Smart Cities & Regions. PD Phil Cooke Centre for Advanced Studies Cardiff University & Oxford Institute for Sustainable Development

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1 Smart Cities & Regions PD Phil Cooke Centre for Advanced Studies Cardiff University & Oxford Institute for Sustainable Development

2 Key Evolutionary/Complexity Concepts Path dependence cognition of the history of an industry, its ecosystem and its new ( smartphones ) market challenges Path inter-dependence where the challenge is met by search and selection activities to interact with other industries to evolve commercial solutions

3 Jacobian Regional Advantage Platform the possibility that such interactions may be found in proximity but, failing that, at least relational if not geographic proximity Related variety recognition that where firms are in industries cognitively close even if outputwise distant, this is a basis for possibly fruitful engagement Absorptive capacity in the lateral dimension capability to understand difference and comparability of business models, market niches and technological expertise

4 Innovation, Recombination, Strangeness Strange attractors the self-organizing way in which systems respond to shocks or disequilibria (e.g. Climate change/cleantech effect) Done by change elements (firms; innovation centres; policies) coming to occupy a basin of attraction possibly to form a cluster of interacting agents pursuing novelty

5 Distributed Knowledge Recombination: Inkjet Printing Inkjet Printer: 1970s Seiko-Epson (J), Hewlett Packard (US); Canon (J) computer printing 1980s Tiger T-shirts (India) 1990s OLED & AMOLED Flat Panel Displays 2009 Valencia, Spain - Ceramics industry. Seiko printer Head for Crockery Design 2011 Sao Joao de Madeira, Oporto, Portugal shoe district - application to women s shoe design Others: Food (Pringles); Photovoltaics; BioSequencing; BioSensors; 3D Manufacturing. Knowledge transfer across borders, across clusters, across industries

6 Graphic Valley User Driven Transversality : Värmland, Sweden Clusters / branches and Innovation milieus in Värmland Food Kil food innovation arena The Packaging Arena Advertising and Design agencies Svenska Felxograiinsitituet The Packaging Arena The Packaging Greenhouse Broby Grafiska Dotank Designstudio The packaging medialab The Paper Province Plant Design EnergySquare ICT in Pulp and Paper I ndust ri el clust er / st rong branch Steel & Engineering Glava Energy Centre Compare Compare Testlab Innovation platform Idea of an innovation platform

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8 Green Procurement Green Logistics Grand Challenge: Climate Change Green Shipping Sustainable Cities Green Procurement Medical Imaging Renewable Fuels Life Sciences Materials Sciences Disaster Danagement Personalised Healthcare Distributed Healthcare Grand Challenge: Ageing and Healthcare Food Academy Smartphone Apps

9 Portugal's 'Smart Growth' Strategy Model as practised by FCT. It gave a regional role for a certain degree of choice of final regional project selection. Based on workshops & dialogue Aims to allow for regional advantages to be expressed in national research prioritisation.

10 Implications for Regional Innovation Strategies The Prime Minister had created two National Councils (for S&T and E&I) that underpinned 'joint governance' arrangements. 'Smart Growth' will rest more and more upon '..working with regional knowledge centres for selection of final innovation projects to go forward' according to the ministries.

11 National Innovation Agency Now in IAPMEI and thought entrepreneurship & innovation should be closer (+E+I) New model involving 'intermediaries' and 'discourse' non-top-down Regions seen as well-placed to implement 'Smart Growth. Algarve regional innovation agency idea.

12 A Modern Perspective... to some extent Innovation Agency less urgent than the need to build bridges among governance system Ministries felt Innovation Agency progressively became a 'project analysis' (ex ante) organisation rather than an 'innovation outcomes' (ex post) evaluator (also expressed independently by Norte)

13 'Smart Specialisation' as a Challenge for Portuguese Regions? Seen by National as means in times of austerity for concentration on innovative national and regional strengths National view: innovation not narrowly confined to leading sectors, not just S&T (also DUI). Many regional instances of ideas to traverse sectoral boundaries to apply research findings from one field into as many others as possible (e.g. Tourism apps in Algarve)

14 Smart Specialisation or Diversification for the Regions? Practical innovation policy in Centro involves 'getting different clusters (e.g. materials and engineering) to talk with each other' to identify cross-cluster innovation opportunities For Norte, there will be smaller eggs in different baskets, but we must link the baskets. In other words, because policies from above are resolutely 'sectoral' we must find an approach that unites these 'silos'

15 Conclusions National level seems to have realised topdown bureaucracy no longer an option More regional consultation and influence for RIS3 strategies The absence of ESF funding from RIS3 is seen as a weakness in the EU's new approach from the Algarve, Centro and Norte perspectives

16 A New Model for DUI Regional Innovation Policy Host the Thematic Issues around which panels of industry representatives and/or entrepreneurs will interface for exploitation Learning from your industry means niche opportunities for exploitation ranked CCDR must then be catalytic in organising innovation theatre entrepreneurs (key role involves: 08/05/13

17 Learning from your industry First, showing existing innovations from inside or outside the region, including abroad, that may be preadapted modules or whole solutions for re-use in a new problem Second, showing potential innovations that explore the White Spaces that no-one has yet CCDR must then orchestrate contests in which competition for RIS3 innovation subsidies and support occurs. 08/05/13

18 Strategic Niche Management Winners rewarded with projects (substantial private as well as public investment funding). (Key role for Algarve RDA) These may be early-stage and exploratory, mid-stage and examinatory, and final-stage and exploitative Finally CCDR must establish a monitoring, learning and communication system. 08/05/13