Leaders in the Cultural Sector in Europe and the UK - Essay Example

Identify and analyze the skills and knowledge needed for effective management within the Cultural Sector (30.11.11) Introduction Leaders in the cultural sector in Europe and the UK in particular have become conscious of the large scale cultural changes that have been taking place in recent times, because of which an urgent need has arisen for the acquirement of new skills in managing the sector. Change management has now become a common agenda during symposiums and seminars, while a large number of reports, articles, papers and books have been published in referring to the new systems that can be adopted in administering the cultural sector. It cannot be denied that over time, the increasing creativity amongst human beings has led to the development of a successful and vibrant cultural sector. Researchers have rightly pointed out that some forms of art take priority in every age and the objectives served by art will keep changing with the changed meanings and aspirations related with them. Given that the arts have been created, managed and distributed in varied ways in different times, it is logical to assume that the skills and management systems required for managing the sector also need to be changed and facilitated with the acquirement of new skills and competency levels. This paper will identify and analyze the skills and knowledge needed for effective management within the cultural sector. Effective management in the Cultural Sector It is important to understand the main concerns of managers in the cultural sector in terms of the worth that is carried about cultural services and artistic goods. The issues arise whether these managers have to realize their own cultural or artistic aspirations, whether they are prepared to convert dreams into reality and whether they have the ability and competence levels and skills to make such achievements. It is considered by experts that in view of the nature of their work, managers and supervisors working in the cultural sector do have a genuine desire to create a better cultural experience in society. They are mostly committed to cultural work and the outcomes and to the effects and values of culture in society. Cultural leadership concerns doing the right things, but it is unfortunate that most managers in such establishments are unable to fulfill their aspirations in view of the shortcomings relative to having inadequate knowledge about the actual aspects of the production of art and cultural programs. There is a major misunderstanding amongst management leaders in the cultural sector as they focus their efforts mostly on marketing the cultural productions to create huge events, instead of organizing more accessible programs to allow the masses to have a taste of programs relative to their own culture as well as programs relative to other cultures. In effect, in today’s environment, an efficient cultural management center is characterized as one that transforms a cultural center into a virtual shopping center. What society needs today is a cultural manager who thinks and is characteristic of being more reflective than just a cultural professional. The Transforming Cultural Sector According to Radbourne (2000), culture and the arts are crucial for the developed nations of the world that are now changing from information based systems towards systems that are increasingly being based on creativity. In view of the changes happening in the arts systems and world systems, related policies have broadened in encompassing higher, more popular and un-incorporated art forms, irrespective of whether they are commercial or non-commercial. Policies have also deepened to incorporate several issues relating to the actions of varied disciplines of art that are included in a number of government agencies and departments in terms of dealing through policy initiatives. It can be argued that management of the cultural sector has become considerably aware of the need to alter the ways in which they function within the current framework of policy. Across the entire cultural sector, activities have expanded in terms of being limited within the nation because there is now increasing focus on a combination of national and international activities. Such patterns are particularly observed in cultural fields such as preservation of cultural heritage, issues of intellectual property rights and global touring and presentations. However as yet there is no indication of what course policy initiatives will take in the components of this group of upcoming policy paradigms (Wyszomirski, 2002). A major component of the new cultural pattern appears to be the increasing role of communities in developing culture through urban growth, community development, education, generation of new social capital and audience convenience. It is rightly said by Cliche (2001) in this regard that the concept of creativity, control and administration in the context of cultural management has now assumed more significance than just creation of art because the foundation of art is now viewed as comprising of social, academic, political and economic development. Therefore, the concept of culture has now become more open, which means that a large number of decision makers have to be involved, such as managers and promoters that can assist in forming, producing, distributing, preserving, managing and consuming culture at different levels in society. This also means that several organizations and governance frameworks are needed to sustain such a broad system of management. The characteristics of the newly emerging cultural policy patterns in countries such as the UK as well as other developed nations cannot be specifically defined presently. At the same time, it can be expected that different areas of activity in the cultural sector will require the inclusion of new measures and skills relative to global diplomacy, national policy and organizational management. It is known that the involvement of skilled professionals as well as organizations in the sector is increasing by including policy initiatives in all these areas, which is evident from the proactive measures that have been adopted by way of cultural identities, national identities, heritage, political influence and entrepreneurship. Project Management in the Cultural Sector There is a vast difference between managing projects and project management in the cultural sector because when reference is made to the cultural field, it is found that during the last twenty years all activities in the sector were gradually perceived as projects, obviously to the frustration of art leaders who feel they have a responsibility in coming out with programs relative to well supported cultural organizations. Nevertheless, it is true that any one program is developed through the involvement of several projects. Cultural policies in many countries have