Finland’s National Innovation Strategy…Toward the Next Generation Innovation Policy…

Mikko KosonenPresidentthe Finnish Innovation Fund, Sitra

© MTI/PPe 2007 2

Finland’s Innovation Policy until today

• Focus on technology development, R&D and competitiveness of export industry

• Based on linear innovation model (Science -> R&D -> Commersialization)

• Policy planned and implemented in many hierarcical silos.

• Good collaboration between companies, universities and public sector agencies

This has been successfull policy, BUT the world has changed

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© TEM / INNO 2008

Source: Tim Gulden, UMD, Richard Florida, U of T,

Pekka Himanen, HIIT

Patents

Scientific publications

The World is Flat…

The World is Spiky….

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© TEM / INNO 2008

Key Trends

• GlobalizationNew Division of labor, tapping into global innovation flows

• Technology development / Digital convergence Blurring industry boundaries, new opportunities

• Climate Change Need for sustainable solutions, intensive public-private

collaboration• Aging population

Need for renewed wellbeing services

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COMPETENCEBASE

Participationand contribution

Participationand contribution

Mobility and attractivenessMobility and

attractiveness

Innovation communities & hubs

Innovation communities & hubs

Individuals and entrepreneurshipIndividuals and

entrepreneurship Co-innovationCo-innovation

Lead marketsLead markets

Broad-based innovation

Broad-based innovation

Leadership & change management

Leadership & change management

Finland’s innovation strategy - Focal points

SYSTEMIC APPROACH

DEMAND AND USER

ORIENTATION

WORLD WITHOUTBORDERS

INNOVATIVE INDIVIDUALS AND

COMMUNITIES

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Finland’s Competitive Edge

Lead Market for Next Generation

Well Being Services

Lead Market for Next Generation

Well Being Services

Culture

CollaborationSmall size

Educationsystem

Finland’s vision

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Role of Culture

• Not very visible in the new Innovation strategy but

A huge additional opportunity to Finland

• Establishment of Aalto University is an important first step to synthetize Business, Technology and Design & Arts.

© MTI/PPe 2007 9

Sectorresearch

Business competitivenessPublic sector productivity

Work-life quality

EducationLearning

Large corporations

YoungInnovative

firms

SMEs

Researchinstitutions

(VTT)

Intermediators (SPs, TLOs)

Public R&D financiers and programmes

Private investors, financial markets

Competition policy, regulatory environment

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Regional development

Work-lifedevelopmentPublic

services’development

Public procurement, tax incentives

Innovation =• new product, technical solution• new production process• new (industrial) service

Innovation =• new expert-service• new business model• new design or brand

Innovation =• improved public service• organisational or ..structural improvement

Universityresearch

Economicgrowth Well-being

User-driven innovation

“Extended” innovation environment