priority programs. The renewal fund, then,
will be a $3 million fund which will be
allocated to the institutions with the sti-
pulation that the funding can only be used
for program adjustments, minor renovations
to enhance productivity, or the purchase of
equipment to increase productivity and en-
hance program quality. These funds are not
a part of the college general operating
funds and may not be used for normal opera-
ting purposes.

The fourth component of the adjustment
program which amounts to $5.8 million is
the most interesting and, | hope, chal len-
ging in the program. There is no doubt in
my mind that the colleges and institute
form a network capable of acting as the co-
ordinating element for the engine of
British Columbia's economic growth. | have
enormous respect for the talent and poten-
tial that exists within the institutions

and | intend to tap that reservoir of
expertise in determining the allocation of
nearly 6 million dollars.

| intend to put as few restrictions on you
as possible. Any proposal that does not
infringe upon the private sector--that can
show potential to build the infrastructure
of this province, that wil] put our unem-
ployed back to work, that will give our
province the needed competitive edge in
global trade will be considered.

A feeling that exists is that it is big
business or big government that makes a
country great. | would have to chal lenge
that statement as pure mythology. | believe
it is the smal! business that truly fuels
the engine of economic growth. 97% of all
businesses are small business. Smal!
businesses account for nearly 25% of total
sales. 40% of total employment is
accounted for by small business.

The importance of small business to the

DOUGLAS COLLEGE

    
 

 

economy goes far beyond the obvious impact
of those statistics. The small! business
sector has shown an outstanding capacity
to identify and carry out specialized
functions that cannot be economical ly

 

 

    

   

ARCHIVES Mad Hatter Page

   
 
  

undertaken by large firms. The ability
of smaller enterprises to respond to
purely local needs or opportunities can
contribute to more balanced regional
development in B.C.

In terms of B.C.'s immediate economic
objective, the fact that small business
is relatively labor intensive is of
primary importance. Small business
establishment and expansion will continue
to be critical to our ability to generate
the employment opportunities required by
our population.

Next to money, management time is the
most scarce resource within many smal |
businesses. The ability of small firms
to reach their potential is often hin-
dered by a lack of management skills and
exper ience.

Research into business failure is almost
unanimous in identifying poor management
as a major, if not the major, contributing
cause. One study reported that 80% of
small business owner/managers had neither
experience nor training in marketing,
finance, or accounting. Analyses show
that small business owner/managers
typically have technical or production
knowledge, but decision-making talent

in financial, marketing and personnel
matters is often absent in their manage-
ment capability.

| would like to see initiatives, such as
those at B.C.|.T. and Malaspina in terms
of smal! business management and entre-
preneurial studies, expanded throughout
the province. I'd like to see programs
that could give the aspiring business-
person that added dimension to allow him
or her to skirt the pitfalls and grow to
full stature.

   

 

Because | want to capitalize on your
knowledge of the needs of your respective
communities | don't wish to define
specifics. But in very general terms
what | have in mind is program developmen
proposals that can lead to increased