been placing comparatively impressive and extravagant projects in the forefront instead of well managed frameworks and infrastructure. It appears that the thought patterns that focus more on a project priority are able to meet short term objectives of policy more effectively, specifically if it is not known how cultural organizations will be financed. Project management is an effective means to manage big and log term projects in the cultural sector because it allows the use of accurate and clear procedures and methods in addition to assuaging the creativeness and innovativeness of projects and furthering uniformity in them. It is thus beneficial to use appropriate project management tools after ascertaining what actually works in the cultural sector. The idea is to energize, inspire and facilitate development, learning and performance of the audience, stake holders and those that are directly involved in the programs. Weaknesses in Management of the Cultural Sector There are many weaknesses and mistakes that characterize cultural management across Europe, particularly in the UK. During the time when cultural management was developed in the UK almost twenty years ago, the practice was to utilize varied management tools and processes. In fact, cultural management programs did not create their own distinct management procedures and approaches. Academic programs in the sector did not analyze management subjects critically, relative to the unique character of the cultural sector. Most of such programs adopted the normal business models that prevailed during the 1970s and 1980s. Cultural managers still continue to rely on management theories that were relevant during the 1980s when this profession was officially adopted. Presently, a new generation of leaders is developing relative to management of arts programs who are attempting to perceive old issues in new ways. They want to adopt cultural management programs and curriculum on a more scientific basis. But most of them have so far been able to perform only academically or to remain a part of only the back stage process. They now need to actually prove their worth through the management of cultural organizations. The gap relative to young cultural managers and young cultural producers has been gradually becoming larger and does not reflect in the current cultural management programs. The Change in Funding Requirements There is now increasing recognition that the cultural sector is an important part of society and that it deserves the same level of support from the government as other sectors. The extent of funding and financial assistance provided by the government in developed countries has been increasing consistently since the 1960s in keeping with the systematic growth in the government’s spending patterns relative to social programs. However, in the UK, the government resorted to large scale deficit financing of social programs during the 1980s and the cultural sector too came within the grip of this policy decision and the extent of funding was reduced considerably. According to Mulacahy (2003), the UK government’s subsidy to the cultural sector has been declining in recent years and many European countries have started looking for other sources of supporting the sector, such as encouraging the private sector to enter the sector. In comparison with the UK, the American government’s support for the cultural sector is stronger than before. However, in the UK, local arts associations have enhanced their involvement and demonstrated keen support in uplifting the country’s cultural infrastructures. Because of the current changes emanating from budget restrictions, government funds for the cultural sector have been considerably curtailed and the new system requires complying with newly established systems of adaptation and assessments. In fact, budget reductions and restructuring by the government in countries having a strong cultural heritage have forced the cultural sectors in these countries to lookout for new means of support. It has been appropriately held by Cummins et al (1997) that because of economic problems and political pressure, there has been a tendency for arts funding policies and cultural tools in developed nations to become integrated over the years. This pattern has appeared to become a policy measure in terms of sharing best practices and teaching managements in the sector that they need to adopt strategies so that they become self reliant in an increasing globalizing world, where government support cannot be always relied upon. The Arts Council England (2011) is a major funding organization in the cultural sector in the UK. It was launched in 2003 and supports the development of art through varied funding programs. It provides grants for the arts to individuals, arts organizations and individuals using the arts in their work. The objective of the organization is to assist engagement of people in England and assist artists and arts organizations in the country to continue with their work. The company provides grants to individuals ranging from £1,000 to £30,000 for meeting financial needs pertaining to projects and events, productions, research and development, marketing activities, purchase of equipment and audience development. The Arts Council England makes assessment for funding on the basis of different criteria such as the quality of the activity, how the public engages with such activities, how the activity will be managed and how realistic the activity is financially. Skills Required in Management of the Cultural Sector It is important to realize that new innovative strategies and originally conceptualized frameworks are needed in the areas of education and training in cultural management. Cultural managers need to interact more with young artists and cultural producers so that they get ideas of their perceptions and paradigms of art. They ought to conduct research on determining the current shortcomings and challenges faced by cultural producers and art managers. The rapid technological developments and additional need of funding sources are some of the challenges that have emerged in recent years. Of course, the biggest challenge is to find ways in which cultural organizations can realize their dreams through better cultural productions and through developing better frames of reference towards thinking patters in the context of producing art programs. A sense of community art has to be developed that deals with enhancing artistic activities in communities. New partnerships have to be created involving entities that have genuine interest in creating and realizing new dreams and uncovering new areas. A large number of opportunities can be tapped through virtual communities, stake holders in the virtual world that provide limitless opportunities of creativity. The interrelationships amongst the prevailing circumstances and the local context may entail specific capacities