Håkan Ylinenpää Entrepreneurship & Innovation/CiiR Luleå University of Technology

1. Innovation and Entrepreneurship Håkan Ylinenpää Entrepreneurship & Innovation/CiiR Luleå University of Technology Nairn, Scotland, Feb 27th, 2013

2. Five megatrends affectingbothmetropolitan and non-metropolitan areas: Service and knowledge-basedsociety Globalisationofoureconomy An aging population New migration patterns Global warming

3. Non-metropolitan areas – some characteristics Sparsely populated – higher transaction costs and lack of critical mass Insufficient infra structure ‘Brain drain’ – need for external impulses Cyclic industries … Few but obvious/distinct entrepreneurs Well developed local networks Living conditions attracting people Natural resources ….. ? !

4. Some challenges for non-metropolitan areas • Developentrepreneurship and innovation based on ICT and digital innovation • Exploit the dynamics inherent in ”locomotives and wagons”. • Develop regional leadership and collaboration • Glocalisationstrategiescombininglocalbuzz and global pipelines • Develop regional strategies – innovation and/or arbitrage?

5. Developentrepreneurship and innovation based on ICT and digital innovation

6. Exploit the dynamics inherent in ”locomotives and wagons”.

7. Selecting partners… Effectiveness (”to do the right things”) Many structural holes + “weak ties” Few/no structural holes No ”weak ties” Loose structure, Tight structure, low contact high contact frequency frequency Efficiency (“to do things right”)

8. Develop regional leadership and collaboration Academia (Universities, research institutes) Industry & business (Large & small companies) (Local, regional, national, & supra-national) Government

9. Recognition of differences across sectors Sector Contribution (Expected) reward Industry Commercial competence Competitive advantage on the - focusing profitability market - focusing utility New business contacts and - focusing (short) pay-off agreements Government Public economy compe- Competitive advantage for tence focusing the region (nation) - long-term goals New jobs, higher tax reve- - overview and systems nues, etc. perspective - ‘lubricants’/resources University Research competence Academic competitive - focus on development advantage of academic knowledge Image and reputation - analytical skills Funding Source: Ylinenpää 2004

10. Commitment Commercial firms Research Public sector Time CP1 CP2 Initiation Scientific development Commercialization

11. Förpliktelser Kommersiella företag Forskning Offentlig sektor Tid CP3 CP1 CP2 Inite-ring Vetenskaplig utveckling Kommersia-lisering • Right actors? • Heterogenity/ homogeneity • Bridges • Weak ties Radical or incremental innovation/copy-cat strategy? Have we established structures for commercialization? Have we plans for market launch? Companies involved? Have we secured ”life after death/ project end? Clarified contributions & rewards? Trust or contract? Have we prepared shifts in leadership? • Counteracting tunnel vision? • Benchmarking • Lead user innovation • Open innovation • Brainstorming IPR, licenses, exploitation contracts etc? Do we offer “low hanging fruits”?

12. Glocalisationstrategiescombininglocalbuzz and global pipelines

14. Develop regional strategies – innovation and/or arbitrage?

15. Ylinenpää 2012. In Johannisson, B. & Lindholm Dahlstrand Å. (Eds.), Enacting Regional Dynamics and Entrepreneurship. Rutledge.

16. Centre for Interorganisational Innovation Research (CiiR)

17. Research areas • Exploring and exploiting digital innovation and ICT (WP1) • Utilizing the dynamic interaction between ”locomotives and wagons” (WP2) • Using knowledge/technology as a base for regional development and cooperation (WP3) • Capitalizing on opportunities for innovation and business through international links and ICT (WP4) • Measuring and tailoring regional dynamics in innovation systems (WP5)

18. WP1: Exploring and exploiting digital innovation and ICT RQ1: What are the impacts of digital innovation on regional and national inter-organizational innovation networks, and what are the implications to policy-making? RQ2:How can IT-related inter-organizational innovation networks be designed and managed in order to open up to organizations with different geographic scopes, organizational sizes and value chain positions? RQ3: How can policy making in a more effective and conscious way understand and take care of the implications of digital innovation? RQ4: How can innovation and arbitrage opportunities be pursued in the context of digital innovations? WP2: Utilizing the dynamic interaction between “locomotives and wagons” RQ1: How could systematic linkages between 'locomotives' and 'wagons' be understood in regional networks and innovation systems? RQ2: How can the interaction between 'locomotives' and 'wagons' be understood? RQ3: If and how can important outcomes be linked to 'locomotives' and 'wagons'? RQ4: To what extent is it possible to characterize larger firms (or organizations) as the natural 'locomotives' and smaller firms represent the 'wagons'?

19. WP3: Using knowledge/technology as a base for regionaldevelopment and cooperation RQ1: What kinds of conditions can be found in different types of innovation systems? RQ2: What conditions must be in place for knowledge sharing in innovation systems to contribute to regional development, e.g. as product-service innovations? RQ3: What are the conditions of different cross-sector university centres as nodes for collaboration in innovation systems? WP4: Capitalizing on opportunities for innovation and business through international links and ICT RQ1: What practise can we learn from successful international innovation systems? RQ2: What can be the strategic roles of business networks and knowledge hubs in innovation processes? RQ3: What is characterizing innovation processes RQ4: What are relevant criteria for the assessment of successful international innovation processes?

20. WP5: Measuring innovation system potential and outcomes RQ1: If and how can actual and potential opportunities for innovation and arbitrage be measured and analyzed at the organizational, regional and national level? RQ2: What are the similarities and differences between different Swedish regions and Swedish innovation systems for innovation and renewal? RQ3: How can policy in a more effective and conscious way use regional variance referring to innovation and arbitrage opportunities to facilitate regional development? RQ4: How can policy use sectoral and regional variance to initiate more effective policy interventions?

21. Partners • Entrepreneurship & Innovation (LTU), • Product Innovation (LTU) • Informatics (UmU) • Umeå Business School (UmU) • CERUM (UmU) • EISLAB/ESIS (LTU) • ProcessIT Innovations (LTU, UmU) • CDT (LTU)

22. BOARD OF DIRECTORS Per-Erik Sandlund, GD Foreign Ministry Sweden (chair) Sara Öhrvall, R&D Dir. Bonniers Johan Sterte, Vice-chancellor LTU Lars Hassel, Vice-chancellor USBE Henry Tham, Ledningskonsulterna Magnus Lagerholm, VINNOVA/Swe-den’s Innovation Agency (assoc.) ADVISORY BOARD Professor Erkko Autio, Imperial College, London, UK Prof. Nicola Bellini, Director IRPET, Italy Professor Kalle Lyytinen, Case Western Reserve University, US Professor Pontus Braunerhielm, CEO Entrepreneurship Forum, Stockholm, Sweden Professor Anders Lundström, The Swedish Agency for Growth Policy Analysis/PEER, Stockholm Professor Ewa Gunnarsson, Luleå University of Technology, Luleå

23. More information: Centre for Inter-organisational Innovation Research (CiiR) Håkan Ylinenpää; professor Joakim Wincent, professor ETS, Luleå University of Technology SE 971 87 LULEÅ, Sweden www.ciir.se