Added value for craft craft and sustainability a european research by Antonella Tozzi

Added value for Craft

Advancing neeDED skills to VAlorise sUstainable Employement FOR CFRAFTsmen

Craft and Sustainable Development in Europe

Added Value For Craft Project This project has been funded with support from the European Commission. This website reflects the views only of the author, and the Commission cannot be held responsibfor any use which may be made of the information contained therein.

Table of contents

Summary…………………………………………………………………………………………………………………….2 Report Overview…………………………………………………………………………………………………………2 Craft and Sustainability in Croatia……………………………………………………………………………….8 Craft and Sustainability in Czech Republic…………………………………………………………………..22 Craft and Sustainability in Greece……………………………………………………………………………….33 Craft and Sustainability in Italy……………………………………………………………………………………48 Craft and Sustainability in Portugal……………………………………………………………………………..71 Craft and Sustainability in United Kingdom…………………………………………………………………81

1 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Summary The overall objective of the ADDED VALUE FOR CRAFT project is to improve the capacity of VET in response to the changing requirements of the labour market. Specifically the proposal addresses the handicraft sector which is affected - in a negative way - by technological, social developments, global markets and changing consumer demands. In line with Europe 2020 strategy for smart, sustainable and inclusive growth, which improves the business environment for SMEs (including craft-type enterprises), the project investigates the links between sustainable development and craft with a special focus on workers’ skills. The need to link sustainable development and new skills is also highlighted in Bruges Communiqué 2010: “Transition to a green economy is a mega trend which affects skills needs across many different jobs and sectors. […] The labour market requires a balance between developing generic green skills and specific skills”. The partnership includes eight organizations from different European regions: Eastern (Bulgaria and acceding country Croatia), Western (United Kingdom), Central (Czech Republic) and Southern (Portugal, Italy and Greece). The multi-actor consortium comprises VET providers, local development agencies, chambers of commerce and craft, research centres and SMEs. The planned activities include four meetings and a study on main constraints faced by craft firms, the identification of new market trends, the mapping of best practices and transferable experiences on sustainable work, the definition of a common VET reference model and the final identification of an ECVET Unit to advance sustainable skills and self-actualization in each partner country. Partners ensure the regular cooperation with interested parties and their attendance to the meetings. This report has been conceived in order to identify main constrains affecting national handicraft sectors as a consequence of present economic and financial crisis.

Report overview In Croatia the craft sector is organised at state level through the Ministry of Entrepreneurship and Craft. An important role is played by the Croatian Chamber of Crafts as an independent professional craftsmen organisation. The law adopted in 1993 regulates fundamental questions about crafts, term and type, conditions, business trades, education and training, organisation, supervision and administrative measures. According to this law the definition of craft is an independent and permanent pursuit of economic activities by natural persons for the purpose of achieving income or profit through production, marketing or services on the market. An artisan is a person who performs one or more of these activities in their own name and for their own account, and thereby can use their skills for their own work or the work of others. 2 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The general demographic change of the entrepreneurs in this field is composed by the overall decrease of 40 years old craftsmen since 2003 against the increase of those aged above 50 years old. In Croatia until 1990 there was a large presence of manufacturing professions, unfortunately Serbian aggression and war devastation in Croatia had left a number of consequences and caused great damage to the overall economy. The new law in 1994 gave a special emphasis on education for trades and crafts introducing the master's exam, which is very important for trade. As described by the Croatian SME Observatory, the number of crafts has decreased steadily from 95.476 units in 2002 to 85.909 units in 2011. Regarding sustainable development the regional policy level is contributing to the harmonious and balanced development of Croatia ensuring the protection and preservation of the natural environment and the diversity of cultural wealth. In the Czech Republic craft can be divided in the following sectors: -

Craftsmen and qualified workers in building industry

Metal workers, engineering workers and workers in related fields

Craftsmen in art and traditional crafts and polygraphy

Workers in the field of electronics and electrical engineering

Food manufacturers, wood, textile and related trades workers

Crafts in general are closely perceived in the human mind and connected with traditional and historical professions and work activities. Training in crafts and technical fields has lost popularity since tha revolution in 1989 and, in many cases, unfortunately, its traditional quality. It is a problem, which has for along time been discussed in all sectors, but which remains still unsolved. This is because at a national level there is often a lack of a clear and realizable concept that would better integrate vocational education with the business sector. The National Institute of Technical and Vocational Education cooperated with many experts from the bussiness sphere, VET schools and other social partners. Unfortunatly very few craftsmen and small entrepreneurs have clear goals and plans for further development, their biggest challanges for that can be summarized as follow: -

Excessive bureaucracy associated with doing business in the country (eg. work law, trade legislation, etc..)

Lack of basic technical infrastructure and poor accessibility in rural regions

3 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Lack of a legal framework that would insure the return of business resources invested in our own employees education

Small overview of the available support for entrepreneurs, offering regional, national or European intervention programs

Regarding sustainable development we can find intiatives mostly in rural areas ( as LAGs operating under the LEADER initiative ) aiming on sustainable and smart development of rural communities and destinations. The main aims in such cases are about saving cultural and historical traditions and addressing financial issues, i.e. saving energy, reducing and recycling waste, using more environmentaly friendly cleaning agents etc. Future policies are structured for: -

simplifying business bureaucracy

support in promotion

support in start-ups of microbussinesses

protection against unfair competition of global companies

The report in Greece focused mainly on the sector of silversmiths in the Ioannina Region as the most wellknown Greek craft sector around the world. According to Greek Laws if someone wishes to be active as a liberal professional in the field of silversmithing and to open his own workshop and store, no license is required. There is also no obligation for someone aiming to be a craftsman in the field of silversmithing to follow a typical training and education. The most common process is to undertake an apprenticeship alongside an experienced craftsman or silversmith's workshop or gemmology. According to Greek Laws all craftsmen active in the sector are obligated to be members of the Chamber of Commerce of their region. Nowadays in Greece there is a strong discussion on the abolition of that obligation. Ioannina is probably the centre of silver craft making in Greece with a long history of this tradition. The city also has a long tradition on the training of silversmiths. In 1928 the Silversmiths' School of Ioannina was founded, but during the world wars was closed. When re-opened in 1959 the school was administratively affiliated to the Ministry of Labour and again closed in 1983. Craftsmen in the field of silversmithing are for the majority men (95%). Within the sector the majority of people are aged between 42-49 years old (38%), followed by people over 50 years old (32%). People within the age range of 34-41 years old represent 20% of the total while only 10% are people who are 26-33 years old.

4 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

In Italy craft enterprises are generally considered as the ones in which the broad experience of the entrepreneur substitutes the strength of automation and small scale production is justified against mass production. According to Italian legislation L.443/85 (a framework policy law policy on crafts) a craft company has as a predominant aim the production of goods or providing services. Farming, commercial services, intermediation in goods circulation or subsidiary services and public food and beverage administration are all excluded from this definition. From a numerical point of view handicraft constitute the “hard core” of the Italian production system and of the set of SMEs. A major asset to determine the effectiveness of the firms and their medium-term and longterm survival is ICT: the way it is used in the firm can have a significant impact on the processes and on the productivity. The use of ICT is not consistent with geographical distribution, production sectors and enterprises size. However, IT has been only recently been introduced in artisan enterprises. From the legal point of view, in general, there is no specific educational requirement needed to exercise these activities as a craftsman. This is compulsory only in the case of carrying out specific activities which require special training. Small enterprises and particularly small craft enterprises are considered as natural candidates to develop productive and cultural processes allowing the strengthening of the economic, industrial and civil saving system. These SME’s also encourage the diffusion and production of sustainable energy from renewable sources. The whole mentality must be changed. Policies are oriented to: 1) The reinforcement of existing measures (energy certificates, white certificates, fiscal deductions) which must establish fully operational behaviours and procedures 2) The creation of a fund aiming to support the research and innovation of the PMI with simplified itineraries to guarantee the introduction and the transfer of experimental researches 3) The introduction of awarding path (through easy procedures, overcome legal obstacles etc.) to favour the production, commercialisation and use of products for life quality improvements and allowing minor energy consumption In Portugal craft activity is understood to be any “economic activity of recognised cultural and social value which involves the production, restoration or repairing of goods having artistic or utilitarian value, of traditional or contemporary origin, and the provision of services of a similar nature, together with the

5 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

production and traditional preparation of foodstuffsâ&#x20AC;?. The inexistence of artisans below 30 years of age, raises concerns about the future of traditional arts and crafts in the little municipalities. The majority of artisans are aged between 40 to 49 years; most of them work alone. But they want to sell their work in local or national fairs and have a few orders throughout the year. The future challenges are: - Creation of new production and commercialisation strategies; - Counting on improvement and innovation in production; - Creation of training courses in production, commercialisation and new design techniques; - Focus on the medium-high and high class consuming public, creating distinctive, high quality products (maintaining tradition); - Seeking out new market outlets for local handicrafts; - Developing a marketing plan for handicraft products; - Developing promotional campaigns and trying to establish partnerships with well known brands; - Supporting the participation in trade fairs for the sector; - Creation of promotional material for local crafts; - Putting artisans and designers into contact with each other, promoting technical support for them in innovative areas; - Carrying out thematic visits with artisans to more developed production centres. Crafts In the UK are not separated from other kinds of businesses: so, for example, the same health and safety laws apply the same access to government support for SMEs. Contemporary Crafts receive government support through the Crafts Council. A lot of makers consider it a huge step to hire even one employee. British makers have to follow trends in innovation and become competitive in the creative sector. However, craftsmen indicate strong connections with local markets as well as tourism as important sources of income. Craftsmen in the UK are predominantly holders of first and second degrees. Moreover, the majority of craftsmen hold university degrees specialising them in arts and crafts. In accordance to the Craft in an Age of Change report, 50% of craftsmen did not choose craft as their first professional occupation. It means that many people came from other professions, often not related to crafts. In accordance to the statistics a significant part of craftsmen seek further development and that includes technological expansion, development of new products and expansion over new markets.

6 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Crafts Council elaborated four key messages, which aim for improvement of crafts in the UK. They form the basis for lobbying on behalf of crafts sector and were developed in close collaboration with the sector itself. 1. Creativity and making must be a central part of education 2. Extend the Government’s Growth Voucher scheme (currently for 2 years) to provide microbusinesses with “soft support”, which is critical for crafts aiming for further development and business innovation. 3. Increase entrepreneurship education in schools, colleges and universities. 4. More support for micro-employers to start Apprenticeships.

7 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN CROATIA

8 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

1. What “vision” of crafts

The Ministry of Entrepreneurship and Crafts perform administrative and other tasks related to small and medium sized enterprises, crafts, cooperatives, promotion of exports and foreign investment, and improving competitiveness in the field of small and medium-sized enterprises. The Croatian Chamber of Crafts is an independent professional craftsmen organisation established to promote, harmonise and represent the common interests of crafts. The Chamber represents craftsmen to government and other bodies in the country and abroad. The task of the Croatian Chamber is to promote trades and crafts. National and regional policies and programs that regulate and encourage the development of crafts are the Strategy of Entrepreneurship Development in Croatia 2013 – 2020 and the Regional Development Strategy of the Republic of Croatian 2011 – 2013. Law of Crafts in Croatia The adoption of new legislation, namely The Croatian Law of Crafts, in 1993 brought with it regulation of the fundamental questions about crafts, such as the term and type of craft, the conditions for the performance, business trades, education and training necessary for performing crafts, organisation, supervision and administrative measures The Croatian Law of Crafts provides greater security for craftsmen as it brings an exemption from eviction, security during unemployment and elimination of the lists of activities that can be performed as a home industry and sideline and prescribing conditions for the same. The law regulates the manner of crafts that can be undertaken, the roles of assisting members of the family household and education and training needed to perform the related trades. According to the law, craft is an independent and permanent pursuit of economic activities by natural persons for the purpose of achieving income or profit through production, marketing or services on the market. An artisan is a person who performs one or more of the activities in their own name and for their own account. Results of scientific research in Croatia are not used for commercialisation of innovation, advanced technologies and achieving higher production in the economy. The business sector is still a key subject in the field of innovation and insufficiently integrated into the innovation value chain. One indicator that confirms this is the very low number of patent applications in the period from 2000 to 2009 that Croatia has submitted to the European Patent Office - only 6.6 million inhabitants - which is far below the EU 27 average.Total expenditures for research and development amounted to 0.75% of the total GDP in 2011 (this showed a significant decrease in comparison to 2004 when they amounted to 1.05% of GDP), are also significantly below the EU 27 average, which amounts to 2% of GDP. Reducing the share of expenditure on research and 9 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

development over the past decade indicates a lack of structural changes towards the production of which is strongly based on knowledge. Future efforts in the area of Croatian innovation policy need to focus on increasing the tendency of companies to innovate and strengthen ties within the Croatian innovation system and innovation value chain. The figure shows the status of Croatian in the EU in terms of innovation in the economy. Croatia and its contractors are among the least innovative.