and skill levels relative to the specific local and national atmosphere. However, generally, it is understood that there are some basic management skills and knowledge levels required in effectively managing the cultural sector. Management of global cultural interactions require a specific level of competency level so that managers can negotiate effectively in matters relative to cultural tourism, cultural trade and global touring and presentations. It is very important for managers in the sector to have skills relative to representing cultural identity in terms of the manner in which the cultural sector is perceived as an important component of inter-cultural exchange, diplomacy and foreign policy. They should also have the ability to focus effectively on their national identity, global cultural issues, diversity and pluralism. Managers in the cultural sector need to have skills to promote innovative ways of developing the audience. For instance, they should be able to forge entrepreneurial collaborations amongst the fine arts and other braches of the cultural sector. They should have the caliber to be able to treat fine arts as being a part of the creative industry and should encourage inventive ways of conducting outreach, education and marketing curriculums. Managers must demonstrate the expertise to deal effectively with transforming audience characteristics and using appropriate technologies to cultivate and expand future audiences. Good leaders have the ability to exercise efficient strategic leadership in terms of being indicative of a consistent strategic knowledge by focusing on environmental requirements in the organizational, national and international areas of the cultural policy systems. They are effectively involved in advocating reactive as well as proactive policy involvement while having the skills to negotiate alliances and coalitions. Leaders in the sector are expected to have the ability to foster a well maintained funding system so that capacities are increased to earn and contribute to revenues in the different representative contexts. In order to recognize the extent of competency and skill levels needed by managers in the cultural sector, it is required to ensure that the above skill sets do not take over or replace systems and skill levels that are already in place. Instead, these skills add value in responding effectively to the changing demands faced by them. In view of new systemic expectations and the demand for different management capacities, new training methods and processes have to be adopted. These new training modules will add the leaders’ capacities to deal more effectively with international capacity and functions related primarily to change management. Management in the cultural sector should be characteristic of having the required competency levels in terms of managing teams and people, collaboration, decision making, change management, result orientation, development orientation and application of knowledge and experiences. They need to demonstrate appropriate levels of customer service orientation through relationship building, analytical thinking and teamwork (Handy, 1993). It is rewarding for cultural managements to conduct a PEST analysis of the organization, which will allow a thorough understanding of the political, economic, social and technological factors that have the potential of affecting the organization’s strategic development. The PEST analysis is an effective process of contextualizing the external environment that characterizes the organization’s working and performance potential in different markets. In order to be rewarding, the analysis has to be followed by strategies on how the organization should react to the given influences that emerge from the PEST analysis. Another analytical model that can be used for efficient management of the cultural sector is to make use of Porter’s five forces in determining the present status of the organization in terms of assessing the extent of competition. The model uses five specific competitive forces that are known to influence the attractiveness and profitability of the industry: The threat of entry of new competitors (new entrants) The threat of substitutes The bargaining power of buyers The bargaining power of suppliers The degree of rivalry between existing competitors The SWOT analysis is an important strategic tool that should be used by cultural organizations to determine their strengths, weaknesses, opportunities and threats that are applicable to the given business at a given place or market. Using the tool is helpful if the objectives of the business are specified after which the internal and external issues are identified that are constructive or unconstructive in achieving the given objectives. In effect, the SWOT analysis “summarises the key issues from an analysis of the business environment and the strategic capability of an organisation”. (Johnson & Scholes, 1994, p.37). Management and Leadership in the Cultural Sector Management and leadership in the cultural sector cannot be separated because managers have to play leadership roles. Leadership is concerned with behavior, style and of getting the strategy implemented. Strategies have to be formulated, communicated, and implemented in the right spirit in order to get the desired results. The traditional role of management was limited to planning the work of other people but it is now more concerned with leading others and setting examples. Leaders have to ensure that people in the organization understand strategies and align their efforts towards achieving the given objectives. A great deal is expected from leaders in the cultural sector because here, in addition to efficient management practices there is a strong need for dynamism, inspiration and vision as also the passion for culture. Leaders in the cultural sector can succeed if they demonstrate a strong commitment to promoting benefits of the related cultural products to society as well as the larger economy. It is very important to have a high quality of cultural leadership for the constant success of the cultural sector. New leaders in the cultural sector have to imbibe skills in being able to face the challenges relative to overcoming resistance to change and to negotiate the needs of the different stake holders within and outside the institution. They are eventually responsible for establishing the sets of norms and ethics that control the behaviors of people in the organization (Bennis, 1999). Education in Cultural Administration Researchers have suggested that there is need to improve management in the cultural sector through major paradigm changes in relation to the arts funding systems, the cultural policy systems, the arts systems and the global systems, which are found to characterize the cultural sector in most parts of Europe and America. Such paradigm changes will entail systemic changes within the cultural sector