Jönköping Region - a center for SME development

1. Jönköping Region - a center for SME development Swedens most SME-rich region A living laboratory for SME-development >60% of mechanical industry within 200 km An extensive network of subcontractors A network of development centers for SME’s Bengt.Henoch@ing.hj.se

2. Where is Jönköping? Bengt.Henoch@ing.hj.se

3. Jönköping University • Four schools Engineering, Business, Learning and Health • Focus on entrepreneurship and development processes • Joint research programme with 3 perspectives: • Technology, Organisation and Learning Bengt.Henoch@ing.hj.se

4. Development processes in SMEs and SME-networks Three perspectives Technology Organisation Learning Three technology domains (computer and mechanical) Product life cycle Network life cycle Knowledge supply Network formation Matching skills Regional linkage Interregional linkage Web infrastructure University networks Student teams Some practical cases Bengt.Henoch@ing.hj.se

5. Three ICT-technology domains ¤ Product life cycle¤ Knowledge supply¤ Network life cycle • ICT Technology Team • Jönköping University (Computing & Mechanical) • Fraunhofer ISST, Berlin • Computas, Oslo • SPIIRAS, St Petersburg • Universidad Complutense Madrid Bengt.Henoch@ing.hj.se

6. CAD MIS CAM CRM SCM ERP Product life cycle Product Design Market Requirements Production Planning After Sales Logistics Sales & Fulfillment Manufacturing Distribution • specialised solutions for SMEs • integration of different systems • integration of modeling, execution • integration of business strategy, corporate knowledge and IT infrastructure Bengt.Henoch@ing.hj.se

7. Knowledge Supply in SME-Networks Supplier A Supplier C Co-operation Process Manufacturer Customer Supplier D • complex co-operation process • need for optimized knowledge supply • intransparency w.r.t. knowledge sources • no common language Supplier B Bengt.Henoch@ing.hj.se

8. Knowledge Sources in SMEs Personal competences of the employees Corporate competences of the enterprise • Electronically stored comptence objects: • Documents (design rules, reports) • CAD drawings • Simulation routines • Requirement specifications • Etc. Bengt.Henoch@ing.hj.se

9. Research: Lifecycle of SME networks Community Building Matching skills Regional linkage Interregional linkage Formation Community Dissolvement Integration Dis- continuation Operation Bengt.Henoch@ing.hj.se

10. Network Formation web support Structure of products/services Matching Structure of competences/skills Gap analysis Negociation Learning Formation Bengt.Henoch@ing.hj.se

11. The host company concept ¤ Combining theory and practice The students have during the first study years a host company where the students combine theory and practice in small curriculum related studies ¤ All students are given a host company The students can choose from about 500 host companies and the study project are related to the companies business and industrial processes ¤ A springboard to employment The sequence host >diploma work>employment is common. Emloyment of engineers in SMEs is facilitated. ¤ Strong links between university and regional industry The university has a good contact and knowledge of the regional industry. Students convey knowledge to SMEsbbb Bengt.Henoch@ing.hj.se

12. Year 1 Year 2 Selection students SWMulti 8 universities EU & Latin America Start of student project Information to SME’s SME-selection Student admin Student-SME interviews SME Data base 1 SME at UNI 1 1 SME at UNI 2 2 students from UNI 1 2 students from UNI 2 Selection students SWMulti Linking SME’s and students from UNI 1 & 2 Information to SME’s Student admin Student-SME interviews Start of student project Hand- book package SME Database Bengt.Henoch@ing.hj.se

13. Value chain Pulp Process Paper Plantation Mainten. Harvest Saw-mill Process Component Board Process Component Bengt.Henoch@ing.hj.se

14. Some practical cases ¤ ALFA project SME-chains Student exchange projects between SMEs in Chile and SMEs in Germany, Spain and Sweden. 1 with Germany, 2 with Spain and 4 with Sweden. Projects are formulated as diploma works, but have potential to lead to continued cooperation. ¤ Chambers of Commerce Jönköping – Montevideo Student exchange based on cooperation between two Chamber of Commerce and two e-learning SMEs. The concept starts from a Swedish educational programme to promote e-business in SMEs and to transfer some of the concept to Uruguay, in particular industries involved in export. ¤ Antioquia Wood Cluster in Colombia The project is financed by SIDA the Swedish Aid Agency. A survey of regional value chain including R&D and education, on a web-portal supports interregional linkage. Starting from reforestation plans of the Antioquia wood cluster consequencies on further processing and logistics are considered Bengt.Henoch@ing.hj.se

15. Observations • The SME interest in the exchange depends on possible benefits of establishing commercial relations and the capacity to receive students. • The matching of SMEs is supported by web-tools and an exellent tool for awareness, but finally the mediating of the university coordinators close the deal. • Economically weak regions have a stronger interest to establish relations with strong regions and vice versa. An advantage if SME on one side is rather large. • Between economically unequal regions an institutional and funded cooperation between regions is better, e.g Chambers of Commerce or AID organisations. • It is easy to motivate students from idealistic reasons and for valuable international experience, at the same time meeting requirements from students and participating universities on valid diploma works for the students. • The possibilities to find interested SME exchange partners reflects the situation in different countries. Bengt.Henoch@ing.hj.se

16. Future plans • Basic R&D in the areas of common terminologies and ontologies, database structuring and search based on value chain, links to project planning and management based on Logical Framework. • University student and diploma work exchange based on interregional industrial cooperation especially as regards SME’s and SME-networks. • Concepts for promoting less developed regions through interregional cooperation and provide new planning tools for International Aid Agencies. Of special importance is the role of SMEs in the integration of the economies of the 10 new EU member states Bengt.Henoch@ing.hj.se

17. Effects from Effects from Effects from Effects from Requirements on Requirements on Requirements on Requirements on major investments in the supply chain technology trends and changes infrastructure changes competition and market “Value chain” – “Time” diagrams Value chain (to) 1 Value chain (t1) 2 Value chain (t2) 3 Value chain (t3) 4 Bengt.Henoch@ing.hj.se