TOWARDS smart specialisation ERDF PROGRAMME FOR SOUTHERN FINLAND PRIORITY AXIS 5

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1 TOWARDS smart specialisation ERDF PROGRAMME FOR SOUTHERN FINLAND PRIORITY AXIS 5

2 contents EDITORIAL 3 EVALUATION 4 Airport Concepts 6 Lead partner: Vantaa Innovation Institute Ltd MATERIAL EFFICIENCY 8 IN WASTE MANAGEMENT Lead partner: Helsinki Region Environmental Services Authority Development 10 of a logistics centre system ESLogC Lead partner: Technology Center TechVilla Ltd ADJUSTABLE PACKAGING LINE 12 OF THE FUTURE Lead partner: Lappeenranta University of Technology / Faculty of Technology / Mechanical Engineering SUSTAINABLE LIVING AND 14 WORKING ENVIRONMENTS Lead partner: Lahti Development Company LADEC Ltd RENEWTECH - Wind power 16 technology and business operation development Lead partner: Cursor Oy THE INTERNATIONAL 18 ADVANCED WATER TECHNOLOGIES CENTRE IAWTC Lead partner: Lahti Development Company LADEC Ltd Game cluster 19 Lead partner: Cursor Oy 2 Published in 2013

3 SOUTHERN FINLAND towards 3 smart specialisation The EU programme period in Southern Finland has seen a systematic development of regional strengths and creation of networks between centres of expertise both on a national and international level. There has been a concerted effort to allocate funding from the European Regional Development Fund to bolster excellence in fields such as environmental and energy technologies, well-being, logistics and forest and technology industries. Most recently, game development companies and game development education have been included as new fields. The present publication introduces eight interesting projects, all of which serve as examples of how future success stories for Southern Finland can be achieved through smart pooling of resources. Local International (esp. the Baltic Sea Region) Interregional Regional The planning for the next Structural Funds period is currently underway. Its key principles are smart, sustainable and inclusive growth as well as smart specialisation as provided in the Europe 2020 strategy. This means identifying the unique characteristics and assets of each region, highlighting each region s competitive advantages and strengthening regional innovation systems at all levels: regional, national and international. Smart specialisation builds on each region s diversity and strengthens the identified poles of excellence and innovation centres to achieve a sufficient skills base and critical mass for research, development and innovation activities. In a climate of shrinking resources this will require a deepening of cooperation both on inter-regional and international level. Southern Finland has made considerable progress in this respect, which forms an excellent foundation for planning the next programme period. Mari Kuparinen Programme Director

4 Evaluation: Thematic concentration brings competitive advantage The external evaluation of the Priority Axis 5 was performed by MDI together with the Baltic Institute of Finland during The evaluation covered the priorities, focus areas and strategies regarding innovation in Southern Finland in relation to the common challenges and opportunities faced by the Baltic region. The evaluation was carried out with a developmental approach and through workshops. Alongside operative evaluation, the aim was also to improve the readiness of the project actors in Southern Finland for the transition to the new EU Structural funds period and for a rapid response to the changing global operating environment as well as to bring to the fore the collaborative potential amongst the project actors and funders. Norway Sweden Finland Russia Kanta-Häme Päijät-Häme South Karelia Varsinais-Suomi Kymenlaakso Uusimaa 4

5 5 In the ERDF programme for Southern Finland , thematic approach has been implemented as a separate Priority Axis (5), through which resources have been allocated to inter-regional projects in areas of excellence deemed essential to the development of the regions. Project actors in Southern Finland have been highly satisfied with the theme specific, inter-regional axis: 87% of the survey respondents felt the future Structural Funds programme ought to secure separate funding for inter-regional project activities. The wide-reaching projects have succeeded in linking local and regional authorities and organisations in Southern Finland, which has increased natural dialogue and social capital within the development network in Southern Finland. The project activities have resulted in established collaborations between various organisations while supporting the European cohesion policy as disadvantaged regions have gained access to the networks and undertakings of centres of excellence. According to the evaluation, Southern Finland has several assets and potential themes for smart specialisation. One such asset is logistics in a broad sense, including not only transport but also other logistical competence, information networks and ICT. The environment/cleantech, renewable energy, education, international testing platforms, design and material efficiency are also among the strengths of Southern Finland, and these offer several opportunities for pooling competences in different fields, regeneration of traditional industries and the development of new forms of innovation and breakthrough innovations. Through the development of public services and innovative public procurement it is also possible to identify new areas of strengths for Southern Finland, which has every potential to become a leading concentration for the development of service and social innovations, user-led services and service design. Innovations and lead markets can in the future be promoted more intensively through innovative public procurement and, here, local and regional authorities in Southern Finland are in a key role. In future, exploitation of competences across boundaries will become increasingly important: bringing together different skills areas, regenerating traditional industries and technological expertise are crucial factors. A more international focus in promoting excellence would be favourable. In the upcoming programme period, this will require a new kind of approach involving collaboration across boundaries between traditional skills areas as well as the ability to create and manage international networks. Better capacity is required to make use of different funding instruments and an increased risk appetite. Adopting this approach further emphasises the element of smart specialisation in project activities and in inter-regional activities, in particular. The global and European economic challenges and the ongoing structural change highlight the importance of targeting the actions taken at EU, national and regional level as well as public and private investments towards boosting change management and innovative capacity. Regional knowledge needs to be widely exploited while bringing into the equation the strengths of small and medium-size localities. Managing structural change and taking advantage of the opportunities presented by the change require that new types of regional innovation schemes and platforms be developed.

