Workshop Human capital contribution to regional development

1. International ConferenceFostering and building human capital for sustainable knowledge societies in South Eastern Europe Workshop Human capital contribution to regional development Towards learning regions and communities Bucharest, March 6, 2009

2. What makes a region innovative? Introduction: Topical issues and definitions Josef Hochgerner Centre for Social Innovation, Vienna • Region • Innovation • Development • Human capital • Innovative region

3. Development Region Innovation Human capital • Objectives: • Decreasing disparities? • Growth & trickling down? • Measures / policies: • Improving tangible and • intangible infrastructure • Ownership & investment • Understanding in the case of the workshop: • Intra-national • and • Cross-border • regions Components of innovative regions ... „Acquired and useful abilities“ – in particular knowledge. Improving human capital is a necessary but (alone) insuffcient pre-condition to fully gain benefits from the knowledge triangle (educ./research/innov.) Comprehensive concept of innovation: Effective solutions in technology, economy and social systems – adapted to regional requirements and specific capabilities ... embedded in the „Learning Society“ Puts knowledge at the core of society

4. Innovative region Basic Essentials • Strategy formation (analysis for finding a vision and strategic objectives) • Policy deployment & implementation of practices (tools, governance, money) • Practices at programme and project levels (management, monitoring, use results) Lessons learned from case studies in comparison and benchmarking • Awareness among stakeholders and continuity of processes • Networking in the region, supporting bottom-up initiatives (critical mass!) • Innovation in the centre of a vision, assignment of funding for RTDI (Research, Technology Development and Innovation) • Accountability of decision makers, requires independent evaluation • Learning in public and private institutions (incl. NGOs) necessitates stimulation and facilitation – focus in education on professional training for all age groups Three legs of the „knowledge triangle“: innovation research education

5. The „ProAct policy learning cycle“Essentials to create an innovative region „ProAct“ is the abbreviation for „Practical Regional Research and Innovation Policy in Action“, a project that has been supported by the European Commission under the 6th Framework Programme in its specific programme „Regions of Knowledge II“. - Information:http://www.proact-network.net

6. Definition of the „Learning Society“ „The learning society • puts knowledge at the core of society • with a new mode of production and consumption • where knowledge is the predominant source of value-added • with new rules of governance and distribution. The learning society increases people’s degrees of freedom by giving people more effective means for using their competencies.“ Irish EU Presidency Conference on “Foresight for Innovation”, European Foundation for the Improvement of Living and Working Conditions, Dublin, 2004

7. „Learning Regions as instrument for regional innovation“Klaus ThienAustrian Institute for Adult Education

8. What are Learning Regions? • „Learning regions“ means the networking of different regional stakeholders with the aim • To adjust demand & supply in the fields of research & learning • To improve human capital and the regional knowledge base • To foster concrete cooperation = projects • Stakeholders come from • Research, education: universities, educational institutions • Economy: enterprises, SMEs • Governance: GOs, regional development agencies • Strategic approach in the fields of Research & Learning • Status quo, goals, means

9. The Learning Region Cycle Strategy formation Practices = Projects Network (incl. policy deployment)

10. Principles • Knowledge & human capital are ressources for economical, social and cultural welfare / qualitiy of life in post-industrialized societies • Regional approach has certain advantages • Endogenous potentials are used • Bottom-up-principle ist kept  network • Cooperation of different fields fosters development of a „creative milieu“ • „Regional reflection“ (identity, SWOT) is part of the future-fitness

11. Learning Regions in Austria • Focussed on „life long learning“ • Main Goal ist to „bring education nearer to the people“ (spatial, mental, social, barrier-free) • Outcome are Trainings, Councelling, Marketing, Knowledge Management et al. • Learning of individuals, institutions and the region as a whole is intended • Small Regions - LEADER-Regions (below NUTS3) Networks can be handled (< 40 members) • Part of the European Programm for Rural Development 2007-13 Only rural regions • Cooperation with other Programms (esf) • Strategy formation within 3 to 9 months

