MSc Thesis. Ainara Alonso Silva. July, Wageningen University, Social Sciences Department. Communication and Innovation Studies, Chair Group

Transcription

1 MSc Thesis July, 2012 Wageningen University, Social Sciences Department Communication and Innovation Studies, Chair Group

2 Wageningen University Social Sciences Department Chair Group - Communication and Innovation Studies MSc - Master Thesis The role of Communication in the internationalization processes of Research and Technology Organizations (RTO): A comparison study between TECNALIA and Wageningen University and Research Center July, 2012 Thesis-code: COM80533 Ainara.alonso@wur.nl MSc-program: Applied Communication Science Specialisation: Global Environmental Change Supervisors: Dr. ir. L.W.A. Klerkx Communication and Innovation Studies Group Dr. PJAM Smeets Alterra 2

3 ABSTRACT It has been acknowledged, that a new changing context is affecting European Innovation Systems in their development. Globalization of the markets and the socio-economic crisis suffered around Europe has moved national and regional innovation systems to explore new ways of permanency, adaptation and development. Research and Technology Organizations (RTO) are facing these challenges playing an important role in the European Innovation System in terms of R&D and economic impacts. RTOs have been deeply rooted in public organizations and governmental economic fund resources. Moreover, their complex configuration and nature (public-private founded, half half financed by public and private market, with a mutli-sector approach) made them more vulnerable to changes. In this process, they have been seeking creative solutions to reorient their strategies and approaches to be less public fund dependent and more competitive. New trends in knowledge oriented markets point to international cooperative formulas and the establishment of alliances within them, shifting their production from research and development solution to business oriented services. In addition, the approach of these new business markets will need from an internal and external orientation change, where communication will have probably an important role, in order to improve their presence in the market and enhance their reputation. The study specifically attends the analysis of the role of communication in a changing context and is particularly focused on the internationalization processes of the Research and Technology Organizations. This research area is of special interest because, compared to other fields of the Innovation System, Research and Technology Organizations have potential to directly impact society by influencing the main research domains that support the society s wealth. The research has been configured as a comparison study between two European research organizations: Tecnalia (Spain) and Wageningen University and Research Center (The Netherlands). Sixteen semi-structured interviews have been conducted with researchers working in the studied Research and Technology Organizations. Based on these interviews analysis, the importance of the communication in both centers has been studied. The responses gave insights about the communication role plays in these research organizations and in their internationalization stages. Four main factors and approaches related to communication have been brought forward in this report to analyze the effect related to internationalization. Even when there is a clear relation between the introduced factors and internationalization processes, still RTOs are not able to manage them to contribute to the internationalization, because there is lack of knowledge and 3

4 competences in strategic communication. The organization s analysis remarked internal constrains and a communication gap between the management board -guiding the organization- and researchers. This communication gap makes complicated the development of the organization. Based on these findings, several recommendations for improving the implementation of communication practices for internationalization approached have been made. KEYWORDS: Innovation System; Research and Technology Organization; internationalization; communication 4

5 PREFACE AND ACKNOWLEDGEMENTS I don t know well since when I am interested in science communication, I started my career studying audiovisual communication -a mix of radio, television and cinema- where I started a minor in corporate communication. From there I jumped into Naider a private consultancy company specialized in science, technology and innovation; environment and sustainability... there I started merging my communication knowledge with different scientific issues. At the same time, I studied BA in Advertising and Public Relations. During more than three years in Naider I learned about communication, politics, science, innovation. I have been involved in many governmental policy processes and international projects and here I started to detect the need to have my own experience abroad and improve my expertise. In my working experience I could see the communication gap between governments or other stakeholdes and science and here I started thinking that I would like to learn more about these processes. More than I can say, my deepest gratitude for having realized this work goes out to my colleges of Naider. They are the ones that gave the opportunity to come to Wageningen University and study a master program in Applied Communication Science and I can say that It has been the best experience of my entire life. Besides them, I would also like to thank each and every one of those employees who have provided me with their time, sincerity and enthusiasm. They have been the backbone for this thesis as this thesis could not have been completed if it wasn t for the data they had provided to me. I have to say two times thanks to Peter Smeets because he helped me sharing his wide international experience and guiding this thesis. Muchas gracias to Madeleine Van Mansfeld for her advices, good comments and sharing with me a great project. And last but not least, a special thanks to my thesis supervisor, Laurens Klerkx for his guidance, his advice and making me follow the right direction even I know that I am not a the best researcher. Getxo, July

6 Table of content 1. INTRODUCTION European Context of research and development Research and Technology Organizations (RTO s) New environment for Research and Technology Organizations Problem statement THEORETICAL FRAMEWORK Internationalization Business Internationalization Research and Technology Organization s Internationalization The role of communication Organization and culture building Network building and project management Hypothesis RESEARCH QUESTIONS, METHODS AND RESEARCH SETTING Research questions Study site Wageningen University and Research Center TECNALIA Research and Innovation Corporation Selection of respondents Questionnaire design Data Analysis Limitations FINDINGS AND ANALYSIS The internationalization stage of Wageningen University and Research Center The internationalization stage of Tecnalia Corporate communications at Wageningen University and Research Center Corporate communication in Tecnalia Organizational Culture of Wageningen University and Research Center

7 4.6 Organizational culture in Tecnalia Wageningen University and Research Center s network, alliances and project management Tecnalia network, alliances and project management CONCLUSION AND DISCUSSION Reflection research results Internationalization of Research and Technology Organization Communication of Research and technology Organizations Limitations Recommendations for further research References Appendix Appendix Appendix

8 1. INTRODUCTION The European research arena is marked by the fragmentation of the diverse regional and national innovation systems. The European Union has developed some mechanisms to promote and enhance the collaboration and create high quality research 1. Research and Technology Organizations are one of the actors actively participating in the research arena. Therefore, the study described in this report, aims to increase recent understandings of the synergies between science internationalization and communication, by investigating the way communication takes part in the dissemination of the scientific findings and the establishment of strategies to compete in the global market. This paragraph describes the background issues that lead to the composition of the problem statement. First, a general introduction to the European Research Arena will be provided which will show the main challenges and barriers. Alongside the main characteristics of the research market, the importance of the Research and Technology Organizations in this market will be described in paragraph 1.2. Chapter 1.3 will be the build-up for the overall goal of this thesis and in 1.4 the overall research is depicted. 1.1 European Context of research and development Globalization of the markets and the socio-economic crisis suffered around Europe has moved national and regional innovation systems to explore new ways of permanency, adaptation and development (Sanz- Menéndez and Cruz Castro, 2002). Research and Technology Organizations (RTO) are facing these challenges playing an important role in the European Innovation System in terms of R&D and economic impacts. The European Union, created the European Research Area (ERA) for the development and stimulation of the research sector. A compilation of measures, programs and policies have been designed to ensure a transnational and competitive environment for technology transfer and innovation. ERA was born to guarantee an open space for knowledge, facilitating the circulation, competition and cooperation between researchers, public institutions and companies. The aim is to create a unique and favorable market to ensure the European leadership in innovation. The main objectives are the following ones 2 : 1 EARTO Response to the European Commission Green Paper From Challenges to Opportunities: Towards a Common Strategic Framework for EU Research and Innovation Funding COM(2011) 48 2 Information taken from the European Research Area official webpage ( 8

9 To merge the European Knowledge markets and create a common one to ensure a better integrated knowledge supply. Removing barriers to RTO s building a globally competitive and naturally viable scale through competition and specialization A better exploitation of the potential of the RTO s and promote bigger and new challenge. Attract more high qualified talent to Europe and promote the talent mobility around Europe. Europe through the Lisbon Strategy ( ) set a target of 3% of its GDP to spend on research and, in this way become the most competitive region in the world 3. One of the main barriers or challenges for Europe is the heterogeneity between countries and their rates of international R&D. The differences between countries in size, open economy and political framework define the heterogenic map of Europe and just a proper design of more flexible policy schemes could enhance the re-positioning of the region. Market trends show that Europe has a recession of investment from the 90 s. Locations like China, India or Easter countries have become more attractive 4. They are not anymore just attractive to R&D investments; they are going start being generators of R&D, with the advantage of high qualified academics at low cost. The main challenge for Europe is not to provide better services or opportunities and compete with the others by offering better equipments, knowledge, quality to sum up, add value through service excellence. 1.2 Research and Technology Organizations (RTO s) There is not a consolidated definition of RTO and it is complicated to find a consensus in the definition and description of RTO s because of their variety of characteristics: public, semi-public or private; commercial basis or non-for-profit; funding from public institutions, from membership subscriptions or fee for services; technology oriented while some others offer services in social sciences, management or economics; applied research or basic or both (Berger and Hofer, 2009). There are a wide variety of RTO s and almost all of them present the same uncertainties (their activities and results are undocumented and their role 3 Read in: European Commission website of Lisbon Strategy for growth and jobs ( 4 Impacts of European RTOs A Study of Social and Economic Impacts of Research and Technology Organisations a research done by Technopolis for EARTO (20 of October 2010) 9

10 misunderstood by policy markers 5 ). It is difficult to figure out their special status and track results, there are no proper statistics, data or inventories done (Arnold et al., 2010). There are multiple definitions available in the literature and different titles are used to name RTO s: Applied Research Institutes, Technology Corporations, Scientific Research Institutes, Applied Research Institutes. This paper will use the definition provided by the European Association of Research and Technology Organizations, EARTO that describes RTO s as specialized knowledge organizations dedicated to the development and transfer of science and technology to the benefit of the economy and society (Arnold et al., 2010). RTO s are the actors in charge of bridging the gap between basic research and industrial applications, with the peculiarity of having a societal role. Their work is oriented to solve industrial or technological gaps (improve technological characteristics of a product, introduce innovations, for example) but also to give response to societal knowledge gaps and tackle the Grand Challenges such as population ageing, climate change, food, or the energy or water supplies. Moreover, received funds from the government are considered societal investments that later are going to be returned in form of quality of life standards (employment, better products, more competitive companies ). It is possible to state that even though there are many different Research and Technology Centers, they have two shared characteristics: the combination of both public and private funding and the production of both academic and applied research (Berger and Hofer, 2009). According to EURAB (2005) these organizations represent the 14% of total R&D expenditure (GERD) and the 50% of the R&D expenditure of the government (GOVERD) in the European Union (EU-15). As we can see, RTOs still are strongly linked to public funding and support even this trend is changing. The differences between RTOs in form, type of services, funding sources etc, are closely related to the evolution of their framework and national innovation systems. They were founded for different policy proposes: to give solutions to technological problems, bridge industrial innovation gaps or accomplish strategic research and that also marked their structure and functioning (Hales, 2001) New environment for Research and Technology Organizations One of the main challenges to be tackled by RTO s is internationalization. There are few satisfactory cases of internationalization in Europe and the reached stage or level of internationalization could be still improved. The reasons and incentives for internationalization were analyzed by EARTO in a research study with RTO s and the conclusions were: to access to more customers and to gain new scientific 5 RTOs path goes unreported. A study commissioned from Technopolis by EARTO has quantified their impact and clarifies their role for the first time. 10