Source: Regional Innovation Scoreboard 2014 There are a large number of traditional crafts, which unfortunately do not take advantage of their comparative advantage to become more competitive in the market. This investment in research and development is negligible. The main objectives for the period until 2020 was certainly the development of the innovation system at the state level, strengthening innovation entrepreneurs, fostering greater collaboration between business, scientific and public sector and strengthening human resources for innovation. Based on our experience consumers are the main judges. They care about the services provided for them, and then consumers spread experience about craft. The main goal for crafts is how to provide a good product/service for customers. For this reasons crafts start to use different quality standards as ISO, FSC which also later on influence on consumers. 10 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

2. General characteristics of the artisan entrepreneurs The entrepreneurs Since 2003 the number of craftsmen under 40 years of age has decreased by 29.8%. The number of craftsmen between 40 and 50 years of age has experienced a similar downward trend of 28.4%. However, the number of craftsmen above 50 years of age has increased by 32.7%. The general trend observed is that the craftsmen are getting older and that the crafts sector is failing to attract new, young entrants.1 According The Croatian Law of crafts, crafts can be:  free crafts – those which are not required as a condition of professional competence or master exam  related crafts – those which are requirement to conduct search competency exam or master exam  privileged crafts – those by which the trader or a company may only be based on privileges

Masters exams are state recognised exams, regulated by The Croatian Law of Craft and the Rules of Procedure and consist of taking both the masters exam and professional competence exam. The masters exam can be taken for vocational qualifications from the list of related and privileged crafts. The masters exam is the highest available level of education for vocational qualifications and are respected qualifications. Professional competences, knowledge, skills which are gained from the masters exam are used in the work of small businesses in order to enhance the business. The masters degree is a valuable document and is essential in the establishment of a self-employed or small business. An understanding of continuous learning is important because only by investing in knowledge and skills can artisans keep pace with the development of modern techniques and technologies. In the period between the 1980s and l990s there was a large presence in the craft industry of those manufacturing metal work, wood processing, plastics and textiles. At that time, there was a significant recruitment of workers in manufacturing workshops, so that the average employment was more than 10 workers. Serbian aggression and war devastation in Croatia had left a number of consequences and caused great damage to the overall economy. The market was reduced leading to increased imports and craft production dropping. In the 90's, there was a significant tendency for the opening of mainly trade, hospitality and new service crafts including services for the installation and repair, accounting services and computer and electrical equipment. The new Law on Craft passed in 1994 has returned the reputation of the craft profession and its artisans. The special emphasis on education for trades and crafts in particular the taking the master's exam is very important for trade, this is because the previous so-called Suvarov system is known to have destroyed the skills of entire generations of young people who were educated for crafts. 1

The Croatian SME Observatory Report, 2012

11 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Today's complex economic situation in the Croatian economy is reflected in the business of craftsmen. Throughout history Croatian craftsmen have proved their economic wisdom, diligence, ability of fast-acting and adaptability to market and other conditions. The Croatian Chamber of Craft has adopted a budget in 2014 with revenues of HRK 11,345,658 and the same expenditure. The Chamber has adopted a new work program but has also reduced activity in several areas. At the same time it will be the first year that the chamber will try to accomplish part of the objectives of the Strategy for the Development of the Croatian Chamber 2014- 2020. The strategy includes the following objectives: Strategic Objective 1: Representation of interests and promotion of handicrafts Strategic Objective 2: Supporting business services and consulting Strategic Objective 3: Professional work Strategic Objective 4: Quality assurance Strategic Objective 5: Efficient Chambers Network and quality human resources Strategic Objective 6: Ethics in Business Strategic Objective 7: Education for crafts Strategic Objective 8: Partnership and cooperation Strategic Objective 9: Financing projects from available sources2 The firms Business form Simple Limited Liability Company - The company has three members and one member of the Board - The minimum share capital is 10,00 HRK payable only in cash - Founders are obligated to 25% of realised net income allocate to legal reserves - If using legal reserves to increase the share capital, the share capital equals or is greater then 20.000,00 HRK, Simple Limited Liability Company loses that status and becomes commonly a Limited Liability Company.

Croatian Chember for Craft

12 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Limited Liability Company A Limited Liability Company is a company in which one or more legal or natural persons invest their roles with which they participate in the pre-agreed share capital. The equities do not have to be equal. One of the founders can take more fundamental role, but not in establishing a company. Commercial interests can not be expressed in securities. Members are not liable for company debts. Localisalisation (at home or not) Head office is a place where craft is performed. If the craft is performed in several places, the seat is one of the places determined by craftsman. If for performing craft is not required space, seat craft is a place where the artisan has permanent or temporary residence. Sector (sectorial distribution, geographical concentration, dynamicsâ&#x20AC;Ś) Croatia is divided into two NUTS (Nomenclature of Territorial Units for Statistics) II regions; these are the Adriatic region and the Continental region. Both regions fulfil the NUTS II criteria of population size, whereby the Adriatic region number 1.5 million inhabitants, while the newly created Continental region has 2.5 million inhabitants. These regions constitute statistical units only unlike the counties, which are NUTS III level, and are administrative, self-governing units (there are 21 counties in Croatia, including the City of Zagreb). Picture 1: NUTS II Regions of Croatia

13 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

All available statistical data is based on previous NUTS classification before 2013. Regions: Craft Dynamics that shows number of crafts between 2003 and 2011 in all regions in Croatia

Craft dynamics

2003

2004

2005

2006

2007

2008

2009

2010

2011

Total

All regions

1320

2241

626

-338

-489

-2512

-4774

-3896

-1745

-9567

Adriatic Region

1032

1680

958

277

129

-890

-1760

-1279

-500

-353

North Region

West

Central and Eastern Region

277

-271

-398

-532

-943

-1976

-1675

-844

-6355

554

-61

-217

-86

-679

-1038

-942

-401

-2859

Table 2: Regions: Craft Dynamics, 2003 to 2011 Source: Source: The Croatian SME Observatory Report, 2012 The total number of crafts decreased from 95.476 in 2002 to 85.909 in 2011, a reduction of 9.567 crafts in an eight-year period. All regions were subject to similar movements in terms of start-ups and closures. In the first two years start-ups exceeded closures; however, after 2006, in the North West and Central and Eastern Region closures exceeded start-ups, and from 2008 on closures exceeded start-ups in all regions. The CEC Region was, by far, the weakest economic region in terms of the results shown.

Table 3: Crafts Dynamics: Start Ups and Closures and Income Performance

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Number of crafts at the end 95.476 96.796 99.037 99.663 99.325 98.836 96.324 91.550 87.654 85.909 of the year

14 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Start Ups

15.426 14.682 13.878 12.734 10.949 8.649

7.064

7.538

8.027

Closures

14.106 12.441 13.252 13.072 11.438 11.161 11.838 11.434 9.772

Source: The Croatian SME Observatory Report, 2012 The number of crafts has decreased steadily from 95.476 units in 2002 to 85.909 units in 2011. The annual figures for start-ups and closures of crafts were following a similar path as for SMEs (legal entities), showing growth up to the year 2005. From 2006 on, closure of craft enterprises exceeded start-ups annually. Between 2006 and 2011, the average annual reduction in the size of the crafts sector (closures minus start-ups) was 2,300 units. The tightening of the craft legislation, which was introduced in 2005, had much to do with this situation. Size (employment, employees, financeâ&#x20AC;Ś)

The craft sub-sector is divided in two main groups according to size: large crafts consisted of 4.680 craft enterprises with sales revenues above 2 million HRK per year, and smaller crafts consisted of 76.353 craft enterprises earning less than the threshold of 230.000 HRK,. The craft sub-sector represents 48% of the total SMEs in Croatia. Small craft enterprises employ on average 1.8 persons while large crafts employ on average 10.6 persons. In relation to total revenues, large crafts have an average turnover 524.668 Euro per year.

Table 4: Employment change (FINA 2002.-2011.)

NUMBER OF EMPLOYEES

CRAFTS

2002.

2003.

2004.

2005.

2006.

2007.

2008.

2009.

2010.

2011.

12.421

12.263

11.442

11.054

10.466

9.879

9.868

8.997

8.348

7.579

Source: The Croatian SME Observatory Report, 2012 From this table we can see that the number of employees from 2002 to 2011 has decreased steadily from 12.421 employees in 2002 to 7.579 in 2011. 15 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

In 2008, the craft sub-sector employed 14.64% of total labour force, out of which 79.149 were craftsmen and the owners of the business, and 148.401 were their employees. By 2011, total employment in the craft sector has declined from 227.550 in 2008, to 177.049 (67.998 craftsmen and 109.051 employees), as the craft sector was squeezed by two years of economic decline. Table 5: Financial indicators of crafts, 2008-2010

Profit or loss Income tax before tax

Profit or loss for the period

Year

Total income

Total consumption

2008

19.999.279.455

19.102.575.074

896.704.381

225.480.883

671.223.494

2009

16.851.784.271

16.301.931.177

549.853.090

173.056.836

376.796.254

2010

15.500.164.207

15.147.379.046

352.785.159

145.772.486

207.012.673

Source: The Croatian SME Observatory Report, 2012 Table 6: Foreign Trade in Crafts

IMPORT

EXPORT

YEAR

NO. OF CRAFTS

AMOUNT IN HRK

NO. OF CRAFTS

AMOUNT IN HRK

2007

5.870

2.020.754.933

1.799

687.414.226

2008

5.642

1.887.304.523

1.746

655.891.667

2009

5.048

1.340.017.528

1.477

475.028.265

2010

4.561

1.161.509.669

1.812

560.512.534

2011

3.460

842.072.469

1.214

453.750.748

Source: The Croatian SME Observatory Report, 2012 Table 6 presents foreign trade information for the craft sector gathered from customs data. On balance crafts are net importers with imports exceeding exports by a significant amount, in some years the value of imports in two and a half times greater than the value of exports. However, few crafts were involved in foreign trade. 16 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

According to customs figures, the value of exports produced by crafts amount to only 0,6% per cent of Croatiaâ&#x20AC;&#x2122;s total export value in 2010. Crafts usually serve localised markets in small scale, which makes it difficult for them to produce the volumes necessary to benefit from economies of scale, which will help them become competitive in foreign markets. Market channels Direct sales are the most common way of selling and marketing of craft products. Craftsmen also use the internet as one of the market channel. Lot of producers of local products start to use web shops as one of the way of selling products. SMEs also use promotion in specialised marketing campaigns (example: tourism, wood is first etc.). Form of promotion In order to promote, harmonise and represent the common interests of craftsmen, a lot of craftsmen are founding an association of craftsmen in the area of one or more units of local government. The Craftsmen Association is a legal entity which organises fairs to promote local craftsmen. One of the activities of the Croatian Chamber of Crafts is the organisation, financing and encouraging of craftsmen to make appearances at trade fairs in Croatia and abroad. Attendance of members of the Croatian Chamber of Crafts at fairs is co-financed in the amount of 30% -50%, and for local fairs. The Chamber are also able to give grant assistance to the organisers of the fairs. In 2012 The Chamber co-financed the attendance of 253 artisans in 11 international trade fairs.

17 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

3. The "issues" of a good sounded sustainable economy How artisan entrepreneurs address sustainable development topic (Fig.2) Craft and sustainable development Environmental Issues

Social Issues

 Energy efficiency

poverty

 Waste treatment

high unemployment rate

 Natura 2000 locations

emigration





(Towards) Sustainable Economies  More public financing of sustainable development  Active role of crafts in sustainable development strategy  Education of entrepreneurs 



“Political” issues

Strategic issues

(Participation and governance)

(Basis of Responsibility)

 new regulations on state level which not

inter-sector partnerships

take care about micro regional uniqueness no bottom-up approach Is there any law provision? Within Croatia there are laws in regards to sustainable economy namely The Law on Sustainability and also individual regional development. The implementation of regional development policy is systematically monitored and evaluated in order to enhance the effectiveness, efficiency and impact on regional development. Regional policy is contributing to the harmonious and balanced development of Croatia ensuring the protection and preservation of the natural environment and the diversity of cultural wealth. 18 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

4 Polity and Policy The polity of the crafts: defining identity and extensions of fields (from fine arts to handcraft) Table 1: Craft sector by NACE Classification Activity

Description of activity

Craftsmen

Employees

Total

Agriculture, forestry and fishing

3.357

5.206

8.563

4,8

Mining and quarrying

150

241

0,1

Manufacturing industry

9.629

23.825

33.454

18,9

Electricity, gas, steam and air 6 conditioning

0,0

Water Supply: sewerage system, 67 waste management

102

169

0,1

Construction

9.689

14.539

24.228

13,7

Wholesale and retail sales

12.448

17.911

30.359

17,1

Transport and storage

6.652

6.527

13.179

7,4

Activity of accommodation and 10.360 food

20.859

31.219

17,6

Information and connections

881

414

1.295

0,7

Financial Insurance

371

622

993

0,6

The real estate business

374

190

564

0,3

Professional, scientific technical activities

and 4.139

4.451

8.590

4,9

Administration services

support 1.561

1.711

3.272

1,8

Public administration and defence

0,0

Education

149

279

428

0,2

Transactions

and

19 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Human health and social work

1.848

1.904

1,1

Art, entertainment and recreation

270

184

454

0,3

Other services

7.588

5.844

13.865

2,2

Activities of employers

3.805

3.865

2,2

Activities outside the territorial 0 organizations and bodies

0,0

Unknown category

247

0,1

Overall

67.998

109.051

177.049

100

households

Source: The Croatian SME Observatory Report, 2012 The craftsman and his interests: organisations, powers and governance

The Croatian Chamber of Crafts is an independent professional craftsmen organisation and was established to promote, harmonise and represent the common interests of craftsmanship. The Croatian Chamber of Crafts is a legal entity and has public authorities. Members of the Croatian Chamber of Crafts are craftsmen who carry out trade in the Croatian territory and membership in the CCTC is required to undertake a craft enterprise. The tasks of the Croatian Chamber are:  The promotion of crafts and craftsmanship.  Representing the interests of craftsmen before government bodies in shaping the economic system.  Giving opinions and suggestions governmental bodies in the enactment of legislation in the field of handicrafts.  Establishment of committees for apprentice and master exams, action craftsmen, incorporation of the arbitration board.  Keeping the books craftsmen.  Record keeping agreements science.  Assisting artisans during its establishment and operations of crafts.  Performing other tasks set forth by law and statute Croatian Chamber of Trades. Is corporate social responsibility known and protected? Crafts in Croatia are mostly micro SMEs. At this time of financial crisis (which has been present for the last six years) crafts do not feel they have extra free resources to be spent on corporate social responsibility. Education on this field is needed between local craftsmen. 20 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

What policies for crafts? National and regional policies and programs that regulate and encourage the development of crafts are outlined in the policy documents Strategy of Entrepreneurship Development in Croatia 2013 â&#x20AC;&#x201C; 2020 and Regional Development Strategy of the Republic of Croatian 2011 â&#x20AC;&#x201C; 2013.

