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A Conversation with Singapore Finance Minister Tharman

Posted by: Bruce Nussbaum on November 23

Every once in a while I come across a government bureaucrat who totally surprises me with the person's insight and competence. Singapore Minister of Finance Tharman is one of them. We opened the ICSID World Congress Monday with a conversation onstage. Every nation has a governing elite but Singapore has an exceptionally competent one.

Here are my questions to the Minister. He had a chance to see them before he went onstage.

Q&A With Singapore’s Minister of Finance

Bruce Nussbaum, 2009

Mr. Finance Minister, the last time I was in Singapore was in 1969. I was told I’d better cut my long hair shorter for the visit. Today, you can see that this is no longer a problem. I wish it were.

Mr. Finance Minister, you sit at the epicenter of decision-making in Singapore. You were recently Minister of Education. You served in the Monetary Authority of Singapore. You currently chair the Economic Strategies Committee. Mr. Finance Minister, you helped shape one successful future for Singapore after 1965 and now you are helping to shape strategies that will create a second future for Singapore in the 21st century.

Indeed, Singapore and its leaders have shown a great capacity for visualizing the future. So today, I would like to have a conversation with you in front of this wonderful ICSID audience and talk about three things: 1) How did Singapore create itself over the past 40- plus years, transforming a small island with only the resources of its people into a global city-state that is a model of economic success, social unity, educational superiority and technological achievement;

2) How can Singapore re-create itself into a global city-state that is a model of creativity, originality, innovation and design-driven economic growth?

3) How does Singapore see the world today—are we at an historic inflection point that will transform the global context of the past half century into something very different in the near future?
So let’s begin with the past. I understand that you are a wonderful storyteller. Can you tell us a story or two that captures how Singapore discovered and developed the capacities that have made it so successful today? Can you unpack some of the mysteries for us?


Thank you. The capacities of the past may not be the capacities needed for the future. What kind of capacities do you see Singapore needing and developing for the years ahead?


Singapore’s impressive success has come in large part from a technology-centered, engineering, top-down kind of social and economic model that is a marvel of efficiency. In 2002, the “Remaking Singapore” initiative was launched to turn Singapore into a world center of creativity, innovation, and design. These new capacities are associated with a human-centered, social science, bottoms-up model. How successful is Singapore to date in making a transition to this different kind of model? What kind of education do you need to develop original, creative young people? How do you foster creative talent and keep it in Singapore?

The city is making a big comeback around the globe. New cities are being built, megacities are rising and older cities are being renovated. What lessons can these cities, especially the megacities, learn from the city-state of Singapore, as they strive to grow and prosper? Are there transferable lessons?

Finally, just a small question. Looking at the world from the vantage point of Singapore, where are we going? How are we changing?

Thank you."

The Finance Minister made a persuasive case for strong government intervention in the economy and in society. Compare Singapore today to what it was when I first visited many decades ago and I had to agree with his assessment of economic progress and social harmony. This country has lept from Third World status to First World nation in about 4 decades. Remarkable.

The Minister also recognized that the engineering, efficiency-driven top-down model that has given Singapore so much success needs to be augmented with a more creative, innovative bottoms-up model. The government is recognizing that new industries outside it's usual control are cropping up--such as airplane maintenance--and has policies to move quickly to support them. In Singaporean fashion, the government is redesigning the education system to promote creativity among the young.

Will it work? I hope so but I'm not sure. Many of the young Singaporeans that I am meeting tell me of friends living and working overseas because they find Singapore too controlled, hierarchical and stifling. I asked the Minister about new startups in Singapore and he acknowledged the need for more of them but focussed on attracting big multinationals to bolster the economy.

Other young Singaporeans noted that there is not much of a local culture of risk-taking and failure in the country. And not much of a private venture capital structure either. So many would-be entrepreneurs leave for Australia, the US or Canada.

The sophisticated insight and knowledge shown on stage by Minister Tharman lead me to expect that the government will probably get it right as it promotes the evolution of Singapore from an efficiency-centric society to a mixed efficiency/creativity model. But it might accelerate that progress by bringing more of Singapore's smart young Gen Y generation of creatives into policy-making positions right now. A global mega-city of Singapore's excellence can't afford to let any of its young go.


ICSID World Design Congress Opens in Singapore

Posted by: Bruce Nussbaum on November 22

On Monday morning, I interview Singapore's Minister of Finance to open the International Council of Societies of Industrial Design (ICSID). We'll talk about how Singapore created a modern 20th century city-state and what it must now do to become a 21st century mega-city. Think of a shift from efficiency to creativity.

