become virtual
centres to a level that can be sustained by the income generated from
them) without loss of its overall thrust.
HEFCE/OST are being asked to provide essential start up funds to
enable infrastructure development, cover expected start up costs and
provide a stable platform for the first two years on which a sustainable
operation can be built. Our belief in our ability to achieve
sustainability is supported by the way in which the partners have over
recent years been developing successful overseas recruitment and
consultancy businesses in the target regions.
(C ix) Key Risk Factors
A strong partnership has been put together that has good
experience of working successfully overseas. The potential pitfalls and
challenges are largely known and many have been encountered and
effectively dealt with in the past. However, this does not mean that the
partnership is complacent about risk. As part of the business plan, a
fuller assessment and treatment of risk will be undertaken with King’s
College London’s Risk Strategy Group. A risk management strategy will
subsequently be devised. Some indicative risks have been set out below.
Indicative Risk Rating Action
Unable to recruit appropriate staff or Low/ Medium Phase these international activities slightly
premises in China/India slower than in timeline
Partners unable to agree on share/ Low/ Medium Board to develop formal partnership agreements
distribution of income/benefit
Lack of KT business opportunities in Low/ Medium Vigorous campaign in target markets
China and India with UKTI and delivery partners in target markets
Income does not grow sufficiently Medium Scale back Hub/CIO activity to sustainable level
to fund Year 3 operation recast some centres as virtual centres
Seek co-investment/ merger with local partners
Too many CI sub sectors too early. Medium Focus on key selected areas initially
Slow bureaucracy in both countries Medium/ High Local partners well used to this will advise/ guide
Financial export restrictions/guarantees Medium Chinese income held in China and used to offset partner
(mainly China) costs on other (e.g. recruitment) operations.
Absence of experience of international High Careful screening/selection of business partners,
business standards use of strong contracts, particularly IPR
but recognise that even so, risk remains
The project represents a novel HEIF/business model but the
experience of the partners in developing international operations and in
delivering on HEIF/ third stream developments and other major
collaborative projects reduces the risk associated with it
(C x) Finances
Lessons learnt.
These are the lessons learnt so far from delivering our HEIF 3
project - to find a full copy of our winning bid please click download
on this page.
1. The first lesson is that everything takes much longer than
you might expect it to. Everything is being done at a distance, in
different time zones. In the case of China particularly, time needed to
be spent to understand the business culture and the systems of business
development before the programme could really begin to engage with
Chinese business. There is also a very real need to overcome a
significant language barrier. All of this was more or less foreseen,
but the practical impact of it on our ability to mount the programme
only became apparent once the programme got underway.
2. Having an in-country presence of senior UK managers is highly
desirable, yet this is not practicable. Although we have fairly
frequent visits to China and India to compensate, we remain to a very
large extent reliant upon those that we have recruited. Good local
knowledge and contacts are highly valued, but this by itself is not
enough. Good experience of and ability in business development is also
extremely important. Recruiting the right people is crucial as is
regular management contact with and support for them through a mix of
technology based and face-to-face communication.
3. Recruiting the right people has been problematical and more
expensive than had been expected. Not surprisingly, compensation has
had to be adjusted to reflect market conditions in each locality.
Because recruitment to the programme is taking place during a period of
private sector expansion, the market in each locality has been found to
be particularly tight with respect to finding well-qualified individuals
with good language skills. This has led to higher costs and delayed
recruitment.
4. Reliance has had to be placed on outsourced services and
agents to provide the kind of ‘back office’ administration and support
that we take for granted in our own HEI. This is largely because our
own in-house services do not necessarily have the experience or
expertise to provide much needed guidance and support to a programme
that operates across international boundaries and under different
legislative regimes. Initial assumptions concerning the extent to which
existing relationships with our network of recruitment agents could be
leveraged to provide such services have not been borne out in practice.
This has all placed additional strain on the Programme Management Team,
which it is fair to say has done tremendously well to cope with a severe
learning curve.
5. The development of a fully functioning internal and external
partnership also requires a lot of time and effort even if, as in our
case, those partners are largely known to you and have experience of
working together on different projects. Large-scale projects bring
their own tensions and partners bring their own expectations and
agendas. We have learned that there is a clear need for good
communication (which we have not always managed as well as we might
wish), for clear understanding of the mutual purpose and objectives of
the project (not always acknowledged within a partnership) and that
while consensual agreement is always sought, resolute leadership is a
quality that should not be underestimated.
