A lack of willingness to integrate Australia into the broader Asian economy is severely hampering the country’s ability to take full advantage of the Asian Century, according to a new survey released by CPA Australia.

 

The Australia’s competiveness survey’s preliminary findings show that the country’s lack of integration is affecting it’s ability to compete internationally, with respondents typically placing a low level of importance to, and knowledge of, Asian markets and bilingual staff.

 

"This discord should act as a wake-up call for Australia to realise that it may not be as closely integrated with Asia as it believes," says CPA Australia CEO Alex Malley.

 

"Furthermore, Australia's apparent disengagement from Asia and the lack of Asian literacy in the broader population is a distinct competitive disadvantage.

 

"As we await the government’s much-anticipated Asian Century white paper, CPA Australia has shown that far from being ready to take advantage of the Asian Century, Australia is well behind in beginning this journey," says Mr Malley.

  

CPA Australia surveyed over 6,000 business decision-makers in Australia and internationally, with the preliminary report concluding that:

  • overseas respondents rate Australia as an economy that is disengaged with Asia
  • overseas respondents rate Australia's performance in accessing Asian markets and Australia's knowledge of Asian markets as relatively poor
  • overseas respondents rate the bilingual skills of the Australian workforce as relatively poor
  • Australian businesses typically place a relatively low level of importance on Asian markets in comparison with the domestic market. However, this is not the case for certain industries such as mining and agriculture

 

"Geographic distance may not be a handicap, but our cultural distance is. There is a strong risk that without a change in mindset from Australian business, Australia will be a peripheral player in the Asian Century," says Mr Malley.

 

"As the rules of the competitiveness game change, it's imperative we begin to take tangible steps to ensure Australia is actually a player, rather than a spectator."

CPA Australia has put forward recommendations for the government and suggestions for business to address the issue, which include the following:

  • the Australian Government should fund a review into making the study of Chinese language compulsory in all Australian primary and secondary schools
  • the government should offer incentives, such as a FEE-HELP exemption or reduction, for non-native Chinese speakers to enrol in Chinese language courses at university
  • the government should appoint a dedicated cabinet minister to coordinate and oversee the consultation on, and implementation of, the recommendations of the Asian Century white paper
  • an office should be established within the Department of the Prime Minister and Cabinet to coordinate and oversee the response of agencies to the white paper and support the minister
  • business should attach greater value to the Asian experience and knowledge in staff recruitment
  • Australian businesses, particularly small-to-medium enterprises (SMEs), should build workable alliances with their Asian counterparts. SMEs should spend significantly more time in Asia and consider business exchanges

 

The preliminary findings can be found here