21 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN CZECH REPUBLIC

22 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

1 What „Vision“ of crafts

The Czech Statistical Office dicument “Classification of occupations CZ ISCO“, implemented from 1.1.2011, provides information according to the International Standard Classification of Occupations. All craft professions are included in Chapter 7 of the Classification: 7. Craftsmen & repairmen 71 Craftsmen and qualified workers in building industry 72 Metal workers, engineering workers and workers in related fields 73 Craftsmen in art and traditional crafts and polygraphy 74 Workers in the field of electronics and electrical engineering 75 Food manufacturers, wood, textile and related trades workers

At first glance it is visible that although it is a perfect and very detailed occupational classification, there are included professions that most people do not percept as “craft“ professions - mine rescuer, aircraft engine mechanic, builder of metal constructions, diver etc. .. Handicrafts, or artsan crafts, are perceived by the public almost exclusively as professions that are historically associated with normal human life and its daily needs bricklayer, blacksmith, carpenter, potter, butcher, glazier, basket, etc. .... All entrepreneurial activities of individual persons in the Czech Republic are regulated by the Trades Licensing Act 455/1991 Sb. and are conditioned by the obtaining of a trade license. Czech law recognises four types of trade licenses:

- free license - bound license - concessional license - crafts license

It is interesting, if we compare the list of professional craft referred in the Trades Licensing Act with a list of craft professions referred to “Classification of occupations CZ ISCO“, we find that our professional crafts in the Trades Licensing Act are far more similar as crafts perceived from the public - most crafts conditioned by required craft license belong to the “historically perceived“ crafts: 23 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Craft trades according to Trades Licensing Act:

"A" GROUP 01.Butchery and charcuterie 02.Manufacturing of milk 03. Millery 04.Bakery and confectionery 05.Brewing and malting 06.Processing hides and skins 07.Manufacturing and repairing of shoes 08.Grinding and etching glass 09. Manufacturing rubber compounds 10. Stone manufacturing 11. Moldering 12. Blacksmithing and farriery 13. Machining metals 14. Locksmithing and toolmaking 15. Electroplating and enamelling 16. Manufacturing, installation and repair of electrical machinery and electronic and telecommunication equipment 17. Clockmaking 18. Goldsmithing and jewelry 19. Carpentery and flooring 20. Manufacturing and repair of musical instruments 21. Repair of transport equipment and machinery 22. Blockbuilding 23. Montage, repair, inspection and testing of electrical equipment 24. Montage, repair and refurbishment of refrigeration systems and heat pumps 25. Plumbing and heating 26. Montage, repair, inspection and testing of gas equipment and filling gas containers 24 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

27. Montage, repair, inspection and testing of pressure equipment and gas vessels 28. Montage, repair, inspection and testing of lifting equipment 29. Insulating 30. Painting, lacquering, varnishing 31.Slatering and carpentry 32. Tinsmithing and automotive body repair 33. Stove making 34. Repairing road vehicles 35. Hairdressery

"B" GROUP 1. Staining and chemical treatment of textiles 2. Cleaning and washing of textiles and clothing 3. Chimney sweeping

"C" GROUP 1. Innkeeping and accommodation service 2. Cosmetics and beauty care 3. Pedicure and manicure

As was explained above, the people in Czech Republic connect the crafts mainly with traditional and historical professions and work activities. The perception of craftsmen from the public can be dramatically different whether they are employees of a craft company or "freelance" craftsmen, the latter of which are generally percieved much better.

The survey â&#x20AC;&#x153;The perception of crafts in the Czech populationâ&#x20AC;&#x153;, carried out by the Association of Small and Middle Enterprises and Craftsmen, shows that more than half the population (59%) have a positive attitude to the work of Czech craftsmen and would give them priority over larger companies. The survey also shows that 82% of the population is satisfied with the availability of craftsmen.

25 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Of course itÂ´s necessary to understand that the word 'artisan' is perceived as a certain group of craftsmen namely those that are more commonly needed by people - painter, bricklayer, tiler, electrician, heating engineer, plumber etc and that traditional craftsmen producing handycrafts are not percieved as artisans.

2 General characteristics of the artisan entrepreneurs

The numbers of entrepreneurs and individual trade licenses according to age structure

Age group

Entrepreneurs Trade licenses

Number 18-20 4 083

0,23

Number

4 593

0,16

21-25 54 683 3,09

67 159 2,35

26-30 159 4889,01

223 9937,84

31-35 260 34414,70 409 19014,33 36-40 235 69413,31 392 08313,73 41-45 242 71113,71 417 00814,60 46-50 214 11212,09 366 67112,84 51-55 223 55012,63 379 40513,28 56-60 178 99010,11 299 22010,48 61-65 107 7836,09

171 4776,00

66-70 47 240 2,67

70 535 2,47

71-75 23 382 1,32

31 866 1,12

76-80 13 047 0,74

16 628 0,58

81-85 5 379

6 493

0,30

Czech Republic 1 770 486

0,23 100,00 2 856 321

100,00

Qualifications According to collected statistic data more than 80% of craftsmen were primary educated in the field of their craftsmanship.

26 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

On the other hand, training in crafts and technical fields, since the revolution in 1989, has decreased in popularity and, in many cases, unfortunately, its traditional quality. It is a problem, which is a long time discussed in all sectors, but which remains still unsolved, because of this at the national level there is still missing a clear and realisable concept that would better integrate vocational education and the business sector. Another very negative factor in the popularity of craft education and occupation since 1989 is something that could be called "postsocialistic syndrome" – handwork and crafts professions were discarded after the revolution as something that the former regime forced us to do under their rule and that the population was able to change this This led to the creation of very unhealthy social atmosphere especially in families where the younger generations decided to undertake craft skills training for their future profession and where parents argued that craftsmanship was something inferior and the best career should be to work in the office in some managerial position. The result is that according to national research only 19% of young people decide to study craft professions.

In the year 2005, the Ministry of Education started the project “The development of the National qualifications framework supporting links between initial and further education“ (NQF) in cooperation with the National Institute of Technical and Vocational Education. This system project is co-financed by the state budget of the Czech Republic and the European Social Fund. Solving the project tasks, the National Institute of Technical and Vocational Education cooperated with many experts from the bussiness sphere, VET schools and other social partners. National qualifications framework, whose creation is a core activity of the project, is embedded in a law on verification and recognition of further education outcomes.

The aim of the NQF is to create a system environment that will support: -

comparability learning outcomes achieved by various forms of learning and education enabling

recognition of real knowledge and competences independently on the way of their acquiring -

comparability of qualification levels in the CZ and in the EU

transfer of world of work requirements into education and training

public awareness of all national-wide recognized qualifications.

The National Qualification Framework does not replace existing systems and structures of education, but strives to make them interconnected, covered and transparent. 27 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The basic units of the NQF will be qualifications divided into two types: -

Entire qualification – ability to perform an occupation; as a rule, it is connected with achievement of an

appropriate level of education (e.g. a Plumber, a Confectioner, a Hairdresser, a Cook ….). -

Partial qualification – ability to perform a work activity or several work activities, which provide

opportunity to apply for a job (e.g. Installation and repair of gas equipment, Ice cream production, Men Hairdressing). Partial qualifications can form a part of an entire qualification. This will happen in cases, that requirements for a partial qualification form a subset of requirements for an entire qualification. E.g. a partial qualification of Icecream production is a part of the entire qualification of a Confectioner. Requirements of the world of work for education sphere will be formulated through both entire and partial qualifications.

According to project aim, the NQF should act as a bridge between the world of labour and unformal on-the-job education, but its use in practice shows that reaching this aim is far from reality This is due to the poor and undervalued marketing of project results, poor communication with both target groups and the fact that only minimal number of job seekers and employers have been encouraged to use this tool.

Professional history According to collected statistic data more than 65% cratftsmen were previously employed in the same craft profession. On the other side, the number of craftsmen who decided to work in their specific craftwork because of some family tradition is extremely low and varies around 15% only.

Perspectives: growth targets (or others objectives?) Very few craftsmen and small entrepreneurs have clear goals and plans for further development, but rather present obstacles that prevent them from doing so. The most mentioned “plans“ for future can be formulated as -

survival

to find enough customers

retain the possibility to do the work I do now

In fact only by younger craftsmen and entrepreneurs up to 40 years of age can be identified in making an effort as to: - expanding the business 28 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

- buying new equipment - finding a new gap on the market

The biggest mentioned problems for the further development of business are the following: -

excessive bureaucracy associated with doing business in the country (eg. work law,

trade legislation, etc..) -

high taxes and levies

lack of basic technical infrastructure and poor accessibility of particular in rural regions

high pressure and unfair competetion from big companies and multinational chains and competition

from countries with cheap labor -

lack of purchasing power in rural regions

lack of qualified employees who are trained in the relevant field of business

lack of a legal framework that would insure return of business resources invested in own employees

education -

young people leaving for work in the cities

small overview of the available support for entrepreneurs, offering regional, national or European

intervention programs -

skepticism about the possibility of using bank loans for further development

Business form Craft activities can be performed, according to Trades Licensing Act, by private individual entrepreneurs holding the necessary trade license.

Sector (sectorial distribution, geographical concentration, dynamics, ... ) There is no official statistical evidence of craft professions according to their industrial or business sectors. Statistical data are collected and elaborated only in relation to small entrepreneurship in the whole. Concerning to these statistics the structure of active individual etrenpreneurs according to selected sectors is shown in the following table:

Agriculture, forestry and fishing 5,6 Manufacturing 15,5 Construction

14,0 29

This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Trade, repairs, hotels and restaurants, 28,0 Transportation 4,8 Real estate, research, development

19,5

Other 12,4 Total

100,0

Size (employment, employees, finance, ...)

In regards to employment in the craft sector no statistical evidence exists. On the topic of finance some individual research shows that 87% of respondents have secured funding to aid with the set up of their own businesses and 27% mentioned financial support from family and friends. Only a very small percentage of the start-up enterprises used bank loans, which probably indicates a very unfavorable conditions for start-ups by financial institutions.

Market channels and forms of promotion All possible and existing channels and ways are used â&#x20AC;&#x201C; from sales from their home or workplace â&#x20AC;&#x153;from the yardâ&#x20AC;&#x153; to shops, markets, e-shops, trough retail and wholesale.

In regards to promotion and gaining new customers, both craftsmen and their customers appreciate word of mouth. In both groups more than 55% of respondents mentioned personal recommendation as the most valuable and most useful way to promote craftsmen services and products. Another appreciated and widely used promotion channel are socialmedia, especially in sectors of handicrafts and services, seminars and training targeted to marketing on social mediaare the most required from the group of small entrepreneurs and craftsmen. Another often used way for selling and promoting handicrafts and traditional food products are craft and farmers markets, events and exhibitions.

3 Crafts in terms of sustainable economy How artisan address the topic of sustainable development Understanding and addressing sustainable topics depends fully on individual attitudes of the craftsmen. There are some small amounts of craftsmen following sustainable topics in the frame of some widder inititatives 30 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

researches show that only about 12% of craftsmen and small entrepreneurs cooperate in their activities with another subjects as public administration, NGOs and another institutions. Mostly in rural areas we can find intiatives ( as LAGs operating under the LEADER initiative ) aiming to imporove and encourage sustainable and smart development within rural communities and destinations. The main aims in such cases are saving cultural and historical traditions, providing the resources to put human skills in the place and ensuring the highest understanding of sustainability is visible by the craftsmen manufacturing agriculture products Another case is that sustainable attitudes are connected with financial issues – saving energy, reducing and recycling waste, using more environment friendly cleaning agents etc, but many of them are done without knowledge of sustainable philosophy.

Law provisions of sustanability in crafts No law provision in regards to sustainability in the crafts sector exist in the Czech Republic.

4 Polity and Policies The polity of the crafts: defining identity and extensions of fields (from fine arts to handcraft) „As was mentined in chapter 7 of the Czech Statistical Office document, “Classification of occupations CZ ISCO“ implemented from 1.1.2011, under the 5 subgroups there are about 600 individual crafts professions from all sectors of handicrafts and crafts generally. The craftsman and his interests: organizations, powers and governance In regards to artisan crafts, individual craftsmen are associated in NGO Folk Crafts aiming to support and protect the very traditional histrical handicrafts - www.lidovaremesla.cz ; In general the professional bodies for entrepreneurs and craftsmen are the Chambers of Commerceces, which are in the Czech Republic not managed centrally but operate as independent bodies under the special law on regional and subregional level.

