1 innovation, regions and knowledge management lessons from the dissemination of innovation in 6 eu...

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Innovation, Regions and Knowledge Management

Lessons from the dissemination of innovation in 6 EU regions

Komninos N., Bakouros Y., Diaz P., Gainza E., Sefertzi E., Rishiart M.

Conference on Dissemination of Innovation: Clusters, Regional Institutions and Telematics, Thessaloniki, 16-17 May 2002

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Follow-up of RTP-RIS-RITTS in Central Macedonia, Basque Country, Crete, Norte, Thessaly, and Wales

Focuses on: Development of

innovation management tools and technologies Dissemination of

innovation, regional learning Use of telematics and

online dissemination tools

1. InnoRegio

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1. InnoRegio: Partners

Central Macedonia Basque country Crete Norte Thessaly Wales Local authority

Region of Central Macedonia

Industry, Commerce and Tourism Department of the Basque Government

Association for the Promotion of Industrial Change

Region of Crete

Government’s Regional Co-ordination Commission

Region of Thessaly

Welsh Development Agency

University URENIO Research Unit - Aristotle University of Thessaloniki

Technical University of Crete

Northern Portugal Universities Association

University of Thessaly

University of Wales - Cardiff Business School

SME organisation

Confederation of Industries of Northern Greece

Syndicate of Companies of Alava

Chamber of Commerce and Industry of Chania

Agency for the Development of Tourism in Crete

Porto Industrial Association

Association of Industries of Thessaly

Pembrokeshire Business Initiative

Technology transfer organisation

Thessaloniki Technology Park

LEIA Technological Foundation

Mediterranean Agronomic Institute of Chania

Agencia Innovacao Metallurgical Industrial Research Agency

Showdonia Business Innovation Centre

Business in Focus

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Create a learning process within the RSI focusing on innovation

managementIdentify and develop innovation management techniques and technologies, enabling SMEs and TI, and R&D Labs to work at best practice level, to introduce and manage innovations.Disseminate innovation and knowledge management techniques to all the actors of a regional innovation system (SMEs, technology providers, Labs, tech transfer organisations).Create information technology and web tools to assist online dissemination, in terms of demonstration and help for implementation.

Key issues:Development of IMTsTraining to innovation management: Application of tools and technologies to manage innovation and knowledgeOnline dissemination of IMTs

1. InnoRegio: Objectives

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1. InnoRegio: Objectives

Create a third level to Environment of Innovation

Level 3: Virtual

Level 2: Institutional RSI

Clusters-Types Level 1: Clusters

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Innovation Management Tools:

• Diagnostic tools: ANVAR, APRODI, FORBAIT, PERA

• Business planning tools: ADVIA, BUNT

• Audit: MINT methodology for auditing

• Technology clinics: TEKES

• Quality management audit: INNOVARE

• VALUE ANALYSIS

Innovation Management Techniques in Operation:

• Innovation Profile Diagnosis• Value Analysis• Business Process Re-engineering• Project Management and

Development• Product Design and Development• Benchmarking• Marketing of Innovation• Technology and Competitive

Watch• Total Quality Management• Creativity Tools

Key Concept: IMTs -The Innovation Programme

2. Innovation Management Technologies (IMTs)

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Innovative Organisations (companies, universities, research centres)

RESEARCH AND TECHNOLOGICAL

DEVELOPMENT Research institutes University research R&D in large companies Innovative SMEs

INNOVATION FINANCE Venture capital funds Technology incentives R&D programmes

BUSINESS SERVICES – PRODUCT

DEVELOPMENT Provision of

administration, product, production, and quality services

TECHNOLOGY CO-OPERATION NETWORKS Local networks and

clusters International technology

co-operation Supply chains

INNOVATION SPACES AND INFRASTRUCTURE High tech land uses, Research institutes, Technology parka and centres, Cable networks, Digital

services, City centre renewal

TECHNOLOGY TRANSFER

Co-operation between universities and companies

Technology brokerage Spin-offs

2. IMTs: The Cycle of Innovation

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Functions Organisations involved

Typical Practices -IMTs

Research and Development

University Labs Research institutes Technology providers Company R&D

departments

1. R&D management 2. Technology watch 3. Technology forecast 4. Creativity development 5. IPR management (Patents)

Innovation finance

Venture capital funds Commercial banks Technology transfer

funds Regional development

funds

6. R&D financing schemes 7. Technology assessment 8. Product assessment

Technology transfer

Science and tech parks Innovation centres Liaison offices Industrial and

technology bureau Technology brokers Consultants

9. Technology audit 10. Benchmarking 11. Technology brokerage 12. IPR management (Licensing,

Copyright) 13. Technology clinics

New product and process development

Manufacturing companies

Companies in the service sector

14. Product design / development 15. Product cycle management 16. Business process re-

engineering 17. Quality management 18. CAD-CAM 19. MRP II

I N N O V A T I O N

Optimisation of networks and inter-firm relations

Manufacturing and service companies

20. Value analysis 21. Supply chain management 22. Outsourcing 23. Just-in-Time delivery 24. E-Commerce

2. IMTs: Deconstructing Innovation

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Innovation: Transforming knowledge into new products A: Multinational company– Internal process B. Innovation island/ region / SME – External process _________________________________________________________________________________________________________________________ Function Goals _________________________________________________________________________________________________________________________ Innovation management tools

Technology watch

Evaluation

Technology audit

Life cycle analysis

Supply chain management

Technology foresight

Market research

Benchmarking

Product design

Outsourcing

Creativity (tacit know.)

