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MUNICIPALITY OF MILAN
Urban Economy and Employment
Foto: Chiara Conti
Innovation + Inclusion
AN INTEGRATED ACTION PLAN IN PERMANENT BETA
Milano strategy for supporting
economic boost
Digital Cities Challenge
5° Academy Seminar
Brussels8-9th April 2019
The context – Milan
Summary statistics
• Population: about 1.400.000 inhabitants; + 3,5% 2010 vs 2016
• Metropolitan area + 3.200.000 inhabitants (one of the most densely populated areas in Europe); + 1,9% 2010 vs 2016
• Under 14: 13.8%; between 15 and 64: 63.8%, over 65: 22.5%;
• Foreigners: 8%, more numerous among young people (about 25%).
Economy and labour
• Milan produces about 12% of the national GDP (rif. 2016)
• GDP per capita: 46.000 euros (average Italy 25.000);
• 300.000 companies, 50% services, 25% trade;
• Vocations: Agri-food, finance, manufacturing, life sciences, cultural
and creative industries;
• Employed 70,7% in 2016 (+ 12% compared to the Italian average);
• Unemployed 6,2% (Italian average 11%); 18.6% youth
unemployment (28.4% Italian average).
The problem: a city at different paces
RUNNING AHEAD STAYING BEHIND
But the polarization between different parts of the city and society is likely to increase
The city recovered from the crisis thanks to innovation, growing tourism and investments
THE CITY CENTRE AND “NEW CITY CENTRES” DEGRADED PERIPHERIES
o 20.000 families receive income support
o 20.000 minors in poverty
o one minor every 20 at risk of school dropouts
o 70 thousand NEET
o 24% of population declares < 10.000 euro at year
o Local added value + 1.1%
o Number of companies + 1.5 (double the nationalaverage)
o Export + 4% (back at pre-crisis levels)
o University students + 15%
o University System: 33rd position (qs Mondial Index)
o Tourists 12 million in 2017 (vs. 5 million in 2000)
o 4th city in EU/15th in the world - Real Estate Investments
The method: an Integrated Action Plan in permanent beta
STRATEGY IS NOT A LENGTHY ACTION PLAN.
IT IS THE EVOLUTION OF A CENTRAL IDEA
THROUGH CONTINUALLY CHANGING
CIRCUMSTANCES.
Jack Welch
Starting from 2011, the Municipality of Milan has implemented a series of activities to combine thedevelopment of INNOVATION and social INCLUSIONof the most fragile segments of the city.
This strategy is constantly updated to interpret new trends and seize new opportunities through past experiences and international exchanges
The actions: Municipality of Milan towards inclusive innovation
5 LINES OF ACTION
3 CROSS SECTORAL ACTIONS
HYBRID ENTERPRISES
& URBAN REGENERATION
SHARING & COLLABORATIVE
ECONOMY
STARTUP & KNOWLEDGE
INTENSIVE ECONOMY
NEW CRAFT & URBAN
MANUFACTURING
SMART CITY & SMART CITIZENS
PARTICIPATORY PLANNINGHow to design policies?
IMPACT MEASUREMENTHow to evaluate policies?
IMPACT FINANCEHow to finance policies?
A series of activities, since 2011 aims to combine the development of innovation and new urban economies and the social inclusion of the most fragile segments of the city.
Hybrid Enterprises & urban regeneration
Hybrid Enterprises & urban regeneration
Bottom-up hybrid enterprises are mixing profit and nonprofit forms creating social impact by combining fields like trade, agriculture, food, volunteering, art and culture.
They use technology as a mean to increase efficiency and collaboration and are active stakeholders in urban regeneration processes.
The city of Milan supports hybrid enterprises as a driver for social cohesion
MUNICIPAL POLICIES : MILESTONES AND RESOURCES
The Municipality is maturing experience in supporting hybrid forms of entrepreneurship for urban regeneration. The new financed actions will be supporting new companies with a social impact at the peripheries.
POLICIES FOR NEW HYBRID ECONOMIES
Microcredit, reuse of public buildings, social enterprise funding etc.
€ 5.340.000 Municipality & central government
WE ARE HERE
BASE MILANO
Ex Ansaldo industry space regenerated to become a Cultural Hub open to events, coworking spaces and creativity initiatives.
