Esko-Olavi Seppälä / SB HOW TO MEET THE CHALLENGE IN FINLAND'S STI POLICY TAMPERE, JUNE 4TH, 2008...

Esko-Olavi Seppälä / SB

HOW TO MEET THE CHALLENGE IN FINLAND'S STI POLICY

TAMPERE, JUNE 4TH, 2008

TRENDS AND CHANGES IN STI POLICIES INFLUENCED BY GLOBALISATION

Esko-Olavi SeppäläS&T Policy Council of Finland


338,000 sq. km 5,3 million people Capital Helsinki 2 official languages

Finnish Swedish

GDP per capita 2006 € 31,700 a member of

the European Union

FINLAND; the country

Helsinki


CHARACTERISTICS/FINLAND

• Political consensus + citizens' support• Mutual trust between STI players• 'Top-down and hands-off' <=> expert and

funding-level (meso-level) activities have occupied a key role (Academy, Tekes, Sitra)

• Economic crisis in early 1990s <=> ICT boom <=> technological innovation

• In 2000s: technological + social innovation• Strengths (incl. high level of education) mostly

self-created


GDP IN FINLAND 1985=100

100

110

120

130

140

150


0,0

1000,0

2000,0

3000,0

4000,0

5000,0

6000,0

7000,0

public universities companies

Source: Statistics Finland

R&D EXPENDITURE BY SECTOROF PERFORMANCE, million €

1991 1993 1995 1997 1999 2001 2003 2005 2006


Enterprises Universities Public Sector Total

OECD 1.55 0.40 0.30 2.25

U.S.A. 1.80 0.35 0.45 2.60

EU-27 1.10 0.40 0.25 1.75

Japan 2.55 0.45 0.35 3.35

Canada 1.05 0.70 0.20 1.95

Finland 2.45 0.65 0.35 3.45

BREAKDOWN OF INVESTMENT IN R&DIN 2005 BY SECTOR OF PERFORMANCE (%

of GDP)

Source: OECD


Food industry 1½%

Chemicals7%Other industries

20½%

Wood processing industry 2%

R&D EXPENDITURE IN FINNISH ENTERPRISES IN 2006

Electronic and electrical industries 56½%

Engineering and metal products11%Other

manufacturingindustries1½%


0

500

1000

1500

2000

1996 1999 2006

STRUCTURE OF GOV'T R&D FUNDING

Basic institutional fundingFree ”competitive” funding

EURmillion

75%

25%40%

60%

45%

55%


Government(Gov't R&D funding 2008: 1 798 million Euro)

Science and Technology Policy Council

Ministry ofEducation

(778 million €)

Ministry ofEmployment and the

Economy(673 million €)

OtherMinistries

(347 million €)

Finnish FundingAgency for Technology

and Innovation(526 million €)

Academy ofFinland

(297 million €)SITRA Fund

HE institutes and government research institutes

Enterprises, private research institutes,funds and foundations, learned societies, intermediaries


SCIENCE AND TECHNOLOGY POLICY COUNCILOF FINLAND

CHAIRMANPrime Minister

DEPUTY CHAIRMENMinister of Education and ScienceMinister of Economic Affairs

OTHER MINISTERSMinister of Finance+ 0 - 4 other ministers

10 OTHER MEMBERSAcademy of Finland Finnish Funding Agency for Technology and Innovation (Tekes)Industry and CommerceEmployees’ organisationsUniversities+ other members

Science Policy SubcommitteeTechnology Policy SubcommitteeCouncil Secreteriat

Esko-Olavi Seppälä / SBEsko-Olavi Seppälä / SB

Source: Finnish Science Barometer 2004

FINNISH SCIENCE BAROMETER 2004


SWOT ANALYSIS OF FINLAND'S R&D

• A small domestic market area and population

• Limited economic and intellectual resources

• Fragmented research activities: Resources allocated to a large number of small units

• A small number of foreign students and researchers

• The inflow of FDI is low


2000’s2000’s

The situation in the mid-2000sThe situation in the mid-2000s


1990’s1990’s2000’s2000’s

Green line describes the situation Green line describes the situation in the 1990sin the 1990s


MAIN CHALLENGE

HOW TO RETAIN NATIONAL STRENGTHS AND COMPETITIVENESS IN THE FUTURE, IN OPEN GLOBAL COMPETITION?

THE "PACKAGE OF REFORMS" OF THE PRESENT GOVERNMENT:

- "THE BIG FIVE" - GENERIC DEVELOPMENT ISSUES - SELECTIVE MEASURES


MEETING THE CHALLENGE I

• THE BIG FIVE:

– Structural and other renewal of the HE institution– National innovation strategy– National infrastructure policy– Structural and other renewal of the sectoral research– Implementation of a four-stage research career system


NATIONAL INNOVATION STRATEGY


MEETING THE CHALLENGE II

• GENERIC DEVELOPMENT ISSUES:

– Internationalisation– RDI funding

• National target 4 % of GDP by 2011

• Share of public funding around 30 %, i.e. 1.2 % of GDP (today about 1 %)


MEETING THE CHALLENGE III

• SELECTIVE DEVELOPMENT ISSUES:

– Strategic centres of excellence in STI ("SHOKs"):• A cluster-based PPP policy instrument

• Example: www.forestcluster.com

– Centres of expertise programme ("OSKE"):• A regionally driven cluster-based development programme

(2007-2013)


www.research.fi

Esko-Olavi Seppälä / SB HOW TO MEET THE CHALLENGE IN FINLAND'S STI POLICY TAMPERE, JUNE 4TH, 2008...

Documents

Transcript of Esko-Olavi Seppälä / SB HOW TO MEET THE CHALLENGE IN FINLAND'S STI POLICY TAMPERE, JUNE 4TH, 2008...