Is Corporate social responsibility known and protected? The topic of social responsibility is targeted in same way as the topic of sustainability - only a small percentage of craftsmen think about it and act in this direction.

Are local communities considering that helping craft to think is better than to facilitate?

31 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

They donÂ´t think about it in this way, at this time handicrafts are fully connected with rural development through tourism and within this highly supported from local tourism authorities and from time to time also from public administration.

What policies for crafts? The main topics which have to be included into policies are: -

simplifying of business bureaucracy

support in promotion

support in start-ups of microbussinesses

protection against unfair competition of global companies

32 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN GREECE

33 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

This report will focus mainly in the sector of silversmiths in Ioannina Region as this sector is very important one in our region and is among the most well-known Greek craft sector around the world.

1 Vision of crafts Who can be considers as a craftsman in Greece? The answer to the question â&#x20AC;&#x153;which professionsâ&#x20AC;? are craftwork and/or silversmiths is given in Greece using the Statistical Classification of Professions (STEP). The Statistical Classification of Professions provides a system of classification and grouping of information relating to professions and derived either from the Censuses of Population, other surveys or from administrative sources. This Statistical Classification of professions in Greece is called STEP-92 and is in accordance to ISCO-88(COM).

In order to harmonise the statistics on professions in member countries the European Union (EU) established the ISCO-88(COM), which is based on ISCO-88 with few exceptions in both number of groups of occupations, and in some definitions categories (managers, civil servants, etc..). These changes were made in order to reflect, as completely as possible, the structure of the labour market in the EU countries. The ISCO-88 (COM) was then used as a template for the development or revision of national classifications of occupations in the countries - members of the EU. According to Greek Laws if someone wishes to be active as a liberal professional in the field of silversmithing and wishes to open his own workshop and store, no license is required. There is also not a obligation for someone wishing to be a craftsman in the field of silversmithing to follow a typical training or education. If someone wishes to be active in the field he can be trained and gain knowledge and experience by undertaking an apprenticeship alongside an experienced craftsman or silversmith's workshop or gemmology, but also through the education provided in the respective disciplines of Technical Vocational Schools (TEE) run by the Ministry of Education or the post-secondary vocational schools (IEK). According to Greek Laws all craftsmen active in the sector are obligated to be member of the Chamber of Commerce of their region. Nowadays in Greece there is a strong discussion on the abolition of that obligation.

34 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Ioannina is probably the centre of silver craft making of Greece with a long term tradition. The art of silversmithing (silver craft making) appears to have been prosperous since the period of the Despotate of Epirus in the 13th century. Today silver crafts are mainly made for visiting tourists however they are not the only tourist product of the region.. About 85% of the buyers are foreigners (not local) consumers, who prefers mainly traditional silver jewellery. Throughout the last decade of the 18th century Ioannina was the most important economic and cultural centre of Northwest Greek world.

In 1812 the guild of silversmiths in the city of Ioannina was constituted of 54 members, and in the period 1812 to 1815 there were 34 silverware workshops in the area. The latter decades of the 19th century were followed by stagnation and then the contraction of artisanal production, as the result of market penetration of western Europe in the Greek area. During this period, the massive importation of Italian, French and Austrian mainly artisanal products triggered a new crisis while the fire of 1869 gave a mortal blow to the sector. During the period of Ali Pasha of Ioannina the silversmiths founded branches in many parts of W. Europe, mainly in Italy which was easily accessible from the ports of Epirus. During the Greek revolution, unions lost their power and silversmiths, due to unbearable times and the overall situation, could not produce and export quality silver items.

The figure below show the number of craftsmen in the region throughout the centuries.

35 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 1: craftsmen through centuries

Ioannina has a long tradition in the training of silversmiths. In 1928 the Silversmiths' School of Ioannina has founded, however it closed shortly after in 1940. In 1959 the New Silversmiths' School of Ioannina (administratively affiliated to the Ministry of Labour) was founded which was subsequently closed in 1983. As will be shown and explained later on this research report the training of the new silversmiths is based on the theme person to person, with the experience and techniques passing throughout the years from the old craftsmen to the new one.

General characteristics of the artisan entrepreneurs 36

This research report on “The sector of silversmithing in Ioannina – Greece” is based mainly on a survey conducted in 2007. The survey was the main activity of the final years project of Mrs. Arvaniti Panoraio during her studies at Harokopio University of Athens in the Department of The Science of Home Economics. The survey was based on field research conducted in the Centre of Traditional Workshop of Ioannina’ (KE.PA.V.I. S.A.), in silversmith workshops and in retail stores in the city of Ioannina.The research was undertaken between November 2006 and March 2007 with a sample size of 60 participants.

The survey was conducted through questionnaires addressed to professionals and was enriched with data from literature sources and interviews conducted with stakeholders and professionals of silversmith industry.

During the completion of the questionnaires professional silver and goldsmiths had some reluctance towards the researcher, however, according to the results of the survey, all the respondents who replied to the questions, and expressed their interest to be informed about the results. The questionnaire includes demographics and specific issues with reference to the silversmithing sector and its prospects.

The first question of the survey was about the gender of the surveyed persons. Of the the people surveyed the vast majority (95%) were men, the remaining 5% were women. It seems that the art of silversmithing remains traditionally male-dominated, although the physical strength required for some of the work can now be replaced by the use of modern machinery.

Figure 2: gender of the surveyed persons 37 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The predominant age the survey participants was between 42-49 years old (38%), followed by people over 50 years old (32%). People with aged between 34-41 years represented 20% while only 10% percent were younger ages, (26-33 years old). It is clear that the majority of the people active in the field of silversmithing are old people while the young people entering the profession are the minority.

Figure 3: Age of the surveyed persons Regarding the place of origin of the respondents, 38% stated that they came from Ioannina and the rest, 62%, came from other nearby areas generally the villages of Ioannina or Epirus. These areas could not be record on the chart as it was different for everyone therefore these answers were pooled as â&#x20AC;&#x153;otherâ&#x20AC;? areas outside Ioannina.

Figure 4: Place of Origin 38 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The next question concerned the place of residence. 80% said that they stayed in Ioannina and the remaining 20% in other areas. These areas could not be record on the chart as it was different for everyone and thiswas therefore pooled as â&#x20AC;&#x153;otherâ&#x20AC;? areas outside Ioannina.

Figure 5: Place of residence

The large numbers of firms are based in the city of Ioannina. 67% of those surveyed undertook their silversmithing activities in central parts of the city. The remaining 33% of the firms were located in areas around the town which are tourist attractions.

Figure 6: Company headquarters 39 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The majority of those surveyed (55%) said they were graduates of the Technical School of Silversmithing. 23% of the sample indicates that were secondary school graduates while the remaining 22% said that they only attend primary school.

Figure 7: Educational Level

The next question referred to whether respondents worked full or part time in the sector. All respondents (100%) stated that silversmith was their main occupation.

Figure 8: Employment status

The next two questions referred to the types of business and products made. Only 8% of the respondents stated that they were dealing only with the trading of the products. 40% responded that they were employed 40 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

in the fields of manufacturing and sales while 52% were employed in the fields of manufacturing trading and sales.

Figure 9: business type

The figure below shows the the results of the surveyin regards to the different products made by craftsmen.

Figure 10: products made

All respondents stated that buyers of their products are mainly foreign consumers (85% Greeks and foreigners) who visit the area either as tourists or they buy items through exports channels, while the 15% of the buyers are locals, meaning mostly the inhabitants of the region of Ioannina.

41 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 11: Buyers profile

The table sbelow shows the breakdown of what products are most popular to purchase.

Figure 12: most popular purchases

The majority of respondents, 90%, stated they were married, remaining 10% were single. Those identifying themselves as single were mainly the younger people at the beginning of their career.

42 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 13: family status

The highest percentage, approximately 50%, of silversmith companies who were undertaking their business in the region of Ioannina during the time of the survey were established between 1971 and 1980. Between 19811990 35% of the silversmith companies were founded and between 1991 -2000 10.5% were founded.

Figure 14: foundation year

20% of the respondents stated that the annual turnover of their company ranged from €0- 50,000, 35% stated that their annual turnover was €50,001-100,000 and 10% indicated their annual turnover was over €150,001. The remaining 35% of the survey stated that their turnover ranged from €100,001-150,000. It is important to highlight here that the research took place before the financial crisis of Greece.

43 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 15: Annual Turnover The findings regarding the investments in the field of silversmithing are shown in figure 16 below. It is important to highlight that these figures stand for the five years before the survey. That means that figures could be different now as a result of the financial crisis in Greece.

Figure 16: Investments 90% of the companies were family run business, within that 40% of those that responded stated that their children did not wish to undertake the running of the company in the future while the other 60% stated that they did.

44 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 17: business type

Figure 18: descendantâ&#x20AC;&#x2122;s volition

According to respondentâ&#x20AC;&#x2122;s answers 77% of them have participated in a training course/period regarding silversmithing.

45 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 19: Participation in training courses

In regards to the key question for this research on the sustainability of the business 52% of respondents were optimistic and apparently satisfied with the situation so far, however the remaining 48% appeared frustrated and responded negatively relative to expectations on the viability of creating more sustainable businesses. At the same time 23% of respondents believe that their profession is not benefited from tourism, while 77% appeared more optimistic on the matter and indicated that the silverware in the region was favoured by tourists.

Figure 20: Expectations for the Sustainability

46 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Figure 21: Tourism as a favourable wind for the sector

47 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN ITALY

48 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

1 What "vision" of crafts The institutional context In Italy craft is essentially identified as applying formal and quantitative law-abiding criteria either from national laws or from regional ones.

Sizes, sectors of activity and degree of participation of the entrepreneur in the process of industrial transformation or in the process of supply of services qualify the specificity of craft enterprises compared to other enterprises.

Therefore craft enterprises are generally considered as the ones in which the broad experience of the entrepreneur substitutes the strength of automation and small scale production is justified against mass production.

The widespread opinion that craft work can only be enjoyed in the traditional and typical production of a special place or when it includes some artistic aspects comes from there. The rest of craft work is considered as a last-minute resource which is often regarded as quality work but which is not appreciated as much for several reasons; the unjustified cost of the service, the unlikable place of production and often the craftsman himself.

As a sequence the Italian legislation about apprenticeships, which is very interesting for craft enterprises, evolved with an important delay. This has resulted in the majority of youngsters tending to underestimate the avenue of becoming a craftsman as a possible job opportunity.

Nowadays Italian craftsmen appear in two different forms: those that concentrate on the production of goodquality items and those who are focused on getting satisfaction from their work and give little importance to their appearance and position in society.

The laws

According to Italian legislation L.443/85, a framework policy law on crafts, a craft company has the predominant aim of producing goods or providing services. However farming, commercial services, 49 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

intermediation in goods circulation or subsidiary services and public food and beverage administration are excluded from this definition. There are craft enterprises in all economic sectors and in all territorial areas. These are the prevailing types: a) Clothing b) Food c) Furniture d) Traditional artistic handicraft e) Transportations f) Car repairs g) Constructions h) Installation and maintenance i) Engineering j) Services to people (beauty, hairdressing etc.) k) Textiles

Craftsmen can work as individuals, as a company or co-op, on the condition that the majority of partners (or just one if there are only two partners) contributes to the productive process with individual and/or manual work, and that work is predominant against capital within the enterprise. Capital companies (both joint stock and those limited by shares) are excluded from the craft sector.

It should be noted that an individual craftsman can own only one craft company. Therefore on the above context artisan entrepreneur is a person who as owner of the craft company assumes the full responsibility, burdens and risks related to the company management as well as those incurred while performing his/her professional activity and throughout the production process.

Limits to employees in the craft company

Craft companies can also use subordinate workers, conducted personally by the artisan entrepreneur or his/her partners, provided that they do not exceed the following limitations:

50 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

a) A company which doesnâ&#x20AC;&#x2122;t use mass-production systems can have a maximum of 18 employees, including up to 9 apprentices. The number of employees can be increased up to 22 provided that the additional individuals are apprentices; b) A company not using fully automated mass production systems can have a maximum of 9 employees, including up to 5 apprentices. The number of employees can be increased up to 12 provided that the additional individuals are apprentices; c) A company operating in the field of artistic and traditional handicraft or tailor-made clothing can have a maximum of 32 employees, including up to 16 apprentices. The number of employees can be increased up to 40 provided that the additional individuals are apprentices. Artistic and traditional handicraft and tailor-made clothing sectors will be defined by law, in accordance with Regions and National Crafts Council, with a legislative decree by the Republic President; d) Transportation companies can have a maximum of 8 employees; e) Building companies can have a maximum of 10 employees, including up to 5 apprentices. The number of employees can be increased up to 14 provided that the additional individuals are apprentices.

General legislation In compliance with Article 117 of the Italian Constitution, regions issue rules concerning handicrafts are issued from the regions, within the framework provided by L. 443/85 and subsequent amendments and additions.