PPP tool for 10.000.000 euro
INCLUSIVE INNOVATION HUB
Support for hybrid enterprises with a social impact in the periphery
€ 4.800.000 Pon Metro Milano€ 1.200.000 POR FESR Lombardy€ 1.800.000 funding search
Hybrid Enterprises & urban regeneration
OPEN AGRI PROJECT
Experimentation of an urban agriculture district in the south area of Milan
€ 6.246.000 total EU budget
FESR 2014-20 UIA program
2013 > today 2016 2017 > 2019 2019 > 20222016 > 2017
CIVIC CROWDFUNDING First in Italy for social impact civic projects.
50% budget crowdfunding + 50%
Public administration
€ 656.549 Municipality
Hybrid Enterprises & urban regeneration
BASE - CULTURAL HUB: • 12.000 TOTALS SQM REGENERATED• Public-private partnership with a total of approx.
€10.000.000 contribution. • € 60.000 per year concession fee until 2033• 50 events realized Over 500,000 participants at events
1 ° CIVIC CROWDFUNDING IN ITALY• 54 candidate projects • 16 winning projects reached the goal out of 18• 60% projects presented by profit companies - 40% non-profit• € 656.549 financing collected in total• € 323.413 Milan Municipality co-financing
SUPPORT TO HYBRID ENTERPRISES75 projects (from 2013-17) € 4.5 million euros financed by the Milan Municipality of + 305 new jobs created
OPEN AGRI – UIA FESRExperimenting innovative urban agriculture districtsMilan lead partner with 16 total local partners€ 6.246.000 total project budget (80% EU)€ 3.040.000 contribution to Milan Municipality as lead
Focus on Civic Crowdfunding initiative
In 2016 the City of Milan was the first municipality in Italy that used the crowdfunding tool for a collective funding in favour of
projects of public interest with high social impact in the city.
✓ Total budget allocated by the Administration: 400,000.00 EUR.
✓ Maximum contribution for each project: up to 50,000.00 EUR.
✓ The municipality co-funding varied according to the value of each project.
✓
Those who collect 50% of their budget from donations, will get from the city a 50% co-funding in order to reach the total amount of their project
Contribution system:
50% crowdfunding
50% public Administration
Results & future goals
RESULTS
16 PROJECTS OVER 18REACHED THE GOAL
Compared to the usual percentage on «Eppela platform» (60 %)THE PERCENTAGE OF SUCCESS OF THE INITIATIVE HAS BEEN 88 %
60%to profit
enterprises
40%to no profit enterprises
Given the success, civic crowdfunding will be used as a tool for implementing new projects and supporting innovative enterpreneurs
MAIN GOALS
➢ Experiment innovative ways to finance projects of public interest
➢ Encourage the pooling of public and private resources to support high-impact social projects
➢ Create social impact effect in the city of Milan, but possibly also in the metropolitan area
➢ Support alternative means of access to credit and, indirectly, provide a lever for economic development
➢ Contribute to spread new fundraisingmodels for the Third Sector
➢ Involve directly citizens in the Public Administration choices and decisions
Startup & knowledge intensive economy
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Startup & knowledge intensive economy“ Generating work, especially for young people, must be Milan's obsession. In the coming years, the city must invest in new strategic clusters and create innovative entrepreneurship, favoring synergy with the system of universities, research centers, the world of culture and the third sector “
DCC 27 / 2016, “Programmatic lines related to projects and actions to be carried out during the mandate”
MUNICIPAL POLICIES : MILESTONES AND RESOURCES
The Municipality collaborates with universities, entrepreneurs’ organisations and the Chamber of Commerce in supporting innovative start-ups. The goal of the new actions is to experiment with innovative services and increase social impact in the peripheries.
POLICIES FOR STARTUPS
Support for incubators and accelerators, partnership with Entrepreneurs' organisations and Chamber of Commerce
€ 803.500 municipality
WE ARE HERE
FABRIQ, SOCIAL STARTUP INCUBATOR
Opening of the first incubator for social start-ups, grant for starting up activities.
