Prof. Elena Bou 10 Dic. 2012

Designing and Implementing a «KIC»: Learnings from our Experience

© Copyright 2012 ESADE

Index

1.

2.

3.

Introduction- The EIT framework

Putting the Concept into Practice

Our experience: designing a KIC

4. The result: KIC InnoEnergy

© Copyright 2012 ESADE

5. Final Considerations

introduction

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The EU creates the European Institute for Innovation and Technology to bridge the “innovation gap” in Europe

introduction

> Knowledge triangle (education‐research‐innovation).

Better coordination is needed

> EIT (European Institute of Innovation and Technology).

• “To be the catalyst for a step change in the European Community’s innovation capacity and impact”

The EU creates the European Institute for Innovation and Technology to bridge the “innovation gap” in Europe

Hitos de ESADE en el Proyecto2007‐2009 Proyecto SUCCESS

Dec, 2009 Winners of the call‐ KIC InnoEnergy

2010 Kick‐off. Start‐up Creation

Dec, 2010 KIC InnoEnergy, SE‐ legally constituted

2011 Starts operations

July, 2011 KIC InnoEnergy‐Iberia, SL. ‐ constituted

“To be the catalyst for a step change in the European Community’s innovation capacity and impact”

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putting the concept into practice

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Putting the concept into “practice”

> Study conducted: Literature, Questionnaire (62 collaborations in the Energy & climate field) and 4 deep case study of best practices

> From the practical field: Initial implementations of knowledge  triangle have been rather unsuccessful:

o Collaborations between INDUSTRY‐UNIVERSITY show little results (e.g. Chan et. al, 2008)

o Unsuccessful results due to unclear roles of the three actors. Change of behaviors are needed (e.g. Razak and Saad, 2007; Dodgson et al. 2008)

o Barriers coming from insufficient commitment and internal preparedness by the participating organizations (Saad, 2004)

o Successful joint research but rare joint patent applications (e.g. Liua, 2008)

o Importance of geographical proximity // face‐to‐face // trust (e.g. Mohannak, 2007; Cantner & Graf, 2006; Batenburg & Rutten, 2003))

o Incentives should change in order to support SMEs 

o Different results according to sectors (e.g. biotechnology vs. ICT organizations) and countries

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Putting the concept into “practice”(2): at a micro level

Purpose and Objectives

MembershipGovernance 

ModelOperational Process

ResultsKnowledgeTransfer

Preparation Implementation Outcomes & Sustainability

Little time devote it to this phase  Crucial Phase

Incoherent design (no connection with Preparation phase) No model‐fits‐all

New skills and processes  needed Broad span of results: identity (internal); effectiveness; impact (ext.)

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Our challenge:

how to design an integrative and 

sustainable KIC in the energy field?

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our experience:key challenges in the 

design phase 

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Challenge 1: Integrative Objectives

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Challenge 1: Integrative Objectives

innovation

education research

• Strategic objectives  Targets  BSC

• Specific Outcomes:• Educational Programmes• Patents• Spin‐off companies• New products/services

•KIC: business plan  roles & objectives

+ Motivation: institutions, people© Copyright 2012 ESADE

Challenge 2: Partners commitment & Preparation

> Trust is needed …

> It was built on existing collaborations

> Complementarity: innovation chain actors // technical and

social sciences (BS)

> Pilot Test: working on a common project helped to create a

community and to reduce distance

> EiT rules: financial scheme & long term collaboration

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Challenge 3: Governance

“looking for AUTONOMY, EFFICIENCY and

UNITY without killing DIVERSITY and CREATIVITY”

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Modelo de Gobernanza: Aspectos a considerar

• Características de los socios (número, grado de diversidad, tipología etc.)

• Sistema de Financiación (público, privada, etc.)

• Objetivos concretos / grado de integración / gestión del conocimiento 

• Resultados / Éxito

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Modelo de Gobernanza

• Teniendo en cuenta que:• el número de participantes era alto y con gran 

diversidad• el grado de confianza medio• el consenso en cuanto a objetivos moderado• y la necesidad de competencias de «red» era alto

…. Se decidió por un modelo de gobernanza tipo  NAO (Network Administrative Organization)

… lo que implicaba: alto grado de orientación a resultados, estabilidad y la necesidad de ganarse la legitimidad interna y externamente….

