Transcript what tools to make it happen?

How can ETC contribute
to smart growth?
The general policy context
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Global competition for resources, markets and
ideas that provide competitive advantage

Globalisation of supply chains: More opportunities but also more concentration in R&D

More pressure to specialise and invest in high
value added activities to position regions

More value for money: Reduced scope for public
investment = more careful deployment of resources

Need for a strategic and integrated approach to
innovation (European Council, 4 February 2011)
The general policy context

Economic growth is a function of changes in
population, employment and productivity rates
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“A country’s ability to improve its standard of living
over time depends almost entirely on its ability to
raise its output per worker” (P. Krugman, 1990)
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Productivity growth comes both from restructuring
between sectors and improvement within industries
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To generate growth, regions have to invest in
human capital, R&D and innovation and focus on
integrating policies (OECD + EU COM)
Europe 2020: 3 pillars, 7 flagships
Smart Growth
developing an economy
based on knowledge and
innovation
Sustainable
Growth
more efficient, greener and
more competitive economy
Inclusive Growth
fostering a highemployment economy
delivering social and
territorial cohesion
Innovation
« Innovation Union »
Climate, energy and
mobility
« Resource efficient
Europe »
Employment and skills
« An agenda for new
skills and jobs »
Education
« Youth on the move »
Competitiveness
« An industrial policy for
the globalisation era »
Fighting poverty
« European platform
against poverty »
Digital society
« A digital agenda for
Europe »
Why
Innovation
Union?
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LV BG LT RO SK PL HU MT GR ES CZ IT PT EE SI CY EU FR LU IE NL AT BE UK DE FI DK SE
M ODEST INNOVA TORS
M ODERA TE INNOVA TORS
INNOVA TION FOLLOWERS
INNOVA TION LEA DERS
Regional Innovation
Scoreboard - 2009
See: http://www.proinnoeurope.eu/page/regional-innovationscoreboard
Innovation Union COM: Diagnosis
 Too much funding for overlapping projects or
priorities where regions lack relative strength
 Little funding for pooling resources and expertise
through trans-national projects and investments
(e.g. research infrastructures/world-class clusters)
 MS need to improve use of SF for R&I, incl. skills
development and smart specialisation strategies
 The Innovation Union must involve all
regions…Europe must avoid an “innovation divide”
Innovation Union Flagship
1.
Strengthening the knowledge base
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2.
Getting good ideas to market
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3.
Smart specialisation
Social innovation pilot
Pooling efforts for breakthroughs
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5.
Financial instruments, VC, state aid
Standards, public procurement
Openness, creativity, knowledge markets, patents
Maximising social and regional benefits
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4.
European Research Area, skills, university ranking
Focusing EU funding instruments
European Innovation Partnerships: aging + other topics
Collaborating internationally
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attract international talent, research infrastructure
Smart Growth Communication
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Joint Communication (REGIO, RTD, ENT, EDU)
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RP as key delivery mechanism for EU202
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Mobilising innovation potential of all EU regions
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Re-focusing ERDF: More strategic use of SF
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More support for education, research, innovation
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Aligning investments with National Reform Prgs
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R&I to be in with line smart specialisation strats
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Regions to concentrate resources on activities of
high added value and competitive advantage
Recommends also:
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More effective / synergetic use of public funds
(ERDF, FP7, CIP, own funds).
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More extensive use of financial engineering
(venture/risk capital, loans, guarantees)
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More peer-review and independent experts
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ERDF to fund shortlisted FP7 and CIP projects
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More use of peer learning and interregional
networks for improving regional innovation policy
Ex. for smart growth actions:
 Support
to innovation clusters, science parks,
incubators, voucher schemes, etc.