11 competences (Arnold et al., 2010). To this two motivations, a survey made in Germany to different public funded research organizations (including universities and institutes related to RTO s) added 6 : access to globally available excellent knowledge, access to (EU or other international organization) funds, reputation, inspiration for new research topics, and utilization of complementary know-how and methods. In summary RTO s are moving and crossing borders to expand their business and look for new strategic alliances, but still they are tied to their National Innovation Systems in different forms (funds, policy etc.). The regional and national environments are a wide source of funding and applied research demand. New trends in the markets obliged RTO s to look further and approach new environments abroad to diversify their incomes and multiply their opportunities. Even the main share of their income comes from national markets, RTOs do play a key role in the European Framework Program. A third of the projects are coordinated by European RTOs, developing a large number of projects and acting as nodes interconnecting different stakeholders of the research and innovation system. As it has been shown, RTOs are facing a new reality of globalization, high competition and lack of public funds where they have to be able to compete. There is a growing need to be businesslike and improve staff awareness of commercialization and understanding of markets. Public funding decrease made RTOs to be more proactive in the market and start investing in their brand and communication. Even if the dependency on the governments is turning to be reduced, still it is an important actor for RTOs. Governments can be attached to RTO s in different forms: as client, main or shared owner or stakeholder (Hales. 2001).The current situation is double-edged sword: while public entities demand RTOs results in the local innovation systems; industries and enterprises need from them more diversified and international competitive implementations. Moreover, SMEs and multinationals need to go beyond their internal technological limits to produce global competitive products. 1.3 Problem statement This new environment of globalized markets, specialized knowledge and international competitors will need better defined and strategically thought out communication approaches. This paper is going to try to define how is the role of communication in Research and Technology Organizations facing up the challenge of internationalization. The current trend of these organizations is a new adjustment in their 6 Helmholtz Association, Fraunhofer Society, Leibnitz Association and Maz Planck Society. 11

12 orientation (Sharif and Baark, 2011). Communication has been integrated as an important tool by enterprises but less used by research institutions or used for just some minor details. This paper will try to analyze how these processes take part, the barriers and constrains and how they manage to deal with these uncertainties from a communication perspective. This paper is going to study the role of communication in internationalization processes, through a comparison study of two European RTO s: Wageningen University and Research Center (The Netherlands) and Tecnalia (Spain). The idea is to analyze the internationalization stage of the organizations and their mid-term goal in international markets, to evaluate in deep the role that is playing communication in these processes. For doing that first, the internationalization patterns of both RTO s are going to be defined, taking into account the real stage of internationalization and their desired stage; then four communication factors in international approaches are going to be analyzed for both cases to get some insights and valuable information to solve the research questions. With the conclusions some personal recommendations are going to be given. One intention of this study is to merge the communication science and the research institution s agenda, which according to the found literature is minimal. It is essential to create empirical evidence in order to support and to maintain the on-going assumption that an improvement and implementation of strategic communication approach leads to an easier internationalization of Research and Technology Organizations. Based on the previous background information about the peculiarities of these organization and problem statement, one would wonder if RTO s are taking into account communication for their internationalization strategies and, if so, which aspects are been taken into account. The main objective of this thesis is therefore to determine the role of communication in internationalization processes by researching the different interventions, actions and tools important for the internationalization process related to communication. This leads me to the study of different communication factors playing a role at different levels of the organization that could be able to improve the internationalization experience. The following chapter outlines the review of both empirical and theoretical literature. Theories concerning the concepts are analyzed to ensure the understanding of the topic and the relevance of the study. Communication and internationalization are some of the issues to be addressed by the RTOs in this new context. Concepts are defined in relation to the communication and internationalization processes of RTO s. A third chapter will address the data collection and used methodology for the research setting. The fourth chapter of the thesis presents the main results and findings of the study. This chapter will be followed by a discussion on the findings which will also bring along insights from other studies. And finally, in the concluding chapter a summary of the findings with respect to each research question and 12

13 suggestions for future research are provided. The full reference list is found at the end of the thesis, along with appendices for the questionnaires and additional raw tables 13

14 2. THEORETICAL FRAMEWORK This chapter will discuss some relevant theoretical insights around the internationalization processes to define and limit some important concepts for the issue. In the first section existing knowledge on internationalization, based on business internationalization, will be described for getting more insights about the processes and learn from these experiences. In the second part, attention is paid to known communication empirical cases described in existing literature. Specifically, the four communication elements that are considered relevant for the internationalization processes are brought forward. Both part will give and overall situation to tackle the study of RTOs and their communication in internationalization processes. 2.1 Internationalization Market trends are changing towards a globalized sphere were interdisciplinary stakeholders, new policies and different international demands have to be covered. In this context, companies need to understand this new framework and find their best way to participate (Cavusgil, 1980). More competitive and dynamic firms, with added value products and services are going to be needed. New trends and dynamics have generated specific market opportunities for those businesses able to compete in the global market. In the particular case of knowledge intensive organizations trends walk close to the ones marked by the business markets. RTOs international behavior is going to be the studied, through a comparison with the existing business experiences and trends. Consequently business related internationalization models are going to be introduced to help in the understanding of the RTOs participation in global markets. As has been explained previously, globalization is accompanied by a sociopolitical context, where more and more governments demand to these organizations (historically dependent on their funds) more autonomy and competitiveness to be able to approach other international markets and clients. Even there are different ways to approach international markets, in the following paragraphs some theories are going to be introduced. It is known that RTO s have different internationalization stages, but most of the European centers are in a premature stage where only international collaborations, publications, informal exchanges and cooperation agreements are involved. According to Sharif and Baark (2011), is less common to find centers in an advance stage of internationalization working with foreign clients or establishing research units abroad. To determine the internationalization degree of the Center s, it is important to analyze business bibliography in other to bridge the existing gap of knowledge and references related to research organizations. 14

15 2.1.1 Business Internationalization Business related internationalization theories, introduces different ways to approach international markets. Most of the times these processes have been related to exportation and wholly owned subsidiaries. Most of the literature in Internationalization processes has industrial and product-related business focus; few authors introduce a roadmap for knowledge intensive organizations (with specific characteristics). There are different perspectives (product life cycle, outcomes, environment ) to approach theoretically internationalization. This paper is going to focus on behavioral models analyzing strategic business decisions to approach new markets. The Uppsala Internationalization Model (U-M) (Johanson and Wiedersheim-Paul, 1975) and the Innovation-related Internationalization Models (I-M) (Bilkey and Tesar, 1977; Cavusgil, 1980) develop the role of knowledge and experiential knowledge in internationalization processes (Brennan and Garvey, 2009). The first model explains how organizations approach foreign markets gradually -in an incremental manner- following certain steps. Innovation Models however describe internationalization as an Innovation (Madsen and Servais, 1997). Both describe a gradual process to approach foreign markets as strategy to reduce uncertainty and entry risks of the new market framework. The Uppsala Internationalization Model (U-M) assumes that organizations first amass knowledge during everyday work in their home markets before going abroad. This moving abroad act, it is usually to countries culturally or geographically close to their own, takes time and experience to move to countries more culturally and geographically distant, authors call this phenomena psychic distance. Psychic distance in terms of factors or trends that can hinder the landing of the organization in the new market or the proper understanding between the market and the firm (differences in language, culture, political systems, level of education, or level of industrial development) (Johanson and Wiedersheim-Paul, 1975). According to the first trade movements are usually traditional exports and then once they are established they implement more intensive and demanding operations (Andersen, 1993). Johanson and Wiedersheim-Paul (1975) identify four successive stages: Stage 1: No regular export activities. Stage 2: Export via independent representatives (agents). Stage 3: Establishment of an overseas sales subsidiary. Stage 4: Overseas production/manufacturing units Each step consecutively represents a higher degree of internationalization of the organization. 15

16 In the Innovation related Models (I-M) the internationalization process is taken as an innovation for the firm. Table 1 shows how different authors propose different stage-based models with some common items. They explain a successive chain of phases with a common starting point of non interest on internationalization or a comfortable situation in the home market. They start from psychologically close countries to later on approach more distant ones when they become experienced. Table 1 A review of the Innovation-related Internalization Models (Andersen, 1993). Another current was developed, with those enterprises that were founded with a global or international orientation and not following already established stage-based models. The Network approach (Johanson and Mattson, 1988; Johanson and Vahlne, 1990; Axelsson and Johanson; 1992) established that the international success was based on networks and capacity to develop these networks by the company. The Born Global model (Madsen and Servais, 1997) is about overcoming new market s uncertainty with the experiential knowledge acquired by their employees in previous projects. Born Global Models state that each firm has different ways of internationalization and it depends on the previous gained expertise of following elements: network, entrepreneur experiences, previous international experience, the products and services that are going to be offered, market knowledge, relations, expertise etc. (Brennan and Garvey, 2009). 16

17 The static aspects are represented by the firm's "market commitment" to the foreign markets and the "market knowledge" about foreign markets and operations. The change aspects are seen as "commitment decisions" and "current business activities" (Madsen and Servais, 1997). It is necessary to understand market commitment as the sum of two elements: the resources that the firm is going to assign and the impossibility or difficulty of re-use and transfer them for any other alternative use. Market knowledge is referred to stored knowledge about markets, transfers and international operations in employees mind, documents and computers. Authors agree that any international activity needs from experiential knowledge and market specific knowledge and more general knowledge on markets. This market specific knowledge will be got from the different market experiences and activities in foreign countries; this will increase the stored knowledge to later be applied in coming practices and new countries (Andersen, 1993; Madsen and Servais, 1997). These theories describe different forms and approaches of internationalization, some parts are complementary and depending on the company, environment, management director, expectations, country or product each organization will follow one, two of some parts of all of them. Hybrid solutions or formulas are common nowadays as the best way to respond to the market needs in the global context (Mas-Verdú, et all. 2008). Internationalization does not respond anymore to pre fixed formulas, adapting and developing tailor made approaches. Experts agree on the fact that organization s internationalization processes are slow and fewer than desired. Lack of knowledge about new markets, uncertainties and their strong link to their regional and national systems are some of the extended barriers in all the models, even for the Born Global s (Johanson and Wiedersheim-Paul, 1975; Madsen and Servais, 1997) Research and Technology Organization s Internationalization A more specific literature review on RTOs has been done to analyze this phenomenon in a context of research organizations. Even though there are few study cases done some authors shed some light on the issue. In this case, authors are not very specific and even they point to a stage-based process they just distinguish two main stages in internationalization processes of RTOs: an infancy stage or primary one and intermediate or second stage. Most of the RTOs in Europe are nowadays in a primary or infancy stage, which main focus remains in: basic collaboration abroad; publications; informal exchanges; cooperation agreements or technology alliances. Few of them are in the intermediate or second stage, where they start acquiring new foreign clients, establishing R&D facilities abroad through foreign controlled affiliates or investing in foreign countries (Berger and Hofer, 2009). 17

18 Together with the different stages that internationalization processes can experience, Hatzichronolglou (2006: 7) explains a typology of some main forms of internationalization of R&D: establishing R&D activities by foreign- controlled affiliates in the host country; Setting up R&D laboratories abroad by investing countries (countries of origin); Creation of joint ventures situated in one of the investing countries or in a third country; Co-operation agreements or technological alliances between independent groups belonging to different countries, whether or not they have financial links to each other; the various forms of international subcontracting of R&D. Two studies (Berger and Hofer, 2009; Preissl, 2000) showed how the path followed by the RTOs (to some extent) in internationalization processes is similar to the stage-like route followed by transnational corporations, universities and R&D in their internationalization. Hence, the models explained before and used for enterprises match perfectly with the path that RTOs follow. RTOs, once they are established in their local markets start exporting their first services; then they will establish the first trading, marketing units and R&D services. Their driving force to emphasize sales is to establish new customers and collaborations to enhance the expertise. Here again, as the models showed before relations, networks and experiential knowledge are crucial to success. Hence, impacts that internationalization can produce in RTOs are: increase the international reputation as excellence research centers, gain high level scientific contacts, acquire better research competences and more international publications (Berger and Hofer, 2009). It could be observed that their hybrid (public private) status and the amount of public fund received made them develop more their scientific internationalization instead of their business internationalization, exploiting internationally their R&D services and introducing new fund sources. Nowadays, the new socio-economic situation and framework will oblige them to: be aware of the new market opportunities abroad, follow their industry clients and R&D activities abroad, develop new competences and look for new alliances to expand their knowledge. It is important not to forget that the same phenomena will affect somehow regional and national innovation system customers (SMEs, universities or industries) which will need to be ready to compete globally, changing their demands to more specialized R&D services. 2.2 The role of communication Innovation concept has evolve considerably during the last years, from a linear model into a complex process, where multiple interconnected networks and dynamics have to be re-ordered in a defined context (Leeuwis and Aarts, 2011). This re-ordering activity and collective process is full of communicational 18

