Transcript Regional Innovation, National Prosperity

REGIONAL INNOVATION
NATIONAL PROSPERITY
Presented by Charles J. Brown III
HRQMC Regional Agenda
The Challenge
 Large industrial operations or headquarters
 Tax incentives
 Inexpensive labor
 Production shifted elsewhere
 Intellectual Capital (Knowledge)
 Quality of employees
 Reputation of a brand
 Skills and knowledge about how to make goods or
services
 Success critical individuals or groups
 Aggregation of information of value that is not common
knowledge
The Challenge
 Economic development strategies
 Incentive-based strategies
The Answer: Innovation
 The nature of Innovation is changing
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Faster
Multidisciplinary
Collaborative
Democratized
Global
The Risk
 50% of all U.S. patents are foreign
 Japan, Korea, and Taiwan are 25% of that
 Sweden, Finland, Israel, Japan, and S Korea
each invest more in R&D to GDP than U.S.
 2004 China became world leader of exporting
ICT e.g., Mobile phones, laptops, digital
cameras
 6 of the 25 leading IT companies are in the
U.S.
 14 are based in Asia
The Conclusion
“The capacity for innovation is going global —
and we must pick up the pace … today, the
forces of global economic integration and
advances in technology are creating a different
and more complex challenge. Sustaining
competitive advantage will require moving
beyond efficiency and quality toward creating
new markets, increasing choice and value to
customers, and innovating continuously on a
global basis.”
The Paradox: The Region
 Proximity
 Contact
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Suppliers
Customers
Industry
Academia
Industry clusters
 Diversification and Differentiation
 Diverse people, land, services, etc.
 Specialized infrastructure educational
institutions, and workforces
The Five Common Challenges
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Promoting regionalism
Building and retaining talent
Transitioning to advanced manufacturing
Networking knowledge assets
Energizing the entrepreneurial economy
Innovation-based Regional Economic
Development Model
Prosperity
Productivity
Innovation
Measuring Regional Innovation
 Key objectives for the Regional Innovation
Initiative
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Improving awareness among federal, state,
and local stakeholders of the conditions
necessary to promote innovation-based
economic development
Catalyzing consensus on policy priorities and
practices to strengthen the regional platforms
for innovation
Measuring Regional Innovation
 Key objectives for the Regional Innovation
Initiative
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Supporting a forum for business, academia,
government, and supporting organizations to
build partnerships by sharing new ideas and
best practices;
Providing tools and techniques that allow
states and regions to inventory, evaluate and
benchmark their innovation capacity
Accelerating implementation of local economic
development initiatives
Measuring Regional Innovation
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Review of Previous Data
Comparative Data Analysis
Regional Business Survey
Community Leadership Interviews
Inputs to Innovation Capacity
 Assets
 Human Capital
 Research and Development Institutions
 Financial Capital
 Industrial Base
 Physical Infrastructure
 Legal and Regulatory Environment
 Quality of Life
Inputs to Innovation Capacity
 Networks
 Collaborative economic development
partnerships
 Angel capital networks
 Research partnering
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Universities
Businesses
Workforce development programs
Informal networks
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City sports leagues
University alumni associations
Inputs to Innovation Capacity
 Culture
 Collaborating and sharing with competitors
 Attitude toward risk
 Appreciation of diverse experiences and
background
Regional Innovation Environment
Inputs
Regional
Innovation
Environment
Assets
Networks
Culture
Outputs
Innovation
Productivity
Prosperity
Websites
 www.HRQMC.org
 www.compete.org
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www.compete.org/publications/idea/7/regional-innovation
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Regional Innovation National Prosperity
Measuring Regional Innovation