6. Having the support and advice of very experienced and
accomplished Creative Industries business people on the Programme
Advisory Board has been extremely beneficial in moving towards the
achievement of a balanced approach to the commercial and academic
aspects of international knowledge transfer as well as assisting with
strategising and implementing the programme.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Summery by transcriber:
Nobody who can get a better job would want to work in a quango
supporting Chinese autocracy at the expense of people who pay for the
quango. It's a nonsense. Nobody applies.
Nobody knows what this project is for and those who apply by
accident and perhaps really think that China trade on fiddled exchange
rates by both sides is good for taxpayers in the UK, get the job. Well
done. They also find a mixture of briefs and interventions which keeps
them in London and prevents them doing the job they hoped to do.
Frankly it's a plaything of courtiers; job creation by Marie Antoinette
University of the Arts Grant to Promote Jobs in China
HEIF 3 Competition Stage 2 Application Form Creative Capital – World City
Part A The case for the project
Creative Capital – World City will provide the specialist business, economic, technical, creative and cultural expertise required to support the UK creative industries expansion into key world markets. The partner universities, which are leaders in these complementary fields, together with the Centre for Creative Business, will deliver this through the Creative Industries Observatory in London and 5 international business hubs in China and India.
“Our economic future lies in high-value, knowledge intensive industries. Put simply, to make the UK the world’s creative hub”
In keeping with UK Government priorities (most recently expressed in the 2006 Budget) and regional policy for London, the purpose of this innovative project is to increase the competitive advantage of UK creative companies doing business, or wishing to do business in India and China, thereby developing the world market for the UK creative industries. Creative Capital – World City will directly support UK companies in identifying and siezing new opportunities, understanding the regional social, cultural, economic and business contexts, preparing their business plans and strategies, and identifying and successfully engaging in business development opportunities in these countries.
Building on proven and successful research and HEIF knowledge transfer (KT) activities e.g. Centre for Creative Business, Enterprise Centre for the Creative Arts and Own IT (Creative London IP advisory service), a new London based centre for expert knowledge in the creative industries will be established. The project will also work with UK-wide creative companies and key creative networks to research creative activity / opportunities and succesfully penetrate and expand demand in the target markets through dedicated staff at five Creative Business Centres overseas. The essence of knowledge transfer in this international context relies upon creating and supporting unique partnerships and collaboration etc to enable particular projects (such as fashion or design projects) to be accomplished. Staff at the Centres will be a critical resource to assist creative companies in sustaining key business relationships in India and China. The project will provide:
The Creative Industries Observatory (CIO), a facility for UK creative businesses which will gather, interpret and deliver high quality relevant intelligence on the target markets and Creative Industry trends in the UK, China and India
5 internationally located business Creative Business Centres - hubs – operated by dedicated business development specialists through which opportunity/ creative business activity and market intelligence can be channelled between Chinese, Indian and London/UK businesses
Networking opportunities in the emerging markets
Liaison with local knowledge and expertise in the target markets
New, carefully targeted, KT activities to assist international development of creative businesses and, through structured training, build their confidence to engage with Indian and Chinese businesses
Support to business in exploiting new creative business opportunities in these emerging markets
Additional direct foreign investment into London and the UK Development of 3rd stream income from KT related to the creative industries for a range of UK HEIs
(A i) Description of the Innovative nature of the project
The innovative nature of the project lies in
Its international ambition i.e. the distinctive UK - China - India dimension which responds to ambitious UK government plans for the creative industries
Its key role for the UK economy in establishing a Creative Industries Observatory, the centre of expert knowledge for understanding and supporting UK creative companies either already engaged in or wishing to enter the emerging markets of China and India
The establishment of international Creative Industries benchmarks based on CIO data
The development of international business/knowledge transfer hubs, the Creative Business Centres
Combining leading edge technology, economic and international studies and applied research with world class creative art and design and business management
A strategic and innovative alliance with highly appropriate corporate partners, HEIs and their networks
The use of international HEI partners with established geographical presence and contact networks in the target regions which will be of immediate help to the project
The innovative use of existing KT networks in London/UK including Centres for Knowledge Exchange networks
Targeting of international KT for the creative industries, with a specific focus on strategic areas of opportunity for UK plc such as digital media and design e.g. Fashion, communications and product.
