Digital Technology in Côte d'Ivoire Is Transforming the Way People Live, Work, Play and Communicate

Following from my previous post about a GSMA report focusing on the growing mobile technology sector in West Africa and the socioeconomic benefits this will bring to the region, the London, England-based organization also published a report asserting how "the mobile industry has contributed to enormous change" in the West Africa nation of Côte d'Ivoire. Available in both English and Français, the report explains: "Digital technology in Côte d'Ivoire is evolving rapidly, leading to the emergence of new services and applications that are transforming the way people live, work, play and communicate."

The report claims "mobile technology is also revolutionizing the delivery of healthcare and agricultural services. Platforms have been developed that enable doctors and health professionals to communicate directly with patients through voice calls and SMS, significantly benefiting rural communities that would otherwise have to travel long distances to receive such services." Moreover, "Mobile platforms have also been used to provide farmers and agricultural firms with up-to-date information on market prices, production techniques and weather. Such mAgri services currently have almost half a million users in Côte d'Ivoire."

The report also illustrates the beneficial role mobile technology will play in achieving the "17 Sustainable Development Goals (SDGs) seeking to end poverty, protect the planet and ensure prosperity for all. This high-level ambition is made specific by the 169 targets that sit behind the SDGs and provide greater direction, quantification and timing for each goal. The intention is to meet all the targets by 2030, with some requiring earlier attainment."

Encouragingly, "The mobile industry was the first to come together and make a commitment to sustainable development and the goals. As part of this commitment the GSMA has started to assess how mobile technology contributes to the SDGs. The first report was launched at the UN Private Sector Forum in September 2016 and provided a framework to assess the industry's impact on the SDGs.

"All SDGs are affected by the mobile industry to varying degrees. Basic voice connectivity offers many societal, economic and environmental benefits, and upgrading to mobile broadband, to smartphones, and further to M2M (machine-to-machine) and IoT (Internet of Things), together with rapid digital transformation, creates a significant opportunity for the industry to support governments in meeting their SDG commitments."

The report dives deeper on mobile connectivity and its impact on SDGs by explaining: "The mobile industry's core mission is to provide connectivity. The provision of voice, SMS and data connectivity impacts all 17 SDGs. For example, mobile connectivity reduces the costs of accessing information and can create or expand markets by enabling the mechanisms for buyers and sellers to discover each other and conduct transactions, driving more inclusive growth. This is particularly relevant to SDGs 1 – No poverty, 5 – Gender equality, 8 – Decent work and economic growth, 9 – Industry, innovation and infrastructure, and 10 – Reduced inequalities.

"Another example is the use of mobile for emergency calls and broadcasting, which can play a critical role in the response to and management of natural and man-made disasters, which is relevant to SDGs 1 – No poverty, 2 – Zero hunger, 3 – Good health and well-being, 11 – Sustainable cities and communities, and 13 – Climate action. Additionally, mobile services enable users to access essential information such as health advice and educational tools, key to SDGs 3 – Good health and well-being and 4 – Quality education."

The report's final chapter focuses on opportunities for public-private collaboration. It notes that "mobile financial services have had a significant social and economic impact in many countries and are a key driver for many SDGs. Today, Côte d'Ivoire has the highest penetration of mobile money accounts in West Africa, and mobile money is already being used by the government to facilitate the payment of over 1.7 million secondary school fees each year. Further rollout of mobile financial services will continue to contribute to Côte d'Ivoire's achievement of the SDGs.

Image: GSMA

"Additional areas of opportunity include other mobile-enabled services such as energy, health and education. Given that just over 50% of the population have access to electricity, providing innovative ways for people to access electricity is important, particularly in rural areas, such as with pay-as-you-go solar home solutions. For this to be realized it is important to have the right infrastructure in place as IoT is still nascent in the country. Additionally, given low levels of literacy in the country and low health outcomes (such as high levels of maternal and infant mortality, and high levels of food insecurity), the Ministry of National and Technical Education (MENET), the Ministry of Health and mobile operators could collaborate to meet the goals on good health and well-being (SDG 3) and quality education (SDG 4)."

I agree with the claim presented in the report's Executive Summary: "Closer collaboration between the Ivorian mobile industry and the various line ministries of its government offers a strong opportunity to support Côte d'Ivoire's social and economic progress." Do you have specific ideas on how mobile technology can contribute to the achievement of the SDGs?

