Daniela Fritzen, Simone Gerdesmeier Innovation, change and decision-making in international organisations

Daniela Fritzen, Simone Gerdesmeier

Innovation, change and decision-making in international organisations

Innovation in Europe

1. Introduction to recent EU investment programmes in R&D- Green Paper on innovation- European Councils in Lisbon, Barcelona and Brussels- Sixth Framework Programme- European Action Plan

2. Innovation focus of the EU- innovation policy- supported project

3. Candidate Countries/new members- CC6 and CC7

4. Europe’s position in the world of innovation


1. Introduction to recent EU investment programmes in R&D- Green Paper on Innovation- European Councils in Lisbon, Barcelona and Brussels- Sixth Framework Programme- European Action Plan


3. Candidate Countries/ new members- CC6 and CC7

4. Europe`s position in the world of innovation


1.Introduction to recent EU investment programmes in R&D

1995: Green Paper on innovation- EU definition of innovation

2000 Lisbon European Council- EU should become the most competitive and dynamic knowledge-based economy in the world by 2010

2002 Barcelona European Council- raising investment in R&D to 3% of GDP until 2010

2003 Brussels European Council- reviewing progress towards Lisbon goal

1. Introduction to recent EU investment programmes in R&D


Sixth Framework Programme on Innovation (FP6)

- FP1 in 1984

- FP6: development of a European scientific community

supporting scientific and technical work of high quality

EU plans to distribute 17.5 billion Euro in RTD

3rd largest operational budget 3.9% of EU`s overall 2001 budget

creation of the European Research Area (ERA)



Sixth Framework Programme on Innovation (FP6)

FP6 Main Components

FP6 Basic Principles

IntegratingEuropean Research

Structuringthe European Research Areas

Strengtheningthe foundations of the ERA

Concentratingon selected priority

research areas

Structuring effectthrough stronger links withnational, regional and other

European initiatives

CoordinationSimplification



European Action Plan

-raise investment from 1.9% to 3% of GDP

-2/3 out private investment

-additional GDP growth and 400.000 additional jobs

-gap in research investment between USA and Europe: 120 billion Euro p.a.

1.Introduction to recent EU investment programmes in R&D



Strategies (I)1. Progressing jointly: EU technical platforms

mutual learning coherent mix of policy instruments

2. Improving public support to research and innovation:making excellent researchers availabledesigning a favourable regulatory environment co-operation between public research and industriesimproving mix of public financing instruments




Strategies (II)3. Redirecting public spending towards research and innovation

Stability Growth Pact and broad economic guidelines 2003-2006public procurement

4. Improving framework conditions for private investmentIPRmarket regulations, competition rules, financial markets, tax conditions, co-operation management, reporting of research









2. Innovation focus of the EU



Innovation policy (I)

Five objectives:

1. Ensure the coherence of innovation policies2. Set up a regulatory framework conducive to innovation3. Encourage the creation and growth of innovative enterprises4. Improve the key interfaces in the innovation system5. Move towards a society which is open to innovation



Innovation policy (II)

Impact of industrial relations (IR) on innovation

Effects of employee participation on innovation processes



Innovation policy (III)

Five different styles of industrial relations systems:1. Market: predominance of values exalting individual freedom; IR

are developed on a voluntaristic basisno strong involvement of IR in innovation strategy

2. Conflict: antagonistic conflict of interest between IR partieslow involvement in innovation strategies and policies

3. State: regulation depends on public governanceIR play only a secondary role in the innovation strategy

4. Co-ordination: social partners discuss non-market arrangementscomplex rules govern the linkages between IR settings and innovation issues

5. Co-operation: long-term ‘positive-sum’ conceptions of the common interest between all organised actorsstrong involvement of IR system in the field of innovation





Question:

Which projects concerning innovation and R&D does the EU support?

Which sectors does it concentrate on?



Supported Projects (I)

eight specialised institutes in the Unions Joint Research Centre (JRC), operate in five countries, with top level scientific facilities

1. IAM Petten /Netherlands2. IRMM, Geel/Belgium3.-6. ISIS, ISPC, ISA, Environment Institute, Ispra/Italy 7. IPTS, Seville/Spain8. ITE, Karlsruhe/Germany



Supported Projects (II)

EU focus on investment in

1. Bioscience and biotechnology/medical research- ISPC (Institute for Consumer Health and Protection)

- IRMM (Institute for Reference Materials and Measurements) - EORTC (European Organisation for Research and Treatment of Cancer)- Fufose (Functional Foods Science in Europe)- SENS



Supported Projects (III)

2. Information and Communication- Esprit, pioneer programme in 1980s- Semper- SET (Secure electronic transaction)

3. Defence and military research

4. Space research- ISA (Institute for Space Applications)- MARS-project (monitoring agriculture with remote sensing, 1988-1998)



Supported Projects (IV)

5. Research in environmental protection/renewable energies- ERLAP (European Reference Laboratory on

Atmospheric Pollution)- IFREMER- HOFIM- Waste Water Cluster network

6. Transport- ISIS (Institute for Systems, Informatics and Safety)- FEVER project from Renault






3. Candidate Countries/new members




Studies on the Candidate Countries (I)

two studies from 2001 concerning the CC6 and CC7

CC6: Poland, Hungary, Czech Republic, Slovenia, Estonia, Cyprus

CC7: Malta, Turkey, Latvia, Romania, Lithuania, Bulgaria, Slovakia



Studies on the Candidate Countries (II)

CC6: ‘dual’ economy: profitable foreign investment enterprises and domestic companies

Potential for catching up restricted by weak demand for R&D by business sectors

Compared to EU fewer innovative small companies

Low governmental support



Studies on the Candidate Countries (II)

CC7: Generally score lower than EU15 on innovation-related indicators

Main problem: low manufacturing productivity

Improvement needed concerning human resources

Low governmental support










EU is leading in following sectors:

- Training young graduates

- public R&D financing- ICT expenditure

EU lags behind USA: - level of higher education- business R&D expenditure- high-tech patent applications

Japan: - business R&D expenditure- science and engineering graduates

EU’s main weakness: patenting





Questions/Discussion:

1. Can the EU possibly fulfil the Lisbon strategy?

2. What are the obstacles of innovation in Europe?

3. Do you think that the European Action Plan can encourage innovation and investment in the R&D sector? Why? Why not?


Thank you for your attention!!!

Documents

Daniela Fritzen, Simone Gerdesmeier Innovation, change and decision-making in international organisations