NEW ECONOMY - OLD BORDERS

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1 NEW ECONOMY - OLD BORDERS cross-border cooperation from a spatial economic perspective Marty van de Klundert ISOCARP, 19 October 2015 Wissenshaftshafen, Magdeburg

2 introduction ir. Marty van de Klundert MCD intrigued by the paradox of economic geography in the knowledge economy: despite globalization and foot looseness, companies are more bound to locations

3 main themes today entanglement of knowledge economy and city development your objective: organizing a successful Euregional Meuse-Rhine agglomeration. your questions: What are the consequences of the transition from an industrial or service based economy to a knowledge economy? How can the region meet up with the needs that are required?

4 first some observations proliferation of hotspots in the knowledge economy knowledge economy is changing demands for environments for working and living many initiatives to create knowledge intensive zones and creative clusters reasonable doubts to the added value of such hotspots but: advantages of co-location due to knowledge diffusion : quality of hotspot-concepts and (eur-)regional measures make the difference

5 about the knowledge economy key notions knowledge economy: acquire, create, disseminate and use knowledge more effectively for greater economic and social development occurs in interactive processes in which actors possess different types of knowledge which they exchange in order to solve certain problems chances of discovery and innovation increase when knowledge diffusion is stimulated knowledge exchange has an inherently social nature especially face-to-face contacts turn out to be an important source of (valuable) information and the exchange of tacit knowledge therefore: (spatial) proximity matters

6 how to stimulate knowledge diffusion key notions Schieblock, Rotterdam

7 how to stimulate knowledge diffusion key notions knowledge diffusion is already organized within (corporate) real estate: non-dedicated workplace ( flex work ) and transparent office concepts re-use of old buildings (city-labs) yet: open innovation / knowledge economy goes beyond (corporate) real estate open innovation = based on the experience that the outside world always knows more and is smarter than an individual or a single company or unit open innovation is crucial when the refreshment-rate of knowledge is high new objectives and possibilities for co-location in regions and hotspots

8 how does knowledge diffusion work? clusters and local buzz three spatial scales; global pipeline, local buzz and stand alone actors, firms region shared values, attitudes, interpretative schemes local information flow, gossip, news, buzz global pipeline local buzz = communication derived from face-to-face contacts, co-presence or colocation of people within a certain branche and place

9 amongst who? local buzz and optimizing cognitive distance knowledge diffusion restrained by cognitive distance between actors: the optimal cognitive distance is a mutual distance big enough to create new ideas and small enough not to oppose the capacity to collaborate

10 in which phase? local buzz and exploration versus exploitation exploration networks exploitation networks - aimed at discovering new things with uncertainty of outcome - tacit knowledge - creative process - many knowledge partners - strategic interaction and trust - aimed to commercialize dominant designs, and produce or market them - economies of scale - number and scope of ties limited - transactional relations - division of labour and specialization use of collective competences governance of differences

11 knowledge diffusion and spatial proximity three levels spatial proximity as enabler of knowledge diffusion can be enhanced on three levels: 1. the regional level The Digital Hub, Dublin 2. the cluster level 3. the level of the (business-)location

12 how to stimulate the knowledge economy? a practical guideline 3. implement measures within area based development 2. define the main considerations for the development 1. determine and enhance the regional economic condition

13 practical guideline for stimulating the knowledge economy (1) strengthening regional conditions seven knowledge foundations: 1. economic base 2. knowledge base 3. accessibility 4. quality of life 5. urban diversity 6. scale (critical mass) 7. social equity Science night, Magdeburg

14 practical guidelines for stimulating the knowledge economy (2) optimize connectivity on cluster level four advantages of co-location : 1. transmission mechanism in regional labour market 2. mutual trust between firms and people 3. restrain free rider behaviour 4. promote competition

15 practical guidelines for stimulating the knowledge economy (3) knowledge diffusion through local buzz depend on five interrelated aspects 1. optimizing cognitive distance 2. managing co-opetition 3. organizing spill-overs 4. actively promoting knowledge diffusion 5. passively promoting knowledge diffusion