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Mobile Technology Is Helping to Achieve Sustainable Development Goals in West Africa

A new report published by GSMA explains that "by the end of 2016, there were 172 million unique subscribers in West Africa, accounting for 320 million mobile connections. The sub-region's subscriber penetration rate now stands at 49%, slightly higher than the 47% penetration rate across the wider Sub-Saharan Africa region." The Mobile Economy West Africa 2017, which is available in both English and Français, further asserts: "Over the next four years, West Africa will see average subscriber growth of 6%, one of the fastest rates globally, resulting in an additional 45 million subscribers by 2020. The biggest market in the sub-region – Nigeria – will account for two-thirds of this growth, with another quarter coming from Benin, Côte d'Ivoire, Mali, Niger and Senegal."

In the chapter titled, "Mobile Enabling Innovation," the report says: "Mobile has emerged as the platform of choice for creating, distributing and consuming innovative digital solutions and services across West Africa. This trend is driven by the rapid expansion of mobile networks across the sub-region and the growing adoption of smartphones. More than a quarter of the population now subscribe to mobile internet services, a figure that will nearly double to 43% by 2020."

Furthermore, mobile technology is "helping achieve the UN Sustainable Development Goals (SDGs) in the subregion, providing access to tools and applications that address a range of socioeconomic challenges. Mobile has been used, for example, to spread awareness of disease outbreak, such as the Ebola virus in 2014/15, and by the World Food Program to provide humanitarian assistance to refugees and displaced persons in Mali and Nigeria."

In the chapter titled "Realizing the Full Potential of Mobile Across West Africa," the report notes that "the mobile industry makes an important contribution to the economy across the West Africa region, driving economic growth and jobs while helping to fund public services."

I am encouraged by the findings of the GSMA report with respect to the role mobile technology will play in West Africa's socioeconomic development. In the coming years, my colleagues and I will see local startups in the region developing innovative platforms and services in cloud computing, connected devices, e-commerce, financial technology and mobile applications (particularly in education and health).

What are you thoughts about the report?

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Build Stronger Relationships, Not a Larger Network

Members of SeattleU's CSSA and
invited speakers attending
"Class of 2017 Networking
Night" on May 24, 2017

As the 2016-17 academic year comes to a close, I reflect on my interactions with young adults attending one of the colleges or universities in the Seattle area. Receiving the honor of participating in Seattle University's Chinese Students and Scholars Association's (CSSA) "Class of 2017 Networking Night" on May 24, 2017, I was asked to speak about entrepreneurship and the opportunities and risks of owning your own business.

I informed the attendees the three reasons why people start their own business: (1) be your own boss, (2) be in creative control, and (3) make a lot of money. I cautioned the SeattleU students that successful entrepreneurs rarely consider the option of making a lot of money when taking on the risks and responsibilities of owning a business. While entrepreneurship provide the opportunity to generate substantial income, most successful entrepreneurs will attest that much personal sacrifice is the price to pay for achieving such success. An entrepreneur runs a high risk of failure if they are considering the financial gain that can be realized through owning a business. The freedom of being your own boss and maintaining creative control of the development of your product or service are the primary drivers for successful entrepreneurs.

For those considering taking the plunge into entrepreneurship, I recommend they do not:

1. Build a company with no revenue;
2. Follow shiny objects (opportunistic);
3. Lie to themselves or others about their traction;
4. Focus on too many things at once;
5. Use the word "I" (building a successful venture requires a talented, hard working team);
6. Ask investors to sign a non-disclosure agreement (NDA);
7. Think they are the only company in their space; and
8. Calculate the future value of their stock.

Conversely, entrepreneurs need to:

1. Fix a problem;
2. Tell a story that people will understand;
3. Hire for ambition;
4. Get to know their customers;
5. Make informed decisions;
6. Understand time has the same value as money (and manage both wisely);
7. Become a shameless self-promoter (without becoming obnoxious);
8. Project a positive image;
9. Be accessible;
10. Master the art of negotiations;
11. Get and stay organized;
12. Follow-up constantly;
13. Have a business plan; and
14. Focus.

Serving as a panelist at the Technology and Business Association at the University of Washington's "2017 International Biz-Tech Forum" on Feb. 27, 2017, I emphasized how assembling a strong team is essential to building a successful business venture. A mentor advised me early in my career to "surround yourself with people smarter than you."

