Shaping Scotland's economy: inward investment plan

7 Platforms: Selling Scotland’s Strengths

7.1 A Team Scotland Approach to Delivering Our Proposition

This plan gives us a clear, well defined, and compelling national prospectus for Scotland and its regions, as a strong inward investment proposition. Scotland’s targeted values-led approach to inward investment needs to be communicated clearly and effectively on the world stage.

Scotland’s brand messaging, delivered through the Scotland Is Now campaign provides that vehicle, and has established routes to market. Aligning the shift in our inward investment focus to the wider messaging context is key to the success of this plan. As is providing the collateral and tools for our front line teams to deliver that message consistently and effectively in an international context. Scotland is the proposition, Scotland is the brand and Scotland is Now is the marketing campaign.

• Action 8: We will position a better Scotland by investing in targeted Scotland is Now activity to support the nine opportunity areas.

Attracting investment is a globally competitive business. Scotland benefits from a considerable array of international assets, and the ability to coordinate them behind a single proposition. We have seen the value of this approach in our work to promote Scotland’s exports as articulated in ‘A Trading Nation’. To deliver our message, and identify and land key target inward investors, we need to mobilise the whole of our international network – including SDI, Scottish Government international network, Universities and alumni, industry associations and trade bodies, GlobalScots and Trade Envoys behind this new strategic direction, and to give them to tools to fully exploit opportunities.

We must have not only a co-ordinated approach but take a strong, confident, consistent message to investors and to the market as a whole. The Table below details these international assets and the role they will play in this coordinated approach.

• Action 9: We will align and galvanise Scotland’s international network behind the Plan and give them the tools to promote Scotland effectively.
• Action 10: We will develop Regional Prospectuses to highlight the strengths and attractions of Scotland’s regions, aligned with the international strengths and assets identified in this plan. These will be showcased on a global stage to increase visibility and attraction to inward investors.

Attracting investment is a globally competitive business. Scotland benefits from a considerable array of international assets, and the ability to coordinate them behind a single proposition

Brand Scotland

The Brand Scotland collective brings together the efforts of the Scottish Government, VisitScotland, Scottish Enterprise/Scottish Development International and Universities Scotland to harness our energy, expertise and resources and reach out internationally to tell the story of the kind of country Scotland is, what we are doing now, and increase economic revenue to Scotland from overseas.

The core strategy is to present Scotland’s strengths in the context of current performance and create a clear, consistent narrative that will be shared with stakeholders, media and partners across all the pillars at home and abroad

It is based around four pillars encouraging people from around the world to be part of Scotland’s future; to live & work, study, visit and do business here.

We know that Scotland’s reputation is strong among those who know about us and positive sentiment about Scotland is high. But levels of awareness of Scotland need to be higher if we are to extend our reputation further and boost Scotland’s exports, inward investment and population. Brand Scotland and Scotland is Now are key tools to achieve this.

Through this plan we will capitalise on the international marketing campaigns and materials that have been created to showcase Scotland’s vision, ambition and values.

Scotland Is Now

Scotland Is Now is a bold campaign narrative projecting Scotland as the progressive, pioneering and dynamic nation it is. Increasing Scotland’s attractiveness and ensuring the flow of new investment is a strategic priority for the campaign.

Through Brand Scotland and Scotland Is Now, we will develop a suite of consistently branded tailored prospectuses that reflect the breadth of offer across Scotland in our priority areas, showcasing out physical, people and natural assets. We will make this collateral available to anyone who can play a role in supporting Scotland to achieve its international objectives and who can speak credibly to these opportunities in international markets.

Scottish Government International Network

Working as part of our single unified overseas network, the Scottish Government’s external network of offices provide a platform for, and a more joined up approach to existing and new activity by government, partners and businesses support investment attraction to Scotland.

The Scottish Government’s external network of offices are located in China, Germany, Belgium, France, Ireland, UK, USA and Canada. The network delivers and supports activity by the Scottish Government, its agencies and public and private partners in key locations outside Scotland, building on established expertise.

