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Business English Index 2012

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The 2012 Business English Index by GlobalEnglish …

The 2012 Business English Index by GlobalEnglish

A Lack of Business English Skills Undermines Global Productivity

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  • 1. Lack of Business English SkillsUndermines Global Productivity 2012 Business English Index
  • 2. A lack of Business Englishproficiency threatensglobal productivityand output. “The current shortage of talent with the aptitude to speak, present, write, sell and service customers in English has become a high-performance dilemma for individual companies, industries, and even countries.” Mahesh Ram, GlobalEnglish CEO
  • 3. 92% of non-native English-speaking employees say communicating in English is critical or important for their jobs. Yet only 7% strongly agree that their current English skills are sufficient for success on the job. Source: The Globalization of English Report, GlobalEnglish Corporation, 2010
  • 4. 70%of world growth over the next few yearswill come from emerging markets, withChina and India accounting for 40percent of that growth.* Only 13% of graduates from emerging countries are suitable for employment in global companies, and the #1 reason cited is a lack of English skills.** * Source: The world turned upside down, The Economist, April 15, 2010 ** Source: The Emerging Global Labor Market: Part II—The Supply of Offshore Talent in Services, McKinsey & Company, June 2005
  • 5. The annual Business English Index (BEI)measures the level of Business Englishproficiency in workplaces around the world. GlobalEnglish works with multinational companies to support performance in Business English across the workforce.
  • 6. A sliding 10-point scale ranks employees into four levels of proficiency. 1 2 3 4 5 6 7 8 9 10 BEGINNER BASIC INTERMEDIATE ADVANCEDAble to read and Able to understand Can take an active role Able to communicatecommunicate using business presentations in business discussions and collaborate muchonly simple questions and communicate and perform relatively like a native Englishand statements, but descriptions of problems complex tasks. speaker.can’t communicate and solutions, but can’tand understand basic take an active role inbusiness information business discussionsduring phone calls. or perform relatively complex tasks.
  • 7. BEGINNER BASIC INTERMEDIATE ADVANCED1 2 3 4 5 6 7 8 9 10 In the 2012 index, the average global BEI score is only 4.15 out of 10. This score translates But cannot understand into a workforce that most business can only understand presentations or take basic information on the a leadership role in telephone or in person... business discussions.
  • 8. Moreworkforce is working in of the global than 1/3 Business English at a beginner level! BEGINNER BASIC INTERMEDIATE ADVANCED1 2 3 4 5 6 7 8 9 10 38% of workers were ranked as beginners... Meaning they can’t understand or communicate basic business information during phone calls.
  • 9. The Philippines and Norwayled the rankings. Both countries are trending towards stronger economies according to the World Bank’s latest GDP data. 1 2 3 4 5 6 7 8 9 10BEGINNER BASIC INTERMEDIATE ADVANCED
  • 10. The highest ranking country in the survey, the Philippines, recently overtook India as a hub for call centers despite being only 1/10 the size. Over 400,000 Filipinos are now employed in call centers, roughly 50,000 more than in India. 1 2 3 4 5 6 7 8 9 10BEGINNER BASIC INTERMEDIATE ADVANCED Source: “A New Capital of Call Centers,” The New York Times, November 5, 2011
  • 11. Those trying to recover, and those trying togrow have a significant barrier to their success. Struggling economic powers such as Japan, Italy and Mexico all scored below a 4.0... While those in emerging South American markets scored under 3.0... 1 2 3 4 5 6 7 8 9 10BEGINNER BASIC INTERMEDIATE ADVANCED