Marketing of innovation

Licencing IPR

Rapid prototyping

MRP / ERP

R&D management

Technology clinics

CAD/ CAM

Stock management

BPR

Quality management

E-commerce

Type of environment for the actualization of the functions / tools

Cluster Cluster Cluster Cluster Institutional Institutional Institutional Virtual Virtual Virtual Virtual

Development of ideas

Product outline

Evaluation Market research

Funding approval

Acquisition of technology

Development of skills

Prototype development

Product / process engineering

Finding of skills Setting the supply

chain

R&D

FINANCE

TECH TRANSFEER

PRODUCT DEVE

COOPERATION

2. IMTs: Innovation Functions and Tools

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InnoRegio: Major IMTsIMTs for R&D• Technology watch• Creativity• R&D financing• Marketing of innovation

IMTs for product/ process development• Innovation project management •Product design and development• Industrial design• Product life cycle management• CAD/ Virtual prototyping• Business process reengineering• Management of quality• Material requirement planning / ERP• Human resource management

IMTs for technology transfer• Technology audit• Benchmarking• IPR - Technology licensing• Technology evaluation• Technology clinics

IMTS for networking• Value analysis• Supply chain management• Outsourcing• E-commerce


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A Guide to IMTs

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Dissemination practices Training seminars animated by major

technology providers and technology intermediary organization: Discussion of innovation management problems and tools (+Low cost – SME Participation)

Innovation audits: diagnosis of innovation related weaknesses and drafting of action plans for the implementation of innovation management tools in SMEs (+Logical cost + SME Participation)

Pilot applications: testing of implementation difficulties and demonstration of the added value of representative IMTs (-High cost +SME participation)

3. Dissemination / regional learning

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3. Dissemination process

KNOWLEDGE / INNOVATION

MANAGEMENT TECHNIQUES

DEVELOPMENT

25 TOOLS

TRAINING SEMINARS ON KNOWLEDGE / INNOVATION TECHNIQUES

2400 COMPANIES AND TIS

APPLICATION OF INNOVATION DIAGNOSTIC

TOOL

600 AUDITS

PILOT APPLICATION OF KNOWLEDGE AND

INNOVATION TECHNIQUES

120 PILOT APPLICATIONS

Virtual learning A network of 6 websites On-line information on IMTs E-learning modules Dynamic databases for IMTs

applications On-line benchmarking e-Commerce applications

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IT platforms - eLearningA network of 6 websites in Central Macedonia,

Basque Country, Crete, Notre, Thessaly, and Wales, allows virtual learning of IMTs via the Internet and digital tools, including:

Reports for on-line information about IMTs and technology providers

E-learning modules for IMTs Online application of IMTs such as Technology

Watch and Benchmarking Virtual spaces created by some IMTs

(Benchmarking, Technology Watch, e-Commerce, )

3. Virtual Dissemination

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3. IT dissemination

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3. Online IMTs reports

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3. IMT eLearning

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3. Online Benchmarking

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3. Online New Product Development

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Diagnosis of innovation management in the Basque

Country for the implementation of

INNOREGIO project tools

Fundación Leia C.D.T.January 2002

3. Online Diagnostic Tool

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3. Online: Technology Transfer Tools

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Learning to implement and use IMTs

• Innovation training for 2.400 SMEs and TI, 12 seminars for discussion of IMTs in 400 companies and organisations per region (80% companies, 20% technology intermediaries and research labs).

• Innovation audits (600) 100 companies per region for the selection of the best IMTs and drafting of innovation action plans for the implementation of these IMTs.

• Pilot applications of 120-150 IMTs, 20-25 cases per region and demonstration of concrete solutions and cases.

