Estonian Ministry of Education and Research

1. Estonian Ministry of Education and Research KNOWLEDGE-BASED ESTONIA 2007-2013 Estonian Research and Development and Innovation Strategy Dr. Indrek Reimand Head, research policy department

2. Outline • Estonian Research and development and innovation strategy for 2007 – 2013 • Background and current status • Towards entrepeneurial university / entrepeneurial research university

3. Research and Innovation Policy • Documents • Action Plan For Growth And Jobs 2005–2007For implementation of the Lisbon Strategy • R&D&I strategy 2007 – 2013 with implementation plan • Higher education strategy incl internationalisation • Measures • State Budgetary Strategy 2008 -2011 • National Strategic Reference Framework (NRSF) 2007 – 2013 for implementation EU structural funds

4. KNOWLEDGE-BASED ESTONIA 2007-2013 Estonian Research and Development and Innovation Strategy - objectives • the competitive quality and intensity of research and development; • innovative enterprises creating new value in the global economy; • an innovation friendly society aimed at long-term development.

5. KNOWLEDGE-BASED ESTONIA 2007-2013 main indicators (2013) • R&D personnel : 8 researchers and engineers per 1000 labour force • R&D intensity 3% of GDP (2014), • Publicly financed 1,4% • Number of scientific publications 1200 • Number of patents 45 per million inhabitants

6. KNOWLEDGE-BASED ESTONIA 2007-2013 measures • The objectives set in the strategy will be achieved through four measures: • development of human capital; • efficient organisation of public sector RD&I; • increasing enterprises’ innovation capacity; • policy-making aimed at long-term development of Estonia. 2013: GERD 3% from GDP

7. R&D expenditure, current situation • In2001-2005, R&D expenditures enterprise sector (BERD) grew on average 31% per year, being the highest in EU(incl 42,2% growth in 2004 and 45,5% in 2005; 70% growth of GERD in 2005 came from BERD). • The growthof totalR&D expenditure (GERD) of Estonia has also been in 2001-2005 the fastest in EU reaching on average 21% per year. • R&D financing from foreign sources ca 17%, in public sector in 2006 growth 27% • Not equally good situation with research personnel 7

8. R&D in Estonia (2005) R&D expenditure: GERD (% GDP): 0.941.13(2006)EU25 1,85 BERD (% GERD): 46 EU25 64 Financing:44 %(Gov), EU-27 35% 38 %(Enterprise sector), EU-27 54% 17 %(Abroad) Number of researchers (FTE per 1000 workforce): 5,0 Source: Estonian Statistical Office 8

9. R&D expenditure % GDP

10. Number of researchers 10

11. Private sector R&D personnel and researchers in FTE versus R&D expenditure 2002 - 2005

12. Public sector R&D personnel and researchers in FTE and R&D expenditure 2002 - 2005

13. Character of public financing • 1990 ies: quality research in existing fields • About 2000: major growth in enterprise R&D support • 2006 onwards: infrastructure reconstruction • 2008: major growth in human factor support • In future: major international activities

14. Problems • Still too small GDP per capita • Too small R&D financing per Researcher (slide) • Brain drain • Researcher’s career is not popular • Too few new graduates with doctor’s degree and engineers with requested qualification • Outdated infrastructure for R&D and higher education • The economy is dominated by low technology enterprises , which does not need much reasearch and development

15. NO KNOWLEDGE – NO FUTURE • Valid also for Estonia • Cost advantage for cheap workforce is vanishing fast • Brain Drain -- EU’s market for workforce is opening How to maintain current high speed of growth

16. Entrepeneurial research based university • Good ambition • … not defined in Estonian strategies • Strategic plans approaching it • Lisbon strategy, ERA green paper, Estonian RD&I strategy etc. • Estonian research policy • During reform years institutes were merged with universities • Knowledge Based Estonia follows very much triple helix idea: education – research – business • Relevance of research to economy and society as a distinguished value, raising the third mission idea of universities

17. Measures related to gap btw academia and business • SPINNO • R&D projects support of enterprises • Competence centres programme • Science parks • Recruitment of development staff/ innovation specialists (researchers, engineers, designers etc) in the companies • Training of employees, counselling of companies in the field of technology, innovation audits, diagnostics • Innovation projects with smaller volume and technological risk (e.g. testing and certification, design, prototyping, quality management, introduction of ICT etc) • Cluster development (cooperation projects in the field of training, product development as well export marketing) • National R&D programmes

18. Measures related to gap btw academia and business (2) • On general level, several issues still need solution • IPR questions • Applied research quality evaluation • Vertical priority setting and top-down implementation schemes • Infrastructures sharing • International activities (technology platforms etc)

19. Entrepeneurial research based university • I warmly welcome the ambition and the initiative of Tartu University Thank you for the attention!