RIS3: Competitiveness and entrepreneurship

Luisa Sanches

Policy Analyst – Innovation

DG REGIO

Forum Outermost regions 2 July 2012

Cohesion Policy paradigm shift towards innovationCohesion Policy paradigm shift towards innovation

SMEs are at the main actors for smart growth: they can create jobs and increased value added products and services…………..

Entrepreneurship (self-employment and business start-ups) = key factor in job creation.

Cohesion Policy provides an integrated approach to address the needs of SMEs, covering all phases from business creation (ERDF and ESF) to business growth… crossing the valley of death: from science to technology and products (pilot lines) to production and market.

Building from the past and breaking with itBuilding from the past and breaking with it• ERDF is the largest source of EU support to SMEs with a

total volume of EUR 25 billion directly targeted at SMEs in the current financial period (2007-13) out of the 55 billion for Regional Policy business support

• ESF 14 billion for businesses to adapt to changing market conditions

• Many indirect forms of support exist: incubators, innovation vouchers, grants

•

Conclusions of the European Council of 28-29 June 2012

• The Structural Funds have reallocated funds in support of research and innovation, SMEs and youth employment and a further EUR 55 billion will be devoted to growth enhancing measures in the current period. Support to SMEs should be further strengthened, including by ensuring their easier access to EU funds.

• Member States have the possibility under existing rules and practices to work with the Commission in using part of their Structural Funds allocation to share the EIB loan risk and provide loan guarantees for knowledge and skills, resource efficiency, strategic infrastructure and access to finance for SMEs.

Only 1/3 of enterprises are satisfied with public support. The type of measures do not correspond to their needs.

More than money and much more than research and technologiesMoney, but not only grants, also credits, guarantees, venture capital, etc..Clients, markets (domestic, global) – connecting and networksPartners ( clusters, universities, value chains, ...)Advice and support services to develop new business models and bring new ideas faster to the local and global marketsAgile support and tailor-made measures

What enterprises think of public innovation What enterprises think of public innovation support … Are we giving what they need?support … Are we giving what they need?

Cohesion Policy

See: DG ENTR (2009) http://ec.europa.eu/enterprise/policies/innovation/files/swd_effectiveness_en.pdf

Objectives of cohesion policy 2014-2020Objectives of cohesion policy 2014-2020

• Deliver the Europe 2020 strategy objectives of smart,

sustainable and inclusive growth

• Focus on results

• Maximise the impact of EU funding through concentration

• Conditionalities (smart specialisation)

= place-based economic transformation agendas

1) Focus policy support and investments on key national/regional priorities, challenges and needs for knowledge-based development (= tough choices)

2) Build on each country's/region’s strengths, competitive advantages and potential for excellence (= critical mass, differentiation)

3) Support all forms of innovation

4) Get stakeholders fully involved and encourage experimentation and private sector investment

5) Evidence-based and include sound monitoring and evaluation systems

R&I Strategies for Smart Specialisation (RIS3)

Cohesion Policy

http://ec.europa.eu/regional_policy/sources/docgener/informat/2014/smart_specialisation_en.pdf

RIS3: not about sectors but cross-cutting RIS3: not about sectors but cross-cutting activitiesactivities

Cohesion Policy

RIS3RIS3

Skills:Skills:entrepreneurial, innovation management, creative …entrepreneurial, innovation management, creative …

KETs for SMEs :KETs for SMEs :Tech.transfer & audits, demonstrators, pilots Tech.transfer & audits, demonstrators, pilots

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Hypothetical

example:Fields of

"specialisation": new activities

that show potential and have critical mass… or

rather differentiation, diversification

… Not an whole

sector nor one single firm

Which are my assets?Human:

Existing businesses

Universities

Other knowledge institutions

But also:The sea The landThe climateThe energetic resources and their potentialetc

The connected region: in search of complementarities with international partners

RIS3 is a process …and a journeyRIS3 is a process …and a journeyof «entrepreneurial discovery»

What do they need?

With whom to

cooperate?

Who are your customers /

competitors?

Is there critical mass / excelence?

Cohesion Policy

See: https://community.oecd.org/community/smartspecialisation

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RIS3 guide - Key steps for developing a RIS3

Step 1 – Analysis of regional context/potential

Step 2 – Governance

Step 3 – Vision for the future

Step 4 – Selection of priorities

Step 5 – Policy mix

Step 6 – Monitoring and evaluation

Monitoring

Policy mix

Priorities

Vision

Process

Analysis

RIS3

Regions registered on the Platform

64 registered re

gions

… m

ore are in th

e process

of regist

ering

64 registered re

gions

… m

ore are in th

e process

of regist

ering

The connected region:

I am not alone

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PART I: THE POLICY CONTEXT PART II: THE RATIONALEPART III: RIS3 DESIGN IN A NUTSHELL

Annex I – A step-by-step approach to RIS3 designAnnex II – Delivery instruments and horizontal

approachesAnnex III – Guidance for expert assessment

Edited by JRC IPTS in association with DG REGIO and with contributions from:

D. Foray, P. McCann, J. Goddard, K. Morgan, C. Nauwelaers, R. Ortega, Commission officials from various DGs and S3 Platform team

Available on the S3 Platform webpage

http://s3platform.jrc.ec.europa.eu/home

The RIS3 Guide

Incubators Universities & regional development Broadband

Soon available:

► Clusters ► Social Innovation

► Green growth ► Entrepreneurial spirit

► Creativity ► Service innovation

► ….

Inspiration for innovation support:

• Oslo Manual (OECD) https://community.oecd.org/community/smartspecialisation

• Community framework for State Aid to Research and Innovation

• Analysis of regional innovation http://www.rim-europa.eu

• EURADA • Directory of "No-Nonsense" Activities to Build S³-minded Regions; • All money is not the samehttp://www.insme.org/files/3019

Thematic guidesThematic guides

13Cohesion

Policy

Information Information • Proposals for the Structural Funds 2014-2020:

http://ec.europa.eu/regional_policy/what/future/proposals_2014_2020_en.cfm

• RIS3 factsheet: http://ec.europa.eu/regional_policy/sources/docgener/informat/2014/smart_specialisation_en.pdf

• S3 Platform: http://ipts.jrc.ec.europa.eu/activities/research-and-innovation/s3platform.cfm

• RIS3 guide: http://s3platform.jrc.ec.europa.eu/s3pguide

Cohesion Policy