Mr Choo Chiau Beng, Chairman of the NgeeAnn Polytechnic Council,

Mr Chia Mia Chiang, Principal,

Council Members,

Graduates, Distinguished Guests,

Ladies and Gentlemen,

A very good morning to all of you.

It is my pleasure to join you today to witness a very proud moment for the graduates and their loved ones, and to be involved in the celebration of their achievements.

All of you have worked very hard for your diplomas – some I am sure against great odds and under difficult circumstances. Each and every one of you has emerged a winner, and the graduation ceremony today is a testimony of your diligence and perseverance. I congratulate all of you for having completed a very important part of your journey in life. I would also like to commend the staff of the NgeeAnn Polytechnic for their efforts in guiding you through your polytechnic education and preparing you to take on the challenges in the next stage of your lives.

As you venture into the future, let me share with you some of my views on how you should respond to the challenges and opportunities of the new economy.

The new economy is driven by the twin forces of globalisation and technological advances. The triumph of market economy over centrally planned economy at the end of the cold war was not the end of history. Soon after, many countries realised that to compete in the post cold war world, they must open up many of their economic sectors to world competition and globalise their economy. This would enable them to tap the best resources in the world, be they capital, technology or talent. It would hugely enlarge the market for them to buy and sell their products and services. This process of globalisation is being hastened by technological advances in transport and infocoms, which are in turn being driven by globalisation. This virtuous cycle, in my view, is unstoppable. Globalisation will thus break down old barriers to trade and investment and create new markets and job opportunities. Such new job opportunities will be created both at home and beyond our shores. As you navigate your career path, you must therefore be outward looking, and be prepared to work beyond the shores of Singapore should your job requires you to. The experience and exposure you gain overseas will definitely add value to your career development and increase your future options.

Globalisation is also accompanied by the constant restructuring of the old economy into the new economy. It is forcing existing companies to revamp and innovate their operations, many of them have no choice but to shut down low value-added and labour intensive productions. Hence, companies like Western Digital have moved out of Singapore, while Philips has downsized and relocated its labour-intensive operations in China. These companies have, however, retained their high value-added and strategic business activities in Singapore. Indeed, in the new economy, there is an increasing momentum for companies in Singapore to transform their business into high value-added activities, R&D and e-commerce.

The new economy is therefore characterised by an unprecedented pace of change, fueled by technological innovations. Technological innovations spawn new competitions and create new opportunities, and the resulting force of change is too strong for us to resist. We must either learn to ride the wave of change, or risk being overtaken and left behind. Therefore, throughout your career, you must be prepared to adapt in the face of change, and be ready to embrace new technologies and take advantage of new opportunities. To do this successfully, you must constantly upgrade your knowledge and skills. The key to success therefore lies in lifelong learning. It is for this reason that the Government has decided to set up a $5 billion Lifelong Learning Fund to enable every Singaporean to keep pace with knowledge and technological changes throughout his or her life. Some of you may at some point in time go on to obtain a higher degree. Some of you may take up short courses from time to time to acquire new skills or knowledge. Whatever it is, be sure to make lifelong learning a way of life so that you will be equipped all the time in whatever jobs or ventures you intend to undertake.

Finally, the new economy is about an exciting future where risk taking and entrepreneurship will be rewarded handsomely. Globalisation, technological advances and a highly interconnected world have opened up tremendous opportunities for the creation of radically new values, services and business models. In such an environment, we need to have as many technopreneurs as possible because every successful technopreneur will contribute immensely to the economic well-being of the nation. I am glad to read that NgeeAnn and Singapore Polytechnics’ surveys show that some 7 per cent of their graduates set up shop and start businesses within 10 years of their career. This is encouraging. But I would like to see more of you venturing out in the new economy. Perhaps we should target at 20 per cent or 2 in 10 graduates striking out on their own within 10 years of their career. Many of you will probably have married before then. I hope so, especially after PM’s speech on Sunday night on family and baby bonus. To make it easier for you to take a decision on starting up a business, one practical arrangement is to let your spouse continue his or her employment while you strike out on your own. This way, you hedge your risks and provide a safety net.

Dear graduates, you will soon form part of the workforce, as well as our pool of budding technopreneurs, that will steer the Singapore economy in the new millennium. Armed with the knowledge and skills that you have acquired through a good polytechnic education, you can make a difference and contribute to the success of Singapore in developing a strong, vibrant and competitive economy. I welcome you as new members of the Singapore workforce.

On this note, may I conclude by again congratulating all the graduates on the successful completion of your diploma courses, and wishing you all the best in the next stage of your journey in life.

Thank you.