19 moments to be planned and designed. Hence, communication plays a crucial active role in designing, facilitate and intermediate phases for these innovation processes. Communication has also evolved in the same line as innovation studies from a mechanical model objective model of communication to an actively constructed model where those involved build the meanings (Leewis, 1993). Even communication plays an important role in innovation processes and authors are aware of this synergy, still is a broad term with lack of literature related (Leeuwis and Aarts, 2011). Multiple meanings, definitions and theories are attached to this concept. This report is going to focus in the communication approaches that could be crucial in internationalization processes of RTO s. It is important to remark, that there are no similar researches done or literature available analyzing the role of communication in internationalization processes of RTO s or analogous institutions. Knowledge generation, R&D production and technology demand have become global, there is a global unique market where compete. RTO s are the interface or connection point between these parts, so they will need to adapt offering valuable advantages to the new glocal clients and partners. Thereby, more attention should be paid to new emerging technologies and to address new market trends (Mrinalini and Nath, 2008). These processes need planning, strategic thinking and a constant benchmarking to be able to respond with the available knowledge to the technological demand. Hence, they don t occur in isolation they take place in connection with other organizations, processes and trends making essential the role of communication. RTO s activities abroad are full of processes related to alliances, connections, reputation, marketing capacity, knowledge transfer, deal with power and these are elements to take into account from the communication perspective. An emerging number of authors are paying attention to science collaboration practices, connecting cooperation and collaborative approaches in science with high productivity and satisfactory results. Moreover, they pointed as a challenge of research collaboration the inclusion of participatory practices and the involvement of multi-stakeholders. Even interaction between groups can directly offer benefits to the process, authors (Roelofsen, et. al., 2010) state a need to further research how to implement these results beyond the protected spaces in the real arena. Insight on how to facilitate and implement these processes of interaction, visibility building and networks is lacking. Leeuwis and Aarts (2011) propose three main processes in R&D where the function of communication is crucial: in network building; supporting social learning; and dealing with dynamics of power and conflict. These are common steps to be reinforced in internationalization processes by the communication techniques and strategies. 19

20 In this paragraph some of the determinants that could influence the role of communication in the internationalization processes are going to be analyzed first shortly, to later on present some already made researches or study cases. There is no literature referred to the role of communication in these organizations so a new model has been developed taking into account five communication related factors affecting internationalization processes. The factors are interconnected and might influence the RTO s in the internationalization process. Here, we are going to analyze different levels and elements of the organizations. First, internal communication processes have to be suited, organizational culture and a strategic organization structure properly oriented to communicate could be crucial for a proper internationalization. Second, in the Born Global models stated alliances, networks, cooperation, power building, knowledge management and knowledge transfer are important processes. Hence, first the organization itself is going to be studied, to later on understand and guide its behavior in a global market context. It is assumed that both stages are related and affecting each other in the sense that a bad internal structure or organizational culture could develop miscommunication between parties in international project implementation. There could be more or different stages and factors, but that it has been found these ones specially relevant as they might add value or affect -in case are not well used- internationalization processes. The study of these five elements can give an overview and important insights about the main question of this research: how is the role of communication in the internationalization processes of RTO s. FACTOR I: Building a strategic organization chart FACTOR II: Organizational Culture FACTOR III: Network improvement FACTOR IV: Project building This research hypothesizes that these four functions related to organizational and communication processes interfere in internationalization stages. In the coming sections the four elements are explained, and described as follows Organization and culture building FACTOR I: Building a strategic organization chart This section is going to analyze the organization chart from a strategic point of view. The different position and relevance given to internationalization and communication can give an impression on how relevant 20

21 are this issues within the organization. Where are located, (bottom or up; leading or not; how many people are working) or the weigh and power got to change, lead or manage decisions can influence the organization s path. Corporate communication is a strategic tool for companies, in their everyday life tasks there are communication elements included (Dolphin and Fan, 2000). Meeting, projects management, information flow and commercial issues are related to communication. Corporate communication is an underresearched phenomenon. There is lack of literature around processes and outcomes, but more and more authors and companies are getting concerned about the strategic function of communication. Some authors stress the idea that it is essential to re-think organization s internal structure to find a real strategic position to communication. For many years communication has been a low category service with an assistance function, nowadays authors insist to introduce communication to decision making processes (Howard, 1992; Wright, 1995; Dolphin and Fan, 2000). This second factor, will pay attention to the way are organized the centers and to analyze the role of communication units inside the organizations. The influence of having some specific tasks and power in internationalization and communication field at the company it is going to be analyzed. FACTOR II: Culture building To start inducing an internationalization plan it is crucial to implement an organizational culture plan guiding the group to a common goal. Every internationalization process in an organization starts from the development of an organizational culture pointing abroad. Culture in organizations has been always linked to the analysis of consumer or client behavior. For years most of the efforts related to design a better approach of the target groups or objective publics have been focused in research about consumer behavior, market segments and trends or client profile analysis. Nowadays scholars introduced the importance of organizational culture for the management of the institutions and the improvement in their results (Deshpande and Webster, 1989). Some sociologists in the mid 70s started introducing this new meaning or application of the concept of culture, after seeing the incongruence of the traditional models of organization between organizational goals and outcomes, the different strategies to achieve them and the implementation processes. The management of the organizational culture is the recognition and design of shared values, beliefs, identities, and commitment from the members of the organization to achieve in a common strategy the set out goals and challenges in an effective way. To be competitive in the global market it is important to pay attention to the culture developed because just those organizations ready to adapt and to learn will survive 21

22 better to the changes of the trends. There is a solid link between those organizations with a strong cultural model (with shared knowledge, good communication flow, expectations, agreed strategies and congruent norms and values) and high efficacy (Brannen and Salk, 2000). Organizational culture is defined in many different ways in the literature but authors agree on three common characteristics: 1) a common set of values that motivates individual behavior 2) values which are implicit and taken for granted, rather than explicit or written out and 3) values which are represented and communicated through symbols (Bryant and Sheehan, 2007). There is a process to arrange and prepare everyone to look further (looking for international projects, demarking new goals abroad, with personal mobility, negotiation, assessment ) to new international opportunities. As a system of shared values, in organizational culture is important to understand the internal dynamics, shape attitudes or guide some behaviors (Robbins, 2000) and approaches. An open culture organization will promote knowledge sharing, debate and communication flow. While a close organizational culture will reduce the free sharing of knowledge, promoting the distrust and power imbalances. Then it is important to build a culture of care, to make sure that organizational members see themselves as a team with a common goal, strategy and helping each other in the way. This is necessary for knowledge sharing. Here the research will analyze the organizational culture in terms of openness and bureaucratic nature of the communication (Magnier- Watanabe et.al, 2011). This pre-internationalization stage is crucial to venture the organization into new areas of research and markets. RTO s have to accelerate their capacity to adapt to new fields and practices; here organizational practices and culture construction are essential. Hence, through organizational culture we want to know in which stage is the organization, if it pays attention to the culture, if the knowledge flows, the openness or nature of the culture these aspect that in case are not well defined can affect internationalization process Network building and project management FACTOR III: Network building In this chapter different forms of relation techniques between centers are going to be explored. Personnel mobility, joint project development, collaboration strategies and network building activities are some of the issues to analyze. To build a network based on trust is important to approach a new market. All the networks are based on relations: economic, social or environmental relations. Relations can come from different paths: projects, cooperation, commercial work, meetings or personal relations. Communication is always necessary in 22

23 these interactions and elements like brand, reputation or power could determine organization s position in the network. Favorable reputations can therefore generate excess returns for firms by inhibiting the mobility of rivals in the market (Caves and Porter, 1977; Wilson, 1985) In knowledge and research world reputation is established by rankings and scientific rates. Publications and patents are the way to raise this numbers and determine the status of the institution. Already done research joint projects and cooperation are an opportunity to build up relations and generate alliances. Collaborate with new stakeholders can help to attract more projects; communicational elements could be relevant for this process. All these factors should be strategically coordinated to develop a consistent brand and public image of the organization. From ordinary actions like: meetings, visits, conference presentations to publication formats, media coverage and being proactive in the working field or issue. More and more knowledge organizations are getting aware of the importance of being known and communicate their work. Above, in other disciplines we have seen a positive relation between reputation and brand management and business results. As Fombru and Shanley (1990) state signaling consumers about organization s quality, favorable reputations may enable firms to attract more funds and investors. In knowledge based market the role of knowledge brokers using a wide definition of the term- is becoming essential to connect the organization with key partners, establish connections abroad and be permanently updated on the business activity. Knowledge brokers, is the term used in Innovation studies to define the role of those organizations, companies or persons who link or reduce the distance between groups like industry and scientists. These professionals translate organization s need into actions reinforcing the communication channels between actors and facilitating the understanding. They simplify information making it understandable for each group; they bring together researcher s and other interest group s (entrepreneurs, policy makers or multinational) demand and offer; translating research questions into projects opportunities and developing networks (Choi, et al. 2005). Is a noteworthy task to achieve by RTOs, to make sure that the available knowledge or generated findings are moved into practical measures, actions or projects. FACTOR IV: Communication in project building Project building is closely connected to the network build-up capacity of the organizations. In this chapter, several issues are going to be analyzed to determine how is the procedure of RTOs and the different factors interfering in the project building process. Hence, already analyzed factors like the public funds linkage and global market trends are going to be taken into account. 23

24 New ways of projects and production are going to be relevant in the coming years, based on collaborative and cooperative formulas and integrating new actors (multinationals, investors, entrepreneurs). RTO s have an important attribute that makes them powerful, the generated and remaining knowledge after the activity. This knowledge can be used in different ways, as a learning experience for the center, for other similar centers, for the region knowledge transfer between parts or co-innovation. This knowledge used in the right direction will be essential for the project development in the new context, but it has to be improved the way is showed and transferred. Transnational businesses, entrepreneurs and investors have different needs and formats, and RTOs should be able to adapt. Knowledge management (KM) is acknowledged as being indispensable for innovation processes, decision making and internal reorganization or restructuration of the agents (Earl, 2001). In most of the cases the relation between knowledge management and business strategy has been overlooked for many years. In a resource-based perspective, human resources, capabilities and other components are the real added value that organizations should use get a better position themselves in the market strategically, instead of using product or service-based strategies (Magnier-Watanabe et.al, 2011). Knowledge management is a multifaceted procedure complex to describe and with many factors affecting or shaping it at the same time: climate, organizational structure, relationships, goals and strategies influence somehow. Polanyi (1966) stated in the Knowledge creation theory that there are two forms of knowledge tacit and explicit. Tacit is the kind of knowledge that cannot be expressed in data, language or diagrams (values, points of view, skills or know-how) and explicit knowledge is the objective one that can be expressed with diagrams, tables, data or language (articles, models ). The knowledge creation process has four steps (SECI): Socialization (to acquire tacit knowledge from the interaction in the market with clients or other agents), Externalization (the knowledge gained before is turned into explicit knowledge to be spread it in the organization) Combination (here the explicit knowledge got it is going to merge with other knowledge previously gotten), and Internalization (at the end, the members of the organization internalize the knowledge and make use of it or apply it). There are lots of studies about the impact of knowledge management in organization results but not many about the better way to manage it. Experts classify these steps into five categories: organizational culture, Ba, leadership, organizational control and work style (Magnier-Watanabe et.al, 2011). This study will introduce other steps and focal points, to evaluate and analyze the project building process and the knowledge management behind. Explore if there is room for participatory research framework (Neef and Neubert, 2011) as an alternative to the formal or conventional research under controlled conditions. An space with optimal conditions to blend different knowledge, perspectives and contributions from different stakeholders or researchers. In this 24