Members of SeattleU's CSSA
visiting the Seattle office of
TR International and ROI3
on Mar. 10, 2017

My colleagues and I had the privilege of hosting members of SeattleU's CSSA at our office in Seattle, Wash. on Mar. 10, 2017. The conversation focused on our business operations, challenges and risks of doing international business, and career advice to those about to enter the workforce. During the discussion, I presented the following ten items that are essential in serving as an effective leader:

1. Good communicator;
2. Coachable;
3. Lead by example;
4. Know your strengths and weaknesses;
5. Always improve your skills;
6. Take responsibility for your actions (mistakes);
7. Do not micromanage: trust your colleagues;
8. Give credit where credit is due;
9. Avoid criticizing, condemning or complaining; and
10. Expect results.

In my conversation with students attending the University of Washington's chapter of the China Entrepreneur Network's "Dinner with Professionals" on Nov. 3, 2016, I recommended they build stronger relationships, not a larger network. My recommendation connects well with an article, Nick Corcodilos of Ask The Headhunter®, published that correctly notes:

Most jobs are found and filled through personal contacts, not through job postings, career centers, or employment agencies. College students' first job is to meet people — preferably people who work in companies and on products and services you think you’re interested in. Those people will educate you about work and about jobs and employers. The sooner you start developing these contacts and learning from them, the better.

I appreciate Mr. Corcodilos' additional insights on relationship building:

Smart managers tend to hire people they know, or people known to their employees. While this might bother you because it seems unfair, consider that it's prudent because it lowers the risk of getting a lousy worker. Would you loan money to a friend, or a total stranger? Would you trust your business to someone a friend vouched for, or someone you don't know anything about? This is just basic human nature – but it's not unfair. It's a good survival mechanism.

What advice do you have for those of whom are in the early stages of building their career?

Aaron Rose is a board member, corporate advisor, and co-founder of great companies. He also serves as the editor of GT Perspectives, an online forum focused on turning perspective into opportunity.

Heath Johnson's Experience of Running the Boston Marathon

While a runner for all of his adult life, Heath Johnson, a certified personal trainer and President of Colorado-based Get Fit With Heath, Inc., participated in the 121st running of the Boston Marathon. [Disclosure: I serve on the board of directors of Get Fit With Heath, Inc.] At the age of 46, this was his first time participating in the world's oldest annual marathon. Given my interest in digital health, as well as following Heath's journey as a runner over several years, I saw value in interviewing him about his experience of running the Boston Marathon on Apr. 17, 2017.

The following interview had been edited for clarity and length.

What was your experience of running the Boston Marathon and what steps did you take to prepare for the event?

HJ: Running the Boston Marathon was a great experience!! I particularly appreciated the organization of the race. With respect to my preparation, since Jan. 1, 2017, I put in over 800 miles in training runs since Jan. 1st. Hearing that the Boston Marathon's course has a lot of uphill and downhill, I tried to focus my training runs with a similar topography. As of February, I did speed work.

Did you use any mobile applications or wearable devices in preparing for the Boston Marathon?

HJ: I did not use any mobile applications, but I used a Garmin GPS watch to track my time including miles ran. While I probably should have during the Boston Marathon itself, I never track my heart rate since wearing the device is uncomfortable and I question its accuracy. I did read books about the Boston Marathon such as Michael Connelly's 26 Miles to Boston: The Boston Marathon Experience from Hopkinton to Copley Square.

What diet or nutritional guidelines did you use to prepare for the marathon?

HJ: I stuck with a high-protein breakfast such as steal-cut oatmeal and milk. I tried not to eat a lot of processed food. In the evenings, I tried to eat fruits and vegetables together with a protein sources such as eggs, fish, chicken. On average, I tried to eat 4-5 meals a day.

What was your routine for race day?

HJ: I slept well the night before and felt comfortable in the morning up to my start time at 10:25 am EDT. I may have been a little worried about the weather forecast since it was expected to be unusually warm and perhaps hydration would be a factor that would impact my performance.

What was your experience of running the race itself?
The race course was challenging so I was happy that I was properly prepared. I stayed hydrated as there were water stations located throughout the race. However, I did see a lot people near the end of the race course withdraw as a result of dehydration. My goal was to finish between 3:20:00 and 3:30:00. I ran the first mile in 7:33 and finished at 3:26:01.

