Smart Specialisation Strategies at Regional Level: The Berlin-Brandenburg Experience

1. Smart Specialisation Strategies – experiences at regional levelKathrin Lehmann, Unit Cluster and Innovation Promotion Example: Joint Innovation Strategy Berlin-Brandenburg, Germany (innoBB) WS Oslo 12 Jan 2016 K. Lehmann/MWE 1

2. Population: 6 million • Area: ca. 30.000 km2 (~ Belgium) • 2,6 m Working population • 170 bn EUR GDP (2013) • GDP per capita (2013) • 106 % of EU-28 average 2

3. Top spot in the European research landscape but… An excellent range of science and research facilities: • 8 universities • over 30 universities of applied sciences • over 90 research institutes • 42 technology centres Private investment in R&D • a broad range, but not enough • lack of resources (including capital) Knowledge + technology transfer • Planned development and optimisation of structures 3

4. Similar Situation 2006 (I) • Berlin • Strategy: Coherentinnovationstrategy • Competence fields: • Medical technologies/Biotechnology • Transport technologies • ICT/Media • Photonics • Energytechnologies • Brandenburg • Strategy: Regional Innovation Concept • Sector Competence fields: • Biotechnology/Life Science • Aerotechnics • Media/ICT • Automotive • Energyindustry • Geodataindustry • Timberindustry • Plastics • Logistics • Metall/Mechatronics • Mineral oil/bioenergy • Paper industry • Railwayindustry 4

5. Similar Situation 2006 (II) • Berlin • Strategy: Coherent Innovation Strategy • Institutions: • Senate (Economy, Science, Health, Urban Development) • Business Promotion Bank Berlin (Investitionsbank Berlin) • Innovation Agency Berlin (Technologie Stiftung Innovationsagentur GmbH) • Regional Development Agency (Berlin Partner) • Chambers (Commerce, Craft) • Brandenburg • Strategy: Regional Innovation Concept • Institutions: • Ministries (Economy, Science) • Business Promotion Bank Brandenburg (Investitionsbank Brandenburg) • Regional Development Agency (ZukunftsAgentur Brandenburg) 5

6. Similar Situation 2006 (III) • Berlin • Strategy: Coherent Innovation Strategy • Aims: • Strengthen Core Competencies • International Competitiveness • Innovative projectsandproducts • Conveysettlements • Sustainablegrowth • Capital Region • Brandenburg • Strategy: Regional Innovation Concept • Guidelines: • Capital Region • Brand profilingwith innovative sectors • Compatible Companies (start-upsandsettlement) • Future safeguardingframework (technologytransferandfundingschemes) 6

7. Initial situation • Berlin and Brandenburg pursuethe same goals in innovationpolicywithsimilarstructures/fundingstructuresandinstruments • Innovation Strategiesofbothfederalstateshave a strong overlap in severalfieldswithcomplementaryresourcesand substantial potential forsynergies • Requirementforusingthesynergies: Both States recognizetheregionasonescienceandeconomicarea, thatcanbefurtherdevelopedwithintheframeworkof a jointinnovationstrategy • Aim: comparabilitywithothermetropolitanareas • path: Development ofjointstrategiesforthefuturefieldsof excellence andrecommondationstoboth States • Basis andmethodologyare transregional masterplans, networksandprojects 7

8. Development process / milestones 2007Identificationof 5 strategic innovative futurefields Basis:Coherent Innovation Strategie Berlin and Regional Innovation Concept Brandenburg 12/2007 Innovation Top level-Talk 05.12.2007 - Mandate ofthe States to TSB and ZAB forthedevelopmentofthejoint innovationstrategy - cooperationagreementof TSB and ZAB 2008Draftjointinnovationstrategiesforthe 5 futurefieldsandidentificationofleadprojects Since 11/2008 Innovation summit 2008 – 2014 tospecialtopics, i.e. 2009 jointfundingandtechnologytransfer 8

9. History: Strategic approach and guidelines 2007 Identification of five Future Fields of Excellence 2008 Elaboration of strategic guidelines for the five Future Fields of Excellence; identification of nine pilot projects, based on work with the listed strategies and the corresponding experience gained 2009 "Cross-border" commitments for joint financing of RTD as well as for the technology transfer 2010 Cluster development  Continuation of smart specialisation 2011 The innovation strategy decided on 21.6.2011 by the Senate of Berlin and the Brandenburg Cabinet Biotechnology/ Medical technology/ Pharma ICT/Media Photonics Transportsystem technologies Energytechnologies 9

10. Cluster Transport, mobility, logistic Healthcare Industry Energy technologies ICT, media and creative indust. Photonics Cross-sectional topics Production and automation technology New materials Clean technologies Security Strategy/ innovation profiles Knowledge & technology transfer International inter- connectivity Marketing/ shaping the profile Infrastructure Public promotion and funding Political framework 10

