Smart Specialisation. Jens Sörvik 16th of June 2014
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1 Smart Specialisation Jens Sörvik 16th of June
2 Smart Specialisation: Why now? Search for more efficient + effective regional development policies, avoiding overlap and imitation Setting innovation as priority for all regions (Europe 2020) and improving innovation (strategy) process Better use of scarce public resources, aiming for synergies between EU, national/regional and private funds (PPP) Driving economic transformation, focusing on regional profiles in global value New academic insights and concepts in the fields of growth, competitiveness and clusters Cohesion Policy
3 Lessons from the past: Cohesion Policy : 25 % ( 86 Bln) of SF for innovation Regional Policy Lack of interaction between levels of governance and ministries Strategies without external perspective = duplication Lack of or indifference to critical mass Measures only for R&I and capacity building and not for demand stimulation / market access Focus on fashionable themes / prestige projects Focus on traditional industry and not on emerging sectors and services See: Regional Innovation Monitor
4 What is Smart Specialisation? Evidence-based Entrepreneurial discovery process Mobilisation of investments and synergies across different departments and governance levels Outward looking Source in Differentiation Concentration Cross-sectoral links and new market niches All forms of innovation RIS3 is a legal requirement for investing ERDF in R&I.
5 Smart Specialisation ex-ante conditionalities in ERDF investment priorities
6 Can a RIS3 only include specific action fields or also horizontal actions? Hypothetical example "concentrate resources on a limited set of research and innovation priorities" (smart specialisation fields) 50%- 80%? RIS3 KETs for SMEs : Tech.transfer & audits, demonstrators, pilots Specific specialisation field 1 Specific specialisation field 2 Emerging specialisation field 3 Emerging specialisation field 4 Skills & innovation capacities: entrepreneurial, innovation management, creative Horizontal issues for general innovation capacity and system Horizontal activities (= non specialized) may form part of a RIS3, but resources should concentrate on priorities
7 The S3 Platform Designed to assist regions and countries in developing RIS3 Launched in June 2011 Managed by JRC-IPTS in Seville Monitored by a Steering Team incl. DG REGIO, RTD, ENTR, EAC, INFSO, AGRI EU Countries registered: 15 EU Regions registered 152 Non-EU Regions registered: 2 S3P Peer-reviewed Countries: 10 S3P Peer-reviewed Regions: 50
8 Main activities of S3 Platform in support of the countries/regions preparing RIS3 7. Research agenda 1. The RIS3 methodological Guide & the Digital Agenda Toolbox 6. Interactive tools, S3 Newsletter and Website 2. Trans-national learning, Peer Review & thematic workshops 5. Transregional collaboration 4. RIS3 assessment and support to REGIO desks ; ICT experts 3. Country- and Macroregion events and targeted seminars at IPTS 8
9 RIS3 guide - Key steps for developing a RIS3 Step 1 Analysis of regional context/potential Step 2 Governance Step 3 Vision for the future Step 4 Selection of priorities Step 5 Policy mix Step 6 Monitoring and evaluation 9
10 Step 1 Analysis of regional context and potential for innovation (I) A broader definition of innovation, not just RTDoriented Assess existing regional assets Identify regional competitive advantage and weaknesses Make an outward-looking analysis Detect emerging niches for smart specialisation Existing data and reports and new ones. Combine methods, e.g.; Regional profiling, Quantitative studies of STI potential, Case studies, Capabilities, Surveys, Foresight, etc. 10
11 Step 1 Analysis of regional context and potential for innovation (I) Analysis of regional potential In which areas are there critical mass, but also In which sectors is there a growing activity, more new firms, more growing firms. In which areas are companies investing Identify relevant actors to engage into process Firms, but also Universities, Technology Centers, Venture Capitalists, Innovation support agencies and intermediaries. 11
12 Cyprus - design PARTICIPATION AND SYNERGY OF STAKEHOLDERS SWOT VRIO GAP PEST GIS Field Research Case Studies Critical review of the literature RECORDING ANALYSIS AND TAXONOMISATION VISION - PRIORITIES Social Networks COMMUNICATION PUBLICITY- DISSEMINATION POLICY MIX ACTION PLAN MONITORING AND EVALUATION MECHANISM 12
13 Cyprus (implementation) Ι. Desk Research Critical Review of the Literature Case studies National and International reports on the economy and RTDI systems Evaluation of RTDI programmes Evaluation of participation in international programmes Statistical data for Cyprus and EU Sectoral Analyses ΙΙ. Field Research Quantitative data: Questionnaires to enterprises Qualitative data: interviews with opinion leaders and focus groups ΙΙΙ. Public consultation Government bodies, universities, enterprises, wider public Governing Board Open Workshop Special Thematic workshops Publicity 13
14 Navarra More than visits to web 33 interviews in US and EU to know other models (4 regions and 1 country)
15 Navarra
16 16
17
18 18
19 PROCESS/GOVERNANCE
20 Step 2 Governance: Ensuring participation and ownership Wider engagement of stakeholders: Include the demand-side perspective Quadruple Helix Collaborative leadership Boundary spanning individuals and organisations Regional champions, but not only incumbents, but secure innovative companies and economic areas. Dedicated Steering Group/ Knowledge Leadership Group, Management Team, Working groups 20