(A ii) Articulation of need
There are numerous statistics confirming the importance of the creative industries to the UK economy and the need for them to internationalise:
In 2001, creative industries accounted for 8.2% of UK GDP and contributed £54.8 billion to UK Gross Value Added, £112 billion in annual revenue and £11.5 billion in exports.
From 1997-2001 UK creative industries grew by an average of 8% per annum, compared to an average of 2.6% for the whole of the economy.
Creative industries contribute £21 billion to London’s output, a considerable amount juxtaposed with the City’s £35 billion. In terms of jobs growth creative industries are London’s most important sector
From 1997-2002, employment in the UK’s creative industries grew at three times the rate of the economy as a whole. In June 2003 creative employment totalled 1.9m jobs.
The global market value of the creative industries has increased from $831 billion in 2000 to $1.3 trillion in 2005; more than 7% of global GDP
These are vital statistics that need to be kept up to date. The Creative Industries Observatory will liaise with DCMS and other agencies to design and develop an effective programme of ongoing statistical data research.
H.M. Government, via the DCMS and other departments/ agencies, has targeted the creative industries as an important economic sector for UK plc. The London Development Agency has taken a strong lead in setting the regional economic agenda for London with respect to the creative industries. Through its Creative London agency, it has delivered crucial intervention and support to London-based creative businesses.
At the London Business School in November 2005 Creative Industries Minister James Purnell announced the Creative Economy Programme. This seven-step programme will ensure that cultural institutions, policy makers and funding organisations work together to support the growth and productivity of the creative industries. Concurrently the DCMS announced a new measure to promote UK creativity globally. DCMS and UK Trade & Investment, with other partners in government, are supporting the work of three industry led export groups helping to develop the Government strategy for the export of goods and services from the Creative Industries sector:
● Creative Exports Group (CEG) ● Performing Arts International Development (PAID) ● Design Partners
In February 2006 the Creative Industries Minister announced that 7 experts have been appointed to lead the Creative Economy Programme and its drive to make Britain the world’s creative hub
Government recognises the tremendous growth in importance of trade with India and China to the UK, e.g. UK-India Education and Research Initiative (UKIERI) pump primed by £10M of UK government funding which was announced by the Prime Minister in November 2005, the agreement to grant 1,000 working visas a year for Chinese graduates to gain work experience in the UK, the proposed Phase 2 of the Prime Minister’s Initiative to support HEI international activities (April 2006) and the expansion of the Scholarships for Excellence programme - aimed at building links between Chinese business community and UK HE – to all of which University of the Arts London (UAL) will contribute.
A prime source of help for UK companies to improve their international trade is the government agency UK Trade and Investment. Following a recent announcement by Gordon Brown, ‘a revamped UK Trade and Investment will set new targets for expanding trade with China and India and other emerging economies’.
The issue for UK HEIs and for the creative industries, typified by small business, is how do they engage with these international opportunities in a realistic and effective way?
The Creative Capital – World City project has been designed to give direct support to the Government’s Creative Economy Programme. It will work with the DCMS/ UKTI and other agencies to deliver the Government strategy for the export of goods and services from the Creative Industries sector. Creative industries companies will benefit through specialist KT support from universities with relevant expertise, offered in liaison with UKTI support.
London/ UK creative businesses intending to begin trading in India/China need help. There is a key need in China and India to ensure their international developments are sustainably structured for the long-term. They need market intelligence, local contacts, access to Indian and Chinese business networks, showcasing, B2B introductions and local knowledge. They also need assistance with understanding and addressing cultural requirements and specific training in how to best exploit international business opportunities. Partner HEIs need to seize the opportunity for growing 3rd stream income for KT services involving UK creative exports, the demand for which is high in India and China.
“The project looks exceptional and will make a major contribution to the innovation challenge that the UK faces”. Jonathan Kestenbaum CEO of NESTA
“This is a strategically important project for London which will provide clear opportunities to work collaboratively in various ways including staging international events showcasing UK creativity, e.g. internationalising the London Design Festival and the London Film Festival” Tom Campbell - Creative London - a committed delivery partner that welcomes the alignment of the project objectives and intentions with its own creative industries internationalisation programme.
