markkula errin 17 april 2013 - european commission · stage 3 orchestrating rie: 1. mindset change...

ERRIN - RIM

Keynote 17 April 2013

Markku Markkula

• EU Committee of the

Regions CoR,

Rapporteur on Closing

the Innovation Divide,

Rapporteur on Horizon

2020, Chair EPP-CoR

Task Force

on Europe 2020

Closing the Innovation Divide

1. CoR statements: What are the basic realities?

2. From “Triple Helix” to “RIE Regional Innovation Ecosystems”: How to address new innovative solutions on major societal challenges

3. CoR draft opinion focusing on mindset: What are the preconditions for necessary changes?

4. A Circular Economy – Re-using knowledge: How to develop regional innovation ecosystems to become laboratories for entrepreneurial discovery?

5. Smart cities and smart regions – need for deeper understanding the innovation: What are the processes and concepts for implementation?

6. Smart specialisation: What does that mean in practice?

7. We are facing the challenge: What are the different activities needed in organizing synergistic cooperation for the new programming period 2014-2020?

Committee of the Regions: Towards Smart Regions and Cities – What Are the

Basic Obligatory Realities?

There is a huge gap between the latest research knowledge and real life practice. What do we need to do to fill it? CoR has defined the following guidelines:

1. Europe needs pioneering regions to be forerunners in implementing the EU2020 and through that to invent the desired future.

2. Lifelong learning and the full use of ICT are cornerstones for this change of mindset towards entrepreneurship and innovation.

3. We need the dynamic understanding of regional innovation ecosystems where public, private and third sector learn to operate together. Modernize Triple Helix.

4. We need methodologies to mobilize public private partnerships and encourage especially people participations: user-driven open innovation & living labs.

5. We need to speed up the change by scalability & implementation.

Source: CoR Opinions 2011-2012

Development of National or Regional Innovation System

Public support

Stage 1: Creating

pre-conditions

Stage 2: Initiating

transformation

towards RIE

Stage 3: Orchestration

for global business

The Development Path of

the Regional Innovation Ecosystem (RIE)

Source: Jukka Viitanen & Markku Markkula & Carlos Ripoll, article in the Knowledge Triangle book, 2013

Stage 1 Regional pre-conditions:

1. Potential of existing regional/international innovation system (=audits)

2. Willingness to utilise this potential (=active participation)

Stage 2 Creating the innovation hub:

1. Joint R&D

2. Joint innovation capacity

3. Joint commercialization

4. Joint platforms

Stage 3 Orchestrating RIE:

1. Mindset change

2. Implementing Knowledge Triangle

3. Integrating innovation activities with research programs

The Development Path in More Detail

Source: Jukka Viitanen & Markku Markkula & Carlos Ripoll, article in the Knowledge Triangle book, 2013

How to Create Preconditions for Necessary Changes?

1. supporting the targets to be achieved on competitiveness and innovation by 2020, especially through continued investment in education and training;

2. stressing the importance of balancing technological, design and social innovation in both the public and private sectors, all of which are influenced by far-reaching digitisation;

3. striving for societal innovation, with living labs, testbeds and open innovation methods in regional innovation policy-making, while getting citizens on board;

4. highlighting the role of a local and regional environment that supports the integration of higher education, research and business;

5. implementing the Knowledge Triangle as a key principle in European university reform (greater synergies between research, education and innovation);

6. underlining the key role of research infrastructure in knowledge-based innovation systems;

7. focusing more on the active use of innovative public procurement, combined with simplification of procedures;

8. stressing the importance of Europe-wide collaboration and transnational cooperation projects between regions, building on innovation support and smart specialisation strategies;

9. highlighting the potential of cross-border cooperation, including inward investment to and outward investment from the EU;

10. improving competences for innovation and fostering a new innovation mind-set built on dialogue, collaboration and co-creativity to learn from best practice.

CoR Draft Opinion “Closing the Innovation Divide”: Based on the

request of the Irish EU Presidency, Rapporteur Markku Markkula

Closing the Innovation Divide �� Action Points

• In moving towards a circular economy for knowledge,

national funding bodies like Tekes in Finland and Vinnova in

Sweden could revisit and explore the results of projects

completed during the last 5-10 years, and unlock their

treasures for reuse in new regional and national contexts.