In particular regions the adopted measures are aimed at safeguarding and developing handicrafts and enhancing craft production, under all its territorial, artistic and traditional expressions, using some of the following instruments: a) Facilities in accessing credit b) Technical assistance c) Vocational training d) Applied research e) Facilities to the activation of networks f) Craft districts settlement g) Facilities in exporting goods

Usually, regions exercise their administrative functions delegating them to sub-regional authorities (provinces). 51 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

A craftsman’s function in the contemporary age

From a numerical point of view handicraft constitute the “hard core” of the Italian production system and make up the majority of SMEs. Italian SMEs are an important part of the production system and of the contracting chains, since they provide sub-contracting services and third parties manufacturing in those fields where very particular competences and a strong flexibility are required by client enterprises. This assures them a lower incidence of costs, a reduction in investments and lower risks and financial needs. The same thing is true for craft firms: these are active not only in the traditional and/or artistic sectors but also have a significant presence in manufacturing (and as suppliers of services).

As stated in a previous report about the craft sector within Italy “the transition from industrial to postindustrial society handicrafts emerged as a fundamental choice in order to keep and qualify one’s own social and cultural identity: a choice of creativity in carrying out one’s own work and a choice of professional ethics in company management, in which participation, individualisation, small groups contribution and, most of all, entrepreneurs professional skills are appreciated”.

Research undertaken about the development of production organisations show that there are several connections between small enterprises belonging to district networks and handicrafts activities. These connections include historic-cultural, educational, financial and productive; however they are differently intended and evaluated. Since flexibility costs competitiveness and small enterprises adaptability are tied to quite strong processes of decentralisation and specialisation, where artisan enterprise usually is the last link in the chain.

New technologies in craftwork activities The importance of ICTs in the productive process A major asset to determine the competitiveness of the firms and their medium-term and long-term survival is the ICT: the way it is used in the firm can have a significant impact on the processes and on the productivity. The level of acceptance of these tools was the topic of recent research by the Observatory ICT & PMI of the School of Management of Engineering of Milan. The research analysed a survey of over 1000 Italian companies employing between 10 and 500 people. The results of the study showed that 81% of those companies use an Enterprise Resource Planning (ERP) management system to support their own administrative activities. A 52 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

considerable increase in the use of the Business Intelligence tools in all the dimensional classes was also noticed. Nevertheless the use of more innovative applications such as cloud ones (also called â&#x20AC;&#x153;as a Serviceâ&#x20AC;?) remains marginal. The main obstacle to the diffusion is based on the difficulties to integrate the application with the numerous business databases which are used to implement the development of the business and generate reports or dashboards. Moreover the situation is worsened by the high level of fragmentation and disintegration of the data characterised by the IT structure of many Italian SMEs. The use of the Customer Relationship Management (CRM) applications varies from 9% for small companies to 24% for companies with more than 250 employees; the highest percentages come from middle-sized companies working in the area of services (for instance, expert advice services, media etc) and trade wholesale distribution. Researchers highlight that one company in three uses an application of Human Resources management. Most of all the small-sized companies use tools to manage the business and market changes and in a few cases the calculation of the wages. Only large-sized companies start to use more complex applications to manage the selection, recruiting and training activities. The use of ICTs is not consistent with geographical distribution, production sectors and enterprises size. However, IT has been only recently introduced in artisan enterprises. Production processes still have, as a distinctive feature, a small-size (also given the small size of each enterprise) and automation is never pushed beyond a certain limit; therefore production is still strongly characterised by hand-craft processing. Services outsourcing (for administrative, fiscal and technical services) means that existing innovations are managed by skilled staff external to the enterprise.

We can observe that the high level of dependence from the outsourced services is a big issue for the craft sector: in fact craftsmen are unable to make an analysis of costs and have a clear vision of their internal process from a managerial point of view. The very low level of usage of ICT technologies by the small and very small-sized companies canâ&#x20AC;&#x2122;t be ignored anymore a serious analysis about the digital revolution in Italy. However some more dynamic realities appear. For instance we can observe a more positive situation in the Piedmont Region: in the last few years in the craft enterprises a progressive adaptation to the minimum standard required by the market has been noticed. In 2012, 85% of the companies use a PC and 82% use the Internet; almost 40% of companies have their own website.

53 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

The computerisation of the external business relations is especially interesting with 55% taking up online banking, 38% of the firms are using the network for supplies and 33% to interact with the customers. Only 20% communicate online with the public authorities (a lower value than the one taken from the last survey of the Observatory referring to enterprises with more than 10 employees), but with a rapid increase since 2006. Considering indicators changing from 2006 to 2012 it is interesting to study how the use of the Internet within craft enterprise has become more utilised in supply chain relations and more directly involved in the productive activity (clients and suppliers) than in the relations with the bank institutes. In the end it appears that the process of technological adjustment seems faster in the first few years of the crisis (2009-2010). From this point of view we can affirm that it is the crisis itself which activated an acceleration of the adjustment. Tab.4 â&#x20AC;&#x201C; Connection through Internet to clients, suppliers, banks and to the PA within the craft enterprises in Piedmont Region from 2000 to 2012 (*) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Customers 4,7

11,9 2,9

9,0

6,3

4,9

7,0

13,3 17,3 26,9 30,1 33,2

Suppliers

13,2 4,0

9,7

6,6

5,8

5,3

8,3

15,2 22,0 32,0 34,0 38,0

4,4

Banks

13,0 21,4 27,8 45,8 53,7 52,2 54,9

P.A.

0,6

2,6

6,4

14,0 15,0 14,9 19,5

Source: Observatory Craftsmanship-Sector Informative System of the Productive Activity from the Piedmont Region *The revelation of the data starts from 2006

Fig. 3 â&#x20AC;&#x201C; Connection through the Internet to clients, suppliers, banks and to the PA within the craft enterprises in Piedmont Region from 2000 to 2012 (*)

54 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

60,0 50,0

40,0 30,0 20,0 10,0

0,0 2000

2001

2002

2003

2004

Customers

2005

2006

2007

Suppliers

Banks

2008

2009

2010

2011

2012

P.A.

Source: Observatory Craftsmanship-Sector Informative System of the Productive Activity from the Piedmont Region *The revelation of the data concerning Banks and PA starts from 2006

On the other hand one should consider that distance learning in Italy, while supported by several projects and funds, is still a comparatively young tool. To introduce this kind of teaching and make it familiar to craftsmen has to be considered a very difficult task. To date there is not a general structure that provides e-learning training on a stable basis, least of all with methodologies and courses especially aimed for craftsmen. However, it is possible to identify some significant examples in distance training.

2 General characteristics of the artisan entrepreneurs

Craftwork activities within the educational system From the legal point of view, in general, there is no specific educational requirement needed for exercise activities as a craftsman. Such training is only required to carry out specific activities that involve taking responsibility for the protection and security of customers, in these cases the artisan entrepreneur must possess all technical and professional requirements set by national law.

Activities regulated by law concern the following: a) Energy 55 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

b) Radio and TV c) Heating, air conditioning and refrigeration d) Plumbing and bathroom suite e) Gas distribution and use f) Elevators, goods lifts, escalators and similar g) Fire protection

Also the personal care field is regulated by similar laws that require professional qualifications for its workers.

The following types of higher education public institutes are connected, in different ways, to vocational training for craft sector: 路 Professional schools (divided into a three-years starting course and a two-years additional optional period) 路 Art schools 路 Five-years technical schools 路 Training course for subjects in compulsory education

Of particular interest, for the purposes of our project, are five-years professional schools courses, aimed at the achievement of secondary school diplomas. The still ongoing education reform divides them in two main areas: Professional schools in the service area: a) Services for farming and rural development b) Services for maintenance and technical assistance c) Health and social services d) Services for wine and food gastronomy and hotels e) Commercial services Professional schools for industry and handicrafts: a) Artisan and industrial production b) Services for maintenance and technical assistance Professional school courses end with a final examination, according to the law in force about examinations for secondary high schools. Getting through this examination is a mandatory requirement for entering University and schools of higher education for arts, music and dance, higher technical schools and technical training.

56 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Handicrafts and training A short school training and an emphasis upon on-the-job training are the typical methods of the training of entrepreneurs and workers of handicraft sectors. Entering a craftsman’s workshop was traditionally, and still is now, considered the main option for young people who are encountering problems concerning juvenile delinquency and school drop-outs. Traditional tendency towards learning on the job can be emphasised in the future thanks to the opportunity to spend the final year of compulsory education (between the age of 15 and 16) in an apprenticeship, as provided in a recently approved government decree. In fact, it will become possible to start working as apprentice already at the age of 15. Companies employing teenage workers are primarily and typically those belonging to the craft sector, including less skilled ones.

Barriers and/or difficulties for accessing training Operators from public and private training systems are unable to effectively reach craft workers. The distance from craftsmen world is explained by the following reasons: · Training is perceived as a cost for the enterprise (in terms of time and money). · Widespread conservative attitude, even in younger generations, which restrains the introduction of process and management innovations, the adoption of non-traditional technologies and the introduction of skilled workers. · Difficulty for enterprises in accessing information. · Organisational difficulties, related to a very small enterprise size, to the number of workers, and to production organisation. · Lack of flexibility in training courses, bureaucracy, and long implementation times. · Extreme need for training customisation. · Difficulty in bringing into focus training needs, especially for concerns involving innovative issues.

There is a general distrust towards external training, which is opposed to a “traditionalist” trust in the chance to transmit professional techniques and culture from father to son, from craftsman to apprentice, from customer to sub-contractor, as it happens in the field of more traditional handicraft. In Italy the only training common in the majority of enterprises are the mandatory ones (health and safety etc).

The shared vision of the question of "training" sees the central nodes as following: 57 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

a) It’s difficult for a firm to send workers to a training program, because that will significantly hamper the production; b) It’s easier when the courses are opened to more enterprises so that workers from different realities can participate.

- Craft enterprises from 2001 to 2013

The number of enterprises in Italy at has dropped significantly from 1,399,000 in 2001 to 1,396,000 in 2013.

In the year 2008 there was a dramatic decrease within the craft enterprises which were more heavily hit by the financial turmoil than the other types of firms.

Fig.1 – Active craft enterprises in Italy (2001-2013) 1,600

5,400

1,500

5,100

1,400

4,800

1,300

4,500 2001

2002

2003

2004

2005

2006

2007

Artisan enterprises

2008

2009

2010

2011

2012

2013

Total enterprises

As a consequence of the different evolutions in the last years the overall quota of craft enterprise clearly decreases. (FIG. n. 2) Fig.2 – Quota effects expressed in percentage of active craft enterprises over the total enterprises in Italy (2001-2013)

58 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

29,5 29,0

28,5 28,0 27,5 27,0 26,5 26,0 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Linear trend

The two figures highlight the difficulties the handicraft sector faced due to the economic crisis which negatively impacted European economies, particularly the Italian one, between 2008 and 2013.

The analysis of the main flux by enterprise juridical categories makes the identification of the craft most critic point of the: the weakness of the corporate physiognomy characterises a major part of the enterprises belonging to this sector.

Overall enterprises and artisan enterprises by productive sector 2012 Sectors

Enterprises Total

Artisans enterprises

N°

%

N°

%

818.283

13,4

-2,3

10.221

0,7

-1,2

630.126

10,3

-1,5

342.844

23,8

-2,2

Of which: C: manufacturing 606.126

9,9

-1,9

339.455

23,6

-2,2

F: Construction

14,7

-1,4

571.336

39,7

-2,2

34,9

0,3

236.110

16,4

-1,1

A: Farming, forestry and fishing B, C, D and E: Mining, manufacturing quarrying

and

and other

industry

894.028

G, H and I: Wholesale and retail trade, transportation 2.128.139

59 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

and

storage,

accommodation and food service activities J:

Information

and

communication

126.491

2,1

1,0

11.542

0,8

3,1

activities

116.335

1,9

-0,4

121

0,0

-9,0

L: Real estate activities

282.238

4,6

0,3

200

0,0

-2,4

357.506

5,9

2,2

68.252

4,7

2,9

61.772

1,0

2,4

3.054

0,2

-0,3

services

299.504

4,9

0,6

192.849

13,4

-0,6

Activity n.e.c.

378.736

6,2

1,6

2.072

0,1

1,7

Total

6.093.158

100,0

-0,3

1.438.601

100,0

-1,5

K: Financial and insurance

M and N: Professional, scientific,

technical,

administration

and

support service activities O, P and Q: administration,

Public defence,

education, human health and social work activities R, S, T and U: Other

* Total number = 100

2013 Sectors

Enterprises Total

Artisans enterprises

N°

%

N°

%

785.352

13,0

-4,0

10.101

0,7

-1,2

other 621.559

10,3

-1,4

334.652

23,8

-2,4

A: Farming, forestry and fishing B, C, D and E: Mining, manufacturing quarrying

and

60 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

industry Of which: C: manufacturing 596.230

9,8

-1,6

331.344

23,5

-2,4

F: Construction

875.598

14,4

-2,1

552.460

39,2

-3,3

2.137.562

35,3

0,4

232.610

16,5

-1,5

127.508

2,1

0,8

11.734

0,8

1,7

activities

119.086

2,0

2,4

117

0,0

-3,3

L: Real estate activities

286.594

4,7

1,5

236

0,0

18,0

364.031

6,0

1,8

69.844

5,0

2,3

63.346

1,0

2,5

3.048

0,2

-0,2

services

301.150

5,0

0,5

191.362

13,6

-0,8

Activity n.e.c.

