The IMD World Talent Report 2018 has ranked Taiwan 27th globally and fourth in Asia for its ability to develop, attract and retain talent.
According to the report released by the Swiss-based International Institute for Management Development (IMD), Taiwan's 2018 global ranking was down four spots from a year earlier.
Within Asia, it ranked behind Singapore (13rd globally), Hong Kong (18th) and Malaysia (22nd), but finished ahead of Japan (29th), South Korea (33rd), and China (39th), the report said.
The 2018 global talent report evaluated the capabilities of 63 countries to develop, attract and retain talent, and the assessment was based on three major factors: "Investment and Development," "Appeal," and "Readiness."
The three major factors encompassed 30 indicators focused on the resources invested in developing local talent, the extent to which a country attracts and retains talent, and the quality of skills available in the talent pool, the IMD said.
In the "investment and development" category, Taiwan finished in 25th place in 2018, unchanged from a year earlier, but it fell to 32nd in the "appeal" category, down from 26th a year earlier, and to 27th in the "readiness" category, down from 22nd last year.
Among the 30 indicators in the three categories, Taiwan was second in "educational assessment," its highest finish in any indicator, according to the report.
Taiwan also ranked eighth for its "effective personal income tax rate," 12th for "science in schools," and 14th for "health infrastructure," the report indicated.
Taiwan was less competitive in other areas, however, ranking 44th in "international experience," 45th in "attracting and retaining talents," 47th in "total public expenditure on education," 49th for its "cost-of-living index," 51st in "brain drain," and 55th in "foreign highly-skilled personnel," the IMD report showed.
Among other indicators, the IMD said, Taiwan finished 25th in "remuneration of management," indicating that it does not pay high-enough compensation to attract top executives.
Christos Cabolis, chief economist and head of operations at the IMD World Competitiveness Center, told CNA that the drop in Taiwan's overall global ranking in 2018 reflected its weakness in the "Appeal" factor, reflecting Taiwan's need to strengthen its ability to attract and retain talent.
Although Taiwan has emphasized science education, Cabolis suggested the country should spend more on higher education. The economist said the latest report showed Taiwan also faced a challenge in reining in its brain drain.
In the 2018 report, Switzerland retained the top position, ahead of Denmark, Norway, Austria, the Netherlands, Canada, Finland, Sweden, Luxembourg, and Germany. The United States ranked 12th after Belgium.
Source: Focus Taiwan News Channel