Presentation by Emily Wise, Madeline Smith & Lise Anderson

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ExaminingOpenInnovationPracticesamongInternationalNetworksofClusters

EmilyWise,VINNOVA&LundUniversity,SELiseAndersen,Reg-X&SouthernDenmarkUniv.

MadelineSmith,EKOSConsulting,UK

PresentationObjectives(andDisclaimer)

• Presentplannedresearchactivities– Ontopicsofopeninnovation,socialcapitaldevelopment,andvalue-addedoforganizedclustereffortsinthecontextofinternationalinnovationnetworks

– Focusedonfivetransnationalnetworksofinnovationenvironments,clustersandSMEsintheBalticSeaRegion

• Getpeerinputonhowotherregionsareworkingwiththesetopics(inrelationtotheirclusteractivities)

Outline

• TheEUStrategyfortheBSRandtheBSRStarsFlagshipProg

• Researchobjective/questions• Discussion

4

TheEUStrategyfortheBalticSeaMacroRegion

FOUR OVERALL OBJECTIVES:• To make the Baltic Sea region an environmentally CLEAN place• To make the Baltic Sea region a PROSPEROUS place• To make the Baltic Sea region an ACCESSIBLE and ATTRACTIVE

place• To make the Baltic Sea region a SAFE and SECURE place

And an action plan with 15 action areas (one of which is researchand innovation – co-led by Sweden and Poland)

5

FlagshipprojectsinChap7Research&Innovation

Lead Partner1Fast T

Innovation, Clusters & SME Networks

Sweden (Vinnova)/ Lithuania

2 Baltic Sea Fund for Innovation & Research

The Skåne Region

3 Services innovation Lithuania/Finland4 Innovation in Health & Life

sciencesLithuania/Germany

5 Science link for research infrastructure

Sweden (Swedish Research Council)

6

WHYINCREASEDTRANSNATIONALCOOPERATIONBETWEENINNOVATIVE

MILIEUS,CLUSTERSANDSMENETWORKS?

• Countriesgrowwithneighborsthatgrow• LargerHomeMarketforproducts,servicesandknowledge,

110millionpeoplein10countries.(especiallyimportantforSMEs)• ThereispotentialthatBSRcanbeaglobalrecognizedstrong

environmentinanumberofareas• WehaveLeadingcompanies/universities/clustersThreelogics:

1.Astrongervaluechaincanbeofferedwithinthemacroregion2.Alargercriticalmassinresearchandinnovation3.Complementarycompetencescreatesrenewal

BSRStars/Stardust aimsatcreatinganumberofglobally-leadingresearchandinnovationhubs

- buildingonexistingcommercialstrengthsandspecialisedcompetenciesaroundtheBSR

- linkingtheseresearchandinnovationnodesthroughtransnationalcollaborationprojects

- developingstrongercriticalmass,attractivenessandinternationalcompetitiveposition

Design,ManagementandCoordination(WP0,WP1)

TransnationalCollaborationPilots

(WP3&4)

Orches-trate&Facilitate

MobileVikings

CleanWater

ActiveforLife

MarChain

ComfortinLivingConcepts

Communication,LearningWS,andotherevents(WP2)

TheLogicofStarDust

11

Theme Project description Partners

Cleantech& Future Energy

Clean WaterOpen Innovation & Value ChainSME – Focus, commercialize services & productsTestbed in Vodacanal, Russia

Lahti Cleantech cluster, FINSWE, Sustainable Sweden, POLAssP: Green Net , FIN Vodacanal Russia

Wellbeing & Health

Active Ageing − Develop commercial services to keep people active for a longer timeMaking systems solutions − value chainMarket target ChinaUser driven innovation system

Cumulatum, FIN(DE), (GE), (LITH), (SWE)– Livets nya verktyg, (NO) to be addedRegion of Skåne (SWE)

Future Transport

MarchainEarly stage – Develop business plan and links, using intelligence between national maritime clusters to increase competetitiveness

Claipedia Science & Technology Park, LITHFIN, LAT, EST, POL, SWE, DE, DK, NO, IS

Digital business and services

Mobile VIKINGS SWE, Skåne, Mobile HeightsFIN, LITH + many BSR clusters

OtherComfort in Living ConceptsSolutions of comfort living for tomorrows generation by using designknowledgeLinks of SME networks

Furniture of Kingdom, SWELITH, LAT, POL

SomeofthetopicswetalkaboutatTCIconferences

• Globalizationofinnovationandtheimportanceofinternationalclustercooperation

• Clusterdynamicsandtheprocessofsocialcapitalbuilding(withinclusters)

• Openinnovation• Evaluationofimpactfrompolicyinvestmentsinclusteringefforts

Objectiveoftheresearchproject

Understandhowinternationalinnovationprocessesarefacilitatedbythenetworkofclusterorganizations(andotheractorswithinregionalinnovationsystems)

withintheBSR

• Whatareclusteractors’expectations/expectedbenefitswithtransnationalclusternetworks?