The big show will come from the nine incredible Design2050 studio teams put together by Arnold Wasserman that will explore some of the most important and exciting issues of the future. Feng Zhu, founder of Singapore's Feng Zhu Design, is leading a group to talk about entertainment; Chris Bangle, former head of BMW's design group, is leading a group on Emotional Mobility 2050. Stephano Marzano, the head of Philips Design, heads a group talking about Healthcare 2050. Arup's Chris Luebkeman leads a group that will discuss the drivers of change for the next four decades. Ravi Naidoo, the head of South Africa's Design Indaba, is leading a team that will present on urban agriculture.

Cocktails tonight. Gotta get dressed.

President Obama's Asia Failure

Posted by: Bruce Nussbaum on November 22

Sitting here in Singapore as President Obama went through China and flew home from his 8-day trip to Asia, it is perhaps easier to see the true truth of his trip--it's deep failure. The entire neo-liberal economic model promoted by the US over the past decades is now held in such disregard in Asia that a President representing the US system must suffer from the model's decline. Soft power, such as culture and economic models, is always a major component of projecting a nation's power around the world. Right now Wall Street, Alan Greenspan and the Chicago-school of market mania has so undercut America's standing in Asia by the horrible recession they caused, that even President Obama's popularity couldn't overcome it's negative impact.

Obama came home empty-handed. He made little headway in his single most important mission--China's revaluation of its currency, the yuan. A higher value for the yuan makes sense for the global economy, for the US economy and for the Chinese economy. But Obama couldn't persuade Beijing of that because you can't muscle your banker and China is America's banker. And everyone in Asia knows this. You can feel the shift in the way people talk and in the way nation's are beginning to accomodate China. Expect more visits from China's growing blue-water fleet. Expect more Asian students studying in Chinese universities. Asian children are already beginning to learn Mandarin in a big way.

I visited an old British airforce base in Singapore today while I was out birding. It was a strange, nostalgic scene. Unless the US gets its act together and reverses it's global decline, it may one day soon also be remember with nostalgia.

Health Care Reform: US vs Singapore

Posted by: Bruce Nussbaum on November 22

I attended a briefing by the DesignSingapore Council's International Advisory Panel on Friday that discussed making healthcare an economic driver of this city-state in the future. Now think about this. As the politics of the US continues to grind on around providing all Americans with the basics of health care, the government of Singapore has put together a panel of some of the world's top designers to reshape it's already terrific medical system so that it attracts people from all over the world to its facilities--and makes high value medicine a 21st century industry.

The International Advisory Panel consists of Chris Bangle, former Chief of Design for BMW and now head of Chris Bangle Associates; Richard Seymour and Dick Powell co-founders of Semourpowell, the renown British design and innovation consultancy; Steve Hayden, Chief Creative Officer of Ogilvy New York and Vice Chairman of Ogilvy & Mather Worldwide; Toyo Ito, founder of Toyo Ito & Ass. architects; and many other smart folks.

The IAP said that Singapore's medical system had a great foundation of combining both Western medicine with Eastern traditional practices. It called the remix "harmonic."

And the panel suggested taking the next step beyond implementing efficient process planning and providing excellent facilities to innovate better experiences for patients and doctors and nurses in the practice of medicine. Better experiences lead to better health outcomes, better efficiences and lower costs.

This is similar to the work being done at the Mayo Clinic, the Memorial Sloan Kettering Hospital, Kaiser Permanente and other medical centers in the US. But not in Washington at the national policy-making level, as it is in Singapore. Singapore is a generation ahead of the US in the development of a modern health care system. It has the plumbing down--process and facilities-- and is now working on the next level of value--human experience, wellness and economic growth. And it is turning to the world's top design thinkers to help guide it. Who is determining the shape of the American health care system today? Insurance companies and their lobbyists?

President's Design Award Winners--Singapore

Posted by: Bruce Nussbaum on November 20

I was over at the President of Singapore's residence last night to watch him personally give four Designer of the Year awards. Boy, are they promoting Design in Singapore!

The winners of this year's Designer of the Year are:

Tham Khai Meng, the Worldwide Creative Director of Olgivy & Mather, New York

Chris Lee, founder of Asylum Creative (I had lunch with him and he's great talent. Lee also spoke in Mandarin to his dad when he accepted the award--the only person in the evening to do so)

Koichiro Ikebuchi, director of Atelier Ikebuchi

Look Boon Gee, managing director of LOOK Architects

The US equivalent is to have the annual winners of the National Design Awards go the White House and be thanked by the President's wife. So the message in the US is, what? Women know design and real men aren't interested?

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Want to stop talking about innovation and learn how to make it work for you? Bruce Nussbaum takes you deep into the latest thinking about innovation and design with daily scoops, provocative perspectives and case studies. Nussbaum is at the center of a global conversation on the growing discipline of innovation and the deepening field of design thinking. Read him to discover what social networking works—and what doesn’t. Discover where service innovation is going and how experience design is shaping up. Learn which schools are graduating the most creative talent and which consulting firms are the hottest. And get his take on what the smartest companies are doing in the U.S., Asia and Europe, far ahead of the pack.

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