When I first heard the term Celtic Tiger way back in the mid-nineties I didn’t know what they were talking about, it was just a phrase you heard in passing, for a while I thought they were talking about some sort of cat, maybe something like the Tasman tiger, a creature that was thought to be extinct but had been discovered in some dark corner of Connemara. Of course today I know better, and I know, for a fact, that the Celtic Tiger is, in fact, very much extinct.
That’s not really a bad thing though. It’s part of the great circle of life. I know that phrase is from the Lion King but it applies equally to dethroned tigers.
Extinctions are, always have been and always will be, part and parcel of life on Planet Earth; the big lizards died out and made way for the small lizards, which became dinosaurs, then the dinosaurs perished to make way for small mammals, which grew to become megabeasts, like the woolly mammoth or our own giant elk, creatures which, in turn, began to die out with the emergence of man.
Likewise our Celtic Tiger has gone from a sleek, prowling predator in the 1990s to a bloated, ungainly slob in 2008. The only consolation I can give is that now that the tiger is finally extinct it opens up a niche in Ireland’s economic ecosystem for a nimbler, more agile, more compact and efficient creature to emerge.
But for the moment we still have to content with the snarling packs of Hibernian Hyenas who now feast upon the fetid corpse of our once-mighty Tiger. Jobs are being lost, businesses are closing down or downsized, foreign companies are relocating and all the while energy costs, food costs, and the cost of living in general, are all rising.
How long this situation might continue one cannot say for certain, but there are, however, a number of things that can be done to not just bring things back on an even keel, but to create a new economy capable of not just matching, but superseding the Celtic Tiger.
When you think of the Tiger, much of the major industries were service industries. This, in and of itself, was a major step away for an economy that was, for the longest time, primarily focussed on agriculture and tourism. Through the 70s and 80s and right through the Tiger, however, we none the less were wholly dependent on two things, first, understandably, foreign oil and secondly, jobs provided by foreign multinationals.
Considering our lack of natural resources and commodities, therefore, it is not just in our own self interest, but a matter of self preservation, that we really begin to focus on being as efficient and self sufficient as possible. It also means that we must study, very carefully, emerging trends in order to plan for the future.
Climbing about my soapbox in 5…4…3…2…
Tiger Autopsy
Rather than cutting down or downsizing, in these lean months, we should, instead, see it as a chance to shed some of the excess flab we’ve been carrying around with us these past few years. It is also a time for reflection, to look back and ask the hard questions, what worked, what didn’t, what was truly worthwhile and what was more hassle than it was worth?
One of the upsides of the new economic climate, in my opinion, is that, with more companies competing for fewer customers, customer service becomes more and more of an issue. In the boom times many companies, even some of our larger, more prominent companies (I can’t exactly name them here but you know who they are) were smug and secure in the notion that “you need us more than we need you”, and were often, not just disrespectful, but often downright contemptuous to their own customers.
This has a notable trickle-down effect. If the big-wigs of a company don’t care, how can one expect the people manning the customer service line to care? And this is one of the core problems that businesses, the government, and indeed the Irish public as a whole, needs to address; the all-pervasive cynicism and apathy that one finds at every level of Irish life. With the Tiger dead we now, at least, have the ideal opportunity to address this issue, because, quite frankly, we no longer have a choice.
I’m sure everyone who reads this has had the experience of ringing up a company and talking to a customer care representative who clearly doesn’t care or going into a shop and being berated by a bitter sour-puss sighing and rolling their eyes when you ask them for some service. Why is that? The answer is quite simple, a deep-routed and all pervasive feeling of futility, the feeling that even if you bend over backwards to help somebody, the man at the top will give out to you for wasting time, the feeling that whatever you do is never appreciated, by your boss, by your customer, the feeling that whatever you buy or whatever service you use, you’re going to get ripped off, and when you do, you have nobody to complain to, not to the company, not to the government. It’s something that’s penetrated every single organisation in this country, from the smallest corner shop to the largest megasized retail outlet, from the pokiest little offices of the pettiest little civil servants to the Taoiseach himself and it can be summed up in four simple words - “Why should I bother?”
Maybe instead of paying people to deal with angry customers, why not hire people to actually make your customers happy by, first of all, creating a more open and connected organisation, rather than a wasteful one, where every department seems to blunder on with no idea as to what the other is doing.
By simply stepping back and looking at ones entire organisation, managers can reap great rewards. And this, I say, to everyone, be they a small business owner, Michael O’Leary, or, for that matter, Brian Cowen. It’s time we threw open the windows on all these stifling, stuffy boardrooms and dark, dreary little offices, let in some light, for a change, let in some fresh air before we all suffocate.
And we need to get away from the old clichés, too. This is a new millennium with a new kind of recession, it does not make sense for government to tell the public to spend like crazy whilst the government tries to cut-back and save, it should be the other way around. The notion that desperate times call for desperate measures must be debunked. The 80s, they were far more desperate times than now, and the only way we got out of that quagmire was by innovation and coming up with novel approaches and radical solutions to a new generation of problems.
It’s the same story today. We need to go back to the drawing board, now, and come up with a whole new plan of action, and we need to start investing more money in the right areas, rather than pissing it away on useless crap we don’t need.
Oh yeah, and one more thing Biffo, think about things before you make decisions. Like, for example, if you want to try and minimise the number of people on the dole, maybe you shouldn’t be talking about implementing a drastic drop in the minimum wage at the same time. If you could just think about it for a moment you’d realise it was a bad idea. What would you rather do? Option A; you work in McDonalds flipping burgers for minimum wage, you wear a hairnet and deal with stress and fat people day in, day out, on your feet for hours on end before coming and come home, absolutely nackered, with a stench of burger grease you can’t wash off. Option B; for the same amount of money, or possibly more, you just stay at home all day watching Judge Joe Brown or playing Xbox in your underwear. Seriously, perhaps it’s time we appointed a Minister for Reality, though I can’t see how any one of the political parties could ever present a likely candidate.