Do you have any final thoughts about your experience of running the Boston Marathon?

HJ: The journey is the most important thing. People told me to enjoy every mile of the race and I took this to heart because you do not know if you will get this opportunity again. So many things have to go right to have this opportunity. Qualifying for the race is actually more important to me than the race itself--running the Boston Marathon was the celebration.

I want to thank my friends and family for their wonderful support during this remarkable journey. I also want to thank my wonderful fiancée, Anita Lyle-Glenn, for her love and sharing the experience with me in Boston.

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Great Experience Participating in the Seattle University Business Plan Competition

The following is a guest post by Yan Tang.

Last week, our team 701 COFFEE got together again and had a debriefing meeting for the Business Plan Competition which was held on April 18th, 2017 at Seattle University campus. Even if our team was not selected as one of the final four teams, deep in our heart, we all agreed that the competition was not the end of this business; instead, we believe 701 COFFEE is in a right direction to achieve its business goals. This meeting again showed that we are a integrated, passionate and committed team. Our coaches Aaron Rose and Priyanka Kamath and team members Sonam Priyan and Sara Mae all shared their experiences involving in this competition. Everyone proposed many great suggestions to help 701 COFFEE keep grow and thrive in the vibrant community.

As a team leader, taking 701 COFFEE to the Business Plan Competition was a quite challenging but rewarding journey for me. The challenges came from the worries about failing to meet the team's expectations, though none of them meant to give me any pressure leading the team. It was my high standard to pursue a perfect process that challenged me. Other than that, I enjoyed communicating with everyone to put our business plan together, to visualize the business and to know more about our team members.

I have learned tremendously from our teamwork and this competition. But I would like to share two things that impressed me a lot along this journey. The first thing is definitely the TEAM, TEAM, TEAM!! I cannot emphasize enough the importance of the team. Two heads are better than one. One person cannot always have the best solution or make the best decision, and the team brainstorming would generate many creative ideas. In a team, we are more likely to perform better and make more sensible decisions by putting heads together than by working alone. What is more, we will always have support and encouragement. Sometimes, when you are unsure about something, or feel incompetent in completing a task, your team will lead a way for you and share their views with you. Our team 701 COFFEE is such a supportive team. From drafting the business plan to Elevator Pitch/Tradeshow, everyone was eager to contribute ideas and do our best. I was so proud of the day when all our team members were wearing our red team T-shirt showing our unity and passion to Business Plan Competition audience.

The second thing is be passionate about what you are doing. Everyone in our team either has full time jobs or full time school, but each of us was highly committed to each strategic meeting, marketing research and the business plan writing. If we did not have enough passion and belief in what we were doing, it was very challenging to work together three-month long when everyone was already having a lot workload from job or school. There is no doubt that some of us might have felt exhausted or confused about the future of the business, but our passion and belief in turning 701 COFFEE into a profitable business constantly motivated our team to work hard, collaboratively and creatively. As a result, everything in our team went incredibly well and smooth.

When preparing for the Elevator Pitch on behalf of the team, I was so unconfident and stressful. I worried so much that I could not do a good job pitching on the stage and let my team down. My mentor Sue Oliver kept encouraging me to unleash my passion and let passion lead my way. She said:" your job is not to feel scared, but to get audience excited by your passion." She proposed a 10 x 10 practice plan to me. Whenever I practice the pitch 10 times, I text her. So I am supposed to text her 10 times to let her know that I have practiced the pitch 100 times with passion and enthusiasm. I ended up practicing 150 times in total, and I also found the confident and passionate self during the practice. I am sure on the day of competition, the pitch I did was the best of all among 150-time practice and got audience excited. I also realized that passion is such a strong power that can lead the team and individuals to overcome hurdles and to keep trying to be good, better and great!! I believe that our team members have learned different things that are valuable to them from this competition. 701 COFFEE team ignited my passion and helped me grow a lot, and I appreciate our team spirit a lot. Everyone asks me if I had fun in this competition. I said, absolutely!! And I am quite sure that I will do it again next year.

We finished this competition, but we will never stop supporting 701 COFFEE, a local family-owned business in Seattle Central District.(Located at 23rd Ave and Cherry Street) We are looking forward to seeing more accomplishments from 701 COFFEE.

