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Managing clusters and cluster initiatives. Focus on internationalisation
Strengthening business performance management in economic networks
Project co-financed from the Leonardo da Vinci Programme 2011-1-PL1-LEO05-19900
Leonardo da Vinci ProjectFoundation „Partners for Local Government”
Leszno 27th September 2013
Maciej PietrzykowskiSenior Consultant, Member of the Board
Foundation „Partners for Local Government”
Challenges for European industries in the era of globalisation
The more markets globalise, the more likely is that resources flow to more attractive regions.Therefore!The main feature of the recent globalisation is a growing competitiveness.The competitiveness of a region is determined by the innovative activities of entire industries and branches.The business networks have to act more and more internationally.
Typical tools and methods used in cluster policy
• Trainings leading to human resource upgrading • Cluster expansion leading to increase in numbers of
firms (attracting new companies through regulations, incubators, etc.)
• Business development (promoting business operations)
• R&D and innovation (promoting products, innovations, knowledge commercialization )
• Business environment (improving the business infrastructure)
Limitations of current cluster policy• In many countries cluster policy has emerged out of
SME policies and tend to focus on smaller companies and start-ups
• Cluster initiatives often mean only financial incentives, with no address at competitiveness and innovation
• A bias towards technology-intensive clusters• Insufficient integration of cluster initiatives at the
regional level• Inflationary use of the term cluster
So far, clusters insisted on…
• Facilitating administrative procedures,• Facilitating information flow• Fostering finance availability• Improving the branding of the region• Tax reduction• Support for trans-national activitiesEC, 2013, Innovation Clusters in Europe: A statistical analysis and overview of current policy support
With regard to clusters, we used to use
the model of Triple Helix so far
Public sector
Government
Science
Academia
Business
Industry
However, this model is not more valid and too restrictive…
The main objectives of EU policies, for now…
• Fostering innovation• Fostering co-operation• Fostering internationalisation • Fostering qualification
The following ideas could foster the management process
• Managerial toolkit for cluster managers and animators
• Financial scheme to cover fixed costs of the cluster manager at the prenatal stage
• Handbook - Managing the Intelectual Property Rights• Supporting audit of trainings needs• Supporting creation and development of networks • Evaluation of clusters performance
Two additional groups create the „Pentagonal Helix”
Public sector
Government
Science
Academia
Business
Industry
People
Users Access to Finance
THE CLUSTER
Two additional dimensions
• People/Users – cover both skills within the cluster and user-driven agenda
• Finance – means all types of access to various source of financing
Crucial role of people in shaping the competitiveness of the cluster – especially
cluster manager
Managing clusters
On-going process in at least 5 areas:1)Strategy2)Finance3)Marketing 4)Member services 5)Internationalisation During last 2 years we have delivered to cluster managers the training in all 5 areas.
Lesson learned after the training• Clusters are not enough organized and structured• Companies tend not to see benefits from clustering• Member services are very limited• Clusters have high interest, but neither sufficient financial nor
organizational capacity to internationalise• Cluster managers require the training in management• Cluster managers are to much engaged in current operations,
so they are not able to think strategically• Clusters have very limited financial resources and have to rely
on external sources of financing (at least in first few years)
Lesson learned after the training
• Cluster managers are the right people to foster internationalisation, as well as pursuing cluster initiatives
• Clusters perform much better when initiative has well defined and practical objective, is demand and market-driven
• Internal network has to be strengthened by the market driven cooperation factors rather than by the externally shaped policy
• Transnational cooperation has to be based on mutual trust between individuals and takes a lot of time to proceed
• It is much easier to expand the international network than to start one
Managing the cluster initiative
On-going process in the five fields of action:•Information and communication•Training and qualification•Co-operation•Marketing and PR•Internationalisation CLOE, Cluster Management Guide – Guidelines for the Development and Management of Cluster Initiatives
1. Information and communication
• On-going process of being in touch with customers• Frequent customer interview• Internet and online communication (including
most recent channels)• Regularly updated catalogue of services• Newsletters • Regular events, company tours, study trips• Press releases and communication with the society
2. Training and Qualification
• Analysis of branch, industry and economy related educational requirements
• Promotion and mentoring of talented staff• On-going trainings • Regular events: workshops, seminars,
networking, intercompany learning
3. Cooperation
• Initiation and support of co-operation projects• On-going networking and building new
partnerships• Cooperation with R&D bodies• Facilitating external initiatives aiming at
tightening cooperation relations
4. Marketing and PR
• Building the regional identity• On-going process of building good relations
with the society• National and international PR and advertising
activities• Participation in fairs, business trips,
presentations for major customers• Lobbying
5. Internationalisation
• Access to international events, congresses, customers and trends
• Support of international cooperation • Support of companies during
internationalisation• Set-up of network activities between
comparable/complementary international clusters
• Attract foreign visits in the cluster
Barriers toward successful internationalisation of clusters
• Low capabilities of SMEs for working strategically with international partners• Lack of structured information on internationalisation needs and potential partners
for clusters • Lack of structured opportunities for meeting and developing relations with potential
international partners• Lack of virtual (and real) infrastructure for collaborative activities• Lack of tailored financing schemes for internationalisation activities (particularly
SMEs and particularly for longer-term trust-building and “business planning” activities)
• Too little coordination between existing international networks of clusters/Cluster Organisations /innovation environments (not only on the level of clusters, but also on the level of regional/national policy levels)
• Too little coordination between internationalisation goals in different policy fieldsFINAL CONSULTATION DRAFT CLUSTER INTERNATIONALISATION HANDBOOK “THE PRINTED VERSION” 17/5/12
Journey towards internationalisation
Finding rationalisation for internationalisation
• To find benefits to cluster itself• To find benefits to the businesses in the
cluster• To find benefits to policy makers and to R&D
bodies• To assess whether there is a right time for
internationalisation (clear objectives, priorities, strategy, mission, vision, etc.)
Stages of the internationalisation journey
1. Identification of strengths and weaknesses 2. Identification of opportunities and threats3. Strategy planning4. Initiation the preparation process5. Developing the trust and implement projects6. Measuring of the success 7. Sustaining of the network