380.174

6,3

0,4

1.604

0,1

-22,6

Total

6.061.960

100,0

-0,5

1.407.768

100,0

-2,1

G, H and I: Wholesale and retail trade, transportation and

storage,

accommodation and food service activities J:

Information

and

communication K: Financial and insurance

M and N: Professional, scientific,

technical,

administration

and

support service activities O, P and Q: administration,

Public defence,

education, human health and social work activities R, S, T and U: Other

* Total number = 100 The sectors in which the craft enterprises face more difficulties than the others can be recognized in the table n.3. They are the industrial, construction and restoration sectors.

Overall enterprises and artisan enterprises by region (absolute values, growth rate and percentages). 2012 61 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Region

Enterprises Total*

Artisan enterprises*

Percentage

N째 (a)

N째 (b)

(b/a)

Growth rate

Piemonte

461.564

-1,3

133.134

-1,8

28,8

Valle d'Aosta

13.896

-0,2

4.121

-2,3

29,7

Lombardia

952.013

-0,3

263.955

-1,4

27,7

Trentino A. A.

109.632

-0,4

26.758

-0,5

24,4

Veneto

500.011

-1,1

139.129

-1,9

27,8

Friuli V. G.

108.530

-1,0

29.786

-1,9

27,4

Liguria

167.225

-0,2

47.634

-0,4

28,5

Emilia Romagna

472.849

-0,6

140.305

-1,7

29,7

Toscana

416.154

-0,3

114.135

-2,4

27,4

Umbria

96.138

-0,1

23.372

-2,0

24,3

Marche

176.555

-0,6

50.065

-1,1

28,4

Lazio

615.736

1,2

102.529

-0,2

16,7

Abruzzo

150.548

-0,5

35.147

-2,9

23,3

Molise

35.237

-0,7

7.417

-1,8

21,0

Campania

561.084

0,7

74.257

-1,2

13,2

Puglia

383.592

-0,6

76.668

-1,4

20,0

Basilicata

60.935

-1,0

11.581

-2,1

19,0

Calabria

179.126

-1,0

36.122

-2,1

20,2

Sicilia

463.525

0,0

82.388

-1,3

17,8

Sardegna

168.808

-0,4

40.098

-2,6

23,8

ITALIA

6.093.158

-0,3

1.438.601

-1,5

23,6

2013: Region

EnterprisesTotal

Artisan enterprises

Percentage

N째 (a)

N째 (b)

(b/a)

Growth rate

Piemonte

454.613

-1,5

Growth rate

129.755

-2,5

28,5

62 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Valle d'Aosta

13.544

-2,5

4.055

-1,6

29,9

Lombardia

949.631

-0,3

258.739

-2,0

27,2

Trentino A. A.

109.366

-0,2

26.546

-0,8

24,3

Veneto

493.176

-1,4

135.838

-2,4

27,5

Friuli V. G.

107.418

-1,0

29.445

-1,1

27,4

Liguria

164.901

-1,4

46.017

-3,4

27,9

Emilia Romagna

468.318

-1,0

137.108

-2,3

29,3

Toscana

414.563

-0,4

111.298

-2,5

26,8

Umbria

95.493

-0,7

22.748

-2,7

23,8

Marche

175.617

-0,5

49.081

-2,0

27,9

Lazio

622.221

1,1

101.504

-1,0

16,3

Abruzzo

149.334

-0,8

34.080

-3,0

22,8

Molise

35.019

-0,6

7.201

-2,9

20,6

Campania

561.732

0,1

74.175

-0,1

13,2

Puglia

380.243

-0,9

74.729

-2,5

19,7

Basilicata

60.260

-1,1

11.370

-1,8

18,9

Calabria

178.789

-0,2

35.161

-2,7

19,7

Sicilia

459.967

-0,8

80.115

-2,8

17,4

Sardegna

167.755

-0,6

38.803

-3,2

23,1

ITALIA

6.061.960

-0,5

1.407.768

-2,1

23,2

* Number of enterprises enrolled in the administrative registers of the Chambers of Commerce

The tables above refers to the distribution of the craft enterprises on the basis of the productive sector in which they are inserted (table n.3).

63 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Size (employment, employees, finance, ...)

A statistical summary (2012) Micro-enterprises with less than 10 employees: 4,583,109 (94.6 % of total enterprises) Enterprises with less than 20 employees: 4,745,818 (97.9% of total enterprises) People employed in enterprises with less than 10 employees: 8,934,494 (51.0% of total employed people) People employed in enterprises with less than 20 employees: 11,067,483 (58.9% of total employed people) Total sales of enterprises with less than 20 employees (2011): 1.140 thousand millions euros Small enterprises (up to 50 employees): 4,814,054 (99.4% of total enterprises) People employed in small enterprises (up to 50 employees): 13,097,744 (74.8% of total employed people) Artisans enterprisesâ&#x20AC;&#x2122; incidence on the total number of enterprises: 23.8% Social incidence of crafts enterprises: 24.7 craft companies every 1,000 inhabitants; Artisan entrepreneurs: 1,945,731, of which 1,780,387 owners and 165,344 partners Female artisan entrepreneurs: 375,731 (19.3% of total), of which 306,718 owners and 69,013 partners Young artisan entrepreneurs (under 35):358,328 (18,4% of all artisan entrepreneurs), of which 69,912 women. People employed in craft sector: 1,547,962 People working in craft enterprises: 3,210,793 (18,3% of total workers) Average size: 2.6 employees Artisan enterprises value added: 175.6 thousand millions euros (12.8% of national value added) Artisan enterprises exports (2012): 25,9 thousand millions euros (9.1% of national total exports)

2012: Legal form

Registrations Cessation

Balance

Stock *

Growth rate (%)

64 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

2012

2011

Enterprises total

383.883

403.923

- 20.040

6.093.158

- 0,3

Capital companies

76.337

55.657

20.680

1.411.747

1,9

2,5

Partnerships

40.880

55.349

- 14.469

1.133.660

- 1,5

One-man companies

254.194

282.367

- 28.173

3.337.587

- 0,8

- 0,4

Other

12.472

11.550

922

210.164

0,5

- 1,2

of which: artisan enterprises Total

100.313

122.899

- 22.586

1.438.601

- 1,5

- 0,7

Capital companies

5.396

3.979

1.417

59.997

4,6

6,5

Partnerships

10.118

14.445

- 4.327

252.039

- 2,2

- 1,7

One-man companies

84.318

104.026

- 19.708

1.121.994

- 1,7

- 0,8

Other

485

449

4.571

0,7

0,6

Balance

Stock *

Growth rate

2013: Legal form

Registrations Cessation s

(%) 2013

2012

Enterprises total

384.483

414.970

- 30.487

6.061.960

- 0,5

- 0,3

Capital companies

83.972

53.182

30.791

1.443.732

2,3

1,9

Partnerships

34.212

54.153

- 19.941

1.111.735

- 1,9

- 1,5

One-man companies

244.925

295.437

- 50.512

3.287.456

-1,5

- 0.8

Other

21.374

12.179

9.175

219.037

4,2

0,5

of which: artisan enterprises Total

92.853

123.685

- 30.832

1.407.768

- 2,1

- 1.5

Capital companies

6.213

4.262

+ 1.951

62.809

4,7

4.6

Partnerships

9.579

14.843

- 5.264

245.912

-2,4

- 2.2

One-man companies

75.616

104.100

-27.584

1.094.421

- 2,5

- 1.7

Other

545

480

4.626

1,2

0,7

* Number of enterprises enrolled in the administrative registers of the Chambers of Commerce 65 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Another significant aspect deals with the diversity of the percentage quota regarded for the 20 Italian regions. Table n.2. Shows an obvious diversity between regions like Campania where the incidence of the craft enterprise over the total enterprise is equal at 16.3% and regions like Valle dâ&#x20AC;&#x2122;Aosta and Emilia Romagna where the value of the percentage is around 30%.

3 The "issues" of a good sounded sustainable economy

Italian craft enterprises and the challenge of sustainability Small enterprises, particularly small craft enterprises, are considered natural candidates to develop productive and cultural processes allowing the strengthening of the economic, industrial and civil saving system and the diffusion of the production of sustainable energy from renewable resources. Small enterprises can indeed rely on the capillarity, the presence of high skills all over the national territory and the network of users-clients able to shift individual savings on a very wide scale. That is why it is natural to think that characteristics such as quality, experience, professionalism and development of the territory, which are in the DNA of the craftsmanship, have to be fostered and supported. These are strategic features in the sense that they are fundamental resources for a growing and wellfunctioning economy and because innovation is less and less the result of isolated enterprises which have purely contractual relations with their workers, suppliers and clients: as it is repeatedly highlighted, the innovative process highly depends of the capacity of coordinate different subjects in the framework of projects and shared objectives. In fact, innovation always has represented the real engine of growth and the instrument of competitiveness between countries compared to costs, the availability of raw materials and geographical location. Over the last two hundred years innovation has aimed to reduce the amount of work.

Here two examples: 1) The Club of the Energy is a site developed by the CNA of Bologna, with the participation of the local Chambers of Commerce Industry Craft and Agriculture, which provides useful information about: -

Clean energy technologies, stating potential savings, fields of application, costs and other elements of interest.

Various tools for economic support (financing, fiscal subsidy or others) now available to support the diffusion of those technologies. 66

For the craft enterprises and for the SMEs, but also for the families, the energy cost calls into question its development. The craft enterprises have to face the following challenge: the economic systems that will come out reinforced from the crisis and that will succeed to guarantee environmental development and compatibility will be the ones that will invest for the development of clean technologies and ecologic infrastructures, renewable energies, energy efficiency, savings and in the meantime will spread those virtuous behaviours. That is why Italy and especially the associations which represent the craft enterprises support more and more the creation and the development of enterprises in the sectors of environmental sustainability, energy saving, production of renewable sources of energy, and waste recycling. Some relevant examples are the creation of the Club of Energy in Bologna; the project highlights the amount of energy consumption of every single unit (family or firm) with the aim to reduce energy consumption through “auto production” technologies of the thermal, electric and/or functional energy 1) PV plants are property-sharing systems of renewable energies that even the ones who don’t have the possibility to settle can use. Basically the project is based on the idea of sharing between various investors (especially users who don’t have an adequate residence or who live in a historical centre) of a photovoltaic installation in which the public authorities commit to find a useful site for the community and adequate to the creation of the installation and in which private investors get involved into the construction. 2) Green construction in Treviso, an experimental project supported by an agreement protocol signed in 2007 by the Province, Chamber of Commerce and District of Green construction, extended in the following years until the establishment in June 2010 of a specific consortium for the development of the biologic construction with the following aims: - Adoption and diffusion of a methodology of standard certification to create an internationally relevant scientific organisation. - Certification of the agencies and operators providing applicable buildings/solutions in the area of sustainable construction, and also the training of quality engineers. - Diffusion of quality trademark to the sustainable buildings, named EDILBIOCERTO, under the guarantee of the Territory for all the operators involved

67 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

An even more well-structured, complex and relevant example is the one of the Parco Agricolo Sud of Milano with its two network models of organisation for the sustainable and homogeneous territorial development. This part of Lombardy is the starting point of an agreement between craft and agricultural enterprises sharing the idea that the collaboration between the firms of a homogeneous territory can appraise the business activity through the inclusion of practices of territorial development in a daily operational context. It can also have an impact on the inner processes of the involved participants and increase the amount of knowledge referred as a “positive summary” of everyone’s contribution. Therefore the ReteParcoSud project has started a path of optimisation of the supply of network characterised by an intense activity of debates and exchanges between the craft enterprises of the sustainable energy and the agricultural sectors of the Parco Agricolo Sud Milano about very relevant and critical aspects of the collaboration and development of common and shared proposals in a logic of “territorial capital”. The project has decided to address the Lombard craft enterprises to foster the construction of a network with the goals of a common market, provision of services to the agricultural world of the Park (P.A.S.M or Parco Agricolo Sud Milano) and the cration of an innovative methodology of cooperation and attention to the territory. Therefore the indirect recipients of the ReteParcoSud project have become the agricultural firms, already living in the Park and more generally the territory of the park and its consumers/users.

The opportunities given by a project such as the one of the Parco were an experimentation of new collaboration methodologies are oriented to initiate new synergies in order to activate a virtuous circuit of mutual advantages either between craft enterprises or between craft and agricultural enterprises.

Some specific objectives were particularly pursued to make different operation for the craftsmen possible.

Creation of a collaborative network between the craft enterprises

Development of services and products specifically thought for the agency from the Parco Agricolo Sud Milano

Collaboration with the agricultural agency into new entrepreneurial, cultural and environmental projects

Esteem of the Parco Agricolo Sud Milano and of the important environmental, social and economic patrimony of the Milanese territory 68

Construction and purchase of the network of agricultural and craft enterprises

Qualification of the supply of services and products

Achievement of an online platform to support the network

Actions of communication and marketing.

From all the firms being part of an operational network, the â&#x20AC;&#x153;Art professionâ&#x20AC;? firms were the most positive towards the possibility of collaboration and the exchange of strategic knowledge and skills. Some of them even participated in the environment of the association Arteinfiera to the fair "Fiera Fa La Cosa giusta" and are planning common activities for the development of innovative products. A common proposal about agritourism and the theme of furniture and accessories of furniture has been particularly developed and has for result a value of the territorial specificity and the creation of a unique experience.