through significant shifts from managing art to cultural supervision. In the broader context, cultural management will create the need for capacities of change management corresponding with the major paradigm shifts as suggested above. However, the changing pattern of demand will not do away with the requirement of traditionally focusing on administration of arts education; rather, it will create additional skill sets, capacity and competency levels that are required in cultural management in the 21st century. Education in the management of formal arts will enable managers to effectively meet with demands emanating from the systemic changes and with the requirement of developing capabilities of change management amongst upcoming leaders in this sector. The conventional curriculum is already having the required course content in fields such as cultural theories, information management, legal aspects of arts, financial management, arts policies, human resources management, marketing, development, arts management and research techniques. There is also a need to introduce new courses and to add new details in the existing curriculum, which focus on the required skill sets so that managers can effectively respond to the changing environment and hurdles. Some researchers have also proposed that future strategies for education and training should make use of metaphorical methods in management relative to the cultural sector. Some have suggested for instance, that specific architect systems can be introduced in developing strategic leadership, increasing audiences and generating revenue capacity. Well designed curriculum and instruction material will go a long way in enhancing the value of such learning methods. They will also be useful in creating and establishing an approach for developing systemic capacities. If systemic changes are made in the cultural sector on a consistent basis, it will imply an ongoing process of adapting to change management capacity, which is required to effectively deal with the given hurdles, opportunities and challenges in the national and global cultural sector. In addition to understanding the theoretical constructs for creating and reacting to constant changes taking place in the cultural sector, a lot has to be done in adapting formal cultural management training in order to effectively meet the demands of cultural management. The Concept of Cultural Marketing Experts have acknowledged the reliance on digital tools and strategies as being new dimensions for developing cultural organizations and cultural projects in the coming future because there is immense potential for the new technologies to bring added inspiration in this sector. By adopting digital communication and information technology, the cultural sector enters a new dimension in view of the additional opportunities that allow the sector to develop realistic projects through involvement of team members that can be spread across the world. These technologies provide sets of appealing tools that allow for shared management of projects. Cultural marketing helps a great deal in promoting creative projects, finding new audiences and improving the image of cultural organizations in finding new adherents and sponsors. However, cultural organizations should be wary of adopting cultural marketing because they have to think in terms of art systems. Cultural marketing implies culturally adapting to the marketing principles to the particular action area of culture and art. Marketing in the cultural field does imply that it is an art to efficiently impact market segments by targeting the right groups through appropriate use of sales, advertising and pricing policies but this marketing mix has to be effectively managed in adjusting the cultural product or service so that it fruitfully relates to a large number of potential customers. Marketing managers in the cultural sector mostly ignore the fact that small organizations may not have marketing portfolios and budgets. Many conventional cultural organizations have art directors that have their own unique perceptions about marketing programs and strategies, but such situations can also be used constructively from the marketing perspective by appealing to the aspirations of these creators of art. The work of marketing culture and art has to be viewed as a kind of social marketing with the objective of making culture, communicating thoughts and allowing the art to become accessible to the maximum number of people. There is a strong need for marketing to give space to artists because it is necessary to provide the same to artists in dealing with their concerns. Conclusion It can be said in conclusion that the cultural sector is characterized with several challenges that managers and cultural producers have to deal with. A major issue for organizations in the cultural sector is the scarcity of funding opportunities, because the availability of funds in an increasingly globalized environment is considered imperative for the success of any organization, irrespective of the nature of its activities. Rapid technological advancements have also made it vital for leaders in the cultural sector to imbibe new skills to meet the diversified needs of art lovers and society. The idea is to evolve ways in which the dreams of people can be realized through development of community arts that refers to the artistic activities in communities. Partnerships have to be developed amongst people that have new dreams, in order to discover new areas. The maximum potential in this regard can be tapped through virtual communities and stake holders relative to the virtual world. When cultural marketing is perceived as social marketing, new areas are opened for cultural managers to effectively make use of the new technologies and web based tools. This will allow the creation of several opportunities to develop communities relative to an artistic or cultural project. References Arts Council England, (2011) www.artscouncil.org.uk. Accessed on 30 November, 2011. Bennis & Nanus. (1985) Leaders: Strategies for taking charge. Harper & Row. Cliche, D. (2003) Culture, governance and regulation, Recognizing Culture, Ottawa: Department of Canadian Heritage. Cummings, M. C., et al. (1997) The Patron State: Government and the Arts in Europe, North America, and Japan. New York: Oxford University Press. Handy, C. (1993) Understanding Organisations 4th Ed. London Penguin Johnson, G and Scholes, K. (1999) Exploring Corporate Strategy Harlow, Essex, Prentice Hall Mintzberg, H. (1973) The Nature of Managerial Work: Harper & Row Mulcahy, K. V. (2000) The Government and Cultural Patronage, New Brunswick, NJ: Rutgers University Press. Radbourne, J. (2000) Arts Management: A Practical Guide. Sydney, Australia: Allen & Unwin. Wilson, D and Rosenfield R. (1990) Managing organisations: McGraw Hill. Wyszomirski, M. J. (2002) Arts and Culture, Brookings Institution Press. Read More