Yan Tang is enrolled in the Professional Master of Business Administration (Marketing) program at Seattle University. She also serves as a Business Relationship Management and Small Business Coach at Seattle University's Innovation and Entrepreneurship Center. Previously, Ms. Tang worked for Manpower in the company's Shanghai, China office where she served in several roles including Service Consultant, On-Site Project Manager for IBM Shanghai, and Recruitment Consultant. Ms. Tang may be contacted at yantang1126@gmail.com.

A Valuable Lesson for Today

The following is a guest post by Yan Tang.

Photo by Yan Tang

A friend recently asked me if I could work as an office assistant for her friend Lisa who owns a dentistry in Bellevue, Wash. Lisa has been through several of changes in her office. She injured her arm and two staff members quit recently. She was desperate for people working for her. On the other hand, I was still in uncertainty about when I could get an internship and I thought I could do a favor to my friend. So I said "yes."

The interview with Lisa was quite simple, and she even did not ask me what career I would like to have or what was my long-term career plan. Apparently, she was in need of more hands. Soon, she made an internship offer to me as an office assistant. I was not excited as I should be. Having years of experiences in recruiting and project management prior to starting the MBA program at Seattle University, I clearly know that I want to pursue my career as a professional recruiting consultant or project manager upon the completion of the program in 2018. However, I could not convince myself not to take this offer. I was even thinking it might be an "OKAY" internship for the short-term. I called my mentor, Sue Oliver, for her opinion.

Sue was a little disappointed that I would take this job since she knew I have been looking for an internship related to recruiting and project management. She challenged me: "Do you want to become a dentist?" "No," I replied. "But I will work for Lisa temporarily and she needs help."

Sue simply said you would lose every single hour that was supposed for searching your dream job if you worked in the dental office. If she needed help, you could help her find interns as you were a recruiter before. I was suddenly enlightened. No matter how discouraging finding my dream internship or no matter how long it will take, I need to hold the belief and faith. I made up my mind that I would not take this internship.

I went to Lisa's dental office and observed how she operated the business. Because of her severely injured arm, she had to reschedule patients which caused a lot loss for her business. It was also very stressful as she did not have enough people working in the office. She had to see patients and train her staff at the same time. I knew I could help a lot if I could work here, but I had made up my mind sticking with what I dream to do.

I talked with Lisa that I could not work for her as an assistant here because my long term goal is to become a professional consultant or project manager. But I could help with finding interns for her and help with staff management as I have a lot student resources at Seattle University and have some friends who want to find a job. In addition, I worked for a Fortune 500 human resource company where recruiting and staff management were my expertise. Her response was a little surprising to me. She appreciated that I was being honest to her and she even felt fortunate that I have the talent helping her find right people which she needs the most. She said, "Yan, I did not know your background before. But I am glad we had such an open conversation. No matter how many hours you spend in looking for interns, I will pay you to do that." Then I was getting excited as it turned out Lisa becomes my "client." My job is to provide recruiting consultation for her. I will not only recruit interns for her, but also show her how to manage and retain her staff since she has high turnover rate in her practice. That is being said, she will not just get the fish; she will learn how to fish as well. What is interesting for me is that I created an opportunity for myself to practice my recruiting and consulting skills!!

After the conversation with Lisa, I could not wait to call Sue Oliver about the turnaround. Sue said she was not surprised, because if you know what you want to do, the world will make the way for you. She also shared with me her mentor's wisdom which is: follow what you love to do, you will not go wrong. I feel so blissful that I am able to hold on to what I love and dream to do, and this faith turns out to be a great opportunity for me and for others. Today's experience really taught me a valuable lesson that I will always keep in mind: never compromise to something that you do not love to do and hold the faith in your heart!!

Yan Tang is enrolled in the Professional Master of Business Administration (Marketing) program at Seattle University. She also serves as a Business Relationship Management and Small Business Coach at Seattle University's Innovation and Entrepreneurship Center. Previously, Ms. Tang worked for Manpower in the company's Shanghai, China office where she served in several roles including Service Consultant, On-Site Project Manager for IBM Shanghai, and Recruitment Consultant. Ms. Tang may be contacted at yantang1126@gmail.com.