16 using the guidelines: a practice spatial organization of a science campus High Tech Campus, Eindhoven

17 voorbeeld: High Tech Campus facts & figures 103 Ha terrein, snelwegafslag A2, 15 km vanaf Eindhoven Airport microsystems, lifescience, hightech systems, infotainment, embedded systems m 2 bvo gerealiseerd circa medewerkers (2015) circa m 2 bvo realiseerbaar (eindbeeld)

18 High Tech Campus, Eindhoven knowledge foundations good, but small and little diverse Eindhoven Leuven Aachen Paris Munchen - 50% of Dutch expenses on R&D in this region - strong economic base, but specialized - average quality of life - accessibility is troublesome - average urban diversity

19 High Tech Campus, Eindhoven intention and rationale: open innovation as a main objective Knowledge and expertise Cooperation in research and development programs Education Open Innovation Facilities and services Internal and External Value Network Inspiration

20 High Tech Campus, Eindhoven how does it work

21 High Tech Campus, Eindhoven the five knowledge management tools bron

22 High Tech Campus, Eindhoven the five knowledge management tools 1. cognitive distance: branding and zoning bron Triple A Tenants - Multi Tenant Buildings - Technostarters

23 High Tech Campus, Eindhoven the five knowledge management tools bron

24 High Tech Campus, Eindhoven the five knowledge management tools 2. managing co-opetition: segmenting and patenting * * bron Research - Applied Technology - Intellectual Property and Standards

25 High Tech Campus, Eindhoven the five knowledge management tools bron

26 High Tech Campus, Eindhoven the five knowledge management tools 3. organizing spill-overs: incubator strategies * bron Technology and Business Accelerator

27 High Tech Campus, Eindhoven the five knowledge management tools bron

28 High Tech Campus, Eindhoven the five knowledge management tools 4. actively promoting knowledge diffusion : facility sharing * * ** * * * * bron Laboratories, Cleanrooms - Parking Facilities - Collective Amenities in The Strip

29 High Tech Campus, Eindhoven the five knowledge management tools bron

30 High Tech Campus, Eindhoven the five knowledge management tools 5. passively promoting knowledge diffusion : liaisonsmanagement bron

31 specific tools for knowledge hotspot development and design - apply tenant selection (optimize cognitive distance) - offer shared professional facilities (labs, freespace, funding agencies, business support services,..) - ensure a smart programming of activities (keynote speeches of industrial leaders, new technology demonstrations, cultural events,..) - promote interaction through urban and landscape design (parklike settings, reduced vehicular traffic, bikelanes, sustainability,..) - create common facilities and amenities at a central location (meeting rooms, bars, platform,..) - offer special services for start-up firms (cheaper premises, business support, network,..) - set up a knowledge transfer point (between firms, universities, civilians) - consider hiring a programme manager for the knowledge hotspot.

32 the challenge new trends from monofunctional greenfield to mixed-use urban sites

33 the challenge new trends integration of knowledge hotspots in the urban fabric

34 the Rhine-Meuse region characteristics - Maastricht Aachen Liege - versatile landscape + proximity - 10% industry; - 16% forest - 48% agriculture - 22% urban area mln inhabitants, different languages different habits

35 the Rhine-Meuse region network - high density road structure - trainnetwork (HSL, lightrail i.d.) - waterways - 4 universities - 21 un. appl. sciences

36 the Rhine-Meuse region economy - industry (history) cross-border workers - strong local economy (> companies) - Clusters: life sciences, automotive, materials, chemistry & energy

37 the Rhine-Meuse region tourism - national parks (leisure landscapes) - amenities

38 the Rhine-Meuse region incorporating the trends in the knowledge economy multi-use urban landscapes

39 Europe euregio local the Rhine-Meuse region towards a spatial economic perspective multi-use urban landscapes enhanced clusters WORK PEOPLE LANDSCAPE position & identity

40 the Rhine-Meuse region conceptual images

41

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