21 Midtjylland Governance & Stakeholder involvement Key in entrepreneurial discovery process identification of priority areas and activities To ensure alignment of activities, quadruple helix, but also multi level and multilaterally. Complementary capabilities Central to renewal of plans Nice example Danish growth Fora, Quadruple helix set-up Business development strategy every two years Co-ordinates ESIF Programmes run by operators on behalf of the region/growth Forum that offer general business counselling
22 Saxony Governance
23 VISION
24 Step 3 Developing an overall vision of the region s future Shared vision of the region s potential and main directions for its international positioning: Formulate different scenarios based on analyses and debate where your region wants to go Produce a positive tension towards the future Not too unrealistic and not lacking inspiration Guarantee long-term engagement of stakeholders co-creating the future 24
25 Navarra
26
27 Reconstruction of a mature cluster 56 Mills 7 Mills Knowledge transfer Technology transfer Subsuppliers Subsuppliers
28 Identified growth areas Plant Design ICT Environment Pulp & Paper Packaging Energy Process technology
29 PRIORITIES
30 Step 4 Identification of priorities Decision-making step where top-down meets bottom-up: Focus on a limited number of areas with potential for smart specialisation Areas where the region hopes to excel, can be transition, upgrading, diversification and new domains. Can be combination of traditional areas with horizontal activities, such as Key Enabling Technologies, organisational innovation, creative industries, etc.) Avoid: Capture by interest groups Imitation Silicon Valley II spreading thin Café para todos! 30
31 an online database for RIS3 priorities Enable Regions and Member States to position themselves, To find their unique niches To seek out potential partners for collaboration Categories are not perfect matches Current status (June 2014): Number of registered priorities 929 EU Countries 13 EU Regions 125 Non-EU Regions 17
32 N a v a r r a
33 DK- national and regional priorities National Growth teams Blue Denmark Creative industries design Water, bio and environmental options Health and welfare solutions Tourism and adventure based economy Energy and climate South Denmark Health and welfare innovation Adventure companies Sustainable energy Central Jutland Energy and environment Welfare innovation Tourism Energy and environment North Jutland The maritime area Health Networks: tourism and adventure economy Network on energy Zealand Cleantech, energy and environment Farma and medico Tourism Cleantech, energy and environment Food Food Food Food and Agriculture ICT and digital growth ICT Construction Capital region Biofarmacy Medico equipment Information technology Transport and logistics Bornholm Green solutions Adventure economy and food Green solutions Adventure economy and food 33 Overview made by S3P based on Danish RIS3 working document dated 9.Juli 2013.
34 POLICY MIX
35 Step 5 Implementation, definition of a coherent policy mix, roadmaps and action plan Roadmap, action plan and pilot projects: organising and detailing rules, tools and roles Combination of vertical smart specialisation areas and horizontal policy support and framework conditions Regional preconditions Horizontal and vertical development of priorities Upstream and downstream Life cycle Renewal and/or adaptation 35
36 Czech Republic: National/Regional and Horizontal/Vertical programmes project type priorities activity examples OP RDE Individual projects (national calls) Regional schemes Horizontal Vertical Horizontal - Support of internationally competitive R&D (R&D Centers upgrade, strenghtening of research teams) - Popularisation of Science & Technology Competence centres (supporting projects of longterrm collaboration between business and R&D institutions) in the area of vertical priorities - Mobility schemes for triple-helix spheres - Matchmaking events Vertical Summer schools of advanced technology OP EIC Individual projects (national calls) Regional schemes Horizontal Vertical Horizontal - Strengthening of R&D capacity of firms (labs) - Projects of applied R&D - PCP - Innovation of a product or process in the area of vertical priorities - Services of R&D infrastructures (S&T parks and incubators) for business in the area of vertical priorities Innovation vouchers Vertical Innovation vouchers in the area of vertical priorities
37 Lithuania - life cycle of instruments
38 Flanders Roadmaps An instrument to develop a common strategy in which the interplay between the different actors becomes visible. Cluster : selforganisation for transformation Smart international Positioning Vision 20.. Today Role of the front Additive Manufacturing (LMS, Layerwise, Materialise, Melotte ) Sustainable Chemistry (Chemical Plants in Antwerp harbour) Closing the circle Material recycling (Umicore, Machiels, Construction sector, )
39 Flanders Roadmaps In the direction of an oriented partnership between government and (socio-)economic actors, in clustercooperation European Union Clusters of (socio)economic actors Oriented partnership Flanders government Goals Instruments To respond to societal challenges (to shape ViA-Transitions) Roadmap To create Economic value Managementstructure To foster the International positioning of Flanders Partnership agreement
40 MONITORING
41 Step 6 Integration of monitoring and evaluation mechanisms Entrepreneurial discovery process and the focus on smart specialisation requires a reintroduction of experimentalism and governance innovation into the Structural Funds. Need to be adaptive and be able to change plans to meet Opportunities and Challenges Need to learn and update A need for a good monitoring system in place to learn from experimentation and to be aware of the development and when to change. Connect to governance mechanisms 41
42