Report Identifies Hundreds of Africa's Most Inspirational and Dynamic Private, High-Growth Companies

The London Stock Exchange Group (LSEG) launched it inaugural Companies to Inspire Africa report, which, according to Xavier Rolet KBE, LSEG's CEO, identifies "hundreds of Africa's most inspirational and dynamic private, high-growth companies – ones which have come to the attention of major global investors." The companies listed in the report "boast an impressive average compound annual growth rate of 16%. On average, each firm employs nearly 400 people."

Highlighting African companies from the following eight sectors: agriculture, consumer services, ELITE Morocco, financial services, healthcare and pharmaceutical, industry, renewable energy, and technology & telecoms, the report "also highlights the unique role of female entrepreneurship, with approximately 12% of these high-growth companies led by female entrepreneurs, three times the average for companies across Africa." Moreover, Mr. Rolet says: "This new report demonstrates that high-growth, private companies are fast becoming the driving force behind African economies: developing skills, creating high-quality jobs and driving economic growth."

In her commentary, Priti Patel, Member of the House of Commons of the United States and Secretary of State, Department for International Development, rightly notes: "Entrepreneurship is the cornerstone of any vibrant economy. It is the motor that drives investment, job creation and economic growth. Throughout history, sustained, job-creating growth has played the greatest role in lifting huge numbers of people out of grinding poverty. It is entrepreneurship that delivers the life-changing progress that comes from growth in developed economies, and it is entrepreneurship that is beginning to deliver the same in Africa."

Ms. Patel further explains that "Companies to Inspire Africa showcases some outstanding stories of innovation, bravery and growth across the continent. It brings Africa's entrepreneurial spirit to an international audience, and I would like to congratulate all the companies featured for their vision, ambition and tenacity. It is their success that will drive Africa forward to a future of prosperity, and away from a reliance on international aid."

With respect to the technology and telecoms sector, the report notes that the growth in mobile phone usage in Africa will grew 344 percent from 2007-2016 and 314 tech hubs are active around the continent. In addition, $608 million is expected to be invested in African tech startups in 2018.

Dale Mathias, Chair of the Partners Forum, Africa Private Capital Group, USAID, correctly maintains that "Africa is distinguished by the enormity of the scope, range and size of commercial opportunities available to technology-based companies. This stems primarily from the continent's growth potential, its lack of commercial sophistication and the sheer size of its markets."

Importantly, Ms. Mathias says "technology can provide the solution to widespread African economic inefficiencies. Technological solutions will significantly enhance access to many types of products and services that businesses and consumers require, but that are not yet available, accessible or affordable."

Moreover, "With African mobile phone penetration exceeding 50%, numerous entrepreneurial tech companies have launched throughout Sub-Saharan Africa by creating products and services built upon the continent's established mobile phone infrastructure. Increasing access to the internet has resulted in the building of numerous such businesses across a broad range of verticals that include logistics, FinTech, agriculture, marketing, media, education and healthcare."

I strongly agree with Ms. Mathias that "Africa is poised for tremendous growth, and investment capital is becoming more available. Awareness of the region's potential is increasing and there exists today an abundance of capable and highly motivated entrepreneurs. Sub-Saharan Africa is truly an area of great investment opportunity, with technology destined to lead the way."

What role does Africa play in your global business strategy?

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Progress and Outlook of China's Supply-Side Structural Reforms

"Supply-side structural reform (SSSR) dominates the economic policymaking landscape in China," according to a white paper published by the Economist Intelligence Unit (EIU). The paper, which is available in both English and Chinese, continues to explain: "In place for more than a year, the policy shapes everything from the government's efforts to reduce excess industrial capacity to initiatives designed to curb high levels of corporate debt, such as debt-for-equity swaps. Evaluating China's ability to overcome its chief economic challenges and sustain its economic growth is impossible without having a proper grasp of SSSR." The EIU's white paper provides the first comprehensive, independent analysis of the program.