25 changing context new ways of solutions are going to be expected from RTOs, approaching projects in a innovative way, based on participation, collaborations, shared knowledge or other creative formulas. In organizational culture, once that the previous chapter is studied and hence the organizational culture of both centers analyzed will be necessary see how these cultures affect to knowledge management transfer. It is crucial to determine the predisposition of the structure and the organization to raise collaborative and participatory attitudes. Leadership, is used to influence, implement values, manage and guide so it s a powerful tool to consider in knowledge management and transfer. Motivation, opportunity and ability are variables related to the degree in which people process information (MacInnis & Jaworski, 1989). The first two are factors that leadership can influence, guiding the visioning of the members, establishing shared values and goals. In organizational control, is going to be checked if objectives, empowerment and creative chaos are well defined in the organizations. Having clearly established objectives, both at the individual and corporate level, guides what knowledge is shared and created toward achieving organizational goals. In a turbulent environment with frequent personnel turnover, such as in sales, clearly defined objectives and roles provide a sense of direction and can help recover knowledge and lost skills (Lemon & Sahota, 2004). Empowerment and creative chaos have been shown to be necessary conditions for the creation of knowledge. Empowerment allows employees to freely seek new methods and knowledge, whereas creative chaos is a prerequisite for the creation of knowledge (Nonaka & Takeuchi, 1995). A study of the working climate or behavior between members of the organization should be done to see if there is a proper atmosphere for innovation and knowledge flow. For innovative results, ideas flow, knowledge transfer and collaboration among groups and stakeholders is needed. The facilitation of this atmosphere is related to capacity of the personnel to decide, to interact with other departments, to incorporate innovations and the available space for creativity. The combination of these elements and their influence in the internal functioning of the organization can determine the interaction with the market. 2.3 Hypothesis Used theories, models and knowledge applied in different disciplines will help to guide this study to analyze specific cases. Lack of literature on RTOs experiences and activities, brought this study to develop an exploratory research to determine some formal starting points. Hypotheses are launched to shed light on the topic and prove certain general statements. 25

26 Supported on internationalization business models the internationalization processes of studied RTOs is going to be described. Exploring their trajectory and future goals, their internationalization approach will be described. It is fundamental to see if there is any similarity with the processes experienced by enterprises and if they are affected by the same barriers and difficulties. If it is possible it is going to be determined in which internationalization stage (primary or secondary) are they. This report will explore the role communication plays in Research and Technology Organizations. Therefore, different tasks and used channels will be mapped; strategic position will be analyzed; power and decision making described; organization s presence abroad taken into account; and the available human resources and the developed tasks in communication explored. Exploring the structure of the centers and the position of communication on them, the strategic position of communication is going to be analyzed. Based on the preceding discussion, the following hypotheses can be proposed. Hypothesis 1 is concerned with the strategic communication in internationalization processes. Although, there is lack of information about it this study will try to put light in this issue and determine some of the factors are involve in the process. Therefore, it is hypothesized that internationalization processes are impregnated of strategic communication (H1). However, to dig deeper it is key to take the four aspects or communication related factors into perspective and compare these in order to define which aspect has effect, if any, on improving the internationalization process. It is going to be measured if the internationalization processes of RTO s are stage-based, following then the business oriented theories of internationalization processes. To conclude, it is studied that (H2) a strategic control and correct implementation of the introduced four communication elements influence positively the internationalization process. 26

27 3. RESEARCH QUESTIONS, METHODS AND RESEARCH SETTING Given the issues revealed by the theoretical framework related to internationalization, and following the general objective of this thesis, a number of research questions can be defined that guided the data collection and the analysis. The process of data collection, interviewing and data analysis are collected and discussed in this chapter. The research and data collection took place in two emplacements: Basque country (Spain) Tecnalia and Wageningen (The Netherlands). 3.1 Research questions The first research question is hereby stated as follows: Does a good integration of strategic communication in RTOs lead to a better internationalization of the center? What need to be assessed are the embedded two concepts studying the level of strategic communication in the organizations and the internationalization stage. To later on consider if both concepts are positively related as is stated. First the understanding of the internationalization processes in RTO s will be needed to then establish the communication approaches taking part. By bringing these components into the subject of analysis first we should respond the following research question: Which is the internationalization stage of the studied centers? It is necessary to address in which stage of internationalization are now a days the studied centers and which are their expectations. Study their experiences, their environment and how they manage this kind of decisions inside the organization. It is important to know what kind of internationalization they have developed already. Once we have clear their strategies the study of organization s behavior in communications will be necessary, therefore the next question is formulated as follows: Which are the main barriers and needs that these two organizations find to start or improve an internationalization process? Research and Technology organizations are surrounded by uncertainty. Governments are not anymore supporting their activities and research, they need to approach new markets, shift from the public sphere to the private market and more and more expand their network abroad.. Which are the main challenges in internationalization to approach the desired goals in coming years? 27

28 These challenges are full of processes were communication is important: alliance establishment, network development, brand reputation... There is a lack of literature and reported cases to learn from. The main goal of this study is to of establish a first step, responding to the following question. Is communication a strategic element in the internationalization processes? It has been shown that more and more firms are taking care and developing integrated strategies together with the communication department to reach new countries. Globalization, international competitors, finding new private funding sources makes communication become essential. Is important to define if it is taken into account and how is developed. Are the four communication elements identified before (organizational culture; organizational structure; international cooperation; communication in project management) taken into account in the internationalization processes? Understand if these factors take part in the internationalization process and, if so, how are developed and if it affects positively or negatively to the result. 3.2 Study site Two different Research and Technology Organizations have been studied. This section will introduce both of them to explain their characteristics and differences. Both cases are in integrated differently in the Innovation System of their countries. The case of Wageningen University and Research Center was chosen because it is an advance and different system with experience in international alliances, networking and project implementation processes from where it is going to be able to extract some positive and negative learning experiences. Wageningen UR is not a technology development oriented RTO as Tecnalia, but it has an interesting complex structure combined with a high level third generation university: research institutes, companies and entrepreneurs incubators. Tecnalia was chosen as a completely different center within a not mature internationalization stage, but with a promising future. This technology center located in the north of Spain, it is close linked to the history of Basque Country and to strong science and technology policies of the government in the post industrialization era. Even it is a private center, the government contributes to a significant part of the funding. This made Tecnalia to be more focus on the regional innovation system, assisting and giving solutions to SME s and local industries than be generating new networks abroad. This is still a difficult challenge to be achieved, and even more now that the economic situation has turned out negative. It is 28

29 necessary to ensure the permanence of the Organization to approach the international market and start competing in this level Wageningen University and Research Center Wageningen University and Research Center was born to fulfill the demand from the industry and public sector in the University hot-topics. Wageningen University focus on five main research domains: Agrotechnology and Food Sciences, Animal Sciences, Environmental Sciences, Plant Sciences and Social Sciences in a transversal way. WUR links generated knowledge through the University with the industry and other stakeholders. To introduce Wageningen University and Research Center (WUR) it is necessary describe first shortly the history of Wageningen, the city of life sciences. In 1876 the state founded in Wageningen the National Agricultural Education in Netherlands in what was before the local council s Agricultural College. One year later, in 1877, DLO the first agricultural research station, what will be the antecedent to the current research centers. It was in 1998 when the Agriculture University was launched as Wageningen University and when the formation of what we know now as Wageningen University and Research Center was structured. Here, DLO Research Institutes, the Institutes for Applied Research and the University were merged. This was the starting point of what the experts call the third generation university as we know nowadays Wageningen UR (Wageningen University and Research Center, taking into account the university, the research centers or DLO and the Applied Institutes). The main domain of Wageningen UR is healthy food and living environments covering three interconnected areas of research: Food and food production (sustainable agriculture and horticulture, fisheries and aquaculture, human nutrition and health, international food chains and networks, animal health and welfare, and the use of biomass within the scope of bio-based economy); Living environment (Nature, landscape, biodiversity, land use, climate change, water and ocean management, and the various needs regarding the use of space); Health, lifestyle and livelihood ( The influence of people s behavioral choices regarding health, food, and living environment, the behavior of consumers, citizens or recreational participants, attitudes towards risk and uncertainty, the perception of quality and safety, working and living 29

30 conditions in the agrifood sector itself, and the importance of food safety, especially in developing countries. 7 Looking to the internal composition of WUR, it is possible to see that the whole system is structured in five main groups: Agrotechnology and Food Sciences; Animal Sciences Group; Environmental Sciences Group; Plant Sciences Group and Social Science Group. All of them integrated by the University department but also by different research and technology institutes. The Research Foundation DLO is the organism of focus in this paper. It has five institutes: Food and Biobased Research; Livestock Research and Central Veterinary Institute; Alterra; Plant Research International and Applied Plant Research; LEI and Center for Development Innovation. Illustration 1 Wageningen University and Research Center organization chart (WUR) For a better understanding of the reality surrounding Wageningen UR, it is necessary to explain that the Netherlands is one of the biggest agricultural producer and exporter (20 billion euro annually). The agrofood industry represents more than the 10 per cent of the country s gross national product of the Netherlands (Wissema, 2009). This East part of the country has been renamed as the Food Valley because of the active and complex net of research institutions, food enterprises, spin-offs, pilot projects and academic organizations strategically located around Wageningen University and Research Center. 7 Wageningen University Strategic Plan , Wageningen UR. 30

31 Some of the public and private centers established as network of WUR include important company s laboratories like NIZO food research BV, TNO Quality of Life, Centre for BioSystems Genomics, Innovation Cluster Nutrigenomics, and the Netherlands Plant Protection Agency. Another key player in Food Valley is the Top Institute Food & Nutrition, the former Wageningen Centre for Food Sciences (WCFS), which is an alliance of some of the larger Dutch food producers (e.g. Unilever, Royal Friesland Foods, Campina, DSM, Cosun and Avebe) and Wageningen UR, TNO and Maastricht University to carry out joint precompetitive R&D. There are also a number of innovative companies located in the area, such as Keygene, Seminis Vegetable Seeds, Dr. van Haeringen Labs, Heinz, and Struik Foods Europe, and an increasing number of agri-food and life sciences start-ups such as Genetwister, Catchmabs, Checkpoints and EasyGene. Consequently, because of its knowledge infrastructure, facilities and the presence of highly educated professionals, Food Valley has become the location of choice for a variety of innovative companies such as Campina, DMV and Numico Research (Hulsink and Dons 2008) or innovative bio-tech incubators (Genetwister, Catchmabs, Checkpoints, Plant Dynamics, Porifarma and many others), science parks, innovation clusters, a conference centre and all kinds of networking activities related to the main domains of Wageningen UR. There is a project Food Valley Innovation Link offering matchmaking and networking services with companies, laboratories and research institutes of the Wageningen Food Valley and with other alliances in Europe and partnerships in Japan. This whole system gives Wageningen University and Research Center a perfect integration of different parties to be competitive in national and international markets. A short introduction of each institute it is going to be given: The Centre for Development Innovation organizes its work around 5 programs: Innovation and Change; Secure and Healthy Food; Sustainable Markets; Adaptive Agriculture: and Ecosystem Governance. 31

