Rethinking the innovation policy to renew the Finnish economy

Transcription

1 Rethinking the innovation policy to renew the Finnish economy Antti Eskola Enterprise and Innovation Department Ministry of Employment and the Economy

2 The presentation looks at 1. (Structural ) changes in the innovation environment 2. Rethinking innovation policy

3 Exports of Finnish goods have decreased significantly with slow recovery Exports of goods by country 1995 = USA Finland Germany Japan Value index, national currencies, seasonal adjusted 3 month moving average. Source: OECD Main Economic Indicators 2012 DM 36054,

4 Finnish exports of goods have undergone a significant structural change % of total exports of goods Wood and wood products Pulp, paper and paper products Basic metals and metal products Machines, machinery and vehicles Electronics and electrotechnical products Chemical products Other goods Source: Finnish Customs DM

5 Finnish R&D Expenditure (M ) Public sector Universities Businesses

6 Innovation Union Scoreboard 2013

7 Synergy (2013, forthcoming):

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9 PISA 2012: Student proficiency declining.. The general downturn in learning outcomes shows that we must take strong action to develop Finnish education. I will be setting up a broad-based forum without delay to work on safeguarding the future of the Finnish system of basic education. We will bring in not only experts in research and education and political decision-makers but also student representatives and parents, said Krista Kiuru, Minister of Education and Science

10 Finland s innovation strategy 2008 Innovation and innovation policies in Finland have not adequately Reflected the users ability to contribute to innovation Utilised the value creation opportunities related to user needs Met the societal challenges and created related new business Stimulated demand for innovation and uptake of innovations New growth could be generated by addressing these problems In , the Ministry put together a policy framework and an action programme to implement the new policy approaches

11 Focusing on demand and user-driven innovation Innovation friendly markets Demand-driven innovation policy Bolsters demand for innovations Enhances ability to adopt innovative solutions Improves capability to interpret market needs and potential for demand Awareness and knowledge development Demanding and innovation friendly regulation Standardisation supporting innovation Regulation as stimulus for competition Bolstering innovations through public procurement Demand, competition and innovation-friendly culture as drivers of innovation User-driven innovation activities Awareness and knowledge development Design as an enabler for user-driven innovations More systematic engagement of users in innovation activity Utilisation of advanced methods in identification and analysis of user needs and trends Focusing innovation policy and its tools on user-driven innovation User-driven innovation policy

12 Incidence of user/consumer innovation 1 Developing understanding of user s needs 2 companies benefiting from users as innovation resource 3 user innovation and its commercialisation

13 Solving societal challenges with innovations Research and foresight Climate change Energy efficiency, bio fuels Sustainable consumption Biomaterials, recycling Clean air and water Transportation Intelligent systems, sustainable transportation Aging Preventive healthcare, ehealth, PPP Safety and security Productivity of public services Electronic government Public sector as lead-user Performance targets Pioneering regulation Public private partnerships Public/precom. procurement Standardization Systemic conduct

14 Tekes reformed its organisation

15 Clean technologies vehicle for green innovations and economic growth Framework Raw materials Processes Product examples Bioeconomy Wood, agricultural products, fish, animals, waste Mineral economy Water economy Ore, rock materials Raw water, sewage water Clean technologies Energy economy Biomass, water, solar, wind

16 (-economy) Sustainable competitiveness from bioeconomy

17 Institutional innovation system Research and Innovation Council Ministry of Education and Culture Parliament of Finland Government Ministry of Employment and the Economy Other ministries The Finnish Funding Agency for Basic Research Universities The Finnish Funding Agency for Technology and Innovation and other research centers The Finnish Innovation Fund Enterprises Regional ELY- Centers Finpro Finnvera Industry Investment

18 Reforms underway or done University reform Government research institute restructuring International evaluations of Innovation funding actors Strategic Centers for Science,Technology and Innovation Research and Innovation Council Successes Forest Industry developing into bioeconomy cluster The lively startup scene

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20 Drawing programmes on intangible value creation together National IPR Strategy 2009 (update 2013) National Design Strategy 2000 (update 2013) Actions to promote The Creative Economy

21 Policymaker s question on targeting: What kind of growth to seek? Core growth: creating successful new products and services that fit the existing portfolio low risk, short-term opportunities New growth: expanding by developing new operations through finding new markets complementary to existing ones incremental innovation, mid-term opportunities Emerging growth: capitalizising on emerging areas and big technology bets in entirely new or unrelated sectors radical innovation, long-term opportunities and potential high rewards

22 Institutional innovation system Research and Innovation Council Ministry of Education and Culture Parliament of Finland Government Ministry of Employment and the Economy Other ministries The Finnish Funding Agency for Basic Research Universities The Finnish Funding Agency for Technology and Innovation and other research centers The Finnish Innovation Fund Enterprises Regional ELY- Centers Finpro Finnvera Industry Investment

23 Shaking the institutional innovation system Research and Innovation Council Ministry of Education and Culture The Finnish Funding Agency for Basic Research Parliament of Finland Strategic Research funding instrument Government Ministry of Employment and the Economy The Finnish Funding Agency for Technology and Innovation Other ministries Universities and other research centers The Finnish Innovation Fund Enterprises Regional ELY- Centers Finpro Finnvera Industry Investment

24 The Economist

25 Thank you! 25