The paper explores five components of SSSR: cutting excess industrial capacity, destocking property inventory, corporate deleveraging, lowering corporate costs and improving 'weak links.' Below are the key takeaways for businesses as presented in the paper's "Executive Summary":

• We expect slower progress on coal and steel industrial capacity cuts, potentially applying downward pressure on commodity prices. Capacity reductions in 2016 involved a significant amount of idle capacity and were concentrated in the private-sector; they have yet to extend meaningfully into productive capacity or the more sensitive state-owned enterprise (SOE) sector. The drive against overcapacity might also be extended to sectors including automobiles, new materials and renewable energy.
• Efforts to destock property inventory will likely have a fairly marginal impact. Investor unease and slow progress on key reforms make it difficult to stimulate demand across smaller cities. Efforts to restrain supply are complicated by the dependence of local governments on land sales revenue; a property tax is unlikely to come in force before 2020.
• Some of the deleveraging schemes backed by the authorities, such as debt-for-equity swaps, are problematically structured and may not achieve that much in terms of meaningfully reducing corporate debt. More important will be pushing a productivity reform agenda, especially among SOEs.
• Companies will benefit from lower effective tax rates, with the government set to ease burdens associated with administrative charges and social security. However, we do not expect a broad cut in the corporate tax rate and the introduction of the Environmental Protection Tax in 2018 will create significant additional costs for industrial firms.
• Strong government support for innovation under strengthening "weak links" and the Made in China 2025 initiative will provide local firms with resources and capital to help their transition up the manufacturing value-chain, to the likely detriment of foreign players. There are inefficiencies associated with this top-down approach, however, and in terms of innovation, private technology companies will play a bigger role in the transformation than state-owned firms.

Importantly, the paper explains that "SSSR's close association with the Chinese president, Xi Jinping, means it is likely to shape economic policy for many years to come. Companies and investors need to monitor the development of the policy carefully if they are to be alert to both opportunities and risks in the Chinese business landscape."

How do you anticipate SSSR impacting your business?

UPDATE: The EIU held a webinar on Apr. 27, 2017 discussing its whitepaper in greater detail. You can watch a recording of the webinar through this link.

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Integrating Technology to Solve the World's Healthcare Challenges

"The time for leveraging technology to solve the most pressing healthcare challenges across the world has come," writes Ivy Teh in the "Forward" of a report published by the Economist Intelligence Unit. Ms. Teh, who serves as Global Managing Director of EIU Healthcare Consulting, continues: "With the explosion of technological innovations ranging from artificial intelligence and big data technologies to ever more powerful sensors, the possibilities of using technology to improve healthcare are endless. The challenge now is less about technology than it is about finding viable models to implement those new technologies in order to make a real impact on the healthcare challenges that the world currently faces."

According to Ms. Teh, the report, Digital Health: Total Convergence, explores "how digital health is already changing the healthcare landscape in different parts of the world, in order to provide a deeper understanding of the topic of digital health, which has been dominating conversations in the healthcare industry. Based on this deepened understanding, we also examine the opportunities and challenges that lie ahead in terms of the practical realities of finding digital health solutions for the world."

Witnessing the digital health evolution over the past several years, I have become discouraged by the view held among many entrepreneurs and innovators that technology alone is the answer to solving the healthcare industry. Therefore, I was pleased to read the report's assertion that "the current challenge in digital healthcare is no longer purely about technology. Companies have to figure out how to initiate entire healthcare ecosystems to adopt new technology-enabled ways of meeting the innumerable challenges faced in healthcare."

The report provides a relevant and insightful discussion on three subtopics:

1. Digital health hubs: Scaling up digital health solutions for the world;
2. Digital divide: Locating technology's value proposition in different markets; and
3. Digital adoption will prompt a radical rethink of existing customer segments.

With respect to digital health hubs, "The interactions between technology and healthcare ecosystems in different parts of the world are creating digital health hubs with distinct areas of specialization and focal points that have formed in response to local healthcare challenges." The report "examines how the geographical dispersion of innovations and testing of digital health solutions will be critical to the implementation of high-impact solutions on a global scale."

On the topic of the digital divide, "Digital health instantiates itself uniquely in different countries and markets, each of which faces its own particular set of healthcare challenges. The value offered by digital healthcare lies in the way in which companies can apply recent breakthroughs in science and technology to different healthcare challenges to bring value to users." The report examines "how companies are extending their reach to new patient pools and markets by growing telehealth use in different settings and geographies." It also looks gives attention to "data-driven solutions that can be used to create smarter, more efficient and more precise healthcare delivery and better patient experiences."

As for digital adoption prompting a radical rethink of existing customer segments, the report illustrates how "digital technology is creating new market spaces in healthcare. New customer segments, such as internet hospitals, have emerged. Digital technology has also reshuffled the delivery points of the various medical services, in a way that will create opportunities in decentralized and near-patient products and services. Patient pathways and journeys will need to be remapped in response to patient demand for technologically enhanced products and services."