4 Polity and Policies What policies for crafts?

A careful analysis of every case mentioned in the previous section instructs that a sustainable policy concerning craft enterprises must intend to reach an important economic or cultural impact. The cultural basis of the work must be rebuilt, taking care of the themes of the environmental sustainability, prevention and respect of the counsel of the territory rules. Some measures are necessary to reach such goals: 1) The reinforcement of the existing measures (energy certificates, white certificates, fiscal deductions) which must establish fully operational behaviours and procedures. 2) The creation of a fund aiming to support the research and innovation of the PMI with simplified itineraries to guarantee the introduction and the transfer of experimental research. 3) The introduction of awarding path (through easy procedures, overcome legal obstacles etc.) to favour the production, commercialisation and use of products for life quality improvements and allow minor energy consumption.

This will help enterprises exploring integration among different sectors and areas with the aim to multiply business opportunities and facilitate in equipping with innovative tools necessary to operate in a critique and unfavourable market. 69 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

As has been observed â&#x20AC;&#x153;the return of territorial centrality in the production of wealth and the creation of competitive advantages (so that sustainable during time) plays an important role in the identification of an innovative sustainable Italian model. Is not the territory in its generic sense, but the one characterised by specify and unicityâ&#x20AC;? This territory increasingly assumes the forms of cities and productive city, within which the craft craftsman takes on a typical and distinctive role. It is no coincidence that as always, in the workshop production, research and education have always been closely linked. Moving the attention to sustainability, the initiatives of craft business can undertake major changes. Firstly the research of sustainability, of an interdependent equilibrium between enterprises, societies, finance and territory and secondly responsibility towards others and towards their social and natural environment are ways in which you became aware of the negative effects of markets left without adjustment and of individuals willing to pursue private interests.

The challenge is the configuration of systems capable of reproduction in space and time, systems that make their own culture and rules of sustainability, the sense of limits, the complexity and interdependence of the environment in which they are inserted, in a horizon of possibilities and constraints.

In this direction sustainability is not optional but the horizon of an aware and healthy economy. Sometimes we lost this horizon but it has profound roots in our culture: 2000 years ago Marco Aurelio warned: "each action and thought produce social bonds and the strength of this bonds and cooperation is the only strength that can redeem mankindâ&#x20AC;?. The meaning of the power that Italian craft business wants to re-conquer pointing firmly towards the shores of sustainability, energy balance and, more generally, innovation also in the manner of access to educational processes.

70 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN PORTUGAL

71 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

1 What "vision" of crafts Traditional arts form an important element in the life of communities since they provide a clear witness to a series of expressions, knowledge and techniques that, more often than not, are born out of and developed through an intimate relationship with the surrounding environmental, cultural and social context. Traditional arts materialise, therefore, as subjects of a particular area, taking on and integrating with their surrounding environment, thereby permitting a deeper and more precise understanding of the way of life in these communities. This linking to a specific regional context gives arts and crafts an identifying cultural stamp that is important to emphasise since it is this characteristic that distinguishes them from undifferentiated industrial products. Traditional arts therefore possess an intrinsic cultural value which constitutes, precisely, their competitive advantage in relation to mass-produced goods destined for mass-consumption.

This cultural asset is especially evident in areas where the natural environment has its greatest impact, as is the case with the municipalities which fall within the area of intervention of ADERE – Peneda Gerês, namely Ponte da Barca, Arcos de Valdevez, Montalegre, Melgaço and Terras do Bouro. In these areas the exploration, the use and dynamics of the surrounding natural environment acquire a fundamental status. In fact, the very survival of these rural communities depends on this. It is this dependence which makes arts and crafts acquire, in these areas, an even stronger connection with the surrounding conditions and thereby have an enormous potential that needs to be appropriately explored.

From this comes the need to have a full picture of the arts and crafts activities currently existing in the area of intervention of ADERE – Peneda Gerês (Melgaço, Terras de Bouro, Ponte da Barca, Arcos de Valdevez and Montalegre). Only in this way will it become possible to put forward concrete proposals for interventions designed to stimulate the arts and crafts sector in the region, taking as the start point its competitive benefits and turning it into a sector of socio-economic and cultural relevance. National policies for incentives, promotion, protection and development of craft activities are relatively recent and so as yet there has been little reflection from their application.

72 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

According to Decree-Law n.º 41/2001, of 9th February, altered and republished as Decree-Law n.º 110/2002, of 16th April, craft activity is understood to be any “economic activity of recognised cultural and social value which involves the production, restoration or repairing of goods having artistic or utilitarian value, of traditional or contemporary origin, and the provision of services of a similar nature, together with the production and traditional preparation of foodstuffs”. Equally an artisan is understood to be “a worker who exercises a craft activity, dominating a group of inherent skills and techniques, which demand a strong aesthetic sense and manual ability”. The craft has an inseparable relationship with the territories they come, reflecting their characteristics and differentiating them, constituting, as a whole, an identity factor of the country that it is to preserve and promote.

Innovation and skills of craft production and the craft sector come from the learning process with craftsmen, graduates, designers, public bodies, local development agents, cultural promoters and transnational partners. This long and fruitful formative inducing activity of innovation and modernity in the arts and crafts in Portugal creates a new generation of artisans who combine ancient production processes with new techniques and new designs,

reinventing

forms

and

creating

new

uses

for

objects.

2 General characteristics of the artisan entrepreneurs Age The results of the age of the artisans, by municipality are as follows: 



Terras de Bouro 

30 / 39 years – 3



40 / 49 years – 8



50 / 59 years – 4



60 / 69 years – 4



70 / 79 years – 1

Montalegre 30 / 39 years – 1 40 / 49 years – 3 73

50 / 59 years – 3 60 / 69 years – 3 70 / 79 years – 4 80 / 89 years – 4 90 / 99 years – 2 



Arcos de Valdevez 

30 / 39 years – 3



40 / 49 years – 5



50 / 59 years – 5



60 / 69 years – 2

Ponte da Barca 40 / 49 years – 4 50 / 59 years – 1 60 / 69 years – 1



Melgaço 

50/59 years – 1



60/69 years – 2



70/79 years – 1

In total, the age distribution can be summarised as follows:

7 artisans between 30/39 years

20 artisans between 40/49 years

14 artisans between 50/59 years

12 artisans between 60/69 years

6 artisans between 70/79 years

4 artisans between 80/89 years

2 artisan between 90/99 years 74

Thus, the majority of artisans identified to date are found in the 40 to 49 years age group. The second largest group is that with artisans aged between 50 and 59 years and, in third place those in their 60â&#x20AC;&#x2122;s. Also apparent is the sharp decrease in numbers of artisans who are aged between 40 and 49 years compared with those aged between 30 and 39; there are 13 less in this latter group. This fact, together with the inexistence of artisans below 30 years of age, raises concerns about the future of traditional arts and crafts in these municipalities, at least within the current development patterns.

Qualifications Most of the artisans have a low qualification: they are mostly older people who started working very young. The higher qualifications belong to the younger people. We can see these qualifications in the graph below:

Professional history The art of the craftsmen was passed from parents to children. At least one of the children continued with the activity of the parent. They started the activity very young and with a low qualification. The art was learned as the graph below shows:

Few years later, younger people started to be not interested by these arts and to seek others jobs and to get a higher qualification. Some of the artisans had difficulty in continuing their activities because they didnâ&#x20AC;&#x2122;t have people interested in learning their art. Nowadays, the lack of jobs has led people to look for employment within the craft activities with people searching artisans or training centre to learn more about the craft.

Perspectives: growth targets (or others objectives?) Most of ours artisans work alone; the firm is just one person, so they donâ&#x20AC;&#x2122;t have big strategic objectives or higher targets to aim for. They want to sell their work in local or national fairs and have a few orders throughout the year. Some of the expectations of local artisans are: 75 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

- Greater promotion of the products and their producers (artisans) by the local authorities; - Support for artisans in the areas of information access and training; - Bringing to the attention of artisans new markets and the current product requirements; - Support for the commercialisation of handicraft products; - The development of training programmes for young residents in the area, helped by the artisans.

Local artisans develop their work mostly in home. They have a small workshop in their own home. In other instances they have local craft associations or craft centres where they can work and exhibit their work.

Traditional arts can and should function as agents for community and territorial development. They generate employment, stimulate local commerce and serve as an element of tourist attraction (increasingly, tourists seek natural environments and endogenous products, taking ever more interest in the background stories and the way of life of the local producer).

The majority of artisans, within their area of experience, exercise various activities and, as a consequence, the total sum of the figures indicated for the various activities are higher than the actual number of existing artisans.

In terms of distribution by municipality of the various craft categories the results are as follows:

Terras de Bouro 



Textile arts and crafts -18 o

Embroidered articles – 15

Weaving – 8

Lace articles -6

Manufacturing of utensils and other items in wood – 2

Montalegre 

Textile arts and crafts -10 o

Weaving -5 76

Embroidered articles – 2

Lace articles -1

Linen dolls – 1

Finished textile articles for the home – 1

Manufacture of clothing accessories -1



Manufacturing of utensils and other items in wood – 3



Straw cape craft – 3



Stonework arts and crafts – 2



Figurine ceramics – 2



Metalwork arts and crafts -1

Arcos de Valdevez 

Textile arts and crafts – 10 o

Embroidered articles – 7

Weaving – 3

Lace articles -3



Manufacturing of utensils and other items in wood – 3



Restoring concertinas and accordions – 1



Metalwork arts and crafts – 1

Ponte da Barca 

Textile arts and crafts – 6 o

Lace articles -5

Embroidered articles – 4

Melgaço Textile arts and crafts – 3 

Weaving – 2



Manufacture of clothing accessories -1



Clothing manufacture -1



Embroidered articles -1 77

Manufacturing of utensils and other items in wood – 1

These results demonstrate clearly the predominance that textile crafts (above all weaving, embroidery and lacework) have in this region. In total there are 47 artisans who are working in this area of crafts. The second principal activity is the manufacturing of utensils and other items in wood, occupying 9 artisans, all male.

The following are the totals by activity:

Textile arts and crafts – 47 Manufacturing of utensils and other items in wood –9 Straw cape craft –3 Figurine ceramics –2 Stonework arts and crafts –2 Metalwork arts and crafts -2 Restoring concertinas and accordions –1

If we attempt to make a division based on gender by municipality the results point to a clear predominance of females:

Terras

de Montalegre

Bouro

Arcos

de Ponte

Valdevez

Barca

da Melgaço

Total

Males

Females

In total there are 45 female and 20 male artisans. The predominance of females is clearly linked to the dominance of textile crafts (weaving, embroidery and lacework). In fact, only 2 of the females identified are not involved in textile crafts; one working in figurine ceramics and the other making straw capes. In this country and in particular in this region, craft industries demonstrate a fragile economic structure, with artisans generally belonging to the older age group, with apparent difficulties and inadequacies in the areas of commercialisation of products and professional training. 78 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Handicraft is based in familiar enterprises with just one or two workers. Sometimes it is a complement to the familiar economy, so they donâ&#x20AC;&#x2122;t have any organised finances. As familiar enterprises, some artisans donâ&#x20AC;&#x2122;t have a specific local to sell their work, so they use the local craft associations to show and to sell their work the main market channels are local fairs or national craft fairs. Local associations have a significant role in the promotion of the local craft, but are undoubted that the local and the national fairs are the best way to promote the handicraft. Some television programs are also an important way of promoting the local craft.

3 The "issues" of a good sounded sustainable economy The regulatory norms relating to the process of recognition of Artisans and Craft Production Units, together with the definition the Catalogue of Craft Activities and the National Craft Registry established in 2001, only saw the light of day at the end of 2003 through Decree 1193/2003 of 13 th October. The lack of awareness of this process as well as the disinterest of some artisans who continue to prefer individualism to the spirit of class, has lead to the situation where, in the 5 municipalities covered by the report, only 8 Craft Production Units have been identified as registered in the National Craft Register (2 in Terras do Bouro, 2 in Arcos de Valdevez, 3 in Montalegre, 1 in MelgaĂ§o and 0 in Ponte da Barca). Other process of recognition of artisans is the recognition of merit, for the elder craftsmen who have a remarkable work.

4 Polity and Policies The artisans of our territory do not have sufficient scale to have significant dissemination and promotion. They realised that it is important to come together to have scale, they make organisations or associations to promote them in others markets, especially in outside markets. It is only possible to preserve and protect that which is known. Thus, the identification of the artisans, their production facilities, the craft activities and sales outlets existing in the area becomes fundamental. Only in this way will it be possible to confer greater visibility on local production and products, making better use of them and thereby contributing to their recognition, preservation and development. This factor will also contribute towards the definition and adjustment of incentive policies for the sector and to fine tune local development

79 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

strategies based on the strengthening of identities and differentiation of areas through their endogenous assets. The intention is to preserve and develop local crafts, support artisans and the development of quality handicrafts which can receive recognition further afield. There is an urgent need to find ways to secure the economic viability of the traditional arts, together with their preservation, thereby contributing towards the improvement of the living conditions of the artisans who carry out their activity within the various areas of the Peneda Gerês National Park. We can define as a basis for consideration and orientation, the need to: - Create new production and commercialisation strategies; - Count on the improvement of and innovation in production; - Create training courses in production, commercialisation and new design techniques; - Focus on the medium-high and high class consuming public, creating distinctive, high quality products (maintaining tradition); - Seek out new market outlets for local handicrafts; - Develop a marketing plan for handicraft products; - Develop promotional campaigns and try to establish partnerships with well-known brands; - Support the participation in trade fairs for the sector; - Create promotional material for local crafts; - Put artisans and designers into contact with each other, promoting technical support for them in innovative areas; - Carry out thematic visits with artisans to more developed production centres.