Luke Johnson Chairman of C4 TV has given the project his support. Andrew Summers chairman of Design Partners, the government body (supported by UK Trade & Investment and DCMS) promoting international trade and investment for UK design businesses supports the project and is keen to work with it.
“British Design Innovation very much welcomes it and are keen to loan any support we can and get directly involved where appropriate”. Maxine Horn CEO of British Design Innovation, (which has 4,500 commercial design practices registered with it - representing 95% of the UK commercial design market).
"Creative Capital - World City is an important and timely initiative which is likely to provide invaluable support and intelligence to creative companies looking to do business in China and India”.
Frances Sorrell - The Sorrell Foundation"
The requested £5 million of HEIF 3 funding is crucial to the project. Given their teaching, research and other third stream commitments, the partner HEIs would not be able to undertake the Creative Capital –World City project without this necessary additional funding.
(A iii) Planned impact on UK’s economy and society
This project will not lead to British creativity fuelling Indian/Chinese market ascendancy. It will enable UK companies to compete effectively with other first world players by embedding London/UK creative expertise in business development opportunities in India/China. Leveraging the existing collaborative projects and established networks of the partners, the project will:-
(B i) Key Project Partners
The core partnership is strategically complementary and has a track record of designing, managing and delivering on major publicly funded projects including large--scale research projects and knowledge transfer under HEIF 2. It brings together
The partnership features universities recognised as leading UK institutions with 5/5*research grades, which through well established networks are already very active internationally in student recruitment, course delivery and knowledge transfer. The partners are well known to each other, have very good working relationships and share the ‘big picture’ with respect to their strategic international development. Together they provide a highly competent force, equipped with creative industry related art, design, technical, technological, political, cultural, social, economic and business management expertise to assist UK creative businesses to succeed in India and China. The high quality knowledge transfer, dissemination and business support networks that the partners are already engaged in will be leveraged to drive further business involvement for ‘Creative Cities. These same networks are also adept at monitoring and analysing user involvement to ensure that the project delivers required outcomes. The project has the support of major creative industry organisations, creative clusters and creative companies in each target area.
The project is based at University of the Arts London, the UK University most closely linked to those creative industries. UAL plays a vital role in serving the knowledge transfer needs of the creative industries in London and the UK, in the arts (visual and performing), design and communications. It already provides a wide range of excellent creative industry focused K T services to London/ UK including, Innovation Centre, Design Laboratory, Centre for Fashion Enterprise, Fashion Business Resource Studio, CoVE Retail, CoVE Fashion, Own It Intellectual Property Advice Service (in partnership with Creative London), Artquest, The Intelligent Media Initiative. Exchange - London’s creative Centre for Knowledge Exchange, IP commercialisation (e.g. licensing, start-up and spin-out companies – via UAL Ventures ltd), consultancy and Knowledge Transfer Partnerships.
In collaboration with London Business School, University of the Arts London operates a joint HEIF 2 funded venture - the Centre for Creative Business tasked with driving innovative new forms of UK-based creative business out of LBS and UAL MBA/ MA programmes through its New Creative Ventures programme and assists existing creative businesses to grow significantly through its Building the Creative Ventures programme. CCB has been a major success story. It is often cited by the Creative Industries Minister James Purnell as an excellent example of what can be done when two leading HEIs with strongly complementary disciplines come together.
(B ii) Indicative contribution from each HEFCE funded partner
Partner Relevant Expertise Contribution
King’s College London Evidence Network; School of Social Science and Public Policy; Cities Group;
School of Humanities;
Risk Management Centre Expertise in evidence based policy methodology
Economic impact techniques
London Centre for Arts and Cultural Enterprise (HEIF 2 funded project)
International, interdisciplinary research using spatial techniques to investigate cultural and economic development.
School of African & Asian Studies Centre for South Asian Studies; Centre for Contemporary China Institute; SOAS Language Centre; SOAS Interface Interdisciplinary approach to understanding the context and dynamics of the target markets
Language and cultural programmes for business to develop skills in Chinese and South Asian languages
London Business School Aditya V Birla Centre
Innovation Centre
Digital Transformations
Mutually beneficial academic exchange between Indian business and the global business community
Macro and micro knowledge of the digital technology industry and access to businesses
Social and economic impact of information and communication technology at macro and micro levels
Centre for Creative Business Driving innovative new forms of creative business; assisting existing creative businesses to grow significantly. Management development programmes
- Potential internationalisation action.
