Consultancy on Technological Foresight

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1 Consultancy on Technological Foresight A Product of the Technical Cooperation Agreement Strategic Roadmap for Productive Development in Trinidad and Tobago Policy Links, IfM Education and Consultancy Services (IfM ECS) University of Cambridge Final Summary Presentation 8 November 2017

2 AGENDA 1. Background: T&T s Context 2. Project Aims 3. Why are Centres of Excellence relevant? 4. Project Approach 5. Key Project Outputs 6. Questions & Discussion

3 BACKGROUND: T&T S CONTEXT a) Trinidad and Tobago aims to address its economic dependence on 1 export earnings from hydrocarbons through a range of efforts b) The National Development Strategy (Vision 2030) aims to 2 establish a diverse economy that is innovative, competitive and has the foundations and supports to encourage businesses and entrepreneurs to succeed and become more competitive both locally and internationally (Vision 2030, Building Globally Competitive Businesses, Goal 2, p. 102) a) In this regard, innovation and the creation of linkages between 3 firms and the research base are recognised as key enablers for the upgrade of industry and the technological modernisation of firms (Vision 2030, Building Globally Competitive Businesses, Goal 2, p. 103)

4 BACKGROUND: T&T S CONTEXT a) However, T&T s National Innovation System presents opportunities 4 for improvement, such as**: Opportunity to improve governance arrangements and coordination Opportunity to increase public and private investments in R&D and innovation Opportunity to strengthen collaboration between academia and industry Opportunity to increase innovation readiness of firms & application of research **Guinet (2014). Assessment of the national innovation ecosystem of Trinidad and Tobago

5 BACKGROUND: T&T S CONTEXT 5 T&T s challenges occur against the backdrop of a new global industrial context characterised by several megatrends Threats to global stability Digitalisation Globalisation Demographic change External industrial policy trends Changing consumer habits Urbanisation Accelerating product life-cycles Sustainability Megatrends: High-level, nonsector-specific, global trends affecting the evolution of global manufacturing

6 PROJECT AIMS a) Identify a long-list of opportunity areas in which nonhydrocarbon firms/sectors may develop innovations with 1 commercial potential b) Of these, short-list five areas for roadmapping to assess how 2 they might benefit from research and innovation efforts c) Create initial specifications for Centres of Excellence expected 3 to work on short-listed areas d) Create initial guidelines for the design and implementation of 4 these Centres in T&T

7 WHY ARE CENTRES OF EXCELLENCE RELEVANT? INTRODUCTION TO INNOVATION SYSTEMS Overview Firms rarely innovate in isolation Collaboration / interdependence with other organizations Important interactions with range of organizations Universities, customers, suppliers, national labs, ministries, etc. Innovation shaped by institutions and their interactions Potential barriers, enablers, or incentives for innovation A systems-perspective is important in analysing such interactions

8 WHY ARE CENTRES OF EXCELLENCE RELEVANT? INTRODUCTION TO INNOVATION SYSTEMS Actors & Connections: Fostering linkages provides national competitive advantage More effective & efficient development, diffusion, & deployment of new ideas Private Intermediate Public

9 WHY ARE CENTRES OF EXCELLENCE RELEVANT? INTRODUCTION TO INNOVATION SYSTEMS Overall function of a national innovation system: To develop, diffuse and use innovations Knowledge generation by universities (local + foreign), public and private research centres Knowledge diffusion by intermediary institutions, advanced business services, extension services, cluster organisations Knowledge absorption by industry technological upgrading and increased value capture

10 THE ROLE OF CENTRES OF EXCELLENCE: WHAT ARE THEY? Centres of Excellence occupy the intermediate space between: (a) the exploratory science and engineering research endeavours of universities and; (b) the more proprietary R&D activities of firms. In other words, Centres of Excellence are organisations linking public and private innovation efforts As such, Centres of Excellence represent a highly flexible policy mechanism to address some key opportunity areas in T&T s National Innovation System

11 Expenditure THE ROLE OF CENTRES OF EXCELLENCE: WHAT DO THEY DO? Centres of Excellence can: (a) Assume a coordination role to de-risk innovation projects, acting as a bridge between businesses and the research and academic communities to enable projects that no single actor would be able to perform by itself (Technology R&D function). BASIC RESEARCH APPLIED RESEARCH COMMERCIALISATION New products by firms UNIVERSITIES Largely funded by government Centres of Excellence PRIVATE FIRMS Path to innovation

12 THE ROLE OF CENTRES OF EXCELLENCE: WHAT DO THEY DO? Centres of Excellence can: (b) They can also make a contribution beyond R&D in areas including: Network & institution building for knowledge diffusion Technical standards, certifications & regulations Network building, industrial dialogue and brokering industrial consortium development System intelligence, international benchmarking and technology foresight Capability development for knowledge absorption and use Skills & education Access to facilities & experts Advisory & incubation services