• Indirect knowledge gains at consulting companies, technology intermediary organizations, small companies

3. Dissemination Results

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Relationship between RSI and IMTs IMTs

Knowledge and innovation management (IMTs)

Telematics for learning: Virtual spaces for • Online information IMTs • Online training implementation

4. Regions and IMTs: the problem of embeddedness

System of interactive learning

Regional innovation system

Innovation Financing Banks, Angels, Institutions

Technology Information System Patents, Standards, Data

Bases, Technical Publications

Universities and Research

Institutes

Public R&D Laboratories

Human resources and training centres

Technology Transfer

Organisations Technology

parks Technology

networks Consultants,

brokers Associations,

Chambers

Industries

Services

Clusters

Tech Users

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GDP

1996-98

Unemployment (% 1999)

Agriculture (% 1999)

Manufacturing (% 1999)

Services (%

1999)

Patents/million inhabitants (1997-99)

High level

education 25-59 (%

1999) Basque Country

96.1 14.7 2.2 38.5 59.3 30.5 30

Wales 80.3

6.9 2.7 29.5 67.7 50.8 25

Central Macedonia

68.0 11.7 19.1 25.7 55.1 5.7 19

Norte 64.7

4.7 12.6 46.9 40.5 1.8 7

Crete 66.8 7.3 33.0 13.2 53.8 4.4 15

Thessaly 57.6

12.8 32.7 19.0 48.3 1.4 16

EU 100

9.5

4.5

29.2

66.0

119.4

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Source: Second Report on the Social and Economic Cohesion, Luxembourg: EC 2001

4. Regions and IMTs

Profile of the Regions

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Central Macedonia

Basque country Crete Norte Thessaly Wales

IMT for R&D

Innovation factor analysis

Technology watch


Creativity development

Technology watch



Technology watch

Marketing of innovation


Technology watch

Technology watch


IMTs for new product / process development

BPR MRP II –

ERP

Product development

Management of quality

BPR Management

of quality



IMTs for technology transfer

Benchmarking

Technology clinics

Benchmarking

Benchmarking

Technology clinics

Benchmarking

Technology / product evaluation

Benchmarking

Technology clinics

Technology / product evaluation

Technology clinics

IMTs for technology co-operation

Supply chain management

E-commerce

Value analysis

Value analysis

E-commerce

E-commerce Value analysis

Value analysis

4. Regional demand for IMTs

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REGION

IMTS

Strengths for innovation

High concentration of R&D institutes

Strong industrial base in food, textile and chemical sectors

Opportunities for innovation

New products in (1) ICT and (2) high value health services

New product development

Company weaknesses for innovation

In house R&D activity and innovation

Large proportion of small companies

Companies operating in traditional sectors and markets

Benchmarking to understand business performance

BPR and ERP to re-organise the production process

Management of quality E-commerce to improve

market potential

Regional contextual barriers to innovation

Low level of inter-firm collaboration

Low co-operation between R&D and firms

Difficulties in IMT application 1. Lack of right type of finance 2. Lack of innovation strategy and awareness at the companies 3. Lack of skills in IMT implementation 4. Training and skill weaknesses in new technology areas

4. C. Macedonia: Innovation SWOT and IMTs

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REGION

IMTS



High capability for supporting innovation

Good interface between firms and academia


New industrial sectors High value services

Business intelligence to improve the capacity commercialising products


Patent production In house innovation Innovation behaviour as

short term response than strategic option

Innovation from other companies in the supply chain

Creativity techniques looking at strategic innovation than short term improvements

Technology clinics to introduce new products

Value analysis to help business understand how customers value their products.


Higher value business services

Innovative horizontal technologies


4. Wales: Innovation SWOT and IMTs

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REGION

IMTs



High capability for supporting innovation


Product innovation in: (1) Cretan diet and high quality nutrition products, (2) environmental tourism

E-commerce in tourism


Small family-owned firms Firms operating in traditional

sectors and markets


BPR Business plan Project management ERP


Low percentage of manufacturing firms

High percentage of agricultural firms

Low level of co-operation between firms and academia

Low level of inter-firm relationships


4. Crete: Innovation SWOT and IMTs

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Some conclusionsConcerning the use and value of

IMTs:

Defensive use of IMTs related to weaknesses than opportunities for innovation

IMTs linked to short term company innovation strategies and immediate needs of firms

Virtual spaces of IMTs are mainly used by TI and consultants than SMEs

Concerning the regional embeddedness IMTs: Regional demand related to productive structure and existing businessesMore advanced is the region closer to R&D and technology intelligence are the IMTsMore or less same implementation difficulties across the regions

4. Regions and IMTs

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Embedded IMTsThe meaning is:

Application of IMTs depends to the overall development level and the regional capabilities and institutions of innovation

Virtual dissemination cannot make disappear the real gap and weaknesses in innovation capability and culture

Telematics and IT platforms does not offer shortcut to innovation

A very promising field: PRODUCT DEVELOPMENT (and related IMTs: Technology atch, Market intelligence, Technology clinics, Virtual prototyping)

4. Regions and IMTs

1 innovation, regions and knowledge management lessons from the dissemination of innovation in 6 eu...

Documents

innovation managementidentify

innovation programme2

tekesquality management

knowledge management

diagnostic tools

web tools

application of tools

research centres research