 SME
support services along the entire innovation
cycle from idea through R&D to commercialisation
 Promotion
of entrepreneurship education and
training and of transversal skills
 Support
to knowledge triangle and universityenterprise cooperation
Ex. for smart growth actions:
 Support
to financial engineering: e.g. JEREMY
 Development
of excellent research infrastructures and supporting researchers to link to them
 Integration
of cultural and creative industries and
design into development strategies,
 Investment
 Use
in ICT, e.g. high-speed internet access
of pre-commercial public procurement for
creating demand for innovative solutions
Exploiting regional potential for
the knowledge economy through
smart specialisation
Smart Sp. Strategies – why?
Harnessing knowledge potential, investing
smarter, mobilising all regions for Europe 2020
 New open nature of innovation/new aproaches needed
 Decentralised decision-making environment requires
strategic coordination and better governance
 Focusing investments rather than spreading them
thinly across many sectors and areas
 Spending SF more effectively + strengthening
synergies with R&I policies
 Ensuring diffusion of innovation across all regions
 Influence direction of innovation (e.g. grand challenges)
Smart Sp. Strategies (what?)
Innovation-driven development strategy focusing
on regional strength/competitive advantage
 Important tool for refocusing EU Regional Policy in
light of EU2020 and the need for more innovation
 A method for making choices and setting priorities
 International differentiation strategy to attract
investments (public and private, e.g. FDI).
 Based on evidence (data) and strategic intelligence
 Looking beyond boundaries, positioning region in
global context + aiming for critical mass
Smart Sp. Strategies (how?)
Strong focus on bottom-up processes and
stakeholder involvment / interaction
 Start with self-assessment (see IU Annex) and sound
analysis of assets, bottlenecks and existing special.
 Involve experts, stakeholders from knowledge-creating
institutions and entrepreneurs (‘entr. discovery process’)
 Identify regional strengths and areas of competitive
advantage for positioning regions
 Reach out for critical mass and complementarities,
cooperating with other regions + avoiding overlap
Smart specialised regions:
 Prioritise on areas of competitive advantage
 Exploit unrealised economic potential
 Facilitate transition to higher productive activities
 Focus on long-term rather than short term gains
 Support ‘regional branching’: i.e. globally significant
and sufficiently diverse assets
 Support ‘strategic anchoring’: i.e strong
connections to other centres of activity, in particular
global hubs
 Support innovation and diversififcation, not
imitation of leaders
Smart Specialisation ?
= evidence-based: all assets +
capabilities
= inv. key stakeholders:
entrepreneurial discovery
= global perspective &
cooperation potential
= source-in knowledge, &
technologies (e.g. KETs)
= focus policy learning on
differentiation not following
the leader
= bundling policies + instruments into integrated +
coherent packages = smart
policy mixes
= priority setting in times
of scarce resources
= focus investments on
strengths/real potential
= get better/excel in area
of specialisation
= position region in
global value chains
= cross-fertilisations/crosssectoral initiatives
= accumulation of critical mass
 Regional Policy for the knowledge economy/RP upgrade
Role of Clusters
 Smart specialisation has been identified as a process of
“entrepreneurial discovery” of priority-areas for knowledge
investments in specialised regional clusters[1].
 Smart specialisation is therefore a process in which the
(global/local) governance of the interaction of all actors concerned
is of strategic importance.
 This interaction should be directed at the co-discovery of
opportunities for new value creation according to the distinct
innovation potential of “geographic localities
[1] D.Foray, P.A. David and B.Hall (2009), Smart Specialisation:
the Concept, http://ec.europa.eu/research/era/publication_en.cfm
Role of Clusters
 The key idea behind ‘smart’ specialisation strategies is not only to
build these strategies on a higher level of knowledge-based
investments but also to differentiate these strategies and
investments according relative strengths.
 Such purposeful strategies will not only limit unnecessary
duplication, but will also explicitly capitalise on interdependencies,
identifying complementarities at cluster level and in international
value chains, which maximise the mobilisation of resources of all
regions for the knowledge economy.
 While self-organising regional clusters can be the locus of coinvestment to build critical mass for a new system innovation, they
are also nodes in international value chains that compete with and
complement each other.
Role of Clusters
 The development of cluster strategies was a further step in the
governance of these clusters, enabling economic change through
cluster management. Now, developing international cluster
strategies is becoming the distinctive strategic capacity of such