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KIC STRUCTURE CONCEPT

Universities

Firm

s

Research Cen

tres

KIC ManagerExecutive Directors

Region 1 Region 2 Region 3 Region 4

Universities

Firm

s

Research Cen

tres

Universities

Firm

s

Research Cen

tres

Universities

Firm

s

Research Cen

tresProject 

Manager 1

Project Manager 2

Project Manager 3

Steering Committee

© Copyright 2012 ESADE

KIC STRUCTURE CONCEPT

Universities

Firm

s

Research Cen

tres

KIC Manager

Universities

Firm

s

Research Cen

tres

Universities

Firm

s

Research Cen

tres

Universities

Firm

s

Research Cen

tresProject 

Manager 1

Project Manager 2

Project Manager 3

Steering Committee

Flexibility // Cognitive proximity 

Division labor &integration

Region 1 Region 2 Region 3 Region 4

•Size•BroadImplementation•Geographical proximity

Executive Directors

NAO

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Challenge 4: Management

Coming together is a beginning,Keeping together is progress,

Working together is success(Henry Ford)

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Challenge 4: Managing the KIC

> Managing Diversity: • Collaborative Leader • Brokering Mechanisms • Units to support the KIC (learning

and network competencies)

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The result:KIC InnoEnergy

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The leading engine forinnovation and entrepreneurship 

in Sustainable Energy

KIC InnoEnergy – A Strong Complementary Partnership of top European players with a proven

track record

3

• 11 empresas 10 centros de investigación 14 universidades

• 31% socios industriales

• >50% actores clave en energía en Europa

• Cubriendo el mixenergético

• Potente impacto en el triángulo del conocimiento

• Fuerte conexión con gobiernos nacionales y capital riesgo

© Copyright 2012 Kic Innoenergy

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Objectives to be fulfilled by any KIC InnoEnergy activity

1. Decrease energy cost(€) [In all the value chain]2. Increase Security [Autonomy, Operational]3. Reduce green house gas emissions

How: Three integrated workstreams in 6 thematic fields, delivering 3 type of “products”

1. Education => MSc, PhD & LLL specialized in thematic fields, entrepreneurship & management2. Innovation Projects => Marketable technology product and services3. Business Creation => Nurturing entrepreneurship (start-ups, …) to become business

KIC InnoEnergy mission and objectives: contributing to EU Energy challenge

Output oriented Human capital is the corner stone© Copyright 2012 Kic Innoenergy

KIC InnoEnergy – A Strong Complementary Partnership of top European players with a proven

track record

3

• 11 empresas 10 centros de investigación 14 universidades

• 31% isociosindustriales

• >50% actores clave en energía en Europa

• Cubriendo el mixenergético

• Potente impacto en el triángulo del conocimiento

• Fuerte conexión con gobiernos nacionales y capital riesgo

© Copyright 2012 Kic Innoenergy

4

KIC InnoEnergy will bring innovation to the whole energy‐mix coherent with the SET Plan 

© Copyright 2012 Kic Innoenergy

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Partnership

Governance:

Partnership, governance and operations

© Copyright 2012 Kic Innoenergy

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Only industry heavy involvement and leadership legitimizes us

Presence in partnership (from 14 in 2010 to 55 in 2011 to 98 in 2012)

Partnership, governance and operations (3/3)

© Copyright 2012 Kic Innoenergy

KIC Governance & operational structure

© Copyright 2012 Kic Innoenergy

KIC INNOENERGY, S.E. (Knowledge and Innovation Community)

Sociedad Europea

GPA (General Partnership Agreement) - Addenda, GA (Grand Agreement ) General AssemblyConsejo Administración, Consejo de Vigilancia (Supervisory Board)CEO: Diego PaviaFull Parner:• 1 acción (10.000 €)•100.000 €/año• 900.000 € en especies

KIC INNOENERGY IBERIA SL - Cluster Iberia (CC Iberia)Sociedad Limitada (KIC 51% capital y votos)

Shareholders AgreementConsejo Administración, Junta General, Consejo TécnicoCEO: Mikel LasaFormal partners: ESADE, UPC, Gas Natural, IREC, Instituto Superior Técnico Lisboa, Associate Partners: Tecnalia, Iberdrola EDP, CiematPartner:• 1 acción (600 €)• Consejo de Administración• Aprox. 4,5% como accionista

EC/ DGEACEIT (European Institute of Innovation & Technology)

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KIC Scoreboard: PROCESS- OUTPUT- IMPACT

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Processes

Partnership, governance and operationsIt is a company: Run by executives

© Copyright 2012 Kic Innoenergy

food 4 thought…

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• What who how?• Open to all but….

• Not for everybody,• And not for everything

• Partner’s perspective: • unexpected, demanding, able to cope with

uncertainty, long term strategy…• New products, better products + new capacities

• KIC perspective:• Gobernance is the key («no technological innovation»)

• Independent and proffessional executive team

Prof. Elena Bou‐ Dpto. Operaciones e Innovaciónelena.bou@esade.edu