6 6 Airport Concepts A31794 Lead partner: Vantaa Innovation Institute Ltd Duration: 1 June December 2013 Total budget: 900,000 ERDF and state subsidy: 630,000 Partners: Vantaa Innovation Institute Ltd University of Turku / Business and Innovation Development

7 Innovations take flight 7 in the airport project International airports are locations where the need for new innovations is particularly evident. Passenger numbers are soaring while environmental awareness and changes in the economic climate force operators to seek new solutions. The Airport Concepts project develops new service concepts based on Finnish excellence and innovations for aviation companies and organisations. All project participants share the same goal: to create better and more functional airports. Airport Concepts is divided into three main work packages. The first focuses on developing airports through efficient design, the second on creating marketable solutions for airport winter maintenance and the third on the development of cooperation between airport safety specialists. The activities are organised around Airport Cluster Finland, which is an alliance of companies operating at airports. New services are developed largely by combining and complementing the products and services of the participating companies and their business partners.

8 8 MATERIAL EFFICIENCY IN WASTE MANAGEMENT / A31559 Lead partner: Helsinki Region Environmental Services Authority Duration: 1 January February 2014 Total budget: 1,514,340 ERDF and state subsidy: 1,060,058 Partners: Helsinki Region Environmental Services Authority Aalto University Foundation / Aalto University, School of Engineering, Lahti Center Turun seudun Jätehuolto Oy Päijät-Hämeen Jätehuolto Oy

9 Planning ahead for 9 less waste Nearly half of municipal waste in Finland still ends up in landfills. From the perspective of material efficiency in waste management, Finland s performance ranks close to the average in Europe, so vigorous effort is required to reach the standards of the model countries in waste management. The project for material efficiency in waste management aims to reduce the amount of municipal waste produced my households and public service providers. A second goal for the project is to improve efficiency in waste recycling and recovery. The primary measure is to create a better impact through communications and in this way achieve more efficient waste sorting practices. New guidelines and communication channels are created for property management companies, which will result in improved waste management in housing companies. One of the development areas is the web-based remote monitoring of waste management and planning. The Lahti Centre of Aalto University has developed a Recycling Server, which follows the materials sorted by residents and organisations in real time and estimates the accumulated amount of waste and provides information on the optimal placement of waste collection containers in residential and commercial areas. Photo: Helsinki Region Environmental Services Authority/ Kai Widell Photo: Helsinki Region Environmental Services Authority / Hannu Bask Photo: Helsinki Region Environmental Services Authority / Jenni-Justiina Niemi

10 10 DEVELOPMENT OF A LOGIS- TICS CENTRE SYSTEM IN SOUTHERN FINLAND - ESLogC / A31142 Lead partner: Technology Center TechVilla Ltd Duration: 1 October September 2012 Total budget: 1,968,685 ERDF and state subsidy: 1,378,047 Partners: Technology Center TechVilla Ltd Lahti University of Applied Sciences HAMK University of Applied Sciences Laurea University of Applied Sciences VALONIA Service Centre for Sustainable Development and Energy of Southwest Finland SYKLI Environmental School of Finland

11 The development of A LOGISTICS CENTRE SYSTEM 11 Logistics centres are nodes of our transport system, where goods, information and cash flow meet. The ESLogC project was the first of its kind in Finland to focus on the systematic development these nodes. The project participants developed the network of logistics centres in Finland in close cooperation with different operators and external partners. The knowledge accumulated in the project will help create productive, efficient and internationally competitive ensemble of logistics services. The project sought to resolve various questions, such as the optimal location of logistics centres, as well as their design, classification, internal logistics, technologies and skills areas. The project outcomes and solutions have been collated in the form of a manual for logistics developers and more than 160 information cards available on an online desktop for logistics developers. This way the information and good practices can be immediately rolled out in companies and other organisations. The basic information for the manual and desktop was compiled on the basis of several interviews with logistics professionals and studies as well as workshops and seminars organised during the project. The project involved more than 80 companies and public bodies from different fields. Knowledge produced as a result of the project will help operators in the logistics field as well as policy-makers to steer the development of logistics nodes. The identified solutions will also serve as useful guidelines in the development of education and training in the field of logistics.