32 Illustration 2: Know How carousel (by J.G. Wissema Associates) Alterra is organized on four main topics: rural development, biodiversity and ecosystem services, climate change and adaptation, and risk management, and rooted in five specializations (Soil, ecosystems, geo-information, landscape, and water and climate). More than 600 people work for the center, in cooperation with 20 chairs in Wageningen University. LEI (the Agricultural Economics Research Institute) covers economic and social research in International Policy; Consumer and Behaviour; Natural Resources; Markets and Chains; Regional Economy and Land Use; Agricultre and Entrepreneurship. Founded seventy years ago with the support of the Dutch Governemnt and some agricultural organizations, develops consultancy and advisory solutions guided by their research results for different kind of organizations and policymakers. Some client examples are: Ministries, regional and local governments, product boards or trade organizations. RIKILT, Institute of Food Safety, is an independent research institute in the area of safe and healthy food. They carry out research into the detection, identification, functionality and effects of substances in animal feeds. It has two main research business areas: residue and contaminants analysis and bioanalysis and toxicology. More than 200 employees work in RIKILT TECNALIA Research and Innovation Corporation The second case study is Tecnalia, an industrial solution oriented research center located in Basque Country, Spain. Born after the political transition period in the 90 s, it was a strategy from the government to give technological solutions to the remaining industries of the zone. By years the principal sustain of 32

33 these centers were local and regional industries with the main support coming from the basque government. Those years represent a milestone in Basque country industry history; the government implemented a strong policy of commitment to re-launch some industrial sectors. One point of the strategy was the consolidation of the research and technology centers. Nowadays, with the merge of eight existing research centers in 2010 (Cidemco, EUVE, ESI, Fatronik, Inasmet, Labein, Leia and Robotiker) is one of the largest technology corporations in Spain with approximately 1500 employees. Structured around seventeen units and five divisions on: Information and Communication Technologies; Industrial Systems and Processes; Natural Resources; Transport and Mobility; Innovation and Competitiveness; Sustainable Development; Health and Quality of Life (Sanchez et. Al, 2009). Nowadays Tecnalia is an applied research center committed to the scientific and technological development of the collaborating companies and the society as a whole. Illustration 3 International network of Tecnalia It has a developed international network based in shared facilities and collaborators. There are three main figures of internationalization represented in the map (Illustration 3). Shared innovation centres, located in El Cairo (Egypt), Bogotá (Colombia), Sophia (Bulgaria) and Anglet (France); Technological Nodes or permanent structures in Montpellier (France), Pisa (Italy) Belgrade (Serbia)and Tubingen (Germany); Joint ventures in Brussels (Belgium), Monterrey (Mexico) and Caparica (Portugal); and a large sales network in countries like Argentina, Belgium, Brazil, Bulgaria, Canada, Colombia, Korea, China, Denmark, Ecuador, 33

34 Finland, Hungary, Ireland, Panama, Italy, Perú, Portugal, United Kingdom, Taiwan, Uruguay, Dominican Republic, USA and Venezuela. The keys turning the vision of Tecnalia Research & Innovation into reality are marked by the following: its private nature; the focussing of its activity on Applied Research; the fact that it is a centre of international excellence (international R+D contracts, foreign researchers, and international accompaniment of local industries, licences, IP, etc.); the impact it has on local industry (R+D and Innovation projects with companies, spin offs, training, E+C services); its openness; and the fact that it has become a centre that attracts people who want to develop their creativity, and organizations (networks) keen to interact and co-generate knowledge with Tecnalia. (Strategic vision of Tecnalia: Tecnalia s strategic vision points to a new way of transforming knowledge into results, looking for ideas that help enterprises and organizations to have a better approach or added value products. The new claim Inspiring business is a shift in the vision and mission of the center, business oriented instead of research oriented. Applied research is used to identify and develop business opportunities. Tecnalia in numbers has million Euros per year of turnover and 1,663 highly qualified professionals working from 27 countries. In start-ups were launched and maintain a stake in 21 of them. It has a technology based business incubator and an entrepreneurship educational program. In the coming paragraph selected research sample is going to be introduced. Each respondents profile is described to explain the developed hand-picking processes. 3.3 Selection of respondents From each organization (Wageningen University and Research center and Tecnalia) eight employees were selected from different departments (all of them related to the identified four factors that could affect the internationalization process). It is interesting for the study to select people with decision capacity, to be able to extract strategic information, but it is also necessary to reach all the levels of the organization to have an overall idea of how are the information flow and the evaluation of the communication. From Wageningen University and Research Centre the following positions are going to be interviewed. - Three people from communications with different positions. One from the international communication department, another one, from the communication office, and a third one in charge of the communication of one of the research institutes. 34

35 - Two researchers from research institutes with similar positions and experiences in international projects and participatory processes. - Three international relations coordinators with focus on different countries. The list of people that it is going to be contacted in Tecnalia is the following one: - One person from the managament board with resposibility on the international development of the organization. - One from the Internal communication department. - One from personnel department in charge of the organization culture development. - One European projects coordinator. - Three researchers from different business units and with different positions: one developing a project abroad, another one coordinating international projects, and a third one involved in entrepreneurship programs. - One from the international affairs department from one of the business units 3.4 Questionnaire design As little is known about the role of communication in these processes, the literature research will be combined with a qualitative method of research based on semi-structured interviews, to help to fill the information gaps around the topic. This exploratory research will help to provide new insights about how both organizations deal with communication in the internationalization processes. From this resulting information some learning experiences are going to be extracted to build up some practical recommendations. To answer the research question a qualitative research was executed. Qualitative research aims to answer questions about the what, how and why of a phenomenon, rather than questions about how many or how much. In order to understand the role of communication in internationalization processes and how different organizations deal with it, a research with open interviews and supported with literature it is going to be completed. For doing that sixteen interviews are going to be done in different strategic departments of both centers. 35

36 3.5 Data Analysis The interviews were analyzed via qualitative analysis techniques. First the data was organized via topics and keywords and iterative process of reading the interview transcripts, listening to the interview voice files, identifying predetermined and emergent themes in the data, writing short commentaries on individual interviews or segments across the interviews, reorganizing the data around themes and further close reading of the thematically organized data. The themes brought forward in the sub-research questions were used as a guideline for selecting the keywords. The interpretive coding technique was subsequently used to systematically analyze the collected fragments and themes. An example of such a theme is internationalization a code like barrier or communication was identified to classify given information and responses. An overview of the different codes, categorized per theme, was made. Subsequently, the similarities and differences between codes, the context in which the codes were used and the relationship between one or more codes within one interview or among interviews, were investigated. Based on these reflections, the main findings were brought forward and contrasted with the theories previously presented. 3.6 Limitations The applied methodology, described in the previous paragraphs, have certain restrictions and therefore limitations. This paragraph illustrates the limitations of the selected research methods. The selection of the respondents could be biased as it was done by snowball sampling. Interviewees were selected by their function and position in the organization hand picking and by recommendation of some other respondents. The heterogeneity of the group was taken into account to develop the hand picking of the groups. The amount of members selected for the sample is most of the times limited or poor in qualitative research (Silverman, 2004). For the study 8 employees from each of the organizations were chosen, 16 in total. Therefore it is taken into account that is arguable to what extent it is possible to generalize these findings, even is totally valuable for obtaining more knowledge about these organizations and their internationalization experiences. The semi-structured interviews method used could be seen as biased. The question and responses posed by the interviewer and respondents are both interpreted by them and in that way, could be wrongly interpreted or understood. Keywords and topics were identified via a subjective method by the author. It could be possible that other themes and codes would have been brought forward by someone different than the author. 36

37 4. FINDINGS AND ANALYSIS Conducted interviews have been analyzed via qualitative data analysis techniques mentioned in the previous chapter. This fourth chapter gives an overview of the results that have been obtained through the analysis. The aim of the interviews was to identify which aspects of communication are relevant for the internationalization processes. This chapter will show the main findings and data from the concluded study. First, an individual analysis of the centers is going to be done to later on develop a comparison between both organizations. The following paragraphs discuss the main theories that were brought forward in the interviews and their context, per sub-research question. A number of fragments from the interviews are quoted in order to illustrate and comment on the results. All the fragments have been analyzed and some of them subsequently translated from Spanish to English by the interviewer and author of this report. The translations are as literal as possible for analytical purposes. For privacy reasons, the quotes are used anonymously. To clarify the background of the respondents of the specific quotes, a code has been used. The letter R (Respondent) in combination with W (for Wageningen University and Research Center) or T (for Tecnalia) and the number 1 to 8 indicates the specific respondent. In appendix 2, the corresponding information per respondent code has been given. In the fragments, the letter I represents the interviewer. The letter codes have been placed before the quotes to illustrate the source of the quote. Sometimes, sections within the quotes are cut. These omitted sentences are indicated with a S in combination with the corresponding line numbers and depicted within brackets The internationalization stage of Wageningen University and Research Center. All the respondents gave insights about the current situation of Wageningen University and Research Center during their interviews. It has been remarked that Wageningen UR, is a multi-institute organization with several research institutes that have been during years working by their own. That is the reason to have different internationalization stages and different communication approaches among centers. There is a group of people related to the management board working in the homogenization of these differences but still each one has its own identity. All of the respondents confirm that in terms of internationalization most of the institutes are already strongly related to foreign countries but always in different levels. They remark that Wageningen University, as the sum of the research institutes, it is represented in Asia, Africa and South America by offices and linked to a wide list of countries by projects and alliances. Nowadays, there are 14 people working in the set up of the internationalization strategy. They are the main linkage 37

38 with the countries of interest and responsible for setting up the strategy there. In the following quotes it can be seen the compromise of Wageningen UR with the internationalization. In this Wageningen International set up are 14 people, 4 regional account managers, few people for institutional account (Dutch ministry of development cooperation, ministry of agriculture...), people in charge of connecting us with the European Commission for financing possibilities and other colleagues working for international research centers. So people are responsible for those connections (RW7:27-31) There are employees designated with Innovation brokerage tasks in different country groups. They are in charge of different groups of markets and countries. This is the case of RW7 that works developing and maintaining relations and alliances in different countries. The following quotes introduce how the work of these knowledge brokers is. My work entails to bring together requests from partners, in my case from African institutes, universities, banks... that they want to work together with partners in Wageningen or in the other way around if partners need collaboration in Africa, for example to get financing from European Union. I can help those partners to get in touch with the desire partners in Africa, or in other way around. Brokerage functions in terms of cooperation or networks. At the moment, there is a general interest in collaboration and people starts developing project proposals, is also my task to see if I can assist those finding financing for the proposals (RW7:9-17) The volume of the International team and their intensive activity, can give us an impression of the importance that Wageningen UR gives to their presence abroad. Responses point emerging countries as priority countries in the internationalization. The reason to choose one or another country has been indicated by statements as: the volume in research capacity, in quality and funding opportunities. The developed strategic Internationalization Plan guides the organization to approach those countries that are going to be relevant in the coming years because of their development or their importance in the scientific and economic field. The following responses show the countries of focus. Actively we focus now on the emerging markets like China, India and South East Asia markets and on the east and South African markets. Are markets, where there is a strong demand, strong development and high potential and space availability (RW5: (S) ) The four-five main countries in science, volume in research capacity, quality and funding opportunities are: Brazil, Chile, Argentina, Mexico and Colombia (RW6: 26-27) 38