43 Lower Austria Integration of monitoring and evaluation mechanism Target group Company Intermediary Policy Maker Level standardised pilot Project In process monitoring and ex-post evaluation External evaluations Program Enterprise Dialogue incl. online questionnaire BSC Balanced Scorecard Methodology Cockpit: Monitor of results and regional effects RIS NÖ Large scale questionnaire Region CIS extension for regional data bi annual Nationale complete R&D inventory count bi annual NÖ Innovationsindex and other studies 43
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45 Thank you! 45
46 The RIS3 Guide Edited by JRC IPTS in association with DG REGIO and with contributions from: D. Foray, P. McCann, J. Goddard, K. Morgan, C. Nauwelaers, R. Ortega Commission officials from various DGs S3 Platform research team Available on the S3 Platform webpage 46
47 Evidence base and involvement in the RIS3 process Documents R&D strategy Strategy for industrial development Experience based tourism strategy Nordland Marine S3 Analysis Involvement stakeholders Work group: R&D, innovation centre and NCC (5 people) 8 dialogue meetings with participants representing triple helix (120 people) Hearing round Work group: Enterprises, central organisations and NCC (12 people). Reference group: Industry, innovation centre and R&D (6 people) 2 dialogue conferences: Regional and national triple helix, politicians (300 people) Resource group: Public org. incl NCC (7 people) Reference group: NCC, R&D, public org., innovation centre (15 people) 7 dialogue meetings with 150 triple helix people Hearing round Project group: Enterprises, R&D, innovation centre and NCC (7 people) Dialogue meeting with participants representing triple helix (20 people) 2 meetings with R&D and innovation centre Research team: Nordland Research Institute (5 people) Survey: 35 respondents (key persons within Triple helix) Two focus group interviews (24 people who are key persons within triple helix in Nordland) One group interview to come Analyses SWOT (mainly OT) Comparing Nordland to Norway Tour d Horizon SWOT Scenarios Strategies SWOT Tourism statistics Strategies Action plans SWOT Possible models for development organisations within marine industries Identifying sectors with critical mass Statistical analysis Surveys & focus group GAP analysis SWOT Regional innovation strategy for Nordland 47
48 Rhône-Alpes
49 Cluster Analysis Emilia Romagna Mechatronics cluster Cultural and Creative Industries 49
50 N a v a r r a
51 MOSTA in Lithuania
52 Guides: RIS3 and DAE 52
53 RIS3 Methodology Policy Delivery Instruments - the «trunk & branches» structure Internationalisation Entrepreneurship and incubation Connecting Universities Social Innovation Clusters Cultural and creative industries Green Growth Digital agenda Financial engineering Research infrastructures Skills Key Enabling Technologies SMEs Support Innovation PP Methodological support Policy Rationale Smart Specialisation GUIDE CP Regulations (COM) The contribution of Regional Policy to smart Growth (COM) The contribution of Regional Policy to sustainable Growth Innovation Union Flagship Innovation Union self-assessment tool Regional Innovation Monitor OECD 2011 Regions and Innovation Policy IRE-RIS Guide Directory No-Nonsense to build S 3 Diagnostic Systèmes d Innovation (Praguer) Economic Rationale Knowledge for Growth FWP Evaluation Endogenous Growth Innovation Systems Innovative milieux Policy Experimentation RIS-RITTs Competitive Advantage M-Porter Evolutionary Economics Industrial districts Economic Geography 53 53
54 Weser Ems Relevant stakeholders and partners are involved in the implementation stage of RIS3 via: 22 Strategy-Councils for our three fields of competence (2-4 public, 4-6 business, 4-6 science) - Masterplans Vision Recommendations university-development / (Research-)Infrastructure - Recommendations R & D and pilot / demonstration needs / projects - Lobbying - Speaker of region concerning resp. field of competence Knowledge Hubs for our three fields of competence (all interested intermediaries faces to business sector => people) - Operative support to Strategy-Councils / transfer outcomes to business - Reflection / implementation strategy / master plan - regional monitoring / observation (qualification, internationalisation, )
55 Estonia
56 What shall S3 include? (a) "Upstream actions" to prepare regional R&I players to participate in Horizon 2020 ("stairways to excellence") to be developed, where necessary, through capacity- building. Communication and cooperation between Horizon 2020 national contact points and managing authorities of the ESI Funds shall be strengthened. (b) "Downstream actions" to provide the means to exploit and diffuse R&I results, stemming from Horizon 2020 and preceding programmes, into the market with particular emphasis on creating an innovation-friendly environment for business and industry, including SMEs and in line with the priorities identified for the territories in the relevant smart specialisation strategy. (Annex I, 4.3 (2))
57 What if RIS3 is not ready by the time the OP has to be submitted? Where the applicable ex ante conditionalities are not fulfilled, the programme shall contain a description of the actions to be taken, the bodies responsible and the timetable for their implementation. Member States shall fulfil those ex-ante conditionalities not later than 31 December 2016 and report on their fulfilment not later than in the annual implementation report in art.19 (2) of CPR
58 Will the Commission interfere with chosen specialisations? No. The RIS3 are not subject to the ESIF negotiations and MS/ regions have to discover priorities themselves. OP priority axis will however be negotiated: risk of ineffective investments would be addressed. Relaunch entrepreneurial discovery process to revise RIS3, reprogramme OP if necessary, use experimentation to limit risk.