€ 585.000municipality
SCALING UP NETWORK
Joining the "Scale" European network to support the growth of start-ups
SOCIAL IMPACT STARTUPS IN PERIPHERIES
Support for startups and experimentation of innovative services
€ 300.000 municipality € 700.000 funding search
INTERNATIONAL EXCHANGES
Agreement with the Cities of Amsterdam and New York City for study visits and soft landing
2013 > today 2016 2016 2017 2018
Startup & knowledge intensive economy
Startup & knowledge intensive economy
LOMBARDY2.300 innovative startups out of 8.000 in Italy 1st region for innovative enterprises
MILAN1.400 innovative startups1st city in Italy
CITY OF MILAN FINANCING INNOVATIVE START UPS/ENTERPRISES 491 new companies set up with calls for tenders
FABRIQ - SOCIAL IMPACT STARTUP INCUBATORfrom 2014-17 + 373.000 euros in grants by the Municipality of Milan21 projects / startups incubated + 100 new jobs created 2018/19 new Public Procurement “FABRIQ QUARTO” on KPI/Social Impact
START UP INTERNATIONAL EXCHANGE PROJECTS – 2016 till now2 bootcamps7 Italian manufacturing startups involved7 Dutch fashion startup involved15 cities into SCALE network 1 startupcityalliance.eu web exchange portal
Focus on FABRIQ QUARTO – Innovazioni di Quartiere
FABRIQ QUARTO adressed to start ups that look at peripheric areas of Milano asareas of sperimentation for innovative project with social impact.
• 6 projects selected among 27
• Experimental 2 phase selection with
• Projects with social impact in north Milano
• Incubation provided by FabriQ
• 270.000 Euro total budget
• Up to 45.000 Euro per project
• Pay by result system (rif. KPI)
• 1 Euro from public x 1 Euro private contribution
New Craft & Urban Manufacturing
New Craft & Urban Manufacturing
Milan wishes to become an enabling ecosystem for the birth, establishment and growth of companies operating in the field of digital manufacturing and new crafts.To create new jobs, regenerate the suburbs and promote social cohesion
Manifattura Milano Guidelines
MUNICIPAL POLICIES : MILESTONES AND RESOURCES
In 2017 the Municipality of Milan launched the "Manifattura Milano" Action Plan for the development of new crafts and digital manufacturing in the city. The new measures support investments of manufacturing enterprises in the suburbs.
POLICIES FOR FABLABS E MAKERSPACES
Investment support, collaboration for educational projects and creation of an official register
€ 265.000municipality
WE ARE HERE
ACTION PLAN CODESIGN
Participatory process and co-design sessions with more then 50 stakeholders
OPENING OF MILANO LUISS HUB
New space in Private-Public Partnership for makers and students
€ 547.000 municipality
€2.500.000 private investors
ManifatturaCAMP
Creation of a platform matching all players in the development of manufacturing 4.0: PMI, fablab & makers, universities & research centers
LAUNCH OF MANIFATTURA MILANO PLAN
6 intervention directions for the development of new craftsmanship and digital manufacturing
2013 > today 2016 > 2017 2016 > 2020 2017 2018 > 2021
New Craft & Urban Manufacturing
New Craft & Urban Manufacturing
MANUFACTURE IN MILAN (metropolitan area)36.000 manufacturing companies330.000 jobs13.000 craftsmen employed in manufacturing25% of overall city sale revenues
FABLAB 12 Fablab financed12 Fablab enrolled in the Qualified Register100% of the financed spaces still open
MILAN LUISS HUB for Makers & StudentsOpened in 2017710 square meters redeveloped547.000 contribution from the Municipality of Milan2.500.000 private investor contribution3 education center with about 60 seats total 1 Fablab1 Business accelerator with 80 workstations
Manifattura Milano: guidelines
6 AREAS OF INTERVENTION
STUDIES AND RESEARCHES COMMUNICATION
LABORATORIESAND SERVICES
SPACES OF THE CITY
SUSTAIN INVESTMENTS
EDUCATION, TRAINING AND WORK
TAYLOR MADE MODEL
“Milano model”
AGILE PLANNINGExperimentsFail fast approach
OPEN GOVERNANCE
Public/Private alliance
3 INDICATIONS ABOUT THE METHOD
Roadmap
2017 > 2019
luglio agosto settembre ottobre novembre febbraio
EducationAgreement with Miur for school projects on digital, making e robotics
Spaces Calls for the opening of new spaces of digital makers in the peripherical areas
Laboratories2017 Opening of Milano Luiss Hub for Makersand Students in via d’Azeglio 3; Smart City Lab opening in 2020
ComunicationManifattura Milano Camp 2018 & 2019: bottom up event of community building
Study & reasearchReasearch on new manifacturing in Milan and international benchmark
GovernanceAdvisory board for the programimplementation
Manifattura Milano Camp
2018 & 2019
Manifattura Camp experience
at Milano Luiss Hub
Networking Event for operators dealing with new manifacturing 4.0 and digital artcrafts.
