The Ostrobothnian model of Smart Specialisation

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1 The Ostrobothnian model of Smart Specialisation By Jerker Johnson, Helsinki

2 Points argued in the presentation The concept of the innovation system stresses that the flow of technology and information among people, enterprises and institutions is key to an innovative process hence: 1. Access to entrepreneurial universities, more dynamic labour markets, larger firms, forms a critical mass in the centre, that is assumed to be connected with innovation. This does not mean that the more peripheral regions have a role to play but a different place based model has to be created 2. Lacking natural social arenas for innovation a more hands-on approach has to be pursued. This means that some strategic choices are being made and the regional innovation strategies should be seen as complement to national strategies and vice versa 3. Triple-Helix models and learning or entrepreneurial discovery can form a base for a regional innovation system.

3 The final report of the Smart Specialisation project 3

4 The Finnish approach to Smart Specialisation National innovation policy INKA-priorities Other regional priorities Regional development programmes OK, but: Unclear on how this will materialize entrepreneurial discovery Regional development programs designed for political will mitigation not innovation

5 ANALYSIS INKA Desire for a critical mass and agglomeration economics. National polycentric development model. Top-down spatial hierarchy OSTROBOTHNIA, S3 Place base development building on outward orientation. Globalised cluster assumed to be innovation leaders and innovation taking place in networks. Horizontal connectedness will further foster innovation. Bottom-up network model. GOVERNANCE OVER ALL VISION Regional proposals for national selection. Annual triple-helix stakeholder dialogue based on innovation system gap-analysis. Dialogue will produce stakeholder view on priorities in funding. Process governed by the Regional Council and integrated in the work of the Regional Cooperative To achieve global competiveness in selected fields. To integrate Finnish stakeholders in global networks. Groups. Web -application for soft governance To be a connected region with a strong place based innovation politics. To have a process of entrepreneurial discovery on-going thru addressing gaps in the innovations networks of outward oriented industries. Peer-review learning with European partners PRIORITIES Based on evaluation of proposals Most urgent gaps in the RIS identified thru dialogue POLICY MIX National and regional funding, steered by the legislation governing the Finnish National Technology Centre (Tekes) Regional funding, multi-level dialogue when the regional level is not the competent authority MONITORING AND EVALUATION External evaluations, evaluations indicators Repetition of the process and stakeholder perceived improvements

6 Ostrobothnia triple-helix structure Companies 75% Public Public organisations sector Companies 86% 11% Companies Public org. 22% Public org. 3% 65% 17% 3% Universities Universities 18% Universities

7 Cross-sectoral platform the systemic part in an innovatons system is a stucturalised dialogue Saga Furs Oyj Fur farming Wärtsilä Maritime technology and service ABB, Switch, Vacon... Energy technology Baltic Yacht, KWH... Composite technology plastic RES solutions Breeding, well-being Energy solutions Communication and control systems Design and digital solutions Key Enabling Technologies Automation mechanical system solutions Business Knowl edge Machine and production technology Economics of law and Production Economy Material design Elektronics, electricityand ICT Research areas VY, Hanken, KTH, LY, VY, Novia, VAMK, ÅA VAMK Novia, VAMK VY, HY, Novia, Aalto VAMK ÅA (Digi)

8 Measuring strenghs of partner relation using SCA Scale: 1=low, 10 = high Expectations (1-10) Experience (1-10) Direction of development, Direction of development, expectations (future) experiences (past) Worse Same Better Worse Same Better LIST OF ATTRIBUTES Structure builds on Lundwall & Johnson 1994: Know how? Know what? Know why? Know who? -skills, ability to do something -knowledge about facts (information) -principles and laws in the human mind and society -who knows what and what to do 8

9 Gap analysis GAP analysis is based on network study of triple-helix draws on business studies Questions to business leaders and others in the triple-helix -what is our expectations on e.g. research and education (+other helixes) on a scale1-10 and -what are you experiences on scale 1-10 The difference between expectations and experiences is a GAP A GAP > 2 indicates a problem A small GAP with high expectations indicates a good solution By comparing GAPs over time and across regions we seek good solutions Partner focus groups dialogues on problems to search for happy solutions