13 THE ROLE OF CENTRES OF EXCELLENCE: WHY IS PUBLIC INVESTMENT JUSTIFIED? In summary, in the context of Trinidad and Tobago Centres of Excellence aim to help firms address current and emerging business opportunities by bridging gaps in Trinidad and Tobago s national innovation system In this project, areas of specialisation have been defined for the Centres of Excellence based on stakeholder consultation. However, Centres will provide a public good with benefits and spill-over effects across sectors Centres of Excellence will seek to support Trinidad and Tobago s broader policy efforts in the closely related areas of competitiveness, economic diversification and innovation

14 PROJECT APPROACH Three guiding questions: WHERE ARE WE? Identify existing innovation capabilities, challenges and opportunities in T&T WHERE DO WE WANT TO GO? Identify feasible sectoral opportunities for economic diversification in T&T, as perceived by local stakeholders HOW CAN WE GET THERE? Align capabilities with opportunities through the development of sectoral roadmaps to inform design of Centres of Excellence

15 PROJECT APPROACH DATA SOURCES INTERNATIONAL EXPERIENCE Policy Links previous international projects STAKEHOLDER INTERVIEWS ~25 consulted organisations STATISTICAL DATA National and international databases LITERATURE REVIEW ~49 relevant policy documents WORKSHOPS 5 workshops ~130 expert participants The key source of information about T&T s potential and about what needs to be done to exploit it were the local stakeholders

16 PROJECT APPROACH KEY OUTPUTS 1 OPPORTUNITY AREAS FOR DIVERSIFICATION, AS PERCEIVED BY LOCAL STAKEHOLDERS 2 INITIAL SPECIFICATIONS FOR CENTRES OF EXCELLENCE ADDRESSING FIVE OF THESE OPPORTUNITY AREAS 3 GUIDELINES FOR THE DESIGN AND IMPLEMENTATION OF THESE CENTRES IN TRINIDAD AND TOBAGO (NEXT STEPS)

17 KEY OUTPUTS FIVE CENTRES OF EXCELLENCE FOR T&T OPPORTUNITY AREAS IDENTIFIED BY LOCAL STAKEHOLDERS** (~130 expert stakeholders consulted) HIGH-VALUE AGRICULTURAL BASED PRODUCTS Create High-Value from TT s Indigenous Agricultural Species MARITIME SERVICES Utilise Innovation to Strengthen TT s Natural Competitive Advantages in the Maritime Industry ENERGY ENGINEERING SERVICES (EES) Position TT as a Globally Recognised Knowledge Centre for EES ICT PRODUCTS AND SERVICES Establish Excellence in ICT Capabilities for TT s Industries AVIATION SERVICES Position TT in the Global Aviation Sector Map ** It is important to indicate that the selection of these five areas does not stop the analysis of others from the initial long-list later on

18 KEY OUTPUTS EXAMPLE CENTRE SPECIFICATION HIGH-VALUE AGRICULTURAL BASED PRODUCTS Create High-Value from TT s Indigenous Agricultural Species Potential Missions New knowledge services Sector coordination New business models New product creation Productivity improvement Best practices adoption Investment attraction Potential Areas of Specialisation New plant varieties Value-added product design Production and farming models Knowledge services & business models Packaging, certification & traceability Small-scale production/ commercialisation Nutritionallysensitive foods Potential Innovation Functions and Services Coordination and diffusion of R&D in specialisation areas Local & international network building and industrial dialogue Skills development and training Access to expertise and advice for firms (best practices, product development, manufacturing, business strategy, marketing, funding, IP, etc.) Model / pilot farms Technology and market intelligence and foresight 18

19 KEY OUTPUTS NEXT STEPS FOR IMPLEMENTATION INFORMED BY INTERNATIONAL PRACTICE & OBSERVATIONS OF TRINIDAD AND TOBAGO S CONTEXT Communication: Dissemination and stakeholder buy-in Leadership: Appointment of Temporary Executive Officers Offering Definition: Validation and detailed offering definition Operational approach: Funding, workforce and infrastructure Governance Framework: Integration with national institutional framework

20 KEY OUTPUTS INTEGRATION INTO NATIONAL INSTITUTIONAL FRAMEWORK

21 KEY OUTPUTS GOVERNANCE a) Autonomy: Centres are likely to require independence and be 1 empowered to guarantee effective operation and public good. b) Accountability: They will need to respond to policy priorities established 2 by government and be accountable to relevant branches/agencies. c) Public Orientation: International experience shows that in order to fulfil 3 their public role, Centres of Excellence tend to be non-for-profit. d) Planning: Clearly defined long-term missions with medium-term (e.g. five 4 to seven years) rolling programmes and budgets are recommended. e) Ongoing Government Support: Sustained government commitment is 5 needed to legitimise and promote the catalysing role of Centres of Excellence and provide certainty to the business community. f) Continuing Relevance: Mechanisms need to be in place to ensure that 6 Centre areas of specialisation and missions remain relevant.

22 CONTACT DETAILS David Leal-Ayala Carlos López-Gómez Michele Palladino Ricardo Nakazawa Institute for Manufacturing (IfM) Department of Engineering 17 Charles Babbage Road Cambridge, CB3 0FS United Kingdom

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