Database of 5,000 creative businesses
Track record of delivering high profile events
Through the combination of its complementary skills and knowledge the partnership will provide:
Guidance on the data collection methodologies and interpretation methods for the Observatory (KCL)
Insights into the cultural, political, and economic dynamics of the target countries and our Creative Business Centres within them (KCL/ SOAS)
Expertise in the delivery of specific aspects of activity such as languages/learning advice, business strategy, investment appraisal and risk appraisal (KCL/ SOAS)
Access to the best possible core data on UK creative businesses and routes for the project to communicate with them. (CCB)
First rate executive education specifically relevant to the creative industries in the UK and the target markets (LBS/ UAL)
Collection of and access to existing published and unpublished reports, and mapping exercises (UAL/ LBS/ CCB)
Each of the partners brings to the project considerable experience in the management and successful delivery of major publicly funded projects such as UAL’s £5m CETL and Screen Academy projects, King’s London Centre for Arts and Cultural Enterprise and LBS Centre for Scientific Enterprise Ltd.
(B iii) Project Management Arrangements
The University of the Arts London as the Lead Partner will be the accountable body. A Project Director will be appointed to manage the overall project and will travel to the five Creative Business Centres to ensure that the deliverables are achieved. The job descriptions and person specifications for both the Project and Observatory Director posts will reflect the need for these staff to have demonstrable experience in an international context. A Management Board will direct the strategic management of the project. A leading representative of the Creative Industries will chair the Board. It will have membership from each of the partners, employers and the project team. Invited Observers e.g. Mayor of London’s Office, UK Trade and Industry, OST, and liaison with advisory bodies in the priority sub sectors will further ensure full employer engagement.
Part C Detailed Business Plan
(C i) Activities 2006-08 and beyond
This innovative and necessary project has three inter-related components: the Project Management Centre, the Creative Industries Observatory and five Creative Business Centres in China and India.
This is not intended to be a short-term project. The initial project lifespan funded by HEIF 3 will be extended into future years with income generated through the provision of KT activities and services both in London/UK but primarily in the target markets in China and India. To lay an effective foundation for this project it is anticipated that a pre-project preparation, consultation and staff recruitment period will be required. We therefore suggest that the official project start date/public launch might reasonably be deferred to late 2006 as the project is phased in.
Working with the enthusiastic support of key local agencies including Creative London and London First the project will establish the Creative Industry Observatory in London and five international business hubs (Creative Business Centres) located in China and India (a timeline for the project appears below in Section C vi). The project will work with Business Links for London, London Chamber of Commerce and other creative industry business networks in London and the UK, to reach the largest possible number of creative businesses. The project also has the direct support of numerous delivery partner companies including large corporates such as Deloitte that are already well established and active in China and India. Through close liaison it will complement and enhance the work of UKTI (noting the particular emphasis that UKTI is now expected to apply to developing trade activity with China and India), British Council, Creative London, the proposed National Centre for Design and Creativity (Cox Report recommendation) and the Mayor’s Office/Think London operation in Beijing. The operation of these elements of the project will be coordinated through the Project Management Centre at the University of the Arts London.
(C ii) Project Management Centre
The Project Management Centre will provide the financial and administrative management for the project. The Project Director will coordinate and manage the work of the Business Development Managers (BDMs) in the UK and at the Creative Business Centres in China and India and will liaise closely with the Director of the Creative Industries Observatory. UK based BDMs will work with creative industry networks, companies and agencies. Partner based BDMs will also be tasked with the internal ‘selling’ of the project in order to ensure that partners benefit fully from the project and contribute to the project in terms of the international knowledge transfer opportunities through the Centres and the provision of specialist consultancy services through the Creative Industry Observatory.
(C iii) The Creative Industry Observatory
Based at UAL’s: London College of Communication, the Creative Industry Observatory will be developed as an authoritative information, observation and dissemination resource. Staffed by specialist information managers, analysts and researchers the Observatory will:
Collect and provide datasets on e.g. London and UK Creative Industries activity; creative businesses in UK China and India and new creative business opportunities.
