We need to put high-growth tech companies on the G20 agenda

The focus should be start up, then grow up

So it’s pretty simple: entrepreneurs whose businesses use digital technology to develop or deliver products and services that customers need and want will grow the fastest, create the most jobs and have the highest probability of success. This in turn has numerous economic benefits for countries that encourage and foster an entrepreneurial mindset and a high-tech-friendly environment.

Smart governments that have already figured this out are beginning to provide resources and support their start-up ecosystems. From science, technology, engineering and maths (STEM) and entrepreneurial education, through to direct government funding at the venture capital stage, they are placing a premium on developing more high-growth technology companies, teaching CEOs how to start and grow companies, and removing the barriers to growth.

So what does Australia, in particular, need to do to create the environment in which our digital disruptors can quickly become high-growth, global players? It’s pretty simple:

1. Encourage more people to start companies and make jobs, not just take a job. Teach people the entrepreneurial mindset and support those who see opportunities and want to start and grow companies.
2. Provide more funding for research and education, especially in science, technology, engineering and maths (STEM).
3. Revamp systems that support the commercialisation of research with the goal of developing more technology companies.
4. Support the development of an ecosystem that provides entrepreneurs with what they need to grow companies: access to knowledge, talent, money and space.
5. Have a workforce ready and able to work in companies that make widespread use of technology.
6. Help existing businesses adapt to the world of digital disruption.

The Australian government is beginning to understand that the future must include high-growth technology companies, as well as mining, gas and agriculture. It is beginning to engage with bodies such as StartupAUS (of which I am a board member). We are hopeful that the Department of Industry’s Entrepreneurs Infrastructure Program and additional programs will spur the development of more venture capital and more disruptive technology companies in Australia.

The G20 countries need to understand the power of digital disruption and develop economic and financial policies that actually capitalise on that disruption. Creative destruction of old industries is the norm; the internet is an accelerant to the pace of disruption. Innovation, digital disruption and entrepreneurship are not passing fads – they are the solution to the economic problems we are experiencing. Countries that understand this and develop polices and programs to support it will benefit the whole world.

This article originally appeared on The Conversation. Photo: Peter Dasilva/EPA/AAP

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