Ecosystem of mentors, partners needed to drive entrepreneurship, says EY’s Loh

“At the end of the day, it is an entire ecosystem that has to drive entrepreneurship,” says Loh. “When you recognise entrepreneurs, it helps create an entire ecosystem where people look at these entrepreneurs as role models and hopefully look to follow in their [footsteps].”

Singapore has fared well at driving entrepreneurship, he says, ranking third in Asia-Pacific and 24th in the world. However, he warns that a successful economy could have a tendency to discourage entrepreneurship too.

“When you have good paying jobs and a stable environment, why would you want to take a risk or a chance?” he says. “[Again, it comes] back to the ecosystem. [With a strong ecosystem,] even parents will change their mindsets and encourage entrepreneurship.”

Recognition just one facet
Building an ecosystem also requires developing frameworks for financing, safeguarding intellectual property, nurturing talent via the education system and creating support for those who choose to go down the entrepreneurship path. “It also includes mentorships and partnerships between corporates and entrepreneurs,” Loh adds.

While Loh has no illusions about the EOY award being able to do all that, he does see it as more than just recognition for successful entrepreneurs. The awards events, for instance, have over the years morphed into important meeting points for award winners. “This is really how the community could come together to bring a really great idea to market,” Loh adds.

The EOY Singapore awards are given to outstanding entrepreneurs in the country every year. Then, at a gala event, one entrepreneur is chosen as the country winner, who goes on to represent Singapore at the EY World EOY award, held in Monte Carlo, Monaco. More than 60 other country winners compete for this prize.

“We all convene at Monte Carlo every year. And I assure you, at these forums you can actually see business deals being struck. [The entrepreneurs] see an opportunity to form alliances, joint ventures, enter new markets, and so on. Hopefully that serves to encourage the best entrepreneurs to step forward,” says Loh.

The EOY award has also created a community of both past and present winners. “We have an EOY Singapore Academy. This is how we hopefully can do a small part in shaping the entrepreneurial ecosystem and encouraging a new generation of entrepreneurs,” says Loh.

Meanwhile, the EY NextGen Academy looks to nurture and inculcate entrepreneurial spirit among the next generation of entrepreneurs who may be taking over their families’ businesses. The Academy hosts a one-week training designed for young successors in family businesses. The programme does not aim to teach business skills. Rather, the methods of the EY NextGen Academy are geared towards inspiration, motivation, getting to know oneself and learning from exceptional entrepreneurs, as well as peers, from around the world. Those who have completed the EY NextGen Programme will join the Next- Gen Club, a network of young entrepreneurs from 38 countries.

“Hopefully this new generation of entrepreneurs can step up and not only take over the mantle but take it further with new ideas and new talent to make things better,” Loh says.

At the same time, Loh cautions that there is a need to celebrate failures as well as successes. After all, success often comes on the back of failure. And many an entrepreneur has fallen down and picked himself up to succeed later on.

“While we always look at stories of successful entrepreneurs, [we also need to think] about entrepreneurs who have failed but picked themselves up again,” Loh says. “I have no doubt that although they are not successful now, if they keep trying [they will succeed].”

What is the best way to celebrate these less successful entrepreneurs? “That is a difficult conversation,” says Loh, noting that the general public’s penchant of looking out mostly for success cannot be changed overnight. However, he believes that society will eventually recognise those who have tried their best to take calculated risks. “More and more of the community will be more receptive to such a thing, although I’m not saying society should encourage blatant risk-taking. I think there will be a balance.”

Technology driving entrepreneurship
As Singapore’s economy matures, its entrepreneurs have become more sophisticated. Loh says many have scaled up their businesses and gone international. They have also continued to evolve their business models for growth. “A lot of them are really forward-thinking in terms of the way they embrace change and technology,” he says.

In fact, technology is becoming a key factor in entrepreneurship. It can make or break a company, and it can also become a powerful driver of entrepreneurial ideas and habits. The emergence of new technologies is giving many with an entrepreneurial mindset the opportunity to disrupt even very big and established players.

Well-known examples of technology’s ability to power an entrepreneur include ride-hailing app makers Uber and Grab. Uber founder Travis Kalanick has disrupted transportation industries around the world and is now worth an estimated US$5.1 billion ($6.9 billion). Brian Chesky, the founder of home-sharing site Airbnb, is worth an estimated US$3.8 billion.

“In the past, you were always encumbered with physical boundaries, the ability or the number of people in your organisation, but now with technology it is really opening up the world,” says Loh.

Entrepreneurs who deploy technology successfully can scale their companies more easily while bringing costs down. “Disruption creates more opportunities for people who are willing to take that step [into entrepreneurship] in a judicious way,” says Loh. “This year, we are very proud that our theme is ‘Leading Through Disruption’.”

Loh explains there are two aspects to this theme. “The first is the emphasis on leading. In other words, disruption is here to stay. How does the entrepreneur lead an organisation through disruption? Or, you can flip it and underscore the word disruption. And the organisation is leading [by disrupting other industries]. You can do both and you need to do both,” he says.

Indeed, this year’s category winners have a common technologically driven team. Chia Yoong Hui and Sia Teck Chong of Ascenz are EOY winners for maritime technology solutions. Lennon Tan of JK Tech Group has won in the category of financial services technology enablement. Shi Xu of Nanofilm Technologies International is a winner in the advanced manufacturing category and Derrick Yap of PBA International won the award for diversified engineering.

Loh also highlights the need for entrepreneurs to digitalise their businesses quickly, if they have not already, and to think more about how to assimilate the digital world into their business models. “All of us need to realise that digital is a way of life for us. Everything we touch at work is digital and everything we touch at home is also digital,” he says.

As the pace of disruption quickens, Loh anticipates exciting times for entrepreneurs. “Enterprises that are going to be leaders in this space are going to have a much better chance over those who just follow and don’t have that first-mover advantage,” he says. “It is my fervent hope that they will all continue on this journey, and accept failures and successes.

While some may draw parallels between the disruption of today and what took place during the dotcom boom, Loh thinks technology today has advanced significantly. “Now, it is a totally different ballgame,” he says. “There’s every chance of success and acceleration because of technology, and technology is improving and putting more people into the fray.”