  • 12. Global talent mobility puts even nativeEnglish-speaking countries at risk. Scores for the U.S. declined from 6.9 to 5.09 year over year. One in five global workers employed in the U.S. across the Science, Technology, Engineering and Math 1 2 3 4 5 6 7 8 9 10 (STEM) fields is foreign-born.*BEGINNER BASIC INTERMEDIATE ADVANCED * Source: “The Competitiveness and Innovative Capacity of the United States,” US Department of Commerce, January 2012
  • 13. 2012 Business English Index by Industry Sector 10 10 ADVANCED 9 9 Aerospace and defense, 8 8 professional services and financial services INTERMEDIATE 7 7 were the highest-scoring industry sectors. 6 6 BASIC 5 5 4 4 BEGINNER 3 Other/Non-Categorized Media/Comm/Entertain 3 Real Estate/Construct Professional Services Auto/Transportation Aerospace/Defense Healthcare/Pharma Govt/Ed/Non-Profit Financial Services 2 Mfg/Distribution 2 Energy/Utilities Technology Agriculture 1 1 Travel Retail Although even these service-oriented industries are stuck at basic levels.
  • 14. The same professional services companytopped the survey for a second year running. In 2011, this BEI level for this company was 7.61 The company continues to grow by differentiating itself through higher levels of Business English proficiency across the workforce.
  • 15. Effective business communications can lead toa 47% higher total shareholder return.*$$ + = $$$ Collaboration is critical to future business innovation.How can you innovate and collaborateglobally without a common language? * Source: Towers Watson 2009/2010 Communications ROI Study
  • 16. Business English Index for Top 30 Countries by Size of Labor Force COUNTRY BEI COUNTRY BEI COUNTRY BEI 1. CHINA 4.44 11. MEXICO 3.50 21. EGYPT 5.18 2. INDIA 5.57 12. VIETNAM 4.55 22. TURKEY 2.97 3. UNITED STATES 5.09 13. GERMANY 4.32 23. IRAN * 4. INDONESIA 5.28 14. PHILIPPINES 7.11 24. SOUTH KOREA 4.86 5. BRAZIL 2.95 15. THAILAND 4.52 25. ITALY 3.80 6. BANGLADESH * 16. ETHIOPIA * 26. TANZANIA * 7. RUSSIA 3.60 17. CONGO * 27. SPAIN 4.18 8. JAPAN 3.40 18. BURMA * 28. UKRAINE 3.76 9. PAKISTAN * 19. UK 5.24 29. COLOMBIA 2.75 10. NIGERIA * 20. FRANCE 4.54 30. CANADA 5.45 1 2 3 4 5 6 7 8 9 10BEGINNER BASIC INTERMEDIATE ADVANCED * Insufficient data (less than 50 respondents) to calculate a full BEI score for these countries.
  • 17. 2012 BEI Summary of Results by Country COUNTRY BEI COUNTRY BEI COUNTRY BEI COUNTRY BEI ARMENIA 0.73 KAZAKHSTAN 3.54 GERMANY 4.32 NETHERLANDS 5.10 COTE D’IVOIRE 2.06 RUSSIAN FED. 3.60 SWITZERLAND 4.37 EGYPT 5.18 TAIWAN 2.28 ANGOLA 3.66 COSTA RICA 4.43 BULGARIA 5.23 HONDURAS 2.67 BELGIUM 3.72 CHINA 4.44 UNITED KINGDOM 5.24 COLOMBIA 2.75 UKRAINE 3.76 ARGENTINA 4.49 INDONESIA 5.28 CHILE 2.76 HUNGARY 3.79 THAILAND 4.52 FINLAND 5.31 EL SALVADOR 2.89 ITALY 3.80 FRANCE 4.54 SWEDEN 5.31 SAUDI ARABIA 2.90 SUDAN 3.84 AUSTRIA 4.54 HONG KONG 5.38 ISRAEL 2.90 CONGO 3.89 VIET NAM 4.55 GREECE 5.40 BRAZIL 2.95 BOLIVIA 3.91 ROMANIA 4.56 CANADA 5.45 TURKEY 2.97 PARAGUAY 4.06 PORTUGAL 4.65 SINGAPORE 5.53 PERU 3.06 LUXEMBOURG 4.11 TUNISIA 4.69 LITHUANIA 5.55 MOROCCO 3.32 CZECH REPUBLIC 4.11 PANAMA 4.73 INDIA 5.57 ECUADOR 3.33 PUERTO RICO 4.15 DENMARK 4.81 MALAYSIA 6.09 JAPAN 3.40 SPAIN 4.18 SOUTH KOREA 4.86 AUSTRALIA 6.17 VENEZUELA 3.40 ALGERIA 4.22 DOMINICAN REP. 4.94 SLOVENIA 6.19 MOZAMBIQUE 3.46 U. A. E. 4.24 OMAN 5.01 SERBIA 6.38 SLOVAKIA 3.48 GUATEMALA 4.26 POLAND 5.07 NORWAY 6.54 MEXICO 3.50 URUGUAY 4.27 UNITED STATES 5.09 PHILIPPINES 7.11 Country averages ranged from 1 2 3 4 5 6 7 8 9 10BEGINNER BASIC INTERMEDIATE ADVANCED 0.73 (Armenia) to 7.11 (Philippines).
  • 18. What’s your company’sBusiness English Index score? http://www.globalenglish.com/business_english_index