• Directorates-General in the Commission could do the same,

making results accessible more broadly across different

domains, in order to address societal challenges. University

research could be made more directly relevant to policy-

makers and project teams.



Identify Societal / Market Needs& define system requirements & barriers

Develop Useful Insights from Fundamental Knowledge

Integrate Fundamental Research & Innovation Knowledge into Enabling Technologies

Applying Experiences from Industrial Systems ��

Interacting Learning & Research & Innovation Activities

(E O’Sullivan: Adapted from NSF ERC Strategy Framework)

Professor Sir Mike Gregory, 13 Feb 2013

Three Steps to Understand the System:

There are many research and innovation focus areas to support the drivers of change urgently needed during the 2014-2020 programming period. The CoR highlights the following ones as the success factors in inventing the future:

• Innovation communities operate as ecosystems through systemic value networking in a world without borders.

• Innovation processes are strongly based on demand and user orientation and customers as crucial players in innovations.

• Innovation strategies focus on catalysing open innovation and encouraging individuals and communities towards an entrepreneurial mindset and effective use and creation of new digitalised services.




Globalisation � Need for Smart Specialisation

Understanding the dynamics of global industries

• Mapping and managing global value chains

• Configuring production and supply

• Understanding national industrial policies

• ‘Making the right things in the right places’

Professor Sir Mike Gregory, 13 Feb 2013

• Regions and cities should create pioneering initiatives that

are genuinely European in nature: multicultural, human-

centred, focused on societal innovations and capabilities to

create better structures for the welfare society and lay the

groundwork for developing the digital single market.

• Showcases for practical examples of successful initiatives

should be created and made widely accessible, so other

regions and cities can learn from the practical results and

effective processes of past and on-going programmes.




Business Model Levers Technology Levers

Value

Proposition

Value

Chain

Target

Customer

Product

and Service

Process

Technology

Enabling

Technology

Cultural

Levers

Regional

Innovation

Ecosystem

Space

(Ba & Flow)

Design

Mindset

Learning

Deeper Understanding of the Innovation ��The focus on innovations has been on business models and

technology. Now the cultural levers are the drivers of change.

Incremental innovations

Semi-radical innovations

Radical innovations

Markkula M & Pirttivaara M, (2013). Adding the Cultural Levers. Developed from Davila T,

Epstein MJ and Shelton RD, (2013), Making Innovation Work, FT Press, New Jersey.

Picture: The three levers for the three types on innovation

• The CoR stresses that smart specialisation is a regional policy

framework for innovation-driven growth. What distinguishes

smart specialisation from traditional industrial and

innovation policies is mainly the process defined as

“entrepreneurial discovery” - an interactive process in which

market forces and the private sector discover and produce

information about new activities and government assesses

the outcomes and empowers those players most capable of

realising the potential. Smart specialisation strategies are

much more bottom-up than traditional industrial policies.




New Elements & Model for Research

1. research2. concept/invention

3. early stage technologydevelopment

4. product development

5. production/ marketing

Proof of concept Proof of principle Demonstration

Shared R&D&I

programs

between mutually

committed:

- Universities

- Research

Institutes

- Industry

- ….

Jos Leijten, 11 Feb 2013


• Europe must make major cultural changes and re-focus

funding to ensure active application of the latest research

knowledge at local and regional level.

• The focused translation of research into practice requires

good mutual understanding of what research there is, what

issues there are, and how relevant research can impact local

and regional issues. A new kind of knowledge triangle is

needed for this, linking the world of research and science

with the world of business and government through a kind of

interactive translation service.



CoR Conference Plenary 10 April 2013 Conclusion Prof. Debackere, KU Leuven

17-4-2013

3S Portfolio:

- Modernization

- Transition

- Diversification

- Foundation

3S Portfolio:

- Modernization

- Transition

- Diversification

- Foundation

Country or regional (baseline) profile:

- Indicators

- Priorities

- Clusters

- Institutions

Country or regional (baseline) profile:

- Indicators

- Priorities

- Clusters

- Institutions

Country or regional governance mechanisms for:

- Priority-setting

- Clustering

Country or regional governance mechanisms for:

- Priority-setting

- Clustering

Triple Helix interactive process of policy action & policy learning to

support, stimulate, select clusters of smart specialization activity built on

the knowledge and innovation resources present in country or region

Triple Helix interactive process of policy action & policy learning to

support, stimulate, select clusters of smart specialization activity built on

the knowledge and innovation resources present in country or region

Entrepreneurial discovery processes by

lead actors and lead institutions supporting

country/regional presence in global

economic value chains

Entrepreneurial discovery processes by

lead actors and lead institutions supporting

country/regional presence in global

economic value chains

NEW JOINT ARENAS for Co-creation Competence

Development

LifelongLearners

Dynamic Interaction between University and Society

MINDSET CHANGE

Markkula, M., Pirttivaara, M. & Miikki, L., 2009. Developed by using ideas of Lester & Sotarauta, Tekes report 2007 ”Innovation, Universities, and the Competitiveness of Regions”.

ScientificKnowledgeResearch

Focus Areas asDrivers of

Development

Researc

h,

Ed

ucati

on

an

d In

no

vati

on

Ind

ustr

y

So

cie

ty

• The new innovation institutes focus on the new mind-set and

environment required for user-centric design, co-creation and

rapid piloting.

• These are flexible entities with a collaborative approach.

Examples include: Incubators and Accelerators, Living Labs,

Entrepreneurial Hubs, Development Labs, Social Innovation

Labs, Fab Labs, Societal Innovation Learning Camps and

Future Centers. They usually operate as associated entities of

universities, municipalities and businesses.




Industry and

other Organi-zations

Society:Innovations

and Well-being (Products, Processes, Services…)

Produces

Educates

LifelongLearning

Inventingthe Future

NEW JOINT ARENAS for Integration, Collaboration, and Co-

creation; Access to Global Resources and Talent

Aalto Living Labs

Mega-Endeavours

Aalto Factory Park CompetenceDevelopment

CompetentPeople

Dynamic Interaction between University and Society

Students

Faculty and other Staff

Knowledge

MINDSET CHANGEAalto Values and Aalto Working Culture Development Processes

Markkula, M., Pirttivaara, M. & Miikki, L., 2009. Developed by using ideas of Lester & Sotarauta, Tekes report 2007 ”Innovation, Universities, and the Competitiveness of Regions”.

Other Impacts

Other Impacts

ScientificKnowledge

Aalto Research, Education

and Innovation

Areas

Aalto Research Focus Areas as

Drivers of Development

Le

arn

ing

by R

DI

Co

llab

ora

tive

Kn

ow

led

ge

Cre

atio

n

Source: Markku Markkula, article in the Knowledge Triangle book, 2013

The Frame for Implementing Knowledge Triangle

(Synergy between Research, Education and Innovation)

• The CoR strongly supports the following proposal of the

European Parliament’s ITRE Committee on the Horizon 2020

regulations: “Instruments for the connection between

Research, Innovation and the Smart Specialisation Strategies

shall be implemented both in Horizon 2020 and the

Structural Funds in order to create objective indicators for the

stairway of excellence and building the ERA”.




Regional Innovation EcosystemAalto University Campus 2020

According to the plans, by 2020, there will be new investments of 4-5 billion €: metro, tunnel construction of ring road, other infra, housing, office and business buildings, public services, university buildings, sports and cultural facilities…

Nokia

Aalto University

Rovio

Tapiola Garden

City

EIT ICT Lab

Young entrepreneurial mindset

Laurea

Aalto City Integrating Real and Virtual Worlds

Aalto University campus with its surrounding business and residence areas is the innovation hub of the Helsinki Region. This picture is based on the Energizing Urban Ecosystems research program. The program with its € 20 million multidisciplinary research integrates new science, art and business developments to working in a virtual environment. Regional Information Modeling is the breakthrough dimension in this research.

Otaniemi based on Prof. Nonaka: Ba & Flow (our “Idea Space” developments)

• The CoR strongly believes that the process of defining “how”

the many suggestions and recommendations in this Opinion

can be realized in practice, and collaboratively exploring

promising approaches for implementing them within and

across regional boundaries, is the most effective way to turn

excellent intentions into real results with powerful impact on

the streets of Europe. This is key to closing the innovation

divide.




markkula errin 17 april 2013 - european commission · stage 3 orchestrating rie: 1. mindset change...

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