cluster management (e.g. the Spitzencluster Competition in
Germany[1]).
 The smart specialisation policy approach will use international
positioning of local cluster potential as an instrument for aligning
the internal strategies of cluster actors and seeking competitive
advantage and international synergies
 [1] The ‘Leading Edge Cluster Competition’ as key element of
Germany’s High Tech Strategy
(http://www.hightechstrategie.de/en/468.php).
Role of Clusters
 Cluster can, thus, facilitate smart specialisation by highlighting
activities and themes where sufficient regional specialisation
already exists to facilitate the establishment and maintenance of a
cluster.
 Of course, on the other side of the coin, existing clusters could
complicate smart specialisation by using their established position
to monopolise resources that might be better invested on
diversification.
 This is why smart specialisation explicitly calls not only for
concentration on strengths and critical mass but also for
diversification on the basis of strengths (supporting ‘related variet’).
 This calls for cluster policies to support knowledge spill-overs into
complementary sectors for instance by promoting cooperation
across the value chain or cross sectoral cooperations (e.g. grand
challenges/megatrends)
Role of Clusters
 Regional, national and interregional or supranational strategies for
smart specialisation can converge on the basis of maximising the
return on investment in open innovation systems and regional
clusters.
 In particular, by providing shared strategic intelligence and shared
road maps addressing the great societal challenges, governments
can facilitate the entrepreneurial ‘discovery’ of smart specialisations.
 This strategic governance needs specific capabilities and
conditions in the cluster organisations and the wider innovation
system, i.e. an ‘anticipatory intelligence,’ that can give direction.
 The cluster strategies of the future following a smart specialisation
paradigm also need to be underpinned by interregional cooperation
to strengthen the outward connectivity of our regional innovation
actors and the cooperation across borders and territories
The S3 platform
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Shared knowledge base
for strategic intelligence
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Methods, indicators, templates for analysis of specialisation
patterns
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Methodologies/toolbox/guide to assist MS and regions in
developing smart specialisation strategies
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Peer-review methodology, experts, advice
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To be set up and managed by a team established at JRCIPTS in Seville
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Steering Team incl. DG REGIO, RTD, ENTR, EAC, INFSO
and SANCO
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Mirror Group of high-level experts and network reps
The S3 platform
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Shared knowledge base
for strategic intelligence
• Hosted by the Joint Research Centre – Institute for
Prospective Technological Studies (IPTS) in Seville,
Spain. It is run by a Steering Team gathering
representatives of several Commission Services: REGIO,
EMPL, RTD, ENTR, EAC, INFSO, SANCO, CLIMA and
the JRC.
• It will be advised by a Mirror Group of international
experts and representatives of relevant European
networks (such as EURADA, ERRIN, EBN, OECD,
European Cluster Observatory, European Cluster Alliance,
ERISA).
• The Platform will be composed of:
1. "S3 Learning Platform"
2. "S3 Shop"
The S3 platform
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Shared knowledge base
for strategic intelligence
The S3 Learning Platform will…
… develop a guide for policy-makers and implementing bodies
on how to design and implement and assess regional smart
specialisation strategies.
… assess the needs of regions and identify case studies.
… create working groups of regional actors and experts
around common themes.
… organise training of "trainers in smart specialisation".
… manage a toolbox of indicators and case studies.
… elaborate a peer review methodology for the set-up of
sound peer review mechanisms based on existing practice.
… develop economic analysis on the concept of smart
specialisation.
The S3 platform
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Shared knowledge base
for strategic intelligence
• The S3 Shop will…
• … manage a web-gateway to smart specialisation
to disseminate information to all regions and register
the 'inscription' of regions into the platform, for an
active participation.
• … manage a database of experts and policymakers available for peer review activities.
• … promote an annual meeting on smart
specialisation for policy-makers and experts.
• … participate to events on smart specialisation.
• … establish permanent contacts with
professionals working on 'smart specialisation'.
Do you want to upgrade?
Yes
Claus Schultze
European Commission, DG REGIO
Policy Analyst, Unit D.2
[email protected]