39 But you can determine certain criteria: those are the countries which will have impact now or in the future for the world economically, but also scientifically. (RW2:12-14) Analyzing the ingredients to build up a strong international network and capacity, most of the respondents named the Dutch Embassies and Counselors around the world as their main driving force. Some other ingredients mentioned were: to have a clear plan, focus on some priority topics and trends, to have good contacts. One of the points, the Internationalization Strategy Plan, was nominated as the bible for the organization abroad. In the plan priority countries to approach by themes and working groups are listed. The establishment of priorities of the desired countries is the first task to be done by the Plan as it was commented on the responses: The advantage is that WUR has contacts in every country, so there is the link through Wageningen people. Sometimes are not very good contacts but are contacts, second thing is the embassy, then specially the agricultural counselor, this is my main contact (RW2: ) There we collect all the data and information about what is going to be very interesting for our working groups. First the priority countries are defined, which are the priority countries we want to work with, that doesn t exclude the other countries but there will be some countries will demand more attention. This is very important for our communication activities, what we want to achieve, which countries, which actions are we going to develop (RW1: ) There are two kinds of categories of countries classified in terms of importance for the scientific research and funding attraction capacity: those countries interesting for the research topics tackle in Wageningen UR and those less relevant or with less capacity to attract or mobilize funds. In this first group, most of the times Wageningen UR has established a permanent representative and will work pro-actively; for the second group of countries the strategy will be more passive with less investment to move projects there. China, India, South Korea. That is the main group of countries and then around that group of countries we had a number of countries that have minor impact, but still are very important. You can think in terms of countries like Vietnam, Indonesia, Thailand, Taiwan, Malaysia where we also work. But the difference is that in the first three countries we work pro-actively and in the second group of countries more on request. (RW2: [S] ) We have a strategy in a number of countries we are actively acquiring projects so its active acquisition from outside and that is mainly in Asia, East Africa (RW5:39-40) 39

40 Because China is established there, there are offices there, there is a very good director, there are four people working there, the strategy has been set, is running, so now it is possible to focus on India (RW2: ) Most of the interviewees responded that they have the feeling that there are no barriers for the internationalization. Five out of eight appealed to the Dutch International culture of the country that made them live in a globalized and multicultural reality where Europe is the backyard. Because of the history of The Netherlands (it was a country with colonies all over the world, with a wide commercial tradition, nowadays is considered an open minded, multicultural country and very welcoming to immigrants), a country with a tradition in international exports and trade. There are no external barriers if we analyze the transcripts, but some of the interviewees point to some internal barriers or constrains related to the new environment. A new reality is depicted by most of the respondents, a policy change and funding cut by the government is moving them to approach new markets. In this new environment the main target is not anymore the public sphere, now money will come from the entrepreneurs and the private market. This means, that way of working should be changed to a more practical and market oriented solutions. We are still pure scientific staff in the way we are working, and more design approach where research is just part of the work should be done. But, that attitude is not yet broadly accepted in Wageningen community. Most people are still strict researchers, they get a problem and they bring knowledge into the problem. As soon the draft report is ready they identify out of the draft ten new projects and they continue with those ten problems, that s research and knowledge businesses (RW5: ) There is new policy that says that entrepreneurial demands for knowledge are now our leading principle that means that the knowledge that we have should be brought to entrepreneurs at least in such a way that they understand the knowledge and they see where do they have need for more, based in their businesses and that part asks for main shift which many fundamental researchers do not have. (RW4:69-74) There is no a fixed pattern in the strategy to approach a new country, because each case is different, but there are certain similarities, most of the processes are based on relations: relations coming from the networking work done by the Dutch embassies, relations from other project relations and relations built by Wageningen International. The strategy points to the areas of reference in Wageningen University and Research Center for the coming years and which emerging economies are going to be the main actors on 40

41 those topics. Then priorities are established, those selected countries are going to be approached actively and even in some cases representative offices are going to be opened. The regional priorities in Africa are Eastern Africa (Ethiopia, Kenya, Rwanda, Uganda and Tanzania), Western Africa (Ghana, Burkina Faso and Mali) and Southern Africa (South Africa, Mozambique, Zambia, Malawi and Zimbabwe). In Latin America priority countries are Argentina, Brazil, Chile and Mexico. China is the most important country in Asia, with a WUR office in Beijing: the Sino Dutch Agricultural Innovation and Promotion Centre. Other priority countries are India and Vietnam. Joint research projects and partnerships with public and private actors are crucial for the internationalization strategy in these countries. The double focus of Wageningen UR, in education and research, facilitates the interaction between local research institutions and universities through the student exchange programs. There is an important flow of students, coming to Wageningen UR, from the priority countries. This is an important entry point for the organization in the approached countries. 4.2 The internationalization stage of Tecnalia Tecnalia during 2011 has been involved in a complex internal reorganization process for the merge of eight different research centers. During two years the main focus of the different corporative departments has been to make these centers come together and make them work under one unique brand. This supposed a big structural change for the organization: moving personnel, merging units, unifying contracts and developing a new brand strategy. New people were hired to manage the new corporation and guide it to set the pace and locate Tecnalia as an international center of reference worldwide. A corporative area manages and guides five different divisions with 16 business units in total. Advising the corporative area some of most important enterprises of Basque Country and the institutional representatives integrate the Board of Trustees. Internationalization is a second line direction depending on Business Development. All the respondents agree on the fact that is not possible yet to speak as Tecnalia (as a whole) in terms of internationalization because just two years ago was divided in eight different and autonomous centers. Hence, through the responses a general image will be described as follows. First the innovation model of the organization is going to be described by respondents: Tecnalia is based on a model, 50% is research and 50% transference, transference in terms selling products or services, generated from previous knowledge. Putting our knowledge then in the market (RT1: 41-43) 41

42 Research part has been internationalized very well during years it has a good position in the global market. Our researchers have been working abroad, actively participating in international conferences, cooperation and joint projects but still the other 50% of transference is missing. (RT1:50-53) The business model of the organization is explained pointing the first big trouble, to reach a sustainable level of international income. 6 out of 8 respondents stated that most of the projects realized abroad are financed direct or indirectly by European funds. This means, that there are no many private investors or other government s financing activities and this constitutes a problem for the organization s survival, as we are going to read in the coming quote. We are the first private research and technology center in European R+D funding return, we take part in diverse European scientific platforms and in their direction boards but still the amount of funds coming from other international actors not related to the European Union is quite low or lower than we wish (RT1: 56-58) The aim of the internationalization strategy is a sales increment and a better connectivity rate with other international stakeholders. New alliances to reach new markets, go together with our enterprises to explore new markets supporting them, not just to cooperate but also to detect new complementary technologies, niches and research groups or universities to work with (RT1: 80-84) These responses remark the need for a change in the business model of the organization giving more importance to new innovative and creative solutions and services. Tecnalia s respondents made a clear differentiation in their activity between the research part and what they call transference or projects, pointing the funding sources. Most of the RTOs don t differentiate these two parts when they talk about their income streams and business models. As stated above the respondents make a clear differentiation between the research and development activities and projects: We started, as others, being very active in the research part. This was possible because there was a strong support from the European Union permitting us to be around the world. Then there is a second phase or stage of internationalization that is where you have to go abroad with your products and services and this is a different approach. This is basically what we are trying to do now, to approach new markets in different ways but first determine with which instruments and for what (RT1:98-104) 42

43 Most of them agree on the fact that before the crisis the internationalization was not very important because there were enough projects to do in the region. Once this started changing and within the merge process, they realized that it was going to be hard to resist to the crisis without going abroad. Even some of them, have been working in international projects for a long time, they see themselves as poorly internationalize. our internationalization process started late because we had no need to go abroad before. Regional and national were enough. Our size and capacity was enough for these markets. Now, that our dimension changed we have a big opportunity to go abroad. This new size, new capacities bring us to do it. If we don t do it it can be a threat. We are the first RTO in Spain and the number five in Europe, we have to be known worldwide. (RT1: ) If we admit that we were born to support and work for the industry and enterprises, we need to make sure that we are global as they are to be helpful for them. (RT1: ) To the reasons to go abroad, a new one is added to be global makes them more competitive in the regional or local market. Two respondents, working in the management part, pointed the fact that the internationalization is becoming a need with the recent merge and the dimension of the organization. The following quotes show the priority regions for Tecnalia. There are two main points of focus: sales and connectivity. For the first one, markets considered sophisticated and emerging markets are the most interesting for Tecnalia. (RT1: ) Emerging markets represent an opportunity for us, to develop a research that here cannot be done (RT1: ) Sophisticated markets make you to be better, more competitive but don t have those opportunities that the others can offer you. Your market strategy will depend on what do you want to achieve internationally. One factor to take into account when you go to a new country is to analyze the innovation system, if there is a real support for the R&D, if they support our sector. In this sense, Europe has a good innovation system, through the European Framework Program, and in this market we feel naturally more comfortable. But it doesn t mean that there are opportunities for sales, some maybe, but not for sale, anyway we understand that we have to be in Europe (RT1: ) As responses confirm, Tecnalia is in a primary stage of internationalization, trying to focus in a reduced number of countries. Is not a priority for the organization to be established in new countries with owned 43

44 facilities. Facility sharing and network building is the used strategy mainly to be present abroad. Emerging markets are the preferred ones by Tecnalia to approach, always if the destination country has a solvent innovation system with guarantees. These statements and trends are common for both organizations (WUR and Tecnalia). We are approaching Latin America, Balkans, Arabic Emirates, Jordan and Qatar (RT3) We need to continue developing our strategy in those countries; we want to focus on those mainly. Because we don t want to start in one then jump into another one it is better to work on long term things and relations (RT3: 26-28) We have mainly projects in collaboration with local partners, we want to establish in Qatar but through a consortium of enterprises that go from here (RT3: 22-23). Respondent number 3 is an example of those business units that have been working abroad for a long time and now they are in a better position to continue with the process of internationalization. Even it has to be pointed that all the projects developed abroad have been financed by European funds. From the interviewed group, just 2 respondents knew about the internationalization plan of the organization. This fact it is going to be analyzed later in the internal communication of the internationalization plan. We have more than twelve business units; we cannot pretend to have a unique geographical strategy. What we do in each unit differs a lot from one to the other. It is impossible to talk about the same business model, same clients, markets, alliances o cooperation groups. In this way, the channels to arrive to our desire targets are different for each unit. So we have to be present abroad but in different ways. Nowadays we are establishing an international network for Tecnalia. (RT1: ) When we talk about to be present somewhere we always expect to have an owned structure, to be physically there, but we have no resources for that and we also think that is not the best way for us. We are trying to be connected developing an international network. Our priority is to be involved in business initiatives with a need to be solved outside, or to go together with other organizations. We are participating, for example, in a consortium of different technological based businesses to go together to Middle East countries. We participate in others projects, we share facilities and we offer to our clients the facilities of others abroad (RT1: ) 44

