Politics

OPINION: In Ireland, we do not tolerate failure any more than we tolerate success. We have to learn to do both

OPINION:In Ireland, we do not tolerate failure any more than we tolerate success. We have to learn to do both

TTHE AVERAGE successful entrepreneur has 2.6 failures before becoming one of the wise ones whose opinion is respected and whose Porsche is envied. The problem is this envy - a stimulus to others in some cultures - is usually fodder for the begrudgers in Ireland.

So we have three problems that converge: we take failure as an indelible negative black mark; we greet the successful as targets for our most cynical remarks; and we create an impossible and unachievable target of instant success that does not get "above itself".

Every attempt to look at Ireland's future economic landscape includes a vision of a country filled with start-up companies, with the expectation that one will be the next Nokia or Google. And this is why failure must be tolerated. It would be a major fluke if a company of real stature were to emerge without the benefit of "failures" being involved.

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There is no substitution for the experience gained from struggling to have a company survive that was not quite "right". Similarly, the experience from failing to raise the capital to keep a company alive until it had a chance to show its product was a winner in the market place is invaluable. All variations on failure, from a flawed concept or business plan to poor timing, carry with them the hard-won knowledge that distinguishes you from the next wannabe. And the richness of that asset has to be valued. If, statistically, this means 2.6 falls before you surf to glory, then failure can be a step in the right direction.

But the reality is that in Ireland, we do not tolerate failure any more than we tolerate success. We have to learn to do both. At a practical level, we need to understand and be realistic about the task of starting a new company, and treasure those who are wired in a way that allows them dream about success built on their own capabilities. This is quite distinct from the success that comes from being the next good doctor or lawyer who fits into the groove made by others. This comes from an internal drive to make a difference in a new and uncharted way.

If such individuals do not exist, our economy is doomed to a modest level of wealth based on competitiveness and the servicing of the inevitable needs of society. The difference in our economy will come if we can do what others cannot do, but need. Then we can export with profit. Then we can have both successful national and multinational companies providing goods the world market needs. Then we can award ourselves the salaries that today are being diminished.

It is inevitable that those who have a failure hidden in their CV will be the ones behind the ribbon-cutting events of the future. But if we do not understand the need for lessons learned through failure, these individuals will be socially tarnished and the challenge to start a new venture will be increased. They will also need a warm welcome back into the fray from those who could fund the research and development needed to move a concept into a company.

In Science Foundation Ireland (SFI), typically we are at an earlier stage in the process from research to product. But even there, we have the possibility of always playing safe and supporting research that is merely adding the next brick to the wall. Our staff is encouraged to look for the unorthodox in those proposals that fail to make it through the standard peer-review process that is conservative by nature. I like to think that we are capable of doing so, while recognising that most of the 80 per cent of applicants that are unsuccessful probably contest this assessment. If we encourage daring and unusual combinations - convergence - then we should increase the chances of a break-through idea emerging. This is where the entire system needs to know that those who have taken chances but have had no success to show from it may have the extra magic credentials that make a great company, rather than a great idea that flounders.

When the company is up and running, the next challenge for Ireland is to understand what is needed to generate long-term success. Those who have risked all (security, previously accumulated wealth, time with family and friends) need to get their reward.

Often, this means selling the first successful venture, with the next phase of the company falling into the hands of someone who will transfer jobs to a more cost-effective country. But, short of the State applying the logic that can allow it to purchase national treasures in art, we have to move on from that short-lived success. But if the individuals involved have savoured success from their understanding of the product type and the dynamics of the market, there is every reason they will enter the ring again and this time will stay the 15 rounds. If their first success results in a media bashing and an intrusion into their privacy, they may decide to live on a reputation that will neither be tarnished by a new failure or targeted by a new success.

We need to recognise those who try to make a difference, away from the comfort zones of stable jobs or safe professions. We need to tolerate failure.

Professor Frank Gannon is head of Science Foundation Ireland