11. Governance I • Annual "innovation summits" contribute to regular knowledge transfer in the areas of science – business – politics • Development and update of innoBB by steering committee of the Berlin and Brandenburg State Secretaries responsible for the areas of economy and science • Decision-making process on RIS priorities in the triple-helix approach (business-science-public administration), social partners are included via cluster advisory boards • Implementation of innoBB is the responsibility of Berlin Partner fürWirtschaft und Technologie GmbH (BPWT) and ZukunftsAgentur Brandenburg GmbH (ZAB), and the joint cluster managements 11

12. Governance II • Close cooperation with the relevant actors from companies, universities and non-university research facilities, as well as networks, chambers of commerce… • The clusters are each represented at an operational level by a cluster representative and a cluster manager • Master plans define lead (flagship) projects and milestones, taking into account market developments and regional strengths • Four jointly-identified cross-sectional areas (materials, clean technologies, production and automation technology, as well as security) act as innovation drivers 12

13. innoBB organisation – allocation of tasks 13

14. Requirements for a successfulprocessofclusterdevelopment • connectionofinnovationpolicyespeciallywithindustrialpolicy, researchandeducationpolicy • Critical massof innovative companiesandscientificinstitutionsnearby • Affinität throughaddedvaluechainsandapplicationofidenticorsimilartechnologies • Prospectsfordynamicgrowth (aboveaverage) due to innovative strengths, especially USPs andcomparativeadvantages • Strategic orientation on international growthmarkets • Business promotionconcentrats on clusters • „greatstaying power“, Evaluation and Monitoring 14

15. Structures for realization: assessment criteria • AdequatetotheSteeringoftheinnovationprocess in thewholeeconomicarea Berlin-Brandenburg • Suitableforthefundingbodyforprojectswithtwo-states-funding • Symmetricallysetted/arrangedrelatingtothebothstates • Clear structuresofleadingandresponsibilities • Compatiblewiththeone-stop-agency-ConceptoftheEconomic Development Agency in Brandenburg • ManageableExpanditurefor Implementation (time, costs, decisionprocesses) • Avoiding double-/multiple structures 15

16. Main RIS3 objectives I • Focus on clusters, with the objective of increased GDP, and employment greater than the national average • Work on strengths, promote regionalisation • Increase private R&D investment • Promote internationalisation • Accelerate technology transfer, esp. implementation in business of scientific findings • Secure and develop skilled employee base • Drive sustainable innovations 16

17. Objectives II • Accelerate business-oriented cluster development • Strengthen and further develop value added chains in the clusters • Promote cross innovation • Implement cluster monitoring and impact monitoring • Increase international recognition and networking • Implement precision-targeted innoBB via master plans that are flexibly adapted to requirements 17

18. Why these priorities? - I • Two to three-level nature of innoBB • innoBB - setting of basic priorities based on an evaluation of previous priorities (sector competence fields, competence fields, future fields), inclusion of political representatives, intermediaries, stakeholders • Master plan process in each of the clusters: sector-specific SWOT, sector-specific focus (intensive inclusion of cluster actors from business and science across various cluster formats, Web-based participation platform) 18

19. Why these priorities? - II • Regionalisation process, particularly in Brandenburg: regional SWOT, regional focus based on innoBB and clusters (intensive inclusion of regional companies - especially small and medium-sized companies, and regional intermediaries) • Links between levels of the governance structure and feedback loops are decisive • Our priorities result from processes in the region 19

20. Implementation and budget - I • innoBB is implemented via master plans for every cluster created in participative processes (including via area of activity conferences, Internet consultation) and communicated and discussed via the event formats • Standard structure of master plans, taking into account cross-sector themes • Cluster management is responsible for implementation • Berlin and Brandenburg define the framework as well as monitoring and checking implementation 20

21. Implementation and budget - II • All the relevant guidelines for business and innovation funding programs have been aligned primarily for implementation of innoBB • innoBB is included in all operational programmes of the EU structural fund (EFRE, ESF, EPLR) as well as in strategies for other portfolios (including sustainability strategy) - financial contribution by companies • Policy mix of financial and non-financial support options • One area of focus of the RIS is to initiate additional cooperation projects (e.g. between business and science) • Budget for cluster work in 2015: around 10 million € (Berlin and Brandenburg) 21

22. Measuring progress • Joint, regular meetings of working group from the federal state ministries responsible for economy and science as well as from the science and technology support facilities responsible for cluster management • Economic cluster monitoring based on official statistics (number of businesses, turnover, number of employees) • Impact monitoring of cluster support - completion middle of 2016 • Monitoring should enable assessment and fine-tuning of innoBB 22

23. Results • Multitudeofnewcontactsbetweencompaniesandscience in Berlin and Brandenburg andbeyondthat • Multitudeofnew (joint) topicsandnewprojectsalongtheaddedvaluechainswithintheclustersandcross-sectional • Awarding additional fundingfromfederaland EU-level 23

24. Thank you very much! Kathrin Lehmann kathrin.lehmann@mwe.brandenburg.de www.innobb.de 24