• Doclusterorganizationsfacilitatethestrengtheningofinternationallinkagesbetweencompanyandresearchactorsinthenetworks?

• Isitimportanttohavestronginternalclusterdynamics(i.e.socialcapital)beforepursuinginnovationactivitiesinternationally?

• Doexistingpoliciessupportopeninnovationactivitieswithinaclusterandbetweenclustersinternationally?

Howdoknowledgelinkagesdevelopinternationally(throughnetworknodes)?

ILLUSTRATIVE

ClustersandSocialCapital• Previousstudiesgiveasnapshotpicture

– Showcurrentstate– Arerelativelystatic

• Realityisthat:– Howorganisationsworktogetherisimportant– Thisispoorlycapturedinevaluation(SocialCapital?)

• Clusterdynamicsmodel– Systemsthinkingapproach– exploresdynamicnatureofclusters– Showsbehavioursandcompanyinteractionasclusterdevelops

– DevelopedinScotland,successfullyimplementedinSweden,Denmark,Ireland,Norway,Switzerland,California,Finland

Stimulation andAcquisition of relevant research and development

L5 FUTURE FOCUS LOOP

Performance of individual firms

Overall performance of all firms in the zone

Overall Cluster competitive performance

Motivation for competitive innovation

Degree of enhancement of competitive innovation

Platform for new level of innovation

Sharing of critical sectoral knowledge

Extent of cooperative initiatives

Extent of shared response to common challenges

L1 INTER-FIRM RIVALRY LOOP

L2 INTER-FIRM CO-OPERATIONLOOP

Global competition and external market pressure

Type of cultural context

L3 COLLABORATIVEADVANTAGELOOP L4 VENTURE

ATTRACTIVENESS LOOP

Collection– Cooperation- Collaboration

Competitive power of cluster

SmithandBrown,LocalEconomy,June2009

TheClusterDynamicLoops

Collaboratetoinnovate– why?• Mostofthesmartpeopledon’tworkforyou• Gainaccesspeopleyoucouldn’t...orwouldn’temploy• Diversityisasimportantasability*• Nobodyisassmartaseverybody(Wisdomofcrowds)• Metcalf’slaw - Vnµ N²

• Leveragesthelawof‘requisitevariety’

‘MostInnovationhappenselsewhere’BillJoy– SunMicrosystems,Inc.

*Source:LuHong/ScottE.Page

OpenInnovation– LeveragingSocialCapital

Traditional Innovation Open Innovation

Expertise triumphs Diversity trumps expertise

We know what the consumer wants

Consumers are passionate users who innovate – producers follow

What you know matters Who you know matters

Take no risks - copyright, patent & protect

Judge the risk of releasing information against the return of gaining understanding

The goal is to agree The goal is to tap into those who agree and disagree

Improve ideas by applying more resources

Improve ideas by sharing them

Judge ideas by how they fit Judge ideas by how they differ and what they offer

Relationship hierarchies Relationship networks

Innovation management - control Innovation cultivation - evolve

Expertise

Consumer

Knowledge

Intellectual Property

Collaboration vs. competition

Development

Assessment

Relationships

Organising

Apurposeful,strategicwayofworkingthatleveragestheresources ofeachpartyforthebenefitofall bycoordinatingactivitiesandcommunicatinginformationwithinanenvironmentoftrust and transparency

CompaniesCollaborateforaReason

BenefitofCollaboration =

ValueofResourcesLeveraged

TimeandEfforttoCollaborate

©2008TheRhythmofBusiness,Inc.

ClustersandOpenInnovation• Clusters=sectorspecificInnovationsystems• Collectiveabilitytolearn“Thefuturebelongstothosewhocollaborate…Tosucceedinthisenvironment,organisationswillneedtocollaboratewiththousandsofspecialisedplayers,fromcustomersandpartnerstocompetitors,regionaldistributorsanduniversityresearchers”(EIU2007)

Clustersare...

l Learningorganisationsl Bynatureopenandcollaborativel Shareknowledgel Learnfromeachotherl Workindifferentways

AHotbedofOpenInnovation?Needbetterunderstandingofhowclusterscanalsoworkinthiswaytransnationally?

QuestionsforDiscussion

• HowcanOpenInnovationapproaches(andmind-sets)helpclusterdevelopment?– Howcanweencouragecollaboration– Withinacluster,betweenclusters,transnationally

• Whataretheessentialpre-requisitesforsuccessfultransnationalcooperation?

• Arethereothertransnationalclusterpilotsthatwecansharelearningbetween?

Contactinformation

EmilyWiseemily.wise@vinnova.seMobile:+46731011426

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