10 Policy S3 process Formulating and executing the policy measures Survey network partners and strenght of partnership, technology Focus gruop processing of policy measures with stakeholders Quantification of results on experience and expectations Analysis of policies to remedy for gaps in networks and technology

11 S3 governance in Ostrobothnia MYR makes recommendations on resource allocation MYR secretariat target analyzes Consistency analyze by LFA Web quadruplehelix result communication Fur farming Marine, energy technology (INKA) Energy technology (INKA) Yacht and boat building

12 Thank you for your attention...

13 Conclusion of the energy cluster companies on innovation partnerships Business sector partners are more important than partners in the public sector or among the higher education. Regional business partners are the most important ones followed closely by national and international partners. Partners in the university sector elsewhere in Finland are slightly more important than in Ostobothia and they tend to seek foremost cooperation in research outside the region. Ostrobothnia research institutions have been involved in rather basic academic research than applied research The cluster is well conntected both regionally and globally There is also a gap in with respect to the education but to a lesser degree compared to the expectations of the research Largest gap indentified in the relation to subcontractors in the production process With respect to the public sector that largest gap was in spatial planning and in reigonal and infrastructure development.

14 Conclusion of the energy cluster companies on future technology vision Progressive production methods as defined in the list of KETs are the most important ones now and also in a 20 years vision forward. Moreover smart grids and renewable energy technology is seen as having a future. Companies in Ostrobothnia are also in the future seen as the most important partners in technology development in a 20 years forwards vision. The companies are seen as more important developers than universities of technology also in the future in the Ostrobothnia region.

15 Conclusion of the boat cluster innovation network Business sector partners are equally important both in Finland and Internationally. However the most important partners are found in the region. The respondents were few and it is likely that a repetition of the survey with a larger number of smaller enterprises would reveal a larger number of regional partners. Some companies are found in the research istitutution but in particular with respect of material development composite techniques this is done on an trial and error base and would benefit from partnerships with research institutions

16 Boat cluster partner expectations The largest expectation gap in Ostrobothnia is in production processes. The nature of the production process with customer involved in the construction process leads to inefficiency when developing new materials. In the future it would be important to develop partnerships on material development The largest gap with companies in Finland was in organisational cooperation and in the marketing and the international cooperation was percieved as suffering from organisational issues. The shortages in the cooperation with the public sector was seen in logistics and regional development. There is a demand for more R&D in the boat cluster on high-tech and composite techniques that is not found regionally.

17 Fur industry innovation network The business partnerships are mainly regional and the national and international partners are less and are also falling in importance. Also there were large expections on the production processes where the process has not been scrutinized for a very long time There is a gap in the expections of the research institutions in the region as there is no research found in biology and other topics relevant to the farming. For instance is the correct level of protein in the feeding is an issue for consideration. There is a high expections on how research could benefit the industry but this is not expected to be found in the region.

18 Summary of the findings of the first round The model is working even if we have few respondents the process has to mature. The process has to be communicated and deepened The learning will pass thru reflection based in a given model. The model may need to be complemented but serves as a bench-mark Business driven innovation network which creates other challenges for the public sector particularly for the public research Research does not match needs the higher sector function is seen as in reproduction of labour force Regional development and spatial planning is percieved as faulty and have to be looked into.

19 S3 Relation to Horizon 2020 in Ostrobothnia

20 Up-stream actions in Ostrobotnia Mapping regional perfromance of the innovation system with analysis and evaluation and their past performance in FP7 This has been done by the Espon, AMCER-project Adapt the peer-review & mutual learning method developed for assessing RIS 3 This is the role of the focus gruop seminars and the web-applications Will be further developed in international partnerships using the Nonaka methodology

21 Down-stream actions in Ostrobotnia Exploiting and diffusing the results of R&I results for KETs S3 strategy provide a focus on KETs verified in the survey. This is pending forthcomming technology transfer actions carried out with regional and national stakeholders.

22 Way forward deepening the process Repeating the gap analyisis in Ostrobothnia in order to gain more emprical evidence and enchanced understanding of the model among the stakeholders Applying the methodology in partner regions in order to have a comparative gap-analysis Transnational learning on gapbridging using the SECIapproach Dissemination with the purpose of gaining outside feed-back

23 Thank you for your attention...

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