Commission research to plug gaps in baseline creative industries subsectoral analysis/market analysis and regulatory frameworks
Produce publications/journal/information updates
Organise and present conferences/seminars/workshops
Carry out brokerage/introductions between creative industry companies through its events programme
Additionally the Observatory will also accept commissions from agencies e.g. DCMS and DTI, to research, provide and maintain urgently needed fresh creative industries data e.g. provide a London and national creative industries subsectoral primary baseline data analysis/ tracking exercise. It is expected that this will aid project sustainability.
(C iv) The International Creative Business Centres
The project will develop Creative Business Centres in:
China: · Beijing · Hong Kong · Shanghai India: · Mumbai · New Delhi
The five Centres will not be “cold starts”, but will be cost effective arrangements that build on existing agency, university and corporate partnerships and networks e.g. with the Beijing Design Centre and Tsinghua University. This will enable an immediate project presence in the target markets, supported locally through links with our partner Universities in China and India, which will be ready to take advantage of known business prospects. Activity at Centres in each location will be quickly ramped up through these proven operational relationships.
Each of the Creative Business Centres will have a physical presence, staffed by dedicated business development specialists and co-located in prime positions typically within delivery partner organisations. Business development staff at the Centres will proactively seek, generate and orchestrate new business opportunity, broker relationships between Chinese, Indian and UK companies and provide technical, cultural and ‘trouble shooting’ support. The Centres will provide a locus for further developing influential networks in the target markets, for market research and data gathering, for channelling market intelligence back to the UK. All Centres will be equipped with appropriate technology to enable fast reliable continuous contact including video conferencing between staff at each Centre, the Creative Industries Observatory and the project management centre. Where local partnerships are unable to provide suitable venues, appropriate commercial premises will be hired for the staging of events. The volume of KT and business activity driven by each Centre will be monitored and should any of these be performing at a lower level than expected, a virtual Centre established in agency premises may replace the physical presence.
(C v) Key outcomes and deliverables of the project will be:
The establishment of the Creative Industry Observatory and its subsequent operation as an exemplar of sector focused KT excellence; as a source of specialist expert knowledge, leading to new joint ventures and commercial agreements between London/UK companies and those in China and India . It will provide valuable contextualised intelligence to and from the Creative Business Centre, UKTI and other agencies, to UK businesses via on-line and other media/events
The establishment of 5 International Creative Business Centre networks to support knowledge transfer activity in stated areas
Estimated £2.0m p.a. revenue potential from international knowledge transfer activities by July 2008
12-15 international business development staff appointed across the network
5 databases of international contacts
15 regionally focused (i.e. 3 per Centre) marketing and promotional events per year
1500 creative industries businesses briefed through 6 - 10 London based strategic business opportunity seminars during the project
The Creative Capital – World City website
Regular specialist on-line e-briefings on India/China opportunities
On-line multi media/interactive specialist support for new business development
100 international business-to-business introductions brokered
10 international business opportunity focused ‘grow your creative business’ events for London based creative industry companies and 10 similar events delivered locally for Indian and Chinese creative companies which will showcase London/UK creativity
‘International Knowledge Transfer Partnerships’ and ‘mini-KTPs’ (will be developed based on experience of graduate placement in international locations) that will be sponsored by Indian and Chinese companies
(C vi) Independent Evaluation Arrangements
Evaluation will be a constant theme/presence throughout the project. The individual contributions of each partner will be subject to several levels of quality control and evaluation, the first line of which will be the existing quality control procedures of each partner. The project management team will internally evaluate each significant project event and interaction in line with customer care best practice – reporting biannually to the Board. Impact assessments will be made of all operational aspects of the project.
Separate to these measures there will be external evaluation at initiation, during and on completion of the project. This will be carried out by independent external specialist evaluation consultants who will be appointed to the project following a selection process. A budget element has been earmarked for this, and potential sources, e.g. University of Glasgow Cultural Policy Group and Innovation Partners Ltd, have already been approached.