Concerning the two latter points, reference should be made here to the existence of successful cases within the area of Peneda Gerês National Park and which can serve as examples of good practice developed in the handicraft sector: ‘Pedras Brancas’ Association: with intervention in tourism, handicrafts and services, this association has developed a major work in the area of linen, contributing to the revitalisation of handicraft activities in the municipality of Terras de Bouro. It promotes various cultural and craft activities and carries out training programmes in the area of handicrafts, principally working with linen.

80 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

CRAFT AND SUSTAINABILITY IN UNITED KINGDOM

81 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

1 "Vision" of crafts

Crafts in the UK are not separated from other kinds of businesses: so, for example, the same health and safety laws apply as well as the same access to government support for all other SMEs. Contemporary Crafts receive government support through the Crafts Council. Building Crafts are only supported in England and receive government support through English Heritage. Conservation crafts receive government support through English Heritage, Historic Scotland, Cadw (Wales), Northern Ireland Environment Agency; and the Crafts Council, but traditional or historic crafts, which form the greatest part of crafts both in terms of number of craftspeople and in contribution to GVA have no recognition or support. Grants assistance from four governmental organisations listed above are mainly for the natural and built heritage, as well as associated crafts.

In legal and economic terms crafts are classified as any other business. Many craft enterprises are SMEs but more often than that theyâ&#x20AC;&#x2122;re even smaller micro-businesses. A lot of our makers consider it a huge step to hire even one employee. Therefore, despite the crafts sector lobbing of policy makers to ensure that crafts are considered alongside other creative industries, there is no particular regulation or protection from the government for this field.

In order to stay in the business British makers have to follow trends in innovation and become competitive in the creative sector. The Crafts Council promotes a better integration of labour market and universities to make sure that craftsman are aware and have access to appropriate education at all levels. A special emphasis is placed on vocational training and continuous professional development.

Who judges the crafts: consumers or citizens?

Due to the fact that crafts are qualified as any other businesses in the UK the sector is subject to the same mechanisms as a broadly understood selling market and therefore consumption and demand define the state

82 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

of crafts. However, craftsmen indicate a strong connection with local markets as well as tourism as important sources of income. 1.3 Institutions supporting the crafts sector; the number of supportive engagements in % Institution

Percentage

Crafts Council

19.5

Arts Council England

12.5

Arts Council of Wales

5.5

Craft Scotland

3.9

Creative Scotland

6.3

Craft Northern Ireland

0.0

Arts Council of Northern Ireland

2.3

Crafts Council of Ireland

0.0

Local authority

25.8

No support received

60.2

Note: Percentages based on 128 respondents Source: Craft in an Age of Change

2 General characteristics of the artisan entrepreneurs Age of craftsman in the UK (Scotland in brackets) Age band

Total (%)

Male (%)

Female (%)

16-24

1.5 (2.5)

0.6

1.8

25-34

12.7 (19.4)

7.5

14.6

35-44

20.8 (21.1)

19.8

22.1

45-54

25.1 (22.2)

22.3

27.4

55-64

25.5 (21.6)

28.5

23.9

65 and over

13.2 (10.2)

20.0

8.8

Decline to answer

1.3 (3.0)

1.4

1.5

Source: Craft in an Age of Change The dominant age band of people working in the crafts sector is 45-64 years old. Interestingly, younger (16-34 year old) artisans in the UK are mainly female this ratio changes around the 35-44 years of age band when male 83 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

artisans become the dominant group, growing steadily throughout elder age bands. In Scotland 31.6% of craftsmen are male and 68.4% are female, which reflects the general trend in the UK.

2.2 Levels of craft education (percentage of makers)

Source: Craft in an Age of Change Qualification Structure

Level 4 and No Qualifications

Level 1

Level 2

Level 3

above

11%

28%

23%

25%

Industries (UK)

14%

15%

59%

Total UK Economy

23%

21%

37%

Craft Total Creative and Cultural

Source: Creative Blueprint

Qualifications or training, including non-UK qualifications relevant to craft work (percentage) Art/design/craft degree at college or university (BA, BSc)

56.0

Art/design/craft postgraduate degree at college or university (MA/MSc/PhD)

20.2

Foundation course in art/design/craft

16.2

A level and/or O level/GCSE in art/design/craft

16.9

Formal apprenticeship

5.5

Working with experienced makers (not as formal apprenticeship)

6.1

Part-time and short courses

8.9

Adult education classes

5.9

Other craft training

13.8

N/A â&#x20AC;&#x201C; no training

15.5

Source: Craft in an Age of Change

84 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Craftsmen in the UK are predominantly holders of undergraduate and postgraduate degrees. Moreover, the majority of these craftsmen hold university degrees specialising in arts and crafts. The structure of qualification indicates that people working in crafts sector contribute a higher percentage against the total of the UK economy in each qualification level. Interestingly, the percentage of people without qualifications and those having level 1 is still smaller than other levels.

Professional history Training in business skills since starting crafts business Yes

42.7

Yes â&#x20AC;&#x201C; formal training

26.7

Yes â&#x20AC;&#x201C; informal training

20.8

57.3

Total

100.0

Source: Craft in an Age of Change

85 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Number of years trading Length of time trading in years

Percentage

Less than 5

20.5

5–9

20.6

10 – 14

14.8

15 – 19

10.2

20 – 24

8.5

25 – 29

7.2

30 – 34

7.0

35 or more

11.3

Average

Median

Source: BOP Consulting (2011) The majority of makers started their careers in crafts in 2000s (55.9%), with 18.7% starting in 1990s.

In accordance to the Craft in an Age of Change report, 50% of craftsmen did not choose craft as their first professional occupation. It means that many people came from other professions, often not related to crafts. However, 12% of those people were teachers originally. It should be noted that nursery and primary school teachers often introduce youngsters to manual work and crafts.

Perspectives on business development

Use new craft-making technologies

36.7

Use new or different materials

49.1

Develop new or different types of product

63.4

More collaborative or partnership working

39.7

Find new markets

58.5

86 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Work more with other sectors as a consultant or practitioner

28.1

Stop craft-making

5.6

Don't expect any change

8.1

Other

13.2

Source: Craft in an Age of Change

Expected change in craft-related sales over the next three years Change in craft-related sales

Grow considerably

17.2

Grow slightly

34.9

Stay steady

21.4

Decline slightly

7.6

Decline considerably

4.6

Unknown

12.8

Not applicable

1.5

Source: Craft in an Age of Change

Despite the general economic downturn in the UK and Europe craftsmen are positive about the future development of their businesses. In accordance to the statistics a significant percentage of craftsmen seek further development including technological expansion, development of new products and expansion over new markets. In many cases the fact that businesses are small and therefore flexible to economic fluctuations could mean that they adapt easier than larger businesses and industries. On the other hand, those businesses may struggle to expand due to relatively small capital available for investment. In many cases business expansion depends on entrepreneurial skills deriving from continuous professional development, which is not highly popular amongst craftsmen.

87 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Business form and size Business form

Percentage

Sole trader

87.7

Partnership

5.8

Limited liability partnership

1.8

Private company limited by shares

2.9

Private company limited by guarantee

0.1

Co-operative

0.4

Other

1.3

Source: Craft in an Age of Change Most craft-making businesses are classified as small and only 13 in 1,847 surveyed makers stated that employ five or more people. Localization (at home or not)

Location

Percentage

Formal workshop on home premises

44.6

Space in room(s) in own home

21.3

Individual workspace: owned

17.3

Individual workspace: rented

3.5

Shared workspace: rented

7.7

At home

Away from home

88 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Shared workspace: owned

0.7

Other Source: Craft in an Age of Change

Sector

In the case of the UK the sector can be analysed from the perspective of the entire union or of the individual countries which are a part of it: England, Scotland, Wales and Northern Ireland. For the purpose of this report the main emphasis is on the UK and in some cases Scotland. However, this section gives a general idea of how each UK’s country performs in the area of craftsmanship market.

General labour/economic statistics

Wales

Northern Ireland

England

Scotland

Population (mln)

3.1

1.8

53.9

5.3

GVA per head (££)

15,401

16.127

21,937

20,013

Share of the UK GVA (%)

3.4

2.1

84.8

7.7

Labour productivity

85.2

82.8

101.5

97.4

Employment rate (age 16-64)

70.0

67.8

72.9

73.5

Number of businesses per 10k adults

753

785

984

740

Source: Office for National Statistics GVA of creative industries and ‘Blue Book’ sectors (%change), 2008-2012 89 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Source: Modern Makers. An industrial strategy for the creative industries. Institute for Public Policy Research (2014).

90 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

GVA of the creative industries (%change) in 2009-2012

Source: Modern Makers. An industrial strategy for the creative industries. Institute for Public Policy Research (2014).

Number and income of crafts businesses

Country

Income in ÂŁÂŁ mln

Number

Wales

1,500

Northern Ireland

1,050

England

339

17,150

Scotland

3,350

Source: Craft in an Age of Change 91 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Craftsmen income in each UK’s country Country

Income in ££

19,827

Wales

18,594

Northern Ireland

18,925

England

19,774

Scotland

20,920

Source: Craft in and Age of Change (2012)

Makers’ profile by country

Profile

England

Scotland

Wales

Northern Ireland

Craft careerists

38.8

33.2

38.1

Career changers

25.9

31.6

35.4

29.4

Returnees

23.8

17.5

21.2

18.1

Artisans

11.6

12.2

10.2

14.4

Source: Craft in and Age of Change (2012)

Type of crafts sold 92 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Craft

Percentage of retailers

Ceramics

78.9

Jewellery

75.8

Textiles

53.1

Glassware

51.6

Other

41.4

Paper, books and stationary

21.1

Furniture

18.0

Stoneware

17.2

Graphic craft

11.7

Interior and exterior fittings

8.6

Toys and automata

8.6

Source: Craft in and Age of Change (2012)

Market channels

Profile

% of makers that % of makers that % of makers that % sell their work use online

makers

digital have change their whose work has

technology

on practice due to been sold to a

making

or environmental 93

designing

concerns

public collection

Craft careerists

39.3

42.7

34.1

37.3

Career changers

30.2

28.6

28.8

15.1

Returners

36.3

35.9

30.8

31.5

Artisans

32.6

29.6

30.2

26.7

Total

35.3

35.8

31.4

28.6

Source: Craft in and Age of Change (2012)

94 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Selling channels and marketing/promotion

Channel

Through a gallery or shop

92.2

Through your own website

32.8

Through other websites

5.5

Through social media

4.7

Through other direct mail

4.7

Through craft fairs

8.6

At events or festivals

13.3

At courses or workshops you run

2.3

Other

4.7

Source: Craft in and Age of Change (2012)

Online selling channels Channel

% of users

Through businessâ&#x20AC;&#x2122; website

29.8

Through a third party website

12.7

Through social media

3.0

Source: Craft in and Age of Change (2012)

3 Changes in environmental practice Changes in environmental practice

% of makers changing 95

practice Source more environmentally sensitive of sustainable materials

51.5

Use more environmentally sensitive or sustainable production processes

32.8

Choose local suppliers to reduce transport miles

20.3

Choose suppliers with more environmentally sustainable practices

11.1

Choose distributors/retailers with more environmentally sustainable practices

7.0

Recycling

4.5

Other

15.5

Source: Craft in and Age of Change (2012)

4. Polity and Policies

Crafts form one of the nine of creative sectors defined by the Department for Culture, Media & Sport:

• Advertising and marketing. • Architecture. • Crafts. • Design: product, graphic and fashion design. • Film, TV, video, radio and photography. • IT, software and computer services. • Publishing. • Museums, galleries and libraries. • Music, performing and visual arts.

96 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

4.1 The UK creative industries

Source: Modern Makers. An industrial strategy for the creative industries. Institute for Public Policy Research (2014).

4.2 What policies for crafts? The Crafts Council elaborated four key messages, which aim for improvement of crafts in the UK. They form the basis for lobbying on behalf of crafts sector and were developed in close collaboration with the sector itself. 1. Creativity and making must be a central part of education 2. Extend the Government’s Growth Voucher scheme (currently for 2 years) to provide microbusinesses with “soft support”, which is critical for crafts aiming for further development and business innovation. 3. Increase entrepreneurship education in schools, colleges and universities. 4. More support for micro-employers to start apprenticeships.

97 This project has been funded with support from the European Commission. The newsletter reflects the views only of the author, and the Commission cannot be held responsible for any use which may be made of the information contained therein. 2013-1-IT1-LEO04-4220 1

Appendix The Craft and Sustainability Research in Bulgaria is not available at the moment

Project n. 2013-1-IT1-LEO04-4220 1

Confederazione Nazionale Atigianato Umbria ITALY Confederazone Nazionale Artigianato Piemonte ITALY

UniďŹ ed commerce-industry & professions-crafts GREECE

Edinburgh World Heritage UNITED KINGDOM

Chamber of Commerce & Crafts

CZECH REPUBLIC

ADERE - PG Peneda Geres PORTUGAL

Local Development Agency

CROATIA

Second Chance Association

BULGARIA