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Innovation Assistant Program for SMEs

This program focuses on fostering innovation capabilities within small and medium enterprises by providing support through a newly graduated innovation assistant. The assistant works on specific innovation projects within the SME, with funding covering a maximum of 15 months. The program includes labor cost grants, mandatory training, project-related training costs, and coaching and monitoring funds. Mid-term results show positive outcomes such as job creation, revenue growth, and increased investments in companies funded through the program.

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Innovation Assistant Program for SMEs

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  1. Establishing partnerships and maximising synergies Promoting knowledge transfer: networks and exchanges Example: “Innovation Assistant” Irma Priedl Amt der NÖ Landesregierung

  2. Niederösterreich – some geographical & structural data • Largest province of Austria • 1.55 mill. Inhabitants • Area of 19.174 square km • Approx. 7% unemployment rate • Very heterogeneous economic structure

  3. Continuous improvement process of Regional Innovation System NÖ … was initiated in 1997 with the development of the Regional Innovation Strategy Lower Austria Vision:Establishment of NÖ as „Top“ innovation region in Europe Development of the holistic Regional Innovation System Development of theRIS NÖ Strategy Implementation ofthe RIS NÖ Strategy • Achieving consensuson the orientation of the RIS Strategy Lower Austria • Definition of 5 strategic corner pillars for RIS Lower Austria • Definition of role allocation of the regional actors • Start of implementationof strategic cornerpillars • Start and realisation of projects that complement the corner pillars • Orientation of the Obj. 2 New and INTERREG IIIa Programme towards the Regional Innovation Strategy Lower Austria • Intensification of cooperation of enterprises, research and administration in Lower Austria in the field of innovation • Sharpening the innovation profile of Lower Austria and international positioning of the region • Establishment of Lower Austrian innovation system as European benchmark • Positioning and Lead of Lower Austria for an innovation strategy „Vienna Region“ 2004 2008 2001 1999 1997 1999 2001 2002 2008

  4. RIS++ NÖ: Basic information • Regional Program of Innovative Actions (RPIA) Lower Austria : 2002 to 2004 • Total Budget: 6.000.000 Euro • Strategic themes: • Regional economies based on knowledge and technological innovation • the information society at the service of regional development • Actions: • Dialogue Science – Economy – Policy & Administration • Innovation Assistant • Experts dialogue • Strategic User Value Orientation • IT Pilot-Projects for B-to-B Solutions • Pre-Seed Acceleration for Technology Based Firms

  5. Innovation assistant Objectives / Frame conditions: • Fostering the innovation capability and culture within SMEs • Stimulation of SMEs, especially with no or little experience with graduated employees, • Innovation assistant must be a new employee and recently graduated (university or university of applied sciences). • Innovation assistant has to be employed for a specific innovation project • Implementation of a specific innovation project within the SME (R&D, internal management and organisation, communication and information). • Funding for a maximum of 15 months • open for SMEs of all sectors of industry and industry related services

  6. Innovation assistant type of support • Grant of the labor costs of the innovation assistant (50% for the first 8 months of employment, 35% for further max. 7 months) with a maximum amount of € 18.385,-; • Mandatory training of the innovation assistant by a specially designed post graduated training program established at the Danube University Krems (100%) • Grant of max. 50% of costs for project related, accompanying trainings up to € 3.000,-; • Funding of project and innovation assistant coaching and monitoring (100%, max. € 5.240,- ) by an external consultants.

  7. Innovation assistant mid term results • Duration: • 2002 – 2004 within the Regional Program of Innovative Actions (RPIA) Lower Austria • 2004 – 2006 within the standard funding programme of the department of economy and technology of the Lower Austrian Government • Since July 2005 mainstream to the Obj. 2 programme of Lower Austria • Results: • 6 rounds are approved • 49 innovation assistants are on their job

  8. Companies participatingin the evaluation • companies represent the following sectors: • Production: • air conditioning and heating technology, • machine building, • food preparation, • wood construction, • special chemistry • Service: • information technology, • innovation management consultancy etc.

  9. Companies participatingin the evaluation • Funding projects carried out by the Innovation Assistants: • Development of new construction elements, • construction of technical devices • Supply Chain optimization, • introduction of logistics monitoring system • Patenting of new production methods

  10. Stimulating effectof the funding programme

  11. Stimulating growthin the companies funded

  12. Development of turn overin the companies funded PLUS 5%-50% PLUS 5%-50% PLUS 5 % - 50 %

  13. Development of earningsin the companies funded PLUS 3%-30% PLUS 5 % - 50 %

  14. Employment effectof the funding programme 1-6 new jobs Production, R&D, order processing, sales department, new business field, etc.

  15. Companies´ investments stimulated by the funding programme Average investment volumeca. 200.000 € In 1000 €

  16. Strengthening the competitivenessof the companies funded

  17. Development of innovative products / services

  18. Competitiveness in the home market / in export markets

  19. Technological positioningof the companies funded

  20. Building innovation networksstimulated by the funding project

  21. Stimulation ofcooperation culture

  22. Know-How transferthrough new cooperations

  23. Organisational developmentof the companies funded

  24. Introduction of modern project management methods stimulating further innovation 100 %of the participating companies are planning further innovative projects after the the end of the funding project

  25. Professional prospectsof the Innovation Assistants

  26. Summary (1) • Strengthening of competitiveness • ca. 80 % innovative products / ca. 20 % innovative processes created during funding project • ca. 80 % significant technological improvements • Improvement of market position • ca. 2/3 in the home market, ca. 1/3 in export markets • Introduction of modern management methods • More than 90 % improved their project management • Ca. 80 % organisational change activities • Stimulation of cooperation culture and know how transferMore than 50% established new long term cooperations, 50% improved collaboration with RTD and/or universities

  27. Summary (2) • Growth of the companies funded • More than 85 % created new jobs • More than 70 % with rising sales • More than 50 % with rising earnings • Stimulation of companies´ investments • In average additional investments amounting 200.000 €in each company funded • Innovation Assistents turned into important kwow-how owners and perspective managers in their companies!

  28. Experiences Pilot-Project -> Implementation • Consulting -> accompanying evaluation • The consulting foreseen in the pilot phase was transferred into an accompanying evaluation. • Upgrade of the training programme • From a workshop concept to a academic training course. • Project description • A meeting at the very beginning between regional authority and interested SME enables to improve the project setup. • Mobilisation • Still hard to mobilize SME with 50 to 100 employees to take part in the programme

  29. Thank you for your attention ! • Irma Priedl • Amt der NÖ Landesregierung • Abteilung Wirtschaft und Technologie • 3109 St. Pölten, Landhausplatz 1 • +43 2742 9005 - 16123 • Post.wst3-w@noel.gv.at

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