45 Presence abroad in the strategy of Tecnalia is defined in terms of shared facilities, participation in different business consortium, develop local partners but there are no implementation strategies. Those respondents more familiar with the internationalization processes pointed several barriers related to the organization and outsiders: Our own board of trustees sometimes cast aspersions on our Internationalization plans (RT1:125) It is complicated and we are late. Everyone is already there when we are still thinking if we should go or not. We don t have this international culture and baggage, even this is not the main problem. We don t know how to reach those markets, the language is also a problem. I also think that we need people with more expertise in international communication to teach us or guide us on approaching and implementing our businesses there. (RT3:65-71) Respondent number 1, explained that being so tightly linked to the regional innovation system was a double-edged sword. As the regional system was an important source of funding and projects for the RTO s, they were not supposed to go with the knowledge to other countries. The main corporations of the regional innovation system are represented in this board guiding the strategic decisions of the center. Internal barriers like language skills or lack of international culture are some of the reasons pointed by most of the respondents. Even there are some departments with foreign people the main language of the organization is Spanish and international employee s number is low. The youngest respondents added that they were the ones interested on practicing English, so several days a week they organized an English-speaking meal. Inside the units was difficult to find people willing to travel even for a couple of weeks, as some interviewees added. 4.3 Corporate communications at Wageningen University and Research Center Three out of eight of the respondents are working in a position related to communications in different areas: International, Corporative and research units based. Communication positions can be found in the whole structure of the organization but mainly differentiated in two levels: corporate communication and communication of the different research institutes. Each research institute has his own structure and some of them have no specific communication departments (like Alterra for example). In the management board of the organization, the corporate communication team develops the general strategy to take care of the branding, webpage and general messages of WUR to external and internal 45

46 targets. Institutional relations are a core task to develop by the corporate communication department; here it is explained by some of the respondents:..let the outside world know what Wageningen is doing, that s the main objective to develop or that they meet our international portfolio: what are our strengths, our competences So, that s one thing for the outside world. Another one, is let people inside Wageningen know what we are doing internationally, that people know each other what they are doing. Websites, intranet, Wageningen World magazine, international press relations, project data base -where you can get all the projects that we are doing internationally-,institutional relations (RW1:12-24) is important to have synchronicity between what people are working in the field and what we are communicating. This will have the most positive effect if we achieve it. If you look to the webpage now is organization oriented, we want to shift this to content oriented website, of course, then you will be able to see information about the organization, but what are we are doing is more important. So there will be not pages for LEI, pages for Alterra, everything will be integrated. (RW1:86-99) Respondent RW1, with a position in the corporate communication and management area, already points the fact that there is a gap between the main corporate communication and management board and research institutes. The structure does not permit a fluent information flow: top-down and bottom-up. Concerning to the function of the communicators related to research institutes, it can be defined as taskoriented. Strength is put on duties in the vein of the relation of the center with the press, institute s own webpage but there is no a proactive advisory service for researchers. In cause could be that in many cases institutes just have one person in charge of the whole center and there are too many tasks to accomplish. The following quote illustrates some of the duties done by the people in charge of the communication of the research institutes. My role goes from Internet, intranet just maintenance and the input for that; press is a very important task that I have. I m a kind of in-between the researchers and journalists, so I m a kind of buffer to protect the researchers against the media because sometimes it s necessary; print work is my responsibility; and sometimes I advise researchers on projects but that s rare. As it is a small institute and we work about 90% for the Ministry of Agriculture in Holland so we don t have really a lot of external projects (RW3:7-14) press releases, the maintenance of Internet and the changes (in several months we are going to get a new internet again, all WUR so everything has to be changed), making the leaflets and 46

47 brochures, posters, social media (is becoming bigger, is important but not a major thing, we have a profile in Twitter, Facebook and Linkedin bust just to show that we are there, we don t really participate actively because it takes time) (RW3: ) As the respondent RW3 shows, the interaction with media is reactive. In this case, the institute works in fields that can be controversial or treated by the press wrongly (putting in an awkward position to the researchers). They are careful with the messages send to the press, protecting the researchers from malicious questions or articles. Doing this they know that their visibility is getting reduced but is preferred than having a. Researchers working in International projects are aware of the fact that proactive communication is needed to advice them in strategic issues (communication guidelines to new targets approach or contact management support). In some of the institutes they receive support when they demand it when it is necessary for the development of specific tasks (website content, leaflets or press relations for example). They will help you with publishing the article, appearing in a newspaper or facilitating your website... In such they do work but then you have to express explicitly. But there is no proactivity in communication. (RW4: ) We need a key person leading these issues, we are doing this and this and could you help us spreading the news...or devising communication tricks to approach our potential customers. (RW4: ) At this moment we are actively developing on website and we do it on close cooperation with people from communication. But I must say that this is only very recently there is lack of understanding of the importance of professional communication, so we should be quicker to ask for their help. But they are involved now and it s important. (RW5:66-69) In an attempt to define the strategic (or not) position of communication in the structure of the organization, different interviewees were asked to explain WUR s organization chart from the perspective of communications. Two items were analyzed: the location of the communication departments and number of staff working. Both items are quite representative in the organization, there is a wide number of people working in communication and departments are located close to the management and direction boards of the institutes (the same in the corporate part of WUR). My Director is my direct boss and he is in the management board, but in other institutes in some cases they will be in the management board. Communications should be in the management meetings but because my Director is my direct head and we are in the same line we share the 47

48 same ideas, is not a problem. I can get the meeting minutes so I can see what they are talking about so if I need to say something I just can say it. I m always welcome to join the meetings so for me is good. (RW3: ) As respondent RW3 states communication staff of the institutes are integrated in most of the cases in the management board. This fact makes us a picture of their responsibility and knowledge about strategic issues of the organization. This response also remarks the differences between the research institutes. The questionnaire tried to find out, once that it is clear that communications is an important fact for Wageningen UR, which aspects of communication are more relevant. To be known and scientific reputation is one of the things that 7 out of the 8 respondents pointed as essential. It was stated as to be known, your research quality, your project portfolio. Classic tools where pointed as useful communication channels (webpage, brochures ) for WUR but there is no consensus on applying other communication services and transform the meaning to communication into a strategic issue. Just respondents RW6 and RW5, mentioned the special need that institutes have in strategic communication related to international projects. As it is going to be explained in the next quotation, some researchers need support in the development of the alliances and new target approach. If you are working with a mission to develop projects two things are crucial. First, communication based on our reputation as WUR and funding (RW6: ) reputation is built on the knowledge that people here have of WUR so referring them to the web of WUR is very easy, and effective and efficient and it s a well structured website in most of the cases, and that s helps a lot. People are used to look webpage s to get the first impression. Then of course, making presentations during meetings or conferences is a strong tool to make people aware of our position here, visibility, make yourself visible let people know that you are here, use interviews for making you acquainted with local community here, meeting people, personal relations is the most important thing to see things done. It s a massive-micro communication. (RW6:[S] ) We are not there yet. We build up our organization on the level of projects. We are not yet to reach this situation where we enable people for communication or other commercial activities. Outside this project or at the level as a program as whole, I think that is necessary to do that but we simply have not made enough profit to do it (RW5: ) They are focused on a broad perspective they communicate the whole WUR, they also do it for the Metropolitan Food Cluster but this are not specialized people, they are broad communicators. They do a very good job, but again is broad but not in the level (RW5: ) 48

49 There are professionals in the field of communication working in the organization, in strategic issues located in corporative areas and more focused in services in the institutes. There is no an expert offering strategic communication to the institutes, helping them in the projects and contact management and helping them in the strategic thinking of the approach of new targets. 4.4 Corporate communication in Tecnalia Tecnalia is divided in corporative and business areas, a little bit like it happens in Wageningen UR. Those corporate departments are the ones guiding the organization and thinking strategically. Internal communication and external communication are part of these departments. Then there are communication units in each business areas and divisions to control the communication in all levels. Interviewees recognized to work sometimes together with the communication departments, even the services or help received differed from one area to the other of the organization. Up in the organization chart, services are more strategic and in the bottom more practical or basic. To put some examples, most of the respondents working as researchers, in business units, that they just receive help from the communication department when they ask for it. The help received is related to presentations, generate a contact list, and organize a trip. In corporative boards the role of communication changes, it is focus on branding, international communication, and organization s culture homogenization. Here, the role becomes more strategic. The following quotes illustrate the relation that some of the respondents have with the different communication departments. She helped me organizing the agenda, with contacts, she has experience and knowledge in contact management so it s really helpful for me (RT5:65-67). we work a lot with the marketing department when we have to bring to other countries presentations or commercial material like brochures or leaflets. The communication department also he worked on the advisement of the whole consortium in the case of Qatar. It is very relevant their work, not just to design and help us with the material. Also for the implementation phase and to communicate what are we doing to external and internal targets (RT3: ). Our respondents demand help to the communication department when they have to develop any commercial activity and there are things to arrange, bring or show. Most of the services are oriented to uses of the brand, promotion activities, press releases, the webpage or even agenda organization. But as all of them stated, communication don t participate in the projects. 4.5 Organizational Culture of Wageningen University and Research Center 49

50 There is no a specific task or people working on the development of the organization culture. All the interviewees were asked about the organization culture but all of them stated there were no special actions to build up a common one. Internal communication channels like the intranet, meetings, newsletters, informative s and a magazine, are the tools to maintain the communication flow. Each center has its own culture, most of the big-issues or milestones are communicated to everyone in the organization. Even the corporative board has in mind a homogenization of the culture still people in the institutes are no instructed in building a shared view and common values. These strategies did not arrive yet to the researchers and other employees, just some actions are developed to unify different teams. Some interviewees suggested that institutes are not just unified on values and goals that also they are competing with each other: There is also a competition; there are individual lines and individual networks of people that work together in projects between the different departments. (RW4: ) The same respondent added that there were some meetings organized to combine people from different research areas and fields working together and meeting each other but with no much results. RW4 considered these meetings had no strategy at all, because they were casual and after them there was no continuation. The organizers were some other researchers missing this kind of practices but not people from the communication department with an action plan. All the interviewees agree on the fact that the internal communication is as important as the external. Even some, stated that in their cases internal communication was more relevant. They argued that Wageningen University and Research Center is well known outside (in the field of agriculture and food safety and quality), but still is quite unknown internally. People are not aware of what is happening inside the organization. No much people were aware of the importance of organizational culture and the relation or benefits that could have on the orientation of the teams to common goals. Internationalization could be one of these common goals to work through the culture. In a multicultural and international oriented organization like Wageningen, knowledge and information gaps could be easily solved through simple actions. 4.6 Organizational culture in Tecnalia Tecnalia has specialized people working in the configuration of the culture organizational strategy in the internal communication department. It is a strategic department working close to other management boards. RT4 is one of the employees that are guiding the organization and formulating the core of the organizational culture plan and gives this definition of the task: 50

51 The organizational culture is defined by the management board but created everywhere. (RT4:105) As RT4 explained, there are two main projects to develop and implement the organizational culture. One is for the integration of the culture. It defines a top-down strategy to detect the main barriers and actions to facilitate the integration of the new culture. The other project is called Commitment and is an evaluation of the compromise of the employees with the organization. It has several steps starting from a survey. The main objective is to raise the compromise with the organization and the participation by 30%. It takes into account four factors: the significance of the position, leadership, team work and participation. Then with the results they will design an action plan and some feedback interviews to reach the objectives. In the organization, culture, is approached as a part of the tasks to develop by the internal communication department. But is a shared task with the personnel development department. So it was stated during the interviews that internal communication has three main focal points: personnel development, information flow and organizational culture. In the following quotation in which terms they measure culture: Our objectives are to build trust, passion and compromise with the project (Tecnalia), develop a unique and homogenized culture; make sure that everyone in the organization knows about the strategy and the project, so they can transmit it and communicate; promote the participation and the interaction between the different departments these are the general ones, in some areas and departments there will be some other specific ones (RT2: ) The merge of the 8 centers with different culture set out a challenge for the internal communication department and therefore, to the organizational culture managers. One of the priorities is to establish a common view and culture focused on the internationalization of the organization. For doing that, part of the research work that is nowadays developing is focused on the opinion that employees have about the internationalization process and their experiences, contributions and ideas. It is important to make a profile of the knowledge and preparation of the staff before starting with any action plan. Hence, you can detect beforehand real weaknesses, motivation problems or constrains and tackle them with tailor-made solutions. 4.7 Wageningen University and Research Center s network, alliances and project management An important reason for the good position of Wageningen UR, put forward by almost all respondents of this study, is the development of a strong scientific reputation around the world. This reputation is based 51

