STATE OF THE STATE
SRI LANKA ROAD MAP
Compiled by Yamini Sequeira
HOW TO BUILD BACK BETTER
Heshana Kuruppu presents a practical road map for a nation at the crossroads
Financial performance is often considered to be a top priority because it directly influences the health and sustainability of a business – but in present times, this can be a daunting challenge. “While financial performance is undoubtedly crucial, this does not necessarily mean that it’s the number one priority,” asserts Heshana Kuruppu.
Other factors such as “customer satisfaction, employee engagement, and societal and environmental impacts also play significant roles in the current context,” he asserts.
Kuruppu acknowledges that generating profits in times of crisis is a formidable challenge – especially when the emphasis is not solely on the value of earnings but more the “ethical and strategic aspects of revenue generation.”
SUSTAINABILITY Nevertheless, adopting such an approach becomes imperative for the long-term sustainability of businesses; it prioritises enduring success over short-term gains, he avers.
Assessing the qualities that businesses must possess or adopt to thrive amid economic challenges, Kuruppu opines: “While financial stability is pivotal, adaptability, innovation and strategic agility are equally important in navigating economic challenges.”
In his view, “CEOs should prioritise fostering a culture of resilience, encouraging innovation and maintaining a strong focus on changing customer needs in such an economic situation to ensure long-term success in a volatile market.”
Kuruppu believes that achieving a balance between environmental, social and governance (ESG) considerations and financial performance is challenging but not impossible. Businesses can incorporate sustainability into their core strategies and demonstrate that responsible biz practices can contribute to long-term financial success.
“Ultimately, a consistent approach where a business’ actions and values are aligned has the potential to enhance brand reputation, and also strengthen stakeholder relationships,” he says.
BRAIN DRAIN Moreover, the migration of skilled and unskilled personnel across all industries and sectors has had an adverse impact across the board. However, Kuruppu notes that this trend has “both pluses and minuses.” He adds: “Our professionals are world-class.”
He continues: “Migration changes social and cultural dynamics, leads to demographic changes and creates negative economic consequences for the country of origin while the host nation benefits.”
On the other hand, Kuruppu believes “it will increase remittances and create more opportunities for the next generation that’s willing to test the waters.”
So he urges that “we should leverage this advantage by establishing strong networks with such professionals, and channel global business into the knowledge process outsourcing (KPO) and business process outsourcing (BPO) sectors in Sri Lanka.”
HONE SKILLS The lack of fluency in English poses challenges for youth in the workplace, notes Kuruppu. “But proficiency alone isn’t sufficient. In addition to poor English language proficiency, many young professionals often lack essential soft skills including communication, negotiation, leadership, critical thinking and problem solving capabilities,” he points out.
It’s widely acknowledged that Sri Lanka’s ICT industry has great potential, particularly in terms of software development, IT outsourcing and digital services. “The knowledge services sector aims to garner foreign exchange earnings of US$ 5 billion in the next few years,” Kuruppu reveals.
He elaborates: “We possess a good talent pool that can be nurtured in this field especially with the increasing involvement of educational institutions. To capitalise fully on this potential, such initiatives need to be implemented in a holistic manner at the school level.”
KEY SECTORS Kuruppu also cites the agriculture sector and notes: “Given the substantial labour force in agriculture, improving productivity and incomes should be a key focus to increase the sector’s contribution to GDP, and bolster the economy by ensuring competitive pricing in exports.”
Another aspect he urges Sri Lanka to focus on in relation to economic development is “building a competitive industrial arena by leveraging local resources, and boosting earnings in the tourism and IT industries.”
To foster economic growth, Kuruppu says that “it is important to improve the trade balance and encourage exports.”
“Another critical factor is to create conducive environments for businesses. This includes improving the ease of doing business and attracting foreign direct investments (FDI),” he adds.
And he emphasises how implementing systematic education reforms is critical for nurturing a globally competitive talent pool that’s aligned with current global trends.
Identifying key thrust sectors of the economy, Kuruppu affirms that tourism has enormous growth potential, “especially considering the performance of some regional players – even without the diversity that our country offers.”
“We must focus on our pre-pandemic targets and swiftly reach the five billion dollar revenue mark. Our focus should be on strategic country branding and targeting high spending tourists in niche areas,” he suggests.
Kuruppu also says that “leveraging our strategic location in the Indian Ocean and natural beauty are essential.”
EDUCATION REFORMS He reiterates that implementing education reforms to cultivate a more practical, innovative and skilled talent pool is crucial for sustained economic growth.
According to Kuruppu, another key area of focus should be foreign earnings from a skilled workforce, which can “be achieved either by having professionals work overseas or fostering growth in the KPO and BPO sectors here at home.”
Although Sri Lanka is going through tough times, he believes that the country can consolidate certain aspects of its operations to streamline an economic recovery in a sustainable manner.
A globally competitive talent pool that is capable of taking on high paying jobs locally and overseas will position the island as a much sought after talent hub, Kuruppu surmises.
REPUTATION An imperative is to “ensure that the country is significantly free of corruption and economic crimes” as this will attract more investors.
Coupled with a business friendly regulatory environment that has a long-term horizon, a digitally proficient public sector will greatly contribute to this objective. The effort needs to be holistic and begin from the ground up with a robust education system, which aligns with industrial and sectoral needs and initiatives.
This includes “an extensive focus on ethics and integrity, supporting not only youth entrepreneurship but also ensuring that Sri Lanka is sustainable; and most importantly, free of corruption and corrupt practices.”
And last but not least, Kuruppu underscores the need for “ethical businesses to function along sustainability principles” to rebuild both the economy and reputation of Sri Lanka.
Leave a comment