Programme builded through open calls
TOT Numbers:✓ 130 organizations✓ 167 speakers ✓ + 15 demonstrators✓ +800 people registered✓ 5 rooms working in parallel✓ 6 / 7 hours of activity per Camp (2018/ 2019)
Manifattura Milano Camp – Results
20
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March 17th 2018 @Milano Luiss Hub
Hints of Manifattura Milano Camp 2018/2019
How we improve the Innovation Ecosystem
5 main actions The City Of Milan conducts
to support, improve & develop the startup ecosystem of Milan
Internationalization
Projects
Ecosystem
Network Projects
Vertical Sector (Sharing
Economy, Manufacturing
4.0 & Social Innovation)
Innovative
Financing Projects
1 2
4 5
Direct Support To
Finance Startups3
How we improve the Innovation Ecosystem
To strengthen the development of the startup ecosystem of Milan and to strengthen the
connection between Milan and other major cities
Startup Exchange
Project With NYC
City Of Milan
&
New York City Mayor’s
Office
Startup Project Agreement
With City Of Amsterdam
City Of Milan
&
City of Amsterdam
INTERNATIONALIZATION PROJECTS1
Gathers 19 European startup organizations
from 19 European cities willing to scale not
only within Europe but also to other continents
around the world.
SCALE
(Startup City Alliance Europe)
ECOSYSTEM NETWORK PROJECTS2
To develop and strengthen the network of the startup ecosystem of Milan, The
City Of Milan has created, developed and invested in a large variety of projects
€ 1.5 + million invested in Incubators
& Accelerators
Polihub – Politecnico
di Milano: ICT / Web /
High Tech
Fabriq: Social
Innovation
BASE: Creative
Startups
Speed Mi Up – Camera
di Commercio &
Bocconi University:
Managment
Milano LUISS Hub For
Makers & Students
Alimenta2Talent
(PTP): Agrifood &
Innovation
How we improve the Innovation Ecosystem
ECOSYSTEM NETWORK PROJECTS
ECOSYSTEM NETWORK PROJECTS2
3. How we improve the Innovation Ecosystem
Supporting the
network of Co-
working Spaces in
Milan
12 Fablabs in our
qualified network
65Co-working Spaces in our
qualified network
23% Communication
29% Design
32% Services
9% ICT
7% Other
Supporting the
network of Fablabs
& Makerspaces in
Milan
Provision of incentives for coworkers
DIRECT SUPPORT TO FINANCE STARTUPS3
3. How we improve the Innovation Ecosystem
€5.482.929 invested
in startups from 2012 - 2016
83% of startups
financed by The City Of
Milan between 2012 –
2016 are active
€314.210.100Total turnover by the startups
from 2012 - 2016
706 Startup Founders
1.022 Employees
INNOVATIVE FINANCING4
3. How we improve the Innovation Ecosystem
Crowdfunding
Supporting & financing
social impact startups
Promote the active
participation of citizens
16 Projects Financed
Microcredits
Social Impact Investing
1,396 Recipients Of Microcredits
Giving credit to those who can’t normally access it.
€ 3,400,000 worth of Microcredits given
€656,549 Invested
A partner in Tiresia, the International Research Centre
Researching Social Innovation & Social Financing to
deliver new economic, business & policy models
VERTICAL SECTOR: MANUFACTURING 4.05
3. How we improve the Innovation Ecosystem
To boost local sustainable growth in Milan through Manufacturing 4.0, a
subset of Industry 4.0 that focuses on modern advances in modern
manufacturing.
Connecting Manufacturing 4.0 to the services sector in Milan
Networked
Machinery Digital Design RoboticsRapid Prototyping
Online PortalDeveloping New
Laboratories
Milano Luiss Hub:
Opening Nov 2017
SMART CITY LAB:
Opening 2020
€ 10 Million
Investment
Research
Cross Innovation
Open Innovation
1 2 3
4 Events&Exhibitions
MANIFATTURE APERTE
3D Printing
MUNICIPALITY OF MILAN
Urban Economy and Employment
Foto: Chiara Conti
MUNICIPALITY OF MILAN
Urban Economy and Employment
Thank you!
Comune di Milano
Direzione Innovazione economica e sostegno all’impresa
milano_smartcity@comune.milano.it
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