52 on the number of publications, research and results done. International rankings of research institutions are other important indicator to measure, respondents pointed. This good reputation comes, in their words, from a good selection of partners all over the world. Wageningen has chosen the best Universities and research centers of the countries of focus to work with and alliance development. They consider Wageningen UR s image positive and well known abroad as follows: People working in our area of agriculture and food in science they all know Wageningen. So, it is based on our publications, is based in our people that are presenting in scientific conferences every article, every magazine that deals with agri and food in many cases Wageningen its mentioned so we have a strong position from that point of view, and that s the main thing. (RW6:78-81) Wageningen is known around the world everybody knows Wageningen but if ask them what they know about Wageningen they only know few people or few teams that may been collaborating and hardly they will know that Wageningen can offer much more (RW7: ) partnerships are very important, they become like your ambassadors, they spread your word... this works better than the social media i think in most of those countries (RW1: 87-89) A high level strategy is important; which are the partnerships we want to achieve (RW1:100) The cumulated experience is a relevant reason for respondents to explain the good connection of WUR around the world. Interviewed experts in international arena, agreed on the fact that experience and, even more, the already lived negative experiences made them learn rapidly how to perform in some countries. They explained the importance of being well connected with high level partners to build your own brand in the right way. To be proactive until you reach the level of awareness is essential; later on everyone will want to work with you they stated. Concerning to project management phase of their work, all the interviewed profiles related to these tasks and excluding the corporative departments, mentioned the lack of references and guidance received by the communication staff. Most of the times, they work and develop projects supported by their department colleagues. In the international management of projects few of the interviewees mentioned the figure of Wageningen International board. But when they were asked about the work of the Wageningen International board, all of them admitted that they knew them and that it was very useful their work. As it was stated by some members of the Wageningen International board they are not able to supervise and reflect on each international project. In several cases they showed their willingness to help and advice researchers with doubts or difficulties. 52

53 Institutional relations are crucial that s because the role of knowledge brokers become key for the internationalization. Responses confirmed the importance of having experienced people working at this level of political and public. In the other way, when communication is researcher-researcher the rest of the organization will have to manage. With the introduction of the new law a new paradigm has started for researchers. Researcher-researcher communication is decreasing and researcher-entrepreneur dialogue rising. Most of them expressed their worries about tackling with this new target, unknown for some of them. Some interviewees were asked to describe the processes of project acquisition and new client recruitment to see if there is a common strategy, guidance or coaching phase. These were some of the responses: Embassies have been very active supporting us. Now recently we had very important strategic from the Agriculture Counselor in Mexico this report is very important, also in India and Korea was really important their support... these people are really important.at this moment the new policy, of what is called, the top sector policy in potential will help. We have to develop it but we are in their discussion. The government is now supporting the collaboration between the private and the public organizations (RW5:84-89) the main interactions is that we work together with research institutions and universities, with companies and with public agencies and it is case by case. Sometimes is just is a direct thing between Wageningen and a company. An in others, is a large consortium like the International Center of Excellence in which we work with 6 research institutes and universities and give 12 companies in five projects. In some other cases we work straight with the governments on the particular projects is case by case (RW6:54-59) There is new policy that says that entrepreneurial demands for knowledge are now our leading principle that means that the knowledge that we have should be brought to entrepreneurs at least in such a way that they understand the knowledge and they see where do they have need for more, based in their businesses and that part asks for main shift which many fundamental researchers do not have (RW4:69-74) The work done before by the researchers is not valuable anymore for the new target; research has to be more market-oriented. They are interiorizing this change in their own, looking how should be done, but they admit the difficulty. New forum, new debates should be created to attract the attention of these new groups of focus. As it can be seen in the following quotation some of them are aware of the need of being more businesslike: 53

54 to be present at point and venues that matter, that s big conferences (especially in those that the research partners are involved) but also potential donors. But next to that it s very important to show up at occasions that are not evident that there is something (RW7: ) Some respondents when talking about international networks and collaborations pointed several barriers as main difficulties. Lack of knowledge on cultural communication, group s mediation and facilitation, or management skills were some of them. International alliances, research collaboration and participatory processes need from specific skills and preparation that some of them admitted not to have. Also cultural differences of the country have to be taken into account. Several of the respondents, felt impotent because they had no skills to develop some of the works related to the internationalization and they were not receiving support from experts. They agree on the fact that some strategic communication experts should be hired to help teams on these tasks. 4.8 Tecnalia network, alliances and project management Respondents from Tecnalia recognized the and importance of having a strong network outside. But most of them did not feel direct responsible for that, pointing to upper levels the accountability. From the corporative side and due to their new internationalization needs, based on building networks and partnerships it is essential to reinforce this part in the organization. Promoting more commercial and proactive attitudes inside the teams and training management skills. Most of the international relations cited by respondents were related to European projects. The following quote explains these relations: Public organisms are crucial for our work; we work with /for them in many cases, so they become also our local partner there. Sometimes it is not possible to develop the project ourselves so we have some local connections, other important way of collaboration with other parties is when we go together with a consortium. (RT3: ) When you need some else to complete your proposal you look for it. First you contact companies that you already know from the market, but some of them can t but they usually advise you another one. In Latin America I had no contacts so I just look in Internet who was developing similar things or could be interested. (RT6: ) Relations are more project oriented and based on service exchanges, there are no long-term collaboration set ups at this level of the units. The process of merging eight centers in one brought to Tecnalia some infrastructure changes that respondents pointed in some of the interviews. Some of the divisions and units were brought together changing their location and moving personnel. This fact increased the uncertainty feeling as some respondents stated. 54

55 5. CONCLUSION AND DISCUSSION In this paragraph I will summarize and integrate the results of this study and discuss these reflections in relation to the existing literature described in the theoretical framework. The primary purpose of this study was to determine the role of communication, if any, in the internationalization processes of RTO s. It was hypothesized that a strategic control and correct implementation of the introduced four communication elements could influence positively the internationalization process. The four communication aspects that were expected to have an effect on the internationalization include organization s structure and communication strategy, organizational culture, network and project building. The described findings of the study confirm the importance of these elements have in the internationalization process of the RTOs but in an unbalanced way. Based on these considerations, potential implications for future internationalization activities will be discussed and recommendations with respect to these implications are made. Furthermore, the methodologies that have been used for this study will be critically reviewed and recommendations for future research formulated. 5.1 Reflection research results The analysis of the interviews, described in the previous chapter showed similarities and differences between both research and technology organizations. Responses shed light on the underlying behavior of RTO s in their internationalization processes and the role of the communication in these processes. Based on the different constructions that have been recognized, two main themes are put forward in this paragraph. By describing these themes the main research question of this study, How does communication affect internationalization processes of Research and Technology Organizations?, could be answered. In this paragraph the two themes will be discussed alongside existing literature on internationalization and communication in general. Subsequently, potential implications of these constructions for future communication activities of RTOs will be discussed and recommendations for improving the implementation of these activities will be given Internationalization of Research and Technology Organization Interview s analysis show how internationalization is assimilated by respondents as a wide term with several implications and different processes. Moreover, internationalization is described as collaborations between centers, sharing facilities, joint platforms and projects, knowledge transfer and also subsidiary locations abroad. On the contrary, business theories describe the internationalization as step of the company done when the local/regional or national market cannot offer more opportunities or as a 55

56 response to the introduction of foreign competitors in their markets (Johanson and Wiedersheim-Paul, 1975). Theories describe a reactive behavior and stage based internationalization. Besides this phenomena, innovation based industries introduced a new conception of internationalization as part of their innovation natural process (Bilkey and Tesar, 1977; Cavusgil, 1980). These companies most of the times are born global as they compete from their launch in the international arena doing more innovative products for very specialized market niches. The main difference between the internationalization processes of traditional and innovative industries is that while traditional industries start their internationalization processes, when their own market gives no more opportunities and they want to gain more market share. The innovation and technology based markets are exposed to international competitors from the starting up, concentrating in specific products and specialized markets where their clients are more geographically decentralized. RTOs internationalization is closer to those theories describing new techniques to approach international markets; the establishment of subsidiary centers in foreign countries is not their priority anymore. Even to a subsidiary office in a foreign country is evaluated by interviewees as important for the commercial relation; they also admit that nowadays other formulas are more attractive. As it has been described during the exposition of the results, Wageningen UR and Tecnalia, both are developing processes attaining cooperation, shared facilities, network and alliances. Even though Wageningen UR still establishes subsidiary offices in priority countries as strategy and is one of the strengths of their development in some countries. It has to be said that internationalization is a high cost consuming and complex process where the core business and structure has to be solid. Hence, governmental funding and support plays an important role here in these activities. Public support Most of the European countries have developed strong public mechanisms of support for research and technology organizations, being the most important direct and indirect funding source of these organizations. The 48% of the turnover of Wageningen UR (DLO Foundation, with 357,7 million of total turnover 8 ) is financed by the Dutch Government. Tecnalia, with 116 million of income, a 44% is financed mainly by the Basque Government 9. Tecnalia differentiate between direct and indirect funds given by the government, these funds are usually gained through projects, contests or by those initiatives stimulating the contract of RTOs by SMEs. These connections make them be influenced by the public or government trends in several ways. It could be seen some of the institutes in Wageningen UR work still mainly for the Dutch government, RIKILT for example, and in Tecnalia Basque government and the public agencies are 8 Wageningen University and Research Center Strategy Plan 9 Tecnalia Strategic plan

57 some of the most important clients for some business units. As some of the respondents pointed, nowadays funds are getting cut, so researchers need to start thinking on a shift to other market. This shift is difficult because for ages their research and approaches have been focus on public clients. This difficulty is based on the result and services that each type of client needs. If we talk about the public sphere is delivered services and research has more advisory components, with a long term perspective. Private clients in the contrary, demand more result oriented work. Although, it can be seen that public sphere points RTOs activity to the regional and local market, they are also the ones promoting them abroad. Public institutions have an important role on the internationalization processes through different mechanisms (embassies, consortium facilitation or business trips promotion). While for Wageningen UR agriculture counselor and other governmental institutions is a key contact for the development of their strategies abroad, for Tecnalia European projects are the main path of internationalization. Internationalization stage Understanding internationalization in broad sense, we can state that researched centers (Wageningen UR and Tecnalia) don t follow explained stage-based theory processes, because even if they have been more focused on the national terrain (by the influence of the government) both have been working abroad through different mechanisms (European projects, joint publications ) some of their activities have born global. According to the theory, as innovative industries, RTO s are embedded in complex processes where alliances, networks and reputation are important ingredients for internationalization. Illustration 4 European Research Ranking (Source: Tecnalia) differences between the subjects and core businesses. In the case of both studied centers it is not possible to assert their internationalization stage, because both have been working separately in different institutes and with different brands. Wageningen UR, as it has been explained before, nowadays is starting to use a unique brand but until now institutes have been working by their own, with their own identity (using Wageningen University as surname). Tecnalia is the merge of eight different centers, even Tecnalia s brand existed as the coalition of some of these centers before. Therefore, when analyzing the internationalization stage was not possible to determine anything due to the diverse development of the institutes (of Wageningen UR) and the divisions (of Tecnalia) and the 57