Encouragingly, the report "explores the true value of digital health—namely, the convergence of technologies to support healthy living around the world. This definition reflects the aim of this report: to provide a comprehensive and integrated view of how technology is used to solve the most pressing challenges that are faced in healthcare today."

I recommend reading the report if you have an interest in digital health. For those who read it, what are your thoughts?

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.

Spain's Thriving Aerospace and Defense Industry

Photo of representatives from
Spanish aerospace and defense
companies companies visiting Boeing's
factory in Everett, Wash.: Extenda

On Mar. 27, 2017, my colleague, Yan Tang, and I had the pleasure of attending the US-Spain Aerospace and Defense Business Forum, which featured 18 Spanish companies from the autonomous region of Andalusía seeking business opportunities in the United States. The forum was sponsored by Extenda-the Trade Promotion Agency of Andalusía, a public company owned by the Andalusían Regional Government, and hosted at the Seattle office of K&L Gates. While you can download the event booklet containing detailed information on each company, this blog post highlights a few that captured my attention.

Photo of Solar MEMS
sun sensors and replica
USB flash drive:
Yan Tang

Solar MEMS Technologies specializes in designing and developing sun sensors for high technology applications in space, unmanned aerial vehicle (UAV), and renewable energy markets. Headquartered in Seville, Solar MEMS' sun sensor is a device to measure the incident angle of the sun rays when they go through a small window. The sun sensors developed by Solar MEMS were designed using sensor on chip technology: they have small size, low weight, reduced cost, high accuracy and reliability thanks to the characteristics of the miniaturization over MEMS (micro-electro-mechanical systems). Solar MEMS developed this technology to use it on satellites and aerospace applications, but nowadays it has been transferred to other fields of application as solar energy, where the sun sensor improves reliability and features, and it reduces costs. Solar MEMS' customers include the European Space Agency (ESA), National Aeronautics and Space Agency (NASA), Chinese Academy of Sciences, and Beihang University in Beijing, China.

Photo: CARBURES

CARBURES is a technological industrial group specialized in the manufacturing of composite parts and structures and in designing engineering systems, which operates in the aerospace, automotive, civil works, railway and security industries. Founded in 1999, CARBURES has developed its own technological and manufacturing processes to produce composite structures, allowing the Cádiz-based company to branch out into different industries. With respect to the aerospace and defense sectors, CARBURES has over 15 years of experience as a tier 2 supplier to these industries. In addition, the company plays as key player in the manufacturing of composite parts and structures for the industry giants and the world's most relevant tier 1 companies. Currently, CARBURES, produces composite parts for a large part of the most modern civil and defense airplanes. 

Since 2004, the Hélice Cluster has been promoting the development of the Andalusian Aerospace Cluster supporting all of the cluster's stakeholders such as universities, technology centers, small and medium-sized enterprises, as well as to providing subcontractors with the technical resources to ensure a better integration with contractor companies. Its main clients include Airbus, Boeing, Embraer, Bombardier, and Dassault.

As stated in a press release dated Sept. 28, 2016: "The Andalusían Aerospace industry had a turnover of €2,343 million in 2015 and created 1,052 new jobs, according to the 'Aerospace Annual Report 2015,' carried out by Hélice Cluster. According to the Andalusían aerospace data, the industry contributes 1.62% to the Andalusían GDP." Entrepreneurship is growing throughout Europe including Spain and the Hélice Cluster provides an ideal setting to help startups connect with strategic partners and customers.

Photo of US Coast Guard
HC-144A Ocean Sentry: Airbus

I had the pleasure of being part of a U.S. delegation of journalists, attorneys, and business professionals to Andalusía in 2010. The trip, which was sponsored by Extenda, provided me with the opportunity to tour the Aerospace Technology Park of Andalusía (Aerópolis) in Seville. My visit included a tour of the final assembly line for the Airbus A400M airlifter and HC-144 Ocean Sentry, a medium-range, twin-engined aircraft used by the United States Coast Guard in the search-and-rescue and maritime patrol missions. Seven years later, it is encouraging to see Spain's aerospace and defense industry thriving.

Aaron Rose is an advisor to talented entrepreneurs and co-founder of great companies. He also serves as the editor of Solutions for a Sustainable World.