12 ADJUSTABLE PACKAGING LINE OF THE FUTURE 1 / A30721 Lead partner: University of Lappeenranta / Faculty of Technology / Mechanical Engineering Duration: 1 October March 2012 Total budget: 1,725,822 ERDF and state subsidy: 1,208,075 Partners: University of Lappeenranta / Faculty of Technology / Mechanical Engineering Åbo Akademi University Lahti University of Applied Sciences / Institute of Design and Fine Art 12 ADJUSTABLE PACKAGING LINE OF THE FUTURE 2 / A30722 Lead partner: University of Lappeenranta / Faculty of Technology / Mechanical Engineering Duration: 1 October March 2012 Total budget: 365,138 ERDF and state subsidy: 161,924 Partners: University of Lappeenranta / Faculty of Technology / Mechanical Engineering

13 Better and more ecological 13 packaging In the future, an increasing amount of food packaging will be made from renewable resources, replacing plastics and metal. Fibre-based packaging materials have improved considerably in quality, therefore offering an alternative to plastics. The Finnish forest industry and other closely associated industries are actively seeking new business opportunities. The volumes in the manufacturing of packaging materials are constantly on the increase and the packaging business presents major opportunities in Europe. The Adjustable Packaging Line of the Future was a project that aimed to develop consumer-friendly and smart packaging concepts for the paperboard industry. As part of the project, a completely new type of production line was built at Lappeenranta University of Technology (LUT) Packaging Technology lab, in which the creasing, cutting and press forming were all completed in one phase. The project also developed new, printed indicators providing information to consumers about the freshness of the food product. As a result of a combining the manufacturing technology expertise of LUT, the extensive knowledge on indicators at Åbo Akademi University and the packaging design expertise at Lahti Institute of Design and Fine Art, the project produced three new paperboard packaging solutions. The Institute of Design and Fine Art also contributed significantly to the design of the production line and its user interface.

14 14 SUSTAINABLE LIVING AND WORKING ENVIRONMENTS (K-EASY) / A31452 Lead partner: Lahti Development Company LADEC Ltd Duration: 1 November March 2014 Total budget: 2,276,121 ERDF and state subsidy: 1,593,285 Partners: Lahti Development Company LADEC Ltd Innopark Programmes Oy Posintra Oy Culminatum Innovation Oy Ltd Lappeenranta University of Technology

15 SMART living 15 The biggest single contributor to our personal carbon footprint is energy consumption at home. In northern regions, where heating costs are high, developing energy efficient housing is particularly important. The key target areas for the Sustainable Living and Working Environments project include the energy performance of buildings, waste management and recycling and smart building technologies. The project s target groups are small and medium-sized enterprises in the Finnish construction and building services sectors, building owners, and municipal and local authorities. The project approached its goals from five perspectives: The Energy Performance of Residential and Industrial Buildings (ASTE) sub-project investigates the energy consumption and en- ergy saving potential of residential buildings and industrial halls. Until now, projects aimed at improving energy efficiency have focused on new builds, although renovation and refurbishment form a considerable part construction activities in Finland. The goal of the Material Efficiency and Waste Management sub-project is the development of waste management and energy efficiency through building-specific and regional pilot schemes, and to come up with feasible development models in waste management in Southern Finland along with developing new products. The Predictive Building Technologies sub-project focuses on providing smart energy generation systems by combining data on consumers energy usage patterns and the local weather forecast. The energy monitoring covers the usage of electricity as well as district heating and water. The Tools for Low Carbon Construction sub-project supports urban development by designing a user-friend tool to assist local and municipal authorities in steering regional development towards low carbon society objectives. The objective of the New Products from Construction Waste and Recycle Building Materials sub-project is to promote the utilisation of construction waste and recycled construction materials as raw material for new product applications and to assess the use potential of these materials.

