Research covered 60 developing, emerging economies :
SL 22nd in Change Readiness Index
Sri Lanka was ranked 22 in the recently published based on research
by KPMG and the Overseas Development Institute which offers a new and
unique perspective on the ‘change readiness’ of 60 developing and
emerging economies. The Change Readiness Index captures government
capability and the capability of a country as a whole including the
private sector and civil society to manage and respond effectively to
change.
Around the world, countries, businesses and institutions are
undergoing unprecedented change with new challenges and opportunities
every day. Yet some countries are better able to manage and mitigate the
risks associated with change and capitalize on new opportunities than
others. This report is based on the hypothesis that the capability to
manage change or ‘change readiness’ as the publication has termed it is
likely to be a key determinant of a country’s ability to achieve
sustained growth over time.
The concept of a Change Readiness Index was born at the 2010 Annual
Meeting of the World Economic Forum and was developed in cooperation
with key stakeholders and in-country experts to create a new framework
for measuring and analyzing appropriate metrics and indicators. Many of
the key determinants of the Change Readiness Index relate to conditions
which affect the ability of private markets and enterprises to adjust to
change, particularly rapidly evolving patterns of global demand and
production.
Thus, many of the indicators included in the index relate to policies
and capacities which facilitate healthy, dynamic, and responsive
markets.
The Change Readiness Index takes a forward-looking perspective by
capturing the underlying factors that are likely to determine a
country’s capability for managing change,which in turn may be an
important factor in supporting sustained growth in the long term.
The Index combines data from a number of existing indicators with new
measures that have been identified to capture specific elements of
change readiness that are not currently being captured, including risk
management capabilities, efforts to promote economic diversification,
strong governance, and social safety nets.
Commenting on the index, Reyaz Mihular - Managing Partner, KPMG Sri
Lanka said, “There has been little focus on the concept of change
readiness and few, if any reliable and appropriate measures to assess
it.
“ This publication by KPMG and the ODI seeks to fill this gap by
providing interested parties with an index that provides insight into
the change readiness of a country.”
He said it was heartening to see Sri Lanka’s position in comparison
to the other developing and emerging countries and mentioned that KPMG
and the ODI, who hope to refine this index over time, anticipate that
the results of the index may provide important new insight for policy
development and donor action aimed at strengthening government and
national capability. |