The bottom line is, during the days of the Tiger mistakes were made, often very big ones, lots of money was wasted, lots of bad decisions and dead-end roads were taken, but it didn’t really matter until now, because the money was always there. The money’s dried up now, and so we simply CAN’T afford any more wastage or any more ill-considered decisions.
Emergence of the Celtic Cheetah.
In any system, be it ecological, technological, economic or social, it is an inescapable inevitability that stagnation will eventually set in. In nature this stagnation is usually dealt with quite forcibly, however as human beings we have the ability to use our own expertise and capability for innovative thought to ensure that these transitions are as smooth as possible. It got us down off the trees, onto solid ground, up on two legs, all over the world and up into outer space. In the coming years and decades we will have to contend with climate change, the further depletion of oil and other resources and a massive economic swing away from the West, towards the Orient. How does Ireland, a small, resource-poor island on the chilly periphery of the Atlantic Ocean, fit into this new world? What will this new world look like? And what products and services will be in demand?
If we are to survive this century with our hard-fought independence intact, we need start asking these sorts of questions now, and we need to work at creating a lighter, more agile community, not a Celtic Tiger, but a lithe and speedy Celtic Cheetah, built on a reliable, nationwide infrastructure of high-speed, low-cost communication. It is imperative for the government not to cut back, but to invest more; in our schools and colleges, in more R&D and resources to scientists, to do more – much more – to encourage entrepreneurs and small businesses, especially those in the IT and communications sector. I’m not just saying that because that’s the industry that I’m in, rather because it is the one industry which is set to continue to boom for decades to come and relies not on raw materials, but infrastructure and raw intellect.
I’ll say it again; Ireland must invest in better communications infrastructure, not just patching villages together with wireless in slap-dash fashion, but by rolling out fibre en masse. Telecom Éireann were on course to do this before being privatised, but afterwards, the initiative was lost. I can’t help wonder what could have been if Ireland had had affordable high speed internet ten years ago, it would have catapulted our economy into the information age and had us neck and neck with our European and American contemporaries.
Who knows, instead of Google, Amazon, Facebook or Ebay, billions of users could be using Irish companies every day. Instead we now face a grim future as more and more American companies, like Dell in Limerick, start to downsize or relocate causing a greater strain on our economy as more and more people sign on.
Better communications would not only improve every aspect of our lives, it would also mean that we can finally reap the benefits of the information age. I am glad to see that, with more competition and more service providers, we’re finally on track but there’s still a way to go. If Ireland can enter this third round of internet innovation prepared, then we might be able to build a new silicon economy focussed on, amongst other things; software, network security, 3G and mobile technology, smart phones, general telecommunications, VOIP, streaming video and IPTV, social networking, third-generation search engines, voice recognition, online financial services, e-commerce and more.
Making Tigers out of house cats.
A cursory look at FÁS or any other job-search site will show a rapid reduction in the amount of jobs available, particularly in rural communities, with as much as 90% of the jobs on offer located in Dublin. With 100% broadband penetration, however, we can spread our jobs out much better. Firstly because a business can now operate just as well in the country as it can in a city. It also allows more and more people to work from home. This is advantageous for numerous reasons; most notably that by creating the conditions for thousands of work-from-home positions people are more likely stay in their own communities, thus improving local social and economic conditions, be it in a small village or a small town with local independent traders who, having struggled for so long, will soon regain custom. With more business in the country and more people working from their homes it won’t be long before the town centre and the local market square become revitalised.
It also means that the person working from home does not need to commute every day, which costs time and money, for everyone, and damages the environment too. Working from home is more conducive to home life too. For those with children it means they have a chance to see more of them. Instead of getting up in the morning at 6 to beat the traffic, they can get up at six, walk down the stairs, start work for a couple of hours, then get the kids out the door around 8-ish, work for six or seven hours more and be finished before they come home, rather than finishing later and spending more time in the car before falling in the door, stressed out and exhausted and snapping at them.
For larger towns and big cities a broadband revolution would means less congestion so that those who still have to commute do not have to contend with as many people every day. This would be particularly welcome in cities like Dublin, Cork, Limerick or Galway.
None the less the government should still focus on improved transportation, better roads, naturally, though the government should also realise that, even with the best roads in the world (which, clearly, we don’t have) Ireland is too small a country to sustain the amount of traffic it now has and so clean, efficient, well-functioning public transport should be a top priority with particular focus on rail transport, not just for public use, but also for transporting freight. The government should also focus a significant proportion of its resources on investment in green energy, on providing better IT education and reducing waste at all levels.
One might ask me where do I think all this money is going to come from? My answer is that a better informed public, and by that I mean a public who are willing to do their own homework, are then in a far better position to ask the government the hard questions. This relates to the problem of apathy and cynicism I spoke of earlier, this is what we need to get ourselves out of. We need to turn this setback into an opportunity and as far as our politicians are concerned we need to turn the heat up. We are paying taxes, we are paying them for a reason but where does this money go and what return on them do we get? With conditions as they are we’re all economising more, we’re spending on what we think is essential and dispensing with the luxuries. We’re making sure we get the most value out of every penny that we spend. Yet, at the same time, we see tax as an expense, rather than an investment. We shouldn’t do this. We should apply the same ridged assessment to the money we give to the government to make sure we’re getting value for money and, once again, the money is being spent on the essentials.
Posted: August 1st, 2008 under economy.
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