House of Commons South East Regional Committee Post Appointment Hearing: the New Chair of South East England Development Agency Oral Evidence 15 December 2009 Rob Douglas, Pam Alexander and Paul Lovejoy, South East England Development Agency Ordered by The House of Commons to be printed 15 December 2009 HC 199-i Published on 7 April 2010 by authority of the House of Commons London: The Stationery Office Limited £0.00 Processed: 01-04-2010 20:05:48 Page Layout: COENEW [SO] PPSysB Job: 002283 Unit: PAG1 South East Regional Committee: Evidence Ev 1 Oral evidence Taken before the South East Regional Committee on Tuesday 15 December 2009 Members present: Dr. Stephen Ladyman (Chairman) Gwyn Prosser David Lepper Mr. Andrew Smith Witnesses: Rob Douglas, Chair, Pam Alexander, Chief Executive, and Paul Lovejoy, Executive Director, Strategy and Communications, South East England Development Agency (SEEDA), gave evidence. Q1 Chairman: Welcome. Would you like to start by Rob Douglas: It is always diYcult to guess why introducing yourselves for the record? people appoint you, and when years later you find Rob Douglas: I am Rob Douglas, Chairman of out, it is often for a completely diVerent reason that SEEDA. you never spotted, but I think there were a number Pam Alexander: I am Pam Alexander, Chief of things. First, I think my experience in a major Executive of SEEDA. multinational is relevant, because I understand the Paul Lovejoy: I am Paul Lovejoy,Executive Director decision-making processes in major multinationals, of Strategy at SEEDA. and why they invest in a certain place, why they pull out of a certain place, and their relations with Governments. I think that that is one diVerence with Q2 Chairman: Rob, congratulations on the new my predecessor. Jim was a very successful appointment. Let me first of all absolutely businessman in the small and medium-sized emphasise something for the record. We had the enterprise world. My background is also in business, greatest respect for your predecessor, the job that he but I have diVerent experience of major did, and the leadership that he showed for the multinationals. Within that experience, there were Agency, but we will question you today about how two sub-elements, if you like. One is that I have the Agency might change under your leadership, and worked overseas and I have worked in regions that the areas where you might see things diVerently from we would see as competitors to the South East. So I your predecessor, but that will imply absolutely no have spent time in the Netherlands and in northern criticism whatever of your predecessor. If you say Italy. I have also spent a lot of time, both with Shell that you want to change direction on anything, we and subsequently, travelling in east Asia. I think that will not say that that implies any criticism of the there is a very strong relevance to that experience, past. New leaders are expected to make changes and because we always talk about what is happening in to see things diVerently from the chap before, so I China, but it is only when you actually see it that you begin by emphasising that. Having congratulated realise just what the challenge is. I have spent a lot of you, I start by asking in general terms what might be time in China over the years; I have probably been the diVerence in future between SEEDA under your there more than 30 times, I would think. I think that leadership and what it was under your predecessor’s that experience brings a dimension to my arrival as leadership. chairman of SEEDA that is valuable, because I can Rob Douglas: I think I would say that I have arrived see what we are up against. I am confident that we at a time of major transition for SEEDA, and that can compete, but I see what it is that we are up there is a new organisation in place with a new steer against. So that is one part of my experience. I think from central Government and the Department for the second part is that I have been heavily involved, Business, Innovation and Skills (BIS) through the since I left Shell, as a non-executive on the skills new industry, new jobs agenda. What I had arrived agenda. I have been chair of a local Learning and at was already moving in a new direction, and I think Skills Council and I am on the regional Learning and my role as Chairman is to make sure that the Board Skills Council now, following the abolition of the gives support and leadership to the executive on local councils. I got quite involved in the skills that, and that I engage the key stakeholders who are agenda when I was in SEEDA previously. I think part of that new industry, new jobs agenda. We were that the timing has turned out well. Again, a change already engaging them, but they have become my from the time that my predecessor was in the seat is priority. I can be more specific if you like, but as a that we are being tasked with extra responsibilities general starting point, that is what I would say. around the skills agenda, in formulating the demand side and integrating a skills strategy into the regional Q3 Chairman: We have seen your CV, and we know plan. I hope that my experience in that regard will be that you have an impressive background. We also helpful, just as my experience as a non-executive know that you have been involved with SEEDA board member on the Higher Education Funding since 2001, so you know the organisation, but will Council helps to weave in, if you like, the higher you summarise for us what you think your particular education with the vocational and further skills and contributions will be? education. Those are two aspects. Like my Processed: 01-04-2010 20:05:48 Page Layout: COENEW [E] PPSysB Job: 002283 Unit: PAG1 Ev 2 South East Regional Committee: Evidence 15 December 2009 Rob Douglas, Pam Alexander and Paul Lovejoy predecessor, it probably helps to have had a foot in Q6 Chairman: Finally, before I ask one of my the business world and a foot in the public sector. colleagues to come in, you have read our report— That does not necessarily mean that I always essentially, our report and recommendations would understand the public sector, but I am probably have referred to your predecessor’s time, but are better oV than somebody who has never worked in there any particular recommendations that you it. disagree with us about or would have taken a diVerent position on than SEEDA did in responding? Q4 Chairman: Do you think that your background Rob Douglas: No. They were all issues that I was not in multinationals will help us to attract more surprised that you had raised. One issue I had been multinational activity into the region? concerned about, which you spent some time on, Rob Douglas: I hope so—that is the simple answer. I and I am not surprised, was, given the dissolution of also hope that I can engage multinationals to try to the assembly, what happens to the other prevent them leaving. In the current climate and in stakeholders and how do they get their voice heard? all the discussions that we have, I understand what That is something that I had talked about when I their issues are. I am already finding that. I have put met SEEDA colleagues before I came back as well— “What is happening?” So, I am not surprised that a lot of focus in my first two or three months on you raised that, which I think is a concern and which meeting representative bodies of business. Those is being addressed. We, as part of the partnership representatives are actually business people in their board, are working to come up with a plan to engage own right. For example, in the CBI there will be a the other stakeholders. couple of CBI oYcials but there will also be people Chairman: I will not leap ahead, because we intend from businesses in the South East. I have found that to question you a little more about that. David, do the experiences that I have had in the multinational you want to come in now? world are ones that—we understand each other. I think that that helps the conversation. Q7 David Lepper: Welcome. Operating with smaller budgets and in a situation where next year is likely to Q5 Chairman: You mentioned the current economic see changes of some kind or another, depending on climate. What is your assessment of how SEEDA the outcome of the general election, there seem to be has performed during the downturn? Have you done mixed views coming from the Conservative party well? Have you enhanced your reputation? Could about the future of organisations such as SEEDA. There is talk of local enterprise partnerships you have done better? replacing them. Others say that we need a strong Rob Douglas: My impression is that some people are regional dimension. How are you able and what sort very pleased with us and some people are less than of plans are you making at SEEDA to respond to the pleased with us. The feedback that I am getting is sorts of changes that you might have to face in terms that businesses feel that SEEDA reacted quickly and of the political environment over the next year? that it took the funding—the £10 million-plus—and Rob Douglas: I am not a politician, and the tried to put it into the system very quickly, right at politicians will decide what structure they want in the beginning when the banking system seemed to be place.