(C vii) Dissemination of Project Results
A comprehensive dissemination strategy will be agreed with the Management Board. The principle means of dissemination – not only of results but of process and progress – is intended to be the project website and links to the websites of partners including London First and Creative London. It is also intended that the project will also be featured in creative industries publications and those of the Mayor’s Office and LDA. The Observatory will launch the Creative Industries Journal as the authoritative refereed commentary on the creative industries in the UK, which will also disseminate data/findings from the project. The importance of disseminating information about the project and its impact, to business organisations, trade and professional associations; the HE Sector; UK government agencies; knowledge transfer networks other relevant CKEs in London and the UK and most importantly of similar bodies in China and India is recognised. There will be publications emanating from the project as well as targeted seminars and events targeted both at specific creative sub-sectors, broader business and the broad Creative Industries. Reference will be made to HEIF/HEFCE and DTI-OST throughout the dissemination process.
(C viii) Exit Strategy and Sustainability
This is an ambitiuous venture, with sustainability as an achievable objective. It is envisaged that significant income will be generated from the proposed activities, but this may not be fully in place within two years.
The initial project lifespan funded by HEIF 3 will be extended into future years with income generated through the provision of high quality knowledge transfer activities and services both in London/UK but primarily in the target markets. The first two years will feature an awareness raising campaign as the partnership builds the Creative Business Centre brand recognition at the initial locations. It will also further business partnerships and investment through which the brand and thus the centres concept can be extended to more geographical areas. The project will build a new self-sustaining business model, which will continue to grow in line with the anticipated growth of the Chinese and Indian markets for the creative industries.
It is expected that there will be significant opportunities for co-investment with Chinese and Indian partners, which will defray a large part of the direct operational costs to the partners in future years. The business model also anticipates the possibility of co-developing the Centres as collaborative businesses drawing in more UK creative companies, as the market for creativity in China and India extends to many other cities. This will give the partnership a much wider engagement with the Chinese and Indian marketplace, greatly increasing the potential returns to London/ UK creative businesses, to associated Chinese and Indian companies, and to the HEI partners as the demand for their knowledge transfer services grows. Revenue (in part potentially royalty payments) from this will feed back to the project to support the continued marketing and management of the business. The CIO will also actively seek to generate income through commissions and events. If insufficient progress towards some areas of self-sufficiency has been made two years from the start date, the project could be scaled back (e.g. some of the Creative Business Centres could become virtual centres to a level that can be sustained by the income generated from them) without loss of its overall thrust.
HEFCE/OST are being asked to provide essential start up funds to enable infrastructure development, cover expected start up costs and provide a stable platform for the first two years on which a sustainable operation can be built. Our belief in our ability to achieve sustainability is supported by the way in which the partners have over recent years been developing successful overseas recruitment and consultancy businesses in the target regions.
(C ix) Key Risk Factors
A strong partnership has been put together that has good experience of working successfully overseas. The potential pitfalls and challenges are largely known and many have been encountered and effectively dealt with in the past. However, this does not mean that the partnership is complacent about risk. As part of the business plan, a fuller assessment and treatment of risk will be undertaken with King’s College London’s Risk Strategy Group. A risk management strategy will subsequently be devised. Some indicative risks have been set out below.
Indicative Risk Rating Action
Unable to recruit appropriate staff or Low/ Medium Phase these international activities slightly
premises in China/India slower than in timeline
Partners unable to agree on share/ Low/ Medium Board to develop formal partnership agreements
distribution of income/benefit
Lack of KT business opportunities in Low/ Medium Vigorous campaign in target markets
China and India with UKTI and delivery partners in target markets
Income does not grow sufficiently Medium Scale back Hub/CIO activity to sustainable level
to fund Year 3 operation recast some centres as virtual centres
Seek co-investment/ merger with local partners
Too many CI sub sectors too early. Medium Focus on key selected areas initially
Slow bureaucracy in both countries Medium/ High Local partners well used to this will advise/ guide
Financial export restrictions/guarantees Medium Chinese income held in China and used to offset partner
(mainly China) costs on other (e.g. recruitment) operations.
Absence of experience of international High Careful screening/selection of business partners,
business standards use of strong contracts, particularly IPR
but recognise that even so, risk remains
The project represents a novel HEIF/business model but the experience of the partners in developing international operations and in delivering on HEIF/ third stream developments and other major collaborative projects reduces the risk associated with it
(C x) Finances