Where we have SG and SDI colleagues in the same market they will undertake joint business planning to ensure that activities are fully aligned and mutually supportive.

The scale, scope and focus of this activity varies depending on the specific opportunities in a particular location, however, as a whole, the network is there to pursue government to government relations, represent and protect Scotland’s interests and to raise Scotland’s international profile through economic and cultural diplomacy.

Scottish Enterprise/Scottish Development International (SDI)

Scottish Development International is the international division of Scottish Enterprise. With 30 offices in 20 countries, the SDI overseas network is our front line international sales force. Our in-market team members are absolutely central to identify inward investment opportunities and making connections for Scotland. The priorities outlined in this plan will help to give our international sales force even more focus and support them with the collateral, training and networks in Scotland and internationally to take Scotland’s offer to the world.

SDI already has a presence in the markets that offer the strongest potential for investment and will continue to make adjustments to in-market resources to ensure that we have the right people in the right place to deliver for Scotland.

Skills Development Scotland (SDS)

Investors are now consistently identifying skills as a key factor in their decision making around investment locations, Scotland’s National Skills Agency plays a leading role in co-ordinating the people and skills offer to potential investors demonstrating the versatile, responsive and high quality provision we have in Scotland to meet their growth demands.

As part of the Team Scotland approach with SDI, SDS works with international and field teams to support potential investors in understanding the Scottish skills landscape helping them inform their decisions.

Ultimately, we are all here to provide investors with a tailored service to ensure that the people and skills requirements match the ambitions of the investment.

Ministerial Engagement

Ministerial visits and trade missions have an important role in supporting our inward investment activities. The presence of a Minister can open doors in government and in the business community which can facilitate trade, raise Scotland’s international profile and enhance our reputation, as well as providing strategic opportunities to engage with some of our existing investors in their domestic markets.

Through this plan and A Trading Nation, the Scottish Government and its agencies have a well-defined set of trade and investment objectives where ministerial intervention and support adds value.

Typically we will ask ministers to:

Lead export missions or events: where a ministerial-led delegation to a key country or event can add profile to our events, open doors, and help progress our objectives.

Help close deals where this can involve providing government encouragement or assurances so that a business decision be taken.

Provide economic diplomacy where the minister can meet in-market institutions and build a greater understanding of Scotland.

Meet existing inward (and capital) investors to help ensure continued investment or increased investment. As many inward investors are also exporters of goods and services from Scotland, this also supports our export growth objectives.

Meet new inward (and capital) investors to help businesses/investors understand the Scottish market. Minister for Trade, Investment and Innovation will undertake monthly overseas visits to markets. Other ministers will also undertake trade and investment activity and the above objectives will help shape their interventions.

Whether the weight of a visit pivots around opening doors (facilitating access to decision makers) or raising Scotland’s profile overseas (positioning Scotland effectively at key global events) we will work hard to ensure the business case for requesting ministerial participation demonstrably moves forward a clearly articulated inward investment relationship or opportunity.

Post Covid the widespread use of webinars and other online tools has proved very effective in maximising the impact of Ministerial engagement. It is envisaged that this will continue as a complement to traditional face to face visits into the future.

GlobalScot

Introductions and informal advice are often key to achieving international business success. So as well as strengthening our network of overseas offices we are extending our reach by tapping more deeply into the Scottish overseas diaspora by refreshing and expanding the GlobalScot network.

For nearly 20 years the GlobalScot network has been leveraging the drive and talent of Scots, and those with an affinity to Scotland, to help the wider Scottish business community thrive internationally. But now, the world in which we operate within has changed dramatically. GlobalScot can help bring together all of those across the world who have Scotland at their hearts to deliver tangible economic, social and cultural benefits to our communities. At a time of health, social and economic challenges, having a powerful network that works to connect those around the world for the good of our country and communities, has never been more important.

As well as advocating for Scotland, having a role in identifying new investment opportunities and feeding intelligence in to the system, GlobalScots can also play an important role as mentors to members of the existing investor community in Scotland. Particularly in supporting Scottish based staff to make the case for further investment.