12. Lessons learned from case studiesin comparison and benchmarking • Awareness among stakeholders and continuity of processes importance of management & confidence building • Networking in the region, supporting bottom-up initiatives (critical mass!) networks are accessible, responsibility for networking (management) • Innovation in the centre of a vision and assignment of funding strategy is the structural core of the Learning Region • Accountability of decision makers, requires independent evaluation integration of policy into networks • Stimulation and facilitation of learning in public and private institutions (incl. NGOs) institutional learning ist provided by interchange of network-members

13. Overview of the three policy learning processes:Identification of „areas of practices“ and „benchmarks“ 6 areas of practices: Finding a vision, stakeholder involvement, coordination, emphasis on innovation, balancing regional-national-EU-policies, dealing with risks 15 Benchmarks, highlighting the practices in more detail (an example follows) Policy learning process 1: „Strategy formation“ Policy learning process 2: „Policy deployment & implementation“ 6 areas of practices: Research & innovation programmes, governance principles, networking of organisations, finances: „The way the money goes“, evaluation, learning & feedback loops 12 Benchmarks, highlighting the practices in more detail (an example follows) Policy learning process 3: „Practices on programme level“ 7 areas of practices: Decision on programs & initiation, transparent proposal calls, management responsibilities, documentation, monitoring, auditing, sharing project & programme experiences 12 Benchmarks, highlighting the practices in more detail (an example follows)

14. 1st Example of benchmarks From policy learning process 1: „Strategy formation“, • Area of practice:„Stakeholder involvement“ (1 of the 3 benchmarks in this area) • Benchmark: • „Important stakeholders are involved • in finding the vision and the main strategies“ • The practice exists sufficiently, if • All the stakeholders take part in the strategy design process; and • Their views are taken into account in the regional strategic documents, and • The main elements of the consolidated strategy are accepted by the stakeholders • The practice exists partially, if • There are some important stakeholders whose views are not taken into account; or • Some stakeholders were asked, but their views are not refelcted in the documents • The practice does not exist, if • Stakeholders were not consulted when the region‘s vision / strategy was drafted

15. 2nd Example of benchmarks From policy learning process 2: „Policy deployment“,  Area of practice:„The way the money goes“ (1 benchmark in this area) • Benchmark: • „Appropriate financial governance“ • The practice exists sufficiently, if • The financing of regional programmes is fluid (i.e. no obstacled or bottlenecks); and/or • The budgetary situation of the region is stable • which contributes to the programmes being financed • The practice exists partially, if • While the budgetary situation of the region is stable, • financing some programmes is not guaranteed • The practice does not exist, if • Programmes and projects are under-funded

16. 3rd Example of benchmarks From policy learning process 3: „Practices at programme and project level“,  Area of practice:„Audits“(1 of 2 benchmarks in this area) • Benchmark: • „Audit systems are in place“ • The practice exists sufficiently, if • Programmeaudits take place; and • There are (will be, if necessary) consequences of audits • The practice exists partially, if • There are programme audits but no consequences take place; or • For some programmes audits take place • while other programmes do not implement audits • The practice does not exist, if • There are no audit systems

17. Questions • Which term of “region” is useful for networks in the field of knowledge, learning and innovation in SE-European countries? • Is regional development in SE-European countries a question of developing human capital at the moment? • If yes - Is „LEARNING REGIONS“ a model that should/can be used in SE-European countries? Which barriers exist? • Is the introduced model of policy-processes, areas of practices and benchmarks useful to identify the main factors for regional development? • Which institutions, infrastructures and policies can be found in SE-European countries for establishing LEARNING REGIONS? • Which cultures of institutional trust and cooperation exist? • What are the first steps to introduce LEARNING REGIONS?

18. Thank you for your attention! Josef Hochgerner Centre for Social Innovation Linke Wienzeile 246 A - 1150 Vienna Tel. ++43.1.4950442 Fax. ++43.1.4950442-40 email: hochgerner@zsi.at http://www.zsi.at Klaus Thien Austrian Institute for Adult Education Schimmelgasse 13 A – 1030 Vienna Tel. ++43.1.5322579-11 email: klaus.thien@oieb.at http://www.oieb.at