59 How about the December 2016 deadline that was mentioned for the ex-ante conditionality fulfilment? Provide in draft OP an action plan for the fulfilment of all relevant ex ante conditions (e.g. set up of a monitoring system), incl. naming responsible body, time table. Count also the time until OP approval for the strategy finalisation. In case of absence of a RIS3 or of a credible action plan to put it in place in the short-term that ensures that the OP will support measures that are meaningful for the implementation of the strategy, there would be a serious risk of not achieving the envisaged OP results or less results or of high costs/administrative burden/delays to implementation. Therefore, the Commission may decide to suspend interim payments at the adoption of the OP.
60 Do we finance basic research project? ERDF investments in building fundamental research infrastructures and purchasing equipment for fundamental research may be supported under the following conditions: (1) the research fields must be in line with the smart specialization strategy (RIS3), (2) there must be a justification on how the results of the research will be used to benefit the economic development of the region concerned, (3) in case of major projects, all the CBA and other planning aspects (in particular a business plan to ensure financial sustainability of the investments) have to be taken into account at the earliest stage, preferably as part of the OP, (4) preference should be given to such projects that are part of the ESFRI roadmap or a regional partner facility of ESFRI infrastructures and in line with smart specialisation strategy.
61 When do we need an action plan? Action plan should be requested when one or one of many elements of ex-ante conditionality is missing and the member state/region is not in the position to provide Commission services with evidence that it exists. What should be requested? The specific actions needed to be undertaken in the period to put smart specialisation strategy effectively in place should be presented and attached as an annex to Partnership Agreement or Operational Programme where relevant or Smart Specialisation Strategy.
62 What if an action plan is not fulfilled? Non-fulfilment of an action plan can lead to a suspension of payments if this is considered as a significant prejudice. When it is considered as a significant prejudice? 1. Lack of a documented SWOT or similar analysis to concentrate resources on a limited set of R&I priorities. 2. Lack of sufficient documented evidence on the planned measures to stimulate private RTD investment.
63 What should an action plan contain? A description of governance for the implementation of an action plan with clear indication of responsible bodies in the national/regional institutional setup, actions to be undertaken with concrete deliverables and timing envisaged for fulfilment of these actions.
64 From RIS to RIS 3 Building on the past Widespread experience of national/regional innovation strategies in the framework of the EU cohesion policy Achieved greater co-operation among private and public stakeholders and better communication between technology providers and clients Breaking with the past Lack of international and trans-regional perspective Not in tune with the industrial and economic fabric of regions Too narrow vision of innovation Picking the winner syndrome The best performing regions were just copied
65 What can the Platform do in relation to collaboration? Analysis Inter-regional collaboration in RIS3 RIS3 guide KETs report Match making bottom up identification Self-discovery Tool for Structural Regional Benchmarking Thematic events, e.g. Advanced Manufacturing Facilitate mutual learning with aim to perform better at home Peer reviews Thematic events Arrange for Twinning co-development Training of experts/facilitators Nudging - top down allow for bottom up Initiation of collaboration Connecting RIS3 in the BSR Support and follow collaborative processes Danube Macro strategy
66 S3 Platform support: streamlined easy-to-use assessment tools which ensure consistency with methodological approach RIS3 Guide Assessment Report (AR) with the Assessment Wheel (AW) Analysis 5 Monitoring Governance 4 3 RIS3 2 1 Policy mix Vision 0 Priorities 66
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