16 16 RENEWTECH - Wind power technology and business operation development A31777 Lead partner: Cursor Oy Duration: 1 June December 2013 Total budget: 2,870,613 ERDF and state subsidy: 2,009,429 Partners: Cursor Oy Kymenlaakso University of Applied Sciences / Technology and Transport Kymenlaakso University of Applied Sciences / North European Logistic Institute (NELI), Lappeenranta University of Technology Wirma Lappeenranta Oy Etelä-Kymenlaakso Vocational College EKAMI

17 Clean energy on the rise 17 The RENEWTECH project gathers together operators within Southeastern Finland with wind-power expertise with the goal of developing wind-power technology and business into exportable products. The project is set to produce new commercially applicable wind-power innovations, maintenance concepts and logistics. The project also includes training and top research in the field of wind power. For example, Lappeenranta University of Technology and Kymenlaakso University of Applied Sciences have joined forces to offer engineering students study modules in the topic. The Wind Power Cluster enables the development, piloting and commercialisation of customer-led innovations as a joint undertaking by technology companies and universities. The services model for the cluster is based on using existing skills and resources as a platform for creating targeted solutions. The companies involved represent the very top of their respective sectors and will benefit from the added input from scientific research. It is one of the designated goals in Southeastern Finland to significantly increase the use of wind power by 2015; this provides an excellent opportunity to test new applications in practice.

18 * launched in 2012 Advanced water technologies for Eastern markets The need for feasible and environmentally friendly solutions for waste water management is being acknowledged to an increasing degree in present-day Russia. Finland can offer extensive skills in water and environmental technologies through a large number of innovative SMEs operating in the field. The International Advanced Water Technologies Centre (IAWTC) project is geared towards converting this skills base into exportable products. The purpose of the project is to develop and expand the operations of IAWTC, a joint venture with SUE Vodokanal of St. Petersburg, to other parts of Russia. The goal is also to boost the competitiveness and business operations of SMEs in Southern Finland and to facilitate networking amongst universities, research institutes and continuing education providers within the Baltic region. Opening doors and identifying the right partners to promote business is one of the key services offered by IAWTC. Companies joining the project will benefit from these partnerships by gaining access to the latest and most up-to-date research in the field. The project will include, among other things, a market survey, which will investigate what kind of clean-water expertise is required in Russia and thereby provide a starting point for building contacts between operators in Russia and companies in Southern Finland The INTERNATIONAL ADVANCED WATER TECHNOLOGIES CENTRE IAWTC for competitiveness, business, innovations, skills and a clean Baltic Sea / A32138 Duration: 1 April September 2014 Total budget: 1,530,600 ERDF and state subsidy: 1,071,420 Partners: Lahti Development Company LADEC Ltd Lappeenranta University of Technology / Centre for Separation Technology, CST SYKLI Environmental School of Finland Culminatum Innovation Oy Ltd Lead partner: Lahti Development Company LADEC Ltd

19 The game industry picks up pace 19 * launched Angry Birds, Alan Wake, Habbo Hotel and other games created in Finland have become world-wide phenomena and paved the way for new Finnish game industry entrepreneurs. However, competition for the time spent on the game console and mobile devices is becoming tougher by the minute. in 2012 The Game Cluster project, which is a joint effort by five universities and two development companies, aims to create new companies and jobs in the game industry. One of the project s key goals is to offer high quality game-related education to provide the best possible talent to meet the industry needs. The Game Cluster also taps into the experiences and contacts of the pioneering game companies and pools the resources of the projects partners to boost the capabilities of start-ups to build global business and publish their products for global audience. The Game Cluster project is part of a larger project building a strong game industry ecosystem and pipeline to global markets for game companies in Southern Finland and aiming to facilitate a follow-up on the current global success stories. Game cluster / A32139 Lead partner: Cursor Oy Duration: 1 April June 2014 Total budget: 2,493,802 ERDF and state subsidy: 1,745,612 Partners: Cursor Oy Wirma Lappeenranta Oy Lappeenranta University of Technology Kymenlaakso University of Applied Sciences Metropolia University of Applied Sciences Saimaa University of Applied Sciences Turku University of Applied Sciences

20 MBE TOWARDS smart specialisation ERDF PROGRAMME FOR SOUTHERN FINLAND PRIORITY AXIS 5 Varsinais-Suomi Päijät-Häme South Karelia Kanta-Häme Kymenlaakso Uusimaa This publication introduces the projects under the ERDF Programme for Southern Finland Priority Axis 5 and their evaluations. The booklet discusses eight interesting projects undertaken in Southern Finland. These projects provide an informative overview on the thematic projects in Southern Finland and the operators behind them. The ERDF Programme for Southern Finland is one of four ERDF Programmes in Finland for the period. The geographical area covered by the programme includes the regions of South Karelia, Kanta- Häme, Kymenlaakso, Päijät-Häme, Uusimaa and Varsinais-Suomi. The EU Unit for Southern Finland Regional Council for Päijät-Häme P.O.Box 50 (Hämeenkatu 9) FI LAHTI, FINLAND

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