A new GlobalScot community engagement platform, launched in July 2020, provides businesses and GlobalScots with the tools to connect, collaborate and support one another for the benefit of Scotland.

Trade Envoys

Whilst their title suggests a focus on exports, in reality our Trade Envoys make no distinction and recognise trade and investment as two sides of the same coin. Established in 2017, this network of honorary appointees of the Scottish Government works in a non-political capacity to represent Scotland in promoting its trading interests and focus on identifying strategic opportunities for Scottish businesses and, as appropriate, to represent the Scottish Government overseas when Ministers are unavailable.

Department for International Trade

The UK Government Department for International Trade (DIT) has an extensive international footprint and is also constantly seeking and promoting the UK as a place to invest. Within that DIT also has a duty to promote Scotland. We will work closely with our colleagues in DIT, both in Whitehall and in-market to share our priorities and prospectus to ensure that they are fully equipped and informed to showcase Scotland’s offer. This approach will extend to feeding in to the ways in which we support DIT’s Ministerial engagement programme with existing UK investors.

Scottish Funding Council/ Scotland’s Universities

The Scottish Funding Council is a major investor in its own right; £1.8bn a year to our universities and colleges to invest in our people, world-leading research, innovation and skills for Scotland’s economy.

Universities, in turn, play an important role in attracting foreign direct investment ensuring that a strong talent pool is available for companies investing in Scotland. They are globally recognised sources of research and innovation, and their reputation allows them to act as ambassadors. Scotland’s universities are engines of innovation and graduate talent. They can help drive BERD (Business Expenditure on R&D) and their willingness to work with innovative organisations supports many investment decisions. Producing skilled graduates, ready for industry, and access to their expertise is described as instrumental in 60% of inward investment successes. Our universities have global R&D relationships with major corporations, and we will lever their ability to introduce us to opportunities around our key propositions.

Alumni Networks

Our Alumni Networks are powerfully connected and can help raise the international profile of Scotland. Scottish universities and colleges have strong international links. It is estimated there are 1.5 million alumni of Scottish institutions globally. The Muscatelli Report suggested how HEIs might encourage some of their most influential alumni to join a network of people able to help connect Scotland with potential inward investors. A short-life working group has been established to co-create the Alumni Action Plan with the aim of publication later this year.

In addition to alumni networks, there are networks of academic and business connections who are able to present some of Scotland’s prospectuses in a more credible and powerful way than any public agency could. We will seek to identify and work in partnership with those who can act as credible international advocates for Scotland across our priority themes.

Industry Associations and Trade Bodies

Industry bodies have an important role to play in the delivery of our inward investment plan. They can give us foresight into potential areas of opportunity for inward investment. We should strategically engage groups that can influence or advise our future strategy and extend our message and reach globally.

Academic Support for Inward Investors

Where businesses have particular R&D requirements, Interface and our Innovation Centres can facilitate rapid connections to Scottish academics for R&D, research and skills.

Interface provides a free and impartial service matching businesses to Scotland’s world leading academic expertise. Interface works with businesses of all sizes, in all sectors, connecting them to academic expertise, research, technologies and specialist facilities. Their service has helped hundreds of organisations to become more competitive enabling them to increase their profits, maximise their export potential and ultimately become more sustainable.

A University international collaboration model around IP is set out later in this document.

Our seven Innovation Centres offer a route to accelerating technological advances by helping businesses increase the pace of innovation. Funded by the Scottish Funding Council with support from Scottish Enterprise and Highlands and Islands Enterprise, the Innovation Centre programme was first launched in 2012. Between 2013-2018, £120m was invested in the first phase of the Innovation Centres across a range of sectors. Centres include digital health and precision medicine, to data and industrial biotechnology.

To provide information on research strengths on key themes - Scottish Research Pools offer insights into the breath of research across 11 academic disciplines in Scottish Universities.

Universities Scotland is the representative body of Scotland’s 19 higher education institutions.